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HomeMy WebLinkAbout2019 03-11 EDAPE conomic Development Authority City Hall Council Chambers March 11, 2019 AGE NDA 1.Call to Order The City Council requests that attendees turn off cell phones and pagers during the meeting. A copy of the full C ity Counc il packet, including E D A (E conomic Development Authority ), is available to the public. The packet ring binder is located at the entrance of the council chambers. 2.Roll Call 3.Approval of Consent Agenda The following items are considered to be routine by the Economic Development Authority (E D A) and will been acted by one motion. There will be no separate disc ussion of these items unless a Commissioner so requests, in whic h event the item will be removed from the c onsent agenda and considered at the end of Commission Consideration I tems. a.Approval of Minutes - Motion to approve minutes from the February 11, 2019 EDA meeting 4.Commission Consideration Items a.Resolution A pproving the A cquisition of Certain P roperty L ocated at: 3606 61st Avenue North, Brooklyn Center, MN - Motion to adopt a resolution approving the acquisition of certain property located at 3606 61st Avenue North, Brooklyn Center, MN. b.Resolution A pproving and Authorizing the Execution of a L etter of I ntent to Sell the P roperty L ocated at 1601 J ames Circle - Consider a resolution approving and authorizing the execution of a letter of intent to sell the property located at 1601 James Circle North. 5.Adjournment ED A ITEM MEMOR ANDUM DAT E:3/11/2019 TO :C urt Boganey, C ity Manager T HR O UG H:Dr. R eggie Edwards , Deputy C ity Manager F R O M:Barb S uciu, C ity C lerk S UBJ EC T:Approval of Minutes Background: S trategic Priorities and Values: O perational Exc ellenc e 02/11/19 -1- DRAFT 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 FEBRUARY 11, 2019 CITY HALL – COUNCIL CHAMBERS 1. CALL TO ORDER The Brooklyn Center Economic Development Authority (EDA) met in Regular Session called to order by President Mike Elliott at 9:02 p.m. 1a. APPROVAL OF MINUTES Commissioner Lawrence-Anderson moved and Commissioner Butler seconded to approve the Agenda and Consent Agenda, and the following item was approved: 1. January 14, 2019 – Regular Session Motion passed unanimously. 2. ROLL CALL President Mike Elliott and Commissioners Marquita Butler, April Graves, Kris Lawrence- Anderson, and Dan Ryan. Also present were City Manager Curt Boganey, Deputy City Manager Reggie Edwards, Community Development Director Meg Beekman, Business and Work Force Development Specialist Brett Angell, City Attorney Troy Gilchrist, and Mary Mullen, TimeSaver Off Site Secretarial, Inc. 3. APPROVAL OF CONSENT AGENDA Commissioner Graves moved and Commissioner Butler seconded to approve the Consent Agenda. Motion passed unanimously. 4. COMMISSION CONSIDERATION ITEMS 4a. RESOLUTION NO. 2019-03 TERMINATING A PRELIMINARY DEVELOPMENT AGREEMENT WITH THOR LIVING, LLC, AND APPROVING A PRELIMINARY DEVELOPMENT AGREEMENT WITH COALITION DEVELOPMENT, LLC 02/11/19 -2- DRAFT Community Development Director Meg Beekman reviewed a request for termination of a development agreement with Thor Living, to be assumed by Coalition Development LLC. She stated the three subject parcels, project proposal, and financing estimates remain the same. She added the City is in negotiations with an adjacent property owner for potential purchase of that property which would change the development proposal. Ms. Beekman stated City Staff recommends approval of Resolution 2019-03 terminating the Preliminary Development Agreement with Thor Living. Commissioner Lawrence-Anderson requested clarification regarding Thor Living. Ms. Beekman stated Thor Living, a subsidiary of Thor Construction, has relinquished development rights to Coalition Development. Commissioner Ryan moved and Commissioner Lawrence-Anderson seconded to adopt RESOLUTION NO. 2019-03 Terminating a Preliminary Development Agreement with Thor Living, LLC, and Approving a Preliminary Development Agreement with Coalition Development, LLC. Motion passed unanimously. 