07-25-2001 Council Agenda - Laserfiche WebLink

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July 17, 2001 Mr. Tom Bray Briggs and Morgan 2200 First National Bank Building 332 Minnesota Street St. Paul, MN 55101 Re: Development Agreement Framework Dear Tom: Here are the key points of a Development Agreement I need you to draft between the City of Little Canada and Oppidan, Inc. • Oppidan, Inc. is the Developer. Joe Ryan is the key principal. I don't have his exact title. (Please contact Paul Tucci to get this information. His number is (952) 294 -0353. The City will provide a 2.10 -acre site at the NE Corner of Rice Street & Little Canada Road for one dollar ($1.00) to the developer. (I will fax you the legal under separate cover) • The City will pay for the special assessments resulting from the improvement of Little Canada Road. • Developer will be responsible for any future special assessments associated with the improvement of Middle Street. Developer will enter into an Assessment Agreement to achieve a minimum market value. This agreement will need to be approved by Ramsey County and acknowledged and agreed to by Developer's lender. Transfer of title to the site will not occur until Developer provides evidence of the following: 1. Mortgage Financing 2. Building Permit Issuance 3. Assumption of Environmental Conditions (Do we need Developer's guarantee when there is not a TIF Guarantee ?) The City will provide funds to address contaminated soils on the property subject to a Response Action Plan approved by the Minnesota Pollution Control Agency and the attached settlement agreement with the Guerin Family Limited Partnership. (Note: The City has access to $200,000 of funding dedicated solely for this purpose per the Guerin Agreement.) Developer will want this to ensure full remediation. We need their cooperation in seeking other sources of funds per the Settlement Agreement. Developer shall also acknowledge receipt of a copy of this agreement. •3 The City will provide up to an additional $500,000 to assist this project. Our contribution will be the last dollars in to the project and will be payable upon issuance of a temporary "Certificate of Occupancy" for the shell and "Certificate of Occupancy" for the first tenant meaning this area is fully complete. Our contribution will also need to be tied to Developer's proformas demonstrating the need for the assistance (i.e. total project costs of $3,941,319 with Developer providing first $3,441,319 including cash equity of at least $525,549.) We will need appropriate documentation from Developer supporting these numbers including draw requests with invoices PAGE 83