HomeMy WebLinkAbout2005.07.18 EDA Packet AGENDA
CITY OF HUGO ECONOMIC DEVELOPMENT AUTHORIZTY
MONDAY, JULY 18, 2005 - 8:30 AM
HUGO CITY HALL
8:30 am 1. Call to Order
8:31 am 2. Roll Call
8:32 am 3. Approval of Minutes
• EDA Meeting of June 20, 2005
8:35 am 4. Presentation from Ryland Group Inc. on Downtown
Redevelopment Proposal
9:15 am 5. Presentation from Scott Montgomery on "End
Zone Site" Redevelopment Plan
9:40 am 6. July 11, 2005 RFP Subcommittee Report
10:20 am 7. Update of July 12, 2005 Meeting of the TIF
Subcommittee
• Egg Lake Redevelopment Plan
10:30 am 8. Adjournment
BACKGROUND MEMO FOR EDA MEETING OF
JULY 18, 2005
3. JUNE 20, 2005 EDA MEETING MINUTES
City staff recommends the board approve the minutes for the June 20, 2005 meeting as
presented.
4. PRESENTATION FROM RYLAND GROUP INC. ON THE DOWNTOWN
REDEVELOPMENT PLAN
The Ryland Group Inc. is interested in working with the city to redevelop the Hugo downtown
area. The Ryland Group would like to redevelop the downtown into a pedestrian friendly town
center with would include a mix of office space, retail and residential uses. Ryland intends to
adhere to the city's recently completed downtown plan and the proposed design guidelines for
the district. Chris Enger of Ryland Homes will give a presentation to the EDA on their
development proposal. City staff seeks direction from the EDA about whether to proceed with
Ryland Group as the master developer for the downtown for downtown Hugo.
5. PRESENTATION FROM SCOTT MONTGOMERY ON THE END ZONE
PROPERTY REDEVELOPMENT PLAN
Scott Montgomery of Kelmont would like to redevelop a series of parcels fronting the east side
of Hwy 61 south of 140`h St N into a mix of office space and residential uses. The proposed
location currently contains single family homes on large lots and the former End Zone Bar and
motel property which has been abandoned and left in a state of disrepair. He already owns
some of the parcels at the location and is in negotiation to obtain the remaining parcels
including the "End Zone"property. Scott Montgomery will give a presentation to the EDA on
their redevelopment plan for the site.
6. UPDATE ON JULY 12,2005 MEETING OF THE TIF SUBCOMMITTEE
At its last meeting the EDA directed the TIF subcommittee, consisting of Mike Granger, Nick
Skarich, and Theresa Carpentier, to establish preliminary Tax Increment Financing (TIF)
boundaries for the downtown redevelopment district and create a plan for the establishment of
the district. City staff, Mikaela Huot of Springsted, and the subcommittee met on July 12,
2005. Theresa Carpentier was unable to attend. The subcommittee identified the parcels that
should be included in the TIF district. The subcommittee also discussed the subsequent
procedure for conducting blight examination and substandard tests to determine if the district
would qualify under state law for the establishment of a TIF district. City Staff and
subcommittee members will provide a summary of the meeting to the EDA on the proposed
boundaries and discuss the next steps.
7. JULY 11,2005 RFP SUBCOMMITEE REPORT
With direction from the EDA and city council, staff previously sent out a request for proposal
(RFP) for the development of the city owned property at the northeast corner of Fenway Blvd
and Fenway Blvd Circle in the Bald Eagle Industrial Park (BEIP). City staff has also been in
contact with three businesses that have expressed interest in the recently reacquired "Rink-
Tec"property on Fenway Blvd. Circle in the BEIP. At its last meeting on July 11, 2005, the
RFP subcommittee met with the four businesses that submitted RFP's for both properties in the
Bald Eagle Industrial Park. Subcommittee member Theresa Charpentier was absent but she
did review the proposals and submit comments for review by the subcommittee prior to the
meeting. The subcommittee listened and reviewed four proposals for the development of the
two sites and city staff reviewed an additional proposal from another business interested in the
Rink-Tec site earlier in the day. The five proposals were put together very well and each
business could benefit the city by locating in the BEIP. City staff will provide a summary of
the RFP meeting and the recommendations of the RFP sub-committee. Staff requests direction
from the EDA in the form of a motion to the city council as to which businesses to enter into
purchase agreements with for the city owned properties.
MINUTES FOR THE EDA MEETING OF JUNE 20, 2005
The meeting was called to order by Mayor Fran Miron at 8:30 am.
Present: Miron,Arcand, Bever, Klein, Skarich
Absent: Charpentier, Granger
City Administrator, Mike Ericson
Community Development Director, Bryan Bear
2. EDA MEETING OF MAY 16,2005
City staff recommends the Board approve the minutes for the May 16, 2005
meeting as presented.
Klein made motion, Bever seconded to approve the minutes for the May 16, 2005
meeting as presented.
All aye. Motion carried
3. DISCUSSION OF RFP'S FOR LOT 1,BLOCK 1,BEIP 5TH ADDITION
With direction from the EDA and City Council, staff prepared an RFP and sent it
to over 50 developers,posted it on the City's website,the League of Minnesota
Cities website, and listed it on the Minnesota Commercial Realtors Property
Database. The staff has received numerous promising phone calls in response to
the RFP,however,by the May 27, 2005 deadline, staff had only received two
formal responses. The BEEP subcommittee (Granger, Skarich, Klein) has not
reviewed the information so far. Staff presented four proposals to the EDA, and
the subcommittee was directed to review the proposals and return to the EDA
with a recommendation July 18, 2005.
Miron made motion, Klein seconded directing the subcommittee to bring back a
recommendation.
All aye. Motion carried.
4. DISCUSSION OF RINK-TEC PROPERTY
The so-called "Rink-Tec"property is Lot 3,Block 1, of the Bald Eagle Industrial
consisting of approximately one acre of land. A company known as "Rink-Tec"
bought the property from the City,however the contract required that that
building be under construction by May 30, 2004. At the request of Rink-Tec, the
City Council extended the construction date for one year, which has now expired
as of May 30, 2005. At the June 6, 2005 City Council meeting, the Council
directed the staff to buy the property back from Rink-Tec, a process which is
currently under way. The staff has been in contact with two businesses who have
expressed interest in the property. Staff presented information related to the two
businesses to the EDA. The EDA directed to BEIP subcommittee review the
Rink-Tec requests along with the requests for Lot 1, Block 1, to find the best
tenant mix for the two properties. The subcommittee will report back on July 18,
2005.
5. DISCUSSION OF EGG LAKE REDEVELOPMENT PLAN
The City staff provided the EDA with an update of progress toward the purchase
of the Powell Residence and the old antique store. In addition,the staff has been
working with three companies who are interested in constructing senior housing
as a part of the Egg Lake Plan. The staff presented this information to the EDA.
6. DISCUSSION OF DOWNTOWN REDEVELOPMENT
The staff has had recent discussions with key property owners in the downtown
area and is ready to proceed with direction from the EDA to initiate a TIF District
for areas near the downtown. The staff will update the EDA with the latest
information related to the Downtown Design Guidelines. The staff also is
prepared to initiate a Market Study for the downtown. The staff presented
redevelopment ideas to the EDA from a major development company.
Klein made motion, Skarich seconded to invite the developer to make a
presentation at the July 18, 2005 meeting.
Miron made motion, Klein seconded to direct staff to invite Marvin LaValle and
Pete Sampair to the meeting.
All aye. Motion carried.
7. UPDATE ON EAST METRO ECONOMIC DEVELOPMENT FORUM
On June 16, 2005, City Administrator Mike Ericson, CD Director Bryan Bear
EDA members, Klein, Miron, Bever and Arcand as well as Council members and
HBA members attended the forum at the Machine Shed Restaurant in Lake Elmo.
Staff and EDA members shared information from the meeting.
8. ADJOURNMENT
Arcand made motion, Skarich seconded to adjourn the meeting at 10:30
All aye. Motion carried.
CITY OF HUGO
COMMUNICATIONS LIST
JUNE 2005
Economic Development Authority
Name Term Expires Fax Number Home Phone
Address E-Mail Address Office Phone
Fran Miron, President
15250 Homestead Ave. 12-31-2006 (651)429-5961
Hugo, MN 55038
Michael E. Granger (651)426-8171(home)
12715 Ethan Ave. N 12-31-2008 (651)653-4631 (651)653-4648(work)
White Bear Lake, MN 55110 megranger(d.)usinternet.com (612)805-5751 (cell)
Jan Arcand, Treasurer
1850 Cedar Avenue, 12-31-2006 (651)653-6402 (651)429-2930
White Bear Lake, MN 55110
Jim Bever (651)426-2240(home)
7131 132"d St. N 12-31-2008 (651)426-5809 (651)307-3578(cell)
White Bear Lake, MN 55110
Theresa Charpentier (651)426-6725(home)
5925 Freeland Court North 12-31-2007 Theresa.Charpentier(a)toro.com (952)887-8814(office)
Hugo, MN 55038 (651)245-1193(cell)
Phil Klein, Vice President
6760165 th St. 12-31-2009 Phillip.kleinCcDnorthstarfinancial.com (651)653-7152
Hugo, MN 55038
Nick Skarich (612)851-4920
6265 Egg Lake Rd. N 12-31-2010 nskarich(cDnorthlandsecuhties.com (651)429-3463
Hugo, MN 55038
CITY STAFF: Community Development Director Bryan Bear— Executive Director
City Administrator Mike Ericson — Secretary
Finance Director Ron Otkin — Assistant Treasurer
:\Communication List\EDA Communication List.doc
f
MINUTES FOR THE HUGO CITY COUNCIL MEETING JULY 18, 2005
Mayor Fran Miron called the meeting to order at 7:15 pm.
PRESENT: Granger, Haas, Petryk, Puleo, Miron
City Administrator Mike Ericson; CD Director Bryan Bear; City Attorney Dave Snyder; City Engineer
Jay Kennedy; PW Director Chris Petree; and City Clerk Mary Ann Creager
MINUTES FOR CITY COUNCIL MEETING OF JUNE 28, 2005
Miron made motion, Granger seconded, to approve the minutes for the City Council meeting of June 28,
2005 with the open house for the youth center as amended with attendance by Council member Puleo.
All aye. Motion Carried.
MINUTES FOR CITY COUNCIL MEETING OF JULY 5, 2005
Haas made motion, Granger seconded, to approve the minutes for the City Council meeting of July 5,
2005 as presented.
All aye. Motion Carried.
