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MARKETING PLAN OUTLINE FOR COMMERCIAL/INDUSTRIAL PROPERTY I. SITUATION ANALYSIS The City currently owns 51 acres of commercialfmdustrial property. This property is split into two properties of 12 acres and 39 acres each. The City will need to sell this property for development to regain its investment of $5,883 per acre. This cost represents only the purchase price and not the investment in infrastructure, such as water and sewer and roads. The City will also not be collecting property taxes on this property prior to its sale. The ownership of the property is an advantage for the City because it allows the offering of sites to potential businesses that are under the control of the City. This also allows the City to set the price of the property tailored to the needs of the business locating on the site. The City also has the advantage of creating lots to the size required by the company instead of trying to combine lots from multiple owners or acquiring portions of additional lots. However, some of the very things that are strengths for the City owning this property could be weaknesses. These include: the Charter constraints on the sale of publicly-owned property; the time required to complete the subdivision process and the perception that the City will give away land to recoup its investment in land and infrastructure. The. City must not get overly anxious to sell property and enter into deals that may be less than the optimal situation. This property ownership is nicely timed because the City of Anoka has now committed the majority of its available vacant commercial/industrial property along the eastern border of the City of Ramsey. In addition, the City has received favorable responses from local businesses during the business visitation program as to their intent to expand in the City. This ready-made market should provide a large enough catalyst to allow for new frans to choose Ramsey as their future home. These building plans could be adversely affected if the current trend of rising interest rates continue. If the rates would rise above the 10 percent mark, the development of commercial property could stalemate as it did in the mid-1980's. The other main threat that faces the development of this property is the failure to let developers and builders know of its availability. Since the fn'st threat is somewhat out of the control of the City, other than the limited use from the revolving loan fund, we concentrate on the promotion of the property to possible developers, builders and businesses.