082790 EDAOFFICIAL FILE COPY
AgeDd~ #9
CITY OFNEWHOPE
4401XYIJ~NA~NO~
HENNEPINODUNTY, MINNESOTA55428
EDA Regular Meeting #9
August 27, 1990
city
President Edward J. Erickson
C~,,LHssioner Gary L'Herault
C~m~issioner Gerald Otten
O.~L.~ssioner Marky Williamson
2.
3.
4.
Se
Roll Call
Approve Minutes of June 25, 1990
Motion to Approve License Agreement Between New Hope/U.S. Swim
P~xtnex~hip and the EDA for New Hope Shopping Center Parking Lot;
Authorizing the Mayor and City Manager to Sign'
Motion ApprovingPayment - Paro's Condemnation - Dismissal of Total
Take EminentDc~ainProcee~i~- $1,958.13
Ju~e25, 1990
City l-~11, 8:25 P.M.
APPROVE
MI/~JI~S OF
MAY 29, 1990
President Erickson called the meeting of the Economic Development
Authority to order at 8:25 p.m.
Present: Erickson, L'Herault, Otten, Enck, Williamson
Motion by Cc~mi~io~ Williamson, seconded by
Otten to approve the ~ minutes of May 29, 1990. All present voted
in favor.
Mayor Erickson ir~_roduced for discussion Item4, Discussion
City Manager, Deun Donahue, stated A3~tc~aus has been discussing with
t_he EDA the proposal to assist them with the development of their
property. Autohaus would like to acqu/re the former Animal Hospital
property and a piece of property frc~ School District 281 with the
City assisting in the financing by offering a low interest loan for
approximately $200,000.
Mr. Donahue indicated the cost of the school district property is
$45,000 and the cost of the Dr. Herman's property is $140,000. He
stated Mr. Thomas Boettcher, President of Aut~haus, is willing to
pay $25,000 which brings the proposal to $160,000. However, there
my be a cost of $35,000 for water drainage correction. Also, the
cost for demolition of the animal hospital building would be $8,600.
Mr. Donahuestat~dtheproposal could beatax increment project
allowing $160-200,000 of financing witha pk-c~isetopayback. He
stated there is $100-150,000 of TIFmonies available. He c~,m~nted
t~t if the finished projectcould provide theCity $10,000 for 15
years therewuuldbeat least $150,000 of increment.
He indicated tb~ City Attorney has reo~muended security of a second
mortgage; however, Mr. Boettcher does not believe that would be
possible.
construction costs for drainage req~ts of the property as
follows:
New Hope FDA
Page 1
June 25, 1990.
Grading/Retaining Wall Imp-~-ovements
Storm Sewer Improvements
Engineering Servioes
Soil Borings
$18,000
10,000
4,500
2,500
$35,000
Mr. ~explainedthat in the late 1970's a 36" storms ewer was
built frcm the intersection of 42ndandWinnetka and flowed into the
Old Dutch Pond in anefforttoeliminate flooding in MemoryPond.
He explained that if Autc/laus is allowed to provide inlet capacity
into the existing storm sewer system, which has a limited amount of
capacity, drainage will be compS. He stated a grading plan
would be developed incorporating a public storm sewer system
assume the neoessary constructic~ to grade the site to subgrade
elevation while storm sewer costs assume a lateral storm sewer
constructed between Autct~us and the school district property to the
Mr. Hanson stated the storm sewer system will be able to capture
contaminants f-,-~ oil spills, etc., from Autohaus and the bus garage
before they get into the wetlands.
Mr. Tc~Boettcher, President ofAutohausofMinneapolis, Inc.,
stated hecanput $25,000 into theproject and is requesting
financing for $160,000. He statedhecouldrepaytheloanat 8 or
8-1/4% over6years rather than 15 years.
C~,a,.issioner Williamson inquired whether the City typically assesses
for store sewer projects. Steve Sondrall, City Attorney, stated the
City does not normally assess properties for storm sewers as it is
difficult to prove benefit for storm sewers. Ms. Williamson stated
Kitchen would benefit by the i~rovement.
to accept a $10,000 assessment to be paid over 15 years. Mr.
Boettcher indicated that it would only amount to $95 per month and
w~uld not present a probl~n.
Mr. Boe~ stated Dr. Herman is anxious to sell his property.
He stated the school board will meet on July 16 and could act on the
proposal at that time.
Mr. Sondrall stated he is concernedwithhowthe arrangement willbe
s~. He stated the $150-200,000 loan wouldbeunsecured.
~he ~ discussed the worst case scenario: the possibility of the
failure of Autohaus. Mr. Boettci~r disagreed that the City would be
giving a totally unseo/red loan. He cumai~nted that $30-40,000 may
be unsecured, but the remaining amount is equal to the property and
New Hope
Page 2
Jurle25, 1990
New Hope EDA
Page 3
the adjacent prOperti~!
Commissioner Enck ccmm~n~ that the parcels would not have to be
sold together and the properties do not have much value if sold
separately, especially without buildings on each.
President Erickson agreed that. the taxpayers should not be exposed
to a possible loss of $160,000;~ however, the money f;-~,~ the TIF fund
for 42nd Avenue w~uld eliminate the total loss of money.
Mr. Sondrall indicated that the proposal should be viewed as a TIF
project where the developer has agreed to pay back the dollars
invested. Although if the business goes under, sufficient increment
would have to continue to be generated by that property to pay TIF
as w~ll as a taxpayer to pay it.
Mr. Donahue stated the project would generate $10,000 to $14,000 of
increment per year.
C~,..~[ssioner Otten remarked that the proposal appears to meet the
TIF criteria.
