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HomeMy WebLinkAboutCC PACKET 08222000 Meeting Sheet IIIIIIVIIIVIIIVIIIVIIIVIIIIII) IIII 100572 Box: 17 Folder: CC PACKETS 1999-2001 Document: CC PACKET 08222000 ■ H.R.A. IMMEDIATELY FOLLOWING _ REGULAR COUNCIL MEETING. • CITY OF ST. ANTHONY CITY COUNCIL REGULAR MEETING AGENDA AUGUST 22, 2000 7:00 PM Council Chambers PAGE(S) I. CALL TO ORDER. II. PLEDGE OF ALLEGIANCE. Ill. ROLL CALL. IV. APPROVAL OF AUGUST 22, 2000 CITY COUNCIL REGULAR MEETING AGENDA. V. PROCLAMATIONS AND RECOGNITIONS. . A. Jim Nelson from the Metropolitan Council will present the City with a plaque for participation in Livable Communities. VI. COMMUNITY FORUM. Individuals may address the City Council about any item not included on the regular agenda. Speakers are requested to come to the podium, state their name and address for the Clerk's record, and limit their remarks to five minutes. Generally, the City Council will not take official action on items discussed at this time, but may typically refer the matter to staff for a future report or direct that the matter be scheduled on an upcoming agenda. VII. CONSENT AGENDA. .......................:.:.............................................. 1 - 14 These items are considered routine and will be enacted by one motion. There will be no separate discussion of these items unless a Councilmember or citizen so requests, in which event the item will be removed from the Consent Agenda and placed elsewhere on the agenda. VIII. PUBLIC HEARINGS - None. IX. GENERAL POLICY BUSINESS OF THE COUNCIL. • X. REPORTS FROM COMMISSIONS AND STAFF. City Council Regular Meeting Agenda • August 22, 2000 Page 2 PAGE(S) A. Engineering Items: 1 . Resolution OO-G69, re: Award bid.for Harding Lift Station and Resolution 00-077, re: Award bid for Force Main construction (Todd Hubmer, WSB) ................. 15 - 17 2. Resolution 00-070, re: Decorative lighting (Todd Hubmer, WSB) ...................................................... 18 - 20 3. Resolution 00-076, re: Evergreen Land Survey to conduct appraisals and negotiate for Harding flood mitigation .................................................................... 21 - 29 B. Planning Commission Issues of August 15, 2000 meeting (Planning Commission representative) (Meeting minutes are not numbered and afe a draft copy). 1 . Resolution 00-071 , re: Sign variance request by Murphy's Service Center, Inc., for 3501-29th Avenue NE ................ 30 - 40 • 2. Resolution 00-072, re: Subdivision/ lat by e Villa P 9 North LLP and Apache Animal Medicine .......................... 41 - 57 3. Resolution 00-073 and Ordinance 2000-008, re: Zoning ordinance amendment relating to parking requirements in LI Districts (only one reading is required) ..................................................................... 58 - 85 4. Resolution 00-074 and Ordinance 2000-009„ re: Rezoning request by Apache Animal Medicine for a portion of 2801-37th Avenue NE from LI to C and an rezoned railroad parcel to C (only one reading is required) ..........................: . 86 - 124 C. Hillcrest (Apache) Project Items: 1 . Resolution 00-066, re: Preliminary and Final Development Plans for Apache Plaza property (John Shardlow, Dahlgren-Shardlow and William Soth, Dorsey & Whitney) ................................ 125 - 185 • 2. Resolution 00-075, re: PUD Agreement with Hillcrest Development (William Soth, Dorsey & Whitney) .............................. 186 - 195 City Council Regular Meeting Agenda August 22, 2000 • Page 3 PAGE(S) 3. Resolution 00-0.6.1 , re:_ Amend Tax Increment Financing District #3 (Jerome Gilligan, Dorsey & Whitney) ........... 196 - 200 4. Resolution 00-062, re: Amend Redevelopment Plan for Area #3 and on the Proposed Tax Increment Financing Plan for Tax Increment Financing District #5 (Jerome Gilligan, Dorsey & Whitney) ............................ 201 - 203 XI. REPORTS FROM CITY MANAGER AND COUNCILMEMBERS. XII. INFORMATION AND ANNOUNCEMENTS. XIII. ADJOURNMENT. • MISCELLANEOUS INFORMATIONAL DOCUMENTS AREA TTACHED. VII. CONSENT AGENDA. 1 . City Council Meeting Minutes - August 8, 2000 2. Licenses/Permits 3. Claims 1 CITY OF ST. ANTHONY • 2 CITY COUNCIL REGULAR MEETING MINUTES 3 August 8, 2000 4 I. CALL TO ORDER. 5 Mayor Cavanaugh called the meeting to order at 7:00 p.m. 6 H. PLEDGE OF ALLEGIANCE. 7 Mayor Cavanaugh invited.the Council and the audience to join in the Pledge of Allegiance. 8 III. ROLL CALL. 9 Councilmembers-present: Mayor Cavanaugh; Councilmembers Sparks, Thuesen, and Horst. 10 Councilmembers absent: Hodson 11 Also present: City Manager Michael Mornson; City Attorney William Soth. 12 IV. APPROVAL OF AUGUST 8,2000 CITY COUNCIL REGULAR MEETING AGENDA. 13 Motion by Horst to approve the August 8, 2000 City Council Regular Meeting Agenda as 14 presented. 15 Motion carried unanimously. 6 V. PROCLAMATIONS AND RECOGNITIONS. 17 None. 18 VI. COMMUNITY FORUM. 19 Mayor Cavanaugh asked for input from the audience for items that are not on the regular agenda. 20 Ms. Betsy Mitchell, 2301 Taft St.NE, approached the Council and requested to discuss Apache 21 Plaza. She wished to speak to the Council at this time because she needed to leave for another 22 meeting. She would like to express her opinion that Hillcrest Development would make an 23 excellent improvement to the City through the renovation of Apache Plaza, and she also 24 mentioned Hillcrest's cooperative nature and experience. 25 Cavanaugh thanked Ms. Mitchell for her input. . 26 VII. CONSENT AGENDA. 27 Motion by Thuesen to approve the Consent Agenda for the August 8, 2000 City Council 28 meeting, which consisted of. 29 1. City Council Meeting Minutes of July 11, 2000; 30 2. Licenses and Permits; and 31 3. Claims. 32 Motion carried unanimously. •33 VIII. PUBLIC HEARINGS. 34 None. City Council Regular Meeting Minutes August 8, 2000 • Page 2 1 IX. GENERAL POLICY BUSINESS OF THE COUNCIL. 2 A. Resolution 00-054, re: Skate Park. 3 Cavanaugh requested a report from City Manager Michael Morrison. Morrison reported said that 4 this issue has been developed by the Parks Commission. Plans and costs have been drawn up, 5 with input on the configuration and design from a Youth Task Force headed by a St. Anthony 6 High School youth representative from the Safe and Affordable Youth Activities, and 7 theprogram was spearheaded by Jan Jensen, Parks Commissioner. The Parks Commission 8 recommended approval at their June 12, 2000 meeting, and the Skate Park would be located 9 behind the Community Center over the old Central Park hockey site. Bids were received for the 10 Skate Park design and construction, surface paving, and fencing and can be executed 11 independently. 12 Motion by Sparks to approve Resolution 00-054, a Resolution Relating to a Skate Park; 13 Authorizing Funding and Approving Vendors for the Project, wherein the City Council of the 14 City of St. Anthony hereby approves the recommended vendors to construct a Skate Park and 15 authorizes $50,000.00 for said project to be transferred from the 1999 Liquor Operations profits 16 to the Park Improvement Fund. 17 - Motion carried unanimously. 08 Cavanaugh wished to express his sincere thanks for the work that had been done in 19 implementing this project. 20 B. Consider Proposed List of Election Judges for the September 12, 2000 Primary Election. 21 Motion by Sparks to approve the Proposed List of Election Judges for the September 12, 2000 22 Primary Election as prepared by Connie Kroeplin, City Clerk, and noted on pages 23-24 of the 23 City Council Agenda Packets. 24 Motion carried unanimously. 25 X. REPORTS FROM COMNIISSIONS AND STAFF. 26 A, Review of the Hillcrest Development Co. Preliminary Plan for the Apache Plaza area and 27 Review Springsted Letter on Tax Increment Financiniz: 28 Mayor Cavanaugh noted that the City is moving towards closure on this project, and he 29 explained that the issue at this meeting was to determine whether the Apache Redevelopment 30 Project is the right project for the community. Additionally, Cavanaugh mentioned that there 31 has been a range of Staff that has been assisting the City is making such decision. Furthermore, 32 Cavanaugh believes the developer has been forthright in stating their needs, and the reputation of 33 the developer is noted to be excellent and the track record has been proven. The Council must 34 determine if the community needs can be met by the developer. �5 Cavanaugh invited John Shardlow, DSU,to speak to the Council. Mr. Shardlow reviewed for City Council Regular Meeting Minutes August 8, 2000 • Page 3 1 the Council some of the important points that have been discussed to date with regard to the 2 preliminary plan for the Apache Plaza Redevelopment. 3 Mr. Shardlow then reviewed for the Council a document known as "Exhibit A" and was . 4 incorporated into the Council's agenda packets as page 57. This document reviewed and set 5 forth the permitted uses for the new redevelopment,which would be known as "Silver Lake 6 Centre," a high tech office campus. 7 Mr. Shardlow fielded various questions from the Councilmembers regarding the specifics of the 8 plan. 9 Thuesen commented that this issue is a matter of how closely the City wants the PUD held, and 10 how much the City is willing to struggle to keep the PUD that tight. 11 Sparks inquired if the community space would be publicly owned. Anthony Gleekel, attorney 12 for Hillcrest Development, interjected that the community space would be provided by Hillcrest 13 Development for the public's use, but would not be publicly owned. 14 Cavanaugh inquired about the significance of the approval of the Planning Commission. City 15 Attorney Soth noted that the significance was that the Planning Commission recommended 6 approval to the Council. He further noted that the Planning Commission was the advisory 7 Commission to the Council, and did legwork and research in determining recommendations for 18 the Council. 19 Mr. Soth stated that his office would draft a PUD agreement so that the City and the developer 20 will contractually agree on exactly what would be done. 21 Cavanaugh wished to confirmed with City Attorney Soth that if the City approves the plan that 22 the Planning Commission has referred to the Council, that such document will be the primary 23 document for this generation and future generations as far as planning and zoning are concerned. 24 Cavanaugh clarified that the Planned Unit Development(PUD)would be a contract between the 25 City and the developer. 26 Cavanaugh asked for clarification from Mr. Shardlow and City Attorney Soth regarding some of 27 the specifics on Exhibit A. 28 City Attorney Bill Soth reviewed the minimum obligations of Hillcrest Development, as well as 29 the preferred obligations of Hillcrest Development. 30 Cavanaugh expressed his opinion that certain uses should be tightened up as far as definition and 31 allowable use. • City Council Regular Meeting Minutes August 8, 2000 t Page 4 1 Significant discussion ensued between Cavanaugh, Mr. Shardlow and Mr. Soth regarding the 2 specifics of the proposed plan and various opinions and thoughts were expressed. 3 When asked for a professional opinion on the redevelopment, Mr. Shardlow stated that he felt 4 that Hillcrest Development would entice the type of tenant that the City would be proud of, and 5 that Hillcrest has proven itself with other projects. Mr. Shardlow felt that Hillcrest Development 6 would create an asset to the community and obstacles would be few as far as the City working 7 with Hillcrest. 8 Thuesen recapped that the City needs to determine where it should go with respect to the PUD. 9 Thuesen felt that the City needed to be fair and come to an agreement and decide if the City is 10 comfortable with Hillcrest working on the Apache property. Additionally, Thuesen pointed out 11 that there are financial incentives for both the City and for Hillcrest to make this project 12 profitable. If the City decides not to work with Hillcrest,then this same issue would need to be 13 revisited in the future with another developer, if the City were able to attract another developer. 14 Horst responded about a prior comment regarding the importance of the issue being brought 15 before the Planning Commission. Horst wished to clarify that the Planning Commission was 16 entrusted to take comments from the community and to obtain a reaction from the community. 17 Then, a strong recommendation would be made to the Council from the Planning Commission. . 0 8 The reason,Horst.stated, is that the Planning Commission is the advisory group to the Council, 9 and it is that Commission's job to review any issues and then make recommendations to the 20 Council. Horst further clarified that the Planning Commission had already asked many of the 21 questions asked at this meeting tonight, and that the Commission has researched and reviewed 22 the issues recommended to the Council. 23 Cavanaugh introduced Chris Melsha, Planning Commissioner, and invited him to address the 24 Council. Mr. Melsha stated that it was the consensus of the Commission that it was comfortable 25 with the Plan. Even if it was not the perfect plan for the City, it was a very good plan and it 26 would be a great improvement over what is currently at that location. Mr. Melsha stated that it 27 was the consensus that the Commission was comfortable with the project moving away from the 28 retail sector. 29 Mr. Melsha read for the Council the findings of fact that the Planning Commission listed as part 30 of the approval of the plan. These findings were depicted on page 10 of the Planning 31 Commission Meeting Minutes of August 1, 2000, as well as on page 34 of the Council's meeting 32 agenda packets. 33 Mr. Melsha stated that through the almost nine months of hearing from Hillcrest Development 34 and reviewing the plans and the project, that the Commission was comfortable with the 35 assurances received from Hillcrest. Additionally, Mr. Melsha pointed out that the Planning 36 Commission toured many of Hillcrest's renovated sites, and the Commission was impressed with �7 the quality of work that Hillcrest performed and the appearances of the buildings. City Council Regular Meeting Minutes . August 8, 2000 • Page 5 1 Cavanaugh asked about a specific bullet point in the findings of fact that mentioned if the City 2 abandoned the proposed plan, that it would send a negative message. Mr. Melsha stated that he 3 could not speak for the other Commissioners, but his sense in the meaning of that sentence was. 4 that Hillcrest was an excellent developer and a large amount of trust had been obtained from 5 Hillcrest. If the project were to be abandoned, Mr. Melsha stated that the possibility was great 6 that the City would send a negative message to other potential developers. Furthermore, Mr. 7 Melsha stated that the Commission was comfortable working with Hillcrest and felt that the 8 developer would provide the City with an excellent renovation and work fairly with the City as 9 well. 10 Cavanaugh thanked Mr. Melsha for the time and work that the Planning Commission had put 11 into the project. 12 Cavanaugh introduced Paul Steinman, Springsted, and invited him to address the Council: Mr. 13 Steinman directed the Council's attention to a memorandum from him dated July 28, 2000. This 14 memorandum discussed the public comments provided at the meeting of July 25, 2000 and 15 answered a number of points presented by Mr. Raymond Haik in his memo dated August 1, 16 2000. Additionally, the memorandum summarized Springsted's recommendations with regard 17 to the Hillcrest redevelopment proposal. 8. Sparks inquired about the funding and Mr. Soth and Mr. Steinman both explained the way the 9 funding would work and the incentives that Hillcrest Development would have to make the 20 project work successfully. 21 Horst confirmed with Mr. Robert Thistle, Springsted,that this project would create a very low 22 taxpayer risk. Mr. Thistle assured the Council that the risk was very low for taxpayers. 23 Cavanaugh inquired how much TIF money Hillcrest would receive if they performed until the 24 "interim agreement as opposed to the "preferred." Mr. Steinman responded and provided 25 figures to Cavanaugh. It was confirmed that.under either agreement,Hillcrest would receive TIF 26 money, but it would just depend upon which agreement was met as to how much TIF money 27 Hillcrest would receive. 28 Horst confirmed that the TIF money is being used to do good things for the project; strictly for 29 the benefit of the community. Mr. Steinman confirmed that TIF money is generally used for the 30 community good. 31 Bob Strakota, TIF consultant for Hillcrest explained additional details on the TIF financing. 32 Cavanaugh requested some additional documentation and Mr._Strakota offered to provide him 33 with a copy after the meeting. 34 Scott Tankenoff, managing Partner of Hillcrest Development, approached the Council. He �5 responded to some questions that had been asked by Cavanaugh and Sparks regarding figures City Council Regular Meeting Minutes August 8, 2000 • Page 6 1 that were planned on being spent on the project. Mr. Tankenoff stated that a document had been 2 prepared because at one point, he had been asked by City Staff to provide some preliminary 3 figures on what would be spent on the project. Mr. Tankenoff stated that he basically had 4, released an internal document to.the City that set forth some preliminary figures, and that was 5 the document being discussed.at this meeting. 6 Thuesen felt that he had received a sense from Hillcrest that the developer needed an interim 7 plan. He felt that Hillcrest's goal was to go well beyond that interim plan. 8 Cavanaugh felt that the interim plan should be eliminated to be a permitted use. He felt it should. 9 be kept in the mode of temporary and take the permanency out of interim. 10 Thuesen clarified his statements by stating that it makes good business sense to have an interim 11 plan in place. 12 Cavanaugh noted that the interim plan could have permanency after 10 years. He says to change 13 interim to temporary, and eliminate the permanency . 14 Thuesen stated that from the beginning, Hillcrest Development has posed plans and said that 15 plan is the minimum standard, but that Hillcrest felt they could do better. Thuesen said that it 6 made sense to have both plans. 17 Horst said the City's consultants felt that the interim plan would not happen, and that the City 18 needed to determine where the comfort level is on this issue. 19 In response to that discussion, Mr. Tankenoff approached the Council. He attempted to clarify 20 what he believed the concerns and questions were from Cavanaugh. He reassured the Council 21 that past practice, track record, and development history were a good indication of the quality 22 and commitment that would be given to the project. However, guarantees would not be given as 23 to the achievement of the project beyond what has been presented to date. 24 Horst asked Mr. Tankenoff if he had an idea about the prospects for the fallback. Mr. Tankenoff 25 noted that Hillcrest Development-has never missed a mark. 26 George Wa ng_er, 3407 Fordham Court, wished to thank the Council for passing the skate park 27 resolution. The youth and the community would benefit from the implementation of the park. 28 Mr. Wagner continued by stating that he is in favor of moving forward with the Apache Project. 29 Mr. Wagner reviewed for the Council the long history of Apache Plaza, and the many developers 30 that have tried to redevelop the property and failed. Mr. Wagner cautioned the Council on 31 turning away Hillcrest Development from this project because it would be most difficult to 32 attract future developers, particularly if this project was declined. He felt that Hillcrest �3 Development was an excellent choice to make the project work. He encouraged the Council to City Council Regular Meeting Minutes August 8, 2000 Page 7 1 try hard to negotiate with this developer and make the project work. Currently, Mr. Wagner said 2 that Apache Plaza is a wasted property as it stands.now. 3 Scott Jahner, 3909 Penrud Lane, stated that he worked in the Apache Building for many years 4 and lives close to the building. He encouraged the Council to work as a team and to think about_ 5 long-term effects and work together on getting this project to work successfully. He stated that 6 the community would not ostracize the Council for decisions made, but the renovation needed to 7 move ahead. 8 B. Presentation of the Proposed 2001 Cily Budget. 9 City Manager Michael Mornson stated that there were four changes to the budget: 10 * There is a new calendar. This moved up the budget process for the public input. 11 * The goals have been listed in the budget as much as possible. 12 * A budget has been proposed that is based more on the actual expenditures from 1999. 13 * The general fund reserve of$250,000 will be taken out of the budget and will be 14 available for use at the Council's discretion. 15 Mornson reviewed important dates for the City with regard to the 2001 budget process, which 16 was depicted on page 109 of the Council's packages. 7 . Mornson then directed the Council's attention to page 110 of the Council packages which set 18 forth the eight key goals for the City for 2000-2001. 19 Mornson reviewed for the audience and the Council,the General Fund accounts for resources 20 devoted to financing general services. These include General Government, Police, Fire, Public 21 Works and Parks. It is the largest budget and is the main operating fund of the City. 22 Mornson reviewed in detail the general f ind.revenues, expenditures, and changes in fund 23 balance. These figures were depicted on page 114 of the Council's agenda packages. 24 Mornson directed the Council's attention to page 124 of the agenda package where the 2001 25 Levy Review was depicted. Additionally, page 124 was reviewed wherein a 3-year levy in 26 comparison was shown. 27 Mornson then reviewed the Capital Equipment 2001 Budget which was provided on page 123 of 28 the Council's packets. 29 Horst inquired if the expenditures allocated for parks refurbishing were a normal cost. Mornson 30 stated that in the past,the funds are used to maintain the existing equipment already in the parks. 31 The figure of$25,000 for refurbishing park equipment is a figure that has typically been 32 designated for maintenance of equipment. •33 Various discussion ensued regarding the proposed budget being taken from actual figures or City Council Regular Meeting Minutes • August 8,2000 Page 8 1 budget figures with some objections being made-as to the format. 2 It was discussed that the format for the proposed budget was the format that had been previously 3 discussed and requested. However, it was mentioned that the budget will vary from year to year, 4 and that Staff reviews and recommends appropriate increases or decreases,as the needs exist. 5 Thuesen confirmed that Staff has come to the Council recommending a 7% levy increase, and he 6 trusted the Staff to request what they feel is necessary for the upcoming year. 7 Morrison reminded the Council that the figures can be adjusted per the Council's request, and 8 that the figures proposed were simply Staff s recommendations. 9 Horst inquired if additional expenditures were incurred for some reason, how those expenses 10 were covered under the 2001 budget. In other words, Horst would like to see some allowances 11 made in the budget for unanticipated expenditures. 12 Thuesen mentioned that he was comfortable with the levy proposed at 7% levy and to send a 13 clear message to the Staff where the Council is heading with the levy and budget process. 14 Cavanaugh stated that.he felt it was more of a message to the community as opposed to the Staff. 05 Motion by Horst to allow the meeting to continue past the deadline of 10:30 p.m. 16 Motion carried unanimous. 17 18 It was mentioned that the 7%proposed levy does not guarantee that taxes will go up that amount 19 because it depends on the tax base of the City. 20 Cavanaugh felt that the increase should be approximately 2.29%, but that Staff had proposed 21 7.2%. Sparks stated that it came down to the fact.to trust City Staff about recommendations. 22 Horst stated that department heads and Staff should be able to determine the amount of funds 23 needed for the year. 24 Morrison mentioned that the strains and demands on City Staff are increasing each year, and said 25 that the levy is available to assist in meeting those demands. If the Council did not wish to 26 increase the levy by 7%,then direction needed to be given. Thuesen stated, however, that he 27 owes it to the community not to rubber stamp every item that comes before the Council, but in 28 this instance,he did not see any red flags that would cause him to have concern over the levy 29 increase. 30 31 Thuesen noted that he wanted to send the message that he would support the 7% increase and 32 gives his personal approval for City Staff to continue with the proposal. City Council Regular Meeting Minutes August 8, 2000 Page 9 1 At the request of Councilmember Sparks, Fire Chief Joel Hewitt approached the Council and .2 stated that the fire department's budget was arrived.at based upon previous figures and the 3 amount of funds that he thought the department would need for the upcoming year. 4 Morrison proposed that the resolutions be put together regarding the budget and would be put on 5 the agenda for a meeting in September. 6 Morrison said that the Council needed to direct Staff whether the upcoming budget should be 7 actual or budgeted. Councilmembers Horst and Thuesen stated they did not feel that a decision 8 was made to change the budget to actual and to continue increases based on previous years' 9 budgets. 10 XI. REPORTS FROM CITY MANAGER AND COUNCILMEMBERS. 11 Morrison reported that Middle Mississippi is considering a tax levy. City Staff directed Todd 12 Hubmer to do some research on this issue and will present at a later meeting. 13 Morrison reported that the Mayor and City Manager had a meeting with the superintendent of 14 schools and chairman of school board regarding Central Park. Another meeting is scheduled this 15 month to continue discussions. The City Manager and Superintendent will be meeting with 16 Springsted officials to discuss financing Central Park. It has been agreed that on September 26, 17 there will be a joint meeting with the school board, the Parks Commission, and BRW at 6:00 8 p.m. -7:30 p.m. 19 The Council's September 12 meeting will start at 8:00 p.m. due to the primary. 20 Morrison reported that bids are due next week on the Harding Lift Station, and this will be on the 21 Council's August 22, 2000 meeting agenda. . 22 Regarding the holding pond of the Harding project,Todd Hubmer and Morrison will be selecting 23 an appraisal company and a consulting company that negotiates property easements. Morrison is 24 hoping that the appraisals get started sometime after Labor Day. 25 Horst reported that he does not think that decisions need to be this difficult for the Council. The 26 City has a superior Staff and the Council needs to have more faith in their recommendations and 27 opinions. 28 Thuesen congratulated all volunteers for the VillageFest celebration. Additionally, he expressed 29 appreciation for the organizers of the 5K run, and expressed anticipation that the 30 Councilmembers will volunteer for the dunk tank next year. 31 Sparks noted the fun and excitement of VillageFest and the success of the event. 32 Sparks noted from Horst's comment that sometimes the public process is designed to be slow. 1® City Council Regular Meeting Minutes August 8, 2000 • Page 10 1 Cavanaugh noted that VillageFest was indeed a success and that the City was lucky to have Sue 2 Johnson as the chair of the event. 3 Cavanaugh announced that the Kiwanis should have a gold star in making the Pancake Breakfast 4 a success. 5 XII. INFORMATION AND ANNOUNCEMENTS. 6 None. 7 XIII. ADJOURNMENT. 8 Motion by Horst to adjourn the meeting at 11:09 p.m. 9 Motion carried unanimously. 10 Respectfully submitted, 11 Sue Selseth 12 Timesaver Off Site Secretarial, Inc. 13 14 Mayor 5 ATTEST: 16 City Clerk • Saint Anthony Village DATE: August 22, 2000 Approval: TO: Mayor and Councilmembers FROM: Judy Monson, License Clerk ITEM: Licenses and Permits for Approval: General Contractors License: R & N Roofing, Long Lake, MN Talberg Lawn & Landscape Inc., Maple Grove, MN One-Way Building Service Inc., Edina, MN • G. L. Contracting Inc., Medina, MN • 12 BRC FINANCIAL_ SYSTEM _ _ _ u _ST. _ 6 2.7 ANTH_UNY V1LLHU 8/15/2000 13: Check: Register CL540R-V0 . PAGE TANK VENDOR _ CHECK* DATE AMOUNT FIRS FIRSTAR ST. ANTHONY CHECKING 008450 - ANIMAL CON` ROL SFRVTC�S, 12 0/+ 08/c 3/00 515.0 + 008660 ASPEN ENVIRONMENTAL 12505 08/23/00 248.3,11- 008237 ASPEN MILLS 12506 08/23/00 7_68.80 .00001 BALLANTYNE/MAE 12507 08/23/00 50.00) .00002 BANIA JR. /DON 1 2508 08/23/00 325.00 007187 BERNIES STUMP REMOVAL 12509 08/23/00 _ _ 159.75 OC)�68 L�OYER FOF�I) TRUCKS, INC . i?510 D8%c 3%00 5.03 007253 BRAKE & EQUIPMENT WAREHO 12511 08/23/00 36.57 004065 CENTRAL LOCK & SAFE CO 12512 08/23/00 180.95 00�5C�C) CHEF20KEE PO4JER E'C3VIP.----- -].2513 08/2300 -- - -- 77.49 -- 004107 COMPTON 'S COMMERCIAL CLN 12514 08/23/00 4,294.08 007334 CONNELLY INDUST. ELE:CTRO 1.251.5 08/23/00 435.25 3 C -/SHEIL_A 1?_516 08/23/00 50.00 000765 CUMMINS NORTH CENTRAL, I 1.2517 08/23/00 48,420.23 007178 D-ROCK CENTER & SMALL EN 12518 08/23/00 13.48 U0_8U0 D_1-VIE 4JATER EQUIP -- 005193 DEPT LABOR & INDUST CED 12520 08/23/00 10.00 000807 DIAMOND VOGEL PAINTS 1.2521 08/23/00 382. 11 ff0 1 DICKSON EL..ECTRIC 1?_522 08/23/00 219.40 000820 DORSEY & WHITNEY 12523 08/23/00 685.00 008348 DUECO, INC . 12524 08/23/00 803.03 0221 FOSTER,,WENT7_ELL,HEDFiACK, ].2525 C)8/23%00 3,000.00 008647 FRATTAI_LONE 'S HARDWARE 12526 08/23/00 57 .91 001025 G & K SERVICES 12527 08/23/00 14.03 001145 GLENWOOD INGLEWOOD 12529 08/23/00 72.72 001165 GOODALL RUBBER CO 12530 08/23/00 259.47 �c`'.SO GOPHER-STATE OnIE CALL- 1.2531 08723%QO 112.OU 001420 HAWKINS WATER TREATMENT 12532 08/23/00 195.69 008683 HEALTHCOMP EVALUATION SV 1.2533 08/23/00 38.00 �501-T--HENNEPIhT-COUNTY-TRE=ASUFIE 1253f+08%c�'3700 981 .00 008432 HENNEPIN COUNTY TREASURE 12535 08/23/00 150.00 008252 HOME DEPOT-GECF 12536 08/23/00 1 ,010. 16 00865E INSTRUMENTAL-RESEARCH;I-- -1.-2537 C)8723700 008680 LARSON ALLEN WEISHAIR & 12538 08/23/00 1 , 125.00 .00004 LAW & ORDER 1.2539 08/23/00 50.00 0020W0--ZILLIE-SUBURBAN--NEWS PAPE ------ 12540--0872 37D0 -----1 -313 93 1 008229 L.OFFLER BUSINESS SYSTEMS 12541 08/23/00 740.00 008255 LUCENT TECHNOLOGIES, INC 12542 08/.23/00 • 25.50 C)023957--MTI---DIST-'CO-- - --- ---1:254-3--C)8723%-00--- 278-.22 ----. 002100 MACQUEEN EQUIPMENT CO 12544 08/23/00 59.37 0081.97 MCI WORLDCOM 1.2545 08/23/00 94.60 .-U0002 1ICPA - -- ---- ---- -12546 004271 MEDIA MEDIA ONE 1.2547 08/23/00 7.00 008509 MEDTRONIC PHYSIO-CONTROL_ 12548 08/23/00 3,035.76 -008455 -METRO-ATHLETIC -SUPPLY .�- - -.---.-1.2549- 087237U0 008467 MIDWAY FORD 12550 08/23/00 74. 17 002280 MIDWEST ASPHALT CORP 12551 08/23/00 269.32 13 BRC FINANCIAL SYSTEM ST. ANTHONY. VILL.A_GI 8/15/2000 13: Check Register CiL540R-V06.27 PAGE BANK VENDOR CHECK# DATE AMOUNT FIRS FIRSTAR ST. ANTHONY CHECKING 008046 MINN CLE 12552 08%23/00 390.00 .00005 MINNEAPOLIS FIRE DEPT. ].2553 08/23/00 450.00 008642 MINNESOTA OSH DIVISION 12554_0_8/23_/_00 1_,_30_0_.00 008269 MINNESOTA SHREDDING LLC 12555 061 /00 54.95 .00006 MN STATE FIRE_ CHIEFS ASN 12556 08/23/00 135.00 002505 NARDINI FIRE EQUIP CO _ 1.2557_08/23/00_ _ 65.33 002680 NC7RTHERl�I STATF_5 POWER 12558 08/23/00 15,261 .46 000045 OFFICE DEPOT 12559 08/23/00 608.05 008528 PACE ANALYTICAL_ SERVICES 12560 08/23/00_ 285.00 _ 007366 PARTS MIDWEST, INC . 1.2561 08/23/00 51 .01. 008560 PEARSON PROS. , INC . 12562 08/23/00 24,937.50 008594 PETERBILT NORTH 1.2563_08/23/0_0 _ _ _45.05 0070!7 PRAXAIR 12564 08/23/00 18.21 008372 QWEST INTERACT SERVICES 1.2565 08/23/00 49.95 002380 RELIANT ENERGY MINNEGASC 12566 08/23/00 2, 125.97 .00007 INC . 1.2567 08/23/00 1 ,335.00 .00001 RO-SO CONTRACTING, INC .. 12568 08/23/00 2,750.00 003100 ROSEDALE CHEVROLET 3.256V 08/23/00 154.22 005270 ROSEVIL E RADIO--- ---- - ---- 12S7U 08/23/00-- - ---- 76.68 008682 SEEDORFF MASONRY INDUSTR 12571 08/23/00 2,370.00 00008 SHILOAH WATER COMPANY 12572 08/23/00 30. 00 1.2573 08/23/00 ---- - 31 .95 008483 SKB 12574 08/23/00 380.00 001810 ST. ANTHONY VILLAGE KIWA 3.2575 08/23/00 187.00 .00003 SZYMANSKI/DENNIS 12577 08/23/00 18.27 008684 TENSON CONSTRUCTION, INC 12578 08/23/00 92,774.26 �Cf'3560 -?`RACY F'RII�ITING 1.2579 08/23/00 1 ,783'.98 003630 TWIN CITY SAW & SERVICES 12580 08/23/00 92.53 0011.492 U S WEST COMMUNICATIONS 3.2581 08/23/00 1 ,,415.42 OCS8010TJNIFORMS UNl_IMITf_D 125s�2 08/23/00 91 .00 008561 UNITED RENTALS COMPANY 3.2583 08/23/00 187.53 008270 UNITED STATES POSTAL_ SER 12584 08/23/00 600.00 OD-2.70-0 US-WF_.ST COMMUNIC-ATION5- 1.2585 QE37-23�00 63.�i1 008227 VERI7.ON WIRE=LESS, BELLEV . 12586 08/23/00 423,.63 003698 VIKING ELECTRIC SUPPLY 1.2587 08/23/00 72.39 500.00 005298 WARNING LITF_S OF MN 3.2589 08/23/00 99.05 004494 WASTE MANAGEMENT - BL_AIN 12590 08/23/00 ' 260..77 -- - -- ---- -------37r,-3.4-.4-'-.05- - -. . Cf08-273---GJSB�-AaSOC-IATES;--Ih(C. " 3.2591 08/23/00 008493 YOUNGDAHl_ COMPANIES 12592 08/23/00 450.00 003840 ZE:P MFG COMPANY 1.2593 08/23/00 69.23 FIRSTAR ST. ANTHONY CHECKING 265,879.00 14 _}jR_C _FINANC_IAL_._ SYSTEM.- ---------------- ------------------------_._.-- -_--....----___-ST.__ANTHONY-__VILLF 08/16/2000 09: Check: Register GL540R-V06.2.7 PAGE _--HANK-- ----VENQOfZ-----.---.-- - .-----._.. .CHF_CK#.--_- DATE---.------ .- -- __AMOUNT_._-_. LIQR LIQUOR CHECKING ACCOUNT ' 008311 ALL SAINTS BRANDS DISTRI 17169 08/23/00 397.40 004225 ALL-IANT FOODSERVICE 17170 08/23/00 958.55 - ___008660..___-._ -AS PEN_--ENYI.RONMENTAL----------- --.._..---- - . _ 17.17,1._08/23Z0_0___._. 004293 BELLBOY CORP. 17172 08/23/00 1 ,300.00 004039. BONN IWEI_L_/STUART J 17173 08/23/00 4,500 .00 234.00._.--. 004107 COMPTON'S COMMERCIAL CI_N 17175 08/23/00 2,445.95 0041.20 EAGLE WINE CO 17176 08/23/00 2,793. 12 ----_._.. -----005284------ -EI_EL'TION-.SYS"CEIvfS.--&.---SOF-rVJ ..._. _. .. _ 1717.7-_.0.8/23/_00.-..._._ . _569.83.--.-_- 008563 ENVIRONMENTAL HEALTH ASS 17178 08/23/00 85.00 004142 FOCUS NEWS 17179 08/23/00 397 . 95 -----, 004141 ___---_F_RITZ__.COMP-AI\IY_,,',---II\[C . .-_ _ ------........ 1.7.180_08L23L00.__._-.... _5-,_260.74__ .- .00001 GCS SERVICE INC 17181 08/23/00 229.00 004172 GRAPE BEGINNINGS, INC . 17182 08/23/00 263.00 COOPER__&..._CO_-INC .. 17183 08/23/­00_.______. . 15,216 ..13 ..--. 004201 HE:GGIES PIZZA 1718 +1 08/23/00 127.00 006617 HINNENKAMP/WAYNE 17.185 08/23/00 63 .50 --- -- -0-04220_. JOHNSON -BROS. LIQ_. . ..... ..._._ _ . .....__... 17186 08/23/..00 .------ -9.785-..16 -- 004218 JOHNSON PAPER & SUPPLY C 17187 08/23/00 642. 16 • 00204.0, L.ILL.IE SUBURBAN NEWSPAPE 1.7188 08/23/00 500.00 008671 _CO.._._:-_... . . _....._ . 171.89 ..08/.23/0 0 _. . _ 12,00 - .---_-.-_ _ 0042.72 METZ BAKING CO 17190 08/23/00 139.04 00421 99 MPLS. OXYGEN CO. 17191 08/2.3/00 9 .60 002680 _NORTHERN .STATES. POWER . 17192 08/23/04 5,405.25 004339 NTN COMMUNICATIONS INC 17193 08/23/00 679.00 00004.5 OFFIC;E DEPOT 17194 08/23/00 182.87 0043*45 __.OLD DUTCH.. FOODS..._INC 17195 08/23/00 . 72 .00 ..--.- 004354 PAUSTIS & SONS 17196 08/23/00 713.82 00=4360 PHILLIPS WINE & SPIRITS 17197 08/23/00 4,752. 41 - -- - 004376 CO ----___.-- _- - .17198 08/-23/_00 _____. - -3,529..97_ _._-- 004385 QUALITY WINE_ CO 17199 08/2.3/00 10,074 .75 008597 R.D. HANSON ASSOC . , INC . 17200 08/23/00 179. 75 _ -002380_ RELIANT ENERGY MI_NNEGASC 1720148/23/00335?._22_- 004393 RON 'S ICE 17202 08/23/00 71 .72 002420 STAR TRIBUNE 17203 08/23/0[) 1 ,576.00 _ 005004 SUPERIOR PRODUCTS _17204.,,08_/23/0.0_ __ -- ,1_,.1.31 004466 SYSCO-MINNESOTA 17205 08/23/00 1 ,548.41 004475 TRI TECH DISPENSING 17206 08/23/00 158. 18 _004480-_ TWIN CITY FILTER SERVICE 08/23/OC)-...______.__.___-_.1-.1.3_, 004492 U S WEST COMMUNICATIONS 17208 08/23/00 384.03 008270 UNITED STATES POSTAL SER 17209 08/23/00 100 .00 _ 008219 - US WEST. DEX- _ 172.._10 08/23/00 974 004494 WASTE MANAGEMENT - BLAIN 17211 08/2.3/00 327 .43 004497 WEYERHAEUSER 17212 08/23/00 25.00 LIQUDR CHECKING ACCOUNT --------- ---------- -------78,488.34 • X. REPORTS FROM COMMISSIONS AND STAFF. 1 . Engineering Items. a. Resolution 00-069 and 00-077 b. Resolution 00-070 C. Resolution 00-076 2. Planning Commission Issues. a. Resolution 00-071 b. Resolution 00-072 C. Resolution 00-073 & Ordinance 2000-008 d. Resolution 00-074 & Ordinance 2000-009 3.. Hillcrest (Apache) Project Items; a. Resolution 00-066 b. Resolution 00-075 C. Resolution 00-061 d. Resolution 00-062 AUG-17-2000 12:46 WSB & ASSOCIATES INC. 7635411700 P.'�^ "'" AL 8441 Wayzata Boulevard, Suite 350 BA.Mittelstr- 15 Bret Minneapolis, MN 55426 ,.A. . , Peter R.Willenbr brL:o. • Donald W.Sterna,PE. tel: 763-541-4800 Ronald B.Bray.P.E. &Associates, Inc. fax: 763-541-1700 August 16, 2000 Honorable Mayor and City Council City of St Anthony 3301 Silver Lake Road St. Anthony,MN 55418-1699 Re: Harding Street Forcemain and Sanitary Sewer Lift Station Improvement Projects for the City of St. Anthony WSB Project NO. 1065-453 Dear Mayor and City Council Members: Bids were received for the above-referenced projects at 10:00 A.M., and 10:30 A.M.,August 17, 2000, and were opened and read aloud. A total of five bids were received for the Lift Station Improvements, and four bids were received for the Forcemain Improvements. The bids were • checked for mathematical accuracy and tabulated. Great Western Corporation submitted the lowest bid in the amount of$64,744.00 for the Lift Station Improvements and MinnComm Utilities Construction submitted the lowest bid in the amount of$60,190.00 for the Forcemain Improvements_ We recommended award of the contract to Great Western Corporation in the amount of$64,744.00 for the Lift Station Improvements and MinnComm Utilities Construction in the amount of $60,190.00 for the Forcemain Improvements. Enclosed for your consideration are Resolutions authorizing the proposed improvements. Sincerely, WSB & Associates,Inc. r� Todd E.Hubmer,P.E. Proj ect Manager Enclosures nm M i n n e a p o l i s * St . C l o u d Infras"ddare Engineers Planners FAWPWDA10654SW81600-hmc.wp� EQUAL OPPORTUNITY EMPLOYER AUG-17-2000 12:46 WSB & ASSOCIATES INC. 7635411700 F 16 CITY OF ST.ANTHONY RESOLUTION 00-069 A RESOLUTION AWARDING A CONTRACT TO COMPLETE HARDING STREET SANITARY SEWER LIFT STATION IMPROVEMENTS WHEREAS, pursuant to an advertisement for bids for the improvement as shown on the plan for the above-referenced project,bids were received, opened and tabulated according to law; WHEREAS, it.appears that Great Western Corporation is the lowest responsible bidder. NOW,THEREFORE, BE IT RESOLVED by the City Council of the City of St. Anthony: 1. That the Mayor and City Manager are hereby authorized and directed to enter into a contract with Great Western Corporation in the amount of$64,744.00 in the name of the City of St.Anthony,Minnesota for the improvement outlined in the above-referenced project according to the plans and specifications,therefore, approved by the City Council and on file in the office of the City Clerk. 2. The Engineer, WSB &Associates,Inc., is hereby authorized and directed to return forthwith to all bidders the deposits made with their bids, except that the deposits of the • successful bidder and the next two lowest bidders shall be retained until a contract has been signed. Adopted this day of , 2000. Mayor ATTEST: City Clerk Reviewed by Administration: City Manager • P;\WPWIlV\1065i5�4on Srr l5 RstK AUG-17-2000 12:146 WSB & ASSOCIATES INC. 7635411700 P. 17 CITY OF ST. ANTHONY • RESOLUTION 00-077 A RESOLUTION AWARDING A CONTRACT TO COMPLETE HARDING STREET SANITARY SEWER FORCEMAIN YMPROVEMENTS WHEREAS, pursuant to an advertisement for for the improvement as shown on the plan for the above-referenced project,bids were received,opened and tabulated according to law; WHEREAS, it appears that MinnComm Utilities Construction is the lowest responsible bidder. NOW, THEREFORE,BE IT RESOLVED by the City Council of the City of St. Anthony: 1. That the Mayor and City Manager are hereby authorized and directed to enter into a contract.with MinnComm Utilities Construction in the amount of$60,190.00 in the name of the City of St. Anthony,Minnesota for the improvement outlined in the above- , referenced project according to the plans and specifications,therefore, approved by the City Council and on file in the office of the City Clerk. 2. The Engineer, WSB &-Associates,Inc., is hereby authorized and directed to return • forthwith to all bidders the deposits made with their bids, except that the deposits of the successful bidder and the next two lowest bidders skull be retained until a contract has been signed. Adopted this day of )2000. Mayor ATTEST: City Clerk Reviewed by Administration: City Manager • p.%WPW IMJ 0dff-4%=swr Pan R,a.wP TOTAL P.04 1 8441 Wayzata Boulevard, Suite 350 B.A.Mittelstea Minneapolis, MN 55426 Bret A.Weiss,P.E. Peter R.Willenbring.P.E. • Donald W.Sterna,P.E. tel: 763-541-4800 Ronald B.Bray,P.E. &Associates, Inc. fax: 763-541-1700 August 1.6, 2000 Honorable Mayor, City Council and Staff City of St Anthony 3301 Silver Lake Road St. Anthony, MN 55418-1699 Re: Recommendation for Decorative Street Lighting in the City of St. Anthony WSB Project No. 1065-264 Dear Honorable Mayor, City Council and Staff- We have completed the public review and input process for the selection of decorative lighting fixtures in the City of St. Anthony. This public input process included the following activities: • Presentation to the Planning Commission on July 18, 2000. • Village Fest display in which residents' selections were solicited and recorded. • Decorative Lighting Public Forum Meeting held on August 9; 2000. • Presentation of Village Fest and Public Forum results to the Planning Commission on August 15, 2000. Through the public review process, we received a total of 44 comments on decorative lighting selection. Of the 44 received,the two most popular lighting fixtures were the Lantern,receiving 19 requests, and the Vernon with 9 requests. The remaining fixtures received five or fewer requests. These results were presented to the Planning Commission at their August 15,2000 meeting. Based on this information and discussion with residents, the Planning Commission makes the following recommendation to the City Council regarding decorative lighting: Vernon fixtures be adopted as the standard fixture for municipal state aid streets within the City of St. Anthony and-that the shoebox fixture be utilized at intersections or areas where the decorative fixtures do not supply ample light to meeting lighting requirements.Furthermore,the Planning Commission recommends that the color of the decorative lighting within the City of St.Anthony be black. This decision at the Planning Commission was based on the following discussions: • The City of Minneapolis has selected the Lantern fixture to light many of their streets. It was felt that having a different light standard than the City of Minneapolis would provide the Village a slightly different appearance. tThe Vernon fixture is closer to a true cutoff fixture than the lantern fixture. This would allow for less light pollution and better control in directing the light where it is needed on the streets and sidewalks. M i n n e a p o l i s St . C l o u d Infrastructure Engineers Planners F:\WPW[MI065-26\081600-hmc.wpd EQUAL OPPORTUNITY EMPLOYER 1 Honorable Mayor, City Council and Staff • City of St Anthony August 16, 2000 Page 2 • Many s of the comments the Planning Commission received in addition to the written responses from residents indicated that most of the residents preferred the classic style lighting of the Lantern or Vernon as opposed to the other available lighting options. Therefore, the Planning Commission felt that the Vernon fixture is in agreement with the desires of the residents. Based on the information provided and the recommendation from the Planning Commission, it is requested that the City Council select the standard for the decorative lighting installation within the City of St. Anthony. Attached is a Resolution for consideration at your August 22, 2000 meeting. If you have any questions,please call me at (763)277-5782. Sincerely, WSB & Associates, Inc. Todd E.Hubmer, P.E. Project Manager Attachment Tim F:\WP W IN\1065-26\081600-hmc.wpd 2® CITY OF ST. ANTHONY RESOLUTION 00-070 A RESOLUTION ADOPTING DECORATIVE LIGHTING STANDARDS FOR MUNICIPAL STATE AID STREETS WHEREAS, the City of St. Anthony desires to improve the lighting on municipal state aid streets; and WHEREAS, the City of St. Anthony desires to make lighting improvements using decorative fixtures; and WHEREAS, a public review and input process and recommendation from the City's Planning Commission has been received. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of St. Anthony that the City shall use decorative fixtures along municipal state aid streets in the color of • Adopted this day of , 2000. Mayor ATTEST: City Clerk Reviewed by Administration: City Manager • 21 8441 Wayzata Boulevard, Suite 350 B.A.Mittelstt Minneapolis, MN 55426 Bret A.Weiss,r.c. WSB Peter R.Willenbring,P.E. • Donald W.Sterna,P.E. tel: 763-541-4800 Ronald B.Bray,P.E. &Associates, Inc. fax: 763-541-1700 August 16, 2000 Honorable Mayor, City Council and Staff City of St Anthony 3301 Silver Lake Road St. Anthony, MN 55418-1699 Re: Update on the Harding Street Storm Water Improvement Project WSB Project No. 1065-430 Dear Honorable Mayor, City Council and Staff: Attached, please find a proposal from Evergreen Land Services to complete the appraisals of the properties to be acquired for easements and to negotiate with the homeowners on the purchase of these properties for the City of St. Anthony. The attached proposal estimates the appraisals to cost from $21,000 to $25,000 and the negotiations with the homeowners to cost between $12,000 and • $15,000. Also attached, please find the Harding Street Storm Water Storage Area schedule revised to accommodate the proposed land acquisition process. It is anticipated that construction would not begin on this project until sometime in 2001. The construction date is dependent upon the completion of the land acquisition process. I will be available at your August 22,2000 Council Meeting to answer any of your questions,or you may contact me at(763) 277-5782. Sincerely, WSB & Associates, Inc. Todd E. Hubmer,P.E. Project Manager Attachments • ruri Minneapolis St . C l o u d Infrastructure Engineers Planners F:\WPWIM106543\081600-hmc.wpd EQUAL OPPORTUNITY EMPLOYER AUG-14-00 MON 11 :42 EVERGREEN LANDSERVICES FAX N0. 9350862 P. 0 EVERGREEN (LAND SERVICES COO • 6110 BLUE CIRCLE DRIVE, SUITE 140 MINNETONKA, MN 55343 . (612) 930-3100 - Fax (612) 935-0862 Watts-(888) 411-1134 August 14, 2000 WSB Mr.Todd Hubmer 350 Westwood Lake Office 8441 Wayzata Blvd. Minneapolis, MN 55426 RE: St. Anthony Storm Water Proposal Dear Mr. Hubmer: Thank you for the opportunity to assist WSB and the City of St. Anthony with the referenced project. I'm pleased to offer the following estimate,for the services you requested: Appraisal: Appraisal of 10 properties, 9 for partial easement acquisitions and 1 for total acquisition to be used for ponding and drainage. Appraisal estimate - $21,000.00 - S25,000.00 Preparation for court testimony and court testimony are specifically excluded. This work, if required, will be billed §eparately on an hourly basis at a rate of S175.00/hour. Acquisition: . . Acquisition of 10 properties, 9 partial easements and 1 total acquisition to be used for ponding and drainage. Services will include preparing documents, offer letters, contact with each landowner to present the offer and review project scope. Contact with each landowner to resolve issues or disputes and ultimately to sign and record the necessary documents. Acquisition estimate- $12,000.00- $15,000.00 successfully serving our clients since 1972 AUG-14-00 MON 11 :42 EVERGREEN LANDSERVICES FAX NO. 9350862 P. ( 23 • Total project estimate - $33,000.00 - $40,000.00 � All invoices will be sent by Fvergreen.Land Services on a bi-weekly basis and will include all services and expenses. The appraisals will be done at the beginning of October, 2000 and the negotiations can begin immediately after. Please let me know if you require any further information from me or'Mr. Bettendorf. Again, thank you for this opportunity. Sincerely, Matthew S. Storm. Vice President • • AUG-14-00 MON 11 :42 EVERGREEN LANDSERVICES FAX NO. 9350862 P. 24 DESCRIPTION OF EVERGREEN LAND SERVICES COMPANY Evergreen Land Services, Co. (ELS) is a Minnesota corporation that has provided land and right of way acquisition and relocation assistance services since 1972. Our current level of staffing is 12 full time employees and 3 part time employees, with individual experience in the right of way and relocation fields of up to 35 years. Different employees have different areas of expertise (often overlapping), but collectively the company has employees experienced in the areas of route selection and development, both field and title research and analysis, document and file preparation, negotiation and relocation assistance (including compliance with local, state and federal procedural requirements). ELS has extensive experience in acquisition activities and relocation work for public entities. The firm's staff is recognized for the wide variety of projects on which they have worked under the guidelines of the Federal Unifonn Relocation Assistance and Real Property Acquisition Act of 1970, as amended, the implementing federal regulation 49 CFR Part 24..We have also worked on, projects under specific funding sources HUD Section 811, CD$G, US Army Corps of Engineers, Federal Aviation Administration, Federal Highway Administration, and Minnesota State Aid. ELS has provided acquisition and relocation services to over 60 public entities. ELS is the only consultant approved by Minnesota Department of Transportation for both acquisition and relocation services and we are currently providing services to them. ELS' staff are qualified professionals with diverse experience in land acquisition and relocation services, which insures the quality and cost effective implementation of each project. Realizing that the abilities of individual professionals are paramount to the success of a team, ELS has assembled a team which assures our client that the proper blend of experience and expertise provided for their particular..type of project ELS' excellent reputation and record of accomplishment is an extension of the experience of our qualified personnel, as well as the close working relationship we establish with our clients. Our primary objective is client satisfaction, which is attained by working closely with our clients, dedication to sensible and practical project implementation, maximizing financial participation and meeting the time and budgetary needs. AUG-14-00 MON 11 :43 EVERGREEN LANDSERVICES FAX NO. 9350862 P. 0`• 25 • ELS is also very sensitive to the timing and restrictive guidelines of different.clients. We maintain excellent working relationships with all staff members of regulatory and approval agencies. ELS' experience; includes not only public projects, but also includes the acquisition of land rights and relocations services for various utilities. Our services have been supplied to the Metropolitan Council, electric utilities, gas utilities, telephone companies, fibber optics and airports. ELS has extensive experience in the following specialized areas: • Title search-both field title and court house records Relocation Plans Grant Assistance ' • Project Cost Tracking • Relocation Assistance under the Uniform Act • Negotiation for both Residential and Commercial Properiics • Partial and Whole Takes and Clcar Zone Easements • Experience.in coordination of subcontractors including. E Environmental Audits Engineering Titles `�'": Appraisals Closings Property Management w Permits : r Surveying AUG-14-00 MON 11 ;43 EVERGREEN LANDSERVICES FAX NO. 9350862 P. 06 08/11/2908 16:48 612-646-8086 EF" PAGE 011 26 APPRAISER QUALIFICATIONS MICHAEL J.BETTENtDORP.MAI t3E2TENDORP ROHRER KNOCHE WALL,INC. Spruce Tree Centre Suite 314 1600 University Avenue St. Paul, Minnesota 55104 EDUCA'T'ION: B-A. - St. John's University, Collegeville, MN. - 1969 Successfully completed courses sponsored by the American Institute of Real Estate Appraisers (Appraisal Institute): Basic Appraisal Principles Methods mud Techniques Capitalization Theory and Techniques Urban Properties Condemnation Standards of Professional Practice Numerous Seminars on various aspects of real estatc appraising, including Business Valuation, Land Use Planning/Regulation. Engineering Drawings, Review Appraising, Market Analysis, Highest and Best Use. PRQFESSIOMAL MEMBERSHIPS & ASSOCIATIONS Mcmbor -Appraisal Institute (MAI) I(tegional Representative - Appraisal Institute - Ethics Administrator-Region 3 2000- • 2003 President - Minnesota Chapter #35 - A.I.R.E.A. - 1987 Licebsed Certified General Real Property Appraiser - State of Minnesota - I.D. 94001398 Member - International Right of Way Association Member - Lambdh Alpha International (Honorary Land Economics Society) Member - Faculty of Appraisal Institute/A.I.R.E.A. (1978-1991) Member - Faculty of University of Minnesota - Extension Division (1978-1983) Instructor - A.I.R.E.A. Course "Single Family Residential Appraisal" and "Residential valuation" - University of Minnesota 1978, 1979, 1980 and 1984. "Residential Valuation" - University of North Carolina, 1981. Instructor - a.O.M.A. - "Real Estate Investment and Finance" - University of Minnesota - 1987; St. Cloud University - 1990 and 1991192. Instructor - Mauer of Science Program - Real Estate Appralsals - St. Thomas University - 1996, 1999 F,XPERM-P[CE February, 1971 to July, 1979 - Independent Fee Appraiser, Bettendorf Appraisals, Inc. serving as Vine-President and then President. July, 1979 to October, 1981 - Chief Appraiser, Farmer's and Mechanic's Savings Bank of Minneapolis - Mortgage Officer. October 1981 - March 1991 - Independent Fee Appraiser - Dahlen and Dwyer, Inc. March, 1991 to Present - Independen.t Fee Appraiser - Bettendorf Rohrer Knoche Wall, Inc. - President. • BETTIE KOORY ROHRRIt KNOCHE WALL, INC. PAGE 3 AUG-14-00 MON 11 :43 EVERGREEN LANDSERVICES FAX NO. 9350862 P. 08/11/2010 16:40 612-646-8086 BREW. PAGE E 2 • TYPES OF PROPERTIES APPRAISED: Single family; shopping centers, office buildings, industrial buildings, hotels, golf ..courses, sports arenas, hospitals, colleges, development land, easements for public utilities and assessment analyses. CLIENTS I12CLUDE: State of Minnesota; Cities of Bloomington, Blaine, Shoreview, Woodbury, So. St. Paul, Inver Grove Heights, St. Paul, Little Canada, Minnetonka; Lending institutions including U.S. Banks, Twin City Federal, Comerica, St. Paul Port Authority: Corporations including Boston Bay Capital, Burlington Northern Santa Fe, Canadiaa Pacific, Land for Public Trust, Health Partners, ANT. LLC, White Consolidated. Relocation Resources, Prudential Relocation, and numerous private clients. Testified as expert witness in District Court Proceedings. Served as Court Appointed Commissioner on real estate matters. Revised - January.7000 • PAC E 4 RORRIER KWOCHE WALL, INC. E 4 BI'. 28 PROPOSED SCHEDULE FOR THE HARDING STREET STORM WATER STORAGE AREA Tentative Date of Task Task t Completion Completed I. Project Initiation/Informational Meeting May 20, 1999 Yes A. Discuss Project Schedule B. Discuss Obtaining Voluntary Right-of-Entry for: 1. Survey 2. Soil Investigation 3. Respond by June 1, 1999 C. OR Discuss Land Acquisition Alternatives with the Council II. Survey and Soils Investigation July 1999 Yes A. Survey will include: 1. Identification of Property Comers 2. Location of Buildings/Fences 3. Size and Location of Trees 4. Contour Mapping of Area B. Soils Investigation will include: 1. Soil Borings 2. Soils Identification 3. Depth to Groundwater III. Informational Meeting November 10, 1999 Yes A. Present Results of Survey and Soils Investigation B. Landscape Architect to Present Sight Designs C. Identify High Priority Areas for Protection D. Discuss Intended Uses IV. Informational Meeting February 29,2000 Yes A. Present Preliminary Design Alternatives B. Obtain Feedback on Alternatives C. Receive Input and Feedback for Revisions D. Identify Easement Areas to be Acquired V. Informational Meeting June 7,2000 Yes A. Present Final Preliminary Plan B. Discuss Project Schedule VI. City Council to Order Final Plans&Specifications June 27,2000 Yes VII. _ City.Council Orders Property Appraisals and Land Acquisition Services August 22,2000 We are here VIII. City Council Receives Results of Land Appraisals October 24,2000 IX. City Council Approves Final Plans and Specifications,Authorizes To be determined Project for Public Bid X. City Council Accepts Bids and Awards Construction Contract To be determined XI. Neighborhood Meeting to Discuss Construction Schedule and Activities To be determined XII. Begin Construction To be determined • M. Construction and Restoration Completed To be determined F:\WPWIN\CLIENT\stanthony\Engstatusrpt.wpd 29 CITY OF ST. ANTHONY RESOLUTION 00-076 A RESOLUTION AUTHORIZING APPRAISAL AND ACQUISITION SERVICES FOR PROPERTIES RELATING TO FLOOD MITIGATION IN THE CITY OF ST. ANTHONY WHEREAS, as part of the City of St. Anthony's flood mitigation efforts, ponding and drainage work is required as recommended by the engineering firm of WSB & Associates, Inc.; and WHEREAS, a portion of the project includes the appraisal and acquisition of certain . properties within the City of St. Anthony; and WHEREAS, a proposal to perform appraisal and acquisition services for said project has been received by Evergreen Land Services Co. NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of St. Anthony hereby authorizes Evergreen Land Services Co. of Minnetonka, MN to perform appraisal and acquisition services in conjunction with the flood mitigation project at an estimated total • project.cost of$40,000. Adopted this day of , 2000. Mayor ATTEST: City Clerk Reviewed by Administration: City Manager • I CITY OF ST. ANTHONY DRAFT 2 PLANNING COMMISSION MEETING MINUTES •3 AUGUST 15, 2000 4 7:00 p.m. 5 CALL TO ORDER/PLEDGE OF ALLEGIANCE. 6 The meeting was called to order at 7:00 p.m., followed by the Pledge of Allegiance led by Chair 7 Bergstrom. 8 ROLL CALL. 9 Present: Chair Bergstrom; Vice Chair Melsha; Commissioners Tillmann, 10 Hanson, Thomas, Hatch, and Stille. 