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Home My WebLink AboutRM 10-11-91October 11, 1991 10:00 A.M. Presiding Office 1. ROLL CAtL 9 0 -6=07 7 Legal 0 Redevell Bureau I News Me x''41 01 Ms. Paula N. Auburn President Present: se.i : lent Staff: Housing Staff: Vell I MUM 0 101 Do V 1 1200 County -City Building 227 W. Jefferson Boulevard South Bend, Indiana 46601 Ms. Paula N. Auburn, President Mr. Ramon J. Piasecki, Vice President Mr. Michael Doncho, Secretary Mr. Sandy Combs, Assistant Secretary Mr. Philip J. Faccenda Ms. Jenny Pitts Manier Mr. Jon R. Hunt, Executive Director Mrs. Cheryl Phipps, Office Manager Ms. Cleo Hickey, Econanic Dev. Specialist Mr. Ted Levennan, Assistant Director Mr. Than Howell, U -93 Mr. Don Porter, South Bend Tribune Mr. Robert Townsend, MOU -TV Mr. Scott Brink, WOU -TV Mr. Carter Wolf, Center City Associates Mr. Ed Davis Mr. Dean Ram ra, j Mrs. Bernice Ramsannoj Mr. William Coates Jr. Mr. Jim Cronk announced that the Executive Session held prior to the meeting would be following adjoult of the Regular Meeting. Upon a inotion made by Mr. Piasecki, seconded by Mr. ccenda and unanimously carried, the minutes of the Regular Meeting of Friday, Sept r 27, 1991, were approved. Compute Associates Indianal Michigan Power -1- • 1 • ] 11 kl if goil, NME • a 01, Do v 1 • • D P N • . $ 90.00 50.12 South Bend edevelopment Commission Regular Mee ing - October 11, 1991 3. APPR OF CLAD1S (Cont.) 4. 5. AUMIN 1991 continued... Petty C5Lsh Tti-County News Camerc'al Office Products Equigmat Services Amacan Indiana Continuing Legal Education Baker & Daniels Greenfield, Peggy Greenfield, Peggy and Burnham Mortgage Michaels, Jerane Northera Indiana Public Service Canpany Petty C Lsh Sclambe , Bessie K. St. Jos County Auditor St. Jos County Recorder St. Jos ph Treasurer St. Jos ph Title Corporation South Bmd Tribune South Bmid Water Works Tri -C ty -News Total S udebaker Bond GRAND T MM Upon a notion made by Mr. Canbs, seconded by Mr. o and unanimously carried, the Caimiss'on formally approved the claims submitt October 3 and October 9, 1991. There w6re no ca munications . There was no old business. -2- 25.93 15.20 220.32 34.03 45.00 141.00 $ 621.60 $ 4,510.40 963.00 4,537.00 11,375.00 24.75 19.00 3,055.60 1.00 7.00 44.40 350.00 95.10 248.86 60.97 $ 25,292.08 $ 26,913.68 CESSION APPROVED THE CLAIMS SUBMITTED OCTOBER 3 AMID OCTOBER 9, 1991 THERE WAS NO OLD BUSINESS South Bend Regular M9 a. elolt Commission - October 11, 1991 Mr. Hunt entered the following items into the record: 1) An original of the "Notice of Hearing on Amendment to the South end Cen rat Development Area Development P1 -1; 11 2) An affidavit of Carol Smith, Cla3sified Manager of the South Bend Tr' e, that the Notice of Hearing was pub ished in that daily newspaper on Sep ember 27, 1991; 3) An affidavit of Li J. Andrysiak, Classified Manager of the Tri- County News, that the Notice of Heaking was published in that weekly newmpaper on September 27, 1991; 4) A from Cleo Hickey, stating that on Octcber 9, 1991, she sent a copy of the Notice of Hearing to the affected p rty owners and registered nei hborhood associations; 5) A copy of Resolution No. 1019 which is the subject of the public hearing; and 6) As of 10:00 a.m. on October 11, 1991, 0 written nstrances were received. Ms. Auburn asked if there was any objection to these items being entered into the record. There was no objection and the items were so entered. Mr. Hunt explained that Resolution No. 1019 amends the South Bend Central Development Area Development Plan by addLng Parcels C4 -39A and C4 -39B to the acq.1isition. list for potential acq.iisitim. The owner is Edmarde's Real Es to Partnership. The estimated cost of acquisition is $164,833. Ms Aube= opened. the Public Hearing for whoover wished to speak. ED VIS: 19112 Orchard Heights Drive, Sou Bend. What was the figure that was in e resolution, please? -3- PUBLIC HFKARM ON RESOLUTION 1019 AbENDING = SOUTH BEND CENTRAL DEVEWPV= AREA DEVELOFY= PLAN South Bend Regular Me 3 elopment Camtission - October 11, 1991 a. continuea... MR. HUNT: The figure, Ed, is $164,833. Now this is an estimate and is not based on the two appraisals that wera done and the review appraisal that wilL have to be done to establish Fair Marcet Value. But we're required as part of e resolution to estimate the value of e property. Jenny, I don't know