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HomeMy WebLinkAbout1993-06-21 HRA Regular Meeting • MINUTES OF THE EDINA HOUSING AND REDEVELOPMENT AUTHORITY JUNE 21, 1993 ROLLCALL Answering rollcall were Commissioners Kelly, Paulus, Rice, Smith and Richards. CONSENT AGENDA ITEMS APPROVED Motion was made by Commissioner Kelly and was seconded by Commissioner Rice to approve the HRA Consent Agenda items as presented. Rollcall: Ayes: Kelly, Paulus, Rice, Smith, Richards Motion carried. *MINUTES OF HRA MEETING OF JUNE 21, 1993, APPROVED Motion was made by Commissioner Kelly and was seconded by Commissioner Rice to approve the HRA Minutes of June 21, 1993. Motion carried on rollcall vote - five ayes. GRANDVIEV AREA REDEVELOPMENT OF KUNZ OIL/LEVIS ENGINEERING PROPERTY DISCUSSED: PROPERTY APPRAISAL ORDERED Chairman Richards referred to the memorandum dated June 21, 1993, from Executive Director Hughes providing background information for discussion purposes by the HRA Commissioners as to redevelopment alternatives for the Kunz Oil/Lewis Engineering properties. The memorandum covered the following: 1) Tax Increment Financing District (Grandview) , 2) Grandview Projects Completed, 3) Remaining Projects, 4) HRA Involvement in the • Kunz Oil/Lewis Engineering Site, and 5) Estimated Market Value of the Property. Chairman Richards then asked for comments by the Council Members as to what they envisioned for the properties. Commissioner Kelly said she had given this site considerable thought and commented as follows on potential use of the land: 10 Could live with Planned Industrial District use - mini-warehouse may make sense. 2. New City Hall - joint use with School District (new bus garage) and/or other community groups. (Current City Hall site could possibly be redeveloped as a town house project adjacent to the Edina Golf Course.) 3. Low and moderate income housing - ask Human Relations Commission for input as to need. Commissioner Kelly mentioned that the HRA has never been proactive in redeveloping this site but maybe this is the time to consider doing so. She added that she had been told that Kunz Oil is content to stay in their present location. Commissioner Smith commented that unless the HRA buys the site it cannot direct the redevelopment and any developer would take the risk that the Council may or may not approve a proposed use of the land. He said it would be hard to envision any type of housing project because of the surrounding land uses but he would consider alternative proposals for land uses. However, any proposal would have to fit with the existing road system. • Minutes/H.R.A. June 21, 1993 Page Two • Chairman Richards observed that what the HRA and Council have said is that there are no preconceived conditions for what goes on that site, but whatever is proposed must work within the existing traffic capacity. He said he differed with the opinion of some that the property has no current value because the Rainbow Foods development was denied. If that were the case, maybe the HRA should consider acquiring the property. Chairman Richards recommended that the HRA hire an independent appraiser to determine the current market value of the property and so that the HRA could better decide if it should take a more active role. Commissioner Smith said he agreed with the suggestion that a current market value be determined. John Lewis, representing Lewis Engineering, said they have a vested interest in the redevelopment of this property and have worked with a number of developers since the early '80s because they did not believe Lewis Engineering was the optimum use for the land. In 1990, Lewis Engineering moved its operation to Chaska because they understood the City wanted something else there. Mr. Lewis observed that since then two projects have not come to fruition because of obstacles in this forum and they did not envision two more years before something would be approved. He concluded that they are interested in working with the City staff to get this property redeveloped. Chairman Richards responded that he was not aware of any understanding that the City wanted to see the property redeveloped and asked if Mr. Lewis had any suggestions for use of the property. Mr. Lewis said they were open to any and all options; at this point they wanted economic value for the property. • Commissioner Paulus observed that the proposal by Jerry's Enterprises in 1990 failed because when the project was reduced in size it became price prohibitive due to value placed on the land. As to the Rainbow proposal, the traffic study update findings affirmed that the road system could not handle the intensity of that proposed use. Commissioner Paulus emphasized that Edina is a, finished community and that any redevelopment project must fit into the existing structure of the City surrounding it. John Menke, representing the Richmond Hills Homeowners Association, commented that the association supported two of the last three proposals for the site. Chairman Richards asked what type of uses they would see as compatible with the neighborhood. Mr. Menke said they are not objecting to a housing development or low impact commercial or light industrial uses. He added that the traffic report update did a good job in defining the traffic capacity of the adjacent streets and their basis concern is the intensity of any proposed use and the traffic it would create. Jack Granlund, Vice-President of Finance Lewis Engineering, reiterated that the objective of Lewis Engineering is to see some economic value out of the property and that they are looking for direction from the City and the community as to potential uses that would be approved. Chairman Richards interjected that the HRA and Council did not object to the types of land uses that have been proposed but objected to the intensity of the use. If the asking price for the land is too high the land use intensity to justify that will not fly. He said that the property owner may have to • reconsider the asking price for the property. �I Minutes/H.R.A. June 21, 1993 Page Three I Commissioner Rice commented that the Comprehensive Plan shows the site as • suitable for Planned Industrial uses and any proposed industrial use would not be subject to the rezoning process. Also, the Council had not objected to an earlier proposal for multi-family housing which was supported by the neighborhood. He suggested that the proponents may have to change their strategy in order to see the property redeveloped. Commissioner Paulus made a motion directing HRA staff to draft specifications for the purpose of hiring an independent appraiser to determine the current market value of the Kunz Oil/Levis Engineering properties for approval by the HRA Commissioners at the HRA meeting on July 19, 1993. Motion was seconded by Commissioner Smith. Ayes: Kelly, Paulus, Rice, Smith, Ric ards Motion carried. * CLAIMS PAID Motion was made by Commis ioner Kelly and vas seconded by Commissioner Rice to approve payment of claims as shown in detail on the Check Register dated June 16, 1993, and onsisting of one page totaling $46,888.55. Motion carried on rollcall vote - five ayes. There being no further business on the H Agenda, Chairman i ards declared the meeting adjourned. 'Ex6cre Director I i I i I I