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Holasek Grant Application and Ltr 1-23-19January 23, 2019 CITY OF C HANHASSE N Chanhassen is a Community for Life - Providing for Today and Planning for Tomorrow Carver County Community Development Agency Attn: Allison Streich, Deputy Director 705 North Walnut Street Chaska, MN 55318 Re: Holasek Business Park Community Growth Partnership Grant Application Planning Case File No. 2018-18 Dear Ms. Streich: Attached is the Community Growth Partnership Grant application for the above -referenced development. Please feel free to contact me if you have any questions. I can be reached at 952- 227-1139 or by email at kaanenson(a�ci.chanhassen.mn.us. Sincerely, Date Aanenson, AICP Community Development Director g:\admin\cp\economic development\cda\holasek cvr letter.docx PH 952.227.1100 • www.cl.Chanhassenan.us • FX 952.227.1110 7700 MARKET BOULEVARD • PO BOX 147 • CHANHASSEN • MINNESOTA 55317 COMMUNITY GROWTH PARTNERSHIP GRANT APPLICATION Introduction. This application requests information about the redevelopment plan, project, and activities. The Redevelopment Plan question portion of the application refers to the entire redevelopment area. The project and activity question portion of the application refers to the specific work to be completed in the redevelopment plan area. General Information Project Name: Holasek Business Park Applicant City: Chanhassen Applicant Address: 7700 Market Blvd Application/Project Contact: Kate Aanenson Contact Email Address: kaanenson&ci.chanhassen.mn.us Phone Number: 952-227-1139 Authorized Official(s) for Execution of Contracts (name and title):_ Todd Gerhardt Cites erg_& Mayor Elise Rvan How much funding are you requesting? $60,000.00 I. COMMUNITY DEVELOPMENT PLAN QUESTIONS 1. Describe the type of business. Light manufacturing and distribution 2. Describe the business project (rehabilitation/expansion/new construction) for which funds are being requested. The site had a greenhouse and growing operation. Poor soils, the Magellan pipeline and wetlands had prohibited the maximum development of the site. The proposed project will lead to new construction on the site. 3. Describe how the proposed project will benefit the community or area in which the business is located. The site is currently underutilized. The site constraints make it a challenging site to development. The site has access to city municipal services and access via a county road. The development of the site will provide business and economic opportunity in the community as well as additional jobs. 4. Describe direct and indirect employment benefits, effects on the tax base (if any), and benefits to other businesses and organizations. The site has an estimated Market Value of $4,267,800 as vacant land. It has a taxable Market Value of $331,000 and a total tax if $3,012.00. After redevelopment, all buildings should produce $730,750 in total taxes. 5. Smart Growth: Describe how the project incorporates smart growth concepts, including proximity to public transit, pedestrian -friendly design, maximizing green space, mixed land uses, and community building elements. The site uses existing infrastructure, and is an infill development, properties around the site are developed. The site is accessible via public transportation via Southwest Transit. Pedestrian access to the city's trail system will be made from the development to Lyman Boulevard.. 6. Leverage: Itemize all other funding sources for the Community Development Plan. Please include all previously awarded CGP grants. Source of Funds Amount Committed Pending Private Financing $1,800,000 X ❑ $ ❑ ❑ Landscaping $ ❑ ❑ $565,557 $ ❑ ❑ $ ❑ ❑ Total: $1,800,000 7. Itemize Community Development Plan expenses. Itemized Use of Funds/Expenses Amount Funding Source Site Grading $275,890 Private Erosion Control and site seeding $70,500 Storm Water $690,576 Landscaping $20,000 Sanitary Sewer and Water $565,557 $ Total: $1,622,523 8. Environmental Benefits: Has the rehabilitation/expansion/new construction area been found or suspected to be contaminated? Yes ❑ No X 9. Does the rehabilitation/expansion/new construction include the cleanup of contaminated soils, hazardous waste or materials? Yes X No If yes, please describe information on the type of cleanup, what measures have been taken to address the contamination, consultant reports, and/or Response Action Plan. There has dumping on the site since the previous use was vacated. 