The URL can be used to link to this page

Home My WebLink About2014-02-22 PACKET 0845Cottage , Grove � Pride and �rOSPerity Meet To: From: Date: Subject: City Council and EDA Ryan R. Schroeder, City Administrator February 14, 2014 Business Park At the past couple of EDA meetings the Board has initiated a conversation to delve into ideas to again turn the Business Park into an active development opportunity for manufacturing, warehousing and related business. This memorandum is an attempt to facilitate that discussion. Background: Current situation The Business Park includes the following development opportunities: A. Land north of 95 Street owned and marketed by Canadian Pacific Rail totaling 75.92 acres in 13 parcels straddling Hemingway Avenue. Six of the lots on the east side of Hemingway are or can be rail served. B. A 38.72 acre parcel that was formerly owned by Lyman Lumber Company (purchased from CP) that has since gone back to a bank. This parcel is rail served. The following are owned by the WAG Farms Family Trust C. Two parcels south of 95 Street and north of the "flume" (drainage ditch) that totals 29 acres. In the past OPUS had proposed 200 K of multi-tenant construction for this property. D. 35.31 acres at the apex of Hemingway and 97 Street, south of 95 Street. The City owns a 3.5 acre parcel within this area. E. 81.5 acres west of Renewal, east of Hemingway and between 100 and 97 Streets F. 79.03 acres north of 100 Street, south of the RR tracks and east of Jamaica. From this acreage is the 14 acre WAG Farms Dog Park and the City Compost Site, both of which are leased from WAG Farms. 2. The Business Park also has the following end users: Up North Plastics Renewal by Andersen Werner Electric MN American Logistics American Logistics II TradeHome Shoes Advance Corporation Resorts & Lodges DMC Modern Automotive Aveka CCE Schmid Packaging PRI ICC Cottage Grove Auto Body USPS Canadian Pacific Marshalling Yard Outside the boundaries of the Business Park and also outside of the MUSA (urban service district) are: 3M Cottage Grove LSP Cottage Grove Crystal Canyon Rogers Automotive Rumpca Enterprises It should be noted here that the 1750 acre 3M campus has several hundred acres undeveloped. It is also worth noting that within that acreage there is significant utility easement intrusion for gas and electric, storm water, fiber, and roadway. 3. Background of Recent Business Park Development A. In 1996-7 the City entered an option agreement with the fee owners (WAG Farms) for a floating 40 acres. This option agreement provided that the City could acquire anything within the Park it chose to acquire from one acre and larger not to exceed a total acquisition of 40 acres. This option has long since been exhausted; however, the option allowed us to successfully compete for Renewal by Andersen, CCE and a few others. B. At the same time the Council delegated site plan approval to the staff so long as a land use proposal was a permitted use and did not require variances. While we have never utilized this authority the ability to do so has been an important part of our presentation to end users. C. The Council, EDA, and WAG Farms have also allowed for Earlv Start Agreements in the past. When project time constraints have existed this tool has allowed the end user to begin construction of their building in advance of the Real Estate Closing. We have used this authority two or three times over the past fifteen years. This project development option has also been an important part of our presentation to end users. D. To date, all but one real estate transaction within the Business Park (that being the USPS) has run throuqh the City. Essentially, the City achieves a purchase agreement with the end user and a purchase agreement with WAG Farms at the same time. By the City taking title within the transaction we are able to communicate that A) we guarantee timely closing, B) we guarantee title, C) we guarantee that the site is buildable and absent environmental or unforeseen development site issues D) we guarantee infrastructure is, or will be, in and paid E) we can provide the Early Start option noted in #3 above. Running the real estate through the City has been an important part of our presentation to end users. E. To date we have acquired the development site from WAG Farms, included our cost of infrastructure previously constructed or to be constructed, placed the parcel within a TIF district and run resulting projected TIF throuqh the City to allow us to offer the land to the end user at below market pricing. At present, most of the Business Park is available to us at $1.75/SF. We add $1.10/sf to that for infrastructure costs and reduce the final land price by projected TIF revenues. Most recently, those TIF revenues have been estimated at $0.50/sf but will vary depending upon the value of the building and the size of the parcel. In general terms, however, the land can be delivered to the end user for $2.35/SF ($1.75 plus $1.10 minus $0.50). Most cities do not take this development risk and operate under a"pay as you go" system within which the end user gets all or a portion of the TIF generated but if the project does not generate the expected TIF the end user comes up short of his expectations on his development financials. Taking on the development risk of TIF revenues has been an important part of our presentation to end users. F. A couple of years ago we added Cost Seqreqation to what we may provide to end users. Essentially, Cost Segregation is closely reviewing fixed assets and depreciation schedules such that the end user takes full advantage of the most rapid schedules available. This has the potential of early term tax advantages. While we have not had the opportunity to offer this service it is one that I have not heard of other cities offering. G. Just this past year the Council has entered a JPA with the St. Paul Port Authority for the Port to function as the administrator of the PACE program should the opportunity present itself. The PACE program essentially allows the end user to borrow money at what is perceived to be below market interest rates toward building energy efficiency improvements. 