Title
Authorization to Designate DC Commercial and JB Vang as development partners, or another entity that is affiliated with and controlled by DC Commercial and JB Vang (“Developer”), as tentative developer of 0 Jackson Street (PIN 192922210112), District 6, Ward 5
Body
WHEREAS, the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota (the “HRA”) is a public body corporate and politic established, existing, and operating under the laws of the State of Minnesota pursuant to the provisions of Minnesota Statutes, Section 469.001, et seq. (the “Act”); and
WHEREAS, the HRA is empowered by law, including the Act, to adopt and enforce this Resolution in pursuit of its mandate to engage in appropriate housing, development, and redevelopment projects; to remove or prevent the spread of conditions of blight or deterioration; to bring substandard buildings and improvements into compliance with public standards; to dispose of HRA-owned land for private development; and to improve the tax base and the financial stability of the community; and
WHEREAS, the HRA is authorized to create redevelopment projects as defined in Minn. Stat. Section 469.002, Subd. 14; and
WHEREAS, HRA owns 0.67 acre of vacant land located at 0 Jackson Street, whose PID is 19.29.22.21.0112 (the “Property”); and
WHEREAS, as described in the staff report accompanying this Resolution, HRA staff received a request from the Developer for a Tentative Developer Status for the Property; and
WHEREAS, after receiving a proposal from the Developer, an early notification was issued on February 26, 2026, and interested parties were given 45 days to submit competing proposals; and
WHEREAS, no competing proposals were received; and
WHEREAS, after reviewing the proposal from the Developer, HRA staff is recommending that the Developer be granted tentative developer status for the Development Site because the Developer’s proposal to create affordable residential housing on the Development Site (“Project”) best accomplishes the stated HRA goals and objectives for the Development Site, and the Developer has the demonstrated experience and qualifications necessary to successfully redevelop the Development Site; and
WHEREAS, this Board finds the Project serves a public purpose by 1) meeting the City’s goal of production of housing; 2) redeveloping vacant parcels of land; and 3) enhancing the tax base capacity for the City;
NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota, that DC Commercial and JB Vang as Development Partners, or another entity that is affiliated with and controlled by DC Commercial and JB Vang, is designated as tentative developer for the Property (the “Tentative Developer”) for a period of 24 months, until May 15, 2028, on the terms and conditions set forth in this Resolution.
BE IT FURTHER RESOLVED that within ten (10) days of the passage of this Resolution, the Tentative Developer must execute and deliver to HRA staff the Acknowledgement of Compliance Documents (First Developer Letter), in a form acceptable to HRA staff (including a preliminary schedule). The Tentative Developer must remit a non-refundable application fee of $25,000 no later than closing on sale of the Property or the end of the 24-month Tentative Developer status (including an administrative extension, if needed), whichever comes first. The HRA and Tentative Developer will maintain open and regular communications to ensure significant progress is being made toward the tasks defined below.
BE IT FURTHER RESOLVED that the Tentative Developer must complete or cause to complete, at its own cost, certain activities with respect to the Project. A list of benchmark activities, and the dates such activities are to be commenced or completed by the Tentative Developer include the following:
Prior to November 30, 2026, the Tentative Developer will:
• Commence and diligently pursue site survey, geotechnical study, building and structural analysis, and environmental assessment(s).
Prior to March 31, 2027, the Tentative Developer will:
• Complete the environmental studies or pursue funding for the completion of environmental studies, as applicable.
• Complete a Market Study to inform the demand for workforce vs. family-friendly housing units.
• Submit an application to Real Estate for vacation of the adjoining public alley.
Prior to July 31, 2027, the Tentative Developer will:
• Begin engagement of surrounding community groups and key stakeholders regarding the Project and its site plan.
• Complete schematic designs for the Project with input from Market Study, affected community groups, and stakeholders.
• Submit preliminary site plans and schematics for review in accordance with applicable zoning regulations.
• Submit a detailed timeline and construction phasing plan for the Project, for approval by HRA staff.
• Complete and submit applications to Ramsey County, Metropolitan Council, and DEED, as applicable.
Prior to December 31, 2027, the Tentative Developer will:
• Complete any request for General Assistance to the City of St. Paul/ Housing and Redevelopment Authority of the City of St. Paul, as applicable.
• Finalize a detailed development budget and business plan for approval by HRA staff and submit evidence of availability or construction financing for review by HRA staff for acceptability.
Prior to May 15, 2028, the Tentative Developer will:
• Complete formal scope of work with architectural/engineering plans and specifications, incorporating Green/Sustainable Development guidelines, and including site plan, elevations, exterior treatments/materials, and interior schematics for approval by HRA staff.
• Complete site plan review process with the Department of Safety and Inspections.
• Receive all approvals for zoning for the Project.
• Obtain all property building permit approvals, licenses, and any other required City or State approvals for the Project.
• Remit payment for all fees to the City of St. Paul/ Housing and Redevelopment Authority of the City of St. Paul, as applicable, including related contracts, applications, and permits.
• Negotiate final terms and conditions of a development agreement, which will include all compliance requirements, details of the bidding process, and a sworn construction cost statement from the selected contractor for the Project.
BE IT FURTHER RESOLVED that the terms and conditions of a development agreement between the HRA and the Tentative Developer shall include, among other items required by HRA staff or the City Attorney’s Office, the following terms and restrictions:
1. All pre-development costs are the sole responsibility of the Tentative Developer.
2. The Tentative Developer must work with affected community groups.
3. The Property will be sold in its “as is” condition.
4. In connection with the foregoing actions, the HRA is authorized to grant the Tentative Developer access to the Property under a license agreement, approved by the City Attorney’s Office, that allows the Tentative Developer to perform its due diligence, including environmental investigation, provided that entry onto the Property shall not interfere with any HRA or City of Saint Paul operations on or around the Property.
BE IT FURTHER RESOLVED that if the Tentative Developer does not timely commence or complete the specified tasks or otherwise abide by the terms of this Resolution, its status as Tentative Developer may be terminated by the Executive Director of the HRA without further action by this Board, or, alternatively, the Executive Director may grant an extension of the Tentative Developer status for a period up to six months upon a showing of significant progress of the tasks defined above by the Tentative Developer.