HomeMy WebLinkAbout2016-12-13 CC Meeting Packet Enclosure 0
Oak Park Heights
Request for Council Action
Meeting Date December 13th.2016
Time Required: 5 Minutes
Agenda Item Title: Palmer Station/Creative Homes—Third Extension Request
Agenda Placement New Business
Originating Department/It . •r / Eric Johnson.City Administrator
Requester's Signature /f�• G'_
Action Requested Dimes fission.Possible Action.
/
Background/Justification(Please indicate if any previous action has been taken or if other public
bodies have advised):
In July 2014,the City Council approved the Palmer Station Subdivision Plan and Development—allowing for 13 single
family homes via Resolution 14-07-37.These permissions are generally valid for a period of one year.
In June 2015,the Developers(Creative Home Construction Investments LLC)of this site requested an extension of
the one year timeline and which was granted under City Council Resolution 15-06-30 which gave certain timelines for
the execution of the Developer's Agreement and the supply of all securities and platting to be completed by June 2016.
These conditions were not met.
In January 2016,the City received a second extension request from Creative Home Construction Investments LLC
representative Mick Lynskey to extend the approvals through June 2017.Their various rationale at that time included
a "softening of the market". The City Council agreed to an extension but with the limitation that the Developer's
Agreement and required securities be posted by 12/31/16 with construction to commence by that June 2017 timeline.
To date the Developer's Agreement has not been initiated by the Developer nor is there a reasonable expectation that
any work would commence in 2017 as plan deigns should already be underway.
The City has now received a third extension request—dated December 6th,2016 whereby the Developers are seeking
timelines through September 2018.That letter is enclosed,again citing unknown market conditions,etc.
Recommendation:
Please recall the site itself has a planned use of"Low Density Residential"as outlined in the City's 10—year
comprehensive plan and to date Staff is not aware of planned deviation or thought to reconsider this land-use.
(Subject to possible revisions In 2018 Comprehensive Plan Process that as required by the MET COUNCL
process)That said,continual extensions may cause some neighborhood confusion about the viability of the
project and/or if a plan has changed. Moreover,while Staff understands that the Developer has invested in
the land purchase this is distinct from completing a land development platting action or engaging in a
Developer's Agreement.
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Accordingly, staff would not see the practical harm in denying this third extension and requiring the
resubmission when the Developers absolutely know when they would be ready to commit, perform the
development and are ready to proceed-as two extensions have already been provided;thus we believe denial
would be an appropriate action at this time and which would require a resubmission when they believe the site
is ripe for development subject to the rules and ordinances of the City at that time.
creative
HOMES
December 6,2015
Mr,ErlcJohnson
City Administrator-City of Oak Park Heights
14168 Oak Park Blvd.N.
Oak Park Heights,MN 55082
RE:Palmer Station
Dear Eric,
This letter is to request an extension from the City of Oak Park Heights for the Final Plat for Palmer
Station.Creative Homes Is looking to insure the success of this development for everyone and we
continue to monitor the market demandjoondhions to determine the best timing to develop the
property.The current land Inventory levels in adjacent municipalties have risen in Lake Elmo,Stillwater,
and Baytown over the pastyear causing the sales to slow in all these communities.By developing the
additional 13 lots in Palmer Station in 2017.Creative Homes will most likely end up sitting on the
developed lots until market inventory levels decrease or market demand increases In this area.We are
looldngforward to a successful development for the City and Creative Homes and will need to continue
to monitor the market aver the next year. •
Creative Homes is requesting the extension until March 31.2018 with development to begin by
September 1,2018.Please feel free to call me to discuss and let me know when we can be placed on the
Council agenda for this extension.
Sincerely,
Mark Guenther
107 Commerce DRI Suite 4111 I Woodbury,MN 55125 ; 651-284-6800 ictoperestivebci corn
Page 134 of 156
City of Oak Park Heights
14168 Oak Park Blvd. N•Box 2007.Oak Park Heights,MN 55082•Phone(651)439-4439•Fax(651)439-0574
January 29,2016
Mick Lynskey "also via small: Mk*@Imskevciark.com"*
Lynskey&Clark
PO Box 36,118 S.Main Street
Stillwater,MN 55082
Mr.Nick Hackworthy "'also via email:jiidceiaeativehci.com'"
Creative Home Construction Investments LLC
707 Commerce Drive,Suite 410
Woodbury,MN 55125
RE:Extension Request#2—Palmer Station—Letter dated January 8e,2016.
•
Dear Mr.Lymskey and Mr.Hackworthy:
With this letter the City is providing you documentation for your files that the City Council on January 26e,2018 did take action
providing the Palmer Station proposed devebpment—PUD—additional timelines.
The following was approved by the City Council:
• The Developer's Agreement fully executed and their related securities must be posted to the City not later than
12/31116.
• The Piojed's construction must materially commence not later than June 30th,2017.
Of coarse,these actions will requve timely initiative on your part to ensure proper sequencing Including completing the final
platting with both the City and the County as well as providing the required bank securities.Please let us know If you have any
questions for City Staff to complete these or on other related matters.
Sincerely
Eric Johnson
City Administrator
CC: Weekly Noses
Julie Hultman,-Development File
Mark Viierling,City Attorney
Page 135 of 156
li
r ,
City of Oak Park Heights
14168 Oak Park Blvd. N•Box 2007•Oak Park Heights,MN 55082•Phone(651)439-4439•Fax(651)439-0574
October 15,2015
Nick Hackworthy,President ALSO VIA EMAIL
Creative Homes,Inc
707 Commerce Drive Suite 410
Woodbury,MN 55125
Mr.Mick Lynskey ALSO VIA EMAIL
Lynskey&Clark
PO BOX 36
Stillwater,MN 55082
RE:Palmer Station
Gentlemen,
•
As we have communicated,the City accommodated your request for an extension on the approvals for the development delaying
deadlines as outlined in the attached resolution.To date,the City has not received any further information from your offices.
Please again carefutiy review the extension resolution.
We would request you promptly communicate with the City Attorney,Mark Vierling and commence those actions necessary to
have a fully executed developer's agreement and their required securities in place by the 12131115 deadline.
Once that is complete the City can move forward.
Please let me know if you have any questions.
IGnd Regards
Eric Johnson
City Admkiistrator
Cc: Weekly Notes
Mark Vierling,City Attorney
Julie Hultman,-Planning File
Page 136 of 156
RESOLUTION 154630
CITY OF OAK PARK HEIGHTS
WASHINGTON COUNTY,MINNESOTA
A RESOLVIION EXTENDING COUNOL APPROVALSAS ISSUED—PALMER STATION
Whereas on July 22,2014 the City Council approved,via the adoption of City Council Resolution 14.07-
37 the Palmer Station application which proposed the development a 13-unit single family home design,
and;
Whereas the City's Comprehensive Plan for the site guides the use for Low Density develorytment,and;
Whereas the Developer I Applicant,Creative Hare Consttuction Investments LLC,is reporting that it is
not able to move forward with the development in 2015,and;
Whereas the planned development,knows as Pittner Station hes now been acquired by Creative Home
Conduction Investments LLC on June 196,2015,and;
Whereas the Developer has sought an extension to the timeline for their approvals and the submission of
final plat dootnnent tion,Developer's Agreement execution and related perlbnnances.
NOW THEREFORE BE IT RESOLVED that the City Council for the City of Oak Park Heights does
agree to emend the July 2? 2014 performance date for Sol platting,Developer's Agreement execution
and related performances tbru June 1",2016 conditioned upon:
1. That the Developer shall complete and execute the Development Agreement as prepared and
approved by the City Attorney not later than December 3r,2015 and shall provide any and all
securities as required thereby.
2. The Developer shall continuously maintain the grass and site in good repair.
BE IT FURTHER RESOLVED that the timeline extension is the only element being altered,no other
requirement or condition or City Ordinance,Resolutions approving the protect or City Policy are being
waived,altered or changed with this Resolution.
Passed by the City Council of the City of Oak Park Heights this 23"day of June,2015.
/1 r
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City Administrator
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