08-05-02 agendaCITY OF RICHFIELD
MONDAY, AUGUST 5, 2002
SPECIAL HOUSING AND REDEVELOPMENT AUTHORITY MEETING
RICHFIELD CITY HALL
COUNCIL CHAMBERS
7:00 P.M.
AGENDA
Call to order
1. HRA approval of agenda
2. Presentation and consideration of acceptance of Richfield HRA annual tax
increment district status update; and direct staff to present resolution to HRA for
decertification of Lyndale/HUB/Nicollet tax increment district on September 16,
2002 and propose actions to convert Richfield Rediscovered 1999 Temporary
Bonds to fixed rate financing
Staff Report No. 29
3. Consideration of Contract for Private Redevelopment with Lyndale Gateway L.L.C.
for Phase III of Lyndale Gateway redevelopment project
Staff Report No. 30
4. Consideration of proposed repayment plan from Richfield Senior Housing, inc.
Staff Report No. 31
Adjournment
Auxiliary aids for individuals with disabilities are available upon request.
Requests must be made at least 96 hours in advance to the Administrative
Services Director at 612-861-9702.
AGENDA ITEM # L~
REPORT # 31
STAFF REPORT
HOUSING AND REDEVELOPMENT
AUTHORITY MEETING
AUGUST 5, 2002
JOHN STARK,
REPORT PREPARED BY: COMMUNITY. DEVELOPMENT MANAGER
NAME, TITLE
REPORT PRESENTER: JOHN STARK,
COMMUNITY DEVELOPMENT MANAGER
NAME, TITLE
DEPARTMENT DIRECTOR REVIEW:
JJJ SIGNATURE
REVIEWED BY EXECUTIVE DIRECTOR: ~ j~~~~ ~ ,~~ ~
ITEM FOR HRA CONSIDERATION:
Consideration of a proposed repayment plan from Richfield Senior Housing, Inc.
I. RECOMMENDED ACTION:
By Motion: Approve the basic terms proposed repayment plan from
Richfield Senior Housing, Inc. (as an eight-year repayment at 6.5%
interest with payments to be made prior to the issuance of tax
increment financing payments due to RSH) and authorize the
Executive Director and Housing and Redevelopment Authority Chair
to execute a contract addendum reflecting those terms.
II. BACKGROUND
As part of its site assembly process for Phase I of the Lyndale Gateway project,
Richfield Senior Housing (RSH) and its parent company Twin City Christian Homes
(TCCH) requested that the Richfield Housing and Redevelopment Authority (HRA)
acquire several properties through condemnation. The contract between the HRA and
RSH allowed for such a request and required RSH, as the developer, to reimburse the
HRA for any costs incurred in condemnation. The contract states that such
reimbursement should occur within five days of judgement of condemnation.
RSH did request condemnation on several properties in the development area. The last
of these to be valued through condemnation was the property formerly located at 7629
0805RSH
Lyndale Avenue. The eventual outcome was that a jury decided on a condemnation
award of $623,251.76. This amount was more than four times the assessor's estimated
market value of $147,000 for the property as well as greatly exceeding the amount RSH
had budgeted for the property purchase. During the condemnation process, RSH had
paid the award recommended by the condemnation commissioners; this amount was
$285,000. When the jury's award was granted, however, RSH informed HRA staff that it
did not have available funds with which to reimburse the HRA for the outstanding
balance of $338,251.76.
Since that time, HRA staff, legal counsel and financial advisors have been working with
RSH to determine whether or not they have the resources with which to reimburse the
HRA and, if not, construct a mechanism for RSH to repay the .HRA. Based on financial
record and pro-forma reviews, HRA staff, legal counsel and financial.advisors have
concluded that, indeed, RSH does not have sufficient funds to reimburse the HRA.
Therefor, a proposed repayment plan has been proposed by RSH with the input of HRA
staff, legal counsel and financial advisors.
Among the details of RSH's proposed repayment plan are:
• An eight-year repayment with interest payments only in 2002 to mid-2005
and principal and interest payments from that point until August 2010 (see
attached repayment plan).
• An interest rate of 6.5%.
• Payments to be made prior to the issuance of tax increment financing
payments due to RSH each August and February until August 2010.
The details of the repayment plan would be more clearly defined in a proposed addendum to
the Contract for Private Redevelopment between the HRA and RSH.
III. BASIS OF RECOMMENDATION
A. POLICY
• N/A
B. CRITICAL ISSUES
• Tax increment financing (TIF) payments are due to be paid to
Richfield Senior Housing, Inc. in August; a repayment plan should be
determined prior to the issuance of any TIF.
C. FINANCIAL
• The HRA has not yet been reimbursed for expended funds by
Richfield Senior Housing, Inc.
D. LEGAL
- Legal counsel has been a party in discussions with Richfield Senior
Housing, Inc. and has assisted in determining the most feasible
repayment plan.
IV. ALTERNATIVE RECOMMENDATION(S~
• Withhold all TIF payments to Richfield Senior Housing, Inc. until the HRA is
reimbursed in full. Based upon a financial analysis, however, this may lead
to severe financial difficulties for RSH.
V. ATTACHMENTS
• Repayment schedule
VI. PRINCIPAL PARTIES EXPECTED AT MEETING
• John Dean, HRA Legal Council
• Chris Schmidt, Chief Financial Officer of-Richfield Senior+-lousing, Inc.
Attachment A -Repayment Schedule
Month/ Interest Interest Outstanding Principal Outstanding Total
YR Accrued Paid Interest Paid Principal Paid
April-02 338,251.76
May-02 916.10 916.10 338,251.76 0.00
Jun-02 1,832.20 2,748.30 338,251.76 0.00
Jul-02 1,832.20 4,580.49 338,251.76 0.00
Aug-02 1,832.20 6,412.69 0.00 338,251.76 6,412.69
Sep-02 1,832.20 1,832.20 338,251.76 0.00
Oct-02 1,832.20 3,664.39 338,251.76 0.00
Nov-02 1,832.20 5,496.59 338,251.76 0.00
Dec-02 1,832.20 7,328.79 338,251.76 0.00
Jan-03 1,832.20 9,160.99 338,251.76 0.00
Feb-03 1,832.20 10,993.18 0.00 338,251.76 10,993.18
Mar-03 1, 832.20 1, 832.20 338, 251.76 0.00
Apr-03 1,832.20 3,664.39 338,251.76 0.00
May-03 1,832.20 5,496.59 338,251.76 0.00
Jun-03 1,832.20 7,328.79 338,251.76 0.00
Jul-03 1,832.20 9,160.99 338,251.76 0.00
Aug-03 1,832.20 10,993.18 0.00 338,251.76 10,993.18
Sep-03 1,832.20 1,832.20 338,251.76 0.00
Oct-03 1,832.20 3,664.39 338,251.76 0.00
Nov-03 1,832.20 5,496.59 338,251.76 0.00
Dec-03 1,832.20 7,328.79 338,251.76 0.00
Jan-04 1,832.20 9,160.99 338,251.76 0.00
Feb-04 1,832.20 10,993.18 0.00 338,251.76 10,993.18
Mar-04 1,832.20 1,832.20 338,251.76 0.00
Apr-04 1,832.20 3,664.39 338,251.76 0.00
May-04 1,832.20 5,496.59 338,251.76 0.00
Jun-04 1,832.20 7,328.79 338,251.76 0.00
Jul-04 1,832.20 9,160.99 338,251.76 0.00
Aug-04 1,832.20 10,993.18 0.00 0.00 338,251.76 10,993.18
Sep-04 1,832.20 1,832.20 338,251.76 0.00
Oct-04 1,832.20 3,664.39 338,251.76 0.00
Nov-04 1,832.20 5,496.59 338,251.76 0.00
Dec-04 1,832.20 7,328.79 338,251.76 0.00
Jan-05 1,832.20 9,160.99 338,251.76 0.00
Feb-05 1,832.20 10,993.18 0.00 338,251.76 10,993.18
Mar-05 1,832.20 1,832.20 338,251.76 0.00
Apr-05 1,832.20 3,664.39 338,251.76 0.00
May-05 1,832.20 5,496.59 338,251.76 0.00
Jun-05 1,832.20 7,328.79 338,251.76 0.00
Jul-05 1,832.20 9,160.99 338,251.76 0.00
Aug-05 1, 832.20 10, 993.18 0.00 56, 333.00 281, 918.76 67, 326.18
Sep-05 1, 527.06 1, 527.06 281, 918.76 0.00
Oct-05 1, 527.06 3, 054.12 281, 918.76 0.00
Nov-05 1, 527.06 4, 581.18 281, 918.76 0.00
Dec-05 1,527.06 6,108.24 281,918.76 0.00
Jan-06 1,527.06 7,635.30 281,918.76 0.00
Feb-06 1,527.06 9,162.36 0.00 281,918.76 9,162.36
Mar-06 1,527.06 1,527.06 281,918.76 0.00
Apr-06 1, 527.06 3, 054.12 281, 918.76 0.00
May-06 1,527.06 4,581.18 281,918.76 0.00
Jun-06 1,527.06 6,108.24 281,918.76 0.00
Jul-06 1,527.06 7,635.30 281,918.76 0.00
Aug-06 1,527.06 9,162.36 0.00 56,333.00 225,585.76 65,495.36
Sep-06 1,221.92 1,221.92 225,585.76 0.00
Oct-06 1,221.92 2,443.85 225,585.76 0.00
Nov-06 1,221.92 3,665.77 225,585.76 0.00
Dec-06 1,221.92 4,887.69 225,585.76 0.00
Jan-07 1,221.92 6,109.61 225,585.76 0.00
Feb-07 1,221.92 7,331.54 0.00 225,585.76 7,331.54
Mar-07 1,221.92 1,221.92 225,585.76 0.00
Apr-07 1,221.92 2,443.85 225,585.76 0.00
May-07 1,221.92 3,665.77 <225;585.76 0.00
Jun-07 1,221.92 4,887.69 225,585.76 0.00
Jul-07 1,221.92 6,109.61 225,585.76 0.00
Aug-07 1,221.92 7,331.54 0.00 56,333.00 169,252.76 63,664.54
Sep-07 916.79 916.79 169,252.76 0.00
Oct-07 916.79 1, 833.57 169, 252.76 0.00
Nov-07 916.79 2,750.36 169,252.76 0.00
Dec-07 916.79 3,667.14 169,252.76 0.00
Jan-08 916.79 4,583.93 169,252.76 0.00
Feb-08 916.79 5,500.71 0.00 169,252.76 5,500.71
Mar-08 916.79 916.79 169,252.76 0.00
Apr-08 916.79 1,833.57 169,252.76 0.00
May-08 916.79 2,750.36 169,252.76 0.00
Jun-08 916.79 3,667.14 169,252.76 0.00
Jul-08 916.79 4,583.93 169,252.76 0.00
Aug-08 916.79 5, 500.71 0.00 56, 333.00 112, 919.76 61, 833.71
Sep-08 611.65 611.65 112,919.76 0.00
Oct-08 611.65 1, 223.30 112, 919.76 0.00
Nov-08 611.65 1,834.95 112,919.76 0.00
Dec-08 611.65 2,446.59 112,919.76 0.00
Jan-09 611.65 3,058.24 112,919.76 0.00
Feb-09 611.65 3,669.89 0.00 112,919.76 3,669.89
Mar-09 611.65 611.65 112,919.76 0.00
Apr-09 611.65 1,223.30 112, 919.76 0.00
May-09 611.65 1,834.95 112,919.76 0.00
Jun-09 611.65 2,446.59 112,919.76 0.00
Jul-09 611.65 3,058.24 112,919.76 0.00
Aug-09 611.65 3,669.89 0.00 56,333.00 56,586.76 60,002.89
Sep-09 306.51 306.51 56,586.76 0.00
Oct-09 306.51 613.02 56,586.76 0.00
Nov-09 306.51 919.53 56,586.76 0.00
Dec-09 306.51 1,226.05 56,586.76 0.00
Jan-10 306.51 1,532.56 56,586.76 0.00
Feb-10 306.51 1,839.07 0.00 56,586.76 1,839.07
Mar-10 306.51 306.51 56,586.76 0.00
Apr-10 306.51 613.02 56,586.76 0.00
May-10 306.51 919.53 56,586.76 0.00
Jun-10 306.51 1,226.05 56,586.76 0.00
J u1-10 306.51 1, 532.56 56, 586.76 0.00
Aug-10 306.51 1,839.07 0.00 56,586.76 0.00 58,425.83
Total 127,378.93
338,251.76
AGENDA ITEM # 3
REPORT # 30
J STAFF REPORT
HOUSING AND REDEVELOPMENT
AUTHORITY MEETING
AUGUST 5, 2002
JOHN STARK,
REPORT PREPARED BY: COMMUNITY DEVELOPMENT MANAGER
NAME, TITLE
JOHN STARK,
REPORT PRESENTER: COMMUNITY DEVELOPMENT MANAGER
NAME, TITLE
DEPARTMENT DIRECTOR REVIEW:
SIGNATURE
REVIEWED BY EXECUTIVE DIRECTOR: ~ ~ ~_
ITEM FOR HRA CONSIDERATION:
Consideration of a Contract for Private Redevelopment with Lyndale Gateway L.L.C. for Phase
III of the L ndale Gatewa redevelo ment ro'ect.
I. RECOMMENDED ACTION:
By Motion: Approve and execute the attached Contract for Private
Redevelopment with Lyndale Gateway L.L.C. for Phase III of the
Lyndale Gateway redevelopment project.
II. BACKGROUND
At the June 17, 2002 Housing and Redevelopment Authority (HRA) meeting, the HRA
directed staff to draft a Contract for Private Redevelopment with The Cornerstone
Group for the redevelopment of Phase III of the Lyndale Gateway area. Since that
time, The Cornerstone Group has created Lyndale Gateway, L.L.C. as a distinct
corporate entity to be associated with this particular development.
_ Lyndale Gateway, L.L.C. is proposing a "mixed use" development in this area (the
west side of the 7600 block of Lyndale Avenue South). The proposed components
of that development include:
92 for-sale "loft" condominium units (30 percent currently priced at
affordable)
0805Comerstone
• 15 for-sale townhomes (market rate)
• 28,580 sq. ft. of neighborhood oriented retail space
• 114-stall underground parking structure and 139 surface parking
spaces; 15 two-car garages (townhomes)
The proposed contract, which is attached, has been cooperatively drafted by HRA
staff, HRA legal counsel and representatives of Lyndale Gateway, L.L.C.. The first
activities prescribed by this contract would be the "Initial Period" (section 3.0),
during which the site assembly costs would be reasonably established and the
terms and amounts of public and private financing would be determined. If the
contract were approved, the sources and precise amount of financing would be
presented to the HRA for consideration no later than December 3, 2002. Lyndale
Gateway, L.L.C. has already made a great deal of progress in identifying the site
assembly costs, as their real estate consultant has now spoken with each property
owner regarding their expectations for the purchase price of their property.
Among the financing tools that are anticipated for use in this project would be a $5
million loan from Fannie Mae's American Communities Fund to the HRA. The HRA
would provide the loan proceeds to Lyndale Gateway, L.L.C. for site assembly.
HRA staff, legal counsel and financial analysts are exploring all of the potential
ways in which Lyndale Gateway, L.L.C. could repay the HRA in an effort identify the
repayment method with the least amount of financial risk to the HRA. The specifics
on this loan as a potential funding source, is one of the items to be addressed in the
"initial period" prior to December 3, 2002.
Other important aspects of the proposed contract include:
• Lyndale Gateway, L.L.C. may request that the HRA acquire properties through
the condemnation process in the event that a diligent negotiation process
does not result in an agreement with any given property owner;
• Developer deposits $20,000 per property at the time they request
condemnation and pays full condemnation costs within five days of final
valuation;
• The HRA will pay for at least $350,000 for "streetscape improvements" on the
7600 block of Lyndale Avenue (both sides) -this is a budgeted item with
funds available;
• The City will reconstruct Lyndale Avenue between 76th and 77th Streets -this
is a budgeted item with funds available;
• The developer will initially deposit $20,000 with the HRA for staff and
consultant costs and will continually replenish this account to $20,000 as it is
expended to less than $10,000; and
• There will be a "look back" period after the development is up-and-running in
order to determine the need for on-going public assistance at the levels initially
anticipated.
