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HomeMy WebLinkAboutEDA September 20, 2005 ("'~ ;~~7'..." ; . C I T v 0',' f,h,!".;';;.iI \_ . .. t --J-:,:- ~!Ii"ih,:Owt ,,~. 4) 0 l'I1l1 0 VEH~~t,' 'H~~ / "f.- I:. , y \ . t . L.#' #..... .., . . . -- '., ~~ ....., 1685 CROSSTOWN BOULEVARD N,W, . ANDOVER, MINNESOTA 55304 . (763) 755-5100 FAX (763) 755-8923. WWW,CI.ANDOVER,MN.US ECONOMIC DEVELOPMENT AUTHORITY MEETING September 20, 2005 6:00 p.m. Conference Rooms A & B AGENDA 1. Call to Order - 6:00 p.m. 2. Approval of Minutes (6/28/05 Executive Session; 9/6/05 Reg. Mtg.) 3. Update on Andover Station North - Planning \ 4. Letters of Intent/Purchase Agreements Update - Administration / 5. Other Business 6. Adjourn , / ~NDbVE~ @ / 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304 " (763) 755-5100 FAX (763) 755-8923 . WWW.CI.ANDOVER.MN.US TO: Economic Department Authority CC: Jim Dickinson, Executive Director FROM: Vicki V olk, City Clerk SUBJECT: Approval of Minutes DATE: September 20, 2005 INTRODUCTION The following minutes were provided by TimeSaver Secretarial for approval by the EDA: June 28, 2005 Executive Session (Schultz absent) / September 6, 2005 Regular Meeting DISCUSSION Attached are copies of the minutes for your approval. ACTION REQUIRED The EDA is requested to approve the June 28, 2005 and September 6, 2005 minutes. Respectfully submitted, fLt.,. ()~ Vicki Volk City Clerk Attach: Minutes . , , / j An Executive Session of the Andover Economic Development Authority was called to order by President Mike Gamache at 6:34 P.M., Tuesday, June 28, 2005 at the Andover City Hall, 1685 Crosstown Boulevard NW, Andover, Minnesota. Commissioners Present: Don Jacobson, Mike Knight, Ken Orttel, Julie Trude, Joyce Twistol, Robert Nowak Commissioners Absent: Edward Schultz Also Present: Executive Director, Jim Dickinson City Engineer, Dave Berkowitz Community Development Director, Will Neumeister Others EXECUTWE SESSION a. Accept, Review and Discuss Appraisals and Land Sale Negotiations / . Lot 1, Block 1, Andover Station North . Lot 1, Block 2, Andover Station North Executive Director Dickinson explained there is a full compliment of the Economic Development Authority present as well as Community Development Director Neumeister and City Engineer Berkowitz. He noted the lots to be discussed. They would discuss appraisals and land sales on the other lots. Executive Director Dickinson stated Lot 1, Block 1, Andover Station North is on Hanson Boulevard. It is identified as Play Ventures of Minnesota. The appraiser, Jason Messner, is one of the best appraisers in Minnesota. He added Mr. Messner was often asked to get involved in difficult appraisals. For this parcel the appraisal listed $495,000 as the value. He added the site area is 6.85 acres with a net of 4.31 acres subtracting the existing easements. He stated based on the consideration of institutional controls the value before those controls was $895,077. Ibis would include the building and parking lot for an estimate of $400,400. He added the appraiser consulted with Geometrics on the venting issues. The Geometries report is attached to the appraisal. Commissioner Jacobson asked what that figure relates to. Executive Director Dickinson stated $265,000 of the net. He noted page twenty-two of the report talks about the analysis. The report went through a number of comparables. , / He stated there were adjustments to those. Nine comparables are listed on page eighteen. He added page twenty has the comparable land analysis and the adjusted price. The average is $5.24 cents. After adjustment, the average price is $3.06 per square foot. Andover Economic Development Authority Meeting Minutes - June 28, 2005 , Page 2 ) He added that after adjustments the value range is from $2.65 per square foot to $3.64 per square foot. Commissioner Jacobson stated Clock Tower Commons sold for that price for the total property. He noted here the lots are going for a lot more. Executive Director Dickinson stated these sales are from raw land to the developer. He noted those lots went through the PUD process before sale. Commissioner Jacobson asked was not the City doing that. Executive Director Dickinson stated not in this person's opinion. He noted the comparison property four was the least similar in location attributes. He added it was purchased for subdividing into lots. He stated this was not possible in this situation. Commissioner Jacobson stated the City put in the streets and roads and now is doing more. He noted this lot has a power line on it and is next to a dump. He wondered if this appraisal for $265,000 is for raw land. He stated the City would be handing over a developed lot. Executive Director Dickinson stated Mr. Messner would make himself available to come , and talk, but the EDA would have to pay for it. He noted they are hoping the report / would speak for itself. City Engineer Berkowitz stated they have service lines and parking lots. Commissioner Trude stated the City did take the