HomeMy WebLinkAbout[06] Graceview Estates Stipulation AgreementI
CITY OF ST. JOSK1111
Council Agenda Item 6
MEETING DATE: January 21, 2010
AGENDA ITEM: Graceview Estates Stipulation Agreement
SUBMITTED BY: Administration
BOARD /COMMISSION /COMMITTEE RECOMMENDATION: The Attorney assigned to the City by the
League of MN Cities (Jim Thomson) and the City Attorney are recommending execution of the
stipulation agreement.
PREVIOUS COUNCIL ACTION: The City executed a mediated settlement agreement in August 2009.
BACKGROUND INFORMATION: The City of St. Joseph was part of lawsuit regarding the Graceview
Estates Development. The lawsuit was two parts, the first matter included S & H Partnership and the
Apartment Facility. The Council approved a mediated development agreement which allowed the
construction of the apartment complex, which is under construction.
The second matter included Pond View Ridge LLP and was related to the development of the remaining
undeveloped land in the PUD approved in 2002 entitled Graceview Estates. The Attorneys have
provided a stipulation agreement whereby it is acknowledged that the remaining portion of the single
family development in Graceview Estates is permitted without the owner obtaining further zoning
approvals such as special use, replattting, building permits. The developer will be required to complete
the final platting procedures including the execution of a development agreement.
The stipulation agreement does not relate to the senior complex that was proposed in 2002.
The agreement is public information, however, if the Council would like to discuss the agreement in
detail, discussing the mediation, that should be done is a closed session. For that reason we are posting
the potential for a closed meeting. The City Attorney will be present at the meeting to answer any
questions you may have.
BUDGET /FISCAL IMPACT:
ATTACHMENTS:
Settlement Agreement
REQUESTED COUNCIL ACTION: Authorize the Mayor and Administrator to execute the settlement
agreement between the City of St. Joseph and Pond View Ridge LLP.
R I N K E N O O N A N
A T T O R N E Y S A T L A W
SUITE 300, US BANK PLAZA, P. O. BOX 1497
1015 W. ST. GERMAIN STREET
ST. CLOUD, MINNESOTA 56302 -1497
TELEPHONE 320- 251 -6700, FAX 320- 656 -3500
EMAIL: MAIL ®RNOON.COM
WWW.RNOON.COM
December 11, 2009
James Thomson, Esq.
Kennedy & Graven
470 U.S. Bank Plaza
200 South Sixth Street
Minneapolis, MN 55402
Re: S & H Partnership, et al. v. City of St. Joseph
Court File No. 73 -CV -08 -16067
Our File No. 16534.004
Dear Mr. Thomson:
Enclosed please find the Settlement Agreement executed by our client (Pond View Ridge, LLP)
and Tim Sime. We have attached the referenced Exhibit A which is the Stipulation of Dismissal
without Prejudice which can be filed with the Court after you and your client have signed the
Settlement Agreement. Thank you.
Sincerely,
Darlene V. Finken, Paralegal
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SETTLEMENT AGREEMENT
This Settlement Agreement is entered into this day of December _, 2009, by and
between Plaintiff Pond View Ridge, LLP ( "Pond View Ridge ") and Defendant City of St. Joseph
(«City»).
Recitals
Pond View Ridge is the owner and developer of the Graceview Estates development
in St. Joseph, Minnesota. The Graceview Estates property is approximately 91 acres
in size.
II. Pond View Ridge received various zoning and development approvals from the City
for Graceview Estates in 2002.
III. Pond View Ridge sold a potion of the Graceview Estates property ( Outlot A) to S &
H Partnership ( "S &H ") in 2008. S & H intended to develop Outlot A for apartment
buildings.
IV. The City has claimed that certain multi - family uses of the Graceview Estates property
(such as apartments and assisted living facilities) are not "permitted" uses under the
applicable zoning for the property and therefore require additional special use
permits.
V. Pond View Ridge and S &H have claimed that these additional multi - family uses were
permitted as part of the 2002 zoning and development approvals, and that no further
special use permits are required.
VI Pond View Ridge and S &H commenced an action entitled "S& H Partnership and
Pond View Ridge, LLP v. City of St. Joseph" Court File No. 73 -CV -08 -16067
( "Litigation ") to resolve the dispute over the uses "permitted" on the Graceview
Estates property through the 2002 zoning and development approvals and to
challenge the City's denial of a special use permit for the development of apartment
buildings on Outlot A.
VI. S & H and the City have resolved the issues in the Litigation relating to the
development of Outlot A according to a Mediated Settlement Agreement. That
Mediated Settlement Agreement requires Plaintiffs to dismiss Count I1 of the
Complaint (relating to Outlot A) with prejudice.
VII. Pond View Ridge and the City, while not admitting fault or error in their respective
claims regarding the 2002 zoning and development approvals for the Graceview
Estates property, wish to avoid further litigation costs and expenses and accordingly
have agreed to settle their dispute on the terms below, including by dismissing the
remaining claims (Counts I, III, IV and V) without prejudice, with intent of such
terms being that neither party is waiving, and each parry shall preserve, its claims and
defenses relating to the zoning and development approvals issued by the City in 2002.