MINUTES FOR THE EXECUTIVE SESSION OF JULY 5 2005
Petryk made motion, Haas seconded, to approve the minutes for the executive session of July 5, 2005 as
presented.
All aye. Motion Carried.
APPROVAL OF AGENDA
Remove I.1 from discussion—Report on Community Food Shelf
Remove I.2 from discussion—Distribution of City Newsletter
Add L.I —Resident Request for Truck Traffic Signs on CSAH8
Miron made motion, Petryk seconded, to approve the agenda for July 19, 2005 as amended.
All aye. Motion Carried.
CONSENT AGENDA
Haas made motion, Petryk seconded, to approve the following Consent Agenda:
Approval of Claims
Approve Purchase of Right-of-Way and Ponding Easements for Oneka Parkway(J.R.Johnson)
Approve Resolution to MNDOT for Speed Study on 132nd Street
Approve Application for On-Sale Liquor License for Wilson Tool Picnic(Hugo Lions)
Approve Annual Performance Review for Public Works Director Chris Petree
City Council meeting of July 18, 2005
Page 2
Approve LGU Permit for the CSAH 8/14 Reconstruction Project
Approve LGU Permit for Oneka Parkway Project
Approve Hiring of David Greeder as the Public Works Mechanic
Approve Screening Plan for Schwieters Properties
All aye. Motion Carried.
APPROVAL OF CLAIMS
Adoption of the Consent Agenda approved the claims roster for July 18, 2005 as presented.
APPROVE PURCHASE OF RIGHT-OF-WAY AND PONDING EASEMENTS FOR ONEKA
PARKWAY P.R.JOHNSON)
At its July 5, 2005 meeting, City staff informed Council that they had successfully negotiated the
purchase of ponding and right-of-way easements for Oneka Parkway with property owner J.R. Johnson.
Council directed staff to bring back a final draft of the settlement for approval by Council at the next
regularly scheduled meeting. Washington County Right-of-Way Agent Sharon Price and City Attorney
Dave Snyder drafted the letter of agreement with Mr. Johnson,which lays out the terms and conditions
by which the City will purchase the necessary property for Oneka Parkway. Adoption of the Consent
Agenda approved the purchase of right-of-way and ponding easements from Mr. J.R. Johnson in the
amount of$896,193.00.
APPROVE RESOLUTION TO MNDOT FOR SPEED STUDY ON 132 ID STREET
In June 2005, Council accepted the citizens' request for a speed study on 132"d Street. As part of the
official request to MNDOT, the City is required to adopt the resolution thereby officially making the
request on behalf of the City. City Engineer Jay Kennedy prepared a resolution to MNDOT for an
official request on behalf of the City of Hugo for a speed study on 132nd Street. Adoption of the Consent
Agenda adopted Resolution 2005-39 thereby requesting a speed study on 132nd Street.
APPROVE APPLICATION FOR ON-SALE LIQUOR LICENSE FOR THE WILSON TOOL
PICNIC (HUGO LIONS)
Wilson Tool submitted an application to the City for an on-sale liquor license for the distribution of 3.2
beer at its annual picnic. The Hugo Lions have officially solicited the liquor license under their annual
liquor license issued by the City. City staff reviewed the application, along with necessary liquor liability
insurance. Adoption of the Consent Agenda approved the on-sale liquor license for Wilson Tool, with
distribution by the Hugo Lions, at the Wilson Tool Annual Picnic.
APPROVE ANNUAL PERFORMANCE REVIEW FOR PUBLIC WORKS DIRECTOR CHRIS
PETREE
Chris Petree was hired by the City of Hugo on July 19, 1999. Over the past six years, Chris has worked
hard and diligently in his role as the City's first ever Public Works Director. His diligence and project
City Council meeting of July 18, 2005
Page 3
management skills culminated in the completion of the city's new 19,200 square foot public works
facility in January 2005. With the grand opening scheduled for August 4, 2005, the City is very proud of
the dedication and leadership exhibited by Chris for the past six years. To organize, equip, and construct
a brand new public works department in a time-span of three years has been an incredible
accomplishment. Chris' hard work, attentive eye to detail, and thoroughness in completion of all duties
makes him an excellent public works director. Adoption of the Consent Agenda approved the annual
performance review for Public Works Director Chris Petree.
APPROVE LGU PERMIT FOR THE CSAH 8/14 RECONSTRUCTION PROJECT
A Wetland Replacement Plan was submitted by Washington County on May 9, 2005, as required by the
Wetland Conservation Act(WCA). The City is the Local Government Unit (LGU) for the WCA and
thus makes determinations on wetland applications. The application includes wetland mitigation plan
for the off-site replacement of the 2.42 acres of wetland impact associated with the CSAH 8/14
reconstruction project. Adoption of the Consent Agenda approved the above-mentioned wetland
mitigation plan application, as described within.
APPROVE LGU PERMIT FOR ONEKA PARKWAY PROJECT
Staff recommended that Council approve the Wetland Mitigation and Water Resource Management
LGU permit for the Oneka Parkway project, as defined in Council packet. The application includes
wetland mitigation plan for 0.8 acres of impact associated with the proposed Oneka Parkway project and
compliance with City storm water management, construction site erosion control, and floodplain
mitigation requirements. Adoption of the Consent Agenda approved the Wetland Mitigation and Water
Resource Management LGU permit for the Oneka Parkway project.
APPROVE HIRING OF DAVID GREEDER AS THE PUBLIC WORKS MECHANIC
On April 8, 2005, Council authorized staff to advertise for the hiring of a mechanic in the public works
department. After receiving twenty-seven applications for the position, City staff interviewed ten of the
applicants, of which four were selected for second interviews. The interview team included Public
Works Director Chris Petree, Public Works Lead Worker Tom Smith, and City Administrator Mike
Ericson. Staff is pleased to recommend the selection of David Greeder, a Hugo resident, to fill the
position. Adoption of the Consent Agenda appointed David Greeder as the City's new Public Works
Mechanic at a starting rate of$18.26 per hour, with the standard pre-employment physical and six month
probationary period.
APPROVE SCREENING PLAN FOR SCHWIETERS PROPERTIES
On May 16, 2005, Council approved a site plan for Schwieters Properties for a 45,000 square foot
building and related site improvements on property located in the Bald Eagle Industrial Park. The
applicant was required to present a plan detailing screening of all exterior storage areas. The Planning
Commission reviewed the screening plan at its meeting on June 23, 2005, and unanimously
recommended approval of the plan. Adoption of the Consent Agenda approved the screening plan for
Schwieters Properties located in the Bald Eagle Industrial Park.
City Council meeting of July 18, 2005
Page 4
REVIEW DESIGN PROPOSALS FOR I-35E AND CSAH 14 INTERCHANGE
Assistant Anoka County Engineer Lyndon Robjent was in attendance at the Council meeting to provide
Council with a PowerPoint presentation of suggested I-35E/CSAH 14 interchange designs to reflect an
engineering analysis of traffic patterns both north, south, east and west. The changes are needed because
traffic volume is expected to triple within 30 years. Council felt it important to make a financial
commitment up front to indicate Hugo's sincere intent to insure improvements are done expeditiously.
Finance Director Ron Otkin will look at the long-range funding options available to the City. Council
will be discussing this issue at the I-35E/14 W/E Coalition meeting to be held on July 21, 2005.
REQUEST TO MNDOT FOR RESTRIPING OF TH61/13011H STREET INTERSECTION
At its July 5h, 2005 meeting, Council discussed the response letter from MNDOT regarding the City's
original request to review the lighting and by-pass lane on Trunk Highway 61 at the intersection of 1300'
Street. City Engineer Jay Kennedy was directed to consult with MNDOT officials whether or not the
conversion of the by-pass lane to a right-turn-only lane was the best solution for vehicular traffic on
TH61. City Engineer Jay Kennedy provided Council with an update stating that MNDOT will be
creating a right-turn lane for northbound traffic on TH61 at 13001 Street. Council again discussed
applying for a traffic signal at the intersection, but did not feel that the TH61/13001 Street would meet
MnDOT's warrants for signalization.
Miron made motion, Petryk seconded, to table the application for a Cooperative Agreement to install a
traffic signal at TH61 and 13001 Street.
All aye. Motion Carried.
UPDATE ON BUSINESS RFP'S FOR BALD EAGLE INDUSTRIAL PARK
On Monday, July 11,2005, a Request For Proposal Committee, consisting of Community Development
Director Bryan Bear, EDA Commissioner Nick Skarich, City Council Member Mike Granger,
Community Development Intern Andrew Gitzloff, and City Administrator Mike Ericson interviewed
four business proposals who wish to relocate their businesses in the BEIP on both the 3.3 acre parcel of
land and the former Rink-Tec property in the BEIP 50 Addition. City staff provided Council with the
recommendations from the EDA, who met on July 18, 2005 and recommended the selection of two
excellent family-owned and quality businesses seeking relocation to the City, R.A. Pearson and
Associates and Oneka Pet Resort.
Miron made motion, Petryk seconded, directing staff to enter into Purchase Agreements with R.A.
Pearson and Associates and Oneka Pet Resort for property in the BEIP and to present to Council for
approval. Staff is directed to continue discussion with the two interviewed businesses, as well as the
late-arrived RFP in an effort to find them property in the City to relocate their businesses.
All aye. Motion Carried.
r
City Council meeting of July 18, 2005
Page 5
UPDATE ON WATER LEVEL OF RICE LAKE (JULY 8,2005 DNR MEETING)
On Friday, July 8, 2005, Mayor Fran Miron and City Administrator Mike Ericson attended a meeting at
the MnDNR's office, along with RCWD officials. Mayor Fran Miron provided Council with an update
on the discussions regarding the water levels of Rice Lake and stated that another meeting will be held at
some future time with DNR Commissioner Brad Moore.
Haas made motion, Puleo seconded, directing City staff, City Attorney Dave Snyder, and Council
members Frank Puleo and Mike Granger to attend the future meeting.
All aye. Motion Carried.
AUTHORIZATION TO RECEIVE BIDS FOR DEMOLITION OF WATER TOWER
In the summer 2004, Council agreed to delay receipt of bids for the demolition of water tower#1 until
the Public Works Department had completed its move out of the old City Hall and the Washington
County Sheriff's Department had an opportunity to relocate its communication equipment. Public
Works Director Chris Petree stated that the tower has not been in service for three years and is in need of
maintenance, inside and out. Council member Granger stated that the City should get some firm
numbers as to future costs to the City should the tower remain standing, as well as getting a
recommendation from the Historical Commission.
