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276985 WHITE - CITY CLERK �+.(1//(�� i PINK - FINANCE � J-�/�h�yQh CANARY - DEPARTMENT G I TY O F SA I N T PA LT L COUtICll �� uvvv BLUE - MAYOR File N O. � � Council Resolution Presented B � Referred To Committee: Date Out of Committee By Date WHEREAS: 1 . On April 21 , 1981 , the Port Authority of the City of Saint Paul adopted Resolution No. 1807 giving preliminary approval to the issuance of industrial development revenue bonds in the amount of approximately $10,000,000 to finance the construction of a 200-room, 9-story Granada Royale Hometel on the Farmers Market site by St. Paul Hometel Associates, a partner- ship comprised of Robert E. Woolley; �ornell Moore, an attorney-developer; Randy Giesen, Paul Frerichs and Cy Sheehy, Jr. , all with Sheehy Construction; Gus Arizio and Steve Oveson, executives with Granada Hotels and related enterprises. 2. Laws of Minnesota 1976, Chapter 234, provides that any issue of revenue bonds authorized by the Port Authority of the City of Saint Paul , shall be issued only with the consent of the City Council of the City of Saint Paul , by resolution adopted in accordance with law; 3. The Port Authority of the City of Saint Paul has requested that the City Council give its requisite consent pursuant to said law to facilitate the issuance of said revenue bonds by the Port Authority of the City of Saint Paul , subject to final approval of the details of said issue by the Port Authority of the City of Saint Paul . RESOLVED, by the City Council of the City of Saint Paul , that in accordance with Laws of Minnesota 1976, Chapter 234, the City Council hereby consents to the issuance of the aforesaid revenue bonds for the purposes described in the aforesaid Port Authority Resolution No. 1807, the exact details of which, including, but not limited to, provisions relating to maturities, interest rates, discount, redemption, and for the issuance of additional bonds are to be determined by the Port Authority, pursuant to resolution adopted by the Port Authority, and the City Council hereby authorizes the issuance of any additional bonds (including refunding bonds) by the Port Authority, found by the Port Authority to be necessary for carrying out the purposes for which the aforesaid bonds are issued. COUNCILMEN Requestgd by De rtment of: Yeas Nays � � Hunt Levine In Favoc 1�dd� O McMa� A gainst BY Tedesco �Iwn Adopted by Council: Date JUN 1 1 198� Form Ap ed by City ttorney Certified Passe b Counc.il Secr r BY � By � �-� App d by ;Navor t J�N i � � Ap d by Mayor for u s on to Council B N �.�-- BY � ' �� , . . �`�� ,_ �-. ,�Gi!�� OM 0�: l 2/1975 �s . • Rev. : 9/8/76 � ` F, m + Pe. � #gi-�� EXPLAPfATION QF ADMINISTRATI.YE.OROERS, � RES4LUTIONS, AND ORDINAPICES . . _ . : � � R�CEIVED � � �� a�: Apri 1 23, 1981 � APR 2 4 i981 A�� 1981 T0: MAYOR G E LATIMER ��P�NNlNG 8� ECONOMIC DEVEIOPMENT fR• E. A. .` , �t,.,, Paul Port Authority � � RE: ST. �AU t�IET'EL ASSOCIATES (GRANADA ROYALE HOMETEL) $10,000,000 REVfNUE BOND ISSUE � 1�-0'0� � � ��I U . �t1z�� g � -. ACTION REQUESTED: • � In accordance with the Laws of Minnesota, Chapter 234, it is requested that the City Cauncil , by Resolution, a draft copy of which is attached hereto, approve the issuance af a revenue bond issue in the amount of approximately .$10,000,000 to finance the canstruction of a 200-room. 9-story Granada Royale Hometel whose design will be subject to approval by the City of St. Paul on the Farmers Market site by St. Paul Hometel Asso�iates, a partner- ship comprised of Robert E. Woolley; Cornell Moore, an attorney-developer; Ranc�y Giesen, Paul frer#chs and Cy Sheehy, Jr. , all with Sheehy Construction; Gus Arizio and Steve Overson, executives with the Granada Hote1s and related ente�prises. PURPOSE AND RATIONALf FOR 1'HIS ACTION: � � The purpose�of the revenue bond issue is to finance the conttruction of a 200-room, 9-story " Granarda� Royale Hometel on the ��armers Market site by St. Paul Fta�ete� Associates, w�t�t con�truction to carmence after the current marketing season is over. A �hotel r� n�ed study by Ken 6ordner &. Associates indicated a need for 2,536 roans tv be opened 6y 1485. Of��fiat amount, 1,187 rooms exclusive of this project., are built, under construction, or committed to open by mid-sumner 1982. Including the 200 rooms praposed here which wii1 open in the spring of 1983, this amounts to 1,387 rooms, leaving a balance of 1,149. Also prt�pas�e! < to be built in can.junctia�n with the hotel is a 330 space parking ramp and motor court with restaurant and meetinq room facilities by R.E.W. Associates. It is anticipated that taxes on the initial pha�se of the project wi11 be approximately $300,000 per ye�r.. �� ATTA�HMENTS: Staff M�morandwo Draft City Council Resolution Port Authority Resolution No. 1807 , R � RT '� AUTHORITY �-,�� OF THE CITY OF ST. PAUL - �r��g� � Memo�andu�n TO: Board of Comnissioners �A� April 17, 1981 Meeting of April 21 , 1981 � � FRObI: E.A. SUBJECT: GRANADA ROYALE HOMETEL PUBLIC HEARING - SALE OF BONDS - PRELIMINARY AND UNDERWRITING AGREEMENT - 200 ROOM HOTEL - $10,000,000 REVENUE BOND ISSUE - CITY MARKET SITE - RESOLUTION N0. 