HomeMy WebLinkAbout5A3 Development Agreement (South Bend Heritage Foundation Inc)1
DEVELOPMENT AGREEMENT
This Development Agreement (this “Agreement”), is effective as of January 9, 2020 (the
“Effective Date”), by and between the City of South Bend, Department of Redevelopment, acting
by and through its governing body, the South Bend Redevelopment Commission (the
“Commission”), South Bend Heritage Foundation, Inc., an Indiana non-profit corporation with its
registered office at 803 Lincoln Way West, South Bend, Indiana 46616 (the “Developer”).
RECITALS
WHEREAS, the Commission exists and operates under the provisions of the
Redevelopment of Cities and Towns Act of 1953, as amended (I.C. 36-7-14 et seq., the “Act”);
and
WHEREAS, the Act provides that the clearance, replanning, and redevelopment of
redevelopment areas are public uses and purposes for which public money may be spent; and
WHEREAS, the Developer owns certain real property described in Exhibit A, together
with all improvements thereon and all easements, rights, licenses, and other interests appurtenant
thereto (collectively, the “Developer Property”); and
WHEREAS, the Developer desires to construct, renovate, or otherwise rehabilitate certain
elements of the Developer Property (the “Project”) in accordance with the project plan (the
“Project Plan”) attached hereto as Exhibit B; and
WHEREAS, the Developer Property is located within the corporate boundaries of the City
of South Bend, Indiana (the “City”), within the West Washington Development Area and
immediately adjoining the River West Development Area (together, the “Area”); and
WHEREAS, the Commission has adopted (and subsequently amended, from time to time)
development plans, which contemplate development of the Area consistent with the Project; and
WHEREAS, at its meeting on December 12, 2019, the Commission approved the
reallocation of tax increment financing ("TIF") funds from the Gateway project to the second unit
of Developer's Project on Colfax Street, provided that the permanent supportive housing ("PSH")
units for the entirety of both buildings of Developer's Project be limited to six (6) so long as the
buildings are used for housing; and
WHEREAS, the Commission believes that accomplishing the Project as described herein
is in the best interests of the health, safety, and welfare of the City and its residents; and
WHEREAS, the Commission desires to facilitate and assist the Project by undertaking the
local public improvements stated in Exhibit C (the “Local Public Improvements”) and the
financing thereof, subject to the terms and conditions of this Agreement and in accordance with
the Act.
NOW, THEREFORE, in consideration of the mutual promises and obligations stated in
this Agreement, the adequacy of which is hereby acknowledged, the Parties agree as follows:
2
SECTION 1. DEFINITIONS.
Unless otherwise defined in this Agreement, capitalized terms used in this Agreement have
the following meanings:
1.1 Assessed Value. “Assessed Value” means the market value-in-use of a property,
used for property tax assessment purposes as determined by the St. Joseph County Assessor.
1.2 Board of Works. “Board of Works” means the Board of Public Works of the City,
a public body granted the power to award contracts for public works pursuant to I.C. 36-1-12.
1.3 Funding Amount. “Funding Amount” means an amount not to exceed One Million
Dollars ($1,000,000.00) of TIF revenues to be used for paying the costs associated with the
construction, equipping, inspection, and delivery of the Local Public Improvements.
SECTION 2. INTERPRETATION, TERMS, AND RECITALS.
2.1 Interpretation.
(a) The terms “herein,” “hereto,” “hereunder,” and all terms of similar import
shall be deemed to refer to this Agreement as a whole rather than to any Article of, Section
of, or Exhibit to this Agreement.
(b) Unless otherwise specified, references in this Agreement to (i) “Section” or
“Article” shall be deemed to refer to the Section or Article of this Agreement bearing the
number so specified, (ii) “Exhibit” shall be deemed to refer to the Exhibit of this Agreement
bearing the letter or number so specified, and (iii) references to this “Agreement” shall
mean this Agreement and any exhibits and attachments hereto.
(c) Captions used for or in Sections, Articles, and Exhibits of this Agreement
are for convenience of reference only and shall not affect the construction of this
Agreement.
(d) The terms “include”, “including” and “such as” shall each be construed as
if followed by the phrase “without being limited to.”
2.2 Recitals. The Recitals set forth above are incorporated into and are a part of this
Agreement for all purposes.
