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2013.06.18 EDA Meeting Packet (Special)AGENDA ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF CRYSTAL • SPECIAL MEETING • TUESDAY, JUNE 18, 2013 IMMEDIATELY FOLLOWING THE REGULAR CITY COUNCIL MEETING CRYSTAL CITY HALL COUNCIL CHAMBERS 1. Call to order 2. Roll call 3. Consider approval of minutes from the June 4, 2013 regular meeting 4. Consider tentative acceptance of a proposal from Novak -Fleck to purchase the lot at 3548 Welcome Avenue North for construction of a new house 5. Consider authorizing a plat application and related work to subdivide 3556 Welcome Avenue North into two lots for new home construction " 6. Other business 7. Adjournment Materials attached 06/11/13 GAEDA\Agendas\2013\06.18.docx Minutes of the Crystal Economic Development Authority Regular Meeting June 4, 2013 President Hoffmann called the regular meeting of the Crystal Economic Development Authority to order at 6:30 p.m. Upon call of the roll, the following members were present: Jim Adams, John Budziszewski, Julie Deshler, Mark Hoffmann, Laura Libby, Casey Peak and Joe Selton. The following staff members were present: Anne Norris, Executive Director; Patrick Peters, Deputy Executive Director; John Sutter, City Planner/Assistant Community Development Director; and Bob Alsop, City Attorney. Motion by Commissioner Selton (Libby) to approve the minutes from the May 21, 2013, special meeting. Motion carried. The EDA held a Public Hearing to consider a resolution authorizing the sale of the lot at 4330 Zane Avenue North to MT Builders for construction of a new house. No one appeared at the hearing, and President Hoffmann closed the hearing. Motion by Commissioner Selton (Peak) to approve Resolution #2013-09 authorizing the sale of the lot at 4330 Zane Avenue North to MT Builders for construction of a new house. Motion carried. The EDA considered a resolution authorizing acquisition of 6529 47°i Avenue North. Motion by Commissioner Budziszewski (Libby) to approve Resolution #2013-10 authorizing acquisition of real property at 6529 47°i Avenue North. Motion carried. Motion by Commissioner Budziszewski (Libby) to adjourn the regular meeting. Motion carried. The meeting adjourned at 6:5o p.m. Mark Hoffmann, President ATTEST: Julie Deshler, Vice President EDA STAFF REPORT CAL 3548 Welcome New house proposal (Novak -Fleck) FROM: John Sutter, City Planner/Assistant Community Development Director' DEPARTMENT HEAD REVIEW: Patrick Peters, Community Development Director/�GyD DATE: June 13, 2013 TO: Anne Norris, Executive Director (for June 18, 2013 EDA meeting) SUBJECT: Consider tentative acceptance of a proposal from Novak -Fleck to purchase a lot at 3548 Welcome Avenue North for construction of a new house We have received a proposal from Novak -Fleck, Inc. to purchase the lot at 3548 Welcome Avenue North for $55,000. Novak -Fleck has a Minnesota Residential Building Contractor license with no enforcement actions. This would be custom-built for a specific homebuyer. The house would be a split entry with an attached two car garage. The upper level would have 1,401 sq. ft. with an open living -dining - kitchen area, three bedrooms and two bathrooms. The lower level would have 1,288 sq. ft. unfinished at this time. A 2012 aerial photo, preliminary site sketch and the builder's proposal are attached. Please note that the builder is requesting that the EDA trim/thin the treeline along the north side of the lot and remove an old concrete pad from the back yard. Staff opinion is that this is a reasonable request; the estimated cost to the EDA would be less than $1,000 under the city's tree removal contract plus minimal in-house costs for the Streets crew to remove the concrete pad. REQUESTED EDA