HomeMy WebLinkAboutContract 1878
SECOND AMENDMENT TO
CONTRACT FOR PRIVATE REDEVELOPMENT
THIS AGREEMENT, made on or as of the 22nd day of November 2005, by and between
COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORlTY, COLUMBIA HEIGHTS,
MINNESOTA, a public body corporate and politic (the "Authority"), established pursuant to
Minnesota Statutes, Sections 469.090 to 469.1081 (hereinafter referred to as the "Act"), and NEW
HEIGHTS DEVELOPMENT, LLC, a Minnesota limited liability company (the "Redeveloper").
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WHEREAS, the Authority and the Redeveloper entered into that certain Contract for Private
Redevelopment dated as of September 22, 2003 (the "Contract") providing for the redevelopment oy
certain property described as the Redevelopment Property in the Contract; and
WHEREAS, under Section 4.1(b) of the Contract, the Redeveloper is obligated to construct all
Public Improvements (as defined in that section) located within or serving the Redevelopment
Property, including the streets; and
WHEREAS, the Redeveloper also entered into a Development Contract for Grand Central
Lofts, Anoka COlillty, Minnesota between the Redeveloper and the City of Columbia Heights ("City"),
dated September 3, 2004 (the "Planning Contract"), which further specifies the Redeveloper's
responsibilities regarding construction of streets and other improvements within the plat of the
Redevelopment Property; and
WHEREAS, Authority and Redeveloper entered into a First Amendment to Contract for
Private Redevelopment dated as of April 26, 2005, which provided for acquisition of certain easements
required to construct a public road serving the Redevelopment Property: and
WHEREAS, the Authority and Redeveloper have detennined a need to acquire certain
additional temporary and permanent easements on certain property adjacent to the Redevelopment
Property in order to construct a public road within the plat; and
WHEREAS, the Redeveloper has exhausted efforts to acquire such easements through direct
negotiation; and
WHEREAS, the parties have determined a need to amend the Contract in order to facilitate
acquisition ofthe necessary easements.
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. The Contract is amended add new Section 3.1A as follows:
(a) The Redeveloper has determined that the temporary construction easement and permanent
street right of way easement described in Exhibit A to this Amendment (together, the "Easements") are
needed in order to construct the street running from 47th Avenue to 49th Avenue. Further, Redeveloper
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has exhausted efforts to acquire the Easements in the City's name directly from the third party owner.
Therefore, the Authority will request the City to acquire the Easements using its powers of eminent
domain. The parties agree and understand that the City will utilize so-called "quick take" powers
under Minnesota Statutes Ch. 117 to the extent needed or desirable to enable the street improvements
to proceed in accordance with the overall schedule for the Minimum Improvements. The parties will
cooperate and consult with one another on any condemnation actions -and specifically on the final price
to be paid in settlement of any condemnation action.
(b) During the pendency of any City actions to acquire the Easements, the Redeveloper
shall be required to promptly pay all expenses incurred by the Authority or City in connection with the
prosecution thereof, including legal, survey, title, appraisal, relocation, process service, court costs,
and sirnilar expenses and all damages awarded to the owner of the property to the encumbered by said
easements or which the City agrees to pay in settlement of the taking. The Authority shall, not more
often than monthly during the pendency of the action, furnish the Redeveloper with a written itemized
statement of all such expenditures. Redeveloper shall have two weeks from the receipt of such
statement to pay the same.
(c) Not later than five days prior to any date on which the City is required to deposit any
amount into court to obtain title and possession to the Easements, Redeveloper shall deliver to the
Authority 100 percent of the amount of any such deposit or payment. The Authority shall then have
the right, and subject to the terms and conditions hereof, the obligation to transfer such funds to the
City in order to make such deposit or such payments. The Authority shall have no obligation to repay
such funds received, deposited or paid pursuant to this Agreement should the redevelopment covered
by this Agreement not be completed for any reason.
