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HomeMy WebLinkAboutEDA AGN 01-04-16CH COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY AGENDA January 4, 2016 6:30 pm City Hall Conference Room 1 590 401h Avenue NE Columbia Heights, MN 55421 1. Call to Order (by the Executive Director) 2. Roll Call (by the Executive Director) 3. Pledge of Allegiance (Led by the Executive Director) 4. Election of Officers (Led by the Executive Director) CONSENT AGENDA 5. Approve minutes of December 7, 2015— Resolution 2016 -01 6. Approve Financial Report and Payment of Bills for November, 2015 - Resolution 2016- 01 Motion: Move to approve Consent Agenda as presented. BUSINESS ITEMS 7. Single Family Home Lot Sales Program: Amendment - Resolution 2016 -02 Motion: Move to waive the reading of Resolution 2016 -02, there being ample copies available to the public. Motion: Move to adopt Resolution 2016 -02, Resolution approving certain changes to the Single Family Home Lot Sales Program. -OVER- PUBLIC HEARINGS 8. Purchase and Redevelopment Agreements with Tollberg Homes, LLC. — Resolution 2016 -03 Motion: Move to waive reading of Resolution 2016 -03, there being ample copies available to the public. Motion: Move to adopt Resolution 2016 -03, Resolution approving Purchase and Redevelopment Agreements with Tollberg Homes, LLC for the acquisition of certain residential lots. OTHER BUSINESS 9. 2016 Economic Development Authority Goals 30. Adjourn The next regular EDA meeting will be February 1 ", 201 6 at City Hall. CH COLUMBIA HEIGHTS AGENDA SECTION ELECTION OF OFFICERS ITEM NO. 4 MEETING DATE JANUARY 4, 2016 CITY OF COLUMBIA HEIGHTS - ECONOMIC DEVELOPMENT AUTHORITY ITEM: Election of Economic Development Authority Officers [DEPARTMENT: Economic Development Authority I EXECUTIVE DIRECTOR'S APPROVAL: BY /DATE: Joe Hogeboom, December 30, 2015 I BY /DATE: BACKGROUND: The bylaws of the Economic Development Authority require that officers are elected annually. The current officers are as follows: • President — Gary Peterson • Vice President— Bobby Williams • Treasurer — BruceNawrocki To be considered for an officer position, a member must be nominated by another member, or by him or herself. The bylaws require that the Executive Director conduct the following nomination process. 1. President a. Please provide all nominations for President of the EDA. b. Vote individually for each nominated member. c. The member with the most votes is declared the President of the EDA by the Executive Director. 2. Vice President a. Please provide all nominations for Vice President of the EDA. b. Vote individually for each nominated member. c. The member with the most votes is declared the Vice President of the EDA by the Executive Director. 3. Treasurer a. Please provide all nominations for Treasurer of the EDA. b. Vote individually for each nominated member. c. The member with the most votes is declared the Treasurer of the EDA by the Executive Director. The newly elected President of the EDA will now preside over the remainder of the meeting. City of Columbia Heights - EDA Letter RESOLUTION NO. 2016 -01 A resolution of the Economic Development Authority of Columbia Heights, Minnesota, Approving the Financial Statements for Month of November, 2015 and the Payment of the Bills for the Month of December, 2015. WHEREAS, the Columbia Heights Economic Development Authority (EDA) is required by Minnesota Statutes Section 469.096, Subd. 9, to prepare a detailed financial statement which shows all receipts and disbursements, their nature, the money on hand, the purposes to which the money on hand is to be applied, the EDA's credits and assets and its outstanding liabilities; and WHEREAS, said Statute also requires the EDA to examine the statement and treasurer's vouchers or bills and if correct, to approve them by resolution and enter the resolution in its records; and WHEREAS, the financial statement for the month of December, 2015 has been reviewed by the EDA Commission; and WHEREAS, the EDA has examined the financial statements and finds them to be acceptable as to both form and accuracy; and WHEREAS, the EDA Commission has other means to verify the intent of Section 469.096, Subd. 9, including but not limited to Comprehensive Annual Financial Reports, Annual City approved Budgets, Audits and similar documentation; and WHEREAS, financials statements are held by the City's Finance Department in a method outlined by the State of Minnesota's Records Retention Schedule, NOW, THEREFORE BE IT RESOLVED by the Board of Commissioners of the Columbia Heights Economic Development Authority that it has examined the referenced financial statements including the check history, and they are found to be correct, as to form and content; and BE IT FURTHER RESOLVED the financial statements are acknowledged and received and the check history as presented in writing is approved for payment out of proper funds; and BE IT FURTHER RESOLVED this resolution is made a part of the permanent records of the Columbia Heights Economic Development Authority. ORDER OF ECONOMIC DEVELOPMENT AUTHORITY F ed this day of 2016 ed by: nded by: all: Gary L. Peterson, President Attest: Shelley Hanson, Secretary Resolution 2016 -01 ECONOMIC DEVELOPMENT AUTHORITY (EDA) MINUTES OF THE MEETING OF DECEMBER 7, 2015 IN CONFERENCE ROOM 1 The meeting was called to order at 6:30 pm by Chair Peterson. Members Present: Bruce Nawrocki, Donna Schmitt, Gary Peterson, John Murzyn, Gerry Herringer, Marlaine Szurek, and Bobby Williams. Staff Present: Walt Fehst, Joseph Hogeboom, and Shelley Hanson. PLEDGE OF ALLEGIANCE- RECITED CONSENT ITEMS 1. Approve the Minutes from October 12, 2015. 2. Approve the Financial Report and Payment of Bills for September and October 2015 on Resolution 2015 -25. Questions by Members: Nawrocki noted that personnel expenses are over budget. Hogeboom said that salaries are split between funds 201 and 204 and that transfers are made between the two funds. He said the figures indicated on these statements are only for fund 204 (The EDA fund). Once the transfers are made, personnel expenses will be within budgeted amounts. He said next year the salaries will be charged differently to more accurately reflect the time spent in each fund by personnel in the department. Hogeboom told Nawrocki he would bring more detailed information on personnel expenses for both funds to the next meeting. Motion by Schmitt, seconded by Williams, to waive the reading of Resolution 2015 -25 there being an ample amount of copies available to the public. All ayes. MOTIONPASSED. Motion by Schmitt, seconded by Williams, to approve the consent agenda as presented. All ayes. MOTIONPASSED. EDA RESOLUTION 2015 -25 RESOLUTION OF THE COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA) APPROVING THE FINANCIAL STATEMENTS FOR SEPTEMBER & OCTOBER 2015 AND PAYMENT OF BILLS FOR THE MONTHS OF SEPTEMBER & OCTOBER 2015. WHEREAS, the Columbia Heights Economic Development Authority (EDA) is required by Minnesota Statutes Section 469.096, Subd. 9, to prepare a detailed financial statement which shows all receipts and disbursements, their nature, the money on hand, the purposes to which the money on hand is to be applied, the EDA's credits and assets and its outstanding liabilities; and WHEREAS, said Statute also requires the EDA to examine the statement and treasurer's vouchers or bills and if correct, to approve them by resolution and enter the resolution in its records; and EDA Minutes Page 2 December 7, 2015 WHEREAS, the financial statement for the months of September & October 2015 has been reviewed by the EDA Commission; and WHEREAS, the EDA has examined the financial statements and finds them to be acceptable as to both form and accuracy; and WHEREAS, the EDA Commission has other means to verify the intent of Section 469.096, Subd. 9, including but not limited to Comprehensive Annual Financial Reports, Annual City approved Budgets, Audits and similar documentation; and WHEREAS, financials statements are held by the City's Finance Department in a method outlined by the State of Minnesota's Records Retention Schedule, NOW, THEREFORE BE IT RESOLVED by the Board of Commissioners of the Columbia Heights Economic Development Authority that it has examined the referenced financial statements including the check history, and they are found to be correct, as to form and content; and BE IT FURTHER RESOLVED the financial statements are acknowledged and received and the check history as presented in writing is approved for payment out of proper funds; and BE IT FURTHER RESOLVED this resolution is made a part of the permanent records of the Columbia Heights Economic Development Authority. Passed this 7th day of December, 2015 MOTION BY: SECONDED BY: AYES: All ayes BUSINESS ITEM 1. Single family Home Lot Sales Program — Lot Sale Authorization Hogeboom explained that in September, the Economic Development Authority (EDA) created the Single Family Home Lot Sales Program. Tollberg Homes has proposed to purchase each of the existing lots in the program for $22,500 per lot. The lots are listed as follows: 4606 Polk Street NE PID 25- 30 -24 -33 -0030 4636 Polk Street NE PID 25- 30 -24 -33 -0025 4641 Tyler Street NE PID 25- 30 -24 -33 -0038 4600 Polk Street NE PID 25- 30 -24 -33 -0031 4648 Polk Street NE PID 25- 30 -24 -33 -0023 4618 Polk Street NE PID 25- 30 -24 -33 -0028 EDA Minutes Page 3 December 7, 2015 Tollberg Homes has included a proposal that describes the company's portfolio and plans for the abovementioned lots. Staff has reached out to other communities in which Tollberg has built homes, and has received very positive feedback about the quality of Tollberg Homes' product, as well as the company's professionalism. Listing prices for the abovementioned lots were established at the Estimated Market Value for the individual properties, ranging from $40,200 to $50,600. Hogeboom explained that he had contacted about 20 builders and received feedback from a number of them that the lots currently available in the program, which are located in the Heritage Heights neighborhood, are generally of lower value than other properties in the City. (This will hopefully change when new housing stock is introduced into the neighborhood.) Hogeboom said he did get a verbal offer from another builder of $7,500 per lot, but he told that builder that the EDA would not consider that low of an offer. Staff feels that the offer from Tollberg Homes, which exceeds a local real estate agent's estimated values of the properties, is acceptable and should be considered by the Economic Development Authority. Staff recommends that the Economic Development Authority call a public hearing on Monday, January 4, 2016 to approve the conveyance of certain lots to Tollberg Homes. Questions /comments from members: Jerry Tollefson, from Tollberg Homes was present to answer questions. He told members that his company has built homes in Minot, ND and recently they have been building in Anoka, Coon Rapids, and Crystal. He said his homes are a quality product and he is not willing to cheapen the construction as the reputation of his company is at stake. He explained that they did a lot of research and established a price point not to exceed $200,000 for this area. Therefore, after taking into consideration the cost to construct the homes, they determined the purchase price of the lots could not be more than the $22,500 that has been offered. Tollefson said he is confident that he can build and sell the 6 houses during the next year to improve the neighborhoods. He passed out comparable sales figures he had gathered for commission members to review. Nawrocki asked what the EMV were on the lots. Hogeboom told him they ranged between $40,200 to $50,600. Nawrocki then asked what the realtors thought the lots were worth. Hogeboom said Remax estimated that the lots would sell for between $7,500 - $15,000. Hogeboom reminded members that the scattered site lots sold for $7,500 each and the Pierce Street lot went for $15,000. He said the price being offered tonight by Tollberg Homes is much higher than those sales. EDA Minutes Page 4 December 7, 2015 Nawrocki wanted to know what the City paid for the lots and what the demo costs were. Hogeboom said the acquisition costs and demo costs were paid for by CDBG Grant funds. The only cost to the City thus far has been for the clean-up of the sites and general maintenance such as mowing. Murzyn asked what the costs were for sewer & water work done for those lots. Hogeboom said he would gather this information and have it for the members for the January Public Hearing. Szurek said we may sit on these lots a while if we hold firm to a higher price. She felt it is important to get them sold and built on in order to improve the neighborhood appearance and get them back on the tax rolls. Fehst stated that this is three times the amount we got for the scattered site lots. Schmitt asked if Tollefson builds the houses on spec and then sells them, or if