2023.05.02 EDA Meeting PacketAGENDA
ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF CRYSTAL
• REGULAR MEETING •
TUESDAY, MAY 2, 2023
IMMEDIATELY FOLLOWING THE 7:00 P.M. CITY COUNCIL MEETING
CRYSTAL CITY HALL
COUNCIL CHAMBERS
1. Call to order *
2. Roll call *
3. Consider approval of minutes from the April 18, 2023 regular meeting
4. Public hearing and a resolution approving the sale of 3401 and 3415 Douglas Drive
North to Hampton Companies for an 8 unit townhome development
5. Resolution amending the Purchase and Development Agreement for the sale of 4824
56th Avenue North to extend the closing deadline to August 1, 2023
6. Approval of a façade improvement deferred loan repayment agreement for 6304 42nd
Avenue North (B&R Transmission)
7. Property status update *
8. Other business *
9. Adjournment *
*Items for which no materials are included in the packet
Page 1 of 3
Minutes of the
Economic Development Authority of the City of Crystal
Regular Meeting
Council Chambers
April 18, 2023
1. Call to Order
Vice President Kiser called the meeting of the Economic Development Authority of the
City of Crystal (EDA) to order at 7:55 p.m.
2. Roll Call
Upon call of the roll, the following Commissioners were present: Jim Adams, John
Budziszewski, David Cummings, Forest Eidbo, Tracy Kamish, Therese Kiser and Taji
Onesirosan.
The following staff were present: Executive Director Adam Bell, Deputy Executive
Director John Sutter, City Clerk Chrissy Serres, Police Chief Stephanie Revering and
City Attorney Troy Gilchrist.
3. Oath of Office
The City Clerk administered the oath of office to Commissioner Onesirosan.
4. Approval of Minutes
Moved by Commissioner Adams (Budziszewski) to approve the minutes from the
January 3, 2023 annual organizational meeting. Motion carried.
5. Consider a resolution approving a Tax Increment Financing Assistance Agreement,
authorizing the issuance of a Tax Increment Revenue Note, and taking other actions in
connection with a development project located at 5240 West Broadway.
Staff presented the agreement and requested board adoption of the resolution.
Moved by Commissioner Budziszewski (Cummings) to adopt the resolution approving a
Tax Increment Financing Assistance Agreement, authorizing the issuance of a Tax
Increment Revenue Note, and taking other actions in connection with a development
project located at 5240 West Broadway. Motion carried 6-1 with Commissioners
Page 2 of 3
Onesirosan, Budziszewski, Cummings, Eidbo, Kamish and Kiser voting aye and
Commissioner Adams voting nay.
6. Receive the 2022 EDA Annual Report
Staff presented the 2022 Annual Report.
No EDA action required.
7. Consider approval of 2023 EDA Work Plan
Staff presented the 2023 Work Plan and requested board approval.
Moved by Commissioner Adams (Budziszewski) to approve the 2023 Work Plan. Motion
carried.
8. Discuss 2024 Work Plan
Staff presented different work plan scope options for EDA discussion and feedback.
9. Property Status Update
Staff updated the board on the following:
• 3600 Douglas Drive (former Pizza Hut) - Wine Thief and Ale Jail
• 5500 West Broadway (former Big O Tires)
• Bass Lake Road Station Area Plan Update
10. Other Business
There was no other business.
11. Adjournment
Moved by Commissioner Budziszewski (Cummings) to adjourn the meeting. Motion
carried. The meeting adjourned at 8:44 p.m.
Page 3 of 3
These minutes of the April 18, 2023 meeting of the Crystal Economic Development Authority
were approved by the Authority on ________________ ____, 20___.
______________________________
Therese Kiser, President
ATTEST:
______________________________
Forest Eidbo, Secretary
___________________________________________________________________________
FROM: John Sutter, Community Development Director
DATE: April 25, 2023
TO: Adam R. Bell, Executive Director (for May 2 EDA meeting)
SUBJECT: Consider approval of a façade improvement deferred loan repayment
agreement for 6304 42nd Avenue North (B&R Transmission)
BACKGROUND
In 2021 Hennepin County granted $30,000 to the city/EDA for storefront/façade improvements
in particular business districts along Bass Lake Road, 42nd Ave. N. and Douglas Dr. N.
Summary of program guidelines:
Assistance is provided in the form of a deferred, forgivable, no interest loan for 50% of
the project cost, subject to a maximum forgivable loan of $12,500.
