EDA 1994 05 19 AGENDA
HOUSING & REDE~P~ AUTHORITY
THURSDAY, MAY 19, 1994, 7:30 P.M.
CHANHASSEN CITY HAL1., 690 COULTER DRIVE
CALL TO ORDER
APPROVAL OF Mn~tYrES
1. Approval of March 31, 1994 Minut~
VISITOR PRF~ENTATIONS
Anyone wishing to address the lIRA may do so at this time.
OLD BUSINESS
e
Reject Bids on the I-Ianus Facih'ty RooL
Consider Change Order to Hanus Facility Upgr~_ding aggregate base and to haul dirt
for pedestrian bridge.
4. Review Scnior Housing Proposals.
5. Entry Monuments.
Consider Modifying the Redevelopment Agreermot with Ryan Construction on Outlot
B, Retail Addition.
e
Consider approving purchase agreement for the south touchdown area for the
pedestrian bridge.
NEW BUSINESS
Se
o
10.
Review Archi~ Style for Outlot A and Lot 4, in Market Square.
Public ~g regarding thc Land Sale of Owdot A and Lot 4, Mad~ Square.
Approval of Bills.
·
HRA PRESENTATIONS
CHANHA$$EN HOUSING AND
REDEVELOPMENT AUTHORITY
REGULAR MEETING
MARCH 31, 1994
Chairman Bohn called the meeting to order at 7:30 pan.
MEMBERS PRF~ENT; Jim Bohn; Don Chmiel, Mike Mason, and Gary Boyle
MEMBERS ABSENT: Charlie Robbins
STAFF PRESENT: Todd Gerhardt, Asst. Executive Director
APPROVAL OF bIINUTES: Bohn moved, Boyle seconded to approve the Minu~s of the
Housing and Redevelopment Authority meeting dated February 24, 1994 as presented. All
voted in favor, except Chmiel and Mason who abstained, and the motion carried.
VIS~QR PRESENTATIONS: None.
Gerhardt: Mr. Chairman, if we could just add that one item that I handed out. The I-IRA
Presentations portion of the agenda.
Chmiel: As item number
Gerhardt: Yeah.
Mason: We can't act on this tonight can we?
Gerhardt: You can. I mean it should have been on the agenda and he would like to know an
answer tonight because he wants to executive the redevelopment agreement.
Mason: Well, I understand that but if somebody were to look at this agenda and then see that
this was approved, they would say but. It wasa't on the agenda and I dian't want it to
happen and I wanted to have my say in it.
Gerhardt: That's your prerogative. If you want to put it until the next month, it's.
Chmiel: Why don't we put that down for lIRA Presentation.
Geflmrdt: Sure. Mike's point was that it's not on the agenda...
Chmiel: Right No, and I agree with that
Housing and Redevelopment Authority - March 31, 1994
Gerhardt: And it was my fault that it didn't get placed on the agenda. When the agenda
went out I forgot all about it. Charlie called me this week and said...and I went oh oh.
That's where I started off saying I forgot.
Boyle: Which is a different word for overlooked.
Gerhardt: Yeah.
Mason: I think he overlooked it. I don't think he forgot. I mean I heard you say
overlooked.
Gerhardt: Karen told me I couldn't say forgot. I had to use something else so how about
overlooked.
CONSIDER APPROVAL OF RUSS PAULY'S LEASE.
Gerhardt: Mr. Chairman, HRA members. Included in your pack are two leases. One for a
one year term and a second one for a two year term. Russ and I have been swapping
messages and haven't gotten to each other here in the last two weeks. We met approximately
3 weeks ago and sat down and had a good talk however we never did come to a
determination on the square footage. I told Russ that I had to come somewhere between
$4.75 and $6.00 I felt, which was the market rate rent based on an opinion from Roman
Roos. And from that I told him that I would send him two leases and that he could look at
them and get back to me. So as it stands tonight, staff is proposing a one year lease at $4.75
a square foot and a two year lease at $6.00.
Bohn: I thought we already voted on 18 months.
Gerhardt: We, after one, part of our discussions with Russ was that we run with the length
of the liquor license so he's going to get a liquor license for a full year. How do you rebate
2, 3 months, 4 months worth of liquor license back so we started out with the full second
Chrniel: Couldn't you just prorate that and put it over a 24 month period, or a 12 month
period when you're paying for it and just deduct whatever's left of the 6 months. That's sort
of simple.
Gerhardt: You probably could do that. You could probably prorate it back. We just thought
it would be simpler to go from May 1 to the next May type lease agreement. The additional
4 months isn't going to make or break anything so. We just thought we'd nm with the terms
Housing and Redevelopment Authority - March 31, 1994
of the liquor license and not get into prorating. But if you wish to go with the 18 months. I
remember last time we were just negotiating 2 years down to 18 months.
Bohn: Wc ended up with 18 months is what wc voled on.
Gerhardt: At that time.
Bohn: But the only thing we didn't come to a conclusion on is what the amount of the lease
would be.
Gerhardt: That's correct If you want to see it for 18 months, we can do that.
Boyle: Todd, just for clarification. One year, if the one year lease is signed, then it's $4.75
a square foot. But if it's elected to go, as I understand it, ff Russ elects to go 2 years, then
it's $6.00 a square foot. Am I correct?
Gerhardt: That's correct Russ felt that ff it's a shorter period of time, that he should pay
less and if it's a longer period of time, he would be willing to pay more and we agreed with
him in those statements so that's why you see the two difference in rents.
Boyle: Russ, are you in agreement with these?
Russ Pauly: Not with the dollar amounts, no. For a number of reasom.
Boyle: Maybe we should hear from you.
Russ Pauly: My name is Russ Pauly. I live at 1031 Carver Beach Road in Chanhassen and I
represent Pauly's Bar and Reset. As Todd said, we had discussions that pertained to the
amount of the dollar, or the dollar amounts of the lease. That was discussed with Roman
Roos and as he said, it's fair market value. A number of things that don't pertain I don't
think to fair market value are you know condition of the existing buildings. The way they are
fight now. As far as roof and upkeep and what have you, those are all things that I would do
as the renter. Basically though what Roman had said, some_ of that makes sense but the City
doesn't want to make any investment in the building and I don't thinir that's really what ~hey
need to do. But on the other hand I don't think I should have to pay fair mazket value if I'm
going to be the one that fixes the roof. If I'm going to be the one that psints the building
and you know. The City doesn't want to pay fire insurance on the building. They want the
rent but they don't want to take the other responsibilities that go along wilh renting a
building. And I don't think maybe they should be in that business but the fact is that, if I'm
going to pay fair market rate, then that's what I should get is a fair deal when it comes to the
Housing and Redevelopment Authority - March 31, 1994
lease you know. And basically when we had our discussions on the rent, my feelings were
that there should be some give and take. Basically what Roman Roos came up with is where
the city stands and they haven't budged a nickel so you know, I wld Todd. I said well
there's got to be some area there where we can reach agreement and they never did, in our
two discussions, they never came back with a counter offer or anyflfing so I don't know,
we're just kind of stuck and I thought at this point, I'm not going to sign a lease agreement
for something I don't feel is fair. Initially when we talked about the possibility of having a 2
year lease as opposed to a one year lease, it would make sense. If I could lock something in
for 2 years, I'd be wiIliug to pay a little extra but on the other hand you know, if it's going to
be a one year deal or an 18 month deal you know now, I don't know where we stand as far
as that situation. The HRA said an 18 month deal and the city's point of view was that they
would just extend it to a 2 year deal to run concurrently with our liquor license. And given
these changes I don't know really where the HRA stands on that... Like I said Todd and I
hadn't been able to work anything out. As far as the lease agreement you know it has some
value to the city. They aren't going to have to do anything with the property. If they have
no plans to do anything as far as development. You know we're going to take care of the
building. We're in business and it wouldn't be to my advantage to let the exterior go down
the drain. To let the roof and the structural part of it go down the drain so I'm going to
maintain it from that perspective...and I don't want to have to pay prime rate if I'm going to
do these things. The conditions of the buildings aren't that bad. A lot of it is physicai stuff.
I have plans to paint the exterior of the building again this summer you know but there again
that's at my cost. I'm not asking the city to do it but on the other hand, if they're going to
rent the building to me, you know Like I said, I think there should be some consideration you
know if I'm going to do that type of upkeep with the building. That's over and above normal
lease agreements. We did have a fire there last October and you know I didn't even call the
city to find out if they had building insurance because I'm not in there to harass them or go
after things like that and there again, in the lease agreements that they sent me, you know
they don't plan on carrying fire insurance on the building, which isn't typical of a lease
agreement. You carry your insurance on your business equipment and intea'ior features and
whoever is leasing you the building carries the insurance on the building. Another thing in
consideration, I don't think the city has taken fully into consideration the fact that you know I
probably wouldn't be here if I was in the Kermy's building right now. I'd be remodeling that
and be ready to move in probably 2 months. So it's kind of a situation where I'm stuck
because if I want to stay in business at this point, I have to stay in my location where I'm at
fight now. It just isn't physically or financially possible to do anything at this point. Some
of the other businesses that have been given consideration, you know I had a little chat with
Bernie Hanson from Chan Lawn and Sport and they were in there building for I think roughly
a year you know after they were to vacate it and he was paying $300.00 a month on a 5,000
square foot building. Well that's only 60 cents a square foot you know. I wld Todd, I said
well I'll pay you $3.00 a square foot you know. Somewhere inbetween $3.00 and $4.7/5 and
Housing and Redevelopment Authority - March 31, 1994
they just, they wouldn't budge so I guess at this point I'm just, I'm here to see what the
HRA's thoughts are on it. I know what the advantages are to keeping me there because you
know we do pay our taxes. We pay a considerable amount in license fees and utili~ and
parking lot rnalnumance and we're never delinquent on any, you know haven't been in the 60
years we've been in business in Chanhassen so I just think there should be a little
consideration given from that point of view. Or from my point of view. I guess that's alL
Thank you.
Bolm: Thank you Russ. Mike.
Mason: Well, not being here last month I know for s fact that Coundl voted and felt very
strongly that thc lease should only go 12 months. Council, that was a very slrong message
from Council and I happen to concur with that. $o therein, there's already some problems
here as far as I'm concerned. The comment that the City isn't budging I have a little ~uble
with considering the fact that it's my understanding from Mr. Roos that he says market value
was $4.?5 to $6.00. So what I'm hearing is the city is giving low end to what market value
is in the city right now, is that right Todd?
Gerhardt: Ah yeah.
Mason: I ~ give or take.
Gerhardt: Roman went with the special conditions that go along with thl, rent. He said that
the market for that special condition should come in between $4.75 and $6.00. The true
market for a building lilre this is between $6.00 and $10.00. If you're out in the true mar~t.
Mason: This is according to Roman, right. So L you know with those things, I .have, I'm
happy with the direction staff is taking m~d then I don't know that I-IRA should be involved
in negotiating rents anyway. I think if we stick our fingers in this_ then what's to prevent
everybody that has any kind of lease with the city to come knocking at our doorstep.
Bohn: They don't aH own property.
Mason: Well I understand that but there are a nnmbcr of tenants in the city that property is
owncd by the city that will certainly have the oppartmfity, ff we start giving figures lo staff
and telling them that this is what we want to see, well I think we're opening up a can of
worms that I quite honestly don't want to open. So I cerlainly don't want to see this go to
years. I can tell you that right now. So I guess that's where I'm at right now.
Housing and Redevelopment Authority - March 31, 1994
Boyle: Mike, why does Council and yourself feel that 2 years is, why do yo not want to see
it go 2 years7
Mason: Well because I think there's, well for one thing, like I said and I know Dick's in the
audience and Don is here too. Council wanted it to go a year because it's time to start
looking at other things.
Boyle: But we have nothing planned and we know it takes a long time to get something
done, is that correct?
Chmiel: No. No. There were some things that were discussed at that time. In fact that
evening meeting I brought that up as well. That potentially we need something within the
city for kids. I was looking for something as a youth center and I had been looking at that
building for a long time. And I was the one that brought up the fact that we should have a
year extension to give Russ that additional year because I thought with the fact that he was
really getting shot down over at Kenny's, that that would at least give him an opportunity to
move forward within 6 months to a year to find another location and put that business back in
use.
Boyle: I guess I kind of like the idea that at least it's creating some revenue for a year or
two if we have nothing else going.
Chmiel: Well that's part of it I think that there's going to be, there's sort of a lack of
communication between HRA and back to Council and or vice versa and I don't know, how
did this come up with the additional 18 months? Or to 2 years.
Bohn: Well if he was going to put any money into the building and maintain the building
and operate the building, a year really wasn't sufficient.
Mason: Why not?
Boyle: It's kind of like a compromise between a one year and two year I think is where it
really came out.
Mason: Well Council wanted to go with 6 months to be honest with you and they were
Boyle: That was never brought up at our last meeting.
Mason: Well yeah.
Housing and Redevelopment Authority - March 31, 1994
Chmiel: And that's why I was son of surprised when I did read these Minu~ that nothing
was mentioned of that fact. Discussion at Council.
Mason: Well I believe Todd, in the HRA Minutes Todd did say that Council wanted, and I'll
check it but I believe you made a comment about the Coundl wanting a year lease..
Gerhardt: They askexi me where the one year came from and I said that that was the
direction from City Council.
Boyle: One year though, not 6 months.
Mason: Well right. Right. Oh 6 months was discussed and we vol~! on a year. I mean he
wouldn't have had any reason to say we wanted 6 montl~
Boyle: Mike, in regards to your comment about setting a precedent and other people coming
and asking for the same type of breaks or whatever. I would guess that may be the case if
it's property owned by HRA but if it's not owned by HRA then I don't think that's going to
happen. So I don't really personally put much weight on that one.
Mason: Well that's fine you know and as I'm re-reading some Minutes here, Roos says rents
are from $6.00 to $10.00. He did go on to make some comments that because of, I don't
remember what it was but 3% should be taken off because of a management fee or some this,
that and the other thing and he ended up with $4.75. It seems to me if market rates in the
city are $6.00 to $10.00, I don't know why we'd want to go lower than $4.75 to tell you the
Boyle: If HRA voted at our last meeting for 18 months, does that have to.come up again far
another vote then? I mean is this not now made policy?
Gerhardt: That's a good legal question on Robert's Rules of Order that I do not.
Mason: What was your question again?
Boyle: HRA voted, and the majority was here, and approved an 18 month extension on
Russ' lease. Why are we discussing something different at this time?
Gerhardt: I'm trying to think here. Over the last two weeks, when Russ and I met you know
as part of our negotiations, he made a comment that he would be willing to pay more for a
longer lease.
Housing and Redevelopment Authority - March 31, 1994
Boyle: But more than what we haven't determined yet, fight?
Gerhardt: Right.
Boyle: Okay.
Gerhardt: And with that he also said you know, I'm not going to pay for a full year's liquor
license you know and I did not ask Karen if you could prorate it or that. He said it would be
nice if he could run it with the term of the liquor license and that made sense to both Russ
and I when we talked about it. And instead of going with the 18 months you know we
suggested the 2 years. So that's where the 2 year came from. Now if you want us to modify
that back down to the 18 months, I will look at seeing ff we can't prorate liquor licenses and
give a rebate back. I still do not know if you can do that. So that's why I went with the 2
years. And as to can you rescind your decision of a month ago. I would think you could if
you've got a majority but you can always change your mind as long as both parties agree to
it.
Mason: Well because this happened at Council and the meeting that I was not at, and I'm
not saying I'm going to do that. Because I wasn't there, well whoever isn't there according
to our City Attorney, does have the fight to make a motion to reconsider the vote. Now ff it
fails for lack of a second, that's fine. But that can be done. But it has to be done tonight. I
mean it's a one shot deal. After this it's a done deal.
Boyle: But that would have to come from the City Attorney, is that correct?
Mason: No. Either Don or myself, or I could make a motion if I wanted to asking to
reconsider the vote.
Chmiel: It can be done because neither of us were here.
Boyle: Okay.
Chmiel: That just son of surprised me that all of a sudden it takes a diff~t complexity
from what it was at one time to moving it ahead. The additional, either 6 months or 12 more
months. When I did have a hard time to get Council to really move ahead even with granting
a one year extension. They wanted to go just strictly a 6 month period and I kept saying,
well let's look at this.
Boyle: Well I don't know Don. Who has the final say in it7 Does Council or does HRA7
. Housing and Redevelopment Authority - March 31, 1994
Chrnic~ I think because it's an I-IRA project, HRA has that ability.
Boyle: So we can take Council's recommendation but because HRA owns it, it's HRA's
final say on it, right?
Mason: That's true.
Boyle: And three people on the HRA voted and agreed to 18 months, is that correct7
Chrniel: Yeah. But there wasn't any of the discussion from our side of which has been
brought out now.
Boyle: Tonight, okay.
Chmiel: And that may have changed the complexity of the final vote. Maybe. It could have
been still a 3 and 2 or 4 and 1. 4 or 5 is it depending.
Boyle: Well I guess my mind hasn't changed and I think the consideration, I flfiuk the fact
that Russ has been very patient and kept the building up. Is willing to put revenue in. Has
been there for quito some time. How long has it been Russ since.
Russ Pauly: Our 60th Anniversary will be Memadal Day of this year.
Boyle: How long has it been since HR owned the pwpeny?
Russ Pauly: Since they've owned the ~?
Boyle: Yes.
Russ Pauly: It will be 4 years.
Boyle: 4 years. So he's asked for an ~on. He's willing to pay some rent for the
extension. I believe the consideration should be given and the consideration should be fair
and I believe the 18 months tlmt we voted on was a fair consideration and at $4.75 a squm~
foot at 18 months is reasonable. That's my opinion- Provialng we can pramte the liquor
Chmiel: Yeah. And if there's any ramifications to that. Todd will find that out.
Bohn: Don?
Housing and Redevelopment Authority - March 31, 1994
Chmieh Well I guess I have interject~:l some of my ideas and thoughts as to what I basically
have felt. There's a lot of, well there was some consensus on the Council that when the
HRA purchased the building and paid off the total amount of dollars for that facility, plus the
other things that they had taken into consideration by contract with the lease agreement. That
was all in due respect to what was being discussed for total payment, if I remember, and I
think even Russ has indicated that and Todd has, both. But there comes a time when there's
a facility there and we're looking at, and there isn't anything right now concrete for that
particular comer. When we brought up the year extension at Council, I thought that year was
something where Russ would probably want to move on with finding a site within the
community and putting something back in. And that's where I saw the opportunity to move
ahead with that for a youth center for the time being. Not a permanent situation by any
stretch of the imagination. Because we've got so many, I've been losing my voice for the
last week. We have so many kids within this community that need a place to go. A place to
be and I thought there was a perfect opportunity for us to move ahead with that kind of a
location. And I've had a lot of parents and even non-parents who indicated that they would
be willing to assist with this. In fact I left some of that stuff at home. I forgot to bring it but
I think some of the things should have been brought out by what Council has said and what
was discussed and I really do. Six more months to me is not going to make any difference.