4. Market Study Craig Lien, with Colliers, is the Real Estate Broker representing WAG Farms. He recently completed a review of competing land parcels within the market from Lakeville, Farmington, Burnsville and Rosemount, to Hugo and Forest Lake. What he found is that WAG Farms base land pricing at $1.75/SF for the bulk of the Business Park and $2.25 for the Jamaica/95 corner should place the Business Park pricing well within the market competition. It is notable that within the identified comps only two parcels were fully served. Those parcels are listed at $2.30 and $3.50/square foot (our estimate is $2.35 up to $2.85 -$3.00). The parcels that do not currently have City services ranged from $1.83 to $5.05/SF with the most comparable within a range of $1.83 to $3.22 ($2.45 average). Land price should not be an impediment to development of the Cottage Grove Business Park for those end users seeking east suburban greenfield sites. 5. Spec Building Pre-Design Mr. Lien has also gained a project development proposal from Welsh Construction in order to assist his potential clients in understanding development costs of a sample project. This theoretical project is enclosed for your information. Mr. Lien is not presenting that the City, or any other party, should pre-develop the theoretical 80,000 square foot $6.7 million project. 6. City owned 3.5 acre parcel Through a negotiation related to the 2007 Jamaica Avenue improvement project, and resulting benefit assessments the City was able to acquire an approximate 3.5 acre parcel at the apex of Hemingway Avenue and 97 Street as noted above. This parcel does not have any liens or assessments against it; it is owned free and clear by the City. As such, the City can provide aggressive pricing for the right opportunity. Another option may exist to trade this parcel back to WAG Farms in consideration for land costs should a much larger project present itself (wholesale value of $266,805) 7. Hemingway/97 Road Connection and 100 Street The City has constructed the underground infrastructure to complete the connection of 97 Street and Hemingway. Completion of the curb and roadway surFace is denoted within the City CIP and would be constructed at the time that development demands it ($704,100 cost estimate). Completion of 100 Street from Jamaica to Ideal occurred in 2000. Remaining is that portion from Ideal to Hadley. The Business Park portion of that roadway is estimated at $2,325,000. 8. Analysis of Property Tax Returns Development of the Business Park is an imperative for the following reasons: A. Reduce the property tax burden that would otherwise fall to residential properties B. Increase stability in property value driven property tax by increasing dispersion C. Increase net revenues to the City D. Job Creation It is notable that from a property tax value perspective the greatest return on the investment of land is realized from the smaller Business Park properties. The taxable EMV created from our current "industrial users" is as follows: 1. 3M Campus: about $20,000/acre (significant undeveloped land parcels) 2. Rural C/I development: about $40,000/acre 3. Large Business Park development: about $200,000/acre 4. Midsize Business Park development: about $475,000/acre 5. Small Business Park development: about $540,000/acre Diversity in development patterns, uses, and industries should be seen as most desirable. However, it should not be assumed that larger "moniker" developments generate the greatest property tax return as that would not typically be supported by existing data. Going Forward: We have invited representatives from commercial construction companies to your meeting to assist in the "where do we go from here" conversation. Real world insight can perhaps be gained on the following and any other topic areas the collective may have: 1. Where development is currently happening in the Twin Cities and why 2. Where is the manufacturing/warehousing market trending 3. What more the City of Cottage Grove could do to attract development to the Business Park; what would help them bring their clients to Cottage Grove 4. What should the City avoid Proposed 2014 Business Park Area Propertv Tax City Address DBA EMV Tax 10500 Ideal Crystal Canyon 336,300 10870 Ideal Rogers Auto 461,700 107601deal Rumpca 568,200 Subtotal 1,366,200 6,600,000 8,514,700 8,813,000 23,927,700 9900 Hemingway Resorts & Lodges 1,406,000 7,647 9850 Hemingway DMC 1,905,300 10,436 9800 Hemingway Modern Automotive 1,134,500 6,129 Subtotal 4,445,800 24,212 7900 97th Am. AgCo 3,300,000 18,229 7900 97th (b) Am AgCo 2,616,300 14,619 8200 97th Advance 2,145,900 11,781 8300 97th Trade Home 2,818,600 15,539 Subtotal 10,880,800 60,168 7555 95th 7699 95th 7887 95th 7769 95th Subtotal 7450 95th 9480 Jamaica 9900 Jamaica Subtotal Aveka CCE Schmid Packaging PRI ICC 1,281,100 1,446,000 970, 700 1,150,700 4,848,500 6,949 7,870 5,214 6,220 26,253 Werner Elect. MN Up North Renewal by And. 9525 105th St. Ct LSP CG 7515 95th Street CG Auto Body 7523 95th Street USPS Subtotal Tota I 3M Cottage Grove Campus 40 parcels Business Park 2014 Taxes Total Tax TI F 1, 669 11, 786 2,370 16,712 2, 646 15, 744 6,685 44,242 1,460 47, 366 49, 033 97,859 53, 804 73,416 43,140 170,360 128, 200 102,770 82, 868 109,292 423,130 48, 898 55, 343 36,706 43, 776 184,723 257, 826 98, 318 333,036 344, 752 935,614 2, 771, 800 15, 278 107, 452 1,257,000 6,814 47,950 2,095,900 Exempt Exempt 3,352,900 6,814 47,950 51,593,700 237,269 1,913,471 35,593,200 185,222 1,036,452 900 2nd Ave S#1575 � Minneapolis, MN 55402 ph.(952) 837�000 � fx.(612) 337-5161 9715 215th St W Detail Lot Size Ac: 4.50 Lot Size SF:196,020 Divisible: No Frontage: 0 Depth: - - Zoning: CC Gas: Yes Electricity: Yes Water: Yes Sewer: Yes Rail: Notes Location: 9715 215th St W Lakeville, MN 55044 Southeast Lndllnd-Other Sale Company: Cerron Commercial Properties Sale Contacts: Bruce Rydeen /(952) 469-9444 Detail Min Div Ac.: 4.50 Ac. Max Contig Ac.: 4.50 Ac. Lease Rate: - - - - Lease Rate/Ac: - - Price: $450,000 Price/SF: $2.30 /SF Price/Ac: $100,000.00 /Ac. $450,000.00 C olliers InfomialbnoblaneAM1Omsou tl meCrefabl Vufil convdered 2lewtmak iwguaanleewa ry rrepresentatwn. D te: 01N]I3014 Collier IntemationallMmnenpolis-StPaul-hltpllwww.collier comlen-us/mmneapolisstpaui _ . _ . . . . . . .. _. . _.. . . .. ._.... .. ._ _. Page I of 11 900 2nd Ave S#1575 � Minneapolis, MN 55402 ph.