052692 EDAOFFICIAL FILE COPY
CITY OF NEW HOPE
EDA AGENDA
EDA Regular Heeting #7
Agenda #8
President Edward J. Erickson
Commissioner W. Peter Enck
Commissioner Garx L'Herault
Commissioner Gerald Otten
Commissioner Markx Williamson
Nay 26, 1992
2.
3.
4.
Call to Order
Roll Call
Approval of Minutes of May 11, 1992
Resolution Approving Addendum to City of New Hope Development
Contract with Autohaus of Minneapolis, Inc.
Consideration of Amendmentto Agreement Between City of New Hope and
New Hope Terrace
Adjournment
CITY OF NEW HOPE
MEMORANDUM
DATE: May 22, 1992
TO:
New Hope City Council
FROM:
Daniel J. Donahue, City Manager
SUBJECT: EDA Agenda Items for May 26, 1992
EDA Number 4
On Tuesday night, I will present to you the amendments to the agreement that the City has with
Autohaus. We have met with them several times and have worked out some recommendations
for you to consider when amending the contract. Those amendments are in your packet.
Basically, we have agreed to require that all of the building and site improvements on the front
half of the property should be done by October 31, 1992 and the rear part of the property can
be completed no later than October 31, 1994. I ask that you closely review the agreement and
we can discuss those recommendations or any others that you might have on Tuesday night. Not
in the agreement is the consideration of signage. Staff has talked with Autohaus regarding their
signage and the second ground sign which was the old Animal Hospital sign. The EDA should
explore Autohaus' intention regarding that sign. Staff has informed them that signage for the
complete site must meet City code. The biggest hinderance to the ground sign issue is the
presence of Color Lab. They have a little less than three years to remain on their lease and they
do compound the problem. I am willing to recommend to you that we look at the ground sign
and structure final approvals based upon the absence of Color Lab after they vacate the site.
Anyway, we should have Autohaus make some comments for the record on their intentions.
EDA Number 5
This item is an amendment to the development agreement between New Hope Terrace and the
City. It does not rekindle the issue of changing the assessment agreement to lower the market
value. In other parts of the developer's agreement, several items spoke to original construction.
Now that construction is finished, amendments or modifications to the agreement can be made.
Our bond counsel, Jerry Gilligan is working with the New Hope Terrace attorney on getting
these amendments specified. I will have the document Tuesday and we can discuss it at that
point. Jerry assures me that from his discussions with New Hope Terrace, the items are minor
and only pertain to the original construction. If that is the case, Jerry Gilligan sees no problems
with agreeing to the changes.
Approved EDA Minutes
Meeting #6
CITY OF NEW HOPE
4401Xylon Avenue North
Hennepin County, Minnesota 55428
May 11, 1992
CALL TO ORDER
ROLL CALL
APPROVE MINUTES
AUTOHAUS
PROJECT #467
Item 4
MOTION
Item 4
CITY-OWNED
PROPERTY AT 7305
42ND AVE N (#492)
Item 5
President Erickson called the meeting of the Economic
Development Authority to order at 9:30 p.m.
Present: Erickson, L'Herault, Otten, Enck, Williamson
Motion was made by Commissioner Enck, seconded by
Commissioner Otten, to approve the EDA minutes of April
27, 1992. All present voted in favor. Motion carried.
President Erickson introduced for discussion Item 4,
Consideration of Request for Extension on Development
Contract Improvements, Autohaus, Inc., 7709 42nd Avenue
North.
Mr. Dan Donahue, City Manager, explained that staff has
met with Autohaus to review the development contract.
Certain matters remain to be worked out but a plan in
principle has been established. He noted a formal plan is
being prepared and should be ready to present to the EDA
at the next meeting.
Motion was made by Commissioner Enck, seconded by
Commissioner Otten, to table until May 26, 1992, the
request byAutohaus for an extension on their development
contract improvements. All present voted in favor.
Motion carried.
President Erickson introduced for discussion Item 5,
Discussion Regarding City-Owned Property at Southwest
Corner of 42nd/Nevada Avenues.
Mr. Donahue explained that a purchase offer has been
received from Rapid Oil for the property. At the January
13, 1992, meeting, the EDA directed staff to contact All
Star Sports to inquire whether they were still interested
in a future expansion on the property. Mr. Donahue
informed the EDA that.Mr. Jerry Norman, owner of All Star
Sports, and Mr. Robert Baldwin, realtor for Valvoline
Rapid,Oil, were both in attendance.
The EDA questioned Mr. Norman regarding any interest in
the parcel for future expansion of his business.
New Hope EDA
Page 1
May 11, 1992
ADJOURNHENT
Mr. Norman stated he is interested and does have
preliminary plans; however, no specific time table has
been established. He noted he would be willing to move
ahead immediately.
Commissioner Enck commented that the City has communicated
with Mr. Norman several times and a decision has to be
made regarding the property. He pointed out that he would
be hard pressed to reject the offer by Rapid Oil if All
Star Sports is not willing to make a formal purchase
offer.
