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HomeMy WebLinkAboutParking Mitigation Agreement - South Bend - Riverwalk Partners LLCPARKING DISRUPTION MITIGATION AGREEMENT This Parking Disruption Mitigation Agreement (this "Agreement") is made on June 24, 2025 (the "Effective Date"), by and among the CITY OF SOUTH BEND, acting by and through its Board of Public Works of 1300 N. County -City Building, 227 W. Jefferson Blvd., South Bend, Indiana 46601 (the "City"), HP BLACKBIRD, LLC, an Indiana limited liability company with its principal office at 3454 Douglas Road, Suite 250, South Bend, Indiana 46635 ("HP Blackbird"), and SOUTH BEND RIVERWALK PARTNERS, LLC, an Indiana limited liability company with its principal office at 805 City Center Drive, Suite 120, Carmel, Indiana 46032 ("Riverwalk")(each a "Party," and collectively, the "Parties"). RECITALS A. The City owns certain real property and improvements (including without limitation a surface parking lot) located at 120 Dr. Martin Luther King Jr. Boulevard, South Bend, Indiana 46601 and commonly known as the Century Center (the "Century Center Lot"). B. HP Blackbird and Riverwalk have entered into a certain Agreement of Purchase and Sale dated as of January 31, 2024, as amended to date (the "Purchase Agreement"), pursuant to which HP Blackbird intends to sell to Riverwalk certain real property located at approximately 330 E. Jefferson Boulevard, South Bend, Indiana as generally depicted as "Lot 2" on Exhibit A attached hereto and made part hereof (the "Riverwalk Property"). C. From and after closing of the Purchase Agreement, Riverwalk intends to develop the Riverwalk Property as a residential apartment community (the "Riverwalk Project"). D. HP Blackbird, as Landlord, and Crowe LLP ("Crowe"), as Tenant, are parties to an office Lease Agreement, dated July 12, 2023, as amended to date (the "Lease"), with respect to certain premises located at 320 East Jefferson Boulevard, South Bend, Indiana (the "Crowe Site") pursuant to which HP Blackbird has committed to provide Crowe LLP with access to not less than 200 parking spaces during term of the Lease. E. HP Blackbird desires (a) commitments from the City with respect to temporary access for Crowe, its employees and its invitees, to use the Century Center Lot without charge from the date first written above until the completion of the Riverwalk Project during any infrastructure work performed by or on behalf of the City that would impair vehicular access to either (i) the surface parking area on the Crowe Site located adjacent to the building thereon, as depicted on Exhibit B attached hereto and made part hereof (the "Adjacent Parking Area") or (ii) the remote surface parking area on the Crowe Site located outside the Riverwalk Property as depicted on Exhibit C attached hereto and made part hereof (the "Remote Parking Area"), such that all or a portion of the Adjacent Parking Area or the Remote Parking Area cannot be accessed for parking; and (b) commitments from Riverwalk with respect to the mitigation of any disruption caused by the development of the Riverwalk Project to the use and enjoyment of the Remote Parking Area. F. HP Blackbird desires temporary access be provided by the City to the Century Center Lot for the purpose of parking passenger vehicles of the HP Blackbird's tenants working in and licensees and invitees visiting the building at 320 East Jefferson Boulevard, South Bend, Indiana (the "Crowe Building") when access to the Adjacent Parking Area or the Remote Parking Area is impaired. G. The City is willing to permit HP Blackbird to gain non-exclusive access to, and temporarily use, the Century Center Lot to provide parking spaces to the HP Blackbird's tenants, licensees, and invitees when parking spaces are not being otherwise used by the City or its authorized agent, subject to the terms and conditions set forth in this Agreement. H. ASM Global, which is engaged to manage the operations of the Century Center as an agent of the City, on behalf of the Civic Center Board of Managers, a civic center building authority for the City, consents to the use of the Century Center Lot as described in this Agreement. NOW, THEREFORE, in consideration of the mutual covenants set forth in