Agenda - Council - 11/10/2008 - Laserfiche WebLink

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CASE # APPROVE PURCHASE AGREEMENT AND LOAN AGREEMENT FOR THE PURCHASE OF PROPERTY LOCATED IN THE HIGHWAY 10 CORRIDOR By: William K. Goodrich, City Attorney Background: The City :has been negotiating with Eugene DuBois for the acquisition of his parcel of land lying within the Highway 10 corridor Official Map area, The parcel Is vacant and is located at 70XX Highway 10 NW, west of Star Auto sales, It is approximately ,83 acres in size. The fonds for the purchase are from the Metropolitan Council RALF loan program. The loan proceeds will be reimbursed to the Metropolitan Council by MnDot when MnDot has need for the parcel, Jodi Ruhle of the Tinklenberg Group has negotiated the purchase agreement on behalf of the City, The negotiated amount appraised value is $365,700.00 or approximately $10;05 /sq, ft. A Loan Agreement between the Metropolitan Council and the City must also be entered into. Staff will review the terms and conditions of the Loan Agreement and Purchase Agreement with the Council at the Council meeting. While the actual appraised value is $365,700.00, the total loan from the Metropolitan Council will be in excess of that amount in order to reimburse the City for its administrative expenses incurred in acquiring the property and an additional administrative settlement of $15,000.00 to the land owner. The Metropolitan Council's attorneys are now reviewing the Loan Agreement for :final approval, Enclosure: Map showing the parcel location Loan Agreement Recommendation: Enter into the purchase agreement and approve the Loan Agreement, Council Action: Motion to enter into a purchase agreement with Eugene DuBois for the purchase of a parcel of land located at 70XX Highway 10 NW, Ramsey, Minnesota, for a total purchase price of $365,700.00, which amount is to be funded by a Metropolitan Council RALF loan. The PIN of the parcel is 34- 32 -25 -22 -0009. This motion is contingent on formal approval by the Metropolitan Council approving the purchase and the purchase price, and the City Attorney's final review of the Purchase Agreement's legal terms. [The legal description of the subject property is Lot 4, Block 1, Kovar Addition, Anoka County, Minnesota,] AND Motion to authorize the City to enter Into a Loan Agreement between, the Metropolitan Council and the City of Ramsey For Protective Acquisition of Highway Right-of-Way for the Gene DuBois' site located at 70XX Highway 10 NW in the City in an amount not to exceed $363,700.00. (PIN 34-32 - 25 -22. 0009), [The legal description of the subject property is Lot 4, Block 1, K,ovar ,Addition, Anoka County, Minnesota,] Reviewed by: City Attorney City Administrator: CC: 11/10/08 —141=