01-13-1997 EDA - Laserfiche WebLink

Home Browse Search

,i ' <�_ � :, . _. . - ' - _ - - - - — _- - � -=- � -- �- � '. __.��-. . . . ...� _ ____ L L�;:�..`� .^ ' _ '."-.-,- -' . ._ -�!. �..�- __ . . --.�_.�.__._- �_�. .4_, _ ..__ _ . .._,.�:� _...:..,_..;,� .._,.. . __ _. . . 3F i �?;�� ":2 :�� ,; ��)�r::.::c;�:: � jQ. . _ P �:��';:�;7 •� ;::t:::lSc! r°�•esF � Partn��45 REQUEST FOR EDA CONSIDERATION STAFF REPORT EDA MEETING DATE Janua� 13, 1996 Agenda Section .,� Report Number: ;- !}N - ! 7 - �: ' 1'�-- Report Date: 1/9/97 Special Order of Bus. Consent Agenda Public Hearings X EDA Business Item Description: Consideration of Resolution 97-EDA-59 approving and authorizing the acquisition of 8283 Long Lake Road under the EDA's Housing Replacement Program. lldministrator's Review/Recommendation: -No Comments to supplement this report -Comments attached. Explanatiort/Sumnta�y (attach supplement sheets as necessary) Sunrmary: Staff has received a letter from Gary Miller, owner of 8283 Long Lake Road, offering the property for sale to the Economic Development Authority (EDA) (see Attachment 1). The property is located south of Ardan Park, where the Ramsey County Compost Site is located. In December, the City Council authorized an appraisal to be done on this property. The appraisal was conducted on December 18, 1996, and gives a value of $55,000. The appraiser indicated that almost every aspect of the home's condition was considered below average, with problem with moisture in the basement, structural damage and poor exterior condition. The property would qualify for purchase under the Housing Replacement Program. At the January 6 Study Session, purchase of this property as well as two adjacent properties located at 8271 Long Lake Road and 2510 Ardan Avenue was discussed. It has come to our attention that both 8271 Long Lake Road and 2510 Ardan Avenue are now both tenant occupied. Therefore, staff has ceased any further discussion with the property owners regarding purchase of this property as indicated by the Housing Replacement Program guidelines (see Attachment 2). Tenant occupied properties are not eligible for purchase under the program. Therefore, the resolution before you at this time is to authorize acquisition of 8283 Long Lake Road only. Backgrountl on Housing Replacenzent Progrant In May, 1996, the Economic Development Authority (EDA) established a Housing Replacement Program fully funded by Tax Increment Financing (TIF), the capture of the increase of tax revenue from properties in specifically designated districts before and after development. (See attached map for Mounds View's TIF districts; Attachment 3). As the map indicates, Mounds View's TIF districts contain for the most part only commercial and industrial areas. A portion of the proceeds fund the Housing Replacement Program. The purpose of this program is to purchase and demolish substandard homes, clear the site and sell the raw land to a buyer/developer team or contract with a non-proiit organization to construct a new home. The houses targeted in this program are houses which are beyond repair or the cost of repair would exceed the total value of the property. The primary purpose of the program is to remove houses which are in very poor condition, and are causing a bli�hting effect on the surrounding neighborhood. It also helps to improve the RECOMMENDATION: Approve Resolution No. 97-EDA-59 to begin negotiations for the purchase of 8283 Long Lake Road.