The URL can be used to link to this page

Home My WebLink About9D Shepherds PUD Amend Report4646 Dakota Street SE Prior Lake, MN 55372 CITY COUNCIL AGENDA REPORT MEETING DATE: AGENDA #: PREPARED BY: PRESENTED BY: AGENDA ITEM: DISCUSSION: DECEMBER 12, 2016 9D DAN ROGNESS, COMMUNITY & ECONOMIC DEVELOPMENT DIRECTOR DAN ROGNESS CONSIDER APPROVAL OF: (1) AN ORDINANCE AMENDING SECTION 1101.700 OF THE PRIOR LAKE CODE AND THE OFFICIAL ZONING MAP FOR THE CITY OF PRIOR LAKE TO AMEND THE SHEPHERD’S PATH FI- NAL PUD PLAN, AND (2) A RESOLUTION APPROVING THE LAKE RIDGE APARTMENTS FINAL PLAT AND DEVELOPMENT AGREEMENT Introduction The Planning Commission held a public hearing on 11/21/16 to consider recom- mending a zoning application to the City Council. Lake Ridge Apartments LLC has applied for approval of a major amendment to the Planned Unit Develop- ment (PUD) known as Shepherd’s Path. The area of consideration for the major PUD Amendment applies to an undeveloped 10.5-acre parcel (Outlot A) located north of CSAH 42 and west of McKenna Road. The applicant has also submitted a Final Plat to the City Council to create a lot versus outlot for this property. History The original Planned Unit Development Plan for Shepherd’s Path was approved by the City Council on 12/05/05 for the Preliminary Plan and on 6/26/06 for the Final Plan. The Final Plan is shown in Attachment #1, which shows a mixed- use development with a church, YMCA senior housing, commercial, youth cen- ter, public park, and a private soccer dome/hockey rink. Approximately 35% of the planned 443 senior housing units have been completed, as well as the church, YMCA and youth center. Current Circumstances Subsection 1106.711 of the Zoning Ordinance addresses amendments to an approved PUD, which are classified as either minor or major. In this case, add- ing more housing units classifies this as a major PUD amendment; such amend- ments must be reviewed by the Planning Commission with a public hearing, fol- lowed by approval by the City Council. Changes to the Final PUD Plan is shown in more detail in Attachment #1, but summarized below for Outlot A, a 10.5-acre parcel: PUD Land Use Approved Amended Outlot A – Soccer Dome 96,000 Sq Ft XXX Outlot A – Hockey Rink 60,000 Sq Ft XXX Outlot A – Apartment Bldg. XXX 151 units The approved PUD shows 443 multifamily housing units, so this amendment will increase that to 594 total units. Presbyterian Homes is the developer/owner of 2 the existing and future housing units; they own Outlot F for future multifamily housing development. As shown in Attachment #3, this parcel is guided for Urban High Density (R-HD) Residential in the 2030 Comprehensive Land Use Plan. Therefore, this pro- posed multifamily housing project follows the Comprehensive Plan with an esti- mated net density of 16.4 units per acre (9.2 net acres). The R-HD land use district establishes a density range from 7.1 - 20.0 dwelling units per acre. The parcel is zoned PUD. The 151-unit apartment project plans are provided in Attachments #4 and #5, which shows a 3-story building with underground parking. The original plans submitted to the city showed its main entrance facing north, but that has been shifted to the south to orient more of the lights, noise and activity away from existing single family residential (SMSC) to the north. A summary of the multi- family housing project is as follows: 1. Total gross site area = 10.47 acres 2. Outlot for wetland = 1.28 acres 3. Total net site area = 9.19 acres 4. Total green space, including wetland = 7.08 acres (67.6%) 5. Building size (footprint) = 63,650 square feet 6. Units = 14 Studio; 50 1-bedroom; 75 2-bedroom; 12 2-bedroom+den 7. Housing net density = 16.4 units per acre (R-HD range = 7.1 – 20.0) 8. Parking = 151 underground; 140 surface; 33 detached garages; total parking spaces = 324 at a 2.15 per unit ratio Conclusion During the public hearing, comments were voiced by Michael Leek of SMSC as a verbal summary of their letter dated 11/15/16 (Attachment 5). The Planning Commission added a condition to its recommending motion that would allow SMSC to review and comment on the final storm water management plan for this project. Presbyterian Homes & Services also supports this proposed project as indicated in a letter submitted as part of the public hearing. The impact of the amended PUD Plan is to add more housing units into this 71- acre mixed use development. The whole area was previously guided from high density residential development and later amended to include two parcels guided for commercial (Outlots B and D). Therefore, amending the PUD Plan to remove the recreational uses of a soccer dome and hockey rink is still in com- pliance with the city’s land use plan. The recently completed Maxfield Housing Needs Assessment for Scott County shows a market demand of 698 multifamily market rate rental units between 2017 and 2040 in Prior Lake. That figure is nearly 64% of the total rental housing demand during that 24-year period, with the remainder being associated with some level of rent subsidy program. This project will provide a mix of apartment units on three floors, including studio (513 SF), 1-bedroom (712 SF), 2-bedroom (1,055 SF), and 2-bedroom plus (1,134 SF) units. The monthly market rents for these units will range from $1,000 to $1,950. Amenities include a fitness room, sauna, lounge, party room and outdoor patio/gazebo. No pool is being planned due the YMCA nearby. Staff and the Planning Commission recommend the following conditions with this amended Final PUD Plan approval: 3 1. The final project development plans shall be subject to the full site plan re- view process as identified in Subsection 1108.900 of the Zoning Ordinance. (1.a.) SMSC will have an opportunity to review and offer comments on the final storm water management plan as soon as it becomes available. 2. The existing sidewalk on the west side of McKenna Road, southerly of its intersection with North Berens Road, should be extended to CSAH 42. ISSUES: FISCAL IMPACT: A PUD offers flexibility in many areas, some of which include such aspects as setbacks, building heights, and densities. However, this apartment project fits within the normal criteria of a R-3 High Density Residential District, including maximum height of 4 stories, building setbacks, parking ratios, and net housing density. The primary issue is whether additional multifamily housing units is a positive change to the approved PUD, which previously had a recreational use desig- nated for Outlot A. The city benefits from additional multifamily housing units that serve the needs of a (non-senior, general occupancy) population looking for rental options. All other housing units that have been approved in this PUD are targeted to the senior population. A market rate complex with amenities has not been constructed in Prior Lake in over ten years. This location will be a benefit to employees working in various businesses within Prior Lake, Shakopee and Savage. This market rate project will provide for development related fees and will be subject to property taxes. ALTERNATIVES: 1. Motion and a second to approve: (1) an Ordinance amending Section 1101.700 of the Prior Lake Code and the Official Zoning Map for the City of Prior Lake to amend the Shepherd’s Path Final PUD Plan; and (2) a Reso- lution approving the Lake Ridge Apartments Final Plat and Development Agreement. 2. Motion and a second to table this item and provide staff/developer with fur- ther direction. 3. Motion and a second to deny the PUD amendment application based on findings of fact. RECOMMENDED MOTIONS: Alternative #1 ATTACHMENTS: 1. Approved PUD Plan and Land Use Program (2006) 2. Shepherds Path Addition Plat (2006) 3. Comprehensive Land Use Plan and Zoning Map 4. Lake Ridge Apartment project plans (revised 11/08/16) 5. Lake Ridge Apartment unit design / underground parking 6. Traffic report by city staff 7. Letter from SMSC dated 11/15/16 8. Final Plat for Lake Ridge Apartments 9. Development Agreement CITY OF PRIOR LAKE ORDINANCE NO. 116-XX AN ORDINANCE AMENDING SECTION 1101.700 OF PRIOR LAKE CITY CODE AND THE OFFICIAL ZONING MAP FOR THE CITY OF PRIOR LAKE TO AMEND THE SHEPHERD’S PATH FINAL PLANNED UNIT DEVELOPMENT PLAN AND ADOPTING BY REFERENCE CITY CODE SECTION 104, WHICH AMONG OTHER THINGS CONTAINS PENALTY PROVISIONS MOTION BY: SECOND BY: WHEREAS, Lake Ridge Apartments LLC applied to amend the Shepherd’s Path Final Planned Unit Development (PUD) Plan that was previously adopted by the City Council on June 26, 2006 per Resolution 06-092; and WHEREAS, The Prior Lake Planning Commission considered the proposed PUD Plan at a public hearing on November 21, 2016; and WHEREAS, Notice of the public hearing on said PUD Plan has been duly published in accordance with the applicable Prior Lake Ordinances; and WHEREAS, WHEREAS, The Planning Commission proceeded to hear all persons interested in this issue and persons interested were afforded the opportunity to present their views and objections related to the PUD; and The Planning Commission voted 5-0 in favor of recommending the proposed amendment to replace the Outlot A (10.5 acres) that identified a Soccer Dome and Hockey Rink with a 151-unit multifamily market rate apartment project; and WHEREAS, The Prior Lake City Council considered the proposed amended Final PUD Plan for Shepherd’s Path on December 12, 2016; and WHEREAS, Subsection 1106.711(2.b) of the City Code requires that major amendments to a PUD, including additional housing units, be approved by an ordinance by the City Council, which finds that the amended Final PUD Plan is compatible with the stated purposes and intent of the Section 1106 Planned Unit Developments of the Zoning Ordinance. The City Council of the City of Prior Lake does hereby ordain: 1. The above recitals are herein fully incorporated herein as set forth above. 