(952) 837-3000 � fx.(612) 337-5161 Farmington Business Park Location: 22045 Canton Cir Farmington, MN 55024 Out of Metro - South Lnd/lnd-Other Sale Company: KW Commercial Midwest Sale Contacts: Pat Cropsey /(651) 262-1004 Lot Size Ac: 4.17 Lot Size SF:181,645 Divisible: Frontage: 0 Depth: - - Zoning: PUD Gas: No Electricity: No Water: No Sewer: No Rail: Listing Detail Min Div Ac.: 4.17 Ac. Max Contig Ac.: 4.17 Ac. Lease Rate: - - - - Lease Rate/Ac: - - Price: $452,297.00 Price/SF: $1.83 /SF Price/Ac: $79,824.55 /Ac. $452,297.00 $332,868.00 � Intartna�ion oblained fiom saurces tleemed reliable. While cons�deretl accvmte. wa make no 9uaan�ee. warranN or represenlation. � bale: 0'IN]11014 - � _._ ColLerslnternationallMmneapolis-StPaul-http:llwww.colliers.comlen-uslmmneapolisstpaul __ , � _ _ , , Page 2 of 11 I � 900 2nd Ave S#1575 � Minneapolis, MN 55402 � ph.(952) 837-3000 � fx.(612) 337-5161 22090 Canton Cir Location: 22090 Canton Cir Farmington, MN 55024 Out of Metro - South Lndllnd-Other Sale Company: KW Commercial Midwest Sale Contacts: Pat Cropsey /(651) 262-1004 Property Detail Listing Detail Lot Size Ac: 3.84 Min Div Ac.: 3.84 Ac. Lot Size SF:167,270 Max Contig Ac.: 3.84 Ac. Divisible: Lease Rate: - - - - Frontage: - - Lease Rate/Ac: - - Depth: - - Price: $332,868.00 Zoning: PUD Price/SF: $1.99 /SF Gas: No Price/Ac: $86,684.58 /Ac. Electricity: No Water: No Sewer: No Rail: Listing Notes #x20; . $332,868.00 Infomialion obtained hom sources tleemed reliable. Nfiiix wnsldered acamle, vre maMe rw guarnn�ee, varranty or represen�ation. Dale: 07,U]/LOt/ .. ColllerslntemaHonallMinneapolis-StPaul-hitp:llwww.colliers.comlen-uslminneapolisslpaul Page 3 of 11 900 2nd Ave S#1575 � Minneapolis, MN 55402 ph.(952) 837�000 � fu.(612) 337-5161 Co Rd 42 and Newton Ave S r �,�'�;�: , t r �. $ -- ��• .. s ` �-. i ..��:"-.:."'�-a,r .� . '� .r,: _ _ � {\ .- .- ' e i : . i`�.,�r �.:5.� ?%'��. r V ,�+r,'° .. � � 1' - • � 4 _ .� � �� i �'1�/ . � � � � • .., __ ��Y' . S P�. 1f�1'h • r 4 _ ,�a.;a.,, ;_ r+ t � " �,, f r . "_'L `".� �' � + �� : , i .� � � w - �_�� r � i 1 t i ,: � � � Y �! . �• � . — "ri . 1� _ ��-'�_. —_ -=� — . �-Y - �.:. l �— F+s� �� _�� ' �•.. Property Detail Lot Size Ac:10.00 Lot Size SF: 435,600 Divisible: Yes Frontage: - - Depth: - - Zoning: Gas: No Electricity: No Water: No Sewer: No Rail: Listing Notes #x2o; � 0 Location: 0 County Road 42 and Newton Ave Burnsville, MN 55306 Southeast Lnd/lnd-Other Sale Company: Gonyea Land Company Sale Contacts: Bob Lyngen /(952) 882-1112 Min Div Ac.:10.00 Ac. Max Contig Ac.:10.00 Ac. Lease Rate: - - - - Lease Rate/Ac: - - Price: $2,199,780 Price/SF: $5.05 /SF Price/Ac: $219,978.00 /Ac. $2,199,780.00 InfoimaAan oblained fiom sou�ces deemed rellahle. V�fiile consideretl accumle, we make no guaranlee, v.artan[y o� �ep2sentalion. �ate: 01I0]20'14 . . . .. ... . .. ... . ... . . . . . ... . ....... ..... ..... _ .. .... _ ..... ..... . . Collierslntematio�allMinneapols-StPaul-httpllwww.colliers.comlen-us/minneapolisstpaul _ __ Page 4 of 11 � 900 2nd Ave S#1575 � Minneapolis, MN 55402 ph.(952) 837�000 � fx.(612) 337-5161 206th St and Fenway Ave Lot L1, B2 3.75 acres Prop_erty_AVai_1a61e u ��1'�::';.�'�:.:.�; � �� .��...�,�. .......�.. 3 ,..,,. �.— � � �. �\ < = 6 � � ,,,... �`� .r ", �. , • x�� ( ir�� S�i� tys' Y a`�? � �r J � .� , . �y�J_ .{:, Property Detail Lot Size Ac: 3.75 Lot Size SF:163,350 Divisible: Yes Frontage: 0 Depth: - - Zoning: Industrial Gas: No Electricity: No Water: No Sewer: No Rail: Location: 0 Fenway Ave Forest Lake, MN 55025 Northeast Lnd/lnd-Other Sale Company: Gaughan Companies Sale Contacts: Lou Suski /(612) 238-4402 John Chirhart / (612) 238-4403 Listing Detail Min Div Ac.: 3.75 Ac. Max Contig Ac.: 3.75 Ac. Lease Rate: - - - - Lease Rate/Ac: - - Price: $449,213 Price/SF: $2.75 /SF Price/Ac: $119,790.13 /Ac. Listing Notes 22 Acres - Shovel Ready Sites Zoned Industrial District Individual Lots Ranging from 3 to 8 Acres Outstanding North Metro Location Adjacent to Forest Lake Ariport Excellent Access - Only Two Minutes from I-35 via Hwy 97/Scandia Trail Sewer, Water, Curbs, and Ponding in Place Infortnalion obtained finm so�ices tleemed reliaWe. 4Nilla considered accuale, vre make rro guaanlee, wartanty or repreunlaAon. �a�e: 07p7R014 � Coliiers InternationallMinneapoli;-St_Paui - http:llwww.collters.comlen-uslminneapolisstpaul - Page 5 of I 1 I 900 2nd Ave S#1575 � Minneapolis, MN 55402 ph.(952) 837-3000 � fx.(612) 337-5161 Fenway Blvd ,�.. - - _� _ �� .�yY'A .Nl��`��rf, ' fw� � � / ,� � �"., E �{ � f ,��'�` � . � �.�r � � a � ' . � � • . �'l "� �,� �" � ' z ..4'� .e e*�� .:;' y F & . 'li � f'�'?� � � ytA �[' .�.�J- 1 A i t_�l �, �_ . { . �� r. c �.�.Y .. 'r � � � 4 ,�' .,� � �•��'��,. �i . �Jr,cY i��..-. ...,� .�. �. � i--....y.�' � t:,�,� r c�A� t :.�..� x� I � � y . :� €�. �. �.�--=—�' P�r�x( ��1? .� . � �..._ _.'_'2 _ ' ��.•. Property Detaii Lot Size Ac: 9.40 Lot Size SF: 409,464 Divisible: Frontage: 0 Depth: - - Zoning: Industrial Gas: No Electricity: No Water: No Sewer: No Rail: Location: 0 Fenway Blvd Hugo, MN 55038 Northeast Lnd/lnd-Other Sale Company: KW Commercial Sale Contacts: Brian Passeri /(651) 755-3810 Listing Notes 9 Acres available in the City of Hugo Industrial site. Owner is wiling to devide! Priced property owner to the east, a rail spur may be and option. 0 Listing Detail Min Div Ac.: 9.40 Ac. Max Contig Ac.: 9.40 Ac. Lease Rate:---- Lease Rate/Ac: - - Price: $775,000.00 Price/SF: $1.89 /SF Price/Ac: $82,446.81 IAc. tax rate $775,000.00 Infaimalian obminetl M1om sau�ces deemed �eliahle. VMile cansitlered accurd�e, we mal<e no guamnlee, wartanty o� �ep�zsenfation. Da�e: OVD]R014 _ _ _ . Coll'erslnternationallMinneapolis-StPaui-.httpilwww.coil�ers.comlen-uslminneapolisstpaul .... ..... �. . . .... . �..__ Page 6 of 11 900 2nd Ave S#1575 � Minneapolis, MN 55402 ph.(952)837-3000 �fx.(612)337-5161 Great Western Industrial Park Detail Listinq Notes Lot Size Ac:151.00 Lot Size SF: 6,577,560 Divisible: Yes Frontage: - - Depth: - - Zoning: Gas: Yes Electricity: Yes Water: No Sewer: No Rail: Progressive Rail is rail served. Outside storage permitted. 