HomeMy WebLinkAboutJune 12, 2002
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1685, CROSSTOWN BOULEVARD N.W.. ANDOVER, MINNESOTA 55304. (763) 755-5100
FAX (763) 755-8923. WWW.tI.ANDOVER.MN.US
CITY OF ANDOVER
ECONO:rvrrC DEVELOPMENT AUTHORITY'
SPECIAL MEETING
June 12, 2002 - 6:30 p.m.
CONFERENCE ROOM A
AGENDA
1. Call to Order
2. Approve Minutes - March 19, 2002
3. Andover Station - Site Development Update
a. Environmental Debris Removal
b. Commercial Development Plans
~) c. Residential Development Plans
4. WDE Site Development
,a. Ryan Companies -Site Proposal .
b. Bunker Lake Blvd - Frontage Lots bevelopment
Vision and Strategy -Board Discussion
5. Great River Energy Update
a. Site Acquisition Considerations
b. Action Items
6. Bunker Lake Boulevard Redevelopment Project - Board
Discussion
7: Andover Station ,- Street Name Changes
8. Schedule Next Meeting
9. Other Business
10. Adjourn
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ANDOVER ECONOMIC DEVELOPMENT AUTHORITY MEETING
JUNE 12, 2002 - MINUTES
A Meeting oftheAndover Economic Development Authority was called to order by President Mike
Gamache, June 12,2002,6:35 p.m., at the Andover City Hall, 1685 Crosstown Boulevard NW,
Andover, Minnesota.
Present: . Commissioners Don Jacobson, Ken Orttel, Julie Trude; Voting
resident members Terri Hokanson and Robert Nowak.
Absent: Commissioner Mike Knight, Non-Voting Member Edward Schultz
and Fred Larson.
Also present: Executive Director, John Erar
Community Development Director, Will Neumeister
Others
, .--" APPROVAL OF MINUTES
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March 19, 2002: Correct as written.
MOTION by Trude, Seconded by Orttel, approval of the Minutes as written. Motion carried
unanimously. .
ANDOVER STATION - SITE DEVELOPMENT UPDATE
A. ENVIRONMENTAL DEBRIS REMOVAL
Mr. Erar stated staff met with United Properties (UP) representatives regarding on-site soil
removal and correction issues. His office had taken action to underwrite the expense of testing,
removal of suspect soils and subsequent soil replacement activity on the site. These costs have
already resulted in soils testing costs of approximately $15,000. The total estimated costs would
remain in a state of uncertainty and are subject to change as United Properties contractors
continue excavation, grading and footing work on the site. Staff has explained to United
Properties that the EDA maintains no financial responsibility in this area of site development.
United Properties continues to make steady progress on the site and have indicated that they
anticipate meeting site development timelines.
0 Commissioner Jacobson asked if a bill could be submitted to the State since they certified the
soil was clean. Mr. Erar did not believe that they could look into any litigation with the State.
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CJ Andover Economic Development Authority Meeting
Minutes - June 12, 2002
Page 2
Mr. Nowak asked what kind of debris is on the property. Mr. Ulstad stated it is tires and barrels
with nothing in them. They have had some testing done and they were told it was ok.
Mr. Ulstad state that one of the benefits of buying a site like this was there was a defined action
plan with the State. The MPCA had been out there and told them they had been doing everything
they were supposed to. At one point there was a drainage ditch across the property and he
thought there was stuff put in there and then leveled over the years and that was what they had
found.
Mr. Nowak stated that it did not sound like $60,000. Mr. Erar stated there were testing costs,
clean up costs and removal costs incurred. He explained that the excess dirt needs to be sorted
through, the debris removed, the dirt cleaned and replace.
B. COMMERCIAL DEVELOPMENT PLANS
Mr. Neumeister stated in the area of ongoing marketing efforts and business tenant recruitment,
United Properties has completed negotiations for a rreestanding off-sale liquor store consisting of
() approximately 8,800 square feet. The building will be in the northwest corner of the Andover
Marketplace site. It was previously reviewed and approved by the EDA during the commercial
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site plan process.