Miron made motion, Granger seconded, to table this matter to allow the Historical Commission to make
a recommendation for Council consideration. City staff is directed to obtain a quote to paint and
preserve the tower, as well as itemize ongoing costs, including insurance.
All aye. Motion Carried.
AUTHORIZATION TO RECEIVE BIDS FOR DEMOLITION OF OLD CITY HALL
Since January 2005, the City's old city hall has been vacant and is currently used as a storage space for
the City's building inspection trucks and a satellite office for engineering inspection crews from WSB
Engineers. As Council is aware, the west side of the roof is in very poor condition and has resulted in
extensive water damage and mold and mildew inside the building.
Granger made motion, Puleo seconded, directing staff to receive bids for the demolition of the old city
hall building.
All aye. Motion Carried.
CONDITIONAL USE PERMIT AND VARIANCE REQUESTS FOR CINGULAR WIRELESS
TELECOMMUNICATIONS TOWER(15380 KEYSTONE AVENUE NORTH -BRANDT
PROPERTY)
Cingular Wireless is proposing the construction of a 190-foot high communications tower located near
City Council meeting of July 18, 2005
Page 6
the intersection of 152nd Street and Keystone Avenue. Communication towers are allowed in the
Agricultural District with the approval of a Conditional Use Permit. The proposed tower does not meet
the required setbacks from a residential structure and from a property line; therefore, two variances are
requested. Based on information provided by the applicant, City staff is of the opinion that the
application does not comply with the City's Antenna Ordinance. In addition, the criteria that must be
satisfied in order to grant variances have not been met. Staff recommended denial of the application to
the Planning Commission on July 14, 2005. CD Director Bryan Bear provided a background of the
application, which was submitted in March 2005. The applicant has requested a 30-day extension to
allow them additional time to provide requested information, and that extension was recommended for
approval by the Planning Commission. The Council had before them for consideration a resolution
approving findings of fact denying a variance for a property line setback; the application would have two
parts remaining: 1)variance for setback from a residence; and 2) approval of a CUP allowing
installation of the tower. City Attorney Dave Snyder stated that if Council granted the 30-day extension,
the application would need to be addressed at its meeting of August 1, 2005, as the following regular
meeting(8/15/05)would be outside of the 30-day extension timeframe.
Miron made motion, Haas seconded,to adopt RESOLUTION 2005-40 APPROVING FINDINGS OF
FACT DENYING A VARIANCE FOR CINGULAR WIRELESS FOR A PROPERTY LINE
SETBACK FOR A 190-FOOT TOWER AT 15380 KEYSTONE AVENUE.
VOTING AYE: Granger, Haas, Petryk, Puleo, Miron
Motion Carred.
Miron made motion, Granger seconded, to approve the 30-day extension requested by Debra Weis,
representing Cingular Wireless, extension commencing July 14,2005, and schedule a public hearing for
August 1, 2005 to consider the balance of the application. Property owners within 1,000 ft of 15380
Keystone Avenue will be notified of the public hearing.
All aye. Motion Carried.
TRUCK TRAFFIC ON CSAH 8
City Administrator Mike Ericson received a verbal communication from a resident regarding the traffic
hazard being created by trucks on CSAH 8, as a result of construction activity. Council discussed
possible traffic signs that could be installed to prevent a safety problem.
Miron made motion, Granger seconded, directing staff to contact Washington County and develop traffic
control measures/signage on CSAH 8.
All aye. Motion Carried.
ADJOURNMENT
Puleo made motion, Granger seconded, to adjourn at 9:55 pm.
All aye. Motion Carried.
j RYLAND
-- - --- -A R 2 i 2005
April 22, 2005
Mr. Mike Ericson
City Administrator
City of Hugo
14669 Fitzgerald Ave. N.
Hugo, MN 55038
Re: Redevelopment references and examples of Letters of Intent designating Master
Redeveloper
Dear Mike:
Thank you for a very productive meeting Thursday morning. As I agreed at the meeting,
I have contacted both Kirk McDonald of New Hope and Bob Schreier of Brooklyn Park.
In addition to many other Cities where we do redevelopment and new development, we
are currently underway with redevelopment in both New Hope and Brooklyn Park. In
New Hope, we are finishing up Winnetka Green and are in the RFQ process for another
development next to the City's golf course.
Both Kirk(763) 493-8060_and Bob (763) 531-5100 said they would be very happy to talk
with you about their partnership in redevelopment with Ryland.
I am enclosing copies of term sheets and Letters of Intent from both communities. I
would be glad to draft a Letter of Intent for Hugo to get things going, if you wish.
We are working on a new community based concept plan for Hugo, incorporating the
ideas we discussed that we should have complete within a week or so.
lea call if you have any questions in the meantime. We will be in touch with you.
S rely, Nw""'�`"°°`:.
W100v
is Enger
Land Resourc anager
Ryland Homes
Twin Cities Division
October 25, 2004
Mr. Chris Enger
Ryland Homes Twin Cities Division
7600 Executive Drive
Eden Prairie, MN 55344
Subject: Ryland's Preferred Developer Status
Dear Mr. Enger:
In light of the New Hope Economic Development Authority's(EDA) decision not to go forward with
Winnetka Green Phase 3, I want to inform you the New Hope EDA is still intending to work with
Ryland Homes as a preferred housing developer for the Phase One City Center Development at the
southeast corner of 42nd and Winnetka avenues for a one-year period per the Phase 3 Term Sheet.
Ryland's performance on the development of Winnetka Green has exceeded all expectations. We also
understand Ryland expended considerable time, resources, and funds in anticipation of the EDA's
approval of the Phase 3 development. The concerns expressed by the adjacent neighborhood to the Phase
3 development regrettably caused the EDA to forego the Phase 3 development. Its decision was
unrelated to Ryland's performance on Winnetka Green Phases 1 and 2.
The city has not changed its support for Ryland as a preferred housing developer for a portion of the
Phase One City Center Development as stated in the Phase 3 Term Sheet. If the redevelopment of City
Center is retained by the New Hope EDA as a viable project in 2005, 1 will recommend to the EDA that it
formally approve Ryland as a preferred housing developer for the Phase One City Center Development
for a one-year period per the Winnetka Green Phase 3 Term Sheet.
Rest assured, the New Hope EDA values its relationship with Ryland Homes. Thank you for Ryland's
investment in the future of New Hope. We look forward to continuing our relationship with you and
Ryland Homes.
Sincerely,
Daniel J. Donahue
City Manager/Executive Director
City of New Hope and New Hope EDA
CITY OF NEW HOPE
4401 Xylon Avenue North•New Hope,Minnesota 55428-4898•www. ci.new-hope.mn.us
City Hall:763-531-5100•Police(non-emergency):763-531-5170•Public Works: 763-592-6777•TDD: 763-531-5109
City Hall Fax: 763-531-5136•Police Fax: 763-531-5174 •Public Works Fax: 763-592-6776
KRASS MONROE , P . A .
ATTORNEYS AT LAW
Gay Greiter,Esq. James R Casserly,Esq.
Email:ggreiter@k,assmonroe.com Emailjcasserly@.krassmonroe.com
Direct(952)885-4393 Direct(952)885-1296
MEMORANDUM
To: City of New Hope
Attn: Kirk McDonald, Community Development Director
From: Gay Greiter, Esq.
James R. Casserly, Esq.
Date: January 16, 2004
Re: E. Winnetka—Summary of Redevelopment Agreement with Ryland
Our File No. 10048-18
At your request, we have prepared the following summary of the principal terms of the
Authority's proposed redevelopment agreement with Ryland for the Council's review at its work
session on January 20, 2004. Gay will plan to attend the work session and will be available for
questions.
• Timing of land sales to Ryland
Three separate conveyances of land are planned, all slated to occur within calendar year 2004.
The first (the "Model Phase") will occur by April 15 and will be of two tracts of land along
Winnetka already owned by the City so that Ryland can build models of each of the two
planned housing types,the Heritage Condominiums and the Carriage Townhomes. These two
tracts will probably consist of 5518 to 5532 (3 parcels) and 5406 to 5422 (6 parcels).
This will be followed by phased conveyances of the rest of the site, "Phase I" and"Phase II".
Phase I will be delivered to Ryland between June I and July 1 and will consist of either the
rest of the property along Winnetka or the property along Bass Lake Road, depending on
which area the EDA is able to fully acquire first. Phase II, all remaining property, will be
delivered by September 1.
8000 NORMAN CENTER DRIVE,SUITE 1000 •MINNEAPOLIS,MINNESOTA 55437-1178
TELEPHONE 9521885-5999•FACSIMILE 952/885-5969
www.krassmonroe.com
If the Authority is able to acquire all of the remaining parcels quickly, the sale of Phase 11
could be moved up or even combined with Phase I.
The four parcels on the corner of Winnetka and Bass Lake Road(5540, 5550, 7809 and 7801)
can be delivered with either Phase I or Phase H, depending upon speed of acquisition by the
Authority.
• Ryland's feasibility period
The Authority and Ryland are negotiating the redevelopment agreement and expect to execute
the agreement or have reached substantial agreement on its terms by January 26. The
agreement will be subject to the approval of Ryland's Land Committee at its meeting on
February 20.
Ryland will also have until April 15 to monitor the Authority's progress in acquiring the rest
of the parcels in the site and relocating residents so that Ryland can satisfy itself that the
Authority will be able to convey the site and construction can begin on schedule. This does
not require the Authority to be in title to all remaining parcels by April 15. If Ryland is not
satisfied with the Authority's progress as of April 15,it may terminate the agreement.
