#82-097 09-30-82 Approve Valley Square Redevelopment PlanResolution 82-97
September 30, 1982 A 0 7
Member Johnson introduced and read the following resolution and moved its
adoption:
RESOLUTION APPROVING AMENDMENT TO VALLEY SQUARE REDEVELOPMENT PLAN
WHEREAS, the City Council of the City of Golden Valley previously approved
the Valley Square Redevelopment Plan which contemplates the redevelopment of a
large area within the center of the City of Golden Valley;
WHEREAS, the Valley Square Commission has made an extensive study and report
on the present Valley Square Redevelopment Plan which resulted in a recommendation
to substantially amend the existing Valley Square Redevelopment Plan;
WHEREAS, the Amendment to the Valley Square Redevelopment Plan, attached
hereto as Exhibit A has been reviewed and commented on by the Planning Commission
of the City of Golden Valley, being a duly designated and acting official advisory
body to the City Council, a copy of the Minutes of their meeting of August 23,
1982 is attached hereto as Exhibit B; and
WHEREAS, said Amendment was approved by the Housing and Redevelopment Authority
of Golden Valley, Minnesota on September 13, 1982;
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Golden
Valley hereby makes the following findings and determinations:
1. That the City Council has held a public hearing on the attached Amendment
to the Valley Square Redevelopment Plan upon giving published notice of said
hearing in a newspaper of general circulation in the municipality at least once
not less than ten (10) days nor more than thirty (30) days prior to the date of
hearing;
2. That the City Council has reviewed the attached Amendment to the Valley
Square Redevelopment Plan together with the included statement of the method
proposed for financing the project and the written comments of the City Planning
Commission;
3. That the area included within the Plan (the "Project Area") is a
deteriorated and deteriorating area within the meaning of Minnesota Statutes
462.421, Subd. 13;
4. That the revitalization program proposed by the Plan is necessary to
eliminate and prevent the spread of such deterioration;
5. That the Redevelopment Project Area is subject to conditions preventing
private development and would not be available for redevelopment without the
governmental assistance and financial aid proposed by the Plan;
6. That the Plan and its corresponding redevelopment project area affords
maximum opportunity for redevelopment by private enterprise, consistent with the
sound needs of the locality as a whole;
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408 Resolution 82-97 - Continued
September 30, 1982
7. That the Plan provides an outline for the redevelopment and rehabilitation
of the project area and is sufficiently complete to indicate the relationship of
the Plan to the objectives of the City of Golden Valley as to appropriate land
uses within the project area, and to indicate the general land uses and general
standards for redevelopment or rehabilitation within the project area,
8. That there is a feasible method for the relocation of families and
businesses who will be displaced from the project area and that there are
available or will be provided decent, safe and sanitary dwelling units for the
displaced families and satisfactory business locations for the displaced
businesses;
9. That the City of Golden Valley in acquiring any of the properties will
provide all of the relocation assistance and benefits required by the applicable
law;
10. That the objectives and purposes of the Plan conform to and are consistent
with the general land use proposals and planning objectives established by the
City of Golden Valley in its Comprehensive Plan dated March, 1977.
NOW, THEREFORE, BE IT FURTHER RESOLVED by the City Council of the City of
Golden Valley, Minnesota:
1. That the attached Amendment to the Valley Square Redevelopment Plan is
approved hereby in all respects and substituted in lieu of the existing Plan.
2. That the City Manager is directed to communicate the City Council's
approval of the Amendment to the Plan to the Housing and Redevelopment Authority
of Golden Valley, Minnesota.
ose ry Thorse Mayor
ATTPCT-
The motion for the adoption of the foregoing resolution was seconded by Member
Mitchell and upon a vote being taken thereon, the following voted in favor
thereof: Anderson, Johnson, Mitchell, Stockman and Thorsen, and the following
voted against the same: none, whereupon said resolution was passed and adopted,
signed by the Mayor and her signature attested by the City Clerk.
1
1
P -j
Resolution 82-97 - Continued
1
Exhibit A
VALLEY SQUARE REDEVELOPMENT PLAN
GOLDEN VALLEY, MINNESOTA
ADOPTED JULY 10, 1978
REVISED MAY 14, 1979
REVISED APRIL 6, 1982
REVISED AUGUST 10, 1982
1
September 30, 1982 4 0 9
Exhibit A is on file in the City Clerk's Office
1
MAYOR AND COUNCILMEMBERS 1978 HOUSING & REDEVELOPMENT AUTHORITY 1978
Robert R. Hoover, Mayor Mary E. Anderson, Chairperson
Mary E. Anderson, Council Member Rosemary Thorsen
Gloria Johnson, Council Member Robert Hoover
Ray B. Stockman, Council Member Gloria Johnson
Rosemary Thorsen, Council Member Ray B. Stockman
MAYOR AND COUNCIL MEMBERS 1982 HOUSING & REDEVELOPMENT AUTHORITY 1982
Rosemary Thorsen, Mayor Mary E. Anderson, Chairperson
Mary E. Anderson, Council Member Rosemary Thorsen
Gloria Johnson, Council Member John Mitchell
Ray B. Stockman, Council Member Gloria Johnson
John Mitchell , Council Member Ray B. Stockman
PLANNING COMMISSION 1978 VALLEY SQUARE COMMISSION 1978
Jody Sehlin, Chairperson Robert Levin, Chairperson
G. Wm. Forster Roy Johnson
Mervyn Mindess Paul Gallick
Ronald Edstrom Sherm Quisberg
Donald Hughes Bob Loomis
Kathryn Herje David Trach
Peggy Specktor Artice Silverman
Herb Polachek Philip Krelitz
PLANNING COMMISSION 1982 VALLEY SQUARE COMMISSION 1982
David Thompson, Chairperson David Thompson, Chairperson
G. Wm. Forster Pierre Meyer
Herb Polachek Lloyd Jafvert
Margaret Leppik Larry 8akken
Donald Singer Omar Schmidt
Gary Prazak Bill Bohnhoff
Lloyd Tubman Sherm Quisberg
Patrick Maglich
Dr. Robert Hoover
Marlys Adams
Stanley Tabor
Leonard Lewicki
Dennis Jackson
Richard Lyons (Resigned 4-82)
Ron Edstrom (Resigned 12-80)
-1-
8/10/82
OVERVIEW
Golden Valley is a suburban community, and as is typical of suburban
communities, its residents have difficulty in identifying with their com-
munity. Golden Valley's situation is made even more difficult by the fact
that the community is divided by two school districts, three major highways,
two railroads, three legislative districts, and three metropolitan
districts.
Citizens in suburban communities often view their cities as simply a
place to live, with employment, shopping and recreation taking place
elsewhere. The Valley Square Central Business District offers an oppor-
tunity to reverse that trend if a plan is developed to maintain and improve
the economic viability of the area. Through its civic and service oppor-
tunities, the Valley Square Area can provide an improved tax base as well as
an additional link between the residents and their community. Additionally,
as aesthetically pleasing neighborhoods are a source of pride to a com-
munity, so can an aesthetically pleasing central business district be a
source of pride.
The objectives of creating a community focal point which is a source of
pride and improving the tax base can be met through implementation of the
recommendations of this redevelopment plan. Further, communities must take
action to prevent the deterioration of commercial areas, because it often
results in a shifting of additional property taxes to residential homeowners
and could decrease property values in residential neighborhoods adjacent to
or dependent upon the commercial area.
No single business, developer or governmental agency has the capacity
to undertake all the tasks required to carry out an aggressive revitaliza-
tion effort, nor will a partical project meet the needs of the area. To be
effective, a work plan must be developed which addresses a combined com-
munity effort.
