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maximum height would be 25'. He advised that revisions were made to the cost benefit analysis <br />based on the revised site concept resulting in a decrease in value of a data center from $1.35 <br />million to $1.275 million and a decrease in value of a residential development from $1.35 <br />million to $650,000. He stated that a data center would be more beneficial to the City in terms of <br />property taxes with estimated taxes of $200,000 annually versus $128,000 for a residential <br />development. He advised that staff was recently approached by Connections Church expressing <br />an interest in the property and stated if this property were purchased as a church it would be tax <br />exempt and would require additional parking, adding the church has indicated it would expand <br />the building resulting in a larger footprint. He stated Connections inquired about leasing the <br />property, including the buildings, and staff believes this would conflict with the fire station and <br />does not recommend leasing the property. <br />Development Services Manager Gladhill explained that the zoning amendment is done by <br />Ordinance and the City Charter allows a counter petition with signatures from two - thirds of <br />registered voters. He advised the City received a comment from Anoka County that any <br />development would have to reevaluate access on Nowthen because the County wants to close <br />this access. <br />Member Skaff stated he spent time with residents on this issue and his sense is that the residents <br />will stand and oppose any effort to build a data center and residents are concerned about their <br />property values and quality of life. He felt it would be wrong to push something through given <br />the current level of opposition. <br />Chairperson Steffen asked if a data center could live with a 55 decibel restriction. <br />Management Analyst Brama replied he spoke with Chaska's City Administrator who informed <br />him that residents still raise concerns about noise from their data center, adding that Chaska has a <br />300' setback requirement next to residential properties. He stated he also spoke with Elk River <br />about their data center and learned they also get complaints from property owners. He stated he <br />contacted Mortenson Construction and was informed that 55 decibels is not unrealistic for a data <br />center but costs would likely go up based on that restriction. <br />Member LeTourneau suggested including a rain garden element in order to mitigate the view and <br />add more aesthetics to the project. He also encouraged planting larger trees, e.g., 4 -6' trees, in <br />order to provide good coverage sooner rather than later. <br />Member Williams stated she was still in support of the data center concept because it achieves <br />the strategic initiatives of the City and represents a good reuse of the site and did not support <br />using the site for a church. She indicated that a data center use for this site is well received <br />within the real estate community adding she has heard this site mentioned several times as a <br />potential data center. She agreed that rezoning the site now would put the City in a position to <br />see a data center come to fruition provided the City does not price itself out of the market by <br />having more restrictions than other communities. <br />Chairperson Steffen asked if the site could transition back to residential if no user was found <br />after the property is rezoned. <br />Economic Development Authority/May 16, 2013 <br />Page 3 of 7 <br />