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HRA 04/14/1988 - 6518HOUSING $ REDEUELOPM0 T AUTHORITY MEETING APRIL 14, 1988 7:00 P.M. City of Fridley AGENDA HOUSING & REDEVELOANENT AUTHORITY MTG. 'II uSDAY, APRIL 14, 1988 7: 00 P.M. Location: Council Chamber (upper level) CALL TO ORDER: ROLL APPROVAL OF MINUTES: Housing & Redevelopment Authority Minutes: March 10, 1988 CONSIDERATION OF MOORE LAKE COMMONS DEVELOPMENT AGREEMENT . . . . . . . . 1 CONSIDERATION OF A REQUEST FOR REDEVM01*ENT ASSISTANCE FOR MIDWEST VAN BUILDING BY FRANK KITTERMAN . . . . . . . . . . . . . . . . . 2 - 2 -F CONSIDERATION OF A REQUEST FOR TRANSFER OF ANOXN COUNTY TAX FORFEIT LOT TO ACCAP FOR URBAN HOMESTEAD . . . . . . • . . . . . . . . . . 3 - 3-C CONSIDERATION OF BILE FOR LAKE POINTE LAWN CARE . . . . . . . . . . . . . 4 - 4 -C CONSIDERATION OF A PROPOSAL TO REPAIR WINTER EROSION AT LAID; . . . 5 - 5-A POINTE. . . . . . . . . . . .. . . . . . . . . . . . . . . . . . CONSIDERATION OF A $ 3,100.00 CHANGE ORDER FOR LAKE POINTS LANDSCAPE ARCHITECT . . . . . . . . . . . . . . . . . . . . . . . . . . .. 6 - 6 -E CONSIDERATION OF GRANTING AN CASEMENT FOR NSP UNDERGROUND POWER AT LAKE POINTE . . . . . . . .. . . . . . . . . . . . . . . . . . . 7 - 7 -A INFORMATIONOlN LOU LUNDGREN PROPOSAL . . . . . . . . . . . . . . . . . . . 8 - 8 -A INFORMATION ON H & S ASPHALT REMOBILIZATION FOR STREET COMPLETION AT LAS POINTS . . . . . . . . . . . . . . . . . . . . . . . .. 9 - 9 -C INFORMATION ON FENCE INSTALLATION AT SPRINGBROOK NATURE . . 10 CENTER POND . . . . . . . . . . . . . . . . . . . . . . . . . . . . . INFORMATION ON H1IdV= OFFICE BUILDING • . . . . • . . . . . . . . . . . 11 - 11-D CLAIMS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 - 12 -A OTHER BUSINESS: QTY OF FRIMEY HOUSING & REDEVELOPMENT AU7HCRITY MINUTES, MARCH 10, 1988 Chairperson Commers called the March 10, 1988, Housing & Redevelopment Authority meeting to order at 7:05 p. m. RbLL CALL: / Members Present: Larry Commers, Duane Prairie, John Meyer Members Absent: Virginia Schnabel, Walter Rasmussen Others Present: Jock Robertson, Executive Director of HRA Rick Pribyl, City Finance Director Julie Burt, Asst. Finance Officer Dave Newman, BRA Attorney Jim Casserly, 215 S. 11th St., Mpls. Norman Brody, Brody & Associates Lou & June Lundgren, 343 Kellogg Blvd., St. Paul Alan Rouse, 1786 Hennepin Ave. So. Kevin Rouse, 2200 First Bank Place East, Mpls. Steve Billings, 5215 Lincoln St. R E. Gerald Sunder Sunde Engineering Jai Suh, 12 island Road, St. Paul ApPROM OF FEBRUAM 11, 1988. HOUSING f NT Atn'HO= MINUTES: Man by Mr. Meyer, seconded by Mr. Prairie, to approve the February 11, 1988, Housing & Redevelopment Authority minutes as written. UPON A VOICE VOTE, ALL VOTING AyE, CHABUWSCN ODMt4ERS DECLARED THE MOTION CARRIED UIIANI"SLY. MOTION by Mr. Prairie, seconded by Mr. Meyer, to appove the Feb. 25, 1988, Special Housing & Redevelopment Authority meeting minutes. UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSCN COMt4ERS DECLARED THE MOTION (TARRIED UNANIMOUSLY. Mr. Robertson stated that after the special meeting on Feb. 25th, staff met several times with Mr. Lundgren and Mr. Jacobsen to review the financing arrangements and the pro forma. As the agenda was being prepared on March 4, three issues remained outstanding, and staff suggested an absolute deadline of a week from March 11 to try to resolve the following three issues: -1- (1) The outline Mr. Lundgren and Mr. Jacobsen presented seemed to raise some question of an additional $1 million of financing of which both Mr. Newman and himself had difficulty in understanding. (2) Mr. Lundgren's pro forma which includes property tax assumptions in the operational expense area which were one -third to one -half of what the City Assessor estimates the taxes will be on the project.. qiven Mr. Lundgren's values. (3) Mr. Lundgren insists on a first option of all subsequent phases of the Project—the elderly housing, the shopping, and the office complex. Although that was originally understood to be part of the development agreement, there was some question in staff's mind whether the HRA still wants, even if all the other questions are resolved, to continue the first option. Mr. Robertson asked Mr. Lundgren if he wanted first option on all the rest of the phases through calendar year 1988. Mr. Lundgren stated, yes, on all phases except the fourth phase, the off ice phase. Mr. Robertson stated that, subsequently, Mr. Lundgren had said he would prepare some comparables on the property tax questions. Those arrived on Tuesday► March 8, and the City Assessor had looked at those numbers. Mr. Madsen had responded on March 9, essentially disputing the conclusions Mr. Lundgren had made. As a result, Mr. Newman and he met Wednesday afternoon and concluded that the differences in tax dispute were a difference by a factor of 2, Mr. Lundgren's being about half of what Mr. Madsen had come up with. Mr. Robertson stated he then wrote a letter to Mr. Lundgren (included in the HRA Information Packet at the meeting) essentially saying that staff could not recommend the City proceed with this kind of discrepancy in taxes. He delivered the letter to Mr. Lundgren at noon on Wednesday. Mr. Lundgren met with his consultants and came back requesting an early meeting before the HRA meeting to discuss an outline of an approach to narrow the qap. At 7:00 p.m just before the HRA meeting, they were still discussing how that gap could be narrowed. Obviously, they still needed more time. Mr. Confiners stated that in reading the Feb. 25th HRA minutes, he understood that the letter of credit will still be recognized through March 25; and, if the issues can be resolved, staff has the right to make a determination at this point. Mr. Newman stated that was correct. If nothing is done on the letter of credit, then it will automatically be tendered to the HRA on March 25. Mr. Comers asked if there was anything the HRA could do this evening, other than to receive the information and let staff continue to negotiate with Mr. Lundgren. Mr. Newman stated the issue staff needs a sense of direction on was the question pertaining to Mr. Lundgren's desire to have an option to develop -2- : 0 �l V ? 1 4/?4to) aIIDRI x. )4 - "X1toy w IV 12!Y-10 0 Z on v�s_i� _ the balance of the property. Mr. Commers stated the original contract provided that Mr. Lundgren would have those development rights, but the original contract is no longer valid. Mr. Newman stated it was his understanding that if, in fact, staff feels the numbers make sense and they can move forward with this and qo with the additional 90 day period so Mr. Lundgren can make the loan application, at that time they would be precluding any discussions with other developers on the entire site. There seems to be some interest among developers to do retail on some of the other portions of the site. Staff needs to know whether the HRA feels comfortable in staff precluding the exploration of other opportunities while Mr. Lundgren makes his loan application. Mr. Prairie stated he felt if the first two issues could be resolved in those 90 days, the third issue was not a great problem. Mr. Newman stated it was the sense of staff at this point that they are uncomfortable recommending that first option because if the first option was granted, staff would probably effectively be precluded from developing other parcels remaining on the site during this construction season. Mr. Commers stated it was now March 10 and the HRA has not been approached with any type cf formality on any other parcels. He did not see how anyone would be able to do anything in 90 days. Mr. Prairie agreed. He stated that for as long as this has taken, another 90 days was a pretty short period of time. Obviously, they want to have this site developed as soon as possible. Mr. Commers stated he felt it was the concensus of the HRA that if staff is able to resolve the other issues that Mr. Lundgren be granted the 90 day first right of refusal on the other parcels for further development, based on the HRA's understanding that any negotiations would have to be completed by March 25. Mr. Meyer and Mr. Prairie agreed they would not have a problem with that. Mr. Lundgren stated that if they reads satisfactory negotiations by March 25, when did the 90 days start? Mr. Commers stated that if staff can resolve these issues satisfactorily with Mr. Lundgren, staff had the authority to authorize Mr. Lundgren to go ahead, and he will not have to come back before the HRA. Mr. Lundgren stated he has felt from the beginning and he thought the HRA felt similarly that this was a mixed use project in which there was considerable benefit in having a unified type project, architecturally and otherwise. Mr. Meyer stated at the Feb. 25th special HRA meeting, Mr. Lundgren had talked about now looking at local contractors for the project. He just -3- wanted Mr. Lundgren to know that he was not so concerned about who might be building the project, but under what circumstances would the builder hold more power to decide what goes on in the project than either Mr. Lundgren or the HRA? Mr. Lundgren stated he felt Mr. Meyer's present and past comments regarding the builder were made with a great deal of justification. He stated he felt the same way. At the present time, he was negotiating very closely and felt that within the time frame of these negotiations, he would have finished negotiations with Krause Anderson, a local and substantial firm. His arrangement with them would be strictly an invitational bid situation. 7hey would build the building for a f ixed sum per f ixed specif ications. They would not be involved financially and they would not have any ownership in the building. Mr. Comers wished Mr. Lundgren good luck with these negotiations. 2. CCMIDERATION OF A MOORE UM COMMONS DEOU" ENT SGREENE m: Mr. Robertson stated he had asked Jim Casserly to be at the meeting to answer any questions the HRA members might have. He stated Mr. Casserly was in agreement with the alternative proposed by staff for a $400,000 land write -down in the development agreement. The agreement should then include a $400,000 special assessment for public improvements over ten years with principle and interest. Mr. Casserly stated there was a considerable cost involved in the ponding, relocation of storm sewers, bike paths, lighting, and irrigation systems, all of which the developer has agreed to do, but these things are on public right- of -ways. Lenders just are not very excited about loaning money for those kinds of improvements, because they get no security interest for those improvements. Mr. Casserly stated they have had discussions with city staff and it would certainly be helpful to the developer and help promote the project if they could have an arrangement as has been suggested. Mr. Newman stated staff feels that by using the special assessment approach, it was probably a more secure way of doing it than by going through the process of trying to place a second mortgage on the property. Mr. Conners stated this was the basic approach the HRA had agreed upon all along for this project in terms of using financing for the public improvements. Mr. Casserly stated Mr. Brody was also at the meeting to answer any questions. Mr. Meyer asked about the $363,000 cost for soil correction in Exhibit A, Cost of Improvements. Mr. Casserly stated it was his understanding that part of the problem was there was a fair amount of concrete in there, and they think it is probably -4- demolition debris from the freeway interchange. Mr. Brody stated their engineers have to do more studying and they have to do some more soil borings to find out exactly how extensive the problem is. He stated the $363,000 was a high end figure assuming the worst case scenario. Mr. Comners asked if the city had any records of what was dumped on that site. Mr. Robertson stated they have some partial records, but they vrould provide to the developer whatever informaton they have on the f ill that was dumped on the site. Mr. Meyer asked what would happen if the best situation occurred, and the developer only needed $100,000 for soil correction, and the HRA had already gone ahead and authorized the $400,000? Mr. Casserly stated what was being requested was not the $884,250, but $400,000, so even if there were no soil corrections, there would stil be in the neighborhood of $5001,000 of improvements the developer is willing to do. Mr. Newman stated he would remind the HRA that this work was for both developments --the health club and the retail. The estimated market value was $13,200,000 wren completed. At $400,000 assistance, that works out t to be about A-- probably a lower percentage of assistance than they provided Vantage Companies. Mr. Newman stated if the HRA was oomfortable with the agreement, staff will have to sit down with the developer and prepare a development contract where they can start dealing with some of the specifics. He would like the HRA to make a motion indicating their approval of the concept and to direct staff to prepare the development contract for review at the next meeting. PION by Mr. Meyer, seconded by Mr. Prairie, to approve the concept in terms of assistance for the Moore Lake Commons development and to authorize staff to prepare the development contract for review at the next HRA meeting. UPON A VOICE VOTE, ALL VOTING AYEr CHAIRPERSC N CAMMERS DECLARED THE MOTION C KRRTED UNANIM13US1,Y. 3. CONS?DERATION OF `&INrE reW AGREEMENT` FOR LAKE POINTS DURING THE 1988 CROWING SEASON: Mr. Robertson stated that at the Feb. for an additional breakdown of costs. to present his reasoning. 11th HRA meeting, the HRA had asked He had asked Mr. Flora to do that and Mr. Flora stated that in his February 26, 1988, memo to the HRA he was trying to bring to the HRA's attention that as they go into these projects (University Avenue Corridor Highway 65 causeway, Rice Creek Road parkway),, -5- there is a continual maintenance requirement associated with these projects to put them on line. Mr. Flora stated it was brought to his attention that as Lake Pointe was coming to fruition, there was going to be the need for maintenance on the site, and they do not have any property owners there to take care of the 40+ acres of grass, sprinkling system, debris, etc. It was beyond the City's forces to take care of that large a parcel of land. Because the sprinkler system was so complex, staff was suggesting they go out for a contract with some firm to maintain the lands through the summer period. Mr. Flora stated they really do not know what the costs are going to be. 7hey felt $25,000 was a good number to spend from April to October to have the site maintained. Also, based upon last year's water usage and the extension of the existing water system, they are looking at around $8,000 just for water to keep the area green. They were asking that the HRA authorize the City to advertise for a contractor to take care of the Lake Pointe site this summer. Mr. Comers stated that after the HRA received Mr. Flora's memo at the last meeting, they had a discussion relative to whether or not it might be more appropriate or just as easy for the Public Works Department to add a couple of temporary summer employees to cover that maintenance. Mr. Flora stated the grass cutting alone would not be too bad. The sprinkler system was the problem. Mr. Commers asked if the City could get a separate sprinkler system maintenance agreement. Mr. Flora stated they probably could, but there could be some problems, too, with the City and a contractor both involved. It was just a lot neater to have cne contractor responsible for the whole area. Mr. Prairie stated he thought it would be cheaper to have all the maintenance done by one contractor. Mr. Commers stated that he would like staff to get two bids - -one for maintenance of the entire site and one for maintenance of just the sprinkl ing system to see if there was any signif icant dif f er ence in cost s. However, it did sound like it would probably be better to have one contractor for all the maintenance. Mr. Meyer stated he agreed with Mr. Flora that it would be better to have the site maintained by the same firm. He also agreed with Mr. Commers that it wouldn't hurt to have the City ask for two bids. Mr. Flora stated he would be willing to break the specs down. mar by Mr. Prairie, seconded by Mr. Meyer, to direct city staff to go out for bids for the maintenance of the Lake Pointe site during the 1988 growing season. -6- UPON A VOICE VOTE, ALL VOTING AYE, CBAIRpERSON CGMMRS DECLARED THE MOTION ChRRIED UNANIMWSLY. Mr. Comers thanked Mr. Flora for coming to the meeting. 4. CONSIDERATION OF A CONTRAa WITH SUNDE ENGTW�TW TO FINISH STAMING AND-DO CO1`'SMMON INSPECTION AT LAKE POI: , Mr. Flora stated Mr. Suede was requesting the BRA to extend his contract for another $8,900 in order to complete the engineering work associated with the Lake Pointe utilities and street system. Mr. Gommers asked why the contract had to be extended and why the work was not inluded in the original contract. Mr. Suede stated that originally they had a fixed contract. Twice last year they came in for change orders - -one in early spring and one in Sept. For the change order in September, they tried to estimate what they thought it would cost to completely finish the work, assuring the work would be done in 1987. However, the work was not able to be completed before winter. Mr. Flora asked him to prepare another change order for coming back and basically doing the work that was not done last fall. Mr. Suede stated that for some reason the curb and storm sewer contractor did not want to come back in until Park Construction was completely done with their work. Scode Engineering had assumed that some of the work would have been done concurrently, but it did not work out that way. MOTION by Mr. Meyer, seconded by Mr. Prairie, to approve the contract with Sonde Engineering to finish staking and do the construction inspection at Lake Pointe, estimated cost - $8,900. UPON A VOICE VOTE, ALL VOTM AYE, MIRPERBCN CON4ERS DECLARED THE MOTION CARRIED UNANIMOUSLY. WOW G kOX6 OR JA We Mr. Robertson stated the street improvements to the Lake Pointe development site will be completed this spring. Zbe contract for these improvements was let in 1986 and the successful law bidder was H & S Asphalt► Inc. Since the contract was let two years ago, there have been increases in the cost of materials. Mr. Robertson stated that after the meeting agenda was prepared, Mr. Newman advised him that there might be some gray legal question as to whether or not unit prices can be changed without a rebidding of the entire contract. Mr. Robertson stated that he had not had a chance to discuss this with Mr. Newman before the meeting, but there was the alternative that H & S Asphalt could exercise to continue the contract at the original bid unit prices. Last year the HRA did pay H & S Asphalt a renobil iation fee of $2,800. If that was still appropriate, that would be an alternative that could be -7- [:1 offered. Staff could see if they want to do that versus competitive bidding. Mr. Prairie asked if H & S Asphalt could have finished the job last year. Mr. Surnde stated he thought if everything had gone the way they thought things would go, H & S Asphalt would have finished. But, after the cold spell the conditions were not very good for asphalting. Mr. Newman stated the State Statute states that they can authorize a change order if they are increasing quantities, providing the quantity is not greater than 25% from the amount originally bid. The Statute does not provide for changing unit prices through a change order as that constitutes a substantial change. When H & S Asphalt originally bid the project the first time, they wanted to extend the date when construction would begin. At that time, maybe even that change constituted a substantial change f rom the contract. Admittedly, last year the HRA did agree to mobilization changes which was somewhat questionable but they felt there were a lot of Problems that were not the fault of the contractor who wanted to proceed in an expeditious fashion. However, he did not think they were facing those kinds of restraints this year. Also, the HRA had no way of knowing if the increases were fair and reasonable. He stated both he and Mr. Pribyl were very uncomfortable about this. Mr. CJoMmers stated that because of the information they had received from their legal counsel, staff should qo back to H & S Asphalt and inform then that there was some legal question as to whether the HRA could approve an increase in unit pricing at this late date. If there was any other way in which the HRA could accommodate H & S Asphalt, then staff should let the HRA know. MOTION by Mr. Prairie, seconded by Mr. Meyer, to table any further discussion on the consideration of a revised contract for street completion at Lake Pointe with H & S Asphalt until further information is received from staff. UPON A VOICE VOTE, ALL VOr= AyE, CHAg2PERSCN CDNMERS DECLARED THE MOTION CMRRIED UNANIMQIS[,,y. Mr. Robertson stated the City Council had reviewed this preliminarily on Monday, blarch 7, and the City Council had raised some questions about the appropriateness of the housing density, considering that the traffic improvements with Highway 65 /Central Avenue have not been scheduled yet. Would the development, if it proceeds this construction season, cause undue loads on the residential streets directly to the north? Mr. Robertson stated he and Mr. Newman met with the developer, Charles Cook, this week and suggested Mr. Cook meet with the City Council to try to resolve these issues before proceeding any further. Essentially, he can go with half the project under the current zoning. Mr. Cook would like to do -8- the whole project which would be a better project and it would have a lot more merit for the HRA to participate in in some way. Mr. Robertson stated that because of the questions raised by the City Council, Mr. Cook had advised him to have this as an informational item only for the HRA at this time. Mr. Cook will be meeting with the City Council to try to resolve the issues raised and when those issues are resolved, he will come back to the HRA. Mr. Newman stated it was also e:,, :'. ained to Mr. Cook in their meeting that the assistance he is requesting r� -cm the HRA was probably greater than what the HRA has generally provided in the past. He believed Mr. Cook was merely making that request in order to have a good f inn position in which to begin his negotiations. Mr. Commers stated there was a similar project before the HRA by 011ie Erickson for this same property. He stated staff should get a copy of the minutes when that project was discussed, because there were issues raised at that time. Mr. Robertson stated that in November staff informed the HRA of the process whereby the flooded walkways were being replaced y bridges. dw project timer he had told the HRA he would keep them up n date proceeding. He stated the original budget appropriated by the HRA in November was for $350,000, and they are still under that budget amount. He stated he would continue to keep the REA posted of the progress. 8. CIATMS (1721 - 1730Y: MOTION by Mr. Meyer, seconded by Mr. Prairie, to approve the check register as presented. UPON A VOICE VOTE, ALL VUPING AyE, aM RPERSON (]DNQ4ERS DECLARED THE MOTION CARRIED UNANINDUSLY. a. City Hall Remodeling Mr. Meyer stated he had read a recent article in the Fridley Ebcus about the remodeling of City Hall. He read that the City had gone the construction manager route rather than going out for bids for a general contractor. Did the HRA have any say in that process? Mr. Robertson stated the HRA was involved in a meeting with the City Council regarding the remodeling, but at that time, this was not on the table. He stated he did inform the HRA that Boatman had suggested to the City Council that the City go with a construction manager. Mr. Prairie stated he wondered what reasons Boatman had for suggesting -9- that, because Park Construction's experience with construction managers had not been good at all, fran the owner's standpoint. Mr. Meyer stated he really did not understand the reasoning behind going with a construction manager to supervise the construction. What concerned him was that if the HRA was going to be in on the "crash landing", they should be in on the "take -off" too. The,HRA has a responsibility to the project in some fashion. Usually the only time a construction manager cf a fast track situation really gains something is when some designated dollars can be saved because a job is done 3, 4, 6 months early, and when the architect /engineers haven't started their jobs yet and the work has to be phased. Mr. Prairie stated that initially the reasoning sounds good, but from his experience, it has not been good to go with a oonstruction manager. General contractors who have been around a long time stake their reputation on doing a good job. He did not think construction managers had been around too long and have very little net worth. If things do not work out, they just fold up. A general contractor and a sub - contractor have to live with each other. 7he construction managers can do whatever they want and it just doesn't always work. Park Construction has not bid some jobs because a construction manager was doing the project. And, then you do not always get the lowest price. Mr. Commers stated staff should take these concerns, regarding a construction manager versus a general contractor and the fact that the HRA was not consulted before a decision was made, to the City Council and then come back with some answers to the next HRA meeting. Mr. Robertson stated that in order to try to finish the job as quickly as possible because of the disruption in the operatons in the Civic Center, it was felt it would be controlled better by having an on -site construction supervisor representing the client and setting up the bidding. Mr. Meyer stated he understood what Mr. Robertson was saying but he was still puzzled by the decision. Mr. Robertson stated he would certainly try to take the HRA's concerns to the City Council and bring back some answers. Mr. Meyer stated he would like the HRA's concerns presented prior to the signing of the oontract. 41 4 IX RR,u MOTION by Mr. Prairie, seconded by Mr. Meyer, to adjourn the meeting. Upon a voice vote, all voting aye, Chairperson Commers declared the March 10, 1988, Housing & Redevelopment Authority meeting adjourned at 8:49 p.m. Respectfully submitted, LThAl Saba, Recording Secretary -10- OUSING and REDEVELOPMENT AUTHORITY 1 COMMISSION MEMBERS: LAWPENCECOMMERS,CHAIRMAN DUANE PRAIRIE VIRGINIA SCHNABEL WALTER RASMUSSEN JOHN MEYER CITY OF FRIDLEY 10: Housing & Redevelopment Authority Members FROM: Jock Robertson, Executive Director of HRA DATE: April 8, 1988 RWARDING: Consideration of Moore Lake Commons Development Agreement At your direction, staff has proceeded with negotiating development agreements with the parcel owners (see draft in packet) . Moore Lake Associates carries 70% of the assessment and Northwest Racquet Club carries 30%. 7he key provisions are: L $400,000 land write down. 2. Landscaping maintenance agreement. 3. Developers guarantee reimbursement of City cost of constructing utilities if no start of construction �n 18 months. Financial statements to be reviewed by HRA attorneys. 5. $1.2 mill icn total cost of public improvement construction by HRA. 6. City provides minimum landscaping of $95,000 in Rioe Creek Road right -of -way. Fbllowup details and any modifications will be provided at the April 14th meeting. JR:ls M -88 -7 8 EXECUTIVE DIRECTOR: JOCK ROBERTSON 6431 UNIVERSITY AVE. (412) 571 -3450 FRIDLEY, MN 55432 EXT. 117 OUSING and REDEVELOPMENT AUTHORITY 2 COMMISSION MEMBERS: LAWRENCE COMMERS. CHAIRMAN DUANE PRAi:E VIRGINIA SCHNABEL WALTER RASMUSSEN JOHN MEYER I CITY OF FRIDLEY TO: Housing & Redevelopment Authority Members FROM: Jock Robertson, Executive Director of HRA DATE: April 7, 1988 REGARDING: Request for Redevelopment Assistance for MicWest Van Building by Frank Kitterman At their April 4, 1988, meeting, the City Council granted a special use permit for this property and recomirended that the Housing & Redevelopment Authority seriously consider providing assistance to Mr. Kitterman for the redevelopment of this property. Cost estimates are due the week of the April HRA meeting. Staff requests authorization to negotiate a second mortgage Development Agreement similar to that with Shorewood Inn, and also requests HRA authorization to set a public hearing. JR:ls M- 88- 79 EXECUTIVE DIRECTOR: JOCK ROBERTSON 6431 UNIVERSITY AVE. (612) 571 -3450 FRIDLEY, MN 55432 EXT. 117 Wou PLANNING DIVISION MEMORANDUM MEND M: Jock Robertson, Community Development Director City Council MW WM: Jim Robinson, Planning Coordinator MID DATE: March 31, 1988 FWARDIIG: Midwest Van and Storage Reuse Mr. Frank Kitterman, from Advance Company, has petitioned to the City of Fridley for a special use permit to allow a small amount of retail sales in an industrial area and also for outside storage which would be located within the tenced storage yard. Advance Company is involved in insurance claim repairs to hones including mobile homes, churches and businesses. A spin otf of the operation includes retail sales of mobile hone and RV parts. The outside storage is for future use of the fenced storage yard for camper sales. The item has gone to the Planning Commission and has been recommended for approval with stipulations. The City Council will review the Special Use Permit on April 4, 1988. Mr. Kitterman is also requesting that the BRA consider a second mortgage for the redevelopment of the property. Mr. Kitterman is proposing to expand the building by adding an oft ice and new facade on the easterly side of the building and also to upgrade on the southerly facade. These improvements will greatly enhance the visual appeal of the building and its interface with the neighborhood. In addition, city staff has devised a landscaping, site improvement, and fencing plan which would also greatly improve the site. Mr. Kitterman will be presenting his proposal to the BRA on April 14. At this time, we have informed him that the general scenario for the loan would be much like that which was accomplished with the Shorewood Inn property wnich was a $70,000 loan at 98 interest over a 15 year period. Attached for your review please find the facade plans of the proposed redevelopment and the site plan as devised by city staff. The plans for renovation provide the City and the neighborhood with a marked improvement. Short -of acquisition and removal of the structure tnese plans offer the most reasonable solution to a long standing problem. The stipulations outlined will provide assurances for orderly and unobtrusive operation of the storage yard (see stipulation 5 and 9 as revised). Stipulation 9 was amended due to the petitioners concern that it may be difficult to completely screen storage from second story view of adjacent homes. Stipulation 4 calls for a new fence setback 10 feet from the westerly property lire and tree plantings in this setback area to supplement fence screening This stipulation was added after a recently received survey revealed minimal area for plantings on the residential side of the fence. Stipulation 11 was changed due to the petitioner having closed on the property prix to special use permit approval. JR:dm Attach. * -88-72 2 -A 2 -g [pA/pr7nles 6875 Highway 65 NE. /'O. Box 32308 Minneapolis, MN 55432 (612) 571 -&" N EMINEEJUM ,ff. 12203 Nlcollet Ave. So. Bu►routlle. MN 55337 16121 890.6510 CUK Mwdclpd 1 EnMonerird Enphum y • Lid wwv" • Lid M mmS • Sell D.asip Certflieate of survey for ADVANCED COMPANIES 285 . o .O..�: ��..� r± '�' i' �)' �!N. '.ra r...Ei:i•'jj,1.a'"w• `;a � so':�'4.i c�. .� I'.f .0 •-a G O 100.1 l I.Zt �� •lr. �•• '01 t •, ; p. 1 S +ory + �. d p !2 story _O A W mod; 14.:!" _ o ' (oa I `' .13•ot Z : � I LeAd�ny' •dxk• '� • 1 � � d ;4� �:i'.''` �'r�r'smrpl6s �rl'?t'.'° °1;� ;:. 75.0! / o r I r-77 7711f stet Cencre +e Bui1dir\9' qt.- :• 3 �V�vti � kr -Z85.Z1 14.88019100w. Z0'W. .ai o Deno +e5 iron vnonumen+ BEARINGS SHOWN • a Denote5 Gonore +l✓ Deno +e5 bi +uminou5 -*- Denotes fence lint SCALE % I INCH= 50 FEET 3 Oo N� N° 1.6 C rL Ln . z O W zQ T 1 • V J • V so ARE ASSUMED LOT IJ$ BLOCK I, u�QWai RirF f RFFK TFRRAr.F �J CC Z W U SP #88 -03 2 -C tterman AM -ROOMY is wE ENGINEERING; INC. ow, -- En Sur veUors Mo*tgage Loan Survey f oar -- �. 1 \ 4t2 'Col J 7 c- ten Irb L7 1 i ./ ./i / / / /L...... %/ Iii. .••.'...•.Nr{� W �Y.IIr• I�' f � � � FCC.\.• :t ��s� I 1 .... �- 7•� L- -- -- - - -- - -- - — 1 \` •� '• L � li1,a o�,•. �� (�e� � i 1 r• 1r � r. � �:. moo. a v`•1 '� �; " ;.� �.H�R� 'Nlr lard Joe dcsu lfi !#.tofu �dl bolsm ! unfo /tan 4'o #.rite bmdmves des d e /ttit erd td su K M&. a>q a topr+cti n P", a mar {gogt I�d�, }JEta�, od risr�dir a�r�orl�mrnfs . �� �A1Q1 died �s `f #.parr ir�larsl ourd by�ft /C rensa► elm d� pIfy ad LP ter, y a a6� M� jr �° O'nUs srxli . /,s ua�ar d sld ayread a{o m fs Iwe A07 pGrrd fo' llx �wpw qr '� � t SWRM ENG'NEEOAfG . INC. ,? J1�i9 ts,K`+C•Cr AQfl3..rs pru/ ,ry�s- • r -o0 -, � � � a j w • L �000 i + 00.60, I ` aM�a 0 �• �� �� �° � �� sots ■ ' L >rl F sr SP #88 -03 Frank Kitterman to TA a —MOMMOMM"M WWI—rpm MAY 1VN"B* ',w � j�l�lil►1 �� ! -D SITE PLAN g ° � o • � O ' w ,i B i ! -D SITE PLAN 0 n� U inn L�J I SP a88-03 2— E Frank Kitterman SP 4688 -03 '2_F Frank Kitterman � r 0 s, ELEVATION IOUSING and REDEVELOPMENT AUTHORITY 3 COMMISSION MEMBERS: LAWRENCE COMMERS, CHAIRMAN DUANE PRAIRIE VOtGNIA SCHNABEL WALTER RASMUSSEN JOHN MEYER I CITY OF FRIDLEY T0: Housing & Redevelcpment Authority MEmbers FROM: Jock Robertson, Executive Director of HRA DATE: April 7, 1988 REGARDING: Request for Transfer of Anoka County Tax Forfeit lot to ACCAP for Urban Hcrostead This was informally reviewed and approved by the City Council at their Mare 28, 1988, meeting. Staff is recommending the request of transfer of tax forfeit property to ACCAP to be used for a public purpose housing program as part of ACCAP's Urban Hcmestead Program. JR: is Nr- 88- 80 EXECUTIVE DIRECTOR: JOCK ROBERTSON 6431 UNIVERSITY AVE. (B 12) 571 -3450' FRIDLEY, MN 55432 EXT. 117 �• �• f * _ � J 3-A s (MYI) �[ _ f 1 ! i A t IlNGFELi.OW • ��V f f 1►L i - ' ' u i � r = • ' `.� E. 1� Cary 1 �MJ) s / ♦ 4. 6 : �/�/ • 4 � /YIIC • S •I li 14 1 vp 100 i ol .f Yl 1 .� w Lt8ERT7 _ s (MYI) �[ _ f 1 ! i A t IlNGFELi.OW • ��V f f 1►L i - ' ' u i � r = A � Y , 0 w m • Z CIE !r r 71 ;" p =, _ ~I ;7111 • Hrr ' i r' till 7611. ♦ ;'a J3 LOCATION MAP 1 • S •I A � Y , 0 w m • Z CIE !r r 71 ;" p =, _ ~I ;7111 • Hrr ' i r' till 7611. ♦ ;'a J3 LOCATION MAP w COUNTY OF ANOKA Office of the County Board of Commissioners COURTHOUSE ANOKA, MINNESOTA 55303 612- 421 -4760 April 7, 1988 Mr. Jock Robertson City of Fridley 6431 University Avenue N.E. Fridley, Minnesota 55432 Re: Delivery to Fridley BRA of Tax Forfeit Property Dear Jack: I am responding to your request for direction on the transfer to the Fridley HRA of the tax forfeit property at the intersection of Broad and Fairmont (PIN 03- 30 -24 -32- 0011). Dan IClint, Assistant County Attorney, has indicated that the Fridley Housing Redevelopment Authority must request transfer of the property. Please contact Jim Plemel for the form to transfer tax forfeit property for less than market value for a specific public purpose. Upon completion, you may return that form to Jim who will take the transaction to the Anoka County Board for their consideration. Upon Board approval, the County will deliver a state tax deed with a right -of- reverter. In order to remove the riot -of- reverter in favor of the State of Minnesota, the HRA must file a certificate pursuant to M.S. 282.01. See the attached copy. At that time, the Fridley HRA will be free to transfer the property to ACCAP. If you have any further questions, please feel free to contact me. Jaw: sw Enclosure Sincerel , oAr 0. Wright Community Development Manager Affirmative Action / Equal Opportunity Employer 3-C ANOKA COUNTY COMMUNITY ACTION PROGRAM, INC. 6008 N.E. HIGHWAY 65 • SPRING LAKE PARK, MN 55432 • PHONE 7842443 DATE: March 22, 1988 TO: Mr. Jock Robertson Executive Director, Fridley HRA FROM: Stephen Klein, AICP, Planning Director RE: Transfer of tax forfeit property to ACCAP We are requesting that the Fridley HRA acquire and transfer the property located at Pin # 03- 30 -24 -32 -0011 to ACCAP. This property will be used for a public purpose housing program as part of ACCAP's Urban Homestead Program. This program will assist a lower income family to become a home owner in Fridley. We have had a similar project in the City of Anoka which was very successful. We propose to move a house onto this property from 45 75th Way NE in Fridley. This house will match the age and style of houses in this neighborhood. Your willingness to transfer this property to ACCAP, at a nominal cost, would be greatly appreciated. ACCAP will pay all transfer costs in this transaction. Please process this as soon as possible. If you would like me to attend your April 14th HRA Meeting, or to provide additional information, please contact me. Thank you for your ongoing cooperation and assistance. AN EOUAL OPPORTUNITY OPLOYER Engineering Sewer Water Parks Streets Maintenance MEMORANDUM TO: Jock Robertson, Executive Director - HRA PW88 -107 FROM: Mark L. Burch, Asst. Public Works Director DATE: April 7, 1988 SUBJECT: Award of Contract for Lake Pointe Development Maintenance Project #181 On Tuesday, April 5, we opened bids for the 1988-Lake Pointe Development Maintenance Project #181. We received 6 bids with Talberg Lawn & Landscape Of Minnetonka, MV, submitting a low bid of $33,750.00. This contract will provide for maintenance of the Lake Pointe Development site for the summer of 1988. It includes mowing of all the grass, maintenance and operation of the irrigation system ($1,400), weeding the flower beds, pruning trees and general site cleanup in the spring and over the summer. We have checked the references supplied by Talberg Lawn & Landscape and have found that they have a good work record. We therefore recommend that the HRA award a contract to Talberg Lawn & Landscape for $33,750.00 for Lake Pointe Development Maintenance Project #181. WB /ts Attachment ri C17YOF FNDL EY 4-A. BID PROPOSALS FOR LAKE POINTE DEVELOPMENT MAINTENANCE PRWECr #181 TUESDAY, APRIL 5, 1988, 11:00 A.M. I BID I TOTAL PLAMCLDER I I BC ND I I BID A I COMMM I Talberg Lawn & Landscape I I 100 Wilshire Dr. 1 58 1 $ 33, 750.00 1 Minnetonka, MN 55343 I I I I William B. Miller I I I I I 16765 Nutria St. 1 5% 1 $ 39,400.00 1 Ramsey, MN 55303 1 I 1 I 1 I Albrecht Cornpany I I I 1408 West Co. Rd. C. 1 5% 1 $ 43,443.00 1 Minneapol is, MN 55434 1 I 1 I 1 I Greenmasters I I I 7040 Lakeland Ave., K 1 5% 1 $ 47r230.00 I Brooklyn Park, MN 55428 1 I 1 I 1 I Germundsen Companies, Inc. I I I 20142 -156th St., K 1 5% 1 $ 86,990.00 I Elk River, MN 55330 1 1 1 1 1 1 B& H Fairway Lawn Maint. I I I 9153 Davenport St. I I NO BID I Blaine, mn 55434 I I I i I I Coanty Green Lawn Care I ( I Route, Box 463A I I NO BID I Cambridge, MN 55008 I I I I I D& J Constructicn I Route 1, Box 110 I I NO BID I Hager City, WI 54014 I I I I Danny's Lawn Care I I 1 I I 11014 Norway St. I I NO BID I Coon Rapids, MN 55433 1 I 1 I Ed's Tree Spade I I I I I 1385 Albemarle I ( NO BID I St. Paul, MN 55117 I I I I I I 4B - 2 - BID PROPOSALS FOR LAKE POIM DEVELORMU M&I TPENANCE PROTECT #181 TUESDAY, APRIL 5, 1988, 11: 00 A. M. I BID I TOTAL I C)Ommm PLANHCLDER I BCND I I I BID I I Gorecki & Comp. I I I P.0. Box 158 I I NO BID i Anoka, MN 55330 I t I I I I L& R Grading 2332 No. Brookv iew Dr. I I NO BID I Brooklyn Center, MN 55430 1 I 1 I I I ID Service I I I Highway 22 South, Box 105A I i NO BID I Mankato, MN 56001 1 I I I I I Wayne Laminen I i P.O. Box 11 I 1 NO BID I Big Lake, MN 55309 I 1 i I I I Lesi Services, Inc. I I I 7420 Unity Ave., K I I NO BID I Brooklyn Park, Mn 55443 1 I I I I I J. T. Noonan Co. , Inc. I 1 1 3601 - 48th Ave. , K 1 5% 1 S 46,993.00 1 Brooklyn Center, MN 55429 1 I I Pete's Yard Care I l I 16404 Easy Street I I NO BID I Eden Prairie, MN 55344 1 I I I I I Pioneer Midwest, Inc. I I I Grove Square I I NO BID I Maple Grove, MN 55369 1 I I I I I I i I Y6111114 4-C Tq•�. LNE POINT DEVSLCHIM NKMENN(E PROJECT #181 Proposal of: 72 lb01 , a44kyN$ j g CO fF rti'L'. -i Nave / Street Address Ali '/ AV, 55313 City, State Zip Code To furnish and deliver all materials and to do and perform all work, in accordance with the contract and specifications on f it a in the office of the Public Works Director and the "Special Provisions" contained herein for: LAIN POW= MU N1MNM PROD= #181 BID rM (A) Operation and maintenance of the In -place irrigation system LUMP SUM - BID 1TEM (A) . _ 1yc1D. o BID IM (B) All other maintenance items Mowing, fertilizing, general cleanup, etc., as spelled out in the specifications) Lcn4p sum - BID rrEm (s) ..... 3.2% 316111/8 7DDL BID (A + 8) . . . . . . . $ -4 33, '750 ,°° (f igures ) TDTAL BID (A + B) - is - tziuej Engineering Sewer Water Parks Streets Maintenance MEMORANDUM TO: Jock Robertson, Executive Director - HRA PW88 -110 FROM: Mark L. Burch, Asst. Public Works Director DATE: April 8, 1988 SUBJECT: Remedial Cleanup of the Lake Pointe Development Site Due to spring rains and runoff from the snag melt, we have experienced some erosion problems on the Lake Pointe Development Site. These erosion areas must be repaired to prevent further damage and to make the site ready for the final improvements scheduled for this spring (curb and gutter, street and landscaping) . We have reviewed the damage and obtained quotes from two contractors to perform tl-,Le remedial work necessary to repair the Lake Pointe Site. William B. Miller, Inc. furnished us the lowest quote for this work at $7,500.00. We recommend that the HRA award a contract to William B. Miller, Inc. for $7,500.00 to perform the remedial repair work on the Lake Pointe Development Site. MLB /ts Attachment E ri G7YOF FWDLLY 5-A Y « z IRATE 4 -7 -88 DEPT. Figineeri.ng s. - ._ VENDOR William B. Miller. Inc. COACT Bill Miller ADDS - Anoka 7MEPHONE 571 -3450 SST PER UNIT COST $7 , 500.00 T DEL. DATE 4 -13 to 4 -20 VENDOR Park Construction CONTACT Grecr Welke ADDRESS 7800 Beech St., Fridley TMEPHONE 786 -9800 COST PER UNIT TOTAL, COST $19,300-00 DEL. DATE 1. Purchases under 5100.00 a. No bids or quotes required 2. Purchases 5100 - $5,000 a. At least two (2) written quotes preferred, but (2) telephone quotes accepted. 3. Purchases 55,000 - $10.000 a. At least two (2) written quotes required. 4. Purchases S10.000 - 115.000 a. Sealed bids required - Advertising & Council action not required. S. Purchases over S15, 000 a. Sealed bids required RV/9/83 Engineering Sewer Water Parks Streets Maintenance MEMORANDUM TO: Jock Robertson, Executive Director - HRA PW88 -97 FROM: Mark L. Burch, Asst. Public Works Director DATE: March 30, 1988 SUBJECT: Change Order No. 1 for Ernst Associates Contract We have met with Gene Ernst of Ernst Associates regarding Change Order #1 for their contract with the City for landscape consulting services for the Lake Pointe Development. Mr. Ernst is requesting a $3,100.00 addition to their contract to cover the additional costs incurred by Ernst Associates due to the extended period of time that has been necessary to ccuplete this project. We feel that Ernst Associates has been very responsive to the City's needs and requests on this project and recanoend that the City Council and HRA approve Change Order No. 1 to Ernst Associates for $3,100.00. MLB /ts Attachment CJiYOF FNDLLY 6-A Ernst Associates 25 March 1988 Mr. Mark Burch City of Fridley 6431 University Ave. N.E. Fridley, MN 55432 Ref: Lake Pointe Corporate Centre / Planting & Irrigation / Fridley Dear Mark: By means of this letter I am asking you to consider drafting a change order in the amount of S3,100.00 for additional services in reference to the above mentioned project. The total amount of fees requested in this change order covers only the cost of salaries and does not include any expense, overhead or profit for extra services rendered. I am requesting this change order due to the fact that I feel that the Lakepointe Corporate Centre project has required additional time from our firm for the following reasons: 1. There have been a number of additional trips, inspections and meetings as the project was shut down and then started up. 2. Additional time spent on changes related to pedestrian walkway systems being deleted and relocation of the Keystone walls. 3. Additional time spent on reviewing the deletion of the rip rap in the ponding areas and coming up with alternatives and coordinating plans and changes. 4. Taking time to meet with the various residents to explain the project and ease their concerns about the planting and the proposed development. Did not have this included in our fees but was willing to do it because I felt we had sufficient funds to give you that additional service. S. I was called to the site at least 2 -3 times to approve staking of trees and after checking found that the grading slopes were not at the correct location (west end) and spent time in checking those out to confirm that the grading changes had to be made. After changes had been made in the grading it required returning to the site again to restake plant material the second time. 6. Have made 2 separate complete inventories to find the exact status of the project this spring end earlier last fall. 7. Additional time spent in selecting trees in the metro area due to stockpiling of trees and trees unacceptable at the storage area. B. Due to residents concerned about screening, additional time was spent on relocating and adjusting plant material from amur maple to pine along the 40' buffer. LANDSCAPE ARCHITECTURE ■ LAND PLANNING N 122 WEST SIXTH STREET ■ CHASKA. MINNESOTA 55318 ■ PHONE 612 -448 -4094 Ernst Associates Mr. Mark Burch 25 March 1988 Page 2 M9 i The total breakdown of all of the cost for salaries, expenses, and travel has been enclosed for your review and records. If you will note, on all of our previous invoices we gave you a total rundown on the hours spent by each individual during that billing period. I feel that this request is in order and your consideration would be very much appreciated. If there are any questions please do not hesitate to give me a call. I will be available to meet with the HRA if necessary to answer any questions related to this request. Best regards, ERNS ASSOCIATES Gene F. Ernst GFE:cb Encl. 6 -C Ernst Associates MEMO TO: FROM: DATE: REF: FEES (BILLED) Mark Burch / Gene Ernst (� 29 March 1 � Lake Po' a Cor G. Ernst,Frincipal M. Salzman, Jr. Assoc. L. Edris, Technician T. Wichman, Jr. Assoc. FEES (NOT BILLED) 0. Ernst, Principal Centre (Total Contract $9.225.00) 173.25 hrs. @ $55 = $9,528.00 7.75 hrs. @ $26 = $201.50 18.75 hrs. @ $20 = $375.00 174.75 hrs. @ $26 = $4,543.50 38.0 hrs. @ $55 = $2,090.00 FEES (PROJECTED TO COMPLETE PROJECT) 0. Ernst, Principal TOTAL FEES GENERATED BASED ON OUR RATE SCHEDULE 18.0 hrs. @ $55 = $990.00 $17,728.75 EXPENSES ( Billed & Reimbursed) $372.18 MILEAGE (We do not bill you for this on a lump sum contract - this is one of our overhead costs) 1496 mi.es to date @ = $314.16 I hope this doesn't leave you with an impression that we don't run a "tight ship" at Ernst Associates office, but this project just continued to get out of hand. Sometimes I may give more on a project than I should, but the philosophy of Ernst Associates is to end up with a project that meets our expectations as well as those of our client and the general public. Sometimes we pay to meet those high standards. Thanks for your consideration of our request. LANDSCAPE ARCHITECTURE ■ LAND PLANNING 8 122 WEST SIXTH STREET ■ CHASKA, MINNESOTA 55318 ■ PHONE 612 -448 -4094 6-D PUBLIC WCRRS DEPARTMENT Engineering Division QTY OF FRIDLEY Fridley, Minnesota March 31, 1988 Ernst Associates 322 W. 6th St.. Chaska, MN 55318 SUBJECT: Change Order #1 - Landscape Design Services for Lake Pointe Development Gentlemen: You are hereby ordered, authorized and instructed to modify your contract for additional consulting services by adding the following: Y �I i. Sa s m cl ZR 4 j q w a �i r y Additional Consulting Services 1 Lump Sun $3,100.00 $ 3.100.00 TOTAL CHANGE ORDER NO. 1. . . . . . $ 3,100.00 ORIGINAL CDNIRACT PRICE $ 9,225.00 CHANGE ORDER ND. 1. . . $ 3.100.00 REVISED CON TRACT AMA XNr . $12, 325.00 Submitted and approved by John G. Flora, Public Works Director on the 31st day of March, 1988. Prepared by Checked by John G. Flora, P. E. Public Works Director 6-E Ernst Associates. Page 2 Change Order #1 - Landscape Design Services for Lake Pointe Developnent March 31, 1988 Approved and accepted this day of , 1988 by Ernst Associates ERNST ASSOCIATES GENE ERNSI', HUS IDENT Approved and accepted this Fridley, Minnesota. 3/6/4/6 day of , 1988 by the City Councii of WIU IAM J. WE MAYOR NAS IN M. WRF'SH I, CITY MANAGER 7 Parks Streets Maintenance MEMORANDUM TO: Jock iobertson, Executive Director - HRA PW88 -111 FROM: Mark L. Burch, Asst. Public Works Director DATE: April 8, 1988 SUBJECT: Easement for NSP Underground Line on the Lake Pointe Development Site NSP has an existing overhead power line which crosses the east side of the Lake Pointe Development Site. We have requested that this line be relocated and that it also be buried when the relocation is accomplished. NSP has agreed to relocate the line at no cost to the City but cannot do so until we furnish them with a 10 -foot easement along the east and north property lines. We have asked Sunde Engineering to draft the necessary easement description and will have the easement recorded if the HRA approves the granting of the easement. Please advise the HRA that NSP has material and crews - available to accomplish the work this spring and if they desire to have this line relocated that this is a good time to have the work completed. MLB /ts Attachment AW ri FMDDL LY 3!� I.J �'T a 7 -A - eJ WN c" A j4 Z7 c� 2 0 2 � I, r� d �•il ~� `1'd tt p, 4' XV t _ C11oy, Ohl M-1 _11H ori �.� 14 . F i 1 4 _ 1 � J ' 1, 7h w ? 1� r9' � 1' •� ,! f ID J�h 1 10 y i j 11 =' 9u n.. IL Ic FRIDLEY PLAZA ASSOCIATES A LIMITED PARTNERSHIP March 28, 1988 Members of the Fridley HRA c/o John L. Robertson Executive Director, Fridley HRA 6431 University Avenue Northeast Fridley, MN 55432 Re: Proposed Financing 124 unit market rate apartments Fridley, Minnesota Dear HRA Members: As discussed at the last HRA meeting held Thursday, March 10, 1988, we herein submit the following, a letter of understanding between Louis R. Lundgren and the Fridley HRA for our proposed 124 unit luxury apartment building at the Southwest Quadrant of University Avenue and Mississippi Parkway in the City of Fridley, Minnesota. This letter shall represent the terms of the extension until June 28, 1988, which was requested by Louis R. Lundgren and herein granted by the Fridley HRA, as dis- cussed and authorized at the last HRA meeting. Q u Louis R. Lundgren agrees to: 1. Submit an application to Centennial Mortgage, Inc. within fifteen days of this agreement. 2. During this ninety day extension period, an update to the Market Study will be completed. 3. During this period, upon receipt of a cor- mnitment letter from Centennial Mortgage, Inc., revised pro formal will be submitted. The Fridley HRA agrees to do the following during this ninety day extension period: 1. Not collect on the Letter of Credit. 2. Enter into negotiations with Mr. Lundgren for the terms of a development contract and other documents which may be necessary for the proposed development. 343 East Kellogg Boulevard, sr. paul, minnesota 55101 612 -224 -4765 a-P, Members of the Fridley HRA March 28, 1988 Page Two 3. Upon receipt of commitment letter and revised pro formas, work with Mr. Lundgren to review real estate tax issues and the implications of proposed State legislation reducing property taxes. 4. Continue Mr. Lundgren's exclusive rights to develop entire four phase project during the term of this ninety day extension. Very truly yours, o is R. Lundgren, I Managing General Partne. Fridley Plaza Associates The undersigned, on behalf of the Housing & Redevelopment Authority of the City of Fridley, Minnesota, agrees to the above terms. �1 John L. Robertson Executive Director Fridley HRA LRL:rz Engineering Sewer Water Parks Streets Maintenance MEMORANDUM TO: John G. Flora, Public Works Director PW88 -82 FROM: Mark L. Burch, Asst. Public Works Director DATE: March 22, 1988 SUBJECT: Change Order #3 for Street Improvement Project No. ST. 1986 - 1 & 2, Phase II We are forwarding Change Order No. 3 for Street Improvement Project No. ST. 1986 - 1 & 2, Phase II to the City Council for their consideration and approval. This change order will allow payment of $2,500 to H & S Asphalt, Inc. for remobiliza- tion of their work force to complete the curb, gutter and street improvements on the Lake Pointe site. We feel this remobilization cost is reasonable and recommend that the City Council approve Change Order No. 3 to H & S Asphalt:, Inc. for $2,500. MLB /ts Attachments AW VJ FWDLEY M, SUNDE ENGINEERING, INC. GERALD M. SUNDE, Consulting Engineer 9001 East Bloomington Frwy. • Bloomington, MN 55420 • (612) 881 -3344 March 24, 1988 CITY OF FRIDLEY 6431 University Avenue N.E. Fridley, Minnesota 55421 Attention: Mr. Mark Burch Re: 86 -238, LAKE POINTE CORPORATE CENTRE Dear Mr. Burch: We hereby recommend approval of Change Order No. 3 to City of Fridley Project 86 -1 & 2, Phase 2 for H. & S. Asphalt Co. in the amount of $2,500.00 for additional costs associated with ex- tending the Contract into this year's construction season. Sincerely, SUNDE ENGINEERING, INC. Paul T. Swenson, Engineer PTS /sg PUBLIC WORKS DEPMmun 9 -B Engineering Division CITY OF FRILILEY Fridley, Minnesota March 28, 1988 H & S Asphalt, Inc. 1700 Industry Blvd. Anoka, Mil 55303 S)BJECr: Change Order #3 - Street Improvement Project No. ST. 1986 - 1 & 2, Phase II of Gentlemen: You are hereby ordered, authorized and instructed to modify your contract for Street Improvement Project No. ST. 1986 - 1 & 2, Phase II by adding the following: RQnobil ization for the 1988 Construction Season Lump Sum $2,500.00 $ 2.500.00 7MAL CRINGE ORDER ND. 1. . . . . . $ 2#500* 00 ORIGINAL ODNM7 ACP PRICE . . . . . . . . . $368,054.10 CHANGE ORDER ND. 1. . . . . . . . . . . .$ 17,250.00 CHANGE ORDER N0. 2. . . . . . . . . . . .5 21460.00 CHANGE ORDER ND. 3. . . . . . . . . . . .$ 2.500.00 REVISED ODNIRACr AMOUNT . . . . . . . . .5390,264.10 Submitted and approved by John G. Flora, Public Works Director on the 28nd day of March, 1988. Prepared by Checked by John G. Flora, P. L Public Works Director H & S Asphalt, Inc. 9 -C Page 2 Change Order #3 - project No. ST. 1986 - 1 & 2, phase II March 28, 1988 Approved and accepted this day of , 1988 by H & S Asphalt, Inc. H & S ASPHALT/p, INC. bUL. a_ -" William B. Miller, President Approved and accepted this day of , 1988 by the City Council of Fridley, Minnesota. WnIIAM J. NEE MAYOR NAS M M. QURESSHI, CITY MANAGER 3/6/4/6 Engineering Sewer Water Parks Streets Maintenance MEMORANDUM TO: Jock Robertson, Executive Director - HRA PW88 -112 FROM: Mark L. Parch, Asst. Public Works Director DATE: April 8, 1988 SUBJECT: Nature Center Fence Project #180 In order to prevent further damage to the southern portions of the Springbrook Nature Center by four -wheel drive vehicles and motor bikes and prevent dumping of trash, we are installing a fence to control access to the park. This fence will also secure the detention ponds constructed within the park in and around the southern boundary. We have awarded a contract to Crowley Fence Company for $21,595.75 for the construction of a fence. along the southern and part of the eastern boundary of the Nature Center. Please advise the HRA of our plans for this security fence for the Nature Center Park. MLB /ts /_ CnYOF FPJDLEY 1 Page 1 of 2 The Housing and Redevelopment Authority In and for the City of Fridley City of Fridley 6431 University Avenue NE Fridley, Minnesota 55432 Attention: Jock Robertson, City Planner RE: 1001 Hillwind Road Lot: 3 Addition: Aud Sub NO 25 Plat: 54155 941 Hillwind Road Lot: 1 Blk: 1 Addition: Hillwind Plat: 56217 Hillwind Office Plaza Approx. 33,000 sq. ft., 3 story office complex with a cost of approximately $1,980,000.00. Dear Mr. Robertson, Subsequent to our discussion I submit to you the Development Package for you to present to the Housing and Redevelopment Authority In and for the City of Fridley, on April 14, for their perusal and consideration. This following numerically outlines the specific objectives of a development package that are essential to achieve the redevelopment of the above documented Project Area: Development Package 1. Recommendation of rezoning of Lot: 3 Aud Sub No. 25 to CR -1 for redevelopment. 2. Development part of City's Redevelopment Project and designated as a Tax Increment Financing District. 3. HRA to enhance development by: - -A site survey according to AIA Document G 601 - -Site borings at 3 or 4 exact locations - -A civil engineer consultant to do a drainage plan showing all utility connections and services available, i.e., electrical, gas, water storm -- Public Improvements, demolition and site preparation, etc; -- Installation of development infrastructure -- Installation of parking lot, curbing; etc. -- Installation of sewer and water 11 A Page 2 of 2 4. HRA recommendation to purchase the property - Lot: 3 Aud Sub No 25 and Lot : 1 Blk: 1 Hillwind Addition (as described above) from fee owner at an agreed price, and sell back, at a reduced price, to fee owner on a second mortgage at 8% per annum (length of bonds or mortgage). 5. Recommendation that the City of Fridley sell IDB's to assist the developer to fiance projects costs. 6. Any other assistance HRA can offer. As a point of information, and also, a issue we discussed at our first meeting; was that a contract for private development by and between the Housing and Redevelopment Authority in and for the City of Fridley and Fehling, Fehling, and Nybo (now Stinski), was previously committed to in 1982. This development contract was for the redevelopment of the project area legally described on page one. Your attention and consideration to this development package is very much appreciated. Sincerely, OCheryl Stins 1612 Berne Circle Fridley, Minnesota Y W ■ 1 1 L i I i= 3 C y i s � i lip = i •3 _ LO �-, a N � O ON e -t�1 •4 J �„ • I � f" � is I C = I 1 gYYg1— T I _a r 4 O•• 1 � � I i`F ". — LL�_�-- /I� _� �O� •4th =.';mot �.�:,�.;;;�•'"�`;-, �-.� - ,fit:':.• ° .� ���� r Y m C -aim, , ' v i N I 0 FM t�\l .4 � i am r r A 8 f 0 , I I I - 1- s r SITE PLAN 11 C FLOOR PLAN ` JIO ?�N I c a � 0 i 3 _ � 1f Y � S u° a i I d �O-L5 po oz y e N � �1 d d W ' Z! 'A 66 z FLOOR PLAN 11D ELEVATION • ii a • i � I i fa ' ra , t !z� .o: Zl ELEVATION W C LA I MS 1731 - 1737 AW ®s ENGINEERS I ARCHfTECTS ■ PLANNERS _Z, STLlT7rF 7 �q,__, tit- nn`dE5OTAS51'7 e!2 484-n272 City of Fridley 6431 University Ave. N.E. Fridley, MN 55432 ATTN: John Flora Director of Public Works 12 -A INVOICE March 15, 1988 T.H. 65 /LIGHTING INVOICE NO 1636 SEH FILE NO. 84142.02 FOR PROFESSIONAL SERVICES. FOR PERIOD JANUARY 24 THRU FEBRUARY 20, 1988 For T.H. 65 street lighting from I -694 to Rice Creek Road. Project Manager 1.0 hrs @ $55.58/hr = TOTAL AMOUNT DUE AND PAYABLE THIS INVOICE . . . . . . . . MAXIMUM FEE: $6,375.00 INVOICED TO DATE: $4,622.43 �i�t�e s� .�Cisr�t�ssn#at, ss COUNTY OF RAMSEY, CITY OF SAINT PAUL Donald E. Lund In said County and State. being duty sworn. on cath, says. that he is Vice President of the Shon- Elllon- Hendrickson. Inc., that the foregoing account is just and true; that the services therein charged were actually rendered. and of the value therein charged; that the fees or amounts charged therefore are such as are allowed by Law; and that no pan of such account has been pad Subscnbed and sworn to before me this My commission expires SHORT ELLIOTT HENDRICKSON INC day of 19 19 ST PAUL, MINNESOTA $55.58 $55.58