If Russ finds a place that's going to be to his liking. But I'm not sure that even after 18
months that he may even proceed with that. But that's going to be his call. Not anybody
else's. It's a lot of money to put into a facility and it's a popular spot. I've been there many
times. My sons frequent it every once in a while and it's a good place for people to meet.
But I just think that there's just been some miscomrnunications between Council back to
HRA or vice versa. Even to find somethiug out and how this came about number one is what
I really didn't understand. How this came up again for this discussion. And how it got on
the last agenda and of course I wasn't here either so.
Bohn: I wasn't aware of the (5 month thing. I honestly I wasn't. I thought we went to a
year and then (5 months over a year was no big deal. Another (5 months, it makes it easy for
him to operate and get things going and buying another place, I thought well. But the 6
months thing never came into. I don't think we even discussed 6 months.
Mason: Well no. The reason I brought that up is to just lay some ground work for HRA to
know where Council is coming frorrL I mean we all agreed to a year. The first thing that
was thrown out as (5 months and for a while it looked like it was going to go 6 months. But
Don, and I agreed with him that come on. 6 months wasn't a very realistic amount of time to
get anything moving. So no, I wouldn't necessarily expect you folks would have known that.
You know ff I could interject one more thing here which I think is a bigger picture than what
Russ is going through right now. Richard asked that we have an HRA update at City Council
meetings, which would be our last meeting of the month. And we concluded that we thought
10
Housing and Redevelopment Authority - March 31, 1994
that was a pretty good idea and I wondered if maybe.
Bohn: It should be vica versa.
Mason: I was just going to say lira. I think that would be a real good idea for eider Don or
myself to give a Council update on, obviously not on everything but on issues that perlain to
HRA. You know an item at the end of the agenda or whatever.
Bohn: Also with the Planning Commiss/on
Mason: Well.
Chmiel: No, we're talking just about these two.
Mason: But I think that's a good thing to go for in the future but I think, I'd like to see that
added to both the liRA and the Council agenda.
Chmiel: We do have people at thc Council meetings from Planning Commission. There's a
representative there all the time. And the reason we have that is, in the event there's some
discussion that goes back and forth, that's when we can bring them into the discussion to
update us and rv~ire, us reatly aware as to what's there.
Mason: Getting back to the an'rent issue at hand here. I don't have any intention of
rehashing that issue. I mcan at this point I agree. Thc difference ~ 12 months and 18
months isn't that big a deal. And I agree with what Gary said about the 18 months at $4.75,
assuming we can work out some sort of pwml~ schedule with thc liquor license. Sure.
Absolutely.
Boyle: Don, do we have any idea what it might cost to revmnp the pwpeny to convert it to a
teen center? What the cost might be? Has anybody looked into the cost that it might involve
to make that?
Chmiel: No. It's too early in the game to even.
Boyle: That was just an idea. So ~ally the only really issue here of shortening the amount
of time that Russ would like to have his lease ~ is to convert the pwpa~ to a teen
center and that's really the purpose for City Council wanting a shorter lease period, am I
Chrniel: No. I don't even think the teen portion was redly the con_~id_ewation behind it at all
11
Housing and Redevelopment Authority - March 31, 1994
It was just a thought that I had on it that I threw out and there was probably hardly any
discussion in regard to it. Other than the information I got back from people who were.here
that thought that that would be a good idea.
Boyle: Then why would City Council have any objection? I mean let me r~hrase that.
Why would they want to shorten the lease?
Chmiel: Well it was that some members on Council dlcha't quite '~ going any more than 6
month and as Mike has said, and I have said, and 1'11 reiterate it again, we felt that that
wasn't justifiable and I felt that he should have at least a full given year.
Boyle: Okay.
Bohn: Another reason why we thought about the 18 months too is it takes, to get something
done, from the time we concept it, to get it done, it takes 18 months. Not like the Byerly's
but so many projects we've worked on, it seems like to get something done, it takes 1 or 2
years at least. And the way, from what I understand, did you talk to A1 Klingelhutz last night
about the library? He is bound and determined to get the library on Pauly's property as soon
as possible. Of course he doesn't own it and he's not on the library board anymore.
Boyle: Does he own the building behind there?
Bolm: Yeah, he owns half of it.
Chmiel: I'm not convinced yet that that might be the location for it either.
Boyle: Todd, did anytt~g come out of the meeting last, excuse me Tuesday night on the ad
hoc committee on Vision 2002 that might shed light on anything here that would affect that
property?
Gerhardt: Well, I think they made real good progress. They were ready to lay out I think
two alternative sites for the library. And unfommately it got late into the evening and I told
Fred, let's close up the tents and go home and resehedule this thing. But they're at that point
right now of trying to either narrow it down to I or 2 spots.
Boyle: Is this property one of the spots7
Gerhardt: Yes.
Boyle: Okay.
12
Housing and Redevelopment Authority - March 31, 1994
Gerhardt: But they're just a recommending body to the overall group and the overall group is
going to meet on the 19th again. That's our final vision and get input back.
Boyle: The 19th of April7
Gerhardt: Yes.
Boyle: If that pr~ was selected as the site for a library, in your best estimate, how long
do you think it would take before a libraxy could, I mean everything could be done and the
library consmicted on that property? And I know that's a tough question.
Gerhardt: Oh, I would say probably they probably wouldn't recommend construction until
the following spring. By the time you go through the government process of going through
planning and that's a 2 year process in itself. And then doing land specifications and bi_'ddin§
is another 3 months. You may be able to do it yet this fall if you get stm'ted right now.
Boyle: But thc odds of that are pretty slim are they not?
Gerhardt: Yeah. I can demo a building...are about 3 weeks.
Bohn: Can we have a motion on.
Boyle: I'll make a motion that we do an 18 month lease at $4.75 a square foot pwviding the
liquor license can be prorated for the second year to 6 months.
Bohn: Do I have a second?
Mason: Yes you do. Second.
Bohn: No discussion? I have one q~on. If Russ would find a place to move to before
the ~ is up. Like he finds a place in a year and he wants out of his lease.
Gerhardt: He's bound by the terms of that lease. He can always come back and ask you
guys to relinquish that right but he's botmd by the terms of the lease.
Mason: Well I don't think we're that hard nosed. At least I hope not. I mean if that were to
happen, I wouldn't have any uouble with that.
Gexhardt: You can put right into the lease saying that Russ can leave at any time he wants.
13
Housing and Redevelopment Authority - March 31, 1994 ·
Chrniel: I think that would probably be a good condition to have contained in there. Unless
you see for some reason.
Gerhardt: Or he can come back and ask you too. We can write it in there. Roman would
say that's worth money.
Bohn: Who paid Roman7
Gerhardt: ...good representation.
Mason: I can't imagine there's anybody on HRA that would have a problem with that. But
I'm only speaking for myself.
Boyle moved, Mason seconded that the Housing and Redevelopment Authority approve
an 18 month lease for Russ Pauly at a rate of $4.75 per square foot provided the liquor
can be prorated the second year. All voted in favor and the motion carried
unanimously.
CONSIDER LEASE EXTENSION FOR DON KALLESTAD FOR THE PONY
EXPRESS BAR SITE.
Gerhardt: Mr. Chairman and HRA members. At our last HRA meeting Mr. Kallestad made
a Visitors Presentation to you asking for an extension to his lease at the Pony Express Bar.
As staff reviewed the file on this we also felt that Mr. Kaliestad had the same terms that Mr.
Pauly and Mr. Pryzmus had. That was not the case. His term for his lease ended September
15th, 1991. From that he has received an extension for the last 2 years from that agreement.
Staff has also had some concerns over the last approximate year and a half, two years. Staff
has had to send notice to Mr. Kallestad several times for payment of rent. We went up to the
fifth hour of litigation to try to get rent out of Mr. Kallestad. Finally on that 24th hour he
came to terms on a payment schedule that we meet Mr. Kallestad's level. Mr. Kallestad is
also delinquent on utility bills and it's staff recommendation that you do not extend the lease
or give him 90 day notice to vacate and that he also pay all delinquent utility charges from
that. Mr. Kallestad is here ff you want to hear his side.
Bohn: Mr. Kallestad?
Mr. Katlestad: Thank you gentlemen for hearing me. I jointed the businessmen in
Charthassen in 1980 when I purchased the Pony Express Bar. At the time I was working for
Wilson Learning Corporation when I applied for my license and I was welcomed to
14
Housing and Redevelopment Authority - M~h 31, 1994
Chanhassen by a couple of very interesting circumstances that normally don't happen to other
people I guess but they did happen to me. My first check on my ledger goes out for $500.00
to the City of Chanhassen for the investigational fee, which they investigate my background
to insure that I'm ethical and not connect~ to the mob and things ~ this for getting my
liquor license. But I was told by Mr. Russ Larson at the time that it was $2,000.00, even
though Section 36B, which if you look up in your records from 1980 sta~ very definitely
Minnesota resident, $500.00. I can show you these things...if you don't believe me but
they're ~'ue. I didn't n~nlre any tronble because I wanted to join the city and Russ Lin'son
snid, if you want a liquor license, it's $2,000.00. He looked me in the eye and I said Russ,
it's $500.00. Look fight here. He wouldn't even look. He ~ it's $2,000.00 to get a liquor
license, welcome to Chanhassen. Now, when I came up with my application I was employ~
at Wilson Learning Corporation as n Mnnnger of Client Services. I wn~ formerly a Vice-
President of KaHestad Laboratories producing trnnsphmts...I was gunrant~ed the Vice
Presidency within 6 months at Wilson Learning but I was told by the City of ~,
which is not in any other ordinances, that I must vncate my job and work the premises full
time. That they would not give n liquor license to an nbsentee owner, which is not in the
ordinance but it was one that they felt they had to do because they had ~'ouble with the prior
owner. This is, I thought it over and I thought about fighting it nnd that my fights were
being violated but I went along with it because then, and I tried to get along with the person.
I worked it for nil the years. I never had a citation nt Pony Exp~ss Bar. I hronght it from
$185,000.00 gross to $750,000.00 gross by 1987, which is when I was notified that they were
taking my property my eminent domain but not my building. Tnk~ aH my property which I
had about 65 parking plnces of my own, which met nil the city ordinances for taking of
property. When the negotiations began, the city would not work with me. I could not get
any replies from the attorney. The City Mnnager would not reply. We could not get any
deals going. We could not get any arbitration going to wozk out n de, al on the eminent
domain thing. Finally Judge Reilly ordered the City Mnnager of Chanhassen in the court
under contempt of court to negotiate with me or he was going to find him in contempt of
court This is not unusual for how I've been de~t with the City of Chan. I don't know what
it is that I've done to get this kind of ~t but I was held up. I had to get, pny extra
legal expenses to date. We had a jury already ~itting there. By the time he came down to
begin his negotiations, the jury had been ~ A lot of wnsl~ money on the city's pnrt.
A lot of wasted money on my pnrt, to the tune of about $35,000.00 and I was tokl nt that
time that if I went through with it, that th~ would appeal any decision made and they would
appeal it all the why to Supreme Court nnd I could look at another $50,000.00. Another 2
years of lost time. I wouldn't get all my money so I was forced into settling for that deal
So I think that they begin the consUuction. They cut me off on aH four ~ for almost a
year. Some of my employees couldn't even get into work because they were aH four sides.
Russ Pauly also went through a lot of problems going through it. They've been there longer
and I was a little younger and I had just invest~ in some more things and upgrading the
15
Housing and Redevelopment Authority - March 31, 1994
kitchen and things like that so that year hurt me a great deal. I came back in 1989 and made
me an offer for the remaining part of the building. I was in no position to say no. Even
though I was not given anything at all for the business itself, which I had raised to a
considerable level. I wasn't given much time to think about it and my pockets are thin from
all the hard times with all the construction that went on. So aside from that, I went through
that. I had 2 years to put together another thing. In 1991 I had 3 heart attacks. Attributed a
lot of it to the stress and things like that. I'm not laying any blame because my health
problems are my own. I took 2 years to get back on my feet. I was a diabetic and I didn't
know it and I got into all these problems which I've since gotten out of. I had to file
bankruptcy in 1993 as a result of all these things. So...when I came into Chanhassen I was a
rich man. I had properties and everything else. I worked here for 10 years and now I'm
broke. I have a wife. A 2 year old child and we live there. My wife has a job. We're
trying to work our way out of it. I've been working with the Department of Rehabilitation
down in Shakopee since August of 1993. I send out 20-2~ resumes a week. It's a hard
market but I anticipate I will be able to succeed shortly and we have, we're optimistic on
that. So I'm asking you gentlemen to be a little gracious to us. To allow us to extend our
time in there a little bit. We have a dog and a cat, a 2 year old little girl. My wife and
myself. The downstairs does not lend itself to do anything because it's all screwed up. It's
different levels and it's an old bar and it's dark and you can't put offices in there without
extensive remodeling and you can't do any commercial things because it's limited in the lease
that there can't be anything with high density parking. So the downstairs is just used for
storage. We pay all the taxes on it so the city's not out anything. We take care of all the
repairs. I just put $800.00 into the furnace 3 months ago rebuilding the furnace. Every time
I try to find out from the city how long it will be it was a nebulous answer. No one really
knowing for sure how long we'd be able to stay. It's a very short time period for us to get
all our ducks in a row. We have all our...possessions. We have no place to go. We're
trying to get back on our feet and we'd like to stay maybe until fall if we could. Give us
time to find a place and to get our things moved and get back. I really, I commend the city
for a lot of things that they're doing but I don't feel that I've really been treated very fairly
down at that end. I never did get a dollar for my business. I didn't get any monies for
moving or anything. For relocating and I just kind of need a fair shake from you gentlemen
and if you could see it in your wisdom and your hearts to extend this until the end of the
summertime into the fall sometime, it would really be appreciated by myself and my family.
If you have any questions...can answer therrr
Bohn: No. Thank you. Todd, I don't remember that wasn't a bar when we bought that
building was it? They were operating still?
Gerhardt: Yeah. The lower level was operated as a bar and the upper level was owned by...
Just a little history on that. Gary and Mike weren't on the I-IR at that point but when we
16
Housing and Redevelopment Authority - March 31, 1994
were looking at starting the downtown redevelopment, we met with the Pony and Pryzmus
and Pauly's and the HRA did not want to go in there and buy those businesses. We tried to
work with them and put in some new facades and assisting tbem in trying to redevelop it. I
think Fred or BRW worked on at least 3 or 4 alternatives to try to renovate that area and the
feedback that we received from those three owners was, we want to be bought out. We do
not want to put any money into these building~ That's why we moved ahead with the
condemnation.
Boyle: Has the upkeep of the bailalng been good?
Gerhardt: I.
Boyle: Is it deteriorating in any way?
Oerhardt: Not that I'm aware of. I mean the building haau't been pain~l. It's in it's
original condition when we bought it exterior wise. So I would say that Don has met the
obligation of the lease.
Boyle: Todd, if HRA was to direct staff to preimre the necessar~ papers, ew, to begin a 90
day advance written notice to evacuate the property, how long would it take to do the papers,
etc7 When would the 90 days probably start7 Would it be May 1st or ~une 1st or effective
immediately or?
Gerhardt: That's whatever you would like to see. I mean we could probably get notice to
them tomorrow. If you want to see it be out 90 days. It's got to be from the first of the
month. If he doesn't get it tomorrow, it's going to have to be pushed back to next month.
Boyle: Okay.
Chmiel: I would like to see this go flh~uEh probably in a 6 month period and give him that
oppommity to find something rather than the 90 days wr/~en notice, h's just something I
feel to a point where I understand what he's saying. Some of the situations ocamed and ~re
given problems. I think the city ~ have a little bit of bend in their aspect and extend that to
180 days.
Boyle: For humanitarian reasons I have no l~roblem at all with 180 days.
Bohn: Mike.
Mason: That's fine.
17
Housing and Redevelopment Authority - March 31, 1994 ,
Bohn: You need that as a motion, don't you?
Gerhardt: If you want, that's frae. I hear your direction. I think Don hears what you're
saying and I will continue to work with Don and helping him in his transition. We have a
list of apartments and any other things he may need. .. share that with him.
Bohn: Okay. That would be 6 months. What would be the last day then of the lease?
Mason: October 31st.
(3erhardt: End of September.
Boyle: That's assuming you could have it effective April 1st, which is tomorrow. That's
counting April.
Gerhardt: Well you only need to give him 30 days notice so I counted...It's your call. If you
want it to be October 1, September 1, you know.
Chmiel: I think if you use that last day of September, which I think probably will give you
enough time.
Mason: To October 1.
Bohn: Yeah, and you don't have to move in the snow.
Don Kallestad: Thank you very much gentlemen.
UPDATE ON VISION 2002.
Gerhardt: As some of you are aware, we met with the ad hoc committee this last Tuesday
evening. It's a good group. It's a committed group of people that's really...real interested in
how the downtown is going to lay out. We get a lot of feedback from them. They get
some real interesting conversations and...enjoy gathering some real interesting information...
and talking about the media and the libraries and one of the interesting things that they came
up with is the possibility of maybe running a commuter line on the existing railroad tracks
out here as a pet project. To see if it would work. People would ride the train to downtown
Minneapolis. See if the railroad would allow things like that to happen so it's a free thi~ldr~g
group and at this time I'd kind of like to have Fred give you an update on all the f'mdings of
that committee.
18
Housing and Redevelopment Authority - March 31, 1994
Chmiel: Just a quick question. You're talking the railroad over by TH 1017
Gerhardt: No, the active one.
Chmiel: Oh the active one.
Gerhardt~ They've taken out the uacks in southern Chan already.
Chmiel: Oh they have?
Gerhardt: Yeah. Those tracks are gone.
Boyle: Where is thi.~ Todd?
Gerhardt: The active line I think is the railroad company...the one that goes through
Chauhassen, NAen Prairie and down through St. Louis Padc and then W downtown
Minneapolis. Sony asked a question of could there be a commuter train that would nm,
just a normal one. lust to take people from C~anhassea and to pick them up along the way
into downtown Minneapolis. And see if people would use it as a project. It tweaked my
interest and I'm going to look into it more.
Bohn: Somebody even brought up a thing about a dinner train.
Gerhardt: There is a dinner train that has contacted us that's in~ in coming in for one
week a year to run a line.
Boyle: I like the idea of the commuter train.
Bohn: Well there was one that was going out west of here wasn't there?- Like I said at that
meeting...he takes a commu~r train every day into work in downtown Chicago. He says it's
chenper to tnke the train than paying the toll to get in and then paying for the pariring and he
has a cup of coffee and a roll and reads the paper on the train going to work. His office is 2
blocks from the railroad depot.
Mason: Once again Chan could be on the cutting edge hcre...You're right. You're right.
Sorry Richard
Fred Hoisington: I just want you to know we did miss Dick and the Mayor sad so forth at
our meeting this last week.
19
Housing and Redevelopment Authority - March 31, 1994
Chmieh I understand that. I'm happy I wasn't there.
