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HomeMy WebLinkAboutEDA April 1, 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 1, 2008 6:00 p.m. Conference Rooms A & B 1. Call to Order - 6:00 p.m. 2. Approval of Minutes (3/18/08 Regular Mtg.) 3. Purchase and Option Agreement (Dynamic Sealing Technologies) 4. Purchase Agreement (Blue Fin Pool & Spa) 0 5. Purchase Agreement (Golden Eagle II - Dry Cleaners) 6. Quotes for Area Identification Sign(s) 7. Bunker Lake Boulevard Median Update 8. Update Economic Development Activities 9. 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 1 , 2008 INTRODUCTION The following minutes were provided by staff for approval by the EDA: March 18, 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, UO~ Vicki V olk City Clerk 0 O~ 3 4 5 6 ANDOVER ECONOMIC DEVELOPMENT AUTHORITY MEETING 7 MARCH 18,2008 - MINUTES 8 9 10 A Meeting of the Andover Economic Development Authority was called to order by President Mike 11 Gamache, March 18,2008,6:00 p.m., at the Andover City Hall, 1685 Crosstown Boulevard NW, 12 Andover, Minnesota. 13 14 Present: Commissioners Don Jacobson, Mike Knight, Ken Orttel, Julie 15 Trude, Voting resident members Joyce Twistol and Robert Nowak 16 Absent: None 17 Also present: Executive Director, Jim Dickinson 18 Community Development Director, Will Neumeister 19 City Engineer Dave Berkowitz 20 Others 21 22 ~~ APPROVAL OF MINUTES 25 March 4, 2008 Regular Meeting (I'rude absent): Correct as written 26 March 4, 2008 Closed Meeting (I'rude absent): Correct as written 27 28 Motion by Knight, Seconded by Jacobson, approval of the Minutes as written. Motion carried 29 unanimously. 30 31 32 ARCHITECTURAL REVIEW (FOUNDATION HILL DAYCARE) 33 34 Mr. Neumeister introduced Mr. Nagwani, the owner of Foundation Hill Daycare. 35 36 Mr. Nagwani presented the architectural/site design for the proposed Daycare/Montessori School. 37 The plans are to build a 6,653 square foot building this summer, with a 4,739 square foot 38 addition for future growth. The building will be block, with three colors and some stucco. Mr. 39 Nagwani described the interior of the building. He would like construction to begin May 1,2008 40 with a completion date of August 15, 2008. 41 42 Commissioner Jacobson asked if there would be a sign on the building. Mr. Nagwani stated 43 there would not be a sign on the building; there would be a monument sign. a: Mr. Nowak asked about an outside play area. Mr. Nagwani stated there would be two play areas; 46 both would have fencing around them. 47 48 MotionNby Jacobson, Seconded by Orttel, to approve the architectural design and site plan of 0 Andover Economic Development Authority Meeting Minutes - March 18, 2008 Page 2 1 the Foundation Hill Daycare and Montessori School as presented to the EDA. Motion carried 2 . unanimously. 3 4 5 LETTER OF INTENT REVIEW (DRY CLEANER) 6 7 Mr. Neumeister stated Laura Heppner submitted a letter of intent offering to purchase the north 8 ~ of Lot 26, Block 1, Parkside at Andover Station. 50% of the building would be a dry cleaning 9 business with the remainder ofthe space available for lease. Ms. Heppner is offering $4.50 per 10 square foot and would like to close June 1,2008. 11 12 Commissioner Knight asked how the parking lot would be divided between the dry cleaner and 13 Montessori School. Mr. Neumeister stated the two businesses would have a shared driveway and 14 each business has an adequate number of parking spaces. 15 16 EDA discussed the letter of intent. 17 18 Motion by Jacobson, Seconded by Knight, to direct staff to prepare a purchase agreement based 019 on the terms that have been discussed between EDA and Laura Heppner. Motion carried 20 unanimously. 21 22 UPDATE ANDOVER STATION ASSOCIATIONS REQUESTS 23 24 Mr. Berkowitz updated the EDA on requests made by the Andover Station Associations. There 25 are three issues to report on. 26 27 The first issue is the lighting costs. Mr. Berkowitz stated he met with Connexus Energy. There 28 are three options to reduce the lighting cost. The three options were discussed. 29 30 Motion by Knight, Seconded by Orttel, to approve option number two; every other light to be on 31 from sunset to sunrise. Motion carried unanimously. 32 33 The second issue is the landscape maintenance on Jay Street. Mr. Berkowitz stated some of the 34 trees and bushes need to be removed or cut back to open up the safety site line. 35 36 The EDA directed staff to cut and remove trees and bushes in the south median on Jay Street. 37 38 The third issue is a left turn lane on Bunker Lake Boulevard to access Martin Street. Mr. 39 Berkowitz stated it appears a turn lane would meet the geometric design standards. However, the ~~ response from Anoka County Engineer Doug Fischer was the county was not interested in a turn lane and was not willing to meet. 42 43 President Gamache recommended contacting the County Commissioners regarding this issue. 44 0 Andover Economic Development Authority Meeting Minutes - March 18, 2008 Page 3 1 2 ANDOVER STATION DESIGN GUIDELINES AMENDMENT 3 4 Mr. Neumeister stated at the last meeting the EDA discussed allowing an outdoor garden center 5 in the parking lot at Festival Foods. The Andover Station Design Guidelines need to be changed 6 to allow for the garden center. 7 8 The Andover Station Guidelines were discussed. 9 10 Mr. Nowak suggested the word permanent be placed in front of garden/landscape center and 11 exterior storage and sales in Section 1.13. 12 13 Commissioner Jacobson suggested removing "in the parking lot" after the word location in 14 Section 2.07. 15 16 Motion by Jacobson, Seconded by Knight, to approve the changes to the Andover Station Design 17 Guidelines that were discussed. Motion carried Imanimously. 18 019 ECONOMIC DEVELOPMENT UPDATES 20 21 Mr. Neumeister gave updates on the following: 22 23 Funeral Home - They should be opening next month. 24 25 MVP Baseball (John Larkin) - Staff has not talked to Mr. Larkin since the last EDA meeting on 26 March 4, 2008. 27 28 Blue Fin Pool & Spa - The purchase agreement will be presented at the next EDA meeting. 29 30 Restaurant (Moose Knuckles) - The name of the restaurant will remain Moose Knuckles. 31 32 Dynamic Sealing Technologies - A counter offer from Dynamic for the purchase of the adjacent 33 lot will be brought to the next EDA meeting. 34 35 Office Development - Northstar Partners provided staff with the list of whom they had marketed 36 the site to. 37 38 Motion by Jacobson, Seconded by Trude, to adjourn. Motion carried unanimously. The meeting 39 adjourned at 6:59 p.m. O~ Respectfully submitted, 42 43 Michelle Hartner, Recording Secretary C I T Y o F 0 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 FRQM: Will Neumeister, Director of Community Development ~ SUBJECT: Purchase and Option Agreement (Dynamic Sealing Technologies) DATE: April 1 , 2008 INTRODUCTION The EDA is asked to review and approve the final form of the two agreements for Dynamic Sealing Technologies, Inc. (DSTI) to buy the lot directly south of the parcel they bought last year (Lot 3, Block 3 and the east 35 feet of Lot 2, Block 3) to align with their parcel. See attached Plat Map of Andover Station North for the site. The option agreement sets the terms and conditions of an 18-month long option on the land for 0 $10,000. Their business is in a growth mode and they may need the additional space in a year or two. DISCUSSION As previously discussed by the EDA on March 4, 2008, the $10,000 payment by DSTI would secure the Option. The non-refundable option payment secures the property until July 31, 2009 to allow them time to decide whether they want to purchase the additional land. The amended Purchase Agreement which they have moved up in price since that date proposes a price of $3.80 per square foot for the land excluding the easements (including the park dedication and fee), with a price of $1.00 per square foot for the drainage and utility easement area of the lot. A higher number was agreed to by the EDA in closed session on March 4, 2008, however they have counter offered this number and staff is supportive of the number and recommends the EDA accept the offering price. ACTION REQUESTED The EDA is asked to approve the Option and Purchase Agreements for DSTI and authorize the Executive Director and EDA President to sign them. Respectfully submitted, Will Neumeister J Attachments: Purchase Agreement 0 Option Agreement Plat Map of Andover Station Cc: Jeff Meister, Dynamic Sealing Technologies, Inc., 13941 Lincoln St. NW, Suite 100, Ham Lake, .Mn 55304 0 PURCHASE AGREEMENT 1. PARTIES. This Purchase Agreement is made on , by and between Andover Economic Development Authority, a body corporate and politic, 1685 Crosstown Boulevard NW, Andover,.. Minnesota, Seller, and Dynamic Sealing Technologies, Inc., a Minnesota corporation, 13941 Lincoln Street N.E., Suite 100, Ham Lake, MN 55304, or its assigns, Buyer. 2. OFFER/ACCEPTANCE. Buyer agrees to purchase and Seller agrees to sell real property legally described as follows: Lot 3, Block 3, Andover Station North, and the east 35 feet of Lot 2, Block 3, Andover Station North, as measured parallel to the east line thereof, Anoka County,' Minnesota ("Property"), together with a non-exclusive easement for driveway purposes over the following described parcels: A. The east 40 feet of Lot 2, Block 3, Andover Station North, except the east 35 feet thereof, Anoka County, Minnesota. B. The north 30 feet of Lot 2, Block 3, Andover Station North, except the east 35 feet thereof, Anoka County, Minnesota. 