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HomeMy WebLinkAbout6.l. County Road 73 Street & Utility Improvement Project, City Project #399-AgreementsAGENDA ITEM: County Road 73 Street Utility Improvement Project, City Project #399- Agreements AGENDA SECTION: Consent AGENDA NO. (o APPROVED BY: PREPARED BY: Andrew J. Brotzler, PE, Director of Pu I' Works /City Engineer i ATTACHMENTS: Assessment Roll; Parcel Exhibit; ARRA Project List; Petition and Waiver Agreements; Escrow Agreements; 0pl RECOMMENDED ACTION: Motion to Approve the Petition and Waiver Agreements and Escrow Agreements and Authorize the Necessary Signatures for Parcels 1 A, 1 B, 2A, 2B, 5, 6, 11A. ROSEMOUNT CITY COUNCIL Special City Council Meeting: August 3, 2009 EXECUTIVE SUMMARY BACKGROUND: The County Road 73 Street and Utility Improvement Project, City Project #399 includes the improvement of County Road 73 (Akron Avenue) from a 2 -lane rural gravel road to a 2 -lane urban road with medians, turn lanes and trails between CSAH 42 and Bonaire Path. Through the American Recovery and Reinvestment Act (ARRA), federal stimulus money has been secured for a portion of the estimated project cost. In June 2009, the City was officially notified that the Metropolitan Council had awarded $2.96 million to the County Road 73 project. The attached figure summarizes the metro regional projects funded as part of ARRA. With the receipt of the ARRA funds for the project, staff has worked with the property owners along the corridor to develop agreements necessary to facilitate the completion of the project within the required timelines to qualify for ARRA funding. These agreements and documents are as follows: 1. Easements. 2. Petition and Waiver (assessment) Agreements for the deferred assessment of project costs to benefitting properties at the time of subdivision. 3. Escrow Agreements for the retention of agreements until the project commences. In the event the project does not proceed, the escrow agreements will make all easement and assessment agreements null and void. 4. Easement and Trunk Area Charge Credit Agreements for the future credit of land dedicated for ponding when properties are subdivided. As the funding of a portion of the project cost with ARRA funds will benefit and facilitate the future economic development of properties along the project corridor, it is expected that the necessary easements will be dedicated by the property owners without compensation. In addition, as the availability of ARRA funds will reduce future development costs, assessment agreements have been developed with the property owners along the corridor for the recovery of costs with development to defray the local cost to the City and County. For properties that include ponding necessary to complete the project, agreements have been developed to provide a trunk storm area charge credit with future development in -lieu of a cash payment at this time. The provisions of these agreements will need to be agreed to by all property owners G: \ENGPROJ \399 \8 -3 -09 CC Agreements.doc to facilitate the completion of the project and utilize the awarded ARRA funds. The estimated project cost of $4,810,000 is proposed to be funded as follows. ARRA Fund $2,960,000 Special Assessments 150,000 Dakota County $1,017,500 City 682,500 For the above City cost, $420,000 has been funded to date with prior year's Street CIP budgets as the project was originally scheduled to be completed in 2006/2007. The remaining balance for the City cost of $262,500 is proposed to be funded fifty percent (50 from the Street CIP fund and Storm Core funds each. Based on approval of the above agreements in August, the proposed schedule for the completion of the project is as follows. Submit Plans to Federal Aid July 31, 2009 Anticipated Federal Aid Approval and Authorization to Bid October 5, 2009 Receive Bids November 3, 2009 Award Contract November 9, 2009 Begin Construction November 27, 2009 SUMMARY At this time, staff is recommending Council approval of the Petition and Waiver Agreements and Escrow Agreements for Parcels 1A, 1B, 2A, 2B, 5, 6, 11A. Terms of the Trunk Storm Area Charge Credit Agreement are still being reviewed with the property owners and final agreements will be presented to Council at a future meeting. 2 Assessment Roll WSB Project: County Road 73 from C.S.A.H. No. 42 to Bonaire Path Design By: MD Projec, Location: City of Rosemount Checked By: MB City Project No.: 399 WSB Project No.: 1556 -59 Date: 7/27/2009 PARCEL NUMBER PIN Owner Address Street Assessment Front Footage Cost Per Front Foot Street Assessment 1A 34- 58600 -011 -00 ARCON DEVELOPMENT INC. THE PEMTOM LAND CO. 744 SOUTHCROSS DRIVE W STE 103 1,170.27 16.25 BURNSVILLE, MN 55306 19,017.00 1B 34- 58600- 130-00 DAKOTA COUNTY CDA 1228 TOWN CENTRE DRIVE 1,323.34 16.25 EAGAN, MN 55123 21,504.00 2A 34 -02200- 030 -75 MINNOVA LAND LLC 11430 ZION CIR 1,631 16.25 BLOOMINGTON MN 55437 26,504.00 2B 34 -02200- 020 -75 I MINNOVA LAND LLC 11430 ZION CIR 813 16.25 BLOOMINGTON MN 55437 13,211.00 5 34 -02200- 013 -50 JMOR REAL ESTATE INVESTMENTS LLC 1903 WINSLOW CT W SAINT PAUL MN 55118 840 16.25 13,650.00 6 34 -02200 -012 -50 ARCON DEVELOPMENT INC. 744 SOUTHCROSS DRIVE W STE 103 BURNSVILLE, MN 55306 2,289.46 16.25 37,204.00 11A 34- 02200 -012 -50 ARCON DEVELOPMENT INC. 744 SOUTHCROSS DRIVE W STE 103 BURNSVILLE, MN 55306 1,170.8 16.25 19,026.00 TOTAL 9,237.87 16.25 150,116.00 hs.%'Jte4 .P� Piexa,e_ *9->str GRAPHIC SCALE PAR 116 1 cOW` ra ar i e.RN jai S V COUNTY ROAD 73 (AKRON AVENUE) OVERALL PARCEL EXHIBIT WSB Project No.1556-59 Dale 5/12/09 CITY Project No.417 _Fr_ 701 Xena AwnUe SouM, Suite 300 Minneapolis, W MN 55416 seeng.cem WSB 113MI.04.F•,DO*M7t4 \FRASIRUCRIRE Is1OINEERING PLANNING CONS1RUC1NNI PARCEL 4 BMW- 26 Rosemount, Minnesota Y *ROSEMOUNT Y2, g 1 a a) -3 c LL ��j!'�iYclL L. -0 s C O u.. 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N M 1 u) p n 00 O 7-1 -I N I M I' u1 LO r•-• 3-I ,--1 .-I +"I .-I ""HH 1 C4 q4 N N TT» N N Ill N N N GO t0 CO 00 00 V CO 01 CO U1 CO 4 CO W CO N CO I• CO O V 60 V CO V V 0 Agency Project Description Location Mn /DOT I -94 Landscaping Jct I494 to Hennepin CSAH 152 Maple Grove Brooklyn Park Mn /DOT 212 Interchanges in Chanhassen (TH 101 and Carver CSAH 17) Chanhassen Mn /DOT 212 Interchanges in Chaska Chaska (TH 41, Carver CSAH 10, and Carver CSAH 11) 212 Interchanges in Eden Prairie Mn /DOT Eden Prairie (Hennepin CSAH 4 and Dell Road) Mn /DOT TH 3 Bituminous M 0, guardrails, shoulders, drainage, etc Rosemount Inver S. of Dakota CSAH 42 to TH 149 Grove Heights Mn /DOT East side of Metro District- Guardrail improvement replacement Metrowide Mn /DOT West side of Metro District- Guardrail improvement replacement Metrowide Rogers, Hassan, Mn /DOT I -94 Mainline and ramp concrete rehab Henn Co line to I -494 Dayton, Maple Grove Mn /DOT I -94 at TH 101 Replace Lighting Rogers Mn /DOT TH 252 at I- 94 Mainline Ramp Concrete Rehabilitation Brooklyn Center Mn /DOT TH 252 bus shoulder rehab 694 to TH 610 Brooklyn Center Brooklyn Park Mn /DOT TH 62 lighting replacement TH 212 to Gleason Road Eden Prairie Edina Mn /DOT 35W bituminous M 0, deck repair 694 to N. of Lake Dr Arden Hills Blaine -ER V N Cr) W O O -EA O V V 0 O .N W E-` 01 In U1 O V W CO W 0 O 4A- r -P 60 CO 0 O N N U1 IT U1 O �R W N i-' O 0 O ER W N I- O 0 O -ER W i- W U1 H-' 0 O fR N I--' O 0 O �R W NJ N O 0 O -A N I--` O 0 O N I--' b 0 O rt n 01 O io (n -1 O (D -EA V N al W o 0 -EA CO V V -4 O 0 N W I3 CT In U7 0 -ER V r W .A CO t0 W Co 0 0 0 0 -EA- N N U1 In ill 0 1R w N F+ O 0 0 {A} W N I-' O 0 0 W 1j W U1 N 0 0 -111- N N A O 0 0 4.R W N I o 0 0 N F-' O 0 0 N li P O 0 0 rt C N 7 a D En xi 4.4 o -ER 0 -ER 0 0 FR 0 419. 0 4R 0 -kA- 0 -ER o -EA- O -EA- o -ER 0 -EA 0 n DX D 7oto a o in AR 0 {f} 0 ifl 0 -EA- 0 4R 0 -ER 0 -R 0 0 -EA 0 iR 0 vr 0 ER 0 -R 0 T C 7 7' CL !D N-1 Metrowide project not on map C (D 73 CD 0 D (D rt rri Lfl n U1 .p A A A A w w w ca w w w N r 0 IO CO V O LT) .A w N r O IO CO V 01 to N r 0 a v) r 7 r0 7- t co Or o N (D 0 l Ol (D E 5 (0 0 C CD to D NJ of ,r-',. 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Eft 4:01. 01 CO L In -EA- N -EA- Ni -EA In U1 r 01 t.0 GO r -4 Co 01 v -P 0 0 .A 01 to V N (.1 O O (0 0 O O 0 r r In O o O 0 r 0 0 0 N O ■0 0 0 0 0 0 0 0 0 0 U1 0 r O N O O O O 0 O O O 0 0 n 20 0 Q) o Agency Project Description Location Reconstruct Winnetka Ave N. from CSAH 10 Hope New Ho New Hope to 62nd Ave N. p Oakdale Overlay Hadley Ave N. from Hudson Blvd N. to 11th St N. Oakdale Prior Lake Signalization of CSAH 42 and McKenna Rd. Prior Lake Campus Dr 26th Ave CR 61 to Teakwood Ln (M 0), Plymouth Teakwood Ln to Sycamore Ln (reconstruct) Plymouth Construct off ramp I -94 WB at S. Diamond Lake Rd, Rogers Ro Rogers extend ramp and grade separation over S. Diamond Lk. Rd g Rosemount Reconstruct Akron Ave from CSAH 42 to Bonaire Path Rosemount St. Paul Reconstruct Wabasha St pedestrian bridge tower St. Paul Shakopee Construct ped bridge and trail connections Shakopee Fuller St over TH 169 from Appaloosa Ave to Vierling Dr Spring Lake Park Overlay reconditioning: Terrace Rd CSAH 8 to Spring Lake Park Sanburnol Dr Able St CSAH 8 to CSAH 10 Stillwater M &O and storm sewer work on Washington Ave Stillwater from TH 36 to Orleans St Three Rivers Park Bike trail bridges (at TH 7 and CSAH 92) and paved St. Boni District connection to Hennepin Co. line Minnetrista Construct bridge and retaining walls for CR 83 overpass of Washington County I -35 Forest Lake Watertown Reconstruct TH 25 from White St to State St including Watertown bituminous trail Minor arterial roadway improvements including curb repair, Woodbury Woodbury utility repair, M &O. DNR Gateway Trail Bridge over TH 120 (enhancement project) Oaakkdd alle e Paul and O St. Paul Parks and Sam Morgan Trail from 35E to TH 5 (enhancement project) St. Paul Rec Arden Hills Anderson Memorial Trail connections (enhancement Arden Hills project) Carver County Dakota Rail Trail from Hennepin Carver county line to Eastern Carver City of Mayer (enhancement project) County Maplewood Stillwater Road Trail Improvements from Lakewood Dr to Maplewood Century Ave (enhancement project) Inver Grove Heights Rock Island Swing Bridge over Mississippi River Inver Grove (enhancement project) Heights t r W O O O o O 11 O O O Co O 0 -EA- N O W P P 01 0 4A 01 N W CO ••••J 01 -EA- r P l0 O O 0 0 4 l0 P W 01 0 0 `1 01 01 V O 0 0 07 03 O O 0 0 -rte 0 O 0 O O 0 0 W In 0 O O 0 0 W LA O O 0 0 -EA F-` O W lli Cr, 0 0 -EA- O V 1 1 O 0 0 -EA- N W O V 0 0 0 0 "co O 0 0 0 0 1- W W N 0 O 0 0 P W 0)°-J N 0 0 -EA {ff NJ P W 01 O 03 O O O 0 0 0 0 0 0 -i n Cu p N -c rt 0 n co n 4A- 0 o i O -EA- O -EA o O iR O -FR O 44 O O -EA o 4A- o 0 -FA- 0 0 o 4A- O 4 4A- 0 0 0 C D O_ r L D N 4A W 0 0 O 0 03 0 o O 0 U1 1..1 O Ill CO N CO 00 W NJ P P C0 CO 0 -EA- W 0 o O 0 1-' N V1 O N 0 V 0 P O 0 40 u1 O 0 o O 0 -EA- N 'co 0 o O 0 -EA N 00 O O 0 -EA- P 01 00 P 0 V 0 0 O 0 4A- -EA- N l0 l0 0 01 0 0 O O 0 0 w V CO O O 0 -EA- W P _Ft 0 l 0 -EA {w F-` W V CA U1 00 O 07 0 0 CO W O 0 73 T C d 0 C- 2 D ifs 0 -EA- N 01 O 0 0 0 4A- 0p W V 03 0 Ni P O 111 VI 0 o P r N 0 0 4A 0 W 01 0 0 P 1-' 0A V 01 0 1- V Cl O 0 0 to o 0 0 O 0 0 4A- V 0 0 O 0 0 V 0 O 0 0 -ER w O• V 1-` N 0 1-. V Ul O 0 0 I v 0 P 0 0 O O 0 0 0 0 4 to P 0 O 0 0 0 00 01 O P 0 4A- V l0 01 N O N 0 0 0 0 01 P 00 O 0 0 O CD C CL 20 0 Q) -o c m LL' r O 0 o 0 o N Cr) 0 o 0 vi 01 EA- 0 EA- a 0 0 0 0 0 0 0 0 0 N a M r.i Oi c C Ol 00 N O w EA- 1 U a N 4_ O EA- o EA- C CO a ti 0 0 0 U 0 0 0 N 0 0 0 O 4-+ M N c i in 1--1 N N n a' N EA- EA- Cedar Lake Trail 3rd Ave North connection from 12 St N to 7th St N (enhancement project) ID Agency 74 Hennepin County 75 Minneapolis Park Rec 76 Coon Rapids o? O O 0 0 0 0 0 0 0 0 0 0 o Ln In o 0 N N o O N 0 d O 0 EA- EA- EA- EA- o 0 0 0 o 0 0 Lri o 0 M O Ln 00 tD EA- +A 0 M d' M M M The remaining projects (ID numbers 35 to 89) were approved by the Metropolitan Council as of June 10, 2009. Projects with ID numbers 1 to 34 were approved by the Metropolitan Council as of April 22, 2009. Metrowide project not on map Parcel 1A 34- 58600- 100 -00 PETITION AND WAIVER AGREEMENT This Agreement made this day of 2009, by and between the City of Rosemount, a Minnesota municipal corporation "City"), and Mary Louise Daily and John Daily, wife and husband; Patricia Dziedzic and Walter Dziedzic, wife and husband; Thomas L. McCarthy, a single person; Cynthia McNary and Richard McNary, wife and husband; John P. Wiederhold and Judith Wiederhold, husband and wife are the fee owners and Arcon Development, Inc., a Minnesota corporation and The Pemtom Land Company, a Minnesota corporation are contract for deed vendees (collectively "Owner"). WITNESSETH: WHEREAS, the Owner is the fee owner of certain real property (the "Subject Property") located in the City the legal description of which is set forth on Exhibit A, attached hereto and hereby made a part hereof; and WHEREAS, the Owner desires to have certain public improvements constructed to serve the Subject Property as described in Exhibit B, attached hereto and hereby made a part hereof (hereinafter referred to as the "Improvement Project and WHEREAS, the Owner wishes for the City to construct the Improvement Project without notice of hearing or hearing on the Improvement Project, and without notice of hearing or hearing on the special assessments levied to finance the Improvement Project, and to levy $19,017.00 of the cost of the Improvement Project against the Subject Property; and WHEREAS, the City is willing to construct the Improvement Project in accordance with the request of the Owner and without such notices or hearings, provided the assurances and covenants 354677v2 CBR RS220 -223 1 hereinafter stated are made by the Owner to ensure that the City will have valid and collectable special assessments as they relate to the Subject Property to finance the costs of the Improvement Project; and WHEREAS, were it not for the assurances and covenants hereinafter provided, the City would not construct the Improvement Project without such notices and hearings and is doing so solely at the behest, and for the benefit of, the Owner. NOW, THEREFORE, ON THE BASIS OF THE MUTUAL COVENANTS AND AGREEMENT HEREINAFTER PROVIDED, IT IS HEREBY AGREED BY AND BETWEEN THE PARTIES HERETO AS FOLLOWS: 1. The Owner hereby petitions the City for construction of the Improvement Project. 2. The Owner represents and warrants that it is the owner of 100 percent of the Subject Property, that it has full legal power and authority to encumber the Subject Property as herein provided, and that as of the date hereof, it has fee simple absolute title in the Subject Property, which is not subject to any liens, interests or encumbrances, except as listed on the attached Exhibit C. 3. The Owner requests that $19,017.00 of the cost of the Improvement Project be assessed against the Subject Property. 4. The Owner waives notice of hearing and hearing pursuant to Minn. Stat. Section 429.031, on the Improvement Project and notice of hearing and hearing on the special assessments levied to finance the Improvement Project pursuant to Minn. Stat. Section 429.061, and specifically requests that the Improvement Project be constructed and special assessments levied against the Subject Property therefor without hearings. 