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Home My WebLink About2015-01-24 PACKET 1015 10:15 AM 2016-2017 COUNCIL STRATEGIC PLAN N I NG I N ITIATIVES DEVELOPMENT/COMMERCIAL DEVELOPMENT / BUSINESS PARK / BEC Council Strategic Planning Topic Priorities January, 2015 MB JO SD JP DT 1.Commercial 1. Departmental Personnel 1. Sustainable Economic Vitality 1. Family and Senior Rental Housing 1. New Business in HD/Rainbow Grove Plaza/HD Resources vs. Bus. Needs Limit Residential impacts for PM Costs From Affordable to High End th 80 Street Crossings Talent Development/Training Limit Residential Construction Fees Gateway Hotel Org/Dept Culture Lower Residential Property Tax share Shoppes @ CottageView Staff Reflect Brand? Create Additional Amenities End User Targeting Leaders addressing problems? Community Center Norris Mrktplc Corner(s) FD Duty Crew model working? Population Expansion to Grow Bus. Investors 2. Fire Station Planning 2. Assist Bus. Park Expansions High Density Residential Leafline Affordable Sr. Options Expand Existing 2.Hwy 61 Beautification 2. Development Update Diverse Retail/Service Economy Add One New Business Public Landscaping/Lighting Grove Plaza/HD Business Park Bus. Park Theme Sieben Bridge CottageView Hwy 61 Monument Rodeo/Majestic Blighted Properties Other Vacant Commercial 2. River Oaks Utilization Models 3. HERO Center 3. Plan for W. Pt. Douglas Corridor Fencing Repair Bus. Park Prospects Expand Restaurant Operating Hours Funding Alternatives BEC Prospects/Vacancy/Net Rev High Tier Dinner/Wine Menu Plan for more Development & Commercial? Analyze Banquet/Wedding/Event Results 3.Multi-family zoning opportunities Options beyond ICSC? Add WI-FI Apartments/Condos Hwy 61 Beautification Lease/contract Food Service out? High Density Housing Improve Pt. Douglas Access Charitable Event Pricing 4. YMCA/Community Center 4. BEC to 60% Occupancy Summerhill Crossing Status Tourism Opportunities/leveraging Board Review of Bus. Model Affordable Sr. Housing 3. Pt. Douglas/Jamaica/Cub Bottleneck Grow Golfer numbers Active Sr. Living Options Grow per unit sales results RFP’s for above 4. 2016 Budget Snapshot Grow Restaurant Client visit duration Subdivision Update Prioritize Pavement Mgmt Increase Community Awareness/Perception 5. Shoppes @ CottageView 5. Evaluation of G2G PM: Collector vs Neighborhood? Results Measurement Increased Revenue Options Results Communication Increased Develop. Generated Revenue? 4.Business Park Update Decreased Expenditure Options How/Where to expand Project levy and levy impacts BEC Update/projections/leasing All Fund Balance Totals 5.Roadway Infrastructure 5. Residential Development Update 6. Program Effectiveness Review Keats/61 Active Sr. Options i.e. Special Events Permitting th 70 Street townhomes/patio homes Need method of Measurement Jamaica Process Options (RFP?) Value vs. Customer Cost th 65 Street th 80 Street 6. Community Center Referendum? 6.School District Schools/Additions Other Funding Sources/options? Planning/Process status 7. River Oaks Operating Results 7.Public Safety Facilities Update Business Expansion Options? HERO Center Facility Upgrades needed? Fire Station Planning 8. Facility Planning and Costs 8.Public Works Facilities Update HERO Center Future Location/Planning Fire Station 2 Rebuild Update Former Pool Bldg Update 9.Parks and Rec Update Stations 1,3,4 Plans Inclusive Playground PW Building relocation or rebuild YMCA Joint Programming Dodge Nature Cntr Update 10.Budget Projections/Planning Compendium of Council Strategic Planning Topic Priorities January, 2015 1.Development/Commercial Development Grove Plaza/Home Depot th 80 Street Crossing Gateway Hotel Shoppes @ CottageView End User Targeting Norris Marketplace Corner Rodeo/Majestic Other Vacant Commercial Plan for more Development and Commercial expansion Recruitment options beyond ICSC Lower Residential Property Tax Share Population Expansion to Grow Business Investors Diversify Retail/Service Economy 2.Business Park/BEC Plan for expansion (how and where?) BEC Update/projections/leasing status and prospects, Net Revenue Recruitment Options beyond ICSC Business Park Prospects Business Park Development Create a Theme for Business Park Help Leafline successfully startup Help Current Bus Park Businesses Expand Recruit at least one new Business to the Bus. Park BEC Occupancy to at least 60% Board to Review effectiveness of current structure 3.Infrastructure Improvements Programming/Funding Keats/Hwy 61 th 70 Street Jamaica th 65 Street th 80 Street Pt. Douglas/Jamaica/Cub bottleneck Limit Residential Impacts for Pavement Mgmt Costs 4.Public Facilities/Programming HERO Center Fire Station Rebuild Update Plans for Stations 1,3,4 Public Works Relocation or Rebuild and Planning Inclusive Playground YMCA Joint Programming Dodge Nature Center Update Referendum for Community Center? Former Pool Building Update? Other Funding Sources/Options for Community Center? Create Additional Amenities including Community Center 5.Highway 61 Corridor Improvements Beautification: Public Landscaping/Lighting Sieben Bridge Highway 61 Welcome Monument Blighted Properties Corridor Fencing Repair Improve Pt. Douglas Access Seek Funding Alternatives Need a (Master) Plan 6.Housing Growth and Diversification Apartments/Condos High Density Housing/Residential Summerhill Crossing Status Affordable Sr. Housing Options Active Sr. Living Options Townhomes/patio homes RFP’s for above or other options to encourage? Subdivision Status Update Limit Residential Construction Fees Family and Sr Affordable to High End Rental 7.River Oaks Operating Results Business Expansion Options? Facility Upgrades Needed? Expand Restaurant Operating Hours Provide High Tier Dinner/Wine Menu Analyze Banquet/Wedding/Event Results Add WI-FI Consider leasing or contracting out F&B Provide Charitable Event Pricing Leverage Tourism Opportunities; Ravine Park, River et al Grow Golfer customer base Grow per unit sales results Grow Restaurant Client visit duration Increase Community Awareness/Perception 8.Budget Planning/Impacts 2016 Budget Projections/Planning Prioritize Pavement Management Discuss