Tumwater in Negotiations with Heidgerken to Obtain Old Brewhouse Tower

Tumwater in Negotiations with Heidgerken to Obtain Old Brewhouse Tower

water  

Above: The historic Old Brewhouse in Tumwater as viewed from the former keghouse in October 2014. The City of Tumwater is seeking public comment on a final environmental impact statement for a planned land use action for the 32 acre property owned by George Heidgerken. The city is also in negotiations with Heidgerken to obtain the 110 year old, six story tower. 

Planned Action Conversations Continue, Another Public Hearing to be Scheduled Soon

By Janine Gates

www.janineslittlehollywood.blogspot.com

After a lengthy conversation at their Tuesday night work session, Tumwater city councilmembers agreed to hold another public hearing on the planned action land use ordinance for the historic Old Brewery area.

The hearing will be scheduled soon, and no decisions about the property will be made at their next council meeting.

City administrator John Doan also acknowledged that the city is indeed in negotiations with Old Brewhouse owner George Heidgerken about the historic, six story tower.

Doan said that it makes economic sense for Heidgerken to give up the tower because it is in the worst shape with the least amount of square footage of any building on the property.  

“If we acquired it somehow, how much would that cost? (For Heidgerken) to develop, it doesn’t have a lot of value. It’s in a tough spot…it’s an expensive building…with not a lot of return. There are certainly a lot of business reasons why he would want to turn that over to the city,” said Doan.

Doan suggested that the council create a developer’s agreement that would clarify the parameters of the arrangement. That agreement would most likely look like a deed to transfer ownership and some piece of land in the form of an easement so the property could be accessed.  

If obtained by the city, Doan said, the tower could be the impetus for obtaining state grants and future fundraising opportunities to restore the tower, independent of what Heidgerken does with the rest of the property. 

Doan later told Little Hollywood that he hopes to have an agreement with Heidgerken within a couple of months.

Councilmembers agreed to hold a public hearing about the city’s possible acquisition of the tower separate from a public hearing on the proposed planned action land use ordinance.

“It would be a big step for the city. The desire to acquire (the tower) is an opportunity again at long last. There would be a lot of good to have people comment on it,” said Councilmember Tom Oliva. Oliva is a co-founder of the Old Brewhouse Foundation, a local nonprofit formed in 2008 that seeks to acquire, restore and provide public use of the tower.

At a February 16 public hearing about the proposed planned action land use ordinance, Heidgerken dangled the possibility of donating the tower in front of the council, which gave the appearance that he was doing so in exchange for the council’s approval of his desired full build out land use scenario for the 32 acre property.

Public comments since the hearing have urged the city to secure a commitment from Heidgerken in writing first, then move forward with a land use decision, if what he was offering was a legitimate option.

Above: The 400 page Final Environmental Impact Statement (FEIS) for the proposed planned action land use ordinance for the Old Brewery property welcomed each councilmember at their work session meeting on Tuesday.

New Information about Planned Action

Staff also came prepared for Tuesday's work session with a new, draft 10 page supplement to the 400 page Final Environmental Impact Statement (FEIS) for the proposed planned action land use ordinance.

The document called Exhibit C clarifies the scope of what the planned action is approving and made the restoration and preservation of the existing historic structures along the Deschutes River as part of the plan. 

Councilmembers Joan Cathey and Nicole Hill in particular asked many questions about the implications of a planned action, and requested that a developer’s agreement be written that would ensure that some kind of phasing process would prioritize public amenities, should the developer bail on the project.

Councilmember Hill said she still had a hard time grasping the fact that the property owner could rearrange the proposed uses for the property within the footprint allowed. She suggested that parking be placed up near the RST Cellars Building.

Doan admitted that the proposed 1,000 vehicle parking garage where it is currently proposed in the hillside would obstruct views to and from the historic Schmidt House and that its environmental impact that has not yet been assessed.

Doan also said that it is always a possibility that a developer could bail mid-way through a project but expressed confidence in Heidgerken.

