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Home My WebLink About11-27-2006 EDA Packet AGENDA ECONOMIC DEVELOPMENT AUTHORITY MONDAY NOVEMBER 27, 2006 6:00 P.M. 1. Call to Order and Roll Call 2. Consideration of Minutes of November 13, 2006 3. Resolution No. 06-04, Approving Assignment and Release of Certain Obligations under the Contract for Private Development between the Lino Lakes Economic Development Authority, the City of Lino Lakes, and Hartford Development, Inc. 4. Adjourn DRAFT 1 2 3 CITY OF LINO LAKES 4 ECONOMIC DEVELOPMENT AUTHORITY 5 MINUTES 6 7 DATE : November 13, 2006 8 MEMBERS PRESENT : J. Bergeson, D. Carlson, D. Stoltz,J. Reinert, 9 MEMBERS ABSENT : J. O'Donnell 10 OTHERS PRESENT : Mary Divine, Gordon Heitke,Jean Viger,Al Rolek 11 and Julie Bartell 12 13 14 Meeting called to order by President Stoltz at 6:17 p.m. 15 16 CONSIDERATION OF MINUTES OF JANUARY 23, 2006 17 18 EDA Member Reinert moved to approve the January 23, 2006 minutes, as presented. EDA Member 19 Carlson seconded the motion. Motion passed unanimously. 20 21 RESOLUTION NO. 06-02,FIRST AMENDMENT TO LEASE-PURCHASE AGREEMENT 22 BETWEEN LINO LAKES EDA AND THE CITY OF LINO LAKES 23 24 Mr. Rolek advised the City's bond counsel has advised that the EDA would need to amend the Lease- 25 Purchase Agreement for the outstanding EDA bonds Series 1998A because the lease payments will be 26 reduced to the amount needed to pay the small amount of bonds that will remain outstanding. 27 28 The City Council has approved the amended agreement in its resolution awarding the sale of the G.O. 29 CIP Refunding bonds 2006E. The EDA must also approve the amended agreement. 30 31 EDA Member Reinert moved to approve Resolution No. 06-02, as presented. EDA Member 32 Bergeson seconded the motion. Motion carried unanimously. 33 34 RESOLUTION NO. 06-03,APPROVING ASSIGNMENT AND RELEASE OF CERTAIN 35 OBLIGATIONS UNDER THE CONTRACT FOR PRIVATE DEVELOPMENT BETWEEN 36 THE LINO LAKES ECONOMIC DEVELOPMENT AUTHORITY, THE CITY OF LINO 37 LAKES, AND HARTFORD DEVELOPMENT, INC. 38 39 Ms. Divine stated the EDA entered into a Contract for Private Development with the Hartford Group 40 on December 20, 2004, (amended on September 13, 2005) setting forth the terms and conditions of 41 redevelopment for Legacy at Woods Edge. 42 43 The Contract acknowledges that Hartford Group plans to sell certain portions of the development 44 property to subdevelopers, and requires that any proposed subdeveloper assume all the obligations of 45 the developer for the portion of the property being transferred. The subdeveloper must agree to be EDA MINUTES November 13, 2006 DRAFT 46 subject to all the conditions and restrictions of the Contract, including the construction of minnnum 47 improvements on the site. 48 This EDA action releases the Hartford Group from the conditions that will be assumed by the 49 subdeveloper(Avalon Homes) for Phase I of the Townhome site. This release will be delivered upon 50 approval of the site development agreement with Avalon Homes, Inc. 51 52 EDA Member Reinert moved to approve Resolution No. 06-03, as presented. EDA Member 53 Bergeson seconded the motion. Motion carried unanimously. 54 55 ADJOURNMENT 56 57 There being no f irther business, EDA Member Carlson moved to adjourn. EDA Member Bergeson 58 seconded the motion. Motion passed unanimously. 59 60 Meeting adjourned at 6:23 p.m. 61 2 AGENDA ITEM 3 STAFF ORIGINATOR: Mary Alice Divine DATE: 11/27/06 TOPIC: Resolution No. 06-04, Approving the Assignment and Release of Certain Obligations under the Contract for Private Development with Hartford Development, Inc. Vote Required: Simple Majority BACKGROUND: The Economic Development Authority entered into a Contract for Private Development with the Hartford Group on December 20, 2004, (amended on September 13, 2005) setting forth the terms and conditions of redevelopment for Legacy at Woods Edge. The Contract acknowledges that Hartford Group plans to sell certain portions of the development property to subdevelopers, and requires that any proposed subdeveloper assume all the obligations of the developer for the portion of the property being transferred. The subdeveloper must agree to be subject to all the conditions and restrictions of the Contract, including the construction of minimum improvements on the site. LLAH Limited Partnership is the limited liability corporation (subdeveloper) that will own Lakewood Apartments. This EDA action releases the Hartford Group from the conditions that will be assumed by the subdeveloper for the construction of Lakewood Apartments. This release will be delivered upon approval of the site development agreement with LLAH Limited Partnership. OPTIONS: 1. Approve Resolution No. 06-04 Approving the Assignment and Release of Certain Obligations for LLAH Limited Partnership under the contract with Hartford Group. 2. Do not approve Resolution No. 06-04 3. Return to staff for further consideration. RECOMMENDATION: Option 1 LINO LAKES ECONOMIC DEVELOPMENT AUTHORITY RESOLUTION NO. 06-04 RESOLUTION APPROVING ASSIGNMENT AND RELEASE OF CERTAIN OBLIGATIONS UNDER CONTRACT FOR PRIVATE DEVELOPMENT BETWEEN THE LINO LAKES ECONOMIC DEVELOPMENT AUTHORITY, THE CITY OF LINO LAKES AND HARTFORD DEVELOPMENT, INC. BE IT RESOLVED By the Board of Commissioners ('Board') of the Lino Lakes Economic Development Authority ("Authority') as follows: Section 1. Recitals. 1.01. The Authority currently administers Development District No. 1 (the "Project)" pursuant to Minnesota Statutes, Sections 469.124 to 469.134 ("Development District Act"). 1.02. The Authority, the City of Lino Lakes ("Cite and Hartford Development, Inc. (the 'Developer') entered into a into a Contract for Private Development dated December 20, 2004, as amended by a First Amendment thereto dated September 13, 2005 (the "Contract'), setting forth the terms and conditions of redevelopment of certain property within the Project, referred to generally as the Legacy at Woods Edge Project. 1.03. The Developer and Legacy Holdings-LL, LLC (the "Development Property Owner") have determined need to assign certain obligations under the Contract to LLAH Limited Partnership, (the "Successor Developer'). 1.04. The Authority has reviewed an Approval of Assignment and Release of Obligations under Contract for Private Development, LLAH Limited Partnership, between the Authority, the City, the Developer and the Successor Developer (the "Assignment'), and finds that the execution thereof is in the best interest of the City and its residents. Section 2. Authority Approval; Further Proceedings. 2.01. The Assignment as presented to the Board is hereby in all respects approved, subject to modifications that do not alter the substance of the transaction and that are approved by the President and Executive Director, provided that execution of the documents by such officials shall be conclusive evidence of approval. 2.02. The President and Executive Director are hereby authorized to execute on behalf of the Authority the Assignment and any documents referenced therein requiring execution by the Authority, and to carry out, on behalf of the Authority its obligations thereunder. SJB-267750v1 LN140-80 Approved by the Board of Commissioners of the Lino Lakes Economic Development Authority this 27th ofNovember, 2006. President ATTEST: Secretary SJB-267750v1 2 LN140-80 AGENDA ITEM 4 STAFF ORIGINATOR: Mary Alice Divine DATE: 11/27/06 TOPIC: Resolution No. 06-05, Approving the Declaration of Covenant for Affordability and Management, Lakewood Apartments Vote Required: Simple Majority BACKGROUND: The Economic Development Authority entered into a Contract for Private Development with the Hartford Group on December 20, 2004, (amended on September 13, 2005) setting forth the terms and conditions of redevelopment for Legacy at Woods Edge. The Affordability Requirements (Section 4.5, subd. C) of the development contract state that a certain percentage of affordable housing withing the development must be rental units that meet the income and rent requirement for federal low-income tax credits. In addition, any affordable rental housing must meet the following requirements 1) The Developer to retain a professional property manager, approved by the Authority. The manager must have experience managing rental properties that are subject to income limitations. 