Loading...
01-19-81 agendaHOUSING AND REDEVELOPMENT AUTHORITY Office of Executive Director.. HRA-Letter No. 6 Agenda January 19,1981 Housing and Redevelopment ,~ Authority Commissioners City of Richfield Dear Commissioners: Subject: Authorization to Purchase 727 Graham On December 15, 1980, the HRA established just compensa- tion and authorized negotiations for the. purchase of 727 Gra- ham Avenue, a property .located within the site of the Lake ,Shore Drive Cooperative. A loan-from the L/H/N Special Revenue Capital Fund was approved also. Just. compensation for this property was established at • $65,000. The owner-occupants ofthe property are-willing to sell at $68,000 or 4.6 percent above the established just compen- sation. The payment of an additional $3,000 is within the acceptable. negotiating range. It is recommended that the HRA adopt the attached resol- ution authorizing the purchase of :727 Graham Avenue for $68,0.00. Re pectfully submitted, ~8 Karl Nollenberger Executive Director KN/eja cc: Finance Coordinator Community Development Director Housing and Redevelopment Coordinator -/ t ': .. r-' + HRA RESOLUTION N0. RESOLUTION AUTHORTZING THE EXECUTLON OF A CONTRACT TO BORROW MONEY FROM THE L/H/N SPECIAL REVENUE CAPITAL FUND. FOR THE PURCHASE OF REAL PROPERTY AT 727 GRAHAM AVENUE WHEREAS, the Richfield Housing and Redevelopment Authority (HRA) desires to purchase certain real property pursuant to and in furtherance of the L/H/N Redevelopment Project heretofore adopted by the HRA and the City~of Richfield~(the "City"), said real property being .described as follows: Lot 8, Block 3, Fairwood Shores Addition.,. Hennepin County,. Minnesota, (727 Graham Avenue), and • WHEREAS., the HRA. has caused appraisals of the subject property to be made and has carefully c6nsidered such appraisals, and WHEREAS, the HRA has authorized the commencement of negotiations for the purchase of the real property described above, and WHEREAS, the HRA is authorized by Minnesota Statutes, Section 462.445 to purchase real property, and - WHEREAS, funds to provide for the purchase of the property are available in the L/H/N Special Revenue Capital Project Fund. NOW, THEREFORE, BE IT RESOLVED BY THE RICHFIELD HOUSING AND REDEVELOPMENT AUTHORITY: 1. The Executive Director is directed to execute a purchase agreement for the above property for Sixty-eight Thousand and no/100 Dollars ($68,000.00 ) 2. The Executive Director is directed to loan $68,000 from the L/H/N Capital Fund per the loan agreement approved by the Housing and Redevelopment Authority on December 15, 1980. Passed by the Housing and Redevelopment Authority of Richfield this 19th day of January, 1981. Thomas E. Harms ATTEST: Chairman Secretary HOUSING AND REDEVELOPMENT AUTHORITY Office of Executive Director HRA Letter No. 5 Agenda January 19, 1981 Housing and Redevelopment Authority Commissioners City of Richfield Dear Commissioners: c Subject: Development of the Godfather. Block On November 24, 1980, the city council held a public hear- ing concerning the declaration of a one-year moratorium on devel- opment of the Godfather Block. The HRA recommended to the city council that this action be taken in order to allow time for a study to determine if land use controls-are necessary to insure that integrated development such as that indicated by the L/H/N redevelopment plan takes place on the block. A copy of the ordinance declaring the moratorium is enclosed with this HRA letter. At the January 19, 1981 HRA meeting; we will report to the HRA on activities which we are. undertaking at this time to insure the orderly progression of this study, Respectfully submitted, F' ~7 Karl Nollenberger ~ro ~?' ~ S.5 ~~, Executive Director ~~ ; ~~ ~~ ~C Q KN/eja ~~ ~ F~ ~~~ N` c9 cc: Director Community Development ~..~~ ~~ ~~ ~' Housing .and Redevelopment .Coordinator ~ ~ S`~ ~ ~ J ~~ ~~ \ ~,J \^ ~ e~~ u ~` ~J ~5 ~ ~/ Q `~' ~ ~ ~ ~v~ ~~ J~ ~ r `~ ~~~~ ~ ~~~ ~ J ~ ,~ Q" ~ ~ ~ ~v ~ V ~% ~l~ Jc ., ORDINANCE N0. 16.6I Ai1J ORDIPZA:~CL DECLARING A MO~TORIU'M ~ON''CERTAIPJ., C DLVELO~P~~NT~= WTfiHI?