HomeMy WebLinkAboutConfirming Tax Abatement - The Tower at Washintgon Square LLC 211 W. Washington St. (4 Year Real Property)Attes
RESOLUTION
4361 -14
Passed by the Common Council of the City of South Bend, Indiana
May 12, 14
2Q_ -.
Presented by me to the Mayor of the City of South Bend, Indiana
May 13, 20 14
City Clerk
dent of Common Council
Approved and signed by me /A / / 20 12 .
City Clerk
RESOLUTION NO. q 310_ I
A RESOLUTION CONFIRMING THE ADOPTION OF A DECLARATORY
RESOLUTION DESIGNATING CERTAIN AREAS WITHIN THE CITY OF
SOUTH BEND, INDIANA, COMMONLY KNOWN AS
211 West Washington Street
AS AN ECONOMIC REVITALIZATION AREA FOR
PURPOSES OF A FOUR (4) YEAR REAL
PROPERTY TAX ABATEMENT FOR
THE TOWER AT WASHINGTON SQUARE LLC
WHEREAS, the Common Council of the City of South Bend, Indiana, has adopted a
Declaratory Resolution designating certain areas within the City as Economic Revitalization
Areas for the purpose of tax abatement consideration; and
WHEREAS, a Declaratory Resolution designated the area commonly known as 211 West
Washington, South Bend, Indiana, and which is more particularly described as follows:
Lots 239 & 240 &
Vac Alley W & Adj
OP
and which has Key Number 018 - 1008 -0321 be designated as an Economic Revitalization Area;
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 an economic
revitalization area have been met.
NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of South
Bend, Indiana, as follows:
SECTION I. The Common Council hereby confirms its Declaratory Resolution designating the
area described herein as an Economic Revitalization Area for the purposes of tax abatement.
Such designation is for Real property tax abatement only and is limited to two (2) calendar years
from the date of adoption of the Declaratory Resolution by the Common Council.
SECTION II. The Common Council hereby determines that the property owner is qualified for
and is granted Real property tax deduction for a period of four (4) years as shown by the
attachment pursuant to Indiana Code 6 -1.1- 12.1 -17 and further determines that the petition, the
Memorandum of Agreement between the Petitioner and the City of South Bend, and the
Statement of Benefits comply with Chapter 2, Article 6, of the Municipal Code of the City of
South Bend and Indiana Code 6- 1.1 -12 et sea.
SECTION III. This Resolution shall be in full force and effect from and after its adoption by the
Common Council and approved by the Mayor.
PRESENTED - -1 t-( I
NOI APPROYID
F."ed in Ciar%'a Offices
APR -7 Z014
JOAN VOC�ME
CITY CLERK, SOUTH SEND, IN
227 W. JEFFERSON BOULEVARD
SUITE 1400 S.
SOUTH BEND, IN 46601 -1830
CITY OF SOUTH BEND PETE BUTTIGIEG, MAYOR
COMMUNITY INVESTMENT
April 8, 2014 SCOTT FORD, EXECUTIVE DIRECTOR
Council Member Gavin Ferlic, Chairperson
Community Investment Committee
South Bend Common Council
4th Floor, County City Building
South Bend, IN 46601
RE: Commercial Real Property Tax Abatement Petition for:
The Tower at Washington Square LLC
Dear Council Member Ferlic:
PHONE: 574235 -9371
FAX: 574/235 -9021
Please find attached the Department of Community Investment's report on a Commercial
real property tax abatement petition from the above - referenced Petitioner for property
they intend to rehabilitate that is identified as 211 West Washington Street. 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, The Tower at Washington Square LLC . proposes to rehabilitate the building
at a cost of $3,000,000 over a two year period. A representative of the Petitioner will be
available to meet with the Committee on Monday, April 28, 2014.
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 -9335.
Sincerely,
Brock Zeeb
Director Economic Resources
Department of Community Investment
Attachments
cc: South Bend Common Council Members
Deputy Mayor Mark Neal
Scott Ford
Chris Fielding
PLANNING NEIGHBORHOOD ENGAGEMENT BUSINESS DEVELOPM ENT
JITIN KAIN PAMELA C. MEYER CHRIS FIELDING ECONOMIC DONALD E. E. SOURCES
INKS
227 W. JEFFERSON BOULEVARD
SUITE 1400 S.
SOUTH BEND, IN 46601 -1830
CITY OF SOUTH BEND PETE BUTTIGIEG, MAYOR
COMMUNITY INVESTMENT
SCOTT FORD, EXECUTIVE DIRECTOR
TAX ABATEMENT REPORT
TO: SOUTH BEND COMMON COUNCIL
FROM: KATHY HAHN
SUBJECT: REAL PROPERTY TAX ABATEMENT PETITION FOR:
The Tower at Washington LLC
DATE: April 8, 2014
PHONE: 574/235 -9371
FAX: 574/235 -9021
On April 7, 2014 , a petition for real property tax abatement consideration for property
identified as 211 West Washington Street was filed with the City Clerk by The Tower at
Washington LLC. Pursuant to Chapter 2, Article 6, Section 2 -82 of the Municipal Code
of the City of South Bend, this petition was referred to the Department of Community
Investment for purposes of investigation and preparation of a report determining whether
the area qualifies as an Economic Revitalization Area pursuant to I.C.6 -1,1 -12.1 and
whether all zoning requirements have been met.