The deferred loan has a 10-year term with the balance reduced by 10% each year.
If the property is sold during the 10-year term, full repayment of the remaining loan
balance would be required. Any repayments would be used to capitalize a revolving
loan fund for Crystal to continue the program after the county funding is exhausted.
The minimum project is $10,000 (meaning a $5,000 forgivable loan).
There is no maximum project but the maximum forgivable loan is $12,500 even if the
eligible project costs exceed $25,000.
Previous recipient:
Elision Playhouse at 6105 42nd Ave. N. received $12,500 in 2022
Anticipated application:
Wine Thief and Ale Jail is expected to apply later this spring for their upcoming
renovation and expansion of the former Pizza Hut building at 3600 Douglas Dr. N.
EDA STAFF REPORT
Façade Improvement Assistance
B&R Transmission - 6304 42nd Ave. N.
APPLICATION RECEIVED
Victor M. Ariza-Pastrana and Soyla M. Arce, owners of B&R Transmission at 6304 42nd Ave.
N. (“B&R”), submitted an application for façade improvement assistance for work to be done
on the south and east sides of their building:
• B&R proposes to replace windows, repaint walls and replace the sidewalk to meet current
accessibility standards.
• B&R anticipates completing the work in summer 2023.
• The total eligible project cost is $28,393.
• $14,146.50 is 50% of the eligible cost but the maximum assistance is $12,500.
• The assistance is in the form of a 10-year deferred, forgivable loan for $12,500.
In addition to these improvements, B&R either has already made or intends to make additional
improvements including new exterior lighting, building signage, gutter/soffit/fascia repairs and
parking lot pavement replacement. The total investment by the owner will likely exceed
$50,000 in addition to the $12,500 assistance from the façade improvement program.
EDA ACTION REQUESTED
Approval of the attached Repayment Agreement with Victor M. Ariza-Pastrana
and Soyla M. Arce.
B&R Transmission - 6304 42nd Ave. N.
April 2021 Aerial Photo
▲
NORTH
Page 4 of 4
B&R Transmission - 6304 42nd Ave. N.
September 2022 Street Views
South Wall facing 42nd Ave. N.
East Wall facing Douglas Dr. N.
1
REPAYMENT AGREEMENT
ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF CRYSTAL
STOREFRONT AND FAÇADE IMPROVEMENT ASSISTANCE PROGRAM
THIS REPAYMENT AGREEMENT (“Agreement”) is made and entered into this ____
day of _____________, 20___ (the “Effective Date”), by and between Victor M. Ariza-
Pastrana and Soyla M. Arce, husband and wife, whose address is 5386 153rd St W, Apple
Valley MN 55124 (the "Owner"), and the Economic Development Authority of the City of
Crystal , a public body corporate and politic under the laws of Minnesota, located at 4141
Douglas Dr. N., Crystal, MN 55422 (the "EDA”).
A. On or about March 20, 2023, the Owner submitted to the EDA an application (the
“Application”) for grant money under the EDA’s Storefront and Façade Improvement
Assistance Program (the “Program”).
B. The Program was established and funded pursuant to that certain Business District
Initiative Grant Agreement, Contract No. PR0003544 (the “Grant Agreement”),
between the City of Crystal (the “City”) and Hennepin County (the “County”).
C. To facilitate the EDA’s ability to administer the Program, the City assigned all of its
rights and obligations contained in the Grant Agreement to the EDA.
D. On May 2, 2023, the EDA determined that the Owner met Program eligibility
requirements and agreed to grant the Owner (“Grant Funds”) through the Program.
E. The Grant Funds are solely for the purpose of funding 50 percent, and no more than
$12,500, of the cost of certain exterior improvements, as described in Exhibit A
attached hereto (the “Eligible Improvements”), to the Owner’s real estate located on
the property legally described on Exhibit B attached hereto (the “Property”), all in
accordance with this Agreement and the Program guidelines.
F. The issuance of the Grant Funds is conditioned on the Owner’s execution of this
Agreement.
2
NOW THEREFORE, in consideration of said Grant Funds, the parties do hereby agree
as follows.
1. The Owner covenants and agrees that the Grant Funds will not be paid by the EDA
to the Owner until the improvements described in the Application are completed
and full payment has been made to the contractors performing the work, and the
Owner shall provide to the EDA any documentation or other evidence that may be
reasonably required by the EDA to prove the same. Additionally, the parties
acknowledge that this Agreement and the improvements contemplated to the
Property are subject to all Program guidelines, as contained in Attachment A of the
Grant Agreement, which guidelines are incorporated into this Agreement as if fully
set forth herein.
