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03-09-10 Special HRA Agenda 1 . Roll Call AGENDA GOLDEN VALLEY HOUSING AND REDEVELOPMENT AUTHORITY Special Meeting Golden Valley City Hall 7800 Golden Valley Road Tuesday - March 9, 2010 6:30 PM Golden Valley City Council Chambers 2. Approval of Minutes - January 12, 2010 HRA Meeting 3. Golden Hills Redevelopment Area - Designation of Global One Commercial as developer of the MnDOT Parcel 38, east of the Golden Hills Shopping Center - Resolution 10-03 4. Adjournment Thi$doctlmentis8vailablein alternate formats upon a 72-honr request. Please call 763-593-8006 (TIV: 763-593-3968) to make a request. Examples of alternate formats may include large print, electronic, Braille, audiocassette, etc. REGULAR MEETING OF THE HOUSING AND REDEVELOPMENT AUTHORITY January 12, 2010 Pursuant to due call and notice thereof, a regular meeting of the Housing and Redevelopment Authority of the City of Golden Valley, Hennepin County, Minnesota, was held at 7800 Golden Valley Road in said City on January 12, 2010 at 6:30 pm, in the City Council Chambers. The following members were present: Chair Paula Pentel and Commissioners Mike Freiberg, Linda Loomis, De De Scanlon and Robert Shaffer. Also present were HRA Director Thomas Burt, HRA Attorney Allen Barnard, Assistant HRA Director Jeanne Andre and Administrative Assistant Christine Columbus. Election of Officers The HRA Bylaws provide forthe annual election of the HRA Chairperson and Vice Chairperson to serve a one year term. Shaffer opened nominations for HRA Chair. Commissioner Shaffer nominated Pentel for the office of Chair of the HRA and Commissioner Freiberg for the Vice Chair of the HRA. There were no further nominations. Pentel and Freiberg accepted the nominations. MOVED by Shaffer, seconded by Scanlon and motion carried to approved to re-elect Pentel as Chair of the HRA and Freiberg as Vice Chair of the HRA for 2010. Approval of Minutes - Housing and Redevelopment Authority Meeting - October 13. 2009 MOVED by Loomis, seconded by Freiberg and motion carried unanimously to approve the Housing and Redevelopment Authority minutes of October 13, 2009 as submitted. Reimbursement of City Expenditures MOVED by Loomis, seconded by Shaffer and motion carried unanimously to authorize the reimbursing the City of Golden Valley $9,306.33 for expenditures incurred. Set 2010 HRA Regular Meetings MOVED by Loomis, seconded by Shaffer and motion carried unanimously to set meeting dates for regular meetings for HRA on January 12, April 13, July 13 and October 12 at 6:30 pm. Receipt of December 2009 Financial Reports MOVED by Freiberg, seconded by Pentel and motion carried unanimously to receive and file the December 2009 HRA Financial Reports. Adoption of 2010 General Fund Budget Member Loomis introduced the following resolution and moved its adoption: RESOLUTION 10-01 RESOLUTION OF THE HOUSING AND REDEVELOPMENT AUTHORITY (HRA) ADOPTING THE 2010 GENERAL FUND BUDGET The motion for the adoption of the foregoing resolution was seconded by Member Freiberg and upon a vote being taken thereon, the following voted in favor thereof: Freiberg, Loomis, Scanlon, Shaffer and Pentel; and the following voted against the same: none, whereupon said resolution was declared duly passed and adopted, signed by the Chair and her signature attested by the Director. Adoption of Designation of Depositories Member Freiberg introduced the following resolution and moved its adoption: RESOLUTION 10-02 RESOLUTION DESIGNATING DEPOSITORIES FOR HRA FUNDS The motion for the adoption of the foregoing resolution was seconded by Member Loomis and upon a vote being taken thereon, the following voted in favor thereof: Loomis, Scanlon, Shaffer, Pentel and Freiberg; and the following voted against the same: none, whereupon said resolution was declared duly passed and adopted, signed by the Chair and her signature attested by the Director. Review of Tax Increment Financing MOVED by Shaffer, seconded by Freiberg and motion carried unanimously to approve the Tax Increment Financing Policy as set forth in Resolution 06-03. GVEC, LLC - Update and Tax Increment Payment MOVED by Loomis, seconded by Freiberg, and motion carried to authorize staff to pay North Wirth Redevelopment District NO.3 February, 2010, increment payment of $11,981.40 less any and all cost incurred to process the default, when payment of 2009 back taxes and penalties have been paid, to the entity legally entitled to the payment. Commissioner Shaffer abstained. Adiournment The Chair adjourned the meeting at 6:44 pm. Paula Pentel, Chair ATTEST: Christine Columbus, Administrative Assistant ~tdldefiValley Memorandum Housing & Redevelopment Authority 763-593-8014/763-593-8109 (fax) Executive Summary for Action Housing and Redevelopment Authority Meeting March 9, 2010 Agenda Item 3. Designation of Global One Commercial Prepared By Jeanne Andre, Assistant Director Summary Global One Commercial has approached the Housing and Redevelopment Authority (HRA) about purchasing Parcel 38, surplus property of the Minnesota Department of Transportation (MnDOT) located near the