“I think if he gets started down there, that he’ll finish….”

Councilmember Cathey said she is uncomfortable approving the project up front without knowing the full description.

Councilmember Debbie Sullivan said she sensed fear and anxiety by fellow councilmembers that she couldn’t grasp.

“When we get into these processes, there are no absolutes. I think there’s checks and balances in the whole process...I don’t think it’s going to be an out of control project. Are we ever going to be able to control 100 percent of everything? I don’t think so,” said Sullivan.

She said the conversation would be different if councilmembers were talking about the modern brewery properties, which was how it was originally envisioned. Sullivan said she is looking at this project holistically as an opportunity for making Tumwater more economically attractive to investors.

Councilmember Hill responded that she didn’t think she was commenting out of fear, but was responding to all the public comment and trying to ask appropriate questions. 

Councilmember Cathey responded that she too didn’t feel fearful, but felt profoundly protective of the culturally and environmentally sensitive property.

Mayor Pete Kmet acknowledged it was a challenging project and said that to make the area work, a residential component is needed. Since the construction of a new building was nixed by staff as unfeasible, Kmet suggested that a part of the warehouse could be “torn off” to create condominiums.

“…We already know through the marketing analysis that this is a challenging project. To do anything down there will cost a lot of money and anything we can do to streamline that is going to increase the chances that something will actually happen to preserve it….If we end up being successful in acquiring the tower, having this (planned action) done allows us to move ahead with preservation. If we don’t, we’re back to square zero and doing this process again….” said Kmet.

For more photos and many past articles about the Old Brewery, George Heidgerken, the stop work order imposed upon Heidgerken for environmental violations at the site in October 2014, groundwater monitoring, the Old Brewhouse Foundation, historic preservation, and the planned action land use alternatives currently before the Tumwater city council, go to Little Hollywood, www.janineslittlehollywood.blogspot.comand type key words in the search button.

For more information about the Final Environmental Impact Statement and Exhibit C, Supplement to Tumwater Brewery Planned Action, or to provide public comment, contact Chris Carlson, Permit Manager, City of Tumwater, 555 Israel Road SW, Tumwater, (360) 754-4180, ccarlson@ci.tumwater.wa.us, or City of Tumwater councilmembers at council@ci.tumwater.wa.us

Rhenda Strub Announces Candidacy for State Representative

Rhenda Strub Announces Candidacy for State Representative

washington  

Above: Rhenda Iris Strub at the Washington State Capitol Building on Sunday. Strub, a former Olympia city councilmember, has announced her candidacy for Washington State Representative, 22nd District, Position #1.

By Janine Gates

www.janineslittlehollywood.blogspot.com

In the strange and complicated web of local politics, former Olympia city councilmember Rhenda Iris Strub is on a journey and has announced her candidacy for Washington State Representative, 22nd District, Position #1. 

The position is being vacated by current State Representative Chris Reykdal, who is pursuing the position of Superintendent of Public Instruction.

Strub served on the Olympia City Council from 2008-2011.

Strub arrived in Olympia from South Dakota in 2002, and is married to LOTT Clean Water Alliance executive director Mike Strub. She has a Bachelor of Science in Chemical Engineering and worked for many years as an engineering consultant specializing in environmental permitting and compliance. She has four children and lives in the southeast Olympia neighborhood.

She is proud of her accomplishments as a councilmember, and in her interview with Little Hollywood on Tuesday, she specifically mentioned her part in the building of a much needed fourth fire station, city hall, the Hands On Children’s Museum, finding a permanent site for the homeless now called Quixote Village, and the creation of a dog park.

Strub ran for a second term against Nathaniel Jones, but lost. The politics at the time were vicious, and for folks who were involved around that time, Strub’s lack of civility toward community members in written and verbal form, often from her position on the dais, was well known.

Strub explained that her behavior was caused, in part, by her grief in the fact that her youngest son was diagnosed with muscular dystrophy in 2008. He is now a student at South Puget Sound Community College.

