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Guardian Real Estate Services has tried for two years to find a financially viable plan for a mixed-use project on Block 290. The Portland Design Commission on Thursday told the developer and its new architect, LRS Architects, they still had some work to do.

鈥淭he challenge is, is there a sweet spot between the neighborhood and the development that is economically rewarding and feasible?鈥� Design Commission Vice Chairman Tad Savinar said. 鈥淚 keep racking my brain 鈥� Where is that sweet spot?鈥�

The Design Commission decided to form a subcommittee to meet with neighbors and developers聽in two weeks聽to try to iron out some of the challenges.

Those development challenges are considerable. The site, at 1417 N.W. 20th Ave., is governed by the Con-way Master Plan as well as design guidelines. The current project would require amendments to the master plan, which envisioned a large public square. The Northwest District Association and multiple neighbors spoke against the project.

Development began in 2015, when three design advice hearings took place. It was scheduled for a formal review in May 2016, but was withdrawn a day beforehand.

The developers put the project on hold, and LRS Architects was brought in to find a viable design that former designer YBA Architects couldn’t. The development team said that the delays and multiple design iterations have cost the company more than $2 million.

鈥淲e just couldn’t find a financially viable solution before,鈥� said Briana Murtaugh, development project manager for Guardian Real Estate Services.

LRS Architects Senior Associate Greg Mitchell presented a design that drew many of the same objections directed toward earlier versions.

As proposed, three sides of the building would wrap around an open square, with public access portals on Northwest 21st Avenue and Pettygrove Street. Also, a pedestrian walkway would offer portals to the square and large park east of the complex.

The biggest problem stems from the definition of a public square. Neighbors claim the design more closely fits the definition of a private courtyard than a public square. They claim it would be devoid of sunlight and closed off from the rest of the neighborhood.

The designers disagree, claiming the design meets the all the requirements in terms of open space. They argued that the commission should judge the design they presented.

鈥淚n terms of the sweet spot, we found it,鈥� said Thomas Brenneke, president of Guardian Real Estate Services.

Commissioners debated a variety of changes that might add open space and sunlight to the square. The most likely solution they came up with was to reduce the height on some elevations of the structure and add height to the other elevations.

That would present its own challenges, according to the development team. The current design calls for a maximum height of 57 feet. Structures taller 77 feet must have more advanced fire suppression systems and faster elevators; structures taller than 125 feet must have even more advanced and faster ones. That would add to the project cost, requiring the addition of residential units. Adding units would mean also increasing parking garage capacity 鈥� possibly via more floors.

Developers were unsure if such a design could be financially viable.

Other smaller issues 鈥� such as how the position of power lines might affect the entire development’s location 鈥� also exist.

鈥淚t’s a Rubik’s Cube,鈥� Mitchell said.

The Design Commission’s ultimate decision was to create a subcommittee consisting of Chairman David Wark, and commissioners Don Vallaster and Andrew Clarke. The subcommittee in two weeks聽will meet with the design team and neighbors to see if a revised design can meet the goals of both the developer and neighbors.

The results of that meeting will be reviewed at a hearing on June 1.

Also on Thursday:

Press Blocks

The Design Commission unanimously approved revisions for the Press Blocks project, which will sit on lots at 817 S.W. 17th Ave. and 1621 S.W. Taylor St.

The Goose Hollow project, spearheaded by Urban Renaissance Group and Security Properties, had support from many of the business and neighborhood groups in the area. Mithun, from Seattle, and GBD Architects came up with the design for the three-building complex.

Many of the issued raised by commissioners previously revolved around the proposed office building at Southwest 18th Avenue and Yamhill Street. The design did not reflect the prominence of the location, they said.

Revisions submitted on Thursday included lightening the building’s color, making the corner of the building less oppressive and including a more prominent balcony feature.

For the mid-block office building, the design team focused on creating more area for pedestrians.

Also, the residential tower’s north and south elevations were altered to blend better with the rest of the building. Colors were changed to more earth tones to make the building appear warmer and more residential in nature. The team also enlarged the entry to make it more prominent.

The changes received widespread praise from the commissioners.

鈥淚 think this is a really sophisticated addition to the Goose Hollow 鈥� all three buildings,鈥� Commissioner Julie Livingston said. 鈥淭his is a really good response to the guidelines.鈥�

The new structure will sit east of Providence Park.

鈥淭he refinements are all positive and much appreciated,鈥� Wark said. 鈥淚t gives it that extra level of excellence that we want. Overall, it’s extremely successful.鈥�

5615 S.W. Hood Ave.

A proposal for a cross-laminated timber, four-story office building with ground-floor retail space was approved by the Portland Design Commission via a 6-0 vote. The commission added three conditions: 1, expanding an elevator lobby; 2, adding a canopy to the lobby entry; and 3, moving the canopy up so it’s closer to the second floor’s underside.