4.3. SR 10-08-2001Item~ 4.3.
MEMORANDUM
TO:
FROM:
DATE:
Economic Development Authority
Mayor & City Council
Mehelich, ~
Catherine Director of Economic Development
October 8, 2001
SUBJECT: Redevelopment of NE Corner Hwy 169 & Main Street- Update
Staff is continuing to work with developer, ICraus-Anderson, on a redevelopment proposal
for the northeast corner of Highway 169 and Main Street. The properties currendy under
consideration for the project include the former Ron's Foods, City Emporium, and t~vo
adjacent apartment buildings along Third Street.
ICraus-Anderson has submitted a preliminary site plan for review by staff. The current
proposal includes three separate buildings for an office, restaurant and multi-tenant retail.
The developer is currently undergoing, acquisition discussions with the above property
owners.
As owner of the Emporium property the City Council will need to consider the terms of the
sale. At this time staff is suggesting sale of the Emporium property at fair market value,
which is estimated to be $370,000 for the 0.79-acre corner property (land and building). In
addition it is anticipated that the developer will be making a formal request for
redevelopment tax increment financing to assist with any extra ordinary costs versus btdldmg
on vacant property, such as demolition.
S:\EDALPROSPECTLRons Foods - Emporium\OctUpdat¢.DOC