2017.07.25 CC Packet - Laserfiche WebLink

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July 11, 2017 Page 4 of 6 release to explain how these funds were received and would be utilized by the City. Councilmember Bauman thanked the PREC and task force members for all of their assistance on this project. She questioned how long it took the City to raise $35,000 in funding. City Manager Lotter reported this took years. Councilmember Jacobsen stated he was so pleased by the transformation that has occurred within NBE and the Enclave neighborhood. He looked forward to this park being completed for the residents of New Brighton. He thanked all residents that were involved in the park planning and for those that assisted financially. Councilmember Strub believed that Lions Park would be a legacy for this community and was so proud that New Brighton would have a fully accessible playground. He requested further information on the Change for the Better program. Finance Director Davitt discussed how residents could sign up and make a donation to the City through the Change for the Better program. Mayor Johnson stated she was very proud of how the community came together to make this park a reality. She described how she met Brea Vandergan, a resident of New Brighton, last year during National Night Out and explained she appreciated all of the Vandergan family’s efforts. She thanked the Lions Club for their generous financial donations to this project, along with numerous residents in New Brighton. She then described the Lions head fountain that would be installed in the park. 5 Ayes, 0 Nays-Motion Carried 2. Authorize the Mayor and City Manager to enter into a Contract for Private Redevelopment by and between the City of New Brighton and APi Real Estate, LLC regarding the purchase of a two-acre option property on the west side of Old Highway 8 NW within the New Brighton Exchange Redevelopment Area. Motion by Councilmember Strub, seconded by Councilmember Burg to Authorize the Mayor and City Manager to enter into a Contract for Private Redevelopment by and between the City of New Brighton and APi Real Estate, LLC. City Manager Lotter indicated Assistant Community Assets and Development/Planning Director Gundlach would be presenting this item to the Council. Assistant Community Assets and Development/Planning Director Gundlach explained APi Group, Inc. constructed their main headquarters building in 2007. That building consisted of approximately 55,000 SF. In 2014, APi Group, Inc. constructed a second building of 45,000 SF, known as their Training Center. The Private Contract for Redevelopment of the Training Center included an option for APi to purchase a third site, of approximately two acres, immediately north of the Training Center. That option provided APi until December 31, 2016 to purchase the property. Staff was notified in September of 2016 that APi would not be ready to exercise the option but w anted to discuss an extension. APi remained committed to New Brighton Exchange for their growth needs, but was not in a position to need additional space under the originally agreed upon option timetable. Assistant Community Assets and Development/Planning Director Gundlach stated City staff presented the extension request to the Economic Development Commission on October 5, 2016, where a recommendation was made for the City Council to negotiate an extension to APi’s option on the condition lost tax increment payments are made for each year development is delayed. Over the next few months these terms were discussed with APi. On February 7, 2017, the City Council discussed the option extension at a work session. In addition to agreeing to make lost tax incre ment payments, APi requested to purchase the land now. The City Council directed staff to negotiate a contract under those terms. Assistant Community Assets and Development/Planning Director Gundlach commented since February, several contractual items have garnered additional discussion, which has taken longer than expected to reach the final agreement. The attached contract includes APi purchasing the property 2. Authorize the Mayor and City Manager to enter into a Contract for Private Redevelopment by and between the City of New Brighton and APi Real Estate, LLC regarding the purchase of a two-acre option property on the west side of Old Highway 8 NW within the New Brighton Exchange Redevelopment Area.