- HRA staff is currently working with Lyndale Gateway, L.L.C. on developing a
detailed schedule of activities for the progression of the development. As that
schedule is currently drafted, the developer would have binding purchase
agreements with property owners by the end of the year and would close on
property purchases by April 2003. Construction of the site would begin in late
spring 2003 and be conducted in phases, with the final phase being complete in late
2004 or early 2005.
III. BASIS OF RECOMMENDATION
A. POLICY
• The Cornerstone Group was identified as the "preferred developer" in
a request for proposal (RFP) process undertaken by staff and the
HRA.
• At the June 17, 2002 HRA meeting, staff was directed to draft a
Contract for Private Redevelopment with The Cornerstone Group.
• Since that time, The Cornerstone Group has created Lyndale
Gateway, L.L.C. as a distinct corporate entity to be associated with
this particular development.
B. CRITICAL ISSUES
• The approval of a contract does not guarantee the progression of a
development. It does, however, establish the means by which the
redevelopment could occur.
• HRA staff, legal counsel and financial consultants have thoroughly
analyzed the proposed development plan and have worked with
Lyndale Gateway, L.L.C. on many revisions to achieve a greater
chance of success of the project. At this point, there is consensus that
this proposed project would offer the greatest likelihood of success
and that if it couldn't be achieved, it is likely that no other project could
on this site.
C. FINANCIAL
• The specific terms and amounts of public and private financing would
be identified within 120 days of the execution of the proposed Contract
for Private Redevelopment.
D. LEGAL
• HRA legal council drafted the proposed contract with input of HRA
staff, financial consultants and representatives of Lyndale Gateway,
L.L.C.
IV. ALTERNATIVE RECOMMENDATION(S~
• Do not approve the attached Contract for Private Redevelopment.
• Approve the attached Contract for Private Redevelopment with specified
modifications or added stipulations.
V. ATTACHMENTS
• A proposed Contract for Private Redevelopment with Lyndale Gateway,
L.L.C. for Phase III of the Lyndale Gateway redevelopment project.
VI. PRINCIPAL PARTIES EXPECTED AT MEETING
• HRA legal counsel
• Representatives of Lyndale Gateway, L.L.C.
• Affected property owners
HRA Consideration Copy
(jbd) 7/31/02
CONTRACT
FOR
PRIVATE REDEVELOPMENT
BY AND BETWEEN
THE HOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF RICHFIELD
AND
LYNDALE GATEWAY L.L.C.
August 5, 2002
This document was drafted by:
Kennedy & Graven, Chartered (JBD)
470 Pillsbury Center
200 South Sixth Street
Minneapolis, MN 55402
JBD-217017v5
RC125-240
TABLE OF CONTENTS
ARTICLE I
Defmitions, Exhibits, Rules of Interpretation
Section 1.1. Definitions ............................................................................................................... 2
Section 1.2. Exhibits ...................................................................................................................4
Section 1.3. Rules of Interpretation ............................................................................................ 4
ARTICLE II
Representations
Section 2.1. Representations by the Redeveloper ...................................................................... 5
Section 2.2. Representations by HRA ........................................................................................ 6
ARTICLE II.S
Concept Plans
Section 2.5.0. Concept Plan -Approval ......................................................................................... 7
Section 2.5.1 Concept Plan -Concept .......................................................................................... 7
Section 2.5.2. Other Actions ........................................................................................................... 7
ARTICLE III
Site Assembly
Section 3.0. Initial Period ................................................................................................................ 8
Section 3.1 Statement of Intent ...................................................................................................... 8
Section 3.2. Acquisition .................................................................................................................. 8
Section 3.3. Conveyance of the Redevelopment Property ...........................................................13
Section 3.4. Time of Acquisition and Conveyance ......................................................................14
Section 3.5. Title ...........................................................................................................................14
Section 3.6. Soil Conditions .........................................................................................................14
Section 3.7. Purchase Price ...........................................................................................................15
Section 3.8. Taxes and Special Assessments ................................................................................15
Section 3.9 Other Costs ...............................................................................................................15
Section 3.10 Property Conveyed As Is .........................................................................................15
Section 3.11 Other Preconditions to Closing .................................................................................15
Section 3.12. Termination ..............................................................................................................15
ARTICLE IV
Construction of Minimum Improvements
Section 4.1. Agreement to Construct ............................................................................................16
Section 4.2. [Blank] ......................................................................................................................16
Section 4.3. [Blank] ......................................................................................................................16
Section 4.4. Concept Plans ..........................................................................................................16
JBD-217017v5
RC125-240
Section 4.SA. Commencement of Construction .............................................................................16
Section 4.6. Construction Reports ...............................................................................................16
Section 4.7. Completion of Construction -Certificate of Completion ........................................16
Section 4.8. Public Improvements ................................................................................................17
ARTICLE V
Insurance
Section 5.1. Insurance ...................................................................................................................19
ARTICLE VI
Tax Increment
Section 6.1. Statement of Purpose ............................................................................................... 20
Section 6.2. Level of Assistance, Purchase Price, Look-Back ..................................................... 20
ARTICLE VII
Financing
Section 7.1. Limitations Upon Encumbrance ............................................................................... 21
Section 7.2. Copy of Notice of Default to Lender ........................................................................ 21
Section 7.3. Lender's Option to Cure Defaults ............................................................................ 21
Section 7.4. HRA's Option to Cure Default ................................................................................ 21
ARTICLE VIII
Prohibitions Against Assignment and Transfer
Section 8.1. Representation as to Development ........................................................................... 23
Section 8.2. [Blank] ..................................................................................................................... 23
Section 8.3. Prohibition Against Transfer of Property and
Assignment of Agreement ...................................................................................... 23
Section 8.4. Following Completion ............................................................................................. 24
Section 8.5. Approvals ................................................................................................................. 24
ARTICLE IX
Events of Default
Section 9.1. Events of Default Defined ....................................................................................... 25
Section 9.2. Remedies on Default ................................................................................................. 25
Section 9.3. No Remedy Exclusive ............................................................................................. 26
Section 9.4. No Additional Waiver Implied by One Waiver ....................................................... 26
JBD-217017v5
RC 125-240
11
ARTICLE X
Additional Provisions
Section 10.1. Conflict of Interests; HRA Representatives Not
Individually Liable .........................................................
Section 10.2. Nondiscrimination ............................................................
Section 10.3. Provisions Not Merged With Deed ..................................
Section 10.4. Notice of Status and Conformance ...................................
Section 10.5. Compliance With Business Subsidy Act ...........................
Section 10.6. Redeveloper Deposit ..........................................................
Section 10.7. Notices and Demands ........................................................
Section 10.8. Timelines and Deadlines ....................................................
Section 10.9. Counterparts ......................................................................
Testimonium ..........................................................................
Signatures ..........................................................................
EXHIBIT A Certificate of Completion
EXHIBIT B Redevelopment Property Legal Description
JBD-217017v5
RC 125-240
....................................... 27
....................................... 27
....................................... 27
....................................... 27
....................................... 27
....................................... 27
....................................... 28
....................................... 28
....................................... 29
...................... 3 0
...................... 3 0
111
CONTRACT FOR
PRIVATE DEVELOPMENT
THIS AGREEMENT, made and entered into this _ day of , 2002 is by and
between THE HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY
OF RICHFIELD, MINNESOTA, a Minnesota public body corporate and politic (the "HRA"), and
Lyndale Gateway L.L.C., a Minnesota corporation (the "Redeveloper").
WITNESSETH:
WHEREAS, the City of Richfield and HRA have established the Richfield Redevelopment
Project Area ("Project Area") under the authority of Minnesota Statutes, Chapter 469 (the "Act"),
and intend to undertake the necessary actions to establish within the Project Area a Redevelopment
Tax Increment District (the "TIF District") and to adopt a Tax Increment Financing Plan
(hereinafter defined as the Tax Increment Plan) for the TIF District to facilitate the financing of
public development and redevelopment costs in the Project Area; and
WHEREAS, the HRA deems it to be in the public interest to facilitate and encourage
redevelopment of the Project Area by a combination of public and private activity within the Project
Area and in accordance with any Tax Increment Plan to be adopted by the City, and
WHEREAS, the Redeveloper has proposed a development (hereinafter defined as the
"Development") within such Project Area which the HRA believes will promote and carry out the
objectives for which redevelopment is undertaken, will be in the vital best interests of the City, will
promote the health, safety, morals, and welfare of its residents and will be in accord with the public
purposes and provisions of the applicable state and local laws and requirements under which
activities within the Project Area have been undertaken and are being assisted; and
WHEREAS, the Redeveloper is willing to purchase property from the HRA within the
Project Area such property being legally described in the attached Exhibit C (hereinafter defined as
the "Redevelopment Property") and to develop the Redevelopment Property for and in accordance
with this Agreement; and
WHEREAS, subject to the adoption of, and consistent with the Tax Increment Plan, the
HRA is willing to provide fmancial assistance in accordance with the provisions of this Agreement;
NOW, THEREFORE, in consideration of the premises and mutual obligations of the parties
contained herein, each of them does hereby represent, covenant and agree with the others as
follows:
JBD-217017v6
RC 125-240
ARTICLE I
DEFINITIONS, EXHIBITS
RULES OF INTERPRETATION
Section 1.1. Definitions. In this Agreement, unless a different meaning clearly appears from
the context:
"Act" means the Economic Development Act, located at Minnesota Statutes, Chapter 469,
as amended.
"Agreement" means this Agreement, as the same may be from time-to-time modified,
amended, or supplemented.
"Available Tax Increment" means 90% of the Tax Increment.
"Business Subsidy Act" means Minnesota Statutes, sections 116J.993 through 116J.995.
"Certificate of Completion" means the certification, in the form of the certificate contained
in Exhibit B attached to and made a part of this Agreement, provided to the Redeveloper, pursuant
to Section 4.7 of this Agreement.
"City" means the City of Richfield.
"Closing" means the date on which title to the Redevelopment Property is transferred to the
Redeveloper.
"Commencement of Construction" means excavation for the purpose of setting footings or
foundation.
"Completion of Construction" means the completion of construction of the Minimum
Improvements except for tenant finish work.
"Construction Contract" means a contract or contracts which provides for completion of the
Minimum Improvements.
"County" means the County of Hennepin.
"Development" means the Minimum Improvements to be constructed on the
Redevelopment Property.
"Event of Default" means an action by the Redeveloper listed in Section 10.1 of this
Agreement.
JBD-217017v6
RC 125-240
"HRA Funds" means the proceeds of any borrowing or other financing by the HRA for the
purpose of providing funding for the payment of land acquisition and relocation costs.
"Minimum Improvements" means the improvements to be constructed by Redeveloper on
the Redevelopment Property and related site work all as shown on the Concept Plan. The Minimum
Improvements shall consist of:
"Minnesota Environmental Policy Act" means the statutes located at Minnesota Statutes
Sections 116D.01 et se ., as amended.
"Minnesota Environmental Rights Act" means the statutes located at Minnesota Statutes
Sections 116B.01 et sea•, as amended.
"National Environmental Policy Act" means the federal law located at 42 U.S.C. Section
4311 et sea •, as amended.
"Redeveloper" means , a Minnesota corporation, and also includes any other
entity in which is a general partner and/or has a controlling interest.
"Redevelopment Property" means the real property described as such on Exhibit C of this
Agreement.
"Site Plan" mean the plans, elevations, drawings and narrative descriptions for the Minimum
Improvements and related site work.
"State" means the State of Minnesota.
"Tax Increment" means that portion of the real property taxes which is paid with respect to
the Redevelopment Property which is remitted to the Authority as Tax Increment pursuant to the
Tax Increment Plan, after reduction (if any) of fiscal disparities' contributions which are mandated
by state law to be made with respect to any parcel.
"Tax Increment Act" means the statutes located at Minnesota Statutes Section 469.174
through 469.179, of the Economic Development Act.
"Tax Increment Plan" means the tax increment financing plan to be adopted by the City in
connection with the creation of the Tax Increment District and as such may be modified and
amended from time to time.
"Tax Official" means any City or county assessor; County auditor; City, County or State board of
equalization, the commissioner of revenue of the State, or any State or federal district court, the tax
court of the State, or the State Supreme Court.
"Unavoidable Delays" means unexpected delays which are the direct result of adverse
- weather conditions, shortages of materials, strikes, other labor troubles, fire or other casualty to the
Minimum Improvements, litigation commenced by third parties which, by injunction or other
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judicial action, directly results in delays, or acts of any federal, state or local governmental unit
other than those provided for under this Agreement or any other cause or force majeure beyond the
control of Redeveloper which directly results in delays, provided, however, that adverse market
conditions or tenant actions affecting the marketability or profitability of the Minimum
Improvements, or the inability to secure financing of the Minimum Improvements shall not
constitute Unavoidable Delays.
Section 1.2. Exhibits. The following exhibits are attached to and made a part of this
Agreement.
A. Certificate of Completion;
B. Redevelopment Property Legal Description;
Section 1.3. Rules of Interpretation. (a) This Agreement shall be interpreted in accordance
with and governed by the laws of the State of Minnesota;
(b) The words "herein" and "hereof' and words of similar importance, without reference
to any particular section or subdivision refer to this Agreement as a whole rather than any particular
section or subdivision hereof;
(c) Any titles of the several parts, articles and sections of this Agreement are inserted
for convenience and reference only and shall be disregarded in construing or interpreting any of
its provisions.
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ARTICLE II
REPRESENTATIONS
Section 2.1. Representations by the Redeveloper. (a) The Redeveloper has the power to
enter into this Agreement and has duly authorized the execution, delivery, and performance of this
Agreement by proper action.
(b) If the conditions precedent to construction occur, subject to the other terms of this
Agreement, the Redeveloper has or will likely secure the fmancial capability to construct the
Minimum Improvements.
(c) If the conditions precedent to construction occur, subject to the other terms of this
Agreement, the Redeveloper will construct the Minimum Improvements described in the Concept
Plans in accordance with the terms of this Agreement, the Redevelopment Plan and all local, state
and federal laws and regulations.
(d) The Redeveloper will exercise all reasonably diligent efforts to obtain, in a timely
manner, all required permits, licenses, and approvals and if all such approvals are obtained, and
subject to Unavoidable Delays and the satisfaction of all preconditions set forth in this Agreement
will meet in a timely manner, all lawful requirements of all local, state, and federal laws and
regulations which must be obtained or met before the Minimum Improvements may be constructed.
(e) Redeveloper will comply in all material respects with all applicable
environment laws and regulations. The term "Environmental Law(s)" shall include, but is not
limited to,: Comprehensive Environmental Response, Compensation and Liability Act
("CERCLA"), 42 U.S.C. §§9601 et seq. as now or hereafter amended, the Resource Conservation
and Recovery Act ("RCRA"), 42 U.S.C. §§6901 et seq. as now or hereafter amended, the Federal
Water Pollution Control Act, 33 U.S.C. §§1251 et seq. as now or hereafter amended, the Clean
Water Act (33 U.S.C. § 1317 et seq.), as now or hereafter amended., the Clean Air Act, 42 U.S.C.
§7401 et seq., the Clean Water Act (33 U.S.C. § 1317 et seq.), as now or hereafter amended; the
Clean Air Act (342 U.S.C. § 7412 et seq.), as now or hereafter amended; the Toxic Substances
Control Act (15 U.S.C. § 2606 et seq.), as now or hereafter amended; the Hazardous Materials
Transportation Act (49 U.S.C. § 1801 et seq.), as now or hereafter amended; the Minnesota
Environmental Response and Liability Act (Minn. Stat. Section 115B.02 et seq.) ("MERLA"), as
now and hereafter amended and the regulations thereunder, and any other local, state and/or federal
laws or regulations, that govern
(i) The existence, cleanup and/or remedy of contamination on
Property;
(ii) The protection of the environment from released, spilled,
deposited or otherwise emplaced contamination;
(iii) The control of hazardous wastes; or
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(iv) the use, generation, transport, treatment, removal or recovery of
hazardous substances, including any and all building materials.
(fj The Redeveloper acknowledges that it has relied exclusively upon its own analysis
of the potential Tax Increment and/or Available Tax Increment to be generated by the
Redevelopment Property and that neither the HRA nor its officers, agents or employees has made
any representation or covenant, express or implied, as to the amount of Tax Increment, and/or
Available Tax Increment that will be generated by the Redevelopment Properly. The Redeveloper
further acknowledges that the determination of the Purchase Price to be paid it for the
Redevelopment Property will be based on the anticipated level of Available Tax Increment
Section 2.2. Representations by HRA. The HRA makes the following representations as
the basis for the undertakings herein contained.
