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Item 3.6 Authorizing Release of an Agreement Outlot A Great River Centre of Otsego 7th Addn Request for City Council Action DEPARTMENT INFORMATION ORIGINATING DEPARTMENT REQUESTOR: MEETING DATE: Planning City Planner Licht 9 March 2026 PRESENTER(s) REVIEWED BY: ITEM #: Consent City Administrator/Finance Director Flaherty City Attorney Kendall 3.6 – GRC of Otsego 7th Addition STRATEGIC VISION MEETS: THE CITY OF OTSEGO: Is a strong organization that is committed to leading the community through innovative communication. X Has proactively expanded infrastructure to responsibly provide core services. Is committed to delivery of quality emergency service responsive to community needs and expectations in a cost-effective manner. X Is a social community with diverse housing, service options, and employment opportunities. Is a distinctive, connected community known for its beauty and natural surroundings. AGENDA ITEM DETAILS RECOMMENDATION: City staff recommends the City Council approve partial release of an agreement. ARE YOU SEEKING APPROVAL OF A CONTRACT? IS A PUBLIC HEARING REQUIRED? No No BACKGROUND/JUSTIFICATION: Foss Swim School has acquired Outlot A, Great River Centre of Otsego Seventh Addition. A preliminary plat for platting one lot and a sketch plan for development of a private swim school and second principal building on the property was approved by the City Council at their meeting on 26 January 2026. The developer is preparing plans for submission of an application for final plat approval and site and building plan review for the proposed development. A title commitment prepared for the developers closing on the property identified two prior development contracts and an assessment agreement in effect over the property. The developer requested that these documents be released only as they apply to Outlot A, Great River Centre of Otsego Seventh Addition. The City Council approved the release of these documents at their meeting on 23 February 2026. The developer identified an additional document pertaining to assessment of unpaid property taxes for properties in Great River Centre of Otsego, including Outlot A, Great River Centre of Otsego 7th Addition. The developer is also requesting release of this agreement. City staff has reviewed the agreement and determined that it is no longer applicable to Outlot A, Great River Centre of Otsego. The City Attorney has drafted a release of the agreement. SUPPORTING DOCUMENTS ATTACHED: • Resolution 2026-16 POSSIBLE MOTION PLEASE WORD MOTION AS YOU WOULD LIKE IT TO APPEAR IN THE MINUTES: Motion to adopt Resolution 2026-16 authorizing release of an agreement for Outlot A, Great River Centre of Otsego Seventh Addition. BUDGET INFORMATION FUNDING: BUDGETED: Fund 701 – Development Escrows N/A 1 CITY OF OTSEGO COUNTY OF WRIGHT STATE OF MINNESOTA RESOLUTION NO: 2026-16 AUTHORIZING RELEASE AND DISCHARGE OF AN AGREEMENT FOR OUTLOT A, GREAT RIVER CENTRE OF OTSEGO SEVENTH ADDITION WHEREAS, the City has been asked to release and discharge real property in Wright County, Minnesota, legally described as set forth on attached Exhibit A; and WHEREAS, the property is subject to an agreement between the City, Appello Group, LLC, and 21st Century Bank dated March 29, 2013, and recorded April 19, 2013 as Wright County Recorder Document No. A1234757; and WHEREAS, all requirements of the aforementioned Agreement have been met as to the Property and there is no longer a need to have the recorded against the Property; and WHEREAS, the City Attorney has drafted Release of an Agreement for the Property from Document No. A1234757 attached as Exhibit B. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF OTSEGO, MINNESOTA: 1. The Property described in Exhibit A is released and discharged from the Agreement recorded as Wright County Recorder Document No. A1234757. 2. The Mayor and City Clerk are hereby authorized to execute release of the Agreement recorded as Wright County Recorder Document Number A1234757 on behalf of the City of Otsego. (remainder of page blank signatures follow) 2 ADOPTED by the Otsego City Council this 9th day of March, 2026. MOTION BY: SECONDED BY: IN FAVOR: OPPOSED: CITY OF OTSEGO __________________________________ Jessica L. Stockamp, Mayor ATTEST: __________________________________ Audra Etzel, City Clerk EXHIBIT A LEGAL DESCRIPTION Outlot A, Great River Centre of Otsego Seventh Addition, Wright County, Minnesota, according to the recorded plat thereof. 1 238632v1 EXHIBIT B (reserved for recording information) RELEASE OF AGREEMENT RELEASE OF AGREEMENT granted this ______ day of ________________, 2026, by the CITY OF OTSEGO, a Minnesota municipal corporation (“City”). WHEREAS, the City, Appello Group, LLC, a Minnesota limited liability company, and 21st Century Bank, a Minnesota corporation, entered into an Agreement dated March 29, 2013 and recorded April 19, 2013 in the Office of the County Recorder, Wright County, Minnesota as Document No. A1234757; and WHEREAS, the City has been requested to release and discharge the property legally described on Exhibit A (“Property”) from the Agreement; WHEREAS, all requirements of the Agreement have been met as to the Property and there is no longer a need to have the Agreement recorded against the Property. NOW THEREFORE, be it resolved by the City of Otsego, Minnesota: The Property is released and discharged from the Agreement. ADOPTED this _____ day of _______________, 2026. [Remainder of the page is intentionally left blank. Signature page is to follow.] 1 238632v1 CITY OF OTSEGO (Seal) By ____________________________________ Jessica Stockamp, Mayor By ____________________________________ Audra Etzel, City Clerk STATE OF MINNESOTA ) ) ss. COUNTY OF WRIGHT ) The foregoing instrument was acknowledged before me this _____ day of ____________, 2026, by Jessica Stockamp and Audra Etzel, respectively the Mayor and the City Clerk of the City of Otsego, a Minnesota municipal corporation, on behalf of the corporation and pursuant to the authority granted by its City Council. ___________________________________ Notary Public DRAFTED BY: CAMPBELL KNUTSON, Professional Association Grand Oak Office Center I 860 Blue Gentian Road, Suite 290 Eagan, Minnesota 55121 Telephone: (651) 452-5000 AMP/smt 2 238632v1 EXHIBIT A Outlot A, Great River Centre of Otsego Seventh Addition, Wright County, Minnesota according to the recorded plat thereof.