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HomeMy WebLinkAbout07/30/2014f6• flfr •f 66k Meeting location: Municipal Center City of Apple Valley 7100 147th Street West Apple Valley, Minnesota 55124 JULY 30, 2014 PARKS AND RECREATION ADVISORY COMMITTEE SPECIAL INFORMAL MEETING TENTATIVE DISCUSSION ITEMS 6:00 p.m. 1. Committee Discussion Items 10 minutes 2. Regent's Point (formally known as Quarry Ponds) 10 minutes 3. Legacy of Apple Valley Sixth Addition/Remington Cove Apartments 10 minutes 4. Parkside Village Gabella 10 minutes 5. Arena Manager Update 5 minutes 6. Park Tour 90 minutes 7. Adjourn PARKS AND RECREATION ADVISORY COMMITTEE REGULAR MEETING TENTATIVE AGENDA 7:00 p.m.} 1. Call to Order 2. Approval of the Agenda 3. Audience —10 Minutes Total Time Limit —For Items Ag 4. Approval of the May 2014 Minutes Vi V 5. Agenda Items A. 4 6. Adjournlro s NEXT REGULARLY SCHEDULED MEETINGS - Tentative: Thursday September 4, 2014 6:00 p.m. (Informal) " " 7:00 p.m. (Regular) Thursday November 6, 2014 6:00 p.m. (Informal) " 7:00 p.m. (Regular) Regular meetings are broadcast, live, on Charter Communications Cable Channel 16. (Agendas and meeting minutes are also available on the City's Internet Web Site www. cityofapplevalley. org) •es, City of Apple Valley ITEM: CITY COUNCIL MEETING DATE: SECTION: 5.2) 1-6 July 10, 2014 Regular PROJECT NAME: REGENT'S POINT Final Plat (formally known as';QUARRY PONDS) PROJECT DESCRIPTION REGENT'S POINT is a proposed subdivision that will create 41 single-family lots and dedicated public street right -of way on approximately 60.5 gross acres. The site is located' north of 16& Street West (CSAH 46), approximately %s-mile west of Pilot Knob Road (CSAH" 31). STAFF CONTACT: DEPARTMENT/DIVISION: Thomas Lovelace, City Planner Community Development Department APPLICANT: PROJECT NUMBER: Arcon Land II, LLC and Fischer Sand and PC13-27-ZS Aggregate, LLP APPLICATION DATE: March 25, 2014 Proposed Action I. Adopt the draft resolution considering the need for an Environmental Assessment Worksheet (EAW) for the REGENT'S POINT AND QUARRY PONDS WEST development projects. (The draft resolution wiU be distributed prior to the City Council meeting) 2. Accept the first reading of the proposed REGENT'S POINT planned development ordinance, waive the provision for the second reading and pass the draft ordinance amending Appendix F of the City Code of Ordinances. 3. Adopt draft resolution approving the REGENT'S POINT Planned Development Agreement, and that the Mayor and City Clerk be authorized to sign the agreement. 4. Adopt the draft resolution approving the REGENT'S POINT final plat and development agreement, and that the Mayor and City Clerk be authorized to sign the necessary document after review and acceptance of the final document by the City Administrator and City Attorney. 5. Approve the 157tb Street West Restoration Agreement. 6. Adopt draft resolution approving the conveyance of City -owned property to Fischer Sand and Aggregate, LLP. Project Summarylissues Attached for your consideration is a request by Arcon Land II, LLC (the developer) and Fischer Sand and Aggregate, LLP (the property owner) for approval of a planned development ordinance that will establish permitted, conditional, and accessory uses; a planned development agreement, and final plat and development agreement for REGENT'S POINT. This development consists of 41 lots and four (4) outlots. The lots will be used for the construction of 41 single-family dwellings, with Outlots A and B to be used for storm water ponding and Outlots C and D reserved for future single-family residential development. Right-of-way will be dedicated for local streets to serve the individual lots as well as Johnny Cake Ridge Road and 157s' Street West, collector streets and 160a` Street West, a minor arterial street. A public hearing on the proposed rezoning and subdivision of the land by preliminary plat was held by the Planning Commission on June 19 and July 17, 2013, and was recommended for approval by the Commission at its July 17, 2013, meeting. On January 9, 2014, the City Council approved the following: I. An amendment to the 2030 Comprehensive Land Use Map re -designated the property east of Johnny Cake Ridge Road with the proposed final plat from "MD" (Medium Density Residential/6-12 units per acre to "LD" (Low Density Residential/2-6 units per acre); 2. rezoning of the _land within the QUARRY PONDS preliminary plat from "SG" (Sand and Gravel) to "PD" (Planned Development) and directed staff to prepare a planned development ordinance; and 3. The QUARRY PONDS preliminary plat. The draft planned development ordinance includes the permitted, conditional, and accessory uses; and the area requirements and special performance standards for zone 1, which include Blocks 1-4 and Outlots C and D of the final plat. This zone has been established to allow for single-family dwellings that will be constructed on smaller lots than you would typical see in the "R-3 single- family residential zoning district. Zone 2 will include