HomeMy WebLinkAbout2.b. Akron Avenue Exception Parcel Purchases 4 ROSEN1OUNT EXECU TIVE SUMMARY
CITY COUNCIL
City Council Work Session: July 9, 2008
AGENDA ITEM: Akron Avenue Exception Parcel GENDA SECTION:
Purchases DRIAC it
PREPARED BY: Andrew J. Brotzler, PE, City Engineer /Y' AGENDA NO. 1.17.
ATTACHMENTS: Exhibits and Letters APPROVED BY:
RECOMMENDED ACTION: Discussion
ISSUE:
Consider the acquisition of exception parcels associated with the County Road 73 (Akron Avenue)
proposed project.
BACKGROUND:
As part of the County Road 73 project development, Staff has been working with the owners of four
exception parcels along County Road 73 to negotiate the acquisition of easements necessary for the
project. This work initially began with the completion and presentation of appraisals and offers to the
four exception parcels in early 2007. At this time, the construction of the County Road 73 project was still
scheduled to begin in the summer of 2007. With the delay of the project and redesign of the road adjacent
to the four exception parcels in the fall of 2007 to accommodate Dakota County requirements associated
with the access approval for the Prestwick Place Preliminary Plat, discussions with the property owners
were suspended. With the changes to the road design, the width of the easements needed from the four
exception parcels increased. This change required that the original appraisals be updated to incorporate
the additional necessary easement for the project.
Prior to the completion of the updated appraisals, the property owner of Parcel 1 on the attached map
requested that her property be acquired in its entirety. The City agreed to purchase this parcel and does
now own the property.
The updated appraisals were completed in February, 2008 and presented to the three remaining exception
parcels. Since that time, the owner of Parcel 2 has indicated his desire to have the parcel acquired in its
entirety and has verbally indicated a purchase price of $255,000. For Parcel 3, the property owner has
indicated his desire to be relocated to a comparable site. At this time, Staff has not yet been able to make
contact with the property owner or his representative to discuss options for a cash purchase amount for
the property. For the fourth exception parcel, based on the size of the parcel and location of the house on
the back half of the parcel, the property owner has indicated a willingness to provide an easement along
with the intention of remaining on the property.
Before continuing forward in discussions with the property owners of Parcel 2 and 3 for the total
G: \ENGPROJ 399\ E_ ecepaonParcelPurchaseCWS7- 9- 08.doc
acquisition of the properties, Staff wants to update Council and is seeking feedback on the proposed
course of action. When considering the matter, there are several items to consider:
1. As shown on the attached parcel exhibits, the partial taking proposed for the acquisition of
easements necessary for the road project results in the proposed permanent right -of -way
easement being 16 to 20 feet from the front of the two houses.
2. The city attorney's office and appraisers have advised Staff that there are no set criteria for
determining when a total take acquisition is required versus a partial taking as proposed. As
noted in the attached responses from the property owners of Parcel 2 and 3, they are of the
opinion that the impact of the proposed project and partial taking to their properties warrants
a total acquisition of the property.
3. Dakota County will participate in 55% of the acquisition cost for the partial takings as
proposed for the project. Staff has had and will have further discussions with Dakota County
about the long -term value of eliminating the access of these exception parcels to County Road
73 through a total acquisition of the properties and will request consideration for additional
funding by Dakota County.
4. When looking at the larger area and anticipated development surrounding these exception
parcels, there may be some long -term benefit for these exception parcels to be incorporated
into a larger development. Along this line, Staff has had several discussions with the adjacent
developer regarding the feasibility of providing a financial contribution sometime in the future
towards the acquisition of the exception parcels. The primary challenge with this is the
development and coordination of a multi-party agreement in an appropriate time frame along
with the City's need to follow appropriate legal requirements when working with the property
owners.
SUMMARY:
As discussed above, there are a number of challenges associated with this matter. To this point and
moving forward, it is Staff's goal to work towards an appropriate and fair resolution for all parties
involved. To this end, Staff is seeking Council input and direction on whether to proceed with discussions
to acquire Parcels 2 and 3 in their entirety.
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JUN -04 -2008 13:58 WSB ASSOCIATE5 7635411700 P. 01/04
FROM PHONE NO. 612 423 5379 Jun. 04 2002 01:46PM P1
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JUN-04 -2008 13:58 WSB ASSOCIATES 7635411700 P.02/04
FROM PHONE NO. 612 423 5379 Jun. 04 2002 01:47PM P2
Gary Adelmann
14145 Akron Ave
Rosemount; MN 55068
:To Whoni It May Concern
4 I Gar Ad he Mr Laxma S. Su o f R osemo u nt, M t o be my
personal representativ to )indle'adi iinistrative'proeeedings undertaken by tbe`Cityof
Roseriiourit for ,cquisitioni of ink conimercial and residential property mentioned abbtve i
D ated: June 3 2005 Gary AdeImann i
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JUN -04 -2008 13 58 WSB a ASSOCIATES 7635411700 P.03/04
FROM PHONE NO. 612 423 5379 Jun. 04 2002 01:47PM P3
Lipman S. Sundae 2055 128 St. W.
