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Home My WebLink About2014 07-14 EDAPEDA MEETING City of Brooklyn Center July 14, 2014 AGENDA 1.Call to Order —The EDA requests that attendees turn off cell phones and pagers during the meeting. A copy of the full City Council packet, including EDA (Economic Development Authority), is available to the public. The packet ring binder is located at the front of the Council Chambers by the Secretary. 2.Roll Call 3.Approval of Agenda and Consent Agenda —The following items are considered to be routine by the Economic Development Authority (EDA) and will be enacted by one motion. There will be no separate discussion of these items unless a Commissioner so requests, in which event the item will be removed from the consent agenda and considered at the end of Commission Consideration Items. a. Approval of Minutes 1. June 9, 2014 — Regular Session 4.Commission Consideration Items a. Resolution Calling for a Public Hearing Regarding the Sale of Land (5919 Xerxes Avenue N) Requested Commission Action: —Motion to adopt resolution. 5. Adjournment EDA Agenda Item No. 3a MINUTES 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 JUNE 9, 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 8:40 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, Assistant City Manager/Director of Building and Community Standards Vickie Schleuning, City Attorney Charlie LeFevere, and Carla Wirth, TimeSaver Off Site Secretarial, Inc. 3.APPROVAL OF AGENDA AND CONSENT AGENDA Commissioner Myszkowski moved and Commissioner Ryan seconded approval of the Agenda and Consent Agenda, and the following item was approved: 3a. APPROVAL OF MINUTES 1. May 12, 2014 — Regular Session Motion passed unanimously. 4.COMMISSION CONSIDERATION ITEMS 4a. RESOLUTION NO. 2014-11 AUTHORIZING THE ACQUISITION OF PROPERTY TO FACILITATE NEIGHBORHOOD IMPROVEMENTS AND REDEVELOPMENT OPPORTUNITIES WITHIN THE 53" AVENUE CORRIDOR (902 53 RD AVENUE NORTH) Executive Director Curt Boganey introduced the item. Director of Business and Development Gary Eitel discussed the history and stated the purpose of the proposed resolution to authorize the acquisition of property at 902 53 1(1 Avenue North for a 06/09/14 -1- DRAFT purchase price of $145,000 to facilitate neighborhood improvements and redevelopment opportunities within the 53 rd Avenue Corridor. The Council discussed the acquisition and asked questions of Mr. Eitel. The Council acknowledged that this is another example of Mr. Eitel's diligence in redeveloping Brooklyn Center, which also fits into the Council's goals. Commissioner Kleven moved and Commissioner Ryan seconded to adopt RESOLUTION NO. 2014-11 Authorizing the Acquisition of Property to Facilitate Neighborhood Improvements and Redevelopment Opportunities within the 53' Avenue Corridor (902 53 1(1 Avenue North). Motion passed unanimously. 5. ADJOURNMENT Commissioner Ryan moved and Commissioner Myszkowski seconded adjournment of the Economic Development Authority meeting at 8:48 p.m. Motion passed unanimously. 06/09/14 -2- DRAFT EPA Agenda Rein No 4a EDA ITEM MEMO NDUM DATE: July 14, 2014 TO: Curt Boganey, City Manager FROM: Gary Eitel, Director of Business & Development TYL SUBJECT: Resolution Calling for a Public Hearing Regarding Sale of Land Located at 5919 Xerxes Avenue North. Recommendation: It is recommended that the Economic Development Authority consider approval/adoption of the Resolution Calling for a Public Hearing Regarding Sale of Land Located At 5919 Xerxes Avenue North. Background: On December 12, 2011, the EDA adopted Resolution No. 2011-29, Authorizing the Acquisition of Property in Connection with the Remove and Rebuild Program (5919 Xerxes Avenue North). The property was a vacant foreclosed single family residence that was in a blighted condition caused by significant water damage with extreme mold/air quality issues within the basement. The EDA acquired the property from the Federal National Mortgage Association, AKA Fannie Mae, for the listed price of $29,000 on December 29, 2011. The City's housing consultant, GMHC (Greater Metropolitan Housing Corporation) coordinated the demolition of the residence and detached garage. The Remove and Rebuild Program is funded through the Housing Fund of Tax Increment District #3. The resale of property acquired with these funds does have to meet the following affordable income qualifications: O a family of one or two cannot exceed the average household median income for the Metropolitan Area (2014 - $83,900) and •a family of 3 or more cannot exceed 115% of the Metropolitan Average Household Income ( 2014 - $95,300) Proposed Sales of 5919 Xerxes Avenue North: The property is a typical interior lot with 75 feet of frontage on Xerxes Avenue North and a lot depth of 135 feet. The 2014 assessed valuation of the adjacent properties