HomeMy WebLinkAboutResolution - HRA 88-01 - Approve TIF Plans - Elim Shores - 10/18/1988 RESOLUTION NO. AIA9 RU- Q l
RESOLUTION GIVING APPROVAL TO A TAX INCREMENT
FINANCING PLAN IN CONNECTION WITH THE ELIM
SHORES, INC. PROJECT UNDER CHAPTER 469,
MINNESOTA STATUTES.
WHEREAS, the City of Eden Prairie, Minnesota (the
"City") has established the Housing and Redevelopment Authority
in and for the City of Eden Prairie (the "Authority") for the
purpose, among others, to undertake tax increment projects under
Minnesota Statutes, Chapter 469 (the "Act") ;
WHEREAS, Elim Homes, Inc. , a Minnesota nonprofit
corporation acting on behalf of itself and for Elim Shores, Inc. ,
an affiliated Minnesota nonprofit corporation (collectively, the
"Developer") has filed a proposal dated August 12, 1988 with the
City (the "Proposal") requesting that the City and the Authority
approve a project which will consist of the acquisition of the
real property described on Exhibit A attached hereto and the
construction thereon of a 64-unit housing facility and related
common recreation and support facilities for rental to elderly
persons and families of low and moderate income (the "Project") ;
and
WHEREAS, the Developer has requested the approval of
an interest reduction program for the Project as permitted by the
Act (Minnesota Statutes §469.176, Subd. 4 (b) ) to be funded with
revenues derived from a tax increment financing plan; and
WHEREAS, based in part upon the representations of the
Developer in the Proposal (in particular, pages 5 and 6 thereof)
the Project is not reasonably expected to occur solely through
private investment within the reasonable forseeable future and,
accordingly, tax increment financing is deemed necessary to
encourage the development of the Project and to serve the
purposes of the Act as more fully set forth herein; and
WHEREAS, based upon the Proposal and other information
provided to the Authority as of this date, the Authority has
preliminarily determined that it is necessary and appropriate to
proceed with the Project as provided herein:
NOW, THEREFORE, THE BOARD OF COMMISSIONERS OF THE
HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF EDEN
PRAIRIE HEREBY RESOLVES AS FOLLOWS:
1. The Authority hereby adopts and approves the Tax
Increment Financing Plan for Elim Shores Project (the "Tax
Increment Financing Plan") as attached hereto as Schedule I.
2. The Tax Increment Financing Plan is hereby
incorporated by reference herein as if set forth in full herein
including the establishment of the tax increment financing
district as a housing district and the findings, expectations,
estimates and determinations set forth therein.
3. The Tax Increment Financing Plan is hereby
determined to be in full compliance with the provisions of the
Act including, without limitation, Minnesota Statutes §469.175,
Subd. 1.
4. Before the City shall adopt and approve the Tax
Increment Financing Plan and the tax increment district specified
in the Tax Increment Financing Plan, the Secretary of this
Authority shall transmit copies of the Tax Increment Financing
Plan to the members of the Hennepin County board of Commissioners
and the members of School District No. 272 (being the only county
and school district, respectively, in which the proposed tax
increment financing district is located) and shall advise the:
members of the County Board of Commissioners and said school
district that this Authority will provide an opportunity to such
members to meet with this Authority regarding the Tax Increment
Financing Plan and such tax increment district if requested in
writing to the Secretary of the Authority within thirty days from
the date of such transmittal as provided by Minnesota Statutes
§469.175, Subd. 2.
5. This Authority hereby determines that the Tax
Increment Financing Plan contains the information required to be
presented to the members of the County Board of Commissioners and
school district pursuant to Minnesota Statutes §469.175, Subd. 2,
including the Authority,s estimate of the fiscal and economic
implications of the proposed Tax Increment Financing District.
