Agenda - Economic Development Authority - 04/13/2017

Home

VA Medical Center Northgate Church Alpine Business Center(former Allina building) ParkView East Apartments PSD, LLC has sold numerous lots to other developers (Allina, Midwest Medical Examiners)to name a few PSD, LLC has a reputation of building quality buildings and not cutting corners. The above described projects are located within the City of Ramsey, we also own/develop/build in a number of other communities, including: Alexandria, Grand Rapids, Crystal, Savage and others. PSD, LLC has the experience, project management, reputation and vision to be able to make this project succeed as well. The Principals of PSD, LLC are Pam and Jim Deal and Matt Kuker. This project will be a new entity, but it will still fall under PSD, LLC ownership. We are excited to bring the property forward and fill a need in the area, which will be an asset for everyone. We look forward to work with the City and welcome your feedback. Subsidy Justification: After developing a pro-forma we discovered that we needed assistance for two different aspects of the project. The following describes in detail why business subsidies should be granted, they are: • Request#1,that the City provide TIF funds on the first phase of construction. The construction of this building will be easily marketed with numerous items that you will not find in a bare bones building. Items that we plan to incorporate include: 1. 24' unobstructed clear height building inside to be used for warehousing, tall inside building requirements or work on large equipment 2. Multi colored upgraded walls panels to be located at building entrances 3. Glass curtainwall with aluminum storefronts, or similar, along the front of the building 4. Thickened inside concrete slabs compatible with forklift equipment 5. LED lighting on exterior to lessen electrical costs 6. Each bay will have both drive in doors and dock bays, dock bays will have cushioned seals to have tractor trailers to connect to, drive in doors will have high-lift overhead doors 7. Upgraded EPDM roofing to insure a longer life of the building 8. ESFR fire suppression system, due to building height Undoubtedly this will be one of the most full featured industrial buildings in Ramsey, or Anoka County. By including these upgrades in the initial build will make it attractive for potential tenants to immediately occupy this building. Many of these features listed above are upgrades, unfortunately there is a price tag that accompanies those upgrades. The "but for"test, by PSD investing heavier and adding these extra amenities this project does not meet investment return requirements, "but for". by having the City of Ramsey subsidize and shore up losses expected in the first years, the average investment over time becomes acceptable and it allows PSD to move ahead.