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Home My WebLink About1979/04/24 - ADMIN - Minutes - City Council - Joint1. 2. MINUTES JOINT CITY COUNCIL/HOUSING & REDEVELOPMENT ST. LOUIS PARK, MINNESOTA April 24, 1979 Call to Order Roll Call AUTHORITY The meeting was called to order by Chairman Glotter at 7:05 p.m. The following Councilmen were present at roll call: Martha Elstrom John Ralles Ronald Backes Jerrold Martin The following Housing Authority Commissioners were present at roll call: Dudley Moylan Thomas Williams Joel Glotter Commissioner Heltzer arrived at 7:30 p.m.; Councilman Hanks arrived at 8:30 p.m. Also present were the City Manager and Executive Director. 3. Development Proposals Chairman Glotter explained the Council and Authority, at their meeing of March 27, 1979, reviewed the initial development proposals of the Darrel Farr Develop- ment Corporation, Diversified Equities Corporation and Chem-Care, Inc., for a 3-acre parcel located on Park Center Boulevard. He continued staff has completed its f inal review of the proposals including analysis of site planning, development impacts to property in the immediate area, public costs. associated with the development and refinement of the tax increment revenues or other relevant financial factors. Referring to the original analysis of the three development ptoposals and the supplemental� report submitted to the Council and Authority, the Executive Director presented the final analysis of each proposal. Regarding the proposal of�Diversified Equities Corporation, Joe1 Glotter questioned how such a development would relate to the City's Housing Assistance Plan. In response, the Executive Director explained the Housing Assistance Plan provides for approximately 150 units for the elderly. A proposal previously submitted for funding, east of City Hall, would meet the needs of the City for approximately three years. Regarding the proposal of Chem-Care, Inc., the Executive Director explained the original design provided for extension of the existing building to the north with a one-story link to a seven-story office building. He added that a new design had b'een submitted on this date which expanded the original design from 62,000 square feet to 91,000 square feet; such expansion would produce a greater tax i,ncrement. He added, however, there is potential for tax abatement as a result of the proposed occupancy. -115- -f � fl__�;= - : City Council/Authority Minutes April 24, 1979 resenting Chem-Care, distributed a summary of the new Harry Garrish, reP ro osin this Iocation as ro osal. He exp.lained Chem-Care is p p g design p P requ�ring an additivnal 30,000 square feet for its natio�al off ice, office space and 10,000 square feet for medical c�re. The propose structure would be eleven stories with a two-story parking ramp. He further explained the development would billionlwith anoverallatax� Phase 1 costing $650,000; Phase 2, $5.2 m increment of $250,000. In res�onse to a question from Joe1 G1ott�TialarevenuerbondsXand�may need the developer. would seek tax exempt indus assistance from the City to relocate theedtf or relocationeofrthe�storm cation of the site plan may eliminate n sewer. In response to a question from Councilman Backes, Harry Garrish described examples of the developer's experience in construction. In response to a question from Jim Heltzer, Harry Garrish explained the �, expanded facility would have no direct relationship with the St. Louis Park Medical Center; however, there may be some benefit to assembling medical-related buildings in a general proximity. _ __ $► ---_ � �� In a response to a question from Joel Glotter, Harry Garrish exp],ained the interim between Phase 1 and Phase 2 construction would be approximately one to two years. Regarding the proposal of the Darrel Farr Aevelopment Corporation, Tom Williams questioned the proposed developmen� schedule. Darrel Farr explained he has commissioned an architect who has prepared plans for the site and could t�e under constructio�n within 60 days of f inal approval and permits. In response to a question from Councilman Baekes, Darrel Farr stated the project is predicated on Council approval of industrial revenue bonds for this purpose. Philip Eder, representing the Excels�or Boulevard Advisory Committee, explained the Committee voted unanimously to support the proposal of the Darrel Farr Development Corporation. He explained that while the Chem-Care proposal had merit, it was felt that residential use would be more beneficial than commercial or off ice; howevex, the Cotmnittee would not be adverse to the City further studying the Chem-Care proposal. In response to Councilman Martin, the Executive Director explained each developer proposes to negotiate and purchase the nec�ssary land without City involvement. Following discussion regarding a suggestion to study the revised proposal of Chem-Care Inc., it was moved by Commissioner Heltzer, seconded by Councilman Ralles, to table action on the three development proposals. The motion failed. - 116- �. � � f 6 �a � , _ -a �.,. . City Caunc il/Auttlority Minutes April 24, 1979 It was moved by Council.man Elstrom to eliminate the proposal of Diversified Equities Incorporated and table the remaining two proposals. There was no second to the motion. It was moved by Commissioner Heltzer, seconded by Commissioner Moylan, to authorize preparation of a letter of intent to the Darrel A. Farr Development Corporation for a 126-unit condominium apartment. In response to Councilman Backes and Conmlissioner Heltzer, the Executive Director explained that a letter of intent could be drafted and returned to the Council and Authority at their next regular meeting. There was discussion regarding the proposed use of tax exempt mortgage revenue bonds and whether this procedure would be allowed. It was agreed this question would likely be resolved by action of the Minnesota Legislature. Commissioner Heltzer stated that while he would prefer to wait 30 days to explore the revised proposal of Chem-Care Incorporated, he believes both �roposals appeared to hade merit and would support the desire of the Authority, Council and Excelsior Boulevard Task Force. The motion passed 8-0-1 (Councilman Hanks abstained). 4. Marketing Plan City water tower. Description of marketing plans and activity for site on Excelsior Boulevard near the On questions from Chairman Glotter, the Authority's Renewal Development Director reviewed a report describing the marketing plan for a hotel at this location. He explained potential developers have been contacted with- out success. The Executive Director presented a financial projection for three alternative development plans of variable intensity. There was considerable discussion regarding the need for a market study pertaining to a hotel and whether development of a motor hotel would be the best use €or this site. Commissioner Heltzer stated that if after some attempt to market this property it becomes ap�arent that a motel is not successful, an alternative should be available. • � Councilman Hanks expressed concern regarding intensifying the development �in density, without'addressing the traff ic problems at this location. Councilman Elstrom suggested consideration be given to other sites within the district for this use, thereby allowing a potential for smaller de�velop- ments which could be supported by the.existing market. 5. Water Committee The Executive Director status of�the proposed prablems and issues at currently being sought. The status Committee. report on proposed Water Quality a�lvised the Council and Authority of the current development of a Water QulainedCthattmembersSarey Oak Park Village. He exp -117- � CiCy Coun�il/Autl�ority April 24, 1979 Minutes 6. A_d^�znment of Jnint Mee�in no further discussion, the ' There being , Joint meeting o�f the City Council and Housing Rede��elo me�� Authority was adjourned at 9:20 p,m, . Tabulation of bids for public safety radio 7, Tabuiation o� B�ds transmission- seconded by Councilman Ralles, to It was moved by Councilman Elstrom, ora�ed as the lowest responsible ' nate General CommunicaCions Incorp . deslg e of $5,764 for dismantlement of the existing radio bidder at the rata�ion of a temporary transmitting tower and the pertinent tower and �-nSHall• work at City The motion passed 5-0. g, Adjournment The motion passed 5-0. Mark `sather Recording Secretary It was moved by Councilman Elstrom, secundpd by Councilman Backes , to adj ourn the City Council meeting at 7:22 P•m• ] Mayor -i�.s- ,