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HomeMy WebLinkAbout5A2 Development Agreement (Revs Development LLC) - SignedSouth Bend Redevelopment Commission 227 West Jefferson Boulevard, Room 1308, South Bend, Indiana Redevelopment Commission Agenda Item D ATE : 11.21.24 FROM: Joseph Molnar, Assistant Director of Growth & Opportunity SUBJECT: Revs Development LLC Agreement Funding Source* (circle) River West; River East; South Side; Douglas Road; West Washington; RDC General; Riv. East Res. * Funds are subject to the City Controller's determination of availability; if funds are unavailable, as solely determined by the City Controller, then the authorization of the expenditure of such funds shall be void and of no effect. PURPOSE OF REQUEST: Approval of a Development Agreement with Revs Development LLC SPECIFICS: Revs Development LLC (“Developer”) has recently acquired property located at the intersection of Orange Street and Johnson Street consisting of six (6) parcels in total (the “Property”). On the Property is a church that suffered a fire while under previous ownership. The church is beyond repair and needs to be demolished. The proposed Development Agreement (“Agreement”) commits the Redevelopment Commission to expending not to exceed $150,000 on the deconstruction of the existing church structure and removal of the dilapidated existing parking lot. The Agreement then commits the Developer to expending not less than $400,000 on constructing improvements on the Property including the construction of a minimum of two (2) housing units on the Property as well as reconstructing the sidewalks. Furthermore, the Agreement commits the Developer agrees to grant the RDC an exclusive option to purchase the Property. The Option Agreement shall be triggered only if the Developer fails to complete the project improvements or expend the full amount of private investment by December 31, 2028. The Property resides in the Kennedy Park neighborhood which has not seen the construction of new housing in decades and has seen large scale population decline. Demolition of a currently blighted and hazardous building while also committing to the construction of two new housing units just a few blocks west of the new Dream Center will help increase the quality of life for all nearby residents. Staff recommends approval of the Agreement. _________________________Pres/V-Pres ATTEST: __________________Secretary Date: ____________________ APPROVED Not Approved SOUTH BEND REDEVELOPMENT COMMISSION 11-25-2024 