Outlots A and B and the only allowed use in that zone is public storm water ponding area and other essential public service facilities. The draft development agreement refers to the installation of the municipal improvements consisting of municipal streets, utilities, a reconstruction and expansion of the existing storm water pond within the development. It also lays out the cost participation between the City and developer for construction of Johnny Cake Ridge Road, the 160`s Street West turn lanes, and costs related to oversizing municipal utilities within and outside of the subdivision's boundary. Financial guarantees for all of the developer -installed items and landscaping are included in the agreement as well as other financial obligations and dedication requirements. The agreement also calls the conveyance of City -owned property that is currently part of the storm water ponding area to the developer for residential development. This includes approximately .6 acres east of Johnny Cake Ridge Road that will become part of Lots 1-3, block 4 and .05 acres west of Johnny Cake Ridge Road, which will be part of Outlot D. The conveyance of this property will be offset by the dedication of land within Outlots A and B for storm water ponding. The agreement includes conditions for grading of the expanded storm water pond and public streets, which includes dates for completion of these grading activities. Z Finally, the agreement also calls out the installation of all subdivision monuments and documentation of additional agreements, which will be included as attachments to the development agreement. These include the following: A temporary drainage and utility easement over Outlot C. A drainage and utility easement over the watermain that will be located in the 157t' Street right-of-way. Access restriction easements that will restrict direct driveway access from Johnny Cake Ridge Road and 157`s Street West to all abutting lots. Planning Commission Action A public hearing scheduled for the June 19, 2013, Planning Commission meeting was continued to the July 17, 2013 meeting. The Planning Commission voted to recommend approval of the rezoning from "SG" (Sand and Gravel) to "PD" (Planned Development) and the Quarry Ponds preliminary plat. Budget Impact The City will be Earticipating with the developer with the cost of the construction of Johnny Cake Ridge Road, 157 Street West and the 160a' Street West turn lanes, and costs related to oversizing municipal utilities within and outside of the subdivision's boundary. The costs are outlined in the development agreement. Attachment(s) Draft Ordinance Drag Develo ment A ent Location Ma Draft Platmed Develo meat A eement Resolution Draft Restoration AzrBemmt Draft Final Plat Draft Planned Develo meat A Bement Draft Land Conv ce Resolution EAW Petition Draft Final Plat Resolution it Claim Deeds I B Letter outlot into 33 single-family lots. This plat is also proposed to be completed in two phases. The City has placed the same street extension condition on this plat as they did on REGENT'S POINT Financial Issues: Johnny Cake Ridge Road and 157 ° Street West are classified collector streets in the City's 2030 Transportation Plan. Collector streets are described as roadways designed to serve shorter trips within the City, and collect and distribute traffic from neighborhoods and employment centers to the arterial street system. Both of these streets will be designed and constructed to serve those needs greater than what is generated by this development. The development agreement includes a section that identifies the City's and developer's financial responsibilities for the construction of the two collector streets, the CSAH 46 turn lanes, as well as the public utilities oversizing costs. Pedestrian Access: Sidewalks, trails or pathways shall be provided in each plat in accordance with provisions of the City's pedestrian circulation plan. Sidewalks will be required along both sides of local streets within the development and pathways will be installed on both sides of future Johnny Cake Ridge Road and 157d' Street West. The Quarry Ponds preliminary plat identified a 13-foot wide area has been in the southeast comer where a pathway will be installed that will connect with an existing pathway in Quarry Point Park. That location will be established at the time of the Outlot C replat. This development is in an area where Dakota County is proposing to construct a section of the North Creek Greenway. This trail will connect the Vermillion River in Empire Township with the Minnesota Zoo and Lebanon Hills Regional Park. Different layouts have been discussed over the year, with no decision made on a location. City staff met with Dakota County representatives to discuss the trail's alignment as part of this development proposal. It appears that an understanding has been reached that will take the trail west and north through Quarry Point Park and will cross 157s' Street West east of the Quarry Ponds development. This proposed alignment was presented to the Apple