Mr. Norman advised that he would be prepared to make a
formal proposal in two weeks. He commented that he was
unaware that it was a pressing issue.
President Erickson recommended allowing 30 days for Mr.
Normal to prepare a proposal. He stressed the need for
the EDA to reply to Valvoline regarding their proposal for
the property.
Commissioner L'Herault expressed reservations regarding
legal issues involved in selling the property and whether
the purchase price is the determining factor when
selecting a buyer.
Mr. Donahue explained that the property was purchased with
economic development dollars and no particular funds
require reimbursement. He called attention to the fact
that as property owners the EDA is free to sell the
property to whatever buyer it feels is in the best
interest of the city as well as the best public good. He
emphasized-the most important factor to consider during
the sale is the comprehensive plan and the EDA's
development intentions, rather than only considering the
purchase price.
Mr. Robert Baldwin, Baldwin Realty, was recognized. He
expressed his dissatisfaction with the EDA's delay in
making a decision regarding the proposal made by Valvoline
Rapid Oil Change approximately six months ago.
President Erickson reported that the EDA will attempt to
make a decision in 30 days.
Commissioner Otten encouraged Mr. Norman to keep staff
apprised regarding a purchase offer. Also, he was asked
to notify staff if he elects not to pursue purchasing the
property. It was noted that Mr. Norman may be able to
respond prior to the 30-day deadline.
Motion was made by Commissioner Williamson, seconded by
New Hope EDA
Page 2
May 11, 1992
Commissioner L'Herault, to adjourn the EDA meeting as
there was no further business to come before the Council.
All present voted in favor. The New Hope EDA adjourned at
9:45 p.m.
Respectfully submitted,
Valerie Leone
City Clerk
New Hope EDA
Page 3
May 11, 1992
EDA
~ REQUEST FOR ACTION
Originating Department Approved for Agenda Agenda Section
City Manager EDA
5-26-92
Kirk McDonald i } Item No.
By: Management Assistant By://// 4
/
RESOLUTION APPROVING ADDENDUM TO CITY OF NEW HOPE
DEVELOPMENT CONTRACT WITH AUTOHAUS OF MINNEAPOLIS, INC.
)n April 4, 1991, Autohaus, Inc. and the City executed a Development Contract regarding specific
mprovements to be made to the Autohaus property such as installation of concrete curb, landscaping
mprovements, paving and lighting improvements, construction of storm water drainage improvements,
md demolition/removal of the Animal Hospital building. The Development Contract states that the
'Developer agrees to make all private improvements as shown on February 7, 1992, revised site
)lan...within one year from date of this agreement, except if this period of time is extended by
'esoluti~n of the City Council". April 4, 1992, marked the end of the one year period and while certain
mprovements have been completed, others have not been completed.
ltaff contacted Autohaus in March and recommended that if they do not intend to complete the
mprovements by the April 4, 1992, deadline that they should seek an extension of time from the City
2ouncil prior to the expiration date and the petition for extension should explain the circumstances
~ecessitating the extension.
~.utohaus submitted the enclosed petition requesting an extension and appeared at the March 23rd
~DA meeting. The request was tabled until a specific schedule was developed that addressed the
:ompletion of the improvements.
['he enclosed Addendum to Autohaus Development Contract is the result of several meetings between
~taff and Autohaus and specifically addresses a timeline for each of the improvements in the
)evelopment Contract. What Autohaus basically is proposing is to complete all site/building
rnprovements north of the south line of the building by October 31, 1992, and to complete the
mprovements on the rear portion of the property by October 31, 1994. Autohaus will be present to
liscuss specific details with the EDA on May 26th.
~,taff recommends approval of the Resolution Approving the Addendum to the Autohaus Development
%ntract.
MOTION BY /~i~, , SECOND BY
TO:
Review: Admln/stratlon: Finance:
RFA-O01
M~¥--20--92 WED i i : 56 CORR I OK ~ $OHBR~LL P . 0~ ~
RESOLUTION NO. 92-
RESOLUTION APPROVING ADDENDUM TO
CITY OF NEW HOPE DEVELOPMENT CONTRACT
WITH AUTOHAUS OF MZNNEAPOLZS, INC,
WHEREAS, by Agreement dated April 4, 1991, the City of New
Hope (hereafter C~ty) entered into a Development Contract with
Autohaus of Minneapolis, Ino. (hereafter Autohaus) and Thomas W.
Boettcher, individually (hereafter Boettcher), and
WHEREAS, said Development Contract called for completion of
certain improvements to the property by April 4, 1992, and
WHEREAS, said improvements to the property were not completed,
and
WHEREAS, the City wtshes to enter into an Agreement with
Autohaus and Boettcher to extend the time for certain of the
improvements on the property, as more fully set out in the Addendum
to Ctty of New Hope Development Contract attached hereto as Exhibit
A and incorporated by reference.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City
of New Hope as follows:
t. That the Addendum to City of New Hope Development
Contract attached hereto as Exhibit A is approved in its entirety,
and the Mayor and Manager are authorized to sign said Addendum on
behalf of the City.