“I am who I am. I speak my mind and people either love that about me or hate that about me. It’s probably my most prominent characteristic, that I’m plainspoken. It’s my strength and it’s my weakness. It took me time to learn that, when I did that from behind the microphone, the impact was quadrupled. I did not understand that….” said Strub.

Indeed, during our interview, instead of offering a sound bite or two, or a prepared elevator speech about her candidacy, it first took her 20 minutes to explain her role and unpopular vote involving a proposed height rezone of the isthmus area in downtown Olympia in 2008-09. 

Then, Strub struggled to define why she is running for state representative, but said she wants to use her training in science to help inform decisions about the environment and other issues.

As state representative, Strub said her number one priority is to fix the state budget.

“We need to raise taxes, we need an income tax, and I think the wealthy people in this state need to pay more to support the infrastructure and the public employees in this state because nobody got wealthy or stayed wealthy by themselves,” said Strub.

Asked how she will specifically represent the citizens of Thurston County, Strub said that public employees are her largest constituency.

“….Public employees have been mistreated. For eight years, Governor Gregoire balanced the budget on their backs. They took furloughs, they lost pay raises, they paid more for health insurance, and they had to work harder and harder and harder. I think we owe them,” she said.

As a city councilmember, Strub strongly supported keeping Capitol Lake a lake, and supported bills to require the state to manage it as a lake, and not convert it to an estuary. Asked about how she feels about the issue now, Strub said she is reevaluating her position.

“Now I’m intrigued by the idea of an estuary. I’d say my strongest position is, I want the state to do something but they haven’t done a thing.” Strub says she looks forward to the state Department of Enterprise Service’s analysis and recommendation based on science so a final decision can be made.

Regarding the isthmus and the nine story Capitol Center Building, also known as the Mistake on the Lake, Strub said she was in favor as a councilmember for the city to buy and destroy the nine story building, and still holds that opinion.

Strub lamented that the Legislature has taken money from the Public Works Trust Fund, loan money critical to local governments, and the effect of Tim Eyman initiatives.

“The Legislature has an obligation to get out of the way of local governments so local governments can determine their own destiny – it’s the least the state can do after taking away so many revenue streams….”

Strub said she was supportive of a statewide minimum wage increase.

“I’ll carry petitions with me when I doorbell to get that on the ballot.”

Laurie Dolan, former policy director to Governor Christine Gregoire, announced her candidacy for the same position in September 2015, and has garnered a long list of endorsers, including Gregoire. She currently has over $22,000 in the bank, according to the Washington State Public Disclosure Commission (PDC).

Strub acknowledged that she is concerned about Dolan’s head start.

“It’s daunting. She has an impressive list of advisors. I have broad grassroots experience and connected to this community in a hands-on way. I was on the (Thurston County) Planning Commission, doorbelled the city twice, and have constituents at every level. I understand this community in a way only someone who has served in local government can….”

When asked, Strub mentioned several community members who are supporting her campaign, such as Lacey city councilmember Jeff Gadman, former state representative Brendan Williams, Thurston County Democratic state chairwoman Debby Pattin, and Mike Simmons, President of the International Association of Firefighters, Local 468.

Isthmus Issues Not Too Long Ago

The area of the isthmus in downtown Olympia is still an issue now, but a particular land use case fraught with emotion about eight years ago arose when an Urban Waterfront Rezone and Height amendment to the Comprehensive Plan was under consideration and would be approved by the Olympia city council.

If approved, height increases in that area would increase from 35 feet, and allow buildings on the isthmus of up to 90 feet.

Tri Vo, and his development company, Triway Enterprises, needed the rezone, and declared his intention to build five and seven story buildings, which would include shops and 141 condominiums that, at that time, were proposed to sell for $800,000 to $1 million.

The proposed rezone also included the area occupied by Traditions Fair Trade and other local businesses. The Capitol Center Building, which stands at 108 feet, was not part of Tri Vo’s desires. 

The issue inspired candidates to run for city council, dominated campaign themes and conversations, and strained community relations and personal relationships.