5. The Owner waives the right to appeal the levy of the special assessments in accordance with this Agreement pursuant to Minn Stat. Section 429.081, or reapportionment thereof upon land division pursuant to Min. Stat. Section 429.071, Subd. 3, or otherwise, and further specifically agrees with respect to such special assessments against the Subject Property or reapportionment that: a. Any requirements of Minn Stat., Chapter 429 with which the City does not comply are hereby waived by the Owner; b. The increase in fair market value of the Subject Property resulting from construction of the Improvement Project will be at least equal to the amount specified in 354677v2 CBR RS220 -223 2 paragraph 3, and that such increase in fair market value is a special benefit to the Subject Property; and c. Assessment of amount specified in paragraph 3 against the Subject Property is reasonable, fair and equitable. 6. The City will defer the payment of the special assessment for the Improvement Project, without interest, until the Subject Property is subdivided or improved as defined below: a. The Subject Property will be deemed to be subdivided upon final approval by the City Council of a subdivision or division of land that creates buildable lots or parcels of land. Subdivision into outlots that are not buildable will not be deemed to be a subdivision. b. The Subject Property will be deemed to be improved if the owner of the Subject Property or the owner's authorized representative applies for and is granted a permit for the construction of any residential, commercial, agricultural, industrial or other building or structure that requires a building permit (other than permits to rebuild existing buildings destroyed by fire or other casualty). c. The deferment of the special assessment for the Improvement Project will terminate upon the subdivision or improvement of the Subject Property as defined in paragraphs a. and b. above. The special assessments may be paid without interest until the earlier of: 1) 90 days after termination of the deferment; or 2) the issuance of a certificate of occupancy for an improvement or release of a final plat for a subdivision. If the special assessment is not paid by such date, interest on the assessment will accrue at the rate of five percent per year from the termination of the deferral until December 31 of the year in which the assessment is paid. The assessment will be due and payable with ad valorem real estate taxes in the year following the first November 30 occurring after the termination of the deferral of the assessment. 7. Owner represents and warrants that the Subject Property is not so classified for tax purposes as to result in deferral of the obligation to pay special assessments; and Owner agrees that it will take no action to secure such tax status for the Subject Property during the term of this Agreement. 8. The covenants, waivers and agreements contained in this Agreement shall bind the successors and assigns of the Owner and shall run with the Subject Property and bind all successors in interest thereof. It is the intent of the parties hereto that this Agreement be in a form which is recordable among the land records of Dakota County, Minnesota; and they agree to make any changes in this Agreement that may be necessary to effect the recording and filing of this Agreement against the title of the Subject Property. 9. The City may abandon the Improvement Project if it is unable to secure agreement of all affected landowners or necessary rights -of -way for the Improvement Project or determines 354677v2 CBR RS220 -223 3 that proceeding with the Improvement Project is not in the public interest. This Agreement will be terminated if the City Council has not awarded a contract for the construction of the Improvement Project by December 31, 2011. 10. If not terminated in accordance with paragraph 9, this Agreement shall terminate upon the final payment of all special assessments levied against the Subject Property regarding the Improvement Project, and the City shall thereupon execute and deliver such documents, in recordable form, as are necessary to extinguish its rights hereunder. 11. This Agreement may be executed in several counterparts and all such executed counterparts shall constitute one agreement, binding on all of the parties hereto, notwithstanding that all of the parties hereto are not signatories to the original or to the same counterpart. above. IN WITNESS WHEREOF, the parties have set their hands the day and year first written STATE OF MINNESOTA ss. COUNTY OF DAKOTA By: The foregoing instrument was acknowledged before me this day of 2009, by William Droste and Amy Domeier, the Mayor and Clerk, respectively, of the City of Rosemount, Minnesota, a municipal corporation under the laws of the State of Minnesota, on behalf of the City. 354677v2 CBR RS220 -223 4 CITY OF ROSEMOUNT William Droste, Mayor And by: Amy Domeier, City Clerk Notary Public STATE OF MINNESOTA ss.. COUNTY OF HENNEPIN OWNER The foregoing instrument was acknowledged before me this day of 2009, by the of The Pemtom Land Company, a corporation under the laws of Minnesota by and on behalf of said corporation. 354677v2 CBR RS220 -223 5 THE PEMTOM LAND COMPANY By DANIEL J. HERBST President Notary public STATE OF MINNESOTA COUNTY OF ss.. 354677v2 CBR RS220 -223 6 ARCON DEVELOPMENT, INC. By Scott Johnson President The foregoing instrument was acknowledged before me this day of 2009, by Scott Johnson, the President of Arcon Development, Inc., a corporation under the laws of Minnesota by and on behalf of said corporation. Notary Public John P. Wiederhold Judy Wiederhold STATE OF MINNESOTA COUNTY OF DAKOTA The foregoing instrument was acknowledged before me this 2009, by John P. Wiederhold and Judy Wiederhold, husband and wife. ss.: 354677v2 CBR RS220 -223 7 Notary Public day of STATE OF NEVADA COUNTY OF ss.: The foregoing instrument was acknowledged before me this day of 2009, by Thomas McCarthy, a single person. 354677v2 CBR RS220 -223 8 Thomas McCarthy Notary Public STATE OF OREGON COUNTY OF ss.: 354677v2 CBR RS220 -223 9 Mary Louise Daily John Daily The foregoing instrument was acknowledged before me this day of 2009, by Mary Louise Daily and John Daily, wife and husband. Notary Public STATE OF MINNESOTA COUNTY OF DAKOTA 354677v2 CBR RS220 -223 ss.: Cindy McNary Richard McNary The foregoing instrument was acknowledged before me this day of 2009, by Cindy McNary and Richard McNary, wife and husband. Notary Public 10 STATE OF MINNESOTA COUNTY OF HENNEPIN 354677v2 CBR RS220 -223 Patricia Dziedzic Walter Dziedzic The foregoing instrument was acknowledged before me this day of 2009, by Patricia Dziedzic and Walter Dziedzic, wife and husband. Notary Public 11 Outlot J, PRESTWICK PLACE, according to the plat on file and of record in the office of the County Recorder, Dakota County, Minnesota. 354677v2 CBR RS220 -223 Exhibit A 12 Exhibit B Description of the Project Upgrade of an existing 28' (typical) wide, rural, two -lane gravel roadway (County Road 73 also known as Akron Avenue) between County State Aid Highway 42 and Bonaire Path, to a 58' (typical) wide, urban, two -lane paved roadway with center medians and turn lanes, including stormwater ponding and storm sewer necessary for stormwater runoff conveyance within the project area. 354677v2 CBR RS220 -223 13 Parcel lA 34- 58600- 100 -00 354679v2 CBR RS220 -223 ESCROW AGREEMENT THIS AGREEMENT entered into this day of 2009, by and between Mary Louise Daily and John Daily, wife and husband; Patricia Dziedzic and Walter Dziedzic, wife and husband; Thomas L. McCarthy, a single person; Cynthia McNary and Richard McNary, wife and husband; John P. Wiederhold and Judith Wiederhold, husband and wife are the fee owners and Arcon Development, Inc., a Minnesota corporation and The Pemtom Land Company, a Minnesota corporation are contract for deed vendees (collectively "Owner"), City of Rosemount, a Minnesota municipal corporation, "City") and KENNEDY GRAVEN, CHARTERED "Escrow Agent" or "Agent RECITALS A. City proposes to improve Akron Avenue/County Road No. 73 by reconstruction of the roadway, addition of curb and gutter, construction of a trail or sidewalk and associated storm sewer improvements "City Project 399 B. Owner is the fee owner and contract for deed vendee as described above of certain real property (the "Property"), legally described as follows: Outlot J, PRESTWICK PLACE, according to the plat on file and of record in the office of the County Recorder, Dakota County, Minnesota. C. City has determined that it requires certain easements from Owner in order to construct City Project No. 399 (the "Easements D. City proposes to finance the construction of City Project No. 399 by using federal funds and by levying special assessments against benefitted properties, including the Property. E. Owner desires the City to proceed with the construction of City Project No. 399 if, and only if, adequate funding, including federal funding, is available. Owner is willing to convey the necessary easements for City Project No. 399 and to petition for construction of City Project No. 417, provided adequate funding is available to offset the costs of the Project. AGREEMENT The parties agree as follows: 1. Recitals. The recitals set forth above are true and correct and are incorporated into this Agreement by reference. 2. Escrowed Instruments. Escrow Agent acknowledges and agrees that it has received from Owner (i) an executed and acknowledged original of copy of an instrument conveying the Easements to City (ii) an executed and acknowledged original of a Petition and Waiver Agreement for the construction of City Project No. 399, and (iii) an Easement and Trunk Area Charge Credit Agreement (collectively, the "Instruments Escrow Agent shall hold the Escrowed Instruments in a secure location until such time, if any, that Escrow Agent receives notice from City as provided in Section 3 below. 3. Delivery and Recording of Instrument. If City secures all needed easements and secures sufficient funds for City Project 399, including federal funds, and adopts a resolution ordering City Project 399, City may provide written notice to Escrow Agent, with a copy to Owner, directing Escrow Agent to release the Instruments from escrow and deliver the same to City for execution and recording by the City. Within two business days after receiving such notice, Escrow Agent shall release the Instruments from escrow and deliver the same to City. 4. Release of Instruments. If City has not directed Escrow Agent to release the Instruments from escrow on or before December 31, 2011, within two business days after receiving written demand from Owner, Escrow Agent shall deliver the original Instruments to Owner for destruction. 5. Notices. Any notice required hereunder shall be given in writing, signed by the party giving notice, personally delivered or mailed by certified or registered mail, return receipt requested, to the parties' respective addresses as set forth below: To Escrow Agent: To Owner: Copy to: To City: Kennedy Graven, Chartered ATTN: Corrine A. Heine 200 South Sixth Street, Suite 470 Minneapolis, MN 55402 City of Rosemount Attn: Andy Brotzler 2875 145 St. W. Rosemount, MN 55068 Notice shall be deemed delivered (a) in the case of personal delivery, on the date when personally delivered; or (b) in the case of certified or registered mail, on the date which is one day after deposited in the United States mail with sufficient postage to effect such delivery. Each party may change the address to which notice must be given by delivery of written notice to the other parties in accordance with this Section 6. 6.. Escrow Agent Liability. The sole duties of Escrow Agent shall be those described herein, and Escrow Agent shall be under no obligation to determine whether the other parties hereto are complying with any requirements of law or the terms and conditions of any other agreements 354679v2 CBR RS220 -223 among said parties. Escrow Agent may conclusively rely upon and shall be protected in acting on any notice believed by it to be genuine and to have been signed or presented by the proper party or parties, consistent with reasonable due diligence on Escrow Agent's part. Escrow Agent shall have no duty or liability to verify any such notice, and its sole responsibility shall be to act expressly as set forth in this Escrow Agreement. Owner and City understand that Agent is legal counsel to the City and each consents to Agent's serving as Escrow Agent notwithstanding such representation. In the event Agent determines, in its sole discretion, that it cannot continue to serve as Escrow Agent herein, Agent shall deposit the Instruments with Old Republic National Title Insurance Company or such other Escrow Agent acceptable to Owner and City. Owner consents to Agent's continued representation of City, and City agrees to pay all escrow fees charged by the substitute Escrow Agent. 7. This Agreement shall be binding upon the parties hereto and their respective successors and assigns.. This Agreement can be amended or modified only by a writing signed by the parties hereto. This Agreement shall be governed by the laws of the State of Minnesota. 8. This Agreement may be executed in several counterparts and all such executed counterparts shall constitute one agreement, binding on all of the parties hereto, notwithstanding that all of the parties hereto are not signatories to the original or to the same counterpart. 354679v2 CBR RS220 -223 [Signatures on following pages] IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and year first above written. 