042505 EDAOfficial File Copy ----
CITY OF NEW HOPE
EDA MEETING
City Hall, 4401 Xylon Avenue North
April 25, 2005
EDA Meeting will commence upon
adjournment of the City Council Meeting
President Martin Opem Sr.
Commissioner Mary Gwin-Lenth
Commissioner Andy Hoffe
Commissioner Karen Nolte
Commissioner Steve Sommer
2.
3.
4.
Call to order
Roll call
Approval of regular meeting minutes of April 11, 2005
Resolution ordering published notice and scheduling public hearing to approve sale
of 7500, 7516, and 7528 42"d Avenue North to Frey Development and Manley Land
Development, LLC (improvement project no. 740)
Adjournment
CITY OF NEW HOPE
4401 XYLON AVENUE NORTH '
NEW HOPE, MINNESOTA 55428
EDA Minutes
Regular Meeting
April 11, 2OO5
City Hall
CALL TO ORDER
ROLL CALL
APPROVE MINUTES
IMP. PROJECT 740
Item 4
EDA Meeting
Page I
President Opem called the meeting of the Economic Development Authority
to order at 8:48 p.m.
Present:
Martin Opem Sr., President
Andy Hoffe, Commissioner
Karen Nolte, Commissioner
Steve Sommer, Commissioner
Absent:
Mary Gwin-Lenth, Commissioner
Staff Present:
Dan Donahue, City Manager
Shari French, Director of Parks & Recreation
Valerie Leone, City Clerk
Kirk McDonald, Director of Community Development
Shawn Siders, Community Development Specialist
Steve Sondrall, City Attorney
Vince VanderTop, Assistant City Engineer
Motion was made by Commissioner Sommer, seconded by Commissioner
Hoffe, to approve the Regular Meeting Minutes of March 28, 2005. Voting
in favor: Opem, Hoffe; Nolte, Sommer; Voting against: None; Abstained:
None; Absent: Gwin-Lenth. Motion carried.
President Opem introduced for discussion Item 4, Resolution authorizing
approval of a term sheet between the New Hope Economic Development
Authority and Frey Development and Manley Land Development, Inc. for
the redevelopment of 7500-7528 42na Avenue North of the former Electronic
Industries site (improvement project no. 740).
Mr. Shawn Siders, community development specialist, noted staff reviewed
the proposed redevelopment plans to the EDA at its March 28 meeting. He
stated formal approval of the term sheet is required by the EDA. Mr. Siders
reviewed the terms of the development:
Land acquisition price $510,000.
· Brokerage fees - to be paid by Frey Development and Manley Land
Development, Inc. and developers to provide city with indemnification
agreement against brokerage fees.
· Property is being transferred in an "as is" condition.
· Buyer must receive all planning approvals prior to closing.
· Buyer will obtain necessary approvals from the Minnesota Pollution
Control Agency (MPCA) prior to closing.
· Buyer will provide cross easements for shared access and parking for all
April 11, '2005
EDA RESOLUTION
05-01
Item 4
ADJOURNMENT
EDA Meeting
Page 2
tenants on the entire site.
Buyer agrees to pay all fees associated with the redevelopment of this
site.
President Opem pointed out that the developer will pay a storm water fee in
lieu of an on-site pond.
Commissioner Sommer commented that the sale of the property is for
$510,000 in an "as is" condition and the city has no further obligation
beyond the sale of the property. He conveyed great satisfaction that the
developer will undertake the project with no city funding assistance.
The EDA expressed support for the development (eight office
condominiums and the Viva Italia restaurant). Mr. Siders stated the
development will be featured in the next edition of the Business Link
newsletter.
Mr. Kirk McDonald, director of community development, pointed out that
the project will be presented to the EDA/City Council at future meetings as
the developer seeks approval of site and building plans. He also noted a
public hearing will be necessary for conveyance of the land.
City Manager Donahue conveyed his appreciation to Mr. McDonald and the
community development staff for their efforts relating to this property
redevelopment. He commented that it has taken several years to resolve the
multitude of past problems associated with the property. The EDA joined
Mr. Donahue in expressing their appreciation to the community
development staff.
