CITY TO SEEK REVISIONS TO ASSEMBLY SQUARE URBAN RENEWAL PLAN

The
proposed changes result from the evolution of the site, beginning with IKEA
announcing in July 2012 that it would not proceed with developing a 12-acre
parcel within Assembly Square. That decision
created the opportunity and the need to reexamine how the City could ensure the
best use for not only the IKEA lot but also for the full 129.2 acres of the urban
renewal district.

Federal
Realty Investment Trust (FRIT) is redeveloping 56.2 acres in the district as
part of the Assembly Row development. The approximately 73 remaining acres
include single-story big box retail stores, a former multi-screen movie theatre,
an office building and several smaller commercial-industrial buildings located
within the urban renewal area.

The
plan change would provide added flexibility in support of mixed use development
on the remaining acreage within the renewal area. It would also identify
infrastructure needs and possible acquisition parcels that were not specified
in either the original 1980 Urban Renewal Plan or the major plan change of
2002.

To
guide this process, the Mayor's Office of Strategic Planning and Community Development
has submitted an appropriation request of $500,000 to the Board of Aldermen,
and will be presenting information in support ofr the request during upcoming
meetings of the Finance Committee. That funding would pay for professional
consultants in the areas of planning and design, financial and economic
analysis, infrastructure capacity, engineering, legal and appraisal services.
These combined efforts would be expected to result in proposed plan changes
that would then go before the Somerville Redevelopment Authority and, if
approved by the Redevelopment Authority and the Planning Board, to the Board of
Aldermen for approval before submitting the proposed changes to the state.

Careful
planning now will ensure that future development complements and enhances the
uses already approved and under construction at Assembly Row. Potential changes
to the Urban Renewal Plan would be built upon the vision set forth in the 2002
major plan change, which envisioned "the redevelopment of Assembly Square as a
more urban 'mixed use' area ... (and) projects the continued migration of
industrial uses from the district and a gradual phase-in of mixed use
development, including residential, office, retail and entertainment uses....
These mixed use developments will include significant open spaces to add to the
existing parks along the Mystic
River and some new open spaces
at the heart of the district."

"IKEA
has been a great partner over the years and was instrumental in jump-starting
Assembly Row, but with their decision not to develop the site, we have a better
opportunity to continue transforming Assembly Square into the kind of smart
growth development we want to see," Mayor Joseph A. Curtatone said. "With the
first new MBTA station in more than a quarter-century on schedule to open at
Assembly Square next year, and with zoning in place and the major
infrastructure components ready, we are committed to working with community
residents, our elected officials, and all interested parties to set the stage
for the whole of Assembly Square to become a walkable, bikeable,
transit-oriented neighborhood filled with new businesses and homes."

Ward
1 Alderman Maureen Bastardi said, "Assembly Square
holds the greatest potential in Somerville
to create jobs and give our residents tax relief by expanding the city's
commercial tax base. It's exciting to see FRIT's progress so far, and updating
the Urban Renewal Plan takes advantage of this opportunity to keep Assembly
Square moving in the right direction and building the newest, vibrant Ward 1
neighborhood."

Wig Zamore, a founding and active member of both Mystic View Task Force
and Somerville Transportation Equity Partnership wholeheartedly agreed with the
importance of pushing ahead with the full transformation of Assembly
Square.

"The four multi-story, mixed use blocks next to the expanded Mystic River
park and the new Orange Line Station that will be open in 2014 should provide
tremendous momentum for the completion of Assembly Row and the evolution of 21^st
century urban fabric across the rest of Assembly Square,"
Zamore said. "These features, including the new main street with local
retailers and mixed income rental housing, should provide a great foundation
for continued development of mixed use which complements Somerville's
most pressing long term needs. As Somerville has Massachusetts' greatest
shortage of local jobs per square mile relative to resident workers, it is
especially important that we develop an intense and diverse array of new jobs,
including university related research and development, so that a sustainable
live-work balance is restored and then maintained within the community."

The
original Urban Renewal Plan adopted in 1980 sought to guide the transition of
the long-standing industrial and warehouse uses at Assembly
Square to commercial uses such as retail, office and
entertainment. It defined the site as 129.2 acres and identified specific
parcels for the Somerville Redevelopment Authority (SRA) to acquire for
eventual redevelopment by private entities.

With the original 1980 plan set to expire after 20 years,
the City of Somerville undertook a major
effort in 1999 to update the Urban Renewal Plan in a manner that better
reflected changes on the Assembly Square
site, in the Greater Boston economy and in Somerville
itself. That resulted in the 2002 major plan change.

In March of 2004, the Assembly Square Mixed Use District was
adopted as part of the City of Somerville Zoning Code.

Today, with four buildings now under construction by FRIT
and their partners, the promise of Assembly Square
envisioned by the 1980 Urban Renewal Plan and the 2002 Major Plan Change is now
becoming a reality. By the Spring of 2014, hundreds of apartments will be
occupied, with 56 of those units being permanently affordable. Retail shops,
restaurants and a 12-screen AMC movie theater will be in operation. A
100,000-square-foot office building is also currently under construction, and
developers are confident that a major tenant will occupy the building upon
completion.