10/06/2004 Council Minutes - Laserfiche WebLink

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CITY COUNCIL WORK SESSION OCTOBER 6, 2004 APPROVED • 1 LEGACY PROJECT — REVIEW OF REDEVELOPMENT CONTRACT, MIKE 2 GROCHALA AND MARY ALICE DIVINE 3 4 Community Development Director Grochala stated Steve Bubul, Kennedy & Graven, has 5 been working extensively on the development contract for the Legacy Project. Mr. Bubul 6 is present this evening to discuss the major points of the contract. 7 8 Community Development Director Grochala reviewed the numbers relating to the 9 housing that the developer has committed to within the project in response to Council 10 discussions. The developer has committed to a total minimum of 60 senior units. The 11 developers are continuing to work on a variety of senior alternatives including 12 condominiums, cooperative housing, assisted living and rental. 13 14 Mr. Bubul reviewed the following summary of the Contract for Private Redevelopment 15 Between Lino Lakes Economic Development Authority, City of Lino Lakes, and Legacy 16 Holdings/Lino Lakes, LLC: 17 18 I. Land Acquisition/Platting/Zoning. 19 20 A. The "City Parcel" is the parcel now owned by the City, located outside the 21 TIF District. The "TIF Parcel" is the parcel now owned by the Tagg's, located 22 within the TIF District. Together, these parcels are referred to as the •23 "Development Property." 24 25 B. Developer will acquire the City Parcel (under a separate purchase 26 agreement with the City); and Developer will acquire the TIF Parcel from the 27 Tagg's (under an existing purchase agreement). Developer indemnifies the City 28 and EDA from any claim related to relocation benefits in connection with TIF 29 Parcel. 30 31 C. Developer must obtain final plat and PUD approval consistent with a 32 Master Site Plan. In connection with those actions, the City and Developer will 33 enter into a "Planning Contract" that addresses typical planning and land use 34 requirements. 35 36 II. Direct Financial Assistance. 37 38 A. The EDA will provide a total of $2.7 million in assistance toward 39 acquisition of the TIF Parcel. Up to $1.7 million will be in the form of an 40 interfund loan, and $1 million will be in the form of a tax increment revenue note 41 (referred to as the "Note"). In addition, the City will provide $450,000 from Met 42 Council grant funds for site work. 43 44 B. Interfund Loan: 45 46 1. The City will provide up to $1,700,000 from sale of the City Parcel • 47 to fund an interfund loan. If the City receives additional Met Council grant 48 money, those funds will be used to reduce the amount of the interfund loan.