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HomeMy WebLinkAboutEDA - May 21, 20241685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755-5100 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV ECONOMIC DEVELOPMENT AUTHORITY MEETING May 21, 2024 6:00 p.m. Conference Room A and B 1. Call to Order — 6:00 p.m. 2. Approval of Minutes (April 16, 2024, Regular) 3. 2975 161st Ave NW Concept Discussion 4. Discuss/Approve Purchase Agreement 5. Redevelopment Updates (Verbal) 6. Commercial Updates 7. Other Business 8. Adjournment . C I T Y N D6 06 • i 1685 CROSSTOWN BOULEVARD N.W.. ANDOVER, MINNESOTA 55304 . (763) 755-5100 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV TO: Economic Development CC: Jim Dickinson, City Admini; FROM: Michelle Hartner, City Clerk SUBJECT: Approval of Minutes DATE: May 21, 2024 INTRODUCTION The following minutes were provided by Staff reviewed by Administration and submittdd for EDA approval: April 16, 2024 Regular DISCUSSION The minutes are attached for your review. ACTION REQUIRED The EDA is requested to approve the above minutes. Respectfully submitted, Michelle Hartner City Clerk Attach: Minutes 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 ANDOVER ECONOMIC DEVELOPMENTA UTHORITYMEETING— APRIL 16, 2024 -MINUTES The Meeting of the Andover Economic Development Authority was called to order by President Sheri Bukkila, April 16, 2024, 6:00 p.m., at the Andover City Hall, 1685 Crosstown Boulevard NW, Andover, Minnesota. Commissioners Present: Jamie Barthel, Ted Butler, Rick Engelhardt, Randy Nelson, Kari Kafer and Greg Mueller _ Commissioners Absent: None Also present: EDA Executive , Joe Janish APPROVAL OF March 19, 2024, Motion by Barthel, Seconded Nelson by, to approve the minutes as written. Motion carried FACILITIES DISCUSSION- GENERAL BUSINESS Mr. Janish explained last two businesses. He urovi to the EDA a concept of a joint parking facility for • The building for which the application is being made shall be located within three hundred feet of such parking facilities. • There shall be no substantial conflict in the principal operating hours of the two buildings. • A properly drawn legal instrument executed by the parties, reviewed by the City Attorney, and recorded with the County Recorder. Mr. Janish stated the joint parking facility proposal would be reviewed by City Council and provide comment. Mr. Janish reviewed the area. Commissioner Kafer asked if the city would put in a crosswalk. Mr. Dickinson replied the city would put up a caution sign, not a crosswalk. Andover Economic Development Authority Meeting Minutes—April 16, 2024 Page 2 1 The EDA direction to staff was to move forward encouraging the joint parking facility proposal. 2 3 REDEVELOPMENT UPDATES 4 5 Mr. Janish stated at the last EDA meeting the EDA provided direction to staff regarding rent 6 increases. Staff provided the EDA with some comparable rentals in the area. 7 8 The comparables were discussed. 9 10 Mr. Janish indicated staff is looking for direction from the EDA regarding rent increases for the 11 area. 12 13 EDA direction was for a $100.00 per month increase to each rental unit. 14 15 COMMER CIAL PR OJECT A CTIVITY 16 17 Mr. Janish updated on the following: 18 19 Clocktower Commons, 15190 Bluebird Street — Staff have received interest in the last building 20 pad location for the possibility of two buildings with drive thru service. 21 22 Interest in Hughes Industrial Park — Staff continues to have occasional discussions with business 23 owners in the area on expansion. However, they tend to not carry through on the expansion due 24 to costs associated with sprinklers, septic systems, etc. 25 26 ABC Mini-Storage/T Squared (self -storage), 13624 Hanson Boulevard — They have received 27 their certificate of occupancy, and the City has a $51,000 escrow to complete improvements on 28 the property. 29 30 Restaurants/Fast Food — Currently staff is aware of companies continuing to look for land to 31 locate to in Andover. 32 33 TCFSite — The parcel is back on the market. 34 35 Aurora Vista, T" Avenue and Bunker Lake Boulevard — The property is 60% leased. 36 37 Andover Crossings, 7h Avenue and Bunker Lake Boulevard — Staff has met with a convenience 38 store looking at a 2 -acre parcel. Their desire is to have a convenience store with fuel and also a 39 carwash. The convenience store and fuel will require a CUP and the carwash is not currently 40 allowed within the zoning district. It sounds as though they plan to request a code amendment to 41 allow for the carwash if the City Council agrees. Staff also met with the developer, and he is 42 interested in constructing a building with a drive thru at the "toe" of the development. If both 43 projects move forward the development would be built out. 44 45 Holasek Property (near City Hall) — The preliminary plat and PUD were approved by City Andover Economic Development Authority Meeting Minutes—April 16, 2024 Page 3 1 Council. The applicants are continuing to work through the preliminary plat and commercial site 2 plan process. 