HomeMy WebLinkAbout12/06/2007 EDAC MinutesApproved
CITY OF LINO LAKES
ECONOMIC DEVELOPMENT
ADVISORY COMMITTEE
MINUTES
DATE: Thursday, December 6, 2007
MEMBERS
PRESENT: J. Helgemoe, J. Schwartz, M. Keller, K. Corson, K. Lodico,
MEMBERS
ABSENT: J.Milbauer, M.C. Pap, B. Combs, J. Kuschke
OTHERS
PRESENT: M. Divine
GENERAL/MINUTES
Minutes of August 2, 2007 were approved.
Business Expansion and Retention
Members reviewed the final draft of the business survey and suggested minor changes.
Ms. Divine stated she would take the draft survey to a local work session before sending it out.
Comprehensive Plan Advisory Panel Update
Comprehensive Plan Advisory Panels members updated EDAC on the process of considering
changes in land use to the new plan. Ms. Schwartz and Ms. Keller said the consultants and staff
empowered the panel by taking their input and considering their suggestions. Northeast along
I35E, Birch and Centerville Road, Hodgson and Lake, north of Town Center, the intersection of
14 and Lake, and the Robinson Sod Farms were among the areas studied, and studied what
would be compatible.
Wrap up for 2007
Members discussed the housing market from the perspectives of their occupations. While a
serious issue, foreclosures remain a minor percentage of bank loans. A larger problem is
developers with large land parcels that are walking with partially finished projects.
77th Street/Anderson Builders: Ms. Divine outlined the results of the loss of the Anderson
Builders project on 77th Street. After the land sale, costs of securing land for the road
realignment, the cost of reconstruction and loan payback on the city property, the city would
have approximately $2.8 million in new market value, two houses removed, and an estimated
Phase 1 of $2.8 million in commercial market value, and a small net profit to the city. Without
the sale of city land to the developer, no funds are available for the city to secure the houses or
construct the road, there are no assessments to potential benefiting properties, and the corner
house on 77th Street would remain.
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Legacy at Woods Edge: Ms. Divine provided members with a request from the Hartford Group
to amend the Land Use Plan in the Legacy to accommodate the rental senior housing project that
will be 120-140 units, with facilities for different stages of senior living. The building would
wrap differently on site than originally planned, would have less commercial space, but would
allow a stronger commercial corner visible from the interchange.
She informed members that Hartford had also suggested to the council that because of the lack of
a market for condominiums, they would like to turn that project, which is next to the YMCA
parking lot, into rental. The development agreement with Hartford calls for a maximum of 40%
of the units to be rental, and 60% for-sale. This change would make the project about 60% rental.
This change was not well accepted by the council and it would likely be an uphill fight to get it
approved. She suggested EDAC consider whether they would recommend such a change or stay
the course, even if it takes longer. Mr. Helgemoe said the return market is likely two years out.
Ms. Schwartz noted she talked to a developer who couldn’t get rid of these units, even trying to
sell them at a loss. Ms. Lodico noted there are no apartments in Lino Lakes. Ms. Schwartz stated
that the new draft Comp Plan land use map has many more suitable places in the city for higher
density rental that the city’s “jewel.” The developer entered into this knowing the risk, and
knowing that the market could go down. Waiting a couple more years will be worth it, since this
is the city center that will be here for many years.
Mr. Corson stated that its worse to build and have vacant buildings than to have vacant land.
EDAC needs to know what the risk is of having the land sit vacant. A general consensus was that
EDAC does not want to compromise the plan and the quality of development. Ms. Schwartz
suggested a joint meeting with P&Z and city council in the future to discuss these issues.
Meeting adjourned.
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