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July 20, 2021
n 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV ECONOMIC DEVELOPMENT AUTHORITY MEETING July 20, 2021 6:00 p.m. Council Chambers 1. Call to Order— 6:00 p.m. 2. Approval of Minutes (June 15, 2021 Regular) 3. Home Improvement Program Update — Planning 4. Redevelopment Updates/Discussion (Verbal) —Administration Q5. Review Commercial Project Activity -Planning 6. Other Business 7. Adjournment (763) 755-5100 Some or all members of the Andover EDA may participate in the July 20, 2021, EDA meeting by telephone or video conference rather than by being personally present at the EDA's regular meeting place at the Andover City Hall, 1685 Crosstown Boulevard NW, Andover, MN 55304. Members of the public can physically attend, although there is very limited seating in the City Council Chambers as appropriate social distancing will be done by the Council and visitors. The public can also be provided a ZOOM video conference invite by going to www.andovermn.gov and clicking on the meeting in the calendar for the link. H ANDOVER ECONOMIC DEVELOPMENT AUTHORITYMEETING — JULY20, 2021- MINUTES The Meeting of the Andover Economic Development Authority was called to order by President Sheri Bukkila July 20, 2021, 6:00 p.m., at the Andover City Hall, 1685 Crosstown Boulevard NW, Andover, Minnesota. Present: Commissioners Jamie Barthel, Ted Butler, Valerie Holthus, Randy Nelson, Kari Kafer (arrived at 6:04 p.m.) and Greg Mueller (remote) Absent: None Also present: EDA Executive Director, Jim Dickinson Community Development Director, Joe Janish © Public Works Director/City Engineer, Dave Berkowitz APPROVAL OF MINUTES June 15, 2021, Regular Meeting: Correct as written. Motion by Butler, Seconded by Barthel, to approve the minutes as written. Motion taken by roll call: Commissioner Barthel: aye Commissioner Butler: aye Commissioner Holthus: aye Commissioner Mueller: aye Commissioner Nelson: aye President Bukkila: aye Motion carried 6 ayes and 1 absent (Kafer). HOME IMPROVEMENT PROGRAM UPDATE Mr. Janish indicated a residential grant program has been discussed at past EDA meetings. The 10 target map has been updated based on past EDA conversations. Staff is still reviewing the aerial map of the parcels to determine if there are structures on the lots. The purpose of the map is to illustrate potential properties that could apply for the program. Mr. Janish reviewed highlights of the program: © Andover Economic Development Authority Meeting Minutes -July 20, 2021 Page 2 • The project cost would have to be between $2,000 to $20,000 with the property owner paying 75% of the project cost and the grant covering 25%. • Depending on program funding, income limits may be needed. • Qualifying properties would need to be owner occupied. • The EDA prefers "Andover Home Improvement Program" as the program name. • Removal of landscape consultation, typically nurseries will provide this for free. Mr. Janish indicated there is no dedicated funding for the program at this time. The application has been updated since the last EDA meeting. President Bukkila stated the application looks good. Mr. Dickinson reviewed the funding options being looked at: • Using City funds • Relief Fund money • TIF funds from the redevelopment area could be used, however using TIF funds would "shrink" the area that would qualify for the program. • CBDG grant © Staff will continue to look at funding options. REDEVELOPMENT UPDATES Mr. Dickinson indicated the parcel on the east side of Round Lake Boulevard and south of South Coon Creek Drive is a tax forfeit property. The City has gone through the tax forfeit redemption process with Anoka County and at the July 13`h Anoka County Board meeting the County Board did approve the sale of the parcel to the City of Andover. The parcel will be deeded to the City of Andover, not the EDA. President Bukkila asked if the parcel was landlocked. Mr. Dickinson replied the parcel is landlocked. The purpose is to assemble with other properties for development. Mr. Dickinson updated the EDA on property 2461 Bunker Lake Boulevard. After negotiating with the property owner, they have decided to keep the parcel at this time. Mr. Dickinson updated on the parcel located on Crosstown Drive directly behind 2619 138`h Avenue. The Anoka County Transportation Committee indicated the value for the property around $60,000. Mr. Dickinson stated most of the property is wetland and floodplain, he calculated the value of the property to be around $8,200. Staff has not heard back from Anoka County on this