HomeMy WebLinkAboutDesignating Tax Abatement - 105 N. Niles Ave. - Niles/Washington LP f/b/o AM GeneralAttest:
F
RESOLUTION
3643 -06
Passed by the Common Council of the City of South Bend, Indiana
September 25, 06
20
City Clerk
A
President of Common Council
Presented by me to the Mayor of the City of South Bend, Indiana
September 26, 06
20
Approved and signed by me September 2 7. 1 20 .06 .
7,
City Clerk
D
RESOLUTION NO. 3 �o� 3 -No
A RESOLUTION CONFIRMING THE ADOPTION OF A
DECLARATORY RESOLUTION DESIGNATING CERTAIN AREAS
WITHIN THE CITY OFSOUTH BEND, INDIANA, COMMONLY
KNOWN AS
105 NORTH NILES AVENUE
AS AN ECONOMIC REVITALIZATION AREA FOR
PURPOSES OF A (8) EIGHT -YEAR REAL
PROPERTY TAX ABATEMENT FOR
NILES/WASHINGTON LP f/b /o AM GENERAL
WHEREAS, the Common Council of the City of South Bend, Indiana, has
adopted a Declaratory Resolution designating certain areas within the City as Economic
Revitalization Areas for the purpose of tax abatement consideration; and
WHEREAS, a Declaratory Resolution designated the area commonly known as
105 North Niles Avenue, South Bend, Indiana, and which is more particularly described
as follows:
Parcel E3 -3 and E34U. A part of Lots Numbered Forty -three (43), Forty-four (44),
Forty -five (45), Forty-six (46), Forty -seven (47) and Forty-eight (48) of the Original Plat
of the Town of Lowell, now a part of the City of South Bend, together with that portion
of the vacated 14 -foot alley lying between Lots 45 and 46, said tract being more
particularly described as follows: Beginning at a point 11.00 feet West of the Northeast
corner of Lot 43 in said plat; thence South 00 °06'00" West, parallel and 11 feet West of
said West line of Niles Avenues, 409.94 feet to a point on the South line of Lot 48 in said
plat, 11.00 feet West of the Southeast corner thereof; thence North 89 °45'24" West,
along said South line, 118.15 feet; thence North 00 °04'38" East, 211.66 feet to a point on
the South line of Lot 45 in said Plat; thence South 89 °56'31" East, 29.29 feet; thence
North 00 °05'44" East. 198.04 feet to a point on the North line of Lot 43 in said Plat;
thence South 89 °54'00" East, along said North line, 89.00 feet to the place of beginning.
Also, a parcel of land being a part of Lots 43 through 48 and the adjacent vacated 14 -foot
alley all in the Original Town of Lowell, now City of South Bend, Indiana, and being
more particularly described as follows: Beginning at the Northeast Corner of said Lot 43;
thence South 0 °06'00" West (bearing assumed) along the West right -of -way line of Niles
Avenue, a measured distance of 409.94 feet to the Southeast Corner of said Lot 48;
thence North 89 045'24" West along the North right -of -way line of Washington Street, a
measured distance of 11.00 feet; thence North 0 °06'00" East parallel with said West
right -of -way of Niles Avenue, a measured distance of 409.91 feet to the South right -of-
way line of Colfax Avenue; thence South 89 °54'00" East along said South right -of -way,
a measured distance of 11.00 feet to the place of beginning containing 4,509 square feet,
more or less. Subject to any easements, covenants, or restrictions of record.
Parcel E9 -11. A parcel of land being Lots 95 and 96 and the East 65 feet of Lot 94 in the
Original Plat to the Town of Lowell, now City of South Bend, Portage Township, St.
Joseph County, Indiana, and being more particularly described as follows: Beginning at
the Southwest corner of said lot 96; thence North 0 °00'00" East (bearing assumed) along
the East right -of -way line of Niles Avenue a distance of 131.72 feet to the Northwest
corner of said lot 95; thence North 89 °57'00" East along the North line of said lot 95 a
distance of 100.95 feet; thence North 0 °04'55" West a distance of 65.92 feet to the North
line of said lot 94; thence North 89 °54'56" East along said North line of distance of 65.00
feet to the Northeast corner of said lot; thence South 0 °04'56" East along the East line of
said lots a distance of 197.89 feet to the South line of said lot 96; thence North 89 °58'41"
West along said South line a distance of 166.14 feet to the place of beginning containing
26,175 square feet (0.601 acres) more or less. Subject to any easements, covenants, or
restrictions of record
and which has Tax Key Numbers 18 -5004- 0079.01 and 18 -5004 -0072, as an Economic
Revitalization Area; and
WHEREAS, notice of the adoption of a Declaratory Resolution and the public
hearing before the Council has been published pursuant to Indiana Code 6- 1.1- 12.1 -2.5;
and
WHEREAS, the Council held a public hearing for the purposes of hearing all
remonstrance's and objections from interested persons; and
WHEREAS, the Council has determined that the qualifications for an economic
revitalization area have been met.
NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of
South Bend, Indiana, as follows:
SECTION I. The Common Council hereby confirms its Declaratory Resolution
designating the area described herein as an Economic Revitalization Area for the
purposes of tax abatement. Such designation is for Real property tax abatement only and
is limited to two (2) calendar years from the date of adoption of the Declaratory
Resolution by the Common Council.
SECTION II. The Common Council hereby determines that the property owner is
qualified for and is granted Real property tax deduction for a period of (8) eight years,
and further determines that the petition, the Memorandum of Agreement between the
Petitioner and the City of South Bend, and the Statement of Benefits comply with
Chapter 2, Article 6, of the Municipal Code of the City of South Bend and Indiana Code
6-1.1-12g se q.
SECTION III. This Resolution shall be in full force and effect from and after its
adoption by the Common Council and approved by the Mayor.