11 Commissioners absent: None. 12 Also present: Spencer Isom, Assistant City Manager 13 14 CONSIDERATION, DISCUSSION, AND POSSIBLE ACTION ON ALL OF THE FOLLOWING 15 ITEMS: 16 None. 17 I. PUBLIC INPUT. 18 Chair Bergstrom called for input from the audience for items that were not on the regular agenda. 0 1 9 In this respect, Mr. Scott Tankenoff, Managing Partner of Hillcrest Development, approached the 0 Council. Mr.Tankenoff wished to express sincere appreciation to the Commission for the time spent 21 over the past nine months on the issue of the redevelopment of Apache Plaza, and for the 22 cooperation he and his company has received from the Commission and City Consultants. 23 Chair Bergstrom acknowledged Mr. Tankenoff s remarks and expressed his appreciation for his 24 input. 25 II. APPROVAL OF THE JULY 18, 2000 PLANNING COMMISSION MEETING 26 MINUTES. 27 Motion by Bergstrom, second by Hanson, to approve the July 18, 2000 Planning Commission 28 Meeting Minutes with the following modification: 29 Page 9, Line 4, add "citizens' " after "such" 30 Motion carried unanimously. 31 Motion by Bergstrom,second by Thomas,to approve the minutes of August 1,2000 special meeting 32 with the following changes: 33 Page 10, Line 25, add"a"after"represents" 34 Page 10, Line 25, replace"high and low"with"highest and best" 35 Page 5, Line 3,replace `Berg"with"Bergstrom" 06 Page 5, Line 11, replace`Bergman"with"Bergstrom" Planning Commission Meeting Minutes August 15, 2000 Page 2 • 1 Motion carried unanimously. 2 III. COMMUNICATION FROM CITY COUNCIL. 3 None. 4 IV. REQUESTS FOR POSTPONEMENTS OR WITHDRAWAL OF APPLICATIONS. 5 None. 6 V. NEW APPLICATIONS/PUBLIC HEARINGS. 7 A. Public Hearing Petition for Variance Murphy's Service Center. .8 Chair Bergstrom opened the public hearing at 7:12 p.m. and requested a report from Staff. 9 Assistant City Manager Spencer Isom noted that the applicant, Richard C. Graff, is seeking to re- 10 place the business sign at his Conoco gas station located at 3501 29th Avenue NE. The gas sta- I 1 tion is a commercial business located in a L I zoning district. The proposed sign exceeds allow- 12 able dimensions for L1 zoning. However, it is within the allowable dimensions had his land 13 been zoned C1. The land has been used for a gas station since 1958. Mr. Graff has owned the 14 business since 1973 and, therefore, the land is deemed to be "grandfathered," Staff has discussed 15 this issue with City Attorney Soth and it was decided that the conditions supporting a variance do 16 exist. 7 Isom noted,however, that upon review of the zoning ordinance, his assessment was incorrect, 18 and that it is not a question of the dimension, but rather that type of sign being allowed in the L1 19 district. A pylon sign is allowed in a C district. 20 Bergstrom confirmed that pylon signs are not allowed in a L 1 district; however, upon recommen- 21 dation by City Attorney Soth in a previous discussion, the sign would be "grandfathered" in 22 under prior zoning districts. 23 Isom acknowledged that because of the zoning requirements, Mr. Graff was required to appear 24 before the Planning Commission to request a new sign. 25 Mr. Graff relayed to the Commission the same facts that he had presented at the Concept Review 26 at a prior.meeting. The current sign was damaged by a truck over Memorial Day weekend, and it 27 has been determined that the sign cannot be repaired. 28 Hanson inquired of Mr. Graff if the new sign would be in the same location as the current sign. 29 Mr. Graff explained the location of the sign, which was essentially the same as it is currently, and 30 detailed the dimensions and struct&e'of the new sign. 31 Hanson inquired if the sign would be lit at all hours. Mr. Graff responded that the sign would be 32 lit up all day and night and there would actually be floodlights towards the sign. . 1033 Chair Bergstrom closed the public hearing at 7:19 p.m.-and asked for Commission input. 34 Tillmann noted that the new sign looked better than the old sign. The other Commissioners 35 agreed. Planning Commission Meeting Minutes August 15, 2000 Page 3 1 Motion by Thomas, second by Bergstrom to approve the variance of Murphy's Service Center, 2 Inc. (Conoco Gas Station), 3501 29th Avenue, due to the following reasons: 3 -- The damage that was done to the prior sign; 4 -- The property has been"grandfathered" in prior to the existing ordinance.; 5 -- That there would not be any undue hardship caused by the implementation of this 6 variance. 7 -- That a hardship is caused by the current and existing City Ordinance created after 8 the business was in operation. .9 Motion carried unanimously. 10 Bergstrom reminded Mr. Graff that this issue would be before the City Council at the August 22, 11 2000 meeting for a final determination. He encouraged Mr. Graff to attend the City Council 12 meeting to answer any questions. 13 B. Public Hearing Village North LLP and Apache Animal Medicine Seek to Replat Their 14 Properties into Three Lots. 15 Chair Bergstrom opened the public hearing at 7:22 p.m. and requested a report from Staff. 6 Assistant City Manager Isom reported that Village North LLP, in'which Ken Solie is a Partner, a owner of the Industrial Custom Products building at 2801 37th Avenue 17 s o g e NE, and Apache 18 Animal Medicine, P.A. as owner of the Apache Animal Clinic, have applied to replat their 19 properties into three lots. This is in order to expand the size of the lot on which the animal clinic 20 is located, decrease the size of the lot on which the Industrial Custom Products building is 21 located, and create a new lot to the east of the industrial building. The property would be 22 replatted as Lots 1, 2 and 3, Block 1, Apache Terrace, 2nd Addition, Ramsey County, Minnesota. 23 The action requires submittal of a preliminary and final plat in accordance with Section 1500.03 24 and 1500.04 of the St. Anthony Code of Ordinance. 25 Isom wished to note that the next two items on the agenda are related to this issue. In that re- 26 spect, City Attorney Soth and Isom have meet with both applicants and Mr. Soth has written 27 comprehensive thoughts to be inclusive of all three issues. 28 Isom noted that Todd Hubmer, WSB & Associates, has been reviewing the issue and invited him 29 to address the Commission. Mr. Hubmer noted that he has been determining if there are any ex- 30 isting utilities on the property of which the City does not have an easement. In this respect,there 31 is a water line that runs on the east'side of Lot 3 (on the plat he presented), and it is WSB's rec- 32 ommendation that the property owner dedicate to the City a 20-Foot utility easement. Also,the 33 applicant should give to the City a 10-foot utility easement centered on the property lines so that 34 the City would have access to the utilities for maintenance. •35 Bergstrom inquired if Mr. Hubmer had talked to the property owner about the easements, and 36 Mr. Hubmer noted that he had not talked to Mr. Solie on this particular issue,but had consulted 37 with him on others. Planning Commission Meeting Minutes August 15, 2000 Page 4 • 1 Stille inquired if there was a reason that the parcel that could be purchased from the railroad by 2 the Animal Clinic was not included. Isom responded that the Animal Clinic does not own the lot 3 at this.point. Further, Isom noted that this parcel may be included in the final plat if a purchase 4 agreement goes forth. 5 Chair Bergstrom invited Mr. Ken Solie to approach the Commission. Mr. Solie conferred with 6 Mr.Hubmer regarding the plat and easements and then spoke to the Commission. 7 Mr. Solie noted that he was comfortable with the information already presented, and did not have 8 any additional information to report. 9 Isom requested that Mr. Hubmer provide Mr. Solie with the specifics,on the easements 10 mentioned above that could be provided to the City. Mr. Solie's representative, Mr. Ogren, noted 11 that there did not appear to be any problems or concerns regarding the easements. 12 Chair Bergstrom called for additional input from the audience as per the Public Hearing. 13 David Ishner, 3644 Edward Street, stated that he had spoken with Mr. Isom prior to the meeting, 14 and stated that he was concerned that in the future there could be a reason to expand the building 15 of the Apache Animal Hospital. His specific concern was the disposal of deceased animals. He 6 felt it was appropriate to request that if expansion of the building happens in the future, that a 17 specific design should be implemented so as to shield the disposal of the deceased animals from 18 the public view. Currently, he stated, that he and his wife are exposed to the disposal of the car- 19 cass because the truck to pick up the animals pulls up close to their home. He mentioned that for 20 residents that are sensitive to animals, it is a difficult scenario to witness. 21 Chair Bergstrom thanked Mr. Ishner for his input and attendance at the meeting. 22 Chair Bergstrom closed the public hearing at 7:40 p.m. and requested comments from the Com- 23 missioners. 24. _ Thomas confirmed that the discussion was to center around the replatting of this property. 25 Bergstrom noted that the issue seemed rather straightforward and he requested a motion. 26 Motion by Thomas, second by Bergstrom, to approve the proposed plat changes as dated May 27 31, 2000, and to incorporate the two"easement provisions as provided by Mr. Hubmer and as set 28 forth below: 29 --The plat should include a 20-foot utility easement along the east side of Lot 3 over the existing 30 watermain which runs north to south along the east side of Lot 3. 0"1 --A ten-foot utility easement to be centered on the lot lines separating Lots 1 and 2, and the lot 32 line separating Lots 2 and 3. 33 Motion carried unanimously. Planning Commission Meeting Minutes August 15, 2000 Page 5 • 1 C. Public hearing. Village North LLP. 2 Chair Bergstorm opened the public hearing at 7:45 p.m. and requested-a.report from Staff. 3 Assistant City Manager Spencer Isom reported that Village North LLP, in which Ken Solie is a 4 partner, as owner of the Industrial Custom Products building at 2801 37th Avenue NE, have re- 5 quested to amend the zoning ordinance so as to require less parking for L1 districts. Mr. Solie 6 has compiled information regarding parking requirements in other cities, and such report shows a 7 comparison of the St. Anthony requirement to the Cities of Arden Hills, Roseville, Minneapolis, 8 New Brighton, and Fridley. 9 City Attorney Soth has expressed his support of Mr. Solie's petition for the reasons stated in Mr 10 Soth's August 2, 2000 communication. 11 Chair Bergstrom asked if anyone in the audience wished to comment on this issue under the pub- 12 lic hearing, and hearing no response, closed the public hearing at 7:50 p.m. 13 Thomas inquired if the Commission would wish to require the applicant to develop an alternative 14 transportation program, and a discussion ensued amongst the Commissioners and Isom regarding 15 the suggestion. •16 Bergstrom noted that the suggestion is worth of exploration but this was not the i take n g gg y p e t me to o 17 such a project, and that the issue should be revisited at another time. 18 Stille noted that the Commission is considering dramatically changing the parking requirements 19 of the entire City, and the site in question could employ up to 200 employees. He was 20 concerned that if limited parking is provided, then the City opens up the possibility of having 21 cars line the street. 22 Bergstrom asked for input from Isom. Isom said the ordinance would be changing citywide; 23 however,-Soth has done the analysis and did not feel that the number of parking spaces for this 24 issue would prevent a problem for the City. 25 Bergstrom noted his reluctance to change the parking regulations as there wasn't a precedence to 26 follow. Mr. Solie interjected that he did not feel that he was creating a difficult situation with 27 this issue due to the fact that many of the surrounding cities have adopted similar regulations to 28 which he is asking. 29 Thomas stated he would be more comfortable with the parking plan if an alternative transporta- 30 tion plan could be developed (such as public transportation). Mr. Solie stated that typically in 31 this situation,because the property is leased,the restriction could be cumbersome. 02 Bergstrom noted that City Attorney Soth has placed a recommendation on this issue, as well as 33 the Assistant City Manager, and that the Commission needed to move forward on this issue as 34 all of the information and research has been presented. Planning Commission Meeting Minutes August 15, 2000 Page 6 AD 1 Stille noted his objection to the parking issue and stated that he was not comfortable with the re- 2 sults of a potential regulation change and the long-term effects of such change. 3 Thomas noted that possibly this issue should be studied further by the Commission and decided 4 at a later time. Stille inquired if the City Attorney could re-study the parking-to-tenant ratio. 5 Isom noted that the Commission's option was to table this issue; however,he did not feel there 6 would be any negative impacts for the City on the existing or future industrial areas based on 7 these new standards. . 8 Tillmann noted that she would tend f6 agree with Stille. 9 Bergstrom noted that the issue in question could be a good idea; however,there was not a com- b fortable level amongst the Commissioners regarding the issue. Additionally, he noted that-part of 11 his job as Commission Chair was to bring issues to a vote and typically issues are not tabled. 12 Thomas noted that from a planning and public policy prospective, the Commission was consider- 13 ing making a change based upon Mr. Solie's private interest. However, from a planning prospec- 14 tive,the Commission should be making the change so that it reflects the City's best interests and 15 the public's best interests: ®16 Bergstrom noted that the Planning Commission needed to rely on the City Staff and City g g Y tY 17 Attorney that have researched the issue and made recommendations to the Commission. 18 Thomas commented that he continues to feel that this is not a public policy driven issue, and that 19 the Planning Commission is being reactive. Again, he stated that whenever changes in public 20 policy are considered, that alternative public transportation needed to offer. He would like to re- 21 quest that owners of properties be required to develop alternative transportation plans. 22 Melsha noted that he was uncomfortable with requiring such a plan because he was unsure how it 23 could be implemented, enforced or approved. Thomas stated that the enforcement would be 24 similar to the conditions placed on conditional use permits. He suggested that the issue be table 25 for another month to flush out some of the concerns and questions. 26 Motion by Bergstrom, second by Melsha,to approve the petition for zoning ordinance as pre- 27 sented in a memorandum from Staff dated August 9 with the following conditions and for the 28 following reasons: 29 --Change the square footage mentioned in the plan from 1,000 square feet, to 800 square feet; 30 --The petition is approved based on the recommendations of City Staff and City Attorney; 31 --The petition is approved based on discussions with applicant; •32 --The petition is approved with the understanding that the Planning Commission will visit in the 33 near future the issue of including alternative transportation in the appropriate place in the 34 ordinance under"parking." Planning Commission Meeting Minutes August 15, 2000 Page 7 1 Voting on the Motion: Bergstrom, Melsha, Tillmann, Hanson,Thomas, Hatch and Stille voted aye. 2 Stille voted nay. 3 The Motion Carried. 4 Bergstrom noted that this issue would be before the City Council meeting on August 22, 2000, 5 and he encouraged Mr. Solie to be in attendance to answer questions and concerns. . 6 Tillmann noted that many of the questions the Planning Commission has raised at this meeting 7 were likely to be raised at the City Council meeting. 8 D. Public Hearing Apache Animal Medicine Seeks To Rezone A Portion Of 2801 37th 9 Avenue Ne From L 1 To C. 10 Chair Bergstrom opened the public hearing at 8:44 p.m., and requested a report from Staff. As- 11 sistant City Manager Isom reported that Apache Animal Medicine,owner of Apache Animal 12 Clinic, are purchasing some land from the railroad and from Village North LLP, to add to their 13 property. Presently, the railroad property is unzoned and the Village North parcel is zoned L 1. 14 The petition is a request to have the above-referenced parcels and their existing property all 15 zoned to C. The placement of the building on the zoning map is incorrect and shows the existing 16 property at L1. Isom directed the Commission's attention to page 80 of the agenda packets to •17 discuss the error. 18 Isom continued by stating that Staff recommends approval of the petition, and noted City Attor- 19 ney Soth's August 2, 2000 communication to the Planning Commission which sets forth his 20 thoughts regarding the subject. 21 Mr. Ogren, Ken Solie's representative, reviewed the plans in detail with the Commission and 22 noted the specific color plans and any specific design changes since the Concept Review. 23 Bergstrom inquired if there had been a design change for the disposal of dead animals as raised 24 by Mr. Ishner previously in the meeting. Mr. Ogren acknowledged that the disposal would occur 25 , at the back of the building and would be shielded from public view. 26 Chair Bergstrom closed the public hearing at 8:55 p.m. and requested input from the Commis- 27 sioners. 28 Thomas noted his approval of the plan. Isom noted that the ordinance would be drafted in such a 29 way that the rezoning would be contingent upon the approval of the subdivision. 30 Motion by Bergstrom, second by Melsha,to approve the petition for rezoning for Apache Animal 31 Clinic as presented in the agenda packets of August 15, 2000,with the following findings: •32 -- The proposed zoning is consistent with the current Comprehensive Plan; 33 -- The use is consistent with the uses allowed in the current zoning code; Planning Commission Meeting Minutes August 15, 2000 Page 8 i -- The proposed project is contingent on the rezoning and will be a benefit to the citizens 2 and 3 would add to the City's tax base; 4 -- There would not be any detrimental impacts to nearby properties; 5 -- The project would be contingent upon the successful closing and incorporation of the 6 railroad property into this parcel in the final plat; 7 -- That there is a recording of the final plat that is consistent with the preliminary plat. 8 Motion carried unanimously. 9 Bergstrom noted that this issue would be before the City Council on August 22, 2000, and he 10 recommended that the applicants be present at that meeting to answer questions. 11 VII. REPORTS,PRESENTATIONS AND/OR CONCEPT REVIEWS. 12 1. Presentation. Todd Hubmer, WSB,reizarding lighting along 29th Avenue. 13 Chair Bergstrom noted that Todd Hubmer would present the lighting results of the 29th Avenue 14 street lighting issue. 15 Mr. Hubmer directed the Commission's attention to a memorandum dated August 11, 2000 16 which depicted the lighting survey results. 4017 Such memo noted that 27 surveys were completed at the Villa eFest celebration and he noted Y p g 18 the results of that survey. At the VillageFest, the most votes were given to the "Lantern" style of 19 decorative fixture, and the "Shoebox" styles were the most popular under Classic Fixtures. . 20 The survey that was completed at the Public Forum noted again that the "Lantern" style received 21 the most votes under Decorative Lighting, and the "Shoebox" received the most votes under 22 Classic Fixtures. The preferred choice of color was black. . 23 Mr. Hubmer noted that some of the streets are state-aid streets and some MSA funds would be 24 available. However,the City might consider assessing the residents the balance due between the 25. standard lighting paid for the MSA.funds, and the cost of the chosen lighting. 26 Mr. Hubmer said it might be a good exercise as well to find out what it would 27 cost to have underground cables and then publish that information in the local newspaper. Cur- 28 rently, he stated, the City has overhead utilities, but he noted that many residents have expressed 29 the desire to have underground utilities. 30 Thomas noted that the overhead utilities are aging and that would be a factor to consider. 31 Mr. Hubmer stated that the Planning Commission is being asked to recommend a decision to the �2 City Council. Planning Commission Meeting Minutes August 15, 2000 Page 9 • 1 Tillmann noted that someone had pointed out to her that the Lantern style is the chosen style of 2 many neighborhoods in Minneapolis. She had remembered that the Commission was hoping to 3 set St. Anthony apart from.other communities. 4 Bergstrom asked for a consensus from the Commission. Hatch confirmed that the decision 5 would set a standard for all of the streets. 6 Discussion ensued amongst the Commissioners and Mr. Hubmer about the benefits of the 7 Vernon style of lighting as opposed to the Lantern. 8 Jim Higgins, 2712 St. Anthony Boulevard, spoke to the Commission regarding the choice of 9 street lighting. He stated that he has heard in presentations that the Vernon is a more efficient 10 light, although more expensive. Additionally, he noted that he felt there were other issues in- 11 volved that individuals did not know at VillageFest, and he encouraged the Commission to con- 12 sider other options than those that received the most votes at VillageFest. He stated that Mr. 13 Hubmer had originally chosen the Vernon style due to the more efficient lighting. 14 Melsha added that he noted that some residents may have felt that they just had to pick a style, 15 and would not be opposed to a different style if chosen by the Commission. 16 Stille noted that he did not have a problem.with going forward with the Vernon style. . 17 Bergstrom summarized that the Commission would recommend the Vernon style as a decorative 18 fixture and the shoebox fixture as the classic fixture, with black poles. 19 Bergstrom thanked Mr. Hubmer for his assistance and cooperation with the Planning Commis- 20 sion. 21 VIII. CONTINUED BUSINESS. 22 1. New Draft Antennae Ordinance. 23 Chair Bergstrom asked for a report from Staff. Assistant City Manager Isom noted that he was 24 provided with a copy of Shoreview's antennae ordinance, and had acquired some ordinances 25 from other cities. He pulled out what he thought were the most significant of the ordinances, and 26 asked for direction from the Planning Commission with regard to developing a new antennae or- 27 dinance for the City. 28 Bergstrom reviewed with Isom the parts of each ordinance that he was in favor of and preferred 29 language for a new ordinance. Bergstrom would recommend that if Isom could pair the Dublin 30 ordinance down, or to modify the Shoreview ordinance to include the table on page 117 of the 31 Commission's agenda packets. •32 Hatch mentioned that there were certain limitations to the FCC Act,but that there was something 33 in the ordinance that would steer the City owards the goals that it would like to achieve. � g Planning Commission Meeting Minutes August 15, 2000 Page 10 1 IX. COMMISSION INPUT. 2 1. Chair to select a Commissioner as the representative to the upcoming Council meeting. 3 Bergstrom noted that he was planning on attending-the meeting on August 22, 2000. 4 2. Commissioners' comments. 5 Tillmann thanked Dick Horst of Hardware Hank for loaning a truck to the Planning Commission 6 for the VillageFest parade. 7 Hanson wanted to wish Mr. Tankenoff luck with the voting on the redevelopment of Apache 8 Plaza project which would occur at the City Council meeting on August 22. Hanson noted the 9 particular objections of one Councilmember about the project, and he encouraged the other 10 Councilmembers to defend the Hillcrest Project and move forward with the renovation that the 11 Planning Commission and City Council have worked so hard to achieve over the past nine 12 months. 13 Thomas noted that the antennae ordinance is a good exercise in being proactive in planning. He 14 hoped that the Commission could continue to update ordinances. 15 Melsha also wanted to wish Mr. Tankenoff luck in the upcoming vote on August 22, 2000, and 16 he wanted to note his support for the Hillcrest Development project. 17 Bergstrom recognized that the Hillcrest project has been made a very attractive project for the 18 City, and he would like to compliment the Planning Commission for the diligence proven at the 19 special Commission meeting on August 1, 2000. He noted that the meeting was an emotional 20 and difficult meeting, and he was proud that the Commission worked hard to delve into the issue 21 and make an appropriate and informed recommendation to the City Council. 22 Hatch commented on the antennae recommendation, and wondered if it could tie in with the 23 transportation issue. Additionally, on another issue, Hatch has noticed the condition of the fenc- 24 ing by Lowry Grove, and wondered if there was'anything the Commission could do to make that 25 more attractive. Bergstrom noted his belief that is a private fence, and located on the City's right 26 of way. . 27 Bergstrom deferred to Isom for an answer on the fencing. Isom stated that he would review this 28 issue with the Public Works Director. 29 Stille noted that at VillageFest, Hennepin Parks had a booth next to the Planning Commission. 30 He stated that he was provided with a letter from Hennepin Parks directing interest towards the 31 Salvation Army property. He reviewed the letter and noted it was an interesting point. 32 Isom remarked that he had now been involved with the Planning Commission for five months •33 and noted that the Commission had grown in experience and expertise just since the time that he 34 had been attending the meetings. Planning Commission Meeting Minutes August 15, 2000 Page 11 • 1 X. ADJOURNMENT. 2 Motion by Tillmann, second by Stille, to adjourn the meeting at 10:00 p.m. 3 Motion carried unanimously. 4 Respectfully submitted, 5 Sue Selseth 6 Timesaver Off Site Secretarial, Inc. • • MEMORANDUM = amended (8115100) 30 • DATE: 8/9/00 MEETING DATE: 8/15/00 TO: Planning Commission FROM: Assistant City Manager Isom RE: Public Hearing. Petition for Variance for Replacing a Commercial Sign for a Gas Station "Grandfathered" in a Light Industrial Zoning District. The applicant, Richard C. Graff is seeking to replace the business sign at his Conoco gas station located at 350129'Avenue NE. The gas station is a commercial business located in a L1 zoning district. The proposed sign is not allowable in L1 zoning. However, it would be allowable, had the City zoned his land been C1. The land has been used for a gas station since 1958. Mr. Graff has owned the business since 1973. Therefore the use is "grandfathered." Staff has discussed this matter with City Attorney Soth and it was decided that the conditions supporting a variance do exist. Action required. Staff Recommendation: Staff recommends approval of this petition. Cc: City Clerk Kroeplin • JUN. -20' 00 (TUE) 13: 24 CITY OF ST. ANTHON TEL:612 181 9323 31 Date: Fee: eo R=1 . . . . . . $ 60.00 Qther.. . : ..$100.00 CITY OF ST. ANTHONTY VILLAGE Petition for Variance Richard Graff 68 E Golden Lake Rd Circle Pines,MN 55014-1725 Applicant: EIC A A ll Q C t= RP FF Phone: )r9 -- IS) Address: —2-!522?/ 77A, A• VN � Status of Applicant (Owner, Buyer, Lessee, etc,): 0 We R Legal Description of property proposed for variance: n b-o;7-,73 IVY M.79. Street Address: -3 0 A --2! T., R Vr� N L Presently Zoned: ? L. ir Minnesota Statutes and City Ordinances require that the following conditions must be satisfied for approval of this request. Please respond to these,conditions using additional.sheets if .iecessary. 1. Because of the particular physical surroundings, shape, or topographical conditions of the parcel or lot, the proposed variance would relieve an undue hardship, as distinguished from a mere inconvenience, should the applicable ordinance be strictly enforced. 2. The purpose of the proposed variahce is not based exclusively upon a desire to increase the value or income potential of the parcel of land, but would correct extraordinary. circumstances applicable to this property but not applicable to other property in the vicinity or zoning district. 3. The alleged difficulty or hardship is caused by the City Ordinance and has not been created by any persons presently having an interest in the parcel of land. • Signature Applicant - �Q (Q 32 3501 29TH AVE. N.E. •: ST. ANTHONY. MINN. 55418 781-4489 City of St. Anthony June 30,2000 3301 Silver Lake Road St. Anthony,Mn. 55418 Re: Application for sign variance Mr Spencer Isom I purchased the property of my present business location in 1973. I startded Murphy's Service in 1958 and over the years it has become a family run business. Six of our twelve employees are related. My business plan is for it to continue to grow and be an asset to the community for years to come. On Memorial weekend(Sunday,May 28)I noticed our price sign was beret and split open. St Anthony police were called and it was determined that the corner of it was hit by a truck sometime after closing. The sign cannot be repaired. Conoco has several sign designs to go with its new image program. I am applying for a variance of one of their smallest signs if not the smallest available. The new sign would be installed in the same location and would not be detrimental to other busineses in the surrounding area. Sincerely yours, �,7 • 3501 29TH AVE. N.E. ._ ST. ANTHONY. MINN. 55418 781-4489 1. We are a commercial business,a service station selling auto and truck fuel at retail. We are grand fathered in as a commercial business in a light industrial area. Requirements for signage should not apply. We need a price sign to advertise our fuel prices and a conoco capsule so the consumer will know what brand of fuel we sell. 2. It is imperative to my business to have a sign to denote my brand and my prices. It is not essential for other businesses in the light industrial area. Without approval of the variance my business would suffer substantially.-. 3. We have been a commercial business at this location since 1973.We were here before many of the existing businesses were here. Page 14-13 Subd.2 in a-commercial area our sign would meet all requirements which are 150 square feet. We are asking for 87 square feet,with a maximum height of 23 feet and a minimum height of 11 feet. 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DESMKION 61Y, ottw _ d It Y.d 0.W�s.�.md pl41YaF A f.: Designer.Michelle Wilson BILL OF-MATERIALS CO eow zb r___elm�- o — B'1 (Requires 1 sign fact per side.) 280.00 "breakplace" Q Reader Board Sign I 117.60 QSf#/StorclMarkctcr custom panel nraphicsl 14Z.b0 Blank Panel © Clear Red 142.eo rinet 1'8" X 8'1' (Rcqtrires 1 sign face per side.) i 265.00 j e� - Sign Faces BMW p [ � 1 Product Price Panels —_ _ EIRedi'brear.nlace'1 ❑Green I - Standard Service Message tr.d wr whRwkttwkVj 82.60�- -- r - -- Custom Sign __.yr:bhtcsl i.,.—_ a__ �•.:...........--- - 104.50 1 81�I�c_Qancl —._. Clear ...E._Red t Font Set - 150 characters, Changer Arm, and Storage CaUnet a Nemltlm 316.001 Font Set - �C�iosel []Iher Red I'Sroal:place'l Green IConocol 136,00 for Reader Board T ID system - 6" BLACK letters, & Storage Cabinet ; 180.00 :23'0" system overall hoight) including headcr bar, mounting plates, and orrclxn buftu Prices sub•r;ct to change without notice. Gralnd Total!$ your sign here. . a h C`\ 0a 0 \ v .�: 19 i x587 Sg• '�' - 9 , o , 30 3P" Si" ya yy 9 /4P Y so l 02 A.) S-16 Y " w ae • GSEc \ • RAD! � 0D Mori!- O SSU gop OV44-ofL rANK . GA WAST-9 0I6 rANK O CU A L �.CR%)s4zv ROCK 1IMITY I I \ - �J 341' ��� � jVOTL�� � Vii'.• '� -'•'^ii / \ I r0000 64L. IIBSM40-ACL MJi SVMP _ . DOO 61� I � Co �NTIFav \ qo C-C y y I !Z V1= \ SALo t�L U r Q of R C64 -- pN.}tr�c coNL Z�CoNC cdJLVERT iL couNry ;t 9 rh.A✓B.N.6. I. /nit S.E r4r. G >YA R x 3 —A II W 4® • CITY OF ST. ANTHONY RESOLUTION 00-071 A RESOLUTION RELATING TO A REQUEST FOR A SIGN VARIANCE FOR 3501 - 29TH AVENUE NE WHEREAS, a public hearing was held by the Planning Commission to consider a request for a sign variance for the Conoco Gas Station at 3501 - 29' Avenue NE; and WHEREAS, following due consideration, the Planning Commission recommended Council approval of said request. NOW, THEREFORE, BE IT RESOLVED, that in agreement with the findings of the Planning Commission at their August 15, 2000 meeting, the City Council of the City of St. Anthony hereby approves the request for a sign variance at 3501 - 29`h Avenue NE. Adopted this day of , 2000. Mayor ATTEST: City Clerk Reviewed by Administration: City Manager • MEMORANDUM 41 DATE: 8/9/00 MEETING DATE: 8/15/00 TO: Planning Commission CC: Public Works Director Hartman FROM: Assistant City Manager Isom RE: Public Hearing. Joint Application for Subdivision/Plat Approval for 2801 and 250137' Avenue, Village North and Apache Animal Medicine. Preliminary Plat. Village North LLP,in which Ken Solie is a partner,as owner of the Industrial Custom Products building at 2801 37`h Avenue NE, and Apache Animal Medicine,P.A., as owner of the Apache Animal Clinic,have applied to replat their properties into three lots in order to expand the size of the lot on which the animal clinic is located, decrease the size of the lot on which the Industrial Custom Products building is located,and create a new-lot to the east of the industrial building. The property would be replatted as Lots 1,2,and 3,Block 1,Apache Terrace 2nd Addition,Ramsey County,Minnesota. The above action requires submittal of a preliminary and final plat in accordance with Section 1500.03 and 1500.04 of the St. Anthony code of ordinances. By copy of this communication and the preliminary plat, I request Public Works Director Hartman examine and report to me by August 14,2000 regarding existing and required easements. Further,I request that Mr.Hartman request the utility companies do the same. The Preliminary Plat has been submitted as part of this application. Upon approval by the Planning Commission and City Council,the Final Plat will be submitted for review. Action Required. ,Staff Recommendation: Staff recommends approval of Subdivision and Preliminary Plat to incorporate any recommendations/requests identified in the reports submitted by the Public Works Director and the utility companies. Cc: City Clerk Kroeplin • 42 July 12 , 2000 Date: Fee: $150.00 CITY OF ST. ANTHONY APPLICATION FOR SUBDIVISION/PLAT APPROVAL Apache Animal Medicine PA. 612-781-2734 Applicant: Village North LLp . ' Phone: 612-78I-3381 501 37th Ave . NE Address: 2500 39th Ave. . NE 4230 St . Anthony, MN 55421 Status of Applicant (Owner, Buyer, Renter, Agent, etc.): Owners Present Legal Description of Property to be Affected: Lot 1 & Lot 2 , Block l Apache Plaza .3rd. Addition A Lot 1 ,Block 1 Auabeionrrace • Proposed Legal Description of Property to be Affected: Lots 1 , 2 & 3 Block 1 'Apache Terrace 2nd Addition Street Address an Ave . NE Zoning District in Which Property is Located: Light Industrial None Specify Any Necessary Easements: Area of the Plat/Subdivision: 229117 Square feet Number of Parcels: 3 Attach a copy of the proposed plat showing the proposed name of the plat, the location within the City, the names of the present owners, the scale, the date of preparation, the northpoint, surrounding property, all public utilities and easements and other such necessary information or documentation as is requested by the City • Manager or the subdivision/platting ordinance. SEE ATTACHMENT 43 ATTACHMENT TO APPLICATION FOR SUBDIVISION/PLAT APPROVAL The applicants are applying to re-plat the subject land according to the attached survey for the purpose of creating three new lots from the three existing lots in order to facilitate the sale of the land to the east and to the west of the current blacktop parking lot associated with the building located at 2801 37`h Avenue NE. With this re-platting, the west land will be available for combination with other land owned or to be acquired by Apache Animal Medicine PA to allow for expansion of the existing clinic. Also, re-platting will separate the land to the east for possible future development. Re-platting also provides for legally describing the land- associated with the 2801 property as a single parcel. With reference to the issue of parking on the 2801 site, a companion application to modify the zoning ordinance to bring the available parking on the remaining land into compliance is being concurrently submitted. • This application and the accompanying zoning change application. are being submitted in anticipation of a public hearing and final plat approval occurring at the -August Planning Commission and City Council meetings. Ken Solie, Partner - Village North LLP. Terry Rapacz, Presid t - A nimal Medicine PA 44 St. Anthony Village Properties, LLP 2500-39`h Avenue NE Suite 230 Minneapolis, MN 55421 June 14, 2000 Spenser A. Isom Assistant City Manager St. Anthony Village 3301 Silver Lake Road St. Anthony, MN 55418-1699 Dear Mr. Isom, With reference to our recent meeting, this letter outlines our plans to subdivide and recombine the land associated with the Industrial.Custom Products building at 2801 37`h Avenue N.E. The attached drawing, marked Exhibit A ,shows the land as it is currently platted in two parcels with the existing building located partly on each parcel. Our proposal involves three actions to clean up the existing land descriptions as they relate to the improvements and to separate the land at the east and west ends of the property for future sale and development. Exhibit B shows the reconfigured layout. Action 1, Subdivide the land associated with Lot 2, Block 1, Apache Plaza 3rd Addition lying .to the west of the existing black top parking lot. This land is designated as Lot 1 New Subdivision (NS) on Exhibit A and as LOT 1 o Exhibit B. It is currently proposed that Apache Animal Hospital will purchase this land from the applicant for the future development,of'an addition to the existing building to the west of the property. The area of the subdivided property is approximately 12000 square feet. Action 2. Subdivide the land associated with Lot 1, Block 1, Apache Terrace Addition lying to the east of the existing blacktop parking lot. This land is designated as Lot 3 NS on Exhibit A and as LOT 3 on Exhibit B. This subdivision • anticipates the possible sale of this property for future development. The area of the subdivision property is approximately 66000 square feet. 45 Action 3. It is further proposed that the portions of the original parcels remaining after subdivision be combined into one lot designated as Lot 2 NS on Exhibit A and LOT 2 on Exhibit B, thus positioning the existing improvement on one legally described lot. It is anticipated that this action. will.be accomplished administrative by the execution of a Declaration.of Restriction to.be-prepared by the City Attorney, The area of this land is approximately 133,000 square feet. I understand that each of these actions will be considered separately by the City, however, they are being submitted here as a package as they are closely related activities. Additional actions by the buyers of the west land are also expected concurrent with this proposal regarding rezoning and perhaps other issues. With reference to the proposed subdivisions, please note that we currently lease a strip of land to the north of the existing building from the CP Railroad to provide convenient parking for tenant employees. This lease has been in place since at least 1979 and discussions with the railroad indicate that it is not likely that the lease would ever be terminated. If it were terminated however, we would have difficulty providing on site parking according to the Ordinance. A package of previous correspondence is attached providing background on this issue and as the January 4, 2000 memo concludes, the worst case is_that we.would be forced to buy the land • from the railroad. Accordingly, we do not feel that this issue should be a factor in approving the subdivision proposals. For expediency, draft copies of subdivision applications are attached for review and comment. Thank you f r your consideration. inc y Kenneth Solie • 46 DORSEY & WHITNEY LLP MINNEAPOLIS PILLSBURY CENTER SOUTH BILLINGS NEW YORK 220 SOUTH SIXTH STREET GREAT FALLS SEATTLE MINNEAPOLIS,MINNESOTA 55402-1498 MISSOULA DENVER _ TELEPHONE: (612) 340-2600 .. BRUSSELS WASHINGTON,D.C. FAX: (612) 340-2868 FARGO DES MOINES HONG KONG ANCHORAGE WILLIAM R.SOTH ROCHESTER (612)340-2969' LONDON FAX(612)340-2644 SALT LAKE CITY COSTA MESA soth.wllham @dorseylaw.com VANCOUVER August 2, 2000 Planning Commission City of St. Anthony 3301 Silver Lake Road St. Anthony, MN 55418-1699 Re: Village North and Apache Animal Clinic ® Subdivision and Zoning Approvals Dear Planning Commission Members: Village North LLP, in which Ken Solie is a partner, as owner of the Industrial Custom Products building at 2801 37`h Avenue NE, and Apache Animal Medicine, P.A., as owner of the Apache Animal Clinic, have applied to replat their properties into three lots in order to expand the size of the lot on which the animal clinic is located, decrease the size of the lot on which the Industrial Custom Products building is located, and create a new lot to the east of the industrial building. The property would be replatted as Lots 1, 2 and 3, Block 1, Apache Terrace 2ad Addition, Ramsey County, Minnesota. Since the size of the.lot on which the industrial building is located would be reduced,.a question arises as to whether the lot would have sufficient parking. Currently the owner of the industrial building leases a strip of land approximately 67 feet wide from the railroad. This adjoins the north lot line and provides additional parking for the industrial building. The owner originally requested that the City permit him to include the leased land as part of the.property so as to meet the parking requirement. I must advise you that it is not permissible to include such leased land, since the railroad has the right to terminate that lease on rather short notice, and the lease could also be terminated for non-payment of rent or other factors, in which case the parking would be non-conforming. • Ken Solie also discussed with Spencer Isom and me the question of whether he might apply for a parking variance for this lot. We suggested to him that it is unlikely that a variance would be 4 DORSEY & WHITNEY LLP City of St. Anthony Planning Commission August 2,2000 Page 2 permissible, since hardship is being created by reducing the size of the lot and reasonable use is being made of the property in its present condition. We next discussed with him the possibility of amending the zoning ordinance so as to require less parking for this type of property. -Mr. Solie has compiled information regarding parking requirements in other cities and this will be provided to you. It shows a comparison of the St. Anthony requirement to the Cities of Arden Hills, Roseville, Minneapolis, New Brighton and Fridley. The current St. Anthony ordinance is Section 1650.05, Subd. 1(e)(7)which provides as follows: (7) Light industrial, manufacturing, testing and research uses must have one space for every employee on the largest shift or one parking space for every 350 square feet of floor area, whichever is greater. • Mr. Solie is requesting that the requirement be changed to one parking space for every 1,000 square feet of building floor area. I would recommend that the ordinance be changed to eliminate any reference to the number of employees. It is not a good practice to have a parking requirement that changeswith the number of employees in the building. This raises uncertainty as to what the parking requirement is at any given point in time, and it also creates an almost impossible situation for enforcement. Based upon the information provided by Mr. Solie, it does appear that one space per 350 square feet of floor area is rather conservative. Arden Hills, Roseville and Minneapolis each provide for one space for each 1,000 square feet, New Brighton is at 350 square feet.and Fridley is at 400 square feet. If you amend the ordinance as requested, I would suggest that paragraph 7 be revised to read as follows: (7) Light industrial, manufacturing, testing and research uses must have one space for every 1,000 square feet of building floor area. The animal clinic intends to purchase some land from the railroad to add to their property, but this will not be included in the new plat. I believe that the animal clinic will be requesting that all of its property be rezoned to commercial. It apparently is not clear what the zoning of their property is now, but the parcel they intend to purchase from Village North is zoned industrial. • I believe all of the Village North property is zoned industrial and will remain industrial. 48 DORSEY & WHITNEY LLP City of St.Anthony Planning Commission August 2,2000 Page 3 Each of the three requests (subdivision, ordinance amendment and rezoning) should have a S public hearing. Each of your recommendations to the Council with respect to these matters should be in separate motions with respect to the subdivision approval, zoning ordinance amendment and rezoning. I hope this answers all of the questions relating to these applications, but if you need any further information, please let me know. V ry truly yours .William R. Soth • WRS/ms cc: Spencer Isom • 08/10/00 THU 13:53 FAX 16123402644 DORSEY WHI=Y 49 DORSEY & WHITNEY LLP MINNL'APOLIS PILLS11MY CENTaA SOUTH BILLINGS NEW YORK 220 SOUTH SIXTH STRIS T rMkT FALLS sEnTTiE. MINNEAPOLIS,_MINNEsoTA'55 402-1498 MlssouLA DRNVea TELEPHONP: (612) 340-2600 BRUSSELS wAsHINCTON,D.C. FAX: (612) 340-2868 PAll(.O DES MOINES VA1 "R.SOZTi HONG KONG (612)340.2969 ROCHIISTEA ANCHOR.AGII SALT LAKE CITY LONDON VANCOUVER COSTA MESA August 10, 2000 Planning Commission City of St. Anthony 3301 Silver Lake Road St. Anthony, MN 55418 Re: Preliminary Plat of APACHE TERRACE 2"d ADDITION Dear Members of the Planning Commission: I have reviewed the Preliminary Plat of APACE E TERRACE 2-d ADDITION being proposed by Village North LLP (Ken Solie) and Apache Animal Medicine, P.A-, and have the following comments: 1. Plat. The land to be subdivided includes Lot 1, Block 1, APACHE PLAZA 3`d ADDITION, Ramsey County, owned by Apache Animal Medicine, P.A., and Lot 2, Block 1, APACHE PLAZA 3`d ADDITION, Ramsey County, and Lot 1,Block 1 APACHE TERRACE, Ramsey County, owned by Village North LLP. The owners have applied to replat their properties into three lots in order to expand the size of the lot on which the animal clinic is located, decrease the size of the lot on which the Industrial Custom Products building is located, and create a new lot to the east of the industrial building. The property would be replatted as Lots 1,.2 and 3, Block 1, APACHE TERRACE 2n' ADDITION, Ramsey County, Minnesota. Lot I will be owned by Apache Animal Medicine, P.A., and the other two lots will be owned by village North LLP. 2. Zoning and Lot Size. According to a letter dated August 9, 2000 from Harry S. Johnson Land Surveyors, Lot I is to be zoned C, General Commercial., and the other two lots are to be zoned LI, Light Industrial. The minimum lot size in the Commercial District is 15,000 square feet and the minimum lot is 100 feet. Lot 1 meets these requirements. The lot area and width for the industrial lots is the same, and the two industrial lots meet those requirements. • 08/10/00 THU 13:54 FAX 16123402644 DORSEY WHITNEY 5® DOkSEY & WHITNEY LLP • Planning Commission August 10, 2000 . Page 2 3. Access. The Preliminary Plat shows access to all three lots from 37h Avenue Northeast. 4. Setbacks. A. Animal Clinic. If the animal clinic is zoned Commercial,-the front yard must have a depth equal to the greater of 35 feet or a distance equal to the average of the two adjacent lots. Since there is no adjacent lot to the west, I would recommend that the 35 foot front setback apply. The survey does not appear to show the distance of the front setback for the existing building, but to the extent it is less than 35 feet, it would be grandfathered. The side yard setbacks are 10 feet, and those are clearly-met. The rear yard is to have a depth of 20 feet. It appears that a portion of the building is • much closer than 20 feet from the rear lot line. It too, however,will be grandfathered as an existing building. As noted in my earlier letter to you, the animal clinic owners intend to acquire a strip of land from the railroad to add to their property, in which case the rear setback would be met. B. Industrial Lots. The front setback for the industrial lots is 40 feet or a distance equal to the average of the setbacks of the structures on the two adjoining lots. Again, the existing industrial building would be grandfathered. Any new development on Lot 3 would require that this front setback be met. The side yards are to be 15 feet in width and 40 feet adjoining a street. The rear yard is to be 15 feet in dept]- The existing industrial building does not meet the 15-foot rear yard requirement, but it again would be grandfathered. Any new development on Lot 3 or expansion on Lot 2 would be required to meet,the setbacks. S. Floor Areas. The floor area ratio within the C District may not exceed 1:0, and the animal clinic meets this requirement. The floor area ratio for the industrial lots may not exceed 1.5 and the existing industrial building meets this requirement. There is no building on Lot 3, but any new building would be required to meet these floor area requirements. G. Lot Coverage. Based on the letter from the Surveyor, the existing animal clinic building would cover only 3.08% of the new Lot 1. According to the surveyor, the existing industrial building would cover 49% of Lot 2. No building is located on Lot 3. • 08/10/00 THU 13:54 FAX 16123402644 DORSEY WHITNEY 51 DOPLSEY WHITNEY 1LLP • Planning Commission August 1.0, 2000 Page 3 . 7. Easements. Under Section 1500.05, Subd. 2, easements must be provided for utilities and drainage where necessary. Certain existing easements are shown on the Preliminary Plat. If the City's engineers determine that any additional easements are necessary, the easements must be at least 10 feet wide for utilities and must have continuity of alignment with existing easements. .If any additional easements are necessary they should be shown and dedicated in the final plat. S. Pte. The parking requirements were discussed in my letter to you dated August 2, 2000. 9. Title. We must be provided with information regarding the title to the animal clinic property in the form of a commitment for title insurance or title insurance policy, to show the ownership and any mortgages and easements on the property. We have that information for the Village North, LLP property in the form of a marked up commitment for title insurance, but we will need a copy of the . • final title insurance policy to check the status of easements and mortgages. Two existing utility easements are shown on the Preliminary Plat, but a utility easement to the City dated January 25, 1980 and recorded January 29, 1980 as Document No. 2069908, does not appear to be shown. It needs to be shown if it still exists. 10. City Ex enses. The plat and final resolution approving the plat should not be signed by the City and delivered to the owner until all fees, including the City's engineering fees and legal fees, are paid. If you have any further questions on this, please let me know. ery truly yours William R Soth WRS:ms cc: Michael J. Mornson Spencer Isom 52 8441 Wayzata Boulevard, Suite 350 B.A.Mittels •.:"_._.. W Minneapolis, MN 55426 Bret A.Weiss,P.E. SB Peter R.Willenbring,P.E. • Donald W.Sterna,P.E. tel: 763-541-4800 Ronald B.Bray,P.E. &Associates, Inc. fax: 763-541-1700 Memorandum To: Spencer Isom,Assistant City Manager City of St.Anthony From: Todd E. Hubmer, P.E. Project Manager Date: August 14, 2000 Re: Review of Preliminary Plat of Apache Terrace 2"d Addition WSB Project No. 1065-010. We have completed our review of the preliminary plat of Apache Terrace 2°d Addition as presented by Harry S. Johnson Company, Inc. Land Surveyors dated June 26, 2000. Based on our review, I offer the following comments: • The plat should include a 20-foot utility easement along the east side of Lot 3 over the existing watermain which runs north to south along the east side of Lot 3. • It is recommended that a 10-foot utility easement be centered on the lot lines separating Lots 1 and 2 and the lot line separating Lot 2 and 3. • Please be advised that existing buildings on the properties do not meet current setback requirements. It is recommended that the easements be dedicated to the City as part of the preliminary plat process. If you have any questions, please don't hesitate to contact me at(763) 277-5782. run • Minneapolis St . Cloud Infrastructure Engineers i Planners F.1WPWIM1065-011081400-cty.wpd EQUAL OPPORTUNITY EMPLOYER 8-09-200 3:41PM FROM HARRY S JOHNSON CO 612 884 5344 - 53 HARRY S: JOHNSON LAND SURVEYORS August 9, 2000 1 of 2 Spencer Isom Assistant City Manager City of St. Anthony 3301 Silver Lake Road St. Anthony,MN 55418 Re: Preliminary Plat of APACHE TERRACE 2ND ADDITION. Dear Spencer, At the request of Ken Solie of Village Properties, I am submitting the following additional information for the submittal of the Preliminary Plat application on the above referenced site. *Zoning & setback information. Proposed Lot 1, Block 1, APACHE TERRACE.2ND ADDITION (2501 37th Site) • Zoning: C, General Commercial Building setbacks: Front yard must have depth equal to the greater of 35 feet or a distance equal to the average of the two adjacent_lots. Side yard. Interior side yards. 10 feet in width. Rear Yard. 20 feet in depth Proposed Lots 2 & 3, Block 1, APACHE TERRACE 2ND ADDITION(2801 37' Site) Zoning: LI Light Industrial District Building setbacks: Front yard must have depth equal to the greater of 40 feet or a distance equal to the average of the setbacks of structures on the two adjoining lots. Side yard. Interior side yards 15 feet in width. 40 feet adjoining a street Rear Yard. 15 feet in depth. Tower setback: No setback restriction for non residential property in zoning regulations, 15 feet from property line as per Assistant City Manager. Harry S. Johnson Co., Inc. • 170 West 79"Street Bloomington, MN 55454 tele(952)884-5341 fax(952)884-5344 e=mail:tomphsjsurveyors.com 8-09-200 3:42PM FROM HARRY S JOHNSON CO 612 884 5344 54 I HARRY S. JOHNSON LAND SURVEYORS 2 of 2 The existing building at 2801 37`h Ave. NE is a permitted no conforming building per variances approved by the City of St. Anthony as follows. A 17 foot front yard building setback variance to allow the expansion to be compatible with symmetry of the existing building. A 15 foot rear yard setback variance. Allowing zero setbacks along rear property line. The above referenced variances allow the existing building to conform to all existing building set backs. *BUILDING FOOTPRINT AREAS &PERCENTAGE OF LOT AREA COVERAGE: 250137 TH Avenue building footprint area=2239 S.F. 250137 TH Avenue Lot Area(proposed Lot 1) =72765.S.F. • Percentage.building coverage = 3.08% 2801 37`h Avenue building footprint area=66466 S.F. 2801 37`h Avenue Lot Area(proposed Lot 2)= 134273 S.F. Percentage building coverage= 49% (Proposed Lot 2) = 134273 S.F. No building on site Percentage building coverage= 00% Any questions, concerns or additional requests regarding the above information please contact our office. Thank you, Thomas E. Hodorff, L.P. Minn. Reg.No. 23677 cc: B.Soth, K.Solie, R.Ogren • Harry S. Johnson Co., Inc. 170 West 790 Street Bloomington, MN 55454 tele(952)884-5341 fax(952)884-5344 e-mail:tomQhsjsurveyors.com `, NEAPOLis & SAULT„ WI�:.1•::,1, °'°® _ �,..,� _ 1 z^:• rv1IN wulu,unullm' IY P.c� ,' ,...,.,IU, �,. -- "`"` �_�rcicc 1 _ !. sue•-- . 1;5�' ..�. .,y .ft=G?.".�. •; 10", a II R I. J 1� '.1..•, .;i:C!f �.,,�.:=:':..{y.'-:. 1 BR SW(. - 11 PER OOC.w0.11x675" -b 171W,M Wl"E"I 1 g ;1 7,... LOT 1 1 P["OOC. 17)16741 wl. 12801 8 _ .� .y`*.. . •. .. ..>• c X LOT 2 S M1 L l•t.. .w.Ir1[ 6 .!o•Inurr iwsou.r^•- .�: N E E:' 'A':. �E:'•''-��`�; .tti•.:'•=t".' 'i;. _ C Ids' �. o�ocic aoc. U L•L;r O_' K x w,: Lm 1 6.5 2 SJ) It.ooc.W. .)+aa7- -A'P A. i IT R+R' C'. J, 1 SLAP. ."± 'a= Ih O . (n Ai A011E PLAZA 3RD:. 1 al.suc. '.1.(M. _•-;-7�Y. a ::::F;; •�v:ao,n:'ssi::l.' .^.y,�Ir;•; 1.•000vuv IMO�Y I -- A - 1071.0' .. _..n•y :V •a• �•.:'1 �T—'J_(;� .C.: .S.li<SW.14$CC.31 ,030.4 — •_ .-- .=1 ENUE N.E. ---------------"7f.30------------- 1 = 37'T V . .. � r r •ire l r :'': -�^ t re,� G k L4 73 1 et l 1 rrQCe 3rd 9,,U- NOTE' AREA OF SITE = 21 1 ,039 S.F. (4..845 ACRES) ON EXISTING PRIV IE UTILITY'Eu SEUENTS 4.66' ON PRIVAI[ U1110r C O. 1ENT OCSf R10CD w na:. No. I457e32 LEGEND ■ PIKIFQM CAUM 64111 ) - cm%vIT'. o OMM CA104 MS". • nloPosm).M.olt i l ,Vs ProL,,4- 3 Ns 0-s • Cd1 I ----------- y a ' -------------- �a, __ ----------------- �;iiy� nwl _ - =�..�. . — �- •.r.w �-Tr` n v -- ——————— p.39m« •• --- ___ ------w- .SS a p.•33'W E Ipa..77 .om.1.v At zt •69. ..��. / _ n r •� ' ; 9 :,..�,. I LOT 3 u•'a,YSa� , n�,. �yy ; q LOT-1, `•� " '....d. LO7': 2 CONCRETE DLOCK k ORICH UUIEOINC L •11� ,..n ..i1tJ. '•nv �I'. u ------ ------ L • - ------ - ------------------ e fad . - - H♦r a r.w wn�.w.w.ea..���r..-.r •�� a....•-•�•.�.r r r��....