HomeMy WebLinkAboutEDA - February 6, 2012C I T Y O I:
ND OVE
1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755 -5100
FAX (763) 755 -8923 • WWW.AN DOVE RMN.GOV
ECONOMIC DEVELOPMENT AUTHORITY
MEETING
February 6, 2012
6:00 p.m.
Conference Rooms A & B
1. Call to Order — 6:00 p.m.
2. Approval of Minutes (January 3, 2012 Regular)
3. Arbour Oaks of Andover Senior Housing Project — Trident Development
4. Bunker /Crosstown Redevelopment Area
5. EDA Project Progress Review
6. Parkside at Andover Station Update
7. Closed Session — Property Negotiations (PIN 34- 32- 24 -12- 0048 -0052 & 34-32-24-12-0070 -
0072)
8. Other Business
9. Adjournment
1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755 -5100
FAX (763) 755 -8923 • WWW.CI.ANDOVER.MN.US
TO: Economic Development Authorit
CC: Jim Dickinson, City Administrato
FROM: Michelle Hartner, Deputy City Clerk
SUBJECT: Approval of Minutes
DATE: February 6, 2012
INTRODUCTION
The following minutes were provided by Staff reviewed by Administration and submitted
for EDA approval:
January 3, 2012 Regular
DISCUSSION
The minutes are attached for your review.
ACTION REQUIRED
The EDA is requested to approve the above minutes.
Respectfully submitted,
Michelle Hartner
Deputy City Clerk
Attach: Minutes
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ANDOVER ECONOMIC DEVELOPMENT A UTHORITY MEETING
JANUARY 3, 2012 - MINUTES
A Meeting of the Andover Economic Development Au
Gamache, January 3, 2012, 6:00 p.m., at the Andover
Andover, Minnesota.
Present:
Absent:
Also present:
APPROVAL OF
December 20, 2011, Re ---
Commissioner -Howard st
added, "Commissioner H
building_exterior along w
parking lot and moving it
MOTION by Tiude, S
unanimously.
December 20, 2011,
MOTION by Knight,
unanimously.
Commissioners
Mike Knight, h
None
City
ORGANIZATIONAL ITEMS
Jim
called to order by President Mike
1685 Crosstown Boulevard NW,
Gila (arrived at - -01 pm), Tony Howard,
Joyce Twistol and =Robert Nowak
David
_at the end of - paragraph two the following should be
►ted that -he wanted to see a substantial upgrade in the
fence line. He also commented about reducing the south
r nroverty lines to maximize the buffer."
approval of the Minutes as amended. Motion carried
as written.
by Howard, approval of the Minutes as presented. Motion carried
The current Andover EDA officers and staff appointments are as follows:
President — Mike Gamache
Vice - President — Julie Trude
Secretary — Tony Howard
Treasurer — Mike Knight
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Andover Economic Development Authority Meeting
Minutes —January 3, 2012
Page 2
Assistant Treasurer — Sheri Bukkila
Resident Commissioner — Robert Nowak Sr.
Resident Commissioner — Joyce Twistol
Executive Director — Jim Dickinson
Staff Support — Dave Carlberg
Recording Secretary— Michelle Hartner
President Gamache asked can a Resident Commissioner hold an officer position. Mr. Dickinson
answered he did not believe they could, however the by -laws could be checked.
Commissioner Trude suggested Mr. Carlberg be the Executive Director. Mr. Carlberg indicated
he would prefer for Mr. Dickinson to continue as Executive Director. Commissioner Trude
suggested Mr. Carlberg be Assistant Executive Director.
Motion by Trude, Seconded by Howard, to reappoint EDA Officers and Staff, with the change
from Staff Support to Assistant Executive Director for Dave Carlberg. Motion carried
unanimously.
PUBLIC HEARING. LAND SALE — LOT 17, BLOCK 1, PAR %SIDE AT ANDOVER
STATION
Mr. Carlberg indicated under State Statute the EDA must hold a public hearing prior to any land
sale. Lot 17, Block 1, Parkside at Andover Station is being sold to Robert and Bonnie Jones with
a closing date of February 15, 2012.
Motion by Knight, Seconded by Trude to open the public hearing. The motion carried
unanimously.
President Gamache opened the public hearing at 6:07 p.m.
Ms. Lynn Camp, 14979 Drake Street NW, Andover, indicated she is the Realtor representing
Kathryn Benson. Ms. Camp stated on November 19, 2011 on behalf of Ms. Benson she
submitted an offer for Lot 17, Block 1. Ms. Camp indicated her and her client were not made
aware of the second offer that was submitted for the property. She feels there is a better way to
have handled the situation and feels in the future all parties should be made aware of all offers
submitted to the City. Ms. Camp stated she is not sure if Ms. Benson would have made another
offer but it would have been nice to have had the opportunity.
