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HomeMy WebLinkAbout08/03/2023 EDAC Combined PacketCITY OF LINO LAKES ECONOMIC DEVELOPMENT ADVISORY COMMITTEE MEETING Thursday, August 3, 2023 8:00 A.M. Community Room AGENDA 1. CALL TO ORDER AND ROLL CALL 2. APPROVAL OF MINUTES: June 1, 2023 3. DISCUSSION ITEMS A. Lake Drive and Main Street Redevelopment B. Apollo Business Expansions C. Redevelopment/Strategic Acquisitions Property Identification D. Project Updates 4. ADJOURN DRAFT MINUTES CITY OF LINO LAKES ECONOMIC DEVELOPMENT ADVISORY COMMITTEE MINUTES DATE: June 1, 2023 TIME STARTED: 8:00 a.m. TIME ENDED: 8:47 a.m. MEMBERS PRESENT: Jim Schueller, Andrew Cravero, Julie Jeffrey- Schwartz, Chad Wagner, Patrick Kohler, Steve Marchek, Nathan Vojtech, Keith Hembre MEMBERS ABSENT: Blakely LaCroix, Don Johnson STAFF PRESENT: Michael Grochala, Julie Whitney, Claire Knopf 1. CALL TO ORDER Mr. Schueller called the Economic Development Advisory Committee meeting to order at 8:00 a.m. on June 1, 2023. 2. APPROVAL OF MINUTES Mr. Kohler made a motion to approve the April 6, 2023 meeting minutes. Motion was supported by Mr. Cravero. Motion carried 8-0. 3. DISCUSSION ITEMS A. Anoka County HRA/EDA Mr. Grochala stated that he received the numbers back from the County as to what we would capture from the City levy for this program. The total amount that would be generated would be $268,197 with the County receiving 20 percent which would be $53,000. Mr. Grochala thought it would be a better use of funds to use internal funds for strategic acquisitions as they present themselves. The repayment source could be either land sale proceeds, tax increment financing proceeds, utility funds if a sewer or water project, or state aid street funds if a road improvement. Mr. Grochala stated the City was trying to avoid charging an additional tax if we have the funds to use in place of that. Mr. Grochala mentioned the Winter property and that we will be using short-term funds to fund that purchase. He went on to say that he was working with our Finance Director, Mrs. Hannah Lynch on the funding process for land acquisition. Economic Development Advisory Committee June 1, 2023 Page 2 DRAFT MINUTES The Committee expressed support of using internal funds for land acquisition. It was also conveyed this method of funding would allow the City to identify targets and construct a plan of how we can finance a particular property as opposed to how are we going to spend all this money. B. Project Updates Mr. Grochala updated the Committee on current City projects. B. ADJOURNMENT Mr. Cravero made a motion to adjourn the meeting at 8:47 a.m. Motion was supported by Mr. Vojtech. Motion was carried 8-0. Respectfully submitted, Julie Whitney, Community Development Administrative Assistant ECONOMIC DEVELOPMENT ADVISORY COMMITTEE AGENDA ITEM 3A STAFF ORIGINATOR: Michael Grochala EDAC MEETING DATE: August 3, 2023 TOPIC: Lake and Main Redevelopment Update BACKGROUND The 5 acre Carpenter property and abutting 4.5 acre Bigco property have been on the market since early 2021. Over the past two years staff has been working with the property owners and potential developers regarding development options on the 9.5 acres. The site includes an auto salvage yard that has been in existence for over 40 years, vehicle sales lot, auto repair, and a contractor shop. It is likely some environmental cleanup will be necessary to facilitate redevelopment of the site. Anderson Companies began working on a redevelopment project in October of 2021 and last met with advisory boards in August of 2022 and the City Council last September. Anderson continued to work on the concept through February of this year with a new development team. However, they dropped the contract on the property in March. Closing the gap in project financing continues to be a problem. Staff has since been working with the owner to identify other potential developers over the past four months. At the same time the Owner is also considering sale to the existing auto sales operator. Staff is anticipating a discussion between the EDAC and a new development team in September. EDAC CONSIDERATION None. Discussion only on City objectives, and financial assistance options. ATTACHMENTS 1. Site Location Map ECONOMIC DEVELOPMENT ADVISORY COMMITTEE AGENDA ITEM 3B STAFF ORIGINATOR: Michael Grochala EDAC MEETING DATE: August 3, 2023 TOPIC: Apollo Business Expansion Projects BACKGROUND The Apollo Business Park was established in the early 1990’s