Loading...
HomeMy WebLinkAboutEDA April 15, 2008 0 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER. MINNESOTA 55304 · (763) 755-5100 FAX (763) 755-8923 . WWW.CI.ANDOVER.MN.US ECONOMIC DEVELOPMENT AUTHORITY MEETING April 15, 2008 6:00 p.m. Conference Rooms A & B 1. Call to Order- 6:00 p.m. 2. Approval of Minutes (4/1/08 Regular Mtg.) 3. Purchase Agreement (Golden Eagle II - Dry Cleaners) 4. Time Extension Request (MVP Baseball Academy, Inc.) 0 5. Update Economic Development Activities 6. Other Business 0 @ 0 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304. (763) 755-5100 FAX (763) 755-8923 . WWW.CI.ANDOVER.MN.US TO: Economic Development Authority CC: Jim Dickinson, Executive Director FROM: Vicki V olk, City Clerk SUBJECT: Approval of Minutes DATE: April 15, 2008 INTRODUCTION The following minutes were provided by staff for approval by the EDA: April 1, 2008 Regular Meeting 0 DISCUSSION Attached are copies of the minutes for your review. ACTION REQUIRED The EDA is requested to approve the above minutes. Respectfully submitted, ~. ()JL; Vicki V olk City Clerk 0 O~ 3 4 5 6 ANDOVER ECONOMIC DEVELOPMENT AUTHORITY MEETING 7 APRIL 1, 2008 - MINUTES 8 9 10 A Meeting of the Andover Economic Development Authority was called to order by Vice President 11 Julie Trude, April 1, 2008, 6:00 p.m., at the Andover City Hall, 1685 Crosstown Boulevard NW, 12 Andover, Minnesota. 13 14 Present: President Mike Gamache (arrived at 6:04 p.m.) Commissioners 15 Don Jacobson, Mike Knight, Ken Orttel, and Voting resident 16 members Robert Nowak and Joyce Twistol 17 Absent: None 18 Also present: Executive Director, Jim Dickinson 19 Community Development Director, Will Neumeister 20 City Engineer, Dave Berkowitz 21 Others 22 023 Mr. Neumeister stated agenda item number 5; Purchase Agreement (Golden Eagle II-Dry 24 25 Cleaners) was to be removed. 26 27 28 APPROVAL OF MINUTES 29 30 March 18, 2008 Regular Meeting: Correct as written. 31 32 Motion by Jacobson, Seconded by Orttel, approval of the Minutes as written. Motion carried 33 unanimously. 34 35 PURCHASE AND OPTION AGREEMENT (DYNAMIC SEALING TECHNOLOGIES) 36 37 Mr. Dickinson stated Dynamic Sealing has made a counter offer of $3.80 per square foot with an 38 additional $15,000 between the Option Agreement and earnest money for the purchase of Lot 3, 39 Block 3, Andover Station North. Staff is supportive of the offer. 40 41 Motion by Jacobson, Seconded by Knight, to approve the Option and Purchase Agreement for 42 Dynamic Sealing Technologies. Motion carried unanimously. 43 044 45 46 PURCHASE AGREEMENT (BLUE FIN POOL & SPA) 47 48 Mr. Neumeister stated since the proposal at the last meeting the lot size has increased to a 100- 0 Andover Economic Development Authority Meeting Minutes ~ April 1, 2008 Page 2 1 foot wide lot to allow for a 6,000 square foot building. No variance is needed. Parking is 2 adequate for this building. 3 4 Mr. Dickinson stated the agreement price includes area and connection charges. 5 6 The driveway access was discussed. 7 8 Commissioner Orttel asked if there would be an outdoor display area. Mr. Brenner stated he 9 would like an outdoor display area. Mr. Neumeister stated any outdoor display or storage area 10 would need to be approved by the EDA. 11 12 Motion by Jacobson, Seconded by Knight, to approve the Purchase agreement as amended for 13 Blue Fin Pool and Spa. Motion carried unanimously. 14 15 16 QUOTES FOR AREA IDENTIFICATIONS SIGN(S) 17 18 Mr. Neumeister went over the quotes from three sign companies, recommending Leroy Signs. 019 One sign will be built now and the second sign will be built at a later time. Designs have been 20 checked by an engineer. 21 22 Mr. Dickinson stated the city would be the general contractor for this project. 23 24 The size of the sign was discussed. 25 26 Motion by Jacobson, Seconded by Orttel to approve the sign quote from Leroy Signs. Motion 27 carried unanimously. 28 , 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304 · (763) 755-5100 FAX (763) 755-8923 . WWW.CI.ANDOVER.MN.US ECONOMIC DEVELOPMENT AUTHORITY MEETING April 15,2008 6:00 p.m. Conference Rooms A & B 1. Call to Order - 6:00 p.m. 2. Approval of Minutes (4/1/08 Regular Mtg.) 3. Purchase Agreement (Golden Eagle II - Dry Cleaners) 4. Time Extension Request (MVP Baseball Academy, Inc.) 0 5. Update Economic Development Activities 6. Other Business 0 Andover Economic Development Authority Meeting Minutes - April 1, 2008 Page 3 1 be planted and for the Andover Station Associations to pay for the maintenance cost thereafter. 2 Motion carried 6 ayes and I nay (Nowak) vote. 3 4 5 6 UPDATE ECONOMIC DEVELOPMENT ACTIVITIES 7 8 Mr. Neumeister stated Mr. Larkin would be at the next EDA meeting asking for another time 9 extension. 10 11 12 Motion by Jacobson, Seconded by Orttel, to adjourn. Motion carried unanimously. The meeting 13 adjourned at 7:00 p.m. 14 15 16 Respectfully submitted, 17 18 019 Michelle Hartner, Recording Secretary 20 0 @ 0 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 Directo FROM: Will Neumeister, Director of Community Development 4v-- SUBJECT: Purchase Agreement (Golden Eagle II - Dry Cleaners) DATE: April 15,2008 INTRODUCTION The EDA is asked to review and approve the [mal form of the purchase agreement for Laura Heppner to purchase Lot 1, Block 1, Andover Station North 3rd Addition. See attached Plat Map of Andover Station North 3rd Addition. DISCUSSION The Purchase Agreement indicates a purchase price of $4.50 per square foot for the land excluding the driveway access to serve the property to the south and the small triangular area at the northwest comer of the lot (price includes the park dedication fee). The agreement indicates the EDA will pay a 6% commission to Integrated Real Estate Services, Inc. for their work in bringing this buyer to the EDA. ACTION REQUESTED The EDA is asked to review the Purchase Agreement for Golden Eagle II (Laura Heppner) and authorize the EDA President and Executive Director to sign it. Respectfully submitted, tA/J- Will Neumeister Attachments: Purchase Agreement Plat Map of Andover Station Cc: Laura Heppner, 2887 Coon Rapids Boulevard, Coon Rapids, MN 55433 0 0 PURCHASE AGREEMENT 1. PARTIES. This Purchase Agreement is made on , 2008, by and between Andover Economic Development Authority (AEDA), a body corporate and politic, 1685 Crosstown Boulevard NW, Andover, Minnesota, ("Seller") and Gold Eagle II, a Minnesota corporation, 2887 Coon Rapids Boulevard, Coon Rapids, MN 55433, and/or their assigns ("Buyer"). 2. OFFER! ACCEPTANCE. Buyer agrees to purchase and Seller agrees to sell real property legally described as follows: North half of Lot 24, Block 1, Parkside at Andover Station ("Property"), together with a non-exclusive thirty (30) foot wide easement for driveway purposes ("Driveway Easement") over the westerly portion of the following described parcel: North halfof Lot 24, Block 1, Parkside at Andover Station. All as generally shown on Exhibit A attached hereto and made a part hereof. 