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Mr. Mulrooney stated that land that is purchased through the condemnation process has some <br />special capital gain tax breaks for the landowners. <br /> <br />At this time, the members not present at the Anoka Hennepin Technical College contacted the <br />members present and asked that they move to City Hall and reconvene. The meeting reconvened <br />at City Hall at 8:24 a.m. <br /> <br />Mr. Kent summarized for the members who were not present at the Anoka Hennepin Technical <br />College the discussion that took place previously. <br /> <br />Councilmember Haas Steffen asked the question again about when we last sat down in face to <br />face negotiations. <br /> <br />Mr. Norman stated that the last time was in November. <br /> <br />Councilmember Haas Steffen asked if the developer would be responsible for extension of <br />services to the site. <br /> <br />Mr. Norman responded in the affirmative. <br /> <br />Councilmember Haas Steffen noted that the property has been on the market for approximately <br />ten years, by her recollection. She questioned the other members as to why they would want to <br />wait. It seemed to her that the doubling of the asking price comes from the knowledge that the <br />Anoka Hennepin Technical College may move there and that the City is interested in purchasing <br />the property. She went on to say that, in her opinion, the legislator looking at a multi-million <br />dollar bonding bill for an improved technical college would look at the cost and constraints of <br />the current site in Anoka and see it as prohibitive. The offer of land to the technical college for <br />free from Ramsey would be attractive to the current Dean and probably more likely to gain <br />support of the legislature. She also stated that the condemnation process is much more fair now <br />than it has been in the past. $11,000 per acre is so far away from the asking price that it seems <br />that the land owners are negotiating backwards because the original asking price was $1,500,000. <br />From there it went up to $2,000,000 and then to $3,500,000, and now they say they will not go <br />below $3,000,000. <br /> <br />Mr. Hardin asked Mr. Norman where he anticipated the bottom line would be through the <br />condemnation procedure. <br /> <br />Mr. Norman stated that it would be much closer to the $11,000 per acre amount offered by the <br />City and probably not more than $12,000 to $14,000 per acre. He said that it would not be less <br />than $11,000 per acre because all of the public record, which included previous offers from the <br />City, would be used in the process. According to Mr. Norman, apparently the City had offered <br />to have a partnership relationship as we do with Connexus Energy (formerly known as Anoka <br />Electric Cooperative) in developing the land, but they were not accepting of that concept due to <br />the lowered price. Mr. Norman said that it was also possible that the threat of condemnation <br />would bring them back to the negotiating table. <br /> <br />Economic Development Authority/January 12, 1999 <br /> Page 4 of 11 <br /> <br /> <br />