2) The management agreement must require that the manager will use resident selection criteria that include, at a minimum, evidence that tenants have income to support their rental rate, rental history showing timely payment of rent, and criminal background checks. 3) The management agreement must include a plan for long-term maintenance and repair of the property. OPTIONS: 1. Approve Resolution No. 06-05 Approving XXXXXXXXXXXXXXXXXXx 2. Do not approve Resolution No. 06-05 3. Return to staff for further consideration. RECOMMENDATION: Option 1 Welcome to LaSalle Management Group, Ltd. i C I T JIN KES LaSalle Management Group, Ltd. Management ii LASALLE GROUP.LIMITE6. Diane Gilbertson,CPM®,Marketing Director 2001 Killebrew Drive, Suite 308 Bloomington,MN 55425-1864 Telephone: 952-854-8 800 Fax: 952-854-4434 www.lasallegrp.com Weh,Site-www_la.aalleurn_eom TABLE OF CONTENTS 1 EXECUTIVE SUMMARY WHY CHOOSE LASALLE MANAGEMENT GROUP, LTD. 2 OUTLINE OF MANAGEMENT SERVICES 3 LASALLE GROUP, LTD.--PROFILES Thomas W. LaSalle, CPMO Maribeth Black, CPMO Diane Gilbertson, CPMO Kim Collinge, COS Dan Saul Confidential Proposal: Information contained in this proposal is proprietary to LaSalle Group,Ltd. It shall be used solely for the purpose of evaluating or considering LaSalle Group,Ltd. Under no circumstances shall it be released, in whole or in part,to any vendor, individual or organization without prior authorization from LaSalle Group,Ltd. Services and fees described within this proposal are effective for 90 days from date of proposal. EXECUTIVE SUMMARY aSalle Management Group, Ltd. brings a tradition of quality and knowledge to property management. LaSalle Group's commitment to enhance working and living environments guides our continuous drive to improve our technical expertise, financial sophistication, and marketing strategies. LaSalle Group's Marketing Director, Marketing Consultant, Financial Advisor, Certified Property Manager, Certified Occupancy Specialist, and indeed, our entire team partner with you. We listen to your concerns and help you identify issues. We keep you informed so you can determine how to achieve your goals. You benefit from a marketing and management program developed for your specific needs backed up by our more than twenty years of helping clients achieve their goals. Supporting your goals will be the LaSalle Group team consisting of the Executive Vice President, Certified Property Manager, Certified Occupancy Specialist and our CPA. Working with you, we will help you identify and implement a management program to serve your needs. LaSalle Group is pleased to provide this information. Our hands-on approach will help you achieve: Owner's Objectives — Our primary step in management is to determine the Owner's priorities and long-term goals. Asset Mana_e�— Our expertise will guide the client in their short term and long term fiscal planning to ensure stability for the property today and in the future. Strong Customer Service Policy—We understand that service is the root from which successful business relationships grow—be it between ourselves and clients or between staff and residents. To us, customer service means flexibility—the ability to not only meet, but to anticipate, customer needs. Preventive Maintenance —We will implement and maintain a preventive maintenance plan tailored to the needs of the property. WHY CHOOSE LASALLE GROUP? General Overview aSalle Management Group, Ltd. began in 1975 when Tom LaSalle started his first contract as Realty Management Services. Our first management contract was a HUD 236 Limited Equity Cooperative located in a St. Paul suburb. We still manage that property today. In the late 70s, we worked with HUD and MHFA in developing and managing senior and family Section 8 housing throughout the metro area. This launched us into the subsidized market. In 1984, we expanded our services in planning and real estate underwriting and finance. In 1988 we strengthened our property management services by bringing on board a recognized expert on affordable housing. We currently manage a blend of Section 8, Section 42 and market rate housing units, as well as, cooperatives, condominiums, and townhome associations. Our firm holds the prestigious AMO® designation from the Institute of Real Estate Management. Not only does achieving the AMO® designation demonstrate our commitment to professionally managing your property, but it also shows that we're willing to go that extra step to assure you that your investment will receive the best management possible. When you hire our AMO® firm to manage your property, you are getting a dedicated real estate management team, directed by a CERTIFIED PROPERTY MANAGER® (CPM®). LaSalle Management Group has several CPM®s on staff as well as a CERTIFIED OCCUPANCY SPECIALIST (COS®). LaSalle Management Group, Ltd. uses a Timberline Software program in the corporate office, which allows for custom written reports to our clients. We are networked and have internal and external email. Most of our sites are computerized and we have the ability to provide a computerized accounts receivable report. z! R3! Our Mission We create and preserve living and working environments that enhance people's quality of life. Our Guiding Principles Our commitment to our clients and communities is shaped by the following principles: ► We instill integrity in all our transactions and accord respect and dignity to each person. ► We work to create climates that value individual contributions and dispel fear. ► We value our colleagues and cooperatively work to achieve each client's goals. ► We are responsible corporate citizens in every community in which we participate. ► We honor and care for the environment for we know it is our children's heritage. ► We place our client's interest first and understand that profit results from accomplishing their goals. LE ► We prize most of all excellence in our work, our vision, and striving to fulfill our potential. ACCREDITATIONS LASALLE GROUP, LTD. Accredited Management OrganizationsO (AMOO) One of only six statewide in 1991, LaSalle Management Group is an Accredited Management Organization0 recognized by the Institute of Real Estate Management0. This AMOO designation represents the following: • Accreditation • Organizational Stability • Sound Business Reputation • Professional Achievement • Financially Sound • Expertise to Fit Your Needs • Qualified, Experienced Management Staff • High Ethical Standards • Insure Protection for Clients' Funds • Full Range of Property Management Services • No Hidden Conflicts of Interest • Comprehensive Written Management Agreements • Appropriate Management Fees OUTLINE OF MANAGEMENT SERVICES ollowing is an outline of management services. Details of each service are briefly addressed on the following pages: A. Administrative Management 1. Management Plan 2. Subsidy Compliance 3. Marketing 4. Rentals 5. Rental Applications 6. Leases 7. Security Deposits 8. Rent Collections 9. Lease Enforcement 10. Management Office 11. Employees 12. Records and Files 13. Property Insurance Program B. Financial Management 1. Financial Consulting and Monitoring 2. Accounts Receivable 3. Accounts Receivable Reporting 4. Deposit of Funds 5. Accounts Payable 6. Development Records and Files 7. Bookkeeping/Reporting 8. Annual Budget 9. Year-End Financial Report 10. Payroll 11. Bank Accounts 12. Fidelity Insurance 13. Annual Services C. Maintenance Management 1. Contracting for Services 2. Supervision of Maintenance Needs 3. Development Records and Files 4. Computerized Preventive Maintenance 5. Service Requests 6. Inventory Control 7. Workplace Safety 8. Code Compliance 9. Key Control 10. Maintenance Support f ET MANAGEMENT r' Subsidized Property Listing Property Name Address Phone Fax E-mail Manager Maintenance Calvary Center 7650 Golden Valley Road 763-546-4988 763-546-8187 calvgacenter&comcast.net Lee Morris Chuck Lund Apartments Golden Valley, MN 55427 Eastport 1001 Eastport Drive 507-345-5141 507-345-7044 eastmgrrghictorytech.net Arden Olson Apartments Mankato,MN 56001-5773 Franklyn Park 2485 East Seppala Blvd. 651-770-1504 651-770-4130 frankly n�rkkworldnet.att.net Michelle Jeff Casarez Apartments N. St. Paul,MN 55109-2923 Roeschlein Greenwood Place 901 Greenwood Place 507-334-3657 507-334-8005 gwplace(kcharterinternet.com Lorraine Pexa Dick Paukert