0 3. PURCHASE OF LOT WITH BUILDING OR VACANT LOT. (Check paragraph that pertains.) A. Buyer is purchasing the lot with an existing building. X B. Buyer is purchasing a vacant lot. Buyer does not have the right to utilize soil from the existing stockpiles currently located on the property until the adjacent lot owner has indicated in writing that he has taken all that he needs for his purposes. Those stockpiles have been committed to fill the low areas on the south half of the lot. Once the adjacent owner has used what he needs, the balance of what remains can be used on Buyer's site. Any excess can be taken to an adjacent EDA site that is vacant. 4. PRICE AND TERMS. The price for the real property included in this sale is: Two Hundred Fifteen Thousand Four Hundred Fifty-Five and 50/100 Dollars ($215,455.50). This price includes $195,886.63 for land and $19,568.87 for park dedication fees, which Buyer shall pay as follows: Earnest money of Five Thousand and no/ 100 Dollars ($5,000.00) by check, which shall be deposited in a mutually agreed upon trust account upon execution of this Agreement, and Two Hundred Ten Thousand Four Hundred Fifty-Five and 0 50/100 Dollars ($210,455.50) cash on or before July 15, 2008 ("Closing Date"). 1 ~., 0 In the event that Buyer has not completed its due diligence by July 12, 2008, Seller will consider extending the Closing Date an additional sixty (60) days if Buyer can prove that they are engaged in the process of obtaining approvals and permits set forth in Section 5(b) below, and is in the process of obtaining financing, and has proven that they are financially capable of completing the purchase. If Buyer cancels this Agreement in writing at any time during the due diligence period, including the potential sixty day extension of the Closing Date, Buyer's earnest money shall be completely refunded to the Buyer within ten (10) business days of Seller's receipt of the written notice of cancellation. If Buyer fails to cancel this Agreement within said time period, Buyer's earnest money shall become non-refundable. The purchase price is based upon a site estimated to be a net area' of 47,879 square feet. The price herein represents a per square foot price for the net area of $4.50. The net area of the lot is defined as the area of the lot that does not include the area of the driveway easement described in paragraph 2, nor does it include the triangular area of the lot located west of the driveway access easement. Said price includes the land price, park dedication fees, all water and sewer area charges for the initial building construction, and all assessments for street, curb and gutter, sidewalks, storm sewer, sanitary sewer, and water main assessments. The Buyer shall be responsible for the City water and sewer connection charges at the time of building permit. Mter a 0 survey of the property is completed by the AEDA, as required in paragraph 8 herein, and the actual gross square footage is known, the price shall be adjusted to reflect the change in the area based upon the square foot price set out in this paragraph. 5. CONTINGENCIES. Buyer's obligations under this Purchase Agreement are contingent upon the following: (a) Seller shall permit Buyer, at Buyer's expense, to enter the Property to conduct investigations and testing and Buyer shall be completely satisfied with the environmental and soil conditions of the Property, as determined by Buyer in Buyer's sole discretion. (b) Buyer shall have obtained all zoning, land use, signage, watershed, environmental and other govemmental approvals and permits Buyer shall deem necessary to use the Property in the manner contemplated by Buyer, including, but not limited to, a full building permit for a building conforming to Seller's design standards which Buyer determines can be built for a price acceptable to Buyer, all as determined by Buyer in Buyer's sole discretion. (c) Buyer shall have determined that the roads, easements, driveways, 0 utilities, points of access and other infrastructure serving the Property will be 2 0 adequate for Buyer's purposes, as determined by Buyer in Buyer's sole discretion. (d) On or before the Closing Date, Title shall have been found acceptable, in accordance with the requirements and terms of Sections 14 and 15 below. (e) Buyer, on or before the Closing Date, shall have received, reviewed and determined that it is satisfied with the matters disclosed by the survey of the Property. (f) The representations and warranties made by Seller in Section 10 shall be correct as of the Closing Date with the same force and effect as if such representations were made at such time. (g) Seller shall comply with the requirements and terms of Sections 22 23, and 24 below. (h) Seller acknowledges that Andover EDA will construct multi-tenant area identification signs at two locations (e.g. One on the SE corner of Lot 5, Block 3, Andover Station North; and One along Hanson Boulevard on the NE 0 corner of Outlot A, Andover Station North). The Buyer shall be entitled to one- ninth of the total sign space (on both sides of each sign) to represent the business on the subject property. The actual business nameplate construction and installation on the sign shall be the Buyers responsibility. The Declaration of Covenants covers the on-going costs/maintenance responsibility of the SIgnS. It indicates that it shall be the responsibility of all members in the Andover Station North Owners Association to bear on a proportionate basis. m Seller acknowledges the Buyer will initially build 4,000 to 9,000 square foot of retail building(s) on the subject property. When a future building expansion is needed,. the expansion will be allowed provided the building setbacks are at or greater than those allowed with the initial construction and there is adequate parking to meet the City code requirements. In the event an expansion occurs, the Buyer will need to pay the typical new connection charges (at building permit issuance). In the event any of the above contingencies have not been satisfied or waived by Buyer on or before the Closing Date, this Agreement shall be voidable at the. option of the Buyer. 6. DEED/MARKETABLE TITLE. Upon performance by Buyer, Seller shall execute and deliver a Warranty Deed conveying marketable title, subject 0 to: 3 0 A. Building and zoning laws, ordinances, state and federal regulations; B. Restrictions relating to use or improvement of the property without effective forfeiture provisions which do not interfere with Buyer's intended use of the property; C. Reservation of any mineral rights by the State of Minnesota; D. Utility and drainage easements which do not interfere with Buyer's intended use of the property. E. Declaration of Covenants flied by the Andover Economic Development Authority. 7. 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 for 0 street, storm sewer, sanitary sewer, water main and water area charges and sewer area charges and any and all other special assessments against the 'Property levied and pending as of the date of closing. Buyer shall pay real estate taxes due and payable in the year following closing and thereafter and any unpaid special assessments payable therewith and thereafter. Seller makes no representation concerning the amount of future real estate taxes or of future special assessments. 