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HomeMy WebLinkAboutConfirming Tax Abatement - The Villas at Lake Blackthorn - Section 1 - Cooreman Real Estate Group, IncRESOLUTION 3868-08 Passed by the Common Council of the City of South Bend, Indiana May 27, 08 20 Attest: City Clerk President of Common Council Presented by me to the Mayor of the City of South Bend, Indiana May 28, 2008 Approved and signed by me June 2 ~~ ~ <,~ 20 ~8 . City Clerk ~Y~' RESOLUTION NO. 3~~=0 A RESOLUTION CONFIRMING THE ADOPTION OF A DECLARATORY RESOLUTION DESIGNATING CERTAIN AREAS WITHIN THE CITY OF SOUTH BEND, INDIANA, COMMONLY KNOWN AS THE VILLAS AT LAKE BLACKTHORN -SECTION I ~A certain 51 lots located on approximately 56 acres north of Brick Road, and west ofand adiacent to the U.S. 31 Bypass) AS RESIDENTIALLY DISTRESSED AREAS FOR PURPOSES OF A (5) FIVE-YEAR RESIDENTIAL REAL PROPERTY TAX ABATEMENT FOR COOREMAN REAL ESTATE GROUP, INC. WHEREAS, the Common Council of the City of South Bend, Indiana, has adopted a Declaratory Resolution designating certain areas within the City as Residentially Distressed Areas for the purpose of tax abatement consideration; and WHEREAS, a Declaratory Resolution designated the area commonly known as A CERTAIN SI LOTS AS LISTED IN EXHIBIT A TO THIS RESOL UTION. ALL IN THE VILLAS AT LAKE BLACKTHORN- SECTIONI. South Bend, Indiana, and which is more particularly described as follows: LEGAL DESCRIPTION: THE VILLAS AT LAKE BLACKTHORN, SECTION ONE A PART OF THE NORTHWEST, SOUTHWEST, AND SOUTHEAST QUARTERS OF SECTION 18, TOWNSHIP 38 NORTH, RANGE 2 EAST, GERMAN TOWNSHIP, CITY OF SOUTH BEND, ST. JOSEPH COUNTY, INDIANA BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT THE NORTHEAST CORNER OF THE SOUTHEAST QUARTER OF SECTION 18, TOWNSHIP 38 NORTH, RANGE 2 EAST, 5.8 FEET SOUTH OF A 2" IRON MONUMENT WITH A CAP LABELED "SEC. CORNER"; THENCE SOUTH 89 DEGREES 49 MINUTES 49 SECONDS WEST, A DISTANCE OF 1549.41 FEET TO THE WEST RIGHT OF WAY OF U.S. ROUTE 31 AND THE POINT OF BEGINNING; THENCE ALONG SAID WEST RIGHT OF WAY THE FOLLOWING NINE (9) COURSES: (1) SOUTH 17 DEGREES 36 MINUTES 51 SECONDS WEST, A DISTANCE OF 85.66 FEET; (2) THENCE SOUTH 25 DEGREES 35 MINUTES 58 SECONDS WEST, A DISTANCE OF 409.65 FEET TO THE POINT OF CURVATURE OF ANON-TANGENT CURVE, CONCAVE TO THE EAST, HAVING A RADIUS OF 5950.00 FEET, A CENTRAL ANGLE OF 8 DEGREES 59 MINUTES 58 SECONDS, AND A CHORD OF 933.60 FEET BEARING SOUTH 12 DEGREES 00 MINUTES 23 SECONDS WEST; (3) THENCE SOUTH ALONG SAID RIGHT OF WAY CURVE, A DISTANCE OF 934.56 FEET; (4) THENCE SOUTH 16 DEGREES 02 MINUTES 40 SECONDS WEST, A DISTANCE OF 211.20 FEET; (5) THENCE SOUTH 38 DEGREES 30 MINUTES 20 SECONDS WEST, A DISTANCE OF 481.60 FEET; (6) THENCE NORTH 0 DEGREES 45 MINUTES 39 SECONDS EAST, A DISTANCE OF 114.32 FEET TO THE NORTHEAST CORNER OF LAND DESCRIBED IN DEED RECORD BOOK 741, PAGES 475-477, AS RECORDED IN THE OFFICE OF RECORDER OF ST. JOSEPH COUNTY, INDIANA; (7) THENCE SOUTH 35 DEGREES 15 MINUTES 20 SECONDS WEST, A DISTANCE OF 401.95 FEET; (8) THENCE SOUTH 2 DEGREES 36 MINUTES 09 SECONDS WEST, A DISTANCE OF 256.87 FEET; (9) THENCE SOUTH 85 DEGREES 31 MINUTES 45 SECONDS WEST, A DISTANCE OF 199.30 FEET TO THE SOUTHEAST CORNER OF LAND DESCRIBED IN INSTRUMENT NUMBER 8717366, AS RECORDED IN THE OFFICE OF SAID RECORDER; THENCE ALONG THE EAST LINE OF SAID LAND, NORTH 0 DEGREES 15 MINUTES 44 SECONDS EAST, A DISTANCE OF 181.22 FEET; THENCE ALONG THE NORTH LINE OF SAID LAND, NORTH 89 DEGREES 48 MINUTES 51 SECONDS WEST, A DISTANCE OF 323.58 FEET; THENCE NORTH 0 DEGREES 03 MINUTES 20 SECONDS WEST, A DISTANCE OF 500.00 FEET; THENCE NORTH 89 DEGREES 48 MINUTES 51 SECONDS WEST, A DISTANCE OF 2.00 FEET; THENCE NORTH 0 DEGREES 03 MINUTES 20 SECONDS WEST, A DISTANCE OF 100.00 FEET; THENCE SOUTH 89 DEGREES 48 MINUTES 51 SECONDS EAST, A DISTANCE OF 2.00 FEET; THENCE NORTH 0 DEGREES 03 MINUTES 20 SECONDS WEST, A DISTANCE OF 500.00 FEET; THENCE NORTH 89 DEGREES 48 MINUTES 51 SECONDS WEST, A DISTANCE OF 2.00 FEET; THENCE NORTH 0 DEGREES 03 MINUTES 20 SECONDS WEST, A DISTANCE OF 100.00 FEET; THENCE SOUTH 89 DEGREES 48 MINUTES 51 SECONDS EAST, A DISTANCE OF 2.00 FEET; THENCE NORTH 0 DEGREES 03 MINUTES 20 SECONDS WEST, A DISTANCE OF 800.00 FEET TO THE SOUTHWEST CORNER OF LOT "A" AS DEPICTED IN THE REPEAT OF RICHTER'S ORANGE ROAD MINOR SUBDIVISION, DESCRIBED IN INSTRUMENT NUMBER 8525803, AS RECORDED IN THE OFFICE OF SAID RECORDER; THENCE ALONG THE SOUTH LINE OF SAID LOT "A", NORTH 89 DEGREES 50 MINUTES 13 SECONDS EAST, A DISTANCE OF 100.00 FEET; THENCE ALONG THE EAST LINE OF SAID LOT "A", NORTH 0 DEGREES 03 MINUTES 20 SECONDS WEST, A DISTANCE OF 251.56 FEET TO THE POINT OF CURVATURE OF ANON-TANGENT CURVE, BEING THE CENTERLINE OF ORANGE ROAD, CONCAVE