354679v2 CBR RS220 -223 OWNER: THE PEMTOM LAND COMPANY By DANIEL J. HERBST President [Signature page to Escrow Agreement] 354679v2 CBR RS220 -223 ARCON DEVELOPMENT, INC. By Scott Johnson President [Signature page to Escrow Agreement] 354679V2 CBR RS220 -223 John P. Wiederhold Judy Wiederhold [Signature page to Escrow Agreement] 354679v2 CBR RS220 -223 Thomas McCarthy [Signature page to Escrow Agreement] 354679v2 CBR RS220 -223 Mary Louise Daily John Daily [Signature page to Escrow Agreement] 354679v2 CBR RS220 -223 Cindy McNary Richard McNary [Signature page to Escrow Agreement] 354679v2 CBR RS220 -223 Patricia Dziedzic Walter Dziedzic 354679v2 CBR RS220 -223 CITY: CITY OF ROSEMOUNT By: Its Mayor By: Its City Clerk [Signature page to Escrow Agreement] 354679v2 CBR RS220 -223 ESCROW AGENT: KENNEDY GRAVEN, CHARTERED By: Its: Director [Signature page to Escrow Agreement] Parcel 1B 34- 58600 130 -00 PETITION AND WAIVER AGREEMENT This Agreement made this day of 2009, by and between the City of Rosemount, a Minnesota municipal corporation "City"), and Dakota County Community Development Agency, a public body corporate and politic organized under the laws of the State of Minnesota "Owner"). WITNESSETH: WHEREAS, the Owner is the fee owner of certain real property (the "Subject Property located in the City the legal description of which is set forth on Exhibit A, attached hereto and hereby made a part hereof; and WHEREAS, the Owner desires to have certain public improvements constructed to serve the Subject Property as described in Exhibit B, attached hereto and hereby made a part hereof (hereinafter referred to as the "Improvement Project and WHEREAS, the Owner wishes for the City to construct the Improvement Project without notice of hearing or hearing on the Improvement Project, and without notice of hearing or hearing on the special assessments levied to finance the Improvement Project, and to levy $21,504.00 of the cost of the Improvement Project against the Subject Property; and WHEREAS, the City is willing to construct the Improvement Project in accordance with the request of the Owner and without such notices or hearings, provided the assurances and covenants hereinafter stated are made by the Owner to ensure that the City will have valid and collectable special assessments as they relate to the Subject Property to finance the costs of the Improvement Project; and 1 WHEREAS, were it not for the assurances and covenants hereinafter provided, the City would not construct the Improvement Project without such notices and hearings and is doing so solely at the behest, and for the benefit of, the Owner. NOW, THEREFORE, ON THE BASIS OF THE MUTUAL COVENANTS AND AGREEMENT HEREINAFTER PROVIDED, IT IS HEREBY AGREED BY AND BETWEEN THE PARTIES HERETO AS FOLLOWS: 1. The Owner hereby petitions the City for construction of the Improvement Project. 2. The Owner represents and warrants that it is the owner of 100 percent of the Subject Property, that it has full legal power and authority to encumber the Subject Property as herein provided, and that as of the date hereof, it has fee simple absolute title in the Subject Property, which is not subject to any liens, interests or encumbrances, except as listed on the attached Exhibit C. 3. The Owner requests that $21,504.00 of the cost of the Improvement Project be assessed against the Subject Property. 4. The Owner waives notice of hearing and hearing pursuant to Minn Stat. Section 429.031, on the Improvement Project and notice of hearing and hearing on the special assessments levied to finance the Improvement Project pursuant to Minn. Stat. Section 429.061, and specifically requests that the Improvement Project be constructed and special assessments levied against the Subject Property therefor without hearings. 5. The Owner waives the right to appeal the levy of the special assessments in accordance with this Agreement pursuant to Minn. Stat. Section 429.081, or reapportionment thereof upon land division pursuant to Min. Stat. Section 429.071, Subd. 3, or otherwise, and further specifically agrees with respect to such special assessments against the Subject Property or reapportionment that: a. Any requirements of Minn. Stat., Chapter 429 with which the City does not comply are hereby waived by the Owner; b. The increase in fair market value of the Subject Property resulting from construction of the Improvement Project will be at least equal to the amount specified in paragraph 3, and that such increase in fair market value is a special benefit to the Subject Property; and c. Assessment of amount specified in paragraph 3 against the Subject Property is reasonable, fair and equitable. 2 6. The City will defer the payment of the special assessment for the Improvement Project, without interest, until the Subject Property is subdivided or improved as defined below: a. The Subject Property will be deemed to be subdivided upon final approval by the City Council of a subdivision or division of land that creates buildable lots or parcels of land. Subdivision into outlots that are not buildable will not be deemed to be a subdivision. b. The Subject Property will be deemed to be improved if the owner of the Subject Property or the owner's authorized representative applies for and is granted a permit for the construction of any residential, commercial, agricultural, industrial or other building or structure that requires a building permit (other than permits to rebuild existing buildings destroyed by fire or other casualty). c. The deferment of the special assessment for the Improvement Project will terminate upon the subdivision or improvement of the Subject Property as defined in paragraphs a. and b. above. The special assessments may be paid without interest until the earlier of: 1) 90 days after termination of the deferment; or 2) the issuance of a certificate of occupancy for an improvement or release of a final plat for a subdivision. If the special assessment is not paid by such date, interest on the assessment will accrue at the rate of five percent per year from the termination of the deferral until December 31 of the year in which the assessment is paid. The assessment will be due and payable with ad valorem real estate taxes in the year following the first November 30 occurring after the termination of the deferral of the assessment. 7. Owner represents and warrants that the Subject Property is not so classified for tax purposes as to result in deferral of the obligation to pay special assessments; and Owner agrees that it will take no action to secure such tax status for the Subject Property during the term of this Agreement. 8. The covenants, waivers and agreements contained in this Agreement shall bind the successors and assigns of the Owner and shall run with the Subject Property and bind all successors in interest thereof. It is the intent of the parties hereto that this Agreement be in a form which is recordable among the land records of Dakota County, Minnesota; and they agree to make any changes in this Agreement that may be necessary to effect the recording and filing of this Agreement against the title of the Subject Property. 9. The City may abandon the Improvement Project if it is unable to secure agreement of all affected landowners or necessary rights -of -way for the Improvement Project or determines that proceeding with the Improvement Project is not in the public interest. This Agreement will be terminated if the City Council has not awarded a contract for the construction of the Improvement Project by December 31, 2011. 10. If not terminated in accordance with paragraph 9, this Agreement shall terminate upon the final payment of all special assessments levied against the Subject Property regarding the 3 above. Improvement Project, and the City shall thereupon execute and deliver such documents, in recordable form, as are necessary to extinguish its rights hereunder. IN WITNESS WHEREOF, the parties have set their hands the day and year first written STATE OF MINNESOTA ss. COUNTY OF NOTARY STAMP OR SEAL 4 CITY OF ROSEMOUNT By: William Droste, Mayor And by: Amy Domeier, City Clerk OWNER DAKOTA COUNTY COMMUNITY DEVELOPMENT AGENCY By Mark Ulfers Its Executive Director The foregoing instrument was acknowledged before me this day of 2009, by William Droste and Amy Domeier, the Mayor and Clerk, respectively, of the City of Rosemount, Minnesota, a municipal corporation under the laws of the State of Minnesota, on behalf of the City. Notary Public STATE OF MINNESOTA SS. COUNTY OF The foregoing instrument was acknowledged before me this day of 2009 by Mark Ulfers, Executive Director of Dakota County Community Development Agency, a public body corporate and politic under the laws of the State of Minnesota, on behalf of the corporation, Grantor. NOTARY STAMP OR SEAL 5 Notary Public Exhibit A Outlot M, PRESTWICK PLACE, according to the plat on file and of record in the office of the County Recorder, Dakota County, Minnesota. 6 Exhibit B Description of the Project Upgrade of an existing 28' (typical) wide, rural, two -lane gravel roadway (County Road 73 also known as Akron Avenue) between County State Aid Highway 42 and Bonaire Path, to a 58' (typical) wide, urban, two -lane paved roadway with center medians and turn lanes, including stormwater ponding and storm sewer necessary for stormwater runoff conveyance within the project area. 7 Parcel 1B 34- 58600- 130 -00 ESCROW AGREEMENT THIS AGREEMENT entered into this day of 2009, by and between Dakota County Community Development Agency, a public body corporate and politic organized under the laws of the State of Minnesota "Owner City of Rosemount, a Minnesota municipal corporation, "City") and KENNEDY GRAVEN, CHARTERED ("Escrow Agent" or "Agent RECITALS A. City proposes to improve Akron Avenue/County Road No. 73 by reconstruction of the roadway, addition of curb and gutter, construction of a trail or sidewalk and associated storm sewer improvements "City Project 399 B. Owner is the fee owner of certain real property (the "Property"), legally described as follows: Outlot M, PRESTWICK PLACE, according to the plat on file and of record in the office of the County Recorder, Dakota County, Minnesota. C. City has determined that it requires certain easements from Owner in order to construct City Project No. 399 (the "Easements D. City proposes to finance the construction of City Project No. 399 by using federal funds and by levying special assessments against benefitted properties, including the Property. E. Owner desires the City to proceed with the construction of City Project No. 399 if, and only if, adequate funding, including federal funding, is available. Owner is willing to convey the necessary easements for City Project No. 399 and to petition for construction of City Project No. 417, provided adequate funding is available to offset the costs of the Project. AGREEMENT The parties agree as follows: 1. Recitals. The recitals set forth above are true and correct and are incorporated into this Agreement by reference. 2. Escrowed Instruments. Escrow Agent acknowledges and agrees that it has received from Owner (i) an executed and acknowledged original of copy of an instrument conveying the Easements to City and (ii) an executed and acknowledged original of a Petition and Waiver Agreement for the construction of City Project No. 399 (collectively, the "Instruments Escrow 1 Agent shall hold the Escrowed Instruments in a secure location until such time, if any, that Escrow Agent receives notice from City as provided in Section 3 below. 3. Delivery and Recording of Instrument. If City secures all needed easements and secures sufficient funds for City Project 399, including federal funds, and adopts a resolution ordering City Project 399, City may provide written notice to Escrow Agent, with a copy to Owner, directing Escrow Agent to release the Instruments from escrow and deliver the same to City for execution and recording by the City. Within two business days after receiving such notice, Escrow Agent shall release the Instruments from escrow and deliver the same to City. 4. Release of Instruments. If City has not directed Escrow Agent to release the Instruments from escrow on or before December 31, 2011, within two business days after receiving written demand from Owner, Escrow Agent shall deliver the original Instruments to Owner for destruction. 5. Notices. Any notice required hereunder shall be given in writing, signed by the party giving notice, personally delivered or mailed by certified or registered mail, return receipt requested, to the parties' respective addresses as set forth below: To Escrow Agent: To Owner: Copy to: To City: Kennedy Graven, Chartered ATTN: Corrine A. Heine 200 South Sixth Street, Suite 470 Minneapolis, MN 55402 Dakota County CDA 1228 town Centre Drive Eagan, MN 55123 City of Rosemount Attn: Andy Brotzler 2875 145 St. W. Rosemount, MN 55068 Notice shall be deemed delivered (a) in the case of personal delivery, on the date when personally delivered; or (b) in the case of certified or registered mail, on the date which is one day after deposited in the United States mail with sufficient postage to effect such delivery. Each party may change the address to which notice must be given by delivery of written notice to the other parties in accordance with this Section 6. 6.. Escrow Agent Liability. The sole duties of Escrow Agent shall be those described herein, and Escrow Agent shall be under no obligation to determine whether the other parties hereto are complying with any requirements of law or the terms and conditions of any other agreements 2 among said parties. Escrow Agent may conclusively rely upon and shall be protected in acting on any notice believed by it to be genuine and to have been signed or presented by the proper party or parties, consistent with reasonable due diligence on Escrow Agent's part. Escrow Agent shall have no duty or liability to verify any such notice, and its sole responsibility shall be to act expressly as set forth in this Escrow Agreement. Owner and City understand that Agent is legal counsel to the City and each consents to Agent's serving as Escrow Agent notwithstanding such representation. In the event Agent determines, in its sole discretion, that it cannot continue to serve as Escrow Agent herein, Agent shall deposit the Instruments with Old Republic National Title Insurance Company or such other Escrow Agent acceptable to Owner and City. Owner consents to Agent's continued representation of City, and City agrees to pay all escrow fees charged by the substitute Escrow Agent. 7. This Agreement shall be binding upon the parties hereto and their respective successors and assigns.. This Agreement can be amended or modified only by a writing signed by the parties hereto. This Agreement shall be governed by the laws of the State of Minnesota. [Signatures on following three pages] 3 IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and year first above written. [Signature page to Escrow Agreement] 4 OWNER: DAKOTA COUNTY COMMUNITY DEVELOPMENT AGENCY By Mark Ulfers Its Executive Director CITY: CITY OF ROSEMOUNT By: Its: Mayor By: Its: City Clerk [Signature page to Escrow Agreement] ESCROW AGENT: KENNEDY GRAVEN, CHARTERED By: Its: Director [Signature page to Escrow Agreement] Parcel 2A 34- 02200 030 -75 This Agreement made this day of 2009, by and between the City of Rosemount, a Minnesota municipal corporation "City and Wayne Groth and Sheila M. Groth, husband and wife, as fee owners, and Minnova Land, LLC a Minnesota limited liability company, as contract for deed vendee (collectively, "Owner"). WITNESSETH: WHEREAS, the Owner holds a fee simple interest in certain real property (the "Subject Property") located in the City the legal description of which is set forth on Exhibit A, attached hereto and hereby made a part hereof; and WHEREAS, the Owner desires to have certain public improvements constructed to serve the Subject Property as described in Exhibit B, attached hereto and hereby made a part hereof (hereinafter referred to as the "Improvement Project and WHEREAS, the Owner wishes for the City to construct the Improvement Project without notice of hearing or hearing on the Improvement Project, and without notice of hearing or hearing on the special assessments levied to finance the Improvement Project, and to levy $26,504.00 of the cost of the Improvement Project against the Subject Property; and WHEREAS, the City is willing to construct the Improvement Project in accordance with the request of the Owner and without such notices or hearings, provided the assurances and covenants hereinafter stated are made by the Owner to ensure that the City will have valid and collectable special assessments as they relate to the Subject Property to finance the costs of the Improvement Project; and WHEREAS, were it not for the assurances and covenants hereinafter provided, the City 354671v2 CBR RS220 -223 PETITION AND WAIVER AGREEMENT 1 would not construct the Improvement Project without such notices and hearings and is doing so solely at the behest, and for the benefit of, the Owner. NOW, THEREFORE, ON THE BASIS OF THE MUTUAL COVENANTS AND AGREEMENT HEREINAFTER PROVIDED, IT IS HEREBY AGREED BY AND BETWEEN THE PARTIES HERETO AS FOLLOWS: 1. The Owner hereby petitions the City for construction of the Improvement Project. 