HomeMy WebLinkAbout2017-08-02 HRA Regular Meeting PacketAgenda
Housing and R edevelopment Authority Meeting
City of Edina, Minnesota
Edin a City Hall Cou n cil Cham be rs
Immediately Following The Regular City Council Meeting
Wednesday, August 2, 2017
7:00 PM
I.Call to Order
II.Roll Call
III.Approva l of Meeting Agenda
IV.Community Comment
During "Community Comment," the Housing and Redev elopment Authority
(HRA) will invite members of the a udience to share new issues or concerns
tha t haven't been considered in the past 30 days by the HRA or which aren't
slated for future consideration. Indiv iduals must limit their comments to
three minutes. The Chair may limit the number of spea kers on the same
issue in the interest of time and topic. Generally speaking, items that are
elsewhere on tonight's agenda ma y not be addressed during Community
Comment. Individuals should not expect the Commissioners to respond to
their comments tonight. Instead the HRA might refer the matter to sta, for
considera tion at a future meeting.
V.Adoption of Consent Agenda
All a genda items listed on the consent agenda are considered routine and
will be enacted by one motion. There will be no separa te discussion of such
items unless requested to be remov ed from the Consent Agenda by a
Commissioner of the HRA. In such cases the item will be remov ed from the
Consent Agenda and considered immediately following the a doption of the
Consent Agenda. (Favorable rollcall v ote of majority of HRA Commissioners
present to approve.)
A.Approv e Minutes of June 20, 2017 HRA Work Session, June 20, 2017 HRA
Regular Meeting and June 27, 2017 Special HRA Meeting
B.Appointment to Edina Housing Foundation Board of Directors
VI.Adjournment
The Edina Housing and Redevelopment Authority wants a ll participants to be
comforta ble being part of the public process. If you need assistance in the way of
hearing ampli8ca tion, an interpreter, large-print documents or something else,
please call 952-927-8861 72 hours in advance of the meeting.
Date: Augus t 2, 2017 Agenda Item #: I V.A.
To:C hair & C ommissioners of the Ed ina HR A Item Type:
Minutes
F rom:Debra A. Mangen, C ity C lerk
Item Activity:
Subject:Approve Minutes o f June 20, 2017 HR A Work
S es s ion, June 20, 2017 HR A R egular Meeting and
June 27, 2017 S pec ial HR A Meeting
Action
Edina Housing and Redevelopment
Authority
Established 1974
C ITY O F E D IN A
HO US I NG & R EDEVELO P ME NT
AUT H O R I T Y
4801 West 50th Street
Edina, MN 55424
www.edinamn.gov
A C TI O N R EQ U ES TED :
Approve minutes as presented.
I N TR O D U C TI O N :
AT TAC HME N T S :
Description
Draft June 20, 2017 Regular HRA Meeting Minutes
Draft June 27, 2017 Special HRA Meeting
Page 1
MINUTES
WORK SESSION
OF THE EDINA HOUSING AND REDEVELOPMENT AUTHORITY
JUNE 20 2017
5:30 P.M.
I. CALL TO ORDER
Chair Hovland called the HRA meeting to order at 5:38 p.m.
II. ROLLCALL
Answering rollcall were Commissioners Brindle, Fischer, Staunton, Stewart and Chair Hovland.
Edina City Staff attending the meeting: Debra Mangen, City Clerk; Chad Millner, Engineering Director; Chante
Mitchell, City Management Fellow; Scott Neal, City Manager/Executive Director; Bill Neuendorf, Economic
Development Manager; and Cary Teague, Community Development Director.
Also attending: Nick Anhut, Ehlers & Associates and Jay Lindgren, Dorsey & Whitney, City Consultants.
III. CLOSE MEETING
Motion by Commissioner Staunton, seconded by Commissioner Fischer to close the work session of the Edina
HRA as permitted by MS. 13D.05 subdivision 3(c) to consider the potential sale of the property located at
3925 and 3930-3944 Market Street.
Ayes: Brindle, Fischer, Staunton, Stewart, Hovland
Motion Carried
IV. CLOSED SESSION – POTENTIAL SALE OF PROPERTY – 3925, 3930 AND 3944 MARKET
STREET
Economic Development Director Neuendorf, along with consultants Nick Anhut and Jay Lindgren
discussed various aspects of the potential sale of property at 3925, 3930 and 3944 Market Street
including funding sources, return on investment, sale price and possible outcomes of projects if the
sale were to be completed. Staff was given direction by the HRA.
