2017-10-27 Karston Cove 4th Add Developer's Agreement signedCITY OF ALBERTVILLE
PLANNED UNIT DEVELOPMENT AGREEMENT
KARSTON COVE FOURTH ADDITION
THIS AGREEMENT, entered into this 2'7-1-'day of October, 2016 by and between
Centra North, LLC, a Minnesota Limited Liability Company, referred to herein as
"Developer"; and the CITY OF ALBERTVILLE, County of Wright, State of Minnesota,
hereinafter referred to as "City";
WITNESSETH:
WHEREAS, Developer is the fee owner of the real property described as Outlot A,
Karston Cove Fourth Addition according to the plat of record on file in the Wright County
Recorder's Office, Wright County, Minnesota, which real property shall hereinafter be
referred to in its entirety as "Said Plat" or "Subject Property"; and
WHEREAS, Said Plat had previously been platted as 30 lots in the plat of Karston
Cove Third Addition, Wright County, Minnesota and had been subject to that Conditional
Use/Planned Unit Development Agreement recorded as document number 942285 in the
Wright County Recorder's Office, Wright County, Minnesota ("Original Developer's
Agreement") between the City and Woodside Karston Cove, LLC ("Woodside"); and
WHEREAS, the City and Woodside had entered into an Amendment to the
Conditional Use/Planned Unit Development Agreement, Karston Cove Third Addition,
recorded as document number 1147922 in the Wright County Recorder's Office, Wright
County, Minnesota ("Amended Developer's Agreement"); and
WHEREAS, Woodside assigned to Developer all of its rights to the Subject
Property and all escrows or other money being held by the City on behalf of Woodside and
related to the Karston Cove Third Addition plat; and
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WHEREAS, the City and Developer desire to release Said Plat from the Original
Developer's Agreement and Amended Developer's Agreement and subject Said Plat to the
terms of this Agreement; and
WHEREAS, the City has given final approval of Developer's plat of Karston Cove
Fourth Addition (attached hereto as Exhibit A) contingent upon compliance with certain
City requirements including, but not limited to, matters set forth herein; and
WHEREAS, the City requires that a sidewalk (hereafter "Municipal
Improvements") be installed to serve the Subject Property and be financed by Developer;
and
WHEREAS, this Agreement is entered into for the purpose of setting forth and
memorializing for the parties and subsequent owners, the understandings and covenants of
the parties concerning the development of the Said Plat and the conditions imposed thereon;
NOW, THEREFORE, IT IS HEREBY AND HEREIN MUTUALLY
AGREED, in consideration of each party's promises and considerations herein set forth, as
follows:
1. Release of Prior Development Agreements. The terms of the Original Developer's
Agreement and Amended Developer's Agreement shall not apply to Said Plat. The
terms of this Agreement are intended to replace the Original Developer's Agreement
in its entirety.
2. Future Replat of Said Plat. In the event Said Plat is ever replatted, in whole or in
part, into numbered residential lots, the City may require, as a condition of approval
of such future plat, that such future numbered residential lots join with the existing
Karston Cove Townhomes of Albertville Association that currently includes all
lots in Block 1 of Karston Cove Third Addition ("HOA") through a development
agreement to be recorded against said future lots with the future final plat.
Notwithstanding this reservation of rights, the City acknowledges that it may not
impose any obligation on the Developer to add the future lots to the HOA unless
the Declaration establishing the HOA has been modified, on or before the time of
final plat approval, to allow for the addition of said future lots to the HOA.
3. Construction of Municipal Improvements. Developer shall install a 5 foot wide,
4 inch thick concrete sidewalk along the south side of 6411 Street in the general
location shown in the Plans and Specifications for Karston Cove Third Addition, as
prepared by Meyer-Rohlin, Inc. and dated July 27, 2004 and on file with the City
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Clerk. Developer agrees to warranty the Municipal Improvements from defects in
materials and workmanship for a period of two years from the date of acceptance of
such Municipal Improvements by the City. Unless the City Engineer specifies a later
date, said improvements shall be installed by June 30, 2017 ("Municipal
Improvement Deadline"). Notwithstanding the foregoing, in the event that
Developer submits an application for preliminary plat approval for the development
of the Property on or before June 30, 2017, the Municipal Improvement Deadline
shall be automatically extended to June 30, 2018.