The city’s planning commission held hearings on the proposed rezone amendment. Organizations like Friends of the Waterfront organized community opposition. The Olympia Capitol Park Foundation was formed. The South Puget Environmental Education Clearinghouse (SPEECH) held a timely, popular public forum about the issue.

Despite massive community opposition, in December 2008, five of the seven councilmembers voted for the rezone, including Strub. At different times in the process, Councilmember Strub also voted against it, but the damage was done. Strub lost her election in 2010 to Nathaniel Jones.

The final outcome? At their first meeting on January 5, 2010, in a democratically choreographed coup of sorts, newly elected councilmembers Stephen Buxbaum, Karen Rogers, and Jeannine Roe led the effort to begin reversing the efforts of the previous council.

With three stunning motions, which all passed, the newly reconstituted council accomplished more for many citizen activists in one meeting than in a whole year of trying to work with the previous council on isthmus-related issues and Triway Enterprises eventually went away.

“It’s democracy at its best, isn’t it? This should give everyone hope that the impossible is possible,” said Bonnie Jacobs of Friends of the Waterfront, after the January 5, 2010 meeting.

Strub Makes Amends and Looks Forward

Strub’s campaign is being managed by a local agency, the Percival Consulting Group, which includes Joe Hyer and Danielle Westbrook.

Hyer was on the council at the same time as Strub, and was part of the effort to oust her from the council. Later, Hyer had his own issues to deal with, and resigned in early 2010. He was replaced by Steve Langer.

Although Strub did not leave the council as friends with Hyer, the two have worked on personal reconciliation issues, and Hyer recently accepted Strub as a client because he considers her to be a viable candidate.

 

The position of Washington State Representative for the 22nd District, Position #2 is being sought by candidates Beth Doglio and Dylan Carlson, who both announced their intentions in October 2015. Strub said she picked state representative position #1 because she likes Doglio and Carlson very much.

“They have both been involved in community organizing a very long time and for causes I support.” When asked, Strub said she has endorsed Carlson because he was her campaign manager the first time she ran for city council.

Westbrook serves as treasurer for Doglio’s campaign, while Hyer is Carlson’s campaign treasurer.

Doglio has amassed a long list of endorsers and nearly $37,000 in the bank. Carlson has not yet listed endorsers on his website, and has nearly $18,000, according to the PDC. The position is being vacated by Representative Sam Hunt, who is pursuing the Senate position currently held by Senator Karen Fraser, who is pursuing the position of Lieutenant Governor.

At the close of our interview, Strub acknowledged, “I am well aware of my history. Clearly there’s been tension. My ability to move through that is an important part of whether or not I will make a good public servant.”

The issues about the isthmus, Triway Enterprises, and the proposed rezone is well documented by Little Hollywood, starting in 2009. To read more about the history of the isthmus area, the proposed height rezone, Triway Enterprises, and some of Strub’s involvement, go to Little Hollywood, www.janineslittlehollywood.blogspot.com and use the search button to type in key words.

Editor's Note: Corrections to position numbers were made shortly after posting this article.

Chambers Prairie Grange in Tumwater Gets New Chance at Life

Chambers Prairie Grange in Tumwater Gets New Chance at Life

zoning  

Above: The Chambers Prairie Grange No. 191 on the corner of Yelm Highway and Henderson Boulevard in Tumwater was purchased by Tom and Tiffany Schrader in October for $200,000. Photo taken January 10, 2014.

The Schrader’s want to convert the former Grange into a neighborhood coffee and sandwich shop and bistro that can also accommodate meetings,birthday parties, reunions, and more. The Grange property is currently zoned single family low density and will need to be rezoned to accommodate this vision.

Owners Hope Historic Preservation Will Create Community Space

By Janine Gates

www.janineslittlehollywood.blogspot.com

Tom Schrader has driven by the moss covered Chambers Prairie Grange on the southwest corner of Henderson Boulevard and Yelm Highway in Tumwater for years. He and his wife, Tiffany, a third generation South Sound resident, raised their two children nearby, all of whom graduated from Tumwater High School.