NOW, THEREFORE, and in consideration of the premises and mutual obligations,
undertakings, promises, and covenants set forth herein, and for other good and valuable
consideration, the parties agree as follows:
Agreement
1. Claims Dismissed. Subject to the terms of this Agreement, the Parties agree that their
counsel shall execute and file a Stipulation of Dismissal in the form set forth in the
attached ExhibitA. The parties shall bear their own costs and attorney fees incurred in
this litigation.
2. Single Family Uses. The City acknowledges that single family homes are a "permitted"
use within Graceview Estates and that Pond View Ridge and its successors and assigns
may develop_ Graceview Estates for such single family uses without obtaining further
zoning approvals (including, without limitation, special use permits, but not including
non - zoning matters such as subdivision, platting, and building permit approvals) from the
City. It is the intent of this Agreement that each party shall preserve its claims and
defenses relating to the zoning and development approvals issued by the City in 2002,
including the issue of whether the City may require Pond View Ridge, or its successors
and assigns, to construct Field Street or any other access road from Graceview Estates to
County Road 121, as a condition of further developing the Graceview Estates property.
3. Agreement is Final and Binding. This Settlement Agreement is final and binding on all
parties and their successors in interest.
4. Consideration. All parties agree that the consideration listed herein is adequate and is the
only consideration for the mutual promises and undertakings in this Agreement.
Enforcement. In the event any party breaches this Agreement, any other party may
commence an action to enforce the agreement as provided by law. In addition to any
injunctive relief or monetary damages, the prevailing parry shall be entitled to their
reasonable attorney fees incurred in the action.
6. No Waiver by Failure to Enforce. Any failure to enforce at any time any term, condition,
or warranty of this Agreement shall not be considered a waiver of the right thereafter to
enforce each and every term, condition, and warranty of this Agreement.
7. No Third -Party Obligations. Nothing in this Settlement Agreement, express or implied,
is intended to confer on any persons other than the parties to this Agreement or their
respective successors or assigns, any rights, remedies, obligations or liabilities by reason
of this Settlement Agreement.
Knowing and Voluntary Agreement. The parties, by execution of this Agreement
through their respective counsel, acknowledge that they have consulted their respective
legal counsel, and that the terms of this Agreement are fully understood and voluntarily
accepted by each party.
9. Authority to Execute. Any person or entity executing this Agreement on behalf of a party
represents and warrants that he or she is duly authorized to enter into this Agreement on
behalf of that party.
10. Controlling Law. This Agreement shall be deemed to be a contract under the laws of the
State of Minnesota and for all purposes shall be construed and enforced in accordance
with the laws of this state.
[Signature pages to follow. ]
Dated:
CITY OF ST. JOSEPH
Lo
Attest:
Its: Mayor
City Clerk- Administrator
AS TO STIPULATION OF DISMISSAL ONLY
Dated:
KENNEDY & GRAVEN, CHARTERED
James J. Thomson, #145300
Attorney for Defendant
470 U.S. Bank Plaza
200 South Sixth Street
Minneapolis, MN 55402
(612) 337 -9209
Attorney for City of St. Joseph
Dated: /07A-?10°/
POND VIEW RIDGE, LLP.
By:
Its: 4!_fr 41_eZ/d% /,�j►//f-��
AS TO STIPULATION OF DISMISSAL ONLY
Dated: I c_)__ A � & C
RINKE NOONAN
Tim Si
Su 0, US Bank Plaza
1015 W. St. Germain Street
St. Cloud, MN 56302
(320) 251 -6700
Attorney for Pond View Ridge, LLP.
5
STATE OF MINNESOTA
COUNTY OF STEARNS
S & H Partnership and Pond View Ridge, LLP,
Plaintiffs,
Vs.
City of St. Joseph, a govenunental subdivision of
the State of Minnesota,
Defendant.
CaseType: 14 (Appeal of Municipal Decision,
Declaratory Judgment. Writ of Mandamus)
IN DISTRICT COURT
SEVENTH JUDICIAL DISTRICT
Case No. 05 -CV -06 -2226
STIPULATION OF DISMISSAL
WITHOUT PREJUDICE AND ORDER
IT IS HEREBY STIPULATED AND AGREED by and between Plaintiff Pond View
Ridge, LLP and Defendant City of St. Joseph, through their attorneys, that any and all claims that
said parties have or may have against each other have been fully compromised and settled as
agreed to by the parties and that any claims asserted by each other be, and hereby are, dismissed
without prejudice, on the merits, and without costs and disbursements to either party.
[Signature pages to folloiv]
�4
EXHIBIT
Dated:
RINKE NOONAN
Dated:
Tim Sime, #0265172
Attorneys for Plaintiff Pond View Ridge, LLP
P.O. Box 1497
St. Cloud, MN 56302 -1497
(320) 251 -6700
KENNEDY & GRAVEN, CHARTERED
James J. Thomson, 11145 3 00
Attorney for Defendant City of St. Joseph
470 U. S. Bank Plaza
200 South Sixth Street
Minneapolis, MN 55402
(612) 337 -9209
ORDER
The parties having agreed and stipulated to the same, it is hereby ordered, the above
matter is hereby dismissed without prejudice without costs to either party.
Dated: , 2010
2
BY THE COURT
Judge of District Court