HomeMy WebLinkAbout2018-05-24 HRA Regular Meeting Agenda Packet
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MINUTES
OF REGULAR MEETING
OF THE EDINA HOUSING AND REDEVELOPMENT AUTHORITY
MAY 10, 2018
7:30 A.M.
I. CALL TO ORDER
Chair Hovland called the HRA meeting to order at 7:33 a.m.
II. ROLLCALL
Answering rollcall were Commissioners Fischer, Staunton, Stewart and Chair Hovland. Absent was
Commissioner Brindle.
III. APPROVAL OF MEETING AGENDA
Motion made by Commissioner Fischer seconded by Commissioner Stewart amending the agenda
by removing Consent Agenda Item V.B. Approve Second Amendment to Market Street
Redevelopment and approving the Meeting Agenda.
Ayes: Fischer, Staunton, Stewart, Hovland
Absent: Brindle
Motion carried.
IV. COMMUNITY COMMENT
Ms. Sharon Gregoire, 5101 W. 44th Street addressed the HRA. Ms. Gregoire said the stairs currently in the
sketch plan for the Grandview Tower/Art Center Development were risky and handed out suggestions for
improvements.
V. CONSENT AGENDA ADOPTED
Motion made by Commissioner Fischer seconded by Commissioner Stewart approving the
consent agenda as follows:
V. A. Approve minutes of April 26, 2018 Regular HRA Meeting.
V.C. Approving the contract with Interstate Parking Company for valet parking services for
$25.00 per hour of service.
Ayes: Fischer, Staunton, Stewart, Hovland
Absent: Brindle
Motion carried.
VI. REPORTS/RECOMMENDATIONS – (Favorable vote of majority of HRA Board Members
present to approve except where noted).
VI.A. RESOLUTION 2018-03 SUPPORTING AFFORDABLY-PRICED HOUSING AT 4100
WEST 76TH STREET USING TAX INCREMENT FINANCING; AND
VI.B. RESOLUTION 2018-04 SUPPORTING AFFORDABLY-PRICED HOUSING AT 4100 WEST
76TH STREET
Economic Development Manager Neuendorf explained that Aeon, a non-profit real estate developer specializing
in affordable housing planned to construct a building that would have about 80 apartment units including a
combination of one, two, and three-bedroom units serving all population earning 30-60 percent of median
income. Mr. Neuendorf said Aeon has requested that the HRA be an early funder by contributing $925,000 tax
increment financing. He stated Aeon planned to apply to Minnesota Housing Finance Authority (MHFA) for their
largest funding source and financial support by local municipalities was given strong consideration when the
MHFA evaluates projects.
The HRA was in favor of the project but was concerned that not having a guiding policy or matrix made it difficult
to determine how much tax increment financing to contribute to affordable housing projects.
Minutes/HRA/May 10, 2018
Page 2
Vice President Blake Hopkins, Aeon, explained that the application deadline to MHFA was June 14. He stated
one of four applications were approved and the ones with a commitment of City funds were generally approved.
He stated the resolution had a claw back provision that allowed the City to recover the money if the application
was not approved.
Motion of Commissioner Staunton seconded by Commissioner Fischer approving Resolution No.
2018-03 supporting affordably-priced housing at 4100 West 76th Street using Tax Increment
Financing, and delaying for two weeks the approval of Resolution No. 2018-04 supporting
affordably-priced housing at 4100 West 76th Street.
Ayes: Fischer, Staunton, Stewart, Hovland
Absent: Brindle
Motion carried.
VI.C. REQUEST FOR TAX INCREMENT FINANCING FOR 4500 FRANCE AVENUE
Mr. Neuendorf explained that the developer’s building design included 7,200 square feet of commercial tenants
space on the first floor and 52 apartments, most priced at market rates and 10 percent at affordable rates. Mr.
Neuendorf recommended that the HRA considered the request for $5M in Tax Increment Financing for the
challenging site so the vacant property could be redeveloped before it had a deleterious effect on the
neighborhood. He noted the developer looked for outside funders because the assistance amount requested
was high.
The HRA noted there was a role for tax increment financing for some infrastructure items but the amount
requested was too high for how little the public would benefit.
VI.D. DEVELOPMENT PARTNER UPDATE FOR 5146 EDEN AVENUE
Mr. Neuendorf introduced Dave Anderson, Frauenshuh and Dean Dovolis, DJR Architecture, Inc. who reviewed
four scenarios that included a 30,000 sq. ft. community arts/active adult center, two with structured parking, a
civic green, and either 139 or 147-unit residential tower and 27 affordable art lots. One scenario included
community arts/ active adult center with surface parking and a sculpture garden and one suggested sale of the
property for 100 percent private use.
Discussion centered on Scenario B that would have the community arts/active adult center structured parking,
civic green, 139 unit mid-rise residential building and 27 affordable art lots. The HRA asked questions of Mr.
Dovolis and Mr. Anderson, Frauenshuh.
VI.E. MOTION TO CLOSE MEETING OF THE EDINA HRA AS PERMITTED BY MS. 13D.05
SUBDIVISION 3 TO DICUSS THE POTENTIAL SALE OF REAL PROPERTY LOCATED AT
5146 EDEN AVENUE
The HRA noted no reason to close the meeting.
VI.F. CLOSED – Meeting was not closed.
VI.D MOTION TO MOVE BACK INTO OPEN SESSION – Meeting was not closed.
VII. CORRESPONDENCE
VII.A. CORRESPONDENCE – None.
IX. MAYOR AND COUNCIL COMMENTS – None.
X. MANAGER’S COMMENTS – None.
XII. ADJOURNMENT
There being no further business on the HRA Agenda, Chair Hovland declared the meeting adjourned at 9:31
a.m.
Minutes/HRA/May 10, 2018
3
Respectfully submitted,
Scott Neal, Executive Director
QB\52301345.3
RELEASE AGREEMENT
THIS RELEASE AGREENIENT ('Release Agreement"), dated
2018, entered into by and between the CITY OF EDINA HOUSING AND REDEVELOPMENT
AUTHORITY, a body politic and corporate under the laws of the State of Minnesota ("Edina
HRA"), and CENTENNIAL LAKES PLAZA, LLC, a Virginia limited liability company,
("Property Owner").
