HomeMy WebLinkAbout2022-12-12 EDA Meeting PacketAGENDA
MAPLEWOOD ECONOMIC DEVELOPMENT AUTHORITY
Monday, December 12, 2022
Immediately Following the Conclusion of the City Council Meeting
City Hall, Council Chambers
A. CALL TO ORDER
B. ROLL CALL
C. APPROVAL OF AGENDA
D. APPROVAL OF MINUTES
1. September 26, 2022 Economic Development Authority Special Meeting Minutes
E. PUBLIC HEARING
None
F. UNFINISHED BUSINESS
None
G. NEW BUSINESS
1. Term Sheet with Reuter Walton Development for Redevelopment of 1136 and 1160
Frost Avenue East
2. 2023 Economic Development Authority Meeting Schedule
H. ADJOURNMENT
RULES OF CIVILITY FOR THE CITY COUNCIL, BOARDS, COMMISSIONS AND OUR COMMUNITY
Following are rules of civility the City of Maplewood expects of everyone appearing at the Meetings - elected
officials, staff and citizens. It is hoped that by following these simple rules, everyone's opinions can be heard
and understood in a reasonable manner. We appreciate the fact that when appearing at Council meetings, it is
understood that everyone will follow these principles:
Speak only for yourself, not for other council members or citizens - unless specifically tasked by your
colleagues to speak for the group or for citizens in the form of a petition.
Show respect during comments and/or discussions, listen actively and do not interrupt or talk amongst each
other.
Be respectful of the process, keeping order and decorum. Do not be critical of council members, staff or others
in public.
Be respectful of each other's time keeping remarks brief, to the point and non -repetitive.
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SPECIAL MEETING MINUTES
MAPLEWOOD ECONOMIC DEVELOPMENT AUTHORITY
6:30 P.M. Monday, September 26, 2022
City Hall, Council Chambers
A. CALL TO ORDER
A special meeting of the Maplewood Economic Development Authority (EDA) was held in
the City Hall Council Chambers and was called to order at 6:30 p.m. by President
Knutson.
B. ROLL CALL
William Knutson, President
Present
Marylee Abrams, Commissioner
Present
Rebecca Cave, Commissioner
Present
Kathleen Juenemann, Commissioner
Present
Nikki Villavicencio, Commissioner
Present
C. APPROVAL OF AGENDA
Agenda item G2 was removed.
Commissioner Abrams moved to approve the agenda as amended.
Seconded by Commissioner Juenemann Ayes — All
The motion passed.
D. APPROVAL OF MINUTES
1. September 12, 2022 Economic Development Authority Meeting Minutes
Commissioner Cave moved to approve the September 12, 2022 Economic Development
Authority Meeting Minutes as submitted.
Seconded by Commissioner Abrams Ayes — All
The motion passed.
E. PUBLIC HEARING
None
F. UNFINISHED BUSINESS
None.
G. NEW BUSINESS
1. Tax Increment Financing District No. 1-16
a. Resolution Adopting a Tax Increment Financing Plan
b. Contract for Private Development
September, 26, 2022
Maplewood Economic Development Authority Special Meeting Minutes
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EDA Packet Page Number 1 of 16
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c. Resolution Authorizing Interfund Loan
Assistant Executive Director Thomson gave the staff report. Patrick Brama, with Enclave
Companies, addressed the EDA and provided clarification.
Commissioner Abrams moved to approve the resolution adopting a Tax Increment
Financing Plan for Tax Increment Financing District No. 1-16.
Resolution 22-09-0015
A RESOLUTION ADOPTING A TAX INCREMENT FINANCING PLAN FOR TAX
INCREMENT FINANCING DISTRICT NO. 1-16
BE IT RESOLVED by the Maplewood Economic Development Authority as
follows:
Section 1. Recitals.
1.01. The Maplewood Economic Development Authority ("MEDA") has been
established by the city of Maplewood (the "City") to promote development
and redevelopment within Maplewood.
1.02. Under the terms of the modified enabling resolution adopted by the City on
July 22, 2019, MEDA has all the powers and authority of an economic
development authority under Minnesota Statutes, sections 469.090 through
469.1081 (the "EDA Act"), of a housing and redevelopment authority under
Minnesota Statutes, sections 469.001 through 469.047 (the "HRA Act") and
of a city under Minnesota Statutes, sections 469.124 through 469.134 (the
"City Development Districts Act").
