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EDSR INFORMATION #5 05-10-1999 MAY 07 1999 L O H E RTY ZSU Fifth Street Toners 1 3U South Fifth Street RUMBT i1: INFORMATION V Minneapolis, Minnesota 53.102-4235 Telephone(612)677-4300& BUTLF,R FAR 1h12,677-4800moir PROFESSIONAL ASSOCIATION t\'rites s direct dial number: Attorneys at Law (612)677-4588 Beckp@drblaw.com May 5, 1999 James Mevissen 11070 181st Avenue N.W. Elk River, MN 55330 Re: Offer to purchase 11070 181' Avenue N.W., Elk River, Minnesota Dear Mr. Mevison: This letter will constitute the written offer of the Economic Development Authority for the City of Elk River (EDA) to purchase your property located at 11070 181' Avenue N.W., Elk River, Minnesota for the EDA's appraised value of$235,000 plus all relocation expenses to which you are entitled by law. This offer is subject to a mutually acceptable purchase agreement and satisfactory • evidence of title. This offer assumes that you have fee simple title to the property and appropriate adjustments will need to be made for any mortgages, liens or encumbrances on the real property. As you are aware, the EDA has determined that acquisition of the property located at 11070 181st Avenue N.W. is necessary for redevelopment of the EDA's Tax Increment Financing District No.19. Attached is a copy of EDA Resolution 98-11 making this finding. Resolution 98-11 also directs EDA's staff to: • Obtain appraisals of real property to be acquired. • Make written offers to affected property owners and negotiate such offers to successful conclusion. • Acquire property at the appraised value plus additional damages, if any, as approved by the City Administrator. • In circumstances when negotiation proves to be unsuccessful, condemn parcels as provided by Minnesota Statutes. • Enclosed is a copy of an independent appraisal of your property prepared for the EDA by Patchin Messner Appraisals, Inc. The appraisers' conclusion is that your property has a fair market value, as of April 27, 1999, of$235,000. • This letter will constitute the written offer of the EDA to acquire your property for the appraised value of$235,000. In addition, you will be entitled to actual and reasonable relocation expenses St.Paul• Minneapolis • Denner •San Ramon • Washington,D.C. DOHERTY U BLE B V 1 LER James May 5,V 1999 n PRO(FSSIOS,\I.ASSOCIATION Page 2 provided for by law. Further information about making a relocation claim and the types of relocation expenses which are compensable will be provided to you. Please contact Paul Steinman, Director of Economic Development for the City of Elk River, if you would like to accept this offer. The EDA does need to pursue the acquisition of your property expeditiously. Resolution 98-11 directs City staff to pursue acquisition by eminent domain if negotiation proves unsuccessful. If the EDA begins eminent domain proceedings and the district court determines that the taking is lawful, the market value of your property will be determined by three condemnation commissioners appointed by the Sherburne County District Court, subject to appeal to District Court. The EDA would prefer to negotiate an acquisition with you on terms that are acceptable to both parties. However, if we have not been able to do so within 30 days, we will be forced to commence the eminent domain proceeding. Please contact the undersigned or Mr. Steinman (441-4905) if you have any questions about the process or this letter. The EDA recognizes the burden which this acquisition and relocation places • on you and is anxious to make these negotiations and your relocation as easy as possible. truly yours, r Peter K. Beck PKB/eka Enclosure cc: Paul Steinman Howard Roston Tony Gleekel IIII BeckP 587526.2