HomeMy WebLinkAbout05-01-13 EN HILLS
CITY OF ARDEN HILLS, MINNESOTA
ECONOMIC DEVELOPMENT COMMISSION
MAY 1,2013 8:00 AM
CITY HALL -- 1245 WEST HIGHWAY 96
CALL MEETING TO ORDER
Chair Ed von Holtum called the meeting to order at 8:16 a.m.
ROLL CALL
Present: Chair Ed von Holtum, Dan Altstatt, Jim Huninghake, and Dan Erickson.
Also Present: Council Liaison Ed Werner, Community Development Director Jill Hutmacher,
and Community Development Intern Matthew Bachler.
1. APPROVAL OF AGENDA
It was the consensus of the Commission to accept the agenda as presented.
2. APPROVAL OF MINUTES
It was the consensus of the Commission to accept the April 3, 2013, meeting minutes as
presented.
3. UNFINISHED AND NEW BUSINESS
A. State of the City
Community Development Director Hutmacher stated that, at the last EDC meeting,
Commissioners had directed staff to research potential locations for the 2013 State of the City
event. Staff researched several options including Flaherty's Arden Bowl, Bethel University,
Northwestern College, North Heights Lutheran Church, the Marsden Room at the Ramsey
County Public Works Facility, the U.S. Army Reserve, and the Minnesota National Guard. The
U.S. Army Reserve and the Minnesota National Guard declined the request for security reasons.
Staff eliminated the Marsden Room due to the lack of catering and the availability of several
reasonably-priced options that offer catering. Staff recommended against Northwestern College
- due toits location at the far southeastern_edge_of the_City.
EDC Minutes
May 1, 2013
Page 2 of 5
Commissioners discussed the advantages and disadvantages of each location.
Commissioner Huninghake stated that North Heights Lutheran Church would not be his
preferred choice for 2013 due to the closure of Highway 96 and the difficulty of driving to the
north part of the City.
Councilmember Werner suggested that one advantage of Flaherty's is that it is located in the
B-2 Business District.
Chair von Holtum added that Flaherty's is a long-time local business and he likes the idea of
supporting a local business.
It was the consensus of the Commission to hold the 2013 State of the City event at Flaherty's
Arden Bowl.
Community Development Director Hutmacher asked whether Commissioners had a
preference for the date of the event.
It was the consensus of the Commission to schedule the State of the City event for Thursday,
September 12, 2013, 7:00 to 9:00 am.
Commissioners suggested that possible presentation topics include TCAAP, the B-2 District
Improvement Plan, the Lexington Station development project, and road construction.
Commissioners suggested that it might be helpful to have a MnDOT representative speak.
B. Commercial/Industrial Property Analysis
Community Development Intern Bachler stated that the Community Development Department
has begun an analysis of the City's commercial and industrial property. He identified the sources
for the data used in the analysis and reviewed the data and preliminary findings.
Commissioner Erickson inquired about the purpose of the analysis.
Community Development Director Hutmacher replied that as the City considers reinstating or
revising the Economic Development Authority Revolving Loan Program, establishing a business
expansion and retention program, or commencing area plans for any of the business districts, it
would be helpful to have better information on the strengths and weaknesses of the City
commercial and industrial real estate market.
Community Development Intern Bachler noted that the City's overall vacancy rates were
consistent with vacancy rates in the northeast quadrant submarket. Vacancy rates for specific
uses or within certain business districts, however, vary from the submarket rates. For example,
the vacancy rates for industrial property in the Gateway Business District is only 2.8%,
compared to 20.7% in the Red Fox/Grey Fox District. The office vacancy rate in the B-2 District
EDC Minutes
May 1, 2013
Page 3 of 5
of 37.8% is largely driven by vacant buildings located at 1200 and 1210 County Road E and
available sublease space at Country Financial.
Commissioner Altstatt stated that the buildings located at 1200 and 1210 County Road E were
owned by a real estate investment trust which likely had specific profitability targets for new
leases which make it difficult to subdivide the buildings and lease to smaller, "mom and pop"
users.
