Council approves offer to sell industrial lot to Northland Electric with five‑year right of first refusal on adjacent parcel

The Special Common Council approved an offer to purchase a vacant lot in the Northeast Business Center by Northland Electric, including a negotiated supplement granting the buyer a five‑year right of first refusal on the adjacent parcel and a buyer commitment to invest at least $750,000 in site improvements. City staff explained the sale arises from a larger lot‑split in the industrial park. The purchase price referenced in the meeting materials reflects the council’s discounted lot pricing (discussed as $10,000 per acre adjusted by credits to a result stated in the packet) and staff noted they negotiated a supplement to the standard offer that includes the five‑year right of first refusal on the remaining split parcel. Under that right, if the city receives an unsolicited offer to buy the adjacent parcel, the city would present that offer to Northland Electric and Northland would have the opportunity to match it within the five‑year term. Staff also reported the buyer’s commitment to invest at least $750,000 on the property as part of the purchase terms. Council members asked about remaining available acreage in the industrial park, soil replacement and site preparation costs for larger industrial structures; staff said available acreage is “plenty” and that soils and structural capacity depend on building needs and sometimes require replacement or borings, and that previous builds in the park required soil replacement in certain areas. A council member moved to consider the offer to purchase and the motion was seconded; the motion carried by roll call (recorded as 9–0 in the meeting record). Discussion versus decision: council discussion clarified the nature of a right of first refusal (non‑binding today; it requires the city to present a third‑party offer to the holder for a chance to match) versus an option to purchase (a binding agreed price exercisable by the option holder). The formal decision approved the offer to purchase with the stated supplement terms; staff will finalize closing arrangements and draft conveyance documents consistent with the approved terms. The transcript did not include a detailed legal citation or a full contract document in the record; staff said they wrote the supplement and attorney Stegvall/Steckbauer reviewed it.