Mr. Boettcher stated Autohaus has grown frc~ eight employees to 23
employees and anticipates adding six to eight more employees.
President Erickson c~m~nted that he views this as part of the 42nd
Avenue RedeveloFm~nt Project of which thousands of dollars have
already been spent. He stated Mr. Boettcher's plan will upgrade
another property on 42nd Avenue.
Mr. So-ndrall stated a third mortgage would be some sort of security
since it ties into title of the property. He feels the assembled
value of tb~ properties would be sufficient to generate the
Mr. Boettcb~r next stated he is willing to pay the loan in five
years rather than six years. Mr. Erickson stated every year the
City's ~ w~uld decrease so if Autohaus would experience
financ~ difficulties in three years, the City's exposure would
The City Attorney inquired of the date that the second mortgage
would be paid off. Mr. Boettcher stated it will be an indefinite
term as it is collateral rather than something to be paid off. He
stated the second mortgage would allow a credit line with the bank
for $100,000 to $150,000.
Mr. Donahue asked the EE~ for direction on whether to proceed or
not with the proposal. He stated Dr. Herman is anxious to sell his
property, and the school district will not sell its prope~ until
it receives notification that the City will not assess its property
for the storm sewer improvements.
June 25, 1990
C~m~ssioner Enck stated he is not opposed to tbm proposal or to
improving 42nd Avenue and he does believe Mr. Boettcher has a good
business. Hc~=ver, he expressed concern with the fir~anc~,
~ to the TIF, the insecurity of the loan, and the irrefutable
balm that it may do to the City.
President Erickson stated the ~ is only for a few years so
the risk is not that great. He stated the odds are very high that
Autohaus will not experience any financial difficulties.
C~L,,Ldssioner Enck stated the City's financial consultant previously
did not rec,~m,end taking a third mortgage.
Motion made by C~m~,~ssioner Otten, seconded by President Erickson to
With Autohaus, to notify Sd~ol District 281 that there will be no
City's %Hllir~ to negotiate. All present voted in favor.
C~,~issioner Williamson requested a report frc~ Becky Yamisch of
Public Financial Systems and fr~m the City Attorney regarding the
ramifications of obtaining a third mortgage.
Mr. Donahue stated the City's financial advisor will be consulted
prior to any final decisions. He stated the financial consultant
will report o~ the proposal as well as review ~tohaus' financial
statements and position.
C~,~,dssioner Enck requested clarification on whether the foregoing
motion authorized the project. Mr. Donahue stated the FhA has only
authorized staff to proceed with negotiations. He stated the EDA
will have to make a final decision at a later date.
Motion was made by Commissioner Otten, seconded by C~,,,dssioner
L'Herault to adjourn the ~----t/ng. All present voted in favor.
New Hope ~ adjourned at 9:55 p.m.
The
Valerie Leone
City Clerk
New Hc~e EDA
Page 4
Ju~e 25, 1990
EDA
REQUF T FOR ACTION
Orig~gDepartrne~ Approved ~rAgenda AgendaSection
City Manager EDA
8-27-90 Item No.
Kirk McDonald ~
BY:Management Assistant By: 4
MOTION TO APPROVE LICENSE AGREEMENT BETWEEN NEW HOPE/U.S.SWIM
PARTNERSHIP AND THE EDA FOR NEW HOPE SHOPPING CENTER PARKING LOT;
AUTHORIZING THE MAYOR AND CITY MANAGER TO SIGN
Enclosed is the License Agreement and Addemdum to the License
Agreement for construction and maintenance of the City Center
parking lot neXt to Applebee's. The Agreement has been executed by
the owners of the shopping center and Applebee's.
The Council previously passed a resolution awarding the bid for the
construction of the parking lot subject to reaching agreeable terms
for parking lot maintenance. In the Agreement the tenant agrees to
reimburse the EDA for the entire cost of the project and is
responsible for all maintenance of the parking surface, including
sweeping, striping,, snow removal, resurfacing, and/or
reconstruction. The partnership maintains liability insurance for'
personal and property damage. A motion is now needed to approve
the License Agreement and authorizing the Mayor and City Manager to
execute the agreement
Staff recommends approval of the License Agreement for the New Hope
Shopping Center Parking Lot.
MORON BY SECOND BY
TO:
Renew: Admini~rat~n: F~ance:
RFA-O01 ~
CORRICK LAW OFFICES, P.A.
WILLIAM'J. CORRICK
$TEVEN A. $ONDRALL. I~.A.
STEVEN A. SONDRALL
MICHAEL R. LAFLEUR
MARTIN P, MALECHA
WILLIAM C, STRAIT
CORRICK & SONDRALL
LAWYERS
3~1 1 WEST BROADWAY
ROBBINSDALE. MINNESOTA 55422
TELEPHONE (S 1 a) s33-aa& !
FAX (S 12} S33-~',~'43
LAVONNE E. KESKE
SHARON O. DERBY
August 21, 1990
Mr. Daniel J. Donahue
City Manager
City of New Hope
4401 Xylon Avenue North
New Hope, MN 55428
RE:
New Hope Shopping Center Parking Lot
Our File No. 99.11045
Dear Dan '.
Please find enclosed a copy of the License Agreement and Addendum
to the License Agreement for construction and maintenance of the
City parking lot next to Applebee's. The License Agreement and
Addendum has now been signed by the owners of the shopping center
and Applebee's. In fact, they were executed before we
constructed the parking lot.
It came to my attention tha~' the City had not passed a resolution
authorizing yourself and the Mayor to sign the License Agreement
and Addendum despite the fact that we did pass a resolution
authorizing construction of the parking lot. We now need Council
action authorizing you and the Mayor to sign these documents. A
simple motion is all that is required. Can we please have this
matter considered at the August 27th Council meeting?
