07-15-19854 HOUSING AND REDEVELOPMENT AUTHORITY
CITY OF RICHFIELD, MINNESOTA
JULY 15, 1985
COMMISSIONERS PRESENT: Thomas Harms, Chairman; Joan Helmberger;
Vern Luettinger; and, Don Hassenstab
(arrived at 8:55 p.m.) _
STAFF PRESENT: John Cartwright, City Manager; Steve
Devieh, Administrative Services
Director; Bruce Palmborg, Housing and
Redevelopment Coordinator; and, Clayton
LeFevere, City Attorney
ALSO PRESENT: Michael Oreek and Bernard Herman
The meeting wa.s called to order at 7:35 p.m.
AP A
M/Luettinger, S/Helmberger to approve the minutes of the
'June 17, 19851 Regular _meetin _ any t _e _July_ 1_,_ 19 _ ., ~oin it
oC~'un`c`i~~T~I tf1~ mee~in~ as presente .
Motion carried.3-0.
Item ~~1 P 0 RA ANY
MATTER NOT APPEARING ON THE AGENDA
No one wished to speak.
Item ~~2 PU LI I EGARD G SAL 0 P OP R IE A 920-
924 WEST 66TH STREET AND EXECUTION OF REPLATTING
DOCUMENTS.. HRA LETTER N0. 35.
Executive Director Cartwright reviewed HRA Letter No. 35,
regarding the Public Hearing and review of plan and townhouse
documents relating to the sale of City/HRA properties at 920 and
924 West 66th Street. The Executive Director reported on the
mortgage financing package and indicated that the two identified
purchasers met the Minnesota Housing Finance Agency program and
income requirements.
There was a discussion regarding eligibility requirements
for pros~eetive buyers. The Executive Director addressed the
issue of program eligibility and confirmed that Richfield
residency was not an eligibility requirement.
Betty~Carr, 6633 Lynwood Ave. So., indicated her enthusiasm
for the project and commended the HRA for their progress in this
matter.
M/Luettinger, S/Helmberger to close the public hearing.
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Motion carried 3-0.
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MlHelmberger, S/Luettinger to adopt Resolution. No. 263 A
authorizing ,the following actions:
- The sale of ropert located at 920 and 924 West 66th ,_
tree aacor ing o the con tens contained in RA
Letter No '"`
• 35.
- The HRA Chairman and Executive Director to execute the
p at o Rae 2n Addit on.
The HRA Chairman and Executive Director to execute the
Articles-o Incorporation B aws and Dee aration o
ovenants or to t e Rae r ve omeowners Associa ion in
connection w the h .Street an ae r ve Deve opmen
oro_ ect.
- The HRA Chairman Executive Director and staff members
ruse or quis an areia Hale to serve on e a o the
HRA _as mem ers o e omeowners A`-' ss`o 'a'~'t o
Motion carried 3-0.
Item ~~3 P L AR G RE A DING A A E D N 0 XHIBI H
THE DEVELOPER'S AGREEMENT FOR THE SALE OF LAND TO
MARKET PLAZA CORPORATION. HRA LETTER N0. 36.
....,
Executive Director Cartwright reviewed HRA Letter No. 36, __
regarding an amendment to Exhibit H of the Developers Agreement
for the sale of land for private development with Market Plaza
Corporation. Mr. Cartwright described the proposed changes to
the agreement and to Exhibit H of the developers agreement.
Commissioner Luettinger said that additional modifications
regarding off-street loading and a 3~ retaining wall to be
placed on the east side of the Market Plaza Building should be
made a part of the amendments to Exhibit H.
Dick Krier, Market Plaza Corporation, indicated that he
would prefer that an off-street loading area not be made a part
of Exhibit H. He proposed a stipulation to the developers
agreement which would provide that the off-street loading area
would be constructed at the developers cost in the future if it
is determined by the City to be necessary.
Commissioners discussed the various loading zone options
available under the current plan.
Larry Wozniezka, 674 Wentworth Ave., stated that he wished
to see 65th Street maintained for four lanes of traffic at. all
times. _.
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Clayton LeFevere,
incorporated into the
the developer to eons
southside of 65th St.
structure if directed
HRA Attorney, suggested that language be
developers agreement which would require
tru.et an off-street loading lane off the
near the main entrance to the apartment
by the City.
M/Luettinger, S/Helmberger to close the hearing.
Motion carried 3-0.
M/Luettinger, S/Helmberger that the HRA a rove the
modifications to Exhibit H as ind sated n RA .Letter o. 36
w th the add sti ulatons for the construetian of a 31
retain ng wall on the east si e o t e ar e P aza u lding
and a stipu_at on o t e deve opers a reemen requiring t o
developer to construct an~of~-street ding area o the south
side .of the t S riveway rid _-o _-way _i _ _ _irecte __y t e
City.
Motion carried 3-0.
Item 4~5 D 0 A 0 DA O Q A A
LOT AT 6941-45 PENN AVENUE FOR HOUSING DEVELOPMENT.
HRA LETTER N0. 38.
Executive Director Cartwright reviewed HRA Letter No. 38,
regarding consideration of a recommendation to acquire the
vacant lot at 6941-45 Penn Avenue South for housing development.