0 Seller shall insure that curb cuts for the driveway over Lot 2, Block 3, above, shall have a radius to adequately allow for standard semi-trailer trucks to turn into the driveway. 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. 4. PRICE AND TERMS. The price for the real property included in this sale: Three Hundred Twenty-Eight Thousand Two Hundred Forty-Five and No/100Dollars ($328,245.00). This price includes $295,420.50 for land and $32,824.50 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 Three Hundred Twenty-Three Thousand Two Hundred Forty-Five and No/100 Dollars ($323,245.00) cash on or before four (4) months after the date of this Purchase Agreement. In the' event that Buyer has not completed its due diligence within one hundred twenty (120) days from the date ofthis Agreement as provided, said $5,000.00 shall become non-refundable to Buyer. 0 1 0 The purchase price is based upon a site estimated to be 84,059 net square feet and 8,821 square feet for drainage and utility easements ten (10) feet in width on the north, east and west boundary lines (and an easement for roadway purposes twenty (20) feet in width along the south boundary line - not included in calculation). Net square footage shall be determined by taking the gross square footage of the property described in paragraph 2 and deducting the existing drainage and utility easements along the north, east and west boundary lines and roadway easement along the south boundary line located upon the Property. See Exhibit A attached hereto for a map depicting the Property. The price herein represents a per square foot price for the net square footage area of $3.80 and $1.00 per square foot for the drainage and utility easement area. The easement area for the roadway along the south boundary is not included in the calculations. Said price includes the land price, park dedication fees and non-residential water area charges and assessments and sewer area charges and assessments and water unit correction charges and all other permit fees, service charges and various other charges to be collected by the City of Andover, except the Building Permit which Buyer must pay, it being the intention of the parties that the price is fully inclusive and Buyer shall not be required to pay the Seller any other fees to purchase the Property and to construct a building on the Property, except the Building Permit. After a survey of the property is completed by the AEDA as required in paragraph 8 herein and the actual gross square footage and net square footage are known, the price shall be adjusted to reflect the change in the area based upon the square foot price set out in this paragraph. 0 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 governmental 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, 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. (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. 0 2 0 (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 Section 22 below. In the event any of the above contingencies have not been satisfied or waived by Buyer on or before the date of closing, this Agreement shall be voidable at the option of the Buyer, and the earnest money shall be returned to the Buyer. 6. DEED/MARKET ABLE TITLE. Upon performance by Buyer, Seller shall execute and deliver 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 which do not interfere with Buyer's intended use of the property; 0 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 filed 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 DATE OF CLOSING. SELLER SHALL PAY on DATE OF CLOSING all special assessments for 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 ther~with and thereafter. Seller makes no representation concerning the amount of future real estate taxes or of future special assessments. 0 8. SELLER'S OBLIGATIONS. 3 0 (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 (the "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 as having been prepared in accordance with the Minimum Standard Detail Requirements for Urban Class land title surveys jointly established by AL T A, ACSM and NSPS (as revised in 2005) and prepared in accordance with the accuracy standards prescribed therein, including Table A Items 1, 2, 3,4,6,8,9,10, 11(b), 13, 16, 17 and 18 disclosing the state of facts existing on the date of such certification and showing and certifying the gross acreage and the Net Area of the Property. The Survey shall contain the surveyor's certification that the Property or any part thereof is not located within a wetland or an area that has been designated by the Federal Emergency Management Agency, the Army Corps of Engineers or any other governmental agency as having or being subject to special flood hazards or shall, in the alternative, identify and designate such areas and certify the gross acreage of such areas. 0 (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. Such obligation shall include the sanitary sewer connection fee, sewer availability charge, sewer area charge, water unit connection charges and water area charges to be paid. Said charges shall be the responsibility of the Seller. It is the intention of the parties that the Purchase Price is fully inclusive and it is the Seller's obligation to pay for any and all permit fees, service and connection charges and various other fees the Buyer shall be required to pay to purchase this Property and construct a building on the Property, except the Building Permit fee, which Buyer shall be required to pay. 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 cause all easements to be in place to provide ingress and egress to the property and Seller shall pave said ingress and egress routes to City of Andover specifications as provided in Section 22 below. 9. BROKERAGE. Buyer and Seller acknowledge that Buyer's real estate agent, Kent Meister, is directly related to Buyer. Seller shall not be responsible for a brokerage commission in this transaction. Buyer shall be responsible for any commission or fee paid to Kent Meister, if any. . 10. REPRESENTATIONS AND WARRANTIES OF SELLER. Seller represents and warrants to and covenants with Buyer that: 0 4 0 (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 governmental 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 ot threatened in connection with the Property, or any portion thereof. (d) (1) Except as disclosed by Seller to Buyer at Section 22 below, 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) 0 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 defined). (2) Seller shall not allow, prior 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 natur~ 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 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 0 governing or pertaining to any hazardous substances, hazardous wastes, chemicals or 5 0 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"). Anything in this Agreement to the contrary notwithstanding, it is expressly understood and agreed that Buyer does not assume or agree to be responsible for, and Seller hereby agrees to defend, indemnify and hold Buyer harmless from and against, any and all claims, obligations and liabilities and all costs, expenses and attorney's fees incurred, based upon or arising out of any obligation, liability, loss, damage or expense, of whatever kind or nature, contingent or otherwise, known or unknown, incurred under, or imposed by, any Environmental Laws arising out of the Property and of any act or omission by Seller or it~ employees or representatives prior to the Closing. (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 against any portion of 0 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); (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 government agency respecting construction or any acceleration or de-acceleration lane, access, or street lighting. Buyer acknowledges it shall be responsible to pay fees for electricity and maintaining street lighting should it purchase the property. (h) To the best of Seller's knowledge, the Property is properly zoned for Buyer's intended use of the Property. (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 assessments in possession of seller. 0) Seller represents and warrants that the Property is a buildable parcel without the need of any soil corrections and that Seller shall p rform 0 6 0 and/or pay for all soil corrections and environmental remediation to the Property, if required. This warranty shall survive Closing. 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 without further liability by giving written notice thereof to Seller, in which event the earnest money shall promptly be returned 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 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 upon the property which is in substantial 0 conformance to the building identified in attached Exhibit A. Buyer's obligation shall survive the closing on this transaction. (b) 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, except as specifically provided in this Agreement. Seller hereby 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 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. 13. POSSESSION. Seller shall deliver possession of the property not later than DATE OF CLOSING. 14. 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 0 Federal judgments and liens. Buyer shall be allowed 30 business days after receipt for 7 0 examination of title and making any objections, which shall be made in writing or deemed waived. 