SECTION 3. ACCESS.
3.1 Grant of Easement. The Developer will grant to the Commission a temporary, non-
exclusive easement on, in, over, under and across any part(s) of the Developer Property (the
“Easement”) in the substantially the same form attached hereto as Exhibit D, to permit the
Commission to fulfill its obligations under this Agreement, including the construction, equipping,
inspection, and delivery of the Local Public Improvements. The Easement shall (a) inure to the
benefit of the Commission and the Board of Works or any contractors acting on behalf of the
Commission in connection with the construction, equipping, inspection, and delivery of the Local
3
Public Improvements; (b) shall bind the Developer and its grantees, successors, and assigns; and
(c) shall terminate no later than upon completion of the Local Public Improvements, as determined
by the Board of Works.
SECTION 4. DEVELOPER’S OBLIGATIONS.
4.1 Generally. The Parties acknowledge and agree that the Commission’s agreements
to perform and abide by the covenants and obligations set forth in this Agreement are material
consideration for the Developer’s commitment to perform and abide by the covenants and
obligations of the Developer contained in this Agreement.
4.2 The Project.
(a) The Developer will perform all necessary work to complete the
improvements set forth in the Project Plan attached hereto as Exhibit B and the plans and
specifications approved by the City Planner pursuant to Section 4.7 of this Agreement,
which improvements shall comply with all zoning and land use laws and ordinances.
(b) Further, the Developer will ensure that no more than six (6) PSH units will
be located on the Developer Property at any time, and Developer will include such a
restriction in any deed transferring the Developer Property to a third party. This provision
will survive the termination of this Agreement.
4.3 Cooperation. The Developer agrees to endorse and support the Commission’s
efforts to expedite the Local Public Improvements through any required planning, design, public
bidding, construction, inspection, waiver, permitting, and related regulatory processes.
4.4 Obtain Necessary Easements. The Developer agrees to obtain any and all
easements from any governmental entity and/or any other third parties that the Developer or the
Commission deems necessary or advisable in order to complete the Local Public Improvements,
and the obtaining of such easements is a condition precedent to the Commission’s obligations
under this Agreement.
4.5 Timeframe for Completion. The Developer hereby agrees to complete the Project
and any other obligations the Developer may have under this Agreement by December 31, 2021
(the “Mandatory Project Completion Date”). Notwithstanding any provision of this Agreement to
the contrary, the Developer’s failure to complete the Project or any other obligations the Developer
may have under this Agreement by the Mandatory Project Completion Date will constitute a
default under this Agreement without any requirement of notice of or an opportunity to cure such
failure.
4
4.6 Reporting Obligations.
(a) Upon the letting of contracts for substantial portions of the Project and again
upon substantial completion of the Project, the Developer hereby agrees to report to the
Commission the number of local contractors and local laborers involved in the Project, the
amount of bid awards for each contract related to the Project, and information regarding
which contractor is awarded each contract with respect to the Project.
(b) On or before June 30, 2020, December 31, 2020, June 30, 2021, and
December 31, 2021 the Developer shall submit to the Commission a report demonstrating
the Developer’s good-faith compliance with the terms of this Agreement. The report shall
include the following information and documents: (i) a status report of the construction
completed to date and (ii) an update on the project schedule.
4.7 Submission of Plans and Specifications for Project. Promptly upon completion of
all plans and specifications for the Project, or changes thereto, the Developer shall deliver a
complete set thereof to the City Planner for the City of South Bend (the “City Planner”). The City
Planner may approve or disapprove said plans and specifications for the Project in his or her sole
discretion and may request revisions or amendments to be made to the same.
4.8 Project Costs and Expenses. The Developer hereby agrees to pay, or cause to be
paid, all costs and expenses of planning, construction, management, and all other activities or
purposes associated with the Project (including legal, architectural, and engineering fees),
exclusive of the Local Public Improvements, which shall be paid for by the Commission by and
through the Funding Amount subject to the terms of this Agreement.
4.9 Specifications for Local Public Improvements. The Developer will be responsible
for the preparation of all bid specifications related to the Local Public Improvements, and the
Developer will pay all costs and expenses of such preparation, provided, however, that if the
Commission pays any costs or expenses of such preparation, then the amount paid by the
Commission will be deducted from the Funding Amount. The Developer will submit all bid
specifications related to the Local Public Improvements to the City of South Bend Engineering
Department (the “Engineering Department”). The Engineering Department may approve or
disapprove said bid specifications for the Project in its sole discretion and may request revisions
or amendments to be made to the same.