Member of the C on Council
Filed to Clark's Cfiiic3
SE° -
. i�
PRESENTED C( -
NOT APPROVED
ADOPTED
1200 COUNTY -CITY BUILDING
227 W JEFFERSON BOULEVARD
SOUTH BEND, INDIANA 46601 -1830
PHONE 574 /235 -9371
FAX 574/235 -9021
TDD 574/ 235 -5567
August 31, 2006 CITY OF SOUTH BEND STEPHEN J. LUECKE, MAYOR
COMMUNITY & ECONOMIC DEVELOPMENT
SHARON T. KENDALL
Council Member Roland Kelly, Chairpe sonUTIVE DIRECTOR
Community & Economic Development Committee
South Bend Common Council
4th Floor, County City Building
South Bend, IN 46601
RE: Commercial Real Property Tax Abatement Petition for:
NILES/WASHINGTON LP f/b /o AM GENERAL
Dear Council Member Kelly:
Please find attached the Department of Community & Economic Development's report on a
commercial real property tax abatement petition for the above - referenced petitioner for expansion of
and construction of a facility located at 105 North Niles Avenue. Also attached is a copy of the
petition, Statement of Benefits form, and supporting information.
The report contains the Department's findings relative to the above petition. The petitioner,
Niles/Washington LP proposes to construct a 17,500 square foot addition and to make 5500,000 of
improvements to the existing building of over 30,000 square feet. The total cost of the project is
estimated to be $2,509,000. Niles/Washington LP is seeking an (8) eight -year real property tax
abatement, and a representative of Niles /Washington LP will be available to meet with the
Committee on Monday, September 11, 2006.
Should you or any of the other Council members have any questions concerning the report, or need
additional information, please feel free to call me at 235 -5825.
Sincerely,
Sharon Terrell
Economic Development
Attachments
cc: South Bend Common Council Members
Mayor Stephen Luecke
Sharon Kendall
Don Inks
Bill Schalliol
COMMUNITY DEVELOPMENT ECONOMIC DEVELOPMENT FINANCIAL & PROGRAM
PAMELA C. MEYER DONALD E. INKS MANAGEMENT
574/235 -9660 574/235 -9371 ELIZABETH LEONARD
FAx: 574/235 -9697 574/235 -9371
1200 COUNTY-CITY BUILDING
227 W JEFFERSON BOULEVARD
SOUTH BEND, INDIANA 46601 -1830
PHONE 574/235 -9371
FAX 574/235 -9021
TDD 574/ 235 -5567
CITY OF SOUTH BEND STEPHEN J. LUECKE, MAYOR
COMMUNITY & ECONOMIC .DEVELOPMENT
SHARON T. KENDALL
EXECUTIVE DIRECTOR
TAX ABA TEMENT REPORT
TO: SOUTH BEND COMMON COUNCIL
FROM: SHARON TERRELL,JJ
SUBJECT: REAL PROPERTY TAX ABATEMENT PETITION FOR:
NILES/WASHINGTON LP f /b /o AM GENERAL
DATE: August 31, 2006
On August 14, 2006, a petition for real property tax abatement consideration for property located at
105 North Niles Avenue was filed with the City Clerk by Niles /Washington LP. Pursuant to Chapter
2, Article 6, Section 2 -82 of the Municipal Code of the City of South Bend, this petition was referred
to the Department of Community and Economic Development for purposes of investigation and
preparation of a report determining whether the area qualifies as an Economic Revitalization Area
pursuant to I.C.6 -1.1 -12.1 and whether all zoning requirements have been met.
The Department of Community and Economic Development has reviewed the petition (a copy of
which is attached), investigated the area, and makes the following report.
PROJECT SUMMARY
The Niles Avenue office is AM General's corporate headquarters. AM General is a major supplier
to the U.S. military of personnel vehicles and a builder of sport utility vehicles (SUVs) for General
Motors. The company plans to construct a 17,500 square foot addition and make improvements to
the existing building of 35,000 square feet. The construction of the new addition and improvements
to the existing office building will allow AM General to remain in South Bend with space to grow as
the market dictates. The estimated cost of the addition is $2,009,000 and improvements to the
existing building of approximately $500,000. Total taxes to be abated during the (8) eight -year
abatement period is estimated at $388,942. Total taxes to be paid during the (8) eight -year
abatement period is estimated at $299,450.
COMMUNITY DEVELOPMENT ECONOMIC DEVELOPMENT FINANCIAL & PROGRAM
PAMELA C. MEYER DONALD E. INKS MANAGEMENT
574/235 -9660 574/235 -9371 ELIZABETH LEONARD
FAx: 574/235 -9697 574/235 -9371
South Bend Common Council
RE: Tax Abatement for Niles /Washington LP
August 31, 2006
Page 2
EMPLOYMENT IMPACT
Per the petition, it is estimated that the total project will create (11) eleven new, permanent, full -time
jobs representing anew annual payroll of $800,000. The project will also maintain one hundred four
(104) existing, permanent, full -time jobs and one (1) existing, permanent, part-time job representing
an annual payroll of $9,800,000.
ABATEMENT QUALIFICATION
1. A review of the tax abatements previously granted, finds that the petitioner has not been granted
or associated with any previous tax abatements.
2. The Building Commissioner has reviewed the petition and finds the property to be properly
zoned for the proposed project.
3. A review of the South Bend Redevelopment designation areas finds that the property is located
in the South Bend Central Development Area which is a Tax Incremental Allocation Area and,
also, the East Bank Development Area (as listed in the Tax Abatement Guide); therefore, the
petition for real property tax abatement must first be approved by the South Bend
Redevelopment Commission.
4. A review of the Tax Abatement Ordinance No. 9394 -03 finds that the petitioner does meet the
qualifications for an (8) eight -year real property tax abatement under Section 2 -78.1, Office
Developments within the East Bank Development Area and Tax Abatement Impact Areas.