Collector vs Neighborhood project priority Increased Revenue Options Increase Development Generated Revenue Decrease Expenditures; Options? Levy projections and levy impacts Provide Fund Balances for All Funds 9.Personnel/Operations Evaluate current staffing resources vs. Business Needs Update for Talent Development and Training Discuss Organizational and Department Culture; in line with desired culture? Do current staff reflect and support our brand? Are Organizational and Department Leaders addressing performance problems? Is FD Duty Crew model working? Measurement and Communication of G2G achievements (internal/external) Create Program Evaluation Procedures to ensure value for costs/charges 10.School District Planning/Process Status Documents: Compendium of Council Strategic Planning Topic Priorities January 2015 City of Cottage Grove Minnesota To: City Council From: Danette Parr, Economic Development Director Date: January 14, 2015 Subject: 2015 Goals Setting/Strategic Planning Workshop The below exhibits are attached and will be discussed as a part of the development update and economic development discussion at that upcoming Strategic Planning Workshop:  2009 Retail Sales Potential Study  BEC Floor Plans  BEC Budget  ED Budget  Vacancy Data  Memo of Development Challenges and Options  TIF Revenues Through Time  Existing TIF District Revenues/Expenditures/Debt Closure  Growth Partners Advantage  Business Park Tax Generation COTTAGE GROVE ' DElVlOGRAP�IIC CI�ARACTERIS'I'ICS AND RETAIL SALES POTENTIAI� Prepared for City of Cottage Grove September 2009 � ��-� ��co� GROV� Lta.. � R E A L E S T A T E A N D �_� t_J L� R E T A I L C O 1�1 S U L T A N T S COTTAGE GROVE RETAIL POTENTIAL Cottage Grove's two retail areas serve the growing southeast Twin Cities Metropolitan Area. ' Cottage Grove, established in 1843, has a rich heritage and an expanding future. Factors that support retail and service development in Cottage Grove include: ' ♦ Cottage Grove's retail areas, anchored by Target, Kohl's, Cub Foods, Rainbow Foods, ' and Menards, contain 63 retail stores and 76 service establishments. o Cottage Grove's trade area had a 2008 population of 84,064 living in 30,758 households, which are projected to increase to 34,150 in 2013. ' ♦ Average trade area household income was estimated at $85,084 in 2008 and is expected ' to increase to $96,413 by 2013. ' ♦ In 2008, over half of trade area households had incomes above $75,000, which is expected to increase to 60 percent by 2013. ♦ Trade area households with incomes above $100,000 in 2008 were estimated at 10,560 and are expected to increase to 14,541 in 2013, a 6.6 percent rate of growth. ♦ In 2008, 17,433 trade area residents had a college and/or a graduate degree. This group is expected to increase to 21,497 in 2013, a 4.3 percent annual increase. ♦ Over half of the trade area population will be in the prime working age of 25 to 65 in 2013. ♦ Homeownership exceeds 90 percent in Cottage Grove and 81 percent in the trade area. ♦ Nineteen major area employers have an average of over 5,500 employees. ♦ Cottage Grove employment was 6,673 and trade area employment was 24,148 in 2008. e Cottage Grove's two retail areas benefit from high traffic counts on Highway 61: 40,500 average daily trips at 80 Street and 32,500 trips at Jamaica Avenue. ♦ Highway 61 has been upgraded to freeway status by recently completed interchanges improving regional access. ♦ Regional access will be further increased by completion of the expanded I-494 river crossing and interchange with Highway 61. o Improved accessibility will increase business and residential development within Cottage Grove's trade area. ' Cottage Grove's positive economic attributes, trade area population, and upper income ' households provide support for expanded retail stores, restaurants and services. ' Significant trade area demographics are contained in Tables 3 through 12. Demographic ' comparisons are also provided for City of Cottage Grove, Minneapolis-St. Paul MSA and United States. Full demographic comparisons are attached. ' 1 80TH STREET RETAIL AREA E - �' ` '. ._ - , . : , < �, ,. �� = '; _ _ �._.._ .I.�, �� . , ( ' , , �>-;�.. - � _ � � �- �� =:�.� � _ �, � ; , .�,�;:�s , , 1 , i�� -- - ... „�„ i � �� r k.FY�71� � I 1 'r, � ■�r�� +t � ' • i ,�,�� ,� �•� � is` -- t�,,,' ` � _ _ � ' , . , .. .- , .. _ �,v.� ' _ _ . _. I Anchored by Kohl's and Rainbow, this retail area contains 36 retail stores and 45 service establishments and has land for more. �.�� I „�, i Traffic counts on Highway 61 average 40,500 daily trips north of 80th ,�� = �=`�:ti,a� " _+ Street and 32,500 daily trips to the south. Daily traffic counts on 80th e . ,�"� �+� ,: � Street or 23,200 east of Highway 61 and 21,500 to the west. Daily r �-' � t ,:r traffic counts on Highway 61 are estimated at 62,000 and 52,000 trips �� + ��! north and south of 80th Street, respectively. � _ : �'� �'�r ___ I _ _ �.r � Table 1 �' �;,, 80TH STREET RETAIL AREA t •?;`� :_ f G: /� ��- .. TRAFFIC COLINTS; 2007 AND 2030 b � ':' �� I Percent � _ � �-- - �_ . � � Actual Estimated Change =i Location 2007 2030 2007-30 ' �. a �:-_ Highway 61* North of 80th St 40,500 62,000 53.1 % South of 80th Street 32,500 52,000 60.0 � r � *� I�` � "'~��-� _ -� . 80th Street S. Mr�,� . . `"�:; East of Highway 61 23,200 25,000 7.8 % �--� ��"'� �.�,�;'��--, � WestofHighway6l 21,500 24,000 11.6 - " ' �_'�°��i,ir � �. t ��1 * Traffic coun[s are for 2006. - '�-�' �' - N/A: Not Available. ` - -a-- i �''- I Source: Minnesofa Depar[ment of Transportation and McComb Group, Ltd. � - ��- -- - � - � - � - �-- - - � - � � �'' '� �—_�_-�� - �....-- � � :: ��E� ,� r�, r fi ,,r f �' �--�~�� " � � _ . . � F �' __ _- . - _ ,� - , � _,___ o - � . � --- - ._ - — - � �, 3 � �� .,� � � t3 ?�� .�.w �� , _ y �� y '`� — _- ,, ;� ' �, �; . � :�,..p..,�.. �__ � -._:, .. '.- � :,= ... �'� �(�". , � � � ,( € '< ' � � � � �,�._ ` -- - -� 2 JAMAICA RETAIL AREA -- : �� r ►, �'*� -_ � �. - - �, � - -___� � �1� 1 _ _ ,�.. � � � L �yr�- ��'� � . _ '� � �- r �' _ b �f `� �. ..�..s; � _ . � �;_ s t � � , :� 9 r ; � ' ..