V. RE-OPEN MEETING
Motion by Commissioner Brindle, seconded by Commissioner Fischer to move back into Open
Session.
Ayes: Brindle, Fischer, Staunton, Stewart, Hovland
Motion Carried
VI. ADJOURNMENT
Chair Hovland declared the meeting adjourned at 6:26 p.m.
Respectfully submitted,
Scott Neal, Executive Director
Page 1
MINUTES
OF SPECIAL MEETING
OF THE EDINA HOUSING AND REDEVELOPMENT AUTHORITY
JUNE 27, 2107
7:00 P.M.
I. CALL TO ORDER
Chair Hovland called the HRA meeting to order at 7:00 P.M.
II. ROLLCALL
Answering rollcall were Commissioners, Brindle, Fischer, Staunton, Stewart, and Chair Hovland.
III. APPROVAL OF MEETING AGENDA
Motion made by Commissioner Stewart and seconded by Commissioner Fischer approving the
Meeting Agenda.
Ayes: Brindle, Fischer, Staunton, Stewart, Hovland
Motion carried.
IV. PUBLIC HEARING PROPOSED SALE OF AND REDEVELOPMENT AGREEMENT FOR 3925,
3930 AND 3944 MARKET STREET
For the last six months, staff has been meeting with Buhl Investors/Saturday Properties to negotiate the terms
of a property sale and redevelopment agreement for parcels owned by the Edina Housing and Redevelopment
Authority (HRA). Staff has been assisted by special legal counsel (Dorsey and Whitney) and public finance
advisors (Ehlers Associates) in these negotiations. Buhl Investors/Saturday Properties is the Preferred
Development Partner that was selected after interviewing three different teams who had responded to a
Request for Proposal (RFP) that was issued for the site in summer 2016.
The fundamental redevelopment goals are to improve public parking conditions while enhancing street life and
adding vitality to the business district. This proposal achieves those goals by replacing an aging and unfriendly
1970’s-era parking structure with below-grade parking and an expanded North Ramp that includes new
commercial space on the street level. The proposal also adds round-the-clock vitality by including 110 new
apartment units and new commercial space centered upon a new public plaza.
The Edina Planning Commission recommended approval of the project on April 5, 2017. The project concept
secured preliminary zoning approvals from the City Council on April 18, 2017 and final land use approvals
were granted on June 20, 2017. These land use approvals are contingent upon execution of a Sale and
Redevelopment Agreement mutually agreeable to Market Street LLC and the Edina HRA. The City of Edina is
also party to the Redevelopment Agreement.
The Edina Housing and Redevelopment Authority has reviewed the progress of the negotiations regularly and
met in closed session on June 20, 2017 to discuss the final terms of the proposed real estate transaction. The
complete Redevelopment Agreement and a summary of the key terms are attached. While the property is
currently owned by the Edina HRA, this information is provided to both the Edina HRA and the Edina City
Council for discussion purposes. If approved, both the City and the HRA will be party to various aspects of the
Redevelopment Agreement.
Economic Development Manager Neuendorf along with consultants, Nick Anhut, Ehlers & Associates and Alex
Sulke, Dorsey & Whitney, reviewed the proposed redevelopment agreement with Market Street LLC, and the
proposed sale of 3925, 3930 and 3944 Market Street.
Chair Hovland opened the public hearing for testimony.
PUBLIC TESTIMONY
Klaus Freyinger, 50th & France Property Owner, addressed the Housing and Redevelopment Authority
Lori Mullis, 4825 Maple Road, addressed the Housing and Redevelopment Authority
Minutes/HRA/April 4, 2017
Page 2
Heather Wallace, 4701 Townes Road, addressed the Housing and Redevelopment Authority
Mary Brimly 4950 Grimes, 50th & France employer, addressed the Housing and Redevelopment Authority
Barbara LaValleur,7621 Edinborough Way, Unit 2110, addressed the Housing and Redevelopment Authority
Suzy Haugland, 50th & France Property Owner, addressed the Housing and Redevelopment Authority
Brad Lis, representing Lunds Food Holdings Inc., addressed the Housing and Redevelopment Authority
Jim Stromberg, 3930 w 49th Street, addressed the Housing and Redevelopment Authority
Motion to close public hearing by Commissioner Fischer, seconded by Commissioner Brindle
Ayes: Brindle, Fischer, Staunton, Stewart, Hovland
Motion carried.
Chair Hovland went through the question from the public testimony, plus HRA Members added their
questions. Mr. Neuendorf, Mr. Anhut, Mr. Sulke answered questions along with Brent Rogers and Pete
Deanovic of Market Street LLC.