• When Ryland pays for the land
Ryland will pay the Authority$12,500 per housing unit for the land. The total land sale price,
based on the number of units in the approved site plan,will be paid to the Authority in cash on
the following schedule:
June 1/July 1,2004(closing on Phase 1)....................10%of total land sale price
September 1 2004(closing on Phase 10% "
December 1, 2004.......................................................16% «
March 1,2005 .............................................................16% «
June 1,2005.................................................................16% «
September 1,2005.......................................................16% «
December 1,2005 16% "
TOTAL......................................................................100%
• Page 2
• Obligations of the Authority and Ryland
The Authority and Ryland will have the following obligations:
The Authority grees to:
• Create a tax increment financing district(already done)
• Acquire parcels not yet owned by the City by purchase or condemnation, if
necessary
• Deliver each phase to Ryland by the dates specified above
• Vacate the portion of Sumter Avenue that lies within the site
• Demolish and remove all buildings,basements and driveways
• Perform any environmental cleanup required for residential construction(probably
only an issue for the former gas station site at 5550 Winnetka)
• Provide water and sewer to the edge of the redevelopment
• Keep applicable City fees constant until October 31,2005
Ryland agrees
• Pay the City for the land according to the schedule described above
• Furnish a letter of credit as security for its land payment obligation
• Demonstrate ability to finance project construction
• Obtain any necessary rezoning, permits and approvals and observe other
governmental requirements,including bonding
• Pay customary City fees for approvals and construction
• Use best efforts to preserve large trees on the site
• Build according to approved construction plans and housing product specifications
• Complete all construction by December 31,2006
• Construction Timing
Upon delivery of a phase to Ryland, Ryland will require 3-4 months to develop the land and
another 4-5 months to complete construction. Somewhat less time will be required for the
Model Phase. The first units in the Model Phase should be completed in early fall. Whether
those units can be sold at that time will depend upon whether water and sewer are available.
G:\WPDATAWWEW HOPE\18\COMMCDONALD GG 03.DOC
0 Page 3
Date: April 8, 2003
Mr. Kirk McDonald
Community Development Director
City of New Hope
4401 Xylon Avenue North
New Hope, MN 55428
Re: Sale of approximately 25 acres of land in the southeast quadrant of the intersection
of Bass Lake Road and Winnetka Ave. in New Hope, Minnesota
Mr. Kirk McDonald:
Pursuant to our recent discussions concerning Ryland's interest in purchasing
Approximately 25 acres of land at the southeast quadrant of the intersection of Bass Lake
Road and Winnetka Ave. from the City of New Hope, Minnesota,this letter shall serve
as a letter of intent, whereby The Ryland Group, Inc. ("Ryland") extends the following
proposal to the Seller outlining the terms and conditions under which Ryland would
consider entering into an agreement to purchase the real estate described above and
generally depicted on Exhibit A attached hereto (collectively, the "Property").
The terms of the agreement would be generally structured as follows:
1. Delineation of Property: A surveyor selected by Ryland shall perform an ALTA
extended boundary survey of the Property(the "Survey") within thirty (30) days
of the complete execution and delivery of a contract executed by both parties.
The Survey shall comply with ALTA/ACSM standards for a Grade A survey, and
shall also indicated the net acreage of the Property (the difference between the
gross acreage of the Property and the acreage of the Property lying within areas
subject to canals, laterals, ditches, retention areas, rights-of-way, flood plain, and
easements for roads and utility lines and pipelines other than those serving only
the Property. The Survey shall be prepared at Seller's expense.
2. Purchase Price: The purchase price for the Property("Purchase Price") shall be
Dollars ($ .) The Property shall be transferred and paid for at
two separate closings. The first closing shall be for not less than 12 net acres of
the Property as selected by Ryland, and the second closing shall be for the balance
of the Property. The first closing shall occur within 30 days following the
satisfaction of the conditions precedent, and the second closing will occur not
more than 12 months after the first closing.
3. Deposit: Ryland will place the sum of Twenty-five Thousand Dollars ($25,000)
in the form of an irrevocable letter of credit in escrow with, (the "Escrow Agent")
at the time of execution of the contract. Ryland's liability for non-performance
shall be limited to the amount of the deposit. The deposit will be held pursuant to
escrow instructions and other provisions incorporated in the contract and shall be
applied to the Purchase Price at the time of the [first] closing.
4. Feasibility Period: Seller shall deliver to Ryland, within five (5) days after the
complete execution and delivery of the contract, all documents or materials in
Seller's possession or control regarding the Property including, without limitation,
planning and zoning documents, contracts, surveys, title reports, soil tests,
environmental assessments,building plans, analyses and engineering studies and
data, except for documents containing confidential or proprietary information
relation to the Seller. Ryland shall have a period of 120 days after the complete
execution and delivery of the contract (the"Feasibility Period")to examine title to
the Property and conduct such marketing, economic, feasibility, and physical
inspections as Ryland deems necessary or prudent to determine the suitability of
the Property for Ryland's use. Such matters which Ryland may examine or
review may include,by way of example and without limitation, physical
conditions (including soil tests, environmental assessments, and wetlands review);
the access to public roadways to and from the Property; the availability of
permits; the suitability of existing zoning; recorded easements, covenants,
conditions and restrictions;the availability of electric, natural gas water, cable
television, storm sewer, and sanitary sewer services; and reports and analyses
related to economic feasibility.
5. Conditions Precedent: Ryland's obligation to settle on the purchase of the
Property shall be contingent on: final approval of a preliminary plat of a
subdivision of the Property, any necessary zoning changes from the appropriate
governmental authorities to allow for the development of the Property into a
minimum of 206 residential lots, and the acquisition of suitable easements or
governmental consents related to utility services. The property shall have a clean
PhaseI and Phase II Environmental or shall be mitigated if necessary as
recommended by the Environmental Reports. There shall be no existing or
pending assessments against the property and no "off-site" costs. All existing
structures shall be removed from the site, basements and excavations filled; the
site graded smooth and left in a readily developable state by the Seller.
With your affirmative response, we will instruct Ryland's attorney to prepare a contract
in accordance with the terms outlined herein.
By executing this letter of intent, the parties agree to make good faith efforts to agree on a
contract of purchase and sale. Nevertheless, neither party shall be under any binding
obligation until such time as a mutually agreeable contract is fully executed by the
appropriate officers/partners in each of our organizations. In addition to other required
procedures, Ryland must obtain necessary internal approvals prior to delivering any
nonrefundable earnest money.
Seller agrees not to market the Property or entertain any offers to purchase the Property
from others until the earlier to occur of(a) the date on which the parties mutually
determine that they cannot reach agreement on a contract or (b) 30 days from the date
after which Seller countersigns this Letter of Intent.
If we do not receive from you a countersigned copy of this letter within days of the date
hereof, then the terms of this letter shall be deemed null and void.
Please fell free to contact us with any questions or comments that you may have
regarding these matters. Thank you for providing Ryland with this business opportunity.
Sincerely,
Chris Enger
Land Resources Manager
The Ryland Group, Inc.
By:
Name: Chris Enger
Title: Land Resources Manager
The City of New Hope, Minnesota,the Seller named above, hereby agrees to sell the
Property to Ryland and to cease marketing the Property in accordance with the above
terms and conditions, subject to the signing of a mutually agreeable contract of sale
incorporating the above terms.
The City of New Hope, Seller
By,
Name:
Title:
TERM SHEET
1. Redeveloper: Ryland Homes, Inc.
2. Seller: The Brooklyn Park Economic Development Authority.
3. Property: The original phase II Hunt property, as depicted and legally described on
Exhibit A attached hereto. The property will be sold in its "as is" condition. The property
will be sold in one or two phases as determined by the parties. The Authority is in the
process of acquiring a portion of the property (the "Triangle Parcel") pursuant to a
"swap" agreement with a third party, and the Authority's obligation to convey the
Triangle Parcel shall be contingent upon of its acquisition of the same. The Authority
agrees to use best efforts to complete the acquisition of such property.
4. Purchase Price: $708,000 payable in full on the closing date.
5. Earnest Money: Ten percent of the purchase price, remainder payable at closing.
6. Due Diligence Period: Ninety days.
7. Redeveloper Conditions:
a. Title
b. Environmental
C. Planning approval
8. Authority Conditions:
a. Adequate Redeveloper financing (both site development and construction)
b. Site development contracts executed
C. Development agreement with City executed
d. Approval of construction plans
e. Execution of assessment agreement
f. Acquisition of the Triangle Parcel
9. Assessment Agreement: The property shall be subject to an assessment agreement the
value of which will be no less than the estimated fair market value of the property upon
its completion (phased as applicable). The Assessment Agreement will terminate upon
each unit sale.
10. Closing Date: No later than
11. Developer Covenants:
a. Property platted no later than days after the closing date
b. No less than housing units built in accordance with approved plans upon
the following schedule:
CA\DOCUMENTS AND SETTINGS\CENGER\LOCAL SETTINGS\TEMPORARY INTERNET FILES\OLKA\RYLAND TERM SHEET 8-2-04.DOC
12. HousingPlans: Housing plans must be agreed to in principal between Redeveloper and
the Authority prior to execution of any binding documents.
13. Reverter: The Agreement will include a reverter that if a Redeveloper event of default
occurs, which is not cured on or before the applicable cure period, the property shall
automatically revert to the Authority. The reverter will be enforced through the filing of
a Redeveloper deed, which the Authority will hold in escrow. Upon such occurrence, the
Authority will use reasonable efforts to resell the property for similar housing purposes.
Sales proceeds in excess of(i) the fair market value of the property at the time of sale to
Redeveloper less the purchase price and (ii) the Authority's costs to reclaim the property
(both legal and administrative from the closing date), will be paid to Redeveloper.
14. Letter of Credit: Redeveloper will obtain an irrevocable letter of credit from a lending
institution reasonably acceptable to the Authority in a minimum amount necessary to
cause completion of the site development. The amount of the letter of credit may be
reduced as site development progresses. The balance of the letter of credit will be
released upon completion of the site improvements.
15. Debt: The Redeveloper will not be permitted to encumber the property with any debt or
other encumbrances without the approval of the Authority. The Authority will permit site
development debt on the entire site (or such applicable portions), and construction debt
only on those portions of the property that are being currently developed. The Authority
will subordinate the Agreement to such approved debt.
16. Fees: Redeveloper will be responsible for paying all of the Authority's legal and
administrative fees associated with the redevelopment. Upon execution of a term sheet or
letter of intent, the Redeveloper will deposit with the Authority the sum of$10,000. It
will thereafter periodically be required to deposit additional sums of $10,000 as
reasonably determined by the Authority to be necessary to cover additional legal and
administrative expenses.
17. Miscellaneous:
a. Standard representations and warranties from Redeveloper and the Authority
b. Closing costs—standard and customary
C. No transfer of property or agreement without Authority consent
d. Indemnification
CADOCUMENTS AND SETTINGS\CENGER\LOCAL SETTINGMTEMPORARY INTERNET RLEMOLKA\RYLAND TERM SHEET 8-2-04.DOC
EXHIBIT A
REDEVELOPMENT PROPERTY
[LEGAL DESCRIPTION AND DEPICTION]
C:\DOCUMENTS AND SETTINGS\CENGER\LOCAL SETTINGS\TEMPORARY INTERNET FILES\OLKA\RYLAND TERM SB ET 8-2-04.DOC
Letter of Intent
This letter of intent is executed as of this 2-� day of August, 2004 by and between
Redeveloper and Seller as defined below. This Letter of Intent is intended to set forth the terms
of a Contract for Private Redevelopment to be entered into by Redeveloper and Seller, and
except for Section 15 below(which shall be binding upon Redeveloper) shall not be deemed
conclusive or binding upon either party.
