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9B-Gateway Redevelopment Final PUD & Contract
O� PRION, i~ rX U 4646 Dakota Street SE Prior Lake,MN 55372 ' ,Zso`�A CITY COUNCIL AGENDA REPORT MEETING DATE: APRIL 13, 2015 AGENDA#: 913 PREPARED BY: DAN ROGNESS, COMMUNITY & ECONOMIC DEVELOPMENT DIRECTOR PRESENTED BY: DAN ROGNESS AGENDA ITEM: CONSIDER APPROVAL OF A RESOLUTION APPROVING THE GATEWAY REDEVELOPMENT FINAL PLANNED UNIT DEVELOPMENT PLAN AND DE- VELOPMENT CONTRACT DISCUSSION: Introduction The purpose of this agenda item is to consider a request from Dominium for the City to approve its Final Planned Unit Development (PUD) Plan and corre- sponding Development Contract for a project consisting of 170 senior rental units on a 2.54-acre site located easterly of Trunk Highway 13 on Gateway Street and Jordan Avenue. The final development project will be owned by Prior Lake Leased Housing Associates I, LLLP. History On February 2, 2015 the Planning Commission adopted a resolution authorizing City staff to accept/process an application from Dominium for a Preliminary PUD Plan for a project on less than 10 acres. On February 17, the Planning Commission held a public hearing and further recommended an amendment to the Comprehensive Plan, approval of the Preliminary PUD Plan, and a rezoning to PUD. On March 9, the City Council adopted the following: (1) Resolution 15- 141 amending the Comprehensive Land Use Plan to R-HD Residential Urban High Density, (2) Resolution 15-142 approving a Preliminary PUD Plan, and (3) Ordinance No. 115-07 rezoning the property to PUD. On April 6, the Planning Commission held a public hearing on the Final PUD Plan; the Commission voted 4-0 in favor of recommending this to the City Council. The same persons as before, the Busse's, testified against the project due to window glare and views from the multi-family to the single family homes along the south side of 160th Street. Current Circumstances Dominium has a purchase agreement on a 2.54-acre commercial site, which in- cludes the purchase of 27 additional feet on the easterly adjacent lot (see At- tachment 2 to be known as Parcel A). This site has a 23,650 square foot 1- story building that is 48% vacant. Dominium's proposed redevelopment project will include a 4-story, 170-unit senior(55+) independent-living, rental apartment building with associated underground and surface parking. The unit mix in- cludes 115 1-bedroom, 23 2-bedroom, and 32 3-bedroom units, all as afforda- ble to households at/below 60% of area median household income ($34,860 for 1-person; $39,840 for 2-person). For example, rent levels will be approximately $935/month for a 1-bedroom and $1,120/month for a 2-bedroom unit. Dominium may also purchase the car wash property (0.31 acre) on the corner of Jordan and 160th Streets. If successful, then Dominium may dedicate that property as park in order to meet the City's 10% park dedication requirement. Dominium would be responsible to demolish the building and grade the site prior to conveyance to the City. The City would then be responsible to develop it into a park and/or open space. If this purchase and conveyance process is not successful, then Dominium will be responsible for paying a park dedication fee per unit based on the current City fee schedule. Conclusion Staff has evaluated this application based upon the following information: PHYSICAL SITE CHARACTERISTICS: Site Area: The total site consists of 2.54 acres, including Dominium's acquisi- tion of property to the east. Vegetation: Existing -the site is nearly void of vegetation, including trees, shrubs and grass. Proposed — 14 coniferous trees, 103 deciduous trees, 504 shrubs, switchgrass and sod. Impervious Area: Existing —2.4 acres (95%). Proposed — 1.6 acres (63%). Wetlands: No identified wetlands currently exist within this property. Storm Drainage: Existing —sheet drain to street catch basins. Proposed —se- ries of sheet drainage, on-site catch basins and multiple perforated corrugated metal pipes underground. Vehicle Access: Access to the site is from existing local streets, including Jor- dan Ave. (north/south) and Gateway St. (east/west), and nearby right-in-only access from Trunk Highway 13. Existing —two entrances on Jordan Ave. and three entrances on Gateway Street. Proposed —three entrances on Gateway St. only, including one for the underground parking only. Pedestrian Access: Existing — no public sidewalk system exists along the ad- jacent streets, Jordan Ave. and Gateway St.; no internal walkway system exists except for a raised walk adjacent to the building's north side. Proposed —(1) a new 6'-wide public sidewalk will be added along Jordan Ave. and Gateway St. adjacent to the street's curb/gutter; (2) internal 4'-wide front walkways will con- nect with the Gateway St. sidewalks to the parking lot and building entrances; and (3) winding 3'-wide backyard trails will allow walking within the limited yard/patio amenities. Utilities: Municipal sewer and water services are in place for this site. BUILDING CHARACTERISTICS: Dominium as submitted a Preliminary PUD Plan that includes the following de- sign elements: 1. Building Footprint— Existing = 23,650 sq.ft. (22.5% of site). Proposed = 49,570 sq.ft. (44.6 % of site). 2 2. Unit Mix— 170 total, including 115 1-bedroom, 23 2-bedroom and 32 3- bedroom units. 3. Density—with 170 units on 2.54 acres, the density is proposed to be 67 dwelling units per acre. 4. Common Areas— lobby, office, salon, library, social, fitness, club room, theater and cards. 5. Height—4 stories (51'3"). NOTE: The original proposed height of 50'6" has increased, but only on paper due to a measuring method error. The pitch of the roof system was reduced, resulting in an actual lowering of the roof height by an average of 6 feet. 6. Parking — 164 total, including 115 underground and 49 surface; ratio = 0.96 stalls per unit (minimum ratio = 0.5 stalls per unit). 7. Setbacks—see table below. 