6. In addition to the transmittal to the members of
the Hennepin County Board of Commissioners and the members of
School District No. 272 as described in Paragraph 4 hereof, the
Tax Increment Financing Plan shall be transmitted to the City
Council by the Secretary of this Authority together with a
request and recommendation that following the notice,
consultations and public hearing required by Minnesota Statutes
§469.175, Subd. 2 and Subd. 3, the City Council approve the Tax
Increment Financing Plan. #
Approved and adopted by the Housing and Redevelopment
Authority of the City of Eden Prairie, Minnesota this day of
October, 1988.
Mayor
ATTEST:
I
TAX INCR
EMENT FINANCING PLAN
FOR
ELIM SHORES PROJECT
I. BACKGROUND
_.. _ ELIM_.Homes, Inc. ,_ ,a Minnesota non-profit corporation
(the "Developer" ) , has proposed the construction and operation of
a rental -housing, .facil_ity _ (the- ".Rroject"_)_,min the,.:_City. of __Eden
'Prairie, Minnesota (the "City" ) , consisting of approximately 64
apartments and common recreation and support facilities. The
Project will be located adjacent to Lake Mitchell, near the
intersection of Highway 5 and Country Road 4, on the real estate
described on Exhibit A hereto (the "Project Site") . The Project
will be designed for rental to elderly persons and families of
• low to moderate income, and will offer a full range of living and
care services.
The Developer intends to finance construction of the
Project through the issuance by the City of multifamily housing
revenue bonds (the "Bonds" ) pursuant to Minnesota Statutes,
Chapter 462C, which will be secured by a first mortgage on this
Project and the Project Site and by full recourse loan agreement
with the Developer-. In order to make the Project and its
financing feasible, the Developer has requested the Housing and
Redevelopment Authority of the City of Eden Prairie (the
"Authority" ) to finance an -interest reduction program for the
Project with revenues derived from a tax increment financing plan
established for the Project, pursuant to Minnesota Statutes,
Section 469.176, subdivision 4(b) .
• II. STATUTORY AUTHORITY
The Authority has power and authority to establish tax
increment financing districts pursuant to Minnesota Statutes,
Sections 469-.174 to 469 .179 (the "Act") , and to use tax
incrementsy-to reduce interest payments on the Bonds pursuant to
Minnesota Statutes, -S.ec•ti6n.-A69 .012,csiibdivision T through -10 and
an =_yI-nt-ere,stdE educ€ion - -Program •',adopted b� the &uthority- on
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III. BOUNDARIES AND CLASSIFICATION OF DISTRICT
The Authority hereby creates a tax increment financing
district (the "District" ) consisting of a "housing district" as
defined in S.e.c.tion 469.174, subdivision 11, of the Act, and
encompassing the parcels of property identified on Exhibit B
attached hereto. The Authority hereby finds that the Project,
which i-s -to be located within the boundaries of the District, is
intended for occupancy, in part, by persons or families of low
and- moderate income' within the meaning of Section 469.174,
subdivision 11, of the Act. The Authority also hereby finds that
at least 70% of the rental units in the Project will be available _
to low and moderate income persons, as set forth in Part VI
hereof, -and therefore not more than one-third of the total fair
market value of the Project consists of improvements. to be
constructed for commercial uses or for uses other than low and
moderate income housing. -
IV. STATEMENT OF OBJECTIVES
The Authority has determined that there is a need for
development of rental housing facilities in the City, and in
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particuld_a_ need for development of rental housing facilities
which provide a high quality^ of life for loci to moderate income
elderly persons -or families in the City, in a manner consistent
with the City's comprehensive plan and housing policies. The
661e6t"ives sought toIbe accomplished by the Authority in carrying
out' this-Tax`Irncrement Financing Plan are to "meet such needs by:
�1.��`promoting and securing the prompt development of the
------gFaperty in the District in a manner . consistent with the
C-it -comprehensive plan" and housing policies;
2. promoting and securing additional housing and
employment opportunities in the City, thereby improving
` City living standards, reducing unemployment and
preventing ai'eas 'of chronic unemployment and the loss of
skilled and unskilled labor and other human resources;
3. improving the financial base of the . City and
surrounding area, and increasing the tax base; and
4. ' encouraging the development of safe, decent and
attractive rental housing in the City, and particularly s
rental housing `designed for occupancy by elderly persons
or families of low or moderate income. I
V. DEVELOPMENT ACTIVITIES
The development program for the Project consists of the
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acquisition and construction by the Developer of an approximately !
