Laserfiche WebLink
ca* Ll 2; //4 `Kenetek <br />515 Little Canada Road, Little Canada, MN 55117 -1600 <br />(612) 484 -2177 / FAX: (612) 484-4538 <br />July 3, 1991 <br />TO: Mayor Hanson and Members of the City Council <br />FROM: Joel R. Hanson, City Administrator <br />RE: Kandice Heights II and III Development Agreements <br />MAYOR <br />Raymond G. Hanson <br />COUNCIL <br />Beverly Scalze <br />Bill Blesener <br />Rick Coilova <br />Jim LaValle <br />ADMINISTRATOR <br />Joel R. Hanson <br />With financing secured for the Kandice Heights II and III <br />developments, we must now execute the developer's agreements for <br />these projects. <br />As you will recall, the City Council had authorized us to enter <br />into an agreement during the end of 1990 for the Kandice Heights 11 <br />project. (Phase III is a new agreement.) Given the change in the <br />project size, amendments to this agreement have been necessary. <br />The only major changes relate to the following: <br />* Size of the Phase II building is reduced. <br />* Estimated market value of the Phase II building is reduced <br />relative to the building size reduction. <br />* A guarantee of a minimum tax payment has been set <br />out in order to ensure that both projects generate <br />sufficient cash flow to protect the City. <br />The Kandice Heights III agreement also has a guarantee of minimum <br />tax, definition of park charge calculations as to the value which <br />serves as the basis for the charge, and a restriction on the <br />solicitation of exicting Little Canada businesses. <br />Mary Ippel of Briggs and Morgan has prepared the agreements. It is <br />expected that the developer will execute the agreements prior to <br />Wednesday's meeting. The City Attorney will also conduct a review <br />of the agreements to complete our review process. <br />Page 7 <br />