to provide land for economic development and expand the City’s tax base. Over the past year staff has been working with two of the local businesses on expansion opportunities. Both companies are long term occupants of the park in need of additional space. In both cases expansion area on the site is less than needed for the proposed expansions. As a potential solution staff is evaluating the use of adjacent city owned and tax forfeit properties. These properties where originally created as borrow pits for grading in the development and subsequently used for stormwater runoff. We believe there is capacity in lots that would allow for some building expansion and/or use for additional stormwater from new construction. If it is determined that the properties could be used for expansion purposes, staff is proposing transfer of the currently tax exempt properties to the industrial users. The City would retain drainage and utility easements over the ponding areas. Staff would suggest a nominal fee for the conveyance since the property would still be encumbered by stormwater facilities. However, that would be further evaluated if the projects move forward. EDAC CONSIDERATION Staff is requesting EDAC’s opinion on pursuing property conveyance to facilitate business expansion. ATTACHMENTS 1. Site Location Map 4thAve74th St 12 MarshanLn 35W 23 ParkCt Legend Address Labels Parcels July 27, 2023 ± Map Powered By Datafi 1 in = 406 Ft Apollo Business Expansion 1 ECONOMIC DEVELOPMENT ADVISORY COMMITTEE AGENDA ITEM 3C STAFF ORIGINATOR: EDAC MEETING DATE: TOPIC: Michael Grochala, Community Development Director Claire Knopf, Community Development Intern August 3, 2023 Redevelopment/Strategic Acquisitions Property ID. BACKGROUND The EDAC has been evaluating funding options to support economic development initiatives including strategic acquisitions of property that further our goals. At the June 1, 2023 EDAC meeting there was a discussion of funding for strategic acquisitions. It was recommended that internal funds would be used for strategic acquisitions and that these loans could be paid back through land sale proceeds, tax increment financing proceeds, utility funds (if a sewer or water project), or state aid street funds (if a road improvement) at the time of development. Going forward, the first step is to identify redevelopment and strategic acquisition locations. In 2010, EDAC acted as a Redevelopment Task Force to study the issues surrounding underused and nonconforming properties in the City. As a result, the 2011 Redevelopment Task Force Report was produced, which includes an inventory of properties that were difficult to maintain, expand, or redevelop. This report was used as the baseline to identify current locations for redevelopment consideration. An updated property inventory has been made, including the addition of a few strategic acquisition locations for EDAC review. Staff may recommend removal of certain properties from the list and consideration of any other properties the EDAC may identify to add. EDAC CONSIDERATION Staff is requesting EDAC feedback of the draft Redevelopment and Infrastructure Site Identification Inventory. ATTACHMENTS 1. 2023 Redevelopment and Infrastructure Site Identification Inventory. Redevelopment and Infrastructure Site Identification Inventory Redevelopment Sites 909 Maple Street Aerial Photograph Property Information Existing Use: Auto Repair Garage; K.I. Auto Utilities: 5,000 feet to nearest pipe Redevelopment Issues: • Insufficient setbacks • Architectural deficiences • ROW needed • Insufficent land for future onsite utilities Market Values and Annual Tax Information Land Values $30,300.00 Annual Taxes $2,114.32 City Portion $443.82 Zoning Map Zoning: General Business Auto repair businesses are permitted given that there is a conditional use permit in compliance with City Code Section 1007.016. Request for conditional use permits have been denied. 2040 Comp Plan – Future Land Use Guided: Commercial No change from 2030 Comp Plan. 909 Maple Street 908 Orange Street Aerial Photograph Property Information Existing Use: Single Family Dwelling / Auto Repair Facility Utilities: Private; 2,00 feet to nearest stub Redevelopment Issues: • Lack of tuilities • Insufficient setbacks • Insufficient on-site parking • Lack of ponding area • Sibstandard lot • No secondary septic field Market Values and Annual Tax Information Land Values $59,620 Annual Taxes $3,035.82 City Portion $914.58 Zoning Map Zoning: General Business Auto repair businesses are allowed given that there is a conditional use permit in compliance with City Code Section 1007.016. However, this is also a dwelling. Home occupations are allowed in GB, but automobile repaors was speficially prohibited in 2010. This business was in operation prior to this ordinance amendment and is therefore allowable. As long as all other conditions of the previous ordinance are met. Current conditional use permit for outside storage building and auto repair. 