10. Describe positive environmental impacts of the rehabilitation/expansion/new construction. Storm water and water quality infrastructure with the development will improve water quality especially into Lake Hazeltine, which is listed as an impaired water body. The landscaping will provide environment benefits as well as enhanced aesthetics. Economic Benefits What are the current property taxes for the business? $9,000 Pay Year 2018 What will the estimated property tax be after business rehabilitation/expansion/new construction? $900,000 Pay Year 2021 How was this figure determined?—This number is consistent with building of the same type and finish. Who determined it? City Staff Project the number of new jobs created after rehabilitation/expansion/new construction. Total new jobs = 18-20 FTEs. Number of new jobs with wages greater than $14.00 per hour =18-20 FTE II. PROJECT AND ACTIVI T Y QUESTIONS Project site address(es): 8610 Galpin Blvd Chanhassen Acreage of site: 36.4 acres Number of parcels: 1 Is the Project site publicly or privately owned? Publicly Owned ❑ Privately Owned X Current Project site owner(s): Holasek Farms LP Current appraised or assessed value of the site: $4,778,500 taxable Market Value $331,000 Projected appraised or assessed value of the site after rehabilitation/expansion: $31,000,000 Attach the appraisal or assessor's current and proiected values. (see attachment) Legal description of Project site (may be separate attachment): See Exhibit A 1. Describe the Project including location map, photos, and current and projected site plans. Maps should include property boundaries, north arrow, and bar scale. A total of 449,350 square feet of buildings in three office industrial buildings with areas of 161,500 or up to 179,500 square feet with a mezzanine (Building A), 109,250 square feet (Building B) and 160,600 or up to 178,600 square feet if Building A does not have a mezzanine (Building Q. 2. Describe the Activities that are part of the Project. • Site Grading • Soil corrections • Installations of utilities and storm water facilities • Construction of office industrial buildings Is demolition of slum and blight or other structures an Activity of the Project? Yes ❑ No X 1. How many residential buildings are on Project site? 0 Commercial buildings? 0 How many residential buildings are vacant? n/a Commercial buildings? n/a 2. Describe how the Project will make more efficient use of the site. • The site was an nursery site and growing field • The property was under utilized • The development will provide my tax base via the new buildings and create additional good paying jobs. 1. Leverage. Itemize all other funding sources for the Project and the Activities identified as part of the Project. Source of Funds Amount Committed Pending $ ❑ ❑ $ ❑ ❑ $ ❑ ❑ Total: $ ❑ ❑ $ ❑ ❑ Total: $ Itemize Project expenses for each Activity. Be as detailed as possible. Project Activities/Expenses Costs Funding Source Total: $ 2. List other sources of funds requested or considered but not obtained for the Project and explain why they were not obtained, to the best of your knowledge. (The purpose of this question is to ensure all funds have been exhausted.) The project does not qualify for city TIF and is not eligible for Metropolitan Council Livable Communities funding. IF the project includes property acquisition, clearance, and/or construction activities, describe how owners, tenants, and businesses will be temporarily or permanently relocated. Attach relocation plan, if applicable. The site is currently vacant. 3. Readiness to Proceed. Please provide detailed project timeline with all actions, phases, and anticipated dates for completion. The Developer is planning to start work on May 1, 2019 4. Please indicate whether any of the following entitlement or due diligence actions are required or have been completed for the Project: Zoning amendments or variances: Comprehensive plan amendment: Environmental review: Yes ❑ No X If yes, Status: Yes ❑ No X If yes, Status: Yes No X If yes, Status: Market or feasibility study: Yes ❑ No X If yes, Status: EXHIBIT A Legal Description The South 100 feet of the Southeast Quarter of the Southeast Quarter (SE 1/4 SE 1/4) of Section 16, Township 116, Range 23, Carver County, Minnesota; AND That part of the Southwest Quarter of the Southwest Quarter (SW 1/4 SW 1/4) of Section 15, Township 116, Range 23, Carver County, Minnesota, described as follows: Commencing at the Southwest corner of said Section 15, and running thence East along the South line of said Section 15 a distance of 275 feet more