0 Lots available from 2.1 acres to 140 acres. Rail served. Outside Location: SW of Hwy 56 and Hwy 86 Randolph, MN 55065 Out of Metro - South Lnd/lnd-Other Sale Company: CBRE Sale Contacts: Tom Bennett 1(952) 924-4897 Jeff Przytarski / (952) 924-4895 Bryan Van Hoof /(952) 924-4624 Listing Detail Min Div Ac.:151.00 Ac. Max Contig Ac.:151.00 Ac. Lease Rate: - - - - Lease Rate/Ac: - - Price: $9,147,600 Price/SF: $1.391SF Price/Ac: $60,580.13 /Ac. $9,147,600.00 Infamiatbn oblalned hom saurces deemed reliable. Nfille consEered aca2le, vre make rw g�a2nlee, v2rranty or repraseniation. Dale: a7N7/lo14 Collfers IntemationallMinneopolis-St Paul - http:l/www.colliers.comlen-us/minneapolisstpaul _ .. . . . _ _ . _ . . . . . . _. _. .. _ .. . .. _ . _. . . _ . Page 7 of 11 900 2nd Ave S#1575 � Minneapolis, MN 55402 ph.(952) 837-3000 � fx.(612) 337-5161 SE of Hwy 70 and Highview Ave Location: 0 Hwy 70 Lakeville, MN 55044 Southeast Lnd/lnd-Other Sale Company: Cerron Commercial Properties Sale Contacts: Bruce Rydeen /(952) 469-9444 Lot Size Ac:10.14 Lot Size SF: 441,698 Divisible: No Frontage: 0 Depth: - - Zoning: Industrial Gas: Yes Electricity: Yes Water: Yes Sewer:Yes Rail: Progressive Rail Listing Notes 10.14 acres are platted and 1 10.14 Platted at 10.14 Listing Detail Min Div Ac.:10.14 Ac. Max Contig Ac.:10.14 Ac. Lease Rate: - - - - Lease Rate/Ac: - - Price:$1,545,943 Price/SF: $3.50 /SF Price/Ac: $152,459.86 /Ac. 10.14 $1,545,943 $152,459.86 $3.50 Infoimalion oblained fiom saurces tleemetl reliabie. NAiile consitleretl accua�e, we make no guarantee, v.arranry or rep2sentation. �ate: 01ro]R014 � �.. _ __ , ColiierslnternationallMinneapo�isStPaul_-h[tp:llwww.colliers.comle�-uslminneapolisstpaul _, _ _ _ .__ ..� Page 8 of 11 I Propertv Detail 900 2nd Ave S#1575 � Minneapolis, MN 55402 ph.(952) 837�000 � fx.(612) 337-5161 4th mx . � � _� a p ,,' � : �.� x� � ., ' y�,�'.�.� f �� `w � �.:� � �:��.. � ,'1`, �'_- �' '�� - ` - �.�1 � .,,,� r �, r —� —.,; � ��,:_tx� ��, � �� . � � :, �'-�..<, 1 � . M' � � � � � ` t� �� ,: � �'° „ ";' �.r�� ' . �� 4 �;�„,� r A, ' 1� ` �,'�, F�, ' '� � � T (t ` ��• �� _ �"I �'Y �j!' � 1 , `�� _,�`�.°` I � ` � ' ,�.�,'�. + 1, + � .� . � -,�_ . . . ' `� .�,� ° � t�/s�i r_•-� Property Detail Lot Size Ac: 2.97 Lot Size SF:129,373 Divisible: Yes Frontage: 0 Depth: - - Zoning: Gas: No Electricity: No Water: No Sewer: No Rail: Notes Lot 10, Block 1 Airiake 4 Lot 11, Block 1 Airlake 4 1.91 1.06 n Location: 0 Lakeville Bivd Lakeville, MN 55044 Southeast Lnd/lnd-Other Sale Company: Airlake Development Sale Contacts: Dan Regan I(612) 987-9966 Listing Detail Min Div Ac.: 2.97 Ac, Max Contig Ac.: 2.97 Ac. Lease Rate: - - - - Lease Rate/Ac: - - Price: $415,995 Price/SF: $3.22 /SF Price/Ac: $140,065.66 /Ac. $415,995.00 $230,865.00 � Infaimation ablainetl from sources tleemetl reliablx. Vufille wnsideretl accumle. vre make no gua2ntee, v2`ranly or represenlalwn. Oale: O1N]/l010 � - _ ColllersbrternationallMinneapolis-StPaul-http:/lwww.colliers.comlen-uslminneapolisstpaul , _ . _ Page 9 of 11 I � 900 2nd Ave S#1575 � Minneapolis, MN 55402 ph.(952) 837-3000 � fx.(612) 337-5161 � Arden Kitchens Lot y � � � �' � ; "� ` Loration:7900 Lakeville Blvd , �� ' � '' f � Lakeville, MN 55033 � � �, � ^ � Southeast '� ° � �`� '�' ,�,;, "��-.--.>' � ` _ �t � � Lnd / Ind-Other ` 4 �— f; tG4.w.-f� J ro � .-_: . �`�" � .s. ,� - � �w �..F �� , �'` �,� �� j�� Sale Company: Airlake Development r .� �� ,� c�' ' - , . " r � . Sale Contacts: Dan Regan I (612) 987-9966 � �� - r`' .r � � t E� ,' `y, , 5 a _ �� _��a `- ' �S� rV i� �'-- �` �.1 . �r —" ��y f ,p,_1 �' � '�� .t`.i f � i � e__� y..�. r # $ � {� (-' a �� s � '� � �� L w.�...� 1 r ��, 1— t.. . � . i .�� Property Detail Listing Detail Lot Size Ac:10.59 Min Div Ac.:10.59 Ac. Lot Size SF: 461,300 Max Contig Ac.:10.59 Ac. Divisible: Yes Lease Rate: - - - - Frontage: 0 Lease Rate/Ac: - - Depth: - - Price: $1,845,200 Zoning: I-2 Price/SF: $4.00 /SF Gas: No PricelAc: $174,239.85 /Ac. Electricity: No Water: No Sewer: No Rail: Listing Notes 10.59 unplatted acres on Lakeville Blvd(210th St.) just west of Cedar Ave. I-2 general industrial zoning. We'll consider all sale and build to suit options on this site. . $1,845,200.00 � Infortna�ion ohtained hom saurces tleemetl reliable. VMlle considered acwrzte, we make na guarantee. wairenN or repreunlalion. Da�e: a71o7QO74 . .._ .... ......... . .._._. ................. . ........ _....._ _........ .... . ... ... . _....... ......_ ._..... ........_. � Colliers In[ernational/Minneapolis St Paul-http�llwww.c.oll ers,comlen-uslminneapolisstpaul . _ ._. . . _ _ _____ . . .____. __ _ _. ... '� :.. _ .. . .... ... ..__. _..... ....__ _. _.__ . __.. . . . . _._ .. I Paae ] 0 of I 1 900 2nd Ave S#1575 � Minneapolis, MN 55402 ph.(952) 837-3000 � fx.(612) 337-5161 Rosemount Industrial Land Notes 0 "'Cdli Lot Size Ac:19.30 Lot Size SF: 840,708 Divisible: Frontage: 0 Depth: - - Zoning: Industrial Gas: No Electricity: No Water: No Sewer: No Rail: Location: 0 Robert Trl S Rosemount, MN 55068 Southeast Lnd/lnd-Other Sale Company: CBRE Sale Contacts: Brian Pankratz /(952) 924-4665 Richard Palmiter I (952) 924-4603 Listing Detail Min Div Ac.:19.30 Ac. Max Contig Ac.:19.30 Ac. Lease Rate: - - - - Lease Rate/Ac: - - Price: $1,800,000.00 Price/SF: $2.14/SF Price/Ac: $93,264.25 /Ac. $1,800,000.00 mm�ar non�atnearmmso a emearei�aa v�n,i mnsiEer tlacaate vizmakerwguaantee vmrranryorrepresenlalion. o ie mro�rzou Colllers IntemalionallMinneapolisSt Paul - Atip.11www.colliers.comlen-uslminneapolisstpaul � Paoe 1 1 of 1] Propertv Detail � � ----------� COtt� e G rOVe � Busi ness Parl< Build to Suit - 80,000 SF Industrial July, 2013 EXAMPLE `� 11 ___ ��i . i - �� ..�.. ■ ! �; �; --- -_ - ■ � . _ P � - ` ��. ;� � � � � � PREPARED BY: Craig Lien, Vice President Colliers International — - — �► _ , ,� _ � �' .njY . � � �. , '• � ie.� ti� � � rl�'s .r.�. «r n� I �� ,-.re"'�" �;. �__. ;..e_ .. ��i �. '.�w�a� � �1 �+_-.� �... � '#�:� � � �; : � i � � I il �. � Welsh builds and renovates space on behalf of institutional investors, individual property owners, and tenants. With 35 years of experience, we have expertise in all aspects of construction and development. In the past ten years, we have completed over 1.5 million square feet of new construction and improvements for industrial and manufacturing companies. � �f '� � �� .