2. The Owner represents and warrants that it is the owner of 100 percent of the Subject Property, that it has full legal power and authority to encumber the Subject Property as herein provided, and that as of the date hereof, it has fee simple absolute title in the Subject Property, which is not subject to any liens, interests or encumbrances, except as listed on the attached Exhibit C. 3. The Owner requests that $26,504.00 of the cost of the Improvement Project be assessed against the Subject Property. This agreement relates only to Rosemount City Project No. 399 and is not affected by the easement agreement recorded as document number 2600994 with the Dakota Count Recorder on July 9, 2008, relating to City Project No. 417. 4. The Owner waives notice of hearing and hearing pursuant to Minn. Stat. Section 429.031, on the Improvement Project and notice of hearing and hearing on the special assessments levied to finance the Improvement Project pursuant to Minn. Stat. Section 429.061, and specifically requests that the Improvement Project be constructed and special assessments levied against the Subject Property therefor without hearings. 5. The Owner waives the right to appeal the levy of the special assessments in accordance with this Agreement pursuant to Minn. Stat. Section 429.081, or reapportionment thereof upon land division pursuant to Min. Stat. Section 429.071, Subd. 3, or otherwise, and further specifically agrees with respect to such special assessments against the Subject Property or reapportionment that: a. Any requirements of Minn. Stat., Chapter 429 with which the City does not comply are hereby waived by the Owner; b. The increase in fair market value of the Subject Property resulting from construction of the Improvement Project will be at least equal to the amount specified in paragraph 3, and that such increase in fair market value is a special benefit to the Subject Property; and c. Assessment of amount specified in paragraph 3 against the Subject Property is reasonable, fair and equitable. 6. The City will defer the payment of the special assessment for the Improvement Project, 354671v2 CBR RS220 -223 2 without interest, until the Subject Property is subdivided or improved as defined below: a. The Subject Property will be deemed to be subdivided upon final approval by the City Council of a subdivision or division of land that creates buildable lots or parcels of land. Subdivision into outlots that are not buildable will not be deemed to be a subdivision. b. The Subject Property will be deemed to be improved if the owner of the Subject Property or the owner's authorized representative applies for and is granted a permit for the construction of any residential, commercial, agricultural, industrial or other building or structure that requires a building permit (other than permits to rebuild existing buildings destroyed by fire or other casualty). c. The deferment of the special assessment for the Improvement Project will terminate upon the subdivision or improvement of the Subject Property as defined in paragraphs a. and b. above. The special assessments may be paid without interest until the earlier of: 1) 90 days after termination of the deferment; or 2) the issuance of a certificate of occupancy for an improvement or release of a final plat for a subdivision. If the special assessment is not paid by such date, interest on the assessment will accrue at the rate of five percent per year from the termination of the deferral until December 31s of the year in which the assessment is paid. The assessment will be due and payable with ad valorem real estate taxes in the year following the first November 30 occurring after the termination of the deferral of the assessment. 7. The Subject Property is classified as Agricultural Preserve under Minnesota Statutes, Chapter 473H. Owner acknowledges that Minnesota Statutes, Section 473H.11 provides that public roads and other public improvements, such as the Improvement Project, built adjacent to agricultural preserves, are deemed to be of no benefit to land and buildings in agricultural preserves. Owner waives his right to object to, challenge or appeal the special assessments levied in accordance with this agreement on the basis of Minnesota Statutes, Section 473H.11. 8. The covenants, waivers and agreements contained in this Agreement shall bind the successors and assigns of the Owner and shall run with the Subject Property and bind all successors in interest thereof. It is the intent of the parties hereto that this Agreement be in a form which is recordable among the land records of Dakota County, Minnesota; and they agree to make any changes in this Agreement that may be necessary to effect the recording and filing of this Agreement against the title of the Subject Property. 9. The City may abandon the Improvement Project if it is unable to secure agreement of all affected landowners or necessary rights -of -way for the Improvement Project or determines that proceeding with the Improvement Project is not in the public interest. This Agreement will be terminated if the City Council has not awarded a contract for the construction of the Improvement Project by December 31, 2011. 10. If not terminated in accordance with paragraph 9, this Agreement shall terminate upon the 354671v2 CBR RS220 -223 3 above. final payment of all special assessments levied against the Subject Property regarding the Improvement Project, and the City shall thereupon execute and deliver such documents, in recordable form, as are necessary to extinguish its rights hereunder. IN WITNESS WHEREOF, the parties have set their hands the day and year first written 354671v2 CBR RS220 -223 4 CITY OF ROSEMOUNT By: William Droste, Mayor And by: Amy Domeier, City Clerk OWNER Wayne Groth Sheila M. Groth MINNOVA LAND, LLC By: Its: STATE OF MINNESOTA COUNTY OF The foregoing instrument was acknowledged before me this day of 2009, by William Droste and Amy Domeier, the Mayor and Clerk, respectively, of the City of Rosemount, Minnesota, a municipal corporation under the laws of the State of Minnesota, on behalf of the City. STATE OF MINNESOTA SS. COUNTY OF The foregoing instrument was acknowledged before me this day of 2009, by Wayne Groth and Sheila M. Groth, husband and wife, Grantors. NOTARY STAMP OR SEAL STATE OF MINNESOTA SS. COUNTY OF The foregoing instrument was acknowledged before me this day of 2009, by the of Minnova Land, LLC a limited liability company under the laws of the State of Minnesota, Grantors. NOTARY STAMP OR SEAL 354671v2 CBR RS220 -223 ss. 5 Notary Public Notary Public Notary Public That part of the West half of Southeast Quarter of Section 22, Township 115, Range 19, Dakota County, Minnesota lying southerly of the railroad right of way. 354671v2 CBR RS220 -223 Exhibit A 6 Exhibit B Description of the Project Upgrade of an existing 28' (typical) wide, rural, two -lane gravel roadway (County Road 73 also known as Akron Avenue) between County State Aid Highway 42 and Bonaire Path, to a 58' (typical) wide, urban, two -lane paved roadway with center medians and turn lanes, including stormwater ponding and storm sewer necessary for stormwater runoff conveyance within the project area. 354671v2 CBR RS220 -223 7 Parcel 2A 34- 02200 030 -75 ESCROW AGREEMENT THIS AGREEMENT entered into this day of 2009, by and between Wayne Groth and Sheila M. Groth, husband and wife, as fee owners, and Minnova Land, LLC, a Minnesota limited liability company, as contract for deed vendee (collectively, "Owner"), City of Rosemount, a Minnesota municipal corporation, "City") and KENNEDY GRAVEN, CHARTERED "Escrow Agent" or "Agent RECITALS A. City proposes to improve Akron Avenue/County Road No. 73 by reconstruction of the roadway, addition of curb and gutter, construction of a trail or sidewalk and associated storm sewer improvements "City Project 399 B. Owner is the owner of certain real property (the "Property"), legally described as follows: C. City has determined that it requires certain easements from Owner in order to construct City Project No. 399 (the "Easements D. City proposes to finance the construction of City Project No. 399 by using federal funds and by levying special assessments against benefitted properties, including the Property. E. Owner desires the City to proceed with the construction of City Project No. 399 if, and only if, adequate funding, including federal funding, is available. Owner is willing to convey the necessary easements for City Project No. 399 and to petition for construction of City Project No. 417, provided adequate funding is available to offset the costs of the Project. The parties agree as follows: 1. Recitals. The recitals set forth above are true and correct and are incorporated into this Agreement by reference. 2. Escrowed Instruments. Escrow Agent acknowledges and agrees that it has received from Owner (i) an executed and acknowledged original of copy of an instrument conveying the Easements to City (ii) an executed and acknowledged original of a Petition and Waiver Agreement for the construction of City Project No. 399, and (iii) an Easement and Trunk Area Charge Credit Agreement (collectively, the "Instruments Escrow Agent shall hold the Escrowed Instruments in 354670v2 CBR RS220 -223 That part of the West half of Southeast Quarter of Section 22, Township 115, Range 19, Dakota County, Minnesota lying southerly of the railroad right of way. AGREEMENT a secure location until such time, if any, that Escrow Agent receives notice from City as provided in Section 3 below. 3. Delivery and Recording of Instrument. If City secures all needed easements and secures sufficient funds for City Project 399, including federal funds, and adopts a resolution ordering City Project 399, City may provide written notice to Escrow Agent, with a copy to Owner, directing Escrow Agent to release the Instruments from escrow and deliver the same to City for execution and recording by the City. Within two business days after receiving such notice, Escrow Agent shall release the Instruments from escrow and deliver the same to City. 4. Release of Instruments. If City has not directed Escrow Agent to release the Instruments from escrow on or before December 31, 2011, within two business days after receiving written demand from Owner, Escrow Agent shall deliver the original Instruments to Owner for destruction. 5. Notices. Any notice required hereunder shall be given in writing, signed by the party giving notice, personally delivered or mailed by certified or registered mail, return receipt requested, to the parties' respective addresses as set forth below: To Escrow Agent: To Owner: Copy to: To City: Kennedy Graven, Chartered ATTN: Corrine A. Heine 200 South Sixth Street, Suite 470 Minneapolis, MN 55402 Minnova Land, LLC 11430 Zion Circle Bloomington, MN 55437 City of Rosemount Attn: Andy Brotzler 2875 145 St. W. Rosemount, MN 55068 Notice shall be deemed delivered (a) in the case of personal delivery, on the date when personally delivered; or (b) in the case of certified or registered mail, on the date which is one day after deposited in the United States mail with sufficient postage to effect such delivery. Each party may change the address to which notice must be given by delivery of written notice to the other parties in accordance with this Section 6. 6.. Escrow Agent Liability. The sole duties of Escrow Agent shall be those described herein, and Escrow Agent shall be under no obligation to determine whether the other parties hereto are complying with any requirements of law or the terms and conditions of any other agreements among said parties. Escrow Agent may conclusively rely upon and shall be protected in acting on any notice believed by it to be genuine and to have been signed or presented by the proper party or parties, consistent with reasonable due diligence on Escrow Agent's part. Escrow Agent shall have no duty or liability to verify any such notice, and its sole responsibility shall be to act expressly as set forth in this Escrow Agreement. Owner and City understand that Agent is legal counsel to the City and each consents to Agent's serving as Escrow Agent notwithstanding such representation. In the event Agent determines, in its sole discretion, that it cannot continue to serve as Escrow Agent herein, Agent shall deposit the Instruments with Old Republic National Title Insurance Company or such other Escrow Agent acceptable to Owner and City. Owner consents to Agent's continued representation of City, and City agrees to pay all escrow fees charged by the substitute Escrow Agent. 7. This Agreement shall be binding upon the parties hereto and their respective successors and assigns.. This Agreement can be amended or modified only by a writing signed by the parties hereto. This Agreement shall be governed by the laws of the State of Minnesota. [Signatures on following three pages] IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and year first above written. OWNER: Wayne Groth Sheila M. Groth MINNOVA LAND, LLC [Signature page to Escrow Agreement] By: Its: CITY: CITY OF ROSEMOUNT By: Its Mayor By: Its City Clerk [Signature page to Escrow Agreement] ESCROW AGENT: KENNEDY GRAVEN, CHARTERED By: Its: Director [Signature page to Escrow Agreement] Parcel 2B 34- 02200 020 -75 PETITION AND WAIVER AGREEMENT This Agreement made this day of 2009, by and between the City of Rosemount, a Minnesota municipal corporation "City"), and Wayne Groth and Sheila M. Groth, husband and wife, as fee owners, and Minnova Land, LLC a Minnesota limited liability company, as contract for deed vendee (collectively, "Owner"). WITNESSETH: WHEREAS, the Owner collectively holds a fee simple interest in certain real property (the "Subject Property") located in the City the legal description of which is set forth on Exhibit A, attached hereto and hereby made a part hereof; and WHEREAS, the Owner desires to have certain public improvements constructed to serve the Subject Property as described in Exhibit B, attached hereto and hereby made a part hereof (hereinafter referred to as the "Improvement Project and WHEREAS, the Owner wishes for the City to construct the Improvement Project without notice of hearing or hearing on the Improvement Project, and without notice of hearing or hearing on the special assessments levied to finance the Improvement Project, and to levy $13,211.00 of the cost of the Improvement Project against the Subject Property; and WHEREAS, the City is willing to construct the Improvement Project in accordance with the request of the Owner and without such notices or hearings, provided the assurances and covenants hereinafter stated are made by the Owner to ensure that the City will have valid and collectable special assessments as they relate to the Subject Property to finance the costs of the Improvement Project; and WHEREAS, were it not for the assurances and covenants hereinafter provided, the City 354654v2 CBR RS220 -223 1 would not construct the Improvement Project without such notices and hearings and is doing so solely at the behest, and for the benefit of, the Owner. NOW, THEREFORE, ON THE BASIS OF THE MUTUAL COVENANTS AND AGREEMENT HEREINAFTER PROVIDED, IT IS HEREBY AGREED BY AND BETWEEN THE PARTIES HERETO AS FOLLOWS: 1. The Owner hereby petitions the City for construction of the Improvement Project. 