8. SELLER'S OBLIGATIONS. {a} Seller warrants that there has been no labor or material furnished to the property in the past 120 days for which payment has not been made. Seller warrants that there are no present violations of any restrictions relating to the use or improvement of the property. These warranties shall survive the delivery of the warranty deed. (b) Seller, at its sole cost and expense, shall deliver to Buyer and Title Company a survey {~e "Survey"} of the Property, prepared by a surveyor licensed .in the State of Minnesota, dated subsequent to the date of this Agreement, certified in favor of Buyer, Buyer's nominee, if any, and the Title Company. The Survey shall contain the surveyor's certification that the 0 Property or any part thereof is not located within a wetland or area that has 4 0 been designated by the Federal Emergency Management Agency, the Army Corps of Engineers or any other govemmental agency as having or being subject to special flood hazards or shall, in the altemative, identify and designate such areas and certify the gross acreage of such areas. (c) Seller shall cause all sanitary sewer, water and storm drainage utilities to be constructed to the edge of the property at Seller's expense. Seller shall cause all electric, gas, telephone and cable utilities to be constructed to the edge of the property at Seller's expense. Seller shall require shared ingress and egress to the property with the property to the south and not direct access to Jay Street will be allowed. The Seller shall require the Buyer to work with the property owner to the south to install and maintain the driveway to serve the property to the south to City of Andover specifications as provided in Section 21 below. 9. BROKERAGE. Seller agrees to pay a 6% brokerage commission to Integrated Real Estate Services, Inc. upon successful closing of the property sale. Both parties agree to hold each other harmless for any claims arising from any other brokers. The commission payment will be based on the cost of the land minus the park dedication fees 10. REPRESENTATIONS AND WARRANTIES OF SELLER. Seller 0 represents and warrants to and covenants with Buyer that: (a) Seller is the owner of fee simple title to the Property and that 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; 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 govemmental requirement affecting the Property, including without limitation any notice of any fire, health, safety, building, pollution, environmental or zoning violation. (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. 0 5 0 (d) (1) 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 environmen tal problems, impairments or liabilities with respect to the Property and (8) to Seller's knowledge, is not in, or with any applicable notice and/or lapse of time, and/or failure to take certain curative or remedial actions, will not be in violation of any Environmental Laws (as herein dermed). (2) Seller shall not allow, pnor to Closing, any Hazardous Substances to exist or be stored, generated, used, located, discharged, released, possessed, managed, processed or otherwise handled on the Property, and shall comply with all Environmental Laws affecting the Property. (3) Seller shall immediately notify Buyer should Seller become aware of (A) any Hazardous Substance or other 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 0 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 seq., the Comprehensive Environmental Response, Compensation and Liability Act, 42 U.S.C. Sections 9601 et seq. (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 being sometimes collectively hereinafter referred to as "Environmental Laws"). (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 tenants, persons or entities occupying any portion of the Property and no claim exists 0 6 0 against any portion of the Property by reason of adverse possession or prescription. (g) To the 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 (iv) there is no unexecuted paving agreement or undertaking with any govemment agency respecting construction or any acceleration or de-acceleration lane, access, or street lighting. (h) To the best of Seller's knowledge, the Property is properly zoned for Buyer's intended use of the Property (with a restriction on how many pick-up facilities the processing plant may serve); however, the drive-up window and processing plant will require Conditional Use Permit approval. (i) Within twenty one (21) days of the date of this Purchase Agreement, Seller shall deliver to Buyer for Buyer's use and review of the Property, all background information and documents for the Property, including engineering reports, soils study reports and environmental studies or 0 assessments in possession of seller. (j) Seller represents and warrants that the Property is a buildable parcel without the need of any soil corrections. If soil corrections are found to be needed, it will be the responsibility of the Seller to pay all costs associated with the corrective work. 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 a y 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 without further liability by giving written notice thereof to Seller, in which event the earnest money shall promptly be retumed to Buyer. All representations, warranties, covenants, indemnities and undertakings made herein shall. be deemed remade as of Closing and shall be true and correct as of Closing and shall be deemed to be material and to have been relied upon by the parties, notwithstanding any investigation or other act of Buyer heretofore or hereafter made, and shall survive Closing and execution 0 7 0 and delivery of the General Warranty Deed for a period of twenty-four (24) months after the Closing Date. 11. BUYER'S OBLIGATIONS. (a) Buyer shall construct a building(s) upon the property that will be built of materials and design that follows the Andover Station North Design Guidelines (unless deviations are allowed by the Andover EDA). Such building(s) shall be architecturally similar to the planned daycarejMontessori school on the southerly half of the lot. The architectural design and site plan shall be approved by the Andover EDA. The Buyer's obligation shall survive the closing on this transaction. (b) The Buyer shall be responsible for paying the City water and sewer connection charges at the time of building permit, based on the net lot area. (c) Buyer acknowledges that it has had (and will have) an adequate opportunity to inspect the Property and, upon closing the transaction contemplated by this Agreement, shall be deemed to have accepted the 0 Property in "AS IS" and "WHERE IS" condition with any and all faults, except as specifically provided in this Agreement. Seller here by disclaims all warranties, whether oral or written, express or implied, as to the Property's merchantability, fitness for a particular purpose, condition, type, quantity or quality, except as specifically provided in this Agreement. 12. DISCLOSURE OF NOTICES. Seller has not received any notice from any govemmentaI authority as to violation of any law, ordinance or regulation. If the property is subject to restrictive covenants, Seller has not received any notice from any person as to a breach of the covenants. 