Minutes - Economic Development Authority - 12/08/2004

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Associate Planner Wald indicated the Council will have to approve any changes. The topic of the revolving loan fund will be brought back with a discussion on guidelines, how to make the pot bigger, and how to advertise. Case #5: Acquisition of Key Parcels The consensus of the EDA was to review this topic at the next EDA meeting. Case #6: Amoco Station Acquisition Economic Development/TIF Specialist Sullivan explained this property lies outside of the Critical Blight Redevelopment Area, however, its close proximity to Highway 47 makes it a very visible problem. The condition of this proPerty and the pressure form the public has led to increased attention for this property by the City. Staff and elected officials have been contacted by the seller of this property within the last month. This property is located adjacent to TIF District No. 1 and its budget allows for expenditures outside of its boundaries within Development District No. 1. Staff is looking for a recommendation to enter into meaningful negotiations with the property owners and to acquire this property for redevelopment purposes. Chairperson Riley stated he thinks the Board agrees this property is in need of redevelopment. The environmental issues would have to be taken into account, but that is greater than the scope of the EDA. This is a perfect example ofs0mething the City needs to do redevelop. Motion by Member LeTourneau, seconded by Member Strommen, to recommend to City Council that the City enter into meaningful negotiations with BP America (Amoco) to acquire the property at 5195 142"d Avenue NW, taking into account the environmental concerns. Motion carried. Voting Yes: Chairperson Riley, Members LeTourneau, Strommen, and Elvig, Voting No: None. Absent: Members Gromberg, Kiefer, and Steffen. Further discussion: Chairperson Riley inquired about borings. Economic Development/TIF Specialist Sullivan replied the borings will be completed during due diligence. Case #7: Saint Paul Terminal AcquisitiOn Economic DevelopmentJTIF Specialist Sullivan advised recently the City was contacted by the attorney for the owner of 14050 Basalt St NW. Discussions led to the conclusion that the owner would like to sell his property prior to years end if possible. Staff has had one preliminary meeting with the attorney and the sales price is $500,000. Anoka County records have this property valued at $315,400. Staff needs to negotiate a fair market value for this property and enter into serious negotiations. He believes negotiations will likely lead to a price in the $315,00 to $375,000 range. There is a 10,000 square foot building on the property that will need to come down. The acquisition of this property will be funded through TIF District No. 2 due to the property location within this district. Staff is looking for a recommendation form the EDA to Economic Development Authority/December 8, 2004 page 8 of 10