Very truly yours,
Steven A. Sondrall
slt
Enclosures
cc-
Kirk McDonald, Management Asst.
Valerie Leone, City Clerk
ADDENDUM TO LICENSE AGREEMENT
This is an addendum to that certain License Agreement dated
the 6th day of November, 1989 by and between the Economic
Development Authority in and for the City of New Hope
(hereinafter EDA) and New Hope/U.S. Swim Parntership (hereinafter
Partnership).
WHEREAS, said License_A~=eem~nt was~also signed by Midwest
· b Lcea ~arc rs ·
Restaurant Associates, fu~.~erelna~e~n~ldwest) to show its
consent and agreement to pay the entire cost of improvements to
the Premises, and
WHEREAS, in order to take advantage of the current low bid
for the improvements to the Premises, EDA and Midwest wish to
enter into a further agreement regarding the timing of the
construction of the improvement and payment for the same.
NOW, THEREFORE, IT IS AGREED AS FOLLOWS:
1. As set forth in said License Agreement, Midwest agrees
to pay the entire cost of improvements to the Premises. The cost
of improvements will be the amount of the contract awarded by the
City of New Hope for construction of the same. The amount of the
current base bid of said contract is $19,090.00, as set forth in
the attached Exhibit A. EDA and Midwest acknowledge that the
contract base bid is by unit price, and the final contract amount
and cost of the improvements shall be determined by multiplying
the final measured quantities of the various items actually
constructed and installed by the unit prices stated therefor.
2. EDA will proceed with the construction of the
improvements as soon as possible. Midwest will pay EDA the final
entire cost of said improvements within 10 days of receiving
written notice of that cost from the EDA, or by September 15,
1990, whichever is later.
3. EDA and Midwest acknowledge that the base bid of the
cost of the improvements was originally made in the fall-of 1989.
EDA will exercise reasonable efforts to obtain performance of the
1989 bid. However, in the event the contractor is unwilling to
proceed on the 1989 bid and this project must be rebid, the City.
of New Hope will obtain new bids and EDA will proceed with the
construction as soon as possible, and Midwest will pay the cost
of the construction of the improvements based upon the new bids. *
Dated this L~ day of June, 1990.
*Notwithstanding the foregoing, in the eveht the contractor is
unwilling to proceed on the 1989 b~d, then this Addendum is null
and void. ~ . ~
1
ECONOMIC DEVELOPMENT AUTHORITY IN
AND FOR THE CITY OF NEW HOPE
By
Its Executive Director
By
Its President
2
Bituminous Consultin~ & ContractinK
CONTRACTOR Co., Inc.
$1g,090.00
TOTAL BASE BID
PROPOSAL FOR
CITY CENTER PARKING LOT
PROJECT NO. 453
FILE NO. 34112
NEW HOPE, MINNESOTA
1989
OPENING TIME: 11:30 A.M., C.D.S.T.
OPENING DATE: Monday, October 23, 1989
Honorable City Council
City of New Hope
4401 Xylon Avenue North
New Hope, Minnesota 55428
Dear Council Members~
The undersigned, being familiar with your local conditions, having made the
field inspections and investigations deemed necessary, having studied the
plans and specifications for the work including Addenda Nos. ' 0 and being
familiar with all factors and other conditions affecting the work and cost
thereof, hereby proposes to furnish all labor, tools, materials, skills,
equipment and all else necessary to completely construct the project in
accordance with the plans and specifications on file with your Clerk and
Bonestroo, Rosene, Anderlik g Associates, Inc., 2335 ~. Trunk Highway 36, St.
Paul, Minnesota 55113, as follows:
250 Cu.yds. Common excavation @
Nine DOLLARS .. No CENTS $ .
9.00 /Gu.yd. $ 2,250.00
LUMP SUM
Six Hundred
Remove existing concrete driveway and curb @
DOLLARS No CENTS LUMP SUM ~
600.00
90 Sq.yds. Remove existing bituminous @
Two DOLLARS No CENTS
2.00/sq,¥d. $
180.00
250 Ton Class 5 aggregate base @
Nine DOLLARS Fifty CENTS
9.50 /ton
~ 2,660.00
100 Ton
Nineteen
2331 bituminous base course @
DOLLARS No CENTS
19.00/ton
~ 1,900.00
100 Ton
Twenty-one
2341 bituminous wear course
DOLLARS Twenty-five
CENTS ~ · 21.25/ton
2,125.00
EXHIBIT A
12 Ton Bituminous material for mixture @
One Hundred Fifty DOLLARS No CENTS
50 Gals.
One
450 Lin. ft.
Ten
25 Sq.yds.
Thirty
Bituminous material for tack coat @
DOLLARS No CENTS
B612 concrete curb and gutter @
DOLLARS No CENTS
l 0.00/ton t
1.00 , / al. $
10.00 /lin.ft= ~
6"'thick concrete driveway pavement w/66x1010 mesh
DOLLARS No CENTS $ 30:O0/~fl.yd
75 Sq.ft. 4" thick concrete sidewalk/valley gutter @
Three DOLLARS No CENTS ~
500 Sq.yds. Sod with 3" topsoil @
Three DOLLARS Fifty CENTS ~ ..
LUMP SUM
Three Hundred
Parking lot and lane stripping
DOLLARS No
3.00 ' /s.q.ft. $
3.5o / q.yd.
CENTS LUMP SUM $
1,800~00
50.00
4,500.00
750.00
'225.00
1,750.00
300.00
TOTAL BASE BID .............................. $
19,090.00
The final amount of the contract shall be determined by multiplying the final
measured quantities of the various items actually constructed and installed by
the unit prices stated therefor, in the manner prescribed in the specifica-
tions. However, the low bidder shall be determined by adding the sums result-
ing from multiplying the quantities stated by the unit prices bid therefor.