5. ADJOURNMENT Commissioner Lawrence-Anderson moved and Commissioner Ryan seconded adjournment of the Economic Development Authority meeting at 9:12 p.m. Motion passed unanimously. ED A ITEM MEMOR ANDUM DAT E:3/11/2019 TO :C urt Boganey, C ity Manager T HR O UG H:Meg Beekman, C ommunity Development Director F R O M:Brett Angell, Bus iness and Workforce Development S pecialist S UBJ EC T:R esolution Approving the Acquis ition of C ertain P roperty Located at: 3606 61s t Avenue North, Brooklyn C enter, MN Background: 3606 61st Ave N is a single-family residential property built in 1955 with a total ac reage of 0.33. It is c urrently owned by Jesse and Teresa Moan. Dis cus s ions with the properties owners in regards to purc hasing their property originally took place in 2012. At that time, the property owners had family commitments that would make moving difficult and s tated they were not interes ted in s elling. T hen, in late fall of 2018, the property owners spoke with C ity s taff and expressed a potential interest in selling the property. S taff met with the property owners to dis cus s the s ale of the home and a purc hase agreement was reviewed and ac cepted by the owners . T he property owners have found a new home and have an ac cepted offer to purc hase the property contingent on the sale of their current home to the C ity. T he total costs to the C ity assoc iated with the ac quisition of the property is $194,000. T his amount inc ludes the purchas e pric e for the home of $190,000 and moving expenses to the homeowners of $4,000. T he purc hase agreement als o allows for the property owners to have the ability to remove items, such as applianc es , from the home as long as it does not affec t the safety or sec urity of the s tructure. Additionally, the property owners will have the ability to leave behind any unwanted items or personal property in the home. T he property owners have als o expres s ed a des ire to have the ability to continue to s tay in the home for a s hort period after the closing date to allow for the ability to rec eive the proc eeds of the sale prior to c los ing on their new home in early April. Exhibit B of the purchas e agreement outlines the parameters of allowing the property owners to c ontinue oc cupation of the property. T he C ity will hold $1,000 from the purc hase of the home in es crow. T he property owners will be able to collec t the esc row funds upon final move out, which is to be no later then May 19th, 2019. T he property owners will not be c harged a rent during this period. Upon approval of the purc hase agreement by the EDA, c los ing on the property will take place on Monday, Marc h 18th. T he EDA has already purchas ed three properties to the east between 2012 and 2016, and s ubsequently demolis hed the struc tures on eac h of the properties. R ecently the EDA entered into a preliminary development agreement with C oalition Development to c onstruc t multi-family hous ing on the EDA-owned parc els . T he property, 3606 61s t Avenue North, will be inc luded in this redevelopment projec t upon approval of the purc hase by the EDA. C oalition Development will be res ponsible for the demolition of the home. O ther s urrounding land uses to 3606 61st Avenue North include Wangs tad P ark to the Wes t, the S anc tuary s enior hous ing development to the North, and s ingle family residential homes to the S outh. Budget Issues: T I F District 3 will be used for the acquis ition of the property. S trategic Priorities and Values: Targeted R edevelopment 557965v1 CBR BR305-151 Commissioner __________ introduced the following resolution and moved its adoption: EDA RESOLUTION NO. 2019- ___ RESOLUTION APPROVING THE ACQUISTION OF CERTAIN PROPERTY LOCATED AT: 3606 61 st AVENUE NORTH, BROOKLYN CENTER, MN BE IT RESOLVED by the Board of Commissioners (“Board”) of the Economic Development Authority of Brooklyn Center, Minnesota (“Authority”) as follows: Section 1. Recitals. 1.01. The Authority is authorized pursuant to Minnesota Statutes, Sections 469.090 to 469.1081 (the “EDA Act”), to acquire and convey real property and to undertake certain activities to facilitate the development of real property by private enterprise. 