EDC 03-19-2013 - Laserfiche WebLink

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Commissioner Zelm asked if APi owned the parcel, Fernelius confirmed that they do, stating they have indicated they may convert it to parking space. Commissioner Zelm asked if the financial condition of APi has been reviewed. Chairperson Zisla stated that the City would want to sell to a credible buyer. Councilmember Bauman commented that she feels APi is a strong stable company. Commissioner Murlowski expressed concern with APi tying up the north '/2 of the area without any guarantees. Commissioner Knight suggested that the EDC consider weighing in when more information is available, and noted the difficulty in giving direction while there are still unknowns. Chairperson Zisla commented that the EDC can offer general direction to the Staff and City Council. Director Fernelius reviewed the 2013-2018 quarterly schedules stating the EDC will likely weigh in on the term sheet,probably by the first quarter of 2013. Update on Pulte Homes discussions Director Fernelius reported that the City Council reviewed Pulte's proposed offer on December 4th and expressed continued interest in the project. Pulte is prepared to invest additional time and money into the site investigation,but they want some level of commitment from the City that we will continue to work with them. Pulte presented a detailed purchase agreement. The City prefers to get Pulte on the site in order to complete the testing. The purchase price is dependent upon the amount of additional soil they would need to bring on to the site. The City estimated there about 5-6 additional feet of fill needed on the site. The City is trying to get an access agreement in place, and then business terms can be discussed. Commissioner Knight questioned the City's anticipated cost for additional fill. Director Fernelius stated his estimate would probably be between $500,000 and $1,000,000. Director Fernelius reviewed Pulte's anticipated schedule, indicating 2014 would be when construction would be underway. It was reported that the council expressed concern with the town home piece of the proposal, questioning the demand. Pulte indicated that the town home construction is still three years out, and there may be opportunities to amend the plans. Director Fernelius distributed and highlighted some key points from various financial spreadsheets. Fernelius noted that these could be discussed in greater detail at a future meeting. Monthly marketing report by Colliers Director Fernelius reported that there has not been much activity, noting there has been some improvement in the market. Update on New Brighton Exchange Work Plan Director Fernelius reported that the City has been working behind-the-scenes on a variety of projects related to New Brighton Exchange, including a Title issue for Stuart Co. and some marketing efforts for the APi and Pulte Developments. Director Fernelius reported that a new orthodontics clinic will be developed on County Rd D and Old Highway 8 NW. Presentation by EDC Chair to City Council on 2012 EDC Activities It was reported that Chair Zisla will present an overview of the 2012 EDC accomplishments at the January 22nd Council meeting. Adjournment Motion by Commissioner Knight, seconded by Commissioner Beach to adjourn the meeting. Meeting adjourned at 9:00 a.m.