No. 1087 approving a modification to and reducing the annual rentals on lease for the Palais Royale project and approving the execution of an addendum to the lease

Home Browse Search

RESOLUTION NO. 1087 RESOLUTION OF THE SOUTH BEND REDEVELOPMENT COMMISSION APPROVING A MODIFICATION TO AND REDUCING THE ANNUAL RENTALS ON THE LEASE FOR THE PALAIS ROYALE PROJECT AND APPROVING THE EXECUTION OF AN ADDENDUM TO THE LEASE WHEREAS, the South Bend Redevelopment Authority (the "Authority ") previously entered into a Lease between the Authority and the South Bend Redevelopment Commission (the "Commission ") dated as of March 1, 1992, pursuant to which the Authority will lease certain land and a building located thereon commonly known as Palais Royale (the "Project ") to the Commission; and WHEREAS, Section Four of the Lease provides that the annual rental shall be reduced following the sale of the Bonds to an amount equal to the multiple of One Thousand Dollars ($1,000) next highest to the highest sum of principal and interest due in any year ending on a Bond maturity date on the Bonds plus two thousand dollars ($2000); and WHEREAS, the Authority desires to approve a modification to the Lease changing the amount to be added from $2,000 to Three Thousand Dollars ($3,000) which modification does not increase the term of the Lease or the rental amount of the Lease as approved by the State Board of Tax Commissioners; and WHEREAS, bids were received on August 4, 1992, for the sale of the "South Bend Redevelopment Authority Taxable Lease Rental Revenue Bonds ( Palais Royale Project)" (the "Bonds ") for the acquisition of the Project; and WHEREAS, the lowest and best bid for the Bonds was received from Robert W. Baird & Co., Inc., as the bidder offering the lowest net interest cost to the Authority, determined by