TO THE NORTH, HAVING A RADIUS OF 335.00 FEET, A CENTRAL ANGLE OF 19 DEGREES 18 MINUTES 44 SECONDS, AND A CHORD OF 112.38 FEET BEARING NORTH 67 DEGREES 34 MINUTES 35 SECONDS EAST; THENCE EAST ALONG SAID CENTERLINE CURVE, A DISTANCE OF 112.92 FEET; THENCE SOUTH 0 DEGREES 11 MINUTES 04 SECONDS EAST, A DISTANCE OF 70.83 FEET TO THE SOUTHWEST CORNER OF LOT 1 OF BOGUE'S MAJOR SUBDIVISION, DESCRIBED IN INSTRUMENT NUMBER 8932797, AS RECORDED IN THE OFFICE OF SAID RECORDER AND THE NORTHWEST CORNER OF LAND DESCRIBED IN INSTRUMENT NUMBER 9331954, AS RECORDED IN THE OFFICE OF SAID RECORDER; THENCE ALONG THE BOUNDARY OF SAID LAND THE NEXT THREE (3) COURSES; (1) SOUTH 26 DEGREES 45 MINUTES 04 SECONDS EAST, A DISTANCE OF 66.96 FEET; (2) THENCE NORTH 89 DEGREES 49 MINUTES 49 SECONDS EAST, A DISTANCE OF 556.25 FEET; (3) THENCE NORTH 0 DEGREES 45 MINUTES 39 SECONDS EAST, A DISTANCE OF 80.00 FEET TO THE NORTH LINE OF THE SOUTH HALF OF SECTION I8, TOWNSHIP 38 NORTH, RANGE 2 EAST; THENCE ALONG SAID NORTH LINE NORTH 89 DEGREES 49 MINUTES 49 SECONDS EAST, A DISTANCE OF 729.56 FEET TO THE POINT OF BEGINNING. EXCEPTING THAT PORTION WHICH INCLUDES LOTS 1 THROUGH 5 INCLUSIVE, OF THE VILLAS AT LAKE BLACKTHORN SECTION ONE, AS SHOWN ON THE FINAL PLAT, RECORDED APRIL 21, 2003, IN THE OFFICE OF THE RECORDER OF ST. JOSEPH COUNTY, AS INSTRUMENT #0323151. SAID DESCRIBED TRACT CONTAINING 56.25 ACRES, MORE OR LESS. SUBJECT TO ALL EASEMENTS, AND RIGHT OF WAY OF RECORD. and this property which has Tax Key Numbers as listed in Exhibit A to this Resolution, be designated as a Residentially Distressed Area under the provisions of Indiana Code 6-1.1-12.1 et sec ., and South Bend Municipal Code Sections 2-76 et sea., 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 remonstrances and objections from interested persons; and WHEREAS, the Council has determined that the qualifications for a residentially distressed area have been met. NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of South 2 Bend, Indiana, as follows: SECTION I. The Common Council hereby determines and finds that the petition for real property tax abatement and the Statement of Benefits form meet the requirements of Indiana Code 6-1.1-12.1 et seq., for tax abatement. SECTION II. The Common Council hereby determines and finds that the area meets one of the following conditions as formally established in Ordinance No. 9394-03, which was passed on February 10, 2003: A. The area is comprised of parcels that are either unimproved or contain only one (1) or two (2) family dwellings designed for up to four (4) families, including accessory buildings for those dwellings; or B. Any dwellings in the area are not permanently occupied and are: i. the subject of an order issued under IC 36-7-9; or ii. evidencing significant building deficiencies; or C. Parcels of property in the area: i. have been sold and not redeemed under IC 6-1.1-24 and IC 6-1.1-25; or ii. are owned by a unit of local government; or D. A significant number of dwelling units within the area are not permanently occupied or a significant number of parcels in the area are vacant land; or E. A significant number of dwelling units within the area are: i. the subject of an order issued under IC 36-7-9; or ii. evidencing significant building deficiencies; or F. The area has experienced a net loss in the number of dwelling units, as documented by census information, local building and demolition permits, or certificates of occupancy, or the areas are owned by Indiana or the United States; or G. The area (plus any areas previously designated under this subsection) will not exceed ten percent (10%) of the total area within the Council's jurisdiction. SECTION III. The Common Council also hereby determines and finds the following: A. That the description of the proposed redevelopment meets the applicable standards for such development. B. That the estimate of the value of the redevelopment is reasonable for projects of this nature; C. That the other benefits about which information was requested are benefits that can be reasonably expected to result from the proposed described redevelopment; and D. That the totality of benefits is sufficient to justify the requested deduction, all of which satisfy the requirements of Indiana Code 6-1.1-12.1-3. E. The deduction will not be allowed unless the dwelling is rehabilitated to meet local code standards for habitability. F. The deduction will not be allowed unless the dwelling rehabilitation is completed within five (5) calendar years commencing from November 12, 2008, or the date off' the adoption of this Resolution by the Common Council whichever date is later. 