Schrader, a commercial real estate agent for Re/Max Parkside who is actively involved in the Thurston County Board of Realtors, loves history. He says he tracked the property for years as the sale price was gradually reduced from $450,000, and bought it in late October for $200,000 from the Washington State Grange. 

Located at 1301 Yelm Highway, the Grange was valued at $315,900 by the Thurston County Assessor’s Office in 2015 and is not on any historic register or inventory.

The building was once earmarked as a museum for the State Grange, but that had been off the table for years. The Grange paid over $25,000 in taxes on it since 2010.

The wooden, one story, 5,668 square foot building sits on .91 acres, and despite appearances, is structurally sound. The roof doesn’t leak, the original maple wood flooring is relatively unmarked, and the full basement still contains multiple, long, solid tables suitable for dining and entertaining.

Remarkably, the building has been untouched by vandals, and still features the original wavy glass windows.

Schrader is now in the process of getting the building registered on the national and state historical registers through the state Department of Archaeology and Historic Preservation.

Since October, Schrader and helpers have been seen actively working to clear blackberry brambles and brush and scraping the moss off the roof. They have hauled away 2,500 pounds of appliances, recyclables and trash items left in and around the property. Schrader also took out the original oil boiler and ducting, but the old wood burning stove is still there, and will be kept.

Asked if he has the original sign that hung on the front of the building that said, “Chambers Prairie Grange No. 191,” Schrader says he does not.

“I don't have the sign, but I would love to buy it back from whoever does! If I don't find it, I'm going to have a replica made of wood looking as close as possible to the old sign, and hang it in the same spot on the front of the building,” says Schrader.

Above: With the plywood off the windows, sunbeams once again shine forth, warming the maple wood floor of the Chambers Prairie Grange No. 191 on Saturday afternoon.

Historically, granges served as the community center for social, agricultural, educational and political activities for farmers, and the Chambers Prairie Grange was in the thick of the action.

According to the state Department of Archaeology and Historic Preservation, the Chambers Prairie Grange No. 191 was organized in 1906 by Fred W. Lewis and reorganized in March, 1908. Grange members built the hall through donated work on land donated by the Wickie Family, completing the structure in 1910. The Chambers Prairie Grange was one of the first in Thurston County.

Above: Schrader has found a few Grange related treasures in the building, including an Olympia Federal Savings and Loan Association bank register, and this purple Grange “10% Net Gain” ribbon from 1957-58.

Schrader’s Vision for the Property

Schrader is working with several engineers and contractors to develop designs for the building. To create a place for community members, he envisions it as a coffee and sandwich shop and bistro. He has already spoken with the local coffee business owners of Olympia Coffee Roasting Company and Batdorf & Bronson Coffee Roasters to assess their interest.

Schrader wants to restore the space with a thick shake roof and original period fixtures and fans. The new front entrance facing the west side of the building would feature French doors and a large deck.

Inside, he will keep the stage and changing rooms. The basement will feature a new kitchen and would be suitable for meetings, family reunions, birthday parties, and more.

The capacity for the entire building was 378 persons – 119 downstairs and 259 upstairs, but Schrader expects this number to possibly increase.

The building is on a well and water and sewer hook up will most likely be from the City of Tumwater. It currently has no power and he has met with Puget Sound Energy to hook up to electricity and natural gas. He says he should have the building up and running in a couple months.

Schrader has developed a plan for 40 parking stalls and plans to keep every large tree on site – several maples, cedars and firs - with the exception of two for the flow of parking. Because it was diseased, a large maple tree was cut down about three years ago by the Grange.

“I want to create a center island of trees that’s natural, with a little trail so you can walk through the trees after you buy an ice cream cone or a sandwich, and sit and talk - a community type area with picnic tables and benches. There could even be a small outdoor organic fruit and vegetable stand….” Schrader said.

Above: The Chambers Prairie Grange as seen this week. New owner Tom Schrader envisions this side, the west side, as the front entrance for a coffee and sandwich shop. 

