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Approving and authorizing the sale and conveyance of a portion of 1675 Energy Park Drive to Snelling Properties LLC; and authorizing the execution of a purchase agreement, District 12, Ward 4
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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 Minn. Stat. Section 469.002, Subd. 14; and
WHEREAS, on January 18, 2018 the HRA began negotiations with Wellington Management ("Wellington") and proposes to sell and convey the northerly 160 feet of 1675 Energy Park Drive (the “Property”) to Wellington for the development of a parking lot to be used by Minnetronix Inc., a tenant of Wellington's commercial property located adjacent and to the east of the Property; and
WHEREAS, Wellington formed a new entity called Snelling Properties LLC (“Buyer”) to develop the parking lot; and
WHEREAS, HRA staff propose to sell and convey the Property to Buyer for $450,000.00, which represents a fair market value land cost, for construction of the aforementioned parking lot; and
WHEREAS, HRA staff recommend a purchase agreement with Buyer for the sale and conveyance of the Property on the terms and conditions described in the staff report accompanying this Resolution (“Purchase Agreement”); and
WHEREAS, the Property is currently owned by the City of Saint Paul and City staff are going through the process of obtaining the Saint Paul City Council’s approval to transfer the Property’s title to the HRA; and
WHEREAS, pursuant to due notice thereof, that was published in the Saint Paul Pioneer Press, a public hearing on this sale and Purchase Agreement was held on Wednesday, January 8, 2020 at 2:00 pm, on the third floor of City Hall, 15 West Kellogg Boulevard, Saint Paul, Minnesota; and
WHEREAS, by this Resolution the HRA finds a public purpose for the sale and conveyance of the Property to Buyer.
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. Subject to the City of Saint Paul’s transfer of the Property’s title to the HRA, the HRA Board of Commissioners hereby approves the sale and conveyance of the Property to Buyer on the terms and conditions described in the staff report.
2. The HRA Board of Commissioners further approves the execution of the Purchase Agreement by the HRA’s Chair, Executive Director, and Director of Office of Financial Services.
3. The HRA Executive Director is authorized and directed to finalize all documents and agreements necessary to effectuate the sale and conveyance of the Property to Buyer.
4. 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 other documents and instruments in connection with this Resolution except that the HRA Chair/Commissioner shall execute the deed of conveyance of the Property to the Buyer.