Tax Abatement Schedule prepared for: 31- Aug -06
NILESMASHINGTON LP d /b /a AM GENERAL
South Bend Portage Township 8 Year Real Property Abatement Schedule*
' - This schedule is for estimation purposes only and assumes constant tax rates.
The true tax values will ultimately be determined by the actual
assessed valuation and the then current tax rates.
Total estimated Project Cost:
$2,509,000
Base Assessed Value:
$2,132,650
(base
assessed value is estimated at 85% of project cost)
Assume constant tax rate of:
5.1524%
Assume constant SRTC of:
21.6906%
Assessed Gross Less
Net
Percent
Tax
Tax
Year
Value Tax SRTC
Tax
Abated
Abated
Paid
1
$2,132,650 $109,883 $23,834
$86,049
100%
$86,049
$0
2
2,132,650 109,883 23,834
86,049
88%
75,723
10,326
3
2,132,650 109,883 23,834
86,049
75%
64,537
21,512
4
2,132,650 109,883 23,834
86,049
63%
54,211
31,838
5
2,132,650 109,883 23,834
86,049
50%
43,025
43,024
6
2,132,650 109,883 23,834
86,049
38%
32,699
53,350
7
2,132,650 109,883 23,834
86,049
25%
21,512
64,537
8
2,132,650 109,883 23,834
86,049
13%
11,186
74,863
$688,392
$388,942
$299,450
Total Taxes Due During Abatement:
$688,392
Total Taxes Abated During Abatement:
388,942
Total Taxes Paid During Abatement:
299,450
' - This schedule is for estimation purposes only and assumes constant tax rates.
The true tax values will ultimately be determined by the actual
assessed valuation and the then current tax rates.
NILES/WASHINGTON LP d /b /a AM GENERAL
Public Benefit Points Summary "
Qualify Earned
Public Benefit Item: Y or N Points
Proiect Related:
1. A. Redevelop a Site that has Special Needs N 0
B. Develop Based on Local University Research N 0
C. Achieve a Physical Element of a Plan Y 36
Sub -total Project Related: 36
2. Super Size Proiects (point values are cumulative):_
A.
100% to 199% Y
B.
200% to 299% Y
C.
300% to 399% Y
D.
400% and Over Y
Provide Health Benefits
Sub -total Super Size Projects:
3. Construction Related:
A.
Employ Local Companies Y
B.
Purchase Materials from Local Companies Y
C.
Require Employees vs. Independent Contract( Y
D.
Require Target Wage Levels Y
E.
Require Health Benefits Y
F.
Require Pension Benefits Y
G.
Maintain Affirmative Action Plan N
25
68
65
52
i1 4111
20
20
19
22
22
18
0
33
34
29
0
0
0
0
96
42
41
0
0
83
0
0
0
0
0
0
546
31- Aug -06
Available
Points
49
35
36
120
25
68
65
52
210
20
20
19
22
22
18
20
141
33
34
29
28
15
14
9
162
42
41
35
34
152
14
26
39
52
131
84
1000
' Qualification for each Public Benefit Item based on best available information at time of application or
good faith determination if no information available.
Sub -total Construction Related:
4. Wage & Benefit Related:
A.
Pay Target Wage Levels
Y
B.
Provide Health Benefits
Y
C.
Provide Pension Benefits
Y
D.
Provide Training
N
E.
Provide Child Care
N
F.
Provide Transportation Assistance
N
G.
Provide Employer Assisted Housing program
N
Sub -total Wage & Benefit Related:
5. Workforce Related:
A.
Create New Jobs-
Y
B.
Retain Existing Jobs
Y
C.
Maintain Affirmative Action Plan
N
D.
Provide Targeted Hiring Preference
N
Sub -total Workforce Related:
6. Pay for Municipal Infrastructure: (point values are cumulative):
A.
Pay for Oversizing or Upgrading
N
B.
Pay for 26 -50% of Extension Cost
N
C.
Pay for 51 -75% of Extension Cost
N
D.
Pay for 76 -100% of Extension Cost
N
Sub -total Infrastructure Related:
7. Support a Municipal Facility:
A.
Support a Municipal Facility
N
Total Public Benefit Points:
25
68
65
52
i1 4111
20
20
19
22
22
18
0
33
34
29
0
0
0
0
96
42
41
0
0
83
0
0
0
0
0
0
546
31- Aug -06
Available
Points
49
35
36
120
25
68
65
52
210
20
20
19
22
22
18
20
141
33
34
29
28
15
14
9
162
42
41
35
34
152
14
26
39
52
131
84
1000
' Qualification for each Public Benefit Item based on best available information at time of application or
good faith determination if no information available.
NILESNVASHINGTON LP d /b /a AM GENERAL
Additional Years of Abatement
Multi - family Development Projects:
From
To
Additional Years
0
141
0
142
183
1
184
225
2
226
267
3
268
309
4
310
351
5
352
393
6
394
& over
7
Other Development Proiects:
From
To
Additional Years
0
300
0
301
357
1
358
414
2
415
471
3
472
528
4
529
585
5
586
642
6
643
1000
7
Subtotal from Points Summary: 546
Base Years of Abatement
Additional Years of Abatement: 5
Total Years of Abatement: 8
CITY OF SOUTH BEND
PETITION FOR REAL PROPERTY TAX ABATEMENT CONSIDERATION
The undersigned owners) of real property, located within the City of South Bend,
hereby petition the Common Council of the City of South Bend for real property tax
abatement consideration and pursuant to I.C., 6 -1.1- 12.1 -1, et seq., and South'Bend
Municipal Code Sec. 2-76-et seq., for this petition states the following: .