Fred Hoisington: It was, that was really rather kind. There was one testy moment or two in
the session. The meeting went very well throughout the early part of the process. The future
paper was very well received. The only real disagreement was that Al does know a great
deal about libraries and has been involved with this one for a long time with Carver County
and he did tend to disagree that we would see thc substantial change in libraries that will
occur over the next 10 years. But really nobody was willirtg to say we ought to change. It's
totally wrong. At least it was pointed in that direction that it appeared to be realistic. We
presented also sort of a framework land use plan which is pretty consistent with what the
Highway 5 corridor is coming up with and with what's there today as far as the background
of land use. What seems to be reasonable while agreed to by the commi~. I don't think
we have any problem. We really didn't have much difficulty until we got to the very end.
When we began talking about the facilities themselves. The library. The post office.
Seniors housing and those kinds of things and a community center, which maybe is just a bad
term to be using but every time it's raised, well here's what happens Don. At the second
town meeting the suggestion came from the group. I didn't make it up. You didn't make it
up. It came from the group made out of 12 groups saying that a community center ought to
be...an element in the city center. So I've been slruggling with this group and simply telling
them that I don't have any Latitude to change that. The group told me that we should have a
community center and that's the term that was predominantly used. There was a little bit I
guess of misconstruing what I was saying because of the impression was that I was
supporting the community center on the frontier site, which I was not. We agreed during the
course of the evening to quit thinking about that...get rid of it. You tell me differently. I'll
listen to you but for all intensive purposes, that one was resolved and probably will not, no
longer pursue it. Otherwise direct us on the frontier site. I think here's the bottom line and I
think it's a very legitimate thing on the part of the group. There arc lots of strong opinions
there and I think there was a lot of good discussion taking pLace but to their credit, they were
saying we need a little bit more information and what we need is to have at least some
description of what these facilities would be. What their sizes would be and what the
capabilities of the various sites that we talked about would be to accept them. And what
we've done today is to prepare that background information. We'll be mailing that out to
them tomorrow and so they should be able, we believe, on the 12th of April, which is another
additional meeting which we want all of you to attend, if you can possibly do that. To reach
agreement on facilities. The next focus group session is April 19th. We had hoped to have a
general public meeting on I think May 4th...I mean the general public meeting after that
Todd. Another week or two after a focus group session. So with that I fully expect that you
will have some decisions in the very near term and something that can be recommended to
thc larger group on thc 19th.
2O
Housing and Redevdopment Authority - March 31, 1994
Boyle: You co~ted Fred about on the 19th was the committee meeting and then after
that was a focus group meeting on what...
(There was a tape change at this point in the discussion.)
Chmiel: Is there any way that we can move something out from April into May7
Fred Hoisington: Which one are you having a problem with Don?
Chmiel: The 19th. I think we have matings every ni~,,ht.
Mason: Council has a couple meetings already with 3 nights.
Chmiel: 3, there's 4 right now. There's 5.
Gerhardt: ...but it is a Tuesday and it's not the Tuesday for the Pm'k and Rec.
Mason: We've got at least 7 meetings that month.
Chmiel: Yeah, and that doesn't count Council meetings.
Mason: Or HRA.
Gerhardt: I don't see any problem pushing this back into May. Move the 19th meeting into
May?
Fred Hoisington: I wouldn't see any problem with that Todd. If we could push it like the
3rd or 10th. Would that be a little more acceptable time?
Gerhardt: Hopefully not the Tuesday after a Council meeting.
Mason: Well it'd be May 3rd then.
Om~l: We don't have a meet/ng on May 2nd. We have it on the 9th so.
Mason: The 3rd would be better for Council.
Oer~dt: Does that woflc for Jim and Gary7
Bohn: The 19th meeting would be on the 3rd of May7
21
Housing and Redevelopment Authority - March 31, 1994
Gerhardt: We're not going to meet on the 19th. It would be May 3rd.
Bohn: Yeah. The 19th meeting will be moved to the 3rd of May.
Gerhardt: Right.
Chrniel: So that's a 7:30 meeting?
Bohn: 7:00 wasn't it?
Gerhardt: 7:00.
Mason: You know if I could, I'd make a comment more than a question. I think we need to
understand, and I hope the people on Vision 2002, just like I'm not sure the people on the
Highway 5 Task Force did understand. That it's all part of the process and recommendations
come out but nothing's etched in stone. And I know from being on both sides of those kinds
of committees, that you get pretty fired up in a group like that and you think, by God. This
is what's going to happen but ultimately that committee doesn't have that authority. You
know and I'm not directing any of this at you Fred. But I am already feeling some heat from
the Highway :5 Task Force. You know they made one recommendation and Council
essentially said, at this point we don't like it. And the way things are set up for city
government and this, that and the other thing, I mean we've got to go through the process.
They don't have to. And I just, I think maybe that's something that should be brought up
from time to time.
Fred Hoisington: Michael, we are bringing that up from time to time. It was brought up,
especially in the ad hoc committee because we want to make sure that first of all the sense of
the large group is what comes through...Don suggested there's going to be more to watch
what was happening than provide some additional input. So I don't think they have any
notion of...We'll have to remind, because we don't meet often in the bigger group...we're
proces~g something through them but really you folks on the City Council have the ultimate
responsibility. So we'll continue to remind them of that.
Mason: Okay, and that's not to say we don't listen because I quite honestly I think we do
but it's such a different position to be in. Just for what it's worth.
Gerhardt: We're blaming Don for it.
Mason: The Mayor? Well as long as you don't blame Council.
22
Housing and Redevelopment Authority - March 31, 1994
Chmiel: No Ashwor&
Mason: Oh Ashworth. Oh okay.
Richard Wing: Here's the other...for instance the Highway 5. The facts are that Highway $,
the northern route, was voted on by almost every single person on that commi~ including
myself, I'm not aware of anybody that did not vote on the northern route, It wasn't a partial
vote, It was almost unanimous,
Mason: Oh Richard that's not true.
Richard Wing: No, if you go back. h was almost a unanimous vo~ The only choice was
where the crossovers occurred. That's where the disagreement occtnred. There wasn't a
quarter of that group that went with thc southern mute. It was almost unanimous Mike, if we
go back. Now that I've had a chance to go look back into it, it was almost a unanimous vote
for the northern mute. But what happened is then all this work is done and all this input is
done and we have to start to reinvent the wheel That's why I said let's get this thing
through the Planning Commission because why reinvent the wheel there because it's got to go
to Council. Well all this information on land use and zoning, etc, etc...back to Council so we
can make a reasonable decision...at the Planning Conmfission one day and said well why
would they do this, this and this. Well you haven't been at 15 meetings? How can you
discuss it? We're kind of at that so anyway, to get away from that because that's invJevant.
I ~ we'll have to discuss that. With your group now, that's done all this wozk and it's
going to be carrying it back to the Council and HRA. How do we transmit all that work, all
those ideas and not have to start it all over again and reinvent the wheel at the Council and
the HRA level? It's really unfortunate that these decisions are made and they're sound
decisions and then we just throw them, I mean we have l0 minutes to do what they dia over
3 or 4 meetings.
Mason: But see therein lies the problem, h's not a decision. It's a recommendation. And I
think.
Richard Wing: But why was the recommendation made?
Mason: And I think that's, I think you know we're talking here about some_ commmzication
problems and I think, because those, none of those bodies are decision making bodies.
They're recommendations. And maybe that's where some of that comes in.
Boyle: Mike, I think that they realize that. I think the nd hoc committee and the task force
in general, the focus groups excuse ~ stnrmt with the underslauding that they were
Housing and Redevelopment Authority - March 31, 1994
assembled to try to come up with some good ideas and recommendations to assist the City
Council and HRA in how we develop it and getting more input.
Mason: Gary, I'm not. I think maybe I'm getting taken, I'm not saying that people aren't
thiob/ug that. I just want to make sure that people remember that. Because you start taking
ownership because I know, like I said from being on the other side of that, you start taking
ownership in something like that and it's like, what do you mean you're going to you know.
And I just think we all need to be real up front about it I guess is what I'm saying and I
don't, yeah.
Chmiel: The same thing was brought up basically to Council too. Is that we're going to
move ahead with everything we're talking about but we don't know how much that damn
thing's going to cost us and that's one of the most important factors. That's what I brought
up at Council. We've got to know what it is. I'm not going to move on anything and I'm
going to say this is the way to go. I need some hard figures to come up with a conclusion.
Richard Wing: But see we didn't even have enough figures to come up with a conclusion
even for the south route...
Chmiel: I know that. That's why I was asking.
Richard Wing: And I'm not being at all cdt/cal.
Mason: Right. No, I understand that.
Richard Wing: You guys favored the south route all along but for other reasons I think...I
wanted to just comment just as it pertains to what we're doing downtown here on this 18
months. When the Council went for 6 months to a year part of it is, and correct me if I'm
not wrong here, if I'm fight or wrong here. But I think our reasoning on Russ' year was that
we decided that land use was going to come to a halt. That there was a lot of pressure that
night at Council. Half the people said we don't want the bar. We don't want it to move.
And so we gave them 6 months to a year to really be fair but the problem was to close it out.
We own it. Let's shut it down. Let's take it over. Let's get going on it. We didn't want to
extend it out for an extended period of time. Based on that's the end of the liquor license for
that location. That's what I remember kind of what happened. So then when it went to 18
months I say whoa. We own it. We want to shut it down. We want to get on. Even if we
close it down and it's empty but we want to get on with it even though there's no decision.
I'm appalled at what happened here and I would disagree with what you decided. But this
library shown at this comer, this really intrigues me because I really strongly support the
Housing and Redevelopment Authority - March 31, 1994
HRA getting whoever, Mark Senn and some of the other people. What's his nmne, it doesn't
matter. The civic center concept where the post office and city hall and lilmlry all create a
community here and a central point rather than start spreading them out...it's a great spot for
the library down there in a way with the designs and Jeff Farmnkes came in and said...but on
the other hand, I sort of like _this concept with the civic center staying kind of close to
downtown. And that means the library isn't across the sueet on the Market Square property.
It's got to be a walkable. .. so I'm dying to see what this group comes up with and I don't
know if that has been discussed with this group. That theory or concept of a, what's the
word.
Boyle: A city center.
Richard Wing: A civic center...is there any direction for that?
Boyle: Oh I _think it's very strong.
C~rhardt: One stop government shopping.
Fred Hoisington: I don't'think so. What we determined about the City Hall site is, that it
does have limits and that you cannot put all the things on here. And that was one of the
things that ad hoc committee needed to know because if everything could go here. Of course
you could let everything in here but what we determined was, that you'd have to have a
million 6 worth of underground parking in order to be able to accommodate it. You can't do
much with a million 6 worth of underground parking except park in it. And so I think, and I
don't want to put words in their mouths but I think we will resolve thaL The only concern I
had is that the library may end up going down there on the Pony/Pauly/Pty'nnus. However,
my feeling at this point is based on fumre...that it really needs to go here without question
and we'll try to at least lay that out. Whether they accept it or not is a diffcn~t matter.
Boyle: Well I feel very positive that the real purpose that the focus group and the ad hoc
committee was formed was to get a group of citizens in the city of Ctumhassen together to
give ideas. Recommendations. A lot of minds that show interest in the ~TmmuRity, to help.
Again I repeat, to City Council and HRA, ideas on how to do it. And when it's done, at least
it's not 5 or 6 or 10 people making the derision. You've got the majority out there all upset.
You mighL You might come close to getting some agreement within the community as to
what happens.
Bohn: I don't think it's I-IRA's job to say where the post office or where anything goes.
Boyle: Oh no. I agree.
Housing and Redevelopment Authority - March 31, 1994
Chrniel: There for a while Gary, I was the guy who said, let's involve these people and I
made that happen and a couple different times at the meetings I sat back and I sort of said,
oh Sesus, what did I do this for. I really did. But yet it's still good because you're getting
that input.
Mason: That's what government is all about.
Boyle: It's extremely frustrating but the botwm tine, when it's all over, I think we'll be glad
we did it.
Chmiel: Well that's the whole thing.
Mason: And what the gentleman, what Councilman Wing is ~lidng about. About
re/nventing the wheel. You know if nothing else, what Highway 5 does, what SWMP does,
what Vision 2002 does, is it gets the ball rolling. You know at least it gets things off of dead
center. Even if it just irritates the hell out of everybody, something comes out of it and then
SO.
Gerhardt: When I started introducing Fred, I mean I came out with some posifive...and
you're going to get some rubbings in those things but the thing on the railroad and there were
some really good ideas. I really liked it...There were some neat ideas of how to use the back
side of the Dinner Theatre. You know people are starting to really envision that back side of
the Dinner Theatre being an entertainment area. They're talking about movie theaters.
They're talking about indoor playgrounds...
Bohn: That's why I talked about the end of Pauly's lease because Vernelle's been wor~ng
with Russ, trying to get Russ to move over there.
Rk:hard Wing: Move where?
Bohn: Behind the Dinner Theatre.
Chmiel: Well thank you.
Mason: ~ Fred.
Bohn: Thank you.
,UPDATE ON MARKET SOUARE.
26
Housing and Redevelopment Authority - March 31, 1994
Gerhardt: h got tabled.
Mason: It was 12:30 when that one got tabled.
Chmiel: It was only 1:00 when we finally got done.
Mason: Oh it was 1:00 when we left and how many itrms did we still have left lo go?
Chrniel: 5. It was a heavy agenda.
Mason: Well there was a lot of imporlm~t stuff and it needed to happen but Wendy's wasn't
getting talked about.
Gerhardt: I do not think Council delayed that whole action...They had some real
situations to talk about Byerly's sign took a little long.
Mason: Far longer than it should have.
Chrniel: Charlie talked too long. Oh sorry Charlie.
Mason: No, we can't hang this one on Charlie.
Gerhardt: But it's going back to City Council in 2 weeks as unfinished business and the
agenda's being established that that i~n will be discussed.
Mason: And it will be a real small and short ag~la.
C_m'hardt: No. It's getting bigger. Everybody's saying I've got to be on it. I've got to be
on it. I'm going oh boy. We'll see what gets deleted.
Chmiel: Being that I have a big hand, I've got to really look at that thing v~ry closely for
Monday night because I had some...
Gerhardt: So this is only part of the planning report that went out. I took all the Minut~
and things like that It's just too thick to provide everything for you. If you want to come
up to City Hall and I'll give you the whole file on it ff you want to review it any more but I
thought it gave you a good feel for how ~hings have be~ going and the options that are
available. So if you want...
Bohn: We won't know anything about, until it comes back from City Council anyway.
Housing and Redevelopment Authority - March 31, 1994
UPDATE ON THE HANUS FACILITY ROOF~
Gerhardt: Staff received a phone call about 2-3 weeks ago from Gary Kirt. Prior to that I
think Gary had talked to Fred and Tim Stefan regarding the detailed plans and wondering, can
a roof really cost $50,000.00 or not. And after reviewing those and talking to a couple
roofers and he realized that the best time to do that roof is now. He's in agreement with
what the HRA has planned for this area and is willing to contribute $50,000.00 to the roof.
Staff is recommending that you put the roof on. I think it helps us in the bidding of the
project and they need a new roof. I have received a couple of complaints. We are now
property managers of that facility and every tenant in there has a leak. Some have it really
bad so that needs a new roof.
Mason: Absentee landlords.
Gerhardt: Well, I did it. I'm the new slum lord. I pushed them off.
Boyle: Well ff he's willing to kick in $50,000.00 and we're estimating 50. Bids have not
been put out I take it. We can put bids out and more than likely it will be in that
neighborhood anyway, right? Or close.
Gerhardt:
Army...
And the architect on this project is the guy that's in the newspaper today...the
Mason: That's a neat deal. That's a slick deal.
Boyle: Do we need a motion on this?
Gerhardt: Ah yes.
Chmiel: It looks like we have a recommendation yes.
Gerhardt: ...we have that already. It's to include in the specifications the reroofing of the
building.
Chmiel: Yeah, as it reads here. Staff recommend the HRA direct staff to include re-roofing
as part of the overall improvements in the Hanus facility with the condition that Gary Kin
submit a check to the City of Chanhassen in the amount of $$0,000.00 no later than 2 weeks
after the date of the HRA's approval.
Boyle: I'd second that.
28
Housing and Redevelopment Authority - March 31, 1994
Bohn: It's been moved and seconded. Discu~on.
Chmiel moved, Boyle seconded that the URA direct staff to include re-roofing as part of
the overall impFovements in the Hanus facility with the condition that Gary Kirt submit
n check to the City of Chanhamen in the amount of $S0,(~.00 no later than 2 weeks
after the date of the URA's approval All voted in favor and the motion carried
unanimously.
CONSmER GIVING THE TENANTS OF THE PRYZMUS BUILDING NOTI/~E TQ
VACATE THE BUILDING AND ASSET IN RELOCATION.
Gerhardt: Another building that has a roof problem. Right now you have over there is an
upper floor, a rental space that has four, one bedroom ap~ts. And below it you have
one tenant, Mr. Black...well dig~ng consultant company and he had some very hnpormnt files
in there on well specifications and he called me probably every other week about leaks in the
buikiing and I've sent our custodian over there to look at it. He's afraid to go on the roof.
He will not go on the roof alone because he's afraid that it would not ~ him_ And there
are also some code violations as you can see from Mark Littfin's memo and those are ~nly
fire cedes. Kirchman has, our building official has not provided an offi~ letter of building
code violations. The tenants are aware that the liRA owns this building. They're aware that
the lease runs up the end of May and they know that the time is shm't.
Chmiel: There's no relocation costs involved with that is tim'e?
Gerhardt: Yes. There is.
Chmiel: All those in place
Gerhardt: They're all in place. And we unfortunately did not get out of that and it's not like
an individual business like Pauly's and Pony where you can include relocation as part of the
acquisition. This was a rental bnilding and you have to deal with each of the rental ~umts
on relocation and assist them in trying to find relocation mmeplace else with ~ or
greater rent and pay for the/r moving expenses.
Mason: We do have to pay for their moving
~t: Yes.
29
Housing and Redevelopment Authority - March 31, 1994
Boyle: Within a certain radius or something.
Gerhardt: Right.
Bohn: The tenant that's on the main floor is, you said is a what? The tenant on the main
floor is who?
Gerhardt: Barchoff. I'm trying to think of. Jack. Jack Barchoff.
Bohn: I thought that was an architectural firm in there the time we bought that building.
Gerhardt: Insurance and.
Bohn: Yeah, Schneid~'s out.
Gerhardt: He's been there a long time.
Richard Wing: Jim... Todd, just out of curiosity. Everything you've talked about tonight has
been complex. Why hasn't staff recommended or HRA simply said, it's torch time?
Te, m~ate the leases and level it. Clean it up and get out of there. I mean we have fire
hazards and resident hazards and security in buildings and lease problems with trouble
collecting rent...out of it. Why don't you simply level it and put some pine trees on the
comer?