he waits till he has buyers. Tollefson stated he would purchase all the lots and then he plans on building two houses at a time. He lists them once they are sheetrocked prior to final finishing so that buyers can upgrade their options if they chose to. Nawrocki asked Hogeboom if neighbors are notified of the Public Hearing. Hogeboom stated that generally for an EDA Public Hearing it is published in the paper and it is posted on the agenda notices in various places. He said in this case he would also notify the builders that had previously been contacted, but that neighbors in the surrounding area are not generally notified. Motion by Williams, seconded by Herringer, to hold a public hearing of the EDA on January 4, 2016 to approve the conveyance of certain lots to Tollberg Homes. All ayes. MOTION PASSED. ADMINISTRATIVE REPORT A. January Goalsettina- Hogeboom told members that the last goal setting session was held two years ago. Some of the goals have been completed, some are in progress, and others haven't started yet. He will bring an update to the members at the January meeting. Hogeboom also informed the members that the 2016 CDBG application process starts in January and he will be attending a meeting regarding the criteria that is required to be part of the application. B. Development Proiect Update- Hogeboom gave members an update of the businesses opening at 5200 & 5220 Central Avenue. He also told them he hopes to bring information to them early next year regarding the Rainbow Mall site. EDA Minutes Page 5 December 7, 2015 Hogeboom said the Final Plat for the Huset Park Sr Housing project will go before the City Council in January. They are planning on submitting the building permit documents once that is approved and then start construction in late winter. He told members that the new owners of the NE Business Center are working hard on getting a commercial tenant for the upper floors of the business center. They are confident they will be able to get a tenant who needs that much space. NE Bank will be moving out of the building once their new location in New Brighton is finished. The auto moratorium will be discussed at the work session following this meeting. Venture Pass has a proposal for the 47th & Central Avenue site that would include a Jiffy Lube, so the Council needs to be aware of this plan prior to making a final decision about changes to our Ordinance for future auto related businesses in the city. It was noted that the next meeting will be Monday, January 4th at 6:30 in Conference Room 1. The meeting was adjourned at 7:07 pm. 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The changes reflect protecting the EDA from incurring any buyer- associated sale costs, as well as establishing a minimum lot price for each lot in the program. An underlined /over- scored copy of the Program guidelines is attached. STAFF RECOMMENDATION: Staff recommends approval of Resolution 2016 -02, authorizing certain changes to the Single Family Home Lot Sales Program. RECOMMENDED MOTION(S): Motion: Move to waive the reading of Resolution 2016 -02, there being ample copies available to the public. Motion: Move to adopt Resolution 2016 -02, Resolution Approving certain changes to the Single Family Home Lot Sales Program. ATTACHMENTS: 1. Single Family Home Lot Sales Program (13 pages) 2. Resolution 2016 -02 (3 pages) City of Columbia Heights - EDA Letter S' �1 qi ii,[ MG now f P1CyAR _ .•y Single Family Home Lot Sales Program 1-711 COLUMBIA HEIGHTS COMMUNITY PROFILE There is renewed interest in constructing new single family homes in the first ring suburbs of Minneapolis and St. Paul. Living closer to the urban core allows people to have shorter commutes to work, and a plethora of dining and entertainment opportunities. Columbia Heights is well positioned as a first ring suburb, directly adjacent to booming Northeast Minneapolis. Columbia Heights offers high - quality lots in existing neighborhoods with close proximity to both Downtown Minneapolis and the northern suburbs. Despite only being two and a half miles from Downtown Minneapolis, Columbia Heights offers small town amenities, such as our own "Main Street" along Central Avenue, our award winning School District, as well as neighborhood and regional parks. Public and private reinvestment continues to occur in Columbia Heights, including the construction of a new, state -of -the -art Public Library, new restaurant and shopping areas, and a water park -themed splash pad. Columbia Heights has many community amenities, and provides exceptional real estate value to homebuyers. Columbia Heights continues to make a concerted effort to reinvest in its neighborhoods. Having implemented several housing reinvestment programs throughout the past several years, Columbia Heights is seeing a marked increase in new single family home construction. The lots that are for sale as a part of this program were strategically acquired by Columbia Heights' Economic Development Authority, and are ready to be developed. We welcome you to Rediscover the Heights! PROGRAM GUIDELINES This program is designed to sell residential lots to state licensed home builders for the construction of new single family homes. The Cit}/s Economic Development Authority (EDA) is only authorized to work with, and sell properties to, builders. The EDA considers proposals on a "first -come, first - served" basis. The first proposal offering to buy the lot and build a house that meets established price and development guidelines will be presented to the EDA Board for consideration. The EDA Board retains absolute authority and discretion to decide whether or not to accept any particular proposal. Proposals must be submitted by state - licensed builders who have constructed at least three houses in Minnesota in the last five years, or have equivalent experience acceptable to the EDA. The house may be built speculatively or for a specific buyer, and it cannot be used as a rental property. The EDA will only accept proposals from state - licensed builders. The new owner - occupied single family home must have at least three legally conforming bedrooms, two bathrooms and a two car garage (which may be either attached or detached, depending on the property layout). Builders may propose to purchase a lot, subject to EDA requirements, or they may propose to purchase a six month option on the lot for a non - refundable fee of $1,000, renewable for one additional six month term for an additional non - refundable fee of $500. The option provides the builder with an exclusive right to purchase the lot and build a single family home, subject to EDA requirements. If the builder purchases the lot, the option fee(s) will be credited toward the purchase price of the property. If the builder opts not to purchase the lot, the option fee(s) will be retained by the EDA. As a condition of the option, the builder must list the lot with a "to- be- built" house plan displayed on the Multiple Listing Service (MLS) for the duration of the option. No single builder may hold more than 25% of the lot inventory in options. If a builder chooses to purchase a property, the builder must submit a proposal for the property that will be brought to the EDA Board for approval. Once approved, the builder is then required to provide a non - refundable earnest deposit of $2,000 within fourteen days. If the deposit is not received, the transaction will be cancelled. FREQUENTLY ASKED QUESTIONS Are lot prices negotiable? Lot prices are based upon the Estimated Land Value of each individual property. The EDA reserves the right to review and adjust lot prices periodically. How are legal fees and closing costs handled? In general, the Economic Development Authority's legal fees and closing costs are included within the price of the lot. Developer is responsible for its own legal fees and costs related to any title evidence deemed necessary by Developer A $2,000 earnest deposit will be required from Developer within 14 days of EDA approval for all lot purchases. A Developmen purchase and Redevelopment Agreement will be drafted upon sale approval which will specify specific cost structures. How does the EDA handle multiple offers? The EDA considers proposals on a "first -come, first - served" basis. This means that the first proposal a f'" priee offer for the let offer meeting the price and development criteria established in these Guidelines as to a given lot will be presented to the EDA for its consideration. The EDA retains absolute discretion to decide whether or not to accept any particular proposal. Full er-s Offers to purchase lots will take precedence over offers to purchase options on lots. Has the lot been surveyed? No survey work has been performed by the EDA. However, with prior consent of the EDA, the prospective buyer may have the lot surveyed by a registered land surveyor. The EDA and City retain the right to keep a copy of all official surveys as part of the public record for the property. What is the condition of the property? Each lot is sold "as is." The prospective buyer is responsible to perform all necessary improvement to the lot at its own cost. Is sewer and water available to the property? Please contact the Columbia Heights Public Works Department (763 -706- 3700) regarding requirements for connecting to the public sewer and water system. How much time do I have to commence and complete construction? After purchasing a lot, construction should begin within a reasonable time period and be completed within one year. See the Purchase and Redevelopment Agreement for more details. What are the building requirements for a new home? All homes constructed through this program must contain the following: • Three bedrooms • Two bathrooms • Two enclosed garage stalls, accessible by a paved driveway • Windows on every wall of the home • Basements with at least one egress window • One canopy tree in either the front or rear yard • All required features of the State Building Code Can a new home become rental property? No, all lots purchased must be developed with owner occupied housing. Each conveyance is subject to a A ten year deed restriction requiring owner occupancy, as reQuired by must be signed as-� the Purchase and Redevelopment Agreement. See Purchase and Redevelopment Agreement for more details. LOTS FOR SALE PROPERTY APPROXIMATE AREA Minimurr Sale Price ADDRESS DIMENSIONS (sq. ft.) (wxd) 4606 POLK ST NE 50' x 128' 6,534 $20,000 4636 POLK ST NE 70'x 128' 7,840 $20,00 0 4641 TYLER ST NE 60' x 128' 7,840 $20,00 0 4600 POLK ST NE 50'x 128' 6,534 $20,00 0 4648 POLK ST NE 60' x 120' 7,840 $20,000 4618 POLK ST NE 55' x 128' 6,534 $20,00 0 Please note that only lots listed on this chart are for sale under this program. The City or EDA may own additional properties that are not for sale for various reasons. The City and EDA will not entertain offers for properties not actively listed for sale. � � C V7-�; IFAP L -- fit CA m a - -� M m $ o v Q1 C -- - - - - -, -- — 3 0 TY R S- ° II I (n i TAYLOR ST L - -- x m m N I RESERVOIR BLVD FILL MORE ST n [s7 ADDITIONAL INFORMATION Thank you for your interest in developing housing in the City of Columbia Heights. For more information about this program, please visit www.columbiaheightsmn gov or contact the Community Development Department at (763) 7o6- 3670. CH . COLUMBIA -HEIGHTS - REDISCOVER THE HEIGHTS PROPOSAL FORM (Please detach and submit the this section and submit it to the Community Development Department) PROPERTY ADDRESS: CHECK ONE: _ BUILDER OFFERS $ TO PURCHASE THIS LOT BUILDER OFFERS $1,000 FOR A SIX -MONTH OPTION TO PURCHASE THIS LOT FOR $ 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 the same. If a builder's proposal is tentatively accepted by the EDA Board, then EDA staff would work with the Builder 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 wed has 14 days to sign a Purchase & Redevelopment Agreement, and provide $2,000 earnest money for the lot. Only after such Agreement is signed and earnest money paid would a binding contract exist between the EDA and Builder. Builders may purchase a 6 -month option on a lot for $1,000, renewable for an additional 6 months for an additional $500. The option provides the builder with exclusive right to purchase the lot and build a house subject to the normal EDA 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 option on more than 25% of the Program's lots. BUILDER: (Builder is required to be a Residential Building Contractor licensed by the State of Minnesota.) Name: State License Number: Phone: Address: City /State /Zip: Email: Website: REQUIRED ATTACHMENTS AND ADDITIONAL INFORMATION: 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 #1: House #2: House #3: PROPOSAL GUIDELINES Please provide the following information regarding the lot(s) intended for purchase: A. Legal Description: The property is legally described as B. Anticipated Timeline for Lot Sales. After a builder submits a qualifying proposal, the timeline is as follows: • EDA meeting #1: EDA rejects or tentatively accepts Builder's proposal. If accepted, Builder prepares detailed house plans for EDA public hearing. • EDA meeting #2 (approximately one month after #1): EDA holds public hearing and considers a resolution authorizing the lot sale. • 14 days after EDA meeting #2: Deadline for Builder to sign the Purchase & Redevelopment Agreement and pay $2,000 nonrefundable earnest money. • 60 days after EDA meeting #2 Deadline for Builder to close on the lot purchase. C. Deadline for Completion. Construction of the new house must be completed within one year of EDA meeting #2 (see above) D. Specifications. 