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9.4. SR 09-21-2020Request for Action To Item Number Mayor and City Council 9.4 Agenda Section Meeting Date Prepared by Work Session September 21, 2020 Amanda Othoudt, EDD Item Description Reviewed by Modern Construction Downtown Development Cal Portner, City Administrator Concept Reviewed by Action Requested Receive information and discuss. Background/Discussion At their September 3, 2019, Work Session, the City Council heard a presentation by Modern Construction on a high density, market rate, mixed -use development concept in downtown Elk River. On October 7, 2019, the Council entered into a preliminary development agreement with the developer allowing him to explore a multi -family, mixed -use development concept in downtown Elk River. The HRA is listed as a party to the agreement, since the HRA owns some of the property. The agreement outlines the developer's obligations to the city and the HRA in Section 3. At their September 8, 2020, Special Joint Meeting with the HRA and the Council, Jesse Hartung of Modern Construction presented his project. He requested feedback on four items: Incentives: Agree in principle to the incentives with final decision and dollar amounts based on 3' party ROI determination. Parking: Accept parking quantities proposed as a worst -case minimum, with an understanding that additional improvements may be possible. Traffic and Streets: Willingness to consider alternate street and traffic flows downtown if studies indicate improvements are possible. Timeline: Commitment that the city will work as fast as I [He] can get final docs back to council for review and approval. Time did not allow for further discussion and direction from the Council was to bring it back for further discussion. Mr. Hartung is requesting direction from the council on the preliminary development concept. The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires pi ospei ly. M TUREJ Updated.• August 2020 Financial Impact N/A Mission/Policy/Goal Mississippi Connections Plan — Mid-term goals: City partnering with property owners and the development community to implement redevelopment projects that meet the community vision. Continue to assist in the recruitment of highly desirable businesses to the core downtown (e.g. hotel, fine dining, banquet facility). Mississippi Connections Plan — On -going goals: Based on demand, work with property owners and development community on redevelopment proposals. Attachments Preliminary Development Agreement City Council Presentation (September 8, 2020) N:APublic Bodies\Agenda Packets\09-21-2020\Fugal\x9.4 sr 1Nlodern Construction Downtown Development Discussion.docx PRELIMINARY DEVELOPMENT AGREEMENT THIS AGREEMENT, made and entered into this 7 day of October, 2019 by and between the City of Elk River, a Minnesota municipal corporation (the "City"), the Housing and Redevelopment Authority of the City of Elk River, a public body corporate and politic under the laws of the State of Minnesota (the "Authority"), and Modern Construction of Minnesota, Inc., a Minnesota corporation (the "Developer"). RECITALS WHEREAS, the City and the Authority desire to promote redevelopment of certain property within the City of Elk River, which property is described on Exhibit A attached hereto (the "Property"); and WHEREAS, the Developer has requested the City and the Authority explore the use of certain public assistance, financial, and otherwise, to assist with the construction of multi -family housing and commercial buildings on the Property, hereafter referred to as the "Redevelopment"; and WHEREAS, the City and the Authority have determined that it is in their best interest that the Developer be designated sole developer of the Property during the term of this Agreement; and WHEREAS, the City, the Authority, and the Developer are willing and desirous to undertake the Redevelopment if: (i) a satisfactory agreement can be reached regarding the City or the Authority's commitment for public assistance necessary for the Redevelopment; (ii) satisfactory mortgage and equity financing, or adequate cash resources for the Redevelopment can be secured by the Developer; (iii) the economic feasibility and soundness of the Redevelopment can be demonstrated; (iv) satisfactory terms of conveyance of the Property to the Developer can be negotiated; and (v) satisfactory resolution of zoning, land use, site design, and engineering issues, and other necessary preconditions have been determined to the satisfaction of the parties; and WHEREAS, the City and the Authority are willing to evaluate the Redevelopment and work toward all necessary agreements with the