�,. _ � �:� , � �� { �i ,� t:. `� �3�r_ - _'s � �„��1��; _ .. ' . -- �i - - -_- -- � - - � --�-;.,� � � _ . ._ . � ,. � - . . �, � ;�. - = -_ . .:. ....__ .._.- � �r__,. _�.,_..__. ._ .. ._�' _.... .. ' The Jamaica retail area, anchored by Target, Cub Foods, and Menards, is expanding south toward Keats Avenue. The area includes "�-`�----�_ 30 retailers and 32 services. ,.,. ��`�� ., � Traffic counts on Highway 61 averaged 32,500 north of Jamaica '�� - Avenue and 28,500 south of Keats Avenue in 2006. Traffic counts � �� [....._ .i � . averaged 19,400 on Jamaica east of Highway 6L In 2030, average � •� v= `� daily traffic counts on Highway 61 are estimated at 52,000 north of C '4 . '� �_ ` Jamaica and 38,000 south of Keats Avenue. Table 2 JAMAICA RETAIL AREA �� TRAFFIC COLTNTS; 2007 AND 2030 ' .�� li Percent - f Actual Estimated Change ��y -� •�� ' r',-�--; � ' : Location 2007 2030 2007-30 �� Highway 61 < North of Jamaica Ave 32,500 # 52,000 60.0 % ___ South ofJamaica Ave 24,100 � N/A N/A South of Keats Ave 28,500 � 38,000 33.3 Jamaica Avenue , East of High�vay 61 19,400 21,000 8.2 % r West of High�vay 61 9,300 N/A N/A -"� � Innovation Rd./Keats Ave. � {- . 1 I � 3 East of Highway 61 �,600 22,000 292.9 °�o �s,' - • :_�. ' � �_ ` West of High�vay 61 2,800 N/A N/A ` '�� y��''- �� • Traffic counts azz for 2006. � � � - �_,� � - . . _ - , - - �.---- �.�� N/A: NotAvailable. ` - --- ---, Source: Vfinnesota Department of 7'ransportatio� and McComb Group, Ltd '�r' � '� � 1 � .' O ,' � � - � � � �- >.� � __ F��--�.� s . �_ � , � -- �:..�,4: - � i �a o r . . _ . . . . B � . ■I. 1 ir �:I'. � � 'T i - � ' . 4s. k : -._ � _�. + , .� I � ( ■ � ■11 1 � � 'N i � t � � � Etlau / 4 � � � �+1la'��'c�`.xQ+c.�i "'� - r - - "�� "' � o (� �� y � �w., �� ' ii�� - � ''~�� fii�� ....32�2w."�' ! - ,.r w k -�::...- . .... �� G.y ' iY �� ..�.! 6f .� �� . -__ _ _ _.- -_._ __.. . u ' ��irw.� t 3 U�'�'EF� LEIJEL FL��F� F�LAhJ - - � - Existin� ��nditi�ns, with �uite C�pti�n� �ha��n : . : ` : BEC --� �� ,F ., � . � .. 7516 80t" St. S., ;;�� .�. ; k �� :,, Cottage Grove, MN �� . �.� 55016 �' ` �� t �° _ �� , � �,�. i ., �� . . ° . � k �� :-�' � ��.�: Assigned Suites �,� �� `� Conexs ace — Suite 146 � � PremiepBiotech —Suite 165 �'�` ` ��'� �'4 �+��H x � � � I� �`�' ENTRAIVCE �. � ��>.� Renew Solar — Suite 202 �.� ... ,��;;:: Chamber of Commerce — Suite 205 `� �� :s�� ,��:,: :...h�� .�;; ' : '''`�`�� ``�.\��`�.\��\� k �: ; `z : �� ` �� .: ..�� ''.°�.:; : .•h� ��.. #146 ; �h ��; h;� ��k� �� :� �� <: �> ;,;'�:«:�� ....��:��. �.. ,�.� �k�,. �.. ,R�: � �� <;�� ,.;�k � . � �� . .. :� �� ,�. �� . � \\ ;;.>��.;�.... .,.:kz� :.:>.:.� ;.*;, . : � �� .�k. Tenant :::~�k;; .�.�• .�`,'ry.;.. *:1�� . �:=:;,;:: Occupied , � � • .��':�;. ;:k ��...,:�.� :;:�..;;.;.. „� �� *;:~� ,. ' �;::,: ;, ;?`�:;`` ..� : :.�ar.,..:.,;.: ��:�° Area not ��h� \.�� k`h��`` for Rent � �_. _ . _ - . . _ . ,'�;a #165 #165 L�VV�'EF� LE�'EL FL�t�R �LA��V sEc Existing �c�nditic�ns, wi�h �uit� �pti�ns �hov�rr� 7516 80t St. S., � � � � � � � � � �� Cottage G rove, M N #250 55016 GARAGE Assigned Suites ��;k>s Chamber of Commerce - 205 � � � Renew Solar Store - 202 � �: �� Premier Biotech - 210 & 240 .,�...�.. . . ,�,.� ws ��'� � L��JJ�K ,�,'�. � � �: �`�: � `��" American Nursing & Tech Institute - 241 & 250 .., :�:s : - ;;�;;, k .,.;�� ....\'l � ti*� � , � i*�l _.. _ i p 1(•, �..•. ._.. .v.N _ .� � �� k�� - ti�; � �\ ��:��. . � '��< . z O�FIGE #241 . � � �_ . . _ _ �� _.r . � � - s ' • \ � ` �w�cii � az3 sr #24(� . � 4 � . ' , � ' �.� _ „��„�„�r, .. ��:>...` � �� ';� . - � .. � . ��'�� . � � � � �� \ . .. - —L FF[{E �, r �� \� �<x.� � � � � �� : � . \�� ♦ �� . • ].i � Tenant _u�E [: ��=a�r,¢ ' ��: ,� _ Occupied K � � �� =� �� #202 #210 ,, � �:` L[aWER Lf'�� , � } AA�sIN ENTRY ��<. Area not [iFFI�CE �� ` ,:Hallwa ............ .:. �U1TE F � ' for Rent Y �:�� 4�FFIC'E � � s '°`� �.� Sr _;UITE E ��'��,: �205 ��'*�;: ��` ., :�::� � � �` ! �'�'�.+^.G�9.,�.r�° p - . � .%`i . C'/, i •43 G;?'�: - t�= Ss.i SF :� �� ' � ,�, ��;1- � �� ... c . ,, ..�_"='t I i�� I ♦ w .:� �� . .� a.6 l � � � B.�.C. {Busines�s Enterprise Center) . 'I 2I3'[f20'14 2(1'13 , �-� . L�`�'0'14t�}'=`°�!f' 2(}14 2{I"t5r ZO'16 �;�t��;, �; �-r �, � ��ixc�ge��4 actual Budget �udget actual �,_�;_-�_,:;��:,: r, _.,��. 38�0 Inuestrr�en# interest ��',`�� . .<`�_�� ' '' � _� �� 3814 Rentallncome ,� �"-"�°`� ��t'��.�e>� BEC Etentals 5,579 3 �96,�'��;' 34,259 6t},t70{} 96,000 F �Xi� yti'S��i�i i� B�C Tow�r Ren� 28,684 �`�` �s�� `��9�}0�0� 57,879 60,Q0t} 60,000 655 �� "�� 3892 Donations �, �� - 3829 Misc. other ' ''�`' ��°�� 98 �'�� ; �;� 'Total Revenue � �4,9.18 ��'��'� �in�; 92,25fi 'i20,000 1�6,000_ �:��;��2. � ; �, +ii ,� y i ,� : ,r,� � - i �� +�*�"� � 5� coMnno�rr��s � ��a� �r ��'�� z 429� Qperatingsupplies 1,681 e. `'��;�;�� at ��°� � 42T2 C3peratingsup�rliss-bidg 3,394 �,�`;�`�TF�" ; 4,1�3. � 2' a rt :i t+l��x : ,� �,aJ,i.4�*i��v£?"F'� ! . iay,� l: Tr�. `� Capital oulay < $5000 �;;. ��'��.�`��' �a,,.� .� � --° � i = '�:%ii3:° '$ j �:r�t."�'i'� � `� �rr�:-'��: �""4�{� �G� +��fijj�'� � 3 � I Tata) Comrnadities 4,99� :��;�'�'��;>��F 4,635 � . `�.�ayk,�'t�:H�i, J: #� , : -� : ':, : _�*��;�Q:,�,t;,. a. cor�r�cTUA� s��vrc�s � �a��'° `�$� � �`.' :; ��:. t � �k4i��r!i.�:Yi's� � ��oa �r��. ��r��S aa��nrM��t�� n . � ��s�� ;� - x �. �� ,�� r,,; � aso �� o�o �z aao . 4300 Prof. services other 7,528 , � , -� ��; , ' _ 4302 �ega1 Seruice 789 ;{:,� ,� � 491 � ��a x � �}�� }�� .�7.�}�} � 4305 �ees for service 3,559 �� ,� , ��,, �� ,` � 43�0 Camtnunicati�n 480 �� 4 6:,, �', 2,032 ��? �� r `. : , � 439 9 Pastage _ � �� 4 �,, � _ _ e t et i� �� 432"1 aata Process9ng 550 ��€ t � 3�3 z'�� } i'e��i 434U Printing 222 _�� ,e � 295 3{�� 300 E�� : �,oc�a �,c�oo 4341 Advertisinglpublishing ��r�� e° - � �" ��TF� � $ 4350 Property insurance _��`��F e _ F�`� ;�� 5,25� 5,2�0 �,2�0 , �� .. �fi: 43fi0 Utilities �a,569 ��;�`;��¢�'° `'��45�� 24,884 96,QQ0 ��,{�00 .��, � �� ' 4372 Maintenance & c�perations - ;�� w4 a �. - `,�Sy�,''s �'``� 26,8�� 2�,t}�}0 25,000 4372 Maintenancelrepair-bldg 22,�10 ;�'�� *�;��:� ��,r=`�, h,��; 4380 Renfa1/lease 3,29'� ,.�� 2,398 3,200 3,20{T, � �� `*'��: 4,796 'i6,0d0 36,C�Oa A405 CleantUVaste Remu 550 `�'�``'� �� i i�� 44Q7 Pr� ert Taxes _ , } � �,-��§§�� _ a.,:,;.