~1 "AN AREA OF THE' CITY CITY OF RICHFIELD DOES ORDAIN: Section 1. Findings. a. The City. has for many years been,concer*:ed with. the proper use and ultimate deg--el~pment anc redevelop- merit of that. area of the City generally referred to ,- as the Lyndale-Hub.-Nicoll~et Area of Richfield (the Project..Area). b. - As a result of that -cc~cern- among others, the Housing and Redevelopment Authority .of Richfield , Pdinnesota (HRA} was duly cons ituted and a P.edevAl- opment Plan for the Project Arta was adooted by she Authority and approved by the 'City Council on - October 15, 197.5. c. One o% the land areas addressed in the Redzvelc~;ent Plan is theblock bounded by 65th Street on the north; 66th Street on the south,"Lyndale on the east ana Graham on the west. - d. The problems assessment ortior_ of Phase I of the Redevelopment Plan indicated that the block suffered from a.gmented::and .ins -=i..e-rzn~t=: lan`d' uses, con,: lief=s <1=n land use, underutil~.~~7- laJ;d, in=adequate par,,ing. aid pedes Tian iaclit and> lae'{, of visuaa unity..: e. The conclusion of this review found in Phase III of the .Plan indicates: / "What has resulted is a commercial area whose recent .development was negatively affected by fragmznted Land use, underutilized .commercial land and general deterioration of the area....Th~ original land planning, lot layout and development practices have resulted in a commercial area which is suffering from deterioration and obsolescence, which if not abated t'11 ~i continue to ~aor}: against the vitality of the L/H/N commercial area." f". The Redevelopment Plan calls for the development of the block as commercial and multi--Family residential; such development should. be unified and integrated. ~. . .; ,~ .... .~ ~. ,. g. ~I~eith.er the C~ay;'s Comprehes-ive Plan i~r...:ts offic.4~i ironing coat ohs pr`e~s~e`n~~1~~~ •requ;ire unified ~develop- ~ent with~~ the bloc:. Any. lot. wthi i the block tcta•:- pre ently be-de~.~eloped independent y of any other lot, and aaithout regard to potential development` to the block as 'a whole. h. The HRH has adopted and presented the City with a resolution requesting that certain `controls_be placed upon the. block in order that the redevelopment. of the blocti,and..thee.Project Area riot be frustrated. i. The. Council. hereby :finds Ghat a~sstudv is,~~cess:ary to ,further d~term-ine whe,tner it, ~.aould ;be -ap.pr.opria.ze- to adopt ;s:ut~able controls , to require unified and •nterdependent.development of the bloc]:: j. The Council further finds that it is necessary and e.Ypedient for_thepurpose o~ protecting the planning process arc preserving the health anc't safety,-- general - wel`are, convener:ce, and presperity`of the citizans of the Ci y that during such study period and fiend- ing the adoption of official controls, no aevelop~.;ent or redevelopment: within the block occur, and no request for reigning, special use permit, variance, platting, building permit or sign permit be con- sidered. Section 2. Determination. During the period hereina~ter provided, r~o deg=elopement- or rede~relop:,~ent may occur within the block, and. no request`-for rezonnc, especial use permit-, variance,, platting, building permit or sign shall. be considered.. Section 3. Duration. This ordinance. shall expire one year from its effective date unless renewed for an additional one year. period:.. Passed by the City Council of the City of Richfield, Minnesota, this day of 1980. Donald Prek~e,: Mayor ATTEST: ~~ Sylvia Bergh, .acting City Clerk' .- ..-•- -r~ • ~~~ HOUSING AND REDEVELOPMENT AUTHORITY Office of Executive Director HRA Letter n1O. ? Agenda January 19, 1980 Housing and Redevelopment Authority Commissioners City of Richfield Dear Commissioners: Subject: Election of Housing and Redevelopment Authority Officers The by-laws of the Richfield Housing and Redevelopment _ Authority provide that the annual meeting of the authority be held on the third Monday in January. The by-laws require that the Chairman, Vice-Chairman and Secretary be elected at the annual meeting of the HRA. The officers for 1980 were Thomas Harms, Chairman, Joan Helmberaer, Vice-Chairman, and Vern Luettinger, Secretary. It will be necessary for the commissioners to hold an election and elect these officers for 1981. This is the only special item of