2. The Prior Lake Official Zoning Map, referred to in Prior Lake City Code Section 1101.700, is hereby amended to replace a soccer dome and hockey rink in Outlot A of the Shepherd’s Path Final PUD Plan with a 151-unit, 3 story multifamily apartment project as identified in the plan set dated (revised) 11/08/16. LEGAL DESCRIPTION: Outlot A, Shepherd’s Path, City of Prior Lake, Scott County, Minnesota (to be replaced by Lot 1, Block 1, Lake Ridge Apartments as a new final plat). 3. The amended Shepherd’s Path Final PUD Plan includes the following elements: a. The 151-unit apartment in Outlot A includes a 3-story building with 324 total parking spaces located underground (151), on the surface (140), and within two accessory garage structures (33); an outdoor patio; and an indoor fitness room, sauna, lounge and party room. b. The PUD housing density of the development within Outlot A is approximately 16.4 units per net acre, using 9.19 acres as the net calculation. c. Conditions of approval include: (1) the final project development plans shall be subject to the full site plan review process as identified in Subsection 1108.900 of the Zoning Ordinance; (1a) SMSC will have an opportunity to review and offer comments on the final storm water management plan as soon as it becomes available; and (2) the existing sidewalk on the west side of McKenna Road, southerly of its intersection with North Berens Road, should be fully extended to CSAH 42. 4. Section 104 entitled “General Penalty” is adopted in its entirety by reference, as though repeated verbatim. This ordinance shall become effective from and after its passage and publication. Passed by the City Council of the City of Prior Lake this 12th day of December, 2016. ATTEST: ______________________________ _______________________________ Frank Boyles, City Manager Kenneth L. Hedberg, Mayor To be published in the Prior Lake American on the Saturday, December 17, 2016. 4646 Dakota Street SE Prior Lake, MN 55372 RESOLUTION 16-XXX A RESOLUTION APPROVING THE LAKE RIDGE APARTMENTS FINAL PLAT AND DEVELOPMENT AGREEMENT Motion By: Second By: WHEREAS, WHEREAS, Lake Ridge Apartments LLC (the “Developer”) has applied to the City of Prior Lake for approval of a Final Plat for Lake Ridge Apartments; and Lake Ridge Apartments represents Outlot A of the approved 2006 Shepherds Path Addition plat as approved by the City Council on June 26, 2006 per Resolution 06- 091; and WHEREAS, The City Council has found that the final plat of Lake Ridge Apartments is in substantial compliance with the approved preliminary plat and final plat for Shepherds Path Addition. 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 as if fully set forth. 2. The final plat of Lake Ridge Apartments is approved subject to the following conditions, which shall be met by the Developer prior to release of and recording of the final plat: a. A current title opinion or commitment of title insurance is submitted acceptable to the City Attorney. b. Payment of all fees prior to release of the final plat mylars. c. Reductions of the entire final plat be submitted, to the following scales: 1” = 200’; and one reduction at no scale which fits onto an 8 1/2” x 11” sheet of paper. d. Three mylar sets of the final plat with all required signatures are submitted. e. The final plat and all pertinent documents must be filed with Scott County within ninety (90) days from the date of final plat approval. Failure to record the documents by March 13, 2017, will render the final plat null and void unless further extended by the City Council. 3. The Mayor and City Manager are hereby authorized to execute the Development Agreement on behalf of the City. PASSED AND ADOPTED THIS 12th DAY OF DECEMBER, 2016. VOTE Hedberg Keeney McGuire Morton Thompson Aye ☐ ☐ ☐ ☐ ☐ Nay ☐ ☐ ☐ ☐ ☐ Abstain ☐ ☐ ☐ ☐ ☐ Absent ☐ ☐ ☐ ☐ ☐ _____________________________ Frank Boyles, City Manager Prior Lake 2030 Comprehensive Land Use Plan Shepherd’s Path PUD Area Prior Lake Zoning Map (2016) Shepherd’s Path PUD Area G-Cubed Engineering, Surveying and, Planning 285 Westview Drive West St. Paul MN 55118 office 651-288-1100, fax 651-455-4948 DATE 11-08-2016 Dan Rogness City of Prior Lake 4646 Dakota St. SE Prior Lake. MN 55372 Re: Lake Ridge Apartments, Application - revised Please accept our application for a Major Planned Unit Development Amendment and Final Plat. General Description: The proposed project consists of a new 151 unit market rate apartment building with 151 underground parking stalls. The center of the proposed building will have a large main entrance with an open atrium with views all the way through the building. Traffic: A Traffic Study completed by SRF in 2006 and last updated in March 2008 includes the Shepherd’s Path development. The report recommended a traffic signal at the intersection of CSAH 42/New McKenna Road. The signal is constructed and was designed to include the development of this parcel. The concept plans used on this parcel for future development shows a large activity center with a 270-car parking lot. The proposed traffic volumes for this project will have a significantly smaller peak-traffic demand than what was planned. Wetlands: A wetland delineation was completed by Pinnacle Engineering in 2000 for Shepard’s Path development and includes this parcel. Another delineation report was completed by Applies Environmental Services LLC in 2004 for the McKenna Road project. This parcel has a delineated wetland to the south end of the property and an easement was created to help protect it. The report recommends a thirty-foot buffer to protect the wetland. This project will not encroach into the 30’ wetland setback, a minimum of 50’ setback shall be used on this project in order to ensure protection of the wetland. Storm Water: Sunde Engineering completed a storm water study hydraulic analysis for the Shepherds Path development, which includes the existing conditions and proposed water volume flow conditions and the development of this parcel. The study also references work completed by Halling Engineering. The assumptions used in the report for this parcel was 65 percent impervious surface development and with that analysis the storm sewer system and ponds are constructed to serve this property. The concept plans used on this parcel for future development shows a large activity center with a 270 car parking lot. The proposed project has 34.0 percent impervious surface, much lower than the 65 percent impervious surface used and thus will have less runoff than what was anticipated in the storm sewer system design. The storm water system design shall meet all the requirements of the MnPCA, must obtain a MnPCA Storm Water NPDES Permit and be approved by the city engineer. Sanitary Sewer and Water: Sanitary Sewer and Water are constructed in the McKenna Road Right of way, are stubbed to the property and sized adequately to serve the property. Hydrant test data completed by Viking Automatic Sprinkler was completed in 2003 and shows a static pressure of 103 PSI and a Residual Pressure of 52 PSI with 2210 GPM near the site. This is considered more than adequate for the project. Summary: This property is part of the Shepherds Path development and the infrastructure has been designed and is constructed to accommodate the development of this parcel. Thank you, Daniel Tilsen, G-Cubed Inc. 285 Westview Drive W. Saint Paul, MN 55118 651-283-7546 Studio 14 One Bedroom 50 Two Bedroom 75 Two Bedroom and Den 12 Total 151 LAKE RIDGE T H Eu r b a nST U D I O 219'-6"71'-0" 32 8 ' - 0 " 33 8 ' - 0 " 32 7 ' - 5 1 16 " 33 6 ' - 1 0 " 71'-0" 12 7 ' - 1 0 11 16 " 12 8 ' - 6 " 71 ' - 0 " SS 32 8 ' - 0 " 33 8 ' - 0 " 10 ' - 0 " S S 219'-6"71'-0"71'-0" PARKING LEVEL- 155 PARKING 61,376 SF 1/32"=1'-0" ur b a n TH E ST U D I O LA K E R I D G E A P A R T M E N T S PR I O R L A K E , M I N N E S O T A 31 8 S o u t h B r o a d w a y , S u i t e 2 0 0 Ro c h e s t e r , M N 5 5 9 0 4 Ph o n e : 5 0 7 . 2 8 5 . 5 0 4 3 F a x : 5 0 7 . 2 8 5 . 5 0 5 1 I HEREBY CERTIFY THAT THIS PLAN, SPECIFICATION, OR REPORT WAS PREPARED BY ME OR UNDER MY DIRECT SUPERVISION AND THAT I AM A DULY LICENSED ARCHITECT UNDER THE LAWS OF THE STATE OF MINNESOTA SIGNATURE: NAME: TERESA THORESON McCORMACK REGISTRATION NUMBER: 21247 Nov 07, 2016 A1.0 FULL SCALE PRINTED ON 22 x 34 HALF SCALE ON 11 X 17 Nov 07, 2016 ENTRY LEVEL 58,425 SF 1/32"=1'-0" S S 32 8 ' - 0 " 33 8 ' - 0 " 10 ' - 0 " S S 219'-6"71'-0"71'-0" SS 32 8 ' - 0 " 33 8 ' - 0 " 10 ' - 0 " S S 219'-6"71'-0"71'-0" S S SECOND LEVEL- 53,329 SF 1/32"=1'-0" ur b a n TH E ST U D I O LA K E R I D G E A P A R T M E N T S PR I O R L A K E , M I N N E S O T A 31 8 S o u t h B r o a d w a y , S u i t e 2 0 0 Ro c h e s t e r , M N 5 5 9 0 4 Ph o n e : 5 0 7 . 2 8 5 . 5 0 4 3 F a x : 5 0 7 . 2 8 5 . 5 0 5 1 I HEREBY CERTIFY THAT THIS PLAN, SPECIFICATION, OR REPORT WAS PREPARED BY ME OR UNDER MY DIRECT SUPERVISION AND THAT I AM A DULY LICENSED ARCHITECT UNDER THE LAWS OF THE STATE OF MINNESOTA SIGNATURE: NAME: TERESA THORESON McCORMACK REGISTRATION NUMBER: 21247 Nov 07, 2016 A1.1 FULL SCALE PRINTED ON 22 x 34 HALF SCALE ON 11 X 17 Nov 07, 2016 THIRD LEVEL-- 57,156 SF 1/32"=1'-0" S 18'-27 8" 29 ' - 1 5 16 " 35 ' - 9 5 8 " 9' - 1 0 3 16 " 7' - 3 5 16 " 11 ' - 1 1 13 16 " 513 SF 17'-27 8" 11 ' - 5 13 16 " 14 ' - 5 1 16 " 8'-81 16" 18'-27 8" 35 ' - 9 5 8 " 9' - 1 0 3 16 " 7' - 3 5 16 " 11 ' - 1 1 13 16 " 712 SF 11'-63 4"11'-53 16" 28 ' - 1 5 16 " 11 ' - 5 13 16 " 6' - 7 13 16 " 8' - 1 1 11 16 " 36'-95 8" 29 ' - 1 5 16 " 35 ' - 9 5 8 " 7' - 1 13 16 " 9' - 8 11 16 " 12 ' - 2 13 16 " 11 ' - 1 7 16 " 17 ' - 1 1 7 8 " 12'-33 4"12'-23 16"12'-33 4" 1055 SF 11'-63 4" 11 ' - 5 13 16 " 11'-83 16"11'-63 4" 17 ' - 2 7 8 " 10 ' - 4 7 16 " 5'-63 4"5'-515 16" 28 ' - 1 5 16 " 5'-63 4" 6' - 7 13 16 " 8' - 1 1 11 16 " 36'-65 8" 29 ' - 1 5 16 " 35 ' - 9 5 8 " 10 ' - 3 15 16 " 9' - 5 11 16 " 15 ' - 0 " 11 ' - 1 1 13 16 " 7' - 2 5 16 " 9' - 1 1 3 16 " 5'-515 16"5'-63 4" 12'-63 4"19'-111 16"4'-103 16" 36'-65 8" 5'-63 4"6'-515 16" 12'-03 4" 1134 SF 11 ' - 5 13 16 " 6' - 8 5 16 " 5'-63 4" 11'-63 4"11'-511 16"11'-63 4" 14 ' - 6 " 28 ' - 1 5 16 " 6' - 3 5 16 " ur b a n TH E ST U D I O LA K E R I D G E A P A R T M E N T S PR I O R L A K E , M I N N E S O T A 31 8 S o u t h B r o a d w a y , S u i t e 2 0 0 Ro c h e s t e r , M N 5 5 9 0 4 Ph o n e : 5 0 7 . 