HomeMy WebLinkAboutHRA MINUTES 08091985 (2)• CITY OF ST. ANTHONY
HOUSING AND REDEVELOPMENT AUTHORITY MINUTES
August 9, 1985
The meeting was called to order at 5:15 P.M. by Chair Sundland.
Present: Sundland, Vice Chair Enrooth, Secretary/Treasurer Marks, and Commissioners
Makowske and Ranallo.
Also present: David Childs, Executive Director; and William Soth, H.R.A. Attorney.
Mr. Soth provided a detailed explanation of the Seventh Amendment to the -Re-
development Contract relating to the Kenzie Terrace Redevelopment Project..
The amendment contains the following provisions:
1. Extends the deadline for completion of minimum improvements for Phase I of
the Kenzie Terrace Redevelopment Project from June 6, 1986 to August 1, 1986
or a 55 day extension.
2. Incorporates language relating to minimum improvements which were approved in
1984 by the H.R.A. but which were not incorporated in agreement as an amendment.
3. Provides for no reversion of Phase I for a default on Phases II and III.
• Motion by Secretary/Treasurer Marks and seconded by Commissioner Makowske to approve
H.R.A. Resolution 1985-003.
H.R.A. RESOLUTION 1985-003
A RESOLUTION AUTHORIZING THE SEVENTH AMENDMENT
TO THE REDEVELOPMENT CONTRACT
Motion carried unanimously.
The Consent Agreement between META and Arkand will approve the following:
1. Makes META Arkand's project manager for Phase I.
2. META agrees to provide credit enhancement in securing construction financing
for Phase I.
3. Gives META the option to acquire fee title to Phase I upon the earlier of:
a. Approval by H.R.A. of substitution of META as redeveloper, or
b. Issuance of certificate of completion for Phase I.
4. Gives META the right to purchase Arkand's development authority for Phases II
and III, subject to H.R.A. approval and at META's option.
• Motion by Secretary/Treasurer Marks and seconded by Vice Chairman Enrooth to approve
H.R.A. Resolution 1985-004.
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H.R.A. RESOLUTION 1985-004
A RESOLUTION APPROVING THE CONSENT AGREEMENT RELATING
TO AGREEMENTS BETWEEN ARKAND AND META PARTNERSHIP
Motion carried unanimously.
The loan commitment, promissory note, mortgage, security agreement and guaranty
were summarized as follows:
1. Loan Commitment - makes Arkand the borrower of $8,300,000, Meta Partnership
the guarantors, and Home Savings Association of Kansas City the lender.
2. Promissory Note - by Arkand Partnership to Home Savings Association of Kansas
City for a $8,300,000 construction loan.
3. Mortgage - relating to Phase I of Kenzington Project from Arkand Partnership
to Home Savings Association of Kansas City securing the indebtedness under the
note.
4. Security Agreement - from Arkand Partnership to Home Savings Association of
Kansas City securing the note and covering personal property and fixtures in
Phase I.
5. Guaranty - by META Partnership individual partners and spouses of the loan to
Arkand Partnership.
• Motion by Commissioner Ranallo and seconded by Secretary/Treasurer Marks to approve
H.R.A. Resolution 1985-005.
H.R.A. RESOLUTION 1985-005
A RESOLUTION APPROVING THE LOAN COMMITMENT, PROMISSORY NOTE,
MORTGAGE, SECURITY AGREEMENT, AND GUARANTY BETWEEN ARKAND
PARTNERSHIP, META PARTNERSHIP AND HOME SAVINGS ASSOCIATION OF
KANSAS CITY RELATING TbTHE KENZIE TERRACE REDEVELOPMENT PROJECT
Motion carried unanimously.
The Agreement and Consent between the H.R.A. and Home Savings Association of
Kansas City and Arkand contains the following provisions:
1. Approves the Home Savings Association of Kansas City note and mortgage as required
under the Redevelopment Contract.
2. Agreement by the H.R.A. not to take any action against Home Savings Association
of Kansas City or the project in the event of a default under the contract
until Home Savings Association of Kansas City or another redeveloper takes title
and commences construction on the project, and also, the H.R.A. agrees that it
cannot delay a foreclosure by Home Savings Association of Kansas City.
3. The Agency's reversionary rights to recover Phase I are subordinate to mortgage
as presently provided in the redevelopment contract.
• 4. If Home Savings of Kansas City acquires possession or title to Phase I, the
H.R.A. will have no right of reverter, but if Home Savings Association of
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Kansas City or another redeveloper takes over Phase I, they will be subject to
• the redevelopment project (.restates present provisions of redevelopment contract).
5. H.R.A. agrees it will take no action against META or Home Savings Association
of Kansas City for default by Arkand unless they have taken over construction
of the project as the redeveloper.
Motion by Vice Chairman Enrooth seconded by Commissioner Makowske to approve H.R.A.
Resolution 1985-006.
H.R.A. RESOLUTION 1985-006'
A RESOLUTION APPROVING THE AGREEMENT AND CONSENT
BETWEEN THE HOUSING AND REDEVELOPMENT AUTHORITY OF ST. ANTHONY,
MINNESOTA, THE HOME SAVINGS ASSOCIATION OF KANSAS CITY AND
ARKAND PARTNERSHIP
Motion carried unanimously.
After a discussion, a motion was made by Secretary/Treasurer Marks and seconded
by Vice Chairman.Enrooth to authorize preparation of a Tax Increment Plan for the
Chandler Place Project located at the corner of 37th Avenue N.E. and Chandler
Drive and to set a public hearing on the plan and establishment of a tax increment
district, for 8:30 P.M., Tuesday, September 10, 1985 in the Council Chambers.
Motion carried unanimously.
• The meeting was adjourned at 6:10 P.M.
David M. Childs
Executive Director
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