06-24-96 agenda• CITY OF RICHFIELD, MINNESOTA
MONDAY, JUNE 24, 1996
SPECIAL HOUSING AND REDEVELOPMENT AUTHORITY MEETING
6:30 P.M.
COUNCIL CHAMBERS
Q-GENDA
CALL TO ORDER
1. PUBLIC HEARING AND CONSIDERATION OF RESOLUTION AUTHORIZING
SALE OF RICHFIELD REDISCOVERED PROPERTY AT 7636 THIRD AVENUE
TO ROCKPORT HOMES, INC.
• ` HRA LETTER NO. 37
2. CONSIDERATION OF RESOLUTION AUTHORIZING EMINENT DOMAIN
PROCEEDINGS TO ACQUIRE REAL PROPERTY LOCATED AT 7520
PORTLAND AVENUE FOR INCLUSION IN RICHFIELD REDISCOVERED
PROGRAM
HRA LETTER NO. 38
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 861-9702.
•
HOUSING AND REDEVELOPMENT AUTHORITY
HRA Letter No. 37
Agenda June 24, 1996
Issue Statement:
Public hearing and consideration of a resolution authorizing the sale of Richfield
Rediscovered property at 7636 Third Avenue to Rockport Homes, Inc.
Background:
The HRA acquired 7636 Third Avenue under the Richfield Rediscovered Program. A
New Ford Town resident is being relocated because of the buy-out and Rockport
Homes plans to build a $120,000 three bedroom home on this site. The sale price of
the lot is $26,000. The plans for this site, elevations, and floor plans are attached.
The essential elements of the development contract are the same as for past Richfield
Rediscovered contracts:
• Provide $26,000 as financial security for 7636 Third Avenue during the construction
period.
• Complete the home by November 1996.
• Pay for the lot upon completion of construction.
Recommended Motion:
Adopt the resolution which authorizes- the Chair and Executive Director to execute a
Development Agreement which sells 7636 Third Avenue to Rockport Homes Inc. for the
amount of $26,000.
Basis of Recommendation:
1. The HRA owns 7636 Third Avenue and the site is available for development with the
Richfield Rediscovered Program.
2. Rockport Homes, Inc. is an experienced and capable builder.
3. A Development Agreement has been prepared and is in conformance with program
.guidelines.
4. A notice of public hearing for 7636 Third Avenue was published in the Sun-Current
on June 12, 1996.
Alternative Recommendation:
• Direct staff to find other buyers.
Discussion/Decision Mode:
A public hearing has been scheduled for. a special HRA meeting on Monday, June 24,
1996 at 6:30 p.m. to consider the sale.
Closing is scheduled to occur the last week of June.
Respectfully submitted,
Jame ~ .Prosser
Execu " e Director
JDP:ds
n
LJ
HRA RESOLUTION NO.
RESOLUTION AUTHORIZING THE SALE OF REAL PROPERTY
LOCATED AT 7636 THIRD AVENUE
TO ROCKPORT HOMES, INC. IN ACCORDANCE WITH A
DEVELOPMENT AGREEMENT
WHEREAS, the Housing and Redevelopment Authority in and for the City of
Richfield, Minnesota (HRA) desires to develop certain real property pursuant to and in
furtherance of the Richfield Rediscovered Program Redevelopment Project (Project)
heretofore adopted by the City of Richfield. (City) and the HRA, said real property being
described as follows:
7636 Third Avenue
Legal Descri~ion
The South 75 feet of that part of Government Lot 1, Section 34, Township
28 North, Range 24 West, of the 4th Principal Meridian, described as
follows: Commencing at a point corresponding to the Northeast corner of
Southeast'/4 of Northeast'/4 of Southwest %4 of Southeast'/4 of said
Section 34, Township 28, Range 24; thence West parallel with the North
line of said Government Lot 1 to a point in a line corresponding to the
West line of East'/ of Northeast'/4 of Southwest'/4 of Southeast'/4 of said
Section; thence Southerly along said West line a distance of 150 feet;
thence East parallel with the North line of said Government Lot 1 to said
line corresponding to-the East line of the Southwest'/4 of Southeast'/4 of
said Section; thence North along said line to beginning.