Valley Parks and Recreation Advisory Committee and they voted to recommend the Quarry Point Park alignment as proposed by staff. Recreation Issues: The Cities subdivision regulations provide for dedication of land or easements for the purpose of offsetting the need created by new development for new parks or storm water holding ponds. The regulations also provide for a cash -in -lieu of land dedication and is based on a "benchmark" land valuation for raw land. The plans do not propose any land dedication,, therefore it will be expected that the developer will be proposing the cash option to meet their park dedication requirement. The Parks and Recreation Advisory Committee reviewed the Quarry Ponds development project at their June 10, 2013 and they recommended the acceptance of a cash dedication with the plat. Approval of the REGENT'S POINT final plat and development agreement will include the cash -in -lieu of parkland land dedication $187950.00 Environmental Review Request: The Minnesota Environmental Board (EQB) has informed the City that they have received a petition requesting that an Environmental Assessment Worksheet (EAW) be prepared for the REGENT'S POINT and QUARRY PONDS WEST developments. The petition cites the following significant environmental effects as reasons for the need of an EAW: e Heavy vehicle traffic on residential streets of Regatta and Lakeville. • Heavy traffic creating unsafe risks for children at play and use on residential streets. • Higher density housing of Quarry Ponds causing drop in property values, with problems. • Destruction of the Vermillion River Watershed's home to wildlife in southeast Apple Valley. • Excessive harmful dust and noise from the gravel mining before, during development. • Destruction of a 20-year-old, 2,580 feet shoreline of lake adjacent to Fennel Court and 160th St. W. \ \§\ � �� \\ - ... � � !gam : � � \. y \� � � ..�ƒ����\.. | § - ■ � � � � � o � d � b Q ~ W y i fr F F O 9! ddd dd jq gyy a tr a3 Q a ¢ d 6 g A l a R Pl y pp� � F y � ¢ � ¢FF3• ?Sill ilk, ]jdf dd urAdFFb bbAa Rg. fill. t d J its y$ p Q@ �n -$ Ss F $aaA saes 1%l S E F° R a �.m yiR$$ F f �•nY d E d pF k d F Hrgl2 .n pllFlf{il a�a4 ° a 5y 4 l 8 § mil$ ��gagpEp all4" a�g�pinl��`Eg�y �bFg S� 5 e B � l&�a �l a a i } � a a,S �pSS -'valggg- w ab$8�•�jpF% a$aEa 8p a Fg F( p �aa as E F L i J� F 3 a$( ggy€ a {Mal;;a �9YaB#5r¢�R: aIS °a 3iasl.e Fpj �asI i!"j'� F 9Ed 3i $ F a al& g �i$ J{Ja{qj�$y€y53y�a 5a'y@ rg $ ( 5py82e a ��{? ir�r3�$Si fanpea$5pnp�`nF S. y5�fp Epppp B �r ���• � � E €gFE cgg �9�ggl Aaa �SS�ggg"sES#�gS P�pe6i& gl E§ S$ �T �y C�9 § � �aCC �E °�"% �a fz�ll s gSQaQla 3saFFa a{ aZ fd gg � B ¢ aa l ¢ a l xd as E� LL me E- I- E- iD .;i 'gHl M j� fid, ill Ril z 015 i i gig o Lil cE IV coi C:l L T:, RMBAI U P. I Al 0 �unox $g t a Dui 9 T w r as Ell ,aIl,!�n�l a ? bps a� Ha N LL .i ge0$ �y w 1, Kwn es,Ts oGs38 ws.' CL F i ms m� ryu1�1E,EtAN BbPo21 Q at E O z` H N ��P �'"L•-JLJLJ° �LJ�.J� ��I�°I '± �' �w 6��� Z Z IS^Rl:a,ll°�§loo�l ; I Il*0yl�p'lI1T`5 .gJmJ --11— 19,v%� .1 vJ p lii€eat ��d•�,"a•^.�'. Lw L-«��3q LJ21 5p �r /L �"J O �I gge e e4 ryN 3 a i . r '1^� MINHOr i p N z I a • R WWCI f1O �n 9..1.eOA6 e� .p 7/10/2014 APPROVED -pylEf PROPOSED REGENT'S POINT FINAL • , Quarry Ponds West Phasa It 5 Pam•, vomltrtK"a—._—_. ,.. 17 7/10/2014 1. Quarry Ponds Comprehensive Plan amendment public hearing held by the Planning Commission on April 17, 2013. Planning Commission recommends approval. 2. City Council authorizes submittal of Comprehensive Plan amendment to Metropolitan Council at their April 25, 2013. 3. Metropolitan Council approves Comprehensive Plan amendment on June 6, 2013. '1 : 9 1 , 1. Quarry Ponds development project reviewed by Parks and Recreation Advisory Committee at their June 10, 2013, meeting. The Committee recommended a cash -in -lieu of land dedication. 2. Quarry Ponds preliminary plat and rezoning public hearing was held by the Planning Commission on July 17, 2013, 3. Discussion of cost participation for Quarry Ponds collector roads at September 12, 2013, City Council informal meeting. 4. Approval of Comprehensive Plan amendment, rezoning and preliminary plat for Quarry Ponds at January 9, 2014 City Council meeting. S. Quarry Ponds West preliminary plat public hearing held by Planning Commission on May 7, 2014. 6. Planning Commission recommends approval on May 21, 2014. 7. City Council approves Quarry Ponds West preliminary plat on June 12, 2014. in 7/10/2014 REGENT'S POINT SINGLE FAMILY DEVELOPMENT 1. Adopt the draft resolution considering the need for an environmental assessment worksheet for the REGENT'S POINT AND QUARRY PONDS WEST development projects. 2. Accept the first reading of the proposed REGENT'S POINT planned development ordinance, waive the second reading and pass the draft planned development ordinance. 3. Adopt draft resolution approving the REGENT'S POINT Planned Development Agreement. 4. Adopt the draft resolution approving the REGENT'S POINT final plat and subdivision agreement. S. Approve the 1ST" Street West Restoration Agreement. 