Resolution No. 3626 Approving Development Agreement (J.C. Hart Company) - Signed

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South Bend Redevelopment Commission 227 West Jefferson Boulevard, Room 1308, South Bend, Indiana Redevelopment Commission Agenda Item D ATE : 1/6/25 FROM: Caleb Bauer, Executive Director of Community Investment SUBJECT: Resolution No. 3626 & J.C. Hart Development Agreement Funding Source* (circle) River West; River East; South Side; Douglas Road; West Washington; RDC General; Riv. East Res. * Funds are subject to the City Controller's determination of availability; if funds are unavailable, as solely determined by the City Controller, then the authorization of the expenditure of such funds shall be void and of no effect. PURPOSE OF REQUEST: Resolution approving the Development Agreement for J.C. Hart Company, Inc., supporting redevelopment project in the Riverwalk Allocation Area SPECIFICS: The Commission will consider a resolution that, if adopted, would approve a Development Agreement with J.C. Hart Company, Inc. (the “Developer”) to provide support of a transformative redevelopment project at a property on the west bank of the St. Joseph River (the southern half of the Crowe campus). The Developer will demolish the existing south building and construct 2 new multi-family residential buildings (291 total apartments) and a 398-space parking garage. The Development Agreement specifies the funding support provided by the Commission to the Developer will be in the form of Pledged TIF Revenues, which will consist of a percentage of incremental property tax revenue for the Riverwalk Allocation Area generated by the development. The bond will generate $14,845,000 in net proceeds at closing to unlock the project with $29,748,550 in debt service obligations over 20 years, funded entirely from property tax increment generated by the development. The City will also undertake the necessary public infrastructure improvements including utilities and streets to support the Project. The street network established and utilities installed will also complement future development in the River Glen office park area to the south. In the event of a material default by the Developer, the City would be entitled to be reimbursed for its actual costs expended in furtherance of the necessary public improvements. The Developer commits to invest no less than $61.5 million and complete the project by the end of 2028. _________________________Pres/V-Pres ATTEST: __________________Secretary Date: ____________________ APPROVED Not Approved SOUTH BEND REDEVELOPMENT COMMISSION January 9, 2025 