RECITALS
WHEREAS, SCA, Inc. Of Minneapolis (SCA) was the prior owner of property
("Property") legally described as Lots I and 2, Block l, South Edina Development Second
Addition, according to the plat thereof, Hennepin County, Minnesota; and
WHEREAS, on October 3, 1988, SCA and the Edina HRA entered into an Agreement for
Covenants Running with the Land ("Covenant Agreement") which was recorded in the office of
the Hennepin County Recorder as document number 5465044, on October 14, 1988, and which
runs with the land and is binding on all subsequent owners of the Property; and
WHEREAS, the Covenant Agreement requires the payment of a fee ("Public Maintenance
Charge") to be used by the Edina HRA for the maintenance of what is now known as Centennial
Lakes Park; and
WHEREAS, pursuant to the Covenant Agreement, said Public Maintenance Charge was
owed monthly by all owners of the Property; and
WHEREAS, Property Owner obtained title to the Property on September 14, 2006; and
WHEREAS, there is a dispute between the parties regarding the Public Maintenance
Charge; and
WHEREAS, at all relevant times, the Edina HRA has been the owner of Centennial Lakes
Park; and
WHEREAS, in an effort to settle all past and outstanding claims by the Edina HRA against
Property Owner, the parties have agreed to the terms of this Release Agreement and an amount to
be paid by Property Owner for the total and complete release of past and outstanding claims by
the Edina HRA for Public Maintenance Charges due on or before the date of this Release
Agreement.
NOW, THEREFORE, the parties, in consideration of the following provisions and
covenants, do hereby agree as follows:
QB\52301345.3
1. Payment. Contemporaneous with the execution of this Release Agreement,
Property Owner shall pay the Edina HRA a payment in the amount of Five Thousand, Sixteen and
41/100 dollars ($5,016.41) ("2018 Payment"). On or before May 5, 2019, Property Owner shall
pay the Edina HRA a payment in the amount of Five Thousand, Two Hundred Seventy Six and
23/100 dollars ($5,276.23) ("2019 Payment"). On or before May 5, 2020, Property Owner shall
pay the Edina HRA a payment in the amount of Five Thousand, One Hundred Forty One and
82/100 dollars ($5,141.82) ("2020 Payment"). The foregoing payments are in full and final
settlement of any and all Claims (as defined below) related to all Public Maintenance Charges due
under the Covenant Agreement as of the date hereof, including, without limitation, any penalties,
fines, and interest thereon.
2. Release of Claims. Upon receipt of the 2018, 2019, and 2020 Payments, the Edina
HRA shall give up all Claims (defined below) against Property Owner. The Edina HRA will not
bring any lawsuits, file any charges, complaints, or notices, or make any other demands against
the Property Owner based on said Claims. For the purposes of this section, "Claims" means all of
the rights the Edina HRA has now to any relief of any kind from Property Owner for Public
Maintenance Charges owed for the Property on or before the date of this Release Agreement.
"Claims" does not include the rights of the Edina HRA related to Public Maintenance Charges
which may become due after the date of this Release Agreement or which are owed for properties
other than the Property.
3. Continuing Responsibility. Property Owner shall continue to be responsible for the
payment of Public Maintenance Charges that become due after the date of this Release Agreement
and during the time Property Owner owns the Property, in the manner set forth in the Covenant
Agreement. All parties agree that, pursuant to the Covenant Agreements, as of April 5, 2018, the
Public Maintenance Charge is $3,148.10 per month. All parties further agree that Edina HRA shall
notify the Association of the Public Maintenance Charge due each month, which amount will
automatically increase annually on May 5 th of each year, in the manner set forth in the Covenant
Agreements. On or before April 5 th of each year, Property Owner shall meet with the City of Edina
Finance Department by phone or in person to confirm that Property Owner is aware of the amount
of the annual increase of the Public Maintenance Charge. The Edina HRA will provide the
Property Owner with a copy of the annual budget for Centennial Lakes Park upon request.
4. No Admission of Liability. It is expressly understood and agreed that the above
payment is for the purpose of settling and compromising claims by Edina HRA against the
Property Owner, which are disputed. It is understood and agreed that this settlement does not
constitute any admission of fault, responsibility, or liability on the part of the Property Owner or
the Edina HRA and that all fault, responsibility or liability on the part of the Property Owner or
the Edina HRA is expressly denied.
5. No Third Party Rights. This Release Agreement is solely for the benefit of the
parties hereto. This Release Agreement shall not create or establish any rights in or for the benefit
QB\52301345.3
of any third party. This Release Agreement does not release any third party from its obligation to
pay the Public Maintenance Charge.
6. Entire Agreement. It is understood and agreed that the entire agreement of the
parties is contained herein and that this Release Agreement supersedes all oral agreements and
negotiations between the parties relating to the subject matter hereof. Any alterations,
amendments, deletions and waivers of the provisions of this Release Agreement shall be valid
only when reduced to writing and duly signed by each party.
7. Governing Law. This Release Agreement will be governed and construed in
accordance with the laws of the State of Minnesota, regardless of the parties' domicile or status as
residents of Minnesota or any other state. The parties agree that the Minnesota state and federal
courts will have exclusive jurisdiction over any dispute arising out of this Release Agreement.
8. Executed in Counterparts. This Release Agreement may be executed in
counterparts, each of which shall be deemed to be an original, but all of which, taken together,
shall constitute one and the same Release Agreement.
IN WITNESS WHEREOF, the parties have caused this Release Agreement to be
executed on the date written above.
CITY OF EDINA HOUSING AND
REDEVELOPMENT
AUTHORITY
By:
James B. Hovland, Chair
And:
Robert J. Stewart, Secretary
PROPERTY OWNER
CENTENNIAL LAKES PLAZA,
LLC
By:
Its:
4835-1551-3701\2
SECOND AMENDMENT
to
REDEVELOPMENT AGREEMENT
by and among
THE CITY OF EDINA, MINNESOTA,
THE HOUSING AND REDEVELOPMENT AUTHORITY
OF THE CITY OF EDINA, MINNESOTA,
and
EDINA MARKET STREET LLC
Dated as of
May ___, 2018
THIS DOCUMENT WAS DRAFTED BY:
Dorsey & Whitney LLP
50 South Sixth Street, Suite 1500
Minneapolis, MN 55402-1498
4835-1551-3701\2
SECOND AMENDMENT TO
REDEVELOPMENT AGREEMENT
THIS SECOND AMENDMENT TO REDEVELOPMENT AGREEMENT (this
“Amendment”) is made and entered into this ___ day of May, 2018 (“Second Amendment
Effective Date”), among the CITY OF EDINA, MINNESOTA, a Minnesota statutory city (the
“City”), the HOUSING AND REDEVELOPMENT AUTHORITY OF THE CITY OF
EDINA, MINNESOTA, a public body corporate and politic organized and existing under the
laws of the State of Minnesota (the “Authority”) and EDINA MARKET STREET LLC, a
Minnesota limited liability company (“Developer”) (together, the “Parties”).
