06/10/1985 Council Minutes - Laserfiche WebLink

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1 1 1 017 COUNCIL MEETING June 10, 1985 Page Four Mayor Benson suggested there are two solutions: 1) the new buyers could buy the entire parcel and they then would be the developers or; 2) sign the developers agreement prepared by Mr. Hawkins. Mrs. Lundgren said that there is no way anyone can sell a piece of land in Lino Lakes. Who owns it, us or the City? Mr. Lundgren said the City wants us to post a letter of credit for $150,000.00. That is more than he is getting for the sale of the land. Mr. Nelson said the main issue is the development contract. The purchase agreement states four parties are buying one parcel from the Lundgrens. The only reason they came to the City is for some assurance that this can be subdivided at some future date and to transfer title on 16.9 acres with the buildings as a separate lot. If the four buyers decide to divide the remaining 61.1 acres in the future they would be the developers and they would sign the developers agreement, not Mr. and Mrs. Lundgren. Mrs. Lundgren asked who asked that the land be divided in the first place. Mayor Benson said you and your buyers. Mrs. Lundgren said no, they are selling the entire parcel to four people. Mr. Nelson said he wanted governmental assurance that this land could be div- ided in the future. Mayor Benson said that if you (Mr. Nelson) want to buy the entire parcel intact and you want to enter into an agreement with the three other individuals, then you guarantee the road at some future date, the Council will approve this. Mr. Nelson said if we buy the entire parcel we want some assurance that it can be divided at a later date. Mr. Nelson said the other problem is that the City wants the letter of credit and yet you say we cannot use the land until the road is in. Mr. Hawkins said this is the same as any other developer is re- quired to post in this City. There was discussion on the amount of the letter of credit and what it could cost to obtain it. Mr. Bohjanen said that this land could be sold if it is not subdiv- ided. Mr. Nelson said they are interested in buying the entire 61.1 acres if they can divide it into four parcels at some future date. Mr. Hawkins said if there are other purchasers he will redraft the developers agreement and the four new owners can sign it. Mr. Schumacher said that since the Council has approved the sub- division why can't Mr. Nelson and the three other people just buy the property now and record the document at some later date when they want to install the road. Mr. Hawkins said he could think of several ways of handling the sale of the 61.1 acres without going through the developers agreement situation. Mr. Nelson said that the 16.9 acres with the building will have to be separated and recorded since the buyers need to obtain a mort- gage. It was determined that the 16.9 acres had the required frontage