8/10/82 -2-
DES�RIPTION OF REDEVELOPMENT AREA
The Yalley Square Area is located within the southwest quadrant of
Golden Valley. The Redevelopment "Tax Increment" District, as originally
established in 1978, contains approximately 200 acres, of which approxima-
tely 74.3 acres comprise the area presently targeted for redevelopment acti-
vity. Boundaries for the Redevelopment "Tax Increment" District reach out
from TH 55 on the south to the Chicago Northwestern Railroad right-of-way on
the north, to Kelly Drive on the east and Boone Avenue on the west. A map
is attached showing the area. The target Redevelopment Project Area is also
bounded on the south by TH 55, on the west and north by Bassett Creek to
Rhode Island Avenue North, then on the east by Rhode Island to Country Club
Drive, then east along Country Club Drive approximately 400 feet, then south
approximately 400 feet, then east along the Sixth Avenue right-of-way
approximately 200 feet, then south to TH 55.
Portions of this area were the first to develop commercially in Golden
Valley. Some of the buildings within the area date back to the 1930's, with
the two major shopping centers having been developed in 1953 and 1959, while
commercial growth continued into the 1960's and 1970's.
LEGAL DESCRIPTION - REDEVELOPMENT "TAX INCREMENT" AREA
That part of South 1� of the NW 1/4 and the North 1/� of the SW 1/4 of Section
32, Township 118, Range 21; and that part of the South 1f� of the NE 1/4 and the
North 1/� of the SE 1/4 of Section 31, Township 188, Range 21, bounded on the
South by State Highway 55; on the East by Kelly Drive extended northerly; on
the North by the right-of-way of the Minnesota Western Railroad and Busch
Cross Road (lOth Avenue North); and on the West by Boone Avenue North.
8/10/82 -3-
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BASIS FOR DECLARATION OF CENTRAL BUSINESS DISTRICT AREA FOR REDEVELOPMENT
The Valley Square area is a Redevelopment Project Area. Included in
this area are the existing commercial and business structures that presently
comprise the Central Business District (CBD) , plus scattered residential
properties adjacent to the commercial and business uses. The City of Golden
Valley, and its Housing and Redevelopment Authority, assume the respon-
sibility for planning the redevelopment of the Valley Square Area in accor-
dance with objectives stated in this Redevelopment Plan. Such a
declaration, however, does not mean that all of the project area is to be
purchased and redeveloped.
Attached hereto in Appendix A are findings made in accordance with
Minnesota Statutes 462.411 (Housing and Redevelopment Act) by the Golden
Valley City Council relative to the deterioration and blighted condition of
the project area. Also, in accordance with the above referenced State
Statute, the Golden Valley Housing and Redevelopment Authority has made the
following findings relating to blighting conditions within the Valley Square
Project Area. Consideration of thes� findings suggests that the designated
redevelopment area meets the tests for declaration as a Redevelopment
Project Area.
Blighting Conditions
1. The area included within the boundaries of the Redevelopment Plan is,
in fact, a deteriorated, or deteriorating, area when considering the
following factors:
a. Existing development patterns clearly demonstrate underutilization
of land; much of the land is stagnant and unproductive;
b. Blight as a result of clutter caused by such features as a conglo-
meration of utility poles and indescriminate signage;
c. Traffic and pedestrian circulation which is haphazard and
disfunctional ;
d. Without immediate, positive action, future and continued deteriora-
tion will occur, resulting in the necessity for a total publicly
financed cure;
e. Existing structures and other physical appurtenances are, for the
most part, obsolete;
f. Blighted and deteriorating conditions that are apparent within the
Redevelopment Project Area also have a clear and present blighting
effect on the adjacent neighborhood;
g. Properties within the Redevelopment Project Area fall short of real
estate standards of Golden Valley as a result of blighting and
deteriorating influences; and
8/10/82 -5-
h. The overall physical appearance of land uses and the environment is
severely lacking in the aesthetic qualities that the community has a
right to expect;
i . The land within the area is not contributing to the tax base to its
full potential .
2. The Redevelopment Project proposed by the Plan is necessary at this time
to eliminate and prevent the spread of such blight and deterioration.
3. The existing conditions within the area are detrimental to the safety,
health, morals and welfare of the community.
4. The Redevelopment Project Area is subject to conditions preventing pri-
vate development and would not be made available for redevelopment
without governmental assistance and financial aid as proposed by the
Redevelopment Plan.
5. The Redevelopment Plan affords maximum opportunity for redevelopment of
the Project Area by private enterprises, consistent with the iden-
tifiable needs of the community as a whole.
6. The Redevelopment Plan provides the opportunity to alleviate blighting
and deteriorating conditions by:
a. Directing appropriate land use to occur within the Project Area;
b. Allowing for a well-designed mix of land uses to be developed,
including such uses as commercial-retail , business-office-financial ,
and medium to high density residential development;
7. In view of the number of properties that may have to be acquired, and
the businesses and residents that would have to be relocated, the
Housing and Redevelopment Authority has determined that there is a
feasible method for relocation of families and businesses who may be
displaced from the Project Area, and that there are adequate relocation
resources available within the Project Area or elsewhere in the
Metropolitan area.
8. It is also the finding of the Golden Valley Housing and Redevelopment
Authority that the objectives and purposes of the Redevelopment Plan
conform to, and are consistent with, the general land use proposals and
planning objectives established by the Planning Commission for redeve-
lopment of the Project Area.
8/10/82 -6-
INTRODUCTION
Golden Valley' s current Comprehensive Plan, adopted in March of 1977,
indicated that there is a broad based community feeling that Golden Yalley
needs a civic-commercial focal point, a sort of "downtown" or city center
type of image with which to identify. Both the Comprehensive Plan and the
community designated the Trunk Highway 55 - Winnetka Avenue area as the
potential focal point. Designation of this area, coupled with previously
identified interrelated traffic movement and congestion problems, prompted
the develoment of a design concept that, while not intended to be considered
a part of the Comprehensive Plan, would provide some direction for con-
sideration and discussion purposes and thus provide an opportunity for
merchants, property owners, and the community as a whole to reach some sort
of consensus on the center.
Specific land uses and/or specific traffic solutions were not included
in the design concept in order to allow the planners and the decision makers
the flexibility to develop what would hopefully become a workable redevelop-
ment plan. Since 1976, the Valley Square project has moved ahead slowly,
but with determined progress. Starting with the creation of the first
Valley Square Commission in November, 1976, a Yalley Square Redevelopment
Plan calling for revitalization of the area along with traffic circulation
improvements was prepared and submitted to the City Council in January of
1978. Following informational meetings and hearings to inform and gain
further input from business people, property owners, and the community at
large, a final report was drafted and submitted to the City Council on May
1, 1978. In response to the Report from the Valley Square Commission, the
City Council passed the following resolution:
WHEREAS, The Council of Golden Valley is responsible to the present and
future of the City; and,
WHEREAS, the City council has determined a need for a visible community
focal point in the form of a central business district which will provide
community services in an aesthetically pleasing climate with convenient
access, in a safe and less disruptive manner; and,
WHEREAS, the Valley Square Commission's report provides a conceptual
plan to develop and implement such a program; and,
WHEREAS, the Council of Golden Valley is the logical body to further
study, develop, and implement the plan because such a plan will be a benefit
to all the people of Golden Valley and can be a major factor in improving
the quality of life in Golden Valley;
THEREFORE, the Golden Valley Council approves the Valley Square Proposal
in concept, and the Council will proceed to consider specific issues and
make decisions or determine how an issue should be further discussed.
8/10/82 -7-
Subsequent to the afore-referenced City Concil action, a Valley Square
Redevelopment Plan was drafted and adopted intially on July 10, 1978, and
later revised on May 14, 1979. The goals and objectives of this plan were
identified as follows:
Goals and Objectives
Revitalization is being coordinated by the Golden Valley Housing and
Redevelopment Authority and the City Council . The broad goals of revitali-
zation for improving the central business district are the following:
1. Stimulate and coordinate an aggressvie revitalization effort that no
sin le business, developer, or governmental agency has the capacity
o un ertake.
2. Establish a unified commercial and civic center that is a distinc-
tive source of identity for Golden Valley.
3. Strengthen and increase the tax base of the area.
4. Reverse deteriorating conditions by providing opportunities for pri-
vate investment and reinvestment.