RECITALS
WHEREAS, the City, the Authority and Developer are parties to a Redevelopment
Agreement dated June 27, 2017, as amended by First Amendment to Redevelopment Agreement
dated December 19, 2017 (collectively, the “Redevelopment Agreement”) and all capitalized
terms used in this Amendment shall have the meaning given them in the Redevelopment
Agreement; and
WHEREAS, the Parties have agreed to amend the Redevelopment Agreement on the
terms and conditions set forth herein.
NOW, THEREFORE, in consideration of the promises and the mutual obligations of
the Parties hereto, each of them does hereby covenant and agree with the other as follows:
1. Valet Parking. The following is hereby added at the end of Section 5.10 of the
Redevelopment Agreement:
“Notwithstanding anything to the contrary in this Section 5.10, the
following provisions shall control as of the Second Amendment Effective Date
and any of the provisions of Section 5.10 not inconsistent with the following shall
remain in full force and effect after the Second Amendment Effective Date:
As of the Second Amendment Effective Date, the City has hired and holds
the contracts for (i) a parking management service to oversee public parking
operations in the Project Area and (ii) a valet parking service to provide the valet
services described in Section 5.10. The City shall continue to hold and manage
such contracts and service providers through the substantial completion of the
North Ramp Improvements (anticipated to be on or about September 30, 2018).
Each such service provider will be a reputable vendor who is mutually acceptable
to the City and Developer
Developer shall be responsible for 22% of all costs incurred by the City or
Developer for such parking management services and such valet parking services,
including miscellaneous costs, such as signage and banners, related to the valet
parking, for the period from January 1, 2018 through September 30, 2018. The
City shall be responsible for the remaining 78% of all such costs and 100% of
such costs incurred after September 30, 2018. For such costs incurred by either
2
4835-1551-3701\2
party prior to the Second Amendment Effective Date, Developer and the City
shall reconcile such costs and reimburse each other as necessary based on the
foregoing 22%/78% cost allocation and actual invoices and other documentation
of such costs. Following the Second Amendment Effective Date, Developer shall
reimburse the City for Developer’s share of actual costs incurred on a monthly
basis upon presentation of invoices and other documentation of such costs. Any
increase or decrease in the level or hours of valet service must be mutually agreed
upon.
Developer shall continue to be solely responsible for the cost of securing
the off-site parking at Mercy Covenant Church in accordance with this Section
5.10.”
2. Entire Agreement. Except as herein amended, other terms and provisions of the
Development Agreement, as amended, shall remain in full force and effect.
3. Ratification. Except as specifically modified by this Amendment, the terms and
provisions of the Redevelopment Agreement shall remain in full force and effect.
4. Binding Effect. This Amendment amends and supplements the Redevelopment
Agreement. If there is a conflict between the provisions of the Redevelopment Agreement and
this Amendment, the provisions of this Amendment shall control. This Amendment shall be
binding upon and inure to the benefit of the City, the Authority, Developer, and their respective
successors and assigns.
5. Counterparts. This Amendment may be executed simultaneously in one or more
counterparts, each of which shall be deemed an original, but all of which together shall constitute
one and the same instrument. Facsimile or email copies shall be deemed originals.
[SIGNATURES APPEAR ON FOLLOWING PAGES]
[Signature Page to Amendment to Redevelopment Agreement]
4835-1551-3701\2
IN WITNESS WHEREOF, the City, the Authority and Developer have caused this
Amendment to be duly executed in their names and on their behalf, all on or as of the date first
above written.
CITY OF EDINA, MINNESOTA
By: _____________________________
Mayor
By: _____________________________
City Manager
STATE OF MINNESOTA )
) ss.
COUNTY OF HENNEPIN )
The foregoing instrument was acknowledged before me this ____ day of
________________, 2018, by James B. Hovland and Scott Neal, the Mayor and City Manager
respectively, of the City of Edina, Minnesota, on behalf of the City of Edina.
Notary Public
[Signature Page to Amendment to Redevelopment Agreement]
4835-1551-3701\2
HOUSING AND REDEVELOPMENT
AUTHORITY OF THE CITY OF EDINA,
MINNESOTA
By: ______________________________
Chair
By: ______________________________
Secretary
Reviewed and Approved:
__________________________________
Scott H. Neal
Executive Director
STATE OF MINNESOTA )
) ss.
COUNTY OF HENNEPIN )
The foregoing instrument was acknowledged before me this ____ day of
________________, 2018, by James B. Hovland and Robert Stewart, the Chair and Secretary
respectively, of the Housing and Redevelopment Authority of the City of Edina, Minnesota, on
behalf of said Authority.
Notary Public
[Signature Page to Amendment to Redevelopment Agreement]
4835-1551-3701\2
EDINA MARKET STREET LLC
a Minnesota limited liability company
By: Edina Market Street Manager LLC
a Minnesota limited liability company
Its: Managing Member
By: __________________________________
Peter Deanovic
Its: Chief Executive Officer
STATE OF MINNESOTA )
) ss.
COUNTY OF HENNEPIN )
The foregoing instrument was acknowledged before me this ___ day of
________________, 2018, by Peter Deanovic, the Chief Executive Officer of Edina Market
Street Manager LLC, a Minnesota limited liability company, the Managing Member of Edina
Market Street LLC, a Minnesota limited liability company, on behalf of the limited liability
company.
Notary Public
May 24, 2018
Board of the Edina Housing and Redevelopment Authority
Bill Neuendorf, Economic Development Manager
Pentagon Park Master Redevelopment Agreement Update
Information / Background:
In 2014, the Edina Housing and Redevelopment Authority (HRA) entered into a Master
Redevelopment Agreement with Hillcrest Properties (dba Pentagon Revival). This Agreement
identified the manner and scope in which tax increment financing (TIF) could be used for multiple
projects in the 42-acre site. The Agreement anticipated a focus on new employment (office, hotel,
and retail) arranged around a series of new public roadways and outdoor spaces. It is recognized
that the Agreement only governs the use of TIF and that land use is a regulatory function of the
City.
The Agreement anticipated that some future parcels might be redeveloped by the property owner
while others might be sold to third parties for redevelopment purposes. The Agreement set out
guidelines for each potential “element” of the overall project. Provisions were established in the
event that the property owner served as a “phase developer” or “phase constructor”.
