HomeMy WebLinkAboutRedevelopment Commission Agenda & Packet 07.09.26South Bend
Redevelopment Commission
215 S. Dr. Martin Luther King, Jr. Blvd., Room 301, South Bend, Indiana
Agenda
Regular Meeting
July 9, 2026 – 9:30 a.m.
City Hall Council Chambers 3rd Floor or via:
https://tinyurl.com/RDC2025-2026-Meetings
Meeting Recording Link: https://tinyurl.com/RDC-Meeting-Recordings
1. Roll Call
• David Relos, President – (Mayor) December 2025 to December 2026
• Karen White, Vice President – (Council) May 2026 to December 2027
• Eli Wax, Secretary – (Mayor) February 2025 to December 2027
• Ophelia Gooden-Rodgers, Commissioner – (Council) February 2025 to December 2027
• Marcus Ellison, Non-Voting Advisor – (School Board) February 2025 to December 2026
2. Approval of Minutes
A. Minutes of the Regular Meeting of June 25, 2026
3. Approval of Claims
A. None
4. Old Business
A. None
5. New Business
A. River West Development Area
1. Development Agreement (Beacon Heights)
2. Public Hearing on Additional Appropriation (Beacon Heights)
3. Resolution No. 3675 Appropriating Certain Funds in Connection with a
Direct Loan to the Developer of an Economic Development Facility (Beacon
Heights)
4. Public Hearing on Proposed Lease with South Bend Redevelopment
Authority (Redevelopment Authority Lease Rental Revenue Bonds, Series
2026)
5. Resolution No. 3676 Authorizing the Execution of a Lease Between the
South Bend Redevelopment Authority and the South Bend Redevelopment
Commission and all Matters Related Thereto (Redevelopment Authority
Lease Rental Revenue Bonds, Series 2026)
6. Non-Exclusive Utility Easement Agreement (ChoiceLight, Inc., Sample
Street)
South Bend
Redevelopment Commission
215 S. Dr. Martin Luther King, Jr. Blvd., Room 301, South Bend, Indiana
Page | 2
6. Progress Reports
A. Tax Abatements
B. Common Council
C. Other
7. Next Commission Meeting
Thursday, July 23, 2026, 9:30 a.m. at Council Chambers, Room 301
12. Adjournment
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South Bend
Redevelopment Commission
215 S. Dr. Martin Luther King, Jr. Blvd., Room 301, South Bend, Indiana
Minutes
Regular Meeting
June 25, 2026 – 9:30 a.m.
City Hall Council Chambers 3rd Floor or via:
https://tinyurl.com/RDC2025-2026-Meetings
Meeting Recording Link: https://tinyurl.com/RDC-Meeting-Recordings
The South Bend Redevelopment Commission was called to order at 9:30 a.m.
President David Relos presiding.
1. ROLL CALL
Members Present: David Relos, President
Gillian Shaw, Commissioner
Ophelia Gooden-Rodgers, Commissioner
Marcus Ellison, Non-Voting Advisor
Members Absent: Eli Wax, Secretary
Members Virtually: Karen White, Vice President
Legal Counsel: Danielle Campbell Weiss, Senior Asst. City Attorney
Redevelopment Staff: Darryl Scott, Executive Director, DCI
Joseph Molnar, Deputy Director, DCI
Erik Glavich, Director of Growth and Opportunity, DCI
Lewis Kouassi, Director of Finance, DCI
Erin Michaels, Property Development Manager, DCI
Allison Doctor, Project Manager, DCI - Virtual
Laura Hensley, Board Secretary, DCI
Attending: Abigail Magas, City Engineer, Engineering
Leslie Biek, Assist. City Engineer, Engineering
Patrick Sherman, Project Manager, Public Works
Zach Hurst, Senior Engineer, Engineering
Nifemi Oluwatomini, Senior Engineer, Engineering
Murray Miller, 1201 Priscilla Dr.
Thomas Everett, Barnes & Thornburg
Matt Barrett, 110 S. Niles Ave.
CITY OF SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING – June 25, 2026
Page | 2
Linda Brotherson, Great Lakes Capital
Rich Dealh, Great Lakes Capital
Alyson Herzig, S.B.R. Chamber
Ethan Rendell, S.B.R. Chamber
Hodge Patel, Abonmarche
2. Approval of Minutes
A. Approval of Minutes of the Regular Meeting of Thursday, June 11, 2026
Motion was made by Ophelia Gooden-Rodgers to approve the Minutes of
the regular meeting of June 11, 2026, second by Gillian Shaw.
On the motion:
• David Relos, President: YEA
• Karen White, Vice President: YEA
• Gillian Shaw, Commissioner: YEA
• Ophelia Gooden-Rodgers, Commissioner: YEA
The motion carried; the Commission approved the Meeting Minutes on
June 25, 2026.
3. Approval of Claims
A. Claims Allowances June 9, 2026
Motion was made by Gillian Shaw to approve the Claims Allowances of June
9, 2026, second by Ophelia Gooden-Rodgers.
On the motion:
• David Relos, President: YEA
• Karen White, Vice President: YEA
• Gillian Shaw, Commissioner: YEA
• Ophelia Gooden-Rodgers, Commissioner: YEA
The motion carried; the Commission approved the Claims Allowances on
June 25, 2026.
4. Old Business
A. None
5. New Business
A. River West Development Area
1. Resolution No. 3674 and Lease Agreement (Beginning New River West
Bond Process)
CITY OF SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING – June 25, 2026
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Joseph Molnar, Deputy Director of Community Investment, presented a
resolution to initiate a new bond process for the River West TIF District.
Tom Everett (Barnes & Thornburg) provided an overview of the process,
noting it has been approximately four years since the last bond issuance.
The Commission considered a resolution initiating proposed lease
financing to fund projects within the River West Development Area. The
resolution approves the form of a lease between the Redevelopment
Commission and Redevelopment Authority.
Under the structure, the Commission would lease portions of city
roadways (including Chapin Street, Sample Street, and Colfax Avenue)
and make lease rental payments from River West TIF. The Authority
would use these payments to service bond debt.
The proposed lease has a maximum term of 19 years and a maximum
annual payment of $5 million, to be reduced to the amount necessary to
cover bond principal and interest once issued. A property tax backup is
included but is intended only as secondary security.
Next steps include publication of notices and a public hearing at the July
9 Commission meeting, followed by approvals from the Redevelopment
Authority and Common Council. Bond closing is anticipated in early
October.
President Relos asked what is the total bond amount? Mr. Everett stated
that the project is currently contemplating a maximum issuance of $33
million. While this amount is not specified in the lease, it will be included
in future approvals brought before the Redevelopment Commission.
Mr. Molnar explained that previous bonds have supported the following
projects:
Kennedy Park improvements are currently under construction and
expected to be completed next year, including expansion of the pool and
playground and other upgrades. Additional bond-funded projects are
complete, including improvements to the MLK Dream Center
(playground, splash pad, and basketball courts), Linden Ave. streetscape
enhancements, and Southeast Park splash pad and playground upgrades.
The Southeast Park splash pad and playground improvements are
complete. The River Bridge Connector project is set to begin
construction this year, with completion anticipated in 2027. Walker
Field Park improvements and the enhanced connection from Rum
Village are complete. The Madison Lifestyle District parking garage is
under construction and expected to be completed next year.
CITY OF SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING – June 25, 2026
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The Portage/Elwood sidewalk project is currently on hold due to the
City’s recent acquisition of the adjacent shopping center. Funding
remains reserved, and the project will be revisited as part of a broader
redevelopment plan.
Overall, the previous River West neighborhood bond has advanced
significantly, with most projects completed or underway, including the
Four Winds Field expansion (completed in 2024). The proposed bond
also includes funding to support a future West Side neighborhood park,
primarily for land acquisition, in response to strong community demand
identified in the 2022 neighborhood plan.
Additionally, funds will support initial infrastructure for redevelopment
of the Drewry’s and Portage/ Elwood sites. Community feedback has
emphasized restoring the Portage/Elwood commercial area, expanding
housing (including affordable options), and revitalizing the site. While
bond funding will not cover full buildout, it will support initial phase
improvements alongside other secured funding sources.
Mr. Molnar reviewed projects proposed for bond funding:
• Coal Line Trail – Phase III: Extends the completed Phase I (2022) and
Phase II (2024) from Lincoln Way West to the Dream Center along
College Street. The project leverages 80% federal funding, with the
bond supporting the local match.
• College Street Improvements: Streetscape upgrades aligned with
the Coal Line extension, consistent with the Kennedy Park
Neighborhood Plan.
• Rum Village Neighborhood Center: Renovation of the former
William Penn building (1024 W. Indiana Ave.) into a community
center with Boys & Girls Club programming and additional
community space, informed by ongoing engagement.
• Near West Side Neighborhood Park: Funding primarily for land
acquisition and limited initial improvements; site selection is ongoing,
addressing the neighborhood’s lack of a city park.
• Drewry’s/Portage/Elwood Redevelopment Infrastructure: Initial
infrastructure to support redevelopment of the site following City
acquisition. Community feedback emphasizes restoring the
Portage/Elwood commercial area, adding housing (including
affordable options), and neighborhood-serving retail. The concept
plan remains preliminary and will evolve as design continues.