2 8 5 . 5 0 4 3 F a x : 5 0 7 . 2 8 5 . 5 0 5 1 I HEREBY CERTIFY THAT THIS PLAN, SPECIFICATION, OR REPORT WAS PREPARED BY ME OR UNDER MY DIRECT SUPERVISION AND THAT I AM A DULY LICENSED ARCHITECT UNDER THE LAWS OF THE STATE OF MINNESOTA SIGNATURE: NAME: TERESA THORESON McCORMACK REGISTRATION NUMBER: 21247 Nov 07, 2016 A1.2 FULL SCALE PRINTED ON 22 x 34 HALF SCALE ON 11 X 17 Nov 07, 2016 1 STUDIO 1/4"= 1'-0" 2 ONE BEDROOM 1/4"= 1'-0"3 TWO BEDROOM 1/4"= 1'-0" 4 TWO BEDROOM & DEN 1/4"= 1'-0" 1st FLOOR 0" 2nd FLOOR 12' - 0" 3rd FLOOR 23' - 0" ROOF BEARING 33' - 0" ROOF PEAK 50' - 2" FOUNDATION -15' - 0" CEMENT BOARD- LAP SIDING -IRON GRAY 10" REVEAL CEMENT BOARD- LAP SIDING -TIMBER BARK 10" REVEAL CEMENT BOARD- LAP SIDING - COBBLE STONE 10" REVEAL CEMENT BOARD- TRIM ARCTIC WHITE GAF SHINGLE SADDLEWOOD RANCH STONE ACCENT- LEDGESTONE @ PUBLIC PATIO 1st FLOOR 0" 2nd FLOOR 12' - 0" 3rd FLOOR 23' - 0" ROOF BEARING 33' - 0" ROOF PEAK 50' - 2" FOUNDATION -15' - 0" CEMENT BOARD- LAP SIDING -IRON GRAY 10" REVEAL CEMENT BOARD- LAP SIDING -TIMBER BARK 10" REVEAL CEMENT BOARD- LAP SIDING - COBBLE STONE 10" REVEAL CEMENT BOARD- TRIM ARCTIC WHITE GAF SHINGLE SADDLEWOOD RANCH STONE ACCENT- LEDGESTONE @ PUBLIC ENTRY ur b a n TH E ST U D I O LA K E R I D G E A P A R T M E N T S PR I O R L A K E , M I N N E S O T A 31 8 S o u t h B r o a d w a y , S u i t e 2 0 0 Ro c h e s t e r , M N 5 5 9 0 4 Ph o n e : 5 0 7 . 2 8 5 . 5 0 4 3 F a x : 5 0 7 . 2 8 5 . 5 0 5 1 I HEREBY CERTIFY THAT THIS PLAN, SPECIFICATION, OR REPORT WAS PREPARED BY ME OR UNDER MY DIRECT SUPERVISION AND THAT I AM A DULY LICENSED ARCHITECT UNDER THE LAWS OF THE STATE OF MINNESOTA SIGNATURE: NAME: TERESA THORESON McCORMACK REGISTRATION NUMBER: 21247 Nov 07, 2016 A2.0 FULL SCALE PRINTED ON 22 x 34 HALF SCALE ON 11 X 17 Nov 07, 2016 SOUTH ELEVATION 1/16"=1'-0" NORTH ELEVATION 1/16"=1'-0" 1 L:\16 FILES\16 SUBDIVISIONS\FINAL PLAT\Lake Ridge Apartments (DEV16-000007)\PC Report\11 21 2016 Shepherds PUD Amend PC Report Attach7 LakeRidgeApartments_commentletter_11152016.docx LAND AND NATURAL RESOURCES DEPARTMENT November 15, 2016 Jeff Matzke, Planner City of Prior Lake 4646 Dakota St. SE Prior Lake, MN 55372 RE: Comments on Revised Referral of Lake Ridge Apartments Project Dear Jeff; I am forwarding this letter, which constitutes the SMSC’s revised comments on the revised submittal dated 11/09/2016 Please let me know if you have any questions. Sincerely, R. Michael Leek, Tribal Planning Manager General Comments and Recommendation: I appreciate the opportunity to meet with City staff on Tuesday, November 15 to discuss this project. At that meeting it was explained that City staff felt that the proposed apartment use would generate less traffic than the soccer dome and soccer field/hockey rinks initially approved as a part of the Shepherd’s Path PUD. In Addition, City staff felt that the total daily traffic load would not exceed the 2006 Scott County projections. While I appreciate the basis for the City staff decision not to require an updated traffic analysis, the nature of the use (and its traffic generation patterns) compared to the uses originally approved in the Shepherd’s Path PUD is significantly different enough in the opinion of the SMSC to still warrant an update to the traffic analysis. In addition, the changes in the roadway network in this area also suggest that an update would be desirable. The SMSC recommends that a traffic analysis update should include the following;  An up to date traffic analysis that evaluates the impact of the project on residents of the adjacent, nearby SMSC trust lands/residential neighborhoods, as well as the impact on traffic flow and stacking at the intersection of McKenna Road and CR 42;  An analysis of the additional wear and tear on McKenna Road, which is maintained by the SMSC and runs through and adjacent to SMSC trust lands. The 2 L:\16 FILES\16 SUBDIVISIONS\FINAL PLAT\Lake Ridge Apartments (DEV16-000007)\PC Report\11 21 2016 Shepherds PUD Amend PC Report Attach7 LakeRidgeApartments_commentletter_11152016.docx SMSC has maintained McKenna Road to the north for something in excess of 10 years. In addition, the SMSC recommends that there be a Stormwater Management Plan for this project. We recognize that a preliminary grading and drainage plan was filed with the application. However, that level of plan does not provide the SMSC with the opportunity to fully confirm what, if any, drainage from the project would have on the wooded SMSC property to the west. The recommended conditions of approval require a revised plan, but post approval the SMSC would not able to provide any meaningful review of the drainage plan. The SMSC recommends to the City of Prior Lake that the PUD Amendment and Final Plat not be approved, but instead be tabled at this time, and that the project applicant be required to prepare and submit a revised traffic analysis and Stormwater Management Plan. Specific Traffic Concerns; Prior Lake city staff were kind enough to provide SMSC with a copy of the 2005 traffic analysis done by the consulting firm SRF for the Shepherd’s Path PUD. Unfortunately, that analysis did not include traffic generation for a project like the Lake Ridge Apartments that are currently proposed. The project, as revised, proposes 150 market-rate to luxury apartments. With that rental structure it is reasonable to expect that many of the households that would occupy the units would be 2-car households. Given that assumption, it is reasonable to expect traffic generation numbers very similar to single- family residential units, i.e. 10 trips/day. This equates to 1,500 trips per day that would be generated by this project. About half of these trips can be expected to be commuting trips, and would have only one exit, i.e. on to McKenna Road. Prior Lake staff analysis estimates that about 75%/1,125 trips would be northbound on McKenna Road, while 375 trips would be northbound on McKenna Road. Even that level of southbound trips daily could have an impact of the functioning of the intersection of CR 42 and McKenna Road. . While McKenna Road is designed for traffic volumes up to 6,400 cars/day, existing and proposed SMSC residences will already contribute about 2,000 vehicles per day. Future commercial and business park development would also add substantially to the daily traffic loading on McKenna Road. It also expected that it would experience significant use for church events and worship. Given that McKenna Road runs through SMSC lands and is maintained by the SMSC, the City and the SMSC should have further discussions about whether this impact is acceptable or can be mitigated, and about the impact on the cost of maintaining McKenna Road as a result of the additional wear and tear. Drainage Comments: 3 L:\16 FILES\16 SUBDIVISIONS\FINAL PLAT\Lake Ridge Apartments (DEV16-000007)\PC Report\11 21 2016 Shepherds PUD Amend PC Report Attach7 LakeRidgeApartments_commentletter_11152016.docx 1. A majority of this site currently drains west to a ravine between Woodland Trail and Thunderbird Circle and ultimately to the East Village ponds. 2. Stormwater runoff from the improved site is proposed to be routed east to the existing ponds south of the YMCA/Shepherd of the Lake Church. These ponds drain east across CR 21 and ultimately to Pike Lake. 3. The amount of runoff directed through SMSC land should in theory be reduced based on this initial review. However, the Stormwater Management Plan should be submitted for confirmation to ensure peak runoff rates and volumes to SMSC land are not increased. Light and Noise Concerns: The applicant has submitted a revised plan that orients the surface parking facilities to the south side of the site. This should substantially address the concerns expressed in the previous SMSC comments on this project. Request: Because the applicant has not provided;  An updated analysis of the impact of the project’s traffic generation on adjacent and nearby SMSC residents;  An analysis of the impact on the cost of the SMSC maintaining McKenna Road, which the City of Prior Lake and the SMSC should then discuss;  A Stormwater Management Plan. The SMSC requests the following;  That action on this project be tabled for the time being;  That the applicant be required to provide the information and analyses outlined immediately above;  That this information and analyses be provided to SMSC staff for review well in advance of any action(s) by the City on this project  That representatives of the City and SMSC meet to discuss the cost impacts of the additional wear and tear on McKenna Road from traffic generated by this project. Page 1 DEVELOPMENT AGREEMENT LAKE RIDGE APARTMENTS PROJECT #16-000007 This Development Agreement (“Agreement”) is entered into this 12th day of December, 2016, by and between the City of Prior Lake, a Minnesota municipal corporation ("City"), and Lake Ridge Apartments LLC, a Minnesota limited liability company (“Developer”). WHEREAS, Developer is the owner of property located within the City of Prior Lake, County of Scott, legally described on Exhibit A (“Property”); WHEREAS, Developer has applied to the City for Final Plat approval for the construction of 151 residential units on the Property; NOW, THEREFORE, in consideration of the City adopting Resolution No. ____________ (“Resolution”) for Final Plat approval for the construction of 151 residential units and the related public improvements on the Property, Developer agrees to construct, develop and maintain the Property as follows: 1. RIGHT TO PROCEED. The City shall not issue a grading or building permit and Developer shall not grade or otherwise disturb the earth, remove trees, develop, construct upon or maintain the Property in any manner, or begin the Development Work until all of the following conditions have Page 2 been satisfied: 1) the final Plat and this Agreement have been fully executed by all parties and recorded in the office of the Scott County Recorder or Registrar or Titles as applicable; 2) the necessary Security, fees and insurance have been received by the City, and 3) the City Engineer or designee has issued a letter that all conditions have been satisfied and that the Developer may proceed. 