08/02/2001 EDAC Minutes - Laserfiche WebLink

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2 negotiating to sell the remainder of his land to McDonald’s. McDonald’s is still planning to build on the same site. Mr. Wessel explained that the city had the capacity to respond to the tax abatement request until the legislature changed the tax laws. Generally, city policy is in the range of a 5-year term for a subsidy. With the new tax laws, the city’s capacity is severely limited and it is 11-12 years to abate that piece. This subsidy can be viewed as an incentive, since the market is premature. Originally, Ryan intended to construct the public improvements. Most likely, with the additional Lake Drive improvements, it will be a city project and the benefiting landowners will be assessed. Ms. Carlson said the council met to discuss the subsidy and has scheduled another meeting. Mr. Hicks asked what the reason was for doing the Target project prematurely. Mr. Wessel said the market is 3-5 years out and the council needs to decide if it is worth the investment for providing services, getting quality anchors, etc. Mr. Jensen said this is a gift to the city. Mr. Chase said it could take years to get another development of this quality. Ms. Carlson said the council supports the project but it comes with a price tag and the city council has to pick the right number, since they have to explain why they chose what they did. VILLAGE DEVELOPMENT Ms. Divine said the Livable Communities Committee is now meeting to decide which applicants will be invited to submit a Phase 2 application. At this point last year, Lino Lakes was ranked highest overall, this year it is ranked very low, largely due to the lack of an approved Comp Plan. Last year’s grant was contingent on several issues being resolved. The city is invited to give an implementation update, and the Comp Plan is expected to be sent to the Metropolitan Council in mid-August. A market study has been initiated with the housing developer. The market study has to look at two different projects, a senior housing project next to a sandblasting plant or within a Traditional Neighborhood Development The city is asking for the same thing as last year to gain control of the remaining land. Some very significant projects are asking for funding, and the odds are long for Lino Lakes. Mr. Wessel said the increased competition is from the urban center. Once the committee commits to a project they tend to support the project to get it done. The city’s opportunity was last year. Without the full amount the city has been unable to demonstrate progress and the Village design is jeopardized. Ms. Divine said there was still support for what the city is doing regarding diversity of housing etc. One of the developers of the Village project, Mr. Fefercorn, is now a member of the committee. Ms. Divine noted that much of the support goes to Minneapolis/St. Paul projects, because the principles often lend themselves better to higher density areas. Ms. Schwartz asked if that indicated that this might not work in a suburb. Ms. Divine said there is enough precedent nationally that it works in a suburban environment. By its nature it is not going to be the same kind of project as an inner city