— l or r Lo i z- Z-0 T 3 5/ CITY OF ST. ANTHONY RESOLUTION 00-072. A RESOLUTION RELATING TO A JOINT REQUEST FOR A SUBDIVISION/PRELIMINARY PLAT APPROVAL FOR 2801 AND 2501 - 37TH AVENUE NE WHEREAS, a public hearing was held by the Planning Commission to consider a joint request for a subdivision/preliminary plat approval for 2801 and 2501 - 37`h Avenue NE from Village North LLP and Apache Animal Medicine; and WHEREAS, following due consideration, the Planning Commission recommended Council approval of said request. NOW, THEREFORE, BE IT RESOLVED, that in agreement with the findings of the Planning Commission at their August 15, 2000.meeting, the City Council of the City of St. Anthony hereby approves the joint request for a subdivision/preliminary plat approval for 2801 (Industrial Custom Products) and 2501 (Apache Animal Medicine) to decrease the size of the lot at 2801 -.37th Avenue NE and increase the size of the lot at 2501 - 37`h Avene NE. Adopted this day of , 2000. Mayor ATTEST: City Clerk Reviewed by Administration: City Manager • 5 MEMORANDUM • DATE: 8/9/00 MEETING DATE: 8/15/00 TO: Planning Commission FROM: Assistant City Manager Isom RE: Public Hearing. Petition for Amendment to Zoning Ordinance, 2801 37' Avenue, Village North Properties. Village North LLP,in which Ken Solie is a partner,as owner of the Industrial Custom Products building at 2801 37''Avenue NE,have requested to amend the zoning ordinance so as to require less parking for LI districts. Mr. Solie has compiled information regarding parking requirements in other cities. It.shows a comparison of the St. Anthony requirement to the Cities of Arden Hills,Roseville,Minneapolis,New Brighton and Fridley. City Attorney Soth supports approval of Mr. Solie's petition for the reasons stated in Mr. Soth's August 2,2000 communication. Mr. Soth recommends amending Section 1650.05,Subd. 1(e)(7)of St.Anthony's ordinance as follows: (7) Light industrial,manufacturing,testing and research uses must have one space for every 1,000 square feet of building floor area. Staff Recommendation: Staff recommends approval of the petition. See City Attorney Soth's 8/2 • communication to Planning Commission. Cc: City Clerk Kroeplin • 59 July 13 , 2000 Date: Fee: $100.00 _ CITY OF ST. ANTHONY Petition for Amendment to Zoning Ordinance Village North LLP . - Ken Solie , Partner Applicant: 2500 39th Avenue NE #230 612-781-3381 Address:. Phone: Request for change regarding: (check appropriate item(s)) x Restrictions upon buildings, structures, or amenities Permitted uses Conditional uses Affected zoning district: Light Industrial 12jol 37 �4 Proposed change(s) and reason(s) therefor: Modify the current zoning requirement for parking in the Light Industrial Classification from one space for each 350 square feet of building area to one space for each 1000 square feet of buiding area . See attached for justification (use additional sheet, if necessary) Signature of Applicant 60 • ATTACHMENT TO PETITION FOR AMENDMENT TO ZONING ORDINANCE Paragraph 1650.05 'of the St. Anthony Zoning Ordinance provides that in a. Light . .Industrial zoning district, on-site parking be provided at the rate of one parking space for each 350 square feet of gross floor area or one parking space for each employee on the largest shift, which-ever is greater. Our company,. Village North LLP, owns the Industrial Custom Products building at 2801 37`h avenue N.E. and is applying separately, with the Apache Animal Clinic to replat the land owned by each of these parties to provide for the sale and redevelopment of land to the east and the west of the blacktop parking lot at the 2801 site. Village North currently leases approximately 58000 square feet of land - from CP Rail to provide adjacent parking to the building. The land remaining with 2801, along with the leased land, provides sufficient on-site parking to meet zoning requirements as currently stated, after separation of the land as described in the re- platting application. Should the railroad unexpectedly fail to renew our lease on its expiration on December 31, 2002, we will be unable to meet the zoning requirements without the separated land. . The railroad. land is available for purchase now and • maybe available for purchase if .the lease is terminated, but the economics of purchase are very unfavorable. For background, a memo is attached describing the railroad position. Our company feels that the current zoning requirement does not reflect the actual parking requirements of the present or any foreseeable future use of the building and further, that the Zoning Ordinance is significantly more restrictive than similar parking requirements in adjacent communities. We have researched parking requirements for similar zoning classifications in several surrounding communities and the results are summarized in the attached table. Complete copies of the ordinance are available for review. As the table shows, St. Anthony, along with New Brighton, has the most restrictive requirement. The current use of the 2801 building is for plastic fabrication, which is a low- density operation with large machines and heavy material and finished product storage. The tenant, in an attached letter, has stated that he will not require more than 70 parking spaces for his operations. Because of the nature of the St. Anthony market, the nature of the subject property and the nature of the local labor market, it is unlikely that the subject property, will ever be used for' any high density manufacturing purpose and that even at its highest density use, there would ever be • 200 plus employees at the site. 61 Because of these facts, we request that the Zoning Ordinance requirements for parking in the Light Industrial District be changed to a level more consistent with surrounding communities and with the present and probable future use of the property. The proposed-.change is to one space for each 1000 square feet of building area, as it is Roseville, Arden Hills and Minneapolis. Attached is our surveyor's estimate of parking that can be provided on the current parking surface without the leased land. As the drawings show we can park 94 vehicles on the site. The building has a foot print area of 66458 square feet and 2°d floor office and lunchroom area of approximately 6000 square feet for a total of 72458 square feet. With the proposed revision to the Ordinance, we would be required to 'provide 72 spaces and we would be in excess of compliance by 22 spaces. With reference to the Ordinance requirement to have a total parking lot area of 300 square feet per parking place, we estimate we have 37000 square feet of parking surface as compared to 94 stalls times 300 square feet or 28000 square feet required. With approval of the requested Ordinance change, we will engage the surveyor to provide the City with parking lot detail as maybe required. We have discussed the proposed ordinance change with Scott. Tankenhoff of • Hillcrest Development who is presently involved in the only other significant development activity in St. Anthony at Apache. Hillcrest is supportive of the proposal. Considering that there are no other development sites in St. Anthony for light industrial use, the proposed change in the Ordinance will not create unanticipated future issues. We ask your support in the requested action to permit the continued redevelopment of the Apache area at both the animal clinic site and any future development that might accrue to the east involving the proposed Lot 3 and the now vacant Amoco site. Kenneth Solie Date Community Category Parking Requirement One space for each employee on the largest Light Industrial, shift or one space for ever 350 .square uare feet of St. Anthony Manufacturing, Etc. p y q floor area, whichever is greater One space for each employee on the largest Other Business or shift plus one space for each company vehicle Arden Hills Industry or one space for each 1000 square feet of building area, whichever is greater Two parking spaces for every three employees on Roseville Industrial Districts the largest shift or one space for every 1000 square feet, whichever is greater One space for each 1000 square feet up to Minneapolis Light Industrial 20,000 square feet and one space for each 2000 square feet above 20,000 square feet One space for each employee on the largest Manufacturing or New Brighton processing shift or one space for each 350 square feet whichever is greater One space for each 400 sgaure feet of Fridley Manufacturing manufacturing space (not gross building area) 63 DORSEY & WHITNEY LLP MINNEAPOLIS PILLSBURY CENTER SOUTH BILLINGS NEW YORK 220 SOUTH SIXTH STREET GREAT FALLS, SEATTLE MINNEAPOLIS,MINNESOTA 55402-1498 MISSOULA DENVER TELEPHONE: (612) 340-2600 BRUSSELS WASHINGTON,D.C. - - 'FAX: (612) 340=2868 FARGO DES MOINES HONG KONG ANCHORAGE WILLIAM R.SOTH ROCHESTER (612)340=2969 LONDON FAX(612)340-2643 SALT LAKE CITY COSTA MESA soth.wiUi2LmQdorseylaw.com VANCOUVER August 2, 2000 Planning Commission City of St. Anthony 3301 Silver Lake Road St. Anthony, MN 55418-1699 Re: Village North and Apache Animal Clinic • Subdivision and Zoning Approvals . Dear Planning Commission Members: Village North LLP, in which Ken Solie is a partner, as owner of the Industrial Custom Products building at 2801 37`h Avenue NE, and Apache Animal Medicine, P.A., as owner of the Apache Animal Clinic, have applied to replat their properties into three lots in order to expand the size of the lot on which the animal clinic is located, decrease the size of the lot on which the Industrial Custom Products building is located, and create a new lot to the east of the industrial building. The property would be replatted as Lots 1, 2 and 3, Block 1, Apache Terrace 2nd Addition, Ramsey County, Minnesota. Since the size of the lot on which the industrial building is located would be.reduced, a question arises as to whether the lot would have sufficient parking. Currently the owner of the industrial building leases a strip of land approximately 67 feet wide from the railroad. This adjoins the north lot line and provides additional parking for the industrial building. The owner originally requested that the City ermit him to include the leased land as part of the property so as to meet the parking requirement. I must advise you that it is not permissible to include such leased land, since the railroad has the right to terminate that lease on rather short notice, and the lease could also be terminated for non-payment of rent or other factors, in which case the parking would be non-conforming. • Ken Solie also discussed with Spencer Isom and me the question of whether he might apply for a parking variance for this lot. We suggested to him that it is unlikely that a variance would be 64 DORSEY & WHITNEY LLP City of St. Anthony Planning Commission August 2,2000 Page 2 permissible, since hardship is being created by reducing the size of the lot and reasonable use is being made of the property in its present condition. We next discussed with him the possibility of amending the zoning ordinance so as to require less parking for this type of property. Mr. Solie has compiled information regarding parking requirements in other cities and this will be provided to you. It shows a comparison of the St. Anthony requirement to the Cities of Arden Hills, Roseville, Minneapolis, New Brighton and Fridley. The current St. Anthony ordinance is Section 1650.05, Subd. 1(e)(7) which provides as follows: (7) Light industrial, manufacturing, testing and research uses must have one space for every employee on the largest shift or one parking space for every 350 square feet of floor area, whichever is greater. • Mr. Solie is requesting that the requirement be changed to one parking space for every 1,000 square feet of building floor area. I would recommend that the ordinance be changed to eliminate any reference to the number of employees. It is not a good practice to have a parking requirement that changeswith the number of employees in the building. This raises uncertainty as to what the parking requirement is at any given point in time, and it also creates an almost impossible situation for enforcement. Based upon the information provided by Mr. Solie, it does appear that one space per 350 square feet of floor area is rather conservative. Arden Hills, Roseville and Minneapolis each provide for one space for each 1,000 square feet, New Brighton is at 350 square feet and Fridley is at 400 square feet. If you amend the ordinance as requested, I would suggest that paragraph 7 be revised to read as follows: (7) Light industrial, manufacturing, testing and research uses must have one space for every 1,000 square feet of building floor area. The animal clinic intends to purchase some land from the railroad to add to their property, but this will not be included in the new plat. I believe that the animal clinic will be requesting that all of its property be rezoned to commercial. It apparently is not clear what the zoning of their property is now, but the parcel they intend to purchase from Village North is zoned industrial. • I believe all of the Village North property is zoned industrial and will remain industrial. 65 DORSEY & WHITNEY LLP • City of St. Anthony Planning Commission August 2,2000 Page 3 Each of the three requests (subdivision, ordinance amendment and rezoning) should have a separate public hearing. Each of your recommendations to the Council with respect to these matters should be in separate motions with respect to the subdivision approval, zoning ordinance amendment and rezoning. I hope this answers all of the questions relating to these applications, but if you need any further information, please let me know. V ry truly yours U William R. Soth WRS/ms cc: Spencer Isom • 07/12/2000 11:01 INDUSTRIAL CUSTOM PRODUCTS 612 781 4584 NO.c-" 66 INDUSTRIAL CUSTOM PRODUCTS July 12, 2000 Ken Solie Village Properties 2500 39`h Avenue NE, Suite 230 Minneapolis, MN 55421 Dear Ken: The purpose of this letter is to document Industrial Custom Products estimate of future parking a uirements for your use with St. Anthony Village. Over the remaining term of our 2.57eear lease, we would not expect to use more than 70 parking spaces for any single shift at this facility. Please let me know if any additional information is needed. Sincerely, Herb Houndt we a ne- 0,ti rr,ev,4 0 �o 4e v.S � l�� 4 r &,t rre�L4— 7-12-200 2:50RM FROM HARRY S JOHNSON CO 612 884 5344 67 HARRY S. JOHNSON Wr LAND SURVEYORS July 12, 2000 Ken Solie Village Properties 2500 39`h Avenue NE . Minneapolis, MN 55421 Re: Parking stall (Proof of parking)2801 37"' Avenue Site, St. Anthony, MN. Ken, The attached drawings show the parking stalls available if striped at present above referenced site using proposed lot 2 of future subdivision. Total stalls available using standard stall sizes 9'x lq' and standard drive widths is 94 stalls Questions or additional requests please contact our office. • Thank You, Thomas E. Hodorff • Harry S. Johnson Co., Inc. 170 West 79'''Street Bloomington, MN 55454 tele(952)884-5341 fax(952)884-5344 e-mail:tom @hsisurveyors.com Adlbk a ' CENTERLINE EXISIING RR TRACK ` - -�V y n n 1---- WOODS EDGE-���� r L - L_ WOODS EDGE _ - � TRASH C 1m11 `co >> E 903..06 AN �mr BITUMINOUS N 84°38'00 — 90- 'i(0 _ o ~ `v o STEEL STAIRS 'z Z fO z p f _ BUILDING FOOTPRINT AR � � Y f= Y mn iT I z /— ILL - - 1016. 'a -----N 89°59'55" W 1954. 72 ----- Ln !.m a Ana -0a I STORM M.H. AN. M.I{. —� r �— -- RIM=-950.4 RIM-951.0 \ _ rollm M.I-I. IM=951.8 -- — --------- -- -RIM=950.6 �_ WOODS EDGE L 1 1 1 1 1 ' 31„ BITUMINOUS 6°2 MPACTOR STEPS i Lo co � . co N ').06 o / / STEPS cn V) j. T = I N E F- C� Y Y z rCI-- 0 L _ \,J I - - // / / a m } A = 66458 S. F. n r� n i � 1 1 1- . o _ u- 3 O A44S 2 SA . TEL � I — Ln - n T _ _ - - --C.8. C.13. CR C.R. HIM-9S(1. 7 7® St. Anthony Village Properties, LLP 2500-391" Avenue NE,. Suite 230 Minneapolis, MN 55421 January 4, 2000 Railroad Lease / Parking Issue at 2801 37th Ave. NE From: Ken Solie On this date, I discussed the current land leasing philosophy of CP Rail with David Drach of CP (612-347- 8254) . He stated as follows: 1 . All new leases and lease renewals are being done on a month to month basis with 30 days notice. This is CP Rail policy and there are no exceptions . 2 . It is CP Rails position that they want to sell any land that is not essential to railroad operations . Their • asking price is the market value of neighboring land without regard to the land-locked nature of the parcels . They feel that while the land has no value to the public, it has "market value" to the owners of contiguous property. Drach said "They will hold the property for 80 years before they will sell it at less than market value" . 3 . Drach sees no reason that CP Rail would not renew our lease in the future. He stated that the only reasons for lease termination are for cause (non payment of rent) or if the railroad had a need for the land for business purposes . He did not see any pending railroad need for this land in the future. I asked him to document this in a letter, He refused. 4 . He stated that he thought there was a 100 feet wide strip through this area that could be available for lease but it seems clear that their preference would be to sell . From this discussion, it seems that the worst case scenario • would be that CP Rail refuses to renew our lease at its expiration for the purpose of forcing us to purchase the 71 land at a price of about $2 . 00 per square foot. Our leased area is about 58000 square feet. It seems more likely that they would renew - the lease , a month to month basis without a definite terminatio date. This is particularly true considering that we are the only buyers and considering that we would not willing pay market price. From this, . I conclude that the proper approach going. forward is to assume that CP Rail will renew the lease on its expiration, on a month to month basis, with the recognition that we could be forced to purchase the land for market rate at some point. It seems clear that one way or another, we will have access to this land to provide parking for the existing faculty. • 72 St. Anthony Village Properties, LLP 2500-39`h Avenue NE Suite 230. Minneapolis, MN 55421 June 14, 2000 Spenser A. Isom Assistant City Manager St. Anthony Village 3301 Silver Lake Road St. Anthony, MN 55418=1699 Dear Mr. Isom, With reference to our recent meeting, this letter outlines our plans to subdivide and • recombine the land associated with the Industrial. Custom Products building at 2801 37`h Avenue N.E. The attached drawing, marked Exhibit A ,shows the land as it is currently platted in two parcels with the existing building located partly on each parcel. Our proposal involves three actions to clean up the existing land descriptions as they relate to the improvements and to separate the land at the east and west ends of the property for future sale and development. Exhibit B shows the reconfigured layout. Action 1, Subdivide the land associated with Lot 2, Block 1, Apache Plaza 3`d Addition lying to the west of the existing black top parking lot. This land is designated as Lot 1 New Subdivision,(NS) on Exhibit A and as LOT 1 on Exhibit B. . I[ is currently proposed that Apache Animal Hospital will purchase this,land from. the applicant for the future development of an addition to the existing building to the west of the property. The area of the subdivided property is approximately 12000 square feet. Action 2. Subdivide the land associated with Lot 1, Block 1, Apache Terrace Addition lying to the east of the existing blacktop parking lot. This land is designated as Lot 3 NS on Exhibit A and as LOT 3 on Exhibit B. This subdivision anticipates the possible sale of this property for future development. The area of the subdivision property is approximately 66000 square feet. 73 • Action 3. It is further proposed that the portions of the original parcels remaining after subdivision be combined into one lot designated as Lot 2 NS on Exhibit A and LOT 2 on Exhibit B, thus positioning the existing improvement on one legally described lot. It is anticipated that this action will be accomplished administrative by the execution `of a Declaration of Restriction to be prepared by the City Attorney, The area of this land is approximately 133,000 square feet: I understand that each of these actions will be considered separately by the City, however, they are being submitted here as a package as they are closely related activities. Additional actions by the buyers of the west land are also expected concurrent with this proposal regarding rezoning and perhaps other issues. With reference to the proposed subdivisions, please note that we currently lease a strip of land to the north of the existing building from the CP Railroad to provide convenient parking for tenant employees. This lease has been in place since at least 1979 and discussions with the railroad indicate that it is not likely that the lease would ever be terminated. If it were terminated however, we would have difficulty providing on site parking according to the Ordinance. A package of previous correspondence is attached providing background on this issue and as the January 4, 2000 memo concludes, the worst case is that-we would be forced to buy the land • from the railroad. Accordingly, we do not feel that this issue.should be a factor in approving the subdivision proposals. For expediency, draft copies of subdivision applications are attached for review and comment. Thank you f your consideration. inc y Kenneth Solie S SAUL 6• T STE. MAR r<r+ ,�.,r...•-.... ::.-:,.;...�,• ..,-: C ITWC INNEAPOLI & ,1::1,,�rrra. "I rr I •,.: ' M 1r1,11IfC, Ir/�, ,� r.a.r.t[„ 1 ° W rticc _ Y C-t Ce — Q :,!`l`'{�ri �•�..: ,oa..n uw. „ 0 Unun IAYu[.1 7 `'1- .e 1t)'.i•:J •y'�•:N. Orr M.��[ I BR "I. I I M9 DOC.r0.21.6130 of i �:- '.ie,_„'.•M:2 R .ao LOT 1 '- .I--3o•vourr CAS[,1Cp1 $ IIOOODO?re-` .. - ' 21•.• 2801 KO OOC. 15526})I _ W'. �' T: s•.3. h 1 ao• M1c t.[.- .r,tr( ' .w•ul.nv uaoort�.8 �' K �'R' 'sue'': •f,�, ,!'::vv :`,.t:.... '> `5 n�oc t o�nc. [i l t.6- �' I I --).' -�'l: ;I•Tt I.rte "2' 6 L O LOT 2 3 a 3 tm 1 I N T E:R, A..0•. I;r r (66.572 S.f) ! 1 11 A..� E I I I K.DOC..0. •]7617`• ? ,'' 1 .\ '1rOIL 01f.SI10.. sit 61 IN An tllE PL- It ,3R6* P v LKW..ttL - 23365 ul.w6r 2 •:•1»`S.n.N. ,]ao 1n:.T;::F;i tr:mn:'sri:M. F'�,:r�:: w 00'o d-.Iw Js -- a -- 1021.0 ,,., •.:_ � �.�=v_.:. ;�.. -s.uK SM1/•su.aI 1.-. . 1 S.I f v`: 7 • 't;r : . `"•. . ---------------- .0--------AV ENUE N.E. slum " -----------•-----6.1.50--------i 37TH` ------------ — 3 rd Add- w AREA OF SITE = 211 ,039 S.F. (4..845 ACRES) No![: rsPRIV IC WINC elASEMEN[s 6.66 OfS[DID[D IN LIM. NO. 1457832 LEGEND ■ .w.OfLD CATCH BAVI >--e D10bCN[•. 0 OMSTWO CATCH DAB•. •�[ TUC(CmurCmn) . • P'YO.OSCD"VOW -0, Po tty P02t �+ Box Pro OL e'l L- 3 /us _r- e --———---------------- rz ., -----'---------- ___---�—_-- — -! /-m.m.. _u.c. l _t-�-� �-�•.o—.•,.—�--mil - = . p.3901 •)16\ • iC 106•,17 �m...e •.,•. / n , ^- "`:'�^ LOT 3 469. ....+.o w u,.e�YSC _ • nT 5 9 LOT-1 .:• v ll...w. LOT 2 CONCRETE OLOCK a+•. r.� •.v• �O-� - '{ ((I�b 7 .\ / UUIEDINC ;1 �• I 'I - w.o.ww • .-....I.�._-�-._-._.._..�1•,y - ��Tf _...—.._e .�.r.l. r _ —M E9]9.33'w 195.77...-. T , [7\V[ s............. - � w --- — ------- ------------ — — ---± — --------- s f— r.o�.r.rw•r...m ma...o � - lo Lo i Z-- 7'6 • St. Anthony Village Properties, LLP 250. 0-39t" Avenue N E, Suite 230 Minneapol%s, MN .5542.1 January 4, 2000 Railroad Lease / Parking Issue at 2801 37th Ave . NE From: Ken Solie On this date, I discussed the curr.ent land leasing philosophy of CP Rail with David Drach of CP (612-347- 8254 ) . He stated as follows : 1 . All new leases and lease renewals are being done on a month to month basis with 30 days notice . This is CP Rail policy and there are no exceptions . • 2 . It is CP Rails position that they want to sell any land that is not essential to railroad operations . Their asking price is the market value of neighboring land without regard to the land-locked nature of the parcels . They feel that while the land has' no value to the public, it has "market value" to the owners of contiguous property. Drach said "They will hold the property for 80 years before they will sell it at less than market value 3 . Drach sees no reason that CP Rail would not renew our lease in the future . He stated that the only reasons for lease termination are for cause (non payment of rent) or if the railroad had a need for the land for business purposes . He did not see any pending railroad. need for this land in the future . I asked him to document this in a letter, He refused. 4 . He stated that he thought there 'was a 100 feet wide strip through this area that could be available for lease but it seems clear that their preference would be to sell . From this discussion, it seems that the worst case scenario would be that CP Rail refuses to renew our lease at its expiration for the purpose of forcing us to purchase the I 77 .. land at a price of about $2 . 00 per square foot . Our leased area is about 58000 square feet. It seems more likely that they would renew the lease on a month to month basis without a de finite . .termination. date.. This is particularly true considering that. . we are he . . only buyer.s' - .and. considering that we would not willing pay market price .' From this, I conclude that the proper approach going forward is to assume that CP Rail will renew the lease on its expiration, on a month to month basis, with the recognition that we could be forced to purchase the land for market rate at some point . It seems clear that one way or another, we will have access to this land to provide parking for the existing faculty. • 78 : VILLAGEPROP. R f' 2500-39th Avenue NE #230 Minneapolis, MN 55421 September 12, 1996 Larry Hamer City of St. Anthony 3301 Silver Lake Road St. -Anthony, MN 55418 Dear Larry, As you . know, our Company leases land from CP Rail to provide parking for -the Industrial Custom Products (ICP) • Building at 2801 37th:-Avenue'-North East. 'Our lease with CP Rail continues to October, ­2002' .and 'we- have requested CP_ Rail to extend the lease to the maximin. possible term per the attached letter. It is very unlikely that Cp Rail will ever terminate this lease, however, in that. event we :would not be able to meet the City's parking-requirements on the existing remaining paved surface, and would need to.-provide overflow parking'on the undeveloped land to the -east-:and w±est .of the paved areas. The need to reserve this land 'for:'parking •in the scenario severely limits our ability to develops the parcels. The parking ordinance requires approximately 190 spaces for the facility. The a�tached -drawings 'indicate that we can provide approximately 103 spaces .without the rail land. We have reviewed the current usage of the building and find that the use is 50 percent for warehouse and 50 percent for office and manufacturing. Using- this 'information, we believe that our • obligation is to provide one parking space for each employee or one space for each 350 square feet of actual manufacturing 79 area. After removing unutilized;.:space. such -as lobbies, brec • areas, restrooms ..etc,.-we :have.­65000..' square feet of -productive area or 32500 square -feet of.' manufacturing and office space requiring 93 spaces. -.-Further.:•.per. the attached ICP letter, ICP will not require -more.than' '86-5 .spaces during the term of their lease. Longer range, *it would-"be our intent to limit future tenant parking by lease 'restrictions- to that which we can provide on existing. surfacs or by' sharing parking with the east or west developments. Accordingly, we request the City to review this plan and to agree that they will "permit utilization of the property conditioned on pur- demonstration that this use will not require more parking than we can. provide. Our request is made to reduce concerns of our tenant and lender that the City might prohibit use of the building if the qP Rail land is lost. Please call me at 781-3381 with questions and we • appreciate your cooperation.. Than o Kenneth Solie • so VILLAGE .PROPERTIES 2500-39th Avenue.NE #2: Minneapolis, MN 55421 September 12, 1996 David. Drach CP' Rail System 105 South 5th street Suite 1380 Minneapolis, MN 55402. Dear David, As we: have discussed, our •lease with. CP Rail on the land to the north of 2801. 37th •A',';* . North East runs -for about 6 years from now. The land is -used to- provide parking for the property. Without this .land we cannot .meet City. parking requirements. This - situation -is causing concern for our tenants and our lenders because.'of the remote possibility that we could loose our lease with CP. Rail aid therefore the City could limit or prohibit the .use of the'.building. I understand that you can. 19ase this land for up to a . 10 year period and such a lease- would• greatly help in reducing the above concerns. Accordingly,- I am requesting that You- rewrite and extend our lease -to the maximum possible terra. Please call me at -781-3381 with questions and I appreciate your cooperation. Thank You, • Kenneth So ' lie yS'C.ir.:.r:3't�,�(�. .�C',� . 1:1.•' :'..: •i'., 1.'.'.��Ir•,. •..•�, •' �..y.',(. � ,.:'-' _._ /�.• '•r:`,�`��•A'1 �i\'.N:;jy�r'.` •�ir�',:�t•r.,•�,�r¢'`r•�l..r••( d•�4�',,`4 '` a ,• .i•' �,7�,i �� }•.ir);.. `i. 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Over�the • remaining term of our 7 year lease, we would not expect to use parking spaces for any single shift at this facility. more than 75 to 85 Please let me know if any additional information is needed, Sincerely, Doug Stearley 280137th Avenue NE • Minneapolis, Minnesota 55421-4217 • 612/781-2255 104 • CITY OF ST. ANTHONY. ORDINANCE 2000-008 AN ORDINANCE RELATING TO ZONING; AMENDING SECTION 1650.05, SUBD. 1(e)(7) OF THE CITY OF ST. ANTHONY CODE OF ORDINANCES The City Council of the City of St. Anthony hereby ordains: Section 1. Section 1650.05 of the City of St. Anthony Code of Ordinances is hereby amended to read as follows: (7) Light industrial, manufacturing, testing and research uses must have one space for every 1,000 square feet of building floor area. Section 2. This ordinance shall be in effect as of the date of its publication. Council Reading and Adoption: August 22, 2000 Mayor ATTEST: City Clerk Publish: St. Anthony Bulletin • 85 • CITY OF ST. ANTHONY RESOLUTION 00-073 A RESOLUTION RELATING TO A REQUEST FOR AN AMENDMENT TO THE ZONING ORDINANCE FOR 2801 - 37 TH AVENUE NE WHEREAS, a public hearing was held by the Planning Commission to consider a request for an amendment to the zoning ordinance for 2801 - 37`h Avenue NE from Village North LLP, and WHEREAS, following due consideration, the Planning Commission recommended Council approval of said request. NOW, THEREFORE, BE IT RESOLVED, that in agreement with the findings of the Planning Commission at their August 15, 2000 meeting, the City Council of the City of St. Anthony hereby approves the request for an amendment to the parking requirements of the zoning ordinance for 2801- 37`' Avenue NE, Custom Industrial Products, to require less parking for LI districts. • Adopted this day of , 2000. P Y Mayor ATTEST: City Clerk. Reviewed by Administration: City Manager • 86 MEMORANDUM • DATE: 8/9/00 MEETING DATE: 8/15/00 TO: Planning Commission FROM: Assistant City Manager Isom RE: Public Hearing. Petition for R Wing, 250137"' Avenue, Apache Animal Clinic. Apache Animal Medicine,owner of the Apache Animal Clinic,are purchasing some land from the railroad and from Village North,LLP to add to their property. Presently,the railroad property is unzoned and the Village North parcel is zoned U. The petition is a request to have the above referenced parcels and their existing property all zoned to C. The City's zoning map is incorrect and shows their existing property as LI. This comprehensive request will correct the error. Action required. Staff Recommendation: Staff recommends approval of the petition. See City Attorney Soth's 8/2 communication to Planning Commission. Cc: City Clerk Kroeplin • 87 Date: August 4, 2000 Fee: 225.00 CITY OF ST. ANTHONY VILLAGE Petition for Rezoning Applicant: Apache Animal Medicine Phone: 61 2-781 -2734 Address: 2501 - 37th Avenue, NE, Mi nnea cal i s, MN Status of Applicant (Owner, Buyer, Lessee, etc.): Buyer Legal Description of property proposed for rezoning:See attached survey. Street Address: A portion of ?Rnl 17th Avanua NE and -rail road right-of-way. Presently Zoned: Light industrial and unzoned. • Change Zoning to: Commercial. 1. Attach a statement to this petition stating why this zoning change is requested. 2. If an entire parcel of land is proposed to be rezoned, submit a map or plat with this petition showing the land proposed to be rezoned and all lands within 350 feet of its boundaries. 3. If a portion of a larger parcel of land is proposed to be rezoned, submit a preliminary plat prepared in accordance with sections 1500.01 through and including 1500.03 of the St. Anthony Code of Ordinances with this petition. A copy of which is included in this packet. Signature o N Signature of Owner (if different from Applicant) 8 The proposed rezoning is being requested for the express purpose of • expanding the Apache Animal Hospital, which currently occupies the site immediately to the south and west of the parcels under consideration. The animal hospital could not expand without purchasing and rezoning these parcels.. . • 9 DORSEY & WHITNEY LLP MINNEAPOLIS PILLSBURY CENTER SOUTH BILLINGS NEW YORK 220 SOUTH SIXTH STREET GREAT FALLS SEATTLE MINNEAPOLIS,MINNESOTA 55402-1498 MISSOULA DENVER 'TELEPHONE: (612) 340-2600 BRUSSELS WASHINGTON.D.C. FAX: (612) 340-2868 FARGO DES MOINES HONG KONG ANCHORAGE WILLIAM R.SOTH ROCHESTER (612)340-2969 LONDON FAX(612)340-2644 SALT LAKE CITY COSTA MESA soth.wilham@dorseylaw.com VANCOUVER August 2, 2000 Planning Commission City of St. Anthony 3301 Silver Lake Road St. Anthony, MN 55418-1699 Re: Village North and Apache Animal Clinic • Subdivision and Zoning Approvals Dear Planning Commission Members: Village North LLP, in which Ken Solie is a partner, as owner of the Industrial Custom Products building at 2801 37`h Avenue NE, and Apache Animal Medicine, P.A., as owner of the Apache Animal Clinic, have applied to replat their properties into three lots in order to expand the size of the lot on which the animal clinic is located, decrease the size of the lot on which the Industrial Custom Products building is located, and create a new lot to the east of the industrial building. The property would be replatted as Lots 1, 2 and 3, Block 1, Apache Terrace 2nd Addition, Ramsey County, Minnesota. Since the size of the lot on which the industrial.building is located would be reduced, a question arises as to whether the lot would have sufficient parking.. Currently the owner of the industrial building leases a strip of land approximately 67 feet wide from the railroad. This adjoins the north lot line and provides additional parking for the industrial building. The owner originally requested that the City permit him to include the leased land as part of the property so as to meet the parking requirement. I .must advise you.that it is not permissible to include such leased land, since the railroad has the right to terminate that lease on rather short notice, and the lease could also be terminated for non-payment of rent or other factors, in which case the parking would be non-conforming. • Ken Solie also discussed with Spencer Isom and me the question of whether he might apply for a parking variance for this lot. We suggested to him that it is unlikely that a variance would be 0 DORSEY & WHITNEY LLP City of St. Anthony Planning Commission August 2,2000 Page 2 permissible, since hardship is being created by reducing the size of the lot and reasonable use is being made of the property in its present condition. We next discussed with him the possibility of amending the zoning ordinance so as to require less parking for this type of property. Mr. Solie has compiled information regarding parking requirements in other cities and this will be provided to you. It shows a comparison of the St. Anthony requirement to the Cities of Arden Hills, Roseville, Minneapolis, New Brighton and Fridley. The current St. Anthony ordinance is Section 1650.05, Subd. 1(e)(7)which provides as follows: (7) Light industrial, manufacturing, testing and research uses must have one space for every employee on the largest shift or one parking space for every 350 square feet of floor area, whichever is greater. Mr. Solie is requesting that the requirement.be changed to one parking space for every 1,000 square feet of building floor area. I would recommend that the ordinance be changed to eliminate any reference to the number of employees. It is not a good practice to have a parking requirement that changes with the number of employees in the building. This raises uncertainty.as to what the parking requirement is at any given point in time, and it also creates an almost impossible situation for enforcement. Based upon the information provided by Mr. Solie, it does appear that one space per 350 square feet of floor area is rather.conservative. Arden Hills, Roseville and Minneapolis each provide for one space for each 1,000 square feet, New Brighton is at 350 square feet and Fridley is at 400 square feet. If you amend the ordinance as requested, I would suggest that paragraph 7 be revised to read as follows: (7) Light industrial, mauufacturing; testing and research uses must have one space for every . 1,000 square feet of building floor area. The animal clinic intends to purchase some land from the railroad to add to their property, but this will not be included in the new plat. I believe that the animal clinic will be requesting that all of its roperty be rezoned to commercial. It apparently is not clear what the zoning of their property is now, t the parcel they intend to purchase from Village North is zoned industrial. I believe all of the Village North property is zoned industrial and will remain industrial. 91 DORSEY & WHITNEY LLP City of St. Anthony Planning Commission August 2,2000 Page 3 Each of the three requests (subdivision, ordinance amendment and rezoning) should have a separate public hearing. Each of your recommendations to the Council with respect to these matters should be in separate motions with respect to the subdivision approval, zoning ordinance amendment and rezoning. I hope this answers all of the questions relating to these applications, but if you need any further information, please let me know. V ry truly yours • l/ William R. Soth • WRS/ms cc: Spencer Isom R E A L T Y 92 G R O U P FEW. August 4, 2000 Spencer A. Isom Assistant City Manager Saint Anthony Village 3301 Silver Lake Road St. Anthony, MN 55418-1699 RE: Apache Animal Medicine rezoning application Dear Mr. Isom: Enclosed please find two copies of the Petition for Rezoning for Apache Animal Medicine P.A. We are requesting a rezoning and a zoning of the entire parcel that is and will be occupied by the expanded animal hospital. The rezoning and zoning request is predicated on the fact that the parcel immediately to the east of the existing animal hospital, which we have optioned, is presently zoned light industrial, the railroad parcel • immediately to the north is un-zoned.and according to the City of St. Anthony's current zoning map, the existing animal hospital is in a light industrial zone. Upon further review by our surveyor, Harry S. Johnson Company, they have determined that the placement of buildings on the zoning map is incorrect and I have enclosed copies of the zoning map and survey with the buildings placed, as they actually exist. It is our intent, pending City approval of our zoning request, to include all three parcels as Lot 1 on the new plat. The current survey is designed to accomplish that purpose and the new legal description is included on the survey. Apache Animal Medicine, PA, has entered into a binding purchase agreement with the railroad to acquire the railroad right-of-way immediately to the north and northeast of its current site. It is our understanding from the railroad that all necessary approvals have been secured and closing will soon be scheduled. Furthermore, by acquiring both the parcel immediately to the east and the railroad parcel, the animal hospital will be able to complete the project in accordance with city required building and parking set-backs as well as the required number of parking spaces under the code for this type of facility. Attached you will find the following documentation: 1. Petition for Rezoning. 2. Statement outlining why the request is being made. 3. Survey. • 4. Section of Zoning Map with building locations identified. P.O. BOX 14463 612-644-4959 OFFICE MINNEAPLOIS, MN 55414-4463 612-9443 PAGER 93 5. Site plans (L-2) identifying the current and proposed building and also showing driveways, curb cuts, ingress and egress on the property. 6. Landscape plan (L-1) showing the entire parcel which will be owned by Apache Animal Medicine with site improvements including fencing and dumpster enclosures. 7. Storm water retention and drainage plans. 8. Copy of purchase agreement with the railroad. As you requested, I am also submitting a copy of the foregoing to Bill Soth for his review and comment. I believe the foregoing documents represent a complete application, but in the event that you need further information, please call me at 612-210-7573. Thank you. Sincerely, I ZIP Raymond n PM h --TOO vkmmmlp' [�• Q p b 0 b OB b BTE - D K W•!e!T K E S. _ - ' —_ � Sri•—t1�_ _ _ —_ � _ _ _ _� J- -- •�a����„ I, 'w � `° c ;fir �'4,.- �riII��L �� �� c_ - --- -- _ _ _ - f'�`k-_-•�' •'I'.;�.,:� �N Lm11000M471 OeaN.NMh 70[•saI NUAUTrYI . r.uY..u. . r �'•�� ur rr rrr u r wn w.rf r Inln�fn-fi Innµyffffw � r.sr....r.r� r� nr raw r+V�Ny ffrfn . ' r•r r - In �iir~r I�lff•-ffn quo MARRY S. JOMNSON CO. INC. P�sT7rrEm REALTY PRELIMINARY PLAT Aypgg B� ��� QQQ 'O�4 _ LAND SURVEYORS ru of.fu ro r....... 170 M.74M ST. LL APACHE TERRACE DO m.�MICNY,faM,e90T� . BLOMIMOTOK YH.55420 VLLI EPROPPAnES ADOITION • (au)ee.-SNI '.f•i o 19.6/90PP ME, i. rrrrrr� __ - win-- NEW PROPERTY E Ul . - EXIST. RELIEF WOODED EXIST. _-- • D ( 12 ) 6' HT. CONC. C(1', IC4) � 5''SETBACK FINISH �Pp oD m FENCE INK TR CE AR N CLOSURE 8' (8) co 0 x z EX CfSE AREA 5,572 S.F. >y a —VROPOSED 4 (8) 1 10EW BLDG. CN .., . n e. B 1 ~LINE OF EXIST. %L�='�i r .�� 1 ® �I --�r'v�__---- p(5) 19 STALLS ASPHALT •'vI GATE 1 ^ ( EW 80' I 8' VAN m EXIST. IST. C(I '. 5' (4) • FLOWER 2220 S.F. mi 24' 18' BEDS (5) EXIST.BLDG. ` 8(7) 66' 8(7) D(5 t 3 XIST. 11 STALLS 8(10). WOOD FENCE (EXIST.) 78' F(4) GROVE N OD I — - (6)5) (1) m 18' 24' 18' EXIST. SIDEWALK G(4) n� MONUMENT o (8) MONUMENT (5) TO BE REMOVED (-_--_ 7_GRANDE_EXIST,____.MUBCH-iIPICALW/ROC SIGN SIGN -_ --—--— -- EXISTING PROPERTY LINE 9(6 -_ NEW 28' CURSCUT EXIST. COTTONWOOD ABANDONED GROVE CURSCUT 37TH AVE. N. BUILDING AREA: 7,792 S.F. NEW PLANTING SCHEDULE PLANTINGS REMOVED STALLS REQ'D: 40 STALLS No. QUANTTTYI COMMON NAME SIZE REMARILS WAITTTTY COMMON NAME APPROX.SIZE 4 PER VET(5) A 12 -1 BLUE SPRUCE 6'-0•HT. Sao 11 BLUE SPRUCE 399 R +1 PER EMPLOYEE(20) B +7 GOLDFLAFIE SPIREA 3GAL POTTED 2 ASN 35Y STALLS PROVIDED: 41 STALLS C 3 SPRING SNOW FLOWERING CRAB I-I!2•B B I B 2 BLUE SPRUCE 25•T D IS A.W.SPIREA 2 GAL POTTED E 6 VARIEGATED DOGWOOD 3 GAL POTTED F 4 MISS KIM LILAC 3 GAL 'POTTED G 19 MINT JULIP JUNIPER 5 GAL POTTED H 3 BURNING BUSH 30' POTTED LANDSCAPE/SITE PLAN s --- ------- ------ ------------------ - $g a I I ----- I I --____— �•�' �._� - .�.. q ( 11>R m AFWA In m �---••--•—. ----- 37TH AVE.N.--'--------- -------- n ---°-----------•----•----- --- --------------------- ---- BUILDING AREA: 7,792 S.F. NEW PLANTING SCHEDULE PLANTINGS REMOVED STALLS REQ'D: 40 STALLS 4 PER VET S NO. QUANRJY COMMON NAME SIZE REMARKS EIUAMTITY COMMON NAME APPROK.SIZE ( ) A 12 BLUE SPRUCE 6'-D'M. BBB 11 BLUE SPRUCE ]D't +1 PER EMPLOYEE(20) B u GOLDF AME SPIREA 3 GAL POTTED 2 IASM art STALLS PROVIDED: 41 STALLS c 3 SPRING SNOW FLOWERING CRAB 1-1/2-0 BBB 2 BLUE SPRUCE 2S't D IS A.W.SPIREA 2 GAL POTTED E 6 VARIEGATED DOGWOOD 3 GILL- POTTED P 4 MISS IOM LILAC 3 GAL POTTED G 19 MINT JUUP JUNIPER S GAL. POTTED H '] BURNING BUSH 30• POTTED - LANDSCAPE/SITE PLAN 1' 60' .. V 4"d ► ? ` Ih , 1, �yY t'.I N IgIi RM :, fr , ♦ 1 II :; i { �Lr �i:i Ir� AAl1 4 .T ' ''! ,��� i i,, �;,.•: 1u: { ,t1 V. ►.: u,iln .: .; SHEET=== !DA-TE- P-ftO1EC-T S--Tv • :1- ,��.��a�.��u�.r��■raw-�r�a � �• • ti'�v s�t�»�I��nu►•ir��t►�����s • CIVM ErGINEERPIG . LANDSCAPE ARCHITECTURE 99 ENVIRONMENTAL SERVICES URBAN PL•lr-NIING CONSTRUCTION SERVICES MEMORANDUM DATE: August 2,2000 T0: File 10320 FROM: Don Shaffer SUBJECT: Stormwater Drainage for Apache Plaza Animal Hospital Addition HKS Project No. 10320 The proposed development consists of a building addition to the existing animal hospital located north of 37th Avenue in St. Anthony, Minnesota. Included with the building addition, a new parking area will be constructed on the east side of the addition. Also,the parking area west of the existing building will be increased. Existing Conditions: An existing animal hospital and associated parking are located on a 1.58-acre parcel of land. Access to the site is from 37`h Avenue NE. Stormwater for the site currently drains overland to the north to a ditch along the railroad, east to an adjacent parcel of land and south to 37th Avenue NE. Approximately 1.08 acres drains to the north, 0.29 •. acres drains to 37th Avenue NE and 0.21 acres drains to the east. The drainage areas are shown on the attached drainage area map. Storm��ater draining from this site is carried east in the gutter to a catch basin approximately 300 feet from the east property line.No catch basins are located on 37`y Avenue NE adjacent to this site. City staff indicated that the storm sewer system in 37th Avenue NE is at capacity and that any additional drainage could not be accepted by the system. Develoned Conditions It is proposal to construct an addition to the existing building. new parking area on the east side of the addition and increase the parking are on the west side of the existing building. The attached site plan indicates the proposed construction. S-orm ater for the majority of the developed site will be carried overland and directed to the north. S*.orm%'.ater drainage from the west parking lot will be carried'to 37th Avenue NE. However, the storm% ater from the east parking lot will be directed away from 37th Avenue NE and carried to the north. Also, the amount of stormwater carried to the adjacent parcel to the east will be decreased. The stormwater on the parking lots will drain overland to the north curb line. Curb cuts will be provided to permit the stormwater to drain over the grass area to the ditch along the railroad tracks. Riprap will be placid a.the curb cuts to minimize erosion and also to help in dispersing the water. HITS ASSOCLM-'�I �. 821 RAYMOND AVENUE SL'I F. :11'' ST.PAUL.SIN :5:�' PHONE 651/659-9'32 F.�x 651.0;',)-: ., L-SLtil:i{t fu sh:a:���ociac::•.: August 2,2000 : . 100 Apache Plaza Animal Hospital Addition Page 2 Drainage calculations are attached showing the flows for the one-year, ten-year and 100-year rainfall events.The calculations are summarized in the table shown below: One Year Event 10 Year Event 100 Year Event Drainage Area Existing Developed Existing Developed Existing Developed Conditions Conditions Conditions Conditions Conditions Conditions North to the tracks 0.2 cfs 0.5 cfs 0.7 cfs 1.3 cfs 1.4 cfs 2.3 cfs South to 37"Avenue 0.6 cfs 0.3 cfs 1.1 cfs 0.7 cfs 1.8 cfs 1.3 cfs NE East to the adjacent 0.1 cfs 0.0 cfs 0.2 cfs 0.1 cfs 0.5 cfs 0.2 cfs parcel As can be seen,the discharge rate of stormwater directed to 37h Avenue NE and to the east is reduced with the developed conditions. However,the discharge rate to the north is increased. A submission to the Rice Creek Watershed district is required. Since this parcel is part of a parcel of land greater than 5.00 acres, it is required to submit an application to the Rice Creek Watershed District. This submission will be made no later than August 10,2000 so it can be on the August 23`d regularly scheduled meeting. Silt fence will been installed. Turf establishment such as seeding and/or sod will be placed as soon as possible when construction of the building and parking areas are completed. • • Data for Apache Animal Hospital Page Prepared by Applied Microcomputer Systems 3 Aug : 101 HydroCAD 3.20 000754 (c) 1985-1994 Applied Microcomputer Systems WATERSHED ROUTING O O 0SUBCATCHNE-11IT F-] REACH �FCMD LENK • Data for Apache Animal Hospital `Od r Page Prepared by Applied Microcomputer Systems 3 Aug 102 HydroCAD 3.20 000754 (c) 1986-1994 Applied Microcomputer Systems _ SUBCATCHMENT 1 Existing conditions to RR ditch ACRES CN .05 95 Impervious surfaces SCS TR-20 METHOD 1 .03 65 Pervious surfaces TYPE II 24-HOUR 1.08 66 RAINFALL= .5 .9 IN PEAK= 1.4 CFS @ 12.54 HRS VOLUME= .19 AF SPAN= 10-20 HRS, dt=.1 HRS Method Comment Tc (min) TR-55 SHEET FLOW L1 10.2 Grass: Dense n=.24 L=85' P2=2.8 in s=.04 TR-55 SHEET FLOW L2 40.6 Grass: Dense n=.24 L=215' P2=2.8 in s=.008 SHALLOW CONCENTRATED/UPLAND FLOW L3 4 .2 Unpaved Kv=16 .1345 L=360' s=.008 ' /' V=1.44 fps Total_ Length= 660 ft Total Tc= 55.0 SUBCATCHMENT 2 Existing conditions to 37th Ave ne A:�its CN .16 95 Impervious surfaces SCS TR-20 METHOD • 13 65 Pervious surfaces TYPE II 24-HOUR .23 82 RAINFALL= 5.9 IN PEAK= 1 .8 CFS @ 11 .90 HRS VOLUME= .08 AF SD1N= _0-20 HRS, dr-=.1 FRS TR-55 SHEET FLOW L1 1 .0 S"?1- surfaces L'i= . L=?C P2=2 . = _=.022 TP.-55 SHEET FLOW L2 3 . : Ss-;c__.. sur=ac=s r,= . _'_ ==220' 05 SiLkLLOW CONCENTRATED/UPLAND FLOW L3 Kv=20 .3232 L s= %' _' 7 -os _ 3�5 fL T:-al Tom= 5 . SUBCATCHMENT 3 Existing conditions to the east 'property .21 7 =�= �5 � =ac�� SCS ----20 MET•r.OD TYP7 __ 2'-F0U= F.°-TDj'7.1 = 5 . 9 Iii 5 C=S 12 .0; ...._ VC L,7X SPAN= d_=.1 IFFS TR-55�SHEE FLOW L1 2 Data for Apache Animal Hospital `D age Prepared by Applied Microcomputer Systems 3 Auc_ 1®3 HvdroCAD 3 .20 000754 (c) 1986-1994 Applied Microcomputer Systems SUBCATCHMENT 4 Developed conditions to ditch on RR ACRES CN .42 95 Impervious surfaces SCS TR-20 METHOD .85 65 Pervious surfaces TYPE II 24-HOUR 1.27 75 RAINFALL= 5 .9 IN PEAK 2.3 CFS @ 12 .52 HRS VOLUME= .31 AF SPAN= 10-20 HRS, dt=.1 HRS Method Comment Tc (min) TR-55 SHEET FLOW L1 10.2 Grass: Dense n=.24 L=85' P2=2 .8 in s=.04 TR-55 SHEET FLOW L2 40.6 Grass: Dense n=.24 L=215' P2=2 .8 in s=.008 SHALLOW CONCENTRATED/UPLAND FLOW. L3 4 .2 Unpaved Kv=16 .1345 L=360' s=.004 ' /' V=1.44 fps Total Length= 660 ft Total Tc= 55.0 SUBCATCHMENT 5 Developed to 37th Ave NE A=R°S C .04 95 Impervious SCS TR-20 METHOD 18 65 Pervious TYPE II 24-HOUR •, .26 74 RAINFALL= 5 .9 IN PEAK= 1 . 3 CFS 11 .5 RS VOLUME= .06 —_ SPAN= 10-20 FRS, z!t=. 1 L:RS ---�a - - - T - TR-55 SHEET FLOW L1 - - ___.. SLrfac=_S n= .011 L=80' TR-55 SHEET FLOW, L2 S... _-h surfaces n= .011 7=220 _2=2 . 3 ir. S=.0.0 SHALLOW CONCENTRATED/UPLAND FLOW L3 _�._ . Kv=20 .3282 L= 5' S= . 005 =- •=7 _-= Tc -_ 355 °= _ Su3CATCH2,1ENT 6 Developed to the east property =7 Q C`; .05 5 _�_ . �3 SCS -.---20 METHO-- TY_E T-I 2=-HCU=: VOLT TR-55 SHEET FLOW L1 _ Data for Apache Animal Hospital Page Prepared by Applied Microcomputer Systems 3 Aug l�� HydroCAD 3 .20 000754 (c) 1986-1994 Applied Microcomputer Systems SUSCATCHMENT 1 Existing conditions to RR ditch ACRES CN .05 95 Impervious surfaces SCS TR-20 METHOD 1.03 65 Pervious surfaces TYPE II 24-HOUR 1.08 66 RAINFALL= 4 .2 IN PEAK= .7 CFS Q 12.57 HRS VOLUME= .10 AF SPAN= 10-20 HRS, dt=.l HRS Method Comment Tc (min) TR-55 SHEET FLOW L1 10.2 Grass: Dense n=.24 L=85' P2=2 .8 in s=.04 TR-55 SHEET FLOW L2 40.6 Grass:. Dense n=.24 L=215' P2=2 .8 in s=.008 SHALLOW CONCENTRATED/UPLAND FLOW L3, 4 .2 Unpaved Kv=16 .1345 L=360' s=.008 ' /' V=1.44 fps Total Length= 660 ft Total Tc= 55.0 SUBCATCHMENT 2 Existing conditions to 37th Ave ne ACRES CN .16 95 Impervious surfaces SCS TR-20 METHOD 13 65 Pe-V�ous surfaces TYPE II 24-HOUR • .29 82 RAT_N=ALL= 4 .2 IN . PEAK= 1 . 1 CFS 11 .90 HRS VOL ,,E= .05 AF HRS, =.1 F=_ TR-55 SHEET FLOW L1 n 1 .0 surfaces n= . -- -°3 PL=L . _=.'JL2 TR-55 SHEET FLOW L2 3 .9 SZ-..__::.. sUria--es n= U__ L=220 C2=_ . 7 !._ _= . 00O S:L?LLOW CONCENTRATED/UPLAND FLOW L3 .7 Kv=20 . 322 -=:5' s= i=1 .57 =cs T_-a_ Le 355 f: TO=a1 Tc= SU3CATCILMENT 3 Existing conditions to the east property j _-N .21 65 SCS _..-20 ..ETHOD TYP- 77 24-HOUR RA =____ . .2 ID; PE -.= 2 CFS C� 12 .__ _ VOL_..=_ .02 A7 • =- - = - - - TR-55 SHEET FLOW L1 _ : . , /' ���prV Data for Apache Animal Hospital l VvPage ��� Prepared by Applied Microcomputer Systems 3 Aug HvdroCAD 3.20 000754 (c) 1986-1994 Applied Microcomputer Systems SUBCATCHMENT 4 Developed conditions to ditch on RR • ACRES CN .42 95 Impervious surfaces SCS TR-20 METHOD .85 65 Pervious surfaces TYPE II 24-HOUR 1.27 75 RAINFALL= 4 .2 IN PEAK= 1.3 CFS @. 12.53 HRS VOLUME= .17 AF SPAN= 10-20 HRS, dt=.1 HRS Method Comment Tc (min) TR-55 SHEET FLOW L1 10.2 Grass: Dense n=.24 L=85' P2=2.8 in s=.04 TR-55 SHEET FLOW L2 40.6 Grass: Dense n=.24 L=215' P2=2.8 in s=.008 SHALLOW CONCENTRATED/UPLAND FLOW L3 4 .2 Unpaved Kv=16 .1345 L=360' S=.003 ' /' V=1.44 fps Total Length= 660 ft Total Tc= 55 .0 SUBCATCHMENT 5 Developed to. 37th Ave NE ACRES CN .08 95 IrCe=vious SCS 'TR-20 �:ST?rOD 13 65 Pervious TYPE II 24-HOUR • 26 7? RAIN7, 4 .2 IN - PEAK= .7 C=S @ 11.91 -R-- VOLUME= .03 AF SPAN= 1t.-2t: HR-S, •d =. _ r.RS TR-55 SHEET FLOW L1 1 . TR-55 SHEET PLOW L2 _ . Smooth surfaces n= . .,_1 L=220' S=.C"�_ Sc:ALLOW CONCENTRATED/UPLAND FLOW L3 .7 Kv=20 .3232 _=;5' s=.00; ' %' =_.3, f C S -.,_a- L=- -_7P_ SU3CATCFr-'iENT 6 Developed to the east property TR-55 SHEET FLOW L1 = . �„rwo Data for Apache Animal Hospital ` Page A Prepared by Applied Microcomputer Systems 3 Au,, HydroCAD 3 .20 000754 (c) 1986-1994 Applied Microcomputer Systems ®6 SUBCATCHMENT 1 Existing conditions to RR ditch ACRES CN .05 95 Impervious surfaces SCS TR-20 METHOD 1.03 65 Pervious surfaces TYPE II 24-HOUR 1.08 66 RAINFALL= 2.8 IN PEAK= .2 CFS @ 12.64 HRS VOLUME= .03 AF SPAN= 10-20 HRS, dt=.1 HRS Methcd Comment Tc (min) TR-55 SHEET FLOW L1 10.2 Grass: Dense n=.24 L=85' P2=2.8 in s=.04 TR-55 SHEET FLOW L2 40.6 Grass: Dense n=.24 L=215' P2=2 .8 in s=.008 SHALLOW CONCENTRATED/UPLAND FLOW L3 4 .2 Unpaved Kv=16 .1345 L=350' s=.008 ' /' V=1.44 fps Total Length= 660 ft Total Tc= 55.0 SUBCATCHMENT 2 Existing conditions to 37th Ave ne RES C11i _5 95 Impe_-.icus surfaces SCS TR-20 METHOD _3 65 Psrvl pus surfaces TYPE I= 24-HOUR ® .29 82 Rnr,i?ALL= 2 .8 IN _ PEAK= .6 C:S @ 11 • ,_ :-._ V0L'�-rE= 03 ? SP _`i= 10-2.3 -RS, d--=. --, 7- TR-55 SHEET FLOW L1 _ . TR-55 SHEET FLOW L2 S=_::---- surfaces ..= . :,_1 _=22'01 =2=2 S LkLLOW CONCENTFLkTED/UPLAND FLOW L3 - .a -f Kv=20 . 3332 S=-005 _? f_•s SUBCATCHMENT 3 Existing conditions to the east property �__.a � SCS T -2J D _ 17 2 1--..J- TR-35 SHEET FLOW L1 �Th Data for Apache Animal Hospital Page Prepared by Applied Microcomputer Systems 3 Aug P Y 107 HydroCAD 3 .20 000754 (c) 1986-1994 Anolied3 .20 000754 (c) 1986-1994 Microcomputer SvstemsSvstems • SUBCATCHMENT 4 Developed conditions to ditch on RR ACRES CN .42 95 Impervious surfaces SCS TR-20 METHOD .85 65 Pervious surfaces TYPE II 24-HOUR 1.27 75 RAIN?ALL 2 .8 IN PEAK= .5 CFS @ 12 .55 .HRS VOLUME= .08 AF SPAN= 10-20 HRS, dt=.l HRS Method Corr.me- t Tc (min) TR-55 SHEET FLOW L1 10.2 Grass: Dense n=.24 L=85' P2=2.8 in s=.04 TR-55 SHEET FLOW L2 40.6 Grass: Dense n=.24 L=215' P2=2 .8 in s=.008 SHALLOW CONCENTRATED/UPLAND FLOW : L3 4 .2 Unpaved Kv=16 . 1345 L=360' s=.008 ' /' V=1.44 fps Total Lens 650 fc Total Tc= 55 .0 SUBCATCHMENT 5 Developed to 37th Ave NE �FtES CN .03 95 Impervicus SCS TR-20 METHOD 18 55 Pei L ?.c�s TY.?? T T 2S-HOUR • 25 74 �LaIN:=�LL= 2 . B T-J:^ VODLU�,!E= -.-20 HRS, 'ERS - :R-S5 SHEET FLOW L1 _ur=a::eS TR-55 SHEET FLOW L2 r,1 SH.+LLOW CONCENTRATED/UPLAND FLOW L3 . K-,7=20. 3232 ==;5' S _ - SU-2CATCHMENT 6 Developed to the east property -= CN =..-2 : METHOD =_7 = 2 Iii :R-55 SHEET FLO'K L _ - 7 - _ i fAA00I'8 D7090R CONTROL . 1. CORRICIOI 9WL CW=Tsr10I SIAM O[GALL'—N M RDIIOL DM PMM m DCA M OIpGFN Va:CrOK r01 ORIiT IOCV M OM i - WFWI AREN 131 W 101-IRQ 1-80P Z 7-IIK Z mrIRCIOR 91NL IUD AUm/M LOaro6 I ae=4RS O Dznc .. - •• IIIN6 NO MPOW PC 1EIIUU PR W TO SIAN R SRC DIOQ TK oW=M. ..�..—. SNNL SaM IK NIQ= Or AMI - - .-�••-- OOD®N46 a r o6L RCT' OAmmI 1 011RAC101 sw NS`1 NL 016901 001RR"m pw m CM3a IT OF 01.AWC 0/00106 NO WWM LIKM ALL AFW Am® oI IK 911 1AAw ioiax RwowA � i •— -�.� Cr R RWW CROOC WODI 9VLL WNW OF ALL SOL DCUMM ON TK /r '9TE 6M D07 MN OF TOVSR*E3K OR•.AIQ Kkrmx AM OR(A 0698! TOr50L NO OUNAAR FIL 9 YCATI06 DKOU 9r SAI r0Q — S. SAW."DLI'a10N 5wLL K 60*ft=WEIMMY AFM ElUX"m I 01ST W 9AKff TRSRD6 DA 10 WEI S®IDS W SW 9DP4 .0 K9RC 14'WALE WTOYL ADVENT m DISIM PAADOIT.nRE � ? OCA WQ.9w BE 59)n=RDOW TO Y00 °mi 01 THE __-•- _ 95 _- _-�95�•' _}- - L 020WOR WLL 1EMA819R%V AS SOM M=CROK 16 i 95- _ r_. _ rnmo W 6 Po W.wM Sm On sMWC.vO Snw .WjDk DW NOGI •"�.•-- -.`a 7. m61oom SMRAcal 90LL H 9AACm fM O0B01 4001 Amm TW M I SRW O FlWTI D m O AL R M m6RELmI NW. -•957-"-�` � _ _ .._._-' ,��a,: _-"--- —�+--�I I / Rum m 1ma m6TRCna DRlwa Cflu ra P6rNwul Plc®.ea ``l --- J -__ 0• - mar+r?:F�'^c-c" _• - Y.DCi itE[: F L mOWCIw 91ALL PRM(A•IOl W"WWALTSO)MP5m m ALL ------ l �_- _ - ;< " - , Om CA�/ ARM m BE S000m CA S�rLL --, i A'/ _ C_-_ 95 QD� - - /•� _____, I`(5'M L CWRlC=9WL K RC"G=mR N5-DVWw W'U"A OWRL f ISe•"- -' __ _.- c \ 1a ALL D=KUUVL.OnW*A RWAO1C mono DDa ANT• AWWO VROP RDa NO OnO"IA81 UMW 9w GECOK ME OI .• _ A S6 —— — �<,. l D� _ a NEW BLDG. PKKW s DC COOW=AAC 9PLL K Dgo=O m nK rr �� % — — __•.b '//(-'u/ a i?:dl YT;H��E�� FFC=955�f I q F A 11. A T 91[ 11. Imm m sn<PLY,FOR 1Rn a]emrt rnvtmRAl mm6oa AIO ffi 'w. eox �1`�.O b�` ,`-- �5'I- _f.•'� / IL 1995 iO unn+wN rm1 S�NTAR,WAS Wa VA1117 9I SERVE 1E f/, 5Y1 (r, /o ,'.-E` A,,-j-• C°1.1/'f r ———' ulart.,ro alwm6 Na asSPC Nm sTN,cnoB SomRC 1� •�� _ ,- - +V ;-, `� - Z56• 11 ALL sot DSVAI1106 AE m Tv Or PAW"OR WM 1➢L LKEZ ��•���:a�-eY�e.F �I��n.-d v-tea - _ __ .•ia m � vc NOT FOR CONSTRUCTION o SCALE: 1' = 30' O.Osie� 1r 50' b• .r IRV �Gii row N.� tLrt Ary TISOn OA'R nao®a+e oI e.. I`^T r r r� PRECSMINARY Un Nlu.ra. ou.N en urt MRS MIVSL[AP®m.RNO 4�PEI.rIl° r w i'r r�r °''r~ GRADING. DRAINAGE R EROSION CONTROL PUN By B/Ol/00 NRrtLL AARnm ARP..ILA IU Y APACHE ANIMAL n'rt'°OA''4 atom^` aitT. 0°AR RA""°'0 '_Ae.rra HOSPITAL ADDITION C 1 . ma�1m I.v YI-YP-PYI ti]tL..4 O5CiR0 T: ST.AHTHCNT,MINNESOTA 10]20 C7 /� DOSIM•CTSI nV4 NMI PA H E P L 1. C6Ai!b/GMI YO Id LIMN. EI i PILLSgDRY ADDi _ — — — aIm� Wo� _ ._. w.lCE &NE Swi/4 SEC.31, i.30,R.23 •-^��-.J.--.-_-• "E �' _ PURCHASE PARCEL 9E , I _ PURCHASED FRONT RAILROAD _ ' NOT 70 BE INCLUDED 94 PLATTING _ - - _I---------_`�—--� -- - - 96'53--- - / ET:L'TRa ri CP,o59NG 61.71 T. at PROPOSED T ''+E� 's- ���S�ZJ� 0 & s ' c -• 7P A fib ^f7 // ✓/ �' aRE ! -TEL_ BOx _ z_ ,P{� 7� /. 7 / Q _ GREEN AREAQDo r`� __ � -�iV �1 L!� I \ lift ;� � � `1 - iS6•�- _. ------------ --=-- ----�-- _ 7 ' ass-'� v..qo � - SAN. N.H. SAN.N.H. SAN. M.H. C.B. SAN. N.H. - RII4=957.1 -RIM-955.5 RIM=955.4 5 STORM M.H. - RIM-952.9 RIM-951.11 - 9 RIM=957.1 - ar✓.o+s �•L/t ���.:�. /•03..� ��+. 0./3�� � CXiS�in� ��ceiij6t9e . LE-=.L DESCRIPTIDr,; Areas GENEP=.L NOTES 2. NOT FOR CONSTRUCTION _ a:.:• ._. _ _.__ _. - -_ 2'A- --,2. - SCALE: 1" _ 30' M o.rt n w avaa. rn¢e,awmm.o e.rT.....w.. EMSTING CONDITIONS ANO S/02/00 W,�T vlo> n 5.r f.. TOPOGRAPHICAL BOUNOMiT SURVEY a.me.ur.�mOm APACHE ANIMAL °L Mljcll 2 HOSPITAL ADDITION Si.ANTHONY.MINNESOTA 10]]0 AR/OS/CN PURCHASE AND SALE AGREEMENT Canadian Pacific Railway P.O. Box 530 Minneapolis, Minnesota 55440 Attn: Director, Real Estate Marketing, U.S. 1. BUYER AND SELLER: The undersigned (Buyer) offers to purchase certain Property(as defined in paragraph 3) at St. Anthony, Ramsey County, Minnesota from Soo Line Railroad Company, doing business as Canadian Pacific Railway (Seller). 2. ACCEPTANCE: This offer shall be void if not accepted by Seller within 90 days of its date. The accepted offer is sometimes referred to as "this agreement." 