1.02. To facilitate development of certain property in the City of Brooklyn Center, Minnesota (the “City”), the Authority desires to acquire a parcel (PID 34-119-21-43-0052) located at 3606 61 st Avenue North, situated in the State of Minnesota, County of Hennepin, and which is legally described as follows: Lot 4, Block 6, WANGSTAD’S BROOKLYN TERRACE. [Torrens Certificate No. 1225761] (the “Property”). 1.03. The Authority finds and determines that the acquisition of the Property is in the public interest and will further the objectives of its general plan of economic development. Section 2. Authority Approval; Further Proceedings. 2.01. The Board hereby approves the Agreement in substantially the form presented to the Board, including the acquisition of the Property by the Authority, subject to modifications that do not alter the substance of the transaction and that are approved by the President and Executive Director, provided that execution of the Agreement by those officials shall be conclusive evidence of their approval. 557965v1 CBR BR305-151 2 2.02. Authority staff and officials are authorized to take all actions necessary to perform the Authority’s obligations under the Agreement as a whole, including without limitation execution of any documents to which the Authority is a party referenced in or attached to the Agreement, and other documents necessary to convey the Property to the Authority, all as described in the Agreement. March 11, 2019 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. Sour ce s : Esr i, H ERE, G arm in, In ter map, i n cre m ent P Co rp., GEBCO, USGS, FAO,NPS, N R CA N, GeoBa s e, IGN , K adas te r N L, Ordna nce Su rve y, Esri Ja p an, M ET I,Esri C hi na (H ong Ko ng), sw is sto po, © Ope n Stree tM ap contri bu tors, and the GISUser C omm uni ty Loc atio nal Ma p: 3 60 6 61st Ave North Re sid entialLabels Ad dr esses High ways St r eets Ro ad E dge City Park s Bu ildingFootprint Pa rcels 3/3 /20 19 , 1 :03:48 PM 1 inch = 18 8 feet 3/11/2019 1 Resolution Approving the Acquisition of 3606 61st Avenue North EDA of Brooklyn Center, 3/11/2019 Brett Angell, Business and Workforce Development Specialist 3606 61st Avenue North •Single‐Family Residential Property •Existing home built in 1955 •Current Zoning: R1 Single Family •Total Acreage: 0.33 •Owners: Jesse and Teresa Moan •Neighboring Land Uses: •North: The Sanctuary Senior Living Facility •East: Vacant (EDA‐owned Properties •West: Wangstad Park •South: Single‐family residential 2 3/11/2019 2 Current Site Photograph 3 Acquisition Details •Total Acquisition Price: $194,000  •Property purchase price: $190,000 •Moving Expenses: $4,000 •Seller would be responsible for previous assessments/taxes •Sellers would have ability to take items (i.e. appliances) •Sellers would have the ability to leave unwanted items (i.e. furniture) 4 3/11/2019 3 Acquisition Details - Continued •Exhibit B – Sellers would have the ability to stay in home past closing •Establishment of a $1,000 escrow account •Allowed until May 19th, 2019 •No rent charged during this time. •If approved, closing to occur on Monday, March 18th 5 Future Property Usage •Property would be included in Coalition Development multi‐family project •City has a current PDA with Developer for 3 EDA‐owned sites to the East. •Developer would be responsible for the demolition. •Allows for the creation of additional units. 6 3/11/2019 4 EDA Action Requested •Consider a Resolution Approving the Acquisition of Certain Property  located at 3606 61st Avenue North. 7 ED A ITEM MEMOR ANDUM DAT E:3/11/2019 TO :C urt Boganey, C ity Manager T HR O UG H:Meg Beekman, C ommunity Development Director F R O M:Brett Angell, Bus iness and Workforce Development S pecialist S UBJ EC T:R esolution Approving and Authorizing the Exec ution of a Letter of Intent to S ell the P roperty Located at 1601 James C irc le Background: C R E P artners, representatives for the pros pective buyer, have s ubmitted an offer and letter of intent to purc hase property loc ated at 1601 James C ircle, whic h is c urrently owned by the Ec onomic Development Authority of Brooklyn C enter. T he potential buyer of the property is Local 292 I BEW. I BEW is the loc al electrical workers union c urrently based out of Minneapolis. I