13. POSSESSION. Seller shall deliver possession of the Property not later than Date of Closing or on a date up to sixty (60) days subsequent to the Date of Closing in the event the Date of Closing is extended in accordance with Section 4 above, whichever shall last occur. 14. EXAMINATION OF TITLE. Seller shall, within a reasonable time after acceptance of this Agreement, fumish an Abstract of Title, or a Registered Property Abstract, certified to date to include proper searches covering bankruptcies, State and Federal judgments and liens. Buyer shall be allowed 30 business days after receipt for examination of title and making any objections, which shall be made in writing or deemed waived. 0 8 0 15. TITLE CORRECTIONS AND REMEDIES. Seller shall have 120 days from receipt of Buyer's written title objections to make title marketable. Upon receipt of Buyer's title objections, Seller shall, within ten (10) business days, notify Buyer of Seller's intention of make title marketable within the 120 day period. Liens or encumbrances for liquidated amounts which can be released by payment or escrow from proceeds of closing shall not delay the closing. 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, then upon presentation to Buyer and proposed lender 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 notice is given and Seller proceeds in good faith to make title marketable but the 120 day period expires without title being made marketable, Buyer may declare this Agreement 0 null and void by notice to Seller, neither party shall be liable for damages hereunder to the other, and earnest money shall be refunded to Buyer. C. If Seller does not give notice of intention to make title marketable, or if notice is given but the 120 day period expires without title being made marketable due to Seller's failure to proceed In good faith, Buyer may seek, as permitted by law, anyone or more of the following: (1) Proceed to closing without waiver or merger in the deed of the objections to title and without waiver of any remedies, and may: (a) Seek damages, costs, and reasonable attomey's fees from Seller as permitted by law (damages under this subparagraph (a) shall be limited to the cost of curing objections to title, and consequential damages are excluded) ; or, (b) Undertake proceedings to correct the objections to title; (2) Rescission of this Purchase Agreement by notice as 0 provided herein, In which case the Purchase 9 0 Agreement shall be null and void and all earnest money paid hereunder shall be refunded to Buyer; (3) Damages from Seller including costs and reasonable attorney's fees, as permitted by law; (4) Specific performance within twelve months after such right of action arises. D. If title is marketable, or is made marketable as provided herein, and Buyer defaults in any of the agreements herein, Seller may elect either of the following options, as permitted by law: (1) Cancel this contract as provided by statute and retain all payments made hereunder as liquidated damages. The parties acknowledge their intention that any note given pursuant to this contract is a down payment note, and may be presented for payment notwithstanding cancellation. E. If title is marketable, or is made marketable as provided 0 herein, and Seller defaults in any of the agreements herein, Buyer may, as permitted by law: (1) Seek damages from Seller including costs and reasonable attorneys' fees; (2) Seek specific performance within twelve months after such right of action arises. TIME IS OF THE ESSENCE FOR ALL PROVISIONS OF THIS CONTRACT. 16. NOTICES. All notices required herein shall be in writing and delivered personally or mailed to the address as shown at paragraph 1 above and, if mailed, are effective as of the date of mailing. 17. MINNESOTA LAW. This contract shall be governed by the laws of the State of Minnesota. 18. WELL AND FUEL TANK DISCLOSURE. Seller certifies that the Seller does not know of any fuel tanks or wells on the described real property. 0 10 0 19. INDIVIDUAL SEWAGE TREATMENT SYSTEM DISCLOSURE. Seller certifies that there is no individual sewage treatment system on or serving the property. 20. PAYMENT OF CLOSING COSTS. Each party will pay closing costs which are normally allocated of Buyers and Sellers in a real estate transaction. 21. STORM WATER PIPE, DRIVEWAY CONSTRUCTION AND I MAINTENANCE/SHARED PARKING AGREEMENT. A. All necessary parties shall enter into a shared driveway construction and maintenance agreement prior to closing, covering the easement described in paragraph 2. Said agreement shall provide that a 24 foot wide standard bituminous surface driveway (i.e. comprised of 2.5 inches of wear course bitum.inous over 6 inches of Class 5 compacted aggregate, with B612 Curb and Gutter on both sides of driveway) shall be constructed across the Driveway Easement described in paragraph 2 to provide clear access to the Property from 139th Lane N. W. The Andover EDA has entered into an agreement with the property owner to the south stating that the owner of that parcel will construct the driveway and be reimbursed by the Andover EDA for the portion crossing the north half of the lot. With this agreement preceding the current agreement, the 0 Andover EDA will agree to pay this cost of the driveway construction from the south edge of the Property to 139th Lane N.W. All future access maintenance costs for said driveway shall be shared by, and be the responsibility of the Buyer and the owner of the South half of Lot 24, Block 1, Parkside at Andover Station. B. The owners of both the north and south halves of Lot 24, Block 1, Parkside at Andover Station shall enter into a shared parking agreement prior to closing, covering the details of how they will be entitled to allow a limited amount of overflow parking on their property to use the parking stalls of the other property if it occurs only occasionally. C. The owners of both the north and south halves of Lot 24, Block 1, Parkside at Andover Station shall enter into an agreement prior to closing, covering the details of how they will share, on a proportionate basis, the construction of a storm water pipe and needed catch basins to take care of the storm water drainage on their respective properties. This agreement will also cover future maintenance and how it will be shared on a proportionate basis. 0 11 0 22. Address and Directional Sign. The adjacent owner shall be entitled to erect an address/directional sign at the shared driveway entrance to direct his customers to his property. 23. Restrictive Covenant OD Uses. The Buyer understands that the adjacent owner had previously established (with the agreement of the Andover EDA) a restrictive covenant on prohibited uses that goes beyond the list in the Andover Station Design Guidelines. That covenant restricts the Property from being used as a day care facility, liquor store, or car wash. 24. HAZARDOUS WASTE. Seller shall provide Buyer with an environmental indemnification for the Property and will pay all costs, including reasonable attomey's fees, associated with any additional environmental remediation upon the Property for a period of two (2) years following the Date of Closing. 