4.6.
Economic Development Authority (EDA)
- Meeting Date:
- 03/09/2017
- Submitted For:
- Patrick Brama
- By:
- Patrick Brama, Administrative Services
Title
Consider Various Approvals Related to Reassignment of Lifestyle Properties, Inc. Purchase Agreement to Morning Sun Homes, Inc.
Purpose/Background:
PURPOSE
Bill Gleason (Lifestyle Construction) desires to reassign the attached purchase agreement (PA) to Morning Sun Homes, Inc. Please see attached cover letter and reassignment agreement (PA Amendment #3). In order for a reassignment of purchase agreement to occur, the City of Ramsey must provide written approval to Mr. Gleason (and Morning Sun Homes).
Staff considers this case to be administrative. We need to make sure we have proper documentation/ final form agreements, ready-to-go, to allow us to close on the sale of this property. As a result of this proposed change of ownership, we need to update:
BACKGROUND
The City entered into a purchase agreement for the sale of roughly 3-acres of city owned land to Lifestyle Construction (Bill Gleason) on May 31, 2016 for what is commonly referred to as the "U-shaped" residential parcel located in The COR. This agreement was set to close by September 26, 2016 (10 days after the September 16 inspection period deadline). The PA was approved for an extension to close (via two amendments). The agreement is now set to close by March 16, 2017.
Bill Gleason (Lifestyle Construction) desires to reassign the attached purchase agreement (PA) to Morning Sun Homes, Inc. Please see attached cover letter and reassignment agreement (PA Amendment #3). In order for a reassignment of purchase agreement to occur, the City of Ramsey must provide written approval to Mr. Gleason (and Morning Sun Homes).
Staff considers this case to be administrative. We need to make sure we have proper documentation/ final form agreements, ready-to-go, to allow us to close on the sale of this property. As a result of this proposed change of ownership, we need to update:
(1) Purchase Agreement
(2) Resolution for Anoka County Recorders Office
(3) Right-of-Re-Entry Agreement
(2) Resolution for Anoka County Recorders Office
(3) Right-of-Re-Entry Agreement
BACKGROUND
The City entered into a purchase agreement for the sale of roughly 3-acres of city owned land to Lifestyle Construction (Bill Gleason) on May 31, 2016 for what is commonly referred to as the "U-shaped" residential parcel located in The COR. This agreement was set to close by September 26, 2016 (10 days after the September 16 inspection period deadline). The PA was approved for an extension to close (via two amendments). The agreement is now set to close by March 16, 2017.
Site History/ Site Information/ Property Listing
For detailed information on this site, please see 05/10/2016 Council regular meeting agenda (review of purchase agreement). This case was last reviewed by the Council on 01/10/2017, at which time they approved an extension to the purchase agreement (term).
Developer/ Proposed Project
For detailed information on the developer and proposed project, please see 05/10/2016 Council regular meeting agenda (review of purchase agreement). Also, please see 01/05 Planning Commission meeting agenda--case #2, Preliminary Plat.
Project Update
Mr. Gleason (the developer) has run into a handful of challenges in site design (which, were expected due to the characteristics of this site). As a result, he has taken longer to complete the entitlement process than originally expected (i.e. City platting process). He is still proposing a 12-unit, rambler style, detached, single family, association-type product.
It appears the project is moving forward. Sketch plan came forward in November--and was given the go ahead by the Planning Commission and City Council. Preliminary Plat was reviewed by the Planning Commission on 01/05. The Council will likely review Preliminary/ Final Plat at this meeting (03/14/2017).
For detailed information on this site, please see 05/10/2016 Council regular meeting agenda (review of purchase agreement). This case was last reviewed by the Council on 01/10/2017, at which time they approved an extension to the purchase agreement (term).
Developer/ Proposed Project
For detailed information on the developer and proposed project, please see 05/10/2016 Council regular meeting agenda (review of purchase agreement). Also, please see 01/05 Planning Commission meeting agenda--case #2, Preliminary Plat.
Project Update
Mr. Gleason (the developer) has run into a handful of challenges in site design (which, were expected due to the characteristics of this site). As a result, he has taken longer to complete the entitlement process than originally expected (i.e. City platting process). He is still proposing a 12-unit, rambler style, detached, single family, association-type product.
It appears the project is moving forward. Sketch plan came forward in November--and was given the go ahead by the Planning Commission and City Council. Preliminary Plat was reviewed by the Planning Commission on 01/05. The Council will likely review Preliminary/ Final Plat at this meeting (03/14/2017).
Notification:
NA
Observations/Alternatives:
Morning Sun Homes Inc. is in a "active/good standing" with the State of Minnesota Secretary of State (registered business). Here is a link to their website: http://www.morningsunhomes.com/index.html.
Funding Source:
NA
Recommendation:
NA
Action:
Motion to recommend the City Council:
(1) Approve the attached Purchase Agreement Amendment #3; reassigning the agreement to from Lifestyle Properties, INC. to Morning Sun Homes, Inc.
(2) Adopt the attached Resolution #17-03-050; Authorizing the Sale of City Owned Land to Morning Sun Homes, Inc.
(3) Approve the attached "Right-of-Re-Enrty" Agreement with Morning Sun Homes, Inc.
(2) Adopt the attached Resolution #17-03-050; Authorizing the Sale of City Owned Land to Morning Sun Homes, Inc.
(3) Approve the attached "Right-of-Re-Enrty" Agreement with Morning Sun Homes, Inc.
Attachments
- Resolution 17 03 050
- Right of Re Entry Agreement
- PA Amendment #3
- PA Amendment #2
- PA Amendment #1
- PA (original)
- Prelim PLAT
- Request Letter
Form Review
| Inbox | Reviewed By | Date |
|---|---|---|
| Kurt Ulrich | Kurt Ulrich | 03/06/2017 10:22 AM |
- Form Started By:
- Patrick Brama
- Started On:
- 02/20/2017 01:31 PM
- Final Approval Date:
- 03/06/2017