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HomeMy WebLinkAboutAuthorizing the Assignment of Ralph D Lomaz Aluma Products Co Inc Project to Kanczuzewski EnterprisesORDINANCE No. ,,, 7334 -84 Passed by the Common Council of the City of South Bend, Indiana. Attest: 14, 1984 IRENE K. GAMMON City Clerk Presented by me to the Mayor of the City of South Bend, Indiana May 15 EV of Common Council City Clerk IRENE K. GAMMON Approved and signed by me �° ` ``1 ?9e ORDINANCE NO. 73,3 Y- fy ORDINANCE AUTHORIZING THE ASSIGNMENT OF THE INTERESTS OF RALPH D. LOMAZ, MANUEL C. SPATZ, IRA M. WEISMAN AND JAMES G. ZMUDZINSKI (ALUMA PRODUCTS CO., INC. PROJECT) TO KANCZUZEWSKI ENTERPRISES LIMITED PARTNERSHIP, OF SOUTH BEND, INDIANA STATE OF PURPOSE OF INTENT The City of South Bend, Indiana, has previously issued a $225,000.00 City of South Bend, Indiana, Economic Development Revenue Bond [Aluma Products Co. Project 1977], (the "BOND "), pursuant to the authority granted by Indiana Law. Ralph D. Lomaz, Manuel C. Spatz, Ira M. Weisman and James G. Zmudzinski, as Lessees under certain Lease and Trust Indenture dated the 20th day of September, 1977, the said Lessees are current in their payment under the said Bond Issue. Kanczuzewski Enterprises Limited Partnership of South Bend, Indiana, desires to assume the right, title, interest, duties, liabilities and responsibilities of Ralph D. Lomaz, Manuel C. Spatz, Ira M. Weisman and James G. Zmudzinski, as Lessees under said Lease and Trust Indenture and the responsibilities under the Bond Issue. Such assumption is consistent with the provisions or preservation of employment opportunities and other goals with which the Bond was originally issued. Such assignment is allowed by law and by the terms of the Bonds and the instruments executed in connection therewith. The South Bend Economic Development Commission has approved such assumption. NOW, THEREFORE, BE IT ORDAINED BY THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA: Section One: The City of South Bend hereby consents to the assignment of the right, title, interest, duties, liabilities and responsibilities of Ralph D. Lomaz, Manuel C. Spatz, Ira M. Weisman and James G. Zmudzinski - under the terms and conditions of a document entitled "Lease and Trust Indenture" executed on the 20th day of September, 1977, and all of the documents executed in connection with the Bonds and of the transfer by Ralph D. Lomaz, Manuel C. Spatz, Ira M. Weisman and James G. Zmudzinski of their right, title and interest in certain real property purchased in connection with the said Bond Issue and certain of the property thereon to Kanczuzewski Enterprises Limtied Partnership of South Bend, Indiana. Section Two: The Mayor and City Clerk are hereby authorized to execute a Consent to Assignment in the form presented to this Council., which form is hereby approved, and to execute any and all other documents necessary to consummate and evidence this Assignment. Two copies of this Consent of Assignment have been and are on file in the Office of the City Clerk for the City of South Bend for public inspection pursuant to Indiana Code Section 36- 1 -5 -4. Section Three: To the extent the Bonds are documents thereunder may be deemed to require an amendment to consummate this Assignment, the City of South Bend, Indiana, hereby grants its consent. Section Four: The Common Council of South Bend, Indiana, hereby finds that this Assignment will advance the purposes for which the Bonds were originally approved in Ordinance No. 6205 -77. Section Five: This Ordinance shall be effective immediately upon passage by the Common Council and approval of the Mayor. .- C• P:,'uL;;_,u.°:i a� s- �y y APR 18 1984 2nd RELADi';G & NOT APPROVED REFERRED Irene Gammon PASSED CITY CLERK. SM79 BEND, 190, — 2 — Economic Development Commission Jerry Hammes, President Walter Szymkowiak, Vice President Walter A. Mucha, Secretary Kenneth P. Fedder, Counsel Alice Neddo, Asst. Sec. April 18, 1984 Members of the Common County -City Building South Bend, IN 46601 CITY of SOUTH BEND ROGER O. PARENT, Mayor Council Alice Neddo Staff Administrator 230 W. Jefferson Boulevard P.O. Box 1677 South Bend, Indiana 46634.1677 (219) 234 -0051 Re: City of South Bend Economic Development Bond Ralph D. Lomaz, Manuel C. Spatz, Ira M. Weisman and James G. Zmudzinski - Aluma Products, Inc. Project 1977 1984 - Kanczuzewski Enterprises Limited Partnershi Dear Councilmen: I am enclosing a copy of a March 20, 1984 request of the Economic