1.03. MEDA's goals include recognizing the practical impediments to development
and redevelopment in areas of the community which are fully developed and
offering public assistance for projects which advance its goals.
1.04. In order to promote development and redevelopment of the community, the
City previously established Development District No. 1 (the "Development
District") and adopted a Development District Program (the "Development
Program") for same.
1.05. In response to a redevelopment proposal regarding the property at 3090
Southlawn Drive, MEDA authorized the preparation of a tax increment
financing plan (the "TIF Plan") for Tax Increment Financing District No. 1-16
(the "TIF District"), which is contained in a document entitled "Modification to
the Development Program for Development District No. 1 and Tax Increment
Financing Plan for Tax Increment Financing District No. 1-16", dated
September 26, 2022 and on file with MEDA.
Section 2. Authority Approval.
2.01. Copies of the modified Development Program and the TIF Plan were
transmitted to the board of Independent School District No. 622 and the
September, 26, 2022
Maplewood Economic Development Authority Special Meeting Minutes
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EDA Packet Page Number 2 of 16
D1
board of commissioners of Ramsey County for review and comment and said
public bodies were notified of the public hearing to be held on the modified
Development Program and TIF Plan by the City on September 26, 2022.
2.02. MEDA finds that its objectives of encouraging development and
redevelopment within the designated area of Maplewood will be advanced by
adoption of the modified Development Program and the TIF Plan.
2.03. MEDA also finds that the modified Development Program and the TIF Plan
are consistent with the City's comprehensive plan.
2.04. The TIF Plan is hereby adopted.
Section 3. Further Proceedinas.
3.01. MEDA requests that the City hold a public hearing on the modified
Development Program and the TIF Plan pursuant to Minnesota Statutes,
section 469.175 and recommends that the modified Development Program
and TIF Plan be approved by the City.
3.02. Upon approval of the modified Development Program and the TIF Plan by the
City, MEDA's executive director is authorized and directed to request that the
original tax capacity of the property within TIF District No. 1-16 be certified to
MEDA by Ramsey County.
Seconded by Commissioner Cave Ayes — All
The motion passed.
Commissioner Abrams moved to approve the Contract for Private Development with
Maplewood Enclave, LLC.
Seconded by Commissioner Juenemann Ayes — All
The motion passed.
Commissioner Villavicencio moved to approve the resolution authorizing an Interfund
Loan for Advance of Certain Costs in Connection with Tax Increment Financina District
No. 1-16
Resolution 22-09-0016
RESOLUTION AUTHORIZING INTERFUND LOAN FOR ADVANCE OF
CERTAIN COSTS IN CONNECTION WITH TAX INCREMENT
FINANCING DISTRICT NO. 1-16
BE IT RESOLVED by the Board of Commissioners of the Maplewood Economic
Development Authority ("MEDA") as follows:
Section 1. Background.
September, 26, 2022
Maplewood Economic Development Authority Special Meeting Minutes
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EDA Packet Page Number 3 of 16
D1
1.01. MEDA has established Tax Increment Financing District No. 1-16 (the "TIF
District"), pursuant to Minnesota Statutes, Sections 469.174 through
469.1794, as amended (the "TIF Act").
1.02. MEDA has and will incur certain costs (the "Preliminary Costs") related to the
TIF District prior to such time as tax increment will be available to pay for
such costs.
1.03. Pursuant to Section 469.178, subdivision 7 of the TIF Act, MEDA is
authorized to advance or loan money from its general fund or any other fund
from which such advances may be legally authorized in order to finance the
Preliminary Costs.
1.04. MEDA will loan funds from its general fund (the "General Fund"), or any other
fund designated by MEDA, to finance the Preliminary Costs in accordance
with the terms of this resolution (the "Interfund Loan").
Section 2. Interfund Loan Authorized.