5. Provide for the orderly physical and economic growth of the area
through controlled development and redevelopment.
6. Work toward a pattern of arrangement within the project area which
results in more functional and complementary relationships.
Improvement of Physical Environment
1. Correct traffic safety hazards.
2. Create a more organized traffic pattern and eliminate conflicting
traffic patterns.
3. Provide for pedestrian movement in a safe and convenient fashion.
4. Maximize trade area accessibility for new development with proper
arterial and collector street orientation.
5. Improve the quality of off-street parking.
6. Provide benches, litter containers, attractive lighting and plan-
tings to make the physical environment more pedestrian-oreinted.
7. Relocate utilities through underground construction.
8/10/82 -8-
Improvement of Economic Environment
1. Replace old deteriorating structures with new development or rehabi-
litate structurally sound buildings.
2. Increase the amount of office space currently available in the
central business district.
3. Provide the commercial core with support from high-density housing.
4. Remove and relocate conflicting or non-complementary uses.
5. Encourage participation by landlords and tenants in private renova-
tion of existing commercial buildings.
6. Encourage new development to be organized in a planned environment.
Improvement of Social Environment
1. Create a community focus and sense of area identity.
2. Improve the physical appearance of the community' s commercial center
and the civic center.
3. Minimize potential hardships in the acquisition and relocation of
conflicting or non-complimentary uses.
4. Achieve a balanced variety of commercial business and services to
satisfy the needs of the neighboring residents and larger market
area.
The Redevelopment Plan called for certain specific actions to be under-
taken by the HRA. These were divided into five phases. Actions which have
been taken to implement these five phases are as follows:
Phase I: Rhode Island Relocation/Reuse
1. The City has acquired parcels on the west side of Rhode Island for
street right-of-way.
2. The City will deed to the Housing and Redevelopment Authority the por-
tions of the lots on the west side of Rhode Island not used for street
right-of-way and the existing street itself.
3. The Housing and Redevelopment Authority has acquired the lots on the
southeastern side of Rhode Island Avenue North for resale to Calvary
Community Services Corporation. The HRA will also sell Calvary
Community Services Corporation the portion of lots not used for street
right-of-way and existing Rhode Island (3.71 acres, see map) . This will
be the location of the Senior Citizen High-Rise Co-op.
8/10/82 -9-
Phase I (Con't.)
4. The Housing and Redevelopment Authority has acquired the lots on the
northeastern side of Rhode Island for resale to Calvary Lutheran Church
of Golden Valley. The HRA will also sell to the church the portion of
lots not used for street right-of-way and existing Rhode Island (the
northern section, see map, 1.81 acres) . This property will be used for
ancillary church purposes relating to the church and Senior Citizen
High-Rise Co-op and as a buffer between the High-Rise and the residen-
tial property to the north.
5. The HRA has acquired two homes on the easterly side of Rhode Island
Avenue North. These homes were purchased with funding from Year IV
Community Development Block Grant. They were purchased at a later date
due to the necessity by HUD of having an Environmental Assessment pre-
pared and approved. This land will be used for the Senior Citizen
High-Rise Co-op.
6. Mr. Douglass, a tenant on Rhode Island, has conveyed his home to Calvary
Lutheran Church; therefore, there will be no acquisition involved with
Lot 15.
7. The City of Golden Valley and Calvary Lutheran Church of Golden Valley
will enter into an exchange of properties r.ecessary for the project
completion.
The Church will exchange, to the City, the most southeastern residential
lot on Rhode Island.
The City will exchange to the Church, a portion of a parcel of land
located to the south of Rhode Island and Country Club Drive (see map) ,
for future site of an office building.
8. The City will purchase part of the rail easement from Minnesota
Northwestern for extension of lOth Avenue North.
9. The Church will use that portion of Lot 45 that was transferred to it
from the City along with the remaining Church-owned land, between Golden
Valley Road and Country Club Orive, for construction of a 40,000 -
60,000 square foot office building.
These completed all the steps provided for in the 1978 Redevelopment
Plan.
8/10/82 -10-
Phase II: Maren Lane/Wisconsin Avenue North
1. City acquires property for street right-of-way for construction of
Wisconsin Avenue North and extension of Maren Lane. Fall , 1978.
2. City begins construction on Wisconsin Avenue North and Maren Lan.
3. City vacates existing Vermont Avenue and transfers property to
appropriate property owners.
4. Golden Valley State Bank will begin construction of new facility. Fall ,
1978.
Steps 5, 6 and 7 were not undertaken.
Phase III: Civic Center Area
No action taken. °
Phase IV: Valley Square Commercial Area
No action taken.
Phase V: Reiss Property
No action taken.
In summary, the results of adoption of the 1978 Redevelopment Plan were:
Acquisition of the 17 homes on Rhode Island and rerouting Rhode Island
to provide the recommended ring road connecting with Tenth Avenue North.
Calvary Community Services, which purchased the single family home proper-
ties from the HRA, has built the 80-unit, 7-story apartment building for
senior citizens. Construction of the 11-story, 120-unit cooperative will
begin when a sufficient number of units have been sold.
Additionally, a 3-story, 40,000 square foot office building has been
constructed on the former Calvary Lutheran Church parking lot with the
Church retaining parking rights.
On the west side of Winnetka, the City extended Maren Lane west to a new
Wisconsin Avenue which connects with Golden Yalley Road. This has permitted
the relocation of the bank from its former site at TH 55 and Winnetka.
However, the extension of Wisconsin across Bassett Creek has not occurred
due to the uncertainty of the need for this road.
Aside from these public improvements, the plan has not been implemented.
The private sector has not responded (with the exception of an expansion to
Super Valu) in making improvements in the critical Phase IV, Yalley Square
commercial area or Phase V, Reiss Greenhouse property.
8/10/82 -11-
Following the filing of their Report in 1978, the Valley Square
Commission became inactive. However, realizing that there was still a need
for more detailed study, planning, and implementation procedures, the HRA
reactivated the Valley Square Commission in June of 1980, appointing new
members who were more representative of the total community, both resident
and corporate.
The Valley Square Commission in its study of what further redevelopment
efforts should be undertaken had the benefit of the following studies:
Urban Research Study: "Market Analysis & Development Opportunities" ,
April 30, 1980;
Rob.ert Martinson and Associates: "A Documentation and Analysis of
the Physical Environment at the Central Business District",
April 29, 1980;
Galpin & Poppleton Corporation: "Land Use Recommendations",
April 1, 1981;
BRW: "Traffic Engineering Feasibility", April , 1982;
BRW: "Traffic Analysis of Valley Square Redevelopment Plan" ,
April 1981;
BRW: "Valley Square Redevelopment Utility Impact Analysis, Sanitary
Sewer and Water Systems", July 1981;
Westwood Planning and Engineering Company: "Report to the HRA --
Valley Square Land Use Recommendations" , July 1981;
Von Klug and Associates: "Relocation Plan -- Yalley Sqaure Redevel-
opment Project", June 1982.
In addition, the Valley Square Commission interviewed knowledgeable real
estate professionals concerning market and development potential of the
area. Also, the Valley Square Commission visited other existing redevelop-
ment projects. The Valley Square Commission's recommendations are contained
in its report dated August of 1982. The recommendations contained in that
report are the basis for this Redevelopment Plan.
Overall Plan and Objectives
This plan focuses on the 74.3 acres bounded on the south by TH 55, on
the north by Bassett Creek, on the east by Penn and on the east by Boone
Avenue North. No change in land is contemplated aside from the Busch
Brothers Greenhouse on Boone Avenue in the remaining portion of the 200 acre
redevelopment area.
Changes in this area are based upon three main objectives. First, while
most of the land uses were and are appropriate, those uses should be reorga-
nized and/or relocated to provide related and compatible uses within each
part of the area. Second, the visual clutter created by utility poles,
lighting, signage and incompatible building forms needed to be eliminated
and the area opened up, made more visually attractive for shoppers and
workers alike. Third, through traffic should be rerouted and access in and
out of the Valley Square area improved, for vehicles and pedestrians.