Accompanying this bid is a bidder's bond, certified check or cash deposit in
the amount of Five Percent (5Z) 0F DG~AR$ amount bid GENTS- ($ )
which is at least five percent (5Z) of the amount of my/our bid made payable
to the City of New Hope, Minnesota, and the same is subject to forfeiture in
the event of default on the part of the undersigned or failure on the part of
the undersigned to execute the prescribed contract and. bond within fifteen
(15) days after its submittal to me/us.
In submitting this bid it is understood that the Owner retains the right to
reject any and all bids and to waive irregularities and informalities therein
and to award the contract to the best interests of the Owner.
In submitting this bid it is understood that payment will be by cash or check.
LICENSE AGREEMENT
THIS AGREEMENT is entered into this
day of
1989, by and between The Economic Development Authority in and
for the City of New Hope, Minnesota, a Minnesota municipal
corporation (hereinafter the EDA) and New Hope/U.S. Swim
Partnership, (hereinafter Partnership).
WHEREAS, the EDA is the fee owner of certain real property
located in Hennepin County, Minnesota and legally described in
the attached Exhibit A (hereinafter the Premises); and
WHEREAS, the Partnership operates a shopping mall located
adjacent to the Premises; and
WHEREAS, the Premises are suitable for use as a parking
area for customers of the Partnership, and
WHEREAS, the EDA and the Partnership wish to reach an agreement
by which the EDA licenses the Partnership to use the Premises.
NOW, THEREFORE, IT IS AGREED AS FOLLOWS:
1. Use of the Premises. The EDA agrees to license and
allow the Partnership to o6cupy the Premises for parking by
Partnership customers. No other use is authorized by this
Agreement without the written consent of the EDA. The
Partnership will not be allowed to erect any buildings or make
improvements upon.the Premises without the consent of the EDA.
The EDA does consent to the improvement and maintenance of the
Premises as a parking facility to serve tenants of the
Partnership and more specifically, customers of the Applebee's
Neighborhood Grill'& Bar.
1
2. Payment for Improvement of the Premises. In
consideration for this Agreement, a tenant of the Partnership,
Midwest Restaurant Associates, Ltd., agrees to reimburse the EDA
for the entire cost of the improvement of the Premises so the
same will be suitable for the use specified above. The cost of
the improvement will be the amount of the contract awarded by the
City of New Hope for construction of the same.
3. Maintenance. The Partnership shall be responsible for
the completion of and payment for all maintenance associated with
the Premises, including responsibility to maintain the parking
surface of the Premises in a good.and businesslike condition.
This shall include but not be limited to sweeping, striping, snow
removal, resurfacing or reconstruction of the parking surface.
Reconstruction or resurfacing of the parking area will be done
when necessary in the opinion of the New Hope City Engineer.
4. Insurance. During the term of this Agreement, the
Partnership shall maintain public liability insurance in the
amount of $500,000.00 per person, $100,000.00 per occurrence for
personal damage, and $100,000.00 for property damage. The
Partnership shall provide the EDA with a Certificate of Insurance
listing the EDA as an insured party on said policy and providing
for 30 days written notice to the EDA in the event of non-renewal
or cancellation of the insurance coverage.
5. Indemnification. The Partnership will indemnify the
EDA and its agents and employees against, and hold the EDA, its
agents and employees harmless from~any and all demands, Claims,
2
causes of actions, fines, penalties, damages (including
consequential damages), losses, liabilities, liens, mechanic's
liens, judgments and expenses (including, without limitation,
attorney's fees and court costs) incurred in connection with or
arising from:
a. The use or occupancy of the Premises by the
Partnership or any person claiming under the Partnership;
b. Any activity, work or thing done or permitted or
suffered by the Partnership in or about the Premises
including all maintenance activity;
c. Any acts, omissions or negligence of the
Partnership or any person claiming under the Partnership, or
the contractors, agents, employees, invitees or visitors of
the Partnership, or any such person;
d. Any breach, violation, or non-performance by the
Partnership or any person claiming under the Partnership or
the employees, agents, contractors, invitees or' visitors of
the Partnership, or any such person of any term, covenant,
or provision of this Agreement or any law, ordinance, or
governmental requirement of any kind; or
e. Except for loss of use of all or any portion of
the Premises or the Partnership's property located within
the Premises which is proximately caused by or results
from the gross negligence of the EDA, any injury or damage
to the person, property, or business of the Partnership, its
employees, agents, qontractor~, invi%ees, visitors or any
other person entering upon the Premises under the express or
implied invitation of the Partnership.
6. Assiqnment. The Partnership's interest in this
Agreement shall not be assigned, mortgaged, or otherwise
encumbered or transferred, without the written consent of the
EDA. The EDA agrees that said consent will not be unreasonably
withheld.
7. Term/Renewal. This Agreement shall run for a term of
ten years beginning upon the date of this Agreement, and upon the
end of initial ten year term, the Partnership may renew this
Agreement for an additional eight ten-year periods if the
following conditions are met:
a. Notice. The Partnership delivers to the EDA
in writing notice of its intent to renew the term of this
Agreement by the additional ten year period, which notice
must be received by the EDA prior to the expiration of the
then existing Agreement term.
b. Default.. The Partnership is not in default
under any of the terms of this Agreement.
c. ~e_~e. The Partnership shall pay a one ($1.00)
dollar license fee for each year the license agreement is in
effect. Said fee shall be paid at the beginning of each ten
year license period.
d. Cancellation. The EDA may cancel this
Agreement at any time for any purpose upon sixty (60) days
written notice to the Partnership. In the event this
Agreement is cancelled,~the EDA shall reimburse the
Partnership on a pro rata basis for maintenance expenditures
made by the Partnership pursuant to paragraph 3 of this
Agreement during the 10 year term in which the cancellation
notice was received. All reimbursable expenditures must be
documented in writing and supported by written receipts of
the persons or entity providing the service or work for
which reimbursement is requested. The reimbursement request
must be in writing and served on the EDA within 90 days from
the date of the Partnership's receipt of the notice of
cancellation otherwise it shall be hereby deemed that the
Partnership has waived its right to reimbursement hereunder.
