County rolls Twin dice, again
BY DENNIS GEISINGER
Hennepin County Commissioner Mike Opat said last
week that the county has “no plans” to act on a revised
offer from owners of the land already under construction for the
new downtown Twins ballpark.
“We have received a letter [containing
the new proposal] from Land Partners, but we have no plans to act
on it,” Opat said.
A panel of three special commissioners last
month set the disputed price for the land in the Minneapolis Warehouse
District at $23.8 million, $10 million more than the county’s
$13.8 million deposit it made in April to initiate “quick
take” eminent domain proceedings. Land Partners II, the consortium
that represents some 70 investors who own the land, was looking
for $65 million.
But the panel’s $23.8 million assessment
was not unanimous. One judge, Larry Tucker, a licensed appraiser
with 30 years experience, wrote a dissenting opinion saying that
the land is worth $33.2 million, according to court records.
“We based our revised offer on Commissioner Tucker’s
assessment,” said Land Partner’s representative, Rich
Pogin. Pogin, along with business partner, Bruce Lambrecht, are
the ones who originally sold the State of Minnesota and its governor,
Hennepin County and its board, and the City of Minneapolis and its
council and mayor on an idea called “Twinsville.”
In February of 2004 Pogin and the City of Minneapolis
made a reported deal for $12.95 million and the exchange of some
potentially rich real estate in the up-and-coming Warehouse District.
After that plan expired early in 2005 with no public funding forthcoming
at the time from state legislators, Hennepin County commissioners
became involved and soon let it be known that they were considering
eminent domain as a game plan for securing the land. Last summer,
Hennepin County Commissioners voted 4-3 to impose a 0.15 percent
sales tax to finance three-quarters of the stadium’s $522
cost.
Flash forward to September 2007 and Hennepin
County’s options seem to be draining away with the sands of
time. If it sticks to its guns and ignores Land Partners’
new offer—as Commissioner Opat has suggested—they risk
Land Partners appealing the panel’s judgement. And with another
week or so to make that decision and the dissenting appraisal behind
them, that would be a good bet.
Also, because of a provision in eminent domain
law, if the assessed price exceeds 40 percent of the county’s
original offer it is responsible for not only its own legal fees
but Land Partner’s legal fees, as well.
Funds for the county’s legal bill come
out of the infrastructure or ballpark fund and are currently capped
by contract with its legal representatives at $950,000, according
to Opat.
Reportedly, Land Partners has currently assessed
somewhere between $2 and $2.5 million for its legal representation.
“At this point the county is responsible
for both parties’ legal fees,” said Opat.
And those fees would escalate for both the county and Land Partners
if the case is, in fact, appealed. And as to the final price tag
the court puts on the ballpark site and how that will affect plans
for the Twins’ stadium?
“Land Partners has a fiduciary responsibility
to get as much money as they can for the people they represent,”
said Dave Bicking, former candidate for city council and long-time
stadium deal watcher.
“I don’t disagree with that,”
said Opat.
“Of course, as time goes on, we’ll
have to settle for the ballpark we can afford,” said Steve
Cramer, president of the Minnesota Ballpark Authority.
“Streetscapes could be cut back,” said Dave St. Peter,
president of the Minnesota Twins.
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