Minutes - Council - 02/26/2013 - Laserfiche WebLink

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Motion carried. Voting Yes: Mayor Strommen, Councilmembers Elvig, Backous, Kuzma, LeTourneau, Riley, and Tossey. Voting No: None. 7.05: Consider Purchase of 14590 Armstrong Boulevard NW, Ramsey, Minnesota (Wiser Choice Liquor Store) from M &W Holding Company LLC (the "Property ") Portions of this discussion were closed to the public City Attorney Goodrich indicated a counter offer has been received which can be discussed in Closed Session. He advised that under Minnesota Statutes, Section 13D.05, Subd.3(c), the meeting can move into closed session to discuss confidential or non - public appraisal data and acquisition negotiations. He indicated closed session discussion will relate to the counter offer received for the acquisitions of 14590 Armstrong Boulevard NW, Wiser Choice Liquor Store, from M &W Holding Company, LLC for right -of -way purposes and future development. The closed session will be tape recorded and that tape will be maintained for a period of eight years. Motion by Councilmember Elvig, seconded by Councilmember Tossey, to move to Closed Session to discuss acquisition negotiations. Motion carried. Voting Yes: Mayor Strommen, Councilmembers Elvig, Tossey, Backous, Kuzma, LeTourneau, and Riley. Voting No: None. The City Council meeting moved into a Closed Session at 8:10 p.m. The City Council reconvened in Open Session at 8:27 p.m. City Attorney Goodrich stated the Council held discussion during Closed Session to consider the purchase and terms for the possible purchase of 14590 Armstrong Boulevard NW, Wiser Choice Liquor Store, from M &W Holding Company, LLC for right-of-way purposes and future development and reached consensus to authorize a purchase agreement at a price of $940,000 based on two qualified appraisals that determined the appropriate price. The purchase agreement includes trade fixtures, reservation of relocation rights, lease back provision of up to two years for the current seller at $3,550 /month plus property taxes, expenses, for a net/net /net lease, the seller to leaseback the property as is. He indicated this is a cash sale to the seller and the seller paying all taxes current. The lease term commences February 27, 2013, for a two -year period with a 90 -day termination by the City or by the tenant under certain circumstances. City Attorney Goodrich presented the proposed resolution detailing how the current Council reached this decision, authorizing the purchase by the City, and authorizing the Mayor and City Administrator to execute the agreement. Motion by Councilmember Elvig, seconded by Councilmember Backous, to adopt Resolution #13 -02 -052 Authorizing the Purchase of the Real Property located at 14590 Armstrong Boulevard NW for a purchase price of $940,000 and that the other purchase terms be pursuant to the terms of the Purchase Agreement reviewed by staff and the City Attorney at tonight's meeting, which Purchase Agreement is subject to final approval as to legal form by the City Attorney. City Council / February 26, 2013 Page 8 of 10