64-unit multifamily rental housing facility designed for occu-
pancy by elderly persons -or families of low to moderate income.
n order to permit the Developer to keep rentals for the units at
an affordable level and to permit the Developer to provide low
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rent units as .provided. -in Part VI below, the Authority will use
tax increments derived from the District to pay a portion of the
interest on the Bonds, or other first mortgage financing used to
_ finance the Project.
The Authority does not intend to acquire any property
wi4ip :-the lPiskrict ,i L onnection with.. the development of the
Project. - `..: . 'r� • =
The Authority has not entered into any contracts at the
present time . relating to the development activities to take place
within the District. However, the Authority reasonably expects
to enter into a ' Development Agreement with the Developer, under
which the Developer agrees to construct the Project and the
Authority agrees to provide tax increment financing assistance
through an interest reduction program as described herein. The
Development Agreement will also (a) provide income limitations
for the rental units as set forth in Part VI hereof and as
required by Minnesota Statutes, Section 469.012, subdivision 8,
(b) provide that, upon any sale or transfer of the Project by the
Developer, the Authority shall be entitled to a payment by the
Developer in an amount determined pursuant to Part VII hereof, as
required . by Minnesota Statutes, Section 469. 012, subdivision 9,
and (c) provide rent limitations for 13 of the units as set forth
in Part VI hereof.
It is currently expected that construction of the
Project will commence on or about October, 1988, and that the
Project will be available for initial occupancy on or. about June,
1989.
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VI . - ,LOW AND MODERATE INCOME AND RENT LIMITS
L,, .-.r> =Ttie Development Agreement with ' the Developer will
provide; and the- - Developer shall agree, that as long as tax
increment financing assistance through the interest reduction
program (as des-cribed herein) is being provided for the Project,
} the '-Dbve`loper -�a1=1-1--mak,e a-'14661 -faith- --effort to ensure (a) that
I 20% of the rental units in the Project are made available to and
occupied by persons or families whose anticipated annual income
(at initial occupancy) is not- more -than 50% of the' medianincome
'(adjusted for family size) for the Twin Cities Metropolitan Area,
as established from time to time by the United States Department
of - -Housing -and- -Urban ' Development ( "HUD" ) , and (b) that an
addit cxial --50%-'' of the rental units are made available to and
occupied by persons or families whose anticipated annual income
(at i-ni-fial occupancy) is not more than 80% of the median income
(adjusted for family size) for the Twin Cities Metropolitan Area,
as established from time to time by HUD. The Development Agree-
ment will also provide --for • income certification at the time of
initial occupancy and other measures designed to verify the
extent to which the low and moderate income occupancy goals are
met.
The Development Agreement with the Developer will also
provide, and the Developer shall agree, that as long as tax
increment financing assistance through the interest reduction
program is being provided for the Project, the Developer will
ake a good faith effort to limit the monthly rents for thirteen
(13) , or twenty percent (20%) , of the units as follows.:
i
Unit -Type- __—==__ -'_ - Number of Units Rent Limit
1 Bedroom (575 s'q: =ft: ) 2 $295
1 Bedroom (619 sq. ft. ) 7 $340
1 Bedroom/Den (775 sq. --ft. ) - - -2 $495
1 Bedroom/Den (799 sq. ft. ) 2 $510
Provided, however , notwithstanding the rent limits set forth
above,,,,-the _ monthly,rents,rents for the 13 :low-rent units may be
increased _ from, time to time by •the Developer in the same amount
as the monthly rents for ' comparable units in the Project are
increased.