1. Redeveloper: The Ryland Group, Inc.
2. Seller or Authority: The Brooklyn Park Economic Development Authority.
3. Pro e : The original phase II Hunt property. The property will be sold in its "as is"
condition. The Authority is in the process of acquiring a portion of the property (the
"Triangle Parcel")pursuant to a"swap" agreement with a third party, and the Authority's
obligation to convey the Triangle Parcel shall be contingent upon its acquisition of the
same. The Authority agrees to use best efforts to complete the acquisition of such
property.
The Authority will use its best efforts to provide Redeveloper access to the Triangle
Parcel to conduct its due diligence, provided Redeveloper provides standard indemnities
to the current owner relating to such entry. If the Seller does not acquire the Triangle
Parcel prior to closing, the parties will close on the remaining property, and the closing of
the Triangle Parcel will be extended to a date not to exceed 180 days. In such event the
purchase price will be adjusted accordingly.
4. Purchase Price: $708,000 payable in full on the closing date, except as otherwise
provided in Section 3 above.
5. Earnest Money: Five percent of the purchase price, remainder payable at closing,
provided that the Earnest Money shall increase to ten percent if the closing is extended by
Redeveloper as set forth in Section 9 below because of actions not within the control of
Seller.
6. Due Diligence Period: Ninety days.
7. Redeveloper Conditions:
a. Title
b. Environmental
C. Planning approval
8. Authority Conditions:
a. Adequate Redeveloper financing, including self financing (both site development
and construction)
b. Site development contracts executed
C. Development agreement with City executed
d. Approval of construction plans
e. Acquisition of the Triangle Parcel (which shall be a condition to the Authority's
performance as to the Triangle Parcel only)
9. Closing Date: No later than 100 days after execution of Agreement. However, if
conditions to the Redeveloper's performance have not been satisfied by November 1,
2004, the Redeveloper shall have the option to extend the closing date to April 15 of the
next year on the following conditions: (i) the Contract for Private Redevelopment shall
unconditionally obligate Redeveloper to close on the Property as of April 15 (except to
the extent the Authority has not acquired the Triangle Parcel and except to the extent
conditions to Redeveloper's performance then remain unsatisfied), (ii) if the closing is
extended due to events not under the control of the Seller, Redeveloper shall increase the
Earnest Money to ten percent.
10. Redeveloper Covenants:
a. Application for plat approval no later than 60 days after the closing date
b. No less than 69 housing units built in accordance with approved plans upon the
following schedule: 40 units substantially completed by December 31, 2006;
remainder substantially completed by December 31, 2007. The executive director
of the Seller shall have administrative authority to reduce the minimum units to
65 upon cause shown by Redeveloper (Le. replatting necessitated by design
changes). Such minimum unit requirements shall be adjusted pro rata if the
Triangle Parcel is not acquired as contemplated hereunder.
C. Redeveloper may extend the December 31, 2006 deadline for no longer than one
year on a unit for unit basis at the cost of$1,000 per unit, and may extend the
December 31, 2007 deadline for no longer than one year on a unit for unit basis at
the cost of$2,200 per unit.
d. The townhome units shall be sold for an average price of not less than $170,000
and the single family units shall be sold for an average price of not less than
$195,000.
11. Housing_Plans: Housing plans must be agreed to in principal between Redeveloper and
the Seller prior to execution of any binding documents.
12. Reverter: The Agreement will include a reverter,which will allow the Seller to retake the
Property upon an uncured event of default by Redeveloper. After the property is retaken
by Seller, Seller shall pay to the Redeveloper (i) the price paid by Redeveloper to the
Seller for acquisition of the Property plus (ii) all documented Redeveloper "hard costs"
associated with site preparation (i.e. out-of-pocket reasonable third party costs pursuant
to contracts with unrelated third parties). The foregoing sum to be paid by Seller to
Redeveloper shall be less any unapproved debt or encumbrances on the Property at the
time of the retaking. In that regard, the Seller shall be permitted to withhold payment to
Redeveloper until a date that is 90 days after the date upon which work was last
conducted on the Property by Redeveloper or its agents.
13. Letter of Credit: Redeveloper will obtain an irrevocable letter of credit from a lending
institution reasonably acceptable to the Authority in a minimum amount necessary to
cause completion of the site development. The amount of the letter of credit may be
reduced as site development progresses. The balance of the letter of credit will be
released upon completion of the site improvements. The letter of credit will be released
upon the Seller's exercise of the Reverter.
14. Debt: The Redeveloper will not be permitted to encumber the property with any debt or
other encumbrances without the approval of the Authority.
15. Fees: Upon the full execution of this Letter of Intent Redeveloper will pay the Authority
the sum of$10,000 as reimbursement for a portion of its legal and administrative fees
associated with the redevelopment. In the event that the transaction contemplated hereby
is not consummated, such money will become nonrefundable. If the transaction closes,
the $10,000 will be credited toward the purchase price.
16. Private Road: The parties will decide by not later than 30 days after the execution of the
Contract for Private Redevelopment whether an easement will be required in the private
road abutting the north end of the property to the south If the parties determine on or
before said date that such an easement is necessary, the Redeveloper shall attempt to
voluntarily acquire the same at no cost to the Seller. If such negotiations are not
successful, the Seller agrees to exercise its condemnation powers to acquire such an
easement, provided that (i) the cost of such condemnation (including all administrative,
legal and consultant costs) shall be borne by Redeveloper not to exceed an agreed upon
amount, and(ii) the Seller expressly disclaims the success of any such action.
17. Miscellaneous:
a. Standard representations and warranties from Redeveloper and the Authority
b. Closing costs—standard and customary
C. No transfer of property or agreement without Authority consent
d. Standard Indemnification
IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first
set forth above.
THE RYL GROUP, INC.
By:
Its:
THE BROOKLYN PARK ECONOMIC
DEVELOPMENT AUTHORITY
By:
Its:
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Respect for the past...planning for the future...
Xoland Homes proudly presents Hennepin Village, —
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952-294-1096
Builder DIRECnONS:Take Hew,..5 west to new Hwy.312 until it ends.Tum right(south)
America's Home on Eden Prairie Road to Pioneer Trail. Tum left(east)on Pioneer Trail to Co.Rd.4
(Spring Road).Tum right(south)on Co.Rd.4,follow to Hennepin Village. Tum right.
Information center will be on your left.
Information contained in this brochure is deemed reliable but not guaranteed ® MN Builder License #20035443
on the date of printing.Changes may occur without notice.
Brochure by Landmark Photography&Design(LandmarkPhotoDesign.com).
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Source:Washington County Surveyor's Office.
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Page I of I
Mike Ericson
From: Theresa Charpentier [Theresa.Charpentier@toro.com]
Sent: Friday, July 08, 2005 3:50 PM
To: Mary Ann Creager; Bryan Bear; Mike Ericson
Subject: RFP meeting
I don't know if we have a RFP analysis process or not and I put together a starting document to score the
RFPs. This allows us to be more objective.
Please feel free to expand the document if you would like to use it.
Theresa Charpentier
TORO Commercial Division
Technical Services Manager
8111 Lyndale Avenue South
Bloomington, MN 55420
O - 952.887.8814
C -651.245.1193
F - 952.887.7292
7/11/05
RFP Review Scoring 11 21 3
Lowl Medium I High'
Competes
Supports the with existing High Potential
Strategic Hugo Regulatory Environment Speed to Creation of
RFP Plan Businesses Needs al Impact Market Skilled Jobs Additional Comments
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STAFF SUMMARY OF THE RFP'S FOR THE CITY OWNED
PARCELS IN THE BALD EAGLE INDUSTRIAL PARK
The 1 Acre Site bounded by Fenway Boulevard Circle to the south.
1. Oneka Pet Resort Proposal
Guy LaBarre of C.G. LaBarre L.L.C. Pet Resort Inc. is proposing to construct a 6,400
square foot building to serve as a pet kennel on the 1 acre site. The plan includes 24
parking stalls and a fenced in outdoor play area for the pets. The pet resort would
employee 26 people.
Issues
✓ The current 1-3 zoning classification would need to be amended to permit this
type of use.
✓ More parking may be needed than 24 spaces to provide for all the customers and
employees.
✓ Additional screening may be needed for the outdoor area to provide a sound
barrier to surrounding neighbors.
✓ The pet resort could generate a significant amount of vehicle traffic during pickup
and drop off times.
2. Escape Fire Protection Proposal
Escape Fire Protection is proposing to build an 8,800 sq ft office/warehouse multiple
tenants building. Escape Fire Protection intends to occupy roughly 3,000 sq. ft. of the
building. The other two units would be available for lease but there are no specified
tenants. The plan includes 28 parking spaces in the front and 14 parking spaces to the
rear which meets zoning requirements for this type of use.
Issues
✓ The site plan shows most of the area as paved surfaces which do not leave much
room for the required landscaping. The development covenant requires 5% of the
interior area of the site to be set aside for landscaping
✓ Escape Fire Protection needs to find tenants for the rest of the building.
3. Underground Tools Inc.
Underground Tools Inc. (UTI) is proposing to build a 43,000 square foot office
warehouse building on the 1.1 acre site. UTI intends to occupy the entire building and
plans on employing 26 people at the new location
✓ The site plan is completely maximized and there is not much room to
accommodate future growth of the business at the proposed location.
✓ Truck access to the loading dock would be very difficult.
The 3.3 Acre Corner Lot bounded by Fenway Boulevard to the west and Fenway
Boulevard Circle to the south.
4. White Bear Boat Works Proposal
White Bear Boat Works Development Team is proposing to purchase the entire property
and subdivide the site into three parcels. Lot A would be 1.3 acres and would have a
19,000 square foot building where the White Bear Boat Works business would locate.
The White Bear Boat Works building would consist of a boat repair area and a showroom
for the display and sale of boats. The site plan also shows an 11,687 square foot outdoor
storage area. Lot B would be 1 acre and consist of a 16,700 square foot warehouse office
building that could be leased out. Lot C would be 1 acre and include a 12,546 office
condo building. One business has expressed interest in purchasing a 1,800 square foot
unit in the building.