- ��..� , ,� � - "T�4x: T �+ A Y °;: ��rt, r _,�_��, n �� 4434 �pecia� Evenfs _ T"�� ' *�,.� '��:�n:T��,��'��.�:� �,Ot�O 2 0�0 � �� ,: ,_ . . Tatal Cont�ac#ua1 Se[vicss 54,96'1 ��F��;£6�,��x,�8�� 74,321 89,30Q 89,75Q �- ��*�� CAPITAL C1UT�AY �`��' ��•�`�� :�E�� , 45�}0 tJther capital t�utiay �44,549 ,,,,,:�, �,980 3fl,0{}0 3t},0t}D . �� , y t�� . f � � � 4 Tofial Capital Uutfay 44,54J �`�.. }'�5,O�L5� 5,980 30,000 3Q,000 ;f'�� ` � '�` t � �� .�� Tafial Expenditures �104 505 �� * �.� : ,.t14,�0�Q� 72 976 7� 9,3�0 1'i 9,7�0 ,,. , } �t �;��"'�; u � .��.,�� TQtal Revenues aver expenditures (69,587} �� ,,��25;6 �19,280 700 3�,250 ,�� - � �.�� . a;�� T � y ;±� ; Cumuiafiive operations total {69 ,�s�} {�� {�o,�a7} {��,sor} {��,�� ; .��fi i � FUNCTION General Government DIVISION 285 DEPARTMENT Economic Develo ment PROGRAM EDA-1135 MISSION The mission of the Economic Development division is to recruit and retain quality commercial/indusfrial partners, while supporting job growth. This mission is supported by the following principles: Encourage qualify commercial and industrial development that enhances the quality of life for Cottage Grave's citizens and is compatible with the Gify's Comprehensive Plan. Utilize sound financial practices in using incentives to attract and expand businesses in the communify. Consider the use of incentives in instances where they will promote quality jobs and development for the City. Recognize the interdependence of the private and public sector in a healthy community and foster a spirit of cooperation between the two sectors. DESCRlPTION OF ACTIVITY The Economic Development Authority is a seven member board that provides public development in various activities to prom�te economic growth in the City. It is the business development entity of the City. Activities include strategic planning, program implementation, financial program management, sponsorship of BEC (Business Enterprise Center), and business park development. The Growth Partners Division provides strategic leadership for marketing to promote grow#h of the tax base and business retention within the commercial, industrial, and residential areas of the community. The Division will utifize relationships and networking with established and new Growth Partners in a collaborative effort to achieve high economic development. FIVE YEAR GOALS '" Assist existing job creators in the business park when expansion opportunities exist and assist in the development of at least 3Q0,000 SF of additional quality business park end users. * Lease out to quality tenants and maintain a vibrant growth environment in the BEC. * Strive to achieve and then maintain a retail/office vacancy of 5% to 7% of tofal retail square footage within the communify. '� Realize substantial development of the Shoppes at Cottage View. * Gain approval of a development plan for West Point Douglas between 80th and Jamaica (property owner dependent.) " Maintain aggressive public communication to Cottage Grove residents, property owners, external devel- opers, brokers, investors and end users of job, business creation and development opportunities in the � community. 149 MAJOR OBJECTIVES FOR 2015 1. Complete the repurposing of the Home Depot site. 2. Develop the City owned parcel on Hardwood Avenue. 3. Continue to support the build ou# of the Norris Marketplace site. 4. Increase awareness and support for BEC. 5. Prospect for business park. IMPACT MEASURES Actual Actual Estimated Prajected Projected Item 2012 2013 2014 2015 2016 Proposals prepared 15 18 22 24 24 Developer visits 20 24 26 28 28 EDA meetings 11 10 9 11 11 Square feet constructed- 2 71,787 25,466 130,000 80,000 Industrial Square feet constructed- 13,000 3,608 225,267 160,000 100,000 Commercial 5quare feet constructed — 0 0 0 34,000 0 Multifamil OUTCOME MEASURES Actual Actual Estimated Projected Projected Item 2012 2013 2014 2015 2016 1) Number of businesses � 3 4 5 6 expanding in Cottage Grove 2) Number of new businesses $ g 10 11 13 locatin in Cotta e Grove Regular Status Personnel Schedule- FTE's Budget Budget Budget Budget Position Title 2013 2014 2015 2016 City Administrator 0.10 0.10 0.10 0.10 Finance Director 0.05 0.05 0.05 0.05 Econ. Develop. Director 1.00 1.00 1.00 1.00 Econ. Develop. Specialist/Tech 1.00 1.00 1.00 1.00 Admin. Assistant 0.10 0.10 O.OQ 0.00 Total 2.25 2.25 2.15 2.15 150 CASH BALANCE TARGET In an effort to assure fund stability, cash balance targets are established based on future demands on the fund resources. This chart reflects historical trends and future expectations. EDA Fund soo,000 600,000 R00,000 � Revenues �� Expenditu res Zo0,000 r— I � �Year End Cash Balance I � I 1 � �Cash Balance Target I 1 (200,000) (400,000) t600,o00) 0 0 0 0 0 0 0 0 0 0 N N N N N N N N N N 151 CITY OF COTTAGE GROVE ANNUAL BUDGET EDA FUND FUND SUMMARY 2012 2013 2014 2015 2016 ACTUAL ACTUAL BUDGET BUDGET BUDGET $ � � $ � REVENUES 3011 Propertytaxes 106,365 106,991 108,100 111,500 111,500 3809 Interfund interest 18,000 381� Investmentinterest 1,785 (901) 2,000 2,000 2,000 3814 Rentallncome 11,550 12,100 12,000 - - BEC Rentals 9,196 96,660 60,OQ0 96,000 BEC Tower Rent 28,684 29,000 60,000 60,000 3816 Refunds & Reimb 10,000 3829 Misc. other 10,199 9,725 7,500 7,500 7,500 Total Revenue 147,899 175,795 255,260 241,000 277,000 EXPENDI7URES Personaf services 214,568 217,550 226,900 225,000 235,900 Commodities 2,474 76 1,200 1,200 1,200 Contractual services 109,191 81,593 49,245 75,825 76,125 Capital outlay - - - - - B. E. C. 5 082 222,917 100,000 119 300 119,75� Total Expenditures 331,315 522,136 377,345 421,325 432,975 Transfers in (out): Golf Course (1,020,000} ED Trust 30,000 30,000 30,OOa 30,000 30,000 Total transfers 30,000 990,000 30,000 30,000 30,000 Fund balance, beginning of year 1,698,359 1,544,943 208,602 116,517 (33,808) Net income before transfers (183,416) (346,341) (122,085) (180,325) (155,975) Transfers in(out) 30,000 990,000 30,000 30,000 30,000 Fund balance, end ofyear 1,544,943 208,602 116,517 33,808 159,783 Budget Additions in Budget None Capital Outlay in Budget 2�15 Capital Outlay at