Zoning Issues 

The Grange, once located in an agricultural area, is at the physical crossroads of Yelm Highway and Henderson Boulevard, and the cities of Tumwater and Olympia.

Northeast of the Grange, Briggs Nursery was replaced by Briggs East Village and is now a 200 unit development for active adults called Silver Leaf.

Northwest of the Grange is the Briggs YMCA and the 137 acre master planned Briggs Village.

East of the Grange is the Tsuki Nursery, a wholesale nursery business specializing in Japanese garden plants, and it is on the market.

As an agent with ReMax/Parkside, Schrader represents the Tsuki Nursery, which is being sold by Phil Hulbert.  The property is currently in Thurston County with Olympia Urban Growth Area jurisdiction, Zoned Residential 4-8.

“They have submitted to the City of Olympia for annexation into the city. This will most likely be heard in the next two months. The two adjacent properties are part of the annexation request, making a total of eight acres. I have one of these two properties listed for sale, a residence at 1707 Yelm Hwy for $315,000. The Tsuki property has been listed four months at $1,499,000. It's 5.03 acres on two parcels,” says Schrader.

Schrader addressed both the Tumwater City Council and the Tumwater Historic Preservation Committee in late November to share his ideas for the building and is also working closely with the nearby Farm Homeowners Association.

The Grange property is currently zoned single family low density. Under that zoning, some of the allowed uses under the Tumwater Zoning Title 18 (18.10 chapter) are single family homes/duplex dwellings, mobile homes, childcare center, adult family center, church, bed and breakfast, community center, and others.

Schrader doesn’t want to see any of those options occur, so he will file with the City of Tumwater on December 7 for a zoning change to accommodate his vision. He is not sure yet what zoning he will pursue. The city only hears rezoning cases once a year, so it may take until May or June for the Tumwater city council to hear his request.

As a former resident of The Farm subdivision, he understands concerns by the neighborhood surrounding future uses on the property. They do not want traffic to spill out from the business onto Henderson Boulevard and then turn into their subdivision, so he is working with the Association to provide the sole access and exit off Yelm Highway.

“The previous owner, the State Grange, tried in 2012 to change the zoning to mixed use. They hadn't consulted with The Farm or other neighbors, and the change essentially scared the heck out of them. There could have been a Texaco gas station, 7-11, Burger King drive thru, or a Starbucks.... all of which I would not want there! I want something the neighborhood wants, and I spent a lot of time talking with neighbors before I bought it,” said Schrader.

“I want the focus to be on local community use, where neighbors can walk, bike, roller skate, jog and stop there to visit and catch up with each other….To get an early morning coffee before a local stroll, or a sandwich after working out at the Briggs YMCA, or an appetizer/dessert on the deck on a warm summer night while enjoying a fine wine….To be able to walk along the trail with a friend, son or daughter, grandchild… and sit at a picnic table or bench, and enjoy the tall trees… and discuss life, love and family!” says Schrader.

Schrader is optimistic that his ideas for a community space will be approved.

“When I’m out here, people pull in and want to talk and tell me stories about the area,” says Schrader.

Above: A silhouette of Tom Schrader as viewed through the Chamber Prairie Grange's coat and purse check window near the front door facing Henderson Boulevard. Schrader envisions maintaining the original north facing doors as emergency exits, and placing French doors and a large deck on the west side of the building as the new main entrance.

There are several active Grange chapters in Thurston County. For more information about their activities, go to www.wa-grange.com. 

To read about the history of Washington State Granges, go to www.historylink.org.

PSE Investigates Electrical Load of Olympia Marijuana Operation

PSE Investigates Electrical Load of Olympia Marijuana Operation

zoning  

By Janine Unsoeld

www.janineslittlehollywood.blogspot.com

Puget Sound Energy has completed its investigation into electrical loading issues at a home in a northeast neighborhood in Olympia. The home is alleged by a neighbor to be used for a commercial marijuana grow operation, and not a collective garden as the resident says. 