1. Describe the proposed redevelopment or rehabilitation - project, including
information about physical improvements to be made, the proposed use of the
improvements, and a general statement as to-the importance of the project to
your business:
Addition -of 17,500 square feet.of office. This allows AM General
to remain-in South Bend with space to grow as market dictates.
The iease'is -for 15 months.
existing addition
Land Size 2.0334 acres; Building Size35,000 + 17,500 sq.ft.
2. Describe the overall nature of the business and of the operations occurring at
the Property (attach additional sheet if more space is needed):
The Niles Avenue office is AM General's corporate headquarters.
The normal functions of a corporate headquarters will be performed
at this site. AM General is a major supplier to the U.S. Military
of personnel vehicles. AM General also builds SUV's for General
Motors.
3. Estimate the dollar value of the project (excluding land): $ 2,009, 000 for building
expansion plus additional improvements to existing building of appx.
4. The current assessed valuation of the real property before rehabilitation,$1,000,000.
redevelopment, economic revitalization, or improvement: $ 2,065,000
5. (a) The real property for which tax abatement consideration is petitioned (Property) is owned
(Rev 8/11/03) 1
or to be owned by the following individuals or corporations (if the business organization
is publicly held, indicate also the name of the corporate parent, if any, and the name under
which the corporation has filed with the Securities and Exchange Commission):
NAME ADDRESS INTEREST ( %)
Niles /Washington LP 227 S. Main St.,Ste. 300 100%
P.O.Box 1331, South Bend, IN 46601
(b) . The following other person(s) lease, intend to lease, or have an option to buy the Property
.(include corporate information as required in 5(a) above, if applicable);
NAME ADDRESS INTEREST( %)
AM General
105 N. Niles Avenue
South Bend, IN 46617
6. - The commonly known address of the Property is:
105 North"Niles Avenue, South Bend, IN 46617
7. The Key Number(s) of said property is:
18- 5004 - 007901 & 18- 5004 -0072
100$
8. A legal description of the above address is attached hereto, marked "Exhibit
A," and incorporated herein.
9. A map and /or plat describing the Property is attached hereto, marked "Exhibit
B," and incorporated herein.
10. Photographs of the property, taken within two (2) weeks of filing of this petition,
are attached hereto, marked "Exhibit C," and incorporated herein.
11. The redevelopment or rehabilitation project itself will create 11 full -time and
0 part-time permanent jobs within the first year, representing a new
annual payroll of $ .8 million and will maintain 104 existing permanent
full -time and 1 existing permanent part-time jobs including existing
permanent full -time minority employment of 12 and existing permanent part -
time minority employment of o with an annual payroll of $
over $9.8 million.
12. The projected annual salaries for each new position indicated above are
estimated to be as follows (If more space is needed, please attach a separate
sheet): individual salary information is considered confidential;
salary information is based on specific grade levels and mid -point
(Rev8/5�jjry ranges. Company anti ipates $.8 million increase within one
year without consideration of bonus or profit sharing.
13. Provide current employmerit wage information including; base rate, cost -of-
living allowances, hazardous -duty pay, incentive pay including commissions
and production bonuses, on -call pay and tips. Do Not Include; back pay, jury
duty pay, overtime pay, severance pay, shift differentials, non - production
bonuses, and tuition reimbursements (average hourly rate or. range):
14. Indicate whether your - company provides the following benefits (use Y /N):
Y Health Care Benefits
Y Pension Plan
Y Employer Provided Training (recognized or certified training /educational
courses or programs)
N Day Care (provide or contribute to the cost of child day care for its
employees)
N Transportation Assistance (provide direct or indirect support and
assistance to its employees without private transportation to get back
and forth from residence to place of employment)
N Employer- Assisted Housing Program (provide an employer- assisted
home ownership program)
N Targeted Hiring Preference (provide hiring preference for residents
of Census Tracts designated by the Community & Economic
Development Dept. that have the highest unemployment or the
highest percentage of low and moderate income individuals).
(Additional information may be requested for verification of the above
items)
15. List the real and personal property taxes paid at the location during the
previous five years, whether paid by the current owner or a previous owner:
Year Real Property Taxes Personal Property Taxes
01 $ 85,132 0
02 88,096 0
(Rev 8/11/(%� 93,591 3 0
04 92,001 0
05 96,827 0
Full -Time
Part-Time
Laborers
$ N/A
$
Technical
$ 1.1 million
$
Managerial
$ 7.0 million
$
Adrninistrative
$ 1.7 million_
$ 25,000.
14. Indicate whether your - company provides the following benefits (use Y /N):
Y Health Care Benefits
Y Pension Plan
Y Employer Provided Training (recognized or certified training /educational
courses or programs)
N Day Care (provide or contribute to the cost of child day care for its
employees)
N Transportation Assistance (provide direct or indirect support and
assistance to its employees without private transportation to get back
and forth from residence to place of employment)
N Employer- Assisted Housing Program (provide an employer- assisted
home ownership program)
N Targeted Hiring Preference (provide hiring preference for residents
of Census Tracts designated by the Community & Economic
Development Dept. that have the highest unemployment or the
highest percentage of low and moderate income individuals).
(Additional information may be requested for verification of the above
items)
15. List the real and personal property taxes paid at the location during the
previous five years, whether paid by the current owner or a previous owner:
Year Real Property Taxes Personal Property Taxes
01 $ 85,132 0
02 88,096 0
(Rev 8/11/(%� 93,591 3 0
04 92,001 0
05 96,827 0
(this information may be obtained from the St. Joseph County Treasurers office 235-
9531)
16. Please list the number of full -time and part -time minority employees for each
of the last three years:
Year 6/06 6/05 6/04
Full Part Full Part Full Part
-Black 10 - 8 - 7-
-
Hispanic 1 -
Asian: 1
Indian .0 _ - 0 - 0 -
Other o - 0 -0. -
17. Does your business maintain an affirmative action plan or other similar plan
in order to achieve racial diversity? If yes, please briefly indicate specific
goals, objectives, and means as designated by your plan:
Yes. AM General is subject to E011246 and reports its
affirmative action plan combined for all its local operations.