(a) The HRA has the power to enter into this Agreement and has duly authorized the
execution, delivery and performance of this Agreement.
(b) The HRA shall, without expense to it, cooperate in Redeveloper's efforts to obtain
all federal, state, and regional agency land use, environmental or other regulatory approvals which
are required of Redeveloper and necessary to implement the Development.
(c) Upon approval of this Agreement, the HRA will, subject to the reasonable exercise
of its legislative discretion, undertake the steps necessary leading to (i) decertification of portions of
the Interchange West and Lyndale Gateway Redevelopment Tax Increment District (the "Current
District")in which the Redevelopment Property is located, and (ii) the creation of the Tax Increment
District and the adoption of a Tax Increment Plan for the District. It is anticipated that the actions
necessary for creation of the TIF District can be taken by December 31, 2002, but this Agreement is
not intended to contractually obligate the HRA to either decertify such portion of the Current
District or create the new TIF District.
(d) The HRA has no knowledge that any tax increment projections or similar material
furnished to the Redeveloper is untrue, but further makes no representation concerning its accuracy.
(e) The HRA will provide Redeveloper with all reports, investigations and studies in the
HRA's possession which have as their subject the Redevelopment Property.
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ARTICLE II.S
CONCEPT PLANS
Section 2.5.0. Concept Plan-Approval. The Concept Plans for the Development are to be
prepared by the Redeveloper, at its expense, and submitted to the HRA for its approval not later
than 120 days after the date of this Agreement. If not approved by such date, this agreement shall
terminate unless the period for submission or approval of the Concept Plans is extended by both
parties in writing.
Section 2.5.1. Concept Plan-Content. The Concept Plan must address and contain the
following:
(a) Design layout of the Minimum Improvements which are substantially the same as
those shown on the Site Plan.
(b) The location, nature and construction timing of all public improvements to be
constructed to serve and benefit the Development, and all other public improvements that are
required as a consequence of the Development. Required improvements include
(c) General landscape plan
(d) The location and general design of a transit service facility.
Section 2.5.2. Other Actions. Until the Concept Plan approved by the HRA, the HRA will
not authorize the commencement of condemnation, and will not pay any economic assistance to the
Redeveloper; and the Redeveloper agrees that it will not obtain a building permit for construction of
the Minimum Improvements.
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ARTICLE III
SITE ASSEMBLY
Section 3.0. Initial Period. Redeveloper shall have up to 120 days following the
execution of this Agreement to make projections concerning the cost of acquisition of the
Redevelopment Property, and its impact on the overall feasibility of the Development. During
such period, the parties will also attempt to reach agreement on their respective financial
participation in the Development. Included in such discussions will be the timing and
preconditions of such participation, and the forms of security to be provided by the Redeveloper
as a condition to any financial participation by the HRA in the Development; and the extent to
which the HRA will subordinate its rights under this Agreement to facilitate obtaining of
financing. If as a consequence of such acquisition projections and such discussions, the
Redeveloper determines not to proceed with the Development, the Redeveloper shall notify the
HRA of such determination in writing, whereupon the parties shall be relieved of any further
obligations to each other and this Agreement shall terminate. Upon such notice, the HRA shall
return the remaining portion of the deposit made in accordance with Section 10.6. During such
120 day period, the HRA will not undertake the acquisition of any property, or let any contracts
for utility or other infrastructure work that will be paid for by the Redeveloper under this
Agreement.
Section 3.1. Statement of Intent. It is the intention of the parties that the tracts of land
which comprise the Redevelopment Property are to be acquired through a combination of direct
acquisitions by the Redeveloper and acquisitions by the HRA followed by conveyances to the
Redeveloper. Unless specifically provided otherwise in this Agreement, the Redeveloper shall be
responsible for all acquisition costs and the cost of relocation benefits and assistance provided to
any party displaced as a result of the development. It is further the intention of the parties that,
whenever possible, direct acquisition by the Redeveloper is preferred. It is further the
understanding of the parties that in the acquisition of the Redevelopment Property and related
activities the HRA's obligation shall only be to proceed in good faith and to utilize its best efforts.
Section 3.2. Acquisition. The Redeveloper agrees to diligently pursue such acquisition
activities. .
(a) Not later than December 15, 2002, the Redeveloper will provide the HRA with
the following information together with supporting material all of which shall be in writing and
reasonably satisfactory to the HRA:
(1.) That it has taken reasonable steps to acquire all the Redevelopment Property
(2) That any owner of residential property who has requested mediation has
been afforded the opportunity for mediation with respect to the purchase price to be paid for such
owner's property.
(3) That financing, whether in the form of Equity, Financial Commitments or
- otherwise, necessary for the acquisition of the Redevelopment Property and for the construction
of the Development is in the reasonable judgment of the HRA likely to be available.
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4) That Redeveloper, based upon preliminary environmental reviews and
other inspections of the Property, is not aware of any conditions, environmental or otherwise,
that would prevent Redeveloper from proceeding with the acquisition and development of the
Property.
(5) A list of the properties with respect to which purchase agreements or options
to purchase have been executed.
(6) A list of lands with respect to which such agreements or options have not
been executed.
(7) A request that the HRA undertake condemnation activities, and the parcels to
which such activities relate, together with a deposit of $20,000 for each parcel to be acquired by
condemnation to cover the fees and expenses of those retained by the HRA to provide legal, survey,
appraisal, relocation and title services in connection with such acquisition. The request shall also
include (i) an acknowledgment by the Redeveloper that if the HRA does approve the request, the
Redeveloper's obligations pursuant to Section 3.2(c)3 shall be applicable; and (ii) the form of
written agreement and security, reasonably acceptable to the HRA in the nature of the agreement
described in Section 3.2(c)3. The request shall also include a statement of whether it is necessary
for the HRA to proceed in accordance with Minnesota Statutes, § 117.042. Failure to make this
statement as a part of the initial request does not preclude the Redeveloper from subsequently
making it.
(b) If the Redeveloper supplies the items contained in paragraphs (1)-(7) above, the
HRA agrees that it will, in good faith, and following a review and verification of the same, and
following delivery to it of an agreement applicable to the Property in the nature of the agreement
described in paragraph (c)3 below, undertake the steps necessary to acquire fee simple title to the
portions of the Property to which the request relates, and in accordance with Minnesota Statutes, §
117.042 to the extent requested. Subject to the extension provision contained in Section 10.8, if the
Redeveloper fails to supply the items contained in paragraphs (1)-(7) above within the time
described above, either party may terminate this Agreement by written notice to the other
whereupon this Agreement shall be null and void, and the parties will be relieved of further
obligations hereunder.
(c) The obligation of the HRA to commence or to continue condemnation, to make any
deposit, including a deposit made pursuant it Minnesota Statutes, section 117.042, and to obtain title
to and possession of any of the parcels shall, unless waived in writing by the HRA, be specifically
subject to the following:
1. Redeveloper is not in default of any provisions of this Agreement and all
amounts due and payable under this Agreement have been paid.
2. Redeveloper has reviewed the condition of title as such is to be acquired by
the HRA and applicable environmental reports and notified the HRA in writing that such
condition of title is satisfactory.
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3. The Redeveloper has provided the HRA with an undertaking in the form of a
written agreement, and with security (which, if other forms of security are not reasonably
acceptable to the HRA, may include the right of the HRA to take an assignment of leases)
all reasonably acceptable to the HRA which will assure payment by the Redeveloper of:
(i) any condemnation award in excess of the available HRA Funds;
(ii) any relocation benefits in excess of available HRA Funds which are
not yet paid;
Such undertaking and security is to remain in effect according to its terms,
and in any event, until suitable and adequate substitute security is agreed to by the
parties or until paid in full.
4. The Redeveloper has furnished the HRA with written notice, reasonably
acceptable to the HRA, indicating that, based upon Redeveloper's own investigation it is
satisfied in all respects with the nature and condition of title to the parcels and interests to be
acquired by the HRA.
5. The HRA is satisfied that the Redeveloper has obtained, or will be obtaining,
fee simple title to any portions of the Redevelopment Property which are not the subject of
the condemnation.
6. Redeveloper has furnished the HRA with written evidence reasonably
acceptable to the HRA that it has funds, whether in the nature of Equity or Financial
Commitment or otherwise which are sufficient for construction of the Minimum
Improvements.
7. [Intentionally blank.]
8. Redeveloper has supplied the HRA with a signed written statement,
reasonably satisfactory to the HRA, to the effect that, to the best of Redeveloper's
knowledge, upon Closing, there will be no remaining matters which would affect the prompt
commencement of construction of the Minimum Improvements -and the continuation of
construction to completion. The statement must also acknowledge that the Redeveloper
understands that the HRA is relying on the statement as a inducement to its activities
hereunder.
9. Redeveloper has obtained all permissions and approvals required by the city
and other governmental authorities relating to such matters as, without limitation,
discontinuance and removal or relocation of utilities, disruption or closure of rights of way,
encroachment above streets and alleys for construction activities, and use of public lands for
storage of construction equipment and materials. It is understood that such permissions may
be conditioned upon such terms as the approving authorities may in their discretion deem
advisable.
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10. Redeveloper has entered into indemnity and hold harmless agreements with
the City and HRA protecting those parties from damage or third party claims relating to
construction activities.
11. The HRA has reviewed and approved the Concept Plan.
12. The City and Redeveloper have reached written agreement regarding the
location and nature and cost of any public improvements to be located on the
Redevelopment Property.
13. The Redevelopment Property has been rezoned to a classification which
allows the proposed activities.
14. The parties have reached agreement as to the nature and extent of the
Redeveloper's contribution to the Richfield Housing Fund. This contribution shall not
exceed 15% of available tax increment. Based on material submitted by the Redeveloper, at
least 20% of the housing units will be "affordable". If that remains the case, no contribution
will be required.
15. The Redeveloper has received approval for a plan for tree protection during
construction.
The HRA may, in its sole judgment, but only with consent of the Redeveloper, commence
and continue its activities under this section even though some or all of the conditions stated above
have not been satisfied, or waived. In such event, the HRA will notify the Redeveloper of its
election to proceed and shall also notify the Redeveloper of the dates by which some conditions
must be satisfied.
The HRA shall, upon becoming aware of failure of any of the conditions stated above to
occur within the time provided, and verifying the same with the Redeveloper, immediately
discontinue its acquisition activities, and thereafter, the Redeveloper's sole obligation shall be to
reimburse the- HRA for the costs and expenses incurred by the HRA in connection with its
acquisition activities, and to indemnify and save harmless the HRA and the City, their officers,
agents and employees and to defend the same from any claim or cause arising out of or occasioned
by the discontinuance of such acquisition activities, and the HRA's sole remedy shall be to obtain
such reimbursement and indemnify from the Redeveloper. The HRA may utilize any security
available to it in this Agreement as security for Redeveloper's obligations under this Paragraph,
including, without limitation, security provided by Redeveloper under this Agreement.
(j) During the pendency of such actions, the Redeveloper shall be required to promptly
pay all expenses incurred by the HRA in connection with the prosecution thereof, such expenses
include legal, survey, title, appraisal, relocation, process service, court costs and similar expenses.
The HRA shall, not more often than monthly during the pendency of the action, furnish the
Redeveloper with a written itemized statement of all such expenditures. Such expenditures shall be
deducted from the deposit provided for in Section 10.6.
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(k) In the event of insufficient available HRA Funds, the HRA will notify the
Redeveloper not later than 30 days prior to any date on which the HRA is required to deposit any
amount into court in order to obtain title and possession to portions of the Property or to make
relocation benefit payments to persons entitled to such payments, of the need to advance such
payment or deposit. Not later than five days prior to the date such deposit or payment is due,
Redeveloper shall deliver to the HRA funds payable to the HRA in the amount of any such deposit
or payment. If the Redeveloper fails to make such payments, the HRA may exercise one of the
following options: (i) it may treat the Redeveloper in default and immediately terminate this
Agreement and proceed in accordance with subparagraph (n) below, (ii) it may draw on any form of
security provided by the Redeveloper for the purpose of securing such payments, or (iii) it may elect
to make future withholdings of Tax Increment Financing in the amount of the unreimbursed
relocation benefits or condemnation/settlement award plus 6.5% interest from the date such costs
were incurred by the HRA until such date that payments were made by the Redeveloper. The HRA
shall then have the right, and subject to the terms and conditions hereof, the obligation to use such
funds to make such deposit or such payments
(1) Should the HRA terminate this Agreement for a failure of Redeveloper to satisfy any
of the conditions in paragraph (i) after the HRA has acquired title to and possession of any parcel,
the HRA shall have the unrestricted right to utilize all or part of the same in any manner which it, in
its sole discretion deems appropriate, including, without limitation, the sale of all or part of the same
to others, all on terms and for amounts which the HRA in its exclusive judgment deems appropriate.
In the event that the HRA elects to sell all or part of such property, ,the HRA agrees to
reimburse the Redeveloper from, and only from the sale proceeds (if any), amounts expended by the
Redeveloper in connection with acquisition of such parcels and paid to the HRA pursuant to this
Agreement after first deducting from the sale price:
1. Amounts still owing the HRA under paragraphs (g), (j) or (k) and the
amount of any remaining obligations under this Agreement.
2. All expenditures incurred by the HRA in connection with such subsequent
transaction which would customarily be paid through the sale price. The Redeveloper
acknowledges that a reduction in the sale price in the form of a land writedown, to the extent
not subsequently returned to the HRA through tax increment, would be deemed to be such
an expenditure.
The Redeveloper acknowledges that the HRA's obligation under this subparagraph shall
be enforceable against no other source than the sale proceeds, if any, and does not constitute a
lien or encumbrance on the property or any other HRA asset. This provision places no fiduciary
obligation on the HRA to act in any manner which would preserve, protect, secure or enhance
the property or the amount of reimbursement which the Redeveloper might receive. Nothing in
this subparagraph (1) shall be deemed to preclude a sale by the HRA to the Redeveloper; and the
application of the sale price to reduce the amount due the HRA under this subparagraph.
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(m) On the date of Closing, and as a further precondition to the HRA's obligations to
deliver title, Redeveloper shall provide the HRA with either a lien, in recordable form and
recordable against the Redevelopment Property or a letter of credit (LC). The choice between lien
or LC shall be at the sole discretion of the Redeveloper_ The instrument shall be in a form
acceptable to the HRA and in an amount deemed by the HRA in its reasonable judgment to be
sufficient to cover each of the matters described in Section 3.2(c)3 above. The HRA agrees that it
will, from time to time, hear and consider requests from the Redeveloper to release or modify the
instrument, or, in the case of a lien, to subordinate the same, and will do so if in its reasonable
judgment such action will not impair the adequacy of the HRA's security. The HRA may condition
the approval of any such requests upon the Redeveloper providing substitute security acceptable to
the HRA. Unless the HRA specifically determines otherwise, the security provided for in this
paragraph is an additional form of security to the other forms of security interest provided for in
3.2(c)3 above.
(n) Redeveloper Liability. Notwithstanding anything herein to the contrary, in the event
the Redeveloper shall fail or refuse to perform its obligations under paragraphs (a)7 and (d) above;
or fail to satisfy the conditions set forth in Section 3.2(c) or (e) above, then the HRA, upon written
notice thereof from Redeveloper, may immediately discontinue its acquisition activities, and
thereafter, the Redeveloper's sole obligation shall be: i) to reimburse the HRA for the costs and
expenses incurred by the HRA in connection with its acquisition activities; ii) to indemnify and save
harmless the HRA and the City and their officers, agents and employees and to defend the same
from any claim or cause arising out of or occasioned by the discontinuance of such acquisition
activities and the HRA's sole remedy shall be to obtain such reimbursement and indemnity from the
Redeveloper.
(o) Copies of Pleading. Copies of all correspondence, notices and pleadings
relative to any condemnation proceeding shall be sent to the Redeveloper and Redeveloper's counsel
as provided in Section 10.7.
(p) Environmental Review. Any condemnation action commenced by the HRA will
include, as needed, a request for an order permitting the HRA to enter onto the parcel for the
purpose of conducting environmental investigations pursuant to Minnesota Statutes, § 114.041. The
HRA will promptly pursue any authority and will provide the Redeveloper with the results when
available. The Redeveloper will have five days from the receipt of any such reports to inform the
HRA whether it will accept the environmental condition of the parcel. If the Redeveloper elects to
reject the parcel, then the HRA will discontinue condemnation on all parcels. The Redeveloper
agrees not to acquire any parcel or incur any relocation expenses for which HRA Funds are to be
used until elections to accept environmental conditions for all parcels under condemnation have
been made.