In recent months, the property owner has brought forward two proposals regarding
redevelopment of the South Parcels and portions of the North Parcels. A purchase agreement with
Chase Real Estate is pending for approximately 10-acres on the North Parcel. A joint venture is
pending with Solomon Real Estate for the 12-acre South Parcel.
Amendments to the Master Redevelopment Agreement will be necessary to address the specific
scope and needs of these proposed projects. Time is of the essence because Minnesota TIF Statute
requires that funds be expended or firmly committed by June 2019. The Master Agreement should
be modified in summer 2018 so that construction activity can begin later this year.
STAFF REPORT Page 2
City staff, with input from legal and public finance advisors, has met with the property owner on
several occasions in recent months to discuss the proposals and potential amendments to the
Master Redevelopment Agreement.
At this time, no specific Amendments are proposed. The purpose of this staff report is to update
the HRA Board on the overall status of these discussions.
South Parcel Amendments
The proposed mixed-use project consisting of office, hotel, and retail on the south side of 77th
Street requires minimal changes to the Master Agreement.
North Parcel Amendments
The proposal for the North Parcels includes new multi-family housing with a focus on seniors
instead of the originally anticipated office space. This change is due to the very slow demand for
new office space and the continued interest in new housing. The parcels are intended to be sold to
a third-party (Chase Real Estate). In this case, the property owner (Hillcrest) will be viewed as a
“phase developer” while Chase will be evaluated as a “secondary redeveloper”.
The proposed apartment and senior buildings on the North Parcels will require a few significant
changes to the Agreement. To date, agreement has not been reached on the content of these
potential amendments. Outstanding issues include:
• Affordably-priced housing – the current land use proposal is for all market-rate units with
the intention of constructing an affordably-priced building at a future date. This type of
deferred strategy should comply with City policy. Terms have not been reached with the
amount of financial security provided in lieu of the units. A deadline for delivery of these
future units also has not been agreed upon.
• Public parking – the Agreement requires that some of the on-site parking be available for
users of the Fred Richards Park. The Park Master Plan calls for 230 shared parking stalls (in
addition to those provided in the public park itself. While Chase Real Estate proposes to
include approximately 100 shared parking stalls, no agreement has been reached with the
property owner for the future shared use of the additional 130 parking stalls.
These issues will need to be resolved in order to move forward with anticipated redevelopment
agreements with Solomon Real Estate and Chase Real Estate.
# # #
May 24, 2018
Board of the Edina Housing and Redevelopment Authority
Bill Neuendorf, Economic Development Manager
5146 Eden Avenue: Final Action regarding Preliminary Development Agreement with
Frauenshuh, Inc.
Information / Background:
In December 2017, the Edina Housing and Redevelopment Authority (HRA) entered into a Preliminary
Development Agreement (PDA) with Frauenshuh Inc. to explore the redevelopment of the City’s former
Public Works site located at 5146 Eden Avenue. Frauenshuh was engaged after the Edina HRA conducted a
competitive selection process in 2014.
The Agreement called for a mixed-use concept that includes a combination of: indoor and outdoor public
facilities such as a new Art Center and Marketplace, market-rate housing, affordably-priced housing and a
shared parking facility with the potential to serve as a park-and-ride. These elements were identified based
on community input collected in recent years.
Earlier this year, the HRA Board and Developer were unable to reach agreement on business terms
regarding the initial design concept with a residential high-rise. The Agreement was twice amended to
extend the date by which the HRA must make a decision whether or not to proceed. These extensions
allowed both parties additional time to explore a re-scoping of the project to reduce costs and replace the
high-rise with a mid-rise residential building. A summary of the current redevelopment approach is attached.
This summary has been prepared by staff with proposed revisions by the developer.
While progress has been made, it is not apparent that mutually agreeable business terms or concept will be
identified in time to satisfy the May 30th deadline. Recognizing that the financial penalty to the HRA increases
substantially if a timely decision is not made, staff recommends the following actions:
1) Terminate the Agreement and reimburse the developer for the agreed upon portion of the work as
defined in the Agreement.
a. Reimbursement is approximately 50% of the developer’s costs, not to exceed $81,750.
2) Review the concept materials, define the City’s expectations more precisely and reach out to the
real estate community to find a more feasible redevelopment concept that provides greater benefit
to the HRA and City.
# # #
Potential Path for Redevelopment of 5146 Eden Avenue
DRAFT PREPARED 5-21-2018
1) Redevelop vacant site with a mixture of public and private uses including the following:
a. Mid-rise apartment (or condominium) building – approx. 145 total units including
approximately 17 affordably-priced units within the main building
b. Underground parking with approx. 160 stalls open to the public and approx. 167 stalls
for private use (approx. 167 stalls)
c. New civic building with focus on arts and active adults (30,000 Sq. Ft.)
d. Affordably-priced housing, 10 percent per City policy
e. Outdoor civic green space
f. Woonerf that terminates at rail road with future crossing potential
g. pedestrian connection over rail road tracks to Parking Ramp
h. Site plan subject to City’s standard development review and rezoning process
i. A concept plan illustrating these elements is not available at this time but may be
submitted on the meeting date.