Issues
✓ The White Bear Boat Works needs to find tenants for the rental building and
additional buyers for the office condo building.
✓ Screening of the outdoor storage area and parking lot form adjacent residential
town homes.
✓ Insufficient amount of parking.
✓ The land use needs to be better coordinated on the site plan.
5. Pearson Mechanical Services Inc.
Pearson Mechanical Services is proposing to build a 40,000 square foot warehouse office
building on the 3.3 acre site. The commercial electric contracting company intends to
employee between 30-80 employees at the location depending on the season. The
building would serve as the new headquarters for Pearson Mechanical Services and CAP
Electric. Part of the building may serve as a manufacturing distribution center.
Issues
✓ Screening of the loading dock and parking lot form adjacent residential town
homes.
✓ The part of the building proposed to house manufacturing and distribution could
create a nuisance to adjacent residential properties (increased traffic from trucks
and noise, odors, from manufacturing process).
✓ Plan does not include an adequate amount of parking for the intended amount of
employees.
May 24, 2005
AY2 � ��
Bryan Bear
Community Development Director
City of Hugo
14669 Fitzgerald Avenue North
Hugo, MN 55038
Dear Bryan:
Thank you for meeting with me and discussing our service business, Oneka Pet Resort
in the Bald Eagle Industrial Park.
We would be interested in the property currently owned by Rink-Tec, should it become
available. Attached is a drawing of a space plan for a 6,400 square foot building that
could be constructed on that site, which would be owned and operated by C.G. LaBarre
L.L.C., C.G. Pet Resort Inc. dba. Oneka Pet Resort. Oneka Pet Resort would employ
22 Pet Technicians, a full-time Manager, an Assistant Manager, my wife Cindy and
myself.
Attached is some general information, including a "Mission Statement", "Corporate
Structure", and "Management Team". I understand that the property is Zone 13 and
would need to be amended to include our type of business. Construction could start on
the building once the land was purchased, zoning change was complete and building
was approved.
Please let me know if the property is available and if our service business would be
accepted in this location.
Sincerely,
Guy L. LaBarre
GLL/mt
Enclosure
Mission Statement: The mission of Oneka Pet Resort is to provide
a safe, healthy and fun environment where pets and family stress is
kept to a minimum while pets and their families are apart.
Corporate Structure
Principles: Cynthia J. LaBarre
Guy L. LaBarre
Joint ownership
C.G.LaBarre LLC. would be setup to own the real property.
C.G. Pet Resort Inc. dba Oneka Pet Resort would be setup to operate the
boarding facility.
Management Team/Operations
Cynthia J. LaBarre, President C.G. Pet Resort Inc., C.G.LaBarre LLC. Cindy is
the on-site administrator and contact for pet owners. She is in the process of
completing ABKA (America Boarding Kennels Association) designation "Certified
Pet Care Technician". Cindy has banking, bookkeeping, collections and
customer service experience. She has lived and worked in the community all of
her career and raised a son, age 26 and daughter, age 24, both completing their
last semester in college. Quarterly salary will be based on business
performance.
Guy L. LaBarre, Treasurer C.G. Pet Resort Inc., C.G.LaBarre LLC. Upon
retirement Guy shall be on site for customer contact and marketing events. He is
a Commercial Real Estate Broker licensed in Minnesota, has an RPA
designation (Real Property Administrator) from Building Owner Managers
Association, B.S. Bachelor of Social Science secondary education University of
Wisconsin, has two golden retrievers trained for hunting, and has provided
training at Northland Kennels. Currently President of Minnesota Street
Associates, Inc., a property management company for 956,000 square foot office
complex in St. Paul, Minnesota with approximately 80 employees. He has
attended ABKA seminars, "How to Establish and Operate a Boarding Kennel",
"Kennel Building Design", "How to Get Financing", "How to Establish and
Operate a Dog Day-Care", and "How to Establish and Operate an All Suites
Facility". Quarterly salary will be based on business performance.
Nikki L. LaBarre, Management Trainee. Upon completion of her teaching degree
from St. Catherian College Nikki will supplement on-site management and is in
the process of completing ABKA (American Boarding Kennel Association)
designation "Certified Pet Care Technician". Hourly wage —paid on hours.
Summary
Corporate Managers —Salary/unless otherwise designated shall be responsible
for all corporate compliance, including accounting, finance, regulatory (Federal,
State, local) personnel policies, payroll, personnel records, emergency
procedures. Will assume operation manager duties, depending on client
occupancy.
Operation Manager (Salary)
Shall be responsible for day-to- day operations.
➢ Scheduling of Pet Technicians.
➢ Job descriptions for each Pet Technician.
➢ Training of all Pet Technicians.
➢ Ensure pets care, health, safety and minimize stress.
➢ Billing procedures followed by staff.
➢ Opening/closing.
➢ Communications between Pet Resort, Pet, Pet owners and family.
➢ Report to Corporate Managers.
➢ Reporting to Operation Manager is Assistant Manager and all employees.
➢ Entrance exams of all pets.
Assistant Manager (Salary)
➢ Has all of the same duties of Manager in their absence.
➢ Direct contact to Pet Technician.
➢ Training Pet Technicians.
➢ Makes daily assignment for staff, including cleaning, food preparation,
medical needs, laundry services and bathing assignments.
➢ Report to Operations Manager
➢ Entrance exam of all pets.
Pet Technicians (hourly staff, full and part-time)
➢ Cleaning facilities and grounds.
➢ Laundry services for Pets.
➢ Handling of Pets.
➢ Food preparation and delivery.
➢ Understands emergency procedures.
➢ Pet pickup/delivery.
➢ Pet cleaning and bathing.
➢ Providing care if special needs are required, such as medication or
mobility assistance.
➢ Keep equipment in good order.
➢ Provide inventory needs for supplies to manager.
➢ Reports directly to Assistant Manager or Operations Manager as
necessary.
➢ Not to communicate with Pet owners.
Daily Schedule
PET TECHNICIANS
7:00 a.m.
➢ Check cattery, water, litter boxes
➢ Remove upper level dogs to outside area
➢ Remove all items for laundry
➢ Clean, pressure clean, sanitize upper level
➢ Replace floor rug, bedding, replace water dish
➢ Return upper level dogs inside
➢ Remove lower level dogs to outside area
➢ Remove all items for laundry
➢ Clean, pressure clean, sanitize lower level
➢ Replace floor rugs, bedding, replace water dish
➢ Return lower level dogs from outside, feed dogs that are scheduled for
twice a day
9:00 a.m.
➢ Dispense medication to dogs as required
➢ Provide walks, playtime to dogs schedule
➢ Start laundry
➢ Provide schedule bath or provide if needed
➢ Take 15 minute break
➢ Start water bowl cleaning in dishwasher
➢ Clean litter boxes
➢ Feed cats
➢ Start swimming time (Summer) for dogs permitted
12:00 p.m.
➢ Start 1 hour lunch break
➢ Finish laundry, fold and store fresh rugs, bedding
2:00 p.m.
➢ Finish water dishes
➢ Bring dogs in to rest
3:00 p.m.
➢ Start feeding, second feeding to dogs scheduled
5:00 p.m.
➢ Clean play area inside and outside
➢ Start last outside walk before night
➢ Shut down, older and smaller dogs last
➢ Ready dogs that are to be pick-upped
➢ Finish last walks outside
7:00 — 9:00 p.m.
➢ Clean laundry, kitchen, bath area, ready for next day
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Introduction
Cindy LaBarre
Guy LaBarre
Business
➢ Pet boarding ➢ Staff 22-24
➢ Daycare ➢ 82+ Dogs 24 cats
➢ Bathing
Facility — building 6,400 s.f. 1 .25 acres
➢ Laundry ➢ Indoor play area
➢ Kitchen ➢ Outdoor play/pool area
➢ Bathing ➢ Fence walking area -
➢ 3 zone boarding areas* grass
➢ Cattery
* HVAC, noise control, plumbing, lighting
Concerns
➢ Location (isolated, traffic, easy directions)
➢ Zoning
➢ Land
WHITE BEAR BOAT WORKS
DEVELOPMENT PROPOSAL
FOR
DEVELOPMENT OF CITY OWNED PROPERTY
IN BALD EAGLE INDUSTRIAL PARK
Submitted to:
City of Hugo
Attention: Bryan Bear
14669 Fitzgerald Avenue North
Hugo, MN 55038
Submitted by:
White Bear Boat Works
4495 Lake Avenue South
White Beal- Lake, MN 55110
651-429-7221
Fax 651-429-3248
!MAY 279 2005
TABLE OF CONTENTS
Page
Introduction . .......... . . . ........................ 1
Development Team ............................ 2
Proposal ................... .............. ........ 3-4
Timeline .............. .. . ... ......... . .......... 5
Conceptual Site Plan . ......................... 6
INTRODUCTION
City of Hugo
Attention: Mr. Bryan Bear
14669 Fitzgerald Ave. N.
Hugo, MN
For your consideration the White Bear Boat Works Development Team is
pleased to submit a proposal for the full development of the City owned property
in Bald Eagle Industrial Park, described as Lot One of Woods of Bald Eagle
Lake. If selected, and to the satisfaction of the City of Hugo and White Bear
Boat Works, a full development of the 3.3 acre site is proposed as follows:
Construct a one story, approximately 19,909 sq. ft. building with approximately
11,687 sq. ft. of outdoor storage for the operation of White Bear Boat Works.
Construct a one story approximately 16,795 sq. ft. Office Warehouse building,
Construct a one story approximately 12, 546 sq. ft. Town Office Building.
1
DEVELOPMENT TEAM
Jason and Angie Brown, Owners of White Bear Boat Works
Steve Jensen, Architect of Record
Terry Thompson, Development Manager
White Bear Boat Works
Bringing fun on the water to people of all ages and experience levels, White Bear
Boat Works is a continuation of the historic Johnson Boat Works, former
manufacturer of the scow racing sailboat since 1896. As the great-grandson of
J.O. Johnson, inventor of the scow sailboat, Jason Brown managed the 102-year-
old Johnson Boat Works for 12 years before starting the White Bear Boat Works
with his wife, Angie in 1998. Specializing in new and used sailboats, wooden
boat restoration, fiberglass and rigging repair, and parts and accessories, the Boat
Works draws customers from all over the country. Currently employing 15
people, including 2 Hugo residents, the Boat Works has been a family-owned and
operated business since its inception. By moving into the proposed larger
building, White Bear Boat Works will be able to expand the business, and would
look to hire additional employees from the surrounding community.
