In September Park City went looking for a development partner for five acres of vacant city-owned land at the intersection of Bonanza Drive and Kearns Boulevard.
Park City Manager Matt Dias said they received around ten proposals from local, state and international firms.
But instead of choosing a partner and moving forward, Dias said they will now issue a new proposal with more specifics, after the city council reviews the plan Thursday.
“We think there’s an opportunity to deepen our commitment, and [developers] can top off their proposals,” Dias said. “We hope we’re getting to the end of the road here, and we’re excited. I think this is the closest we’ve been in a long time.”
The five-acre site in the Bonanza Park neighborhood has a long history. Park City purchased the property for $19 million in 2017 with the plan to build an arts and culture district that would have the Kimball Art Center and Sundance Institute as core tenants. The concept evolved to also include housing, parking and a transit center, but the project was put on hold when costs topped the $100 million mark.
In 2024 Park City hit the reset button. The city collected public input through online surveys and open houses. That feedback was then used to revise the proposal to reflect public support for a mixed-use area with retail, art and open space.
On Thursday the city council will review more proposed edits to that initial proposal.
The new proposal caps the city’s funding commitment at $30 million. The last proposal offered developers a range of financing options that did not specify a price tag for the city.
Dias said the money would be pulled from the city’s lodging tax, which was levied to support the five-acre project.
“Years ago around COVID, the project was entirely funded by or conceived to be funded by the taxpayers,” he said. “Now we’ve taken a different strategy through a public-private partnership, seeking a long-term partner. Trying to shed a lot of the financial risks - interest rates, construction, labor, materials, inflating - shedding that risk to the private sector.”
As part of a public-private partnership, the city is proposing a minimum 60-year ground lease for $1 per year.
In exchange for that cheap rate, Park City is asking developers to prioritize deeply affordable housing, reaching as low as 30% of area median income - which in Summit County is roughly $32,000 annually.
Other changes to the proposal include a 3,000 square foot maximum for commercial businesses to promote a diversity of offerings.
The new draft also narrows the location for a new headquarters for the nonprofit Kimball Art Center, which has long been envisioned for the property.
The city is requiring developers to build the new center along Munchkin Road and Woodbine Way, with a preference towards the corner of Munchkin Road and Bonanza Drive.
"We continue to have discussions with the Mayor, city council and staff about the project to ensure this doesn't change our timeline to finding a permanent home," Kimball Art Center Executive Director Aldy Milliken told KPCW. "We care most about finding the best development mix to serve our mission. We are optimistic that this small step brings clarity to the project."
The Sundance Institute has not been involved in the second phase of planning for the site, as it considers potentially leaving Utah altogether in 2027.
The updated RFP also includes new disclosure requirements, asking development teams to identify any past work with the city and potential conflicts of interest.
At its meeting Thursday, the city council will review the slew of changes and provide input on the new proposal.
With the council’s support, the city intends to publish the new RFP Friday and accept responses until April 1.
The full text of the draft RFP can be found here.
