HomeMy WebLinkAboutNovember 3, 2004
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1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304 . (763) 755·5100
FAX (763) 755-8923 . WWW.CI.ANDOVER.MN.US
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. CITY OF ANDOVER
ECONOMIC DEVELOPMENT AUTHORITY
MEETING
November 3, 2004 - 6:00 p.m.
Conference Room A & B
AGENDA
1. Call to Order
r--',\ 2. Approval of Minutes - October 19,2004
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3. Andover Station South Proposal- Ryan Companies (continued) - Planning
4. Bruggeman Property Update - Planning I
5. Discuss Andover Station North Development Progress - Planning
6. Other Business
7. Adjourn
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ANDOVER ECONOMIC DEVELOPMENT AUTHORITY MEETING
NOVEMBER 3,2004 - MINUTES
A Meeting of the Andover Economic Development Authority was called to order by Secretary
Knight, November 3,2004,6:00 p.m., at the Andover City Hall, 1685 Crosstown Boulevard NW,
Andover, Minnesota.
Present: Commissioners Don Jacobson, Mike Knight, Ken Orttel, Julie
Trude; Voting resident member Robert Nowak
Absent: Voting resident member Fred Larsen and Non-voting resident
member Edward Schultz
Also present: Executive Director, Jim Dickinson
Community Development Director, Will Neumeister
City Engineer, Dave Berkowitz
Others
APPRO V AL OF MINUTES
October 19, 2004: Correct as written.
MOTION by Jacobson, Seconded by Knight, approval of the Minutes as written. Motion carried
unanimously.
ANDOVER STATION SOUTH PROPOSAL - RYAN COMPANIES (CONTINUED)
Community Development Director Neumeister explained the developers have been working on
revised architectural drawings. They asked this be rescheduled to the next meeting.
Motion by Jacobson, Seconded by Knight to hold this item over to the next scheduled EDA
meeting. Motion carried unanimously.
BRUGGEMAN PROPERTY UPDATE
Community Development Director Neumeister stated Bruggeman Properties have worked on
preparing preliminary plat drawings for their proposed townhome development at Andover Station
North. The staffhas been working on the purchase agreement with them. Based upon the latest
information, Bruggeman Properties are no longer interested in completion of streets and utilities to
serve their first phase by August 1, 2005. Instead they would prefer the summer of 2006 for
completion of the first phase of Jay Street and begin constructing units in their first phase of their
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Andover Economic Development Authority Meeting
Minutes - November 3, 2004
Page 2
housing development at Andover Station North by the fall of2006.
Commissioner Jacobson stated if they assumed they get a couple of businesses signed up and they
put in the sewer and water and road next year, they are not assessed for this until 2006. Mr.
Dickinson stated they will pay the hook up charges and the area charges along with the lateral to get
this to the building; the rest they are trying to factor into the cost of the land.
Commissioner Jacobson wondered if they were looking at delaying the entire project for an entire
year. Mr. Neumeister stated he did not think they were looking at that but they will try to structure
the bid package so there would be more than one alternative to look at. The decision would not need
to come until February.
Commissioner Knight asked if the first units would be for sale in 2005 or 2006. Mr. Neumeister
stated it would delay the construction by a year.
Commissioner Jacobson asked if this would delay the City putting in a road. Mr. Dickinson stated
they would not need to delay putting the road and utilities in. They have increment dollars available
to move forward. He stated the position he is taking with them is if Bruggemen wants to delay it,
they put just as much down if not more for holding the property and if they do not agree to some of
the City's terms, the city has the opportunity to market it to someone else.
Commissioner Orttel thought they had enough revenue to get the project going. Mr. Dickinson
stated that was correct.
Mr. Berkowitz stated they will stay on the same schedule for the project.
Mr. Nowak stated there should be a cost to Bruggeman for the delay. Mr. Neumeister stated this is
built into the cost but the City would like more money down to hold the land.
Commissioner Orttel stated once they determine the use of the land, he thought anyone would be
able to use the land.
Mr. Neumeister explained what Bruggeman will need to provide the City for development of the
land.
Commissioner Orttel thought they were relying on the liquidity of the residential in order to go
forward with this and he was worried they would get too far ahead.
Commissioner Knight asked if the market was so soft that they could not even put in a small number
of homes. Mr. Neumeister stated construction oftown homes has slowed down because they are not
selling as quickly as before. He stated that if some of the units at Station Parkway would move, they
would be more inclined to start. He has heard this from other developers also.
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Andover Economic Development Authority Meeting
Minutes - November 3, 2004
Page 3
DISCUSS ANDOVER STATION NORTH DEVELOPMENT PROGRESS
Executive Director Dickinson explained this past week staff met with another local developer that is
interested in looking at the possibility of building an office showroom building in Andover Station
North. The other developers that we have been in contact with are still showing interest in being in
the first phase of the construction and that would enable the City to build at least the fIrst phase of
Jay Street in the summer of2005.
Commissioner Jacobson asked if that would be for development in the first part of2005. Mr. Casey
indicated that was correct.
Commissioner Jacobson asked what the status was with Pov's regarding the commercial. Mr.
Neumeister stated they have not made any decision and Mr. Povlitzki stated he is not ready to move
on anything at this time.
Mr. Dickinson stated Mr. Povlitzki has indicated developers are looking at his entire property.
Mr. Neumeister showed the Commission a layout of the proposed commercial development and
discussed the costs.
Commissioner Trude arrived at 6:25 p.m.
Commissioner Knight asked if everything in the commercial center would be related to home
building. Mr. Casey stated it would.
President Gamache arrived at 6:30 p.m.
Commissioner Jacobson asked if there was an idea about how many jobs this would make in this
area. Mr. Dickinson stated they have not calculated the numbers yet. He projected the numbers for
the Commission.
Mr. Neumeister stated the road would not be MSA funded. Mr. Berkowitz stated the light will also
be funded from the sale of the land.
APPROVE LMCIT LIABILITY COVERAGE
Executive Director Dickinson explained the League of Minnesota Cities Insurance Trust (LMCIT)
requests that participating cities and special authorities annually decide whether or not to waive the
statutory tort liability limits established by Minnesota Statutes 466.04.
Commissioner Jacobson asked what the cost was. Mr. Dickinson stated the cost is under $1,000.00
per year.
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Andover Economic Development Authority Meeting
Minutes - November 3, 2004
Page 4
Motion by Jacobson, Seconded by Orttel, to not waive the monetary limits on tort liability
established by Minnesota Statutes 466.04. Motion carried unanimously.
OTHER BUSINESS
Mr. Neumeister updated the Commission on the TCF building development at Andover Station
South.
Commissioner Jacobson stated if the Council accepts the split, the EDA still looks at this and has the
[mal word on the building and materials used.
Commissioner Trude wondered why they would waive the ten foot parking setback. She wondered
ifthis would affect snow storage. Mr. Neumeister stated this would not have an impact on the site
because it is parking to parking.
Commissioner Jacobson stated his concern was he wanted to be sure the building was aligned
correctly.
Motion by Jacobson, Seconded by Knight, to adjourn. Motion carried unanimously. The meeting
adjourned at 6:40 p.m.
Respectfully submitted,
Susan Osbeck, Recording Secretary