07-10-12 HRA Agenda Packet AGENDA
Regular Meeting
of the
Housing and Redevelopment Authority
Golden Valley City Hall
7800 Golden Valley Road
Council Chamber
July 10, 2012
6:30 pm
Paqes
1. Roll Call
2. Approval of Agenda
3. Appraval of Minutes - April 10, 2012 and Special Meeting - May 8, 2012 2-6
4. Approval of Bills:
Reimbursement of City Expenditures 7-8
City of Golden Valley $159,031.40
Voyager 30,531.30
TC?TAL $189,562.70
Bill Summarv:
General Fund $153,840.00
North Wirth
Capital Project Fund 33,111.30
Golden Hills
Project Fund $ 2,611.4Q
TOTAL $189,562.7Q
5. Receipt of June 2012 Financial Reports 9-12
6. Lease of HRA Property to D'Amico Catering -Amendment 13-15
Extending Lease
7. Adjournment
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HOUSING AND REDEVELOPMENT AUTHORITY
April 10, 2012
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 an April 10, 2012 at 6:30 pm, in the Gity
Council Chambers.
The following members were present: Chair Paula Pentel and Commissioners Joanie
Clausen, Mike Freiberg, Shep Harris and DeDe Scanlon. Also present were HRA Director
Thomas Burt, Assistant HRA Director Jeanne Andre, City Attorney Allen Barnard, Finance
Director Sue Virnig and Administrative Assistant Lisa Wittman.
Approval of Aqenda
MOVED by Harris, seconded by Freiberg and motion carried unanimously to approve the
agenda as submitted.
Approval of Minutes — January 10, 2012 Reqular HRA Meetinq and March 13, 2012
Special Meetin�
MOVED by Freiberg, seconded by Scanlon and motion carried unanimously to approve the
January 10, 2012 Regular HRA minutes and the March 13, 2012 Special HRA minutes as
submitted.
Reimbursement of Citv Expenditures
MOVED by Clausen, seconded by Scanlon and motion carried unanimously to authorize
reimbursing the City of Galden Valley $32,413.02 for expenditures incurred.
Receipt of March 2012 Financial Reports
MOVEQ by Freiberg, seconded by Clausen and motion carried unanimously to receive and
file the March 2012 Financial Reports.
Set May 8, 2012 Workshop Meetinq Date
The Commissioners confirmed that their Warkshop Meeting date should be set for May 8,
2012 at 6 pm in order to learn about past HRA redevelopment efforts and to identify tools
and priorities for redevelopment and economic development in the City.
Golden Hills Redevelopment Area
a. Public Hearing on sale of land to Global One Golden Valley L.L.C.
b. Resolution 12-04 — resolution approving conditional sale of certain real
property for the development of rental apartments and senior housing (Global
One Golden Valley L.L.C.)
Housing and Redevelopment Authority
April 10, 2012
Page 2
Andre stated that the HRA has been working with Global One Commercial on the possible
redevelopment of undeveloped land at the northwest quadrant of Highway 10p and
Interstate 394 that was acquired by MnDOT through the I-394 expansion project. She
explained that the property is in a redevelopment area and can be sold to the HRA for
redevelopment purposes. The HRA can then, through a Private Development Agreement,
sell the property to a developer for an identified project. She reviewed the activities that are
necessary if the development agreement is approved by the HRA.
Mark Globus, Global One Commercial, referred to a site plan of the property and explained
his proposal to build a six-story, 212 unit, luxury apartment building and a five-story, 149
unit, senior building with three levels of care. The apartments will have one level of
underground parking and one level of at-grade parking. The senior housing will have one
level of underground parking. He stated that there have been several uses proposed for
this property but they were much more intense and had a higher level of traffic. He said he
feels this proposal is the most appropriate use for this site and creates the least amount of
traffic. He discussed some of the highlights of the proposal including: a landscaped buffer
from the neighborhood to the north, premium landscaping, a pond and a trail system.
Chair Pentel opened the public hearing.
Shelley Maasch, 5011 Circle Down, said she is concerned about a six-story building being
so close to her house. She said another concern is the traffic. This development will
generate a lot of traffic on Circle Down and there is only one access that they all share.