3 SECTION IV. The Common Council hereby confirms its Declaratory Resolution designating the area described herein as a Residentially Distressed Area for the purposes of tax abatement. Such designation is for Real property tax abatement only and is limited to five (5) calendar years commencing from November 12, 2008, or the date of the adoption of the Declaratory Resolution by the Common Council whichever date is later. SECTION V. The Common Council hereby determines that the property owner is qualified for and is granted Real property tax deduction for a period of five (5) years, and further determines that the petition complies with Chapter 2, Article 6, of the Municipal Code of the City of South Bend and Indiana Code 6-1.1-12.1 et se . SECTION VI. This Resolution shall be in full force and effect from and after its adoption by the Common Council and approval by the Mayor. ,~.,_.~ r Member of the on Council og PRESEt'JTED ~ " ZZ ~jOT 'APPROVEC~ ~DOPTEU ~ 'Z~ ~~~ 4 .~ M.~~ ~,1 AY - 7 2008 JOiiH V~vC,7Cz CITY CLEI?t, S0. E=P7J, IN. Exhibit A THE VILLAS AT LAKE BLACKTHORN -SECTION I LIST OF 51 LOTS LOT # STREET.ADDRESS KEY # VLB lot 6" 4622 Lake Blackthorn Drive 025-1010-017624 6616 Dockside Drive VLB lot 7 6568 Dockside Drive 025-1010-017625 VLB lot 8 4636 Starboard Drive 025-1010-017626 VLB lot 9 4644 Starboard Drive 025-1010-017627 VLB lot 11 4710 Starboard Drive 025-1010-017629 VLB lot 12 4720 Starboard Drive 025-1010-017630 VLB lot 13 4728 Starboard Drive 025-1010-017631 VLB lot 15 4746 Starboard Drive 025-1010-017633 VLB lot 17 4814 Starboard Drive 025-1010-017635 VLB lot 18"' 4822 Starboard Drive 025-1010-017636 6506 Still Waters Court VLB lot 19 6510 Still Waters Court 025-1010-017637 VLB lot 21 6507 Still Waters Court 025-1010-017639 VLB lot 26 4938 Stern Line Court 025-1010-017644 VLB lot 27 4946 Stern Line Court 025-1010-017645 VLB lot 28 4954 Stern Line Court 025-1010-017646 VLB lot 29 5004 Stem Line Court 025-1010-017647 VLB lot 32'" 5011 Stern Line Court 025-1010-017650 6505 Cudd Court VLB lot 37 4935 Stem Line Court 025-1010-017655 VLB lot 39 4915 Stern Line Court 025-1010-017657 VLB lot 40" 6535 Leewa Drive 025-1010-017658 4906 Masthead Court VLB lot 43 5006 Masthead Court 025-1010-017661 VLB lot 46 5015 Masthead Court 025-1010-017664 VLB lot 49 4917 Masthead Court 025-1010-017667 VLB lot 54 5002 Bow Line Court 025-1010-017672 VLB lot 55 5010 Bow Line Court 025-1010-017673 VLB lot 56 5013 Bow Line Court 025-1010-017674 VLB tot 57 5003 Bow Line Court 025-1010-017675 VLB lot 59 4925 Bow Line Court 025-1010-017677 VLB lot 60 4919 Bow Line Court 025-1010-017678 VLB lot 69 4738 Portside Drive 025-1010-017687 VLB lot 72 4712 Portside Drive 025-1010-017690 VLB lot 73 4704 Portside Drive 025-1010-017691 VLB lot 75 4627 Pier Court 025-1010-017693 VLB lot 77 4611 Pier Court 025-1010-017695 VLB lot 78 4603 Pier Court 025-1010-017696 VLB lot 79 4604 Pier Court 025-1010-017697 VLB lot 80 4614 Pier Court 025-1010-017698 VLB lot 81 4624 Pier Court 025-1010-017699 VLB !ot 82** 4632 Pier Court 025-1010-0177 6626 Dockside Drive VLB lot 85 6613 Dockside Drive 025-1010-017703 VLB lot 88 4645 Starboard Drive 025-1010-107706 VLB lot 89 4703 Starboard Drive 025-1010-017707 VLB lot 90 4711 Starboard Drive 025-1010-017708 VLB lot 91 4719 Starboard Drive 025-1010-017709 VLB lot 93 6530 Lake Crest Circle 025-1010-017711 VLB lot 95 6521 Lake Crest Circle 025-1010-017713 VLB lot 96 4805 Starboard Drive 025-1010-017714 VLB 1~` Re-plat lot 2 (formerl lot 98) 4821 Starboard Drive Formerly 025-1010-017716 *VLB 1~ Re-plat lot 1 (formerl lot 99B) 4829 Starboard Drive Formerly 025-1010-017717 VLB lot 101 6530 Leewa Drive 025-1010-017719 VLB lot 106 6634 Leewa Drive 025-1010-017724 * NOTE: These 2 parcels were recently re-platted and do not have new key numbers assigned yet. The key numbers listed here reflect the previously assigned ones for lots 98 and 99B. The Assessed Value is an estimate based on other similar lake lots still owned by the Developer. The disparity in the AV of similar vacant lots is due to the differences between the AV and the tax rates assigned to the Developer owned parcels vs. the market rates assigned once the lot is sold. ** These are comer lots with two potential addresses listed. f.1 AY - 7 2008 JC't':!1 V'31ia',DE CRY CLE~iK, 50. g~ND, l'd. 6 1200 COUNTY'CI'T'Y BUILDING 227 W. JEFFERSON BOULEVARD SOUTH BEND,INDIANA 46601-1830 PHONE 574/235-9371 FAx 574/235-9021 TDD 574/ 235-5567 CITY OF SOUTII BEND STEPHEN J. LUECKE, MAYOR COMMUNITY ~ ECONOMIC DEVELOPMENT JEFFREY V. GIBNEY EXECUTIVE DIRECTOR Apri125, 2008 Council Member Derek D. Dieter, Chairperson Community & Economic Development Committee South Bend Common Council 4th Floor, County City Building South Bend, IN 46601 RE: Residential Real Property Tax Abatement Petition for: COOREMAN REAL ESTATE GROUP, INC. (The Villas at Lake Blackthorn -Section I) Dear Council Member Dieter: Please find attached the Department of Community & Economic Development's report on a residential real property tax abatement petition submitted by Cooreman Real Estate Group, Incorporated. This developer intends to develop fifty-one lots remaining in Section I of The Villas at Lake Blackthorn. 