Developer if the Developer agrees to reimburse the City for the City and the Authority's costs relating to the Redevelopment even if the Redevelopment is abandoned or necessary agreements are not reached under the terms of this Agreement. NOW, THEREFORE, in consideration of the foregoing and of the mutual covenants and obligations set forth herein, the parties agree as follows: Section 1. Intention of Parties. It is the intention of the parties that this Agreement: (a) documents the present understanding and commitments of the parties; and (b) will lead to negotiation and execution of a mutually satisfactory Contract for Private Redevelopment (the "Contract"). The Contract (together with any other agreements entered into between the parties hereto contemporaneously therewith) if executed, will supersede all obligations of the parties hereunder. 614738v3EL185-54 Section 2. Outline of Negotiations. Negotiations between the parties shall proceed in an attempt to formulate a definitive Contract based on the following: (a) the Developer's proposal (when submitted) together with any changes or modifications required by the City or the Authority; (b) such documentation regarding economic feasibility of the Redevelopment as the City or the Authority may wish to undertake during the term of this Agreement; and (c) other terms and conditions of this Agreement. The parties agree and understand that negotiations regarding the Contract will proceed as soon as reasonably practicable after the date of this Agreement, as sufficient details for the Redevelopment become available. Section 3. Developer's Oblip-ations. On February 3, 2020, the Developer must submit a proposal to the City and the Authority, which proposal must provide the following information: (a) Information about the Developer, including information that shows that the Developer is capable of handling a project of the scope and size of the Redevelopment. This information shall include information regarding the Developer's experience with similar types of large projects and references for the Developer who can be contacted. (b) Detailed site plans that show the proposed locations and sizes of all buildings and improvements. (c) Detailed renderings of the buildings that show the sample floor layouts, elevations, and other graphic or written explanations of the Redevelopment. (d) Detailed information about how all existing parking on the Property will be accommodated by the Developer both during and after construction along with information on any additional parking that will be needed by the Developer for the Redevelopment and how this additional parking will be accommodated, including whether or not the proposed additional parking will be private or available to the public. (e) A detailed concept of how traffic will flow within and around the Property that will be improved with the Redevelopment. (f) Detailed information on how adjacent businesses will be able to receive deliveries and shipments during the Developer's construction of the Redevelopment, in particular the businesses located along Jackson Street. 614738v3EL185-54 -2- (g) Information about how the construction of the Redevelopment will be staged, including information about measures that will be taken by the Developer in order to ensure that there is safety on the job site and the surrounding areas during construction. (h) A cost estimate for the design and construction of the Redevelopment. (i) Information on the status of the Developer's acquisition of the parcels within the Property that are not owned by the Authority and the City. 0) A time schedule for the starting and completion of all phases of the Redevelopment. (k) A financial pro forma showing income and expense projections, rates of return, and any other information requested by the Authority that is reasonably necessary to demonstrate the need for public financial assistance and the amount of assistance the Developer believes is required to make the Redevelopment financially feasible. (1) Satisfactory financial data to the Authority evidencing the Developer's ability to undertake the Redevelopment. (m) A determination by the City and the Developer of what land use and subdivision applications will be needed to be submitted to the City for the Redevelopment. (n) Evidence of support of the Redevelopment from other property owners and businesses located near the Property. Section 4. City and the Authority's Obligations. During the term of this Agreement, the City and the Authority agree to: (a) Commence the process necessary to undertake such public assistance as is necessary pursuant to the terms of the proposal. (b) Proceed to seek all necessary information with regard to the anticipated public costs associated with the Redevelopment. (c) Review zoning, planning, and subdivision implications of the Redevelopment, as appropriate. (d) Analyze the Redeveloper's pro forma and estimate the amount of public financial assistance, if any, that is needed to make the Redevelopment feasible. 