BEC 30,000 2016 Capital Outlay at BEC 30,000 152 CITY OF COTTAGE GROVE ANNUAL BUDGET FUNCTION: FUND: PROGRAM DEPT # Special Revenue EDA-285 1135 12 Summary of Expenditures 2072 2013 2014 2015 2016 AGTUAL ACTUAL BUDGET BUDGET BUDGET � $ � $ � PERSONAL SERVICES 4100 Salaries-full time 176,206 173,647 181,800 177,300 183,400 4120 Salaries-seasonal 4141 PERA 10,213 11,507 13,10D 13,400 13,800 4142 FICA 12,199 11,596 13,900 13,600 14,00� 4144 Health Insurance 15,625 19,800 17,100 19,700 23,700 4148 Worker's Compensation 325 1,000 1,000 1,000 1,000 Total Personal Services 214,568 217,550 226,900 225,000 235,900 COMMODITIES 4200 Office Supplies 120 76 700 700 700 4210 Operating supplies 2,354 500 500 500 Total Commodities 2,474 76 1,200 1,200 1,200 CONTRACTUAL SERVICES 4300 Professional services 31,767 14,660 7,900 15,500 15,500 4301 Engineering services 599 5,020 2,000 3,500 3,500 4302 Legal Service 34,378 19,816 5,000 10,000 10,000 4305 Feesforservice 422 258 1,000 1,000 1,000 4310 Communication 4311 Postage 1,579 1,026 2,700 2,700 2,700 4321 Data Processing 3,750 3,25� 4,150 6,375 6,375 4340 Printing 2,620 1,156 1,500 1,500 1,500 4341 Advertising/publishing 963 2,000 2,000 2,000 4350 Property insurance 10D 500 500 4360 Utilities 209 4361 Xcel street lights 43T0 Maintenance/repair-equipment 1,684 4401 Dues and subscriptions 250 1,750 2,395 2,150 2,150 4372 Maintenance/repair-bldg 438� Rental/lease 4405 Clean/VVaste Remv 4403 Travel/training/conferences 5,896 3,209 2,600 3,400 3,400 4407 Property Taxes 9,096 9,200 9,200 9,500 4434 Special Events 17,77� 20,350 18,000 18,000 18,000 4449 Other Contractual 5 Total Confractual Services 1Q9,191 81,593 49,245 75,825 76,125 CAPITAL OUTLAY 4540 Other capital outlay - - - _ Tofal Capifal Outlay - - - _ _ OTHER FINANCING USES 47�0 Other - 1,020,000 - _ Totai Other Financing Uses - 1,020,000 _ Total Expenditures 326,233 1,319,219 277,345 302,025 313,225 153 CITY OF COTTAGE GROVE ANNUAL BUDGET FUNCTION: FUND: PROGRAM DEPT # Special Revenue EDA-285 � 140-BEC 12 Summary of Expenditures 2012 2013 2014 2015 2016 ACTUAL ACTUAL BUDGET BUDGET BUDGET $ $ � COMMODITIES 4200 Office Suppiies 4210 Operating supplies 1,652 4272 Operating supplies -building 96,407 Total Commodities - 98,059 - - - CONTRACTUAL SERVICES 430� Prof. servicesAdmin/Marketing 9,291 16,656 12,000 �2,000 4300 Prof. services other 4302 Legal Service 789 4305 Fees for service (mgmt) 3,559 6,750 8,550 9,000 4310 Communication 4 480 6,365 4321 Data processing 550 434Q Printing 222 300 300 4341 Advertising/publishing 121 1,000 1,000 4350 Property insurance 5,250 5,250 5,250 4360 Utilities 3,128 15,561 6,450 16,000 16,000 4370 Maintenance & operations 641 4372 Maintenance/repair-bldg 659 22,511 23,484 25,D00 25,000 4380 Rental/lease 549 3,211 3,200 3,200 4405 Clean/Waste Remv 101 16,036 16,000 16,000 4407 Property Taxes 4434 Special Events 2,00(1 2,000 Total Confractual Services 5,082 72,331 64,955 89,300 89,750 3, 559 CAPITAL OUTLAY 454Q Other capital outlay 52,527 35,645 30,000 30,000 Total Capital Outlay 52,527 35,045 30,000 30,000 Total Expenditures 5,�82 222,917 100,000 119,300 119,750 154 City of Cottage GroveJanuary 2015 COMMERCIAL PROPERTY INVENTORY GROSS FLOOR EST. VACANT DISTRICT CATEGORYADDRESSAREA VACANCY % BUSINESS NAME (sq. ft.) (sq. ft.) Gateway NorthBig Box Retail7210 East Point Douglas Home Depot95,09695,096100% Gateway NorthBig Box Retail7282 East Point Douglas Rainbow65,00065,000100% Gateway NorthBig Box Retail7990 Hardwood AvenueKohls96,75100% Sub-total256,847160,096 62% Gateway NorthGeneral Office7663 - 79th St Park Grove Pet Hospital4,84700% Gateway NorthGeneral Office7729 - 79th StOrthodontics by Hipple4,35200% Gateway NorthGeneral Office7350 - 80th StColdwell Burnet Realty8,00000% Gateway NorthGeneral Office7676 - 80th StKOK Funeral Home14,38200% Gateway NorthGeneral Office7702 - 80th StCG Chiropractic2,50000% Gateway NorthGeneral Office7450 East Point Douglas Germo Insurance1,15200% Gateway NorthGeneral Office7155 East Point Douglas TCF Bank4,50000% Gateway NorthGeneral Office 7200 East Point Douglas Merchant's Bank6,37200% Gateway NorthGeneral Office 7362 East Point Douglas District Service Center54,96800% Gateway NorthGeneral Office8063 Hadley AvenueState Farm/Dental2,96000% Gateway NorthGeneral Office 7606 - 80th StQwest8,60200% Sub-total112,63500% Gateway NorthGeneral Retail7135 East Point Douglas Walgreens15,12000% Gateway NorthGeneral Retail 7180 East Point Douglas Hollywood Video6,65600% Gateway NorthGeneral Retail 7430 East Point Douglas Sherwin Williams3,20000% Sub-total24,97600% Gateway NorthMulti-tenant Office7791 - 79th St Oral Surgery Center6,0162,10235% Gateway NorthMulti-tenant Office7200 - 80th StUS Bank6,08500% Gateway NorthMulti-tenant Office7420 - 7430 - 80th St Oak Park Commons14,5003,41124% Gateway NorthMulti-tenant Office7449 - 80th StProfessional Associates1,64240024% Gateway NorthMulti-tenant Office7460 - 80th StAvalon Building7,65000% Gateway NorthMulti-tenant Office7500 - 80th StHealthPartners Clinic5,13300% Gateway NorthMulti-tenant Office7501 - 80th StProfessional Center14,2481,51511% Gateway NorthMulti-tenant Office7516 - 80th StBEC18,79013,54072% Gateway NorthMulti-tenant Office7584 - 80th St Lindquist Building8,7002002% Sub-total82,76421,16826% Gateway NorthMulti-tenant Retail7155 - 80th St80th St. Village Green15,6545,50135% Gateway NorthMulti-tenant Retail7420 - 7430 - 80th StOak Park Commons14,50000% Gateway NorthMulti-tenant Retail7421 - 7430 - 80th StCG Medical Dental5,13300% Gateway NorthMulti-tenant Retail7422 - 7430 - 80th St Gateway Center12,7301,52712% Gateway NorthMulti-tenant Retail7423 - 7430 - 80th StStarbucks/Red Nails2,90000% Gateway NorthMulti-tenant Retail7424 - 7430 - 80th StGrove Plaza - Bingo Hall43,00019,00044% Gateway NorthMulti-tenant Retail7425 - 7430 - 80th St Optical2,24000% Gateway NorthMulti-tenant Retail7426 - 7430 - 80th St 80th St Crossing51,10931,77462% Gateway North7427 - 7430 - 80th St G-Will12,57600% Gateway NorthMulti-tenant Retail7428 - 7430 - 80th StShoppes at Gateway16,8984,19525% Sub-total176,74061,997 35% Gateway NorthRestaurant/Entertainment7175 - 80th StDairy