She questioned haw the apartments cauld be considered luxury or high-end, if they are
sitting right on I-394. She said this proposal lacks green space and she is concerned about
the parking lot coming right up to her back yard. She suggested there be at least a 30-foot
wide buffer because she doesn't want to see the parking !ot from her house. She said she
is cancerned about the water level in regard to the underground parking because the soil is
bad in this area and she's also concerned how the installation of piles would affect her
house.
Jane Gjerstad, 5420 Circle Down, said she gets enough traffic trying ta get aut of her
driveway sa she is concerned about cars going in and out of the proposed development
right where she exits her driveway. She said Breck School wanted to build their ice arena
on this property but couldn't because of the soil conditions. She added that the
neighborhood has petitioned the City in the past to buy them out.
Rivia Kaplan, 521 Q Circle Down, said she is also concerned about the traffic because there
is only one way out of the neighborhood. Globus referred to the site plan and explained the
traffic patterns.
Jeff Vaala, 5320 Circle Down, said he would be backing out of his driveway where all of the
cars from the proposed development would be entering and exiting. He said there are
currently about 30 cars with the existing apartments but the proposed new apartments will
have approximately 300 cars. He questioned if there is a different option for access to the
property.
Housing and Redevelopment Authority
April 10, 2012
Page 3
Globus explained that the existing alley cannot be used because there is not adequate
width for emergency v�hicles and snow storage. He referred to the comment regarding
green space and said he feels he is proposing a great deal of green space but he would
consider eliminating some of the parking to allow for additional green space. Burt added
that there could be things changed throughout the process, such as allowing proof of
parking.
Shelley Maasch, 5011 Circle Down, asked about the width of the proposed buffer space.
Gary Tushie, Tushie Montgamery Architects, said the buffer space is approximately 10 feet
in width and there will also be an opaque fence with landscaping on both sides as well.
Bernadine Fox, 5211 Circle Down, asked about the height af the proposed fence. Tushie
said it will be a 6-foot high fence.
Seeing and hearing na one else wishing to comment, Chair Pentel closed the public
hearing.
Freiberg asked Globus to address the concern about these apartments being high end
when they are next to the highway. Globus said they can use triple paned glass to cut
down on sound emanation from I-394. Pentel nated several examples of high end
apartments that are built right next to highways.
Harris asked about the concern expressed regarding the stability of the surrounding
houses during construction. Globus explained that the general contractor's opinion is that
there will need to be soil corrections (removal of poor soil) done, but they don't believe
pilings will be necessary.
Harris asked how many units there are in the existing apartment buildings. Glabus said
there are 24 units in the existing apartment buildings.
Pentel noted that this public hearing is the beginning of the process and that there will be
many more opportunities for input as the process continues.
Commissioner Harris introduced the resolution and moved its adoption:
RESOLUTION 12-04
RESOLUTION APPROVED CONDITIONAL SALE OF CERTAIN REAL PROPERTY FOR
THE DEVELOPMENT OF RENTAL APARTMENTS AND SENIOR HOUSING
(Global One Golden Valley, L.L.C.)
The motion far the foregoing resolution was seconded by Commissioner Freiberg, and
upon a rall catl vote being taken thereon, the following voted in favor thereof: Clausen,
Freiberg, Harris, Scanlon and Pentel; the following voted against the same: none;
whereupon said resolution was adopted, signed by the Chair and her signature attested by
the Director.
Housing and Redevelopment Authority
April 10, 2Q12
Page 4
Review of Tax Increment Financinq Policv
Harris stated that the policy seems fairly straightforward.
Pentel explained that some of the objectives in the policy are set by statute and same of
them have been developed by the HRA.
MOVED by Freiberg, secanded by Clausen and mation carried unanimausly to affirm the
existing Tax Increment Financing Policy as set forth in Resolution 06-03.
The meeting was adjourned at 7:29 pm.
Paula Pentef, Chair
ATTEST:
Lisa Wittman, Administrative Assistant
HOUSING AND REDEVELOPMENT AUTHORITY
Special Meeting
May 8, 2012
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 May 8, 2012 at 6:Q6 pm, in the Council
Canference Room.
The following members were present: Chair Paula Pentel and Commissioners Joanie
Clausen, Mike Freiberg, Shep Harris and DeDe Scanlon. Also present w�re HRA Director
Thomas Burt, Assistant HRA Direc#or Jeanne Andre, Finance Director Sue Virnig, Mark
Grimes, Director of Planning and Development and Joe Hogeboom, City Planner.