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 null and void by 0 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 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; 0 8 0 (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 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; 0 (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. 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. 0 9 0 21. PARK DEDICATION FEES. Seller shall be responsible for payment of all park and trail dedication fees due the City of Andover for development by Buyer of the Property. 22. HAZARDOUS WASTE ISSUE. Seller was the responsible party fora voluntary cleanup of an auto salvage yard previously located on the Property and other abutting property. Seller obtained a Limited No Further Action Determination Letter dated January 20, 2006, from the MPCA Voluntary Investigation and Cleanup Unit (VIC). As a condition of this Purchase Agreement, Seller shall provide Buyer with an environmental indemnification for the Property and will pay all costs, including reasonable attorney's fees, associated with any additional environmental remediation upon the Property for a period of two (2) years following the Date of Closing. Additionally, this Purchase Agreement is contingent upon Buyer, at Buyer's expense, obtaining a No Association Determination Letter from the MPCA VIC and a Construction Contingency Plan to be executed by Seller, Buyer and the MPCA, and compliance acknowledgement by the City of Andover engineer, contractor and excavating contractor. The Andover Economic Development I agree to purchase the property Authority agrees to sell the for the price and terms and 0 property for the price and conditions set forth above. terms and conditions set forth above. SELLER: BUYER: ANDOVER EcbMONIC DEVELOPMENT DYNAMIC SEALING AUTHORITY TECHNOLOGIES, LLC By: By: Michael R. Gamache, President Its: By: James Dickinson, Executive Director By: Its: 403372_8 0 10 0 OPTION AGREEMENT THIS OPTION AGREEMENT is made and entered into this day of , 2008, by and between Andover Economic Development Authority, a body corporate and politic, 1685 Crosstown Boulevard N.W., Andover, MN 55304 (hereinafter referred to as "Seller"), and Dynamic Sealing Technologies, Inc., a Minnesota corporation, 13941 Lincoln Street N.E., Suite 100, Ham Lake, MN 55304 (hereinafter referred to as "Buyer"). WHEREAS, Seller is the owner of real property described as: OPTION PROPERTY: Lot 3, Block 3, Andover Station North, Anoka County, Minnesota. AND The east 35 feet of Lot 2, Block 3, Andover Station North, Anoka County, Minnesota. together with all hereditaments and appurtenances thereunto belonging or in any way appertaining (hereinafter called "Option Property"); and WHEREAS, Buyer desires to obtain and Seller desires to grant an Option to Purchase 0 said Option Property. NOW, THEREFORE, in consideration of the below-described Option payments and other good and valuable consideration paid by Buyer to Seller, the receipt and sufficiency of which are hereby acknowledged, it is hereby agreed as follows: 1. , ODtion. Seller hereby grants to Buyer the exclusive right and option to purchase the Option Property for the price and on the terms stated herein and as stated in the attached Purchase Agreement. All option consideration to be paid under this agreement shall be by certified check, cashier's check, or bank money order. 2. Exercise of ODtion. The option contained in this agreement, if exercised, shall be exercised by the execution and delivery of the attached Purchase Agreement as described below. 3. Price Adjustments for Eminent Domain Takine:s. for Public ImDrovement Projects. Between the date of this Option Agreement and the date upon which Buyer exercises the option, the purchase price is subject to increases or decreases according to the following: A. Eminent Domain. If any portion of the Option Property is taken in eminent domain proceedings, the price of the Option Property parcels affected by the eminent domain proceedings shall be reduced only by the actual net proceeds received by Seller in 0 the eminent domain proceedings. For the purposes of this Agreement, "the actual net proceeds received by Seller in the eminent domain proceedings" shall mean the gross 0 amount of the eminent domain award, whether by court order or stipulation of the parties, less Seller's actual attorney's fees, court costs, appraiser's fees, surveyor's fees, and all other costs attributable to Seller's defense of an eminent domain proceeding. I B. Special Assessments. If any portion of the Option Property is encumbered by special assessments for any public improvement project by any governmental entity or public utility having assessing powers, provided Seller has paid for the improvement to the Option Property made pursuant to the Development Agreement with the City of Andover, the price of the Option Property parcels affected by the public improvement project shall be increased by actual amount of the assessments which become levied, undeferred, and actually paid by Seller prior to Buyer's exercise of an option. Buyer is assuming all special assessments which are levied or pending as of the date of Buyer's exercise of an option, regardless of whether or not the special assessments have been certified for collection with real estate taxes. 4. Option Described. Subject to the term the price adjustments of paragraph 3 above, the option is as follows: Seller hereby grants to Buyer the exclusive right and option to purchase the Option Property for the price and on the terms stated herein and as stated in the attached Purchase Agreement. 0 A. Exercise of Option. This Option, if not sooner exercised or extended, shall expire at 11:59 P.M. Central Time, on July 31,2009. This Option shall be exercised by: (1) Buyer affixing its officer's signature to four original copies of the Purchase Agreement, and, (2) Delivering all four original copies of the Purchase Agreement to Seller together with Buyer's certified check as earnest money in the amount of $5,000.00. All option payments made pursuant to the terms below are not refundable in the event Buyer fails to exercise this Option. B. Option Consideration. As consideration for the grant of this Option, Buyer shall pay to Seller at time of execution hereof the sum of $10,000.00. All Option payments made are not refundable, however, in the event the Option is exercised by Buyer, this Option consideration of $10,000.00 shall be applied against the purchase price at the closing on the Option Property. 5. Restriction on Assismment. Buyer may not sell, assign, or convey its rights under this Option Agreement nor enter iI)to any agreement to sell, assign, or convey its rights under this Option Agreement without the express written consent of Seller. Seller's consent may be withheld for any reason. Buyer may not mortgage, hypothecate, pledge, or otherwise encumber its interest in this Option Agreement 0 2 0 6. Restriction on Recordin~. A Memorandum of the Option Agreement may be recorded in the office of the Anoka County Recorder. The Purchase Agreement attached to this Option Agreement shall not be recorded in the office of the Anoka County Recorder. In the event the Buyer does not invoke the Option by July 31, 2009, Buyer agrees to execute a Quit Claim Deed (if requested by Seller) or other appropriate document to note it no longer has an interest in the Option Property. 7. ODtion Consideration and Title Warranties. All option consideration paid and received under the terms of this Option Agreement and extensions hereto is not refundable under the circumstance whereby Buyer exercises an option but fails to close on the purchase. Buyer has not examined a title insurance commitment to the Option Properties prior to entering into this Option Agreement and will not receive or review a title commitment on the. Option Property until exercising the Option in accordance with the attached Purchase Agreement. In the event that a title matter occurs as of the date of closing on Buyer's purchase of any of the Option Properties, which title problem is unable to be timely resolved by Seller according to the terms of the purchase agreement's provisions for title remedies, then Buyer shall be entitled to a refund of the earnest money paid .at the time that the option was exercised, and a refund of the option consideration. 8. Ri~ht of Entrv and Ri~ht of Possession. By this Option Agreement, Buyer does not acquire any right of possession of the property nor does Buyer acquire any right of entry, license, or easement. Seller will consent to a case-by-case right of entry for Buyer and/or 0 Buyer's agents, surveyors, engineers, and site evaluators for testing, measuring, and evaluating purposes provided that the following conditions are met: A. There shall be no excavating or earth-moving and no tree removal. B. Buyer independent contractor's (surveyors, engineers, and site evaluators, etc.) shall, prior to entry on the land, deliver to Seller's attorney proof of independent contract with Buyer and a waiver oflien rights in a form satisfactory to Seller's attorney. Buyer agrees to indemnify and hold harmless Seller and the title to Seller's Option Properties from any and a1lliens, claims, liabilities or charges incurred or caused by Buyer's contracts with surveyors, engineers, and site evaluators, etc. ANDOVER ECONOMIC DYNAMIC SEALING DEVELOPMENT AUTHORITY TECHNOLOGIES, INC. By By Its Its 0 403349_3 3 ~'l't.AT /if41'1\ P I ) :R STA TION NORTH bJr Crlur 34. , l I illI~ t ~ ~- I ...- . ./ .... ..., ~ ,... . .--.. ~ 1..-'-'-'-'-'-" ~ ....... ,.., I . ./ .... ""'-0....