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DEVELOPMENT AGREEMENT
<br />This Development Agreement (this “Agreement”), is effective as of March 12, 2026 (the
<br />“Effective Date”), by and between the City of South Bend, Department of Redevelopment, acting
<br />by and through its governing body, the South Bend Redevelopment Commission (the
<br />“Commission”), and KCG Development LLC a Florida Limited Liability Company, with its
<br />registered address being 9311 N Meridian Street, Suite 100, Indianapolis, IN 46260 (the
<br />“Developer”) (each, a “Party,” and collectively, the “Parties”).
<br />RECITALS
<br />WHEREAS, the Commission exists and operates under the provisions of the
<br />Redevelopment of Cities and Towns Act of 1953, as amended (I.C. 36-7-14 et seq., the “Act”);
<br />and
<br />WHEREAS, the Act provides that the clearance, replanning, and redevelopment of
<br />redevelopment areas are public uses and purposes for which public money may be spent; and
<br />WHEREAS, the Commission owns certain vacant and inactive real property described in
<br />Exhibit A, which, concurrently with this Agreement, the Commission is agreeing to sell to
<br />Developer through a Real Estate Purchase Agreement dated effective June 12, 2025 (the “Purchase
<br />Agreement”), inclusive of vacant lots and all fixtures, easements, appurtenances, hereditaments,
<br />rights, powers, privileges, and other improvements thereon and/or appurtenant thereto; and
<br />WHEREAS, in exchange for the discounted purchase price for the real property described
<br />in Exhibit A, the Purchase Agreement contains certain post-closing development obligations that
<br />the Developer must meet; and
<br />WHEREAS, the Developer applied for and was awarded low-income housing tax credits
<br />to construct a multi-family building (the “Project”) in accordance with the project plan (the
<br />“Project Plan”) attached hereto as Exhibit B; and
<br />WHEREAS, the Developer Property is located within the corporate boundaries of the City
<br />within the South Side Development Area (the “Area”); and
<br />WHEREAS, the Commission has adopted (and subsequently amended, from time to time)
<br />a development plan, which contemplates development of the Area consistent with the Project; and
<br />WHEREAS, the Commission believes that accomplishing the Project as described herein
<br />is in the best interests of the health, safety, and welfare of the City and its residents; and
<br />WHEREAS, the Commission desires to facilitate and assist the Project by undertaking the
<br />local public improvements stated in Exhibit C (the “Local Public Improvements”) and the
<br />financing thereof, subject to the terms and conditions of this Agreement and in accordance with
<br />the Act.
<br />NOW, THEREFORE, in consideration of the mutual promises and obligations stated in
<br />this Agreement, the adequacy of which is hereby acknowledged, the Parties agree as follows:
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