7. EDSR 08-14-2006 - Laserfiche WebLink

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ITEM N 7. vet MEMORANDUM TO: Economic Development Authority FROM: Catherine Mehelich, Director of Economic Development//f DATE: August 14, 2006 (/,~"~ SUBJECT: Discuss Purchase Option Policy for Northstar Business Park Attachment • Northstar Business Park map Background The EDA opened Notthstax Business Paxk for development a year ago adding the necessary infrastructure and pre-selling 3 out of the 6 lots. Three lots remain available fox sale in Noxthstax Business Paxk, including: Lot 1, Block 1 13.11 acres (8.88 developable acres, divided by gas line) Lot 4, Block 1 9.29 acres Lot 1, Block 2 4.34 acres Issue Staff has recently received inquiries from a couple local manufacturers that have indicated a need to expand and relocate from their existing landlocked situations and have room to construct facilities between 60,000 to 125,000 square feet; one being ready to construct in the next 12 months, and the other in the next 24 months. Typically buildings of this large size require approximately 6 to 10+ acres to accommodate building and required parking. Only one lot in Noxthstar Business Paxk would accommodate the proposed project size - the 9.29 acre Lot 4, Block 1. Outside of the city-owned business park, the approximately 18- acxes of Sandpiper Business Park, located between Faribault Foods and the County Government Centex on Business Centex Drive, is the only privately-owned property that would accommodate the proposed project size. The manufacturers have indicated an interest in securing the 9.29 acre Noxthstax Business Park lot under a purchase option arrangement. s:\EDA\Indusnial Land\Northstar Business Park\Memos\8.14.06 eda memo.doc