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HomeMy WebLinkAbout05(I) - Resolution Approving an Amended Development Agreement for Revere Addition Report Page 1 DEVELOPMENT AGREEMENT Revere Addition PROJECT #PDEV24-000037 This Development Agreement (“Agreement”) is entered into this ____ day of ________, 2025, by and between the City of Prior Lake, a Minnesota municipal corporation ("City"), and Revere Addition, 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”) being platted as set forth in Exhibit A (“Final Plat”); WHEREAS, Developer has applied to the City for Combined Preliminary Plat and Final Plat approval of the Property; NOW, THEREFORE, in consideration of the City Council adopting Resolution No. 24-134 (“Resolution”) for Combined Preliminary Plat and Final Plat approval of the Property, Developer agrees to construct, develop and maintain the Property as follows: 1. RIGHT TO PROCEED. The City shall not issue a building permit and Developer shall not construct upon the Property in any manner, or begin the Development Work until all of the following conditions have been satisfied: 1) the Final Plat and this Agreement have been fully executed by all parties Page 2 and recorded in the office of the Scott County Recorder or Registrar or Titles as applicable; and 2) the necessary Security, deposits, fees and insurance have been received by the City. 2. PHASED DEVELOPMENT. This Agreement represents approval only of Lot 1, Block 1, Revere Addition and the related improvements set forth on the Final Plat and Plans. 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: Plan A - Final Plat as stamped approved by the City Engineer or his/her designee (Prepared by Probe Engineering Company, Inc.) subject to the changes and modifications set forth in the Resolution. 4. FINAL PLAT. The Developer shall submit the Final Plat in electronic format. The electronic format shall be compatible with the City's current software. 5. 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. 6. 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. Page 3 7. IMPROVEMENTS REQUIRED BEFORE ISSUANCE OF BUILDING PERMITS. A. A temporary or permanent certificate of occupancy shall not be issued for any new building on the Property until water and sewer services are connected to the Property. 8. DEDICATIONS, CONVEYANCES, EASEMENTS AND VACATIONS. A. 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 Dedicated 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 all owed any other person to use, employ, deposit, store, dispose of, place or otherwise have, in or on the Property, any Hazardous Substances; and (iv) that to the best of its knowledge, except as disclosed in the Environmental Reports prepared by Stantec, File No. 22703616, Phase I dated July 18, 2022, and closure letter dated November 9, 2022, copies of which have been provided to the City, Developer states that no previous owner, operator or possessor of the Property deposited, stored, disposed of, placed or otherwise allowed in or on the Property any hazardous substances. B. 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 Page 4 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. 9. FEES AND CHARGES. Developer shall pay the fees and charges identified below, set forth in the City Fee Schedule and described in detail in Exhibit B prior to any work occurring on the Property. Fees and charges are nonrefundable. Such fees and charges 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 costs incurred. B. Park Dedication Fee. Prior to release of the final Plat, Developer shall pay cash park dedication fees for the Property as required by City Code in effect as of the date of the plat approval. C. Tree Preservation and Replacement. D. Trunk Storm Water Acreage Charge. E. Trunk Water Acreage Charge. F. Trunk Sewer Acreage Charge. G. Chip Seal Fee. 10. MAINTENANCE OF PLATTED LOTS. Developer shall provide ongoing maintenance of all platted lots on the Property, 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 each specific lot is sold. 11. 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 United States mail at the following address: Page 5 Revere Addition, LLC, 8345 W. 267th Street, Farmington, MN 55024. Notices to the City shall be in writing and shall be either hand delivered to the City Manager or mailed to the City by United States 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 at the following address: Campbell Knutson, P.A., Attn: David Kendall, Grand Oak Office Center I, 860 Blue Gentian Road, Suite 290, Eagan, MN 55121. 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. 12. 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. 13. 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 Council’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 this agreement 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 Page 6 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. 14. 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. 15. 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 Engineer or his/her designee or the City Attorney determines that the Plat or Developer is not in compliance, the City Engineer or his/her designee or the City Attorney may, at his/her option, refuse to allow construction or Development Work on the Property until the Developer does comply. Upon such demand, the Developer shall cease work until there is compliance. B. Permits. The Developer shall obtain all necessary approvals, permits and licenses from the City, and any other regulatory agencies and the utility companies. 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. C. 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. D. Amendments. There shall be no amendments to this Agreement unless in writing, signed by the parties and approved by resolution of the City Council. Page 7 E. Waiver. Failure of the City to require performance of any provision of this Agreement shall not affect its right to require full performance of this Agreement at any time thereafter and the waiver by the City of a breach of any such provision shall not be a waiver of any subsequent breach and shall not nullify the effectiveness of such provision. F. 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 until the Developer sells all lots, or the entire Property. G. 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. H. Successors and Assigns. Provisions of this Agreement shall be binding upon and enforceable against Developer’s 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. I. 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. J. 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. K. Estoppel. Upon request of the Developer, the City agrees to provide an estoppel stating the status of the Developer’s obligations and the status of completion of improvements to be completed by Developer in accordance with the Plans under the terms of this Agreement. Page 8 CITY OF PRIOR LAKE By: ______________ Kirt Briggs, Mayor By: _________________________ Jason Wedel, City Manager STATE OF MINNESOTA ) (ss. COUNTY OF SCOTT ) The foregoing instrument was acknowledged before me this _____ day of ____________, 2025, by Kirt Briggs, Mayor, and by Jason Wedel, 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 9 REVERE ADDITION, LLC By: ________________________________ ________________________________ Its: _________________________________ STATE OF MINNESOTA ) (ss. COUNTY OF __________ ) The foregoing instrument was acknowledged before me this ______ day of ____________, 2025, by _____________________ as ____________________ of Revere Addition, LLC, a Minnesota limited liability corporation, on behalf of the company. _____________________________________ NOTARY PUBLIC DRAFTED BY: City of Prior Lake 4646 Dakota Street SE Prior Lake, Minnesota 55372 Page 10 EXHIBIT A TO DEVELOPMENT AGREEMENT Legal Description of Property The West 919.11 feet (as measured at right angles) of that part of the North half of the Northwest Quarter (N ½ of NW ¼) of Section 7, Township 114, Range 21, Scott County, Minnesota lying north of the northerly right of way line of the Chicago, Milwaukee and St. Paul Railway Company. (Final Plat Drawing - Attached) Page 11 Page 12 Page 13 EXHIBIT B TO DEVELOPMENT AGREEMENT Deposit/Escrow Amt Per Total Construction Observation Deposit 8% of Public Improvements = $0.00 TOTAL Deposit/Escrow = $0 Fee Amt Per Total Administrative Fee 6% of Public Improvements = $0 Park Dedication Fee $9,000 X 1.34 Acres = $12,060 Trunk Sanitary Sewer Acreage $5,166 X 1.34 Acres = $6,922 Trunk Water Acreage $4,209 X 1.34 Acres = $5,640 Trunk Storm Sewer Acreage $9,456 X 1.34 Acres = $12,671 Chip Seal Fee (Public Streets) $2.25 X 0 Sq. Yd. = $0 TOTAL Fee = $37,293 Security Total Sanitary Sewer = $0 Water Main = $0 Storm Sewer = $0 Streets/Sidewalks/Trails = $0 Additional Items = $0 Subtotal (rounded) = $0 TOTAL (125% of subtotal) = $0