2. The Owner represents and warrants that it is the owner of 100 percent of the Subject Property, that it has full legal power and authority to encumber the Subject Property as herein provided, and that as of the date hereof, it has fee simple absolute title in the Subject Property, which is not subject to any liens, interests or encumbrances, except as listed on the attached Exhibit C. 3. The Owner requests that $13,211.00 of the cost of the Improvement Project be assessed against the Subject Property. This agreement relates only to Rosemount City Project No. 399 and is not affected by the easement agreement recorded as document number 2600994 with the Dakota Count Recorder on July 9, 2008, relating to City Project No. 417. 4. The Owner waives notice of hearing and hearing pursuant to Minn. Stat. Section 429.031, on the Improvement Project and notice of hearing and hearing on the special assessments levied to finance the Improvement Project pursuant to Minn. Stat. Section 429.061, and specifically requests that the Improvement Project be constructed and special assessments levied against the Subject Property therefor without hearings. 5. The Owner waives the right to appeal the levy of the special assessments in accordance with this Agreement pursuant to Minn Stat. Section 429.081, or reapportionment thereof upon land division pursuant to Min. Stat. Section 429.071, Subd. 3, or otherwise, and further specifically agrees with respect to such special assessments against the Subject Property or reapportionment that: a. Any requirements of Minn. Stat., Chapter 429 with which the City does not comply are hereby waived by the Owner; b. The increase in fair market value of the Subject Property resulting from construction of the Improvement Project will be at least equal to the amount specified in paragraph 3, and that such increase in fair market value is a special benefit to the Subject Property; and c. Assessment of amount specified in paragraph 3 against the Subject Property is reasonable, fair and equitable. 6. The City will defer the payment of the special assessment for the Improvement Project, without interest, until the Subject Property is subdivided or improved as defined below: 354654v2 CBR RS220 -223 2 a. The Subject Property will be deemed to be subdivided upon final approval by the City Council of a subdivision or division of land that creates buildable lots or parcels of land. Subdivision into outlots that are not buildable will not be deemed to be a subdivision. b. The Subject Property will be deemed to be improved if the owner of the Subject Property or the owner's authorized representative applies for and is granted a permit for the construction of any residential, commercial, agricultural, industrial or other building or structure that requires a building permit (other than permits to rebuild existing buildings destroyed by fire or other casualty). c. The deferment of the special assessment for the Improvement Project will terminate upon the subdivision or improvement of the Subject Property as defined in paragraphs a. and b. above. The special assessments may be paid without interest until the earlier of: 1) 90 days after termination of the deferment; or 2) the issuance of a certificate of occupancy for an improvement or release of a final plat for a subdivision. If the special assessment is not paid by such date, interest on the assessment will accrue at the rate of five percent per year from the termination of the deferral until December 31s of the year in which the assessment is paid. The assessment will be due and payable with ad valorem real estate taxes in the year following the first November 30 occurring after the termination of the deferral of the assessment. 7. The Subject Property is classified as Agricultural Preserve under Minnesota Statutes, Chapter 473H. Owner acknowledges that Minnesota Statutes, Section 473H.11 provides that public roads and other public improvements, such as the Improvement Project, built adjacent to agricultural preserves, are deemed to be of no benefit to land and buildings in agricultural preserves. Owner waives his right to object to, challenge or appeal the special assessments levied in accordance with this agreement on the basis of Minnesota Statutes, Section 473H.11. 8. The covenants, waivers and agreements contained in this Agreement shall bind the successors and assigns of the Owner and shall run with the Subject Property and bind all successors in interest thereof. It is the intent of the parties hereto that this Agreement be in a form which is recordable among the land records of Dakota County, Minnesota; and they agree to make any changes in this Agreement that may be necessary to effect the recording and filing of this Agreement against the title of the Subject Property. 9. The City may abandon the Improvement Project if it is unable to secure agreement of all affected landowners or necessary rights -of -way for the Improvement Project or determines that proceeding with the Improvement Project is not in the public interest. This Agreement will be terminated if the City Council has not awarded a contract for the construction of the Improvement Project by December 31, 2011. 10. If not terminated in accordance with paragraph 9, this Agreement shall terminate upon the final payment of all special assessments levied against the Subject Property regarding the Improvement Project, and the City shall thereupon execute and deliver such documents, in 354654v2 CBR RS220 -223 3 above. recordable form, as are necessary to extinguish its rights hereunder. IN WITNESS WHEREOF, the parties have set their hands the day and year first written 354654v2 CBR RS220 -223 4 CITY OF ROSEMOUNT By: William Droste, Mayor And by: Amy Domeier, City Clerk OWNER Wayne Groth Sheila M. Groth MINNOVA LAND, LLC By: Its: STATE OF MINNESOTA COUNTY OF NOTARY STAMP OR SEAL COUNTY OF NOTARY STAMP OR SEAL ss. The foregoing instrument was acknowledged before me this day of 2009, by William Droste and Amy Domeier, the Mayor and Clerk, respectively, of the City of Rosemount, Minnesota, a municipal corporation under the laws of the State of Minnesota, on behalf of the City. STATE OF MINNESOTA SS. COUNTY OF The foregoing instrument was acknowledged before me this day of 2009, by Wayne Groth and Sheila M. Groth, husband and wife. STATE OF MINNESOTA SS. The foregoing instrument was acknowledged before me this day of 2009, by the of Minnova Land, LLC a limited liability company under the laws of the State of Minnesota. 354654v2 CBR RS220 -223 5 Notary Public Notary Public Notary Public Exhibit A That part of the Southeast Quarter of Section 22, Township 115, Range 19, Dakota County, Minnesota except the railroad right of way, and except the North 1203.50 feet of the East 753.00 feet of said Southeast Quarter, and except that part of the West half of Southeast Quarter of Section 22, Township 115, Range 19, Dakota County, Minnesota lying southerly of the railroad right of way. 354654v2 CBR RS220 -223 6 Exhibit B Description of the Project 1 Upgrade of an existing 28' (typical) wide, rural, two -lane gravel roadway (County Road 73 also known as Akron Avenue) between County State Aid Highway 42 and Bonaire Path, to a 58' (typical) wide, urban, two -lane paved roadway with center medians and turn lanes, including stormwater ponding and storm sewer necessary for stormwater runoff conveyance within the project area. 354654v2 CBR RS220 -223 7 Parcel 2B 34- 02200 020 -75 ESCROW AGREEMENT THIS AGREEMENT entered into this day of 2009, by and between Wayne Groth and Sheila M. Groth, husband and wife, as fee owners, and Minnova Land, LLC a Minnesota limited liability company, as contract for deed vendee (collectively, "Owner City of Rosemount, a Minnesota municipal corporation, "City") and KENNEDY GRAVEN, CHARTERED ("Escrow Agent" or "Agent RECITALS A. City proposes to improve Akron Avenue/County Road No. 73 by reconstruction of the roadway, addition of curb and gutter, construction of a trail or sidewalk and associated storm sewer improvements "City Project 399 B. Owner collectively holds a fee simple interest in certain real property (the "Property"), legally described as follows: That part of the Southeast Quarter of Section 22, Township 115, Range 19, Dakota County, Minnesota except the railroad right of way, and except the North 1203.50 feet of the East 753.00 feet of said Southeast Quarter, and except that part of the West half of Southeast Quarter of Section 22, Township 115, Range 19, Dakota County, Minnesota lying southerly of the railroad right of way. C. City has determined that it requires certain easements from Owner in order to construct City Project No. 399 (the "Easements D. City proposes to finance the construction of City Project No. 399 by using federal funds and by levying special assessments against benefitted properties, including the Property. E. Owner desires the City to proceed with the construction of City Project No. 399 if, and only if, adequate funding, including federal funding, is available. Owner is willing to convey the necessary easements for City Project No. 399 and to petition for construction of City Project No. 417, provided adequate funding is available to offset the costs of the Project. AGREEMENT The parties agree as follows: 1. Recitals. The recitals set forth above are true and correct and are incorporated into this Agreement by reference. 2. Escrowed Instruments. Escrow Agent acknowledges and agrees that it has received from Owner (i) an executed and acknowledged original of copy of an instrument conveying the Easements to City and (ii) an executed and acknowledged original of a Petition and Waiver 354653v2 CBR RS220 -223 Agreement for the construction of City Project No. 399 (collectively, the "Instruments Escrow Agent shall hold the Escrowed Instruments in a secure location until such time, if any, that Escrow Agent receives notice from City as provided in Section 3 below. 3. Delivery and Recording of Instrument. If City secures all needed easements and secures sufficient funds for City Project 399, including federal funds, and adopts a resolution ordering City Project 399, City may provide written notice to Escrow Agent, with a copy to Owner, directing Escrow Agent to release the Instruments from escrow and deliver the same to City for execution and recording by the City. Within two business days after receiving such notice, Escrow Agent shall release the Instruments from escrow and deliver the same to City. 4. Release of Instruments. If City has not directed Escrow Agent to release the Instruments from escrow on or before December 31, 2011, within two business days after receiving written demand from Owner, Escrow Agent shall deliver the original Instruments to Owner for destruction. 5. Notices. Any notice required hereunder shall be given in writing, signed by the party giving notice, personally delivered or mailed by certified or registered mail, return receipt requested, to the parties' respective addresses as set forth below: 354653v2 CBR RS220 -223 To Escrow Agent: To Owner: Wayne Groth and Sheila M. Groth Copy to: Kennedy Graven, Chartered ATTN: Corrine A. Heine 200 South Sixth Street, Suite 470 Minneapolis, MN 55402 Minnova Land, LLC 11430 Zion Circle Bloominton, MN 55437 To City: City of Rosemount Attn: Andy Brotzler 2875 145 St. W. Rosemount, MN 55068 Notice shall be deemed delivered (a) in the case of personal delivery, on the date when personally delivered; or (b) in the case of certified or registered mail, on the date which is one day after deposited in the United States mail with sufficient postage to effect such delivery. Each party may change the address to which notice must be given by delivery of written notice to the other parties in accordance with this Section 6. 6.. Escrow Agent Liability. The sole duties of Escrow Agent shall be those described herein, and Escrow Agent shall be under no obligation to determine whether the other parties hereto are complying with any requirements of law or the terms and conditions of any other agreements among said parties. Escrow Agent may conclusively rely upon and shall be protected in acting on any notice believed by it to be genuine and to have been signed or presented by the proper party or parties, consistent with reasonable due diligence on Escrow Agent's part. Escrow Agent shall have no duty or liability to verify any such notice, and its sole responsibility shall be to act expressly as set forth in this Escrow Agreement. Owner and City understand that Agent is legal counsel to the City and each consents to Agent's serving as Escrow Agent notwithstanding such representation. In the event Agent determines, in its sole discretion, that it cannot continue to serve as Escrow Agent herein, Agent shall deposit the Instruments with Old Republic National Title Insurance Company or such other Escrow Agent acceptable to Owner and City. Owner consents to Agent's continued representation of City, and City agrees to pay all escrow fees charged by the substitute Escrow Agent. 7. This Agreement shall be binding upon the parties hereto and their respective successors and assigns.. This Agreement can be amended or modified only by a writing signed by the parties hereto. This Agreement shall be governed by the laws of the State of Minnesota. 354653v2 CBR RS220 -223 [Signatures on following three pages] IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and year first above written. 