Goals and objectives are not available by location.
18. Indicate whether or not your project meets any of the following criteria
(contact Community & Economic Development Dept. 235 -9335 for information on
this section):
No Conversion to residential use of a commercial "Eligible Building" as
designated by the Community & Economic Development Dept.
No Rehabilitation of a building that is either designated as a National
Register or local landmark or is eligible for nomination as one, located
in a National Register or local landmark district, or rated as
Outstanding or Significant in the most recent Historic Preservation
Commission county wide survey.
NO Rehabilitation and reuse of a property that is designated a Problem
Property by the Community and Economic Development Department
NO Pays for the cost of cleaning up a "Brownfield," which is any site,
building facility or complex that has been designated a brownfield by the
(Rev 8/11/03) 4
Community and Economic Development Department.
No Achieves a physical element identified in a development or revitalization
plan that has been approved by the Council
ness based upon licensing intellectual property from research
19. Is your busi
conducted at a public or private university, college, or community college located
within St. Joseph County, Indiana? If yes, please include a description of the
research based aspects of the business (attach additional sheet if more space is
needed):
NO
20. Does your business financially support a Municipal Facility (i.e. municipally
owned park, recreation center, cultural, arts, or entertainment facility)? .
M
21. -Is your company incurring any of the cost of extension or oversizing of municipal
infrastructure serving the project site? This includes water, sewer, drainage
facilities, wastewater treatment facilities, road and street improvements, street
lighting, traffic control and related public improvements (attach additional sheet if
more space is needed):
NO
22. Information is required on the companies through which construction materials
will be purchased for the project. (Please complete the table on page 8 of this
application).
23. Information is required on the construction companies that will be utilized for
construction of the project. (Please complete the table on page 9 of this
application).
24. No building permit has been issued for construction on the property in
connection with the improvement in question as of the date of filing of this
petition. (The Property Owners signature at the end of this application is
Correct
(Rev 8/11/03) 5
verification of this statement)
25. The Standard Industrial Classification (SIC) or North American Industry
Classification Systems (NAICS) major group wi thin which the proposed project
would be classified, by number and description:
NAICS- 551114 Corporate, subsidiary, and regional managing offices.
The Internal Revenue Service Code of Principal Business Activity by which the
26. .
proposed project would-be classified, by number and descnptlon:
561110 - office Administrative Services
General office and the
27. The current use of the Property is (height and' area).
current zoning is (use) *and ,
(This information may be obtained from the Building Department 235- 9554).
8. Has our business been granted previous tax abatement(s)? If yes, please
2 y and date-of approval.
provide. type (real and /or personal property)
Yes - May 1989
rial
29. Other anticipated public financing for the project including, f anthroughtthe
revenue- bonding to be sought or already authorized,
United States Department of Housing and Urban Development funds from the
4 financing
City of South Bend, Small Business Association of South Bendand ishawaka, and
through the Business Development Corporation
St. Joseph County, Indiana, Industrial Revolving Fund,
Development;
Corporation, Corporation for
other public financial assistance, including but not limited to public works
improvements.
NO
30. The following person(s) should be contacted as Petitioner's agent regarding
additional information and public hearing notifications:
(Rev 8/11/03) 6
Name: Timothy A. Baker Executive V.P. Holladay Properties
Address: 227 S. Main St., Suite 300
City, State, Zip: South Bend, IN 46601
Telephone: 57.4- 234 -2073 ext 22
31. Please indicate the name, address, and telephone number of the person who
will work with Employment Training Services (E f employee
is and sign the ETS form attached to the p etition
warehouse or industrial developments.
Name: N/A
Address:
City, State, Zip:
Telephone:
WHEREFORE, Petitioner requests that the Common Council of the City of South
Bend, Indiana, adopt a declaratory resolution designating the area described herein
erty tax
to be an economic revitalization area for p atioon of of
notace I real
publi �phearing,
abatement consideration, and after public
determine qualifications for an economic revitalization area have been met, and
confirm such- resolution. Petitioner herein hereby verifies that the required $250.00
filing fee to cover processing and administrative costs pursuant to Section 2 -84.7 of
the Municipal Code of the City of South Bend has been paid in full.
(Rev 8/11/03)
Name of Property Owner(s):
NILES WASHINGTON ASSOCIATES
( gned Name)
John T. Phair, General Partner
(Typed or printed name and capacity of signor if
signed by an agent or representative of the
owner.)
7
Filed In Clerk's Office
AUG 1 4 2006
JOHN VOORDE
CITY CLERK, SO. BEND, IN.
22. In the following chart please indicate companies that were used for purchasing materials used in the construction or
rehabilitation associated with the project. Include the location of the company, description of the materials, and cost of the
materials. Additional information may be requested for verification of this information, (If more space is needed, please
photocopy this page)
Name and Address of Comnanv nescrintinn of Mnterink Cnct of Mnfi rink
contractors and Suppliers to be Determined
after Design and Bidding Phases are complete.
0
W N
W r
s
(Rev 8/11/03) 8
z
P
w w,
m
10.7 �
W
C
4
U.
23. In the following chart please list the companies that will be used for the construction or rehabilitation associated with the
project. Indicate the name and address of each company; list the dollar amount of the work to be provided by each company;
indicate whether- or not 100% of the workers are employees of that company or independent contractors; indicate whether or not
the company pays workers wages that meet the wage rates for each classification of laborers and mechanics published by the U.S.
Department of Labor; indicate whether or not the company contributes to a health plan for its employees; indicate whether or not
the company contributes to a pension plan for its employees; and indicate whether'or not the company maintains an affin- native
action plan or other similar plan to achieve racial diversity. Additional information may be requested for verification of this
information. (If additional space is needed, please photocopy this page).
