HomeMy WebLinkAbout1988-08-29 Resolution 11Resolution No. 11
RESOLUTION OF THE SOUTH BEND REDEVELOPMENT
AUTHORITY REDUCING THE ANNUAL RENTAL ON THE LEASE FOR THE
ST. JOSEPH/WAYNE PARKING FACILITY, APPROVING THE EXECUTION
OF AN ADDENDUM TO THE LEASE, AND RATIFYING THE SELECTION
OF A SUCCESSFUL BIDDER AND THE TERMS OF THE BONDS
WHEREAS, the South Bend Redevelopment Authority (the "Authority")
at a meeting on June 17, 1988, adopted Resolution No. 6, authorizing
the issuance of .the "South Bend Redevelopment Authority Lease Rental.
Revenue Bonds (Parking Facility Project)" (the "Bonds"), in an aggre-
gate amount of $4,575,000.00 pursuant to IC 36-7-14.5-19 to finance
the construction of the St. Joseph/Wayne Parking Facility (the
"Facility"), and to pay the costs of issuance of the Bonds; and
WHEREAS, a Notice of Intent to Sell $4,575,000.00 South Bend
Redevelopment Authority Lease. Rental Revenue Bonds (Parking Facility
Project) was published on July 1 and July 8 in the South Bend Tribune
• and .the Tri-County News; and
WHEREAS, the Authority previously entered into a Lease between
the Authority and the South Bend Redevelopment Commission dated as of
June 1, 1988 (the "Lease"), pursuant to which the. Authority will
lease the Facility to the South Bend Redevelopment Commission (the
"Commission"); and
WHEREAS, bids were received on July 26, 1988, for the sale of the
Bonds for the construction of the Facility under the terms and condi-
tions provided in the Lease; and
WHEREAS, the lowest and best bid was received from Bank One,
Indianapolis, N.A. ("Bank One"), as the bidder offering the lowest
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net interest cost to the Authority, .determined by computing the total
interest on all of the Bz~rids from the date thereof to their
maturities .and deducting therefrom the premium bid, if any, or adding
thereto the amount of any discount, if any, with a net .interest rate
of 7.7868, which bid was accepted; and
WHEREAS, the Authority at said meeting ratified and confirmed the
award of the sale of the bonds to Bank One as the successful bidder;
and
WHEREAS, the award of the sale of the Bonds will permit a reduc-
tion in the annual rental payments on the Lease pursuant to Section 4
of the Lease to an amount equal to the multiple of One Thousand
Dollars ($1,000.00) next highest to the highest sum of principal and
interest due in any year ending on a bond maturity date' (bond year)
on such Bonds, plus Two Thousand Dollars ($2,000..00), payable in
• equal.semi-annual, installments; and
WHEREAS, the Authority desires to approve and execute an addendum
to the Lease (the "Addendum") , a copy of which is hereby attached as
Exhibit "A", reflecting such lower annual Lease payments;
NOW, THEREFORE, BE IT RESOLVED BY THE SOUTH BEND REDEVELOPMENT
AUTHORITY, AS FOLLOWS:
1. 'The Authority hereby ratifies and approves the award of the
sale of the Bonds to Bank One in the amount of $4,575,000.00, at a
price equal to $4,518,270.00, such bonds to bear a net interest
figure of 7.7868, since said bid was the. highest bid submitted in
accordance with the bond sale notice published in connection with the
sale of the Bonds.
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2. The Lease shall be amended to reduce the annual rental
. p ~ end to $463,000.00 per year payable in semi-annual installments
/~"~ of $23,500.00 on June 28th and December 28th of each year during the
term of said Lease.
3. All remaining terms, covenants and conditions as set forth
in the Lease shall remain in .full force and effect.
4. The President and Secretary of the Authority are hereby
authorized and directed to ,execute and attest,respectively, the
Addendum.