354653v2 CBR RS220 -223 OWNER: Wayne Groth Sheila M. Groth [Signature page to Escrow Agreement] MINNOVA LAND, LLC By: Its: 354653v2 CBR RS220 -223 CITY: CITY OF ROSEMOUNT By: Its Mayor By: Its City Clerk [Signature page to Escrow Agreement] 354653v2 CBR RS220 -223 ESCROW AGENT: KENNEDY GRAVEN, CHARTERED By: Its: Director [Signature page to Escrow Agreement] Parcel 5 34- 02200 013 -50 PETITION AND WAIVER AGREEMENT This Agreement made this day of 2009, by and between the City of Rosemount, a Minnesota municipal corporation ("City"), and by Kogl Family Limited Partnership, a limited partnership organized under the laws of the State of Minnesota; JMOR Real Estate Investments, LLC, a limited liability company organized under the laws of the State of Minnesota; and BVM Real Estate Investments, LLC, a limited liability company organized under the laws of the State of Minnesota, (collectively "Owner WITNESSETH: WHEREAS, the Owner is the fee owner of certain real property (the "Subject Propert located in the City the legal description of which is set forth on Exhibit A, attached hereto and hereby made a part hereof; and WHEREAS, the Owner desires to have certain public improvements constructed to serve the Subject Property as described in Exhibit B, attached hereto and hereby made a part hereof (hereinafter referred to as the "Improvement Project and WHEREAS, the Owner wishes for the City to construct the Improvement Project without notice of hearing or hearing on the Improvement Project, and without notice of hearing or hearing on the special assessments levied to finance the Improvement Project, and to levy $13,650.00 of the cost of the Improvement Project against the Subject Property; and WHEREAS, the City is willing to construct the Improvement Project in accordance with the request of the Owner and without such notices or hearings, provided the assurances and covenants hereinafter stated are made by the Owner to ensure that the City will have valid and collectable 1 special assessments as they relate to the Subject Property to finance the costs of the Improvement Project; and WHEREAS, were it not for the assurances and covenants hereinafter provided, the City would not construct the Improvement Project without such notices and hearings and is doing so solely at the behest, and for the benefit of, the Owner. NOW, THEREFORE, ON THE BASIS OF THE MUTUAL COVENANTS AND AGREEMENT HEREINAFTER PROVIDED, IT IS HEREBY AGREED BY AND BETWEEN THE PARTIES HERETO AS FOLLOWS: 1. The Owner hereby petitions the City for construction of the Improvement Project. 2. The Owner represents and warrants that it is the owner of 100 percent of the Subject Property, that it has full legal power and authority to encumber the Subject Property as herein provided, and that as of the date hereof, it has fee simple absolute title in the Subject Property, which is not subject to any liens, interests or encumbrances, except as listed on the attached Exhibit C. 3. The Owner requests that $13,650.00 of the cost of the Improvement Project be assessed against the Subject Property. 4. The Owner waives notice of hearing and hearing pursuant to Minn. Stat. Section 429.031, on the Improvement Project and notice of hearing and hearing on the special assessments levied to finance the Improvement Project pursuant to Minn Stat. Section 429.061, and specifically requests that the Improvement Project be constructed and special assessments levied against the Subject Property therefor without hearings. 5. The Owner waives the right to appeal the levy of the special assessments in accordance with this Agreement pursuant to Minn. Stat. Section 429.081, or reapportionment thereof upon land division pursuant to Min. Stat. Section 429.071, Subd. 3, or otherwise, and further specifically agrees with respect to such special assessments against the Subject Property or reapportionment that: a. Any requirements of Minn Stat., Chapter 429 with which the City does not comply are hereby waived by the Owner; b. The increase in fair market value of the Subject Property resulting from construction of the Improvement Project will be at least equal to the amount specified in paragraph 3, and that such increase in fair market value is a special benefit to the Subject Property; and 2 c. Assessment of amount specified in paragraph 3 against the Subject Property is reasonable, fair and equitable. 6. The City will defer the payment of the special assessment for the Improvement Project, without interest, until the Subject Property is subdivided or improved as defined below: a. The Subject Property will be deemed to be subdivided upon final approval by the City Council of a subdivision or division of land that creates buildable lots or parcels of land. Subdivision into outlots that are not buildable will not be deemed to be a subdivision. b. The Subject Property will be deemed to be improved if the owner of the Subject Property or the owner's authorized representative applies for and is granted a permit for the construction of any residential, commercial, agricultural, industrial or other building or structure that requires a building permit (other than permits to rebuild existing buildings destroyed by fire or other casualty). c. The deferment of the special assessment for the Improvement Project will terminate upon the subdivision or improvement of the Subject Property as defined in paragraphs a. and b. above. The special assessments may be paid without interest until the earlier of: 1) 90 days after termination of the deferment; or 2) the issuance of a certificate of occupancy for an improvement or release of a final plat for a subdivision. If the special assessment is not paid by such date, interest on the assessment will accrue at the rate of five percent per year from the termination of the deferral until December 31 of the year in which the assessment is paid. The assessment will be due and payable with ad valorem real estate taxes in the year following the first November 30 occurring after the termination of the deferral of the assessment. 7. As of the date of this Agreement, the Subject Property qualifies for deferral of special assessments under Minnesota Statutes, Section 273.111. If payment of special assessments becomes due under this Agreement while the Subject Property still qualifies for deferral under Section 273.111, such special assessment shall continue to be deferred as long as it qualifies for such deferral but shall become payable, together with interest as specified in paragraph 6c of this Agreement, in accordance with Minnesota Statutes, Section 273.111. 8. The covenants, waivers and agreements contained in this Agreement shall bind the successors and assigns of the Owner and shall run with the Subject Property and bind all successors in interest thereof. It is the intent of the parties hereto that this Agreement be in a form which is recordable among the land records of Dakota County, Minnesota; and they agree to make any changes in this Agreement that may be necessary to effect the recording and filing of this Agreement against the title of the Subject Property. 9. The City may abandon the Improvement Project if it is unable to secure agreement of all affected landowners or necessary rights -of -way for the Improvement Project or determines 3 that proceeding with the Improvement Project is not in the public interest. This Agreement will be terminated if the City Council has not awarded a contract for the construction of the Improvement Project by December 31, 2011. 10. If not terminated in accordance with paragraph 9, this Agreement shall terminate upon the final payment of all special assessments levied against the Subject Property regarding the Improvement Project, and the City shall thereupon execute and deliver such documents, in recordable form, as are necessary to extinguish its rights hereunder. above. IN WITNESS WHEREOF, the parties have set their hands the day and year first written STATE OF MINNESOTA ss. COUNTY OF DAKOTA The foregoing instrument was acknowledged before me this day of 2009, by William Droste and Amy Domeier, the Mayor and Clerk, respectively, of the City of Rosemount, Minnesota, a municipal corporation under the laws of the State of Minnesota, on behalf of the City. 4 CITY OF ROSEMOUNT By: William Droste, Mayor And by: Amy Domeier, City Clerk Notary Public STATE OF MINNESOTA SS. COUNTY OF NOTARY STAMP OR SEAL OWNER Kogl Family Limited Partnership By Its General Partner The foregoing instrument was acknowledged before me this day of 2009 by Jeanne Kogl, the General Partner of Kogl Family Limited Partnership, a limited partnership organized under the laws of the State of Minnesota, on behalf of the limited partnership, Grantor. 5 Notary Public STATE OF MINNESOTA SS. COUNTY OF NOTARY STAMP OR SEAL JMOR Real Estate Investments, LLC By Its Chief Manager The foregoing instrument was acknowledged before me this day of 2009 by Jill Minea O'Rourke, Chief Manager of JMOR Real Estate Investments, LLC, a limited liability company organized under the laws of the State of Minnesota, on behalf of the limited liability company, Grantor. BVM Real Estate Investments, LLC By Its Chief Manager 6 Notary Public STATE OF MINNESOTA SS. COUNTY OF BVM Real Estate Investments, LLC By Its Chief Manager The foregoing instrument was acknowledged before me this day of 2009 by Bruce V. Minea, the Chief Manager of BVM Real Estate Investments, LLC, a limited liability company organized under the laws of the State of Minnesota, on behalf of the limited liability company, Grantor. NOTARY STAMP OR SEAL 7 Notary Public Exhibit A That part of the East Half of the Southwest Quarter (E1 /2 SW 1/4) of Section 22, Township 115, Range 19, Dakota County, Minnesota, lying northerly of the northerly right -of -way line of the Chicago, Rock Island and Pacific Railroad, and lying southerly of the centerline of 135` Street West as now established (also known as County Road No. 38). 8 Exhibit B Description of the Project Upgrade of an existing 28' (typical) wide, rural, two -lane gravel roadway (County Road 73 also known as Akron Avenue) between County State Aid Highway 42 and Bonaire Path, to a 58' (typical) wide, urban, two -lane paved roadway with center medians and turn lanes, including stormwater ponding and storm sewer necessary for stormwater runoff conveyance within the project area. 9 Parcel 5 34- 02200 013 -50 ESCROW AGREEMENT THIS AGREEMENT entered into this day of 2009, by and between by Kogl Family Limited Partnership, a limited partnership organized under the laws of the State of Minnesota; JMOR Real Estate Investments, LLC, a limited liability company organized under the laws of the State of Minnesota; and BVM Real Estate Investments, LLC, a limited liability company organized under the laws of the State of Minnesota (collectively "Owner City of Rosemount, a Minnesota municipal corporation, "City") and KENNEDY GRAVEN, CHARTERED "Escrow Agent" or "Agent RECITALS A. City proposes to improve Akron Avenue/County Road No. 73 by reconstruction of the roadway, addition of curb and gutter, construction of a trail or sidewalk and associated storm sewer improvements "City Project 399 B. Owner is the fee owner of certain real property (the "Property"), legally described as follows: That part of the East Half of the Southwest Quarter (E1 /2 SW 1/4) of Section 22, Township 115, Range 19, Dakota County, Minnesota, lying northerly of the northerly right -of -way line of the Chicago, Rock Island and Pacific Railroad, and lying southerly of the centerline of 135 Street West as now established (also known as County Road No. 38). C. City has determined that it requires certain easements from Owner in order to construct City Project No. 399 (the "Easements D. City proposes to finance the construction of City Project No. 399 by using federal funds and by levying special assessments against benefitted properties, including the Property. E. Owner desires the City to proceed with the construction of City Project No. 399 if, and only if, adequate funding, including federal funding, is available. Owner is willing to convey the necessary easements for City Project No. 399 and to petition for construction of City Project No. 417, provided adequate funding is available to offset the costs of the Project. AGREEMENT The parties agree as follows: 1. Recitals. The recitals set forth above are true and correct and are incorporated into this Agreement by reference. 2. Escrowed Instruments. Escrow Agent acknowledges and agrees that it has received from Owner (i) an executed and acknowledged original of copy of an instrument conveying the Easements to City (ii) an executed and acknowledged original of a Petition and Waiver Agreement for the construction of City Project No. 399, and (iii) an Easement and Trunk Area Charge Credit Agreement (collectively, the "Instruments Escrow Agent shall hold the Escrowed Instruments in a secure location until such time, if any, that Escrow Agent receives notice from City as provided in Section 3 below. 3. Delivery and Recording of Instrument. If City secures all needed easements and secures sufficient funds for City Project 399, including federal funds, and adopts a resolution ordering City Project 399, City may provide written notice to Escrow Agent, with a copy to Owner, directing Escrow Agent to release the Instruments from escrow and deliver the same to City for execution and recording by the City. Within two business days after receiving such notice, Escrow Agent shall release the Instruments from escrow and deliver the same to City. 4. Release of Instruments. If City has not directed Escrow Agent to release the Instruments from escrow on or before December 31, 2011, within two business days after receiving written demand from Owner, Escrow Agent shall deliver the original Instruments to Owner for destruction. 5. Notices. Any notice required hereunder shall be given in writing, signed by the party giving notice, personally delivered or mailed by certified or registered mail, return receipt requested, to the parties' respective addresses as set forth below: To Escrow Agent: To Owner: Copy to: To City: Kennedy Graven, Chartered ATTN: Corrine A. Heine 200 South Sixth Street, Suite 470 Minneapolis, MN 55402 City of Rosemount Attn: Andy Brotzler 2875 145 St. W. Rosemount, MN 55068 Notice shall be deemed delivered (a) in the case of personal delivery, on the date when personally delivered; or (b) in the case of certified or registered mail, on the date which is one day after deposited in the United States mail with sufficient postage to effect such delivery. Each party may change the address to which notice must be given by delivery of written notice to the other parties in accordance with this Section 6. 