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Minutes - Economic Development Authority - 02/09/2023
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Minutes - Economic Development Authority - 02/09/2023
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Meetings
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Minutes
Meeting Type
Economic Development Authority
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02/09/2023
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Economic Development Manager Sullivan stated that there is a part of the PA that addresses <br /> easements and restrictions and noted that the shared parking will be worked out through the sit <br /> plan process. <br /> Chairperson MacLennan asked where the property line would be. <br /> Economic Development Manager Sullivan identified the proposed property lines on the monitor. <br /> Chairperson MacLennan asked for details on access. <br /> Economic Development Manager Sullivan identified the right in access off 147th noting that would <br /> be reviewed in more detail through the planning process. <br /> Member Riley commented that he understands the position of the developer on the right of re- <br /> entry agreement, but also acknowledged that the City would incur costs if it were to take the <br /> property back and asked for more details. <br /> Economic Development Manager Sullivan commented that staff has had lengthy discussions on <br /> this topic. He acknowledged that there is a cost of doing business but noted that Aldi is spending <br /> money on this process as it moves forward as well. He stated that if the developer is not going to <br /> move forward on the project, they likely would not close on the property. He commented that it <br /> is a negotiation and if the EDA feels it necessary, it could go into closed session or talk about that <br /> in more detail. <br /> Member Riley commented that the EDA often relies on staff and their recommendation. He stated <br /> that he does not feel that a closed session would be necessary and is comfortable with the opinion <br /> of staff. He stated that the right of re-entry is the worst-case scenario and therefore he does not <br /> want that to be the focus. He stated that the City's interest would still be protected in that it would <br /> get the land back if the project did not move forward. <br /> Economic Development Manager Sullivan commented that the City did receive over $400,000 <br /> from McDonalds, which did not move forward. He stated that even if the City were to lose out on <br /> the cost of commission for the sale of the property, it would still be ahead on the property as a <br /> whole. <br /> Member Stewart commented that the purchase price appears to be 26.5 percent less than the list <br /> price and asked if that is the best price. <br /> Economic Development Manager Sullivan provided details on the negotiation process noting that <br /> this number was developed through negotiation by both parties. He stated that the COR <br /> development standards are more stringent than other areas of the city and therefore the cost to <br /> develop is higher in the COR compared to other areas or communities. <br /> Member Stewart asked the purchase price from McDonalds. <br /> Economic Development Authority/February 9. 2023 <br /> Page 3 of 9 <br />
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