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EDA 24-2 Declaring Release of Interest in the West Side Police FacilitiesSHOREWOOD ECONOMIC DEVELOPMENT AUTHORITY COUNTY OF HENNEPIN STATE OF MINNESOTA RESOLUTION 24-2 A RESOLUTION DECLARING RELEASE OF INTEREST IN THE WEST SIDE POLICE FACILITIES WHEREAS, in 2002 the Shorewood Economic Development Authority facilitated the construction financing of the West Side Police Facilities, located at 24100 Smithtown Road in Shorewood, Minnesota, through lease revenue bonds; and WHEREAS, the Shorewood Economic Development Authority entered into various agreements which are detailed in the attached Declaration of Release of Property Interest (West Side Police Facilities); and WHEREAS, the bonds have been retired and all costs associated with the acquisition and construction of the site and facilities have been paid. NOW THEREFORE, BE IT RESOLVED by the Board of Commissioners of the Shorewood Economic Development Authority that the Economic Development Authority hereby: 1. Approves the attached Declaration of Release of Property Interest hereby forever releasing all rights, title and interest in the West Side Police Facilities in the favor of the City of Shorewood; and 2. Authorizes the Executive Director to take all actions necessary, including the execution of documents on behalf of the Authority, to vest in the City all of the Authority's right, title, and interest in and to the West Side Police Site and Facilities. Adopted by the Board of the Economic Development Authority in and for the City of Shorewood, Minnesota this 28th day of October 2024. 1 nifer L badie, President Attest: ,01 Marc Nevinski, Executive Director (reserved for recording information) DECLARATION OF RELEASE OF PROPERTY INTEREST TO CITY OF SHOREWOOD (West Side Police Facilities) This DECLARATION OF RELEASE OF PROPERTY INTEREST (West Side Police Facilities) is granted this ze day of OcroK { 2024, by the ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF SHOREWOOD, a public body corporate and politic and political subdivision of the State of Minnesota ("Authority"). RECITALS A. The Excelsior Fire District ("EFD"), and the South Lake Minnetonka Police Department ("SLMPD"), each one a Minnesota joint powers entity pursuant to Minnesota Statutes § 471.59, are the fee owners of certain real property located in the City of Shorewood, County of Hennepin, State of Minnesota, which is located at 24150 Smithtown Road, and is legally described as Lot 2, Auditor's Subdivision 133, Hennepin County, State of Minnesota (PID: 3311723110003) (the "Property") B. On September 1, 2002, the Authority, as Lessee of the Property, entered into that certain Ground Lease (West Side) Agreement with the EFD and SLMPD, collectively as Lessor of 1 233037v4 the Property, which Ground Lease was filed of record in the Office of the Hennepin County Recorder on November 8, 2002, as Document No. 7857053 (the "Ground Lease") C. The Ground Lease has been amended, as reflected in the documents filed of record in the Office of the Hennepin County Recorder as Document Nos. 8128546, 8975090, and A 10293265. D. On September 1, 2002, the Authority, as Lessor of the Property, entered into that certain Lease Purchase Agreement (West Side Police Facilities) with the City of Shorewood, a Minnesota municipal corporation ("City"), as Lessee of the Property, which Lease Purchase Agreement (West Side Police Facilities) was filed of record in the Office of the Hennepin County Recorder on November 8, 2002, as Document No. 7857056 (the "Lease Purchase Agreement"). E. The Lease Purchase Agreement has been amended, as reflected in the documents filed of record in the Office of the Hennepin County Recorder as Document Nos. 8125549, 8975092, and A10293267. F. Pursuant to Section 4.1 of the Lease Purchase Agreement, as amended, the City acquired the Authority's interest in the Site and the Facilities, as each is defined in the Ground Lease and the Lease Purchase Agreement. G. On September 1, 2002, the City, as Lessor of the Site and Facilities, entered into that certain Sublease Purchase Agreement (West Side Police Facilities) with the SLMPD, as Lessee of the Site and Facilities, which Sublease Purchase Agreement (West Side Police Facilities) was filed of