6.. Escrow Agent Liability. The sole duties of Escrow Agent shall be those described herein, and Escrow Agent shall be under no obligation to determine whether the other parties hereto are complying with any requirements of law or the terms and conditions of any other agreements among said parties. Escrow Agent may conclusively rely upon and shall be protected in acting on any notice believed by it to be genuine and to have been signed or presented by the proper party or parties, consistent with reasonable due diligence on Escrow Agent's part. Escrow Agent shall have no duty or liability to verify any such notice, and its sole responsibility shall be to act expressly as set forth in this Escrow Agreement. Owner and City understand that Agent is legal counsel to the City and each consents to Agent's serving as Escrow Agent notwithstanding such representation. In the event Agent determines, in its sole discretion, that it cannot continue to serve as Escrow Agent herein, Agent shall deposit the Instruments with Old Republic National Title Insurance Company or such other Escrow Agent acceptable to Owner and City. Owner consents to Agent's continued representation of City, and City agrees to pay all escrow fees charged by the substitute Escrow Agent. 7. This Agreement shall be binding upon the parties hereto and their respective successors and assigns.. This Agreement can be amended or modified only by a writing signed by the parties hereto. This Agreement shall be governed by the laws of the State of Minnesota. [Signatures on following three pages] IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and year first above written. OWNER: Kogl Family Limited Partnership By Its General Partner JMOR Real Estate Investments, LLC By Its Chief Manager BVM Real Estate Investments, LLC By Its Chief Manager [Signature page to Escrow Agreement] ESCROW AGENT: KENNEDY GRAVEN, CHARTERED By: Its: Director [Signature page to Escrow Agreement] CITY: CITY OF ROSEMOUNT By: Its Mayor By: Its City Clerk [Signature page to Escrow Agreement] Parcel 6 34- 58600- 010 -00 PETITION AND WAIVER AGREEMENT This Agreement made this day of 2009, by and between the City of Rosemount, a Minnesota municipal corporation ("City"), and Arcon Development, Inc., a corporation organized under the laws of the State of Minnesota "Owner WITNESSETH: WHEREAS, the Owner is the fee owner of certain real property (the "Subject Property located in the City the legal description of which is set forth on Exhibit A, attached hereto and hereby made a part hereof; and WHEREAS, the Owner desires to have certain public improvements constructed to serve the Subject Property as described in Exhibit B, attached hereto and hereby made a part hereof (hereinafter referred to as the "Improvement Project and WHEREAS, the Owner wishes for the City to construct the Improvement Project without notice of hearing or hearing on the Improvement Project, and without notice of hearing or hearing on the special assessments levied to finance the Improvement Project, and to levy $37,204.00 of the cost of the Improvement Project against the Subject Property; and WHEREAS, the City is willing to construct the Improvement Project in accordance with the request of the Owner and without such notices or hearings, provided the assurances and covenants hereinafter stated are made by the Owner to ensure that the City will have valid and collectable special assessments as they relate to the Subject Property to finance the costs of the Improvement Project; and WHEREAS, were it not for the assurances and covenants hereinafter provided, the City would not construct the Improvement Project without such notices and hearings and is doing so 1 solely at the behest, and for the benefit of, the Owner. NOW, THEREFORE, ON THE BASIS OF THE MUTUAL COVENANTS AND AGREEMENT HEREINAFTER PROVIDED, IT IS HEREBY AGREED BY AND BETWEEN THE PARTIES HERETO AS FOLLOWS: 1. The Owner hereby petitions the City for construction of the Improvement Project. 2. The Owner represents and warrants that it is the owner of 100 percent of the Subject Property, that it has full legal power and authority to encumber the Subject Property as herein provided, and that as of the date hereof, it has fee simple absolute title in the Subject Property, which is not subject to any liens, interests or encumbrances, except as listed on the attached Exhibit C. 3. The Owner requests that $37,204.00 of the cost of the Improvement Project be assessed against the Subject Property. 4. The Owner waives notice of hearing and hearing pursuant to Minn. Stat. Section 429.031, on the Improvement Project and notice of hearing and hearing on the special assessments levied to finance the Improvement Project pursuant to Minn. Stat. Section 429.061, and specifically requests that the Improvement Project be constructed and special assessments levied against the Subject Property therefor without hearings. 5. The Owner waives the right to appeal the levy of the special assessments in accordance with this Agreement pursuant to Minn. Stat. Section 429.081, or reapportionment thereof upon land division pursuant to Min. Stat. Section 429.071, Subd. 3, or otherwise, and further specifically agrees with respect to such special assessments against the Subject Property or reapportionment that: a. Any requirements of Minn. Stat., Chapter 429 with which the City does not comply are hereby waived by the Owner; b. The increase in fair market value of the Subject Property resulting from construction of the Improvement Project will be at least equal to the amount specified in paragraph 3, and that such increase in fair market value is a special benefit to the Subject Property; and c. Assessment of amount specified in paragraph 3 against the Subject Property is reasonable, fair and equitable. 6. The City will defer the payment of the special assessment for the Improvement Project, without interest, until the Subject Property is subdivided or improved as defined below: a. The Subject Property will be deemed to be subdivided upon final approval by the City Council of a subdivision or division of land that creates buildable lots or parcels of land. Subdivision into outlots that are not buildable will not be deemed to be a 2 subdivision. b. The Subject Property will be deemed to be improved if the owner of the Subject Property or the owner's authorized representative applies for and is granted a permit for the construction of any residential, commercial, agricultural, industrial or other building or structure that requires a building permit (other than permits to rebuild existing buildings destroyed by fire or other casualty). c. The deferment of the special assessment for the Improvement Project will terminate upon the subdivision or improvement of the Subject Property as defined in paragraphs a. and b. above. The special assessments may be paid without interest until the earlier of: 1) 90 days after termination of the deferment; or 2) the issuance of a certificate of occupancy for an improvement or release of a final plat for a subdivision. If the special assessment is not paid by such date, interest on the assessment will accrue at the rate of five percent per year from the termination of the deferral until December 31 of the year in which the assessment is paid. The assessment will be due and payable with ad valorem real estate taxes in the year following the first November 30 occurring after the termination of the deferral of the assessment. 7. Owner represents and warrants that the Subject Property is not so classified for tax purposes as to result in deferral of the obligation to pay special assessments; and Owner agrees that it will take no action to secure such tax status for the Subject Property during the term of this Agreement. 8. The covenants, waivers and agreements contained in this Agreement shall bind the successors and assigns of the Owner and shall run with the Subject Property and bind all successors in interest thereof. It is the intent of the parties hereto that this Agreement be in a form which is recordable among the land records of Dakota County, Minnesota; and they agree to make any changes in this Agreement that may be necessary to effect the recording and filing of this Agreement against the title of the Subject Property. 9. The City may abandon the Improvement Project if it is unable to secure agreement of all affected landowners or necessary rights -of -way for the Improvement Project or determines that proceeding with the Improvement Project is not in the public interest. This Agreement will be terminated if the City Council has not awarded a contract for the construction of the Improvement Project by December 31, 2011. 10. If not terminated in accordance with paragraph 9, this Agreement shall terminate upon the final payment of all special assessments levied against the Subject Property regarding the Improvement Project, and the City shall thereupon execute and deliver such documents, in recordable form, as are necessary to extinguish its rights hereunder. 3 above. COUNTY OF IN WITNESS WHEREOF, the parties have set their hands the day and year first written STATE OF MINNESOTA ss. The foregoing instrument was acknowledged before me this day of 2009, by William Droste and Amy Domeier, the Mayor and Clerk, respectively, of the City of Rosemount, Minnesota, a municipal corporation under the laws of the State of Minnesota, on behalf of the City. STATE OF MINNESOTA SS. COUNTY OF The foregoing instrument was acknowledged before me this day of 2009, by Scott Johnson, the President of Arcon Development, Inc., a corporation under the laws of Minnesota by and on behalf of said corporation. Notary Public 4 CITY OF ROSEMOUNT By: William Droste, Mayor And by: Amy Domeier, City Clerk OWNER ARCON DEVELOPMENT, INC. By Scott Johnson President Notary Public Parcel 6 34- 58600- 010 -00 ESCROW AGREEMENT THIS AGREEMENT entered into this day of 2009, by and between Arcon Development, Inc., a corporation organized under the laws of the State of Minnesota, "Owner City of Rosemount, a Minnesota municipal corporation, "City") and KENNEDY GRAVEN, CHARTERED "Escrow Agent" or "Agent RECITALS A. City proposes to improve Akron Avenue/County Road No. 73 by reconstruction of the roadway, addition of curb and gutter, construction of a trail or sidewalk and associated storm sewer improvements "City Project 399 B. Owner is the fee owner of certain real property (the "Property"), legally described as follows: Outlot A, PRESTWICK PLACE, according to the plat on file and of record in the office of the County Recorder, Dakota County, Minnesota EXCEPTING THEREFROM that part which lies within the West Half of the Southwest Quarter of Section 22, Township 115, Range 19, Dakota County, Minnesota. C City has determined that it requires certain easements from Owner in order to construct City Project No. 399 (the "Easements D. City proposes to finance the construction of City Project No. 399 by using federal funds and by levying special assessments against benefitted properties, including the Property. E. Owner desires the City to proceed with the construction of City Project No. 399 if, and only if, adequate funding, including federal funding, is available. Owner is willing to convey the necessary easements for City Project No. 399 and to petition for construction of City Project No. 417, provided adequate funding is available to offset the costs of the Project. AGREEMENT The parties agree as follows: 1. Recitals. The recitals set forth above are true and correct and are incorporated into this Agreement by reference. 2. Escrowed Instruments. Escrow Agent acknowledges and agrees that it has received from Owner (i) an executed and acknowledged original of copy of an instrument conveying the Easements to City and (ii) an executed and acknowledged original of a Petition and Waiver Agreement for the construction of City Project No. 399 (collectively, the "Instruments Escrow Agent shall hold the Escrowed Instruments in a secure location until such time, if any, that Escrow Agent receives notice from City as provided in Section 3 below. 3. Delivery and Recording of Instrument. If City secures all needed easements and secures sufficient funds for City Project 399, including federal funds, and adopts a resolution ordering City Project 399, City may provide written notice to Escrow Agent, with a copy to Owner, directing Escrow Agent to release the Instruments from escrow and deliver the same to City for execution and recording by the City. Within two business days after receiving such notice, Escrow Agent shall release the Instruments from escrow and deliver the same to City. 4. Release of Instruments. If City has not directed Escrow Agent Instruments from escrow on or before December 31, 2011, within two business days written demand from Owner, Escrow Agent shall deliver the original Instruments destruction. 5. Notices. Any notice required hereunder shall be given in writing, party giving notice, personally delivered or mailed by certified or registered mail, requested, to the parties' respective addresses as set forth below: To Escrow Agent: To Owner: Copy to: To City: Kennedy Graven, Chartered ATTN: Corrine A. Heine 200 South Sixth Street, Suite 470 Minneapolis, MN 55402 Arcon Development, Inc. 7625 Metro Boulevard, Suite 350 Edinia, MN 55439 City of Rosemount Attn: Andy Brotzler 2875 145 St. W. Rosemount, MN 55068 to release the after receiving to Owner for signed by the return receipt Notice shall be deemed delivered (a) in the case of personal delivery, on the date when personally delivered; or (b) in the case of certified or registered mail, on the date which is one day after deposited in the United States mail with sufficient postage to effect such delivery. Each party may change the address to which notice must be given by delivery of written notice to the other parties in accordance with this Section 6. 6.. Escrow Agent Liability. The sole duties of Escrow Agent shall be those described herein, and Escrow Agent shall be under no obligation to determine whether the other parties hereto are complying with any requirements of law or the terms and conditions of any other agreements among said parties. Escrow Agent may conclusively rely upon and shall be protected in acting on any notice believed by it to be genuine and to have been signed or presented by the proper party or parties, consistent with reasonable due diligence on Escrow Agent's part. Escrow Agent shall have no duty or liability to verify any such notice, and its sole responsibility shall be to act expressly as set forth in this Escrow Agreement. Owner and City understand that Agent is legal counsel to the City and each consents to Agent's serving as Escrow Agent notwithstanding such representation. In the event Agent determines, in its sole discretion, that it cannot continue to serve as Escrow Agent herein, Agent shall deposit the Instruments with Old Republic National Title Insurance Company or such other Escrow Agent acceptable to Owner and City. Owner consents to Agent's continued representation of City, and City agrees to pay all escrow fees charged by the substitute Escrow Agent. 