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 proposes to develop the fifty-one lots at a cost of $12,750,000. The developer has sold fifty lots under an existing tax abatement. The term for that abatement will expire in November and the developer is requesting a new tax abatement in order to continue offering a tax abatement as an incentive for the sale of the remaining lots. The project meets the qualifications for afive-year (5) real property tax abatement. The petitioner will be available to meet with the Committee on Monday, May 12, 2008. 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 235-5835. Sincerely, ,~~ f~~7~ Bob Mathia Assistant Director, Economic Development Attachments cc: South Bend Common Council Members Mayor Stephen Luecke Jeff Gibney Don Inks COMMUNITY DEVELOPMENT ECONOMIC DEVELOPMENT FINA*N,C.IA-L & PROGRAM PAMELA C. MEYER DONALD E. INKS 1V1/uVAGEMENT 574/235-9660 5741235-9371 ELIZABETH LEONARD FAX: 574/235-9697 5741235-9371 1200 COUNTY-CITY BUILDING 227 W. ~EFFERSON 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 SL ECONOMIC DEVELOPMENT JEFFREY V. GIBNEY EXECUTIVE DIRECTOR TAX ABATEMENT REPORT TO: SOUTH BEND COMMON COUNCIL FROM: BOB MATHIA SUBJECT: RESIDENTIAL REAL PROPERTY TAX ABATEMENT PETITION FOR: COOREMAN REAL ESTATE GROUP, INC. (The Villas at Lake Blackthorn - Section I) DATE: Apri125, 2008 On Apri123, 2008, a petition for residential tax abatement consideration for real property located in The Villas at Lake Blackthorn - Section I was filed with the City Clerk by Cooreman Real Estate Group, Incorporated. Pursuant to Chapter 2, Article 6, Section 2-77.1 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 a Residentially Distressed 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 DESCRIPTION Section I of the subject subdivision was granted afive-year residential real property tax abatement on December 9, 2002, through Common Council Resolution number 3138-02. The Redevelopment Commission also approved the tax abatement petition through Resolution Number 1917 on November 1, 2002. The Common Council's resolution confirmed its earlier declaratory resolution designating Section I as a Residentially Distressed Area (RDA) and that designation was limited to five calendar years from the date of the passage of the declaratory resolution, which was November 12, 2002. The RDA designation is required in order for the developer, Cooreman Real Estate Group, to offer tax abatements on the lots sold in Section I. On October 16, 2007, the developer submitted a request for a one year extension of the RDA. In response, the Redevelopment Commission approved the extension request on October 19, 2007 by Resolution Number 2389 and gave it a favorable recommendation to the Common Council. On October 22, 2007, the Common Council approved Resolution Number 3806-07 which extended the RDA one year COMMUNITY DEVELOPMENT ECONOMIC DEVELOPMENT FINANCIAL SC PROGRAM PA ~IELA C. MEYER DONALD E. INKS MANAGEMENT 574/235-9660 5741235-9371 EuzaeerH LEONARD FAX: 574/235-9697 574/235-9371 South Bend Redevelopment Council RE: Cooreman Real Estate Group, Incorporated (The Villas at Lake Blackthorn -Section I) Apri125, 2008 Page 2 through November 11, 2008. At the time the extension request was submitted it was understood that the developer would return this year to submit a petition for a new five-year tax abatement to allow the developer time to complete the sale of all lots in Section I of the subdivision. Fifty-one lots are available in Section I which has a total of one hundred one home sites. The entire subdivision of The Villas at Lake Blackthorn is made up of Sections I and II. The subdivision is located on approximately 56 acres with a large lake, a gazebo park, and another small year around pond. Homes in Section I average 1800 square feet in area with three bedrooms, two baths and a two car garage. The average value of the homes in Section I is $250,000. Section II has a separate tax abatement. Taxes to be abated during the five-year (S) abatement period are estimated at $10,219 per home. The taxes to be paid during the five-year (5) abatement period for each home are estimated at $14,960. Total taxes to be abated for the 51 houses during the five (5) year abatement period are estimated at $521,169. Total taxes to be paid during the five (5) year abatement