HomeMy WebLinkAbout02-13-2012
CITY OF MOUNDS VIEW
ECONOMIC DEVELOPMENT AUTHORITY MEETING AGENDA
MOUNDS VIEW CITY HALL
Monday, February 13, 2012
6:00 PM
1. CALL TO ORDER
2. ROLL CALL: President Flaherty, Vice President Stigney, Commissioner Hull,
Commissioner Mueller, Commissioner Gunn
3. APPROVAL OF AGENDA
4. PUBLIC INPUT:
Citizens may speak to issues not on tonight’s agenda. Before speaking, please give
your full name and address for the minutes. Also, please limit your comments to three
minutes.
5. APPROVAL OF MINUTES
A. January 9, 2012, EDA Minutes
6. CONSENT AGENDA - None
7. EDA BUSINESS
A. Presentation from the St. Paul Area Association of Realtors Regarding Housing
Trends in Mounds View – Speaker: Richard Tucker, Association President
8. REPORTS
9. NEXT EDA MEETING: Monday, February 27, 2012
10. ADJOURN
PROCEEDINGS OF THE MOUNDS VIEW EDA 1
CITY OF MOUNDS VIEW 2
RAMSEY COUNTY, MINNESOTA 3
4
Regular Meeting 5
January 9, 2012 6
Mounds View City Hall 7
2401 Highway 10, Mounds View, MN 55112 8
6:00 P.M. 9
10
11
1. CALL MEETING TO ORDER 12
13
2. ROLL CALL: President Flaherty, Vice President Stigney, Commissioner Hull, 14
Commissioner Mueller, Commissioner Gunn, and Executive Director Ericson. 15
16
NOT PRESENT: None. 17
18
3. APPROVAL OF AGENDA 19
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MOTION/SECOND: Mueller/Hull. To Approve the January 9, 2012, Agenda as presented. 21
22
Ayes – 5 Nays – 0 Motion carried. 23
24
4. PUBLIC INPUT 25
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None. 27
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5. APPROVAL OF MINUTES 29
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A. December 12, 2011, EDA Minutes. 31
32
MOTION/SECOND: Mueller/Stigney. To Approve the December 12, 2011, Minutes as 33
presented. 34
35
Ayes – 5 Nays – 0 Motion carried. 36
37
6. CONSENT AGENDA 38
39
None. 40
41
7. EDA BUSINESS 42
43
A. Resolution 12-EDA-268 Electing and Appointing Officers for 2012 to the 44
Mounds View Economic Development Authority (EDA). 45
Mounds View EDA January 9, 2012
Regular Meeting Page 2
46
Economic Development Specialist Steinmetz explained the EDA bylaws state the Authority shall 47
elect a President, Vice President, Treasurer and Secretary at the first meeting of each year. If the 48
same roles are filled as was done in 2011, the President would be Joe Flaherty, the Vice President 49
would be Roger Stigney, the Treasurer would be Carol Mueller and the Secretary would be Al 50
Hull. 51
52
The Authority was in agreement with these recommendations. 53
54
MOTION/SECOND: Gunn/Hull. To Waive the Reading and Approve Resolution 12-EDA-268 55
Electing and Appointing Officers for 2012 to the Mounds View Economic Development 56
Authority (EDA). 57
58
Ayes – 5 Nays – 0 Motion carried. 59
60
B. Consider Demolition Assistance for 8379 Red Oak Drive. 61
62
Economic Development Specialist Steinmetz stated a representative for the property owner at 63
8379 Red Oak Drive contacted City Staff in November regarding demolition assistance. Staff 64
provided the rep with information on the Home Demolition Program. The City has a loan 65
program providing up to $10,000 at 3% with fixed monthly payments. 66
67
Economic Development Specialist Steinmetz indicated the homeowner felt this may be too much 68
at this time and wished to delay pursuing the loan.. Staff then suggested a deferred loan at 0% 69
interest which would assist the property owner with demolishing the home. She stated this 70
would be a diversion from the current loan standards. 71
72
Economic Development Specialist Steinmetz explained the home at 8379 Red Oak Drive was 73
built in 1938, was a one-story structure, and was currently vacant. The home was declared unfit 74
for habitants by the City. She indicated the property has a history of code violations and police 75
calls. The demolition of the structure would eliminate these concerns. Staff recommended the 76
$10,000 loan at 0% to assist the property owner with the demolition. 77
78
Commissioner Mueller questioned if the property was in foreclosure. Economic Development 79
Specialist Steinmetz stated Staff was not aware of any foreclosure actions. 80
81
Commissioner Mueller asked for the size of the lot. Economic Development Specialist 82
Steinmetz did not have the exact size of the lot but reported the value of the structure and land to 83
be $94,900 for 2012. 84