The Executive Director reported that the price asked far the
property by Hennepin County is greater than was originally
anticipated. He further recommended that purchase of the
property for $24,000 be funded by the HRA Capital Fund, and that
the purchase amount subsequently be reimbursed to the fund from
the anticipated tax increment generated by the housing
development.
Chairman Harms and Commissioner Luettinger indicated a
reluctance to invest HRA funds for this project at this time,
stating that the site could potentially be developed by a
private developer.
There was no motion on this matter.
Item ~~6 ,CONSID RATION 0 A RA S A REPORT N PROC 0
BE USED TO REPORT ON THE PERFORMANCE OF THE LIH/N TAX
INCREMENT FINANCING DISTRICT. HRA LETTER N0. 39•
HRA Coordinator Bruce Palmborg reviewed HRA Leter No. 39,
concerning the staff report on the performance of the L/H/N Tax
Increment Financing District. Mr. Palmborg described the report
format, and stated that the scope of the report has been
expanded significantly since its inception. He added that the
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final results, which will be forthcoming in September, will be a
thorough performance evaluation of the L/H/N project from its
beginning in 1975 to the present. He concluded by indicating
that the timeliness of such an analysis will be of value as the
City approaches a new development in the ILN area.
Commissioner Luettinger requested that the total City
investment amount and project duration be reported for each
project.
Larry Wozniczka, 6744 Wentworth, stated that the final
report be presented in an open meeting of citizens. He further
requested that a comparison of the non-tax increment finance
business districts be compared to the tax increment business
district.
The Executive Director responded that the meeting with the
final report would be open to the public, and that total costs
for each project, along with considerable other financial data,
would be included in the report.
Item ~~7 D R 0 0 A UAL L D S LOSURE A T
FOR THE FISCAL YEAR ENDING DECEMBER 31, 1984. HRA
LETTER N0. 40.
Executive Director Cartwright reviewed HRA Letter No. 40,
highlighting the annual disclosure statement for the LHN tax
increment district for the year ending December 31, 1984.
The HRA received the report.
Item ~8 APPRO AL 0 LAI SAD PAYROLL 0 P IOD JU E 13,
1985, TO JULY 11, 1985•
M/Luettinger, S/Helmberger to approve the claims and
payrolls. '
Motion carried 3-0.
Item ~~9 0 D R ION 0 POR S RO RA O M SS 0 RS,
EXECUTIVE DIRECTOR AND LEGAL COUNSEL.
. - . - .__._r._~__.
9A. ,Executive Director Cartright reported that the $5.9
million development bonds with a fixed rate had been sold
recently for the permanent financing of the Market Plaza
commercial component. .
9B. The Executive Director reviewed a summary of the
Minnesota omnibus tax bill concerning IDB eligibility. Mr.
Cartwright indicated that under the new proposal, effective in
1986, the City of~Richfield would no longer be an entitlement
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city for IDB bonds, but rather would have to participate in the
pool.
(Commissioner Hassenstab arrived at 8:55 p.m.)
9C. Executive Director Cartwright reported that the
progress an the development of the Cedar Liquor Store site has
been temporarily stalled pending negotiations by Lincoln
Properties for additional properties in the area.
gD. There was discussion regarding the proposed Megamall
Met stadium project, and potential effects upon the City of
Richfield.
gE. Commissioner Hassenstab raised a question .regarding
approval of the alternate brick to be used for Wriodlake Point.
Executive Director Cartwright reported that the developer
received City Council approval for the more expensive brick.
Item ~~4 L P P P AL OR
THE PROPERTY (OPDAL BLOGK) AT 6401-35•LYNDALE AVENUE
(L/H/N AREA). HRA LETTER. N0. 37.
(This item was deferred until after 8:30 p.m. to aceomodate
the developer). •
Bernard Herman, architect for the proposed developer of the
Opdal block, reviewed a concept proposal for the property at
b401-35 Lyndale Avenue South in the LIHIN area. Mr. Herman
indicated that the structure at the corner of 64th and Lyndale
would be retained and expanded. He also stated that the large
building which currently exists vn the block would be upgraded
with new store fronts and a mansard roof. A small shed
• structure behind the large building would be removed and a
parking lot renovated to permit parking for 80 cars. In
addition, a pedestrian arcade would be construeted.to permit
pedestrians tv walk from the rear parking lot to the Lyndale
street frontage. Both buildings in the project would be fully
sprinklered.
There was a diseussion-eoneerning the structural integrity
of the buildings and of any potential problems with meeting all
City Cvde requirements. .
Commissioner Hassenstab questioned Mr. Oreck regarding his
experience in this type of development.
Mr. Oreck, Project Developer, indicated that he has
redeveloped properties in Minneapolis and St. Louis Park, though
not as large scale as proposed here. '
The HRA Commissioners urged the developer tv work with
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neighboring residents in redeveloping the site, especially with
respect to the vacated alley at the rear of the proposed project.
Mr. Oreck indicated that if some type of financial
assistance is not granted by the City, the pro~eat would still
proceed, but perhaps at a slower rate, or the development may be
staged .
There was no action on this matter.
TDJO RI ~ '~
The meeting was adjourned by unanimous consent at 9:35 P•m•
Date Approved• 8/19185
homas P. Ferber ~ City Clerk '
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