HomeMy WebLinkAbout2018-04-26 HRA Regular Meeting Agenda PacketThe CITY of EDINA
The Grandview Green:
Spring Update to HRA
April 26, 2018
4-26-2018 HRA Grandview Green Presentation 1
The CITY of EDINA Agenda For Today:
History
Concept Update
Technical Studies
Policy
Financial Overview
HRA Discussion On Next Steps
4-26-2018 HRA Grandview Green Presentation 2
The CITY of EDINA HRA Discussion Sneak Peak:
•Should the Grandview Green be included in the Comprehensive Plan?
•Should the HRA sign a MOU with MnDOT?
•Should we begin lease negotiations with MnDOT?
•Should we create a phased development plan for the Grandview Green?
•Should we build a financial model that supports the phased development plan?
4-26-2018 HRA Grandview Green Presentation 3
The CITY of EDINA
Interstate and Highway Lids
are already located across
the United States- including
in MN!
4-26-2018 HRA Grandview Green Presentation 4
The CITY of EDINA Grandview History
4-26-2018 HRA Grandview Green Presentation 5
The CITY of EDINA Grandview Fall 2017-2018
Feasibility Study Urban Land Institute TAP
AAF Design Managers’ Academy
Community Open Houses Community Roadshow
Technical Studies MnDOT Policy Financial Structure
Sustainability
Property Rights
= an updated Grandview Green Concept!
Transportation
Market Research Water Main Sanitary Sewer
Storm Sewer
4-26-2018 HRA Grandview Green Presentation 6
The CITY of EDINA Grandview District: 7 Guiding Principles
Leverage publicly owned parcels and civic presence to create a vibrant and connected district that serves as a catalyst for high quality, integrated public and private development.
Enhance the district’s economic viability as a neighborhood center with regional connections, recognizing that meeting the needs of both businesses and residents will make the district a good place to do business.
Turn perceived barriers into opportunities. Consider layering development over supporting infrastructure
and taking advantage of the natural topography of the area.
Design for the present and future by pursuing logical increments of change using key parcels as stepping
stones to a more vibrant, walkable, functional attractive and life-filled place.
Organize parking as an effective resource for the district by linking community parking to public and private destinations, while also providing parking that is convenient for businesses and customers.
Improve movement within and access to the district for people of all ages by facilitating multiple modes of transportation and preserving future transit opportunities provided by the rail corridor.
Create an identity and unique sense of place that incorporates natural spaces into a high quality and sustainable development reflecting Edina’s innovative development heritage.
4-26-2018 HRA Grandview Green Presentation 7
The CITY of EDINA
Concept Update
4-26-2018 HRA Grandview Green Presentation 8
The CITY of EDINA 2017 Concept Review
Date Feedback Event Date Feedback Event
9/5 Urban Land Institute Technical Assistance Panel 10/13 Edina Chamber of Commerce
9/11 Community Health Commission 10/31 Edina Morning Rotary Club
9/12 Parks and Recreation Commission 11/1 American Architectural Foundation: City Managers’ Design Academy
9/13 Planning Commission 11/9 Public Open House at City Hall
9/26 Human Rights and Relations Commission 11/13 Public Open House at City Hall
9/28 Arts and Culture Commission 12/14 Grandview Green Alumni Focus Group
9/28 Transportation Commission MnDOT Meetings Twice Per Month
10/10 Historic Preservation Commission
10/12 Environment and Energy Commission
10/19 Edina Noon Rotary Club
Public Notices:
•75 Community Boards (coffee shops, libraries, grocery stores, etc.)
•Newspaper Event Calendars
•Online Announcements
•900+ Resident Emails (individuals who signed up for Grandview district updates over the past ten years)
4-26-2018 HRA Grandview Green Presentation 9
The CITY of EDINA The Grandview Green
Vision Statement:
Grandview Green is a model for connected, healthy, and sustainable living that operates with net-zero buildings, infrastructure, and utility services.
