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03-09-10
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03-09-10
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• <br /> II�� j HILLS <br /> MEMORANDUM <br /> DATE: March 9, 2010 <br /> TO: Financial Planning and Analysis Committee <br /> Sue Iverson, Acting City Administrator <br /> FROM: James Lehnhoff, Community Development Director <br /> SUBJECT: Communications Tower Sale Proposal <br /> Action Request <br /> Provide staff with comments and questions regarding the proposal from Sand Companies, Inc. <br /> (SCI) to sell the communications tower at 1296 County Road F to the City. <br /> Background <br /> illIn 1972, the City approved the construction of a 240 foot communications tower at 1296 County <br /> Road F. The property is currently owned by the George J. Reiling Estate. The antenna tower <br /> itself had been owned and maintained by a company called Great River Wireless; however, they <br /> abandoned their rights to the tower in early 2009 due to a disagreement with the Reiling Estate. <br /> U.S. Bank was subsequently hired by the Reiling Estate to manage the tower and property. <br /> Sand Companies, Inc. (SCI) approached the City in August 2009 to discuss the concept of <br /> constructing a 55 unit workforce housing building at 1296 County Road F. Workforce housing <br /> is geared toward working families, and the units have both minimum and maximum income <br /> requirements. Rents range from $755/month for a one bedroom to $1,043/month for a three <br /> bedroom. This is not subsidized housing, and residents must provide documentation of their <br /> income. SCI selected this property because of its proximity to jobs, nearby retail services, <br /> freeway access, and the bus service on Lexington Avenue. To help finance the project, SCI is <br /> pursuing housing tax credits from the Minnesota Housing Finance Agency and have requested <br /> Tax Increment Financing from the City. The City Council approved a letter of support for the <br /> housing tax credit application, which included a support for up to $400,000 in TIF. The letter of <br /> support does not constitute TIF approval in any amount. <br /> City of Arden Hills <br /> IDC:Userslioe.rueblAppDatalLocaliMicrosoftlWindowslTemporaryInternetFileslContent.OutlooklX8RIDU3K,0311910-FPACMemo-Reiling <br /> Tower Purchase.doe <br /> Page 1 of 3 <br />
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