HomeMy WebLinkAboutResolution No. 17-017 - RevisedDevelopAssistanceAgreement.AlatusRochester, LLC
EDA RESOLUTION NO. ______
COUNCIL RESOLUTION NO. ______
ROCHESTER ECONOMIC DEVELOPMENT AUTHORITY
COUNTY OF OLMSTED
STATE OF MINNESOTA
RESOLUTION APPROVING AND AUTHORIZING THE EXECUTION OF A
DEVELOPMENT ASSISTANCE AGREEMENT
BE IT RESOLVED by the Board of Commissioners (the “Board”) of the Rochester
Economic Development Authority (the “EDA”), as follows:
Section 1. Recitals.
1.01. The EDA has undertaken a program to promote economic development and job
opportunities, promote the development and redevelopment of land which is underutilized within
the City, and in connection therewith has created an economic development district known as
Economic Development District No. 53 (the “Economic Development District”) in the City of
Rochester (the “City”), pursuant to Minnesota Statutes, Sections 469.090 through 469.1082 (the
“Act”) and established Tax Increment Financing District No. 53-1 therein (the “TIF District”);
1.02. Pursuant to a resolution adopted December 19, 2016, the EDA approved a
Development Assistance Agreement with Alatus Rochester I LLC (the “Prior Agreement”) in
connection with the construction of a mixed use redevelopment project consisting of an
approximately 13 story building with approximately 347 market rate rental apartments,
approximately 21,242 square feet of commercial area and approximately 560 structured parking
stalls (the “Project”) to be located directly west of St. Mary’s Hospital on the intersection of 2nd
Street SW and 14th Ave SW in the City;
1.03. The Project will now be undertaken by Rochester MN Properties LLC, a
Delaware limited liability company (the “Developer”) and the Developer has requested that the
EDA terminate the Prior Agreement and enter a new Development Assistance Agreement with
the Developer (the “Development Agreement”);
1.04. The Developer has further requested that the terms of the Development
Agreement be modified, among other things, to authorize a higher interest rate on the tax
increment revenue note to be issued in accordance with the terms of the Development Agreement
and to authorize the issuance of the tax increment revenue note prior to the completion of the
Project, upon certification of eligible costs; and
Section 2. Approval of Development Agreement.
2.01. The EDA hereby agrees to terminate the Prior Agreement.
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2.02. The Board hereby approves the Development Agreement substantially in
accordance with the terms set forth in the form presented to the Board, together with any related
documents necessary in connection therewith, including without limitation all documents or
certifications referenced in or attached to the Development Agreement (collectively, the
“Development Documents”) and hereby authorizes the President and Secretary, in their
discretion and at such time, if any, as they may deem appropriate, to execute the same on behalf
of the EDA, and to carry out, on behalf of the EDA, the EDA’s obligations thereunder; provided
however that this authorization by the EDA shall expire if the Developer has not within 180 days
after the date hereof (i) executed the Development Agreement Agreement, (ii) obtained a footing
and foundation permit and commenced construction of the foundation of the Development, and
(iii) delivered to the EDA evidence satisfactory to the EDA that the Developer has sufficient
financing to complete the Development. Prior to the expiration of such 180 period, the Developer
may request an extension from the Board of Commissioners of the EDA.
2.03. The approval hereby given to the Development Documents includes approval of
such additional details therein as may be necessary and appropriate and such modifications
thereof, deletions therefrom and additions thereto as may be necessary and appropriate and
approved by legal counsel to the EDA and by the officers authorized herein to execute said
documents prior to their execution; and said officers are hereby authorized to approve said
changes on behalf of the EDA. The execution of any instrument by the appropriate officers of
the EDA herein authorized shall be conclusive evidence of the approval of such document in
accordance with the terms hereof. In the event of absence or disability of the officers, any of the
documents authorized by this Resolution to be executed may be executed without further act or
authorization of the Board by any duly designated acting official, or by such other officer or
officers of the Board as, in the opinion of the City Attorney, may act in their behalf.
2.04. Upon execution and delivery of the Development Documents, the officers and
employees of the EDA are hereby authorized and directed to take or cause to be taken such
actions as may be necessary on behalf of the EDA to implement the Development Documents,
including without limitation the issuance of the pay-as-you-go tax increment revenue note
thereunder.
2.05. The Board hereby determines that the execution and performance of the
Development Documents will help realize the public purposes of the Act.
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PASSED AND ADOPTED BY THE BOARD OF COMMISSIONERS OF THE
ROCHESTER ECONOMIC DEVELOPMENT AUTHORITY, THIS ______ DAY OF
_______________, 2017.
PRESIDENT OF SAID AUTHORITY
SECRETARY OF SAID AUTHORITY
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APPROVED BY THE COMMON COUNCIL OF THE CITY OF ROCHESTER,
MINNESOTA, THIS _______DAY OF _______________, 2017.
PRESIDENT OF SAID COMMON COUNCIL
ATTEST: _________________
CITY CLERK
APPROVED THIS ______ DAY OF ______________, 2017.
MAYOR OF SAID CITY
(Seal of the City of
Rochester, Minnesota)
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Board Member _______________________ moved the adoption of the foregoing
resolution, which motion was duly seconded by Board Member _______________________,
and upon vote being taken thereon, the following Board Members voted in favor thereof:
and the following Board Members voted against the same:
whereupon said resolution was declared duly passed on adopted.
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SECRETARY’S CERTIFICATE
I, the undersigned, being the duly qualified and acting Secretary of the Rochester
Economic Development Authority, DO HEREBY CERTIFY that I have carefully compared the
attached and foregoing extract of minutes of a duly called and regularly held meeting of the
Board of Commissioners held on December 18, 2017, with the original minutes thereof on file in
my office and I further certify that the same is a full, true, and correct transcript thereof insofar as
said minutes relate to actions referenced therein with respect to a Development Assistance
Agreement with Rochester MN Properties LLC.
WITNESS My hand this ____ day of ______________ 2017.
_______________________________________
Secretary
Rochester Economic Development Authority
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