bad fill off of that site. She noted the City allowed them to take the concrete and auto parts off the site and move them to the City site for disposal. Executive Director Dickinson stated they did not have those costs. He noted that before all adjustments, they were saying $3.00 per square foot. Commissioner Orttel stated the others were all valued around five and seven dollars per square foot. He noted the appraiser just took the sales and laid them out. He did not see a difference from other appraisals, other than a price for putting in venting. The appraisal did not get into sewer and water. This would equate more to lots rather than vacant land. He added it had the utilities to the roadway. Executive Director Dickinson stated the utilities are located in Bluebird Street for the Clock Tower parcel. Commissioner Orttel stated it is a finished lot. He noted the building lots are almost $20.00 a foot for residential. The City would be selling a commercial site at a traffic , / signal for $3.00 a square foot. He added the City should put a sign on it. Commissioner Trude asked that although a purchaser would have a venting system, would not people who were purchasing food be hesitant to come to this site. Executive Andover Economic Development Authority Meeting Minutes -June 28, 2005 '. Page 3 ) Director Dickinson stated Geometric put in the information indicating venting in the building and parking lot. Community Development Director Neumeister stated the PCA used to have verbal instructions. He noted the PCA is coming up with written guidelines. He added the PCA wants active venting instead of passive venting. The PCA might require sensors to sense when the gas is building up. He added based on what he is hearing there could be written guidelines coming soon. He stated things have changed on this issue due to the PCA's fear of buildings blowing up. Commissioner Nowak asked if Play Ventures made an offer. Executive Director Dickinson stated it was $2.50 a square foot. Community Development Director Neumeister stated the guidelines would not allow polyethylene sheeting for vapor venting. He noted Geometric felt they are experts on what requirements these buildings would have to adhere to. He added the Commissioner of MPCA would have to approve that. Commissioner Jacobson stated without the landfill the price would be up around $5.00. Commissioner Trude thought there would be anxiety with the end users. / Executive Director Dickinson asked if there are any concerns about financing and a mortgage. Commissioner Knight stated there are mortgage issues on this site. Executive Director Dickinson stated the Council has this information and it has not gotten to that point. He asked if the EDA wants staff to negotiate with Play Ventures. He stated this report would remain a private document until the parcel is sold. He noted they have to store the information for eight years. He added that until the parcel is sold it could be private. Executive Director Dickinson stated they could put a sign up. He noted they have not had a lot of interest. Commissioner Trude asked if they had difficulty hanging on to buyers on the good parcels. Commissioner Nowak asked what Play Ventures wants to do with it. Executive Director Dickinson stated they could sell it for whatever they want. He noted they have to determine the business subsidy. , / Community Development Director Neumeister stated this report was presented in March of2005. He noted the developer offered $2.50 a square foot. He added it had to be adjusted for the accurate square footage. He stated there is a certain amount of the Andover Economic Development Authority Meeting Minutes - June 28, 2005 Page 4 ) property under the power lines and other areas that are buildable. He noted the buyer wants to build a Champs type restaurant. He added the retail space would be 5,000 square feet for a sporting goods store and indoor volleyball courts. The buyer needs all the parking provided and in theory shared parking in the EDA lot. Executive Director Dickinson stated that concept did not have to stay. He noted they could sell it. Commissioner Trude suggested the site be considered for an additional baseball field since the price of the land was so low. Commissioner Trude asked if there was room for ball fields. Executive Director Dickinson stated it would be difficult. Commissioner Trude asked about parking. City Engineer Berkowitz stated they have a large parking lot and an agreement for shared parking is possible. Community Development Director Neumeister stated this maximizes the use ofthe lot. He noted they designed this in the event the restaurant fails they could turn it into an industrial building. He added the purchaser feels indoor volleyball would support it in the winter and ball fields would support it in the summer. I Executive Director Dickinson stated they could talk about negotiation. Commissioner Jacobson thought that lot was sunken down. He noted the City has lifted it. Community Development