Description of Past Projects - Redevelopment Tools - Future Direction of the
Housing and Redevelopment Authority
Assistant Director Jeanne Andre presented a PowerPoint. It included before and after
pictures of the projects outlined in the Executive Summary, a review of redevelopment
tools and ways that the HRA and Council have approached community development over
time. She asked the Commissioners to discuss how they would like to approach community
development now. Many ideas were discussed, including: looking at recent studies; taking
a bus tour to take stock of the community; reviewing the Envision Guide; considering
community input through surveys, a task force, ar work with the Planning Commission;
looking for public-private partnerships; considering the Commission's risk tolerance; and
looking for ways to avoid vacant, blighted land.
The Commissioners asked staff to compile a list of approaches for further discussion by
the HRA. The goal of future discussion will be to identify an approach help the Council
develop consensus on cammunity development goals and a means to achieve them.
Adjournment
MOVED by Scanlon, seconded by Freiberg and motion carried unanimausly to adjourn the
meeting at 7:12 pm.
Paula Pentel, Chair
ATTEST;
Jeanne Andre, Assistant HRA Director
G1��' L�� ��a.
Housing and Redevelopment Authority
753-593-8002/763-593-8109(fax)
Executive Summary For Action
Golden Valley Housing and Redevelopment Authority Meeting
July 10, 2012
Agenda Item
4. Reimbursement af City Expenditures
Prepared By
Sue Virnig, Finance Director
Summary
As of June 30, Z012 the following expenditures were paid by the City on various check registers
and need to be reimbursed by the HRA:
Check
City Expenditures: Amount Number
1000 Best & Flanagan (March Legal) $2,870.00 110530
1000 Best & Flanagan (April Legat) $3,395.40 110948
1000 Wilson Development (Globus Relocation)* 126.00 111172
1000 Best & Flanagan (May Legal) 640.OQ 111348
City of Golden Valley 152,OOO.QO
Voyager Bank 30,531.30
$189,562,70
HRA Expenditures:
9000 General Fund $153,840.OQ
9160 Golden Hills Tax Increment Fund .OQ
9250 North Wirth #3* 33,111.30
9280 Golden Hills Capital Projects* 2,611.40
---------------------------------
$189,562.70
*Asterisk items are reimbursed by deposits held for developers.
Recommended Action
Motion to approve reimbursing the City of Golden Valley $159,0�1.40 (check #4046) for
expenditures incurred and Voyager Bank (Bank Mutual-GVECj $30,531.30 (check#4Q47) for
payment on note and will be paid from tax increment received per agreement.
�:1��' C�� _.
Housing and Redevelopment Authority
763-593-8002/763-593-8109(fax)
Executive Summary For Action
Golden Valley Housing and Redevelopment Authority Meeting
July 10, 2012
Agenda Item
5. Receipt af June 2012 Financial Reports
Prepared By
Sue Virnig, Finance Director
Summary
Attached is the lune 2012 Financial Reports for Housing and Redevelopment Authority (HRA)
review. Staff will address questions from the HRA before or at the meeting.
Attachments
• HRA General Fund June 2012 Budget Report (1 page)
� HRA Tax Increment District Projections for Golden Hills Tax Increment Funds (1 page)
• HRA 2012 Capital Project Funds Report (1 page)
Recommended Action
Motian to receive and file the lune 2012 HRA Financial Reports.
HRA of Golden Valley
General Fund
June 2012 Budget Report
Percentage Of Year Completed 50%
Over % Of
2012 Apr-June YTD (Under) Budget
Revenue Budget Actual Actual Budget Received
Transfer from TIF Funds:
Golden Hills 159,000 0.00 159,000.00 0.00 100.00%
Interest Earnings (3) , 0 0.00 0.00 0.00
Fund Balance 0 0.00 Q.00 0.00
Totals $159,000 0.00 159,000.00 0.00 100.00%
Over °fo Of
2012 Apr-June YTQ (Under) Budget
Expenditures Budget Actual Actual Budget Expended
Legal Services (1) $5,000 1,840.00 2,766.20 (2,233.80) 55.32%
Audit 12,000 12,0OO.OQ 12,000.00 O.OQ 100.00%
City Qverhead (2) 140,000 140,000.00 140,000.00 O.OQ 100.00%
Miscellaneous 1,Oa0 0.00 0.00 (1,000.00) 0.00%
Totals $158,000 153,840.00 154,766.20 (3,233.80) 97.95%
Notes:
(1) Includes May to date billings from Best & Flanagan.