8. Exterior — pitched/gable roof design; balconies; cast stone lower face; clap board upper face; extensive windows. All materials shown are con- sidered Class I to meet a minimum 60% of the exterior walls. Building Setbacks: Yard Original Design Revised (Wall/Corner) R-3/C-2/ C-2** Front 30 feet 30 feet/24.2 feet 50' /30' /30' Rear 25 feet 25 feet/ 18.0 feet 25' / 30' / 15' Side-East 15 feet 15 feet/9.5 feet 25' /20'/ 10' Side-West 25 feet 20 feet/ 14.0 feet 1 25' /20' / 10' ** Staff's amendment proposal scheduled for a public hearing on 4/20/15 Conclusion Site Design: Overall, this redevelopment project greatly intensifies the building square footage on this site, but the amount of impervious surface is also greatly reduced. The building setbacks are minimal for a building of this height; how- ever, 64% of the south wall is set back 50 feet from the south property line, and 64% of the north wall is set back 85 feet from the north property line. The pro- posed setbacks may exceed those for the newly proposed C-2 Zoning District that surrounds the site on the north, east and west sides. Landscaping will sig- nificantly improve this site from a "green/environmental" standpoint adding over 600 plants. A shadow study for the proposed building demonstrated that shad- ows at various times throughout the year will largely fall upon the adjacent streets, parking lots and green space. Building Design: This building is large, and the housing density is high. De- spite those facts, the following building design factors help support this redevel- opment project: 1. The shape of the building is not a typical "box" or"L" shape, but rather, it is in the shape of an "I"with no one big flat wall facing any one side; the various perspective drawings help show this positive feature. 2. The face of each side includes significant relief changes, varied colors and materials, chimneys, glass and angles throughout; in other words, the exterior of this building is very attractive. 3. The ground elevation on this property is approximately 944 feet, which compares to approximately 956 feet along the south-side sidewalk of 160th Street directly to the south; this difference of 12 feet equates to 3 one story of the building, resulting in a 3-story building view from those properties on the south side of 160th Street. 4. The height of the building could be reduced with a flat roof; however, the developer is attempting to include a more residential character into its design due to the primary residential character of Prior Lake. Neighbohood: This area is being viewed transitioning from a mix of more com- mercial than residential land uses (north of 160th Street and west of Franklin Trail) to a stronger high-density residential mix with commercial. In other words, there is an exchange of 170 living units for 23,650 square feet of commercial space. The Dominium project will be approximately 215 feet from the existing single family properties along the south side of 160th Street. ISSUES: The Preliminary PUD Plan approval as recommended by the Planning Commission and approved by the City Council established the basic design parameters for these final plans. Changes from the preliminary to the final plans include: 1. The number of total units increased from 165 to 170 units. 2. The mix of units changed from 124 to 115 1-bedroom units, from 8 to 23 2-bedroom units, and from 33 to 32 3-bedroom units. 3. The building height was reduced by an average of 6 feet. 4. The building's length (east-west) was reduced by 15 feet to approximately 460 feet. 5. The setbacks were reduced on the west side from 25 to 20 feet, and corners encroached approximately 6 feet further into the setback area. 6. Total off-street parking was reduced from 170 to 164 stalls. One last important aspect of this proposed project at a very high density relates to the last ten years of housing development in Prior Lake. The city's 2030 Comprehensive Plan designates an overall housing density to achieve between 2005 and 2030 of 3.07 units per net acre. In order to achieve that density, a combination of single (avg. 2.0 units/acre), medium (avg. 4.1 units/acre) and high density (avg. 7.1 units/acre) residential development needs to occur. During the past 10-year period from 2005-2014, the city saw actual housing development at 49% projected permits. The single family and high density development categories were each above 85%, but the medium density permits were only 20% of projected units. Since medium density is typically achieved by developing either townhomes or small lot homes, that category may need a "boost" from more high density development in Prior Lake. In other words, a Dominium project will help bring up the overall average density of recent single family developments in the city by DR Horton, Ryland Homes, etc. The proposed development contract is included as Attachment 6, subject to final City Attorney review and approval. ALTERNATIVES: 1. Motion and a second to approved a resolution approving the Gateway Redevelopment Final PUD Plan and Development Contract. 2. Motion and a second to recommend denial of the Final PUD Plan and/or Development Contract based on findings of fact. 3. Motion and a second to table action and ask City staff to provide addi- tional information as requested by the Commission. 4 RECOMMENDED Alternative#1 MOTION: ATTACHMENTS: 1. Location Map 2. Survey for Administrative Subdivision — Parcel A and B 3. Final PUD Plan Requirements (Subsection 1106.708) 4. Final PUD Plans / Elevations 5. City Council Resolutions and Ordinance (3/09/15) 6. Draft PUD Development Contract 5 0� PRION ti U 4646 Dakota Street SE � Solr- Prior Lake, MN 55372 RESOLUTION 15-xxx A RESOLUTION APPROVING THE GATEWAY REDEVELOPMENT FINAL PLANNED UNIT DEVELOPMENT PLAN AND DEVELOPMENT CONTRACT Motion By: Second By: WHEREAS, The Prior Lake Planning Commission conducted a public hearing on April 6, 2015 to consider an application from Dominium (the "Developer") for a Final Planned Unit Development (PUD) Plan for Gateway Redevelopment, consisting of a 170-unit senior rental housing development; and WHEREAS, Notice of the public hearing on said Planned Unit Development has been duly published and posted in accordance with the applicable Minnesota Statutes and Prior Lake Ordinances; and WHEREAS, All persons interested in this issue were afforded the opportunity to present their views and objections related to the Final PUD Plan of Gateway Redevelopment for the record at the Planning Commission hearing; and ^ WHEREAS, The Planning Commission and City Council have reviewed the Final PUD Plan according to the applicable provisions of the Prior Lake Zoning and Subdivision Ordinances and found said Planned Unit Development to be consistent with the provisions of said ordinances and the approved Preliminary PUD Plan for Gateway Redevelopment; and WHEREAS, The Prior Lake City Council considered an application from Dominium for a Final PUD Plan of Gateway Redevelopment on April 13, 2015, and considers it to be in substantial compliance with the approved Preliminary PUD Plan for Gateway Redevelopment as approved by the City Council on March 9, 2015 per Resolution 15-142. NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA as follows: 1. The recitals set forth above are incorporated herein. 