business required at the annual meeting and except for this item, the HRA meeting can be conducted as if it were a regular -Heeling of the Authority. Respectfully submitted, j~~ Karl Nollenberger City Manager KN/eja cc: Community Development Director City Council HOUSI'`i~= AND REDEVELOPMENT P.UTHORITY Office of Executive Director Housing and Redevelopment Authority Commissioners City of Richfield Commissioners: Subject: Acquisition of Clark Station Property at 220 West 66th Street s On December 15, the HRA discussed the possible purchase of the Clara Station property at 220 west o6th Street. This letter contains the necessary information and documents to implement the acquisition process for that property. The site contains approximately 22,200 square feet, with dimensions cf 208 feet along 66th Street and 107 feet of north- side depth. It is suitable for commercial r euse, a~tnougn the size is limiting, being only slightly larger than one-half acre. Fark- ina associat ed with development of the site would be severely limited, in an area which already ::^as inadequate narking. There have been pr elimina ry discussions with the a djoining property owners, Penn y's Sup ermarket, and United Nati onal, owners of The about t Hub heir in terest in this property. At least one other , developer is examin ing the potential of this site. A definitive response as to tr.e interest of these people in purchasing the property has not ye t been received. The property has not been previously identified for HRA pur- chase, and if the HRA does determine to acquire it, an amendment to the development plan will be necessary. Because such an amendment does not affect the project boundary or land uses, no city council action i~ nec•~ssary. However, it will be necessary for the HRA to HRA Letter No. 3 Agenda January 19, 1981 Comprehensive Plan. Purchase of the property would be accomplished by utilizing funds from two sources; the HRA general fund and a 1_oan from the city's sewer fund. The sewer fund loan would be at 9% per annum for up to one year. The sewer fund provided the HRA with loans to acquire the first properties in the LHN area, back in 1976. Those loans were subsequently transferred to the city's PIR Fund, and the HRA currently has no loans from the sewer fund. These loans could be repaid by monies from a sale of tax increment bonds for this site, when a developer is identified, or from the L/H/N Capital Fund or the city's PIR fund after the sale of the tax increment bonds for the Lake Shore Drive Cooperative development later this spring. HRA Letter No. 3 -2- January 19, i981 It is recommended that the HRA take the following actions: 1. Adopt the attached resolution, which amends the develop- ment plan to designate the Clark Oil property for HRA acquisition, and requesting the needed Planning Commis- sion finding regarding this property acquisition. 2. Adopt the attached resolution which authorizes the expen- diture of monies from the HRA general fund, execution of a loan agreement with the city, establishes just compen- sation, and authorizes negotiations for acquisition of this property. Respectfully submitted, K rl Nollenberger Executive Director Ki~i ~' j f ~" cc: Community Development Director Housing & Redevelopment Specialist HRA Attorney Fin rce ~`~nrdinator City Council Members -~ - - - _ - - RESOLUTION OF THE HOUSING AND REDEVELOPMENT AUTHORITY OF RICHFIELD, MINNESOTA, APPROVING MODIFICATION N0. 2 IN THE LYNDALE-HUB-NICOLLET COMt4ERCIAL IP~'iPROVEMENT PROGRAM RESOLUTION N0. WHEREAS, the Housing and Redevelopment Authority of Richfield, Minnesota (HRA) did on October 15, 1975, approve a redevelopment plan for an urban renewal project for the Lyndale-Hub-Nicollet area of Richfield entitled "Lyndale~Hub-Nicollet Commercial Improve- ment Program" (the "Plan"); and WHEREAS, the City Council of Richfield, Minnesota did on November 24, 1975 approve the Plan; and WHEREAS,. the Plan has subsequently been amended; and WHEREAS, the Plan designated certain properties for acquisition by the HRA: and WHEREAS, it has been determined that the acquisition of certain.. additional properties Edescribed on Attachment A) is necessary to implement the Plan