6. Adopt draft resolution approving the conveyance of City -owned property to Fischer Sand and Aggregate, U.P. 19 4.4 444 City of Apple Valley ITEM: CITY COUNCIL MEETING DATE: SECTION: 5.0 1 -5 July 10, 2014 Regular PROJECT NAME: The Legacy of Apple Valley Sixth Addition/Remington Cove Apartments' PROJECT DESCRIPTION: ' • Vacation of Drainage and Utility Easements across the following described property now currently platted as Lot 1, Block 1, The Legacy of Apple Valley Fourth Addition: Lot 1, Block 1, The Legacy of Apple Valley; Lot 1, Block 1, The Legacy of Apple Valley Second Addition; Lot 1, Block 1, The Legacy of Apple Valley Fourth Addition; and Utility Easement per Document No. 1611915; • Development Agreement and Final Plat for The Legacy of Apple Valley Sixth Addition; and Amended Planned Development Agreement. STAFF CONTACT: DEPARTMENT/DIVISION: Margaret Dykes, Planner Community Development Department APPLICANT: PROJECT NUMBER: Remington I AV, LLC and Trident PC14-14-ZSB Development, LLC APPLICATION DATE 60 DAYS: 120 DAYS: June 18, 2014 August 1 i, 2014 October 16, 2014 Proposed Actions Vacation of Easements: • Open the public hearing for the vacation of the subject easements, receive public comments, and close the hearing. • Adopt Resolution vacating the easements and direct the City Clerk to publish the notice of completion of vacation in accordance with the attachments. Development Agreement and Final Plat for The Legacy of Apple Valley Sixth Addition; and Planned Development Amendment: • Adopt Resolution Approving The Legacy of Apple Valley Sixth Addition Final Plat and Development Agreement. • Approve Amended Planned Development Agreement • Approve Assignment of Development Agreement Project Summary/Issues Vacation of Easements: Remington 1 AV, LLC, the property owner of the 5.21-acre lot located southeast of the intersection of Galaxie Avenue and Founders Lane, is requesting the vacation of all existing drainage and utility easements across the subject lot. A letter from the ownership group's development arm, Trident Development, LLC is attached. The subject lot has been replatted several times. The property was originally platted as Lot 1, Block 1, The Legacy of Apple Valley, which was approved by the City in 2002. The property was replatted in 2003 as Lot 1, Block 1, The Legacy of Apple Valley Second Addition. And the property was replatted again in 2004 as Lot 1, Block 1, The Legacy of Apple Valley Fourth Addition. When the previous replats of the property were completed, the easements were not vacated, which lead to a duplication of the easements. It has made the legal description of the site cumbersome. The property owner wishes to vacate the existing easements and reestablish them as part of the final plat for The Legacy of Apple Valley Sixth Addition. This will simplify the legal description of the property. The new easements will have the same dimensions and be in the same location as the existing easements. There are City utilities in the easements, but the new easements for The Legacy of Apple Valley Sixth Addition will adequately cover the infrastructure. Staff has no outstanding issues with the requested vacation, and no comments expressing concerns related to the vacation have been received. The Legacy of Apple Valley Sixth Addition —Development Agreement and Final Plat, and Planned Development Amendment: Attached is the draft copy of the development agreement and final plat for The Legacy of Apple Valley Sixth Addition, which has been prepared by the City Attorney's office and reviewed by Remington 1 AV, LLC, the property owner. The plat, which consists of two (2) -lots, is generally southeast of the intersection of Galaxie Avenue and Founders Lane. Lot 1 will be 2.66 acres; this lot will be developed in the future. Lot 2 will be 2.54 acres. A public hearing on the subdivision of the land was held by the Planning Commission on May 21, 2014, and recommended for approval by the Commission at its meeting on June 4, 2014. The City Council approved the preliminary plat for The Legacy of Apple Valley Sixth Addition at its meeting on June 12, 2014. The Council also approved site plan review/building permit authorization for one 101-unit apartment building called the Remington Cove Apartments at that same meeting. Park dedication will be satisfied by a cash payment in the amount of $262868.00 for Lot 2. This amount will be collected prior to the release of the final plat for filing at Dakota County. Park dedication for issuance of the building permit for that lot. An approximately one -acre storm water pond, which was dedicated to the City as part of The Legacy of Apple Valley Addition, satisfies the pending requirement for the subject plat. Also attached is an Amendment to the Planned Development Agreement. The property is zoned "PD-716, Zone 2". Because this is a Planned Development district, a change to the existing Planned Development agreement prepared for The Legacy of Apple Valley is needed. This agreement approves the changes to the original plan