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HomeMy WebLinkAbout1999 01-19 HCM MINUTES OF THE PROCEEDINGS OF THE HOUSING COMMISSION OF THE CITY OF BROOKLYN CENTER IN THE COUNTY OF HENNEPIN AND STATE OF MINNESOTA REGULAR SESSION JANUARY 19, 1999 621 BELLVUE LANE (EDA MODEL HOME) CALL TO ORDER The Brooklyn Center Housing Commission was called to order by Vice Chairperson Ernie Erickson at 7:00 p.m. ROLL CALL Vice Chairperson Ernie Erickson, Commissioners James Lano, Muhammed Okoya Lawal, Lloyd Deuel, Michael VonDeLinde, and Donald Arm. Also present were Buffy Mobroten, Broker for the Bellvue Lane project and Tom Bublitz, Community Development Specialist. Chairperson Robert Torres and Commissioner Mark Yelich were absent and excused from the meeting. Commissioner Christopher Russell was also absent from the meeting. Council Liaison Ed Nelson was also absent from the meeting. APPROVAL OF AGENDA There was a motion by Commissioner Deuel and seconded by Commissioner Arm to approve the agenda as submitted. The motion passed. APPROVAL OF MINUTES NOVEMBER 17, 1998 There was a motion by Commissioner Deuel and seconded by Commissioner Arm to approve the minutes of the November 17, 1998 Housing Commission meeting as submitted. The motion passed. TOUR OF MODEL HOMES AT 621 AND 701 BELL VUE LANE Buffy Mobroten, representing Coldwell Banker Burnet as listing agent for the Bellvue Lane project, reviewed her background for commission members. She explained that in 1989 she was a broker for a home builder and was asked to become a manager for Coldwell Banker. She explained she has been with Coldwell Banker, now Coldwell Banker Burnet, for 6 1 /2 years. She explained her job as manager started with 29 agents and she increased the agency to 80 agents while increasing the sales volume from $30 million a year to $150 million per year. At that time she noted she also brought in 18 builders to Coldwell Banker. Ms. Mobroten also explained that she teaches new home sales as part of licensing courses for agents and that she works with a variety of builders including homes up to the $300,000 to $400,000 price range. 1 -19 -99 -1- Ms. Mobroten informed commission members that according to her calculations, 53 families moved out of Brooklyn Center in 1998 due to the lack of move up housing in the City. She explained this project meets that need for move up housing and explained that the base models i provide all the needed features needed to move in except appliances. She explained the base price of the rambler model the commission members are meeting in is $142,900 with a price increase scheduled for February 1st which will bring it to $147,900 base price. The specific ramble model contains a number of additional options including low E windows, fire place with a marble surround, air to air exchanger with continuous circulation, air conditioning, whirlpool tub and ceramic tile bathrooms, 3/4" tongue and groove oak floors and a security system. She pointed out that with all the options, the rambler the commission is meeting in this evening is priced at $159,500. She also noted that the basement in the rambler can accommodate two 15' x 11' bedrooms since there are two egress windows in the basement. Ms. Mobroten discussed the sales process with commission members noting that buyers can execute a 14 day lot hold agreement which must move to a purchase agreement within 14 days. The financial qualifying for buyers is provided by Norwest Banks. Ms. Mobroten continued to review the sales process and noted that most sales of homes in the Bellvue Lane project are from buyers within a one mile radius of the project with approximately half of the homes being purchased by current residents of Minneapolis and the other half being purchased by current residents of Brooklyn Center. Ms. Mobroten then reviewed the packet of information regarding the Bellvue Lane project, which has been sent to all brokers in Brooklyn Center and Brooklyn Park. She noted the packet had been sent to agency managers in both cities. Ms. Mobroten then reviewed briefly the protective covenants which had been put in place for the Bellvue Lane project noting that some of the requirements including parking of recreational vehicles and placement of television satellites are somewhat more restrictive than the City code. She noted that the residents have been very positive with regard to the protective covenant restrictions on the development. Vice Chairperson Erickson inquired as to the age group purchasing the homes. Ms. Mobroten replied that the age group is extremely wide with buyers in their 20's, 30's, 40's, 50's and even persons that are e retired purchasing homes Bellvue Lane. Commission members discussed the goals of the project which was to clear the area of certain blighted housing and to provide move u housing in the City. The commission P g tY members also continued their informal tour of the model home. ELECTION OF CHAIRPERSON FOR 1999 Vice Chairperson Erickson noted that Chairperson Torres was unable to be at this evenings meeting and he recommended that this item be deferred to the February meeting. There was a general consensus of commission members to defer election of the Chairperson for 1999 to the February Housing Commission meeting. 1 -19 -99 -2- r UPDATE ON COUNCIL ACTION ON TIME OF SALE ORDINANCE AT JANUARY Il, 1999 CITY COUNCIL MEETING Vice Chairperson Erickson noted that at the January 11, 1999 City Council meeting the Council voted unanimously to take no action on the Time of Sale Ordinance. He stated that the Housing Commission initiated the Time of Sale idea 2' /z to 3 years ago and took it to the Council at a number of joint meetings with the City Council and at these joint meetings the Housing Commission was encouraged to proceed with their work on the ordinance. He further stated that he believes the Housing Commission was ill- served by the City Council's actions and that he was embarrassed by the outcome of the vote. He added that he believes the Commission should also have had more advance notice of the staff's recommendations on the ordinance. Vice Chairperson Erickson then briefly reviewed the recent history of the Time of Sale ordinance and noted that on May 26, 1998 the City Council passed the Time of Sale for first reading and it was published for public hearing. He noted the public hearing was then held and the ordinance was then sent back to the Housing Commission for additional revisions. He noted that at this time the Minneapolis Area Association of Realtors changed their policy on Time of Sale ordinances which had previously expressed support for the Time of Sale ordinance. He commented that the realtors produced data with regard to the increasing occurrences of buyer inspections but they did not fully disclose their data. Ms. Mobroten commented that as a realtor she believed the inspection program could help the seller in that it provides information before an offer is made. She noted a buyer inspection may not provide a forum to negotiate the price. Commissioner Arm stated he felt the ordinance would have helped first time home buyers. Commissioner Deuel stated that the ordinance was supposed to have been completed two years ago and then the start date was changed to 1999. He also commented on the realtors group and their change in position on the Time of Sale ordinances. Commissioner Deuel expressed concern about the process that was used to consider the ordinance especially with the ordinance being considered by the new Council in January given the previous joint meeting with the City Council and Housing Commission. Vice Chairperson Erickson stated that one specific thing he objected to at the January 11th meeting was at the end of the meeting, where one individual spoke to the Council and referenced the "moment of silence" stating that it provided a "divine intervention" to allow the Council to vote down the ordinance. Vice Chairperson Erickson also pointed out that the Housing Commission promoted the ordinance on an idea that it would upgrade the housing stock in the community and that he was very disappointed in the overall process. ELECTION OF CHAIRPERSON FOR 1999 There was a motion by Commissioner Deuel and seconded by Commissioner VonDeLinde 1 -19 -99 -3- to lay over the election of a chairperson until the February Housing Commission meeting. The motion passed. U Vice Chairperson Erickson stated he would be absent from the February meeting. OTHER BUSINESS There was no other business considered by the Housing Commission. ADJOURNMENT There was a motion by Commissioner Arm and seconded by Commissioner VonDeLinde to adjourn the meeting. The motion passed. The Brooklyn Center Housing Commission adjourned at 9:10 p.m. I Chairperson 1 -19 -99 -4-