07-31-1989 EDA MIN - Laserfiche WebLink

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. . . EDA Minutes July 31, 1989 Page 2 Fursman stated that if the City markets the property and it does not sell, the City faces the realization that the City will continually have this economic blight and physical hazard in the downtown area. He indicated that he felt the City should take some responsibility for correcting the site and the only feasible way would be to purchase the property. Commissioner Schuldt questioned what the City would do different to sell the property than the present owners are already doing. Mr. Fursman stated that the City is in a better position than the owners and it also has the tools necessary to market the property. By the City purchasing this site, it will allow the developers to go to another site. The City Administrator indicated that if the City purchased the property, the funds spent could possibly be captured through the creation of a TIF district. Mr. Fursman suggested that the City consider purchasing the site by February 1, 1990, if the site is not sold. Chairman Tralle stated that he is not opposed to the proposal or concept of the City purchasing the property with EDA funds, however, he indicated he would like to see what numbers the appraisal comes in at before making a commitment. Mr. Fursman indicated that a price would not be discussed until the appraisal was complete. He also indicated that he felt the City could commit to buy without committing to a price. COUNCILMEMBER HOLMGREN MOVED THAT THE ECONOMIC DEVELOPMENT AUTHORITY COMMIT TO PURCHASING THE PROPERTY PRESENTLY HELD BY IRMA JENNE, LOCATED AT 665 AND 661 MAIN STREET IN ELK RIVER AND TO TAKE POSSESSION OF THE SAID PROPERTY ON FEBRUARY 1, 1990, PROVIDED THE FOLLOWING CONDITIONS ARE PRESENT: 1. AN ACCEPTABLE PRICE IS NEGOTIATED FOR BOTH BUYER AND SELLERj 2. NO PRIVATE DEVELOPER PRESENTS PLANS TO DEVELOP THE SITE: AND THAT PLANS ARE ACCEPTABLE TO THE EDAj 3. THE SELLER WORKS WITH THE EDA TO MARKET THE SITE. COMMISSIONER DOBEL SECONDED THE MOTION.