4.10 Use of MBE/WBE Contractors. The Developer will exercise good faith efforts to
solicit bids from and award contracts to local Minority Business Enterprises (“MBEs”) and/or
Women’s Business Enterprises (“WBEs”) for work associated with the Project.
4.11 Non-Interference. The Developer hereby agrees to use commercially reasonable
efforts to minimize disruption for those living and working near the Developer Property during
construction of the Project.
4.12 Insurance. The Developer shall purchase and maintain comprehensive insurance
coverage as is appropriate for the work being performed with respect to the Project. The Developer
shall provide proof of such adequate insurance to the Commission and shall notify the Commission
and the City of any change in or termination of such insurance. During the period of construction
5
or provision of services regarding any Local Public Improvements, the Developer shall maintain
insurance in the kinds and for at least the minimum amounts as described in Exhibit E attached
hereto and the Commission and the City shall be named as additional insureds on such policies
(but not on any worker’s compensation policies).
4.13 Information. The Developer agrees to provide any and all due diligence items with
respect to the Project reasonably requested by the Commission.
4.14 Other Incentives. The Developer agrees that, for its completion of the Project (as
defined in the Project Plan), the Developer will not request or pursue any financial incentive or
support from the City other than the Commission’s commitment of the Funding Amount under
this Agreement, including without limitation any tax abatement with respect to the Developer
Property or any other property associated with the Project.
SECTION 5. COMMISSION’S OBLIGATIONS.
5.1 Generally. The Parties acknowledge and agree that the Developer’s agreement to
perform and abide by the covenants and obligations set forth in this Agreement is material
consideration for the Commission’s commitment to perform and abide by the covenants and
obligations of the Commission contained in this Agreement.
5.2 Completion of Local Public Improvements.
(a) The Commission hereby agrees to complete (or cause to be completed) the
Local Public Improvements described in Exhibit C attached hereto on a schedule to be
reasonably determined and agreed to by the Commission and the Developer, as may be
modified due to unforeseen circumstances and delays.
(b) Before any contract is awarded for the completion of the Local Public
Improvements and before any work on the Local Public Improvements will commence, (i)
the Developer will have obtained all additional financing necessary to complete the Project
in accordance with the Project Plan, (ii) the City Planner will have received satisfactory
plans and specifications for the Project and approved the same in accordance with Section
4.7 of this Agreement, and (iii) the Engineering Department will have received satisfactory
bid specifications for the Local Public Improvements and approved the same in accordance
with Section 4.9 of this Agreement.
(c) The Local Public Improvements will be completed in accordance with all
applicable public bidding and contracting laws and will be subject to inspection by the
Engineering Department or its designee.
(d) Notwithstanding anything to the contrary contained herein, in the event the
costs associated with the Local Public Improvements are in excess of the Funding Amount,
Developer, at its sole option, may determine to pay to the Commission the amount of the
excess costs to permit timely completion of the Local Public Improvements by the
Commission, or an agent of the Commission, which amounts shall be applied for such
purpose. If Developer chooses not to pay any such excess costs of the Local Public
Improvements (above the Funding Amount), the Commission may reduce the scope of the
6
Local Public Improvements to the amount which may be funded with the Funding Amount.
In no event will the Commission be required to spend more than the Funding Amount in
connection with the Local Public Improvements.
5.3 Cooperation. The Commission agrees to endorse and support the Developer’s
efforts to expedite the Project through any required planning, design, permitting, waiver, and
related regulatory processes, provided, however, that the Commission will not be required to
expend any money in connection therewith.
5.4 Public Announcements, Press Releases, and Marketing Materials. The
Commission hereby agrees to coordinate all public announcements and press releases relating to
the Project with the Developer.
SECTION 6. COOPERATION IN THE EVENT OF LEGAL CHALLENGE.