2. PHASED DEVELOPMENT. This Agreement represents approval only of the units identified above and the related improvements set forth on the final Plat and Plans. It does not represent approval of any additional development including any proposed future phases. If the final Plat is a phase of a multi-phased preliminary Plat, the Developer shall submit, in accordance with City Code, a staging plan for City Council approval which may allow the Developer more than one (1) year to subdivide the Property into lots and blocks. If the final Plat is a phase of a multi-phased preliminary Plat, the City may refuse to approve final plats of subsequent phases or other Plats within the City if the Developer has breached this Agreement or any terms or conditions set out in the Resolution and the breach has not been remedied. In addition, no other subsequent phases may proceed until the City approves development agreements for such phases. Fees and charges collected by the City in connection with infrastructure, public improvements and parkland dedication requirements are not being imposed on outlots, if any, in the final Plat that are designated in an approved preliminary Plat for future subdivision into lots and blocks. Such charges will be calculated and imposed when the outlots are subdivided into lots and blocks. 3. DEVELOPMENT PLANS. A. The Property shall be developed in accordance with the final plans identified below, subject to such changes and modifications as provided herein (“Plans”). The Plans shall not be attached to this Agreement, but are incorporated by reference and made a part of this Agreement as if fully set forth herein. If the Plans vary from the written terms of this Agreement, the more specific or stringent controls shall apply. The Plans are: Page 3 Plan A -- Final Plat as stamped approved by the City Engineer or his/her designee (Prepared by G-Cubed Inc.) subject to the changes and modifications set forth in the Resolution. Plan B -- Final Grading, and Erosion Control Plan(s) including Storm Water Pollution Prevention Plan (“SWPPP”) as stamped approved by the City Engineer or his/her designee (Prepared by G-Cubed Inc.) Plan C -- Plans and Specifications for Developer Installed Improvements as stamped approved by the City Engineer or his/her designee (Prepared by G-Cubed Inc.) Plan D -- Landscape Plan as stamped approved by the City Public Works and Natural Resources Director or his/her designee (Prepared by G-Cubed Inc.) B. In addition, Developer shall grade, construct upon, and improve the Property pursuant to all requirements of this Agreement, the Resolution, the Prior Lake City Code, the City's Public Works Design Manual (“PWDM”), the City Manager of his/her designee. All improvements and other work required by the Plans, the Developer Installed Improvements, and such other work as is required by this Agreement, the Resolution or the parties identified above are hereafter referred to as the "Development Work." Developer shall be responsible for all costs related to the Development Work. 4. DEVELOPER INSTALLED IMPROVEMENTS. A. The Developer shall install and pay for the following public improvements which shall be dedicated or conveyed to the public, and which are hereafter referred to as the “Developer Installed Improvements”: Sanitary Sewer System, Water System, Storm Sewer, Streets, Concrete Curb and Gutter, Street Lights, Site Grading and Ponding, Underground Utilities, Traffic Control Signs, Street Signs, Setting of Iron Monuments, Sidewalks, Trails, and Boardwalks, Landscaping and Wetland Buffer Signage. B. Developer shall complete all Developer Installed Improvements and obtain the City’s written acceptance of the Developer Installed Improvements no later than December 31, 2017, with the exception of the final wear course of asphalt on streets. The final wear course on streets shall be installed by July 30th, of the first summer after the base layer of asphalt has been in place for one freeze-thaw cycle. Page 4 C. As a condition of the City’s acceptance of the Developer Installed Improvements, the Developer’s engineer shall by written letter certify to the City that the Developer’s engineer made reasonable inspections of the Developer Installed Improvements and that the Developer Installed Improvements were built in accordance with this Agreement. D. Prior to acceptance of the Developer Installed Improvements by the City, Developer shall post maintenance bonds, in a form acceptable to the City, naming the City as obligee, which secure all warranties identified in this Agreement. These maintenance bonds shall be in addition to, and not in lieu of, the Security required by this Agreement. E. Upon the City’s written acceptance, by City Council Resolution, of the Developer Installed Improvements, the Developer Installed Improvements shall automatically become property of the City without further notice or action. The Developer shall be responsible for all maintenance until written acceptance by the City of the Developer Installed Improvements. F. Under no circumstances shall Developer charge or assess, directly or indirectly, any fee, charge, assessment or consideration, to any party, for connection or access to, or service by, any Developer Installed Improvement. 5. PROJECT TESTING. The Developer is responsible, at the Developer’s sole cost, to provide testing to certify that Developer Installed Improvements were completed in compliance with the Plans. The personnel performing the testing shall be certified by the Minnesota Department of Transportation. The City Engineer has the sole discretion to determine if additional testing is necessary. The cost of additional testing is to be paid by the Developer. 6. FINAL PLAT AND AS-BUILTS. A. Within 30 days after the completion of the Developer Installed Improvements Developer shall supply the City a complete set of reproducible “as constructed” plans, and four complete sets of blue line “as constructed” plans, all prepared in accordance with City standards. In addition, Developer shall Page 5 provide the City with an as built grading plan and a certification by a registered land surveyor or engineer that all ponds, swales, and ditches have been constructed on public easements or land owned by the City. The Security shall not be released until the as-builts have been received by the City. The as-built plan shall include field verified elevations of the following: a) cross sections of ponds, b) location and elevations along all swales and ditches, and c) lot corners and house pads. The Developer shall also submit a land tabulation certified by a registered engineer showing that all pads have been corrected in accordance with project specifications. B. The Developer shall to submit the final Plat in electronic format. The electronic format shall be compatible with the City's current software. In addition, upon completion of the project the Developer shall provide the City with as-built utility plans in electronic format compatible with the City’s current software and with layers, colors, and line-types formatted in accordance with City standards. Additionally, three (3) full size (22 X 34 inch) paper copies and one (1) reduced (11 X 17 inch) copy shall be certified and submitted to the City. 7. MONUMENTS. Before the Security is released, Developer shall install iron monuments in accordance with Minn. Stat. §505.021. The Developer's surveyor shall submit a written notice to the City certifying that the monuments have been installed. 8. WARRANTY. Developer warrants all Developer Installed Improvements against any defects, poor material and faulty workmanship for a period of two years after its completion by Developer and acceptance by the City. Any replacement work shall be so warranted for two years after its completion by Developer and acceptance by the City. All landscaping including but not limited to, trees, bushes, shrubs, grass and sod, shall be warranted to be alive, of good quality and disease free for 12 months after planting. Any replacements shall be so warranted for 12 months after planting of the replacement. Page 6 9. LICENSE. The Developer hereby grants the City, its agents, employees, officers and contractors a non-revocable license to enter the Property to perform all work and inspections deemed appropriate by the City in conjunction with the development of the Property. 10. EROSION CONTROL. A. Developer shall be responsible for constructing and maintaining all grading, storm water/drainage infrastructure, and erosion control in compliance with the Plans, the City Engineer’s requirements, and the individual building/grading plan for each specific lot, until the later of: (i) such time as the City has accepted the Developer Installed Improvements in writing; or (ii) until each specific lot is sold. B. Developer shall install silt fence prior to lot construction to avoid erosion to adjoining properties, public sidewalk or the public street; locate all garbage roll offs and dumpsters, or cause the same to be located, on the Property and not on public property; and install protection at catch basins to prevent silt and debris from entering the storm sewer. C. Developer shall seed or lay cultured sod in all boulevards and restore all other areas disturbed by the Development Work within thirty (30) days of the completion of street related improvements. Boulevard and Area Restoration shall be in accordance with the approved erosion control plan and SWPPP. No building permits will be issued until the Developer has installed silt -fence behind the curb of all buildable lots. Developer shall be responsible for the maintenance of any silt fence installed. Upon request of the City Engineer, the Developer shall remove the silt fences after turf establishment. D. Prior to initiating site grading, the erosion control plan and SWPPP shall be implemented by the Developer and inspected and approved by the City Engineer. The City may require the Developer, at no cost to the City, to install additional erosion control measures if they are necessary to meet erosion control objectives. All areas disturbed shall be reseeded immediately after the completion of the work in that area. All seeded areas shall be mulched, and disc anchored as necessary for seed retention. Page 7 E. No development, utility or street construction will be allowed unless the Property is in full compliance with the erosion control requirements. 