07-34CouncII �le # �7— J�
Green Sheet # 8
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CITY
Presented
RESOLUTION
SAINT PAUL, MINNESOTA
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tESOLUTIO O AP OVE: 1) EXECUTION OF A DEVELOPMENT AGREEMENT BY AND
AMONG F RS MARKET LOk"I'S LLC, CITY OF SAIlVT PAUL, AND THE HOUSING
AND REDEVELOPMENT AUTHORITY OF THE CITY OF SAINT PAUL, MINNESOTA; AND
2)AMENDMENT TO THE CITY BUDGET, WARD 2, DISTRICT 17
WHEREAS, City of Saint Paul, Minnesota (the "City") is desirous of developing an appro�mate 15,000
square foot indoor fazmer's mazket space (the "Indoor City MazkeY') on certain properties located in the Lowertown
azea of downtown Saint Paul adjacent to the present outdoor fazmer's market owned by the City. Located atop and
below Indoor City Mazket will be constructed 44 units of for sale housing (the "Housing Project") (hereinafter the
Indoor City Mazket and the Housing Project shall be collectively refened to as the "Project"); and
WHEREAS, in order to help facilitate the Project, the HRA Boazd of Comtnissioners adopted Resolution
No. 03-7/9-3, authorizing the HRA to acquire the following two (2) parcels of real property situated within the
Project area and legally described as follows:
Lots 1 and 2, Block 14, Whitney and Smith's Addition, according to the recorded plat thereof, and
situate in the City of Saint Paul, Ramsey County, Minnesota (hereinafter referred to as "Pazcel 1");
and
I,ot 3, Block 14, Whitney and Smith's Addition to Saint Paul, except the Northwesterly 18 feet
thereof and except the Southwesterly 25 feet thereof (hereinafter referred to as "Parcel 2")
(hereinafter Parcels 1 and 2 aze collectively referred to as the "Properties"); and
WFIEREAS, on October 12, 2005, the HRA Boazd of Commissioners adopted Resolution No. OS-10/12-2,
authorizing the FIRA to acquire title to Pazcel 1 and Parcel 2 for the aggregate purchase price of $945,00� (the
"actual purchase price"); and
WIiEREAS, the City Council adopted Resolution OS-1084 ("05 Resolution") authorizing the execution of a
development and grant agreement with Mazket Lofts LLC and other matters; and
WHEREAS, due to the softening of the real estate market and other reasons the original developer, Market
Lofts LLC has withdrawn from the Project and a new developer, Farmers Market Lofts LLC has expressed interest
in constructing the Project; and
WHEREAS, the City desires to enter into a Development Agreement (the "Development AgreemenY') with
the Farmers Market Lofts LLC (herenaafter refened to as the "Developer") and the HRA, whereby the IIRA will
convey the Properties to the Developer, who will then subdivide the Properties so as to create a Aousing Parcel and a
City Pazcel. The Development Agreement further requues tltat the Developer (i) will conshuct upon the Aousing
Parcel a 40-space under�} parking ramp below the Indoor Caty Market and 41 units of for sale residential
condominium lofts above the Indoor City Mazket, and (n) will, in partnerslup with the City, constnxct the exterior
shell of the Indoor City Market upon the City Pazcel.
WHEREAS, the anticipated delay in completing all of the actions necessary to commence the Project has
resulted in the expiration of Metropolitan Council grant funds in the amount of $482,826 thus there is a need for the
07-��
45 HRA to amend the sources of the total budgeted Proj ect cost and replace Met Council funds with $500,000 in public
46 funds from the F3R P,'s Fund 117 Enterprise I.oan Fund; and
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48 WHEREAS, the FIItA Board of Commissioners, putsuant to action taken previous to consideration of this
49 Resolution, has approved the Development Agreement.
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NOW, THEREFORE, BE TT RESOLVED, by the City Council of the City of Saint Paul, Minnesota
(Council), that:
1. The Council hereby rescinds that portion of the OS Resolution authorizing the execution of a
development and grant agreement with Market Lofts LLC. The Council approves the Development Agreement in
substantially the form submitted with Fanners Market I,ofts LLC, and all signatories designated under Chapter 86 of
the City's Aduunistrative Code are hereby authorized and directed to execute the Development Agreement on behalf
of the City. The Director of the City's Department of Planuing and Economic Development is hereby authorized to
negotiate and agree to any amendments, deletions or revisions to the Development Agreement which do not
substantially change the rights or obligations of the City under the Development Agreement provided that such
amendments are acceptable in form and substance to the Saint Paul City Attorney.