1807 PUBLIC SALE HEARING - SALE OF LAND - RESOLUTION N0. 1808 PUBLIC HEARING - SALE OF BONDS - PRELIMINARY AND UNDERWRITING AGREEMENT - 330 SPACE PARKING RAMP - $5,000,000 REVENUE BOND ISSUE - RESOLUTION N0. 1$09 PUBLIC SALE HEARING - SALE OF LAND - RESOLUTION N0. 1816 1 . THE PROJECT - GRANADA ROYALE HOMETEL - FARMERS MARKET SITE The Commission on March 31 , adopted Resolution No. 1799 relative to the proposed financing of the development of the Farmers Market site. The City Council on April 1�4 unamimously approved the vacation of the Farmers Market site and relocation of the market to a s�te yet to be selected to make way for the construction of the complex proposed by Robert E. Woolley, principal of Granada Royale Hometels. Robert E. Woolley is a principal or a partner in numerous developments throughout the United States and is the owner of Hometels of America and various subsidiaries. PARTNERSHIP - HOTEL St. Paul Hometel Associates is a partnership comprised of Robert E. Woolley; Cornell Moore; Randy Giesen, Paul Frerichs and Cy Sheehy, Jr. , all with Sheehy Construction; Gus Arizio and Steve Oveson, executives with the Granada Hotels and related enterprises. Cornell Moore is an attorney-developer residing in the Twin Cities with _ various real estate and stock holdings. PARTNERSHIP - RESTAURANT, PARKING ANCICLARY FACILITIES - BOND ISSUE R.E.W Associates is a partnership comprised of Robert E. Woolley and Landel Properties. The City of St. Paul currently owns the Farmers Market site which has an appraised value of $1 ,280,000. A developer agreement has been entered into between the Planning and Economic Development Department and the company to acquire the site based upon a cost allocation for � the three proposed phases. . , . + z Board of Cor�nissioners April 17, 1981 Page -2- 2. THE FACILITY The development phases will include: � A. A 200-room, 9-story Granada Royale Hometel whose design will be � subject to approval of the City of St. Paul . B. A parking ramp and motor court containing approximately 330 spaces, restaurant and meeting room facilities comprised of approximately 20,000 square feet of space, C. 1 . A 100,000 square foot condominium office building, or, 2. A reside�ntial facility containing 85 units, Under the terms of the City's agreement with Wooliey and its conditions of sale, Phase 3, i .e. , the office building or the residential units, must be constructed within one year after the hotels completion or that portion of the property reserved for Phase 3 will revert back to the City of St. Paul . Any construction of office space will be subject to conditions existing in the office space market in St. Paul at the time of development. In evaluating the development and recommending financing, staff has evaluated again the original hotel room need study performed by Ken Bordner and Associates and related this to commitments that have been made subsequent to that study. The study indicated a need for 2,536 rooms to be opened by 1986. Of that amount, 1 ,187 rooms exclusive of this project, are built, under construction, or committed to open by mid-summer 1982. Including the 200 rooms proposed here which will open in the spring of 1983, this amounts to 1 ,387 rooms, leaving a balance recommended in the study of 1 ,149. The only other hotel project now being discussed is the proposed Civic Center project including the new theater which will be incorporat�n a UDAG grant application to be submitted to HUD within the next 45 days. If funds are granted to participate in this project, and these funds are essential to any ability to finance the hotel or portions thereof with bonds, the opening of the Civic Center Hotel project could not occur prior to 1984 or later. The City of St. Paul agreement with Robert Woolley provides that con- struction of the facility would not comnence until after the current marketing season is over, which occurs during the last week in October, and therefore, would not interfere with marketing activities there during the 1981 season. - . �. � �t�� Board of Commissioners April 17, 1981 Page -3- Costs of the project would be a]located as follows: Granada Royale Hometel $10,000,000 Restaurant, banquet, meeting room facilities 1 ,500,000 � Parking facilities 3,000,000 Partnership Equity (hard costs only) 1 ,664,000 The hotel facility, commonly called "The Suite Life", wi]1 provide 200 suites which consist of a bedroom, bathroom, living room, and efficiency kitchen. It also provides ready convertibility to condominiumization or conversion if desirable at some future date. The parking ramp facility will be one story. under a deck from which rise the hotel , the motor court parking and other facilities to be built at a later date. Parking will be adequate for the developments proposed for the site. 3. FINANCING HOTEL The hotel financing is proposed to be a $10,000,000 issue allocated as follows: Construction _ $ 6,827,250 Reserve 1 ,172,750 Capitalized Interest-18 Months 1 ,650,000 Expenses (Est. ) 50,000 Underwriting 300,000 TOTAL $10,000,000 PARKING RAMP AND RESTAURANT AND ANCILLARY FACILITIES The parking ramp, restaurant and ancillary facilities is proposed to be a $5;fl00,000 issue allocated as follows: Parking Ramp Ancillary Facilities 30 Years 20 Years Construction $2,026.650.00 $1 ,339,925.00 Reserve 353,350.00 260,775.00 Capitalized Interest-18 Months 495,000.00 315,000.00 Expenses 35,000.00 25,000.00 Underwriting 90,000.00 60,0OO.OJ TOTAL �3,000,000.00 $2,000,000.00 The parking ramp, restaurant and ancillary facilities issue would consist of two series with the restaurant and ancillary facilities issue amortized over a period of 20 years and the parking ramp amortized over 30 years. The hotel would also be on a 30-year lease basis. `�`r��3�5 Board of Commissioners April 17, 1981 � Page -4- The hotel facility agreement contains a provision which would permit either funding of the reserve in the bond issue, escrowing the reserve in cash, or deposit of an irrevocable letter of credit equal to the � reserve fund to be replaced within the first five years by cash. Notwithstanding any of these reco�unended alternative methods of funding the reserve, the equity required, unless it is cash deposited for reserves, will be 10� which can be used for hard costs or F, F and E (furniture, fixtures and equipment) . In no event will bond proceeds be used to finance F, F and E. We have provided under separate cover copies of financial statements of the principal partners which indicate a combined net worth in excess of $38,000,000. The leases on all the facilities proposed will be personally guaranteed. 4. UNDERWRITING AGREEMENT Both of the 876 issues totaling $15,000,000 will be publicly sold. Miller & Schroeder Municipals have presented us with an underwriting commitment to purchase the bonds. The rate of interest will be based on the market rate for 876 .assues at the time of closing. 5. TERMS OF THE LEASE The terms of the agreements will be for 30 years with the exception of the ancillary facilities series which constitutes a bond issue of $Z,000,000 which will be amortized over 20 years. The Part Authority will charge fees on the entire project based upon the following schedule: .36% per million oer month for the first 10 years $54,000.00 .48% per million per month for the second 10 years 72,000.00 .60% per million per month for the last 10 years 78,000.00 The Port Authority will also retain all the earnings on the sinking fund and its debt service reserve funds which are capitalized in the bond issue. In the event the partnership elects to lease F, F and E, any such lease will be subordinated to the Port Authority bonds. The agreements will contain an option to purchase at the end of the term or at amortization of the outstanding bonds for �1 .00. The preliminary agreement provides that all negotiated conditions shall be met at the date of closing and issuance of the bonds shall be subject to obtaining an 'A' rating from Standard & Poor's. . �`�� Board of Commissioners April 17, 1981 Page -5- It is anticipated that taxes on the initial phase of the project will be approximately $300,000 per year. 6. RECOMMENDATIONS � The significance of this development on a site currently considered under utilized by the City of St. Paul is to expand the available lodging and recreational facilities within the downtown community and to take another step toward meeting the needs for hotel rooms forecast by the independent consultants. This also fits in with the projected room needs forecast in the Laventhol & Horwath Civic Center expansion study. The facilities built by Robert E. WA011ey throughout the United States are outstanding in their amenities, and it is staff's opinion that this is a significant and important addition to St. Paul 's downtown community. The Downtown District 17 Council has received early notification of this project and a presentation of it was made to them by