The Plan, with these objectives, provides for the following changes:
1. That current institutional land uses remain and in their existing
locations.
8/10/82 -12-
2. That commercial land uses be concentrated on the west side of
Winnetka Avenue, between Highway 55 and Bassett Creek.
3. That a 3-story apartment condominium be developed along Bassett
Creek in the northwestern part of the area.
4. That approximately 500,000 square feet of office space be developed
in the area.
5. That Winnetka Avenue, between Highway 55 and Tenth Avenue North, be
widened to accomodate installation of a median and turning lanes at
Highway 55, the entrance to Golden Valley Shopping Center and at
Golden Valley Road.
6. That the Golden Valley Road-Winnetka Avenue intersection be rede-
signed and Golden Valley Road rerouted west of Winnetka to Maren
Lane, continuing through the Reiss Greenhouse property to connect
with Seventh Avenue North near the intersection of Seventh Avenue
North and Boone Avenue. As a result, portions of existing Maren
Lane, Golden Valley Road and Country Club Drive would be vacated.
7. That Wisconsin Avenue North be completed across Bassett Creek to
Tenth Avenue North and to Highway 55 to provide additional access in
and out of the area.
8. That all above ground utilities (power and telephone lines) be
buried to eliminate visual clutter and that a system of pedestrian
walkways be constructed to provide access to all parts of the Valley
Square area.
To accomplish these objectives in an orderly and cost-effective manner,
the Plan divides the Valley Square area into five subareas, A through E.
Excluded from this plan is the area east of the Civic Center which consti-
tuted Phase I of the 1978 Redevelopment Plan because no further public
action is necessary in this area.
The Plan calls for the following land uses in the five areas (see map
on following page) :
8/10/82 -13-
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Land Uses - Area A (Reiss Greenhouse) Home Office & Condominium Community
The Reiss property is an area of approximately 17 acres, bounded by
Wisconsin Avenue on the east and Bassett Creek on the north and west. The
land is currently zoned Open Development. The principal use is a commercial
greenhouse of 105,267 square feet. There are also two single family homes
on the property, occupied by members of the Reiss family.
The Plan provides that this property be acquired and divided into two
parcels as a result of the necessary extension of Golden Valley Road. The
Plan provides for redevelopment of a 3-story apartment condominium for the
northern portion, which would be approximately 7.6 acres. The site would
include surface parking spaces and an underground garage.
The southern portion of the property, approximately 8.4 acres, has the
potential for a pleasing view of Brookview Golf Course. The Plan provides
for a "home office" development, or approximately 175,000 square feet with
a surface parking lot and an underground garage.
Land Uses - Area B (Valley Square Commercial Consolidation)
This is an area of approximately 32 acres bounded on the south by
Highway 55, on the east by Winnetka Avenue, on the north by Bassett Creek
and on the west by Wisconsin Avenue, as it exists and extended across
Bassett Creek.
The rerouting of Golden Valley Road requires moving the intersection
with Winnetka 90 feet to the north of the present intersection. This in
turn would necessitate acquisition of the Malik Union 76 station and the
adjacent Bies-Svitak commercial building. In order to provide for new deve-
lopment within this portion of Area B. the Plan provides that the portion of
Maren Lane between Winnetka and where it becomes the rerouted Golden Valley
Road be vacated. The Plan provides that the Bies and Jordan commercial
buildings and the Sally Adams Realty building north of Maren Lane also be
acquired along with the two single family homes on the north side of
existing Maren Lane.
Removal of these buildings provides a 3.4 acre parcel of property,
between the rerouted Golden Valley Road, Bassett Creek and Winnetka. The
Plan provides for construction of a 21/`Z story commercial/office building of
approximately 60,000 square feet overlooking Bassett Creek. Office use
would be approximately 2/3 of the building while the remaining 1/3 would be
commercial . The building would abut a three-level parking ramp to be
constructed on the site of the Bies and Jordan buildings, with upper level
entrance at ground level off Winnetka.
For the 3.1 acre site on the north side of new Golden Valley Road, bet-
ween new Wisconsin Avenue on the west and Bassett Creek on the north, the
Plan recommends, as its first choice, approximately 40,000 square feet of
office space in 1 and 2-story office condominiums. As a second choice,
additional commercial/retail space could be accommodated at this site.
8/10/82 -15-
The rerouting of Golden Valley Road permits existing Golden Valley Road
west of Winnetka to become essentially an internal service road for existing
businesses. Since a number of utility lines lie beneath the road, the Plan
stipulates that it serve as a service road.
With the exception of the Golden Valley Shopping Center, a 1950's struc-
ture facing Highway 55, none of the other buildings in this area have been
identified for public redevelopment at this time. The rerouting of Golden
Valley Road, however, offers a variety of possibilities for additional
commercial/retail consolidation, including a new configuration for the
shopping center, reorientation to the north and additional square footage.
Land Uses - Area C (Country Club Drive Office Park)
This is the area bounded by Highway 55 on the south, Winnetka Avenue on
the west, Country Club Drive on the north and Rhode Island Avenue North on
the east. It is currently home for 86,501 square feet of buildings that
include retail , manufacturing and single family home uses.
The Plan proposes almost totally new use for this area, devoted to
office and restaurant space. The Plan provides that Dahlberg Electronics
(manufacturing) remain, but that the remaining properties in Area C be
acquired to create, in part, a new, triangular-shaped building be created on
that site by a 2-story, approximately 32,000 square foot office addition and
a 10,000 square foot restaurant. To the southeast of this new structure, a
four-story, approximately 90,000 square foot office building. The Plan also
recommends surface parking spaces, plus a 2-level ramp.
Following the construction of a new Golden Valley Road-Winnetka Avenue
intersection, the Plan provides for closing Country Club Drive between
Winnetka and Rhode Island. It recommends, for the triangular piece of pro-
perty (owned by the City of Golden Valley) bounded by Rhode Island, Country
Club Drive and Golden Valley Road, a four-story, approximately 50,000 square
foot office building be developed. That portion of Country Club Drive be-
tween Winnetka and Rhode Island would become a service road for these new
uses.
Land Uses - Area D (East Gateway Office Development)
This area is bounded by Rhode Island Avenue on the west, Country Club
Drive on the north, Highway 55 on the south and the existing Trevilla
Nursing Home and Skyline Plaza apartments on the east.
The Plan provides for acquisition of existing uses in Area D and repla-
cement with two, three-story office buildings for the southwest corner of
this site. The building facing Highway 55 would have 38,000 square feet and
the building facing Rhode Island 32,000 square feet. Both would be served
by two parking lots with 290 parking spaces. Depending upon market accep-
tance of the projected office space, this area could also be developed as
multi-family housing.
The Plan provides for a Transit Pulse Center to be built in the north-
west corner of the site at the corner of Rhode Island and Country Club
8/10/82 -16-
Drive, along with an auto service station. The pulse center would serve
riders of both the MTC and Medicine Lake Lines.
An opportunity exists at this corner for development of a gas station to
replace those being removed. Proposals should be evaluated for a full ser-
vice gas station with curb cuts at least 100 feet from the intersection to
share the transit pulse center site.
Land Uses - Area E (Civic Center)
The Civic Center block is bounded by Winnetka Avenue on the west, Rhode
Island on the north and east and Golden Valley Road on the south. In addi-
tion to City-owned buildings, this block also includes the U.S. Post Office,
McDonald' s, Miller Sales building and the Golden Valley branch of the
Hennepin County Library.
The Post Office and McDonald's are adjacent land uses and mutually
exclusive generators of high traffic volumes. McDonald's, moreover, has a
building to the north. �-
The Plan provides for acquisition of the Miller Sales building property
and of McDonald' s overflow parking lot. It recommends that the Post Office
be relocated to this combined site, with McDonald's overflow lot relocated
to the existing Post Office site.