614738v3EL185-54 -3- Section 5. Contingencies. It is expressly understood that execution and implementation of the Contract shall be subject to: (a) A determination by the Authority that any public financial assistance for the Redevelopment is feasible based on projected tax increment revenues or other public development revenues designated by the Authority, and that financial assistance is warranted based on the Redeveloper's pro forma and any other information provided to the Authority. (b) A determination by the Developer that the Redevelopment is feasible and in the best interests of the Developer. (c) A determination by the City and the Authority that the Redevelopment is in the best interests of the City and the Authority. (d) The ability of the City and the Authority and the Developer to agree upon terms for the conveyance of the parcels owned by the City and the Authority to the Developer. The Developer understands that this Agreement does not obligate the City or the Authority to sell their respective properties to the Developer. Section 6. Reimbursement of Costs. The Developer shall be solely responsible for all costs incurred by the Developer. In addition, the Developer shall reimburse the City for the following costs: (a) Upon execution of this Agreement, the Developer has deposited with the City funds in the amount of $1,100, receipt of which the City hereby acknowledges. The City may apply such deposit to pay any "Administrative Costs," which means: reasonable and necessary out -of pocket -costs incurred by the City or the Authority from and after the date of submittal of the Proposal, in each case based on actual time spent in connection with rendering assistance and advice to the City and the Authority as evidenced by itemized bills and invoices for (i) the City and the Authority's financial advisor in connection with the City or the Authority's financial participation in redevelopment of the Property, (ii) the City's and the Authority's legal counsel in connection with negotiation and drafting of this Agreement and any related agreements or documents, and any legal services related to the Authority's or City's participation in redevelopment of the Property; and (iii) consultants retained by the City or the Authority for planning, environmental review, and traffic engineering for development of the Property. At the Developer's request, but no more often than monthly, the City and Authority will provide the Developer with a written report on current and anticipated expenditures for Administrative Costs, including invoices or other comparable evidence. (b) If at any time during the term of this Agreement, the City determines that the amount deposited by the Developer is insufficient to pay the Administrative Costs and will exceed $1,100, the City will notify the Developer in writing as what 614738v3EL185-54 -4- additional Administrative Costs are necessary and the estimated amount of the Administrative Costs. If the Developer agrees to the expenditure of the additional Administrative Costs, the Developer must deposit such additional funds with the City in an amount agreed to by the Developer and the City. If the Developer does not agree to the expenditure of the additional Administrative Costs, the City is not obligated to incur these costs and the Developer understands that the City and the Authority may not be able to fulfill their review obligations under this Agreement. (c) Upon termination of this Agreement in accordance with its terms, the City will return to the Developer the balance of any funds deposited under this section that are on hand as of the date of receipt of the notice of termination, and less any Administrative Costs incurred through the date of receipt of the notice of termination. For the purposes of this paragraph, Administrative Costs are considered to be incurred if they have been paid, relate to services performed, or are payable under a contract entered into, on or before the date of receipt of the notice of termination. This Section 6 shall survive termination of this Agreement and shall be binding on the Developer regardless of the enforceability of any other provision of this Agreement. Section 7. Designation as Sole Developer of Property. The City and the Authority hereby agree that for the term of this Agreement that they will not: (i) provide or enter into any agreement for the provision of financial assistance to any third party in connection with any proposed development within the Property; and (ii) condemn or agree to proceed with the condemnation of the Property to assist or facilitate development within such area by a third party. During such period the Developer shall have the exclusive right to work with the City and the Authority in negotiating a definitive Contract for the Property. The Developer may not assign its rights or obligations under this Agreement to any person or entity without prior written approval by the City and the Authority. Section 8. Term of Agreement. This Agreement is effective until February 3, 2020. After such date, neither party shall have any obligation hereunder except as expressly set forth to the contrary herein. This Agreement may also be terminated upon ten (10) days written notice by the City or the Authority to the Developer if: (a) an essential precondition to the execution of a contract cannot be met; or (b) if, in the sole discretion of the City or the Authority, an impasse has been reached in 614738v3EL185-54 -5- the negotiation or implementation of any material term or condition of this Agreement or the Contract; or (c) the City or the Authority determine that Administrative Costs will exceed the amount initially deposited for such purpose under Section 6 and the Developer does not deliver additional security to the City. If the City or the Authority terminates the Agreement under this Section, the Developer shall remain liable to the City under Section 6 of this Agreement for Administrative Costs incurred by the City and the Authority through the effective date of termination. Section 9. Remedies. In the event that the Developer, its successors or assigns, fail to comply with any of the provisions of this Agreement, the City or the Authority may proceed to enforce this Agreement by appropriate legal or equitable proceedings, or other similar proceedings, and the Developer, its successors or assigns, agree to pay all costs of such enforcement, including reasonable attorneys' fees. Section 10. Severability. If any portion of this Agreement is held invalid by a court of competent jurisdiction, such decision shall not affect the validity of any remaining portion of the Agreement. Section 11. Amendment and Waiver. In the event any covenant contained in this Agreement should be breached by one party and subsequently waived by another party, such waiver shall be limited to the particular breach so waived and shall not be deemed to waive any other concurrent, previous or subsequent breach. This Agreement may not be amended nor any of its terms modified except by a writing authorized and executed by all parties hereto. Section 12. Notice. Notice or demand or other communication between or among the parties shall be sufficiently given if sent by mail, postage prepaid, return receipt requested or delivered personally: (a) As to the Authority: Housing and Redevelopment Authority of the City of Elk River 13065 Orono Parkway Elk River, MN 55330 Attn: Executive Director (b) City of Elk River 13065 Orono Parkway Elk River, MN 55330 Attn: City Clerk (c) As to the Developer: Modern Construction of Minnesota, Inc. 17981 Concord Street NW Elk River, MN 55330 Attn: Jesse Hartung 614738v3EL185-54 -6- Section 13. Counterparts. This Agreement may be executed simultaneously in any number of counterparts, all of which shall constitute one and the same instrument. Section 14. Governine Law. This Agreement shall be governed by and construed in accordance with the laws of the state of Minnesota. Any disputes, controversies, or claims arising out of this Agreement shall be heard in the state or federal courts of Minnesota, and all parties to this Agreement waive any objection to the jurisdiction of these courts, whether based on convenience or otherwise. 614738v3EL185-54 -7- IN WITNESS WMREOF, the parties to this Agreement have cause this Agreement to be duly executed as of the day and year first above written. MODERN CONSTRUCTION OF NYIlITNESO NINC. By r Its: s 614738v3EL185-54 -8- HOUSING AND REDEVELOPMENT AUTHORITY OF THE CITY OF ELK RIVER By: Chai Y: xecutive Director 614738v3EL185-54 -9- CITY OF ELK RIVER WByy:yj e Its: Mayor By: Its: City Clerk 614738v3EL185-54 -10- EXHIBIT A Description of the Property Parcels: 75-405-0210 75-405-0272 75-405-0280 75-405-0350 75-405-0360 75-405-0240 75-405-0230 75-405-0235 75-405-0275 75-405-0205 King Ave ROW A-1 614738v3EL185-54 FIRST AMENDMENT TO PRELIMINARY DEVELOPMENT AGREEMENT This First Amendment dated January 16, 2020 (the "First Amendment"), to that Preliminary Development Agreement