and to carry out the purposes of the Plan; and • WHEREAS, the acquisition of said property as a part of .the Plan will not alter or affect the exterior boundaries of the Redevelopment Project. area; and WHEREAS, the acquisition of said property will not substantially alter or affect the general land uses established in the Plan; and WHEREAS, Minnesota Statutes 462.356 require the Planning Commission's finding as to the conformance of the proposed purchase with the comprehensive plan; NOW THEREFORE, BE IT RESOLVED by the Richfield Housing and Redevelopment Authority that: 1. The Plan is hereby modified by adding thereto as property designated for acquisition the land described in Attachment A provided that the Planning Commission finds the change as submitted to be in conformance with the comprehensive plan. Passed by the Housing and. .Redevelopment Authority of Richfield this 19th day of January,-1981. omas E. Harms, C airman ATTEST: Secretary • HRA RESOLUTION N0. RESOLUTION AUTHORIZING THE EXECUTION -0F A CONTRACT TO BORROW MONEY FROM THE CITY OF RICHFIELD,-THE EXPENDITURE OF MONIES FROM THE HRA GENERAL FUND AND PROVIDING FOR THE PURCHASE OF REAL PROPERTY-AT 220 WEST 66TH STREET WHEREAS, The Richfield Housing & Redevelopment Authority (HRA) desires to purchase certain real property pursuant to and in further- ance of the L/H/N Redevelopment Project heretofore adopted by the City of Richfield (the "City") and,-the HRA, said real property being described as in Attachment A and also known as-.220 West. 66th .Street, and WHEREAS, Minnesota Statutes 462.356 require the Planning Commission': finding as to the conformance of the proposed-purchase with the compre- hensive plan, and - WHEREAS, to provide for the purchase of this property monies are available in the 1981 HRA general fund and the sewer fund of the City, and WHEREAS, the HRA has caused appraisals of the subject property to be made and has carefully considered such appraisals, and WHEREAS, the HRA is authorized by Minnesota Statutes, Section • 462.445 to purchase real property and to borrow money from the City therefore, and WHEREAS, the City is authorized by Minnesota Statutes, Section 462.581 to_make loans to the HRA in aid of projects. NOW, THEREFORE, BE IT RESOLVED BY THE RICHFIELD HOUSING AND REDEVELOPMENT AUTHORITY: 1. That to the extent available, monies from the HRA general fund are to be uti-lined for the purchase of this property. 2. That the Chairman and the Executive Director be, and hereby are authorized to execute, as agents of the Richfield Housing and Redevelopment Authority, an agreement with the City of Richfield (entitled 'Loan. Agreement') a copy of which is hereby given Clerk's File No. and is ordered placed on file. 3. That the Executive director be, and hereby is directed to present said agreement to the City of Richfield for its consideration. and acceptance. 4. That $140,000 is determined to be just compensation for the subject real property. 5. That the Executive Director and the HRA's attorney are authorized and. directed to commence negotiations for the purchase of the real property described in the above agreement upon accep- tance and execution of the above agreement by the City of Richfield and a finding by the Planning Commission that the proposed modifi- cation No. 2 as submitted is in conformance with the comprehensive plan. The owner of the subject property shall be offered the sum of $140,000 for the sale of said property. 6. That the Executive Director is hereby directed to notify, in writing, the owner of the subject property, as soon as possible, that the HRA presently intends to acquire his property provided negotiations result in the determination of a mutually agreeable sale price. The Executive Director shall include with such notifi- cation a statement which complies with the requirements of regula- tions of the Department of Housing and Urban Development,`24 C.F.R. 542.135. 7. That the Chairman and Executive Director are authorized to execute a purchase agreement for just compensation for the purchase of said real estate. 