4. Construction of On- and Off -Site Improvements. Developer shall ensure that
Said Plat is sufficiently level such that the non -wetland areas can be mowed with a
commercial lawn mower. Developer agrees to establish turf over all non -wetland
areas of Said Plat that are impacted by the installation of the Municipal
Improvements within one hundred twenty (120) days following the installation of the
Municipal Improvements.
5. Surely Requirements.
A. The City is currently holding $442,634.55 in funds that were drawn from the
letter of credit that the Developer of the Karston Cove Third Addition plat
originally provided to the City to secure the installation of improvements to
the Subject Property. The City shall retain $20,843.75 of said funds as a cash
surety to ensure that Developer constructs the Municipal Improvements and
the On- and Off -Site Improvements as required by this Agreement and to
ensure compliance with the terms of this Agreement. The City may also use
the letter of credit funds to reimburse itself for any fees incurred in processing
Said Plat and drafting this Agreement.
B. Upon failure of the Developer to cure a default as provided in this Agreement,
the City may draw on said cash surety to complete work not performed by
Developer (including but not limited to the Municipal Improvements and on -
and off -site improvements described above), 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.
C. In the event that any cash, irrevocable letter of credit, or other surety referred
to herein is ever utilized and found to be deficient in amount to pay or
reimburse the City in total as required herein, the Developer agrees that upon
being billed by the City, Developer will pay within thirty (30) days of the
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mailing of said billing, the said deficient amount. If there should be an
overage in the amount of utilized security, the City will, upon making said
determination, refund to the Developer any monies which the City has in its
possession which are in excess of the actual costs of the project as paid by the
City.
D. Developer hereby agrees to allow the City to specially assess Developer's
property for any and all costs incurred by the City in enforcing any of the
terms of this Agreement should Developer's surety prove insufficient or
should Developer fail to maintain said letter of credit or surety in the amount
required above within 30 days of mailing of written request by the City.
E. That portion of said cash surety with respect to the performance of Site
Improvements shall be released upon certification of the City Engineer and
approval of the City Council that all such items are satisfactorily completed
pursuant to this Agreement.
F. Upon the execution of this Agreement by all parties and the payment of all of
the City's expenses in processing Said Plat and preparing this Agreement, and
in processing any issues related to Lots 1-30, Block 2, Karston Cove Third
Addition, the City shall release the remaining funds that were drawn from the
Karston Cove Third Addition letter of credit, except the $20,843.75 referred
to in paragraph 5A above, and except for any amounts that the City used to
reimburse itself for any fees incurred in processing Said Plat and drafting this
Agreement.
6. Surety Release.
A. Periodically, as payments are made by the Developer for the completion of
portions of the on- and off -site Improvements and when it is reasonably
prudent, the Developer may request of the City that the surety be
proportionately reduced for that portion of the On- and Off -site Improvements
which have been fully completed and payment made therefor. All such
decisions shall be at the discretion of the City Council, but such release shall
not be unreasonably withheld, conditioned or delayed if such Improvements
have been completed and paid for and no other monetary obligations of
Developer remain outstanding under this Agreement. 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.
B. The Developer may request of the City a reduction or release of any surety as
follows:
i. When all or a portion of the Municipal Improvements and on- and off -
site improvements have been installed, the letter of credit or surety
may be reduced by the dollar amount attributable to that portion of
improvements so installed, 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.
li. As to all requests brought under this paragraph B, the City Council
shall have complete discretion whether to reduce or not to reduce said
letter of credit or surety, provided however, in the event that the City
Council does not reduce said letter of credit or surety, the City Council
shall provide the Developer with specific reasons as to why such
request for release is being denied.
C. The costs incurred by the City in processing any reduction request shall be
billed to the Developer and paid to the City within thirty (30) days of billing.
7. Developer to Pay City's Costs and Expenses. It is understood and agreed that the
Developer will reimburse the City for all reasonable administrative, legal, planning,
engineering and other professional costs incurred in the creation, administration,
enforcement or execution of this Agreement and the processing and approval of Said
Plat, as well as all reasonable engineering expenses incurred by the City in
designing, approving, installing, and inspecting said Improvements described above.