dated as of October 7, 2019 by and between the City of Elk River, a Minnesota municipal corporation (the "City"), the Housing and Redevelopment Authority of the City of Elk River, a public body corporate and politic under the laws of the State of Minnesota (the "Authority"), and Modern Construction of Minnesota, Inc., a Minnesota corporation (the "Developer"). The Preliminary Development Agreement is hereby amended as follows: 1. The first paragraph of Section 3 is amended to read as follows. The remainder of Section 3 (paragraphs (a) through (n) shall remain unchanged. Section 3. Developer's Obligations. On June 1, 2020, the Developer must submit a proposal to the City and the Authority, which proposal must provide the following information: 2. The first paragraph of Section 8 is amended to read as follows. The remainder of Section 8 shall remain unchanged. Section 8. Term of Agreement. This Agreement is effective until June 3, 2020. After such date, neither party shall have any obligation hereunder except as expressly set forth to the contrary herein. 3. Except as amended by this First Amendment, all other terms of the Preliminary Development Agreement shallremain in full force and effect. IN WITNESS WHEREOF, the parties to this First Amendment have cause this document to be duly executed as of the day and year first above written. MODERN CONSTRUCTION OF MINNESOTA, INC. By Its: 635129v 1EL185-54 -1- HOUSING AND REDEVELOPMENT AUTHORITY OF THE CITY OF ELK RIVER By: Its: Chair Its: Executive Director 63512WIEL185-54 _2_ CITY OF ELK RIVER By: Its: Mayor l � By: Y: Its: City Clerk 635129v 1EL185-54 -3- SECOND AMENDMENT TO PRELIMINARY DEVELOPMENT AGREEMENT This Second Amendment dated April 29, 2020 (the "Second Amendment"), to that Preliminary Development Agreement dated as of October 7, 2019 by and between the City of Elk River, a Minnesota municipal corporation (the "City"), the Housing and Redevelopment Authority of the City of Elk River, a public body corporate and politic under the laws of the State of Minnesota (the "Authority"), and Modern Construction of Minnesota, Inc., a Minnesota corporation (the "Developer"). WHEREAS, on January 16, 2020, the parties entered into a First Amendment to Preliminary Development Agreement (the "First Amendment"); WHEREAS, the First Amendment extended the deadline in which the Developer had to submit its proposal and extended the term of the Agreement; and WHEREAS, the parties wish to further extend these deadlines; and NOW, THEREFORE, the parties agree as follows: The Preliminary Development Agreement is hereby amended as follows: 1. The first paragraph of Section 3 is amended to read as follows. The remainder of Section 3 (paragraphs (a) through (n) shallremain unchanged. Section 3. Developer's Obligations. On September 8, 2020, the Developer must submit a proposal to the City and the Authority, which proposal must provide the following information: 2. The first paragraph of Section 8 is amended to read as follows. The remainder of Section 8 shall remain unchanged. Section 8. Term of Agreement. This Agreement is effective until September 8, 2020. After such date, neither party shall have any obligation hereunder except as expressly set forth to the contrary herein. 3. Except as amended by this Second Amendment, all other terms of the Preliminary Development Agreement shall remain in full force and effect. 635129v1EL185-54 -1- IN WITNESS WHEREOF, the parties to this Second Amendment have cause this document to be duly executed as of the day and year first above written. MODERN CONSTRUCTION OF MINNESOTA, INC. By Its: President 635129v1EL185-54 -2- HOUSING AND REDEVELOPMENT AUTHORITY OF THE CITY OF ELK RIVER By: I• ❑: �1 — Its: Executive Ditector 635129v1EL185-54 -3- CITY OF ELK RIVER By: Its: Mayor Its: City Clerk 635129v1EL185-54 -4- Why THE ECOLOGY PROJECT I set out to create a space that functions as a community hub and regional attraction; one that embodies all the great characteristics that make Elk River a vibrant place to call home, run a business and raise a family. My ultimate goal was to pay respect to the historic feel of downtown while expanding the appeal. Ecology brings together outdoor and indoor spaces, recreation and work, old and new, and raises the bar for responsible community driven development. 01. VISION Prove that private development can fulfill public aspirations while providing a high return on taxpayer's dollars 02. MISSION Grow downtown Elk River to become the best place to live, shop, relax, and thrive in our local area and beyond. fe: ����� Il i ll101�jil�l 11 I llllllli !Ip � � Y II II I Ian I' -- P Aw '1 Ilk Fmm' o .w� • d Ecology Opening 2023 . I TN£ FEELINGS ." . 