Construction Company Cost of All Workers
Name and Address Work Employees or
or independent
contractors
Pay
Contribute
Contribute
Maintain
Wage
'to a
to-a
Affirmative
Rate
Health
: Pension.
Action
( /n)
Plan ( /n)
Plan (/n
Plan ( /n)
Dynamic Mechanical
$435,000
Contractors
Y
Y
Y
Martel Electric
$140,000
Y
Y
Y.
Steel Qwest
$200,000
Y
Y
Y.
Ziolkowski Constructio
$ 65,000
Y
Y
Y
Ideal Interiors
$500,000
Y
Y.
Y
Harmon
$135,000
Y
Y
Y
Kone Elevator
$ 66 , 00
Y
Y
Y
Q
C.
i
VFP Fire System
$ 45,00
"
Y
Y
Y
N
Midland Engineering
$ 30,OOC
Y
Y
Y
L L Geans
$120,00 C
N
Y
Y
-�
U.
** All subject to Chan
e at bi
time.
(Rev 8/11/03) 9
z
Q0 ra
0 o w
N m
O
s z
c-D a
� U
Q
U
4
6
t
RESOLUTION N0. 1W9 -'70
A RESOLUTION CONFIRMING THE ADOPTION OF A DECLARATORY RESOLUTION DESIGNATING
CERTAIN AREAS WITHIN THE CITY OF SOUTH BEND, INDIANA COMMONLY KNOWN AS 115 N.
NILES AVENUE TO BE AN ECONOMIC REVITALIZATION AREA FOR PURPOSES OF A 10 YEAR
REAL PROPERTY TAX ABATEMENT FOR NILES /WASHINGTON ASSOCIATES. .
WHEREAS, the Common Council of the City of South Bend, Indiana has
adopted a Declaratory Resolution designating certain areas within. the City as
Economic Revitalization Areas for the purpose of tax abatement consideration; and .
WHEREAS, a Declaratory Resolution designated the area commonly known as
115 N. Niles Avenue and which is more particularly described as follows:
LEGAL DESCRIPTION
PARCEL E3 -3 AND E3 -4
A part of Lots Numbered Forty -three (43), Forty -four (44)_, Forty -five (45),
Forty -six (46), Forty -seven (47) and Forty -eight (48) of the Original Plat of the
Town of Lowell, now a part of the City of South Bend, together-with that portion of
the vacated 14 foot alley lying between Lots 45 and 46, said tract being more
particularly described as follows: Beginning at a point 11.00'feet West of the
Northeast corner of Lot 43 in said plat; thence South 000 06'-00" West, parallel
and 11 feet West of said West line of Niles Avenue, 409.94 feet to a point on the
South line of Lot 48 in said plat, 11.00 feet West of the Southeast corner thereof;
thence North 890 45' 24" West, along said South line, 118.15 feet; thence North
000 04' 38" East, 211.66 feet to a point on the South line of Lot 45 in said Plat;
thence South 890 56' 31" East, 29.29 feet; thence North 000 05' 44" East, 198.04
feet to a point on the North line of Lot 43 in said Plat; thence South 890 54' 00"
East, along said North line, 89.00 feet to the place of beginning.
Also,
A parcel of land being a part of Lots 43 through 48 and the adjacent
vacated fourteen foot alley all in the Original Town of Lowell, now City of South
Bend, Indiana, and being more particularly described as follows:
Beginning at the Northeast Corner•of said Lot 43; thence-South 00 06' 00"
West (Bearing Assumed) along the West right -of -way line of Niles Avenue, a
measured distance of 409.94 feet to the Southeast Corner of said Lot 48; thence
North 890 45' 24" West along the North right -of -way line of Washington Street, a
a measured distance of 11.00 feet; thence North 00 06' 00" East parallel with said
West right -of -way line of Niles Avenue, a measured distance of 409.91 feet to the
South right -of -way line of Colfax Avenue; thence South 890 54' 00" East along said
South right -of -way line, a measured distance of 11.00 feet to.the place of beginning
containing 4,509 square feet, more or less.
Subject to any easements, covenants, or restrictions of record.
PARCEL E9 -11
A parcel of land being Lots 95 and 96 and the East 65 feet of Lot 94 in the
Original Plat to the Town of Lowell, now City of South Bend,-Portage Township,
St. Joseph County, Indiana and being more particularly described as follows:
Beginning at the Southwest corner of said lot 96; thence North 00 00' 00"
East (Bearing Assumed) along the East right -of -way line of Niles Avenue a distance
131.72 feet to the Northwest corner of said lot 95; thence North 890 57' 00" East
along the North line of said lot 95 a distance of 100.95 feet; thence North 00 04'
West a distance of 65.92 feet to the North line of said lot 94; thence North
890 54' 56" East along said North line a distance of 65.00 feet.to the Northeast
corner of said lot; thence South 00 04' 56" East along the East line of said lots a
distance of 197.89 feet to the South line of said lot 96; thence North 890 58' 41"
West along said South line a distance of 166.14 feet to the place of beginning
containing 26,175 square feet (0.601 acres) more or less.
Subject to any easements, covenants or restrictions of record.
EXHIBIT A
of
55"
rJ
w-
®
CO
0
c
Nvu`a
al
V
O U
't3
Gi
LL.
South Bend Tax Abatement Ordinance Overview
Procedures and General Standards - Abatement in-Tiers
South Bend's Abatement Program is a program which awards a base level of abatement for any project
that meets certain base level development standards. Additional years of abatement may be added to this
base, providing the project fosters certain economic development and other public benefits.
Base Abatement
Base Abatements may be awarded according to the following schedule:
Development
Area
New Const.
Rehab.
Add -On?
Base Yrs
Multi- Family
Citywide
$1,000,000
$250,000
Yes
3
Single Family
City wide
-Any
n.a.