85
Vice President Stigney asked if the existing $10,000 loan program at 3% was deferred. 86
Economic Development Specialist Steinmetz indicated this loan program was not deferred, the 87
Mounds View EDA January 9, 2012
Regular Meeting Page 3
3% was paid each month until the loan was paid in full. 88
89
Commissioner Mueller supported the loan request as the structure had become a nuisance and the 90
property had become blighted. She did not want the neighboring property values to be reduced 91
because of this structure. 92
93
Vice President Stigney recommended the loan be deferred, but that the 3% interest rate remain. 94
This would allow the structure to be removed and for the site to be sold. The loan would then be 95
repaid at the time of the sale and the City would capture interest in the meantime. He was not in 96
favor of a free loan. 97
98
Commissioner Hull supported the loan option presented by Staff. 99
100
Commissioner Gunn agreed with the 0% deferred loan. 101
102
Mayor Flaherty supported Commissioner Mueller’s comments were correct. He wanted the 103
blighted property to be improved and for the neighboring property values to be unaffected. He 104
felt in the long run this would save the City money through reduced police calls and code 105
enforcement issues. 106
107
Vice President Stigney felt it was wrong that the loan would be deferred until the property sold. 108
He cautioned the EDA from setting precedence with this request as no hardship was found. 109
110
Mayor Flaherty indicated a hardship was not demonstrated, but he still supported the request to 111
improve the site. The consensus of the Council was to proceed with the deferred loan. 112
113
8. REPORTS 114
115
A. Update on Potential Sale of 2832 County Road 10 (PAK Building) 116
117
Economic Development Specialist Steinmetz stated the PAK Building at 2832 County Road 10 118
has been vacant since 2005. The listed price of the property was $100,000 less than the County’s 119
estimated market value. She indicated the City could potentially purchase this property to 120
remove the blight in the community and bring about future redevelopment. 121
122
Economic Development Specialist Steinmetz explained a private offer has been made for the 123
PAK Building however, one of the property owners did not agree to the offered price made. A 124
judge would now have to hear the case as the property is in receivership. She reviewed the 125
potential timeline for this transaction stating it would be several months before the transaction 126
could be completed. 127
128
Commissioner Gunn questioned if the potential auto-body vendor has spoken with the City as 129
Mounds View EDA January 9, 2012
Regular Meeting Page 4
this was not an allowed use in this district. Economic Development Specialist Steinmetz 130
indicated the buyer has spoken with Planning Associate Heidi Heller and herself. Both Staff 131
members made the potential buyer aware of the fact a Conditional Use Permit was required. 132
133
Executive Director Ericson indicated the City could still submit an offer on the property and if 134
the pending offer were to fall through, the owners would have something viable to consider. 135
136
President Flaherty explained the Council discussed the PAK Building last Tuesday in work 137
session. This property was located at a gateway entrance to the City and was in need of 138
redevelopment. 139
140
Commissioner Gunn was in favor of putting in an offer on the building. 141
142
Commissioner Hull agreed that it benefited the City greatly to put in an offer. 143
144
Vice President Stigney did not support purchasing the PAK Building. He felt no real 145
redevelopment could take place until the neighboring property was available. He suggested the 146
City sit back and allow the process to continue with the current bidder. 147
148
Commissioner Mueller stated she received a great number of calls regarding the PAK Building. 149
She was encouraged that an offer was pending, but was discouraged the site was in receivership. 150
She indicated if the City were to make an offer, this would create an open door for potential 151
redevelopment. Commissioner Mueller recommended the Council discuss the matter further and 152
submit a fair offer on the PAK Building. 153
154
President Flaherty commented there was EDA consensus to proceed with submitting an offer on 155