ACTION: Tentative acceptance of this proposal subject to EDA consideration of a resolution authorizing the lot sale at a public hearing on July 2, 2013. Interactive Maps, f' f Parcel 21-118-21-21-0001 A -T -B: Torrens ID: Owner Econ Dvlp Authority Crystal Market $0 Name: Total: Parcel 3548 Welcome Ave N Tax $0.00 Address: Crystal, MN 55422 Total: (Payable: 2013) Property Sale Vacant Land -Residential Type: Price: Home- Non -Homestead Sale stead: Date: Parcel 0.21 acres Sale Vacant Land Area: 9,099 sq ft Code: Property Map Map Scale: V = 200 ft. Print Date: 6/12/2013 H This map is a compilation of data from various sources and is furnished "AS IS' with no representation or warranty expressed or implied, including fitness of any particular purpose, merchantability, or the accuracy and completeness of the information shown. COPYRIGHT © HENNEPIN COUNTY 2013 A Think Green! w Parcel Map Scale: 1" = 50 ft. N ID: 21-118-21-21-0001 A -T -B: Torrens Print Date: 6/12/2013 Owner Econ Dvlp Authority Crystal Market $0 Name: Total: Parcel 3548 Welcome Ave N Address: Crystal, MN 55422 Property Vacant Land -Residential Type: Home- Non -Homestead stead: Parcel 0.21 acres Area: 9,099 sq ft Tax $0.00 Total: (Payable: 2013) Sale $90,000 Price: Sale 11/2010 Date: Sale Vacant Land Code: This map is a compilation of data from various sources and is furnished "AS IS' with no representation or warranty expressed or implied, including fitness of any particular purpose, merchantability, or the accuracy and completeness of the information shown. COPYRIGHT © HENNEPIN COUNTY 2013 A Think Green! --c 7 —188--- �' IS N N N 00006'01 " E 62.68 '- ------- ---62.67----- -- - ----------------- tA STREET EASEMENT-' 872. a PER DOC. No. 588564 _ r 72. J i c o ntc r" 4` e,t e w Z m OD 4 w so V 9.1 _ WES o V CD 18' A n a 6" 2 10"bom Ai per ti Al vat OO O� INE OF LOT 20, ROSEDALE ACRE i i --------60.99----,� 2.68 rood fence co L >4 _ _ WES7'LINE OF-' - �� HOKKANEMIS ADD. Zp2 TRACT ti i Dn U) Ii O �� r . •• � i � y i 0 I /I x PARKING & I STREtT E --��� 11 -WE -ST LINE OF HOKKANEN' S ADDJ'ET TRACT N► -- — A----- 00 ?® g 1" : 20' o w° T a' Ln 00 w � c w H, n c0 11618 W w Cl I a cont. curb `D1 r a 87J. _*9 w o 1 k TRACT ti i Dn U) Ii O �� r . •• � i � y i 0 I /I x PARKING & I STREtT E --��� 11 -WE -ST LINE OF HOKKANEN' S ADDJ'ET TRACT PROPOSALFORM PROPOSAL TO THE ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF CRYSTAL 3548 WELCOME AVENUE NORTH cHEcl< ONE: _v6UILDER OFFERS $66,000 TO PURCHASE THIS LOT BUILDER OFFERS $500 FOR A SIX-MONTH OPTION TO PURCHASE THIS LOT FOR $55,000 This proposal is not a purchase agreement or other binding contract. At this time, the Builder is submitting a proposal to purchase this lot and build a new single family house In accordance with the RFP Guidelines, or is requesting a six-month option for same, If a builder's proposal is tentatively accepted by the EDA board, than EDA staff would work with the Bulkier to determine the specific house plan and present it at the next EDA meeting. If the EDA board gives final approval at that time, the Builder would sign a Purchase & Redevelopment Agreement and provide $2,000 earnest money for the lot. Only after such an Agreement is signed would a binding contract exist between the EDA and the Builder. Builders may purchase a 6 -month option on a lot for $500, renewablo for an additional 6 months for an additional $500. The option provides the builder with exclusive rights to purchase the lot and build a house sub)ect to the normal FDA process, requirements and guidelines. As a condition of the option, the builder must list the lot with a to -be -built house on the MLS for the duration of the option. The number of options is limited: No builder may have options on more than 10% of the FDA's lots, end no more than 50% of the EDA's lots may be under option at any time. BUILDER: (Buftderfs required to be a Residential Building Contractor ficensed by the State of Minnesota) Name: NCI w- - i—d� l�-kNC��(zPS z i "GDate License Number.