CC PACKET 06271995 - Laserfiche WebLink

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The purchase and lease arrangements Th economics of the p rcha g proposed are not feasible . Accordingly, our company is requesting City support in the form of Tax Increment ` 'Financing . in the amount of $ 125 , 000 . The benefits to the City for its participation include : The introduction of 70 to 100 new jobs and a .. Successful' Minnesota company to the community . 'f 2 . The revitalization of a long term blighted property , and its return to the tax paying commercial real- estate base . 3 . An increase in the current tax base of approximately $300 ,000 . 4 . A contribution to the overall turn around of the 'Apache Plaza area into a viable economic region . The principals' of village Properties and industrial Custom .. Products would , - be happy to meet with City officials informally or formally to discuss these benefits further. our plan for utilization of the requested support is to use the funds to offset acquisition costs . Therefore, they would be required at the time of closing . We would then fund the. remaining total acquisition and improvement costs : through equity contribution or new financing. our approximate project schedule is as follows : Letter of Intent / Commitment to Purchase 5/10/95 Final Purchase Agreement 5/31/95 Final Lease Agreement 5/31/95 CFinancing Commitment 7/15/95 Real Estate .Closing 8/15/95 Complete Tenant improvements 9/15/95 Tenant Move-In Complete 10/31/95 Tenant- Operational and Lease Start 11/ 1/95 We appreciate the City' s consideration of - our request . Our. analysis shows that the successful redevelopment of this property - cannot be accomplished by private funding alone, and that a cooperative effort of public and private .resources will result in a significant addition to the community. We hope you agree . Thank you, . :is _ ,�:• ,1.aIY Kenneth solie Jerome Cowan