2. The Owner covenants and agrees with the EDA that if the Property is sold,
transferred or otherwise conveyed (including a sale by contract for deed),
voluntarily or involuntarily to any third party within a period of ten (10) years after
the Effective Date (a “Triggering Event”), the Owner or its heirs, executors, or
representatives, as the case may be, shall repay to the EDA a sum equal to the full
amount of the Grant Funds, provided, however, that on each annual anniversary of
the Effective Date, the total balance owed following a subsequent Triggering Event
shall be reduced by 10% of the total amount of Grant Funds paid hereunder.
Accordingly, any repayment that is required under this paragraph following a
Triggering Event shall total such reduced amount, pursuant to the aforementioned
annual reductions of 10% of the Grant Funds. Repayments required herein shall be
made to the EDA no later than the 30th day following the Triggering Event, or on
such later date or dates as the EDA, in its sole discretion, may designate. If no
Triggering Event occurs within ten years following the Effective Date, no
repayment of the Grant Funds shall be required and the entire balance will be
considered forgiven in accordance with Program guidelines.
3. As security for the Owner’s obligation above to make repayment to the EDA
following a Triggering Event, the Owner hereby grants and the EDA shall and
hereby does have, a lien on the Property in the full amount necessary to satisfy said
repayment obligation and any costs, including reasonable attorneys’ fees, incurred
by the EDA for collecting the same.
4. Prior to the date of any Triggering Event, at least 20 days’ notice thereof shall be
provided by the Owner or its heirs, executors, or representatives, as the case may
be, to the EDA at the address contained in the preamble to this Agreement.
5. In the event the Owner or its heirs, executors or representatives, as the case may be,
fails or refuses to make the repayment required under paragraph 2 of this
Agreement following a Triggering Event, the EDA may, with or without notice to
the Owner or its heirs, executors or representatives, as the case may be, foreclose
said lien in the same manner as an action for the foreclosure of mortgages upon the
Property, as by statute provided.
3
6. The lien created by this Agreement shall terminate and shall be of no further force
or effect 126 months following the Effective Date, unless the EDA has, on or before
that date, (a) commenced an action the manner provided by statute for the
foreclosure of the lien, and (b) filed for record a notice of said action, or a power of
attorney to foreclose mortgage, or a lis pendens referring to the same, in the office
of the County Recorder or Registrar of Titles, as the case may be, in Hennepin
County, Minnesota. The EDA may, in its sole discretion, extend said termination
date of said lien by filing for record, on or before said termination date, a signed
agreement with the Owner or its heirs, executors or representatives evidencing such
extension.
7. This Agreement shall run with the Property and shall inure to the benefit of and be
binding upon the parties hereto and their respective heirs, executors,
representatives, successors, and assigns. This Agreement will be recorded against
the Property by the EDA and, to that end, the parties hereto agree to make any
revisions that may be necessary to facilitate such recording.
8. This Agreement shall be governed by the laws of the State of Minnesota. In the
event that any provision or clause of this Agreement shall conflict with applicable
law, such conflict shall not affect the other provisions of this Agreement which can
be given effect without the conflicting provision, and to this end the provisions of
the Agreement are declared to be severable.
IN TESTIMONY WHEREOF, the parties have executed this Agreement as of the day
and year first written above.
OWNER
_____________________________ _____________________________
Victor M. Ariza-Pastrana Soyla M. Arce
STATE OF MINNESOTA )
)ss
COUNTY OF _________ )
On this ____ day of ________________, 20___, before me, a Notary Public within and for
said County, Victor M. Ariza-Pastrana and Soyla M. Arce personally appeared to me
known to be the person(s) described herein and who executed the foregoing instrument and
acknowledging that they executed the same as their own free act and deed.
______________________________
Notary Public
4
EDA
_____________________________ _____________________________
President Executive Director
STATE OF MINNESOTA )
)ss
COUNTY OF HENNEPIN )
On this ____ day of ________________, 20___, before me, a Notary Public within and for
said County, Therese Kiser and Adam R. Bell, President and Executive Director of the
Economic Development Authority of the City of Crystal, respectively, personally appeared
to me known to be the person(s) described herein and who executed the foregoing
instrument and acknowledging that they executed the same as their own free act and deed,
on behalf of the Economic Development Authority of the City of Crystal, a public body
corporate and politic under the laws of Minnesota.