25. PLAT APPROVAL. Seller shall obtain City approval of a preliminary and final plat to subdivide Lot 24, Block 1, Parkside at Andover Station into two parcels that are suitable for the layout of the building and parking lots as anticipated by the parties. 26. CLOSING AGREEMENT. Seller and Buyer shall execute a Closing 0 Agreement at the Closing addressing all issues described at Sections 11, 21, 22 and 23, and any other necessary issues. 27. BINDING EFFECT. This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and aSSIgns. I The Andover Economic Development I agree to purchase the property Authority agrees to sell the for the price and terms and property for the price and terms conditions set forth above. and conditions set forth above. SELLER: BUYER: ANDOVER ECONOMIIC DEVELOPMENT GOLD EAGLE II AUTHORITY By: By: Michael R. Gamache, Its: President 0 12 ItOliSliNJ'l~_.fl..,.,.........-..vtGll ~ON 1)3~ ~3.l.V(J aHE! CDIOJlO -..:~-.'..::...'.'.....::.::::::::::::::::::::::::::::::::::1 'PPV pJr 4lJoN uOllDlS JIMOpUV ltgOBOOl; ===.=.. ~ 7?' ..~,.';o~ "",: tm:SSO~t~~t~~opuy lDld ,{JDU!W!I"Jd ."""'" e= ~ _~~"r:-n~ru::';:: _=-:::--SHOISN~C~I:~:~nCl$: oMN pJDt\~lno8 =JS:OJO 989l ~I"":' ~e~o'.~ 1j ~ ~~:>tJ~ ~/~ =~'-H "-.../ ==--=-...~~;'~~~ X blxl8 ,_~JDn9~NOt'~W~5: VC3 P v .l11 >t:>OI~ 't,i lO" 'mIlS ~g O '~j~ . ~i~ I ~~~ ..-. ~ ~ ---<II>- ~ " .1 0 ~ j ~ ~ lj l · if ~ . I i ~~~~ ~g 1;: .. l4l,./:I"" ,..:lw lI. Ii J:0l::5~ ~.. i t 3=0"'" a: 5i6~ ! i ~~~: ~~~ . ! ;!;:i'<:o:: j!: z . ~-.~ ~~~ ..' _C~ .. f - g:~ ~ :~ ~ ~: ~:5 Ii l311l g, j!:<o F I \l)wl- I f' 1 Z">'~ - - Z I ~zg>, ;. ~ ---; ~~~6 !;(<a ~ I <~:::~ Ii ~i ~ I i J I fii5!!!!!;; ct~~ OJ o~-1 ~3iii..... Hi i ~J ;llji @~~~ ~~~ ~o: ~~~~ ill il i. Ill,. ~c~~ ~~. ~-.., C~O~ }J h~~ :c JIg!; ! ! ~~~~ (II~~ ~=l. IJ i~~~ J!111d'!~ I i I .. ! ~.c5 n~ c r, I ~~~~ ;~~ ;~i~ f ~ .. S I ~ ! i ~i!:~~ i(~i ~ I ~5g~ l t . I:: ~ ji is ! =>~8~ wN => I ti~<a:: ~ I f ~ ~ ~ I ~ g.. ~~~::- ~g~ ~ "-J ~f~~ ~ ! ~ . ~ ! ~ ~ ~ ~ . "C~: ~. I c~.c ~ ~ :z ~3~g9lS..~~ ~~j!:lD l&.~U ~ I ~..!-~~ i::::: . 0 ~ : ~~~~ ~ c , C::i oq:J9 \ \ ~O \ f::' \ C'l')U) \ -:::;:. \ '" \ ;:t: Q) \ " ..:. \ ~ c: \ !~- --> .00 \ n.,. c: \ Ii!! :" /' OOOp.06<>p \ ..' ~ -&:t c-"..oC'.::::or .' o ..... \ ,~/ '> "f"'7 \:;. O 'S~ \ /' J\ \ ";;:- ~ ~ \.~ , , ~ ,--\ /:.' / \ ,..." ...... \ c;.:'i" / .'.- ~ 11\ \ .' \ \.'. L~ ~ ./ -'<, .." '.'. ..... ~ \" ,.. ~ 0 \/ .". \ _ '." r^ "", \ ., . "J V /:.- / !1; ,;.:- !:t:: c: ,:;t ' .' "", ]j! .<::~. W ~ .... / I. ',. '>> \ j-" , v. S , ,;:" " < i;!! ..~:;:, '\.. '1 ," .~:;. C !., / ,g.. '." \ ,.. ~ !' / <, .. ...-i f ~~ ..... ",:g i "S lH I .< :" . \ c:;" if 1 ~'J~ g " oq: . ~ ;:: ... ,.. ~ 'if <"" y/>' . ~ ~ ;'- I ,/ ,/ \ s.~ " ."," "\. ~~- \ // \,' \ "'0 I~~ ,/ \" " ...Ii ~ I \ '\. '" a~ ! \ Ii: V" \ lS)~C;~ " 1~ . " '~.~.~ ~ ; " N~; "\~~~ '" "' ' ! \ ~~ , ;..> ,'" "'- ~ f / """ // [t il '''':~', " ~ .../ '.",., " q .,'v " // ,,-- "/ ~ ,.. " / .1. --, <It / ..... ,,/'0.. l" "' ,.., ", / oO''-I~ '-.... \11 "">". ,.,-";--___ / '!JO'r;~\ il "- c: ,.. - --,,-~. :ll'.; "- ..... '..... \ >H ~~';ll S If' ~ ....,.. \ .0l-;-:>;80s :., !~! .E \ :" ti ...... \ '.:' .~ m~ -\~_ O .,. -- \ :::. iil 1-'---___ n- ':1. '!_I } 1 ! ...... :~~l.....]~~ 0..0;';7 ,.,~~ \ :" '-1 '" ,,,/ ..., . i:5 . . i .... :,~..I,!. \1 l-_l"-L I' I ! ~ \ . --.A.._ o ;; ..........'" """'_........".......--..."". '" _.0:.8001 '.r.", r I~&. 0" 1 .. ......, ~ ...-. . - ., . . .-. . . ~ Andove~ 11 0 AndoYel' Economic Development Authority ,'(1 ~ . (Ga) / -----This area is subject to a restriction as to water extractJon-----__.... / ' /~..:...~ (.............. (Per Document No. 1435344 &: -...--.... (-",-, -_....... Per Document No. 1450970) " l_" ':.. ^ -'... 0( . '" _....~ - ---- .., <.....~,A.~' .II """ -- I , ---- I ......- .................. ..-/ 0 , , ~ ..-/ "' , , 1-'<(' ',\ I ..-/ , , ..-/ , , I,... \..,,...' ~ ..-/ ,', , , ....... ( Ir~ ,.-/ '-' /' , \ ~ .. ..:.,: ..';..., "" .. /(~:'~/ , , ~ ( , ~. - ' " , '.."J,,"^ "" ' " ' (, ' \ ~'"'~.. ;::7~- ~. , I 0 1 .~ 1.33 Ac. 57,957 Sq. Ft. \ 47.879 Sq. Fl. 1.10 "" (Exclucfltl9 cree of Cross-Access EClsement " Area NW'ly of Eoserrient) , . ",_-t .<' "\~"'~ -r ~, '. \'....' ov~ ,~~. '.. ..... . -' ~~ ,,? /\ ... ,"\',: ~...,.... ~ ~,\\.~\.J .. :~,\ " .. ',;\~ 2 ",~\. .. 0.93 Ac. ../ 40,689 Sq. Ft. ..<' / €- <;. "~... \ .A" ",l..",; / ':. .... \ -' / \ \ / \ ~\ ~):~\ \ \ \ / ~ 'q, /. \ \ \ \ \ / , \ \ \ \ \ \ \ X Andover Economic \ 0 Development Authority ~ \~~~\~..... / (GB) /, - ~ ~).. .... /' / '-:, .. 0 L_ / .-:,-S:<- / ('-,'-' '~&> "~"...J . , . l~.. .. "', , ", / ", / /" -OO~D~DB"9 \ 00 'OZ.., , "" Zto"r_, /" ~ I ",,' II.' . . . 0 /: /. . .~~/. '"'- 9"~.'t.!> /' _ "" / /,,/ \ ""/ ",,' ".""\ \ ," ",,'" , , ;' /'./ ",' ",,' \ .. . '" , "" \ ~ /". / ". ~. , "', , ' , / '" /'" \ , \ . '" ;' \ \ \ / ./ ;' ;' '" '" , , \ / / // // \ \ \ . ;' ;' , \ \'" ;' ;' \ Col. / ;' ;' ;' \ \ \~ / / ;' ;';' , '\ \' ~ ;' ;' / \ \ ~ .;' /;, '\ \ ~ / / \ t,://// \\\ ~ 1/ // ,\, ~" / / /' \ \ \ " 'I / / / ., \ \ ~ / II / / I \' , , ~ "'1" \\ \ I ~ / I I \.\ \ r ,"'. 1/ \ \. \ :S I: I II \ \ \ ~ ~ ( \\ \ I t':) ~ / \ \ \ .... 1D I ,\.\ ,,,,. I ,\ \ I } \' \ \ I , \ I \ \ I \ '. I \ , I \ / , I , , I / I I / I . , A~". I !\~.o'" I/~N ~ , ~ , \., " , , c.: , 2 \..' , Q " , - , :5 " , a:l -t~;!A~ , .~~" " ~+ . , " " " ' .~. " ~~ " '" '" C I T Y o F @ NDOVE 01685 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 evelopment~ SUBJECT: Time Extension Request (MVP Baseball Academy, Inc.) DATE: April 15,2008 INTRODUCTION The original purchase agreement has officially expired. As of April 1 s" staffhas begun to work on marketing the property to others who may be interested. To bring this up once again before the EDA, the EDA would first have to decide that they will honor the terms and conditions of the original purchase agreement. Mr. Larkin is asking the EDA to honor the original purchase agreement, and extend the time to o complete the purchase agreement. Mr. Larkin has indicated that he is still pursuing getting an SBA loan and needs approximately 90 days of additional time to complete the land purchase. The original letter of intent from John Larkin was approved by the EDA on March 20, 2007 and the original closing date was set for August 1, 2007. That report and letter of intent is attached to show the EDA once again what his proposal was and how his endeavor was being envisioned. The concept he still wants to pursue follows what was in the original letter of intent. ACTION REQUESTED Staff requests direction from the EDA on the following: 1. Is there interest in honoring the terms and conditions of the original purchase agreement? 