7. This Agreement shall be binding upon the parties hereto and their respective successors and assigns.. This Agreement can be amended or modified only by a writing signed by the parties hereto. This Agreement shall be governed by the laws of the State of Minnesota. [Signatures on following three pages] IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and year first above written. OWNER: ARCON DEVELOPMENT, INC. By Scott Johnson President [Signature page to Escrow Agreement] CITY: CITY OF ROSEMOUNT By: Its: Mayor By: Its: City Clerk [Signature page to Escrow Agreement] ESCROW AGENT: KENNEDY GRAVEN, CHARTERED By: Its: Director [Signature page to Escrow Agreement] Exhibit B Description of the Project Upgrade of an existing 28' (typical) wide, rural, two -lane gravel roadway (County Road 73 also known as Akron Avenue) between County State Aid Highway 42 and Bonaire Path, to a 58' (typical) wide, urban, two -lane paved roadway with center medians and turn lanes, including stormwater ponding and storm sewer necessary for stormwater runoff conveyance within the project area. 6 Exhibit A Outlot A, PRESTWICK PLACE, according to the plat on file and of record in the office of the County Recorder, Dakota County, Minnesota EXCEPTING THEREFROM that part which lies within the West Half of the Southwest Quarter of Section 22, Township 115, Range 19, Dakota County, Minnesota. 5 Parcel 11A 34- 58600- 090 -00 PETITION AND WAIVER AGREEMENT This Agreement made this day of 2009, by and between the City of Rosemount, a Minnesota municipal corporation "City"), and AKRON 42, LLC a limited liability company organized under the laws of the State of Minnesota "Owner"). WITNESSETH: WHEREAS, the Owner is the fee owner of certain real property (the "Subject Property located in the City the legal description of which is set forth on Exhibit A, attached hereto and hereby made a part hereof; and WHEREAS, the Owner desires to have certain public improvements constructed to serve the Subject Property as described in Exhibit B, attached hereto and hereby made a part hereof (hereinafter referred to as the "Improvement Project and WHEREAS, the Owner wishes for the City to construct the Improvement Project without notice of hearing or hearing on the Improvement Project, and without notice of hearing or hearing on the special assessments levied to finance the Improvement Project, and to levy $19,026.00 of the cost of the Improvement Project against the Subject Property; and WHEREAS, the City is willing to construct the Improvement Project in accordance with the request of the Owner and without such notices or hearings, provided the assurances and covenants hereinafter stated are made by the Owner to ensure that the City will have valid and collectable special assessments as they relate to the Subject Property to finance the costs of the Improvement Project; and WHEREAS, were it not for the assurances and covenants hereinafter provided, the City 1 would not construct the Improvement Project without such notices and hearings and is doing so solely at the behest, and for the benefit of, the Owner. NOW, THEREFORE, ON THE BASIS OF THE MUTUAL COVENANTS AND AGREEMENT HEREINAFTER PROVIDED, IT IS HEREBY AGREED BY AND BETWEEN THE PARTIES HERETO AS FOLLOWS: 1. The Owner hereby petitions the City for construction of the Improvement Project. 2. The Owner represents and warrants that it is the owner of 100 percent of the Subject Property, that it has full legal power and authority to encumber the Subject Property as herein provided, and that as of the date hereof, it has fee simple absolute title in the Subject Property, which is not subject to any liens, interests or encumbrances, except as listed on the attached Exhibit C. 3. The Owner requests that $19,026.00 of the cost of the Improvement Project be assessed against the Subject Property. 4. The Owner waives notice of hearing and hearing pursuant to Minn. Stat. Section 429.031, on the Improvement Project and notice of hearing and hearing on the special assessments levied to finance the Improvement Project pursuant to Minn. Stat. Section 429.061, and specifically requests that the Improvement Project be constructed and special assessments levied against the Subject Property therefor without hearings. 5. The Owner waives the right to appeal the levy of the special assessments in accordance with this Agreement pursuant to Minn. Stat. Section 429.081, or reapportionment thereof upon land division pursuant to Min. Stat. Section 429.071, Subd. 3, or otherwise, and further specifically agrees with respect to such special assessments against the Subject Property or reapportionment that: a. Any requirements of Minn. Stat., Chapter 429 with which the City does not comply are hereby waived by the Owner; b. The increase in fair market value of the Subject Property resulting from construction of the Improvement Project will be at least equal to the amount specified in paragraph 3, and that such increase in fair market value is a special benefit to the Subject Property; and c. Assessment of amount specified in paragraph 3 against the Subject Property is reasonable, fair and equitable. 6. The City will defer the payment of the special assessment for the Improvement Project, without interest, until the Subject Property is subdivided or improved as defined below: a. The Subject Property will be deemed to be subdivided upon final approval by the City Council of a subdivision or division of land that creates buildable lots or parcels of land. Subdivision into outlots that are not buildable will not be deemed to be a subdivision. b. The Subject Property will be deemed to be improved if the owner of the Subject Property or the owner's authorized representative applies for and is granted a permit for the construction of any residential, commercial, agricultural, industrial or other building or structure that requires a building permit (other than permits to rebuild existing buildings destroyed by fire or other casualty). c. The deferment of the special assessment for the Improvement Project will terminate upon the subdivision or improvement of the Subject Property as defined in paragraphs a. and b. above. The special assessments may be paid without interest until the earlier of: 1) 90 days after termination of the deferment; or 2) the issuance of a certificate of occupancy for an improvement or release of a final plat for a subdivision. If the special assessment is not paid by such date, interest on the assessment will accrue at the rate of five percent per year from the termination of the deferral until December 31 of the year in which the assessment is paid. The assessment will be due and payable with ad valorem real estate taxes in the year following the first November 30 occurring after the termination of the deferral of the assessment. 7. Owner represents and warrants that the Subject Property is not so classified for tax purposes as to result in deferral of the obligation to pay special assessments; and Owner agrees that it will take no action to secure such tax status for the Subject Property during the term of this Agreement. 8. The covenants, waivers and agreements contained in this Agreement shall bind the successors and assigns of the Owner and shall run with the Subject Property and bind all successors in interest thereof. It is the intent of the parties hereto that this Agreement be in a form which is recordable among the land records of Dakota County, Minnesota; and they agree to make any changes in this Agreement that may be necessary to effect the recording and filing of this Agreement against the title of the Subject Property. 9. The City may abandon the Improvement Project if it is unable to secure agreement of all affected landowners or necessary rights -of -way for the Improvement Project or determines that proceeding with the Improvement Project is not in the public interest. This Agreement will be terminated if the City Council has not awarded a contract for the construction of the Improvement Project by December 31, 2011. 10. If not terminated in accordance with paragraph 9, this Agreement shall terminate upon the final payment of all special assessments levied against the Subject Property regarding the Improvement Project, and the City shall thereupon execute and deliver such documents, in recordable form, as are necessary to extinguish its rights hereunder. 3 above. IN WITNESS WHEREOF, the parties have set their hands the day and year first written STATE OF MINNESOTA ss. COUNTY OF DAKOTA 4 CITY OF ROSEMOUNT By: William Droste, Mayor And by: Amy Domeier, City Clerk OWNER AKRON 42, LLC By Its The foregoing instrument was acknowledged before me this day of 2009, by William Droste and Amy Domeier, the Mayor and Clerk, respectively, of the City of Rosemount, Minnesota, a municipal corporation under the laws of the State of Minnesota, on behalf of the City. Notary Public STATE OF MINNESOTA SS. COUNTY OF The foregoing instrument was acknowledged before me this day of 2009, by the of AKRON 42, LLC a limited liability company under the laws of Minnesota by and on behalf of said limited liability company. 5 Notary Public Exhibit A Outlot I, PRESTWICK PLACE, according to the plat on file and of record in the office of the County Recorder, Dakota County, Minnesota. 6 Exhibit B Description of the Project Upgrade of an existing 28' (typical) wide, rural, two -lane gravel roadway (County Road 73 also known as Akron Avenue) between County State Aid Highway 42 and Bonaire Path, to a 58' (typical) wide, urban, two -lane paved roadway with center medians and turn lanes, including stormwater ponding and storm sewer necessary for stormwater runoff conveyance within the project area. 7 Parcel 11A 34- 58600- 090 -00 ESCROW AGREEMENT THIS AGREEMENT entered into this day of 2009, by and between AKRON 42, LLC a limited liability company organized under the laws of the State of Minnesota "Owner City of Rosemount, a Minnesota municipal corporation, "City") and KENNEDY GRAVEN, CHARTERED ("Escrow Agent" or "Agent RECITALS A. City proposes to improve Akron Avenue/County Road No. 73 by reconstruction of the roadway, addition of curb and gutter, construction of a trail or sidewalk and associated storm sewer improvements "City Project 399 B. Owner is the fee owner of certain real property (the "Property"), legally described as follows: Outlot I, PRESTWICK PLACE, according to the plat on file and of record in the office of the County Recorder, Dakota County, Minnesota. C. City has determined that it requires certain easements from Owner in order to construct City Project No. 399 (the "Easements D. City proposes to finance the construction of City Project No. 399 by using federal funds and by levying special assessments against benefitted properties, including the Property. E. Owner desires the City to proceed with the construction of City Project No. 399 if, and only if, adequate funding, including federal funding, is available. Owner is willing to convey the necessary easements for City Project No. 399 and to petition for construction of City Project No. 417, provided adequate funding is available to offset the costs of the Project. AGREEMENT The parties agree as follows: 1. Recitals. The recitals set forth above are true and correct and are incorporated into this Agreement by reference. 2. Escrowed Instruments. Escrow Agent acknowledges and agrees that it has received from Owner (i) an executed and acknowledged original of copy of an instrument conveying the Easements to City and (ii) an executed and acknowledged original of a Petition and Waiver Agreement for the construction of City Project No. 399 (collectively, the "Instruments Escrow Agent shall hold the Escrowed Instruments in a secure location until such time, if any, that Escrow Agent receives notice from City as provided in Section 3 below. 1 3. Delivery and Recording of Instrument. If City secures all needed easements and secures sufficient funds for City Project 399, including federal funds, and adopts a resolution ordering City Project 399, City may provide written notice to Escrow Agent, with a copy to Owner, directing Escrow Agent to release the Instruments from escrow and deliver the same to City for execution and recording by the City. Within two business days after receiving such notice, Escrow Agent shall release the Instruments from escrow and deliver the same to City. 4. Release of Instruments. If City has not directed Escrow Agent to release the Instruments from escrow on or before December 31, 2011, within two business days after receiving written demand from Owner, Escrow Agent shall deliver the original Instruments to Owner for destruction. 5. Notices. Any notice required hereunder shall be given in writing, signed by the party giving notice, personally delivered or mailed by certified or registered mail, return receipt requested, to the parties' respective addresses as set forth below: To Escrow Agent: To Owner: Copy to: Kennedy Graven, Chartered ATTN: Corrine A. Heine 200 South Sixth Street, Suite 470 Minneapolis, MN 55402 AKRON 42, LLC 7625 Metro Blvd., Suite 350 Edina, MN 55439 To City: City of Rosemount Attn: Andy Brotzler 2875 145 St. W. Rosemount, MN 55068 Notice shall be deemed delivered (a) in the case of personal delivery, on the date when personally delivered; or (b) in the case of certified or registered mail, on the date which is one day after deposited in the United States mail with sufficient postage to effect such delivery. Each party may change the address to which notice must be given by delivery of written notice to the other parties in accordance with this Section 6. 6.. Escrow Agent Liability. The sole duties of Escrow Agent shall be those described herein, and Escrow Agent shall be under no obligation to determine whether the other parties hereto are complying with any requirements of law or the terms and conditions of any other agreements among said parties. Escrow Agent may conclusively rely upon and shall be protected in acting on any notice believed by it to be genuine and to have been signed or presented by the proper party or parties, consistent with reasonable due diligence on Escrow Agent's part. Escrow Agent shall have 2 no duty or liability to verify any such notice, and its sole responsibility shall be to act expressly as set forth in this Escrow Agreement. Owner and City understand that Agent is legal counsel to the City and each consents to Agent's serving as Escrow Agent notwithstanding such representation. In the event Agent determines, in its sole discretion, that it cannot continue to serve as Escrow Agent herein, Agent shall deposit the Instruments with Old Republic National Title Insurance Company or such other Escrow Agent acceptable to Owner and City. Owner consents to Agent's continued representation of City, and City agrees to pay all escrow fees charged by the substitute Escrow Agent. 7. This Agreement shall be binding upon the parties hereto and their respective successors and assigns.. This Agreement can be amended or modified only by a writing signed by the parties hereto. This Agreement shall be governed by the laws of the State of Minnesota. [Signatures on following three pages] 3 IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and year first above written. OWNER: AKRON 42, LLC By Its [Signature page to Escrow Agreement] 4 CITY: CITY OF ROSEMOUNT By: Its Mayor By: Its City Clerk [Signature page to Escrow Agreement] ESCROW AGENT: KENNEDY GRAVEN, CHARTERED By: Its: Director [Signature page to Escrow Agreement]