Queen70000% Gateway NorthRestaurant/Entertainment7165 East Point Douglas Perkins Restaurant5,63200% Gateway NorthRestaurant/Entertainment7185 East Point Douglas Arby's Restaurant2,52400% Gateway NorthRestaurant/Entertainment7355 East Point Douglas McDonalds6,14000% Gateway NorthRestaurant/Entertainment7350 Ha rwood CourtRuby Tuesdays5,80000% Gateway NorthRestaurant/Entertainment7998 Ha rwood AvenueCulver's4,27800% Sub-total25,07400% Gateway NorthService7125 - 80th StWakota Inn13,58400% Gateway NorthService7201 - 80th StValvoline Rapid Oil1,43200% Gateway NorthService7071 East Point Douglas Tutor Time11,80000% Gateway NorthService7162 East Point Douglas Super America3,72300% Gateway NorthService7199 East Point Douglas Tires Plus7,19700% Gateway NorthService7375 East Point Douglas Muffler Doctor3,15000% Gateway NorthService7470 East Point Douglas Transmission Service, Inc.2,85000% Gateway NorthService7510 East Point Douglas Sunbelt Auto Sales5,08000% Gateway NorthService8101 Hadley AvenueHoliday Gas4,99300% Gateway NorthService8118 Hadley AvenueHanson's Auto Care4,74600% Sub-total58,55500% Total 737,591243,26133% - 1 - C:\Users\nbelscamper\AppData\Local\Microsoft\Windows\Temporary Internet Files\Content.Outlook\XRITLL4J\Cottage Grove Vacancies (Jan 2015)Updated on: 1/16/2015 City of Cottage GroveJanuary 2015 COMMERCIAL PROPERTY INVENTORY GROSS FLOOR EST. VACANT DISTRICT CATEGORYADDRESSAREA VACANCY % BUSINESS NAME (sq. ft.) (sq. ft.) JamaicaBig Box Retail8655 East Point Douglas Target114,30000% JamaicaBig Box Retail9338 East Point DouglasWal-Mart177,70900% JamaicaBig Box Retail8690 East Point Douglas Cub Foods & TCF Bank64,57000% 9000 East Point Douglas JamaicaBig Box RetailMena s161,14000% Sub-total517,71900% JamaicaGeneral Office8136 East Point Douglas CG Animal Hospital2,78400% JamaicaGeneral Office8451 East Point Douglas Physicians Neck & Back9,80000% JamaicaGeneral Office8770 East Point Douglas Wells Fargo Bank8,25000% JamaicaGeneral Office8400 East Point Douglas District Program Center52,00000% JamaicaGeneral Office13000 Ravine ParkwayCounty South Service Center40,34500% JamaicaGeneral Office12800 Ravine ParkwayCG City Hall67,00000% Sub-total180,17900% JamaicaGeneral Retail8401 East Point Douglas O'Reilly's Auto Parts6,00000% JamaicaGeneral Retail8460 East Point Douglas Auto Zone4,89600% JamaicaGeneral Retail8617 East Point Douglas Top Ten Liquor7,00000% JamaicaGeneral Retail8621 East Point Douglas Payless Shoe Source3,06000% JamaicaGeneral Retail9010 Jamaica AvenueOffice Max19,72000% Sub-total40,67600% JamaicaMulti-tenant Office8750 - 90th StGoodhue Adams 6,38400% JamaicaMulti-tenant Office8811 - 92nd StPinegrove Office8,0101,25116% Sub-total14,3941,2519% JamaicaMulti-tenant Retail8455 East Point Douglas Subway & Selvig Jewelry3,48000% JamaicaMulti-tenant Retail8647 East Point Douglas Midas Muffler5,26500% JamaicaMulti-tenant Retail8649 East Point Douglas Mixed Uses3,9332,93375% JamaicaMulti-tenant Retail8700 East Point Douglas 320515,0273,20521% JamaicaMulti-tenant Retail8711 East Point Douglas CG Plaza 28,9412,98610% JamaicaMulti-tenant Retail8475 East Point Douglas Jamaica Square (Edina Realty)13,9084,70234% JamaicaMulti-tenant Retail8800 East Point Douglas Pine Grove Marketplace9,69100% JamaicaMulti-tenant Retail9030 - 9040 Inwood AveShamrock/Von Hanson9,46000% Sub-total89,70513,82615% JamaicaRestaurant/Entertainment8380 East Point Douglas Applebees4,97700% JamaicaRestaurant/Entertainment8479 East Point Douglas Famous Dave's2,97000% JamaicaRestaurant/Entertainment8481 East Point Douglas Burger King3,53000% JamaicaRestaurant/Entertainment8623 East Point Douglas Taco Bell1,97400% JamaicaRestaurant/Entertainment8800 East Point Douglas Old Tyme Fudge 1,14000% JamaicaRestaurant/Entertainment9260 East Point Douglas VFW9,40000% JamaicaRestaurant/Entertainment8639 East Point Douglas Wendy's2,75500% Sub-total26,74600% JamaicaService8350 East Point Douglas Country Inn & Suites45,28800% JamaicaService8420 East Point Douglas Mister Car Wash10,70000% JamaicaService8453 East Point Douglas Kindercare6,19500% JamaicaService8470 East Point Douglas Tumble Fresh3,60800% JamaicaService8490 East Point Douglas BP5,56200% JamaicaService8610 East Point Douglas Holiday3,99000% JamaicaService8799 East Point Douglas Carlson Auto of CG4,88000% Sub-total80,22300% Total949,64215,0680% - 2 - C:\Users\nbelscamper\AppData\Local\Microsoft\Windows\Temporary Internet Files\Content.Outlook\XRITLL4J\Cottage Grove Vacancies (Jan 2015)Updated on: 1/16/2015 City of Cottage GroveJanuary 2015 COMMERCIAL PROPERTY INVENTORY GROSS FLOOR EST. VACANT DISTRICT CATEGORYADDRESSAREA VACANCY % BUSINESS NAME (sq. ft.) (sq. ft.) W. Point DouglasGeneral Office7064 West Point Douglas Youth Service Bureau6,61900% W. Point DouglasGeneral Office8611 West Point Douglas Allina Medical Clinic37,98700% Sub-total44,60600% W. Point DouglasMulti-tenant Office8599 West Point Douglas CG Market Place12,0904,53237% W. Point DouglasMulti-tenant Office8619 West Point Douglas Pointe West Business Centre7,2523,60050% Sub-total19,3428,13242% W. Point DouglasMulti-tenant Retail8601 West Point Douglas Gary Blair Carpet Court, Liquidation Treasure, Whenever Fitness13,22000% W. Point DouglasMulti-tenant Retail8617 West Point Douglas Pointe West Business Centre30,0008,61329% Sub-total43,2208,61320% * W. Point DouglasRestaurant/Entertainment7359 West Point Douglas 25,40000% Rush Nightclub * W. Point DouglasRestaurant/Entertainment9165 West Point Douglas 8,83500% Majestic Ballroom Sub-total34,23500% W. Point DouglasService8607 West Point Douglas Orkin/Douglas Pt Properties, LLC3,25000% Sub-total 3,2500 Total144,65316,745 12% - 3 - C:\Users\nbelscamper\AppData\Local\Microsoft\Windows\Temporary Internet Files\Content.Outlook\XRITLL4J\Cottage Grove Vacancies (Jan 2015)Updated on: 1/16/2015 City of Cottage GroveJanuary 2015 COMMERCIAL PROPERTY INVENTORY GROSS FLOOR EST. VACANT DISTRICT CATEGORYADDRESSAREA VACANCY % BUSINESS NAME (sq. ft.) (sq. ft.) General Retail11180 - 70th St Whispering Ga ens1,86000% Old CG Restaurant/Entertainment7402 Lamar AvenueBoondocks Tavern1,67000% Old CG Service7473 Lamar AvenueGerlach's Service