8. Condemnation. In the event of a complete taking of the
Premises by eminent domain, this Agreement and any options to
renew shall terminate upon the commencement of the condemnation
action, and the Partnership shall not be entitled to any part of
the condemnation award of damages. Upon the taking of a part of
the Premises by eminent domain, this Agreement shall continue for
that portion of the Premises not taken as a result of the
condemnation and the Partnership shall not be entitled to any
part of the condemnation award of damages.
9. Default. If the Partnership is in default under any of
the terms of this Agreement and has not cured said default within
30 days after written notice of the existence of the default by
the EDA, this Agreement shall terminate and the Partnership shall
forfeit all right and interest in ~his Agreement to the EDA.
5
Failure of the EDA to immediately notify the Partnership of a
condition of default does not waive the right of the EDA to
notify the Partnership of said condition of default at a later
date and to require curing of the default. Additionally, failure
of the EDA to notify the Partnership of a condition of default
shall not in any way reduce the Partnership's liability for the
condition of default. Termination of this Agreement shall not
waive or release the Partnership from any of its obligations
under this Agreement prior to termination, including but not
limited to, its obligations in paragraphs 2, 3, 4, 5, 7 and 9.
10. Upon the expiration or termination of this Agreement,
the Partnership shall quietly yield and surrender the Premises to
the EDA.
ll. For the purposes of notice, the following shall be the
addresses for the parties:
a. Economic Development Authority in
and for the City of New Hope
4401 Xylon Avenue North
New Hope, MN 55428
ATTN: Daniel J. Donahue
b. New Hope/U.S. Swim Partnership
Limited Partnership
12. MidweSt Restaurant Associates, ~ signs this
Agreement only to show its consent and agreement to pay
the entire cost of improvements of the Premises, and by its
signature below does not assume any other duty or liability, or
expect any benefit, with respect to this Agreement, other than
duties or benefits connected with its use of the Premises as a
tenant of the Partnership. ~'
6
ECONOMIC DEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF NEW HOPE
By
Its Executive Director
By
Its President
STATE OF MINNESOTA )
) ss
COUNTY OF HENNEPIN )
MiDWES~RESTAU~ANT ASSOCIATES,x~R.
LIMITED~P~!~RSHIP
of
Midwest Restaurant Associates,
Its General Partner
The foregoing instrument was acknowledged before me this
day of , 1989, by
and , the Executive Director and
President respectively, of The Economic Development Authority in
and for the City of New Hope, Minnesota, a Minnesota municipal
corporation, on behalf of said corporation.
STATE OF MTNNEMQ~A
Notary Public
)
) ss
COUNTY OF H~NN~-IN ) e.~z~ Cff~-Zd
The for~ggSng instrument was acknowl~ed bef~r~ me this
~ day of '~L/~/F,LL~/~'~'L.~/, 1989, by ~~ ~~L~L~~
the/)~ ~zz2~z~)z~/~.~/~.~ ~f New Hope/~ S. Sw~Partnership,
Partnership, o~ behalf 'of said Par~nershi~~
· .~ot ary .Pubi i~f/ '
STATE OF MINNESOTA )
)
COUNTY OF HENNEPIN )
SS
The foregoing was acknowledged before me this 29th day of
June, 1990, by Michael L. Snow, the Vice President of Midwest
Restaurant Associates, Inc., a Minnesota corporation, the General
Partner of Midwest Restaurant Associates, Limited Partnership, a
Minnesota limited partnership, on behalf of said limited
partnership.
Notar~/~ublic
EXHIBIT
THAI' PART OF TIlE WEST HALF OF I'HE NO;ITl'lEAST QLIARI'Erl OF THE NORTIIEASI' QUARTER,
SECTION 18~ TOWNSHIP 118~ RANGE '~1 DESCRIBED Al' BEGINNING AT THE SOUTHEAST CO~NE~
OF SAID WEST HALF OF l'ttE NORI'HEAST QUARTER OF I'HE NORTHEAST QI]A~TE~; THENCE NO~I'II
ALONG THE EASI~ LINE OF SAID YESI' HALF OF l'tlE NO'TI'lEAST QUA~TE~ OF THE NO'TI'lEAST
QUARTER A DISTANCE OF 165 FEET; THENCE WEST PARALLEL TO THE SOUTH LINE OF SAID
WEST HALF OF THE NORTHEAST QUARTER OF THE NORTHEAST 9UARTER A DISTANCE OF 88.5
FEET; THENCE SOUTH'PARALLEL TO THE EAST LINE OF SAID WEST HALF OF THE NORTHEAST
QUARTER OF THE NORTHEAST ~IJARTER A DISTANCE OF 165 FEET TO TttE SOUTH LINE OF ,SAID
WEST HALF OF THE NORTHEAST QUARTER OF I'HE NOR'I'I. IEAST QUARTER THENCE EAST TO ]*HE
POINT OF 'BEGINNING, ACCORDING TO THE GOUERNMENT SURUEY THEREOF.
