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06/15/00 15:49 FAX 6512233002 SPRINGSTED INC. <br /> 33 <br /> • <br /> _Incompatible use or Laud Use Relationships <br /> The use of the property and the structures adversely affects the predominant commercial use.and <br /> character of the area primarily due to deterioration and vacant buildings, street hazards or <br /> inaccessible properties,congestion of streets due to inadequate space for the use, its parking and <br /> servicing needs: traffic,service trucks, parked cars,or type of activity generated or attracted by <br /> this commercial use in appropriated sited in this location. These features of the use are <br /> unavoidable due to its commercial character. <br /> The existing property cannot be converted to a use compatible with the commercial surroundings <br /> because of the site,or building design or because of economic or building code restrictions. <br /> (eg. Too much of the former shopping center, namely Penny's Department Store,was <br /> demolished to make space for the Cub Food Store but resulted in excessively vacant land). <br /> Hazard to Health or Safety <br /> The structure and property without benefit of a full retail intensity are necessarily obsolete for <br /> the present,permitted or future use and are marginal in terms of current code and energy <br /> conservation requirements . Vacant buildings or those buildings indicating a lack of normal <br /> maintenance have a proclivity for causing declining values of adjacent properties. (some <br /> buildings appear open to the elements and others indicate hazardous occupancy). <br /> Major renovation or reconstruction of the structures or portions thereof would be required to <br /> ® eliminate building code problems,however,removal of a portion of the building(already <br /> performed without benefit to the shopping center)would remove essential space or facilities <br /> needed for continued operation or use of the property,while the cost and nature of the <br /> reconstruction or repairs would be prohibitive or could not be accomplished within <br /> the restriction of local codes or ordinances.Deterioration of the roof systems and wasted energy <br /> will continue and result in, ultimately,the relocation of the occupant in order to construct the <br /> proper roof assembly or insulate the building to thermal standards. <br /> Generally speaking,the area proposed for redevelopment could qualify as a Redevelopment <br /> Tax Increment Financing District because the building conditions are marginal , in most cases <br /> substandard, and after further detailed analysis it is with reasonable certainty the above described <br /> deficiencies could result in a finding of Structurally Substandard for over 50%of the buildings <br /> (not including out buildings). <br /> Also under the 70%Occupancy Test For TIF District; in order to meet the eligibility criteria <br /> established i a the Minnesota Tax Increment Financing Act for redevelopment tax increment <br /> financing districts"parcels consisting of 70%of the area of the district are occupied by <br /> buildings, streets utilities or other improvements,(Section 469.174, Subd 10(a)(1). <br /> Individual parcels are considered"occupied by buildings, streets,utilities or other <br /> improvements" if "15 % of the area of the parcels contain improvements". (section 469.174, <br /> subd.10 (c) <br /> In the case of a parcel on which the building has been demolished,remaining utilities or other <br /> improvements would still permit the parcel to be considered occupied as long as the utilities or <br /> • <br />