6.1 Cooperation. In the event of any administrative, legal, or equitable action or other
proceeding instituted by any person not a party to this Agreement challenging the validity of any
provision of this Agreement, the Parties shall cooperate in defending such action or proceeding to
settlement or final judgment including all appeals. Each Party shall select its own legal counsel
and retain such counsel at its own expense, and in no event shall the Commission be required to
bear the fees and costs of the Developer’s attorneys nor shall the Developer be required to bear the
fees and costs of the Commission’s attorneys. The Parties agree that if any other provision of this
Agreement, or this Agreement as a whole, is invalidated, rendered null, or set aside by a court of
competent jurisdiction, the Parties agree to be bound by the terms of this Section 6.1, which shall
survive such invalidation, nullification, or setting aside.
SECTION 7. DEFAULT.
7.1 Default. Any failure by either Party to perform any term or provision of this
Agreement, which failure continues uncured for a period of thirty (30) days following written
notice of such failure from the other Party, shall constitute a default under this Agreement. Any
notice given pursuant to the preceding sentence shall specify the nature of the alleged failure and,
where appropriate, the manner in which said failure satisfactorily may be cured. Upon the
occurrence of a default under this Agreement, the non-defaulting Party may (a) terminate this
Agreement, or (b) institute legal proceedings at law or in equity (including any action to compel
specific performance) seeking remedies for such default. If the default is cured within thirty (30)
days after the notice described in this Section 7.1, then no default shall exist and the noticing Party
shall take no further action.
7.2 Reimbursement Obligation. In the event that the Developer fails to complete the
Project by the Mandatory Project Completion Date , then upon the written demand of the
Commission, the Developer will repay the Commission One Hundred Fifty Percent (150%) of the
portion of the Funding Amount expended by the Commission in furtherance of the Local Public
Improvements as of the date of the Commission’s demand.
7.3 Force Majeure. Notwithstanding anything to the contrary contained in this
Agreement, none of the Parties shall be deemed to be in default where delays in performance or
failures to perform are due to, and a necessary outcome of, war, insurrection, strikes or other labor
7
disturbances, walk-outs, riots, floods, earthquakes, fires, casualties, acts of God, acts of terrorism,
restrictions imposed or mandated by governmental entities, enactment of conflicting state or
federal laws or regulations, new or supplemental environmental regulations, contract defaults by
third parties, or similar basis for excused performance which is not within the reasonable control
of the Party to be excused (each, an event of “Force Majeure”). Upon the request of any of the
Parties, a reasonable extension of any date or deadline set forth in this Agreement due to such
cause will be granted in writing for a period necessitated by the event of Force Majeure, or longer
as may be mutually agreed upon by all the Parties.
SECTION 8. NO AGENCY, JOINT VENTURE, OR PARTNERSHIP; CONFLICT OF
INTEREST; INDEMNITY.
8.1 No Agency, Joint Venture or Partnership. The Parties acknowledge and agree that:
(a) The Project is a private development;
(b) None of the Commission, the Board of Works, or the Developer has any
interest or responsibilities for, or due to, third parties concerning any improvements until
such time, and only until such time, that the Commission, the Board of Works, and/or the
Developer expressly accepts the same; and
(c) The Parties hereby renounce the existence of any form of agency
relationship, joint venture or partnership between the Commission, the Board of Works,
and the Developer and agree that nothing contained herein or in any document executed in
connection herewith shall be construed as creating any such relationship between the
Commission, the Board of Works, and the Developer.
8.2 Conflict of Interest; Commission Representatives Not Individually Liable. No
member, official, or employee of the Commission or the City may have any personal interest,
direct or indirect, in this Agreement, nor shall any such member, official, or employee participate
in any decision relating to this Agreement which affects his or her personal interests or the interests
of any corporation, partnership, or association in which he or she is, directly or indirectly,
interested. No member, official, or employee of the Commission or the City shall be personally
liable to the Developer, or any successor in interest, in the event of any default or breach by the
Commission or for any amount which may become due to the Developer, or its successors and
assigns, or on any obligations under the terms of this Agreement. No partner, member, employee,
or agent of the Developer or successors of them shall be personally liable to the Commission under
this Agreement.
8.3 Indemnity. The Developer agrees to indemnify, defend, and hold harmless the
Commission and the City from and against any third-party claims suffered by the Commission or
the City resulting from or incurred in connection with the Local Public Improvements or the
Project.
8
SECTION 9. MISCELLANEOUS.