1. Grading & Drainage a) The lot is generally b) Drainage from the house, garage, driveway and any other structures shall be accommodated on the site so that water flow onto adjacent properties is minimized. Builder's final grade shall carry water primarily to the street. If determined by the Building Official to be necessary, Builder will install rain gutters to direct roof runoff to minimize impacts on adjacent properties. Builders will restore any disturbed turf or landscaping. c) Builder will follow Best Management Practices to minimize erosion and runoff onto adjacent properties and public ways. At a minimum, Builder will install silt fencing or wattle lots to prevent runoff silt from flowing ono the street or adjacent properties. 2. Utilities a) Utility meters shall be reasonably screened from street view; locations must be specified on the plans submitted with the building permit application. b) All utility service lines shall be underground. Utilities may locate necessary facilities such as pedestals or boxes in the street right -of -way or utility & drainage easements. C) Any expenses for connection of the house to utilities shall be the responsibility of Builder, including any necessary landscaping or sidewalk, curb or pavement work, but excepting reasonable costs associated with sewer stub replacement discussed in e) below d) Municipal Water. Municipal water is available at the lot line along There are no WAC charges. e) Municipal Sanitary Sewer. There are There are not SAC charges levied by Metropolitan Council Environmental Services. f) Private Utilities, including natural gas( ), electricity ( ), telephone ( ), and cable television ( ). The house shall access private utilities via underground connections only. * *Describe where utilities are located * ** g) Questions regarding city utilities should be directed to Columbia Heights Public Works Department at 763 - 706 -3700. Questions regarding private utilities should be directed to the respective utility company. 3. Driveways and Curb Cuts a) A hard surfaced driveway is required to provide access from the street or alley to the new house's garage. b) The driveway approach (the area between the street and the front lot line) must tie into and match the existing curb cut. c) Alternatively. Builder may install a wider curb cut, up to a maximum of 22 feet, at its own expense. (A separate permit and escrow are required.) Unused curb cut and driveway apron shall be removed and replaced with full height curb and gutter and turf. d) In no circumstances shall the curb cut or driveway approach from the curb cut to the lot line exceed 22 feet in width. e) Once onto the subject property, the driveway may exceed 22 feet in width provided it also does not exceed the width of the overhead garage doors plus six feet. f) The house's building permit application must include a site plan showing the proposed driveway layout. 4. General Construction Practices. The construction site, neighboring property and adjacent public streets shall be kept free of construction debris at all times, and Builder must have a construction dumpster to prevent debris from being scattered or blown around. S. Building Standards. a) Compliance with Columbia Heights City Code. b) Minimum required setbacks for the house are as follows: 25' from the front lot line, 20% of lot depth for the rear lot line and _' from the side lot lines. c) The houses shall have at least three bedrooms and two bathrooms. d) The house shall have a full depth basement, unless the selected design results in a split level /garden level type of basement. At a minimum, basements shall have at least one egress window and a rough in for a future % bath. Additional basement windows are desirable. Slab houses and crawlspace houses will not be considered by the EDA. e) Exterior materials (siding, soffit, doors and windows) shall be low maintenance. The use of brick or stucco is encouraged. Fiber cement siding or wood siding with natural resistance to decay are encouraged but they must be property stained or panted. Vinyl or other low maintenance siding materials are generally acceptable and can be made more desirable through the use of shakes and other ornamental design features. f) The house shall have a detached or an attached garage for at least two cars, accessed via a hard surfaced driveway from the street or alley. g) The design should emphasize the front door as the focal point for the front of the house. A large and usable (minimum depth 6 feet) front porch is desired. Garage door dominance in design should be minimized as much as possible. h) Plans should present a balanced and pleasing distribution of wall and window areas from all views. Each exterior wall must have at least one window. i) The new house shall be built with a passive venting system for radon gas reduction. j) The new house shall have Carbon Monoxide alarms in accordance with M.S. 299F.50 k) No equipment such as air - conditioning cooling structures or condensers that generate noise shall be located within a side setback, drainage & utility easement, or 10 feet of living quarters located in a building on adjacent property. 6. Landscaping. The lot shall be landscaped to be aesthetically pleasing in all seasons. Land forms and plant materials shall be used to define the site and blend neatly with adjoining property. At a minimum the following are required: • Plant one large species canopy shade tree in the front yard, and one large species canopy shade tree in the back yard (if none exist). • Grass or other vegetative cover must be provided to all non -paved outdoor surfaces. Species, size and specific locations of all new trees should be indicated on planting plan. Builder must submit a planting plan to the City for review and approval prior to planting. If Builder desires to close on the sale of the new house prior to completion and acceptance of the landscaping, the EDA may require that funds be escrowed by the Builder to guarantee that landscaping is completed in a timely manner after closing. COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY RESOLUTION NO. 2016-02 RESOLUTION APPROVING REVISED GUIDELINES FOR CONVEYANCE OF CERTAIN LOTS OWNED BY THE ECONONOMIC DEVELOPMENT AUTHORITY BE IT RESOLVED By the Board of Commissioners ('Board ") of the Columbia Heights Economic Development Authority ( "Authority") as follows: Section 1. Recitals. 1.01. The Authority has determined a need to exercise the powers of a housing and redevelopment authority, pursuant to Minnesota Statutes, Sections. 469.090 to 469.108 ( "EDA Act "), and is currently administering the Downtown CBD Redevelopment Project ( "Redevelopment Project ") pursuant to Minnesota Statutes, Sections 469.001 to 469.047 ( "HRA Act "). 1.02. Within the Redevelopment Project, the Authority has acquired parcels suitable for the construction of single - family homes, which parcels are described in Exhibit A hereto (the "Subject Parcels "). 1.03. The Authority intends to convey the Subject Parcels to contractors that will construct homes for sale to owner - occupants, and may in the future identify additional parcels suitable for such construction. To that end, the Authority created its Single Family Home Lot Sales Program and approved preliminary guidelines for this program (the "Guidelines ") on September 8, 2015. 1.04. The Authority has determined that certain revisions to the Guidelines are needed, and has caused revisions to the Guidelines to be prepared in the form presented to the Board. Section 2. Revised Guidelines Approved: Further Proceedings. 2.01. The Board approves the Guidelines as modified. 2.02. Authority staff and consultants are authorized and directed to negotiate sales of the Subject Parcels with qualified contractors, subject to the condition that before the EDA is obligated to sell any Subject Parcel, the Board shall approve a purchase and redevelopment agreement with the buyer of that parcel, as described in the Guidelines. Approved by the Board of Commissioners of the Columbia Heights Economic Development Authority this 4th day of January, 2016. ATTEST: Secretary 2 President EXHBIT A Subject Parcels ADDRESS LEGAL DESCRIPTION pID 4606 Polk Street NE Lot 13, except the North %, the North 30 feet of Lot 25- 30 -24 -33 -0030 14, Block 2, Sheffield's Second Subdivision, Anoka Coun ,Minnesota [Torrens] 4636 Polk Street NE Lot 5, except the North 35 feet thereof, all of Lot 6, 25- 30 -24 -33 -0025 and the North %2 of Lot 7, in Block 2, Sheffield's Second Subdivision, Anoka County, Minnesota [Torrens 4641 Tyler Street NE Lot 25 and the South 20 feet of Lot 26, Block 2, 25- 30 -24 -33 -0038 Sheffield's Second Subdivision, Anoka County, Minnesota [Torrens 4600 Polk Street NE Lot 14, except the North 30 feet thereof, and Lot 15, 25- 30 -24 -33 -0031 Block 2, Sheffield's Second Subdivision, Anoka County, Minnesota Torrens] 4648 Polk Street NE South'' /2 of Lot 2, and all of Lot 3, Block 2, 25- 30 -24 -33 -0023 Sheffield's Second Subdivision, Anoka County, Minnesota [Toffens] 4618 Polk Street NE Lot 11, and the North 10 feet of Lot 12, Block 2, 25- 30 -24 -33 -0028 Sheffield's Second Subdivision, Anoka County, Minnesota Toffens] COLUMBIA Ci HEIGHTS AGENDA SECTION PUBLIC HEARING ITEM NO. 8 MEETING DATE JANUARY 4, 2016 CITY OF COLUMBIA HEIGHTS — ECONOMIC DEVELOPMENT AUTHORITY ITEM: Purchase and Redevelopment Agreements with Tollberg Homes, LLC DEPARTMENT: Economic Development Authority EXECUTIVE DIRECTOR'S APPROVAL: BY /DATE: Joe Hogeboom, December 30, 2015 BY /DATE: BACKGROUND: On December 7, 2015, the EDA called a public hearing to approve a Purchase and Redevelopment Agreement with Tollberg Homes for the purchase and acquisition of six EDA -owned residential properties. Tollberg Homes proposes to construct six single family homes on the properties, which would meet the EDA's minimum construction standards. Under this agreement, the properties will be sold to Tollberg Homes for $22,500 per lot. (Please note that due to the large size of the contracts, only one full contract is attached. The contracts are all the same language, except for the address on the first page of each document. First pages and subsequent signature pages are included for each additional contract.) In December, the EDA requested information pertaining to acquisition costs associated with these properties by the EDA. The total acquisition cost for the six properties in question was $946,400, which was expended via unobligated K -Mark Tax Increment Financing funds. As part of the "Sheffield Neighborhood Action Plan ", an additional $170,000 was granted to the City through the Community Development Block Grant program in 2010. Of that allotment, $168,442.50 was ultimately used to fund demolition costs, environmental and site remediation, and sewer and water disconnect. STAFF RECOMMENDATION: Staff recommends approval of Resolution 2016 -03, authorizing approval of the Purchase and Redevelopment Agreements with Tollberg Homes, LLC. for the acquisition of the following properties: 4606 Polk Street NE 4636 Polk Street NE 4641 Tyler Street NE 4600 Polk Street NE 4648 Polk Street NE 4618 Polk Street NE RECOMMENDED MOTION(S): Motion: Move to waive the reading of Resolution 2016 -03, there being ample copies available to the public. Motion: Move to adopt Resolution 2016 -03, Resolution Approving Purchase and Redevelopment Agreements with Tollberg Homes, LLC for the acquisition of certain residential lots. ATTACHMENTS: 1. Purchase and Redevelopment Agreements 2. Resolution 2016 -03 (3 pages) City of Columbia Heights - EDA Letter COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY RESOLUTION NO. 2016-03 RESOLUTION APPROVING PURCHASE AND REDEVELOPMENT AGREEMENTS WITH TOLLBERG HOMES, LLC. BE rf RESOLVED BY the Board of Commissioners ( "Board ") of the Columbia Heights Economic Development Authority (the "Authority") as follows: Section 1. Recitals. 1.01. The Authority has previously adopted a program called the Single Family Home Lot Sales Program (the "Program "), and has adopted guidelines in connection with the Program (the "Guidelines "). 1.02. The Authority has received an offer from Tollberg Homes, LLC (the "Buyer ") to purchase certain properties included in the Program (the "Property "), described as attached hereto as Exhibit A, and the parties have negotiated Purchase and Redevelopment Agreements (the "Agreements ") which provide for the conveyance of the Property to the Buyer and the construction by the Buyer of single - family homes on the Property, all pursuant to the Guidelines. 