CITY OF SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING – June 25, 2026
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Mr. Molnar explained that the bond would support several priority
projects:
• Muessel Grove Park improvements: Enhancing connectivity,
expanding access, removing barriers (including fencing), and
activating the space as a neighborhood hub. While bond funds will
not fully achieve the long-term vision, they will enable key
improvements.
• Infrastructure for affordable housing (Tri-Day/New Day): Funding
sewer, water, and road extensions to support 42 new low-income
homes at Tri-Day and access improvements tied to the New Day
project.
• Morris Performing Arts Center parking garage: Supporting Phase III
of the Morris 100 initiative by constructing an attached garage to
improve accessibility, address parking demand, and leverage existing
campaign funds.
Mr. Molnar emphasized that bond funding is critical to advancing these
projects. The process will include multiple public approvals (RDA, RDC,
Common Council) and opportunities for community input. He invited
questions, alongside Mr. Everett for process-related inquiries.
Commissioner Gooden-Rodgers raised the question regarding soil
testing at the site. Mr. Molnar indicated that environmental testing has
largely been completed, with only minor, manageable remediation
needed. However, additional geotechnical testing is still underway to
determine soil stability and suitability for construction, particularly
given historical site conditions, including a former ice pond and fill
materials. This analysis will guide future decisions on building locations,
road placement, and potential park expansion. The Sonoco site will be
remediated as well.
Commissioner Shaw raised a question regarding whether leasing the
streets would make the Redevelopment Commission responsible for
maintenance. Mr. Everett clarified that the City retains full responsibility
for street maintenance, including repairs and upkeep, despite the lease
structure. In response to a follow-up question, Mr. Molnar noted that the
City typically remains financially responsible for these costs. However,
the Redevelopment Commission has historically supported street
improvements within the River West area through TIF-funded paving
and is expected to continue doing so through future requests.
CITY OF SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING – June 25, 2026
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Commissioner Shaw asked for clarification on the approval process. Mr.
Molnar confirmed that the current action approves the initial lease
structure, with final approval anticipated in July following required
steps. Individual projects and associated funding allocations will return
to the Redevelopment Commission for separate approval. In response to
a follow-up question, Mr. Molnar noted that specific dollar amounts are
not yet assigned. Project budgets will be developed and presented as
designs advance and funding needs are finalized.
Motion was made by Ophelia Gooden-Rodgers to approve Resolution No.
3674 and the Lease Agreement, second by Gillian Shaw.
On the motion:
• David Relos, President: YEA
• Karen White, Vice President: YEA
• Gillian Shaw, Commissioner: YEA
• Ophelia Gooden-Rodgers, Commissioner: YEA
The motion carried; the Commission approved Resolution No. 3674 and
Agreement on June 25, 2026.
2. Notice to Commence Agreement (Madison Lifestyle, Great Lakes
Capital)
Erik Glavich, Director of Growth & Opportunity, presented the next
milestone for the Madison Lifestyle District project: approval of a Notice
to Commence with Great Lakes Capital. Following prior extensions of
the due diligence period, Mr. Glavich reported the project is ready to
proceed. The Notice to Commence, required under the development
agreement, authorizes the developer to begin construction and confirms
that key conditions have been met.
Mr. Glavich described the project’s scale and complexity are significant,
with substantial City investment already underway, including site
preparation, demolition, and utility work. The agreement also clarifies
and reconfirms the City’s local public improvements, including expanded
infrastructure commitments.
The Notice to Commence applies to Phase I only. Phase II remains in a
due diligence stage, with a deadline of October 2027 to issue a second
Notice to Commence. If not issued, the City may re-acquire ownership of
Phase II parcels. Mr. Glavich concluded by noting the project will
introduce a new hotel and mixed-use development, serving as a major
CITY OF SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING – June 25, 2026
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investment in the north downtown area. INDOT is also developing a
roundabout for traffic and safety concerns.
Mr. Glavich stated that the development agreement was approved in
March 2024, when the project was still in its early stages. Since then, the
project has evolved to improve feasibility, including increasing
residential units from 150 to 190 and expanding the hotel from 105 to
119 rooms. The developer has identified an upscale national hotel brand
(Tempo by Hilton) for the project. The commercial component has also
been refined to include a French café-style restaurant and other public-
facing amenities. The Notice to Commence updates the original project
plan to reflect these changes and aligns the agreement with the project’s
current scope as well as local public improvements.
Rich Dealh with Great Lakes Capital introduced himself and Linda
Brotherson as in-house counsel and members of the development team.
He thanked City staff and the Commission for extending the due
diligence period and noted strong collaboration with City staff to refine
a transformative project aligned with broader downtown and Beacon
Health priorities. Mr. Dealh highlighted ongoing coordination efforts
related to site planning, infrastructure, garage construction, and project
scheduling to ensure the development is financially viable with a pledge
of tax revenues. He expressed appreciation for progress on Phase I and
continued interest in advancing Phase II in alignment with surrounding
downtown investments. Deal concluded by noting the team’s focus on
delivering a project that supports the area’s long-term vision.
Commissioner Gooden-Rodgers asked about projected tax revenues
from the project. Mr. Dealh reported that estimated annual property tax
revenue from Phase I (hotel and multifamily) is approximately $950,000
to $1,000,000. Mr. Dealh noted that about 90% of these revenues, along
with certain state-related revenues (including employment and sales
taxes), would be pledged to support bond financing. Based on this
analysis, financial advisors estimated these revenues could support a
bond of approximately $17.9 million for Phase I.
President Relos asked whether the revenue projections applied to Phase
I or both phases. Linda Brotherson with Great Lakes Capital
clarified that the estimates reflect Phase I only and are based on
analyses developed with Baker Tilly during the extended due diligence
period. It was further noted that the proposed financing is a self-
supporting bond, not a general obligation of the City. The developer will
bear the risk associated with revenue performance.
CITY OF SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING – June 25, 2026
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Commissioner Gooden-Rodgers had additional questions, Ms.
Brotherson indicated the residential component (approximately 190–
195 units) is planned at around 100% AMI, intended to serve workforce
housing needs without income restrictions. Finally, Ms. Brotherson
noted that while the City is leading certain infrastructure work, the
developer’s contractors are expected to utilize local subcontractors and
labor where feasible.
Commissioners Shaw confirmed that the 90% revenue pledge applies to
Phase I and asked whether the City would cover any shortfall if revenues
do not meet projections. Ms. Brotherson clarified that the bonds are not
a general obligation of the City and that the developer assumes the
revenue risk once issued. In response to a follow-up question, Mr.
Glavich noted that if revenues exceed bond debt service requirements,
the surplus would be retained by the City.
President Relos asked whether this financing approach was anticipated
from the outset. Ms. Brotherson clarified that the original development
agreement (March 2024) contemplated a tax abatement; however, the
IDD financing tool did not exist at that time. Once it became available
approximately a year and a half ago, the City shifted to this approach,
which replaced the need for a tax abatement.
Commissioner Gooden-Rodgers asked about the timeline. Mr. Dealh
reported that construction of the multifamily and hotel components is
expected to begin in December 2026, with financing and site readiness
aligned for project completion by the end of 2028 with the garage
completed in 2027.
Commissioner Marcus Ellison asked about how many full-time jobs will
be associated with Phase I? Mr. Dealh indicated that the multifamily
component will generate limited jobs (approximately 4–5 positions for
property management and maintenance), while the hotel is expected to
create 50–60 jobs, including hotel and restaurant staff. The parking
garage will be City-owned and operated, with staffing consistent with
other City garages.
Mr. Glavich also noted that, consistent with prior agreements, the City
will work toward a parking arrangement with Beacon Health System to
allow use of the garage by employees and visitors.
Matt Barrett asked about the projected 7.5% return and whether the
City is obligated to ensure that return. Mr. Glavich clarified that the
return is not guaranteed by the City. The developer agreed to a 7.5%
return threshold (reduced from 8%) and assumes the associated
CITY OF SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING – June 25, 2026
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financial risk. Once the bonds are issued, there is no obligation for the
City to cover any shortfall.
Mr. Barrett asked whether there is a cap on the City’s financial
commitment. Mr. Glavich explained that support is limited to the
pledged revenue streams, including 90% of TIF revenues and certain
eligible taxes, as structured through the bond issuance. The bond
amount establishes the City’s effective financial cap. Mr. Dealh further
clarified that any revenues exceeding debt service requirements would
be retained by the City, and once the bonds are paid off, all TIF revenues
are reverted to the City. The developer assumes the risk of achieving the
projected 7.5% return, and the City has no additional obligation beyond
the agreed structure. He also mentioned that the room rates are in line
with other average daily rooms with competitive hotels in the downtown
area.
Murray Miller asked whether property tax projections accounted for
SB1-related impacts. Mr. Glavich explained that initial estimates did not
fully incorporate certain changes, but updated analyses by Baker Tilly
include the effects of applicable deductions and caps. Mr. Glavich further
clarified that recent SB1 changes, including expanded deductions for
non-homestead residential properties, were incorporated into the
projections, resulting in lower assessed values and corresponding tax
revenues for multifamily components.
Kendra Martin raised concerns about potential impacts on utilities,
including water and power capacity, and asked whether the project
would incorporate sustainability features such as rooftop solar or
graywater reuse. Ms. Brotherson responded that solar is not currently
planned for the site. However, the City and developer have been
coordinating on drainage and infrastructure planning to ensure
adequate capacity and system performance.