2. The Final PUD Plan includes, but is not limited to, the following: (a) Demolition Plan, (b) Site Plan, (c) Grading Plan, (d) SWPPP, (e) Utility Plan, (f) Site Landscape Plan, (g) Site Planting Plan, and (h) exterior elevations. 3. The Mayor and City Manager are authorized to execute the corresponding PUD Development Contract for Gateway Redevelopment, subject to final approval by the City Attorney. 4. The Final PUD Plan for a senior rental housing project is approved subject to the following conditions: a. The Developer shall receive administrative subdivision approval from the City for a lot combination of a portion of Lot 1 and all of Lot 2, Gateway Center 1 st Addition. b. The Developer shall construct public sidewalks along Gateway Street and Jordan Avenue as approved �-. by the City Engineer. c. The Final PUD Plan is subject to the Metropolitan Council's written approval of an amendment to the City's 2030 Comprehensive Land Use Plan from C-CC Community Retail Shopping to R-HD Residential Urban High Density. PASSED AND ADOPTED THIS 13h DAY OF APRIL, 2015. VOTE Hedberg Keeney McGuire Morton Thompson Aye ❑ ❑ ❑ ❑ ❑ Nay ❑ ❑ ❑ ❑ ❑ Abstain ❑ ❑ ❑ ❑ ❑ Absent ❑ ❑ ❑ ❑ ❑ Frank Boyles, City Manager Dominium 170-Unit Senior Rental Housing Project Final Planned Unit Development v • U ' Subject Site 0 'A T--r- LGATEWAY,STREET;SE - � . V :. 1+ f OC ♦.` i.e. '" ` +._i- ,g # L ' `;. 160TH STREET„SE f 'k' € — xa- K LLJ _�� y. W t ,..iy t 4'•A. n ��.. .� TO # W Fw UJ a ' LL J - . r� 1 V r Franklin Trail SE S0°05'05"W 22/.9/ I Description of Parcel A (March 18,2015) Inv I V Lot 2, Block One, GATEWAY CENTER 1ST ADUN, J N according to the recorded plat thereof, Scott County, Q L_ Minnesota, together with the westerly 27.00 feet of Lot 1, said Block One. o E%y line of W'ly N •, 27.00 Ft of Lot 0 S0• '07•µr I 221.9/ t Description of Parcel B I L W. line of Lot 1, (March 18,2015) Also E. line of Lot 2—' CIO t C w cd `` _ ♦ -\, N,_ That part of Lot 1, Block One, GATEWAY CENTER 1ST � 1 y, 0 r\ ADUN, according to the recorded plat thereof, Scott ` County, Minnesota, which lies easterly of the westerly 0 C:j 27.00 feet thereof. a o w Areas F- Parcel A = 111,065+/- SF or 2.54 +/- Ac a Parcel 8 = 48,061 Sq. Ft. or 1.10 +/- Ac I s_I_ � r �\a 1 �IIIIIII� 1 <1,i l,�.,�ill11 0 100 I N0013'07"E 22/.9/ — — — Jordan Avenue SE SCALE IN FEET I hereby certify that this survey,plan or report was t • prepared by me or under my direct supervision and that I am a duly Licensed Land Surveyor under the laws 7200 Hemlock lane, Suite 300 of the State of Minnesota. Minneapolis,Minnesota 55369-5592 A S S O C I AT E S Telephone:(763)424-5505 Fax:(763)424-5622 ^IrC'•"�'^ ❑eb Page: www.Laucimbsociates.com Richard L.Licht-PLS t Planning (Yell Engineering • land Surveying 26724 03/19/15 Landscape Architecture • Eavirenmental PROJECT 4:14633 o.m. License No. Date I S s t Franklin Trail SE SO°05'05"W 22/.9/ �I r Drainage and Utility Easement (March 25,2015) I ,-Dra/nape and The westerly 10.00 feet of the following described I ; I utility - property: I t Easement `- N That part of Lot 1, Block One, GATEWAY Q o CENTER IST ADD'N, according to the recorded E'lyline of w'l� plat thereof, Scott County, Minnesota, which lies r N �� i 27.00 Ft of Lot% + easterly of the westerly 27.00 feet thereof. 1 S0613'07% 221.91 Q• W W. line of Lot co Also E. line of Lot 2-' , L J. ` �1� oo z I O I \ l y J Ilillll�� 1 Til-,- � � — — — o goo IV000'071E 221.9/ Jordan Avenue SE SCALE IN FEET 1 hereby certify that this survey,plan or report was 770 prepared by me or under my direct supervision and that I am a duly Licensed Land Surveyor under the laws 41 7200 Hemlock Lane,Suite 300 of the State of Minnesota.369-5592 S7ES Telephones(783)42415505 Faznnesota S{783)424-5022 -- Web Page: v".LoueksAmoeiates.com Richard L.Licht-PLS Planning Civil Engineering • land Surveying 26724 03/25/15 Landsce a Architecture • Environmental PROTECT 1:14633 p o.aoa License No. Date Zoning Ordinance description of the new district will consist of all submissions for preliminary plan approval, as revised to meet the conditions of approval. 1106.707 Final PUD Plan. The final plan conveys essentially the same information as the approved preliminary plan in a more specific and complete manner. The final plan is the permanent public record of the PUD and may consist of all or a portion of the area encompassed by the preliminary plan, and shall include revisions of the preliminary plan as requested by the Planning Commission and/or City Council. The final plan shall implement the development objectives established by the approved preliminary plan and may be submitted in project stages for the entire PUD. 1106.708 Application for a Final PUD. The Final PUD Plan shall contain all of the following information: (1) A detailed site plan, drawn to scale and suitable for recording showing the location of all structures including their placement, size and type as well as streets, parking areas and stall arrangement, walkways and other pedestrian facilities, parking calculations, and open space including plazas and commons. The site plan shall conform to the approved preliminary PUD plan. j (2) A final plat which meets the requirements of the City Subdivision Ordinance, if required. (3) A landscape plan showing the location, size and species of all plant materials, a landscaping irrigation system plan, and all other nonvegetative landscaped features. (4) A utility plan showing the location and size of all on-site utilities and easements as well as storm water runoff calculations for both the predevelopment and I postdevelopment conditions of the site. (5) Building plans at a level of detail necessary to allow parking calculations to be made. I (6) Building elevation drawings showing architectural details and proposed building materials. i (7) Any deed restrictions, covenants, agreements and Articles of Incorporation and Bylaws of any proposed homeowners' associations or other documents or contracts which control the use or maintenance of property covered by the PUD plan. (8) A final phasing plan, if phasing is proposed, indicating the geographical sequence and timing of the development of the plan or portions thereof t including the estimated date of beginning and completion of each phase. t (9) Any other information which the City in its sole discretion may require to fully illustrate and document the intention and character of the PUD plan. P City of Prior Lake June 1,2009 1106/p7 � f o a W {F7e 41 3S t Y ii H� a3i11 j i7C '� t� V M-11111.1% it it ^ i n r II IIIli .i III I I H I E !