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MINUTES <br />CITY COUNCIL <br />DECEMBER 19, 2012 <br />DONOVAN <br />CONSTRUCTION <br />PROPERTY <br />PURCHASE <br />AGREEMENT <br />The City Administrator reported that the City has been asked to grant an <br />access easement over this land at this time. His thought was that <br />ultimately the City would deed the property to North Star Estates. <br />However, granting the easement is the most expeditious was to handle the <br />matter in light of the refinancing. The Administrator indicated that the <br />Council could act on the easement at this time subject to the City <br />Attorney's review or add this as an action item to the December 27`1' <br />special meeting. <br />Keis introduced the following resolution and moved its adoption: <br />RESOLUTION NO. 2012-12-223 — GRANTING AN ACCESS <br />EASEMENT OVER CITY PROPERTY TO NORTH STAR ESTATES <br />MOBILEHOME PARK FOR THEIR COUNTRY DRIVE ACCESS <br />SUBJECT TO REVIEW AND APPROVAL OF EASEMENT <br />DOCUMENTS BY THE CITY ATTORNEY AND SUBJECT TO <br />REIMBURSEMENT BY NORTH STAR ESTATES FOR ANY COSTS <br />INCURRED BY THE CITY <br />The foregoing resolution was duly seconded by McGraw. <br />Ayes (4). <br />Nays (0). Resolution declared adopted. <br />The City Administrator recommended that at the conclusion of this <br />evening's regular Council meeting, the Council convene into closed <br />session to discuss the potential acquisition of the Donovan Construction <br />property as well as the cell tower lease related to this property. The <br />Administrator reported that the property is just under 3 acres in size. It <br />has an estimated market value of $540,000. Donovan Construction had <br />the property appraised, and the valuation came in at $475,000. Donovan <br />Construction has agreed to sell the property to the City for $408,500. The <br />City's goal in purchasing this parcel is to make it part of the Owasso <br />Blvd. /Woodlynn Avenue redevelopment area. The Administrator noted <br />that the City already owns the former Roseville Plumbing property. <br />The Administrator pointed out that the Council has a copy of the draft <br />purchase agreement which contains the terms of the sale. Donovan <br />Construction has requested that the Council make a decision on whether or <br />not it will also purchase the tower lease that is part of this property. The <br />current lease is held by APT and runs through December 31, 2020. That <br />lease contains a $140,000 cash stream. Donovan Construction has <br />received two offers of $250,000 each for the purchase of this lease. <br />13 <br />