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HomeMy WebLinkAbout2023/07/17 - ADMIN - Minutes - Economic Development Authority - RegularOfficial minutes EDA meeting St. Louis Park, Minnesota July 17, 2023 St. Louis Park, Minnesota 1.Call to order. President Mohamed called the meeting to order at 6:00 p.m. a.Roll call. Commissioners present: President Nadia Mohamed, Tim Brausen, Sue Budd, Yolanda Farris, Margaret Rog, Jake Spano Commissioners absent: Lynette Dumalag Staff present: Deputy executive director (Ms. Walsh), economic development coordinator (Mr. Hunt), finance director (Ms. Cruver), community development director (Ms. Barton), housing supervisor (Ms. Olson) city attorney (Mr. Mattick), redevelopment administrator (Ms. Monson), planning manager (Mr. Walther) 2.Approve agenda. It was moved by Commissioner Spano, seconded by Commissioner Rog, to approve the EDA agenda as presented. The motion passed 6-0 (Commissioner Dumalag absent). 3.Minutes. a.EDA meeting minutes of June 5, 2023 It was moved by Commissioner Rog, seconded by Commissioner Brausen, to approve the EDA meeting minutes of June 5, 2023, as presented. The motion passed 6-0 (Commissioner Dumalag absent). 4.Consent items. a.Approval of EDA disbursement claims for the period ending June 30, 2023 b.Resolution No. 23-15 approving a subordination agreement for Honey & Rye Bakehouse c.Amendment to the redevelopment contract – Central Park West LLC (Ward 4) (This item was removed from consent and placed on the agenda under regular business as item 6a.) DocuSign Envelope ID: 2F87D0D4-0679-429D-BC73-74A04D0C4B44 - 2 -Economic development authority Commissioner Brausen asked to move 4c from consent to discuss further under regular business. It was moved by Commissioner Brausen, seconded by Commissioner Farris, to approve consent items 4a and 4b, to move consent item 4c to regular business as item 6a, and to waive reading of all resolutions. The motion passed 6-0 (Commissioner Dumalag absent). 5.Public hearings. a.Purchase Agreement and Business Subsidy with Sherman Associates related to the Beltline Station market rate components. •Proposed amendment to the purchase agreement with Beltline Station LLC •Proposed business subsidy with Beltline Station LLC Ms. Monson presented the staff report. Commissioner Rog noted she will address her questions at the July 24, 2023, meeting and focus on the public hearings this evening. President Mohamed opened the first public hearing on the proposed amendment to the purchase agreement with Beltline Station LLC. No members of the public were present to speak. President Mohamed closed the first public hearing. President Mohamed opened the second public hearing on the proposed business subsidy with Beltline Station LLC. No members of the public were present to speak. President Mohamed closed the second public hearing. Formal action by the EDA is scheduled to take place at the July 24, 2023, meeting. 6.Regular business. a.Resolution approving amendment to the redevelopment contract – Central Park West LLC Commissioner Brausen stated this is a motion to amend the contract relating to phase 5 of the Central Park West development. He stated the construction was going to begin in April 2023 and be completed by September 30, 2024 according to the terms of that a greement. He explained that because of conditions of commercial rental market and increased costs of construction, the developers asked the city to extend the construction dates to April 21, 2026 through September 28, 2026. He supports this request, noting how the West End development process began in 2010 July 17, 2023 DocuSign Envelope ID: 2F87D0D4-0679-429D-BC73-74A04D0C4B44 - 3 - Economic development authority and has been a slow process. He added COVID changed the commercial rental market as well. He stated the fact that the developers were able to construct 10 West End and lease it out is commendable in the depressed commercial rental conditions and a surplus of open lease space. Commissioner Brausen added it makes sense to allow this development to proceed slower and he will support it. Commissioner Budd asked what the situation will be if the completion date is pushed out and conditions have not changed. Mr. Hunt noted staff will have to assess the market and economy at that time and will take these into consideration before bringing it back to the EDA. Commissioner Spano stated this is a good question and when challenges have come up in the past, the city has tried to take a creative approach to better balance what is occurring in the market. It was moved by Commissioner Brausen, seconded by Commissioner Rog, to adopt Resolution no. 23-16 approving the seventh amendment to the amended and restated redevelopment contract related to The West End/Central Park West. The motion passed 6-0 (Commissioner Dumalag absent). 7.Communications and announcements – none. 8.Adjournment. The meeting adjourned at 6:20 p.m. ______________________________________ ______________________________________ Melissa Kennedy, EDA secretary Nadia Mohamed, EDA president July 17, 2023 DocuSign Envelope ID: 2F87D0D4-0679-429D-BC73-74A04D0C4B44