HomeMy WebLinkAbout2004-10-20 Andersen Corp. Ltr to OPHL
ANDERSEN CORPORATION
October 20, 2004
Eric Johnson, Cit Administrator
Cit of Oak Park Hei
14168 North 57th Street
PO Box 2007
Oak Park Hei MN 55082-2007
Dear Eric,
Pursuant to the PUD Amendment dated March 25, 2003, planners file no. 798-02-
02.25, attached is the si Memorandum of Understandin in reference to the
Oak Park Hei park trail connection from Swa Park to Os Avenue.
Please note that the clean-up of the area between our west propert line and
Swa Park is still planned for completion b y ear end 2004 as per the
Memorandum.
We have continued to stud the proposal as described in the Memorandum, and we
continue to have concerns re the disruption of the site throu plannin
construction and on- operations. We would like to propose an additional PUD
Amendment under which the LLC would make a g ift of $50,000 to the Cit This
$50,000 donation would be in lieu of the easement and cost contributions of the LLC
described in the Memorandum
Please consider this re and call me with an q uestions that y ou ma have. I
am also offerin to meet with y ou and y our team to have further discussions
re this proposal.
Sincerel
....................... ......... ............
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..... ................ .... ......... .
William E. Moore
Director. Real Estate and Facilities Mana
Andersen Corporation
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ANDERSEN CORPORATION
Memorandum of Understanding
Between
The City of oak Park Heights
and SC Mall LLC, a Minnesota Limited Liability Company
The City of Oak Park Heights (hereinafter referred to as "City"), has established and is in
the process of upgrading its pedestrian and bicycle trail system throughout the City. The former
St. Croix Mall in the City ( "Property "), now occupied primarily by Andersen Corporation
( "Andersen ") as an office and corporate center, is owned by SC Mall, LLC, a Minnesota limited
liability company ( "LLC "). The City wishes to construct a trail along the south boundary of the
Property ( "Trail ") which would comaect on its western border with the Trail now terminating in
S wager . P ark., and continue eastward through the Property to Osgood Avenue.
Subject to the terms and conditions hereof and upon satisfactory completion of all
plara issues, LLC will agree to donate (i) the 20 -foot land easement that would be necessary
for the Trail as generally depicted in Option B described below, and (ii) a cash amount sufficient
to pay for fifty percent (50 %) of the initial cost of the co of the Trail (with LLC's 50%
donation not to exceed $50,000.00 in any case), provided that the City would concurrently pay
fifty percent (50%) of the initial cost of the Trail consti- .action. The City would thereafter pay all
costs to complete, repair and maintain the Trail in good and safe condition. The parties are
entering into this nonbinding Memorandum of Understanding to memorialize the nature of their
current perspectives, and to better define the process that they will use to proceed to make the
Trail a reality.
1. Selection of Option B Trail Location. LLC and Andersen have prepared and
presented to the City a Trail designation concept denoted as Option B, a copy of which is
aimexed hereto as Exhibit One. The City, Andersen and LLC agree in concept that the
Option B Trail, which operates as a separated grade facility, is best for Moth the
pedestrian and bicycling public and for Andersen as the existing corporate user of the
Property. All parties recognize that the work that is necessary to design and construct the
Trail will take several years.
2. Cost Sharing. LLC and the City are agreeable to cost sharing of the Trail, with
each paying one -half of the cost thereof over the anticipated five -year time frame needed
to finally design and construct the Trail. Notwithstanding the foregoing, it is Lnderstood
that the obligation of LLC described in the immediately preceding sentence will not
exceed $50,000.00. In addition, it is understood that LLC would not have to expend
further funds beyond those expended to date (but in all cases subject to the $50,000.00
limit) until such time as the City has provided satisfactory evidence to LLC that the
City share of such funds has been secured and the City concurrently expends its 50
share.
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ANDERSEN CORPORATION
3. Proj ect Specifications. The City, in partnership with Andersen and LLC, will
prepare general Trail specifications and concept design layouts for the Trani. LLC, in
conjunction with .Andersen, will provide, in cooperation with City staff, the specific
location of the Trail upon the Property. The costs of surveying, easement preparation and
recording of easements necessary for the Trail will be part of the equally shared Trail
costs, as will the previously expended Trail costs of LLC and the City as of the date of
the Memorandum.
4. Liability Insurance. The City has conferred with its liability insurer and has
represented to Andersen and LLC that the Trail, once established, will be part of the
City's park system, and that coverage for any injuries, world be provided under the
City's existing policy with the League of Minnesota Cities. Such coverage will indemnify
the LLC and Andersen from and against any claims and actions related to the use of the
Trail except to the extent that any such claims resulted from the direct actions of
Andersen, LLC, or their successors and assigns (it being understood that the contribution
of the easement, the contribution of funds for initial construction of the Trail and. the
participation of Andersen and LLC in connection with the design of the Trail shall not be
deemed "direct actions" for purposes of this Memorandum).
5. Trail Dimensions. option B provides for the location of a separated Trail from
the existing south parking lot of the Property. The Trail surface will be 8-feet wide, with
a Trail completion goal of no later than December 31, 2008. Subject to the 8 -foot width
and the location described above, the parties desire to cause the Trail to meet all
applicable MnDOT Trail requirements. The 50% funds to be utilized by the City in the
,
Trail construction will be utilized for actual Trail design, installation and related
landscaping expenses (including tree purchases).
6. Southwest Corner Clean -up. h1 2003 and /or 2004, Andersen and LLC will
erforin and fund (subject to the cost limitations below) cleanup activities in the
P
southwest corner of the Property, including installation of landscaping, general cleanup
and site work ( "Clean -Up Activities "). The Clean -Up Activities will not include grading
or other leveling of the Property, and the aggregate cost of the Clean -Up Activities will
not exceed $ 10,000.00. Subject to the foregoing limitations, the Clean -Up Activities will
be similar in scope to those which has been reviewed and discussed between Andersen,
City staff and the Oak Park Heights Park Commission. The Clean -Up Activities would be
completed on or before the close of calendar year 2004.
7. City obligations. The obligations of the City to fund its share of Trail
construction costs and to complete, repair and maintain the Trail in good and safe
condition shall be continuing obligations of the City.
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ANDERSEN CORPORATION
8. The Memorandum is not intended as a binding agreement and is merely intended
to describe the proposed terms and conditions of a more detailed agreement to be entered
into by the parties. No party has any legal obligation to the other with respect to the
matters set forth in this M emoran dum until a subsequent binding agreement shall have
been negotiated and executed by City and LLC upon teens and c onditions satisfactory to
each.
9. Continued Cooperation and Meeting. City staff, LLC and Andersen will continue
to meet, relative to preparation and issues to be addressed as part of the construction of
the Trail. All parties commit to work cooperatively towards the desired completion of
the Trail on or before the end of the calendar year 2008.
CITY OF OAK PARIS HEIGHTS
Date:
am
David B eaudet, Mayor
SC:
Date: ( 0 (4 (' � B
Its:
OPPENHEIMER: 1472433 v04 05/13/2004
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