Section 3.3. Conveyance of the Redevelopment Property. The HRA shall reconvey title to
and possession of the Redevelopment Property to the Redeveloper under a quit claim deed. The
conveyance of and the Redeveloper's use of the Redevelopment Property shall be subject to all of
the conditions, covenants, restrictions and limitations imposed by this Agreement. The conveyance
-- of title to and the Redeveloper's use of the Redevelopment Property shall also be subject to building
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and zoning laws and ordinances and all other applicable local, state and federal laws and
regulations.
Section 3.4. Time of Acquisition and Conveyance. (a) Closing on the simultaneous sale
and repurchase and purchase transactions contemplated herein shall occur not later than 10 days
following the date on which the HRA has acquired title to all of the parcels acquired through
condemnation provided that the Redeveloper is not in default of any obligation under this agreement
and that all monies due the HRA hereunder have been paid, and provided further that all other
conditions, events or actions which under this Agreement must occur prior to Closing have either
occurred or been waived in writing by the parry in whose favor the requirement runs.
The Redeveloper shall take possession of the Redevelopment Property the day of execution and
delivery of the deed by the HRA.
(b) Unless otherwise mutually agreed by the HRA and the Redeveloper, the execution
and delivery of all deeds shall be made at the principal office of the HRA.
Section 3.5. Title. (a) Prior to and as a condition to the HRA's obligation to acquire the
portions of the Redevelopment Property not being condemned„ the Redeveloper shall obtain and
furnish to the HRA a commitment for the issuance of a policy of title insurance. The HRA shall
have twenty (20) days from the date of its receipt of such commitment to review the state of title
and to provide the Redeveloper with a list of written objections to such title. No objection may be
made by the HRA to any defect or encumbrance on the title unless and to the extent that such defect
or encumbrance would, if uncured, have the effect of precluding Redeveloper's construction of the
Minimum Improvements. Upon receipt of the HRA's list of written objections, the Redeveloper
shall proceed in good faith and with all due diligence to attempt to cure the objections made by the
HRA. Within ten (10) days after the date that all such objections have been cured, to the reasonable
satisfaction of the HRA, the HRA shall proceed with its acquisition and reconveyance of the
Redevelopment Property. The HRA shall have no obligation to take any action to clear defects in
the title to the Redevelopment Property.
(b) The HRA shall take no actions to encumber title to the Redevelopment Property
between the moment the HRA acquires to the moment on which the Authority's Deed is delivered to
the Redeveloper, it being understood that such conveyances will occur simultaneously.
Section 3.6. Soil Conditions. The Redeveloper acknowledges that the HRA makes no
representations or warranties as to the condition of the soils on the Redevelopment Property or its
fitness for construction of the Minimum Improvements or any other purpose for which the
Redeveloper may make use of such property. The Redeveloper further agrees that it will indemnify,
defend, and hold harmless the HRA, its governing body members, officers, and employees, from
any third parry claims or actions arising out of the presence, if any, of hazardous wastes or
pollutants on the Redevelopment Property; but only to the extent that such claims or actions relate to
activities occurring prior to the HRA's acquisition of the Redevelopment Property and are based
upon the HRA's ownership of the Redevelopment Property required herein and for no other reason.
In addition to the foregoing, the HRA agrees to diligently pursue efforts to secure third-party
funding for the mitigation of any contamination or pollution found to exist on the Redevelopment
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Property. Otherwise, as between the HRA and the Redeveloper, the cost and responsibility to
mitigate rests with the Redeveloper.
Section 3.7. Purchase Price. The Redeveloper will pay the HRA, as and for the purchase
price of the Redevelopment Property an amount to be agreed to by the parties pursuant to Section
6.2.
Section 3.8. Taxes and Special Assessments. The HRA shall have no responsibility for the
payment of taxes and installments of special assessments for any portion of the Redevelopment
Property regardless of when levied or when payable.
Section 3.9. Other Costs. No cost, fee or other payment relating to any real estate
transaction of any nature shall be payable by the HRA to any person or entity; and except as
otherwise set forth in this Agreement, the HRA's entire obligation in connection with the purchase
and sale of the Redevelopment Property shall be payment of the purchase price and reconveyance of
the Redevelopment Property as provided in this Agreement.
Section 3.10. Property Conveyed As Is. Redeveloper acknowledges that the HRA shall
have no obligation to perform any site work in connection with the proposed transaction or
otherwise. The HRA's only obligation hereunder is to convey the Redevelopment Property to the
Redeveloper in the condition in which it was obtained by the HRA. All site work, including,
without limitation, grading, soil preparation and demolition of all structures and improvements shall
be done by the Redeveloper at Redeveloper's cost.
Section 3.11 Other Preconditions to Closing. Notwithstanding any provision in this
agreement to the contrary, Closing shall not occur until the Redeveloper has entered into agreements
with the City and/or the HRA, (i) provide the necessary consents and waivers from the Redeveloper
for the establishment of a maintenance district for the purpose of assessing the costs of maintaining
and (ii) providing for an interim off-street parking plan designed to
accommodate parking requirements during construction of the Development.
Section 3.12. Termination. In the event that Closing has not occurred by August 31, 2003
either party may give the other party written notice of its intention to terminate this Agreement. If
the other party does not proceed to Closing within 30 days following the giving of such notice this
Agreement may be declared null and void by either party giving written notice of such declaration
to the other party and thereupon, neither parry shall have any obligation or liability to the other
hereunder.
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ARTICLE IV
CONSTRUCTION OF MINIMUM IMPROVEMENTS
Section 4.1. Agreement to Construct. Subject to the acquisition of the Redevelopment
Property, the Redeveloper agrees that it will construct the Minimum Improvements substantially in
accordance with the approved Concept Plans; the construction and all construction activities shall be
conducted in strict conformity with the ordinances, codes and regulations of the City and other
governmental units having jurisdiction over such activities.
Section 4.2. [blank].
Section 4.3. [blank].
Section 4.4. Concept Plans. The Concept Plans shall be submitted and approved as
provided in Section 2.5.
If the Redeveloper desires to make any change in the approved Concept Plans that will
change the project density, site elevation, market value or will require a modification to any
previously granted land use approval, the Redeveloper shall submit the proposed change to the
HRA for its approval. If the Concept Plans, as modified by the proposed change, conform to the
requirements of this section with respect to such previously approved Concept Plans, the HRA shall
approve the proposed change and notify the Redeveloper in writing of its approval. Such change in
the Concept Plans shall, in any event, be deemed approved by the HRA unless rejected, in whole or
in part, by written notice by the HRA to the Redeveloper, setting forth in detail the reasons therefor
within twenty (20) days after receipt of the notice of such change.
Final construction plans and specifications shall be reviewed by the City Building Official in
connection with issuance of building permits. No building permit may be issued if the final
construction plans and specifications materially depart from the approved Concept Plans.
Section 4.SA. Commencement of Construction. Subject to Unavoidable Delays, the
Commencement of Construction for the Minimum Improvements must occur no later than August
1, 2003.
Section 4.6. Construction Reports. At the request of the HRA, the Redeveloper will
provide the HRA with copies of the portions of any construction reports prepared by Redeveloper's
architect and which show the status of construction.
Section 4.7. Completion of Construction -Certificate of Completion. Subject to
Unavoidable Delays, construction of the Minimum Improvements shall be completed not later than
December 31, 2005. Once commenced, construction of the Minimum Improvements for any phase
- shall be diligently prosecuted to completion. Promptly after notification by the Redeveloper of
completion of the Minimum Improvements, but only if the Redeveloper has also replatted the
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Redevelopment Property, the HRA shall inspect the construction to determine whether such
Minimum Improvements are completed substantially in accordance with the terms of this
Agreement. If the HRA is satisfied, it will promptly furnish the Redeveloper with a Certificate of
Completion. Such certification by the HRA shall, except as further provided in this Section 4.7, be
a conclusive determination of satisfaction and termination of the agreements and covenants in this
Agreement, with respect to the obligations of the Redeveloper to construct the Minimum
Improvements.
The certification provided for in this section shall be in recordable form. If the HRA shall
refuse or fail to provide the Redeveloper a certification in accordance with the provisions of this
Section 4.7, the HRA shall, provide the Redeveloper with a written statement, indicating in
adequate detail in what respects the Redeveloper has failed to complete the Minimum
Improvements in accordance with the provisions of this Agreement, has failed to replat the
Redevelopment Property, or is otherwise in default, and what measures or acts it will be necessary,
in the reasonable opinion of the HRA, for the Redeveloper to take or perform in order to obtain such
certification. The HRA may not impose as a condition for issuance of the certificate, any
requirement which has previously been deemed satisfied either by actual approval or the passage of
time.
If the HRA fails to act on the Certificate of Completion within 60 days following the date it
is notified of completion of construction of a phase, all objections shall be deemed waived and the
certificate shall issue for such phase.
Section 4.8. Public Improvements. With respect to the construction of public
improvements, the HRA and the Redeveloper agree as follows:
(a) 77the Street Sound Walls. Removal of the existing sound wall at 77~' Street shall be
the responsibility of the Redeveloper. The Redeveloper shall use its best efforts not to cause
damage to the removed portions of the sound wall during removal. The Redeveloper shall give City
or HRA staff written notice prior to removal of any part of the sound wall and will allow City/HRA
personnel the opportunity to observe and/or assist in the walls removal. The City or HRA shall
retain the right to salvage the removed portion of the wall. If the remaining portion of the wall is
damaged during any point in the construction of improvements by the Redeveloper and their
contractors/subcontractors, then the cost to repair such damage is to be borne by the developer.
(b) "Streetscape" on Lyndale Avenue, 76~' Street and 77~' Street. The HRA shall be
responsible to pay for and complete all of the improvements shown on the attached Exhibit C lying
between the future property line and the west curb line of Lyndale Avenue, the south curb line of
76~' Street, the north curbline of 77~' Street. It is understood, however, that the HRA shall have no
obligation to expend in excess of $525,000 for all the "streetscape" improvements lying in this area.
The Redeveloper shall construct sidewalk areas of similar design and materials to the HRA
constructed streetscape in the area between the buildings and the right-of--way line.
(c) Roadway Improvements to Lyndale Avenue. The City has drafted bid specifications
for the realignment and reconstruction of Lyndale Avenue. The portion to be reconstructed lies
between the east and west right-of--way lines of Lyndale Avenue and between the centerline of 76~'
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Street and the Centerline of 77~` Street. It is the City's intentions to construct and pay for these
improvements in accordance with the established specifications; but the City reserves the right to
deviate from those specifications provided that such deviations which result in an alteration to the
Redevelopment Property and/or its ingress and egress shall first be approved by the Redeveloper.
The reconstruction of Lyndale Avenue shall begin no earlier than the date by which all of the parties
occupying properties which have a Lyndale Avenue address have been relocated from the
Development Area; and no later than August 1, 2003 if the aforementioned properties have been
vacated by July 1, 2003.
(d) Public and Private Utilities. The costs associated with all public and private utilities
(including, but not limited to sanitary sewer, storm sewer, gas lines, electric power lines and
telephone lines) which are moved, terminated, disrupted or otherwise altered for any purpose are the
responsibility of the Redeveloper, unless such activities would be necessary solely for the activities
contained in the above Section 4.8(b) or 4.8(C).
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ARTICLE V
INSURANCE
Section 5.1. Insurance. Prior to Closing, the Redeveloper shall provide evidence of
insurance, covering property, casualty, workers compensation, fire, indemnity, general liability,
employer's liability and such other coverage and in such amounts as the HRA shall reasonably
require.
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ARTICLE VI
TAX INCREMENT
Section 6.1. Statement of Purpose. The parties acknowledge that the development which is
proposed by the Redeveloper would not be feasible absent the assistance which is provided the
Redeveloper in this Article VI.
Section 6.2. Level of Assistance, Purchase Price, Look-Back. Not later than 120 days
following the date of this Agreement, the parties will determine the base purchase price for the
Redevelopment Property and the expected level of economic assistance available in the form of a
reduction of the purchase price (the "Net Purchase Price"). The parties will also determine the
nature of any pre-closing review of the expected level of economic assistance based on a change in
the factors used to determine the level of assistance.
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ARTICLE VII
FINANCING
Section 7.1. Limitations Upon Encumbrance. Prior to the issuance of a Certificate of
Completion, neither the Redeveloper nor any successor in interest to the Redevelopment Property or
any part thereof shall engage in any fmancing or any other transaction creating any mortgage or
other encumbrance or lien upon the Redevelopment Property or any part thereof, whether by
express agreement or operation of law, or suffer any encumbrance or lien to be made on or attached
to the Redevelopment Property or any part thereof, except only for the purpose of obtaining funds to
the extent necessary for purchasing or redeveloping the Redevelopment Property or funding
construction of the Minimum Improvements.
Section 7.2. Copy of Notice of Default to Lender. Prior to the issuance of a Certificate of
Completion, whenever the HRA shall deliver any notice or demand to the Redeveloper with respect
to any breach or default by the Redeveloper in its obligations under this Agreement, the HRA shall
at the same time forward a copy of such notice or demand to each holder ("Holder") known to the
HRA of any mortgage or other fmancing agreement authorized by this Agreement by sending such
notice to last known address of the Holder as shown in the records of the HRA.
Section 7.3. Lender's Option to Cure Defaults. After any Event of Default by the
Redeveloper referred to in Section 10.1 hereof, each Holder shall (insofar as the rights of the HRA
are concerned) have the right for a period of ninety (90) days, at the Holder's option, to cure or
remedy such Event of Default to the extent that it relates to the part of the Redevelopment Property
covered by its financing and to add the cost thereof to the debt and the lien of its fmancing,
provided, that if the breach or event of default is with respect to construction of the Minimum
Improvements, nothing contained in this Section or any other section of this Agreement shall be
deemed to permit or authorize such Holder, either before or after foreclosure or action in lieu
thereof, to undertake or continue the construction or completion of the Minimum Improvements
(beyond the extent necessary to conserve or protect such Improvements or construction already
made) without first having expressly assumed the Redeveloper's obligations described in Section
4.5 hereof by written agreement reasonably satisfactory to the HRA to complete the Minimum
Improvements or the part thereof to which the lien or title of such holder relates, provided further,
however, that the HRA will not unreasonably withhold its consent to any changes in the Minimum
Improvements which are requested by the Holder if the requested changes do not alter the basic
design of the Minimum Improvements. (It being understood that such consent shall in no way act to
bind or influence the power of the City, in the exercise of its governmental authority not to approve
any proposed changes or alterations to the Minimum Improvements. Any such Holder who shall
perform the Redeveloper's obligations under Section 4.5 hereof, relating to the Redevelopment
Property or applicable part thereof, shall be entitled, upon written request made to the HRA, to a
certification by the HRA to such effect in the manner provided in Section 4.7 of this Agreement.
Section 7.4. HRA's Option to Cure Default. Prior to the issuance of a Certificate of
- Completion, if the Redeveloper is in default under any financing authorized pursuant to Article VIII
of this Agreement, the Holder, prior to exercising any of its remedies, shall notify the HRA in
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writing by sending it a copy of any notice of default sent to the Redeveloper. If, within thirty (30)
days after receipt of said notice, the HRA cures the default, then the Holder shall pursue none of its
remedies under the financing based upon the said default of the Redeveloper.
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ARTICLE VIII
PROHIBITIONS AGAINST ASSIGNMENT AND TRANSFER
Section 8.1. Representation as to Development. The Redeveloper further recognizes that, in
view of (a) the importance of the development of the Redevelopment Property to the general
welfare of the community; and (b) the substantial fmancing and other public aids that have been
made available by the City and the HRA, for the purpose of making such development possible; that
the qualifications and identity of the Redeveloper are of particular concern to the community and
the HRA. Any change as hereunder described with respect to the identity of the Redeveloper or the
purchase of Redeveloper's interest by any other party or parties is for practical purposes a transfer or
disposition of the property then owned by the Redeveloper, the Redeveloper further recognizes that
it is because, of such qualifications and identity that the HRA is entering into this Agreement with
the Redeveloper and, in so doing, is further willing to accept and rely on the obligations of the
Redeveloper for the faithful performance of all undertakings and covenants hereby then to be
performed.
Section 8.2. [Blank].
