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2023.11.07 EDA Meeting PacketAGENDA ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF CRYSTAL • REGULAR MEETING • TUESDAY, NOVEMBER 7, 2023 6:40 P.M. CRYSTAL CITY HALL COUNCIL CHAMBERS 1. Call to order * 2. Roll call * 3. Consider approval of minutes from the October 17, 2023 regular meeting 4. Public Hearing: Consider a resolution authorizing the sale of 4824 56th Ave. N. to Noberg Homes 5. Property status update * 6. Other business * 7. 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 October 17, 2023 1. Call to Order President Pro Tem Cummings called the meeting of the Economic Development Authority of the City of Crystal (EDA) to order at 7:56 p.m. 2. Roll Call Upon call of the roll, the following Commissioners were present: Jim Adams, John Budziszewski, David Cummings, Forest Eidbo, Traci Kamish and Taji Onesirosan. The following staff were present: Executive Director Adam Bell, City Planner Dan Olson and City Attorney Troy Gilchrist. 3. Approval of Minutes Moved by Commissioner Adams (Eidbo) to approve the minutes from the October 3, 2023 regular meeting. Motion carried. 4. Consider tentative acceptance of a builder proposal for the EDA lot at 4824 56th Ave. N. Staff presented information about the proposal from Noberg Homes, answered questions from the board and requested board approval. Moved by Commissioner Budziszewski (Adams) to tentatively accept the proposal from Noberg Homes for the EDA lot at 4824 56th Ave. N.. Motion carried. 5. Property Status Update Staff provided updates on the following projects: 5240 Apts (5240 West Broadway) 4741 Welcome Ave. N. 3401-3415 Douglas Dr. N. Staff answered questions from the board regarding Wine Thief & Ale Jail (3600 Douglas Dr. N.), a vacant business in the 6000 block of 42nd Ave. N., and the status of the lane closure in the 5200 block of West Broadway. Page 2 of 3 6. Other Business There was no other business. 7. Adjournment Moved by Commissioner Budziszewski (Eidbo) to adjourn the meeting. Motion carried. The meeting adjourned at 8:11 p.m. Page 3 of 3 These minutes of the October 17, 2023 meeting of the Crystal Economic Development Authority were approved by the Authority on ________________ ____, 20___. ______________________________ Therese Kiser, President ATTEST: ______________________________ Forest Eidbo, Secretary _____________________________________________________________________ FROM: Dan Olson, City Planner _____________________________________________________________________ TO: Adam R. Bell, Executive Director (for November 7 meeting) DATE: November 1, 2023 RE: Public Hearing. Consider adoption of a resolution approving the sale of 4824 – 56th Avenue North to Noberg Homes The EDA is asked to hold a public hearing and adopt a resolution approving the sale of 4824 – 56th Avenue North to Noberg Homes for a new single-family home with an attached accessory dwelling unit (ADU). On October 17 the EDA gave tentative acceptance to Noberg’s proposal for the lot sale. Noberg Homes is a licensed builder with no enforcement actions who has purchased many lots from the EDA. The most recent lots sold to Noberg by the city were five lots deemed surplus park land in 2018. Attached are Noberg’s proposal form, site plan, and an illustration of the single-family home with an ADU that would be built on the lot. Noberg would purchase the lot for the minimum price of $100,000. The builder does not yet have a buyer for the home, which would be finished according to the table on the page 3. The following are the changes to the site and building plans since Oct. 17: ➢ The building was moved 10’ further back from the front property line, 3’ closer to the west property line, and 3’ away from the east property line. ➢ A driveway is shown in the center of the front lot line. Noberg will submit a right - of-way permit application to Hennepin County to remove the two existing curb cuts and replace them with a centralized curb cut in approximate