Agenda - Economic Development Authority - 01/12/2017

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make their dream a reality--they have their equity lined up--financing arranged--they are ready to apply for State Licensing--they are ready to go through the real estate entitlement process--they are ready to begin hiring/training employees--and they are ready to enter into a purchase agreement with the City. Their goal is to begin construction in early summer 2017. The new children's academy will be called Stone Brook. This start up company has an advantage--Mrs. Johnson's father started a children's academy franchise in Florida--called Prestmore Academy. Mr. and Mrs. Johnson will have the support of Mrs. Johnson's father--to make sure they are planning/preparing correctly, and to help them get up and running. Here is a link to the Prestmore Academy website http://www.prestmoreacadem,v.com/.Please see "about" page for details. To begin, Mrs. Johnson will quit her current practice to operate Stone Brook. Mr. Johnson will continue his practice,until the businesses is self sustaining. For Mr. and Mrs. Johnson, Stone Brook Academy is much more than a business idea. This project is the accumulation of several personal/professional goals, and a deep rooted passion to give back to the world--through the education and development of children. This is their dream--rather than retire at this stage in their careers. It is very important to Mr. and Mrs. Johnson to make strong connections to other users in The COR(and the community),to have a high-quality/high-tech/high-security facility, and to provide high-quality service offerings (academy). They have indicated they are much more than a daycare,they are an educational institution/asset to the community, and should not be compared to a daycare center(i.e.they are not a New Horizon). Both Mr. and Mrs. Johnson strongly believe in the vision of The COR--especially the center of The COR. They believe in the principles of a walkable development,with close proximity to residential, close proximity to rail,high-quality architecture, and density. They believe their project is best located in/near the center of The COR, as a destination (140 kids, 20 employees). This is the main reason they want to be on Site#1. -Proposed Project- The proposed 10,000 sf, 1-story, Stone Brook Academy &Daycare facility will include seven class rooms, a gym,kitchen, offices, reception area, and a playground. The academy will be staffed by 15-20 employees (including State certified instructors),and will serve 140 children. Mr. and Ms. Johnson have indicated they intend to construct a very nice looking building (including brick/glass)and they generally understand design standards for The COR. Also,they want to create a facility that becomes an asset for the community, interacts with residents, and draws people to The COR. Mr. and Ms. Johnson reviewed sites in Ramsey and neighboring cities (Coon Rapids,Andover, Elk River, Otsego, Rogers, etc.). The central part of The COR is their ideal location,and where they are proposing their new facility. They looked at multiple site locations within The COR. Site 41 is their most desired location. At this point,they estimate a need for 0.9-1-acres of land. Notification: NA Observations/Alternatives: OBSERVATIONS Listed below are terms/conditions/observations related to the a future proposed purchase agreement that staff considers important to highlight for potential discussion. At this point, due to the unresolved site location discussion, staff did not attached a detailed/actual purchase agreement. (1) Offer Price $3.00 per square foot is being offered by Stone Brook. Asking price is $5.00 per square foot. They expect to purchase about 1-acre ($130,680). Please referernce Site 41 log for details on the land price negotiation process.