this Agreement, the Parties agree as follows: 1. Parkine Miti ation Commitments. The parking mitigation commitments contemplated by this Agreement shall be comprised of the following elements: (a) Temporary License. The City grants HP Blackbird a temporary, non-exclusive license to enter and use up to, but not more than, two hundred (200) unreserved parking spaces located in the Century Center Lot (the "Parking Spaces") for the sole purpose of parking of passenger vehicles of HP Blackbird's tenants occupying the Crowe Building and licensees and invitees visiting the Crowe Building (the "Temporary License"), subject to each of the following limitations: i. HP Blackbird must provide advance written notice to the City and ASM Global regarding its intent to utilize the Temporary License at least two (2) business days prior to the anticipated usage, which notice shall include the dates and times for usage as well as the total number of spaces desired for use, and the City must confirm the Century Center Lot will be available for use during the requested times; ii. The full scope of the Temporary License shall only be utilized when access to the Parking Spaces in the Adjacent Parking Area or the Remote Parking Area is impaired, and only during Crowe's regular business hours of Monday through Friday from 7:30am to 5:30pm, except that HP Blackbird shall have access to no more than fifty (50) Parking Spaces on Monday through Friday after 5:30pm but not later than I0:OOpm and on Saturday not later than I0:OOpm; iii. Vehicles parking in the Century Center Lot in accordance with this Agreement must be easily identifiable through the use of Crowe -issued hang tags, dashboard placards, or other medium; iv. Use of the Century Center Lot when the Temporary License is not authorized for use shall be subject to routine enforcement activities of the City or its designee, including, but not limited to, ticketing or fining vehicles in violation or towing the vehicles at the vehicle owners' expense; V. The Temporary License shall not be utilized during any pre -scheduled events at the Century Center or when Century Center lot is otherwise unavailable, including times when the parking lot has been rented, unless the City expressly consents to such use (upon request by HP Blackbird, the City shall provide a schedule of events at the Century Center for a particular month, which schedule may be amended by the City on a continuous basis as necessary); vi. The use of the Century Center Lot must be reasonable at all times and comport with the terms of this Agreement and all applicable laws; vii. The City, or its authorized representative, reserves the right to specifically designate the location and configuration of the Parking Spaces within the Century Center Lot that are available for use by tenants occupying the Crowe Building and licensees and invitees visiting the Crowe Building, and may modify such location or configuration during the Term (as defined below) upon reasonable notice to HP Blackbird; viii. The Temporary License shall be limited to use of the Parking Spaces as stated above and a reasonable course of ingress to and egress from the Parking Spaces; ix. The City reserves the right to use the Century Center Lot during the Term for any other purpose that does not substantially interfere with or obstruct the Temporary License under this Agreement; and X. In the event HP Blackbird or its designees exceed the scope of the Temporary License, or otherwise breach the terms of the Temporary License herein, and fails to cure such breach within thirty (30) days following receipt of written notice from the City of such a breach, the City shall have the right, upon written notice to HP Blackbird, to immediately terminate the Temporary License rights. Upon HP Blackbird providing notice of its intent to utilize the Temporary License, the City, or its designated representative, will inform HP Blackbird whether the Century Center Lot is available for use during the dates and times requested. In the event that the Century Center Lot is not available for use during any of the dates or times requested, the City will use best efforts to assist HP Blackbird in locating alternative temporary parking for its tenants at the River