8/10/82 -17-
REDEVELOPMENT PROJECT PHASING
Due to the relatively large size of the Redevelopment Area and its
dependence on favorable economic conditions to encourage private investment,
redevelopment activities will be programmed and staged over a period of
years, possibly as much as 5 to 10 years. Thus, individual Redevelopment
Phases will be undertaken in sequence within the context of the overall
Redevelopment Plan and financing strategy.
The Golden Valley Housing and Redevelopment Authority is committed to
undertaking redevelopment activities within the Redevelopment Area at no
direct cost to the Golden Valley taxpayer. The term direct cost means that
no special tax levies will be made for financing actual redevelopment acti-
vities such as property acquisition, clearance, relocation and site
improvement.
Taken together, the proposed redevelopment projects are intended to be
self-supporting. Extensive monitoring at each step of the redevelopment
process will be accomplished to assure that each project is economically
feasible before it is started. Signed development agreements will be
required before sale of bonds to finance the public redevelopment costs.
It is intended that redevelopment activities within the Redevelopment
Area be carried out in a series of separate but interrelated phases. Areas
A, B and D are identified as first phases for redevelopment, with areas C
and E following.
8/10/82 -18-
RELOCATION
The Housing and Redevelopment Authority of Golden Valley, Minnesota
accepts its responsibility under State and Local law for relocation and will
administer relocation operations for families, individuals, and businesses
to be displaced. The Housing and Redevelopment Authority of Golden Valley,
Minnesota certified that there are available, or will be provided, in the
project area or in other areas not less desirable in regard to public utili-
ties and public and commercial facilities and at rents or prices within the
financial means of the families displaced from the project area, decent,
safe and sanitary dwellings at least equal in number to the number of such
displaced families. The requirements of the Federal Uniform Relocation
Assistance and Real Property Acquisition Policies Act of 1970, acts amen-
datory thereof, and regulations and adopted pursuant thereto will be com-
plied with.
Relocation personnel will be conveniently available for site occupants.
Interviews will be conducted with site occupants to determine their re-
location needs and to give them information regarding their rights relative
to relocation services and payments.
All relocation housing shall be inspected before families are referred.
No referrals shall be made to substandard housing. Referrals shall be given
only to decent, safe, and sanitary housing which shall be accessible to the
place of employment of the primary wage earner and in an area which is not
less desirable with regard to public utilities and public and commercial
facilities than those existing in the area from which the families are being
displaced, and at rents and prices within the financial means of the fami-
lies displaced.
A preliminary relocation plan dated June of 1982 has been prepared by
the City's Relocation Consultant, Von Klug and Associates, and will be used
as a guide in implementing the relocation required by this plan.
8/10/82 -19-
FINANCIAL PLAN
The objective of this Finance Plan for the Valley Square Redevelopment
Project is to finance the cost of redevelopment with funds generated within
the Valley Square Area. Financing for City involvement in the redevelop-
ment, including land acquisition and clearance, business relocations and
construction of public facilities, will be derived from the tax increment
on project improvements, as explained later in the Finance Plan.
Accomplishment of the total project requires a joint City-private part-
nership, with reconstruction financed by private development interests.
New development brought into the area as described in this plan will result
in nearly 50 million dollars of new construction based upon current
valuation.
Project Costs
Land and Building Acquisition
It may be necessary for the HRA to utilize its power of eminent domain
to acquire properties to encourage redevelopment. The HRA will attempt to
negotiate acquisition of properties but if that does not succeed condem-
nation will be instituted. Condemnation procedures are regulated by State
law. 7he HRA will obtain an appraisal and pay up to $200 for the property
owner to obtain an appraisal . Any dispute over proper acquisition price
will be submitted to a 3-member condemnation commission appointed by the
District Court. Should either the property owner or the City disagree with
the sale price established by the condemnation commission the award may be
appealed to jury convened by the District Court. A decision following the
trial by the jury will be final .
Estimated market values or acquisition costs of properties to be
acquired by the City Housing and Redevelopment Authority (HRA) in each
phase of the Valley Square Redevelopment Project are shown in the table
below. Estimated costs of acquisition of land and buildings were origi-
nally provided in the 1981 Galpin-Poppleton Study. Properties which may be
acquired are listed in Appendix B.
Land Area Building Area Estimated
Phase Area (square feet) (square feet) Market Value
II A 744,643 108,098 $1,941,357.00
II g 195,041 44,474 798,875.00
III C 323,401 61 ,658 1,970,149.00
III D 194,058 7,413 686,800.00
IV E 340,430.00
TOTAL $5,737,611.00
8/10/82 -20-
Tenant Relocation
Any tenant in a property acquired by the HRA is entitled certain relo-
cation costs. These benefits are regulated by State law. Benefits to com-
mercial tenants consist of either payment for actual moving and related
expenses or a payment in lieu of reimbursement for actual moving expenses,
which payment is based on the net income of the business. Eligible moving
related expenses include the following items in addition to actual packing
and transportation of persons and property: Expenses associated with
searching for a replacement location, professional services required for
planning of the move, dismantling and reassembling expenses, disconnecting
and reconnecting expenses, relettering and reprinting costs, and fees or
permits required to reestablish a business.
Benefits to homeowners include moving expenses and either a replace-
ment housing payment if another house is purchased, which payment includes
refinancing and closing costs on the new house, or a rental supplement
payment if the homeowner chooses to rent rather than purchase another
dwelling unit.
Estimated costs of providing relocation benefits to businesses and
households displaced in each phase of the Valley Square Redevelopment
Project are shown in the table below. Von Klug and Associates, Inc., with
whom the City HRA has contracted for preparation of the Relocation Plan,
have determined that the project will displace 54 businesses and 10 resi-
dences which will be eligible for relocation benefits as required by law.
Estimated relocation costs were contained in the 1981 Galpin-Poppleton
Report. Tenants to be relocated are described in Appendix B.
Number of Number of Relocation
Phase Area Businesses Residences Cost
II A 1 2 $114,000.00
II B 26 2 334,000.00
III C 24 2 299,000.00
III D 2 4 95,000.00
IV E 1 0 40,000.00
TOTALS 54 10 $882,000.00
Demolition
Demolition of existing buildings on properties to be acquired may
either be undertaken by the HRA or developer. Estimated costs of demoli-
tion of buildings to be removed in each phase of the Valley Square
Redevelopment Project are shown in the Table below which assumes that the
HRA will remove all existing buildings. Estimated demolition costs were
provided with the 1981 Galpin-Poppleton Study.
8/10/82 -21-
Building Area Demolition
Phase Area (square feet) Cost
II A 108,098 $270,244.50
II B 44,474 38,557.50
III C 61,658 154,145.00
III D 7,413 18,397.00
IV E 30,000.00
TOTAL $511,344.00
Roadways and Utilities
Cost estimates compiled by Bennett, Ringrose, Wolsfeld, Jarvis,
Gardner, Inc. (BRW) in March 1982 for public improvements proposed in con-
junction with the Valley Square Project are listed below. In July 1981 BRW
completed an analysis of impacts of the Valley Square Redevelopment Project
on existing sanitary sewer and water distribution systems and determined
that the proposed project would not require upgrading of the sanitary sewer
and water systems. Conclusions were that the proposed redevelopment would
not impact the sanitary sewer system based on anticipated flows to be
generated by redevelopment uses and that the proposed project would have no
appreciable effect on the existing water distribtution system as indicated
by comparison of system pressures, node by node, between before and after
redevelopment computer runs. The study is the Valley Square Redevelopment
Utility Impact Analysis, Sanitary Sewer and Water Systems, dated July 1981 .
