09-08-2004 Council Agenda - Laserfiche WebLink

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Way o 17• &Rada MAYOR Michael L Fahey COUNCIL Jim LaValle Matt Anderson Rick Montour Bill Blesener 515 Little Canada Road, Little Canada, MN 55117 -1600 ADMINISTRATOR (651) 766 -4029 / FAX: (651) 766 -4048 Joel R. Ranson www.ci.little-canada.mn.us MEMORANDUM TO: Mayor Fahey & Members of the City Council FROM: Joel Hanson, City Administrator DATE: September 3, 2004 RE: Nadeau Road /Condit Street Right -of -Way Acquisitions The City Council has authorized staff to proceed with acquisition of the above referenced right -of -way from Theresa and David Miller at 2883 Condit Street. Staff has not yet authorized the appraiser to continence work on this project in hopes that we may able to negotiate a settlement with the property owners. We could be close to resolving this issue except for a disagreement as to the severance damage resulting from our taking. Essentially, the Miller's appraiser has concluded that they are losing a subdividable lot off of Condit Street without acknowledging they will gain a subdividable lot off of Nadeau Road as the result of our action. He has placed a value of $25,000 on this factor. Our appraiser, Mr. Steven DeCaster, disagrees with this contention. I have tried to get the two appraisers to discuss this matter in hopes that we could convince the Miller's attorney that severance damages are not appropriate. To date, we have not been able to get the various parties connected. Once they do connect, I am not sure the Miller's will agree with our conclusion. Staff is prepared to recommend the following compensation for the purchase of the Milier's property for the 16 feet we need for Nadeau Road and the 17 feet we need for Condit. The Land costs are based on an appraisal obtained from the Miller's. Condit ROW — 2,798.37 square feet at $4.00 per sq. ft. $11,193.00 Nadeau ROW — 3,699.20 square feet at $4.00 per sq. ft. 14,797.00 Fee Simple Acquisition of 2,716.07 sq. ft. of Condit ROW previously obtained as easement to eliminate an island of fee ownership 400.00 Vegetation Loss 4,000.00 Reimbursement of Miller's Appraisal Costs — per statutory requirements 1,500.00 Cash Offer equal to City's cost of appraisal to settle 4,500.00 Total Compensation 13_6290.00 Staff would also recommend that we reimburse them for any electrical sery ice upgrades made necessary to their home as a result of underground of power service to this area. (Est. $500 - $1,000) We would also commit to having Masterpiece Homes quit claim any interest they may have in the existing driveway on the north side of the Miller's property as well as have Masterpiece Homes pay for the cost of streets and utilities that could be assessed to the Miller property as a result of the construction of Nadeau Road including related utilities.