9.1 Severability. If any term or provision of this Agreement is held by a court of
competent jurisdiction to be invalid, void, or unenforceable, the remaining terms and provisions
of this Agreement shall continue in full force and effect unless amended or modified by mutual
consent of the parties.
9.2 Other Necessary Acts. Each Party shall execute and deliver to the other Parties all
such other further instruments and documents as may be reasonably necessary to accomplish the
Project and the Local Public Improvements contemplated by this Agreement and to provide and
secure to the other Parties the full and complete enjoyment of its rights and privileges hereunder.
Notwithstanding the foregoing, the Parties understand and agree that certain actions contemplated
by this Agreement may be required to be undertaken by persons, agencies, or entities that are not
a party to this Agreement, including, but not limited to certain permits, consents, and/or approvals
(to the extent they have not yet been obtained and completed), and that any action by such third
parties shall require independent approval by the respective person, agency, entity, or governing
body thereof.
9.3 Dispute Resolution; Waiver of Jury Trial. Any action to enforce the terms or
conditions of this Agreement or otherwise concerning a dispute under this Agreement will be
commenced in the courts of St. Joseph County, Indiana, unless the Parties mutually agree to an
alternative method of dispute resolution. The Parties acknowledge that disputes arising under this
Agreement are likely to be complex and they desire to streamline and minimize the cost of
resolving such disputes. In any legal proceeding, each Party irrevocably waives the right to trial
by jury in any action, counterclaim, dispute, or proceeding based upon, or related to, the subject
matter of this Agreement. This waiver applies to all claims against all parties to such actions and
proceedings. This waiver is knowingly, intentionally, and voluntarily made by both Parties.
9.4 Attorneys’ Fees. In the event of any litigation, mediation, or arbitration between
the Parties regarding an alleged breach of this Agreement, none of the Parties shall be entitled to
any award of attorney’s fees.
9.5 Equal Employment Opportunity. The Developer, for itself and its successors and
assigns, agrees that during the construction of the Project:
(a) The Developer will not discriminate against any employee or applicant for
employment because of race, color, religion, sex, or national origin. The Developer agrees
to post in conspicuous places, available to employees and applicants for employment,
notices setting forth the provisions of this nondiscrimination clause; and
(b) The Developer will state, in all solicitations or advertisements for
employees placed by or on behalf of the Developer, that all qualified applicants will receive
consideration for employment without regard to race, color, religion, sex, or national origin.
9.6 Counterparts. This Agreement may be executed in separate counterparts, each of
which when so executed shall be an original, but all of which together shall constitute one and the
same instrument. Any electronically transmitted version of a manually executed original shall be
deemed a manually executed original.
9
9.7 Notices and Demands. Any notice, demand, or other communication required or
permitted under the terms of this Agreement may be delivered (a) by hand-delivery (which will be
deemed delivered at the time of receipt), (b) by registered or certified mail, return receipt requested
(which will be deemed delivered three (3) days after mailing), or (c) by overnight courier service
(which will be deemed delivered on the next business day) to each Party’s respective addresses
and representatives stated below.
Developer: South Bend Heritage Foundation, Inc.
803 Lincoln Way West
South Bend, IN 46616
Attn: Executive Director
Commission: South Bend Redevelopment Commission
1400 S. County-City Building
227 W. Jefferson Blvd.
South Bend, IN 46601
Attn: Executive Director
South Bend Department of Community Investment
With a copy to: South Bend Legal Department
1200 S. County-City Building
227 W. Jefferson Blvd.
South Bend, IN 46601
Attn: Corporation Counsel
9.8 Governing Law. This Agreement is governed by and construed in accordance with
the laws of the State of Indiana.
9.9 Authority. Each undersigned person executing and delivering this Agreement on
behalf of a Party represents and certifies that he or she is the duly authorized officer or
representative of such Party, that he or she has been fully empowered to execute and deliver this
Agreement on behalf of such Party, and that all necessary action to execute and deliver this
Agreement has been taken by such Party.
9.10 No Third-Party Beneficiaries. Nothing in this Agreement, express or implied, is
intended or shall be construed to confer upon any person, firm, or corporation other than the Parties
hereto and their respective successors or assigns, any remedy or claim under or by reason of this
Agreement or any term, covenant, or condition hereof, as third-party beneficiaries or otherwise,
and all of the terms, covenants, and conditions hereof shall be for the sole and exclusive benefit of
the Parties herein.