The Department of Community Investment has reviewed the petition, investigated the
area, and makes the following report.
PROJECT SUMMARY
The petitioner intends to rehabilitate the Chase Tower building which they recently
purchased at tax sale. The cost to rehabilitate the facility is $3,000,000 over a two year
period. The petitioner will refurbish and renovate such building systems as elevators,
plumbing, and heating systems. The petitioner will complete work on the garae and
will install new windows. The petitioner will modernize the Office elevators. g
PLANNING NEIGHBORHOOD ENGAGEMENT BUSINESS DEVELOPMENT
JITBJKAIN PAMELA C. MEYER CHRIS FIELDING ECO DO RESOURCES
DONNALAL D E. INKS
RE: Tax Abatement for The Tower at Washington LLC
April 8, 2014
Page 2
The total taxes to be abated during the four year term are estimated at $30,658. Total taxes to be
paid during the four -year term are estimated at $1,039, 485.
Our municipal city Code does not target service industries for tax abatements. Therefore, approval
of this request would be an exception to our Code as this is a service business. The NAIC code for
this business is for real estate rental.
EMPLOYMENT IMPACT
Per the petition, it is estimated that the project will create 1 new, permanent full -time position with a
payroll of $40,000. The project will retain 18 employees with a payroll of approximately $630.000.
ABATEMENT QUALIFICATION
1. A review of the tax abatements previously granted finds that the petitioner has not been granted
any previous abatements.
2. The Building Commissioner has reviewed the petition and finds the property to be properly
zoned for the proposed project.
3. A review of the Tax Abatement Ordinance No. 9394 -03 finds that the petitioner meets the
qualifications for a four -year real property tax abatement under Section 2 -84, Council's
Authority to Enlarge Real Property Tax Abatement General Standards. .
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211 W Washington St, South Bend, IN 46601 Directions, Location and Map I MapQuest
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conditions or route usability. You all risk of use. V12—w Terms or, 81. Terms Of Use We make no guarantee Of the OccuracY Of their content, road
City of South Bend
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Petition for Incentives
Petition must Include a$250fllingfee payable to the City Clerk's Office before can be complete
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Project General Information Project Name
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Project Overview
Brief description of your
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property is necessary for
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Spedal Taoling/Retooling
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New Computer /fT Hardware
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1) How do I pay my petition Filing fee?
Yourpetition flingfee can be paid either in person or via mail to:
City Clerk's Office
Attn: Deputy City Clerk
227 West fefferson Blvd. • Suite 400 S
South Bend, Indiana 46601
2) Certified Technology Park appropriate? (Page one, under project overview)
In the South Bend area there are only two Certified Technology Parks, Innovation Park and Ignition
Park. If your property is not located in either then the answer would be no.
3) Community Revitalization Enhancement District? (Page one, under project overview)
The map below outlines the CRED area, please check to see if you fail within the boundaries.
CREeD District Bounda
YalaM
Y }S
FI¢her
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SPmPw
Hpn Ohro
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4) Has any 504 funding been received? (Page one, under investment details) /VO
504 Funding is a loan that come from the Small Business Administration. This funding must be applied
for to be received.
5) Total training expenditure - not cumulative (Page two, under full time Indiana resident positions)
The amount of money to be spent per yearon training over the course of the project.
6) Total number to be trained - not cumulative (Page two, under full time Indiana resident positions)
The amount of people thatyou will train per year over the length of the project.
If you have any additional questions that are not addressed by this document please contact Sarah Heintzel� the
Department of Community Invest mentat574 .235.5842oremailatshein a southbend' . g i 4
i Filed in Clerk S
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4) Has any 504 funding been received? (Page one, under investment details) /VO
504 Funding is a loan that come from the Small Business Administration. This funding must be applied
for to be received.
5) Total training expenditure - not cumulative (Page two, under full time Indiana resident positions)
The amount of money to be spent per yearon training over the course of the project.
6) Total number to be trained - not cumulative (Page two, under full time Indiana resident positions)
The amount of people thatyou will train per year over the length of the project.
If you have any additional questions that are not addressed by this document please contact Sarah Heintzel� the
Department of Community Invest mentat574 .235.5842oremailatshein a southbend' . g i 4
i Filed in Clerk S
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fi n 7 2a1�
JCPtdP7 VonRDE SEND, IVl
Complete ..-
Please sign for all requested incentives.
Public Benefit Item:
Information is required on both the construction companies and the
companies which will provide materials purchased for this project.