�� I other members of the project team by being a proactive, solution-oriented, problem solving project leader. We'll guide you through the entire process, from design and development to furniture and equipment procurement. `��.°� are committed to making your best ierest our top priority by providing c s�rnplete, qualified real estate services - {I :<< j�u�i ;i�r�..t ��'��r�a� We treat every project with the individual attention it deserves, and use a proven process to guarantee results. We will deliver accurate scheduling, estimating, and on-site construction supervision while monitoring progress every step of the way. Like other General Contractors, we I<now the importance of delivering a project on time and on budget— but our goals reach far beyond that. We strive to make the entire construction process easy on the owner and Local Cx�rertise. Global Reach. In partnership with Colliers International for our Brokerage and Real Estate Management divisions, Welsh offers a fully integrated suite of real estate services to best address the ever-evolving needs of each unique client. ��ir ■ �. ■ ■ w��n �•�r Design-BuildProces� t3 f(lilE;91 F� �`fU41�'.ii ft4i5kPio.S During the 35+ years that Welsh has been constructing commercial buildings, we liave developed a construction led design-build process that is compatible with virtually all project types. This delivery method will provide you with a single source of accountability for design and construction, moving the risk for the project to the design builder. A more efficient project, accelerated design and construction timeline, and lower overall costs are just a few of the benefits to using the design-build method. p�Etr�;�n� i;r,id�e�;t;r!ti Our process begins with collecting vital information to guide tl�e direction of your project. We carefully listen to your vision, and evaluate your space needs and budget for the project We survey existing conditions of the site, determine governmental approval requirements, evaluate schedule, and begin to assemble a team of consultants that will be required to deliver the necessary information to complete the project. ;;i: �� .� Next, we analyze the information collected and prepare a proposal outlining our design-build team including in-house personnel and external consultants, a detailed project schedule with pre-construction and construction activities, estimated costs including those beyond construction, and a delivery strategy for the project. Budgets are established utilizing a method where we determine quantities of worl<, and pricing is applied based on a combination of historical references, current material and labor rates, and key subcontractor input. We operate on ��:�� F� ra � �� t��3� ,- ��r-r. E �_,, i.7enefits: Single source accountability Design builder assumes responsibility and risk ° Accelerates the design process and construction timeline Lower overall project costs � Project cost based on actual "market pricing" �=� Authorize and pay for design only as needed Guaranteed Maximum Price (GMP) is determined early an open book basis and the customer is welcome to review and discuss any back-up information necessary. At this point, we can establish a guaranteed maximum price (GMP) for the project before the amount budgeted for design has been expentled and ensure that no change orders are issued for the project unless the Owner requests a change to the scope. 4�.)(f',C:Ii.ili�Y Upon approval, we implement our plan. City review and approval process, plan coordination and completion, value engineering analysis, constructability review, and budget updates are all taken care of before final plans are issued for competitive bidding by the subcontractor community. We will also publish progress documents at I<ey milestone dates for the team to review to ensure their expectations are being properiy addressed. Again, this is all completed on an open book basis and the project team will be accountable for the project cost as it is being designed. Once construction is started, we constantly monitor the completion of the work and will report regularly on the progress and schedule. Our staff continuously reviews the work for proper quality and worl<manship to ensure a smooth occupancy and turnover. +- � �'F�U�'t;!;i �.(➢I t��ri�.Ci �ini��[7Ct1�;;-� To make sure you know how to keep your building performing at an optimal level, we'll give you a comprehensive Operations and Maintenance Manual at tl�e time we achieve substantial completion. At that time, we will also coordinate and schedule training sessions with building engineers and tlie building manager to go over the operations of various building systems. We conduct follow-up surveys and warranty inspections to ensure complete customer satisfaction. We value your input and look forward to hearing your comments reyarding our worl<, our people, and your overall experience with Welsh. � ��'' �� \ �.... I". ,,� � ProposE�� Project SnaFtsi�af. Design and construct a single level, 80,000 square foot precast distribution building, including 5,000 square feet of office space. The proposed project site is in Cottage Grove, MN (see site plan addendum�. 80,000 SF Industrial Distribution Building Warehouse: Office: Site Size: Construction Type: Clear Height: Dock Pacl<age: Fire Sprinkler: Office Build OutAllowance: Warehouse Build Out Allowance: Building Shell Allowance: 75,000 SF 5,000 SF 11.2 Acres*'� Precast tilt-up concrete panel 32' in Base Price (deducts for 28' and 24' clear) Rear Load (8) docks (Up to 4) Drive Ins ESFR $37.50 per SF $5.OD per SF $43.25 per SF Net Building Cost: $4,900,000 Total Development Cost: $6,700,000 (+/- 1 MM for Site Size) **Final site size to be determined during initial programming r� ...'E� ]f'-fi�t4�� We anticipate the worl< will be completed in approximately the following time frame: Schematic Design: 6 Weeks City Entitlements: 16 Weel<s Design Development & Construction Documents: 6 Weeks Construction: 24 Weel<s Total Duration: 48 Weeks : r��!e ��f .;;.