1.03. On October 21, 2015, the Planning Commission of the City reviewed the proposed conveyance of the Property pursuant to the Program and found that such conveyance is consistent with the City's comprehensive plan. 1.04. The Authority has on this date conducted a duly noticed public hearing regarding the conveyance of the Property to the Buyer, at which all interested parties were given an opportunity to be heard. 1.05. The Board has reviewed the Agreements and finds that the execution thereof and performance of the Authority's obligations thereunder, including the conveyance of the Property to the Buyer, are consistent with the Guidelines and in the best interest of the City and its residents. Section 2. Approval and Authorization of Agreements and Conveyance 2.01. The Agreements as presented to the Board and the conveyance of the Property provided for therein are hereby in all respects approved, subject to modifications that do not alter the substance of the transaction and that are approved by the President and Executive Director, provided that execution of the Agreements by such officials shall be conclusive evidence of approval. 2.02. Authority staff and officials are authorized to take all actions necessary to perform the Authority's obligations under the Agreements as a whole, including without limitation execution of any documents to which the Authority is a party referenced in or attached to the Agreements, and 473153A MNIC1205 -55 any deeds or other documents necessary to convey the Property to the Buyer, all as described in the Agreements. Section 3. Effective Date. This resolution shall be effective upon approval. Approved by the Board of Commissioners of the Columbia Heights Economic Development Authority this 4th day of January, 2016. President ATTEST: Secretary 473153v1 UNICL205 -55 EXHIBIT A Property ADDRESS LEGAL DESCRIPTION PID 4606 Polk Street NE Lot 13, except the North 1/2, the North 30 feet of Lot 25- 30 -24 -33 -0030 14, Block 2, Sheffield's Second Subdivision, Anoka County; Minnesota Torrens] 4636 Polk Street NE Lot 5, except the North 35 feet thereof, all of Lot 6, 25- 30 -24 -33 -0025 and the North' /2 of Lot 7, in Block 2, Sheffield's Second Subdivision, Anoka County, Minnesota Torrens 4641 Tyler Street NE Lot 25 and the South 20 feet of Lot 26, Block 2, 25- 30 -24 -33 -0038 Sheffield's Second Subdivision, Anoka County, Minnesota Torrens] 4600 Polk Street NE Lot 14, except the North 30 feet thereof, and Lot 15, 25- 30 -24 -33 -0031 Block 2, Sheffield's Second Subdivision, Anoka County, Minnesota [Tonens] 4648 Polk Street NE South % of Lot 2, and all of Lot 3, Block 2, 25- 30 -24 -33 -0023 Sheffield's Second Subdivision, Anoka Coun 12, Minnesota [Toren] 4618 Polk Street NE Lot 11, and the North 10 feet of Lot 12, Bloc25- 30 -24 -33 -0028 Sheffield's Second Subdivision, Anoka County, Minnesota [Torrens] 473153A MNI CL205 -55 PURCHASE AND REDEVELOPMENT AGREEMENT 4606 Polk Street NE, Columbia Heights, Minnesota 1. Parties. This Purchase and Redevelopment Agreement is made as of 2016, between the COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY, a public body corporate and politic under the laws of Minnesota having its office located at 590 40TH Avenue NE, Columbia Heights, MN (the "Seller'), and TOLLBERG HOMES, LLC, a Minnesota limited liability company, having its principal office at 1428 5'h Avenue, Anoka, MN 55303 (the "Buyer ") (the "Agreement "). 2. Offer /Acceptance. Buyer offers to purchase and Seller agrees to sell real property in Anoka County, Minnesota, legally described as follows (the "Property"): Lot Thirteen (13), except the North Half (NV2), the North Thirty Feet (N30') of Lot Fourteen (14), Block Two (2), Sheffield's Second Subdivision. Check here if part or all of the land is Registered (Torrens) 0 3. Acceptance Deadline. This offer to purchase, unless accepted sooner, shall be null and void at 4:30 p.m. on January 18, 2016, which is 14 days after Seller authorized the sale. 4. Price and Terms. The price for the Property is $22,500.00 ( "Purchase Price ") which Buyer shall pay as follows: earnest money of $2,000 by check, receipt of which is hereby acknowledged by Seller. The balance of the Purchase Price must be paid by certified check or wire transfer on the Date of Closing. The "Date of Closing" shall be no later than July 15, 2016. 5. Personal Property Included in Sale. There are no items of personal property or fixtures owned by Seller and currently located on the Property for purposes of this sale. 6. Deed. Upon performance by Buyer, Seller shall deliver a quit claim deed conveying title to the Property to Buyer, in substantially the form attached as Exhibit A, subject to the 473269vl CL205 -56 conditions subsequent required by Sections 15, 16, and 17 of this Agreement (the "Deed'). 7. Real Estate Taxes and Special Assessments. A. Seller shall pay, at or before closing all real estate taxes due and payable in 2015 and prior years. Seller wan-ants that the Property is classified as Exempt for real estate taxes due and payable in 2016. B. Seller shall pay on Date of Closing all special assessments levied against the Property as of the date of this agreement, including those certified for payment in 2016. Seller represents that there are no special assessments pending as of the date of this agreement. If a special assessment becomes pending after the date of this agreement and before the Date of Closing, Buyer may, as Buyer's option: ] . Assume payment of the pending special assessment without adjustment to the purchase agreement price of the property; or 2. Require Seller to pay the pending special assessment and Buyer shall pay a commensurate increase in the purchase price of the Property, which increase shall be the same as the estimated amount of the assessment; or 3. Declare this agreement null and void by notice to Seller, and earnest money shall be refunded to Buyer. S. Closing Costs and Related Items. The Buyer will pay: (a) the closing fees charged by the title insurance or other closing agent, if any, utilized to close the transaction contemplated by this Agreement; (b) fees for title evidence obtained by Buyer; (c) the recording fees for this Agreement and for the Deed transferring title to Buyer. Seller will pay all other fees normally paid by sellers, including (a) any transfer taxes, and Well Disclosure fees required to enable Buyer to record its deed from Seller under this Agreement, and (b) fees and charges related to the filing of any instrument required to make title marketable. Each party shall pay its own attorney fees 9. Sewer and Water. Seller warrants that city sewer is available at the Property line, and that city water is available in the right of way adjacent to the Property. Seller makes no warranty regarding the conditions of any existing water stub from the main to the Property line. Seller advises Buyer to inspect the condition of the water stub. 10. Condition of Property. Buyer acknowledges that they have inspected or have had the opportunity to inspect the Property and agree to accept the Property "AS IS." Buyer has the right, at its own expense to take soil samples for the purpose of determining if the soil is suitable for construction of the dwelling described in section 14 below. If the soil is determined to be unacceptable the Buyer may rescind this agreement by written notice to 2 473269v1 CL205 -56 the Seller, in which case the agreement shall be null and void and all earnest money paid hereunder shall be refunded to the Buyer. Seller makes no warranties as to the condition of the Property. 11. Marketability of Title. As soon as reasonably possible after execution of this Agreement by both parties: (a) Seller shall surrender any abstract of title and a copy of any owner's title insurance policy for the property, if in Seller's possession or control, to Buyer or to Buyer's designated title service provider; and (b) Buyer shall obtain the title evidence determined necessary or desirable by Buyer. The Buyer shall have 20 days from the date it receives such title evidence to raise any objections to title it may have. Objections not made within such time will be deemed waived. The Seller shall have 90 days from the date of such objection to affect a cure; provided, however, that Seller shall have no obligation to cure any objections, and may inform Buyer of such. The Buyer may then elect to close notwithstanding the uncured objections or declare this Agreement null and void, and the parties will thereby be released from any further obligation hereunder. 12. Title Clearance and Remedies. If Seller shall fail to have title objections timely removed, the Buyer may, at its sole election: (a) terminate this Agreement without any liability on its part; in which event the earnest money shall be promptly refunded in exchange for a quit claim deed to the Property from Buyer; or (b) take title to the Property subject to such objections. If title is marketable, or is made marketable as provided herein, and Buyer defaults in any of the agreements herein, Seller may elect either of the following options, as permitted by law: A. Cancel this contract as provided by statute and retain all payments made hereunder as liquidated damages. The parties acknowledge their intention that any note given pursuant to this contract is a down payment note, and may be presented for payment notwithstanding cancellation; B. Seek specific performance within six months after such right of action arises, including costs and reasonable attorney's fees, as permitted by law. If title is marketable, or is made marketable as provided herein, and Seller defaults in any of the agreements herein, Buyer may, as permitted by law: C. Seek damages from Seller including costs and reasonable attorney's fees; 3 473269v1 CL205.56 D. Seek specific performance within six months after such right of action arises. 13. Well Disclosure. Seller's knowledge of wells is as follows: 0 The Seller certifies that the Seller does not know of any wells on the described real property. ❑ A well disclosure certificate accompanies this document. ❑ 1 am familiar with the property described in this instrument and I certify that the status and number of wells on the Property have not changed since the last previously filed well disclosure certificate. 14. Individual Sewage Treatment System Disclosure. Seller certifies that there is no individual sewage treatment system on or serving the Property. 15. Construction and Sale of Dwelling. Buyer agrees that it will construct a new single family dwelling on the Property, intended for sale to a person or persons for residential occupancy (an "Owner Occupant "). This covenant shall survive the delivery of the Deed. A. The single family dwelling described in this Section is referred to as the "Minimum Improvements." B. The Minimum Improvements shall consist of a new single family dwelling, and shall be constructed substantially in accordance with the Single Family Home Lot Sales Program Guidelines on file at City Hall and the proposal approved by Seller on December 7, 2015, attached hereto as Exhibit B. C. Construction of the Minimum Improvements must be substantially completed within one year from the Date of Closing. Construction will be considered substantially complete when the final certificate of occupancy has been issued by the City of Columbia Heights building official. D. Promptly after substantial completion of the Minimum Improvements in accordance with those provisions of the Agreement relating solely to the obligations of the Buyer to construct such Minimum Improvements (including the date for completion thereof), the Seller will furnish the Buyer with a Certificate of Completion, in the form attached hereto as Exhibit C, for such improvements. Such certification by the Seller shall be (and it shall be so provided in the Deed and in the certification itself) a conclusive determination of satisfaction and termination of the agreements and covenants in the Agreement and in the Deed with respect to the obligations of the Buyer and its successors and assigns, to construct the Minimum Improvements and the dates for completion thereof. The certificate provided for in this Section of this Agreement shall be in such form as will enable it to be recorded in the proper office for the recordation of deeds and other instruments pertaining to the Property. If the Seller shall refuse or 473269vi CL205 -56 4 fail to provide any certification in accordance with the provisions of this Section, the Seller shall, within thirty (30) days after written request by the Buyer, provide the Buyer with a written statement, indicating in adequate detail in what respects the Buyer has failed to complete the Minimum Improvements in accordance with the provisions of