CCP 09-09-2002 - Laserfiche WebLink

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e . . Memo to Council Page 2 September 4, 2002 1. Generally speaking, at any given time there are a limited number of potential tenants looking for the amount of space proposed in the Master Planned Unit Development. As such, a longer time frame is necessary. 2. The eighteen months provided was longer than the code maximum of six months. The following language from the Section 8.D.6.f. of the Zoning Ordinance is illustrative: Effect of PUD Master Plan Approval. The applicant for a PUD Master Plan which has been approved by the Council shall apply for a PUD Final Plan or the 1st stage of the Master Plan within six (6) months, unless some other phasing plan has been approved by the councilor unless a written request for a time extension has been approved by the Council. 3. The owner of ATS Steel has indicated a concern with the plan approval extension. To date, the applicant and ATS Steel have not been able to reach mutually agreeable terms on the sale of the property. The applicant has acquired a majority of the property necessary for the project to proceed. Based on previous correspondence, ATS Steel feels this plan approval limits the marketability of their property by limiting the sale to one buyer. Since acquiring the property is a condition of the Master Plan PUD approval. the applicant can market the property to other prospective buyers. In short, if Chesapeake does not acquire the property, the PUD approval has no effect. See the attached letter from ATS Steel's legal counsel for additional information. As a side note, ATS is currently seeking a reduction in their taxable market value from the County. Their current taxable market value is approximately 1.5 million dollars. Additionally, in the letter from Mr. Beeson it is indicated that "Although the property has been listed for sale by Welsh Company at $2,000,000. . . the property cannot be sold in the market place for a price anywhere close to fair market value." After reviewing the Minnesota Commercial Property Exchange, the multiple listing service equivalent for commercial property, staff has determined that the property has only been on the market since July 31, 2002, or just over one month. Give the current economic climate. this does not appear to be enough time to assess market interest in the property. Staff Recommendation Staff recommends approval of the twelve month extension of the Chesapeake Master Planned Unit Development approval. ReQuested Action Consider a twelve month extension of the Chesapeake Master Planned Unit Development approval.