HRA MINUTES 12181984 - Laserfiche WebLink

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• CITY OF ST. ANTHONY HOUSING AND REDEVELOPMENT AUTHORITY MINUTES December 18, 1984 The meeting was called to order by Chairman Sundland at 8:27 P.M. Present for roll call:Sundland, Vice Chair Enrooth, Secretary/Treasurer Marks, and Commissioners Ranallo and Makowske. Also present: David Childs, Executive Director; and Stephen Yurick, Executive Vice President of Arkell Development Corporation, Kenzington Developer Motion by Secretary/Treasurer Marks and seconded by Commissioner Ranallo to approve as submitted the minutes of the H.R.A. meeting held December 4, 1984. Motion carried unanimously. Mr. Yurick had enumerated the reasons the developers were requesting an extension of 12 months to request acquisition of property for Phases _II_and=II:I-in his December 14"th-letter to the H -R -A -The -developer had ci"ted the difficulty in_obtaining financing for market rate condo projects related to the general market conditions in the condominium and housing industry. The redeveloper pointed out that the City's financial exposure had been kept to a minimum for Phase I of the Kenzie Terrace Redevelopment Project and indicated his firm was recommending the City wait another • year to see if those conditions change before expending out money to purchase the Saliterman property. Mr. Childs indicated he, Mr. Krier, and the Attorney, had concurred with Mr. Yurick's conclusion that it would be appropriate to have between 80% and 85% of the Kenzington project sold out before the marketing of Phase II and III commences and reiterated, as he had stated in his own December 14th memo to the H.R.A. members, that, with only a $300,000 debt incurred for the 202 senior housing project, which would be more than covered by the developer's $400,000 Letter of Credit, the City is in an excellent financial position which should be retained by not moving into Phase II and III without careful consideration. The Executive Director, Consultant and Attorney were therefore all in agreement that the Redevelopers Agreement should be extended for another year. Motion by Commissioner Ranallo and seconded by Commissioner Makowske to authorize the H.R.A. Chair and Executive Director to enter into the sixth amendment to the Redevelopers Agreement with Arkand Partnership which would extend the date on which the developers must recommend acquisition of property for Phases II and III of the Kenzie Terrace Redevelopment Project to December 31, 1985. Motion carried unanimously. Commissioner Ranallo commented that he had anticipated construction would have been commenced on the Kenzington project by now. Mr. Yurick responded that the type of building construction which is selected would determine the date the footings could be dug. Because his firm had decided to go with prestressed panels, rather than poured • concrete, after carefully weighing the pros and cons of each, the developer said the footings could only be dug within 10 days or two weeks of delivery of the panels, which Mr. Yurick anticipates would be no later than the last of January. Depending