HomeMy WebLinkAbout16-126 - ADMIN Resolution - City Council - 2016/10/17RESOLUTION NO. 16-126
RESOLUTION APPROVING AN ASSIGNMENT AND SUBORDINATION OF
AMENDED AND RESTATED CONTRACT FOR PRIVATE
REDEVELOPMENT BETWEEN THE CITY, THE ST. LOUIS PARK
ECONOMIC DEVELOPMENT AUTHORITY, ACSLP, LLC,
AND JOHNSON BANK
BE IT RESOLVED By the City Council ("Council') of the City of St. Louis Park ("City")
as follows:
Section 1. Recitals.
1.01. The St. Louis Park Economic Development Authority (the "Authority") currently
administers Redevelopment Project No. 1 ('Project') within the City, pursuant to Minnesota Statutes,
Sections 469.001 to 469.047 ("HRA Act'), and within the Project has established the West End Tax
Increment Financing District ("TIF District').
1.02. The City, Authority and ACSLP, LLC (the "Redeveloper," as Assignee pursuant to
an Assignment and Assumption of Redevelopment Contract dated May 8, 2015) are parties to that
Amended and Restated Contract for Private Redevelopment dated as of May 17, 2010, as amended
by a First Amendment to Amended and Restated Contract for Private Redevelopment dated as of
November 21, 2011, a Second Amendment to Amended and Restated Contract for Private
Redevelopment dated as of May 8, 2015, and a Third Amendment to Amended and Restated
Contract for Private Redevelopment dated as of May 2, 2016 (as so amended, the "Contract').
Pursuant to the Contract, the Redeveloper is obligated to construct a hotel ("CPW Phase IIF') on
certain property within the TIP District (the "Redevelopment Property").
1.03. The Redeveloper proposes to enter into a loan agreement with Johnson Bank (the
"Lender") for certain mortgage financing related to CPW Phase III to be constructed on the
Redevelopment Property, and has requested that the City and Authority approve an Assignment and
Subordination of Contract for Private Redevelopment (the "Assignment') as authorized pursuant to
Section 7.2 of the Contract.
1.04. The Council has reviewed the Assignment and finds that the approval and execution
of the Assignment are in the best interest of the City and its residents.
Section 2. City pproval; Other Proceedings.
2.01. The Assignment as presented to the Council is hereby in all respects approved, subject
to modifications that do not alter the substance of the transaction and that are approved by the Mayor
and City Manager, provided that execution of the Assignment by such officials shall be conclusive
evidence of approval.
2.02. The Mayor and City Manager are hereby authorized to execute on behalf of the City
the Assignment and any other documents requiring execution by the City in order to cant' out the
transaction described in the Assignment.
2.03. City staff and consultants are authorized to take any actions necessary to carry out the
intent of this resolution.
No. 16-126 -2-
the City Council October 17, 2016
Manager
�Attest
Y
Mel's a Kennedy, WE&k