220 -- 3 VA b .ate Local Connection Building murals done by local artist pay tribute to the town. Updates to rear entries of Jackson ave buildings will maintain uniform and cohesive design IWWW� wwwi Mw B1 w■ 100+ 5 + 260 ' Step aacKs Store Fronts Greenway Jogs, step backs, and height Each store front with its own Significant expansion of changes- this is not a square charm and design greenspace Greenspace Public and private green space in place of parking lot 1140+ goals ieves more than 40 jhLn the comp plan OUR SOLUTIONS TO THE COMMON CONCERNS SHARED BY ALL 01. Improved Parking There isn't a shortage of parking; there's a lack of quality parking. Better Streets Eliminate cut through traffic, increase vehicle and pedestrian safety, and plan for the future 03. Support businesses Promote, Promote, Promote! DERBA gets the funds and resources needed to execute its V V ''ANKIN(ai T EXfT A Informed Safety Better signage & flow. Enclosed, well lit, Time limit and use Security system, night securi limits permitted Convenience Elevator access, covered, Heated, lobby direct, Delivery options F ram."•77 72 Upgraded More handicap, Electric Destination stalls, Oversized spots -Covered but open air -Time Limits enforced -Specific Uses only -Curbside options arking will be dramatically mproved......... et's see what we can about ncreasing the capacity of parking downtown -Longterm (employee parking) -3 elevator cores for easy access -Direct access to public lobby -2-way traffic D z Z G1 PUBLIC PARKING 1000 900 800 700 600 500 400 300 200 100 0 63% GRANITE SHORES 68% JACKSON APARTMENTS 54% Ecology 76% PARKING COUNTS Ecology will set a new standard for meeting required onsite parking needs by 76% and offer almost 50% more public parking capacity on to 11 Handicap Spots 5 times more spots located next to elevator cores 25 Electric Chargers Destination chargers will attract customers and keep the environment clean Current Parking Proposed w/Ecology 18 oversized & 2 Rideshare - Ordinance Existing Deficit Expanding the types of parking is key to making access more inviting TRAFFIC a STREET PARKING 1 v L_L1 '`-1 Jackson Ave becomes southbound only greatly improving safety, eliminates most cut -through traffic and adds much needed parking on east side n The possible frontage road outlined in MNDOT study would only enhance the proposed development by creating a local neighborhood feel to downtown and separating the highway PROTECT TIMELINE & LOCAL BUSINESS SUPPORT PARTNERING 101 $150,000 earmarked for signage and marketing of downtown. All money is dedicating to marketing downtown as a whole and notjust Ecology by teaming with DERBA. Up to $15,000 in labor & materials will be donated to each building owner on the west of Jackson ave to make improvements to the back entrances of their buildings. Work will be completed by my crews so individual owners don't have to hire contractors PRE -CONSTRUCTION PHASE ONE Signage placed for existing buildings, Marketing campaign kicks off to traffic, parking, and general information. advertise local businesses during construction. Contractors Consult with Jackson owners about incentivized to shop locally improvements PHASE TWO Consistent mamt=L111g spend builds awareness and increases revenue as construction wraps. Improvements to Jackson buildings are completed in preparation for grand opening 9 LAUNCH & BEYOND Huge marketing spend for launch with an ongoing budget to consistently promote downtown. A consistent message and real marketing budget will build brand - PreCon - Phase two awareness over time and exponentially increase revenue - Phase one Launch Ongoing F ECOLOGY PROPOSED TIMELINE 0 =-e Feb 2021 Present final drawings, traffic studies, completed plans, & bank commitment May 2021 Submit engineering and plans for approval, obtain p permits and close on funding O� July 2021 LO Construction begins D. 18-month countdown Q Dec 2021 Parking ramp opens in time O O O for holiday season Jan 2023 Grand Opening with business and residents beginning to move in AMENITIES & BUILDING FEATURES PRIVATELY BUILT FOR PUBLIC USE Proposing more than $5,000,000 dollars worth of public improvements to the downtown area without the need to increase taxes or divert precious equipment and man hours logy Roof Top Restaurant mow- EAN&O-Iji.: I'M, ion; RETRACTABLE GLASS RO Public Lobby 24/7 . . w. 0 ecology" � I� e ,w We wont ha a soci ety iety if we destroy the m Margaret Mead - 4 01. SUSTAINABLE 02. SOLAR PANEL 03. RUNOFF TREATMENT 04. WASTE RECYCLING Green roof, living walls, world leading State of the art solar array fills every Rainwater collection recovers and Dedicated recycling chutes on each