Mr. Ulstad stated the building on the comer of Thrush and Bunker Lake was what needed to be
approved. He stated the building matched the grocery and attached retail. He believes the liquor
store is going to go into the building but a lease had not been signed yet.
Commissioner Trude stated that the liquor store wanted the space on Bunker Lake Boulevard but
there was a day care across the road from there. She wanted to know ifthere was an ordinance
regarding that. Mr. Erar stated that there was an ordinance only for on-sale liquor.
Mr. Neumeister stated he did ask Mr. Ulstad to do a site line study for the EDA. He stated they
tried to project the height of the rooftop. Mr. Ulstad stated that by adding another coarse of block
they could not see any rooftop except for one area. They would paint the equipment to match the
building and tone down the rooftop so it was not noticeable.
Commissioner Orttel stated the west elevation coming from Bunker was not very attractive and
he asked if there was another way to do this. Mr. Erar stated that this building would have a nice
facade that matched the rest of the building and the grocery store but it was the back of building
where deliveries would be made.
"(J Mr. Ulstad stated he spent the afternoon with the Knowlans people and this would be a state of
the art store. Mr. Neumeister asked if Mr. Ulstad had any plans for the other sites on the land
yet. Mr. Ulstad stated they had two restaurants that they were working with and they are trying to
get Snyder Drug in one spot on the property because the grocery store did not have a pharmacy.
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Minutes - June 12, 2002
Page 3
Commissioner Jacobson expressed concern regarding the amount of parking. Mr. Ulstad stated
there was free flow parking on the entire site. Whether the lots were owned or leased, the tenants
must allow parking throughout. He felt they had more parking than needed.
Mr. Ulstad noted that the road would be completed in mid-October. Mr. Erar stated they already
had the road graded and all the lines were already in place for electricity. The lighting has been
ordered and all the lighting on the site would match.
MOTION by Orttel, Seconded by Nowak, to approve the Commercial Development Plan. Motion
carried unanimously.
C. RESIDENTIAL DEVELOPMENT PLANS
Mr. Erar stated staff has been communicating with three potential residential developers for the
fonner Hans Hagen Homes (HHH) residential site. Two of the developers have expressed
interest in continuing the multi-family residential vision originally proposed by HHH and
previously approved by the EDA, with the third developer potentially looking at an assisted
U living type residential development scheme. As development proposals continue to evolve, these
plans will be brought back to the EDA Board for review and approval.
WDE SITE DEVELOPMENT
A. RYAN COMPANIES - SITE PROPOSAL
Mr. Erar explained that Ryan Companies did not have their presentation ready but had sent a
letter, which he gave to the EDA.
Mr. Neumeister stated that a week ago he received a call from a developer who was interested in ¡
developing in Andover.
Mr. Erar showed a map of the proposed site. He stated that at stafflevel they were interested in
more than the one site and he stated they should hold onto and demand more infonnation i
regarding the site before agreeing to part of the site.
Commissioner Orttel stated he believed that when they signed the agreement with the State, they
would not put any residential housing in the site. Mr. Erar stated that he was not aware ofthe
agreement but would check into it.
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0 B. BUNKER LAKE BOULEVARD. - FRONT AGE LOTS DEVELOPMENT I
VISION AND STRATEGY - BOARD DISCUSSION
Mr. Erar stated they wanted to be careful about what they put onto the site. The EDA should I
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discuss what type of retail/commercial should be on the site. !
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\- Minutes - June 12, 2002
Page 4
Commissioner Orttel stated they should not deal with this site until the other site was taken care
of. Mr. Erar stated that he believed the developer was interested in developing the other
property. He stated they did not need to rush into the development ofthis site because they had
until the fall of2003 for Great River Energy.
Commissioner Jacobson stated they needed to figure out what the cost would be for the entire
area. He felt maybe they could enter into an agreement with Great River Energy regarding
dressing up the corner and building it up without buying the land.
President Gamache asked if the proposal from Ryan was preliminary. Mr. Erar stated it was and
that they would be coming back with a proposal.