Faribault,MN 55021-6740 Gus Johnson Plaza 413 North 4t Street 507-345-1497 507-345-8687 gusJMGRghickorytech.net Joyce Borneke Jeff Ludvik Mankato,MN 56001-3467 Lewis Park 180 Wayzata Street 651-488-9923 651-489-4538 lewispark(i�comcast.net Michelle Gery Kirk Apartments St. Paul, MN 55117-5356 Showen Little Earth of 2501 Cedar Ave. South 612-729-9361 612-729-5947 karen., eatsklearth.org Karen Yeats Rick Koopman United Tribes Minneapolis,MN 55404 Madison 501 East 15th Street 612-333-7761 612-333-9125 mapartmentsknm.rr.com Karen Sorvaag Apartments Minneapolis,MN 55404-1515 Maple Knoll 1880 Mesabi 651-770-9069 651-770-2206 mapleknollI(&comcast.net Renee Solie Joe Towner Townhomes Maplewood,MN 55109-1139 Mississippi 215 Southwest Fourth Street 218-829-0274 218-828-9303 missterrkintegraonline.com Jim Miller Charles Terrace Apts. Brainerd,MN 56401-3206 Lemmerhirt Patterson Place 420 East Main Avenue 701-255-6067 701-255-1274 ndpattersonplace(&gwest.net Fran Stott Apartments Bismarck,ND 58501-4068 Premier West 6565 Premier Drive 615-356-1303 615-356-6839 premierwest(d),comcast.net John Davis George Deala, Nashville, TN 37209 Jr. Prestige Point 200 Paragon Mills Road 615-834-1380 615-834-1387 presti egepointgcomcast.net Donna Davis James McBride Nashville, TN 37211 The Ralston 211 12th Street 706-322-7331 706-322-0062 theralstonAcharter.net Darleene Ven William Hollis Columbus, GA 31901 - Pelt River Run 401 River Run Drive 309-837-4811 309-836-3162 riverrunkmacomb.com John Clyde Apartments Macomb,IL 61455-1152 Rolling Meadows 3249 East 78th Street 651-451-1871 651-451-1871 rollingmeadows&comcast.net Ruth Schafer Glen Friese Cooperative Inver Grove Hts,MN 55076 Seward Square 2121 South Ninth Street 612-338-2680 612-333-1436 sewardsquaregnm.rr.com Jeanette Bob Hoglund Apartments Minneapolis,MN 55404-2270 Lough Sunrise Meadow 1435 Sunrise Drive 507-931-6594 507-931-9297 sunrisem(cr�,hickoWech.net Michelle Rick Graft St. Peter,MN 56082-1182 - Skramstad Village Green 460 Mississippi Street NE 763-574-0674 763-574-0678 yillagegreenkpopp.net Sherill Napier Tom Apartments. Fridley,MN 55432-4468 Rosenbaum Wimbledon Green 401 —33r Avenue North 320-251-0509 320-202-9232 wmbledon rg eenAinte rg aonli Mary Bruce Benjamin Apartments St. Cloud,MN 56303-3020 ne.com Margaret Kruchten E\admin\Subsidized Property Listing Professional Profile Thomas W. LaSalle LaSalle Group, Ltd. President and Chief Executive Officer Thomas LaSalle has more than 25 years development, financing, consulting and management experience acquired primarily through his privately held corporations, LaSalle Management Group, Ltd., LaSalle Development Group, Ltd., LaSalle Management Group directs the property portfolio of more than $165 million located primarily in the central and north central regions. Broadly diversified, LaSalle operations involve more than 250 employees who support 600,000 square feet of office and commercial space, a 150 room Hampton Inn, and more than 3,000 residential units. Annual revenues exceed $30 million. LaSalle Development Group consults to diversified clients across the nation that include universities, schools, religious communities, health care centers and Native American gaming operations. Recent projects include the University of Minnesota Gateway Project and the Mechanical Engineering Building. LaSalle Development Group acted as development coordinator for Edinborough, an innovative and distinctive 26-acre multi-use project combining 392 condominium units, 100,000 square foot office building, 203 unit senior complex, a 150-unit Hawthorne Suites Hotel, and glass-enclosed park in Edina, Minnesota. A leader in handicapped and specialized housing, LaSalle Group participated in 208-unit Nokomis Square Cooperative, the rehab of Bremer Elementary School and 190-unit elderly condominiums. In collaboration with Group Health Cooperative of Puget Sound, LaSalle Group developed Silver Glen, a 120-unit senior residential community in Bellevue, Washington. Prior to creating his own company in 1975, Mr. LaSalle held management positions with Shelter Development Corporation and Landtech Management Corporation. Active in the industry, Mr. LaSalle is past president of the Minnesota Multi-Housing Association and served as a director of the National Apartment Association and the Institute of Real Estate Management. He is a licensed Certified Property Manager® and licensed real estate broker. LaSalle Management Group is an Accredited Management Organization. Thomas LaSalle holds a Bachelor of Arts in Sociology from the University of Minnesota. Professional Profile Maribeth Black Executive Vice President LaSalle Group, Ltd. Maribeth Black has more than 27 years experience managing commercial and residential property. As Executive Vice President, Ms. Black is responsible for operations and administrative functions of LaSalle Group including all management services for the residential, hotel, and commercial properties. Since joining LaSalle Group in 1977, Ms. Black's career has spanned all facets of property management. Her current responsibilities include day-to-day operations for the LaSalle Group property portfolio. Prior to 1989, Maribeth Black was directly responsible for LaSalle Group endeavors and properties in Illinois, Texas, North and South Dakota. Her particular strengths are financial controls and communications. In addition, Ms. Black is a nationally known expert in assisted housing. In 1996, the Minnesota Multi-Housing Association (MHA) accorded Maribeth Black special recognition for her expertise and long-time commitment to affordable housing. Ms. Black is a member of IREM and chaired the HUD Liaison Committee from 1980 to 1993, and again in 1995. She chaired the Minnesota Multi-Housing Association Assisted Housing Committee and serves on the Municipal Affairs Committee. A native of Ohio, Maribeth Black attended Capital University in Columbus, Ohio. Her professional credentials include Certified Property Manager®, and National Assisted Housing Professional. Professional Profile Diane Gilbertson Marketing Director/ Regional Property Manager LaSalle Group, Ltd. With more than twenty years experience in marketing and residential management, Diane Gilbertson brings a broad-range of skills to property administration. Currently, Ms. Gilbertson manages seven broadly diversified properties that contain more than 1,000 residential units. Adopting a people-oriented approach to property management, Diane understands how to meet residents' needs and achieve financial targets. Ms. Gilbertson has extensive experience in marketing cooperatives and association management and currently is working with six different Boards of Directors. Diane has a particular sensitivity for the special requirements of elderly and inner-city residents. A skilled marketer, Ms. Gilbertson supervised the repositioning of several troubled properties. Prior to joining LaSalle Group in 1984, Diane performed on-site administration for Sentinel Management Company and Eberhardt Real Estate Company. Ms. Gilbertson holds an Associate of Arts degree from Normandale Community College, Bloomington, Minnesota, and a Minnesota Real Estate License. She also is a Certified Property Manager®. Professional Profile Ilk Daniel C. Saul Director of Maintenance Services LaSalle Group, Ltd. r With more than 30 years experience in building maintenance, Dan brings strong management skills and hands-on knowledge to LaSalle Group. In his capacity, Dan is responsible for monitoring maintenance operations, developing and maintaining preventive maintenance programs and establishing replacement reserve programs, ongoing training of maintenance personnel, and facility assessment. Additionally, Dan maintains the corporate maintenance operations manuals, which guide overall performance of all properties, managed by LaSalle Group. As a project manager, Dan develops scope of work specifications, oversees bidding, and monitors contractor performance. As a Regional Property Manager, Dan oversees an 84-unit condominium association and a 136,000 square foot office building in St. Paul. Originally from Illinois, Dan attended the College of DuPage in Glen Ellyn, Illinois, and served in the U.S. Army. He holds a second class "C" Engineering License in the State of Minnesota and a Minnesota Real Estate License. LAKEWOOD APARTMENTS TENANT SELECTION