or less to the centerline of County Road No. 117; thence Northwesterly along the said centerline of said County Road No. 117 a distance of 115.5 feet to the point of intersection with a line 100 feet distant and running parallel to the said South line of said Section 15; thence Westerly, along said line running parallel to the said South line of said Section 15, to the West line of said Section 15; thence South a distance of 100 feet along said West line of said Section 15, to the point of beginning; AND The Northeast Quarter of the Northeast Quarter (NE 1/4 NE 1/4) of Section 21, Township 116, Range 23, Carver County, Minnesota; EXCEPT all that part of said Northeast Quarter of the Northeast Quarter of said Section 21, lying Southeasterly of the Northwesterly right of way line of the Chicago, Milwaukee, St. Paul and Pacific Railroad Company; AND That part of the Northwest Quarter of the Northwest Quarter of Section 22, Township 116, Range 23, Carver County, Minnesota, described as follows: Beginning at a point on the South line of the Northwest Quarter of the Northwest Quarter of said Section 22, which point is 3.60 chains West of the Southeast corner of said Northwest Quarter of the Northwest Quarter; running thence North 22 1/2 degrees West 17.18 chains; thence North 47 1/2 degrees West 2 chains; thence North 71 1/2 degrees West 8.60 chains to the Northwest corner of said Northwest Quarter of the Northwest Quarter; thence South 20 chains to the Southwest corner thereof; thence East 16.40 chains to the place of beginning; EXCEPT all that part of said Northwest Quarter of the Northwest Quarter of said Section 22, lying Southeasterly of the right of way of the Chicago, Milwaukee, St. Paul and Pacific Railroad Company and Southwesterly of the Excelsior and Shakopee Road; AND EXCEPT any portion of said Northwest Quarter of the Northwest Quarter of Section 22 located within the boundaries of the plat of Stone Creek First Addition recorded as Document No. 152353 in the records of the County Recorder, Carver County, Minnesota; AND ALSO EXCEPT any portion of said Northwest Quarter of the Northwest Quarter of Section 22 located within the boundaries of the registered land described in Certificate of Title No. 31519 as follows: That part of the North Half of the Northwest Quarter of Section 22, Township 116 North, Range 23 West of the 5th Principal Meridian described as: Beginning at the north quarter corner of said Section 22; thence on an assumed bearing of North 89 degrees 05 minutes 35 seconds West, a distance of 969.75 feet along the north line of said Northwest Quarter; thence South 56 degrees 57 minutes 24 seconds West a distance of 1138.88 feet to the center line of County Road No. 117; thence South 32 degrees 02 minutes East a distance of 56.45 feet; thence southeasterly 484.22 feet along a tangential curve to the right having a radius of 3322.60 feet; thence South 23 degrees 41 minutes East a distance of 241.78 feet to the south line of said North Half of the Northwest Quarter; thence South 89 degrees 06 minutes 46 seconds East a distance of 1570.38 feet along said south line of the North Half of the Northwest Quarter to the southeast corner thereof; thence North 0 degrees 30 minutes 30 seconds East a distance of 1326.84 feet along the east line of said Northeast Quarter to the point of beginning, according to the Government survey thereof; AND All that part of Government Lot One in Section 21, Township 116, Range 23, Carver County, Minnesota, lying Northwesterly of the right of way of the Chicago, Milwaukee, St. Paul and Pacific Railroad Company. CERTIFICATION STATE OF MINNESOTA ) ss COUNTY OF CARVER ) I, Kim T. Meuwissen, duly appointed and acting Deputy Clerk for the City of Chanhassen, Minnesota, do hereby certify that I have compared the foregoing copy of Resolution No. 2018-64 66Approving Application for Funding from the Carver County Community Development Agency Community Growth Partnership Initiative Grant Program" adopted by the Chanhassen City Council on December 10, 2018 with the original copy now on file in my office and have found the same to be a true and correct copy thereof. Witness my hand and official seal at Chanhassen, Minnesota, this 11th day of December, 2018. -::�4- I - ay� Kim T Meuwissen, Deputy kerk CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, MINNESOTA DATE: December 10, 2015 RESOLUTION NO: 2015-64 MOTION BY: Tiornhom SECONDED BY: McDonald RESOLUTION APPROVING APPLICATION FOR FUNDING FROM THE CARVER COUNTY COMMUNITY DEVELOPMENT