The Thurston County Narcotics Task Force made an unannounced visit to the home on July 7 and found the marijuana operation in compliance with that of a state licensed collective garden.

The neighbor, Melinda Spencer, believes that recent utility line fires were caused by the operation next door to her home. Through telephone calls and emails since June, she requested information and assistance from city code enforcement, law enforcement, and Puget Sound Energy. Finally, she addressed the Olympia city council on August 18.

Amy Tousley, Puget Sound Energy's (PSE) municipal liaison manager and Bryan McConaughy, PSE senior local government representative, wrote a letter today to Olympia city manager Steve Hall and council members explaining their investigation and recommendations. The letter does not delve into the possible reason for the electrical loading issues.

In late August, PSE installed a volt recorder meter to conduct readings at Spencer’s home and that of her neighbor’s. 

 

The letter states that Spencer’s home readings were determined to be well within normal swing limits for electrical usage. 

The readings at the neighbor’s house,  “…indicated a steady state of electrical load with high fluctuations well above electrical tolerances. This type of usage demand does not allow the equipment to cool. Our investigation also determined that the existing 100 amp circuit panel for (the address) is not sufficient to...meet the load being placed upon the equipment. To meet the existing load, PSE recommends that the circuit panel be increased to a 300 amp meter base. It is PSE’s assessment that without improvements to the service line and circuit panel, existing and additional increases in electrical load will continue to affect the service….”

To address the load, PSE recommends the installation of a larger wire for the service, replacement of the mast-head and anchoring for the new service wire, and an upgrade of the circuit panel.

The customer is required to contact PSE Customer Construction Services to submit an application for a service upgrade. 

“If PSE were to make improvements to the service line without the masthead and circuit panel being upgraded, there will more than likely be continued service issues at this location including the potential for a structural fire.”

PSE has contacted the property owner to explain the issues associated with the service to the property, and has sent the customer living at the rental home a letter informing him of his options.  Those options are to obtain the services of an electrician and submit an application to PSE for improvements, curtail the additional load being placed onto the system, or disconnect the electrical service due to ongoing safety concerns.

The letter places the burden on the city to address the underlying issue or what may or may not be going on at the property in question, and suggests that the city request access to the home in order to ensure that any alterations to the existing circuit panel are compliant with code.

“We are also concerned about rumors of an expansion of the ancillary use to the detached structure on the parcel….We greatly appreciate our partnership with the City to ensure proper permits are obtained prior to any expansion occurring.” 

After city manager Steve Hall briefly reviewed the PSE letter with councilmembers, Councilmember Julie Hankins asked a couple of follow up questions about grow operations in a residential area, which prompted a longer conversation about referring the issue to the city's Land Use committee and the city’s Planning Commission for further review.

For more information about this case, go to Little Hollywood at www.janineslittlehollywood.blogspot.com, and use the search engine to type in key words. Three previous articles are dated August 18 and August 23, 2015.

Editor’s Note: Although Puget Sound Energy’s letter to the city manager and councilmembers mentions the address of the home in question, Little Hollywood is choosing not to print it. Little Hollywood initially printed it the evening of August 18, but chose to retract the address the next day. Little Hollywood does not believe the address is relevant, as the issue is one that is widespread throughout the city, and one that will need to be addressed.

Tanasse Ends Olympia Mixed Use Project

Tanasse Ends Olympia Mixed Use Project

urban  

Above: Citing cash constraints, John and Tiffany Tanasse have ended their effort to build their mixed use building on State Street near downtown Olympia. 

By Janine Unsoeld

www.janineslittlehollywood.blogspot.com

After years of planning and personal sacrifice, John and Tiffany Tanasse have ended their effort to build their mixed use building near downtown Olympia. 

Citing financial constraints, local chiropractor John Tanasse warns others in a similar situation to be prepared to bring a whole lot of cash to the table.

The project involved designers, architects, construction companies, city planning officials, and banking representatives. The Tanasse’s also surmounted the objections of the nearby historic Bigelow neighborhood association last October by prevailing in a hearing examiner case, which allowed the couple to build their modern design, urban living combination of home and business.