Development Commission to transfer a 1977 Economic Development Bond issue to Kanczuzewski Enterprises Limited Partnership. The tenor of this request by this Ordinance is to reestablish and make the facility operational, providing the original employment and, hopefully, some additional,as contemplated by the 1977 Project. This was a warehousing -type operation with approximately five (5) full time and 6 part time jobs involved. The present outstanding bond obligation of-$165,000.00 is current and both the Trustee and Bondholder have approved the Assignment of all right, title, interest, duties and liabilities of a former 1977 applicant. Yur /pproval of the Ordinance is appreciated. KENNETH `F. FEDDER " Att rney for the South Bend Ec omit Development Commission KPF:ram enc. FILED IN CLEVIS WICE 1819 @4 CITY Gammon D. CHARLES M. BOYNTON GERALD A. KAMM JOHN E. DORAN DONALD E. ESMONT FREDERICK C. BOYNTON DANIEL A. MANION DAVID T. READY JOHN J. CONNAUGHTON Law Offices of DORAN, MANION, BOYNTON, KAMM & ESMONT Suite 725 St.Joseph Bank Building SOUTH BEND, INDIANA 46601 March 20, 1984 Mr. Gerald G. Hammes South Bend Economic Development Commission City County Building South Bend, Indiana 46601 RE: City of South Bend Economic Development Bond Ralph D. Lomaz, Manuel C. Spatz, Ira.M..Weisman and J. G. Zmudzinski - Aluma Products, Inc. Project 1977 Gentlemen: CLARENCE MANION (1896 -1979) M. EDWARD DORAN (1895 -1982) TELEPHONE 233 -6H7. AREA CODE 219 mes This is a formal request to the South Bend Economic Development Commission to approve the assignment of the above captioned bond in the form of an Assignment of Lease from Ralph D. Lomaz, Manuel C. Spatz, Ira M. Weisman and James G. Zmudzinski, hereinafter designated "Lessees" 7600 Tyler Blvd., Mentor, Ohio 44060. The approve of this assignment will allow the original obligors above named on the bond of the Aluma Products, Inc. project to transfer subject to the terms and conditions of the lease between the City of South Bend, Indiana and the original obligors, the bond and the lease to a third party being Kanczuzewski Enterprises Limited Partnership of 2741 Foundation Drive, South Bend, Indiana. The original sublessee being Aluma Products, Inc. has ceased to do business and have terminated their lease with the original obligors of the bond. The original obligors of the bond have made arrangements to sell their interest and assign the leasehold together with the option to purchase the same to-Kanczuzewski Enterprises Limited Partnership. The present obligors have entered into a lease option with the assignee, Kanczuzewski Enterprises Limited Partnership. Kanczuzewski Enterprises in- tends to operate the commercial building with subtenants therein for the purposes of providing additional employment and oper- ational facilities in commercial enterprises in the airport facility phase three in the Airport Industrial Park. The purchase is being carried out by the assignee and the partnership will continue to operate the premises and make payments on the bond and carry out the terms and conditions of the lease with the City of South Bend, Indiana. The St. Joseph Bank and Trust Company, South Bend, Indiana is both the trustee and bondholder and has consented to the Mr. Gerald G. Hammes March 20, 198+ Page Two assignment of the bond issue. In this regard we enclose herewith the letter of the St. Joseph Bank and Trust Company, South Bend, Indiana addressed to this honorable body indicating the bank's consent both as a trustee and the holder of the bond to this assignment. Pursuant to the terms and conditions of the lease, the original obligors remain liable on the terms and conditions of the lease. This does not change with this assignment. We file herewith Exhibit "B" information for the South Bend Economic Development Commission for the handling of this assignment Thank you for your kindest attention. Very truly yours., .y %re/ C%arrles . Boynton CMB:sjc Enclosure flmmuttUper Irpnrt Xv #lie Towmon Tounril of tot (dill of Ovid4 wend: Your Committee OF THE WHOLE to whom was referred 47 -84 A BILL AUTHORIZING THE ASSIGNMENT OF THE INTERESTS OF RALPH D. LOMAZ, MANUEL C. SPATZ, IRA M. WEISMAN, AND JAMES G. ZMUDZINSKI (ALUMA PRODUCTS CO., INC. PROJECT) TO KANCZUZEWSKI ENTERPRISES LIMITED PARTNERSHIP, OF SOUTH BEND, INDIANA. Respectfully report that they have examined the matter and that in their opinion This bill should be recommended to the Council favorable. Joseph T. Serge Chairman FREE PRE88 PUBLISHING CO.