______________________________
Notary Public
This document was drafted by:
Kennedy & Graven, Chartered
150 Fifth Street South, Suite 700
Minneapolis, MN 55402
612-337-9300
EXHIBIT A
Improvements Eligible for Grant
$ 14,324.00 Window Replacement (south and east sides of building)
7,794.00 Painting (south and east sides of building)
6,275.00 Sidewalk Replacement for Accessibility
---------------
$ 28,393.00 Total Eligible Improvements
Grant Calculation:
$ 14,196.50 50% of Total Eligible Improvements
$ 12,500.00 Maximum Grant
$ 12,500.00 Amount of Grant (lesser of 50% of Total Eligible Improvements or
Maximum Grant)
A-1
EXHIBIT B
Legal Description of the Property
The property located in the City of Crystal, Hennepin County, Minnesota legally
described as:
Lot 62, Auditor’s Subdivision No. 324, Hennepin County, Minnesota, EXCEPT the West
75 feet thereof.
B-1
12 1/2"
DLO
16 1/2" Frame1/4"1/4"
17 " R.O.3/4"72 3/4"19 3/4"1/4"1/4"94 1/4" R.O.93 3/4" Frame51 "DLO17 "DLO17 "DLOB&R Transmission - 1 - 001 - Return Walls (2 Thus)
Frame: (Clear) 2 - 450TB 2 x 4-1/2 Center Set
T
T
M
120 1/2"
DLO
59 1/4"
DLO
59 1/4"
DLO
129 1/2" Frame1/4"1/4"
130 " R.O.3/4"72 3/4"19 3/4"1/4"1/4"94 1/4" R.O.93 3/4" Frame51 "DLO17 "DLO17 "DLOB&R Transmission - 2 - 002 - Main Elevation (1 Thus)
Frame: (Clear) 2 - 450TB 2 x 4-1/2 Center Set
A
A A
M
FURNISH AND INSTALL:
(2) Aluminum Framed Storefront Window Systems, approx. 17" x 94-1/4" OA, Glazed 1" Tinted Insulated
Tempered Glass Units with Mapes Panel at Bottom Lites
(1) Aluminum Framed Storefront Window System, approx. 130" x 94-1/4" OA, Glazed 1" Tinted
Insulated Tempered Glass Units with Mapes Panel at Bottom Lite
Aluminum Storefront: CMI Architectural 2" x 4-1/2" Center Set Flush Glazed, Thermally Broken ///
1-3/4" x 4-1/2" Center Set Flush Glazed, Non-Thermal
Finish: Dark Bronze Anodized
Insulated Glass: 1" OA Tinted Insulated Tempered Glass (Color TBD based on manufacturer standard
color options available)
Mapes Panel Finish: Dark Bronze Anodized
Exclusions: HM/WD Doors and Frames, Hardware, Keying, Electrical, Automatic Doors, Temp Enclosures,
Film, Tint, Logos, Masonry, Drywall Repair, Paint, Flooring, Permits, Fees, Performance and Payment
Bonds, Testing,
Engineering, Glass Railing, Acrylic Panels, Deco Glass, Demountable Partition, Fire Rated Glass and
Framing
Full Turn-Key installation: $14, 324.00
Date: 12/22/22
This estimate is valid through 12/31/2022.
Apadana will also install and procure a small bathroom window on this location free of charge if this contract is sign and deposit is received before
12/31/2022
For question: Please contact Ehssan at 612-385-7684
Apadana
3401 Nevada Ave N
New Hope, MN 55427
612-462-8720
invoice@ApadanaTechnology.com
www.ApadanaTech.com
Estimate 2141
ADDRESS SHIP TO
Victor Ariza
B & R Auto Repair
6304 N 42nd Ave
Crystal, MN 55427
Victor Ariza
B & R Auto Repair
6304 N 42nd Ave
Crystal, MN 55427
DATE
04/11/2023
TOTAL
$7,794.00
DATE ACTIVITY QTY RATE AMOUNT
Project Cost
Project description: To clean and paint the
east and south exteriors of the building and
doors at B&R Auto Repair in Crystal
Here is the project tasks that they will
cover at B&R :
1) Sand blast the existing south & east
sides of the building.
2) Repair and protect any areas that
requires attention.
3) Use exterior UV- rated primer to protect
the exterior wall.
4) Finish and paint the affected walls and
doors.
5) Paint color will be selected by owner.
6) All other areas will be isolated and
protected from additional overspray. We
will provide final cleaning.