Adopted by the Council this
day of ., 1992.
Edw. d. ErlGk$on~ Mayor
At t est:
Valerte Leone~ City Clerk
. I'1A'~--20--92 WED I I .' 55 I~OIBI~ I CK I~ SONIIIBALL P . 02
L£OAL
I.~VOflUE ~.
May 20, 1992
Kirk McDonald
Management Assr,
City of New Hope
4401Xylon Avenue North
New Hope, MN 55428
RE: Autohaus Addltton
Our File No. 99.15025
BY FACSIMILE
Dear Ktrk:
Enclosed please find a copy of a Resolution Approvin9 Addendum to
City of New Hope Development Contract with Autohaus of Minneapolis,
Inc. This Resolution extends the completion date for certain of
the site improvements on the property. By copy of this letter, I
am sending the ortglnal of the Resolution to Valerte.
Please contact me if you have any questions.
Sincerely,
Martin P. Malecha
s3w
Enclosure
cc: Steven A. Sondra11, Esq.
Daniel J. Donahue
V&lerie Leone ,
CORRICK LAW OFRCF.~, PA.
WILI.L~M J, CORRIOK
STEVEN A. 90NORALL. P.A.
9T~N A.~ONORAU.
MICHAEl. R. L~FLEUR
MARTIN I~, MALECHA
WILl. LAM C, S?I:IArT
CORRICK & SONDRALL
A p.4Q~ITNER~HIP OF PRO FE~IONA{,, COgLmORATIO N8
Edinburgh Executive Office Plaza
8525 Edtnbrook Crossing
Suite #203
Brooklyn Park, Minnesota 55443
TELEPHONE (6121 425-56/1
FAX (612) 425-5~7
LAVONNE E, KEEKE
SHA.qON D. DERBY
May 14, 1992
Mr. Kirk McDonald
Management Assistant
City of New Hope
4401 Xylon Avenue North
New Hope, MN 55428
RE:
Addendum to Autohaus Development Contract
Our File No. 99.15025
Dear Kirk:
Please find enclosed a proposed Addendum to the Autohaus
Development Contract. As we discussed in our May 13th, 1992
telephone conversation, please review the Addendum to insure that
the performance conditions listed in it are what we agreed on at
the May 11th meeting.
If the Addendum is correct, it should be executed by Boettcher
individually and Boettcher as President of Autohaus prior to the
May 28th Council meeting so that the Council can consider and adopt
it at said meeting. Also note that the signatures of Boettcher
both as President of Autohaus and in his individual capacity must
be notarized. If you like, we will undertake to obtain Boettcher's
signatures on this Addendum.
I will wait to hear from you.
Very truly yours,
Steven A. 8ondrall
slt
Enclosure
ADDENDUM TO CITY OF NEW HOPE
DEVELOPMENT CONTRACT
Parties. The parties to this Addendum are the City of New
Hope (hereafter City), Autohaus of Minneapolis, Inc.
(hereafter Autohaus) and Thomas W. Boettcher, individually
(hereafter Boettcher).
Purpose. This Addendum shall modify the April 4, 1991
Development Contract entered into by the parties. Autohaus
and Boettcher acknowledge and agree that they are in breach of
the performance conditions of said contract and in
consideration for the City's agreement not to immediately
pursue its remedies under the terms of the April 4, 1991
contract Boettcher and Autohaus have agreed to enter into this
Addendum.
Unperformed Conditions. Specifically, Autohaus and Boettcher
acknowledge and agree that they have failed to perform all the
requirements of paragraphs 2.A) through I) and 3 of the
Development Contract. With respect to the work required by
these provisions the parties hereto agree as follows:
a.)
The installation of concrete curb from the most southerly
wall of the building northward to the property line shall
be completed by October 31, 1992. The remainder of the
curbing as shown on the site plan shall be installed by
October 31, 1994. All curbin9 shall be of a surmountable
type as approved 'by the City. Autohaus and Boettcher
shall submit a diagram of said curbing for approval to
the City prior to installation.
b.)
Installation of bituminous pavin9 in the body shop and
repair storage area shall be completed by October 31,
1994.
c,)
All plantings shown on the site plan north of the
buildings most southerly wall shall be installed by
October 31, 1992. All other plantings shown on the site
plan shall be installed by October 31, 1994.
d.)
The six-foot opaque security fence around the perimeter
of the body shop and collision repair storage area shall
be installed by October 31, 1994. The existing fencing
shall remain in place until the new security fence is
installed.
e.) The installation'of lighting shown on the site plan shall
be completed by October 31, 1992. However, the parties
agree that the existing lighting for the collision repair
area as of the date of this Addendum is adequate and no
further lighting is required notwithstanding the lighting
required by the site plan.
f.) All planted areas completed in 1992 will be sprinkled by
October 31, 1992. All planted areas completed in 1994
will be sprinkled by October 31, 1994.
g.)