3 4 Housing — 36 new home permits have been issued with 8 more in the review process. 5 6 Fields of Winslow Cove — City Council has approved the final plat for Fields of Winslow Cove 7 tad Addition with 36 lots on the west side of Prairie Road. City Council has also approved a final 8 plat for Fields of Winslow Cove 3`d Addition application with another 109 lots. The utility plans 9 have been submitted for review. 10 11 Legacy at Petersen Farms —The final plat was recently released for recording purposes. Legacy 12 at Petersen Farms 2nd Addition was approved by City Council. Staff is currently reviewing 13 information related to the final plat. Vacation of easements within the final plat will occur on May 14 7d' and the final plat will be brought to City Council at that time. 15 16 Legacy Christian Academy — The Building Department has issued the Certificate of Occupancy 17 (CO) for the upper two levels. Waiting on a few items to provide a CO for the remaining portion. 18 19 Anoka County 911 and Radio Building - They are starting to install the floor for the call center. 20 Interior finishes are taking place. 21 22 Grace Lutheran Church, 13655 Round Lake Boulevard — Steel for the east addition has been 23 placed and the exterior framing has started. They also started on the interior of the sanctuary. 24 25 Andover Christian Church, 16045 Nightingale Street — Final inspections have started to take 26 place. 27 28 Kwik Trip, 1756 Bunker Lake Boulevard — The foundation for the new cooler and freezer has 29 been placed. Cooler/freezer was installed. Roofing to occur. 30 31 Overall Marketing — City staff continues to work with parties interested in investing in Andover 32 and marketing all commercial sites. Staff continues to work with Anoka County Regional 33 Economic Development (ACRED) on marketing of the community and Anoka County. 34 35 OTHER BUSINESS 36 37 There was none. 38 39 ADJOURNMENT 40 41 Motion by Barthel, Butler Seconded by to adjourn. Motion carried unanimously. The meeting 42 was adjourned at 6:36 p.m. 43 44 Respectfully submitted, 45 Michelle Harmer, Recording Secretary O C I 'I 1 O F ND OVER 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755-5100 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV TO: President and CC: Jim Dickinson, Executive FROM: Joe Janish, Community SUBJECT: 2975 16181 Ave NW Concept DATE: May 21, 2024 INTRODUCTION The property owners of 2975 16151 Avenue NW, Andover are proposing a "contractor shop" development. The property is 10 acres in size. The discussion tonight is to determine interest by the City of Andover EDA for a project of this nature. One way to think of it is multiple bay buildings for rent. Attached are several renderings for the possible project. Currently the property has a temporary cul de sac at 162"d LN NW and street frontage along 16151 Ave. The applicant is proposing a phased approach to this project if it would occur. The phasing is identified below: Phase 1: 1 Building. Phase 1.5: Put up second building, expand tar, start berm with screening. Phase 2: Put up two more buildings, remove the house. Final: Owners idea for the full layout of the property. Staff raised a few questions with the owners and received answers at this time: 1. Thought on building materials at this time? Open to suggestions that are not crazy expensive but meet city codes. Desire to have it presentable and nice for contractors and clean enough for a person to rent a bay for a car condo. 2. Will units be available for purchase or are they only rental? This could open it to the "Car Condo" and "Contractor Condo" crowd. If set up as condos, does that mean it's considered lot splitting? Would a Condo require the roadway to be built? That would dictate what we do. 3. How would 16nd Avenue NW and 16151 Ave NW access be controlled (gates, etc.). Open to suggestions. 