the Agreement, or is otherwise in default, and what measures or acts it will be necessary, in the opinion of the Seller for the Buyer to take or perform in order to obtain such certification. E. The Buyer represents and agrees that until issuance of the Certificate of Completion for the Minimum Improvements: (1) Except for any sale to an Owner Occupant, the Buyer has not made or created and will not make or create or suffer to be made or created any total or partial sale, assignment, conveyance, or lease, or any trust or power, or transfer in any other mode or form of or with respect to this Agreement or the Property or any part thereof or any interest therein, or any contract or agreement to do any of the same, to any person or entity (collectively, a "Transfer "), without the prior written approval of the Seller's board of commissioners. The term "Transfer" does not include encumbrances made or granted by way of security for, and only for, the purpose of obtaining construction, interim or permanent financing necessary to enable the Buyer or any successor in interest to the Property, or any part thereof, to construct the Minimum Improvements or component thereof. (2) If the Buyer seeks to effect a Transfer to any person or entity other than an Owner Occupant prior to issuance of the Certificate of Completion, the Seller shall be entitled to require as conditions to such Transfer that: (i) any proposed transferee shall have the qualifications and financial responsibility, in the reasonable judgment of the Seller, necessary and adequate to fulfill the obligations undertaken in this Agreement by the Buyer as to the portion of the Property to be transferred; and (ii) Any proposed transferee, by instrument in writing satisfactory to the Seller and in form recordable in the public land records of Anoka County, Minnesota, shall, for itself and its successors and assigns, and expressly for the benefit of the Seller, have expressly assumed all of the obligations of the Buyer under this Agreement as to the portion of the Property to be transferred and agreed to be subject to all the conditions and restrictions to which the Buyer is subject as to such portion; provided, however, that the fact that any transferee of, or any other successor in interest whatsoever to, the Property, or any part thereof, shall not, for whatever reason, have assumed such obligations or so agreed, and shall not (unless and only to the extent otherwise specifically provided in this Agreement or agreed to in writing by the Seller) deprive the Seller of any rights or remedies or controls with respect to the Property, the 5 473269v1 CL205 -56 Minimum Improvements or any part thereof or the construction of the Minimum Improvements; it being the intent of the parties as expressed in this Agreement that (to the fullest extent permitted at law and in equity and excepting only in the manner and to the extent specifically provided otherwise in this Agreement) no transfer of, or change with respect to, ownership in the Property or any part thereof, or any interest therein, however consummated or occurring, and whether voluntary or involuntary, shall operate, legally, or practically, to deprive or limit the Seller of or with respect to any rights or remedies on controls provided in or resulting from this Agreement with respect to the Property that the Seller would have had, had there been no such transfer or change. In the absence of specific written agreement by the Seller to the contrary, no such transfer or approval by the Seller thereof shall be deemed to relieve the Buyer, or any other party bound in any way by this Agreement or otherwise with respect to the Property, from any of its obligations with respect thereto. (iii) Any and all instruments and other legal documents involved in effecting the transfer of any interest in this Agreement or the Property governed by this subsection E. shall be in a form reasonably satisfactory to the Seller. (3) If the conditions described in paragraph (2) above are satisfied then the Transfer will be approved and the Buyer shall be released from its obligation under this Agreement, as to the portion of the Property that is transferred, assigned, or otherwise conveyed. The provisions of this paragraph (3) apply to all subsequent transferors. (4) Upon issuance of the Certificate of Completion, the Buyer may Transfer the Property and/or the Buyer's rights and obligations under this Agreement with respect to such Property without the prior written consent of the Seller. F. The Buyer, and its successors and assigns, agree that they (a) will use the Minimum Improvements only as a single family dwelling, and in the case of an Owner Occupant, will occupy the Property as a residence, (b) will not rent the Property to any person or entity, (c) will not seek exemption from real estate taxes on the Property under State law, and (d) will not transfer or permit transfer of the Property to any entity whose ownership or operation of the Property would result in the Property being exempt from real estate taxes under State law (other than any portion thereof dedicated or conveyed to the City of Columbia Heights or Seller in accordance with this Agreement). The covenants in this paragraph run with the land, survive both delivery of the Deed and issuance of the Certificate of Completion for the Minimum Improvements, and shall remain in effect for ten years after the Date of Closing. 473269v1 CL205 -56 6 16. Revesting Title in Seller upon Happening of Event Subsequent to Conveyance to Buyer. In the event that subsequent to conveyance of the Property or any part thereof to the Buyer and prior to receipt by the Buyer of the Certificate of Completion for of the Minimum Improvements, the Buyer, subject to Unavoidable Delays (as hereafter defined), fails to carry out its obligations with respect to the construction of the Minimum Improvements (including the nature and the date for the completion thereof), or abandons or substantially suspends construction work, and any such failure, abandonment, or suspension shall not be cured, ended, or remedied within thirty (30) days after written demand from the Seller to the Buyer to do so, then the Seller shall have the right to re -enter and take possession of the Property and to terminate (and revest in the Seller) the estate conveyed by the Deed to the Buyer, it being the intent of this provision, together with other provisions of the Agreement, that the conveyance of the Property to the Buyer shall be made upon, and that the Deed shall contain a condition subsequent to the effect that in the event of any default on the part of the Buyer and failure on the part of the Buyer to remedy, end, or abrogate such default within the period and in the manner stated in such subdivisions, the Seller at its option may declare a termination in favor of the Seller of the title, and of all the rights and interests in and to the Property conveyed to the Buyer, and that such title and all rights and interests of the Buyer, and any assigns or successors in interest to and in the Property, shall revert to the Seller, but only if the events stated in this Section have not been cured within the time periods provided above. Notwithstanding anything to the contrary contained in this Section, the Seller shall have no right to reenter or retake title to and possession of a portion of the Property for which a Certificate of Completion has been issued. For the purposes of this Agreement, the term "Unavoidable Delays" means delays beyond the reasonable control of the Buyer as a result thereof which are the direct result of strikes, other labor troubles, prolonged adverse weather or acts of God, fire or other casualty to the Minimum Improvements, litigation commenced by third parties which, by injunction or other similar judicial action, directly results in delays, or acts of any federal, state or local governmental unit (other than the Seller in exercising its rights under this Agreement) which directly results in delays. Unavoidable Delays shall not include delays in the Buyer's obtaining of permits or governmental approvals necessary to enable construction of the Minimum Improvements by the dates such construction is required under this section of this Agreement. 17. Resale of Reacquired Property; Disposition of Proceeds. Upon the revesting in the Seller of title to and/or possession of the Property or any part thereof as provided in Section 16, the Seller shall apply the purchase price paid by the Buyer under Section 4 of this Agreement as follows: (a) First, to reimburse the Seller for all costs and expenses incurred by the Seller, including but not limited to proportionate salaries of personnel, in connection with the recapture, management, and resale of the Property or part thereof (but less any 7 473269v1 CI.205 -56 income derived by the Seller from the Property or part thereof in connection with such management); all taxes, assessments, and water and sewer charges with respect to the Property or part thereof (or, in the event the Property is exempt from taxation or assessment or such charge during the period of ownership thereof by the Seller, an amount, if paid, equal to such taxes, assessments, or charges (as determined by the Seller assessing official) as would have been payable if the Property were not so exempt); any payments made or necessary to be made to discharge any encumbrances or liens existing on the Property or part thereof at the time of revesting of title thereto in the Seller or to discharge or prevent from attaching or being made any subsequent encumbrances or liens due to obligations, defaults or acts of the Buyer, its successors or transferees; any expenditures made or obligations incurred with respect to the making or completion of the Minimum Improvements or any part thereof on the Property or part thereof; and any amounts otherwise owing the Seller by the Buyer and its successor or transferee; and (b) Second, to reimburse the Buyer for the balance of the purchase price remaining after the reimbursements specified in paragraph (a) above. Such reimbursement shall be paid to the Buyer upon delivery of an executed, recordable warranty deed to the Property by the Buyer to the Seller. 18. Time is of the essence for all provisions of this contract. 19. Notices. All notices required herein shall be in writing and delivered personally or mailed to the address shown at paragraph 1 above and, if mailed, are effective as of the date of mailing. 20. Minnesota Law. This contract shall be governed by the laws of the State of Minnesota. 21. Specific Performance. This Agreement may be specifically enforced by the parties, provided that an action is brought within one year of the date of alleged breach of this Agreement. 22. No Remedy Exclusive. No remedy herein conferred upon or reserved to the Seller or Buyer is intended to be exclusive of any other available remedy or remedies, but each and every such remedy shall be cumulative and shall be in addition to every other remedy given under this Agreement or now or hereafter existing at law or in equity or by statute. No delay or omission to exercise any right or power accruing upon any default shall impair any such right or power or shall be construed to be a waiver thereof, but any such right and power may be exercised from time to time and as often as may be deemed expedient. 23. No Merger of Representations, Warranties. All representations and warranties contained in this Purchase Agreement shall not be merged into any instruments or conveyance delivered at closing, and the parties shall be bound accordingly. 473269v1 CL205 -56 24. Recording. This Agreement shall be filed of record with the Anoka County Registrar of Titles or Office of Recorder, as the case may be. Buyer shall pay all recording costs. 