Developer agrees to pay all such costs within thirty (30) days of billing by the City.
If Developer fails to pay said amounts, then the City may specially assess such costs
against the lots within Said Plat. Developer has the right to request time sheets or
work records to verify said billing prior to payment.
8. Erosion and Siltation Control. Developer shall also install all erosion control
measures deemed necessary by the City Engineer if any grading is to occur on Said
Plat.
9. Maintain Public Property Damaged or Cluttered During Construction.
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Developer agrees to assume full financial responsibility for any damage which may
occur to public property including but not limited to streets, street sub- base, base,
bituminous surface, curb, utility system including but not limited to watermain,
sanitary sewer or storm sewer when said damage occurs as a result of the activity
which takes place during the installation of Municipal Improvements or on- and off -
site improvements as required by this Agreement. The Developer further agrees to
pay all costs required to repair the streets, utility systems and other public property
damaged or cluttered with debris when occurring as a direct or indirect result of the
construction required under this Agreement.
Developer agrees to clean the streets on a daily basis during such construction if
required by the City. Developer further agrees that any damage to public property
occurring as a result of construction required under this Agreement will be repaired
immediately if deemed to be an emergency by the City. Developer further agrees
that any damage to public property as a result of construction activity on Said Plat
will be repaired within fourteen (14) days or such additional time as necessary if
such repair cannot reasonably be effected in said fourteen (14) day period if not
deemed to be an emergency by the City.
If Developer fails to so clean the streets or repair or maintain said public property,
the City may undertake making or causing it to be cleaned up, repaired or
maintained. When the City undertakes such activity, the Developer shall reimburse
the City for all of its expenses within thirty (30) days of its billing to the Developer.
If the Developer fails to pay said bill within thirty (30) days, then the City may
exercise any remedy permitted under law or under this Agreement, including
specially assess such costs against the lots within Said Plat and/or taking necessary
legal action to recover such costs and the Developer agrees that the City shall be
entitled to attorneys fees incurred by the City as a result of such legal action.
10. Temporary Easement Rights. Developer shall provide access to the Subject
Property at all reasonable times to the City or its properly credentialed
representatives for purposes of inspection or to accomplish any necessary work
pursuant to this Agreement.
11. Miscellaneous.
A. Developer agrees that all construction items required under this Agreement
are items for which Developer is responsible for completing and all work
shall be done at Developer's expense.
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B. If any portion, section, subsection, sentence, clause, paragraph or phrase of
this Agreement is for any reason held invalid by a Court of competent
jurisdiction, such decision shall not affect the validity of the remaining
portion of this Agreement.
C. The action or inaction of either the City or Developer shall not constitute a
waiver or amendment to the provisions of this Contract. To be binding,
amendments or waivers shall be in writing, signed by the parties and
approved by written resolution or motion of the City Council. The City's
failure to promptly take legal action to enforce this Contract shall not be a
waiver or release.
D. The City acknowledges that it has received satisfactory evidence that
Developer has good and marketable title to all of Subject Property.
E. Developer shall comply with all water, ponding and wetland related
restrictions, if any, required by the City of Albertville, Wright County Soil
and Water Conservation District and/or any applicable provisions of State and
Federal law.
F. Developer shall obtain all required driveway, utility and other permits as
required by the City Engineer, Wright County and/or the State of Minnesota.
12. Violation of Agreement.
A. Except as otherwise provided in this Agreement, upon any default by
Developer, its successors or assigns, of any of the covenants and agreements
herein contained, the City shall give Developer thirty (30) days mailed notice
thereof (via certified mail), and if such default is not cured within said thirty
(30) day period, the City is hereby granted the right and the privilege to
declare any deficiencies governed by this Agreement due and payable to the
City in full. The thirty (30) day notice period shall be deemed to run from the
date of deposit in the United States Mail. Upon failure to cure by Developer,
the City may thence immediately and without notice or consent of the
Developer complete the Developer's obligations under this Agreement,
reimburse itself from Developer's surety, and specially assess the costs
thereof in excess of the available surety against the lots within Said Plat
and/or bring legal action against the Developer to collect any sums due to the
City pursuant to this Agreement, plus all costs and attorney's fees incurred in
enforcing this agreement.
