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HomeMy WebLinkAboutResolution No. 2005-05 CITY COUNCIL CITY OF COLUMBIA HEIGHTS COUNTY OF ANOKA STATE OF MINNESOTA RESOLUTION NO. 2005-05 RESOLUTION AUTHORIZING AND DIRECTING THE CONDEMNATION OF CERTAIN PROPERTY FOR REDEVELOPMENT AND ROAD PURPOSES WHEREAS, the City of Columbia Heights ("City") is a charter city duly organized and existing under the laws of the State of Minnesota; and WHEREAS, the City Council is the official governing body of the City; and WHEREAS, the City m~d the Colmnbia Heights Economic Development Authority (as successor to the Housing and Redevelopment Authority in and for the City of Columbia Heights) ("Authority") have undertaken a program to promote redevelopment of land that is characterized by blight and blighting factors within the City, and in this connection the Authority administers a redevelopment project known as the Downtown CDB Redevelopment Project ("Project") pursuant to Minnesota Statutes, Sections 469.001 to 469.047 (the "HRA Act"); and WHEREAS, pursuant to Minnesota Statutes, Sections 469.090 to 469.1081 ("the Act") and the HRA Act, the Authority is authorized to acquire real estate by exercising the power of eminent domain under and pursuant to Minn. Stat., Ch. 117, and to undertake certain activities to facilitate the redevelopment of real property by private enterprise; and WHEREAS, within the Project, the City and Authority have created the Huset Park Area Tax Increment Financing District ("TIF District") in order to facilitate redevelopment of certain property in the Project; and WHEREAS, the Authority and Huset Park Development Corporation; a Minnesota Corporation, ("Redeveloper") have previously entered into a Contract for Private Redevelopment dated as of October 25, 2004, (the "Contract for Private Redevelopment") regarding redevelopment of the property described in Exhibit A attached hereto and other property; and WHEREAS, the Redeveloper, City and Authority have taken various actions in furtherance of the Project, pursuant to the Preliminary Development Agreement and Contract for Private Redevelopment, all of which indicate the Project is feasible and desirable, including, but not limited to, environmental, blight and economic studies, determination of needed public infrastructure, agreements to acquire and acquisition of property, relocation analysis and land use planning; and WHEREAS, the City and Authority believe that the redevelopment of the Redevelopment Property pursuant to the Contract for Private Redevelopment, and fulfillment generally of the Contract for Private Redevelopment, are in the vital and best interests of the City and the health, safety, morals, and welfare of its residents, and in accord with the public purposes and provisions of A-1 the applicable State and local laws and requirements under which the Project has been undertaken and is being assisted; and WItEREAS, the real estate described in Exhibit A attached hereto and incorporated herein (collectively, "Subject Property") is located witlfin the Project, as presently constituted, and is among the parcels which are to be redeveloped pursuant to the Contract for Private Redevelopment; and WHEREAS, on October 25, 2004, by Resolution No. 2004-55, the City Council approved, established and adopted a Modification (the "Project Plan Modification") to the Downtown CBD Revitalization Plan for the CBD Redevelopment Project (the "Project Area"), found that the adoption of the Plans conforms in all respects to the requirements of the Act and will help fulfill a need to develop an area of the State of Milmesota which is characterized by blight, occupied by substandard buildings, and contaminated with pollutants; and that the financial assistance described in the TIF Plan will revitalize this area, significantly expand the amount and variety of housing stock in the City, and expand the tax base; and that, because these benefits would not accrue without the assistance provided, any benefits received by private redevelopers are incidental to the broader benefits achieved by the overall development of the TiF District; and WHEREAS, in said Resolution No. 2004-55, the City Council found that the TIF District portion of the Project Area is a "blighted area" within the meaning of Minn. Stat., §469.02, Subd. 11, and that acquisition, clearance and related activities to redevelop the TIF District portion of the Project Area in accordance with the Project Plan and the TIF Plan constitute a "redevelopment project" within the meaning of Minn. Stat. §469.002, Subd. 14; and WHEREAS, in accordance with Section 3.2 of the Contract for Private Redevelopment, the Redeveloper has notified the Authority in writing that (a) the Redeveloper has been unsuccessful in accomplishing acquisition of the Subject Property voluntarily after commercially reasonable efforts to do so; and (b) that such efforts included a written offer to owners of all such parcels to acquire such parcels for a price approved by the Authority as reasonable and an offer to mediate; and WHEREAS, the Authority found that the Redeveloper's efforts to voluntarily acquire the Subject Propel~d were reasonable and satisfy the requirements for