Commissioner Altstatt added that CEOs or CFOs touring the building may view the
surrounding district less desirable than other leasing options due to the condition of the road,
sidewalks, and bridge. He noted that the Carroll's Furniture vacancy may also be seen as a
negative by potential tenants.
Community Development Director Hutmacher stated that staff would continue work on the
analysis and bring it back to the EDC for review prior to presentation to the Economic
Development Authority or City Council.
C. Economic Gardening
Community Development Director Hutmacher stated that Hennepin, Carver, Scott, and
Ramsey Counties are collaborating on an economic gardening initiative. She provided
background information on economic gardening. She noted that recruitment efforts would be
targeted to growing businesses with $1 to $50 million in revenue, 10 to 100 employees, and that
sell products or services outside of the Twin Cities metropolitan area.
Community Development Director Hutmacher added that participating businesses would
receive 50 hours of business research assistance at no cost. Participating CEOs must commit to
working directly with the research consultants for 10 to 12 hours, as well as attending monthly
CEO round table meetings.
Discussion ensued on typical research projects, feedback from business participants in the
economic gardening pilot program, and business recruitment strategies.
Commissioner Huninghake stated that he thought it was a great idea to assist existing
businesses so that they can grow and create jobs in the community.
4. UPDATES
A. TCAAP
Community Development Director Hutmacher reported that Ramsey 'County closed on the
purchase of the TCAAP property on April 15, 2013. Bolander and Sons, Inc. has already begun
work on the demolition and remediation contract. Erosion controls are being installed, and
EDC Minutes
May 1, 2013
Page 4of5
hazardous building materials are being removed in preparation for demolition which should
begin within two weeks.
Ramsey County is holding a public meeting to provide information on the demolition and
remediation project. The meeting will be held at the Marsden Room of the Ramsey County
Public Works Facility on Tuesday, May 7, 5:00 to 7:00 pm.
B. Revolving Loan Fund
Chair von Holtum suggested that, due to time constraints, the Revolving Loan Fund discussion
be postponed until the following meeting.
C. Commission Members
Chair von Holtum stated that an interview with an EDC candidate was scheduled for
immediately following the EDC meeting. He added that he believed the candidate's professional
experience would be an asset for the EDC.
Commissioner Altstatt requested that, at a future meeting, Commissioners discuss the qualities
and experience that are desired in candidates for the EDC.
It was the consensus of the Commission that this topic would be brought forward at a future
meeting as Commissioners continue to recruit for the vacant EDC positions.
D. Council Liaison
Councilmember Werner stated that, on April 29, 2013, the City Council approved a contract
with Kimley-Horn and Associates for the TCAAP Alternative Urban Areawide Review(AUAR),
Master Plan, and Regulations & Policies. At the same meeting, the City Council also approved a
contract for the repainting of the South (Red Fox Road) water tower. The tower will be painted
tan, and two City logos will be added to the tower.
Councilmember Werner added that City Planner Meagan Beekman had resigned. Her last day
will be May 10,2013.
Councilmember Werner shared the results of a report on residential sales prices in Arden Hills
that indicated that the average 2012 sales price of Arden Hills homes was $366,100, up from
$276,000 in 2011. He acknowledged that sales price data was affected by sales in the new Fox
Ridge development which were generally in the range of$450,000 to $550,000.
Chair von Holtum thanked Councilmember Werner for providing the report and asked that
copies be distributed to the rest of the Commission.
EDC Minutes
May 1, 2013
Page 5 of 5
E. Staff Comments
Community Development Director Hutmacher suggested that the June EDC meeting be
cancelled due to staff workload concerns as a result of the resignation of the City Planner. She
also asked whether Commissioners are available to meet on the regularly scheduled July 3, 2013,
EDC meeting date.
Chair von Holtum agreed that the June EDC meeting could be cancelled. He suggested that the
July meeting be moved to July 10, 2013.
It was the consensus of the Commission to accept the revised June and July 2013 meeting
schedule.
5. ADJOURNMENT
Chair von Holtum adjourned the meeting at 9:35 a.m.
Ed von Holtum, Chair Jill acher
C unity Development Director