Center9,05000% Old CG Total12,58000% SE CenterGeneral Retail11730 Point Douglas DriveErickson Marine7,54000% SE CenterGeneral Retail11721 Point Douglas Drive61 Marine7,83600% SE CenterGeneral Retail11827 Point Douglas DriveGerlach's Outdoor Pwr. Equip.7,00000% SE CenterGeneral Retail11825 Point Douglas DriveDuBois Design & Remodel2,15000% Total24,52600% East RavineRestaurant/Entertainment7009 Jorgensen Lane Bonnga s3,75000% East RavineService7033 Jorgensen LaneKath Oil4,15000% East RavineMulti-tenant Retail7155 Jorgensen LaneAlmar Village18,6006,22333% Total26,5006,22323% 70th & HintonMulti-tenant Office6936 Pine Arbor DriveSummerhill Professional 39,06212,36532% 70th & HintonMulti-tenant Retail6939 Pine Arbor DriveRygh Commercial10,1842,50025% 70th & HintonService6921 Pine Arbor DriveHoliday Gas4,02200% Total53,26814,86528% Total Vacant Sq. Ft.Pecentage Vacant Total Sq. Ft. 774,566 160,09621% Big Box Retail 337,42000% General Office 92,03800% General Retail 155,56242,91628% Multi-tenant Office 338,44993,15928% Multi-tenant Retail 91,47500% Rest./Entertainment 159,25000% Service ** 1,948,760296,17115% Total * Uninhabitable ** If Rainbow and Home Depot were not vacant, the vacancy percentage would be 7% - 4 - C:\Users\nbelscamper\AppData\Local\Microsoft\Windows\Temporary Internet Files\Content.Outlook\XRITLL4J\Cottage Grove Vacancies (Jan 2015)Updated on: 1/16/2015 Development Challenges with options 2013 (cost verification required) Update December 2014 1. Communitv Center / YMCA / LA Fitness (or similar private sector companv) A. CC: $12 to $16 million plus $250,000 to $500,000 operating loss B. YMCA: $8 million of $12 to $16 million project (fundraising support as well) C. LA: $600,000 to $1.8 million EDA infusion @ Home Depot site D. YMCA @ Home Depot: $2,500,000 2. Home Depot Redevelopment A. City Development: $2.9 million purchase plus $220,000 annual tax expense ahead of tenancy plus up to $8 million in TI/development risk B. Development Partnership: Land expense (see YMCA) plus apportioned annual tax expense plus development risk minus sales proceeds C. Facilitated development deal: See 1 C above 3. Rainbow and Small Tenant Space A. City Purchase and Resale of Both: $13 million purchase; resale of $5 to $7 million; simultaneous closing; potential tax bill: $285,446 B. City Purchase of Small Tenant: $6 million purchase; resale of $2 million 4. Norris Marketplace A. City land purchase of 7 acres @$7:$2,211,391 plus holding costs (prop. Tax) B. Facilitate development: Legal expense plus minor streetscaping up to $100, 000 C. Subsidize development costs up to gross of $7/SF; Parcel A up to $326,340; Parcel B up to $582,190; Parcel C up to $333,172; Parcel D(Housing parcel) up to $911,365 5. Burnet Realtv Site / Costs (avoided with Goodwill Development) A. City purchase: land @$1.2 million plus demo and site prep: $300,000? With sales proceeds: $600,000? Net cost of $900,000 B. Site prep subsidy: $300,000? 6. Hollvwood Video Site/ Costs (avoided with private development plan) A. City Purchase: $1.1 million plus holding cost, minus resale cost: Net of $500,000? Plus development risk B. City Subsidize TI's: up to $500,000 C. 80t" Street Access (in addition to above) $600,000 plus easement cost 7. Rush/Rodeo A. City Purchase: $2 million owner demand plus razing cost plus holding cost (note owner tax appeal represents $300 to $500 K value) B. Redevelopment TIF: 25 year district TIF generation/ front into land cost? Plus infrastructure 8. West Point Douqlas Land Redevelopment (avoided with Appert/Rausch purchase) A. Land Purchase of Hoyt site: $500,000 plus holding and development costs B. Facilitate Development: TIF pass thru 9. Maiestic Redevelopment A. City Development: $1.1 million purchase (confirm) plus holding/demo and development risk minus development proceeds; Net of $700,000 some portion of which is TIF recoverable B. City facilitates development: Pass thru of Redevelopment TIF proceeds plus potential of contribution of City property and relocation expense: net of $100,000 minus sales proceeds; potential of $400,000 net loss up to $200,000 net gain 10. Blockbuster/Burqer Kinq/Famous Daves block A. Facilitate Joint Parking/ lease agreement (private due to's and due from's) B. Purchase of parking field: Land cost plus rehab cost with assessment back to owners 11. Redevelop Wakota Motel Block A. Motel, strip center: $2.5 million purchase plus holding and demo minus sales proceeds of $700,000. Net cost probably in $2.3 million range minus TIF proceeds 12. Business Park (avoided item C; part of Leafline development) A. Land purchase @ 1.75/SF (76,230/acre) or representative option fee to hold B. Spec Building: $55/SF shell plus land cost plus holding cost (30K building on 3 acres = $1.9 million) C. Extend 97t" Street: $704,000 Documents: Development Challenges with options January 2015 Update 199719981999200020012002200320042005200620072008200920102011201220132014Total 1997-2014 TIF 1-1 Oakwood Heights 23,230 19,665 16,627 15,903 18,097 16,679 30,428 26,050 23,790 22,623 22,561 22,209 22,397 23,182 25,193 - - - 328,634 TIF 1-3UpNorth 48,043 40,853 37,548 60,864 54,644 (21,032) 78,426 125,374 121,703 115,735 86,469 102,732 103,604 107,232 116,533 125,667 134,910 - 1,439,306 TIF 1-5River Oaks 56,777 30,329 87,106 TIF 1-7Target 489,082 409,102 225,994 1,124,178 TIF 1-8Cottage of Cottage Grove 61,782 52,617 20,235 20,096 24,208 24,068 48,220 57,871 53,192 32,064 31,976 31,382 31,648 32,756 35,598 36,573 36,571 32,090 662,948 TIF 1-9Renewal by Andersen 225,250 217,646 121,715 144,919 112,255 120,950 107,110 114,553 107,063 1,271,460 TIF 1-10Industrial Park 1,122 11,298 146,001 127,960 172,039 166,655 234,742 194,636 269,990 155,167 (6,734) 1,472,876 TIF 1-11Industrial Park 6,298 5,857 (2,929) 9,227 TIF 1-12Gateway 80,401 174,864 282,349 324,042 376,810 360,900 568,396 742,106 603,051 652,612 698,326 613,904 5,477,760 TIF 1-13Industrial Park 2,629 37,725 80,542 82,157 116,216 98,251 - - 417,520 TIF 1-14Werner Electric 9,969 45,581 76,758 74,711 77,586 77,041 77,309 438,955 678,914 552,566 300,404 322,113 315,717 152,728 534,692 630,231 771,094 770,858 904,836 909,434 1,123,773 1,253,416 946,603 892,438 946,848 723,303 12,729,969 The Growth Partner Advantage Communication of the Business Message and Mission Our business growth mission includes providing access to our myriad communication outlets. Included is periodic reference within our published annual report (on line document with distribution at various events), monthly newsletters (distribution to 12,000 utility business and residential customers), distribution of company press releases through our web and facebook pages, periodic spotlight opportunities through VIMEO and the monthly cable Spotlight show and the opportunity to partner at our various community events (Strawberry Fest, Holiday Train, Nite to Unite and others) and web job postings. Direct Advertising The City has retail operations at our Ice Arena, one of the largest in the state with over 100,000 annual customer contacts, and our 4.5 star (Golf Digest) River Oaks Golf Course with an annual average of 35,000 golf rounds and over 100 banquets, weddings and business meetings each year. Both have various advertising opportunities. Relationship Building Growth Partners is the developer of our successful and growing business park. The Park is currently home to 15 businesses including 3M, Renewal by Andersen, Up North Plastics, Werner Electric MN, American Logistics and others. We host periodic opportunities to interact and partner with these and other businesses throughout the community (4 million square feet of commercial/industrial facilities in total). Our relationships with commercial builders affords streamlined development reviews and construction projects. For Business Park projects we run title through the City and guarantee land development costs; Cost segregation of fixed assets through a third party is available upon request. City Facility Access Our new City Hall has meeting rooms to serve from six to seventy persons to be used by Cottage Grove residents and business free of charge (deposit required) for team meetings and the like (prospect meetings are not available within the facility). City Staff Assistance and Partnership Opportunities 130 dedicated full time and up to 400 part time and paid on call employees work for the City of Cottage Grove. The City seeks to offer our employees opportunities with our business partners and vice versa. For instance, our annual health and wellness fair provides an opportunity for community service providers to display/present to our staff. Alternatively, leveraging the various community events with full participation of staff and energetic support of the City Council assists in the success of these social and business events (Business expo’s/breakfasts et al). BEC (Business Enterprise Center) Growth Partners has developed the BEC in order to provide incubation of start up and early stage Tech and related businesses. Our Economic Development Authority and City Council has dedicated significant funding support for this effort to provide a “farm team” growth opportunity for our business commuinty. The BEC idea affords future partnership opportunities not yet imagined. Financial Institution Partnerships The City is a lead developer or development partner in myriad projects each year. That partnership includes the opportunity to align lending opportunities. A facet of this partnership includes investment relationships between the City and each Cottage Grove institution. Documents: Ashland Credit Union Cottage Grove Business Park Advantages: 1.A metro location that is close and fast to get to (closer in proximity and drive time (from University and 280) distance than Shakopee, Maple Grove, or Blaine – to name just a few). 2.Rail access exists within the park. 3.Land development partnership with Fee Owner reduces overhead and land cost to end user. 4.Long term pro business fast track approach with site plan approvals delegated to staff if needed and development agreements well vetted. 5.Availability of various parcel configurations. 6.Opportunity to create “just in time” parcels with “early start” opportunities. 7.Land sale through City provides “no owner risk” which has all infrastructure in and paid and a site development guarantee. 8.Most sites are sandy soils, phase one environmental work completed for the business park; most recent in 2014. 9.All utilities including storm, sanitary, and water pre-planned. Most storm infrastructure in place; temporary storm water holding requirement with limited site impacts; sanitary treatment plant has excess capacity, water utility looped system, Xcel gas and electric, two substations in town with peaking plant, and fiber extensions available. 10.Fire station/ambulance located within the business park. 11.Highway 61 and Wakota Bridge improvements allow for ease of access and prime truck routes. 12.Below market land pricing exists for qualifyig businesses through TIF District creation. Proposed 2014 Business Park Area Property Tax CityTotal AddressDBAEMVTaxTaxTIF 10500 IdealCrystal Canyon336,3001,66911,786 10870 IdealRogers Auto461,7002,37016,712 10760 IdealRumpca568,2002,64615,744 Subtotal1,366,2006,68544,242 9900 HemingwayResorts & Lodges1,406,0007,64753,804 9850 HemingwayDMC1,905,30010,43673,416 9800 HemingwayModern Automotive1,134,5006,12943,140 Subtotal4,445,80024,212170,360 7900 97thAm. AgCo3,300,00018,229128,200 7900 97th (b)Am AgCo2,616,30014,619102,770 8200 97thAdvance2,145,90011,78182,868 8300 97thTrade Home2,818,60015,539109,292 Subtotal10,880,80060,168423,130 7555 95thAveka CCE1,281,1006,94948,898 7699 95thSchmid Packaging1,446,0007,87055,343 7887 95thPRI970,7005,21436,706 7769 95thICC1,150,7006,22043,776 Subtotal4,848,50026,253184,723 7450 95thWerner Elect. MN6,600,0001,460257,82698,318 9480 JamaicaUp North8,514,70047,366333,036 9900 JamaicaRenewal by And.8,813,00049,033344,752 Subtotal23,927,70097,859935,614 9525 105th St. CtLSP CG2,771,80015,278107,452 7515 95th StreetCG Auto Body1,257,0006,81447,950 7523 95th StreetUSPS2,095,900ExemptExempt Subtotal3,352,9006,81447,950 Total51,593,700237,2691,913,471 3M Cottage Grove Campus35,593,200185,2221,036,452 40 parcels Documents: Business Park 2014 Taxes