HomeMy WebLinkAboutHRA MINUTES 042919860
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CITY OF ST. ANTHONY
HOUSING AND REDEVELOPMENT
AUTHORITY SPECIAL MEETING MINUTES
April 29, 1986
The meeting was called to order by Chairman Sundland at 8:00 P.M.
Present for roll call: Chair Sundland, Secretary/Treasurer Marks, and Commissioners
Ranallo and Makowske.
Absent: Vice Chair Enrooth.
Also present: David Childs, Executive Director; William Soth, City Attorney;
Greg Gustafson, META Partnership; Steven Yurick and Patrick Brinkman,
Arkand Partnership.
Mr. Soth went through provisions of the proposed 9th Amendment to the Kenzie
Terrace Redevelopment Ag eer ment which would, -as discussed in December of 1985, place
META as the official redeveloper for Phase I of the Kenzie Terrace Project.
1. Arkand will assign their rights and interests in Phase I to META (similar to the
arrangement with Walker Methodist Homes concerning the H.U.D. 202 Project).
2. META to assume obligations relating to Phase I.
3. HRA consents to this transfer.
4. Redevelopment contract amended to show change in ownership, i.e., 9th Amendment.
5. META would make various representations and warranties to the HRA as described
in Paragraph #7.
6. Arkand acknowledges that it is not released from any liability relating to
Phases I, II, and III, as described in Paragraph #4.
7. The required Letter of Credit is not affected by these actions, Paragraph 4B
and C. (Arkand still required to maintain the Letter of Credit.)
8. The HRA can draw on the Letter of Credit in the case of default by either Arkand
or META.
9. Title is conveyed subject to this amendment.
Mr. Soth also stated that the condo documents have been reviewed and are in order.
The documents require that the occupants be 55 or over (spouse of one occupant could
be younger). No change in this requirement is allowed without prior approval of
the HRA. This provision will be placed in either the condo documents or the deed
restrictions, as determined by the City Attorney. Mr. Soth also reported for HRA
members' information that the condo documents do allow rental of units. Due to the
high unit costs, the only probable situations where rentals would be economically
feasible would be:
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1. where children own the unit and rent to their parents for the tax advantages;
2. where an owner dies and the unit is rented (to a senior only) during the interim
when the unit is awaiting resale;
3. where the developer may wish to rent unsold units prior to sale. The developers
felt that renting units for this purpose would make them "used" units and
would not be cost effective, but they at least would have that ability if
presented with severe financial circumstances requiring such actions.
This information was presented for HRA update so that they would be fully aware of
the more detailed mechanics relating to the project.
Motion by Secretary/Treasurer Marks and seconded by Commissioner Makowske to
approve the 9th Amendment to the Redevelopment Agreement requiring changes to item 9
relating to the Timetable, establishing the dates for Phases II and III at
December 31, 1986 by which time the redeveloper must request in writing that the
HRA initiate acquisition of the land for Phases II and III. Representatives of
Arkand were present and concurred with this timing.
Motion carried unanimously.
Motion by Commissioner Makowske and seconded by Secretary/Treasurer Marks to approve
the Kenzington Condominium Documents as recommended by the City Attorney.
Motion carried unanimously.
• The meeting adjourned at 8:50 P.M.
Respectfully submitted,
David Childs