AGENCY COMMUNITY GROWTH PARTNERSHIP INITIATIVE GRANT PROGRAM WHEREAS, the City of Chanhassen has identified a proposed project within the city that meets the Carver County Community Development Agency (CDA) Community Growth Partnership Initiative Grant program's purposes and criteria; and WHEREAS, the city has established Business Subsidy Guidelines of which the proposed project is a component; and WHEREAS, the city has the capability and capacity to ensure the proposed project be completed and administered within the Growth Partnership Initiative Grant program guidelines; and WHEREAS, the city has the legal authority to apply for financial assistance; and NOW THEREFORE, BE IT RESOLVED by the City Council of the City of Chanhassen that the City of Chanhassen approve the application for funding from the Carver County CDA Community Growth Partnership Initiative Grant program. BE IT FURTHER RESOLVED that upon approval of its application by the Carver County CDA, Mayor Denny Laufenburger is hereby authorized to execute such agreements as are necessary to receive and use the funding for the proposed project. Passed and adopted by the Chanhassen City Council this 10t' day of December, 2018. ATTEST: `' ; Todd Gerhardt, City Manager YES Denny Laufe burger, ayor Laufenburger Ryan None McDonald Campion Tj ornhom atm i A. .10 Property Card Parcel I® Number 250210100 Taxpayer Information Taxpayer Name HOLASEK FARMS LP . �u< C/O CAROL THUENING t Mailing Address.:, 917 KELLY CT CHANHASSEN, MN 55317- ` Ft' Property Address . Address" � 1 r 8610 GALPIN BLVD City s . N�_A , '�; CHANHASSEN, MN 55317 [Parcel Information Uses Agricultural GIS Acres 49.75 Net Acres 4962 Deeded Acres 50.29 Mat Lot Block Tax Description NE1/4 NE1/4 & BEGAT PT ON S LINE NW1/4 NW1/4 SECT 22 WHICH PT IS 3.60 CH W OF SE CORN Building Information Building Style Above Grade Bedrooms Finished S Ft Year Built Garage nniscellaneous Information School District Watershed District Homestead Green Acres Ag Preserve 0112 0 t6'S 067 CARVER CO'v"JPv1O iJ r iN Assessor Information Estimated (Market Value 2017 Values 2018 Values (Payable 2018) (Payable 2019) Last Sale Land $4,267,800.00 $4,778,500.00 Date of Sale Building $0.00 $0.00 Sale Value Total $4,267,800.00 14, 778, 500.00 The data provided herewith is for reference purposes only. This data is not suitable for legal,. engineering, surveying or other similar purposes. Carver County does not guarantee the accuracy of the informa1iion contained herein, This data is furnished on an 'as is' basis and Carver County makes no representations or warranties, either expressed or implied, for the merchantability or fitness of the Information provided for any purpose. This disclaimer is provided pursuant to Minnesota Statutes §466.03 and the user of the data provided herein acknowledges that Carver County shall not be liable for any damages, and by using this data in any way expressly waives all claims, and agrees to defend, indemnify, and hold harmless Carver County, its officials, officers, agents, employeesbrought , etc. from any and all claims by anyone who uses the information provided for herein, its employees or agents, or third parties which arise cut of users access. By acceptance of this date, the user agrees not to transmit this data or provide access to it or any part of it to another party unless the user includes - with the data a copy of this disclaimer. -iday, January 4, 2019 Carver County, MN Canter County Property Tax, Elections & License Centers 600 East 4" Sheet, P.O. Box 69 1 r Chaska. MN 55318-0069 952-361.1910anvw.co carver.mLin .�,s V� For the following visit our website at www.co.carver.mn.us • Pay your taxes online • Sign up forourTax Payment Reminder • Print additional copies of your Tax Statement Property ID #: 25.0210100 Taxpayer: HOLASEK FARMS LP C/O CAROL THUENING 1312 SHADYWOOD LN WACONIA MN 55387-1179 REFUNDS? You may be eligible for one or even two refunds to reduce your property tax. Read the back of this statement to find out how to apply. B1114: 911658 Property Address: 8610 GALPIN BLVD CHANHASSEN MN 55317-9413 Property Description Acres 50.29 Section 21 Township 116 Range 023 NE1/4 NE1/4 & BEG AT PT ON S LINE NW1/4 NW1/4 SECT 22 WHICH PT IS 3.60 CH W OF BE CORN NW1/4 NW1/4; TH N 22.5`W 17.18 CH; TH 47.5'W 2 CH; TH N71.5'W 8.60 CH TO NW CORN NW1/4 NW1/4; TH S20CH TO SW CORN; TH E 16.40 CH TO BEG IN NW1/4 NW1/4 CONT 22.52 AC & 2018 Property 3,638.00 3285.95 w® VALUES AND CLASSIFICATION Delinquent payments cannot be paid online. 