James Bellus, Director of the Planning and Economic Development Department, on Thursday, April 16. ' The City has taken the steps to proceed to vacate the site, and it is staff's recommendation based upon evaluation of the Granada operations, and the partners financial -�statements, that the following resolutions be adopted and the project financed with industrial revenue bonds issued under the Port Authority's 876 resolution: Resolution No. 1807 - Public Hearing - Sale of Bonds - Preliminary and Underwriting Agreement - 200 Room Hotel - $10,000,000 Revenue Bond Issue Resolution No. 1808 - Public Sale Hearing - Sale of Land Resolution No. 1809 - Public Hearing - Sale of Bonds - Preliminary and Underwriting Agreement - 330 Space Parking Ramp - $5,000,000 Revenue Bond Issue Resolution No. 1816 - Public Sale Hearing - Sale of LaAd EAK:jmo � ., .� " � � � - ��1��$.� Resolution No. 1807 � RESOLUTION OF THE PORT AUTHORITY OF THE CITY OF SAINT PAUL WHEREAS, the purpose of Minnesota Statutes, Chapter 458 (hereinafter called "Act") as� found and determined by the legislature is to provide the means by which marginal area properties may be developed or redeveloped to help cure the problems incident to the existence of such properties as set forth in Minnesota Statutes, Section 459.191, Subdivision 3; and WHEREAS, a sound development of the economic security of the peoples of the City of Saint Paul (the "City" ) is dependent upon proper development and redevelopment of marginal properties, and the general welfare of the inhabitants of the City require the remedying of such injurious conditions to which marginal properties are now subject; and WHEREAS, the development and redevelopment of such marginal area properties cannot be accomplished by private enterprise alone without public participation and assistance in the acquisition of land and pianning and in the financing of land assembly in the work of clearance, development and redevelopment, and in the making of improvements necessary therefor; and WHEREAS, to protect and promote sound development and redevelopment of marginal land and the general welfare of the inhabitants of the City, it is necessary to remedy such injurious conditions through the employnent of all appropriate means; and WHEREAS, whenever the development or redevelopment of such marginal lands cannot be accomplished by private enterprise alone, without public participation and assistance in the acquisition of land and planning and in financing of development and redevelopment, it is in the public interest to advance and expend public moneys for those purposes and to provide for means by which such marginal lands may be developed or redeveloped; and . � ��r�� WHEREAS, the development or redevelopment of such marginal lands and the provisions of appropriate continuing land use .constitute public uses and purposes for which public moneys may be' advanced or expended and private property acquired, and are governmental functions and are of state concern in the interest of health, safety and welfare of the peoples of the state of Minnesota and of the City of Saint Paul; and , WHEREAS, The Port Authority of the City of Saint Paul � (the "Authority" ) has received from Saint Paul Aometel Associates (hereinafter referred to as "Company") a request that the Author- ity issue its revenue bonds (in the form of two series of such bonds) to finance the acguisition and construction of a hotel facility (hereinafter called the "Project") in an economic � development district heretofore established in the City of St. Paul in accordance with Section 458.191 of the Act and Laws of Minnesota, 1971, Extra Session, Chapter 35, Section 9, all as is more fully described in the staff report on file; and WHEREAS, the Authority desires to aid in the development of marginal land, to facilitate the selective development of the community, to retain and improve its tax base and to help it provide the range of services and employment opportunities required by its population, and said Project will assist the City in achieving that objective. Said Project will help to increase the assessed valuation of the City and help maintain a positive relationship between assessed valuation and debt and enhance the image and reputation of the-City; and WHEREAS, the Project to be financed by revenue bonds will result in substantial employment opportunities in the ' Project; and WHEREAS, the Authority has been advised by repre- sentatives of the Company that conventional, commercial financing to pay the capital cost of the Project is available only on a limited basis and at such high costs of borrowing that the economic feasibility of operating the Project would be significantly