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<br />Community Development Director Trudgeon replied the agreement could likely be any length <br />the Council chooses. If the time period is shortened, staff would likely be requesting that it be <br />extended in order for agreements to be reached. <br /> <br />Councilmember Dehen stated his concern with the exclusive negotiation agreement is that if <br />something falls through or someone does not perform, it continues to weaken the City's <br />bargaining position with the subsequent developer. <br /> <br />Mayor Gamec noted there were proposals from three different companies: Muir, Ryan and <br />Shingobee. The next company in line after Muir was Ryan. Often companies want to work with <br />the top developers. <br /> <br />Councilmember Elvig pointed out it is a matter of cost. The original proposal of a developer will <br />include about 90% of what they will see; they have seen that hard and fast from Muir, Ryan and <br />Shingobee. The City needs to take what they think is the best bid initially and work with that <br />person. He agrees that it gives them a weakened position with the follow up person, and that was <br />a concern to him also. However, if this agreement with Ryan does not work out he will advocate <br />sending out for another RFP, mainly because he has seen interest from specific retailers that were <br />not known before. This makes the property far more valuable than when the initial RFP was <br />started. <br /> <br />Councilmember Look stated there are timing issues in terms of acquiring properties to make this <br />deal happen. Ryan Companies should see this as an opportunity to participate in a deal that is <br />pretty much ironed out. Prior to Muir's involvement with this, no other developer stood to make <br />a penny on this, and Ryan likely will. Councilmember Look questioned if there will be a <br />commitment from Ryan in terms of a letter of credit to purchase the properties in the required <br />timeframe. <br /> <br />Conunwtity Development Director Trudgeon indicated staff has just begun discussions with <br />Ryan. There are indications the original framework could be completed as it was with Muir. <br />Councilmember Look is correct about the timing and the use of eminent domain. Staff has <br />internally sketcheq out ideas and timelines, and to make everything work there will need to be <br />preliminary site plan and plat approval, and a development agreement in place by May. Ryan <br />has also indicated they will work diligently to come to the City by March 15, and state whether <br />they can make this deal work, if not before. Even though the agreement is for 60 days, in reality <br />it will be known in 30 days if this is the real deal. <br /> <br />Councihnember Look stated time is of the essence, but in the san1e token with the proposed <br />bridge crossing, Ramsey will be the place to be. With that in mind, he does not think he would <br />agree with selling the farm to make this deal go through, such as agreeing to a developer's <br />request for the City to commit to a lot of the infrastructure costs. This will be high value real <br />estate. <br /> <br />Commwtity Development Director Trudgeon commented they all understood the Muir deal <br />fairly well. 1ms deal will be different and will need to be judged based on the factors at hand. It <br /> <br />City Council / Fehruary 13,2007 <br />Page 11 of 25 <br /> <br />P101 <br />