and allows the plans for the Remington Cove development to move forward. This is considered a "housekeeping" issue. Budget Impact N/A Attachment(s) 1. Draft Resolution - Vacation of Easements 4. Xcel Energy comments 7. Development Agreement 2. Location Map 5. Letter from Developer 8. Planned Development Agreement 3. Legal Description of Easements 6. Draft Resolution — Final Plat and Subdivision Agreement 2 C:\Users\jmurphy\AppData\Local\Microsoft\Windows\Temporary Internet Files\Content.WlookVERCKZFP\071014 CCMemo Legacy Vacation and final plat.docx DEVELOPMENT AGREEMENT Between GALAXIE PARTNERS, LLC - And CITY OF APPLE VALLEY For THE LEGACY OF APPLE VALLEY SIXTH ADDITION AGREEMENT WHEREAS, the City of Apple Valley, a Minnesota municipal corporation, (the "City"), has been requested by Galaxie Partners, LLC, a Minnesota limited liability company (the "Developer") to approve for recording the following described subdivision of land: The Plat of THE LEGACY OF APPLE VALLEY SIXTH ADDITION (the "Subdivision"); and WHEREAS, the Developer intends to develop the Subdivision as two (2) lots; and WHEREAS, pursuant to City Ordinances, the Planning Commission held a public hearing with reference to the application for approval of the plat on May 21, 2014; and WHEREAS, the Planning Commission recommended its approval on June 4, 2014; and WHEREAS, the. City Council approved the preliminary plat on June 12, 2014; NOW, THEREFORE, in consideration of the mutual agreements of the parties it.is hereby agreed by and between the parties as follows: 1. Subject to the terms and conditions of this Agreement, the City hereby approves for recording the plat known as THE LEGACY OF APPLE VALLEY SIXTH ADDITION, as shown and noted on Exhibit "A" attached hereto. Upon recording, the Developer shall submit copies of the recorded Plat and the recorded Development Agreement to the City for its records. 2. The following Improvements shall be maintained as follows: A. The City shall only be responsible for maintenance of sanitary sewer lines having a pipe equal to or greater than eight inches in diameter and located within public right-of-way or utility easements. Maintenance of service and lateral Panes shall be in accordance with City Policy 2.03 Water and Sanitary Sewer Service Maintenance and Repair Policy Adopted July 8, 2010, per Resolution 2010-144. 1 5. The Developer agrees to install all utilities underground in the Subdivision, specifically including electrical, telephone, cable television and gas services. The Developer hereby represents that all utility services will be available for a building prior to occupancy of any dwelling in that respective building. 6. No occupancy of any building in the Subdivision shall occur until water, sanitary sewer, and a gravel driving surface are available for use to that building. 7. Upon submission of a building permit application(s), the Developer agrees to pay the City for the public services furnished to the Subdivision, an amount as determined below upon the basis of units (per building) as determined by the City Engineer, which amount shall be paid in the following manner: (i) Sewer Availability Charge - The rate per unit is based on the year in which the building permit is issued (presently $2,625.00 per unit - $2,325.00 Metro and $300.00 City). The person who applies for a building permit shall pay, at the time of the issuance of the permit, an amount equal to the rate times the number of units. This fee is subject to change if the obligation of the City to the Metropolitan Waste Control Commission changes. (ii) Water System, Supply and Storage Charge - The rate per unit is based on the year in which the building permit is issued (presently $817.00 per unit). The person who applies for a building permit shall pay, at the time of the issuance of the permit, an amount equal to the rate times the number of units. 8. The parties mutually recognize and agree that park dedication requirements as provided in Chapter 153 of the City Code for Lot 2, Block 1, shall be satisfied in total and complete satisfaction by a cash payment of $261868.00 notwithstanding any past agreements for the payment of park dedication fees, including real property that includes Lot 2, Block 1. The. cash dedication payment is computed in the following manner: Step 1: Land Dedication 101 Units x 1.7 Residents per Unit x 0.00955 Acres per Resident = 1.64 Acres Step 2: Gross Cash Dedication 1.64 Acres x $175,000.00 per Acre = $287,000.00 Sim 3: Credit for Previous Park Dedication 49% of $51,290.00 credit for dedication of Ontlot B, The Legacy of Apple Valley,. attributed to Lot 1, Block 1, The Legacy of Apple Valley Fourth Addition $25,132.00 credit Step 4: Net Cash Dedication $287,000.00;gross cash dedication less $25,132.00 credit = $261,868.00. Payment must be made to the City prior to the release of the plat for recording. 