Agenda - Council - 08/08/2017 - Laserfiche WebLink

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the units are placed. He stated that originally all of the townhomes were placed on the south end but then determined that there is not a market for townhomes. He stated that they then pushed the townhomes to the north with the hope that the market for that product will come back in the future. He stated that the conversation began because City staff approached them and asked if they would want to incorporate this parcel into their development because of the desire to realign the road. He stated that they believe that the market value is fair and will be set by the closing on the properties. He stated that if they cannot come to an agreement on the price they could remove the ability for the purchase agreement to move forward tonight and have continued discussions in the future as this parcel is not critical in them moving forward. He stated that on Puma Street there is no public infrastructure and Capstone is doing the Puma Street and Bunker Lake Boulevard assessment in order to create the infrastructure. He noted that if the road was built and had the infrastructure in place, the higher value would be there but because they are creating that with this project the cost to create the infrastructure is higher and will raise the price of the project. Councilmember LeTourneau asked if the proceeds from the sale of the property meets, exceeds, or falls short of the original price associated with the par dedication fees from Hageman Holding. Community Development Director Gladhill stated that this will fall short of the cash dedication of $400,000 that would have been paid. Councilmember Kuzma asked if Puma Street will be done in one year with the infrastructure. Asst. City Administrator/Economic Development Manager Brama provided additional details on Puma Street and stated that the southern half of this development would be served by Puma Street and the infrastructure and therefore the remaining portion of Puma Street will be a future obligation for landowners and the City. Councilmember Shryock asked the phasing of the project and how many years that would be. Asst. City Administrator/Economic Development Manager Brama stated that there have been many discussions on phasing for Capstone. He noted that the project will be divided into two sections, north of the greenway and south of the greenway. He noted that the focus first will be on the south end of the greenway and that will be split into phasing. Mr. Bona stated that with the market study they completed earlier in the process they estimate 50 units per year would be constructed. He stated that the southern half of the property will be multiple phases and they will find out in the next year to 18 months if their estimated timeline matches with the market. Motion by Councilmember LeTourneau, seconded by Councilmember Shryock, to adopt the purchase agreement between the City of Ramsey and Riverstone Development for roughly 1.9 acres of City owned land. Further discussion: Councilmember Shryock referenced Section 28 of the purchase agreement and wanted to ensure that language is consistent with the City policy. Asst. City City Council / July 25, 2017 Page 9 of 17