Director Neumeister stated they raised it a foot higher than what had been planned. He noted it did it look higher than he anticipated. City Engineer Berkowitz stated the backside was raised higher than a foot. Commissioner Trude asked about the taxable value. Executive Director Dickinson stated the final building is a 3.5 million dollar project. He noted it would pay between $80,000 to $100,000 a year in property taxes. Commissioner Orttel stated that was gross tax and not the City's share. Executive Director Dickinson stated the City's share would be in the range of$30,000. Commissioner Trude stated they should see what people are paying for play space. Commissioner Jacobson stated that in light of the appraisal they should get more than , I what was offered. Commissioner Orttel stated it is amazing to him. He noted he heard the prices people were getting in the City and this is a totally finished lot. Andover Economic Development Authority Meeting Minutes -June 28,2005 Page 5 j Executive Director Dickinson stated the Beberg parcel purchase had the highest price. He noted it was a neighboring parcel so he did not see it as an arm's length parcel. Commissioner Orttel stated a couple of acres for steel storage units sold for $10 a square foot. Commissioner Knight stated other pieces in the city are priced much higher than this. He noted the property is not moving but the price is not coming down. Commissioner Trude stated it is a negative to be next to a landfill. Commissioner Orttel stated there are houses closer than this parcel to the landfill. Executive Director Dickinson stated the Council received the information. He noted they could hold this and continue to negotiate. He requested if the EDA members did retain the appraisals they be held as private data. Commissioner Twistol asked ifthere was a statement from the PCA to the effect that the parcel could be developed to ease the residents' minds. ) Commissioner Orttel stated the PCA issued a letter that nothing could be closer than 500 feet when they were starting the clean up procedure. He noted it was potent for twelve or fifteen years. They capped it and sealed it. He noted they are way past the peak production point. Executive Director Dickinson stated the MPCA has indicated this would remain a capped landfill site for one hundred and fifty years. Commissioner Orttel stated someone threw away a lot of transformers full of PCBS. Commissioner Orttel stated the PCBS were near where the homes were. Commissioner Twistol asked ifthe people who offered $2.50 a square foot are aware of the contaminates. Executive Director Dickinson stated yes. Commissioner Twistol thought it is a terribly low amount for a restaurant. She liked the idea about putting up a for sale sign. She added that at $2.50 they are giving it away. She would like them not to do that. Executive Director Dickinson stated that the issue is what would be more beneficial. He noted one option is having the property sit there with lost tax revenue and potential jobs , to the City. He added the other option is trying redevelopment, which provides additional , j tax base and more jobs to the community. He stated they need to weigh the sale price. He noted they might desire a higher sales price. They were dealing with a property next to a landfill site. He stated they have a buyer now. He asked if they want to hold it or sell it. It is a tough question. Andover Economic Development Authority Meeting Minutes - June 28, 2005 Page 6 J Commissioner Jacobson stated they could say they want more money and it could sit there another year to a year and a half. He asked what that would do to the costs they are mcumng now. Executive Director Dickinson stated the EDA carries costs at four and one half percent. He anticipated using the park dedication fees to pay for the ball fields. Commissioner Jacobson asked if waiting a year to a year and a half to get a higher price would result in a fmancial headache. Executive Director Dickinson stated the City needs $450,000 in land sales to keep that number above zero. He noted if the Bruggeman sale goes through, then the City would be okay. He added the Kim Tramm parcel might have a sale for $250,000 next July. The City might be able to attain the goal on that parcel. Commissioner Knight stated he wants to see how it plays out with the other properties. Executive Director Dickinson stated the value for Lot 1, Block 2 is $1,265,000 or $4.00 a square foot. He noted it was using the same comparables. It was not adjusted due to any environmental outside of the 500-foot buffer. "- Commissioner Trude asked ifthe section under the power line is considered out. ) Executive Director Dickinson stated they would still give value to that parcel. Commissioner Trude asked if it is based on a general business use. Community Development Director Neumeister stated yes. Executive Director Dickinson stated page four of the report gives the scope of the appraisal. He noted it has non-physical attributes that they