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South Bend Redevelopment Commission <br />227 West Jefferson Boulevard, Room 1308, South Bend, Indiana <br />Redevelopment Commission Agenda Item <br />D ATE : 03/24/2025 <br />FROM: Joseph Molnar – Assistant Director of Growth & <br />Opportunity <br />SUBJECT: Seventh Amendment to Real America Purchase <br />Agreement <br />Funding Source* (circle) River West; River East; South Side; Douglas Road; West Washington; RDC General; Riv. East Res. <br />* Funds are subject to the City Controller's determination of availability; if funds are unavailable, as solely determined by the City Controller, then the <br />authorization of the expenditure of such funds shall be void and of no effect. <br />PURPOSE OF REQUEST: Extension of Closing Date Real America Purchase Agreement <br />SPECIFICS: In 2021, Real America and the RDC approved an agreement to sell RDC owned real <br />estate at the northwestern corner of South St. and Lafayette Blvd. for the construction of <br />apartment units at a variety of cost points. <br />The fifth amendment approved by the RDC on February 5, 2024, separated out the market <br />rate and Low-Income Housing Tax Credit (“LIHTC”) parcels for separate closing dates. The <br />LIHTC parcel is currently under construction with anticipated opening of 60 affordable income <br />restricted apartments by end of 2025. <br />The sixth amendment extended the closing for the market rate parcel only for no later than <br />March 31, 2025. This was due to environmental abatement work performed on the market <br />rate parcel projected to be completed no later than January 2025 with final reporting being <br />provided in March 2025. <br />Due to unforeseen circumstances, and the environmental abatement becoming larger in scope <br />than initially intended, the environmental abatement was not finished until February 2025. <br />The work is complete, total costs being approximately $250,000 fully funded by the Indiana <br />Brownfields Program (“IBP”) and the Developer is waiting for final release in the form of a <br />Comfort Letter from the IBP. That release is expected for April 2025. After that release is <br />granted, the Developer intends to proceed with closing. This Seventh Amendment extends the <br />closing dates for the Market Rate parcels until July 31, 2025. No other substantive changes are <br />considered. <br />Staff requests approval. <br />_________________________Pres/V-Pres <br />ATTEST: __________________Secretary <br />Date: ____________________ <br /> APPROVED Not Approved <br />SOUTH BEND REDEVELOPMENT COMMISSION <br />March 27, 2025 <br />