if there are any caments from your M5. M VIER: No, that is a statutory reqArement. I assume it is based on your experience in the past. MR. DAVIS: My concern is that we get a fair market price for the lot. We had two buyers for the lot. Both of them backed out when they found out Redeveloprent was interested in the lot. We ve paid taxes for the last six years on 't. What they said was a fair market value of $235,000. We did list the property for sale with a local commercial reaLtor - Dick Muessel. He felt a fair pri e was $250,000. The block was empty whea we came down with Senor Kelly's abo.it ten years ago, as you all know. Sin ::e then we have spent over $80,000. We had to fill in the vaults and put in sidewalks and dry wells and surface the lot with blacktop. Tom Oare, who is the owner of the Senor Kelly's building, is currently negotiating with John O'Brien of Coldwell Banker to sell the building, wtiich would be Kellys and the little building next door, but would not include Coney Island, which they also own. He is asking $400,000 for that property. It jus tells me that it has increased trerendcusly in value. I'm not saying heI3 going to get $400,000, but that what heI3 told John O'Brien. John has some rel ctance in that he feels that to sell the building without the parking lot to tie in might be difficult, unless there was accessibility to get the parking lot -4- South Bend Regular Me N elopment Cmmdssion - October 11, 1991 a. contimea.. . fron either private or public party, at sum time as he's negotiating for the pur e of the building. So, I guess the bottom line is that we'd like to have a f 3ir market price. We have been paying s on $235,000, which can be ver'fied. We told both assessors and th have the information in the ass ssors office. RA14SAMW: 1701 Rerick Drive, South I am one of the partners of rde's. I would like to get the re footage of the parking lot. I 't get that. MR.IHUNr: 23,547.50 sq. ft. MR. RANSANlJOJ: We have been paying, for the past ten years, for 24,600. This is wha we can't get straight with the City for the past two or three months. MR. HUNT: In terms of what is being assessed? We would follow the same promss you would in terms of information on assesment, and that is to work with the County. The City has no function on either assessing or sending out tax sta ements. It's a pure County fun tion. I would suggest that, if you haven't already, you go to the source tha you can work with on that, and that is io the Assessor's Office. MR. RAMANDW: Well, we went there and I with Mr. John Voorde last week. He was looking into the matter. He said I shoild check with Redevelorment - they havB something going on. It went back and forth and back and forth. MR. HUNT: They mast be referencing the potontial acquisition. That's the only thi#g we really have right now. -5- South Bend Regular Me C:1 elog ent Commission - October 11, 1991 a. continuea... MR. DAVIS: We met the surveyor on Wediesday or Thursday this week. He had to do a complete survey of the whole bl because there are no markings there. He said he would have that inf rmation into this office today, which wot* d determine exactly what the square footacre is. M5. HICKEY: That survey was done at the reatiest of this office. M9.IAUBURN: So there will be an answer. MS. HICKEY: That was requested several weelcs ago. I don't know if we'll receive the results today, but it should be soon. MR. IDAVIS: We've had very much difficulty det rmi -ni na the exact dimP.nsions of the MR. HUNT: Some of the confusion may be due to the easement, where Senor Kelly's leased the public right -of -way for restaurant use and put the sidewalk on prrrate property. Again, the Public Hearing is not on the establishment of Fair Market Value, but simply wending the Plan to add the property to the accniisitim list. MS. AUBURN: That's today's action, to arnend the Plan to include the property. The next step will be the appraisals that c in on the property and then the establishment of the Fair Market Value. It's kind of a second step. The tax issue, or what the property is assessed at for tax purposes is not part of our discussion or consideration at all. Nor within our purview. I know that there are citizens who appeal their assessed val tion when they feel it is unfair. South Bend Regular Me alogne1t Commission - October 11, 1991 a. continues... Nom.. RANJSANIJAT: Fran this step here now, who if we wanted to develop that property? Put a restaurant on there or a bui ding on there, or something. NE. AUBURN: It would not necessarily stop our acquisition of that property. Ce inly a discussion with Ann Kolata and Jon Hunt would be in order. M2. BURF: But neither would it preclude the partnership from looking at develcpment on the site. We're not savLncr that either. NF. AUBURN: No. I think that's certainly the first indication we might have had of tha information. I don't know if you wan to talk about that in public yet. CAR ITR WOLF: I think it's important that the Plan be amended because of the fact tha in 1987 the central plan of the Mid 'gan Corridor does require inf ill on all Michigan Street frontage. For that to neppen we are certainly going to need cooPeration or control of that property, parAcularly to make this corner building M2. DAVIS: I have been dealing with Allen Schrager who owns the corner building and in conversation. with him just two weeks ago he told me he has no interest in inv sting any money in South Bend, at least for two or three years until the r estate market turns around. I ser'ously doubt that he is going to do any g with that building, other than the facade. JIM CRONK: 702 E. LaSalle. Why does the CitY feel that they need to acquire the p rty. I have a problem understanding if Central Business District was fi t established in, what, 1960? Here it s 1990 and you are still wanting to -7- South Bend Regular Me RM elcgrent Commission. - October 11, 1991 a. conzinuea... acqAre property that's already been acqAred once and resold? If it's owned by le who are involved in the bui ding next door, let them sell it. Why does the City want to get involved in scrrikhincr like that? MR. HUNT: Jim, you said the people who own the building next door own the MR. CRONK: Is that a true statement? The res urant, Senor Kelly's, is not owned by a same people as the lot? MR. HUN!': No. The building that Senor Kel Ly 's was in is owned by a trust, represented by 1st Source Bank. The parmership that is here today owns the parcing lot. The building on the corner is owtied by Allen Schrager. So you have the partnership, Schrager, and then the building that Kelly's was in owned by Tharas Oare Trust, managed by 1st Source What the trust owns includes the nain building (Kelly's), the small building next door, and Coney Island's MR. DAVIS: If you are going to proceed wit this, how soon would we know the offering price? We are concerned because we ve taxes coming up next month and we were in a position to sell the lot and pay the taxes and walk away fran it. Now, this is all disintegrated to the po' t where I guess we're going to have to came up with tax money if this is not settled before the time that we're able to settle the taxes. How long will it take before the Commission makes an offer for the property? NS. MWIER: We're not taking any action here to acquire. At this point, all we are doing is &T ending the Plan and there's nothing in this resolution today ME South Bend Regular Mee 21 elognent Commission - October 11, 1991 a. conF-inuea... that speaks to acquiring the property. I don't know if we do have plans that have a t ime table. Maybe you do. But this action today doesn't trigger that. NS. AUBURN: But I think fran Mr. Davis' standpoint, he'd like to know if we have same kind of a time frame. M5. HICKEY: We could have the Fair Market Vale established by the next Commission mee inct an the 25th. MR. HUNT: So the Fair Market Value could be established at the October 25 meeting and then, can you take action to make an offer at that meeting, also? M9.IVANIER: Yes, we could adopt a res lution setting the offering price. MR. HUNT: Is that the schedule you were loo dng for? I don't know what would cha-ige that schedule. The appraisal and revLew appraisal process would be done by tha time. MS. AUBURN: It sounds like there might be a 1'ttle clearer time frame at our next meeting. I know that's not a very clear answer for you, and I'm sorry. MR. HUNT: But it also gives you an rtunity, there is another Commission on e 8th of November. I think all the nec ssary steps that the staff would have to hit to prepare the information can be VS. AUBURN: So, you may want to cam back to e October 25 meeting, or call Ann Kol to or Cleo after that meeting and get a little clearer