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Item No. 5 i3 Meeting Date: 10-13-98 IIII Staff Report No. Type of Business: EDAB WK.Wm*Session;PH:Public Hearing; CA:Consent Agenda;EDAB:EDA Business Mounds View Economlo Development Authority Staff Report To: Mounds View Economic Development Authority From: Steve Dorgan, Housing Inspector Item Title/Subject: Proposed Multi-Family Development- Salvation Army Date of Report: October 8, 1998 SUMMARY At the worksession on September 8,the Council reviewed a proposal from the Salvation Army requesting the City acquire and sell a tax-forfeited parcel(PID#08-30-23-22-0002)to them for a proposed development. The Salvation Army is proposing to acquire the proposed lot, as well as an adjacent lot(PID #08-30-23-22-0003)owned by Glen Thorpe Realty, for the development of an 8 unit multi-family building. The proposed parcel is located on Woodlawn Drive south of County Road I. The lot owned by Glen Thorpe Realty may be purchased outright by the Salvation Army,however, 410 because the City has a"use deed"for the 2°d lot,the property would first have to be purchased by the City and then resold to the Salvation Army. Since the property is a tax forfeited parcel owned by the State, non-municipal entities would have to purchase the property through an auction. The Salvation Army is requesting the City release the"use deed"on the property, purchase and resell the lot to the Salvation Army contingent upon the approval of the Salvation Army's development proposal. The development proposal would include a rezoning,variance and development review. Ramsey County Assessors Office has valued the land at$29,000. REQUESTED INFORMATION At the worksession meeting on September 8,the Council requested specific information regarding the lot and the proposed development. The requests were as follows: 1. What is the cost of the "use deed"for the proposed parcel and what does the City have invested in the property? The City filed a"use deed"on the proposed tax forfeited property in 1995 for a term of 5 years. The cost to the city is$26.15 to file the"use deed". In addition to occasional mowing of the property,there have been no other costs to the City associated with the proposed parcel. 2. What is the Park and Recreation Commission's intent for the property and is there a valid plan in place for the development of the lots? At their February 1998 regular meeting, the Park and Recreation Commission reviewed a request by adjacent apartment managers to develop the vacant lots as a play-lot. At that time, ill the Commission recommended acquisition and development of the two lots based on the assumption that both parcels were tax forfeited. At their September regular meeting, at the request of the City Council, the Commission reviewed the proposed development of the two vacant lots as a play lot based on the fact that one of the lots was privately owned(see attached minutes). Because one of the lots was privately owned and would need to be purchased for