PLAN APPLICANT SCREENING CRITERIA All applicants age 18 or older will be screened for suitability prior to residency. Screening criteria will be applied consistently to all applicants, consideration or extenuating circumstances will be considered in the screening process. ✓ Credit History—a credit history background check is required for all applicants in the household 18-years of age and older. Falsification of the application will result in the automatic denial of the application. ✓ Rental History—inquiry will be made pertaining to current/past rental history including nonpayment of rent; failure to cooperate with applicable recertification procedures; violations of house rules; violations of lease; history of disruptive behavior; housekeeping habits and pending/past evictions. An applicant will receive automatic denial if the current or previous landlord would no re-rent to the applicant or if the landlord filed an Unlawful Detainer Action(eviction action) involving drugs, violence, destruction of property or non-payment of rent. ✓ Criminal History—a criminal history background check is required for all applicants in the household 18-years of age and older. Local criminal history screening is required for all applicants. National criminal history checks are required for any applicant with 5-years or less of current state residence. A felony, gross misdemeanor, illegal drug activity misdemeanor involving crime against people, misdemeanor involving crime against property, misdemeanors involving alcohol, fugitive felons or parole violators and numerous arrests will disqualify an applicant if it has been 7-years or less since the time the applicant was convicted or released from incarceration whichever is later. Applicants convicted of a sexual crime will be subject to automatic denial. Other criminal convictions will be considered and may/or may not have an effect on whether the applicant passes Lakewood Apartments screening criteria. SCREENING PROSPECTIVE RESIDENTS Eligibility Application ➢ All members of the household 18 years of age and older will be asked to complete an HTC Eligibility Application. Credit/Criminal Background Initiation ➢ All members of the household 18 years of age and older will be asked to sign an authorization for a credit and criminal background check. (The credit/criminal background check will be completed at the cost of the applicant). Lakewood Apartments Page 1 10/13/2005 ➢ A third party will complete the background check. Upon receipt of the background check, management will transfer the information to an application checklist form. The checklist will score the applicant based on criminal, credit and landlord history. All household members 18 years of age and older must receive a passing score in order for the entire household to be considered for housing. ➢ If the entire household receives a passing score, they will move on to the Intake Interview. Households who do not receive a passing score will receive a Notice of Rejection. Intake Interview For households who score sufficient points to pass the application checklist, an interview with all applicant members of the household 18 years of age and older will be scheduled to obtain current information about the family's circumstances. This process is called an"intake interview". At the intake interview, management will complete the following: ❖ Conduct a private interview with all members of the household 18 years of age and older. ❖ Confirm all information provided on the eligibility application. ❖ Obtain family income and composition information needed to certify eligibility. ❖ Require all members of the household 18 years of age and older sign and date Minnesota Government Data Practices Act Disclosure Statement, 3rd parry verifications (verifying income and assets), HTC 24 (if applicable), HTC 15 (if applicable) and Tenant Demographic Profile (required first year of operation). ❖ In addition to the above, applicant's must provide a photo I.D. for all members of the household 18 years of age and older. REJECTION OF AN APPLICANT Applicants will be rejected if any of the following apply: ➢ Under Section 42 Regulations, most households where all members are full-time students are not eligible for housing. Exceptions are listed under student eligibility. ➢ All members of the household 18 years of age and older must score sufficient points to pass the application checklist. Failure to do so will result in the entire household being rejected for housing. ➢ The household must be income qualified per current income limits. Student Elidbility There are four exceptions to the limitation on households where all members are full-time students. Full-time student households that are income eligible and satisfy one or more of the following conditions can be considered to be eligible. Verification must be obtained to support the student status and applicable exception(s). Lakewood Apartments Page 2 10/13/2005 ✓ All members of the household are married and file a joint tax return. A copy of the joint federal income tax return is required to verify the status. ✓ The household consists of single parents and their minor children. ✓ At least one member of the household receives assistance under Title IV of the Social Security Action(formerly Aid to Families with Dependant Children(AFDC), now known as Temporary Assistance for Needy Families (TANF), or in Minnesota the Minnesota Family Investment Program (MFIP). ✓ At lease one member of the household participate in the Job Training Partnership Act(JTPA) or other similar federal, state, or local programs. This includes, but is not limited to programs operating under the Workforce Investment Act and Dislocated Worker Program. An applicant claiming any of the above exceptions must be able to provide documentation to prove the status. If any applicant(in the household consisting entirely of full-time students) cannot claim on the exceptions, housing in a Section 42 apartment must be denied. NON-DISCRIMINATION Lakewood Apartments adheres to the Federal Housing Act and Federal Civil Rights Laws. We will not discriminate against applicants or tenants based on race, color, national origin, sex, age, disability, religion, marital status, familial status,receipt of public assistance, receipt of Section 8 assistance and sexual or affectional orientation. In compliance with Section 504 regulations we will take reasonable, nondiscriminatory steps to maximize the use of accessible apartments by eligible individuals whose disability require the accessibility features of a particular unit. 0 EQUAL HOUSING OPPORTUNITY Lakewood Apartments Page 3 10/13/2005 • WORK ORDERS - PREVENTIVE MAINTENANCE (scheduled) a. Printed daily, weekly, monthly, seasonally, or on demand b. Printed by location, work, labor type, priority C. 1/3 page or full page options - no special forms needed d. Forecasting, past due assignments, and management summary • EQUIPMENT RECORDS a. Store detailed equipment specifications ® HISTORY TIME AND MATERIALS (scheduled and unscheduled) a. Reports daily, weekly, monthly, yearly, and life to-date b. Individualized by maintenance item, location • PARTS INVENTORY a. Lists all inventory items, quantity used, and total costs b. Prints purchase orders, computes reorder quantities • WORK ORDERS - CORRECTIVE MAINTENANCE (unscheduled) a. Prints work orders on demand b. Ties to history and inventory sections • ACCOUNTING FEATURES a. Ties to labor, location, equipment, work tasks, and inventory b. Print reports, invoices itemized by equipment, and account number • LABOR/LOCATION REPAIR ANALYSIS (scheduled and unscheduled) a. Individualized by worker, type of labor, type of repair, location, cost center ® LABOR FORECASTING REPORT a. Forecasts amount of scheduled PM for any time interval b. Provides guide for vacation, planning, budgeting • COST ANALYSIS BY SUPPLIER a. Reports maintenance items and inventory parts dollars • REASON FOR REPAIR REPORTS a. Tracks maintenance and total costs by reason for repair • TENANT BILLING SYSTEM a. Prepares invoices for work performed and materials used • MAINTENANCE ITEM, HISTORY, INVENTORY REPORTS a. Allows user to design their own report format and set the sort sequence SAMPLE COMPUTERIZED PREVENTIVE MAINTENANCE This preventive maintenance program allows the flexibility to customize the system to meet the needs