Resolution No. 21-01 EDA - Laserfiche WebLink

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LINO LAKES ECONOMIC DEVELOPMENT AUTHORITY RESOLUTION NO.21-01 RESOLUTION APPROVING AN ASSIGNMENT AND ASSUMPTION AGREEMENT AND AN AMENDED AND RESTATED CONTRACT FOR PRIVATE DEVELOPMENT WITH LYNGBLOMSTEN AT LINO LAKES, LLC WHEREAS, the City of Lino Lakes (the "City") and the Lino Lakes Economic Development Authority (the "Authority") previously approved the creation of Tax Increment Financing (Housing) District No. 1-5 and Tax Increment Financing (Housing) District No. I-13 (the "TIF District") within Development District No. 1 in the City, all in accordance with Minnesota Statutes, Sections 469.174 through 469.1794, as amended (the "TIF Act"); and WHEREAS, the Authority and Lyngblomsten Senior Housing, Inc., a Minnesota nonprofit corporation (the "Assignor"), entered into Contract for Private Development, dated July 23, 2019 (the "Original Agreement"), pursuant to which the Authority agreed to provide financial assistance in the form of tax increment to the Assignor and the Assignor agreed to develop and construct (i) a senior rental housing facility with approximately 142 units, comprised of approximately 92 independent living and approximately 50 assisted living units, with at least twenty percent (20%) of such units to be available to persons of low and moderate income, as described herein (the "Senior Building"); (ii) 20 detached townhomes; (iii) subject to obtaining the proper licensing from the State of Minnesota, approximately 56 units in which skilled nursing services would be provided, to be constructed as part of the Senior Building or an expansion to the Senior Building; and (iv) a clubhouse for use by the residents of the senior rental housing facility; and WHEREAS, pursuant to Section 469.178 of the TIF Act and the provisions of the Original Agreement, the Authority agreed to issue a tax increment note to the Assignor in the maximum amount of $3,218,000 (the "Original TIF Note") to reimburse the Assignor for costs related to the Senior Building if the conditions set forth in the Original Agreement were satisfied, but the TIF Note was never issued; and WHEREAS, pursuant to Section 8.2 of the Original Agreement, the Assignor is permitted to assign its rights and interests in and its obligations under the Original Agreement to an affiliate thereof, and WHEREAS, the Assignor desires to assign to Lyngblomsten at Lino Lakes, LLC, a Minnesota limited liability company (the "Developer") all of the Assignor's rights and interests in and obligations tinder the Original Agreement, and the Assignee desires to assume such rights and interests of the Assignor and the Assignor's obligations under the Original Agreement; and WHEREAS, the parties to the Original Agreement and the Assignee have proposed to revise the description of the Minimum Improvements under the Original Agreement to instead include a senior rental housing facility with approximately 167 units, comprised of (i) approximately 96 independent living apartments, 35 assisted living units, and 16 assisted memory care units, with at least twenty percent (20%) of such units to be available to persons of low and moderate income, as described herein (the "Senior Housing Units") and (ii) 20 detached independent living townhomes (the "Townhomes") upon a portion of the TIF District Property (collectively, the "Minimum Improvements"); and WHEREAS, there has been presented before this Board of Commissioners of the Authority (the "Board") forms of (i) an Assignment and Assumption of Contract for Private Redevelopment (the