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FACT SHEET <br />PARKVIEW EAST SALE FROM PSD, LLC TO CURTIS CAPITAL <br />Several questions have arisen regarding the recent sale of Parkview East Apartments. Staff is been in <br />contact with the new owners, Curtis Capital Group, and is now ready to provide the following updates. <br />1. With the PayGo plan and the completion of the project and now the sale of the property, what <br />is the legal obligation to move this agreement to the new owner? <br />Language from the TIF Agreement states that This Note may be assigned only with the consent of <br />the City which consent shall not be unreasonably withheld. In order to assign the Note, the assignee <br />shall surrender the same to the City either in exchange for a new fully registered note or for transfer <br />of this Note on the registration records for the Note maintained by the City. Each permitted <br />assignee shall take this Note subject to the foregoing conditions and subject to all provisions stated <br />or referenced herein. <br />2. What is the total tax increment income generated on this property? <br />See attached TIF Run. Payments on the TIF note are made from 85% of the tax increments received <br />for this project. The City is able to keep 15% on new Increment for administration of the district and <br />other costs within TIF District 14. Monies in the TIF district stay in the TIF district and don't go to the <br />General Fund. See #3 for more detail as to the level of Increment that is actually being generated. <br />3. How much of the monies on this agreement have already been paid and what is the total <br />remaining obligation to the developer? <br />The total Note is estimated at $556,061, which includes Principal and Interest. $65,261.98 has been <br />paid to date, of which $38,206.42 was applied to Principal. Generally speaking, the Note is <br />anticipated to be paid off in 2022. Any increment received after the note is paid off would go toward <br />eligible costs within TIF 14. The estimated value of the remaining increment after the Note is paid <br />off is $2.8 Million. TIF District 14 (COR) is estimated to terminate in 2040. <br />4. What monies thus far have gone into the general funding to benefit Ramsey taxpayers risk? <br />While no dollars from new taxes generated are directed to the General Fund, dollars do stay within <br />the District that benefit many of the activities within the District. For example, the City is able to use <br />15% of the increment generated on administrative activities within the District, such as <br />environmental review, infrastructure planning, shovel ready certification, a portion of Staff time to <br />administer the District, land transaction closing fees, and other eligible activities. These dollars are <br />then not needed to be utilized from the General Fund. Additionally, the additional increment not <br />used in the TIF Note can be used for other eligible activities such as infrastructure (roads, utilities, <br />grading, etc.). <br />5. What changes in services should the residents of this facility expect? <br />This is partially out of control of the City, but partially regulated. The City does require a Rental <br />License for facilities such as this. Regulations also go on to state that a local management company <br />must be provided within 75 miles of the facility. It is expected that this facility will have on site <br />