--. . ,.,--11. U. ",.. sn/4 .,... ~ ., 51& oK z: .a .. M . . ! " .s: u.. ", Me 1IEI,h- ., lite ~ ., _ oK z: .a .. M l ,/ OUTt.OTA -.-.-.-.-. ..... ., -- \ /0-''--'. . ~ \ .... - --c:----i---- - l ,/ OUTLOT ~ ~- . ) ,-, -..' 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WWW.CI.ANDOVER.MN.US TO: EDAPresident and Board ~ Cc: Jim Dickinson, Executive Direct FROM: Will Neumeister, Director of Community Development ~ SUBJECT: Purchase Agreement (Blue Fin Pool & Spa) DATE: April 1, 2008 INTRODUCTION The EDA is asked to review and approve the final form of the purchase agreement for Blue Fin Pool and Spa to buy a portion of the lot directly south of Louis Rudnicki's parcel (where Northpoint Plaza is located). See attached Plat Map of Andover Station North for the site. DISCUSSION The Purchase Agreement indicates a purchase price of $6.50 per square foot for the land excluding the street easement (price includes the park dedication fee). The staff has been negotiating with the buyer 0 and a key deal point is that they want to be the end-cap of the shopping center. They are not interested in buying the property unless that happens. This is supported by staff, but means that the center will not be extended unless this buyer were agreeable to that, which at this point in time is not acceptable. The remaining vacant lot could either be home to a free standing restaurant or another small strip retail center of up to about 10,000 square feet. They have agreed to buy an additional ten feet of lot and hold the building back 10 feet from the lot line to meet the normal building setback requirements. The agreement indicates the EDA will pay a 3% representation fee (commission) to Merit Custom Homes, Inc. for their work in bringing this buyer to the EDA. ACTION REQUESTED The EDA is asked to review the Purchase Agreement for Blue Fin Pool and Spa and authorize the EDA President and Executive Director to sign it. Respectfully submitted, Will Neumeister u4- Attachments: Purchase Agreement Plat Map of Andover Station Cc: Scot Brenner, Blue Fin Pool & Spa, 3603 Round Lake Boulevard (Suite 101), Anoka, MN 55303 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 Blue Fin Pool and Spa, Inc., a Minnesota corporation, 3603 Round Lake Boulevard (Suite 101), Anoka, MN 55303, and/or their assigns ("Buyer"). 2. OFFERI ACCEPTANCE. Buyer agrees to purchase and Seller agrees to sell real property legally described as follows: The north 100 feet of the following described parcel (Property): That part of Lot 5, Block 3, Andover Station North, At:1oka County, Minnesota, lying south of the north 195 feet thereof; and together with a cross easement agreement for driveway purposes over the adjoining parcel to the south, as generally shown on 0 Exhibit A attached hereto and made a part hereof 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. 4. PRICE AND TERMS. The price for the real property included in this sale: Two Hundred Ten Thousand and 00/100 Dollars ($210,000.00). This price includes $190,909.09 for land and $19,090.91 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 Two Hundred Five Thousand and 00/100 Dollars ($205,000.00) cash on or before July 15, 2008 ("Closing Date"). In the event that Buyer has not completed its due diligence by June 30, 2008, Seller will consider extending the Closing Date an additional sixty (60) days if the 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 fmancing, and has proven that they are fmancially capable of completing the purchase. If Buyer cancels this Agreement in writing at any time during the due diligence period, including the 0 potential sixty day extension of the Closing Date, Buyer's earnest money shall 1 0 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 to Buyer. The purchase price is based on a lot size estimated to be 32,482 square feet of gross area (once the property is [mal platted as a 100 foot wide lot). The price herein represents a net per square foot price of $6.50 ($5.85 per square foot for property inclusive of all assessments/water and sewer area charges and a $0.65 per square foot for park/trail dedication fees). The gross area of the lot does not include the area of the cross access agreement. Said price includes the land price, park dedication fees, all water and sewer area and connection charges for the initial building construction, and all assessments for street, curb and gutter, sidewalks, storm sewer, sanitary sewer, and water main assessments. 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 0 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, 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. (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. 0 2 ::> (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 25 below. (h) Seller acknowledges that Andover EDA will allow the Buyer to occupy one tenth of the multi-tenant sign currently located at the NE comer of Bunker Lake Boulevard and Ibis Street. (on both sides of the 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 SIgn IS covered by an agreement that covers the on-gOIng costs/maintenance responsibility of the sign. It indicates that it shall be the responsibility of all owners of the portions of Lot 5, Block 3, Andover Station North to bear on a proportionate basis. Said agreement prohibits all owners of buildings on said Lot 5, Block 3, from using the Andover Station North area identification sign. m Seller acknowledges the Buyer will initially build a 4,800 to 7,150 square foot Blue Fin Pool and Spa store on the subject property. When a ~O future building expansion is needed, the expansion plans will need to be presented to the EDA for architectural approval. Expansion will be allowed provided the matches the architecture of the existing building and meets all building setbacks and city code parking requirements. At the time of any future expansion, the Buyer will need to pay the new connection charges (at building permit issuance). Only initial area and connection charges are covered in the initial purchase price. 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 and, should Buyer terminate this agreement, Seller will promptly retum all earnest money to Buyer. If any of the foregoing contingencies have not been satisfied by the date of dosing, Buyer may postpone the date of dosing up to 60 days to permit more time for such contingencies to be satisfied. 6. DEED/MARKETABLE TITLE. Upon performance by Buyer, Seller shall execute and deliver a Warranty Deed conveying marketable title, subject to: A. Building and zoning laws, ordinances, state and federal regulations; )0 3 :0 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 w~ich do not interfere with Buyer's intended use of the property; E. Declaration of Covenants filed 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 (all of 2008) shall be entirely paid by the Seller. Seller shall pay on the Closing Date all special assessments for 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. ~O 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 conceming 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 fumished 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 (the "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 Property or any part thereof is not located within a wetland or area that has been designated by the Federal Emergency Management Agency, the Army Corps of Engineers or any other governmental agency as having or being subject to special flood hazards or shall, in the altemative, identify and ~O designate such areas and certify the gross acreage of such areas. 4 ;0 (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. Such obligation shall include the sanitary sewer connection fee, sewer availability charge and water unit connection charges to be paid at the time of the initial building construction. 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 cause all cross access agreements to be in place to provide ingress and egress to the property from Ibis Street and 138th Lane. The Buyer will not be allowed direct access to Ibis Street, access must come from adjoining properties. (d) Seller shall be responsible for the costs of extension of sanitary sewer and water line to the south edge of the Property. (e) Seller shall allow the Buyer to place Class V granular aggregate on the parcel to the south to allow delivery trucks to cross the lot and exit the site. This cost shall be the Buyer's responsibility to put in and maintain. 9. BROKERAGE. The Seller agrees to pay a 3% "Representation Fee" ~O to Merit Custom Homes, Inc. upon successful closing of the Property. - 10. 