Mission Statement:
Creates new public green space, increasing connectivity to nature and community
Reestablishes street grids, safe pedestrian walkways and bicycle paths
Reconnects neighborhoods and communities divided by Highway 100
Delivers a fiscally sustainable model: new public amenities are born through the private development of public land
Employs sustainability efforts through conservation, renewable resources, and resilient infrastructure reducing long-term operational costs
Provides an opportunity to co-locate residential, commercial and public community centers in one district
Serves as a case study for sustainable lid development in Minnesota
4-26-2018 HRA Grandview Green Presentation 10
The CITY of EDINA
Weaknesses: Strengths:
1.Traffic Congestion 1. Safe Walking and Biking
2.Increased Density 2. New Civic Amenities
3.Not Enough Green Space 3. More Green Space
4. Why Change? 4. Change is Overdue
4-26-2018 HRA Grandview Green Presentation 11
The CITY of EDINA
Create a vista to City Hall; Let Vernon and Eden streets be the natural park boundaries.
Don’t put a road through the park. Instead consider this east-west connection as a bike-pedestrian route.
Vehicular edges are okay as they promote part access and better connections across the site.
A master developer is not recommended. While this could be done, the panel felt having a private sector team between the public and the city could add complications that make the process more challenging. In a sense, the City is the master developer.
Conduct a lid-area study to develop a master plan for the expanded district area and determine its boundaries as soon as possible. The Master Plan should allow for flexible zoning and uses. Developers will not want to face second-guessing down the road. Creating a vision and goals for the public realm as early as possible will build community interest and support and help developers envision themselves in the area.
Affordable housing for workers employed in Edina should be a priority for Grandview Green.
Consider holding one or more sites in Grandview Green specifically for affordable or mixed-income housing. The cost of land, especially in places like Edina, is a major impediment for housing developers. If a site or two were reserved for affordable housing at a discounted price, it is likely that the rest of the financing package will come together.
In addition to Edina’s Affordable Housing policy, more flexible zoning standards in Grandview may also incentivize affordable housing. One idea would be to “automatically” allow a commercial property to become mixed use with the inclusion of a certain percentage of affordable units.
4-26-2018 HRA Grandview Green Presentation 12
The CITY of EDINA
Prepare alternative density models and corresponding cost-benefit analyses to determine project viability at different buildout levels. Start with what is the least that can happen to make the infrastructure pencil out and move up from there to minimize risk.
Consider using the Alternative Urban Areawide Review (AUAR) process to facilitate alternative density models. This should be done after completing the master plan to help understand the cumulative impacts of development to the district and set the baseline for maximum densities.
Get a firmer picture of the district parking needs. Determine how it will be funded and who will build it. The private sector likely cannot afford to front end parking costs. Identify potential phasing for construction.
Look for opportunities for sustainability and shared uses across the district such as stormwater collection, garbage and recycling, and possibly district energy generation.
Start thinking about how work might be phased. This is closely related to identifying shared use opportunities. Developing a plan for how infrastructure and public realm improvements might be phased will improve efficiency, speed time to delivery, and save money.
Begin looking for strategic opportunities for land swaps and relocations. Think about how the City can work with existing property owners who may be interested in relocation within or outside of Grandview to aid in accomplishing the vision for the area.
Hire a good landscape architect to create drawings that capture the vision for the park / civic space – these are the desired highlights of this development.
4-26-2018 HRA Grandview Green Presentation 13
The CITY of EDINA Grandview Green: Updated Plan
4-26-2018 HRA Grandview Green Presentation 14
The CITY of EDINA
4-26-2018 HRA Grandview Green Presentation 15
The CITY of EDINA
4-26-2018 HRA Grandview Green Presentation 16
The CITY of EDINA
4-26-2018 HRA Grandview Green Presentation 17
The CITY of EDINA
4-26-2018 HRA Grandview Green Presentation 18
The CITY of EDINA
Technical Studies
4-26-2018 HRA Grandview Green Presentation 19
The CITY of EDINA
Technical Studies
4-26-2018 HRA Grandview Green Presentation 20
The CITY of EDINA
Technical Studies
4-26-2018 HRA Grandview Green Presentation 21
The CITY of EDINA
Technial Studies
4-26-2018 HRA Grandview Green Presentation 22
The CITY of EDINA
Technial Studies
4-26-2018 HRA Grandview Green Presentation 23
The CITY of EDINA
Technial Studies
4-26-2018 HRA Grandview Green Presentation 24
The CITY of EDINA
Technial Studies
4-26-2018 HRA Grandview Green Presentation 25
The CITY of EDINA
Technical Studies
4-26-2018 HRA Grandview Green Presentation 26
The CITY of EDINA Market Research Study
Summary: “The Grandview Green site has the potential to be a “best in class” development in the Twin Cities, incorporating a variety of land uses while incorporating “place making” into the development with leisure and green spaces. Although the development could incorporate various private sector developments; the catalyst for the Grandview Green project will be centered around the green/open space on top of the lid.”