2.01. MEDA hereby authorizes the advance of up to $50,000 from the General
Fund or other funds or so much thereof as may be required to pay the
Preliminary Costs. MEDA shall reimburse itself for such advances together
with interest at the rate stated below. Interest accrues on the principal
amount from the date of each advance. The maximum rate of interest
permitted to be charged is limited to the greater of the rates specified under
Minnesota Statutes, Section 270C.40 and Section 549.09 as of the date the
loan or advance is authorized, unless the written agreement states that the
maximum interest rate will fluctuate as the interest rates specified under
Minnesota Statutes, Section 270C.40 or Section 549.09 are from time to time
adjusted. The interest rate shall be 4.0 percent and will not fluctuate.
2.02. Principal and interest (the "Payments") on the Interfund Loan shall be paid
semiannually on each February 1 and August 1 (each a "Payment Date"),
commencing on the first Payment Date on which MEDA has Available Tax
Increment (defined below), or on any other dates determined by MEDA's
Executive Director, through the date of last receipt of tax increment from the
TIF District.
2.03. Payments on the Interfund Loan are payable solely from Available Tax
Increment, which shall mean, on each Payment Date, tax increment available
after other obligations of the TIF District have been paid, or as determined by
MEDA's Executive Director, generated in the preceding six months with
respect to the property within the TIF District and remitted to MEDA by
Ramsey County, Minnesota, all in accordance with the TIF Act. Payments
shall be applied first to accrued interest, and then to unpaid principal.
Payments on the Interfund Loan may be subordinated to any outstanding or
future bonds or notes issued by MEDA and secured in whole or in part with
tax increment from the TIF District.
2.04. The principal sum and all accrued interest payable under the Interfund Loan
September, 26, 2022
Maplewood Economic Development Authority Special Meeting Minutes
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EDA Packet Page Number 4 of 16
D1
are prepayable in whole or in part at any time by MEDA without premium or
penalty. No partial prepayment shall affect the amount or timing of any other
regular payment otherwise required to be made under the Interfund Loan.
2.05. The Interfund Loan is evidence of an internal borrowing by MEDA in
accordance with Section 469.178, subdivision 7 of the TIF Act, and is a
limited obligation payable solely from Available Tax Increment pledged to the
payment hereof under this resolution. This Interfund Loan and the interest
hereon shall not be deemed to constitute a general obligation of the State of
Minnesota or any political subdivision thereof, including, without limitation,
MEDA or the city of Maplewood. Neither the State of Minnesota nor any
political subdivision thereof shall be obligated to pay the principal of or
interest on the Interfund Loan or other costs incident hereto except out of
Available Tax Increment, and neither the full faith and credit nor the taxing
power of the State of Minnesota or any political subdivision thereof is pledged
to the payment of the principal of or interest on the Interfund Loan or other
costs incident hereto. MEDA shall have no obligation to pay any principal
amount of the Interfund Loan or accrued interest thereon, which may remain
unpaid after the final Payment Date.
2.06. MEDA may at any time determine to forgive the outstanding principal amount
and accrued interest on the Interfund Loan to the extent permissible under
law.
2.07. MEDA may from time to time amend the terms of this resolution to the extent
permitted by law, including without limitation amendment to the payment
schedule and the interest rate; provided, however, that the interest rate may
not be increased above the maximum specified in Section 469.178,
subdivision 7 of the TIF Act.
2.08. MEDA officials and consultants are hereby authorized and directed to
execute any documents or take any actions necessary or convenient to carry
out the intent of this resolution.
Section 3. Effective Date. This resolution is effective upon approval
Seconded by Commissioner Abrams Ayes — All
The motion passed.
2. Call for a Special Meeting of the EDA on October 10, 2022
This item was removed from the agenda.
H. ADJOURNMENT
President Knutson adjourned the meeting at 6:48 p.m.