Motion was made by Gillian Shaw to approve the Notice to Commence
Agreement, second by David Relos.
On the motion:
• David Relos, President: YEA
• Karen White, Vice President: YEA
• Gillian Shaw, Commissioner: YEA
• Ophelia Gooden-Rodgers, Commissioner: YEA
The motion carried; the Commission approved the Agreement on June 25,
2026.
CITY OF SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING – June 25, 2026
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B. South Side Development Area
1. Budget Request (Rum Village Park Improvements, Phase I)
Patrick Sherman, Project Manager, Public Works, presented a request
for Rum Village Park improvements and provided background on the
project. He noted the Rum Village Neighborhood Plan, completed in
2021 and adopted in 2022, identified the park as a priority. Since then,
related efforts include Walker Field improvements (underway and
bidding) and completed connectivity enhancements.
Venues Parks & Arts recently completed a park master plan in
partnership with Site Design, supported by extensive community
engagement. Phase I improvements will focus on core infrastructure and
widely supported enhancements, including roadway repaving, entrance
upgrades, signage and wayfinding, improved connectivity (Wi-Fi and
security), and potential new amenities such as a pavilion. Mr. Sherman
requested $2.0 million in South Side TIF funding to begin Phase I
improvements.
Commissioner Gooden-Rodgers asked whether the improvements
represent a complete project or a phased approach. Mr. Sherman
clarified that the request is for Phase I only, with additional phases
outlined in the master plan to be implemented as funding becomes
available. Mr. Sherman noted the intent is to address the most critical
needs first and pursue future funding for subsequent phases.
Commissioner Shaw asked for clarification on the $2.0 million budget,
Mr. Sherman indicated that over half is allocated to roadway paving,
approximately one-quarter to signage, wayfinding, and connectivity
improvements, and the remainder to utilities and smaller upgrades,
including a potential pavilion replacement. A contingency of
approximately 10% is included. Mr. Sherman also confirmed that the
Ewing Street entrance will be removed for safety reasons, with primary
access shifted to the Gertrude Street entrance.
Motion was made by Gillian Shaw to approve the Budget Request, second
by Karen White.
On the motion:
• David Relos, President: YEA
• Karen White, Vice President: YEA
• Gillian Shaw, Commissioner: YEA
• Ophelia Gooden-Rodgers, Commissioner: YEA
CITY OF SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING – June 25, 2026
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The motion carried; the Commission approved the Budget Request on June
25, 2026.
2. Budget Request (Ewing Trail Design)
Nifemi Oluwatomini, Senior Engineer, Engineering presented a request
for funding to support design of the Ewing Trail. The proposed project
includes a 10-foot multi-use path along the South Side of Ewing Avenue,
connecting existing trail segments from Gertrude Street to Olive Street.
The project will utilize primarily existing right-of-way, with some
temporary easements anticipated during construction.
The design phase will be funded through an 80/20 INDOT program, with
construction anticipated in 2030. The current request is for $200,000 in
South Side TIF funds to support preliminary engineering through 30%
design, as well as evaluation of the Ewing/Prairie intersection for safety
improvements.
Leslie Biek, Assistant City Engineer, noted that the project will primarily
use existing right-of-way, with some temporary easements needed
during construction. Ewing Ave. will be slightly narrowed to
accommodate the 10-foot multi-use path. The current request is limited
to design only; right-of-way acquisition will occur in later phases. Mr.
Oluwatomini also confirmed that outreach to adjacent residents has not
yet begun but will be included as part of the design process.
Motion was made by Ophelia Gooden-Rodgers to approve the Budget
Request, second by Karen White.
On the motion:
• David Relos, President: YEA
• Karen White, Vice President: YEA
• Gillian Shaw, Commissioner: YEA
• Ophelia Gooden-Rodgers, Commissioner: YEA
The motion carried; the Commission approved the Budget Request on June
25, 2026.
6. Progress Reports
A. Tax Abatement
None
B. Common Council
Ophelia Gooden-Rodgers stated that the Council accepted the report from
repertory justice.
CITY OF SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING – June 25, 2026
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C. Other
Joseph Molnar, Deputy Director of Community Investment, gave updates
on the following.
• The Lafayette Building, awaiting the full structural report.
• St. Margarets House, groundbreaking today, June 25th.
D. President Relos announced that this is Commissioner Gillian Shaw’s last
meeting. The Commission thanked her for her service and wishes her the
very best.
7. Next Commission Meeting
Thursday, July 9, 2026, 9:30 a.m., City Hall Council Chambers 3rd Floor
8. Adjournment
Thursday, June 25, 2026, 11: 25 a.m.
______________________________ ______________________________
Eli Wax, Secretary David Relos, President
South Bend
Redevelopment Commission
215 S. Dr. Martin Luther King, Jr. Blvd., Room 301, South Bend, Indiana
Redevelopment Commission Agenda Item
DATE : 7.2.26
FROM: Joseph Molnar, Deputy Director
Department of Community Investment
SUBJECT: Beacon Heights Renovation –
Development Agreement / Resolution
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 the Development Agreement and Resolution No. 3675 to fund an
EDC Loan in the amount of $1.25M for the Renovation of Beacon Heights
SPECIFICS: Beacon Heights is an existing affordable apartment complex with approximately 174 housing
units on the west side of the City of South Bend with a primary address of 3401 Ardmore Trail. The
complex was constructed in the mid-1940s and has served as affordable housing for the South Bend
community for decades. The property is in need of improvements both to the housing units and the
common spaces.
L+M Development Partners has entered into an agreement to purchase the property from the existing
owner and is in the process of receiving Low Income Housing Tax Credits from the Indiana Housing and
Community Development Authority. L+M has established an Indiana based LLC – Beacon Apartments
Preservation, LLC – to manage and renovate the property. The planned redevelopment represents an
approximate $47 million private investment to fully renovate all existing housing units on the property,
ensuring long-term affordability and improving living conditions for residents. Critically, the project will
proceed as a "renovation in place," meaning no current residents will be displaced during construction.
The Beacon Heights Project directly supports the City’s mission to advance neighborhood revitalization
and expand and preserve affordable housing opportunities within the City.
The project will:
• Preserve and improve an existing affordable housing community
• Leverage substantial private investment into the River West Development Area
• Maintain long-term affordability through LIHTC financing
• Improve housing quality without displacing existing residents
______________ ___________Pres/V-Pres
ATTEST: __________ _______ _
Date: _____________ _______
APPROVED Not Approved
SOUTH BEND REDEVELOPMENT COMMISSION
South Bend
Redevelopment Commission
215 S. Dr. Martin Luther King, Jr. Blvd., Room 301, South Bend, Indiana
Previously the RDC at the 6/11/26 approved up to $1.25M in River West TIF revenues to fund the EDC
loan. Subsequently, the Economic Development Corporation and the Common Council have also
approved their necessary steps for full approval of the EDC loan.
The Redevelopment Commission must hold a final public hearing prior to voting on the Resolution.
The proposed Development Agreement and Resolution are the final approval steps to authorize the loan.
$1,250,000 in River West TIF revenues, subject to appropriation, to fund an EDC Loan supporting the
project. No TIF funds will be disbursed until the acquisition of the property by L+M Development
Partners (through Beacon Apartments Preservation, LLC) is successfully completed.
Staff recommend approval of the Development Agreement and Resolution.
1
DEVELOPMENT AGREEMENT
This Development Agreement (this “Agreement”), is effective as of July 31, 2026 (the
“Effective Date”), by and between the City of South Bend, Department of Redevelopment, acting
by and through its governing body, the South Bend Redevelopment Commission (the
“Commission”), and Beacon Apartments Preservation LLC, an Indiana limited liability company
with registered offices at 2 Park Avenue, 23rd Floor New York, NY 10016 (the “Developer”)
(each, a “Party,” and collectively, the “Parties”).
RECITALS
WHEREAS, the Commission exists and operates under the provisions of the
Redevelopment of Cities and Towns Act of 1953, as amended (I.C. 36-7-14 et seq., the “Act”);
and
WHEREAS, the Act provides that the clearance, replanning, and redevelopment of
redevelopment areas are public uses and purposes for which public money may be spent; and
WHEREAS, the Developer is a real estate development firm focused primarily on
affordable and mixed-income housing with a mission to provide quality housing projects; and
WHEREAS, the Developer owns certain real property in the City of South Bend, Indiana
(the “City”), described in Exhibit A, together with all fixtures, easements, appurtenances,
hereditaments, rights, powers, privileges, and other improvements there on and/or appurtenant
thereto (the “Developer Property”); and
WHEREAS, the Developer currently has private financing and desires to construct,
renovate, or otherwise rehabilitate certain elements of the Developer Property (the “Project”) in
accordance with the project plan (the “Project Plan”) attached hereto as Exhibit B; and
WHEREAS, the Developer Property is located within the corporate boundaries of the City,
within the River West Development Area or areas serving the River West Development Area (the
“Area”); and
WHEREAS, the Commission has adopted (and subsequently amended, from time to time)
a development plan, which contemplates development of the Area consistent with the Project; and
WHEREAS, the City is committed to supporting the development, rehabilitation, and
preservation of affordable housing in South Bend; and
WHEREAS, the Project will rehabilitate approximately 174 affordable rental units, and the
Project will contribute to the revitalization of the surrounding area and add vibrancy to the
neighborhood; and
WHEREAS, the Commission believes that accomplishing the Project as described herein
is in the best interests of the health, safety, and welfare of the City and its residents; and
2
WHEREAS, the Commission desires to facilitate and assist the Project by undertaking to
simultaneously reimburse the City for its costs incurred or to be incurred in providing a loan
pursuant to a certain Financing and Loan Agreement (the “Loan Agreement”) that the Parties
anticipate the Developer and the City executing pursuant to Indiana Code 36-7-12 to fund in part
certain local public improvements stated in Exhibit C (the “Local Public Improvements”) in
accordance with the Act, subject to the terms and conditions of this Agreement and that certain
Loan Agreement.