doing so under the Contract for Private Redevelopment; and WHEREAS, acquisition of the Subject Property by the Authority is essential in order to eliminate blight and implement the Project; and WHEREAS, the Board of Commissioners of the Authority has found (and this Council also hereby finds) that redevelopment of the Subject Property consistent with the Project is necessary, convenient, desirable, for a public purpose, in the best interests of the citizens of the City and will promote the general health, welfare and safety of the conunmxity; and WHEREAS, the City Council finds that it is also necessary, convenient, desirable, for a public prapose, in the best interests of the City and will promote the general health, welfare and safety of the commmfity for the City to acquire portions of the Subject Property for street purposes; and WHEREAS, the Board of Commissioners of the Authority has found that it is in the best interest of both the Authority and the City if the City proceeds to acquire all of the Subject Property A-2 and then convey to the Authority the portions thereof not required by the City for street purposes ("Remainder") so that the Authority may redevelop the Remainder pursuant to the Contract for Private Redevelopment; and WHEREAS, the Board of Commissioners of the Authority has found that the funding and construction schedule for the redevelopment pursuant to the Contract for Private Redevelopment makes it necessary to acquire title to and possession of the Subject Property prior to the filing of the final report of the condemnation commissioners to be appointed by the district court. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Columbia Heights, Minnesota that: 1. It is necessary that the Subject Property be acquired by the City in fee simple absolute for the stated public purposes through the exercise of the power of eminent domain. 2. The Authority's Attorney is hereby authorized and directed to take all steps necessary to acquire the Subject Property on behalf of the City, including, if necessary, by use of eminent domain proceedings, pursuant to Minn. Stat. §i i7.042, prior to issuance of an award of damages by Court-Appointed Commissioners. 3. The amounts stated on Exlfibit B attached hereto are hereby determined to be just compensation for the various parcels of the Subject Property for the purpose of offers to the owners pursuant to Minn. Stat. § 117.036 and for the purpose of deposit with the District Court Administrator as fl~e City's approved appraisal of value pursuant to Minn. Stat. § 117.042. Offered by: Second by: Roll call: Kelzenberg Williams Ayes: Peterson, Williams, Ericson, Kelzenberg Nay: Nawrocki Adopted by the City Council of the City of Columbia Heights, Minnesota this 24a~ day of January 2005. Gary L. Peter'Son, Mayor P~tricia Muscovitz, CMC Cf Deputy City Clerk/Council Secretary A-3 EXHIBIT A Legal Descriptions of Properties To Be Acquired by Eminent Domain Proceedings (collectively, "Subject Property") Parcel E The street addresses of Parcel E are 3755 University Avenue NE, 3700-5m Street NE and 317-37m Avenue NE, Colmnbia Heights, Minnesota 55421. The property identification numbers for Parcel E are: 35-30-24-34-0003 (3700 5th Street NE) and 35-30-24-34-0004 (317 - 37th Avenue NE) The legal description of Parcel E is as follows: Lots 4 and 5, Auditor's Subdivision No. 50 Together with vacated and to be vacated streets and alleys accruing thereto upon vacation and appurtenant easements if any. According to the map or plat thereof on file and of record in the office of the County Recorder in and for Anoka County, Minnesota. Parcel F The street address of Parcel F is 620 - 39m Avenue NE, Columbia Heights, Minnesota 55421. The property identification number for Parcel F is: 35-30-24-43-0047 The legal description of Parcel F is as follows: Lots 1 and 2, Block 3, 2na Subdivision of Block F, Columbia Heights Annex, together with that portion of the North ½ of 38m ½ Avenue Northeast abutting said Lots, heretofore vacated Together with vacated and to be vacated streets and alleys accruing thereto upon vacation and appurtenant easements if any. According to the map or plat thereof on file mad of record in the office of the County Recorder in and for Anoka County, Minnesota A-4 Parcel G The street address of Parcel G is 450 - 38~ Avenue NE, Columbia Heights, Minnesota 55421. The property identification number for Parcel G is: 35-30-24-34-0002 The legal description of Parcel G is as follows: That part of Lot 3, Auditor's Subdivision No. 50, Anoka County, Minnesota, lying 9.00 feet Northwesterly of the vacated spur track once located on said Lot 3. Together with vacated and to be vacated streets and alleys accruing thereto upon vacation and appurtenant easements if any. According to the map or plat thereof on file and of record in the office of the County Recorder in and for Anoka County, Mim~esota. A-5 EXItlBIT B Just Compensation Amounts Parcel E F G Property Address 3755 University Avenue NE Columbia Heights, MN 620 - 39th Avenue NE Columbia Heights, MN 450 - 38th Avenue NE Columbia Heights, MN Just Compensation Amount* $1,405,100 $438,210 $320,000 *Includes real estate and fixtm'es, if any, for entire parcel. B~I