Commissioner Sommer introduced the following resolution and moved its
adoption: "RESOLUTION AUTHORIZING APPROVAL OF A TERM
SHEET BETWEEN THE NEW HOPE ECONOMIC DEVELOPMENT
AUTHORITY AND FREY DEVELOPMENT AND MANLEY LAND
DEVELOPMENT, INC. FOR THE REDEVELOPMENT OF 7500-7528 42~D
AVENUE NORTH OF THE FORMER ELECTRONIC INDUSTRIES SITE
(IMPROVEMENT PROJECT NO. 740)." The motion for the adoption of
the foregoing resolution was seconded by Commissioner Nolte, and upon
vote being taken thereon, the following voted in favor thereof: Opem, Hoffe,
Nolte, Sommer; and the following voted against the same: None; Abstained:
None; Absent: Gwin-Lenth; whereupon the resolution was declared duly
passed and adopted, signed by the president which was attested to by the
city clerk.
Motion was made by Commissioner Nolte, seconded by Commissioner
Hoffe, to adjourn the meeting. All present voted in favor. Motion ca,-tied.
The New Hope EDA adjourned at 8:52 p.m.
Valerie Leone
City Clerk
April 11, 2005
EDA
] REQUEST FOR ACTION
Originating Department Approved for Agenda Agenda Section
Community Development /,,~. 4-25-05 EDA
~ Item No.
By: Kirk McDonald, Director of CD By:
Shawn Siders, CD Specialist 4
RESOLUTION ORDERING PUBLISHED NOTICE AND SCHEDULING PUBLIC HEARING TO APPROVE,
SALE OF 7500, 7516 AND 7528 42Nv AVENUE NORTH TO FREY DEVELOPMENT AND MANLEY LAND
DEVELOPMENT, LLC (IMPROVEMENT PROJECT NO. 740)
REOUESTED ACTION
Staff is requesting EDA approval of the attached resolution publishing notice and setting a public hearing
date for the sale of the city owned property at 7500, 7516 and 7528 42nd Avenue North (former Electronic
Industries). If the attached resolution is approved, the public hearing will be held on May 23, 2005.
POLICY/PAST PRACTICE
City goal #2 is to emphasize the maintenance and redevelopment of commercial and residential properties
witlTin the city.
BACKGROUND
At its meeting of April 11, 2005, the Economic Development Authority approved a term sheet with the
proposed developers of the property. The terms of the sale are as follows:
o Land Acquisition Price - $510,000;
o Brokerage Fees - To be paid by Frey Development and Manley Land Development, Inc.
Developers to provide city with indemnification agreement against brokerage fees;
o Property is being transferred in an "as is" condition;
o Buyer must receive all planning approvals prior to closing;
o Buyer will obtain necessary approvals from the Minnesota Pollution Control Agency (MPCA)
prior to closing;
o Buyer will provide cross easements for shared access and parking for all tenants on the entire site;
o Buyer agrees to pay all fees associated with the redevelopment of this site.
Since that meeting, city staff has met with the proposed developer and they have indicated that
redevelopment plans will be submitted with a planning application on May 13, 2005 which would initiate the
formal planning process, with the plans presented for consideration at the June 7 Planning Commission
MOTION BY .~U~,i~-~Q Oj2L SECOND BY _~O/)/d~x~4--
/
I: \ RFA \ PLANNING \ Electronic Industries \ Schedule Public Hearing.doc
Request for Action Page 2 April 25, 2005
meeting and the June 27 City Cotmcil meeting. During the city's approval process, the developers will work
with MPCA to obtain the necessary approvals to redevelop the site. If the redevelopment plans are submitted
on May 13, 2005, the developer could potentially initiate site preparation work in July 2005.
RECOMMENDATION
Staff recommends the EDA approve the attached resolution scheduling the public hearing for the sale of the
city owned property at 7500, 7516 and 7528 42nd Avenue North.
ATTACHMENT
o Resolutii)n
o Public Hearing Notification
RESOLUTION NO.