11. CONSTRUCTION ACCESS. Construction traffic access is restricted to McKenna Road. No construction traffic is permitted on other adjacent local streets. 12. IMPROVEMENTS REQUIRED BEFORE ISSUANCE OF BUILDING PERMITS. A. Wetland Buffer Signage must be installed prior to the issuance of any building permits within the Property and in accordance with the requirements of the Public Works Design Manual (Part III, Hydrology Rules). B. A temporary or permanent Certificate of Occupancy shall not be issued for any building on the Property until water and sanitary sewer improvements have been installed and the streets have been completed and the first lift of bituminous has been placed and said improvements have been inspected and determined by the City to be available for use. C. Notwithstanding any other provision of this Agreement, the City will issue a building permit for up to two (2) model homes and a temporary parking lot upon Developer’s compliance with the following requirements: (1) approval of the building plans by the Building Official; (2) approval of a site survey for the model home(s) and parking lot(s) by the City Planner, and (3) presence of a paved street within 300 feet of a model home and presence on said paved street of a fire hydrant within 300 feet of a model home and approval by the Fire Chief. 13. CONSTRUCTION OBSERVATION. The City’s authorized personnel shall provide construction observation during the installation of the Developer Installed Improvements in accordance with the PWDM. These services by the City shall include: A. Construction observation during installation of required Developer Installed Improvements, which include grading, sanitary sewer, water main, storm sewer/ponding and street system. B. Documentation of construction work and all testing of Developer Installed Improvements. Page 8 C. Field document as-built location dimensions for sanitary sewer, water main and storm sewer facilities. The Developer’s Engineer is responsible for data collection and preparation of as-built record plans. 14. DEDICATIONS, CONVEYANCES, EASEMENTS AND VACATIONS. A. Developer shall convey to the City, through dedication in the final Plat or a separate conveyance document, fee title or an easement (whichever is required by the City) to all of the following: (i) the property encompassing all Developer Installed Improvements, (ii) property necessary for all public and private connections and access to all Developer Installed Improvements, (iii) property for streets, sidewalks and trials identified in paragraph 4; (iv) property for park dedication identified in paragraph 15 and (iv) all other property interests, conveyance of which is required by this Agreement. B. Developer shall obtain the City Engineer’s written approval of the form of the conveyance documents and the location of all easements or fee title conveyances required by this Agreement. C. With respect to any interest in all portions of the Property which Developer is required, pursuant to this Agreement, to dedicate or convey to the City ("Dedicated Property"), Developer represents and warrants as follows now and at the time of dedication or conveyance: (i) that Developer has marketable fee title free and clear of all mortgages, liens, and other encumbrances to the De dicated Property. Prior to final plat approval, Developer shall provide to the City a current title insurance policy insuring such a condition of title; (ii) that Developer has not used, employed, deposited, stored, disposed of, placed or otherwise allowed to come in or on the Dedicated Property, any hazardous substance, hazardous waste, pollutant, or contaminant, including, but not limited to, those defined in or pursuant to 42 U.S.C. § 9601, et. seq., or Minn. Stat., Sec. 115B.01, et. seq. (such substances, wastes, pollutants, and contaminants hereafter referred to as "Hazardous Substances"); (iii) that Developer has not allowed any other person to use, employ, deposit, store, dispose of, place or otherwise have, in or on the Property, any Hazardous Substances; and (iii) that to the best of its knowledge, Developer warrants that no previous Page 9 owner, operator or possessor of the Property deposited, stored, disposed of, placed or otherwise allowed in or on the Property any hazardous substances. E. Developer agrees to indemnify, defend and hold harmless City, its successors and assigns, against any and all loss, costs, damage and expense, including reasonable attorneys’ fees and costs, that the City incurs because of the breach of any of the above representations or warranties and/or resulting from or due to the release or threatened release of Hazardous Substances which were, or are claimed or alleged to have been, used, employed, deposited, stored, disposed of, placed, or otherwise located or allowed to be located, in or on the Dedicated Property by Developer, its employees, agents, contractors or representatives. 15. PARK DEDICATION AND PLANS OR PARK DEDICATION FEES. All park dedication for this property was satisfied with the platting of a previous plat (Shepherd’s Path Addition). 16. FEES. Developer shall pay the fees set forth in Exhibit B prior to any work occurring on the Property. Such fees may include but are not limited to the following: A. Administrative Fee. Developer shall pay to the City an Administrative Fee based on construction cost estimates to reimburse the City for such costs. Any costs incurred by the City in excess of the Administrative Fee shall be the responsibility of the Developer. B. Construction Observation Deposit. Developer shall make a cash deposit with the City for construction observation. Any costs incurred by the City in excess of the deposit shall be the responsibility of the Developer. City shall invoice to the Developer for such costs and Developer shall pay all such invoices within ten (10) days of receipt. Any balance remaining after the City’s final acceptance of the Developer Installed Improvements shall be returned to the Developer. C. Tree Preservation and Replacement. D. Trunk Storm Water Acreage Charge. E. Trunk Water Acreage Charge. Page 10 F. Trunk Sewer Acreage Charge. G. Street Oversize Acreage Charge H. Utility Connection Charge. I. Street Light Operational Costs. 17. MAINTENANCE OF PLATTED LOTS. Developer shall provide ongoing maintenance of all platted lots on the Property (with the exception of outlots upon which no improvements are anticipated until some future phase of development), including but not limited to mowing and weed control, sidewalk clearing (ice, snow, building materials, eroded materials, and other debris), storm water and erosion control, and other maintenance issues for which the Developer receives notice from the City Manager or his/her designee. Developer’s obligations pursuant to this paragraph shall continue until the later of: (i) such time as the City has accepted the Developer Installed Improvements in writing; or (ii) until each specific lot is sold. 18. OVERSIZING. Oversizing is the construction of a Developer Installed Improvement to City specifications that exceeds those that would be required of the Developer in order to serve additional development. Oversizing improvements include, but are not limited to, sanitary sewer, water, storm drainage facilities, and road improvements. If the City Engineer determines that oversizing is required, the City shall reimburse the Developer for the costs associated with this work. City and Developer agree that the cost of system oversizing to be reimbursed to the Developer is based upon a cost estimate by the City Engineer as determined by an engineer’s estimate or contractors bid to be provided by the Developer and application of the City's Assessment Policy based on a final engineering design as described in Exhibit B. 19. LANDSCAPING (Single-Family Residential). In accordance with the City Subdivision Ordinance, each residential lot on the Property must have at least two (2) front yard trees. The City shall not issue a building permit for a lot until two (2) front yard trees are planted or retained and a cash escrow or letter of credit for the lot in question’s landscaping is provided to the City. The City shall not issue a certificate Page 11 of occupancy for a lot until the front yard, boulevard, and side yards to the rear of every structure have been sodded, weather permitting. If the required landscaping is not installed, the City is granted a right of entry to enter upon the lot and install the landscaping using the escrowed funds or letter of credit. Upon satisfactory completion of the landscaping on the lot, the escrowed funds less any draw made by the City, shall be returned to the person who deposited the funds with the City. 20. LANDSCAPING (Special Provisions). Landscaping for the Property shall comply with Plan C. Developer shall warrant all required trees, whether the trees are to be retained or planted, for one (1) year from the later of: (i) the planting of the tree; or (ii) the issuance of a certificate of occupancy to the lot upon which the tree is located. A tree replaced under this warranty shall be warranted an additional year (1) year from the date of the planting of the replaced tree. In additional to all other security required under this Agreement, Developer shall provide to the City a cash escrow or letter of credit in the amount specified as 125% of the total project landscaping estimate to secure the planting and retainage of the required trees and to secure this warranty. If Developer fails to plant or retain the required trees or fails to comply with this warranty, the City may draw upon the escrowed funds or letter of credit to plant or replace required trees. Developer may periodically request reductions of the escrowed funds or letter of credit and the City may approve such a request in an amount of the value of each healthy tree for which the warranty has expired as determined by the City. No tree plantings shall be placed within five (5) feet of a sanitary sewer, storm sewer, or water main line. All plantings permitted in public right-of-way/boulevard areas shall be placed a minimum four (4) feet behind the curb, be of deciduous species (no coniferous species), and be located outside of a fifty (50) foot sight triangle at street corners. 