2) HRA to sell 100% of the site to developer with option to retain or purchase ownership of civic
pad
a. This is modification from Dec. 2017 Preliminary Development Agreement that presumed
no more than 40% of land would be sold to private developer
b. Property split into two parcels – residential parcel and civic parcel
c. Residential land price determined via market price based on the number of living units
approved – a price has not been determined – further discussion is required
d. Civic land price is equivalent to the option price for the prepared pad –further
discussion required
e. City/HRA retains first right for ownership of future “pad” for civic building on top of
podium; if City/HRA fails to complete shell building construction within 3-5 years TBD ,
developer could proceed with additional private development on the civic pad
3) Developer to engage professionals to prepare documents to secure land use entitlements
a. Developer to prepare final construction drawings for all private and shared elements
b. City to have 50/50 input in design of public parking, public green space, woonerf and
bridge over railroad tracks
c. City to prepare final construction drawings for new civic building on top of public
parking
4) Suggested Development and Construction Schedule
a. Development Agreement and Entitlements – June to Dec 2018
b. Parking Platform and Market Rate/Affordable Apartment construction – begin Spring
2019
c. Civic Building construction – begin Fall of 2019 or Spring 2020
5) Developer to prepare site and construct parking podium along with market-rate units,
affordable units and outdoor public green space
a. Developer to deliver a buildable pad for future civic building (per predefined column
dimensions and vertical circulation locations)
b. City/HRA retains first right for ownership of future “pad” for civic building on top of
podium at no cost or pre-negotiated price; if City/HRA fails to complete shell
construction within 3-5 years TBD, developer could proceed with additional private
development on the civic pad
6) City/HRA to construct new civic building on top of public parking podium
a. City to begin programming and design in 2018
b. If City chooses, a commercial business operation can be included as part of the civic
building (coffee, café, etc)
c. City to begin fund-raising in 2018/2019
d. Construction to begin Fall 2019 or Spring 2020
e. Developer proposes woonerf constructed as part of the new civic building rather than
with the other site work – this item requires further discussion
7) City/HRA anticipated to issue one or more financeable Pay-as-you-go TIF Notes or internal fund
loan prior to or upon completion
a. City/HRA to review pro forma to confirm “but for”
b. Amount of Note to address reimbursement of qualified costs including public parking
and parking podium costs and a portion of the costs to deliver affordable units over and
above the City’s Affordable Housing Policy (more units and/or longer term)
c. Note to bear market-rate interest
d. City/HRA to review financials upon completion and upon future sale to confirm “but
for”; clawback provisions will be included
8) If Developer chooses, City will submit applications for outside grant funding for site remediation
and other grant-eligible expenses
a. Applications to be prepared by Developer with City staff review
b. TBRA & DEED deadlines of November 2018
c. MHFA deadline of June 2019
d. Met Council housing deadline TBD
e. Hennepin County and other grant deadlines TBD
9) Miscellaneous Issues
a. City to modify Jerry’s Ramp truck access prior to 5146 site work
b. Developer recommends Parking operation plan for better utilization of Jerry’s ramp
c. Developer intends to request financial participation from Edina Housing Foundation
END
952.829.3480 frauenshuh.com 7101 West 78th Street Minneapolis, MN 55439
May 23, 2018
Via email only to: BNeuendorf@EdinaMN.gov
Bill Neuendorf
Economic Development Manager
City of Edina HRA
4801 W 50th Street
Edina, MN 55424
Re: Preliminary Development Agreement
Timeline Extension
Mr. Neuendorf,
As requested, this letter serves as notice that Frauenshuh, Inc. is agreeable to extending the dates in
Paragraph 1, subsection (e) and (k) of the Preliminary Development Agreement, to June 30th, 2018,
together with a commensurate extension of the dates in Paragraph 1, subsection (h) and paragraph 16 to
allow completing the Contract.
Given the constructive progress to date, this extension would allow the HRA and Frauenshuh, Inc. to finalize
the business terms and timelines outlined in the draft terms sheet dated May 21, 2018, to be further
discussed during the HRA meeting on May 24th, 2018.
It’s been our pleasure working in collaboration with the City of Edina HRA to achieve a viable public/private
use redevelopment vision that serves as an investment catalyst and dynamic civic resource in the
Grandview District.
We look forward to these important next steps in the project!
Best Regards,
David M. Anderson
Senior Vice President
c: HRA Commissioners
Grandview Site Area Allocations
Residential Mid-Rise
Approximately 1.18 acres
Civic Green
Platform/Plaza
Approximately .95 acres
Community Center/Civic
Plaza
Approximately 1.16 acres
Scenario B.1
- new civic at northeast corner
concept for discussion only
May 23, 2018
C
D
A
Scenario B.2
- new civic at northwest corner
concept for discussion only
May 23, 2018
CA
D
GRANDVIEW SUBDIVISION AND VERTICAL RIGHTS
A – Fee ownership Private (subdivided RLS parcel)
B – Fee ownership Private (subdivided RLS parcel)
C – Air Rights Option to City
D – Easement or CIC subdivision for Civic Plaza/Platform
A
B
C A
D
prepared 5-23-2018
May 24, 2018
Board of the Edina Housing and Redevelopment Authority
Bill Neuendorf, Economic Development Manager
Request for Development Assistance for Pentagon Park South:
4815-4901 West 77th Street and 7710 Computer Avenue
Information / Background:
A Tax Increment Financing (TIF) District was established in 2014 in anticipation of the
redevelopment of the antiquated office buildings known as Pentagon Park. At that time, many of the
properties had been re-assembled by Hillcrest Properties after a previous redevelopment effort
failed during the Great Recession. Most parcels had fallen into foreclosure and were owned by
several different financing institutions. Occupancy plummeted during this time period as did the
assessed valuation of the properties.
Also in 2014, Edina Housing and Redevelopment (HRA) entered into a Master Redevelopment
Agreement with Hillcrest Properties (dba Pentagon Revival). The property owner razed the aging
building on the “South Parcel” and prepared a ‘shovel ready’ site in 2015.
In 2017, the Estimated Market Value of the five vacant parcels was $6,866,500. Collectively, the
South Parcel paid $239,929 in 2017 property taxes. This is far below the potential of this
commercially-zoned property.
The 12.1 acre South Parcel is now proposed to be redeveloped into a mixed-use project including
hotel, office and retail. A joint venture is anticipated potentially including Hillcrest Properties,
Pentagon Revival and Solomon Real Estate. Several “pads” would be prepared by the property
owner and sold to third-parties to build and operate the individual buildings.
The current proposal for the South Parcel includes two phases and 9 potential building elements
described in the following table. The overall redevelopment effort is estimated to cost more than
$120 million. This will greatly enhance the tax capacity of the vacant property – an increase of 10
to 15 times the current assessed valuation. Most of the development risk would rest with the Joint
Venture partners responsible for preparing the site for the individual buildings.
STAFF REPORT Page 2
Description of Building Elements Comment
Phase 1
(approx.
2018-2021)
1) Retail 1 Joint Venture (JV) to deliver pad with
Solomon as operator 2) Retail 2
3) Retail / Office
4) Dual-branded hotel JV to deliver pad; third-party to construct
and operate
5) Parking Garage JV to deliver garage as pad
6) Extended stay hotel on top
of parking garage Third-party to construct and operate
Phase 2
(dates TBD)
7) Office 1 JV to prepare site for future construction of
Phase 2 elements 8) Parking Garage
9) Office 2
The property owner has requested financial participation from the Edina HRA using tax increment
financing in accordance with the Master Redevelopment Agreement. The developer must prepare
the site and install complete infrastructure. The use of incremental taxes will allow the
owner/developer to realize a market-rate return on investment.