would not see on the other parcels. He added these are the design standards of Andover Station North. They were asking for a little more building than someone is able to build on the other parcel. He noted that by looking at page four one could see the institutional controls and vapor barrier for the parcel to north. Commissioner Jacobson asked what Mr. Tramm suggested for a price. Community Development Director Neumeister stated $3.65 for Tramm II. He noted it would escalate at six percent a year. Executive Director Dickinson stated it is shy of the $4.00. Community Development Director Neumeister stated he asked if the property would be worth more if it were a split parcel. He noted the appraiser told him the price would be the same if split. This price would be for any uses in light industrial or commercial zoning. Commissioner Orttel stated people pay more for a commercial site rather than an , J industrial site. He noted a convenience store site has more value than a machine shop site. Andover Economic Development Authority Meeting Minutes -June 28, 2005 Page 7 , Commissioner Jacobson asked what the City paid for the parcel near this one. Executive Director Dickinson stated $12,000 or $2.00 a square foot. Commissioner Orttel asked about the other parcel. Community Development Director Neumeister stated the highest and best uses were listed at the bottom of page twenty-two. He noted the appraiser did not say it mattered whether there was one lot or two. He added the best use is industrial. Executive Director Dickinson stated the section discusses uses for development such as limited industrial or office use. He noted the design standards for Andover Station North. Commissioner Jacobson stated the City is putting in sewer, water, streets and everything. Executive Director Dickinson stated the buyer would pay hookup and the area charges. Commissioner Trude stated it depends on how long they want to sit on the land. She noted the Target is not doing real well. She added Target's attitude is that it is here for the long run. She stated it would wait for more population and more daytime employees. She noted Ryan has not rented out the strip mall. She added the Clocktower is not built yet. She stated there is a little bit of a glut locally. ; Commissioner Orttel stated there is concern County-wide about condos. Commissioner Orttel stated they still have people asking why they could not have these things out here. He noted 25,000 cars a day are going by that lot. Executive Director Dickinson stated they could certainly put something up. Commissioner Trude stated Target felt the market is coming. Commissioner Jacobson stated they should continue the discussions. He noted the buyer would see the signs go up. He added they would have to discuss it or they might lose it. President Gamache stated they did not have to take the first offer anyway. Commissioner Knight asked how the price could be more further south. Executive Director Dickinson stated that in some other parcels the City is in a good position to ask for more. He noted the other parcels would now have street frontage. Commissioner Trude asked ifthey could discuss them all. Executive Director Dickinson stated yes. Community Development Director Neumeister stated the Rudnicki parcel has less land. '- , He noted he would strongly lobby whatever is built to be similar in stature and site to the other builders. He added when Mr. Casey builds, it would be identical. He would prefer to have it "L" shaped. He noted Mr. Rudnicki is willing to work with a detached or attached building. He calculated number to make it work is five and one quarter over the Andover Economic Development Authority Meeting Minutes-June 28,2005 Page 8 J whole parcel. He stated it would be $7.00 a square foot in the south part. The developer is interested. He had discussed the shared common wall with that developer. He stated there would only be four tenants besides the developer. He has a good long-term tenant so the developer does not have to fill the rest of it right away. He added the United people are hesitant. Commissioner Trude stated the people who work for Target say it is the worst performing store. Community Development Director Neumeister stated the plan has this as light industrial to the north. He noted getting a restaurant to come to the front would be a tough sell. Executive Director Dickinson stated the Commissioners agree to hold on to the parcel longer. He noted that from a cleanup standpoint they would need to spend some time. Community Development Director Neumeister stated they are going to get a feasibility study on the streets for the next Council meeting. Commissioner Orttel asked if that is included in the sales price. Community Development Director Neumeister stated it is a private improvement. He noted the number was in the mid-sixes before that improvement. He added Mr. Casey was on , board and knew it would be assessed. Executive Director Dickinson stated it helps the buyer because it