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2017-04-26 T.L. 6th - 2nd Amdt to PUD Agmt3 voC. No. A1342247 OFFICE OF THE COUNTY RECORDER WRIGHT COUNTY, MINNESOTA Certified Filed and/or Recorded on May 01, 2017 3:45 PM Fee: $46.00 Ck# 319830 Code Check Return To: Preferred Title Tanya West, County Recorder P 0 Box 727 113 West Broadway Monticello MN 55362 CITY OF ALBERTVILLE SECOND AMENDMENT TO PLANNED UNIT DEVELOPMENT AGREEMENT TOWNE LAKES 6TH ADDITION WHEREAS, the City of Albertville ("City"), a Minnesota municipal corporation, and Contractor Property Developers Company entered into an Agreement titled "Planned Unit Development Agreement Towne Lakes 6th Addition" ("Developer's Agreement") dated September 7, 2005 and recorded as document number 1003634 at the Wright County Recorder's Office, Wright County, Minnesota; and WHEREAS, Kilber Section 36, LLC ("Kilber"), a North Dakota limited liability company, purchased the property subject to the Developer's Agreement; and WHEREAS, Kilber and the City executed an Amendment to Planned Unit Development Agreement, Town Lakes 6th Addition ("First Amendment") which has been recorded as document number 1164289 at the Wright County Recorder's Office; and WHEREAS, Kilber has since sold the property that is the subject of the Developer's Agreement and the First Amendment to HSB Ventures, LLC., a Minnesota Limited Liability Company ("Developer"); and WHEREAS, Developer acknowledges that it is bound by the Developer's Agreement and the First Amendment by virtue of its ownership of the property subject to the Developer's Agreement and all references hereafter in this Amendment, the First Amendment and in the Developer's Agreement to "Developer" shall mean HSB Ventures, LLC; NOW, THEREFORE, IT IS HEREBY AND HEREIN MUTUALLY AGREED, in consideration of each party's promises and considerations herein set forth, as follows: 1. Paragraph 2.T. is hereby added to the Developer's Agreement, as follows: T. Dedication and Construction of Large Avenue. Upon the execution of this Second Amendment, Developer shall dedicate that portion of the proposed right of way of Large Avenue located on the Subject Property to the City in substantially the configuration as shown on the attached Exhibit H. Developer shall provide a legal description for such dedication that meets the approval of the City Engineer and City Attorney. ii. Developer understands and agrees that the construction of Large Avenue according to the plans attached as Exhibit H is necessary to serve as an access point to the Development as well as to the property adjoining the Development on the east property line of the Development ("Adjoining Property"). At the time of the signing of this document, it is not known whether the Development or the Adjoining Property will first plat property abutting Large Avenue. Developer agrees that if it plats property abutting large Avenue prior to the Adjoining Property, Developer shall dedicate and construct the entire width of Large Avenue consistent with plans and specifications as required by the City Engineer. In such event, Developer shall pay one-half of the cost of the construction of Large Avenue and the owner of the Adjoining Property shall pay the other half pursuant to a separate agreement with the City. iii. In the event the Adjoining Property is the first to plat property abutting Large Avenue, the owner of the Adjoining Property shall construct Large Avenue and Developer shall pay the owner of the Adjoining Property one-half of the cost of constructing Large Avenue. iv. All such payments made pursuant to paragraphs 2.T.ii. or 2.T.iii. shall be made within 30 days of billing by either parry, provided the City Engineer has first confirmed that the costs billed for approximately correspond to quantities installed. Engineering costs incurred by the City in the design and inspection of Large Avenue as well as any other costs incurred by the City related to the construction of Large Avenue shall be included in the costs of construction of Large Avenue, and Developer agrees to pay one-half of such costs incurred by the City within 30 days of billing by the City. Any billing dispute which may arise between the Developer and the owner of the Adjoining Property shall not be a basis for delay in the completion of Large Avenue. V. In the event the Adjacent Property owner constructs Large Avenue, Developer shall provide the City with temporary construction easements over the Subject Property as necessary for the construction of Large Avenue. 2. Paragraph 3A of the Developer's Agreement is modified to read as follows: A. On or before September 30, 2017, the Developer shall construct those Municipal Improvements located on Said Plat as detailed in the Plans and Specifications for Towne Lakes Sixth Addition, as prepared by Westwood Professional Services dated February 8, 2005 and revised September 22, 2005 and on file with the City Clerk, including completion of all items listed on the attached Exhibit A, except that completion of the following items may be delayed as follows: i. Sidewalks shall be installed consistent with the timeline set out in this subparagraph: a. On the south Side of 68t` Street, between Linwood Drive and Wright County State Aid Highway No. 19 (the Shoppes at 2 Towne Lakes 2 plat), the sidewalk shall be installed by Developer when a building is constructed