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DRAFT AGREEMENT FORMAT FOR DISCUSSION PURPOSES
CITY OF ORONO
HENNEPIN COUNTY, MINESOTA
PLANNED UNIT DEVELOPMENT NO. 2 AGREEMENT FOR
(Name of Development)
(Name of Developer)
THIS AGREEMENT,Made and entered into this day of , 2001, by and
between the City of Orono, a municipal corporation organized and existing under the laws of the
State of Minnesota(hereinafter called "City"), and , its heirs, successors
and assigns (hereinafter called "Developer").
WITNESSETH:
WHEREAS, the Developer has made application to the City Council for approval of a
Planned Unit Development rezoning application(PUD)including a comprehensive plan amendment,
subdivision to create two buildable lots, and commercial site plan review; and
WHEREAS, on March 12, 2001 the City Council granted Concept Plan Approval for
development of a 62-unit building for senior housing use and a 23,000 s.f. general office building
per Resolution No. 4619, on the condition that the Developer enter into this agreement to provide
for conformance with the City's Planned Unit Development(PUD)ordinances,and to document the
conditions of approval as well as establish conditions for the Tax Increment Financing (TIF)
associated with the development.
NOW, THERFORE, in consideration of the premises, and of the actual promises and
conditions hereinafter contained, it is hereby agreed as follows:
1. Property Description: Outlot F, Sugar Woods (being re-platted as Lots 1 and 2, Block 1,
,Hennepin County,Minnesota)according to the plat thereof
on file in the office of the Registrar of Titles(sometimes herein referred to as the"Property").
2. Zoning: The property is (will be)rezoned as a Planned Unit Development under the Orono
planned unit development ordinance with underlying B-6 zoning for Lot 1 (office building)
and underlying RPUD zoning for Lot 2 (Senior housing).
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3. Permitted Uses: Within Lot 1 the only permitted principal structure is the 23,000 gross s.f.,
2 story office building with underground parking in the basement level and additional surface
parking as depicted in the site plan (attached hereto as Exhibit A) and construction plan
(attached hereto as Exhibit B). The permitted use of the office building is general office uses
which may include business and professional offices of a general nature, and may include
a clinic for human care on an outpatient basis only. The office building shall not be used for
general retail use,except that retail uses customarily accessory to the general office use may
occur in no more than twenty percent(10%) of the office building gross floor area. Other
uses shall not be allowed except by amendment of this PUD agreement.
Within Lot 2 the only permitted principal structure is the 3-story 62-unit residential building
with underground parking in the basement level and additional surface parking as depicted
in the site plan (Exhibit A) and construction plan (Exhibit C). This building is to be used
solely for Senior Housing under the terms of this agreement,as specified in Item below.
Within Lots 1 and 2 the only accessory structures allowed shall include:a)Trash enclosures
attached to the principal structures, constructed of materials comparable to and compatible
with those of the principal structure; and b) Monument identification signs subject to
approval by the City Council. Within Lot 2, an accessory recreational structure such as a
gazebo shall be allowed subject to City Council approval of the design,size and location but
without the need to amend this PUD agreement. No other accessory structures are permitted
except by amendment of this agreement.
Users shall be obligated to conform to all applicable Orono ordinances and to the provisions
of this PUD agreement. The foregoing uses are permitted pursuant to this PUD agreement.
4. Site Access: Internal circulation for Lots 1 and 2 shall be via a newp rivate road to be
developed within Lots 1 and 2. The private road shall serve the uses for both Lots 1 and 2.
The easterly access point for the private road shall be at Brown Road North per the site plan
attached as Exhibit A.The easterly access point shall allow full entrance and exit movements
to North Brown Road.
A single direct access to Highway 12 shall be developed at a location approximately 500 feet
west of the intersection of Brown Road and Highway 12. This direct access shall be
restricted to westbound right-in/right-out turning movements, and shall be subject to
MnDOT design approval.