(2) Transfers will be made in July 2012.
(3) Interest will be allocated at year end.
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HRA Qf Golden Valley Capital Project Funds
2012 Financial Report 9280 9250
Golden North
Hills Wirth #3
Cash Balance @ 4/01/12 $286,578.24 $16,221.00
Add:
Receipts:
Interest
Deposit from Developer
Increment on Deposit 14,310.30
Less:
Expenditures:
City of Golden Valley (1) (200.00) (30,531.30)
Transfer to TIF
Cash Balance @ 06/30/12 $286,378.24 $0.00
(1) Breakdown on City Expenditures Memo
(2) Will take off next TIF payment to developer
�:1��.r C��
Hausin,g and Redevelopment Autharity
763-593-8002/763-593-8109(fax)
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Executive Summary For Action
Golden Valley Housing and Redevelopment Authority Meeting
July 10, 2012
Agenda Item
6. Amendment Extending Lease with Q'Amico Catering
Prepared By
Jeanne Andre, Assistant Director, Housing and Redevelopment Authority
Summary
On May 14, 2009, the Housing and Redevelopment Authority (HRA) executed a land lease with
D'Amico Catering for property the HRA owns at 1201 Turners Crossroad South (Tract B,
Registered Land Survey No. 0106). The lease expired on May 14, 2012, but D'Amicos is interested
in extending it. The attached amendment extends the lease until May 14, 2015 (effective May
14), which is coterminous with the lease for the Metropalitan Ballroom. The initial lease provides
for a rent of$1 per year, with the leasee responsible for all upkeep.
Attachments
• Amendment Extending Lease effective May 14, 2012 (2 pages)
Recommended Action
Motion to approve Amendment Extending Lease with D'Amico Catering, effective May 14, 2012.
AMENDMENT EXTENDING LEASE
This Amendment Extending Lease is entered into effective as of May 14, 2012 by and
between the Housing and Redevelopment Authority in and for the City of Golden Valley, public
body corporate under the laws of the State of Minnesota("Lessor"), and D'Amico Catering,
LLC, a Minnesota limited liability company ("Lessee").
RECITALS
The parties entered into a Lease effective as of May 14, 2009 of real property located in
the City of Golden Valley, County of Hennepin, and State of Minnesota, legally described as:
Tract B, Registered Land Survey No. 0106.
The Lease expired on May 14, 2012.
Accordingly, the parties wish to amend that Lease by extending its term.
AMENDMENT EXTENDING LEASE
l. As of May 14, 2012, Lessor and Lessee hereby amend the above-referenced Lease
by extending its term from May 14, 2012 through May 14, 2015 ("Termination Date").
2. The parties hereby ratify all other terms of the Lease.
IN WIT'NESS V��HEREOF,the Lessor and the Lessee have caused these presents to be
executed in form and manner sufficient to bind them at law, as of the ciay and year first above
written.
LESSOR: LES�EE: �
Housing and Redevelopment Authority in D'Amico n , L
and for the City of Golden Valley \
By J
By Its -�,��a Sk t e�
Its Assistant Director
STATE OF MINNESOTA
}ss.
COUNTY OF HENNEPIN
The foregoing instrument was acknowledged before me this day of May, 2012, by
, the Assistant Director of the Housing and Redevelopment Authority in and
for the City of Golden Valley, public body corporate under the laws of the State of Minnesota,
on behalf of the City, Lessor.
Notary Public
STATE OF MINNESOTA }ss.
COUNTY OF R�,.,,ti,s�� ��
��'
The foregoing instrument was acknowledged before me this u day N�x�y, 2012,
by ��«.ut 5���G, , the �--.�'. U, of D'Amico Catering, LLC, a Minnesota
limited liability company, Lessee.
c -�r�
-cr�-''�'
Notary Public
This instrument was drafted by: � tAURA J CO�I�II�Al�!
�k�ary AibNe
Best& Flanagan LLP (ADB) �M�
225 South Sixth Street, Suite 4000
Minneapolis, MN 55402
-2-