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B. Notwithstanding the 30-day notice period provided for in paragraph 12A
above, in the event that a default by Developer will reasonably result in
irreparable harm to the environment or to public property, or result in an
imminent and serious public safety hazard, the City may immediately
exercise all remedies available to it under this Agreement in an effort to
prevent, reduce or otherwise mitigate such irreparable harm or safety hazard,
provided that the City makes good -faith, reasonable efforts to notify the
Developer as soon as is practicable of the default, the projected irreparable
harm or safety hazard, and the intended actions of the City to remedy said
harm.
13. Dedications to the City. The City acknowledges that the Developer has met its park
dedication requirements for the 29 residential lots that had previously been platted on
this property. In the event the Developer replats Said Plat in the future into
residential lots, it shall not have to pay park dedication on the first 29 residential
units that may be constructed on Said Plat.
14. Phased Development. If the plat is a phase of a multi -phased preliminary plat, the
City may refuse to approve final plats of subsequent phases until public
improvements for all prior phases have been satisfactorily completed. Development
of subsequent phases may not proceed until Development Contracts for such phases
are approved by the City. Approval of this phase of the Development shall not be
construed as approval of future phases nor shall approval of this phase bind the City
to approve future Development phases. All future Development phases shall be
governed by the City's Comprehensive Plan, Zoning ordinance, Subdivision
ordinance, and other ordinances in effect at the time such future Development phases
are approved by the City.
15. Indemnity. Developer shall hold the City and its officers and employees harmless
from claims made by Developer and third parties for damages sustained or costs
incurred resulting from Said Plat approval and development, except that the
Developer shall not be required to indemnify or hold the City harmless from
negligent acts of the City. The Developer shall indemnify the City and its officers
and employees for all costs, damages or expenses which the City may pay or incur in
consequence of such claims, including attorney's fees. Third parties shall have no
recourse against the City under this Agreement.
16. Sanitary Sewer and Water Trunk Line Fees. City trunk sewer and water
charges have been previously paid on Said Plat.
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17. Integ_ration Clause, Modification by Written Agreement Only. This Agreement
represents the full and complete understanding of the parties and neither party is
relying on any prior agreement or statement(s), whether oral or written.
Modification of this Agreement may occur only if in writing and signed by a duly
authorized agent of both parties.
18. Notification Information. Any notices to the parties herein shall be in writing,
delivered by hand (to the City Clerk for the City) or registered mail addressed as
follows to the following parties:
City of Albertville
c/o City Clerk
P.O. Box 9
Albertville, MN 55301
Telephone: (763) 497-3384
Centra North, LLC
Dale Wills
11460 Robinson Dr. NW
Minneapolis, MN 55433
19. Agreement Effect. This Agreement shall run with the land and be binding upon and
extend to the representatives, heirs, successors and assigns of the parties hereto.
CITY OF ALBERTVILLE
aw
Jillian Hendric on
44 k- ; 11
Its Mayor
By
Kimb y A. Olson
Its Clerk
CENTRA NORTH, LLC
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CENTRA NORTH, LLC
By: z �.p _
Its: rc.s
STATE OF MINNESOTA )
) ss.
COUNTY OF WRIGHT )
The foregoing instrument was acknowledged before me this day of
October, 2016, 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.
Notary Public
STATE OF MINNESOTA )
ss.
COUNTY OF WRIGHT )
The foregoing instrument was acknowledged before me this day of
October, 2016, by Kimberly A. 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.
Notary Public
STATE OF MINNESOTA )
ss.
COUNTY OF WRIGHT )
The foregoing instrument was acknowledged before me this day of
October, 2016, by Dale Wills, as5/ t>e*%J-t- of Centra North, LLC.
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DRAFTED BY:
Couri & Ruppe, P.L.L.P.
P.O. Box 369
705 Central Avenue East
St. Michael, MN 55376
(763)497-1930
Notary Public
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R =
AMY N. CHRISTIANSON
NOTARY PUBLIC•MINNESOTA
My Commission Expires
January 31, 2020
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