8. That if the negotiations result in a proposal for the pur- chase of said real estate greater than just compensation, said proposal shall be presented to the HRA. Passed by the Housing and Redevelopment Authority of Richfield this day of January, 1981. Thomas E. Harms ATTEST: Secretary Chairm~ PROPERTY LOCATED AT 220 W. 66TH STEET • PARCEL A: The easterly 240.95 feet as measured at right angles of the southerly 150.00 feet as measured at right angles of the fol- lowingdescribed property: That part of the South 53-1/3 rods of the Southeast Quarter of the Northwest Quarter (SE 4 NW 4) of Sec- tion 27, Township 28, Range 24, Hennepin- County,Min- nesota, described as follows: Commencing at a point on the South line of the above described tract, which is 25 feet East of the Southwest corner thereof: thence North parallel with the West line of the above described tract 660 feet: thence East parallel with the North line of said tract 303.7 feet: _ thence South 660 feet to a point in the South line of said, tract which is 302.9 feet East of the point of beginning; subject to street over the East 30 feet and over the South 43 feet thereof. PARCEL B: The westerly 14.05 feet as measured at right angles of the easterly 255.00 feet as measured at right angles of the southerly 150.00 feet as measured at right angles of the following described property: That part of the South 53-1/3 rods of the Southeast Quarter of the Northwest Quarter (SE NW ) of Sec- tion 27, Township 28, Range. 24, Hennepin County, Minnesota, described as follows: Commencing at a point on the South line of the above described tract, which is 25 feet East of the Southwest corner thereof: thence North parallel with the West line of the above described tract 660 feet: thence East parallel with the North line of said tract 303.7 feet; thence South 660 feet to a point in the South line of said tract which is 302.9 feet East of the point of beginning; subject to street over the South 43 feet. Attachment A / ,, ~~ ~ l: i _- i i9 iii 11 -__ /~ ~ -- --- - -; ~ _ -_ CROSSTOWN H_YW CROSSTOWN~iYwr- __~ /_ - 1 ~ I 1 / ~~ J ` ---_ -- --- -- - ---~~ ~ ~ f- _. -- - - _ J i ( _t ( ~ ___ - f _ --r 1 ~ - _ _ ~ ' t _ -- ~ ~ _ ~ I ~. - F I - _ -- - _ --_ _ _ _ . _ _ ~- _~, _ _ _r - __ i _ < 63 rd 6T. u -{ V I 1 W d o .I _ i ~ _ ~ ___ { .. , 1 I i ~~ I e I i i 1 (-. ~ i .... <' r .. .. z PEV ... 111 I~u11.~.1t _ ` + - '1 -..{ ~---~ -~.. ~1 ~ i - ._ ij _-_1J Ir. -._ ... ~ ~ , ., ~~ ' ~_.I i I~_f l1 11 -t ~.-fir:-__I;~__ ~.._~..k._ IL i, i4 T. 111 1~ 64 th 6T._... ~, 1 ~ ' -- ( ~ 1 u~ I --- - -- ., _. -~ ~ I 1 ~ ~ ~ ~~ ~~ JI ~ LAKE ~ 3," •y4~ I 9 ~ .. n ~ ~ - , ,,;e ,f - --T I L ~ ~ 1.._1.4. ~ _- ~ _ in~6~ L~ult~ll ' I _... ~ , _ l ~ _ I ~ =t..a. ~ ~ ~ 65 Ih 6T. _-__-_ t -, _, ~ ~ ~. r 1 I l ~, i / , . , ~ ---1. o _ t ~_~ ~ .. _ ,. r -• _.-. 11 1/ \.~./~11A~1/~11~.\~II!•11~~1/~\f~' - _ _ , ., r / { (~ / r ~ ~ \ 9,,, e. r- _- - -_- ~ ~ ~ BOUNDARY ' 1 .. + ~ ~ t~;~ t ,. ~~ ~ ! IF - -- Clark Oil Parcel ~ -_ J ~ . ~ y C~_ Lu~...~l.~r a+ _ f , , 220 West 66th St: __. _ - L ._ ~ , > -- i ~31 ~~ ~ ~~~~ ~ ~ ~ --~.~._ ~~_: -. - ---- --------~ _._ ~_~_~___~ l .: ~ Z ~ I SMO / '~ ~/I'N. ~ ~ 1 ~I.~AI~ ~~ ST _ - _._.___.. _ ... _ ~ r 'r 6T th ST. l it ~ ''~ wood .\ ~ l - - I LAKE '~ ~ ~ f ~ ~ ,8e t^~ s.. - -_ PROJECT BOUNDARY ,;° 1 ~_ ti °~ . f~, , (220 West 66th Street) Sewer Fund LOAN AGREEMENT This Agreement, entered into as of this day of , 1981, by and between the Housing and Redevelopment Authority of Richfield, Minnesota, a body public and corporate (hereinafter the "HRA"), and the City of Richfield, a municipal corporation organized and existing under the laws of the State of Minnesota (hereinafter the "City"). WITNESSETH: WHEREAS, the HRA desires to borrow money for the purpose of purchasing certain real property pursuant to and in further- ance of the L/H/N Redevelopment Project heretofore adopted by the City and. the HRA, said real property being described as follows: See Attachment A, also known as 220 West 66th Street, and WHEREAS, the purchase of said real. property is necessary to accomplish the purposes of said L/H/N Project, and WHEREAS, the City desires to lend money so that said pur- chase may be accomplished, and WHEREAS, the HRA is authorized. by Minnesota Statues, Sec- tion 462.445 to purchase real