EDC 08-10-2011
City of Cupertino
Economic Development Committee
Regular Meeting
Minutes for August 10, 2011
1.CALL TO ORDER
At 10:08a.m.Kelly Kline called the meeting to order in Conference Room Aat City
Hall.
2.ROLLCALL
City Staff: Kelly Kline, Mark Linder, Piu Gosh, Shailee Samar, David Knapp, Carol
Atwood, Timm Borden
Chamber: John Zirelli
City Council: Orrin Mahoney, Kris Wang
Planning Commission: Paul Brophy
Guests: Joshua (Cypress Hotel)
3.APPROVAL OF MINUTES
Timm Bordenmade a motion to approve the May2011minutes and Orrin Mahoney
seconded the motion. The motion passed unanimously.
4.ORAL COMMUNICATIONS-
None
5.NEW BUSINESS
New Activity in Cupertino:
A.
None reported.
B.Economic Development Manager Report
New Businesses:Seagate moved into the Symantec building,but has been facing
parking issues. They are leasing space at the Vallco Mall for their employees and
shuttling them to the office.Lab 126 is occupying the building on the north west
corner of the intersection of Torre and Rodrigues. Due to the recent CA sales tax
discussions, their long term plans are unknownand, theymay expand or move from
Cupertino. Splunk moved into the City Center and Bromium is in the Stevens Creek
Center. Bitter+Sweet, KeeWah Bakery, Village Falafel, and Shanghai Garden
Restaurant are now open, along with Kiddie Academy.
Leases:Bay Club is moving forward to locate in a portion of the Searsbuilding;
Fidelity National Titleis moving into the De Anza Center;TJ Maxxand Home Goods
is workingtowards an October 2011 opening ina portion of the old Mervyns site.
Subject to Council’s approval, Islands will locate to a pad building at the Crossroads.
At the same time, the shopping center will receive entitlements for a second pad
building.Apple has formally submitted plans for leasing Results Way.Cupertino
Village and Oaks Shopping Center want an extension on their entitlements.
Real Estate Notes:Cypress Hotel is selling, possibly to Kimpton. If the deal falls
through,it will become anopen market salebut would still remain under the Kimpton
banner. Browman Development Company, a real estate group that owns and
manages its own shopping and entertainment centers, is working to acquire
McClellan Square.Sears and Vallco Mall are still negotiating on the details for
putting in 1-2 restaurant padsat the intersection of N. Wolfe Rd and Stevens Creek
Blvd.
Other:Kelly Kline is leaving her current position with the City.In order to facilitate
the preparation of a job announcement for the vacant position, she has prepared a list
of tasks/responsibilities. The main job elements include: liaison with Cupertino
Chamber of Commerce, attracting and retaining businesses, managing the
redevelopment agency, putting together a stable of resources for businesses to access
and overseeing housing and CDBG functions.There is a 7-8% vacancy rate in
positions at the City. While it is unlikely that the position will be filled immediately, a
replacement will be hired for this position in the near future.Other cities are
shrinking their redevelopment agencies. For example, San Jose’s staff decreased
from 130 to 7. Therefore, there are many capable candidates to fill thisposition.
ULI, Urban Land Institute, is doing Real Estate 101 for public officials.There was
discussion regarding the establishment of a potential incubator, made of professionals
with expertise oversees and in the US, to help foreign start ups. With the loss of HP
sales tax, the Council voted to put the Transit Occupancy Tax (TOT) on the
November ballot in orderto diversify the revenue stream. Typically, some percentage
of the TOT is earmarkedfor promoting tourism etc. However, since that has not been
identified,the Chamber of Commerce is being asked for ideas to use some of the
money. Additionally, if the TOT ballot measure does not pass, the Chamber has
been asked for other ideas to bridge the budgetary gap.
City’s Economic Health:Cupertino has a 4.5% vacancy rate.
6.OLD BUSINESS
A.Redevelopment Update
None
B.VallcoUpdate
None.
C.Cupertino Restaurant Association Update
None.
D.City Updates
None
7.CURRENT DEVELOPMENT REPORT
A. Development Activity Report Presentation
Not discussed.
B.Upcoming Development Projects for Planning Commission/City Council
Not discussed.
8.ADJOURNMENT
The meeting was adjourned at 10:53a.m.
___________________________
Kelly Kline
Economic Development Manager