NOW, THEREFORE, in consideration of the mutual promises and obligations stated in
this Agreement, the adequacy of which is hereby acknowledged, the Parties agree as follows:
SECTION 1. DEFINITIONS.
Unless otherwise defined in this Agreement, capitalized terms used in this Agreement have
the following meanings:
1.1 Assessed Value. “Assessed Value” means the market value-in-use of a property,
used for property tax assessment purposes as determined by the St. Joseph County Assessor.
1.2 Funding Amount. “Funding Amount” means an amount not to exceed One Million
Two Hundred Fifty Thousand Dollars ($1,250,000.00) consisting of tax increment finance
revenues to be provided to the City by the Commission, to simultaneously reimburse the City for
its costs incurred, or to be incurred through the Loan Agreement that will be subsequently executed
by the Parties, to make the Loan pursuant to the terms of the Loan Agreement, which will be used
for paying a portion of the costs associated with the construction, equipping, inspection, and
delivery of the Local Public Improvements.
1.3 Private Investment. “Private Investment” means an amount no less than Forty-
Seven Million Dollars ($47,000,000.00) to be expended by the Developer for the costs associated
with constructing the improvements set forth in the Project Plan, including architectural,
engineering, and any other costs directly related to completion of the Project that are expected to
contribute to increases in the Assessed Value of the Developer Property. For the avoidance of
doubt, “Private Investment” shall include any and all sources of financing for the Project other
than the Funding Amount from the City.
SECTION 2. INTERPRETATION, TERMS, AND RECITALS.
2.1 Interpretation.
(a) The terms “herein,” “hereto,” “hereunder,” and all terms of similar import
shall be deemed to refer to this Agreement as a whole rather than to any Article of, Section
of, or Exhibit to this Agreement.
(b) Unless otherwise specified, references in this Agreement to (i) “Section” or
“Article” shall be deemed to refer to the Section or Article of this Agreement bearing the
number so specified, (ii) “Exhibit” shall be deemed to refer to the Exhibit of this Agreement
bearing the letter or number so specified, and (iii) references to this “Agreement” shall
mean this Agreement and any exhibits and attachments hereto.
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(c) Captions used for or in Sections, Articles, and Exhibits of this Agreement
are for convenience of reference only and shall not affect the construction of this
Agreement.
(d) The terms “include,” “including,” and “such as” shall each be construed as
if followed by the phrase “without being limited to.”
2.2 Recitals. The Recitals set forth above are incorporated into and are a part of this
Agreement for all purposes.
SECTION 3. DEVELOPER’S OBLIGATIONS.
3.1 Generally. The Parties acknowledge and agree that the Commission’s agreements
to perform and abide by the covenants and obligations set forth in this Agreement are material
consideration for the Developer’s commitment to perform and abide by the covenants and
obligations of the Developer contained in this Agreement. The Parties further acknowledge and
agree that the Developer’s obligations under this Agreement are hereby conditioned upon the
execution and closing of the Loan Agreement. In the event that subsequent negotiations by the
Parties do not result in an executed Loan Agreement by December 31, 2026, this Agreement shall
become null and void.
3.2 The Project.
(a) The Developer will perform or shall cause to be performed all necessary
work to complete the improvements set forth in the Project Plan attached hereto as Exhibit
B and the plans and specifications approved by the City Planner, or his designee, pursuant
to Section 3.5 (“Plans and Specifications for Project”) of this Agreement, which
improvements shall comply in all material respects with all applicable zoning and land use
laws and ordinances.
(b) The Developer will expend the Private Investment to complete the Project
in accordance with the Project Plan attached hereto as Exhibit B and the Plans and
Specifications for Project of this Agreement.
3.3 Timeframe for Completion. Subject to the Unavoidable Delay provisions of
Section 7.12 of the Loan Agreement and the Force Majeure provisions of Section 6.2 of this
Agreement, the Developer hereby agrees to complete the Project as set forth in the Project Plan
attached hereto as Exhibit B and any other obligations the Developer may have under this
Agreement by December 31, 2029, or otherwise agreed between the Developer and the
Commission, as may be modified due to unforeseen circumstances and delays (the “Mandatory
Project Completion Date”). Notwithstanding Section 6.1 of this Agreement to the contrary, the
Developer’s failure to complete the Project substantially in accordance with the terms hereof,
expend the Private Investment as needed to complete the Project, or substantially fulfill any other
material obligations the Developer may have under this Agreement by the Mandatory Project
Completion Date will constitute a default under this Agreement without any requirement of notice
of or an opportunity to cure such failure.
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3.4 Reporting Obligations.
(a) Upon the entering into of major contracts for substantial portions of the
Project and again upon substantial completion of the Project, the Developer hereby agrees
to report to the Commission the number of local contractors and local laborers involved in
the Project, the amount of bid awards for each major contract related to the Project, and
information regarding which major contractor is awarded each contract with respect to the
Project. For purposes hereof, “major contractor” or "major contract” shall mean any
contract in excess of $500,000 or any contractor that is a party to any contract in excess of
$500,000.
(b) On or before June 30 and December 31 of each year until substantial
completion of the Project, the Developer shall submit to the Commission a report, in the
format set forth as Exhibit D, demonstrating the Developer’s good-faith compliance with
the terms of this Agreement. The report shall include the following information and
documents: (i) a status report of the construction/rehabilitation completed to date, (ii) an
update on the project schedule, (iii) an itemized accounting generally identifying the
Private Investment to date, and (iv) a status report of the number of jobs created for
employment at the Developer Property.
3.5 Submission of Plans and Specifications for Project. The Plans and Specifications
for the Project have been submitted to and approved by the Commission as of the date hereof, and
any material changes thereto from and after the date hereof shall be delivered to the City’s
Executive Director Department of Community Investment, or his or her designee, who may
approve or disapprove said material changes in his or her sole and reasonable discretion and may
request reasonable revisions or amendments to be made to the same, in each instance subject to
the rights of the Developer’s senior lenders; provided, however, that nothing herein shall limit or
impair the City’s authority to enforce applicable laws, codes, permits, or requirements relating to
public health, safety, access, or use of public rights-of-way.
3.6 Non-Interference. Developer hereby agrees to use commercially reasonable efforts
to minimize disruption for those living at and working near the Developer Property during
construction of the Project (recognizing that some level of disruption is inherent in construction
activities, but not excusing Developer from its obligations under this Section).
3.7 Insurance. The Developer shall purchase and maintain comprehensive insurance
coverage as is appropriate for the work being performed with respect to the Project. The Developer
shall provide proof of such adequate insurance to the Commission and shall notify the Commission
and the City of any change in or termination of such insurance. During the period of construction
or provision of services regarding any Local Public Improvements, the Developer shall maintain
insurance in the kinds and for at least the minimum amounts as described in Exhibit E attached
hereto and the Commission and the City shall be named as additional insureds on such policies
(but not on any worker’s compensation policies).
Notwithstanding anything to the contrary contained in the loan documents, in the event of any fire
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or other casualty to the Project or eminent domain proceedings resulting in condemnation of the
Project, or any part thereof, Borrower shall have the right to rebuild the Project, and to use all
available insurance or condemnation proceeds therefor, provided that (a) such proceeds are
sufficient to keep the Loan in balance and rebuild the Project in a manner that provides adequate
security to Lender for repayment of the Loan, or if such proceeds are insufficient then Borrower
shall have funded any deficiency, (b) Lender shall have the right to approve plans and
specifications for any major rebuilding and the right to approve disbursements of insurance or
condemnation proceeds for rebuilding under a construction escrow or similar arrangement, and (c)
no continuing material default then exists by Borrower under the loan documents. If the casualty
or condemnation affects only part of the Project and total rebuilding is infeasible, then proceeds
may be used for partial rebuilding and partial repayment of the Loan in a manner that provides
adequate security to Lender for repayment of the remaining balance of the Loan. Notwithstanding
the foregoing, any rebuilding or restoration of the Project shall, to the extent reasonably practicable
and subject to the rights of the Developer’s senior lenders, be performed in a manner consistent in
all material respects with the Project as approved under this Agreement (including the Project
Plan), as such Project may be reasonably modified with the prior written approval of the City,
which approval shall not be unreasonably withheld, conditioned, or delayed.
3.8 Information. The Developer agrees to provide any and all non-proprietary and non-
confidential due diligence items with respect to the Project reasonably requested by the
Commission.
SECTION 4. COMMISSION’S OBLIGATIONS.
4.1 Generally. The Parties acknowledge and agree that the Developer’s agreement to
perform and abide by the covenants and obligations set forth in this Agreement is material
consideration for the Commission’s commitment to perform and abide by the covenants and
obligations of the Commission contained in this Agreement.
