SPPA Master Lease · 2020-03-25 · INSERT DIAGRAM OF PROPERTY 120 DAYS Joint Venture SPPA may...
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INSERT DIAGRAM 120 DAYS Joint Venture SPPA may break the Master Lease Agreement in any of the following cases: A Joint Venture IS NOT created with a commercial real estate developer Any required permits, consents or approvals tied to the construction and development of the soccer stadium ARE NOT received and/or issued The existing mortgage lender DOES NOT provide consent Environmental clean-up costs exceed negotiated amount (SPPA will seek grants and other financing options) SPPA/CCP SAFETY CLAUSES CCP* Capital City Properties (CCP) is a separate 501(c)(3) nonprofit orgnanization created to relieve the burden of government in the funding of SPPA projects. CCP generates revenue through a variety of sources, including new market tax credits, joint venture partnerships and investment earnings. Approximately 32 percent of SPPA expenses are projected to be paid through CCP in 2017. MASTER LEASE The Master Lease will eventually be reassigned to CCP.* CCP will enter into a Joint Venture with a development partner and the lease will then be reassigned to the Joint Venture. An LLC will be formed between both parties. Ownership percentages are TBD. The Saint Paul Port Authority (SPPA) will sign a Master Lease Agreement with R.K. Midway, current owner of the property being discussed as part of the soccer stadium. SPPA would be the Master Tenant and Sublandlord for tenants in the mixed-use project. University Ave W Pascal Street N St.Anthony Ave 52 St.Anthony Ave 12 Property Impacted Approximate Area in Blue Box Snelling Ave Snelling Ave Snelling Ave 51 1 3 Upon lease signing, SPPA will have 120 days to do the due diligence needed to ensure the financial viability of the project, determine the cost of environmental remediation and select a development partner. 2 All partners in the Joint Ventures will have the option to purchase a portion of the property from R.K. Midway, based on their ownership percentage in the Joint Venture. CCP does not intend to be a long-term owner. The intent is for a development partner to move forward with purchasing the property. 4
Transcript of SPPA Master Lease · 2020-03-25 · INSERT DIAGRAM OF PROPERTY 120 DAYS Joint Venture SPPA may...
INSERT DIAGRAMOF PROPERTY
120 DAYS Joint Venture
SPPA may break the Master Lease Agreement in anyof the following cases:
A Joint Venture IS NOT created with a commercial real estate developer
Any required permits, consents or approvals tied to the construction and development of the soccer stadium ARE NOT received and/or issued
The existing mortgage lender DOES NOT provideconsent
Environmental clean-up costs exceed negotiatedamount (SPPA will seek grants and other financingoptions)
SPPA/CCP SAFETY CLAUSES
CCP*
Capital City Properties (CCP) is a separate 501(c)(3)nonprofit orgnanization created to relieve the burdenof government in the funding of SPPA projects. CCPgenerates revenue through a variety of sources, including new market tax credits, joint venturepartnerships and investment earnings. Approximately32 percent of SPPA expenses are projected to be paid through CCP in 2017.
MASTER LEASEThe Master Lease will eventually be reassigned to CCP.* CCP will enter into a Joint Venture with a development partner and the lease will thenbe reassigned to the Joint Venture. An LLCwill be formed between both parties. Ownership percentages are TBD.
The Saint Paul Port Authority (SPPA) will sign a Master Lease Agreement with R.K. Midway, current owner ofthe property being discussed as part of the soccer stadium. SPPA would be the Master Tenant and Sublandlord for tenants in the mixed-use project.
University Ave W
Pasc
al S
treet
N
St.Anthony Ave
52
St.Anthony Ave
12
Property ImpactedApproximate Area in Blue Box
Snel
ling
Ave
Snel
ling
Ave
Snel
ling
Ave
51
1
3
Upon lease signing, SPPA will have 120 days to do the due diligence needed to ensure the financial viability of the project, determine the cost ofenvironmental remediation and select a development partner.
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All partners in the Joint Ventures will have the option to purchase a portion of the property from R.K. Midway, based on their ownership percentage in the Joint Venture.
CCP does not intend to be a long-term owner. The intent is for a development partner to move forward with purchasing the property.
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