period for the 51 houses are estimated at $762,960. ABATEMENT QUALIFICATION A review of the tax abatements previously granted finds that the petitioner has been associated with or been granted the following previous tax abatements. Term/Type Resolution No. Date 5-year real property 3138-02 December 9, 2002 5-year real property 3223-03 August 11, 2003 1 year extension (for Section I) 3806-07 October 22, 2007 5-yeat real property Pending for Section II 2. The Building Commissioner has reviewed the petition and finds the property to be properly zoned for the proposed project. A review of the South Bend Redevelopment designation areas finds that the property is located in the Airport Economic Development Area which is a Tax Incremental Allocation Area; therefore, approval of the tax abatement petition by the South Bend Redevelopment Commission is required.. 4. A review of the Tax Abatement Ordinance No. 9394-03 finds that the petition meets the qualifications fora (5) five-year residential tax abatement under Section 2-77.1, Single Family Residential Construction. In this particular case, the term of the new RDA will be made consecutive with the term of the existing RDA i.e. from November 12, 2008, through November 11, 2013. 5 YEAR 25-Apr-08 COOREMAN REAL ESTATE GROUP, INC. The Villas At Blackthorn -Section I South Bend German Township Residential Real Property Tax Abatement Schedule" Estimated Project Cost: Assessed Value: STRUCTURE (assume 85% of project cost) LAND (assume $10,000) Gross Assessed Value Less Mortgage Exemption Less Standard Homeowners Deduction Base Assessed Value $250, 000.00 Total Taxes Tax Abated** Tax Paid""" 212,500.00 212,500.00 212,500.00 10,000.00 N/A N/A 222,500.00 212,500.00 212,500.00 (3,000.00) (3,000.00) (3,000.00) (35,000.00) (35,000.00) (35,000.00) 184, 500.00 174, 500.00 174, 500.00 Less Maximum Abatement Deduction Less Non-Abated Amount Plus Land Assessed Value Net Assessed Value Prooerty Taxes: Assume constant tax rate of N/A N/A (74,880.00) N/A (99,620.00) N/A N/A N/A 10,000.00 184,500.00 74,880.00 109,620.00 5.1376% 5.1376% 5.1376% Gross Tax (tax rate x net assessed value) 9,478.87 3,847.03 5,631.84 Less SRTC: 21.7293% (2,059.69) (835.93) (1,223.76) Less Homestead Credit: 32.1230% (2,383.26) (967.26) (1,416.01) Net Tax 5,035.92 2,043.84 2,992.07 Year Net Assessed Value Total Taxes Due Tax Abated Tax Paid 1 184,500.00 5,035.92 2,043.84 2,992.07 2 184,500.00 5,035.92 2,043.84 2,992.07 3 184,500.00 5,035.92 2,043.84 2,992.07 4 184,500.00 5,035.92 2,043.84 2,992.07 5 184,500.00 5,035.92 2,043.84 2,992.07 5 year totals: 25,179.60 10,219.21 14,960.34 "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. ""Tax Abated is capped at $74,880 of assessed value of structures only and does not include land assessed value. "*Tax Paid is calculated using the difference between actual assessed value of structure and maximum abated portion of $74,880 and adding back the land assessed value. ESTIMATED TOTAL TAX REVENUE COOREMAN REAL ESTATE GROUP, INC. The Villas at Lake Blackthorn -Section I 51 lots LAND" BUILDINGS** TOTAL Year 1 $20,843 $152,592 $173,435 Year 2 $20,843 $152,592 173,435 Year 3 $20,843 $152,592 173,435 Year4 $20,843 $152,592 173,435 Year 5 $20,843 $152,592 173,435 Total $104,215 $762,960 $867,175 *Current tax levy `"fncfudes 51 houses. CITY OF SOUTH BEND, INDIANA PETITION FOR RESIDENTIAL TAX ABATEMENT CONSIDERATION The undersigned owner(s) of real property, located within the City of South Bend, hereby petition the Common Council of the City of South Bend for Residential Real Property tax abatement consideration and pursuant to I.C., 6-1.1-12.1-1, et se .and South Bend Municipal Code Sec. 2- 76 et seg•, for this petition states the following: 1. Describe the proposed construction project, including information about square footage, numbers of rooms, amenities, the amount of land to be used, the proposed use of the improvements, and a general statement as to the importance of the project (use additional sheet for long project descriptions): Fifty One (51) homes in The Villas at Lake Blackthorn Section I - a single family home subdivision with a total of 101 home-sites, located on approximately 56+/- acres, with a large lake, a gazebo park, and another small year round pond. Homes average 1800 sq. feet, 3bdr/2bath/2car garage with an average market value of $250,000. The property has an existing abatement - Resolution number 3806-07 dated 10/22/2007, which expires in November 2008. This petition is a request to renew the abatement status for an additional 5 years. 