Commissioner Trude indicated she had spoke with Mr. Ken Benson (Kathryn Benson's father)
and spoke with Mr. Dickinson who reviewed the procedure of how the other offer was received.
She stated both offers were presented to the EDA at a Closed Meeting and after viewing the facts
of both offers the second offer was better. Commissioner Trude indicated the EDA's obligation
is to take the best offer based on the facts presented. City Attorney Baumgartner indicated the
procedure was done correctly. Commissioner Trude stated she checked out the concerns that Mr.
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Andover Economic Development Authority Meeting
Minutes —January 3, 2012
Page 3
Benson had and she feels comfortable the process was done correctly.
Ms. Camp stated she feels the City acted in a legal manner. She just thinks a better procedure
could be put into place. Ms. Camp indicated there is no unhappiness from Kathryn Benson, her
father or herself over the fact that another offer came in; that is just real estate. She believes the
process could have been done a little more fair by letting them know another offer came in.
Commissioner Bukkila indicated Mr. Benson did accuse the City of not being fair and indicated
he was going to call the Attorney General's Office.
President Gamache stated the City handles land sales different than the real estate business. The
City receives the offers, instead of going back and negotiating the City takes the best offer.
Mr. Dickinson clarified that Ms. Camp's and Ms. Benson's dealings were with Bruggeman's
representative. The City's land transaction was not with Bruggeman it was with Premier Bank.
Mr. Dickinson reviewed the chronology of events with Premier Bank beginning in May of 2011.
Mr. Dickinson indicated there was a $15,000 net difference between the two offers.
President Gamache stated two offers were submitted and the stronger offer was taken.
Motion by Trude, Seconded by Howard to close the public hearing. The motion carried
unanimously.
President Gamache closed the public hearing at 6:30 p.m.
Motion by Howard, Seconded by Bukkila to approve the resolution approving the land sale to
Robert and Bonnie Jones. Motion carried unanimously. (See EDA Resolution R001 -12)
BUNKER /CROSSTOWN REDEVELOPMENT AREA
Mr. Carlberg indicated the City has received a written request and petition regarding the
operation of a U -haul business in the Bunker Lake Boulevard/Crosstown redevelopment area.
This area is zoned Neighborhood Business and does not allow for the rental business. Staff is
asking the EDA if they are interested in recommending to the City Council a change in the city
zoning regulations to allow a U -haul rental business on this property, the property is adjacent to a
redevelopment area.
Commissioner Bukkila asked if there is a U -haul representative on site to manage the rental
business. Mr. Carlberg answered he believes there is not and the convenience store owner is
renting out the U -haul trucks and trailers.
Commissioner Nowak stated this area is part of the redevelopment area the EDA is focused on.
Andover Economic Development Authority Meeting
Minutes — January 3, 2012
Page 4
1 He feels the rental business is unattractive and should not be allowed. Commissioner Twistol
2 agreed.
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4 Commissioner Trude stated she does not have a problem with the rental business in that location
5 as long as a time limit is established for the business.
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7 Mr. Carlberg indicated the zoning would need to be changed on the parcel in order to allow for
8 the rental business. He stated rental business is allowed on property zoned General Business so
9 there are properties the U -haul business could move to within the City.
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11 The property was discussed.
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13 Mr. Dickinson indicated the EDA direction regarding this issue is important since it falls in the
14 redevelopment area. He believes the business owner will want the issue discussed at the City
15 Council level. This item could also be directed to a Planning and Zoning Commission
16 Workshop.
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18 Commissioner Howard agrees to have the Planning and Zoning Commission review the issue.
19 He believes this area is not the right fit for rental business.
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21 Commissioner Trude stated she would like to see more discussion on the redevelopment plan at
22 an EDA Workshop.
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24 Mr. Dickinson indicated this was a complaint driven code enforcement issue. He questioned
25 whether this issue be directed to a City Council Workshop or is this something that would create
26 more problems in the community from an EDA prospective, if that is the case staff will work
27 with the business owner.
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29 President Gamache stated staff should let the business owner know the EDA majority is not in
30 favor of what was proposed since it does not fit the zoning of the property. He suggested staff let
31 the business owner know of his options of either trying to get the property rezoned or relocating
32 the business to another location zoned General Business in the City.
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34 OTHER BUSINESS
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36 Commissioner Twistol stated one of the duplexes on Bunker Lake Boulevard is for rent. She
37 believes this may be an opportunity to try and acquire this property. Mr. Dickinson indicated
38 staff would look into it.
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40 ADJOURNMENT
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42 Motion by Trude, Seconded by Bukkila, to adjourn. Motion carried unanimously. The meeting
43 adjourned at 6:55 p.m.