4. Thoughts on screening on West property line? There will be a berm.3 to 4 foot berm with trees along the whole way. 5. Units will need fire suppression. Understood. If the EDA is interested in a project such as this. Staff will have to continue to work with the owners to work out details on how best to move forward with the development. ACTION REQUESTED Consider Discussion. Owners plan to be present at the time of the meeting. _ Ibl_�� gyENUE NW lip L---- I � wyw g a BEST OUTDOORS WAREHOUSES I lamb erchitectr ,}y. yypwnyyy 1613)6>0-OY9 "y �� _ '. v �' J. t ' �. K i >ite Developmenttorage area for natedals to develo est of property as proposing oor Rentals Space for actors G Contractors Trial pre sign ilding spots J i i -0 • L Slte Development Storage area for materials to develops rest of property as �roposing -71 �I tit Door Rentals Spece for ontractors & Contractors that pre sign.. building spots =.j —....4.�.. _��i -. - - EO h�. en... _ i „s -„,.. a.. I— CIA EP. Slte Development Storage area for materials to develope rest of property as Proposing II I Door Rontals Spam for itrectors & Conhactors that pre sign building spot �a f N AERIAL PHOTO Gg A0.1 1685 CROSSTOWN BOULEVARD N.W.. ANDOVER, MINNESOTA 55304 • (763) 755-5100 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV TO: President and Commissioners FROM: Jim Dickinson, Executive Direct( SUBJECT: Approve Acquisition of Property DATE: May 21, 2024 REQUESTED ACTION The EDA is requested to receive a presentation and consider acquisition of a property in the Bunker Lake Boulevard Redevelopment Area, 2461 Bunker Lake Boulevard NW. An "Offer to purchase property" prepared by the Executive Director has been signed by the seller (Dennis & Darlene Harper). DISCUSSION The Executive Director is in active negotiations with various properties in the Bunker Lake Boulevard Redevelopment Area. Based on progress to date on negotiations the Executive Director would like to seek authorization to acquire a specific property, 2461 Bunker Lake Boulevard NW to which an offer with contingencies has been extended. Attached is a purchase agreement prepared by the City Attorney that is consistent with the offer extended and is within general parameters previously set by the EDA. If details of other negotiations are desired at the meeting, the EDA should go into a closed session to discuss the Bunker Redevelopment Area Property Negotiations. Attachments -Offer to purchase property — 2461 Bunker Lake Boulevard NW -Purchase Agreement — 2461 Bunker Lake Boulevard NW 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755-5100 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV May 7, 2024 Dennis & Darlene Harper 17845 Round Lake Blvd NW Andover, Mn 55304 Subject: Offer to purchase property — 2461 Bunker Lake Boulevard NW Dear Harpers: The City of Andover Economic Development Authority (EDA) is willing to extend an offer of $310,000 (three hundred ten thousand and 00/100 dollars) for your property located at 2461 Bunker Lake Boulevard NW, Andover, MN. The EDA offer includes the following tentative terms: 1. Offer is contingent on Property Owner being able to provide a clean title to the EDA, lien, judgment and mortgage free. 2. EDA is willing to expedite closing (if necessary) to within 30 days of a signed/accepted offer. EDA will pay closing costs of title insurance, state deed tax, recording fee, and closing fee. 3. Property Owner shall pay on date of closing all special assessments levied or pending against the property as of the date of closing. 4. Property Owner shall pay all current and delinquent real estate taxes due at date of closing. In and current year of closing taxes shall be prorated (Note: Property Owner has paid 2024 property taxes in full). 5. Property Owner will allow right of entry allowing the EDA the ability to fully inspect. 6. Property Owner will provide tenant leases to the EDA for the ability to fully review. 7. Property Owner will provide the following disclosures: a. Well and fuel tank. b. Environmental contamination. 8. This offer is contingent upon formal approval by the City of Andover EDA at a scheduled EDA meeting (May 21,2024). 9. This offer is further contingent upon the parties entering into a formal Purchase Agreement. 10. This offer is valid until 4:30 mm. on May 21, 2024, and at that time the offer will expire. Upon your acceptance of the tentative terms, I will have a purchase agreement prepared, present the proposed transaction to the EDA, and coordinate a closing. Please contact me at 763-767-5110 if you have any questions. Sincerely, Jim Dickinson Executive Director Andover EDA Acceptance of Offer: Dennis & Darlene Harper PURCHASE AGREEMENT 1. PARTIES. This Purchase Agreement (this "Agreement") is made by and between Dennis Harper and Darlene Harper, husband and wife (collectively referred to herein as "Seller"), having an address for notices of 17845 Round Lake Blvd NW, Andover, MN 55304, and the City of Andover Economic Development Authority ("Buyer"), a Minnesota municipal corporation having an address for notices of 1685 Crosstown Boulevard, N.W., Andover, MN 55304, and is effective as of the date last signed by a party to this Agreement ("Effective Date"). 