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Minutes - Economic Development Authority - 02/09/2004
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Minutes - Economic Development Authority - 02/09/2004
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Meetings
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Minutes
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Economic Development Authority
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02/09/2004
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worked on to blow heat around the building, there has been work completed on the roof, <br />windows, and front door. <br /> <br />Member Strommen indicated a cost/benefit analysis of keeping the building at the current site <br />versus moving it to Town Center should be completed. She suggested an agenda item be set for <br />the next meeting to brainstorm ideas for each location. Prior to this meeting staff should <br />determine estimates of the cost to move the building. <br /> <br />Member Kurak inquired where the building would be moved to in Town Center. <br /> <br />Mr. Norman replied no location has been determined at this time. The City does have park <br />property and real estate in the center of town on the same block the pump house sits on. <br /> <br />Chairperson Riley inquired about the lost rent Mr. Norman had referred to earlier. <br /> <br />Mr. Norman explained the City has been approached regarding possibilities of renting the <br />building. <br /> <br />The consensus of the EDA was to direct staff to include a discussion of the Old Town Hall as an <br />agenda item on the next EDA meeting, with staff to research the cost of moving the building <br />prior to this meeting. <br /> <br />Case #9: <br /> <br />Acquisition of Property Located Within the Critical Blight Redevelopment <br />Area <br /> <br />Economic DevelopmentJTIF Specialist Sean Sullivan explained the EDA has identified an area <br />in TIF District No. 2 as the Critical Blight Redevelopment Area. The City acquired both the <br />former Chies and Morrell Properties in 2003 located within this identified area. It has been the <br />position of the EDA to acquire properties that come up for sale in this area and to facilitate <br />redevelopment. <br /> <br />Mr. Sullivan explained the Hanson property is currently on the market and the asking price is <br />$700,000 which appears to be quite unreasonable considering recent property transactions in the <br />area. For purposes of comparison, details of the Morrell transaction are provided below. Anoka <br />County had a property value of $224,500 for the Morrell Property. An independent appraisal <br />was conducted and the resulting value was $265,000. This is what the City paid to acquire that <br />property in late 2003. Anoka County currently has a value of 229,500 on the Hanson property <br />and using the ratio set forth by the Morrell property transaction it would appear to have a market <br />value of $279,500. TIF District No. 2 has money available for the acquisition of this parcel if the <br />price can be negotiated to approximately fair market value. Again, the EDA has expressed the <br />need to acquire properties in this area to redevelop them with quality development when they <br />become available, so it should be clear that the City should acquire the Hanson Property. It is <br />important to acquire these types of properties when they are for sale to guarantee that future <br />users cannot continue to utilize buildings that would not qualify under the City's current building <br />standards. <br /> <br />Economic Development Authority/February 9, 2004 <br /> Page 5 of 13 <br /> <br /> <br />
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