2. Estimate the dollar value of the construction project (do not include land cost): $12,750,000.00 The real property for which tax abatement consideration is petitioned (Property) is owned or to be owned by the following individual(s) 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 Cooreman Real Estate Group, Inc. 4404 Technology Drive, South Bend, IN 46628 4. The commonly known address of the Property is: The Villas at Lake Blackthorn Section I and having tax key numbers and street addresses as on attached Exhibit D. A legal description of said Property(s) is attached hereto, marked Exhibit A, and is incorporated herein. 6. A map and/or plat indicating the location of the Property(s) is attached hereto, marked Exhibit B, and is incorporated herein. 7. The current assessed valuation of the property before construction is: See Exhibit D. 8. Photographs of the Property, taken within two (2) weeks of the filing of this petition, are attached hereto, marked Exhibit C, and incorporated herein. 9. List the real property taxes paid at the location during the previous two years, whether paid by the current owner or a previous owner: See Exhibit D. Petition for TA VLB SEC I -Page 1 of 7 10. What is your best estimate of the after completion market value of the properly: $15,150,000 (Fifteen Million One Hundred Fifty Thousand). 11. No building permit has been issued for construction on the properly in connection with the improvement in question as of the date of filing of this petition. The building permit may be issued after the South Bend Common Council has approved the Declaratory Resolution. (Tax abatement is not available if a building permit has already been issued). The signature below is verification of this statement. 12. List other anticipated public financing for the project, including any assistance to be sought or already authorized through the United States Department of Housing and Urban Development funds from the City of South Bend, South Bend Housing Authority, Housing Assistance Office, St. Joseph County Housing Consortium or other public financial assistance, including but not limited to public works improvements: N/A 13. Describe how the property has become undesirable for or impossible of normal development because of a lack of development, cessation of growth, deterioration of improvements or other factors which have impaired values and prevent a normal development of the property: Economic market factors, including the tightening of the credit market, and the decline of real estate property values, have compounded the impact of the higher than comparable city taws in this subdivision. Additionally, the majority of the unsold property in this neighborhood is located adjacent to the US 31 Bypass - a negative that has proven to be an immitigable factor in the slow growth of sales. 14. The current use of the property is Residential and the current zoning is RES A. 15. The property is located in the following Allocation Area (if any) declared and confirmed by the South Bend Redevelopment Commission (requiring approval of the tax abatement by the Redevelopment Commission): N/A 16. The following person should be contacted as the petitioner's agent regarding additional information and public hearing notifications: Steve Cooreman, President, Cooreman Real Estate Group, Inc., or Donna Chamblee, Vice President, Operations, Cooreman Real Estate Group, Inc. 4407 Technology Drive, South Bend, IN 46628 Telephone: 574.277.0116 WHEREFORE, Petitioner has paid the required fee of $50.00 and requests that the Common Council of the City of South Bend, Indiana, adopt a declaratory resolution designating the area described herein as a residentially distressed area for the purposes of real property tax abatement consideration, and after publication of notice and public hearing, determine that the qualifications for a residentially distressed area have been met and confirm such resolution. Name of Property Owner(s): Cooreman eal Estate Gr up, Inc. By: (Signat e) Steve Cooreman, President FilCd lY~l G!^rk'~ Office APR 2 3 2008 dGHM VGGRDE CRY CLERK, S0. BEP'D, IN. Petition for TA VLB SEC I -Page 2 of 7 EXI~BIT "A" LEGAL DESCRIPTION: THE VILLAS AT LAKE BLACKTHORN, SECTION ONE A PART OF THE NORTHWEST, SOUTHWEST, AND SOUTHEAST QUARTERS OF SECTION 18, TOWNSHIP 38 NORTH, RANGE 2 EAST, GERMAN TOWNSHIP, CITY OF SOUTH BEND, ST. JOSEPH COUNTY, INDIANA BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT THE NORTHEAST CORNER OF THE SOUTHEAST QUARTER OF SECTION 18, TOWNSHIP 38 NORTH, RANGE 2 EAST, 5.8 FEET SOUTH OF A 2" IRON MONUMENT WITH A CAP LABELED "SEC. CORNER"; THENCE SOUTH 89 DEGREES 49 MINUTES 49 SECONDS WEST, A DISTANCE OF 1549.41 FEET TO THE WEST RIGHT OF WAY OF U.S. ROUTE 31 AND THE POINT OF BEGINNING; THENCE ALONG SAID WEST RIGHT OF WAY THE FOLLOWING NINE (9) COURSES: (1) SOUTH 17 DEGREES 36 MINUTES 51 SECONDS WEST, A DISTANCE OF 85.66 