No
5
Office
CBD
15,000 sf
5,000 sf
Yes
3
Office .
EBDA, TAIA
7.500 sf
5,000 sf
Yes
3
Retail
CBD, EBDA, TAIA
Any
Any
Yes
3
Retail
UEZ -
Any
Any
Yes
3.
Mixed Use
CBD
15,000 sf
5,000 sf
Yes
3
Mixed Use
EBDA
7,500 sf
5,000 sf
Yes
3
Institutional
CBD, EBDA, UEZ
Any
Any
Yes
3
Hotel /Motel
CBD,EBDA,AEDA
20 rooms
n.a.
Yes
3
Industrial
City -Wide
10,000 sf
10,000 sf
Yes
3
Industrial
UEZ, RBA
Any
Any
Yes
3
Warehouse
City -wide
25,000 sf
25,000
Ycs
3
Warehouse
EDTA, UEZ, RBA
Any
Any
Yes
3
Manuf. Machinery
(Personal Property)
City Wide
Any
None I
No
5
Definitions of Area Abbreviations
Airport Economic Development Area
East Bank Development Area
Redevelopment Blighted Areas
Urban Enterprise Zone
Additional Base Abatement Criteria
Central Business District
Economic Development Target Areas
Tax Abatement Impact Area
The project must be perceived to generate a ten -year financial return (in taxes, fees, pmts, community
econ & social benefits...) sufficient to justify the City's direct investment in infrastructure support.
A Memorandom of Agreement is executed which speaks to:
o The conditions of the abatement ierles 01�iCe
o The timeframe for actions FtIC lit
o An agreement to respond to surveys related to compliance 4 20��
o An agreement grant access related to compliance inspections ��G
o Any events that might cause termination or payback actions
The applicant must be current in their taxes. Inn VOOROI�
C►T,� ., BcN7
There must be no pattern of local, state or federal law or regulatory violations
Page Two
South Bend Tax Abatement Ordinance
Add -On Abatement
One to seven additional years abatement may be considered for projects achieving the following total Public
Benefit Points:
Issue
Points
Project Related Issues
Redevelop a site which has special. needs (Special residential conversions, historic buildings,
problem properties, brown -field clean -up)
49
Business activity which is based upon the commercialization of university research
35
Projects that accomplish a physical element in a development or revitalization plan
35
Super-Size Development Actions (For exceeding base$ orsquare footage criteria) Cumulative!
100 to 199%
25
200% to 299%
68
300% to 399%
65
400% and over
52
Construction Related
Employ local companies for at least 75% of construction work. (Reasonably available locally)
20
Purchase 75 % of materials locally (Of that which is reasonably available locally)
20
100% of construction workers are employees (not Independent Contractor) (Taxpayer ID key)
19
Pay 100% of Construction Workers US DOL, Davis Bacon Wages
22
All Contractors must pay toward health plan
22
All contractors to pay toward retirement plan
18
Require Racial Diversity, as evidenced by an Affirm Action Plan
20
Wage & Benefit Related Actions
Pay Average of 100% of Mean Hourly Wage per DOL BLS Metro Wage Est. for SB Metro Area
33
Contribute toward health plan
34
Contribute to pension or retirement plan
29
Provide training to employees
28
Provide day care (assistance)
15
Provide Transportation Assistance to lower income employees
14
Employer- assisted Housing to lower inc employees
9
Work Related Actions
Create new jobs
42
Retain Existing Jobs
41
Maintain Affirm Action Plan
35
Use Targeted Hiring Preferences (from targeted Census tracts)
34
Pay for extending or over sizing municipal infrastructure
Over sizing
14
Pay 26 to 50 % of extension
26
Pay for 51 to 75 % of extension
39
Pay for 76 to 100 % of extension
52
Page Three
South Bend Tax Abatement Ordinance
Public Benefit Points and thresholds for Additional Abatement Years
The following points must be achieved to earn consideration for each additional year of abatement.
Multifamily Development Projects
From
To
Additional Years
0
141
0
142
183
1
184
225
2
226
267
3
268
309
4
31.0
351
5
352
393
6
394
& over
7
All Other Development Projects
From
To
Additional Years
0
300
—
0
301
357
1
358
414
2
415
471
3
472
528
4
529
585
5
586
642
6
643
& over
7
File l► G -iflve
J-0 1, V00 gEt:D,114.
r CLEny S0.
Additional Requirement
All petitioners seeking real property tax abatement for industrial or warehousing developments must agree to
work with Workforce Development Services of St. Joseph County when developing plans and recruiting for
employment positions created.
� 4
_ ♦ _ a
.a,�`� -''J� s «''"�w_$!� Ra y� �� ys ;•' ���Ssul�r�r�i���'��'�'Sls
�
1t
• - t`R - �,. -vat ",'.�v ,* '�a. `, /ttrr -��i ,r -, ,.
IGC, a.iP�°"'� ..,._ - -. . >� �` - �. _. � »1%r7b�..er6'.�!•'SKr�' a °�.'�.•,Y tv�. • '"'� =' .a+"wr �s:,. . .
v
W "
WRINNIN
do
o
p,au WV '
i, a;t
+cam
EXHIBIT B
Fil
in Ctetl's Qfic
U.S. HIGHWAY 20 (COLFAX AVE.) — 82.5' R/M
(ASPBALT SURFACE WICURB d CUZTBR)
(35' B.C. - B.C.)
— —
NK'
I h�
I
I
•(110.13
I
lel' (ipi
45
I
- C�0
1➢1T 3'
A•MKr PMIq
uN
• - M1Elt VALVE
■ . STORY NET
a■■A . l2,rae.at sa. Pr.
I '� _
44
•
I pscORDED Doc. g •
xa. a -OeT9e 8
lir0000__
I — — — —
ARCEL i
I
.274 AC. r
3 -STORY
RECaRDED Doc.