9. The parties mutually recognize and agree that park dedication requirements as provided in Chapter 153 of the City Code for Lot i, Block 1, shall be satisfied in total and complete satisfaction by a cash payment in an amount to be determined at the time of site plan/building permit authorization for Lot 1, Block 1, based on the number of units, residents per unit, park dedication requirements per resident and benchmark land valuations then in effect, notwithstanding any past agreements for the payment of park dedication fees, including real property that includes Lot 1, Block 1. The cash dedication requirement shall be offset by a credit equal to 51% of the $51,290.00, credit for dedication of Outlot B, The Legacy of Apple Valley, attributed to Lot 1, Block 1, The Legacy of Apple Valley Fourth Addition, which equals $26,158.00. Payment must be made to the City prior to the release of the building permit for Lot 1, Block 1. 10. The parties mutually recognize and agree that storm water pond dedication requirements, as provided in Chapter 153 of the City Code, have been satisfied by the dedication to the City of Outiot B, The Legacy of Apple Valley, according to the recorded plat thereof, Dakota County, Minnesota. TI bee fees 000*0 00*4 000 ITEM: F--3 =N City of Apple Valley COUNCIL MEETING DATE: July 10, 2014 SECTION: Informal Agenda ITEM DESCRIPTION: Parkside Village Update STAFF CONTACT: DEPARTMENTIDIVISION: Bruce Nordquist, Community Development Director Community Development Department Action Requested Review and discuss Parkside Village. This is an information item and no action is requested as part of this informal review. Both the City Council and Economic Development Authority will consider actions related to Parkside Village during the regularly scheduled meetings the evening of July 10, Summary In January 2013, actions were taken by the City Council and economic Development Authority approving the development of Parkside Village. Since that time, progress has been made: - A Confession of Judgement with Dakota County has addressed the scheduled payment of special assessment. - Final plans have been reviewed for issuance of a building permit. - Construction and permanent financing has been secured for the project. The owner, IMH Special Asset NT 175-AVN, LLC and Titan Development I, LLC are requesting a two phase approach to development starting with the 196-unit Gabella building. A second phase and the construction of the 126-unit Galante building is planned to follow. Given the span of time that has occurred, staff is planning to re -introduce the approved project as a two phase project at the Informal City Council session. The attachments for this review are included at the City Council Regular Agenda 5D, 1 through 5. ••• •••• 006 City of Apple Valley ITEM: CITY COUNCIL MEETING DATE: SECTION: S.D 1-S July 10, 2014 Regular PROJECT NAME: Parkside Village Gabella PROJECT DESCRIPTION Request for revised and reauthorized agreements to allow construction of Parkside Village Gabella multiple family building, consisting of 196 units, north of Kelley Park. STAFF CONTACT: DEPARTMENT/DIVISION: Ron Hedberg, Finance Director Finance Bruce Nordquist, AICP, Community Development Dir. Community Development Department Kathy Bodmer, AICP, Planner APPLICANT: PROJECT NUMBER: IMH Special Asset NT 175 — AVN, LLC and Titan PC12-31-ZSBG Development I, LLC APPLICATION DATE: 60 DAYS: 120 DAYS: May 12, 2014 1 July 10, 2014 September 9, 2014 Proposed Action(s) 1. Financial Assistance Items (City Council and EDA Actions): a. Adopt the Resolution approving the revised Business Subsidy Agreement. b. Adopt the Resolution approving the revised Development Assistance Agreement. 2. Land Use Items (City Council Only): a. Approve the amended Planned Development Agreement. b. Adopt the Resolution Approving the Final Plat of Parkside Village Gabella and Development Agreement with conditions and authorizing the City Clerk and Mayor to sign all required documents. c. Adopt the Resolution Reauthorizing Site Plan/Building Permit Approval to construct the 196-unit Parkside Village Gabella building with conditions as approved January 24, 2013. Project Summary The owners of the Parkside Village development, IMH Special Asset NT 175 — AVN, LLC and Titan Development I, LLC, received approval to construct the Parkside Village development with a total of 322 units January 2013. The project included the 196-unit Gabella building north of Kelley Park and the 126- unit Galante building along Galaxie Avenue. The owners have been working to secure financing for the project and have found that lenders do not support financing the construction of 322 units all at once, as originally proposed and approved. At its May 8, 2014, meeting, the Developer requested and the EDA supported a reconsideration of the timing and financial structure of the project. Splitting the development into two phases, with construction of the 196-unit Gabella building in August and construction of the 126- unit Galante building in the future would achieve the following shared objectives of the City, EDA and developer: • The developer requested a fair financial splitting of the projected into two phases based on the number