Agenda - Council - 08/12/2019 - Laserfiche WebLink

Home

Our Mistioi}: To work together to reipoiibly grew our comma nityr, and to provide quality, cent-oliBcdwe, and efficient government services. CC Regular Session 7. 1. Meeting Date: 08/12/2019 By: Tim Gladhill, Community Development Information Title: REVISED: Adopt Resolution #19-197 Approving Amended and Restated Assessment Agreements for Hageman Holdings Related to Delta ModTech Project Purpose/Background: The purpose of this case is to amend and restate at 2011 Assessment Agreement and release a 2017 Assessment Agreement, both with Hageman Holdings, LLC. Hageman Holdings is in the process of a real property transaction of approximately 80 acres to a real estate holding company to facilitate the relocation of Delta ModTech to the City of Ramsey. Notification: Notification is not required. Observations/Alternatives: In 2011, the City approved an Assessment Agreement with Hageman Holdings, LLC. At that time, Hageman Holdings was attempting to facilitate the construction of a new K-12 private school. Unfortunately, that project never materialized. However, an partial extension of Bunker Lake Boulevard and Puma Street, with utilities, was completed, opening up the area to future development. In 2017, the City approved another Assessment Agreement with Hageman Holdings (and Capstone Homes/Riverstone Development) for additional extension of Bunker Lake Boulevard and Puma Street, with associated utilities to facilitate the Bunker Lake Industrial Park and Riverstone development. Around that same time, Hageman Holdings sold approximately 80 acres to PSD for the Bunker Lake Industrial Park. Assessments attributable to that lot were paid at time of closing. In 2019, the City approved the Delta ModTech development project, bringing approximately 220,000 square feet of industrial space, relocating approximately 120 jobs to the City of Ramsey, and creating 15 new jobs to the area. As part of this project, Hageman Holdings (and Delta ModTech) is asking to update the Assessment Agreements to reflect remaining balances of assessments. Hageman Holdings will pay $399,116.97 to the 2011 Assessment Agreement. Additionally, Hageman Holdings will pay $142,153.19, representing full payoff of the 2017 Assessment Agreement as required by said agreement. Funding Source: Staff is handling this request as part of normal Staff duties. Recommendation: Staff recommends amendments to both Assessment Agreements as presented.