1998-07-20 LOC Reductions
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IL01~
LAND DEVELOPMENT COMPANY
July 20, 1998
Mr. Pete Carlson - SEH
Clo Mr. Dave Lund
City Administrator
5975 Main A venue NE.
Albertville, MN 55301
RE: Letter of Credit #998 Reductions for Center Oaks 2nd Addition and amendment to add Center
Oaks 3rd Addition
Dear Mr. Carlson:
During 1997 and through June substantial work progressed on the project. Pilot Land completed and paid
both our grading contractor and utility contractor for their entire work contracts through the first lift of
asphalt. Prior to December 1997 work on Kalland and Kantar Court was completed due to pressure from
Cottages of Albertville. At that time, remaining work required a $335,437 LaC to release the second
addition, which remains in force today. Work under warranty for the 2nd Addition includes Kalenda
Drive, Kantar Court, Karston Avenue and ex.tensions to Kalland and Kahler Drives. The initial contract
amount was $543,792. Deducting for $42,105 left to build in final lifts and trails, the warranty LaC needs
to be for $50,168.70. Add back $42, I 05 and Center Oaks 2nd has a residual LaC amount balance of
$92,273.70. Please process a formal reduction to Center Oaks 2nd Addition to this amount.
We have requested and been verbally authorized to combine the $225,000 surety for Center Oaks 3rd
Addition to the above LaC #998 to release the plat for recording. $225,000 per the development
agreement plus $92,273.70 requires a residual balance of $317,273.70.
Please process a reduction to LaC #998 to $317,273 from $335,437 at the nex.t Council meeting with
clarification that both Additions be referenced on the heading.
If you have any questions, please contact me.
Sincerely,
&n"n
Land Development Director
Attachment:
pay requests
1 landdev\albertvillelprojects\ctroklocdoc
13736 Johnson Street NE . Ham Lake, MN 55304 . 757-9816 . Fax: 757-4094