of units in each building. • Rather than splitting the assistance in a simple 60/40 split according to the number of units, staff, legal counsel and Northland Securities revised the distribution of funding to an approximately 50150 split to provide an incentive to complete the second building. • Construction of the Gabella and Galante buildings will comply with all requirements of the January 24, 2013, approvals. • Construction will proceed in a timely manner with construction of the Gabella building north of Kelley Park expected to begin in August. Background The owners of the Parkside Village development, IMH Special Asset NT 175 — AVN, LLC and Titan Development I, LLC, request splitting the Parkside Village project into two phases, with construction of the 196-unit Gabella building to begin this summer and construction of the Galante building, the 126-unit building along Galaxie Avenue, to occur in the future. The attached draft agreements are revised to allow for a two-phase project. No other changes to the project are proposed; the building would be constructed in accordance with the previously approved zoning amendments, development agreement and building permit authorization. Business Subsidy Agreement. The Business Subsidy Agreement is revised so that the business subsidy will be divided between the two projects. Funds are the amount of money the City has received from Dakota County for penalty and interest (P&I) on past due special assessments. The subsidy is intended to increase the City's tax base by increasing the value of the property, create living wage jobs, and enhance the City's residential business districts. So far, the property owner has paid $1,282,890 of back taxes and special assessments. As a result, the City has made one reimbursement of P&I in the amount of $122,653. A second reimbursement of $99,447, for the 2013 payment year, will be released upon execution of these agreements. When the final plat is filed for the Gabella development parcel, all past due taxes and special assessments will be paid on the property which is estimated to be $1,090,994. Development Assistance Agreement. The Development Assistance Agreement is revised so that the TIF assistance is spread between the two projects. Originally the TIF was set up with an up -front reimbursement of $1.15M and $5.35M pay -go reimbursement for both buildings. The assistance has been split as follows: Originally Phase I Gabella Phase II Galante Approved Project (196 units) (126 units) 322 units TIF Note (Pay -Go) $5,350,000 $2,684,000 $2,666,000 Up Front Reimbursement $1,150,000 $576,000 $574,000 Planned Development Agreement. The Planned Development Agreement is revised to allow for two phases of development. No other changes are made to the previously approved zoning amendments, conditions, or building and development plans. Final Plat of Parkside Village Gabella and Development Agreement. The final plat of Parkside Village Gabella is consistent with the Parkside Village Preliminary Plat, but only the lots associated with the Gabella building are platted. Four former lots and the vacated portion of right-of-way of Fontana Trail are platted into a single parcel. In addition, right-of-way is dedicated so that Gabella Street intersects with Foliage Avenue north of the apartment building. A 30' drainage and utility easement is dedicated along the east property line abutting Foliage Avenue for the relocation of a 24" storm sewer line. Site Plan/Building Permit Reauthorization. The approval for the site plan and building permit expired January 24, 2014, so the petitioners are requesting a reauthorization of the approved plans. No changes to the previously approved plans are requested. The Gabella building consists of two u-shaped buildings with a center one-story community area containing a fitness center, internet cafe, club room/party room, yoga studio and game room. Outside of the community space will be an outdoor swimming pool and patio/barbeque area. The four-story, 196-unit building, will be located north of Kelley Park across 152ad Street. Access to the Gabella parcel will be taken from the north from Gabella Street. At 196 units on a 5.2-acre site, the development has a density of 37.7 units/acre. Previous City Council and Planning Commission Action At its October 17, 2012, meeting, the Apple Valley Planning Commission voted unanimously to recommend approval of the project with conditions. Subsequently, the City Council reviewed and approved the Parkside Village development project with conditions on January 24, 2013. The petitioners seek a reauthorization of previous approvals which would allow them to begin construction of the Parkside Village Gabella building north of Kelley Park. Budget Impact Overall budget impact remains the same as previously approved; only the timing and allocation of the TIF resources between the two phases would be adjusted. While a 60/40 split was requested by the developer, the documents are amended to allow closer to a 50150 split. This will provide the owner with