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1685 CROSSTOWN BOULEVARD N.W. . ANDOVER. MINNESOTA 55304. (763) 755-5100
FAX (763) 755-8923 . WWW.CLANDOVER.MN.US
ECONOMIC DEVELOPMENT AUTHORITY
MEETING
April 5,2005
6:00 p.m.
Conference Rooms A & B
AGENDA
1. Call to Order
2. Approval of Minutes - March 15,2005
3. Update Purchase Agreements-Caseyfframm
4. Update on Letters of Intent
5. Update Andover Station North Improvements
6. Other Business
7. Adjourn
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ANDOVER ECONOMIC DEVELOPMENT AUTHORITY MEETING
APRIL 5, 2005.. MINUTES
A Meeting of the Andover Economic Development Authority was called to order by President Mike
Gamache, AprilS, 2005, 6:00 p.m., at the Andover City Hall 1685 Crosstown Boulevard NW,
Andover, Minnesota.
Present:
President Mike Gamache, Commissioners Don Jacobson, Mike
Knight, Ken Orttel, and Julie Trude (arrived 6:24 p.m.)
Edward Schultz, and Robert Nowak
Executive Director, Jim Dickinson
Community Development Director, Will Neumeister
Others
Absent:
Also present:
APPROVAL OF MINUTES
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J March 15, 2005: Commissioner Jacobson stated he wasn't sure the design standards were approved
as stated on Page 2 of the minutes. Mr. Neumeister said they were approved as part of the Consent
Agenda. Commissioner Jacobson noted the process is unclear.
Commissioner Jacobson said on the bottom of Page 3, a motion made by Jacobson is not listed as
being seconded. Mr. Dickinson said the words "Motion failed for a lack of second" should be added.
Commissioner Jacobson stated that the middle of Page 5 regarding the discussion oflights, it is not
stated that the Commission agreed with option three. He said the consensus should be indicated.
Commissioner Ortell pointed out it does state "President Gamache stated he was fine with option
three. The Commission agreed." Commissioner Jacobson noted there should be no changes.
MOTION by Knight, Seconded by Jacobson, approval ofthe Minutes as amended. Motion carried
unanimously.
UPDATE PURCHASE AGREEMENTS- CASEY /TRAMM
Executive Director Dickinson said the proposal was sent to Mr. Tramm and he is waiting for
their reply on the purchase agreement. He said they are motivated, however the timing with
Easter and other projects have delayed their work on this.
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Executive Director Dickinson stated that Courtney Bednarz has been working with Mike Casey.
He indicated Mr. Casey will be at this meeting to present a site plan. He requested this item be
Andover Economic Development Authority Meeting
Minutes - April 5, 2005
Page 2
revisited when Mr. Casey arrives.
Commissioner Jacobson questioned the status of the project with Pov's. Mr. Neumeister said he
will ask whether they will sign. He said the Staff has gone as far as they can go. Mr. Berkowitz
said the construction can start without the agreement. However, it would be nice to complete the
negotiation. He said we have to work through Mr. Povlitzi's attorney to get things done.
Mr. Neumeister said if Mr. Povlitzi does not sign, we will work around that. He noted it is to
Mr. Povlitzi's advantage to join in.
Mr. Dickinson stated part ofthe direction is to add the small parcel adjacent to the Bruggeman
property.
President Gamache confirmed the plan is to add a trail on Pov's side. President Gamache said he
is concerned about the netting. Mr. Berkowitz noted the netting would be installed.
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Mr. Dickinson gave an update on the Bruggeman property. He said there has not been a final
closing on this, in part due to the back up in the surveyor's office. He noted City Attorney Bill
Hawkins had indicated it is a 4-week review time. He said the closing will have to be pushed out
another week or so.
Commissioner Jacobson questioned why it must be reviewed. Mr. Neumeister explained it must
be checked for errors or overlaps or omissions. He added that Bruggeman's attorney is still
looking at the DCCRs which were approved at the last meeting. They seemed to be unaware that
they would be tied into the wetland and would need to share in the maintenance cost. They are
not against it, but want to take their time in reviewing the responsibility that goes with that.
Their attorney said it is a minor issue.
