Agenda Packets - 1997/04/28 - Laserfiche WebLink

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City of Mounds View Staff Report April 24, 1997 410 Page 3 analysis. Therefore, not comfortable with a recommendation to support the use of tax increment financing at this time. The EDC requested that this item be brought back at the May meeting and directed staff to have get some background regarding the management company and the information analyzed by our tax increment consultant. Dave Maroney has taken his first look at the financial proforma of MSP and has generated a list of questions, clarifications and comments prior to further analysis. (See attached). I have forwarded this list to MSP and hope to arrange a meeting regarding the project with Dave Maroney to flush through the details next week. This project is by no means ready for a stamp of approval but I also do not believe that it is in the best interest of the City to close the door at this time. Improving our existing rental units is clearly a goal and the County is willing to set aside funds for the rehab. Further evaluation needs to be done regarding the appropriate use for the vacant land, what is marketable, MSP's financial structure and management abilities. The Council, after evaluation of all of these elements, may find that investing in excess of $2 million to buy the apartments, relocate its residents and clear the site for commercial development or to keep the apartments and invest in the development of for-sale townhomes may be a better alternative. Therefore, I would suggest approvals for the resolutions with contingencies that would allow us to move forward with the analysis needed to be comfortable in supporting or rejecting the SLC proposal. This would at least give us a maximum of 6 months to work through the complicated financing aspects and marketability for this project or another use. 01/q--kg1- )60-41.4\ Director of Ec nomic Development •