WHEREAS, the HRA is authorized to sell real property within its area of
operation after public hearing; and
WHEREAS, Rockport Homes Inc. has been identified as the developer of 7636
Third Avenue in accordance with a Development Agreement; and
WHEREAS, the public hearing has been held after proper public notice.
NOW, THEREFORE, BE IT RESOLVED by the Richfield Housing and
Redevelopment Authority:
1. A public hearing has been held and 7636 Third Avenue is authorized to be
sold to Rockport Homes, Inc. in accordance with a Development
Agreement with the HRA.
2. The urchase rice for 7636 Third Avenue is $26,000.
p p
3. The Chairperson and Executive Director are authorized to execute the
Development Agreement and other agreements as required to effectuate the
sale.
Adopted by the Housing and Redevelopment Authority in and for the City of
Richfield, Minnesota this 24th day of June 1996.
Thomas E. Harms, Chair
ATTEST:.
Vern Luettinger, Secretary
•
•
7636 TH1RD AVENUE
.~
i ~
i
44' 5•
1
1
~~ HOUSE ~°
M N
r
• '
~ GARAGE a
20' ~
M
- - - 75, - -
THIRD AVENUE
•
SCALE: 1 = 20'
_~
NORTH
DATE: 5/4/96
':
! ~ ..4 ;
ff ~ ., ~~+
~~~~ " ,
~~~~C
. ;,
,! ° • ~
tti• _
v VY 'I If ~.~
:~ ~ ~
~""" +~i '~~ll.
4 ~ ~
.` ~ ,
r .~
.. ~-s i~~~1)
~~ -- ~I ,,
~i ijjj~ j I i
i i ~ l •~:~ 4 ~I 'I~ ''.
r
~ ~j~!
r~• ` ^~~1r~,i' t~~l~ I~~II Iii
~ .Z~~.
`
r'
~.
.-= ~'
•
~~
~~'
~ 9
-~ -
I j
.I
i ,'
~
~ ~
.
~
o
~f
~:~
~1~ i
is
y!`. c ~•`~rs,.'•eawtr +s~ mil N W
.~, ~at^
..A ~~ ~ I
i. ~~, +s
.~ ~ ~ ~
A
+r
~~~ ._3 y
..~'"
Y
~~! ..
tJ~ ` ~
1 I' ~ '
W ~~ ~i
> ~ ~ ` ~ 'i
a Z
o °
~ a
M W W
CO W - I J
`~
co
_~
• •aj
N
•
N
W
Q
N
Q
p a
~ ~
M O
~ O
M ~
~
ti
~
t
f ' ~,,~ i
d 1 ~ ~
~J• ~~
1'w°I ~ ~
I t
' ~
M ~~~ I r t ~ { r~ ~~ ~ ~ ~
I '+ • `
~ ~ ~ _d
x I ~ I® ~ ~I ~~ i w
~~ ~
~- I ~ '-t I~ ~ b-~ O
:I~~. ~-
~rL_ I _- ~ ~ ~, i
t
1
.. ~ ~~
• ,~
--s-¢F
-- ~ -yZ - - o o¢
R ji .J ~
-Z 9
~ ~ ?D~ • .
~~ I
:~ .~:_,
. ~ ~ - ~ -
a
w
W
Z
a
HOUSING AND REDEVELOPMENT AUTHORITY
HRA Letter No. 38
Agenda June 24, 19.96
Issue Statement:
Approval of a resolution authorizing eminent domain proceedings to acquire the real
property located at 7520 Portland Avenue for inclusion in the Richfield Rediscovered
Program.