The installation of the outdoor trash enclosures will be
completed by October 31, 1994.
h.) The front display area will be completed by October 31,
1994. However, the parties agree the bomanite paving can
be substituted with concrete and bituminous.
i.)
The islands in the transport lane area will be installed
by October 31, 1994.
j.)
The public improvements for storm water drainage and
erosion control required by paragraph 3 of the
Development Contract must be completed in conjunction
with the construction of the bituminous paving in the
body shop and repair storage area. Autohaus and
Boettcher acknowledge and agree said bituminous paving
will not be allowed unless the drainage and erosion
control work is completed simultaneously with the paving
work all to be completed no later than October 31, 1994.
However, Autohaus and Boettcher will complete seedin9 of
this area by , 1992 to minimize the
erosion until the drainage improvements are constructed.
Effect of Addendum. The parties agree that this Addendum
shall not change the other provisions of the April 4, 1991
Development Contract which shall remain in full force and
effect. This Addendum shall be construed as supplemental to
and not inconsistent with the Development Contract. The
parties further agree that a breach of this Addendum shall
also constitute a breach of the April 4, 1991 Mortgage,
Security Agreement and Fixture Financing Statement given by
Boettcher to secure the April 4, 1991 Mortgage Note executed
by Boettcher. Autohaus further agrees that assignment of the
Certificate of Deposit given as financial security to insure
performance of the Development Contract shall also extend to
the herein Addendum.
2
Dat ed:
CITY OF NEW HOPE
By
Its Mayor
Dated:
By
Its City Manager
Dated:
AUTOHAUS OF MZNNEAPOL[S, [NC.
By
Its President
Dated:
Thomas W. Boettcher, individually
STATE OF MZNNESOTA )
) SS.
COUNTY OF HENNEPZN )
The foregoing was acknowledged before me this day of
, 1992, by Edw. J. Erickson and Daniel J.
Donahue, the Mayor and City Manager, respectively, of the City of
New Hope, a Minnesota municipal corporation, on behalf of said
municipal corporation.
Notary Public
3
STATE OF MINNESOTA )
COUNTY OF HENNEPIN )
The foregoing was acknowledged before me this
, 1992, by
President of Autohaus of Minneapolis, Inc.,
corporation, on behalf of said corporation.
a
day of
, the
Minnesota
Notary Public
STATE OF MINNESOTA )
) SS.
COUNTY OF HENNEPIN )
The foregoing was acknowledged before me this day of
, 1992, by Thomas W. Boettcher, individually.
Notary Public
4
LEASING ,k SALES / FOREIGN AND DOMESTIC A UTOMOBIL£S
Audi
GM
March 18, 1992
FORD
NISSAN
HONDA
City of New Hope
4401Xylon Ave. N.
New Hope, MN 55427
Subject: Development Contract Improvements
Dear Dan an~ Kirk:
CHRYSLER
BMW
MERCEDES
A year has passed since executing our development contract.
The date of April 4, 1991 was the date of final approval
our expansion plans. As of to~ay, March 18, 1992, Autobaus
has done as much as possible go complete imCrovemen~s,
although ~elays and economic times have caused an extensic, n
of one year to ~e necessary.
We have demolished the old Animal Hospital building and
improved the 42nd Avenue appearance. Delays in the' city
dc, lng a practice fire and an early snow cover have als.:.
contributed to ,:,ur need for an extension.
VOLVO
ACURA
TOYOTA
Autc, haus fully intends to finish these contra.:*.
improvements in a timely manner considerin:g our ca~aOili~y
to ~ay as we go for improvements. AutoMaus has cc, nstru.:~i~z~n
money set aside for the area's improvement bu~ due
economic times some improvements will need to be rebi~
some Autot~aus will do itself. The next stage is to pave
the front area w~ere the Animal Hospital t~uilding was,
a~dress enhancing t~e view from 42nd Avenue.
We would ask at this time to appear before the City Council
PORSCHE ,:,n Marc~ 23rd and explain our request for an extension .:.~
time.
JAGUAR · :~
770g 4~nd Avenue North tr .~finnezpolis, MN 554E7 ~ (61E) 535.5707
March 9, 1992
Mr. Thomas Boettcher, President
Autohaus of Minneapolis, Inc.
7709 42nd Avenue North
New Hope, MN 55427
Subject: DEVELOPMENT CONTRACT IMPROVEMENTS
Dear Tom:
On April 4, 1991, Autohaus, Inc. and the City of New Hope executed
a Development Contract regarding specific improvements to be made
to the Autohaus property, i.e. installation of concrete curb, land-
scaping improvements, paving and lighting improvements, construc-
tion of storm water drainage improvements, and the demolition/
removal of the Animal Hospital building. Paragraph 2, page 2, of
the Development Agreement states that "Developer agrees to make al!
private improvements as shown on February 7, 1991 revised site
plan...within one year from the date of this agreement, except ~f
this period of time is exWcsnded by resolution of the City Council"
April 4, 1992, will mark the end of the one year period and wh~le
certain improvements have been completed, others have not Deem
completed. If Autohaus does not intend to complete the
improvements by the April 4, 1992, deadline, you should seek an
extension of time from the City Council prior to the expiratic,~
date. The City Council next meets on March 23rd and the first
meeting in April is on the 13th, SO I would strongly recommend that
if you plan on requesting an extension of time on the making of the
improvements, that you do so at the March 23rd Council meeting.