2040 Comp Plan – Future Land Use Guided: Commercial No change from 2030 Comp Plan. 908 Orange Street 911 Orange Street Aerial Photograph Property Information Existing Use: Light Manufacturing (Lino Cabinet Inc) Utilities: Private; 5,000 feet to nearest stub Redevelopment Issues: • Lack fo utilities • Insufficient setbacks • Insufficient on-site parking • Lack of ponding area • Substandard lot • No secondary septic field Market Values and Annual Tax Information Land Values $29,100 Annual Taxes $1,158.06 City Portion $238.18 Zoning Map Zoning: General Business Current use as Lino Cabinet Inc is deisgnated as Light Manufacturing which is not allowed in General Business, making this a non- conforming use. As this business was estblished before the zoning change, it may continue until operation ceases for 12 months, then it at which time it must comply with the current building and zoning ordinace. Additionally, any change in use would also prompt the need to review the building/site agaist current building and zoning codes. This may be of concern as the restaurant (Sunrise Café) that also occupied this site has closed. 2040 Comp Plan – Future Land Use Guided: Commercial No change from 2030 Comp Plan. 911 Orange Street 8351 Lake Drive Aerial Photograph Property Information Existing Use: Sand Blasting / Powder Coating Utilities: Private; 5,000 feet to nearest stub Redevelopment Issues: • Lack of utilities • Insufficient setbacks • Insufficent on-site parking • Substandard lot • No secondary septic field Market Values and Annual Tax Information Land Values $50,600 Annual Taxes $2,961.04 City Portion $605.40 Zoning Map Zoning: General Business Current use as sand blasting / powder coating business is categorized as Light Manufacturing which is not allowed in General Business, making this a non-conforming use. As this business was established before the zoning change, it may continue until operation ceases for 12 months, at which time it must comply with the current building and zoning ordinance Cannot find conditional use permit. 2040 Comp Plan – Future Land Use Guided: Commercial No change from 2030 Comp Plan. 8351 Lake Drive 8327 Lake Drive Aerial Photograph Property Information Existing Use: Auto Repair Garage Utilities: 5,000 to nearest pipe Redevelopment Issues: • Insufficient setbacks • Architectural deficiencies • ROW needed • Insufficient land (need to check this as this proeprty was bought by owner next door) • No existing drain field Market Values and Annual Tax Information Land Values $54,600 Annual Taxes $2,341.10 City Portion $492.78 Zoning Map Zoning: General Business Auto repair businesses are permitted given that there is a conditional use permit in compliance with City Code Section 1007.016. Cannot find conditional use permit. 2040 Comp Plan – Future Land Use Guided: Commercial No change from 2030 Comp Plan. 8327 Lake Drive 790 Lois Lane Aerial Photograph Property Information Existing Use: Unknown Utilities: 600 feet to pipe Redevelopment Issues: • Insufficient setbacks • Architectural deficiencies Market Values and Annual Tax Information Land Values $126,300 Annual Taxes $2,104.84 City Portion $427.04 Zoning Map Zoning: General Business Current use is permitted under General Business. However, this site sat vacant for over 12 months meaning that is must be up to current building and zoning ordinances. 2040 Comp Plan – Future Land Use Guided: Commercial No change from 2030 Comp Plan. 790 Lois Lane 7413 Lake Drive Aerial Photograph Property Information Existing Use: Office / Manufacturing; Palico - Electronics Utilities: 750 feet to nearest pipe Redevelopment Issues: • ROW needed • Insufficient setbacks • Below Minimum lot zise • Architectural deficiencies Market Values and Annual Tax Information Land Values $100,000 Annual Taxes $2,466.62 City Portion $633.38 Zoning Map Zoning: Light Industrial Current use is permitted under Light Industrial. 