Loading...
HomeMy WebLinkAbout5.2a 100th and Jamaica Land Sale Memo TO: Economic Development Authority FROM: Jennifer Levitt, City Administrator DATE: February 4, 2022 RE: Ryan Companies Land Purchase and Sale and Purchase Agreement Background/Discussion The City of Cottage Grove received a Letter of Intent (LOI) from Ryan Companies dated December 17, 2021 for the purchase of the vacant parcel located at 100th Street South and Jamaica Avenue South. The vacant parcel is approximately 13 acres and the LOI includes a purchase price of $1,840,410. The parcel is zoned I1 and the broker is anticipating a 50,000 square foot building on the parcel. Although the end user has not been disclosed because they have an NDA with Ryan Companies, based on discussions with the purchasing broker, it is possible that the end user could find the proximity to Airgas beneficial. The EDA authorized the execution of the LOI with Ryan Companies at the meeting on January 11, 2022 by a unanimous vote. The land within the parcel is owned by the WAG Farms trust. Historically, all land in the Business Park has been sold to the EDA and then sold to end user, allowing for cost recovery to make the site pad ready. Economic Development Authority February 4, 2022 Page 2 of 2 Pursuant to Minn. Stat. 469.105, the EDA must hold a public hearing on the sale of the property and publish notice of the hearing at least 10 but not more than 20 days in advance. Such notice was published in the City’s official newspaper for this hearing. Recommendation 1. Approve a resolution authorizing the purchase of property from WAG and sale of property to Ryan Companies for development purposes. 2. Authorize the EDA President and City Administrator to execute the Purchase Agreement with WAG for the purchase of approximately 13 acres for development purposes. 3. Authorize the EDA President and City Administrator to execute the Purchase Agreement with Ryan Companies for the sale of approximately 13 acres for development purposes subject to minor modifications by the City Attorney. Attachments Resolution Purchase Agreement with WAG. Purchase Agreement with Ryan Companies