HomeMy WebLinkAbout2020-75CITY OF COLUMBIA HEIGHTS, MINNESOTA
RESOLUTION NO. 2020-75
RESOLUTION APPROVING PURCHASE AND REDEVELOPMENT CONTRACT BETWEEN THE COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY, THE CITY OF COLUMBIA HEIGHTS, AND BPOZ COLUMBIA HEIGHTS, LLC
BE IT RESOLVED BY the City Council (the "Council") of the City of Columbia Heights, Minnesota (the "City") as follows:
Section 1. Recitals.
1.01. Pursuant to its authority under Minnesota Statutes, Sections 469.090 to 469.1081 and 469.174 to 469.1794, as amended, the Columbia Heights Economic Development Authority
(the "Authority"), with the approval of the City, created the NE Business Center Tax Increment Financing District within its Downtown CBD Redevelopment Project (the "Project"), for the purpose of facilitating the redevelopment of certain substandard property within the Project.
1.02. The Authority, the City, and BPOZ Columbia Heights, LLC (the "Redeveloper") have negotiated and propose to execute a Purchase and Redevelopment Contract (the "Agreement"), providing for the sale of certain property owned by the City and Authority (the "Redevelopment Property") to the Redeveloper, and the construction by the Redeveloper of certain improvements (the "Minimum Improvements") on the Redevelopment Property.
1.03. The purchase price of the City-owned portion of the Redevelopment Property to be conveyed to the Redeveloper (the "City Parcels") plus the cost of certain improvements to be constructed by the Redeveloper on the Redevelopment Property for purposes of a new City Hall, is equal to the fair market value of the City Parcels, and therefore the sale of the City Parcels does not constitute a business subsidy, all as provided in the Agreement.
1.04. The parties' execution of the Agreement and the performance of their obligations thereunder is subject to approval of a Transfer Agreement between the City and Redeveloper (the "Transfer Agreement"), providing for the completion and conveyance by Redeveloper of the City Hall Component of the Minimum Improvements to the City.
1.05. On November 25, 2019, by Ordinance No. 1657, the City authorized the conveyance of the City-owned parcels of the Redevelopment Property to the Authority, and on September 21, 2020, the Authority approved the Agreement, subject to a corresponding approval of the Agreement by the Council.
67412lvl MN! CL205-73
Section 2. Agreement Approved.
2.01. The Agreement as presented to the Council is hereby in all respects approved, subject to approval by the City of the Transfer Agreement, and further subject to modifications that do not alter the substance of the transaction and that are approved by the Mayor and City Manager, provided that execution of the Agreement by such officials shall be conclusive evidence of approval.
2.02. The Mayor and City Manager are hereby authorized to execute on behalf of the City the Agreement and any documents referenced therein requiring execution by the City, including without limitation any deed, and to carry out, on behalf of the City, its obligations thereunder.
2.03. City staff and consultants are authorized to take any actions necessary to carry out the intent of this resolution.
Adopted by the City Council of the City of Columbia Heights this 28th day of September, 2020.
Offered by: Buesgens Seconded by: Novitsky Roll Call: All Ayes
ATTEST:
�Uri � icole Tingley, Ci�k/C
67412lvl MNI CL205-73
Donna K. Schmitt, Mayor