Port of Olympia has 3 undeveloped parcels on East Bay. Here’s the plan for them
Port of Olympia staff are exploring an agreement with a prominent downtown developer for the potential development of the Port’s three remaining parcels of land on East Bay, the port commission learned on Monday.
The three undeveloped parcels measure roughly 20,000, 40,000 and 60,000 square feet and are on Olympia Avenue Northeast, from about Chestnut Street to Adams Street.
“The last major activity that occurred there on these properties, from a development standpoint, was a project that we refer to as Westman Mill,” Mike Reid, the port’s community and economic development director, told the commission on Monday. “The ground lease for that was unanimously approved by the commission in the early part of 2017.”
The connection to the mixed-use development Westman Mill is key because it was developed by Walker John through his company Urban Olympia. Urban Olympia has developed mixed-use apartment buildings throughout downtown. If the exclusive negotiation agreement moves forward, the port intends to work with John again, Reid said.
The agreement could ultimately lead to a project “consistent with the existing Westman Mill with a focus on increased density and workforce housing,” according to the port.
Reid explained the agreement.
“An exclusive negotiation agreement is just a mutual commitment to further explore the feasibility of a project between two partners,” he told the commission. “It’s a document that memorializes early areas of agreement about project and shared objectives, and it’s a commitment by us then to temporarily take the property off of the market while we’re in that period of time.”
The agreement is expected to last 180 days.
“It is not a lease or an option agreement,” Reid added. “Leases and option agreements and long-term transactional agreements have to come to the commission for commission approval.”
Some other aspects of the potential agreement: The port would contribute up to $50,000 for shared site planning efforts while Urban Olympia would commit to the “concept that a minimum of 40 housing units would be targeted toward workforce housing affordability.”
All sales, leases and development on the parcels must comply with a state Department of Ecology covenant for the site, according to the port.
Urban Olympia is familiar with the covenant, Reid said. Because of legacy contamination in the area, “we have been through a significant amount of environmental analysis for this site,” he said.
Commissioners praised the negotiation agreement.
“I appreciate you entering into this small level of joint planning up front,” Commissioner Jasmine Vasavada said.
“Because I do think we heard from citizens and residents that connectivity to downtown right now feels like there’s a desert space between downtown and the port peninsula, and the more we’re going to be trying to kind of create trails and amenities out on the peninsula, the more important it is for our economic development downtown that there’s good connectivity.”
