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06-03-96 agenda~~ CITY OF RICHFIELD, MINNESOTA MONDAY, JUNE 3, 1996 SPECIAL HOUSING AND REDEVELOPMENT AUTHORITY MEETING 6:30 P.M. COUNCIL CHAMBERS I~r1~l~Z1 CALL TO ORDER 1. PUBLIC HEARING AND CONSIDERATION OF RESOLUTION AUTHORIZING SALE OF RICHFIELD REDISCOVERED PROPERTY AT 7424 FIFTH AVENUE TO BUILDER MARLIN GRANT HOMES, INC.; AND CANCELLATION OF SCHEDULED PUBLIC HEARING FOR SALE OF 6837 LOGAN AVENUE • CONTINUED FROM MAY 20, 1996 HRA LETTER N0.28 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. r: HOUSING AND REDEVELOPMENT AUTHORITY HRA Letter No. 2s Agenda June 3, 1996 Issue Statement: Public hearing and consideration of a resolution authorizing the sale of Richfield Rediscovered property at 7424 Fifth Avenue to builder Marlin Grant Homes, Inc.; and cancellation of scheduled public hearing for sale of 6837 Logan Avenue continued from May 20, 1996. Background: The HRA has acquired 7425 Fifth Avenue under the Richfield Rediscovered Program. The new home is a three bedroom, two-story with attached garage. The basement has potential for a finished family room or bedroom. The sale price of the lot is $30,000. The end value of the completed property is anticipated to be $160,000. The development contract is substantially the same as for previous developments, noting: • $30,000 will be provided as financial security during the construction period. • The home is planned to be completed by early September for the Parade of Homes Fall Showcase. • The lot will be paid for upon completion of construction. The public hearing to sell 6837 Logan Avenue is canceled because the builder selected by the buyer did not work out. Buyers are submitting their drawings to other builders for estimates. Recommended Motion: Following the public hearing, adopt the attached resolution which authorizes the Chair and Executive Director to execute an agreement which sells 7424 Fifth Avenue to Marlin Grant Homes, Inc. for development of a new single family home; and cancel the scheduled public hearing concerning the sale of 6837 Logan Avenue. Basis of Recommendation: 1. Marlin Grant is an experienced and capable builder. 2. The HRA owns 7424 Fifth Avenue as part of the Richfield Rediscovered Program. 3. A development agreement is being negotiated and is in conformance with program guidelines. 4. Notice of public hearings were published in the Sun-Current on May 22, 1996. Alternative Recommendation: Direct staff to find other builders. Discussion/Decision Mode: Closing is anticipated to occur in early June for a Parade of Homes showing in September. Respectfully submitted, Jame .Prosser Executive Director JDP:ds J HRA RESOLUTION NO. RESOLUTION AUTHORIZING THE SALE OF REAL PROPERTY LOCATED AT 7425 FIFTH AVENUE TO MARLIN GRANT 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: Address Legal 7424 Fifth Avenue East 1/2 of South 59.45 feet of North 446.15 feet of West 1/2 of Northeast 1/4 of Northeast 1 /4 of Southeast 1 /4 Except Road Sec 34, Range 28, Twp 24. WHEREAS, the HRA is authorized to sell real property within its area of operation after public hearing; and WHEREAS, Marlin Grant, Homes, Inc., has been identified as the developer of 7424 Fifth Avenue in accordance with a development agreement; and WHEREAS, a 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 7424 Fifth Avenue is authorized to be sold to Marlin Grant Homes, Inc. in accordance with a development agreement with the HRA. 2. The purchase price for 7424 Fifth Avenue is $30,000. 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 3rd day of June 1996. Thomas E. Harms, Chair ATTEST: Vern Luettinger, Secretary