of a particular building or site. Information and reports can be up ranging from basic to detailed. The initial database set up requires the most amount of work. Each piece of equipment to be included in the program must be cataloged and tagged with an identification system that will become the basis of the program. Once this is complete, all the information collected is entered into the computer, and each item (or piece of equipment) is assigned a labor type, a work description, a location, and a maintenance schedule. This provides the "heart" of the program, but the system can always be fine tuned as time goes on to keep up with changes or improvements in the property. This binder contains examples of the basic reports that are generated by the program. These samples were taken at random from an active system currently being used. To demonstrate the capabilities of the system, a list of components and features are listed on the following page. MASTER MAINTENANCE ITEM REPORT This report can also be sorted by location or maintenance type 1. MAINTENANCE ITEM — Computer abbreviation 2. DESCRIPTION — Description of computer abbreviation 3. DETAILED INFORMATION — Model #, Serial #, Area Served, Specific Location are all optional 4. LOCATION — Location of item 5. STATUS — On-line or Off-line 05/08/2000 1666 Coffman Page 1 Master Maintenance Item Report EQ0005 Sorted By: Maintenance Item Maint Item Description Maintenance Item Description Detailed Information Type Location Status B1 Hydronic Boiler Model#: 81OB-WI V B BOILER ROOM On-Line Serial#: 7704362 Maintenance Item Description Detailed Information Type Location Status B2 Hydronic Boiler Model#: 810B-WI B BOILER ROOM On-Line Maintenance Item Description Detailed Information Type Location Status B3 Hydronic Boiler Model#: 810B-WI B BOILER ROOM On-Line Serial#: 7703578 Maintenance Item Description Detailed Information Type Location Status B4 Hydronic Boiler Model#: 810B-WI B BOILER ROOM On-Line Serial#: 7704359 Maintenance Item Description Detailed Information Type Location Status B5 Hydronic Boiler Model#: 810B-WI B BOILER ROOM On-Line Serial#: 7703580 Maintenance Item Description Detailed Information Type Location Status B6 Hydronic Boiler Model#: 810B-WI B BOILER ROOM On-Line Serial#: 7704374 Maintenance Item Description Detailed Information Type Location Status C1-C2-C3 Bohn Screw Water Chiller Model#: ACWC-200SC C GROUNDS On-Line Spec Loc: Inside enclosure in front of building Maintenance Item Description Detailed Information Type Location Status C4 Walk-in Freezer Compressor Model#: KAJ1-0100-TAC C GARAGE On-Line Serial#: CT-84L-01396X Area Served: Kitchen Spec Loc: West of Shop Maintenance Item Description Detailed Information Type Location Status C5 Walk-in Cooler Compressor Model#: KAK1-0100 C GARAGE On-Line Serial#: 85A-75211 Area Served: Kitchen Spec Loc: West of Shop WORK DESCRIPTION REPORT 1. WORK DESCRIPTION — Computer abbreviation 2. DESCRIPTION — Description of computer abbreviation 3. Craft Code —This is who is assigned to do the work. Any type of labor can be used such as electrician, plumber, maintenance personnel, janitorial staff, etc. 4. ESTIMATED MAN HOURS — Estimated time to complete the task. (optional) 5. PRIORITY—The work order priority can be a choice of High, Standard, Mid, Low 6. WORK DESCRIPTION — Explanation of abbreviation and scope of work to be completed 05/08/2000 1666 Coffman Page 1 Detailed Work Description Report WD002 Sorted By: Work Description Work Desc Description Work Description Description Craft Category AHrs Priority (� BOILERCHECK Boiler Start-up and Check HTCONT Standard: 7 days Description Text. Z This equipment should be cleaned,adjusted and inspected by a qualified heating contractor Work Description Description Craft Category Est Hrs Priority CHILLERCHECKWK1 Weekly Check of Chiller Operation-1 MAINT Standard: 7 days Descri tion Text: Perform weekly check of unit during cooling season: 1.Verify proper oil levels 2.Check refrigerant sight glasses 3. Check condensor coils for excessive debris build up 4. Check condensor fan belts 5.Check water pressure Work Description Description Craft Category Est Hrs Priority CHILLERCHECKWK2 Weekly Check of Chiller Operation-2 MAINT Standard: 7 days Description Text.- Work Description Description Craft Category Est Hrs Priority CHILLERCHECKWK3 Weekly Check of Chiller Operation-3 MAINT Standard: 7 days Description Text.- Work Description Description Craft Category Est Hrs Priority CHILLERCHECKWK4 Weekly Check of Chiller Operation-4 MAINT Standard: 7 days Description Text.- Work Description Description Craft Category Est Hrs Priority CHILLERSHUTDO Fall Shut Down of Chiller ACCONT Standard: 7 days WN Description Text: .1.Check unit and note any problems 2. Shut down unit and close service valves as a propriate Work Description Description Craft Category Est Hrs Priority CHILLERSTART Spring Start-up of Chiller ACCONT Standard: 7 days Description Text.- Work Description Description Craft Category Est Hrs Priority COMPRESSORCH Compressor Operation Check MAINT Standard: 7 days ECK Description Text.- ' .Verify proper oil level 2.Check refrigerant sight glass 3. Check condensor coils for excessive debris build up 4 Oil fan motor as needed CRAFT REPORT 1. CRAFT CODE — Computer abbreviation 2. DESCRIPTION — Explanation of abbreviation 05/08/2000 1666 Coffman Page 1 CRO01 Craft Report Sorted By: Craft Code Z Code ascription ACCONT AIR COND. CONTRACTOR FRCONT FIRE EQUIP. COMPANY HTCONT HEATING CONTRACTOR IRCONT IRRIGATION CONTRACTR - -- _ . _ - - - --------------------- --- -- - -- --- MAINT MAINTENANCE STAFF SPCONT SPRINKLER CONTRACTOR LOCATION REPORT 1. CODE — Computer abbreviation 2. DESCRIPTION — Explanation of computer abbreviation 05/08/2000 1666 Coffman Page 1 Location Report EL001 Sorted By: Location Code � 2 Code Description 1ST FL 1ST FLOOR 2ND FL 2ND FLOOR 3RD FL 3RD FLOOR ATTIC Attic Space - - --- - ---- - --- - - -- ---- ---------------- --- - ------- BOILER ROOM Boiler Room in Garage Level ELEVATOR Elevator Car as Specified ELEVATORCENTER Center Elevator Mechanical Room ELEVATOREAST East Elevator Mechanical Room ELEVATORWEST West Elevator Mechanical Room EXERCISEROOM Exercise Room in Garage Level GARAGE General Garage Area GROUNDS Grounds Around Building NOSPEC No Specific Location WORK ORDER 1. PM WO# - Work order number 2. CRAFT —Who is to complete the task 3. PRIORITY— Priority level (high, standard, mid, low) 4. EQUIPMENT — Description of maintenance item 5. GENERAL LOCATION — General location of item 6. SPECIFIC LOCATION — More specific area within general location 7. DETAILED EQUIPMENT DESCRIPTION — Information about the equipment that will help assist with PM work, repairs, or replacement 8. WORK DESCRIPTION — Scope of preventive maintenance work 9. ASSIGNED TO — Specific person or contractor (optional) 10. CURRENT METER — Current meter reading is recorded here when the work order is complete (optional) 11. DATE — Date this work order is completed 12. REG HOURS —Actual time it took to complete this task 13. PARTS $ - Cost of parts used to perform PM (optional) 14. PERFORMED BY— name, and signature or initials of person completing the work order 15. This space is used for listing supplies used, notes about other problems found or repaired during PM, or reasons why this work order might have to be deferred III III II IIII II I II IIIIIII II II 1666 Coffman Printed: 05/08/2000 I Q PM WO# 2011 For Week: 18/2000 Craft: MAINT Due: 05/08/2000 Priority:'4-Standard Equipment: Heating Coil Location: 1ST FLOOR `J Specific Location: N.W. Stairwell Area Served: ln�Model#:' RBD-75 Serial#: 8/86 Type: HC Manufacturer: or Order Title: Heating Coil Operation Check Service Co: Perform maintenance tasks As Applicable: 1.Check filter and change as needed 2. Lubricate fan motor as needed 3. Bleed coil 4.Clean coil as needed WO# Maintenance Item# Work Desc Code Assigned To Current Meter Begin 2011 HC01 HEATCOILCHECK ® Co End__ Date— Reg Hours OT Hours Parts$ Down Time Travel Time Purchase Order# Odometer Begin Odometer End Comments: 1� Performed By: Accepted By: ;mos: Filter 10X25X1 f� Pmnnl rav 113f1gq MAINTENANCE SCHEDULE MONTHLY SUMMARY This schedule shows each piece of equipment and how many tasks by work description are scheduled for each month. The last page gives the total of how many tasks are assigned during each