property and to borrow-money from the City therefore, and • WHEREAS, the City is authorized by Minnesota Statues, Sec- - tion 462.581 to make loans to the HRA i aid of projects. NOW, THEREFORE, for and in consideration of the mutual tenets and agreements herein set forth, the HRA and the City do hereby agree as follows: I. The City agrees to advance from the sewer fund to the HRA money in an amount to be determined by the HRA at such time as a decision has. been made by the HRA to purchase such property, said amount to be equal. to the purchase price of said property, plus any. relocation benefits payable, and II. The HRA agrees to repay the sum so advanced, plus interest, as follows: A. Interest shall accrue on unpaid principal at the rate of .9...00%-der annum from the date of advancement until repaid. B. Payments shall be applied first to reduce interest accrued at the date of payment, and .the remainder, if any, shall reduce the prin- cipal balance. C. The HRA may make payment or payments in any amount and at any time., provided that the entire unpaid principal together with accrued interest shall be repaid no ....later than one year from the date of advancement of funds to the HRA. III. This agreement shall be void and of no effect if advancement of funds by the City as provided herein is'not made before .June 30, 1981. • HOUSING AND REDEVELOPMENT AUTHORITY By Its Chairman Dated: By Its. Executive Director CITY OF RICHFIELD By • Its Mayor Dated: By Its City Manager HOUSING AND REDEVELOP~'iENT AUTHORITY Office of Executive Director H~~< Letter No. 2 Agenda January 19, 1981 Housing and Redevelopment Authority Commissioners City of Richfield Commissioners: Subject: Establishment of Just Compensation and Authorization to Purchase Property at 721 Graham Avenue Since 1975, the "commercial" area located in the southwest corner of 66th Street and Lyndale Avenue within the Lyndale/Hub/ Nicollet Project has been desiTnated for rede~.-elopment. There were three single family properties identified for acquisition with- in this project area; 709, 715, and 721 Graham Avenue. Since 1976, the HRA has owned 715 Graham Avenue. On January 9, the HRA purchased the second property, 709 Graham, leaving 721 Graham Avenue the final property to acquire. (note map attached). This property is owner-occupied and is a one-story rambler single family residence which was constructed in 1946. There is no garage on the site. The first floor contains 1,402 square feet of ],iving area and is divided into a living room with fireplace, din- ing area, kitchen, four bedrooms and a bath. Generally, the house is well-built and in fair condition. The basement is in fair con- dition as well. Approximately 700 square feet of the basement is finished with acoustic the ceiling, paneling and linoleum the floor . Appraisers valued the property as follows: O.J. Janski and Associates, $71,000; Vern Anderson, the City Assessor, $72,000; Mr. Hennessy, our Review Appraiser, $71,000. To finance purchase of this property, it would be desirable to borrow the funds from the LHN Special Revenue Capital Project Fund (interest rate of 5% per annum). This fund has previously been utilized by the HRA to purchase property. HRA Letter No. 2 -2- January 19, 1981 It is recommended that the HRA adopt the attached resolution, authorizing a loan from the LHN Capital Project fund for the pur- chase of 721 Graham r'jvenue. This resolution also establishes just compensation and authorizes negotiations for this property. A copy of the loan agreement is alsc attached. Respectfully submitted, J Karl Nollenberger Executive Director KN/jf cc: Community Development Director Housing & Redevelopment Coordinator HRA Attorney Finance Coordinator City Council P~!embers Director Administrative Services 721 Graham HRA RESOLUTION N0. RESOLUTION AUTHORIZING THE EXECUTION OF A CONTRACT TO BORROW MOPdEY FROM THE L/H/N SPECIAL REVENUE CAPITAL FUND FOR THE PURCHASE OF REAL PROPERTY WHEREAS, the Richfield Housing and Redevelopment Authority (HRA) desires to borrow money for the purpose of purchasing certain real property pursuant to and in furtherance of the L/H/N Redevelopment Project heretofore; adopted by the City of Richfield (the "City").and the HRA, said real property being described. as follows:. Lot. 5 Block .3 Fairwood Shores Addition and, WHEREAS, the HRA has caused. appraisals of the subject property to be made and has carefully considered such appraisals, and, WHEREAS, funds to provide for the purchase of this property are available in the L/H/N Special Revenue Capital Fund,. NOW, THEREFORE, BE IT RESOLVED BY THE RICHFIELD HOUSING AND REDEVELOPMENT AUTHORITY. 