BEW is a membership-bas ed organization of electrical workers with thous ands of members. T he organization provides s ervic es to their current members as well as training and development for new members . T he property, 1601 James C ircle, is a total of 4.93 acres and is c urrently zoned C 2 and is guided as Bus iness Mixed Use in the 2040 C omprehens ive P lan. T he property has high visibility from I-94 and is neighbored by the F BI R egional O ffice, hotels, restaurants, and other s imilar us es . T his property was disc ussed at length at the F ebruary 11th EDA/C ounc il Worksession. T he property is located within the federally designated O pportunity Zone. T he buyer has indicated that they do not antic ipate s eeking O pportunity Zone funding for this projec t. T he offer for the property is for a purc hase price of $1,007,754 cash (no financ ing), which is approximately $4.69 per square foot, for an offic e and private event/meeting s pace. T he offer is below the as s es s ed land market value for all of the s urrounding properties on a pric e per s quare foot bas es . T he neighboring properties range between $6.15 per s quare foot to $8.52 per square foot. S taff believes the value of this property falls in the range of $8.00 to $8.15 per s quare foot. T he letter of intent also indicates that the City would be responsible for obtaining a P hase I environmental assessment on the property, and covering the commission on the sale for the buyer's broker at a cost of $30,232. T he purchas er has stated that they will explore additional public s ubsidy, such as tax increment financing, but has not been determined if it will be pursued at this point. T he intended development for this offer would be to cons truct a s ingle story office building of approximately 21,000 square feet surrounded by approximately 220 to 230 parking spac es . C onceptual layout drawings for the site are attached. T his use is c onsistent with the current zoning and future land us e guidance of the property. T he purchas er of the property would be the sole user of the s pace. T he building would inc lude offices for 16 full-time employees with 2 additional s paces for projec t s taff inc reas es . All of the employees are currently employed by the buyer and would be relocated from the Minneapolis office. An additional 10-15 workers would be moved into this location after 2023. Monthly meetings and occ as ional events through out the year would take place with the total number of attendees per event ranging from 100-300 attendees . T he facility would also be open to potentially hosting meetings and events for outside groups such as, boy sc outs , other non-profits , and other similar organizations . A preliminary design of the interior and exterior of the building is attac hed for review. T he organization is a s tatewide non-profit with a large membership base. T he EDA's Attorney recommends that the EDA take an ac tion regarding the Letter of Intent; either to approve or deny. If the EDA ac cepts the offer and signs the Letter of Intent to sell the property, a purchas e agreement will be drafted. T he approval of a purc hase agreement would be acc ompanied with a public hearing at a future EDA meeting. O ptions Acc ept the Letter of Intent (Adopt the R esolution) Deny the Letter of Intent and not move forward (Deny the R es olution) Deny the Letter of Intent and direct staff to renegotiate the terms (Deny the R esolution and direc t s taff to renegotiate) Budget Issues: T here are no budgetary issues to c onsider at this time. S trategic Priorities and Values: Targeted R edevelopment 558003v1 CBR BR305-155 Commissioner introduced the following resolution and moved its adoption: EDA RESOLUTION NO. 2019-___________ RESOLUTION APPROVING AND AUTHORIZING THE EXECUTION OF A LETTER OF INTENT TO SELL THE PROPERTY LOCATED AT 1601 JAMES CIRCLE WHEREAS, the Economic Development Authority of the City of Brooklyn Center, Minnesota (“EDA”) is authorized pursuant to Minnesota Statutes, Sections 469.090 to 469.1081 to acquire and convey real property and to undertake certain activities to facilitate the development of real property by private enterprise; and