25. No Broker Involved. The Seller and represent and warrant to each other that there is no broker involved in this transaction with whom it has negotiated or to whom it has agreed to pay a broker commission. Buyer agrees to indemnify Seller for any and all claims for brokerage commissions or finders' fees in connection with negotiations for purchase of the Property arising out of any alleged agreement or commitment or negotiation by Buyer, and Seller agrees to indemnify Buyer for any and all claims for brokerage commissions or finders' fees in connection with negotiations for purchase of the Property arising out of any alleged agreement or commitment or negotiation by Seller. In witness of the foregoing, the parties have executed this agreement on the year and date written above. SELLER: COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY By: By: Its President STATE OF MINNESOTA } ss. COUNTY OF ANOKA Its Executive Director The foregoing was acknowledged before me this and day of 2016, by the President and Executive Director of Columbia Heights Economic Development Authority, a public body corporate and politic under the laws of Minnesota, on behalf of the public body corporate and politic. Notary Public 473269v1 CL205 -56 BUYER: Tollberg Homes, LLC a STATE OF MINNESOTA } ss. COUNTY OF ANOKA The foregoing was acknowledged before me this Tollefson, the President and Chief Manager of Tollberg liability company, on behalf of the limited liability company. This document drafted by: Kennedy & Graven, Chartered 470 U.S. Bank Plaza 200 So. 6'h Street MN 55402 10 473269v1 C1.205 -56 day of 2016, by Wade Homes, LLC, a Minnesota limited Notary Public EXHIBIT A to PURCHASE AND REDEVELOPMENT AGREEMENT FORM OF QUIT CLAIM DEED Deed Tax Due: $ ECRV: THIS INDENTURE, between the Columbia Heights Economic Development Authority, a Minnesota, a public body corporate and politic (the "Grantor "), and , a Minnesota (the "Grantee "). WITNESSETH, that Grantor, in consideration of the sum of $ and other good and valuable consideration the receipt whereof is hereby acknowledged, does hereby grant, bargain, quitclaim and convey to the Grantee, its successors and assigns forever, all the tract or parcel of land lying and being in the County of Anoka and State of Minnesota described as follows, to -wit (such tract or parcel of land is hereinafter referred to as the "Property"): Check here if part or all of the land is Registered (Torrens) ❑ To have and to hold the same, together with all the hereditaments and appurtenances thereunto belonging. SECTION 1. It is understood and agreed that this Deed is subject to the covenants, conditions, restrictions and provisions of an agreement recorded herewith entered into between the Grantor and Grantee on the of , 20_, identified as "Purchase and Redevelopment Agreement' (hereafter referred to as the "Agreement') and that the Grantee shall not convey this Property, or any part thereof, except as permitted by the Agreement until a certificate of completion releasing the Grantee from certain obligations of said Agreement as to this Property or such part thereof then to be conveyed, has been placed of record. This provision, however, shall in no way prevent the Grantee from mortgaging this Property in order to obtain funds for the purchase of the Property hereby conveyed or for erecting the Minimum Improvements thereon (as defined in the Agreement) in conformity with the Agreement, any applicable development program and applicable provisions of the zoning ordinance of the City of Columbia Heights, Minnesota, or for the refinancing of the same. It is specifically agreed that the Grantee shall promptly begin and diligently prosecute to completion the redevelopment of the Property through the construction of the Minimum Improvements thereon, as provided in the Agreement. 473269v1 CL205 -56 Promptly after completion of the Minimum Improvements in accordance with the provisions of the Agreement, the Grantor will furnish the Grantee with an appropriate instrument so certifying. Such certification by the Grantor shall be (and it shall be so provided in the certification itself) a conclusive determination of satisfaction and termination of the agreements and covenants of the Agreement and of this Deed with respect to the obligation of the Grantee, and its successors and assigns, to construct the Minimum Improvements and the dates for the beginning and completion thereof. Such certification and such determination shall not constitute evidence of compliance with or satisfaction of any obligation of the Grantee to any holder of a mortgage, or any insurer of a mortgage, securing money loaned to finance the purchase of the Property hereby conveyed or the Minimum Improvements, or any part thereof. All certifications provided for herein shall be in such form as will enable them to be recorded with the County Recorder, or Registrar of Titles, Anoka County, Minnesota. If the Grantor shall refuse or fail to provide any such certification in accordance with the provisions of the Agreement and this Deed, the Grantor shall, within thirty (30) days after written request by the Grantee, provide the Grantee with a written statement indicating in adequate detail in what respects the Grantee has failed to complete the Minimum Improvements in accordance with the provisions of the Agreement or is otherwise in default, and what measures or acts it will be necessary, in the opinion of the Grantor, for the Grantee to take or perform in order to obtain such certification. SECTION 2. The Grantee's rights and interest in the Property are subject to the terms and conditions of Sections 15, 16 and 17 of the Agreement relating to the Grantor's right to re -enter and revest in Grantor title to the Property under conditions specified therein, including but not limited to termination of such right upon issuance of a Certificate of Completion as defined in the Agreement. SECTION 3. The Grantee agrees for itself and its successors and assigns to or of the Property or any part thereof, hereinbefore described, that the Grantee and such successors and assigns shall comply with Section 15F of the Agreement for a period of ten years after the date hereof. It is intended and agreed that the above and foregoing agreements and covenants shall be covenants running with the land for the respective terms herein provided, and that they shall, in any event, and without regard to technical classification or designation, legal or otherwise, and except only as otherwise specifically provided in this Deed, be binding, to the fullest extent permitted by law and equity for the benefit and in favor of, and enforceable by, the Grantor against the Grantee, its successors and assigns, and every successor in interest to the Property, or any part thereof or any interest therein, and any party in possession or occupancy of the Property or any part thereof. 473269v1 C1,205 -56 In amplification, and not in restriction of, the provisions of the preceding section, it is intended and agreed that the Grantor shall be deemed a beneficiary of the agreements and covenants provided herein, both for and in its own right, and also for the purposes of protecting the interest of the community and the other parties, public or private, in whose favor or for whose benefit these agreements and covenants have been provided. Such agreements and covenants shall run in favor of the Grantor without regard to whether the Grantor has at any time been, remains, or is an owner of any land or interest therein to, or in favor of, which such agreements and covenants relate. The Grantor shall have the right, in the event of any breach of any such agreement or covenant to exercise all the rights and remedies, and to maintain any actions or suits at law or in equity or other proper proceedings to enforce the curing of such breach of agreement or covenant, to which it or any other beneficiaries of such agreement or covenant may be entitled; provided that Grantor shall not have any right to re -enter the Property or revest in the Grantor the estate conveyed by this Deed on grounds of Grantee's failure to comply with its obligations under this Section 3. IN WITNESS WHEREOF, the Grantor has caused this Deed to be duly executed in its behalf by its President and Executive Director, this day of 20 ❑ The Seller certifies that the Seller does not know of any wells on the described real property. ❑ A well disclosure certificate accompanies this document or has been electronically filed. (If electronically filed, insert WDC number: ), ❑ I am familiar with the property described in this instrument and I certify that the status and number of wells on the described real property have not changed since the last previously filed well disclosure certificate. 473269v1 CL205 -56 COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY By Its President By Its Executive Director STATE OF MINNESOTA ) ) ss COUNTY OF ANOKA ) On this _ day of 20_, before me, a notary public within and for County, personally appeared and to me personally known who by me duly sworn, did say that they are the President and Executive Director of the Columbia Heights Economic Development Authority (the "Authority ") named in the foregoing instrument; that said instrument was signed on behalf of said Authority pursuant to a resolution of its governing body; and said and acknowledged said instrument to be the free act and deed of said Authority. This instrument was drafted by: Kennedy & Graven, Charted 470 U.S. Bank Plaza 200 South Sixth Street Minneapolis, MN 55402 (612) 337 -9300 473269v1 CL205 -56 Notary Public Tax Statements should be sent to: EXHIBIT B TO PURCHASE AND REDEVELOPMENT AGREEMENT APPROVED PROPOSAL 473269v1 CI-205.56 EXHIBIT C TO PURCHASE AND REDEVELOPMENT AGREEMENT FORM OF CERTIFICATE OF COMPLETION 473269v CL205.56 TO�G� October 26, 2015 Community Development Department 590 401" Avenue NE Columbia Heights, MNB 55421 RE: Proposal for Economic Development Administration 5 Lots on Polk St. NE and I lot on Tyler St. NE 4606 Polk St. N� 4636 Polk St. NE 4600 Polk St. NE 4648 Polk St. NE 4618 Polk St. NE 4641 Tyler St. NE Tollberg Homes LLC is an Anoka builder specializing in the construction of homes from $189,000 to $499,000. Tollberg Homes is located at 1428 5`" Avenue, Anoka, MN 55303. Tollberg Homes builds approximately 50 homes each year. Tollberg Homes LLC is an award winning builder. Tollberg Homes has not only won the Home Award in North Dakota in 2015, but has recently won a 2015 Reggie Award in Minnesota.. We currently have models and are building in Blaine, Anoka, Crystal, Coon Rapids and Lino Lakes. If you would like to visit our models we certainly can provide addresses and lock box numbers. We have financial strength to purchase these six lots and close on them when ready and to construct on all five lots. A commitment letter can be provided upon request. Tollberg Homes LLC is a specialist in building in inner communities. We would refer you to Mr. Erik Thorvig, Economic Development Manager in Anoka as a reference as Tollberg Homes LLC has just purchased, constructed and sold four houses on lots purchased from the Economic Development Administration of Anoka in 2015. You will see enclosed recent pictures of these houses. We would also like to refer you to the Economic Development Manager in Crystal where Tollberg Homes LLC has in 2015 purchased, built and sold three houses in Crystal; you will also find enclosed recent pictures of these houses. In addition please refer to the Economic Development Manager in Coon Rapids where Tollberg Homes LLC has purchased, built and sold a house in 2015 in Coon Rapids. A recent picture is enclosed. It is our intent to construct on all 6 properties in Columbia Heights as quickly as possible. We have a full time realtor that sells for Tollberg Homes exclusively. We would hope to purchase the land and close as time and weather permits. 120 days is our normal completion time frame to construct a home so we anticipate that we will have the first two houses built and sold within the first six months from purchase. We would then start the next two. Again with the 120 day construction period, we would think that these two properties would be finished by summer of 2016. At that time Tollberg Homes would close, and construct the final two properties. By the late summer of 2016 Tollberg Homes would have purchased, closed and built on all 6 lots. Enclosed you will find Tollberg Homes LLC offer as well as a sample blueprint and a sample of specifications for the houses we intend to build. It is Tollberg's intention to finish the complete upper level and to make compliance with the EDA guidelines will finish one bedroom and one bathroom in the lower level. The reason is that it is imperative for us (or anybody) to be able to compete with the current structure of pricing of other properties in the neighborhood. Please note that this is a mixed use area with lower priced properties and apartment buildings as the neighbors. The potential houses to be built have to stay within reason of the current pricing or they would be unable to be sold. It would be unrealistic for anyone to think that the final purchase price of the new houses would exceed $199,000. In order for Tollberg (or anyone else) to produce properties in that price range these covenants and lot prices described in our offer have to be met. We strongly encourage you to consider this offer. We have a track record with Economic Development Authorities, and can perform. We thank you for the opportunity to offer a proposal on these lots and would request that if you have any questions , please feel free to contact the undersigned. Very truly yours, Wade Tollefson President Tollberg Homes LLC Cell: 612 -804 -9988 TOLLB.E.RG New Home Spec Sheet Job Address: - - -' Legal: is -- — -- —.._ Buyer Information: Model - --- -- - - - - -- -- - -- o Buyer Agent Info: Split level _ 1024 est sq ft ❑Basement Finished Basement: ®Lookout []Walkout []Full Utilities: Garage: ORight OLeft ®City Water /Sewer []Well /Septic ORural Water / Spptic By signing below (or by electronic approval on BuilderTrend), Buyer approves and