The developer has provided a summary of extraordinary costs and benefits to the public (see
attached). The general tasks to be undertaken to prepare the site for the nine new elements
includes:
• Site preparation of 12-acres
o Extensive soil work due to poor soil conditions
o Storm-water management
• Roadways and utilities for Phase 1
o Internal roads, sidewalks and green space
o Related improvements to four public roads that serve the site
• Parking garage to serve as “pad” for extended stay hotel
o Replaces surface parking to allow more intensive land use and more green space
• “pads” for dual-brand hotel, retail 1, retail 2, and retail/office
The preliminary pro forma estimates the financial gap to be near $17.5 million - nearly15% of the
overall budget. The developer requests the use of TIF in order to fill the financial gap. Without
resolving the financial gap, the developer has indicated that he will not realize a market-rate return
on investment and will not move forward with the project.
Staff has met with the developer’s team to better understand the project’s financial structure. The
City’s public finance advisor (Ehlers Associates) has reviewed the pro forma to better understand
the financing. Based on the limited information available at this time, a full recommendation cannot
be provided.
STAFF REPORT Page 3
However, this project results in several positive outcomes that would be highly beneficial to the
immediate neighborhood and the community-at-large. These include:
• Elimination of vacant parcel
• Significant increase in property tax base based on the value of the completed project
• Creation of new modern commercial space
• Creation of new lodging opportunities to serve Edina residents and businesses
o Generation of lodging taxes when new hotels are operational
• Improved streetscape with new sidewalks, landscaping and public art
• Future green space (secured with public easement or use agreement) on a property with
virtually zero public green space
• Additional commercial parking (secured with public easement)
Staff offers the following recommendation for discussion purposes as the HRA Board considers
financial involvement in this South Parcel project:
1) Treat the North and South proposals as independent projects, for purposes of tax
increment financing
2) Continued City review of project financials to confirm financial returns and need for
assistance – the “but for” test
3) Identify specific line item costs to be reimbursed with incremental taxes, including:
a. Costs related to soil improvements to allow new modern development
b. Costs related to construction of structured public parking
c. Costs related to new public infrastructure, including plazas, sidewalks, public art,
central green space, transit shelters, bicycle commuting trails and bicycle-related
infrastructure (parking and repair stations)
4) Parking garage, sidewalks, plazas and future green space elements to be secured with a
permanent public easement or similar public use agreement
5) Scope and scale of public art, transit shelters and bicycle infrastructure to be identified
6) TIF reimbursement limited to approximately 10 percent of total project costs
7) TIF reimbursement not to exceed the total equity contributed by the joint venture partners
and other developers
8) Pay-as-you-go TIF Note(s) issued upon project initiation
a. Not to exceed amounts that are reasonably anticipated
STAFF REPORT Page 4
b. market-based interest rate to accrue upon completion
c. payments beginning after completion and tax revenue collection
9) “Look-back” provisions to verify that TIF monies were needed upon completion and future
sale of the project during the life of the TIF Notes
10) “Claw-back” provisions to reduce TIF payments if the look-backs indicate a smaller gap or
higher than anticipated return on investment
11) Continue to engage Ehlers Associates as third-party advisor to more completely review the
project financials to confirm financial returns and the level of assistance needed
12) Continue to engage Dorsey & Whitney as legal advisors to amend the Master Agreement
and prepare a new agreement for the South Parcel
If the HRA is generally supportive of this funding arrangement for the proposed mixed-use concept,
the developer and staff will continue negotiating a Term Sheet that governs a future TIF
Agreement. The financial and legal advisors from Ehlers Associates and Dorsey & Whitney will
assist the City and HRA with this work. In accordance with Edina's TIF policy, the cost of these
advisors will be borne by the developers.
# # #
MEMO
________________________________________________________________________
To: Bill Neuendorf
From: Jay Scott
Date: May 17, 2018
RE: Pentagon Park South
Public Benefit and Extraordinary Cost List
________________________________________________________________________
The proposed Pentagon Park South project will be a very exciting addition to the city’s
landscape. With its intricate design, density and character, this mixed-use project will provide
many public benefits to the City of Edina and the surrounding community. Of course, with
challenging site conditions, there are also many extraordinary costs associated with this project
as well.
Below is a list summarizing the various Public Benefits as well as the Extraordinary Costs
associated with this proposed project.
Public Benefits
• Plazas, fountains and decorative hardscape for the community and pedestrian
congregating areas.
• Public artwork in multiple locations throughout the property.
• Parks areas with water features accessible to the public.
• Walking and biking trails interconnected throughout the property, to the adjacent
neighborhoods and to the Fred Richards Park and Regional Trail System.
• Bike parking stations.
• EV charging stations.
• Covered parking available to the public in the parking garages.
• Creation of a city activity node for retail, office, hospitality and residential communities.
• Site design accommodations for flood storage areas.
• Watermain looping system (this area currently has dead-end lines).
• Improved transit stops along W. 77th Street.
• The storm water management plan with the large below-grade vaults (and some at-grade
flood storage) will not only meet the needs for on-site treatment of our property (which
currently doesn’t exist), but will also provide flood storage for areas upstream of this
property as the storm sewer and downstream conditions past this property are not well-
suited to pass large storm events.
• Job creation, promotion of commerce within the city, and the enhancement and
stabilization of the property tax base for this area within the city.
• Catalytical transformation of an entrance into the City that will provide significant
ancillary benefits including the spurring of additional economic redevelopment within
the local market area surrounding the property.
Extraordinary Costs
• Extensive storm water management system that treats all on-site water within our
property, including below-ground storm water storage.
• Watermain oversizing and external looping (possibly) on Normandale Road (west
frontage road).
• Setting floor elevations higher than normal due to the flood plain.
• Greater cost associated with below grade structures due to poor soils.
• Over-all soil excavation and replacement due to poor soil conditions throughout the
property.
• Public roadway infrastructure improvements (W. 77th Street upgrades including
sidewalks, landscaping, street lighting, bike accessibility, etc.).
• Pedestrian lighting around perimeter roadways and within the development property.
• Structured parking to support density and create open “green” space within the property.
• Site design accommodations for flood storage for areas upstream of this site.
May 24, 2018
Board of the Edina Housing and Redevelopment Authority
Bill Neuendorf, Economic Development Manager
Resolution 2018-04 Supporting Affordable Housing at 4100 West 76th Street
Information / Background:
Aeon, a non-profit real estate developer specializing in affordable housing intends to construct a
new building in Edina. They intend to acquire property located at 4100 West 76th Street with the
intention of razing the existing commercial building and building a new 4-level apartment building.
This property has been available for purchase for several months.
The new building would have about 80 apartment units including a combination of 1-bedroom, 2-
bedroom and 3-bedroom units. Parking would be provided on site. The developer intends to retain
the mature grove of trees in the rear of the property.
