09-03-2024 Council Work Session Agenda Packet

Home Search

CITY COUNCIL WORK SESSION STAFF REPORT ITEM NO. 3 STAFF ORIGINATOR: Michael Grochala, Community Development Director WORK SESSION DATE: September 3, 2024 TOPIC: Roers Companies — Woods Edge Property BACKGROUND The City's Economic Development Authority (EDA) has received a letter of intent from Roers Companies to purchase 6.27 acres of EDA owned property in the Legacy at Woods Edge Development. Roers Companies is a national real estate development firm based in the Twin Cities. Their focus is on multi -family residential developments and generally collaborate with partners on commercial components. Roers has multiple successful projects throughout the Twin Cities region including the recently opened Lexi Apartments in Blaine. The Woods Edge project would include a market rate multi -family building with opportunities for commercial development on a portion of the property. The EDA discussed the proposal at the August 1, 2024, work session and directed staff to continue negotiations with Roers to reach an agreement. As with previous proposals the EDA included, as a condition of sale, that a commercial component be constructed prior to or in conjunction with a multi -family building. While committed to development the entire site, Roers has expressed concern over this requirement. Representatives of Roers Companies will be present at the meeting to discuss concerns, limiting factors and market forces that relate to this condition. Since the EDA is still negotiating an agreement no discussion on sale price will be held at the meeting other than noting Roers is open to the EDA's counteroffer. The goal of the discussion is to obtain a better understanding of conditions affecting potential commercial development of the site and discuss agreement options. Based on input received staff will continue to work with Roers to draft an agreement for EDA consideration. REQUESTED COUNCIL DIRECTION Discussion only.