2040 Comp Plan – Future Land Use Guided: Industrial No change from 2030 Comp Plan. 7413 Lake Drive 7395 Lake Drive Aerial Photograph Property Information Existing Use: Office; Tax Service Business Utilities: 525 feet to nearest pipe Redevelopment Issues: • Minimal lot size • ROW needed? • Architectural deficiencies Market Values and Annual Tax Information Land Values $65,000 Annual Taxes $2,227.74 City Portion $436.46 Zoning Map Zoning: Light Industrial Current use is permitted under Light Industrial. 2040 Comp Plan – Future Land Use Guided: Industrial No change from 2030 Comp Plan. 7395 Lake Drive 7337 Lake Drive Aerial Photograph Property Information Existing Use: Manufacturing / Contractor’s Shop; New Image Coating Utilities: 700 feet to nearest pipe Redevelopment Issues: • Architectural Deficiencies • Parking standards • Outdoor storage prohibition Market Values and Annual Tax Information Land Values $258,300 Annual Taxes $10,789 City Portion $1,727.38 Zoning Map Zoning: Light Industrial Current use is permitted under Light Industrial. 2040 Comp Plan – Future Land Use Guided: Industrial No change from 2030 Comp Plan. 7337 Lake Drive 7317 Lake Drive Aerial Photograph Property Information Existing Use: Auto Repair Garage Utilities: 1,200 feet to nearest pipe Redevelopment Issues: • Architectural deficiencies • Outdoor storage prohibition • Parking • Shared access with parced to the North Market Values and Annual Tax Information Land Values $139,800 Annual Taxes $11,051.06 City Portion $1,852.92 Zoning Map Zoning: Light Industrial Auto repair businesses are permitted given that there is a conditional use permit in compliance with City Code Section 1007.016. Current conditional use permit for auto and truck repair and retail sales. 2040 Comp Plan – Future Land Use Guided: Industrial No change from 2030 Comp Plan. 7317 Lake Drive 6943 Lake Drive Aerial Photograph Property Information Existing Use: Contractor’s Shop / Manufacturing Utilities: 1,330 feet to nearest pipe Redevelopment Issues: • Outdoor storage prohibition • Architectural deficiencies • Lake Drive reconstruction Market Values and Annual Tax Information Land Values $73,000 Annual Taxes $6,266.48 City Portion $997.82 Zoning Map Zoning: General Business Contractor’s shop / manufacturing businesses are permitted given that there is a conditional use permit in compliance with City Code Section 1007.016. Current conditional use permit for auto body repair. 2040 Comp Plan – Future Land Use Guided: Commercial No change from 2030 Comp Plan. 6943 Lake Drive 6935 Lake Drive Aerial Photograph Property Information Existing Use: Auto Repair Garage / Junk Yard; Gold Star Auto Shop, Uhual dealer Utilities: 1,230 feet to nearest pipe Redevelopment Issues: • Architectural deficiencies • Lake Drive reconstruction Market Values and Annual Tax Information Land Values $71,800 Annual Taxes $3,618.54 City Portion $678.50 Zoning Map Zoning: General Business Auto repair garage business is permitted given that there is a conditional use permit in compliance with City Code Section 1007.016. Junk yards are not permitted under General Business. Current conditional use permit for sale of auto parts. 2040 Comp Plan – Future Land Use Guided: Commercial No change from 2030 Comp Plan. 6935 Lake Drive 6933 Lake Drive Aerial Photograph Property Information Existing Use: Contractor’s Shop / Manufacturing Utilities: 1,030 feet to nearest pipe Redevelopment Issues: • Architectural Deficiencies • Lake Drive Reconstruction Market Values and Annual Tax Information Land Values $64,900 Annual Taxes $3,418.68 City Portion $646.32 Zoning Map Zoning: General Business Contractor’s shop / manufacturing businesses are permitted given that there is a conditional use permit in compliance with City Code Section 1007.016. Cannot find conditional use permit. 2040 Comp Plan – Future Land Use Guided: Commercial No change from 2030 Comp Plan. 6933 Lake Drive 6931 Lake Drive Aerial Photograph Property Information Existing Use: Unknown Utilities: 1,030 feet to nearest pipe Redevelopment Issues: • Architectural deficiencies • Lake Drive reconstruction Market Values and Annual Tax Information Land Values $105,600 Annual Taxes $4,221.28 City Portion $775.38 Zoning Map Zoning: General Business Current use is unknown, but property was purchased after site sat vacant for over 12 months. This means that the site must meet current building and zoning ordinances. Cannot find conditional use permit. 