on the lot adjacent to 68th street where there is no sidewalk currently. b. On the north Side of 68th Street, between Linwood Drive and Wright County State Aid Highway No. 19 (Outlot A to Said Plat), the sidewalk shall be installed by Developer when a building is constructed on the lot adjacent to 68th street, and such sidewalk shall extend from the western edge of said lot east to the intersection of 68d' Street and Linwood Drive. c. On the west side of Linwood Drive north of 68th Street, the sidewalk shall be installed by Developer when a building is constructed on a lot adjacent to Linwood Drive, and such sidewalk shall extend from 70'h Street to 68th Street. d. On the east side of Linwood Drive, north of 681' Street, the sidewalk shall be installed by Developer adjacent to the townhomes abutting Linwood Drive prior to the issuance of an occupancy permit for such townhomes, and such sidewalk shall extend south to the intersection of Linwood Drive and 681' Street. e. On the west side of Lancaster Way, north of 68th Street, the sidewalk shall be installed by Developer adjacent to the townhomes abutting Lancaster Way prior to the issuance of an occupancy permit for such townhomes, and such sidewalk shall extend south to the intersection of Lancaster Way and 680' Street. f. Notwithstanding the foregoing, all sidewalks shall be installed no later than the earlier of 1) the time of issuance of the final occupancy permit for the last residence to be constructed on Said Plat or 2) four years from the date of this Agreement. ii. Final finish grading of lots shall be performed prior to issuance of an occupancy permit, but Developer shall ensure that the Subject Property drains in a manner consistent with the grading and drainage plan attached to the Developer's Agreement and shall immediately correct any areas of the Subject Property that do not drain properly. iii. All such improvements shall be constructed at Developer's expense according to the standards adopted by the City, along with all items required by the City Engineer. The City Engineer will promptly inspect the Municipal Improvements upon their completion and, when satisfactorily completed, recommend acceptance of such improvements by the City Council. The City Council shall not unreasonably withhold acceptance of such completed Municipal Improvements. 3. Paragraphs 6A and 6B of the Developer's Agreement are hereby modified to read as follows: 3 A. Developer will provide the City with an irrevocable letter of credit as security that the obligations of the Developer under this contract shall be performed. Said letter of credit or surety shall be in the amount of $116,525. Said letter of credit or surety must meet the approval of the City attorney as to form and issuing bank. B. The City may draw on said letter of credit or surety to complete work not performed by Developer (including but not limited to on- and off-site improvements, Municipal Improvements described above, landscaping, erosion control, and other such measures), to pay liens on property to be dedicated to the City, to reimburse itself for costs incurred in the drafting, execution, administration or enforcement of this Agreement, to repair or correct deficiencies or other problems which occur to the Municipal Improvements during the warranty period, or to otherwise fulfill the obligations of Developer under this agreement. 4. Paragraphs 7A and 7B of the Developer's Agreement are hereby modified to read as follows: A. Periodically, as portions of the Municipal Improvements and landscaping are completed, and when it is reasonably prudent, the Developer may request of the City that the surety be proportionately reduced for that portion of the Municipal Improvements and landscaping which have been fully completed and payment made therefor. All such decisions shall be at the discretion of the City Council. The City's cost for processing reduction request(s) shall be billed to the Developer. Such cost shall be paid to the City within thirty (30) days of the date of mailing of the billing. The City may at all times retain the letter of credit in an amount sufficient to complete the unfinished Municipal Improvements and landscaping required by the Developer's Agreement. B. The Developer may request of the City a reduction or release of any surety as follows: i. When another acceptable letter of credit or surety is furnished to the City to replace a prior letter of credit or surety. ii. When all or a portion of the Municipal Improvements or landscaping have been installed, the letter of credit or surety may be reduced pursuant to paragraph 7A above, except that the City shall retain the letter of credit or surety in the amount of 10% of the estimated construction price of the Municipal Improvements during the first year of the warranty period and 5% of the estimated construction price of the Municipal Improvements during the second year of the warranty period. iii. As to all requests brought under this paragraph, the City Council shall have complete discretion whether to reduce or not to reduce said letter of credit or surety. 