I would recommend that you follow the same procedure that the C~tv
Code outlines for zoning procedure extensions. The code states
that "petition for extension shall be made in writing and file~
with the City Manager and there shall be no charge for the filing.
The petition shall include a statement of facts explaining
circumstances necessitating the extension". If you are going
submit a petition requesting an extension and want to have
considered at the March 23rd Council meeting, please submit
petition to the City by March 18th so that your request can Se
included on the agenda.
~('~/'~'~ For Family Livinj
Family Styled City
-2-
Please contact me if you have any comments or questions and call
(531-5119) to let me know your intentions regarding an extension on
the installation of the improvements.
Sincerely,
Kirk McDonald
Management Assistant/Community Development Coordinator
['CMl
Encl:
Excerpt/City Code
Development Agreement
CC:
Dan Donahue, City Manager
Steve Sondrall, City Attorney
Mark Hanson, City Engineer
Doug Sandstad, Building Offioial
Valerie Leone, City Clerk
Thomas Oestreich, Autohaus
Projec~ File 2467
O E v E L O ~ M E N T C O N T ~ A C ~
THIS AGREEMENT, maOe an~ entered into on the cate sce¢,='ec '-
paragraph 15~ ~erelnafter, dy anG between t~e C~ty cf ,~ew -cee.
paragraph ~Sa nere~n (nere~naFter collectively cal~eO t~e Oeve~s:e~
whether s~ngular or plural), W~TNE$$ETH:
w~EREA$. =~e sa~ Ceve]oper ~as aop~e~ to ~me C~ty
approval o~ a ola~ or suO~v~s~o~ of certain land w~ln the ~'-..
aa ~Gent~F~eO ~n paragraph ~5c ~ere~n,
wNEREAS, The Economic Development AuthOrity ~n amc F;r ire
C~ty of New NOpe (~erea~ter EPA) nas ~rov~Ge~ to ~DeYe]oger a
S~87,5OO.OO loan evidenced dy a Mortgage Note Gated X~'~///W,/.//~/..
secured dy a Mo~tg~e,.Seour~t7 Agreement an~ ~x~re ~nanc~g
wHEREAS, Oeve3oper acknowledges an~ agrees =nat any ~reacr
the ~ere~n Oevelopmen~ Con~rac~ s~a11 mm Geemed a ~e~au';
;evelooers o~ tMe terms o~ t~e Mortgage NOte an~ Mortgage,
Geoiare any unoa3d princl~al and accrued ~n%erest of the reference:
permitting =nm EPA ~o commence a Foreclosure action to co~lect
Security Agreement an~ ~lxture ~lnanclng Statement, ant
3mprovementS, and ~e Developer 3s desirous o~ proceeding at :nee.
=ne conditions (1) =~a~ ~ne Developer enter ~nto =m~s Oeveioome~'
Contract, wnlC~ Con~rac~ ae~nes ~ne wor~ wn~cn ~ne
~naertaZtl ~O commle~e wi~n tme oounCar~es
~escr~Oe~erelna~ter, (2) tna~ ~ne Oeveloper
other collateral ,o~ an amoun~ and w~tm a surety and
sa=ls*actory ~o =ne ¢~=y, to secure the actual
~ns~alla~3on o~ suC~lmOrovements wl~nln the ~er~o~
the C~tT, aha (3) =nat =ne developer enter
~ocuments reQu3red Dy ~e EPA to ev~Gence an~ secure
Oeveloper's repayment o~ the EPA loan,
NOW, TH~OR~, :me CiSy eno 0evelooer agree as fo'~ows.
the New Hope ¢~:y Co~e, as amen~eO :~ aa:e ne~eo*, ~
~coroora:ea ~ere~n ~y ~eference.
weetwoo~ ~rofeas~onal Services, :nc. a:tacheO ~ere~o as
oer~o~ o~ ~me ~s exten~e~ ~y resolution of tee C~ty Council
cona~:~one. These imOrovements snell ~nc~uae ~ut not
the following:
ae
[na~allat~on of ~tum~ous oaring ~n tee ~c~y
3'
$oa¢i~g 3'
of orooerCy, s~ze 18", soaring 3' o.c.
l& Tec~ny (M~$$~on S:rain) American Aroorv~t~e
3e inc~ pot, soa¢~ng 15 feet O.C. wl:n Weer:
~&rrier an~ rock mulc~.