3. PROPERTY: The Property consists of the land shown in approximation on Exhibit A (the Land) and the improvements thereon (the Improvements) (collectively, the Property); provided, however, that the Improvements do not include those.improvements • which are excluded from the purchase by other provisions.of this offer. The legal description of the Land will be generated from the survey described in paragraph 14. 4. DEED: RESERVATIONS AND COVENANTS: BILL OF SALE: The Property will be conveyed at the closing by quit claim deed. Upon written notice from Buyer requesting same, given at least 10 days in advance of the closing, Seller will deliver at the closing a quit claim bill of sale for any personal property included in the purchase. The following reservations and covenants will be included in the deed (in these reservations and covenants, Seller is referred to as Grantor, Buyer is referred to as Grantee, and the Property is referred to as the real property): As.used in this paragraph, "Appurtenant Parcel' means real estate or real estate interests which are: (a) owned by Grantor as of the date hereof.and (b) located . adjacent to (though not necessarily contiguous to) the above-described real property. Grantor reserves unto itself, and its successors and assigns, a permanent, non-exclusive easement in,over, under,and upon the above-described real property for the continued use, access to, maintenance, and renewal of such existing public and private utilities as are needed to serve the Appurtenant Parcel, including, but not limited to, sewers, drains, water mains, conduits, steam lines, compressed air lines, pneumatic lines, gas lines, oil or gasoline pipelines, wires, • FORM 900.1/97.STD.00180-01.otp OFFER TO PURCHASE RAMSEY COUNTY.MN -1- cagmAdian 1-agiflo Awallway 111 cables, electric lines, signal and communication lines, and telephone or telegraph lines (and other data transmission lines). Said easement shall be appurtenant to, and for the benefit of, the Appurtenant Parcel. 5. [not applicable] - 6. [not applicable] 7. PURCHASE PRICE: The purchase price of the Property is $139,656.00, net to Seller, except for commissions, if any, set forth in section 22. 8. CLOSING: Except as otherwise provided in paragraph 9, this transaction shall close at a mutually agreeable time and place no later than 90 days after Seller's acceptance of this offer. 9. GOVERNMENTAL APPROVAL: If Seller is required to obtain governmental approval or exemption in lieu thereof(collectively, Authorization) in order to consummate this transaction,this agreement shall be contingent upon the granting of Authorization, and Buyer will cooperate with Seller to obtain Authorization. If Authorization is not obtained within 180 days after Seller's acceptance of this offer (the Contingency Period), this agreement shall automatically. terminate at the end of the Contingency Period. If • Authorization is not obtained prior to the expiration of the time period specified in paragraph 8, the date for closing shall be delayed to a date no later than 15 days after Authorization is obtained; however, under no circumstances shall the closing be delayed to a date later than 180 days after Seller's acceptance of this offer. If this agreement terminates pursuant to this paragraph, Seller shall refund the Deposit, without interest. 10. ESCROW: Should the parties agree to close in escrow, Buyer will pay all fees and charges in connection with the escrow. 11. DEPOSIT:PAYMENT OF PURCHASE PRICE: Buyer encloses$14,000.00(the Deposit) in the form of a certified check or cashier's check payable to Seller. Seller shall refund the Deposit, without interest, if this offer is not timely accepted by Seller; otherwise, the Deposit shall be applied to the purchase price. The balance of the purchase price shall. be paid to Seller at the.closing by a certified or cashier's check payable to Seller. 12. ENCUMBRANCES: The Property will be conveyed subject to facts which would be disclosed by a comprehensive survey, rights and claims of parties in possession, rights of the, public, and easements, leases, licenses, and permits. Buyer may object to the marketability of Seller's title on the basis of such matters. • FORM 900.1/97.STD.00180-0i.otp OFFER TO PURCHASE RAMSEY COUNTY.MN -2- pagifle. Railway 112 • 13. JUDGMENT LIENS: Any judgment against Seller which may appear of record as a lien against the Property shall be settled and satisfied by Seller within 30 days after it becomes final and unappealable, and Seller shall indemnify Buyer, and Buyer's title insurer, for any loss sustained by either of them as a result of Seller's failure to have any such judgment lien. so settled and satisfied. Buyer may object to the marketability of Seller's title on the basis of such matters. 14. SURVEY: Buyer shall, at its expense, have a survey of the Land prepared by a surveyor registered in the State in which the Land is located. If the Land is registered (i.e., Torrens) land, or if a certified survey is required by law, the survey shall be duly certified. The survey shall show the location of all known easements and improvements, including (but not limited to) all railroad tracks. The survey shall also show the location of all Seller's railroad tracks within 50 feet of the outer boundaries of the Land. If the purchase price requires a certification as to square footage, the same shall be certified by the surveyor. The survey shall be subject to Seller's approval, which approval shall not be unreasonably withheld. Buyer shall deliver the survey to Seller no later than 45 days after Seller's acceptance of this offer. Seller shall have 10 days in which to disapprove the survey by giving notice to Buyer of the matters which render the survey unacceptable. If Seller fails to give such notice, the survey shall be deemed approved. If Seller gives such notice, Buyer shall make a good faith attempt to remedy such matters and shall, within 10 days of Seller's notice,deliver a revised survey to Seller. Seller shall have 10 days in which to disapprove the revised survey by giving Buyer notice of the matters which render it • unacceptable. If Seller fails to give such notice, the survey shall be deemed approved. If Seller gives such notice, this agreement shall thereupon terminate unless Seller, at its option, shall agree in writing to permit Buyer to make additional revisions to the survey. If this agreement is terminated pursuant to this paragraph, Seller shall refund the Deposit without interest; provided, however, that Seller may retain the Deposit, as liquidated damages, in the event such termination results from Buyer's bad faith failure to comply with the spirit and intent of this paragraph. 15. SUBDIVISION PLATS: Buyer will be responsible for preparing, at its expense, any survey or plat required by any governmental authority (including any survey or plat of Seller's property contiguous to the Land, where such survey or plat is required in connection with or as a consequence of, Buyer's purchase of the Land).The survey or plat shall not be filed or recorded until Seller has approved it. 16. RIGHT OF ENTRY: During the first 45 days after Seller's acceptance of this offer,,Buyer (and its employees, agents, and contractors) may enter the Property and, to the extent necessary to effectuate the purposes of this paragraph, Seller's land in the vicinity of the Property (such land and the Property being referred to, collectively, as the Site), for the purpose of conducting soil tests, environmental tests, and a survey, subject • FORM 900.1/97.STD.00180-01.otp OFFER TO PURCHASE RAMSEY COUNTY.MN -3- 113 to the following conditions: (a) Buyer shall give Seller reasonable advance notice of the date and time of each entry and the nature of the activities to be conducted on the Site at each such dateand time. (b) Seller may elect to be present during the conduct of such activities and to monitor same. Such monitoring shall not relieve Buyer of any liability under this paragraph 16. (c) Prior to entering the Site, Buyer shall secure the permission of any tenant then in possession of same. (d) Upon the completion of its activities on the Site, Buyer shall remove any debris resulting from such activities and shall restore the Site to the condition it was in prior to the commencement of such activities. (e) Buyer shall indemnify, hold harmless and defend the Indemnitees (as defined below)'from and against all Claims arising out of, resulting from or relating to any loss of(or damage to) any property or business or any injury to (or death of) any person, where such loss, damage, injury, or death actually or allegedly arises (whether directly or indirectly, wholly or in part) from: (a) any action. or omission of Buyer (or its employees, agents, or contractors) while on the Site pursuant to this paragraph 16; or (b) the exercise by Buyer (or its employees, agents, or contractors) of the permission granted by this paragraph 16;or(c)the release of any Hazardous Substance(as defined in paragraph 29)resulting (directly or indirectly,wholly or in part)from any action or omission of Buyer(or its employees, agents, or contractors) while on the Site pursuant to this paragraph 16. Indemnitees means Seller, its subsidiaries, affiliated companies and parent companies, and their directors, officers, employees and agents, including without limitation Soo Line Corporation, Tri-State Land Company, Tri-State Management Company, The Milwaukee Motor Transportation Company, Hiawatha Transfer Company, and Canadian Pacific Railway.Company. (f) Buyer (and its employees, agents, and contractors) shall comply with all applicable laws while on the Site. (g) Buyer will not commence any environmental testing until its work plan for such testing has been approved in writing by Seller, which approval shall not be unreasonably withheld, conditioned or delayed. Buyer will provide Seller • FORM 900.1/97.STD.00180-01.otp OFFER TO PURCHASE RAMSEY COUNTY.MN -4- 114 with complete copies of the test data and test reports as soon as they are available to Buyer. (h) The cost of any test or survey will be borne solely by Buyer. (i) Test holes shall be located no closer than 10 feet from the nearest rail of any railroad track located on or adjacent to the Site. Drilling equipment and related equipment shall not be placed closer than 10 feet from the nearest rail of any such track. (j) While on the Site, Buyer (and its employees, agents, and contractors)shall comply with Seller's safety rules, including any requirement regarding the use of flagmen. All costs associated with compliance with such rules shall be borne by Buyer. If Seller shall incur any costs in connection therewith, Buyer shall reimburse Seller within 30 days after`receipt of Seller's invoice. (k) Unless disclosure is required by court order or applicable law, Buyer shall maintain,and shall cause its employees,agents,and contractorsto maintain, the confidentiality of all information pertaining to any environmental test performed on the Site. • (1) If any mechanic's or materialmen's lien, or similar lien, is asserted against the Site, the Property, or any other property of Seller or the Indemnitees as a result of the exercise of the permission granted in this paragraph 16, Buyer shall immediately satisfy and/or obtain the release of such lien, all at Buyer's expense, and Buyer shall indemnify, hold harmless and defend the indemnitees from and against all Claims arising out of or connected with such lien. 17. TITLE MATTERS: Seller makes no warranty or representation with respect to the marketability or quality.of its title and is not under any obligation to furnish abstracts of title, title reports, or title insurance policies in respect of the Property. Buyer shall have 45 days after.Seller's acceptance of this offer in which to raise objections to the marketability of Seller's title. If Buyer objects to Seller's title, it must give Seller notice within such 45-day period, specifying the precise nature of the alleged title defects. The notice must be accompanied by evidence of the alleged defects, in the form of a copy of an abstract of title or a title company's title commitment. If Buyer fails to give proper or timely notice, it shall be deemed to have waived its right to object (except that defects which arise subsequent to the 45-day period shall not be deemed waived unless'Buyer fails to give Seller notice of same promptly after it learns, or in the exercise of reasonable diligence should have learned, of them); furthermore, even if Buyer gives proper and timely notice, it shall be FORM 900.1/97.STD.00180-01.otp OFFER TO PURCHASE RAMSEY COUNTY.MN -5- 115 deemed to have waived its right to object on the basis of then-existing defects not specified in the notice. Seller shall have 45 days or until the closing, whichever is less (the Cure Period), in which it may, if it so chooses, attempt to cure any defect specified in a timely and otherwise proper notice. Seller has no obligation or responsibility whatsoever to cure (or attempt to cure) any title defect. If Seller shall undertake to cure or attempt to cure any title defect, it may withdraw from such undertaking at any time without penalty; such undertaking shall not create, nor shall it under any circumstance be construed to create, any obligation whatsoever on the part of Seller to cure any such defect. If Seller is unable or unwilling to cure any specified defect, Buyer may terminate this agreement by giving Seller notice of termination at any time prior to the actual delivery and acceptance of the deed, which notice shall state that this agreement is being terminated by reason of Seller's failure to cure title defects. If Buyer gives proper and timely notice of termination, Seller shall refund the Deposit, without interest, and shall reimburse Buyer for the actual amount paid by Buyer for the abstract of title or title commitment, provided that the abstract or commitment is delivered and assigned to Seller. By accepting delivery of the quit claim deed, Buyer shall be deemed to waive any and all uncured title defects. 18. REAL ESTATE TAXES: The total real estate tax bill payable in the year in which the date of closing occurs will be prorated on a per diem basis as of the closing, using the most recent tax bill; such proration shall be final and binding on Seller and Buyer and there shall be no post-closing adjustment. There will be no proration to the extent the • payment of such taxes has been assumed by a lessee under a lease that will be assigned to Buyer or merged into the purchase. 19. TRANSFER TAXES AND FEES: Buyer will purchase, affix, and cancel any and all documentary stamps in the amount prescribed by statute, and will pay any and all transfer taxes, excise taxes, sales taxes, use taxes, and fees incidental to the transfer of the Property or the recordation or filing of the deed. 20. SPECIAL ASSESSMENTS: Buyer will assume responsibility for paying any special assessment (or installment thereof)where the due date for payment is on or after the date of this offer, irrespective of the date of the improvement. 21. NOTICES: Notices permitted or required by thisagreement must be in writing and shall be deemed given when delivered in legible form to the business address of the party to whom addressed. If delivered at the closing, a notice shall be deemed given when hand-delivered to the party's representative at the closing. The business addresses of the parties are as follows: • FORM 900.1/97.STD.00180-01.0tP OFFER TO PURCHASE RAMSEY COUNTY.MN -6- 116 Seller-- mailing address: P.O. Box 530 Minneapolis, MN 55440 Director, Real Estate Marketing, U.S.. . delivery address: 501 Marquette Avenue Suite 804 Minneapolis, MN 55402 Director, Real Estate Marketing, U.S. telecopier: (612) 347-8170 Director, Real Estate Marketing, U.S. Buyer -- mailing address: Attn: • delivery address: Attn: Telecopier: Attn: Notices not given in the manner or within the time limits set forth in this agreement are of. no effect and may be disregarded by the party to whom they are directed. 22. REAL ESTATE BROKERS: If any real estate broker or agent can establish a valid claim for commission or other compensation in connection with this transaction, Seller • FORM 900.1/97.STD.00180-01.otp OFFER TO PURCHASE RAMSEY COUNTY.MN -7- 117 • shall be responsible for such commission or other compensation up to ten percent of the sales price. Any commission or compensation in excess of ten percent shall be paid by Buyer. 23: . LEASES: At and as of.the closing, Seller will assign to Buyer Seller's rights, and Buyer will assume Seller's obligations, under any lease which: (a) was granted by Seller (or its predecessors in interest) as lessor, (b) is known to Seller, and (c) includes or burdens any portion of the Property; provided, that if Buyer is the lessee under such a lease, that lease shall merge into the purchase as of the closing.And further provided, that if a lease includes property other than the Property, the assignment and assumption (or merger) shall be limited to the leasehold interest in the Property. The assignment and assumption contemplated by this paragraph shall be limited to rights and obligations accruing as of and after the closing. Prepaid rentals shall be prorated on a per diem basis at and as of the.closing. In the event of a partial assignment or merger, rentals in respect of the period from and after the closing shall be adjusted between Seller and Buyer on the basis of the square footage of the land area of their respective interests in the leased premises; provided, however, that where the rental was established on a basis other than square footage, the adjustment shall be determined using such other basis. Seller will provide a copy of each such lease to,Buyer within 30 days after Seller accepts this offer. At the closing, the parties will execute an assignment and, assumption agreement incorporating the terms, of this paragraph and identifying such lease or leases. • Notwithstanding the foregoing, Seller.reserves to itself 100% of the gross revenues attributable to any fiber optic agreement of whatever nature, including gross revenues in respect of any renewal term or extended term contemplated by said agreement. 24. EASEMENTS, LICENSES,AND PERMITS: At and as of the closing, Seller will assign to Buyer Seller's rights, and Buyer will assume Seller's obligations, under existing easements, licenses, and permits (collectively, instruments) which: (a) were granted by Seller (or its predecessors in interest), (b) are known to Seller, and (c) include or burden any portion of the Property. There shall be no proration of prepaid rentals, prepaid fees, or other prepaid charges in respect of any such instrument. If such an instrument pertains in part to property other than the Property,the assignment and assumption shall be limited to the interest the instrument .creates in the Property. In the event of such partial assignment, the rentals, fees, and other charges which come due after the closing shall be allocated between Seller and Buyer on the basis of the square footage of the land area of their respective interests in the,property affected by the instrument; provided, however, that where the rental, fee, or other charge was established on a basis other than square footage, the adjustment shall be determined using such other basis. The assignment,and. assumption contemplated by this paragraph shall be limited 'to rights and obligations accruing as of and after the closing. Seller will provide a copy of each such instrument to Buyer within 30 days after Seller accepts this offer. At the closing, the parties will execute • FORM 900.1/97.STD.00180-01.otp OFFER TO PURCHASE RAMSEY COUNTY.MN -8- 118 • an assignment and assumption agreement incorporating the terms of this paragraph and identifying such instrument or instruments. Notwithstanding the foregoing, Seller reserves to itself 100% of the gross revenues attributable to any fiber optic agreement of whatever nature, including gross revenues in respect of any renewal term or extended term contemplated by said agreement. 25. AS IS; ALL FAULTS; NO REPRESENTATION BY SELLER: Buyer agrees to accept the condition of the Property, including specifically without limitation, the environmental and geological condition of the Property, in an "AS-IS" and with "ALL FAULTS" condition. Buyer's acceptance of title to the Property shall represent Buyer's acknowledgment and agreement that: (i) Seller has not made any written or oral representation or warranty of any kind with respect to the Property (including without limitation express or implied warranties of title, merchantability, or fitness for a particular purpose); (ii) Buyer has not relied on any written or oral representation or warranty made by Seller, its agents or employees with respect to the condition or value of the Property; (iii) Buyer has had an adequate opportunity to inspect the condition of the Property, including without limitation any environmental testing, and to inspect documents applicable thereto, and Buyer is relying solely on such inspection and testing; and (iv) the condition of the Property is fit for Buyer's intended use. Buyer agrees to accept all risk of Claims (including without limitation all Claims under any Environmental Law and all Claims arising at common law, in equity or under a federal, state or .local statute, rule or regulation) whether past, present or,future, existing or contingent, known.or unknown, arising out of, resulting from or relating to the condition of the Property, known or unknown, contemplated or uncontemplated, suspected or unsuspected, including without limitation the presence of any Hazardous Substance on the Property, whether such Hazardous Substance is located on or under the Property, or has migrated from or to the Property. 26. RELEASE: Buyer, for itself, its directors, officers, stockholders, divisions, agents, affiliates, subsidiaries, predecessors, successors, and assigns and anyone acting on its behalf or their behalf hereby fully releases and forever discharges Seller from any and all Claims(including without limitation all Claims arising under any Environmental Law and all Claims arising at common law, in equity or under a federal, state or local statute, rule or regulation), past, present and future, known and unknown, existing and contingent, arising out of, resulting from, or relating to the condition of the Property, and Buyer hereby waives any and all causes of action (including without limitation any right-of contribution) Buyer had, has or may have against Seller and its respective directors, officers, stockholders, divisions, agents, affiliates, subsidiaries, predecessors, successors and assigns, grantors or anyone acting on its behalf or their behalf with respect to the condition of the Property, whether arising at common law, in equity or under a federal, state or local statute, rule or regulation. The foregoing shall apply to any condition of the Property, known or unknown,contemplated or uncontemplated,suspected or unsuspected, including • FORM 900.1/97.STD.00180-01.otp OFFER TO PURCHASE RAMSEY COUNTY.MN -9- 119 • without limitation the presence of any Hazardous Substance on the Property,whether such Hazardous Substance is located on or under the Property, or has migrated from or to the Property. 27. INDEMNITY: Buyer agrees to indemnify, hold harmless and defend Seller and its respective directors, officers, stockholders, divisions, agents, affiliates, subsidiaries, predecessors, successors and assigns, grantors or anyone acting on its behalf or their behalf for, from and against any and all Claims (including without limitation all Claims arising under any Environmental Law and all Claims arising at common law, in equity or under a federal, state or local statute, rule or regulation) past, present and future, existing and contingent, known and unknown arising out of, resulting from, or relating to the condition of the Property. The foregoing shall apply to any condition of the Property, known or unknown,contemplated or uncontemplated,suspected or unsuspected,including without limitation the presence of any Hazardous Substance on the Property,whether such Hazardous Substance is located on or under the Property, or has migrated from or to the Property, regardless of whether the foregoing condition of the Property was caused in whole or in part by the Seller's actions or inactions. 28. ENVIRONMENTAL: PARTIES' RIGHT TO TERMINATE: Either party may terminate this agreement at any time prior to the delivery of the deed if it determines, in the exercise of its discretion, that circumstances related to Hazardous Substances render the • sale inadvisable.ln the event of such termination, Seller will refund the Deposit, without interest. The closing of the sale, if it occurs, is not, and shall not be construed as, an actual'or implied representation or warranty by Seller as to the condition of the Property or the absence of Hazardous Substances. 29. DEFINITIONS: "Claim" or "Claims" means any and all liabilities, suits, claims, counterclaims, causes of action, demands, penalties, debts, obligations, promises, acts, fines, judgments, damages, consequential damages, losses, costs, and expenses of every kind (including without limitation any attorney's fees, consultant's fees, costs, remedial action costs, cleanup costs and expenses which may be related to any claims). "Environmental Law" means the ' Comprehensive Environmental Response, Compensation and Liability Act ("CERCLA"), 42 U.S.C. § 9601 et seq., the Resource Conservation and Recovery Act, 42 U.S.C. § 6901 et seq., the Federal Water Pollution Control Act, 33 U.S.C. § 1251 et seq., the Clean Water Act, 33 U.S.C. § 1321 et seq., the Clean Air Act, 42 U.S.C. § 7401 et seq., the Toxic Substances Control Act, 15 U.S.C. § 2601 et seq., all as amended from time to time, and any other federal, state, local or other governmental statute, regulation, rule, law or ordinance dealing with the protection of • FORM 900.1/97.STD.00180-01.otp OFFER TO PURCHASE RAMSEY COUNTY.MN -10- Pa+F,ftA4#-;R#1 P-801f - W#Way 12® • human health, safety, natural resources or the environment now existing or hereafter enacted. "Hazardous Substance"or"Hazardous Substances"means any pollutant,contaminant, . hazardous substance.or waste, solid waste; petroleum product; distillate, or fraction, radioactive material, chemical known to cause cancer or reproductive toxicity, polychlorinated biphenyl or any other chemical, substance or material listed or identified in or regulated by any Environmental Law. 30. LITIGATION EXPENSES: In any action brought in connection with this agreement,the prevailing party shall be entitled to recover its litigation expenses, including, but not limited to, court costs, disbursements, witness fees, experts' fees, and attorneys' fees. 31. TIME OF THE ESSENCE: Time is of the essence of this agreement. 32. LIQUIDATED DAMAGES AND SPECIFIC PERFORMANCE: If Buyer fails to perform any of the terms or conditions of this agreement within the specified time limits, Seller may, at Seller's option, declare this agreement terminated and retain the Deposit as agreed liquidated damages, or have this agreement specifically enforced. Likewise, if Seller fails to perform any of the.terms or conditions of this agreement within the specified • time limits, Buyer may declare this agreement terminated . (in which event.Seller shall refund the Deposit, without interest), or Buyer may have this agreement specifically enforced. The rights and remedies granted to the parties in this paragraph are intended to be cumulative to all other rights and remedies available to the parties (whether under this agreement, at law, in equity or otherwise); accordingly, the exercise by either party of any such right or remedy shall not preclude it from exercising any other such right or remedy. 33. COMPUTATION OF TIME: For the purpose of computing the time periods specified in this agreement, Saturdays, Sundays and legal holidays shall be counted. However, where the last day for performing any act falls on a Saturday, Sunday, or legal holiday, that act may be performed on the next succeeding day which is not a Saturday, Sunday, or legal holiday. 34. ENTIRE AGREEMENT: This agreement constitutes the entire agreement between the parties with respect to the sale and purchase of the Property. Buyer has not relied on any statements or representations by Seller except as are set forth in this agreement. 35. NON-ASSIGNABILITY: Buyer shall not in any manner assign or transfer its rights under this agreement, voluntarily or involuntarily, by operation of law or otherwise, • FORM 900.1/97.STD.00180-01.otp OFFER TO PURCHASE RAMSEY COUNTY.MN -11- 121 • without the advance written consent of Seller. Any attempted or purported assignment or transfer by Buyer without such consent shall be void. Subject thereto,this agreement shall inure to the benefit of, and be binding upon the heirs, executors, administrators, successors and assigns of the respective parties. 36. SURVIVAL OF TERMS AND CONDITIONS: The terms and conditions of this agreement shall survive and be in full force and effect after the delivery of the deed, and shall not be deemed to have merged therein. 37. SURVIVAL OF INDEMNIFICATION, LITIGATION EXPENSE AND CONFIDENTIALITY PROVISIONS: The indemnification, litigation expense, and confidentiality provisions of this agreement shall survive its termination. . . 38. APPLICABLE LAW: This agreement shall be governed by, and construed in accordance with, the laws of the State in which the Land is located. 39,. SEVERABILITY: Each provision, paragraph, sentence, clause, phrase, and word of this agreement shall apply to the extent permitted by applicable law and is intended to be severable. If any provision, paragraph, sentence, clause, phrase or word of this agreement is illegal or invalid for any reason whatsoever, such illegality or invalidity shall not affect the legality or validity of the remainder of the agreement. 40. RAIL SERVICE: NO OBLIGATION: Nothing 9 in this agreement is intended to create, nor shall it be construed to create, any express or implied obligation on the part of Seller to provide (or continue to provide) rail service to Buyer and/or the Property. Nothing in this agreement is intended to prevent or limit, nor shall it be construed to prevent or limit, the discontinuance, by Seller, of rail service over any railroad line or trackage by which rail service is or may be provided to Buyer and/or the Property. 41. WELL AND SEWAGE TREATMENT SYSTEM DISCLOSURES: Seller certifies that to the best of Seller's knowledge there are no wells on the Property. Seller states that to the best of Seller's knowledge there is no individual sewage treatment system, as defined in Chapter 115.55 of the Minnesota Statutes, on or serving the Property. 42. [not applicable] 43. HEADINGS: The paragraph headings used in this agreement are used solely for the purpose of convenience. They are not intended to, and do not, modify or limit the wording of the paragraphs to which they are appended, and they shall not be used or construed as guides to the interpretation of said paragraphs. • FORM 900.1/97.STD.00180-01.otp OFFER TO PURCHASE RAMSEY COUNTY.MN -12- 122 • 44. OFFER DATE: This offer is dated 20 . OFFER: ACCEPTANCE: A grhp Animal M d i ri ne _ PA SOO LINE RAILROAD COMPANY (Buyer's name as it should appear in deed) _ By BY Tprry R na ! Director Real Estate Marketing, U.S. Its President Date: Type of company, e.g., corporation, partnership: Corporation State of incorporation or formation: Minnesota Not Assignable Without Consent FORM 900.1/97.STD.00180-01.otp OFFER TO PURCHASE RAMSEY COUNTY.MN -13- 123 CITY OF ST. ANTHONY ORDINANCE 2000-009 AN ORDINANCE RELATING TO REZONING The City Council of the City of St. Anthony hereby ordains: Section 1. Section 1610.02 Zoning Map shall be changed as follows: Part of the Soo Line Railroad right-of-way, 67 feet in width, adjoining Lot 1; Block 1, Apache Terrace 2nd Addition; and all of Lot 1, Block 1, Apache Terrace 2"d Addition, Ramsey County Minnesota. shall be indicated as "C" Commercial property. Section 2. This ordinance shall become effective at such time as all of the property is towned by Apache Animal Medicine, P.A. and at such time as the final plat regarding the Apache Terrace has been approved and recorded. Council Reading and Adoption: August 22, 2000 Mayor ATTEST: City Clerk Publish: St. Anthony Bulletin 124 CITY OF ST. ANTHONY RESOLUTION 00-074 . A RESOLUTION RELATING TO A REQUEST FOR REZONING FOR 2501 - 37TH AVENUE NE WHEREAS, a public hearing was held by the Planning Commission to consider a request for an amendment to the zoning ordinance for 2501 - 37' Avenue NE from Apache Animal Medicine; and WHEREAS, following due consideration, the Planning Commission recommended Council approval of said request. NOW, THEREFORE, BE IT RESOLVED, that in agreement with the findings of the Planning Commission at their August 15, 2000 meeting, the City Council of the City of St. Anthony hereby approves the request for rezoning for 2501- 37`h Avenue NE, Apache Animal Medicine to rezone that parcel and an unzoned railroad parcel, all to a C district. Adopted this day of , 2000. Mayor ATTEST: City Clerk Reviewed by Administration: City Manager • MEMORANDUM 125 DATE: 7/27100 SPECIAL MEETING DATE: 8/1/00 TO: Planning Commission FROM: Assistant City Manager Isom RE: Public Hearing. Planning Co mission to reconsider Hillcrest Development's preliminary plan and to consider their final plan to include rezoning of the Apache Plaza from "C" district to PUD designation. On June 20, 2000 the Planning Commission reviewed and approved Hillcrest Development's preliminary development plan for the Apache Plaza. The City Council, on June 27, heard the preliminary development plan and referred said plan back to the Planning Commission for reconsideration due mainly to the identified list of uses identified in said plan. Since June 27, the development review committee has met with Hillcrest, on two occasions, and has substantially resolved the issues expressed by Council. The Planning Commission, at the recommendation of the Development Review Committee will tonight hear a revised and more comprehensive preliminary development plan. Said revision will also serve as Hillcrest's final development plan, to include a rezoning of the Apache Plaza from "C" district to PUD designation. Therefore, the Planning Commission will hear and vote on a single plan serving as both the preliminary and final,development plans for the Apache Plaza. • Sta,; Recommendation: Staff recommends the Commission make a motion to approve Hillcrest's preliminary and'final development plan for the Apache Plaza, to include a rezoning from "C" district to PUD designation. Cc: City Clerk Kroeplin e AUG-11-00 FR I 12: 11 PM S I EGEL BRILL GREUPNER FAX N0. 6123396591 P, 126 1 I LAW OFFICES • SIEGEL, BRILL, GREUPNER, DUFFY & FOSTER, P.A. IryOQ WASHINGTON SQUARE IOO WASHINGTON AVENUE SOUTH MICHELLE R.KLEGON JOSIAN E. BRILL.JR. YAROSH JAMES R.GREUProER JAMES A. MINNEAPOLIS, MINNESOTA 55401 STEVEN WEINTRA INTRAUT GERALD S. DUFFY WOOD R•FOSTER,JR-. TELEPHONE (6191 339.7131 ROBERT F.RODE. fSRENNA U. NELSON TN OMAA M. GOODMAN JO>iN S:'WAT60N FACSIMILE (6121 9jG�-6$91 • . . wM.C"RISTOPHER PrNWELL SUSAN M.VOIGT ANTHONY J. GLEEKEL -62$CAST WELLS 57RCL'7,SUITE 250 JOEL H.JENZEN SHERRI L. ROHLF Wrimes GMa11Addresx. TpnyC,(cckc]Caybgdfcom MILWAUKEE.WISCONSIN 3J�62-5815 l4 I Al 2 c 7=ati6r; JORDAN M.LEWIS' FAX(614)Q766255 BRIAN E.WEISBERG August 11,2000 Mr. Spencer Isom VIA FACSIMILE 612-781-9323 Assistant City Manager Saint Anthony Village 3301 Silver Lake Road St.Anthony,MN 55418-1699 Re: "Hillcrest Development,a Minnesota,limited partnership("Hillerest") Petition for Planned Unit .Development.for Property known as Apachc Plaza,, legally • .described as Lots 6 and 7, Block 1, Silver Lake Center, and Lot 5, Block 1, Apache Plaza, Ramsey County,Minnesota("Property„) Our File No. 21,256-AG-003 Dear Spencer: Enclosed please find the following documents: 1. Revised Exhibit A. The only change is that "Minimum Plan" was changed to "Fallback Plan" in the second to the last line of the first paragraph in the Interim Uses section. 2. Replacement page No. 5 for Exhibit B (Supplement to PUD Application) to the Preliminary and Final Development Plan. The replacement page clarifies that there shall be no outdoor storage. Please replace the existing page 5 with the enclosed replacement page in the July 27, 2000 version of the Preliminay and Final Development Plan. It is my understanding that if approved, this version of the Preliminary and Final Development Plan will be attached to the PUD Agreement, a draft of which I received Wednesday from Bill Soth. 3. The timetable to be attached to the PUD Agreement and Redevelopment Agreement. I will provide Bill Soth with my comments to the PUD Agreement either today or Monday morning. Both Bill and 1 believe that the PUD Agreement will be in final form on or before • Tuesday,the deadline thtLt Mike Mornson provided. AUG-11-00 FRI 12: 12 PM SIEGEL BRILL GREUPNER FAX N0. 6123396591 P. 127 • Mr. Spencer Isom August 11,2000 Page 2 Jim Casserly is working with Jerry Gilligan on the Redevelopment Agreement. If you have any immediate'questions,please contact me. Very truly yours, Anthony J. Gleekel AJG:* Enclosures cc: Bill Soth(w/ene.via fax) Mike Mornson(w/o erne.via fax) Scott Tankenoff(w/enc.'via fax) • • Duly' 27, 2000 128 Preliminary and F`, Ciry of 5t- Anthony Development Plan rol Silver LakL,Road Sc. uthomy, N- Unnesoca 55.13-16109 ?hone: 6IL."739-8881 FAX. 6L:1,31-97-25- PE-- Please check ite= or irems for whic L vnu ilfe aPPtYmcr: X { VT"J d er: 5��0 c ° r-O Ccnd:zonai Use ? .�: 5 00 C: oni-I -C I.�.^=n�-:.c •==00 _ `dinar subdivision S:00 C '�acat:or:of?.; Zt-c. :�3v S=00 _ Rc:ccadcr.of S i 00 ��e:l� Varian= CO LOBIII� l � LC 5:00 V auman a- 5:00 - 800 _ late= use PC SZ00 When armivin 'e_ -c:: ,,i= one aeorovz:. oniv one (tac r- acts ero °� ?� �•— �e co=n,ete et= oy or pri=ncr in sr�s. sc sp vices a QIT�On31 _IIee'S sIc `C L20CiIl=^,oi! :0 ac: ,Q?e ?nc It_':: �'. De:. 11 3D�llC Dte Md all [equlr eA_ :0:0—L—z c: srzc,c=' :-or _`:e 3 ��C2CII :0 Oe acG_^;'te�' orde- ::, be consid°:-" V 'tee ?«:Itni;,; Cort`iSSiOII and C:tY C,Lac:i. Cce 32rCtic=f =L'sz ce prese^.0 at :.:e We=L: =5• Ste Marie Company :. Ala.- 1e .� tiliacl°) i-;st) • �m T i,lulile" �:i-s•� i ., U.S . Bank ?lace MPF?2516 ill inneaociis MN 55402-4302 !l,:�j 1 OnOils[ 01, - `. -01-7 D) ?2- 7 -242d Uillcres_ pevelooment ' im `ed 9arznershio ax o - _ �+ �e - -niicr.-... cdl =st l�:ane) 2424 ,Kennedy Street NE Minneapolis MN S5 413 and Sa=t" ?roper- !m v own as Aoache Plaza, exis�ing Taco Bell , and the old _ New Market suoermar'.ke t s i-e JG'�L ,�CC�i'.-SS ai�'.?y7e::;i i.^.�•Oi`�CC: 6. -on -.rC ° �_lLrroe- OF' -cve*'., 1nYO1YeII l_ attache^ here-o -as _xhioit A Se::: use 01' r-OO Re�? - -N -r I ��-� `1--• ^� +Jaranniic� _nri t ��^ !nduc - ?: ^csec i.'se 0: __—,-c i xe r Jse 3. ?-:se-: Paz' .= J 129 71�r ei Corfimerc d C 7 r �[^.rc =..5�' - �c..-�n3LI01y: �c:. C.. • menament penai na i or tali xea Use ?—Case_ Comore.._^ ine redeveloomenC OF Apache Pla-za cr+ env '=^r .asaic on ;;mac •.- . vas ca =? �� of:ne rrQ See =xh i b i 3 - Suoo l emen� a JO • ur_il-. 'a�� . ..^.2.Cr.c :i...�' �OTIal[SC�• ==C•.� ADO i i cc�'on Frir Rezonine and?L-D: z �C�^^ :;M-oC--'r ccr�=^t coning :� a ie i dcsc::,rian and °1�+ or ...cam .nc,uaa man r cIIe �cniLj_ d:sL-C_ a Ie_3I d_sc::odotz disc_ c . _ ' ..• �air=:�uS. ;,e oro�?�= Sc_ _xhi b ,. A a:d --or ,;; -•;v Cc.'.;,,�iL^,ia �c� WIR �. a ie_�i °sc==tic? aaa rrcccs�_ _ Inc; r1r�•c ,i�sc c:_ - OL i O�;C�yt;� Sna. i;:ciude ^rays^� cc�:ed r. mam '=� anc �o _ �n _.:hi bi= A CC Cr00�-�-,• •iri•��r Z yr^CaSCa �o 'f �rt� C:SCIiILS" Us.- , C0 1 nor CoadiftoLI+I Use ?c-mile A. Code sec::O 3utzor'. id. For Vacation of 1Z1?Rt-ot_t75%1Y -- 20L:`. .•'t��••. .. . �. BLS. �C �u�iL1.°� 3L_r�QQ �i I 1 Q1 '.a�^�V —••Y° --- �.� QwC e : - LLtd re .S oLO — r',.?i *.:^..�: 'i°. Cen'.0n �° 7 ii10 OE �acaten oe__=5e or CSC^-''_'0: :��: J i ..•.°.i= li OC="1. LE. For Placttu .. Nu=ce= OL _-ts: • io. or` inor 5ubc:�^sian: l 13® a descv::oa snail ce vie =or :ot to oe ...t S(L_ C. r'or RciOCSt100 off—eilins' :,racer-, -•acs :vizic:. �= aai:C;a= :s :c �e �o f �. 74- 'CZ3I ^e.`c_.Juar, �c pry :or ;re v =r. F zl F rt iest ;0% of.:: rcce.^• o•'�*=c,_ ant`:.r. :50 : a. `V -;.a _ors=. ad =UrOv o :his 'TCDer.'.. t $. For Vari:tIIC_: ;s �... ..: n "u-te C cac: bra wnic -:-z rr anc: . .,scs;__ A. :he sue" C.. ^.i :1v 9. Z:cat: exzc:iL 'xaat is irne co •oe Aane ran or Wig Che .cove^.'wrlc_ floes not %vtcL rn e.r-:Lv Code • Lo, weiQitbprayocl .glee^:nQS: r°-� a use - �1 T:.°.^. 1�;r.�r �!'�':OT�+:•ems: (?..J j. _�c.C:IZ7L_: - =Co z'3£ :a ,,,:.cue. pe:'Zit_ Diu[. at COr-Tr-''saior, ==• -- ° — - y.:,�� is a :ire r- •��--n .host:=c:c*'" �_....-,cst-. :__ ._ 1 .•.• � r. '.~iv\/Orate.^—e=f .V •�P'\T.",\/ ,+ or eo cam. ;c :=-Z- !hzL u ==vc Me: or o ,`:S: Scatt�iankeno;r , the General oar-ner, has canduc�ea meetings with the neighbors and will conduct additional meetings , i � necessary. ?0, E;cent as aoteci. ;he *oLlo-wia_° '-aior!s3non taus: be SUDmitted Ur zI1 aDDI]CS[IOUS: A.. :sDoficarica and FOB �bsr-actor: Cer'ifi�te :ar =moo= owtLer Of the Lind vvir in ie--t Of the � which a Isnu use action :s -_guested. Pius -wo boundaries of :he pro. .. for copies of Ms1i:B° labejs tivtt ;tames and ad(ir%scs of proper-nes an the . .�astrac:or`s Cc--iiic::te. . e Site pitta. Iaacs:rne aucn. ;^zdiag Sad C. Proposed oizns (Z CODICS) tnC.LId1II� - ; a iLQla ALE^Sl ;i-3tns�° pisn and e building tieyZaOII Cgs =3 showing u g 131 is required 3s well.as iavrorl late Photos- Sucsc dmwing shall be an • I?„ t I'' puoer, armwa to stair, and shall be in z r-prodacibie formsL D. A oae-past �t� aa�t� ex,31=2r. of the site �7Isnaia , Eandscspin;, and arthitemm of Projecs in derall inciudina :he need for the QrnjecL. anY pnY3icsi hsrdshivs, sad the` e=es=ed anise, air,. dr-..inage. Ei#dng, w=re maaa7e�car. psridng iaa um0d impacS. �. ,root cast the znvlic C has coa=l of the orope.rr for whit: land use action is reQUesced (purclase :I regiment. cet�LZeate of ownershio. etc.) The Applicant ! entered into a Purchase Agreement with the Owner, Ste. Marie Camoany. F. Additional information orr documents mqun=d by [he City Planne*. 3 Qr°- submicrai meerm- sdoulcl be scheduled with 'bc C:ty ?lanuc: I:oI�"99-888t) co di3c= any laaicionai informaBoa or docnm=ts mquirea for Your request. Application ?-ac=s !to be comDlercd b� Clty;tail C:. ..�/� =ccc�p✓acvinE doc•...Wents are revcs'xec '��• :rte .,er-• avai3oie :i_^.ning Ca�'��so ^- ie:_a snoiic..tar is sczcd• er for � .• - MMUC ac=.I. =surer date: C. . _ —• _= 7 plar.:t�s C.::�:.issior. =aa� air c Ccunc:L r"_::a liar: • ��;_„ ea :ate: D. Carr Chants:c:,ac :cam �aaiic acsr'_ CC _ _ 7. J `r"The Purchase Acreemen z i s dated January 3i , ?000. -he ourchase c;�;;��, General ?ar, er, Hiiicrest Deveioc i Acreemenz has been amender. r1 / _1 Partnersr J � y :Date Dale Rcccive= Daze °r.ic - Daze cc: =e of 10-say .._,tc,x t:_;..be_ 132 FXMI T"A" Lots 6 and 7, Block 1, Silver Lake Center and Lot 5, Block 1, Apache Plaza, according to the recorded plat thereof and situate.in Ramsey.County,, Minnesota, together with easement for ingress and egress as contained.in Reciprocal Easement Agreement filed as Document No. 2927183. Property I.D. Nos. 31-30 3-33-0002; 31-30-23-34-0018 and 31-30-23-34-0019 133 July 27, 200 Preliminary and Final Development Plan EXHIBIT B SUPPLEMENT TO HILLCREST DEVELOPMENT LIMITED PARTNERSHIP PUD APPLICATION TO CITY OF ST. ANTHONY 1. Introduction The Applicant specializes in renovation of post and pre-World War II buildings throughout the metropolitan area to suit its clients' needs for office, high technology office, warehousing, light assembly, biotechnology-medical research, manufacturing and other commercial purposes. - A copy of the Applicant's brochure was attached to the June 12, 2000 Draft of the Preliminary Concept Plan Application as Exhibit H. It is not attached to this Application. The Brochure provides examples of the quality of the Applicant's other projects and the general concept of how the Applicant intends to redevelop and renovate the subject property. • The brochure is included for informational purposes only: While the quality of the redevelopment and renovation of the subject property will equal the projects in the brochure, the actual renovation and redevelopment must be tailored to the existing structure and the nature of the tenants. This Supplement to the Applicant's PUD Application sets out the Applicant's (i) intended and preferred plan for the development of the subject property, that is high-technology office/development, office warehouse and printing facilities, and accessory uses (with some interim warehousing/distribution uses ("Preferred Plan") and (ii) a fallback plan, should the Preferred.Plan be unsuccessful. The fallback plan includes certain non-office uses described in Exhibit A ("Fallback Plan'). While Exhibit A lists the permitted uses under either the Preferred Plan or the Fallback Plan, most of the non-office uses are reserved for the Fallback Plan or will be interim uses. A copy of the Site Plan of the property is attached hereto as Exhibit B. The Preferred Plan is the basis for the projected increase in real estate taxes to be generated by the subject Property, and the Applicant's receipt of tax increment, as set forth in that certain Redevelopment Agreement dated The Redevelopment Agreement calls for the Applicant to receive over$4,000,000 in Tax Increment Financing ("TIF Proceeds"). The TIF Proceeds will not be paid to the Applicant • 134 under the Fallback Plan, because there will insufficient tax increment. Accordingly, -u Applicant's prime incentive to complete the Preferred Plan is the receipt of the TIF Proceeds. 2. Additional Attachments (Exhibits) A. List of Permitted and Accessory:Uses ("Uses"); B. Site plan, including landscape plan ("Site Plan"); C. Preferred Plan Interior Specifications; D. Retention/absorption Plan("Retention Plan") D-1. Topographical survey("Survey"); E. Landscaping Schedule and Details; F. Traffic Flow ("Traffic Plan") G. Traffic Analysis; H. Parking Calculations; I. Preferred Plan Building Facade.— Concept B; I-1. Preferred Plan Building Detail—Concept B-, J. Preferred Plan Building Facade—Concept C; J-1. Preferred Plan Building Detail—Concept C; K. Preferred Plan Building Facade—Concept D; K-1. Preferred Plan Building Detail—Concept D; L. Loading Dock Detail; M. Signage Summary; . N. Fallback Plan Interior Specifications; O. Fallback Plan Building Concept A; 0-1. Fallback Plan Building Detail Concept A; P. Building Concept—New Market Property; • Q. Lighting Plan. 2 135 The Hillcrest Development brochure was attached as Exhibit H to the June 12, 2000 dra_ of Preliminary Concept Plan Application. 3. What is the expected effect of the proposed change? (For example, on property values, health, safety, parking, traffic conditions, etc.). (Paragraph 11 and Narrative/explanation (Paragraph 20.1))) . A. Apache Plaza Property i. Uses and the General Redevelopment Plan The effect of the proposed change for the subject property will be positive. The Applicant is proposing a change in use of a dilapidated, underutilized, blighted retail shopping center. The Applicant's Preferred Plan proposes a mix of tenants for the Apache Plaza Shopping Center building ("Apache Plaza") which -will include, without limitation, a community space, high technology office/development, general office, office warehouse, a printing facility; _and accessory uses ("Office"). All of the uses in the Preferred Plan are permitted pursuant to the newly adopted PUD Ordinance ("PUD.Ordinance"). A list of the proposed Permitted and Accessory Uses is attached hereto on Exhibit A ("Uses"). The uses will be permitted under the PUD Ordinance following adoption of the pending amendment to the City's Comprehensive Guide Plan, which will allow for the Uses requested by the Applicant. • The Preferred Plan will include interim uses. These interim uses will include warehousing distribution, wholesaling and other non-Office uses ("Interim Uses"). The Interim Uses will be in large part a result of (i) the need to lease space during the initial lease-up and prior to redevelopment of the entire Apache Plaza Building; (ii) the Applicant's tenants' need for the right for expansion space; and (iii) the need to lease space following vacation of initial and/or former tenants. Many of the Applicant's leases will allow for the tenant to expand into adjacent space. A lease may include a right of first refusal or a "put" to the .tenant; allowing or requiring the tenant to occupy the adjacent space. In other projects, the Applicant leases space adjacent to a tenant (subject to the tenant's potential future occupancy) to a third party for a warehouse or distribution type use. The Applicant may take the same approach with Apache Plaza. Under the proposed PUD Ordinance, all uses allowed under the City's Comprehensive Plan for the specific area will be permitted uses. The pending Comprehensive Plan Amendment allows for the Applicant's proposed Uses. The Uses, as well as any performance standards or other specific criteria for the development, will not only be regulated by the PUD Ordinance, but also by a PUD Agreement to be negotiated and approved by the City Counsel. • 3 136 The Applicant's proposal will utilize the Apache Plaza parking on the Apacau • Plaza Property, and will include a greatly needed update of the building facade, and increased landscaping. Under either the Preferred Plan or Fallback Plan, there will be no detrimental impact on the surrounding property with respect to parking, increased traffic, or noxious uses. The Applicant's proposed redevelopment of Apache Plaza provides-great benefit to the City, a benefit that is required of all PUDs. The benefit is the redevelopment and utilization of an underutilized property. The change in use is necessitated by years of declining retail, and a recent failed attempt to jump start the retail uses at Apache Plaza (e.g., the development of the Cub Foods in approximately 1996). The Applicant believes that through its vast experience with similar redevelopment projects, that Apache Plaza provides a phenomenal opportunity for mixed use commercial tenants. The successful redevelopment of Apache Plaza should result in higher or stabilized property values and may result in revitalization of other surrounding land in need of redevelopment. It is the Applicant's intent to redevelop Apache Plaza and the New Market Site under the Preferred Plan. While the Applicant will aggressively pursue all commercially reasonable efforts to lease Apache Plaza under the Preferred Plan, the Applicant will lease space in the Building for the other uses if Office tenants cannot be procured. Any light industrial and/or warehouse uses will be low impact uses which produce little or no noise, odor, vibration, glare or other objectionable influences, and_which will have little or no adverse impact on surrounding properties. Said uses will not include the heavy processing of raw materials or heavy production of primary materials. Office tenants must primarily occupy the Property for the project to be economically viable. Since entering into the Purchase Agreement to buy the Property in January 2000, the Applicant has aggressively marketed the Property to achieve the Preferred Plan. In furtherance of the Applicant's representations to the City and as insurance that efforts are pursued to achieve the Preferred Plan for Apache Plaza, the Applicant agrees to and/or acknowledges the following: • The Applicant will continue to aggressively market Apache Plaza under the Preferred Plan; • Uses of the Apache Property less than the Preferred Plan fails to produce the TIF Proceeds; • The Applicant will provide to the City periodic updates as to its marketing efforts , signed leases and build-out schedule; • No non-Office tenants will occupy Apache Plaza until after February 1, 2001; • 4 AUG-11-00 FRI 12: 12 PM SIEGEL BRILL GREUPNER FAX N0. 6123396591 P. 0 137 • The final tenant mix will produce no great external impacts, including outdoor storage (unless allowed in a commercial zoning district under the Zoning Ordinance). All uses will be contained within the. Building with any external impacts meeting or exceeding standards of the Zoning Ordinance. There will be no outdoor storage under eith_ er..the Preferred Plan or Fallback plan. While the Applicant desires and intends to pursue the Preferred Plan, the Applicant needs :maximum flexibility (through the terms of the PUD Agreement) to succeed. The need for "flexibility"has been often discussed by the Applicant. It generally means that the Applicant cannot be required to come back before the Planning Commission and/or City Council for discretionary approvals. To do so will prevent the Applicant from marketing the project and representing to tenants that only building permits are required to proceed with a particular space. The particular tenants will drive the phasing of the internal and external improvements (e.g., landscaping, signage, etc.). The Applicant: (i) does not intend on commencing external improvements, weather conditions permitting, until after a lease or leases are signed; (ii) all of the existing retailers, except Herbergers, will need to immediately vacate Apache Plaza; (iii) Herbergers may or may not vacate its space in the near future; and (iv) within 60 to 90 days of closing on the purchase of the subject property, the Applicant intends to commence the construction of two (2) show Office show spaces of approximately . • a total of 4,000 square feet to demonstrate to perspective tenants the quality of the project(the Preferred Plan). Any new construction on the Apache Plaza Property will require approvals pursuant to the requirement-.of the PU'D Ordinance. ii. Baseline Comparison Projects It is the Applicant's intention to approach the redevelopment of Apache Plaza of the New Market Property like its other projects, many of which have been inspected by City officials. Similar finishes, specifications and standards will be used on this project,depending on the tenant mix. The Applicant has. projects comparable in finish and specifications and performance standards that compare to either the Preferred Plan or the Fallback Plan. Those baseline projects are as follows: a. Preferred Plan — Mappcor facility at 1125 Energy park Drive, St. Paul,Minnesota("Preferred Plan Baseline"); b. Fallback Plan — 2001 Kennedy St. NE/2000 Sumner Street NE ("Fallback Plan Basclinc'� • 5 138 The Applicant commits to finishes and specifications consistent with the Preferred Plan Baseline or Fallback Plan Baseline. iii. Performance Standards—Preferred Plan a. Internal Improvements. With respect to;internal improvements, the Applicant discusses and negotiates with'each individual tenant a list of improvements that may be made within a certain parameter, in addition to the allowance for tenant finishes. The list of basic specifications includes parameters for the floor, ceiling, lighting, HVAC, electric, exterior walls, sprinkler, restrooms, and other miscellaneous specifications ("Specifications"). An example of the list of interior Specifications is discussed with each individual tenant. An example of the list of interior Specifications that will be used for the subject Property under the Preferred Plan is attached hereto as Exhibit C. The Specifications do not include tenant finishes, as tenant allowance for said finishes is negotiated between the Applicant and the tenant. The Specifications include specifications, which support the type of uses the tenant is pursuing in the Preferred Plan. In other projects; like the Preferred Plan Baseline, the Applicant provides the tenant some artistic discretion with respect to the tenant finishes. In many of the Applicant's projects, with the tenant finishes the tenant desires to make a statement with respect to the tenant's business. The Applicant's in-house architectural staff work with each tenant's retained third-party architect to design their space, including the tenant finishes. b. Landscapins. The Site Plan attached hereto as Exhibit B identifies the landscaping for the entire property, including the New Market Property and Lot 6, Block 1, Apache Plaza ("Taco Bell Property"). A sampling of plantings is identified on the Site Plan. The types of plantings will comply with the City's Zoning Ordinance, Section 1650.08 (subd.. 3). The minimum diameter of non-ornamental trees shall be at least 2'/i inches. All ornamental trees shall be at least 1%2 inches in diameter. The size of shrubs and other plantings shall be of an agreed upon size. The Applicant's ability to landscape the Taco Bell Property will depend on the terms of the existing Taco Bell lease. The installation of the landscaping will be phased. The actual • phasing schedule will depend on the location of the initial tenants. Depending on the size of the initial tenants, it is likely that the 6 139 large parking area to the south of Apache Plaza will be the fii.. : portion landscaped, as that is likely where the first significant tenant(s) will be located. Exhibit D identifies (in blue) new landscaping that will maximize absorption. To date, there is less than 10,000: square feet of landscaping on the Property. The Applicant proposes approximately 174,900 square feet of new landscaping. Over 34,600 square feet of the proposed landscaping will provide absorption of surface water. The landscaping will compliment the extensive ponding and storm sewer improvements to be installed on the Property. Exhibit E identifies the landscaping schedule and details. The Applicant will landscape parking islands around the building in an expedited manner. The landscaping will also be tied in with storm water improvements that may be completed as Apache Plaza is redeveloped and the New Market Property is developed. The west side of Apache Plaza, which contains Herbergers, will likely be the last phase landscaped. • C. Parkirig and Traffic Flow. Exhibit F identifies the proposed traffic flow for the property. The Applicant will work with the City with respect to potential stacking problems on Silver Lake Road at the most southerly access point. The Applicant commissioned Benshoof & Associates, Inc. ("Benshoof') to complete the traffic analysis attached hereto as Exhibit G. The purpose of the traffic analysis was to address the traffic issues raised, if any, as a result of the change in use of the Property from retail to commercial. Office use was the baseline for the traffic analysis because (i) it is the Preferred Plan; and (ii) it produces the most peak hour traffic. The traffic analysis indicates.no detrimental traffic impacts as a result of the redevelopment of the .Property (including the New Market Property. Benshoof concludes the analysis as follows: • The traffic system serving the Apache Plaza Site was designed to accommodate substantial traffic volumes, with several high capacity access points serving the site both to/from Silver Lake Road and Stinson Boulevard. • 7 14® • The net daily trips ends generated by the proposed redevelopment will be 13% lower than the net daily trip ends generated by the original development (11,510 as compared to 13,242). . • The net p.m. peak hour trip ends generated by the proposed redevelopment will be only 3% higher than the net p.m. peak hour trip ends generated by the original development (1,324 as compared to 1,290) See page 5 of Exhibit G. There are approximately 1,716 parking stalls on the Apache Plaza Property and 375 potential parking stalls on the New Market Property (based on the proposed 100,000 square foot New Market building concept attached hereto as Exhibit B and as identified on the Site Plan). The exact number of parking stalls needed for Apache Plaza will depend on the tenants. The Applicant's parking calculations of the available parking stalls, or proof of parking for the Preferred Plan is attached hereto as Exhibit H. • Bike racks will be installed, and the Applicant will explore maximizing public transportation opportunities. d. Building Facade. The Preferred Plan could result in a number of different types of tenants within the Preferred Plan paradigm. The building facade and building materials will be driven in large part by the tenant mix. Exhibits I through K and Exhibits I-1 through K-1 identify building facades and building detail, respectively, that the Applicant has generated and has shown to potential tenants. The Applicant has designated the plans Concept B (Exhibits I and I-1), Concept C (Exhibits J and J-1) and Concept D (Exhibits K and K-1). The proposed facades are consistent with the Preferred Plan Baseline. Under the Preferred Plan, it is the Applicant's intention to complete a building facade substantially similar to one of the concepts identified on Exhibits I.through K. The detail of the preferred building facade alternatives is attached hereto as Exhibits I-1 through K-1, respectively. The fagade of the building may also be changed depending on the • final location and the addition of any loading docks, tenant entrances, etc. Exhibit L identifies the detail of the loading.docks. 