reduced, but the Company has also advised this Authority that with the aid of revenue bond financing, and its resulting low borrowing cost, the Project is economically more feasible; and WHEREAS, Miller & Schroeder Municipals, Inc. ( "Miller & Schroeder") has made pro osals in an underwriting agreement (the "Underwriting Agreement"} relating to the purchase and placement of the revenue bonds to be issued to finance the Project; and 4. ,+ �.. . NOW, THEREFORE, BE IT RESOLVED by the Commissioners of the Port Authority of the City of Saint Paul, Minnesota as follows: � 1. On the basis of information available to the Authority it appears, and the Authority hereby finds, that the premises on which said Project is located constitute marginal land . within the meaning of Section 458.191 Subd. 4 of the Act; that the , availability of the financing under the Act and willingness of the Authority to furnish such financing will be a substantial inducement to the Company to undertake the Project, and that the effect of the Project, if undertaken, will aid in the redevelopment of riarginal land and encourage the development of economically sound industry and commerce and assist in the prevention of the emergence of blighted and marginal land, and will help to prevent chronic unemployment, and will help the City to retain and improve its tax base and provide the range of services and employment opportunities required by its population, and will result in more intensive development and use of land within the City and will eventually result in an increase in the City' s tax base; and that it is in the best interests of the port district and the people of the City of Saint Paul and in furtherance of the general pian of development to assist the Company in finaneing the Project. 2. Subject to the mutual agreement of the Authority, the Company and any purchaser of the revenue bonds as to the details of the lease or other revenue agreement as defined in the Act, and other documents necessary to evidence and. effect the financing of the Project and the issuance of the revenue bonds, the Project is hereby approved and authorized and the issuance of revenue bonds of the Authority, in a total amount not to exceed approximately $10,000,000 (other than such additional revenue bonds as are needed to complete the Project) is authorized to finance the costs of the Project and the recommendations of the Authority' s staff, as set forth in said staff inemorandum, are incorporated herein by reference and approved. 3. There has heretofore been filed with the Authority a form of Preliminary Agreement between the Authority and Company, relating to the proposed construction and financing of the Project and a form of the Underwriting Agreement. The form of said agreements have been examined by the Commissioners. It is the purpose of said agreements to evidence the commitment of the parties and their intentions with respect to the proposed Project in order that the Company may proceed without delay with the commencement of •the acquisition, installation and construction of , � � �. �'r 6J85 � the Project with the assurance that there has been sufficient "official action" under Section 103(b) of the Internal Revenue Code of 1954, as amended, to allow for the� issuance of revenue bonds '(including, if deemed appropriate, any interim note or notes to provide temporary financing thereof) to finance the entire cost of the Project upon agreement being reached as to the ultimate details of the Project and its financing. Said agreements are , hereby approved, and the President and Secretary of the Authority are hereby authorized and directed to execute said agreements. 4. Upon execution of the Preliminary Agreement by the Company, the staff of the Authority are authorized and directed to continue negotiations with the Company so as to resolve the remaining issues necessary to the preparation of the lease or other revenue agreement and other documents necessary to the adoption by the Authority of its final bond resolution and the issuance and delivexy of the revenue bonds; provided that the President (or Vice-President if the President is absent) and the Secretary (or Assistant Secretary if the Secretary is absent) of the Authority, or if either of such officers (and his alternative) are absent, the �reasurer of the Authority in lieu of such absent officers, are hereby authorized in accordance with the provisions of Minnesota Statutes, Section 475.06, Subdivision 1, to accept a final offer of the Underwriters made by the Underwriters to purchase any or all of said bonds and to execute an underwriting agreement setting forth such offer on behalf of the Authority. Such acceptance shall bind the Underwriters to said offer but shall be subject to approval ar�d ratification by the Port Authority in a formal supplemental bond resolution to be adopted prior to the delivery of the revenue bonds to be purchased. 