Rosemount; MN 55068
s June 4, 2008
'Mr:;Gregg'A. Larson
1 WSB
So. i VIA FAX
Niiiineapolis, MN 5541:6 i' is `r:
:Ref 14145: Akron Ave.. Acquisition
Sub: Incompetent Appraisal of Above mentioned Property
roperty
Dear Mr. irarsiin:
,1 have no past,. present or, future financial :interest in the outcome of this
acquisition: All fidancial decisions will be made by the owners i
Mr. Adelmanri is a•liard working wonderful man :1 met Win more than 10 years
agci;and since *.en 1 have `hen jis client. Mr. Adelmann has spent morethan 15 years
e ecf ro erty'wad built ih 1966 and
developing his bu�inesS from this ibcation- The subj' p
since than it has been lawfully used as residential cum commercial real parcel.
The City of Roseritount and the apprtiiser were on actual notice that :the :sub; ject
property is, law being•usea for operating a s at tnis iocation_'rnozograpri on:
P. 22 of your'appl•aisal dearly shows the commercial use But, for some unknown
'reason to ti
s, this piopert•has been appraised ais'a single dwelling to deliberately
:Cheat Mr. Addlmann of jusi compensation. If necessary, Mr. Adelmann will peimit the
City or it's agents to re- inspect:his business operation. But all appointments have to be
`made thru myself.
During the:construetiori phase, Mr; Adehnarin's clients .will not be able to come t o
Hs'business and the loss ofrevenue will certainly put him out of business. Furthermore,
perinanent'eashnent will render the remainder unsuitable for future occupancy i.
Mr Adelmann is fed p with the delay and uncertainty'of this project. He would
!like to mode out ol:' here as 'soon as passible. ife is not interested in' any dish offers. fie
would like you to find a suitable location where he can live and conduct his farm
JUN -04 -2008 13 58 WSB ASSOCIATES 7635411700 P.04/04
FROM PHONE NO. 612 423 5379 Jun. 04 2002 01:48PM P4
machinery repair business. He wants to keep his clients and he would like to stay
within, 5 -7 mile radius.
In the p ast, we had hire appraisers, but'th cost was' t hi if t C is
willing to pay $750000 ,die will hire Mr. William 'Werner or any other Suitable appraiser.
Please place this acquisition on fast tra so Mr. Adelmann can plan his future
:life: Thank you very much' for your anticipated cooperation.
S brnitted Respectfully,
Laxplan Stut
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11 1 1 i 1 s
TOTAL P.04
TOM VAN HORN
ATTORNEY AT LAW
1 540 HUM OL T AVENUE SUITE 1 S 0
WEST ST. PAUL, MINNESOTA 5511',
(651) 222 -4000
June 3, 2008
Ms. Sonya A. Henning Via Fax and Mail
WSB and Associates Inc.
701 Xenia Avenue South, Suite 300
Minneapolis, MN 55416
Akron Avenue Project- Rosemount
Revised Offer of Compensation for Proposed Permanent and Temporary Easements.
Dear Ms. Henning:
I am in receipt of The Revised Offer of Compensation for Proposed Permanent and
Temporary Easements dated May 27, 2008.
As I told you I'm not interested in resolving this matter by accepting compensation for a
permanent right -of -way easement. Based upon my knowledge of the facts and "the law
the easement:being sought by the city of Rosemont amounts to a "total taking" of the
property located at 14125 Akron Ave. Therefore I would propose that the city of
Rosemont purchase the property as it did with the "Lind" property which is directly
adjacent to.14.125 Akron Ave.
When the city of Rosemont initially placed "stakes" in the front yard of the property well
over a year ago my tenant upon _learning v dose;the r,ght -of way`wast oing-_to be to
the front the house immediately gave notice;to vacate the premises:. bad: great
difficultly in renting the property after :'explaining to prgspective;tenants how :the property
would be affected, by,t:he ,permanent easement in fact I had,to: reduce the :rent $400 a
month in to rent the pre_ mises: I suspect that the'reaction of any reasonable
person wp.. be the same.
1 have consulted with an attorney who is an expert in the area of eminent domain. After
reviewing the facts the attorney was of the opinion that the action:beingtaken by'the' city
of Rosemont is clearly, a; taking of the property located.at• 14125 Akron Ave I
certainly would like, to avoid litigation however 1 am co nfident" that my :position :a strong
on e. t )4
Sincerely yout
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