The estimated budget for this project is $21.97 million. Based on discussion at the March 10th
meeting of the HRA Board, the developer has revised their pro forma and their funding request.
They have reduced their funding request from $3.0 million to $2.4 million.
Details of the revised Sources and Uses are the attached as part of the updated request from Aeon
dated May 11, 2018.
The financing of affordably-priced housing is very complex. Pooled resources from several different
investors are typical. It is not unusual for a project of this type to combine financial resources from
6 to 12 different sources.
Aeon intends to apply to Minnesota Housing Finance Authority (MHFA) for their largest funding
source – federal tax credits in the May 2018 cycle. If their Edina application is selected, funding
would be made available for construction in 2019.
STAFF REPORT Page 2
The developer requests that the City of Edina, through the Housing and Redevelopment Authority
serve as an early funder of the project. Financial support by local municipalities is taken into strong
consideration when the MHFA evaluates the readiness of a project to secure tax credits.
The developer requests financial support from the Edina HRA through the use of tax increment
financing (TIF) and through other financial resources available to the Edina HRA. This request is
aligned with the mission and purpose of the Edina HRA and is consistent with the City’s desire to
see new housing delivered at a variety of price points.
The developer intends to pursue other local philanthropic donations to supplement the
contribution from the Edina HRA. In case they are not successful in this local fund raising effort,
they are willing to defer part of their development fee to complete the funding.
Time is of the essence because applications for MHFA funding are due in mid-June 2018.
The MHFR requires that local support be demonstrated by submitting a Resolution of Support that
confirms support for the project. The City/HRA provided a similar resolution in 2015 when Beacon
Interfaith Housing pursued funding for the 66 West Apartments.
Resolution 2018-04 has been prepared by staff and the developer. It has been reviewed by the City
Attorney. This Resolution pledges financial support using $2.4 million of monies available to the
HRA. The potential sources of these funds include: pooled increment from Southdale 2 or
developer ‘buy-in’ contributions in the Affordable Housing Funds. These local funding sources have
an estimated balance of approximately $6 million to invest in affordable housing.
The HRA would determine how it provides funding in the future, after commitments from other
funders are secured. This pledge can be revoked in December 2018 in case Aeon is not successful
in securing MHFA funding in 2018. The limited time for this pledge is important so that the HRA
can retain flexibility in using available monies elsewhere in case the Edina project is not successfully
funded in 2018.
Staff recommends that the HRA approve this Resolution to demonstrate its commitment to
creating new affordably-priced housing in Edina.
Further action will be considered after the MHFA application has been submitted and when the
availability of other financial resources is more fully understood.
EDINA HOUSING AND REDEVELOPMENT AUTHORITY
CITY OF EDINA
COUNTY OF HENNEPIN
STATE OF MINNESOTA
HRA RESOLUTION NO. 2018-04
SUPPORTING AFFORDABLY-PRICED HOUSING AT 4100 WEST 76th STREET
BE IT RESOLVED by the Housing and Redevelopment Authority of the City of Edina,
Minnesota as follows:
WHEREAS; the City of Edina recognizes the need to create affordably-priced housing
units to supplement the stock of market rate units available in the marketplace; and
WHEREAS, Aeon, a not-for-profit developer of affordable housing (the “Developer”)
proposes to construct a new multi-family housing project on the site that consists of
approximately 80 rental apartment units targeted as affordably-priced housing, all occupied by
residents with income below 60% area median income – for individuals and families (the
“Project”); and
WHEREAS, the Project will be owned by a limited partnership to be formed by Aeon;
and
WHEREAS, the Developer signed a Purchase Agreement for the property in May 2018
and is currently seeking funding from several sources to construct the Project in 2019; and
WHEREAS, a variety of grants or other public financial assistance will be required to
build the Project including low-income housing tax credits (“LIHTC”) from the Minnesota
Housing Finance Agency (the “MHFA”); and
WHEREAS, the Edina Housing and Redevelopment Authority has access to funds that
have been collected or could be used to support affordably-priced housing located within the
boundaries of the Southeast Edina Redevelopment Project Area; and
WHEREAS, the Project is estimated to cost approximately $21,975,000 and the
Developer is requesting $2,400,000 in financing from the City through the Housing and
Redevelopment Authority (in addition to $925,000 in tax increment financing through the
establishment of a new housing TIF district pursuant to the requirements and conditions of
Resolution 2018-03); and
WHEREAS, this financing is a local contribution and will assist the Developer in securing
the approvals from the MHFA for housing tax credits.
NOW THEREFORE, BE IT RESOLVED, the Housing and Redevelopment Authority
of the City of Edina endorses the Developer’s application for LIHTC as allocated by MHFA; and
BE IT FURTHER RESOLVED, the Housing and Redevelopment Authority shall
provide, in accordance with the requirements of this Resolution, a total of $2,400,000 in order to
facilitate the financing of the Project. If MHFA funding is not awarded by December 1, 2018, the
Housing and Redevelopment Authority may rescind its financing commitment to the Project.
Dated: May 24, 2018
Attest: ____________________________ ________________________________
Robert J. Stewart, Secretary James B. Hovland, Chair
STATE OF MINNESOTA )
COUNTY OF HENNEPIN ) SS
CITY OF EDINA )
CERTIFICATE OF EXECUTIVE DIRECTOR
I, the undersigned duly appointed and acting Executive Director for the Edina Housing and Redevelopment Authority
do hereby certify that the attached and foregoing Resolution was duly adopted by the Edina Housing and
Redevelopment Authority at its Regular Meeting of May 24, 2018, and as recorded in the Minutes of said Regular
Meeting.
WITNESS my hand and seal of the City this _________ day of ___________________, 2018.
___________________________________
Scott Neal, Executive Director
901 No 3rd Street, #150, Minneapolis, MN 55401 612-341-3148 Main 612-341-4208 Fax www.aeonmn.org
To Edina Housing and Redevelopment Authority Board
From Blake Hopkins, Vice President of Housing Development, Aeon
Date May 11th, 2018
Re Updated Affordable Housing Development Proposal – 4100 76th Street West
Thank you for the opportunity to discuss Aeon’s proposed 80-unit affordable housing
development at your May 10th meeting. We appreciate the HRA’s approval of the use of Tax
Increment Financing for this project as well as your feedback and consideration of our request
for additional HRA participation.
Based off this feedback, Aeon has reworked the development proforma and has made several
changes that allow for a decrease in the additional financing request from $3,000,000 to
$2,400,000 while maintaining the same scoring for tax credits.