5. The revenue bonds and interest thereon shall not constitute an indebtedness of the Authority or the City of Saint Paul within the meaning of any constitutional or statutory limitation and shall not constitute or give rise to a pecuniary liability of the Authority or the City or a charge against their general credit or taxing powers and neither the full faith and credit nor the taxing powers of the Authority or the City is pledged for the payment of the bonds or interest thereon. • 6. In order to facilitate completion of the revenue bond financing herein contemplated, the City Council is hereby requested to consent, pursuant to Laws of Minnesota, 1976, Chapter 234, to the issuance of the revenue bonds (including any iriterim note or notes) herein contemplated and any additional bonds which the Authority may prior to issuance or from time to time .. . . s . - _ . � '. �'!�� + . .. " thereafter deem necessary to complete the Project or to refund •' such revenue bonds; and for such purpose the Executive Vice President of the Authority is hereby authorized and directed to forward. to the. City Council copies of this resolution and said Preliminary Agreement and any additional availabl� information the City Council may request. � 7. The actions of the Executive Vice-President of the • Authority in causing public notice of the public hearing and in describing the general nature of the Project and estimating the principal amount of bonds to be issued to finance the Project are in all respects ratified and confirmed. Adopted April 21, 1981 � � Attes t `�� ` (..�2c� ' Pr ide.rf The Por Authority of the City of Saint Paul � ^ i . �.-�- Se retary / , /� �� \" f .��- --�°, ,�16��5 � I � PORT AUTHORITY OF THE CITY OF SAINT PAUL 25 WEST FOURTH STREET • SUITE 1305 • ST. PAUL, MINN. 55102 • PHONE (612) 224-5686 • April 23, 1981 Mr. James Bellus Director Planning and Economic Development Department City of St. Paul 14th Floor, City Hall Annex St. Paul , Minnesota 55102 SUBJECT: ST. PAUL HOMETEL ASSOCIATES (GRANADA ROYALE HOMETEL) $10,000,000 REVENUE BOND ISSUE Dear Jim: We submit herewith for your review and referral to the office of the Mayor, City Council and the Cfty Attorney's office details pertaining to the issuance of revenue bonds to finance the construction of a 200- room, 9-story Granada Royale Hometel on the Farmers Market site by St. Paul Hometel Associates, a partnership comprised of Robert E. Woolley; Cornell Moore; Randy Giesen, Paul Frerichs and Cy Sheehy, Jr. , all with Sheehy Construction; Gus Arizio and Steve Overson, executives with Granada Hotels and related enterprises. In addition to the staff inemorandum, we are attaching a draft copy of the proposed City Council Resolution and a copy of Port Authority Resolution No. 1807 which authorized the sale of bonds in the amount of $10,000.000. Your expeditious handling of this matter will be appreciated. Y urs truly, . gene A. Kra t Assistant Executive . Vice President EAK:jmo cc: R. Broeker !OBERT f.SPRAFKA EUGENE A KRAUf,C.I.D. DONALD G.DUNSHEE,C.I.D. CLIFFORD E.RAMSTED RONALD O.SCHETTLE XECUiNF VICE PRESIDEM FSSISTAM IXECUIfyF VICE p(2E$�pEMj � qRECTpR,INDUSIRIqL pEV�pPAAEryf CHIEF ENGINEER � CMIEF ACCp�NTqNf :OMMISSIONERS GEORGE W.WINTER GEORGE R.MCMAHON ARTHUR N.GOODMAN VICTOR P.REIM JEAN M.WEST WIWAM yd�LSpN WILLIAM J,SEIFERT vrresioc-nn v��Nr s�c�rnav �s� ^p�a�: C.I.D, Certified Industrial Developer ,- ��,�,,...�- � d-r;� ;� �, ,�r�� , � : � . � PORT AUTHORITY OF THE CITY OF SAINT PAUL 25 WEST FOURTH STREET • SUITE 1305 • ST, PAUL, MINN. 55102 • PHONE (612) 224-5686 • April 23, 1981 Mr. James Bellus Director Planning and Economic Development Department City of St. Paul 14th Floor, City Nall Annex St. Paul , Minnesota 55102 SUBJECT: ST. PAUL HOMETEL ASSOCIATES (GRANADA ROYALE HOMETEL) $10,000,000 REVENUE BOND ISSUE Dear Jim: We submit herewith for your review and referral to the office of the Mayor, City Council and the City Attorney's office details pertaining to the issuance of revenue bonds to finance the construction of a 200- room, 9-story Granada Royale Hometel on the Farmers Market ,site by St. Paul Hometel Associates, a partnership comprised of Robert E. Woolley; Cornell Moore; Randy Giesen, Paul Frerichs and Cy Sheehy, Jr. , all with Sheehy Construction; Gus Arizio and Steve Overson, executives with Granada Hotels and related enterprises. In addition to the staff inemorandum, we are attaching a draft copy of the proposed City Council Resolution and a copy of Port Authority Resolution No. 1807 which authorized the sale of bonds in the amount of $10,000.000. Your expeditious handling of this matter will be appreciated. Y urs truly, , gene A. Kra t Assistant Executive Vice President EAK:jmo cc: R. Broeker OBERT F.SPRAFKA EUGENE A KRAUi,C.I.D. DONALD G.DUNSHEE,C.I.D. CUFFORD E RAMSTED RONALD O.SCHEITLE (ECUIIVEVICEPRESIDENI ASySTAME%ECU�NEVICEPRESIDEM DIRECTOR.WDUSfRV�LDEVEIOf�MEM CHIEfENGINFER CNIEFACCOUNfNJf :OMMISSIONERS GEORGE W.WINTER GEORGE R.MCNIAHON ARTHUR N.GOODMAN VICTOR P. REIM JEAN M.WEST WIWAM WILSON WILLIAM J.SEIFERT aaes�oe+r v�cE ar�soe�rt SeC�Ernav mEOSUiEa C.I.D. Certified Industriol Developer '�2 /� r�� ..