Gerhardt: Well from the feedback I got from the HRA tonight is that you know, we prepare
plans and specifications. If it's your wish to see those two buildings down, the Pony and
Pryzmus buildings, you know we can still get good bids for demolition as soon as Mr.
Kallestad moves out October 1. I mean we could be ia there October 2nd and get started
with demolition of that entire area.
Boyle: I think that's an excellent idea. I really do. I think I asked this before Todd but are
they 3 separate buildings?
Gerhardt: Yes.
Boyle: Okay. If the Pryzmus building is vacated in 90 days, I ~ could, would it make
sense, I mean that evidentally is unsafe. Could we move with demolitioning it first or would
that leave. I guess that wouldn't make sense. It's got to be done, yeah. Both at the same
time.
30
Housing and Redevelopment Authority - March 31, 1994
Chmiel: Rather than taking one off.
Mason: It sure would be nice on the 1st of October to have those bulldozers ready and you'd
have it within a week right?
Mason: You're quoted.
Boyle: I heard a week.
Gerhardt: But we could, October 2nd. If you wanted to do that, I'll start plans and specs and
bidding.
Boyle: Okay, we'll give you 10 days then.
Bohn: If we have the people out of the Pryzmus building, what are we going to do to
prevent somebody torching it7 Not on purpose necessm'ily but it's going to be a vacant
building.
(lerhardt: I'm sure the Fire I~partment's going to have some training in there so I would
say, between now and the time we torch it. Or we won't torch it. We'll demo it but they're
going to want to practice. They'll fill it up with artificial smoke and the guys will crawl
around in there. I'm sure they'd love to play around in there. But we'll just secure it. We'll
board up the windows and lock all the doors and watch it for the next 6 months.
Boyle: I'd like to make a motion that the lIRA direct staff to prepare the necessary notices
to all the tenants that they have 90 days to vacam the property and to assist with the
relocation processes. And begin getting bids for demolition of the two buildings.
Mason: Second.
Bohn: It's been nxrved and seconded. Discussion.
Mason: Well I just thinking rea] quickly that maybe flmre should be some kind of something
in there about Mr. Kallestad. If he can get out of there before 6 months.
Chmiel: I think we move that in the event that he does, yeah.
Boyle: We could move faster than this.
31
Housing and Redevelopment Authority - March 31, 1994
Boyle moved, Mason seconded that the HRA direct staff to prepare the necessary
notices to ali the tenants of the Pryzmus building that they have 90 days to vacate the
property and to assist with the relocation processes and to begin getting bids for
demolition of the two buildings. All voted in favor and the motion carried unanimously.
APPROVAL OF BILLS.
Chmiel moved, Mason seconded to approve the Housing and Redevelopment Authority
account payables as presented. All voted in favor and the motion carried unanimously.
HRA PRESENTATIONS;
Bohn: Request for park and trail dedication.
Gerhardt: Mr. Ch~, 2 weeks ago I had discussion with Charlie James and he asked to
be placed on the HRA agenda to request HRA assistance in helping offset the increase in
park and trail dedication fees for 1992 to 1994. I have to apologize. I did overlook adding
him to the agenda and I understand your policy in not taking action on items that are not on
the agenda but in this case I really feel strongly that you are not setting a precedence. I mean
I should have had him on there but that's your decision tonight As to Mr. James' request,
over the past year, raw land values in Chanlaassen have gone up dramatically. With the
expansion of the sewer and water, the MUSA area, and incorporating those lands west of
downtown Chanhassen, we've seen a dramatic increase in developable land and the price of
that. The City Council, recognizing this, took action to raise park and trail dedication fees to
give us the capabilities to go in and buy parkland. The demands for parkland and trying to
meet those in the community have been a long struggle of the City Council, particularly up in
the Minnewashta area and also the installation of trails throughout Chanhassen. The demands
for those dollars and what thc city receives is great So in recognition of those increases, the
Council did substantially increase park and uail dedication fees. However, through our
negotiations we never really took that into account with Mr. James. We gave information to
Mr. ]'ames in '93 when he came in the past 8 months we've been working with him. He did
his budget based on '93 park and trail dedication fees in hopes that he would have started
grading in thc early part of December, November on his site and he would pull a building
permit at that time. However circumstances and how he would construct his building
wouldn't allow him to do that. And staff feels strongly that in our negotiations we did use
the '93 benchmarks. I guess at this time I'd like to introduce Charlie James so he can give
his insight on how he feels this process may have come about.
Bohn: Mr. James.
Charlie James: I guess I'm somewhat embarrassed to be here with my fin cup. I guess
32
Housing and Redevelopment Authority - March 31, 1994
basically we were a victim of a co-mmsition period in preparing our budget and negotiating
our lease with Byerly's and putting our numbers together for the bank and so forth and so on.
We called thc city last year and we got ali the info on what the gmm~ts were going to cost.
What thc sac charges were going to be. What the wac charges were going to be and what all
the development fees were going to be and we had all that out on a spread sheet. And we
subsequently awarded the contract to Kraus Anderson and that's being, the conuact is being
broken up between Kraus Anderson St. Paul Division and their West Division. And when
they came in with the contract for me to sign they had all new numlx~ on that part of the
contract and I said there had to be some mistake. I said that wasn't what had been
represented to me. So I called the city and foond out that within a week or two of us getting
approval that they had raised all these fees and we weren't told that they were eminent. And
as I said, we had negotiated our lease and economic terms based on these old figures and so,
I guess we're trying to seek a little more reba~ of the taxes we're going to be paying on this
project for this siumfion.
Gerhardt: In negotiations with everybody in this community, we've always said that, you
know they always say well, is that tax increment. Are you going to pay for park and trail
dedication fees and we've always said no. And I continue to believe that you would not be
setting a precedence ff you should happen to grant Charlie his credit tonight. This is his one
that, and we feel that the park and trail dedication fees as they're outlined, or the credit would
be, but we feel that through our negotiations with Charlic, that he should receive some type
of credit for this. It's just a matter of cirom~tauces that he was 2 weeks late in pulling up a
building permit. Do not give him full crediL He's still going to pay $52,~.~.0.00 in pm'k and
Uail dedication fees and all we're saying is that ff he did take advantage of thc increment
coming off of his site to assist that overage.
Charlie James: I guess just one other point that I forgot to mention. We're only talking here
about Lot 4 and we don't have au issue with paying the new park and trail fees on whatever
we bring in on Lots 1, 2 and 3, which constitute a little over 5 acres. So when that happens,
we'U work those numbers into whatever our budget is at that time for whatever project we'll
do.
Gerhardt Well that's good because then...
Boyle: I guess that leads to the question, is that the only alternative then? I mean is there
another option of absorbing the $26220.00 di~ercnce?
Gcflmrdc Charlic could pay it is the other option.
Boyle: No, that wasn't what I was getting to. Rather than TIF...we go that direction. I mean
Housing and Redevelopment Authority - March 31, 1994
that's the most logical way.
Chmieh You can't feel sorry for most of them but in this particular case, you know and I
can understand some of these things that happen. The timeframe of it change and you put all
your facts and figures down and it's going as a go project
Gerhardt: What Gary's talking about, is there any other dollars out in the community or in
other programs. The metro area just doesn't receive any of those. Chaska's filing for some...
and it's unbelievable how much hoop jumping and politicking that you have to do for
$100,000.00. I mean you're going to spend more than the benefit.
Charlie James: I guess the other thing is that I will be writing thc check for $78,600.00 this
year but we won't be getting, we'll be getting that money paid back in three installments
starting in 1996 so I guess we're going to wait a while to get.
Boyle: Oh I didn't understand that but, well this is kind of...
Bolm: Mike.
Mason: Well, I mean if. Well I don't know. I don't have any quibble at all with what
Charlie is saying here. I mean I wonder what happens to somebody that, I nman if this were
to happen to somebody building a deck, what would happen? Well on something that would
be related to park dedication fees.
Gerhardt: They would have to pay it, you know. And if all the increases on all the new lots
as they come in...just like everybody else is going to increase the price of their lots to make
up that overage you know. And if we don't grant Charlie the $26,000.00, Charlie will have
to look at trying to make it up through rents against the little tenants. He's already negotiated
the lease with Byerly's so the smaller tenants in the building will have to pick up those
additional costs and put it back against the project.
Boyle: You said the time frame, I mean a 2-3 weeks, whatever. I mean this is kind of, I have
no problem at all with it. The $26,220.00 difference. I have no problem. With Charlie's
request. As Mr. James' requested.
Bohn: Don.
Chrniel: Well I think I mentioned before. This is, he was working with us in good faith to
move along. I'm not one to readily give up anything as far as the respective developers and
builders within the community because that's part of the game. But unfortunately in this one,
34
Housing and Redevelopment Authadty - March 31, 1994
where you are just a short time over a 2 week period, it mslre-~ me sit back and think about
why should this really take place, even though that permit was not issued. I don't have any
real problem. I really don't.
Charlie lames: Another thing Mr. Mayor, excuse me but I just want to say that the
conditions of the permit were that we c~ the well. That we pmnp the septic'sysle~ and that
I post a letter of cre~t I think it was for around ~[0,0(~.00 and I did all those things in
November. We just. I did everything that was necessary.
Chmiel: Except thc issuance of the b~ilttln§ permit which is, moving thc permit is the thing
that...gets it goin§ and yeah, I had understood that you had done those things as well.
Gerhardt: In most cases I mean, you know throughout the downtown, I m Charlie you
know, we typically go in and demo the bnildings and cap the wells and we aid it over on
Town Square and throughout the. The Hanus building. I mean there's several wells back
there. The old Hanus building.
Mason: Charlie, can I ask you a question? How important is this for you to have this
wnight as opposed to next month? Well.
Charlie lames: Oh okay. Well the reason we're here wnight is because the TIF a~reement is
an agreement to our lease with Byerly's and that's han~g out there. And we need that so
we can deliver the whole thing to the bank. That's a requisite before they'll fired that so I'm
already person~y guaranteeing payrramt for sp~ constructional seal and things .that
have had to be pre-o~ered but I haven't, but the bank isn't going to fund or reimburse me
for those things until they've got this lease in their hands and I can't give them the lease
because Exhibit F to the lease is the.
Mason: Sure. Sure. Okay.
Charlie James: So that's kind of why this all came about and what we need to do, I believe
the mechanism is simply to increase the amount of. We're not creating an obligation- Is that
right Todd? I ~ how does that work? It's, they inav, ase the amount on one thing but not
the other and it doesn't ~ a binding obligation on the part of the city. It's just that it's
there and the money will be paid, right?
Mason: Well then okay. I guess I want to ~k the Chairm~ or Todd or whoever how we
can work around the fact that this isn't on the agenda tonight.
Gerhardt: The only thing that I can lead to it is that I forgot to put it on- He had made the
Housing and Redevelopment Authority - March 31, 1994
request to be on and he had talked to Don about it. That's the only thing I can come up
Boyle: I think with that statement in the Minutes, it would probably preclude any future
reu'ibufion to that. Don't you Don?
Charlie James: I guess I did have, as soon as this issue came up in January, I did have
immediate meetings with the staff and there were alternatives discussed and so forth and so
on and it was decided that probably the liRA was the appropriaie venue for this.
Gerhardt: If I could add one more thing. Our April meeting is not one that you're going to
be taking action on. It's the goals session with Council. So I'm not scheduling any items for
that so we're going to meet in April, you'll have to establish a special meeting time. If you
would like to do that, you know if you want to meet again to do this one item. Otherwise he
would have to wait until May.
Bohn: Let's get it over with.
Mason: Well that's fine. I guess I'm a little worried about some fallout.
Gerhardt: Well I appreciate that. Sometimes when you put these under Visitor Presentations
you get...feedback where you gentlemen are sitting on and it gives us some more time to
think about these issues. So I can appreciate it.
Boyle: I don't think we should hold Mr. James up because of an honest oversight.
Bohn: Do I have a motion?
Mason: I will move that the prior redevelopment agreement between liRA and Mr. James
should be modified to reflect a $26,220.00 credit for park and ~rail dedication fees.
Bohn: Second?
Boyle: Second.
Bohn: Discussion.
Mason moved, Boyle seconded that the prior redevelopment agreement between HRA
and Mr. James should be modified to reflect a $26~20.00 credit for park and trail
dedication fees. Ali voted in favor and the motion carded unanimously.
36
Housing and Redevelopment Authority - March 31, 1994
Mason moved, Boyle seconded to adjourn the meeting. All voted in favor and the
motion carried. The meeting was adjourned.
Submitted by Don Ashworth
Ex~'utivc ~
l~~l by N~nn Oph~n
37
OITY OF
690 COULTER DRIVE · P.O. BOX 147 · CHANHASSEN, MINNESOTA 55317
(612) 937-1900 · FAX (612) 937-5739
~ORANDUM
Housing and Redevelopment Authority
FROM:
Todd Gerhardt, Assistant Executive Directar
DATE: May 10, 1994
SUBJ:
Reject Bids on the Hanus Remodeling Project
Staff' was very disappointed in the bids we .... on the Hanus Building Rea~3de~iag
project. The low bid was $282,000 and the a~..~'s estimam was $148,550, a di~mce of
$133,4:50. ~"
Staff still has not had enough time I~ sit d0~~ and ~ out how we might go about trying
to accomplish this project and still stay within the bud.get guidelin~ However, at this point,
the HRA should reject aH bids received ..~.~,'"May $, 1994~: and direct staff to look at other
· . ;'-': ~:~'=
Attaint _:.:.:;--.'~-
.~:-i'.: ~ ': .
BID RESULTS
HANUS BUILDING REMODELING
May 5, 1994 at 10:00 a.m.
Bidder
Watson Forsb~rg Co.
Ad~l~ndum Bid Bond
1,2, 3 10%
Bi~ Amount
$282,000.00
2. Laraway Roofing, Inc. 1, 2, 3
10%
$340,965.00
3. Loeffel Engst Corp.
1,2,3
10%
$325,000.00
Total construction cost estimate $148,550.00
ITY OF
690 COULTER DRIVE · P.O. BOX 147 · CHANHASSEN, MINNESOTA 55317
(612) 937-1900 · FAX (612) 937-5739
~OP. AND~
Housing and Redevelopment Authority
FROM:
Todd Coerhardt, Assistant Executive Director ~,~
DATE: May 10, 1994
SUBJ:
Consider Change Order to I-Ianus Facility
.-.
Attached to this memo is a letter from Michael .._ outlining two pro~sed change orders
for the I-Ianus facility parking lots and servi~..~:'ro~ and thc hauling of fin ~ for the
embankment at the north end of the ~!hrid~. (Attachment #1).
In proposal number one, stuff is requesting tl~..-' t the HRA' :increase the depth of both the aggregam
base from 9" to 12" and the depth of thc M~ous fr0~....3" to 3~". Staff is reconm-gnding this
change to comply with the city's stnfldnrds for stre~.~-]~onsmicfion. The total cost for the
proposed upgrade would be appro~ $11,673.00.
.--.~.
The second proposal is calling for lt~ contractor, Buck's =.. ktop, to haul ~ill rnatcrial from the
Byerly's site to the north end of ~ pedeslrian tn'idge. Tine l~on staff is requesting this change
is that the north embankment must be raised to follow th~cight requirements of MnDOT.
Using Buck's Blacktop has 'the following advantages to this
2. Cost savings for both parties in using the ~~'~~ project
3. Using trait bids already receiv_.ed on the Hanus project for silted"
The possibility of using 450 of ~~.~.~. '.~ ~'pproves proposal #1 at
no charge. .
5. Using just one contractor to do all the both projects,
The total cost for this proposed upgrade would be appmxlmn_te_.ly $17,397,00.
HRA
May 10, 1994
Page 2
Recommendation
Staff recommends the HRA direct staff to process two change orders as follows:
1. Upgrading the depth of the aggregate base and the thickness of the bituminous to meet
city standards and at a cost of approximately $11,673.
2. The construction of the embankment at the north end of the pedestrian bridge at a cost
of approximately $17,397.
Attachment
1. L~tter from Michael Schroexier dated May 6, 1994.
:' ';" 1994
,,,,.~ ::. y-.
May6, 1994
Mr. Todd Cmahardt
City of Chanhassen
690 Coulter Drive
P.O. Box 147
Chanhnssen, Minnesota 55317
RE: Site Improvements for the Hanus Building: Proposals for Changes to the Work
I have received proposals for additional work at the Hanus Building from Buck Blacktop, Inc.
Both proposal were requested at the pm-c6ns~on meeting held earlier thi~ wee~
The first proposal would increase the .depth o~f'a~gate ba~ i'n I~V~ ~ from 9" to 12" and the
depth of biLnminous wear course:ft0m'3" t'o 3-i/2". :The ad~'ti~nal ~,ost to the'Contract would be
approximately $11,673, based on the foll'b~ing~ ..............
678 tons aggregate base (equal to 3" depth)
159 tons bituminous wear course (eoual to 1/'2" denth~
- _ -
Total Cost
$2,100
$5,0S5
$11,637
The final cost of this work would be based on the actual amount of material used, so costs may
vary. Acceptance of this proposal would result in a pavement throughout the Hanus Building site
that complies with the City's standards for street consmmfion.
The second pan of the Contractor's proposal would cover the construction of the embankmeat at
the north end of the pedestrian bridge. The proposal"assom~. ' thai'bo~w m-t_~fl' would be
obtained from the'City at file Byerly's si~ ~at"no:c.z~t'~'fl~ c0ri~5;'ana that appm~im,tely
3,500 cubic yards would be required (based on Contractor estimates). The cost for this work
would be appro:dmnt~ly $17,397~'based On the following:' ' " ' ....
LmdUse/Envitmmmtxl · P .hnning/Design ,
7300 Metro Boule~d / Suite 525 · Mintmpdis, Minnesota 55439 · (612) 835-9960 · ~ (612) 835-3160
Mr, Todd C-erha~t
May 6,
Pag~ 2
825 linear feet erosion control silt fence
Remove trees
Load 3,500 cubic yards common borrow
Haul 3,500 cubic yards common borrow
Plac~ 3.500 cubic yards common borrow
Total Cost
$2,062
$460
$2,625
$4,375
$7.875
$17,397
ba~ed on Contract unit prices
based on Contractor proposal dat~ 5/5/94
based on Contractor propos~ dated 5/5/94
based on Conuactor proposal dated 5/5194
based on Contractor proposal dated 5/5/94
The final cost of this work would be based on the actual amount of material used, so costs may
vary. If excess material can be obtained from work at the Hanus Building, it would be placed as a
part of the embankment at no charge, thereby reducing the amount of borrow material reqtfized and
the cost of constructing the embankment. Also, acceptance of the first proposal described in this
letter would result in approximately 450 cubic yards of embankment material which would be
placed at no charge, and the overall costs would be reduced. Acceptance of this proposal would
expedite construction of the embankment at the north end of the pedestrian bridge and eliminate
conflicts between construction at the I-Ianus site and the pedestrian bridge site.
Please review these costs and let me know if the City wishes to accept either proposal. I will
prepare change orders to the Contract for construction for the Hanus Building as required.
