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Agenda - Economic Development Authority - 04/13/2017
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Agenda - Economic Development Authority - 04/13/2017
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3/17/2025 2:14:23 PM
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Meetings
Meeting Document Type
Agenda
Meeting Type
Economic Development Authority
Document Date
04/13/2017
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BACKGROUND <br /> In 2012, the Council completed an exercise to determine Ramsey's inventory of city-owned land. The <br /> City of Ramsey owns over 250 parcels city-wide. The majority of these parcels are wetlands, existing or <br /> planned trails, existing or future right of ways (ROW) and greenways. About 20 city owned parcels are <br /> available for sale and development by the private sector. In 2013, staff was directed to market and sell <br /> surplus city owned land. <br /> On January 28, 2014, the City of Ramsey entered into a contract with CBRE to provide professional real <br /> estate brokerage services. The contract with CBRE is set to expire January 28, 2017. <br /> CBRE listed 19 different properties (about 25 parcels). CBRE has placed signs on available properties, <br /> and completed professional listing brochures for all 19 properties. Said listings have been placed on <br /> CoStar, MnCAR, LoopNet, CBRE's website, and on the City's website. CBRE has shared these listings <br /> via email blasts to their contacts monthly. CBRE has reached out to a long list of prospects individually <br /> RE their listings in Ramsey (roughly XXXX). <br /> Periodically, CBRE provides the EDA/City Council with updates. In late 2015, CBRE worked with staff to <br /> create a detailed community profile--that highlights the momentum taking place throughout the community <br /> (attached). Additionally, CBRE and staff developed a detailed pricing strategy table for the sale of city- <br /> owned properties. <br /> CBRE has acted as an advisor to the City's Economic Development and Community Development staff <br /> on many occasions. The working relationship between staff and CBRE is positive and <br /> professional. CBRE has closed four deals, has three deals under contract (purchase agreements), and <br /> are currently working to get two more deals under contract. <br /> CBRE has been paid $150,938 in commissions. If the currently executed purchase agreements close, <br /> CBRE would be paid an additional $63,750 (total of$214,688 in commissions). This contrasts with the 3- <br /> year Lanform contract which cost the city roughly$1.8M (commissions plus other professional <br /> services). The CBRE contract includes a six-month carryover commission clause. This contrasts with the <br /> former Landform contract that had an 18-month carryover commission clause. <br /> Page 2 of 4 <br />
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