1. That $7I,OOO is determined to be just compensation for the subject real property. 2. That the monies for the purchase of this property are to be borrowed from the L/H/N Special Revenue Capital Fund for a period of three years at a rate of 5 percent per annum. 3. That the Chairman and the Executive Director be, and hereby are authorized to execute, as agents of the Richfield Housing and Redevelopment Authority., an agreement (entitled 'Loan Agreement') a copy of which is hereby given Clerk's File No. and is ordered placed on file.- 4. That. the Executive Director be, and hereby is directed to present said agreement into the records of the HRA of the City of Richfield for its recording. 5. That the Executive Director and the HRA's attorney are authorized and directed to commence negotiations for the purchase of the real property described above. 6. That the Executive Director is hereby directed to notify, in writing, the owner of the subject property., as soon as possible, that the HRA presently intends to acquire his property provided .negotiations result in the determination of a mutually agreeable -sale price. The Executive Director shall include with such a notification, a statement which complies with the requirements of regulations of the Department of Housing and Urban Development, 24 C.F.R. 542.135. 7. That the Chairman and Executive Director are author- ized to execute a purchase agreement for just compensation for the. purchase of said real. estate. 8. .That if the negotiations. result in a proposal for the purchase of said real estate greater than just compensation., said proposal shall be presented to the HRA. Passsd by the Housing and. Redevelopment Authority of Richfield this day of 1981. Thomas E. Harms Chairman ATTEST: Secretary . { 721 Graham) LOAN AGREEMENT THIS AGREEMENT, entered into as of this day of 1980, by thee.-Housing and Redevelopment Authority of Richfield, Minnesota, a body public and corporate (hereinafter the "HRA"), WITNESSETH: WHEREAS, the HRA desires to borrow money-for the purpose of purchasing certain real property pursuant to and in furtherance of the L/H/N Redevelopment Project heretofore adopted by the City and the HRA, said real properly being described as follows: Lot 5 Block 3 Fairwood Shores Addition WHEREAS, the purchase of said real .property. is necessary to accomplish the purposes of said L/H/N Project, and WHEREAS, the HRA has monies available in the L/H/N Special Revenue Capital Fund not pledged to the retirement of bonded indebtedness, and WHEREAS, the HRA desires to lend money to the commercial capital project so that said purchase may be accomplished, and WHEREAS, the HRA is authorized by Minnesota Statutes, Section 462.445 to purchase real property and to borrow money, NOW, THEREFORE, for and .in consideration of the tenant and agreements herein set forth, the HRA does hereby agree as follows: I. The HRA agrees to advance an amount to be determined at such time as a decision has been made to purchase such property, said amount to be equal to the purchase price of said property, plus any relocation benefits payable, and II. The HRA agrees to repay the sum so advanced, plus interest, as follows: A. Interest shall accrue on unpaid principal at the rate of 5.00 percent per annum from the date of advancement until repaid. B. Payments shall be applied first to reduce interest accrued at the date of payment, and the remainder, if any, shall reduce the principal balance. C. The HRA may make payment or payments in any amount and at any time, provided that the entire unpaid principal together with accrued interest shall be .repaid no later than three years from the date of advancement of funds to the HRA. III. This .agreement shall be void and of no effect if advancement of funds as provided herein is not made before June 30, 1981. HOUSING AND REDEVELOPMENT AUTHORITY By Its Chairman By Its Executive Director Y j~ ~;i, r~R i x,. t ~a i n ~ ~~ t ~ ~ ~ t ~~,,~~ ~~ r ~ ',~, c ~¢ ,y7 _..1 tl ~ i ~ ~ _ ~ ~ r .... _ ` ~ 1 _ . ~ . ,~ I . _ ~ ~ ---- - 4 .. .