8/10/82 -22-
VALLEY SQUARE REDEVELOPMENT
ESTIMATED CONSTRUCTION COSTS
(Based on 1981 Prices)
I. WIDENING OF BOONE AVENUE
Earthwork $ 2,460
Street 16,340
Sub-Total T$�6�
+15% Adm. & Eng. 2,820
+10� Contingency 1,880
TOTAL $ �� $ 23,500
II. GOLDEN VALLEY ROAD (BOONE TO WISC.)
Remove Buildings $ 5,000
Earthwork �- 50,000
Street 76,100
Storm Drainage 144,600
(includes Twin Box Culverts for
Bassett Creek Crossing)
Sanitary Sewer 19,500
Watermain 22,000
Sidewalk 16,000
Sub-Total $�
+15� Adm. & Eng. 50,000
+10� Contingency 33,300
TOTAL $�� $ 416,500
III. GOLDEN VALLEY ROAD (WISC. TO END)
Remove Buildings $ 33,000
Earthwork 78,000
Street 113,600
Sidewalk 36,200
Storm Drainage 6,000
Sanitary Sewer 6,000
Lighting 34,000
Signal (1/� of Est. Cost) 50,000
Sub-Total $35�—
+15� Adm. & Eng. 53,500
+10� Contingency 35,700
TOTAL $�� $ 446,000
8/10/82 -23-
IV. WISCONSIN ACCESS TO TH 55
(includes right and left turn lanes on TH 55)
Earthwork $ 7,000
Street 55,700
Lighting 5,000
Sub-Total �6
+15� Adm. & Eng. 10,100
+10% Contingency 6,800
TOTAL $ $�b�f6 $ 84,600
V. WISCONSIN EXTENSION TO lOTH AVENUE
Earthwork $169,000
Street 53,500
Sidewalk 9,800
Storm Drainage 100,000
(includes culverts for ditch)
Box Culverts with Flood Control 125,000
Sub-Total $�6
+15� Adm. & Eng. 68,600
+10% Contingency 45,700
TOTAL $37'!�666 $ 571,600
VI. WIDENING OF WINNETKA AVENUE
Earthwork $ 26,000
Street 97,900
Bituminous Surface Overlay 46,200
Sidewalk 36,000
Lighting 60,000
Signal (1/2 cost) 50,000
Sub-total $3T�;36�
+15� Adm. & Eng. 47,400
+10% Contingency 31,600
$�666 $ 395,000
VII. TRANSIT PULSE CENTER
Parking Lot $ 58,400
Shelter 80,000
Lighting 10,000
Landscaping 10,000
Sub-total $��
+15% Adm. & Eng. 23,800
+10� Contigency 15,800
TOTAL $T�$�6 $ 198,000
8/10/82 -24-
VIII. NSP OYERHEAD POWER LINES
(No charge to relocate within R/W)
Bury power lines $300,000
Less cost to relocate poles -50,000
TOTAL $�,�66 $ 250,000
IX. SIGNAL AT lOTH & WINNETKA $ 100,000
X. SIDEWALK ALONG RHODE ISLAND $ 40,000
XI. TRAIL ALONG BASSETT CREEK $ 6,000
XII. SIDEWALK ALONG OLD G.V.R. $ 14,400
XIII. EXPANSION OF SUPER VALU PARKING LOT
(in rear of building)
Retaining Wall $ 9,000
Surfacing 8,100
TOTAL $ �I7�6 $ 17,100
GRAND TOTAL $2,562,700
8/10/82 -25-
Legal , Appraisal and Court Costs
City staff estimate total expenses for legal fees, appraisals and court
costs associated with the Valley Square Redevelopment Project is $250,000.00.
This figure is based on contested condemnation of all properties. The City HRA
intends to acquire as many of the properties programmed for redevelopment as
possible through negotiation on a willing-seller and willing-buyer basis, thus
reducing the amount required for legal and court costs.
Administration
City staff estimate of HRA administrative expenses associated with the
Valley Square Redevelopment Project is $200,000.00. City staff time devoted to
the Valley Square Redevelopment Project and a proportionate amount of overhead
costs are charged to the HRA assessed to each HRA project on a pro-rata �asis.
Contingencies
All construction cost estimates provided by BRW and listed above contain 10
percent contingency amounts. A further contingency to cover unanticipated
redevel-opment cost has been established equal to 60% of estimated acquisition
costs. The projected contingency costs by phases of the Valley Square
Redevelopment Project are shown in the table below.
Phase Area Contingency
II A $1,164,814.20
II B 479,325.00
III C 1,186,089.40
III D 412,080.00
IV E 204,258.00
$3,446,566.60
Sources of Revenue
Resale of Acquired Land ,
Land and building acquisition costs will exceed potential resale prices
because of the cost of acquiring and demolishing existing building, relocating
existing tenants and the need to provide development incentives through the
write-down of resale prices. Land acquired by the HRA is purchased for the pur-
pose of resale to developers. Estimated resale values of cleared areas in each
phase of the Valley Square Redevelopment Project are shown in the table below.
Estimated resale value of sites cleared for redevelopment ranges from $1.50 to
$2.50 per square foot.
8/10/82 -26-
Land Area
Phase Area (sqaure feet) Resale Value
II A 744,643 $1,861,608.00
II B 195,041 383,077.00
III C 323,401 808,502.50
III D 194,058 388,116.00
IV E 56,480 87,746.00
1,513,623 $3,529,049.50
Special Assessments
Special assessments, levied on either a front foot or areawide basis, could
be utilized for street improvements, burial of utilities or storm sewer
construction if needed. Utilization of tax increment financing, discussed
below, is preferred for financing of improvements.
Other Sources
Other sources of funding for the Valley Square Redevelopment Project
include State Aid Road funds and the City of Golden Valley Public Works Reserve
Fund. However, utilization of these funds requires approval of the Golden
Valley City Council .
Municipal State Aid monies derived from the gasoline tax are available to
fund a portion of the costs of improvements to eligible roads. In the Valley
Square Area these funds may be applied to Rhode Island Avenue North, Wisconsin
Avenue, lOth Avenue North and Golden Valley Road. State Aid Road funds are also
available for use on County roads including Winnetka Avenue.
The Public Works Reserve Fund was established by City Council resolution to
allow accumulation of a fund from several sources, primarily tax levies, for
specific purpose including storm sewer projects. Funds from this fund are
available for storm sewer construction in the Valley Square Redevelopment Area.
Tax Increment
The primary source of revenue for the Valley Square Redeveloment Project is
tax increment financing. Tax increment financing is a funding mechanism pro-
vided to municipalities by State legislation for purposes of financing urban
renewal and redevelopment. Tax increment financing allows the municipality to
utilize increased property taxes derived from redevelopment to pay public rede-
velopment costs. The tax collected on the difference in assessed valuation
after redevelopment over assessed valuation prior to redevelopment is the tax
increment. The tax increment is determined annually and may be used by the City
to repay over a specified period of years indebtedness on bonds sold to finance
public redevelopment costs.
8/10/82 -27-
The following table shows reuse values for each phase of the Valley Square
Redevelopment Project. The reuse value is the difference in assessed valuation
before and after redeveloment. The tax increment is the tax derived from reuse
value. Total reuse value, or the total increase in assessed valuation resulting
from redeveloment, is $14,053,822.56. As shown at the end of the table, the
annual tax increment generated from the reuse value is $1,349,166.97, which will
support a bond issue of $10,250,000.00, based on an interest rate of 11.6 per-
cent over 20 years. The tax increment projections are based on conservative
assumptions that the mill rate will remain constant at 96 mills through the life
of the bond issue and that no inflation of values will occur after construction.
8/10/82 -28-
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-31-
The following table indicates relative bonding capabilities based on tax
increment projections for each phase of the Valley Square Redevelopment Project.
The redevelopment costs indicated for each phase include acquisition, relocation
and demolition costs attributable to that phase. Costs of public improvements,
administration, and legal , appraisal and court costs are not attributed to spe-
cific phases and must be paid out of revenues derived from the total tax incre-
ment and other sources.
The purpose of the table is to allow comparison of the bonding capabilities
of difference phases and to derive phasing implications from that comparison.
Phase III Area C, the Country Club Drive Office Park, and Phase IV Area E, the
Civic Center, are liabilities in terms of tax increment bonding capabilities.