4.2 Cooperation. The Commission agrees to endorse and support the Developer’s
efforts to expedite the Project through any required planning, design, permitting, waiver, and
related regulatory processes, provided, however, that the Commission will not be required to
expend any money in connection therewith.
4.3 Public Announcements, Press Releases, and Marketing Materials. The
Commission hereby agrees to coordinate all public announcements and press releases relating to
the Project with the Developer.
SECTION 5. COOPERATION IN THE EVENT OF LEGAL CHALLENGE.
5.1 Cooperation. In the event of any administrative, legal, or equitable action or other
proceeding instituted by any person not a party to this Agreement challenging the validity of any
provision of this Agreement, the Parties shall cooperate in defending such action or proceeding to
settlement or final judgment including all appeals. Each Party shall select its own legal counsel;
however, Developer shall reimburse the Commission for its reasonable attorneys’ fees associated
with the Commission’s defense of this Agreement against a third-party lawsuit. In no event shall
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the Commission be required to bear the fees and costs of the Developer’s attorneys. The Parties
agree that if any other provision of this Agreement, or this Agreement as a whole, is invalidated,
rendered null, or set aside by a court of competent jurisdiction, the Parties agree to be bound by
the terms of this Section 5.1, which shall survive such invalidation, nullification, or setting aside.
SECTION 6. DEFAULT.
6.1 Default. Any failure by either Party to perform any material term or provision of
this Agreement, which failure continues uncured for a period of thirty (30) days following receipt
of written notice of such failure from the other Party or for such longer period as the Commission
may agree to in writing; provided, that if the failure is of such nature that it can be corrected but
not within the applicable period, that failure shall not constitute a default so long as the Developer
institutes curative action within the applicable period and diligently pursues that action to
completion, shall constitute a default under this Agreement. Any notice given pursuant to the
preceding sentence shall specify the nature of the alleged failure and, where appropriate, the
manner in which said failure satisfactorily may be cured. Upon the occurrence and continuance
of a default under this Agreement that continues beyond all applicable notice and cure periods, the
non-defaulting Party may (a) terminate this Agreement, or (b) institute legal proceedings at law or
in equity (including any action to compel specific performance) seeking remedies for such default,
provided that nothing herein shall limit the rights of the Developer’s senior lenders with respect to
their collateral under the applicable loan documents, and further provided that the foregoing shall
not limit or impair the City’s rights to enforce the obligations of this Agreement against the
Developer. If the default is cured within the notice and cure period described in this Section 6.1,
then no default shall exist and the noticing Party shall take no further action. In the event that the
Developer fails (a) to complete the Project substantially in accordance with the terms hereof by
the Mandatory Project Completion Date, or (b) to expend the full amount of the Private Investment
necessary to complete the Project by the Mandatory Project Completion Date, Developer will be
considered in default, and the Developer will be required to repay the Funding Amount received
in accordance with the terms of the Loan Agreement.
Borrower’s investor member shall have the right, but not the obligation, to cure any default by
Borrower under the loan documents, and City agrees to accept any such cure tendered by
Borrower’s investor member within any applicable grace period or cure period available to
Borrower.
6.2 Force Majeure. Notwithstanding anything to the contrary contained in this
Agreement, none of the Parties shall be deemed to be in default where delays in performance or
failures to perform are due to, and a necessary outcome of, war, insurrection, strikes or other labor
disturbances, walk-outs, riots, floods, earthquakes, fires, casualties, acts of God, acts of terrorism,
restrictions imposed or mandated by governmental entities, pandemics, epidemics, enactment of
conflicting state or federal laws or regulations, new or supplemental environments regulations,
contract defaults by third parties, or similar basis for excused performance which is not within the
reasonable control of the Party to be excused (each, an event of “Force Majeure”). Upon the
request of any of the Parties, a reasonable extension of any date or deadline set forth in this
Agreement due to such cause will be granted in writing for a period necessitated by the event of
Force Majeure, or longer as may be mutually agreed upon by all the Parties.
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SECTION 7. NO AGENCY, JOINT VENTURE, OR PARTNERSHIP; CONFLICT OF
INTEREST; INDEMNITY.
7.1 No Agency, Joint Venture or Partnership. The Parties acknowledge and agree that:
(a) The Project is a private development;
(b) The Commission shall have no ownership interest in, or responsibility or
liability with respect to the Project or any improvements constructed in connection
therewith, and the Developer shall be solely responsible for all such improvements and any
obligations to third parties arising therefrom; and
(c) The Parties hereby renounce the existence of any form of agency
relationship, joint venture, or partnership between the Commission and the Developer and
agree that nothing contained herein or in any document executed in connection herewith
shall be construed as creating any such relationship between the Commission and the
Developer.
7.2 Conflict of Interest; Commission Representatives Not Individually Liable. No
member, official, or employee of the Commission or the City may have any personal interest,
direct or indirect, in this Agreement, nor shall any such member, official, or employee participate
in any decision relating to this Agreement which affects his or her personal interests or the interests
of any corporation, partnership, or association in which he or she is, directly or indirectly,
interested. No member, official, or employee of the Commission or the City shall be personally
liable to the Developer, or any successor in interest, in the event of any default or breach by the
Commission or for any amount which may become due to the Developer, or its successors and
assigns, or on any obligations under the terms of this Agreement. No partner, member, employee,
or agent of the Developer or successors of them shall be personally liable to the Commission under
this Agreement.
7.3 Indemnity. The Developer agrees to indemnify, defend, and hold harmless the
Commission and the City from and against any third-party claims suffered by the Commission or
the City resulting from or incurred in connection with the Project, provided, however, that the
Developer shall have no responsibility hereunder with respect to and liability or claims suffered
by the Commission or the City due to their own willful misconduct or gross negligence, nor shall
the Developer have any liability hereunder with respect to any claims or liability that arises from
actions that first occur after the Developer is no longer in possession of the Project, except to the
extent arising from the acts or omissions of the Developer or its contractors.
SECTION 8. MISCELLANEOUS.
8.1 Severability. If any term or provision of this Agreement is held by a court of
competent jurisdiction to be invalid, void, or unenforceable, the remaining terms and provisions
of this Agreement shall continue in full force and effect unless amended or modified by mutual
consent of the parties.
8.2 Waiver. Neither the failure nor any delay on the part of a Party to exercise any
right, remedy, power, or privilege under this Agreement shall operate as a waiver thereof, nor shall
8
any single or partial exercise of any right, remedy, power, or privilege preclude any other or further
exercise of the same or of any right, remedy, power, or privilege with respect to any occurrence
be construed as a waiver of any such right, remedy, power, or privilege with respect to any other
occurrence. No waiver shall be effective unless it is in writing and is signed by the party asserted
to have granted such waiver.
8.3 Other Necessary Acts. Each Party shall execute and deliver to the other Parties all
such other further instruments and documents as may be reasonably necessary to accomplish the
Project and the Local Public Improvements contemplated by this Agreement and to provide and
secure to the other Parties the full and complete enjoyment of its rights and privileges hereunder.
Notwithstanding the foregoing, the Parties understand and agree that certain actions contemplated
by this Agreement may be required to be undertaken by persons, agencies, or entities that are not
a party to this Agreement, including, but not limited to certain permits, consents, and/or approvals
(to the extent they have not yet been obtained and completed), and that any action by such third
parties shall require independent approval by the respective person, agency, entity, or governing
body thereof.
8.4 Dispute Resolution; Waiver of Jury Trial. Any action to enforce the terms or
conditions of this Agreement or otherwise concerning a dispute under this Agreement will be
commenced in the courts of St. Joseph County, Indiana, unless the Parties mutually agree to an
alternative method of dispute resolution. The Parties acknowledge that disputes arising under this
Agreement are likely to be complex and they desire to streamline and minimize the cost of
resolving such disputes. In any legal proceeding, each Party irrevocably waives the right to trial
by jury in any action, counterclaim, dispute, or proceeding based upon, or related to, the subject
matter of this Agreement. This waiver applies to all claims against all parties to such actions and
proceedings. This waiver is knowingly, intentionally, and voluntarily made by both Parties.
8.5 Attorneys’ Fees. In the event the Commission pursues any legal action (including
arbitration) to enforce or interpret this Agreement and the Commission prevails, Developer shall
pay Commission’s reasonable attorneys’ fees and other costs and expenses (including expert
witness fees).
8.6 Equal Employment Opportunity. The Developer, for itself and its successors and
assigns, agrees that during the construction of the Project:
(a) The Developer will not discriminate against any employee or applicant for
employment because of race, color, religion, sex, or national origin. The Developer agrees
to post in conspicuous places, available to employees and applicants for employment,
notices setting forth the provisions of this nondiscrimination clause; and
(b) The Developer will state, in all solicitations or advertisements for
employees placed by or on behalf of the Developer, that all qualified applicants will receive
consideration for employment without regard to race, color, religion, sex, or national origin.
8.7 Counterparts. This Agreement may be executed in separate counterparts, each of
which when so executed shall be an original, but all of which together shall constitute one and the
9
same instrument. Any electronically transmitted version of a manually executed original shall be
deemed a manually executed original.
8.8 Notices and Demands. Any notice, demand, or other communication required or
permitted under the terms of this Agreement may be delivered (a) by hand-delivery (which will be
deemed delivered at the time of receipt), (b) by registered or certified mail, return receipt requested
(which will be deemed delivered three (3) days after mailing), or (c) by overnight courier service
(which will be deemed delivered on the next business day) to each Party’s respective addresses
and representatives stated below.
