HomeMy WebLinkAboutItem 06.i
Date: Item No.
RESOLUTION AUTHORIZING THE PURCHAS OF REAL PROPERTY LOCATED AT
17395 KENWOOD TRAIL
Proposed Action
Staff recommends adoption of the following motion: Move to adopt a Resolution approving acquisition
of real property located at 17395 Kenwood Trail
Overview
The above property is the former Burger King restaurant located on Kenwood Trail adjacent to the
northbound off-ramp at I-35 and Co. Rd. 50. In 2004, the City officially mapped the ultimate I-35/Co.
Rd. 50 Interchange which identified the entire Burger King Property would be needed for the future
interchange. Burger King Corporation closed this restaurant several years ago and when contacted earlier
this year, indicated a willingness to discuss the sale of the property.
Staff discussed this possible acquisition at a Closed Session with the City Council on July 25, 2016. Based
on an independent appraisal that was completed prior to the Closed Session, the City Council authorized
a proposed offer of $700,000 for the property. Burger King Corporation has accepted the proposed
purchase price of $700,000. Attached is a proposed purchase agreement that has been reviewed by the
City Attorney and signed by Burger King. The purchase agreement is contingent on the approval of the
City’s RALF application and the completion and acceptance of a Phase I Environmental Study of the
property at the City’s expense.
This purchase price is proposed to be funded entirely with funding from the Right-of-way Acquisition
Loan Fund (RALF) administered by the Metropolitan Council and MnDOT. The City Council
authorized the submittal of a RALF loan application for this property acquisition at the September 19,
2016 City Council Meeting. The RALF program is a no interest loan program with no payments due until
the interchange project is constructed. The RALF Loan Agreement would come back to the City Council
for approval prior to closing on the property. County staff has indicated they will enter into a Joint
Powers Agreement to reimburse the City 55% of this property acquisition when the interchange project is
programmed into the City and County CIP. 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 17395 Kenwood Trail
• Signed Purchase Agreement
C: Chris Petree, Public Works Director, Zach Johnson, City Engineer; Brian Sorenson, Asst. Co. Engineer
Financial Impact: $700,000 Budgeted: Y☐ N☒ Source:
Related Documents: (CIP, ERP, etc.):
Envision Lakeville Community Values: Diversified Economic Development
Report Completed by: David L. Olson, Community and Economic Development Director
November 21, 2016
RALF Loan 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:
That part of the North Half of Section 12, Township 114 North, Range 21 West, Dakota County,
Minnesota, described as follows:
Beginning at the center of said Section 12; thence on an assumed bearing South 89 degrees 11
minutes 17 seconds East, along the south line of the North Half of said Section 12, a distance of
117.29 feet; thence North 34 degrees 48 minutes 28 seconds East a distance of 311.76 feet to the
southwesterly right-of-way line of Minnesota State Highway No. 50; thence northwesterly, along
said southwesterly right-of-way line, on a non-tangential curve concave to the southwest, having a
radius of 1379.43 feet, a central angle of 5 degrees 37 minutes 27 seconds, a chord bearing of North
44 degrees 25 minutes 19 seconds West, a distance of 135.40 feet to the southeasterly right-of-way
line of Interstate Highway 35; thence southwesterly along said southeasterly right-of-way line on a
non-tangential curve, concave to the northwest, having a radius of 446.10 feet, a central angle of 0
degrees 59 minutes 37 seconds, a chord bearing of South 34 degrees 26 minutes 24 seconds West, a
distance of 7.74 feet; thence South 34 degrees 56 minutes 13 seconds West, tangent to the last
described curve and along said southeasterly right-of-way line of Interstate Highway 35, a distance
of 419.59 feet to the south line of said North Half of Section 12; thence South 89 degrees 11 minutes
17 seconds East along said south line, a distance of 44.16 feet to the point of beginning.
WHEREAS, Burger King Corporation 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