VII. AUTHORITY EQUITY
The Development Agreement will provide that during the
term of the Development Agreement the Authority will have an
equity interest in the Project, which shall consist of the
Authority's right, upon any sale or transfer by the Developer of
its fee title interest in the Project to any person other than an -
affiliate of the Developer, to receive a payment from the
Developer , in an amount equal to (a) the sale price for the
Project (or, in the case of any sale or transfer other than an
arms-length sale, the appraised value of the Project) , less the
sum of the following:
(i) an amount equal to $1,000,000 (representing the
Developer 's cash equity put into the Project) , plus the
amount of any additional cash equity contributed by the
Developer in connection with the construction, acquisition
or improvement of the Project, plus the amount of all
payments of principal made by the Developer on the Bonds
and any other debt secured by the Project and incurred in
connection with the construction, acquisition or improve-
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"mend-of the Project, plus the outstanding amount of the
s
Bonds or any other debt secured by a lien or security
interest in .the Project and incurred in connection with
the construction, .acquisition or improvement of the
_ Project, -and
an amount representing a =return on the . Developer 's
$1,000,000. cash equity. investment in the Project, calcu-
lated from the date of completion of the Project to the
date -of sale at a rate equal to percent
( �) per annum and on the basis of a 360-day year and
actual days elapsed,
multiplied by _ .(b) a fraction, the numerator of which is the sum
. of the interest reduction payments made by the Authority here-
under through the date of sale, and the denominator of which is
the amount determined under (a) (i) above plus the amount of all
interest payments made through the date of sale on the Bonds and
on any other debt secured by the Project and incurred in connec-
tion with the construction, acquisition or improvement of the I
i
Project.
The Authority's right to receive such payment shall be
secured by a mortgage on the Project and the Project Site in
favor of the Authority, which mortgage will be subordinate to any
mortgage securing the Bonds or-any other first mortgage financing
for the Project.
VIII. - FINANCIAL DATA
1. Costs of the Project. The estimated costs of
acquiring the Project Site, preparation of the Project Site,
construction of the Project and operating the Project during the
initial rent-up period, are set forth below:
Construction of the Facility $3,098, 400 _
Land Acquisition Costs 325, 000 �
Site Preparation and Improvement Costs 349, 600 ` ;
Furnishings and Equipment Costs 100,000:`
Architect, Engineering and Other Project Costs 215, 000:'__
Capitalized Construction Period Interest 198,500 -
Debt Service Reserve Fund 440,000'
Legal; Acoaunting=and_Financing Costs 276,900-.
Marketing Costs 225, 0001"
Working Capital 171, 600 =.
TOTAL $5,400, 000
The Developer intends to invest in 1988 and 1989 approxi-
mately $1,000,000 cash toward development of the Project, and to
raise the additional $4,400,000 through issuance of the Bonds by
the City.
. 2. Amount and Source of Authority Assistance. The
Authority anticipates that it will provide total assistance to
the Developer in an amount equal to $900,000, consisting of the
use of $75,000 of the tax increment derived from the District in
each of the years 1991 through 2002 to pay a portion of the
interest on the Bonds or other first mortgage financing for the
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Project in each of those years. The Authority also estimates
I
that it will incur administrative expenses relating to the I
i
District of approximately $ , which will be reimbursed
i
from- tax increment.
3. Bonded Indebtedness. The Authority does not
anticipate incurring any bonded indebtedness in connection with
the District or the Project.
to4. Original Assessed Value. The assessed value of the
taxable property in the District, as most recently certified by
-g_
i
the - Commissioner of Revenue, is- $51,840, which is expected to be
the "original assessed value" of such property within the meaning
of Section 469.174, subdivision 7, of the Act.
5. Captured Assessed Value. It is estimated that, upon
completion� of^ 'the - Project,Y:the captured assessed value of the
taxable-property -in -the -District will be $71.9,500. The Authority
anticipates that all of the tax increment derived from all of the
t captured assessed value will be needed for purposes of this Plan.
