Agenda - Council - 10/27/2026 - Laserfiche WebLink

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5. 18. CC Regular Session Meeting Date: 10/27/2026 Primary Strategic Plan Initiative: Promote economic growth and development. Title Adopt Resolution #26-249 Approving the Termination of Lease with Mille Lacs Motor Sports II, Inc. Purpose/Background: PURPOSE: Approve the attached Third Amendment to Lease with Mille Lacs Motor Sports IT, Inc. for use of city -owned RALF land for outside storage space located adjacent to land leased at 6781 Highway 10 NW. BACKGROUND: Mille Lacs Motor Sports II, Inc. primary location in Ramsey is 6781 Highway 10. Mille Lacs Motor Sports II (Powerlodge) has been leasing storage space from the city for several years. This lease is set to expire Auguat 31, 2026. Power Lodge also leases 6701 and 6745 Hwy 10 from MW Properties LLC since 2026. The vacant land used for outside storage by Power Lodge adjacent to 6781 Hwy 10 NW, depicted as Areas A and B, the real estate being considered in the Third Amendment to Lease. The additional 3-month extension being requested will give the City, Met Council and the Buyer (6781 Properties, LLC) time to complete the land transaction without displacing Powerlodge (Mille Lacs). The Met Council has verbally accepted the offer and a purchase agreement will be brought to the City Council at a later meeting once it's been reviewed by the City Attorney and Met Council. If this offer is accepted by the Met Council, there is a strong possibility that the property will continue to be leased to Power Lodge. Notification: N/A Time Frame/Observations/Alternatives: The attached Third Amendment to Lease is an extension of the existing Lease with Mille Lacs Motor Sports 11, Inc. for Areas A and B for 3 months until November 30, 2026. The amendments to the lease are highlighted below: 1. Paragraph 3 Term. is hereby replaced in its entirety as follows: Term. The term of this Lease is from: Lease Period: Commencement Date through November 30, 2026. 2. Paragraph 2 Premises. is hereby replaced in its entirety as follows: 2. Premises. Collectively, the "Premises" consists of the following two areas: A. Outdoor storage area "A" consisting of a 22,000 square foot area within a parcel legally described as Tract A, Registered Land Survey No. 249, Anoka County, Minnesota, as shown on Exhibit A (PID 34-32-25-21-0103). B. Outdoor storage area "B" consisting of a 15,000 square foot area within a parcel legally described as Tract A, Registered Land Survey No. 249, Anoka County, Minnesota, as shown on Exhibit A (PID 34-32-25-21-0103). 3. Paragraph 5 Rent. is hereby replaced in its entirety as follows: 5. Rent. Tenant covenants and agrees to pay to Landlord at the Landlord's Agent Office without demand, monthly rent in the following amounts: Lease Term (September 1, 2026 through November 30, 2026): $4,625.00 All Rent shall be payable on the first day of each month during the Lease Term. If Landlord does not receive the full Rent by the fifth day of the month at 3:00 p.m., at the Landlord's Agent Office, Tenant must pay a $200.00 late fee as an additional rent. Rent is "paid" when Landlord receives it, not when mailed by the Tenant, date stamped by the Tenant, or sent by Tenant.