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 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 ~O no actual knowledge that any condemnation or eminent domain proceedings 5 ;0 have been commenced or threatened in connection with the Property, or any portion thereof. (d) ( 1) The Property (A) is not subject to any private or govemmental 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, 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 defined). (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 ~O 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 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 goveming 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. ~O 6 c'~ (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 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); (iii) 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. (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, :0 including engineering reports, soils study reports and environmental studies or 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 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 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 JO 7 0 Buyer heretofore or hereafter made, and shall survive Closing and execution 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 that will tie into the adjacent Northpoint Plaza with a proper dividing wall and the first phase of the building shall extend up to the south property line. This will enable the building to potentially be extended in the future. The building shall be built of materials and design that matches that of the adjacent Northpoint Plaza and follows the Andover Station North Design Guidelines (unless deviations are allowed by the Andover EDA). Buyer's obligation shall survive the closing on this transaction. (b) Buyer shall be allowed to put windows along the south wall of the building. The retail center can not come closer than ten feet to the south property line in order to meet all setback and building and fire code requirements. (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 hereby 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. Should Seller reject either Buyers preliminary or final site plan, Buyer may elect to terminate this agreement and Seller shall promptly return all earnest money to Buyer. 12. 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. 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, furnish an Abstract of Title, or a Registered Property Abstract, certified to date to include proper searches covering 0 bankruptcies, State and Federal judgments and liens. Buyer shall be allowed 8 0 30 business days after receipt for examination of title and making any objections, which shall be made in writing or deemed waived. 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 mariner 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 0 title marketable but the 120 day period expires without 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 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; C 9 0 (2) Rescission of this Purchase Agreement by notice as provided herein, 1n 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 attomey'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 0 notwithstanding cancellation. 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 attomeys' 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 by certified mail, 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 govemed by the laws of the State of Minnesota. 18. WELL AND FUEL TANK DISCLOSURE. Seller certifies that the 0 Seller does not know of any fuel tanks or wells on the described real property. 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. DRIVEWAY CONSTRUCTION AND MAINTENANCE/SHARED PARKING AGREEMENT. A. All necessary parties shall enter into a shared drive maintenance agreement prior to closing, covering the previously established cross access agreement with Boulder Point LLC on the site to the north, and the City of Andover EDA for the site to the south. All future access maintenance costs for use of the existing driveway and access out to both Ibis Street and 138th Lane shall be shared by, and be the responsibility of, Buyer and the owner of both adjacent sites (the balance of Lot 5, Block 3, Andover Station North). B. The owners of all properties in Lot 5, Block 3, Andover Station North shall enter into a shared parking agreement prior to closing, covering the 0 details of how they will be entitled to allow overflow parking on their property to use the parking stalls of the other property if it occurs only occasionally. 22. 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. 23. PLAT APPROVAL. Seller shall obtain City approval of a preliminary and final plat to subdivide Lot 5, Block 3, Andover Station North into the 100 foot wide parcel that is suitable for the layout of the building and parking lot as anticipated by the parties. In the event the City does not approve the lot subdivision with a 100 foot lot width, this purchase agreement cannot be fulfilled and all earnest money will be retumed. 24. RESTRICTIVE COVENANT. Buyer acknowledges that there is a restrictive covenant on the southem 303 feet of Lot 5, Block 3, Andover Station North that they will agree to abide by. 0 11 0 25. CLOSING AGREEMENT. Seller and Buyer shall execute a Closing Agreement at the Closing addressing all issues described at Sections 11, 21, 22 and 23, and any other necessary issues. 26. BINDING EFFECT. This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and aSSIgns. 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 ECOMONIC DEVELOPMENT BLUE FIN POOL AND SPA AUTHORITY INC. By: By: Michael R. Gamache, Its: President 0 By: James Dickinson, By: Executive Director Its: 0 12 I I C2008 RLK INC. 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I' &"" : -/:. ~J ,~~ .., I ~ lie 8 '~.,..... ~ . Hi!! - - 0; .'.', ~~ I ~... ... '-:..;. ~" ~ I ~~~ O. ~ I' . I----)~ - ........-- '-----."-T i!; i!; · I . . '" l!l '" I \ !i ~ ~~ ~ 15 . 'll I .. ~ Z~ ~ ~ .... II') .., ii.~ .- ~ ~~ lii~ ~~ ~~ ~ \l) co W.:l :::~ ~. ~ g ,,~~ ~~~ ~ "v,'~ CCl~"f "':oI-~ F:;; '':,~. " ~. 'll ~ ~:"'Q) (I)" r~ . <...... ~~dl g~ illC~ ~ ~.... 2 ")c", ,ie lrf<:~: a :g ~Cl ... a to.s ~ 60,311 Sq.Ft. ,..:. .... ! "'" _2 ~ 1.385Ac. ~ ~ j ~ i V /5'1>5 p 5/S' 57~1 / ""'~ l, ./ I ,_/ /' I 4D I I "'....1,. '...... ~~ 7~~~~~~~~dm~7~MT~~~1~~~_____________ ..._......e:.;_ 306.45 N88'S'31"'W _ _ BUNKER LAKE ~BOU~~t~t~~~lit~~_AJE .ttJ,2n,HY!,1,!:/NO.~ 116)~ : \ 371.08 f - - - - 6 \ N88i8'3rw i ~ '? ~~: ::..::....=:-~~------s I~~ .Q~ 5~~ 4 Block;! ~~f:A.71f!;!/!(JR1H ~ ~ ~ J ~......,."..-.. L:-'.:'..~: =~'..)'.."'~_::'::-":--:':"'" J ~8 -- 1 ~:z ~ - -', -----------_1 _ __ I ----------Cmlter lin~ of Bunker LoKI! Boukllt1l'd \:==-1 _ _ "-- i -- -- -- ,- -- 1- _ J S. J./nl! of thl! SEl/41 of the NEt/4 of ~ .34. T. .32. R. 24-" I I I I I I I I I I I I I I I ~ I O 7 (CDlli'!TY;, : t''. : =: P.:U Hi(,H\:..:..:.,':' ..v. : :::; ~ I I I I I I I I I I I I I I -.~ - -..- - - r - - - - - - - -I-L -- .. -~ I ;; .:. :,;~/ r~:,:::,; I ... I . ............... I. ........."'r"......, '_""11' """ I I........... ....... C I T Y o F (3) 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 Director FROM: Will Neumeister, Director of Community SUBJECT: Purchase Agreement (Golden Eagle II - Dry Cleaners) DATE: April 1, 2008 INTRODUCTION The EDA is asked to review and approve the fmal form of the purchase agreement for Laura Heppner to purchase a portion of the lot located directly north of the Foundation Hill Day Care/Montessori School. See attached Plat Map of Andover Station North for the site. DISCUSSION 0 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 SUbmitt~...L. 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. OFFERI 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 half of 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's does not have right to utilize soil from the existing stockpiles currently located on the property . Those stockpiles have been committed to fill the low areas on the south half of the lot. 4. PRICE AND TERMS. The price for the real property included in this sale: Two Hundred Twenty-five Thousand and 00/100 Dollars ($225,000.00). This price includes $204,545.45 for land and $20,454.55 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 Two Hundred Twenty Thousand and 00/100 Dollars ($220,000.00) cash on or before July 15, 2008 ("Closing Date"). 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 the 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 0 financing, and has proven that they are financially capable of completing the 1 0 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 to Buyer. The purchase price is based upon a site estimated to be a net area of 50,000 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. After a 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. 0 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 governmental 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, 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. 0 2 0 (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 comer of Lot 5, Block 3, Andover Station North; and One along Hanson Boulevard on the NE comer 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 0 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. (j) 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 to: A. Building and zoning laws, ordinances, state and federal regulations; 0 3 0 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 f1led 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 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. 0 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 conceming 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 fumished 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 (the "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 Property or any part thereof is not located within a wetland or area that has been designated by the Federal Emergency Management Agency, the Army Corps of Engineers or any other governmental agency as having or being subject to special flood hazards or shall, in the altemative, identify and 0 designate such areas and certif:y.the gross acreage of such areas. 4 0 (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 represents and warrants to and covenants with Buyer that: (a) Seller is the owner of fee simple title to the Property and that Seller 0 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. (d) (1) The Property (A) is not subject to any private or govemmental 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, is not 0 5 0 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 defmed). (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 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. 