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• <br /> office/warehouse buildings envisioned for this location would not be finished greater than 25-40%. <br /> This leaves 60-75% of unfinished space and our concern is with limiting the use of this space in such <br /> a manner that we are unable to effectively market this property. Also, these are aggregate numbers. <br /> In individual tenant spaces, unfinished areas will range from 0 to 100%. <br /> We have always felt that your building codes could much more effectively regulate the issues at <br /> hand and meet your goals by requiring some kind of public hearing approval for buildings that are <br /> clearly designed as distribution buildings. For example, our first building is an 18' clear height with <br /> bay sizes of less than 5,000 square feet. The NAIOP definition of distribution is far outside those <br /> parameters. A distribution building would be in the clear height range of 24'-32' and have bay sizes <br /> ranging from 8-15,000 square feet with much greater depth than our first building has or that we <br /> anticipate having for other future buildings. <br /> If you deem it necessary to place percentage limitations on the amount of warehouse space, then we <br /> would request the following: <br /> • We would like to see the 50% limitation on warehouse space be viewed in aggregate for any <br /> particular building rather than on an individual tenant basis. This would allow more <br /> flexibility on our part with regard to marketing and individual tenant negotiations. The <br /> goals of the City would simply be established and achieved on an overall square footage <br /> basis rather than on an individual square footage basis. <br /> • We would also like to raise the maximum percentage of warehouse allowed under the <br /> conditional use section from 65% to a higher number and simply not preclude an approval, <br /> for example, of a build-to-suit for a company that Elk River desires to attract to its <br /> community and under a specific percentage limitation would be precluded from doing so. <br /> We have written this letter in the spirit of working together with the City of Elk River in a positive <br /> and collaborative manner based upon the intent established when the development agreement was <br /> first negotiated and entered into. Our requests, we believe, do not deviate from those goals and are <br /> more in synch with market in general and also for this site, specifically. <br /> We are hopeful of a positive response when we meet before the EDA on October 8`h and subsequent <br /> meetings with the planning commission and city council. If any additional information is required, <br /> please call me. <br /> —Y. •-ry truly, <br /> Richard V. Martens <br /> President <br /> RVM/bb <br /> • Cc: Michele McPherson—City of Elk River <br /> Jim Winkels —Partner, Elk River Business Park, LLC <br /> Liza Robson — Partner, Elk River Business Park, LLC <br /> Tony Gleekel- Siegel, Brill, Greupner, Duffy& Foster, P. A. <br />