HomeMy WebLinkAbout2. Presentation of Development Proposal From Muller Family Theaters - Jack Crimmins, Mike and Bob Muller CITY OF ROSEMOUNT
EXECiTTIVE SUbIlKARY FOR ACTION
PORT AUTHORITY COMMISSION MEETING DATE: JUNE 22, 1993
AGENDA ITEM: DEVELOPMENT PROPOSAL FROM AGENDA SECTION:
MULLER FAMILY THEATERS
PREPARED BY: JOHN MILLER, AGENDA��M �
ECONOMIC DEVELOPMENT COORDINATOR �
ATTACI�2ENTS: NONE AP O BY•
On Thursday, June 17, I met with the Port Authority' s attorney, executive
director, financial consultant, and with the city engineer. We discussed
several' development issues�, one of which was the development proposal from
the Muller Family Theaters partnership. After considerable analysis of
options open to the Port Authority, we concluded the following:
1. The Lund-Thorsen site is both to small for the Mullers and the
land cost too great.
2 . The best site for the Mullers that meets three criteria of l)
large size, 2) quick access to property ownership, and 3) lower
cost, is the business park site.
3 . The Mullers must submit to the Port Authority the "same packet of
information a banker would expect. " This includes such items as
a business plan and projected cash flow.
4 . The Mullers must have an equity position in the project. It
would be terribly unwise for the Port Authority to get involved
in a 100 percent financed project. A total equity for the
Mullers of 20 to 30 percent was recommended.
I have visited with Jack Crimmins, the Mullers ' financial consultant, about
the conclusions. He told me he would visit with his clients about them and
be prepared as best as possible to visit with you about the project on
Tuesday night.
RECObIlKENDED ACTION: None. Discussion item only.
PORT AIITHORITY ACTION: