4.3.
Economic Development Authority (EDA)
- Meeting Date:
- 06/02/2016
- Submitted For:
- Patrick Brama
- By:
- Patrick Brama, Administrative Services
Title:
Future Business Park (Right of First Refusal Agreement to Purchase Real Estate)
Purpose/Background:
PURPOSE
Consider approving the attached agreement (Right of First Refusal Agreement) for land owned by Pearson Properties located in the city's future business park.
BACKGROUND
The EDA and City Council reviewed a case RE the city's future business park in May (please see attached alternatives for a summary, please see case memo, and case minutes, for details).
Below is a summary of direction received:
---If the Pearson property is removed from the business park, the City will reconsider participation in funding arterial infrastructure improvements to serve the Pearson property.
---Alternative #2: help market and facilitate a sale of the Pearson property to a private developer/ investor. If that avenue is exhausted (try for 6 months), the City would be willing to consider potentially purchasing.
---Alternative #3: continue to work with (and monitor) Hageman Holdings on the development of their school site. This option may result in surplus land, available to be converted for a business park.
Consider approving the attached agreement (Right of First Refusal Agreement) for land owned by Pearson Properties located in the city's future business park.
BACKGROUND
The EDA and City Council reviewed a case RE the city's future business park in May (please see attached alternatives for a summary, please see case memo, and case minutes, for details).
Below is a summary of direction received:
---If the Pearson property is removed from the business park, the City will reconsider participation in funding arterial infrastructure improvements to serve the Pearson property.
---Alternative #2: help market and facilitate a sale of the Pearson property to a private developer/ investor. If that avenue is exhausted (try for 6 months), the City would be willing to consider potentially purchasing.
---Alternative #3: continue to work with (and monitor) Hageman Holdings on the development of their school site. This option may result in surplus land, available to be converted for a business park.
Notification:
NA
Observations/Alternatives:
NA
Funding Source:
NA
Recommendation:
The attached agreement does not obligate the city to purchasing the Pearson Property. The attached agreement does not cost the city anything. The attached agreement provides the city an opportunity to purchase the Pearson Property.
Why is this important?
Based on direction received by the EDA/ Council in May, this case would possibly not come back to the City until November/December 2016. In the meantime, Pearson Properties could sell their land to a different party. Said party may have a vision to pursue development based on the current zoning (i.e. residential and retail). This agreement allows the city, if they so desire, to consider avoiding said situation (via a potential purchase).
Why is this important?
Based on direction received by the EDA/ Council in May, this case would possibly not come back to the City until November/December 2016. In the meantime, Pearson Properties could sell their land to a different party. Said party may have a vision to pursue development based on the current zoning (i.e. residential and retail). This agreement allows the city, if they so desire, to consider avoiding said situation (via a potential purchase).
Action:
Motion to recommend the City Council
Approve the attached Right of First Refusal Agreement to Purchase Real Estate; subject to review and amendments by the City Attorney.
Approve the attached Right of First Refusal Agreement to Purchase Real Estate; subject to review and amendments by the City Attorney.
Attachments
Form Review
| Inbox | Reviewed By | Date |
|---|---|---|
| Kurt Ulrich | Kurt Ulrich | 05/27/2016 12:17 PM |
- Form Started By:
- Patrick Brama
- Started On:
- 05/24/2016 03:39 PM
- Final Approval Date:
- 05/27/2016