Please call me if you have any questions.
Sincerely,
Hoisington Koegler Group Inc.
Michael Schroeder, RLA
CITY OF
690 COULTER DRIVE · P.O. BOX 147 · CHANHASSEN, MINNESOTA 55317
(612) 937-1900 · FAX (612) 937-5739
MF_.MO~~
Housing and ~elopmgat Authority
FROM:
Don Ashwonl~ Bxecufive Dizecmr
DATE: May 11, 1994
SUBI: Senior Housing
On Monday evening, the city council acted to ~:~he next senior housing work session for the
third Monday in June - June 20 (5:30 p.r~). ~~ with the direction from our last
work session, I would anticipate that a ~:.from Dakota County will be present in
June m discuss projects that they have can-ie~...;but in'~'~akota County and their
succes~silures. I woukl also anticipate ti~. ~tarious ~s will be available as to units that
No action is required. ._~" "~:'
CITY OF
690 COULTER DRIVE · P.O. BOX 147 · CHANHASSEN, MINNESOTA 55317
(612) 937-1900 · FAX (612) 937-5739
MEMORANDUM
Housing and R~l~/~opm~t Authority
FROM:
Todd C-crhardt~ Assistant P~xccutive Director~'
DATE: May 10, 1994
SUBJ':
Update on Entry Monuments
Attached you will find a memo from Don Ash~ I~ the May~r and City Council outlining
the background and history of entry monumen~ $..~mff had Michael Schroeder give the City
Council a presentation to updatr them on somi~'"pasi:~ffn projects that th~ ~ had
undertaken over the years. ~;,":-"~-*.~
The City Council then discussed among ~ves them'sc that they would like m see the
entry monuments proceed. They felt tlC. f/he project sli .ould be concentrated on three
~.~.,. ~.
· the old Taco Shop in~
· Market Boulevard and Highway 5, and ~.
· County Road 17 and Hwy. 5
·
a feature At the Market Boulevn~d ~~.~~t _ ~ ~t~l to ~ee
watl or atgn mon~ unless it could be done tastefully and not very ~.~ Th~ also
noted thnt this intn3ecfion was ~._..~ enlrance to the downtown~.~nd;/hould be designed
Staff would like to open this item up for I~~on and comments. '
Al~chn~n~
1. Memo from Don Ashworth dated May 4, 1994.
CITY OF
690 COULTER DRIVE · P.O. BOX 147 · CHANHASSEN, MINNESOTA 55317
(612) 937-1900 · FAX (612) 937-5739
MBMORANDUM
TO:
FROM:
Mayor and City Council
Don Ashworth, City Manager
DATE: May 4, 1994
SUBJ:
Entry Monuments
On Wednesday I received a call from Colleen stating that she felt Monday evening's meeting
should be relatively short and would provide the oppommity to tackle one or more of the
pending work session items. As we have scheduled Bill Morrish and Barry Warner to be
here on May 16, accelerating that item is not possible. Similarly, the gateway entries are an
item which are influenced not only the corridor study, but also the Vision 2002 process.
However, in discussing this item with Fred Hoisington~ we thought that providing the council
with background of what had been completed to date and some of the tentative thoughts in
regards to the entryways would be a good idea. Again, the presentation will be rather sketchy
and will be more of an attempt to determine whether the' general course we are stat~g to
travel seems reasonable w the counciL
~-....
,,(': ... - .
.' ~.~_.." ·.
.. ...
[Note - The following excerpt is repeated from the memorandum "Set Special Meeting
.
· , .... . · ....._ .~.~.........~,, .--..-
.- .._:_-,~_.....-:_.~ .... ~,':'-::'__~./.-. ~,_-':~,× .-----..-?_-,:-,~.~-..~"
.. ..~,. ..,,.,- .... ....-~,:._....:~.,,,/_.-....:,....:..-,.;.:.~...;:.:;:..: ~.- ...,--- -.,+~ - ,,.~';'"'"'~*~.~'-"'"'-'~'?~
'."- . ' ........... .- ..... . · - -- l '~-.:~:..".'..",..~., .:- -~ ~,.
.,... ' .... . ~ ....= ~ .~-.'.,~
· .': .
~.... _ . .
Dates".]
ITY OF
690 COULTER DRIVE · P.O. BOX 147 · CHANHASSEN, MINNESOTA 55317
(612) 937-1900 · FAX (612) 937-5739
MEMORANDUM
Housing and Redevelopm~t Authority
FROM:
Don Ashworth, Executive Director
DATE: May 11, 1994
SUB1:
Development Agreement, Ryan Construction
As lhe HRA is aware, a tentative sgreament ~ the HRA and Ryan Conslrucfion was
authorized approxima~y one year ago. The 1~~ delay occurred as a result of desiring to
ensure that the proposed development of ~ ~~ would confum~ with the work efforts of
the Highway 5 Task Force. It was nddifio~y deln~ in thnt the planning commission fi~lt
that the five lot configuration was too dcnsc..~!i:~ thnt'~..dgn~cant buffer areas should be
established to the south, west, and the nc~?0f thc ~sed development. These actions '
reduced the buildable from five lots to ,~..":~current conff~on of three lots. However, in
has virtually vanished. In fact, staff~y believes ti~less than one-third ~ Ryan's
HRA of ensuring tha~ the city ~:~eimlmrsed its full costs?mcun~ in purchssing Ihe
property. The sgre~nent also lias the full costs of as~
.. ses~ ($102,000) over both Ouflot A
(lrrope~ being sold to Ryan) as well as Ouflo~ B are being ~i~.~ouped from ~ three buildable
lms even though the scUml asses. ~~~-~~~:Is less titan $70,000. I~ should
contract 15 significantly less thnn typicak Le, 1½ years incremen~ ~--'"~:'agreernent
of 3 years.
. . ..
Approval of the attached development agreem~t is~r~C~
·
L
CONTRACT
FOR
PRIVATE REDEVI~)PMENT
BY AND BETWEEN
THE HOUSING AND REDEVELOPMENT AUTHORITY
1N AND FOR
THE CITY OF CHANHASSEN
RYAN CONSTRUCTION COMPANY OF MINNESOTA, INC.
a M~n~sota eo~po~'ation
I I i
This document was drafted by:
Holmes & Graven, Chartered
470 Pillsbu~,r Center
Minneapolis, MN 55402
J~D49227
CB130-25
Section 1.1.
Section 2.1.
Section 2.2.
Section 3.1.
Section 3.2.
Section 3.3.
Section 3.4.
Section 4.1.
Section 4.2.
Section 5.1.
Section 5.2.
Section 6.1.
Section 6.9..
Section 6.3.
Section 6.4.
Section 6.5.
Section 6.6.
Section 6.7.
Section 6.8.
SIGNATURES
TESTIMONIALS
SCHEDULE A
TABLE OF CONTENTS
Definitions ........................... 3
ARTICL~ H
Representatiens and Waemn~
Representations by the Authority .............. 5
Representations by the Redeveloper ............. 6
Status of Peoper~y .......... 7
Conditions Precedent ;o'(~o]~;e~e' o'f P~operty . [ [ . . . 7
Purchase l>rice ......................... 8
Closin~ ......................... · · · ·
ARTICI~ IV
Public Assistance
Consteuction of the ]M'ln'iml.tm Improvements ......... 10
Fora of Public Assistance ................... 10
ARTICLE V
Tax
Tax Increment Ce~tificetion ..................
Real lh, operty Taxes; Spe_,~nl Assessments .......... 12'
ARTI&.~ VI
Additional
Eqt~_~! Employment Oppor~atnity ................ 13
Restzdctions on Use ..........
Provisions Not Merged ~t[h I~' [ [ i.. ~ [ .... [.. ~ 13
Notices and Demands ...................... 13
Disclaimer of Relationships ..................
Coven_~ts Runnin~ with the Land . ' ........ ' . . . 13
Modifications .......................... 13
Counterparts .......................... 13
REDEVELOPMENT PROPERTY LEGAL DESCRIPTION
0~D49227
C~3.30-25
j.
CONTRACT FOR PRIVATE REDEVELOPMENT
THIS AGREEMENT, made on or as of the day of , 1994,
by and between THE HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR
THE CITY OF CHANHASSEN (hereinafter referred to as the "Authority") and RYAN
CONSTRUCTION COMPANY OF MINNESOTA, INC., a Minnesota corporation
(hereinafter referred to as the "Redeveloper"),
WITNESSETH:
WHEREAS, the Authority was created pursuant to Minnesota Statutes, Sections
469.001-.047 (the "Act") and was authorized to transact business and exercise its
powers by a resolution of the City Council of the City of Chanhassen (hereinafter the
"City") pursuant to Section 489.003 (formerly Section 482.425) of the Act; and
WHEREAS, in furtherance of the objectives of the Act, the Authority has
engaged in carrying out a redevelopment project known as the Redevelopment Plan
for the Downtown Chanhassen Redevelopment Area (hereinafter referred to as the
"Project") in an area (hereinafter referred to as the "Project Area") located in the
City; and
WHEREAS, as of the date of this Agreement there has been prepared and
approved by the Authority and the City Council of the City a redevelopment plan for'
the project (which Plan is hereinafter referred to as the "Redevelopment Plan"); and'
WHEREAS, in order to finance, in part, the public redevelopment costs of the
Project the Authority and City have created a Tax Increment District for the
Downtown Chanhassen Redevelopment Area (the "Tax Increment District"); and
WHEREAS, there has been presented by the Redeveloper to the City and the
Authority for their consideration a proposal for the development of a retail facility
within the Project on property located within the Tax Increment District; and
WHEREAS, the Authority has reviewed the Redeveloper's development
proposal and has determined that such proposal ff completed would serve to
accomplish the goals and objectives for which the Project and the Tax Increment
District were created; and
WHEREAS, in order to achieve the objectives of the Redevelopment Plan the
Authority will acquire certain real property in the Project Area, more particularly
described in Schedule A annexed hereto and made a paFt hereof (which propm-ty as
so described is hereinafter referred to as the "Redevelopment Property"), and is
prepared to convey the Redevelopment Property to the Redeveloper in order to bring
about redevelopment in accordance with the Redevelopment Plan and this Agreement;
and ·
WHEREAS, in order to achieve the objectives of the Redevelopment Plan the
Authority has determined to provide aid and assistance to the Redevelopment
Property as hereunder provided; and
WHEREAS, the Authority intends to fund such aid and assistance by using tax
increments generated from the Redevelopment Property and the improvements to be
constructed thereon; and
J~D4g227 '
c~3o-25 1
WHEREAS, the Authority believes that the redevelopment of the Px~Ject A~ea
pursuant to this Agreement, and fulfillment ~ener~dly of th~, Agt~mment, a~e in the
vital and best interests of the City and the health, safet~r, morals, and welfar~ of its
r~stdents, and in accord with the public purposes and p?ovistons of the applicable
state and local laws and ~equfrements unde~ which the Pr~ect has been undm-taken
and is heine assisted.
NOW, THEREFORE, in conside?ation of the pr~es and the mutual oblt~tions
of the parties hereto, each of them does hereby covens.t and a~ree with the othe~
as follows:
u"BD49227
CZ1130-2g
ARTICr.~ I
Def~,,~tions
Section 1.1. Definitions. In this Agreement, unless a different meaning
clearly appears from the context:
"Act" means Minnesota Statutes, Sections 469.001-489.047 (formerly Municipal
Housing and Redevelopment Act, Minnesota Statutes, Sections 462.411-462.711), as
amended.
"Agreement" means this Agreement, as the same may be from time to time
modified, amended, or supplemented.
"Assessed Market Value" or "Assessed Market Valuation" means the market
value of real property as determined by the county assessor of the county in
accordance with Minnesota Statutes, Section 273.11 (or as finally adjusted by the
assessor, board of equalization, commissioner of revenue, or any court).
"Authority" means the Housing and Redevelopment Authority in and for the
City of Chanhassen, or any successor or assignee.
"City" means the City of Chanhassen, a Minnesota municipal corporation and
statutory city according to the laws of the State of Minnesota.
"Closing" means the completion of the transaction contemplated in this
Agreement between the parties hereto.
"Construction Plans" means the plans, specifications, drawings and related
documents on the construction work to be performed by the Redeveloper on the
Redevelopment Property which shall be at least as detailed as the plans required to
be submitted to the building inspector of the City.
"Development Contract" means the Development Contract for installation of
public improvements between the City and the Redeveloper.
"Minimum Improvements" means the improvements described in the
Construction Plans.
"Plat" means the plat for Chanhassen Retail Addition.
"Project" means Redevelopment Plan for the Downtown
Redevelopment Area.
"Project Area" means the real property located within the boundaries of the
Project.
"Purchase Price" means the total amount of money to be paid by the
Redeveloper for the Redevelopment Property.
"Redeveloper" means Ryan Construction Company of Minnesota, Inc., a
Minnesota corporation. A
,.TJ~49227
"Redevelopment Property" means the real proper~ to be deeded to the
Redeveloper , a le~d description of which propert~ is contained on the attached
Schedule A.
"Redevelopment Plan" means the plat fop the Downtown ChA-h--sen
Redevelopment Area as amended as of the date of this AL~reement.
"Tax Increment" means that portion of the ~ prope~y taxes paid with
respect to the Tax Increment District which is remitted to the Authorit~ u tax
increment pursuant to the Tax Increment Act.
"Tax Increment Act" means Minnesota Statutes, Sections 469.174-. 179, as the
same may be Amended f~om time to t~me.
"Tax Increment District' m_~vms the Authority's Tax Increment District for the
Downtown Chanhassen Redevelopment Area as A~ended as of the date of tht~
~ment.
"Termination Date" means the date when the Authority has paid the full amount
due under the terms of this A~reem~t And the Limited Revenue Tax Increment Note.
"Tax Offi_~_~l" m_~- any city or county assessor; county auditor; city, county
or state board of equalization, the commissioner of revenue of the state, any state
or federal district court, the tax court of the state, or the State Supreme Court~.
"Title Company" means the Old Republic NationAl Title Insurance Company.
"Unavoidable Delays" means delays which are the dtr~t ~ult of acts of God,
unforeseen adveree weather conditions, flr~ or other casualty to the Minimum
Improvements, liti~ation commenced by tht~l pa_,~es which, by injunction or other
stmtlAv Judie~A! action causes delays, acts of any federal, state or local ~over~mantel
unit (other than the Authority in enfor~[ng its r~hts under th~s A~r~mxmt),
Authority defaults as to the Redeveloper's dela:fs, Redeveloper defaults as to the
Authority's delays, or other mattere which are not witht, the control of the
Redeveloper as to the Redeveloper's delay, s or not within the control of the Authority
as to the Authority's delays.
,T~D49227 '
ARTICLE II
Representations and Warranties
Section 2.1. Representations by the Authority. The Authority makes the
following representations as the basis for the undertaking on its part herein
contained:
(a) The Authority has the right, power and authority to execute, deliver
and perform its obligations according to this Agreement and all other documents to
be executed by the Authority pursuant hereto. The Authority will in ~ood faith and
within the limits of its leLml authority undertake all appropriate actions to provide
or obtain from the City Council or other entities the required approvals in order to
complete the transaction contemplated according to this Agreement. The Authority
assures the Redeveloper that the individuals who execute this Agreement and all
other documents executed by the Authority or on behalf of the Autho~-lty are duly
authorized to sign the same on behalf of the Authority and to bind the Autho~'lty
thereto.
(b) The Project is a "redevelopment project" withfn the meaning of the Act
and was created, adopted and approved in accordance with the terms of the Act.
(c) The Tax Increment District is a "redevelopment tax increment flnancin~-
district", which was created, adopted, certified and approved pursuant to the Tax-
Increment Act.
(d) Subject to satisfaction of the terms and conditions of this Agreement,
the Authority will convey the Redevelopment Property to the Redeveloper for
development in accordance with the terms of this Agreement.
(e) Neither the Authority, nor, to the best of the Authority's knowledge,
any entity or person has, at any time (i) "released" or actively or passively
consented to the "release" or "threatened release" of any Hazardous Substance (as
defined below) on or under or that would affect the environmental condition of the
Redevelopment Property; or (ii) taken any action in "response" to a "release" in
connection with the Redevelopment Property; or (iff) other~vtse engaged in any
activity or omitted to take any action which could subject 'the Authority or
Redeveloper to claims for intentional or negligent torts, strict or absolute liability,
either pursuant to statute or common law, in connection with Hazardous Substances
(as defined below) located in or on the Redevelopment Property, includtn~ the
generating, transporting, treating, storage, or manufacture of any Hazardous
Substance (as defined below). The terms set within quotation marks above shall
have the meaning given to them in the Comprehensive Environmental Response and
Liability Act, 42 U.S.C. ! 9601 et seq., as amended ("CERCLA") and any state
environmental laws. "Hazardous Substances" means hazardous waste, toxic
substances, formaldehyde, urea, polychlortnated, btphenyls, asbestos, petroleum,
natuz~l gas, synthetic gas usable as fuel or mixtures thereof, any mater~aJ~ related
to any of the foregoing, and substances defined as "hazardous substances", "toxic
substances", "hazardous waste", "pollutant", or "contaminant" in CERCLA 42
U. S.C. ! 9601 et seq., the Resource Conservation and Recove~, Act as amended,
the Hazardous Materiais Transportation Act, 49 U.S.C. ! 1801 et seq., the Clean
Water Act, 33 U.S.C. ! 1251 et seq., any state laws regarding enviro~mentai
matters, or any regulations promulgated pursuant to any of the foregotn~ statutes.
u'BD49227 ,
(f) The Authority does not know of any wells on the Redevelopment
Pl'opel~ within the II!_c~ntn~ of _.~tnnesota Statutes, Section 10SI.
Section 2.
represents that:
Representations by the Redevelo~r.
The Redeveloper
(a) The Redeveloper has the right, power and authority to execute, deliver
and perform its obligations aceozdin~ to tb!~ Ag?esment.
(b) If the Redevelopment P~oper~ is conveyed to Redeveloper, it will
construct the Minimum Improvements, and will do so in accordance with the terms of
this Agreement, the Redevelopment plan and all local, state and federal laws and
zoning, building code and public health laws and regulations.
(c) If constructed, the __~tntmum Imprevements will be constructed at a cost
to Redeveloper of not less than $ inclusive of the value of the
Redevelopment Property. Whether or not the Redeveloper constructs the Minimum
Improvements, the Redeveloper agrees to the terms and conditions of the Deficiency
Agreement attached hereto as Schedule C.
(d) The Redeveloper has received no notice or communication f~m any
local, state or federal official that the activities of the Redeveloper or the Authority
in the l>roJect Area may be or will be in violation of any environmental law or
regulation. The Redeveloper is aware of no facts the existence of which would callse-
it to be in violation of any local, state or federal enviro-mental law, reg,,lntion or-
review procedure. In the event that the Authority is required to take any action to
obtain any necessary permits or apprevals With respect to the Redevelopment
Proper~ under any local, state or federal enviro~-~ntal law or regulation, the
Redeveloper will cooperate With the Authority in co,,-ection With such action.
