Agenda - Economic Development Authority - 08/11/2022

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Economic Development Authority (EDA) 4. 2. Meeting Date: 08/11/2022 By: Sean Sullivan, Community Development Title: Consider Purchase Agreement for Part of Outlot C,Affinity at COR; Case of COR Trust Bank (Portions may be closed to the public) Purpose/Background: The EDA may choose to go into closed session pursuant to Minnesota Statutes section 13D.05, subdivision 3(c)(3) to consider offers or counteroffers for the purchase or sale of real or personal property. If the EDA chooses to enter into to closed session the statute and reason above needs to be referenced along with legal description (Part of Outlot C,Affinity at the COR) and the Anoka County Tax ID number 28-32-25-24-0017. The City of Ramsey and JB Vang (Broker for COR Trust Bank)have been in discussions to develop a bank in the COR. Staff has received a preliminary sketch identifying the location of the proposed bank and generic site layout. Staff has reviewed the proposed layout and has requested more detailed information relating to building size, materials and some preliminary building elevations. Staff is generally acceptable to the site plan and has conveyed the requirements of the COR and building height along Sunwood Drive to the Developer. The Buyer has requested that the City give site control through execution of a Purchase Agreement so it can start"spending money" on building design, site engineering and project costs to better define the project. The Planning Commission will still need to review the formal site plan to ensure the layout is consistent with COR zoning and code. The time periods, and extensions outlined in the term sheet and PA are consistent with recent PA templates aside from the requirement for a Certificate of Occupancy being 16 months rather than the usual 12. The change is due to the longer timeframes the construction industry is seeing for obtaining building materials. Notification: Notification is not required. Observations/Alternatives: Observations: The proposed site will be +/- 1.5 acres upon completion of the Final Plat. Based on a proposed building size of 3-5000 SF, Staff believes that the site acreage may ultimately be reduced when a site plan is completed. The purchase price is $392,040 ($6.00/ SF). This price per/SF is within the approved "deal range". A copy of the very preliminary site concept plan is attached. This was a city generated lead for a city listed city parcel so CBRE and JB Vang will each receive 3%commission. The following items are worth highlighting: Earnest `$10,000, Nonrefundable after a Notice to Proceed has been given by the Buyer. Money II Inspection 180 days from Effective Date (Date City Council Approves) (city requires plat/ site plan Period approval before sale). Closing Within 30 days of Notice to Proceed. Extensions Developer will deposit$10,000 in escrow for each 60 day extension (2 extensions allowed) Once extensions are made the money becomes non-refundable.