Bigelow neighborhood residents were upset with the building’s proposed design on the long vacant lot at 924 State Avenue, saying it was not in keeping with standards or the historic nature of the area.

State Street, however, is not part of the historic Bigelow neighborhood boundary. It is considered to be a high density corridor by both the City of Olympia and the Thurston Regional Planning Council.

On Saturday, the couple issued an open letter, reprinted below:

Hello Friends, Neighbors, and Community Members,

We are writing to let others know that we have decided not to build the Tanasse Mixed Use Building at 924 State Ave. 

We arrived at this decision with great difficulty given all of the challenges that we had previously overcome and all of the community support we have received. Ultimately, we embarked on this journey to simplify our lives and make a difference along the way. We have come to a point where the cost of the project makes simplifying very complex. Unfortunately, with all of the delays, we entered the perfect storm of a hot commercial construction market that has moved our project beyond our comfort zone, which was a moderate stretch from the outset.

We apologize that we were unable to finish what we started but hope we have sparked and added to the ongoing interest and conversation regarding a new way forward in Olympia.

We want to personally thank Gretchen Van Dusen, for her friendship and splendid design, Mike Swarthout of Kaufman Construction for his professionalism, Garner Miller of MSGS architects, Paul Strawn of Riley Jackson Real Estate, Catherine McCoy and entire team at the City of Olympia, Karen Messmer for her tireless quest to make Olympia a livable city for all, Duane Edwards, landscape architect, Kevin Ekar of Heritage Bank, Chuck Hoeschen of South Sound Bank, Nick Benzschawel of Washington Business Bank, and for all community members, for and against, who engaged in vigorous debate over this and city direction.

The road ahead has a positive plan B that will allow us to continue to thrive and provide excellent expanded chiropractic services in a new location, as we have long since outgrown our current location.

Thank you for understanding.

Sincerely,

John and Tiffany Tanasse

In an interview with Little Hollywood, John Tanasse described the frustrating experience and their final breaking point.

“Of course, we started the process with many conversations with our bank to explore our readiness as a business and as a borrower. We got the go ahead and commenced on a long journey of check boxes, some easy, and others quite difficult.

“Part of the puzzle included selling our personal residence, then selling a condo we had acquired for our parents, and then, finally, the sale of our office. And while the appeal delayed us a building season, to be fair, so did the sale of our office that did not sell until this past June.

“Meanwhile the building clock was ticking with the final details of the project and financial package coming together as expected, except for a moving budget target related to an increasingly tight commercial building market that saw enormous increases in materials and labor costs regionally.

“This squeezed us into a corner for a commitment that was ultimately beyond our break point. We were positioned to handle the increase, but it changed all available financing formulas for an odd ball building in terms of finding comparison sales to reasonably meet appraisal value, as no matches existed from here to Seattle.

“In other words, our building, having both owner occupied residential and business, failed to conform to the typical loan products available, leaving us in a position of needing to cash roll a much larger portion than we were prepared or willing to, compared to when we started….”

Tanasse said it was this need for cash that ultimately led them to reluctantly shut the project down. A bulldozer has been seen in recent weeks leveling the site, work which was dependent upon the dry season.

“….We were unable to see this coming. This should serve as a heads up to others interested in this…and for the city that hasto incorporate more mixed use projects as a part of its comprehensive plan….There are severely limited bank products available to assist with this type of project,” said Tanasse.

Former Olympia city councilmember Karen Messmer, who stays active with city land use issues, is mentioned as a supporter in Tanasse’s letter.

“This project had the right elements for new development - housing above a business, on a transit corridor, close to downtown.  And, this is a well-respected locally owned business and a wonderful family. I am sad that the circumstances did not work out for this project to move forward,” said Messmer.

For more information about the Tanasse’s project, go to Little Hollywood, www.janineslittlehollywood.blogspot.com, and type key words into the search engine.

Above: The Tanasse property at 924 State Street today.