City approves amendment for Regional Treatment Center parcelsPublished 11:05am Tuesday, August 20, 2013
The Fergus Falls City Council Monday approved an amendment to the development agreement for parcels A and B on the Regional Treatment Center property. Jeff Schlossman asked for an extension to the original agreement.
The council approved Schlossman’s amendment but also added that the tax exemption not be available for no new single-family plats or constructed homes on the land.
The council discussed the amendment proposed by Schlossman during about a 25-minute closed meeting Monday.
Agreements in the amendment include having 10,000 square feet rehabilitated, subject to necessary zoning and building permit approvals, by no later than Dec. 31, 2014. Schlossman intends to develop no less than 10,000 square feet of Building 6 into about 10 to 15 residential apartment units.
A cumulative 20,000 square feet would be finished by Dec. 1, 2016, and cumulative 30,000 square feet would be finished by Dec. 1, 2018.
Campus Development Group, where Schlossman is a partner, closed on parcels A and B of the RTC in March 2011, taking the nurses’ cottage and some assorted brick buildings off the city’s hands. The original development agreement laid out that within 12 months, Schlossman was to commence rehabilitation work on the property and also that within 24 months, a minimum of 10,000 square feet needed to be rehabilitated. At the end of March, those requirements weren’t met, so the city sent a notice saying he was in default of the development agreement, according to City Administrator Mark Sievert.
The amendment noted that with the new agreement, Schlossman was no longer in default.