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January 31,2005 Page 2 Based on our review of the pre-redevelopment plat of the area, the pre-e�sting Target site consists of six separate parcels of record. Five of the six parcels are included within Registered Land Survey No. 86. The sixth parcel is identified as Lot 2, Block 3, Zimmerman Off�ice Park Plat. The pre-e�sting uses of the "Target site" consist of the Target store, a Perkins, and the State Farm office building. Under the redevelopment plan, the e�sting Target store will be demolished and a Super Target will be constructed. Perkins will move to the southeast comer of the site, the State Faz�n building will remain, and a new co��snerciai lot .$9 acres in size will be located adjacent to the new Perkin� location. City Code Section 1103.07 governs dedication of land. Section 1103.07 applies when land is proposed to be subdivided. Since Target is proposing a re-platting of lands, Section 1103.07 generally applies. Section 1103.07 provides that it applies to subdivisions "...when a new building site is created in excess of one acre, by either platting or r�linor s�i�division, and including redevelopment and approval of planned unit develop��ent..," The question presented by the Target redevelopment plan is whether the redevelopment and re-platting of the site constitutes creation of at least one "new building site" in excess of one acre. On the one hand a literal interpretation of Section 1103.07 would suggest that all the new lots in the Target redevelopment plan are "new building sites" because they did not e�st prior to re- platting. On the other hand, one could argue use of the phrase "new building sites" rather than, for example, "new lots of record" �vas a conscious decision by a prior Council to apply dedication requirements to redevelopments only if they result in the addition of a new commercial enterprise, thereby increasing demand on public facilities. In Target's case, the redevelopment largely results in a rearrangement of existing business on the site. On the other hand, we understand the Target building footprint is proposed to increase in size, and a new .89 acre commercial lot is being added to the overall site. �a.�in� reviewed and analyzed Section 1103.07, we do not believe that the paric dedication requirements in the City Code should apply to the Target site as if it was being initially developed. However, we do believe that the language is broad enough to allow the City to consider whether the redevelopment proposed would result in additional demands on.the City's public facilities above and beyond that presented by the pre-redevelopment use of the land. If the City so concludes, then it is our opinion park dedication requirements may be applied to the redevelopment of the site as discussed herein, but only to the extent the redevelopment increases the demand on public facilities. The above conclusion is consistent with Minn.. Stat. � 462.358, the statutory basis for dedication requirements. Subdivision 2b of Section 462.358 provided that dedication can be required for demands that "result from approval" of the subdivision request. We believe this language, in the redevelopment context does nor allow the City to reach back and collect park dedication fees for the pre-redevelopment use of the site.