efficient building technologies. available space stores water for irrigation. level promote recycling Rooftop Theater 27' wide theater for residents will be opened up through out the year for movies in the park events dui rn ff• �dM 1' c Pools Featuring a resort style enclosed pool & u''. — one of a kind European style sun pool More Amenities Pet Friendly elevated dog run and dog wash area to keep the streets clean 24/7 gym with studio rooms for fitness classes and overlooks the pool area DOG PARK CREATE MAXIMUM IMPACT WITH THE DETAILS ENERGY & UTILITIES "—(= COMMUNICATION SERVICE HIGH SPEED INTERNET 41( All included in rent prices with a Web portal for residents to Dedicated high speed internet single bill for high quality of life connect with other residents via ncluded with rent local social media Community Room BREAK OUT SPACE SYNERGISTIC LIFESTYLE Large community room with Tenants receive discounts to local private deck for private parties restaurant, business owners and p p employees get discounted rent Private Terrace WAREHOUSING SERVICE Night security Lounge area with yard games Loading doc to accept goods for With the hotel and lobby being and grills 90001] residents and businesses as well 24/7 we will have nighttime as Jackson ave businesses security for peace of mind STUDIO UP TO 550SQFT ONE PARKING STALL MICRO OR FULL-SIZE UNITS ALL UTILITIES INCLUDED UNIT BREAKDOWN 725SQFT TO 1150SQFT MULTIPLE FLOOR PLANS ONE PARKING STALL ALL UTILITIES INCLUDED RIVERVIEW OR CITYVIEW TOWN HOMES/PENTHOUSE 1440SQFT TO 1600SQFT 2 OR 3 BEDROOMS 2 PARKING STALLS ALL UTILITIES INCLUDED PRIVATE ROOFTOP DECKS DIRECT STREET ACCESS HOTEL 1 BD, 213D, OR SUITE ONE PARKING STALL ACCESS TO ALL AMMENITIES UNIT BREAKDOWN TIPSY CHICKEN HEATED PARKING ROOFTOP & STREET SEATING PHOTO -OP LOCATIONS COMMERCIAL/RETAIL STREET OR 2ND STORY SPACE ACCESS TO AMMENITIES 1 STALL PER 200SQFT SUITES HAVE KITCHENETTES PRODUCE GROWN ONSITE EXECUTIVE OFFICE SPACE PRIVATE BANQUET ROOM PRIVATE ROOFTOP DECKS PRIVATE EQUITY 20-30% equity supplied by very small group of investors Af M PROPOSE IMPROVEMENTS A simple and effective trade of the land & all permit, utility, zoning, and related fees public improvements to parking, restrooms, street/sidewalks, greenspace, and informational lobby. For every $3 of public improvements $1 is This partnership greatly benefits the city because taxpayers will receive an instant 300% return on their money. In addition to the expansion of public amenities and services the city will save millions in cash, labor hours, and equipment time for the long-term upkeep of the existing lot. What the comprehensive plan says..... Does the comp plan support the incentives? • The comp plan calls specifically for incentives to be provided to support green building technologies, sustainable development, preservation of natural spaces, and economic growth. (chp 7 pages 83 and 84, 90, chp 12 page 129) • The comp plan calls for collaborative efforts with those that have a shared vision —chapter 2, page Does this project line up with the goals of the comp plan? • The comprehensive plan is filled with more than 50 statements that call for the city and its related departments to support Green technologies, sustainable development, preservation of open space, the expansion of the commercial tax base, expansion of local business and etc. • This project will provide solutions to all of the above listed city goals at a fraction of the costs of various independent efforts Will Ecology positively impact the Image of Elk River? • Chapter 13 goes into great detail the importance of the core image of Elk River and it's "powered by Nature" theme (page 132), this project will literally be powered by nature with solar panels • Effectively marketing the City as a place with a high quality of life is called out on page 132, this project embodies the core tenants of a high quality of life and will have a dedicated marketing budget to promote the building and the city as a whole !!!This project fulfills the goals and objectives on more than 40 pages of the Elk River Comprehensive plan!!! n FOR YOUR CONSIDERATION TONIGHT E 01. INCENTIVES Agree in principle to the incentives with final decision and dollar amounts based on 3rd party ROI determinations 03. TRAFFIC & STREETS Willingness to consider alternate street and traffic flows downtown if studies indicate improvements are possible. 02. PARKING Accept parking quantities proposed as a worst -case minimum, with an understanding that additional improvements may be possible O 04. TIMELINE Commitment that the city will work as fast as I can to get final docs back to council for review and approval. hoc THANK YOU bl, -1,: