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06415/00 15:50 FAX 6512233002 SPRINGSTED INC. 013 118 • There were many significant dysfunctional elements in the subject building that need attention: some of the buildings lack fire suppression systems or need updating of the mechanical systems for food service facilities. The food preparation process for poultry, beef, and vegetables must be separated between tables used for the different foods. Also food preparation personnel must have separate hand lavatory equipment dedicated to each of the different types of foods served to insure proper hygiene. Lastly , the water dispenser equipment must have special wastes that are separate from the usual waste plumbing system. This applies to both drinking water dispenser and coffee making equipment. Also this fast food outlet must comply with the American's with Disability's Act (for commercial facilities serving the general public.) (Also there is no second means of egress directly to the exterior to a street or alley that is separate or remote) Estimated cost to cure the above deficiencies would exceed $45000 and would require the business to close for the renovation. The interior spatial arrangement or the partitions, and structural elements, utilities, means of egress and means of servicing or exits, are obsolete to provide lawful access to all spaces of this commercial/retail facility, that are commonly found in similar occupancy classifications. The above combination of deficiencies qualifies the buildings located in the proposed Redevelopment District in accordance with the statutory criteria described above because the conditions are reasonably distributed throughout the geographic proposed project area of the re certified Redevelopment District. • The City's evidence is reasonable and the evaluation of structurally substandard is based on the estimated cost of new code compliance for the structural, mechanical electrical, heating/ventilating/HVAC, American's with Disability Act, life safety , .egress, and energy conservation components or lack thereof at subject properties. *Therefore, the cost to modify the existing buildings determined structurally substandard or not in compliance with the new building code exceeds 15 % of the cost of constructing a new building on the same site (using replacement value) and qualifies the subject property under Laws Of Minnesota Section 469.174 subdivision 10 clause (a). (The housing and Redevelopment Authorities Act) to meet the test of Therefore the unsafe ,obsolete , faulty design, or any combination of these or other factors of the buildings, that are determined to be detrimental to the safety, health, morals, or welfare of the community ,essentially conclude the subject properties are blighted and structurally substandard. Existing Conditions This report does not address environmental issues (eg. pollution, contamination fugitive spills, asbestos, PCB containing transformers, or other unknown physical problems). CONCLUSION: The fundamental design defects of the subject property generates instability for commercial operations, hinders viability of adjacent property and results • in uneconomic return for the owners investment and adverse effect on the adjacent