FEET; (2) THENCE SOUTH 25 DEGREES 35 MINUTES 58 SECONDS WEST, A DISTANCE OF 409.65 FEET TO THE POINT OF CURVATURE OF ANON-TANGENT CURVE, CONCAVE TO THE EAST, HAVING A RADIUS OF 5950.00 FEET, A CENTRAL ANGLE OF 8 DEGREES 59 MINUTES 58 SECONDS, AND A CHORD OF 933.60 FEET BEARING SOUTH 12 DEGREES 00 MINUTES 23 SECONDS WEST; (3) THENCE SOUTH ALONG SAID RIGHT OF WAY CURVE, A DISTANCE OF 934.56 FEET; (4) THENCE SOUTH 16 DEGREES 02 MINUTES 40 SECONDS WEST, A DISTANCE OF 211.20 FEET; (5) THENCE SOUTH 38 DEGREES 30 MINUTES 20 SECONDS WEST, A DISTANCE OF 481.60 FEET; (6) THENCE NORTH 0 DEGREES 45 MINUTES 39 SECONDS EAST, A DISTANCE OF 114.32 FEET TO THE NORTHEAST CORNER OF LAND DESCRIBED IN DEED RECORD BOOK 741, PAGES 475-477, AS RECORDED IN THE OFFICE OF RECORDER OF ST. JOSEPH COUNTY, INDIANA; (7} THENCE SOUTH 35 DEGREES 15 MINUTES 20 SECONDS WEST, A DISTANCE OF 401.95 FEET; (8) THENCE SOUTH 2 DEGREES 36 MINUTES 09 SECONDS WEST, A DISTANCE OF 256.87 FEET; (9) THENCE SOUTH 85 DEGREES 31 MINUTES 45 SECONDS WEST, A DISTANCE OF 199.30 FEET TO THE SOUTHEAST CORNER OF LAND DESCRIBED IN INSTRUMENT NUMBER 8717366, AS RECORDED IN THE OFFICE OF SAID RECORDER; THENCE ALONG THE EAST LINE OF SAID LAND, NORTH 0 DEGREES 15 MINUTES 44 SECONDS EAST, A DISTANCE OF 181.22 FEET; THENCE ALONG THE NORTH LINE OF SAID LAND, NORTH 89 DEGREES 48 MINUTES 51 SECONDS WEST, A DISTANCE OF 323,58 FEET; THENCE NORTH 0 DEGREES 03 MINUTES 20 SECONDS WEST, A DISTANCE OF 500.00 FEET; THENCE NORTH 89 DEGREES 48 MINUTES 51 SECONDS WEST, A DISTANCE OF 2.00 FEET; THENCE NORTH 0 DEGREES 03 MINUTES 20 SECONDS WEST, A DISTANCE OF 100.00 FEET; THENCE SOUTH 89 DEGREES 48 MINUTES 51 SECONDS EAST, A DISTANCE OF 2.00 FEET; THENCE NORTH 0 DEGREES 03 MINUTES 20 SECONDS WEST, A DISTANCE OF 500.00 FEET; THENCE NORTH 89 DEGREES 48 MINUTES 51 SECONDS WEST, A DISTANCE OF 2.00 FEET; THENCE NORTH 0 DEGREES 03 MINUTES 20 SECONDS WEST, A DISTANCE OF 100.00 FEET; THENCE SOUTH 89 DEGREES 48 MINUTES 51 SECONDS EAST, A DISTANCE OF 2.00 FEET; THENCE NORTH 0 DEGREES 03 MINUTES 20 SECONDS WEST, A DISTANCE OF 800.00 FEET TO THE SOUTHWEST CORNER OF LOT "A" AS DEPICTED IN THE REPEAT OF RICHTER'S ORANGE ROAD MINOR SUBDIVISION, DESCRIBED IN INSTRUMENT NUMBER 8525803, AS RECORDED IN THE OFFICE OF SAID RECORDER; THENCE ALONG THE SOUTH LINE OF SAID LOT "A", NORTH 89 DEGREES 50 MINUTES 13 SECONDS EAST, A DISTANCE OF 100.00 FEET; THENCE ALONG THE EAST LINE OF SAID LOT "A", NORTH 0 DEGREES 03 MINUTES 20 SECONDS WEST, A DISTANCE OF 251.56 FEET TO THE POINT OF CURVATURE OF ANON-TANGENT CURVE, BEING THE CENTERLINE OF ORANGE ROAD, CONCAVE TO THE NORTH, HAVING A RADIUS OF 335.00 FEET, A CENTRAL ANGLE OF 19 DEGREES 18 MINUTES 44 SECONDS, AND A CHORD OF 112.38 FEET BEARING NORTH 67 DEGREES 34 MINUTES 35 SECONDS EAST; THENCE EAST ALONG SAID CENTERLINE CURVE, A DISTANCE OF 112.92 FEET; THENCE SOUTH 0 DEGREES 11 MINUTES 04 SECONDS EAST, A DISTANCE OF 70.83 FEET TO THE SOUTHWEST CORNER OF LOT 1 OF BOGUE'S MAJOR SUBDIVISION, DESCRIBED IN INSTRUMENT NUMBER 8932797, AS RECORDED IN THE OFFICE OF SAID RECORDER AND THE NORTHWEST CORNER OF LAND DESCRIBED IN INSTRUMENT NUMBER 9331954, AS RECORDED IN THE OFFICE OF SAID RECORDER; THENCE ALONG THE BOUNDARY OF SAID LAND THE NEXT THREE (3) COURSES; (1) SOUTH 26 DEGREES 45 MINUTES 04 SECONDS EAST, A DISTANCE OF 66.96 FEET; (2) THENCE NORTH 89 DEGREES 49 MINUTES 49 SECONDS EAST, A DISTANCE OF 556.25 FEET; (3) THENCE NORTH 0 DEGREES 45 MINUTES 39 SECONDS EAST, A DISTANCE OF 80.00 FEET TO THE NORTH LINE OF THE SOUTH HALF OF SECTION 18, TOWNSHIP 38 NORTH, RANGE 2 EAST; THENCE ALONG SAID NORTH LINE NORTH 89 DEGREES 49 MINUTES 49 SECONDS EAST, A DISTANCE OF 729.56 FEET TO THE POINT OF BEGINNING. EXCEPTING THAT PORTION WHICH INCLUDES LOTS 1 THROUGH 5 INCLUSIVE, OF THE VILLAS AT LAKE BLACKTHORN SECTION ONE, AS SHOWN ON THE FINAL PLAT, RECORDED APRIL 21, 2003, IN THE OFFICE OF THE RECORDER OF ST. JOSEPH COUNTY, AS INSTRUMENT #0323151. SAID DESCRIBED TRACT CONTAINING 56.25 ACRES, MORE OR LESS. SUBJECT TO ALL EASEM NTS.AND RIGI3T OE l'VA1~OE.RECO ~~~ to t.:~c, t,~~ ul~c; APR 2 3 2008 JOHN VOORDE ~"' ~~ FFiK, S0. BE11D, IN. Petition for TA VLB SEC I -Page 3 of 7 EXI~BIT "B" Adarr~ Rd. T' Wat,nvud ~ att Kn~olL~ ~c BIackthom US 3 t t!'~llas at LaScc ~~ ~ Blx~kthurn Bdctc Rd. i CiC^rt~i<~tc! Rd. r Entr~ce ~ .:. ~~~ •ti .,~S2p ~~~ 1 ~ ahaded lots ' -_ ~ ~ ~ ~~ ~soltl bts t ~x ~ ~ a8 ' ~ ! ~~ v ,~*~ 7,•,v~ `_ ~b~n~ll'sold ,S4 3, ~{ ~J a• ~~ ~ IotsUh ~huild~ ---- ~ ' ~ '. ~d9 ~~ ~. _--t 3g r~. Ey',N~';'6 ~ lpermrts pu0e'd~ 4b0 ~ ~.~ ~a !-`•"~ ~ 4Q ~ ~,~ 24~ ~" 1 ~.. ''~~ ttltltL~JlIl~ttt?. s~ 1 21 b_ 100 Tlit 1(F.f, Y, ~' rirn ~ 1 - ~ ... G1 ' `t ~ 18 19 ~, r+arir~wi ~~~ 9b~~ ! 