Section 8.3. Prohibition Against Transfer of Property and Assignment of Agreement. For
the foregoing reasons, the Redeveloper represents and agrees that prior to the issuance of a
Certificate of Completion for that Phase:
(a) Except only by way of security for, and only for, the purpose of obtaining financing
of the nature described in Section 7.1, the Redeveloper (except as so authorized) has not made or
created, and that it will not make or create, or suffer to be made or created, any total or partial sale,
assignment, conveyance, or any trust or power, or transfer in any other mode or form of or with
respect to this Agreement or the Redevelopment Property or any part thereof or any interest therein,
or any contract or agreement to do any of the same, without the prior written approval of the HRA,
which approval will not be unreasonably withheld.
(b) The HRA shall be entitled to require, except as otherwise provided in the
Agreement, as conditions to any such action described in paragraph (a) above that: (i) any proposed
transferee shall have the qualifications and financial responsibility, asreasonably determined by the
HRA, necessary and adequate to fulfill the obligations undertaken in this Agreement by the
Redeveloper (or, in the event the transfer is of or relates to part of the Redevelopment Property,
such obligations to the extent that they relate to such part); (ii) any proposed transferee, by
instrument in writing satisfactory to the HRA and in form recordable among the land records, shall
for itself and its successors and assigns, and expressly for the benefit of the HRA, have expressly
assumed all of the obligations of the Redeveloper under this Agreement and agreed to be subject to
the terms of the Redevelopment Plan (or, in the event the transfer is of or relates to part of the
Redevelopment Property, such obligations, conditions, and restrictions to the extent that they relate
to such part); provided, that the fact that any transferee of, or any other successor in interest
whatsoever the reason, shall have assumed such obligations or agreed, shall not (unless and only to
the extent otherwise specifically provided in this Agreement or agreed to in writing by the HRA)
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relieve or except such transferee or successor of or from such obligations, conditions, or restrictions,
or deprive or limit the HRA or with respect to any rights or remedies or controls with respect to the
Redevelopment Property or the construction of the Minimum Improvements; it being the intent of
this, together with other provisions of this Agreement, that (to the fullest extent permitted by law
and equity and excepting only in the manner and to the extent specifically provided otherwise in this
Agreement) no transfer of, or change with respect to, ownership in the Redevelopment Property or
any part thereof, of any interest therein, however consummated or occurring, and whether voluntary
or involuntary, shall operate, legally or practically, to deprive or limit the HRA of or with respect to
any rights or remedies or controls provided in or resulting from this Agreement with respect to the
Redevelopment Property and the construction of the Minimum Improvements that the HRA would
have had, had there been no such transfer or change; (iii) there shall be submitted to the HRA for
review all instruments and other legal documents involved in effecting transfer, and if approved by
the HRA its approval shall be indicated to the Redeveloper in writing. The HRA shall not
unreasonably delay the taking of any action required of it under this paragraph.
(c) Notwithstanding the prohibitions against transfer contained in this section, the
Redeveloper shall have the right to transfer, (partial or full) ownership interests in the Redeveloper,
this Agreement, or any Component of the Redevelopment Property to any entity or entities that are
controlled by the Redeveloper.
(d) In the absence of specific written agreement by the HRA to the contrary, no such
transfer or approval by the HRA thereof shall be deemed to relieve the Redeveloper, or any other
parry bound in any way by this Agreement or otherwise with respect to the construction of the
Minimum Improvements, or from any of its obligations with respect thereto. The HRA may,
however, in its reasonable discretion exercised in accordance with the standards and requirements of
Section 8.3(b) relieve Redeveloper if such transferee or assignee is acceptable to the HRA.
Section 8.4. Followin Completion. Upon the issuance of the Certificate of Completion,
the provisions of Sections 8.1, 8.3 and 8.5 shall be deemed to have no further force and effect; and
the Redeveloper may transfer the Redevelopment Property and assign its interest under this
Agreement at any time upon written notice to the HRA.
Section 8.5. Approvals.. Any approval required to be given by the HRA under this Article
VIII of this Agreement may be denied only in the event that the HRA reasonably determines that
the performance of the obligations of Redeveloper under this Agreement will be materially impaired
by the action for which approval is sought. At the HRA's request, the Redeveloper shall provide to
the HRA's attorney for privileged review on behalf of the HRA financial information as to any
proposed general partners, or controlling stockholders of proposed assignees or transferees, and
fmancial information as to any such partnership or corporation. Failure to provide such information
shall be an adequate basis for the denial of any requested approval; however, it shall not otherwise
be construed as a default under this Agreement.
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ARTICLE IX
EVENTS OF DEFAULT
Section 9.1. Events of Default Defined. The following shall, after the Redeveloper has
received notice of the same and has failed to cure in accordance with Section 9.2, be "Events of
Default" under this Agreement and the term "Event of Default" shall mean, whenever it is used in
this Agreement (unless the context otherwise provides), any one or more of the following events:
(a) Failure by the Redeveloper to pay when due any payment required to be paid under
Article III of this Agreement.
(b) Subject to Unavoidable Delay, failure by the Redeveloper to observe and
substantially perform any material covenant, condition, obligation, or agreement on its part to be
observed or performed hereunder.
(c) If the Redeveloper is in default under any mortgage and fails to cure any such
default within thirty (30) days after written demand from the HRA to do so.
(d) If the real estate taxes are not paid when due, subject to Redeveloper's right to
contest same in accordance with applicable law.
Section 9.2. Remedies on Default. Whenever any Event of Default referred to in Section
9.1 of this Agreement occurs, the HRA may, in addition to any other remedies or rights given the
HRA under this Agreement, but only after at least sixty (60) days notice to the Redeveloper and its
failure to cure (unless a different cure period is provided with respect to specific defaults under this
Agreement) or such longer cure period if reasonably required and the actions to cure have been
commenced within such 60-day period, fmd the Redeveloper in default (Default) and take any one
or more of the following actions:
(a) Terminate this Agreement.
(b) Suspend its performance under the Agreement until it receives assurances from the
Redeveloper or mortgagee reasonably deemed adequate by the HRA, that the Redeveloper will cure
the default and continue performance under this Agreement.
(c) If Closing has not yet occurred, cancel pursuant to Minnesota Statutes Section
559.21, and rescind this Agreement, in which case the 60-day cure period shall commence with
notice of cancellation.
(d) Withhold the Certificate of Completion if the Event of Default relates to the failure
of the Redeveloper to complete the Minimum Improvements as provided in this Agreement.
(e) Subject to the limitations stated in Article III take whatever action at law or in equity
may appear necessary or desirable to the HRA to collect any payments due under this Agreement,
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or to enforce performance and observance of any obligation, agreement or covenant of the
Redeveloper under this Agreement.
Provided, however, that any exercise by the HRA, its successors or assigns, of its right or
remedies hereunder shall always be subject to and limited by, and shall not defeat, render invalid or
limit in any way (a) the lien of any mortgage authorized by this Agreement and (b) any rights or
interests provided in this Agreement for the protection of the Holder of such mortgages
Section 9.3. No Remedy Exclusive. Except as provided in Article III, no remedy herein
conferred upon or reserved to the HRA is intended to be exclusive of any other available remedy or
remedies, but each and every such remedy shall be cumulative and shall be in addition to every
other remedy given under this Agreement or now or hereafter existing at law or in equity or by
statute. No delay or omission to exercise any right or power accruing upon any default shall impair
any such right or power or shall be construed to be a waiver thereof, but any such right and power
may be exercised from time to time and as often as may be deemed expedient. In order to entitle the
HRA or the Redeveloper to exercise any remedy reserved to it, it shall not be necessary to give
notice, other than such notice as may be required in this Article X or by applicable law.
Section 9.4. No Additional Waiver Implied by One Waiver. In the event any obligation
contained in this Agreement should be breached by either party and thereafter waived by the other
party, such waiver shall be limited to the particular breach so waived and shall not be deemed to
waive any other concurrent, previous or subsequent breach hereunder.
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ARTICLE X
ADDITIONAL PROVISIONS
Section 10.1. Conflict of Interests; HRA Representatives Not Individually Liable. No
member, official, or employee of the HRA shall have any personal interest, direct or indirect, in the
Agreement, nor shall any such member, official or employee participate in any decision relating to
the Agreement which affects his personal interests or the interests of any corporation, partnership, or
association in which he is, directly or indirectly, interested. No member, official, or employee of the
HRA shall be personally liable to the Redeveloper, or any successor in interest, in the event of any
default or breach by the HRA or for any amount which may become due to the Redeveloper or
successor or on any obligations under the terms of the Agreement.
Section 10.2. Nondiscrimination. The provisions of Minnesota Statutes Section 181.59,
which relate to civil rights and nondiscrimination, shall be considered a part of this Agreement as
though fully set forth herein.
Section 10.3. Provisions Not Merged With Deed. None of the provisions of this Agreement
are intended to be or shall be merged by reason of any deed transferring any interest in any part of
the Property and any such deed shall not be deemed to affect or impair the provisions of this
Agreement. Unless otherwise indicated in this Agreement, the provisions of this Agreement shall
be binding upon and inure to be benefit of the successors and assigns of the parties hereto.
Section 10.4. Notice of Status and Conformance. The HRA agrees that from time to time,
upon not less than ten (10) days' prior written notice by Redeveloper, to execute, acknowledge and
deliver, without charge, to Redeveloper or to any person designated by Redeveloper, a statement in
writing certifying, to the extent true, that this Agreement is unmodified, the principal amount of any
obligation herein created then unpaid, that the HRA has not received any notice of default, that to
the knowledge of the HRA no event of default exists hereunder (or if any such event of default does
exist, specifying the same and stating that the same has been cured, if such be the case), that the
HRA to its knowledge, has no claims against the Redeveloper hereunder, and any other information
reasonably requested by the Redeveloper. It is the intention of this Section 10.4 to provide a
mechanism for obtaining estoppel certificates which may be requested by from time to time by
Redeveloper or Redeveloper's mortgagee.
Section 10.5. Compliance With Business Subsides. The HRA's obligation to make
payments under this Agreement that constitute Business Subsidies under the Business Subsidy Act
are expressly contingent upon the conclusion of the procedures required by such law.
Section 10.6. Redeveloper Deposit. The Redeveloper shall deposit $20,000 with the HRA.
The purpose of the deposit is to reimburse the HRA for the money value of staff time and consultant
costs incurred by it in connection with the preliminary activities leading up to, resulting in and
including the preparation of this Agreement and any modifications of the Interchange West and
Lyndale Gateway Tax Increment District, and in the implementation of this Agreement and the
Development. Any portions of the deposit which are not needed for those purpose shall be returned
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to the Redeveloper within 15 days following the issuance of the Certificate of Completion; or the
termination of this Agreement for failure to close. At any time that the unexpended amount of such
deposit is $10,000 or less, the Redeveloper shall, upon 15 days written request to do so, provide
such further deposit as is required to return the unexpended amount to $20,000. It is understood that
the deposited amount is not a limitation on the Redeveloper's obligation to reimburse for such costs,
or to make other payments required under this Agreement. At the time the Redeveloper takes title
to the property, the outstanding balance of this account will be reimbursed to the Redeveloper with
the understanding that future costs incurred by the HRA would be sought for reimbursement from
the Redeveloper if the terms of this contract so warrant.
Section 10.7. Notices and Demands. Except as otherwise expressly provided in this
Agreement, a notice, demand, or other communication under the Agreement by either parry to the
other shall be sufficiently given or delivered it if is dispatched by registered or certified mail,
postage prepaid, return receipt requested, or delivered personally:
As to the HRA: Housing and Redevelopment Authority
6700 Portland Avenue South
Richfield, MN 55423
Attention: Executive Director
With Copy to:
As to the Redeveloper:
John Dean
Kennedy & Graven
470- Pillsbury Center
Minneapolis, MN 554302
The Cornerstone Group, Inc
7661 Bush Lake Drive
Bloomington, MN 55438
With Copy to: Winthrop & Weinstine, P.A.
3000 Dain Rauscher Plaza
60 South Sixth Street
Minneapolis, MN
Attention: Joanne L. Matzen
or at such other address with respect to either such party as that party may, from time to time,
designate in writing and forward to the other.
Section 10.8. Time lines and Deadlines. The time in which various actions must be taken
pursuant to this Redevelopment Agreement are as follows:
(a) Approval of the Concept Plan (Article II.S): within 120 days of the date of this
Agreement.
(b) Compliance with land acquisition requirements (Section 3.2 (a) on or before 120
days following the date of this Agreement.
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c) Continuance of condemnation triggered by final financing commitment Section 3.2
(i)(6): on or before
(d) Voluntary Termination (Section 3.2(0):,
If the Redeveloper is unable to meet one or more of the above-referenced deadlines despite diligent
and good faith efforts to do so, the HRA and the Redeveloper shall negotiate in good faith for a
reasonable period to extend the time in which necessary action(s) must be taken or occur."
Section 10.9. Counterparts. This Agreement may be simultaneously executed in any
number of counterparts, all of which shall constitute one and the same instrument.
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IN WITNESS WHEREOF, the parties hereto have set their hands and seals as of the day
and year first above written.
THE HOUSING AND REDEVELOPMENT
AUTHORITY OF THE CITY OF
RICHFIELD, MINNESOTA
By:
Its: Chairperson
By:
Its: Executive Director
LYNDALE GATEWAY, LLC
By:
Its:
STATE OF MINNESOTA
ss..
COUNTY OF HENNEPIN
The foregoing instrument was acknowledged before me this day of
2002, by and
,the Chairperson and Executive Director of The
Housing and Redevelopment Authority in and for the City of Richfield, Minnesota.
Notary Public
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STATE OF MINNESOTA
ss..
COUNTY OF HENNEPIN
T'he foregoing instrument was acknowledged before me this day of
2002, by the
of a corporation under the laws of
Minnesota, by and on behalf of said corporation.
Notary Public
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EXHIBIT A
CERTIFICATE OF COMPLETION
The undersigned hereby certifies that , a Minnesota corporation has
fully and completely complied with its obligations under Article IV of that document entitled
"Contract for Private Development," dated , 2000 between THE HOUSING AND
REDEVELOPMENT IN AND FOR THE CITY OF RICHFIELD and
with respect to
construction of the Minimum Improvements located on the tract of land described in the attached
Schedule A In accordance with the requirements of such document and is released and forever
discharged from its obligations to construction the Minimum Improvements under such
above-referenced Article on the above-referenced tract.
DATED:
HOUSING AND REDEVELOPMENT
AUTHORITY IN AND FOR THE CITY OF
RICHFIELD
By
Its Chairperson
By
Its Executive Director
JsD-2i~oi~~s
RC125-240
A-1
Schedule A
Redevelopment Property Legal Description.
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A-2
EXHIBIT B
Redevelopment Property Legal Description.
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B-1
EXHIBIT c
Extent of Streetscape Improvements
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B-2
E~~iIBIT C:
Extent of Streetscape Improvements
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AGENDA ITEM #
REPORT #
STAFF REPORT
HOUSING AND REDEVELOPMENT
AUTHORITY MEETING
AUGUST 5, 2002
REPORT PREPARED BY:
REPORT PRESENTER:
DEPARTMENT DIRECTOR REVIEW
2
29
BRUCE PALMBORG,
COMMUNITY DEVELOPMENT DIRECTOR,
BRUCE PALMBORG,
COMMUNITY DEVELOPMENT DIRECTOR
Natirc TITLL
REVIE-WED BY EXECUTIVE DIRECTOR:
ITEM FOR HRA~IDERATIOI~:
Presentation of Richfield Housing and Redevelopment Authority Annual Tax Increment District
Status Update.
I. RECOMMENDED ACTION:
By Motion: Accept the Richfield Housing and Redevelopment
Authority's Annual Tax Increment District Status Update and direct
staff to present (1) a resolution to the Housing and Redevelopment
Authority for the decertification of the LHN Tax Increment district on
September 16, 2002 and (2) as soon as practical propose actions to
convert the Richfield Rediscovered 1999 Temporary Bonds to fixed
rate financina.
III. BACKGROUND ~
The annual tax increment project status update was especially challenging this
year. The action of the legislature had a severe negative impact on tax increment
financing (TIF) cash flows. As a result there were many questions that arose about
the administration of TIF projects that required answers from the State Department
of Revenue. The State was inundated with request from all over the State to
provide them with update information. Consequently it has taken our financial
0805tifstat.doc
consultants some time to obtain the required information from the State and prepare
this report.
