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303 MINUTES OF THE JOINT MEETING OF THE <br />EDINA HOUSING AND REDEVELOPMENT AUTHORITY/CITY COUNCIL <br />DECEMBER 15, 1986 <br />A joint meeting of the Edina Housing and Redevelopment Authority and the City <br />Council was convened to consider concurrently the Grandview Redevelopment Project <br />consisting of a public parking ramp and public works garage. <br />by the HRA and the Council individually as required. <br />Action was taken <br />Answering rollcall were Commissioners/Members Bredesen, Kelly, Richards, Turner <br />and Courtney . <br />MINTJTES of the H.R.A. Meetings of November 17 and December 1, 1986 were approved <br />as submitted by motion of Commissioner Turner, seconded by Commissioner Kelly. <br />Ayes: Bredesen, Kelly, Richards, Turner, Courtney <br />Motion carried. <br />GRANDVIEW REDEVELOPMENT CONTRACT (JERRY'S ENTERPRISES, INC.) APPROVED AND <br />EXECUTION AUTHORIZED: RESOLUTIONS ADOPTED AUTHORIZING SALE OF LAND TO HRA, <br />AUTHORIZING EXECUTION OF VARIOUS DOCUMENTS AND THE PURCHASE OF PROPERTY BY <br />THE HRA, AND ORDERING IMPROVEMENT DESIGNATED AS PUBLIC WORKS GARAGE. <br />Executive Director Gordon Hughes recalled that the HRA and the City Council <br />GRANDVIEW REDEVELOPMENT CONTRACT (JERRY'S ENTERPRISES, INC.) APPROVED AND <br />EXECUTION AUTHORIZED: RESOLUTIONS ADOPTED AUTHORIZING SALE OF LAND TO HRA <br />AUTHORIZING EXECUTION OF VARIOUS DOCUMENTS AND THE PURCHASE OF PROPERTY B <br />THE HRA, AND ORDERING IMPROVEMENT DESIGNATED AS PUBLIC WORKS GARAGE. <br />Executive Director Gordon Hughes recalled that the HRA and the City Council <br />have considered the Grandview Parking Ramp/Public Works Garage project on <br />several occasions diiring 1986. <br />four resolutions which 1) approved final zoning plans for Jerry's Shopping Center <br />improvements, 2) authorized drafting of a redevelopment contract with Jerry's , <br />3) authorized final plans and bids for the parking ramp and public works garage, <br />and 4) authorized the sale of $2,000,000 of tax increment bonds to finance the <br />project. <br />and has prepared final plans and specifications for the ramp/garage. Bids are <br />scheduled for opening on December 23. <br />Enterprises has also been negotiated which follows the terms outlined on July 21. <br />Mr. Hughes presented the specifics for the project as follows: 1) a public parking <br />facility containing 270 parking spaces, and 2) a public works garage underneath <br />containing 27,200 square feet of fIoor area. <br />$1,521,650 for the ramp and $515,350 for the garage for a total cost of $2,037,000. <br />Financing for the ramp portion would be paid exclusively-by tax increment bonds <br />that have been issued. The garage portion would be paid for through 1) a special <br />assessment against various properties in the amount of 20% of the estimated cost <br />of the ramp (approximately $300,005) and 2) the balance of the cost of the garage <br />would come from the capital improvement budget which at present has $300,000 <br />budget for the garage. Action also proposed is that the City convey the property <br />that the Danens building presently sits on to the HRA for a price of $100,000. <br />It is anticipated that the HRA would then be the development entity of the ramp <br />and the garage. <br />following major elements: 1) Jerry's Enterprises, Inc. will undertake a 43,000 <br />square foot expansion to their existing facility, 2) the HRA will agree to con- <br />struct the ramp and the garage contingent upon receipt of construction bids for <br />the estimated price and evidence of construction financing by Jerry's, 3) Jerry's <br />will pay a special assessment equal to 20% of the parking ramp cost proposed to <br />be a 15 year assessment at 8.3% interest. <br />assessment levied for the 50th and France Commercial District for their parking <br />facilities.) Jerry's will provide day to day maintenance, i.e. snow removal, etc., <br />and-can be assessed the cost of such maintenance and repairs if it fails to perform. <br />Jerry's and the HRA will enter into an Assessment Agreement, to be placed of <br />record, whereby Jerry's agrees that, for tax purposes, the Jerry's parcel will <br />have a specified minimum assessed market value in order to guarantee a minimum <br />tax increment of $80,000 annually. <br />On July 21, 1986, the HRA and Council adopted <br />Since that meeting the City has undertaken the $2,000,000 bond sale <br />A redevelopment contract with Jerry's <br />Estimated cost of the project is <br />As. to the redevelopment contract, Mr. Hughes pointed out the <br />(These terms are the same as the <br />Mr. Hughes concluded that the following <br />: <br />. of the Redevelopment Contract, 2) The HRA should authorize purchase of the <br />action by the HRA/City is recommended: 1) The HRA should authorize execution <br />. parking ramp/public.works garage land from the City, 3) the City Council should <br />authorize the sale of,the land to the HRA, and 4) The City Council should formally <br />order the public works garage as an improvement as a portion of its costs will be <br />financed through special assessments. <br />Commissioner Turner introduced the following resolution and moved its adoption: <br />. <br />No comments or objections being heard, <br />RESOLUTION AUTHORIZING THE EXECUTION OF VARIOUS <br />I <br />DOCUMENTS AND THE PURCHASE OF PROPERTY <br />BE IT RESOLVED by the Board of Conuhissioners of the Housing and Redevelopment <br />Authority of Edina, Minnesota (the "HRA") , as follows: <br />1. Recitals. <br />amended, a redevelopment plan, as defined in Minnesota Statutes, Section 462.421, <br />subdivision 15, designated as the Grandview Area Redevelopment Plan (which plan, <br />as amended, is herein called the "Plan"). <br />ment of the Plan the HRA proposes to enter into a Contract for Private Redevelop- <br />ment (the "Contract") with Jerry's Enterprises, Inc., a Minnesota corporation for <br />the development of certain land described and located within the Grandview Area. <br />The HRA and the Edina City Council have previously approved and <br />Acting pursuant to and in fullfill-