RM 09-25-87 - Laserfiche WebLink

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South Bend edevelopment Commission Regular Me ting - September 25, 1987 6. NEW BUSINESS (font.) d. Conitinued... .Upcn a motion by Mr. Combs, seconded by COMMISSION APPROVED RESOLUTION Mr. Piasecki and carried, the Commission NO. 813 AUTHORIZING REIMBURSEMENT approved Resolution No. 813, authorizing TO THE CITY OF SOUTH BEND FOR reimbursement to the City of South Bend EXPENDITURES MADE WITHIN THE RUM for expenditures made within the Rum VILLAGE INDUSTRIAL PARK Village Industrial Park. e. Commission approval requested for First Amendment to Lease with Osco Drug, Inc. Mr. Hunt explained that as, permitted in the Lease Agreement with Osco Drug passed in April 1985, Osco is requesting the exercise of their first option to extend their lease for one year, from September 1987 to September 1988. They are also requesting approval from the Commission to xpend an additional $53,000 for the rec nstruction of the roof on the building. In addition, they are asking for two additional option years to be add ad to their lease. Mr. Hunt explained that in the original lease we indicated to them that we wanted to step away from certain obligations that we had to them in terms of relocation and costs associated with rel cation. We suggested a substitute mec anism which would allow us to have a was of costs. They would do $250,000 of imp ovements, which would be reimbursed to em based upon a depreciation sch Jule if we should terminate the lease wi in five years. In turn, they would wai e all relocation benefits which would hav otherwise been due them. MOM amendment would allow them to (1) end an additional $53,000 of their �y to make improvements to our Lding; (2) have an additional two -s of option to lease; and (3) -cise the first year's option under original agreement. -13-