A third access point located near the northwest corner of Lot 1 shall provide for future access
to a future public road which may be constructed within Outlot D, Sugar Woods. At such
time that a public road is constructed within said Outlot D, the City shall have the right to
connect such public road to the internal road system within Lots 1 and 2 for the purpose of
providing additional ingress/egress options for Lots 1 and 2 as well as provide ingress/egress
options for properties west of Lot 1.
The Developer shall grant to the City public road,drainage and utilities easements over the
private road corridor including all surface parking areas,in order that future public use of the
roadways is ensured in the event that a future connection to the west is established.
Developer shall grant cross easements between Lots 1 and 2 to ensure full use of the internal
private road system until such time that the City exercises its easement rights to convert all
or a portion of the internal road system to a public road status. It is specifically agreed that
the City is not obligated to maintain the private internal road system until such time that the
City chooses to convert the internal road system to a public road, and construction of an
access connection to a public road in Outlot D, Sugar Woods shall not automatically
terminate the private road status of the internal road system.
Off-site access improvements that are the responsibility of the developer shall include
establishment of the right-in/right-out access curbing for the southerly access.Any turn-lane
or acceleration lane improvements or re-striping that may be required by MnDOT for that
access shall be the responsibility of the City. Other off-site access improvements that will
be the responsibility of the City shall include establishment of the semaphore and related
improvements at the intersection of Brown Road North and Highway 12
5. Building Design and Construction: The improvements on Lots 1 and 2 shall be constructed
according to the plans on file with the City. On Lot 1,the plans indicate a two story office
building with parking on the basement level. The second story is set back from the first story
at the north end of the building to reduce impacts to the residential neighborhood to the
north. Windows are also minimized on the north end of the office building to reduce impacts
on neighboring properties. The roof is a standard shingle hip roof with pitch established at
_:1 to minimize the impacts of building height. The exterior of the office building shall be
of . Any accessory structures on
Lot 1, if approved, shall be of the same exterior finish and colors as the office building.
On Lot 2, the plans indicate a 2-3 story, 62-unit senior housing apartment building with
parking on the basement level. The westerly 2/3 of the building is 3 stories in height, the
easterly 1/3 is 2 stories in height. The building has a standard shingle hip roof system at an
established pitch of :1 to minimize the impacts of building height. The exterior of the
senior housing apartment building on Lot 2 shall be of .Any
accessory structures on Lot 2,if approved, shall be of the same exterior finish and colors as
the senior housing apartment building.
Construction of the buildings of the buildings on Lots 1 and 2 shall be in conformance with
the building codes and regulations adopted by the City of Orono. Any changes to the gross
square footage, footprint/wall/roof dimensions, defined building height or number of
dwelling units shall require a prior amendment to this Agreement.
6. Landscaping: The landscaping plan attached to this Agreement as Exhibit shall be
strictly adhered to. Within Lot 1,the Developer shall establish suitable vegetative screening
along the northerly boundary of the property sufficient to substantially block direct view of
most vehicle headlights from the adjoining Sugar Woods residential properties. Within Lots
1 and 2, the Developer shall the Developer shall provide vegetative screening within the
defined rear yards of the office building and senior housing apartment building to minimize
the visual impact on the adjoining residential properties. Within Lots 1 and 2, Developer
shall minimize to the greatest extent possible the removal of existing trees and vegetation
along the perimeters of the property, and where feasible shall retain existing trees along the
southerly boundary during construction until their removal is necessary to complete the
approved landscape plan. The construction limits shall be clearly marked with adequate
fencing to prevent construction damage or disturbance of any trees and vegetation outside
of the defined construction limits. Retaining walls to be constructed on Lots 1 and 2 as
shown on the approved plans shall be of and shall be
limited in height and length to the extent necessary to accomplish their intended purpose.
7. Lighting: Site lighting shall adhere to the approved lighting plan attached hereto es Exhibit
. All lighting fixtures shall be located and constructed so as to direct light away from the
adjacent residential neighborhood.