picture. Ms. Auburn asked if there were any more ccxnnents frcan the public. There were none. Ms. Auburn closed the Public .ME South Bend Re Regular Mee i 6. NEW BUS a. con i Heaci wha e tak . b. CaiL C. alcgnent Commission - October 11, 1991 on Resolution No. 1019 for action the Ccmnission desired to Ups a motion by Mr. Doncho, seconded by COMAISSION APPROVED RESOLUTION Mr. Combs and unanimously carried, the NO. 1019 AMENDING THE SOUTH BEND Cannission approved Resolution No. 1019 CENTRAL DEVELOPY= AREA ameidmg the South Bend Central DEVELOPMENT PLAN Development Area Development Plan. T' thy D. Hancz TDH Services $40,810.00 115 E. South *includes $ 2,810.00 contingency and fees Mr. Leven -an noted that the building presently has three units and will be c rted to a single family dwelling. At September 27 meeting the Cannission approved a Rental Rehab Loan for Timothy Hancz at 1508 S. Scott St t. He has begun that rehab and their work meets with staff approval. Mr. Donoho asked if the rent structure could support one unit. Mr. Leverman indicated that the property is owned free and clear and the project has received Low Income Housing Tax Credits. Their fin3ncial infornetion includes a pro form which indicates that the rent stricture is feasible. Mr. Hunt asked if the design issues rai ed by the Design Review Cammittee had beea addressed. Mr. Leverman responded -10- $ 8,500.00 (Public) $32,310.00 (Private) South Bend Regular Me 6. NEW B[T c. ca " e. elopment Comni.ssion - October 11, 1991 that he did not know the answer to that. M. Auburn asked if that was an issue. Mr. Hunt said it had been approved by the Design Review Committee but the owner was reeomining the nmber of windows that we to be boarded up. Upon a motion by Mr. Faccenda, seconded by mr. Piasecki and unanimously carried, the Ccnmi.ssion approved the $8,500 loan in connection with the Rental Rehab for property located at 115 E. South Street. Upai a motion by Mr. Faccenda, seconded by Mr. Canbs and unanimausly carried, the Con#dssion awarded the contract for ilitation of property located at 115 E. outh Street to TDH Services. Mr. Hunt explained that Hebard & Hebard has proposed to do architectural services to sist the staff in some schematic designs on. the MWPO /CCA lot. The arncxmt of the contract is $2400. Upal a motion by Mr. Faccenda, seconded by mr. Doncho and unanimously carried, the Camii.ssion approved the contract with & Hebard Architects for design work in the South Bend Central Dev�lopment Area in the amount of $2400. Mr. Hunt noted that the Canni.ssion has a master contract with Cole Associates to develop a Master Plan for the Airport 2010 Project. The Master Plan should be -11- • 1 • i • 1 • 5I A • ' � CESSION A%PiRDED THE CONTRACT FOR RIIHABILITATION OF PROPERTY LOCATED AT 115 E. SOUTH STREET TO TDH SERVICES amussION APPROVED i CONIRACT FOR DESIGN MORK THE • :E u CENTRAL DEVELOPMENT IN THE AMUNT OF 400 South Bend edevelcpment Commission Regular Mee ing - October 11, 1991 10 e. continuea... f. c leted soon. However, we receive many cal .s requesting inforniation on the Ai rt 2010 Project and the only piece of omution we have to send out is the drat plan. At a cost of approximately $25 00, that is an expensive docm*ent to send out when we don't know the level of int rest . Weld like to have a smaller, 8-fold mar ceting brochure prepared which will ha the illustrated site plan on one sidB and on the other side, brief baccground material and description of the ' project. Cole will work with Pitcock Desgn to develop the brochure for a lump sLznl cost of $12,300. Mr. Piaserki asked frcrn what distance we ha received requests for information. Mr. Hunt responded that we have received reqiests from Ohio, Minnesota, New Jersey, Michigan, Florida, etc. The project was written up in Area Dev lopment Magazine. The Indiana De t of Cmn erce is using that supplement to mail out to prospects. Mr. Hun and Pat McMahon marketed the c ty to 95 businesses represented at Close -Up" in Indianapolis ear ier this week. Upai a motion by Mr. Donoho, seconded by Mr. Faccenda and unanimously carried, the Cannission approved the contract with Cole Associates for services related to the Airport Economic Development Area in the amount of $12,300.00 Mr. Norris explained that the 1200 block of liest Washington has been cleared and is ready for development. At this -12- camissION