Glen Office Complex located southeast of the Crowe Building. (b) Uninterrupted Access to Adjacent Parking Area. The City shall use best efforts to ensure that any construction activity performed by or on behalf of the City in connection with the development of the Riverwalk Project will not deny vehicular access to the Adjacent Parking Area. In furtherance thereof, the City agrees that it shall (1) provide at least three (3) business days' advanced written notice to HP Blackbird prior to undertaking any construction activities that could reasonably be expected to adversely impact vehicular access to the Adjacent Parking Area; and (2) use best efforts to schedule any such construction activities to minimize the impact on vehicular access to the Adjacent Parking Area during normal business hours. Upon receipt of such notice, HP Blackbird shall indicate to the City whether it intends to utilize its Temporary License during the disruption to access to the Adjacent Parking Area. (c) Staging of Construction Activities by Riverwalk Affecting the Remote Parking Area. Riverwalk shall use best efforts to ensure that any construction activity performed by or on behalf of Riverwalk in connection with the development of the Riverwalk Project will not deny vehicular access to the Adjacent Parking Area; provided, however, Riverwalk shall have no responsibility for coordinating the temporary access contemplated by Section 1(b). In addition, Riverwalk shall mitigate disruption to the use and enjoyment of the Remote Parking Area by using commercially reasonable efforts to adhere to the construction schedule for its construction activity on and to the Remote Parking Area set forth in Exhibit D attached hereto and made part hereof (the "Remote Parking Construction Work"). HP Blackbird hereby grants a non-exclusive license to Riverwalk, and its contractors, subcontractors, agents, licensees, and permittees over and across the Remote Parking Area for purposes of Riverwalk performing its Remote Parking Construction Work. 2. Term. This Agreement shall be effective starting on the Effective Date, and shall terminate upon the substantial completion of the Riverwalk Project (the "Term"). The Riverwalk Project will be considered substantially complete upon the issuance of all necessary Certificates of Occupancy. 3. No Lease or Easement, Assignment. The City represents that it is the sole owner in fee simple of the Century Center Lot, and having obtained prior consent from ASM Global, the current manager of the Century Center Lot, the City represents it has the lawful right to permit the HP Blackbird to use the Century Center Lot under this Agreement. The City and HP Blackbird acknowledge and intend that this Agreement will not constitute a lease of or an easement over the Century Center Lot or the Parking Spaces, and neither HP Blackbird nor Crowe will have the right or authority to convey any leasehold or other interest in the Century Center Lot or the Parking Spaces to any other person or entity, provided, however, that HP Blackbird may permit the tenants of the Crowe Building to use the Parking Spaces licensed hereunder. Except as expressly provided in this Agreement, any attempt by HP Blackbird to grant or lease any interest in the Century Center Lot or the Parking Spaces to any other person or entity will be void ab initio and of no force or effect. The Parties agree that neither this Agreement nor any of the rights under this Agreement may be assigned, in whole or in part, to any other party without the prior written consent of the other Parties hereto. 4. Maintenance. At all times during the Term, the City will be responsible for the maintenance and repair of the Century Center Lot. When the Temporary License is in effect such maintenance and repair shall include, without limitation, clearing all ice and snow from the Parking Spaces (as the same may be designated or configured from time to time pursuant to Section 1 of 9 this Agreement) and any path of vehicular access to such Parking Spaces from the public rights - of -way abutting the Century Center Lot. The City shall provide maintenance services to the Century Center Lot at a level not less than the standard and quality provided at other City facilities. Ice and snow removal will be prioritized based on the availability of maintenance personnel. In the event the City is unable to clear all ice and snow from the Parking Spaces in a reasonable timeframe, HP Blackbird may perform ice and snow removal from the Parking Spaces at its own expense. 