month of the year 05/08/2000 1666 Coffman Page 1 Maintenance Schedule Monthly Summary MS0005 Sorted By: Maintenance Item Count of Tasks Maint Item Description B1 Hydronic Boiler Maint Item/Work Desc JANUARY FEBRUARY MARCH APRIL MAY JUNE JULY AUGUST SEPTEMBER OCTOBER NOVEMBER DECEMBER Total B1 Month 1.000 1.000 BOILERCHECK Total Tasks:1.000 0 0 0 0 0 0 0 0 0 1.000 0 0 1.000 End Maint Item: B1 - - - Maint Item Description B2 Hydronic Boiler Maint Item/Work Desc JANUARY FEBRUARY MARCH APRIL MAY JUNE JULY AUGUST SEPTEMBER OCTOBER NOVEMBER DECEMBER Total B2 Month 1.000 1.000 BOILERCHECK Total Tasks:1.000 0 0 0 0 0 0 0 0 0 1.000 0 0 1.000 -- End Maint Item: 132 - --- - -- --- -- -- -- ----------------------- -- -- -- - --------------------------------------- Maint Item Description B3 Hydronic Boiler Maint Item/Work Desc JANUARY FEBRUARY MARCH APRIL MAY DUNE DULY AUGUST SEPTEMBER OCTOBER NOVEMBER DECEMBER Total B3 Month 1.000 1.000 BOILERCHECK Total Tasks:1.000 0 0 0 0 0 0 0 0 0 1.000 0 0 1.000 End Maint Item: B3 - - - -- ---- - Maint Item Description B4 Hydronic Boiler Maint Item I Work Desc JANUARY FEBRUARY MARCH APRIL MAY JUNE DULY. AUGUST SEPTEMBER OCTOBER NOVEMBER DECEMBER Total B4 Month 1.000 1.000 BOILERCHECK Total Tasks:1.000 0 0 0 0 0 0 0 0 0 1.000 0 0 1.000 End Maint Item: B4 -- -- -------- ---------- - ---------- --- - - - - - ----------- -- - - -- -- - Maint Item Description B5 Hydronic Boiler Maint Item/Work Desc I JANUARY I FEBRUARY I MARCH I APRIL MAY JUNE JULY I AUGUST I SEPTEMBER I OCTOBER NOVEMBER DECEMBER I Total WORK ORDER SUMMARY REPORT This report is used by the maintenance supervisor or building manager to track the amount of work due for the month, work completed or assignment of tasks Printed on 1666 Coffman Page 1 05/08/2000 Work Order Summary Report Maintenance Item Description Craft Assigned To Priority Location WeekNr Work Description Est.Hrs W.O. Due Date Standard 1ST FLOOR 18/2000 HC01 Heating Coil MAINTENAN CE STAFF — Unassi HEATCOILCHE Heating Coil Operation Check 2011 05/08/2000 -- - -- ---- - - - - - - - - - - - - --- ---- ----------------------------------------------- Standard 1ST FLOOR 18/2000 HCO2 Heating Coil MAINTENAN CE STAFF '— — — Unassi HEATCOILCHE Heating Coil Operation Check ; 2028 05/08/2000 ---- -- - - ---- -- -- - - --------- ----- - -- ---------------------- --- -- -------------------- Standard 1ST FLOOR 18/2000 HCO3 Heating Coil MAINTENAN CE STAFF Unassi HEATCOILCHE Heating Coil Operation Check 2035 05/08/2000 - - - - - -- - - - - - - - -- - - -- - - - ---- --------------- ---- -- --- ---- - -- - --------------,------- Standard 1ST FLOOR 18/2000 HC04 Heating Coil MAINTENAN CE STAFF '— — ___-_ — Unassi HEATCOILCHE Heating Coil Operation Check 2042 05/08/2000 --- - - - - - - - - - - - -- - - - - - - - - - ---- -- ----------------- - -- - -- -- --- -- - - - - -------------- -- -- Standard 1ST FLOOR 18/2000 HC05 Heating Coil MAINTENAN CE STAFF '— — — Unassi HEATCOILCHE Heating Coil Operation Check ; 2059 05/08/2000 --- - -- --- - - ----------------- - -- ------------------------------ ---- - - - --------- Standard 1ST FLOOR 18/2000 HC06 Heating Coil MAINTENAN CE STAFF '— — __- Unassi HEATCOILCHE Heating Coil Operation Check 2066 05/08/2000 - --- - -- -- - -- ------ ------ - - --- - --- ------ --- ---------------------- -- -- -- - ------- -- ----- - -- --- Standard 1ST FLOOR 18/2000 HC09 Heating Coil MAINTENAN CE STAFF — _-- — --- Unassi HEATCOILCHE Heating Coil Operation Check 2073 05/08/2000 -- - - - - - . - - - - - - ------ -- -- ------------------------------- ---- - - -------------- Standard 1ST FLOOR 18/2000 HC10 Heating Coil MAINTENAN CE STAFF — — Unassi HEATCOILCHE Heating Coil Operation Check ; 2080 05/08/2000 - - - - - - -- - -- - - - - - - - - - - - - - -- - ---------------------------------------------------- Standard 1ST FLOOR 18/2000 HC11 Heating Coil MAINTENAN CE STAFF '— — — Unassi HEATCOILCHE Heating Coil Operation Check 2097 05/08/2000 - --- --- --- - - - -- - - -- - - - -- - - -- - - - ---- - - -- - -- - - - ---- - --- -- --- - ------ - - - - - -- ------- - - - -- -- - - -- Standard Boiler Room in 18/2000 P01 Heating Circulation Pump MAINTENAN Garage Level CE STAFF _ Unassi PUMPCHECK Pump Operation Check 2103 05/08/2000 ----------- ----------------- -- - ------ ------------------------ - -- ---- --------- ------ - - - Standard Boiler Room in 18/2000 P02 Domestic Hot Water Circulation Pump MAINTENAN Garage Level CE STAFF — _-- — — Unassi PUMPCHECK Pump Operation Check 2110 05/08/2000 -- ----- ---- ---------------- - - -- ------ - -- ------ ---------------- -- - - --------- - ---- - -. . _ Standard Boiler Room in 18/2000 P03 Cooling Water Circulation Pump MAINTENAN Garage Level CE STAFF — -- — -- Unassi PUMPCHECK Pump Operation Check 2127 05/08/2000 - - - - --- - --- - - ---- --- ------ - -- - - --- ----------------------- - - -- ------ ----- - -- - - Standard General Garage 18/2000 HC07 Heating Coil MAINTENAN Area CE STAFF — — Unassi HEATCOILCHE Heating Coil Operation Check 2134 05/08/2000 ----- - -- - -- - - - - -- - - -- --- - ---- ---- ------ --------- -------- - ------------------- - Standard General Garage 18/2000 HC08 Heating Coil MAINTENAN Area CE STAFF _ — Unassi HEATCOILCHE Heating Coil Operation Check 2141 05/08/2000 - - - -- - ---- - - - - - - - - - _ - - - -- - ----------- ----- -- -- ------ - ------------------------ - - ------ - - Standard General Garage 18/2000 P06 Jockey Fire Pump MAINTENAN Area CE STAFF — — — Jnassi TESTRUN Monthly Test Run of Pump 2158 05/08/2000 MAINTENANCE HISTORY REPORT This report was run for all repair history since January 1999. The report can be run various ways, i.e., sorted by employee, location, or work description. History is maintained from program inception. 05/08/2000 Calvary Center Cooperative Page 1 Detailed Work Order Report HSWO02 Primary Sort: Maintenance Item and Secondary Sort:Maintenance Item - For 01/01/1999 Through 12/31/1999 All Records Maintenance Item Description ACC-1 TSI WATER CHILLING UNIT Sorted By: Maintenance Item Id WO#/Line Location Maintenance Item Work Description Craft Date Reas For Rep Employee I.D. Hrs Worked Travel Time Mileage PO Number 2769/001 GRNDS ACC-1 AIRCK ACCONT 05/06/1999 PM JP 0.00 AIR CONDITIONING EQUIPMENT CHECK 1 Work Orders For ACC-1..................... 0.00 0.00 0.00 Maintenance Item Description ACU-1 BRYANT ROOFTOP AIR CONDITIONING UNIT Sorted By:Maintenance Item Id WO#/Line Location Maintenance Item Work Description Craft Date Reas For Rep Employee I.D. Hrs Worked Travel Time Mileage PO Number 2776/001 ROOF ACU-1 AIRCK ACCONT 0 5104/1 9 9 9 PM JP 0.00 AIR CONDITIONING EQUIPMENT CHECK 1 Work Orders For ACU-1..................... 0.00 0.00 0.00 Maintenance Item Description B-1 SLANT FIN MODULAR BOILER Sorted By: Maintenance Item Id WO#/Line Location Maintenance Item Work Description Craft Date Reas For Rep Employee I.D. Hrs Worked Travel Time Mileage PO Number 3339/001 MEPENT B-1 HEATCK HTCONT 09/10/1999 PM JP 0.00 HEATING EQUIPMENT CHECK 1 Work Orders For B-1........................ 0.00 0.00 0.00 Maintenance Item Description B-2 SLANT FIN MODULAR BOILER Sorted By:Maintenance Item Id WO#/Line Location Maintenance Item Work Description Craft Date Reas For Rep Employee I.D. Hrs Worked Travel Time Mileage PO Number 16 LASALLE GROUP, LIMITED'" October 28, 2005 Ms. Becky Landon Minnesota Housing Finance Agency 400 Sibley Street, Suite 300 St. Paul, MN 55101 Re: Lakewood Apartments Lino Lakes, MN Dear Ms. Landon: Enclosed is the completed Management and Marketing Agent's Qualifications - Form 210A for Lakewood Apartments located in Lino Lakes, Minnesota. If you have any questions or need further information, you may reach me at 952-876-9210 or by e-mail at maribethblack a,lasallegrp.com. Sincerely, LASALLE MANAGEMENT GROUP, LTD. Kimberly Collinge Regional Property Manager KC/as enclosures c: Derek Brandt (w/enc.) 2001 Killebrew Drive Suite 308 Minneapolis MN 55425-1864 Telephone:952-854-8800 Fax:952-854-4434 Web Site:wwwAasallegrp.com Minnesota Housin, Finance Agency FORM 210A MANAGEMENT AND MARKETING AGENT'S QUALIFICATIONS FOR MHFA USE ONLY Development No.: Date Received: Date HMO Review: Date Approval: Name and Location of Proposed Development: Lakewood Apartments, Lino Lakes, MN 55014 1. Name of Management Firm: LaSalle Management Group, Ltd. Name of Marketing Firm if different from Management