5. ..The officers of the Authority are hereby authorized to deli-
ver said Bonds when executed to First Interstate Bank of Northern
Indiana, N.A., as Trustee for delivery to the successful bidder.
6. This resolution shall be in full force and effect after its
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adoption by the Authority.
ADOPTED at a meeting of the South Bend Redevelopment Authority
held on July 29, 1988, at the office of the Authority, 1200 County-
City Building, 227 West Jefferson Boulevard, South Bend, Indiana
46601, this 29th day of July, 1988.
ATTEST:
Chris Dave , Secretary
SOUTH BEND REDEVELOPMENT AUTHORITY
B ~ ~~,
Y•
Thomas Va a, Jr., President
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ADDENDUM TO LEASE
SOUTH BEND REDEVELOPMENT AUTHORITY
TO
SOUTH BEND REDEVELOPMENT COMMISSION
(Parking Garage Facility)
THIS ADDENDUM, made and entered into as of this
day of , 1988, by and between the South Bend
Redevelopment Authority, a body corporate and politic organized
and existing under Indiana Code 36-7-14.5 (hereinafter with its
successors and assigns referred tows "Authority"), and the South
Bend Redevelopment Commission (hereinafter called "Lessee"),
WITNESSETH:
In consideration of the mutual covenants herein
contained, it is agreed that the Lease (Parking Garage Facility)
previously entered into between said parties as of the 1st day of
• June, 1988,. shall be amended as follows:
1. Rental Payments. The Lessee agrees to pay rental
for said premises at the rate of Four Hundred Sixty-three
Thousand Dollars ($463,000) per year during the term of the
Lease. Rental installments shall be payable under the terms and
conditions as provided in said Lease in semiannual installments
of Two Hundred Thirty-one Thousand Five Hundred Dollars
($231,500) on June 28 and December 28 of each year.
2. .Validity. The parties hereto acknowledge that all
remaining terms, covenants and conditions as set forth in the.
lease between the parties hereto and executed as of the 1st day
of June, 1988 shall remain in full force and effect.
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EXHIBIT "A"
IN WITNESS WHEREOF, the parties hereto have caused this
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Addendum to Lease to be executed for and on their behalf on the
day and year first hereinabove written.
SOUTH BEND REDEVELOPMENT AUTHORITY
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By ~~- ~/ ~:
Thomas Varga, Jr., President
ATTEST:
~~ ..
ris Davey, Secretary-Treasurer
ATTEST:
Roman Piasecki, Secretary
STATE OF INDIANA )
SS:
COUNTY OF ST. JOSEPH )
SOUTH BEND REDEVELOPMENT COMMISSION
F. Ja imt , President
Before me, the undersigned, a Notary Public in and for
said County and State, personally appeared Thomas J. Varga, Jr.,
and Chris Davey, personally known to me as the President and
Secretary-Treasurer, respectively, of South Bend Redevelopment.
Authority, and acknowledged the execution of the foregoing
Addendum to Lease for and on behalf of said Authority.
(~ Witness my hand and Notarial Seal this ~ day of
`/,ea~ 1988.
(Seal)
My commission expires:
County Resident
G?~L~
AO C OLRT Notary .Public
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STATE OF INDIANA )
SS:
COUNTY OF ST. JOSEPH )
Before me, the undersigned, a Notary Public in and .for
said County and State, personally appeared F. Jay Nimtz and Roman
Piasecki, personally known to me to be the President and
Secretary, respectively, of South Bend Redevelopment Commission,
and acknowledged the execution of the foregoing Addendum to Lease
for and on behalf of said Commission.
Witness my hand and Notarial Seal this ~~ day of
1988.
J ~ /~
~,,- L~'l
// ~6~>9T14, Notary Public
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(Seal)
My commission expires:
~~~~~ 9/
oSE ~ County Resident
This instrument was prepared by Thomas A. Pitman, 810 Fletcher
Trust Building, Indianapolis, Indiana 46204.
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