RESOLUTION CALLING FOR A PUBLIC HEARING
REGARDING PROPOSED TRANSFER OF REAL PROPERTY
(7500, 7516 and 7528 42~d Avenue North)
WHEREAS, the Economic Development Authority in and for the City of New Hope (the
"EDA") is currently the owner of that certain real property located at 7500, 7516 and 7528 42na
Avenue North (hereafter referred to as the "redevelopment area"); and
WHEREAS, the EDA has entered into a contract to sell a portion of the redevelopment
area to Frey Development, Inc. and a portion to JCS Development, Inc.; and
WHEREAS, the contract signed with JCS Development, Inc. contained a term stating
that the buyer was not obligated to close the transaction if it was unable to obtain corporate
approval from Culver's Franchising, Inc.; and
WHEREAS, JCS Development, Inc. has informed the EDA that the above-referenced
corporate approval could not be obtained and it accordingly would not be buying the portion of
the redevelopment area offered to it; and
WHEREAS, it has been proposed that the EDA reform its contract with Frey
Development, Inc. to include sale of all of the redevelopment area, adding to the contract
Manley Land Development, LLC as a co-buyer; and
WHEREAS, the proposed revised sale terms are conditioned upon the w~llingness of
Frey Development, Inc. and Manley Land Development, LLC to redevelop the site in
accordance with the Frey/Manley concept plan submitted on January 3, 2005; and
WHEREAS, the EDA has based upon these events determined that it will hold a public
hearing at its regular meeting of May 23, 2005 to determine if sale of the redevelopment area is
advisable, is in the best interests of the City of New Hope and its people, and is a transaction
which furthers the EDA's general plan of economic development.
NOW, THEREFORE, BE IT RESOLVED, by the EDA as follows:
1. That a public hearing on the proposed transfer of the land known as 7500, 7516 and 7528
42na Avenue North be held at the regular meeting of the EDA on May 23, 2005.
2. That the EDA's Executive Director, or his designated representative, publish notice of
the hearing in a newspaper of general circulation.
That notice of the hearing indicate that proposed terms and conditions for the transfer of
7500, 7516 and 7528 42na Avenue North are available to members of the public at the
EDA's offices.
Dated the 25a' day of April, 2005.
Martin E. Opem Sr.,. President
Attest:
Daniel J. Dona_hue
Executive Director
P: \ A t tomey \ Cmk \ Clients \ CNH \ 99-11293 \ 99-11293-Public Hearing Resolution2.d oc
NOTICE OF HEARING ON A PROPOSED SALE/CONVEYANCE OF REAL PROPERTY IN
THE CITY OF NEW HOPE
(7500-7528 42~° AVENUE NORTH)
NOTICE IS HEREBY GIVEN, that the Economic Development Authority in and for the City of
New Hope (the "EDA") will meet in the Council Chambers in the New Hope City Hall, 4401
Xylon Avenue North, New Hope on the 23rd day of May, 2005 at 7 o'clock p.m. (or as soon
thereafter as the matter may be heard) to hear, consider and pass upon all written or oral
objections, if any, to a proposed conveyance of the land located at 7500, 7516 and 7528 42na
Avenue North to Frey Land Development and Manley Land Development, LLC for the
redevelopment of the sites.
All persons desiring to be heard in connection with the consideration of this proposed
transaction are requested to be present at this hearing and to make their comments or
objections, if any, to the proposal. The public may see the terms and conditions of the proposal
at City Hall, 4401 Xylon Avenue North, New Hope, Minnesota 55428.
The EDA will at this hearing meet to decide if the sale is advisable.
Accommodations such as sign language interpreter or large printed materials are available
upon request at least five (5) working days in advance. Please contact Valerie Leone at 763-531-
5117, TTY number 763-531-5109 to make arrangements.
Dated the 5th day of May, '2005.
s/Daniel 1. Donahue
Daniel J. Dona_hue
EDA Executive Director
(Published in the New Hope-Golden Valley Sun-Post on the 5th day of May, 2005).
Page 1 of 1
Kloss Lorraine
From: Leone Valerie
Sent: Friday, April 22, 2005 10:13 AM
To: Kloss Lorraine
Cc: Lomaistro Eve
Subject: pb minutes
L - please scan 2004 personnel board minutes. Thanks.
Valerie Leone, New Hope City Clerk
763-531-5117 phone
763-531-5136 fax
04/22/2005