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HomeMy WebLinkAbout25-013 - ADMIN Resolution - City Council - 2025/01/21Resolution No. 25-013 Approving a letter regarding certain agreements Be it resolved by the city council (the “city council”) of the City of St. Louis Park, Minnesota (the “city”) as follows: Section 1. Recitals; authorization. (a) To facilitate the construction of a multi-phase, mixed use development and related parking located at 4601 Highway 7 in the city (the “development”), the city has entered into a contract for private development (the “affordable contract”) with the St Louis Park Economic Development Authority (the “authority”) and Beltline Station Limited Partnership, a Minnesota limited partnership (“Beltline Station”) and together with other related affiliates of Sherman Development (the “developer”). The affordable contract has been amended three times. (b) Due to certain delays, the developer has missed certain deadlines in the affordable contract and other agreements between the authority and the developer related to the development (collectively, the “agreements”) and has informed the city and the authority that it will not be in compliance with certain terms set forth in the agreements. The developer, the city and the authority are currently working collaboratively on amendments to the agreements (the “amendments”) which should bring the developer into compliance, and for that reason the city does not plan to declare events of default under the agreements at this time. (c) On February 5, 2024 and May 20, 2024, the authority and the city approved the execution and delivery of no default letters allowing the developer, the authority and the city additional time to negotiate the amendments. (d) The developer has requested that the city and the authority execute a third no default letter stating the facts above, a form of which is presented to the city council (the “letter”). Section 2. Approval of documents. (a) The city council approves the letter in substantially the form presented to the city council, together with any related documents necessary in connection therewith, including without limitation all documents, exhibits, certifications, or consents referenced in or attached to the letter (the “documents”). (b) The city council hereby authorizes the mayor and city manager, in their discretion and at such time, if any, as they may deem appropriate, to execute the documents on behalf of the city, and to carry out, on behalf of the city, the city’s obligations thereunder when all conditions precedent thereto have been satisfied. The documents shall be in substantially the form on file with the city and the approval hereby given to the documents Docusign Envelope ID: 346F99D7-45BD-444D-8B5F-8CF4ACDB6F3B 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 city 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 city. The execution of any instrument by the appropriate officers of the city 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 city council by any duly designated acting official, or by such other officer or officers of the city council 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 city council are hereby authorized and directed to take or cause to be taken such actions as may be necessary on behalf of the city council to implement the documents. Section 3. Effective date. This resolution shall be effective upon approval. Reviewed for administration: Adopted by the city council January 21, 2025: Kim Keller, city manager Nadia Mohamed, mayor Attest: Melissa Kennedy, city clerk Docusign Envelope ID: 346F99D7-45BD-444D-8B5F-8CF4ACDB6F3B