(e) If the Redeveloper eonstmicts the Minimum Improvements, it will do so
in accordance With all applicable local, state or federal energy conservation laws or
(f) Neither the execution and deliver7 of thts Agreement, the consummation
of the transactions contemplated hereby, nor the fult'fllment of or compliallce with the
terms and conditions of this Agreement is prevented, limited by or conflicts with or
results in a breach of, the terms, conditions or previsions of m~y restriction or any
evidences of indebtedness, e4greement or tnstmunent of any evidences of
indebtedness, agreement or lnstmunent of whatever nature to which the Redeveloper
is now a ~ or by which it is bound, or constitutes a default under Any off the
foregoing.
u'~D4g~27
auo-zs 8
ARTICLF. III
Sale and Pu~.hase
Section 3.1. Status of Property. Subject to satisfaction of the terms and
conditions of this Agreement the Authority will convey the Redevelopment Property
to Redeveloper by quit claim deed.
Section 3.2. Conditions Precedent to Conveyance of Property.
(a) The Authority's obll~ation to convey the Redevelopment Property shall
be subject to satisfaction, or waiver in writing by the Authority, of all of the
following conditions precedent:
(i) The Redeveloper not being in default under the terms of this
Agreement;
(fl) The Redeveloper having secured all governmental per,nits and
approvals, necessary to be obtained in order to permit conveyance of the
Redevelopment Property to Redeveloper. A
(iff) The Redeveloper shall have submitted to the ~uthority A
evidence A ~:..':::°:x°:':':~°:°:':":°:':"":"'~~~:':"':~'x°~:'::°::" ..:.::o:.~.x.o:...::~:::.:.:..o~ :~:>::~:~ .:~.~:.o.~-o::~.-.:~:.....~:~... ,,.~::.~..6 .. :... ..~ ...~..~...:. · ~4 .. ~
......:::~:~...::.::..:.:.::x?.....:.::..::~i:.:::°:!:::.::f:::i::...?......x::`:.~:i:!:.~.i:~:.::....::.....~2:~: .... -'";~:.-~:.~-°'~:.:..~ :....:~.¥::~"':':.'.~:%'~ .. '~%' . ,ox
...... ::::::::::::::::::::::::::::::::::::: .......... ...:.:.:.-::::;:::::s:.:o '~z:':~..::::.:.:.~d~i~- ~:~i.....'?-:~-:..~: ........ :.:...;... o:~ ..
.... . ........ :.~ . -.:'- '!:!'!:'- . ......... ! .$. -':o ~., :.' .~::..~: x
(iv) The Redeveloper shall have submitted to the Authority and the
Authority shall have approved Construction Plans for the Minimum
Improvements pursuant to Section 4.2 of this Agreement;
............... .(~) ..... .T...~e......C...ity having approved a plat for the Redevelopment Property
~~repared at Redeveloper s expense, provided, however,
i~i'~'~'~i~91i~'shall, at its expense, provide Redeveloper with a survey
of the Redevelopment Property;
(vi) The Redeveloper havin~ entered into such aEreements and
contracts as ate tequited by the City dealing with the constz-uction of
roadways and related improvements within the boundaries of the
Redevelopment Property~.'~
^ In the event that all of the above conditions precedent have not been satisfied
or waived in wrlt~g by the Authority within 12 months following the date of this
AE~ement, the Authority may Etve the Redeveloper ten (10) days written notice of
such defaults. If the Redeveloper does not cure the defaults wlth~ the ten day
period, this AEreement shall be null and void, and neither the Authority or
Redeveloper shall have any obliEation or liability to the other hereunder.
(b) The Redeveloper's oblJLmtton to purchase the Redevelopment PToperty
shall be subject to satisfaction, or waiver in writing by the Redeveloper of all of the
following conditions ptecedent:
JBD49227
(31130-25 7
(il
(ii) The City havin~ caused to be constructed the newly ~ ?Sth
Street adjacent to the Redevelopment l>rope~, and demolished and removed
the portion of existing 78th Street which c~oeses the Redevelopment Property.
In the event that all of the above conditions precedent have not been satisfied
or waived in writing by the Redeveloper vdthtn 12 months following the date of this
Agreement, the Redeveloper rosy give the Authority written notice of such defaults.
If the Authority does not cure the defaults within ten days from the date of such
notice, this Agreement shall be null and void and neither the Redeveloper or
Authority sbsli have Any obliLmtion or liability to the other het~tmder.
Section 3.3. Puz~J~lse Price. The purchase price for the Redevelopment
Proper~ shall be Four Dollars ($4: 00) per square fo~_t pa~ble in ces~
The Rede..ve....l~.~.t...~~t~~cres o,r ~
(~) square ree~. ~ns exac~
in a form acoeptable to the Authority and Redeveloper.
Section 3.4.
Closing.
(a) Within three (3) days after satisfaction and/or waiver of all of the-
conditions contains_ d in Section 3.2 of this Agreement, the Authority shall convey the
Redevelopment l~x-ty to the Redeveloper ~ the execution and deltvm'y of
its quit clstm deed and all other doc~ments reasonably ~equtred by Redevelope? And
the Title Company. This Closing shall be at a location designated by the Authority.
If the Closing has not taken place on o? before 13 months following the date of this
Agt~mment, either party may declare this'Z~ment null and void, where upon each
party shall be relieved of all obligations hereunder.
(b) The Redeveloper shai!.~~~.o.....n..~0f the Redevelopment Pr~pm-ty
upon execution and deliverwy A ~~~~~by the Authority at Closing.
(e) The Authority shall furnish to the Redeveloper a con~nttment (to be paid
for by the Authority) for the issuance of an ALTA owner's policy of title insurance
Form B-19 the
($ ?
~ and marketable title to the .Redevelopment ~x*ty, free of any and all
exceptions to title. A The Redevelope? ShAll have 30 days f~om the x~ipt of the
Commitment to furnish the Authority with the Redeveiope?'s written obJectto~ to
rifle. The Authority agrees to px~ceed in good faith and with all due ~ce to
attempt to cure the objections made by the Redevelope? and to do so prio? to the date
of closing as provided in Section 3.4(a). If such objections _o~__nn'ot be outed prio?
to such date and are not waived by Redevelope?, tht~ agreement shall be null And
void ~nd the pax-ties shall be relieved of any liability o? obligat~n hereunde?.
(d) The Authority shall pay at closing any general real estate taxes levied
against the Redevelopment Propex-ty due and payable fo? all yeare prto? to the yea~
of closing. The real estate taxes payable in the year of closing and any
payable in the year of closing of previously levied spe~A1 assessments levied a~alnst
C~.30-3B 8
the Redevelopment ~operty will be pro-rated between the Authority and the
Redeveloper as of the date of closing. Except as provided herein, the Redeveloper
will pay all real estate taxes levied ai~tnst the Redevelopment Proper~y together with
all unpaid installments of special assessments and any future special usessmente
payable in subsequent years. The payment of m~J estate taxes by the Redeveloper
includes any mud estate taxes levied against the Redevelopment Prope~y upon its
change in assessment classification from "Green Acres" a~rtcultur~l pursuant to
Minnesota Statutes, Section 273.111 to commercial pursuant to Minnesota Statutes,
Section 273.13. The A ~:.i~shall A pay any defem-ed real estate taxes or
special assessments cause'd '1~'~"~[~ '*'Green Acres" classification of the Redevelopment
Property.
(e) The Authority sbsll pay at Closing:
(i) State deed tax;
(fi) All costs of obtaining and updating the abstract to the
Redevelopment Property, including name searches, Jud~nent searches, tax
searches, bankruptcy searches, and prope~,ty inspection fees;
(iff) Recording fees for com~ective instruments ~qufl~d to remove
:~ ~..~:..:...::. -....~ :.~:~<...~.:.::: ?.'.: . ~. w/..~..~?. ·
encumbrances and place marketable title in A ~~mme,
(iv)
(v)
The cost to record this Agreement;
All real estate tax obli~tions due at closing; and
(vi) Platting and survey costs;
(vii) Title insurance commitment fees;
(g) The Redeveloper shall pay at Closing:
(i) All recording fees an~ cha~...s other than the State deed tax
~~......t...0..... the filing of the A ~::i? ~'*'":' ':F~" '~'~''':':''%''':¥' '~:'~"'" :"" ~:~ '"'" ::'*~'~'~:"" ~:':':'"":'~':'~"~'"~'~"~'"'"' ":': '~?' '" ~::'": .... ~'" '"'
(ii) Title insurance premiums;
(iff) The Closing fee charged by the title company, if any;
(iv) The cost of recording the A ~~and
(v) The cost of recording the Development Contract.
~BD&g227
C~130-2-~
Section 4.1. Constmiction of the .l~tntmnm Improvements. Subject to the reruns
and conditions of t_htn AK~nent, the~.R~develqp~e~__at~!~s to ~p~~e the
Redevelopment Proper~y and to construct ' . ·
Improvements on the Redevelopment Prope nstmic~n
pl_an~.A
Section 4.2. Fomn of Public Assistance. In o~der to facdlitate the flnanalal
feasibility of the redevelopment of the Redevelopment l~t-ty and in conatdemtion
for the Redeveloperts f, lftHment of its covenants and obliEations under th~
AKt~ement, the Authority will provide to the Redeveloper a paymant of spe~A!
assessments from the tax incroments toKether with a la, d wrttedown payment to be
paid as he~_~_t-after provided. The public assistance will be payable by the Authority
as indicated below.
(a) Special Assessment Write-Off. The Authority ~ to provide a write-
off of spe~A! assessments to be assesse~the Redevelopment P!~e,E-}~.f_or
public improvements in the amount of A [~~~[~~Dolla~ (A ~).
The write-off of special assessments is ~e'd"b~"the Authortty's coll~-'~tion
of th~ torsi ann~nl tS.X increment Eenemted by the Redevelopment Prope~ and
Minimum Improvements for a ~-yea~ period as described in pa~ph 6 and
usin~ a portion thereof to pay for the spec/al assessment write-off.
(b) Allocation of Tax Increment Publie Assistance. The allocation of the tax
increment public assistance to be provided by the Authority to the Redeveloper
pursuant to Section 4.2(a) above is estimated as follows:
Total A
Yea~ Estimated Annual Assessment
Payable Tax Increment Write-Off
199 0 ---
(x) A
(x) A
(x) A
which the tax increment is not Kt~a~r A ~i?'/ktual to --~ . ..... [. ......................
~the Redeveloper a~rees to pay the differ~nce between the actual tax increment
amount and (Y) to the Authority as a deficiency witht~ thtety (~0) days of r~etpt
of written notice from the Authority.
~-~o-~s 10
u"BD49227
C~:].30-25
ARTICr.~ V
Tax Incx~m~t
Section 5.1. Tax Increment Certification. The Authority has established the
Tax Increment District pursuant to the Tax Increment Act.
Section 5.2. Real Pr~erty Taxes~ Spe~A! Assessments. The Redeveloper
shall pay, in acco?dance with Section 3.4(e) herein, all ad valorem taxeB and
assessments on the Redevelopment P?opex-ty which aec payable subsequent to elosh~
on the sale of the Redevelopment Peope~. This is a corporate obli~tton of the
Redeveloper which shall continue even if the Redeveloper sells the Redevelopment
Prope~, unless the Redevelope? is released of its obli~tions under this
AKreement.
A
C]~J0-35
ARTICLE VI
Additional Provisions
Section 8.1. Ec~u~l Em~3loyment O13~3ormntt¥:: .The
t..-............ . ....~..........: ~.:::~:.:.:-~'-'.:~ ..... . ..-..... -... '~ . .,:. .'~ .~. ~- . .. ~ - .~:.-~
its successors ~d assi~, ~es t~
~~t ~ comply ~th ~ app~ble'~~~
Section 8.2. Restrictions on Use. The Redeveloper agrees for itself, and its
successors and assigns, and every s'uccessor in interest to the Redevelopment
Property, or any part thereof, that the Redeveloper, and such successors and
assigns, shall devote the Redevelopment Property to, and only to and in accordance
with, the land use rei~ulations of the City of Chanhassen.
Section 8.3. P~ovisions Not M.erl~ed With Deed. None of the provisions of this
Agreement are intended to or shall be merged by reason of any deed transfem'lng
any interest in the Redevelopment Property.
Section 6.4. Notices and Demands. Except as othemvtse expressly provided
in this AL~eement, a notice, demand, or other communication under the A~eement
or the Redevelopment Deed by either paTt7 to the other shall be sufficiently ~lven
or delivered only ff it is dispatched by rel~lstered or cez~Lifled marl, postage prepaid,
return receipt requested, or delivered personally; and
(a) in the case of the Redeveloper, is addressed to or delivered personally
to the Redeveloper at 700 International Centre, 900 Second Avenue South,
Minneapolis, MN 55402, Attention: Bill McHale; and
(b) in the case of the Authority, is addressed to or delivered personally to
the Authority at 690 Coulter Drive, Box 147, Chanlmssen, Minnesota 55317, or at
such other address with respect to either such patty as that patty may, from time
to time, designate in writing and forward to the other as provided in this Section.
Section 8.5. Disclaimer of Relationships. The Redeveloper acknowledges that
nothing contained in this Agreement nor any act by the Authority or the Redeveloper
shall be deemed or construed by the Redeveloper or by any third person to create
any relationship of thtrd-pa~ty beneflciar~r, principal and a~ent, limited or general
pa~ner, or Joint venture between the Authority and the Redeveloper.
Section 6.6. Covenants Runntn~ with the .L~nd. The tet~ns and provisions of
this A~eement shall be deemed to be covenants running with the Redevelopment
Property and shall be binding upon any successors or assti'ns of the Redeveloper
and any future owners or encumbrances of the Redevelopment l>rope~.
Section 6.7. Modffications. This AL~'eement may be modified solely throu~
w~tten amendments hereto executed by the Redeveloper and the AuthoritT.
Section 8.8. Counte~arts. This Agreement may be executed in any number
of counterparts, each of which shall constitute one and the same instrument.
0~D49227 ~
IN WITNESS WHEREOF, the Authority has caused this A~l~ement to be
executed in its corporate ~Ame by its duly authorized officer~ and sealed with its
corporate seal; and the Redevelope~ has caused tht~ Agreement to be executed in its
corporate name as of the date first above written.
(SEAL)
THE HOUSING AND REDEV~O~ -
AUTHORITY IN AND FOR
THE CITY OF CHANHASS~, MINNESOTA
By:
And
Its Acting Cha~per~n
Its Executive Director
STATE OF MINNESOTA )
COUNTY OF CARVER )
On tl~s day of , A ~~before me, a Notar~ Public within
and for said county, appeared and to me
personally known, who being by me duly swo~n, did say that they arm r~speetively
the Acting Cha~wperson and Executive Director of The Housing and Redevelopment
Authority in and for the City of ChAnl~Ansen, Minnesota, a public body, oorpomte
and politic, known as the Housing and Redevelopment Authority in and for the City
of Chs. l~ssen, under the laws of the State of ~nnnsota, on behalf of the Housing
and Redevelopment Authority.
Notary Public
0~49~27
cm~o-~s 14
REDEVELOPER:
RYAN CONSTRUCTION COMPANY
OF MINNESOTA, INC
By:
Its
Attested By:
Its
STATE OF MINNESOTA
COUNTY OF CARVER
The forego_~g instrument was acknowledged before me ~this day of
, A ~~i"by end , the
and ~'~':::'~:~N C~T-'~-~CT--'~-~'~ 'COMPANY OF MINNESOTA, INC., a
Minnesota corporation, on behalf of the corporation.
Notary Public
,.TB~49227
(m3o-~s 15
8Ct[];DUT..,E A
REDEVELOPMENT PROPERTY LEGAL DESCRIPTION:
[To be supplied p~,lo~, to execatl:ion]
,',-',~o-~ A-1
CITY OF
690 COULTER DRIVE · P.O. BOX 147 · CHANHASSEN. MINNESOTA 55317
(612) 937-1900 · FAX (612) 937-5739
MEMO~UM
FROM:
Housing and Redevelopment Authority
Todd Gerhardt, Assistant Executive Director
DATE: May 10, 1994
SUBI: Consider Approving Purchase Agreernem for South End of the Pedestrian
Bridge
Attached for the HRA's consideration is a ~:agreement with M~n Development
Company for the southerly embankment for ,t~'."~ bridge (see A_n~_chmen_ t #1). The
purchase agreement calls for the HRA to pay:.'$3.2~ ~i:.square foot for approximately 26,000
square feet at a total purchase price of $84,,..~."8.00 (~i;Attachment F2).
Staff would reco~ that the HRA ~e the p .-. agrecm~t as drafted and direct
staff to schedule a closing.
---..
·
1. Purchase agreement ': ~:~.
2. Location map "~...
....... .~-. -.. ~. ~,;~-. -.. ;,. -~.
-- : :....-
· . :..:'-.~.~-~,~5-~-;-.~.- 'x._..~..~r...:_~--~ - . . .
...
·. . .<.--; ._'?- -
· ':.'..':.,::' :.~:?.-...:~ ..... -~,.~.-,~,. ~..~.~~::'~
~ ~. .,.._~.~ .,_.......
"'"' ': -;£:-;J" r~-~_~.%+.~:r~J; .......
REAL ESTATE PURCHASE A~REEMENT
THIS A~REEMENT (the "Agreement") made and entered into this
day of , 1994, by and between the
CHANHASSEN HOUSING AND REDEVELOPMENT AUTHORITY, a public body
corporate and politic under the laws of the State of Minnesota,
with offices at 690 Coulter Drive, Chanhassen, Minnesota 55317
(referred to herein as the "Buyer"), and MORTENSON DEVELOPMENT
COMPANY, a Minnesota corporation, with offices at 700 Meadow Lane
North, Minneapolis, Minnesota 55422 (the "Seller").
In consideration of the mutual covenants and agreements
herein, it is hereby mutually agreed by Seller and Buyer as
follows:
SECTION 1.
BALE AND PURCHASE OF LAND
1.1) Seller shall sell to Buyer and Buyer shall purchase
from Seller, upon the terms and conditions hereof, the following
property (all collectively referred to as the "Subject
Property"):
1.1.1) The land in Carver County, Chanhassen (the
"City"), Minnesota, legally described on Exhibit "A" to be
attached hereto and incorporated herein, together with all
right, title, and interest in and to any roads or alleys
adjoining or servicing such land, rights-of-way, or
easements appurtenant thereto, and in and to any ditch,
water, or riparian rights and claims appurtenant thereto,
and to any unpaid award with respect thereto.
SECTION 2.
PURCHASE ~RICE
2.1) The purchase price for the Subject Property (the
"Purchase Price") shall be in a dollar amount equal to Three and
1Z052
3/30/94
28/100 Dollars ($3.28) per square foot and shall be payable by
Buyer to Seller as follows:
2.1.1) Eighty Four Thousand Seven Hundred Eighty Eight
Dollars ($84,788.00) by check on the date of closing, which
shall be on or before May 3, 1994.
