HomeMy WebLinkAbout09-27-2004 EDA MinutesCITY OF LINO LAKES 1
ECONOMIC DEVELOPMENT AUTHORITY 2
MINUTES 3
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DATE : September 27, 2004 6
MEMBERS PRESENT : J. Bergeson, D. Carlson, C. Dahl, J. Reinert, D. Stoltz 7
MEMBERS ABSENT : None 8
OTHERS PRESENT : Gordon Heitke, Mary Divine, Michael Grochala and Bill 9
Hawkins 10
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CONSIDERATION OF MINUTES OF FEBRUARY 23, 2004 12
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EDA Member Bergeson moved to approve the minutes of the February 23, 2004 EDA Meeting. EDA 14
Member Stoltz seconded the motion. Motion passed unanimously. 15
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CONSIDERATION OF SALE OF PROPERTY TO E.G. RUD & SONS LAND SURVEYORS 17
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A. Consideration of Resolution No. 04-02 Authorizing the Sale of Property. 19
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Ms. Divine summarized the Staff report, indicating Staff is recommending approval. 21
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President Reinert opened the public hearing at 6:12 p.m. 23
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The EDA asked about access to the property, which Ms. Divine explained comes from Hodgson Road 25
and also a left turn lane that goes to the Shaw Property, where access would have to be granted. 26
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EDA Member Carlson expressed concern about the amount of lakeshore, and if the City was getting 28
the full value for the property. She indicated it is really six acres of property, even if it is not all 29
buildable land. She questioned why the City would not try to keep land along the lake since they are 30
not being paid for it anyway. She noted it is a good company that will provide a quality building, but 31
she is concerned they are missing an opportunity for public ownership of lakeshore at a time when 32
they are looking to purchase lakeshore. 33
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Staff explained how the piece of property came to be, noting it was pieced together from several other 35
situations. The utility easement on the property was clarified, as well as the fact that that easement is 36
a power company easement and cannot be vacated. 37
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Ms. Divine clarified the appraisal is based on the full amount of acreage and on market value, not on 39
the buildable portion of land. She indicated while this property was not advertised for sale because 40
Staff was working on clearing up title issues, they have had people come in and ask about it, and 41
when the property was appraised they received this full market value offer, which they brought to the 42
EDA. She indicated if there were going to turn down this offer and put it on the market they would 43
have to make the decision to sell it for more than the appraised value. 44
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EDA MINUTES SEPTEMBER 27, 2004
DRAFT
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Jason Rud, Rud and Sons gave the history of the company, noting they are anxious to move their 46
offices to this property in Lino Lakes. He noted they have one tenant, who is a civil engineer that will 47
move with them, and gave a brief description of the type of building they would envision. 48
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President Reinert closed the public hearing at 6:31 p.m. 50
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City Attorney Hawkins noted a correction to the resolution, the second to the last paragraph, which 52
should read ‘Staff and City Attorney are hereby authorized and directed to prepare a purchase 53
agreement with the Buyer for the purchase of the property for the amount of $300,000.’ 54
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EDA Member Bergeson stated he would support this action, and thinks Staff has negotiated in good 56
faith. He indicated this is not necessarily a highly saleable parcel, and he thinks the use is ideal. He 57
does not want a high traffic user close to the corner. 58
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EDA Member Dahl disagreed, indicating she feels this is a highly prized corner as well as being 60
lakeshore. She did agree Staff did a good job bringing this offer. 61
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Community Development Director Grochala offered that the plat includes a portion of the lake, so 63
nearly half of the six acres is lake, and the remaining land is further encumbered with easements. He 64
stated after applying setbacks, the area you could actually place a building on is about a half acre 65
parcel, therefore the appraiser averaged out the square footage values and came up with an appraisal 66
of $300,000. He noted they are getting more out of this parcel than Staff thought possible. 67
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EDA Member Stoltz expressed his support for the sale and for Staff’s process for determining fair 69
market value. He added this parcel has been dormant on the tax rolls so the longer the City delays the 70
sale the longer the lack of income will continue. He agreed it is a gateway to the community, and 71
believes the Rud and Sons building would be a great addition to the community. 72
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EDA Member Carlson noted the ponding and following easement agreement is important to her, and 74
she thinks $300,000 is an appropriate bid, so she will support. 75
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President Reinert echoed the comments that this is a good use of land. He indicated he agrees with 77
EDA Member Carlson that they should save lakeshore when they can, but would like to see it be 78
useable lakeshore and not just add maintenance for the City. 79
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EDA Member Bergeson moved to adopt Resolution No. 04-02 authorizing the sale of property at the 81
northeast corner of Highway 23 and Highway 49, with the correction noted by City Attorney 82
Hawkins. EDA Member Stoltz seconded the motion. 83
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Motion carried unanimously. 85
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ADJOURNMENT 87
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There being no further business, EDA Member Carlson moved to adjourn. EDA Member Bergeson 89
seconded the motion. Motion passed unanimously. 90
EDA MINUTES SEPTEMBER 27, 2004
DRAFT
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Meeting adjourned at 6:50 p.m. 92
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Transcribed by: 94
Karen Bucklen 95
TimeSaver Off Site Secretarial, Inc. 96
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