6. Tax Increment. The Authority estimates that, upon
completion of the Project, the tax increment to be derived from
taxes levied on the taxable property in the District will,
initially, be approximately $86,300 per year, and that such tax
• increment will increase at the rate of four percent (4. 0%) per
year. Any excess tax increment which is not needed for purposes
of this Plan will be returned to the county auditor pursuant to
Section 469.176, subdivision 2, of the Act.
7. Duration of District. The duration of the District
will be the lesser of 25 years from the date of receipt of the
first tax increment, or 12 years after the date of the first
interest reduction payment.
IX. ECONOMIC IMPACT
The Authority has analyzed the impact of the tax
increment financing on all of the taxing jurisdictions in which
all or any part. of the District is located. Attached hereto as
Exhibit C and Exhibit D, respectively, are the Authority' s
analysis of such impact (a) assuming that the captured assessed
value expected to be generated by the Project would- be available
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• to the taxing jurisdictions without creation of the District, and
(b) assuming that none of the captured assessed value expected to
be generated by the Project would be available to the taxing
jurisdictions without creation of the District.
X. NEED FOR TAX INCREMENT FINANCING
1- ^The=Authority, has -d-etermined, in its opinion, that the
Project would not reasonably be expected to occur solely through
private investment within the reasonably foreseeable future, and
therefore the use of tax increment financing as contemplated
herein is necessary. The Authority has based this determination
on various representations made by the Developer, and in
particular on the Developer ' s Proposal to the City of Eden
. Prairi-e dated August 12, 1988 ( the "Proposal" ) , and the financial
analyses set forth therein. The Proposal and the financial
analyses set forth therein establish that (a) the Project cannot
be expected to generate cash flows necessary to meet debt service
requirements for the Bonds or other first mortgage financing for
the Project, based on the current market conditions, without some
form of public assistance, and (b) other potential forms of
public assistance or governmental programs are either unavailable
to the Project or unaffordable.
XI. • FINDINGS
The Authority hereby makes the following findings in
connection with the creation of the District :
1. The District constitutes a "housing district" within
• the meaning of the Act, in that the Project As intended,
in part, for occupancy by persons or families of low or
m-cSerate income.
—10—
-2-. 'The Project would not reasonably be expected to occur
solely through - private investment' in the reasonably
fbr-eseeable future, as set forth in Part VIII above.
3. This Plan conforms to the general plan for the
slevelopment__or reddvelopment of the City as a whole.
4. - 'This =Plari -will-=afford maximum opportunity, consistent
- - • with the sound ' needs of the City as a whole, for the
development of the Project by private enterprise.
. 5. This Plan, and the provision of interest reduction
assistance for the project as contemplated herein, is
consistent with the Authority's Interest Reduction Program
and -the ' rules contained therein, and financing for the
• acquisition and construction of the Project is not
otherwise available from private lenders upon terms and
conditions affordable to the Developer .
XII. SUBMISSION TO CITY
This Plan shall be submitted to the City Council of the
City for its approval, after notice and public hearing, as
required by Section 469.175, subdivision 3, of the Act . The
Authority recommends the approval of this Plan by the City
Council, based on the Authority's findings and determinations set
forth herein.
XIII. CONSULTATIONS
As required by Section 469 .175, subdivision 2, of the
Act, prior to the actual formation of the District, and at least
• 30 days before the public hearing referred to in Part X above, a
copy of this Plan shall be submitted to the members of the
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Hennepin County Board of Commissioners, the members of the board
of Independent School District No. 272, and to any other parties
referred to in said Section 469.175, subdivision 2. Such members
and other parties will be given an opportunity to meet with
representatives of the Authority and/or to present their comments
at the public hearing.
f
This plan was adopted and approved by the Board of
Commissioners of the Housing and Redevelopment Authority of the
City of Eden Prairie on this day of 1988.