16 :senti Oogwoo~ co Oe olante~ - ~0
$out~weeC corner of Ouil~ng, s~zl 2~
vi.
o~ OutlYing, $~:e 2.5'.
vii. 29 Austrian Pine to be planted on west
property line on County Kitchen property,
size/root
de
Installation of six foot opaque security fence
(chain link with barbed wire) arounO perimeter of
body shop and collision repair storage area as
shown on site plan.
Installation of white sodium vapor wall lights and
freestanding overhead lights as shown on the site
plan. The overhead light poles shall matc~
existing City street lighting,
Installation of .acceptable automatic
systems in all p]anted areas.
sprinkler
Installation of outdoor trash enclosure on south
side of building constructed of 6 foot block wall
painted to match building.
Installation of bomanite paving in front display
area as shown on site plant.
Construction of four painted islands in the
Transport Lane area as shown on the site plan.
Further, the Developer acknowledges and agrees that development of
the site will comply in all respects with the terms, conditions
regulations of the New Hope City Code. These conditions incluOe
but are not limited to, compliance with the following:
All setback provisions of the zoning code and more
specifically, that there be a 5 foot setback for
all parking and storage areas and driveways from
the rear and side property lines.
That all signage on the site fully comply with the
sign code,
That all on-site parking requirements of the zoning
code are fully complied with and more specfically,
that a minimum of 81 parking spaces are provideO,
that 3 handicapped parking stalls are provided on
the east side of the building and 2 handicapped
oarking~spaces are provided on the west side of the
building, that all parking areas be properly
striped with the exception of the display area anO
Oe
Cie
employee parring De provides on tn= west
the Du~lding.
That all drive aisles are 2~' or more ~n w~dtn,
That the loading and unloading areas are Orcv~cec
That on-s~te snow storage De allowed only ~n ;~e
oarRing smaces w~11 not De permitted For s~cw
s~orage on-site.
That all sales/leasing/rental display areas, ~o~
~ndoors and outdoors, comDly Fully w~th all are~
requirements of the C~ty Code.
That tn= construction 0lane For the outdoor
Dy the Building Official and ~ra Chief.
That no ot~er tenant will De allowe~ to occuay
space currently Doing occupied ~y Universal Colour
LaDoratoriea and tna~ upon the axm~ra~ion
~ease or any options to renew said ~eaee, ~eve~cce-
will construct or improve
showroom end dieplay area aa
showroom a~d disalay area, day=lager agrees
disol&y Du~ snell ~e reserves fqr employee
customer parking of the tenants.
3. The Developer alia agrees to conetruc~ w~t~in one
From the aa~e of ~ia agreem~n~ DuDlic immrovementa For storm wate~
12, 1990 Paving, Grading, Ora~nage and Erosion Control
~remared ~y wee~a Professional Serv~cea, Inc. ~na~cat~ng ire
~mprovemen~m i~ nere~¥ agrees to construct. Said ~lan nee
reviewed end approved ~y the Cl~y Engineer and Oevalomer sna~:
~mplement t~i$ plan end construct all 1mater=manta ~naicatec
thereon. The par~iea qgrae tn= 1moray=merits indicated on Said ola~
are necessary For a~equ&te drainage and erosion control a~ the
s~te. Oeve~opar ~urtner agrees to comae®tm any immrovements
Surmise of tme plan in the sole open,on o~ tme C~ty ~ng~neer.
construction shall Dm suDJsct to ~nSpeCt~On ama a~proval ~f ire
C~ty. The part,es further unOerstan~ anQ agree
guarantee to t~e Oeveloper ama that cms Oevelooer nas rel~eO on 'cs
own juQgment or ~estwoo~ relative to t~e a~equaoy of tn~s ~lar.
The C~y eno ~ts ~nglneer nave rev~eweQ t~s olan solely For
ourpose of Ueterm~ning its a~lity to conform w~tn the
overall storm sewer plan.
Upon tme completion o~ tme worZ anQ construction requires
oone mereunaer, sale storm water ara~nage ~mprovements small People
part of e~ther party hereto, other tman acceptance at usage.
A. The Oeveloper shall pay for all costa of ~ersons ao~;
work or furnishing skill, tools, machinery or materials, or
~nsurance premlume or equipment or suoplies an~ all jus~ claims f=~
tme same, ama tme City snell De unaer no oDl~ga~on to pay the
Oevelooer or any suDcontractor any sum whatsoever on accouns
tmereof, whether or no~ tme C~ty small ~ave approves tme
suDcontrac~ or suOcontractor, ama the Developer and ~ts surety
small mold the City ~armlese against any such claims, ama prov~=e
the C~ty w~th all necessary lien waivers.
