ECONOMIC DEVELOPMENT AUTHORITY- Erik J. Thorvig, Economic Development Coordinator
Title
APPROVE PURCHASE OF 8550 VAN BUREN STREET NE
Background
The property at 8550 Van Buren St. is currently for sale. This property is the former Jimbo’s restaurant. Staff have had inquiries from people about opening another restaurant. Any new user will be required to bring the site into compliance with current zoning standards related to setbacks, landscaping, parking, etc. The building also has fire and building code issues that would need to be addressed prior to occupancy relating to handicap accessibility, kitchen equipment and plumbing, and fire suppression.
Given the issues and condition of the building, staff believe that a purchase by the EDA and demolition of the building is the most logical solution. The property is only one-third of an acre which would make it difficult to redevelop as a commercial use. The best long-term use of the site is for stormwater ponding, a single family house or part of a long-term redevelopment plan for the area.
At the June 10 workshop, direction was given to staff to negotiate a purchase price. The list price is $207,777 and the Anoka County assessor’s value is $172,200. The agreed upon purchase price is $180,000 with the owner contributing $5,000 towards closing costs which includes approximately $10,000 in outstanding taxes.
Funds for the purchase will come from pooled redevelopment TIF. These funds are specifically used for property acquisition.
Recommendation
Approve the attached resolution for purchase of property.
Body
BE IT RESOLVED by the Board of Commissions (the “Board) of the Blaine Economic Development Authority (the “EDA”), as follows:
WHEREAS, it is one of the goals and purposes of the Blaine EDA to improve the community, strengthen the tax base and enhance employment opportunities; and
WHEREAS, the property at 8550 Van Buren St. is for sale; and
WHEREAS, direction was provide at the June 10 workshop to negotiate a purchase price; and
WHERAS, an agreed upon price is $180,000.
NOW, THEREFORE, BE IT RESOLVED, by the Board of Commissioners of the Blaine Economic Development Authority, City of Blaine, Minnesota, that the President and Executive Director of the Blaine Economic Development Authority are here authorized to execute any and all agreements and documents for purchase of property at 8550 Van Buren St.
PASSED by the Blaine Economic Development Authority this 8th day of July, 2019.