File #: 23-0971R    Name:
Type: Resolution Status: Passed
File created: 12/5/2023 In control: Planning and Economic Development
On agenda: 12/11/2023 Final action: 12/11/2023
Title: RESOLUTION APPROVING A TERM SHEET WITH BEAUTIFUL CITY DEVELOPMENT, LLC, FOR PROPOSED SALE OF TECHNOLOGY VILLAGE AND MEDICAL DISTRICT PARING RAMPS AND CONNECTED HOUSING DEVELOPMENTS ON THE EAST 1ST STREET CORRIDOR.
Attachments: 1. Exhibit A
Title
RESOLUTION APPROVING A TERM SHEET WITH BEAUTIFUL CITY DEVELOPMENT, LLC, FOR PROPOSED SALE OF TECHNOLOGY VILLAGE AND MEDICAL DISTRICT PARING RAMPS AND CONNECTED HOUSING DEVELOPMENTS ON THE EAST 1ST STREET CORRIDOR.

Body
CITY PROPOSAL:
WHEREAS, in 2022, the city of Duluth issued a request for proposals for the sale of two city parking ramps, Technology Village Ramp and Medical District Ramp (the "Ramps"), for the purpose of sparking redevelopment of the blighted East First Street corridor in downtown Duluth; and
WHEREAS, the only response the request for proposals was by an entity now known as Beautiful City Development, LLC ("Developer") and their response met the requirements of
redeveloping significant blighted areas of the 1st Street corridor by proposing significant multi-family residential development of no less than 200 units to be connected to the parking ramps (the "Project"); and
WHEREAS, after selection of the Developer as the responsive party to the request for proposals, DEDA entered into negotiations with Developer on the terms of the linked Project and sale of the Ramps; and
WHEREAS, the city, DEDA, and Developer have agreed on specific terms for the linked Project and sale of the Ramps and those terms have been memorialized in a term sheet, in the form attached as Exhibit A) ("Term Sheet"), that will be the basis for a development agreement; and
WHEREAS, pursuant to the Term Sheet, DEDA proposes to provide certain tax increment financing assistance to Developer consisting of a pay-as-you-go tax increment revenue note (the "TIF Assistance") payable from the TIF District, such TIF Assistance to be approved by separate resolution; and
WHEREAS, the city, DEDA, and Developer desire to have approval of the terms in the term sheet prior to finalization of a development agreement; and
WHEREAS, DEDA approved the Term Sheet by resolution on November 15, 2023.
THEREFORE, BE IT RESOLVED, that the Term Sheet, attached here to as Exhibit A, is ...

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