5. [n the event of default Dy the Developer as to any
perform the sa~ wor~ ama the Developer shall promptly re~m=urse
tme C~ty for any expense imcurrea therein Dy tme C~ty, orov~aea
Oeveloper is first g~ven written notice Dy Un,ted States
tme worR in aefaul~ ama requires to Dm acne Dy tme Oeveloper
less than 4a moura Deing g~ven chereOy to the Developer to remo',e
tme aeCault statue, saia notice De~ng peeresses to t~e Oevelooer
the peeress she wnin paragrap~ 15~ mere~n, not,ce g~ven ~n
manner being sufficient aa aescr~mea, my agreement of tme part,es
mereto. NO,iCe ~0 the Oeveloper shall also constitute w~tmou~
further action, no, ice ~o any contractor or suDcon~ractor, wnet~e~
tmey arm a~rove~ a~a acce~tea ~y the City or not. In tme event
emergency:, al determines Dy the C~ty Engineer, ~ne A8 hours
requ~remen~ to t~e Oeveloper shall Dm ama mereOy ~s waives ~n
entirety ~y :~e Developer, ama the Oevelomer shall reimburse
C~ty for any expense so incurrea Dy the C~ty ~n the. same manner
if mailea no~¢e aa Qeecri~ea hereinbefore naa Deem g~ven.
un~erstoo~ ~y the parties, however, ~mat the responSlO~lity of
Developer is lim~teQ Dy s[r~kea anQ force majeure.
work or t~e work reQu~reQ ~n paragraph l~e.
7. The DeveloPer agrees to reimOurse the C~ty For all costa
~ncurrea ~y the City in the enforcement of
~ort~on t~ereo~, incluQing court costs aha rea$on&~le
ana attorney's fees.
su~aivis~on Bon~ for t~e work s~eciF~ea ~n paragram~ ~,
~e in t~e amount Qescr~e~ in paragramn 15f, securing
~erformance of t~is Development Contract. THe term
Bond as uses herein small also ~nclude any type of cella=era:
agreement or security accepte~ Dy the City.
It is unaerStooO and agreeO that Failure of
not waive, eetom or release any rights o~ t~e City aha the City can
take ac=Ton at any time ~erea~ter
wor~ an~ payment for same. These orovlsiona
any person who gives security for or guarantees
this agreement.
9. The Developer unconOitionally guarantees to t~e C~=y ~''
year su~se~uen~ to acceo~ance o~ same Oy the City aga~nsc ooo~
mater~ai, faulty workmana~io, or any other failure of the wor~,
whether or no~ all or any mort3on o~ the Su~iv3slon 8ona emaC'
~ave Omen release~ ~¥ t~e City.
10. The Developer s~a11 clear any soil, earth or
the s=reets resulting ~rom Ouil~ng on the lan~ w~th~n
Dy the Oevelooer or ~[~ agents, successors or assigns,
restore ~ny graver ~&se ~e~eriora~ea ~y mixing construction or
excava~io~ deDr~s or ear~, an~ reoair any Oamage
surfacing resulting From =nm same causes.
11. Thl Developer agrles t~at the City at ~cs ootlon car
~nsta11 an~ cone=rue= any work or ~mprovements reau~rea m,y
0aragraph 3 ~o Om ma~e my t~e Developer, an~ the Developer agrees
to pay all costa so i~currt~ Dy t~e City.
Agreement my the Developer snell mm grounae for aenial o~ ~ui~
heirs, successors or assigns as t~e case may ~e. -~e :~'e~
understand and agree ~nat tn~ Cevetooer ~s resoons~e .~nme~ -~e
Thomas
of a change of a~ress ~s g~ven to ~ne C~t~
=hone: (612) 535-5707
northerly line of sa~ Lot 9 an~ a l~e ~ere~a=:e-
~50.~0 foe= easterly ~rcm ~me wes= Cuartee :$r-e-
of Section ~7, Towmsm30 ~18, ~ange 21 ~$ measure:
along said sou~m l~e and ~ts westerly extens~:r ::
sago Sect:on 17 as measured almn~ $a~C -cs:
westerly along saia moat ~ortherl¥ line
northealt corner of Lot 7 ~n said "Auditor's
Su~aivilion Number 324, Hennepin Councy,
Hinnelota"; thence southerly &long the east l~ne
said Lot 7 ~o the southeast corner of Lot 7~
~es~erl¥ along ~e sout~ line of sai~ Lot 7 a
~istance of ~,00 fee~: thence southerly pirelli'
distant ~11.~O fee~ nort~ of the sou~n line of
Lot g; thence-easterly ~ar&11e1 with sa~
northerly along sail Line "A" to the actual
of Deginning.