makes sense to pay for it. He noted ifhe closed before the final assessment they would have the opportunity to carry it to the next parcel. He added the title company and the mortgage company might force it. He stated Mr. Casey is probably okay. Commissioner Trude stated she likes that he is a permanent fixture. She noted Mr. Rudnicki and the dance studio have potential customers. Commissioner Knight asked when Jay Street would be done. City Engineer Berkowitz stated in September. Commissioner Orttel stated it would be beneficial when Jay Street is done and people could see it. Commissioner Trude stated she is happy with what is shown. b. Discuss Land Sales . Lots 1-5, Block 3, Andover Station North . Lot 6, Block 1, Andover Station North I Executive Director Dickinson stated they had discussed selling Lots 1-5 and working with brokers. He had discussed with the EDA Mike Mulrooney and a finder's fee. He asked if there was a tinder's fee for all of the parcels. Andover Economic Development Authority Meeting Minutes-June 28,2005 Page 9 J Community Development Director Neumeister stated Ms. Kay Hersh had asked if there was a finder's fee if she brought anyone here. He noted land sales ofthis kind are done when people start talking. He added the more people that saw a piece the better. He stated it would be an incentive to come to Andover. He noted that then everyone would be trying to sell. He added sales like this were done one on one. Commissioner Orttel asked if it would be five percent. Executive Director Dickinson stated it would be six percent or less. Community Development Director Neumeister stated he spoke to Copperwood Investment. He noted he asked him to bring a client. He noted he was asked why would someone bring a client, he or she had to have an incentive. Commissioner Trude asked about Commissioner Twistol's idea on the restaurant pad. Commissioner Twistol suggested Culvers. Commissioner Trude stated it is a self-service Perkins. Commissioner Knight stated Menards is spreading out in the Twin Cities. , Commissioner Trude stated staff should contact those businesses and then talk to the / brokers. The meeting adjourned at 7:34 p.m. Respectfully submitted, Nancy Czajkowski, Recording Secretary / DRAFT ANDOVER ECONOMIC DEVELOPMENT AUTHORITY MEETING SEPTEMBER 6, 2005 - MINUTES A Meeting of the Andover Economic Development Authority was called to order by President Mike Gamache, September 6, 2005, 6:02 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 members Joyce Twistol and Robert Nowak Absent: Edward Schultz, Advisor to the EDA Also present: Executive Director, Jim Dickinson Community Development Director, Will Neumeister Others APPROVAL OF MINUTES / June 28, 2005: Regular Meeting; Correct as written. June 28, 2005: Executive Session; Correct as amended. July 19, 2005: Regular Meeting; Correct as amended. MOTION by Knight, Seconded by Jacobson, approval of the June 28, 2005 Regular Minutes as written. Motion carried unanimously. Commissioner Trude asked for an item to be submitted in the minutes and noted it would be given to Mr. Dickinson for adding. MOTION by Knight, Seconded by Jacobson, approval of the June 28, 2005 Executive Session Minutes as amended. Motion carried unanimously. Ms. Twistol stated on page 4, there was discussion that Mr. Dickinson suggested and the Commission conferred that the fmder fee be applicable to a licensed real estate agent or broker. Mr. Dickinson noted it would be included. Commissioner Orttel wondered if Mr. Mulroney is a realtor or licensed broker and how did this finder's fee affect him. Mr. Neumeister stated he is not a licensed broker. Mr. Dickinson stated that would be a separate agreement and they would enter in a contract on that. / MOTION by Knight, Seconded by Jacobson, approval of the July 19,2005 Regular Minutes as amended. Motion carried 6 ayes, 1 present (Trude). I Andover Economic Development Authority Meeting Minutes - September 6, 2005 Page 2 ANDOVER STATION NORTH DEVELOPMENT IMPROVEMENTS UPDATE Community Development Director Neumeister stated progress is being made each week on construction and marketing of the property. The Council approved the change order for the existing Jay Street contract at the August 16,2005 City Council meeting to construct the public utilities and streets to serve the southern 20 acres. The final phases of public street/utility construction are underway and are expected to be done by the end of September. Mr. Neumeister updated the Commission on development improvements at Andover Station North. Mr. Neumeister indicated Mr. Rudnicki is still working with staff on the land he is interested in acqmnng. Mr. Neumeister stated the building material supply business does want some outdoor storage and he wondered if screened well, would this be a use they would consider because now they do not allow outdoor storage. Mr. Dickinson stated block walls could be used for screening. / President Gamache noted he would not have a problem with outdoor storage