Project Profile: BelRed Street Network

BelRed Street Network - Bellevue, Washington

photo credit: City of Bellevue

Location

Bellevue, Washington

Project Sponsor / Borrower

City of Bellevue

Program Areas

Value CaptureTIFIA

Mode

Local Road

Description

The BelRed Street Network is part of BelRed Transformation, a plan for redevelopment and economic growth within a 900-acre area between downtown Bellevue and Overlake/Microsoft, 10 miles east of Seattle, Washington. The BelRed Corridor is bound by SR 520 to the north, I-405 to the west, Bel-Red Road to the south, and 148th Avenue to the east. The area has been a major employment center for the surrounding region. However in response to the departure of several major employers due to changing market conditions, the City of Bellevue sought to develop a new vision for growth and economic development.

BelRed had been characterized by light industrial zoning and significant areas of underutilized land, uninviting streetscapes, unhealthy streams and wetlands, and limited transportation options. Leveraging the East Link Extension light rail transit service under construction between downtown Seattle and Redmond, east of Bellevue, BelRed will be anchored by transit-oriented development around two stations in the corridor. By 2030, BelRed is expected to generate:

  • 10,000 new jobs and 5,000 new housing units
  • Better local and regional transportation connections
  • Significant economic development
  • New parks, trails, bike paths and other amenities
  • Restored streams and ecological functions

The BelRed Street Network is a combination of 12 multimodal roadways to support development of the new BelRed neighborhood. In tandem with the East Link light rail, the project will provide multimodal mobility enhancements that are expected to improve access to transit, reduce travel times, and improve access to employment. Roadway improvements include new connections, realignments, widenings, turn pockets, new and upgraded signals, bike lanes, sidewalks, landscaping, drainage, and street lighting.

Cost

Total project cost - $323.2 million ($301.86 - TIFIA eligible project costs)

Funding Sources

City of Bellevue (tax increment financing, special assessment, development impact fees) - $158.9 million

TIFIA loan - $99.6 million

Sound Transit - $22.4 million

Federal grant - $22.1 million

State grant - $17.6 million

Private contributions - $2.6 million

Project Delivery / Contract Method

Design-bid-build

Private Partner

None

Project Advisors / Consultants

To the City of Bellevue

  • Piper Jaffray - Financial Advisor
  • Pacifica Law Group, LLP - Legal Advisor

To USDOT Build America Bureau

  • Montague DeRose/High Street Consulting. - Financial Advisor
  • Bryant, Miller & Olive - Legal Advisor
Lenders

USDOT TIFIA

Duration / Status

A first set of improvements was complete in late 2014. The project is estimated to be substantially complete in 2022.

TIFIA Credit Assistance

Direct Loan - $99.6 million

The TIFIA loan is secured by a limited tax general obligation pledge of the City of Bellevue.

Financial Status

The TIFIA Loan Agreement was executed on June 9, 2017, and is expected to mature in 2056.

Innovations
  • Ultimately the City of Bellevue plans to fund over $500 million in local infrastructure needs - arterial streets, bicycle and pedestrian facilities, parks and stream enhancements - including both developer and property owner participation, general City funds, and other public investment.
  • A zoning incentive system will help fund open space and stream restoration, and to contribute to affordable housing, so that development itself will help fund the needs generated by the new zoning.
  • The project's investment strategy will include City revenues supported by tax increment financing and other fees, developer contributions from impact fees, local improvement districts, right-of-way contributions, and zoning incentives, as well as transit agency revenue and federal and state grants.
Related Links / Articles

Project Website

BelRed Planning Initiative

BelRed Subarea Plan

Plan Presentation - January 2010

Contacts

Ron Kessack
Assistant Director, Capital Program Services
Tel: (425) 452-4631
rkessack@bellevuewa.gov

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