“The lid concept should be centered on the park and recreational amenities. A park over Highway 100 would take advantage of previously unusable space off the freeway and would not displace any existing property owners. The recreational space has the potential to create economic benefits to the surrounding area while making adjacent parcels more marketable and putting new property on the tax rolls.”
4-26-2018 HRA Grandview Green Presentation 27
The CITY of EDINA Market Research Study
CRITICAL:
Transportation: Critical to the success of the project. Could include bike paths, walking paths, etc. Future transit stops and structured parking will be important to meet parking demands for tenants and events.
STRONG DEMAND:
General-Occupancy Rental Housing: Excellent area for higher-density rental housing in a mixed-use format.
Condominium Housing: Strong demand due to pent up demand and favorable demographics for condo housing.
Senior Housing: Excellent senior housing site in a mid-rise to high-rise development format.
Retail: Excellent location for retail or retail-related commercial uses. Retail could be new concepts different from 50th and France or Southdale area.
Entertainment: High household spending on dining out, entertainment and recreation in the PMA suggests strong demand for restaurants and entertainment venues. Due to the location near the Edina City Hall, other governmental and public uses would be well suited for the Grandview Green area.
VIABLE:
Office: Viable land use in the longer-term. At the present time, market is soft and not supported.
Medical Office: Because of medical concentration near France Ave., medical tenants may prefer being near established concentration of health care users. However, could still attract a user due to access to Highway 100.
Lodging: Supply is starting to outpace demand, but a select service brand may be well received at Hwy. 100 and 50th Street.
4-26-2018 HRA Grandview Green Presentation 28
The CITY of EDINA Property Research
MnDOT:
Completed fee/easement research and mapping for the district
Next Steps: the preparation of legal descriptions and deed documents necessary for the transfer of the property rights from Hennepin County to the State of Minnesota (process will begin in a few months after light rail projects are complete).
Edina:
Completed underlying title research for the district
Next Steps:
City will acquire underlying fee for one parcel where Hennepin County owns an easement
MnDOT is, however, taking the lead to research the process of transferring particular interests to the City
4-26-2018 HRA Grandview Green Presentation 29
The CITY of EDINA Transportation Study
Built upon the 2016 Grandview Transportation Study
Added new public land with assumed uses in Fall 2017 concept map
Result: Supported with some concerns under current transportation model
What will transportation look like in 5-10 years?
Car sharing, bike sharing, autonomous vehicles – big changes coming
4-26-2018 HRA Grandview Green Presentation 30
The CITY of EDINA Transportation Study
Handout
Signalized Intersections: Level of Service C or better
Unsignalized Intersection: Level of Service D or better
Identified Concerns:
Loss of east-west connector road, now dedicated to pedestrian and bicycle
Increased traffic volumes on 50th Street
Type of facility on Vernon Avenue
Cost: estimated $25 million
4-26-2018 HRA Grandview Green Presentation 31
The CITY of EDINA Sanitary Sewer Study
$3-$5.8 Million
4-26-2018 HRA Grandview Green Presentation 32
The CITY of EDINA Water Main Study
$3.1 Million
4-26-2018 HRA Grandview Green Presentation 33
The CITY of EDINA Storm Sewer
Study
$1.2 - 3.1 Million
4-26-2018 HRA Grandview Green Presentation 34
The CITY of EDINA Sustainability Study:
Impact Areas Identified
4-26-2018 HRA Grandview Green Presentation 35
The CITY of EDINA
High-Efficiency Buildings + Electrification (A2)
•~20% more efficient than anticip. 2021 MN Energy Code
•Electric space & water heating systems
Ground-Source District (A4)
•Moderate temperature loop
•Heat pump integreation allows for heating & cooling benefits
Business as Usual Development (A1)
•Equivalent of anticipated MN 2021 Energy Code
Central Plant District (A3)
•4-pipe system
•Allows for simultaneous heating & cooling
Sustainability Energy Study:
District Services
4-26-2018 HRA Grandview Green Presentation 36
The CITY of EDINA
*Based on current PUC approvals, in 2030 Xcel Energy’s emissions factor is anticipated to be 411
lbs/MWH. UnofficiallThis does include additional carbon reductions that has been unofficially
announced by Xcel Energy in October 2017.