��r� : . i. Welsh will provide direct representation of the Owner during the design and construction phases. This basic service includes consultant coordination, weeldy progress update, design and construction phase coordination, architectural services, and construction management. %. Welsh will solicit proposals for Geotechnical Engineering, Civil Engineering and Structural Engineering services for the project, and contract with those parties directly. The costs of those fees are included in the basic compensation fee structure outlined below. Services for an Environmental Consultant and Certified Land Survey, if necessary, will be handled similarly to item 2 above, but are not included within the fees outlined below. �: Consulting services for Mechanical, Plumbing, Fire Protection, Electrical, and Low Voltage electrical systems are not provided as part of our basic services under our A �Y_ ..- �� .�� ' -]E � agreement, but will be included as part of the cost of construction on a subcontractor design build agreement. These services will be provided by engineers licensed in tlie State of Minnesota. "i. We will also begin wori<ing with the City of Cottage Grove and the South Washington Watersl�ed District as necessary to assist in securing all of the required approvals needed for this project. ,! Welsh will prepare applications, plans and other technical documents as required for the governmental review and approval process. Welsh will provide the lead role in representing your project with the City of Cottage Grove and the South Washington Watershecl District for the project review and approval process, and will attend all Planning Commission and City Council meetings. %� Preliminary construction budgets, value engineering studies, delivery and phasing schedules, bidding strategies, and constructa6ility review will be provided during the design phases. i>F,�ti�; (;, details, landscape plan, planting schedule and details, site lighting and photometric plan, floor plan, exterior sign plan and details, and building elevations Pa rt 2. Governmental Aeview & Approval $9,300 Includes applications, document preparation and reproduction and meeting attendance. Application fees are excluded from this amount and shall be treated as a reimbursable expense Part 3. Design Development & $79,400 Construction Document Phase Includes preparation of a complete set of plans: architectural, civil, landscape, structural, plumbing, fire protection, HVAC, and electrical, suitable for obtaining a building permit Total Parts 1 through 3 $131,400 All reimbursable expenses for items such as prints, plots, copies, renderings, phoiographs, travel and travel related expenses, postage, long distance phone and faxes are included within the amounts proposed above. We anticipate our design build fee to be broken down as follows: Part 4. Construction Phase Part 1. Schematic Design and City Submittal Phase $42,700 Information required for city submittals including soils investigation, site plan, grading, drainage and erosion control plans and details, drainage calculations, utility plans and 3 °/a Fee is expressed as a percentage of the cost of the work. We propose to establish a Lump Sum Price prior to construction. �"rPtti`inr��tl ��s�:'sr�n � f�rayir�rl �;�l, ° ,e�'vir,r.,_ If the need arises on the project, our team can provide the following additional services: ,� Furniture Design and Procurement Support: $7,400 + hourly during weel< of install '� Move Coordination: $7,000 + hourly during week of install We will notify you in writing in advance of performing any additional services. We will not proceed with any additional services until authorized by you, in writing. The following expenses or services shall be considered additional services: � If required, or needed, producing a boundary and topograpliic survey of the existing site or buildings is an Additional Service. ;>_ Changing the general design direction we are pursuing during the Schematic Design process may be cause for Additional Services' fees, if such changes require us to abandon or significantly revise previously agreed upon decisions and the resulting architectural worl<. While minor course corrections are normal and expected witl�in the fixetl-fee work effort proposed, our goal is to work with you as efficiently as is possible and not needlessly pursue design ideas that do not have a sound basis. For additional services to the fixed-fee work effort, the following liourly rates shall apply: Director $175.00 / hour Senior Architect $145.00 / hour Project Architect $125.00 / hour �,�s, °F" „ 6`��i� s `«�`"F!(?Ir Welsh can finance and build the building and turn the building over to you at the time of occupancy. For this solution, add a 3% fee to the total development cost. ��u, e� t�`�,i i' � 'r;F_: A detailed conceptual budget is included in tlie addendum. CADD Technician $75.00 / hour ` _ L ` — � _- r� -� ._ I ,� . , ia �-� . . ,� � — ` � � - � r r� - � -- __"�_� o t € 9 f �is+� ! XS4 r ' ` ' fl � -q''i _ �-�_�.., s� �. _, , � �. �. � --� � ��.'�, ` �' � ,� ;�(�+wt 1t � i• � � �� ,t� ¢, y' 'I'� �� "`�i�'� . . .��y: vC = -.. . - ._ � 4j � . y 4.� �" . J �� '� �' r y� "� �� kl � i��, & � �f, q.� . '�i+� . . � -- � � +. ' i�^� �� M �`��` .I �i -�� ,,, . : � a . . -'.S� 4 `� F ,� .+� P � . :�. t � y - _ x '. , � L�.��'t .��y .*�� ,,�. � _a,�y ; ' ' , t � • '' ' ° x �` ;, � . b , � �EF , r �� " � " r - I � �' , ,��' �ti , . v � ' � ��: , �,: � .` � _ F r . `�- q� � r -� J�a.'r. �� 4 T ��,�.. .V T � 11 T !�'IwC� 'yr R � � » � ��' � -? �rl i . � _.. :.1'.. - -- � „� , . "�f�s�� . � 4 �: ` .. I _ < a � ��_.�"_-� � ��, �' -- - - .t . 1':� ` � i�; - �i:�`T �;. �, ,: „ •, , e ",. , ��q' l � : r I i - _ . r. �, .� t , � �. . ` ' 'f . I �� , � � t' .� -�` � , .,-. ., �� _- ��. ,� , i ':� �; � �� "� l� �'� s�,� ^ � 1 � , t�`Y ; — ii{I �.: ; : • � � _; ., � , ,�r�� " . � � ; _ _� ��,. r ,� _ '�'�` � I . ;�l ; � � �' F i��, - � � � f_ ' � y �� , � � � -� - � � ' �4 � r - h �r'r� , ! 1• s � r ✓-� __ - ,-` •�f•- R � f � � .. R � ' � r rMINNE50TA �� . . .. �` " ' f . -. , � y ��. . � _ . ..4. . : `-r I ^ �� - � '� � r i �r sri _ ' . , 1 ' ,_ �- r .. •�;r _ ' .I y ��•f� . _ ��: � f � N ., � . 'rb Ir,� ' � = F ;f�, < -c. ` � �. .,, � I t - � ti " � :; _ �: ' _� �� ~* � x �` { q i�, �* ' � IS' j _ _ - r � �-�.�a '�."' `' ` - ••� • �� . � " � .�lr .. . ' 1 � „�� ~�� _ ./� I' � .�.� ,.J � � ':� • f � �- I �� _ _. . I �- � y _ ��F�.. _, . ._ _'�'PO.A .y�-1"�"�-,� � .'