Ed121399.doc
CITY OF NEW HOPE
4401 XYLON AVENUE NORTH
NEW HOPE, MINNESOTA 55428
Approved EDA Minutes December 13, 1999
Regular Meeting City Hall
CALL TO ORDERPresident Enck called the meeting of the Economic Development Authority to order
at 8:31 p.m.
ROLL CALLPresent: W. Peter Enck, President
Pat LaVine Norby, Commissioner
Sharon Cassen, Commissioner
Don Collier, Commissioner
Mark Thompson, Commissioner
APPROVE MINUTES to
Motion was made by Commissioner Cassen, seconded by Commissioner Collier,
approve the Regular Meeting Minutes of November 8, 1999
. All present voted in
favor. Motion carried.
IMP. PROJECT 597 President Enck introduced for discussion Item 4, Discussion Regarding Proposed
th
Item 4 Development for City-owned Property at 9200 49 Avenue and Authorization for
Staff to Negotiate on Potential Sale of Property (Improvement Project No. 597).
Mr. Kirk McDonald, Director of Community Development, provided history of the
city-owned property. He reported that staff has been approached by ID Services, a
New Hope based manufacturing company currently located at 3410 Winnetka
Avenue. ID Services is proposing to build a 31,400 square foot building on the
property. The building will be used primarily for manufacturing and warehousing
its products and as office space for its operation. They have hired Olson General
Contractors, Inc. to develop a preliminary concept plan for the site.
He indicated staff is seeking concept approval and authorization to enter into
negotiations. The EDA unanimously agreed to concept approval.
MOTION Motion was made by Commissioner Thompson, seconded by Commissioner Norby,
Item 4 authorizing staff to negotiate the potential sale of city-owned property
(Improvement Project No. 597).
All present voted in favor. Motion carried.
CHARDON COURTS President Enck introduced for discussion Item 5, Resolution Consenting to and
APARTMENTS Approving Sale of Partnership Interest in North Ridge Properties of New Hope
Item 5 Limited Partnership.
Mr. Dan Donahue, City Manager, explained that in 1984 the City entered into a
redevelopment agreement with Northridge Properties of New Hope Limited
Partnership. The agreement required the HRA to acquire land for Northridge
Properties for the construction and development of the Chardon Court Apartments.
The HRA’s financial contribution to the project consisted of $975,000 in tax
increment funds and $880,200 in interest rate reduction payments to the
Partnership payable from tax increment funds generated by the development. The
agreement provides that the HRA shall have a lien against the development in the
minimum amount of $614,200 payable upon transfer or sale of the legal or
equitable interests in the property.
New Hope EDA December 13, 1999
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minimum amount of $614,200 payable upon transfer or sale of the legal or
equitable interests in the property.
When the agreement was originally signed in 1984, the partnership consisted of
Charles P. Thompson, Charles T. Thompson, and Donald E. Forseth. In 1987,
Donald E. Forseth and Charles P. Thompson’s partnership interest were transferred
or sold to Dr. James Pattee and M. Melinda Pattee. At this time the Charles
(Charlie) Thompson wishes to transfer partnership interests to M. Melinda Pattee.
Staff has consulted the City Attorney regarding the HRA lien against the property.
The resolution approves the current ownership group and authorizes a transfer of
interest from Charles T. Thompson to M. Melinda Pattee. The transfer will not
negatively impact protection for the HRA lien against the property. The HRA lien
will be paid when Chardon Courts and/or the land is sold by the current ownership
group to a third party.
Mr. Donahue stated the resolution will approve the 1987 transfer of interests, the
present transfer of interest from Charles T. Thompson to M. Melinda Pattee, and
acknowledges that these transfers of interests do not trigger the maturity of the
HRA lien.
Mr. Steve Sondrall, City Attorney, stated he has been advised by Judith Gartner,
the attorney handling this transaction, that an amendment to the agreement may be
presented to the City in the near future. Apparently the Pattees may wish to transfer
their interests would could trigger repayment of the lien.
EDA RESOLUTION Commissioner Collier introduced the following resolution and moved its adoption:
99-13 “RESOLUTION CONSENTING TO AND APPROVING SALE OF
Item 5 PARTNERSHIP INTEREST IN NORTH RIDGE PROPERTIES OF NEW
HOPE LIMITED PARTNERSHIP”.
The motion for the adoption of the
foregoing resolution was seconded by Commissioner Norby, and upon vote being
taken thereon, the following voted in favor thereof: Enck, Cassen, Collier, Norby,
Thompson; and the following voted against the same: None; Abstained: None;
Absent: None; whereupon the resolution was declared duly passed and adopted,
signed by the president which was attested to by the executive director.
ADJOURNMENT Motion was made by Commissioner Collier, seconded by Commissioner
to adjourn the meeting
Thompson, . All present voted in favor. Motion carried.
The New Hope EDA adjourned at 8:37 p.m.
Respectfully submitted,
Valerie Leone
City Clerk
New Hope EDA December 13, 1999
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