EDA
REQUEST FOR ACTION
O~gmatmgDep~e~
City Manager
Dan Donahue
Approved fo{-Agenda Agenda Section
EDA
7- 9 0 Item No.
By: 5
/
MOTION APPROVING PAYMENT - P~O'S CONDEMNATION - DISMISSAL OF TOTAL
TAKE EMINENT DOMAIN PROCEEDING - $1,958.13
The City has received a billing statement for attorney's fees in
the amount of $1,958.13 in connection with the City's dismissal of
the Paro's Pub condemnation action. State law provides that a
property owner is entitled to payment of reasonable costs including
attorney's fees if a condemning authority dismisses or abandons an
eminent domain proceeding. The City did that in connection with
this property. The City Attorney has reviewed the statement and
has determined the fee to be reasonable and recommends approval of
the payment.
Staff recommends approval of a motion approving payment.
MOTION BY
TO:
SECOND BY
Review: Administration: Finance:
RFA-O01
CORRICK LAW OFFICES. P.A.
WILLIAM J. DORRICK
STEVEN A. SO.NDRALL, P.A.
STEVEN A. SONDRALL
MICHAEL R. LAFLEUR
MARTIN P. MALECHA
WILLIAM C. STRAIT
CORRICK & SONDRALL
LAWYERS
· e~ ~ WEST SROADW^Y
ROBBINSDALE. MINNESOTA 55422
FAX 1612) 533-2243
LE~&L ASSISTANTS
LAVONNE E, KESKE
SHARON D, DERBY
August 21, 1990
Mr. Daniel J. Donahue
City Manager
City of New Hope
4401 Xylon Avenue North
New Hope, MN 55428
RE:
Paro's Condemnation - Dismissal of Total Take Eminent Domain
Proceeding
Our File No. 99.53007
Dear Dan:
Please find enclosed a billing statement for. attorney's fees from
Attorneys Richard and Bradley Gunn. This billing statement is in
connection with the City's dismissal of the Paro's Pub
condemnation action.
Minn. Stat. Chapter 117 provides that a property owner is
entitled to payment of reasonable costs including attorney's fees
if a condemning authority dismisses or abandons an eminent domain
proceeding. As you know, we did that in connection with this
· property.
I have reviewed'the enclosed billing statement and have
determined that it is a reasonable fee and recommend that the
billing be paid. If you agree, the matter should be placed on
the August 27th City Council agenda. A simple motion by the
City Council approving the payment would be the required action
by the City Council.
If you have any questions, please do not hesitate to contact me.
Very truly yours,
St~. Sondrall
slt
Enclosure
LAW OFI='ICEB
(:~UNN & GUNN, LTD.
6"~B PEAVEY BUILDING
730 SECOND AVENUE SOUTH
MINNEAPOLIS, MN 55402-2473
AU6 0 1_ 1990
July 31, 1990
Mr. Steven A. Sondrall
Attorney at Law
Corrick & Sondrall
3811 West Broadway
Robbinsdale, MN 55422
Re:
Economic Development Authority iD add for the city
of New Hope v. David N. Lask¥, et al.
Court File No. CD-2141
Dear Mr. Sondrall:
Since the City has decided to dismiss the total take of
Mr. Lasky's property, I am enclosing a bill in the amount of
$1,958.13 for attorneys' fees and costs pursuant to Minn. Stat.
§ 117.195. The attached printouts will hopefully clarify the
portion of the fee allocable to the total take. As you will see,
in a number of cases I reduced the hourly totals by one-half
because the work arguably related equally to the total take and the
partial take. Please feel free to call me if you have any
questions.
Very truly yours,
GUNN & GUNN, LTD.
BJG:clp
Enclosure
xc:
David Lasky (w/enc.)
AUG 2 I lgg0
STATE OF MINNESOTA. ?/!--~i'~]· DISTRICT COURT
· ~ ~' FOURTH JUDICIAL DISTRICT
COUNTY OF HENNEPIN ' tS~UG. 2,., ~"~ 2: ~S
Authority in and for the '"'~'°~A~{~
City of New Hope, Minnesota
a Minnesota municipal corporation,
Petitioner,
vs. ORDER.
David Ni~ Lasky, Elayne R.
Lasky, Paro, Inc., a
corporation, Ropas, Inc., a
Minnesota-corporation,
County of Hennepin, MINNEGASCO,
INC., a Minnesota corporation,
Northwestern Bell Telephone
Company, d/b/a US WEST
Communications, an Iowa
corporation and Northern States
Power Company,.a Minnesota
corporation,
Respondents.
CD - 2141
Case Type: Condemnation
IN THE MATTER OF
THE CONDEMNATION OF CERTAIN REAL ESTATE
IN THE COUNTY OF HENNEPIN,
STATE OF MINNESOTA, FOR CARRYING OUT A REDEVELOPMENT PROJECT
PURSUANT TO THE SUCCESSFUL IMPLEMENTATION OF REDEVELOPMENT PLAN 85-2
This matter came on before The Honorable Jonathan Lebedoff,
Judge of Hennepin County District Court, on the 16th day of
August, 1990, pursuant to a Notice of Motion and Motion of the
Economic Development Authority in and for the City of New Hope
requesting dismissal of the herein condemgation action.
Petitioner appeared by it~ attorneY, Steven A. Sondrall, Esq. of
1
the firm of 'Corrick & Sondrall, a~partn~ship of professional
C0rporations, -3811 West Broadway, Robbinsdale, MN 55422.
Respondents.
appeared by their attorneys,
Having heard the evidence adduced at the hearing'and, the
arguments of counsel, and based on all files and records herein,
IT IS HEREBY ORDERED that the herein Petition be dismissed
without prejudice,'that all respondents are free to pursue their
remedies under Minnesota Statute Chapter 117 and that the
Commissioners in this matter are hereby discharged.