9.11 Assignment. The Developer’s rights under this Agreement shall be personal to the
Developer and shall not run with the land. The Developer may not assign its rights or obligations
under this Agreement to any third party without obtaining the Commission’s prior written consent
to such assignment, which the Commission may give or withhold in its sole discretion, provided,
however, that the Developer may assign this Agreement to a legal entity formed specifically for
carrying out the Project with IHCDA tax-credit financing upon giving written notice of such
10
assignment to the Commission without the requirement of seeking the Commission’s consent. In
the event the Developer seeks the Commission’s consent to any such assignment, the Developer
shall provide to the Commission all relevant information concerning the identities of the persons
or entities proposed to be involved in and an explanation of the purposes for the proposed
assignment(s).
9.12 Further Assurances. The Parties agree that they will each undertake in good faith,
as permitted by law, any action and execute and deliver any document reasonably required to carry
out the intents and purposes of this Agreement.
9.13 Exhibits. All exhibits described herein and attached hereto are incorporated into
this Agreement by reference.
9.14 Entire Agreement. No representation, promise, or inducement not included in this
Agreement will be binding upon the Parties hereto. This Agreement cannot be modified except
by mutual agreement of the Parties set forth in a written instrument signed by the Parties’
authorized representatives.
9.15 Time. Time is of the essence of this Agreement.
9.16 No Waiver. Neither the failure nor any delay on the part of a party to exercise any
right, remedy, power or privilege under this Agreement shall operate as a waiver thereof, nor shall
any single or partial exercise of any right, remedy, power or privilege preclude any other or further
exercise of the same or of any right, remedy, power or privilege, nor shall any waiver of any right,
remedy, power or privilege with respect to any occurrence be construed as a waiver of such right,
remedy, power or privilege with respect to any other occurrence. No waiver shall be effective
unless it is in writing and is signed by the party asserted to have granted such waiver.
[SIGNATURE PAGE FOLLOWS]
IN WITNESS WHEREOF, the Parties hereby execute this Agreement to be effective as of
the Effective Date stated above.
SOUTH BEND REDEVELOPMENT
COMMISSION
______________________________
Marcia I. Jones, President
ATTEST:
______________________________
Quentin M. Phillips, Secretary
SOUTH BEND HERITAGE FOUNDATION, INC.
By: _____________________________________
Name: ___________________________________
Title: ___________________________________
Date: _____________________________________
EXHIBIT A
Description of Developer Property
A part of Bank Out Lots Numbered Nineteen (19) and Twenty-seven (27) of the First Plat of Out
Lots of the Town, now City of South Bend, platted by the State Bank of Indiana, which part is
bounded by a line running as follows, viz: Beginning at a point 128 feet East and 189.78 feet
South of the northwest corner of said Bank Out Lot Numbered 19; thence running South on a
line parallel with the west line of said Bank Out Lots Numbered 19 and 27 and 128 feet East
thereof, a distance of 222.38 feet to the south line of said city; thence East on said line 85.35 feet
to the southeast corner of said Bank Out Lot Numbered 27; thence North on the east line of Bank
Out Lots Numbered 27 and 19 a distance of 223.2 feet to a point 189.11 feet South of the
northeast corner of said Bank Out Lot Numbered 19; thence West to the place of beginning.
ALSO, a part of Bank Out Lot Numbered Nineteen (19) of the First Plat of Out Lots of the
Town, now City of South Bend, platted by the State Bank of Indiana, which part is bounded by a
line running as follows, viz: Beginning at a point 128 feet East of the northwest corner of said
Bank Out Lot Numbered 19, thence running South on a line parallel with the west line of said
lot, and 128 feet East thereof, a distance of 189.78 feet to an iron stake; thence East to the east
line of said lot; thence North on said east line 189.11 feet to the northeast corner thereof; thence
West on the north line of said Lot 85.25 feet to the place of beginning. ALSO, a part of Bank Out
Lots Numbered Nineteen (19) and Thirty-four (34) of the First Plat of Out Lots of the Town,
now City of South Bend, platted by the State Bank of Indiana, which part is bounded by a line
running as follows, viz: Beginning at the Northwest corner of said Bank Out Lot Numbered 19,
which corner is now indicated by an iron stake; thence running South along the west line of said
Bank Out Lot Numbered 19, 150 feet; thence West (approximately 15 feet) to the center of the
partition stone wall between the land formerly owned by Wilbur E. Gorsuch and the land
formerly owned by Mary L. Studebaker; thence South along the center of said stone wall, 48
feet; thence East 143 feet; thence North 198 feet to the south line of Colfax Avenue in said City;
thence
West along the south line of Colfax Avenue and the North line of said Bank Out Lot Number 19,
128 feet to the place of beginning, in St. Joseph County, Indiana.