September, 26, 2022
Maplewood Economic Development Authority Special Meeting Minutes
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EDA Packet Page Number 5 of 16
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EDA Packet Page Number 6 of 16
G1
MAPLEWOOD ECONOMIC DEVELOPMENT AUTHORITY STAFF REPORT
Meeting Date December 12, 2022
REPORT TO: Melinda Coleman, Executive Director
REPORT FROM: Michael Martin, AICP, Assistant Community Development Director
PRESENTER: Michael Martin, AICP, Assistant Community Development Director
AGENDA ITEM: Term Sheet with Reuter Walton Development for Redevelopment of 1136
and 1160 Frost Avenue East
Action Requested: ✓ Motion ❑ Discussion ❑ Public Hearing
Form of Action: ❑ Resolution ❑ Ordinance ❑ Contract/Agreement ❑ Proclamation
Policy Issue:
Reuter Walton Development has purchase agreements for the properties located at 1136 and 1160
Frost Avenue East. The property at 1136 Frost Avenue East is the site of the former Maplewood
Marine building. The property at 1160 Frost Avenue East is city -owned and currently vacant. Reuter
Walton Development intends to redevelop the properties into a five -story, 150-unit multi -family
building. Reuter Walton Development has applied for Tax Increment Financing (TIF) but before that
full review is conducted is asking the Maplewood Economic Development Authority (EDA) to
consider approving a Term Sheet.
Recommended Action:
Motion to approve the Term Sheet with Reuter Walton Development.
Fiscal Impact:
Is There a Fiscal Impact? ✓ No ❑ Yes, the true or estimated cost is $0
Financing source(s): ❑ Adopted Budget ❑ Budget Modification ❑ New Revenue Source
❑ Use of Reserves ✓ Other: The Term Sheet itself will not bind the
EDA to commit financial resources to this project. If a TIF request is ultimately approved a tax
increment revenue note would be issued to the developer, paying a portion of the tax increment
generated by the private improvements being constructed by the developer.
Strategic Plan Relevance:
❑ Community Inclusiveness ✓ Financial & Asset Mgmt ❑ Environmental Stewardship
❑ Integrated Communication ❑ Operational Effectiveness ✓ Targeted Redevelopment
The City has been supporting development projects as part of its Gladstone Neighborhood
redevelopment strategy. The 1160 Frost Avenue property is located in the Gladstone neighborhood.
The city owns this property as part of its land acquisition and assembly strategy to facilitate
redevelopment consistent with the Gladstone Neighborhood Redevelopment Plan.
EDA Packet Page Number 7 of 16
G1
Background:
Project Overview
Reuter Walton Development's project would include the demolition of the former Maplewood Marine
building at 1136 Frost Avenue which would be combined with the vacant property at 1160 Frost
Avenue in order to redevelop the site into a market -rate apartment building. The building would be
five stories of above -ground wood -framed construction; and a floor of underground parking. The
entire building will be approximately 237,993 gross total square feet, with an approximately 39,044
square foot footprint.
The 150-unit market -rate building includes the following approximate unit mix: 13 percent studios/
alcoves, 33 percent one -bedrooms, 15 percent one -bedrooms with a den, 28 percent two -
bedrooms, and 11 percent three -bedrooms. Parking is programmed at 1.62 stalls per unit overall —
of which, at least one stall per unit will be provided within a secured parking garage.
The proposed building will be constructed with contrasting light and dark fiber cement lap siding and
wood -look lap siding accent boards. A brick fagade will be used on lower levels, and cementitious
trim boards will be used throughout the building. Amenities include clubroom, fitness room, roof
deck, outdoor pool, pickleball court, and dog run.
Financial Request
The Maplewood EDA received a financial assistance request Reuter Walton Development seeking
TIF for the proposed redevelopment of the Frost Avenue properties. Construction would commence
later this year and is anticipated to cost approximately $44.85 million or $299,000 per unit. The
developer is proposing to use TIF funding only for the following qualified costs as allowed by state
statute:
• Land Acquisition Differential (Acquisition of Existing Business vs. Market Price)
• Demolition of Existing Improvements & Site Cleanup
• Expansion of Capacity for Underground Stormwater System
• Underground Parking (Exceeding Zoning Requirements & Setback Limitations)
After further conversations, the developer has agreed to a 12-year term with a total TIF Note value
of $4.22 million. The agreed -upon timeframe also assumes that 95 percent of the available tax
increment is paid on the note with an interest rate of 5.25 percent. Please see the attached memo
from Ehlers — the city's financial consultant — for more analysis of this request and the proposed
Term Sheet.
