ECONOMIC DEVELOPMENT AUTHORITY- Erik Thorvig, Economic Development Coordinator
Title
PUBLIC HEARING AND CONSIDERATION OF THE SALE OF EDA OWNED PROPERTY AT 8600 CENTRAL AVENUE TO OPPIDAN HOLDINGS, LLC
Background
The EDA owns the 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 $24,604 (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. Many of the developers and brokers that are interested in sites along Highway 65 that staff discussed this site with have indicated a desire to instead be located north of Highway 10. The property has garnered additional interest because of the “For Sale” sign. Many inquiries were for uses staff didn’t feel were appropriate such as mini-storage and trailer/auto sales. Staff has also had discussions with a developer and the adjacent land owner to the north (Scott Uram) over the last three years about developing a hotel on the EDA property and a portion of the adjacent property to the north however no formal offer or proposal has been made.
Last winter staff was approached by Oppidan Development about developing the site. A proposal was brought forward to the City Council at the March 15th, 2018 workshop and the City Council gave direction to staff to continue to work with the developer for a land sale and development plan. Oppidan is offering to purchase the property for $652,994 ($6.09/ft.). They are proposing to construct an 18,000 sf. Abra Auto Body and Glass. The proposed use requires a conditional use permit which will be considered by the City Council following the EDA meeting. If the sale and conditional use permit is approved the developer has indicated a desire to start the project this construction season.
The adjacent property owner (Scott Uram) has indicated an objection to the proposed use of an auto body shop. A majority of his concerns are in regards to the proposed use and his opinion of the impact it will have on his property. This objection letter is included as an attachment. Mr. Uram has also provided the City Council other materials.
Attachments
Location Map
Purchase Agreement
Letter from Adjacent Property Owner
Recommendation
It is recommended that the EDA hold the public hearing and subsequently adopt the attached Resolution approving the sale of 8600 Central Ave. to Oppidan Holdings LLC.
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 EDA owns property located at 8600 Central Ave. legally described as Lot 1, Block 1, Blaine EDA Park Shores; and
WHEREAS, Oppidan Holdings, LLC has indicated an interest in purchasing the property at 8600 Central Avenue to develop an Abra Auto Body and Glass; and
WHEREAS, the Blaine EDA held a public hearing on June 21st, 2018 regarding the potential sale of the property to Oppidan Holdings; and
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 required for the sale and transfer of ownership of 8600 Central Ave. to Oppidan Holdings, LLC based on the terms of the purchase agreement.
PASSED by the Blaine Economic Development Authority this 21st day of June, 2018.