8 141 e. Si a e. A summary of the proposed signage is attached hereto as Exhibit M. At the appropriate time, a comprehensive sign application, pursuant to the Zoning Ordinance, will be submitted to the City The sign application will be consistent with the signage summary attached hereto to Exhibit M. The existing pylon sign will be removed and the monument signs will be located as identified on the Site Plan. The existence of any signage on the Building fascia will depend on the tenants. A leasing sign or signs will be placed on the building by the Applicant. f. Antenna and Rooftop Equipment and Other Systems Building Equipment. HVAC and other mechanical equipment required to operate Apache Plaza will be placed on the roof or on the Property, but will be screened according to Zoning Ordinance. Some high technology tenants may need extraordinary mechanical equipment,- redundant power systems, etc. to operate their businesses. Said equipment, if it is on the roof, will be property screened. Any and all antenna or other communication equipment will meet • or exceed standards set forth.in the Zoning Ordinance. g. Li htin . At this time, the existing external lighting will be maintained. The lighting will be increased or changed depending on the tenant. The pole height and foot candle power at the property line will meet or exceed the requirements of the Zoning Ordinance. When the lighting is renovated, it will be done in stages, pursuant to a comprehensive lighting plan. Any new lighting standards will be downcast. A lighting plan is attached hereto as Exhibit Q. h. Use of the Basement. The use of the basement will again depend on the tenants. As shown on the Site Plan, it is.possible that a ramp will be constructed to access the basement for executive parking, loading and/or storage. i. Storm Water Drainage. As far as additional storm sewer improvements to deal with potential storm drainage requirements, the Applicant advises the City that: (i) it can only deal with requirements relating to the Property, and not those relating to the Cub Foods site or other adjacent properties; (ii) it is working with its consulting engineer, Sunde Engineering, and the Watershed District to define the requirements that may need to be completed 9 142 depending upon the extent of the redevelopment of the property outside the four walls of the building; and (iii) it will work diligently work to meet or exceed any storm water requirement of the Watershed District. As identified on Exhibit D, a pond and requisite storm sewer will be installed to deal with'storm water from the Property. The pond will be approximately 18,000 square feet, but the location of the pond may change depending on the development of the New Market Property. Additionally, over 34,600 square feet of pervious surface will be added in the middle of Apache Plaza (around Apache Plaza and in the parking lot) as landscaping. A topographical survey of the existing condition of the property is attached hereto as Exhibit D-1. The Applicant will commence construction of all storm water drainage improvements no later than August 31, 2003. Upon the . issuance of a building permit, the Applicant will provide reasonable security to the City for the completion of the storm water drainage improvements (e.g., bonding). • There is no as-built grading and drainage plan for the site. j. Community Space. Approximately 7,000 square feet of Apache Plaza may be renovated into a community space. The general parameters and the nature of the community space will most likely be determined by a task force that will include members of the City Council, Planning Commission and the Applicant. The nature of the community space will not be defined until after approval of the Final Development and the execution of the PUD Agreement. iv. Performance Standards—Fallback Plan a. . Internal Improvements. With respect to the internal improvements. in the Fallback Plan, the Applicant will discuss and negotiate with each individual tenant a list of improvements that may be made within a certain parameter, in addition to the allowance for tenant finishes. The list of basic Specifications may include parameters for the floor, lighting, electric, sprinkler, restrooms, and other miscellaneous items, and will be similar to the Fallback Plan Baseline. Tenant finishes required for the use will be completed. An example of the list of internal Specifications is discussed with each individual tenant. An example of the list of internal • Specifications that will be used for the subject Property is attached hereto as Exhibit N. 10 143 • In Applicant's other projects, like the Fallback Plan Baseline, the Applicant intends to provide the tenant some artistic discretion with respect to the tenant finishes. b. Landscaping: Same as Preferred Plan. C. Parking and Traffic Flow. Same as Preferred Plan. d. Building Fagade. Exhibit O identifies the minimum improvements that will be made to the Apache Plaza fagade under the Fallback Plan and Exhibit 0-1 summarizes the building fagade detail. The fagade will be similar in quality to the Fallback Plan Baseline. e. Signage. Same as Preferred Plan. f. Antenna and Rooftop Equipment and Other Systems Building Equipment. Same as Preferred Plan. g. Lightiniz. Same as Preferred Plan. h. Use of the Basement. Same as Preferred Plan. • i. Storm Water Drainage. Same as Preferred Plan. j. Community Space. Same as Preferred Plan. B. New Market Property Lot 5, Block 1, Apache Plaza, is the property that once contained the New Market grocery store site ("New Market Property"). The New Market Building was demolished a few years ago. It is the Applicant's intent to develop the New Market Property consistent with its redevelopment of Apache.Plaza. Residential development of the New.Market Property is not the intention of the Applicant. The Site Plan (Exhibit A) identifies the size of the proposed building and general landscaping. The size and location of the building may change, depending on the tenant. The Building Concept (Exhibit P) identifies with some detail the elevation of the proposed building and a building materials schedule. Until tenants are identified for Apache Plaza and acceptable occupancy goals are achieved, the Applicant will not turn its full efforts to the New Market Property. The New Market Property, however, is vital to the redevelopment of the Apache Plaza Property and the economics of the Applicant's purchase of the entire property from Ste. Marie Company. While the Applicant understands that the PUD Agreement may require . 11 144 the Applicant to proceed through a public hearing process for the development of the New Market Property, the Applicant requests that the PUD Agreement allow the Applicant to make assumptions regarding redevelopment of the New Market Property. The Applicant specifically requests that the PUD Agreement: (i) allow the Applicant to utilize.the New Market. Property for parking to serve Apache Plaza Property (without- proceeding through a public hearing process); and(ii) that general parameters of the size, height, parking ratios and other general performance standards on the New Market Property be set in the PUD Agreement. C. Taco Bell Property Lot 6, Block 1, Apache Plaza 51h Addition contains the current Taco Bell restaurant ("Taco Bell Property"). The Applicant has no plans for a change in the use, although the tenant may change. The Taco Bell Property may retain some form of retail use, or may become office/service. The right to demolish the building should be in the PUD Agreement. • 49-tar-7/27/00-21256-003-Exhibit B to PUD Supplement July 27 • 12 AUG-11-00 FRI 12; 12 PM SIEGEL BRILL GREUPNER FAX N0. 6123396591 P. "' 145 • EXHIBIT A PERMITTED USES The Applicant intends-to redevelop the subject property.as Silver Lake Centre, a high tech office campus. All of the uses and activities conducted on the subject property shall be consistent with the high tech office campus setting and several of the Applicant's other projects including the baseline projects identified in the PUD narrative. Integral to the project is the ability to modify internal space within the Centre to accommodate a, diversity of business types, with varying spatial and operational requirements_ It is understood that the specific nature of the businesses that will occupy Silver Lake Centre over time can not be reduced to an inclusive list. The uses of the Centre will generally include: (i) administrative and executive offices for personnel engaged in general administrative, supervisory, purchasing, accounting and other functions related to general office, high technology office,printing and medical businesses; (ii) research,training, synthesis, and analysis facilities and testing laboratories; (iii) restaurants; and (iv) retail and banking facilities intended to support primarily the tenants and customers within this development. The Centre will include all necessary loading docks and external equipment as set forth in the PUD narrative. • Accessory Uses Warehousing, wholesaling, distribution, fabrication, light manufacturing, assembly, processing and similar uses that are incident to, or support to the permitted uses listed above. Interim Uses Warehousing, wholesaling, distribution, fabrication, light manufacturing, assembly, processing and similar uses, and those retail uses listed in Section 1635.02 of the City Code (not to exceed 40,000 square feet in addition to Herbergers) that are not incident or accessory to the permitted uses described above, shall be allowed as interim uses for ten (10) years after the date of adoption of this ordinance. If any of these uses remain after this period, and the Applicant has completed.all of its obligations regarding all landscaping, exterior improvements, drainage improvements.and signage as required'under'the Fallback Plan as set-out in the PUD narrative, these uses shall become permitted uses within the Silver Lake Centre development. None of these businesses or activities will cause the exterior image or character of the Centre to be down graded, or have any adverse effects on the surrounding neighborhood. The Centre will include all necessary loading areas and mechanical equipment, as regulated by the PUD. Finally, it is understood that the existing Herbergers store may stay in place for a period of eight (S) years,until the expiration of the existing lease. • 4g-Jar-8/11/00-2t 256-003-Exhibit A to PUD Supp 8-10 T I 1-�-"1•�S G lL NSA. -�.`�.,r�.` I.. . r •• ' a � -.j- - p.`�' it �i I I I I ( � � I I E �, -4 m •�� F • IJ! 'r r -_��'��. � '�___ == 1 � �-�= j; _.fir.•-- u-I�- A I '• � - r�x [ J' I r i u c,� I I�', �... ..��T�I fir• - j I 9 {(rho• I 1 _' _ I 1� S N F v r P 1 — U L 7 . •' � ••I 1.1 � - ¢ G,ILVEI2 ipi �, 'i min . L _ 147 EXHIBIT.. July 20,2000 Anticipated Preferred Plan Interior Improvements Floor. ♦ Floor prepared for standard floor coverings,or sealed,or power washed and cleaned. Ceiling- 2'x 4'"Nu-look"acoustical ceiling tiles,or painted exposed ceiling system Lighting: ♦ Building Standard 2 x 4,6"deep cell parabolic fixtures. + Lamps to be energy saving type,T-8 florescent ♦ Ballasts shall be electronic energy efficient,high power,and factory U.L.listed. ♦ Lighting shall be locally switched in small areas. ♦ Average 60 foot candles at 3'-0'above floor. HVAC: + Design build HVAC system to Building Standard(based on 4 watts per sq.ft.heat load). + one(1)ton of cooling for approximately every 450 square feet ♦ Six(6)air changes per hour. Electric: ♦ lessor to provide a new 3000 Amp/480 volt,3-phase service for the Building from which the 277 volt lighting and Building mechanical equipment will run,separate sub-panel into Tenants space by Lessor. Exterior Walls: + New Building Standard aluminum frame/thermo/low E glass windows. • ♦ New main entrance glass as per plan. ♦ Interior of the exterior walls insulated,sheetrocked,painted(color chosen by Tenant);with 4"vinyl base. ♦ Exterior of Building refinished by Lessor. Garden Patio: ♦ Lessor shall construct a walk-out patio area having minimum dimensions of approximately 50'x 28'subject to final drsign,landscaping and Leased Premises plans. Sprinkler: ♦ Based on the provided Base Building standards,a fire sprinkler system shall be modified to comply with city codes. Kest Rooms: ♦ To city code for fixtures, sinks, and water fountains. Fixtures to be American Standard, Kohler,or equivalent. Miscellaneous: + lessor shall provide at least one(1)elevator to access the lower level and perimeter stairs as required for exiting. ♦ lessor will install a new roof above the ley,sed Premises,which shall be equal to or above Minnesota energy codes. ♦ Exterior dumpster and mechanical equipment screening. ♦ Certain colors of nigterials to be selected by Lessor. + Lessor shall provia exiting from the Building as may be required by code. ♦ Lessor shall pert =all reasonably necessary resurfacing and stall striping in the parking -lots. + Demolition of all previous Tenant Improvements (walls, acoustical ceilings, electrical, HVAC,floor coverings,fixrares)by Lessor. • 1-498 _ 1 1 , Mwl,�.� �a�6��:_ ,'1\i\ 1\\,`�� �1���_ r�ly/l _ _—Jan.•-.T�.6 � __ _ _� _ d 1' I LL vi � ' 1 � I I •- 7 - --- 3�'~ Avg. tis __ _s: _.........,�,. ,•...r j I �_ ,- v.•. i Y� • ., •. � [^i..C'F' EK.._tj.E`CF }y-��-s�—�—lT LIE.' 0 Y•.r - L; ts..r_y.•_ ....L_r+.r�. yr� - I I �_—. Tc._ w .•`A:. rvf....� 7 a. 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DOUBLE STRAND OF 10 GAUGE GALVANIZED WIRE TWISTED . . �iJpW- J GARDEN HOSE 2 '/2" 01A. - 10' LONG CEDAR "STAKE WITH -Jt� /NOTCHED END l 7' EXPOSED I . i FOLD BACK BURLAP FROM TOP OF BALL 2" MULCH ,VJ►�/ , BACKFILL WITH TOPSOIL AND PEAT MOSS 31.1 / RATIO BY VOLUME IN 9" LAYERS: WATER EACH 4" SOIL SAUCER I / LAYER: UNTIL SETTLED N6TE: WRAP 24" X 2" X 2" STAKE DRIVEN DECIDUOUS TREES FLUSH WITH FINISHED GRAp OVER I" CAL WITH E \ �..` ` 45" BURLAP OR ASPHALTIC KRINKLE KRAFT TREE ' v WRAP 6 MIN. 6" FOR PLANTS UP TO 4' 6" MIN. HEIGHT MIN. B" FOR PLANTS 12" MIN _LOOSEN EouAL OVER A' HEIGHT MIN. EquaLg TWICE SUBSOIL TO TWICE BALL DIAMETER BALL DIAMETER OECIOUOUB TREE I M.ANTING DETAILS - TREES AND SHRUBS Ir �J1 _ -:� mil �- •:4• If. -- r"� r t�' - ' m ' �eG fir+�P,zxo.J'a-r Y°^'r•�-s i.,--. .� .. - ' � - S i l Al, LV z� {rte P Lin m JUL 711-00 TUE 13:32 HILLOREST DEVELOPMENT FAX N0, 3782424 P. 01' 153 SENSHOOI" & ASSOCIATES, INC. TRANSPORTATION ENGINEERS AND PLANNERS 10417 EXCELSIOR BOULEVARD,SUMS TWO/HOPIQNS,MN 55343/(952)238-1667/FAX(852)238-1871 July.7,2000 Refer to File: 00=48 MEMORANDUM F L r . �L LLB TO: Hoff Heiberg,Hilkrest Development FROM: James A Bens of and Paul D. Klappa RE: Traffic Review for Proposed Redevelopment of Apache Plaza in City of Saint Anthony PURPOSE AND BACKGROUND This memorandum is to address the trip generation implications of the proposed • redevelopment of Apache Plaza in the.City of Saint Anthony. The site is located in the northwest quadrant of the intersection of Silver Lake Road with 370'Avenue. Apache Lane circumferences most of the site. Apache Plaza was once a thriving sub-regional shopping center. However,the care of the shopping center has suffered severe decline and is predominantly vacant. Portions of the site have been split off for other . developments. It is the intent of the developer to remodel or replace the remaining core with high tech office space. Based on conversations with the developer, our work is to address traffic questions of the City regarding the change in usage from retail to office. The scope of our work is to compare the traffic generated by the site following the redevelopment into high tech office space with the traffic that was generated by the site when the shopping center was in prime operating condition: On Monday June 19, 2000, we visited the Apache Plaza site to inventory the existing developments. We also made observations of the traffic facilities within the site and on the surrounding roadway system. . Original Site Characteristics Based on information provided by the developer, our site visit, and other research,the original development consisted of the following: Shopping center of 450,000 square feet of gross floor.area plus a 100,000 square foot finished basement. Of the 450,000 gross square feet, 80%or • JUL-11-00 TUE 13:33 HILLCREST DEVELOPMENT FAX NO. 3782424 P. 03 Mr. Hoff Heiberg -2- July 7,2000 154 • 360,000 square feet is believed to be gross leasable area(GLA)based on observations and approximate measurements. • Bowling alley which occupied about half of the mall basement • Taco Bell Ward's Auto Center with 10 service bays • New Market Grocery Store of 50,000 square feet • Bank Present Site Characteristics Through our site visit and other research, several changes have been made to the original site. The original grocery store has been demolished. The site has been partially subdivided and new developments have been established. The bank and Taco Bell remain in their original size. The auto center has been remodeled and expanded to include a liquor store. Excluding the shopping center core,the following are existing developments on the site: • Taco Bell • Tires Plus with eight service bays • Liquor store-attached to north side of Tires Plus • US Bank • Convenience store with gas and car wash • 76,000 square foot Cub Foods • • Mini Mall - approximately 9,000 square feet Redevelopment Site Characteristics The redevelopment of the site would leave the above existing developments in place. According to the developer,the redevelopment of the shopping center core would result in 3 50,000 square feet of high-tech office uses on the ground floor. The 100,000 square feet of space in the basement would be used for light manufacturing or some other similar use with fewer employees per square foot than general office space. A new 100,000 square foot building is also proposed to be developed for high-tech office use. Traffic Facilities Through our site visit,we also examined the existing traffic facilities serving the site. There are three entrances to the site on the east side that access to Silver Lake Road. One of these is signalized with right turn lanes and protected left turns both into and out of the site. The other two accesses on the east side are unsignalized,but do provide left and right turn lanes for traffic entering into the site. All three access points on the east side provide free right turns for exiting traffic, with long merge lanes. Silver Lake road is a divided north-south route, with right and left turns at most intersections. There are two accesses on the west side of the site that connect to Stinson Boulevard. Both accesses are T-intersections and one of these is signalized. Stinson Boulevard is a north-south route JUL-11-00 TUE 13:33 HILLCREST DEVELOPMENT FAX N0, 3782424 P. 04 155 Mr.Hof Heiberg -3- July 7,2000 with two lanes for each direction of travel. There is-also a well-developed internal road system that provides for circulation within the site. TRIP GENERATION From the above information about the original and post-development conditions on the Apache Plaza site, trip generation was developed for both the original development and post-redevelopment scenarios. Trip generation rates were estimated for both scenarios using information published by the Institute of Transportation Engineers (IM). In both scenarios,we first determined the gross trip generation, which is the sum of all estimated trips to and from each land use within the overall development. Next, in order to determine the net new trips to the adjacent roadways, we reduced the gross trip generation to account for intemal/multi-use trips and pass-by trips. Internal trips are trips that originate and end with in the site, and multi-use trips are external trips that make two or more stops at different developments within the site. Pass-by trips are existing trips on the adjacent roadways that include a stop at the development From previous experience and information published by ITE,reductions were applied as follows: a) 20%reduction of gross trips to account for multi-use and internal trips for both the original and post-redevelopment scenarios.- This results in the total volume'on all driveways serving uses within the development b; Reduction to account for pass-by trips. This factor is applied to the total driveway volumes from step a)in order to determine the net new trips added to the roadway system. • 35%reduction for original development scenario recognizing its complete retail character. • 25%reduction for post-redevelopment scenario because the high-tech office uses would not generate as many pass-by trips. Table 1 shows the trip generation for the original Apache Plaza development. The original development is estimated to have generated 13,242 daily new net trips and 1,290 p.m. peak hour new net trip ends. Table 2 shows the trip generation for the proposed redevelopment of Apache Plaza In the post-development scenario, the site is expected to generate 11,510 daily new net trips and 1,324 p.m. peak hour new net trip ends. This post-development scenario includes all other developments that have been established on the original site. JUL-11-00 TUE 13:34 HILLCREST DEVELOPMENT FAX N0, 3782424 P, 05 156 Mr. Hoff Heiberg -4- July 7,2000 rTable 1 Trip Generation for Original Apache Plaza Development Land Use Size Daily P.,NL Peak Rate Trip Ends Rate Trip Ends Shopping Mall 360,000 sq.R GLA 42.92 15,451 3.74 1,346 Bowling 50,000 sq. ft. 33.33 2,666 3.54 283 Taco Bell 2,300 sq.R 496.12 1,141 33.48 77 Ward's Auto Center 10 Service Bays 30.55 306 3.17 32 Bank 5,000 sq.ft 265.21 1,326 54.77 274 Grocery Store 50,000 sq.ft 11151 1 5,576 1 1151 1 576 Total Gross Trips 25,466 2,481 20% 20% Internal and Multi Use Trip Reduction 5,093 $29 j Net Trips 20,373 1.985 35% 35% Pass-By Trip Reduction 7,130 695 New Net Trips on Roadways 13,242 11290 • Table 2 Trip Generation for Proposed Redevelopment of Apache Plaza Land Use Size Daily P.M Peak Rate Trip Ends Rate Trip Ends Main Office 350,000 sq.ft 1I.01 3,854 1.49 522 Main Office Basement 100,000 sq.fL 8.11 811 1.08 108 Auxiliary Office 100,000 sq.R 11.01 1,101 1.49 149 Taco Bell -2,300 sq.ft. 496.12 1,141 33.48 77 Tires Plus 8 Service Bays 30.55 244 3.17 25 Liquor Store 8,300 sq.ft 40.67 338 2.59 21 Bank 5.000 sq.$ 26521 1,326 1 54.77 274 Supermarket 76,000 sq.fL 111.51 8,475 11.51 1 875 C-Store w/Car Wash&Gas 10 Fueling Positions 152.84 1,528 13.19 132 - Mini Mall 9,000 sq.8 40.67 366 2.59 23 Total Gross'Nips 19,184 2,206 20% 20% Internal and Multi Use Trip Reduction 3,837 441 Net Development Trips 15,347 1,765 25% 25% Pass-By Trip Reduction 3,837 441 • New Net Trips on Roadways 11,510 1,324 JUL-11-00 TUE 13:35 HILLCREST DEVELOPMENT FAX N0, 3782424 P108 157 Mr. Hoff Heiberg -5- July 7,2000 CONCLUSIONS Based on the information previously presented in this memorandum, we have established the following conclusions: The traffic system serving the Apache Plaza Site was designed to accommodate substantial traffic volumes,with several high capacity access points serving the site both to/from Silver Lake Road and Stinson Boulevard- • .The net daily trips ends generated by the proposed redevelopment will be 13% lower than the net daily trip ends generated by the original development (11,510 as compared to 13,242) • The net p.m. peak hour trip ends generated by the proposed redevelopment wi71 be only 3%higher than the net p.m. peak hour trip ends generated by the original development(1,324 as compared to 1,290) Given the preceding findings, we are confident that the traffic impacts caused by the proposed redevelopment will not be any greater than experienced under the original development. + c� R(N E Tn _ --� " 8�i v 'Cu ' � i � I '1� 1 1• l.r •i 1 I i I �14 1�1�1��'Shc�•`114�f1�,1 •�tl��R �{{ III �I{II� `I{I� ����1�,1 I I�,� � I �� i I��I• � .I +'I T4 `li�' � �I — �•' f I II I� I'4�.• I I IiI{life 1 IIi � fl�{I ��I� II III; Dui- Iii {I''I f�� .IL I:I, III'L'� '• �"� ti:�I l� y'� ,<< - b...'1;eF.•S.'fd�:^i�nnd.°.4',i I •t�c.N.Y.�4-''.-:3(t7v i •:sri.�,«�. { �1• '1 1 1� I I 1 11.1 t ( � 1 I� I. � .I 1'e�l ��,• 1 YI .�I ,,,�, — �+, �i� p .l l:{.{.t� I, �+• .,.. ll .h,.h � it .1 t � � ,r. :r i�>l tM1'.� iir � �C' 1 �� + ra �_ ��i% e I ' t!� 4 � 1' i' k• - - `•-. .— "� - p. 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Lighting: ♦ New Building Standard florescent lighting fixtures. ♦ Lamps to be energy saving type. ♦ Ballasts shall be electronic energy efficient,factory UL listed Electric: ♦ lessor to provide a new 3000 Amp/480 volt,3-phase service for the Building firm which the 277 volt lighting and Building mechanical equipment will run. Separate sub-panel into Tenants space by Lessor. Sprinkler. ♦ Based on the provided Base Building standards,a fire sprinkler system shall be modified to comply with city codes. Rest Rooms: ♦ 'To city code for fixtures, sinks, and water fountains. Fixtures to be American Standard, Kohler,or equivalent. Demising Walls: ♦ All demising walls constructed by Lessor to City code,including access doors. ,Miscellaneous: ♦ Lessor shall provide-at least one (1) new elevator to access the lower level and perimeter • stairs as required for exiting. ♦ Lessor will install a-new roof above the Leased Premises,which shall be equal to or above Minnesota energy codes, or signs scantly repair or restore the roofing systems to a commercially reasonable leveL ♦ Exterior dumpster and mechanical equipment screening. ♦ Certain colors of materials to be selected by Lessor. • Lessor shall provide exiting from the Building as may be required by code. ♦ Lessor shall perform all reasonably necessary resurfacing and stall striping in the parking lots. ♦ 'Demolition of all undesired Tenant Improvements (walls, acoustical ceilings, electrical, floor coverings,fixtures)by Lessor. 3.499 dk zi • 1 :� '• -�i� fir• 1 "i I - _ ".:� III; � �• ' � �U�. 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INC. — Post-ft'Fax Note 7671 0attee ./b z PUL-► To coJoept. co. Phone N Phone MEMORANDUM Fax# 23z`j Fax TO: ,Mike`1Vlomson, Spencer Isom,,Doug Bergstrom,Bill Soth, Scott Tankenhoff,Tony Gleekel FROM: John Shardlow RE: Permitted,Accessory and Interim Uses,Hillcrest Development-Apache Plaza I have reviewed Tony's July 14 letter addressing proposed uses in the development. The letter refers to a narrative that is not attached,that will provide some qualification of the status of these uses (which are interim, etc). Apparently,none of the sources that we suggested provided a good model to emulate. Ellen Berkelhamer told me that she had an intern complete some research that also failed" to locate any great examples.I have to confess that I have been so busy I have been comfortable in a reactive posture on this matter. With all due respect,however,unless Tony's narrative is extremely helpful,I am concerned that we are right back where we were at the recent City Council meeting. • Let me share with you a quick and dirty version of a potential section of the PUD narrative and an approach to dealing with the question of permitted, accessory and interim uses. If the approach seems workable,we could refine it for inclusion in the PUD Narrative Hillcrest Development Apache Tech Center,Permitted,Accessory and Interim Uses The Apache Office and Tech Center(actual name to be substituted)is a high tech office campus, occupying the redeveloped Apache Plaza Shopping Center property in the City of Saint Anthony Village. All of the permanent uses and activities conducted on this property shall be consistent with the high tech office campus setting. Integral to the project is the ability to modify internal space within the center to accommodate a diversity of business types,with varying spatial and operational requirements. It is also understood that the specific nature of the businesses that will occupy this center over time can not be reduced to an inclusive list at this time. Generally speaking,they*will general office,business,professional and medical types of businesses. It is also expected that research and development facilities, a wide spectrum of computer industry related businesses, and similar uses. It is understood that businesses that would fall under the general categories of manufacturing,processing and fabricating will also be acceptable within the development • and that some or all of the businesses will require storage as a part of their operations. However, all of the above mentioned activities will be housed within spaces that are finished in a manner and quality that is compatible with the image and character of a high tech environment. None of these businesses or activities will cause the exterior image 07/18/00 15:31 FAY 612 337 5601 DSU, INC. 173 and character of the project to be down graded, or cause significant adverse effects on the surrounding community. Process for Approving Permitted Uses Within the Center All uses that would have more than 40% of their total square footage devoted to warehousing,manufacturing,processing, or similar activities shall be reviewed by the Saint Anthony Development Review Committee. This shall be an administrative review to determine that the proposed use and its activities will be consistent with the criteria established in the PUD for internal and exterior finishing. If the Development Review Committee believes that a particular business or activity is inconsistent with the intent of the PUD,potential modifications and improvements can be negotiated with the developer. If these concerns can not be resolved administratively,the committee's decision is subject to review by the City Council, following review by the Planing Commission. Interim.Uses The Apache Tech center development will take time to fully lease in full compliance with the PUD. Therefore, in an effort to provide flexibility and financial assistance to the • project, the PUD provides the opportunity to accommodate some interim uses and ,activities. All of these uses,the term of their occupancy and the requirements for interior and exterior finishing, access, loading and service requirements shall be subject to the -review and approval of the Development Review Committee. • 174 ; July 25,2000 Fallback Plan: Apache Property—Preliminary Anticipated Cash Requirements Site Acquisition: August 31, 2000- $3,000;000.00 Watershed District Issues, Supervalue, Herbergers, Roads, Sidewalks, Parking Lot, Landscaping, & Fencing: $2,700,000.00 , Bonding for watershed work, Supervalue, and Herbergers expenses likely to commence October/November 2000. Roads, sidewalks, parking lot, landscaping work may commence in late 2000 or in the spring of 2001. Environmental, Asbestos: $750,000.00 Environmental and asbestos remediation likely to commence October/November 2000, with completion prior to Tenant(s) occupancy(s). Interior Demolition: $500,000.00 Interior Demolition likely to commence October/November 2000. Show Spaces: $300,000.00 • Show Spaces likely to commence construction October/November 2000. s-1196 • 175 • July 25, 2000 Preferred Plan: Apache Property—Preliminary Anticipated Cash Requirements Site.Acquisition: August 31;2000 -$3,000,000.00 Watershed District Issues, Supervalue, Herbergers, Roads, Sidewalks, Parking Lot, Landscaping, & Fencing: $2,700,000.00 Bonding for watershed work, Supervalue, and Herbergers expenses likely to commence October/November 2000. Roads, sidewalks, parking lot, landscaping work may commence in late 2000 or in the spring of 2001. Environmental, Asbestos: $1,500,000.00 Environmental and asbestos remediation likely to commence October/November 2000, with completion prior to Tenant(s) occupancy(s). Interior Demolition: $500,000.00 Interior Demolition likely to commence October/November 2000. Show Spaces: $300,000.00 • Show Spaces likely to commence construction October/November 2000. s-1194 • MEMORANDUM 176 DATE: 7/12/00 MEETING DATE: 7/18/00 TO: Planning Commission . FROM: Assistant City Manager Isom G, RE: Request to postpone public hearing for Hillcrest Development's preliminary and final development plans. Hulcrest Development's preliminary development plan for the Apache Plaza that includes a rezoning from "C" district to a P1JD. The applicant has requested this hearing be postponed until after a special meeting of the Planning Commission can be held in either the City Hall conference or multi-purpose room. The Commission, at said special meeting, will also hear Hillcrest's final development plan for the Apache Plaza. Therefore, the Development Review Committee asks that the Commission move to accept this request, thus scheduling said Special meeting for August 1, 2000 or at such time thereafter as deemed appropriate by the Development Review Committee. Action required. Staff Recommendation: Staff recommends the Commission make a motion to accept the request and schedule a special meeting Tuesday, August 1, 2000 at 7:00pm. Cc: City Clerk Kroeplin • • 177 • MEMORANDUM DATE: 8/3/00 TO: City Manager Mornson FROM: Assistant City Manager Isom RE: UPDATE OF THE CRITICAL PATH FOR PLANNED UNIT DEVELOPMENT (PUD) ORDINANCE/PROCESS AND HILLCREST DEVELOPMENT'S REDEVELOPMENT OF APACHE PLAZA PROPERTY To date the"Critical Path"is amended as follows: Critical Path/Important Dates Target Complete Task 4/18/00 4/18/00 Planning Commission meeting. Commission approved an amendment to the Comprehensive Plan. Commission to ask Hillcrest to withdraw their request for zoning map change and zoning code amendment. 4/25/00 4/25/00 City Council meeting. Council to consider an amendment to the Comprehensive Plan. 4/27/00 4/26/00 Planning Consultant. Consultant to submit"Application for Comprehensive Plan Amendment"to Metropolitan Council. Planning Consultant to facilitate the approval • of said amendment. 5/2/00 5/2/00 Planning Commission work session. Commission to hold work session with Planning Consultant,staff,and Hillcrest to discuss the draft PUD ordinance and process. 5/9/00 5/10/00 Planning Consultant. Consultant to submit final PUD ordinance and related forms applications,etc.to staff. Said ordinance and related documents shall be"approved as to form"by City Attorney Soth. Additionally,Consultant to work with Hillcrest to prepare them for the PUD process. 5/15/00 5115100 City Council work session. Council to hold work session with Planning Commission Representative,Planning Consultant,staff,and Hillcrest to discuss PUD ordinance and process. 5/16/00 5/16/00 Planning Commission meeting..Commission to hear PUD ordinance. Commission, Consultant,and staff to hold/hear Hillcrest Development's-"Application Conference" and"Sketch Plan." 5/23/00 5/23/00 City Council meeting. City Council to hear the PUD ordinance(one reading). 6/6/00 6/6/00 Planning Commission work session. Commission to hold work session with Planning Consultant,staff,and Hillcrest. • 178 • 2 6/20/00 6/20/00 Planning Commission meeting. Commission to hear(Public Hearing)"Preliminary Development Plan"(PUD/site specific)and make recommendations for approval or denial of said plan. Commission also to hear(Public Hearing)plan for Tax Increment Financing(TIF). 6/27/00 6/27/00 City Council meeting. Council to hear Preliminary Development Plan (PUD/site specific). NOTE: Council referred Preliminary Plan back to the Planning Commission. 7/18/00 7/18/00 Planning Commission meeting. Applicant will request that the Commission hold a special meeting August 1, 2000 to re visit, via public hearing, the Preliminary Development Plan(PUD/site specific)to include rezoning of the Apache Plaza from "C"district to PUD designation. The applicant also requests that the Commission also review the Final Development Plan during said special meeting. 8/l/00 8/l/00 Planning Commission"special'meeting. Commission to hold public hearing on the Preliminary and Final Development Plans to include rezoning of the Apache Plaza from"C"district to PUD designation. 8/8/00 ---- City Council meeting. Council to discuss Preliminary/Final Development Plan (PUD/site specific)to include rezoning of the Apache Plaza from"C"district to PUD designation. 8//22/00 ---- City Council meeting. Council to hear Preliminary/Final Development Plan(PUD/site • specific) to include rezoning of the Apache Plaza from "C" district to PUD designation. Council to hear findings of fact consistent with approvall denial,and final PUD agreement. It should be noted that the "Critical Path/Important Dates" may change depending on the outcomes of the Council and Commission meetings. Cc: City Clerk Kroeplin Planning Consultant Shardlow City Attorney Soth • 179 MEMORANDUM DATE:.. July 20, 2000 TO: Mayor and Councilmembers Spencer Isom, Assistant City Manager FROM: Michael Mornson, City Manager ITEM: CRITICAL PATH/IMPORTANT DATES FOR APACHE TAX INCREMENT FINANCING - UPDATE Target Complete Task 4/27/00 4/27/00 City Manager meets with Jerry Gilligan, Dorsey & Whitney, and Bob Thistle, Springsted, Inc., to review tax increment financing • (TIE) request from Hillcrest Development. 5/2/00 5/2/00 City Manager, Gilligan, Thistle meet with development team to discuss TIF request with Hillcrest. 5115100 5115100 Work session with City Council. 5/17/00 Letter sent to Ramsey County on TIF plan. 6/13/00 6/13/00 City Council/Housing and Redevelopment Authority (HRA) calls for a public hearing on new TIF District and decertify old TIF District. Review business terms with Hillcrest. 6/14/00 6/20/00 City notifies School Board and County Boards about new TIF District. 6/20/00 6/20/00 Planning Commission reviews TIF plan and makes recommendation to HRA. 6/27/00 6/27/00 Public hearing to adopt business subsidy policy. 7/7/00 7/7/00 Notice of 7/25 hearings faxed to St. Anthony Bulletin. r 7/12/00 Notice of 7/25 hearings published in Bulletin. 7/12/00 g p 18® • 7/25/00 *Three public hearings by HRA: (1) new TIF District (2) decertify parcels from existing District (3) specific business subsidy agreement with Hillcrest *Tabled 8/8/00 Council to review Preliminary and Final Development Plan (PUD/site specific) to include rezoning of the Apache Plaza from "C" district to PUD designation 8/22/00 Council to consider: (1) Approval of Hillcrest's Preliminary Plan (2) Approval of Hillcrest's Final PUD Plan (3) Amendment to TIF District #3 (4).Amendment to Redevelopment and TIF Financing Plans HRA to consider: (1) Amendment to TIF District #3 (2) Amendment to Redevelopment and TIF Financing Plans (3) Developers and business subsidy Agreements 181 CITY OF ST. ANTHONY NOTICE OF PUBLIC HEARING NOTICE IS HEREBY GIVEN that the Planning Commission of the City of St. Anthony will hold a special meeting for a public hearing on Tuesday, August 1, 2000 at 7:00 pm or as soon thereafter as possible, at the City Hall, 3301 Silver • Lake Road, to reconsider Hillcrest Development's Preliminary Development Plan and consider the Final Development Plan that includes 'a rezoning from a Commercial to.a Planned Unit Development zoning district for the Apache Plaza Property• Anyone wishing to be heard with reference to the above matter will be heard at said time and place. Questions regarding this matter may be referred to the Assistant City Manager at 612-789-8881. Auxiliary aids are available upon request at least 96 hours in advance of the meeting. Please call the City Clerk at 612-789-8881 to make arrangements. Spencer A. Isom Assistant City Manager Publish: St. Anthony Bulletin July 19, 2000 08/02/00 TIED 16:19 FAX 6123402644 DORSEY & WHITNEY AUG-02-00 WED 12:49 PM SIEGEL BRILL GREUPNER FAX No, 6123396591 182 SIEGEL, BRILL, GREUPNER, DUFFY & FOSTER, P.A. IZ300 WASHINGTON SOUARi. J06lAM K. PAILL.JR. 100 WANHINGTON AVENUE SOUTH MICHeLLC R.KLEGON JAME$R.GREUrNCR .. - MINNEAPOLIS, MINNESOTA 55401 .. SrCVX �. EINTRA _ GCAA%.0 S.D.UFVV _ TROY J.WCINTR? WOOD R. FOOTER.JR, - TELEPHONE(Cis)73!.7131 TROY J'..6EIOC�(Y TWO►IAE H. 91647004AN .. _ ROBERT Cr. NODE JOHN S.WATSON ,FACHIMILE(812)729.OSM BRENNA E.NELSON WM. CHI►11TOrMLR PCNWCLL SUZAN M.VG1G7 ANTMONY J. GLEEKEL Wsll,cs'a L•Mail AaGTWS; TanYM6ckel@SBGDF.com JOEL H. JEN5EN -!>ti RAFT WELLS STi3EET,SUITE L40 !IM►.401 L. NOr1LG M1lWAURs G.W•KaNL1M 6J>tOE JR1G JOpnAN M.69WIG 1AIA12=10'dAs j0pl^.1 C.WE 1sBER0 August 2,2000 FAx,4141 27GG2GG Mr. 'W'illiam R. Soth VIA FACSIMILE—612-340-2644 Dorsey &'Whitney LLP 220 South Sixth Street Minneapolis,MN 55402 Rc: Iiillcrest Development, a Minnesota limited partnership Petition for Plazmed Unit Development for property ]mown as Apache Plaza, legally described as Lots 6 and 7, BIock 1, Silver Lake Center, and T.at S, .dock 1., Apache Plaza, Ramsey County,Minnesota('Property) • Our File No.21,256-AG-003 Dear Bill: As.we discussed, it is my understanding that the City of St. Anthony ("City ") City Council's review of Hillcrest'$ Preliminary Development Plan and Final Development Plan appl.ication ("Application's will not occur until August 22, 2000. ''>7J'hile the Application will be on the City Council's August 8 agenda, no decision will be made until the matter is before the City Council on.August 22.2000. As you requested, Hillcrest acl aowledges its initial waiver of any sixty (60) day rule review pursuant to Minn.. Stat. 15.99_ If a resolution is not adopted regarding the Application on August 22,Hillcrest will revisit the approval schedule. If you have any immediate questions,please contact Tne. Vcry truly yours, Anthony _ leekel AJG cc: Scott Tankenoff AUG-11-00 FRI 12; 12 PM SIEGEL BRILL GREUPNER FAX N0. 6123396591 P, 06 183 The following events shall take place, subject to unavoidable delays (as defined in the Redevelopment Agreement and Planned Unit Development Agreement): TIMETABLE TASK DATE Landscaping 50% completed no later than September 30 2001, and the remaining 50% commenced no later than August 31, 2003 and completed no Iater than November 15,2003 Fagade of Apache Plaza Building Completed no later than August 30, 2003 At least 4,000 sq. ft_ of Show Space Completed no later than May 15, 2001 Watershed/Drainage Improvements Commenced no later than August 31,2003 • 494ar-8/11/00-21256-003-Improvements Timctablc • 184 CITY OF ST. ANTHONY • RESOLUTION 00-066 A RESOLUTION APPROVING THE PRELIMINARY•AND FINAL DEVELOPMENT PLANS RELATING TO THE APACHE PLAZA PROPERTY, SUBMITTED BY HILLCREST DEVELOPMENT LIMITED PARTNERSHIP WHEREAS, Hillcrest Development Limited Partnership has submitted Preliminary and Final Development Plans for the redevelopment of the Apache Plaza property; and WHEREAS., said Plans have been reviewed by the St. Anthony Planning Commission at a public hearing; and, by unanimous approval, the Planning Commission recommended the St. Anthony.City Council approve said Preliminary and Final Development Plans. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of St. Anthony hereby approves the Preliminary and Final Development Plans for the Apache Plaza property, submitted by Hillcrest Development Limited Partnership and that includes a rezoning from a "C", Commercial, to a Planned Unit Development, "PUD", zoning district based on the following: • • the Jul 27 2000 Preliminary and Final Development Plans as last revised Y ry P August , 2000; • the August 1, 2000 Exhibit A, as modified by John Shardlow; • deferred approvals for the Comprehensive Sign Plan; the Lighting Plan, which must be consistent with City plans; and the redevelopment of the New Market site. The City Council further finds that: • the proposed Plans are consistent with the existing Comprehensive Plan; • Apache Plaza is an underdeveloped commercial property and has been in this condition for several years during which time the City has seen no significant interest in redevelopment from developers; • Apache Plaza property represents the most significant underdeveloped asset in the City's non-residential tax base; • • recent adjacent development has failed to rekindle the commercial redevelopment of the Apache Plaza property; 185 Resolution 00-066 • Page 2 • the project developer, Hillcrest Development, has demonstrated a successful history.of similar redevelopment in nearby areas; • there are no detrimental impacts to nearby properties; • the proposed project will be of significance to the City through its planned improvements to the building exterior, interior, landscaping, storm water quality treatment, and through general revitalization of a long underused property; and • the proposed project represents reasonable and viable high and low use of the property and that City abandonment of the proposed plan at this time would send a negative message to other potential developers. Adopted this day of , 2000. Mayor ATTEST: City Clerk Reviewed by Administration: City Manager • 08/16/00 WED 15:33 FAX 6123402644 DORSEY & WHIMY _- - 18 • Dr4- 1: 8/16/00 PLANNED UNIT DEVELOPMENT AGREEMENT This Agreement is dated as of 12000 by and between the CITY OF ST. ANTHONY, MINNESOTA, a public body corporate and politic (the "City'), and HWICREST DEVELOPMENT, a Minnesota limited partnership ("Redeveloper"). 1. Request for Planned Unit Development Approval. Redeveloper has asked the City to approve a Planned Unit Development Plan to redevelop certain property in the City of St.Anthony known and referred to as Apache Plaza and legally described as follows(the "Property"): Tots 6 and 7.Block 1, Silver Lake Center, and Lot 5,Block 1,Apache plaza, according to the recorded plats thereof, Ramsey County, Minnesota,together with easements for ingress and egress as contained in a Reciprocal Easement Agreement filed as Document No.2927183. 2. Planned Unit Development Plan Approval. The City hereby acknowledges and confirms that at a meeting of the City Council of the City on August 22, 2000 the City Council approved Redeveloper's Application for Preliminary Development Plan and Final Development Plan for the Property (together herein referred to as the"Plan') subject to Redeveloper's execution and delivery of this Agreement and Redeveloper's compliance with the terms and conditions of this Agreement. The City agrees to approve applications for building permits for the Property,provided that(i)the uses of the Property and plans for the improvements submitted by Redeveloper are consistent with the Plan as approved by the City Council, and(ii)all of the conditions of this Agreement that are required to have been satisfied at the time of the application for the permit have been satisfied. 3. Compliance with PUD Ordinance and Development Plan.. Redeveloper applied to the City for approval of the Plan under Section 1655 of the City Code pertaining to planned unit developments (the"PUD Ordinance"). Redeveloper hereby agrees that all improvements to the interior and exterior of the building on the Property (the"Building?), interior and exterior building equipment and systems, landscaping, drainage and ponding,traffic tiow,parking, loading docks, signage, lighting, and all other improvements to the Property ("Improvements"), and all • uses of the Property, shall comply with the PUD Ordinance and with all applicable provisions of the Plan, including but not limited to all applicable Exhibits attached to the Plan. 08/16/00 WED 15:34 FAX 6123402644 DORSEY & WHITNEY 187 • 4. Completion o£_Improvements. Redeveloper intends to redevelop the Property over a period of time,with the timing of the . completion of certain of the Improvements being dependent on the leasing of the space in the Building. In any event, Redeveloper shall complete.the following Improvements in compliance with the requirements fox the Plan on or before the following dates: Landscaping: 50%before September 30, 2001, remaining 50% commenced before August 31, 2003 and completed before November 15, 2003 Building Facade August 30,2003 Show Space of at least 4,000 sq. ft. May 15, 2001 Watershed/Drainage Improvements August 31, 2003 5. Compliance with Laws and Regulation L s. • Redeveloper represents to the City and agrees with the City that the redevelopment of the Property and all Improvements shall comply with all applicable City, County, Metropolitan, State, and Federal laws and regulations, including but not limited to all applicable subdivision ordinances, zoning ordinances, the PUD Ordinance,the Plan approved by the City Council, and all environmental laws and regulations. Notwithstanding anything in this Agreement to the contrary,in the event of any inconsistencies between the PUD Ordinance and the Plan,the Plan shall govern and control. 6. Redeveloper's Default. In the event of default by Redeveloper under this Agreement, including but not limited to Redeveloper's failure to complete any Improvements to be completed by it hereunder, and failure of Redeveloper to cure such default within 60 days after notice thereof from.the City,the City may, at its option,perform the work or otherwise.cure the default, in which case Redeveloper shall promptly reimburse the City for any costs and expenses which the City incurs in doing so. Notiice to Redeveloper shall constitute,without further action,notice to any contractor or subcontractor of Redeveloper. This Agreement shall constitute a license from Redeveloper for the City to act. If Redeveloper defaults in the performance of any of the covenants and agreements herein contained and such default is not cured within 60 days after receipt by Redeveloper of written notice thereof,the City, if it so elects,,may cause any of the Improvements to be constructed and installed, and may otherwise cure any other defaults by Redeveloper under this Agreement. If any.Improvements • -2- 08/16/00 WED 15:34 FAX 6123402644 DORSEY & WHITNEY • have been commenced by Redeveloper and the City then elects to complete the Improvements under the provisions of this Section because of a failure of Redeveloper to do so,the City shall have the right at its election to either(i) contract with the same contractor or contractors which commenced the Improvements,or(ii) competitively bid the work under applicable state statutes. If the City is not reimbursed within 15 days from the date of Redeveloper is billed by the City for such costs and expenses,the City shall have the right to refuse to issue any building permits or occupancy permits for the Property, and shall have the right to cause the entire cost thereof, including all reasonable engineering, legal and administrative expense incurred by the City,to be assessed as a special assessment against the Property. The City also may take legal action against Redeveloper to collect said costs and expenses. In the event of an emergency,.as determined by the City Manager, the notice requirements to Redeveloper shall be deemed waived, and Redeveloper shall reimburse the City for any expense incurred by the City in remedying the conditions creating the emergency. 7. Disclaimer by City. It is understood and agreed that the City,the City Council, and the agents and employees of the City, shall not be liable or responsible in any manner to Redeveloper, Redeveloper's contractors or subcontractors,materialmen, laborers or to any other person, firm or corporation, for any debt, claim,demand,damages, actions or causes of action of any kind or character arising out of or by reason of the execution of this Agreement, construction of the Improvements, or the performance of any other work on the Property. Redeveloper agrees to hold the City, the City Council, and the agents, officers and employees of the City,harmless from any and all claims, damages, demands, actions or causes of action arising in relation to this Agreement or in relation to the construction of any Improvements on the Property or the performance of any work on the Property or for the benefit of the Property, and for the costs,disbursements and expenses of defending the same. 8. Erosion Control. Redeveloper, at Redeveloper's expense, shall provide temporary dams, earthwork or such other devices, including seeding of graded areas, as shall be needed, in the judgment of the City Engineer to prevent the washing,flooding, sedimentation an erosion of lands and roads within and outside the development during all phases of construction. Redeveloper shall keep all streets outside the development free of all dirt and debris resulting from construction. 9. Replacement. All work and materials performed and furnished by Redeveloper, Redeveloper's agents and subcontractors,found by the City Engineer to be defective within one year after acceptance by the City shall be replaced by Redeveloper at Redeveloper's sole expense. 10. Liability Insurance. Redeveloper shall take out and maintain during the construction of any Improvements public liability and property damage insurance covering personal injury,including death, and claims for property damage which may arise out of Redeveloper's work or the work of Redeveloper's contractors or subcontractors, or by anyone directly or indirectly employed by any of them. Limits for bodily injury or death shall be not less than$1,000,000 for each accident; limits for property damage shall be not less than$100,000 for each accident and$500,000 for accidents during • -3- i 08/16/00 RED 15:35 FAX 6123402644 DORSEY & WHITNEY 189 the policy period. The City shall be named as co-insured on said policy and Redeveloper shall file a certificate of insurance or copy of the policy evidencing such insurance coverage with:the City. Redeveloper will cause each person or company with whom Redeveloper contracts for installation of the Improvements to farnish the City with the same evidence of complete insurance coverage as is required to be furnished by Redeveloper. 11. Title. Redeveloper shall provide the City with evidence of ownership of fee title to all of the Property, which title shall be subject to approval by the City Attorney. 12. Reimbursement of Costs. Redeveloper shall reimburse the City for all fees and expenses of planners,attorneys, engineers and other consultants incurred by the City in connection with the preparation, administration and enforcement of the PUD Ordinance, the Plan,this Agreement,the Redevelopment Agreement to be executed by Redeveloper in connection with tax increment financing for the Property, completion of the Improvements and the performance.of this Agreement by Redeveloper. The costs to be paid by Redeveloper under this paragraph shall be estimated by the City and the estimated amount shall be paid to the City prior to the signing of this Agreement by the City. At any subsequent time,the actual amount of the costs under this paragraph may be determined by the City and any amount to be paid by the Redeveloper to the City for reimbursement of the costs shall be paid prior to the issuance of any additional permits and prior to the payment to Redeveloper of any additional funds under the Redevelopment Agreement. If the amount paid by Redeveloper exceeds the actual costs to the City,the excess shall be refunded to Redeveloper. • 13. Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the parties and their respective successors and assigns; provided,however,that Redeveloper shall- not assign this Agreement or any interest therein without the prior written consent of t}e City. Notwithstanding the foregoing, this Section shall not apply to any transfer or assignment to (i) any entity controlling, controlled by or under common control with the Redeveloper or(ii) any entity in which the majority equity interest is owned by the parties that have a majority equity interest in the Redeveloper. In the absence of specific written agreement by the City to the contrary, no such transfer or approval by the City thereof shall be deemed to relieve Redeveloper, or any other party bound in any way by this,Agreement or otherwise with respect to the completion of the Improvements on the Property,from any of its obligations with respect thereto. The City does agree,however,that if(i) Redeveloper completes the Improvements referred to in Section 4 of this Agreement as required under this Agreement,and(ii) Redeveloper has assigned this Agreement to a permitted assignee referred to in the preceding paragraph of this Section, and(iv) such assignee has assumed in writing the obligations of Redeveloper under this Agreement,and(v)Redeveloper is not then in default under this Agreement, then the City will execute a document releasing Hillcrest Development of its obligations under this Agreement. • -4- 08/16/00 WED 15:35 FAX 6123402644 DORSEY & WHIrMY 190 • 14. Miscellaneous. (a) if any portion, section, subsection, sentence, clause,paragraph or phrase of this Agreement is for any reason held invalid as a result of a challenge brought by Redeveloper;its agents or assigns,the City may, at its option, declare the entire Agreement null and void, and approval of the Plan shall thereby be revoked. (b) This Agreement shall run with the Property and may be recorded in the real estate records of Ramsey County, Minnesota. (c) This Agreement shall be liberally construed to protect the public interest. 