Ground Source
+ Rooftop Solar
PV
Sustainability Energy Study:
Total Site Carbon Emissions by Scenario
4-26-2018 HRA Grandview Green Presentation 37
The CITY of EDINA Update on Proposed Legislation
Current state law does not have a provision for this type of development. Other MN communities exploring lid development include St. Paul and Duluth.
Legislation for Special TIF Legislation to Finance the Grandview Green has been introduced in both the House and Senate: HF 4408 (Anselmo, Rosenthal)/ SF 4004 (Franzen).
Much of our effort this session has been getting local legislators up to speed, identifying the TIF tools needed for financing, finalizing bill language, and starting discussions with key legislative stakeholders.
Edina and our lobbying team have met with the House and Senate Tax Chairs, the Governor’s Office, the MN Department of Transportation and other key decision makers in the Legislature. We received a hearing in the MN House of Representatives on Friday, April 20, 2018.
Local legislators and chairs have noted that this is a large and complex project and may take more than one session to accomplish legislatively.
4-26-2018 HRA Grandview Green Presentation 38
The CITY of EDINA Initial Financial Assessment
Tax Projections and TIF
Pay 2018 Rates
Square Feet /Value per sq. ft. or Estimated Market Class Tax
Units Value per unit Value Rate Capacity
$273,600,000 $3,275,750 2.31%
TAX BREAKDOWN - Annual Taxes at Full Build Out
Estimated Tax Rate and Fiscal Disparities Local TC City County School Mk Value State-wide
Value Capacity Taxes Taxes Taxes Portion Portion Dist Taxes Taxes
Tax Rate 1.45095 1.12296 0.27849 0.42808 0.10667 0.30972 0.0022182 0.43865
Gross Taxes $152,250 $247,970 $61,496 $94,528 $23,555 $68,392 $36,378 $142,890
Tax Rate 1.45095 1.12296 0.27849 0.42808 0.10667 0.30972 0.0022182 0.43865
Gross Taxes $0 $3,312,732 $821,546 $1,262,836 $314,677 $913,674 $523,495 $0
Tax Rate 1.45095 1.12296 0.27849 0.42808 0.10667 0.30972 0.0022182 0.43865
Gross Taxes $0 $0 $0 $0 $0 $0 $0 $0
$152,250 $3,560,702 $883,041 $1,357,364 $338,231 $982,066 $559,874 $142,890 $4,415,717
TIF Present Value (@4.00%):$48,429,000
Commercial $16,400,000 325,750
1,180,000 $200
Development
Institutional / Civic $21,200,000 0
Multi-Family $236,000,000 2,950,000 $3,836,227
2,950,000
Misc TOTAL
Institutional /
Civic $21,200,000 0.00%0106,000 $200
Multi-Family
% Increase to City of Edina
Tax
Capacity
Taxable
Market Value
$0
PROJECT INFORMATION - Total Build Out
$579,489
Development
Commercial $16,400,000 1.5-2%325,75082,000 $200
$236,000,000 1.25%
2.19%
0.14%0.23%
2.04%2.08%
0.00%0.00%
4-26-2018 HRA Grandview Green Presentation 39
The CITY of EDINA Initial Financial Assessment
Potential Public Sources and Uses
Years 1 2 3 4 5 6 Total
PUBLIC SOURCES
Land Sale / Lease / Assessment
Commercial (@ $45 psf land use)733,095 - 567,765 - 151,470 - 1,452,330
Multi-Family (@ $15,000/unit)2,700,000 - 7,290,000 - 7,710,000 - 17,700,000
Institutional / Civic (@ $45 psf land use)2,575,980 - - - - - 2,575,980
Land Revenues Subtotal 6,009,075 - 7,857,765 - 7,861,470 - 21,728,310
Developer Contributions (% of up-front infrastructure cost)- - - - - - -
Other City Funding (100% of infrastructure cost net of land proceeds: TIF, Fees, Bonds, etc.)38,186,905 - (7,857,765) - (3,901,470) - 26,427,670
Parking (Developer, Fees, Bonds, etc.)13,500,000 - 14,400,000 - 20,550,000 8,550,000 57,000,000
