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Mt'. Feges stated RTC will not be soliciting a listing; they are more of a site developer. For <br />instance they are working with a hospitality group to put a hotel on the site; RTC is the developer <br />of that, not a solicitor of hotel properties. The language will be cleaned up with this item. <br /> <br />Councihncmber Cook stated there needs to be language included regarding this being a master <br />plan. If someone were to come in and start purchasing lots it would not be master planned any <br />longer and it would destroy the whole concept. <br /> <br />Councilmelnber Elvig expressed concern that the City should not be put in a position to undercut <br />another developer, such as Shingobee Development. <br /> <br />Mr. Lasher explained the parcels listed represent what is seen as the bulk of the commercial areas <br />that would be in direct competition of Shingobee Development. <br /> <br />Councihnember Cook suggested language be included that RTC would have first right of refusal <br />for a period of time. <br /> <br />Mi'. Lasher explained Attorney Tom Bray of Briggs & Morgan is not enthusiastic about this <br />option idea. The idea of optioning property back to the developer has to be worked through <br />legally. He noted the formation of an EDC or HRA would relate to this discussion. <br /> <br />City Attorney Goodrich explained there are certain charter constraints that deal with optioning <br />the land, and there may be an ordinance needed. <br /> <br />Mr. Voss stated he is construction manager for RTC, LLC. However, as an equity holder of <br />Shingobee, they will be bringing this up as a serious concern in July. It is absurd for them as a <br />developer to be in competition with the body that is governing their behaviors. The basis of <br />competition is fine as long as it is a fair playing field. His concern as a developer is that the City <br />takes ownership of this property and puts out RFP's, and sells it to a developer because they <br />come with the plan and concept of the vision the City sees happening, and the City's sale price to <br />them is less. Shingobee will not compete for the theater, but there could be infill with retail <br />tenants, food service and entertainment. He sees that as being a slanted scenario. Shingobee <br />could have the position to not go ahead with their development. <br /> <br />Mr. Feges commented they are discussing a very small piece of land as far as what can be in <br />competition. The cost basis that Ramdance purchased it for would likely be close. He thinks <br />they will get to a point where everyone is comfortable. <br /> <br />Mr. Lasher advised the longer the City can afford to wait and let the project build out, it will be <br />better for them. By letting the project mature the City will have good security. <br /> <br />Councihncmber Kurak stated it has been the desire of the City Council that this project be the <br />best it can be. They are working together on this and this contract helps out the City just as much <br />as the Developer. This is the result of the City and the Developer coming together because it was <br />not working the way things were being done. <br /> <br />City Council/June 29, 2004 <br /> Page 7 of 11 <br /> <br /> <br />