EXCEPT
A parcel of land being a part of Bank Out Lots Numbered Nineteen (19) and Thirty-four (34) of
the First Plat of Out Lots of the Town, now City of South Bend, platted by the State Bank of
Indiana, which commencing at the northwest corner of said Bank Out Lot Numbered 19, which
corner is now indicated by an iron stake; thence running South along the west line of said Bank
Out Lot Numbered 19, 150 feet to a point of beginning; thence West which part is bounded by a
line running (approximately 15 feet) to the center of the partition stone wall between the land
formerly owned by Wilbur E. Gorsuch and the land formerly owned by Mary L. Studebaker; 2
thence South along the center of said stone wall, 48 feet; thence East which part is bounded by a
line (approximately 15 feet); thence North which part is bounded by a line 48 feet to the place of
beginning, in St. Joseph County, Indiana.
EXHIBIT B
Project Plan
The Developer will complete the following work in accordance with the terms and
conditions of this Agreement and in compliance with all applicable laws and regulations:
A. Rehabilitation and repair of the second unit of the Developer Property located on Colfax
Street, including the construction of a total of no less thirty (30) units therein to provide
decent, safe and sanitary rental housing for individuals and families of varying income
levels. Rent levels will be set at varied amounts including market-rates and those that
meet HUD Fair Market Rent levels. Further, no more than six (6) units may be used for
permanent supportive housing.
B. The full scope of work to include mechanical, electrical, plumbing repair/replacement,
wall and flooring repair, interior fixtures and finishes, exterior masonry repairs, roof
replacement, communication systems, and safety lighting.
EXHIBIT C
Description of Local Public Improvements
The Commission will complete, or cause to be completed, in accordance with the terms
and conditions of this Agreement and in compliance with all applicable laws and regulations,
repairs, renovations, and/or improvements to the roof, masonry, and fire stairs of the second unit
(on Colfax Street) of the Developer Property.
EXHIBIT D
Form of Easement
GRANT OF TEMPORARY EASEMENT
THIS INDENTURE, made as of the day of _______________, 202___ (the “Effective
Date”), by and between South Bend Heritage Foundation, Inc., an Indiana non-profit corporation with
offices at 803 Lincoln Way West, South Bend, Indiana 46616 (the “Grantor”), and the South Bend
Redevelopment Commission, governing body of the City of South Bend Department of Redevelopment,
1400 S. County-City Building, 227 West Jefferson Boulevard, South Bend, Indiana 46601 (the “Grantee”).
WITNESSETH:
For the sum of One Dollar ($1.00) and other good and valuable consideration, the receipt of which
Grantor hereby acknowledges, Grantor hereby grants, conveys, and warrants to Grantee a temporary, non-
exclusive easement (the “Easement”) on, in, over, under and across the real property described in attached
Exhibit 1 (the “Property”) for the construction, equipping, and delivery of certain improvements on the
Property (the “Local Public Improvements”), together with the right of ingress to and egress from the
Easement for said purposes, all pursuant to a certain Development Agreement by and between Grantor and
Grantee, dated January 9, 2020, as the same may be amended from time to time (the “Development
Agreement”). Capitalized terms not otherwise defined herein shall have the meanings set forth in the
Development Agreement.
The Easement granted herein shall pertain to the air, surface, and subsurface rights and interests of
Grantor, for the use and benefit of Grantee, and its successors and assigns, to the extent necessary to
accomplish and carry out the construction, equipping, and delivery of the Local Improvements on the
Property. The Easement hereby granted includes the right and privilege for Grantee at reasonable times to
clean and remove from said Easement any debris or obstructions interfering with said Easement.
The Easement granted herein, and its associated benefits and obligations, shall inure to the benefit
of Grantee and Grantee’s contractors acting on Grantee’s behalf in connection with the Local Public
Improvements.