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Andover Economic Development Authority Meeting
Minutes —January 3, 2012
Page 5
Respectfully submitted,
Michelle Hartner, Recording Secretary
NDOVE• C"Y'
1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755 -5100
FAX (763) 755 -8923 • WWW.CI. ANDOVER. MN. US
TO: President and Commissioners
Jim Dickinson, Executive Director
FROM: David L. Carlberg, Community Development Director
SUBJECT: Arbour Oaks of Andover Senior Housing Project
DATE: February 6, 2012
INTRODUCTION
The EDA is requested to receive a presentation from Trident Development, LLC
on a proposed senior housing project to be known as the Arbour Oaks of Andover.
The project would be located on the southwest corner of Hanson Boulevard NW
and 155th Lane NW in the Grey Oaks development.
DISCUSSION
Trident Development is proposing to develop a 70 unit senior housing facility.
The project would include independent, assisted living and memory care units.
Trident development is requesting a subsidy from the city in the form of a Tax
Increment Financing (TIF) housing district. Under this pay as you go program, the
taxes would be rebated back to the project and would be used to reduce the rental
rates to create affordability.
ACTION REQUESTED
The EDA is requested to provide direction on the interest of the City to pursue a
TIF Housing District.
Respectfully submitted,
4—L -:el'
David L. Carlberg
PROPOSED ASSISTED LIVING
ANDOVER, MN
DESCRIPTION OF IMPROVEMENTS
The proposed project is designed to be a single phase development, offering independent,
assisted and memory care senior living apartments, consisting of 70 units situated on 3.00 acres
of land.
The building is designed as a three- story, "X "- shaped design with one hydraulic elevator. The
building will be a wood framed structure with a pitch roof and asphalt shingles. The exterior is
finished with horizontal lap siding, decorative, shake shingle siding and a cultured stone
wainscoting.
All units will be heated with a hot water, base board heat system, with individual controls.
Cooling for each unit is provided via sleeve type (thru wall) air conditioners with remote control
devices. The common areas of the building will be heated and cooled by individual gas- forced
air furnaces and air conditioning systems.
In addition to the generously landscaped outdoor area, the facility offers an inviting
community /activity room. A welcoming library/media center offers residents an area to relax
and socialize. A salon and a coffee shop are also available for residents as well as two dining
room areas to select from for daily meals. The property will have secure access entry as well as
generous exterior lighting for added security.
Each apartment style unit in the independent and assisted living areas is equipped with a full
kitchen appliance package, ample closet space and washers & dryers. Each apartment in these
areas also offers two separate locking cabinets — one for staff to use in the administration of
medications and one for the residents' personal use. Additionally, residents who choose to do so,
can wear a pendent style alert device allowing staff to maintain contact with the resident.
ASSISTED LIVING APARTMENTS
XXXX 155TH LANE NW
ANDOVER, MN
Building Description 70 unit, three story `elevator' building, 8 tuck -under parking
stalls, 49 surface parking spaces, single phase development,
porch, various offices for staff, laundry, facilities, wood
framed construction, fire sprinkled, resident call center.
Gross Building Area: approx.74,569 square feet
Unit Mix 14 studio memory care units
42 one bedroom assisted living units
6 one bedroom independent care units
7 two bedroom assisted living units
2 two bedroom independent care units
Site Area 130,680 sq. ft. approximately 3.00 acres +/-
Legal Description XXXX 155`s Lane NW /Lots 1 & 2, Block 1, Grey Oaks,
Andover, Anoka County, Minnesota
Density /Lot Coverage 23 units per acre /1,867 sq. ft. per unit net
Amenities; Community Room and Wellnes Facility
Security lighting and controlled building access
Storage spaces available for residents
Site staffed 24 hours a day
Coffee Shop
Private dining room
Salon
Commercial grade spa available
Laundry facilities in congregate and assisted living units
Independently controlled thermostats in each unit
Hydro - therapy spa
Library/Media center
Facility owned van for transportation
Social programming
Developed by Trident Development, LLC and Tealwood Management
General Contractor Lyon Contracting and Development, Inc
Operations Management Tealwood Management, LLC
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1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755 -5100
FAX (763) 755 -8923 • WWW. CI. ANDOVER. MN. US
TO: President and Commissioners
Jim Dickinson, Executive Director
FROM: David L. Carlberg, Community Development Director
SUBJECT: Bunker and Crosstown Redevelopment Area
DATE: February 6, 2012
INTRODUCTION
The EDA is requested to receive an update from staff on the redevelopment of the
Bunker Lake Boulevard/Crosstown area.
DISCUSSION
The EDA discussed at the October 4`h and November 16`h, 2011 meetings the
redevelopment of the area along Bunker Lake Boulevard NW between Crosstown
Drive and Crosstown Boulevard NW. Staff has been directed by the EDA to
monitor this area for potential acquisition by the City as properties become
available for sale.