�j� �%(� l �ii Tel (1): �L� 3'' L i lj - L+.(` r� � Tel (2): Fax: tj L) ( DAn Address: 8 ` 3'S _7 -2--6& h 1-�t '.. e_ ,\) ChylSlatelzip:�& 00<y L*l Email:9 i1-1 r 1)tiC� ALL 1 � �� Signature Date REQUIRED ATTACHMENTS AND ADDITIONAL INFORMATION: u Attach one representative example of a house you would plan to build on this lot If your proposal is selected. It does not need to show exactly how it would be placed on the lot; it Just needs to show the approximate size, quality and features you would anticipate a new house would have on this lot. A specific house plan would be determined after a proposal is tentatively accepted by the EDA. The EDA will only sell lots to builders who have experience in house construction in Minnesota. Please list the addresses of three houses you have built In Minnesota within the last five years, or attach other evidence of qualification for review by the EDA: House tf1: 5!533 X -N 1 A House 42: House 0: SUBMIT PROPOSAL TO; Attu: John Sutter, Crystal EDA, 4141 Douglas Dr N, Crystal MN 65422 TEL: 763.531.1142 FAX: 763.631.1166 John suttor(cUcrvstalntn.nov PROPOSALS MAY BE SUBMITTED BY HAND DELIVERY, U.S. MAIL, PAX, OR EMAIL (.Pdf format), PROPOSALS MAYBE SUBMITTED AT ANY TIME AND WILL BE CONSIDERED ON A "FIRST COME, FIRST SERVED" BASIS UNLESS THE LOrHAS BEEN OPTIONED BYANOTHER BUILDER. _ a Et-,� T, \1 K n...a TO n6 cro6ee6 Nares, w1 waEinw caurcw I+a eeca9e.�nw6 wv 6e.Eer ro run `rwnuTtx Naa Nwme v�v � Nr�. •!LL tuGIWJL TIOCIf NCIH NS IRMOA'r�R IGiWL RIGHS�I 161 W LHICB9®NTE 61GIPKUII rRCGLH HRYOSIIA !L. i91Na.1'PT/I2i b0 L®Ol IOYQ➢ M ICr 044V V!n® nLLVIffM 16Y9 [N IX1GtKR I Vtl.a. (CAitKtY nq K!U%l ltli'I Il1IXmC. GF CrOOYF C.pylfduQD R,tY su ro • dt�w lYx+ts rs.v� war tvr ..., • ecxcnv, ne wam rai ra sea i,crcaw In 1f. c•naaw araet®. -Iu cwowa,eaxmnr Ns vrcruram Na ca.arm run vs�+atr.+*w�.ce uWwi tuY w t�usr. JLL D.b1NNV..(YKrf1 tll'�N Nat NTioAONR N:NV. I4: CDYlf ta,. w cn6.ro m ne srmwcw� ret tm imuamm. .�u. amrtm rcoriaa wQ smm r a ort tm nwwnsa dareerc.aea cn c�rarnxuia,vw.ercm erq r-------------------- I __ ______ ______ 55 I I b I I II , ----- ----------------- , a��o'i i 6 it R I P � i' Tx i 14:_x_ ®i� _ z• nccs . �.•au race � #p9�g'g II I P"—ll Cl t 0 • li I I I I H'- • I 4• vw• 4 i �_ I __ II gIN p � li I II I I 7 �I Ir'��� I � • � , u• b I' I 1 etR1 ri TdLr � Vii- •� O li I Mid � L--------- -------+ - F" -___-----L 88 �a0 O 9b• b• �- wleK- I ear. � ,j � I # I A � yN� S •I i� .y 4Y�o �t II II '� ji I N � �g�gR � , ji 1 • �i I �BAgpp} 3°r � ii I� gg: 3g�g i. 3Rft H �� ' � I j1 ♦U10 � I. I J u4r u4r amu' � �a R,tY su ro • dt�w lYx+ts rs.v� war tvr ..., • ecxcnv, ne wam rai ra sea i,crcaw In 1f. c•naaw araet®. -Iu cwowa,eaxmnr Ns vrcruram Na ca.arm run vs�+atr.+*w�.ce uWwi tuY w t�usr. JLL D.b1NNV..(YKrf1 tll'�N Nat NTioAONR N:NV. I4: CDYlf ta,. w cn6.ro m ne srmwcw� ret tm imuamm. .�u. amrtm rcoriaa wQ smm r a ort tm nwwnsa dareerc.aea cn c�rarnxuia,vw.ercm erq EDA STAFF REPORT RVSTAL 3556 Welcome Authorize platting into two lots (3556 & 3564 Welcome) FROM: John Sutter, City Planner/Assistant Community Development Director DEPARTMENT HEAD REVIEW: Patrick Peters, Community Development Director DATE: June 13, 2013 TO: Anne Norris, Executive Director (for June 18, 2013 EDA meeting) SUBJECT: Consider authorizing a plat application and related work to subdivide 3556 Welcome Avenue North into two lots for new home construction Per the EDA's direction on May 21, staff has explored the feasibility of dividing the 3556 Welcome