Steve Jensen
Steve has been a registered architect for 22 years, with extensive experience in
commercial, industrial and marine design. He also has 35 years of construction
experience.
Terry Thompson
Terry has 28 years of construction and development experience. He is a graduate
of Iowa State University in Construction Engineering, and has worked for Kmart
Corporation as a Construction Manager and Regional Development Manager. As
a Development Manager he has been responsible for project budgets, conceptual
site plan, site planning and development, due diligence, engineered drawings,
administrating construction contracts, and oversight of project construction of
$10 to $22 million Kmart developed properties throughout the United States.
PROPOSAL
We propose splitting the 3.3 acres into three lots. Lot A would be 1.3 acres and
would have a 19,909 sq. ft. building to house the White Bear Boat Works. Lot B
would be 1 acre in size and have a 16,795 sq. ft. building. Lot C would be 1 acre
in size and have a 12,546 sq. ft. Office Condo building. Site landscaping would
be designed to enhance the site.
Lot A White Bear Boat Works 19,909 Sq. Ft.
The building would be pre-cast concrete or masonry with a glass entrance
showroom to display sailboats and for a retail sales area. The building design
will include shop areas for fiberglass repair, boat rigging, painting and boat
restoration. Outdoor storage of 11,687 sq. ft. will be fenced and screened per
code.
Lot B Building 16,795 Sq. Ft.
We are proposing a warehouse office building that can be leased out and divided
by the number of tenants (to be determined). We are seeking tenants that would
fulfill a need in the community. Potential tenants could be day care services,
learning services, engineers, recreational sports showroom, to name a few. The
building would be pre-cast concrete or masonry to complement Building A.
Lot C Office Condo Building 12,546 Sq. Ft.
We will be marketing these offices for sale. The proximity of residential housing
to the site should create an interest for professional services that can be utilized
by the residents. This concept allows residents to live and work in their own
community and eliminates the need to travel outside the City for both work and
to obtain services. The proposed building would be a combination of masonry,
stucco or exterior insulated finish system, in earthtone colors to complement
Buildings A and B.
Sail la Vie, a sail and canvas repair business, is a proposed owner for an 1,800 sq.
ft. unit.
3
Financing
Financial Information will be available if this Development Proposal is accepted
by the City of Hugo.
If accepted, this proposal is subject to satisfactory completion of Property
Inspection and Due Diligence Investigation.
Jason Brown, President Date
White Bear Boat Works
4495 Lake Avenue South
White Bear Lake, MN 55110
651-429-7221
Fax 651-429-324
4
TIMELINE
July 2005 Due Diligence, Marketing and Leasing
January 2006 Prepare engineered civil drawings and architectural drawings.
Plan Approval Process
May 2006 Start Site Work on entire site
June 2006 Start Construction on Building A. Buildings B & C would
also start construction contingent upon Tenant Commitments
with an approximate four month construction period.
September 2006 Occupy White Bear Boat Works Building
5
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Firm Noma and Address
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® -4495 LAKE AV's 5OU1'N
WHIS PEAR f AKE,MN 55110
651-429-7221
\� Project Name and Address
INbOTIAL FAM
Sheet
MITA 6W 130ATWX6
Date
Scale
05 O
NT5
July 14,2005
Mr.Brian Bear
The City of Hugo
14669 Fitzgerald Ave.N.
Hugo,MN 55038
RE:Development of City Owned Property in Bald Eagle Industrial Park
Dear Mr.Bear:
After our interview on Monday July 111h,2005,it was apparent that further clarification was needed on our
proposal that was submitted to you on May 271h,2005.
First,it was always our intention to develop and utilize the full site at the time of construction.However,
during our field inspection of the property,we assumed there was a part of the property that was wetland and
could not be changed. We believed that to accommodate the wetland it would be best to have two buildings to
utilize the land efficiently. During the interview,we were corrected and informed that the low land was to be
filled in. This would allow us to build even larger than we proposed and allowed us to concentrate on one
building rather than two separate buildings. Having heard this at the meeting excited us even further to know
that this could be done. We are therefore revising our proposed building to encompass our greater needs.
Our revised building site plan will encompass one 20,000 to 40,000 sq ft building for office and warehouse.
This will include enough space for manufacturing and distribution,as we discussed,all with in one building and
would be much more efficient for our needs.
As we indicated at the interview,we are currently leasing in Stillwater,MN and our lease is up May 1,2006. We
therefore need to start Construction for the building as soon as possible.
We believe that we can offer a lot of value to the city of Hugo in three parts;
• First,we are truly excited,serious,and ready to act RIGHT NOW.
• Second,We have INSTANT financial ability RIGHT NOW!
• Third,We can have an immediate impact on the community,both directly and indirectly.
If there are additional questions,please contact us.
We thank you for the opportunity to be selected for this property.
Sincerely,
onald A.Pearson
R.A.Pearson&Associates
Enclosure(1)
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12575 LOCKRIDGE STREET
STILLWATER, MN 55082
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ESCAPE FIRE PROTECTION FUTURE BUILDING
ESCAPE FIRE PROTECTION NOTES:
3020 CENTERVILLE ROAD CONSTRUCTION SHALL BE SPAN-CRETE OR
LITTLE CANADA,MN 55117 CONCRETE BLOCK NYTHBAR JOIST
651-771-8874 PHONE PROVISIONS SAHLL BE MADE FOR MVLTPLE
651-771-8875 FAX LEASE TENANTS
PROJECTED USE SHALL BE
OFFICE/WAREHOUSE
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Underground Tools,Inc.
1930 West County Rd C
Saint Paul,MN 55113
Toll Free: 866.488.DIRT
Phone: 65 1.255.1873
Fax: 65 1.255.1877
www.undergroundtools.com
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• Mini through Maxi drill rig size •
w : • Forged one-piece drill rod,S 135 grade
• Forged,inertia welded drill rod •
' • Unsurpassed quality
' .; • Readily available
1 TRENCHER PARTS ONOMMOMMOOF NOON
Outfit nearly any trencher on the market,
from walk-behind to heavy duty track
trenchers,with premium quality wear parts
from UTI. Count on UTI's exclusive DirtSmart it •
technical service to get the best tools for
the job. a •
• Finest steels and carbides offered
a
• Meets or exceeds manufacturer's
specs
a
• Lab-tested,field-proven durability
• 75 years combined experience in
outfitting trenchers
■■■■■■■■■ft■ WEAR PARTS/ACCESSORIES ■O■ •
UTI offers a wide selection of parts and •
accessories for the support equipment in the
trenching and directional drilling markets.Products
are readily available,saving you downtime while
L offering you durability,job after job.
A
� r •
Uti
1 Underground Tools, Inc.
1 Business Summary
1 For
1 City Of Hugo
1 Bald Eagle Industrial Park
1
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' Underground Too/s, /nc 4j,r
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To whom it may concern: t`
' Underground Tools Inc. is currently seeking a site for construction of a new
office/warehouse. In doing so we narrowed down our search to 3 communities, with
Hugo being one of them.
Underground Tools Inc. (UTI) is a relatively young and progressive company.
Incorporated in June of 2003. UTI supplies and markets trencher parts, directional
drilling drillpipe and accessories to the construction industry throughout the entire world.
We are currently leasing two 6,000 square foot office/warehouses in Roseville. UTI is a
privately owned corporation founded and owned by three equal shareholders. All three
are full time active employees with combined experience of over 60 years in sales,
management, and manufacturing of products for the underground construction industry.
UTI has been fortunate to have showed healthy profits every quarter since its inception.
The growth has been great but controlled enough to handle without sacrificing our
service to our existing customer base. UTI has built an image and reputation of being the
most reliable, knowledgeable, and competitive supplier in our industry.
' UTI always maintains a clean friendly, fair and creative work environment that respects
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diversity, new ideas, and hard work. UTI is currently employing nine people and a
forecasted 15 employees by the end of 2005 and 24 employees by the end of 2006. We
will be looking for local light manufacturing, assembly, sales, accounting and
administrative employees. UTI also will be using local services such as welding shops,
courier service, machine shops etc.
' Throughout our search we have concluded that we think Hugo and the site we looked at
are a great fit for our growing business. We like the location for many reasons. It is
centrally located for all three owners. One of the owners was raised on Bald Eagle Lake
and currently resides in Mahtomedi. Hugo is easily accessible for all of our needs. Hugo
is a growing community in which we would like to grow with. UTI believes that we
could and will be an active part of your community through not only our professional
relationship, but also all our employees personal relationships in and around your city.
t
If there is any more information you need feel free to contact me any time. Thank you.
Sincerely,
Mike Burns
Underground Tools, Inc.
' 866-488-3478 - Office 1930 West County Road C
651-271-4818 - Cell St.Paul,MN 55113
www.undergroundtools.com Phone:651.255.1873
' Fax::651.255.1877
Toll Free: 1866.488.DIRT
Web site:www.undergroundtools.com
UNITED PROPERTIES
' Proposed Building for:
Underground Tools Inc.
on Lot 003, Block 001 of Bald Eagle Industrial Park 5th Addition
Address: 13477 Fenway Blvd. Circle North
Zoning: 1-3 - General Industrial
Property ID #: 3003121410059
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Size of Site: Approximately 43,177 square feet
' Proposed Building
Completion: August 2006
' Building Size: 11,000 - 12,000 square feet consisting of up to 2,000 square
feet of office space and up to 10,000 square feet of
warehouse space.
' Building Type: Office/warehouse with one loading dock and one drive-in
door.
' Parking: 18 - 22 stalls
' Clear Height: 22 feet
Proposed Architectural
' Features: Insulated pre-cast concrete wall panels and glass with
decorative block accents
tBuilder: To be determined
Contacts: Mike Burns - Underground Tools, Inc. (UTI)
Cell: 651-271-4818
Bob Revoir- United Properties (Real Estate Representative)
' Cell: 612-250-3392
3500 American Blvd.West, Minneapolis, MN 55431 • 952.831.1000 • fax 952.893.8293 • www.uproperties.com
A member of ONCOR International
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_ BUILDING SETBACK
DRIVE—IN I UNDERGROUND
DOOR TOOLS,INC.
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HUGO,MN
9,135 SF I
WAREHOUSE
52.00 M
40.00 40.00 N
10,712 SF r I
TOTAL <
BUILDING
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11,577 SF\\\\\\l date: description
OFFICEe JUL 05
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Area Calculations:
Site 43,177 SF 5' PARKING SETBACK-TYP SCHEMATIC
Max 80%hardsurface coverage 34,541 SF / ENTIRE PARCEL DESIGN
Actual coverage I
Building 10,712 SF / date: 7 JULY 05
Hardsurface 20,248 SF drawn by: MRH
Total 30.960 SF checked:
cont.no.: 205189
sheet number.