the PAK Building. He suggested Staff arrange a Closed Executive Session meeting for this 156
purpose. The EDA recommended holding this discussion prior to the February 6th work session 157
meeting. 158
159
B. St. Paul Area Association of Realtors Speaker for January 23rd EDA Meeting 160
161
Economic Development Specialist Steinmetz stated last month the Mounds View Business 162
Council meeting had a speaker from the St. Paul Area Association of Realtors discuss the home 163
sales and values in Mounds View. She questioned if the EDA would be interested in hearing this 164
presentation. 165
166
Commissioner Gunn and Commissioner Mueller were in favor of having this presentation on 167
January 23rd. 168
169
Mayor Flaherty also supported the speaker stating it would greatly benefit the EDA and the 170
residents in Mounds View. However, he would not be in attendance at the January 23rd meeting. 171
Mounds View EDA January 9, 2012
Regular Meeting Page 5
Executive Director Ericson stated this item could be revisited at a future meeting. 172
173
9. NEXT EDA MEETING: Monday, January 23, 2012, at 6:30 p.m. 174
175
10. ADJOURNMENT 176
177
President Flaherty adjourned the meeting at 6:37 p.m. 178
179
Respectfully submitted, 180
181
Recorded and transcribed by: 182
Heidi Guenther 183
TimeSaver Off Site Secretarial, Inc. 184
Item No: 7A
Meeting Date: Feb. 13, 2012
Type of Business: EDA
Administrator Review: ____
City of Mounds View Staff Report
To: Economic Development Authority
From: Heidi Steinmetz, Economic Development Specialist
Item Title/Subject: Presentation from the St. Paul Area Association of Realtors
Regarding Housing Trends in Mounds View
Introduction
The Board President of the St. Paul Area Association of Realtors (SPAAR), Richard
Tucker, will be providing the EDA with a presentation about local housing statistics.
SPAAR’s Government Affairs Director, Eric Myers, will also be in attendance. It is
important that the EDA remain updated on this information because a healthy housing
stock is a key component of Mounds View’s overall economic vitality.
Discussion
SPAAR offers local housing market updates for 205 Minnesota cities on their Website at
www.spaar.com. Attached is Mounds View’s local market update for December 2011. The
information includes statistics of active listings and year-to-year data. To find future
monthly updates for Mounds View, click on the Public Resources tab, then “Market
Information”, then “The 200”, then “Mounds View”. Below is a screen shot from SPAAR’s
Website to help you find the information.
Respectfully submitted,
Heidi Steinmetz, Economic Development Specialist
2010 2011 + / – 2010 2011 + / –
New Listings 5 4 - 20.0% 156 159 + 1.9%
Closed Sales 7 6 - 14.3% 74 98 + 32.4%
Median Sales Price*$165,000 $134,250 - 18.6% $166,700 $134,950 - 19.0%
Average Sales Price*$149,969 $129,417 - 13.7% $167,049 $141,220 - 15.5%
Price Per Square Foot*$90 $80 - 10.6% $98 $84 - 14.5%
Percent of Original List Price Received*86.2%96.4%+ 11.9% 93.6%91.6%- 2.1%
Days on Market Until Sale 137 38 - 72.3% 108 122 + 12.5%
Inventory of Homes for Sale 53 35 - 34.0% -- -- --
Months Supply of Inventory 8.5 4.0 - 52.4% -- -- --
Local Market Update – December 2011
A RESEARCH TOOL PROVIDED BY THE SAINT PAUL AREA ASSOCIATION OF REALTORS®
- 20.0% - 14.3% - 18.6%
Change in
New Listings
Change in
Closed Sales
Change in
Median Sales Price
December Year to Date
Mounds View
* Does not account for seller concessions. | Activity for one month can sometimes look extreme due to small sample size.
156 159
Year to Date 2010 2011
7
6
December 2010 2011
** Each dot represents the change in median sales price from the prior year using a 6-month weighted average. This means that each of the 6 months used in a dot are
proportioned according to their share of sales during that period | All data comes from the Regional Multiple Listing Service Inc | Powered by 10K Research and Marketing
Twin Cities Region
Mounds View
- 30%
- 20%
- 10%
0%
+ 10%
+ 20%
+ 30%
1-2008 7-2008 1-2009 7-2009 1-2010 7-2010 1-2011 7-2011
Change in Median Sales Price from Prior Year (6-Month Average)**b
a
74
98
New Listings Closed Sales
+ 32.4%+ 1.9%
5
4
New Listings Closed Sales
- 14.3%- 20.0%
proportioned according to their share of sales during that period. | All data comes from the Regional Multiple Listing Service, Inc. | Powered by 10K Research and Marketing.