7) This is a turn-key project. All tools, and
other required equipment are covered.
8) This project will be scheduled when the
ambient temperature overnight reaches
>40 degrees Fahrenheit.
1 7,794.00 7,794.00
TOTAL $7,794.00
Late fee of $35 plus 10% APR will be added for payments
received after the due date. Credit Card payments will be
subject to a 3.5% processing fee.
This notice is to advise you of your rights under Minnesota
law in connection with the improvement to your property.
(a) Any person or company supplying labor or materials for
this improvement to your property may file a lien against
your property if that person or company is not paid for the
THANK YOU.
contributions.
(b) Under Minnesota law, you have the right to pay persons
who supplied labor or materials for this improvement directly
and deduct this amount from our contract price, or withhold
the amounts due them from us until 120 days after
completion of the improvement unless we give you a lien
waiver signed by persons who supplied any labor or
material for the improvement and who gave you timely
notice.
Accepted By Accepted Date
Proposal
Proposal Date:4/20/2023
Proposal #:11075
Name/Address
Victor Ariza
5386 153rd St. W.
Apple Valley, MN 55124
Greystone Masonry, LLC
855 Village Center Dr #380
St. Paul, MN 55127
Project:B & R Transmission
Total
Description Quantity Total
**SIDEWALK REPLACEMENT**
SAW CUT EXISTING PARKING LOT AND REMOVE AND HAUL AWAY EXISTING
SIDEWALK. INSTALL NEW SIDEWALK PER PLAN, APPROXIMATELY 216 S.F.
WITH 48 L.F. OF RISER. CONCRETE TO BE 5,000 PSI, HAND TOOLED
CONTROL JOINTS, AND REGULAR BROOM FINISH
1 6,050.00
SMALL LOAD CHARGE AND ENVIRONMENTAL FEE FOR CONCRETE 1 225.00
**TOTAL: $6,275.00
NOTE: Shrinkage (hairline) cracks are common in concrete floors, sidewalks,
driveways, patios, etc., and should be expected. Cracks exceeding 3/16" in
width or vertical displacement shall be repaired by filling and troweling special
concrete repair products. Concrete is susceptible to surface spalling from salt
or salt applied for deicing. Salt damage is excluded from the warranty.
Occasional surface blemishes from aggregate pops are normal.
$6,275.00
Perry Bolin Architecture PLLC Perry R. Bolin, Architect, AIA,NCARB, LEED AP 5009 Quail Ave. N., Minneapolis, MN 55429 perryb@usfamily.net 651-208-1798cPermit SetI hereby certify that this plan, specification or report was prepared by me or under my direct supervision and that I am a duly Licensed Architect under the laws of the State of MN.9134 March 31, 2023_______________ _________ __________Name Licence # Date 6304 42 nd Avenue N., Crystal, MN 55427 Victor Arriza - Owner 612-730-5118 Arizaretail@gmail.comB & R Transmission & Service Center Sidewalk Replacement03/31/23___________________ _Site Plan N1"= 20' A1.0Drawings A-1 Site Plan & DetaiIA-2 First Floor Planexisting additionSidewalk Detail1" = 1'-0"General Notes1 Field verify all measurements, materials and conditions.2 Install materals per manufacturer's recommendations.3. Concrete exterior mix design for 4,000 psi, 28 days, according to ACI 301, 6 % Air entrained, Max. water / cement ratio of 0.4, 3" sIump +/-1". Redi Mix and deIiver as per ASTM C94.4. Protect concrete from moisture Ioss for 7 days by pIastic sheeting or spray on chemicaI membrane covering.Saw cut existing Bituminous paving on cIass V baseVuIcum eIastic seaIanton 1/2"bond breakersIope 1" in 4'-0" max.4" compacted sand4" concrete sidewaIkturn down edge beIow top of pavingexisting masonry First fIoorSidewalk Replacementexisting earth1A1
Perry Bolin Architecture PLLC Perry R. Bolin, Architect, AIA,NCARB, LEED AP 5009 Quail Ave. N., Minneapolis, MN 55429 perryb@usfamily.net 651-208-1798cPermit SetI hereby certify that this plan, specification or report was prepared by me or under my direct supervision and that I am a duly Licensed Architect under the laws of the State of MN.9134 March 31, 2023_______________ _________ __________Name Licence # Date 6304 42 nd Avenue N., Crystal, MN 55427 Victor Arriza - Owner 612-730-5118 Arizaretail@gmail.comB & R Transmission & Service Center Sidewalk Replacement03/31/23___________________ _First Floor PlanPermit Set A2.0N1/4" =1'-0"OfficeGARAGEGARAGERemodeling NotesGeneral Notes1 Field verify all measurements, materials and conditions2 Install materals per manufacturer's recommendations11Remove existing sidewaIk.Sawcut existing bituminous driveway for new 4'-0" wide concrete sidewaIk.2Sawcut existing concrete apron. Matchnew concrete sidewaIk eIevation tobituminus driveway and apron.113New 4" concrete sidewaIk, 5,000 psi.Maximum sIope 1" in 20".Cross sIope new sidewaIk 1" in 4'-0" maximum.ControI Joints @ 4'-0" o.c. except 5'-6" at corner entrance. 