APPROVED THE CC)NIRACr WITH COLE ASSOCIATES FOR SERVIM! RELATED • ME AIRPORT EMNCMIC DEVELMEW AREA IN THE AMDUNr OF 00 South Bend Regular Me 6. NEW BU f. coy Q elopmezt Commission - October 11, 1991 mee ing we would like to initiate the pub is offering process. The offering con3ists of three large parcels, ccrnDrising all of the 1200 block, on both sid s of the street, except for 1201, 120 and 1207 West Washington. We intend to mly entertain proposals from projects which use all three parcels. The re -use value of the property has been established at $64,750 for all three parcels. The bid specifications require m l i- family development of a mininnun of 40 iand a maxinnm of 65 residential units. Upon a motion by Mr. Combs, seconded by Mr. Donoho and unarm usly carried, the Comnission approved Resolution No. 1020 appmving the fair re -use value of property in the West Washington- Chapin Devblonment Area. 0-60, VVJ0-67, VV70 -oV, VV70 -01, 8 -33, W58 -34, W58 -35, W58 -36, 8 -38, W58 -42, W64 -1, W64 -2, -4, W64 -5, W64 -6, W64 -7, W64- -1 (1 WKd -9 9 Wed -'1 7 WFa -1 Z 1 Upai a motion by Mr. Faccenda, seconded by Mr. Piasecki and unanimously carried, the Commission approved the Bid Specifications and Design Considerations for Parcels W58 -19, W58 -20, W58 -26, W58-27, W58 -28, W58 -29, W58 -30, W58 -31, W58-32, W58 -33, W58 -34, W58 -35, W58 -36, W58-37, W58 -38, W58 -42, W64 -1, W64 -2, W64-3, W64 -4, W64 -5, W64 -6, W64 -7, W64 -8, W64-9, W64 -10, W64 -11, W64 -12, W64 -13 in the West Washington - Chapin Development -13- cavmssION APPROVED RESOLUTION • • •••• I 1 • I• RE-TJSE VALUE OF PROPERTY IN THE WEST /� 11 • i • /� • I �1 • • I� COMMISSION APPROVED THE BID SPECIFICATIONS AMID DESIGN CONSIDERATIONS FOR PARCELS W58 -19, W58 -20, W58 -26, W58 -27, W58 -28, W58 -29, W58 -30, W58 -31, W58 -32, W58 -33, W58 -34, W58 -35, W58 -36, W58 -37, W58 -38, W58 -42, W64 -1, W64 -2, W64 -3, W64 -4, W64 -5, W64 -6, W64 -7, W64 -8, W64 -9, W64 -10, W64 -11, W64 -12, W64-13 IN THE WEST WASBINGMN- CHAPIN DEVELIOPMELVI' AREA South Bend Regular Meg 7. h. Mr. li^� i. elopment Commission - October 11, 1991 a motion by Mr. Combs, seconded by Faccenda and unanimously carried, the ission authorized publication of the ce of Intended Sale of Property ted in the 1200 block of West ington Street in the West ington - Chapin Develogrezt Area with ication dates to be October 18 and ber 25, 1991 and receipt of bids to t 10:00 A.M. on November 8, 1991. 6.i. was stricken fran the agenda. Mr. Hun reported that Area Development Magazin , which goes to thousands of consul tints, professionals and businesses, was focised on Indiana in its most recent publica ion. The Department of Camierce pre inserts which can be used for prcmtiotial purposes. The major picture was a shot of Century Center at night fran across the ri r. Other pictures were of downtown South Bend, Ameritech, etc. The Airport 2010 project was mentioned, as were several other project . South Bend had more pictures than any o r city in the state, thanks to the good wok of Ron Barger at Project Future. Mr. area is ik noted for the record that he still s the best use of the West Washington camiercial /tourist . -14- CCWLSSION AUIMRIZED PUBLICATION OF THE NOTICE OF INTENDED SALE OF PROPERTY LOCATED IN THE 1200 BLOCK OF WEST MSHIN MN STREET IN THE WEST WASF=MN- CHAPIN DEVELOPDO TT AREA WITH PUBLICATION DATES TO BE OCIOBER 18 AMID OCTOBER 25, 1991 AMID RECEIPT OF BIDS TO BE AT 10:00 A.M. ON NOVEMBER 8, 1991. South Bend Regular Mee 7. PROGRES Q elopment Commission - October 11, 1991 (Cont.) Mr. also noted for the record that he is stilL interested in developing the north and sou ends of the Transwestern building. He believes the $600,000 cost of demolition for tho3e portions could be better spent. He asked the Commission to reconsider its Ms. Aub= thanked Mr. Cronk for his opinion She noted that the Commission had considered many different viewpoints in making its decision to demolish the building. The Regular Meeting of the Redevelopment Carmi.ss'on is scheduled for October 25, 1991, at 10: 00 A.M. There before adj ournn the mee Paula N ng no further business to cane Le Redevelopment Commission, Mr. made a motion that the meeting be 1. Mr. Canbs seconded the motion and ng was adjourned at 10:55 A.M. Auburn, President -15- NEXT COMMSSION MEETING F-AID-INICIRMILI i� E. Kolata, Director