HomeMy WebLinkAbout4.b.2. Development Agreement ,
CITY OF ROSEMOUNT
EXECUTIVE STJblMARY FOR ACTION
PORT AUTHORITY MEETING DATE: AUGUST 16, 1994
AGENDA ITEM: DEVELOPMENT AGREEMENT FOR AGENDA SECTION:
DR. KURT WALTER-HANSEN OLD BUSINESS
PREPARED BY: JOHN MILLER, AGENDA NO.
ECONOMIC DEVELOPMENT COORDINATOR 4 . B. 2)
ATTACHMENTS: REVISED DEVELOPMENT AGREEMENT APPROVED BY:
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Attached for your review is a revised Development Agreement for the
redevelopment of the Repairs, Inc. site. The revision is the direct result
of a meeting that Mr. Ron Wasmund and I had with Dr. Walter-Hansen on
Thursday, August 11. I am pleased to report to the Commissioners that your
staff and the developer are in agreement on all issues except one.
I believe that Dr. Walter-Hansen will request that the Port Authority' s
retaining of ten per cent of the tax increment revenue be amended.
RECOi�iENDED ACTION: MOTION to approve for submittal to Dr. Walter-
Hansen and Patricia Walter the Development Agreement for the Repairs
Inc. property and adjacent properties as drafted.
PORT AUTHORITY ACTION:
CONIlVIITMENT / DEVELOPMENT AGREEMENT
THIS AGREEIVIENT, dated day of , 1994, is between the City of
Rosemount Port Authority, a Minnesota public corporation, the ("RPA") and Dr. Kurt Walter- .
Hansen and Patricia Ann Walter, 12101 Dodd Boulevard, Rosemount, Minnesota, (the Developer).
RECITALS
• The "RPA" owns certain property (the Property) within the corporate City limits of
the City of Rosemount, a description of which is attached as Exhibit A.
• The "RPA" is desirous of causing the Property to be developed in a manner
consistent with the City of Rosemount's downtown business community.
• The Developer has submitted a proposal and specifications for construction of a
office building, (the Building), a description of which is attached as Exhibit B.
• At its regular meeting of May 18, 1994, the "RPA" determined that it would
provide the Property to the Developer for purposes of constructing the Building
under the terms and conditions contained in this Agreement.
NOW, THEREFORE, the "RPA" and the Developer agree as follows:
1. THE "RPA'S" RESPONSIBILITTES. In consideration of Developer's construction
and operation of the Building, the "RPA" shall fulf'ill the following responsibilities:
A. Conveyance of Port Authority Pro�ertX. Convey by quit claim deed for the
sum of One Dollar ($1.00), the property described in Exhibit A. The
conveyance shall be made at such time as the Developer provides the "RPA"
with evidence that he has firm and adequate financing for the Building and
the Developer has entered into this Development Agreement satisfactory to
the City of Rosemount Port Authority.
B. Conveyance of City of Rosemount PronertX. Convey by quit claim deed for
the sum of One Dollar ($1.00), the property described in Exhibit C for
purposes of Developer's construction of parking spaces and a driveway.
Conveyance shall be as described in paragraph A. •
C. Tax Increment Financin�. Provide to the Developer, any tax increment
revenues actually resulting from the Developer's construction and operation
of the Building on the Property. Such tax increment revenues shall only be
due to the Developer after their receipt by the "RPA" and shall be subject to
(1. C. continued)
a ten percent (10%) administrative fee to be subtracted from such revenues
for the benefit of the "RPA", as permitted by Minnesota 5tatutes.
2. DEVELOPER'S RESPONSIBILITTES. In consideration of the "RPA's" provision
of the Property, and the ta}� increment revenues as described in paragraph 1, the
Developer shall fulfill the following responsibilities:
A. Building Construction. Construct and operate a office building on the
property described in E�chibit A. The Building shall be constructed in
accordance with the specifications set forth in Exhibit B, and, at a minimum,
shall have a face-brick exterior and a gross floor area of not less than 8000
square feet.
B. Site Gradin�. The Developer shall assure that the Property is graded in such
a way as to be compatible with the topography and elevations of the City of
Rosemount's Erickson Community Square Park.
C. Construction of Trail ar Sidewalk. The Developer shall donate a pedestrian
trail or sidewalk to be constructed between the northern most parking lot on
the Property and the Erickson Community Square Park.
D. Parking Easement. Developer sha11 provide the "RPA° and the City of
Rosemount with a permanent non-exclusive parking easement which will
authorize visitors to the Erickson Community Square Park to use parking on
the Property during any hours other than 8:00 a.m. through 6:00 p.m.,
Monday through Friday of each week. The nine spaces on the west side of
the building may be reserved for clinic use only. This easement shall be
provided to the "RPA" and the City at the time of conveyance of the title to
the Property.
E. Buria1 of Utility Lines. The Developer shall cause all electrical utility lines
on the south side of the Property to be buried from the pole to the east
property line.
F. Commencement of Construction. Subject to the issuance of necessary
building and other City of Rosemount permits, the Developer shall
commence site preparation and construction of the Building by not later than
November 1, 1994.
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C. Term of Agreement. This Agreement shall be effective on the date first
above written and shall remain in effect until all responsibilities of both
parties have been fulfilled.
D. Governin�w. This Agreement shall be governed by the laws of the State
of Minnesota.
WHEREUPON, the "RPA" and the Developer have executed this Agreement, intending to
be bound thereby.
ROSEMOUNT PORT AUTHORITY: THE DEVELOPER:
By: gy:
Kevin Carroll Dr. Kurt Walter-Hansen
Its: Chair�erson Its:
By: By:
Thomas D. Burt Dr. Patricia Ann Walter
Its: Executive Director Its:
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EXfIIBIT A
This e�ibit will have the
legal description to the
Repairs, Inc. Site
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EXHIBIT B
This e�ibit will include the
Port Authority approved Site Plan and
any further description of the
building made by the members.
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EXFIIBIT C
This e�ibit will show the legal descriptions of the three small parcels:
1) the former church property located adjacent to T.H. 3; and
2) the rectangular parcel at the back (east) of the Repairs, Inc. lot to be
used for parking; and
3) the triangular parcel east of the former church property which is the
site of the driveway to the lower parking.
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