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Resolution Approving and Authorizing the Sale and Conveyance of HRA-Owned Parcels Located In Phalen Village, and Extending Tentative Developer Status, Greater East Side, District 2, Ward 6
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WHEREAS, the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota (the "HRA") is a public body corporate and politic established pursuant to the provisions of Minnesota Statutes section 469.001, et seq. (the “Act”); and
WHEREAS, the HRA has the power to engage in development or redevelopment activities under Minnesota law and the HRA is authorized to engage in activities relating to (a) housing projects and development, (b) removal and prevention of the spread of conditions of blight or deterioration, (c) bringing substandard buildings and improvements into compliance with public standards, (d) disposition of land for private redevelopment, and (e) improving the tax base and the financial stability of the community, and to engage in the aforementioned activities when these needs cannot be met through reliance solely upon private initiative and which can also be undertaken in targeted neighborhoods; and is authorized to create redevelopment projects as defined in Minnesota Statutes section 469.002, subdivision 14; and
WHEREAS, on July 24, 2013, by Resolution 13-1097 the HRA Board accepted and approved the HRA Disposition Strategy Work Plan and Budget (“Plan”) to address the disposition of certain parcels of real property owned by the HRA, located along Phalen Avenue in Saint Paul (“Phalen Village”) at the following addresses: 1150 Prosperity Avenue, 0 Phalen Boulevard, and 0 Phalen Boulevard, as more fully described in the attached Legal Description; and
WHEREAS, on April 22, 2015, by Resolution 15-735, the HRA Board designated Phalen Village, LLC (“Developer”) as Tentative Developer for Phalen Village; and
WHEREAS, the Developer has met the requirements set forth in the resolution granting Tentative Developer status relative to the southern portion of Phalen Village (the “Property,” as described in the attached Legal Description) and is prepared to move forward with development of the Property; and
WHEREAS, Developer intends to continue working to finalize plans and financing for development of the northern portion of the property (the “North Parcel”), which will require an extension of Developer’s Tentative Developer designation for that parcel; and
WHEREAS, the HRA proposes to sell and convey the Property to Developer for $200,000, which represents a land cost write-down of $187,000, and enter into a development agreement for the purpose of constructing new private development, as further described in the staff report accompanying this Resolution; and
WHEREAS, the Board of Commissioners of the HRA considered the Property sale pursuant to due notice thereof that was published in the Saint Paul Pioneer Press on October 28, 2017, after a public hearing held on Wednesday, November 8, 2017 at 2:00 pm, central daylight time, on the third floor of City Hall, 15 West Kellogg Boulevard, Saint Paul, Minnesota; and
WHEREAS, by this resolution the Board of Commissioners of the HRA finds a public purpose for the conveyance of the Property, insofar as it meets the City’s goal of commercial redevelopment in the Phalen Village Small Area Plan, it will redevelop vacant land, create jobs, and it will enhance the tax base capacity for the City; and
WHEREAS, by this resolution, the Board of Commissioners finds good cause to extend the Tentative Developer designation for Developer relative to the North Parcel,
NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota that:
1. The HRA Board of Commissioners hereby approves the sale and conveyance of HRA-owned parcels described in the attached Legal Description pursuant to the terms described in the staff report.
2. The HRA Board of Commissioners hereby approves the land write down from $387,000 to $200,000.
3. The HRA Executive Director is authorized and directed to finalize all documents and agreements necessary to effectuate the conveyance of the Property.
4. The tentative developer status for the North Parcel of Phalen Village be extended until December 31, 2018.
5. The HRA Executive Director, staff and legal counsel for the HRA are further directed and authorized to take all actions necessary to implement this Resolution. The HRA’s Executive Director is authorized to execute any documents and instruments in connection with this Resolution except that the HRA Chair/Commissioner shall execute the deed of conveyance.