Dated: ' , 1990.
/~Ona~than ~bedoff ~
RICHARD J. (3UNN
BRADLEY J. GUNN
MICHELLE J. ULRICH
OF COUNSEL
LAW OFFICES
GUNN & GUNN, LTD.
730 SECOND AVENUE SOUTH
MINNEAPOLIS, MN 55402-2473
July 31, 1990
Mr. Steven A. Sondrall
Attorney at Law
Corrick & Sondrall
3811 West Broadway
Robbinsdale, MN 55422
FOR PROFESSIONAL SERVICES
For legal services rendered on
behalf of David Lasky in
connection with the matter
entitled EDA in and for the City
of New Hope v. David Lasky, et'al.,
Court File No. CD-2141.
Attorney's Fees:
Richard J. Gunn
(1.35 hr. @ $200 per hour)
Bradley J. Gunn
(10.90 hrs. @ $150 per hour)
Out-of-Pocket Expenses:
Filing Fee (half of original
fee)
Photocopies
TOTAL AMOUNT DUE
$ 270.00
1,635.00
$ 44.00
9.13
$1,905.00
53.13
Please refer to File No. 1.3912-1 on your remittance.
7/27190 23:45:5! GUNN & GUNN LTD. PAGE
100 B13~ RELIEVED SERVICES & DISBURSEMENTS DETAIL
THRU TODATE
CLIENT: 1.391Z LASKY CO#PANY OPENED:
HATTER: 1 CON~E#NATION OPENED:
INVOICE: 13582 DATED: 11108~89 FOR: S107o75
CASE TYPE: ENINENT DOMAIN
BILL/NG ATTORNEY: RICHARD I GUNN RESPONSIBLE ATTORNEY: HALOID H SflEFF
ENTRY # CHECK # DATE NAHE I SERVICES HOURS AflOUNT
709947-1 ?/lZ/89 RJ GUNN (T)U/ DAVE L. .I0
710178-5 9/18/89 BJ GUNN ATTEND HEARING ON PCT
'17'
NAT_TER 1 !
INVOICE: 13612
GUNN & GUNN LTD.
RELIEVED SERVICES & DZSSURSEHENTS DETAIL
THRU TODATE
PAGE 1
LASKY COHPANY
DATED: 12/12/89 FOR: S466o63
OPENED: 41/13/88
AMOUNT
CASE TYPE: EIqlNENT DOIqAZN
B.T LLZ.HG ATTOR~EY.-
RF~EY: H~J~OLD H SHEFF
ENTRY # CHECK # DATE NAHE I SERVICES
HOURS
71o:3:)7-8 11/01/89 RJ GUNN (T) It/DAVE LASKY*.
71~331-.7 11/0:3/89 RJ GUNN ATTN CORRESP & ZNqS .10
t .'~" 7103:31-1 1.1./0:3/.09' RJ GUNN_ (T)M/--ILB__ ' ' - 10
710:322-8 11/04/89 RJ 6UNN ATTN PET.~ ORDER ETC .10
71035:3-7 11/06/89 RJ 6UNN (T) IL/O,, L, ASKY .10
710:357-$ 11/08/89 R~I GUNN
TO PAROS &, yZEbt & CC) IL/ Gq GOODLUND & D,, i~ I/~..
LASKY .:..
7104101-3 11/08/89 B~ GUNN TEL IIlSONDHALL; 'NOTE TO R,JG .15
;,~.___Z.1Q~.Ol-9_ 12/~o/~9 nj GUNN TEL MILASKY
710355-6 11/11/89 RJ GUNN ATTN CORRESP. DOC .10
710375-1 11/15/89 RJ GUNN (D) TO STEVE So: (D) TO
MOT][QN
710419-?, 11/~9/89 RJ GUNN (T) WID. LASKY: (~) TO CI'TY ATTY
~ TOTAL 2-410
13 PHOTOCOPIES
COPIES
13'i 710:372-8
2o!
27~
,'FI
13~I
i';:,.c
7121190 23:45:51 PAGE 1
100 B134
GUNN & GUNN LTD.
RELZEVED SERVZCES & DZSBURSENENTS DETAZL
THRU TODATE
q~s ~tl
CLZENT: 1.3912
R &TZ.E_R: 1
ZNVOIrCE: 13662
LASKY COMPANY
C O_ILP_EI~ & T ZP.N
DATED: 2106190
FOR: S535.00
CASE TYPE: ERZNENT DORAZN
~G AT_T_GRflE. Xt RZCI{AILD J GU. HN ,
ENTRY # CHECK # OATE NANE
710574-0
SERVZCES
R£SP..O,~L,$../J~L~,_,J~_T_ORNEY.~J.D H SHEF F
HOURS
1123/90 Rd GUNN
1/2&/90 RJ GUNN
1/Z4/9~.__IIJ GUNN
1/Z5/90 BJ GUNN
· 1/26190 BJ GUNN
(T)t~/ SHERYL ORAN
710577-2
710589-4
710589-7
710590-8
710591-0
1/30/90 BJ GUNN
CT)H/ LASKY & NENO TO BJG
RV_.HE_EROM
NEET W/LAS'KY & VIEH PROP; RV GOODLUNO
APPRAZSAL
TEL WlLASKY; RV GOODLUND APPRAZSAL
MEET W/LASKY; RV FZLES; TEL W/ SONDRALL
, 1.50
/~ .20'I ')
14.oo/ ~.
1/29/90 BJ GUNN
1 / ~119 O...__..B.J G.Uff~N
TEL tJ/LASKY '.