- ~.- ,~. _ - ~ • .~ COMMERCIAL- ARO/OR j I i i _ I i I ~ ~ i ~' I ~ '" "' ~~ ° ~ •, MULTI-FAMILY ~ I I I I 1 t I i I- I I- __ ~ a I y ~I _ L......a... ~ . j. 66 IM1 ST. ti6 to ST. ~`~ f.., %.., I r- I ~-~nru~ur_u~u~u~n~u~n~~u~ur•~ ~ I ~' ,i. i `. ;~ j r JI i` ~ , r I C9 ~I i i i I •,I`~ ', q4q , ~ ~ ~ I ~ n~u BOUNDARY j ~ '/, MULT~AMILY COMMER IAL f ~t ~ ~ _ ' i I ti ~ ~' a ~ ^u ~ LUUt~~.~M~ I h ~~~~ ~ •~ T~ 6] 6TI _... iI I ~ ~ ~ ~ ~ ~. WOOD ~ ~ ~ ~ ~ ~~ ~ \ ~ t i'- LAKE LIB ~ --- fie to ST. I l _~ ~ 6] iM1 ST 1~iN 7`L1 Graham Aveuue LAND USE ^\GC a G G a ~~ LL ~~U I,~ a ~ z ~~ ~ Q. ~~ Lll .J~Q Q~~. I~ ~ ~. ~~ I .~ [1 d ~~11 ', LJ \ \ "I \\\\~~~i ~'I 'I~11i1Ct1' ~! FEB. 1878 ~~`'~~~ ,~ r->s~i j r_xta©tT .-.. ._. HOUSING AND REDEVELOPMENT AUTHORITY Office of Executive Director HRA Letter No. 1 Agenda. January 19, 1981 Housing. and Redevelopment Authority Commissioners City of Richfield Commissioners Subject: Resolution Designating Official Depository Attached to this HRA letter is a resolution naming-'Si~mm~Tt~~~ •te:_._Brank:.~of :R=ichfie~a.th~~~~o~.~-~~~a1 d°epos,tory ;fcsr ~.t~l~te. Rich :=: ~f~eld- Hou wing >and,~pRed=eve lopme~ Aua;Y~or i t.y- ~ for the year 1;9,81 .~u~mmt. Sata~e , ~,.p,l~dgng co].~latYerals in=.the amount . of- $6 00, 000-; This collateral pledge means that the HRA's deposits up to that amount are secured with the depository. In addition to this collateral pledge, HRA funds are protected by the Federal Deposit. Insurance Corporation in the amount of $100,000, making the total protection afforded by this depository for HRA funds equal to $700,000. It is recommended that the HRA adopt the attached resolution. Respectfully submitted, Karl Nollenberger Executive Director KN/jf cc: Finance Coordinator City. Council Members Director Administrative Services HRA RESOLUTION NO. RESOLUTION DESIGNATING THE SUMMIT STATE BANK A DEPOSITORY OF FUNDS OF THE HOUSING AND REDEVELOPMENT AUTHORITY OF RICHFIELD FOR THE YEAR 1981 AND APPROVING COLLATERAL BE IT RESOLVED by the Housing and Redevelopment Authority of Richfield as follows: That, in accordance with law-, the Summit State Bank be, and- hereby is designated a depository of the funds of the Housing and Redevelopment Authority_ of Richfield, subject to modification and revocation at any time by said Housing and. Redevelopment Authority, and subject to the following terms and conditions: The said depository shall not be required to give bonds or other securities for such deposits provided that the total sum thereof shall not at any-time exceed in any depository the sum for which its de- posits are insured. under the Acts of Congress of the United States _ relating to insurance of bank deposits; but .not in case such deposits. in any such depository shall at any time exceed such insured sum, .said depository shall immediately furnish bonds or other security for such excess .according to.-law, approved. by the Housing and Rede- velopment Authority of Richfield. That said depository shall pay on demand all deposits therein; and shall pay all time deposits, at or after the end of the period for which the same shall be deposited, on demand. BE IT FURTHER RESOLVED, that there shall be maintained a general account in which shall be deposited all monies. Checks on this ac- count shall be signed by the following officers or their facsimile signatures:. Thomas E. Harms, Chairman Karl Nollenberger, Executive Director BE IT FURTHER RESOLVED, that there shall be a daily interest savings account. All withdrawals from said account will be for transfers to the general checking account. BE IT FURTHER RESOLVED, that the collateral in the amount of $600,000 deposited for safekeeping at the Marquette National Bank of Minneapolis, is hereby approved. Passed by the Housing and Redevelopment Authority of Richfield this 19th day of January, 1981. Thomas E. Harms, Chairman ATTEST: Secretary