HomeMy WebLinkAbout05-01 - ADMIN Resolution - Economic Development Authority - 2005/01/03ST. LOUIS PARK ECONOMIC DEVELOPMENT AUTHORITY
EDA RESOLUTION NO. 05-01
RESOLUTION APPROVING EXECUTION OF A CONTRACT FOR
PRIVATE DEVELOPMENT INCLUDING SALE OF REAL ESTATE
BETWEEN THE ST. LOUIS PARK ECONOMIC DEVELOPMENT
AUTHORITY AND 4100 VERNON DEVELOPERS LLC
BE IT RESOLVED By the Board of Commissioners ('Board") of the St. Louis Park
Economic Development Authority ("Authority") as follows:
Section 1. Recitals.
1.01. The Authority has determined a need to exercise the powers of a housing and
redevelopment authority, pursuant to Minnesota Statutes, Sections. 469.090 to 469.108 ("EDA
Act"), and is currently administering Redevelopment Project No. 1 ("Redevelopment Project")
pursuant to Minnesota Statutes, Sections 469.001 to 469.047 ("HRA Act").
1.02. There has been presented before the Authority a Contract for Private Development (the
"Contract") between the Authority and 4100 Vernon Developers LLC ("Redeveloper"), setting
forth the terms and conditions under which the Authority will sell the property described therein,
located in the Redevelopment Project and commonly known as the Brookside School Property
("Redevelopment Property") described on Exhibit A.
1.03. The Contract will provide for the sale of the Redevelopment Property to the
Redeveloper for construction of a residential project, contingent on the Authority accepting the
Assignment and purchasing the Redevelopment Property from the School District.
1.04. Pursuant to the Contract, the Authority is providing project assistance for the
redevelopment of the Redevelopment Property, which is underutilized property in the City, for 46
units of owner -occupied housing, consisting of 27 condominiums, 14 townhouses (or 41
condominiums), and 5 single-family homes.
1.05. That certain Assignment among the Authority, St. Louis Park District 283 (the
"District"), and Foundation Land Development LLC ("Foundation"), is an integral element of the
pending transaction between the Authority and Redeveloper as described in the Contract. The
Assignment provides in part, that the City will assume the rights and obligations of Foundation set
forth in a purchase agreement for the sale of the Redevelopment Property between Foundation and
the School District ("Purchase Agreement"), which among other things, obligates Foundation to
purchase the Redevelopment Property from the School District. Upon accepting the Assignment,
the Authority will be obligated to purchase the Redevelopment Property from the School District.
Acceptance of the Assignment and the Authority's obligations thereunder are contingent on
execution of the Contract, which requires sale of the Redevelopment Property to the Redeveloper.
1.06. The Assignment is contingent on the execution of the Contract and the sale of the
Redevelopment Property to the Redeveloper; the Contract is contingent on the execution of the
Assignment and the sale of the Redevelopment Property to the Authority. The closing on the
Purchase Agreement and the sale of the Redevelopment Property to the Redeveloper as provided in
the Contract are to be contemporaneous.
EDA Resolution No. 05-01 -2-
1.07. The Board has reviewed the Contract and finds that the execution thereof and
performance of the Authority's obligations thereunder are in the best interest of the City and its
residents.
Section 2. Authority Approval; Further Proceedings.
2.01. The Contract as presented to the Authority, including the sale of the Redevelopment
Property to the Redeveloper, is hereby in all respects approved, subject to modifications that do not
alter the substance of the transaction and that are approved by the President and Executive Director,
provided that execution of the documents by such officials shall be conclusive evidence of approval.
2.02. The approval of the Contract as provided in section 2.01 is expressly contingent on
the Authority and the Redeveloper closing on the sale of the Redevelopment Property to the
Redeveloper as provided in the Contract, and on the execution of the Assignment and the purchase
of the Redevelopment Property by the Authority.
2.03. The President and Executive Director are hereby authorized to execute on behalf of
the Authority the Contract and any documents referenced therein requiring execution by the
Authority, and to carry out, on behalf of the Authority its obligations thereunder.
Approved by the Board of Commissioners of the St. Louis Park Economic Development
ty this 3rd day of January, 2005.
Administration Adopted by the Economic Development Authority
January 3, 2
bet6r President
Attest:
,Wcretary
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EXHIBIT A
LEGAL DESCRIPTION OF REDEVELOPMENT PROPERTY
Lots 1 and 2 Block 1; Outlots A and B, Block 1; and Lots 1 through 5, Block 2,
Brookside Lofts