2. OFFER/ACCEPTANCE. Subject to the terms and conditions of this Agreement, Buyer agrees to purchase and Seller agrees to sell real property located in the City of Andover, County of Anoka, State of Minnesota, commonly known as 2461 Bunker Lake Boulevard NW, and legally described on the attached Exhibit A (the "Property"). 3 PRICE AND TERMS. The purchase price for the Property (the "Purchase Price") shall be Three Hundred Ten Thousand and 00/100 Dollars ($310,000.00), which Buyer shall pay in cash or other immediately available funds on the "Closing Date" (defined below). 4. CONTINGENCIES TO BUYER'S OBLIGATION TO PURCHASE THE PROPERTY. Not later than five (5) days after this Agreement has been executed and delivered by both Seller and Buyer, Seller shall make available to Buyer and its attorneys and agents, all reports, studies, tests, surveys, current tenant leases and other documents relating to the Property that are in Seller's possession or control. Buyer's obligation to purchase the Property is contingent upon satisfaction, or waiver by Buyer, of each of the following conditions. If Buyer so notifies Seller that any such contingency to Buyer's obligation to purchase the Property has not been satisfied, this Agreement shall be voidable at the option of Buyer and neither Seller nor Buyer shall have any further rights or obligations under this Agreement except for obligations (the "Surviving Obligations") which expressly survive the termination of this Agreement or the Closing Date. (a) Seller shall provide a marketable title to the Buyer, lien, judgment and mortgage free, and in the condition described by Sections 11 and 12 below. (b) Buyer shall be completely satisfied, in Buyer's sole discretion, with the environmental and soil conditions of the Property. Seller hereby authorizes Buyer, at Buyer's sole risk, to enter the Property during the period (the "Inspection Period") commencing on the Effective Date of this Agreement and ending at a date thirty (30) days subsequent to the Effective Date, to conduct investigations and testing of the Property. Buyer shall indemnify and hold Seller harmless from all loss, cost, damage and expense (including court costs and reasonable attorney's fees) that Seller may suffer or incur as a result of Buyer's entry onto and investigation and testing of the Property, and Buyer's obligation under this sentence shall be a Surviving Obligation. (c) Seller shall allow Buyer a right of entry to fully inspect the Property, and Buyer's obligation to purchase the Property shall be contingent upon Buyer's satisfaction of the Property, in its sole discretion. (d) Buyer shall have determined that roads, easements, driveways, utilities, points of access and other infrastructure serving the Property will be adequate for Buyer's purposes, as determined by Buyer in Buyer's sole discretion. (e) Buyer shall have obtained all watershed, environmental and other governmental approvals and permits (excluding any such approvals and permits as Buyer itself may grant) that Buyer shall deem necessary to use the Property in the manner contemplated by Buyer. (f) Buyer shall be satisfied with the matters disclosed by any survey of the Property obtained by Buyer at Buyer's expense. (g) Seller assigning and Buyer accepting all rights and interests Buyer has to those current rental lease agreements on the Property, including Buyer's right to receive all rental proceeds subsequent to the sale of the Property. Seller shall provide Buyer with the current rental lease agreements on the Property within five (5) days of the Effective Date for review by Buyer. (h) Seller transferring to Buyer all damage deposits associated with current rental leases on the Property or reducing the Purchase Price by an amount equal to the damage deposit posted with and held by Seller. (i) The representations and warranties made by Seller in Section 9 shall be correct as of the Closing Date with the same force and effect as if such representations were made at such time. 0) Formal approval of this transaction by the Andover Economic Development Association at a scheduled Economic Development meeting. 