HomeMy WebLinkAbout#20 - Royal Golf 1st Add DA & LOC reduction STAFF REPORT
DATE: March 20, 2018
REGULAR
ITEM #: 20
MOTION
TO: City Council
FROM: Emily Becker, Planning Director
AGENDA ITEM: Royal Golf Club at Lake Elmo Development Agreement Amendment
REVIEWED BY: Sarah Sonsalla, City Attorney
Kristina Handt, City Administrator
BACKGROUND:
The Royal Golf Club at Lake Elmo Preliminary Landscape Plans included the need for 3800 trees
within the entire Royal Golf Club at Lake Elmo Preliminary Plat per Tree Preservation and
Landscape requirements. The original number of trees that were required to be planted within the
development was approximately 4600, but because the area is heavily wooded and because the
language within the tree preservation ordinance requires a minimum of five trees to be planted for
every one acre of land that is developed or disturbed, the City made some concessions, and an
agreement was made to require that 3800 trees be planted within the development. The Developer
and City have been working on coming to an agreement for trees required within the development, as
both the Developer and City believe that the required number of trees within the development would
cause tree overcrowding.
The updated preliminary landscape plans provide that a total of 888 trees are to be planted on single
family lots. Of these, four are to be planted within each large single family lot, and two are to be planted
within each small single family (villa) lots. The Development Agreement for Royal Golf Club at Lake
Elmo 1st Addition required that security be in place for the cost of all trees, including those to be
planted within single family lots to be installed on single family lots by builders. Other developments
within the City (i.e. Hunter’s Crossing) have landscaping that is warrantied within private lots. The
Developer is requiring the builders to plant these trees and is requesting that the City not govern,
warrant, or dictate those trees and simply ensure that they are planted. They also have communicated
that they are planning to reduce the number of trees to be planted within the development by an
additional 969 beyond the required 2912 (2912 subtracted by a proposed 1943 trees), paying $500 per
each 2.5 caliper inch tree that the developer elects not to plant within the subdivision
The Council discussed this request at the January 9, 2018 workshop and directed Staff to draft an
amendment to the Royal Golf Club at Lake Elmo which will reduce the number of trees required to be
planted within the development from 3800 to 2912 (the 888 to be planted within single family lots
subtracted from the agreed-upon number of trees to be planted within the development). There was
consensus that simply not requiring warranty on these trees would leave the City with no way to enforce
the requirement that these trees be planted. This direction was given to Staff under the understanding
that the developer would be paying park dedication fees totaling $484,500 ($500 per 2.5 caliper inch
tree X 969 trees to be reduced). Additionally, it should be clarified and was discussed at the workshop
City Council – Staff Report Regular Item # 20
Meeting date: March 20, 2018
Page 2
that these trees will still be warranted by way of contracts entered in to between landscapers and
builders/buyers of these lots.
ISSUE BEFORE COUNCIL:
Should the City amend the Royal Golf at Lake Elmo 1st Addition Development agreement,
allowing reduction of the total number of trees required within the development from 3800 to 2912
with the understanding that the developer will also pay the City park dedication fees of $500.00
per 2.5 caliper inch tree in lieu of planting 969 trees within the development?
REVIEW/ANALYSIS:
The proposed amendments to the Royal Golf Club at Lake Elmo 1st Addition include the following:
• That the trees planted within single family lots are not required to be warrantied.
• That the City has agreed to reduce the number of trees required to be warrantied within the
development from 3800 to 2912.
• That the developer will plant at least two trees on villa lots and four trees on single family
home lots.
• All trees within villa and single family lots must be planted prior to release of building
permit escrow.
• That the developer may reduce the number of trees required to be planted within the
development by either implementing woodland management or pollinator friendly native
seeding practices or a per-tree parkland dedication fee of $500.00 per 2.5 caliper inch tree
that the Developer elects not to plant.
• The Developer will be required to pay $121,541.00 in parkland dedication fees for the 1st
Addition for reduction of the number of trees required. This fee was calculated as follows:
$500.00 X 969 2.5-caliper inch trees reduced within the entire preliminary plat area / 291
residential lots within the entire preliminary plat area X 73 residential lots within the 1st
Addition.
Security Reduction. The developer’s amended plan indicates that 422 trees will be planted within
the 1st Addition, which would only require a security of $263,750 ($500 per 2.5 inch caliper tree X
422 trees X 125%), reduced from the previously required security of $311,354.00. If the Council
chooses to amend the Development Agreement to not warranty the trees within the single family lots,
it should also motion to approve the security reduction of $47,604.