21. SECURITY. A. To guaranty compliance with the terms of this Agreement, Developer shall furnish the City an irrevocable letter of credit or other security deemed acceptable to the City in the following amounts: i. 125% of projected costs for the Developer Installed Improvements as certified to by a registered engineer and approved by the City Engineer or his/her designee. Page 12 ii. 125% of projected costs for the grading, drainage, wetland and erosion control plan, including storm water calculations from proposed impervious surfaces as certified by a registered engineer and approved by the City Engineer or his/her designee. iii. 125% of projected costs for the landscape plan, as certified by a registered engineer and approved by the City Engineer or his/her designee. B. This breakdown is for historical reference; it is not a restriction on the use of the Security. C. The irrevocable letter of credit or other security deemed acceptable to the City is referred to throughout this Agreement as the “Security.” The Security shall be in the form attached hereto as Exhibit C, from a bank approved by the City. The bank shall be authorized to do business in the State of Minnesota. The Security shall extend through completion and acceptance (including the expected warranty period) by the City of the Development Work. D. In the event that Developer fails to comply with the terms of this Agreement, the City may draw on the Security in whole or in part without notice by delivering or mailing by certified mail to the issuer a statement identifying the amount of the draw and reason for the draw. In addition, if the Development Work is not completed at least 30 days prior to the expiration of the Security, the City may draw on the Security in the same manner. The City shall not be under any obligation to cure any breach of the terms of this Agreement with the proceeds from the Securit y, but may, at the City’s sole option, cure the breach or retain the proceeds from the Security until Developer cures the breach. In the event the breach is fully cured by Developer, the City shall then release to Developer such retained draw proceeds, less any expenses incurred by the City as a result of the breach (including but not limited to engineer’s, attorney’s, and other consultant fees and costs). E. If the City makes a draw on the Security, Developer shall immediately replenish the Security to an amount then sufficient to cure any breach plus 125% of the cost of all Development Work then remaining for which the Security was required. Page 13 F. The City may, from time to time, and only if Developer is otherwise in compliance with all terms of the Agreement, approve a reduction in the amount of the Security based upon work completed and approved by the City Engineer or his/her designee, except that the City may, at all times, maintain the Security in an amount equal to 125% of the actual projected costs for all remaining Development Work for which the Security was required as determined by the City Engineer or his/her designee and 25% of the value of the completed Development Work for which the Security was required. In any event, the City may maintain a minimum 5% of the value of the actual projected costs throughout the warranty period and until the maintenance bonds described in paragraph 8 have been accepted and approved by the City. In the event that maintenance bonds are not submitted, the City may maintain a minimum 25% of the of the value of the actual projected costs throughout the warranty period. 22. CLEAN UP AND DAMAGE: A. Developer assumes full financial responsibility for any damage which may occur to public property including but not limited to streets, street sub- base, base, bituminous surface, curb, utility system including but not limited to water main, sanitary sewer or storm sewer when said damage occurs as a result of the activity which takes place during the development of the Property. Developer further agrees to pay all costs required to repair the streets, utility systems and other public property damaged or cluttered with debris when occurring as a direct or indirect result of the construction that takes place on the Property. B. Developer shall clean the streets every day or as required by the City Engineer. C. Developer agrees that any damage to public property occurring as a result of construction activity on the Property shall be repaired immediately if deemed to be an emergency by the City. Developer further agrees that any damage to public property as a result of construction activity on the Property shall be repaired within 14 days if not deemed to be an emergency by the City. 23. NON-INTERFERENCE WITH ADJOINING PROPERTIES. All work performed by Developer and Developer’s contractors and subcontractors shall be performed exclusively upon the Page 14 Property. Any work related to roads, trails, drainage, and utility improvements, which are specified herein to occur on land outside the Property, shall occur exclusively within the appropriate easement boundaries for such work. In no event shall any work performed by Developer or Developer’s contractors and subcontractors interfere with other properties, right-of-ways, or easements. 24. DEVELOPER’S RESPONSIBILITY FOR CODE VIOLATIONS: In the event of a violation of City Code relating to use of the Property during construction thereon or failure to fulfill an obligation imposed upon the Developer pursuant to this Agreement, City shall give 72 hour notice of such violation in order to allow a cure of such violation, provided however, City need not issue a building or occupancy permit for construction or occupancy on the Property while such a violation is continuing, unless waived by City. The existence of a violation of City Code or the failure to perform or fulfill an obligation required by this Agreement shall be reasonably determined by the City Manager or a designee. 25. DEVELOPER'S RESPONSIBILITY FOR ITS CONTRACTORS: Developer shall release, defend and indemnify City, its elected and appointed officials, employees and agents from and against any and all claims, demands, lawsuits, complaints, loss, costs (including attorneys’ fees), damages and injunctions relating to any acts, failures to act, errors, omissions of Developer or Developer's consultants, contractors, subcontractors, suppliers and agents. Developer shall not be released from its responsibilities to release, defend and indemnify because of any inspection, review or approval by City. 26. RESPONSIBILITY FOR COSTS. Except as otherwise specified herein, Developer shall pay all costs incurred by it or the City in conjunction with the development of the Property, including, but not limited to, legal, planning, engineering, design, development, construction, clean up, repair, easement and land acquisition, and inspection expenses incurred in connection with (i) review, approval, denial, and implementation of zoning, CUP, platting, site and building plan, and any other reviews, approvals, or denials by the City and any other reviewing authority; (ii) the Developer Installed Improvements; (iii) the Property; (iv) the preparation and review of the Agreement and other documents referred to in the Page 15 Agreement or related to the Development Work; and (v) enforcing the terms of this Agreement. Developer shall pay in full all bills submitted to it by the City, in accordance with this Agreement, within 30 days after receipt. 27. DEVELOPER'S DEFAULT. A. Definition. In the context of this Agreement, “Event of Default” shall include, but not be limited to, any one or more of the following events: (1) failure by the Developer to pay in a timely manner, all fees, charges, taxes, claims and liabilities, including but not limited to all real estate property taxes, utility charges, and assessments with respect to the development property; (2) failure by the Developer to construct the Developer Installed Improvements pursuant to the terms, conditions and limitations of this Agreement; (3) failure by the Developer to observe or perform any covenant, condition, obligation or agreement on its part to be observed or performed under this Agreement; (4) transfer of any interest in the Property without prior written approval by the City Council (for the purpose of this paragraph, the sale of a lot, except an outlot, to a builder is not an event of default); (5) failure to correct any warranty deficiencies; (6) failure by the Developer to reimburse the City for any costs incurred by the City or to pay when due the payments required to be paid or secured in connection with this Agreement; (7) failure by the Developer to renew the Security at least thirty (30) days prior to its expiration date; (8) receipt by the City from the Developer’s insurer of a notice of pending termination of insurance; (9) failure to maintain a current insurance certificate on file with the City meeting City requirements; (10) failure to maintain the required Security; (11) a breach of any provision of this Agreement; (12) If any representation made by Developer in this Agreement, is inaccurate, either when made or at a later date; (13) Failure by Developer to pay its debts as they become due, the voluntary or involuntary filing of a petition in bankruptcy, an assignment by Developer for the benefit of its creditors, or the appointment of a receiver for (a) Developer; (b) all or any substantial portion of Developer’s assets; (c) the Property; or (14)If Developer is in default under any mortgage or other pledge, guaranty or security agreement.. Page 16 B. Event of Default - Remedies. Whenever an Event of Default occurs, the City may take any one or more of the following actions: 1. The City may suspend its performance under this Agreement. 