'^
- II-
(VACATED ALLELI
I
N.erae'34i I
•(110.13
- NANdCAPPID PN901C
lel' (ipi
45
I
- C�0
1➢1T 3'
A•MKr PMIq
uN
• - M1Elt VALVE
■ . STORY NET
a■■A . l2,rae.at sa. Pr.
F.
B IeEPHONE PEDESTAL
nicer . ae.s1 rar • �
lir0000__
} - YWf 51RVCNRE
__
I
■ 7
3 -STORY
RECaRDED Doc.
•
OFFICE BUILDING
�, 8,W012
pECapDED Dac.
47
I
I
I
- II-
-R—M- � iFNCE
L8
N.erae'34i I
•(110.13
- NANdCAPPID PN901C
lel' (ipi
_
—
y�
- C�0
1➢1T 3'
A•MKr PMIq
uN
• - M1Elt VALVE
■ . STORY NET
�
❑A Q
B IeEPHONE PEDESTAL
TEO WASNINOTON Sl
} - YWf 51RVCNRE
�r��.
■ 7
• \
•
nt w
■
MNAL YEA9N0 0111pL90H5
pECapDED Dac.
N0. 90gg1
SWTM SEND
REDEVELOPMENT
AUTHORITY
- F-------- - - - - --1 r -� - --
P.O.B. I I I I
I I I I
I st I I I
I I I I
I I I I
I I I I
L-------- - - - - -J L -1 - --
I I I
LASALLE ENTERPRISES LLC i i PARK 1000 L AI■YEONO
C
day L--- - - -- -V —UR— CEI J - - - - --
I1L' ALLEY - ORAVEL SRFA
l_, SN]■ZYR la•M' (teL007 r.•p
Jr h R 8 94 uW.l 1000
PARCEL Q
0.740 AC. A•rA�PAtgq
D $ 1� IILI j' �I I�
1 I I '
t — 1 1 1 1 1 I*
95
0 yl
rr_r
• .-- � nae3R'tey. .rA.
WASHINGTON STREET — 82.5' R/IF
(CONCRSTS : BRTCr SBR/ACr r /CURB t WffZa)
(64.3' B.C. — B.C.)
ea■aaer
��...�M•i.s~ nmw rw�iwr
A.s w.r w.w s ti� x •A.r "a ._
ra _• r.s . tAn r .. w r A.s tra
i1®� O+t•• tF rrw a•w u—A w saws trr K acRq
c AAA. « —wr. wtr «9r n..s. •t trnr
�,Ay «•,N_rtrwAl,wrM_rr
I1,lIMTwi ., 1... Fr.l lr.r «Mr.,i_I
w.M. le•N. (0.w,e, rrr q
1R� bo'ttu•az mover - an ar ton, tm
- is ttm Am.tpa■ • AWA eAa',�'rnan °r¢r'�an� 'emu ./*
- IL• Vs Am••ao � ��rtR r roar. I l,p.m
-1LVr • •• Antm,tVA MrarAm Am•tota• - ee r¢r
R 101
w o°
�I
`I
I
SANTA MAMA COMCL 553 KMNNITS OF
L
IS �SCALE IN FEET:
I 0 60
m°YR1.e Aomiwci°.a"m'"tu'°'iuo s �rcr'"°" 1 :row"°O1'c Aina
a •■,N to tr
wsnrt.
q •art ar ns•a tPm ��
q sKVa n• ut•ars tN.r •.Y s tton, _
srna mxtw u' i v
a m
—1w 17 t a.n
9� AR•3 1% R TO YIrvE—tO -I —wi K Mr NO
� nvry
a m4
I;= W.
M INt M OR V
q taNrAn
i i�wuf. tsanba. tw at mmw,co
LEGEND
p Fpt POIAp
- II-
-R—M- � iFNCE
O - nAA •/DISC faro
- ESE
—E_ � 9tgElItl10U10 POpVI l»1E
- NANdCAPPID PN901C
_f
—T —T- - UIaFAORpINO TFIEPIIICfC l■1E
■■� . NO PARaxO AREA
- C�0
-0_ � VIaFAp10tM0 OAS ILIE
• - M1Elt VALVE
■ . STORY NET
�
—•— •` � •AIEA LK
B IeEPHONE PEDESTAL
IN') NOICAIES MCXES A•01E (e m
9ELM (-1 CpOUrID SINiE�
} - YWf 51RVCNRE
ALL 0 ARE fLU9l
O VATW YE l
( ) - p�f S TS NATT
m FMN
A PoNER POLE
MNAL YEA9N0 0111pL90H5
i A:+r r•.9°.e �"• •N .9AesaAnot
rNwd r rri•. ti rNwr`«w_ «.r•w •rA
rl•} L Agnl4 "q Mq «t. rtr'rr''A Y.�>
arwr lrw� AqA •�"r as � �r'q
0.'r rr w rw� 4H r
r�wq _ r w •r�w.,« .� r w•MyM�wtrr «'�.
W tir r «.P� r w• rM w+•b r Parr H tti A_r
W •r y,,,,1 rw..N w.w r _ w. rM P_wr r tw
w• w. N.a..•.rrH... «.«
•"wiw r i'0. M w.t.
FIL
%r.. awe; «:.wyw: •r"r:.�r..
•t�.r i� i�
SITE AM GENERAL
105 N. NILES AVENUE
SOUTH BEND, INDIANA
S.
ALTA / ACSM LAND TITLE SURVEY
1' -3W 1b -08 -OS ICiES ROP riK P k 31
A AY TR3 -p S M Rltr TV-M(
PALM 1, ASSOCIATES, @IC.
eeae A •0. P.0. •.s MO
■.. ...u+.. 1.. •sees In•1 ee• -ova