However, they are assets to the total Yalley Square Redevelopment Project and
necessary to the success of the total redevelopment project. Bonding capabili-
ties dictate that these project phases follow the more lucrative phases in terms
of tax increment financing in the timetable for Valley Square Redevelopment.
Redevelopment of Phase II Area A, the Greenhouse Home Office and Condominium
Community, with a bonding capability which more than offsets liabilities in
other phases, should be initiated as early as possible in the redevelopment
timetable in order to insure economic viability of the redevelopment project.
While comparison of the relative tax increment bonding capabilities of each
phase provides direction for phasing, each proposed redevelopment project will
require examination in terms of individual financial feasibility within the
total project context at the time initiated.
-32-
8/10/82
TAX INCREMENT AND
COST PHASING
IMPLICATIONS
PHASE II GREENHOUSE HOME OFFICE AND CONDOMINIUM COMMUNITY
AREA A
Reuse Bonding Capability: $5,432,500.00
Less Net Redevelopment Cost: 463,994.00
SUB-TOTAL 4,968,506.00
Less Contingency: 1,164,814.00
3,803,692.00
PHASE II VALLEY SQUARE COMMERCIAL CONSOLIDATION
AREA B
Reuse Bonding Capability: $1,537,500.00
Less Net Redevelopment Cost: 788,356.00
SUB-TOTAL 749,144.00
Less Contingency: 479,325.00
� •
PHASE III COUNTRY CLUB DRIVE OFFICE PARK
AREA C
Reuse Bonding Capability: $2,357,500.00
Less Net Redevelopment Cost: 1,614,791.50
SUB-TOTAL 742,708.50
Less Contingency: 1,186,089.40
-443,380.90
PHASE III EAST GATEWAY OFFICE DEVELOPMENT
AREA D
Reuse Bonding Capability: $ 922,500.00
Less Net Redevelopment Cost: 412,081.00
SUB-TOTAL 510,419.00
Less Contingency: 412,080.00
98,339.00
8/10/82 -33-
PHASE IV CIVIC CENTER
AREA E
Reuse Bonding Capability: $ 00
Less Net Redevelopment Cost: 322,684.00
SUB-TOTAL -322,684.00
Less Contingency: 204,258.00
-526,942.00
-34-
8/10/82
SUMMARY
Total costs of the Yalley Square Redevelopment Project listed in the first
part of this Finance Plan and estimated total tax increment bonding capability
also covered earlier in the Finance Plan are summarized on the following two
pages. Estimated total redevleopment costs incurred by the City HRA total
$10,136,173 Total bonding capability based on the estimated tax increment is
$10,250,000.00, the net proceeds from which would be somewhat less than the bond
amount. Estimates and projections throughout the Finance Plan are based on con-
servative assumptions and figures. Tax increment revenue, combined with other
sources of revenue outlined in this Finance Plan, including $3,529,049.50 from
land resale, are sufficient to cover project costs. The conclusion based on
information in the Finance Plan is that the Valley Square Redevelopment Project,
as proposed, is economically feasible.
-35-
8/10/82
PRELIMINARY STUDY AREA
REDEVELOMENT COST
(March, 1982)
Land and Building Acquisition $5,737,611.00 .
Tennant Relocation 882,000.00
Demolition 511,344.00
Roadways & Utilities 2,562,700.00
Legal , Appraisal , Court Costs 250,000.00
Administration 200,000.00
Subtotal 10,143,655.00
Minus Projected Land Resale 3,529,049.50
Net Estimated Renewal
Costs 6,614,605.50
Plus Contingencies
(60% of Acquisition) 3,446,567.00
Estimated Probable Costs $10,061,172.50
-36-
8/10/82
MODIFICATION OF THE PLAN
This Redevelopment Plan will require many years to implement completely
and will have a major impact on the community during that period. In order
to assure that this plan remains consistent with changing community needs
and objectives, further review must be provided.
The Redevelopment Plan and associated Finance Plan may be modified at
any time before or after the lease or sale of the project area or any parts
contained therein, provided that modification shall be adopted by the
Housing and Redevelopment Authority and the City Council of Golden Valley,
upon such notice and after such public hearing as is required for the origi-
nal adoption of the Redevelopment Plan.
However, where the Housing and Redevelopment Authority determines the
necessity for changes which do not alter exterior boundaries, increase the
amount of bond indebtedness to be incurred or use of revenues derived from
the tax increment district; such changes shall not be construed as modifica-
tion of the redevelopment plan nor required approval of the City Counci .
Therefore, changes of this nature may be made by the Housing and
Redevelopment Authority.
8/10/82 -37-
APPENDIX "A"
Resolution #96 July 17, 1978
Member Jonson introduced and read the written resolution and moved its
adoption:
RESOLUTION
FINDINGS AND DETERMINATIONS BY, AND RESOLUTIONS OF, THE CITY COUNCIL
FOR GOLDEN YALLEY, MINNESOTA RELATIVE TO AND APPROVING A REDEVELOPMENT
PLAN AND REDEVELOPMENT PROJECT AREA FOR A COMMERCIAL BUSINESS DISTRICT
REVITALIZATION PROGRAM IN GOLDEN VALLEY, MINNESOTA, ENTITLED "VALLEY
SQUARE REDEVELOPMENT PLAN" , DATED JUNE 7, 1978 AS REVISED JULY 10, 1978.
WHEREAS, the Housing and Redevelopment Authority of Golden Valley,
Minnesota herein called the "Authority" has prepared a redevelopment plan
for a revitalization program in the Central Business District of Golden
Valley, Minnesota, entitled "Valley Square Redevelopment Plan" , dated June
7, 1978 as revised July 10, 1978, which plan consists of five (5) phases and
two (2) maps and includes a statement of the method for financing projects
proposed by the Plan; and,
WHEREAS, the Plan was duly reviewed and commented on by the Planning
Commission of Golden Valley, Minnesota, being a duly designated and acting
official advisory body to the City Council , a copy of their minutes of their
meeting of June 26, 1978 is attached and made reference to herein; and,
WHEREAS, the Plan was duly reviewed and approved by the Housing and
Redevelopment Authority of Golden Valley, Minnesota, a copy of their minutes
of their meeting of July 10, 1978 is attached and made reference to herein;
and,
NOW, THEREFORE, BE IT RESOLVED, that the City Council does hereby make
the following findings and determinations:
1. That the area included within the Plan (the "Project Area") is a
deteriorated and deteriorating area within the meaning of Minnesota
Statutes 462.421, Subd. 13;
2. That the revitalization program proposed by the Plan is necessary to
eliminate, and prevent the spread of such deterioration;
3. That the Redevelopment Project Area is subject to conditions pre-
venting private development and would not be available for redeve-
lopment without the governmental assistance and financial aid
proposed by the Plan;
4. That the Plan and its corresponding Redevelopment Project Area
affords maximum opportunity for redevelopment by private enterprise,
consistent with the sound needs of the locality as a whole;
8/10/82 -38-
APPENDIX "A" (Con't.)
5. That the Plan provides an outline for the redevelopment and rehabi-
litation of the Project Area, and is sufficiently complete to indi-
cate the relationship of the Plan to the objectives of the City of
Golden Valley as to appropriate land uses within the Project Area,
and to indicate the general land uses and general standards for
redevelopment or rehabilitation within the Project Area;
6. That there is a feasible method for the relocation of families who
will be displaced from the Project Area, and that there are
available, or will be provided decent, safe and sanitary dwelling
units at least equal in number to the number of displacies; that the
City of Golden Valley, Minnesota, in acquiring any properties, must
and will provide all relocation assistance and benefits required by
the Federal Uniform Relocation Assistance and Real Property
Acquisition Act of 1970, and acts amendatory thereof, any regula-
tions duly adopted pursuant thereof, and any regulations duly
adopted by the State of Minnesota, its agencies or political sub-
divisions, pursuant to law;
7. That the objectives and purposes of the Plan conform to and are con-
sistent with the general land use proposals and planning objectives
established by the City of Golden Yalley in their Comprehensive Plan
dated March, 1977.