2. The City may draw upon or bring action upon any or all of the securities provided to the City pursuant to any of the terms of this Agreement. 3. The City may take whatever action, including legal or administrative action, which may be necessary or desirable to the City to collect any payments due under this Agreement or to enforce performance and/or observance of any obligation, agreement or covenant of development under this Agreement. 4. The City may suspend issuance of building permits and/or certificates of occupancy on any of the lots, including those lots sold to third parties. 5. Suspend the release of any escrowed dollars. 6. Use of escrow dollars or other security to satisfy any outstanding financial obligations to the City including but not limited to all real estate property taxes, utility charges, and assessments with respect to the property; 7. The City is hereby granted the option, but not the obligation, to complete or cause completion in whole or part of all of the Developer’s obligations under this Agreement. This Agreement is a license for the City to act, and it shall not be necessary for the City to seek a court order for permission to enter the Property and cure the default, including but not limited to, completion of the Development Work. When the City does any such work all costs incurred by the City in performing such work shall be recoverable by it from the Security, and shall also constitute a lien on the Property, and the City may, in addition to its other remedies, collect the costs in whole or in part as special assessments as specified in Chapter 429 of the Minnesota Statutes. Developer knowingly and voluntarily waives all rights to appeal said special assessments under Minnesota Statutes Section 429.081. Page 17 C. Notice. In a non-emergency, Developer shall first be given written notice of the Event of Default not less than 48 hours prior to curing the default or exercising a remedy, or such other period of time as the City, in its sole discretion, deems reasonable under the circumstances. If, in the City’s judgment, an Event of Default results in a threat to the public health, safety or welfare, the City may act to correct the default without notice. D. Election of Remedies. No remedy conferred in this Agreement is intended to be exclusive and each shall be cumulative and shall be in addition to every other remedy. The election of any one or more remedies shall not constitute a waiver of any other remedy. The City may, but is not obligated to, exercise any of the remedies referred to in this paragraph 27. 28. NOTICES. A. 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: Lake Ridge Apartments LLC, Peter Stalland, 171 5th Street, Marine on St. Croix, MN 55047. 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 Sarah Schwarzhoff, Gregerson, Rosow, Johnson & Nilan, LTD, 100 Washington Avenue South, Suite 1550, Minneapolis, MN 55401. B. Notices shall be deemed effective on the date of receipt. Any party may change its address for the service of notice by giving written notice of such change to the other party, in any manner above specified, 10 days prior to the effective date of such change. C. Notice related to an Event of Default shall include the following: (1) the nature of the breach of the term or condition that requires compliance by the Developer, or the Event of Default that has occurred; Page 18 (2) what the Developer must do to cure the breach or remedy the Event of Default; and (3) the time the developer has to cure the breach or remedy the Event of Default. 29. INDEMNIFICATION. Developer shall indemnify, defend, and hold the City, its Council, agents, employees, attorneys and representatives harmless against and in respect of any and all claims, demands, actions, suits, proceedings, liens, losses, costs, expenses, obligations, liabilities, damages, recoveries, and deficiencies, including interest, penalties, and attorneys’ fees, that the City incurs or suffers, which arise out of, result from or relate to this Agreement or the Development Work. The responsibility to indemnify and hold harmless the City, its Council, agents, employees, attorneys and representatives does not extend to any willful or intentional misconduct on the part of any of these individuals. 30. NO THIRD PARTY RECOURSE. The City and Developer agree that third parties shall have no recourse against the City under this Agreement. The Developer agrees that any party allegedly injured or aggrieved as a result of the City’s approval of the final Plat shall seek recourse against the Developer or the Developer’s agents. In all such matters, including court actions, the Developer agrees that the indemnification and hold harmless provisions set out in Paragraph 29 shall apply to said actions. This Agreement is a contract agreement between the City and the Developer. No provision of this Agreement inures to the benefit of any third person, including the public at large, so as to constitute any such person as a third-party beneficiary of the Agreement or of any one or more of the terms hereof, or otherwise give rise to any cause of action for any person not a party hereto. 31. INSURANCE REQUIREMENTS. Developer, at its sole cost and expense, shall take out and maintain or cause to be taken out and maintained, until the expiration of the warranty period(s) on the Developer Installed Improvements, a policy of insurance with limits for bodily injury and death of not less than $1,000,000.00 per person and $2,000,000.00 for each occurrence; limits for property damage shall be not less than $2,000,000.00 for each occurrence; or a combination single limit policy of not less than $2,000,000.00. The City, its el ected and appointed officials, officers, employees, planners, engineers, Page 19 attorneys, and agents shall be named additional insureds on any such policy. The insurance certificate shall provide that the City shall be given 30 days’ advance written notice before any modification, amendment or cancellation of the insurance becomes effective. 32. FINAL PLAT AND DEVELOPMENT AGREEMENT: The final Plat and Agreement shall be recorded with the Scott County Recorder or Registrar of Titles, as applicable within 90 days of approval by the City Council. The final plat shall be considered void if not recorded within the 90 days provided for herein unless a request for a time extension is submitted in writing and approved by the City Council prior to the expiration of the 90-day period. 33. RECONSIDERATION OR RESCISSION: If Developer fails to proceed in accordance with this Agreement within twenty-four (24) months of the date hereof, Developer, for itself, its successors, and assigns, shall not oppose the City’s reconsideration and rescission of all approvals issued in connection with this Agreement, thus restoring the status of the Property before the Agreement and all such approvals. 34. SIGNS: The Developer hereby waives any claim against the City for removal of signs placed in the right-of-way in violation of the Cit y Zoning Ordinance and State Statutes. The City shall not be responsible for any damage to, or loss of, signs removed. 35. MISCELLANEOUS. A. Compliance With Other Laws. The Developer represents to the City that the Plat and the Developer in performing all work under this Agreement shall comply with all county, metropolitan, state, and federal laws and regulations, including but not limited to: subdivision ordinances, zoning ordinances, and environmental regulations. If the City determines that the Plat or Developer is not in compliance, the City may, at its option, refuse to allow construction or development work on the Property until the Developer does comply. Upon the City's demand, the Developer shall cease work until there is compliance. Page 20 B. Severability. If any portion, section, subsection, sentence, clause, paragraph, or phrase of this Agreement is for any reason held invalid, such decision shall not affect the validity of the remaining portions of this Agreement. C. Amendments. There shall be no amendments to this Agreement unless in writing, signed by the parties and approved by resolution of the City Council. The City's failure to promptly take legal action to enforce this Agreement shall not be a waiver or release. D. Assignment. The Developer may not assign this Agreement without the prior written approval of the City Council. The Developer's obligation hereunder shall continue in full force and effect even if the Developer sells one or more lots, the entire Property, or any part of it. E. Interpretation. This Agreement shall be interpreted in accordance with and governed by the laws of the State of Minnesota. The words herein and hereof and words of similar import, without reference to any particular section or subdivision, refer to this Agreement as a whole rather than to any particular section or subdivision hereof. Titles in this Agreement are inserted for convenience of reference only and shall be disregarded in constructing or interpreting any of its provisions. F. Successors and Assigns. Provisions of this Agreement shall be binding upon and enforceable against Developers successors and assigns including