04-10-72 Council Meeting Minutes

Home Browse Search

REGULAR MEETING APRIL 10, 1972 REGULAR MEETING - CONTINUED RESOLUTIONS RESOLUTION NO. 303 -72 A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, ST. JOSEPH COUNTY, INDIANA IN THE MATTER OF THE ROYAL INNS OF AMERICA, INC. WHEREAS, the Royal Inns of America, Inc. has submitted its intention to the Economic Development Commission of South Bend to build a facility on the approximate four acre tract located in the City of South Bend under the R -66 Urban Renewal Plan designated for this purpose, bounded by the extension of Western Avenue, East Wayne Street, East Jefferson Street and the extension of St. Joseph Street, as proposed in the Urban Renewal Plan. WHEREAS, the Royal Inns of America, Inc., has submitted a statement of public service to the above Economic Development Commission of the City of South Bend and said Commission has for- warded this statement of public service with their approval and comments to the South Bend School Corporation, a copy of which is attached, and WHEREAS, the affirmative response and analysis of the South Bend School Corporation has been received as presented to the Clerk of the City of South Bend and attached, and WHEREAS, the statement of public service by Royal Inns of America, Inc., and the Economic Devel- opment Commission of the City of South Bend have been submitted for approval and comments to the Area Plan Commission of St. Joseph County and the affirmative action and comments of the Area Plan Commission have been received by the Clerk of the City of South Bend as attached, and WHEREAS, the requirements of the application as described in the "Municipal Economic Development Act of 1965 of the State of Indiana" as amended have therefore been met to this point, including a projection of the number of jobs created, the estimated payroll created and the approximation of the cost of the land and construction, and the impact on utilities and fire and police facilities of the City of South Bend with the approvals of the school corporation and the Area Plan Commission having jurisdiction of the area in which the propcsed facility is to be built, and WHEREAS, the plan meets the desire of the Redevelopment Commission of the City of South Bend, WHEREAS, now the Royal Inns of America, Inc., seeks approximately $2,400,000 to $2,800,000 from an issue of revenue bonds of the Economic Development Commission of the City of South Bend to be signed by its Mayor and by its city clerk and further desires to enter into a lease of 20 to 25 years duration to be known as a net net net lease sufficient to pay the principal and interest of these bonds and obtain title at the end of the lease, and WHEREAS, by virtue of the net net net lease, the Royal Inns of America, Inc., indicates its intention to pay all expenses of the operation, maintenance, insurance, property taxes, whatever of the facility, THEREFORE, BE IT RESOLVED BY THE COMMON COUNCIL OF THE CITY OF SOUTH BEND that the statement of public service on the part of the Economic Development Commission of the Area Plan Commission any the South Bend City School Corporation be accepted and approved, and THEREFORE BE IT RESOLVED that the South Bend City Common Council authorize the Economic Develop- ment Commission of the City of South Bend to proceed to make preliminary agreements with the proposed lessee, the Royal Inns of America, Inc., in the nature of a conditional commitment to enter into a lease with the Royal Inns of America, Inc., and THEREFORE, BE IT RESOLVED that the Economic Development Commission of the City of South Bend shall, as soon as the new lease form is properly prepared, submit the same to the Clerk of the City of South Bend to be prepared by a member of the Common Council as a proposed ordinance for the acceptance of same and issuance of revenue bonds to cover the amount of money needed. /s/ Peter J. Nemeth Member of the Common Council A public hearing was held on this resolution at this time. Mr. Lloyd Taylor, Executive Director of the Redevelopment Commission, introduced Mr. Karl King, President of the Economic Development Commission. Mr. King asked Mrs. Irene Gammon, City Clerk, to read two exhibits attached to the resolution as follows: m March 29, 1972" Mr. Karl King, President Economic Development Commission of South Bend County -City Building South Bend, Indiana 46601 Dear Mr. King: As you may know, Royal Inns of America is planning to build a hotel in downtown South Bend in the very near future. Our plans call for a 150 room Royal Inn with a restaurant and cocktail lounge. In addition, our plans call for a swimming pool, a therapy pool, two sauna baths, and an exercise room. The project cost is estimated to be approximately four to four and one -half million dollars.