Grants - - - - - - -
TOTAL CAPITAL FUNDING 57,695,980 - 14,400,000 - 24,510,000 8,550,000 105,155,980
PUBLIC USES
MNDOT Acquisition Costs - - - - - - -
Land Write-Down (Civic Uses)2,575,980 - - - - - 2,575,980
Transportation Infrastructure 25,000,000 - - - - - 25,000,000
Utility Infrastructure (high side of ranges)12,000,000 - - - - - 12,000,000
Lid Development 4,620,000 - - 3,960,000 - 8,580,000
Parking Infrastructure (1,900 Assumed @ $30k / stall)*13,500,000 - 14,400,000 20,550,000 8,550,000 57,000,000
Environmental Cleanup Costs - - - - - - -
TOTAL CAPITAL EXPENSES 57,695,980 - 14,400,000 - 24,510,000 8,550,000 105,155,980
4-26-2018 HRA Grandview Green Presentation 40
The CITY of EDINA 1st HRA Discussion Topic: Comp Plan
Should the Grandview Green be included in the Comprehensive Plan?
4-26-2018 HRA Grandview Green Presentation 41
The CITY of EDINA
Technical Studies
4-26-2018 HRA Grandview Green Presentation 42
The CITY of EDINA
Technical Studies
4-26-2018 HRA Grandview Green Presentation 43
The CITY of EDINA 2nd HRA Discussion Topic: MnDOT
Should the HRA sign a MOU with MnDOT?
Should we begin lease negotiations with MnDOT?
4-26-2018 HRA Grandview Green Presentation 44
The CITY of EDINA
Technical Studies
4-26-2018 HRA Grandview Green Presentation 45
The CITY of EDINA
Technical Studies
4-26-2018 HRA Grandview Green Presentation 46
The CITY of EDINA
3rd HRA Discussion Topic: Development
Should we create a phased development plan for the Grandview Green?
Should we build a financial model that supports the phased development plan?
4-26-2018 HRA Grandview Green Presentation 47
The CITY of EDINA
Technical Studies
4-26-2018 HRA Grandview Green Presentation 48
The CITY of EDINA
Technical Studies
4-26-2018 HRA Grandview Green Presentation 49
The CITY of EDINA Contact Information
Scott H. Neal
City Manager
sneal@EdinaMN.gov
952-826-0401
Bill Neuendorf
Economic Development Manager
bneuendorf@EdinaMN.gov
952-491-1143
Katie Clark Sieben
Project Consultant
ksieben@EdinaMN.gov
612-655-5199
4-26-2018 HRA Grandview Green Presentation 50
EXHIBIT A: DAILY TRAFFIC VOLUMESGRANDVIEW DISTRICT TRANSPORTATION STUDY, EDINA, MN
J
InterlachenBoulevard
ArcadiaAvenueW 5 0 th S tre e tE d e nA v e nu eNormandal
eRoadWilsonRoadVernonAvenueGrange RoadHighway 100= Existing Daily Traffic
= Future Daily Traffic
= Proposed Roadway NetworkN-SConnectorE-WConnector
24,600[32,100]
22,500[24,200]
5,150[8,950]8,500[10,100]
8,500[14,500]
3,100[4,600]6,300[9,700]
5,100[6,600]
13,300[15,200]
13,300[15,500]
13,300[17,800]
18,700[22,300]
10,300[14,800]
97,000[101,500]
94,000[100,000]
0[9,000]
0[4,200]
18,700[22,800]
6,100[8,800]
6,100[7,300]
0[5,000]Highway 1000[9,700]
0[9,500]
1,100[2,400]
5,400[5,100]
5,400[3,700]
22,500[25,500]
5,000
[5,000]
M1 DEPARTMENT OF
TRANSPORTATION
MnDOT Contract Number:
MEMORANDUM OF UNDERSTANDING (MOU)
Between
The Minnesota Department of Transportation (MnDOT)
And
City of Edina
1. Purpose and Scope: The purpose of this Memorandum of Understanding (MOU) is to formally establish roles and
responsibilities between the State of Minnesota, acting through the Minnesota Department of Transportation ("State")
and the City of Edina ("City") in regard to continue the planning, construction, maintenance and usage of a highway
cover over Highway 100, and utilization of state public lands in Edina, Minnesota.