�i.. : �=Z . �' .a � ` - � 1 � �t.� � . , _ ' .. ! • i . _" ' ' .. �wy. �d'� � �' I .� . t,'r . , r �� 17 .� �. sti +^� � •�C . 1 °. � >7�` :'.' }'. � 4 1 • R' � _* . . k� t ; "PL . . � � �i.r J � r, �� F ' � .: .r �� . � �? . I i I �' !. I I � I I {� . 1� ��--. �� = a � �ti � - - � � � S' 'r �t'� ��4..�.+�L'Y�� '�. A � u . A ��_.,?�-.,�yp.{��}3 ��Irl �— . j"� , r �,�.�� hi •. � . _ ei4� . , . - -:-,.- . -._....- i r� � : "__T;'� r.R - - ..� �_ .'w�'�'1'. N � �.� _} - e �. � �1.+�, r.. t- - � ,- 5""� _ y �� J �, � � � _ � F ''�' J ' �':"+ �' - ''� _ - . . ��3F '� ;+ C _ � rf , �'� i i - G� -. � , 4 � p 'i.� j � � �� . � � � ' i e ot W' .� �•' � . 1 � � ' 4,� ..' 4 k � � } � �-' � _r � LL 4l�p:�t � r' �_ ' .' ,w�.i � �r � �'� �,� � � . � ' �4 ' �. 's k • z-� .?;_. .-.� � F . . _ � $ . � I � �;�. ' � +e 4 i! '�.� �� -,e ♦ - Xr � � y' �.�� .�' r , ' : �'s �- ; � - � A -t-. � � '� _ "� - - � r s.ars u i - e. � ' � � � . . � �� _ 4��sYF � � I^ �i� �^ � �� ..� +C,�.i �~ � � i� � ' �� * � , " � �` � - � �'�. � � .r � �_ � --` �.1 .�. �..� +n3_. . , - . .4'. ��'�r� �� .. .`- �wy� � :� + �,. y ;� ' �� . r „ ► � ' . j4" t 9J �+� ,�/�.� ,� ', ' "i � w l t . �`� � - ' 7 � A � �. '- i} �� " � V� �' �°� 4�`. F - �'A- . '�►��l� ".,.�, � �r�"�,�5 � `��C _ �"��'�"':� � .i; r r•kY.`hr�, , - _ . .- . �f 1S' ,, l�� $ , h � '' . � '-..� ��, � � �Y. 7 � • _ i 1 ".- �. �c. �,,��.v ; .r� . ,.;.,� . .�. . ' :..°�_ p�TF . �f�` �i� ;', �_�S � �'`� .i! . r " c r '+:,�1s � f r "�, , . �, � • s : � � � ��, �„_ ��.]� y �I ,��,.__�,� a . � y � p y�y�, ti :,� 4�..� � _ � � ' � _ _ . � _�p �'.0 - '~-�-_... � T� d �+ �v- A � ? �� ' �. _ � i' � t �� ` �#��'Y Y � . . , ;" �± ��+K _\ ' t . yi�� ' � � . ` � S -�^t' �.' N � `�� . . � i � ' 1: ��F A[` _ ..{� �s '` ' I � ,�� ^ M1 t . j.� �' � 1 t��,:- -_ ' � � = T ': � � - �,"�� . � , ,; * rt � �;' ��q �'• •l�. _ - + � �� ,,, _.ti , ' r '- :x> �S �`�► �j;�- k� ;,� �4 _ -:..� -- "•� - ,� �. I -- 1 ' ^"^ �� . -- . -- . - - - . . .? � °- s.�-r '4 - . -.--. . �`' tiyp'N �-.� � ,• �- ��f `�'" ' T� � J -.'<'„F�... � � at. • D . .� - � � y �:.� . _ --..-r.e. `i �fi S � � t � t � ��,�.; .:;,:_ . �+,� _ . �, — — _ -'�.r_�. :� � I +� �, ` � _ � , �� ,� +' . i ; • p�( - - ' , 3 � y� +�, ,�r i -. �;°-• � � � - - � -__ 4 '�«,± , �i �''{'' l � 4 ' . ' ! '� '_ p � � - -- ' ', . � . f . �-�� .. y� !� _�� 5- . r�,`_� t - .,i � ry : Si� • - i^' � � � f • � '� � . ` 7 .�. � � �IET ��, r � - , i` , t �� P - - $ '-- `'� ~ ' � r � y _ � ' ` � ; R�i�7r rar ��$ �r � 5 e ;k �?' '.��.� , s. * i ' _ -' t, �, ; i � �,. _ � j� ��.1� � «-x. �� j ��I � � s n �i ' ' �„ ,I , *< -=� > ` .�" . �y� �.. _ , • • y�', t. ! ��'� a,.. .'. * �' . �_n • �i:�,'�N .`l� � ?� . 'RT�. I ,�. �� f - . �r� ,� � r � • „�- .. _ � -ri. � � � T - ,�. ; �. t • � ' 0 . ' • , � ., ".�; , ' p� °� . ;�, �� . - . , � i �*l�-- �.r ' ,� M�_ ` � � �' . F �'; ,.� ' _ � � +;; .,- _ . :'�e;i �_`�. ;:i `/+ , � Y*��-`' -. �: � � '� ,• ; ; � ' • � _ - '�,1 � k *a.rr-!k �..- � . . �. . t' �� ` ,� � +� f, . - .k, .-,; I i ♦ e - # .�-�° � " � L' T' �'� � � t } ' . �' � • �'� � {l' r? J �� r. � * � � �. � �� • r- , � L- I'.� r+,. —.__—_ _— ." ___— _—� . ._ -. ._ � �_'___-__.__�—� � • .. , r I', _�.!A,� _ � �. I c"9.'.!� � I � . � ..y -,_ � -..T.-_ __ - .�� _�� _- .�� . L _. .- _ �`r iri. k I �-.« �l _ _ _ _ -_,_ -- _, .. _ ' - r _ � � ,��• P I � ii!qi..'�, ,k - �'�I 'l� �! . ' I � —� i _. . . - ..� y .�5 �Y '� �- * ��V ��'�i - -- � ..ti __ . . � r� Y ��f� „�� 5 � � _' __ _ .� . - � � , . . � I- •;� a:.. ' > _ __. '"_ _ _ . ' � �� I ! .� ' • � :. ___ ��ry A �,��. i5 - " , . ; .. . .� . . . �_ _ - _ . -- - � ° - - - - -- -- - � - � - -- - -- - . - �.;'r ' : �..,,,. ._. _.. � ; � _e �! .,��ur- (��. ._ wrl. _ � 'Y� _ . _ -E . .�, - i - sf �_ � - --= = r ,-, - —�_ �,��_ �- =�:---== --=�°- `�=_- }«_.�-_=- -- _ -_ ; -. _:.�L'�_�. � � �- .��v _� � 4 � " _ _ _ '_ " ..__� .>,t-` _-J - _ �.�� :- •-..� �,_ _.��e �.� - - .. � � t= __.-- --' ' , ;' I ' l_ � t a -�. ,.F ;-� �. ��►� r c, � .� �' ��._ � � � ti �=h ;� -- ------ - - _ - � -- - --- - — --- --- -- - � � � � '�, ''y�-' p �,, �' � p �p ,,r _ ` � �� a � _ �� C �"0 � �D ,,,, Q� � p '-� �? �r ' � � ' � . .,, ,., �y �D ' _ . - � �� F�'� _ �� 0 _:1*� I j � !^� � R � . .. . ,�:. - , � ,.� -� � ��' �. , , I, {� vj � ' " _ �- _� �..: �' � � i'� � "" � �.. � _ `� '� � -+ ?#JCO z� � r •`_�Cr : l "� �� ' �- __ ::_..1:`.. !!4.."+:''� "�.`A'�e - �".�r° �s � : . -,.- _ .ii� . - ! G.^ Lu bt'.NC � L:a.i �€ K,'.L`� '! � '�'d', _ '� � _ _ �,, ►� , �- . . r_ _ �' _ _ _ �; � _ _ _ .- .;_ - � - -�--... r_�,,,.._.. .#„�___,_. __�- . _.� .�, . --� � -aD ti,..,d _ _ - -- --- -- _ - - - ----- - _ _ �--y� i.rt:� _---- .. Q , , �ry - _. -- --� -- � . . —._-- � � � � � ^ c � --.. . -- � _ � � - . _ .. - - . -= ._ -. . . b . y= � _.� . —' ." ..—___- � �I � ". ' I A f � +,�.}' � : � l 1 I � � � ,/ I � �j �i ( i:., � ��Ij ,-.�.------ _. .—� �� ( I '� � I - I j r1 j =R�r-'"r_ e'T� ��.IF_r.=^'�_``" _ � B' � .,.-T.:w ��=r� r^v � IlF4=.� wrLL�iFIT+�.= �.� �� ._ �.T'.i Welsh Companies - -- - - -- - -- - - 80,000 SF Industrial .Distribution with 32' Clear 75;000 SF Wareliouse � S,OOO SF Office Project : IndustriaT Development Budget - Phase i' Date : Apri12013` Address : Cottage Grove, MN Project Number : 13-204' GFA : 80,000, GLA : 80,000 � _ _ �: . - - -- Units : l . - - - - -- - - -- --- ---- - -- - Element Cost Elemental CosUpf� Cost/pf� Cost Amount ,%o of Ratio Amowrt per Gross per Gross per Uuit Total Leasab Area Buildable Area _ __ _ - - - - __ -= 1. 