That pert of Lot 9, "AuQitor'S Subaivision NumDer
324, Nenneoin County, N~nneeota" ~elcriOea as
fol3owe: Commencing at t~e intersection of
meet NOrtherly line of saia Lot g aha a line
~erein&fter referral to &$ Line "A" De~ng a l~ne
arawn from I ooint on the South line of said cot 9
ailtant 650.80 feet Eaeterly from ~e west Quarter
corner of Section 17, Townl~ig 11e, Range 21 aa
meeeured along s&ia Sout~ line aha its
Lot g aietant 853.30 feet Easterly from :ne ~est
line of la~a Section 17 al meaeurea along sa~a
northerly line aha its Westerly extension; ~nence
~eeterly along sail moat Northerly l~ne a
of 50 feeC-.~o the actual ooint of ~eginn~ng~ t~e~ce
continue ~eeterly along slia moe~ NOrtherly line ~o
the Nor~heae~ corner of Lot 7 in s&ia "Auaitor'$
$~ivieion Number 324, Heonegin County,
Ntnneeot&"; t~ence ~ou~erly along the East l~ne
said bo~ 7 and along t~e Southerly extension
saie Ells lin® of Lot ? to a point aistent ~00 fee~
extenIton of t~e South line of sai~ Lot 7
die~&nce of ~O feet; ~nence Southerly pirelli1
I&~ $~ut~erl~ exteneion of ~e Eel~ line of Lot
& diet&nc& of 50 feet; t~ence ~&eterl¥ pirelli'
~t~ ~aia Eaeterly extenaion of ~ne South line
Lot 7 to the intersection wit~ saia Line "~":
t~lnCl Nort~lrly along Ilia binl "A" to ~e
intlrllction wit~ Ilia iIIterly extImIion of t~e
South line of Lot 7: thence weeterly along
~aIterly exteneion of the Soutn line of Lot ?
8
~bt intersection wich a line drawn $ou~her!y
p&rallel with said Line "A" from the actual po~nt
of beginning; Chance Northerly parallel with sa~a
Line "A" to the actual point of Oeginn~ng,
according ~o the recorded plaC thereof.
and is proposed to bm known al Lot 1, Block 1,
The date of thil Devtlopment Contract
p&ragr&p~ 2 arm al ~ollowl: Developer $~all raze
~he off,Ce building commonly known al ~ne Animal
Holpital pursuant Co an Agreem~n~ ~o Raze 7~75 ~2na
col~ of demolition and remov&l sh&11 bm the sole
col~ of the Developer.
required to comply
~te Prel~min&ry ~laC &pproval and Condition&l Use
Permit to &1low for outdoo~ salel in a B-3 zoning
The ~o~&l amoun~ of t~e SuOdiv~lion Bond required
to lecure the performance of the work required ~¥
paragraph 3 io initially let a~ Twenty $ix Thousan~
Two Hundreq'. Eighty Dollarl, ($3e,2so,0o), and ~s
agreed ~o ~Y the Developer, and snell ~e in ~ne
form of:
/ /
c&ncellaO1e on 30 diyl' written
Ct~y tnere&f~er.
/ /
/ X /
Corporlte Surety Bond.
Ailignid S&vingl Certificate,
OlvtloDer.
The D&r~iem agree tn&~ from time to time, buC not
more frequently than annu&lly, the OmveloDer may
requel~ ~a~ ~he City Engineer evaluate the work
and t~e amount oF ~ona may be reauced by C~y
neceeeary For t~e City by the Engineer. The
~nitially sI~ herein en&ll constitute
evidencI, aI public record, o~ t~e change in
bond ri~uiremmmt,
Its
10
STATE OF MINNESOTA )
) ss.
COUNTY OF HENNEPIN )
The foregoing ln$~rumen~ was acknowledge~
day of /7~'~ '/ , 199" , 0y EDW. J. E~ICKSON and 0A'NIEL
0ONAHUE, CHI Mayor and Manager, resDec=lvely, of ~e
MODe, a municiDal corporation of tins State of M~nnesota, on
Notary
STATE OF MZNNESOTA )
) ss.
COUNTY OF ~ENNEP~N )
The ferego, ing ~ nsTmuaent', was ~/~'/~'~'~ f'¢' ~//~ ~< --.~-~ s ,
Gay of
and ,
, reSDecl'.lvely, of Au1'.onaus ;=
M~nneapol~s, Inc,, a corDOra~.ion unde~ tine laws of r. ne S~.a~.e ;~
M~nneso1:a, on Oen&lf of s&id corporal;~on.
Notary ~u~ltc
STATE OF MINNESOTA )
) Se,
COUNTY O~ HENNEPIN ]
The fo~dgOiOg inl~ran~ was acknowledge~ De,ore me ~n~$
Gay of --~-'-~Z-~/.'4'* , 199 / ,
individually.--
11
I-DA
REQUEST FOR ACTION
Originating Department Approved for Agenda Agenda Section
E0A
City Manager 5-26-92
)l;-) Item No.
By: Dan Donahue By: ~/ 5
/
CONSIDERATION OF AMENDMENT TO AGREEMENT BETWEEN CITY OF NEW HOPE AND NEW HOPE
TERRACE
New Hope Terrace is the apartment project on 36th Avenue just west of the
railroad tracks. The City helped to develop the project through tax increment
bonds. To secure the city's interest, an agreement was enacted with the
developers.
Parts of that agreement spoke to the construction of the project. Since the
project is now built, certain parts of the agreement can now be amended and the
construction language removed.
MOTION BY '~ SECOND BY
Review: Administration: Finance:
RFA-O01 ~