are $123,700 to the north and $133,900 to the south and include a land value of $37,500. The City has received a purchase agreement from Dingman Construction and CITI Realty to acquire this lot for $25,000 for the purpose of constructing a 4 bedroom, 2 bath split entry home with a two car attached garage for an owner occupant that has qualified for a traditional mortgage and does not exceed the TIF 3 Housing income threshold. Alission: Ensuring all attractive, clean, safe, inclusive connnunity that enhances the quality of for all people and preserves the public trust EDA ITEM MEMO NDUM The contractor has provided the attached plans for a split entry home and construction specification to indicate the quality of the construction. Additionally, he has indicated that the offer reflects his estimate of $8,000 in soil correction and foundation work in the area of the former basement and a savings to the EDA by eliminating any real estate commissions for the lot sales. The combination of this additional expense and the EDA's savings, results in a land value comparable to that of the adjacent properties. The City Attorney has prepared the attached resolution which authorizes the setting of a public hearing for the August 11, 2014 EDA Meeting to consider the sale of this property. Should the EDA decide to proceed with the potential sales of this lot and adopt the resolution, the City Attorney will proceed with the preparation of a developer's agreement that would include the following standard provisions: 1.that the developer will build this house in accordance with those plans and specs as approved by the EDA; 2.that the developer will start construction no later than 12 months after the conveyance of the property; 3.that the developer is required to sell the home to an income-qualified purchaser; and 4.includes the Deed restriction that should the developer not commence construction within one year of the conveyance of the property, the land will come back to the EDA. Budget Issues: The proceeds from this land sale are considered Tax Increment Revenues and will be placed back into the TIF 3 Housing Fund. Strategic Priorities: 0 Vibrant Neighborhoods Mission: Ensuring an attractive, clean, safe, inclusive community that enhances the quality of life for people and preserves the public (just Commissioner introduced the following resolution and moved its adoption: EDA RESOLUTION NO. RESOLUTION CALLING FOR A PUBLIC HEARING REGARDING SALE OF LAND LOCATED AT 5919 XERXES AVENUE NORTH BE IT RESOLVED by the Board of Commissioners (the "Board") of the Brooklyn Center Economic Development Authority, Minnesota (the "EDA"), as follows: Section 1. Public Hearing. This Board shall meet on August 11, 2014, at approximately 7:00 P.M., to hold a public hearing on the proposal of the Economic Development Authority of the City of Brooklyn Center, Minnesota on Sale of Land, pursuant to Minnesota Statutes, Section 469.105. Section 2. Notice of Public Hearing, Filing of Plans. EDA and consultants are directed and authorized to prepare the necessary documents and the EDA Secretary is authorized and directed to cause notice of the hearing in substantially the form attached as Exhibit A hereto, to be published at least once in the official newspaper of the City not less than 10, nor more than 20, days prior to August 11, 2014. July 14, 2014 Date President The motion for the adoption of the foregoing resolution was duly seconded by Commissioner and upon vote being taken thereon, the following voted in favor thereof: and the following voted against the same: whereupon said resolution was declared duly passed and adopted. NOTICE OF PUBLIC HEARING REGARDING LAND SALE NOTICE IS HEREBY GIVEN that the Board of Commissioners of the Brooklyn Center Economic Development Authority (the "EDA") will meet at City Hall at 6301 Shingle Creek Pkwy, Brooklyn Center, Minnesota (the "City") at or after 7:30 p.m. on Monday, August 11, 2014 to conduct a public hearing on the proposed sale of certain real property ("Property") located in the City to Dingman Construction, Inc. The Property is located at 5919 Xerxes Avenue North, Lot 6, Block 9 Hipp's 3rd Addition, in the City. The EDA will meet at the public hearing to determine if the sale is advisable. A copy of the terms and conditions of the proposed sale of the Property will be on file and available for inspection at City Hall during regular business hours. Any person wishing to express an opinion on the matters to be considered at the public hearing will be heard orally or in writing. VIVO OROOKEYN CENTER Cilty Bvookilvra Cantu 59135 5590 6912 5924 5526 5312 6948 5301 6307 5919 5513 5925 5331 5937 59(9 6943 COM AVE N 6918 6949 594'2 5943 6935 5937 6930 5931 5524 6925 5918 5912 5413 5560 6997 5250 5501 53T Fl AVE N 6548 5549 5942 5413 6936 5957 2910 59131 5024 6925 5918 5319 5912 5913 6966 5997 6350 55'31 5948 5949 5912 5943 5526 5937 5930 6931 5924 5925 6918 5919 6912 2,913 5953 6997 EVA 6301 5-q50 5996 6942 64-la 22 22 22 5842 6835 6841 5842 5841 6612 4.913 6882 5843 583 5615 7836 61337 ttrA 0637 5842 5338 6801 5454 .3,-.1..3351 Are \ 15- Ca034351(21 LOGS 615 8335 AbRrietvo PD 0311Q21110116 S919 Xerxes Awe bk9 larookhyn Center, livdM 55430 243(3 July 8, 2014 f8811bf2a3104c57bb2ff90f16011fc8 Addresses Brooklyn Center Public Buildings : Parcels Highway County City Ramp —Private Hydrology City Parks ▪Red: Band _1 1:1,682 Green: Band2= Blue: Bancl_3 World Shaded Relief O 0.0175 0.035 O 0.03 0.06 Copyright@ 2014 Esri Hennepin County eLoGis 2013 0.07 mi 0.12 km rz!