accepts specifications as written. These specifications supersede finish notes on the house plans UNLESS Tollberg Homes has specifically added red line notes to the plan. Any change to these specifications is subject to $150 Change Order fee in addition to the cost of the change. A requested change is not guaranteed until a signed Change Order is on file. Buyer is aware that any item discussed between Buyer and Builder, or representative of the Builder, that has not been detailed on the approved House plans, Spec Sheet, or Change Order will not be included in construction, It Is the responsibility of the Buyer to check and confirm that all desired changes have been detailed on the House plans, Spec Sheet, or Change Order. Dote: Finish: I wmaows: QMnyf JOther .a.'i I Color. ❑White Elan I Garoge Service Door: JYes XNo I Exterior Hardware Color. Vi Satin Nickel CDther "r._r .. I One Opeeer (double 5talll JWireless keypad Shingles: ❑Architectural 6i�3 Tah j Gutters: ❑Yes ❑No Fiber Deck: :=Yes ONO HVAC: Gas lines: ❑Dryer ❑Range CCooktop ,OFurnace ❑ fireplace ❑Garage Heater ❑Water Heater Venting; !Dryer SUthfans GRange Hood ❑Micro Air Exchanger =Yes ONO Humidifier. ❑Yes ONO Gas Service: ®Natural Gas ❑LP Notes: ;Nmea Trim Princeton L'4 -1/4" Princeton I Intenb /DOOK: KHolloW core, White L70ther. idetads] 1 93 panel, flat $6oanel.raised ❑Other. detajkl I Cabfnets: LlPoplar UKnotty Alder 'Si Other Smart Ellatpanel 0Raised panel Kitchen Countertop: 01-aminate 7Granite SStandard Backsplash(to match) ❑Ceramic Tile Backsplash Both Countertop: ❑White Marble ElLaminate ❑Granite toundw Countertoo: ®Laminate ❑Granite 1 polnV IKStandard Flat GEReshell /Satin II)Colors I Mimon: 040" Height X Vanity Width NO! PS Bath Room CLivine Room NI N II�J J W J 0 y tu �WI W K 0 _y e J W W J rz 5 1i J� � � W W i =s,p j7 SW W ��= LA Z - of� In �71 �,� ! r I rz � r DJMIDI W I �1 5 8 e`f _be6 u DD e_, ic�eB 'I cl�ll�� � i I r rz � r _r 0 ,.a r its �Q> t r JO yNl zQ3 ♦�J i y W N� Jrl y y! LL m 7 ICI I I I i I I i yl 0 �aaf g�a 0 Yi7 0 J S M N' Y � �I ! � i I I I I ! ' q I � ui 0 I i j , �a I , I � I OIi Ii ;I 1 N I !I I r° �o N {Fyy °1 0 a � J b' F-71 a �JI I� 40 4.1 x. 4" IS f / �\ | � � �. , \. k `� I n ����ii � ��t �,� �i `. `- YhN� � �i S 1:r' C't t `� �i 1 1 r �f �;;; �, �- :* ti' t'r ';_ _Y._t ��i �, �,� ;.' i;�..;.. � i . r.' .. � +,, i -Yi. ,�`.: �; ...l a...v[ti.�b.._ t��. � .. �,•, r r h 5� � . � i ` +if t f .5' ? f ����ii � ��t �,� �i `. `- YhN� � �i S 1:r' C't t `� �i 1 1 r �f �;;; �, �- I .. � t'r ';_ _Y._t ��i �, 1 . ., i;�..;.. � i i -Yi. ,�`.: �; ...l a...v[ti.�b.._ t��. � .. ����ii � ��t �,� �i `. `- YhN� � �i S 1:r' C't t `� �i 1 1 r �f �;;; MRS Ti Ya SM r'.' r t, a r;l a lj ,.T.; 4 c' r a t ,E x a t A i . b gig.. t 19; �' .� �jFp4 > �'•,IC i �,•5 c ,Z a is` CERTIFICATE OF COMPLETION WHEREAS, the Columbia Heights Economic Development Authority, a public body, corporate and politic (the "Grantor "), conveyed land in Anoka County, Minnesota to a (the "Grantee "), by a Deed recorded in the Office of the County Recorder [and in the Office of the Registrar of Titles] in and for the County of Anoka and State of Minnesota, as Document Numbers and respectively; and WHEREAS, said Deed contained certain covenants and restrictions set forth in Sections I and 2 of said Deed; and WHEREAS, said Grantee has performed said covenants and conditions insofar as it is able in a manner deemed sufficient by the Grantor to permit the execution and recording of this certification; NOW, THEREFORE, this is to certify that all building construction and other physical improvements specified to be done and made by the Grantee have been completed and the above covenants and conditions in said Deed and the agreements and covenants in Sections 14A and 14B of the Agreement (as described in said Deed) have been performed by the Grantee therein, and the County Recorder [and the Registrar of Titles] in and for the County of Anoka and State of Minnesota are hereby authorized to accept for recording and to record, the filing of this instrument, to be a conclusive determination of the satisfactory termination of the covenants and conditions of Sections 15A and 15B of the Agreement and the covenants and restrictions set forth in Sections I and 2 of said Deed; provided that the covenants set forth in Sections 15F of the Agreement, and in Section 3 of the Deed, remain in full force and effect through the period stated thereon. Dated: 2p COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY By Its President By Its Executive Director 473269v CL205 -56 STATE OF MINNESOTA ) COUNTY OF ANOKA ss The foregoing instrument was acknowledged before me this _day of 20_, by and , the President and Executive Director, respectively, of the Columbia Heights Economic Development Authority, on behalf of the authority. Notary Public This document drafted by: KENNEDY & GRAVEN, CHARTERED 470 U.S. Bank Plaza Minneapolis, MN 55402 (612) 337 -9300 473269v1 CL205 -56 PURCHASE AND REDEVELOPMENT AGREEMENT 4618 Polk Street NE, Columbia Heights, Minnesota 1. Parties. This Purchase and Redevelopment Agreement is made as of 2016, between the COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY, a public body corporate and politic under the laws of Minnesota having its office located at 590 40r" Avenue NE, Columbia Heights, MN (the "Seller "), and TOLLBERG HOMES, LLC, a Minnesota limited liability company, having its principal office at 1428 5a' Avenue, Anoka, MN 55303 (the "Buyer ") (the "Agreement "). 2. Offer /Acceptance. Buyer offers to purchase and Seller agrees to sell real property in Anoka County, Minnesota, legally described as follows (the "Property"): Lot 11, and the North 10 feet of Lot 12, Block 2, Sheffield's Second Subdivision. Check here if part or all of the land is Registered (Torrens) Q 3. Acceptance Deadline. This offer to purchase, unless accepted sooner, shall be null and void at 4:30 p.m. on January 18, 2016 , which is 14 days after Seller authorized the sale. 4. Price and Terms. The price for the Property is $22,500.00 ( "Purchase Price ") which Buyer shall pay as follows: earnest money of $2,000 by check, receipt of which is hereby acknowledged by Seller. The balance of the Purchase Price must be paid by certified check or wire transfer on the Date of Closing. The "Date of Closing" shall be no later than July 15, 2016. 5. Personal Property Included in Sale. There are no items of personal property or fixtures owned by Seller and currently located on the Property for purposes of this sale. 6. Deed. Upon performance by Buyer, Seller shall deliver a quit claim deed conveying title to the Property to Buyer, in substantially the form attached as Exhibit A, subject to the 473282v1 CL205 -61 CERTIFICATE OF COMPLETION WHEREAS, the Columbia Heights Economic Development Authority, a public body, corporate and politic (the "Grantor "), conveyed land in Anoka County, Minnesota to a (the "Grantee "), by a Deed recorded in the Office of the County Recorder [and in the Office of the Registrar of Titles] in and for the County of Anoka and State of Minnesota, as Document Numbers and respectively; and WHEREAS, said Deed contained certain covenants and restrictions set forth in Sections 1 and 2 of said Deed; and WHEREAS, said Grantee has performed said covenants and conditions insofar as it is able in a manner deemed sufficient by the Grantor to permit the execution and recording of this certification; NOW, THEREFORE, this is to certify that all building construction and other physical improvements specified to be done and made by the Grantee have been completed and the above covenants and conditions in said Deed and the agreements and covenants in Sections 14A and 14B of the Agreement (as described in said Deed) have been performed by the Grantee therein, and the County Recorder [and the Registrar of Titles] in and for the County of Anoka and State of Minnesota are hereby authorized to accept for recording and to record, the filing of this instrument, to be a conclusive determination of the satisfactory termination of the covenants and conditions of Sections 15A and 15B of the Agreement and the covenants and restrictions set forth in Sections 1 and 2 of said Deed; provided that the covenants set forth in Sections 15F of the Agreement, and in Section 3 of the Deed, remain in full force and effect through the period stated thereon. Dated: 20 COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY By Its President By Its Executive Director 473282v] CL205 -61 STATE OF MINNESOTA ) ) ss COUNTY OF ANOKA ) The foregoing instrument was acknowledged before me this _ day of 20—, by and , the President and Executive Director, respectively, of the Columbia Heights Economic Development Authority, on behalf of the authority. Notary Public This document drafted by: KENNEDY & GRAVEN, CHARTERED 470 U.S. Bank Plaza Minneapolis, MN 55402 (612) 337 -9300 473282v1 CL205.61 PURCHASE AND REDEVELOPMENT AGREEMENT 4636 Polk Street NE, Columbia Heights, Minnesota 1. Parties. This Purchase and Redevelopment Agreement is made as of 2016, between the COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY, a public body corporate and politic under the laws of Minnesota having its office located at 590 40TH Avenue NE, Columbia Heights, MN (the "Seller "), and TOLLBERG HOMES, LLC, a Minnesota limited liability company, having its principal office at 1428 5s' Avenue, Anoka, MN 55303 (the "Buyer ") (the "Agreement "). 2. Offer /Acceptance. Buyer offers to purchase and Seller agrees to sell real property in Anoka County, Minnesota, legally described as follows (the "Property"): Lot Five (5), except the North thirty -five (35) feet thereof, all of Lot Six (6), and the North One -half of Lot Seven (7), in Block 2, Sheffield's Second Subdivision. Check here if part or all of the land is Registered (Torrens) 3. Acceptance Deadline. This offer to purchase, unless accepted sooner, shall be null and void at 4:30 p.m. on January 18, 2016 , which is 14 days after Seller authorized the sale. 4. Price and Terms. The price for the Property is $22,500.00 ( "Purchase Price ") which Buyer shall pay as follows: earnest money of $2,000 by check, receipt of which is hereby acknowledged by Seller. The balance of the Purchase Price must be paid by certified check or wire transfer on the Date of Closing. The "Date of Closing" shall be no later than July 15, 2016. 5. Personal Property Included in Sale. There are no items of personal property or fixtures owned by Seller and currently located on the Property for purposes of this sale. 6. Deed. Upon performance by Buyer, Seller shall deliver a quit claim deed conveying title to the Property to Buyer, in substantially the form attached as Exhibit A, subject to the 473277v1 CL205 -57 CERTIFICATE OF COMPLETION WHEREAS, the Columbia Heights Economic Development Authority, a public body, corporate and politic (the "Grantor "), conveyed land in Anoka County, Minnesota to a (the "Grantee "), by a Deed recorded in the Office of the County Recorder [and in the Office of the Registrar of Titles] in and for the County of Anoka and State of Minnesota, as Document Numbers and respectively; and WHEREAS, said Deed contained certain covenants and restrictions set forth in Sections I and 2 of said Deed; and WHEREAS, said Grantee has performed said covenants and conditions insofar as it is able in a manner deemed sufficient by the Grantor to permit the execution and recording of this certification; NOW, THEREFORE, this is to certify that all building construction and other physical improvements specified to be done and made by the Grantee have been completed and the above covenants and conditions in said Deed and the agreements and covenants in Sections 14A and 14B of the Agreement (as described in said Deed) have been performed by the Grantee therein, and the County Recorder [and the Registrar of Titles] in and for the County of Anoka and State of Minnesota are hereby authorized to accept for recording and to record, the filing of this instrument, to be a conclusive determination of the satisfactory termination of the covenants and conditions of Sections 15A and 15B of the Agreement and the covenants and restrictions set forth in Sections 1 and 2 of said Deed; provided that the covenants set forth in Sections 15F of the Agreement, and in Section 3 of the Deed, remain in full force and effect through the period stated thereon. Dated: . 20 COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY By Its President By Its Executive Director 473277v] CL205 -57 STATE OF MINNESOTA ) ) ss COUNTY OF ANOKA ) The foregoing instrument was acknowledged before me this _ day of 20_, by and , the President and Executive Director, respectively, of the Columbia Heights Economic Development Authority, on behalf of the authority. Notary Public This document drafted by: KENNEDY & GRAVEN, CHARTERED 470 U.S. Bank Plaza Minneapolis, MN 55402 (612) 337 -9300 473277v1 CL205 -57 PURCHASE AND REDEVELOPMENT AGREEMENT 4648 Polk Street NE, Columbia Heights, Minnesota 1. Parties. This Purchase and Redevelopment Agreement is made as of , 2016, between the COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY, a public body corporate and politic under the laws of Minnesota having its office located at 590 40TH Avenue NE, Columbia Heights, MN (the "Seller "), and TOLLBERG HOMES, LLC, a Minnesota limited liability company, having its principal office at 1428 51h Avenue, Anoka, MN 55303 (the "Buyer ") (the "Agreement "). 