in the area of the property indicated. Mr. Nowak wondered why if they were going to have outdoor storage, they could not have it on the east side by the trees. Commissioner Trude wondered whose view would be diminished by this. Mr. Dickinson stated they would need to have it screened from both ends. Commissioner Trude wondered if they could screen by percentage ofland used. Mr. Neumeister stated if the party is interested, he could have them come in to talk to the EDA regarding outdoor storage. Commissioner Trude thought that would be a good idea. Commissioner Knight wondered where they are on the Rudnicki property in terms of dollar per acre. Mr. Neumeister thought he was interested in keeping the cost at $3.50 per acre. Commissioner Trude wondered if chemical storage is on site below ground how it would affect the water table. Mr. Neumeister stated they could have Mr. Rudnicki come in and discuss this further with the EDA. Mr. Nowak recalled they had a discussion on the width of the street. Mr. Neumeister stated it will be built to City standards. The right-of-way will be narrower there than a city street. / Commissioner Knight wondered if the street would be no parking. Mr. Dickinson stated ifthere were going to be turn lanes on the street, then it would not allow parking. Mr. Neumeister noted Mr. Casey is working on finalizing paperwork and they should be seeing j Andover Economic Development Authority Meeting Minutes - September 6, 2005 Page 3 more in the coming month. LETTERS OF INTENT/PURCHASEAGREEMENTS REVIEW Community Development Director Neumeister explained the EDA is asked to review the attached letters of intent from Bruggeman Properties. One of the letters indicates they would like to purchase property in Andover Station North for an office condominium development. Another letter of intent from Bruggeman Properties indicates they would like to purchase the westerly portion of Lot 6, Block 1 for an expansion of their previously approved townhome project. Mr. Neumeister reviewed the proposal with the Commission. Commissioner Trude wondered if the wetland is a pond so the office units could take advantage of the wetlands. Mr. Neumeister stated at times there is water but for most of the time, it is just wetland grass. / Mr. Tony Howard stated part of the intent of having so many units is the site of the wetland but others may want the site of Jay Street. Mr. Neumeister stated there is a ten foot utility easement on the property but staff is willing to abandon this and move it more into the wetlands so the buildings can be staggered to break up the view a little bit. Mr. Howard indicated the buildings do not need to be staggered so far. They could also have different brick looks without staggering. Commissioner Knight wondered if they could lower part of the parking lot to move the buildings in further. Mr. Neumeister thought they would need all the parking for the buildings. Ms. Twistol wondered if the site plan allowed for landscaping. Commissioner Orttel wondered what the purchaser would get for the $3.65. Mr. Neumeister stated there would not be any additional assessments on the property. There will not be access along Jay Street, only 139th Lane. Commissioner Trude wondered why they could not keep the entire parcel commercial. Mr. Neumeister stated two to three developers have looked at this parcel and indicated the smaller / area would not be large enough for commercial. Mr. Howard stated having the parcel commercial will detract from Bruggeman's townhomes because it would either be the back ofthe building or a parking lot facing the townhome development. ; Andover Economic Development Authority Meeting Minutes - September 6, 2005 Page 4 The Commission discussed the Bruggeman Homes proposal with staff. Commissioner Jacobson stated he would not object to four or five additional units but he did not like an additional twelve units. President Gamache thought they should look at having Mr. Howard expand into the open piece and then see what they can get out of the rest of the property. Mr. Howard wondered if the EDA would be interested in a proposal from them on the Tramm II property. The Commission was agreeable to this. Ms. Twistol wondered what type of sign would be permitted to advertise the businesses. Mr. Neumeister stated they would have a marquee on Hanson and then a smaller sign on the property. LETTER OF INQUIRY FROM DORIS GRIPE ; Community Development Director Neumeister stated the EDA is asked to consider the request of Ms. Doris C. Gripe outlined in the attached letter, regarding land she is interested in purchasing in Andover Station North to build a bilingual preschool. Mr. Neumeister reviewed the letter with the Commission. The Commission agreed Ms. Gripe should work with a developer on this item. OTHER BUSINESS There was none. Motion by Jacobson, Seconded by Orttel, to adjourn. Motion carried unanimously. The meeting adjourned at 6:55 p.m. Respectfully submitted, Susan Osbeck, Recording Secretary I Sl\NDbVE~ @ ) 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304 " (763) 755-5100 FAX (763) 755-8923" WWW.CI.ANDOVER.MN.US TO: EDA P",id,ot nod Bo"d ~ CC: Jim Dickinson, Executive Directo FROM: Will Neumeister, Director of Community Development d- SUBJECT: Update on Andover Station North --Planning DATE: September 20, 2005 INTRODUCTION Staff has received a site plan drawing from Louis Rudnicki showing how he would propose to create a separate parcel for his dance studio. He also proposes a few tenant spaces that would be leased out (see attached). Louis would built approximately 8,170 square feet of retail space, and the drawing shows an additional 19,000 square feet are possible on the site adjacent to Bunker Lake Boulevard. Staff continues to market the site adjacent to Bunker to other retail shopping center developers. The original contract to complete the construction of Jay Street is nearing completion, with curb and gutter being installed this past week and all sewer, water and storm sewer work already completed. The contractor is indicating that he will put down both the base and wear course asphalt road surface this fall. They are tentatively planning that all work will be done by October 31, 2005, including the city street currently being constructed to serve the lots in Block 3 of Andover Station North. Staff has prepared an advertisement (in conjunction with Connexus) for the Real Estate Journal that will appear for three months in a row (Oct. - Dec.). Recent inquiries related to what people are interested in building in Andover Station North include: . Real Estate Offices (2 - 3,000 sq. ft.) . Full Service Car Wash . Electrical Contractor (5,000 sq. ft.) . Cabinet Shop ACTION REQUIRED Informational update, no action is needed. Respectfully submitted, Will Neumeister ~ Attachment ~ I Concept / Site Plan from Louis Rudnicki r--l--- I I I I I I I I I I I I I I I I I I I ~ I ~\) I I I I .\:l I I I ~ I I ~ I I ~ I I I ~ ~ 5114 1500 1500 1500 1500 1500 Bt/NJ::.d LA~ 13t.-VY. i 50 25 0 50 100 1""""'-- _ 'Feet @ 1685 CROSSTOWN BOULEVARD N.W. "ANDOVER, MINNESOTA 55304 . (763) 755-5100 FAX (763) 755-8923 . WWW.CI.ANDOVER.MN.US TO: EDA President and Board FROM: Jim Dickinson, Executive Director SUBJECT: Update on Letters ofIntentlPurchase Agreements Update DATE: September 20, 2005 DISCUSSION Staff continues to pursue the receipt of letters of intent for Andover Station North daily. Staff will provide a verbal update at the meeting on letter of intent and purchase agreement progress. ACTION REOUESTED Receive a staff presentation. , - 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304 . (763) 755-5100 FAX (763) 755-8923 . WWW.CI.ANDOVER.MN.US TO: EDA Board Members FROM: Jim Dickinson, City Administrator ()/~ SUBJECT: Supplemental Agenda Items for September 20, 2005 EDA Meeting DATE: September 20, 2005 The Economic Development Authority is requested to review the supplemental material for the following Agenda Items: Accept Additional Item under Other Business Item #5a. Review Request/Lineburg Manufacturing (Supplemental) Respectfully submitted, Jim Dickinson City Administrator ~NDbVE~ C9 1685 CROSSTOWN BOULEVARD N.W. " ANDOVER, MINNESOTA 55304 " (763) 755-5100 FAX (763) 755-8923 . WWW.CI.ANDOVER.MN.US TO: EDA President and Board CC: Jim Dickinson, Executive Director FROM: Will Neumeister, Director of Community Development(L SUBJECT: Other Business - Inquiry from Lineburg Manufacturing DATE: September 20, 2005 INTRODUCTION The staffhas received a call from Lineburg Manufacturing related to whether the EDA would sell their business (machine shop) a parcel of land in Andover Station North. DISCUSSION Lineburg would like to build a 16,000 square foot building similar to that which they currently occupy in Ham Lake. They would like to purchase the land and wait about two years begin construction. They need only about one third of the building for the machine shop and they would build more than they need so that they can grow into it over time. In the short-term they would lease the space they didn't need for their own operations. In reviewing the permitted uses, nothing was found to indicate the type of use that is proposed would not be allowed (attached is the list ofpennitted uses). Staff would like EDA members to discuss and provide further direction on this use and proposal. ACTION REOUESTED The EDA is asked to review and discuss whether the request from Lineburg would gain the approval of the EDA for a possible land sale. Attachment Lineburg Website Information Andover Station North Uses List LINEBURG MFG. Page 1 of 1 LlNEBURG MFG. LINEBURG MFG. 1359 153rd Lane NE ManufudurerofComplexMad1ioo:l. Suite 400 Components & Ham Lake, MN Automated Manufacturing Solutions 55304 Phone (763) 434-1950 Fax (763) 434-9107 sill~s@J inel)lJrgmfg, corn Home What We D_Q Lineburg Manufacturing is a family owned and operated custom fastener and specialty machined components Quality_Assurance manufacturer, which specialize in finding unique manufacturing