WORKSHOP ITEM Erik Thorvig, Economic Development Coordinator
Title
CONSIDERATION OF SALE OF EDA OWNED LAND AT 8600 CENTRAL AVE. FOR ABRA AUTO BODY AND GLASS
Background
The EDA owns property at 8600 Central Ave. The EDA purchased the property in 1995 for $279,400. The site is 2.46 acres and zoned B-2 Community Commercial. The property tax the EDA has to pay for the site in 2018 is $24,720 (after 15 years EDA land becomes taxable). The service road was relocated to the west side of Kwik-Trip and completed in the summer of 2015.
The City has been actively marketing the property since October, 2015 at a price of $650,000. The property was under purchase agreement a year ago with a developer for a retail use; however the developer was not able to secure an anchor tenant and chose to cancel the purchase agreement. Many of the other inquiries staff has received are for uses that aren’t appropriate for the site such as mini-storage and trailer/auto sales. Other more desirable uses that staff have marketed the site to have indicated they want to be north of Highway 10 along Highway 65.
Staff has been approached by Oppidan Development who is proposing to construct an 18,000 sf. Abra Auto Body and Glass on the property. They have offered the full asking price of $650,000. A concept site plan, building elevation and narrative is included. The proposed use requires a conditional use permit in the B-2 Community Commercial zoning district. If the project proceeds, staff would need to work with the developer to address setback and landscape buffering along the west property line adjacent to the residential uses and along the south property line to better screen the storage lot. Secondly, the building design shown on the included elevation (from their Brooklyn Park location) is not consistent with standards of the Highway 65 Overlay District which requires a higher building finish. The conditional use permit process would address any potential issues related to noise, outside storage/screening, landscaping and business operation.
Recommendation
Staff would like feedback from the EDA/City Council as to whether they’d like to sell the EDA owned land for this use. In addition, staff would like any input on the site and building design. If the EDA/City Council suggests moving forward with the proposal, the developer will likely submit a formal conditional use permit application sometime this spring/summer. The conditional use permit approval, along with a public hearing and consideration for the sale by the EDA would come forward concurrently.