but not limited to all purchasers and owners of all or any part of the Property and their successors and assigns. G. Performance Standards. The Property shall be developed and operated in a manner meeting all applicable noise, vibration, dust and dirt, smoke, odor and glare laws and regulations. H. No City Liability. Except for the intentional acts of the City or its employees and contractors, no failure of the City to comply with any term, condition, covenant or agreement herein shall subject the City to liability for any claim for damages, costs or other financial or pecuniary charges. Page 21 I. Exhibit A. The Developer hereby irrevocably nominates, constitutes, and appoints and designates the City as its attorney-in-fact for the sole purpose and right to amend Exhibit A hereto to identify the legal description of the Property after platting thereof. Page 22 CITY OF PRIOR LAKE By: ________________________________ _____________________, Mayor By: ________________________________ _____________________, City Manager STATE OF MINNESOTA ) (ss. COUNTY OF SCOTT ) The foregoing instrument was acknowledged before me this _____ day of ____________, 20__, by _____________________, Mayor, and by ____________________, City Manager, of the City of Prior Lake, a Minnesota municipal corporation, on behalf of the corporation and pursuant to the authority granted by its City Council. _____________________________________ NOTARY PUBLIC Page 23 Lake Ridge Apartments LLC By: ________________________________ Its: ________________________________ STATE OF MINNESOTA ) (ss. COUNTY OF __________ ) The foregoing instrument was acknowledged before me this ______ day of ____________, 20__, by _______________________as ___________________ of Lake Ridge Apartments LLC, a Minnesota limited liability company, on behalf of the company. _____________________________________ NOTARY PUBLIC DRAFTED BY: City of Prior Lake 4646 Dakota Street SE Prior Lake, Minnesota 55372 Page 24 OWNERS' SUPPLEMENT TO DEVELOPMENT AGREEMENT BETWEEN _______________________________ AND THE CITY OF PRIOR LAKE THIS AGREEMENT, made and entered into as of _______________________, 20____, by and between ____________________________, a Minnesota _________, ("Owner"), and the City of Prior Lake ("City"): For, and in consideration of, and to induce City to adopt Resolution No. ____________ for ___(list all approvals)____________ approval for the construction of ______(number and type of units)__________ units and the related public improvements (collectively the “Approvals”), as more fully described in that certain Development Agreement entered into as of __________________, 20___, by and between ______________________________, a Minnesota ______________ (“Developer”) and City ("Development Agreement") pertaining to that certain Property described on Exhibit A hereto, Owner agrees with City as follows: 1. If Developer fails to commence development in accordance with the Development Agreement and fails to obtain an occupancy permit for all of the improvements referred to in the Development Agreement within 24 months of the date of this Owners' Supplement, Owner shall not oppose the City's reconsideration and rescission the Approvals, thus restoring the status of the Property before the Development Agreement and all Approvals were approved. 2. This Agreement and the Development Agreement shall be binding upon and enforceable against the Property and the Owners, their successors and assigns of the Property. 3. If Owner transfers this Property, Owner shall obtain an agreement from the transferee requiring that such transferee agree to all of the terms, conditions and obligations of Developer in the Development Agreement. Neither the Owner or transferee are required to develop the property in accordance with this Agreement, so long as Owner or transferee obtain such approvals as are required by City Code to develop the Property in a manner other than as set forth in this Agreement. IN WITNESS WHEREOF, the parties to this Agreement have caused these presents to be executed as of the day and year aforesaid. [signatures on following pages] Page 25 MORTGAGEE CONSENT TO DEVELOPMENT AGREEMENT _____________________, which holds a mortgage on the subject property, the development of which is governed by the foregoing Development Agreement, agrees that the Development Agreement shall remain in full force and effect even if it forecloses on its mortgage. Dated this _____ day of ____________, 20__. ____________________________ By: ________________________________ Its: _______________________________ STATE OF MINNESOTA ) (ss. COUNTY OF __________ ) The foregoing instrument was acknowledged before me this _____ day of ________________, 20__, by ____________________ the _______________________ of ______________________. ________________________________________ NOTARY PUBLIC DRAFTED BY: City of Prior Lake 4646 Dakota Street SE Prior Lake, Minnesota 55372 Page 26 EXHIBIT A TO DEVELOPMENT AGREEMENT Legal Description of Property Being Final Platted and Copy of Final Plat, Including Title Sheet: Page 27 EXHIBIT B TO DEVELOPMENT AGREEMENT Fee Amt Per Total Administrative Fee NA X = Construction Observation (Escrow) NA X = Trunk Storm Water Acreage $ 5,060.00 X 9.190 Acres = $ 46,501.00 Trunk Water Acreage $ 6,692.00 X 9.190 Acres = $ 61,499.00 Trunk Sanitary Sewer Acreage $ 3,344.00 X 9.190 Acres = $ 30,731.00 Street Oversize Acreage $ 5,412.00 X 9.190 Acres = $ 49, 736.00 Utility Connection NA X = TOTAL $ 188,467.00 Security Amt Per Total Sanitary Sewer NA X = Water Main NA X = Storm Sewer NA X = Small Utilities NA X = Streets/Sidewalks/Trails NA X = Street Signs NA X = Traffic Control Signs NA X = Landscaping/Irrigation NA X = Grading NA X = Erosion Control NA X = Oversizing Calculation Amt Per Total NA Page 28 EXHIBIT C SAMPLE IRREVOCABLE LETTER OF CREDIT No. ___________________ Date: _________________ TO: City of Prior Lake 4646 Dakota Street SE Prior Lake, Minnesota 55372 Dear Sir or Madam: By order of our client [name and address of client] we hereby issue our standby irrevocable Letter of Credit for the account of the [insert name of client] for an amount or amounts not to exceed in the aggregate U.S. Dollars $ ___________________________ (__________________ Thousand and No/100 U.S. Dollars) effective immediately and expiring at our [insert address of office] on [insert date] relative to our client’s performance under that certain contract entitled [insert name of contract/development agreement, etc.] dated [insert date of contract]. Funds under this Letter of Credit are available against your sight draft(s) on us, for all or part of this Letter of Credit, mentioning thereon our Credit No.______. Each such draft must be accompanied by your signed written statement to the effect that [name of client] has failed to comply with the terms and conditions of the above mentioned contract. Presentation will also be deemed made upon our receipt of your telecopier transmission to us at (FAX NUMBER [insert fax number] _____________________) of a facsimile of the appropriate sight draft and written statement completed and signed, together with your telephone advice to us at (TELEPHONE NUMBER [insert telephone number] _________________________________) or such other number as we shall specify to you in writing) of your sending the above-described telecopier transmission. Failure to make the telephone advice will not impair the validity of the presentation. If presentations are made by facsimile the original documents are not required. In the event that at least thirty (30) days prior to the expiry date listed above, this Letter of Credit is not extended for a period of at least one year or has not been replaced with a substitute Letter of Credit acceptable to you, this Letter of Credit is also payable to you upon presentation to us of your written statement mentioning thereon our Credit No.[insert number] ____ and stating “Letter of Credit No. [insert number] __________ has not been extended for a period of at least one year from the present expiration date and has not been replaced with a substitute Letter of Credit acceptable to us.” This letter of credit shall automatically extend for successive one-year terms unless at least forty-five days prior to the next annual extension date of [insert day and month of renewal] ________________ of such year, we deliver written notice by registered mail or overnight courier to the City that we intend not to extend the letter of credit for any additional period. If such notice is delivered and the letter of credit has not been replaced with a substitute letter of credit acceptable to you by the date of said notice, this letter of credit is also payable to you upon presentation to us of your written statement mentioning thereon our Letter of Credit No. [insert number] ______________ and stating “Notice of Modification, Cancellation or Non-Extension of Letter of Credit No. [insert number]_________________has been received and the letter of credit has not been replaced with a substitute letter of credit acceptable to us. If we receive your sight draft(s) and statement(s) as mentioned above, here at our address [insert address], on or before the expiry date of this Letter of Credit, we will promptly honor the same. If an interruption of our business occurred as a result of an Act of God, riots, civil commotion, insurrections, wars or any other causes beyond our control, as described in Article 36 of the Uniform Customs and Practices for Documentary Credits, UCP600 2007 which prevented us from accepting and/or paying you on this Letter of Credit, we undertake upon resumption of our business to accept drafts and pay on this Letter of Credit provided your draft is presented prior or during our business interruption or no later than thirty (30) days following resumption of our business. This Credit is subject to the Uniform Customs and Practices for Documentary Credits, UCP600 2007. Very Truly Yours, [Signature of Issuer]