parcel. ® Mr. Dickinson stated the property owner at 2619 138`h Avenue is interested in selling to the City. However, the City does not want to set a precedence by paying the top of the scale for the parcel. The property owner is also a commercial developer and counter offered with a land swap proposal, his property on 138`h Avenue for two parcels on Bunker Lake Boulevard for © Andover Economic Development Authority Meeting Minutes -July 20, 2021 Page 3 commercial development. Commissioner Kafer asked what the initial goal for the area is. Mr. Dickinson replied to obtain critical mass for multi -family, twin homes, townhouses or commercial. There was nothing definitive for the area. Mr. Janish state the zoning allows for 4-8 units per acre. The EDA was not interested in a land swap at this time. REVIEW COMMERCL4L PROJECT ACTIVITY Mr. Janish updated on the following: Upper Midwest Athletic Construction — This project is complete. Hearth Development, 1714 Bunker Lake Boulevard — Two tenant spaces remain to be leased. Clocktower Commons, 15190 Bluebird Street — The final building pad location interest is relatively low at this point. © Andover High School, 2018 Additions and Renovations, 2115 Andover Boulevard — Activities continue to wrap up the project. Interest in Hughes Industrial Park — Interest in this area comes and goes. Andover Community Center, 15200 Hanson Boulevard — All areas are occupied, punch list and final inspections are anticipated soon. YMCA Expansion, 15200 Hanson Boulevard — Only a few punch list items remain, including roof drain and overflow roof drain adjustments. ABC Mini Storage (self -storage), 13624 Hanson Boulevard — Water, sewer and site prep is complete. The property owner has hired a new consultant for the project. Crooked Lake Elementary, Energy Management System Phase H, 2939 Bunker Lake Boulevard — A rooftop energy management system is being installed in three phases at the school. The second phase is underway, and ATS&R has submitted an acceptable plan for the rooftop equipment. Hanson Builders, 13432 Hanson Boulevard — A second floor sales area has been constructed, including an elevator and restrooms. The first floor is also being remodeled and the interior finishes are nearly complete. © Restaurams/Fast Food — Currently staff is aware of companies continuing to look for land to locate to in Andover. TCF Site — Andover Station 2016 LLC has acquired the property. The new owner has the list of © Andover Economic Development Authority Meeting Minutes — July 20, 2021 Page 4 potential uses allowed. At this time there are no specific plans for what will be constructed. 71h Avenue and Bunker Lake Boulevard — Staff received a sketch plan for a PUD on the north side of Bunker Lake Boulevard. The sketch contains 32 units of assisted living and 150 units of market rate apartments. The density is 20 units per acre. Commissioner Holthus asked what kind of timeline the developer is looking at. Mr. Janish answered spring construction. Holasek Property — There has been uptick in interest of this parcel for multi -family developments. Housing —Developers are looking for additional land for future developments. Several developers are trying to keep an inventory of lots but are having difficulty in finding locations. Several sites are being reviewed and looked at. In 2020 the City had 139 new housing starts. We have had around 74 residential permits issued so far this year. Minty Nails,1574154"Avenue Suite 107B —The Anoka Area Chamber of Commerce is expected to hold a ribbon cutting ceremony on July 21" at 10:00 a.m. Commissioner Mueller is available to attend. Overall Marketing — City staff continues to work with parties interested in investing in Andover and marketing all commercial sites. Staff continues to work with Anoka County Regional Economic Development (ACRED) on marketing of the community and Anoka County. OTHER BUSINESS Commissioner Holthus asked if the grass in the Bunker Lake Boulevard median has been cut. Mr. Berkowitz answered the median was mowed about a month ago. Mr. Dickinson reminded the EDA the Bunker Lake Boulevard median will be put into the CIP for concrete to be placed in the median. Mr. Janish stated the stock of Andover Station banners used on Jay Street and Martin Street are now gone. Staff is looking for direction, should more banners be purchased or should they be taken down. President Bukkila asked the EDA to look at the banner area and provide feedback to staff. ADJOURNMENT President Bukkila declared the meeting adjourned at 6:41 p.m. QRespectfully submitted, Michelle Hartner, Recording Secretary