Correspondence 1988 Jopke - Laserfiche WebLink

Home

0 � COMCARDIA ACADF�Y HOUSING PROPOSAL PAGE TWO 'rhe plan as cux�rently structured calls for the purchase of Concordi� Academy by the City of Roseville for $2,600,000. The va�ue of the schoal as determined by the Ramsey County Assessor on January 1, 1987 was $2,447,000, as expressed by the 1988 Ramsey County Property Tax Statement. Assuming a 3� inflati�on factor, the current market value for the school equals the purchase price of $2,600,000. This value is for the building and the parcel of land it is on, which represents approximatel; 1/4 the `,�al amount of property to be utilized by the Ci�y. The future park property outside the school building parcel can be considered cnntribut-�d to the City by Brutger Companies at no charge. This 28 acre parcel is being se� up as a tax increment distxict. Brutger Companies is purchasing the Qntire parcel for $3,650,000. The City in turn wi11 purchase the school building for $2,600,000. The price Brutger Companies is paying for th� housing property as well as the price the City is paying for the school are fair market values. The City will sell bonds to cover the cost of acquisition, improvements and capitalized interest. The hausing development, once completed, will produce approximately 70� of the annual debt s�rvice requi�ed to retire the bonds. The tax increment di.strict is being established to allow �he City t+� purchase and remad�el Concordia Academy for use as a Community Center, while limiting th� burden on the ta xpa yer by hav�ng the housing development pay the major portion of the annual bond costs. � A point of emphasis on the structure of this development is that the tax ; inc�ement d�strict is not being used to write down the cost o� the: housing ' property to a value which i� less than a fair ma.rket value pric:e fo�- housing � land. The tax incremen� will be used to support the purcl�ase and ; �ehabilitation of the school to be used as a community center. Sn addition to the contribution of parlcland to the City, $ru'tger C�mpanies proposes to construct and dedicat� to the City, two tennis courts �.ocated to Che west of the community center. We will work with the Pa�ks & Ftecreation Departmen� to deterrnine thei� exact location. Brutger Companies believes this development not only adds q�uali.t:y housing s�ock to the Ci�y of Roseville, but is sensitive tc� the con�erns of the adjacent propertie:s, provides for a compatible land use with adjacent properties, provides sufficient buffering and screening to existing propertiesr lesse��s the impact highway 36 presently has orn the a�rea and assists in provi�ding Roseville residents with a communit:y center, tennis courts and additional parkland which will benefit the City i:o�� y�ars to come. 1