Developer:
Beacon Apartments Preservation LLC
2 Park Avenue, 23rd Floor
New York, New York 10016
Attention: Jeffrey Moelis and Adam Hellegers, Esq.
Email: jmoelis@lmdp.com and
ahellegers@lmdp.com
With a copy to: Cohen Liuzzo PLLC
88 Pine Street, Suite 1430
New York, New York 10005
Attention: Anthony Bargnesi, Esq. and Eleor Cohen,
Esq.
Email: abargnesi@cohenliuzzo.com and
ecohen@cohenliuzzo.com
Commission: South Bend Redevelopment Commission
215 S. Dr. Martin Luther King Jr., Blvd., Suite 500
South Bend, IN 46601
Attn: Executive Director, Department of
Community Investment
With a copy to: South Bend Legal Department
215 S. Dr. Martin Luther King Jr., Blvd., Suite 600
South Bend, IN 46601
Attn: Corporation Counsel
Investor Member: Cinnaire Fund for Housing Limited Partnership 45
c/o Cinnaire 45, LLC
1118 South Washington
Lansing, Michigan48910
With a copy to: Kutak Rock LLP
1650 Farnam Street
Omaha, NE 68102
Attn: Asher R. Ball
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8.9 Governing Law. This Agreement is governed by and construed in accordance with
the laws of the State of Indiana.
8.10 Authority. Each undersigned person executing and delivering this Agreement on
behalf of a Party represents and certifies that he or she is the duly authorized officer or
representative of such Party, that he or she has been fully empowered to execute and deliver this
Agreement on behalf of such Party, and that all necessary action to execute and deliver this
Agreement has been taken by such Party.
8.11 No Third-Party Beneficiaries. Nothing in this Agreement, express or implied, is
intended or shall be construed to confer upon any person, firm, or corporation other than the Parties
hereto and their respective successors or assigns, any remedy or claim under or by reason of this
Agreement or any term, covenant, or condition hereof, as third-party beneficiaries or otherwise,
and all of the terms, covenants, and conditions hereof shall be for the sole and exclusive benefit of
the Parties herein.
8.12 Assignment. The Developer’s rights under this Agreement shall be personal to the
Developer and shall not run with the land. The Developer may not assign its rights or obligations
under this Agreement to any third party without obtaining the Commission’s prior written consent
to such assignment, which the Commission may give or withhold in its sole discretion. In the
event the Developer seeks the Commission’s consent to any such assignment, the Developer shall
provide to the Commission all relevant information concerning the identities of the persons or
entities proposed to be involved in and an explanation of the purposes for the proposed
assignment(s).
8.13 Further Assurances. The Parties agree that they will each undertake in good faith,
as permitted by law, any action and execute and deliver any document reasonably required to carry
out the intents and purposes of this Agreement.
8.14 Exhibits. All exhibits described herein and attached hereto are incorporated into
this Agreement by reference.
8.15 Entire Agreement. No representation, promise, or inducement not included in this
Agreement will be binding upon the Parties hereto. This Agreement cannot be modified except
by mutual agreement of the Parties set forth in a written instrument signed by the Parties’
authorized representatives.
8.16 Time. Time is of the essence of this Agreement.
8.17 Limitation of Liability. Notwithstanding anything contained herein to the
contrary, the Parties hereby agree that (i) the obligations of the Developer hereunder shall not be
recourse to the members, partners, shareholders, agents or employees of the Developer; (ii) no
punitive, special, speculative, loss of profit or consequential damages shall be awarded in any suit,
action or other proceeding arising out of or based upon this Agreement or the subject matter hereof,
except as expressly provided in this Agreement, including any liquidated damages or repayment
obligations; (iii) the Developer shall not be liable to the extent any liability hereunder arose from
the fraud, gross negligence or willful misconduct of the City, Commission or any of their agents
11
and (iv) the Developer shall not be liable for any liability hereunder that first arises after the
Developer is no longer in possession of the Project, except to the extent arising from the acts or
omissions of the Developer or its contractors.
8.18 Subordination and No Limitation on Mortgagee or Financing Party. Any and all
rights of the Commission and obligations and liabilities of the Developer under this Agreement
and/or relating to the Loan (as defined in the Loan Agreement) shall be expressly subject and
subordinate to any mortgage loans or other indebtedness incurred by the Developer with respect
to the acquisition, construction, reconstruction and/or rehabilitation of the
Project. Notwithstanding anything in this Agreement to the contrary, (a) no provision of this
Agreement shall restrict or otherwise limit (i) any foreclosure by or other transfer of title to any
mortgagee or financing party of the Project, or (ii) any transfer of ownership of any interest in the
Developer to such mortgagee or financing party or any constituent owner of the Developer, and
(b) in the event of any such foreclosure by or other transfer of title to any mortgagee or financing
party, as permitted in clause (a)(i) above, any such mortgagee or financing party (or any party
taking by, through or under any such mortgagee or financing party) shall take title to the Project
free and clear of any responsibility, obligation and/or liability under this Agreement and/or the
Loan (as defined in the Loan Agreement) with respect to matters arising prior to such transfer and
without liability for the acts or omissions of the Developer, provided, however, that any such
mortgagee or financing party (or transferee) shall, from and after acquiring title, be subject to the
provisions of this Agreement applicable to the ownership, use, and operation of the Project.
Signature Page Follows
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IN WITNESS WHEREOF, the Parties hereby execute this Agreement to be effective as of
the Effective Date stated above.
SOUTH BEND REDEVELOPMENT
COMMISSION
______________________________
David Relos, President
ATTEST:
______________________________
Eli Wax, Secretary
BEACON APARTMENTS PRESERVATION LLC
an Indiana limited liability company
By:______________________________
Name: Adam Hellegers
Title: Authorized Signatory
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EXHIBIT A
Description of Developer Property
State Parcel ID: 71-08-04-203-031.000-026
Tax ID/Local Parcel No.: 018-2193-7236
Legal Description: see below
Commonly Known As: 3401 Ardmore Trail, South Bend, IN 46628
ALL THAT CERTAIN LOT, PIECE OR PARCEL OF LAND, WITH THE BUILDINGS AND
IMPROVEMENTS THEREON ERECTED, SITUATE, LYING AND BEING IN THE CITY OF
SOUTH BEND, COUNTY OF ST JOSEPH, STATE OF INDIANA.
THAT PART OF THE NORTHEAST QUARTER OF SECTION 4, TOWNSHIP 37 NORTH,
RANGE 2 EAST OF THE SECOND PRINCIPAL MERIDIAN, CITY OF SOUTH BEND, ST.
JOSEPH COUNTY, INDIANA DESCRIBED AS FOLLOWS:
BEGINNING AT A CONCRETE MONUMENT FOUND AT THE NORTHEAST CORNER OF
LOT 77, BRENTWOOD ESTATES, FIRST ADDITION, SECTION B; THENCE NORTH 89°
49’ 39” WEST, 720.02 FEET TO AN IRON PIPE FOUND; THENCE NORTH 000 08’ 09” EAST
552.33 FEET TO AN IRON PIPE FOUND; THENCE SOUTH, 89° 45’ 23” EAST 253.28 FEET
TO AN IRON PIPE FOUND; THENCE SOUTH 00° 03’ 36” WEST 68.80 FEET TO AN IRON
PIPE FOUND; THENCE SOUTH 89° 47’ 28” EAST 213.85 FEET TO AN IRON PIPE FOUND;
THENCE NORTH 00° 17’ 11” EAST 68.74 FEET TO AN IRON PIPE FOUND; THENCE
SOUTH 89° 47’ 48” EAST 253.15 FEET TO AN IRON PIPE FOUND; THENCE SOUTH 00°
07’ 04” WEST 88.64 FEET TO A CONCRETE MONUMENT FOUND; THENCE NORTH 89°
59’ 40” EAST 736.67 FEET TO A RE-BAR FOUND; THENCE CONTINUING NORTH 89° 59’
40” EAST 31.00 FEET; THENCE SOUTH 00° 24’ 47” WEST 596.92 FEET TO A CONCRETE
MONUMENT FOUND; THENCE CONTINUING SOUTH 00° 24’ 47” WEST, 32.80 FEET TO
THE CENTER LINE OF ARDMORE TRAIL (ALSO KNOWN AS CRUMSTOWN AVE.),
60.00 FEET RIGHT-OF-WAY; THENCE SOUTH 66° 33’ 51” WEST, ALONG THE CENTER
LINE OF SAID ARDMORE TRAIL, 835.40 FEET; THENCE NORTH 00° 11’ 44” EAST,
498.85 FEET, TO THE POINT OF BEGINNING.
EXCEPTING THEREFROM THE FOLLOWING DESCRIBED LAND:
A TRACT OF LAND LOCATED IN THE NORTHEAST QUARTER OF SECTION 4,
TOWNSHIP 37 NORTH, RANGE 2 EAST, MORE PARTICULARLY DESCRIBED AS
FOLLOWS:
COMMENCING AT A POINT WHICH IS THE INTERSECTION OF THE SOUTHERLY LINE
OF LINCOLN WAY WEST AND THE WEST LINE OF A RIGHT-OF-WAY 19 FEET IN
WIDTH AS DEDICATED IN THE RECORDED PLAT OF ALWARD’S ADDITION TO THE
CITY OF SOUTH BEND; THENCE SOUTH ALONG THE WEST LINE OF SAID 19 FOOT
RIGHT-OF-WAY A DISTANCE OF 633.09 FEET TO THE POINT OF BEGINNING, WHICH
IS THE NORTHEAST CORNER OF BEACON HEIGHTS ADDITION; THENCE
CONTINUING SOUTH ALONG THE WEST LINE OF SAID 19 FOOT RIGHT-OF-WAY, A
14
DISTANCE OF 330 FEET; THENCE WEST ALONG A LINE AT RIGHT ANGLES TO THE
LINE JUST DESCRIBED A DISTANCE OF 21 FEET; THENCE NORTH AND PARALLEL
TO SAID RIGHT-OF-WAY TO THE NORTH LINE OF SAID BEACON HEIGHTS; THENCE
EAST ALONG THE NORTH LINE OF SAID BEACON HEIGHTS, 21 FEET TO THE POINT
OF BEGINNING.