Notwithstanding anything contained herein to the contrary, unless extended in writing by Grantor,
the Easement shall terminate and be of no further force and effect on the date (hereinafter, the “Construction
Termination Date”) of the earliest of the following: (a) completion of the Local Public Improvements; (b)
expiration or earlier termination of the Development Agreement; or (c) such earlier date as Grantor and
Grantee may agree to in writing.
EXHIBIT 1
Description of Property
A part of Bank Out Lots Numbered Nineteen (19) and Twenty-seven (27) of the First Plat of Out
Lots of the Town, now City of South Bend, platted by the State Bank of Indiana, which part is
bounded by a line running as follows, viz: Beginning at a point 128 feet East and 189.78 feet
South of the northwest corner of said Bank Out Lot Numbered 19; thence running South on a
line parallel with the west line of said Bank Out Lots Numbered 19 and 27 and 128 feet East
thereof, a distance of 222.38 feet to the south line of said city; thence East on said line 85.35 feet
to the southeast corner of said Bank Out Lot Numbered 27; thence North on the east line of Bank
Out Lots Numbered 27 and 19 a distance of 223.2 feet to a point 189.11 feet South of the
northeast corner of said Bank Out Lot Numbered 19; thence West to the place of beginning.
ALSO, a part of Bank Out Lot Numbered Nineteen (19) of the First Plat of Out Lots of the
Town, now City of South Bend, platted by the State Bank of Indiana, which part is bounded by a
line running as follows, viz: Beginning at a point 128 feet East of the northwest corner of said
Bank Out Lot Numbered 19, thence running South on a line parallel with the west line of said
lot, and 128 feet East thereof, a distance of 189.78 feet to an iron stake; thence East to the east
line of said lot; thence North on said east line 189.11 feet to the northeast corner thereof; thence
West on the north line of said Lot 85.25 feet to the place of beginning. ALSO, a part of Bank Out
Lots Numbered Nineteen (19) and Thirty-four (34) of the First Plat of Out Lots of the Town,
now City of South Bend, platted by the State Bank of Indiana, which part is bounded by a line
running as follows, viz: Beginning at the Northwest corner of said Bank Out Lot Numbered 19,
which corner is now indicated by an iron stake; thence running South along the west line of said
Bank Out Lot Numbered 19, 150 feet; thence West (approximately 15 feet) to the center of the
partition stone wall between the land formerly owned by Wilbur E. Gorsuch and the land
formerly owned by Mary L. Studebaker; thence South along the center of said stone wall, 48
feet; thence East 143 feet; thence North 198 feet to the south line of Colfax Avenue in said City;
thence
West along the south line of Colfax Avenue and the North line of said Bank Out Lot Number 19,
128 feet to the place of beginning, in St. Joseph County, Indiana.
EXCEPT
A parcel of land being a part of Bank Out Lots Numbered Nineteen (19) and Thirty-four (34) of
the First Plat of Out Lots of the Town, now City of South Bend, platted by the State Bank of
Indiana, which commencing at the northwest corner of said Bank Out Lot Numbered 19, which
corner is now indicated by an iron stake; thence running South along the west line of said Bank
Out Lot Numbered 19, 150 feet to a point of beginning; thence West which part is bounded by a
line running (approximately 15 feet) to the center of the partition stone wall between the land
formerly owned by Wilbur E. Gorsuch and the land formerly owned by Mary L. Studebaker; 2
thence South along the center of said stone wall, 48 feet; thence East which part is bounded by a
line (approximately 15 feet); thence North which part is bounded by a line 48 feet to the place of
beginning, in St. Joseph County, Indiana.
EXHIBIT E
Minimum Insurance Amounts
A. Worker’s Compensation
1. State Statutory
2. Applicable Federal Statutory
3. Employer’s Liability $100,000.00
B. Comprehensive General Liability
1. Bodily Injury
a. $5,000,000.00 Each Occurrence
b. $5,000,000.00 Annual Aggregate Products
and Completed Operation
2. Property Damage
a. $5,000,000.00 Each Occurrence
b. $5,000,000.00 Annual Aggregate
C. Comprehensive Automobile Liability
1. Bodily Injury
a. $500,000.00 Each Person
b. $500,000.00 Each Accident
2. Property Damage
a. $500,000.00 Each Occurrence