School board sells vacant land to Cottage Grove
District 833 has entered into the real estate game.
The approval came after the School Board entered into closed session, pursuant to Minnesota Statutes section 13D.05, Subdivision 3(c)(3).
The vacant green space, which is adjacent to the District Service Center’s northern property line, will be purchased at a price of $188,375, or $6.50 per square foot, by the Cottage Grove Economic Development Authority.
The district has no plans to develop the land, which has a total square footage of 30,140 square feet.
The intent of the sale is for the city of Cottage Grove to lease the property to Hy-Vee, which is planning to move into and redevelop the vacant Rainbow Foods site on East Point Douglas Road South.
The sale of the property is subject to three contingencies.
The contingencies identified by the School Board are: a requirement to relocate the north entry drive; a requirement to redesign the vehicle maintenance storage area; and a requirement to relocate the district fiber-optic cable to the satisfaction of the school district.
The buyer has agreed to the purchase price and all contingencies, said Mike Vogel, assistant to the superintendent for operations.
The funds from the sale, Vogel said, will be held as credit by the City of Cottage Grove to be applied to infrastructure improvements for the new Oltman Middle School.
District 833 is seeking a three-question referendum this November. Included in the referendum is a $96 million bond measure to build a new middle school in northwest Cottage Grove in addition to other middle school upgrades.
However, if voters do not pass the bond proposal this November, Vogel said, the city will issue the district a check instead.
The closing date is set at or before May 1, 2016.
“I appreciate how we partner with our cities and how they partner with us,” School Board Chairman Ron Kath said.