0 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 goveming 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 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 0 the Property for any assessment, annexation fee, payment, donation or the like, 6 0 (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 government 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 both drive-up window and processing 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 assessments in pos~ession of seller. m 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 0 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 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 without further liability by giving written notice thereof to' Seller, in which event the earnest money shall promptly be returned 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 and delivery of the General Warranty Deed for a period of twenty-four (24) months after the Closing Date. 0 7 0 II. 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 Property in "AS IS" and "WHERE IS" condition with any and all faults, except as specifically provided in this Agreement. Seller hereby 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. 0 12. DISCLOSURE OF NOTICES. Seller has not received any notice from any govemmental 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, 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. 15. TITLE CORRECTIONS AND RRMRDIES. 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 0 day period. Liens or encumbrances for liquidated amounts which can be 8 0 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 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 0 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 provided herein, m 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 attomey's fees, as permitted by law; 0 9 0 (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 bylaw: (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 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 attomeys' fees; 0 (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 govemed 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. 19. INDIVIDUAL SEWAGE TREATMENT SYSTEM DISCLOSURE. Seller certifies that there is no individual sewage treatmeht 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. 0 10 0 21. DRIVEWAY CONSTRUCTION AND 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 bituminous 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 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, 0 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. 22. 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. 23. 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. 24. CLOSING AGREEMENT. Seller and Buyer shall execute a Closing Agreement at the Closing addressing all issues described at Sections 11, 21, 22 and^23, and any other necessary issues. 25. BINDING EFFECT. This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and 0 assIgns. 11 0 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 By: James Dickinson, By: Executive Director Its: 0 0 12 INC. ~" Prelirninary Plat 0 ~ 0 ANDOVER STA TION NORTH 3RD ADDITION Andover, lVIinnesota Ando..... Economic ~ Development Authority -----1hls area is subject to 0 restriction as to water extroctIOn-----_~:a: ,~ ,,'(/ I ~ ' ~ ('..... (Per Document No. 1435344 & '--', / ,..., ~ ............ Per Document No. 1450970) '" <_',-, ........-..-:::...-- - --- ...~ '-' ,~.. ^ ..... ~ - ............ _____ ,. <.A,',.. I~ .................... ~ ..,....,...' "" -............ ~' ~ "'... -:...., ..., ~ " I,; \of 1- I " ... '"l''' ~ ,-, \\ ' I ~ \_' ,,'" " .....1 ", '" ' , , , ,- " \ , " - ,'1/' "" . ( , , " Andover Economic ......1.. Development Authority ','I,'A. '\ {Gal . . " ' /1/ _ <, ' / ., , ,-'......., \ <, , t 1'''', , ,A<y' -, #' J730 \ ('."J ,,'" ., , ,l ", ,-, , " ~iI' ' I _ '-' .' \ / ,(.......",1 <~S.. 1 , 1.33 Ae. / 0 " , 57,957 Sq. Ft. /::1 - '\ ... \."\~"'\ !P 'v/ " '\ \ \...J ... / , '--- "'\ :.)... '\ ",_-r -' .. I~-:\'(" ~ II ';1 ~ .. '\_\~:~'~ \,0- ,,~ .g ./ <-L... ,., \...~ ,-I , . :-.. \ ..<.(~/" / - , ,-, -. / ' , .....:.::) - .,' / . , " , :.).. .. / 2 , 0.93 Ac. .. "'~'~ / - - 40,689 Sq. Ft. ..\...~ . / -- .~ ... <,... '\ , A ..(' ~...i.:Y':....Y'..." / ,<" V .. - .. r-,~: ~!t) /1[6 - , , (( , I \ '\ J ...- ...'f."" ( - , , / ,-,'t .. :' ," {:). , --, ,\~......'_I ' ~cl . . / ~ \ ~).. ,,/" / - \.......... " '\ ...<' ,'_I / ...<' ,~.. '- ' Andover Ec:cnomic ~ OewiGpment Authority , , , / ( , , {Gal -:J ., , .., .., ,/' / / < ...('~ ,,_ ....J L_ < .. .." / - .....\ ...~.. \ " . ('-,'_1 C I T Y OF @ 0 NDOVE 1685 CROSSTOWN BOULEVARD N.W.. ANDOVER, MINNESOTA 55304. (763) 755-5100 FAX (763) 755-8923 . WWW.CLANDOVER,MN,US TO: EDA President and Board ./ CC: Jim Dickinson, Executive Directot FROM: Will Neumeister, Director of Community Development ~ SUBJECT: Quotes for Area Identification Sign(s) DATE: April 1, 2008 INTRODUCTION Over the past two months, staff has been working with three sign companies to obtain price quotes on the sign(s) for Andover Station. Staff saw the proposals from each sign company and decided that maybe another sign design could save some cost. Therefore the EDA now has a couple of different designs and materials to consider. See attachments for details and costs. 0 Input is needed from the EDA relative to which design they prefer Also, attached is a quote from a local company for doing the footings/brick/block work. Provided the EDA gives approval, staff would like to get underway with building the sign along Bunker Lake Boulevard. Louis Rudnicki was informed about the sign proposal and he was wondering why it was so large. It was explained that the internal sites in Andover Station North have been promised a sign space I on two signs. To accommodate all nine sites and have the sign faces readable for those passing it was determined this sign size was needed. Mr. Rudnicki felt a smaller sign should be built. This issue surfaced about four months ago when we first discussed with the EDA what was needed. Staff still feels that this sign size is needed, however, it is still open for discussion, since no contract has been signed. ACTION REOUESTED Staff would like the EDA to provide input on which design they prefer (including size) and whether to accept any of the proposals so that we may proceed to writing contracts to get the sign construction underway. Respectfully submitted, Will Neumeister .~ Attachment: Sign Quotes Cost Comparison Chart Alternate Sign Design 0 Cc: Louis Rudnicki, 2711 Dahlia Street NW, Oak Grove, MN 55011-9319 This spread sheet breaks down the proposals to compare what each is offering: 0 P.M. COMPANY LEROY LAWRENCE ARROW CONCRETE (Tony Howard) Optional - Aluminum Pole Did not quote $49,980 Did not quote NA Wrappers Masonry work $21,231 $29,310 See below $24,114 Sign Faces $15,473 $68,215 See below NA TOTAL $36,704* $97,525* $42,170 NA Alternative - More Inexpensive $28,047 Did not quote Did not quote NA Sign Design *Sign fees are not included in the quotes. The EDA will need to pay those separately when the permit is pulled. 0 0 0 Lawrence March 18,2008 Win Neumeister ASign City Of Andover Re:Signage proposal for Andover Station North ~ Signh.,.-eirtafIer ~ .Ie)CI$ CompQny, propo$eS Ie) fumlsh for ftIe above named custom.,.-. lt$ein(lfier referred Ie) os CUSTOMER. the ltems described.belOw. subject 10 ftIe terms andcondlfiolls set forth h.,.-eln. LalNren~e Sign proposes to provldl!t labor and materials ne~essary to survey, design, fabrleafe and Instanfhefonowing sign types: ODtion 1 One(n Uluminatedpylonsian 25'tall. PYlon will have aluminum Dole wraooersand accents oaintedtomatch customerseolor SDees. PylQn wUl have one (1) double faced mufti tenant cabinet 15"" tall X 7'S" wide. Top double faced a1J1111inum cabinet wUl have copy "Andover Sfatlon" routed out of face and backed with white plex; Logos wUl be oJ ~hannel construction with whlteplexfaces with vinyl graphics appBed to the surface. Logo wUt be flf with whit LED clusters. (See attached drawing labeled Option 1) ~ Price: $4'~980+ Plus PennltFees 00tion2 One (1) iUuminatedDYlon sian 25'tall with foundation readv for block and briek to be orovid d by others. S1tewDl be excavated and steel poles will be set in concrete.. Pylon wUl have one (1) double fa~ed I1JVItl tenant. ~ablnef 15'9".taDX TS"wlde IIf Wlthfluorescenf robeS. Top double faced aluminum coblnef Will have copy "Andover Station" routed uI Of face and ba~ked with While pJeX. LogOs Will be oJ channel canstrucfionwith white pIex faces WIth vinyl grophlcs 0 oppliedtothe surface, Logos.1lIriJI bellf WIth white lEO c""'sters. (See oIfacbed drawlngl~eJed OpIIott2) ~ Prlee: $68,215 + Pennit Fees (BIoclc and Masonry byOlheIS) ODflon3 One (n iDuminated oYlon sian 25"all with block and masonry orovided.slte wlObeexcavated Ond steel poles WID beset In concrete,PyIon wjllhave one (1) double faced multi tenant cabinet 15"" tall X 7'5" wide IIf with fluorescenttubes, Top double faced alurninumcablnet wmhave copy -Andover Station" routed out Of face and backed with white pJeX. LogO$wmbe Of chonnel construction WIth while p1ex faces with YinyI graphics applied to the surface. Logos wm be (If .wiftJ white 1$ clusters. (See oIfo~beddrawlng Iobeled Opflon2) ~ Price: $'7 .525 ~. Pennlt Fees PrImary EIeclrtcal Connections Provided bv otherS on All ODlions Electrical reaulremenls: All sigl1SuflTlZi\1g neon or LED requite primary elecflicol service with a dedicated ground from the electrical servicepdhel. BecJtical specilications unique to this project will be provided. Terms: . 