HomeMy WebLinkAbout2025-030 Ratio Re-Fi Resolution4898-2137-4750.1
CITY OF COLUMBIA HEIGHTS, MINNESOTA
RESOLUTION NO. 2025-30
RESOLUTION APPROVING AN ASSIGNMENT OF TIF NOTE
AND REDEVELOPMENT AGREEMENT
WHEREAS, the City of Columbia Heights (the “City”) and the Columbia Heights Economic
Development Authority (the “Authority”) have approved the establishment of NE Business Center Tax
Increment Financing District (the “TIF District”), a redevelopment district, pursuant to Minnesota
Statutes, Sections 469.174 through 469.1794, as amended;
WHEREAS, the Authority has approved certain tax increment financial assistance pursuant to a
Purchase and Redevelopment Contract, dated September 28, 2020 (the “Redevelopment Agreement”)
with BPOZ Columbia Heights, LLC, a Delaware limited liability company (or certain affiliates thereof,
collectively, the “Redeveloper”) in order to facilitate the Redeveloper’s plans in financing the
construction on certain property within the TIF District described in Schedule A of the Redevelopment
Agreement (the “Redevelopment Property”) of a mixed-use facility consisting of multifamily rental
housing, space intended for conveyance to the City for use as a city hall (the “City Hall Component”), and
commercial space, along with associated structured and surface parking (collectively, the “Minimum
Improvements”); and
WHEREAS, in connection with the Redevelopment Agreement, the Authority issued a Tax
Increment Revenue Note in the original principal amount of $9,550,000.00 in favor of the Redeveloper,
dated as of September 8, 2021 (as amended, modified, consolidated or restated from time to time, the
“Tax Increment Revenue Note”); and
WHEREAS, the City and the Redeveloper are in the process of conveying the City Hall
Component from the Redeveloper to the City; and
WHEREAS, in connection with its refinancing of the Minimum Improvements, excluding the
City Hall Component (hereinafter, the Minimum Improvements following conveyance of the City Hall
Component shall refer to the “Project”), the Redeveloper has requested that the Authority and the City
consent to a Collateral Assignment of Tax Increment Revenue Note and Redevelopment Agreement
“Assignment”) by and between the Redeveloper and Newpoint Real Estate Capital LLC, a Michigan
limited liability company (the “Lender”), pursuant to a Consent to Collateral Assignment of Tax
Increment Revenue Note and Redevelopment Agreement (the “Consent”).
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Columbia Heights
(the “Council”), as follows:
1.01. The Council hereby approves the Assignment and the Consent in substantially the forms
presented to the Council, together with any related documents necessary in connection therewith,
including but not limited to any agreements referred to therein, (collectively, the “Assignment
Documents”) and hereby authorizes the Mayor and City Manager to execute any such Assignment
Documents to which the City is a party, on behalf of the City, and to carry out, on behalf of the City, the
obligations of the City thereunder when all conditions precedent thereto have been satisfied.
1.02. The approval hereby given to the Assignment Documents includes approval of such
additional details therein as may be necessary and appropriate and such modifications thereof, deletions
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therefrom and additions thereto as may be necessary and appropriate and approved by legal counsel to the
City or the Authority and by the officers authorized herein or by the City to execute said documents prior
to their execution; and said officers are hereby authorized to approve said changes on behalf of the City.
The execution of any instrument by the appropriate officers of the City shall be conclusive evidence of
the approval of such document in accordance with the terms hereof. In the event of absence or disability
of the officers, any of the documents authorized by this Resolution to be executed may be executed
without further act or authorization of the Council by any duly designated acting official, or by such other
officer or officers of the Council as, in the opinion of the City Attorney or other legal counsel to the City,
may act in their behalf.
1.03. Upon execution and delivery of the Assignment Documents, the officers and employees
of the City are hereby authorized and directed to take or cause to be taken such actions as may be
necessary on behalf of the City to implement the Assignment Documents, when all conditions precedent
thereto have been satisfied.
1.04. The Council hereby determines that the execution and performance of the Assignment
Documents will help realize the public purposes of the Act.
Approved by the City Council of the City of Columbia Heights, Minnesota this 24th day
of February, 2025.
Offered by: Buesgens
Seconded by:
Roll Call: All Ayes
_____________________________
Mayor
ATTEST:
______________________________
City Clerk
Deneen