HomeMy WebLinkAboutHRA MINUTES 02281984,y
CITY OF ST. ANTHONY
• HOUSING AND REDEVELOPMENT AUTIiORITY MINUTES
February 28, 1984
The meeting was called to order at 9:31 P.M. by Chairman Sundland.
Present for roll call: Sundland, Vice Chairman Enrooth, Secretary/
Treasurer Marks, and Commissioners Ranallo and
Makowske.
Also present: David Childs, Executive Director; William Soth,
Attorney; Dick Krier of Derrick, H.R.A. Consultant; and
William Bowerman, Planning Commission Representative.
Motion by Secretary/Treasurer Marks and seconded by Vice Chairman
Enrooth to approve as submitted the minutes of the H.R.A. meeting
held January 10, 1984.
Motion carried unanimously.
Motion by Commissioner Ranallo and seconded by Secretary/Treasurer
Marks to approve payment of $1,915.20 to Dorsey & Whitney for legal
services on the Kenzie Terrace Redevelopment Project during November
1983, and $1,251.72 to the Derrick Company for consulting services
from November 16, 1983 to February 15, 1984.
• Motion carried unanimously.
Representing the Kenzie Terrace redevelopers were John W. Arkell,
President of Arkell Development Corporation; Gary Tushie of Saunders-
Thalden, Project Architect; and Suzy Gammel, Kenzington Marketing
Director.
In his letter of February 23rd, Mr. Arkell had requested a 180 day
extension to the redevelopment contract, but he now indicated that,
since the sales of condominiums had doubled to 26 by that evening,
Mr. Krier's recommendation that the extension be for only 90 days
would be._no_problem. The developer indicated that, because sales
had picked up dramatically since the model open house, he was optimistic
his firm would be able to meet the lender's requirement that 50%
of the 128 units have to be sold before construction is started,
which it now appears could happen by June 1st.
Mr. Tushie informed the H.R.A. members that they should be selecting
a non-profit sponsor _for_20.2__funding for the senior housing proposed
for Phase II since the City has at last been given high priority
classification for obtainin_g_those funds in both Hennepin and Ramsey
Counties. Dick Krier reported that Max Saliterman, owner of the
parcel proposed for that development had signed an agreement to sell
the land to the City and all that remains is for the City to make the
zoning changes necessary for the project before the 202 funding
application is made April 30th.
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Mr. Tushie said two non-profit organizations had indicated an interest
in sponsoring the 202 building. Augustana Homes, who had sponsored a
similar building for Phase I, which the Mayor had said had failed to
obtain 202 funding, partially because of Augustana's lack of 202
experience, had indicated they would like to be reconsidered for the
project since they have done 202 work since that time. Walker Homes,
who, the architect said, are constructing a large project on 37th and
Bryant which would provide health and medical care for the elderly,
had also requested to be considered for the senior apartments, and,
Mr. Tushie told the H.R.A. members, both agencies understand that
they would have to pick up the differences in costs to develop the
project with 202 funding and to provide the first class building which
would be expected in St. Anthony.
The Mayor and Councilmen Ranallo and Marks would be in Washington, D.C.
the following week where they would attend the National League of
Cities Conference and meet with H.U.D. officials to lobby for the
project. Mr. Tushie agreed to provide the newest colored renderings
of the Kenzie Terrace Project as well as plans for the proposed
senior buildings drawn to meet the criteria set by H.U.D. for that
meeting.
Mr. Arkell gave Ms. Gammel's background and experience which the
developer perceives made her such an asset for marketing the Kenzie
Terrace Project. She indicated the "300 walk-throughs" reported by
• Mr. Arkell for the open house weekend for the model tiad actually been
"300 buying entities" and that the interest momentum had been retained
ever since. By listening very carefully to the prospective buyers,
the Marketing Director indicated the redevelopers had been able to
convert those buyers' desires into a redesigning of one end of the
building into 12 one bedroom -den units which would provide easier
adjustment and more elbow room than one -bedroom units would for the
first-time condominium buyers who are making a difficult move from
larger, single family homes. Kenzington is quite unique, Ms. Gammel
said, in that there are 22 different unit designs available to the
buyers. She affirmed that with the changes, the total number of units
in the building had been reduced from 134 to 128.
Mr. Tushie indicated Arkell is.close to a trade-in policy which would
allow the developers to at least break even, but would, naturally,
not be implemented until the construction is started on the project.
When H.R.A. members indicated their willingness to help promote sales,
Mr. Arkell told them anything they could do to convince prospective
buyers that selling their homes and moving into a condominium would
be acceptable, would be most helpful. The suggestion that the
Community section of the Star might be utilized for that purpose was
considered a good one and Pis. Gammel indicated the human interest
angle might be developed by using the promotional tapes she had made
which feature local buyers of condominium units reinforcing the
validity of "making the big move".
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Motion by Vice Chairman Enrooth and seconded by Commissioner Ranallo
to authorize staff to enter into negotiations with the Arkand Part-
nership for a 90 day extension of the redevelopers contract with them.
Motion carried unanimously.
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Motion by Secretary/Treasurer Marks and seconded by Commissioner
Makowske to adopt the resolution which authorizes the execution of a
i` purchase agreement with Max Saliterman for the parcel of land.for
J $225,000 which would be used for the 202 senior housing to be devel-
oped under Phase II of the Kenzie Terrace Redevelopment Project.
H.R.A. RESOLUTION 94-001
A RESOLUTION AUTHORIZING THE PURCHASE OF REAL PROPERTY
Motion carried unanimously.
Motion by Secretary/Treasurer Marks and seconded by Commissioner
Ranallo to adjourn the meeting at 10:05 P.M.
Respectfully submitted,
Helen Crowe, Secretary
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