5. Security. HP Blackbird understands and agrees that the City shall not be liable for any loss, damage, destruction, or theft of property or any bodily harm or injury that may result from use of the Century Center Lot pursuant hereto. HP Blackbird understands and agrees that, as between the City and HP Blackbird, it will at all times be solely responsible for the safety and security of all persons, property, and vehicles, including any property contained within the vehicles, on the Century Center Lot in connection with the use of the Century Center Lot pursuant hereto. HP Blackbird shall have the right, at its sole expense, to engage security personnel to monitor the Parking Spaces utilized in the Century Center Lot during the times the Temporary License is being utilized. 6. Compliance with Law. HP Blackbird understands and agrees that it will, at its own expense, observe and comply with all applicable statutes, laws, ordinances, requirements, orders, rules, and regulations of all governmental authorities in relation to the use of the Parking Spaces. 7. Restoration. To the extent that any portion of the Century Center Lot is disturbed or damaged in connection with HP Blackbird's use of the Century Center Lot, including disturbances or damage caused by the vehicles of the HP Blackbird's tenants, licensees, or invitees, HP Blackbird, at the HP Blackbird's expense, shall restore the Century Center Lot to the condition that existed immediately prior to such disturbance or damage to the satisfaction of the City. Indemnification. (a) HP Blackbird's Indemnity Obligations. HP Blackbird agrees and undertakes to defend, indemnify, and hold harmless the City, and its officials, employees, agents, successors, and assigns, from and against any liability, loss, costs, damages, or expenses, including attorneys' fees, which the City may suffer or incur as a result of any claims or actions which may be brought by any person or entity arising out of the license granted herein by the City or HP Blackbird's use of the Century Center Lot or the Parking Spaces. If any action is brought against the City, or its officials, employees, agents, successors, and assigns, in connection with HP Blackbird's use of the Century Center Lot, HP Blackbird agrees to defend such action or proceedings at its own expense and to pay any judgment rendered therein. (b) Riverwalk's Indemnity Obligations. Riverwalk agrees and undertakes to defend, indemnify, and hold harmless HP Blackbird, and its members, manager, employees, agents, successors, and assigns (collectively, the "HP Blackbird indemnified Parties"), from and against any liability, loss, costs, damages, or expenses, including reasonable attorneys' fees, which HP Blackbird may suffer or incur as a result of any claims or actions which may be brought by any person or entity arising out of the Remote Parking Construction Work but only to the extent caused by the negligent acts or omissions of Riverwalk or anyone acting on behalf of Riverwalk. If any action is brought against any of the HP Blackbird Indemnified Parties as a result of the foregoing, Riverwalk agrees to defend such action or proceedings at its own expense and to pay any judgment rendered therein. Riverwalk shall not permit any mechanics lien to be filed against the Crowe Site or any part thereof in connection with construction work performed by or on behalf of Riverwalk. If Riverwalk is unwilling or unable to remove any such lien within thirty (30) days of its imposition, HP Blackbird may take any and all measures to remove such lien at Riverwalk's expense. Riverwalk shall have no liability to the HP Blackbird Indemnified Parties for incidental, consequential, exemplary, or punitive damages and hereby waives its right to pursue Riverwalk for the same. Insurance. (a) HP Blackbird's Insurance Obligations. HP Blackbird, at HP Blackbird's expense, shall maintain during the Term of this Agreement commercial general liability insurance covering HP Blackbird in an amount not less than Two Million and 00/100 Dollars ($2,000,000.00) per occurrence, inclusive of the limit an umbrella or excess policy. HP Blackbird agrees to include the City as an additional insured on such policy and produce to the City evidence of the same, including without limitation a properly endorsed policy and a certificate of insurance. To the extent that the City is harmed as a result of HP Blackbird's use of the Century Center Lot, HP Blackbird hereby grants the City first priority on any proceeds received from HP Blackbird's insurance. Notwithstanding anything in this Agreement to the contrary, the City does not waive any governmental immunity or liability limitations available to it under Indiana law. (b) Riverwalk's Insurance Obligations. Riverwalk, at Riverwalk's expense, shall maintain during the Term of this Agreement commercial general liability insurance covering Riverwalk in an amount not less than Two Million and 00/100 Dollars ($2,000,000.00) per occurrence, inclusive of the limit an umbrella or excess policy. Riverwalk agrees to include HP Blackbird as an additional insured on such policy and produce to HP Blackbird evidence of the same, including without limitation a properly endorsed policy and a certificate of insurance. 10. Notices. Any notices required or permitted under this Agreement shall be given in writing and delivered via either (i) personal delivery, which shall be deemed received on the same date that it is delivered, (ii) certified mail with return receipt requested, which shall be deemed delivered three (3) business days after deposit in the United States Mail, (iii) overnight courier, which shall be deemed delivered one (1) business day after deposit with signed receipt to any national overnight courier for next day delivery, or (iv) email, which shall be deemed to have received on that date the email is sent, provided that no bounce -back or error message is received. Notices shall be sent to the following addresses: To City: City of South Bend 227 W. Jefferson Blvd., Suite 1300N 51 South Bend, IN 46601 Attn: Director of Public Works Email: ehorvath@southbendin.gov City of South Bend 227 W. Jefferson Blvd., Suite 1400S South Bend, IN 46601 Attn: Executive Director of Community Investment Email: cbauer@southbendn.gov With a copy to: City of South Bend 227 W. Jefferson Blvd., Suite 1200S South Bend, IN 46601 Attn: Legal Department Email: legaldept@southbendn.gov To HP Blackbird: HP Blackbird, LLC c/o Holladay Properties 3454 Douglas Rd., Suite 250 South Bend, IN 46635 Attn: Paul Phair Email: pphair@holladayproperties.com With a copy to: Holladay Properties 3454 Douglas Rd., Suite 250 South Bend, IN 46635 Attn: Peter Gillin Email: pgillin@holladayproperties.com To Riverwalk: South Bend Riverwalk Partners, LLC 805 City Center Drive, Suite 120 Carmel, Indiana 46032 Attn: John C. Hart, Jr. Email: john@homeisjchart.com With a copy to: Dinsmore & Shohl LLP 211 N. Pennsylvania Street, Suite 1800 Indianapolis, IN 46204 Attn: Joe Kremp Email: joe.kremp@dinsmore.com To ASM Global: ASM Global - South Bend Century Center 120 Dr. Martin Luther King Jr. Blvd. South Bend, IN 46601 Attn: Craig Liston Email: cliston0asmglobal.com With a copy to: ASM Global - South Bend Century Center 120 r. Martin Luther King Jr. BTvd. South Bend, IN 46601 Attrr Rebekah Love Email: rebekahlocenWrycenter.org Any party may change mailing address or email address for notice hereunder by notice to the other parties given as set forth herein. 11. Integration: Amendment. This Agreement supersedes all prior negotiations, understandings, and agreements, whether written or oral, concerning the subject matter of this Agreement and constitutes the Parties' entire agreement. This Agreement may not be altered except by a written instrument signed by authorized representatives of all Parties. 12. Counterparts: Signatures . This Agreement may be separately executed in counterparts by the City, HP Blackbird and Riverwalk, and the same, when taken together, will be regarded as one original Agreement. Electronically transmitted signatures will be regarded as original signatures. 