intersection of 1-394 and Highway 100, east of the Golden Hills Shopping Center. Under state law, the HRA has the right of first refusal to purchase this property, which would otherwise be sold at public auction. Prior to purchasing the property the HRA would seek a development agreement that establishes the details of the development. If such a development agreement can be negotiated, the purchase would be a simultaneous closing between MnDOT and the HRA and then the HRA and the developer. Staff has worked with the developer to make a preliminary determination that traffic for the new development can be accommodated. This site has a number of significant issues that still need to be addressed, including access from Turner's Crossroad, sanitary sewer access, storm water issues, and soil conditions. These issues must to be addressed to develop a detailed site plan that would satisfy the planning approval process. If the developer is conditionally designated as the developer of the site, it would be able to work on these site plan issues and negotiate a development agreement providing for the purchase of the property. The attached site plan illustrates the developer's proposed uses which include a six-story 165-room hotel with an attached one-story bank facility and a six-story 138-unit apartment building with parking for these facilities totaling 270 enclosed and 112 surface spaces. The attached resolution conditionally designates Global One Commercial as developer of the MnDOT parcel. Attachment Resolution 10-3, Conditionally Designating Global One Commercial as Developer of a Portion of the Golden Hills Redevelopment Area (MnDOT Parcel 38, East of the Golden Hills Shopping Center) (2 pages) Global One Commercial Site Plan for the Three.Nine.Four, dated November 30, 2009 (1 page) Recommended Action Motion to adopt Resolution 10-3, Conditionally Designating Global One Commercial as Developer of a Portion of the Golden Hills Redevelopment Area (MnDOT Parcel 38, East of the Golden Hills Shopping Center Resolution 10-03 March 9, 2010 Commissioner introduced the following and moved its adoption: RESOLUTION CONDITIONALLY DESIGNATING GLOBAL ONE COMMERCIAL AS DEVELOPER OF A PORTION OF THE GOLDEN HILLS REDEVELOPMENT AREA (MnDOT Parcel 38, East of the Golden Hills Shopping Center) WHEREAS, the Minnesota Department of Transportation (MnDOT) acquired for the construction of 1-394 certain surplus property referred to as MnDot Parcel 38 and located east of Golden Hills Shopping Center, in the Golden Hills Redevelopment Area; and WHEREAS, Global One Commercial would like to redevelop this parcel with a six-story, 165-room hotel with an attached one-story bank facility and a six-story 138-unit apartment building with parking for these facilities totaling 270 enclosed and 112 surface spaces; and WHEREAS, the HRA is willing to discuss with MnDOT the purchase of its parcel, and discuss with Global One Commercial the sale of the MnDOT parcel for redevelopment purposes. NOW, THEREFORE, BE IT RESOLVED, by the HRA as follows: 1. Global One Commercial is conditionally designated as developer of the MnDOT Property (Parcel 38) east of the Golden Hills Shopping Center. 2. The HRA understands that Global One Commercial will undertake all planning and development efforts to construct a project that meets the requirements of the HRA and City, and Global One Commercial shall enter into a negotiated development agreement with the HRA, which development agreement shall contain terms satisfactory to the HRA. 3. The designation contained in this resolution is not an offer or an agreement to sell the development property, or the grant of an option or any other interest in the development property. The HRA may rescind this designation at any time in its sole and absolute discretion. Subject to the foregoing, the HRA agrees to continue to discuss the development with Global One Commercial until such time as the HRA determines to terminate such discussions in its sole and absolute discretion. 4. No zoning consideration such as a change in zoning, PUD classification or variance are granted or implied by this action. 5. This designation is effective as of the date hereof and, unless previously terminated by the HRA in its sole in absolute discretion, shall automatically terminate and be of no force or effect at such time as the development agreement between Global One Commercial and the HRA is executed by all parties, or November 1, 2010, whichever occurs earlier. Paula Pentel, Chair ATTEST: Thomas D. Burt, Director Motion for the adoption of the foregoing resolution was seconded by upon a vote taken thereon, the following voted in favor thereof: the following voted against the same: none, whereupon said resolution was declared duly passed and adopted, signed by the Chair and his signature attested by the Director. ; and and II I I I I I I I ~Q. T-- L... __ _ ~ \ ~~ Xc "":::::::::: EXISTING MAYFAIR APARTMENTS C, STORY LUXURY APAR 2 LEVELS UNDERGRC 60 SPACES/l JO SF ANK ANC~ ~IL TON GARDEN INN C, STORY ~OTEL - IC,S ROOMS 110 UNDERGROUND PARKING SPACES ON 1 LEVEL "j:~''------- lERGROUND I PARKING