WHEREAS, the EDA has been approached by a potential purchaser, (“Purchaser”) interested in purchasing the property the EDA owns at 1601 James Circle, consisting of approximately 4.93 acres (the “Property”) for the purposes of constructing a 25,000 square foot office building; and WHEREAS, the Purchaser is proposing to enter into a letter of intent (“LOI”), which is incorporated herein by reference, with the EDA proposing to sell the Property on terms that include the following: 1. A purchase price of five hundred thousand dollars ($1,007,754.00) cash, including earnest money of $10,000.00; 2. A one hundred and twenty (120) day feasibility period during which the Purchaser is to determine whether development of the Property as the Purchaser proposes is feasible (“Due Diligence Period”); 3. A closing date of fifteen (15) days after Due Diligence Period has ended, which can be extended up to forty-five (45) days if elected by Buyer to resolve title and survey issues, if any; 4. An exclusive negotiating period in which to negotiate and execute a contract of sale, and during which the EDA will not market or negotiate the sale of the Property to others; 5. A provision indicating that the LOI and the contract of sale is fully assignable associated with the Purchaser; and 6. A provision indicating the LOI is withdrawn if not fully executed by a date certain; and WHEREAS, the EDA and Purchaser both acknowledge and agree the terms of the LOI are EDA RESOLUTION NO._______________ 2 558003v1 CBR BR305-155 not binding, that the parties will instead work to negotiate the terms of a binding purchase agreement for the sale of the Property, and that the EDA must conduct a public hearing on the proposed sale before it can approve a proposed purchase agreement. NOW, THEREFORE, BE IT RESOLVED, by the Board of Commissioners of the Economic Development Authority of Brooklyn Center, Minnesota (“Board”) as follows: 1. The Board hereby approves the LOI with the Purchaser regarding the sale of the Property. 2. The EDA President and Executive Director are authorized to execute the LOI on behalf of the EDA. 3. EDA staff and officials are authorized to negotiate the terms of a purchase agreement with the Purchaser regarding the sale of the Property and the proposed purchase price note for review and approval by the EDA after conducting a public hearing on the proposed sale. March 11, 2019 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. Mr. Brett Angell City of Brooklyn Center RE: Letter of Intent to Purchase – 1601 James Circle Dear Brett: The following is a Letter of Intent (LOI) that expresses the interests of IBEW and/or assignees to purchase the above-mentioned real property. If the following terms and conditions are suitable, we are in a position to proceed with a formal Purchase Agreement. We respectfully request a response to this Letter of Intent no later than 5:00 pm CST, Mon February 18th. LETTER OF INTENT – PURCHASE Seller: Economic Development Authority of Brooklyn Center Buyer: IBEW Local No. 292 and/or assignees Property: The real estate of approximately 4.93 acres located James Circle, Brooklyn Center , MN (Tax ID No. 3511921410021 ), Purchase Price: $1,007,754 – Cash (No Financing) Earnest money deposit is $10,000 to be deposited with Title Company. Deposit is refundable to Buyer in the event the escrow does not close, unless failure to close is the result of default by Buyer under the agreement. Closing: Fifteen (15 ) days after the D ue Diligence Period has ended . Condition: Buyer agrees to accept the premises in an “As-Is” condition, but subject to Seller’s disclosures, representations and warranties. Inspections will be assisted by Seller making disclosures, representation and warranties, which include but not limited to: condition of title, pending or historical legal actions and hazardous materials conditions. Seller’s Title: Within 5 days after executing the Purchase Agreement, Seller will deliver to Buyer a commitment for an owner’s policy of title insurance. Buyer will pay for the title policy at closing and for the cost of the commitment and any endorsements. The parties will agree to extend closing for up to forty-five (45) if