Attachments:
1. Location Map
2. Ehlers Memo
3. Term Sheet
EDA Packet Page Number 8 of 16
1136/1160 Frost Avenue East - Overview Map G1, Attachment 1
M u"� = City of Maplewood August 24, 2022
Maplewood
EDA Packet Page Number 9 of 16
G1, Attachment 2
MEMORANDUM
TO: Michael Martin - Assistant Community Development Director
FROM: Jason Aarsvold and Schane Rudlang - Ehlers
DATE: December 2, 2022
SUBJECT: Reuter Walton - Frost Ave Development in Maplewood
Analysis of Financial Request
The Maplewood EDA received a financial assistance request from Reuter Walton (the "Developer")
seeking 15 years of tax increment financing (TIF) for the proposed redevelopment of 1136 and 1160
Frost Ave East. The Developer has proposed to construct a 150-unit market rate multi -family
apartment consisting of studio, 1, 2, and 3-bedroom units. Construction would commence in 2023
and is anticipated to cost approximately $44.85 million or $299,000 per unit.
Citing a financial gap in the project the Developer is requesting tax increment financing (TIF)
assistance to make the project financially feasible. Based on previous policy discussion and a
similar recent project, we understand that Maplewood is willing to consider TIF, provided the
duration of assistance does not exceed what is necessary to make the project financially feasible.
This memo reviews the need for TIF based on our analysis of the Developer's project budget and
financial projections, known as a proforma. We have reviewed the project based on industry
standards for construction, land, and project costs, market rate rents, operating expenses,
developer fees, underwriting and financing criteria, and return on investment (Yield -on -Cost).
First Mortgage
Equity
TOTAL SOURCES
Acquisition Casts
Construction Costs
Environmental Abatement/Soil Correction
Professional Services
Financing Costs
Developer Fee
Cash Accounts/Escrows/Reserves
TOTAL USES
Amount Pct. Per Unit
33,6377070 75% 224,247
1■11.21■2y,3r5y7 2�y5�y% ey7p4-749
44,849,427 100% 298,996
Amount pct. Per Unit
8GG,6G6
2%
5,333
37,671,7G6
84%
251,145
1 GG,8G8
G%
667
2,72G,482
6%
18,137
2,211,760
5%
14,745
1,345,483
3%
87970
44,849,427 100% 298,996
EDA Packet Page Number 10 of 16
G1, Attachment 2
Proforma Analysis
• The total development costs are $44,849,427 or $298,996 per unit. For market rate rental
projects like this one, we would anticipate total development costs would range between
$275,000 and $325,000 per unit. Based on our review, we conclude the projected total
development cost for this project is within an acceptable range.
• The Developer proposes to finance the project with a mortgage in the amount of $33.6
million, which is 75% of the total development costs. Of this total amount, we have
assumed $4.22 million is supported by a 12-year commitment of tax increment using a 2%
TIF inflation rate. The Developer is proposing to bring $11.2 million in equity, which is 25%
of total project costs. The proposed financing meets expectations for a project of this
nature.
• The Development Fee of $1,345,483 is 3% of total development costs. The proposed
budget also includes a line item for Developer Overhead at 1.5% of total development costs.
Some developers included this in the Development Fee itself. Combining the Development
Fee and Developer Overhead yields a total of 4.5%. For projects such as this, we would
expect to see a developer fee between 3% and 5%. The proposed Development Fee is
acceptable.
• Proposed rents range between $1,364 per month for a studio unit, to $2,833 per month for
a 3-bedroom unit. On a per square foot basis, rents range between $1.92 to $2.34, and the
weighted average is $2.00. Projected weighted average rents for recent suburban market
rate rental projects are ranging between $1.80 and $2.25 per square foot depending on
location, unit size, and amenities. The proposed rents are within the normal range of other
suburban rental projects.
• The Developer's total projected operating expenses (before management fees, property
taxes, and replacement reserves) are $651,527 per year. This equates to approximately
$4,344 per housing unit per year. For a project of this nature, we would expect operating
costs to range between $3,500 and $4,500 per unit per year. The proposed operating
costs for the project are within industry standards.