FISCAL IMPACT:
The Developer will be required to pay a park dedication fee of $121,541 for 244 trees not planted
within the development.
OPTIONS:
The City Council has the following options:
1) Adopt Resolution 2018-028 approving the First Amendment to Development Agreement
for Royal Golf Club at Lake Elmo; or
City Council – Staff Report Regular Item # 20
Meeting date: March 20, 2018
Page 2
2) Amend Resolution 2018-028 approving the First Amendment to the Development
Agreement for Royal Golf Club at Lake Elmo and adopt as amended.
3) Do not adopt Resolution 2018-028 approving the First Amendment to Development
Agreement for Royal Golf Club at Lake Elmo.
RECOMMENDATION:
Staff recommends the City Council adopt Resolution 2018-028 approving the Development
Agreement for Royal Golf Club at Lake Elmo.
“Move to adopt Resolution 2018-028 approving the development agreement for Royal Golf
Club at Lake Elmo Final Plat”
Additionally, because security reductions would need to be made as a result of this amendment,
the following motion should also be made:
“Move to approve security reduction for landscaping for the Royal Golf Club 1st Addition by
$47,604.”
ATTACHMENTS:
1. Resolution 2018-028
2. First Amendment to Royal Golf Club at Lake Elmo Development Agreement
3. Amended Preliminary Landscape Plans
CITY OF LAKE ELMO
WASHINGTON COUNTY
STATE OF MINNESOTA
RESOLUTION NO. 2018-028
A RESOLUTION APPROVING FIRST AMENDMENT TO DEVELOPMENT AGREEMENT FOR
ROYAL GOLF CLUB AT LAKE ELMO 1ST ADDITION
WHEREAS, the City of Lake Elmo is a municipal corporation organized and existing
under the laws of the State of Minnesota; and
WHEREAS, Royal Development Inc., 11074 Radisson Road NE, Blaine, MN 55449
(the “Applicant”) has previously submitted an application to the City of Lake Elmo (the “City”)
for a final plat for Royal Golf Club at Lake Elmo 1st Addition; and
WHEREAS, the Lake Elmo City Council adopted Resolution No. 2017-093 on
September 5, 2017 approving the final plat for Royal Golf Club at Lake Elmo 1st Addition; and
WHEREAS, the Lake Elmo City Council adopted Resolution No. 2017-096 on
September 19, 2017, approving the Development Agreement for Royal Golf Club at Lake Elmo
1st Addition; and
WHEREAS, the Applicant and City have agreed to amend the approved Development
Agreement so that trees planted within single family lots do not need to be warrantied in
recognition of the Developer agreeing to reduce the number of trees it is required to plant within
the development by 969 by paying a parkland dedication fee of $500.00 per 2.5 caliper inch tree
as per Section 19 (C) of the Royal Golf Club at Lake Elmo 1st Addition Development
Agreement.
WHEREAS, the Applicant and City have agreed to reduce the number of required trees
the Developer is required to plant within the Subdivision from 3800 to 2912 as such number is
reflected in the revised landscape plan and that in addition to this number, two trees be planted
on lots that have villa homes and at least four trees be planted on lots that have single family
homes. These trees are not to be counted towards the number of trees required herein. The
number may be further reduced by paying a parkland dedication fee or woodland management or
pollinator friendly techniques.
NOW, THEREFORE, based on the information received, the City Council of the City
of Lake Elmo does hereby approve the First Amendment to Development Agreement for Royal
Golf Club at Lake Elmo 1st Addition and authorizes the Mayor and City Clerk to execute the
agreement.
Passed and duly adopted this 20th day of March 2018 by the City Council of the City of Lake
Elmo, Minnesota.
__________________________________
Mike Pearson, Mayor
ATTEST:
________________________________
Julie Johnson, City Clerk
513361v1 SJS LA515-36
FIRST AMENDMENT TO DEVELOPMENT AGREEMENT
This First Amendment to Development Agreement (Amendment) is made and entered into
this _____ day of ___________, 2018, by and between the City of Lake Elmo, a municipal
corporation under the laws of Minnesota (the “City”) and Royal Development, Inc., a Minnesota
corporation (the “Developer”).
RECITALS:
A. The City and the Developer have entered into a Development Agreement dated
August 31, 2017 and recorded with Washington County on September 19, 2017 as Document No.
4129865 (the “Development Agreement”).
B. The Development Agreement relates to that subdivision located in Lake Elmo,
Minnesota known as Royal Golf Club at Lake Elmo 1st Addition and the property is legally
described on Exhibit A attached hereto.
C. The Development Agreement required that all landscaping materials such as trees,
shrubs, grass, or other vegetation installed by the Developer must be warrantied and maintained
for a period of two years.
D. The City and the Developer have agreed to amend the Development Agreement so
that trees planted within lots on which single family and villa homes will be constructed
(collectively the “Single Family Lots” do not need to be warrantied in recognition of the Developer
agreeing to reduce by 969 the number of trees it is required to plant throughout all phases of the
development by paying a parkland dedication fee of $500.00 per 2.5 caliper inch tree as permitted
under Section 19 (C) of the Development Agreement.
NOW, THEREFORE, in consideration of the above recitals, which are expressly
incorporated herein, and for other good and valuable consideration, the receipt and sufficiency
513361v1 SJS LA515-36 2
which is hereby acknowledged, the City and the Developer agree to amend the Development
Agreement as follows:
1. Capitalized terms used but not defined herein have the meanings assigned to them
in the Development Agreement.
2. Section 19 (A) of the Development Agreement shall be changed to read as follows:
A. The Developer agrees to install landscaping in accordance with the
approved Plans, the City approvals, the City Code, the City’s Engineering
Design and Construction Standards Manual, and the City’s Landscape and
Irrigation Standards. All landscaping materials such as trees, shrubs,
grasses, or other vegetation installed by the Developer must be warrantied
and maintained for a period of two years, with the exception of trees planted
on lots that have single family homes, which are not required to be
warrantied. The City has agreed to not require the Developer to warranty
the trees planted within single family lots recognizing that the Developer
has agreed to reduce by 969 the total number of trees it is required to plant
within all phases of the Subdivision by paying the City a per-tree parkland
dedication fee of $500.00 per 2.5 caliper inch tree as permitted under
Section 19 (C) below. The Developer will pay a proportionate share of the
total per-tree parkland dedication fee for each phase of the Subdivision
based upon the number of Single Family Lots contained within each such
phase. For the 1st Addition, the Developer will be required to pay
$121,541.00 in parkland dedication fees [($500 X 969 2.5-caliper inch trees
reduced within the entire preliminary plat area) / 291 Single Family Lots
within all phases of the Subdivision X 73 Single Family Lots within the 1st
Addition]. The two year warranty period for landscaping materials located
within each phase of the Subdivision for which the Developer is providing
a warranty under this Section 19 (A) shall be deemed to start once all
required landscaping identified as responsibility of Developer in the
approved Plans for such phase has received acceptance by the City. The
Developer agrees to have the installer of the landscaping complete an
inspection 30 days prior to the end of the two year warranty period and
provide the City with a written report identifying the condition of all
landscaping. In the event that any landscaping installed by the Developer
is deemed through this inspection to be in poor condition or dead, the
Developer is to replace the landscaping with like kind materials or as
otherwise approved by the City.
2. Section 19 (C) of the Development Agreement shall be changed to read as follows:
(C) The City has agreed to reduce the number of required trees the Developer
is required to plant within the Subdivision from 3800 to 2912 as such
number is reflected in the revised landscape plan attached hereto as Exhibit
D. However, in addition to planting the number of trees required by this
513361v1 SJS LA515-36 3
paragraph, the Developer agrees that it will require that at least two trees be
planted on lots that have villa homes and at least four trees be planted on
lots that have single family homes. These trees are not to be counted
towards the number of trees that are required by this paragraph to be planted
by the Developer. All trees planted on villa or single family home lots must
be planted before the building permit escrow will be released by the City.
The Developer may further reduce the number of trees that it is required to
plant within the Subdivision by: (i) implementing woodland management
or pollinator friendly native seeding practices within the Subdivision, in a
manner approved by the City’s Landscape Architect, provided that the
number of trees that may be removed from the Developer’s plantings will
be agreed upon by the Developer and the City at the time such practices are
approved; or (ii) paying to the City a per-tree parkland dedication fee of
$500.00 per 2.5 caliper inch tree that the Developer elects not to plant within
the Subdivision.
3. A new Exhibit D to the Development Agreement is hereby added. The new Exhibit
D is attached hereto as Exhibit 2.
4. All other terms and conditions of the Development Agreement shall remain in full
force and effect.
