HomeMy WebLinkAboutCity Council Resolution 1984-343CITY OF PLYMOUTH
Pursuant to due call and notice thereof, a re ular meeting of the
City Council of the City of Plymouth, Minnesota, was ie on t e 4th
day of June , 19 84, The following members were
present: Mayor avenport,ounc ers -F1;iis, Moen, Schneider and Crain
The following members were absent: None
**
Councilmember Neils introduced the following Resolution and moved
Its adoption:
RESOLUTION NO. 84-343
A RESOLUTIOP OF INTENT RELATING TO THE
ISSUANCE OF APPROXIMATELY $8,000,000
COLLATERALIZED MULTIFAMILY HOUSING
DEVELOPMENT REVENUE BONDS FOR THE
FOX FOREST APARTMENTS HOUSING PROJECT
WHEREAS, the City Council of the City of Plymouth, Minnesota (the "City") has
determined that a serious shortage of decent, safe and sanitary housing exists
in the City, and the City desires to cause to be provided decent, safe and
sanitary housing for persons and families in the City; and
WHEREAS, the City is authorized and empowered by the Constitution and laws of
the State of Minnesota, particularly Minnesota Statutes Chapter 46209 to Issue
revenue obligations for the purpose of financing the construction or development
of multifamily rental housing by the making of loans to mortgagors to finance
the development of multifamily rental housing; and
WHEREAS, Richard Neslund, a Minnesota resident, desires to develop, construct
and equip multifamily rental housing for persons of low and moderate income
which will result in increased residential opportunities within the City, which
will be owned by Richard Neslund or a related entity; and
WHEREAS, Richard Neslund will acquire a parcel of real estate located north of
Highway 55 and south of 18th Avenue in Plymouth, Minnesota and will develop,
construct and equip thereon a 160 -unit housing project for persons of low and
moderate income to be known as the Fox Forest Apartments Project (the
"Project"); and
WHEREAS, as an inducement to Richard Neslund to acquire, develop, construct and
equip the Project, the City desires to adopt this resolution; and
WHEREAS, Miller do Schroeder Municipals, Inc. of Minneapolis, Minnesota is an
experienced municipal bond underwriter and has structured the proposed financing
for the City at the request of Richard Neslund; and
Resolution No. 84-343
Page Two
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WHEREAS, it is apparent that the development of the Project will increase the
number of residential units and provide needed, decent, safe ane sanitary
housing in the City, all of which are in the public interest of the City; and
WHEREAS, the financing of the proposed Project through the issua,ice of the
hereinafter described Bonds of the City will increase the assessed valuation of
the City and further provide for and promote the public health, safety, morals
dnd welfare of the inhabitants of the City.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PLYMOUTH, as
follows:
Section 1. Approval is hereby given to the application of Richard Neslund
relating to the development, construction and equipping of the Fox Forest
Apartments Project to be located thereon.
Section 2. The City Council hereby establishes its intent to issue its
collateralized multifamily housing development revenue bonds (the "Bond") in the
approximate amount of $8,000,000 for the purpose of making a permanent loan to
be evidenced by a mortagage note to Richard Neslund to provide financing for the
acquisition, development, construction and equipping of the Project, to fund a
bond debt service reserve fund and to pay certain costs of issuance of the
Bonds.
Section 3. As an inducement to Richard Neslund to acquire, develop, construct
and equip said Project, the City Council shall cooperate and take such action as
may be necessary in the drafting of documents or the performance of such other
acts as will facilitate the issuance of the Bonds by the City and the
development, construction and equiping of the Project.
Section 4. Miller do Schroeder Municipals, Inc. is hereby appointed and
employed as Underwriter for the proposed financing, and all fees and expenses of
each shall be paid solely from proceeds of the sale of the Bonds or by the
purchase of the Bonds at a discount.
Section S. Any costs or expenses of the City incurred in connection with the
Project Wall be reimbursed from either the proceeds of the Bonds to be issued
with respect thereto or from payments by other parties to the financing.
Section S. The obligation hereunder of the City and its City Council shall be
limited solely to good -faith efforts to consummate the proceedings contemplated
by this resolution and to issue the Bonds, and neither the City nor its City
Council nor its officers, agents or employees shall incur any liability
whatsoever if for reasons beyond the control of the City and its City Council
the proposed issuance of the Bonds cannot be consumated.
Resolution No.84-343
Page Three
Section 7. This Resolution shall be in full force and effect from and after
Its passage by the City Council of the City of Plymouth.
ADOPTED AND APPROVED this 4th day of June, 1984 by the Nayor and City Council of
the City of Plymouth.
The motion for the adoption of the foregoing Resolution was duly seconded by
Councilmember Moen , and upon vote being taken thereon, 'tTe
0 ow ng voted n favor t ereo : Ry -or Davenport, Councilmembers Crain
Moen, andNeils e followina
votea against or aostainea: Councilmember 5chnelder
Whereupon the Resolution was declared duly passed and adopted:
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