UPDATE ON LETTERS OF INTENT
Mr. Dickinson stated that no additional work has been done on the Play Ventures proposal since
the last meeting. He said a memo is included in the packet and the appraiser's proposal and
noted the proposal is better than the previous one. He explained they requested a timeline of 8 to
10 weeks; Mr. Dickinson tried to reduce that, and it is now at 6 to 8 weeks and cost is down from
$8,000 to $7,500.
Commissioner Orttel inquired whether anything is happening with the south parcel. Mr.
Dickinson answered he is meeting with a developer next week.
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Mr. Dickinson stated Oppidan has not proceeded forward with anything new on their proposal.
However, the parcel next to Bunker Lake Boulevard has generated interest from another
developer.
Andover Economic Development Authority Meeting
Minutes - April 5, 2005
Page 3
Mr. Neumeister illustrated the possible proposal on the white board. He explained they are
trying to raise interest in a developer to put in a shopping center facing west. The entrance would
be off Bunker Lake Boulevard with a right in/right out. If a strip mall was built parallel to
Bunker Lake Boulevard, the back of the parcel would be blocked, which led to the suggestion of
the strip mall facing west, or possibly an L-shaped building.
Commissioner Knight clarified the business of Oppidan. Mr. Dickinson explained they are a
development company with the focus on Cub Foods, Coborns, and Gander Mountain Stores. He
added that they develop small strip centers.
Mr. Dickinson stated that he would expect that if Oppidan came in, they would only buy the back
lot. This possibly puts ownership of the front outlots to the EDA. He added that other
development ideas are welcome.
President Gamache said he believes we should stay firm on the road plans with right in/right out
off Bunker Lake Boulevard. He said the developer should be instructed to work around the
entrances as planned.
Commissioner Jacobson commented he would not like to see an abundance of cars in a parking
lot along Bunker Lake Boulevard.
Commissioner Knight mentioned that strip malls are risky with tenancy, and a poor use ofland.
President Gamache said there would have to be one main tenant. Mr. Dickinson agreed and
added that the maintenance must be kept up to keep the big tenants. He said we are still hoping
for a restaurant on the north side of Lot B.
Mr. Neumeister pointed out that going eastbound, if the left turn is missed at Jay Street, it is
difficult to get into this development. He stated the outlots would need a main tenant to draw the
traffic in. Commissioner Orttel said that this is the situation in many developments today.
Mr. Dickinson said that the new proposal would be a 20,000 square foot building, with the
developer occupying half of it. Oppidan would want the outlots consolidated into one, which
they are now.
President Gamache agreed that a big parking lot would not be as attractive along Bunker Lake
Boulevard. He said he would like to see the front face west.
Mr. Neumeister asked ifthe lot was on the west side, and there was more green space along the
Bunker Lake Boulevard side, ifthat would be more acceptable. Commissioner Orttel pointed out
there may need to be some access to the easterly lot.
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Mr. Dickinson said he has some information to work from now, with the consensus that the
building should be oriented north - south, and a lot should be on the west side.
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Andover Economic Development Authority Meeting
Minutes - April 5, 2005
Page 4
UPDATE ANDOVER STATION NORTH IMPROVEMENTS
Executive Director Dickinson stated there have been issues relating to obtaining the County
Engineer's signature, and with State Aid approval. He noted the signature has been obtained, but
the bid cannot be awarded because there is no State Aid approval yet. He expected approval
within the next half day. He said the situation would be presented to the Council later in the
evening at their meeting. This would keep the project on schedule.
Commissioner Jacobson questioned if this is for the entire road. Mr. Dickinson answered it is,
however the full intersection improvements would not be done yet. He said we had agreed that
we would not access Hanson or pursue to access it unless it is deemed necessary.
Commissioner Trude mentioned that the amount of mud and debris should be monitored so it
doesn't interfere with the existing businesses. Commissioner Orttel thought the construction
would be far enough away that it wouldn't interfere.
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/ Mr. Dickinson said they want the interchange to progress on Highway 10 and Hanson Boulevard.
However, if it is opened up, there could be more traffic than can be handled. Mr. Berkowitz said
the hope is that there would be some action on this prior to 2006.