Background
Edina ("City")
The City of Edina's Grandview District consists of approximately 80 acres near the intersection of Highway 100,
Vernon Avenue, 50th Street and Eden Avenue and has served as a commercial node for more than 100 years. Today,
this district contains many apartment and condominium buildings as well as local destinations such as a grocery store,
banks, a pharmacy, city hall, a public library, a church and schools.
The area has a long and important history. Before Edina became a village, civil war veteran Beverly Yancey and his
family purchased and settled a 127 acre area that included Grandview. The Yancey's became prominent African
American pioneers and community leaders in the village. Their family was instrumental in early developments
including the decision to build the Minnehaha Grange Hall in 1879 and the later platting of the Grandview Heights
area in 1910.
Grandview has also been an important nexus within Edina for both transportation and business. What is now Vernon
Avenue was the original route for Highway 169/212 and the Dan Patch line provided passenger rail service through
the district from 1915 to 1942.
The Grandview District was transformed in the early 1970's when the primary intersection was replaced with a
freeway style interchange. While this design improved regional mobility via the state highway, it did so at the
expense of local mobility and community connectivity.
The construction of Highway 100 changed the area significantly by creating a divide between the eastern and western
communities of Edina and hindering bicycle and pedestrian mobility. In 2010, the City of Edina began drafting a
development framework for the Grandview district. Completed in 2012, the Grandview Development Framework
provides seven key guiding principles for the area. In 2016, the City of Edina completed a transportation plan for the
Grandview district which emphasized the need for increased safety and efficiency to highway 100 and safe pedestrian
and bicycle routes. In September 2016, the Edina Housing and Redevelopment Authority ("HRA") entered into a
contract to study the feasibility of constructing a cover over ("lid") Highway 100 in Edina, Minnesota (Highway 100
lid known as the "Grandview Green") and incorporated the fmdings of the Grandview Development Framework and
1
CM Memorandum of Understanding: CM Rev. 02/14/2017)
MnDOT Contract Number:
Grandview Transportation study into this work. This study, produced by Architecture Field Office, LLC (AFO) in
collaboration with Kimley Horn and Jones Lang LaSalle, assessed the economic development potential of new parcels
created on currently under-utilized or unusable right-of-way land and examined the ability of lids to reconnect
communities, promote community health and catalyze new economic development. AFO leadership previously led
the University of Minnesota's Metropolitan Design Center. After conducting research and examining data analytics,
AFO provided HRA with an understanding of: 1) development opportunities created by highway lid construction in
the Grandview location; 2) technical feasibility of highway lid construction in the Grandview location; 3) planning
alternatives consistent with Grandview area land use, density, parcel plans and phasing; and 4) an economic
projection and tax study for the Grandview Green project. This information was synthesized into a presentation for
community organizations and residents, city staff, county staff, state staff and HRA members. Subsequent to these
presentations, AFO developed and presented a formal Feasibility Study with the following findings:
• The Grandview Green project has the potential to create approximately 13 acres of new buildable land on 16
parcels. This area could support 2,525 new parking spaces and an additional 2.4 million square feet in private
development.
• Subsequent to the Grandview Green's completion, Edina's property tax revenue from the Grandview District
is projected to increase from approx. $2 million to approximately $100 million.
• Broader public investment is needed for implementation of the Grandview Green concept. The economic
investment required would total approximately $6.7 million if only one lid segment is constructed or $70-90
million if public parking ramps, both lid segments, and new roads and off-ramps are constructed.
• The State of Minnesota, through the Department of Transportation and the Metropolitan Council, and
Hennepin County are all viable public partners in addition to the City of Edina and other grant making
organizations.
The HRA continues to engage in preliminary project tasks for the Grandview Green, including a technical advisory panel
with the Urban Land Institute, community open houses and local engagement, expanded technical studies, project
planning and development and collaborative partnerships with nonprofits and state agencies.
Minnesota Department of Transportation ("State")
The Minnesota Department of Transportation's goals include the enhancement of economic development, use of
innovative fiscal practices, and mitigation of adverse effects of transportation on health and community development. In
conjunction with preparing to replace numerous aging highways and freeways in Minnesota, the State began to explore
how to incorporate these goals into the transportation planning process. During this exploration, the State leveraged
partnerships with the Minnesota Design Center, the Urban Land Institute and the Architectural Field Office to better
understand how to more efficiently utilize public land and explore the benefits of lids.
In June of 2016, the State partnered with the Minnesota Urban Land Institute to conduct a technical advisory panel (TAP).
The purpose of the TAP was to explore strategies to rebuild highways and interstates in a way that restored community
connections in adjacent neighborhoods and fostered new business and economic growth opportunities. The TAP focused
on the construction of "lids" above the roadway and preparing freeway embankments to support and accommodate
economic development.
The technical advisory panel, composed of interdisciplinary professionals working in real estate development, law,
architecture and finance, provided recommendations to the State titled, "The Healthy Communities Initiative". The
recommendations are based on three goals: 1) Reconnect communities divided and harmed by highway or interstate
2
CM Memorandum of Understanding: CM Rev. 02/14/2017)
MnDOT Contract Number:
construction; 2) Provide equitable economic opportunity by generating investment and cultivating new development on or
near lids and along state highway right of way; and 3) Build for future growth by modernizing the region's transportation
network and making underutilized public land available for development.
Through this work, the State recognizes the potential economic and societal benefits offered by the construction,
maintenance and use of highway and interstate lids which unite properties otherwise separated by a highway or other
transportation corridor.
City-State Partnership ("Partners")
The State presently holds property interests needed to fully implement the Grandview Green project. The City
approached the State in 2016 to discuss a potential collaboration between the State and the City. City and State agreed to
engage in discussions regarding current and future land rights and land management, collaborative project and facility
management and cost benefit analysis of lid development. In 2017, City and State began developing a collaborative
relationship to accomplish the Grandview Green project.
The partner agencies of the Minnesota Department of Transportation and the City of Edina ( State and City collectively
referred to as "Partners") held several discussions to examine potential logistical strategies, concept development for the
Grandview Green and present and future property and maintenance issues. Recognizing the unique opportunities
presented by Grandview Green's progress, the Pal tiers mutually support utilizing Grandview Green as a pilot project to
develop best practices for similar projects in other communities. Consistent therewith, the Partners are engaged in
collaborative discussions with other potential green lid development project teams to share knowledge and support each
other's efforts.
The Pat titers believe it is now necessary to establish a more formal relationship and provide definition to roles and
responsibilities.
2. Term of MOU: This MOU will be effective as of April 26, 2018 or the date on which all required entity signatures
have been obtained, whichever is later. This MOU will remain in effect until April 26, 2025 unless terminated earlier
as provided herein.
3. Shared Goals for State and City:
3.1. Reconnect neighborhoods and communities divided by Highway 100.
3.2. Create methods and best practices for development of lid and highway rights of way projects in Minnesota.
3.3. Define City-State partnership.
3.4. Share information and experience from the Grandview Green project with other Minnesota communities
interested in pursuing lid development.
3.5. Engage and educate the community about lid development and incorporate their opinions into the Grandview
Green development plans.
3.6. Incorporate sustainability practices to work towards a carbon neutral district.
3.7. Ensure minimal disruption of traffic operations during construction.
3.8. Improve safety and efficiency of highway accessibility and pedestrian, bicycle mobility and motor traffic on
local roads.
3.9. Increase the economic productivity of the State land and air for greater community benefit.
3.10. Increase the economic productivity of the City land for greater community benefit.
3
CM Memorandum of Understanding: CM Rev. 02/14/2017)
MnDOT Contract Number:
3.11. Develop a shared financial model for development of public land that recovers capital, maintenance and
operational costs of the public infrastructure, and provides support for lid development in Minnesota.