2.1.2) Seller and Buyer agree the size of the Subject
Property is 25,850 square feet. Upon receipt of final
survey on a form acceptable to Buyer, the total square
footage of the Subject Property shall be determined by
Seller and Buyer. Upon such determination, Seller and Buyer
shall adjust the Purchase Price in order that the sum paid
by Buyer to Seller equals Three and 28/100 Dollars ($3.28)
per square foot for the purchase of the Subject Property.
SECTION 3.
TITLE MATTERS
3.1) Seller, at its own expense, shall furnish to Buyer
within twenty (20) days hereof a current commitment for the
issuance of a 1987/1990 ALTA Form B owner's policy.of title
insurance (the "Commitment") issued by Title Company acceptable
to Buyer ("Title") in the amount of Eighty Four Thousand Seven
Hundred Eighty Eight Dollars ($84,788.00), committing to insure
that Buyer will have good and marketable title to the Subject
Property, subject only to standard exceptions to title, and to
matters to which Buyer may consent in writing.
3.2) In the event any exceptions are listed in the
Commitment for title insurance (except standard exceptions and
matters which are consented to by Buyer), if the same results
from any voluntary action by the Seller, the Seller shall
promptly cause the exception to be removed. With regard to any
other exceptions, if the Seller fails to remove the same within
the time allowed for closing on the Subject Property, the Buyer
12052 2 3/30/94
4.3)
to Buyer:
shall have the right to terminate this Agreement or proceed to
close and remove exceptions and credit the cost for removing the
same against the Purchase Price provided such costs do not exceed
One Thousand Dollars ($1,000.00).
BECTION 4.
CLOSING
4.1) The closing (the "Closing") shall be at a location
designated by Buyer, and shall occur on May 3, 1994 (the "Closing
Date").
4.2) On the Closing Date, Seller shall deliver to Buyer
possession of the Subject Property. Until possession is
delivered to Buyer, Seller shall not remove any dirt, trees,
shrubs, or other natural growth, except as to keep the Subject
Property in a neat and orderly condition.
On the Closing Date, Seller shall execute and deliver
4.3.1) A duly executed warranty deed, free from all
exceptions to title except for standard exceptions to title
and matters to which Buyer consents in writing.
4.3.2) A customary affidavit that there are no
unsatisfied judgments of record, no actions pending in any
state or federal courts, no tax liens, and no bankruptcy
proceeding filed against Seller, and no labor has or
materials have been furnished to the Subject Property for
which payment has not been made, and that to the best of
.Seller's knowledge there are no unrecorded interests
relating to the Subject Property.
4.3.3) A certificate executed by Seller certifying
that all representations and warranties of Seller contained
in this Agreement are true and correct as of the Closing
Date.
4.4) Seller shall pay at Closing all the general real
estate taxes levied against the Subject Property due and payable
12052
for all years prior to the year of closing, together with any
unpaid installments of special assessments due therewith
("Taxes"), and any Taxes deferred. Seller shall pay all
installments for special assessments due in the year of closing
affecting the Subject Property and other lands (Tax Parcel
25.3451110) when the same become due. General real estate taxes
and the 1994 installment for special assessments levied against
the Subject Property due in the year of Closing shall be prorated
to the Date of Closing and shall be apportioned between Buyer and
Seller based upon the size percentage of the Subject Property to
the entire 4.86+ acre site consisting of the Subject Property and
other lands within the Tax Parcel 25.3451110. The remaining
unpaid balance of special assessments for street improvements
shall be prorated between Buyer and Seller based upon the
foregoing size percentage formula. Seller shall be credited for
such prorated amounts at closing, it being understood that Seller
shall pay the remaining balance of said assessments when the same
are due.
4.5)
Seller shall pay at-Closing:
4.5.1) state deed tax;
4.5.2) all costs of obtaining and updating the
abstract to the Subject Property, including name searches,
tax searches, bankruptcy searches, and property inspection
fees;
4.5.3) title insurance commitment fees; and
4.5.4) recording fees for corrective instruments
required to remove encumbrances and place marketable title
in Buyer's name.
4.6) Buyer shall pay at Closing:
1:'052 4 3/3O194
4.6.1) all recording fees and charges relating to the
filing of the deed described in Section 4.3.1;
4.6.2) title insurance premiums;
4.6.3) survey costs for the survey required in
Section 2.1.2; and
4.6.4)
any.
the closing fee charged by the title company,
SECTION 5.
COVENANTS, REPRES~NT%TIONS, AND W~RRANTIES OF SELLER
5.1) Seller, as an inducement to Buyer to enter into this
Agreement, and as part of the consideration therefor, represents,
warrants, and covenants with Buyer and its successors and assigns
that:
5.1.1) There are no leases, options, purchase
agreements, rights to redeem, tenancy agreements, or rights
of occupancy, written or verbal, and no person or party has,
or will have any rights of adverse possession, regarding the
Subject Property;
5.1.2) Seller will maintain in force insurance
against public liability from such risk and to such limits
as in accordance with prudent business practice and suitable
to the Subject Property from the date hereof to the Closing
Date;
5.1.3) Seller has made no independent environmental
investigation of the Subject Property and can make no
representations as to actions of previous owners. The
Seller has not received any written notice related to
environmental issues at the Subject Property. Seller has
not done the following:
i) "released" or actively or passively
consented to the "release" or "threatened release" of
any Hazardous Substance (as defined below) from any
"facility" or "vessel" located on or used in connection
with the Subject Property; or
·
ii) taken any action in "response" to a
"release" in connection with the Subject Property; or
iii) otherwise engaged in any activity or
omitted to take any action which could subject Seller
12052 5
or Buyer to claims for intentional or negligent torts,
strict or absolute liability, either pursuant to
statute or common law, in connection with Hazardous
Substances (as defined below) located in or on the
Subject Property, including the generating,
transporting, treating, storage, or manufacture of any
Hazardous Substance (as defined below). The terms set
within quotation marks above shall have the meaning
given to them in the Comprehensive Environmental
Response and Liability Act, 42 U.S.C. Sec. 9601 et
seq., as amended ("CERCLA") and any state environmental
laws. "Hazardous Substances" means hazardous waste,
toxic substances, formaldehyde, urea, polychlorinated
biphenyls, asbestos, petroleum, natural gas, Synthetic
gas usable for fuel or mixtures thereof, any materials
related to any of the foregoing, and substances defined
as "hazardous substances", "toxic substances",
"hazardous waste", "pollutant", or "contaminant" in
CERCLA, Resource Conservation and Recovery Act as
amended, 41 U.S.C. Sec. 9601 et seq., the Hazardous
Materials Transportation Act, 49 U.S.C. Sec. 1801 et
seq., the Clean Water Act, 33 U.S.C. Sec. 1251 et seq.,
any state laws regarding environmental matters, or any
regulations promulgated pursuant to any of the
foregoing statutes.
Seller shall indemnify Buyer, its successors and assigns,
against, and shall hold Buyer, its successors and assigns,
harmless from, any and all losses, liabilities, claims,
fines, penalties, forfeitures, damages, administrative
orders, consent agreements-and orders, and the costs and
expenses incident thereto, including, without limitation,
reasonable attorneys' fees, consultants' fees and laboratory
fees, which may at any time be imposed upon, incurred by or
awarded against Buyer as a result of or in connection with
the breach of any of the above representations and
warranties, whether such breach is discovered before or
after closing. Each of the above representations and
warranties shall survive the closing. Consummation of this
Agreement by Buyer with knowledge of any such breach by
Seller shall not constitute a waiver or release by Buyer of
any claims arising out of or in connection with such breach;
5.1.4) Seller is unaware of any wells located upon
the Subject Property;
5.1.5) Seller has waived its rights under 42 U.S.C.
§ 4651 pertaining to real property acquisition practices and
agrees to execute any further documents that the Federal
Government may require in order to affectively waive
Seller's rights under 42 U.S.C. § 4651.
12052
6 3~30~4
5.2) The covenants, representations, and warranties
contained in Section 5 shall be deemed to benefit Buyer and its
successors and assigns and shall survive any termination or
expiration of this Purchase Agreement or the giving of the Deed.
All of Seller's covenants, representations and warranties in this
Agreement shall be true as of the date hereof (and shall be a
condition precedent to the performance of Buyer's obligations
hereunder) and as of the Closing Date. If Buyer discovers that
any such covenant, representation, or warranty is not true, Buyer
may elect prior to closing, in addition to any of its other
rights and remedies, to cancel this Agreement, or Buyer may
postpone the Closing Date up to ninety (90) days to allow time
for correction. Buyer shall not be deemed to have waived any
claims for breach of warranty if Buyer consummates the
transaction set forth in this Agreement with the knowledge that
one or more of Seller's warranties are false.
5.3) Seller is, or by Closing will be, the sole owner of
fee simple absolute title to the Subject Property, has all
requisite power and authority to execute and deliver this
Agreement and the documents listed in Section 4 above.
SECTION 6.
INVESTIG~TIONAND TESTING
6.1) Buyer and its agents shall have the right, at its sole
option, to enter the Subject Property without charge and at all
reasonable times, to perform such engineering and environmental
investigation and tests as Buyer may reasonably deem appropriate.
If Buyer investigates and tests the Subject Property pursuant to
1~05~ 7 3/30/94
this section, Buyer shall pay all costs and expenses of such
investigation and testing and shall hold Seller harmless from all
costs and liabilities arising out of Buyer's activities. If the
purchase and sale contemplated by this Agreement is not closed,
Buyer shall repair and restore any damage to the Subject Property
caused by Buyer's engineering and environmental investigation or
testing, at Buyer's expense, and shall return the Subject
Property to substantially the same condition as existed prior to
such entry.
SECTION 7.
CONTINGENCIES
7.1) The obligations of Buyer under this Agreement are
contingent upon each of the following (the "Contingencies"):
7.1.1) The representations and warranties of Seller
set forth in Section 5 of this Agreement must be true as of
the date of this Agreement and on the Closing Date.
7.1.2) Buyer shall have determined on or before the
Closing Date, that it is satisfied, in its sole discretion,
with the results of and matters disclosed by any engineering
or environmental investigation or testing of the Subject
Property.
If either of the Contingencies have not been satisfied on or
before the Closing Date, then Buyer may, at Buyer's option,
terminate this Agreement by giving written notice to Seller on or
before the Closing Date. The Contingencies are for the sole and
exclusive benefit of Buyer, and Buyer shall have the right to
waive the Contingencies by givingwritten notice to Seller.
·
12052 8
SECTION 8.
MISCELLANEOUS
8.1) The covenants and representations set forth in this
Agreement shall survive the Closing of this transaction.
8.2) Buyer agrees that the parcel of land located adjacent
to and west of the Subject Property (currently owned by Seller)
shall not be assessed for a traffic signal in the event such
traffic signal is warranted by increased auto or pedestrian
traffic resulting from the construction of a pedestrian bridge
landing upon the Subject Property.
8.3) Buyer and Seller warrant that neither party has been
represented by a real estate broker in this transaction and that
no brokerage fees are due any party as a result of this
transaction.
8.4) Any notice, demand, or request which may be permitted,
required or desired to be given in connection herewith shall be
in writing and sent by certified mail, hand delivery, overnight
mail service such as Federal Express, or Western Union telegram
or other form of telegraphic communication, directed to Seller or
Buyer. Any notice shall be deemed effective when delivered to
the party to whom it is directed. Unless other addresses are
given in writing, notices shall be sent to Seller or Buyer at the
applicable address stated on the first page of this Agreement.
8.5) Time shall be of the essence in this Agreement. Where
any date or time prescribed by this Agreement falls on a
Saturday, Sunday or statutory holiday, such date or time shall
automatically be extended to the next normal business day.
l~OS~ 9 3/30/¢4
8.6) Each party hereto shall promptly, on the request of
the other party, have acknowledged and delivered to the other
party any and all further instruments and assurances reasonably
requested or appropriate to evidence or give effect to the
provisions of this Agreement.
8.7) This Agreement represents the entire agreement of the
parties with respect to the Subject Property and all prior
agreements, understandings, or negotiations between the parties
are hereby revoked and superseded hereby. No representations,
warranties, inducements, or oral agreements have been made by any
of the parties, except as expressly set forth herein, or in other
contemporaneous written agreements. This Agreement may not be
changed, modified or rescinded, except by a written agreement
signed by both parties hereto.
8.8) If Buyer defaults under any of the terms hereof, then
Seller shall have the right to pursue any remedies which are
available to Seller at law or in equity, including without
limitation, specific performance, damages (including attorney's
fees) and to the cancellation of this Agreement.
8.9) If Seller defaults under any of the terms hereof,
including, without limitation, the delivery of marketable title
to the Subject Property as set forth in Section 4 hereof, and any
of Seller's representations, covenants, and warranties in Section
·
5 hereof, then Buyer shall have the right to pursue remedies
which are available to Buyer at law or in equity, including
lao~a 10 3/]0/94
without limitation, specific performance, damages (including
attorney's fees) and to the cancellation of this Agreement.
8.10) If any provision of this Agreement is declared void or
unenforceable, such provision shall be deemed severed from this
Agreement, which shall otherwise remain in full force and effect.
8.11) Failure of any party to exercise any right or option
arising out of a breach of this Agreement shall not be deemed a
waiver of any right or option with respect to any subsequent or
different breach, or the continuance of any existing breach.
8.12) This Agreement shall inure to the benefit of and be
binding upon the parties hereto and their respective heirs,
personal representatives, successors and assigns.
8.13) This Agreement shall be construed in accordance with
the laws of the State of Minnesota.
8.14) At Buyer's request, a memorandum of this Agreement
shall be executed by Buyer and Seller and filed of record in
Carver County, Minnesota.
IN WITNESS WHEREOF, the parties hereto have executed this
Agreement as of the day and year first above written.
BUYER: SELLER:
CHANHASSEN HOUSING MORTENSON DEVELOPMENT COMPANY
AND REDEVELOPMENT AUTHORITY
By: By:
Don Ashworth
Executive Director
By: By:
Chairperson
Its '
Its
12052 1 1 3/30/94
STATE OF MINNESOTA )
) SS.
COUNTY OF CARVER )
The foregoing instrument was acknowledged before me this
day of , 1994, by Don Ashworth and by
, respectively the Executive Director and
Chairperson of the CHANHASSEN HOUSING AND REDEVELOPMENT
AUTHORITY, a public body corporate under the laws of the State of
Minnesota, on its behalf.
Notary Public
STATE OF MINNESOTA )
) SS.
COUNTY OF HENNEPIN )
The foregoing instrument was acknowledged before me this
day of , 1994, by and
, the and
of MORTENSON DEVELOPMENT COMPANY, a Minnesota corporation, on
behalf of said corporation.
Notary Public
THIS INSTRUMENT WAS DRAFTED BY:
CAMPBELL, KNUTSON, SCOTT & FUCHS, P.A.
317 Eagandale Office Center
1380 Corporate Center Curve
Eagan, MN 55121
Telephone: (612) 452-5000
JRW
12
3/30/94
EXHIBIT "Ata
to
REAL ESTATE PURCHASE AGREEMENT
LEGAL DESCRIPTION OF THE SUBJECT PROPERTY:
That part of Lot 1, Block 6, Hidden Valley described as follows:
Beginning at the most northerly corner of said Lot 1; thence
Southwesterly along the Northwesterly line of said Lot i a
distance of 394.88 feet; thence Southeasterly, deflection
angle left 90 degrees 00 minutes 00 seconds a distance of
105.00 feet; thence easterly, deflection angle left 51 degrees
23 minutes 00 seconds to the easterly line of said Lot 1;
thence Northeasterly along said easterly line to the point of
beginning.
1;~052 13 3/30/94
·
!
ITY OF
690 COULTER DRIVE · P,O. BOX 147 · CHANHASSEN, MINNESOTA 55317
(612) 937-1900 · FAX (612) 937-5739
~ORANDUM
TO:
Housing and Redevelopment Authori~
FROM:
Todd Gcdm~t, As~/stant Executive Director '~..
DATE: May 10, 1994
SUBJ: Review Architecumtl Style of Wendy's and the Offi~ Center for Mafl~t
As you may already know, the proposed Wend~-~S '~d offi~ facility were xvviewed
extensively by thc planning commission and citY call/nell. To suggest _dramntlc architectmal
changes to either of these facilities may cause. :'~on~on between the two bodies. I have
~'~.. ~.
~tach~! the ¢ondifion~ of apl~'ov~l
$1aff would r~,~'m~nd ~l~rov~l of tl~~ ~xl m'chi~ Styl~ and th~ tl~ HRA limit
~s r~wi~w to it~n~ ~ch ~ color, ..I~)~I~S
Attachn~nt~ -~'."?'"
-. :.'.
. . ~.~.:
CoCOons of
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2. Election ph~.. ~.'..' .'.:......:..-..,.~x.;~~~;,.~~~'~
CITY OF
690 COULTER DRIVE · P.O. BOX 147 · CHANHASSEN, MINNESOTA 55317
(612) 937-1900 · FAX (612) 937-5739
May 3, 1994
Mrs. Vernelle Clayton
Lotus Realty Services, Inc.
P. O. Box 235
Chanhassen, MN 55317
Dear Vemelle:
On April 11, 1994, the City Council moved m approve the Sim Plan for Ectina Realty and
Wendy's (#89-2 PUD) as shown on the site plan dated March 10, 1994, subject to the following
conditions:
.
Re
e
The northerly access to the shopping center from Market Boulevard should be widened
to 16 feet wide face-to-face over the easterly 100 feet of the site. In addition, the
northerly radius should be expanded to ~0 feet to improve turning movements into the
shopping center. "No parking" signs shall be placed along the east curb line of the
parking lot at the west elevation of the retail building. In addition, "no parking" signs
shall be placed along the east curb line of the drivemp window lane to Wendy's.
. ..
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The applicant shall work with the city in resolving final placement of the sidewalk along
West 78th Street along with the landscaping. Landscaping other than the city's boulevard
trees shall be prohibited ,within the city's right-or-.way, or trail easement area. The
construction plans shall be revised to show impact to the existing Sidewalk'along Market
Boulevard. Any/all damaged sidewalk as a result of construction activities on the site
,.~-.
.~.' ~.~
The applicant shall enter into a development contract with the city and provide the
necessary financial seoffity to guarantee, compliance with the conditions of approval.
4.
The applicant shall grant the city the necessary landscape and sidewalk easements along
West ?8th Street.
5. The applicant shall incorporate the City's Best Management Practice I-IandSook to control
®
®
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off-site tracking. Constn~ access points shall be lknited to the interior paddng lot
and not on West 78th Street and Mm'ket Boulevard. After the storm sewer installation
and prior to pavin~ the pndcina ~ the storm ~ tn~ (car. h basins) sha~ be
drain~e syst~
The applicant must obtain a sign permit pttar to erecting any stgna~ on site. One
monument identification sign is proposed at the nonbeas~itly corner of the site. This
location is in conflict with the existing NSP unnsfotmen and franc connol box, as well
following ctitcrin:
be
Thc he~t of the monmncnt ~ shall not exceed 12'10" (the hel~t of the
existing Market Square sign).