alignment with Perry Avenue N. Since the property is adjacent to a former gas station at 4800 – 56th Avenue North, the Minnesota Pollution Control Agency (MPCA) approved a Construction Contingency Plan (CCP) to describe the mitigation process if contaminated soils or other materials are encountered during construction. There will be a provision in the purchase and development agreement to cover costs that can only be discovered when the property is excavated. An escrow will be established from the sale proceeds for these unknowable expenses. The escrow will cover expenses up to $7,500 and if that amount is exceeded, Noberg will have the option to continue with the project at their own EDA Staff Report Lot Sale – Public Hearing 4824 – 56th Avenue North expense or sell the property back to the EDA . This is the same provision that was in the agreement with the previous builder, although it was not the cause of that builder deciding not to proceed. Attachments: A. Noberg Homes proposal B. Resolution 2022 Aerial Photo: DESCRIPTION OF NOBERG’S PROPOSAL Project Element Noberg Homes Purchase price offered $100,000 Owned or rented Noberg would sell the home, but future owner may rent one or both units as allowed by city code Building height 2 floor split entry Size of each unit Home: 1,306 SF on the main level with 979 sq. ft on the lower level (total of 2,285 SF). Kitchen, dining and living room on the main level with family room in lower level. ADU: 730 sq. ft with a kitchen, dining and living room. No. bedrooms & bathrooms Home: 5 BR (3 BR on main level and 2BR in lower level) and 3 BA (full BA on main level with two additional ¾ BA on the main and lower levels). ADU: 1 BR and ¾ BA Attached garage size Home: 3-stall garage (approximately 720 sq. ft) ADU: 1-stall garage (approximately 288 sq. ft) Basement Home: Split entry with a basement (finished) ADU: None (slab on grade) Anticipated Timeline After Nov. 7 – Lot closing with construction beginning this year. REQUESTED EDA ACTION: EDA adoption of a resolution approving the sale of the lot at 4824 – 56th Avenue North to Noberg Homes. If the lot sale is approved Noberg is planning to start construction this year after closing on the lot. FOR HOME WITH ADU Meyer-Rohlin NOBERG HOMES, INC. 708 1st Avenue NE, #1 Ph. 763.682.1781 www.meyerrohlin.com Buffalo, MN 55313 SINGLE FAMILY SITE PLAN Attachment A ! 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" % @ % % % % @ 5 ; % @ 9 A 9 @ % % @ 9' @ 9B @ ! ; : ; @ + @: % @ @ @ % ; @ 6 @ : % < # #@ ; @ ## % @ @ % @ % >? < ' >? # @: ! @ < 6 # # @ ; % > % %? @ 9 # % % ; @ # % : % ; @; @ ' % @ % @ % @ $' < ; % > $% ?; < 5 ;% ; % < # #< ' " % 5# # #'! ': > $% ? C :" 6<65"<6''!: & < " < % ;" # %9 %% < # # > $% ? > ?5 ;% " 6"9 6"" " 9 % # & '()*+, - .+*/0(1/.(2 30( *,4/+) % 565 3-(* )(7() ' +81 )(7() "9 3/+) % 6'# 3/+) ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF CRYSTAL HENNEPIN COUNTY STATE OF MINNESOTA RESOLUTION NO. 2023 - 05 A RESOLUTION AUTHORIZING THE SALE OF 4824 – 56th AVENUE NORTH FOR CONSTRUCTION OF A NEW SINGLE-FAMILY DWELLING WITH AN ACCESSORY DWELLING UNIT WHEREAS, the Economic Development Authority of the City of Crystal (“the EDA”) is the owner of 4824 – 56th Avenue North (“the Property”), legally described as: Lot 2, Block 1, Junior Larson Addition, Hennepin County, Minnesota. WHEREAS, the EDA has solicited proposals from builders who desire to purchase the Property from the EDA and construct thereon a new single-family dwelling with an accessory dwelling unit (ADU); and WHEREAS, the EDA has reviewed and accepted the proposal from Noberg Homes. NOW, THEREFORE, BE IT RESOLVED that the EDA authorizes the sale of the Propert y to Noberg Homes. 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 f ile 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 Noberg Homes. Adopted this 7th day of November, 2023. ____________________________________ Therese Kiser, President ____________________________________ Adam R. Bell, Executive Director Attachment B