� ;j 1i ifd! 1 ## I€ ff hitt �l ## 11I1!1l I I �000.... �.{....oat. 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Clap Board Siding Fiber Cement Panel(Alternate Tight Spaced �� Horizontal Clap Board Siding) Cast Stone � i r Standing Seam Metal White Vinyl Windows Fiber Cement Trim&Shingles PRIOR LAKE SENIOR Exterior Materials AMA 3-10-2015 AwB KV DOMINIUM G R 0 u P �1 1 i a PRIOR LAKE SENIOR South Elevation - Context Study KV 3-3 I-2015 DOMINIUM G R 0 u P 01 FRI() U 4646 Dakota Street SE ' Nnrssolt' Prior Lake,MN 55372 RESOLUTION 15.141 A RESOLUTION AMENDING THE 2030 COMPREHENSIVE LAND USE PLAN FROM C-CC COMMUNITY RETAIL SHOPPING TO R-HD RESIDENTIAL URBAN HIGH DENSITY FOR PROPERTY ON GATEWAY STREET Motion By: KEENEY Second By: MORTON WHEREAS, Dominium(the"Developer')has applied to the City of Prior Lake to amend the 2030 Comprehensive Land Use Plan for property at 5119 Gateway Street SE("Parcel")in order to allow a proposed multi-family senior rental housing project;and I WHEREAS, The City Council desires to amend the Comprehensive Land Use Plan Map of the 2030 Comprehensive Plan in order to re-guide the land use on this Parcel from Community Retail i Shopping (C-CC)to Residential Urban High Density(R-HD);and WHEREAS, The 2.5-acre Parcel shall be rezoned to a Planned Unit Development(PUD)in order to allow a residential development at a higher density than what is allowed in the High Density Residential(R-3)Use District;and WHEREAS, After a public hearing was held on February 17,2015,the Planning Commission recommended approval of the proposed amendment to the Comprehensive Land Use Plan. NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA as follows: i t 1. The recitals set forth above are incorporated herein. 2. The City Council of Prior Lake approves an amendment to the 2030 Comprehensive Land Use Plan (Figure 3.2),amending the Parcel(Lot 2,Block 1 and a portion of Lot 1,Block 1,Gateway 1s►Addition) from Community Retail Shopping(C-CC)to Residential Urban High Density(R-HD),subject to Metropolitan Council approval,and authorizes city staff to submit such amendments to the Metropolitan Council. 3. This amendment is contingent upon the Developer receiving approval from the City Council of an administrative subdivision for a lot combination for a portion of Lot 1 and all of Lot 2,Gateway Center 1 sl Addition. PASSED AND ADOPTED THIS 91h DAY OF MARCH,2015. VOTE Hedberg Keeney McGuire Morton Thompson Aye ❑ ® ® ® ® 1 Nay ❑ ❑ ❑ ❑ ❑ Abstain ❑ E E E E Absent ® E E E E Frank 60s, ity Manager i e' B G R O� FRIO U 4646 Dakota Street SE !rlZ-50-0 Prior Lake.MN 55372 RESOLUTION 15.142 A RESOLUTION APPROVING A PRELIMINARY PLANNED UNIT DEVELOPMENT PLAN TO BE KNOWN AS "GATEWAY REDEVELOPMENT" Motion By: THOMPSON Second By: MORTON WHEREAS, The Prior Lake Planning Commission conducted a public hearing on February 17, 2015 to consider an application from Dominium for a Preliminary Planned Unit Development(PUD)Plan for Gateway Redevelopment,consisting of a 165-unit senior rental housing development;and I WHEREAS, Notice of the public hearing on said Planned Unit Development has been duly published and posted in accordance with the applicable Minnesota Statutes and Prior Lake Ordinances;and j WHEREAS, All persons interested in this issue were afforded the opportunity to present their views and j objections related to the Preliminary PUD Plan of Gateway Redevelopment for the record at the I Planning Commission hearing;and WHEREAS, The Planning Commission and City Council have reviewed the Preliminary PUD Plan according to the applicable provisions of the Prior Lake Zoning and Subdivision Ordinances and found said Planned Unit Development to be consistent with the provisions of said ordinances;and WHEREAS, The Prior Lake City Council considered an application from Dominium for a Preliminary PUD Plan of Gateway Redevelopment on March 9, 2015,and adopts the following findings in support of Subsection 1106.200 of the City Code: (1) Provides a flexible approach to development which is in harmony with the purpose and intent of the City's Comprehensive Plan and Zoning Ordinance; Finding: Housing goals and objectives in the Comprehensive Plan support providing opportunities for a variety of affordable high-quality housing, and maintaining a choice of and encouraging development of quality residential environments. (2) More creative, efficient and effective use of land, open space and public facilities through mixing of land uses; Finding: A mix of more high-density housing with the surrounding commercial uses will expand the mix of land uses in the Gateway area. I (3) Create a sense of place and provide more interaction among people; Finding: This additional high-density housing project will provide a strong residential focus in the Gateway area,allowing more opportunities for interaction between residents and businesses, including the core downtown area that is '/2 mile from this location. l (4) Increase economic vitality and expand market opportunities; Finding: This project will add considerable short-term (1 year) construction jobs, and the estimated new 200+ residents will increase market opportunities for local businesses. (5) Support long-term economic stability by strengthening the tax base,job market and business opportunities; Finding: This project's total development cost is nearly $32 million dollars with an expected county estimated market value of $16.5 million; the current market value of the commercial property is $1.75 