09-06-2022 Council Work Session Packet

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City of Lino Lakes and Lino Lakes Economic Development Authority Section G Property to be Included in the TIF District The TIF District is an approximate 37-acre area of land comprising of the parcels listed below that is located within the Project Area. A map showing the boundaries of the TIF District is shown in Exhibit I. Parcel ID Number Legal Description 24-31-22-31-0004 Outlot A 24-31-22-24-0009 Outlot A 24-31-22-24-0008 Lot 2, Block 2 24-31-22-24-0002 24 - 31 - 22 - 24 * The parcels listed above are anticipated to be replatted and will comprise of the new industrial building development with 3 separate buildings. The area encompassed by the TIF District shall also include all street or utility right-of-ways located upon or adjacent to the property described above. Section H Property to be Acquired in the TIF District The City may acquire and sell any or all of the property located within the TIF District. It will not be acquiring any property at this time and will not be selling the property to facilitate development. Section I Specific Development Expected to Occur Within the TIF District The proposed project is anticipated to include the construction of approximately 451,000 square feet of light industrial warehousing space to be constructed in 2 phases within 3 buildings — each building will be approximately 189,000, 147,000 and 115,000, respectively. Tax increment is a financing tool the City is planning to use for financing of a portion of the eligible costs associated with construction of the project to offset extraordinary costs. The square footage of the completed buildings will comply with the requirements of an economic development district with at least 85% being used for a qualifying purpose (industrial warehousing, distribution, manufacturing project). It is anticipated that the City will use the tax increment to finance a portion of the site development, soils correction, infrastructure, public improvement and other related costs that are necessary for this project to proceed. In addition, the city may use tax increment for related administrative expenses, and any other eligible expenditures associated with development of the site that may include additional necessary public improvements. Construction of the project is expected to commence in 2023 and continue in 2024 and be 100% assessed and on the tax rolls as of January 2, 2025 for taxes payable in 2026. At the time this document was prepared there were no signed construction contracts with regards to the above described development. Section J Findings and Need for Tax Increment Financing In establishing the TIF District, the City makes the following findings: (1) The TIF District qualifies as an economic development district; See Section E of this document for the reasons and facts supporting this finding. Draft Baker Tilly Municipal Advisors, LLC Page 4