15. Notices. Required notices to Redeveloper shall be in writing and shall either be hand delivered.to Redeveloper or mailed to Redeveloper by certified mail at the following address: Hillcrest Development Attn: Scott Tankenoff, 2424 Kennedy Street N.E. Minneapolis, MN 55413 Notices to the City shall be in writing and shall either by hand delivered to the City Manager, or mailed by certified mail, in care of the City Manager at the following address: City of St. Anthony 3301 Silver Lake Road St. Anthony,MN 55418 —5— 08/16/00 WED 15:35 FAX 6123402644 DORSEY & WHITNEY 191 • IN WITNESS WHEREOF) the parties have executed this Agreement as of the day and year first above written. CITY OF ST.ANTHONY, MINNESOTA By Dennis Cavanaugh, Mayor And Michael J. Mornson, City Manager HILLCREST DEVELOPMENT L MITED PARTNERSHIP By Scott Tankenoff Its General Partner • STATE OF MINNESOTA ) )ss. COUNTY OF HENNEPIN ) The foregoing instrument was acknowledged before me on this day of 2000,by Dennis Cavanaugh and Michael J. Mornson, the Mayor and City Manager,respectively of City of St. Anthony,Minnesota, a public body corporate and politic on behalf of the City. Notary Public Expiration Date of Commission: 08/16/00 WED 15:35 FAX 6123402644 DORSEY & WHITNEY 192 ! • STATE OF MINNESOTA ) ) Ss. COUNTY OF HENNEPIN ) The foregoing incrmment was acknowledged before me on this day of , 2000,by Scott Tankenoff,the general partner of Hillcrest Development,a Minnesota limited partnership, on behalf of said limited partnership. Notary Public Expiration Date of Commission: This Agreement was drafted by: Dorsey &Whitney LLP (WRS) 220 S. Sixth Street Minneapolis,MN 55402 -7- 08/16/00 WED 15:35 FAX 6123402644 DORSEY & WHITNEY 193 CONSENT The undersigned, as the owner and holder of a mortgage on the Property described in the foregoing Agreement,hereby consents to the provisions of the foregoing Agreement and subordinates its mortgage lien on Property to the provisions of said Agreement. [MORTGAGEE] By Its STATE OF ) ) ss. • COUNTY OF ) The foregoing instrument was acknowledged before me on this day of , 2000)by , the of . a on behalf of said Notary Public Expiration Date of Commission: This Consent was drafted by: . Dorsey& 'Whitney LLP (WRS) 220 South Sixth Street Minneapolis,MN 55402 • —8— • 194 CITY OF ST. ANTHONY RESOLUTION 00-075 A RESOLUTION RELATING TO HILLCREST DEVELOPMENT PUD; APPROVING EXECUTION OF PUD AGREEMENT WITH HILLCREST DEVELOPMENT BE IT RESOLVED by the City Council (the "Council") of the City of St. Anthony, Minnesota (the "City"), as follows: 1. Redevelopment Plan and Redevelopment Project. This Council and the Housing and Redevelopment Authority of the City of St. Anthony, Minnesota have previously approved a redevelopment plan.and redevelopment project under Minnesota Statutes, Section 469.001 to 469.047, and a tax increment financing plan, under Minnesota Statutes, Section 469.174 to 469.179, designated s Redevelopment Plan for Redevelopment Project No. 3 - Ramsey County, Redevelopment Project No. 3 - Ramsey County (the "Redevelopment project") and Tax Increment Financing Plan for Tax Increment Financing District No. 5 - Ramsey County. 2. PUD Plan Approval. At a meeting of the Council on August 22, 2000 the Council • approved the Application of Hillcrest Development ("Redeveloper") for a Preliminary Development Plan and Final Development Plan for the Redevelopment project (together herein referred to as the "Plan") subject to Redeveloper's execution and delivery of a Planned Unit Development Agreement and Redeveloper's compliance with the terms and conditions of the Planned Unit Development Agreement. 3. PUD Agreement. The City Attorney has prepared a Planned Unit Development Agreement which the Redeveloper is prepared to sign and which the Council has reviewed (the "PUD Agreement"). 4. Council Approval of PUD Agreement. The form and terms of the Redevelopment Agreement are hereby approved, and the execution and delivery by the City of the PUD Agreement and execution and delivery of any related permits and documents by the City as provided in the PUD Agreement are hereby authorized. The Mayor and City Manager are hereby authorized and directed to execute and deliver the PUD Agreement on behalf of the City in substantially the form presented hereto with such changes and modifications as may be approved by the officers executing the PUD Agreement. The execution and delivery of the PUD Agreement by the Mayor and City Manager shall be conclusive evidence of the approval of any changes and modifications to the PUD Agreement by such officers. 195 • Resolution 00-075 Page 2 The motion for the adoption of the foregoing resolution was made by Councilmember and_was duly seconded by Councilmember and upon vote thereof being taken thereon, the following voted in favor thereof: and the following voted against the same: whereupon said resolution was declared duly passed and adopted, and was signed by the Mayor, whose signature was attested by the City Clerk. • 196 • MEMORANDUM TO: Mayor and Members of the City Council Michael Morrison, City Manager FROM: Jerry Gilligan DATE: August 15, 2000 RE: Establishment of TIF District No. 5 and Redevelopment Agreement with Hillcrest Development At its meeting on July 25`h the City Council held a public hearing on the elimination by the HRA of certain parcels from the existing Apache Plaza tax increment financing district and the establishment of a new tax increment financing district containing these parcels. At their meetings on August 22°d the HRA and City Council will be considering resolutions approving such actions. The new tax increment financing district is proposed to include the tax parcels which contain.Apache Plaza Shopping Center, and the adjacent property consisting of the site of the former • New Market store and the Taco Bell. Since a portion of these parcels are presently included in a tax increment financing district established by the HRA in 1992 it will be necessary to remove these parcels from the existing tax increment financing district prior to including them in the new tax increment financing district. The tax increment financing plan for the new tax increment financing district authorizes the expenditure of tax increment revenue to be derived from the district to pay costs related to the redevelopment of the property in the district. Such tax increment may be used to pay such costs directly, to pay debt service on bonds issued to finance such expenditures or to reimburse the redeveloper of the property for payment of such redevelopment costs. The tax increment financing plan to be considered by the HRA and City Council . provides the new tax increment financing district is a"redevelopment district" under the TIF Act. The basis for this.determination is the report as to the condition of buildings in the district prepared by an outside consultant. This report is attached as an exhibit to the financing plan. The financing plan also includes estimates of costs,bonded indebtedness to be incurred, increment to be produced and duration of the district. This information is required to be contained in the financing plan by the TIF Act. DORS EY & WHITNEY L L P 197 • The financing plan provides that the City elects to make a"qualifying local contribution" with respect to the new tax increment financing district. Since the district is a redevelopment district the qualifying local contribution is 5% of the increment. By making this election the option is preserved that if such contribution is made to the redevelopment of the shopping center by the City or HRA from other than tax increment funds,_the City will avoid a reduction in state aid as a result of the district. In connection with the proposed redevelopment of Apache Plaza Shopping Center by Hillcrest Development there has been negotiated a Redevelopment Agreement between the HRA and Hillcrest Development. Approval of the Redevelopment Agreement is to be considered by the HRA following approval of the financing plan. The Redevelopment Agreement provides that the HRA will provide tax increment financing assistance in connection with the redevelopment of Apache Plaza Shopping Center. The assistance will be provided in the form of a "pay-as-you-go" revenue note to be issued by the HRA to Hillcrest. This note will be structured to reimburse Hillcrest for up to $4,750,000 of costs, plus interest at 9.50%. Such assistance would be payable with tax increment received through 2018. If such tax increment received through 2018 is not sufficient to repay the revenue note neither the City nor the HRA is obligated to make up any shortfall and the note is cancelled. The Redevelopment Agreement provides that $4,000,000 of the assistance will be for costs of acquisition, demolition and site improvements and up to $750,000 of the assistance will be for costs of storm sewer improvements not paid by the HRA. The HRA will reimburse to Hillcrest $300,000 from HRA funds for costs of storm • sewer improvements upon completion of the improvements. This $300,000 HRA reimbursement is. separate from the TIF assistance and will be a "qualifying local contribution" to the new tax increment financing district. The Redevelopment Agreement also provides that upon request of Hillcrest the HRA will commence eminent domain proceedings with respect to the Herberger lease if Hillcrest is unsuccessful in its negotiations with Herberger's. The Redevelopment Agreement provides that all costs and expenses of such proceedings will be paid by Hillcrest and requires Hillcrest to post a letter of credit with the HRA to secure its obligation to pay such costs and expenses prior to the HRA commencing eminent domain proceedings. JPG:cmn -2- DORSEY & WHITNEY LLP 198 Member introduced the following resolution and moved its adoption: RESOLUTION NO. 00- 061 RESOLUTION APPROVING AMENDMENT TO TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 3-RAMSEY COUNTY, AND MAKING FINDINGS WITH RESPECT THERETO BE IT RESOLVED by the City Council of the City of St. Anthony, Minnesota as follows: 1. The Board of Commissioners of the Housing and Redevelopment Authority in and for the City of St. Anthony (the "HRA") and this Council by resolutions adopted August 25, 1992 approved a redevelopment plan, as defined in Minnesota Statutes, Section 469.002, subdivision 16, designated as Redevelopment Plan for Redevelopment Project Area No. 3-Ramsey County (the "Original Redevelopment Plan"), and a redevelopment project.as defined in Minnesota Statutes, Section.469.002, subdivision 14, to be undertaken pursuant thereto, designated as Redevelopment • Project No. 3-Ramsey County(the "Original Redevelopment Project"), and on March 23, 1993, the . HRA and the City Council approved amendments to the Original Redevelopment Plan and Original Redevelopment Project (the Original Redevelopment Plan as so amended is herein called the "Redevelopment Plan" and the Original Redevelopment Project as so amended is herein called the "Redevelopment Project"). In order to finance the public redevelopment costs to be incurred by the HRA in connection with the Redevelopment Plan and Redevelopment Project;the HRA has approved a tax increment financing plan, pursuant to the provisions of Minnesota Statutes, Section 469.175, designated as Tax Increment Plan for Tax Increment Financing District No. 3-Ramsey County (the "Financing Plan"), which establishes a tax increment financing district, as defined in Minnesota Statutes, Section 469.174,.subdivision 9, designated as Tax Increment Financing District No. 3-Ramsey County (the "District"). The HRA has requested that this Council approve an amendment to the Financing Plan following a public hearing thereon to reduce the geographic area of the District by eliminating certain parcels therefor. The HRA has furnished to this Council a copy of the Amendment to the Financing: Plan for Tax Increment Financing District No.3-Ramsey County(the"Amendment to the Financing Plan"), and this Council on July 25, 2000, held a public hearing on the same after notice of the public hearing was published in the official newspaper of the City, not less than 10 days prior to the date of the hearing. All persons desiring to be heard were heard. 2. The Amendment to the Financing Plan is hereby approved. 3. This Council has previously found that the District is a redevelopment district within the scope of Minnesota Statutes, Section 469.174, subdivision 10, on the basis that there is reasonably distributed throughout the District the following conditions: (i) parcels consisting of 70% of 199 • the area in the District are occupied by buildings, streets, utilities or other improvements and (ii) more than 50% of the buildings (not including outbuildings) are structurally substandard to a degree requiring substantial renovation or clearance. The Amendment to the Financing Plan does not change such prior findings of the Council. 4. Based upon the reasons and supporting facts set forth in the Original Redevelopment Plan and Financing Plan, pursuant to Minnesota Statutes, Section 469.175, subdivision 3, this Council has hereby found that: (A)For reasons stated in Section 3 of this Resolution, the District is a Redevelopment District as defined in Minnesota Statutes, Section 469.174, subdivision 10. (B) The proposed redevelopment to be undertaken in accordance with the Original Redevelopment Plan in the opinion of this Council would not occur solely through private investment within the reasonably foreseeable future. (C)The Financing Plan conforms to the general plan for the development of the City as a whole. • (D)The Financing Plan will afford maximum opportunity consistent with the sound needs of the City as a whole for the development of the District by private enterprise. (E) The City elects the method of tax increment computation set forth in Minnesota Statutes, Section 469.174, subdivision 3, clause (a). The Amendment-to the Financing Plan does not change such prior findings of this Council. Passed by the Council this 22nd day of August, 2000. Mayor Attest: City Clerk City Manager -2- 2®® • The motion for the adoption of the foregoing resolution was duly seconded by Member and upon vote being taken thereon, the following voted in favor thereof: and the following voted against the same: whereupon said resolution was declared duly passed and adopted, and was signed by the Mayor, whose signature was attested by the City Clerk. • -3- 2®1 • Member introduced the following resolution and moved its adoption: . RESOLUTION NO. 00- 0 6 2 RESOLUTION APPROVING 2000-1 AMENDMENT TO REDEVELOPMENT PLAN FOR REDEVELOPMENT PROJECT AREA NO. 3-RAMSEY COUNTY AND THE REDEVELOPMENT PROJECT TO BE UNDERTAKEN PURSUANT THERETO AND TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 5- RAMSEY COUNTY, AND MAKING FINDINGS WITH RESPECT THERETO BE TT RESOLVED by the City Council of the City of St. Anthony, Minnesota as follows: 1. The Board of Commissioners of the Housing and Redevelopment Authority in and for the City of St. Anthony (the "HRA") and this Council by resolutions adopted August 25, 1992 approved a redevelopment plan, as defined in Minnesota Statutes,.Section 469.002, subdivision 16, • designated as Redevelopment Plan for Redevelopment Project Area No. 3-Ramsey County (the "Original Redevelopment Plan"), and a redevelopment project as defined in Minnesota Statutes, Section 469.002, subdivision 14, to be undertaken pursuant thereto, designated as Redevelopment Project No. 3-Ramsey County (the "Original Redevelopment Project"), and on March 23, 1993, the HRA and the City Council approved amendments to the Original Redevelopment Plan and Original Redevelopment Project (the Original Redevelopment Plan as so amended is herein called the "Amended Redevelopment Plan" and the Original Redevelopment Project as so amended is herein called the "Amended Redevelopment Project"). The HRA has approved an amendment to the Amended Redevelopment Plan and Amended Redevelopment Project designated as 2000-1 Amendment to the Redevelopment Plan for Redevelopment Project Area No. 3-Ramsey County (the "2000-1 Amendment," and the Amended Redevelopment Plan as amended by the 2000-1 Amendment is hereinafter referred to as the"Redevelopment Plan," and the Amended Redevelopment Project as amended by the 2000-1 Amendment is hereinafter referred to as the "Redevelopment Project"). The 2000-1 Amendment includes additional property in the area subject to the Redevelopment Plan and provides for additional redevelopment activities to be undertaken by the City and HRA pursuant to.the Redevelopment Project. In order to finance the public redevelopment costs to be incurred by the HRA in connection with the Redevelopment Plan and Redevelopment Project, the HRA has approved a tax increment financing plan, pursuant to the provisions of Minnesota Statutes, Section 469.175, designated as Tax Increment Plan for Financing District No. 5-Ramsey County (the"Financing Plan"), which establishes a tax increment financing district, as defined in Minnesota Statutes, Section 469.174, • subdivision 9, designated as Tax Increment Financing District No. 5-Ramsey County (the"District"). The HRA has requested that this Council approve the 2000-1 Amendment and Financing Plan 202 following a public hearing thereon. The HRA has furnished to this Council a copy of the 2000-1 Amendment and of the Financing Plan and the written opinion of the City Planning Commission as to the 2000-1 Amendment and Financing Plan, and this Council on July 25, 2000, held a public hearing on the same after notice of the public hearing was published in the official newspaper of the City, not less than 10 days prior to the date-of the hearing. All persons desiring to be heard were heard. 2. The 2000-1 Amendment,Financing Plan and establishment of the District are hereby approved. 3. This Council finds that the District is a redevelopment district within the scope of Minnesota Statutes, Section 469.174, subdivision 10, on the basis that there is reasonably distributed throughout the District the following conditions: (i) parcels consisting of 70% of the area in the District are occupied by buildings, streets,utilities or other improvements and (ii) more than 50% of the buildings (not including outbuildings) are structurally substandard to a degree requiring substantial renovation or clearance. In making this determination the City Council has reviewed and is relying on the report of Tom Goodoien, Consulting, included in the 2000-1 Amendment and Financing Plan, and information otherwise available to the City. 4. Based upon the reasons and supporting facts set forth in the Redevelopment Plan and Financing Plan, pursuant to Minnesota Statutes, Section 469.028, it is hereby found that: (A)The land located within the project area subject to the Redevelopment Plan would not be made available for redevelopment without financial aid sought; (B)The Redevelopment Plan for the area within the City included therein will afford maximum opportunity, consistent with the sound needs of the City as a whole, for the redevelopment of such areas by private enterprise; and (C)The Redevelopment Plan conforms to the general plan for the development of the City as a whole. 5. Based upon the reasons and supporting facts set forth in the Redevelopment Plan and Financing Plan, pursuant to Minnesota Statutes, Section 469.175,subdivision 3, it is hereby found that: (A) For reasons stated in Section 3 of this Resolution, the District is.a Redevelopment District as defined in Minnesota Statutes, Section 469.174, subdivision 10. (B) The proposed redevelopment to be undertaken in accordance with the Redevelopment Plan in the opinion of this Council would not occur solely through is -2- 2®3 • private investment within the reasonably foreseeable future and that the increased market value of the property included in the District that could reasonably be expected to occur without the use of tax increment financing would be less than the increase in market value estimated to result form the proposed redevelopment after subtracting the present value of the projected tax increments for the maximum duration of the District . permitted by the Financing Plan. (C)The Financing Plan conforms to the general plan for the development of the City as a whole. (D)The Financing Plan will afford maximum opportunity consistent with the sound needs of the City as a whole for the development of the District by private enterprise. (E)The City elects the method of tax increment computation set forth in Minnesota Statutes, Section 469.174, subdivision 3, clause (a). Passed by the Council this 22nd day of August, 2000. • Mayor Attest: City Clerk City Manager The motion for the adoption of the foregoing resolution was duly seconded by Member and upon vote being taken thereon, the following voted in favor thereof: and the following voted against the same: whereupon said resolution was declared duly passed and adopted, and was signed by the Mayor, whose signature was attested by the City Clerk. • -3- • XI. REPORTS FROM CITY MANAGER AND COUNCIL.. • 0 0 0 M�- be 200 s M T W T F s 1 2 3 4 5 I.S.D. 6 Special 7 County 8 9 # 282 Taxing Districts 10 11 12 13 Special 14 I.S.D. 15 16 St: Anthony Taxing # 282 Districts 17 18 19 20 21 22 23 County St. Anthony 24 25 26 27 28 29 30 4 council Meeting Cancelled �6 0 31 o> •ds HOUSING AND REDEVELOPMENT AUTHORITY AGENDA i CITY OF ST. ANTHONY • HOUSING AND REDEVELOPMENT AUTHORITY AGENDA August 22, 2000 PAGE(S) I. CALL TO ORDER. II. ROLL CALL. III. APPROVAL OF AUGUST 22, 2000 H.R.A. AGENDA. IV. CONSENT AGENDA .............................................................................. 1 - 5 These items are considered ro`citine and will be enacted by one motion. There will be no separate discussion of these items unless a Councilmember or citizen so requests, in which event the item will be removed from the Consent Agenda and placed elsewhere on the agenda. V. GENERAL POLICY BUSINESS OF THE H.R.A. • .A. Amendment to Tax Increment Financing District#3- Ramsey County (HRA Resolution 2000-008) (Jerome Gilligan, Dorsey & Whitney) ......................................... 5 - 10 B. Amendment to the Redevelopment Plan for Area #3 and on the Proposed Tax Increment Financing Plan for Tax Increment Financing District #5-Ramsey County (HRA Resolution 2000-009) (Jerome Gilligan, Dorsey & Whitney) ................................................................. 11 - 42 C. Consider Redevelopment Agreement and granting business subsidy to Hillcrest Development for the redevelopment of Apache Plaza and surrounding parcels (HRA Resolution 2000-010) (Jerome Gilligan, Dorsey & Whitney) ........................................ 43 - 79 VI. STAFF REPORTS. VII. H.R.A. COMMISSIONER COMMENTS. VIII. INFORMATION AND ANNOUNCEMENTS. • IX. ADJOURNMENT. IV. CONSENT AGENDA. 4. HRA Meeting Minutes - July 25, 2000. 5. Claims. • 1 CITY OF ST. ANTHONY HOUSING AND REDEVELOPMENT AUTHORITY MEETING MINUTES 3 July 25, 2000 4 I. CALL TO ORDER. 5 The meeting was called to order by Chairman Cavanaugh at 9:10 p.m. 6 II. ROLL CALL. 7 Commissioners present: Chairman Cavanaugh,Vice Chair Thuesen, Commissioners Sparks 8 Horst, and Hodson. 9 Commissioners absent: None. 10 Also present: Executive Director-Michael Mornson, Attorney Jerry Gilligan 11 III. APPROVAL OF JULY 25, 2000 H.R.A. AGENDA. 12 Motion by Horst to approve the July 25, 2000 H.R.A. Agenda as presented. 13 Motion carried unanimously. 14 IV. CONSENT AGENDA. 15 Motion by Horst to approve the Consent Agenda, which included: �6 1. Housing and.Redevelopment Authority Meeting Minutes of June 13, 2000; and 7 2 for the H.R.A. 18 Motion carried unanimously. 19 V. GENERAL POLICY BUSINESS OF THE H.R.A. 20 A. Public Hearing - Granting of Business Subsidy to Hillcrest Development for the 21 Redevelopment of Apache Plaza and Surrounding Parcels. 22 Executive Director Michael Mornson introduced Paul Steinman,Vice President of Housing & 23 Economic Development. Mr. Steinman directed the Commission's attention to a memorandum 24 dated July 17, 2000 (page 9-10 of the agenda packet). Mr. Steinman reviewed the memorandum, 25 which stated that at the City Council meeting on June 27, 2000,the Council approved, upon the 26 holding of a public hearing,the City's Business Subsidy Policy. 27 Such policy describes the circumstances under which the Mayor and Council would approve 28 business subsidies. The action was taken, in part, in anticipation of an incentive being provided 29 as part of the Apache Plaza redevelopment project. Additionally,the Business Subsidy 30 Agreement would be part of the overall Redevelopment Agreement with Hillcrest. Furthermore, 31 the Business Subsidy Agreement closely mirrors the Business Subsidy Policy. Major points 32 were outlined by Mr. Steinman and the issue was discussed in detail. • 2 Housing and Redevelopment Authority Meeting Minutes • July 25, 2000 Page 2 1 A possible condemnation of Herbergers Department Store was discussed, although Mr. Scott 2 Tankenoff noted for the record that Hillcrest Development would rather negotiate with 3 Herbergers and reach a resolution to.the lease issue. Hillcrest Development; Mr. Tankenoff 4 specifically noted, would like to work with Herbergers. In other words, if the Council does not 5 approve the condemnation procedures,then the proposed redevelopment would not be able to 6 continue. 7 Mr. Tankenoff noted that condemnation is a legal proceeding and is not the preferred choice of 8 action by Hillcrest Development. He further stated that Hillcrest has incentive under the TIF 9 plan to complete the project as quickly and efficiently as possible. However, Hillcrest needs to 10 move forward on the project and would not be willing to wait for Herbergers to make a lease 11 decision. 12 After inviting additional input from the audience and hearing none, Mayor Cavanaugh closed the 13 public hearing at 9:40 p.m. 14 Motion by Hodson to table the granting of business subsidy to Hillcrest Development for the 15 redevelopment of Apache Plaza and surrounding parcels until August 22, 2000. 16 Motion carried unanimously. 07 B. Amendment to Tax Increment Financing District#3 - Ramsey County (HRA Resolution 18 2000-008). 19 Motion by Thuesen to table Resolution 2000-008 until the City Council meeting on August 22, 20 2000. 21 Motion carried unanimously. 22 C. Amendment to the Redevelopment Plan for Area#3 and on the Proposed Tax Increment 23 Financing Plan for Tax Increment Financing District#5 -Ramsey CountyHRA 24 Resolution 2000-009). 25 Motion by Thuesen to table Resolution 2000-009 until the City Council meeting on August 22, 26 2000. 27 Motion carried unanimously. 28 Vl. STAFF REPORTS 29 Executive Director Michael Mornson noted that all members were scheduled to be in attendance 30 at the important August 22, 2000 City Council meeting and H.R.A. meeting. 31 Mornson reported that documents would be distributed to the Councilmembers as soon as 32 possible prior to the August 22, 2000 meeting for information and review. • Housing and Redevelopment Authority Meeting Minutes July 25, 2000 • Page 3 1 VII. H.R.A. COMMISSIONER COMMENTS. 2 . None. 3 VIII. INFORMATION AND ANNOUNCEMENTS. 4 Mr. Terry Xingston was introduced to the Council as a consultant to Hillcrest Development in 5 order to provide an estimate and explanation of the residual value of the property located at 6 Apache Plaza. He remarked that Hillcrest Development's interest in the Apache Plaza could 7 create a valuable property. Although there are issues left to be resolved, he believed that there 8 would be investors that would come into the community and the property would prove itself to 9 be a valuable property and would demonstrate long-term viability. 10 Cavanaugh thanked Mr. Kingston for his input. 11 IX. ADJOURNMENT. 12 Motion by Hodson to adjourn the meeting at 9:52 p.m. 13 Motion carried unanimously. 14 Respectfully submitted, 015 Sue Selseth 16 Timesaver Off Site Secretarial, Inc. • • Following are the claims for the August 25, 2000 HRA meeting: 1. Dorsey & Whitney... ..................................... $275.00 HRA General Legal 2. Dorsey & Whitney... ..................................... $345.00 Hillcrest Development - Apache Plaza 3. Dorsey & Whitney... ...................................$5,200.00 Apache Plaza TIF Matters 4. Midwest Planning & Design............................. $716.44 Kenzie Terrace - HRA Meeting 5. Springsted, Inc..... ..... ...............................$5,082.49 Apache Development Study • • V. GENERAL POLICY BUSINESS OF THE H.R.A. 1 . HRA Resolution 2000-008 2. HRA Resolution 2000-009 3. HRA Resolution 2000-010 5 • Commissioner introduced the following resolution and moved its adoption: H.R.A. RESOLUTION 2000- 008 RESOLUTION RELATING TO AMENDMENT TO TAX . INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 3-RAMSEY COUNTY; APPROVING AMENDMENT TO TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 3-RAMSEY COUNTY BE IT RESOLVED, by the Board of Commissioners of the Housing and Redevelopment Authority in and for the City of St. Anthony, Minnesota (the "HRA"), as follows: 1. The HRA and City Council (the "City Council") of the City of St. Anthony, Minnesota (the "City") have previously approved a redevelopment plan, as defined in Minnesota Statutes, Section 469.002, subdivision 16, designated as Redevelopment Plan for Redevelopment Project Area No. 3-Ramsey County (the "Original Redevelopment Plan"), and a redevelopment project to be undertaken pursuant thereto, as defined in Minnesota Statutes, Section 469.002, ® subdivision 14, to be designated as Redevelopment Project No. 3-Ramsey County (the "Original Redevelopment Project"), and on March 23, 1993, the HRA and the City Council approved amendments to the Original Redevelopment Plan and Original Redevelopment Project (the Original . Redevelopment Plan as so amended is herein called the "Redevelopment Plan" and the Original Redevelopment Project as so amended is herein called the "Redevelopment Project"). In order to finance the public redevelopment costs to be incurred by the HRA in connection with the Redevelopment Plan and Redevelopment Project, the HRA has approved the Tax Increment Financing Plan for Tax Increment Financing District No. 3-Ramsey County (the "Financing Plan"), pursuant to the provisions of Minnesota Statutes, Section 469.174, subdivision 9, to be designated as Tax Increment Financing District No. 5-Ramsey County (the`District"). It has been proposed that the HRA approve amendments to the Financing Plan designated as "Amendment to Tax Increment Financing Plan for Tax Increment Financing District No. 3-Ramsey County".(the "Amendment"), a copy of which has been presented to this Board. The Amendment reduces the geographic area of the District by eliminating certain parcels from the District. 2. The Amendment is hereby approved. 3. The HRA has previously found that the District is a redevelopment district within the scope of Minnesota Statutes, Section 469.174, subdivision 10, on the basis that there is reasonably distributed throughout the District the following conditions: (i) parcels consisting of 70% of is the area in the District are occupied by buildings, streets,utilities or other improvements and (ii) more than 50% of the buildings (not including outbuildings) are structurally substandard to a degree requiring • substantial renovation or clearance. The HRA finds that the Amendment does not affect such prior finding. 4. The Amendment shall be presented to the City Council for a public hearing on the Amendment pursuant to Minnesota Statutes, Section 469.175; subdivision 3. Dated the 22"d day of August, 2000. Chairman Attest: Executive Director -2- • AMENDMENT TO TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 3 - RAMSEY COUNTY THE HOUSING AND REDEVELOPMENT AUTHORITY OF ST. ANTHONY, MINNESOTA • APPROVED AUGUST 22,2000 • I. INTRODUCTION The Commissioners of the Housing and Redevelopment Authority of St. Anthony, Minnesota(the"HRA") and the City of St. Anthony, Minnesota(the "City"), have previously approved a tax increment financing plan designated as the Tax Increment Financing:Plan for Tax Increment Financing District No. 3--Ramsey County (the"Financing Plan") which establishes a tax increment financing district designated as Tax Increment Financing District No. 3-Ramsey County (the "District"). Certain property in the District has not as yet been redeveloped in a manner which meets the objectives and purposes of the Financing Plan. In order to provide for the redevelopment of such property the HRA desires to eliminate such property from the District and include such property in a new tax increment financing district to be established by the HRA. The parcels to be eliminated from the District are identified in Exhibit A hereto (the"Eliminated Parcels"). By this Amendment, the Commissioners of the HRA eliminate the Eliminated Parcels from the District. This Amendment is approved by the Commissioners of the HRA and the City pursuant to Minnesota Statutes, Section 469.175, subdivision 4. II. AMENDMENT TO FINANCING PLAN The Financing Plan is hereby amended to reduce the geographic area of the District by eliminating the Eliminated Parcels from the District. III. FISCAL AND ECONOMIC IMPLICATIONS OF ELIMINATION OF ELIMINATED PARCELS FROM DISTRICT Upon their elimination from the'District the Eliminated Parcels will be included in a new tax increment financing district to be established by the HRA. The estimated fiscal and economic implication of the elimination of the Eliminated Parcels from the District and inclusion of such Eliminated Parcels in such new tax increment financing district is set forth in the tax increment financing plan of the HRA for such District which is entitled"Tax Increment Financing Plan for Tax Increment Financing District No. 5-Ramsey County," which provisions are by reference incorporated herein. IV. DETERMINATIONS IN ORIGINAL FINANCING PLAN The determinations made in the Financing Plan with respect to designation of the District as a Redevelopment District,the impact of the establishment of the District and the implementation of the Redevelopment Plan(as defined in the Financing Plan) and undertaking of the Redevelopment Project (as defined in the Financing Plan) and the captured tax capacity of the District upon the redevelopment thereof are not affected by this Amendment and such determinations remain in full force and effect following the adoption of this Amendment. • • V. ADDITIONAL AMENDMENTS TO PLAN The City and the HRA reserve the right to further amend or modify the Financing Plan by their joint action, subject to the provisions of state law regulating such action. VI. ORIGINAL FINANCING PLAN The Financing Plan, except to the extent provisions thereof have previously been explicitly amended or supplemented and are explicitly amended or supplemented by this Amendment shall remain in and be in full force and effect. • • -2- 10 EXHIBIT A • ELIMINATED PARCELS The Parcels containing the following property identification numbers: . 31-30-23-33-0002 31-30-23-34-0015 31-30-23-34-0016 r A-1 • Commissioner introduced the following resolution and moved its adoption: H.R.A. RESOLUTION 2000-0 0 9 RESOLUTION RELATING TO 2000-1 AMENDMENT TO REDEVELOPMENT PLAN FOR REDEVELOPMENT PROJECT AREA NO. 3-RAMSEY COUNTY, AND THE REDEVELOPMENT PROJECT TO BE UNDERTAKEN PURSUANT THERETO AND TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 5- RAMSEY COUNTY; APPROVING 2000-1 AMENDMENT TO REDEVELOPMENT PLAN FOR REDEVELOPMENT PROJECT AREA NO. 3-RAMSEY COUNTY AND THE REDEVELOPMENT PROJECT TO BE UNDERTAKEN PURSUANT THERETO,TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 5- RAMSEY COUNTY AND THE ESTABLISHMENT OF TAX INCREMENT FINANCING DISTRICT NO. 5-RAMSEY COUNTY, AND REQUESTING THE APPROVAL OF THE CITY COUNCIL BE IT RESOLVED, by the Board of Commissioners of the Housing and Redevelopment Authority in and for the City of St. Anthony, Minnesota(the "HRA"), as follows: 1. The HRA and City Council (the "City Council") of the City of St. Anthony, Minnesota(the "City") have previously approved a redevelopment plan, as defined in Minnesota Statutes, Section 469.002, subdivision 16, designated as Redevelopment Plan for Redevelopment Project Area No. 3-Ramsey County(the"Original Redevelopment Plan"), and a redevelopment project to be undertaken pursuant thereto, as defined in Minnesota Statutes, Section 469.002, subdivision 14, to be designated as Redevelopment Project No. 3-Ramsey County (the"Original Redevelopment Project"), and on March 23, 1993, the HRA and the City-Council approved amendments to the Original Redevelopment Plan and Original Redevelopment Project (the Original Redevelopment Plan as so amended is herein called the "Amended Redevelopment Plan" and the Original Redevelopment Project as so amended is herein called the "Amended Redevelopment Project"). It has been proposed that the HRA approve an amendment to the Amended Redevelopment Plan and Amended Redevelopment Project designated as 2000-1 Amendment to the Redevelopment Plan for Redevelopment Project Area No. 3-Ramsey County (the"2000-1 Amendment," and the Amended Redevelopment Plan as amended by the 2000-1 Amendment is hereinafter referred to as the "Redevelopment Plan," and the Amended Redevelopment Project as • amended by the 2000-1 Amendment is hereinafter referred to as the "Redevelopment Project"). The 2000-1 Amendment includes additional property in the area subject to the Redevelopment Plan and 12 • provides for additional redevelopment activities to be undertaken by the City and HRA pursuant to the Redevelopment Project. In order to finance the public redevelopment costs to be incurred by the HRA in connection with the Redevelopment Plan and Redevelopment Project, it has been further proposed that the HRA approve a tax increment financing plan,pursuant to the provisions of Minnesota Statutes, Section 469.175, designated as Tax Increment Plan for Tax Increment Financing District No. 5- Ramsey County(the "Financing Plan"), which establishes a tax increment financing district, as defined in . Minnesota Statutes, Section 469.174, subdivision 9, to be designated as Tax Increment Financing District No. 5-Ramsey County(the "District"). 2. The 2000-1 Amendment, the Financing Plan and the District are described in the attached documents entitled"2000-1 Amendment to Redevelopment Plan For Redevelopment Project No. 3-Ramsey County and Tax Increment Plan for Tax Increment Financing District No. 5- Ramsey County," and the Redevelopment Project described in the Redevelopment Plan are hereby approved. The Executive Director is further authorized and directed to request the appropriate authorities of Ramsey County to certify the original net tax capacity of the District pursuant to Minnesota Statutes, Section 469.177 following approval of the Financing Plan and District by the St. Anthony City Council in accordance with Minnesota Statutes, Section 469.175, subdivision 3. 3. The HRA finds that the District is a redevelopment district within the scope of Minnesota Statutes, Section 469.174, subdivision 10, on the basis that there is reasonably distributed throughout the District the following conditions:- (i) parcels consisting of 70% of the area in the District are occupied by buildings, streets, utilities or other improvements and (ii) more than 50% of the buildings (not including outbuildings) are structurally substandard to a degree requiring substantial renovation or clearance. In making this determination the HRA has reviewed and is relying on the report of Tom Goodoien, Consulting, included in the 2000-1 Amendment and Financing Plan, and information otherwise available to the HRA. 4. The 2000-1 Amendment was transmitted to the St. Anthony Planning Commission (the"Commission") for its review and opinion. The Commission delivered to the HRA its written opinion on the 2000-1 Amendment. 5. The 2000-1 Amendment, the Financing.Plan and the District, together with written opinion of the Commission, shall be presented to the City.Council for a public hearing on the 2000-1 Amendment pursuant to Minnesota Statutes, Section 469.028, subdivision 1.and the Financing Plan pursuant to Minnesota Statutes, Section 469.175, subdivision 3. Dated the 22°d day of August,2000. Chairman Attest: Executive Director -2- 13 2000-1 AMENDMENT TO REDEVELOPMENT PLAN FOR REDEVELOPMENT PROJECT AREA NO. 3-RAMSEY COUNTY and TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 5-RAMSEY COUNTY August 22, 2000 HOUSING AND REDEVELOPMENT AUTHORITY OF ST. ANTHONY, MINNESOTA 14 • TABLE OF CONTENTS This Table of Contents is for convenience only and is not part of the Redevelopment Plan or the Tax Increment Financing Plan. Pa-e I. INTRODUCTION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 A. Statement of Need and Statutory Authority . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . 1 B. Definitions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 11 2000-1 AMENDMENT TO REDEVELOPMENT PLAN . . . . . . . . . . . . . . . . . . . . . . . . 3 A. Statement of Need . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 B. Statement of Objectives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 C. Inclusion of Additional Property in Area Subject to Redevelopment Plan; Undertaking of Redevelopment Project . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 III. TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 5-RAMSEY COUNTY . . . : . . . . . : . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 A. Statement of Objectives and Redevelopment Project . . . . . . . . . . . . . . . . . . . . . . 5 B. Property to be Included in Tax Increment District . . . . . . . . . . . . . . . . . . . . . . . . . 5 C. Estimated Public Redevelopment Costs, Property to be Acquired Contracts and Development Expected to Occur . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 D. Payment of Public Redevelopment Costs. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 E. Determination and Use of Tax Increment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 F. Impact of Tax Increment Financing on Other Taxing Jurisdictions . . . . . . . . . . . 8 G. Qualifying Local Contribution . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 IV. AMENDMENTS TO PROJECT AND PLANS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 EXHIBITS A. List of Parcels in Tax Increment Financing District No. 5-Ramsey County . . . . . . . . A-1 B. Present Estimate of Public Redevelopment Cost . . . . . . . . . . . . . . . . . . . . . . . . . . . . . B-1 C. Report of Tom Goodoien, Consulting . . . . . . . . . . . . . . . . . . . . . . . . . C-1 D. Estimate of Tax Increment to be Received . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D-1 E. Estimate of Impact of District on Other Taxing Jurisdiction . . . . . . . . . . . . . . . . . . . . E-1 15 • I. INTRODUCTION A. Statement of Need and Statutory Authority. On August 25, 1992 the Commissioners of the Housing and Redevelopment Authority of St. Anthony, Minnesota(the "HRA") and the City Council of the City of St. Anthony, Minnesota(the "City"), approved Redevelopment Plan for Redevelopment Project Area No. 3-Ramsey County(the""Original Redevelopment Plan") and Redevelopment Project for Redevelopment Project Area No. 3-Ramsey County(the "Original Redevelopment Project") to be undertaken pursuant thereto, and on March 23, 1993 the Commissioners of the HRA approved certain amendments to the Original Redevelopment Plan and Original Redevelopment Project (the Original Redevelopment Plan as so amended is herein called the "Redevelopment Plan" and the Original Redevelopment Project as so amended is herein called the "Redevelopment Project"). It has been proposed that the additional property consisting of the parcel located at 3704 Silver Lake Road on which the Taco Bell restaurant is located (PID#31-30-23-34- 0018) be included in the area subject to the Redevelopment Plan (the "Additional Property"). The Redevelopment Plan and Redevelopment Project relate to the redevelopment of Apache Plaza Shopping Center(the "Shopping Center") located at 37' Avenue North and Silver Lake Road in the City and certain adjacent property. Since the approval of the Original Redevelopment Plan and Original Redevelopment Project by the HRA and the City a portion of the Shopping Center has been redeveloped by the demolition of certain buildings and the construction of a new grocery store. It • has been proposed that the remaining portion of the main center of the Shopping Center and surrounding property be substantially renovated and remodeled and that various public improvements including storm water drainage improvements be undertaken. The property proposed to be so improved is in the area subject to the Redevelopment Plan and Redevelopment Project. The proponent of such redevelopment has represented to the City and HRA that such redevelopment will not occur unless financial assistance is provided by the HRA and the City. The HRA has determined that such proposed redevelopment of the Shopping Center is in the best interests of the residents of the City and that the HRA and the City may be able to assist in such redevelopment of the Shopping Center. In order to finance the public redevelopment costs to be paid or incurred by the HRA and the City pursuant to the Redevelopment Plan and Redevelopment Project, it is proposed that the HRA adopt a tax increment financing plan (the "Financing.Plan"), which provides for the creation of a . Tax Increment Financing District No. 5-Ramsey County(the "District"). This Amendment to the Redevelopment Plan and Redevelopment Project and the Financing Plan is approved by the Commissioners of the HRA and by the City Council of the City pursuant to Minnesota Statutes, Sections 469.001 to 469.047 and 469.74 to 469.179. B. Definitions. Each of the words and terms defined in this Section shall for all purposes of the Redevelopment Plan and the Financing Plan, have the meanings given to them in this Section B. • 16 "Bonds" means the tax increment bonds, notes and any other obligations issued by the City, the principal of and interest on which are payable in whole or in part out of the Tax Increment, to finance or provide for the payment or reimbursement of the Public Redevelopment Cost. "Bond Resolution" means any and all resolutions, ordinances, trust indentures and other documents under which any Bonds are sold, issued or secured. "Captured Tax Capacity" means for the District that portion of the Tax Capacity in excess of the Original Tax Capacity as adjusted from time to time, if any. "City" means the City of St. Anthony, Hennepin and Ramsey Counties,Minnesota. "District" means the Tax Increment Financing District No. 5-Ramsey County, established pursuant to the Tax Increment Financing Plan. "Financing Plan" means the Tax Increment Financing Plan for Tax Increment Financing District No. 5-Ramsey County as approved and as supplemented and amended from time to time by the Board of Commissioners of the HRA. "HRA" means the Housing and Redevelopment Authority of St. Anthony, Minnesota. • "Original Tax Capacity" means the Tax Capacity of all taxable property in the Tax Increment District as most recently determined by the Commissioner of Revenue of the State of Minnesota as to the date of certification thereof by the County Auditor pursuant to Minnesota Statutes, Section 469.177 and as thereafter adjusted and certified by the County Auditor pursuant to Minnesota Statutes, Section 469.177. "Outstanding" when used with respect to the Bonds, means Bonds which have not been paid, redeemed or discharged in accordance with their terms or the terms of the Bond Resolution. "Parcel" means a lot, parcel or tract of plat of land comprising a single unit for purposes of assessment for real estate tax purposes, as of the date of adoption of the Financing Plan. "Public Redevelopment Costs" means the total amount expended and to be expended by the City on Redevelopment Activities as provided in the Redevelopment Plan and Financing Plan. "Redevelopment Activities" means all actions taken or to be taken by the City or HRA in establishing, implementing and carrying out the Redevelopment Project. • -2- 17 • "Redevelopment Plan" means Redevelopment Plan for Redevelopment Project No. 3- Ramsey County, as approved on August 25, 1992 and as amended on March 23, 1993 and as hereby amended, and as further amended from time to time by the HRA pursuant to law. "Redevelopment Project" means Redevelopment Project for Redevelopment Project Area. "Redevelopment Project Area" means the Land area or parcels included in the area subject to the Redevelopment Plan. "Shopping Center" means the Apache Plaza Shopping Center located within the Redevelopment Project Area. "Tax Capacity" means the net tax capacity of all taxable property in the District as determined from time to time pursuant to state law. "Tax Capacity Rate" means with respect to taxes payable in any year the lesser of(i) the local taxing district tax capacity rates for taxes payable in such year or(ii) the "original tax capacity rate" for the District as defined and calculated in accordance with Minnesota Statutes, Section 469.177, subdivision la. • "Tax Increment" means that portion of the ad valorem taxes generated by the extension of the Tax Capacity Rate to the Captured Tax Capacity of taxable property in the District. lI 2000-1 AMENDMENT TO REDEVELOPMENT PLAN A. Statement of Need. There is a need for redevelopment of the Shopping Center and surrounding area which will result in the increase of employment opportunities for residents of the City, the increase of the value of property subject to taxation by the City and other local government units, and the increase of general economic activity in the City, all of which will reduce unemployment, improve living conditions,promote desirable redevelopment of land, a portion of which is presently occupied by buildings which contain defects in structural elements or a combination of deficiencies in essential utilities and facilities, including, access to public sewer, light and ventilation and fire protection, layout, which defects or deficiencies are of total significance to justify substantial renovation or clearance, and a portion of which is presently occupied by buildings which require substantial renovation or clearance because of conditions such as inadequate street layout,unusual grade conditions, incompatible uses or land use relationships and obsolescence to the extent such buildings are not suitable for improvement or conversion at a cost reasonably related to the public purpose to be served without major residential clearance and with full consideration of the preservation of beneficial aspects of the urban and natural environment, prevent the emergence of blighted property and areas, -3- 1 ® and encourage and enhance the general health and welfare of the residents of the City. The actions _herein proposed to be taken by the HRA and the City with respect to the Redevelopment Project are necessary to secure the redevelopment of the property included in the Redevelopment Project Area, at this time and in the manner which will meet those needs. B. Statement of Objectives. The objectives sought to be accomplished by the HRA and the City in establishing and carrying out the Redevelopment Project and in financing of the Public Redevelopment Costs thereof, as specified herein, are to meet the needs specified in Paragraph A: a. by promoting and securing the renovation of the property in the Redevelopment Project Area in a manner consistent with applicable governmental comprehensive plans and with a minimal adverse impact on the environment, a portion of which property is not now in productive use; b. by promoting and securing additional employment opportunities for residents of the City and surrounding area, thereby improving living standards and reducing unemployment; c. by correcting storm water run-off problems from the property in the Redevelopment Project Area; and • d. by halting the decline and securing the increase in value of property subject to taxation by the City, Ramsey County and Independent School District No: 282, and other local government taxing jurisdictions, in order to better enable such entities to pay for public improvements and governmental services and programs required to be provided by them. C. Inclusion of Additional Property in Area Subject to Redevelopment Plan; Undertaking of Redevelopment Project. By this Amendment to Redevelopment Plan and Redevelopment Project, the Additional Property is included in the area subject to the Redevelopment Plan. To meet the objectives set forth in paragraph B, the HRA and the City will undertake the Redevelopment Project. Pursuant to the Redevelopment Project, the HRA will assist with the renovation of the Redevelopment Project Area. Pursuant to the Redevelopment Project, the HRA and the City will either directly or through financial assistance to third parties assist in the land acquisition, renovation or remodeling of an existing building and construction of public improvements which are necessary to meet the needs specified in paragraph A. Such Redevelopment Project is expected to occur over a number of years due to the nature of the property in the Redevelopment Project Area and the continuing evolution and changes which are expected to occur with respect to retail shopping facilities. • -4- 1 • III. TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING . DISTRICT NO. 5-RAMSEY COUNTY A. Statement of Objectives and Redevelopment Project. See paragraphs B and C of the Amendment to Redevelopment Plan. B. Property to be Included in Tax Increment District. The Parcels located in the City of St. Anthony, Ramsey County, Minnesota set forth on Exhibit A shall constitute the Parcels in the District. C. Estimated Public Redevelopment Costs, Property to be Acquired Contracts and Development Expected to Occur. 1. Capital Proceeds. The capital proceeds of the project, comprising the proceeds of sale of any land acquired by the HRA or the City to private developers, are expected to be $0.00. 2. Public Redevelopment Costs. The present estimate of Public Redevelopment Costs are expected to be as set forth on Exhibit B, plus interest to be paid on the Tax Increment Bonds during their term (other than interest paid from the proceeds of the Tax Increment Bonds). 3. Property to be Acquired. If necessary to provide for the redevelopment of the area in the Redevelopment Project Area may acquire all or a portion of the property in the District. Such acquisition may consist of the taking by eminent domain of all or a portion of the property interests of tenants in the District. In addition, it is expected that the HRA will provide financial assistance to the acquisition of land in the District by third parties on which improvements will be constructed. 4. Development Contracts. No contracts have been entered into for future development activities proposed to take place in the Redevelopment Project Area. 5. Development to Occur. The development which the HRA reasonably expects to occur in the Redevelopment Project Area consists of the acquisition and renovation of the main center of the Shopping Center, the building of storm water improvements to accommodate storm water run-off from the Shopping Center and site improvements and other improvements of a public nature related to the renovation of the Shopping Center. Such redevelopment is expected to occur within the next three years. -5- 2® D. Payment of Public Redevelopment Costs. 1. In General. A portion of Public Redevelopment Costs will be paid from Tax Increment either directly or indirectly by payment of debt service on Tax Increment Bonds issued to finance such costs or reimbursement for items of Public Redevelopment Costs paid directly to the HRA, City or the owner of the property in the Redevelopment Project Area. 2. Issuance of Bonds. It is presently expected that a portion of the Public Redevelopment Costs will be financed by the issuance of the Tax Increment Bonds. The Tax Increment Bonds will be issued by the HRA or the City under authority of Minnesota Statutes, Chapter 475, and Sections 469.174 to 469.179. The Bonds are expected to be issued on a "pay as you go" basis, and payments on the Bonds will reimburse the owner of the Project for public redevelopment costs paid by such owner. The Bonds are estimated to be issued in an original principal amount of$4,750,000. It is expected that accrued and unpaid interest will be added to the principal amount of the Bonds and will result in an increase in the principal amount of the Bonds up to a principal amount of$6,250,000. The actual principal amount of the Bonds, however, may be less than or exceed this amount, and the right to issue the Bonds in an amount greater than set forth herein to finance such Public Redevelopment Costs is reserved. 3. Security For Bonds. The Bonds are expected to be issued as revenue bonds of the HRA or the City payable only from Tax Increment from the District.. Such revenue bonds are expected • to be issued to the owner of property in the Redevelopment Project Area to reimburse it for Public Redevelopment Costs paid by such owner. 4. Bond Terms. The terms of the Tax Increment Bonds are expected to be as set forth below; however, the right is reserved to adjust any and all terms of the Tax Increment Bonds to secure the best interest rate obtainable and to insure that the entire principal of and interest on the Tax Increment Bonds will be paid when due from the sources specified in paragraph 3. The Tax Increment Bonds will be issued on a"pay as you go" basis in one or more series, in the aggregate principal amount as specified in subsection 2 above, will mature over a period of approximately eighteen (18) years from the date of receipt by the HRA of the first Tax Increment from the District, will be subject to redemption prior to maturity, will bear.a fixed rate or rates of interest from date of issue to maturity, with interest payable semiannually commencing approximately six months after the issuance thereof, and will be sold at public or private sale. Accrued interest not paid on an interest payment date will be added to the principal amount of the Bonds. E. Determination and Use of Tax Increment. 