elected by Buyer to resolve title and survey issues. Seller will convey fee simple marketable title to Buyer free and clear of all liens, encumbrances and other matters. Inspection Period & Contingencies: Buyer shall have On Hundred Twenty (120) days from the latter of 1) the execution of a Purchase Agreement or 2) Seller’s delivery of all documents to determine, in Buyer’s sole discretion, the suitability and feasibility of the Property for Buyer’s intended use (Due Diligence Period). Buyer’s contingencies include: 1. Title: Seller to provide legible copies of all documents, plotted easements, current ALTA surveys and preliminary commitment for title insurance. Within 15 days after executing the Purchase Agreement Seller will provide Buyer an updated ALTA survey of the property and improvements. 2. Environmental: Within 30 days after executing the Purchase Agreement Seller shall provide updated Phase I environmental reports. Any additional environmental reports, if necessary, will be the responsibility of the Seller. Any disclosure letters and/or off-site determinations from MPCA, if in Seller’s possession, shall also be provided. 3. Documents: Within 5 days after executing the Purchase Agreement, Seller to provide Buyer copies of all available documents pertaining to environmental reports, geotechnical reports, tax statements, Leases, operating agreements, notices from any governmental authorities, Permits, and other documentation in the control of Seller pertaining to the property. 4. Regulatory Approvals: Buyer, at its expense and with the cooperation of Seller, will be responsible for obtaining all regulatory approvals needed for Buyer’s intended use, at Buyer’s sole discretion. In the event the above-mentioned contingencies are not satisfied within the due diligence period to Buyer’s satisfaction, Buyer may elect to terminate the Purchase Agreement. If terminated, all earnest money shall be refunded to Buyer and neither party shall have any further obligations. Prorated/Closing Costs: Seller will pay for a title insurance commitment and Buyer will pay the insurance premium. Seller will pay transfer taxes, state deed taxes and real estate commissions. Buyer to pay recording costs for the deed. Seller to pay all recording costs to make title marketable. Escrow fees to be split 50/50. Property taxes to be paid current and prorated as of the date of closing. Any outstanding assessments to be paid by the Seller. All other items to be determined/negotiated, but generally based upon cust om and practice. Broker: CRE Partners represents Buyer and _____ represents Seller. CRE Partners shall be paid a commission at closing equal too: 3%. All commissions will be paid by Seller. Purchase Agreement: Buyer will prepare a draft of the Purchase Agreement within fifteen (15) business days of execution of the LOI, to be reviewed, negotiated in good faith and executed by the parties . Marketing: Upon execution of this LOI, Seller will remove the property from the market and move forward exclusively with Buyer on a Purchase Agreement. This letter is intended only to express the intent of the parties to sell and purchase the Property and is not to be construed as an offer to purchase or sell; it being understood that this letter is not legally binding upon either Buyer or Seller and either party has the right to terminate discussions or negotiations for any reason prior to signing the Purchase Agreement. If the terms of this summary are acceptable, please sign in the space provided below. Please call me if you have any questions or comments regarding the above. Sincerely, Eric Riemer President CRE Partners 612.730.4631 eric@creminnesota.com AGREED & ACCEPTED: SELLER AGREED & ACCEPTED: BUYER By: By: Its: Its: Date: Date: Sour ce s : Esr i, H ERE, G arm in, In ter map, i n cre m ent P Co rp., GEBCO, USGS, FAO,NPS, N R CA N, GeoBa s e, IGN , K adas te r N L, Ordna nce Su rve y, Esri Ja p an, M ET I,Esri C hi na (H ong Ko ng), sw is sto po, © Ope n Stree tM ap contri bu tors, and the GISUser C omm uni ty Loc atio nal Ma p: 1 60 1 Ja mes Circle North Re sid entialLabels High ways St r eets City Park s Pa rcels 3/3 /20 19 , 1 :09:23 PM 1 inch = 75 2 feet © 2019 M i c r o s o f t C o r p o r a t i o n © 2 0 1 9 D i g i t a l G l o b e © C N E S ( 2 0 1 9 ) D i s t r i b u t i o n A i r b u s D S © 2 0 1 9 H E R E IBEW C O N C E P T S I T E P L A N 0 2 . 