Chairman
3
Secretary
DPSdoc29
I
,y
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- ELIM HOMES - EDEN PRAIRIE
Tax Increment Financing
PLANNED CONDITIONSWITHOUT-TAX-INCREMENT
The following tables reflect on a proforma basis, what the tax revenue would be
- to the various taxing authorities if the planned project was completed without
tax increment financing and the tax base and mill rate remained unchanged except
for this project.-
Estimated Tax
Capacity Assessed Value
Parcel 1-7-116-22-12-0104 (Outlot A) -----------------------
and Title II Senior Housing Project $719,500
Latest Assessed Value of Each Government Body:
With Addition of Planned Project
---------------------------------------------- % Of District
To Total
-------------
Hennepin County $9,252,184,134 0.0078%
. City of Eden Prairie $399,208,170 0.1802%
School District #272 $387,464,750 0.1857%
Vocational School $5,934,886,908 0.0121%
Watershed #4 $464,412,172 0.1549%
Other:
Metro Transit $9,050,613,854 0.0079%
Metro Council $9,250,705,118 0.0078%
Mosquito Control $9,250,705,118 0.0078%
County Library/Parks $6,317,759,371 0.0114%
1
Based on the current mill rate, the estimated taxes received would be as follows
for the taxing bodies:
Tax
Mills Percent Increment
City 19.940 16.60% $14,300
County 31.667 26.40 22,800
School District #272 60.012 50.10 43,200
Vocational School 1.493 1.20 1,100
Other — 6.779 5.70 4.900
Total 119.891 100.00% $86,300
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ELIM HOMES - EDEN PRAIRIE
Tax Increment Financing
- :PLANNED .CONDITIONS WITH _TAX .INCREMENT
The following table represents the additional mills which would have to be
_.levied to compensate the taxing authorities for the actual loss of tax dollars
-as a result of removing the existing Outlot A from the tax base and the loss of
future tax dollars as a result of not including the building in the base.
Captured Assessed Value
--Outlot A and Building
---------------
Schedule Attached $719,500
• Latest. Assessed_Value of Each Government Body:
Without Outlot A and Building
----------------------------------------------
% Of District
To Total
-------------
Hennepin County $9,251,464,634 0.0078%
City of Eden Prairie $398,488,670 0.1805% _
School District #272 $386,745,250 0.1860%
Vocational School $5,934,167,408 0.0121%
Watershed #4 $463,692,672 0.1551%
Other:
Metro Transit $9,049,894,354 0.0079%
Metro Council $9,249,985,618 0.0077%
Mosquito Control $9,249,985,618 0.0077%
County Library/Parks $6,317,039,871 0.0013%
Required Tax
Mills Percent Receipt
City 19.976 16.60% $14,300
County 31.669 26.40 22,800
School District #272 60.124 50.10 43,200
' Vocational School _ 1.493 1.20 1,100
Other 6.790 5.70 4,900
-------- --------- --------
Total 120.052 100.00% $86,300
--------- --------
Less: Original Mill Rate 119.891
Increase in Mill Rate 0.161
ELIM HOMES - EDEN PRAIRIE
Tax Increment Financing
BUILDING - LAND
CAPTURED VALUE COMPUTATION COMPONENT COMPONENT TOTAL
--------- --------- ---__
Annual Rents - Stabilized at 94% Occupancy $ 570,000
Less: 25% Allowance (Normal Operating
Expenses) (142,500)
Less: 10% Allowance (Special Services) (57,000)
Adjusted Value $ 370,500
• Capitalization Rate 0.12
Estimated Tax Market Value $3,087,500 $ 300,000
Assessment Rate 0.2 0.34
--------- ---------
Estimated Captured Assessed Value $ 617,500 $ 102,000 $719,500
ELIM HOMES - EDEH PRAIRIE
Tax Increment Financing
Advances of the Interest Rate Reduction could be scheduled as follows:
Interest Tax
Rate Increment
Reduction Taxes
Elim's Fiscal Year Ending Advances Paid Balance
September 305 1989 $6,200 $6,200
' September 305 1990 15,000 21,200
September 30, 1991 $75,000 30,000 (23,800)
September 30, 1992 75,000 60,000 (38,800)
September 30, 1993 75,000 86,300 (27,500)
I September 30, 1994 75,000 89,800 (12,700)
September 30, 1995 75,000 93,400 5,700
September 30, 1996 75,000 975100 27,800
September 305 1997 75,000 101,000 53,800
September 30, 1998 75,000 105,000 83,800
September 30, 1999 75,000 109,200 1185000
September 30, 2000 75,000 113,600 156,600
$ September 305 2001 75,000 1189100 199,700
F September 305 2002 755000 122,800 247,500
F -$900,000 $1,147,500
Real Estate Taxes are assumed to increase at the rate of 4% per year after 1992.