Sid Inman, with help from others at Ehlers & Associates, Inc. and Community
Development staff, has recently completed the report. The results are gratifying
and an indication of the excellent quality of the policy direction provided by the
Housing and Redevelopment Authority (HRA) Commissioners, the work by Sid
Inman and Ehlers since 1990 and staff.
Below is a summary of the conclusions of the report. The attached Annual Tax
Increment District Status Update is a more detailed discussion of the conclusions
along with the related cash flows.
1. The HRA will be able to meet all of its tax increment obligations:
• The HRA will be able to meet all of its Pay As You Go Note Obligations;
and
• The HRA will be able to meet all of its General Obligation Tax Increment
Bond Obligations.
2. The Lyndale-Hub-Nicollet (LHN) TIF redevelopment project can be closed
out by the end of 2002. This will result in approximately $425,000 annually
in tax revenue to the City, beginning in 2003.
3. Other taxing jurisdictions may receive approximately $1 million annually as a
result of ending of the LHN TIF project.
4. The funds borrowed from the City to initiate the Richfield Rediscovered
Program have been paid back with six percent interest.
5. To reduce costs, the 1999 Temporary General Obligation Bond financing for
Richfield Rediscovered should now be converted to a fixed rate to take
advantage of low interest rates.
III. BASIS OF RECOMMENDATION
A. POLICY
• The update is provided annually to the HRA. The delay in presenting
the update was a result of legislative actions related to property tax
changes.
B. CRITICAL ISSUES
• The update indicates that the HRA will be able to meet all of its
obligations related to TIF projects in spite of the property tax changes
which resulted in a 30 percent to 40 percent reduction in tax
increment.
C. FINANCIAL
• A recommendation of the update is to close out the LHN by year's
end. This will result in the distribution of approximately $1.4 million
annually to the taxing jurisdictions including $425,000 to the City
beginning in 2003.
• A second recommendation is to convert the temporary bonds sold in
1999 to support Richfield Rediscovered to fixed rate financing to take
advantage of current low interest rates.
D. LEGAL
• The recommendation related to the LHN closeout and the Bonds of
1999 are being made by the HRA's financial consultant and bond
counsel.
IV. ALTERNATIVE RECOMMENDATION(S~
• Delay the report presentation.
• Reject the recommendations related to the LHN and Bonds of 1999.
V. ATTACHMENTS
• Annual Tax Increment District Status Update.
VI. PRINCIPAL PARTIES EXPECTED AT MEETING
• Mr. Sid Inman, Ehlers & Associates, Inc. will present the update.
~. w q ~
RICHFIELD HRA
ANNUAL TAX INCREMENT DISTRICT
STATUS UPDATE
Dated: August 2002
FREERS
~ nssocinres irvc
~ ~~
' _ ' Prepared by Ehlers/Publicorp, Inc
N:\Minnsota\Itichfield\UPDA2000. WPD
OVERALL DISTRICT UPDATE
RICHFIELD REDEVELOPMENT PROJECT AREA
State property tax law changes have significantly reduced available tax increment cashflows to the Richfield
Housing and Redevelopment Authority. However, due to prior planning and anticipation of these changes, the
HRA continues to be able to operate and pay all of its obligations.
The 2002 State property tax law changes resulted in a reduction in the tax capacity class rates and a removal
of the education tax rate from the normal property taxes. These changes resulted in a 30% to 40% reduction
in the tax increment that the HRA has to pay its obligations. The HRA has two types of obligations.
The first type of obligation is Pay As You Go Revenue Notes. All of these Notes pledge to the holder a
certain percent of the available tax increment from the specific district. Having less tax increments results in a
lower Pay As You Go payments. However, the HRA will be able to meet all of its Pay As You Go Revenue
Note obligations.
The second type of obligation is General Obligation Tax Increment Bonds. Two years ago when the State
Legislature starting considering the above mentioned law changes, the HRA started reserving cash to prepare
for the changes. Also, the 2002 tax law changes allows the HRA to share tax increment (pooling) from all tax
increment districts to help pay General Obligation Bond obligations. As result, the HRA will be able to meet
all of its General Obligation Tax Increment Bond obligations
2. ASSUMPTIONS
All projections are based on the most conservative assumptions. The calculations do not include any interest
on invested cash. They also do not include any assumptions for inflation on property market values.
~~~
LYNDALE-HUB-NICOLLET (LHN) DISTRICT UPDATE
1. Starting in the year 2001, the LHN District, in accordance with Minnesota Statutes, Section 469.176,
received full tax increment from the county but could only spend tax increment revenues exclusively for
debt issued prior to April 1, 1990.
2. The LHN District has two small bond payments left for pay 2003 and 2004.
3. We recommend that the HRA pre-pay the remaining bonds and consider closing the LHN at the end of
2002. In pay 2003, the LHN will return approximately $1.4 million in taxes back to all the taxing
jurisdictions. Approximately $425,000 of the $1.4 million will be returned to the City of Richfield as
annual property tax revenue. Depending on levy limits, this may result in increased tax revenue for the
City or a reduction in the City's overall levy. As previously discussed, the City Council could evaluate
abating a portion of the new revenue for continued funding of the Richfield Rediscovered program.
Annual Richfield HRA Tax Increment District Status Update Page 3
INTERSTATE-LYNDALE-NICOLLET (ILN)
DISTRICT UPDATE
The ILN District has four Pay As You Go Revenue Obligations (Shops at Lyndale and Meridian
Crossings) and two General Obligation Bonds. In 2000, the City sold bonds based on the Candlewood
Motel tax increment. The proceeds were used to assist the LyndaIe Gateway project with land
acquisition. In 1996, the City sold bonds (the LHN/ILN pooled bonds of 1996) for various HRA
projects. The HRA continues to be able to meet all of its Pay As You Go Revenue Note and General
Obligation Bonds obligations.
2. The ILN Tax Increment District has a cash balance of $1,220,576. The cash balance will be used to
pay the ILN Bonds.
Annual Richfield HRA Tax Increment District Status Update Page 4
CEDAR AVENUE BUSINESS AREA (CABA}
DISTRICT UPDATE
CABA was an economic development district that ended in 1996. No more increment will be received from
this District.
2. All accounting transactions to close out the District were completed by December 31, 2000.
Annual Richfield HRA Tax Increment District Status Update Page 5
PENN AVENUE AND SIXTY-SIXTH STREET
(PASSS) DISTRICT UPDATE
The PASSS TIF District was established in 1989.
2. The PASSS TIF District was terminated in 1996 due to a lack of feasible redevelopment opportunities.
~ ~~ Annual Richfield HRA Tax Increment District Status Update Page 6
INTERCHANGE (GALYANS) DISTRICT UPDATE
1. The Interchange District is comprised of the Galyans Trading Company Store.
2. The Galyans Project began generating full taxes for taxes payable in 2000.
3. Tax increments are pledged to Galyans Trading Company to assist with acquisition of property.
4. The Interchange District has a cash balance of $265,995. The cash balance will be used to pay the ILN bonds.
'~,, .Annual Richfield HRA Tax Increment District Status Update Page 7
PRE-1999 RICHFIELD REDISCOVERED DISTRICTS UPDATE
1. Funds in the amount of $762,550 were advanced to the Richfield Rediscovered Program in 1990 from the
City and HRA to establish abuy/sell program for the construction of new, contemporary, single-family
housing. The balance of the remaining District debt has been repaid with tax increment and land sales.
2. At the end of 1999, the City sold tax increment bonds to fund new Richfield Rediscovered and Richfield
Rediscovered II Projects beginning with the year 2000. Fifteen percent (15%) of the funds from the Pre-1999
Districts will be used to pay debt service on those bonds. Additional funds from the Pre-199 Richfield
Rediscovered Districts will be used to pay obligations for the Post-1999 Richfield Rediscovered Districts.
3. The Pre-1999 Richfield Rediscovered Districts have a cash balance of $135,129. The cash balance will be
used to pay the ILN bonds.
Annual Richfield HRA Tax Increment District Status Update Page 8
POST-1999 RICHFIELD REDISCOVERED
DISTRICTS UPDATE
In November of 1999, the City sold tax increment bonds to fund the new Richfield Rediscovered Projects.
Fifteen percent (15%) of the funds from the Pre-1999 Richfield Rediscovered Districts will be used to pay
debt service on these bonds. In addition, all land sale proceeds will be used to pay off the bonds. The
remainder of the debt service will be paid back from the Housing Fund and tax increment from the Post-1999
Richfield Rediscovered Districts. The purpose of the revenue is to fund a variety of housing needs for the
community, including but not limited to new construction single-family homes, townhomes, single-family
home renovation and rehabilitation, and apartment rehabilitation.
2. In 1999, the City issued a Temporary G.O. Bond to fund the Post-1999 Richfield Rediscovered activities.
Given the low interest rates, it is recommended that the temporary financing be converted to a fixed rate in
August, 2002.
Due to class rate compression and the inability to utilize Housing Fund revenue from the eliminated
Interchange West TIF District, cashflows available to the Post-1999 Richfield Rediscovered Program have
been severely reduced. Therefore, it will take all cashflows to pay the debt service on the permanent
financing. Currently, no other funding has been identified for future Richfield Rediscovered activities.
Annual Richfield HRA Tax Increment District Status Update Page 9
URBAN VILLAGE DISTRICT UPDATE
1. The Urban Village District is comprised of mixed-use (retail and housing) redevelopment projects.
2. The Urban Village District will begin generating full taxes in 2002.
3. Tax increments are pledged to the projects to assist with acquisition of property and excess site development
costs.
4. Fifteen percent (15%) of the funds from the Urban Village District will be used to fund the Housing Fund.
Annual Richfield HRA Tax Increment District Status Update Page 10
GRAMERCY PARK DISTRICT UPDATEX
I. The Gramercy Park Senior Housing Cooperative Project will begin generating full taxes in 2002.
2. Tax increments are pledged to Gramercy Park to assist with acquisition of property and to the Housing Fund.
3. The second component of the District, namely the City Bella Project, is currently in a planning stage. At this
time, based on certain assumptions, full taxes for City Bella will not be generated until 2004.
4. Fifteen percent (1 S%) of the funds from the Gramercy Park District will be used to fund the Housing Trust
Fund.
* Gramercy Park District currently encompasses the Gramercy Park Senior Co-op and VFW as well as the site for
the proposed City Bella Project. Upon final project approval, the site area for City Bella will be removed from the
Gramercy Park District.
Annual Richfield HRA Tax Increment District Status Update Page 11
LYNDALE GATEWAY DISTRICT UPDATE
The Lyndale Gateway District is comprised of the Twin Cities Christian Home Senior Housing Project, Ron
Clark Townhomes, and a proposed retail/housing project.
2. The Lyndale Gateway Project will begin generating full taxes in 2002.
3. Tax increments are pledged to the Lyndale Gateway Project to assist with site assembly activities.
Annual Richfield HRA Tax Increment District Status Update Page 1 Z
7/29/2002 CITY OF RICHFIELD - 2002 STATUS REPORT
L HN TAX INCREMENT DISTRICT PROJECTIONS (County District # 1250)
PAYMENT Existing Bond Net Tax
DATE Gross Tax Administration Payments Increment
MT YEAR Increment 10.00% 1994/1997 End Of Year
3ALANCE
8/1 2002 709,411 (70,941) (845) 264,477
2/1 2003 709,411 (70,941) (20,845) 882,102
8/1 2003 709,411 (70,941) (430) 1,520,142
