Green Development - SWIX Proceedings

11/10/09
BROWNFIELDS AND
GREEN DEVELOPMENT
Taking a green approach in a Brownfield results in a
payoff for everyone!
Roxanne Amoroso
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Roxanne Amoroso is a Senior Vice President and Southeast development
team leader for Banc of America Community Development Corporation.
Roxanne Amoroso. Her development team covers the southeast United
States including three master developments in progress totaling more than
2,000 units of housing, retail and office and an additional 1,000+ units of
multifamily in pipeline and production.
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Mrs. Amoroso specializes as a multifamily affordable housing developer of
mixed income apartment communities, on stand alone developments valued
at $15,000,000 - $38,000,000, and master planned communities of more than
1,500 units of housing overseeing approximately $600,000,000 in new
development activities.
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Leigh Kellett Fletcher Esq.
 
Leigh Kellett Fletcher is a Shareholder in the firm of Stearns Weaver Miller
Weissler Alhadeff & Sitterson, P.A., in the Land Use, Environment, and
Government Affairs Department.
 
Her experience includes assisting clients with environmental and permitting
issues related to land development and regulated industry operations. In this
capacity Ms. Fletcher works with lawyers in all four of the Firm’s offices and
oversees all environmental matters handled by the Firm. She also assists
clients with due diligence, land acquisition, land use entitlement and
development infrastructure financing. She represents clients completing
residential, commercial and mixed use brownfields redevelopment projects.
She is a certified LEED AP.
Brownfield financial benefits
can be coupled with green!
Opportunities
  Brownfield/Greyfield designations
  Grants to pay for testing
  Site clean-up tax credits that reimburse developer for
most costs – up to $500,000 per site per year
  Building materials sales tax recapture $100,000 $1,000,000
  Loan fund guarantee from state to lender
  No further action status from state certifying that the
land is clean, dramatically improving land value
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Brownfield opportunities come in all forms
and can become “green”
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Acquisition rehab of existing properties
Governmental land contributions
Site acquisitions
Brownfield/Greyfield acquisition and cleanup
Tax deed sales
General Partner/Limited Partner Purchase
Foreclosures
What does Green Development
mean?
Varies from jurisdiction to jurisdiction
  In Florida 36 jurisdictions have adopted some
form of regulation related to Green
Development.
 
Depending on the jurisdiction, these regulations can
apply to construction of government buildings,
commercial projects and/or residential projects;
  Can be incorporated in building regulations, zoning
regulations or environmental ordinances
 
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Green Development
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Governmental Incentives include: expedited permit
review, increased density, permitting recreational uses
in stormwater management areas (where they would
otherwise not be allowed), tax abatement, waiver and/
or reduction of permitting fees. (Varies by jurisdiction)
Practical Incentives include: reducing costs during
construction through re-use/ recycling of materials,
lower post construction operational costs for buildings,
and creative opportunities for redeveloping sites.
Brownfields and Green Development
IN MOST CASES GREEN
INCENTIVES CAN BE
COMBINED WITH
BROWNFIELD INCENTIVES
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Using Green Development Methods in
Brownfield Redevelopment = Sustainability
Reuse and Recycling of Construction and
Demolition Materials
  Utilizing Green Infrastructure
  Implementing Low Impact Development
  Increasing Energy Efficiency
  Renewable Energy Development
  Adaptive Remediation
 
MerryPlace Apartments
Meets all Florida Building Coalition green criteria
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Focus on “green” or sustainable standards during the
design process
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Cost effective techniques to ensure a “green”
development
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During demolition
Save concrete from demolished buildings to recycle
for road base in new development. Reduces waste
and recycles product.
During construction
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Install native landscaping that requires less water
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Install high efficiency drip irrigation rather than raised heads
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Use wells wherever possible or city provided reclaimed
water for irrigation
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Design and install rainwater capture systems on roof tops
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Add additional building insulation above
industry standard to reduce heat/cool losses
within the dwelling units
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Provide Energy Star appliances and fixtures
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Utilize tankless gas or electric water heating
systems, saves both energy and water
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Use only zero VOC paints and caulks
Green Development Techniques
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Re-use of abandoned golf course
Improved Stormwater/reduced groundwater
withdrawal
Planned Green Design for Vertical
Construction
Utilizing available on-site materials for fill
(from golf course tees and Greens)
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Green Development Techniques, cont.
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State of the art ventilation systems
Moisture barriers
Minimal use of carpeting
Bonita Fountains aka Eaglewood Apartments,
Orlando, Florida
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11/10/09
Bonita Fountains aka Eaglewood Apartments,
Orlando, Florida
Existing Apartment Complex Coupled with
Abandoned Golf Course
  Apartment Complex needed Rehabilitation
  Golf Course Contaminated with Arsenic and
Pesticides/Fertilizers
 
Bonita Fountains aka Eaglewood Apartments,
Orlando, Florida
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Bonita Fountains aka Eaglewood Apartments,
Orlando, Florida
Bonita Fountains finance strategy:
Combine brownfield with green
Property initially listed for $67,000,000 or $119,642 unit
Spent
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Construction/Permanent Loan
Equity
Brownfield VCTC
Brownfield VCTC
Future bldg materials sales tax
$27,500,000 acquisition $49,107 unit
$22,500,000
$10,316,595
-$500,000
- $500,000
-$400-500,000
Acquired @ $27,500,000 and developed @ $58,601 unit all in
(environmental cleanup, rehabilitation & infrastructure)
Value
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44 acres of land w/ entitlements for 540 units
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2,000 LF new road and infrastructure for all new units
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560 apartments built in 1987 and 2000
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Created all new infrastructure for next developments
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Capture sales tax on future building materials
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Brownfields Incentives
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Voluntary Cleanup Tax Credit (VCTC) – Tax relief on intangible personal
taxes or corporate income taxes for voluntarily cleaning up a Brownfields site.
(up to $500,000 per year per site)
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Sales Tax Refunds - paid for building materials used in the construction of
certain qualified housing projects. (uncapped)
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Risk-Based Corrective Action (RBCA) - allows for expedient and costeffective cleanup activities on Brownfields sites.
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Job Bonus Refunds - provides $2,500 per job to qualified target industries
that create a minimum of 10 new jobs within a Brownfields area.
Loan Guarantee and Low-Interest Loans - for contractor liens, tax certificates,
and loan loss reserves.
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Liability Relief - in conjunction with a Brownfields Site Rehabilitation
Agreement (BSRA).
Brownfields Incentives
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Relief From Third-Party Remediation Liability - Allows that an owner/
developer cannot be compelled to cleanup in excess of the BSRA.
 
Cleanup Grants – USEPA grant funding for properties owned by
municipalities or nonprofit organizations.
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Training Grants – USEPA grant funding for training in environmental
fields.
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Health Study Grants – Allowing a certain percent of USEPA assessment
grants to be used in health research relative to Brownfields.
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Additional Incentives -Most local communities may offer additional
incentives for Brownfields redevelopment, such as a waiver of impact fees or
tax compensations and other potential savings.
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