1996-089CITY OF HOPKINS
HENNEPIN COUNTY, MINNESOTA
RESOLUTION 96-89
RESOLUTION MAKING FINDINGS RELATING TO THE TREATMENT OF
RASPBERRY RIDGE, A COOPERATIVE ASSOCIATION, AS A LEASEHOLD
COOPERATIVE
WHEREAS, COMM[JNITY HOUSING DEVELOPMENT CORPORATION, a
Minnesota nonprofit corporation ("Owner"), is the owner of property consisting of one hundred
and one housing urrits in two distinct parts: two three-story, renovated buildings containing
sixty-five units and thirty-six townhome units in eight buildings, all located at 27 - 14th Avenue
North, in the City of Hopkins, Minnesota, legally described as:
Parcel 1:
Lots 16 to 24 inclusive, Block 71; that part of vacated 13th Avenue North lying between
the South line of said Lot 16 and the North line of said Lot 24 extended Westerly, all in
West Minneapolis Second Division.
Parcel 2:
Block 72 together with the vacated alley in said Block 72, West Minneapolis Second
Division, except that part embraced within Registered Land Survey No.1678.
and
WHEREAS, the tenants of apartment units of the development are members
("Cooperative Members") of a Minnesota cooperative association known as "Raspberry Ridge, a
Cooperative Association" (the "Cooperative"), and
WHEREAS, the Cooperative desires to qualify the development as a leasehold
cooperative pursuant to Minnesota Statute §273.124, Subdivision 6, so that homestead treatment
maybe claimed by the Cooperative for dwelling units occupied by Cooperative Members, and
WHEREAS, the City Council of the City of Hopkins, Minnesota, has held a public
hearing pursuant to Minnesota Statute §273.124, Subdivision 6.
THEREFORE, BE IT RESOLVED, that the City Council of the City of Hopkins makes
the following findings:
The granting of homestead treatment of the Cooperative units will facilitate safe, clean,
affordable housing for the Cooperative Members that would otherwise not be available
absent the homestead designation.
2. The Owner has presented information satisfactory to the Council showing that the savings
garnered from the homestead designation of the units will be used to reduce tenants' rents
or provide a level of furnishing or maintenance not possible absent the designation.
3. The Cooperative has a lease for occupancy of the development for a term of at least
twenty (20) years, which permits the Cooperative while not in default to participate
materially in the management of the development, including material participation in
establishing budgets, setting rent levels and hiring and supervising a management agent.
4. A minimum of 40 percent of the Cooperative Members have incomes at or less than 60
percent of area median gross income as determined by the United States Secretary of
Housing and Urban Development under Section 142(d)(2}(B) of the Internal Revenue
Code of 1986, as amended through December 31, 1991. For purposes of this finding
"member income'° means the income of a member existing at the time the member
becomes a member of the Cooperative.
5. The Owner has received public financing for the development from the following sources:
a. government issued bonds exempt from taxes under Section 103 of the Internal
Revenue Code of 1986, as amended through December 31, 1991, the proceeds of
which are used for the acquisition or rehabilitation of the building;
b. rental housing program funds under Section 8 of the United States Housing Act of
1937 or the market rate family graduated payment mortgage program funds
administered by the Minnesota Housing Finance Agency that are used for the
acquisition or rehabilitation of the building.
Adopted by the City Council of the City of Hopkins this 19th day of November, 1996.