1. District Eligibility as a Redevelopment District. Minnesota Statutes, Section 469.174, subdivision 10 defines a "redevelopment district" as a tax increment financing district consisting of a • -6- 21 • project or portion of a project in which there is reasonably distributed throughout the district parcels consisting of 70% of the area in the district which are occupied by buildings, streets, utilities or other improvements and more than 50% of the buildings (not including outbuildings) are structurally substandard to a degree requiring substantial renovation or clearance. Based upon a report of Tom Goodoien, Consulting, Bloomington, Minnesota attached hereto as Exhibit C, the HRA believes the District is a "redevelopment district" since the conditions set forth in the preceding paragraph are satisfied with respect to the District. 2. Original Tax Capacity. The Tax Capacity of all taxable property in the District as most recently certified by the Commissioner of Revenue of the State of Minnesota, being the certification made in 2000 with respect to the Tax Capacity of such property as of January 2, 2000, is $150,894. Since the request for certification of the Original Tax Capacity is expected to be filed after June 30, 2000 and prior to June 30, 2001, it is expected that such amount will be the Original Tax Capacity. 3. Current Tax Capacity. The current Tax Capacity of the property in the District is $150,894. 4. Captured Tax Capacity. It is expected that the Captured Tax Capacity of all taxable property in the District,upon completion of the renovation of the property in the District described in the Redevelopment Plan (taxes payable in 2004) in the District, will be $508,468, computed as follows: • Estimated Tax Capacity at Completion $659,362 Less Original Tax Capacity at Completion 150,894 Estimated Captured Tax Capacity at Completion $508,468 5. Tax Increment Calculation. Assuming the anticipated renovation of the property in the Redevelopment Project Area occurs as described and provided in the.Redevelopment Plan and Financing Plan, it is estimated that the Tax Increment to be received each year for the duration of the District will be as set forth in Exhibit D hereto. The estimated amount of Tax Increment set forth in Exhibit D is based upon a Tax Capacity Rate of 140.142%. 6. Duration of the District. It is estimated that the District will remain in existence until 25 years from the date of receipt by the HRA of the first Tax Increment from the District, or until the City's obligation to pay the Tax Increment Bonds and interest has been discharged in accordance with the Bond Resolution. 7. Use of Captured Tax Capacity and Tax Increment. Pursuant to Minnesota Statutes, Section 469.177, subdivision 2, the City hereby determines that it will use 100% of the Captured Tax • -7- 22 • Capacity of property located in the District, and 100% of the Tax Increments to be derived.therefrom, for the entire duration of the District. 8. Excess Tax Increment. The Tax Increment received from the District in any year not needed to pay debt service on the Tax Increment Bonds coming due on or before August 1 of the following year, shall be used to prepay or discharge outstanding Tax Increment Bonds or any additional Public Redevelopment Costs. F. Impact of Tax Increment Financing on Other Taxing Jurisdictions. The local government units other than the City which are authorized by law to levy ad valorem property taxes and in which the District is located, are Independent School District No. 282, Ramsey County, the HRA, and various metropolitan area authorities, including the Metropolitan Council, the Metropolitan Transit Commission, the Metropolitan Airports Commission and the Metropolitan Mosquito Control District (the local government units). The taxing jurisdictions encompassing the District will continue to receive taxes as if the Original Tax Capacity of the District were unchanged. This precludes the jurisdictions from benefitting from the portion of the increase in Tax Capacity which results from the improvements to Parcels in the District or other development set forth in Exhibit E is an estimate of the impact of the creation of the District on the taxing jurisdiction of the taxable property within the District. . 'G. Qualifying Local Contribution. Pursuant to Minnesota Statutes, Section 273.1399, subdivision 6(d) the District will be exempt from the Local Government Aid/Homestead and Agricultural Credit Aid" reduction under Minnesota Statutes, Section 273.1399 if a "qualifying local contribution" is elected to be made by the City at the time of approval of the Financing Plan. For the District the local contribution is 5% of the increment. Pursuant hereto and pursuant to the resolution of the City Council approving this Plan the City elects to make a qualifying local contribution with respect to the District. IV. AMENDMENTS TO PROJECT AND PLANS. The HRA reserves the right to amend the Redevelopment Project and the Redevelopment Plan and Financing Plan, subject to the provisions of state law regulating such action. The HRA specifically reserves the right to enlarge the geographic area included in the District, to increase the Public Redevelopment Costs and the principal amount of Tax Increment Bonds to be issued to finance such Public Redevelopment Costs, by following the procedures specified in • -8- 23 • Section 469.175, subdivision 4, if and when it is determined to be necessary for the payment of additional Public Redevelopment Costs. • -9- 24 ® EXHIBIT A PARCELS IN TAX INCREMENT FINANCING DISTRICT NO. 5-RAMSEY COUNTY 31-30-23-33-0002 3 I-30-23-34-0015 31-30-23-34-0016 31-30-23-34-0018 • A-1 25 • EXHIBIT B ESTIMATE OF PUBLIC REDEVELOPMENT COSTS Site Acquisition $4,000,000 Demolition 550,000 Environmental Remediation 1,750,000 Public Utility and Site Improvements 2,270,000 Relocation 145,000 Professional Fees 470,000 Administrative 770,000 Subtotal $ 9,955,000 Interest (including capitalized interest) 8,250,000 TOTAL $18,205,000 B-1 26 • EXHIBIT C REPORT OF TOM GOODOIEN, CONSULTING C-1 06/15/..00 15:48 FAX 6512233002 SPRINGSTED INC. � 27 • IUNIy 2000. APACHE PLAZA SHOPPING CENTER, CITY OF ST.ANTHONY, MN. Tom Goodoien,Consulting 9620-13m Ave S. Bloomington,Mn.55425 Ph.888-6450 PREL MNARY CONDITIONAL ANAL'Y'SIS Scoping-out the existing building condition of the Apache Plaza Department Store located in the Apache Plaza Shopping Center,City of St Anthony,Mn_ in an existing Tax Increment Financing District • FEASIBD TTY STUDY Re: Apache Plaza Mall and Shopping Center City of St. Anthony,Nb. Subject:Building Condition Analysis and findings Subject property is essentially a one story retail commercial building constructed in circa 1960's with renovation in subsequent years located near the intersection of Silver Lake Road and County Road D in the Village of St Anthony[the buildings are not easily observed from the nearby arterial roadways].Building components consist of masonry structural components,brick veneer walls,built up roof; concrete/metal columns,tile floors,forced air.heating, ventilating and,air conditioning system, and grid ceiling with at grade access for both levels of the department store(there is,a lower basement level beneath the mall area). Herberger's Department Store seems self contained with access to the upper floor level in the atrium of the shopping center.The building is not a barrier free design with many inaccessible areas and the facility lacks an elevator for the physically impaired The building,(including a small hair salon)is totally situate within the envelop of the Apache Plaza Shopping Center Complex • 06/15/00 15:48 FAX 6512233002 _.. SPRINGSTED INC. 4 28 • The structural(inverted hyperbolic umbrella design)columns are spaced approximately 60 feet on a square grid system;a combination wetldry automatic fire sprinkler system protects all areas of the retail space;and the height of the mass of the building is over 14 feet(elear span)above grade at the front foyer.Generally the building assemblies are experiencing a significant lack of normal maintenance and in marginal condition_ The building conditions were analyzed to ascertain if certain qualifiers pertinent for a Redevelopment Project are present The load bearing capacity of the structural components were not analyzed to determine their capacity to support the imposed loads.(however the roof system is continually leaking because the super structural components constitute a design defect)The reconnaissance and abbreviated building analysis was conducted in May and June of 2000 and concludes the retail space is obsolete for it's present or continued use,is not designed for as adaptive reuse and is very difficult to find or access by the retail customer.(this building is located the farthest distance from the vehicular access point of entry to the Apache Plaza Shopping Center). According to Laws of Minnesota Section 469.002 subdivision 11 (The Housing and Redevelopment Authorities Act) Blight is defined as "any area with buildings or improvements which by reason of dilapidation, obsolescence, overcrowding,faulty arrangement or design, lack of ventilation • light or sanitary facilities,excess land coverage, deleterious land use, or obsolete layout, or any combination of these or other factors,that are detrimental to the safety,health,morals, or welfare of the community" Physical and Functional Obsolescence The condition of the Apache Plaza Mall was found to be structurally substandard in terms of the Statutory Criteria of the Redevelopment Statute Section 469.174 and contains substantial construction defects to a degree requiring substantial renovation or clearance and is not determined structurally standard.There are a number of design defects,out dated mechanical equipment,and lacking certain mechanical equipment for public health and hygiene.The estimated total cost of necessary repairs(Approx.$9,000,000)to comply with the new building code would exceed the required State Statutory threshold of 15%of the buildings replacement value. (see formula below) Of more concern is the obsolete layout and faulty design of this over 325,000 square foot retail facility_The general retail customer is reluctant to walls more than 200 feet to the front entry of a shopping complex from their automobile and certainly not 600 feet from one Major retailer to another with no intervening retailer stores The center also lacks access between the adjacent Cub Food Store and the Apache Plana Shopping Center. The most in dissolvable problem is the lack of retail exposure to the buying public. This former Department Store building is oriented to the westerly elevation or approximately 2 blocks Westerly of the access point of Silver Lake Road in the City of St.Anthony_ 06/15/00 15:48 FAX 6512233002 SPRINGSTED INC. r 29 • Many of the surrounding businesses are also vacant or abandon(obviously sending a message ofvacancy to the potential retail customer]. And finally,most glitzy up scale shopping centers have double loaded corridors assembled around open atriums offering the retail customer a wide variety of shopping opportunities.The Apache Plaza Shopping Center has only single loaded corridors with long distances between retail stores and various"vacancy's" and vacant space discourages shoppers. (the atrium is very wide and spacious but the long distances between shops and major retailers is an inconvenience to customers). The above obsolete features of the building are unavoidable due to its character and cannot be concealed or retrofitted to a alternative or adaptive retail reuse(e.g. suggest office or light manufachtt ing).The interior spatial arrangement of the Partitions, arrangements, structural elements,utilities,means of servicing,means of exiting, are obsolete to provide ease of access to all spaces of this retail facility, when this complex is compared to similar occupancy classifications. The City of St. Anthony is proposing to decertify the existing Tax Increment Financing District and re certify the area as a new Redevelopment Tax Increment Financing District. Existing Conditions This report is preliminary and does not address environmental issues such as pollution, contamination,fugitive spills,asbestos containing materials,PCB ® containing transformers(that do exist in the Apache Plaza Shopping Center),or other unknown physical or geo-technical problems. A more thorough examination of the building with the owners permission pursuant to the Statutory requirement of making such effort to conduct an interior inspection of the property to support a reasonable conclusion as to structurally substandard, would not reveal a different conclusion because I basically viewed 80%of the structural elements(I did not examine the inaccessible mechanical or electrical systems)and it is with reasonable certainty further examination would not cltange the conclusion.However,based on my preliminary review of the accessible spaces of the Apache Plaza Shopping Center it is with reasonable certainty the building is structurally substandard under the State Statutory criteria, and finther that there exist many observable substantial combination of defects that are of sufficient total. significance to justify substantial renovation or clearance and this building does qualify as eligible under the statutory formulas.(e.g.The cost of retail replacement is estimated at$45 dollars per square foot{not including land value)times 325,000 sq. feet equals approx$14,625,000 replacement cost with the estimated cost of repairs and renovation exceeding$8,000,000 therefore exceeding the threshold complying with the statutory formula of cost of renovation or repairs over 15%of replacement cost). • 06/15/00 15:48 FAX 6512233002 SPRINGSTED INC. 30 • Conclusion The fundamental design defects of the subject properly generates instability for retaillcommercial operations,hinders viability of adjacent retail shops, and results in uneconomic return for the owners investment.The site plan is an ill conceived convoluted scheme,difficult to access,and involves long distances that constitute an obstacle that adversely impacts feasible retail development and convenience shopping expected by the retail customer. cc: Springsted Development Corp. C/O Paul Steinman Nick Scarich • • 06/15/00 15:48 FAX 6512233002 SPRINGSTED INC. ;. 31 MEMORANDUM To:Paul Steinman,Planning and Community Development, Springsted Corp., _-r From Tom Goodoien,Consulting Subject. Feasibility ofCreatiug a Redevelopment District in the Area of the Westerly frontage of the intersection of County Road D and Silver Lake Road Located in the Municipal boundary lines of the City of St. Anthony,Mn. Proposed creation of a new Redevelopment and Tax increment Financing District( TIE). Eligibility Analysis For Apache Plaza Shopping Center Development Project Pursuant to my reconnaissance of the Proposed decertified/re certified Redevelopment Project Area of the City of St. Anthony,Mn,generally described as follows: geographically along the westerly frontage of Silver lake Road and County Road D including the Apache Plaza Shopping Center and the Taco Bell Fast food Store. The proposed project boundary could be classified as a bliabted area in accordance with the statutory criteria for finding a Redevelopment Project area described as follows: Essentially the subject properly appears to conform with the statutory criteria for a Redevelopment Project in accordance with the Laws of Minnesota Section 469.002. Subdivision 11(The Housing Redevelopment Authorities Act)wherein blight is defined as"any area with buildings or improvements, which by reason of dilapidation,obsolescence,lack of sanitary facilities, excess land coverage or vacant land,deleterious land use, or obsolete layout,or any combination of these or other factors,that are detrimental to the safety,health morals or welfare of the community". The property that may be treated, includes the above parameter of property described with reasonable specificity,and exhibits the deficiencies that warrant substantial renovation or clearance that were found and that could qualify the area for the proposed redevelopment activity in the Plan. The proposed project meets the area wide specific test in as much as the deficiencies found are reasonably distributed throughout the entire project area and after deliberate in depth analysis the Municipality could adopt a Redevelopment District after establishing a finding of structurally substandard for Redevelopment-Tax Increment.Financing District(TIF) The additional documentation.has beenprepared in accordance with eligibility contained in the Redevelopment Act.(see below*) The conclusion reached is the approximately 1,500,000 square feet(35.5 acre) property site is structurally and environmentally blighted,Effected by a major trafficked County Hwy.and the design defects inherent in distressed buildings(cantilevered hyperbolic inverted umbrella type supporting columns)and that these vacant uses are incompatible with fundamental land use patterns. (general commercial uses is the predominant land use identified on the City's Comprehensive Plan). • MinnespoUa COMMLrOy Dovabp nu Agency 06/15/00 15:48 FAX 6512233002 SPRINGSTED INC. f] _. 32 • Subject buildings are generally one to one and one half story masonry/metal frame assemblies built in the 1960-80 era and currently partially occupied The remaining parcels are commercial or vacant but improved land with City streets,utilities,and other improvements (infi-astructure).but as vacant, is under utilized or inappropriately used land which constitutes an uneconomic use of inner city real estate. The scope and purpose of this report is to document the condition of this area of City of St.Anthony, Mn. in which the buildings were constructed in the late 60's to 80's and are adequate for today's occupancy loads but obsolete, lacking proper foundations,upgrading to modem standards for commercial space,including improving the mechanical, electrical , structural,life safety constituents, American's with Disabilities Act and state energy conservation standards consistent with modern commercial occupancies. DISCUSSION All property(regardless of the metbod of sale,eminent domain or source of funds used)must be located within a project boundary as defined in Minnesota Statutes Section 469.002 or treated under the"Spot Renewal "provision of the Municipal Housing and Redevelopment Authorities Act(the old Section 462 of Minnesota Statutes)The purpose of the above statutes is to eliminate blighting influences by acquiring and clearing or rehabilitating properties that the city finds have caused or will cause the value of properties in the area to decrease or that will increase the probability that properties in the area will be.allowed to physically deteriorate,etc. • This area of City of St. Anthony,Mn. does not promote a diversity of business and shopper interest,ensure a pedestrian-friendly commercial development,insure adequate parking,and include architectural materials and techniques demonstrating compatibility with neighborhood buildings.(for example buildings should be oriented so the principal entrance to the structure faces a public street or sidewalk and multiple entrances should be encouraged). Note: the blighting influences of this area are characterized by the following defects; Physical and Functional Obsolescence In terms of the Apache Plaza Shopping Center,the interior arrangement of rooms,partitions,and structural elements and/or the utilities,stairs,means of egress and means of servicing, or emergency exits are not lawful, obsolete, and inadequate. The lack of necessary features (elevators to serve all levels and handicapped accessibility for the physically impaired)and inadequacies of the plan or layout impose a hindrance to the efficient use of the building and property, limit the use of the property or require abandoning part of the property to achieve safety.Many areas of the Apache Plaza Center are locked off for purposes of security and lack legal egress and side door clearance. The restructured roof system is differentially torguing and placing tension action on the structure that has resulted in roof leakage that happens with discouraging regularity. • 06/15/00 15:49 FAX 6512233002 SPRINGSTED INC. 33 • _Incompatible use or Laud Use Relationships The use of the property and the structures adversely affects the predominant commercial use.and character of the area primarily due to deterioration and vacant buildings, street hazards or inaccessible properties,congestion of streets due to inadequate space for the use, its parking and servicing needs: traffic,service trucks, parked cars,or type of activity generated or attracted by this commercial use in appropriated sited in this location. These features of the use are unavoidable due to its commercial character. The existing property cannot be converted to a use compatible with the commercial surroundings because of the site,or building design or because of economic or building code restrictions. (eg. Too much of the former shopping center, namely Penny's Department Store,was demolished to make space for the Cub Food Store but resulted in excessively vacant land). Hazard to Health or Safety The structure and property without benefit of a full retail intensity are necessarily obsolete for the present,permitted or future use and are marginal in terms of current code and energy conservation requirements . Vacant buildings or those buildings indicating a lack of normal maintenance have a proclivity for causing declining values of adjacent properties. (some buildings appear open to the elements and others indicate hazardous occupancy). Major renovation or reconstruction of the structures or portions thereof would be required to ® eliminate building code problems,however,removal of a portion of the building(already performed without benefit to the shopping center)would remove essential space or facilities needed for continued operation or use of the property,while the cost and nature of the reconstruction or repairs would be prohibitive or could not be accomplished within the restriction of local codes or ordinances.Deterioration of the roof systems and wasted energy will continue and result in, ultimately,the relocation of the occupant in order to construct the proper roof assembly or insulate the building to thermal standards. Generally speaking,the area proposed for redevelopment could qualify as a Redevelopment Tax Increment Financing District because the building conditions are marginal , in most cases substandard, and after further detailed analysis it is with reasonable certainty the above described deficiencies could result in a finding of Structurally Substandard for over 50%of the buildings (not including out buildings). Also under the 70%Occupancy Test For TIF District; in order to meet the eligibility criteria established i a the Minnesota Tax Increment Financing Act for redevelopment tax increment financing districts"parcels consisting of 70%of the area of the district are occupied by buildings, streets utilities or other improvements,(Section 469.174, Subd 10(a)(1). Individual parcels are considered"occupied by buildings, streets,utilities or other improvements" if "15 % of the area of the parcels contain improvements". (section 469.174, subd.10 (c) In the case of a parcel on which the building has been demolished,remaining utilities or other improvements would still permit the parcel to be considered occupied as long as the utilities or • UU/.15/00 15:49 FAX 6512233002 SPRINGSTED INC. [� i • other improvements(eg sidewalks,parking space,former building footings etc) remain on the or near the parcel. *Finally,the condition of the subject property was analyzed to determine if there was sufficient blight"to meet the test of the State Statute;Laws of Minnesota Chapter or section 469.174 Subd 10. (a)clause 2 that states that"more than 50%of the buildings(not including out buildings)must be found to be structurally substandard to a degree requiring substantial renovation or clearance"The proposed area includes the above described property which exhibits over 50% of the buildings(2 out of 2 buildings) with deficiencies warranting substantial renovation or clearance and appears to qualify the proposed area eligible for TIF district interpretation under the Redevelopment Statute. Also the statute stipulates a building is not structurally substandard if it is in compliance with the building code applicable to new buildings or could be modified to satisfy the building code at a cost of less than 15% of the replacement cost of constructing a new structure of similar square footage and type of building on the same site. The city may find that a building is not disqualified as structurally substandard under the preceding sentence on the basis of reasonably available evidence, such as size ,type, and age of the building,the average cost of plumbing and electrical,or structural repairs or other similar reliable evidence(public construction permit activity). If the evidence supports a reasonable conclusion that the building is not disqualified as structurally substandard,the city may NOT make such determination without an interior inspection of the property. If denied entry after the municipality has used it's"best efforts"to • gain entry for an interior evaluation a reasonable conclusion as to structurally substandard may be supported by other available evidence(record of permits,public records of police and fire departments,etc) The Proposed creation of a TIF District includes 5 parcels of land with 2 buildings and approx 34.5 acres of land,described as follows(aka_Apache Plaza Development) Area Tabulation Property Id# LAND (sq Building Improved Structurally Footage) (yes/no) (1.5%) Substandard A-1 1500000 yes yes yes Apache Plaza A-2 20980 yes yes yes Taco Bell • 06/15/00 15:49 FAX 6512233002 SPRINGSTED INC. (� . 35 Conclusion As an outside consultant I have analyzed the condition of the subject buildings and the evidence is reasonable and the evaluations are based on the estimated cost of code(building)compliance for the structural,mechanical,electrical,heating HVAC,life safety,egrets,occupancy loads, Americans with Disabilities Act,and energy conservati on requirements needed for compliance. The subject property located in the City of St.Anthony,Mn. is an area of troubled buildings requiring substantial renovation or clearance and may exhibit deficiencies in other categories such as utilities, facilities, light,ventilation,fire protection,(or lack thereof)egress, interior partitions and unknown factors(there exists PCB containing transformers in this building)such as asbestos abatement,pollution,lead based paint,and the need for thermal energy conservation to comply with the building code. Findings Therefore the cost to modify the existing buildings,determined by the aforementioned statutory formula,exceeds the 15%cost of constructing a new building on the same site and with reasonable certainty qualifies the subject properties according to Minnesota Statutes Section 469.174 Subd 10.(a)as described above and concludes the finding that more than 50% (2 out of 2 buildings or 100%) of the parcels with buildings are structurally substandard . Reconnaissance was conducted in May and June of 2000 and did include an informal interior view of those buildings open to the public. The City of St Anthony sent letters to all owners • requesting an interior evaluation of their ownership. As you are aware the City of St Anthony must create a District pursuant to'a determination ou the"But for"question and"Public Purpose"requirements inherent in all Redevelopment Districts. There are two different approaches to utilize TIF funds to finance future public redevelopment costs that impact this site. The statutory constraints and short term of the existing district may undermine project feasibility and inhibit redevelopment. The alternative method is to decertify the parcels from the existing district and establish a new TIF district to finance new project costs and that is the perspective in which I have analyzed this project assignment Sirice the shopping center has been predominantly vacant for many years it is reasonable to assume that the consent for TIF approval could be obtained from the City of St. Anthony. Calculations A typical (example)calculation of a commercial building would contain 1000 square feet times $45 dollars per square foot for replacement cost(Marshall Swift Replacement Cost not including land value)equals$45,000.times 15%equals approximately$6750 and the cost of necessary renovation was estimated at$15,000 to 20,000 thousand dollars,thereby exceeding the threshold ($6750)of the statutory formula and qualifying the subject properties structurally substandard in accordance with Laws of Minnesota 469.174 Subdivision 10 Clause 2 a. (an example of a commercial/retail type building calculation) This concludes my analysis-Call me if 1 can be of further assistance to your redevelopment needs at(612)724-4843 or 888-6450 cc Nick Scarich, Springsted Corp. 06/.15/00 15:49 FAX. 6512293002 SPRINGSTED INC. [� . 36 • MEMORANDUM to the Oile June 2000 Subject: Redevelopment District-Tax Increment Financing District Apache Plaza property - Wo BE" Re: Building Condition Analysis, Blight Test Findings For Proposed Redevelopment Tax Increment Financing District Apache Plaza Shopping Center area Documentation and condition Analysis of Taco Bell Subject Property consists of essentially one story commercial type building constructed circa 1983. Building components consist of masonry walls, built up roof of pitch and gravel, concrete floors and at grade access. Most of the original building components have not been renovated in the past 6 years. The building conditions were analyzed to ascertain qualifiers pertinent to Minnesota Statutes*(see below) The commercial spaces are not necessarily obsolete for their present or continued use but are functionally obsolete for retail spaces serving the public patron and lack certain life safety factors , elements of the Americans with Disabilities Act (ADA) and obsolete mechanical systems essential for public health and hygiene. According to Laws of Minnesota Section.469.002 Subdivision 11,(The Housing And Redevelopment Authorities Act) blight is defined as"any area with buildings or improvements which, by reason of dilapidation , obsolescence , overcrowding, faulty arrangement or design, lack of ventilation, light and sanitary facilities, excess land coverage, deleterious land use, or obsolete layout, or any combination of these or other factors, that are detrimental to the safety, health, morals, or welfare of the community°. Discussion All property (regardless of sale , eminent domain, or source of funding) must be located within a project boundary as defined in Minnesota Statutes Section 469.002 or treated under the Spot Renewal" provision of the Municipal Housing and Redevelopment Authorities Act(the Old Section 462 of Minnesota Statutes) The Activities planned for the proposed project area consist of new office and or mixed light manufacturing uses and includes approximately 34 acres of land. The deterioration of the vacant commercial uses undermines the value of the adjacent property. The use constitutes a repository for debris, and a fire hazard. • 06/15/00 15:49 FAX 6512233002 SPRINGSTED INC. _ 37 • The condition of the property was analyzed to determine if there is sufficient evidence to meet the test of State Statute ,-Laws Of Minnesota Chapter 469.174, Subdivision 10.Clause (a) definition:" 70% of the area of the parcels_in the district. must be occupied by buildings, stroets, utilities or other.improvements, ,and more than 50% of the buildings,'not Including out buildings are structurally substandard to a degree requiring substantial renovation or clearance. The proposed area includes the above described property which exhibits 100% of the buildings( two out of two) with deficiencies warranting substantial renovation or clearance, and qualifies the TIF District (approximately 34 acres) as eligible , under the Redevelopment District Statute. Note: All the parcels in the proposed District exceed the required 15% improvement clause which stipulates the area must be occupied by buildings, streets , utilities, covering over 15% or more of the site ; Area contains 5 Property Identification Numbers Also the Statute stipulates a building is not structurally substandard if it is in compliance with the building code applicable to new buildings or could be modified to satisfy the building code at a cost of less than 15% of the cost of constructing a new structure of similar square footage and type of building on the same site. The City may find that a building is not disqualified as structurally substandard under the preceding sentence on the basis of reasonably available evidence, such as size, type and age of building, • the average cost of plumbing, and electrical, or structural repairs, or other similar reliable evidence. If the evidence supports a reasonable conclusion that the building is not disqualified as structurally substandard, the City may NOT make such determination without an interior inspection of the property. If denied entry after the municipality has used its' ' best efforts', a reasonable conclusion as to structurally substandard may be supported by other available evidence( eg. County Data Sheets, public records, permits etc.) The City's evidence is reasonable and the evaluations of structurally substandard are based on the estimated cost of code compliance for the structural , mechanical, electrical, heating/HVAC systems, American's with Disabilities Act, life safety issues, egress, occupancy loads, energy conservation and public health code requirements. Next the estimates were compared to the cost data referenced in Marshall/Swift Valuation Service Guide. NOTE:.The.Marshall/Swift Valuation Service Guide is the foremost authoritative publication used to establish the cost approach to value and has been used in the appraisal profession for over 50 years. The valuation service contains modifiers for location and time. Only parcels containing improvements (buildings) totaling 15% or more were quantified. Using the Marshall/Swift Valuation Service Guide ,all the above described building components for the subject properties were valued in terms of constructing the same building new on the site. Land values were not included in the summation, nor was economic obsolescence , which was evident in the evaluation of the subject buildings. • 06415/00 15:50 FAX 6512233002 SPRINGSTED INC. I 38 There were many significant nifiicant 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 tin uneconomic return for the owners investment and adverse effect on the adjacent 06/15/00 15:50 FAX 6512233002 SPRINGSTED INC. �ihnte 39 • The Findings More than 50% of the buildings are found structurally substandard due to a combination of defects that are of sufficient total significance to justify substantial renovation or clearance and qualifies the buildings as eligible under the statutory criteria and formula for Tax Increment Financing District Funding. Example of a Typical Calculation would estimate$75 dollars per square foot for commercial/retail food service use replacement cost times 15 % equaled the formula threshold and when the cost of necessary renovation exceeded the amount of the 15% cost of replacement the calculation concluded thereby qualified the building as structurally substandard in accordance with Laws of Minnesota. Cc Springsted Corp. • • 4® • EXHIBIT D ESTIMATE OF TAX INCREMENT TO BE RECEIVED As rt n City of St Anthony,Minnesota Tax Increfttent Financing District No.r ApacheJHillcr'est Protect Scenaft H Type of Tax Increment Financing District Redevelopment Maximum Duration of TIF District(1) 25 years from 1st increment Certification Request Date 06101100 Decerfincation Date 12/0127 (26 Years of Increment) 19992000 Base Estimated Market Value $5,029,800 Times First 4150,000 3.001A 4,500 Excess 3.00°/ 146.394 Original Net Tax Capacity $150.894 Assessment/Collection Year 20002001 20012002 2002Y2003 2003..004 Base Estimated Market Value(EMV) 55,029,800 $5,029,800 $5-029.800 55.029,800 Decrease in EMV $0 so so So • Increase In EMV .0 0 0 0 Increase In EMV(Future Development) Phase 1 ($7,000,000-pay 2002) 0 7,000,000 7,140,000 7,282,800 Phase II ($7,000,000-pay 2003) 0 0 7,000,000 7,140,000 Phase III ($7,000,000•pay 2004) 0 0 0 7,000,000 Phase IV 0 0 0 O Phase V 0 0 0 0 Phase 1 (5320,601 Land-pay 2002) O 534,335 545.022 555,922 Adjustment O (5,029,800) (5,029,600) (51029,800) O 0 0 0 0 0 0 0 0 0 0 0 Total Estimated Market Value $5,029,800 57,534,335 $14,665,022 $21,978,722 Times:First 5150,000 3.00% 4,500 4,500 4,500 4,500 Excess 3,001/6 146,394 221,530 4`6,051 654.862 Total Net Tax Capacity $150,894 5226,030 $440,551 $659,382 Base Inflation Factor NA Loial Tait Capacity Rate p 140.142%19991r.0 Fiscal Dispa'ddes Contribution From TIF District 0.0000%199em Administrative Retalnage Percent(maximum=10°y) 5.00% Pooling Percent 0.00% City Tar Rate(Only if Local-Effort TIF) NA Inflatlon Rate 102.0`Y. %of TIF applied to Developer Note 100.0% %.of TIF applied to debt service on bonds 0.09. Bonds N Le(PaV•AS-You-Go1 Bonds Dated 06/01100 Note Dated 003/01/00 First Interest Date 02/01/01 Note Rate 9.50°/ Underwriters Discount 1.509. • I.GA/HACA Loss: Will Annual Local Contribution Be Made(Yes or No)? yes i.S,D 0 91 Equalized Tax Capacity Rate 43.11% 19913199 I.S.D#191 Sales Ratio 92.709'. 1998/99 City Sales Redo&Taxable Net Tax Capacity NA NA Present Value Date&Rate 06101100 9.501/ Assumes new assessed value of$70 per square feat Ilnflatiori factor 012% Pro ecled Annual Tax Increment City of Sl.Anthony,Minnesota Tax Increment Financing District No,x Apache/Hillcreat Pro)ect Scenario H Less, Less: Retained Times: Less: Less: Plus: Cummulallve Annual Total Original Fiscal Captured Tax Annual Slate Aud. Admin. Annual Local Annual. Perlod Net Tex Nei Tax Disp. ® Net Tex Capacdy Gross Tax Deduction Relelnage Nei Tax Contribution Net Ending Capacity Capacity 010000% Capacity Rate Increment 025% 5.00% Increment 5.0050 Revenue 1 2 3 4 5 6 7 B 9 10 11 12 13 12/31100 150,894 150,894 0 0 140.142% 0 0 0 0 0 0 0 12/31/01 150,894 150,894 0 0 140.142% 0 0 0 0 0 0 0 12/31/02 226,030 150,894 0 75,136 140.142% 105,297 263 5,252 99,762 5,252 99,782 99,782 12/31/03 440,551 150,894 0 229,657 140.142% 405,931 1,015 20,246 384,670 20,246 384,670 484,452 12/31/04 659,362 150,894 0 506,468 140.142% 712,577 1,781 35,540 675,256 35,540 675,256 1,159,708 12/31105 672,549 150,694 0 521,655 140.142°/a 731,058 1,826 36,462 692,768 36,462 692,768 1,852,476 12131106 686,000 150,694 0 535,106 140.142% 749,908 1,875 37,402 710,631 37,402 710,631 2,563,107 12/31/07 699,720 150,894 0 548,826 140.142�e 769,136 . 1,923 38,361 728,852 38,361 728,852 3,291,959 12131/08 713,714 150,894 0 562,820 140.142% 788,747 1,972 39,339 747,436 39,339 747,436 4,039,395 12/31/09 727,989 150,894 0 577,095 140.142% 808,752 2,022 40,337 766,393 40,337 766,393 4,80S,788 12/31/10 742,548 150,894 0 591,654 140.142% 829,156 2,073 41,354 785,729 41,354 785,729 5,591,517 12/31/11 757,399 150,894 0 606,505 140.142% 849,968 2,125 42,392 605,451 42,392 805,451 6,396,968 12/31/12 772,547 150,894 0 621,653 140.142% 671,197 2,178 43,451 825,568 43,451 825,568 7,222,536 12/31/13 787,998 150,894 0 637,104 140.142% 892,850 2,232 44,531 846,087 44,531 848,087 8,068,623 12/31/14 800,758 150,894 0 652,864 140.142% 914,937 2,267 45,633 057,017 45,633 857,017 8,935,640 12131115 81.9,833 150,694 0 668,939 140.142% 937,464 2,344 46,756 688,364 46,736 688,564 9,824,004 12131116 836,230• 150,894 0 685,336 140.142% 960,444 2,401 47,902 910,141 47,902 910,141 10,734,145 12/31/17 852,955 1501894 0 702,061 140.142% 983,882 2,460 49,071 932,351 49,071 932,351 11,668,496 12/31/1 B 870,014 150,894 0 719,120 140.142% 1,007,789 2,519 50,264 955,006 50,264 955,006 12,621,502 12/31/19 887,414 150,894 0 736,520 140.142% 1,032,174 2,580 .51,480 978,114 51,460 978,114 0 12/31/20 905,162 150,894 0 754,268 140.142% 1,057,046 2,843 52,720 1,001,683 52,720 1,001,683 0 12131/21 923,286 150,894 0 772,372 140.142% 1,082,418 2,706 53,986 1,025,726 53,986 1,025,726 0 12131/22 941,731 150,694 0 790,837 140.142% 1,108,295 2,771 55,276 1,050,248 55,276 1,050,248 0 12/31/23 960,565 150,694 0 609,671 140.142% 1,134,689 2,837 56,593 1,075,259 56,593 1,075,259 0 12/31/24 979,777 150,894 0 828,883 140.142% 1,161,613 2,904 57,935 1,100,774 57,935 1,100,774 0 12/31/25 999,372 150,694 0 048,478 140.142% 1.,169,074 2,973 59,305 1,126,796 .59,305 1,1261796 0 12131/26 1,019,360 150,894 0 668,466 140.142% 1,217,086 3,043 60,702 1,153,341 60,702 1,153,341 0 12/31/27 1,039,747 150,694 0 888,853 140,142% 1.245,656 3,114 62,127 1,160,415 62,127 1,180,415 0 12131/28 0 0 0 0 140.142%1 01 0 0 0 0 0 0 (12) Does not Include the local oonlrlbulion. $23547144 558,869 $1,174,417 $22,313,858 $1,174,417 22313858 $0 Estimated Impact on Other Taxing Juriscilctlons Report City of St.Anthony,Minnesota Tax Increment Financing District No,x Apache/Hlilcrest Project Cn Scenario H O ►ri Without Project or TIF District With Project and TIF District Y Projected Hypothetical 1999100 1999100 Retained New Hypothetical Hypothetical Tax Generated Q Taxable .1999/00 Taxable Captured Taxable Adjusted Decrease In by Retained z Taxing Net Tax Local Net Tax Net Tax Net Tax Local Local Captured C7 Jurisdiction Capacity([) Tax Rate Capacity(1) + Capacity(3) Capacity Tax Rate(') Tax Rate(') N.T.C.(') Cn City of St.Anthony 5,141,361 30.359% 5,141,361 $888,653 6,030,214 25•.884% 4.475% 230,071 Ramsey County 299,096,490 44.685% 299,096,490 888,853 299,985,343 44.752% 0.1.33% 397,780 O Q t>7 ISD#282,St.Anthony 6,194,793 57.624% 6,194,793 888,853 7,083,546 60.393% 7.231% 447,923 Other(2) - 7.274% — 888,853 -•- 7.274% -•- —• y Totals 140.142% 128.30390 11.839% ' Statement 1: 11 the projected Retained Captured Net Tax Capacity of the TIF Dlstrict was hypothetically available to each of the taxing jurisdictions above,the result would be a lower local tax rate(see Hypothetical Adjusted Tex Rate above) which would produce the same amount of taxes for each taxing jurisdiction. In such a case,the total local tax rate would decrease by 11.839%(see Hypothetical Decrease In Local Tax Rate above). The hypothetical tax that the C7 Retained Captured Net Tex Capacity of the TIF District would generate is also shown above. y Statement 2: Since the projected Retained Captured Net Tax Capacity of the TIF District Is not available to the taxing jurisdictions, z then there Is no Impact on taxes levied or local tax rates. (1) Taxable net lax capacity=total net tax capacity-captured TIF-fiscal disparity oonlribution. (2) The Impact on these taxing jurlsdictions Is negligible since thoy represent only 5.19%of the total lax rate.'- (3) Projected retained captured not tax capacity=total projected net tax capacity-original not tax capacity(based on pay 2000 values)-fiscal disparities. 43 • Commissioner introduced the following resolution.and moved its adoption: H,.R.A. RESOLUTION 00-010 RESOLUTION RELATING TO REDEVELOPMENT PLAN FOR REDEVELOPMENT PROJECT AREA NO. 3 RAMSEY COUNTY; APPROVING EXECUTION OF REDEVELOPMENT CONTRACT WITH HILLCREST DEVELOPMENT AND ISSUANCE OF LIMITED REVENUE TAXABLE TAX INCREMENT NOTE BE IT RESOLVED by the Board of Commissioners (the 'Board") of the Housing and Redevelopment Authority of St. Anthony, Minnesota(the "HRA"), as follows: Section 1. Recitals. 1.01. Redevelopment Plan and Redevelopment Project. This Board and the City Council of the City of St. Anthony, Minnesota(the "City") have previously approved a redevelopment plan and redevelopment project of the HRA under Minnesota Statutes, Section 469.001 to 469.047, and a tax increment financing plan of the HRA, under Minnesota Statutes, Section 469.174 to 469.179, • designated as Redevelopment Plan for Redevelopment Project No. 3 - Ramsey County (the 'Redevelopment Plan"), Redevelopment Project No. 3 - Ramsey County(the "Redevelopment Project") and Tax Increment Financing Plan for Tax Increment Financing District No. 5 - Ramsey County(the "Tax Increment Financing Plan"). The Tax Increment Financing Plan established Tax Increment Financing District No. 5 - Ramsey County (the "District"). 1.02. Expenditure of Tax Increment Revenue. The Redevelopment Project constitutes a "project" and the District constitutes a "tax increment financing district" within the meaning of Minnesota Statutes, Sections 469.174 to 469.179, and thus the HRA has authority under said Sections 469.174 to 469.179 to expend ad valorem tax increments derived from the District to pay costs incurred or to be incurred by the City and the HRA in aid of the Redevelopment Project, or to pay the principal of and interest on the bonds, notes or other obligations of the HRA or City issued to finance such costs, in accordance with the Redevelopment Plan. 1.03. Computation of Tax Increment. The County Auditor of Ramsey County upon application of the HRA will certify to the HRA, the Original Tax Capacity of all taxable property in the District (the "Original Tax Capacity"), and is to certify to the HRA in each year the then current Tax Capacity of all taxable property in the District (the "Current Tax Capacity"). The Current Tax Capacity, less the Original Tax Capacity, is the Captured Tax Capacity. The ad valorem taxes derived from the property in the District in each year, by application of the aggregate tax capacity levied by all • governmental entities having authority to levy taxes on such property to the Captured Tax Capacity, is the Tax Increment to be derived from the District(the "Tax Increment"). 44 ® 1.04. Redevelopment Agreement and Note. It has been proposed that the HRA enter into a Redevelopment Agreement(the 'Redevelopment Agreement"), with Hillcrest Development Limited Partnership, a Minnesota limited partnership (the 'Redeveloper"), the form of which has been presented to this Board and is ordered placed on file in the office of the Executive Director. Under the Redevelopment Agreement, the Redeveloper agrees to undertake a.projeci, as described in.the Redevelopment Agreement(the "Project"), on property included in the Redevelopment Project-area. The Redevelopment Agreement provides that to reimburse the Redevelper for a portion of the costs of the Project, the HRA will issue to the Redeveloper the Limited Revenue Taxable Tax Increment Note of the HRA in substantially the form attached to the Redevelopment Agreement(the "Note"). The Note will be payable solely out of Tax Increment. 1.05. Minnesota Statutes, Sections 116J.993 to 116J.995 (the "Act"), provides that the HRA, as a local government agency within the meaning of the Act, may not grant a business subsidy, within the meaning of the Act, that exceeds $100,000 the HRA must provide notice and a public hearing on the business subsidy. The tax increment assistance proposed to be provided to the Redeveloper pursuant to the Redevelopment Agreement constitutes a business subsidy under the Act. 1.06. A public hearing on the granting of a business subsidy to the Redeveloper was held by the HRA on July 25, 2000. A copy of the Business subsidy Agreement between the HRA and Redeveloper (the 'Business Subsidy Agreement") has been presented to this Board and is ordered • placed on file with the Executive Director of the HRA. Section 2. Authorization and Approvals. 2.01. Approval of Redevelopment Agreement and Note. The form and terms of the Redevelopment Agreement and the Note are hereby approved, and the execution and delivery by the HRA of the Redevelopment Agreement and execution, delivery and issuance of the Note by the HRA as provided in the Redevelopment Agreement are hereby authorized. The terms of the Note shall be as set forth in the Note. The Chair and Secretary are hereby authorized and directed to execute and deliver the Redevelopment Agreement and the Note on behalf of the HRA in substantially the form presented hereto with such changes and modifications as may be approved by the officers executing the Redevelopment Agreement and the Note. The execution and delivery of the Redevelopment Agreement and the Note by the Chair and.Secretary shall be conclusive.evidence of the approval of any changes and modifications to the Redevelopment Agreement and the Note by such officers. .. 2.02. Pledge of Tax Increment. The portion of the Tax Increment which constitutes "Available Tax Increment," as defined in the Note, is hereby pledged to pay the principal of and interest on the Note as provided in the Bond. • -2- 45 • 2.03. No Representations or Warranties. The HRA does not in any manner represent or warrant that the Tax Increment will be sufficient to pay the principal of and interest on the Note when due. 2.04. Sinking Fund. The Note shall be pay able from a separate Sinking Fund(the "Sinking Fund") which will be created and maintained on the books of the HRA as a separate debt redemption fund until the Note, and all interest thereon, are fully paid. There shall be credited by the HRA to the Sinking Fund the Available Tax Increment. Available Tax Increment credited to the Sinking Fund shall be applied solely to pay principal and interest on the Note. 2.05. Approval of Business Subsidy Agreement. This Board hereby determines that the creation or retention of jobs is not a goal of providing the business subsidy to the Redeveloper. The form of the Business Subsidy Agreement is hereby approved and the Chair and Secretary are hereby authorized to execute and delivery the Business Subsidy Agreement on behalf of the HRA in the form presented to this Board with such changes and modifications thereto as may be approved by the officers executing the Business Subsidy Agreement. The execution and delivery of the Business Subsidy Agreement by the Chair and Secretary shall be conclusive of any change and modification to the Business Subsidy Agreement. Section 3. Certification of Proceedings. • 3.01. Certification of Proceedings. The officers of the HRA and the County Auditors of Hennepin and Ramsey Counties are hereby authorized and directed to prepare and furnish to the purchaser of the Note certified copies of all proceeds and records of the HRA, and such other affidavits, certificates and information as may be required to show the facts relating to the legality and marketability of the Note as to the same appear from the books and records under their custody and control or as otherwise known to them, and all such certified copies, certificates and affidavits, including any heretofore furnished, shall be deemed representations of the HRA as to the facts recited therein. Chair Attest: Secretary • -3- 46 • The motion for the adoption of the foregoing resolution was duly seconded by Commissioner , and upon vote thereof being taken thereon, the following voted in favor thereof: and the following voted against the same: whereupon said resolution was declared duly passed and adopted, and was signed by the Chair, whose signature was attested by the Secretary. -4- 47 REDEVELOPMENT AGREEMENT REDEVELOPMENT PROJECT NO. 3 (APACHE PLAZA) HOUSING AND REDEVELOPMENT AUTHORITY OF ST. ANTHONY, MINNESOTA AND HILLCREST DEVELOPMENT 2000 48 TABLE OF CONTENTS Section 1.1 Definitions . . . . . . . . . . . . . Section2.1 By HRA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Section 2.2 By Redeveloper . . . . . . . . . . . . . . . . . . . . . . . . . . ... . . . . . . . . . . . . . . . . . . Section3.1 Use . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Section 3.2 Declaration of Restrictions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Section 3.3 Acquisition of Parcels; Eminent Domain . . . . . . . . . . . . . . . . . . . . . . . . . . Section 4.1 Undertaking of Project . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Section 4.2 Certificate of Completion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . • Section 4.3 Reimbursement of Portion of Costs of Storm Sewer Improvements . . . . . . Section 5.1 Defense of Claims . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Section 5.2 Insurance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Section 6.1 General Description . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Section 6.2 Reimbursement of Public Redevelopment Costs . . . . . . . . . . . . . . . . . . . . . Section 6.3 Assignment of Note . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Section 7.1 Transfer of Property and Assignment . . . . . . . . . . . . . ... . . . . . . . . . . . . . Section 7.2 Termination of Limitations on Transfer . . . . . . . . . . . . . . . . . . . . . . . . . . . . Section 8.1 Events of Default . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Section 8.2 Remedies on Default . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Section 8.3 No Remedy Exclusive . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . • -i- 48 • Section 8.4 Waivers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Section 9.1 Conflict of Interests; HRA Representatives. Not Individually Liable . . . . . . ... . . . . . . . . . . . . . . . . . . ... . . . . . . . . . . . . Section 9.2 Equal Employment Opportunity . . . . . . .. . . . . . . . . . . . . ..... . . . . ... . . . . . Section 9.3 Restrictions on Use . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Section 9.4 Titles of Articles and Sections . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Section 9.5 Notices and Demands . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Section 9.6 Business Subsidies Act . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Section 9.7 Term of Agreement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Section 9.8 Counterparts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Schedule A Redevelopment Property ® Schedule B Description of Storm Sewer Improvements Exhibit A Certificate of Completion Exhibit B Covenants and Restrictions Exhibit C Form of Note Exhibit D Business Subsidy Agreement • -ii- 49 • REDEVELOPMENT AGREEMENT This Agreement is made as of , 2000, by and between the HOUSING AND REDEVELOPMENT AUTHORITY OF ST. ANTHONY,MINNESOTA, a public body corporate and politic (the "HRA"), and HILLCREST DEVELOPMENT, a Minnesota limited partnership ('Redeveloper"). WITNESSETH: WHEREAS, the HRA was created pursuant to state law now codified as Minnesota Statutes, Sections 469.001 through 469.047 (the "Act") and was authorized to transact business and exercise its powers by a resolution of the City Council of the City of St. Anthony (the "City") adopted on July 14, 1981; and WHEREAS, in furtherance of the objectives of the Act, the HRA has undertaken a program for the clearance and redevelopment of blighted, vacant and unused areas of the City and in this connection is engaged in carrying out a redevelopment project as defined in Minnesota Statutes, Section 469.002, Subdivision 12, known as Redevelopment Project No. 3 (the "Redevelopment Project") in the area in the City encompassing the Apache Plaza Shopping Center located at 37th Avenue North and Silver Lake Road and certain adjacent property (the "Project Area"); and WHEREAS, as of the date of this Agreement there has been prepared and approved by the HRA and the City Council pursuant to the Act a redevelopment plan for the Redevelopment Project, dated August 25, 1992, as amended by amendments thereto dated March 23, 1993 and August 22, 2000 (as so amended, the 'Redevelopment Plan"); and WHEREAS, on August 22, 2000 the City Council adopted a resolution establishing a portion of the Project Area as a tax increment financing district; and WHEREAS, the major objectives of the Redevelopment Plan are to: promote and secure the prompt renovation of the property in the Project Area; promote and secure additional employment opportunities for residents of the City and.surrounding area; correct storm water run-off problems from property in the Project Area; and halt the decline and secure increase in the value of taxable property in the Project Area; and WHEREAS, in order to achieve the objectives of the Redevelopment Plan, the HRA intends to provide aid and assistance to the Redeveloper through tax increment financing, as described in Minnesota Statutes, Sections 469.174 through 469.179 to finance the cost of the acquisition by the Redeveloper of property located in the Project Area and the rehabilitation and renovation of buildings located on such property, together with related site improvements; and 5® • WHEREAS, the HRA and the City believe that redevelopment of a portion of the Project Area pursuant to this Agreement is in the best interests of the City and benefits the health, safety, morals and welfare of its residents, and complies with the applicable state and local laws and requirements under which the Redevelopment Project has been undertaken and is being assisted. NOW,THEREFORE, in consideration of the foregoing premises and the mutual obligations set forth in this Agreement, the parties hereto hereby agree as follows: ARTICLE 1 Definitions Section 1.1. Definitions. In this Agreement, unless a different meaning clearly appears from the context: "Acquisition Costs" means (i) the cost of appraisals to establish the "fair market value" of the Redevelopment Property or any interest therein; (ii) the amounts paid by the HRA to outside legal counsel (in accordance with the hourly rate schedule generally applicable to HRA and City matters) retained to draft, develop and file the petition for and handle the eminent domain proceedings on behalf of the HRA and the Redeveloper and to transfer any portion of the Redevelopment Property to the Redeveloper pursuant to and in accordance with this Agreement; (iii) all court and filing fees; (iv) all • witness fees; (v) all recording and filing fees; (vi) payment of all relocation benefits which the owner and tenants of the Redevelopment Property are entitled to receive pursuant to Minnesota Statutes, Section 117.52 et. seq. and associated regulations; (vii) payment of all deposits required to be made as a result of any immediate transfer of title ("quick take") pursuant to Minnesota Statutes, Section 117.042 of any of the Redevelopment Property; (viii) all awards granted in any condemnation action for the Redevelopment Property reduced by the amount of any deposits described in the foregoing subparagraph (vii) applied against such awards; (ix) all costs of environmental and geotechnical reports, tests, investigations and surveys for the Redevelopment Property; (x) all costs of platting and zoning the Redevelopment Property as required by this Agreement; (xi) all state deed tax payable in connection with any deeds to the Redevelopment Property which are required pursuant to and in accordance with this Agreement; (xii) the cost of obtaining title insurance commitments for the Redevelopment Property and any fees or charges due to any title insurance company for the same; and(xiii) all other_costs incurred in connection with the acquisition of marketable fee title to the Redevelopment Property, including without limitation all mailing, publication and related costs. "Act" means Minnesota Statutes, Sections 469.001 through 469.047. "Agreement" means this Agreement, as the same may be from time to time modified, amended or supplemented. • -2- 51 • "Business Subsidy Agreement" means the Business Subsidy Agreement in the form attached hereto as Exhibit D to the executed and delivered by the HRA and Redeveloper in accordance with Section 9.6 hereof. "Certificate of Completion".means a certification in the form attached as Exhibit A, to be provided.to Redeveloper pursuant to this Agreement. "City" means the City of St. Anthony, Minnesota, a Minnesota municipal corporation. "Closing" means the date upon which the HRA conveys to the Redeveloper any of the Redeveloper Property acquired by the HRA, which date shall be whenever the HRA takes title to any portion of the Redeveloper Property as provided in Section 3.3 of this Agreement. "Event of Default" means as set forth in Section 9.01 hereof. "HRA" means the Housing and Redevelopment Authority of St. Anthony, Minnesota, a public body corporate and politic under the laws of the State of Minnesota. "Improvements" means the buildings or other improvements located on the Redevelopment Property. "Lease" means the lease between Ste. Marie Company, as successor in interest to Apache Plaza Ltd., • as lessor, and G.R. Herberger's, Inc., as lessee. "Mortgage" means any mortgage made by Redeveloper which covers, in whole or in part, the Redevelopment Property. "Mortgagee" means the owner or holder of a Mortgage. "Note" means the Limited Revenue Taxable Tax Increment Note in substantially the form of Exhibit C hereto to be issued by the HRA pursuant to the Note Resolution and to be delivered by the HRA to the Redeveloper as provided in Section 6.2 hereof. "Note.Resolution".means the resolution or.resolutions adopted by the Board of Commissioners of the HRA authorizing the issuance and setting forth the terms and security for the Note. "Project" means the acquisition and clearing of the Redevelopment Property and the renovation and rehabilitation of the existing shopping center building located thereon, and the construction of site improvements and other improvements of a public nature, all as further described in the Redeveloper's Application for Preliminary Development Plan and Final Development Plan for the Redevelopment Property approved by the City Council of the City on August 22, 2000, and on file with the City. -3- 52 • "Project Area" means the area designated for redevelopment by the HRA pursuant to the Redevelopment Plan and the Act. "Public Redevelopment Costs" means costs described in Minnesota Statutes, Section 469.176, subdivision 4j and includes those incurred for: (a) reimbursement to the Redeveloper of any Acquisition Costs paid to unrelated third parties by the Redeveloper for Redevelopment Property; (b) demolition and site development costs related to the Project; and(c) costs of the Storm Sewer Improvements. "PUD Agreement" means the Planned Unit Development Agreement dated as of , 2000 between the City and the Redeveloper, together with any supplement or amendment thereto. "Redeveloper" means Hillcrest Development, a Minnesota limited partnership. "Redevelopment Plan" means the Redevelopment Plan approved by the City on August 25, 1992, as amended by amendments thereto dated March 23, 1993 and August 22, 2000. "Redevelopment Property" means the portion of the Project Area described on Schedule A attached hereto. "Restrictions" means the easements, covenants, conditions and restrictions set forth in Exhibit B. • "Section" means a Section of this Agreement, unless used in reference to Minnesota Statutes. "State" means the State of Minnesota. "Storm Sewer Improvements" means the Storm Sewer Improvements to be undertaken by Redeveloper as a part of the Project all as further described in Schedule B attached to this Agreement. "Tax Increment Act" means Minnesota Statutes, Sections 469.174 through 469.179. "Tax Increment District" means Tax Increment District No. 5-Ramsey County created by the HRA pursuant to the Tax Increment Financing Plan. "Tax Increment Financing Plan" means Tax Increment Financing Plan for Tax Increment Financing District No. 5-Ramsey County approved by the HRA and the City Council and dated August 22, 2000. "Unavoidable Delay" means a failure or delay in a party's performance of its obligations under this Agreement,or during any cure period specified in this Agreement which does not entail the mere payment of money, not within the party's reasonable control, including but not limited to acts of God, governmental agencies, the other party, strikes, labor disputes (except disputes which could be • -4- 53 • resolved by using union labor), fire or other casualty, or lack of materials; provided that within 10 days after a party impaired by the delay has knowledge of the delay it shall give the other party notice.of the delay and the estimated length of the delay,and shall give the other party notice of the actual length of the delay within 10 days after the cause of the delay has ceased to exist. The parties shall pursue with reasonable diligence the avoidance and.removal of any such delay. Unavoidable Delay shall not extend performance of any'obligation unless the notices required in this definition are given as herein required. ARTICLE 2 Representations and Warranties Section 2.1. By HRA. HRA makes the following representations to Redeveloper: (a) HRA is a housing and redevelopment authority duly organized and existing under the laws of Minnesota. Under the provisions of the Act, HRA has the power to enter into this Agreement and carry out its obligations hereunder. (b) The Redevelopment Project is a "redevelopment project" within the meaning of the Act and was created, adopted and approved in accordance with the terms of the Act. (c) The Tax Increment District is a "tax increment district" within the meaning of the Tax Increment Act and was created,adopted and approved in accordance with the terms of the Tax Increment Act. Section 2.2. By Redeveloper. Redeveloper represents and warrants that: (a) Redeveloper is a Minnesota limited partnership duly organized and existing under the laws of the State of Minnesota, has power to enter into this Agreement and has duly authorized the execution and delivery of this Agreement. (b) Redeveloper will, subject to Unavoidable Delays, complete the Project in accordance with the terms of this Agreement, and all local, state and federal laws and regulations. (c) Redeveloper has received no notice or communication from any local, state or federal official that the activities of Redeveloper, the City or HRA with respect to the Redevelopment Property may be or will be in violation of any environmental law or regulation. Redeveloper is aware of no facts the existence of which would cause it to be in violation of any local, state or federal environmental law, regulation or review procedure with respect to the Redevelopment Property. (d) Neither the execution or delivery of this Agreement, the consummation of the transactions contemplated hereby, nor the fulfillment of or compliance with the terms and conditions of • -5- 54 • this Agreement is prevented by, limited by, conflicts with, or results in a breach of, any restriction, agreement or instrument to which Redeveloper is now a party or by which he is bound. (e) The Redeveloper(i) is not in default in the payment of the principal of or interest on any indebtedness for borrowed money;or(ii) is not in default under any instrument or agreement under and subject to which any indebtedness for borrowed money has been issued. (f) The Redeveloper would not undertake the Project but for the tax increment financing assistance being provided by the HRA hereunder. (g) Redeveloper has no knowledge or information that any member of the governing body of the City or HRA or any other officer of the City and HRA has any direct or indirect financial interest in the Redeveloper, the Redevelopment Property or the Project. ARTICLE 3 Use of Redevelopment Property; Restrictions, Eminent Domain Section 3.1 Use. Redeveloper's use of the Redevelopment Property shall be subject to and in compliance with all of the conditions, covenants, restrictions and limitations imposed by this Agreement, the Restrictions and all applicable laws, ordinances and regulations. Section 3.2 Declaration of Restrictions. Redeveloper shall prepare, execute, and record on the title to the Redevelopment Property a Declaration of Restrictive Covenants, in form approved by the HRA, which includes the Restrictions set forth on Exhibit B, and shall cause each existing Mortgagee to execute an appropriate instrument in form satisfactory to the HRA consenting to and agreeing to be bound by the Restrictions in the event it becomes a record owner of all or a part of the Redevelopment Property. Section 3.3 Acquisition of Parcels, Eminent Domain. The Redeveloper will attempt to obtain the consent of the lessee under the Lease to the Project, as required by the Lease, or to cancel or terminate the Lease. If Redeveloper is unsuccessful in its attempt,to obtain such consent or to cancel or terminate the Lease, then the HRA, to the extent permitted by law, will acquire any right, title, interest or estate in the Lease necessary in order to construct the Project,that the Redeveloper is not able to acquire; provided, however, that the Redeveloper shall pay all of the HRH's Acquisition Costs as and when required pursuant to this Section 3.3. The HRA will submit invoices to the Redeveloper not more than once a month for all Acquisition Costs incurred by the HRA in acquiring any Parcels pursuant to this Section, and the Redeveloper will pay all such costs within thirty (30) days after receipt of each invoice. Any such amounts which are not paid within thirty (30) days after receipt by Redeveloper of an invoice for such amounts shall bear interest from the date thirty (30) days after the • -6- 55 • receipt by Redeveloper of an invoice for such amounts to the date paid at an annual rate equal to (A) the "prime rate" as published in the Wall Street Journal, or if the Wall Street Journal no longer publishes such a rate or successor rate, then the reference or prime rate, successor rate or similar rate determined by a national banking institution reasonably selected by the HRA, plus (B).4 percentage points per annum, or the maximum rate of interest permitted by,law, whichever is less,and the interest,will be paid to the HRA on demand. Notwithstanding anything to the contrary in this Agreement, the Redeveloper's obligation to pay the HRA all Acquisition Costs incurred by the HRA will survive any expiration or earlier termination of this Agreement. If the Redeveloper cannot obtain the consent of the lessee under the Lease to the Project or to cancel or terminate the Lease through direct negotiation, the HRA will commence an eminent domain proceeding to terminate the Lease or the provisions thereof designated by the Redeveloper by filing a petition pursuant to Minnesota Statutes, Chapter 117. Condemnation proceedings may, at the option of the Redeveloper, include a request for the immediate transfer of title ("quick take") pursuant to Minnesota Statutes, Section 117.042. If the HRA initiates acquisition through the exercise of a "quick take" proceeding within its eminent domain authority pursuant to this Section, the Redeveloper will provide to the HRA for deposit with the Ramsey County District Court the appraised value for the interest in the Redevelopment Property to be so acquired by the HRA, which value shall be determined by an appraiser mutually acceptable to both the Redeveloper and the HRA. The actual Purchase Price to be paid by the Redeveloper to the HRA for the portion of the • Redevelopment Property to be acquired by the HRA will'be equal to the amount awarded by the District Court as damages to the owner of any Redevelopment Property acquired by the HRA. The amount awarded as damages may exceed the amount provided by the Redeveloper to the HRA for deposit with the District Court. For any interest in the Redevelopment Property acquired by the HRA for which the amount awarded by the District Court exceeds the amount of the deposit already paid by the Redeveloper, the Redeveloper will pay to the HRA immediately upon request by the HRA the difference between the deposit amount and the District Court damage amount. The Redeveloper's obligation to pay the HRA the Purchase Price for any portion of the Redevelopment Property which is acquired by the HRA will survive any termination of this Agreement. Prior to the HRA commencing any eminent domain proceedings pursuant to this Section 3.3 the Redeveloper shall deposit with the HRA an irrevocable letter of credit in favor of the HRA issued by a commercial bank approved by the HRA. Such letter of credit shall be in a form approved by the HRA and shall be in the amount not less than 115%of the HRA's Acquisition Costs as estimated by the HRA. Such letter of credit shall be maintained by the Redeveloper with the HRA in such amount at all times during the pendency of such condemnation proceedings. If the Redeveloper shall fail to pay the HRA any amounts required to be paid by the Redeveloper to the HRA under this Section 3.3 the HRA shall be entitled to submit a draw under the letter of credit for such amount. Condemnation proceedings initiated under this Section may be abandoned by the HRA if the Redeveloper fails to (i)cause the letter of credit required by this Section 3.3 to be maintained with -7- 56 • the HRA, (ii) timely make any deposit required in this Section 3.3, or(iii) or close on the transfer of the portion of the Redevelopment Property acquired by the HRA, and may otherwise be abandoned by the HRA upon the direction of the Redeveloper. The Redeveloper has the sole discretion to direct the settlement of any condemnation proceeding commenced pursuant to this Section 3.3 or to direct the appeal of any commissioners' award in a condemnation proceeding initiated hereunder. Upon acquisition of title to any portion of the Redevelopment Property by the HRA pursuant to this Section 3.3, and provided that the Redeveloper has satisfied the terms and conditions contained in this Agreement, including payment of all Acquisition Costs incurred by the HRA through the date of the transfer of title from the HRA to such Redevelopment Property to the Redeveloper, the HRA will quitclaim title to such Redevelopment Property to the Redeveloper on the applicable Closing date or such other date as the parties hereto may mutually agree upon in writing, and the Redeveloper shall accept such conveyance at that time. Unless otherwise mutually agreed by the HRA and the Redeveloper, the execution and delivery of all documents (including any conveyance documents from the Redeveloper to the HRA) and the payment'of any Acquisition Costs shall be made at the principal office of the HRA at 3301 Silver Lake Road in St. Anthony. All deeds to the Redevelopment Property shall be in recordable form and shall be • promptly recorded in the appropriate Ramsey County office at the Redeveloper's sole expense (including without limitation payment of all state deed tax and recording fees for the same). ARTICLE 4 Completion of Project Section 4.1 Undertaking of Project. (a) Subject to Unavoidable Delays, Redeveloper will complete the Project all in accordance with the terms of the PUD Agreement. (b) Redeveloper shall promptly begin the Project and.diligently prosecute the Project to completion in accordance with the requirements of the PUD Agreement. Redeveloper shall make reports, in such detail and at such times as may reasonably be requested by the HRA, as to the actual progress of Redeveloper with respect to the Project. (c) Redeveloper shall not interfere with, or construct any improvements over, any public street or utility easement without the prior written approval of the City. All connections to public utility lines and facilities shall be subject to approval of the City and any private utility company involved. Except for public improvements which are assessable by the City or other governmental • -8- • body against other benefitted properties, all street and utility installations, relocations, alterations and restorations shall be at Redeveloper's expense and without expense to the City or the HRA. Redeveloper at its own expense shall replace any public facilities or utilities damaged during the:Project by the Redeveloper or its agents or by others acting on behalf of or under the direction or control of the Redeveloper. Section 4.2 Certificate of Completion. Promptly after completion of the Project in accordance with the PUD Agreement, the HRA will furnish Redeveloper with an appropriate Certificate of Completion as conclusive evidence of satisfaction and termination of the agreements and covenants of this Agreement with respect to the obligations of Redeveloper to complete the Project. The furnishing by the HRA of the Certificate of Completion shall not constitute evidence of compliance with or satisfaction of any obligation of Redeveloper to any Mortgagee. Section 4.3 Reimbursement of Portion of Costs of Storm Sewer Improvements. Upon issuance of the Certificate of Completion the HRA will pay to the Redeveloper from funds of the HRA legally available therefor the amount of$300,000 to reimburse the Redeveloper for a portion of the cost of the Storm Sewer Improvements. ARTICLE 5 Defense of Claims: Insurance; Condemnation Section 5.1 Defense of Claims. Redeveloper shall indemnify and hold harmless the HRA and the City and their respective.officers, employees and agents for any loss, damages and expenses (including attorneys' fees) in connection with any claims or proceedings arising from damages or injuries received or sustained by any person or property by reason of any actions or omissions of Redeveloper or its contractors, agents, officers or employees or arising out of or relating to this Agreement or the transactions contemplated by this Agreement, other than claims or proceedings arising from any negligent or unlawful acts or omissions of the HRA, the City or their contractors, agents, officers or employees. Promptly after receipt by the HRA or City of notice of the commencement of any action in respect of which indemnity may be sought against the Redeveloper under this Section 5.1, such person will notify the Redeveloper in writing of the commencement thereof, and, subject to the provisions hereinafter stated, the Redeveloper shall assume the defense of such action (including the employment of counsel, who shall be counsel satisfactory to the HRA or City, as the case may be, and the payment of expenses) insofar as such action shall relate to any alleged liability in respect of which indemnity may be sought against the Redeveloper. The HRA or the City shall have the right to employ separate counsel in any such action and to participate in the defense thereof, but the fees and expenses of such counsel shall not be at the expense of the Redeveloper unless the employment of such counsel has been specifically authorized by the Redeveloper. The Redeveloper shall not be liable to indemnify any person for any settlement of any such action effected without its • -9- 5 • consent. The omission to notify the Redeveloper as herein provided will not relieve it from any liability which it may have to any indemnified party pursuant hereto, otherwise than under this section. Section 5.2 Insurance. (a) The Redeveloper shall keep and maintain the Redevelopment Property and Improvements at all times insured against such risks and in such amounts, with such deductible provisions, as are customary in connection with facilities of the type and size comparable to the Improvements, and the Redeveloper shall carry and maintain, or cause to be carried and maintained, and pay or cause to be paid timely the premiums for direct damage insurance covering all risks of loss, including, but not limited to, the following: (1) fire (2) extended coverage perils (3) vandalism and malicious mischief (4) boiler explosion (but only if steam boilers are present) (5) collapse on a replacement cost basis in an amount equivalent to the full insurable value thereof. ("Full insurable value" shall include the actual replacement cost of the Improvements (exclusive of foundations and • footings) without deduction for architectural, engineering,legal or administrative fees or for depreciation.) Insurance in effect.with respect to any portion of the Improvements to be renovated or remodeled as a part of the Project prior to the issuance by the HRA of a Completion Certificate under Section 4.2 hereof with respect thereto shall be maintained on an "all-risk" builder's risk basis during the course of construction. The policies required by this Section 5.2 shall be subject to a no coinsurance clause or contain an agreed amount clause, and may contain a deductibility provision not exceeding $25,000. (b) Policies of insurance required by this Section 5.2 shall assure and be payable to the Redeveloper, and shall provide for release of insurance proceeds to the Redeveloper for restoration of loss. The HRA shall be furnished certificates showing the existence of such insurance. In case of loss, the Redeveloper is hereby authorized to adjust the loss and execute proof thereof in the name of all parties in interest. The Redeveloper.shall annually file with the HRA a schedule describing all such policies in force, including the types of insurance, names of insurers, policy numbers, effective dates, terms of duration or any other information the HRA deems pertinent. Such list shall be accompanied by a certificate executed by the Redeveloper stating that, to the best of the knowledge of the Redeveloper, insurance on the Improvements then in force complies with this Section 5.2. • -10- 5Y • ARTICLE 6 Public Assistance Section 6.1 General Description. The HRA will provide to the Redeveloper an amount of public assistance equal to the Public Redevelopment Costs incurred by the Redeveloper up to the maximum amount provided in Section 6.2 hereof. The public assistance will be payable to the Redeveloper on a "pay-as-you-go" basis where the Redeveloper will incur the Public Redevelopment Costs as part of the costs to develop the Redevelopment Property, and will thereafter be reimbursed by the HRA for said Public Redevelopment Costs as provided in Section 6.2 hereof. Section 6.2 Reimbursement of Public Redevelopment Costs. The HRA will not reimburse the Redeveloper for its Public Redevelopment Costs from HRA revenues nor guaranty the amount of money which the Redeveloper will annually receive as the reimbursement for its Public Redevelopment Costs. The HRA's obligation to reimburse the Redeveloper for its Public Redevelopment Costs will be contained in the Note. The Note will be issued by the HRA to the Redeveloper with maximum principal balance of$4,750,000 plus interest on the unpaid principal balance thereof at a rate equal to nine and one-half percent (9.50%) per annum, and shall be payable solely from Available Tax Increment as provided in the Note. The Note will be issued upon execution of this Agreement by all parties hereto. Upon payment by the Redeveloper of Public Redevelopment Costs which are eligible to be reimbursed pursuant to the Note and are not Public Redevelopment Costs to be reimbursed by the HRA pursuant.to Section 4.3 hereof, the Redeveloper will deliver to the HRA an instrument executed by the Redeveloper specifying (i) the'amount and nature of Public Redevelopment Costs to be reimbursed pursuant to the Note, and (ii) certifying that such Public Redevelopment Costs have been.paid to third parties unrelated to the Redeveloper or if any Public Redevelopment Costs have been paid to third parties related to the Redeveloper, that such Public Redevelopment Costs-do not exceed the reasonable and customary costs of services, labor or materials of comparable quality, dependability, availability and other pertinent criteria and that such Public Redevelopment Costs have not previously been contained in an instrument furnished to the HRA pursuant to this Section 6.2_and are not Public Redevelopment Costs to be reimbursed by the HRA pursuant to Section 4.3 hereof. Together with such instrument the Redeveloper shall deliver to the HRA evidence satisfactory to the HRA of the payment by the Redeveloper of such Public Redevelopment Costs to be reimbursed by the Note. The principal amount of the Note shall be increased on the date of delivery of such instrument to the HRA by the amount of Public Redevelopment Costs eligible to be reimbursed pursuant to the Note specified in such instrument which have not previously increased the principal amount of the Note. Section 6.3 Assignment of Note. The Note shall not be assignable or transferable without the prior written consent of the HRA; provided, however, that such consent shall not be unreasonably withheld or delayed if: (a) the assignee or transferee delivers to the HRA a written instrument acknowledging the limited nature of the HRA's payment obligations under the Note, and (b) the assignee or transferee executes and delivers to the HRA a certificate, in form and substance satisfactory to the HRA, pursuant to which, among other things, such assignee or transferee represents (i) that the • -11- 60 • Note is being acquired for investment for such assignee's or transferee's own account, not as a nominee or agent, and not with a view to the resale or distribution of any part thereof, (ii) that the assignee or transferee has no present intention of selling, granting any participation in, or otherwise distributing the same, (iii) that the assignee or transferee is an "accredited investor" within the meaning of Rule 501 of the Regulation I) under the Securities Act of 1933, as amended, (iv) that the.assignee or transferee; either alone or with such assignee's or transferee's representatives, has knowledge and experience in financial and business matters and is capable of evaluating the merits and risks of the prospective investment in the Note and the assignee or transferee is able to bear the economic consequences thereof, (v) that in making its decision to acquire the Note, the assignee or transferee has relied upon independent investigations made by the assignee or transferee and, to the extent believed by such assignee or transferee to be appropriate, the assignee's or transferee's representatives, including its own professional, tax and other advisors, and has not relied upon any representation or warranty from the HRA, or any of its officers, employees, agents, affiliates or representatives, with respect to the value of the Note, (vi) that the HRA has not made any warranty, acknowledgment or covenant, in writing or otherwise, to the assignee or transferee regarding the tax consequences, if any, of the acquisition and investment in the Note, (vii) that the assignee or transferee or its representatives have been given a full opportunity to examine all documents and to ask questions of, and to receive answers from, the HRA and its representatives concerning the terms of the Note and such other information as the assignee or transferee desires in order to evaluate the acquisition of and investment in the Note, and all such questions have been answered to the full satisfaction of the assignee or transferee, (viii) that the assignee or transferee has evaluated the merits and risks of investment in the Note and has determined that the Note is a suitable investment for the assignee or transferee in light of such party's overall financial condition and prospects, (ix) that the Note will be characterized as "restricted securities" under the federal securities laws because the Note is being acquired in a transaction not involving a public offering and that under such laws and applicable regulations such securities may not be resold without registration under the Securities Act of 1933, as amended,except in certain limited circumstances, and (x) that no market for this Note exists and no market for the Note is intended to be developed. Notwithstanding the foregoing, the Redeveloper may assign and pledge the Note to secure any loan financing the costs of the Project and may transfer the Note to (i) any entity controlling, controlled by or under common control with the Redeveloper or(ii) any entity in which the majority equity interest is owned by the parties that have a majority equity interest in the Redeveloper. ARTICLE 7 Prohibitions Against Assignment and Transfer Section 7.1 Transfer of Property and Assignment. -Redeveloper has not made and will not make, or suffer to be made, any total or partial sale, assignment, conveyance, lease (other than leases of space in the Improvements constructed as a part of the Project or a mortgage securing financing for the Project), or other transfer, with respect to this Agreement or the Redevelopment • -12- 61 • Property or any part thereof or any interest therein, or any contract or agreement to do any of the same, without the prior written approval of the HRA. The HRA shall be entitled to require as conditions to any such approval that: (i) the proposed transferee have the qualifications and financial responsibility, as reasonably determined by the HRA, necessary and adequate to fulfill the obligations undertaken in this Agreement by Redeveloper; (ii) the proposed transferee, by recordable instrument satisfactory to the HRA shall, for itself and its successors and assigns, assume all of the obligations of Redeveloper under this Agreement. No transfer of, or change with respect to, ownership in the Redevelopment Property or any part thereof, or any interest therein, however consummated or occurring and whether voluntary or involuntary, shall operate, legally or practically, to deprive or limit the HRA of or with respect to any rights or remedies or controls provided in or resulting from this Agreement with respect to the Redevelopment Property and the completion of the Project that the HRA would have had, had there been no such transfer or change. There shall be submitted to the HRA for review all legal documents relating to the transfer. Notwithstanding the foregoing, this Section 7.1 shall not apply to any transfer or assignment to (i) any entity controlling, controlled by or under common control with the Redeveloper or (ii) any entity in which the majority equity interest is owned by the parties that have a majority equity interest in the Redeveloper. Provided that no Event of Default exists hereunder, any such transfer or assignment shall release Hillcrest Development from its obligations hereunder upon execution and .delivery to the HRA by the transferee or assignee of an instrument in form and substance satisfactory to the HRA by which the transferee or assignee assumes the obligations of the Redeveloper hereunder. • In the absence of specific written agreement by the HRA to the contrary, no such transfer or approval by the HRA thereof shall be deemed to relieve Redeveloper, or any other party bound in any way by this Agreement or otherwise with respect to the completion of the Project, from any of its obligations with respect thereto. 7.2 Termination of Limitations on Transfer. The provisions of Section 7.1 shall terminate at such time as the Certificate of Completion has been issued by the HRA under Section 4.3 of this Agreement with respect to the Project. ARTICLE 8 Events of Default Section 8.1 Events of Default. The following shall be "Events of Default" under this Agreement and the term 'Event of Default" shall mean, whenever it is used in this Agreement (unless the context otherwise provides), any one or more of the following events: (a) Failure of Redeveloper to complete the Project as required hereunder. • -13- 62 • (b) A default by the Redeveloper under the PUD Agreement. (c)Failure of Redeveloper to observe and perform any other covenant, condition, obligation or agreement on his part to be observed or performed hereunder or under the Restrictions. Section 8.2 Remedies on Default. In the event the HRA desires to exercise any of its rights or remedies as provided herein or otherwise available to the HRA at law or in equity, the HRA shall first provide written notice to Redeveloper setting forth with specificity and particularity the Event of Default and the action required to cure or remedy the same (the "Default Notice"). The Redeveloper shall have thirty (30) days from its receipt of a Default Notice to cure or remedy the Event of Default specified in the Default Notice, or such longer period as may be reasonably required to complete the cure as soon as reasonably possible under the circumstances. If following the Redeveloper's receipt of a Default Notice the Redeveloper does not cure or remedy the Event of Default therein specified within the time provided above, the HRA may take any one or more of the following actions at any time prior to the Redeveloper's curing or remedying the Event of Default: (a) Suspend its performance under this Agreement until it receives assurances from Redeveloper, deemed adequate by the HRA, that Redeveloper will cure its default and continue its performance under this Agreement. • (b) Terminate all rights of Redeveloper under this Agreement. (c) Withhold the Certificate of Completion. (d) Terminate the Note. (e) Take whatever action at law or in equity may appear necessary or desirable to the HRA to enforce performance and observance of any obligation, agreement, or covenant of the Redeveloper under this Agreement. Section 8.3. No Remedy Exclusive. No remedy herein conferred upon or reserved to the HRA is intended to be exclusive of any other available remedy or remedies, but each and every such remedy shall be cumulative and.shall be in addition to every other remedy given under this Agreement or now or hereafter existing at law or in equity or by statute. No delay or omission to exercise any right or power accruing upon any default shall impair any such right or power or shall be construed to be a waiver thereof, but any such right and power may be exercised from time to time and as often as may be deemed expedient. In order to entitle the HRA or Redeveloper to exercise any remedy reserved to it, it shall not be necessary to give notice, other than such notice as may be required under this Agreement. • -14- 63 • Section 8.4. Waivers. All waivers by the HRA, shall be,in writing. If any provision of this Agreement is breached by either party and thereafter waived by the other party, such waiver shall be limited to the particular breach so waived and shall not be deemed to waive any other concurrent, previous or subsequent breach hereunder. ARTICLE 9 Additional Provisions Section 9.1 Conflict of Interests: HRA and City_Representatives Not Individually Liable. No member, official, employee, or consultant or employees of the consultants of the HRA or the City shall have any personal interest, direct or indirect, in this Agreement, nor shall any such member, official, consultant or the consultant's employees or employee participate in any decision relating to this Agreement which affects his or her personal interests or the interests of any corporation, partnership, or association in which he or she is directly or indirectly interested. No member,official, consultant or the consultant's employees, or employee of the HRA or the City shall be personally liable to Redeveloper, or any successor in interest, in the event of any default or breach by the HRA or the City or for any amount which may become due to Redeveloper or successor or on any obligations under the terms of this Agreement. • Section 9.2 Equal Employment Opportunity. Redeveloper;for itself and its successors and assigns, agrees that during the construction of the Project it will comply with any applicable affirmative action and nondiscrimination laws or regulations. Section 9.3 Restrictions on Use. Redeveloper agrees for itself, and its successors and assigns, and every successor in interest to the Redevelopment Property, or any part thereof, that Redeveloper, and such successors and assigns, shall devote the Redevelopment Property to, and only to and in accordance with, the uses specified in the Redevelopment Plan and this Agreement, and shall not discriminate upon the basis of race, color, creed, sex or national origin in the sale, lease, or rental or in the use or occupancy of the Redevelopment Property or any improvements erected or to be erected thereon, or any part thereof. Section 9.4. Titles of Articles and Sections. Any titles.of the several parts, Articles, and Sections of this Agreement are inserted for convenience of reference only and shall be disregarded in construing or interpreting any of its provisions. Section 9.5 Notices and Demands. Except as otherwise expressly provided in this Agreement, a notice, demand, or other communication under this Agreement by either party to the other shall be sufficiently given or delivered if it is dispatched by registered or certified mail, postage prepaid, return receipt requested, or delivered personally as follows: • -15- 64 (a) in the case of Redeveloper, addressed to or delivered personally to Redeveloper at Hillcrest Development, 2424 Kennedy Street N.E., Minneapolis, Minnesota 55413; (b) in the case of the HRA, addressed or delivered personally to the HRH's Executive Director, 3301 Silver Lake Road, St. Anthony,.Minnesota 55418; (c) in the case of the City addressed or delivered personally to the City Manager at 3301 Silver Lake Road, St. Anthony, Minnesota 55418; or at such other address with respect to any such party as that party may, from time to time, designate in writing and forward to the other parties as provided in this Section. Section 9.6 Business Subsidies Act. The Business Subsidy Act requires as a condition for the assistance being provided by the HRA to the Redeveloper under this Agreement that the Redeveloper enter into an agreement with the HRA meeting the requirements set forth in the Business Subsidy Act. In order to satisfy such requirement, upon execution of this Agreement, the HRA and the Redeveloper will execute and deliver the Business Subsidy Agreement in substantially the form attached hereto as Exhibit D. Section 9.7 Term of Agreement. This Agreement shall terminate upon the earlier to • occur of(i) February 1;2019,or(ii) the payment in full of the Note; provided that notwithstanding the termination of this Agreement, the Restrictions shall remain in full force and effect until terminated in accordance with its terms. Section 9.8 Counterparts. This Agreement is executed in any number of counterparts, each of which shall constitute one and the same instrument. • -16- 65 IN WITNESS WHEREOF, the parties have caused this Agreement to be duly • executed as of the date first above written. HOUSING AND REDEVELOPMENT AUTHORITY OF ST. ANTHONY,,MINNESOTA By Its Chair By Its Secretary HILLCREST DEVELOPMENT By Its -17- 66 STATE OF MINNESOTA ) ) SS COUNTY OF HENNEPIN ) The foregoing instrument was acknowledged before me this day of. 2000, by the Chair and the Secretary of the Housing and Redevelopment Authority of St. Anthony, Minnesota. Notary Public STATE OF MINNESOTA ) ) SS COUNTY OF HENNEPIN ) The foregoing instrument was acknowledged before me this day of , 2000, by , the of Hillcrest Development, a Minnesota limited partnership. Notary Public DRAFTED BY: Dorsey&Whitney LLP (JPG) 220 South Sixth Street Minneapolis, Minnesota 55402 -18- 67 SCHEDULE A REDEVELOPMENT PROPERTY • • A-1 6 • SCHEDULE B DESCRIPTION OF STORM SEWER IMPROVEMENTS • • B-1 69 • EXHIBIT A CERTIFICATE OF COMPLETION WHEREAS, Hillcrest Development("Owner") is the owner of the property in the County of Ramsey and State of Minnesota described on Exhibit I attached hereto and made a part hereof("Property"); and WHEREAS, the Property is subject to the provisions of a certain Redevelopment Agreement(the "Agreement") dated , 2000 by and between Owner and the Housing and Redevelopment Authority of St. Anthony, Minnesota(the "HRA"); and WHEREAS, Owner has fully and duly performed all of the covenants and conditions of Owner under the-Agreement with respect to the completion of the Project (as defined in the Agreement); NOW, THEREFORE, it is hereby certified that all requirements of Owner under the Agreement with respect to the completion of the Project have been completed and duly and fully performed, and this instrument is to be conclusive evidence of the satisfactory termination of the covenants and conditions of the Agreement as they relate to the completion of the Project.. All other • covenants and conditions of the Agreement shall remain in effect and are not terminated hereby. Dated this day of , HOUSING AND REDEVELOPMENT AUTHORITY OF ST. ANTHONY, MINNESOTA By Its Chair By Its Secretary • A-1 70 • STATE OF MINNESOTA ) ) SS. COUNTY OF HENNEPIN ) The foregoing instrument was acknowledged before me this_day.of , by , Chair and , Secretary of the Housing and Redevelopment Authority of St. Anthony,Minnesota. Notary Public This instrument was drafted by: DORSEY &WHITNEY LLP (JPG) 220 South Sixth Street Minneapolis, Minnesota 55402. • • A-2 71 • EXHIBIT B COVENANTS AND RESTRICTIONS 1. The Property shall not be exempt from real estate taxes notwithstanding the ownership or use of the Land. 2. The Property shall not be sold, transferred, conveyed or leased to any of the following parties: (a) An institution of purely public charity; (b) A church or ancillary tax exempt housing; (c) A public hospital; (d) A public school district; (e) An organization exempt from federal income taxes pursuant to Section 501(c)(3) of the Internal Revenue Code of 1986, as amended; or (f) A Minnesota cooperative association organized under Minnesota Statutes, Section 308.05 and 308.18 for the purpose of complying with the provisions of Minnesota Statutes, Section 273.133, subdivision 3, or any other party that would cause the Property to be valued and assessed for real estate tax purposes at a lower percentage of its market value than the Property is then being valued and assessed for real estate tax purposes or would result in the Property becoming exempt from real estate taxes. 3. The land shall not be used for any of the following purposes: (a) The operation of a public charity; (b) A church or house of worship; (c) The operation of a public hospital; (d) The operation of a public schoolhouse, academy, college, university or seminary of leaming; or B-1 72 • (e) Any other use which would cause the Property to be valued and assessed for real estate tax purposes at a.lower percentage of its market value than the Property is then being valued and assessed for real estate tax purposes or would result in the Property becoming exempt from real estate taxes. 4. The covenants and restrictions herein contained shall run with the title to the Property and shall be binding upon all present and future owners and occupants of the Property; provided, however, that the covenants and restrictions herein contained shall inure only to the benefit of the Housing and Redevelopment Authority of St. Anthony, Minnesota("HRA"), and may be released or waived in whole or in part at any time, and from time to time,by the sole act of the HRA, and variances may be granted to the covenants and restrictions herein contained by the sole act of the HRA. These covenants and restrictions shall be enforceable only by the HRA, and only the HRA shall have the right to sue for and obtain an injunction,prohibitive or mandatory, to prevent the breach of the covenants and restrictions herein contained, or to enforce the performance or observance thereof. 5. The covenants and restrictions herein contained shall remain in effect until August 1, 2030 and thereafter shall be null and void. • • B-2 ®3 • EXHIBIT C FORM OF NOTE UNITED STATES OF AMERICA STATE OF MINNESOTA COUNTIES OF HENNEPIN AND RAMSEY HOUSING AND REDEVELOPMENT AUTHORITY OF ST.ANTHONY LIMITED REVENUE TAXABLE TAX INCREMENT NOTE The Housing and Redevelopment Authority of St. Anthony (the "HRA") acknowledges itself to be indebted and, for value received, promises to pay to the order of Hillcrest Development, or its assign, (the 'Redeveloper") solely from the source, to the extent and in the manner hereinafter provided, up to the principal amount of this Note as provided herein, together with interest thereon accrued on the outstanding principal amount hereof, at the rate of interest of nine and one-half percent (9.50%) per annum, on the Payment Dates (as hereinafter defined). Each payment on this Note is payable in any coin or currency of the United States of America • which on the date of such payment is legal tender for public and private debts and shall be made by check or draft made payable to the Redeveloper and mailed to the Redeveloper at its postal address within the United States which shall be designated from time to time by the Redeveloper. The Note is a special and limited obligation and not a general obligation of the HRA, which has been issued by the HRA pursuant to a Redevelopment Agreement dated 12000, between the HRA and Redeveloper(the 'Redevelopment Agreement") and a resolution of the Board of Commissioners of the HRA to aid in financing a "project," as defined in Minnesota Statutes, Section 469.174, subdivision. 8, of the HRA consisting generally of defraying certain capital and administration costs incurred and to be incurred by the HRA within and for the benefit of its Tax Increment Financing District No. 5-Ramsey County (the "Tax Increment Financing District"). Capitalized terms used herein and not otherwise defined herein shall have the meaning given to them in the Redevelopment Contract. The outstanding principal amount of this Note shall be increased subject to the limits provided herein by the amount of Redeveloper's actual out-of-pocket costs which the Redeveloper has certified to the HRA pursuant to Section 6.2 of the Redevelopment Contract for Public Redevelopment Costs, as defined in the Redevelopment Agreement. The maximum principal amount of this Note attributable to Public Redevelopment Costs shall not exceed $4,750,000, and of such principal amount the principal amount of this Note attributable to • C-1 74 Public Redevelopment Costs, other than costs of Storm Sewer Improvements, as defined in the Redevelopment Agreement, shall not exceed $4,000,000, and the principal amount of this Note _ attributable to costs of Storm Sewer Improvements shall not exceed $750,000. Costs of Storm Sewer Improvements to be reimbursed to,the Redeveloper by the HRA pursuant to Section 4.3 of the ,Redevelopment Agreement shall not increase the principal amount of this.Note. Principal of and interest on this Note shall be payable solely from Available Tax Increment, as hereinafter defined, on each February 1st and August 1st commencing August 1, 2001, to and including February 1, 2019'(the "Payment Dates"). On each Payment Date the HRA shall apply all Available Tax Increment, as hereinafter defined to the payment of this Note. All such payments shall be applied first to accrued interest and then to the principal amount of this Note. Any accrued interest on this Note not paid on any Payment Date shall be added on such Payment Date to the principal amount of this Note. "Available Tax Increment" is defined as all tax increment derived by the HRA from the District (the "Tax Increment") then on hand with the HRA following the reimbursement to the City and HRA of up to an amount not to exceed 5% of.the Tax Increment in any calendar year for out-of-pocket administrative expenses paid or incurred by the HRA or City in connection with the approval, establishment and administration of Redevelopment Plan for Redevelopment Project No. 3 of the HRA and the Tax Increment Financing Plan for the District or related to the Note. In the event that Available • Tax Increment is not sufficient to pay the.principal of and interest on this Note when due, the failure of the HRA to pay such principal and interest shall not constitute a default hereunder. EXCEPT AS TO THE OBLIGATION TO MAKE PAYMENTS FROM THE AVAILABLE TAX INCREMENT, THE NOTE IS NOT A DEBT OF THE HRA,THE CITY OF ST. ANTHONY, OR THE STATE OF MINNESOTA (THE "STATE"), AND'NEITHER THE HRA, THE CITY OF ST. ANTHONY,THE STATE NOR ANY POLITICAL SUBDIVISION THEREOF SHALL BE LIABLE ON THE NOTE, NOR SHALL THE NOTE BE PAYABLE OUT OF ANY FUNDS OR PROPERTIES OTHER THAN AVAILABLE TAX INCREMENT. This Note shall terminate and the HRA's obligation to make any payments under this Note shall be discharged and the HRA shall have no obligation and incur no liability to make any payments hereunder immediately upon'the occurrence of an Event of Default by the Redeveloper under the. Redevelopment Agreement. The Redeveloper shall never have or be deemed to have the right to compel any exercise of any taxing power of the HRA or the City of St. Anthony or of any other public body, and neither the HRA or the City of St. Anthony nor any director, commissioner, council member, board member, officer, employee or agent of the HRA or the City of St. Anthony, nor any person executing or registering this Note shall be liable personally hereon by reason of the issuance or registration hereof or otherwise. • C-2 75 THE HRA MAKES NO REPRESENTATION OR WARRANTY THAT THE AVAILABLE TAX INCREMENT WILL BE SUFFICIENT TO PAY THE PRINCIPAL OF AND INTEREST ON THIS NOTE. The Note shall not be assignable or transferable without the prior written consent of the HRA; provided, however, that such consent shall not be unreasonably withheld or delayed if: (a) the assignee or transferee delivers to the HRA a written instrument acknowledging the limited nature of the HRA's payment obligations under the Note, and (b) the assignee or transferee executes and delivers to the HRA a certificate, in form and substance satisfactory to the HRA, pursuant to which, among other things, such assignee or transferee represents (i) that the Note is being acquired for investment for such assignee's or transferee's own account, not as a nominee or agent, and not with a view to the resale or distribution of any part thereof, (ii) that the assignee or transferee has no present intention of selling, granting any participation in, or otherwise distributing the same, (iii) that the assignee or transferee is an "accredited investor" within the meaning of Rule 501 of the Regulation D under the Securities Act of 1933, as amended, (iv) that the assignee or transferee, either alone or with such assignee's or transferee's representatives, has knowledge and experience in financial and business matters and is capable of evaluating the merits and risks of the prospective investment in the Note and the assignee or transferee is able.to bear the economic consequences thereof, (v) that in making its decision to acquire the Note, the assignee or transferee has relied upon independent investigations made by the assignee or transferee and, to the extent believed by such assignee or transferee to be appropriate, the assignee's or transferee's representatives, including its own professional, tax and other advisors, and has not relied • upon any representation or warranty from the HRA, or any of its officers, employees, agents, affiliates or representatives, with respect to the value of the Note, (vi) that the HRA has not made any warranty, acknowledgment or covenant, in writing or otherwise, to the assignee or transferee regarding the tax consequences, if any, of the acquisition and investment in the Note, (vii) that the assignee or transferee or its representatives have been given a full opportunity to examine all documents and to ask questions of, and to receive answers from, the HRA and its representatives concerning the terms of the Note and such other information as the assignee or transferee desires in order to evaluate the acquisition of and investment in the Note, and all such questions have been answered to the full satisfaction of the assignee or transferee, (viii) that the assignee or transferee has evaluated the merits and risks of investment in the Note and has determined that the Note is a suitable investment for the assignee or transferee in light of such party's overall financial condition and prospects, (ix) that the Note will be characterized as "restricted securities" under the federal securities laws because the Note is being acquired in a . transaction not involving a public offering and that under such laws and applicable regulations such securities may not be resold without registration under the Securities Act of 1933, as amended, except in certain limited.circumstances, and (x) that no market for this Note exists and no market for the Note is intended to be developed. Notwithstanding the foregoing, Redeveloper may assign and pledge this Note to secure any loan to finance the costs of the Project and may transfer the Note to (i) any entity controlling, • C-3 76 • controlled by or under common control with the Redeveloper or(ii) any entity in which the majority equity interest is owned by the parties that have a majority equity interest in the Redeveloper. This Note is issued pursuant to a resolution of the Board of Commissioners of the HRA and is entitled to the benefits thereof, which Resolution is incorporated herein by reference. IT IS HEREBY CERTIFIED AND RECITED that all acts, conditions, and things required by the Constitution and laws of the State of Minnesota to be done, to have happened, and to be performed precedent to and in the issuance of this Note have been done, have happened, and have been performed in regular and due form, time, and manner as required by law; and that this Note, together with all other indebtedness of the HRA or the City of St. Anthony outstanding on the date hereof and on the date of its actual issuance and delivery, does not cause the indebtedness of the HRA or the City of St. Anthony to exceed any constitutional or statutory limitation thereon. IN WITNESS WHEREOF, the Board of Commissioners of the St. Anthony Housing and Redevelopment Authority has caused this Note to be executed by the manual signatures of the Chair and the Secretary of the HRA, and has caused this Note to be dated as of , 2000. • Secretary Chair • C_4 ®7 • EXHIBIT D BUSINESS SUBSIDY AGREEMENT This Business Subsidy Agreement (this "Agreement") is made as of the day of , 2000, between the Housing and Redevelopment Authority of St. Anthony, Minnesota (the "Grantor") and Hillcrest Development, (the "Recipient"). In order to satisfy the provisions of Minnesota Statutes, Sections 116J.993 through 116J.995 (the "Act"), the Recipient acknowledges and agrees as follows: 1. Description of the Business Subsidy (a) The Project. The Recipient will be undertaking the following project within the Grantor's area of operation: The acquisition and renovation and rehabilitation of Apache Plaza Shopping Center and related site improvements (the "Project"). (b) Type of Business Subsidy. The Business Subsidy consists of the following assistance to the Recipient for the Project: Tax Increment Financing contribution for land acquisition and building demolition and assistance for costs of construction of storm sewer improvements (the "Business Subsidy").. (c) Amount of the Business Subsidy. The amount of the Business Subsidy granted to the Recipient under this Agreement has a value of$5,050,000. This is based upon a$4,750,000 Tax Increment contribution, for Public Redevelopment Costs related to the Project and $300,000 for storm sewer improvements to be constructed as part of the Project. (d) Type of Tax Increment Financing District. The Tax Increment District in which the Project is located is a "redevelopment district" within the meaning of the Tax Increment Financing Act, Minnesota Statutes, Sections 469.174 through 469.179. 2. Public Purpose for the Business Subsidy. The public purpose of this Business Subsidy is to redevelop blighted areas. 3. Why the Business Subsidy is Needed. The Business Subsidy is needed because the Grantor is desirous of Recipient undertaking the Project in order to redevelop blighted property in the Grantor's area of operation and the Project is not economically feasible for the Recipient to undertake without the Business Subsidy. • D-1 78 • 4. Job and Wage Goals for the Business Subsidy. Following a public hearing the Grantor has determined that the creation or retention of jobs is not a goal of providing the Business Subsidy and the wage and job goals for the Business Subsidy are zero. 5. Continued Operations. The Recipient agrees to continue its operations at the'location.of the Project for at least five years after the Benefit Date. As used herein 'Benefit Date" means the date the Business Subsidy is received. The Business Subsidy is for improvements to property, therefore the Benefit Date refers to the earliest date of either: when the improvement is finished for the entire Project; or when the Recipient occupies the property. 6. Financial Obligation of the Recipient if Does Note Fulfill this Agreement. If the Recipient does not fulfill this Agreement, the Recipient will repay all of the Business Subsidy to the Grantor plus interest("Interest") set at the implicit price deflator defined in Minnesota Statutes, Section 275.70, Subdivision 2, accruing from and after the Benefit Date, compounded semiannually. 7. Reporting Requirements. (a) The Recipient agrees to furnish to the Grantor on or before March 1 in each year the report required in Section I 16J.994, Subdivision 7 of the Act on forms developed by the Minnesota Department of Trade and Economic Development. • (b) If the Grantor does not receive the reports, it will mail the Recipient a warning within one week of the required filing date. If within 14 days of the post marked date of the warning the reports are not made, the Recipient agrees to pay to the Grantor a penalty of$100 for each subsequent day until the report is filed up to a maximum of$ 1,000. 8. Parent Corporation. There is no parent corporation for the Recipient. 9. Other Grantors. The following is a list of all financial assistance to be provided by all grantors for the Project: None. 10. Term of Agreement. This Agreement will be in full force and effect until the earlier of the.Recipient meeting all of its obligations hereunder or the provisions of the Act no longer apply to the Grantor, the Recipient or the Project, in which case this Agreement will be terminated. D-2 79 • The Grantor and Recipient have executed this Agreement as of the date written above. Grantor: HOUSING AND REDEVELOPMENT: AUTHORITY OF ST. ANTHONY By Its Chair By Its Secretary Recipient: HILLCREST DEVELOPMENT • By Its D-3