HEDRA signs one-year predevelopment agreement for Hudson property
By the end of the year, a full development plan should be in place for the former Hudson Manufacturing site in downtown Hastings.
Since being selected, Regan and Weyland have formed a new development company, named Confluence Development, LLC. Regan and Weyland are co-owners of Confluence Development.
The predevelopment agreement gives Confluence Development exclusive rights to the site for the purpose of developing detailed site plans, identifying potential issues and preparing for construction. The agreement will expire Dec. 31, 2014.
If HEDRA feels Confluence Development is not making adequate progress on predevelopment work, it can give the developer a 30-day notice of termination, which gives the developer 30 days to get back on an acceptable pace. Either the Confluence Development or HEDRA can terminate the agreement at any time within reason.
At the last HEDRA meeting, Stacy Kvilvang, senior financial advisor with Ehlers & Associates, the city’s independent financial advisor, explained the responsibilities of both HEDRA and the developer in the agreement. During the next year, HEDRA will be responsible for assisting Confluence Development with any grant applications needed for the project, helping identify public improvement needs, paying any city fees associated with public improvements, considering alternative financing (including tax-increment financing) and negotiating a purchase price for the property.
Confluence Development will be updating site plans and submitting them for approval and refinement, identifying public improvement needs and assistance needed, applying for historic tax credits, working with the city to integrate the Hudson project with other riverfront improvement projects, hosting public information meetings and open houses to keep the public informed and to get public input on the project and identifying any additional property it may want or need to acquire.
If all the predevelopment work goes well, final development plans will be ready by the end of the year. Construction would be able to begin following the approval of the final development agreement.