2/1 2004 709,411 (70,941) (20,430) 2138182
2,837,644 (283,764) (42 550) 2 138 182
ASSUMPTIONS
No Interest Income
No Market Value Inflation
ILN IAX INGKtMtN I UIS I KIG I F'KWEGTIUNS cOUn DlStriCt # 1251
PAYMENT Pooling C.S.M. C.S.M. TOLD TOLD Candle Wood Existing Bond Net Tax
DATE Gross Tax Tax Administration Phase I Phase II Phase I Phase II Bond Payments Increment
MT YEAR Increment Increment 0.00% PAYG PAYG PAYG PAYG 2000 1996 End Of Year
BALAN CE
1,220,576
8/1 2002 741,601 0 0 (86,386) (77,854) (195,096) (158,206) (34,376) (87,759) 1,292,500
2/1 2003 741,601 0 0 (86,386) (77,854) (195,096) (188,206} (144,376) (272,759) 1,069,424
8/1 2003 741,601 0 0 (86,386) (77,854) (195,096) (188,206} (31,901) (81,839) 1,149,743
2/1 2004 741,601 0 0 (86,386) (77,854) (195,096) (188,206) (146,901) (281,839) 915,062
8/1 2004 741,601 0 0 (86,386) (77,854} (195,096) (188,206) (29,256) (75,439) 1,004,426
2/1 2005 741,601 0 0 (86,386) (77,854) (195,096) (188,206) (154,256) (290,439) 753,790
8/1 2005 741,601 0 0 (86,386) (77,854) (195,096) (188,206) (26,288) (68,451) 853,110
2/1 2006 741,601 0 0 (86,386) (77,854) (195,096) (188,206) (156,288) (298,451) 592,430
8/1 2006 741,601 0 0 (86,386) (77,854) (195,096) (188,206) (23,168) (60,976) 702,345
2/1 2007 741,601 0 0 (86,386) (77,854) (195,096) (188,206) (158,168) (305,976) 432,261
8/1 2007 741,601 0 0 (86,386) (77,854) (195,096) (188,206) (19,894) (53,014) 553,412
2/1 2008 741,601 0 0 (86,386) (77,854) (195,096) (188,206) (164,894) (318,014} 264,564
8/1 2008 741,601 0 0 (86,386) (77,854) (195,096) (188,206) (16,341) (44,269) 398,013
2/1 2009 741,601 0 0 (86,386) (77,854) (195,096) (188,206] (166,341) (329,269) 96,462
8/1 2009 741,601 0 0 (86,386) (77,854) (195,096) (188,206) (12,629) (34,650) 243,242
2/1 2010 741,601 75,000 0 (86,386) (77,854) (195,096) (188,206) (172,629) (339,650) 22
8!1 2010 741,601 0 0 (86,386) (77,854) (195,096) (188,206) (8,629) (23,975) 161,477
2/1 2011 741,601 172,100 0 (86,386) (77,854) (195,096) (188,206) (173,629
(353,975)
33
8/1 2011 741,601 0 0 (86,386) (77,854) (195,096) (188,206) (4,463) (12,425) 177,204
2/1 2012 741,601 175,700 0 86,386 77,854 195,096 188,206 179,463 367,425 76
14,832,020 422,800 0 1,727,720 1,557,080 3,901,920 3,764,120 1,823,888 3,700,593 76
ASSl1MPTIONS
No Interest Income
No Market Value Inflation
1
Prepared by Ehlers Pro2002-2
7/29/2002 CITY OF RICHFIELD - 2002 STATUS REPORT
2
IrarmtnT
DATE
MT Y
BALANCE
8/i 200
2/1 200
8/1 200
v1 200
8/1 200
2/1 200
8/1 200
2/1 200
8/1 200
2/1 200
8/1 200
v1 zoo
8/1 200
2/1 200
8/1 2009
2/1 2010
8/1 2010
2/1 2011
8/1 2011
2/1 2012
8/1 2012
2/1 2013
8/1 2013
v1 2014
8/1 2014
2/1 2015
8/1 2015
2/1 2016
8/1 2016
v1 2017
8/1 2017
v1 2018
8/1 2018
?/1 2019
Galyans Pooling
Gross Tax Administration Tax
R Increment 10.00% PAYG Increment
2 67,888 (6,789) (61,099} 0
3 67,888 (6,789) (61,099) 0
3 67,888 (6,789) (61,099) p
4 67,888 (6,789) (61,099) 0
4 67,888 (6,789) (61,099) 0
5 67,888 (6,789) (61,099) p
5 67,888 (6,789) (61,099) 0
67,888 (6,789) (61,099) p
67,888 (6,789) (61,099) 0
67,888 (6,789) (61,099) 0
67,888 (6,789) (61,099) 0
67,888 (6,789) (61,099) p
67,888 (6,789) (61,099) p
67,888 (6,789) (61,099) p
67,888 (6,789) (61,099) p
67,888 (6,789) (61,099) (75,000)
67,888 (6,789) (61,099) 0
67,888 (6,789) (61,099) (90,995)
67,888 (6,789) (61,099) 0
67,888 (6,789) (61,099) p
67,888 (6,789) (61,099) p
67,888 (6,789) (61,099) 0
67,888 (6,789) (61,099) p
67,888 (6,789) (61,099) p
67,888 (6,789) (61,099) 0
67,888 (6,789) (61,099) 0
67,888 (6,789) (61,099) 0
67,888 (6,789) (61,099) 0
67,888 (6,789) (61,099) p
67,888 (6,789) (61,099) p
67,888 (6,789) (61,099) 0
67,888 (6,789) (61,099) 0
67,888 (6,789) (61,099) p
67,888 (6 789) (61 099) 0
2,308,196 (108 621) (2 077 377) (165 995)
AS SUMPTIONS
No Interest Income
No Market Value Infl ation EA
6
6
7
7
8
8
9
Net Tax
V 165,99:
165,99:
165,995
165,995
165,995
165,995
165, 995
165,995
165, 995
165,995
165, 995
165, 995
165, 995
165, 995
165, 995
165, 995
90, 995
90, 995
0
0
0
0'
0
0
0
0
0
0
0
0
0
0
0
0
Prepared by Ehlers Pro2002-2
7!29/2002 CITY OF RICHFIELD - 2002 STATUS REPORT
RICHFIELD REDISCOVERED -Pre - 1999
PAYMENT Post 1999 Pooling
'SATE
Gross Tax
Administration
RR Bond
Tax Net Tax
MT
YEAR
Increment
10.00%
15.00%
Increment Increment
BALANCE End Of Year
8!1
2002
50,080
(5,008)
(7,512)
0 135,129
2/1
2003
50,080
(5,008)
(7,512)
0 172,689
8!1
2003
50,080
(5,008)
(7,512)
0 210,249
2/1
2004
50,080
(5,008)
(7,512)
0 247,809
8/1
2004
50,080
(5,008)
(7,512)
0 285,369
2/1
2005
50,080
(5,008)
(7,512)
0 322,929
8/1
2005
50,080
(5,008)
(7,512)
0 360,489
2/1
2006
50,080
(5,008)
(7,512)
0 398,049
8/1
2006
50,080
(5,008)
(7,512)
0 435,609
2/1
2007
50,080
(5,008)
(7,512)
0 473,169
8/1
2007
50,080
(5,008)
(7,512)
0 510,729
2/1
2008
50,080
(5,008)
(7,512)
0 548,289
8/1
2008
50,080
(5,008)
(7,512)
0 585,849
2/1
2009
50,080
(5,008)
(7,512)
0 623,409
8/1
2009
50,080
(5,008)
(7,512)
0 660,969
2/1
2010
50,080
(5,008}
(7,512)
0 698,529
8/1
2010
50,080
(5,008)
(7,512)
0 736,089
2/1
2011
50,080
(5,008)
(7,512)
(81,105) 773,649
8/1
2011
50,080
(5,008)
(7,512)
0 730,104
2/1
2012
50,080
(5,008)
(7,512)
(175,700 767,664
8/1
2012
50,080
(5,008)
(7,512)
0 629,524
2!1
2013
50,080
(5,008)
(7,512)
0 667,084
8/1
2013
50,080
(5,008)
(7,512)
0 704,644
2/1
2014
50,080
(5,008)
(7,512)
0 742,204
8/1
2014
50,080
(5,008)
(7,512)
0 779,764
2/1
2015
50,080
(5,OOS)
(7,512)
0 817,324
8/1
2015
50,080
(5,008)
(7,512)
0 854,884
2/1
2016
50,080
(5,008)
(7,512)
0 892,444
8!1
2016
50,080
(5,008)
(7,512)
0 930,004
2/1
2017
50,080
(5,008)
(7,512)
0 967,564
8/1
2017
50,080
(5,008)
(7,512)
0 1,005,124
2/1
2018
50,080
(5,008)
(7,512}
0 1,042,684
8/1
2018
50,080
(5,008)
(7,512)
0 1,080,244
2/1
2019
50,080
5,008
7,512
0 1,117,804
1,702,720
80,128
255,408
256,805 1,155,364
ASSUMPTIONS 1,155,364
No Interest Income
No Market Value Inflation
3
Prepared by Ehlers Pro2002-2
7/29/2002 CITY OF RICHFIELD - 2002 STATUS REPORT 4
RICHFIELD REDISCOVERED -Post- 1999
PAYM ENT Debt Housing Net Tax
DATE Gross Tax Administration Payment Pool Increment
MT YEAR Increment 10.00%
.iALANCE End Of Year
8/1
2002
6,247
(625)
(32,500)
26
878 0
2/1
2003
6,247
(625)
(32,500) ,
26,878 0
8/1
2003
8,333
(833)
(32,500)
25
000 0
2/1
2004
8,333
(833)
(32,500) ,
25
000 0
8/1
2004
8,333
(833)
(32,500) ,
25,000 0
2/1
2005
8,333
(833)
(32,500)
25,000 0
8/1
2005
8,333
(833)
(32,500)
25,000 0
2/1
2006
8,333
(833)
(32,500)
25
000 0
8/1
2006
8,333
(833)
(32,500) ,
25
000 0
2/1
2007
8,333
(833)
(32,500) ,
25,000 0
8/1
2007
8,333
(833)
(32,500)
25,000 0
2/1
2008
8,333
(833}
(32,500)
25,000 0
8/1
2008
8,333
(833)
(32,500)
25
000 0
2/1
2009
8,333
(833)
(32,500) ,
25
000 0
8/1
2009
8,333
(833)
(32,500) ,
25,000 0
2/1
2010
8,333
(833}
(32,500)
25,000 0
8/1
2010
8,333
(833)
(32,500)
25
000 0
2/1
2011
8,333
(833)
(32,500) ,
25
000 0
8/1
2011
8,333
(833)
(32,500) ,
25,000 0
2/1
2012
8,333
(833)
(32,500)
25,000 0
8/1
2012
8,333
(833)
(32,500)
25,000 0
2/1
2013
8,333
(833)
(32,500)
25,000 0
811
2013
8,333
(833)
(32,500)
25
000 0
2/1
2014
8,333
(833)
(32,500) ,
25
000 0
8/1
2014
8,333
(833)
(32,500) ,
25
000 0
2/1
2015
8,333
(833)
(32,500) ,
25,000 0
8/1
2015
8,333
(833)
(32,500)
25,000 0
2/1
2016
8,333
(833)
(32,500)
25
000 0
8/1
2016
8,333
(833)
(32,500) ,
25,000 0
2/1
2017
8,333
(833)
(32,500)
25,000 0
8/1
2017
8,333
(833)
(32,500)
25,000 0
2/1
2018
8,333
(833)
(32,500)
25
000 0
8/1
2018
8,333
(833)
(32,500) ,
25,000 0
2/1
2019
8,333
(833)
(32,500)
25,000 0
8/1
2019
8,333
(833)
(32,500)
25
000 0
2/1
2020
8,333
(833)
(32,500) ,
25,000 ~
8/1
2020
8,333
(833)
(32,500)
25
000 0
2/1
2021
8,333
(833)
(32,500) ,
25,000 0
8/1
2021
8,333
(833)
(32,500)
25,000 0
2/1
2022
8,333
(833)
(32,500)
25,000 0
8/1
2022
8,333
(833)
(32,500)
25,000 0
2/1
2023
8,333
(833)
(32,500)
25,000 0
8/1
2023
8,333
(833)
(32,500)
25,000 0
2/1
2024
8,333
(833)
(32,500)
25
000 0
8/1
2024
8,333
(833)
(32,500) ,
25,000 0
2/1
2025
8,333
(833)
(32,500)
25
000 0
8/1
2025
8,333
(833)
(32,500} ,
25,000 0
2/1
2026
8,333
(833)
(32,500)
25
000 0
8/1
2026
8 333
(833)
(32 500) ,
25 000 0
~n~ ~~c 0
No Interest Income
No Market Value Inflation
Prepared by Ehlers Pro2002-2
7/29/2002
CITY OF RICHFIELD - 2002 STATUS REPORT
URBAN VILLAGE TAX INCREMENT - Coun District # 1280
PAYMENT Housing Local Payment Payment Net Tax
SATE Gross Tax Administration Fund March A B Increment
MT YEAR Increment 10.00% 15.00% 5.00% PAYG PAYG End Of Year
.,ALANCE
8/1
2002
258,473
(25,847)
(38,771)
12,924
(113,766)
(93,012) 0
0
2/1 2003 258,473 (25,847) (38,771) 12,924 (112,496) (94,282) 0
8/1 2003 249,821 (24,982) (37,473) 12,491 (111,226) (88,631) 0
2/1 2004 249,821 (24,982) (37,473) 12,491 (109,956) (89,901) 0
8/1 2004 220,979 (22,098) (33,147) 11,049 (108,686) (68,097) 0
2/1 2005 220,979 (22,098) (33,147) 11,049 (107,416) (69,367) 0
8/1 2005 227,599 (22,760) (34,140) 11,380 (106,147) (75,932) 0
2/1 2006 227,599 (22,760) (34,140) 11,380 (106,877) (75,202) 0
8!1 2006 234,351 (23,435) (35,153) 11,718 (105,551) (81,930) 0
2/1 2007 234,351 (23,435) (35,153) 11,718 (104,225) (83,256) 0
8/1 2007 241,238 (24,124) (36,186) 12,062 (102,899) (90,092) 0
2/1 2008 241,238 (24,124) (36,186) 12,062 (101,573) (91,418) 0
8/1 2008 248,263 (24,826) (37,239) 12,413 (100,247) (98,363) 0
2/1 2009 248,263 (24,826) (37,239) 12,413 (98,921) (99,689) 0
8/1 2009 255,428 (25,543) (38,314) 12,771 (99,595) (104,748) 0
2/1 2010 255,428 (25,543) (38,314) 12,771 (98,213) (106,130) 0
8/1 2010 262,737 (26,274) (39,411) 13,137 (96,831) (113,359) 0
2/1 2011 262,737 (26,274) (39,411) 13,137 (95,449) (114,741) 0
8/1 2011 270,192 (27,019) (40,529) 13,510 (94,067) (122,086) 0
2/1 2012 270,192 (27,019) (40,529) 13,510 (92,685) (123
468)
8/1
2012
277,796
(27,780)
(41,669)
13,890
(91,303) ,
(130,933) 0
0
2/1 2013 277,796 (27,780) (41,669) 13,890 (91,921) (130,315) 0
8/1 2013 285,552 (28,555) (42,833) 14,278 (90,483) (137,958) 0
2/1 2014 285,552 (28,555) (42,833) 14,278 (89,045} (139,396) 0
8!1 2014 293,463 (29,346} (44,019) 14,673 (87,607) (147,163) 0
2/1 2015 293,463 (29,346) (44,019) 14,673 (86,169) (148,601) 0
8/1 2015 301,532 (30,153) (45,230) 15,077 (84,731} (156,495) 0
2/1 2016 301,532 (30,153) (45,230} 15,077 (83,293) (157,933) 0
8/1 2016 309,763 (30,976) (46,464) 15,488 (83,855) (163,955) 0
2/1 2017 309,763 (30,976) (46,464) 15,488 (82,361) (165,449) 0
8/1 2017 318,158 (31,816) (47,724) 15,908 (80,867) (173,659) 0
2/1 2018 318,158 (31,816) (47,724) 15,908 (79,373) (175,153) 0
8/1 2018 326,722 (32,672) (49,008) 16,336 (77,879) (183,498) 0
2/1 2019 326,722 (32,672) (49,008) 16,336 (76,385) (184,992) 0
8/1 2019 335,456 (33,546) (50,318) 16,773 (74,891) (193,474) 0
2/1 2020 335,456 (33,546) (50,318) 16,773 (75,397) (192,967) 0
8/1 2020 344,365 (34,437) (51,655) 17,218 (73,847) (201,645) 0
2/1 2021 344,365 (34,437) (51,655) 17,218 (72,298) (203,195) 0
8/1 2021 353,453 (35,345) (53,018) 17,673 (70,748) (212,015) 0
2/1 2022 353,453 (35,345) (53,018) 17,673 (69,198) (213,565) 0
8/1 2022 362,722 (36,272) (54,408) 18,136 (67,648) (222,530) 0
2/1 2023 362,722 (36,272) (54,408) 18,136 (66,098) (224,080) 0
8/1 2023 372,177 (37,218) (55,826) 18,609 (66,548) (231,194) 0
2/1 2024 372,177 (37,218) (55,826) 18,609 (64,942) (232,800) 0
8/1 2024 381,820 (38,182) (57,273) 19,091 (63,336) (242,120) 0
2/1 2025 381,820 (38,182) (57,273) 19,091 (61,730) (243,726) 0
8/1 2025 391,657 (39,166) (58,749} 19,583 (60,124) (253,202) 0
2/1 2026 391,657
~e one noo (39 166) (58 749) 19 583 (58 517) (254 808)
__. 0
No Interest Income
No Market Value Inflation
Prepared by Ehlers Pro2002-2
7/29!2002 CITY OF RICHFIELD - 2002 STATUS REPORT 6
GRAMERCY PARK TAX INCREMENT - Coun District # 1257
PAYMENT Housing Payment Net Tax
SATE Gross Tax Administration Fund A Increment
MT YEAR Increment 10.00% 15.00% PAYG End Of Yea
BALANCE
8/1 2002 182,554 (18,255) (27,383) (136,916) I
2/1 2003 182,554 (18,255) (27,383) (136,916) ~
8/1 2003 182,554 (18,255) (27,383) (136,916) I
2/1 2004 182,554 (18,255) (27,383) (136,916)
8/1 2004 182,554 (18,255) (27,383) (136,916) t
2/1 2005 182,554 (18,255) (27,383) (136,916)
8/1 2005 182,554 (18,255) (27,383) (136,916) t