5Q% downppYment to begin the permit process and fabrication of the ctlstom work desc:nbed above with progress bilfings as results exceed deposit amount. Balance due upon receipt.Warrantv: AD signs manufactured by lowrenceSign corry an 011- inclusive warrantY on labor for one Year. Matthews's points, 3M PonotIex. and 3M vinyls ore WOlTonted by the monlJfocturer for five yeCJtSz.lighting components ore WdlTantedas follows: AUorescent lamps = 30 days. Neon = one yeaG Red lED=jjveyeors (by manufacturer), White lED = four years (by monufacfur~r}ThIs DroDO$al does not Include: Cost of permits. elecJticalconnections. finished landscaping. sprinkler systemrepoir, or adcfltionalinstollationchorges reIoted to encountering rock. buried debris, winter conditions, or encountering $feel structure within. the wall at the 10<::0fi0n Ieffers ore to be mounted. The conftacf.. oR COndlllolU asnoted.lsh~ accepted by bofh parties. CUST~R LAWRENCE SIGN. 1He. 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MAINTENANCE. SERVICE. INSTALLATION February 5, 2008 City of Andover 1685 Crosstown Blvd Andover, MN 55304 Attn: Will Nuemeister RE; Andover Station Pylon Signage Dear Will 0 Please review below quotation & attached layout per your request Base & Footing & Block work per print $21,231.53 DfF interior lit sign per print with top section non-lit with lit logos installed between brick work & attached to steel set by others $15,473.19 Above does not include primary electrical run to sign or final primary connections, price also does not include city permit fees. Please call with any questions on above or attached Thank you, 0 6325 Welcome Ave. N. . Minneapolis, MN 55429 Office: 763-535-0080 . Fax: 763-533-2593 TENANT TENANT TENANT TENANT 25 ft - 0 in TENANT cabinet inset TENANT 7 ft - 1 in TENANT TENANT Front View Side View SPECIFICATIONS: 9 panel tenant freestanding brick/block monument sign / DF f10urescent backlit tenant cabinet / LED / neon backlit 3 ft logos t' ~~~' SAlfSPERSON, OPTION 2~' . '6325WELCOMEAVU Koj Reiter : , - MINNEAPOLIS, MN 55429 - . " ./ p, 763-535-0080 F]63-533-2593 lOCATION, S I G N S Andover, Mn <?;i!f'<"- -"--'-."'-"---" . , .~ --~-:?161l-~-;;'-'__1LT' -...,,-.-...... ..,.,''''--''--~~,_....- -"'~--"-'" ."-K. _ =~eiie.ii_~~-::::~=: . 0 0 0 0 P.M. INC.! CCM INC. CONCRETE & MASONRY 3825 197TH AVE. N.W. ANOKA, MN. 55304 CONTRACTORS LICENSE #2149 PROPOSAL DATE: = 3/25/08 PLAN 1.0. FREE STANDING BRICK & BLOCK MONOMENT SIGN ESTIMATE FOR: CITY OF ANDOVER LABOR &. MAT. FOOTINGS PER SPECS & PLANS = $5,254.50 PER SIGN WITH RE BAR. ALL #4 CO NT. = BLOCK & BRICK PER SPECS & PLANS = $18,860,00 PER SIGN DOES NOT INCLUDE = INTERIOR STEEL PIPE FRAME PER DRAWING $0,00 DOES NOT INCLUDE = ERECTION OF STEEL PIPE FRAME $0,00 DOES NOT INCLUDE = ANY EXCAVATION $0.00 NOTE: ( ABOVE SERVICES AVAILIBLE BY CCM ON REQUEST. ) 0 TOTAL CONCRETE a MASONRY = $24,114.50 PER SIGN OPTIONS INFO: CALL PAT 612-685-2163 0 I I GJ o 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 Members ~. ~ _____ -0 CC: Jim Dickinson, Executive Director /. FROM: Will Neumeister, Director of Community Development i~ SUBJECT: Bunker Lake Boulevard Median Update DATE: April!,2008 INTRODUCTION Approximately one month ago the EDA was asked to review the quote from Prairie Restorations Inc. and no final decision was made that evening on whether the EDA would pay for that work or would the EDA assess that cost to the two property owners associations. The EDA heard at the last meeting that the associations feel it is the EDA's responsibility to pay the costs and then they would maintain the area once it is growing. We need direction from the EDA on o whether they agree to pay for this work, or if this cost will be assessed to the associations. Please be aware other incidental work will need to be included in this project, such as lane closures, and minor repairs of the irrigation system. Last fall the EDA agreed to pay for the initial clean up work and that cost was $13,500 and was not assessed to the associations. This next round of work to be done this spring will be approximately $10,000 based on what is listed above. We would like to get going on this work and need the EDA direction on who will be ultimately responsible for the new costs that are expected. ACTION REQUESTED Staff would like to have direction from the EDA whether they will pay the remaining costs or not so that we might inform the associations of what to expect as a charge later this year when the work is performed. Respectfully submitted, Will Neumeister ~ Attachments: Quote from Prairie Restorations, Inc. Minutesfrom Feb. 19,2008 EDA Meeting Cc: Erica Dahlin, Andover Station II Association, Andover Lanes, 13633 Martin Street NW, Andover, MN 55304 o Jennifer Lenhart, Andover Station Owners Association, United Properties, 6465 Wayzata Boulevard, Suite 130, St. Louis Park, MN 55426 0 Date: 1/1 0/200& An outline of the suggested materials and procedures to be used to establish prairie grasses and wildflowers ilf: the Bunker Lake Blvd Medians - -. in--And.lWeJ!;:trtinnesota -- - . -. Site size: app~a:rinuztely 22,000 sq ft A. Project Overview: l. The medians on Bunker Lake Boulevard need an attractive and maintainable solution. Establish;ne native prairie grasses in the medians will provide a long term. ecologically sound landscape that is perfectly adapted to the existing soils. Oilce established, prairie grasses will require very little watering, and will add a distinctive look to the site. 2. Each of the medians will be seeded with a solid stand of one species of native short grass prairie grass. The largest median will be seeded with little bluestem and the other with side oats grama. The smaller median on Martin Street is to be seeded with June grass. 0 3. Both large medians will have accent gardens on each end (4 total) that will be planted with sho'wy native wildflowers that are adapted to dry soil conditions. Five species of flowers will be used to provide blooms throughout the groViIDg season. A base seeding of blue grama. a very short native grass, will be used to provide ecological stability. 4. To establish this planting, the site will be treated with herbicide (twice) to kill existing weeds, mowed to remove dead vegetation, harrowed to provide a smooth seedbed, seeded with native grasses, and covered with straw erosion bl~et to protect the seeding and enhance germination. B. Site Preparation: l. Allow the site to green up, followed by an application of Roundup@ and Garlon 3A@ herbicides as per Iilanufacturer's directions. Spot treat Canada thistle with Transline@ herbicide. Allow a minimum of 30 days before disturbing the vegetation with other procedures. 2. Respray with Roundup@ if additional vegetatioR emerges during the waiting period.. Allow a minimum of 10 days before disturbing the vegetation with other procedures. 0 3. Harrow or rake the soil to create a firm. smooth seedbed. c. Seed and Seeding: l. Seeding dates shall be in the spring or summer before August lOth or in the fall between September 20th and :freeze-up. ~Z- 0 2. Once the soil has been prepare~ the grass seed will be broadcast throughout the project area - -_..._. 3. A harrowing or hand raking will1011ow to mcorporate-,D---esee-d into the suil. 4. The seed shall consist of the following sp""...cies and amounts: West MediaD (8000 sf): Side oats grama (Bouteloua curtipendu1a) ..._.........._...............4.0 lbs. East Median (13,000 sf): Little bluestem (Schizachyrium scoparium) ...._........................6.0 lbs. Accent Gardens (400 sf): Blue grama (Bouteloua gracilis) ._.___........._.....................0.5 lbs. SmaH Median (500 sf): June grass (Koeleria macrantha).............__...__......................O.51bs. 0 Note: A wheat or oat cover crop can be sown along with the native grasses at a me of approximately 25 Ibs. per acre. Wbeiltloats is an annual grass species that germinates quickly and will reduce the risk of soil erosion on the site. D. E,rosion Control: 1. Cover crop will be sown along with the native grasses. 2. Erosion blanket (S75 or equivalent) should be applied as per manufacturer's directions to the entire project area E. Plants aDd Planting: 1. Each of the four accent gardens will be planted with 90 four inch pots at an approximate spacing of 12" on center, for a total of 360 plants. 2. .From the following list a minimum of g species will be used. Wndflowers Prairie onion (Allium steO.atJIm) Prairie smoke (Geum triflorum) Pussytoes (Antermaria neglecta) Alum-root (Heuchera richardsonii) Butterfly weed (Asclepias blberosa) Rough blazing sl3r (Liatris aspera) 0- Silky aster (Ager sericeus) Showy penstemon (Penstemon grandiflarus) Harebell (Campanula rotundifolia) Prairie phlox (phlC1% pilosa) Grasses Prairie dropseed (Spotobolus heterolepis) -3- 0 F. Management: _._- _L During the first ~owing season the project area may need to be mowed to control annual weed development If i:1 <'ctosetF-caD.Opy-of-weOO-eevef-a--~~iops-,it.::slmul:d-=be- --- mowed to aid in the growth of the prairie seedlings by reducing competition. Optimum cutting height would be 4 to 6 inches (depending on wildflower species present). Mowings done 'by PRI will be billed separately unless they are included as part of the i.nstal1aIion contract 2. In years following the first growing season, management services could include site monitoring, burning, mowing, spat spraying, or hand weeding. These services should be contracted separately from the i.nstal1aIion contract Please note that management services are billed on a time and materials basis (a breakdown of cost ingredients would be available prior to contract ~tance). 3. In addition to service contracts, management consulting senrices are available upon request by calling our Services Group. 0 G. Costs: ' Site preparation (includes :;pra;ying ,1JIOll1ing, raking. harrowing) ............................ $1225 Seed aDd seeding as specified ........_........._.............................................. $1480 Straw Erosion Blanket (2450 sq yds irrstalled @ $1.20 sq yd)................ $2940 Wildftower 4" pots (360 installed @ $6.50 each) .................................... $2340 Total . .............. ........ .............. ...... ........ .............$ 7985 Note: As aD optiOJ;1, PRl will provide a follOW:-UP consn1tation approximately 1 month after the completion oftbe project (if the project was seeded in the fall, the consu}tationwill occur the following spring). The Restorationist (or salesperson) wiD meet with the project owner to assess the status oftbe project, answer any questions, aDd provide any necessary recommendations. This follow-up consultation will be provided at DO additional- cost. a Projected Management Procedures and Cost Estimates: Year Projected Management Procedures 2008 Complete site mowings to control mnual weed canopy (l or 2 mowings may be needed). 0 2009 Complete site mowings (lor 2 mowings may be needed). Integrated Plant MaDagement (IPM) - spot spraying. spot mowing. hand weeding. etc. (2-3 visits) 2010 Dormant season mow. lPM (2-3 visits) Broadleafherbicide overspray -L/- 0 Estimated r'danagement Costs Growing season 2008 (partial season) .................$600 ------- Growing season 2009.........................................$1200 Growing season 2010..........=====.==romr------ -- ------- - - ~- --- Please Dote: Management is typicaDy bilied on a time aDd materials basis. Work is billed upon completion until the site's maintenance needs are met (the yearly estimate is not exceeded without prior approval). L Guarantee: Prairie Restorations, Inc. (PR!) has a great tradition of successfully installing native landscapes throughout the Upper Midwest We feel our expertise in this industry is second to none and w~ stand 1?ehind every one of our projects. Because we are confident in. our abilities to provide you with the best possible materials and services, we are proud to offer the following guarantee: 0 On projects installed by P RI crews within the specified dates, we ""ill guarantee successful establishment within three full growing seasons, given the follClWing conditions: I. That PRI materials and PRl installation services are Used on the project. 2. That the failure of the project is not due to the acticms of others. 3. That PRI staffhas been consistently involved with the maintenance of the project (consultation with the client or direct utilization of P RI management services) from the time of germination until the end of the third growing season (i.e. mowing. spot spraying. controlled burning). This outline provides a step-by-step plan for accomplishing the restoration of this site. If successful establishment does not occur within three fUll grClWing seasons, all necessary steps will be taken to ensure the eventual success of the project, at no additional charge. For purposes of this guarantee, successful establishment is defined asfollClWs: That the presence of at least 75% of the original seeded or planted species can be found on site, and that the Overall density of vegetation is comprised of no less than 75% native species. R.cstmatiOD DUtiiDe prepared by Prairie RestmatioDs. lDc. (PRJ), PriocetOD, Milmesota .pro 0 -s- 0 Andover Economic Development Authority Meeting Minutes - February 19,2008 Page 2 TE ON ECONOMIC DEVELOPMENT ACTIVITIES 000 Larkin) - Mr. Larkin is working on fInancing and is hoping to close by SALES IN ANDOVER STATION NORTH Mr. Neumeister indicated there is.a correc . on the legal description Lot 26, Block 1; it should be lot 24, Block 1. Motion by Jacobson, Seconded by Knight, to open the pub I sales. Motion carried unanimously. Motion by Orttel, Seconded by Knight, to close the public hearing. Motion by Jacobson, Seconded by Knight to approve the resolution with the correction 0 Motion carried unanimously. (Res. 001-08) o .. BUNKERLAKEBOULEVARDMEDIANS Mr. Neumeister stated staff is looking for further direction from the EDA regarding the cost of the Bunker Lake Boulevard medians. Mr. Neumeister has been corresponding with the associations regarding this issue. The associations are not very receptive to picking up the cost of the medians and have other concerns such as the monthly and annual cost of the lighting is getting to the point that could cause vacancies. President Gamache asked for a break down of the two associates. Area A which is Andover Station II everything east of Martin Street. Area B, Andover Station everything west of Martin Street. Commission Knight suggested working with the associations about cutting the lighting cost. Mr. Berkowitz stated he's been in contact with Connexus Energy about options to reduce the lighting cost. A few of the options are shutting off every other light, a demand and energy rate and energy only light rate. He would like a meeting with Connexus and the associations within the next couple weeks. Bringing the results back to the EDA at a future meeting. Jenny Lenhart representative for Andover Station stated the association would like to see the median cost be reduced and the city to help with the cost. 0 Mike Mulroney representative for Andover Station II reported other issues in Andover Station. there is a traffic circulation and safety issue with the traffic coming east on Bunker Lake Boulevard turning on to Jay Street and cutting through the parking lot. He suggested exploring the option of a left turn access only through the median on to Martin Street. Another concern is -:6~ 0 Andover Economic Development Authority Meeting Minutes - February 19, 2008 Page 3 the planting on Jay Street causing visibility issues. Trimming or removing the plantings would help with the safety aspect. The last issue is the median on Bunker Lake Boulevard responsibility should not fall on the associations. President Gamache stated the best solution to the traffic issue would be a left turn lane coming from the east on Bunker Lake Boulevard. Mr. Berkowitz suggested preparing a drawing of a left turn lane and presenting it to Anoka County. President Gamache stated the issues to be looked at is the median cost on Bunker Lake Boulevard, talking to Connexus regarding the light cost, talking to Anoka County regarding the left turn lane from Bunker Lake Boulevard and looking at the plantings on Jay Street. Mr. Neumeister stated EDA provided good direction for staff. The item will be brought back to the EDA. 'R OF INTENT/OPTION AGREEMENT (DYNAMIC SEALING TECHNOLOGIES) 0 Mr. Neumel er stated a letter of intent and Option Agreement from Dynamic Sealing Technologies, . is being presented. They are offering $10,000 for an Option Agreement on the property, sec the property until July 31, 2009 allowing them time to decide whether to purchase the property. e Purchase Agreement proposes a price of $3 .60 per square foot for the land excluding the easeme Commissioner Orttel asked what Mr. Neumeister stated $4.00 - $4.50 per s Mr. Dickinson explained the cost incurred by the '!Y regarding the lot. Commissioner Trude suggested a closed session in the e regarding the price of the lot. Mr. Dickinson stated the EDA is fine with securing the option ement. A closed session to discuss the finer details of the price of the lot will be scheduled. S will also take the lot off the market. Motion by Jacobson, Seconded by Orttel, to adjourn. Motion carried unanimo . The meeting adjourned at 7:00 p.m. 0 Respectfully submitted, Michelle Hartner, Recording Secretary 1 ~7- C I T Y o F G) -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, Community Development Director 04- SUBJECT: Economic Development Updates DATE: Aprill, 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 fmished with construction and are putting furniture in the building. Day Care Site (Griffen 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 1 st. 0 Dry Cleaners Site (Golden Eagle II) - The EDA will review the purchase agreement tonight. MVP Baseball (John Larkin) - Mr. Larkin was given a 30-day time extension until the end of March. He is now working on new lender and understands we will begin to market this site to others. Blue Fin Pool & Spa - The EDA will review the purchase agreement tonight. Restaurant (Moose Knuckles) - Closing is set to occur on or before Aprill, 2008. He has indicated he will do that by that date. Light Industrial Building (Dynamic Sealing Technologies) - They have applied for a building permit and the option agreement and purchase agreement are on the agenda this evening (for adjacent lot). OffICe Development - Staff will begin marketing the site through the new MSP website. Staff will continue to market the site and if any of the potential buyers surfaces.we will bring forward any and all offers should they appear. Kwik Trip Convenience Store/Car Wash - They are back negotiating with Eddy's Auto Body. We will bring something to the next EDA meeting on their deal and what needs to happen next. ACTION REQUESTED No action is needed, this is only an informational update. 0 Respectfully submitted, ~ Will Neumeister