PL PACKET 03171987 - Laserfiche WebLink

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-3 -: members,-that, in keeping, -with his "new outlook on life,:" Arkell would not be the lead partner on- this project, but was negotiating. to 'have Kloster Madsen ' ' take over 80% of the partnership. He told the Secretary/Treasurer - 'he anticipated the meeting _of Pat Brinkman and Kloster Madsen, representatives, January 29th,- would resolve all but - two or three 'of the questions the contractor has about the partnership which could be -resolved with, the meeting with the H.R.A. Attorney and Executive Director. If -an, impasse should develop after , that meeting, Mr. Arkell said he had a number of - people,. including a Texan, still interested in the project because of the 1985 bonds and their tax status. Mr. Soth confirmed that it was possible that the $400,000 Letter of Credit should be reduced to $360,000 under the contract because Phase I is completed. He also advised that if the H.R.A. is inclined to grant the month extension, it _ would be a good idea- to have $100, 000 which is "out of the pocket money" required to get an agreement, -from the developer to waive the provision in the redevelopment agreement which says the "developer isn'-t in default until the City has given a Notice of Default after which Arkell would have -30 - days to cure" in return. Mr. Arkell .,' indicated acquiesence. with that being done and said his intent had always been to meet the Friday deadline. Chairman Sundland pointed out to the developer the hardships some of the persons present for the discussion were experiencing as business owners in the center which Arkell is .to -develop. The Chairman then asked the - Kloster Madsen representative to affirm the impression he had gotten from his- own conversation with Mr.- ,Ryan that "Kloster - Madsen had a strong interest in this project but , it is , of paramount importance to your company that you get the questions you have answered. " .- James Johnson, Executive vice President of Kloster Madsen, said. the Chairman had been correct : in the impression he had gotten that the contractor was "very much interested in being involved -in the development of the projects: " Mr. .Johnson apologized for Mr. Ryan' s inability to be present that evening but said he - knew the Kloster Madsen President had a long list .of questions about the proposal which had been made to the contractors. Not- all of them were of the same importance but they all needed answering.: .so Kloster Madsen could make .:.a reasonable and intelligent decision in a short period of time. Mr. Johnson agreed the extra -30 days would give his firm. the cushion it , needed to make that decision but also indicated he perceived it was possible that determination could be .made in •"two weeks at a -minimum":, if ..ail .those . .questions were answered _-satisfactori-ly.. .