(d) The Authority will instruct the City not to make the deposit and obtain title to and
possession ofthe Easements unless:
(i) There is no uncured default by Redeveloper tmder this Agreement; and
(ii) The Redeveloper has provided the Authority with an undertaking in the form of
a written agreement and security reasonably acceptable to the Authority (including but not
limited to a letter of credit, escrow deposit, or lien) that will assure payment by the
Redeveloper of 100 percent of any condemnation award for the Easements in excess of the
previously deposited sums. Such security shall be in the amount adequate to ensure
performance of the above-described obligations outstanding from time to time and shall remain
in effect according to its terms, and in any event, until suitable and adequate substitute security
is agreed to by the parties, or until the obligations secured thereby are fully performed.
(e) The parties agree and understand that the Easements acquired by the City will run in
favor of the City, and the Redeveloper will have no right, title or interest in the Easements.
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IN WITNESS WHEREOF, the Authority has caused this Amendment to be duly executed in
its name and behalf and its seal to be hereunto duly affixed and the Redeveloper has caused this
Agreement to be duly executed in its name and behalf on or as ofthe date first above written.
COLUMBIA HEIGHTS ECONOMIC
DEVELOPMENT AUTHORITY
B\sp~t~jl
BYItSEX~~Fehst
STATE OF MINNESOTA )
) SS.
COUNTYOFANOKA )
The foregoing instrument was acknowledged before me this .;;l-c2day of AfO\{~-'i:..J\...,
2005, byJ:;>..::-S, ffi.\}f't.~n .-S '(' and l....,Ja...\~" \Z. Fek:>t, the President and Executive Director of
the Columbia Heights conomlC Development Authonty, a publIc body politIc and corporate, on
behalf of the Authority.
..
CHERYl A. BAKKEN i
NOTARY PUBUC -MINNESOTA
MY COMMISSION EXPlRE51-31-2007
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Notary Public . ~
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NE
HTS DEVELOPMEN , LC
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By
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STATE OF MINNESOTA )
) SS.
COUNTY OF Anoka )
The foregoing instrument was acknowledged before me this d-Ol day of )JOVef~,
2005 by .e,V'\.jc~ N~B1~' the ~"'~~+ -Th%,\(,'1 e..1/ of New Heights Development,
LLC, a Minnesota limitedlia lhty company, on behalf of the company.
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CHERYl.. ABAJ(f(EN I
NOTARYPUBUC-MINNESOTA
MY COMMISSION EXPIRES 1-31-2007
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Notary Public
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EXHmIT A
TO
mRSTAMENDMffiNTTOCONTRACTFORPIDVATEREDEVELOPMffiNT
Temporary Construction Easement and Permanent Street Right of Way
Easement
PARCEL B:
That part ofthe NWl/4 of the SWII4 of Section 25, Township 30, Range 24, Anoka County,
Minnesota, described as follows:
Commencing at a point on the west line of said NWl/4 ofthe SWII4 383.00 feet south from the
northwest comer of said NWl/4 ofthe SWl/4; thence East at right angles to said West line a
distance of 550.00 feet; thence South and parallel with said West line a distance of 60.15 feet;
thence West at right angles a distance of 195.67 feet; thence South and parallel to said West line a
distance of 89.85 feet; thence West at right angles a distance of354.83 feet to said West line of said
NWl/4 of the SWl/4; thence North along said West line a distance of 150.00 feet to the actual point
of beginning.
Which lies Easterly of the following described lines:
Commencing at the northwest comer of OUTLOT E, GRAND CENTRAL LOFTS, Anoka County,
Minnesota; thence S 89035' 12" E, along the north line of said Outlot E, a distance of 112.12 feet to
the point of beginning of the lines to be described; thence N 26002'39" E, a distance of20.67 feet;
thence northerly along a tangential curve, concave to the west, having a radius of250.00 feet, a
central angle of25037'51", a distance of111.84 feet and there terminating.
Together with a 25.00 foot wide temporary construction easement, the easterly line of which is the
above described lines.
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