8. Signage: Signage on the site shall be limited to the required traffic control signage, and to
monument signs provided by the developer at each entrance to the site. The signage shall
be limited to a company or development name and/or logo and street address on the
monument signs. Final design/materials of monument signage shall be subject to approval
by the City Council. Parking and traffic control signage shall be installed subject to City
staff and City Engineer approval, including required stop signs within the parking lots and
service drive to ensure safety of pedestrians in parking areas and crossing points.
9. Improvements: In accordance with the policies and ordinances of the City, the following
described public or private improvements (hereinafter collectively called the
__ .--"I-mproireri efiTs")'shalLbe_construc -d and installed and installe, on the terms and conditions
contained in this PUD Agreement:
(Those improvements listed within the Site Improvements Cost Estimate-remember
to include landscaping/planting/materials-attached hereto as Exhibit D)
10. Construction Plans: The following described detailed plans and specifications for the
complete installation of the Improvements shall be submitted by the Developer for the
approval of the City prior to,siert &f n tr .?The Plans and Specifications shall
conform to all current City standards for all applicable work and shall comply with the terms
of this PUD Agreement.
(The site,grading,drainage and landscaping plans and specifications attached hereto
as Exhibit E,plus any and all revisions to said plans and specifications)
11. Construction of Improvements:
A. Commencement Date - The construction of Improvements shall begin no later than
B. Completion Date - All Improvements shall be completed no later than
C. Contractors - The Developer shall select, retain and supervise the Contractor(s)
responsible for Improvement construction. The City reserves the right to require satisfactory
proof of successful experience and adequate financial status of any such contractor. Where
required by City ordinance, the contractor shall first obtain a license from the City.
D. Pre-Construction Conference - Prior to the start of any construction, the Developer
and the Developer's Contractor shall meet with the responsible City official to review
construction plans and schedules.
E. Permits-Prior to the start of any construction,the Developer's Contractor shall apply
for and receive all necessary permits from the City and/or government agencies having
jurisdiction.
F. Construction-The construction,installation and materials shall be in accordance with
the plans and specifications approved by the City.
G. Insurance - The Developer will cause each person who constructs and installs any
Improvement to maintain complete insurance coverage including Workmen's Compensation,
Liability and Property Damage.
12. Performance Deposit: For the purposes of assuring to the City that the Improvements will
be completed according to the terms of this agreement, and that the Developer will pay all
claims for work done and materials and supplies furnished,the Developer has deposited with
the City at the time of the execution of this agreement an irrevocable letter of credit in a form
satisfactory to the City providing that the City is able to draw upon such letter of credit in its
sole discretion to complete the Improvements ifthe Developer fails to satisfactorily complete
the work prior to the completion date specified in Section above. The amount of such
deposit is $ per the schedule attached to this document as Exhibit D. The
amount of such deposit shall not be reduced before substantial completion of the
Improvements. The letter of credit shall expire no sooner than six months after the
completion date specified in Section above.
13. Fees and Expenses: The Developer agrees to pay all City fees required per the current City
Fee Schedule and further agrees to completely reimburse the City for all the variable
additional expenses it incurs in regard to the review and approval of the Improvements
including, but not limited to, direct City payroll and overhead, costs, and fees paid to
consultants and other professionals.
14. TIF Financial Arrangements:
15.
16.
(Boilerplate follows:)
17. Compliance. At any time and from time to time the Developer may request that the City
provide the Developer a certificate certifying that that the terms and provisions of this
Agreement have been complied with and that this PUD Agreement is in full force and effect
with respect to the development for the purpose of facilitating sale, mortgage, insurance or
other matters. To the extent that there be any bona fide defaults in such compliance, the
Developer shall be afforded a reasonable time to bring the development into conformance,
and thereafter the City shall be obligated to provide such certificate.
18. Binding Effect: The terms and provisions hereof shall be binding upon and inure to the
benefit of the heirs,representatives,successors and assigns of the parties hereto and shall be
binding deemed covenants running with the land. References herein to Developer, if there
be more than one, shall mean each and all of them. This agreement at the option of the City
shall be placed of record so as to give notice hereof to subsequent purchasers and
encumbrancers of all or any part of the property.