2040 Comp Plan – Future Land Use Guided: Commercial No change from 2030 Comp Plan. 6931 Lake Drive 6000 Hodgson Road Aerial Photograph Property Information Existing Use: Automobile Repair and Sale Lot Utilities: Private Redevelopment Issues: • Insufficient setbacks • ROW needs for County Road J reconstruction • Architectural Deficiencies Market Values and Annual Tax Information Land Values $164,800 Annual Taxes $3,071.38 City Portion $599.12 Zoning Map Zoning: General Business Auto repair garage business is permitted given that there is a conditional use permit in compliance with City Code Section 1007.016. Cannot find conditional use permit. 2040 Comp Plan – Future Land Use Guided: Signature Gateway District Change from 2030 Comp Plan from Mixed Use. Current Full Build Land Use is designated Mix / Signature Gateway District. 6000 Hodgson Road 6034 Hodgson Road Aerial Photograph Property Information Existing Use: Auto Sales Lot Utilities: Private Redevelopment Issues: • Insufficient setbacks • ROW needs for County Road J reconstruction • Architectural Deficiencies Market Values and Annual Tax Information Land Values $342,900 Annual Taxes $9,724.18 City Portion $1,561.60 Zoning Map Zoning: General Business Auto repair and sales business is permitted given that there is a conditional use permit in compliance with City Code Section 1007.016. Conditional use permit for Auto Used Sales Lot issued 6/27/1984. 2040 Comp Plan – Future Land Use Guided: Signature Gateway District Change from 2030 Comp Plan from Mixed Use. Current Full Build Land Use is designated Mix / Signature Gateway District. 6034 Hodgson Road 6064 & 6074 Hodgson Road Aerial Photograph Property Information Existing Use: Residential / Garden Center Utilities: Private Redevelopment Issues: • Insufficient setbacks • Row needs for County Road J reconstruction • Architectural deficiencies Market Values and Annual Tax Information Land Values $516,591 Annual Taxes $11,750.48 City Portion $2,472.30 Zoning Map Zoning: General Business (W) and Rural (E) Garden centers are permitted under General Business Residential dwellings are permitted under Rural. 2040 Comp Plan – Future Land Use Guided: Signature Gateway District (W) and Medium Density Residential (E) Change on the West half of site from 2030 Comp Plan from Mixed Use. No change on East half of site from 2030 Comp Plan. Current Full Build Land Use is designated Mix / Signature Gateway District. 6064 & 6074 Hodgson Road Lake Drive and Main Street Aerial Photograph Property Information Existing Use: Auto Repair (Rented out) Utilities: Redevelopment Issues: • Looking to combine and sell properties to developer Market Values and Annual Tax Information (8041) Land Values $212,000 Annual Taxes $3,374.28 City Portion $1,192.96 Market Values and Annual Tax Information (8009) Land Values $113,300 Annual Taxes $5,740.12 City Portion 1,072.30 Zoning Map Zoning: General Business Auto repair and sales business is permitted given that there is a conditional use permit in compliance with City Code Section 1007.016. 2040 Comp Plan – Future Land Use Guided: Signature Gateway District Change from 2030 Comp Plan from Mixed Use. Current Full Build Land Use is designated Mix / Signature Gateway District. Lake Drive and Main Street Infrastructure Improvement Sites 980 James Street Aerial Photograph Property Information Existing Use: Residential Dwelling Infrastructure Improvements: • Site purchased in order to put new road and utility lines through Market Values and Annual Tax Information Land Values $107,010 Annual Taxes $3,114.84 City Portion $1,096.80 Zoning Map Zoning: Rural Current use is permitted under Rural. 2040 Comp Plan – Future Land Use Guided: Low Density Sewered Residential 980 James Street 7919 4th Ave Aerial Photograph Property Information Existing Use: Residential Dwelling Redevelopment Issues: Market Values and Annual Tax Information Land Values $166,775 Annual Taxes $4,244.82 City Portion $1,337.06 Zoning Map Zoning: Rural Current use permitted under rural. 2040 Comp Plan – Future Land Use Guided: Low Density Sewered Residential 7919 4th Ave \ 80th and 35E Interchange Aerial Photograph Property Information Existing Use: Multiple Redevelopment Issues: • Possible need to acquire for future interchange Market Values and Annual Tax Information (Church; 2230; NE; 2135) Land Values $179,200; $190,300; $73,700; $218,900 Annual Taxes $0; $1,274.56; $770.02; $1,434.06 City Portion ___; $575.68; 281.54; $647.72 Zoning Map Zoning: Rural 2040 Comp Plan – Future Land Use Guided: Urban Reserve, Business Campus, Commercial 80th and 35E Interchange (Looking East Above, Looking West Below)