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EXHIBIT B
Project Plan
The Developer will complete the following work substantially in accordance with the terms
and conditions of this Agreement and in material compliance with all applicable laws and
regulations:
The Developer shall renovate and rehabilitate one hundred seventy-four (174) affordable
rental housing units and maintain all required affordability restrictions applicable to the
rental housing units. The renovation of each rental housing unit shall be deemed complete
upon the issuance of a Permanent Certificate of Occupancy pertaining to that unit.
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EXHIBIT C
Description of Local Public Improvements
Local Public Improvements will include improvements in support of the rehabilitation of
the Project, including, without limitation, those costs financed with proceeds of the Loan (as
defined in the Loan Agreement) undertaken in furtherance of the Project, as agreed upon between
the Parties, in material compliance with all applicable laws and regulations.
The Developer shall have the sole responsibility to fund any and all costs associated with
Local Public Improvements that exceeds the Funding Amount.
17
EXHIBIT D
Form of Report to Commission
City of South Bend
Department of Community Investment
Answer the below questions and return to the Department of Community Investment.
Project Information
Project Name: __________________________________________________________________
Address: _______________________________________________________________________
Construction Completed to Date:
Project Schedule Update:
Itemized Accounting of Private Investment to Date:
Number of Jobs Created:
Name: _______________________________________
Address: _______________________________________
_______________________________________
Position: _______________________________________
Email: _______________________________________
Signature: _______________________________________ Date: ___________________
Development Agreement Review
EXHIBIT E
Minimum Insurance Amounts
A. Worker’s Compensation
1. State Statutory
2. Applicable Federal Statutory
3. Employer’s Liability $100,000.00
B. Comprehensive General Liability and/or Excess Coverage
1. Bodily Injury
a. $5,000,000.00 Each Occurrence
b. $5,000,000.00 Annual Aggregate Products
and Completed Operation
2. Property Damage
a. $5,000,000.00 Each Occurrence
b. $5,000,000.00 Annual Aggregate
C. Comprehensive Automobile Liability
1. Bodily Injury
a. $500,000.00 Each Person
b. $500,000.00 Each Accident
2. Property Damage
a. $500,000.00 Each Occurrence
RESOLUTION NO. 3675
A RESOLUTION OF THE SOUTH BEND REDEVELOPMENT
COMMISSION APPROPRIATING CERTAIN FUNDS IN CONNECTION
WITH A DIRECT LOAN TO THE DEVELOPER OF AN ECONOMIC
DEVELOPMENT FACILITY (BEACON HEIGHTS PROJECT)
WHEREAS, the South Bend Redevelopment Commission (the “Commission”), the
governing body of the South Bend Department of Redevelopment and the Redevelopment District
of the City of South Bend, Indiana (the “District”), exists and operates under the provisions of
Indiana Code 36-7-14, as amended from time to time (the “Act”); and
WHEREAS, the Commission is committed to improving the City of South Bend, Indiana
(the “City”) by administering and funding projects that support economic development, public
infrastructure, and neighborhood revitalization; and
WHEREAS, the Commission has previously adopted a declaratory resolution, as
subsequently confirmed and amended, which (i) declared the River West Development Area (the
“River West Development Area”) as an economic development area pursuant to Section 41 of the
Act, (ii) designated the River West Development Area as an allocation area pursuant to Section 39
of the Act (the “River West Allocation Area”), for the purpose of capturing property tax proceeds
derived from incremental assessed valuation of real property in such allocation area which is in
excess of the “base assessed value” (such property tax proceeds, hereinafter referred to as “River
West TIF Revenues”), (iii) created the River West Allocation Area Fund into which all River West
TIF Revenues are deposited, all pursuant to and as described in Section 39 of the Act, and (iv)
approved an economic development plan for the River West Development Area; and
WHEREAS, Beacon Apartments Preservation LLC, an Indiana limited liability company
(the “Developer”), has informed the City that it desires to construct, renovate and/or rehabilitate
certain economic development facilities within the City which will consist of up to one hundred
seventy-four (174) affordable housing rental units in the existing Beacon Heights development in
the River West Development Area in the City, with an approximate total redevelopment cost of
Forty-Seven Million Dollars ($47,000,000) including a private investment of no less than Forty-
Seven Million Dollars ($47,000,000) to be expended by the Developer, on certain parcels of real
property which are located in or physically connected to, and will directly serve and benefit, the
River West Development Area and the River West Allocation Area (collectively, the “Project”),
and has requested that the City make a loan to the Developer for the purposes of financing or
reimbursing the Developer for a portion of the costs of construction, renovation and/or
rehabilitation of the Project; and
WHEREAS, the Common Council of the City adopted its loan ordinance (the "Loan
Ordinance") on June 22, 2026, which Loan Ordinance authorizes the issuance and funding of a
forgivable loan from the City to the Developer (the “Loan”) in the total aggregate principal amount
not to exceed One Million Two Hundred Fifty Thousand Dollars ($1,250,000) to finance a portion
of the Project;
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WHEREAS, the Commission previously adopted its Resolution No. 3672 on June 11,
2026, determining, subject to appropriation thereof by the Commission, to make available the
River West TIF Revenues to simultaneously reimburse the City for its costs incurred to fund the
Loan to the Developer with respect to the Project; and
WHEREAS, the Commission now desires to appropriate an amount not to exceed One
Million Two Hundred Fifty Thousand Dollars ($1,250,000) consisting of River West TIF
Revenues to fund the Loan to the Developer with respect to the Project; and
WHEREAS, notice of a hearing on said appropriation has been filed with the Indiana
Department of Local Government Finance through its Gateway system as required by Indiana law
and on this date a public hearing has been conducted regarding such appropriation;
NOW, THEREFORE, BE IT RESOLVED BY THE SOUTH BEND REDEVELOPMENT
COMMISSION, AS FOLLOWS:
SECTION 1. An appropriation in an amount not to exceed One Million Two
Hundred Fifty Thousand Dollars ($1,250,000) is hereby made for the purpose of simultaneously
reimbursing the City for expenditures made, or to be made, by the City to fund the Loan to the
Developer with respect to the Project, and the funds to meet this appropriation will be provided
out of the River West TIF Revenues collected in the River West Allocation Area. Said
appropriation shall be in addition to all other appropriations provided for in the existing budget
and tax levy.
SECTION 2. The officers of the Commission and the Controller of the City are
hereby directed to make any and all required filings, if any, with the Department of Local
Government Finance in connection with this resolution.
SECTION 3. The President, Vice President or any other officer or member of the
Commission is hereby authorized to take all such actions and to execute all such instruments as
are desirable to carry out the transactions contemplated by this resolution, in such forms as such
officer or member executing the same shall deem proper, to be conclusively evidenced by the
execution thereof.
SECTION 4. This Resolution shall be in full force and effect from and after its
passage.
ADOPTED at a meeting of the South Bend Redevelopment Commission held on July 9,
2026, in the City Hall Council Chambers, 3rd Floor, 215 S. Dr. Martin Luther King, Jr., Boulevard,
South Bend, Indiana, 46601.
SOUTH BEND REDEVELOPMENT
COMMISSION
By:
David Relos, President
ATTEST:
Eli Wax, Secretary
DMS 53323517v1
South Bend
Redevelopment Commission
215 S. Dr. Martin Luther King, Jr. Blvd., Room 301, South Bend, Indiana
Redevelopment Commission Agenda Item
DATE : 7/1/2026
FROM: Joseph Molnar,
Deputy Director Community Investment
SUBJECT: Resolution Approving Execution of Lease
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: Authorization of Proposed Lease with South Bend Redevelopment Authority
for issuance of Tax-Exempt Lease Rental Revenue Bonds, Series A, and Taxable Lease Rental
Revenue Bonds, Series B
SPECIFICS: The proposed lease would initiate the process of issuance of TIF-funded bonds
to support a number of Public Improvement Projects in the River West TIF District, including:
• Coal Line Phase III Installation - Extension of the existing Coal Line Trail from Lincoln Way West to
the Martin Luther King Jr. Dream Center
• College Street Streetscape Improvements - connection with Phase III of the Coal Line Trail
• Infrastructure improvements consisting of roads, storm water, sewer, and water utility
infrastructure improvements along or adjacent to Old Cleveland Road
• New Rum Village Neighborhood Community Center - Construction, renovation and equipping of
a new Rum Village Neighborhood Center
• Near Westside Neighborhood Park – Acquisition costs
• Former Drewry’s Brewery Infrastructure/Portage Elwood -infrastructure improvements to
support the redevelopment of the former Drewry’s property
• Muessel Grove Park Improvements -Improvements to Muessel Grove Park immediately adjacent
to the former Drewrys Brewery
• Morris Performing Arts Center Parking Garage – Help fund construction of a structured parking
garage attached to the Morris.