GREAT RIVER ENERGY UPDATE
Mr. Erar stated at the April 11, 2002 EDA Board meeting, the Board discus·sed the potential
Ü acquisition of two parcels owned by Great River Energy (GRE) located on the corner of Bunker
Lake and Hanson Boulevards and directed staff to obtain additional information regarding site
constraint issues. These issues have been discussed with Gary Ostrom, Supervisor, Land Rights
for GRE with respect to utility easements, relocation engineering and time frames.
Mr. Erar stated various site consideration issues had been discussed and were presented for EDA
discussion.
A. SITE ACQUISITION CONSIDERATIONS
MOTION by Trude, Seconded by Orttel, to authorize an engineering study with a portion of the
costs ($10,000) underwritten by the EDA. Commissioner Jacobson abstained from voting because
of a conflict of interest. Motion carried 5 ayes, 1 present (Jacobson).
MOTION by Trude, Seconded by Orttel, to authorize the Executive Director to enter into a contract
for Engineering services for the acquisition of Great River Properties and not to exceed $15,000.
Motion carried unanimously.
Mr. Erar stated he talked to EDA member Knight and he was reluctant to relocate the substation.
More discussion was made regarding the site. Mr. Erar stated the study would involve 10,000
feet of property and also relocating the substation to another area on the site. :
U President Gamache stated that he was not sure it would be worth doing the study. He stated they
should buy the west part of the land. Mr. Erar stated they would need the other part for parking
so they could not just buy the part without the substation on it. Mr. Erar stated this could be a
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CJ Andover Economic Development Authority Meeting
Minutes - June 12, 2002
Page 5
developable piece of land. Mr. Erar stated it was $1,700,000 for preliminary numbers. The land
on the easements would be cheaper.
Mr. Neumeister stated that they could move the road to avoid the right-of-way issue. Mr. Erar
didn't believe the Board has enough information to make a decision without the engineering
study.
Commissioner Trude asked what type of money would be involved ifthey sold this property.
Mr. Erar stated he could put together a cost analysis stating the pros and cons ofthe site but he
would not be able to do this without an engineering study. Commissioner Trude stated the
engineering study might benefit them when it came time to deal with the developers.
B. ACTION ITEMS
Action was previously taken.
0 BUNKER LAKE BOULEVARD REDEVELOPMENT PROJECT - BOARD DISCUSSION
Mr. Erar stated Dave Harris, the developer of the Devonshire Estates townhome project is
interested in acquiring additional residential property for re-developmental purposes. A study of
this area was commissioned by the City Council through Leonard Parker & Associates that called
for the development of a concept plan for the Bunker Lake residential area that would ultimately
lead to the acquisition, demolition and redevelopment ofthe residential property. Mr. Harris is
requesting that the City consider some form of private-public partnership to assist him with the
acquisition of property in the project area.
Mr. Erar stated that while there were a number of approaches available to the City EDA or HRA i
in acquiring property for residential redevelopment, the Board may find it useful to discuss
current thoughts regarding residential redevelopment ofthis area and provide staff and Mr. Harris ;
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with direction on the level of interest the Board has with advancing this project concept.
Commissioner Trude stated that she had dealt with this in another city and she was wondering if
Mr. Harris would want the City to pay the cost of razing the existing building. Mr. Harris stated
this could be looked at.
Commissioner Orttel asked if they wanted to go in parcel by parcel and improve the property.
Some of the Board members stated they did not want to do this because then they would not have
a comprehensive plan. Commissioner Trude stated the advantage ofthis was it would be cheaper
0 to do this and the nicer housing would encourage other property owners to either sell or upgrade
their property.
Mr. Erar noted that the County HRA is always looking to purchase property to upgrade.
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<'J Minutes - June 12, 2002
Page 6
Commissioner Jacobson stated that they should finish Andover Station and the WDE site before
they jump into another site.
Mr. Harris stated that as a developer he would not be interested in any ofthe properties on
Bunker Lake Boulevard, just the properties on the inside of there. Mr. Harris stated the property
owner was interested in selling the property but ifthe EDA were not interested then he would tell
the owner that.
Commissioner Orttel asked how many units would Mr. Harris be putting on the lot. Mr. Harris
stated that he could put two buildings on the property or eight units.
Mr. Erar stated the Council had talked about the different deteriorating areas of the City and
assisting or facilitating their redevelopment. If the Board was interested, staff can do some
additional research.