4 5. The boulevard trees located on the Landscape Plan attached to the Developer's Agreement shall be installed consistent with the timelines set out in this paragraph: a. On the east side of Linwood Drive, upon the issuance of an occupancy permit for townhomes abutting Linwood Drive, but only from such townhomes south to the intersection of Linwood Drive and 68th Street. b. On the west side of Linwood Drive, when the corresponding trees on the east side of Linwood Drive are required to be planted. c. On 68th Street west of Linwood Drive, upon the construction of a building abutting 68th Street. d. On 68th Street between Linwood Drive and Lancaster Way, upon the issuance of an occupancy permit for any of the townhome units abutting 68th Street. e. On the west side of Lancaster Way, upon the issuance of an occupancy permit for townhomes abutting Lancaster Way, but only from such townhomes south to the intersection of Lancaster Way and 68th Street. f. On the east side of Lancaster Way, upon the issuance of an occupancy permit for a single family home, but only where trees are abutting the lot that contains such single family home. g. Notwithstanding the foregoing, all boulevard trees shall be installed no later than the earlier of 1) the time of issuance of the final occupancy permit for the last residence to be constructed on Said Plat or 2) four years from the date of this Agreement. 6. City and Developer agree that HSB Ventures, LLC, as successor to Contractor Property Developers Company under the Developer's Agreement, shall not be liable for any of Contractor Property Developers Company's obligations under developer's agreements pertaining to the Towne Lakes first, second, fourth, or fifth additions, and that HSB Ventures, LLC's liability under the developer's agreement pertaining to Towne Lakes Third Addition, recorded in the Wright County Recorder's Office as document number 894487, shall arise only to the extent that HSB Ventures, LLC is the successor to Contractor Property Developers Company in the Towne Lakes Sixth Addition Developer's Agreement. Notwithstanding this paragraph, Developer shall not be released from any liability arising from a wetland permit covering land in the Towne Lakes Sixth Addition, regardless of whether that permit also covers prior Towne Lakes additions. 7. Developer shall take all necessary steps to amend the NPDES permit for Said Plat to make Developer the responsible party under such permit. 8. Upon 1) the execution of this Agreement by the City and Developer, and 2) the posting of an acceptable letter of credit with the City by Developer, Kilber shall be released from all obligations of the Developer's Agreement and the First Amendment, and the City shall release the entire remaining balance of Kilber's letter of credit via a written acknowledgement to the issuing bank that the City authorizes such issuing bank to terminate the Kilber letter of credit immediately. 5 9. Notices. All notices required to be given to the Developer under the Developer's Agreement, the First Amendment, or this Amendment shall be sent to the Developer at the following address: HSB Ventures, LLC 14505 43rd Ave N. Minneapolis, MN 55446 10. Developer's Agreement. Except as specifically altered by this Amendment, the terms of the Developer's Agreement and the First Amendment shall remain in full force and effect for the properties in Towne Lakes 6th Addition. Dated this 44*- day of April, 2017. CITY OF ALBERTVILLE, BY"°--t_— It Mayor BY Its Cl HSB VENTURES, LLC. By Its: STATE OF MINNESOTA ) ) ss. COUNTY OF WRIGHT ) The foregoing instrument was acknowledged before me this � � +� day of April, 2017 by Jillian Hendrickson as Mayor of the City of Albertville, a Minnesota municipal corporation, on behalf of the city and pursuant to the authority of the City Council. Maeghan Marie Becker i i ' Notary Public Minnesota MY% Ezpres January 31, 2021 otary Pub&c Z STATE OF MINNESOTA ) ss. COUNTY OF WRIGHT ) The foregoing instrument was acknowledged before me this j P' day of April, 2017, by Kimberly Olson, as Clerk of the City of Albertville, a Minnesota municipal corporation, on behalf of the city and pursuant to the authority of the City Council. der aeghan Marie Notary Pub Minnesota Catin Exphs Jama31. 2021 C STATE OF MINNESOTA ) ss. COUNTY OF WRIGHT ) The foregoing instrument was acknowledged before me this AU4-k day of , 2017, by a'wea the �,C j (,i��t-} of HSB Ventures, LLC. DRAFTED BY: Court & Ruppe P.L.L.P. P.O. Box 369 705 Central Avenue East St. Michael, MN 55376 (763)497-1930 o ary P bf' Maeghan Marie Becker Notary Public Minnesota ;+,.• °` My Caixnireion Expires January 31, 2021 7 EXHIBITS EXHIBIT A WORK TO BE COMPLETED 1. Submit televised logs and video of sanitary sewer system for City review and approval. 2. Submit record drawings for City review and approval. 3. Bituminous street patching and repairs, as required prior to final lifts. 4. Placement of final lifts of bituminous per approved plans. 5. Repair and/or replacement of damaged storm sewer. 6. Adjust castings as required for final lift of pavement. 7. Street striping and signage per approved plans. 8. Grade and restore boulevards and medians within public right-of-way. 9. Finish -grading of lots, ponds and drainage ways per approved plans 10. Remove all silt fence, debris piles, and hay bales from site. 11. Remove inlet protection from all storm sewer structures and clean storm sewer as required. 12. Construct sidewalks per approved plans. 13. Installation of landscaping and plantings per approved plans. Preferred Ville P0. Box 727 113 West 13roactway Montle=io, MN 55352 File # O 3 _ i 7 8