The si~n shall contain no more than 41 square feet of sign area per face.
shopping center. The applicant Js proposing the sign design to be identical to the
existing Market Squa~ monument ~ign~.
The owner of each monument ~ign ~ be ~ble for i~ ~on, repair,
Only one wall mounted sign ts shown on the western elevagon of Wendy's building.
Wall mounted signs tnust meet the fonowlng criteria as identified in the plan:
The letters and logos shah be ~ to 30 inches in height and nmst be lighled.
All individual letters and losos comt~hing each st~n shall have a minimum depth
of five inches and shall be conmucted with st translucent facin~ ove~ neon tube
illumination.
,~ revised_ land .s~_oine D!~n ~,_n_ ~ broua~ ~bec~r_~ to the ~W Council addtessinn the
~outhern ~)rtion of the site. A berm shall be tncotlx~eed into the plan to screen the
u'ash location from views. 'me applicant shall provide sta~ with a drafted cost estimate
guarantees must be posted prior to bntldi~ lermit ismance,
Approval of thc site plan is continscnt upon thc replat approval from Outlot A to Lot 1,
Block 1, Market Square 2nd Addition.
· .
10. Stop signs shall be placed at the exit points of Wendy's and Edina Realty's parking lots.
ll.
Submit revised utility plans to reflect a fire hydrant location between the Wendy's and
the retail office building.
12.
The Fire Marshal will provide information regarding placement of "No Parking Fire Lane"
signage at the time of building permit application.
13.
Thc office~etail building must be fire sprinklered pursuant to Chapter 38 Minnesota State
Building Code.
14.
Submit radius turn dimensions to Fire Marshal and City Engineer for approval pursuant
to 1991 UFC Sec. 10-204(c).
15.
The plans shall be revised clarifying the applicant's responsibility for relocating the NSP
transformers and installing the balance of the 6 foot wide concrete sidewalk along Market
Boulevard to the comer of West 78th Street The city's tr~c comroller shall be left in
phce.
The applicant and staff working out something with the brick tones that staff feels meets
more of the intent of tying the surrounding buildings together as far as the tan and gray
tones. Leaving the dark roof but using the shake shingles that are on the market that are
basically an asphalt shingle but are shaped like wood shake shin~les.
17. Staff review Wendy's drive thru traffic circulation.
The City Council also moved to approve the repht of Outlot A, Market Square to Lot 1, Block
1, Market Square 2nd Addition as shown on the plat with the following conditions:
le
Park and trail dedication fees shall be paid to the city pursuant to the city ordinances and
City Council resolutions at the rate then in force upon building permit application.
2. Provide the following easements:
8,.
Standard drainage and utility easements around the perimeter of the lot (10' on
along Market Boulevard).
b. Cross access easements need to be provided over the northeas~ly driveway."
Condition #8 of the site plan review must be met prior to recording of the plat Two mylar
copies of the final plat should be submitted to our office for signatures, along with all required
financial securities. A 1"=200' and 1 "=500' scale mylar reductions of the final plat should also
be submitted.
Should you have any questions, please feel fi~ to contact me.
$in~y, .
Sharmin Al-laSt'
Planner H
¢:
Dave H~ Asst. City Engineer
Steve Kirclmmn, Building ~
e,,-N
W
LOT 2
LOT ~
.
7 I T H
I T R E'E..1
LOT 4
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MARKET SQUARE EXISTING PARKING LOT CONFIGURATION ~1)
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CITY OF
690 COULTER DRIVE · P.O. BOX 147 · CHANHASSEN. MINNESOTA 55317
(612) 937-1900 · FAX (612) 937-5739
MEMORANDUM
Housing and Redevelopn~t Authority
FROM: Todd Gerhardt, Assistant Executive Director
DATE: May 10, 1994
SUBJ:
Public Hearing on Land Sale of Outlot A and Lot 4, Mafl~ Square
Under' Minnesota Statutes, the HRA must hold blic hearing when se/ling public lands~
Thc HRA should open the public hearing and ~~."~t public conmlents regarding the
proposed land sale of Outlot A and Lot 4, BI~ 1, .~.~ arket Square to Bloomberg Companies
(Attachment #1). After the public has finishe~l~ their ~X)~ts, the HRA should dose rite
public heating. ,~:"-" ~%.
If the HRA is in agreement to go ahead ~.~.~'~ the resale~ Ouflot A and Lot 4, Block 1,
Market Square to Bloomberg Compani..~ based on the ~eem~ you should direct staff ~o
execute the agreem~t and schedule..the""closing (see A~/g2). The terms of this
agreement call for Bloomberg Co~s to pay the HRA~$2.50 a square foot and pay aH the
assessments against the two lots./'."!The total estima~ purc ~"~ price is appro~y
$200,000, not including special assessments.
%.
.-.
~_..
Map/public hearing notice.
AlP'cement, ' -" ~:'---,--:i'~~_~
' "" ' ' ' "r' ' "~"~"-'~'-'-~'
__._/
LOT 2
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LOT $
7 I T
I T R E'E.,1
LOT4
MARKET SQUARE EXISTING PARKING LOT CONFIGURATION
CITY OF CHANHASSEN
CARVER AND HENNEPIN COUNTIES, MINNESOTA
NOTICE ~F PUBLIC HEARING INVOLVING
SALE OF LAND FOR RECREATIONAL PURPOSES
NOTICE IS HEREBY GIVEN that at 7:30 p.m. on May 19, 1994, the Chanhas~
Housing and Redevelopment Authority will hold a public hearing pursuant w Minm,-sota Statutes
Section 469.029 con~g the sale of land, to wit:
Outlot A and Lot 4, Block 1, Market Square
to Bloomberg Companies, Inc. The meeting will be held in the City Council Chambers at
Chanhassen City HaH, 690 Coulter Drive.
Anyone wishing to give testimony or provide written information concewlng the above
referenced sale should be present at the hearing and will be hearcL
Don Ashwotth, City Ocrk/Manag~
Phone: 937-1900 ext. 110
0:~~ in the Chanhassen ViUager on lVlay .5, 1994)
·
EXHIBIT
TO
REAL ESTATE OPTION AGREEMENT
REAL ESTATE REPURCHASE AGREEMENT
THIS AGREEMENT (the "Agreement") made and entered into this
day of , 1992, by and between HOUSING AND
REDEVELOPMENT AUTHORITY INAND FOR THE CITY OF CHANHASSEN, a
public body corporate and politic under the laws of the State of
Minnesota, with offices at 690 Coulter Drive, Chanhassen,
Minnesota (referred to herein as the "Seller"), and BLOOMBERG
COMPANIES INCORPORATED, a Minnesota corporation (the "Buyer").
In consideration of the mutual covenants and agreements
herein, and of the Earnest Money (as defined herein) paid by
Buyer, the receipt and sufficiency of which are hereby
acknowledged, it is hereby mutually agreed by Seller and Buyer as
follows:
SECTION 1.
SALE AND PURCHASE OF L~ND
1.1) Seller shall sell to Buyer and Buyer shall purchase
from Seller, upon the terms and conditions hereof, the following
property or a part thereof as described in Section 2 of this
Agreement (all collectively referred to as the "subject
property"):
·
1.1.1) The land in Carver County, Chanhassen (the
"City"), Minnesota, described on the attached Exhibit "A",
together with all right, title, and interest in and to any
roads or alleys adjoining or servicing such land, rights-
of-way, or easements appurtenant thereto, and in and to any
ditch, water, or riparian rights and claims appurtenant
thereto, and to any unpaid award with respect thereto (the
"Land");
02/27/92
1.1.2) Any improvements located on the Land (the
. Improvements" ) ~
1.1.3) Ail rents, leases, contract rights, causes of
action, permits, licenses, and other rights relating to the
Land and Improvements (the "Contract Rights")~ and
1.1.4) All right, title, and interest of Seller in
and to any plans, specifications, surveys, studies, reports,
renderings, or drawings pertaining to the Land and
Improvements, including environmental, marketing and related
matters (the "Drawings").'
SECTION 2.
PURCNASE OF PART OF THE SUBJECT
PROPERTY/PROPOSED DEVELOPMENT BY BUYER
2.1) Buyer may elect to purchase all or .part of the subject
property. If part but not all of the subject property is
purchased, any subdivision of the subject property must be
consistent with the City of Chanhassents subdivision and zoning
ordinances.
2.2) If the Buyer elects to purchase part of the subject
property, then an Exhibit "B" shall be prepared by Buyer and
attached to this Agreement at the time Buyer signs this Agreement
describing the part of the subject property being purchased.
2.3) Any proposed development of the subject property by
Buyer shall be subject to the approval of Seller. In determining
the appropriateness of any such proposed development, the Seller
shall take into account the proposed use of the subject property,
the design of the proposed development, the architecture and
construction of any proposed structures, the proposed access
routes, parking availability and proposed signage. If the
proposed development is unacceptable to Seller due to any of the
foregoing factors and the proposed development is denied by
-2-
4.3) On the Closing Date, Seller shall execute and deliver
to Buyer:
4.3.1) A limited warranty deed;
4.3.2) A customary affidavit that there are no
unsatisfied Judgments of record, no actions pending in any
state or federal courts, no tax liens, and no bankruptcy
proceeding filed against Seller, and no labor has or
materials have been furnished to the subject property for
which payment has not been made, and that to the best of
Seller's knowledge there are no unrecorded interests
relating to the subject property, except to any interest
relating to the property described in subparagraph 3.1(c)
above;
4.3.3) An abstract of title to the subject property
if the subject property is abstract or the Owner's Duplicate
Certificate of Title if the subject property is registered.
4.4) Buyer shall pay any of the general real estate taxes
levied against the subject property due and payable in the year
of Closing and prior years, together with any unpaid installments
of special assessments due therewith ("Taxes"), and any Taxes
deferred.
4.5) At Closing, Buyer shall pay in full or assume all
unpaid pending and levied special assessments against the subject
property.
4.6) Buyer shall pay all Closing costs including but not
limited to: state deed tax; recording fees for corrective
instruments, if required, to place title in Buyer's name; all
recording charges and fees relating to the filing of the Deed.
SECTION 5. .
COVEN;~qTSe REPRESENT~TIONS~ ;~I~D W~~IES
5.1) Seller makes no warranties or representations
concerning the subject property. The property is sold "AS IS".
-4-
BECTION 6,
MIBCELLJ~NEOUB
6.1) Buyer hereby indemnifies Seller for any claim, cost,
or damage related to any brokerage fee due because of this
Agreement.
6.2) Any notice, demand, or request which may be permitted,
required or desired to be given in connection herewith shall be
in writing and sent by certified mail, hand delivery, overnight
mail service such as Federal Express, or Western Union telegram
or other form of telegraphic communication, directed to Seller or
Buyer. Any notice shall be deemed effective when delivered to the
party to whom it is directed. Unless other addresses are given in
writing, notices shall be sent to Seller or Buyer at the
applicable address stated on the first page of this Agreement
with a copy of any notice to Buyer also delivered to Roger N.
Knutson, Campbell, Knutson, Scott & Fuchs, P.A., 317 Eagandale
Office Center, 1380 Corporate Center Curve, Eagan, Minnesota
55121.
6.3) Time shall be of the essence in this Agreement. Where
any date or time prescribed by this Agreement falls on a
Saturday, Sunday or statutory holiday, such date or time shall
automatically be extended to the next normal business day.
6.4) Each party hereto shall promptly, on the request of
the other party, have acknowledged and delivered to the other
party any and all further instruments and assurances reasonably
requested or appropriate to evidence or give effect to the
provisions of this Agreement.
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6.5) This Agreement represents the entire agreement of the
parties with respect to the subject property and all prior
agreements, understandings, or negotiations between the parties
are hereby revoked and superseded hereby. No representations,
warranties, inducements, or oral agreements have been made by any
of the parties, except as expressIy set forth herein, or in other
contemporaneous written agreements. This Agreement may not be
changed, modified or rescinded, except by a written agreement
signed by both parties hereto. Seller and Buyer shall have the
right to modify, amend, or cancel this Agreement without the
consent or approval of any real estate broker or agent. Under no
circumstances, including, without limitation, any default(s) of
Seller and/or Buyer under this Agreement, will= (a) any real
estate broker or agent be entitled to any commission (or any
portion of the Earnest Money) unless the Closing actually occurs,
or to any notice under this Agreement~ or (b) Buyer have any
liability and/or obligation for payment of any commission or
other compensation to any real estate broker or agent regarding
this Agreement.
6.6) If Buyer defaults under any of the terms hereof, then
Seller shall have the right, in addition to whatever other
remedies are available to Seller at law or in equity, including
without limitation, specific performance, damages, including
·
attorneyts fees, to cancellation of this Agreement.
-6-
6.7) If Seller defaults under any of the terms hereof, then
Buyer shall have the right, in addition to whatever other
remedies are available to Buyer at law or in equity, including
without limitation, specific performance, damages, including
attorneyts fees, to cancellation of this Agreement.
6.8) If any provision of this Agreement is declared void or
unenforceable, such provision shall be deemed severed from this
Agreement, which shall otherwise remain in full force and effect.
6.9) Failure of any party to exercise any right or option
arising out of a breach of this Agreement shall not be deemed a
waiver of any right or option with respect to any subsequent or
different breach, or the continuance of any existing breach.
!
6.10) This Agreement shall inure to the benefit of and be
binding upon the parties hereto and their respective heirs,
personal representatives, successors and assigns.
6.11) This Agreement shall be construed in accordance with
the laws of the State of Minnesota.
6.12) At Buyerts request, a memorandum of this Agreement
shall be executed by Buyer and Seller and filed of record in
Carver County, Minnesota.
6.13) Seller hereby irrevocably authorizes Buyer to make all
necessary inquiries with and applications to the City or'other
governmental authorities, as Buyer may. require.
·
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IN WITNESS WHEREOF, the parties hereto have executed this
Agreement as of the day and year first above written.
SELLER:
HOUSING AND REDEVELOPMENT
AUTHORITY IN AND FOR THE
CITY OF CHANHASSEN
BUYER:
BLOOMBERG COMPANIES
INCORPORATED
BY:
AND
Its Chairperson
Don Ashworth, City Manager
BY:
Its
STATE OF MINNESOTA )
( SS.
COUNTY OF CARVER )
The foregoing instrument was acknowledged before me this
day of ., 19 , by
and by Don Ashworth, respectively the Chairperson and Executive
Director of the Housing and Redevelopment Authority in and for
the City of Chanhassen, a public body under the laws of the State
of Minnesota, on its behalf.
NOTARY PUBLIC
STATE OF MINNESOTA )
( SS.
COUNTY OF )
The foregoing instrument was acknowledged before me this
day of , 19 , by
the of Bloomberg Companies Incorporated, a
Minnesota corporation, on its behalf.
NOTARY PUBLIC
-8-
DRAFTED BY =
Campbell, Knutson, Scott
& Fuchs, P.A.
317 Eagandale Office Center
1380 Corgorate Center Curve
Eagan, Minnesota 55121
(61~-) 45~--5000
-9-
EXHIBIT "A"
to
REAL ESTATE REPURCHASE AGREEMENT
Outlot A, Market Square, Carver County, Minnesota
AND
Lot 4, Block 1, Market Square, Carver County, Minnesota
CHANHASSEN H. R · A.
CHECK ·
AHOUNT
04504g
045053
2
CHANHASSEN H. R . A.
46.22
100.00
208.22
GflEC~( ·
054711
054712
054713
054714
054715
054716
TOTAL OF
CHANHASSEN H . R . A ,
CHECK R
054852
054853
O54854
O54855
054858
AHOUNT
2,321.71
247.73
122.10
25.05
AHOUN T
14.72
302.58
5,840.17
1,293.32
110.24
S 7,509.03
AROUNT
A C C O U N T S P A Y A B L E 04-11-94 PAGE
CNANHASSEN H.R.A.
CHECk·
054205
0S4212
054Z21
·
CHANHASEEN H.#.A.
·
CKECK· AROUNT
0S4111
014111
OliO00 ll,2ll. O0
0SI001 B2I,HI.I!
0lBO02 81.41
005003
080004
OSSOOS
I
1
CLA I RANT PURPOSE
-
FRANK IE' I FEES, SERVICE
OOV'T TRAININ~ SERVICE TRAVEL & TRAINING
NECEIIARY EXPENOITUREI IlNCE LAST CQUNCIL FIrE'INS
A O C O U N T S P A Y A B L · 04-11-04 PAGE 2
OL A I RANT ·UR POS ·
B~W, INC. FEEl, SERVICE
3,253.18
213.00
6,900.43 CNECXI I1~ I TTEN
0CHECXS TOTAL 7.106.15
A C C O U N T · P A Y A B L E 04-25-04
CLA I HANT PURPOSE
DONALD ASI'MORTH
CAHPBELL, KNUTSON
HOISINQTON KOEGLER GROUP
JULEE GUARVE-PETERSON
SW SUBURBAN PUBLIINING
CHECK8 · WR I TTEN
A O O · U N T · · A Y A · L · 0~-00-04 PA4E
CLA I HAUT' ·UR·lEE
36.00
151 .oB
1ll .28
MBELL, KNUTION FEES, LEGAL
OITY OF OHANHASSEN UTILITIEI
FElT I VAL POOOi TRAVEL B 'IRA I N I Ne
AND-SALES TAX C~I PUI~I'iAIES
HOLFEI & GRAVEN FEEl, LEGAL
LOFFLER BUSINEll IYITEJ~ OFFICE EQUIPflENT
AND-SALE8 TAX O~ PURCHASEI
PAGE I
TRAVEL & TRAININO
FEES, LEGAL
FEES, SERVICE
FEES, SERVICE
PRINTING AND PUBLISHING
I.li
HA~LINE UHIVERIITY TRAVEL · TRAINING
HOLPEI & ~RAVEN FEEl, LEGAL
8ENIIBLE ~ USE TRAVEL · TRAININ~
A O O O U N T S P A Y A · L E 0B-0l-O4 PAM
OLA I RANT PURPOSE
121.00
10.00 JMM FEQ~AN
11GHE~CITOTAL 176,412.0!
BUSINESS ESIENTIAL· IN~ 8UPPLIIO, 0FFIM
AND-SALES TAX QM PURCHASE
OARVER OOUNTY TREAILI~R OTI~R ACGUISITIOff OOIT8
QAAVER O0UNTY TREAI4JRER OTI~R AOGUISITION OO8T8
OITY OF QHANHAII~I ~ AIEEIlHENT PAY~IT~
QHAIJCA BUll. DIN OENTER REP.& HAINT.- Bi. De · eND
FEITIVA/,. POOD4 TRAV~. · TIAININe
AMD-BALE· TAX Mi IK/RCI4AI~S
TOOl ILqU'IAROT TRAVEL · TRAININe
TIIAVEL · TRAINIM