1 8 . 2 0 1 9 A 123 1 4 0 ' - 0 " 7 5 ' - 0 " 6 5 ' - 0 " B C 15 0 ' - 0 " 75 ' - 0 " 75 ' - 0 " 40 ' - 0 " 20 ' - 0 " 40 ' - 0 " 1 0 ' - 0 " 1 0 ' - 0 " 1 0 ' - 0 " 1 0 ' - 0 " 1 0 ' - 0 " 20' - 0" 10' - 0" 10' - 0" 10' - 0" 10' - 0" 10' - 0" 5' - 0" 5' - 0" 10' - 0" 22' - 6" 10' - 0" 17' - 6" 10 4 S F C. O F F I C E 11 8 10 4 S F J. O F F I C E 11 9 10 4 S F J. O F F I C E 12 0 10 4 S F R. O F F I C E 12 1 16 5 S F P. O F F I C E 122 84 S F K. O F F I C E 123 84 S F D. O F F I C E 124 84 S F J. O F F I C E 125 84 S F D. O F F I C E 126 84 S F D. O F F I C E 127 3 5 ' - 0 " 1 0 ' - 0 " 1 0 ' - 0 " 1 1 ' - 0 " 2 4 ' - 0 " 15 ' - 0 " 5 ' - 0 " 9 0 ' - 0 " 2 5 ' - 0 " 2 5 ' - 0 " 33 2 4 S F BE N E F I T S OF F I C E 12 8 15 5 S F BO O K KE E P E R 12 9 14 0 S F OF F I C E MA N A G E R 13 0 14 0 S F OF F I C E 13 1 64 1 S F CO N F E R E N C E 13 2 38 4 S F ST O R A G E 13 5 44 3 S F ST O R A G E 13 6 21 3 S F ST O R A G E 13 7 92 S F OF F I C E 13 8 92 S F OF F I C E 13 9 49 S F ME N ' S 14 0 49 S F WO M E N ' S 14 1 56 6 S F FO O D P R E P 14 2 58 5 S F TA B L E / C H A I R ST O R A G E 14 3 36 6 S F CO P Y / P R I N T 14 5 97 9 S F BR E A K R O O M 14 6 25 ' - 0 " 66 ' - 6 " 36 ' - 3 " 22 ' - 3 " 32 3 1 S F FL E X S P A C E 14 7 FI L E D E S K 24 ' x 1 0 ' 49 S F UN I S E X 14 8 W A L K - I N CO O L E R S T A G E 17 5 8 S F ME D I U M F L E X 14 9 44 7 S F SM A L L F L E X 15 0 19 3 S F Ro o m 15 1 19 3 S F Ro o m 152 M O V E A B L E W A L L M O V E A B L E W A L L 80' - 0" 10' - 0" 50' - 0" 22 ' - 0 " 1 0 ' - 0 " 2 0 ' - 0 " 2 3 ' - 0 " 2 0 ' - 0 " 1 5 ' - 0 " 40 ' - 0 " 11 0 ' - 0 " 56 8 S F EN T R Y 15 3 58 6 S F LO B B Y 15 4 92 S F UT I L I T Y 15 5 92 S F SE R V E R 15 6 10 1 S F ME C H 15 7 40 S F Ro o m 158 92 S F HU D D L E 15 9 92 S F PH O N E / M T G 16 0 16 3 7 S F OP E N O F F I C E 16 1 1 5 ' - 0 " 1 4 ' - 0 " 1 0 ' - 0 " 4 ' - 0 " 2 0 ' - 0 " SCHEMATIC LAYOUT IBEW PRELIMINARY FLOOR PLAN TOTAL SF = 21,000 SF DESIGN NOTES: 1/ 1 6 " = 1 ' -0" Multi-Material Pallet 3/11/2019 1 Letter of Intent to Sell EDA- Owned Property: 1601 James Circle EDA of Brooklyn Center, 3/11/2019 Brett Angell, Business and Workforce Development Specialist 1601 James Circle •Size: 4.93 Acres (214,718 sq ft) •Zoning: C2 Commerce •Land Use Guidance: Business Mixed  Use •Current Use: Vacant •Former Use: Restaurants •Neighboring Land Uses: •Office, Hotel, Restaurant, Commercial 2 3/11/2019 2 1601 James Circle - Aerial Image 3 1601 James Circle – Additional Info •Total amount invested in the property: $2,880,160 •Purchase of Olive Garden: $1,025,295 •Purchase of Cracker Barrel: $1,825,000 •Demolition: $26,865 •Properties were re‐platted with the FBI office and combined into 1 lot. •Median land value of neighboring properties: $8.20/sf •Ranges from $6.15 to $8.52/sf based on Hennepin County assessments 4 3/11/2019 3 Offer Details •Offer Amount: $1,007,754 – Cash (No Financing) •Approximately $4.69 per square foot. •Buyer: IBEW Local No. 292: Electrical Workers Union •City would be required to obtain Phase I Environmental Assessment •City would be required to pay sale commissions ($30,232.62) •Proposed Use: Office/Private Event Space 5 Proposed Use - Details •21,000 square foot single‐story office building with approximately 237  parking stalls. •Concept Site Plan on the following slide •IBEW would be the owner/occupier of the space. •16 full‐time employees with the potential to add 10‐15 additional  employees. •Consistent with zoning and future land use guidance 6 3/11/2019 4 Concept Site Plan 7 8 Sample Floor Plan 3/11/2019 5 9 Exterior Examples EDA Action Requested •Consider a resolution approving and authorizing the execution of a  letter of intent to sell the property located at 1601 James Circle. •Options: 1. Accept the Letter of Intent (Approve the resolution) 2. Deny the LOI and not move forward (Deny the resolution) 3. Deny the LOI and direct staff to renegotiate the terms (Deny the resolution  and provide direction to staff on desired new terms) 10