HomeMy WebLinkAbout24-14 - ADMIN Resolution - Economic Development Authority - 2024/08/19
EDA Resolution No. 24-14
Approving a ninth amendment to a certain purchase
and redevelopment contract and related documents
Whereas, the St. Louis Park Economic Development Authority (the “authority") and the
City of St. Louis Park (the “city”) have heretofore approved the establishment of the
Wooddale Station Tax Increment Financing District (the “TIF district") within Redevelopment
Project No. 1 (the “project"), and have adopted a tax increment financing plan for the purpose
of financing certain improvements within the project; and
Whereas, to facilitate the redevelopment of certain property within the project and TIF
district, the authority and PLACE E-Generation One LLC, a Delaware limited liability company
(the “original redeveloper"), previously negotiated a purchase and redevelopment contract
(as subsequently amended 7 times, the “original agreement"), which provides for the
conveyance of certain property (the “property") to the original redeveloper, the construction by
the original redeveloper of a mixed- use, mixed-income, transit-oriented development, including
rental housing, and associated parking on the property (the “minimum improvements"), and the
issuance of a tax increment revenue note (the "note") to the original redeveloper; and
Whereas, the original redeveloper’s obligations under the original agreement were
assigned to Bigos-Zelia on Seven, LLC, a Minnesota limited liability company formerly known as
Bigos-Via Sol (the “redeveloper"), as the purchaser of the minimum improvements, and
pursuant to an assignment and assumption of purchase and redevelopment contract and the
redeveloper assumed all rights, title, interest, duties and obligations in, to, and under the
original agreement, the note and that certain declaration or restrictive covenants associated
therewith; and
Whereas, the redeveloper and the authority entered into an eighth amendment to
purchase and redevelopment agreement on Dec. 28, 2023 (together with the original
agreement, the “agreement”), reflecting the new ownership of the minimum improvements
and revising certain details of the development and updating the timeline for completion of
the minimum improvements; and
Whereas, the redeveloper has faced certain delays in completing the certain
components minimum improvements. The authority and the redeveloper have negotiated a
ninth amendment to the agreement (the "ninth amendment" and together the original
agreement, the "amended agreement"), revising, among other things, the required date of the
completion of the minimum improvements and other dates in the agreement; and
Whereas, the board has reviewed the ninth amendment 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. Further, the board has reviewed the assignment and finds that their
consent thereto is in the best interest of the city and its residents.
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Now therefore be it resolved by the board of commissioners of the St. Louis Park
Economic Development Authority as follows:
(a)The board approves the ninth amendment, together with any related
documents necessary in connection therewith, including all other documents, exhibits,
certifications, or consents referenced in or attached to the ninth amendment including but
not limited to the updated TIF note (the "documents").
(b)The board hereby authorizes the president and executive director, in their
discretion and at such time, if any, as they may deem appropriate, to execute the documents on
behalf of the authority, and to carry out, on behalf of the authority, the authority's obligations
thereunder when all conditions precedent thereto have been satisfied. The documents shall
be in substantially the form on file with the authority and the approval hereby given to the
documents includes approval of such additional details therein as may be necessary and
appropriate and such modifications thereof, deletions therefrom and additions thereto as
may be necessary and appropriate and approved by legal counsel to the authority and by the
officers authorized herein to execute said documents prior to their execution; and said officers
are hereby authorized to approve said changes on behalf of the authority. The execution of any
instrument by the appropriate officers of the authority herein authorized shall be conclusive
evidence of the approval of such document in accordance with the terms hereof. This
resolution shall not constitute an offer and the documents shall not be effective until the date
of execution thereof as provided herein.
(c)In the event of absence or disability of the officers, any of the documents
authorized by this resolution to be executed may be executed without further act or
authorization of the board by any duly designated acting official, or by such other officer or
officers of the board as, in the opinion of the city attorney, may act in their behalf. Upon
execution and delivery of the documents, the officers and employees of the board are hereby
authorized and directed to take or cause to be taken such actions as may be necessary on
behalf of the board to implement the documents.
(d)This resolution shall be effective upon approval.
Adopted by the Economic Development Authority August 19, 2024:
Karen Barton, executive director Sue Budd, vice president
Attest:
Melissa Kennedy, secretary
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