Based on the above schedule, it is estimated that in the 10 years following the
termination of the advances, Elim will pay approximately $1,500,000 in real
estate taxes in addition to the amount shown above.
•
EXHIBIT A
All that part of Outlot A, NORTH BAY OF TIMBER LAKES 2ND
ADDITION, according to the plat on file and of record in the
Office of the Registrar of Titles, Hennepin County, Minnesota
lying northerly and northeasterly of the following described
line: Commencing at the northeast corner of Lot 2, Block 1,
NORTH BAY OF TIMBER LAKES, according to the plat on file and of
record in the Office of the Registrar of Titles, Hennepin County,
Minnesota; thence South 88 degrees 02 minutes 18 seconds West,
assumed bearing, along the north line of said Lot 2 a distance of
261.74 feet to the northwest corner of said Lot 2 and the point
of beginning of the line to be described; thence South 70 degrees
26 minutes 32 seconds West a distance of 266.88 feet to the most
northerly corner of Lot 2, Block 1, said plat of NORTH BAY OF
TIMBER LAKES 2ND ADDITION; thence North 29 degrees 00 minutes 00
seconds West, along the northwesterly extension of the
northeasterly line of said Lot 2 a distance of 121.46 feet to a
point on the survey line which is as shown on said plat of NORTH
BAY OF TIMBER LAKES 2ND ADDITION distant 120.61 feet
northeasterly of the westerly line of said Outlot A as measured
along said survey line; thence continuing North 29 degrees 00
minutes 00 seconds West to the shoreline of Mitchell Lake as
shown on said plat of NORTH BAY OF TIMBER LAKES 2ND ADDITION and
said line there terminating.
4
EXHIBIT B
All that part of Outlot A, NORTH BAY OF TIMBER LAKES 2ND
ADDITION, according to the plat on file and of record in the
Office of the Registrar of Titles, Hennepin County, Minnesota
lying northerly and northeasterly of the following described
line: Commencing at the northeast corner of Lot 2, Block 1,
NORTH BAY OF TIMBER LAKES, according to the plat on file and of
record in the Office of the Registrar of Titles, Hennepin County,
Minnesota; thence South 88 degrees 02 minutes 18 seconds West,
assumed bearing, along the north line of said Lot 2 a distance of
261.74 feet to the northwest corner of said Lot 2 and the point
of beginning of the line to be described; thence South 70 degrees
26 minutes 32 seconds West a distance of 266.88 feet to the most
northerly corner of Lot 2, Block 1, said plat of NORTH BAY OF
TIMBER LAKES 2ND ADDITION; thence North 29 degrees 00 minutes 00
seconds West, along the northwesterly extension of the
northeasterly line of said Lot 2 a distance of 121.46 feet to a
point on the survey line which is as shown on said plat of NORTH
BAY OF TIMBER LAKES 2ND ADDITION distant 120. 61 feet
northeasterly of the westerly line of said Outlot A as measured
along said survey line; thence continuing North 29 degrees 00
minutes 00 seconds West to the shoreline of Mitchell Lake as
shown on said plat of NORTH BAY OF TIMBER LAKES 2ND ADDITION and
said line there terminating.
•