422337" maximum height of sidewaIk edge from bituminousdriveway. Patch bituminous to maintain 7" maximum.7"max.4CJ CJ CJ Cross sIope 1" in 4'-0" max.match existingconcreteNew 4" concrete sidewaIkexisting bituminous drivewaysIope down 1" in 20" maxsIope down 1" in 20" max1A11A16'-0" R5 Patch bituminous aIong sidewaIk edge as required.55
Page 1 of 3
_____________________________________________________________________________
FROM: Dan Olson, City Planner
_____________________________________________________________________
TO: Adam R. Bell, Executive Director (for May 2 meeting)
DATE: April 25, 2023
RE: Public Hearing. Consider adoption of a resolution approving the sale
of 3401-3415 Douglas Drive North for construction of two new four-
unit townhomes
Hampton Companies has submitted a proposal to purchase the vacant lots at 3401-3415
Douglas Drive North for the asking price - $200,000. On May 17, 2022 the EDA gave
tentative acceptance to the lot sale to Hampton, which is proposing to construct two
four-unit townhome buildings on the property. Hampton is a state-licensed building
contractor with no enforcement actions.
The property was once the location of a gas station and commercial building that were
demolished in 2010. The following is a timeline of events since the EDA gave tentative
acceptance of the lot sale:
➢ Environmental investigations were completed in May 2022 and determined that
soil contamination exists on the property and would need to be mitigated.
➢ In October 2022 the Minnesota Pollution Control Agency (MPCA) approve d a
Response Action Plan/Construction Contingency Plan (RAP/CCP) to describe
the mitigation process when contaminated soils or other materials are
encountered during construction.
➢ In February 2023 the city received approval of a $169,930 grant from Hennepin
County for Hampton to remove contaminated soils as part of the construction of
the townhome buildings.
The MPCA, Hennepin County and city staff believe that the grant funds will be sufficient
to remove contaminated soils from the property. Due to the property’s unique
circumstances there will be a provision in the purchase and development agreement to
provide for costs that can only be discovered when the property is excavated. A 10%
contingency ($17,000) from the lot sale proceeds will be placed in escrow for these
unknowable expenses. If that amount is exceeded, Hampton will continue with the
project at their own expense.
EDA Staff Report
Lot Sale – Public Hearing
3401-3415 Douglas Drive North
Page 2 of 3
Attachments:
A. Site plan, building elevations and floor plans from Hampton’s rezoning and
subdivision application
B. Resolution
2021 Aerial Photo:
Attached are the site plan, building elevations, and floor plans from Hampton’s rezoning and
subdivision application, the approval of which is on the City Council’s agenda for May 2, 2023.
The table on the next page summarizes Hampton’s proposal.
Page 3 of 3
Project Element Hampton Companies Description
Purchase price offered $200,000
Owned or rented Once construction is complete, Hampton will determine
if the market-rate townhomes will be owner-occupied or
rented
Building height 2 story (25 feet in height)
Size of each unit Approximately 700 SF per unit on the main floor and
1,100 SF on the upper floor (total of 1,800 SF per unit)
No. bedrooms &
bathrooms
3 BR and 2½ BA per unit
Attached garage size Approximately 400 SF
Basement No basement (slab on grade)
Patios Each unit will have a patio
REQUESTED EDA ACTION: EDA adoption of a resolution approving the sale of the
lots at 3401-3415 Douglas Drive North to Hampton Companies.
If the lot sale is approved Hampton is planning to start construction in late 2023 and
finish construction of the new townhomes by mid-2024.