NOW, THEREFORE, BE IT FURTHER RESOLVED, by the City Council of Golden
Valley, Minnesota:
A. That the Plan, in all respects, is hereby approved.
B. That the City Manager is directed to communicate Counci ' s approval
of the Plan to the Housing and Redevelopment Authority of Golden
Valley, Minnesota.
Passed this 17th day of July, 1978.
/s/ Robert R. Hoover
. ,
ATTEST:
/s/ John Murphy
JOHN MURPHY, CITY CLERK
The motion for the adoption of the foregoing resolution was duly
seconded by Member Thorsen and upon vote being taken thereon, the following
voted in favor thereof: Anderson, Hoover, Johnson, Stockman and Thorsen and
the folloiwng voted against the same: none, whereupon said resolution was
declared duly passed and adopted, signed by the Mayor and his signature
attested by the City Clerk.
8/10/82 -39-
APPENDIX B
PROPERTIES WHICH MAY BE ACQUIRED
1. Charles W. Adams, Inc. 17. Fenc-Co. Inc
7711 Country Club Drive Inc. 711 Winnetka Avenue North
2. Anchor Tool & Plastics Inc. 18. Fern' s Hair Design
731 Winnetka Avneue North 723 Winnetka Avenue North
3. S. J. Bernstein Associates 19. Fidelman' s Kosher Meat Market
7711 Country Club Drive 540 Winnetka Avenue North
4. John E. Blanchard Co. Inc. 20. Film Port
7730 Olson Memorial Highway 719 Winnetka Avenue North
5. The Blue Room 21. Forest Oak Furniture & Remodeling
605 Winnetka Avenue North 629� Winnetka Avenue North
6. Canaan Corporation 22. Four Paws Grooming
7711 Country Club Drive 631 Winnetka Avenue North
7. Canaan Fellowship 23. Golden Valley Kirby Co.
7711 Country Club Drive 729 Winnetka Avenue North
8. Cardinal Tool , Inc. 24. Golden Valley Launderette
7711 Country Club Drive 629 Winnetka Avenue North
9. Cari-Out Chow Mein 25. Golden Valley TV
735 Winnetka Avenue North 633 Winnetka Avenue North
10. Christian Financial Services 26. H & R Block
7711 Country Club Drive 7770 Olson Memorial Highway
11. Commercial Agents Inc. 27. House of Large Sizes
715 Winnetka Avenue North 7760 Olson Memorial Highway
12. Connco Shoes Inc. 28. Hyatt Legal Services
7820 Olson Memorial Highway 7770 Olson Memorial Highway
13. Custom Trim Barbars 29. Dennis A. Johnson, D.D.S.
713 Winnetka Avenue North 621 Winnetka Avenue North
14. Den Mar Sales 30. Johnston Photo Co.
735 Winnetka Avenue North 737 Winnetka Avenue North
15. Down in the Valley, Inc. 31. "K" Products
540 Winnetka Avenue North 7711 Country Club Drive
16. Fairview Construction Co. 32. Kentucky Fried Chicken
7711 Country Club Drive 7600 Olson Memorial Highway
8/10/82 -40-
33. LeCon Properties Inc. 48. Photo-First Inc.
7711 Country Club Drive 719 Winnetka Avenue North
34. Stephen F. Litton, D.D.S. 49. Reed Drug Co.
717 Winnetka Avenue North 7810 Olson Memorial Highway
35. M. I. Auto Supply 50. Reiss Greenhouses Inc.
7811 Golden Valley Road 8424 Golden Valley Road
36. Mack Business Forms Co. 51. Camilla Rojo Hair Design
727 Winnetka Avenue North 631 Winnetka Avenue North
37. Malik Union 76 52. Serv-eez Foods
7900 Golden Valley Road 735 Winnetka Avenue North
38. McVeigh' s Golden Valey Spur 53. Something Special Inc.
7550 Olson Memorial Highway 7750 Olson Memorial Highway
39. Meat and Seafood Market �- 54. Thorpe Credit & Thrift Company
7816 Olson Memorial Highway 7718 Olson Memorial Highway
40. Midwest Electrostatic Refinishers 55. Turncraft Clock Imports Co.
6331/� Winnetka Avenue North 611 Winnetka Avenue North
41. Miller Sales Company 56. Valley Plaza Barbar Shop
740 Winnetka Avenue North 7740 Olson Memorial Highway
42. Monson Chemical 57. Valley Studio, Inc.
715 Winnetka Avenue North 6151�'2 Winnetka Avenue North
43. Craig M. Mrosak, D.D.S. 58. Video Star, Inc.
621 Winnetka Avenue North 7714 Olson Memorial Highway
44. Orvedahl Construction Inc. 59. Viken Company
7711 Country Club Drive 737 Winnetka Avenue North
45. Passport Pictures, Inc. 60. Viking Rubber, Inc.
719 Winnetka Avenue North 7711 Country Club Drive
46. Raymond G. Peterson, D.D.S. 61. Warner True Value Hardware, Inc.
621 Winnetka Avenue North 7710 Olson Memorial Highway
47. Photo Fast Inc. 62. Warren Builders & Fabricators, Inc.
701 Winnetka Avenue North 703 Winnetka Avenue North
-41-
8/10/82
63. White Way Cleaners & Launderers. Inc.
7720 Olson Memorial Highway
64. John Winges Cabinetmaker
6331/� Winnetka Avenue North
65. Winnetka Coffee Kup
709 Winnetka Avenue North
-42-
8/10/82
410 Resolution 82-97 - Continued September 30, 1982
Exhibit B
Planning Commission Minutes of August 23, 1982
IV. Discussion and Recommendation of the Proposed Amended Valley Square
Redevelopment Plan:
Chairman Thompson introduced this agenda item and noted that State Statute
requires that the HRA submit the proposed amended Valley Square Redvelopment
Plan to the Planning Commission for its opinion prior to HRA approval of the
Plan. Chairman Thompson pointed out that the Valley Square Redevelopment Plan
is less specific than the Valley Square Commission Report in details such as
square footages of various uses in order to provide for flexibility in
implementation of the Redevelopment Plan which is a legally binding document.
City Manager Jeff Sweet reviewed the proposed amended Valley Square Redevelopment
Plan pointing out which sections are taken from the current Valley Square
Redevelopment Plan and which sections have been revised.
In response to a request from Commissioner Prazak, Mr. Sweet and Planning and
Redevelopment Coordinator Mike Miller reported on developer interest in the
Valley Square Redevelopment Area.
Commissioner Tubman asked the time schedule for the Valley Square Redevelopment
Project. Mr. Miller stated that development is expected to start within the
next year and that construction activity could begin in the spring and summer of
1983.
Chairman Thompson concluded the discussion with the statement that the Planning
Commission will notify the HRA that the Planning Commisison reviewed the proposed
amended Valley Square Redevelopment Plan and has no objections to HRA approval
of the amended Plan.
Mr. Sweet complimented Chairman Thompson on the outstanding job he has done as
Chairman of the Valley Square Commission, expressed the opinion that he has
represented the Planning Commission well on the Valley Square Commission, and
expressed appreciation of the leadership he provided to the Valley Square
Commission. Chairman Thompson in turn expressed appreciation of the support
provided by Mr. Sweet as HRA Director and staff to the Valley Square Commission.
Commissioner Prazak asked for an explanation of the role of the Valley Square
Commission from this point forward. Chairman Thompson and Mr. Sweet explained
that the role of the Valley Square Commission will be to review development
proposals received in each phase of the redevelopment project and to comment to
the HRA on which proposals best carry out what the Commission envisioned for the
Valley Square Redevelopment Area. Mr. Sweet noted that the recently revised
City PUD Ordinance provides that any parcel within a redevelopment area may be
developed as a PUD and that the Planning Commission may expect to review a
number of PUD proposals in conjunction with the Valley Square Redevelopment
Project.