�� -- ;�`1�� - ; I -- � PORT AUTHORITY OF THE CITY OF SAINT PAUL 25 WEST FOURTH STREET • SUITE 1305 • ST. PAUL, MINN. 55102 • PHONE (612) 224-5686 • April 23, 1981 Mr. James Bellus Director Planning and Economic Development Department City of St. Paul 14th Floor, City Hall Annex St. Paul , Minnesota 55102 SUBJECT: ST. PAUL HOMETEL ASSOCIATES (GRANADA ROYALE HOMETEL) $10,000,000 REVENUE BOND ISSUE Dear Jim: We submit herewith for your review and referral to the office of the Mayor, City Council and the City Attorney's office details pertaining to the issuance of revenue bonds to finance the construction of a 200- room, 9-story Granada Royale Hometel on the Farmers Market site by St. Paul Hometel Associates, a partnership comprised of Robert E. Woolley; Cornell Moore; Randy Giesen, Paul Frerichs and Cy Sheehy, Jr. , all with Sheehy Construction; Gus Arizio and Steve Overson, executives with Granada Hotels and related ent.erprises. In addition to the staff inemorandum, we are attaching a draft copy of the proposed City Council Resolution and a copy of Port Authority Resolution No. 1807 which authorized the sale of bonds in the amount of $10,000.000. Your expeditious handling of this matter will be appreciated. Y urs truly, . gene A. Kra t Assistant Executive . Vice President EAK:jmo cc: R. Broeker 'OBERT F.SPRAFKA ELIGENE A KRAUL C.I.D. DONALD G.DUNSHEE,C.I.D. CUFFORD E.RAMSTED RONALD O.SCHEITLE (ECUf�vE v�CE Pf2ES�DEM AS�nM EXECU�VE vKE�RES�DEM � qRECTOR.INOUSRiVLL pEVELOPMEM CNIEF E�vG�NEER - CMIEf ACCWNT,4M :OMMISSIONERS GEORGE W.WIfYTER GEORGE R.MCMAHON A(2THUR N.GOODMAN VICTOR P.REIM JEAN M.WEST WILUAM WILSON WILLIAM J. SEIFERT PRE90EM V10E PRESIDEM SECRE7ARY iREFSLIRER � '�7 C.I.D. Certified Industrial Deve{oper �-� .� � y�,�.�-- _ 1 �`�6��5 � I PORT AUTHORITY OF THE CITY OF SAINT PAUL , 25 WEST FOURTH STREET • SUITE 1305 • ST. PAUL, MINN. 55102 • PHONE (612) 224-5686 April 23, 1981 Mr. James Bellus Director Planning and Economic Development Department City of St. Paul 14th Floor, City Hall Annex St. Paul , Minnesota 55102 SUBJECT: ST. PAUL HOMETEL ASSOCIATES (GRANADA ROYALE HOMETEL) $10,000,000 REVENUE BOND ISSUE Dear Jim: We submit herewith for your review and referral to the office of the Mayor, City Council and the City Attorney's office details pertaining to the issuance of revenue bonds to finance the construction of a 200- room, 9-story Granada Royale Hometel on the Farmers Market site by St. Paul Hometel Associates, a partnership comprised of Robert E. Woolley; Cornell Moore; Randy Giesen, Paul Frerichs and Cy Sheehy, Jr. , all with Sheehy Construction; Gus Arizio and Steve Overson, executives with Granada Hotels and related enterprises. In addition to the staff inemorandum, we are attaching a draft copy of the proposed City Council Resolution and a copy of Port Authority Resolution No. 1807 which authorized the sale of bonds in the amount of $10,000.000. Your expeditious handling of this matter will be appreciated. Y urs truly, � gene A. Kra t Assistant Executive Vice President EAK:jmo cc: R. Broeker �OBERT F.SPRAFKA EUGENE A KRAUT,C.I.D. DONALD G.DUNSHEE,C.I.D. CLIFFORD E.RAMSTED RONALD O.SCHETfLE :7(ENiNE V�CE�E5��1i ASSiSfANT EXECUlIVE VICE PRESIDEM . DiRECTOR,INDUSfRIqL pEVE�ppMEM CHIEF ENGOJEER CHIEf ACCOUMANT �OMMISSIONERS GEORGE W.WINTER GEORGE R.MCMAHON ARTHUR N.GOODMAN VICTOR P.REIM JEAN M.WEST WILLIAM WILSON WILLIAM J.SEIFERI PRE9DEM VICE PftESIDEM $ECREIN2Y TREltiSURER � '.�Z C.I.D. Certified Industrial Developer �!