38'6"30'3"38'6"30'3"OfficeNO. 6308FFE = 903.1Concrete Wall243.62S 89°36'35" E 116.82S 00°06'51" E 116.08S 89°49'22" E 16.40S 00°05'52" E 126.75N 89°58'39" W 133.00N 00°09'27" W 243.62civilsitegroup.comCOPYRIGHT CIVIL SITE GROUP INC.cDOUGLAS DRIVE TOWNHOMES3401-3415 DOUGLAS DRIVE, CRYSTAL, MN 554221824 BUERKLE RD, WHITE BEAR LAKE 55110HAMPTON COMPANIESPROJECTPRELIMINARY:NOT FORCONSTRUCTIONISSUE/SUBMITTAL SUMMARYDATEDESCRIPTION............PROJECT NUMBER: 2303503/29/2023 CITY RESUBMITTAL..........03/14/2023 CITY SUBMITTALDRAWN BY:REVIEWED BY:MD, NH RL, JL..............202348523JORDAN M. LOCKMANLICENSE NO.DATEI HEREBY CERTIFY THAT THIS PLAN,SPECIFICATION, OR REPORT WASPREPARED BY ME OR UNDER MY DIRECTSUPERVISION AND THAT I AM A DULYLICENSED LANDSCAPE ARCHITECT UNDERTHE LAWS OF THE STATE OF MINNESOTA.03/29/23LICENSE NO.DATEI HEREBY CERTIFY THAT THIS PLAN,SPECIFICATION, OR REPORT WASPREPARED BY ME OR UNDER MY DIRECTSUPERVISION AND THAT I AM A DULYLICENSED PROFESSIONAL ENGINEERUNDER THE LAWS OF THE STATE OFMINNESOTA.59612Robert A. Latta03/29/23REVISION SUMMARYDATEDESCRIPTIONC2.0SITE PLAN............SITE AREA TABLE:SITE LAYOUT NOTES:SITE PLAN LEGEND:NKnow what'sRCITY OF CRYSTAL SITE SPECIFIC NOTES:OPERATIONAL NOTES:SNOW REMOVALALL SNOW SHALL BE STORED ON-SITE OUTSIDEPARKING LOT. WHEN FULL, REMOVAL CO.SHALL REMOVE EXCESS OF-SITETRASH REMOVAL:TRASH SHALL BE PLACED IN EXTERIOR TRASHAREA AND REMOVED BY COMMERCIAL CO.WEEKLY.DELIVERIES:DELIVERIES SHALL OCCUR AT THE FRONTDOOR VIA STANDARD COMMERCIAL DELIVERYVEHICLES (UPS, FED-EX, USPS).Attachment A
ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF CRYSTAL
HENNEPIN COUNTY
STATE OF MINNESOTA
RESOLUTION NO. 2023 - 02
A RESOLUTION AUTHORIZING THE SALE OF
3401-3415 DOUGLAS DRIVE NORTH
FOR CONSTRUCTION OF TWO NEW FOUR-UNIT TOWNHOMES
WHEREAS, the Economic Development Authority of the City of Crystal (“the EDA”) is the
owner of 3401-3415 Douglas Drive North (“the Property”), legally described as:
Lots 1 and 6, Block 1, Perlick Addition, Hennepin County, Minnesota.
WHEREAS, the EDA has solicited proposals from builders who desire to purchase the
Property from the EDA and construct thereon new residential buildings; and
WHEREAS, the EDA has reviewed and accepted the proposal from Hampton Companies.
NOW, THEREFORE, BE IT RESOLVED that the EDA authorizes t he sale of the Property to
Hampton Companies.
BE IT FURTHER RESOLVED that the sale shall be completed in accordance with the terms of
the Purchase and Development Agreement in substantially the form on file in City Hall, and
that the President and Executive Director are hereby authorized to sign said Agreement and
other documents required to complete the sale of the Property to Hampton Companies.
Adopted this 2nd day of May, 2023.
____________________________________
Therese Kiser, President
____________________________________
Adam R. Bell, Executive Director
Attachment B
___________________________________________________________________________
FROM: Dan Olson, City Planner
___________________________________________________________________________
TO: Adam R. Bell, Executive Director (for May 2 Meeting)
DATE: April 25, 2023
RE: Consider approval of a resolution extending the closing deadline for 4824 –
56th Avenue North to Aug. 1, 2023
On October 18, 2022, the EDA approved the sale of 4824 – 56th Avenue N. to Ascent Builders
to build a new two-family dwelling. Ascent signed the purchase and development agreement
which gave Ascent until May 1, 2023 to close on the property.