2. Offer /Acceptance. Buyer offers to purchase and Seller agrees to sell real property in Anoka County, Minnesota, legally described as follows (the "Property"): South Half of Lot 2 thereof, and all of Lot 3, Block 2, Sheffield's Second Subdivision. Check here ifpart or all ofthe land is Registered (Torrens) 0 3. Acceptance Deadline. This offer to purchase, unless accepted sooner, shall be null and void at 4:30 p.m. on January 18, 2016 , which is 14 days after Seller authorized the sale. 4. Price and Terms. The price for the Property is $22,500.00 ( "Purchase Price ") which Buyer shall pay as follows: earnest money of $2,000 by check, receipt of which is hereby acknowledged by Seller. The balance of the Purchase Price must be paid by certified check or wire transfer on the Date of Closing. The "Date of Closing" shall be no later than July 15, 2016. 5. Personal Property Included in Sale. There are no items of personal property or fixtures owned by Seller and currently located on the Property for purposes of this sale. 6. Deed. Upon performance by Buyer, Seller shall deliver a quit claim deed conveying title to the Property to Buyer, in substantially the form attached as Exhibit A, subject to the 473280vi C1205 -60 CERTIFICATE OF COMPLETION WHEREAS, the Columbia Heights Economic Development Authority, a public body, corporate and politic (the "Grantor "), conveyed land in Anoka County, Minnesota to , a (the "Grantee "), by a Deed recorded in the Office of the County Recorder [and in the Office of the Registrar of Titles] in and for the County of Anoka and State of Minnesota, as Document Numbers and respectively; and WHEREAS, said Deed contained certain covenants and restrictions set forth in Sections 1 and 2 of said Deed; and WHEREAS, said Grantee has performed said covenants and conditions insofar as it is able in a manner deemed sufficient by the Grantor to permit the execution and recording of this certification; NOW, THEREFORE, this is to certify that all building construction and other physical improvements specified to be done and made by the Grantee have been completed and the above covenants and conditions in said Deed and the agreements and covenants in Sections 14A and 14B of the Agreement (as described in said Deed) have been performed by the Grantee therein, and the County Recorder [and the Registrar of Titles] in and for the County of Anoka and State of Minnesota are hereby authorized to accept for recording and to record, the filing of this instrument, to be a conclusive determination of the satisfactory termination of the covenants and conditions of Sections 15A and 15B of the Agreement and the covenants and restrictions set forth in Sections 1 and 2 of said Deed; provided that the covenants set forth in Sections 15F of the Agreement, and in Section 3 of the Deed, remain in full force and effect through the period stated thereon. Dated: , 20_ COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY By Its President By Its Executive Director 473280v1 CL205 -60 STATE OF MINNESOTA ) ss COUNTY OF ANOKA ) The foregoing instrument was acknowledged before me this _ day of 20_, by and , the President and Executive Director, respectively, of the Columbia Heights Economic Development Authority, on behalf of the authority. Notary Public This document drafted by: KENNEDY & GRAVEN, CHARTERED 470 U.S. Bank Plaza Minneapolis, MN 55402 (612) 337 -9300 473280v] CL205 -60 PURCHASE AND REDEVELOPMENT AGREEMENT 4600 Polk Street NE, Columbia Heights, Minnesota 1. Parties. This Purchase and Redevelopment Agreement is made as of , 2016, between the COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY, a public body corporate and politic under the laws of Minnesota having its office located at 590 40TH Avenue NE, Columbia Heights, MN (the "Seller "), and TOLLBERG HOMES, LLC, a Minnesota limited liability company, having its principal office at 1428 5a' Avenue, Anoka, MN 55303 (the "Buyer ") (the "Agreement "). 2. Offer /Acceptance. Buyer offers to purchase and Seller agrees to sell real property in Anoka County, Minnesota, legally described as follows (the "Property"): Lot 14, except the north 30 feet thereof, and Lot 15, Block 2, Sheffield's Second Subdivision. Check here ifpart or all of the land is Registered (Torrens) Q 3. Acceptance Deadline. This offer to purchase, unless accepted sooner, shall be null and void at 4:30 p.m. on January 18, 2016 , which is 14 days after Seller authorized the sale. 4. Price and Terms. The price for the Property is $22,500.00 ( "Purchase Price ") which Buyer shall pay as follows: earnest money of $2,000 by check, receipt of which is hereby acknowledged by Seller. The balance of the Purchase Price must be paid by certified check or wire transfer on the Date of Closing. The "Date of Closing" shall be no later than July 15, 2016. 5. Personal Property Included in Sale. There are no items of personal property or fixtures owned by Seller and currently located on the Property for purposes of this sale. 6. Deed. Upon performance by Buyer, Seller shall deliver a quit claim deed conveying title to the Property to Buyer, in substantially the form attached as Exhibit A, subject to the 473279v1 CL205 -59 CERTIFICATE OF COMPLETION WHEREAS, the Columbia Heights Economic Development Authority, a public body, corporate and politic (the "Grantor "), conveyed land in Anoka County, Minnesota to , a (the "Grantee "), by a Deed recorded in the Office of the County Recorder [and in the Office of the Registrar of Titles] in and for the County of Anoka and State of Minnesota, as Document Numbers and respectively; and WHEREAS, said Deed contained certain covenants and restrictions set forth in Sections 1 and 2 of said Deed; and WHEREAS, said Grantee has performed said covenants and conditions insofar as it is able in a manner deemed sufficient by the Grantor to permit the execution and recording of this certification; NOW, THEREFORE, this is to certify that all building construction and other physical improvements specified to be done and made by the Grantee have been completed and the above covenants and conditions in said Deed and the agreements and covenants in Sections 14A and 14B of the Agreement (as described in said Deed) have been performed by the Grantee therein, and the County Recorder [and the Registrar of Titles] in and for the County of Anoka and State of Minnesota are hereby authorized to accept for recording and to record, the filing of this instrument, to be a conclusive determination of the satisfactory termination of the covenants and conditions of Sections 15A and 15B of the Agreement and the covenants and restrictions set forth in Sections 1 and 2 of said Deed; provided that the covenants set forth in Sections 15F of the Agreement, and in Section 3 of the Deed, remain in full force and effect through the period stated thereon. Dated: , 20 COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY By Its President By Its Executive Director 4732790 CL205 -59 STATE OF MINNESOTA ) ) ss COUNTY OF ANOKA ) The foregoing instrument was acknowledged before me this 20_, by Director, respectively, the authority. MX _ day of the President and Executive of the Columbia Heights Economic Development Authority, on behalf of Notary Public This document drafted by: KENNEDY & GRAVEN, CHARTERED 470 U.S. Bank Plaza Minneapolis, MN 55402 (612) 337 -9300 473279v1 CL205 -59 PURCHASE AND REDEVELOPMENT AGREEMENT 4641 Tyler Street NE, Columbia Heights, Minnesota Parties. This Purchase and Redevelopment Agreement is made as of , 2016, between the COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY, a public body corporate and politic under the laws of Minnesota having its office located at 590 40TH Avenue NE, Columbia Heights, MN (the "Seller "), and TOLLBERG HOMES, LLC, a Minnesota limited liability company, having its principal office at 1428 5d' Avenue, Anoka, MN 55303 (the "Buyer ") (the "Agreement "). 2. Offer /Acceptance. Buyer offers to purchase and Seller agrees to sell real property in Anoka County, Minnesota, legally described as follows (the "Property"): Lot Twenty -five (25) and the South 20 feet of Lot Twenty -six (26), Block Two (2) of Sheffield's Second Subdivision. Check here if part or all of the land is Registered (Torrens) Q 3. Acceptance Deadline. This offer to purchase, unless accepted sooner, shall be null and void at 4:30 p.m. on January 18, 2016 , which is 14 days after Seller authorized the sale. 4. Price and Terms. The price for the Property is $22,500.00 ( "Purchase Price") which Buyer shall pay as follows: earnest money of $2,000 by check, receipt of which is hereby acknowledged by Seller. The balance of the Purchase Price must be paid by certified check or wire transfer on the Date of Closing. The "Date of Closing" shall be no later than July 15, 2016. 5. Personal Property Included in Sale. There are no items of personal property or fixtures owned by Seller and currently located on the Property for purposes of this sale. 6. Deed. Upon performance by Buyer, Seller shall deliver a quit claim deed conveying title to the Property to Buyer, in substantially the form attached as Exhibit A, subject to the 473278v1 CL205 -58 CERTIFICATE OF COMPLETION WHEREAS, the Columbia Heights Economic Development Authority, a public body, corporate and politic (the "Grantor "), conveyed land in Anoka County, Minnesota to , a (the "Grantee "), by a Deed recorded in the Office of the County Recorder [and in the Office of the Registrar of Titles] in and for the County of Anoka and State of Minnesota, as Document Numbers and respectively; and WHEREAS, said Deed contained certain covenants and restrictions set forth in Sections 1 and 2 of said Deed; and WHEREAS, said Grantee has performed said covenants and conditions insofar as it is able in a manner deemed sufficient by the Grantor to permit the execution and recording of this certification; NOW, THEREFORE, this is to certify that all building construction and other physical improvements specified to be done and made by the Grantee have been completed and the above covenants and conditions in said Deed and the agreements and covenants in Sections 14A and 14B of the Agreement (as described in said Deed) have been performed by the Grantee therein, and the County Recorder [and the Registrar of Titles] in and for the County of Anoka and State of Minnesota are hereby authorized to accept for recording and to record, the filing of this instrument, to be a conclusive determination of the satisfactory termination of the covenants and conditions of Sections 15A and 15B of the Agreement and the covenants and restrictions set forth in Sections 1 and 2 of said Deed; provided that the covenants set forth in Sections 15F of the Agreement, and in Section 3 of the Deed, remain in full force and effect through the period stated thereon. Dated: , 20 COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY By Its President By Its Executive Director 473278v1 CL205.58 STATE OF MINNESOTA ) ) ss COUNTY OF ANOKA ) The foregoing instrument was acknowledged before me this _ day of , 20_, by and , the President and Executive Director, respectively, of the Columbia Heights Economic Development Authority, on behalf of the authority. Notary Public This document drafted by: KENNEDY & GRAVEN, CHARTERED 470 U.S. Bank Plaza Minneapolis, MN 55402 (612) 337 -9300 473278v1 CL205.58 COLUMBIA HEIGHTS AGENDA SECTION I OTHER BUSINESS ITEM NO. 9 MEETING DATE JANUARY 4, 2016 CITY OF COLUMBIA HEIGHTS — ECONOMIC DEVELOPMENT AUTHORITY ITEM: 2016 Economic Development Authority Goals DEPARTMENT: Economic Development Authority EXECUTIVE DIRECTOR'S APPROVAL: BY /DATE: Joe Hogeboom, December 30, 2015 BY /DATE: BACKGROUND: Attached for the EDA's review is the "Columbia Heights 2014/2015 Strategic Planning Guide" that was adopted on April 7, 2014. The goals and objectives contained in the Guide were the result of a brainstorming workshop that was held by the EDA earlier in 2014. Staff is currently in the selection process of hiring a new liaison to the EDA who will take the place of the former Assistant Community Development Director. This person is expected to begin employment later in January. Once this person is on board, he /she will lead a workshop with the EDA at which we will go over each goal in detail and discuss how it is being achieved, as well as develop further action steps. We ask that you please review this document in preparation for that upcoming discussion. ATTACHMENTS: 1. 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