HomeMy WebLinkAbout4.a.3. Consideration of Business Park Land Costs and Infrastructure Policy . ,
CITY OF R4SEMOIINT
EXECiTTIVE SIINIl�lARY FOR ACTION
PORT AUTHORITY MEETING DATE: MARCH 15, 1994
AGENDA ITEM: CONSIDERATION OF BUSINESS PARK AGENDA SECTION:
LAND COSTS AND INFRASTRUCTURE POLICY OLD BUSINESS
PREPARED BY: JOHN MILLER, AGENDA NO.
ECONOMIC DEVELOPMENT COORD�NATOR 4 . A. 3 .
ATTACffi�NTS z BUSINESS PARK L�,1VD COSTS/ APP Y:
INFRASTRUCTURE POLICY DR.AFTED BY CHAIR CARROLL
At the port authority' s recent special meeting to consider business park
issues, there was considerable discussion about land costs and the cost of
infrastructure. Chairperson Carroll has completed a six point summary of
the conclusions reached by the commissioners but not officially adopted.
As you will recall, there were two members absent from the meeting.
The six policies are now before the board for consideration.
The discussion of the policies was based on Chairp�rson Carroll' s
"Tentative Agenda, Special Meeting, Rosemount Port Authority, Monday,
February 21, 1994 . " The agenda was not completed and some of the items are
scheduled to be addressed at the March 15 meeting.
RECObIl�tENDED ACTION: Motion to adopt as port authority policy for
development of the Rosemount Business Park the policies found in
Chairperson Carroll' s summary of Business Park Land Costs/Znfrastructure
costs .
PORT AIITHORITY ACTION:
1 1
Business Park Land Costs/Infrastructure Policv
1 . The Port Authority' s target price for the sale of business
park property shall be $13,000. 00 per aere. This target price
is based upon a preliminary estimate of $.30 per square foot
(of developable area) for the Port Authority' s costs of
acquiring the business park property.
2. The Port Authority shall review the initial target price
geriodically, but not less than annually, and reserves the
right to adjust the target price at any time, and at its sole
discretion.
3. The Port Authority may consider selling a parcel of business
park property at a price below the target price, after
considering factors which include (but are not limited to)
the following:
a. The number and income level of jobs that will be created
by the sale of the property.
b. The aesthetics of any proposed use of the property.
c. The relative visibility and/or accessibility of the
property.
d. The financial terms (for the purchase of the property)
proposed by the prospective purchaser.
e. The beneficial impact of initial sales on the Port
Authority' s bonded indebtedness (i.e. , interest
reductions) .
f. Any other relevant factors that may be identified by the
Port Authority or its staff.
4 . Infrastructure costs shall be allocated on the basis of
developable area and, at least initially, shall be based upon
the "small lot option" identified by the Port Authority' s
consultants.
5. The purchaser of a lot located in the portian of the business
park designated as "Area 1" by the Port Authority`s
consultants shall be required to pay its allocated share Qf
the total costs of the infrastructure improvements that are
made in Area 1. The allocated share shall be a percentage
determined by dividing the purchaser' s developable acreage by
the total developable aereage in Area 1 of the business park.
6. Portions of the future holding pond" on the east side of Area
1 shall be sold to the ,purchasers of the adjacent developable
land, with a strip of land around the perimeter of the holding
pond to be dedicated to the City for park area, and with a
drainage easement over the holding pand to be sold to the
City' s utilities commission.