80k SF Iodustrial Building Sk SF Office Construction Costs 100.00% 61.35 61.35 4,907,746.85 Road/Site Works 4.89% 240,000 3.00 3.00 240,000.00 Add for 28' Ciear 2.04% 100,000 1.25 1.25 100,000.00 Add for 32' Clear 2.04% 100,000 1.25 1.25 100,000.00 Building Permit 1.03% 50,734 0.63 0.63 50,734.37 Met Council - SAC 0.80% 39,200 0.49 0.49 39,200.00 City -SAC/ WAC 0.89% 43,677 0.55 0.55 43,676.64 Park Dedication 2.87% 140,736 1.76 1.76 140,735.84 DevelopmentApplication 0.20% 10,000 0.12 0.12 ]0,000.00 Construction Coutingency 3.28% 160,900 2.O1 2.01 160,900.00 Building Shell & Site Work - Warehouse 66.09% 3,243,750 40.55 40.55 3,243,750.00 Warehouse Improvement Allowance - Warehouse 7.64% 375,000 4.69 4.69 375,000.00 Building Shell & Site Work - Office 4.41% 216,250 2.70 2.70 216,250.00 Office - Build Out Allowance - Office 3.82% 187,500 2.34 2.34 187,500.00 4,907,747 72.81% Net Building Cost 100.00% 4,907,747 61.3.5 61.35 4,907,746.85 4,907,747 72.81 % (Excluding Site) Welsh Companies - - - --- - -- -- ----- --- 80,000 SF Industrial Distribution with 32' Clear 75,000 SF Warehouse � 5,000 SF Office Project : Industrial Development Budget - Phase 1 Date : April 2013' Address : Cottage Grove, MN Project Number : 13-204 GFA : 80,000 GLA : 80,000 - - =- -- -- - Units : 1 --- - - -- - - ------ Element Cost Elemental < Cost/pf� CosUpf� Cost Amount - % of Ratio Amount per Gross per Gross per Unit Total Leasable A rea Builda -- --- -- - - ---- . 80k SF industrial Building Sk SF Office Acquisition Costs 28.68% 17.59 17.59 1,407,358.40 11.2 Acre Site 17.30% 849,268 10.62 10.62 849,268.00 City Infrastructure Cost 11.37% 558,090 6.98 6.98 558,090.40 1,407,358 20.88% Professional Fees Architect - SD & City Submittal Architect - Govt Review & Approval ArchitecT - DD's & CD's Geotechnical Reimburseables Civil Engineer Structural Engineer Construction Fee Brokerage Commission Miscellaneous Costs Additional Costs Total Construction Estimate 8.67% 0.87% 0.19% 1.62% 0.12% 0.10% 0.49% 0.43% 3.03% 1.82% 0.00% 0.00% 42,700 9,300 79,400 6,000 5,000 23,886 21,182 148,584 89,250 6,740,409 5.32 0.53 0.12 0.99 0.08 0.06 0.30 0.26 1.86 1.12 .5.32 0.53 0.12 0.99 0.08 0.06 0.30 0.26 1.86 1.12 0.00 0.00 0.00 0.00 84.26 84.26 42.5,302.93 42,700.00 9,300.00 79,400.00 6,000.00 5,000.00 23,886.29 21,182.18 148,584.46 89,250.00 1.00 1.00 6,740,409.18 425,303 6.31 % 1 0.00% 6,740,409 100.00% CONTACT DETAILS Craig Lien DIR 952 837 3055 craig.lien@colliers.com Colliers International I Minneapolis-St. Paul 900 2nd Avenue South, Suite 550 Minneapolis, MN 55402 www.colfiersmsp.com 51T INFORMATION BUILDINCs ONE - OFFICE / WAREHOIJSE 82,384 Cs.SF. OFFIGE 9 I� e - 8,23& SF. WHSE 9 90 0 - 14,146 S.F_ PARKING OFFIGE - I/?50 - 3m STALLS WHSE - 1250m - 3m STALLS 63 STALLS BWLDING TWO - OFFICE / WAREHOUSE 16,224 Cs.S.F. OFFICE � 10% - 1,622 SF. WHSE 9 90 0- 68,6m2 SF. PARiCING OFFICE - I/?5� - 31 STALLS WNSE - I/250D - 2� STALLS 58 STALLS 6UILDING THREE - OFFICE / WAREHOUSE 38,400 Cs.SF. OFFIGE �' 15 0- 5,160 SF. TEGH. � S5% - 32,64m SF. PARKING OFFIGE - V25� - 23 STALLS WNSE - I/25m0 - 22 STALLS 45 STALLS SlJILDING FOUR OFFICE / WARENOIJSE ?8,3�0 G.SP. OFFICE 9 15�0 4�2m SF. TECN. � 85 e - ?4,48m SF_ PARKING OFFIGE - 125m - Il STALLS WNSE - IQ50m - 16 STALLS 33 STALLS 95TH STREET SOUTH � � � A`�/ \\, \\- �� .�'� � � � �. \!3� � ` . � ` `• ' �.� G. .. . ------- ------------------------------ --------------� �.� ELDG. =t - '^:. � �J �r' . ' ` � ",� N�°') t'.� qFFl �� `.� � 1✓ ,.' v:� � d L.1 TECH � �� 28.80� SF. � � � V � � � � � � � �; � i u {�{ � g7 � 7{' (� � - � � �� !'I �"-------------------- � , ,,.. S�� - - ---I.� �.�1.L__�LaLL_—�_�LI_��_�.�_ ��I , j '— _ � �' ----- ------- o � v; �� ; ' �' �'�,.; � I"1 �1 = _ ' DJ � �i � �� _ — — -., _ . . � �'I �?' . �u �� oLDG 3 = — � �� . i � D.I. OFF/ _ � � TECFi. ' � 32,4G�'E SF, _ oUILDI�G ? d�? � � - PROPOSED OFF. /WHSE °� _ = 16200 Sf. 160x48v II D. �� U � -... � :. � . _. . . . . _. .-_ � �_ �nii iiiiiiii� ir�:iini a ii_� i� �*'� t—� * �; �— \ ..- ,.;.� �� _ ---- ------- i , \�,\ � '�-� _------------- \ j �-� � i ' � �._,- � ��.�:,;� • � i i � LOi 4 ------ � . � . i� i i� � i �, --� � � � z � � a � � � � � � W � _ . � D.I. D.I. 'ti' ' � a �� Eui�ciNC- i _ __ i PROPOSED C� iWHSE _ 83,10� SF. 160x52E - � � �:I��l�. i .. _ i i �li _�; ,�I --�--- --� -- �'---'i rE__ �i i i _ � 9lTH STREE? SOUTH _ PROPOSED 51T� DEVELOPMEN7 � COTTACsE CxROYE, MN WELSH ARCNITECTl1RE 04-22-13 NORTH � � � � � � � � °.¢� ; �. _ � ��'4 �'lir'r r _. � 3 i U I� I r I �#�"'...�.` + . ,. �, •� �.�* i r.' < <,, ` �r r _� � . , �: 1.}r,�� , .�. �� _' � I T � P�' �1� � .. r _ ; � - . � . . . 1 � 'f � � ' . �� i•. � �' I . • � !� 1 � ! I �� I� � a♦ �� - ' ,' ` " - � r i � i. i � i r � �i - � ,; .. � ,s� � �� } .. . .�.� l;* I _ _ . �'y�r.. .' f - r ; r � —�— ;'„ �.a� ' �°.'. � i _' ' . � :i1i� -- _ �. - r..�t i�o "" ... a .. � .- c".'. i _�.y � � o. d�;'� �1 . . q� �, I i� r .. � �..+..Y. t : p ' ++e! �� €. r . � 1 � � , * • � l;� � � , a - : � 4 � . � �� , { !� . z � '�. �. � , ��;+ ''�:'�r�''�j -� �, . ` f '� r`� r �� 7 `�r,� r�.�` � . ` a_ '_°- �__ —��_ ' i., I F� . � �.� �� i�"' ' � _ �.-. . ; ' . T L *��' �'^ w �. ^t .,�-��+ t y tr - . 1 � � -.r i- . , r•�- t+ a� ,r �j�i q,� � . . , r �t ., � • w �'�, ♦ , . I ��. �•� .,� ' . � j ,�„� '_.�•-� . i�� ,� . x�_ � �� ',�+, I `- ��•�� rr .. � ry ,. v - : *'� � ��'�; �4� Rr �� .. � � � �k. . � '^'"__ �1" �'� t . � ��,� a ' ��, J � a � � r� ; � a '�'��"�` , _ " 9'. � , ' �� +v �� . I�� . �.�11� ' . y� �� , , _ ,�' ' ,� � : . ,, h , :� � �.�.� ., . •.�. , ' • � ! � (*,�`�. ✓�.. - A . . - , �y - ��` ;J � 4 �,r� �yv/�ce:� . �� r.:: • : .. . - _ � A �y� . I . � ` ° r � �� _ o ._ I �`',". i [MIHNESOIA� ,� I.i � . •l:- ` �`j,.' �L � , m�, ..,` "`�; �� „ � �� '"��. � r — _ �_-�. � �N ] � .i i,.. - � '' � •�- � -,- ° 1 _ - . i -- -� ' :i ?' ��'+� ►� � I ,-� r- o iw, i � � , � � .. . • f -q - F � `„�� fMfv � ��"��1 �' �_, �'` f / µ� F � y � . � � � � � { �� F 4� r�.� ,� '� - •+'1 � � r�� .� � s o� I� "'Z`'y� ' � #�": .'•�y r �' ,� � , . ��, � �' d 11':_ �'' � , i�9� '�,�. '�. •. r . '' - '` f". ~S . �, . � �*� . �'''. .% � t �� ,K-'..;.:.� .� � a � �`I � :� � � h— k. -- t � q . ni'e�; ,� i f P '� '.;, 4 � � . � •' . i � , ._ l� � J '��.,�. ` �� :�,' r �,�' .,_„e� i eti : b.. � � S �� ° • �� L i ...�,, ' ( J' ' ; �' a' � ��., � _ � � . � � ! � ,�, f , � � r^ . ��_ �fiel �I � • u � � � i �♦ � t �' f � i � .y. � f � t ,� 3 � �� I 5�.. � _. _�. �i �r �.. ' �. � ��." � � � � I. �, . . , . .�:� : . .. . � i —, ,� I ,�< < - , t. ��i. � � ,`, r .^, � ._ ___. -_. '_ .:I �. I�� _, I . ...�_.y. "'_ _.- — i — . 1 :� � '_ _ � •� �� I � � I � .. ._ . '—.. .__. _._. ._.._._ ....� [ .. � Property Information > Over 90 acres available > Lot sizes ranging from 2 to 73 acres > �1.75 - $2.25 per square foot > Zoned I-1 and I-2 > Infrastructure in place > Near restaurants and shopping COLLIERS INTERNATIONAL 900 2nd Avenue South, Suite 550 Minneapolis, MN 55402 www.colliers.com . f . r � A