incentive to complete the second building. Attached is a memo from the City's Finance Director providing further financial discussion including analysis from Northland Security. Attachment(s) 1. Location Map 5. Draft Resolution Approving 8. Draft Resolution Approving Final Plat, Development 2. GabeOa Site Plan Development Assistance Agreement Agreement, and Associated Documents 3. Gabella Elevation Drawing 6. Draft Resolution Approving Business 9. Draft Resolution Approving Site Plan and Giving 4. Parkside Village Rendering Subsidy Agreement Building Permit Authorization View to West 7. Draft Resolution Approving Planned Development Agreement EXHIBIT A-1 DESCRIPTION OF PHASE 1 DEVELOPMENT PROPERTY Lot 1, Block 2 Lot 2, Block 2 Lot 3, Block 2 Lot 1, Block 3 Parkside Village, Dakota County, Minnesota. All in the Legacy of Apple Valley North, Dakota County, Minnesota. A-1-1 632779Ov2 EXHIBIT A-2 DESCRIPTION OF PHASE 2 DEVELOPMENT PROPERTY Lot 1, Block 7 Lot 1, Block 8 Parkside Village,; Dakota County, Minnesota. All in the Legacy of Apple Valley North, Dakota County, Minnesota. A-2-1 632779Ov2 EXHIBIT A TO PHASE 1 ASSESSMENT AGREEMENT LEGAL DESCRIPTION OF PHASE 1 DEVELOPMENT PROPERTY Project Name: Gabella';Building Description: Lot 1, Block 2, Lot 2, Block 2, Lot 3, Block 2 and Lot 1, Block 3 All in Parkside Village, Dakota County, Minnesota A-1 6327790d1 EXHIBIT A TO PHASE 2 ASSESSMENT AGREEMENT LEGAL DESCRIPTION OF PHASE 2 DEVELOPMENT PROPERTY Project Name: Galante Building; Description: Lot 1, Block 7, and Lot 1, Block 8 .All in Parkside Village, Dakota County, Minnesota A-1 632779ov2 DEVELOPMENT AGREEMENT Between IMH SPECIAL ASSET NT 175-AVN, LLC And CITY OF APPLE VALLEY For PARKSIDE VILLAGE - GABELLA authorization to proceed is given by the City and (ii) to exercise any other remedies available under this Development Agreement or under the Development Assistance Agreement between the Developer and the City. The exercise of any remedy shall not preclude the exercise of any other remedies available to the City. The Developer agrees to hold the City harmless from any damages, causes of action, or claims related to the construction being stopped by the City. 9. Occupancy. No occupancy of any building in the Plat shall occur until water, sanitary sewer, and a paved surface are available for use to that building. 10. Service Fees. The applicant shall pay the City for the public services furnished to each Lot within the Plat, an amount as determined below upon the basis of units (per building) as determined by the City Engineer, which amount shall be paid in the following manner: A. Sewer Availability Charge - The rate per unit is based on the year in which the building permit is issued (presently $2,646.00 per unit - $2,365.00 Metro and $281.00 City). The person who applies for a building permit shall pay, at the time of the issuance of the permit, an amount equal to the rate times the number of units. This fee is subject to change if the obligation of the City to the Metropolitan Waste Control Commission changes. B. Water System, Supply and Storage Charge - The rate per unit is based on the year in which the building permit is issued (presently $766.00 per unit). The person who applies for a building permit shall pay, at the time of the issuance of the permit, an amount equal to the rate times the number of units. 11. Park Dedication. The parties mutually recognize and agree that park dedication requirements for the Plat, as provided in Chapter 153 of the City Code, shall be satisfied by a cash payment of Two Hundred Nineteen Thousand Eight Hundred Fifteen and'No/100 Dollars ($219,815.00) This amount is due and payable prior to the release of the Plat for recording. 12. Storm Water Dedication. The parties mutually recognize and agree that the storm water pond dedication requirement, as provided in Chapter 153 of the City Code, has been satisfied. 13. As -Built Surveys. The Developer must provide the City with as -built site surveys ("Survey") for each building constructed within the Plat, prior to the issuance of the Certificate 7. 5.D 7/10/2014 Approve 2-Phase Project Apple Valley City Council Meeting July 10, 2014 Project overview • Request for revised and reauthorized agreements to allow construction of Parkside Village Gabella multiple family building, consisting of 196 units, north of Kelley Park. 1 7/10/2014 Gabeila Building 7/10/2014 Galante Building Gabella Site Plan rd 7/10/2014 Actions previously taken: • TIF Housing District #15 created —Jan 2013 • Kelley Park land purchased • Parkside development agreements originally approved On May 8, 204 EDA approved consideration of phasing approach 7/10/2014 Phasing Concept • Phase I - Gabella • Begin Oct 2014 • Complete Mar 2016 Min Value $21,365,000 # units 196 • Phase II - Galante • Begin April2017 • Complete Dec 2018 • Min Value $13,830,000 • # Units 126 Phasing Concept - total remains same 500 i as G6 70% 70% 70% 709 !ay Go?IFp1l�ies7 $2,684000 2,666000 $5,350,000 $5,350,001 sty. wk ^�,r 1 �e $576,000 $574,000 $1,150,000 $1,150,001 9