Staff did investigate with a real estate agent the purchase of a duplex located at
2511/2513 Bunker Lake Boulevard NW. The owner wanted $250,000 for the
duplex. Duplex was purchased for $265,000 in 2004. Anoka County has the
current estimated market value for 2012 at $139,000. Therefore, the City passed
on the acquisition.
The City purchased the property at 2600 138`h Avenue NW on October 26, 2011.
The environmental assessment has been conducted to determine the environmental
issues or hazardous materials. Asbestos has been found in the floor tile in the
kitchen of one of the four units which will have to be abated prior to demolition.
The building has been declared to be structurally substandard based on an
inspection and report filed by LHB, Inc. The City Council approved a resolution
declaring the building to be substandard at their December 20, 2011 meeting which
will allow the City to include the parcel in a Tax Increment Financing
Redevelopment District and allow the City to recoup abatement and demolition
costs of the building in the future.
The City did make application to Anoka County for $200,000 in Community
Development Block Grant (CDBG) funds for 2012 to purchase and demolish an
additional four -plex in the area. The City should know in April if the requested
funding was approved.
ACTION REQUESTED
The EDA is requested to continue discussions on the redevelopment of this area.
Respectfully submitted,
�&40 ;(. 66-��
David L. Carlberg
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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
Jim Dickinson, Executive Director
FROM: David L. Carlberg, Community Development Director
SUBJECT: EDA Activity - Project Status Report
DATE: February 6, 2012
INTRODUCTION
This memo provides a brief update of all EDA activities. Further details will be provided at the meeting.
DISCUSSION
2012 Special EDA Events — "Music at Andover Station Tonight" - Staff is currently scheduling the
"Concerts in the Park" series for this summer. The tentative schedule to date includes the Oak View Middle
School Jazz Band on May 30`h, Erin Rogue on June 27`h, Bellows and Brass on July 25`h and the Andover
High School Band on August 22ad
2012 Business Appreciation Day — The date has been set for Wednesday, June 13, 2012 at "The Refuge ".
Andover Station Area Medians — No update until spring 2012.
Andover Station North — Available sites are actively being marketed.
www.MetroMSP.or and City Website — Staff continues to monitor the EDA's land sales information on
the MetroMSP website sponsored by Anoka County. We have also shown information on other commercial
and industrial lands that are for sale in Andover on both the www.metromsp.org and in the past on the city
planning department's website. Staff has updated the city's website to include and economic development
department to provide prospective businesses easier access to available commercial /industrial properties as
most parties interested look for an economic development section of a city's website if they are inquiring
about available properties/buildings.
Potential Restaurants — Staff continues to submit demographic information to potential restaurants. There
continues to be two issues facing Andover in attracting sit down restaurants. The first is not enough daytime
traffic and the second being not enough square footage of retail space to support a restaurant.
Crosstown/Bunker Redevelopment —Staff is monitoring the area for potential acquisitions as they become
available. Community Development Block Grant Funds (CDBG) funds will be used to install municipal
water service in the area of 140` Lane NW.
Parkside at Andover Station Negotiations — Closing on the sales center unit is scheduled for February 15,
2012. Staff has been meeting with builders developers on development of the remaining properties.
Retail Market Analysis
The kick -off meeting for the Retail Market Analysis is scheduled for Wednesday, February 15, 2012 at 5:30
p.m. in the Council Chambers. Andover businesses are being sent an invitation to the meeting this week. A
slide on the meeting has also been added in the "State of the City" PowerPoint presentation Mayor Gamache
will be giving on February 14`h at the Anoka Area Chamber of Commerce luncheon to solicit participation.
ACTION REQUESTED
Receive a presentation from staff and provide direction.
Respectfully s ,
Davij L. Carlberg
1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755 -5100
FAX (763) 755 -8923 • WWW.CI.ANDOVER.MN.US
TO: President and Commissioners
Jim Dickinson, Executive Direc r
FROM: David L. Carlberg, Community Development Director
SUBJECT: Parkside at Andover Station Update
DATE: February 6, 2012
INTRODUCTION
The EDA is requested to receive an update from the Community Development
Director on recent developments at the Parkside at Andover Station.
DISCUSSION
Sale of 1801 139th Avenue NW (Sales Center)
The sales center has been converted by public works staff back to a garage. The
closing has been set for February 15, 2012. Pre - signing of the documents will
occur on February 6th.
Development of Remaining Property Acquired from Bruggeman
Staff has been meeting with developers/builders and soliciting proposals for the
development of the remaining property. The EDA will discuss the development
options and potential sale of the property in a closed meeting in accordance with
Minnesota Statute 13D.05, Subd. 3.
ACTION REQUESTED
Receive presentation and provide input if necessary.
Respectfully submitted,
David L. Carlberg