Ascent has indicated that closing has been delayed by factors outside its control such as difficulty
in working with a new lender to secure financing. For this reason, staff recommends an extension
to Aug. 1, 2023 for Ascent to close on the property. The purchase agreement will still require the
dwelling to be completed within one year of closing. Staff’s opinion is that it makes sense to
provide a three-month extension for Ascent to close on the property, rather than seek a new
builder through a new RFP process.
City Council approval of the resolution in attachment B amending the purchase and development
agreement for 4824 – 56th Avenue N. is requested.
Attachments:
A.Purchase and Development agreement amendment for 4824 - 56th Avenue N.
B.Resolution
EDA STAFF REPORT
4824 – 56th Avenue North
Extend Closing Deadline
AMEND PURCHASE AND DEVELOPMENT AGREEMENT – 4824 – 56TH AVENUE NORTH
2021 Aerial Photo:
CR150-224-870938.v1
FIRST AMENDMENT TO PURCHASE AND DEVELOPMENT AGREEMENT
This First Amendment to Purchase and Development Agreement (this “Amendment”) is
made this ____ day of May, 2023 by and between Economic Development Authority of the City of
Crystal, a public body corporate and politic under the laws of Minnesota (the “Seller”) and Ascent
Builders LLC, a Minnesota limited liability company (the “Buyer”).
WHEREAS, the Seller and the Buyer entered into that certain Purchase and Development
Agreement dated October 18, 2022 (the “Agreement”) providing for the conveyance by the Seller to
the Buyer of certain property located at: 4824 56th Avenue North in the City of Crystal, Hennepin
County, Minnesota and legally described as follows:
Lot 2, Block 1, Junior Larson Addition
(the “Property”); and
WHEREAS, due to unanticipated delays, the parties have determined to further extend the
closing date to August 1, 2023; and
NOW, THEREFORE, in consideration of the premises and the mutual obligations of the
parties hereto, each of them does hereby covenant and agree with the other as follows:
1.Amendment to Paragraph 3 of the Agreement. Paragraph 3 of the Agreement is
amended as follows:
The total purchase price for the Property shall be $115,000 (“Purchase Price”) which shall be
payable by Buyer with earnest money in the amount of $2,000, receipt of which is hereby
acknowledged by Seller (“Earnest Money”, and the balance payable by certified check on the
Date of Closing. The “Date of Closing” shall be no later than August 1, 2023. This
Agreement is subject to the requirements of the Construction Contingency Plan as described
in Section 25 of this Agreement.
2.Miscellaneous. Except as amended by this Amendment, the Agreement shall remain
in full force and effect.
(Remainder of this page intentionally left blank.)
Attachment A
CR150-224-870938.v1
IN WITNESS WHEREOF, the parties have executed this First Amendment to Purchase and
Development Agreement as of the date written above.
SELLER
ECONOMIC DEVELOPMENT
AUTHORITY OF THE CITY OF
CRYSTAL
By: ________________________________
Its: President
By: ______________________________
Its: Executive Director
BUYER
ASCENT BUILDERS LLC
By: _________________________________
Nick Reimler
Its: President
CR150-224-870953.v1
ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF CRYSTAL
HENNEPIN COUNTY
STATE OF MINNESOTA
RESOLUTION NO. 2023-____
A RESOLUTION APPROVING THE FIRST AMENDMENT TO THE PURCHASE AND
DEVELOPMENT AGREEMENT FOR THE SALE OF 4824 56TH AVENUE NORTH
WHEREAS, on October 18, 2022, the Economic Development Authority of the City of
Crystal (the “EDA”) entered that certain Purchase and Development Agreement with Ascent Builders
LLC (the “Agreement”) providing for the conveyance by the EDA to Ascent Builders LLC of certain
property located at: 4824 56th Avenue North in the City of Crystal, Hennepin County, Minnesota and
legally described as follows:
Lot 2, Block 1, Junior Larson Addition
; and
WHEREAS, due to unanticipated delays, the parties have determined to further extend the
closing date to August 1, 2023, which requires an amendment to the Agreement; and
NOW, THEREFORE, BE IT RESOLVED by the Economic Development Authority of
the City of Crystal that:
1.The attached First Amendment to the Purchase and Development Agreement is hereby
approved.
2.The President and Executive Director are hereby authorized to sign the First Amendment
to the Purchase and Development Agreement.
Adopted this ____ day of May, 2023.
___________________________________
President
___________________________________
Executive Director
Attachment B