property, acquired from MnDOT in 2010, into two lots for new home construction. The current parcel contains 17,183 sq. ft. (0.39 acres). It would be replatted as Crystal Economic Development Authority Sixth Addition containing one block with two lots: 3556 Welcome 8,308 sq. ft. (0.19 acres) "Lot 1" 3564 Welcome 8,875 sq. ft. (0.20 acres) "Lot 2" A 2012 aerial photo, preliminary expenditures and revenues, and sketch showing the plat concept sketch are attached. Considerations: 1. On the plat concept sketch three house footprints are shown for illustrative purposes only: - 3548 Welcome, for which a proposal from Novak -Fleck is currently under consideration, is not located within the proposed plat but is directly to the south. - 3556 Welcome is similar to 4633 Douglas Drive but reversed ("garage -right") to fit better with the house proposed for 3548. - 3564 Welcome is basically the same house as 4633 Douglas Drive. On this lot, "garage left" fits better with the angle of 36th Avenue to put the house as far as possible from 36 th. It also makes the two similar houses visually open towards each other, like the new houses at 5527 and 5533 Xenia. PAGE 1 OF 2 In 2000, when MnDOT raised 36th Avenue to line up with the new bridge over Highway 100, it placed up to 7 feet of fill on parts of the site. While the fill is granular material, not organic material or heavy clay, further investigation is needed to determine whether it has become sufficiently compacted since 2000 to support a house foundation. As part of this work it might also may be possible to lower the 3564 lot so it is at the same elevation as 3556; this would help 3564 feel less like it is "right on" 36th Avenue and thus enhance its marketability. The estimated cost for this work is $7,500. 3. The costs for the survey/plat ($2,700) and water/sewer stubs ($11,700) are actual price quotes, not estimates, so these costs should not change unless there are unforeseen issues. 4. Curb and sidewalk work is estimated at approximately $2,300 to install the three curb cuts. 5. Park dedication fee paid to the city would be $700 based on 2% of the value of the new lot (3564). Recommended lot prices are $50,000 for 3556 and $35,000 for 3564. 3556 Is likely to sell quickly at the $50,000 price but 3564 may take longer even though it is already significantly discounted. Staff would be more likely to recommend a price reduction on 3564 than 3556, but ultimately that is the EDA's decision, so the board may want to discuss lot pricing and its willingness to further discount 3564. Net revenues are estimated to exceed expenditures by approximately $5,000. REQUESTED EDA ACTION: Authorize application for Preliminary and Final Plat of Crystal Economic Development Authority Sixth Addition, for consideration by the Planning Commission and City Council, together with related work necessary to create and sell two lots to be created out of the current parcel addressed as 3556 Welcome Avenue North. PAGE 2 OF 2 Interactive Maplss�= Parcel 21-118-21-21-0057 A -T -B: Torrens ID: Owner Econ Devel Athy City Crystal Market $0 Name: Total: Parcel 3556 Welcome Ave N Tax $0.00 Address: Crystal, MN 55422 Total: (Payable: 2013) Property Sale Commercial -Preferred Type: Price: Non -Homestead le stead: Da Parcel 0.39 acres Sale Area: 17,183 sq ft Code: Property Map Map Scale: 1" = 200 ft. Print Date: 6/12/2013 N This map is a compilation of data from various sources and is furnished "AS IS" with no representation or warranty expressed or implied, including fitness of any particular purpose, merchantability, or the accuracy and completeness of the information shown. COPYRIGHT © HENNEPIN COUNTY 2013 w& Think Green! .: W 'jk Parcel Map Scale: 1" "ft. 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