17 ~_ ~~ i 4J ~~~~ '-~~ ~ uxs~cectxaarr ~wrecu:rf IS ~~ ltl ttJfl.tit r~ 69 ~ >r y` "~ :~1; -f (i. Dedoid-P,ri, ;7 =gl ~ I 12 71 _ r`9Qi?, 11 i 71 ~ ~ "~8g ~~"~.,4~ J '`~ 7J.~~'1~i ${ ~,8$~Kb,x7 ~~y~ g `SeCtl~n;~jr . a '- - - - ~_ ~-_._."_~..:a ..I 7s ~ ~ --~ ~pp_ ~. ~r~ ~ S 77 ~ ~ 80%x!_- i '~78 79 ' ~ ;~ Potentiai'L~~'1'~S ;excluded W ~ liege ~ ~ ~ y - oppes .~ . -~. __ ` ~\ '. ~~29 ~' f"r ~'; C.J ~Gj O ~~ O ~ e ~; ~ N ~ ~v ~~ ~ ~ ,~= y O 1 V v Petition for TA VLB SEC I -Page 4 of 7 EXI~BIT "C" t~i;~.~ i~t Ct;r~'~ ~~rg~e APR 2 3 2008 ~. _ Petition for TA VLB SEC I -Page 5 of 7 EXHIBIT "D" LOT # STREET ADDRESS KEY # Assessed Value 2007 Taxes payable 2007 Taxes payable 2006 VLB lot 6 4622 Lake Blackthorn Drive 025-1010-017624 4200 165.74 148.78 6616 Dockside Drive VLB lot 7 6568 Dockside Drive 025-1010-017625 5700 224.93 205.08 VLB lot 8 4636 Starboard Drive 025-1010-017626 4100 161.79 148.78 VLB lot 9 4644 Starboard Drive 025-1010-017627 3300 130.00 120.64 VLB lot 11 4710 Starboard Drive 025-1010-017629 3400 134.17 124.66 VLB lot 12 4720 Starboard Drive 025-1010-017630 3700 146.01 132.7 VLB lot 13 4728 Starboard Drive 025-1010-017631 3700 146.10 132.70 VLB lot 15 4746 Starboard Drive 025-1010-017633 3600 152.06 128.68 VLB lot 17 4814 Starboard Drive 025-1010-017635 3900 153.9 140.74 VLB lot 18 4822 Starboard Drive 025-1010-017636 5000 197.3 180.96 6506 Still Waters Court VLB lot 19 6510 Still Waters Court 025-1010-017637 4200 135.74 148.78 VLB lot 21 6507 Still Waters Court 025-1010-017639 3700 146.01 132.70 VLB lot 26 4938 Stern Line Court 025-1010-017644 3400 134.17 124.66 VLB lot 27 4946 Stern Line Court 025-1010-017645 3800 149.95 136.72 VLB lot 28 4954 Stern Line Court 025-1010-017646 3800 149.95 136.72 VLB lot 29 5004 Stern Line Court 025-1010-017647 3700 146.01 132.70 VLB tot 32 5011 Stern Line Court 025-1010-017650 4700 185.47 168.88 6505 Cudd Court VLB lot 37 4935 Stern Line Court 025-1010-017655 3400 134.17 124.66 VLB lot 39 4915 Stern Line Court 025-1010-017657 4100 161.79 148.78 VLB lot 40 6535 Leewa Drive 025-1010-017658 4400 173.63 156.82 4906 Masthead Court VLB lot 43 5006 Masthead Court 025-10i 0-017661 3800 149.95 136.72 VLB lot 46 5015 Masthead Court 025-1010-017664 3600 142.06 128.68 VLB lot 49 4917 Masthead Court 025-1010-017667 3500 138.11 128.68 VLB lot 54 5002 Bow Line Court 025-1010-017672 4000 157.85 144.76 VLB lot 55 5010 Bow Line Court 025-1010-017673 4400 173.63 156.82 VLB lot 56 5013 Bow Line Court 025-1010-017674 4200 165.74 148.78 VLB lot 57 5003 Bow Line Court 025-1010-017675 3600 142.06 128.68 VLB lot 59 4925 Bow Line Court 025-1010-017677 3400 134.17 120.64 VLB lot 60 4919 Bow Line Court 025-1010-017678 3400 134.17 124.66 VLB lot 69 4738 Portside Drive 025-1010-017687 2500 98.66 88.46 VLB lot 72 4712 Portside Drive 025-1010-017690 47800 1886.27 ? VLB lot 73 4704 Portside Drive 025-1010-017691 4500 177.58 ? VLB !ot 75 4627 Pier Court 025-1010-017693 4700 185.47 168.88 VLB lot 77 4611 Pier Court 025-1010-017695 3900 153.90 136.72 VLB lot 78 4603 Pier Court 025-1010-017696 3500 138.11 124.66 VLB lot 79 4604 Pier Court 025-1010-017697 3600 142.06 128.68 VLB lot 80 4614 Pier Court 025-1010-017698 3500 138.11 124.66 VLB lot 81 4624 Pier Court 025-1010-017699 4700 185.47 168.88 VLB lot 82 4632 Pier Court 025-1010-0177 5500 217.04 197.04 Petition for TA VLB SEC I -Page 6 of 7 6626 Dockside Drive VLB lot 85 6613 Dockside Drive 025-1010-017703 69100 2726.81 2778.68 VLB tot 88 4645 Starboard Drive 025-1010-107706 5000 197.30 180.96 VLB lot 89 4703 Starboard Drive 025-1010-017707 4500 177.58 160.86 VLB lot 90 4711 Starboard Drive 025-1010-017708 4600 181.53 164.88 VLB lot 91 4719 Starboard Drive 025-1010-017709 5200 205.20 184.98 VLB lot 93 6530 Lake Crest Circle 025-1010-017711 52500 2071,75 ? VLB lot 95 6521 Lake Crest Circle 025-1010-017713 56900 2245.38 ? VLB lot 96 4805 Starboard Drive 025-1010-017714 5100 201.25 184.98 *VLB 15` Re-plat lot 2 former) lot 98 4821 Starboard Drive Formerly 025-1010-017716 5200 *VLB 15` Re-plat lot 1 former) lot 996 4829 Starboard Drive Formerly 025-1010-017717 "5200 382.78 172.92 VLB lot 101 6530 Leewa Drive 025-1010-017719 62800 2478.2 ? VLB lot 106 6634 Leewa Drive 025-1010-017724 55400 2186.18 ? 529400 20843.26 9059.80 * NOTE: These 2 parcels were recently re-platted and do not have new key numbers assigned yet. The key numbers listed here reflect the previously assigned ones for lots 98 and 99B. The Assessed Value is an estimate based on other similar lake lots still owned by the Developer. The disparity in the AV of similar vacant lots is due to the differences between the AV and the tax rates assigned to the Developer owned parcels vs. the market rates assigned once the lot is sold. ~li^C I1~ ~~drl'~~~~ ~~~:Liv APR 2 3 2008 Petition for TA VLB SEC I -Page 7 of 7