Commissioner Jacobson questioned why the County is not contributing. Mr. Berkowitz
explained the County would say there already is proper access. The County is willing to
negotiate and make it work, and willing to build a right turn lane. The businesses would be
required to build their driveways.
Commissioner Trude asked if we could do a 5-year assessment for ABC mini storage. She noted
they are supposed to pay half, and she asked if they could do an assessment plan. She also
questioned ifthere is a concern with the cost of fuel and petroleum. Mr. Berkowitz responded
the materials have gone up, and there is concern it could go higher than the engineer's estimate.
UPDATE PURCHASE AGREEMENTS - CASEY (continued)
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Mike Casey, developer, displayed a preliminary plan. He said one ofthe problems is that there
are three separate businesses. The first space is 6,000 square feet; the center space is 15,000
square feet and the tenant wants 16,000; and the third space is 6,000 square feet. He said he had
a conversation with Mr. Bednarz regarding the number of parking stalls who agreed with Edward
Farr Architects. He noted a 40 foot clearance is needed to gain access to the back properties. As
it sits, the entire 40 feet is on the north side, making his property smaller, and making the
requirements of square footage and parking difficult. He is giving up 20 feet for the property on
the south, which would provide the appropriate clearance. He explained the other plan is a 40
foot right-of-way on the original survey. However this plan only allows 1.5 businesses rather
,
Andover Economic Development Authority Meeting
Minutes - April 5, 2005
Page 5
than 3 in the other plan. If the road goes in, it lessens the square footage. He further explained
the original letter of intent stated the size was roughly 300 x 318 feet. Approximately 409 feet is
needed in order to make all three businesses fit. He said it would be an almost even split with
316 feet on one side, and 320 feet on the other. If the lot to the east could be shrunk, it would
help. Setback is the issue and the amount of parking spaces as Mr. Bednarz advised. City Code
states 20 percent of space must be for an office/display room area. Mr. Bednarz is suggesting a
minimum of77 parking stalls, and the first plan gives 100 stalls.
Mr. Dickinson advised that enough parking should be created for future use.
President Gamache questioned the 100 stalls when only 77 are needed. He asked if some could
be omitted. Mr. Casey said they could.
Mr. Neumeister suggested using more green space against Jay Street and have the parking on the
west side. Mr. Casey said he will find out whether than can be done, as he is working off the
setbacks as Mr. Bednarz advised.
Mr. Neumeister said the building should not be too close to Jay Street. Discussion took place
regarding whether a PUD is more flexible.
President Gamache clarified that based on the information from Mr. Bednarz, the number of
parking stalls could be as low as 77. Mr. Casey answered in the affirmative. He showed another
layout with 65 parking stalls. He said once the building is put together, they will do an exchange
from their existing buildings and then go on to Phase II.
Mr. Neumeister pointed out that the site on the south side should be kept as long as possible. If it
is a restaurant, more parking space will be needed, and there would likely be parking in Mr.
Casey's lot at night. He added that the north line is not set permanently. He said if20 feet
makes a difference, that line could be moved.
Commissioner Trude suggested looking at the PUD and more green space. Mr. Neumeister said
he would rather work within the ordinance than do a PUD if possible.
Mr. Neumeister said the grading would not be impacted, but the location ofthe sewer and water
stubs would be. Mr. Berkowitz added that the grading is all set.
Commissioner Trude asked ifthe horseshoe-shaped drawing was considered. Mr. Dickinson said
it was, but it did not work.
Commissioner Trude pointed out that the setback in Andover Station was virtually no setback.
She questioned whether this type would work Mr. Neumeister said he would look into it.
Mr. Casey noted the building would be nicely landscaped to block some of the loading docks.
He said that bermed green space was also considered.
Andover Economic Development Authority Meeting
Minutes - April 5, 2005
Page 6
Commissioner Trude thanked the Staff for their creativity and flexibility.
OTHER BUSINESS
None.
Motion by Jacobson, Seconded by Orttel, to adjourn. Motion carried unanimously. The meeting
adjourned at 6:50 p.m.
Respectfully submitted,
Chris Moksnes, Recording Secretary