273.95 Taxes Payable Year: 2017 2018 Estimated Market Value: 3,810,800 4,267,800 Step Homestead Exclusion: 6. County A. CARVER COUNTY 1;342.87 1 Taxable Market Value: 345,400 331,000 3.78 New Improvements/ 7. City or Town CITY OF CHANHASSEN 823.94 750.25 Expired Exclusions: 8. State General Tax P.O. Box 69 0 Property Classification: Thi. pard nos 10-d Gr e 1 ,es 1 - Ag Non-Hstd Ag Non-Hstd Step 1'11111,I1r1611111"II'1111J11111111'lllllhlrlllllll"I"11111 PROPOSED TAX 920.19 2 In $3,010.00 357.98 305.82 PROPERTY TAX STATEMENT 10. Special Taxing Districts A. Metro Council Step First half taxes due: May 15 1,506.00 3 Second half taxes due: November 15 1,506 e0 51.25 Total Taxes Due in 2018: TIC 9 3,01200 I�..-..__ __y`:_ - i 4 Tex Detail for Your Property: Taxes Payable Year: 2017 2018 j 1. Use this amount on Form M1 PR to see If you are eligible for a property tax refund. El by August 15. If this box is checked, you owe delinquent taxes and are nor eligible. 2. Use these amounts on Form M1 PR to see if you are eligible for a special refund. v m 3. Property taxes before credits 3,638.00 3285.95 w® 4. Credits that reduce property taxes A. Agricultural markei value credits Delinquent payments cannot be paid online. 273.95 S B. Other Credits 1 Hv 5. Property taxes after credits 9,638.00 3,012.00 6. County A. CARVER COUNTY 1;342.87 1,238.27 Bill #: 911658 B. CO RAIL AUTHORITY 3.62 3.78 Carver County 7. City or Town CITY OF CHANHASSEN 823.94 750.25 go 8. State General Tax P.O. Box 69 0 HOLASEK FARMS LIP C/O CAROL THUENING 9, School District SD 0112 Eastern Canner Cniy '> 1312 SHADYWOOD LN 1'11111,I1r1611111"II'1111J11111111'lllllhlrlllllll"I"11111 A. Voter Approved Levies 920.19 540.25 In B. Other Local Levies 357.98 305.82 T 8 c e 10. Special Taxing Districts A. Metro Council 30.26 2737 1213 B. Metro Mosquito Control 16.34 14.76 Cm C. Metro Transit District 51.25 45.22 ' TIC 9 D Carver County CDA 59.79 54.28 oll li E. Watershed 31.74 32.00 11. Non -school voter approved referenda levies l 12. Total property tax before special assessments 3,638.00 3,012.00 11 13, Special Assessments Interest: Principal: 14. TOTAL PROPERTY TAX AND SPECIAL ASSESSMENTS 3,638.00 3,012.00 2nd HALF PAYMENT STUB - PAYABLE 2018 To pay online go to www.co.carverunrl The online payment feature is available for a current year tax payment. PLEASE INDICATE YOUR ADDRESS CORRECTION Delinquent payments cannot be paid online. ON REVERSE SIDE OF THIS PAYMENT STUB. Property ID#: 25.0210100 TO AVOID PENALTY PAY ON OR BEFORE: November 15 1 SECOND 112 TAX AMOUNT DUE. 1,506.00 � FIRST 1/2 TAX AMOUNT :iiE. 1,506.00 o =f� Bill #: 911658 Make checks payable to and remit to: Bill #: 911656 Carver County HOLASEK FARMS LP go Taxpayer: P.O. Box 69 0 HOLASEK FARMS LIP C/O CAROL THUENING Chaska, MN 55318-0069 '> 1312 SHADYWOOD LN 1'11111,I1r1611111"II'1111J11111111'lllllhlrlllllll"I"11111 WACONIA MN 55387-1179 1�1411�IIrmllglrrurll11t11411hr1pIllr�rg111Prrrrllln In Your cancelled check is proof of payment. Please write your Property ID k on your check. g Postdatedchecks are not held. Only official U.S. Postmark determines payment mail date. 01 2018 250210100 Noreceipt sent unless requested and Is void until check is honored. Manufactured Home 02 2018 250210100 000150600 2 taxes of $50.00 or lees and Real Estate taxes of $100.00 or lase must be paid in full. If you pay your taxes late, you will be charged a penalty. See back for details. 1St HALF PAYMENT STUB - PAYABLE 2018 To pay online go to www.co.carver.mn.us The online payment feature Is available for a current year tax payment. PLEASE INDICATE YOUR ADDRESS CORRECTION ON REVERSE SIDE OF THIS PAYMENT STUB. Delinquent payments cannot be paid online. TO AVOID PENALTY PAY ON OR BEFORE: May 15 Property ID#: 25.0210100 FULL TAX AMOUNT: 3,012.00 � FIRST 1/2 TAX AMOUNT :iiE. 1,506.00 � ion Bill #: 911658 Make checks payable to and remit to: Taxpayer: Carver County HOLASEK FARMS LP C/O CAROL THUENING P.O. Box 69 1312 SHADYWOOD LN Chaska, MN 55318-0069 '> WACONIA MN 55387-1179 1�1411�IIrmllglrrurll11t11411hr1pIllr�rg111Prrrrllln � g Your cancelled check is proof of payment. Please write your Property ID If on your check. 01 2018 250210100 000150600 4 Postdated checks are not held. Only official U.S. Postmark determines payment mail date. No receipt sent unless requested and is void until check is honored. Manufactured Home taxes of $50.00 or less and Real Estate taxes of $100.00 or less must be paid in full. If you pay your taxes late, you will be charged a penalty. See back for details.