2. The Council hereby approves the acceptance of the conveyance of the City Pazcel from Fanners
Market Lofts LLC to the City under the terms and conditions set forth in the Development Agreement.
3. The City Budget is hereby amended and approved as detailed in Attachment A.
4. The Director of the City's Department of Plamiiug and Economic Development or her designee, in
consultation with the City Attomey's Office, is fiuther directed and authorized to take all actions necessary to
implement this Resolution and said Director is authorized to execute any documents and instruments in connection
therewith.
Requested by Department of:
Plamiing and Economic Development
� �
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Form App ve City Att�
By . k
T/d�
Adoption Certified by Council Secretary Form Ap ved y or mis ' to ouncil
By: i gy;
Approved�?�K�f�yo � Date j- LL -��
By: �L ° us —���
Adopted by Council: Date
0 7- 3�
ATTACHNIENT A
The Counc$ of the City of Saint Panl approves the amendment of Indoor Farmers' Market Bndget
2005 Capital Project Fund (CPL) and
Ciry Met CounciUState Cnant Fund # 101
Indoor Farmers' Mazket C�urent
FINANCING PLAN Budget Change
CPL COS-7R058-7302-00000 Transfer from FIItA Enterprise Fw 30Q000 SOQ000
(117-26505-0565)
P6 101-36303-3802-61661 Met Council Grant 950,000 (482,82635)
Total Financing 1,250,000 17,174
SPENDING PLAN
CPL COS-7R058-0547-00000 Indoor Fanners' Mazket Project 300,000 500,000
P6 101-36303-0565-61661 Market Lofts Project 950,000 (950,000)
P6 101-36303-0881-61661 Acquisition of Land- Indoor Mazk - 450,000
P6101-36303-0892-61661 ArchitectFee - 17,173.65
Total Spending 1,250,000 17,174
NetIncrease 17,174
Amended
Budget
800,000
467,173.65
1,267,174
:11 11
450,000
17,173.65
1,267,174
Indoor Farmers Market City 2007 Amendmentxls
� Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet �
b7-3<f
- Depar[menUofice%ouncil: � oate mmarea: '�
PE -p, � 0�-„�7 � Green Sheet NO: 3035948
�
'. Gontad Person & Phone:
� Diane Nordquis[
266F640
'� Must Be on Council Agenda by (Date):
i 17JAN-07
1 Doc,"rype: OTHERAGREEMENT/CONTF
�� E-Dowment Required: N
Dowment ConWCt:
i Contact Phone:
� � o
Assign � 1
Number � Z
For
Routing i 3
Order 4
I
I 5
6
1 7
Tofal # of Signature Pages _(Clip All Locations for Signature)
�hia & Eco ' D eloomei DireMOr
�;� Qy �CStvAttomev-PeteM. �
9NaYOr's OiSCe 'i Mavor (if over 550.00 :
� 'i � C'rvCouncil-Thune
•wno.tr I CitvClerk
acnon�cequeaea:
Execute a Development Agreement with Farmers Mazket Lofts Por the Market I.ofrs project, a 41 unit ownership condominium
development with a first floor in-door Fazmecs Market located in LoweRown.
dations: P,pprove (n� or tte�ec� lrcl: � �en���a� ���.�,.�.....,�o....,..� ............._. ..._ ._..-°--_ ---------
Planning Commission 1, Has this persoNfirm ever worked under a contract for this department�
C�B Committee Yes No
Civil Senrice Commission 2. Has this person/firm ever been a city employee?
Yes No
3. �oes this person/frm possess a skill not normally possessed by any
cuvent city employee?
Yes No
Expiain all yes answers on separate sheet and attach to green sheet
Initiating Problem, Issues, Oppo�tunity (Who, What, When, Where, Why):
On January 10, 2007, the IIRA will pass a resolution approving a Developmem Agxeement with Fazmecs Market Lofts, LLC. The
City will own the Indoor mazket and is therefore a party to the Development Agreement.
AdvanWges If Approved:
The Developers will be able to proceed with the 41 units of condominiwns and a first floor in-door Fazmers Mazket.
Disadvantages If Approved:
None.
Disadvantages If Not Approved:
The project would not move forwazd.
Total Amount of
Transaction:
Funding Source:
Financial Information:
(Explain)
$500,000
HRA Fund 117
CosURevenue Budgeted: Y
Activity Num6er. CPL CO5 7R058-0547-OOOOO�
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January 5, 2007 2:38 PM Page 1