• The proposed management fee is 4.00% of effective gross income (EGI) and reasonable for
the product type. The typical range is between 3% to 5% of EGI. Replacement reserves are
$206 per unit, which is slightly low since the typical range of $250 to $500 per unit per
year.
Return on Investment Analysis:
As part of a proforma analysis, we also want to ensure that any public assistance in a development
does not result in a return on investment greater than what is typical within the industry. Developers
use different return on investment metrics, based on the requirements of the type of debt and equity
and the requirements sought by those investors. This developer is using Yield -on -Cost, which is a
common in the industry. Yield on costs is calculated by dividing the project's net operating income
by the total development costs. Reuter Walton is targeting a stabilized minimum Yield -on -Cost
return of 6.0%.
EDA Packet Page Number 11 of 16
G1, Attachment 2
Based on the Developer's budget, proforma, and tax increment projections, the proposed
development would require a Pay -As -You -Go (PAYGO) TIF Note in the amount of $4.22 million to
achieve an average Yield -on -Cost of 6%. We estimate this note could be repaid within 12 years
assuming 95% of the available tax increment is paid on the note with an interest rate of 5.25%. The
PAYGO TIF Note is not a general obligation of the city, it's paid from TIF generated by the project
itself. If, at the end of 12 years, the note is not repaid, the City does not make up the shortfall.
Recommendation:
Based on our review of the Developer's proforma and under current market conditions, the
proposed development may not reasonably be expected to occur solely through private investment
within the near future. We conclude public assistance in the amount of $4.22 million in the form of
a PAYGO TIF Note is supported for this development.
We also recommend including a provision in the development agreement providing for a review
the project's financials once construction is complete. This is commonly referred to as a "look -
back" provision. Inclusion of a look -back provision will allow the City to reconcile the actual
construction costs against the original estimates and adjust its TIF assistance as necessary. This
ensures the final amount of City assistance is based on actual costs of the project, rather than
relying solely on estimates and projections.
Please contact either of us at 651-697-8500 with any questions.
EDA Packet Page Number 12 of 16
G1, Attachment 3
Term Sheet
This Term Sheet is executed as of this day of , 2022 by and between the
Developer and the Maplewood Economic Development Authority (the "EDA") and is intended to
set forth the general terms upon which the parties hereto may be willing to enter into a
Development Agreement. Except for Section 10 below (which shall be binding upon the
Developer), this Term Sheet shall not be deemed conclusive or legally binding upon either party
and neither party shall have any obligations regarding the property defined below unless and
until a definitive Development Agreement is approved by the EDA and executed by both parties.
1. Developer: Reuter Walton
2. Property: 1136 FROST AVE E (PID: 162922420003)
1160 FROST AVE E (PID: 162922420112)
3. Key Business Terms — Developer:
a. Execution of Development Agreement
b. Acquisition of Property — 1160 Frost Ave is owned by the City of Maplewood and
is subject to an executed Purchase Agreement with the developer executed July
8, 2021 and amended on November 17, 2022
a. A second amendment is anticipated to occur in December 2022
C. Preparation and Submittal of Construction Plans and receipt of Building Permit
d. Obtain all land use approvals, permits necessary to construct the project, and
payment of customary City fees including park dedication fees estimated at
$54,684
4. Key Business Terms — EDA:
a. Creation of a new Tax Increment Financing District for the project, subject to
qualification as a redevelopment Tax Increment District
b. Drafting and execution of Development Agreement
5. Minimum Improvements: Construction of a 5-story building with approximately 150 units
of market rate rental housing and related amenities
6. Schedule: Close on financing and acquisition of the Property by March 31, 2023,
construction by August 30, 2023, and Complete by March 31, 2025. For the purpose
hereof, "Commence" shall mean beginning of physical improvement to the Property,
including demolition, grading, excavation, or other physical site preparation work.
"Complete" shall mean that the Minimum Improvements are sufficiently complete for the
issuance of a Certificate of Occupancy.
7. Public Assistance: Subject to all terms and conditions of the Development Agreement,
the EDA will reimburse the Developer through Available Tax Increment for up to a total
of approximately $4.22 million (Present Value at 2% inflation) of Qualified Costs related
to the Minimum Improvements. "Qualified Costs" shall mean acquisition, demolition,
remediation, site improvement and infrastructure costs incurred in connection with the
construction of the Minimum Improvements. Payments will be made through a TIF Note
issued on a pay-as-you-go basis over a MAXIMUM of 12 years at a rate the lesser of 5.25%
per annum or the rate of the Developer's first mortgage lien.