13. ALEthority. . Each undersigned person signing on behalf ofhis or her respective Party certifies that he or she is duly authorized to bind his or her respective Party to the terms of this Agreement. 14. Governing Law . This Agreement will be governed by and construed in accordance with the laws of the State of Indiana. [SIGNATURES ON THE FOLLOWING PAGES] IN WITNESS WHEREOF, the Parties have executed this Parking Disruption Mitigation Agreement to be effective as of the Effective Date stated above. CITY OF SOUTH BEND, INDIANA BOARD OF PUBLIC WORKS Elizabeth A. Maradik, President Joseph R. Molnar, Vice President Gary A. Gilot, Member Breana Micou, Member Murray L. Miller, Member ATTEST: d4i U Hillary Horvath, Acting Clerk Date: 6/24/25 With the consent of: ASM GLOBAL Rebekah Love ED- Rebekah Love, General Manager 06/24/2025 Dated: 10 HP BLACKBIRD, LLC, an Indiana limited liability company HOLLADAY MANAGER, LLC, its Manager Tim Healy (Jun n, 2LT25 20:53 CDT) Timothy E. Healy, Manager Dated: 06/23/2025 SOUTH BEND RIVERWALK PARTNERS, LLC, an Indiana limited liability company By: J.C. Hart Manager, LLC, an Indiana limited liability company, its Manager ' 14uv G _ By: John CHart, Jr Jun 24, 202507:37 EDT) John C. Hart, Jr., Sole Member Dated: 06/23/2025 12 EXHIBIT A Riverwa[k Property A-1 3Z3-NM-Zt '33S it C4 r"'. gowLsArow 3mrp 101 NomAjoins 10N1W (INOM mma WM3 t4jjf! 3H:)NVWNOIVN M -14 q v OR I 1t5 Sit 11-0 'j, 00 � A-2 A-3 mwisnravamioi NOISMOInS VONW aNOM XTBHO WOV ![01 jH:)aVWNW"W 1.1 14 iO , of 49qS`it M A m V2, 1 A bi j �-j I A ad 16U LU K figs ZC 0 A-4 EXHIBIT B Adiacent Parkin,2 Area -7— m x7' T1. SOUTH BEND HART HOLDINGS. LLC BEND CROWE REDEVELOPMENT 330 rr, SO. 0vd A 9,,Iron— x E. JEFFERSON BOULEVARD, SOUTH BEND, INDIANA C-1—Inc EXHIBIT C Remote Parkin-, Area C - I —4— L "o E ol.;., m J C. HART HOLDINGS, L SDUTH BEND CR LC x OVIEFIEVEVELOPMEMT� 330 E JEFFEFISON, BOULEVARD, C.. I A INDIANA C-2 EXHIBIT D Remote Parking Construction Work Iim NMri 1PARAM I QT SECT)ONS TIi 1w I C.C6F0 FOR CURBS MISQ02r 10•a9,W 07r ACCESS TO 1 sALnca �CK"m OPEM DURING 7w.S �ssaAcca igX Pkl LOT TO BE CLOSED ON ,OF •W-a41 C42 U3077 FOR r , rRf�14O]L�AUIE�• ;tit QAY5 FOR �StV0F1 TOP COAT AND f� i 10 BE REAMSENED ON OR + — rPA1YR tNG :9"=BE LIOBEQ ON ! . -.• om ABOUT 041 I2026 FOR AifOxalA.arELY f12D1 OAYB 'D BE RE OPENED ON OW0112078 r f •~ w +� ` "'kkkY W-Y- TEMPORARY MARRINCS ON— IASa+A.T BINDER f�J - L IPAAKINy LOT TORE CLOSED ON - ". h- •rev .OR ABOUT DBN 1:2777 FOR - rwul . 'p7•'RiQ %LWTlLY ills DAYS FOR �• TOG COAT AND STRIPING - r • •- •. �' Y` J BE RE-OPENEO ON OR ABOUT I ci AT7:.' }/ 1 1, • cc -Human t D-2 BOARD OF PUBLIC WORKS AGENDA ITEM REVIEW REQUEST FORM Date 6/17/25 Name Erik Glavich Department DCI BPW Date 6/24/25 Phone Extension 6022 Review and Approval Required Prior to Submittal to Board Diversity Compliance ❑ Officer Name and Inclusion Officer BPW Attorney ❑ Attorney Name Michael Schmidt Dept. Attorney ® Attorney Name Danielle Campbell Weiss Purchasing ❑ Check the Appropriate Item Type — Regu ❑ Professional Services Agreement ❑ Contract ❑ Open Market Contract ❑ Amendment/Addendum ❑ Bid Opening ❑ Bid Award ❑ Quote Opening ❑ Quote Award ❑ Proposal Opening ❑ C/O & PCA No. ❑ Chg. Order, No. ❑ Traffic Control ® Other: Parking Mitigation Information All Submissions U Proposal ❑ Special Purchase, QPA ❑ Req. to Advertise ❑ Title Sheet ❑ Reject Bids/Quotes ❑ PCA ❑ Resolution ❑ Ease./Encroach Company or Vendor Name HP Blackbird LLC & South Bend Riverwalk Partners LLC ❑ Yes❑ If Yes, Approved by Purchasing New Vendor ❑ No ❑ MBE/WBE Contractor Completed E-Verify Form Attached ❑ WBE ❑ Nos Project Name Riverfront West Development Project Number Funding Source Account No. Amount Terms of Contract Purpose/Description HP Blackbird and South bend Riverwalk Partners are redeveloping the west bank of the St. Joseph River. During construction Crowe's employee parking may be disrupted, and the attached agreement will help relieve parking issues during construction of the project. This would provide Crowe employees access to park in the Century Center lot when needed during certain portions of the construction schedule. LM For Change Orders Only Amount of ❑ Increase $ ❑ Decrease ($ ) Previous Amount Current Percent of Change New Amount Increase % Decrease ( % Increase % Total Percent of Change: Decrease