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Home My WebLink About4.A Commerical Exterior Improvement Program loan - Babe's Place Consent Business 4. A. Si I:\Kt.mist- TO: Economic Development Authority FROM: Samantha DiMaggio, Economic Development Coordinator DATE: 06/16/2015 SUBJECT: Commercial Exterior Improvement Program Loan -- Babe's Place Background The owner of Babe's Place, located at 124 Holmes St. in downtown Shakopee, has requested a deferred/forgivable loan from the City's Commercial Exterior Improvement Program. If the application is approved, the following work will be done to the exterior of the building: •New Awning •Installation of New Windows The total estimated project costs for the exterior improvements is $44,430. The applicant is requesting a 5 year deferred/forgivable loan in the amount of$22,215. Babe's Place previously received a Facade Improvement Loan from the City in 2007 for $25,000. These funds were used to restore the brick exterior of the building (removing paint off bricks, new mortar, etc.). The total cost of the repairs at that time were $54,000. The EDAC reviewed this request on Wednesday, June 10, 2015 and are recommending an award of$22,215. Action Sought If the EDA concurs, it should, by motion, approve a Commercial Exterior Improvement Loan in the recommended amount of$22,215. The EDA should also authorize the appropriate officials to enter into Repayment Agreement with Mary Isakson , for the building located at 124 Holmes Street, Shakopee. Attachments: Application Commercial Exterior Improvements SHAKOPEE Loan Application The City of Shakopee is proud of its historic downtown and other commercial areas and would like to encourage property owners to maintain and invest in their properties in order to preserve them as a profitable businesses and attractive destinations for years to come. The Commercial Exterior Improvement Loan Program,formerly known as the Facade Improvement Program,allows businesses to apply for a forgivable loan from the City of Shakopee for exterior building improvements. HOW IT WORKS BEFORE For successful applicants,the City of Shakopee pays up to 50 percent of project costs for eligible exterior-building improvements.A typical award is$25,000.The City may consider additional funding requests for } . renovations to historic commercial properties.Awarding of loans is I dependent upon availability of funding. LOAN FORGIVENESS Forgiveness of a loan takes place over a five-year period with 20 percent of the award forgiven annually.The City may extend or reduce the 230 First Ave.E. repayment period based on the dollar amount of the award. If the benefiting building is sold within the period of the loan,the loan AFTER must repaid.The City may consider alternatives to immediate repayment. ei The applicant has one year from the award date of the loan to complete FOR THE JOURNEY the project and request payment of loan funds.All loan funds will be = _ paid upon receipt of paid invoices for the project and proof of payment. HOW TO APPLY _ Interested property owners are encouraged to apply.There is no application deadline;however,funds are limited and will be awarded to qualifying applicants on a first-come,first-served basis.Final decisions on applications are made by the City's Economic Development Authority. APPLICANT INFORMATION Applications must be submitted by the property owner(s)or the building tenant in conjunction with the owner(s). Name(s): i I. Telephone: ( — AS" 1 Email: vi\\ 5�`� e cc A Mailing Address: \r-)c4 \ O\ \ ?S S e City: „9-NaState: MTN\ Zip Code: � 79 : • • :• - 129 Holmes Street South •Shakopee,Minnesota•55379-1351 •952-233-9300•FAX 952-233-3801 •www.ShakopeeMN.gov PROPERTY INFORMATION The Commercial Exterior Loan program is open to all commercial� properties,econstructed before 1980,in the City of Shakopee. Address of the Building to be Rehabbed: ,,32\-\ kç'flz?S S) 'e Parcel ID #: c9.--1 co,` `1C( 'o Age of the building: ,Mk. Number of stories: Is the building currently vacant? Yes[No If yes, estimated length of vacancy: Business/Occupant Name: . J' ?\C/ke/ Has this property previously received a facade grant? )Yes No If yes,for how much,in what year and what were the funds used for? LICS Ank C s C+ tCti co,pcvsee-*c PROJECT INFORMATION ,COD) , Eligible expenses are limited to improvements that are visible from the exterior: • Roofs(flat or pitched) • Painting • Windows,Doors • Lighting,Awnings,Signage • Siding,Brick • Restoration of historic details • Removal of blight from property • Other items deemed appropriate by the City's Economic • Planting of trees Development Authority Loan recipients are required to seek at least two bids for all projects.It's assumed the EDA will select the contractor with the lowest bid. Estimated Total Cost of Proposed Rehabilitation Work: $ 1 '3 Requested Loan Amount from the Program: $ Describe proposed improvements: C,\\ \rdo j `( J i O nIoc 3lu M&,-e\Y\s.2Vc (j( REQUIRED ATTACHMENTS • Renderings and/or plan drawings showing proposed improvements. • A minimum of two contractors'bids or proposals with a breakdown of itemized costs. • Proof of