19. Notices: Whenever in this agreement it shall be required or permitted that notice or demand
be given or served by either party to this agreement to or on the other party, such notice or
demand shall be delivered personally or mailed by United States certified mail(return receipt
requested)to the addresses set forth below. Such notice or demand shall be deemed timely
given when delivered personally or when deposited in the mail in accordance with the above.
Notice to City Notice to Developer
City of Orono
Clerk/Administrator
P.O. Box 66
Crystal Bay, MN 55323
20. Incorporation by Reference: All plans, special provisions, proposals, specifications and
contracts for the Improvements furnished and let pursuant to this agreeemnt shall be and
hereby are made a part of this agreement by reference as fully as if set out herein in full.
21. Disclaimer by City: It is understood and agreed that the City, the City Council, and the
agents and employees of the City shall not be personally liable or responsible in any manner
to the Developer or Developer's contractors, subcontractors, materialmen, laborers, or any
other person, firm or corporation, for any debt, claim,demand, damages, actions, or causes
of action of any kind or character, arising out of or by reason of the execution of this
agreement or the performance and completion of the Improvements.
22. Hold Harmless and Indemnification: The Developer shall indemnify and hold harmless the
City,the City Council,and the agents and employees of the City from and against all claims,
damages,losses or expenses,including attorney fees,which the City,City Council and agents
and employees of the City may suffer or for which it may be held liable, arising out of or
resulting from the assertion against them of any claims,debts or obligations in consequence
of the performance of this agreement by the Developer, its employees, agents or
subcontractors, whether or not caused in part by a party indemnified hereunder.
23. Remedy for Default: Default by the Developer of any of the terms of this agreement shall
automatically result in the suspension or withholding of all permits, licenses, occupancy
certificates or other authorizations issued by the City in connection with the property
included in this development. The remedies afforded to the City under this Section shall be
in addition to any other remedies to which the City may be entitled by law or other
agreement. Default by the City shall entitle the Developer to seek injunctive/mandatory
relief through the courts, together with other relief as the law may provide.
24. Right of Entry. The Developer hereby grants to the City, its agents and its employees, the
right to enter on the property for the specific purpose of constructing or completing any and
all of the agreed upon Improvements should the Developer not complete those Improvements
by the date specified in Section
25. Controlling Agreement. To the extent that there is any difference or ambiguity between this
Planned Unit Development Agreement and other agreements between the City and the
Developer, this Planned Unit Development Agreement shall control.
IN WITNESS WHEREOF,the City and the Developer have caused this agreement to be
duly executed on the day and year first above written.
In Presence of: CITY OF ORONO
By:
(Mayor)
By:
(City Clerk)
DEVELOPER
By:
(Title)
•
Reviewed for Administration:
Date: By:
(Planning Director)
By:
(City Administrator)
This instrument was drafted by:
(NOTARIZATION PAGE)
1st Draft - Dunbar Developers Agreement Topics for Inclusion
A. Construction Phase
Construction of Public Improvements
1. Burying of power lines
2. Installation of street lighting along public roads
3. Sidewalks along public roads
4. Re-striping/widening of public roads for turning movements
5. Intersection improvements
6. Semaphore improvements
Construction of Private Improvements
1. Site grading and restoration; erosion control
2. Interior roads/driveways/parking areas: Curb, gutter, stormsewer, pavement
3. Landscaping plan, also including retaining walls, fencing, railings, etc.
4. Sidewalks and Trails
5. Circulation(traffic and parking) signage
6. Site lighting
7. Building Materials
8. Site utilities
9. Permanent site identification signage
Financial Guarantee for Improvements
Park Dedication Fees
Sewer and Water Connection Fees
B. Long-term Use Agreements
Easements
1. Public road easement over main site driveways for public ingress/egress
2. Pedestrian easements between 2 sites
3. Drainage and utility easements
Site and Improvement Maintenance
Site Use
1. Prohibition on conversion of Office to retail use due to parking limitations
2. Retention of affordability in Senior Housing during life of TIF funding
3. Longer term retention of use as Senior Housing, tied to financing
Financial Arrangements