2. If the EDA answers the fIrst question affirmatively, what length of time would the EDA allow Mr. Larkin to complete the purchase of Lot 1, Block 1, Andover Station North? Realistically he needs a minimum of an additional 90 days to put together his SBA loan. Respectfully submitt~ Will Neumeister Attachments Original Letter of Intent; OPurchase Agreement Cc: John Larkin, C/o Sunland Security, 17308 Roanoke St. NW, Andover, MN 55304 C I T Y o F @ 0 NDOVE 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 atI- SUBJECT: Letter of Intent (John Larkin) DATE: Ech 20,-200 INTRODUCTION The EDA is asked to review the newest "Letter of Intent" from John Larkin. He indicates that he would like to purchase the lot directly east of the ball fields and build a tip up panel structure to be home to his MVP baseball training academy as well as a gymnastics training facility. The site plan 0 shows that he would build at least 26,400 square foot of building in the first phase. They would like to have an outdoor practice hitting area. The site plan may need to be slightly adjusted and that can be dealt with during the site plan review process. This will be needed to avoid the 200 foot setback from the WDE landfill (should he ever want to expand the building to 52,000 square feet). Please review the attached document to understand what Mr Larkin is proposing to construct at Andover Station North. Mr. Larkin will be at the EDA meeting to make a presentation to the commissioners on his proposal. The staff is supportive of his proposal as the land price is comparable to what the land appraisal indicates the site is worth. Please recall that the building will need to be constructed to have special monitoring and venting systems to meet the MnPCA's requirements as it is within 500 feet of the WDE landfill. This enters into the price'Mr. Larkin is willing to offer on the land purchase. ACTION REOUESTED Please allow Mr. Larkin to make a short presentation at the meeting and consider his proposal to buy one of the lots at Andover Station North to build a ball training facility (Lot 1, Block 1, Andover Station North). Respectfully sUbm~ Will Neumeister Attachments 0 -2.-- 0 INTENDED USE PROPOSAL .Andover Economic Development Authority c/o Mr. Will Neumeister, Director of Community Development City Of Andover, l"finnesota 1685 Crosstown Blvd. .Andover, :Minnesota, 55304 RE: Possible purchase .and intended use of, Lot # 1 in the Andover Station North business deveJopment. To \Whom It may Concern: My name is John Larkin and My associate is Mr. Joe Ruhland. We have formed a new venture called: :MVP Sports Academies Ine. This is a licensee Facility of MVP baseball/softball, a national organization. 0 The services we plan on offerin~ at this point will include: . Hitting & Pitching Leagues, for both Baseball & Softball . Focused Individual baseball and softball Instruction . Pitching and Hitting Clinics, & Camps . . Coaching and Mentoring workshops (with the availability of coaching suites) . Sponsoring Local Tournaments . Conditioning (BERSn boot camps and training . Individual & Group Golf Instruction by a PGA teaching pro . Leadership and positive Attitude Training . Indoor Practice facility adaptable to any team sport. (Available to the Community) . Indoor and Outdoor monitored Batting cages . Young Athlete Parenting Seminars and Training .As Joe would say," You are what you repeatedly do. .. Then excellence becomes habit." Pro'Pertv use and Bnildin!! reauirements. Our current plan for the 4.31 acre usable area would include a large open structure to be used as a practice and training space for sports teamS, (baseball, football, soccer, lacrosse, etc). This would be adjacent to a series of indoor batting cages for walk-in batting 0 practice and 2 to 4 individual instruction cages for specialized bitting and pitching instruction. These individual cages would include 4-point video analysis and a room or viewing area attached to each space. We would also like to include outdoor monitored batting cages for the warmer months, -:3-- 0 probably on the north side of the property. We are currently Working on a layout of approximately 26,400 S.F. Virith an addition of 2.6,400' S.F. more. We hope to raise the funds to build the entire facility in one shot, Please refer to the drawing attached. It is om hope to finalize any and all approvals very soon so we can secure financing ASAP. We would like to break ground in the spring. We have a lot of support from many different athletic organizations in the area. We hope to find ways to support and help all of them. We truly believe that this is an opportunity to change Andover into a leader of Athletic & Life Skills Training for today and the future. I believe a facility like this would be a good anchor for the area. ProDertv Purchase Proposal 'VIT e would like to submit this offer based on usable space, easement allowances, and contingent on a final plan, purchase agreement, and bemg able to secure adequate financing. 0 4.31 Acres 187,892 Square Feet x $2.50 ='$469,730.00 (buildable area) 2.54 Acres 110.467 Square Feet x $1.00 = $110.467.00 (Property in easement) The total would be: $580,197.00 (This is contingent on bank and financing approval.) About us Joe and I each have a long. history in baseball and with coaching. John Larkin I had played division 1 College baseball in southern California and Colorado. And I have played ball and coached in the Mens Senior Baseball League for 10 plus years, and one year of Town ball on a traveling team here in 1.fumesota. I currently own and operate a Security Systems business for nearly 11 years, so I understand the commitment it takes to tackle such a project as this. My baclcround includes a degree in architectural design and engineering, general contracting, and many years in the security business. I have been a voltmteer firefighter here in Andover for 4 plus years. 0 Joe Ruhland Joe previously was recruited by Medtronic to work with Cardiologist and Sales Leadership to increase revenues and improve their overall effectiveness in the medical industry, hence his return to :Minnesota in 1998. F~s previous background included -4-- 0 working with New York Rangers org~m17Rtion in P.R. & Media Relations and he consulted with Team USA Hockey as performance improvement expert. In 2005, Joe started his own consulting company, implementing his motivational sports background with his rich experience in the medical device industry. Over the past year, Joe has partnered with Bill George, former Medtromc CEO, .A:nne Bancroft and Lance .Armstrong to deliver impactful and successful workshops around the country. His clients include, Medtronic, St. Jude Medical and AMS just to name a few. He sets a tempo for success in everything his is involved with and creates a level of excitement that can best be compared to as "momentum" in the sports world. . Joe's approach includes practice and sch~T-;lingbai.aDce:-p()sltiveresponse,-andrealiStic goal setting. The programs Mr. Ruhland has developed will be an integral part of our format., and teaching principals. The positive attitude is the only attitude. In Conclusion We look forward to meeting with the Andover Economic Development Authority, So we can further outline our plan and answer any questions The Authority may have. 0 TIiank You. John Larkin Date: Signature Joe Ruhland Date: Signature 0 - --~-- ~ "''''''-I" ::z:.w ~ · Ililllillllll _ ~5 ~ i' Ii ~ rg. =~ i ;" h~ ~~:i' J U ~i~! ~OSBUUIW '.li>AODU'( ; i i -:-- OSIII ~~ i;iji l!~l!.i ~!l.i AW30V). Y ilye3SY8 dAW .! I ;I~ I. t ..-o!"" .,- Pli~~k'''''~ j/> ~.... <i 0.0 ~ IIIII1 :f ~ ~: ~~ii ~Bge~!;~. . l\~ 2uIPllna pa-SOdOld Ii il~ H <. i < :!!!! :I:ilfti t::: -=l.::ti! . . d ! ~ B. ~ e In (SL 'ON 'H''V''S'J) O~'v'^3ln08 NOSN'v'H -- - I I I $: \ I Z f- I ~ I:%:: f- VI >- c:( --. -I I I \ I I I ' , :: ~ -8 J I h~ ,,~,,- I QI~~ii t,,," I -- I ./ I /F I /' I ;I I I I I =_ I ii, ~_ I I .