Memo Public Hearing - Raspberry RidgeTo: Honorable Mayor Redepenning and Hopkins City Council Members
From: Kersten Elveru
Date: Thursday, Octobar 31, 1996
Subject: Calling for Public Hearing - Raspberry Ridge
As part of the purchase of Raspberry Ridge (fka Renaissance Apartments) and the
conversion of the project to a leasehold cooperative, the tenants can apply for
homestead status on their units. However, before the units can be homesteaded, a
public hearing must be held and the City must make certain findings including the
following:
o that the granting of homestead treatment of the apartment's units will
facilitate safe, clean, affordable housing for the cooperative members that would
otherwise not be available absent the homestead designation; and
o that the owner has presented information satisfactory to the goveming
body showing that the saving garnered from the homestead designation of the units will
be used to reduce tenant's rents or provide a level of furnishing or maintenance not
possible absent the designation.
By making these finding and allowing the units to be homesteaded, the tax rate on the
property will drop from 3.4 percent on the land and 2.3 percent on the structure to a
total rate of 1 percent for both the land and structure. However, as you may recall the
owner, Community Housing Development Corporation, has agreed to pay the City an
annual administrative fee equal to the City's tax Toss.
Staff will schedule the public hearing on this item for November 19, 1996.