HomeMy WebLinkAboutItem 06.d
Date: April 4, 2016 Item No.
RESOLUTION AUTHORIZING THE PURCHASE OF REAL PROPERTY LOCATED AT
9210 202nd Street West
Proposed Action
Staff recommends adoption of the following motion: Move to adopt a Resolution Approving
Acquisition of Real Property located at 9210 202nd Street West.
Overview
The above property located at the corner of Dodd Blvd. and Co. Rd. 50 was listed for sale last summer.
The property includes a former gas station and repair shop that also included an owner’s residence
and two rental cabins. The property is now vacant. The property was listed for sale for $429,900. The
City had the property appraised by an independent appraiser who determined the market value to be
$370,000. The structures were determined to be in poor condition and at the end of their economic
life.
Staff discussed this possible acquisition at a closed session with the City Council on January 4, 2016.
The future expansion of Dodd Blvd. will require additional right-of-way from this property and the
removal of the main structure on the property. The remaining developable portion of the property
will be very difficult to develop with the required setbacks and access spacing requirements along
Dodd Blvd. and Co. Rd. 50. County staff has indicated they will reimburse the City 55% of the required
Dodd Blvd. right-of-way costs when a project necessitating the need for additional right of way is
programmed in the CIP.
Staff has negotiated a purchase price of $350,000 with the current owner. This purchase price is
proposed to be funded with $152,531 of previously approved Community Development Block Grant
(CDBG) Funds from Dakota County. The City is obligated to expend these grant funds by May of this
year. The balance of $197,469 of the purchase price, plus closing costs, are proposed to be funded
with funds from the repayment of the Southfork Townhome TIF loan. This purchase agreement is
contingent on the completion and acceptance of a Phase II Environmental Study of the property at
the City’s expense. Staff recommends approval of the purchase agreement.
Primary Issues to Consider
• What is the public purpose of this proposed acquisition? It will result in the removal of
blighted buildings and provide the necessary right-of-way for future road improvements.
Supporting Information
• Resolution approving the purchase of property at 9210 - 202nd Street West
• Signed Purchase Agreement including Addendum
Financial Impact: $350,000 Budgeted: Y☐ N☒ Source:
Envision Lakeville Community Values: Design that Connects the Community
Report Completed by: David L. Olson, Community and Economic Development Director
CDBG & Southfork TIF Funds
CITY OF LAKEVILLE
DAKOTA COUNTY, MINNESOTA
RESOLUTION 16-____
RESOLUTION APPROVING THE ACQUISITION OF REAL PROPERTY
AND DISPENSING WITH STATUTORY REQUIREMENTS FOR
REVIEW BY PLANNING COMMISSION OF DISPOSAL OF PROPERTY
WHEREAS, the City is proposing to acquire certain property ("Property") legally described
as:
Part of the Southeast Quarter of the Northwest Quarter (SE ¼ of NW 1/4) of Section Twenty-nine
(29), Township One Hundred Fourteen (114), Range Twenty (20), lying Northeasterly of the
Minneapolis, Northfield and Southern Railway Right of Way, described as follows:
Commencing at a point at the intersection of the center line of the Dodd Road and State
Trunk Highway No. 65 (formerly No. 50), thence South along the center line of the said
Dodd Road One Hundred Sixty-four and seven tenths (164.7) feet to the Easterly line of the
Minneapolis, Northfield and Southern Railway Right of Way; thence Southeasterly along
the Northeasterly line of said Railway Right of Way Two Hundred Six (206) feet; thence in
a Northeasterly direction Three Hundred Twenty-four (324) feet to the center line of State
Trunk Highway No. 65 and a point Two Hundred and six tenths (200.6) feet East of the
point of beginning; and thence Two Hundred and six tenths (200.6) feet West along the
center line of said State Trunk Highway No. 65 to the point of beginning, excepting
therefrom the East (E) Forty-five (45) feet of the North One Hundred Ten (110) feet,
according to the Government Survey thereof.
WHEREAS, Lucille Scheffler and the City have negotiated terms for the acquisition of the
Property as provided in the proposed purchase agreement attached hereto as Exhibit “A” ("Purchase
Agreement");
WHEREAS, Minn. Stat. § 462.356, subd. 2 requires that the Planning Commission review
the City's proposed acquisitions and dispositions of property, and;
WHEREAS, Minn. Stat. § 462.356, subd. 2 provides for an exception from the Planning
Commission review requirement upon 2/3 vote of the City Council dispensing with the requirement
and finding that the acquisition or disposal of the property has no relationship to the comprehensive
municipal plan.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Lakeville
that:
1. The Purchase Agreement is hereby approved.
2. The acquisition of the Property under the Purchase Agreement has no relationship to
the comprehensive municipal plan.
3. Review by the Planning Commission of the acquisition of the Property is hereby
dispensed with, the proposed transaction is hereby approved, and the City Administrator is
authorized and directed to execute the Purchase Agreement and Addendums and all documents
necessary to complete the transaction.
ADOPTED this _______ day of _____________, 2016, by a 2/3 vote of the City Council of the
City of Lakeville.
CITY OF LAKEVILLE
BY: _______________________________
Matt Little, Mayor
ATTEST:
______________________________
Charlene Friedges, City Clerk
EXHIBIT "A"
ATTACH PURCHASE AGREEMENT