These changes include the following:
• Decreased the HRA funding request from $3,000,000 to $2,400,000, a reduction of
$600,000. The $2,400,000 request is equal to $30,000 per unit.
• Added in Metropolitan Council TBRA (Tax Based Revitalization Account) as a source to
pay for building demolition in the amount of $250,000. The TBRA program has a
November 1st application submittal date with funds awarded in January of the following
year. This is a competitive funding source but based on Aeon’s initial analysis the project
should score well for consideration.
• Increased the request from Hennepin County by $50,000 from $300,000 to $350,000.
• To make up the remainder of the $600,000, Aeon is proposing to eliminate, not defer,
$300,000 worth of Developer Fee. This would mean a decrease from $1,650,000 to
$1,350,000, with an additional $300,000 of Developer Fee being deferred and utilized as
a source in the project. Between the eliminated and deferred Developer Fee, as now
proposed Aeon would be receiving $1,050,000 instead of the original $1,650,000. For
reference, MHFA regulations allow for a project of this size to generate up to
approximately $2,500,000 in developer fee. Aeon is committed to this project and wants
to continue to be a partner who helps increase the development’s viability.
612-341-3148 612-341-4208 F www.aeonmn.org
• The decrease in Developer Fee is important for two primary reasons. First, it decreases
the overall project cost and allows for a lower request to the HRA. Second, it allows the
project to receive $600,000 less in committed local financing while maintaining the same
point scoring for 9% tax credits. The points for this category are generated based on a
formula that looks at committed funds over total project cost. If the numerator is
decreased, we needed a way to decrease the denominator as well to offset a portion of
that decrease and maintain a stable equation.
Previous Sources and Uses
Source Amount Use Amount
First Mortgage (Loan)$5,210,000 Acquisition $2,900,000
Tax Credit Equity (Private Equity Investment)$11,038,996 New Construction Costs $13,050,000
MN Housing Finance Agency Loan (State Funds)$867,507 Contractor Fees $1,082,000
Hennepin County Loan (County Funds)$300,000 Construction Contingency $706,600
Tax Increment Financing $925,000 Professional Fees $1,247,800
Edina HRA Funds $3,000,000 Developer Fees $1,650,000
Aeon Sales Tax and Energy Rebates $331,772 Financing Costs $785,375
Local Fund Raising or Aeon Developer Fee $300,000 Project Operating Reserves $551,500
Total Sources $21,973,275 Total Uses $21,973,275
4100 76th Street West - Sources & Uses
Updated Sources and Uses
Source Amount Use Amount
First Mortgage (Loan)$5,210,000 Acquisition $2,900,000
Tax Credit Equity (Private Equity Investment)$11,038,996 New Construction Costs $13,050,000
MN Housing Finance Agency Loan (State Funds)$867,507 Contractor Fees $1,082,000
Hennepin County Loan (County Funds)$350,000 Construction Contingency $706,600
Met Council TBRA (Regional Funds)$250,000 Professional Fees $1,247,800
Tax Increment Financing $925,000 Developer Fees $1,350,000
Edina HRA Funds $2,400,000 Financing Costs $785,375
Aeon Sales Tax and Energy Rebates $331,772 Project Operating Reserves $551,500
Local Fund Raising or Aeon Developer Fee $300,000
Total Sources $21,673,275 Total Uses $21,673,275
4100 76th Street West - Sources & Uses
612-341-3148 612-341-4208 F www.aeonmn.org
Project Concept:
- Affordability at or below 60% AMI for 100% of the units for at least 40 years through
covenant, and in perpetuity in practice.
- 80 units of primarily large, family apartments within one building located at 4100 76th
Street West, Edina, MN, 55435
• 20 3-bedroom units (25%)
• 40 2-bedroom units (50%)
• 20 1-bedroom units (25%)
- A four-story building would front 76th Street West and would wrap around the existing
0.30 acre park space. Walk-out units would be provided facing the park and amenity
space would include a community room, fitness center, on-site management office and
outdoor courtyard.
- Deep Affordability:
• 4 units will serve households earning up to 30% AMI
o All four 30% AMI units will be one-bedroom apartments. Example incomes
can range up to $19,830 for a 1 person, or up to $22,650 for a family of 2.
o All of the 30% units would be assisted by Group Residential Housing (GRH)
subsidies serving individuals who have experienced homelessness.
• 44 units will serve households earning up to 50% AMI
o Example incomes can range up to $33,050 for 1 person, or up to $47,150 for a
family of 4.
o 4 of the 50% AMI units will be reserved for households with disabilities.
• 32 units will serve households earning up to 60% AMI
o Example incomes can range up to $39,660 for 1 person, or up to $56,580 for a
family of 4
Project Timeline:
- Funding
• Submit TIF application and HRA application as soon as feasible
• Receive formal approval of financial commitment prior to June 14, 2018
• June 14, 2018 – Minnesota Housing Finance Agency Application submittal (tax
credits and Deferred Loan)
• October 25, 2018 – MHFA Funding Award
• May 1, 2019 – Close on financing
- Entitlements
• November 2018 – Sketch Plan Review
612-341-3148 612-341-4208 F www.aeonmn.org
• November – December 2018 finalize drawings
• December 2018 – Full application submittal
• January 2019 – Planning Commission
• February 2019 – City Council
- Construction and Lease-up
• April 1, 2019 – Begin Construction
• April 1, 2020 – Complete Construction
• August 1, 2020 – Fully leased
Updated Request:
• Consideration by the Edina HRA of the following contributions to assist in the
construction of the 80-unit affordable development:
o $2,400,000 through a combination of resources available to the HRA
Edina HRA
Affordable Housing Funding Criteria
May 24, 2018
1. Number/variety of Bedrooms in units
2. Term of Affordability
3. Level(s) of Affordability
4. Construction Quality
a. Underground Parking
b. Building Materials
c. Amenity Package
5. Sustainability
6. Conformance to Citywide or Neighborhood Planning Goals
7. Proximity to Transit and Jobs
8. Distribution/Proximity
a. Four Quadrants of the City
b. Elementary Schools
c. Proximity to new Market Rate Development
2018 City Council & HRA Meeting Schedules
Holidays City Council Nite to Unite HRA Meeting Date
Staff HRA Indicates a religious holiday's observance Election Day Caucus Night
With Legal Holidays, Religious Observance Days, Elections & Caucus Dates
JANUARY FEBRUARY MARCH
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OCTOBER NOVEMBER DECEMBER
APRIL MAY JUNE
JULY AUGUST SEPTEMBER
Adopted January 3, 2018 HRA
Adopted December 19, 2017 Council
Revised May 15, 2018