Please complete the table below with the appropriate Information. If
you qualify for the points, please enter the full amount of available
points.
qualify
(yes or NO)
Earned points
Available Points
1
construction Related(Contraggmt:
A.
Employ Local Companies 175 %)
Y
20
B.
Purchase Materials from Local Companies (75%)
Y
20
C.
Require Employees vs. Independent Contractors
19
D.
Require. Prevailing Wage (Davis Bacon)
22
E.
Require Health Benefits
22
F.
Require Pension Benefits
18
G.
Maintain Affirmative Action Plan
�f
r
20
Sub -total Construction Related:
0
1 141
2
Wage & Benefit Related (Ovmert:
A.
Pay Target Wage Levels
33
B.
Provide Health Benefits
y
34
C.
Provide Pension Benefits
N
29
D.
Provide Training
28
E.
Provide Child Care
15
F.
Provide Transportation Assistance
14
G.
I Provide Employer Assisted Housing program
9
Sub -total Wage & Benefit Related:
0
162
3
workforce Related:
A.
Create NevrJobs
V
42
B.
Retain Existing Jobs
41
C.
Maintain Affirmative Action Plan
35
0.
Provide Targeted Hiring Preference
34
Sub -total Worldome Related:
0
152
4
Support a Municioal Facility:
A.
Support a 59 Municipal Facility (donations to the
zoo, conservatory, museum, etc.)
84
Name of Facility
Sub -total Municipal Facility:
84
Sub -total from Above:
10
539
The undersigned owner(s) of real property, located within the City of South Bend, herby petition the Common Council of the City
of South Bend for a real and /or personal property tax abatement consideration and pursuant to I.C., 61.1- 12.1 -1, et se ., and
South Beqd MunicipakCoAe Sec. 2-76 et sec.. for this petition state the above.
ayou rti rrF
IY(<
[oil 61 1 \ 1
Filed Jn Clark's
0 '14]
JOHN YoOE'v I3E
CITY CLERK, S®UTN BEN {
D, IR! i
ECONOMIC INTEREST BACKGROUND QUESTIONNAIRE
Your Full Name
Your EmaiAdres p /
is a ar. f f al a1 %_'Q n h� emu. co rn
Your Work •rcicphonc:
%IS z r 6 cJ
our �tobile'felephone:
�/7 J 68i1 -ISd c/
Your Employer's Name rr/� //
xo rvtCW %ik V ih is I /- L
Your Employer's Address 5 y y V7-111 1'06,w ,r /✓ ///0/
VU /
Nature of Your Employer's Business
A LC Q Y / /Fi4„
Your Social Security number
D53. �o_ 3
Have you ever been convicted of a felony or misdemeanor?
If Yes, please list the date, place, nature and disposition of each:
Yes Q NgQ
State the name of any person(s) or business entity(ies) with which you intend to partner or work with on the intended project in which
you are currently in discussi n with the City of South end,LIndian�
Have you or any business owned by you ever filed bankruptcy? If yes, please state date and venue.
f,
Provide any additional information you would like to disclose below or on an attached sheet
or check None if there is no other additional information you would like to disclose.
NoneE]
I AFFIRM ffUE HE PE NALTIES FOR PERJURY THAT MY STATEMENTS ARE TRUE AND ACCURATE TO THE
BEST OF LED L
Signarrre — Date - —
PLEASE SIGN, DATE, AND RETURN THIS COMPLETED FORM VIA E -MAIL TO:
Chris Fielding - Assistant Executive Director - Community Investment
cfieldin(a,southbendin.Eov
(574) 235 -5822
What is the current assessed value?
Real Property:
6 lQ� T`
L
Personal Property:
Whet is the projected assessed value?
Real Property:
Personal Property:
What Isthe tax key number for this project?
Whet Is the six digit NAICS code?
Please attach a Google map and street view of the location.
Please list the amount of real and personal property taxes
paid for the last five years when applicable.
Real Property Taxes:
Personal Property Taxes:
Year One
no
Year Two
Year Three
D
Year Four
Year Five
Staff Use Please fill out the Public Benefit Summary Only
as,
Points Points
Public Benefit Item:
DrolectRelatedf
5
A.
Redevelop a Site that has Special Needs
49
B.
Develop Based on Local University Research
35
C.
lAchieve a Physical Element ofa Plan
36
Sub -total Project Related:
0
120
6
Super
Size Projects 1polnt values are cumulativel:
A.
100% to 199%
25
B.
200% to 299%
68
C.
300% to 399%
65
D.
400% and Over
52
Sub -total Super Size Projects:
0
210
7
Pay for Municipal infrastructure:
A.
Pay for Oversizing or Upgrading
14
B.
Pay for 26 -50% of Extension Cost
26
C.
Pay for 51 -75% of Extension Cost
39
D.
Pay for 76- 100% of Extension Cost
52
Sub -total Infrastructure Related:
0 131
Total from Applicant Section:
0
539
Total from Staff Section:
10
461
Total Public Benefit Points:
0
1000