2/1 2006 182,554 (18,255) (27,383) (136,916) ~
8/1 2006 182,554 (18,255) (27,383) (136,916) ~
2/1 2007 182,554 (18,255) (27,383) (136,916) ~
8/1 2007 182,554 (18,255) (27,383) (136,916) ~
2/1 2008 182,554 (18,255) (27,383) (136,916) ~
8/1 2008 182,554 (18,255) (27,383) (136,916) ~
2/1 2009 182,554 (18,255) (27,383) (136,916) Q
8/1 2009 182,554 (18,255) (27,383) (136,916) 0
2/1 2010 182,554 (18,255) (27,383) (136,916) 0
8/1 2010 182,554 (18,255) (27,383) (136,916) 0
2/1 2011 182,554 (18,255) (27,383) (136,916) p
8/1 2011 182,554 (18,255) (27,383) (136,916) 0
2/1 2012 182,554 (18,255) (27,383) (136,916) 0
8/1 2012 182,554 (18,255) (27,383) (136,916) 0
2/1 2013 182,554 (18,255) (27,383) (136,916) 0
8!1 2013 182,554 (18,255) (27,383) (136,916) 0
2/1 2014 182,554 (18,255) (27,383) (136,916) 0
8/1 2014 182,554 (18,255) (27,383) (136,916) 0
211 2015 182,554 (18,255) (27,383) (136,916) 0
8/1 2015 182,554 (18,255) (27,383) (136,916) 0
2/1 2016 182,554 (18,255) (27,383) (136,916) 0
8/1 2016 182,554 (18,255) (27,383) (136,916) 0
2/1 2017 182,554 (18,255) (27,383} (136,916) 0
8/1 2017 182,554 (18,255) (27,383) (136,916) 0
2/1 2018 182,554 (18,255) (27,383} (136,916) 0
8!1 2018 182,554 (18,255) (27,383) (136,916) 0
2/1 2019 182,554 (18,255) (27,383) (136,916) 0
8/1 2019 182,554 (18,255) (27,383) (136,916) 0
2!1 2020 182,554 (18,255) (27,383) (136,916) 0
8/1 2020 182,554 (18,255) (27,383) (136,916) 0
2/1 2021 182,554 (18,255) (27,383) (136,916) 0
8/1 2021 182,554 (18,255) (27,383) (136,916) 0
2!1 2022 182,554 (18,255) (27,383) (136,916) 0
8/1 2022 182,554 (18,255) (27,383) (136,916) 0
2/1 2023 182,554 (18,255) (27,383) (136,916) 0
8/1 2023 182,554 (18,255) (27,383) (136,916) 0
2/1 2024 182,554 (18,255) (27,383) (136,916) 0
8/1 2024 182,554 (18,255) (27,383) (136,916) 0
2!1 2025 182,554 (18,255) (27,383) (136,916) 0
8/1 2025 182,554 (18,255} (27,383) (136,916) 0
2/1 2026 182 554
R 7R7 FQ7 (18 255)
l~SF n.7R1 (27 383)
IT z~n zot]~ (136 916)
is c-» n~~~ 0
No Interest Income
No Market Value Inflation
Prepared by Ehlers Pro2002-2
7/29/2002 CITY OF RICHFIELD - 2002 STATUS REPORT 7
LYNDALE GATEWAY RON CLARK TAX INCREMENT - Coun District # 1281
PAYMENT Payment Net Tax
°1ATE Gross Tax Administration A
MT
YEAR
Increment
10.00%
PAYG Increment
BALANCE End Of Year
8/1
2002
12,320
(1,232)
(2,717) 0
2/1
2003
12,320
(1,232)
(2,717) 8,371
8/1
2003
35,919
(3,592)
(7,920) 16,743
2/1
2004
35,919
(3,592)
(7,920) 41,150
8/1
2004
35,919
(3,592)
(7,920) 65,557
2/1
2005
35,919
(3,592)
(7,920) 89,964
8/1
2005
35,919
(3,592)
(7,920) 114,371
2/1
2006
35,919
(3,592)
(7,920) 138,778
8/1
2006
35,919
(3,592)
(7,920) 163,185
2/1
2007
35,919
(3,592)
(7,920) 187,592
8/1
2007
35,919
(3,592)
(7,920) 211,999
2/1
2008
35,919
(3,592)
(7,920) 236,406
8/1
2008
35,919
(3,592)
(7,920) 260,813
2/1
2009
35,919
(3,592)
(7,920) 285,220
8/1
2009
35,919
(3,592)
(7,920) 309,627
2/1
2010
35,919
(3,592)
(7,920) 334,034
8!1
2010
35,919
(3,592)
(7,920) 358,441
2/1
2011
35,919
(3,592)
(7,s2o) 382,848
8/1
2011
35,919
(3,592)
(7,920) 407,255
2/1
2012
35,919
(3,592)
(7,920) 431,662
8!1
2012
35,919
(3,592)
(7,920) 456,069
2/1
2013
35,919
(3,592)
(7,920) 480,476
8/1
2013
35,919
(3,592)
(7,920) 504,883
2/1
2014
35,919
(3,592)
(7,920) 529,290
8/1
2014
35,919
(3,592)
(7,920) 553,697
2/1
2015
35,919
(3,592)
(7,920) 578,104
8/1
2015
35,919
(3,592)
(7,920) 602,511
2/1
2016
35,919
(3,592)
(6,440) 626,918
811
2016
35,919
(3,592)
0 652,805
2/1
2017
35,919
(3,592)
0 685,132
8/1
2017
35,919
(3,592)
0 717,459
2/1
2018
35,919
(3,592)
0 749,786
8/1
2018
35,919
(3,592)
0 782,113
211
2019
35,919
(3,592)
0 814,440
8/1
2019
35,919
(3,592)
0 846,767
2/1
2020
35,919
(3,592)
0 879,094
8/1
2020
35,919
(3,592)
0 911,422
2/1
2021
35,919
(3,592)
0 943,749
8/1
2021
35,919
(3,592)
0 976,076
2/1
2022
35,919
(3,592)
0 1,008,403
8/1
2022
35,919
(3,592)
0 1,040,730
2/1
2023
35,919
(3,592)
0 1,073,057
8/1
2023
35,919
(3,592)
0 1,105,384
2/1
2024
35,919
(3,592)
0 1,137,711
8/1
2024
35,919
(3,592)
0 1,170;038
2!1
2025
35,919
(3,592)
0 1,202,365
8/1
2025
35,919
(3,592)
0 1,234,693
2/1
2026
35,919
(3,592)
0 1,267,020
8/1
2026
35,919
(3,592}
0 1,234,693
2/1
2027
35 919
(3 592)
0 1,267,020
_ 1.299.347
TIF NOT USED FOR PAYG NOTE IS PLEDGED TO THE PROJECT ON WEST LYNDALE
No Interest Income
No Market Value Inflation
Prepared by Ehlers Pro2002-2
7/29/2002 CITY OF RICHFIELD - 2002 STATUS REPORT 8
LYNDALE GATEWAY TCCH TAX INCREMENT - Coun District # 1281
PAYMENT Payment Net Tax
SATE Gross Tax Administration A Increment
MT YEAR Increment 10.00% PAYG End Of Year
BALANCE
0
8/1 2002 149,011 (14,901) (134,110) 0
2/1 2003 149,011 (14,901) (134,110)
0
8/1 2003 128,168 (12,817) (115,351) 0
2/1 2004 128,168 (12,817) (115,351) 0
8/1 2004 110,798 (11,080) (99,718) 0
2/1 2005 110,798 (11,080) (99,718) 0
8/1 2005 114,541 (11,454) (103,087) 0
2!1 2006 114,541 (11,454) (103,087) 0
8/1 2006 118,396 (11,840) (106,556) 0
2/1 2007 118,396 (11,840) (106,556) 0
8/1 2007 122,367 (12,237) (110,130) 0
2/1 2008 122,367 (12,237) (110,130) 0
8/1 2008 126,457 (12,646) (113,811) 0
2/1 2009 126,457 (12,646) (113,811) 0
8/1 2009 130,669 (13,067) (117,602) 0
2!1 2010 130,669 (13,067) (117,602) 0
8/1 2010 135,008 (13,501) (121,507) 0
2/1 2011 135,008 (13,501) (121,507) 0
8/1 2011 139,477 (13,948) (125,529) 0
2/1 2012 139,477 (13,948) (125,529) 0
8/1 2012 144,080 (14,408) (129,672) 0
2/1 2013 144,080 (14,408) (129,672) 0
8/1 2013 148,822 (14,882) (133,939) 0
2/1 2014 148,822 (14,882) (133,939) 0
8/1 2014 153,705 (15,371) (138,335) 0
2/1 2015 153,705 (15,371) (138,335) 0
8/1 2015 158,735 (15,874) (142,862) 0
2/1 2016 158,735 (15,874) (142,862) 0
8/1 2016 163,916 (16,392) (147,524) 0
2!1 2017 163,916 (16,392) (147,524) 0
8/1 2017 169,252 (16,925) (152,327) 0
2/1 2018 169,252 (16,925) (152,327) 0
8/1 2018 174,749 (17,475) (157,274) 0
2/1 2019 174,749 (17,475) (157,274) 0
8/1 2019 180,410 (18,041) (162,369) 0
2/1 2020 180,410 (18,041) (162,369) 0
8/1 2020 186,241 (18,624) (167,617) 0
2/1 2021 186,241 (18,624) (167,617) 0
8/1 2021 192,247. (19,225) (173,023) 0
2/1 2022 192,247 (19,225) (173,023) 0
8/1 2022 198,434 (19,843) (178,590) 0
2/1 2023 198,434 (19,843) (178,590) 0
8/1 2023 204,806 (20,481) (184,325) 0
2/1 2024 204,806 (20,481) (184,325) 0
8(1 2024 211,369 (21,137) (190,232} 0
2/1 2025 211,369 (21,137) (190,232) 0
8/1 2025 218,129 (21,813) (196,316) 0
2!1 2026 218,129 (21,813) (196,316) 0
8/1 2026 225,091 (22,509) (202,582) 0
2/1 2027 225 091 (22 509) (202 582) 0
TIF NOT USED FOR PAYG NOTE fS PLEDGED TO THE PROJECT ON WEST LYNDALE
No Interest Income
No Market Value Inflation
Prepared by Ehlers Pro2002-2
7/29/2002
rr~ r rvi~rv ~
.DATE
MT YEAF
:ALANCE
8/1 2002
2/1 2003
8/1 2003
2/1 2004
8/1 2004
2/1 2005
8/1 2005
2/1 2006
811 2006
v1 2007
811 2007
2/1 2008
8/1 2008
2/1 2009
8/1 2009
2/1 2010
8/1 2010
2/1 2011
8/1 2011
211 2012
8/1 2012
2/1 2013
8/1 2013
2/1 2014
8/1 2014
2/1 2015
8/1 2015
2/1 2016
8/1 2016
2/1 2017
8/1 2017
2/1 2018
8/1 2018
2/1 2019
8/1 2019
2/1 2020
8/1 2020
2!1 2021
8/1 2021
2/i 2022
8/1 2022
2/1 2023
8/1 2023
2/1 2024
8/1 2024
2/1 2025
8/1 2025
2/1 2026
8/1 2026
2/1 2027
LHN ILN GALAYNS RR
Pre 1999
LYNDALE LYNDALE Net Tax
RR URBAN GRAMERCY GATEWAY GATEWAY Increment
,t 1999 VILLAGE RON CLARK TCCH End Of Yea
70,941 0 6,789 5,008 625 24,982 18,255 1,232 14,901 142
73;
70,941
70
941 0
0 6,789 5,008 625 22,098 18,255 1,232 14,901 ,
139,84!
,
70
941
0 6,789 5,008 833 22,098 18,255 3,592 12,817 140,33;
, 6,789 5,008 833 22,760 18,255 3,592 12,817 140
99;
0
0 0 6,789 5,008 833 22,760 18,255 3,592 11,080 ,
68,31
0 0 6,789 5,008 833 23,435 18,255 3,592 11,080 68,99:
0 6,789 5,008 833 23,435 18,255 3,592 11,454 69
361
0 0 6,789 5,008 833 24,124 18,255 3,592 11
454 ,
70
05°
0
0 0 6,789 5,008 833 24,124 18,255 3,592 ,
11,840 ,
70,441
0 0 6,789 5,008 833 24,826 18,255 3,592 11,840 71,142
0 0 6,789 5,008 833 24,826 18,255 3,592 12,237 71,54C
0 0 6,789 5,008 833 25,543 18,255 3,592 12,237 72,257
0 6,789 5,008 833 25,543 18,255 3,592 12
646 72
666
0 0 6,789 5,008 833 26,274 18,255 3,592 ,
12
646 ,
73
397
0
0 0 6,789 5,008 833 26,274 18,255 3,592 ,
13,067 ,
73,818
0 0 6,789 5,008 833 27,019 18,255 3,592 13,067 74,563
0 0 6,789 5,008 833 27,019 18,255 3,592 13,501 74,997
0 0 6,789 5,008 833 27,780 18,255 3,592 13,501 75,758
0 6,789 5,008 833 27,780 18,255 3,592 13,948 76
205
0 0 6,789 5,008 833 28,555 18,255 3,592 13
948 ,
76
980
0
0 0 6,789 5,008 833 28,555 18,255 3,592 ,
14,408 ,
77,441
0 0 6,789 5,008 833 29,346 18,255 3,592 14,408 78,232
0 0 6,789 5,008 833 29,346 18,255 3,592 14,882 78,706
0 0 6,789 5,008 833 30,153 18,255 3,592 14,882 79,513
0 0 6,789 5,008 833 30,153 18,255 3,592 15,371 80,001
0 0 6,789 5,008 833 30,976 18,255 3,592 15,371 80,824
0 0 6,789 5,008 833 30,976 18,255 3,592 15,874 81,327
0 0 6,789 5,008 833 31,816 18,255 3,592 15,874 82,167
0 0 6,789 5,008 833 31,816 18,255 3,592 16,392 82
685
0 0 6,789 5,008 -833 32,672 18,255 3,592 16,392 ,
83,541
0 0 6,789 5,008 833 32,672 18,255 3,592 16,925 84
075
0 0 6,789 5,008 833 33,546 18,255 3,592 16,925 ,
84,948
0 0 6,789 5,008 833 33,546 18,255 3,592 17,475 85
498
0 0 6,789 5,008 833 34,437 18,255 3,592 17,475 ,
86,389
0 0
0 0 0 0 34,437 18,255 3,592 18,041 74,325
0
0 0 0 0 35,345 18,255 3,592 18,041 75,234
0
0 0 0 0 35,345 18,255 3,592 18,624 75,817
0
0 0 0 0 36,272 18,255 3,592 18,624 76,744
0
0 0 0 0 36,272 18,255 3,592 19,225 77,344
0
0 0 0 0 37,218 18,255 3,592 19,225 78,290
0
0 0 0 0 37,218 18,255 3,592 19,843 78,908
0
0 0 0 0 38,182 18,255 3,592 19,843 79,873
0
0 0 0 0 38,182 18,255 3,592 20,481 80,510
0
0 0 0 0 39,166 18,255 3,592 20,481 81,494
0
0 0 0 0 39,166 18,255 3,592 21,137 82,150
0
0 0
0 0 0 0 18,255 3,592 21,137 42,984
0
0
0 0 0 0 18,255 3,592 21,813 43,660
(0)
0
0 0 0 0 18,255 3,592 21,813 43,660
0
0
0 0 0 0 0 3,592 22,509 26,101
pan
~
.,.,....,.,. 0
._- --- 0
-- 0 0 3,592
- 22,509 26.101
No Interest Income
No Market Value Inflation
Prepared by Ehlers
CITY OF RICHFIELD - 2002 STATUS REPORT
Pro2002-2
7ns/zo02
PAYMENT
DATE
Post 1999
URBAN GRAMERCY RR Bond
VILLAGE PavmcnT
_ BALANCE
8/1 2002 38,771 27,383 (26,878)
211 2003 38,771 27,383 (26,878)
8/1 2003 37,473 27,383 (25,000)
2/1 2004 37,473 27,383 (25,000)
8/1 2004 33,147 27,383 (25,000)
2/1 2005 33,147 27,383 (25,000)
8/1 2005 34,140 27,383 (25,000)
Z!1 2006 34,140 27,383 (25,000)
8/1 2006 35,153 27,383 (25,000)
2/1 2007 35,153 27,383 (25,000)
8/1 2007 36,186 27,383 (25,000)
2/1 2008 36,186 27,383 (25,000)
8/1 2008 37,239 27,383 (25,000)
2/1 2009 37,239 27,383 (25,000)
8/1 2009 38,314 27,383 (25,000)
2/1 2010 38,314 27,383 (25,000)
8/1 2010 39,411 27,383 (25,000)
2/1 2011 39,411 27,383 (25,000)
8/1 2011 40,529 27,383 (25,000)
2/1 2012 40,529 27,383 (25,000)
8/1 2012 41,669 27,383 (25,000)
2/1 2013 41,669 27,383 (25,000)
8/1 2013 42,833 27,383 (25,000)
2/1 2014 42,833 27,383 (25,000)
8/1 2014 44,019 27,383 (25,000)
2/1 2015 44,019 27,383 (25,000}
8/1 2015 45,230 27,383 (25,000)
2/1 2016 45,230 27,383 (25,000)
8!1 2016 46,464 27,383 (25,000)
2/1 2017 46,464 27,383 (25,000)
8!1 2017 47,724 27,383 (25,000)
2/1 2018 47,724 27,383 (25,000)
8/1 2018 49,008 27,383 (25,000)
2/1 2019 49,008 27,383 (25,000)
8/1 2019 50,318 27,383 (25,000)
2/1 2020 50,318 27,383 (25,000)
8/1 2020 51,655 27,383 (25,000)
2/1 2021 51,655 27,383 (25,000)
8/1 2021 53,018 27,383 (25,000)
2/1 2022 53,018 27,383 (25,000)
8/1 2022 54,408 27,383 (25,000)
2/1 2023 54,408 27,383 (25,000)
8/1 2023 55,826 27,383 (25,000)
2/1 2024 55,826 27,383 (25,000)
8/1 2024 57,273 27,383 (25,000)
2/1 2025 57,273 27,383 (25,000)
8/1 2025 58,749 27,383 (25,000)
2/1 2026 58,749 27,383 (25,000)
8/1 2026 0 0 0
2/1 2027 0 0 0
No Interest Income
No Market Value Inflation
~~-~
CITY OF RICHFIELD - 2002 STATUS REPORT
TOTAL
Net Tax
Increment
Fnri of Vag
39,27E
39,27E
39,85E
39,85E
35,53(
35,53(
36,52:
36,52
37,535
37,535
38, 568
38,568
39,622
39,622
40,697
40,697
41,793
41,793
42,912
42, 912
44,052
44,052
45,216
45,216
46,402
46,402
47, 613
47,613
48,847
48,847
50,107
50,107
51,391
51,391
52, 701
52,701
54, 038
54,038
55,401
55,401
56, 791
56,791
58,209
58,209
59,656
59,656
61,131
61,131
0
10
Prepared by Ehlers Pro2002-2