08-25-1997 EDA - Laserfiche WebLink

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EDA Meeting#40 UNAPPR DOVE July 28, 1997 Page 4 1 Mr. Linke recommended that the city purchase all of the property for$1.32/square foot using TIF funds, ill 2 demolish the buildings,and sell the land for commercial development. Ms.Bennett explained that 3 when the Request for Proposals were sent to the 25 metropolitan developers,it was for the entire site-7 4 acres-as a commercial development and the city did not even get one response. President McCarty 5 noted that the cost to purchase the apartments would be approximately$1.2 million(assessed value)plus 6 the purchase of the two vacant lots,the demolition and finally the relocation costs for all of the residents 7 in the buildings. 8 9 David Jahnke,8428 Eastwood Road,noted that there is really no guarantee that the management company 10 will be in place five years down the road. He feels the people who signed the petition in favor of the 11 development only did so because they were convinced that the situation would be better for them. He 12 does not feel that the property was put on the market long enough. Rental units do not give much of a tax" 13 base which is what Mounds View really needs. 14 Fes. 15 LW.Stigney,7841,Eastwood Drive,stated he is opposed to the development as Mounds View already 16 has 1,484 rental units in the city. The two buffered apartments on Eastwood are no effect on his property 17 value and he is not aware of any real crime situations. He sees there are a lot of holding ponds on the 18 proposal which he does not care for. He would like to see the property developed commercial to increase 19 the tax base. He is in favor of getting the Red Oak Apartments fixed up and would like to see the use of 20 TIF funds for this purpose whereby the city could work jointly with the owners to get the property 21 rehabilitated. He stated he does not feel the city has looked at all avenues and that by proceeding,the city 22 will be faced with a lot of ramifications in the fixture'. He does not believe it is in the best interest for the 23 city at this time. He presented a petition containing 91 signatures in opposition to the project which he 24 presented to the Council. 25 26 Deb Heuwinkel,7900 Eastwood Road,stated she has had past experiences with low income housing 27 which were undesirable and she is concerned about the same problems occurring at the Silver Lake 28 Commons development. She feels confident with the management company selected,but there are no 29 guarantees that in five years it would be the same. 30 31 Mike Strauss, 7830 Eastwood Road,stated he called Danzezan Properties to attempt to get addresses of 32 properties the company has managed in Minneapolis to check on her management record as well as how 33 many/type of police calls were at these properties over one year,however Ms.Danzezan refused to give 34 the information because of confidentiality. 35 36 Bill Fritz,8072 Long Lake Road,wondered how the median income was arrived at for Mounds View. 37 38 Jim Bergstrom,8400 Red Oak Drive.stated he is opposed to the development project He feels Mounds 39 View has enough rental properties. 40 41 Dorothy Winters,7831 Sunnyside Road,stated she is in favor of the project,however,she feels most 42 residents there would just like to see the property left as it is. 43 44 Chuck Lee,7820 Eastwood Road,stated he signed the petition in favor of the development,however after 45 obtaining more information,he is now opposed to it.. He did not know that 40%of Mounds View's 46 housing stock is made up of rental housing. 47 48 Cindy Carlson,representing the Economic Development Commission,stated the costs associated with 49 acquiring the Red OakbApartments,demolishing them to provide vacant land for development would be 50 substantial and to try to sell the land to a developer for commercial development for more than$3.00 per 51 square foot would be difficult. This was a large factor in the EDC's decision. They felt it was necessary 52 to address the deteriorating condition of the Red Oak Apartments in determining the highest and best use 53 for the site. She stated she believes that this project would be good for the community.