----4 l j ./ ~ I I I ./ - --- - '-.'~ . , ' \ . \" I\(\ \\ ' i \ t.-:-.. \', J~\ ~ \ \ '---1 1""'" \'\\' ~ \ \..... _.-::P I \ l ~- r, ::-t .z-6 - -------.. blON NORTH ~ TION NORTH ,-~ Car. Df tho NWT/4 '" 1M N:f/4 / _ "'" Df tho NEl/4 D' IiIo Iit/-f '" ~ ~. To ~ R. ~ I: g { ---tl . of.-=. X r..rz R. M _ .,.; t _ ,/ LJno "r /be NEl/4 Df 1M NEl,/4 "sr .u. r. .It R. X ',' "Seg"OB'3g-E " ~ '[ _ _, _ UlSJU _ - - --- - - .-- - I .. Ir~ - :;;:; I h I "'''' I' \ If If ,t\ a..:~ "\ u" ~~ - $\ 'l!.!\~, "" ~t-l ~~ ~ Ii "t't (I ,,~ TI 29U51i~~iL ~~ 11 I &JlS ....... I .. .. ('IDtDI) ss '~~ ...:;11. 1 ~... .. .. (E>=Iuding --.g _) "" 1 ~~ 5vgJ~T .. .. " I $& ~... ,P~=tC7{" ! .. .. f .. .. , .tot , .... - I I I I 2 ~ ~ 5U3Sq.1't. ~ l.2D __ ~ ;0 , 0 -- N.W. I ... ~ ~ . ) ~ 0 ~ ~ ~ W ..J I ;:) I 0 I In 1 I NB.;'5V1Ihr 316S7i lOl-tl. '7.%1 ..... -.s56 ...11. ('IDtDI) 6.77 ....... Z ~ lIIdctIng -)2 0 .. en co z < J: \ .~. L ! "- C) _~ u::: \ _ ocC r- 0;'. I (/') W -, -~ . I I I ~E :5 I -1 I 3 I \ =0 I 1 rrP co I I I \ ,f> -7- 0 PURCHASE AGREEMENT 1. PARTIES. This Purchase Agreement is made on ~ ~ 0 , 2007, by and between Andover Economic Development Authority, a bo y cor orate and politic, 1685 Crosstown Boulevard ~, Andover, Minnesota, Seller and MVP sports Academies, inc., a Minnesota corporation, Buyer. 2. . OFFER/ACCEPTANCE. Buyer agrees to purchase and Seller agrees to sell real property legally described as follows: Lot 1, Block 1, Andover Station North, Anoka County, Minnesota ("Property). 3. PURCHASE OF LOT WITH BUILDING OR VACANT LOT. ( Check paragraph that pertains.) A. Buyer is purchasing the lot with an existing building. X B. Buyer is purchasing a vacant lot. 0 4. PRtCE AND TERMS. The price for the real property included in this sale: Five Hundred Eighty Thousand One Hundred Ninety-Seven and no/100 Dollars ($5BO, 197 .00). This price includes $527,451.82 for land and $52,745.18 for park dedication fees, which Buyer shall pay as follows: Earnest money of Five Thousand and no/100 Dollars ($5.000.00) by cheCK, receipt of which is hereby acknowledged, and Frve Hundred Seventy-Five Thousand One Hundred Ninety-Seven and no/100 Dollars ($575,197.00) cash'on or before August 1, 2007 DATE OF CLOSING. The purchase price stated above is based on a site estimated to be 298.359 square feet of gross area, with different prices per square foot for portions of the site, described as follows: The price represents a per square foot price of $1.00 per square foot for area dedicated to existing easements (which is 110,467 square feet). Of that amount, ten percent is earmarked as a park dedication fee that was deferred at the time of subdivision; and also The price for the area of the site that is outside of the existing easements, which is 187.892 square feet of area. That price shall be $2.50 per square foot, and of that amount ten percent is earmarked as a park dedication fee that was deferred at the time of subdivision. 0 After the survey of the property is completed by the AEDA as required in paragraph 8 herein and the actual gross' square rootage of the site is known. the price shall be -6- 0 adjusted to reflect the change in land area based upon the square foot prices set out in thrs paragraph. 5. CONTINGENCIES. Buyer's obligations under thrs Purchase Agreement are contingent upon the following: (a) Seller shall 'permit Buyer, at Buyer's expense, to enter the Property to conduct investigations and testing and Buyer shall be complere:1y satrsfied with the environmental and soil conditions of the Property. - .---- ~.'.._. ... _"_''-.___.n._..___. _ __._. ."., _..._ (b) Buyer shall have obtained all zoning, land use, signage, watershed, environmental and other governmental approvals and permits Buyer shall deem necessary to use the Property in the manner contemplated by Buyer, including, without limitation, a full building permit for a building conform1ng to Seller's design standards which Buyer determines can be built for a price acceptable to Buyer, in Buyer's sole discretion. (c) Buyer shall have determined that the roads, utilities, points of access and other infrastructure serving the Property wi" be adequate for Buyer's purposes. . 0 Cd) Buyer obtaining bank financing on or before August 1, 2007 for the acquisition and construction of their building on the Property. In the event any of the above contingencies have not been satrsfied or waived by Buyer on or before the date of closing, thrs Agreement sbail be voidable at the option of the Buyer. 6. DEEDIMARKET ABLE TrTLE. Upon performance by Buyer, Seller shall execute and de!;ver a Warranty Deed conveying marketable title, subject to: A Building and zoning laws, ordinances, state and federal regulations; B. Restrictions relating to use or improvement of the property without effective forfeiture provisions, including but not iimited to land use restrictions imposed as a result of the proximity of the Property to the Federal Super Fund Site; C. Reservation of any mineral rights by the State of Minnesota; D. Utiiity and drainage easements which do not interfere with existing improvements. 0 E. Declaration of Covenants filed by the Andover Economic Development Authority. -1- 0 F. Providing a cross access agreement across Lot 2, Block 1, Andover Station North to allow access to the public street (Le. 139th Lane). 7. REAL EST A TE 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 DATE OF CLOSING. SELLER SHALL PAY on DATE OF CLOSING all special assessments for street, storm sewer, sanitary sewer and water main levied as of the date of closing. BUYER SHALL PAY real estate taxes due and payable in the year following closing and thereafter and any unpaid special assessments payable therewith and thereafter. Seller makes no representation concerning the amount of future real estate taxes or of future special assessments. 8. SELLER'S OBLIGATIONS. (a) Seller warrants that there has been no labor or materia!" furnished to the property in the past 120 days for which payment has not been made. Seller warrants that there are no present violations of any restrictions relating to the use or improvement 0 of the property. These warranties shall survive the delivery of the warranty deed. (b) SELLER shall cause all offsite utilities, storm drainage, street lights and access to be constructed, if not already completed, necessary to serve the Property at Seller's expense. Such obligation shall not include the sanitary sewer and water area and connection charges. Said charges shall be the responsibility of the Buyer. 9. 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. 10. BUYER'S OBLlGA nONS. (a) BUYER shall construct a building upon the property which is in substantial conformance to the building identified in attached Exhibit A. Buyer's obligation shall survive the closing on this transaction. (c) Buyer acknowledges that it has had (and will have) an adequate opportunity to inspect the Property' and, upon closing the transaction contemplated by this Agreement, shall be deemed to have accepted that Property in "AS IS" and 'WHERE IS" condition with any and all faults. Seller hereby disclaims all warranties, whether oral or written, express or implied, as to the Property's merchantability, fitness 0 for a particular purpose, condition, type, quantity and quality. -10'- 0 11 . DISCLOSURE OF NOTICES. Seller has not received any notice from any governmental authority as to violation of any law, ordinance or regulation. If the property is subject to restrictive covenants, Seller has not received any notice from any person as to a breach of the covenants. 