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Memo Redevelopment of Suburban Chevrolet � CITY OF HOPKINS MEMORANDUM DATE: MARCH 1, 1994 TO: HONORABLE MAYOR AND CITY COUNCIL � FROM: PAUL T. STEINMAN, COMMUNITY DEVELOPMENT SPECIALIST RE: REDEVELOPMENT OF SUBURB�AN CHEVROLET Discussion of the Suburban Chevrolet site redevelopment is scheduled to be one of the Council Worksession agenda items on March 8, 1994. There appear to be a number of questions which need to.be addressed in order to facilitate redevelopment of the site in a timely manner. These questions appear relevant whether or not the City acquires the property at this time. � These include: o What would be an appropriate process to follow to select a developer for the site? o What would be the most desirable use for the site? o What level of public assistance is the Council willing to consider to facilitate , redevelopment? In conjunction with the first question, staff has mailed a three page questionnaire (attached) to each of the five developers who have expressed an interest in undertaking a � project on the Suburban Chevrolet site. The questionnaire is to be returned by March 14, 1994. The purpose of the questionnaire is to provide the Council and staff with additional information on each proposal. The Council is asked to provide direction to staff regarding the process to be used to select a developer. There are a number of alternatives which could be utilized: • o Council interviews each developer and makes a selection. � o Staff interviews each developer and makes a recommendation to the Council. o Form an interview committee potentially composed of one or two Councilmembers, staff, HBCA Board members, or Z& P Commission members. Once a selection has been made, a Preliminary Development Agreement would be executed. The Preliminary Development Agreement would detail a number of items from the City's and Developer's prospective, which would need to be accomplished prior to proceeding with a full Development Agreement. In conjunction with execution of the Preliminary Development Agreement items, staff would recommend demolition of the existing buildings. This is based on the assumption that the proposed redevelopment requires it. It appears that in order for environmental issues to be addressed, demolition of the buildings has to occur. Any developer interested in the site will need to have all environmental contamination remediated prior,to being able to obtain financing. Therefore, it is the staff position that demolition and environmental remediation � should take place as soon as possible to facilitate redevelopment within a timely manner. �