HomeMy WebLinkAbout05/13/1991 Council Minutes136
COUNCIL WORK SESSION
CITY OF LINO LAKES
COUNCIL MINUTES
MAY 13, 1991
DATE May 13, 1991
TIME STARTED : 5:30 P.M.
TIME ENDED • 6:30 P.M.
MEMBERS PRESENT: Bisel, Bohjanen, Kuether, Neal, Reinert
MEMBERS ABSENT : None
City Engineer, Darrell Schneider; Public Works Director, Don
Volk; Administrator, Randy Schumacher and Clerk - Treasurer Marilyn
Anderson were also present.
SCHILLING INDUSTRIAL PARK AND ROAD SYSTEM
Mr. Schilling has sent a letter to the City offering to sell to
the City the Lino Industrial Park. The Lino Industrial Park is
approximately 36 acres and Mr. Schilling is asking $300,000.00 to
be paid within the next seven (7) years at about 10% interest.
The selling price would be approximately $8,300.00 per acre or 19
cents per square foot.
Mr. Schneider calculated the cost of improving the Industrial
Park with street and municipal water and sanitary sewer. The
total cost would be about $489,000.00. In addition drainage
ponds would be constructed. Total cost of the land and
improvements could be about 70 cents to 75 cents per square foot.
Mr. Schumacher had researched the cost of land in other
industrial parks in Anoka County. He presented this information
to the Council. It was noted that land costs vary and this is
due to the number and kind of incentives offered by each city in
which the industrial park is located. Mr. Schumacher also noted
that if the City were to purchase Mr. Schillings property, the
City would have control of the amount and type of development.
The City could use some MSA funding for streets and TIF for
installation of sewer and water lines. The City probably would
have more flexibility in development of the property than a
private person or company. Mr. Schneider noted that most large
commercial developers are looking at basically getting the land
free of charge.
Mr. Schneider presented a map showing a different street system
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COUNCIL WORK SESSION MAY 13, 1991
for the Industrial Park. He noted that the large collector
street would qualify for MSA funding. He -also explained that
Lilac Street is an outdated trunk highway and because it is the
main route to the state prison, the state may be encouraged to
participate in the upgrading of Lilac Street and possibly the
relocation of the street to the north. The relocation is needed
to design a better traffic pattern for the intersections of Lake
Drive, I35W and Lilac Street. There was further discussion
regarding the location of streets in the Industrial Park and the
relocation of Lilac Street.
Mr. Schumacher suggested that he approach Mr. Schilling and ask
for an option to purchase the Lino Industrial Park. This would
give him time to meet with MnDOT regarding Lilac Street and also
time to put together a package to purchase the property, improve
the property and prepare related costs.
It was noted that the state is considering building additional
cottages at the prison and fronting them on 4th Avenue. It was
noted that 4th Avenue south of Lilac Street is not in good
condition. The consensus of the Council is, if the state is
going to place any improvements along 4th Avenue, these
improvements should be tied to the state participating in the
reconstruction of 4th Avenue.
It was the consensus of the Council that Mr. Schumacher is
directed to negotiate an option with Mr. Schilling based upon a
purchase price that is 1/2 the purchase price asked by Mr.
Schilling and explain to him why the City feels the land is not
worth the current asking price.
The work session adjourned at 6:30 P.M.
These minutes were considered, corrected and approved at a
regular Council meeting held on May 28, 1991.
nc.�� `17? ( -(erjl n G. Anderson, ,
Clerk -T easurer
Harold L. Bis 1,
Mayor
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