80-03 ATTO R N rYS AT LAW
IgOO FIRST BANK' PLACE WlreT
RUalrLL H. LAFleC)N
MINNE, APOLIS, MINNIr$OTA 5~,~O:= 'r~I.""PHONr
CRAIQ ~' 14wRTZ (eli) 33B-IBeB
o. =o..,,. December 4, 1980
HARVlr¥ i-. eKAAR
MARK C:. MCCUI. LOU~H
Executive Director (
Housing and Redevelopment Authority
Chanhassen MN 55317 '
le. aRA aevised
15% land cost credit policy formulated by the HRA Bn No%ember 20,
1980. This revised draft has been approve~ by bond counsel and,
therefore, replaces the draft sent to you on December 1st.
As you will note, we have included criteria which are to be
applied in the implementation of the policy, and have also,
Section 3.01(e), covered those businesses which require and
qualif, y for an increase in the land cost credit.
H
Chanhassen City Attorney
under
RHL:ner
enc
CITY OF CHANHASSEN
HOUSING AND REDEVELOPMENT AUTHORITY
RHL/12-4-80
Dated
Motion-bY Commissioner
Resolution No. ~0--3
Seconded by Commissioner.
RESOLUTION APPROVING RELOCATION LAND COST CREDIT POLICY
BE IT RESOLVED, by the Housing and Redevelopment Authority
of th~ City of Chanhassen, Minnesota, as follows:
SECTION 1.
RECITALS
1.01 The HRA has been advised that certain property owners and
businesses presently located within the Downtown Redevelopment District which
are to be displaced by implementation of the project as it relates to
the Ring Road construction and core area redevelopment (Core Area Project)
have stated a desire to relocate their businesses within the Downtown
Redevelopment District of the City.
1.02 It is the considered judgment of the HRA that a significant
public purpose would be served if displaced businesses would relocate
within the Downtown Redevelopment District and that substantial benefits
would accrue thereby to the public and the City in the following manner:
ae
Increase in the real estate tax base of the Downtown
Redevelopment District, the City, County and Chaska
School District,
b ·
Furnish added assurance to the financial success of the
Downtown Redevelopment Plan,
C ·
Provide the opportunity for increased employment to the
residents of the City,
de
ee
Effectuate the purposes and objectives of the
redevelopment plan,
Afford the displaced businesses the opportunity to remain
within their established trade areas.
SECTION 2.
LAND COST CREDIT POLICY
2.01 In consideration of the foregoing premises, it is hereby
determined to be the policy of the HRA to offer assistance to those
eligible businesses which are displaced from locations'in the Core Area
Project to relocate within the Downtown Redevelopment District. The
assistance to be offered shall take the form of financial assistance to
the displaced business in land acquisition (land cost credit) within the
Downtown Redevelopment District; said Land Cost Credit to be in the
amount of 15% of the improvements subject to real. estate tax'valuation
placed upon the site within the Downtown Redevelopment District selected
for relocation by the displaced business.
.al
SECTION 3.
POLICY IMPLEMENTATION CRITERIA
3.01 The criteria to be applied in the implementation of the
Land Cost Credit policy shall be as f. ollows:
a ·
The Land Cost Credit shall not exceed 75%-of the HRA
appraised value of the land,
b ·
The value 'of the improvements to be placed upon the land
shall be verified by an HRA appraisal or other HRA
approved valuation method,
C ·
The relocation site and construction of improvements
thereon shall comply with all applicable City ordinances
and regulations, including, but without limitation to,
the City Zoning Ordinance, Subdivision Ordinance, Water
and Sewer Unit Charge Resolution and the City Building
Code and be in conformity with the Downtown Redevelopment
Plan,
dm
The physical size of the structure to.be placed on the
relocation site shall be comparable in size to the
structure from which the business was displaced.,
el
The HRA reserves the right, in the exercise of its
discretion, to increase the amount of Land Cost Credit
in those specific cases' where it is demonstrated to the
satisfaction of the HRA that the cost to the displaced
business in relocating within the Downtown Redevelopment
District creates a severe financial hardship to the
business. Increased Land Cost Credit shall be allowed by
the HRA in specific cases only upon an affirmative showing
that:
i ·
the relocated business will provide services which
are necessary, useful or convenient to the City and
surrounding area,
ii.
the relocated business will provide an increased
employment base on a permanent basis to the residents
of the City,
iii. the relocated business is the primary source of income
for the owner thereof, and the business is of an
active nature, rather than o.f a passive investment-
type of business venture.
Passed and adopted this 'day of , 19_
by the Housing and Redevelopment Authority of the City of Chanhassen,
Minnesota.
Attest
Chairman
Executive Director
-2-
Yes
No
Absen~