Background:
For the past five years, frequent changes in ownership, unfinished improvement
projects, substandard construction, and property maintenance complaints have been a
source of problems for City staff at 7520 Portland Avenue. The property is presently in
foreclosure and vacant. The appraised value is $36,000. However, the present
indebtedness approximates $57,000. An upcoming foreclosure sale and the
subsequent redemption period for the owner will likely result in the nuisance and,
substandard conditions continuing throughout 1996. The HRA, through eminent
domain, has the opportunity to acquire and redevelop the. property through the Richfield
Rediscovered Program. The financial resources available to the owner to redeem and.
repair the dwelling are not known.
Recommended Motion:
Adopt the resolution authorizing eminent domain proceedings to acquire-the-real
property located at 7520 Portland Avenue.
Basis of Recommendation:
1. The property is poorly maintained. Property maintenance has been a concern for
neighbors, and requires frequent responses by public safety staff to minimize
appearance problems.
2. The HRA has Richfield Rediscovered Program resources to acquire and clear the
home for new construction.
3. Legal counsel indicates that the eminent domain proceedings will limit all other
claims against the property.
4. Unless directed differently by the court during the condemnation process, the cost
of acquisition is $36,000, the HRA appraised value.
5. .Eminent .domain proceedings effectively end the problem of a vacant substandard
home with, significant financial liens. By acting before the July 10, 1996 sheriff
foreclosure sale, there is less likely to be a relocation claim.
Alternative Recommendation:
Choose not to acquire the property.
Discussion/Decision Mode:
Eminent domain proceedings would be initiated immediately.
Respectfully submitted,
Jam D. Prosser
Executive Director
JDP:ds
•
•
HRA RESOLUTION NO.
RESOLUTION AUTHORIZING EMINENT DOMAIN
PROCEEDINGS TO ACQUIRE CERTAIN REAL PROPERTY
LOCATED AT 7520 PORTLAND AVENUE
WHEREAS, the Housing and Redevelopment Authority in and for the City of
Richfield ("HRA") is a public body corporate and politic and a subdivision of the State of
Minnesota organized and operating under Minnesota law, as amended, and is
authorized by Minnesota Statutes Ch. 469 and other laws to acquire real estate by
exercising the power of eminent domain under and pursuant to Minnesota Statutes, Ch.
117; and
WHEREAS, the HRA has previously established a program pursuant to
Minnesota Statutes, Sections 469.001 et sea. to provide for the acquisition of land and
construction of decent, safe and sanitary housing; and
WHEREAS,-the redevelopment of certain real property located in the City at
7520 Portland Avenue, and legally described as, the East 165.8 feet of the South 75
feet of the North 342.8 feet of the resf of the Southeast Quarter of the Northeast
Quarter of the Southeast Quarter in Section 28. Range 24; according to the recorded_
plat thereof and situated in Hennepin County, Minnesota- ("Subject Property") is
consistentand in furtherance of the HRA's programs and.the City's Comprehensive
Plan; and
WHEREAS, the HRA has determined hat it is necessary to~acquire,title o.and ..
possession of the Subject Property by the earliest date permitted in accordance with
Minnesota Statutes 1.17.042.
NOW, THEREFORE, BE IT RESOLVED by the HRA, as follows:
It is necessary to acquire the Subject Property as described in this resolution in
order for the HRA to carry out the purposes for which it was established.
2. Acquisition of the Subject Property by eminent domain, in the manner provided by
Minnesota Statutes, Chapter 117, is deemed to be necessary and for a public
purpose and is hereby authorized.
3. The HRA deems it necessary, to proceed without delay under Minnesota Statutes,
Section 117.042, to acquire title to and possession of the Subject Property prior to
the filing of a final report of commissioners.
4. The HRA's attorney and staff are authorized and directed to commence eminent
domain proceedings to acquire fee simple absolute title to the Subject Property,
pursuant to Minnesota Statutes, Section 117.042 and to pay to the owner(s) or
into court, a sum of money to secure compensation to the owners of the Subject
Property, which amount shall be equal to petitioner's approved appraisal of value
as determined by HRA staff.
Adopted by the Housing and Redevelopment Authority in and for the City of
Richfield, Minnesota this 24th day of June, 1996.
Thomas E. Harms, Chair
ATTEST:
Vern Luettinger, Secretary
•
~1
LJ