= w E 00 00 00 rd 00 °00 Lñ r-- krer Z-2 5 i - ---i- - -- 1 111 I I1 „ sz 2 o -s;z ce.30 _4.1)."-,1 2a ta bA,E‘r)O-..ko.:,oD,»Y... - I-, Ito 4,4,mitutemiA istk-wm•Ezkilitittel0 ,it 1 111WW—WIdTSMA Date: 3/20/2014 Buyers: Brian & Karen Anderson Address: Brooklyn Center, MN Legal: TBD Brian & Karen, Thank you for the opportunity to present this estimate for your new home. Please let us know if you have any questions. This estimate is based on our Plan Number: 213179 Style: Split Entry The base price is: $189,262.00 (Price does include the lot above) Price Includes all of the below items as well as ALL necessary permits and Final, Professional cleaning prior to closing. 844 Main Floor Finished square feet 844 Lower level square feet (approx.) 1,688 Total Finished square feet The following Allowances are included: *ALL Allowances include the Builder Discount* Light Fixtures: $1,000.00 Flooring (Carpet/Vinyl): $17.00/sq ft Landscape: $4,000.00 11660 Theatre Drive N., Suite 260 0 Champlin, MN 55316 0 Phone 763.323.1727 www.dingmanconstruction.com MN Builder License #BC092377 Home Features Bedrooms: 4 Bathrooms: 2 Main Bath: Custom Vanity: Single Bowl Vanity Top: Cultured Marble Fiberglass bath bay Flooring: Vinyl Lower level Bath: Custom vanity: Single bowl Vanity top: Cultured Marble Fiberglass bath bay Flooring: Vinyl Laundry Room: Location: Main Floor Laundry tub Washer & Dryer Hook-ups Ceilings: Finishing: Textured Main floor Height: 8' with vault Lower level Height: 8' Exterior Features Foundation: Concrete block foundation with special drain tile system Watch Dog water proofing Warranty Sidewalks: 4' curved sidewalks Siding: Front: Vinyl Sides & Rear: Vinyl Soffits & Fascia: Aluminum Roof: 30 Year Tamco shingles Roof Pitch per plan Gable roof Windows: Simonton Vinyl single hung windows Color: White .31 U value 11660 Theatre Drive N., Suite 260 e Champlin, MN 55316 0 Phone 763.323.1727 www.dingmanconstruction.com MN Builder License #BC092377 Garage: Stalls: 2 Sheetrocked and fire taped: Firewall Door Size: Double Door: 16x8 Driveway: Asphalt Insulation R-19 Wall Insulation R-44 Attic Insulation Spray Foam at all rim joists Lumber and Sheetrock Specs Kiln Dried Lumber 2x6 Exterior walls 16" on center stud grade 2x4 Interior walls 16" on center stud grade Engineered Roof Trusses L/480 design 15/32 Oriented strand board Exterior Sheathing 15/32 Oriented strand board Roof Sheathing 3/4" Tongue and Groove Sub Floor 1/2 " Sheetrock on walls 5/8"Sheetrock on ceilings Solid wood closet shelving Plumbing 40 gallon Electric water heater Sump Pump plumbed to outside Passive radon mitigation Water softener loop Heating & Air Conditioning 90% efficient Rheem natural gas furnace Gas line to all applicable appliances Electrical Electrical layout with the electrician Home wired to code Walk thru with electrician prior to install 150 amp service Combination of 4 cable or phone jacks Electrical to all applicable appliances Hard wired smoke detectors with battery back-ups 11660 Theatre Drive N., Suite 260 e Champlin, MN 55316 e Phone 763.323.1727 www.dingmanconstruction.conn MN Builder License #BC092377 Custom Finishes All trim work finished on site All cabinets finished on site Trim package: Poplar Stained Masonite interior doors Cabinets Custom kitchen and cabinet design meeting Custom built stained cabinets: Maple Laminate kitchen tops Full length custom bath mirrors Door Locks Quickset Titan Series Paint Interior: 2 coats flat based paint brushed and rolled (1 color) Exterior: Painted as required Notes Allowances: An amount of money set aside for a particular item(s). If the total amount spent is less than the allowance, the buyer will receive a credit for the difference. If the total amount spent is higher than the allowance, the buyer will be charged the difference. Materials may be substituted from time to time for materials of equal or greater value and quality. All the above specifications are subject to change Dale Dingman, Date Buyer Date Dingman Custom Homes Buyer Date 11660 Theatre Drive N., Suite 260 0 Champlin, MN 55316 0 Phone 763.323.1727 www.dingmanconstruction.com MN Builder License #BC092377