5. CLOSING. Except as otherwise expressly provided in this Agreement, the closing of the sale and purchase contemplated by this Agreement shall occur on a date as shall be mutually acceptable to Seller and Buyer (the "Closing Date"). The Closing shall occur at 10:00 a.m., or such other time as shall be mutually acceptable to Seller and Buyer, at such location as shall be mutually acceptable to Seller and Buyer. At the Closing, and subject to performance by Buyer, Seller shall execute in recordable form and deliver a Warranty Deed (the "Deed") to the Property, conveying marketable title to the Property subject only to the "Permitted Exceptions" (defined below), and shall execute and deliver such other and further documents as reasonably shall be required to consummate the transaction contemplated by this Agreement. The Deed shall either be accompanied by a well disclosure certificate prepared and signed on behalf of Seller and filed at Seller's cost, or shall include the following statement: "I am familiar with the property described in this instrument and I certify that the status and number of wells on the described real property have not changed since the last previously filed well disclosure certificate." At the Closing, and subject to performance by Seller, Buyer shall pay the Purchase Price in cash or other immediately available funds, and shall execute 2 and deliver such documents as reasonably shall be required to consummate the transaction contemplated by this Agreement. At the Closing, Buyer shall pay the state deed tax and any conservation fee on the Deed, and the cost to record any instrument needed to correct title. Buyer shall pay the cost to record the Deed. Buyer shall pay any closing fee charged by the title insurance agency or other company closing the transaction contemplated by this Agreement. For purposes of this Agreement, "Permitted Exceptions" include: A. Building and zoning laws, ordinances, state and federal regulations; B. Reservation of any mineral rights by the State of Minnesota; C. Utility and drainage easements which do not interfere with Buyer's intended use of the Property; D. Public roads upon and County ditches across the Land; and E. Any other matter disclosed by the Title Commitment and not timely and effectively objected to by Buyer. 6. REAL ESTATE TAXES AND SPECIAL ASSESSMENTS. Real estate taxes due and payable in and for the year of Closing shall be prorated between Seller and Buyer on a calendar year basis to the actual Closing Date. Seller shall pay on the Closing Date all special assessments and all current and delinquent real estate taxes levied against or pending for the Property as of the Closing Date. Buyer shall pay real estate taxes due and payable in the year following Closing and thereafter, and any special assessments levied and payable after the Closing Date. Seller makes no representation concerning the amount of future real estate taxes or of future special assessments. 7. CONDITION OF PROPERTY. Seller shall remove from the Land before the completion of the Closing all debris and personal property not included in the purchase of the Property. 8. BROKERAGE. Buyer and Seller represent that neither party is represented by a real estate agent or broker and no brokerage commissions are due any third parties as a result of this transaction. 9. REPRESENTATIONS AND WARRANTIES OF SELLER. Seller represents and warrants to and covenants with Buyer that: (a) Seller is the owner of fee simple title to the Land; Seller has the power and authority to enter into and perform the terms and conditions of this Agreement, and such performance will not conflict with or result in a breach of any of the terms, conditions or provisions of any agreement or instrument to which Seller is a party or by which it is bound, or constitute a default under any of the foregoing; and this Agreement is valid, binding and enforceable against Seller in accordance with its terms. (b) Seller has not received any notice of, and Seller is not aware of, any violation of any law, municipal ordinance or other governmental requirement affecting the Property, including without limitation any notice of any fire, health, safety, building, pollution, environmental or zoning violation, but specifically excluding any such ordinance of Buyer, as to which Buyer has knowledge at least equal to that of Seller. (c) Seller has not received any written notice of any condemnation or eminent domain proceedings, or negotiations for purchase in lieu of condemnation, relating to the Property, or any portion thereof; and Seller has no actual knowledge that any condemnation or eminent domain proceedings have been commenced or threatened in connection with the Property or any portion thereof. (d) (1) To Seller's knowledge, the Property (A) is not subject to any private or governmental lien or judicial or administrative notice, order or action relating to Hazardous Substances or environmental problems, impairments or liabilities with respect to the Property, and (B) to Seller's knowledge, neither Seller nor the Property is in, or with any applicable notice and/or lapse of time, and/or failure to take certain curative or remedial actions, will be in, violation of any Environmental Laws (as herein defined). (2) Seller shall not, prior to Closing, cause or acquiesce in any Hazardous Substances to exist or be stored, generated, used, located, discharged, released, possessed, managed, processed or otherwise handled on the Property in violation of any Environmental Laws, and shall comply with all Environmental Laws affecting the Property. (3) Seller shall promptly notify Buyer should Seller become aware of (A) any environmental problem or liability with respect to the Property, (B) any lien, order, action or notice of the nature described in subparagraph (1) above, or (C) any litigation or threat of litigation relating to any alleged unauthorized release, discharge, generation, use, storage or processing of any Hazardous Substance or the existence of any Hazardous Substance or other environmental contamination, liability or problem with respect to or arising out of or in connection with the Property. As used herein, "Hazardous Substances" means any matter giving rise to liability under the Resource Conservation and Recovery Act, 42 U.S.C. Section 6901 et sea., the Comprehensive Environmental Response, Compensation and Liability Act, 42 U.S.C. Sections 9601 et sea. (including the so-called "Superfund" amendments thereto), or other applicable federal, state or local statute, law, ordinance, rule or regulation governing or pertaining to any hazardous substances, hazardous wastes, chemicals or other materials, including without limitation asbestos, polychlorinated biphenyls, radon, petroleum and any derivative thereof, or any common law theory based on nuisance or strict liability (all of the foregoing statutes, laws, ordinances, rules, regulations and common law theories are sometimes collectively referred to as "Environmental Laws"). El (e) No litigation or proceedings are pending or, to Seller's knowledge, contemplated, threatened or anticipated, relating to the Property or any portion thereof. (f) Seller has no knowledge of any unrecorded agreements, undertakings or restrictions which affect the Property. There are no other tenants, persons or entities occupying any portion of the Property other than as disclosed in Seller's current rental leases provided to Buyer from Seller, and to Seller's knowledge no claim exists against any portion of the Property by reason of adverse possession or prescription. (g) To Seller's knowledge (i) there is no obligation with respect to the Property for any assessment, annexation fee, payment, donation or the like (other than general real estate taxes, which are required to be paid by the Buyer); (ii) there are no obligations in connection with the Property of any so-called "recapture agreement" involving refund for sewer extension, oversizing utility, lighting or like expense or charge for work or services done upon or relating to the Property or otherwise; and (iii) there is no unexecuted paving agreement or undertaking with any government agency respecting construction of any acceleration or de -acceleration lane, access, or street lighting. If, prior to the Closing Date, Seller obtains knowledge of a fact or circumstance the existence of which would constitute a breach by Seller of its representations and warranties hereunder or would render any such representations and warranties materially untrue or incorrect, Seller shall promptly notify Buyer in writing of the same. Under said circumstances, and in addition to any other right or remedy that may be available to Buyer, Buyer, at its option, may terminate this Agreement by notice to Seller prior to completion of the Closing. If Buyer timely gives such notice, neither Seller nor Buyer shall have any further rights or obligations under this Agreement except for the Surviving Obligations. All representations, warranties, covenants, indemnities and undertakings made herein shall be deemed remade as of the Closing Date, shall be true and correct as of the Closing Date, shall be deemed to be material and to have been relied upon by Buyer notwithstanding any investigation or other act of Buyer heretofore or hereafter made, and shall survive for a period of twelve (12) months after the Closing Date. 10. POSSESSION. Seller shall deliver possession of the Property not later than the completion of the Closing. 