EDA Packet Page Number 13 of 16
G1, Attachment 3
8. Lookback: The Public Assistance will be subject to a lookback upon construction
completion of the Minimum Improvements. If the amount of total development costs
actually incurred is less than the amount of estimated total development costs, the Public
Assistance will be reduced by 50% of such deficiency and the principal amount of the TIF
Note will be adjusted accordingly.
9. Building Value: The buildings to be constructed upon the Property are anticipated to have
an assessed value of approximately $34,500,000.
10. Fees: The City acknowledges the Developer made an escrow deposit of $6,760 for
reasonable out-of-pocket expenses for legal and financial consultant services related to
TIF district creation, drafting the Development Agreement, analysis, and administrative
fees associated with this transaction. This includes costs related to the above incurred to
date as well as future expenditures.
The Developer shall deposit an additional $10,000 and any additional funds if the initial
deposits are fully drawn. Any funds deposited by Developer and not expended by the City
for its legal, financial advisor, or other consultant fees on or before the date of execution
of the Development Agreement will be returned to the Developer without interest. The
Developer shall pay all other normal and customary City fees and expenses, unless
otherwise specified in the Development Agreement, for the approval and construction of
the Minimum Improvements.
11. Miscellaneous:
a. No transfer of Property or Development Agreement without EDA consent.
b. Developer covenants to pay property taxes and maintain customary insurance.
IN WITNESS WHEREOF, the parties have executed this Term Sheet as of the date first set
forth above.
REUTER WALTON DEVELOPMENT, LLC
By:
Its:
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EDA Packet Page Number 14 of 16
For the permanent record:
Meeting Date: 12/12/2022
Agenda Item G1, Additional Attachment
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G2
MAPLEWOOD ECONOMIC DEVELOPMENT AUTHORITY STAFF REPORT
Meeting Date December 12, 2022
REPORT TO: Melinda Coleman, Executive Director
REPORT FROM: Michael Martin, AICP, Assistant Community Development Director
PRESENTER: Michael Martin, AICP, Assistant Community Development Director
AGENDA ITEM: 2023 Economic Development Authority Meeting Schedule
Action Requested: ✓ Motion ❑ Discussion ❑ Public Hearing
Form of Action: ❑ Resolution ❑ Ordinance ❑ Contract/Agreement ❑ Proclamation
Policy Issue:
Approval of a meeting schedule for the Economic Development Authority (EDA) for the upcoming
calendar year helps the EDA, Housing & Economic Development Commission, city staff, applicants,
and residents plan ahead for the year.
Recommended Action:
Motion to approve the 2023 Economic Development Authority meeting schedule with meetings on
January 9, April 10, July 10, September 11, and December 11.
Fiscal Impact:
Is There a Fiscal Impact? ✓ No ❑ Yes, the true or estimated cost is $0
Financing source(s): ❑ Adopted Budget ❑ Budget Modification ❑ New Revenue Source
❑ Use of Reserves ✓ Other: N/A
Strategic Plan Relevance:
❑ Community Inclusiveness ❑ Financial & Asset Mgmt ❑ Environmental Stewardship
❑ Integrated Communication ✓ Operational Effectiveness ❑ Targeted Redevelopment
Background:
Each December, the EDA establishes a regular meeting schedule for the next calendar year. The
meetings generally occur quarterly with adjustments to account for the city's budget process. Staff
recommends that the EDA establish a similar meeting calendar for 2023 with the following dates:
• January 9th
• April 10th
• July 10th
• September 11th
• December 11 th
EDA Packet Page Number 15 of 16
G2
These dates correspond to regular City Council meeting dates, which allows the EDA meeting to
take place before or immediately after the City Council meeting. Additional meetings throughout the
year can be scheduled to review pertinent EDA business. The EDA has the ability to cancel or add
meetings as needed as long as all notice requirements are met.
Attachments:
None
EDA Packet Page Number 16 of 16