million. (6) Increase transportation options, such as walking, biking or bussing; Finding: By adding 200+ new residents in this area, new bus/van routes are likely, and these independent living residents will likely be walking to nearby parks and downtown. (7) Provide opportunities for life cycle housing to all ages; Finding: This housing is affordable to seniors (55+) with incomes at/below 60% of the area median ($34,860 for 1-person;$39,840 for 2-person); initial rent levels are$933/month for 1-bedroom, $1,120/month for 2-bedroom, and$1,293 for 3-bedroom units. (8) Provide more efficient and effective use of streets,utilities,and public facilities that support high quality land use development at a lesser cost; Finding: More high-quality housing units concentrated at a higher density in one location makes more efficient use of existing street, sewer and water infrastructure. (9) Enhanced incorporation of recreational, public and open space components in the development which may be made more useable and be more suitably located than would otherwise be provided under conventional development procedures. The PUD district also encourages the developer to convey property to the public, over and above required dedications, by allowing a portion of the density to be transferred to other parts of the site; Finding: On- site green space, including walking trails and patios, are provide on this site, thereby replacing a commercial site that was nearly 95% impervious with building and blacktop parking lot. (10) Preserves and enhances desirable site characteristics and open space, and protection of sensitive environmental features including, but not limited to, steep slopes, wetlands, and trees. Where applicable, the PUD should also encourage historic preservation, re-use and redevelopment of existing buildings; Finding: Redevelopment is occurring without preservation;however, the future long-term viability of this building for commercial use is uncertain based on recent history of vacancies and bank ownership. (11) High quality of design compatible with surrounding land uses, including both existing and planned; Finding:This site and building will be developed with all aspects of high quality, including building exteriors, landscaping, lighting, parking and green space. 2 $ s NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA as follows: 1. The recitals set forth above are incorporated herein. 2. The Preliminary PUD Plan is approved to include the following project description: a. Unit Mix— 165 total, including 1241-bedroom, 8 2-bedroom and 33 3-bedroom units,subject to final minor mix modifications. b. Common Areas—lobby,office,salon,library,social,fitness,club room,theater and cards. c. Height—4 stories(50'6'). d. Parking—170 total, including 121 underground and 49 surface. e. Setbacks—front=30 feet;rear=25 feet;west side=25 feet;east side= 15 feet;parking setback= 10 feet,subject to final detailed setbacks for all aspects of the building exterior components. f. Exterior—pitched/gable roof design; balconies; stone lower face; hardy board upper face; extensive windows. 3. The Preliminary PUD Plan for a senior rental housing project is approved subject to the following conditions: a. The developer shall submit an administrative subdivision application for a lot combination for a portion of Lot 1 and all of Lot 2, Gateway Center 1 st Addition,to be approved by the City Council on or before the City Council's approval of a Final PUD Plan. b. At the time of a Final PUD Plan submittal,the developer shall submit all necessary details as identified in Subsection 1106.708 of the City Code. c. The Final PUD Plan shall conform to the uses and structural elements approved as part of the Preliminary PUD Plan,or as may be modified to decrease housing units and/or building height. d. The Final PUD Plan shall include public sidewalks along Gateway Street and Jordan Avenue. e. The Final PUD Plan may be conditionally approved by the City Council upon the Metropolitan Council's written approval of an amendment to the City's 2030 Comprehensive Land Use Plan from C-CC Community Retail Shopping to R-HD Residential Urban High Density. PASSED AND ADOPTED THIS g1h DAY OF MARCH,2015. VOTE Hedberg Keeney McGuire Morton Thompson Aye ❑ N N N Nay ❑ ❑ ❑ ❑ ❑ Abstain ❑ ❑ ❑ ❑ ❑ Absent N ❑ p ❑ ❑ Frankoy s,tity Manager 3 3 O� PRtp� U 4646 Dakota Street SE Prior Lake.MN 55372 aII�,NEspgp` CITY OF PRIOR LAKE ORDINANCE NO. 115-07 AN ORDINANCE AMENDING SECTION 1101.700 OF PRIOR LAKE CITY CODE AND THE OFFICIAL ZONING MAP FOR THE CITY OF PRIOR LAKE,AND ADOPTING BY REFERENCE CITY CODE PART 1 WHICH,AMONG OTHER THINGS, CONTAINS PENALTY PROVISIONS The City Council of the City of Prior Lake does hereby ordain: 1. The Prior Lake Official Zoning Map, referred to in Prior Lake City Code Section 1101.700, is hereby amended to designate the following legally described property as the Gateway Redevelopment Planned Unit Development(PUD). LEGAL DESCRIPTION: Lot 2, Block 1, Gateway Center 1St Addition, City of Prior Lake, Scott County, Minnesota, AND That part of Lot 1, Block 1, Gateway Center 1St Addition including the west 27 feet, City of Prior Lake, Scott County, Minnesota, 2. The Gateway Redevelopment Preliminary PUD Plan includes the following elements: a. The PUD is a housing development consisting of 165 independent senior housing rental units with amenities and underground parking, all within a 4-story building; the units are affordable for i households allbelow 60%of the area median income. b. The PUD housing density of the development is approximately 65 units per acre. This ordinance shall become effective from and after its passage and publication. Passed by the City Council of the City of Prior Lake this 9th day of March, 2015. ATTEST: City a g r 4May To be published in the Prior Lake American on the Saturday following official notice of the Metropolitan Council's approval of the corresponding Comprehensive Land Use Plan amendment to R-HD Residential Urban High Density. Published in the Prior Lake American on the day of 2015. I E i sg� N r CONTRACT FOR DEVELOPMENT OF LAND AS A PLANNED UNIT DEVELOPMENT IN THE CITY OF PRIOR LAKE, MINNESOTA, TO BE KNOWN AS GATEWAY REDEVELOPMENT THIS CONTRACT, made and entered into as of the day of , 2015, by and between the City of Prior Lake, (hereinafter"CITY") a municipal corporation organized under the laws of the State of Minnesota and Prior Lake Leased Housing Associates I, LLLP a Minnesota Limited Liability Limited Partnership (the "DEVELOPER"). RECITALS WHEREAS, DEVELOPER is duly organized to do business in the State of Minnesota and owns, or will own the PROPERTY within the City of Prior Lake; Scott County, Minnesota legally described in attached Exhibit A, subject to the CITY's approval of an administrative lot subdivision per Subsection 1006.101 of the Prior Lake City Code that will add the westerly 27.0 feet of Lot 1, Block 1, Gateway Center 1St Addition to Lot 2, Block 1, Gateway Center 1St Addition, Prior Lake, Scott County, Minnesota, and WHEREAS, DEVELOPER desires to develop the PROPERTY legally described and depicted in Exhibit A; and WHEREAS, the City approved a Preliminary Planned Unit Development Plan per Resolution 15-142 on March 9, 2015 for the DEVELOPMENT PROPERTY, which approval is subject to the City's approval of the Final Planned Unit Development Plans and certain conditions including the Developer enter into the City's standard development contract; and WHEREAS, DEVELOPER has made application to City Council for approval to develop the DEVELOPMENT PROPERTY as a Planned Unit Development(a"PUD") per the Final PUD Plans for Gateway Redevelopment; and WHEREAS, under authority granted pursuant to Minnesota Statutes Chapter 462 and the Zoning Ordinance of the City of Prior Lake the CITY COUNCIL has agreed subject to the terms and conditions set forth herein, to approve the Final Planned Unit Development Plans (the "FINAL PLANS"). NOW, THEREFORE, in consideration of the mutual promises, covenants and conditions contained herein, the sufficiency of which is not disputed, it is hereby agreed as follows: 1. RECITALS The Recitals set forth above are herein incorporated as if fully set forth. 2. PURPOSE OF CONTRACT 2.1 The purpose of this Contract is to set out the terms and conditions pursuant to which the City Council of the City of Prior Lake grants its approval for the DEVELOPER to develop the DEVELOPMENT PROPERTY as a PUD. The terms and conditions set forth herein are intended to promote and protect the orderly development of land within the City and to assure that the development of the DEVELOPMENT PROPERTY is done in a manner to protect and preserve the health, safety and welfare of the citizens and property within the City. 2.2 This CONTRACT is intended to achieve the following objectives: a) To insure compliance with the purpose, requirements and criteria set forth in Section 1106 in the Zoning Ordinance for a Planned Unit Development. b) To clarify the rights and responsibilities of the parties to this CONTRACT. C) To incorporate, as an integral part of this CONTRACT by and between the CITY and DEVELOPER relating to the FINAL PLANS of Gateway Redevelopment. 3. FINDINGS 3.1 The Prior Lake Zoning Ordinance sets out goals and objects against which all applications for Planned Unit Developments must be evaluated against. The FINAL PLANS are consistent with the goals and objectives of a Planned Unit Development as specified in Section 1106 of the Zoning Ordinance. 3.2 The CITY has approved a 2030 Comprehensive Land Use Plan amendment for the PROPERTY from Community Retail Shopping (C-CC)to Residential Urban High Density(R-HD)per Resolution 15-141 on March 9, 2015, subject to approval by the Metropolitan Council. 3.3 The CITY has approved Ordinance No. 115-07 to rezone the PROPERTY from General Business (C-2)to Planned Unit Development(PUD), to be legally published upon formal approval of the Comprehensive Land Use Plan amendment by the Metropolitan Council. 4. DEFINITIONS, RULES OF INTERPRETATION, AND EXHIBITS 4.1 Definitions In this CONTRACT the following terms shall have the following respective meanings unless the context hereof clearly requires otherwise: 4.1.1 "CITY" means the City of Prior Lake, a governmental subdivision of the State of Minnesota. 4.1.2 "CITY ATTORNEY" means the City Attorney of the City of Prior Lake. 4.1.3 "CONTRACT"means this Contract for Development of Land as a Planned Unit Development in the City of Prior Lake, Minnesota, and all referenced and incorporated exhibits by and between CITY and DEVELOPER, as the same may be from time to time modified, amended or supplemented. 4.1.4 "DEVELOPER"means Dominium and Prior Lake Lease Housing Associates I, LLLP, or heirs successors and assigns. 4.1.5 "DEVELOPER INSTALLED IMPROVEMENTS" means all those improvements listed in Exhibit D. 4.1.6 "FINAL PLANS" means the Final Planned Unit Development Plans approved by the Council attached as Exhibit B. 4.1.7 "INCLUDING" means including, but not limited to. 4.1.8 "PROJECT" means the development of Gateway Redevelopment pursuant to the terms and conditions of the approved FINAL PLANS and this CONTRACT. 4.1.9 "PROPERTY" means the real property, together with improvements, if any, described in Exhibit A. 4.2 Exhibits The following exhibits are attached hereto, incorporated by reference and made a part of this CONTRACT as if fully set forth herein. 4.2.1 Exhibit A- Legal Description of Development PROPERTY 4.2.2 Exhibit B - Approved Final Planned Unit Development Plans dated 4.2.3 Exhibit C - City Council Resolution 15-_approving the Final Planned Unit Development Plans and the CONTRACT for the development of land as a Planned Unit Development 4.2.4 Exhibit D—Developer Installed Improvements 5. SCOPE OF PROJECT 5.1 The PROJECT to be known as Gateway Redevelopment consists of 2.54 acres, legally described as shown on Exhibit A. The PROJECT includes 170 senior rental housing units, associated off-street underground and surface parking, and interior common spaces. The total units include 115 1-bedroom, 23 2-bedroom and 32 3-bedroom units on four floors. The PROJECT shall be developed as shown on the FINAL PLANS attached hereto as Exhibit B. These plans include, but are not limited to site plans, landscaping plans, grading/utility plans and building elevations. 5.2 The PROJECT is to be developed in one phase, beginning in 2015. 5.3 The PROJECT may include the DEVELOPER's acquisition of additional land adjacent to the PROPERTY of approximately 0.31 acre (PID 259360040)to be deeded by the DEVELOPER to the CITY for purposes of park and/or open space, subject to further approval by the CITY. If this acquisition and deeded transfer of this parcel does not occur by the time a building permit application is submitted by the DEVELOPER for the PROJECT, then a park dedication fee shall be fully paid by the DEVELOPER to the CITY at the current city fee schedule per residential unit. 6. DEVELOPER REPRESENTATIONS 6.1 DEVELOPER represents and warrants that neither the execution and delivery of this CONTRACT, the consummation of the transactions contemplated hereby,nor the fulfillment or the compliance with the terms and conditions of this CONTRACT is prevented or limited by, or in conflict with or will result in breach of, the terms, conditions or provisions of any restriction of DEVELOPER, or evidence of indebtedness, contract or instrument of whatever nature to which DEVELOPER is now party or by which it is bound or will constitute a default under any of the foregoing. 6.2 DEVELOPER agrees to hold harmless, indemnify and defend CITY, its Council, agents, employees and CITY ATTORNEY against any claims or actions brought as a result of DEVELOPER's performance under this CONTRACT or as a result of alleged actions or omissions on the part of DEVELOPER, its employees or agents. 7. RELEASE,HOLD HARMLESS AND INDEMNIFICATION 7.1 DEVELOPER releases from and covenants and agrees that CITY, its City Council, officers, agents, servants, attorneys and employees thereof(hereinafter for purposes of this paragraph, the "indemnified parties") shall not be liable for and agrees to indemnify and hold harmless the indemnified parties against any loss or damage to PROPERTY or any injury to or death of any person occurring at or about or resulting from any defect in the PROPERTY, development of PROPERTY or DEVELOPER IMPROVEMENTS. 8. EVENT OF DEFAULT 8.1 Event of Default Defined. Event of default is any one or more of the following events: 8.1.1 Failure by DEVELOPER to timely pay all real property taxes assessed with respect to the PROPERTY; 8.1.2 Failure to construct the DEVELOPER IMPROVEMENTS pursuant to the terms, conditions and limitations of this CONTRACT; 8.1.3 Failure by DEVELOPER to observe or perform any covenant, condition, obligation or contract on its part to be observed or performed under this CONTRACT; 8.1.4 Transfer of any interest in the development, subject to CITY approval; 8.1.5 Failure by DEVELOPER to reimburse CITY for any costs increased by CITY in connection with this CONTRACT, including the enforcement thereof; including, but not limited to engineering fees, inspection and testing fees, attorney fees and other professional fees. 8.2 Remedy Upon Event of Default. Whenever an event of default occurs, the CITY after providing DEVELOPER notice as provided in paragraph 15, and may take any one or more of the following actions: 8.2.1 CITY may cancel and rescind this CONTRACT. 8.2.2 CITY may take whatever action, including legal or administrative action, which may be necessary or desirable to CITY to collect any payments due under this CONTRACT or to enforce performance and/or observance of any obligation, contract or covenant of DEVELOPER under this CONTRACT. 8.2.3 CITY may suspend issuance of Building Permits and/or Occupancy Permits to the DEVELOPER on the PROPERTY. 8.3 Whenever an Event of Default occurs and CITY shall employ attorneys or incur other expenses, including employment of experts, for the collection of payments due or to become due or for the enforcement or performance or observance of any obligation or contract on the part of DEVELOPER herein contained, DEVELOPER agrees that it shall, on demand thereof,pay to CITY the reasonable fees of such attorneys and such other expenses so incurred by CITY. 8.4 Nonexclusive Remedy. None of the actions set forth in this Section are exclusive or otherwise limit the CITY in any manner. 9. WAIVER Failure of the CITY at any time to require performance of any provision of this CONTRACT shall not affect its right to require full performance thereof at any time thereafter and the waiver by the CITY of a breach of any such provision shall not be taken or held to be a waiver of any subsequent breach thereof or as nullifying the effectiveness of such provision. 10. ASSIGNMENT 10.1 DEVELOPER represents and agrees for itself, its heirs, its successors and assigns that DEVELOPER has not made or created and that it will not make or create or suffer to be made or created any total or partial sale, assignment, conveyance or any trust or power to transfer in any other mode or form of or with respect to this CONTRACT or in DEVELOPER without the prior written approval of the CITY. 10.2 The DEVELOPER may not transfer or assign this CONTRACT without the prior written permission of the CITY COUNCIL of the City of Prior Lake. The DEVELOPER's obligations hereunder shall continue in full force and effect, even if the DEVELOPER sells the PROPERTY or any part thereof. 11. PERMITS 11.1 The DEVELOPER shall obtain all necessary approvals,permits and licenses from the CITY, and any other regulatory agencies and the utility companies. If any of the entities request a change to the FINAL PLANS submitted for review, the DEVELOPER shall submit these changes to the CITY for approval. 11.2 All costs incurred to obtain said approvals, permits and licenses, and also all fines or penalties levied by any agency due to the failure of the DEVELOPER to obtain or comply with conditions of such approvals,permits and licenses, shall be paid by the DEVELOPER. 11.3 The DEVELOPER's shall defend and hold the CITY harmless from any action initiated by the other regulatory agencies and the utility companies resulting from such failures of the DEVELOPER. 12. RECORDING 12.1 This CONTRACT shall be recorded by DEVELOPER within ninety(90) days from approval of the Resolution approving the FINAL PLANS, and all terms and conditions of this CONTRACT shall run with the land herein described, and shall be binding upon the heirs, successors, administrators and assigns of the DEVELOPER. The DEVELOPER shall provide and execute any and all documents necessary to implement the recording. If there be more than one developer, references herein to DEVELOPER shall mean each and all of them. 12.2 All recording fees, if any, shall be paid by the DEVELOPER. 13. NOTICE 13.1 Required Notices to the DEVELOPER shall be in writing, and shall be either hand delivered to the DEVELOPER, its employees or agents, or mailed to the DEVELOPER by certified mail at the following address: Dominium, 2905 Northwest Blvd., Suite 150, Plymouth, Minnesota 55441. Notices to the CITY shall be in writing and shall be either hand delivered to the City Manager, or mailed to the CITY by certified mail in care of the City Manager at the following address: City of Prior Lake, 4646 Dakota Street SE, Prior Lake, Minnesota 55372. Concurrent with providing Notice to the CITY,Notice(s) shall be served upon the CITY ATTORNEY Mark Johnson; Gregerson, Rosow, Johnson&Nilan LTD, 650 Third Avenue South, Minneapolis, Minnesota 55402. 13.2 The Notice shall state a time by which the default must be cured. The time the CITY gives the DEVELOPER shall be thirty (30) calendar days from the date of the certified mailing. 14. MODIFICATIONS OR AMENDMENT This CONTRACT may be amended by the parties hereto only by written instrument executed in accordance with the same procedures and formality followed for the execution of this CONTRACT. 15. PROOF OF TITLE Prior to the CITY's issuance of any building permits for the PROPERTY,the DEVELOPER shall furnish a title opinion or title insurance commitment addressed to the CITY demonstrating that DEVELOPER is the fee owner or has a legal right to become fee owner of the PROPERTY upon exercise of certain rights and to enter upon the same for the purpose of developing the PROPERTY. DEVELOPER agrees that in the event DEVELOPER's ownership in the PROPERTY should change in any fashion, except for the normal process of selling or conveying lots,prior to the completion of the PROJECT and the fulfillment of the requirements of this CONTRACT, DEVELOPER shall forthwith notify the CITY of such change in ownership and seek the CITY's approval to transfer the responsibility under this CONTRACT. Any change in ownership shall not release DEVELOPER from any of its obligations under this CONTRACT, unless or until the CITY has approved transfer of this CONTRACT and then only to the extent agreed to by the CITY. 16. HEADINGS Headings at the beginning of paragraphs herein are for convenience of reference, shall not be considered a part of the text of this CONTRACT and shall not influence its construction. 17. SEVERABILITY In the event any provisions of this CONTRACT shall be held invalid, illegal, or unenforceable by any court of competent jurisdiction, such holding shall not invalidate or render unenforceable any other provision hereof, and the remaining provisions shall not in any way be affected or impaired thereby. 18. CONSTRUCTION This CONTRACT shall be construed in accordance with the laws of the State of Minnesota. IN WITNESS WHEREOF, CITY and DEVELOPER have caused this CONTRACT to be duly executed on the day and year first above written. Approved by the City Council on the day of , 2015. APPROVED AS TO FORM: DEVELOPER: by By Mark Johnson, City Attorney Its DEVELOPER: By Its CITY OF PRIOR LAKE By: Its Manager By: Its Mayor This Development Contract must be signed by all parties having an interest in the PROPERTY. STATE OF MINNESOTA COUNTY OF SCOTT On the day of , 2015, before me, a Notary Public, with and for said County personally appeared Kenneth L. Hedberg and Frank Boyles, to me personally known, being each by me duly sworn did say that they are the Mayor and City Manager, respectively, of the City of Prior Lake, a Minnesota municipal corporation, named in the foregoing instrument; and that said instrument was signed on behalf of the municipal corporation and acknowledged said instrument to be the free act and deed of said municipal corporation. Notary Public STATE OF MINNESOTA COUNTY OF SCOTT The foregoing instrument was acknowledged before me this day of , 2015 by and by who are the and of a Minnesota Limited Liability Limited Partnership, on behalf of said partnership. Notary Public STATE OF MINNESOTA COUNTY OF SCOTT The foregoing instrument was acknowledged before me this day of 2015 by and by who are the and of , a Minnesota on behalf of said Notary Public This instrument prepared by: City of Prior Lake 4646 Dakota Street SE, Prior Lake, MN 55372 MORTGAGEE CONSENT TO DEVELOPMENT CONTRACT ,which holds a mortgage on the subject property, the development of which is governed by the foregoing Development Contract, agrees that the Development Contract shall remain in full force and effect even if it forecloses on its mortgage. Dated this day of 12015. STATE OF MINNESOTA) (ss. COUNTY OF ) The foregoing instrument was acknowledged before me this day of 2015,by NOTARY PUBLIC DRAFTED BY: City of Prior Lake 16200 Eagle Creek Avenue SE Prior Lake,Minnesota 55372 MORTGAGEE CONSENT TO DEVELOPMENT CONTRACT 'which holds a mortgage on the subject property, the development of which is governed by the foregoing Development Contract, agrees that the Development Contract shall remain in full force and effect even if it forecloses on its mortgage. Dated this day of 12015. STATE OF MINNESOTA) (ss. COUNTY OF ) The foregoing instrument was acknowledged before me this day of 2015,by NOTARY PUBLIC DRAFTED BY: City of Prior Lake 16200 Eagle Creek Avenue SE Prior Lake,Minnesota 55372 EXHIBIT A LEGAL DESCRIPTION OF PROPERTY Lot 2, Block 1, Gateway Center 1St Addition, City of Prior Lake, Scott County, Minnesota (also known as Parcel A dated March 18, 2015 per Survey dated March 19, 2015) AND The westerly 27.00 feet of Lot 1, Block 1, Gateway Center 1"Addition, City of Prior Lake, Scott County, Minneosta (also known as Parcel B dated March 18, 2015 per Survey dated March 19, 2015, including a 10.00 feet drainage and utility easement on Parcel B dated March 25, 2015 per Survey dated March 25, 2015) EXHIBIT B (FINAL PUD PLANS) EXHIBIT C (PUD RESOLUTION) EXHIBIT D DEVELOPER INSTALLED IMPROVEMENTS DEVELOPER INSTALLED IMPROVEMENTS include the financing and/or construction by the DEVELOPER on the PROPERTY and public property identified on the approved plans including, but not limited to, the following: • Water supply • Sanitary sewer • Storm sewer/stormwater improvements, both public and private • Grading, drainage, and erosion control improvements • Parking lots,trails and sidewalks (including public sidewalks along adjacent streets) • Landscaping, including trees, shrubs, topsoil and sodding • Lighting, both public and private