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Community & Economic Development r'
1200 County -City Building, 227 West Jefferson, South Bend, Indiana 46601 -1830 Phone 574/235 -9371 Fax 574/235 -9021
To: Redevelopment Commission
From: David Relos, Economic Development Plannax,
Subject: Resolution No. 2934 — Termination of Contract for Sale of Land, First
Amendment to the Contract, and Development Agreement - Jeffcourt Inc.
Date: August 23, 2011
On April 12, 2011, the Commission authorized Richard Nussbaum II, Attorney -at -Law, to
prepare notices of default for the Contract for Sale, First Amendment to the Contract, and
Development Agreement with Jeffcourt, Inc, for the Commission owned lot at the northwest
corner of Jefferson and St. Joe streets.
As part of these agreements, Jeffcourt had certain obligations, which have not been met.
Because these obligations have not been met, Jeffcourt is in default of the agreements.
The two most noteworthy defaults are:
• Property was to be closed on by December 15, 2008.
• Project excavation to begin by March 15, 2009, with construction completed
within 24 months and certificate of occupancy issued.
Mr. Nussbaum has followed the notification process required by these agreements, and
Jeffcourt has failed to cure the defaults within the 30 day cure period. This resolution
terminates the agreements between the Commission and Jeffcourt, and will allow this
property to be available for possible future development.
Staff requests your approval of Resolution No. 2934, and the recording thereof.
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RESOLUTION NO.3q
RESOLUTION OF THE SOUTH BEND REDEVELOPMENT COMMISSION
TERMINATING A CONTRACT FOR SALE OF LAND FOR PRIVATE
DEVELOPMENT BETWEEN JEFFCOURT, INC. AND THE SOUTH BEND
REDEVELOPMENT COMMISSION DATED JUNE 6, 2008, AND A DEVELOPMENT
AGREEMENT BY AND BETWEEN SOUTH BEND REDEVELOPMENT
COMMISSION AND JEFFCOURT, INC. DATED JUNE 6, 2008
WHEREAS, on June 6, 2008, Jeffcourt, Inc., a Corporation organized under the laws of
the State of Indiana, and having its principal place of business at 1000 East 801h Place, Suite 600
North, Merrillvile, Indiana 46410 ( "Jeffcourt") and the South Bend Redevelopment Commission,
the governing body of the City of South Bend, Indiana, Department of Redevelopment
established and operating under Indiana Code § 36- 7 -14 -1, et. seq. as amended (the "Act ")
having its office at 1200 County City Building, South Bend, Indiana (the "Commission ") entered
into a Contract for Sale of Land and Private Development (the "Contract ").
WHEREAS, September 3, 2008, a First Amendment to the Contract was entered into
between Jeffcourt and the Commission; and
WHEREAS, on June 6, 2008, a Development Agreement was entered into by and
between Jeffcourt and the Commission ( "Development Agreement "); and
WHEREAS, the Contract, First Amendment to the Contract, and Development
Agreement were recorded in the Office of the Recorder of St. Joseph County, on April 6, 2009,
as Document Numbers 0911110, 09111111, and 0911112; and
WHEREAS, on April 12, 2011, the Commission authorized attorney Richard A.
Nussbaum, II to send notices of default in the Contract and the Development Agreement to
Jeffcourt; and
WHEREAS, on April 14, 2011, Richard A. Nussbaum, II sent certified mail - return
receipt requested and also priority mail delivery confirmation, notices of default for the Contract
and a separate letter of the same date and by the same method of delivery for the Development
Agreement; and
WHEREAS, proof of the mailing of the sending of these notices of default and proof of
receipt of the notices of default have been filed with the Commission; and
WHEREAS, the notices of default were sent to the addresses as required pursuant to the
terms and conditions of the Contract and Development Agreement; and
WHEREAS, Jeffcourt has failed to cure the defaults described in the notices; and
WHEREAS, the Contract and the Development Agreement provide the Commission may
terminate the Contract and the Development Agreement based upon these defaults.
NOW THEREFORE, BE IT RESOVLED by the South Bend Redevelopment
Commission as follows:
Section 1. The Commission hereby finds it has fully complied with all terms and
provisions of the Contract and the Development Agreement, and further finds Jeffcourt has (i)
breached the terms and conditions of both the Contract and the Development Agreement; (ii) has
been provided with notice of the defaults; (iii) failed to cure the defaults; and (iv) there is a
reasonable basis for the Commission to terminate both the Contract and the Development
Agreement.
Section 2. Based upon the findings described in this Resolution, the Commission hereby
terminates the Development Agreement between the Commission and Jeffcourt recorded April 6,
2009, in the Office of the St. Joseph County, Indiana Recorder as Instrument Number 0911110,
and the Contract for the Sale of Land for Private Development and the First Amendment to
Contract for Sale of Private Development recorded April 6, 2009 in the Office of the St. Joseph
County, Indiana Recorder as Instrument Numbers 0911111 and 0911112.
Section 3. The Resolution shall be in full force and effect after its adoption by the
Commission.
Section 4. Commission staff members are authorized to execute on behalf of the
Commission any documents necessary and take all further actions to carry out the intent of this
Resolution, including but not limited to, recording this Resolution in the Office of the Recorder
of St. Joseph County, Indiana providing constructive notice of this termination.
ADOPTED at a meeting of the South Bend Redevelopment Commission held on August
23, 2011, at 4:00 p.m. in room 1308, County -City Building, 227 West Jefferson Boulevard,
South Bend, Indiana 46601.
{SIGNATURES CONTAINED ON FOLLOWING PAGE)
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CITY OF SOUTH BEND, DEPARTMENT OF
REDEVELOPMENT, by and through the
South Bend Redevelopment Commission,
its governing body
Printed:
Title:
ATTEST:
Signature
Printed Name and Title
STATE OF INDIANA )
) SS:
ST. JOSEPH COUNTY )
Before me, the undersigned, a Notary Public for and in said County and State this 23rd
day of August, 2011, personally appeared and
, known to be the and , respectively,
of the South Bend Redevelopment Commission, the governing body of the City of South Bend,
Department of Redevelopment and acknowledged execution of the foregoing Contract for
Purchase and Sale on behalf of said Commission and Department.
IN WITNESS WHEREOF, I have hereunto subscribed my name and affixed my official
seal.
, Notary Public
Resident of the County, Indiana
My commission expires:
THIS INSTRUMENT PREPARED BY: Richard A. Nussbaum, II, Attorney at Law, 5th Floor -
Plaza Building, 210 S. Michigan St., P.O. Box 300, South Bend, Indiana 46624.
Gibney\jeffcourt RES.doc
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