Agenda - Council - 09/13/2016 - Laserfiche WebLink

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(5) Extension Option If the buyer decides to extend the PA, they will be required to place $5,000 of additional non-refundable dollars in earnest for each 60 day extension. (6) Construction Deadline 03/01/2018 Phase 1 (72,000 sf) and 03/01/2020 (51,840). (7) Removal of Materials The subject property includes stockpiles of con -bit and a large quantity of retaining wall blocks (concrete blocks). The City shall retain ownership of said items, and will remove from the subject property by 90 days after the Effective Date. Funding Source: NA Recommendation: (1) Staff will suggest the attached purchase agreement be discussed in closed session (sale price, and deal terms). Staff will send the Council a closed session MEMO before the Council meeting. This MEMO will include a summary of EDA input. Due to timing, EDA minutes are not available. Generally, the EDA is excited for this project and in support of inviting Platinum to apply for a business subsidy. (2) The EDA and staff recommend the Council invite Platinum Properties Group to apply for a business subsidy ($7,500). This will require the Platinum Property Group pro -forma to be audited/ underwritten by Ehlers & Associates. This will tell the City if the requested subsidy can be justified (mathematically and from a market perspective). It should be noted, because this is a spec building, it will not meet job goals outlined in the City's business subsidy policy. However, the policy specifically indicates exceptions can be made, on a case -by -case basis. Due to the significance of this development (estimated at about $9M), the large amount of property taxes that will be paid by this development (about $249K total per year, or ), the ancillary effects it will have on economic development for the City of Ramsey (BR&E and business recruitment), recruiting a destination user nearby The COR (will help generate traffic for other desired users in The COR), and the recruitment of a Adrenaline Sports Facility (services desirable by many organizations/ residents), staff believes it would be reasonable to consider this project an exception to the job requirements outlined in the City's Business Subsidy Policy. (3) The Planning Commission met regarding this project on 09/01 from a land use perspective. Generally, the Planning Commission is excited for this project, and comfortable with the proposed land use --from a very preliminary perspective. Below are specific comments: • Commissioner VanScoy believed this was a great fit for the proposed property. • Commissioner Nosan understood this development had a retail element and questioned if the site had adequate parking. Community Development Director Gladhill explained the site was permitted to have commercial retail recreation and had sufficient parking. • Commissioner Nosan believed this was an exciting development. • Commissioner Brauer agreed and wished this development was closer to The COR. • Commissioner Andrusko was excited about the project, but had some concerns with the proposed terms. Action: Council Direction Requested: 1. General recommendation RE the proposed project (what do you think of the user, the project, the PA, the location, etc.?). 2. Recommendation RE the Business Subsidy Application (does the Council invite Platinum to apply?). Attachments