HomeMy WebLinkAbout2014 03-24 EDAM Regular SessionMINUTES OF THE PROCEEDINGS OF THE
ECONOMIC DEVELOPMENT AUTHORITY
OF THE CITY OF BROOKLYN CENTER
IN THE COUNTY OF HENNEPIN AND THE
STATE OF MINNESOTA
REGULAR SESSION
MARCH 24, 2014
CITY HALL — COUNCIL CHAMBERS
1. CALL TO ORDER
The Brooklyn Center Economic Development Authority (EDA) met in Regular Session called to
order by President Tim Willson at 8:02 p.m.
2. ROLL CALL
President Tim Willson and Commissioners Carol Kleven, Kris Lawrence -Anderson, Lin
Myszkowski, and Dan Ryan. Also present were Executive Director Curt Boganey, Director of
Business and Development Gary Eitel, and Mary Mullen, TimeSaver Off Site Secretarial, Inc.
3. APPROVAL OF AGENDA AND CONSENT AGENDA
Commissioner Ryan moved and Commissioner Myszkowski seconded approval of the Agenda
and Consent Agenda, and the following item was approved:
3a. APPROVAL OF MINUTES
1. February 10, 2014 — Regular Session
Motion passed unanimously.
4. COMMISSION CONSIDERATION ITEMS
4a. RESOLUTION NO. 2014-04 APPROVING A SECOND AMENDMENT TO
DEVELOPMENT AGREEMENT (SHINGLE CREEK CROSSING PROJECT)
Executive Director Curt Boganey introduced Director of Business and Development Gary Eitel
and invited him to address the EDA. Mr. Eitel reviewed an amendment to the Shingle Creek
Crossing Project Development Agreement, which was originally approved by the EDA on May
23, 2011. He added the original agreement identified minimum improvements to be completed
by December 31, 2012.
Mr. Eitel stated the development agreement included the demolition of the existing mall and
Food Court Building, excluding the Sears store. He added the developer was required to
complete additional improvements, including the renovation of the Food Court Building, and
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obtain occupancy for at least 239,000 square feet of the buildings on Phase II Parcels by May 23,
2016.
Mr. Eitel stated the second Development Agreement amendment proposes changes to the
minimum improvements to be completed by the Developer. He added the amendment obligates
the developer, to demolish the Food Court Building and replace it with a new retail store. He
noted the amendment includes a schedule for completion of the building area replacing the Food
Court as well as the release of the second mortgage on the Kohl's Parcel.
Commissioner Ryan thanked Mr. Eitel for his presentation. He asked whether the City would
give up mortgage value with regard to the release of the second Kohl's mortgage. Mr. Eitel
confirmed this.
Commissioner Ryan stressed the importance of ensuring that the financial aspects of the
development are in the best interests of the City of Brooklyn Center. He added City staff has
been diligent in providing useful information in that regard, and he is optimistic about what has
been presented.
President Willson stated he has heard that Kohl's decided to vacate their property, as the costs of
renovation would be prohibitive. He requested that City staff work with the developer to create
momentum at the Kohl's site. He added, on a similar note, he recently saw an article that
indicated that Sears is looking for a third party vendor to run their auto centers. He added he had
provided the article to City staff.
Mr. Eitel stated it has been the City's intention to include Sears in the PUD from the very
beginning. He added City staff hopes to engage in productive discussions with Sears, which is a
positive step. He noted progress on the development site is moving forward, and City staff
remains optimistic.
President Willson agreed, adding he feels optimistic but hopes that the City can continue to
undertake other development projects, such as the Brookdale Square site, as well as the rest of
the opportunity site. Mr. Boganey stated the City is sufficiently staffed to move those projects
forward. He added he has discussed this with Mr. Eitel, and if there appears to be a need for
capacity, it will be addressed.
Mr. Boganey stated, with regard to the Kohl's property, the removal of the second mortgage is a
significant benefit of this amendment as it creates increased flexibility in terms of
redevelopment.
President Willson commended Mr. Eitel, Mr. Boganey and City staff for all of their efforts and
hard work on this issue.
Commissioner Myszkowski moved and Commissioner Kleven seconded adoption of
RESOLUTION NO. 2014-04 Approving a Second Amendment to Development Agreement
(Shingle Creek Crossing Project).
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Motion passed unanimously.
5. ADJOURNMENT
Commissioner Ryan moved and Commissioner Lawrence -Anderson seconded adjournment of
the Economic Development Authority meeting at 8:35 p.m.
Motion passed unanimously.
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STATE OF MINNESOTA)
COUNTY OF HENNEPIN) ss. Certification of Minutes
CITY OF BROOKLYN CENTER)
The undersigned, being the duly qualified and appointed Secretary of the Economic
Development Authority (EDA) of the City of Brooklyn Center, Minnesota, certifies:
1. That attached hereto is a full, true, and complete transcript of the minutes of a Regular
Session of the Economic Development Authority (EDA) of the City of Brooklyn Center
held on March 24, 2014.
2. That said meeting was held pursuant to due call and notice thereof and was duly held at
Brooklyn Center City Hall.
3. That the Economic Development Authority (EDA) adopted said minutes at its April 28,
2014, Regular Session.
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President