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6.4 EDSR 12-16-2013 El -..-. Request for Action River To Item Number Economic Development Authority 6.4 Agenda Section Meeting Date Prepared by General Business December 16,2013 Jeremy Barnhart,Deputy Director, CODD Item Description Reviewed by Phase II Nature's Edge Business Center Reviewed by Action Requested 1. Review preliminary layout and cost estimates associated with phase II of Natures Edge Business Center. 2. Recommend moving up the project on the Capital Improvement Plan, from 2017 to 2014, subject to outside funding Background/Discussion In 2012,Phase II of the Natures Edge Business center was anticipated for 2017, five years after the first phase,reflecting the slow economy and the absorption of the three lots of Phase I and other vacant lots within the community. Since then, one lot has been sold, to Preferred Powder Coating. A cursory review of the available, shovel ready lots for industrial uses returns less than 12 lots,none of which are bigger than 15 acres. Increasing interest in available sites for business has caused staff to analyze options for new industrial lots. Further,most interested companies do not wish to wait the 2 years necessary before roads and utilities are ready to serve a desired site. As a result,EDA staff believe that phase II should be pursued earlier than 2017. The City Engineer has reviewed the costs and site plan for the development of Phase II Nature's Edge Business Center. Staff anticipates funding of this project from several sources,including state grants. The CIP worksheet reflects these anticipated sources. Financial Impact N/A Attachments • Draft Phase II site map • Draft CIP worksheet t1 / t # t , It MANE m N. a r- ,, . 1 .„; �,_ 1 .. ,.. ,..„.. , e .„ , .. „f : ..,___ ___, ',. . . .... .. .. , , _ Y -e— - a 1 • e r W.t e'h , 0 ,, • SCOW) 1 ''' j , / \ ,. ° i b. ; : „:444:,,,,c,::, ' �� v rx r p $ / - LARRY^ a " r r 4 P '1 y, --4 , - 7 ., T.:, ,,,,,,, , , "../y//,,,,,,. „:. .,. ,..,... 0,-.:. 1 , . ,. ,2,, , t.,,,,,, "nu ,,:,\ \ / FTC !ZA1 ....... .„-..; -/-4, ....-- ' ' ' '- ' , A''-- - -,. ," ' *. .40114.„ / i i., -.....,,i: _. ' ' fr >IIP .j 1_ "1 J J. E 'a 19.5 ACRES t NP C ON .. p \ N,,,,_„,; ...`� 8.3 ACRES "0" +Q 11.2 ACRES 7 .. < _ M. i .,Mil NATURES EDGE BUSINESS CENTER 2ND ADDITION of River 2�-0 400 SCALE IN FEET Scale: 1 INCH = 400 FEET IAA i 4r�I Capital Improvement Plan 2014 thru 2018 Department Infrastructure Improvements City of Elk River, Minnesota Contact Engineer Type Infrastructure Project# II-41 ! Useful Life 20 years Project Name Phase II Natures Edge Business Center Category Unassigned Priority n/a Description ' Design and construct public improvements to develop phase II of the Nature's Edge Business Center. Justification To provide larger light industrial/commercial lots to meet the increased demand requested by business relocating and/or expanding. The city has experienced an increase in the number of business inquiries requiring larger foot print that can handle truck traffic,and manufacturing and warehousing types of facilities with utilities already stubbed in. Expenditures 2014 2015 2016 2017 2018 Total Design/Construction 1,300,000 1,300,000 Total 1,300,000 1,300,000 Funding Sources 2014 2015 2016 2017 2018 Total City Development Fund 100,000 100,000 Economic Development Author 300,000 300,000 State grants 500,000 500,000 Trunk Utility Fund 400,000 400,000 Total 1,300,000 1,300,000 2014-2018 CAPITAL IMPROVEMENT PLAN Page I