Company: Address of Principal Office: 2001 Killebrew Drive, Suite 308, Bloomington, MN 55425-1864 Telephone No. Including Area Code: 952-854-8800 E-mail Address: maribethblack a(),lasallegrp.com Fax No. 952-854-4434 1 Name and Title of Principal in Charge of Proposed Development: Maribeth Black Executive Vice President _ Telephone No. (if different): 952-876-9210 2, Firm's Office Locations: 2001 Killebrew Drive, Suite 308, Bloomington, MN 55425-1864 Address Territory and Maior Cities Covered a. Principal Office (as shown above) Upper Midwest-Minnesota, Illinois, North Dakota, Wisconsin, Georgia, Missouri &Tennessee b. Other Offices 3. Does the Firm provide any of the following services or functions: (If these services are offered under a different firm or trade name, please indicate such name and relationship to firm, e.g., parent corporation, subsidiary, similar principals, etc.) YES NO a. Real estate sales or brokerage X b. Mortgage banking or brokerage X C. Real estate development X d. Real estate appraisals X e. Insurance agency or brokerage X f. Market analysis X g. Feasibility studies X h. Other(specify) X 4. Staff of Firm: Currently 2 Years Ago a. Number of employees of firm 241 228 b. Number of executives and professional persons who are engaged in property management and marketing activities 8 8 5. Type of Firm (check applicable box) Corporation X❑ Year founded 1975 Partnership ❑ Individual ❑ Year property management Other(specify) ❑ activities were begun 1975 6. List licenses, certificates and accreditations of the Firm (and executive, professional and supervisory employees, if relevant.) See Exhibit 1 —LaSalle Management Group was awarded and has maintained the Institute of Real Estate Management(IREM)Accredited Management Organization®(AMO) status since 1983. The President, Executive Vice President, and two of the five Regional Property Managers are Certified Property Managers®(CPM). Another Regional Property Manager is a Certified Occupancy Specialist, and another is a CAM®and CAMTO. 7. Have any licenses, certificates or accreditations ever been revoked, suspended, restricted or in any manner limited or terminated? (Answer in the affirmative even if license has since been restored.) ❑ YES If"YES", please provide details X❑ NO 8. List professional memberships, associations, affiliations, if any, of Firm (and executive, professional and supervisory employees, if relevant.) Indicate who holds such memberships, etc. See Exhibit 1 from question 6 above. 9. ATTACH as Exhibit A, current resumes of those members of the Firm (or the management division)who will have responsibility for, or involvement in, the property under consideration, including: a. The executive officer or partner"in charge"—Maribeth Black b. Supervisor(Property Manager)—Kim Collinge C. Resident Manager—to be hired 10. Residential Property Management Experience—Past Three Years: TYPE NO. DEVELOPEMTS NO. RESIDENTIAL UNITS AVERAGE MANAGEMENT FEE (PER D.U.)OR% OF COLLECTED INCOME a. APARTMENTS 23 2834 $35 DU b. CONDOMINIUMS 5 629 $20 DU c. SINGLE FAMILY 1 35 $15 DU d. OTHER 5 572 $20 DU TOTALS 34 3503 11. Attach as Exhibit B, a narrative that describes the Firm's apartment management and marketing experience. 12. Default Experience a. Have any developments that the Firm (or any of its executive professional or supervisory personnel) managed, or currently manages, ever experienced a default? Yes b. Provide details including name and location of development and circumstances surrounding each default, its cure, workout and mortgage modification arrangements, assignments, foreclosures, etc. Use extra sheets if necessary. We have managed default properties for owners and agencies, only after default had occurred and lender required a change in existing management. 1. Minneapolis HUD and syndicator(Security Properties) requested management change of owner- managed default property. Original mortgage has been reassigned to HUD. HUD had yet to make final decision on foreclosure. 2. In the mid-1970s, we managed 221D4 default properties and assisted with MIO plans and repositioning and refinancing. 3. In late 1989, we managed RTC properties for TCF. C. Has the Firm ever managed, or been appointed receiver, for defaulted or foreclosed properties? X❑ YES If"YES", indicate owner and mortgagee. Attach Exhibit E and discuss your experience with such properties. Did properties return to sustaining status? See 12 above. 0 NO 13, Contract Status a. How many property management contracts held by the Firm over the past 5 years have been terminated prior to their expiration dates? 1 b. Please provide names and addresses of these developments and their mortgagors, as well as reasons and circumstances surrounding such termination(s). Second Street Lofts— Tax Credit Commercial We were the second agent of newly developed property. Owner hired contractor to manage. Arnie Gregory, General Partner Hunt Gregory 129 North 2nd Street, Suite 100, Minneapolis, MN 55401 C. How many property management contracts held by the Firm over the past 5 years were not renewed upon expiration? See Exhibit II. d. Please provide names and addresses of these developments and their mortgagors, as well as reasons and circumstances surrounding such non-renewal(s). See Exhibit II 14. Fair Housing a. Has your company been the subject of a complaint regarding housing discrimination or a named defendant in a housing discrimination lawsuit? b. Has the Firm or any of its present personnel ever been involved in a governmental or judicial action concerning a violation of"Fair Housing" laws? No C. Please provide circumstances and resolution for each complaint or lawsuit. N/A 15. a. Does the Firm provide special personnel or special programs to assist tenants with social problems, etc.? X❑ YES If"YES", please describe. ❑ NO LaSalle Management Group maintains a relationship with housing authorities, social service agencies, mediation services, and referral services to assist residents with social programs. b. Does the Firm provide its staff with special training regarding tenant relations, social problems, etc.? X❑ YES If"YES", please describe. ❑ NO LaSalle Management Group provides annual training as well as mini-classes throughout the year as needed. Additionally, staff participates in MHFA, MHA, Quadel, NHLA and MAHMA and neighborhood/landlord coalition meetings. 16. a. Distance in miles from Firm's office to the Development: 28 b. Number of custodians,janitors, groundskeepers, etc., to be employed by the development? to be determined C. Firm's Resident Manager will be present on the job with what frequency and duration? Full time during rent up Part time after(minimum 25 hours per week) d. Describe frequency and type of direct supervision to be given to the Resident Manager(and by whom): e. Will Resident Manager be an employee of the Development or of the Firm? The Regional Property Manager provides all direct supervision of resident managers. The Regional Property Manager, a training officer, our Maintenance Coordinator, and COS train on-site staff, evaluate work performance, institute LaSalle Management Group procedures and policies. This can require daily visits at first and is reduced to no less than weekly once staff is stabilized and trained. 17. a. Does the Firm have a surety bond? ❑ YES If"YES", state (1) Amount of Bond: $ 500,000 X❑ NO (2) Name of Bonding Company: Crum & Forster b. If"NO", is Firm eligible for a surety bond? X❑ YES ❑ NO 18. Has the Firm or any principal or officer of the Firm filed bankruptcy or had judgments levied against them? If so, please explain. Yes. From time to time, complaints have been filed with the EEOC, either for racial discrimination or, more recent, under Section 504. To date, all complaints have been dismissed as having no probable cause. 