record in the Office of the Hennepin County Recorder on November 8, 2002, as Document No. 7857057 (the "Sublease Purchase Agreement") H. Pursuant to the Sublease Purchase Agreement, the SLMPD assumed all of the City's duties and responsibilities under the Lease Purchase Agreement, and acquired an option to purchase 2 233037v4 from the City all of the City's interests in the Site and the Facilities on the same teens as set forth in the Lease Purchase Agreement. I. Also pursuant to the Lease Purchase Agreement, as amended, the Authority issued certain Lease Revenue Bonds for the purpose of providing funds necessary for the acquisition and construction of the Site and the Facilities. J. Pursuant to Section 5.3 of the Lease Purchase Agreement, as amended, upon (i) payment by the City of all required Lease Payments and Additional Lease Payments, and (ii) defeasance of the Lease Revenue Bonds, "the Authority's interest, right, and title to the Site and the Facilities shall pass to the City, and the Authority shall have no further interest therein." K. Pursuant to Section 5.5 of the Lease Purchase Agreement, as amended, upon satisfaction of (i) and (ii) above, "the purchase of the Authority's interest in the Site and the Facilities by the City shall be deemed to have been completed. The Authority shall thereupon deliver to the City such instruments of conveyance or release as, in the opinion of the City, may be necessary to release the interests of the Authority ... in the Site and Facilities." L. As of February 1, 2023, the payment of all Lease Payments and Additional Lease Payments was completed, as required by the Lease Purchase Agreement. M. As of February 1, 2023, all Lease Revenue Bonds issued in relation to the acquisition and construction of the Site and the Facilities have been retired, and all costs associated with the acquisition and construction of the Site and the Facilities have been paid. N. Accordingly, the City's acquisition of the Authority's interest in the Site and Facilities is complete, but for the delivery of the necessary instruments of conveyance from the Authority to the City. 3 233037v4 O. This DECLARATION OF RELEASE OF PROPERTY INTEREST (West Side Police Facilities) is made by the Authority for the purpose completing the conveyance of the Authority's interests in the West Side Police Site and Facilities to the City. P. On October 28, 2024, the Board of Commissioners for the Authority adopted Resolution EDA 24-2 approving the conveyance and authorizing the Executive Director to take all actions necessary, including the execution of documents on behalf of the Authority, to vest in the City all of the Authority's right, title, and interest in and to the West Side Police Site and Facilities. NOW, THEREFORE, based on the terms and conditions of the Ground Lease, the Lease Purchase Agreement, other agreements related to the Site and Facilities, and Resolution EDA 24-2, the Authority declares the following: l . Recitals A — P are each true and correct, and are incorporated into and made part of this DECLARATION OF RELEASE OF PROPERTY INTEREST (West Side Police Facilities). 2. The Authority hereby forever releases all right, title, and interest in the West Side Police Site and Facilities in the favor of the City of Shorewood. 3. --This document shall run with the land and shall be filed of record in --the' Office of the Hennepin County Recorder upon execution. [Signature page follows] 4 233037v4 DATED this day of , 2024. ECONOMIC DEVELOPMENT AUTHORITY FOR THE CITY OF SHOREWOOD By: Marc Nevinski, Executive Director (SEAL) STATE OF MINNESOTA ) ss. COUNTY OF HENNEPIN ) The foregoing instrument was acknowledged before me this day of 2024, by Marc Nevinski, the Executive Director of Economic Development Authority of the City of Shorewood, a public body corporate and politic and political subdivision of the State of Minnesota, on behalf of the Authority, and pursuant to the authority granted by its Board of Commissioners. e Public BRENDA K PRICCO Nr.. g. Notary Public 3� ! Minnesota My Commission Expires Jan 31, 2025 THIS INSTRUMENT WAS DRAFTED BY: CAMPBELL KNUTSON Professional Association Grand Oak Office Center 1 860 Blue Gentian Road, Suite 290 Eagan, Minnesota 55121 651-452-5000 — JDS/AKLS 5 233037v4