_SCHEMATIC SITE DESIGN S D 1
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NORTH
R.A Pearson&Associates Phone 651-275-8424
M A. Pearson & 12575 lockridge Street
Stillwater,MN 55082 Fax 651-351-0896
Associates LLC
Proposal and Development Plan
City of Hugo's Opportunity for Expansion
R. A. Pearson & Associates LLC is submitting our proposal to the City of
Hugo for the city owned 3.3 acre lot in Bald Eagle Industrial Park at the
corner of Fenway Boulevard and Fenway Boulevard Circle. It is our intent
to develop the land and build an office complex and warehouse to house
the headquarters of R. A. Pearson & Associates, Pearson Mechanical
Services Inc. and CAP Electric Inc.
We are experienced family run businesses seeking to establish our
headquarters in the Hugo area. R. A. Pearson LLC is a new company to
manage our holdings however we are not a developer, we would be an
end user. Pearson Mechanical Services Inc. is a Commercial and
Residential mechanical contractor with employees ranging from 30 to 80
seasonally. CAP Electric is a Commercial Electrical contracting company
employing 6 to 12 Seasonally. We are currently working on expanding our
business to include Manufacturing and Distribution of work in conjunction
with our existing enterprises. We are enthusiastic to begin construction
and move our operations to your area.
We are proposing to build an approximately 30,000 sq ft Precast Concrete
Structure to match existing buildings in the development. This building
would encompass our organization as follows:
0 Pearson Mechanical Services Inc. Office and warehouse 20,000
sq ft,
• CAP Electric Office and warehouse 3,000 sq ft,
• 7,000 sq ft for future expansion and growth
We are also considering an additional building to house the
manufacturing/Distribution of 20,000 plus sq ft., zoning permitted.
The principles of our company and design team are as follows:
Ronald A. Pearson is the CEO of R. A. Pearson & Associates, Pearson
Mechanical Services Inc. and CAP Electric Inc. He is a current board
Member of North Star Banks and the sheetmetal local-10 apprenticeship
committee. He is the Former CEO & President of NewMech Co. Inc and
Farrington Associates LLC. He served as National president of the
Mechanical Contractors Association of America and the President of
Minnesota Mechanical Contractors Association.
Troy A. Pearson is the current President of Pearson Mechanical Services
Inc. and CAP Electric. He is the Former VP/President Elect of NewMech
Co. Inc.
Craig R. Pearson is the current Vice President of Pearson Mechanical
Services Inc. and CAP Electric and Former Vice President of NewMech
Co. Inc.
Brian R. Pearson is the current Vice President of Pearson Mechanical
Services Inc. and CAP Electric and a former Division Manager of
NewMech Co. Inc.
Eric J. Pearson is a Superintendent for Pearson Mechanical Services Inc.
and current Resident of Hugo.
We believe that by the nature of the construction business we will be able
to impact the area businesses positively by increasing customer traffic with
our fleet of vehicles at gas stations, convenience stores, restaurants, and
other retail businesses. We have completed several projects in the
community, and have current contacts with many current resident
businesses and believe in building relationships with business in our
community and utilizing them within our organization.
R. A. Pearson & Associates LLC is the financial arm of our ventures. A
personal financial statement can be available upon request. However, our
net worth exceeds Seven million dollars. As a reference you may contact
North Star Bank 1820 North Lexington Ave, Roseville MN 55113. The
contact person is John Markert, President.
Upon award of contract R. A. Pearson & Associates will provide a non-
refundable cash deposit of$10,000.00 as requested, within three days the
balance of purchase price will also be paid.
In conclusion We are eagerly waiting to broaden our business potential
and there is no better place than the Hugo area. We feel strongly that we
can add to a growing community. Our intent is to grow the companies in
sales and thereby allowing , and creating job possibilities for the
community.
2
Thank You for Your consideration. We know we can be a positive and
productive Influence to your city and its residence.
Sincerely
.001;
Troy A. Pearson President
onald A. Pearson CEO
3
Proposed Site Plan
Not to Scale
---------------------------
---
Future �
Manufacturing
& Wetland/Pond
Distributing
-----------------------
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Proposed Office
C Parking&Drive
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{- June July August I Septembe October Novembe December January February March TAril Ma
ID o TTask Name j Duration E B M E B M E B M E B M E B M E B M E B M E B M E B M E B M E M E B M
1 E3 Contract award 31 days ,
2 Engineering&Planning 80 days
3 E3 City of Hugo Approval 0 days 10/28
4 Ground Breaking 0 days 10/28
5 13 Site Work 62 days
6 L3 Foundation 10 days?
7 E5 Walls 10 days
8 Roofing 10 days
9 13 Interior Concrete 10 days
10 0 Interior Rough in 20 days?
11 3 Mechanical Rough in 20 days?
12 3 Electrical Rough in 20 days?
133 Interior Finish 20 days?
14 d Mechanical Finish 20 days?
15 d Electrical Finish 10 days?
16 [3 Substantial Completion 0 days . 4/14
17 0 Asphalt 20 days?
18 0 Sod&Landscape 20 days?
Task ,' Milestone ♦ External Tasks
Project:Newoffice SplitSummary External Milestone
Date:Thu 5/26/05
Progress Project Summary Deadline
Page 1
5630 Memorial Ave. N
Suite 100
Stillwater MN 55082
Main 651-275-1100
Fax 651-275-1107
` www.pearsonms.com
info(apearsonms.com
Dear Building Contractor:
Pearson Mechanical Services, Inc. has serviced the Twin Cities area for
contractors and homeowners since 2001! Although the name is new, this
company broke away from one of the largest mechanical contractors in
Minnesota and has roots dating back to 1921.
Pearson Mechanical Services, Inc. can exceed your expectations. We
continually strive to improve our performance by:
1. Working with our customers to make the best Indoor Air Comfort
decisions and to create a system that meets their needs and
budget.
o We have the capability of servicing and installing all makes and models of
equipment.
o We offer expertise in all energy efficiency options available from the major
utilities!
o Membership in trade organizations to provide on-going training:
MCAA Mechanical Contractors Association of America
MMCA Minnesota Mechanical Contractors Association
MSCA Mechanical Service Contractors of America
SMACNA Sheet Metal Air Conditioning Contractors National Association
SMARCA Sheet Metal Air Conditioning Roofing Contractors Association
ASHRAE American Society of Heating, Refrigerating and Air-Conditioning Engineers
Minnesota Safety Council
Minnesota Better Business Bureau
2. Providing our customers with the quality installation.
o Installers are skilled Union workers.
o Lead Installer has a minimum of 10 years of experience in the field.
o Licensed, bonded and insured in your city.
o Installers are leaders in customer service, and safety.
o Whether it is single family home, or a high rise apartment project, we have the
staffing capability to handle the job.
3. Providing our customers with follow-up service.
0 24-Hour Emergency Service and Radio Dispatched Service Vehicles.
o Service Technicians participate in weekly customer service, safety and technical
training.
o Preferred Customer Service Agreements available for scheduled and emergency
service.
Pearson Mechanical Services, Inc. - The Easy Choice!
5630 Memorial Ave. N. Suite 1
Stillwater, MN 55082
Main 651-275-1100
Fax 651-275-1107
Providing Service to the Twin Cities Metropolitan Area
Services Provided:
• Sheet metal 24 HOUR SERVICE
• Plumbing We specialize in servicing and
• Heating upgrading non-residential buildings,
• Building Control Systems heating, air conditioning and
• HVAC Service and Maintenance temperature control systems. Our
• Backflow Preventer Testing& service programs were developed by a
Maintenance team of professionals committed to
providing
TENANT solutions that
IMPROVEMENTS reduce client
Customized tenant costs associated
work is another with operating
important part, of our HVAC systems.
service. Frequently, We offer Full-
this involves designing
Coverage,
and drafting special preventative
systems. It also maintenance,
involves plumbing, and customized
Heating,air agreements
conditioning and building controls for backed by 24-hour emergency service.
performance Reviews
new or existing spaces. An essential part of every agreement
BACKFLOW PREVENTION sold is our follow-up,which allows
clients to evaluate us on the services we
Our Backflow prevention program provide. We also ask them to give us
responds to the stricter enforcement of their perceptions,view and comments on
codes that require Reduce Pressure our performance. This confirms they are
Zones(RPZ) and double-check valve consistently receiving the highest
type backflow preventers on water standard of service we have set for them
systems. and ourselves.
Codes require that these systems be Building Efficiency Analysis
checked annually and rebuilt every five This analysis provides and important
years to protect water supplies from starting point to establish services a
contamination. Pearson has the certified client needs to maintain a worry free
technicians to complete this work. operation.
:ontractor
tnical uses a total quality pA
?proach, including cost
rial Ave. N. Suite 1 g, computerized
ter, MN 55082 d dispatching, computer
ind drafting(CADD), to
'51-275-1100 tive and innovative
51-275-1107 our project needs.
Control Systems
-hanical is an authorized
ve of two lines of direct
rols;Novar and Teletrol. We
e installation and service for
>of pneumatic controls. With
ngs, irces,we are able to offer an
lution for each of our
r ' needs. Minimal training is needed to monitor,
I by a systems are flexible enough to operate, and maintain the system.
to it-duty office buildings, Designed as a distributed Direct Digital
I applications, commercial, and Control means the loss of
that nal facilities. We have trained, communication to one module will not
ent
1 technicians that provide both
shut down the entire controls network.
dated ion and service of installed Devices such as lighting, energy usage,
ting phase loss, and card access can be
terns. re based systems enable future monitored and tracked for trending and
ements and assures both upward logging.
Short-term payback is realized due to the
better energy savings control logic.
Extremely low on-going maintenance
ped needs also make DDC systems
i
financially appealing.
i
d downward compatibility. The use of
,one modems allows remoter
onitoring and troubleshooting.
his software is extremely powerful and
-ature-rich, while being simple to use.
CA
5630 Memorial Ave.North Suite 1
Gr ISG, Stillwater, MN 55082
E& Main 651-275-8450
Fax 651-351-0908
Providing Service to the Twin Cities Metropolitan Area
• New Commercial Wiring
• Design Build Construction
• Retrofit application
• Low Voltage wiring
• Control Wiring
• Lighting retrofit
• Residential Wiring
Insured and Bonded In Minnesota and Wisconsin