TEL_
TOTAL
10.95
OPENED= 4113/88
OPE.KED.:._~I.:]_/.SL_
;71
AMOUNT ,~,
OLDES_T --, 1
NEMEST: 1/31/90
NANE
6U#flo RZCHARD
GUNN, BRADLEY
TOTAL SERVZCES
..JO
10.~5
10.95
:4(,I
'72,
tl 7/27190 23:45:51
~ 100 9134
CLIENT: lg~g12
flATTER; 1
· INVOICE: 13675
GUNN & GUNN LTD.
RELIEVED SERVICES & DISBURSEHENTS DETAIL
THRU TODATE
PAGE 1
LASKY COflPANY
CONDERNATION
DATED: 3/06/90 FOR: S1,712.00
CASE TYPE: EHINENT DOflAIN
OPENED: 4/13/88
8ZLLZNG. ATTORNEYz RICHARD J
ENTRY # CHECK
710619-2
710619-7
710620-4
710621-8
710623-2
710623-6
RESPONSIBLE ATTORNFY: HAROI.J)
DATE NANE 1 SERVICES HOURS
2/01J90 8J GUNN RS CONSDXD OF CASES
2/02/90 8J GUNN TEL YlLASKY '
ZlO~/90~.J GUNN TEL Y/LASKY; TE~ ~/juDG~ ~EQEDOF'F; RS.
*CONSOLIO
2/06/90 8J GUNN TEL H/LASKY; TEL N/ JUOGE'S CLERK; TEL
U/PROVO; RS & MO CONSOLID flOTZON
2/07/90 BJ GUNN TE~ ~IPROVOeS.ASS'T DR NOTION PAPERS. FOR 1.$0
REASSZGNHENT
2/08~90 B4~G~NId TEL YI~ZTY HA#~GER; OR NoTIcE' OF flOTX~N & 2.00
HQTION AFFID OF 8JG~ & ORDER; RV & RD
DOCS.
2/08/90 9J GUNN TEL #/flICHALES* ASSET; DR LETTER TO/
#ICHALES
2/09~90 6J GUNN ~ RV & RD flOTION PAPERS; ATTN FILING & .43
SERVICE
2/1&/90 BJ GUNN TEL M/ LA~KY ~c
2/15/90 RJ GUNN (T) N/ BJG
2/15/90 8J GUNN
2/15~90 BJ: GUNN
2/16/90 8J.GUNN
2/~Z,/90 eJ GUNA
2/23/90 BJ GUNN
2/23190 RJ GUNN
TEL ~/flEYER
2 TEL H/ SONDRALL
TEL ~I'SONDRALL 8 NICNALESe ASS*T
2 TEL U~J~A_~KY;'TEL #/SO~DRALL ,
3 TEL UILASKY; TEL ~/SONDRALL; TEL~
~/flICHALES & SONDRALL; RV FILE
(T) ~/ OS & CEL CC) #/ BJG
RV FiLE & PREP FOR HEARING
ATTEND HEARZNG BEFORE PROVO; TALK ~/LASKY
TEL IJ~RUPPERT
TEL ~/SRITH
71 0624-2
710625-1
710637-0
710628-0
710637-8
710639-3
710656-1
710660-0
710659-S
710652-1
710658-6
710658-7
710658-2
710661-9
2125/90 BJ GUNN
2/26/90 8J GUNN
2/27/90 BJ 6UNN
2/28/90 BJ GUNN
TOTAL 11.20
12 CASH DISBURSEHEHTS
'
710626-0 27003 2/09/90 AA VASGUEZ H.C. COURT ADHIN. - FILING FEE
TOTAL
88.00
S88o00 ,~,
NA#E
OLDEST: 2/01/90 GUNN, RICHARD J
NEWEST: 2/28/90 GUNN, BRADLEY Jo 10.75
TOTAL SERVICES 11.20
TOTAL DISBURSEHENTS S88.00
7127190 23:45:S1
100 BlS&
HATTER~ 1
INVOICE: 13680
LASKY CO#PANY
DATED: &/04/90
GUNN & GUNN LTD.
RELIEVED SERVICES & DISOURSENENTS DETAIL
THRU TODATE
FOR: S194.75
PAGE 1
OPENED: 4113188
OPENEP_:_._/L/_l~Z88
CASE TYPE: EHZNENT DORAIN
BZLLZNGATTORNE.~:__RZ£HARD J GU~4N '
ENTRY J CHECK # DATE NANE
710687-? 3/06/90 BJ GUNN
I SERVICES
TEL W/ LASKY
710689-0
71.0691-9
710714-3
71 o~71:)-3
71 o71o- 5
3108190 BJ GUNN
3119190 BJ GUNN
3121/90 BJ GUNN
3/27/90 BJ GUNN
DR LETTER TO LASKY
ZELWl SOND~A~._LETTEETO NZCHAELS/
ATTN STIR EXTEND CONN'R FILING TINE;
DR LETTER TO SONDRALL
TEL WI ~ASKY
TEL WI SONDRALL
RF,S~JNSIBLE ATTPEI~r.Z.L~KOJ. JL~FF
HOURS ANOUNT
710682-8
3/08190 CL LANNER S
13 PHOTOCOPIES
TOTAL
1~3Q
COPIES
710731-4
7107S1-1
OLDEST: 3106/90
NENEST: 31~7190
371919Q CL LANNERS
TOTAL
TOTAL SERVICES
TOTAL DISBURSEHENTS
lo ~.~o
6 1 ..sO
9 2-2r, _
25 S6.25
· 1.30
:2,:ii
S6..25
'eeJ
~7~
721
/Z._.;/,
/'1