Consider Extension of CBRE Real Estate Listing Agreement for City Owned Land in COR 

The purpose of this case is to consider extending the listing agreement with CBRE for some of the City owned land held for resale. The City currently lists some of its own property utilizing Costar/Loopnet and MNCAR through the Anoka County access agreement. City Staff has been satisfied with the work of Brian Pankratz with CBRE on the current listings and we communicate frequently.    The proposed listing agreement with CBRE would be from February 2, 2026 - January 31, 2027.  It should be noted that CBRE only lists some city-owned property in the COR and does not list properties outside the COR. City-owned properties outside the COR are listed on Loopnet and MNCAR.

There is currently one pending purchase agreement on CBRE listed parcels. The pending purchase agreement is for Parcels 46c with Roer's (Mixed Use - apartment project - CITY LEAD).  In 2025, the City closed on the Capital Real Estate (Taco Bell, Chipotle) site (46d - Sold $981,000) Taco Bell opened in late 2025 and Chipotle is expected to open sometime in March 2026.  Construction is completed on the 98-unit Hilton Home 2 Suites Hotel and more construction is underway for the 108-unit detached town home project by Centra on parcel 46a.   CBRE has been listing and marketing Parcels 50c, 46c, 47f, and 48c.(See attached COR Parcel Map) Development interest has increased for Parcel 50c due to the completion of construction of the interchange on Hwy 10 at Ramsey Boulevard with interest from a large format retailer.  This site, when combined with the PSD site next to the Medical Examiners Office has challenges based on the 88 -inch Stormwater pipe located over the potential extension of Peridot Street NW.  Staff has met with CBRE and has re-evaluated land listing pricing with no changes outlined below under Observations.  For the 2026 Listing Agreement with CBRE no new parcels have been added or subtracted.  Having a reputable company like CBRE helps broadcast our available sites to a large group of contacts/clients as noted in the 2026 City of Ramsey Land Review and 2026 Prospect List provided by CBRE.  Brian Pankratz from CBRE will provide a market update presentation and be present to answer questions the EDA might have about market conditions and marketing strategies moving forward.

None required

The listing agreement is proposed to be extended 1 year to January 31, 2027. All other terms and conditions remain the same as July 10, 2019, Listing Agreement. The following parcels (and current status) are included in the proposed attached listing agreement with CBRE below:

Proposed CBRE Listing Parcels
Alternatives:
1) Recommendation to City Council to Approve Listing Agreement with CBRE (as presented)
2) Recommendation to City Council to Approve Listing Agreement with CBRE (with changes)
3) Recommendation to City Council to not Utilize CBRE Listing Services and to have Staff List all Properties
4) Something Else
 

There is no immediate or initial up-front costs. CBRE is only paid at time of sale, and a commission is deducted from the gross sales price rather than an hourly rate. In addition, Staff previously negotiated a reduction of commission from 5% to 3% for City generated leads on CBRE listed property which continues in this Listing Agreement term.

Staff recommends approval of the Listing Agreement with CBRE from February 2, 2026 - January 31, 2027 as presented. 

Motion to recommend to City Council approval of the Listing Agreement with CBRE from February 2, 2026 - January 31, 2027 as presented.