Insurance on the building COMMUNITY PRIDE SINCE 1857 129 Holmes Street South•Shakopee,Minnesota•55379-1351 •952-233-9300 •FAX 952-233-3801 •www.ShakopeeMN.gov DATA PRACTICES ACT The information that you supply in your application to the City of Shakopee/Shakopee EDA("City")will be used to assess your eligibility for financial assistance. The City will not be able to process your application without this information. The Minnesota Government Data Practices Act(Minnesota Statutes,Chapter 13)governs whether the information that you are providing to the City is public or private. If financial assistance is provided for the project,the information submitted in connection with your application will become public,except for those items protected under Minnesota Statutes,Section 13.59,Subdivision 3(b)or Section 13.591,Subdivision 2. I have read the above statement and I agree to supply the information to the City with full knowledge of the matters contained in this notice. I certify that the informa ion submi -. in •onnection with the application is true and accurate. e.a°:te _ ci) k.0 /6 5— Applic. <l ignature/Title Date Co-Applicant Signature I Title Date City staff or other authorized representative of the City shall have the right to inspect the property to be improved at any time from the date of application upon giving notice to the owner and to occupants. I/We certify that all statements on this application are true and correct to the best of my/our knowledge. I/We understand that any intentional misstatements will be grounds for disqualification. I/We have read the City of Shakopee's Commercial Exterior Improvement Policy and will abide by the rules and regulations set forth in the policy adopted on Sept.20,2014. I/We authorize program representatives the right to access the property to be improved for the purpose of the deferred loan program and to take photographs of the structure before and after rehabilitation. I/We understand that I/we are responsible for obtaining appropriate building permits,per the Shakopee City Code. In the case of improvements that do not require a city-issued building permit,the applicant must submit the name and state license number of the contractor completing the work and agree to an inspection of the work by a city building official. I/We further understand that I/we will make the final selection of the improvements to be made with the loan funds and that the contract for improvements will be solely between me and the contractor(s).The administering agency will not be liable for the inadequate performance . e contractor(s). Applicant "ignature/Title Date Co-Applicant Signature/Title Date 129 Holmes Street South •Shakopee,Minnesota•55379-1351 • 952-233-9300 • FAX 952-233-3801 •www.ShakopeeMN.gov Page 1 of 1 Page(s) Proposal R W O'Brien Contracting, LLC 940 Bluebill Circle SHAKOPEE,MN 55379 612-916-5159 robrien520502va hoo.corn Attention: Mary Isakson PROPOSAL SUBMITTED TO PHONE FAX Babe's Place 952-445-8191 STREET JOB NAME 124 Holmes Street South CITY,STATE AND ZIP CODE Store Front Shakopee, MN 55379 JOB LOCATION ARCHITECT Same DATE OF PLANS CITY, STATE AND ZIP CODE I DATE N/A IN/A Demo 5/20/2015 Remove existing glass store front Remove existing brick vaneer below windows Remove existing entry door Remove three second floor windows on Holmes street side Build back Furnish and'Install new solid wood door with starburst glass window on top Install 70 sq. Ft. shakopee brick below storefront windows Install 19'if of stone sill below windows Furnish and install new bronze aluminum storfront glass Glass to be 1"bronze tinted low E insulated glass Includes all break metal 1 Furnish three operable 2nd floor aluminum windows to match first floor color Removal and disposal of all debris Permit included Alternate#1 Add $14,980.00 Remove 4 windows on north side second floor Install new stone lintles + 2 '\ Llmay'l�„ +'ko Furnish and install 4 operable aluminum windows * x,439 , ?JsY We Propose hereby to furnish material and labor-complete in accordance with above specifications,for the sum of: ! Twenty-Nine Thousand Four Hundred Fifty and no/100--------__ Payment to be made as follows: 2..c.- dollars($ 29,450.00 ). .#y 30%down balance upon completion `Jc Al material is guaranteed to be as specified.Al work to be completed Ina worknenrke manner accenting to standard practices.My alteration or deNatlon from above specifics- accenting - Authorized Ro ' r' nrJ - Sons tra'oelog extra costs cull be executed only upon wmten orders,end wit become an Signature `/1,7> �`�--L, I Li, extra charge over and above the estimate.Al agreements contingent upon strikes,accidents Title Pre,$Fiident �'.a�—�/`� or delays beyond our control Owner to carry lire,tornado and other necessary insurance. Note: This proposal may be our workers are hay covered by Workmen's Compensation Insurance. withdrawn by us if not accepted within 30 days. Acceptance of Proposal--The above prices,specifications and conditions are satisfactory and are hereby accepted. You are authorized Signature to do the work as specified. Payment will be made as outlined above. Date of Acceptance: Signature