Commissioner Orttel stated the other thing was the Met Council would not allow them to get rid
of the only rental property in the City. He stated to solve this problem would be when the
() property changed hands to require them to add parking lots and upgrade the buildings. Mr. Erar
stated the playground equipment needed to be pulled and upgraded because the equipment was
not up to code.
President Gamache stated that if they decided to look into redevelopment, he would like to look
at some of those and what was out there and available to them. Mr. Erar stated that Mr. Harris
did not necessarily need to have a financial stake from the EDA; it was a notion that there might
be some redevelopment money out there from different programs.
MOTION by Trude, Seconded by Hokanson, to direct staff to look at options to support
redevelopment of options of Bunker Lake Area redevelopment project. 5 ayes, 1 present (Orttel).
Motion carried unanimously.
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Commissioner Orrtel stated he was voting present because his brother owns property in that area ;
and he did not want to seem biased.
ANDOVER STATION -STREET NAME CHANGE
Mr. Erar stated the EDA had discussed the issue of whether certain streets with Andover Station
should be changed to more appropriately reflect the true character and nature ofthe Board's i
vision for this commercial area. A list of potential street names was previously submitted by
0 Board members, with the direction that the Board was also interested in receiving citizen input
on potential street names. Staff advertised this on the City's cable television channel, but up to
this point no suggestions have been received. The Board also discussed potential street name
changes for other streets in the development area, including Quinn, Jay and Martin streets.
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I \ Andover Economic Development Authority Meeting
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Mr. Erar stated recollections from the most recent Board meeting where this item was discussed
suggested that the street name "Station Way" was a popular choice for the renaming of
Commercial Boulevard. Commissioner Orttel didn't think Station Way sounded right; he
thought it should be either Street, Road, Drive or Trail. Mr. Nowak stated he thought it was too
repetitive because the development was Andover Station. President Gamache stated they should
name it Station Boulevard. Mr. Hokanson asked if it was a boulevard. Commissioner Orttel
stated it was because there was a median in the middle on part of it. Commissioner Jacobson
stated they should name it Station Trail because it went into a residential area. Commissioner
Trude stated Trial sounded like a small road.
MOTION by Jacobson to change the name of Commercial Boulevard to Station Trail. Motion
failed for lack of a second.
MOTION by Nowak to change the name of Commercial Boulevard to Station Boulevard. Motion
failed for lack of a second.
MOTION by Hokanson, Seconded by Orttel to change the name of Commercial Boulevard to Station
~.-~ Parkway and bring it to the City Council. Motion carried unanimously.
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SCHEDULE NEXT MEETING
MOTION by Jacobson, Seconded by Orttel, to approve a meeting scheduled for Tuesday, June 25,
2002 at 6:30 p.m. at Andover Fire Station #1. Motion carried unanimously.
Mr. Erar wanted to schedule another meeting for July 17, 2002. Commissioner Orttel asked if
they could email their response after reviewing their calendars. Mr. Erar stated that was fine and
they could schedule this meeting at their next meeting.
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OTHER BUSINESS
Mr. Neumeister informed the EDA of the resignation of Planning Commissioner Mark Hedin :
Anoka Chamber of Commerce GolfToumament - President Gamache stated they have an
opening for a fourth person on July 8th.
0 Date on opening for Tanners - Mr. Erar stated they were looking at the end of summer. Staff
brought the issue of the rooftop equipment to Tanners and told them they needed to hide the
equipment by screening and he had not heard a response yet.
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\, , ! Andover Economic Development Authority Meeting
Minutes - June 12, 2002
Page 8
Remodeling of Video Store - Commissioner Orttel stated inside of the video store across rrom
Oasis Market is being remodeled for another use.
High School Open House - Mr. Nowak asked if anyone had heard of an open house for the High
School. Mr. Erar stated the Council would be taking a tour ofthe high school.
ADJOURNMENT
MOTION by Jacobson, Seconded by Orttel, to adjourn. Motion carried unanimously. The meeting
adjourned at 9:25 p.m.
Respectfully submitted,
\ Susan Osbeck, Recording Secretary
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