solutions for the most demanding products and ContacLUs assemblies. Lineburg Manufacturing has been serving the machined components market since 1998, with its core business being precision mounting studs for air bag inflators. Operating out of a new 3200 square foot facility that was completed in 2003, we are centrally located just 30 minuets north of Minneapolis in beautiful Ham Lake, Minnesota. Along with Total Quality Management (TQM) techniques, innovative manufacturing solutions and sophisticated CNC machining centers we can produce your parts with higher quality by processing them with less or no secondary machining operations. ~ .lJ http://www.lineburgmfg.com/ 9/20/2005 LINEBURG MFG. Page I of I LINEBURG MFG. LINEBURG MFG. 1359 153rd Lane NE Mam.iIDdurerofOJrnplexMadrined Suite 400 Cbrnponents & Ham Lake, MN Automated Manufacturing Solutions 55304 Phone (763) 434-1950 Fax (763) 434-9107 ~<!l~~@lill~bl.lrgmfg&Qm Home What We Do Quality Assurance Contact Us Along with fully automated Acme Gridley multi-spindle chuckers (to 5-114" diameter), we utilize modern twin turret 7- axis CNC mill-turn centers capable of machining all sides ofa part. All of our mill-turn centers are equipped with: live tooling, sub-spindle, full C-axis (for milling interpolation), and magazine type bar loaders with bar capacity to 65mm(2-9/16). We serve industries such as automotive (air bag module studs), agriculture, recreational, construction and hydraulics. We do short runs (prototypes, metal fabrication) and specialize in ~ ~ . ~ http://www.1ineburgmfg.comJ 9/20/2005 1.06 "Property" shall mean all of the real Property submitted to the provisions of these Design Standards, including all improvements located on the real Property now or in the future. The Property as of the date of the adoption of the Design Standards is legally described on Exhibit A. 1.07 "Permitted Uses" shall mean the permitted uses of the Property be limited to community commercial, office, entertainment, builder's showcase, office warehouse and residential as defined below. The uses shall be limited to those as defmed herein. If there is a question as to whether or not a use meets the definition, the Economic Development Authority shall make that interpretation. 1.08 "Community Commercial" shall mean the establishments engaged in commercial operations including retail trade and services and hospitality industries. These uses shall include the following: . Apparel and Clothing . Barber and Beauty Shop . Book Store . Florist . Food and Grocery Stores . Jewelry Store . Leather Goods . Music Store . Photography Studio . Optometrist . Sporting Goods . Car Wash . Antiques . Bicycles . Bakeries . Candy . Carpets & Rugs . Catering Establishments . China & Glassware . Clothing & Costume Rental . Department Stores . Electrical Sales & Repair . Furniture . Gifts . Hobby Shops . Household Appliances . Interior Decorating . Laundry & Dry Cleaning Pickup . Locksmith Shop . Luggage . Office Supply & Equipment . Paint & Wallpaper Sales . Pharmaceutical . Restaurants . Tailoring . Tobacco . Toys . Variety Stores . Video Store Rental & Sales . Liquor Store Sales - Off-Sale . Lighting Studios 1.09 "Builders Showcase" shall mean uses related to the home building industry, these shall include: . Home and Office Electronics . Drywall Companies . Cabinet Shops . Contractors Offices Andover Station North Design Standards March 15,2005 -2- . Interior Decorating Supplies and . Household Appliances and Services Fixtures, C:entral "acuurns . Other similar home building . Indoor Showroom related uses provided all materials and goods are stored inside. . Building Supply (provided all materials are stored inside) . Garden C:enters (Bulk goods must be adequately screened) . Window/Garage Door Sales (Provided all materials are stored inside) 1.10 "Office Uses" shall mean establishments engaged in strictly office operations not requiring loading or warehousing facilities, these shall include: . Scientific and Technology Industries . Office and Administrative Facilities . Financial Institutions . Conference Centers . Health and Dental C:are Facilities . Hotels and Motels . Day C:are Facilities . "eterinary Hospital 1.11 "Office\Warehouse Uses" shall mean establishments engaged in operations requiring both office and warehousing facilities. Office space shall constitute at least 20% of floor area. There shall be minimal impact upon the surrounding environment by noise, vibration, smoke, dust or pollutants. These shall include: . Indoor limited retail sales accessory to office\1imited manufacturing uses . Scientific and Technology Industries . Indoor Showroom . Office/Showroom . Office and Administrative Facilities 1.12 "Entertainment Uses" shall mean establishments engaged in providing entertainment, these shall include the following: . Theatres . Restaurants . Health c:Iub . Private c:Iubs, Lodges, Halls or C:onvention C:enters . Indoor C:ommercial Recreation Andover Station North Design Standards March 15,2005 -3-