11. EXAMINATION OF TITLE. Title examination will be conducted as follows: A. Seller's Title Evidence. Seller shall furnish to Buyer a commitment (the "Title Commitment") for an ALTA Form B Owner's Policy of Title Insurance, certified to date to include proper searches covering bankruptcies, State and Federal judgments and liens, issued by a title insurance company acceptable to Buyer in its reasonable judgment, committing the title insurer to insure Buyer's title to the Property deleting standard exceptions and including affirmative insurance regarding zoning, contiguity, appurtenant easements and such other matters as may be identified by Buyer, with policy limits in the amount of the Purchase Price. 5 B. Buyer's Objections. Buyer shall be allowed thirty (30) business days after receipt of the Title Commitment for examination of title and making any objections, which shall be made in writing or deemed waived. 12. TITLE CORRECTIONS AND REMEDIES. Within five (5) business days after its receipt of Buyer's written title objections, Seller shall notify Buyer of Seller's intention as to making the title marketable. Liens or encumbrances for liquidated amounts which can be released by payment or escrow from proceeds of Closing shall not delay the Closing and need not be timely objected to by Buyer. Cure of the defects by Seller shall be reasonable, diligent, and prompt. Pending correction of title, all payments required herein and the Closing shall be postponed. A. If notice is given and Seller makes title marketable within thirty (30) days after Seller's receipt of Buyer's title objections, then upon presentation to Buyer of documentation establishing that title has been made marketable, and if not objected to in the same time and manner as the original title objections, the Closing shall take place within ten (10) business days or on the scheduled Closing Date, whichever is later. B. If title is marketable, or is made marketable as provided herein, and Buyer defaults in any of the agreements herein, Seller may, as its sole remedy, cancel this Agreement. C. If title is marketable, or is made marketable as provided herein, and Seller defaults in any of the agreements herein, Buyer may cancel this Agreement, or may sue Seller for specific performance or for damages for breach of this Agreement and its costs and reasonable attorneys' fees provided such action is commenced not later than six (6) months after such cause of action arose. TIME IS OF THE ESSENCE FOR ALL PROVISIONS OF THIS CONTRACT. 13. NOTICES. All communications, demands, notices or objections permitted or required to be given or served under this Agreement shall be in writing and, except as otherwise expressly provided in this Agreement, shall be deemed to have been duly given or served on the earliest to occur of. when delivered in person to the other party or its duly authorized agent; or one (1) business day after delivery to a same-day or overnight prepaid courier service; or two (2) business days after deposit with the United States Postal Service, postage prepaid, certified or registered mail, return receipt requested, in each case addressed to the other party at the address set forth at the beginning of this Agreement. Either party may change its address by giving at least ten (10) days' notice of such change to the other party. 14. MINNESOTA LAW. This contract shall be governed by the laws of the State of Minnesota. 15. SELLER'S DISCLOSURES. Seller certifies that there is not an existing individual sewage treatment system on and serving the Property. Seller certifies that there is an existing well serving the Property. Buyer hereby acknowledges that the sale and purchase contemplated by this Agreement is exempt from the disclosure requirements of Minnesota Statutes Sections 513.52 to 513.60. Date: The undersigned agrees to sell the Property for the Purchase Price and on the terms and conditions set forth above. SELLER: Dennis Harper Darlene Harper The City of Andover Economic Development Authority agrees to buy the Property for the Purchase Price and on the terms and conditions set forth above. BUYER: THE CITY OF ANDOVER ECONOMIC DEVELOPMENT AUTHORITY Date: By: James Dickinson Its: Executive Director EXHIBIT A The land referred to is situated in the State of MN, County of Anoka, and is described as follows: THAT PRT OF S1/2 OF NE1/4 OF SEC 33 TWP 32 RGE 24 DESC AS FOL: BEG AT A PT ON S LINE OF SD S1/2 550 FT W OF SE COR THEREOF, TH W ALG SD S LINE 146 FT, TH N 153.33 FT, TH E PRLL/W SD S LINE 146 FT, TH S 153.33 FT TO POB, EX RD, SUM TO EASE OF REC ANL6 VYRO� 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA TO: CC: FROM: SUBJECT: DATE: FAX (763) 755-8923 • WWW. President and Commissioners Jim Dickinson, Executive Joe Janish, Community Review Commercial Project Activity May 21, 2024 • (763) 