IN WITNESS WHEREOF, the City and the Developer have executed this First
Amendment to the Development Agreement as of the date first written above.
CITY OF LAKE ELMO
By:_________________________________
Mike Pearson, Mayor
By:_________________________________
Julie Johnson, City Clerk
STATE OF MINNESOTA )
) ss.
COUNTY OF WASHINGTON )
The foregoing instrument was acknowledged before me this ______ day of
___________________, 2018, by Mike Pearson and Julie Johnson, the Mayor and the City Clerk,
respectively of the City of Lake Elmo, a Minnesota municipal corporation, on behalf of the City.
__________________________________
Notary Public
513361v1 SJS LA515-36 4
ROYAL DEVELOPMENT INC.
By:________________________________
Its: _______________________________
STATE OF _________ )
) ss.
COUNTY OF ________ )
The foregoing instrument was acknowledged before me this _____ day of _________,
2017, by ___________________, the _______________ of Royal Development Inc., a Minnesota
corporation, on behalf of the corporation.
___________________________________
Notary Public
This document was drafted by:
Kennedy & Graven, Chartered (SJS)
470 U.S. Bank Plaza
200 South Sixth Street
Minneapolis, MN 55402
(612) 337-9300
513361v1 SJS LA515-36 5
EXHIBIT A
Legal Description of the Property
The property subject to the foregoing First Amendment to Development Agreement is
legally described as follows:
The North Half of the Northeast Quarter of Section 25, Township 29 North, Range 21 West.
Washington County, Minnesota, except therefrom that portion of the Northeast Quarter lying North
and East of the public highway known as County State Aid Road No. 15.
AND
Government Lot 2 of Section 25, Township 29 North, Range 21 West, Washington County,
Minnesota.
AND
Government Lot 1 of Section 25, Township 29 North, Range 21 West, Washington County,
Minnesota.
AND
The Northwest Quarter of Section 25, Township 29 North, Range 21 West, Washington County,
Minnesota.
AND
The Northeast Quarter of the Southwest Quarter of Section 25, Township 29 North, Range 21 West,
Washington County, Minnesota.
AND
Government Lot 3 of Section 25, Township 29 North, Range 21 West,
Washington County, Minnesota.
513361v1 SJS LA515-36 A-1
AND
The Southwest Quarter of the Southeast Quarter of Section 25, Township 29 North, Range 21 West,
Washington County, Minnesota.
AND
That part of Government Lot 4, Section 25, Township 29, Range 21, Washington County, Minnesota,
described as follows:
Commencing at the Southwest corner of said Government Lot 4; thence North 00 degrees 08 minutes
17 seconds East, assumed bearing, along the West line of said Government Lot 4, a distance of
1119.38 feet to the point of beginning of the parcel to be described; thence continuing northerly
along said West line of Government Lot 4, a distance of 584 feet, more or less, to the shoreline of
Horseshoe Lake; thence southeasterly, southerly, and southwesterly along said shoreline to the
intersection with a line that bears South 89 degrees 51 minutes 43 seconds East from the point of
beginning; thence North 89 degrees 51 minutes 43 seconds West, 21.5 feet, more or less, to the
point of beginning.
AND
That part of Government Lot 4, Section 25, Township 29, Range 21, Washington County,
Minnesota, lying southwesterly, southerly, and westerly of the following described line:
Commencing at the Southwest corner of said Government Lot 4; thence North 00 degrees 08
minutes 17 seconds East, assumed bearing, along the West line of said Government Lot 4, a distance
of 482.61 feet to the point of beginning of the line to be described; thence southeasterly 221.89 feet
along a non-tangential curve concave to the southwest having a radius of 490.00 feet, a central angle
of 25 degrees 56 minutes 46 seconds, a chord length of 220.00 feet, and a chord bearing of South
43 degrees 56 minutes 35 seconds East; thence North 63 degrees 42 minutes 45 seconds East, not
tangent to the last described curve, a distance of 10.23 feet; thence South 32 degrees 27 minutes 51
seconds East, 334.35 feet; thence South 00 degrees 08 minutes 17 seconds West, 45.00 feet to the
South line of said Government Lot 4 and said line there terminating.
Parcel Identification Numbers:
25-029-21-12-0001
25-029-21-13-0001
25-0 29-21-14-0001
25-029-21-21-0001
25·029-21-31-0001
25-029-21-42-0001
25-029-21-43-0001
513361v1 SJS LA515-36 2
25-029-21-43-0002
25-029-21-44-0002
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