19. Please provide references (Name and Address): a. Bank Marshall& Isley Kirsten Ellis Edina Branch b. Professional Bruce Nimmer Sienna Corporation 4940 Viking Drive Edina, MN C. Client John Wall The Wall Companies Minneapolis, MN 20. Please attach a current list of properties you own, and/or manage including phone numbers, contact person, addresses, and number of units for each development. (See Exhibit F) Required Attachments: A. Resumes—Paragraph 10 B. Exhibit B—Apartment Experience—Paragraph 11 E. Experience Managing Defaulted or Foreclosed Developments—Paragraph 12(C) F. Apartments Currently Owned and/or Managed The undersigned hereby certifies that information set forth in this document, and in any attachment in support thereof, is true, correct and complete to the best of its knowledge and belief. IN WITNESS WHEREOF, the Firm has caused this document to be duly executed in its name this 28tn day of October 12005 LaSalle Management Group, Ltd. Name of Firm By: Name Executive Vice President Title STOP HERE: If you are currently applying for funding through the MHFA RFP process. COMPLETE THE FOLLOWING: If you currently have an MHFA First Mortgage and are making a management company change. 21. Management Program a. Provide samples (attach as Exhibit C)of the Firm's materials and work-products, if any, in the following areas: 1. Financial statements 2. Budgets 3. Work order system 4. Written maintenance programs 5. Management plans 6. Form Leases b. Indicate type of bookkeeping system used by Firm (e.g., IBM system 3, Burroughs, National Business Systems, etc.): Timberline and OneSite 22. List marketing services provided by the Firm and ATTACH as Exhibit D examples of Firm's work in EACH category: Provided (✓) Not Provided By Firm's By Outside Personnel Subcontractor a. Marketing Plans X b. Rental Brochures X C. Press Release X d. Model Apartment, Rental Office and Community X Space Decoration e. Display and Classified Copy for Newspaper and Apartment Rental Magazine Advertisements X f. Direct Mail Advertising X g. Radio/Television Advertisements X 23. a. Which of the following MHFA materials relating to management and marketing have you read? YES NO 1. Management Contract X 2. Marketing Contract X 3. Management Handbook X 4. Pre-Commitment Marketing Plan X 5. Pre-Occupancy Marketing Plan X 6. Underwriting Handbook X 7. Regulatory Agreement X The following two attachments are required in addition to A, B, E, and F only if you are submitting for a management company change: C. Sample of Management Materials—Paragraph 14(a) D. Sample Marketing Materials—Paragraph 18 APPROVAL OF ASSIGNMENT AND RELEASE OF OBLIGATIONS UNDER CONTRACT FOR PRIVATE DEVELOPMENT LAKEWOOD APARTMENTS I. Recital. 1.1 The Effective Date of this Agreement is , 2006. 1.2 The Parties to this Agreement are the LINO LAKES ECONOMIC DEVELOPMENT AUTHORITY, a public body corporate and politic under the laws of Minnesota (the "Authority"), the CITY OF LINO LAKES, a Minnesota municipal corporation (the "City") and HARTFORD DEVELOPMENT, INC., a Minnesota corporation (the "Master Developer") and LLAH LIMITED PARTNERSHIP, a Minnesota limited partnership ("Successor Developer"). 1.3 The Authority, City and Master Developer are parties to a Contract for Private Development dated December 20, 2004, recorded December 29, 2004, as Document No. 1971748.006, in the Office of the Anoka County Recorder, as amended by a First Amendment thereto dated September 13, 2005 (the "Contract"). 1.4 Various real estate parcels are subject to the Contract and Successor Developer has entered into an agreement with Legacy Holdings-LL, LLC, an affiliate of Master Developer, to purchase certain of the parcels subject to the Contract for the purpose of developing 60 rental apartment units with first floor commercial space (the "Lakewood Development"). Such parcel is legally described as: Lot 1, Block 1, The Village No. 4, Anoka County, Minnesota (the "Subject Parcel") 1.5 In connection with the sale of the Subject Parcel, Master Developer has requested approval of an assignment of and a release from the terms and conditions of the Contract as to the Subject Parcel pursuant to Article VIII of the Contract. 1 1.6 Master Developer desires to assign, and Successor Developer desires to assume Master Developer's rights and obligations under the Contract with respect to the Subject Parcel. 1.7 City has approved the Subject Parcel for use consistent with the proposed Lakewood Development. On that basis, City and Authority are willing to approve an assignment of the Contract to Successor Developer and release Master Developer from the terms and conditions of the Contract subject to the terms and conditions of this assignment. THEREFORE, IT IS AGREED AS FOLLOWS: II. Agreement. 2.1 Master Developer hereby assigns, and Successor Developer hereby expressly assumes all of the rights and obligations of Master Developer under the Contract with respect to construction of the Lakewood Development on the Subject Parcel with a minimum market value of $7,450,000(the"Lakewood Improvements"). 2.2 The parties hereto agree and understand that the Lakewood Improvements constitute a portion of the Rental Housing Component and the Commercial Component of the Minimum Improvements under the Contract. 2.3 The Authority and the City hereby consent to and approve the assignment in sections 2.1 and 2.2 above. 2.2 From and after the effective date set forth above, Master Developer is released from its obligations under the Contract as to the Subject Parcel and as to the portion of the Rental Housing and Commercial Components represented by the Lakewood Improvements, subject to the following: (a) Master Developer remains liable under the Contract as to all other parcels subject to the Contract that are not released hereby or previously released, and as to all other provisions of the Contract. (b) Successor Developer agrees and understands that the Subject Parcel is subject to the Assessment Agreement between the Authority and Master Developer dated October 26, 2006 ("Assessment Agreement"), setting a minimum market value for the Subject Parcel and the Lakewood Improvements constructed thereon for the period described in the Assessment Agreement. (c) Satisfactory completion by Successor Developer of the Lakewood Improvements will be considered satisfaction of Developer's obligations as to a portion of the market value of Rental Housing and Commercial Component under Section 4.3 of the Contract, such portion being the minimum value of $7,450,000 or the actual value upon completion, whichever is greater. However, nothing in this agreement will relieve Developer of its obligation to construct the remainder of the Rental Housing and Commercial Components in accordance with the Contract. 2 This document drafted by: Hartford Group, Inc. (FAJ) 1300 Wells Fargo Plaza 7900 Xerxes Ave. S. Bloomington, MN 55431 Dated: 12006 LINO LAKES ECONOMIC DEVELOPMENT AUTHORITY, a public body corporate and politic under the laws of Minnesota By Its President By Its Executive Director STATE OF MINNESOTA ) SS. COUNTY OF ANOKA ) The foregoing instrument was acknowledged before me this day of ,2006 by and , the President and Executive Director of the Lino Lakes Economic Development Authority, on behalf of the Authority. [Separate Signature Page to Approval of Assignment and Release of Obligations Under Contract For Private Development] 3 Dated: , 2006 CITY OF LINO LAKES, MINNESOTA, a municipal corporation under the laws of the State of Minnesota. By: Its: Mayor By: Its: City Clerk STATE OF MINNESOTA ) ss COUNTY OF ANOKA ) The foregoing instrument was acknowledged before me this day of , 2006, by , the and , the of the City of Lino Lakes, Minnesota on behalf of said City. Notary Public [Separate Signature Page to Approval of Assignment and Release of Obligations Under Contract For Private Development] 4 Dated: , 2006 HARTFORD DEVELOPMENT, INC., a Minnesota corporation By: Keith Gruebele Its: Chief Financial Manager STATE OF MINNESOTA ) ss COUNTY OF HENNEPIN ) The foregoing instrument was acknowledged before me this day of 2006, by , the of Hartford Development, Inc, a Minnesota Corporation on behalf of said Corporation. Notary Public [Separate Signature Page to Approval of Assignment and Release of Obligations Under Contract For Private Development] 5 Dated: , 2006 LLAH LIMITED PARTNERSHIP By: Derek C. Brandt, Chief Manager of LLAH, LLC, General Partner of LLAH Limited Partnership STATE OF MINNESOTA ) ss COUNTY OF HENNEPIN) The foregoing instrument was acknowledged before me this day of 12006, by Derek C. Brandt, the Chief Manager of LLAH,LLC, a Minnesota limited liability company, the General Partner of LLAH Limited Partnership, a Minnesota partnership, on behalf of said partnership. Notary Public [Separate Signature Page to Approval of Assignment and Release of Obligations Under Contract For Private Development] 6