755-5100 0 INTRODUCTION Staff will provide a progress report on ongoing commercial project activity at the meeting. ANDOVER COMMERCLIL PROJECTS • Clock Tower Commons — City Council approved PUD Amendment to allow for two buildings with drive up windows. Staff continues to work through the commercial site plan process with the applicant. • TE Connectivity Building — PEM (Power Engineering & Manufacturing, Inc) has purchased the TE Connectivity Building. PEM designs and produces electric actuators and controls. • Interest in Hughes Industrial Park— Staff continues to have occasional discussions with business owners in the area on expansion. However, they tend to not carry through on the expansion due to costs associated with sprinklers, septic's, etc. • ABC Mini-Storage/T-Squared (self -storage) — City Council approved a CUP for additional Mini -storage on a portion of this lot. The buildings will have brick over the steel and stucco. Staff has met with the project manager related to site improvements and continue to work with them to see progress on the buildings and site. They have received their certificate of occupancy and the City has a $51,000 escrow to complete improvements on the property. • Restaurants/Fast Food — Currently staff is aware of companies continuing to look for land to locate in Andover. TCF Site —At this time the city has approved two conditional use permit applications related to having a drive through at this location. These two restaurants would be Chipotle and Noodles and Company. City Council has approved the CUPs. The applicant is working with Coon Creek Watershed District on infiltration at the site. Applicant received an extension for the CUP of 1 year, therefore the CUP will expire early 2025. Aurora Vista (Andover Crossings) — Last staff heard the property is 60% leased. Units include studios, 1 bedroom, 2 bedroom and 2 bedroom w/den. Club room, fitness room, business center and parcel lockers are included. Rents range from $1,325 to $2,255. Andover Crossings — Staff has met with a convenience store looking at a 2 acre parcel. Their desire is to have a convenience store with fuel and also a carwash. The convenience store and fuel with require a conditional use permit (CUP) and the carwash is not currently allowed with the zoning district, it sounds as though they plan to request a code amendment to allow for the carwash, if City Council agrees. Staff also met with the developer and he is interested in constructing a building with a drive thru at the "toe" of the development. If both projects move forward the development would be built out. Holasek Property (near City Hall) —A Comprehensive Plan Amendment, and rezoning have been acting on by the City Council. Preliminary Plat and PUD are approved by City Council. The applicants are continuing to work through the Preliminary Plat and Commercial Site Plan process. 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. In 2021 we had 140 new housing starts. In 2022 we had 100 permits issued for new housing, 1 apartment (150 units), and an assisted living facility (32 units). In 2023 we had 64 new home permits issued. So far in 2024 we have issued 43 home permits. • Fields of Winslow Cove — City Council has approved the Final Plat for Fields of Winslow Cove 2nd addition with 36 lots on the West side of Prairie Road. City Council also approved a Final Plat for Fields of Winslow Cover 3`d Addition with another 109 lots. • Legacy at Petersen Farms — The final plat was recently released for recording purposes. Legacy at Petersen Farms 2nd Addition was approved by City Council. Staff is currently reviewing information related to the Final Plat. Vacation of Easements within the Final Plat will occurred. • Legacy Christian Academy — Plan review is taking place for an interior remodel of the existing building. . • Anoka County 911 and Radio Building— City Council approved a request for a fuel tank to be on the property on August 16, 2022. Interior finishes are taking place. • Grace Lutheran Church — A Conditional Use Permit was granted. They have started work on the new parking lot on the west addition. They have started sheet rocking this week on the east addition. Andover Christian Church — Permit has been issued for the fire damage that had taken place. • Kwik Trip — Cooler/freezer have been placed, working on framing the roof structure over the cooler/freezer. • Overall marketing - City Staff continue to work with parties interested in investing in Andover and marketing all commercial sites. Staff continues to work with the Anoka County Regional Economic Development (ACRED) on marketing of the community and Anoka County.