HomeMy WebLinkAboutHRA MINUTES 11091982• CITY OF ST. ANTHONY
HOUSING AND REDEVELOPMENT AUTHORITY
MINUTES
November 9, 1982
The meeting was called to order by Chairman Sundland at 9:00 P.M.
Present for roll call: Sundland; Vice Chairman Letourneau; Secretary/
Treasurer Marks; and Commissioners Enrooth
and Ranallo.
Also present: David Childs, Executive Director; Richard Krier,
Westwood Planning & Engineering Co.; and Judy Makowske,
Planning Commission Representative.
flotion by Commissioner Ranallo and seconded by Commissioner Enrooth
to approve as submitted the minutes for the H.R.A. meeting held
August 24, 1982.
Motion carried unanimously.
The marke_tiLg_progress report and attached marketing schedule from
Mr. Krier were accepted as informational following a short discussion.
The planning consultant gave the names of three major developers
who have indicated a high degree of interest in the Kenzie Terrace
• Redevelopment Project.
His recommendations for setting the reuse value for the project were
followed as per his letter of November 9, 1982.
Motion by Secretary/Treasurer Marks and seconded by Commissioner
Ranallo to establish a reuse valuation for the north property (parcels
240003 and 240004) at $210,000 and for the south property (parcels
240027, 240028, and 240029) at $632,000 and a sale value for multi-
family housing at $3,000 per dwelling unit.
Motion carried unanimously.
The project had received clearance from the Environmental Quality
Board and would not have to submit an Environmental Impact Statemen
later, Mr. Krier said. However, as he advised in his November 9th
letter, any future developer must be concerned with the indirect
source permit issued by the Minnesota Pollution Control Agency
because that agency has indicated they might have some concerns
related to noise effects of Highway 88 on the multi -family housing.
Motion by Secretary/Treasurer [larks and seconded by Commissioner
Enrooth to refer the zoning ordinance amendments proposed for the
redevelopment projects to the Planning Commission for consideration
during a public hearing.
• flotion carried unanimously.
Mr. Childs indicated the RFD's had been sent to solicit proposals from
eight financial consultants, whom he named. Three finalists will be
brought to the H.R.A. for interviews.
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The format for the Redevelopers Agreement is being reviewed by the
Attorney and would be presented with his recommendations for H.R.A.
approval at a later date.
Mr. Krier distributed copies of the letter he proposes to send to
developers the next day to let them know just what would be expected
in the way of submittals from them. With their proposals, the
planning consultant said, the developers would be required to make a
$5,000 deposit which would be refundable, interest free, to the
developers who are not selected for the project. Mr. Krier indicated
he had also stipulated the financial tools the City would be willing
to utilize, such as special assessment, housing revenue bonds,
industrial revenue bonds and parking revenue bonds, which he believes
may be an added incentive for a developer to'undertake the project
which would be risk free for the City.
With the failure of the senior housing project north of I:enzie
Terrace to get 202 funding, it would now be possible for the project
to be developed'in two phases with that area being developed first
to include approximately 100 dwelling units which could be marketed
primarily to seniors and empty nesters. However, Mr. Krier recom-
mended no age limits be set and the rental option left open so no
developer would be precluded from making a proposal.
Mrs. Makowske asked whether developing this area first might not
increase the value of the Saliterman property which would become the
• second phase to be developed in 1985. Mr. Krier confirmed that would
be the case, but said he believes the City would benefit from waiting
to buy that property rather than paying out the money now and letting
the land sit idle. Investing the the northern parcel first would
result in a better cash flow for the property, according to the con-
sultant, who then discussed the cash flow projections and the schedule
he proposes for the project.
When Commissioner Ranallo asked Mr. Krier how he perceived the chances
for the project to succeed, he was told that of all the redevelopment
projects Westwood is handling, this one is the most viable, because
there had been much more interest shown in this project than the
consultant had originally expected. He told Mrs. Makowske he believes
it would be more advantageous to the City to have one developer handle
both phases of the project.
It was the general consensus that the natural market for this type of
housing would most certainly be mostly the empty nesters who would
most likely have the $70,000 purchase price and Mr. Krier speculated
that market would be viable for the rest of his lifetime.
The next report to the H.R.A. would be made within the next few weeks
when it is anticipated a few firm proposals may be submitted.
Motion by Commissioner Ranallo and seconded by Commissioner Enrooth
• to adjourn the Housing and Redevelopment Authority at 9:95 P.M.
fiction carried unanimously.
Respectfully submitted,
Helen Crowe, Secretary