Following a brief discussion Commissioner Brindle made a motion to authorize the Chair and Executive
Director to execute a Redevelopment Agreement substantially similar to that provided to the HRA and all
other related documents specified in the Development Agreement. The motion was seconded by
Commissioner Fischer.
Ayes: Brindle, Fischer, Staunton, Stewart, Hovland
Motion carried.
V. RESOLUTION NO. 2017-06 AUTHORIZING SALE OF LAND TO MARKET STREET LLC
Motion made by Commissioner Fischer, seconded by Commissioner Brindle to adopt Resolution
No. 2017-06 authorizing the sale of land located at 3925, 3939 and 3944 Market Street for
redevelopment purposes subject to conditions in the Redevelopment Agreement to Market
Street LLC.
Ayes: Brindle, Fischer, Staunton, Stewart, Hovland
Motion carried.
VI. REQUEST FOR PUCHASE: PROFESSIONAL SERVICE AGREEMENT, NORTH
PARKING RAMP EXPANSION PW 17-002
Motion by Commissioner Brindle, seconded by Commissioner Staunton, to award Contract PW 17-002 North
Ramp Expansion Design Services to Mohagen Hansen Architecture and Interiors in the amount of $747,080.00.
Ayes: Brindle, Fischer, Staunton, Stewart, Hovland
Motion carried.
VII. ADJOURNMENT
Chair Hovland declared the meeting adjourned at 9:01 p.m.
Respectfully submitted,
Scott Neal, Executive Director
Date: Augus t 2, 2017 Agenda Item #: I V.B.
To:C hair & C ommissioners of the Ed ina HR A Item Type:
R ep o rt / R ecommend atio n
F rom:S c o tt H. Neal, C ity Manager
Item Activity:
Subject:Appointment to Ed ina Ho using F oundatio n Board o f
Direc tors
Ac tio n
Edina Housing and Redevelopment
Authority
Established 1974
C ITY O F E D IN A
HO US I NG & R EDEVELO P ME NT
AUT H O R I T Y
4801 West 50th Street
Edina, MN 55424
www.edinamn.gov
A C TI O N R EQ U ES TED :
M otion appointing Ann S wenson to the serve the remaining term of Edina H ousing F oundation B oard of
D irectors member J ack R ice, effective immediately, and ending on M arch 1, 2019.
I N TR O D U C TI O N :
T he Board of D irectors of the E dina Housing F oundation has five members. T hree of the board members are
appointed by the E dina H ousing and Redevelopment Authority and two are appointed by the C ity Council. M r.
Jack R ice has served on the E dina H ousing F oundation board of directors since 2003. H e has completed four
full terms on the board and is in the midst of his fifth term, which commenced with his reappointment to the
board by the H R A on M arch 1, 2016. T his term expires on M arch 1, 2019.
M r. R ice has announced his resignation from the board. B ecause M r. R ice was appointed to the Foundation
board by the H R A, the H R A must appoint a successor to fill the remaining portion of his current term. T he
bylaws of the H ousing F oundation do not prescribe a process to he be used by the C ouncil or the H R A to fill
open positions on the board. T he bylaws only require that board members be a resident of the C ity and to live in
the N eighborhood R edevelopment P lan Area.
T he most recent vacancy on the board was filled by the C ouncil when it appointed J erry G illigan in 2015. M r.
G illigan was selected using the C ouncil’s standard board and commission interview and selection process. T hat
process typically produces a short list of alternates that is used by the C ouncil to fill mid-term vacancies.
H owever, there is no such current list of alternates for the H ousing F oundation at this time.
I raised the issue of how to fill this vacancy with the C ity C ouncil at your July 18 meeting. I recommended the
C ouncil consider appointing former C ity C ouncil M ember Ann S wenson to the vacant board position without
using a formal interview process. M s. S wenson is eligible to serve on the board as she is both a resident of the
C ity of Edina and of the N eighborhood R edevelopment P lan Area. M s. S wenson is knowledgeable of City
affairs, public engagement and affordable housing policy. S he wants to be on the board. F ormer board member
Jack R ice and current board chair Jeff H uggett, both recommend her.
T he Council discussed the recommendation and reached a consensus to consider the formal appointment as the
H R A at the August 2, 2017 meeting. T he proposed H R A action has been prepared to affirm the C ouncil’s
consensus from the J uly 18 meeting to appoint M s. S wenson to fill the unexpired portion of the term, which ends
on M arch 1, 2019.