� � _ \ �'t b`� �� , ; � ; � . � PORT AUTHORITY OF THE CITY OF SAINT PAUL 25 WEST FOURTH STREET • SUITE 1305 • ST. PAUL, MINN, 55102 • PHONE (612) 224-5686 April 23, 1981 Mr. James Bellus Director Planning and Economic Development Department City of St. Paul 14th Floor, City Hall Annex St. Paul , Minnesota 55102 SUBJECT: ST. PAUL HOMETEL ASSOCIATES (GRANADA ROYALE HOMETEL) $10,000,000 REVENUE BOND ISSUE Dear Jim: We submit herewith for your review and referral to the office of the Mayor, City Council and the City Attorney's office details pertaining to the issuance of revenue bonds to finance the construction of a 200- room, 9-story Granada Royale Hometel on the Farmers Market site by St. Paul Hometel Associates, a partnership comprised of Robert E. Woolley; Cornell Moore; Randy Giesen, Paul Frerichs and Cy Sheehy, Jr. , all with Sheehy Construction; Gus Arizio and Steve Overson, executives with Granada Hotels and related enterprises. In addition to the staff inemorandum, we are attaching a draft copy of the proposed City Council Resolution and a copy of Port Authority Resolution No. 1807 which authorized the sale of bonds in the amount of $10,000.000. Your expeditious handling of this matter will be appreciated. Y urs truly, gene A. Kra t Assistant Executive Vice President EAK:jmo cc: R. Broeker ROBERT F.SPRAFKA EUGENE A KRAUT,C.f.D. DONAID G.DUNSHEE,C.I.D. CLIFFORD E.RAMSTED RONALD O.SCHEfTLf cXECUiNEV�CEPRES�DEN1 hSSISTANTEXECUINEVICEPRES�DEM DIRECTOR,INDUSIRVLLpEVELOPMEM CHIEFENGINEER CtuEFACCOUNTANT COMMISSIONERS GEORGE W.WINTER GEORGE R.McMAHON ARTHUR N.GOODMAN VICTOR P.REIM JEAN M.WEST WIWAM WILSON WILLIAM J.SEIFERI PRESIDEM VICE PRESIpEM SECRETMV TRFASURER .t$�t C.I.D. Certified Industrial Developer � ��,�� ,�.. ,; � \ �'�b�8� , ; � , ' � - � PORT AUTHORITY OF THE CITY OF SAINT PAUL 25 WEST FOURTH STREET • SUITE 1305 • ST. PAUL, MINN. 55102 • PHONE (612) 224-5686 April 23, 1981 . , Mr. James Bellus Director Planning and Economic Development Department City of St. Paul 14th Floor, City Hall Annex St. Paul , Minnesota 55102 SUBJECT: ST. PAUL HOMETEL ASSOCIATES (GRANADA ROYALE HOMETEL) $10,000,000 REVENUE BOND ISSUE Dear Jim: We submit herewith for your review and referral to the office of the Mayor, City Council and the City Attorney's office details pertaining to the issuance of revenue bonds to finance the construction of a 200- room, 9-story Granada Royale Hometel on the Farmers Market site by St. Paul Hometel Associates, a partnership comprised of Robert E. Woolley; Cornell Moore; Randy Giesen, Paul Frerichs and Cy Sheehy, Jr. , all with Sheehy Construction; Gus Arizio and Steve Overson, executives with Granada Hotels and related enterprises. In addition to the staff inemorandum, we are attaching a draft copy of the proposed City Council Resolution and a copy of Port Authority Resolution No. 1807 which authorized the sale of bonds in the amount of $10,000.000. Your expeditious handling of this matter will be appreciated. Y urs truly, gene A. Kra t Assistant Executive Vice President EAK:jmo cc: R. Broeker 20BERT F.SPRAFKA EUGENE A KRAUL C.I.D. DONALD G.DUNSHEE,C.I.D. CLIFFORD E.RAMSTED RONALD O.SCHEITLE :XECUTNE V10E PRE9DEM A595fIVJf EXECUINE VICE pRE$1pEPlf _ pIRECTOR,INpU$RtlAl pEyELOPMEM CNIEF ENGINEER CHIEF ACCIXIMAM �OMMISSIONERS GEORGE W.WIMER GEORGE R.MCMAHON ARTHUR N.GOODMAN VICTOR P.REIM JEAN M,WEST WILUAM WILSON WILLIAM J.SEIFERI PRE5IDEM VICE PRESIDEM $ECREfARY TRFASIMER .�2 C.I.D. Certified Industrial Developer �i�, /�i,��- � �� ;�'1��.85 � , � I � PORT AUTHORITY OF THE CITY OF SAINT PAUL 25 WEST FOURTH STREET • SUITE 1305 • ST. PAUL, MINN. 55102 • PHONE (612) 224-5686 • April 23, 1981 Mr. James Bellus Director Planning and Economic Development Department City of St. Paul 14th Floor, City Hall Annex St. Paul , Minnesota 55102 SUBJECT: ST. PAUL HOMETEL ASSOCIATES (GRANADA ROYALE HOMETEL) $10,000,000 REVENUE BOND ISSUE Dear Jim: We submit herewith for your review and referral to the office of the Mayor, City Council and the City Attorney's office details pertaining to the issuance of revenue bonds to finance the construction of a 200- room, 9-story Granada Royale Hometel on the Farmers Market site by St. Paul Hometel Associates, a partnership comprised of Robert E. Woolley; Cornell Moore; Randy Giesen, Paul Frerichs and Cy Sheehy, Jr. , all with Sheehy Construction; Gus Arizio and Steve Overson, executives with Granada Hotels and related enterprises. In addition to the staff inemorandum, we are attaching a draft copy of the proposed City Council Resolution and a copy of Port Authority Resolution No. 1807 which authorized the sale of bonds in the amount of $10,000.000. Your expeditious handling of this matter will be appreciated. Y urs truly, . E�agene A. Kra t Assistant Executive Vice President EAK:jmo cc: R. Broeker 'OBERT f.SPRAFKA EIIGENE A KRAUL C.I.D. DONALD G.DUNSHEE,C.I.D. CUFFORD E.RAMSTED RONALD O.SCHERLE KECUINE VICE PRESIDEM ASSS�AM EXECl11NE VICE PRESIDEM DIRECTOR.W WSiRL4L DEVELOPMEM CHIEF BaGINEER CFNEF ACCIXA�lfANf :OMMISSIONERS GEORGE W.WINTER GEORGE R. McMAHON ARTHUR N.GOODMAN VICTOR P.REIM JEAN M.WEST WIWAM WILSON WILLIAM J.SEIFERT PRESIDEM VICE PRE9DENi SECREIARV 1f2FASU�7ER `�$t C.I.D. Certified Industrial Developer