12. POSSESSION. Seller shall deliver possession of the property not later than DATE OF CLOSING. 13. EXAMINATION OF TITLE. Seller shall, within a reasonable time after acceptance ,of this Agreement, furnish an Abstract of Title, or a Registered .Property Abstract; certified to date to include ,. proper searches covering banKruptcies, State and Federal judgments and liens. Buyer shall be allowed 30 business days after receipt for examination of title and making any objections, which shall be made in writing or deemed waived. ,14. TITLE CORRECTIONS AND REMEDIES. Seller shall have 120 days from receipt of Buyer's written title objections to make title marketable. Upon receipt of Buyer's title objections, Seller shall, within ten (10) business days, notify Buyer of Seller's intention of make title marketable within the 120 day period. Liens or encumbrances for liquidated amounts which can be released by payment or escrow from proceeds of closing shall not delay the closing. Cure of the defects by Seller shalf 0 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, then upon presentation to Buyer and proposed lender 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 notice is given and Seller proceeds in good faith to make title marketable but the 120 day period expires witho,ut title being made marketable, Buyer may declare this Agreement null and void by notice to Seller, neither party shall be liable for damages hereunder to the other, and earnest money shall be refunded to Buyer. C. If Seller does not give notice of intention to make title marketable, or if notice is given but, the 120 day period expires without title being made marketable due to Seiler's failure to proceed in good faith, Buyer may seek, as permitted by law, anyone or more of the following: 0 (1) Proceed to closing without waiver or merger in the deed of the objections to title and without waiver of any remedies, -/ /-,- 0 and may: (a) Seele damages, costs, and reasonable attorney's fees from Seller as permitted by law (damages under this subparagraph (a) shall be limited to the cost of curing objections to title, and consequential damages are excluded); or, (b) Undertake proceedings to correct the objections to title; (2) Rescission of this Purchase Agreement by notice as provided herein, in which case the Purchase Agreement shall be null and void and all earnest money paid hereunder shall be refunded to Buyer; (3) Damages from. Seller including costs and reasonable attorney's fees, as permitted by law;. (4) Specific performance within six months after such right of action arises. D. If title is marketable, or is made marketable as provided herein, and Buyer defaults in any of the agreements herein, Seller may elect 0 either of the following options, as permitted by law: (1 ) Cancel this contract as provided by statute and retain all payments made hereunder as liquidated damages. The parties acknowledge their intention that any note given pursuant to this contract is a down payment note, and may be presented for payment notwithstanding cancellation; (2) Seele specific performance within six months after such right of action arises, including costs and reasonable attorney's fees, as permitted by law. E. If title is marketable, or is made marketable as provided herein, and Seller defaults in any of the agreements herein, Buyer may, as permitted by law: (1 ) Seek damages from Seller including costs and reasonable attorneys' fees; (2) Seek specific performance within six months after such right of action arises. 0 TIME IS OF THE ESSENCE FOR ALL PROVISIONS OF THIS CONTRACT. -12-- r" /'"'" 0 15. NOTICES. All notices required herein shall be in writing and delivered personally or mailed to the address as shown at paragraph 1 above and, if mailed, are effective as of the date of mailing. 16. MINNESOTA LAW. This contract shall be governed by the laws of the State of Minnesota. 17. WELL AND FUEL TANK DISCLOSURE. Seller certifies that the Seller does not know of any fuel tanks or wells on the described real property. 18. INDIVIDUAL SEWAGE TREATMENT SYSTEM DISCLOSURE. Seller certifies that there is no individual sewage treatment system on or serving the property. 19. PAYMENT OF CLOSING COSTS. Each party will pay closing costs which are normally allocated of Buyers and Sellers in a real estate transaction. The Andover Economic Development I agree to purchase the property Authority agrees to sell the for the price and terms and property for the price and conditions set forth above. terms and conditions set forth above. 0 SELLER: BUYER: MVP SPORTS ACADEMIES, INC. Its:f7e W~ "- ,- (/ , By: ~ By: ~ \<N\. ~fC~7f'''''' Ja Dickinson, Executive Director Its: 0 6 C I T Y o F c1) NDOVE -0 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 Direct FROM: Will Neumeister, Community Development Director W L SUBJECT: Update Economic Development Activities DATE: April 15, 2008 INTRODUCTION This memo is provided as an update for all economic development activities related to Andover Station North: Funeral Home (Thurston-DeShaw) - They've putting furniture in the building. Day Care Site (GrijJen Business Holdings) - EDA approved the architectural elevation drawings and they are completing the Commercial Site Plan Review process. They would like to be under construction by May 5th. Dry Cleaners Site (Golden Eagle II) - The EDA will review the purchase agreement tonight. 0 MVP BasebaU (John Larkin) - Mr. Larkin was given a 30-day time extension until the end of March. He is now working on getting approval from a new lender and understands we will begin to market this site to others. Blue Fin Pool & Spa - The EDA approved the purchase agreement on April 1 st and will hold a public hearing on the land sale on May 6th . Moose & Co. GrillHouse - They purchased the property on April 1 st. The CUP for the on-sale liquor goes to City Council tonight. Light Industrial Building (Dynamic Sealing Technologies) - They have received the building permit and are ready to begin putting utilities in. They have signed the option agreement (for adjacent lot) and paid the $10,000. OffICe Development - Staff have begun marketing the site through the new MSP website. Staff will continue to market the site and if any potential buyers surface we will bring forward any and all offers. Kwik Trip Convenience Store/Car Wash - They have a verbal commitment from Eddy's Auto Body to buy the land. We will bring something to the next EDA meeting on May 6th related to their deal which is contingent upon rebuilding the frontage road. The EDA will be asked to make commitments on the reconstruction happening in the spring of2009. ACTION REOUESTED 0 No action is needed, this is only an informational update. . Respectfully submitted, ~ Will Neumeister