3.12. Foster continuing, open communication and timely exchange of information and resources.
4. Responsibilities of the City of Edina
The City of Edina will be responsible for:
4.1. Full development of a project concept, design, implementation strategy and long term management plan for the
Grandview Green highway lid project over Highway 100.
4.2. Engaging in property ownership research regarding property adjacent to the proposed lid location such that all
ownership interests in each parcel needed for the project are identified and a plan developed for purchase,
condemnation and/or other necessary disposition.
4.2.1.Engaging in discussions with the State, in good faith, with a central common goal of the construction of a
lid, the determination of proper solutions for the distribution or use of land needed for the lid, and of proper
solutions for capital, maintenance, and operation throughout the life of the project and associated
infrastructure.
4.2.2.Determining whether legislation will be proposed by the City.
4.2.3.Engaging in discussions, in good faith, on jointly determined lid-related topics, including but not limited to
reasonable potential for profits or returns on investment. To the extent deemed appropriate by joint
determination, the Partners will memorialize the results of these discussions in writing.
5. Responsibilities of MnDOT:
MnDOT will be responsible for:
5.1. Provide accurate and timely information to support the City in the development of a project concept, design,
implementation strategy and long term management plan for the Grandview Green highway lid project over
Highway 100.
5.1.1.Engaging in supplementary property research as requested by the City and, as reasonable, given State
capacity to assist, regarding land interests adjacent to the proposed lid location, including but not limited to
developing data to identify property ownership interests and providing information to develop an
acquisition and conveyance plan for the land included in the Grandview Green project.
5.1.2.Engaging in discussions with the City in good faith, with a central common goal of the construction of a
lid, the determination of proper solutions for the distribution or use of land needed for the lid, and of
proper solutions for capital, maintenance, and operation throughout the life of the project and associated
infrastructure.
5.1.3.Provide information to any needed lid-related legislative requests consistent with all state and federal laws
and policy.
5.1.4.Engaging in discussions, in good faith, on jointly determined lid-related topics, including but not limited to
reasonable potential for profits or returns on investment. To the extent deemed appropriate by joint
determination, the Partners will memorialize the results of these discussions in writing.
4
CM Memorandum of Understanding: CM Rev. 02/14/2017)
MnDOT Contract Number:
6. Contractual Obligations.
This Memorandum of Understanding is not a legally binding agreement and creates no legally binding obligations for
any party. Either party may, upon written notice, amend, or discontinue its role outlined in the MOU. Because of this
mutual desire to proceed, each party fully intends to make a good faith effort to achieve the goals described above
including working together to find mutually beneficial solutions when problems arise.
7. Authorized Representatives.
7.1. The State's Authorized Representative will be:
Name:
Title:
Location Name: ( MnDOT Office, Division)
Address: (12345 St. City, State, #####-###I0
Phone:
Email:
7.2 The City's Authorized Representative will be:
Name:
Title:
Location Name:
Address:
Phone:
Email:
7.3
Name:
Title:
Location Name:
ddress:
Phone:
Email:
Scott Neal
City Manager
The City of Edina
4801 W. 50th Street, Edina, MN 55424 (12345 St, City, State, #####-####)
952-927-8861
SNeal@EdinalVIN.gov
The HRA's Authorized Representative will be:
Scott Neal
BRA Executive Director
Edina HRA
4801 W. 50th Street, Edina, MN 55424
952-927-8861
SNeal@EdinaMN.gov
8. Government Data.
The parties acknowledge that this MOU, as well as any data created, collected, stored, or received under the terms of
this MOU, are "Government Data" within the meaning of the Minnesota Government Data Practices Act (Minnesota
Statutes chapter 13), and that they must comply with the provisions of the Act as it relates to such data.
The remainder of this page intentionally left blank.
5
CM Memorandum of Understanding: CM Rev. 02/14/2017)
MnDOT Contract Number:
I concur with this Memorandum of Understanding
Minnesota Department of Transportation: The City of Edina
By: By:
Title: Title: Mayor
Date: Date:
MnDOT Contract Management Edina Housing and Redevelopment Authority
(as to form and execution)
By: By:
Title: Title: Chair
Date: Date:
Title: Secretary
Date:
6
CM Memorandum of Understanding: CM Rev. 02/14/2017)