______________ ___________Pres/V-Pres
ATTEST: __________ _______ _
Date: _____________ _______
APPROVED Not Approved
SOUTH BEND REDEVELOPMENT COMMISSION
South Bend
Redevelopment Commission
215 S. Dr. Martin Luther King, Jr. Blvd., Room 301, South Bend, Indiana
If approved, South Bend Common Council will hear resolution authorizing bond issuance.
These projects will improve infrastructure, expand access to parks, trails, and community facilities, and
strengthen neighborhood connectivity, directly enhancing quality of life for South Bend residents.
Staff recommends approval.
RESOLUTION NO. 3676
A RESOLUTION OF THE SOUTH BEND
REDEVELOPMENT COMMISSION AUTHORIZING THE EXECUTION
OF A LEASE BETWEEN THE SOUTH BEND REDEVELOPMENT AUTHORITY AND
THE SOUTH BEND REDEVELOPMENT COMMISSION, AND ALL MATTERS
RELATED THERETO
WHEREAS, the South Bend Redevelopment Commission (the “Commission”), the
governing body of the South Bend Department of Redevelopment and the Redevelopment District
of the City of South Bend, Indiana (the “District”), exists and operates under the provisions of
Indiana Code 36-7-14, as amended from time to time (the “Act”); and
WHEREAS, the Commission, pursuant to declaratory resolutions previously adopted by
the Commission and amended from time to time, has declared a certain area of the City of South
Bend, Indiana (the “City”) known as the “River West Development Area” (the “Area”) as an
economic development area and an allocation area under the Act and approved an economic
development plan for the Area; and
WHEREAS, the Commission has given consideration to undertaking local public
improvement projects in the Area including all or any portion of the following: (i) Coal Line Trail
Phase III which consists of the extension of the existing Coal Line Trail from Lincoln Way West
to the Martin Luther King Jr. Dream Center, and any related improvements; (ii) College Street
streetscape improvements in connection with Phase III of the Coal Line Trail, and any related
improvements; (iii) infrastructure improvements consisting of roads, storm water, sewer, and water
utility infrastructure improvements along or adjacent to Old Cleveland Road, and any related
improvements; (iv) the acquisition, construction, renovation and equipping of a new Rum Village
Neighborhood Center, and any related improvements; (v) acquisition of land in the near west side
of the City for a new neighborhood park, and any related improvements; (vi) infrastructure
improvements to support the redevelopment of the former Drewry’s property and improvements
to the adjacent Muessel Grove Park, and any related improvements; (vii) acquisition, construction
and equipping of a new parking garage structure attached to the Morris Performing Arts Center,
and any related improvements; and (viii) all projects related to any of the projects described in
clauses (i) through and including (vii) (clauses (i) through and including (viii), collectively, the
“Projects”); and
WHEREAS, the South Bend Redevelopment Authority (the “Authority”) has been
established pursuant to the applicable provisions of Indiana Code 36-7-14.5 as a separate body
corporate and politic, and as an instrumentality of the City to finance local public improvements
for lease to the Commission; and
WHEREAS, on June 25, 2026, the Commission at a duly advertised and noticed public
meeting, adopted its Resolution No. 3674 approving a proposed form of lease (the “Lease”) with
the Authority, as lessor, for all or a portion of certain roads in the City consisting of (i) Chapin
Street from its intersection with Lincoln Way West to its intersection with Sample Street, (ii)
Sample Street from its intersection with Chapin Street to its intersection with Mayflower Road,
(iii) Colfax Avenue/Orange Street from its intersection with South Dr. Martin Luther King, Jr.
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Boulevard to its intersection with Meade Street, (iv) Washington Street/Orange Street from its
intersection with Meade Street to its intersection with Kenwood Avenue, (v) Kenwood Avenue
from its intersection with Orange Street to its terminus west of Meade Street, and (vi) Meade
Street/Bertrand Street from its intersection with Kenwood Avenue to its intersection with Eclipse
Place (collectively, the “Leased Premises”) in order to provide increased redevelopment and
economic development and job creation opportunities for the residents of the City and the
Commission scheduled a public hearing regarding the Lease to be held on July 9, 2026, at 9:30
a.m. (local time), in the City Hall Council Chambers, 3rd Floor, 215 S. Dr. Martin Luther King,
Jr., Boulevard, South Bend, Indiana, and published notice of such public hearing on the Lease in
accordance with applicable Indiana law; and
WHEREAS, on this date said public hearing has been held, and all interested parties have
been provided the opportunity to be heard at the hearing; and
WHEREAS, the Commission intends to pay rent to the Authority (the “Rental Payments”)
pursuant to the terms of the Lease, at a rate not to exceed Five Million Dollars ($5,000,000.00) per
year, in semiannual installments, with a term no longer than nineteen (19) years beginning on the
date the Authority acquires an interest in the Leased Premises, and ending on the day prior to a
date not later than nineteen (19) years after such date of acquisition by the Authority; and
WHEREAS, the Commission expects the Authority to consider the issuance of lease rental
revenue bonds in one (1) or more series for the purpose of (i) financing the cost of funding all or
any portion of the costs of the Projects and related expenses; (ii) funding a debt service reserve
fund, if necessary in connection with the issuance of bonds to finance the costs of the Projects or
purchasing a surety bond to satisfy a reserve requirement; and (iii) paying costs incurred in
connection with the issuance of said bonds and which bonds will be payable from the Rental
Payments; and
WHEREAS, the Commission seeks to authorize execution of the Lease and authorize the
publication, in accordance with Indiana Code 36-7-14-25.2 and Indiana Code 6-1.1-20-5, of a
Notice of Execution and Approval of Lease;
NOW, THEREFORE, BE IT RESOLVED BY THE SOUTH BEND
REDEVELOPMENT COMMISSION, AS FOLLOWS:
SECTION 1. The Commission hereby finds and determines that (i) the terms of the Lease
are based upon the value of the Leased Premises, and the Rental Payments to be paid by the
Commission, pursuant to the terms of the Lease, at a rate not to exceed Five Million Dollars
($5,000,000.00) per year, in semiannual installments, with a term no longer than nineteen (19)
years beginning on the date the Authority acquires an interest in the Leased Premises and ending
on the day prior to a date not later than nineteen (19) years (the “Term”) after such date of
acquisition by the Authority, are fair and reasonable, (ii) the use of the Leased Premises throughout
the Term of the Lease will serve the public purpose of the City and is in the best interests of its
residents, and (iii) the execution and delivery of the Lease is needed.
SECTION 2. The President or Vice-President and the Secretary of this Commission are
hereby authorized and directed, on behalf of the City, and subject to obtaining approval from the
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Common Council of the City (the “Common Council”), to execute, attest, and deliver the Lease in
substantially the form presented at this public meeting with such changes in form or substance as
the President or Vice-President of this Commission shall approve, such approval to be conclusively
evidenced by the execution thereof; provided that the Rental Payments and the Term shall not
exceed the amounts set forth in Section 1 hereof.
SECTION 3. The Secretary of the Commission is hereby directed to transmit to the
Common Council a copy of this Resolution and the Lease and to request the Common Council to
adopt a Resolution approving the Lease and its execution by the Commission and the Authority,
prior to the execution of the Lease.
SECTION 4. The Commission hereby authorizes the publication, in accordance with
Indiana Code 5-3-1 and 36-7-14-25.2, of the Notice of Execution and Approval of Lease, following
execution of the Lease by the Commission.
SECTION 5. The President, Vice-President and Secretary of this Commission, and each
of them, is hereby authorized and directed to take all such further actions and to execute all such
documents or instruments as are desirable to carry out the transactions contemplated by this
Resolution, in such forms as the President, Vice-President or Secretary executing the same shall
deem proper, such desirability to be conclusively evidenced by the execution thereof.
SECTION 6. This Resolution shall be in full force and effect from and after its adoption
by the Commission.
ADOPTED at a meeting of the South Bend Redevelopment Commission held on July 9,
2026, in the City Hall Council Chambers, 3rd Floor, 215 S. Dr. Martin Luther King, Jr., Boulevard,
South Bend, Indiana, 46601.
SOUTH BEND REDEVELOPMENT
COMMISSION
By:
David Relos, President
ATTEST:
Eli Wax, Secretary
DMS 53322252v1
South Bend
Redevelopment Commission
215 S. Dr. Martin Luther King, Jr. Blvd., Room 301, South Bend, Indiana
Redevelopment Commission Agenda Item
DATE : 7/2/26
FROM: Erin Michaels – Property Development
Manager
SUBJECT: Non-Exclusive Utility Easement Agreement for
ChoiceLight Inc. Sample Street Fiber Ductbank
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 Proposed Non-Exclusive Utility Easement Agreement for Fiber
Ductbank on Sample Street with ChoiceLight, Inc.
SPECIFICS: ChoiceLight, Inc. operates a professional fiber optic network serving St. Joseph, Elkhart and
Marshall County whose mission is to champion digital equity by building and expanding that fiber network
infrastructure to as many institutions as possible to ensure that businesses and other organizations have
access to reliable, high-speed internet.
The Redevelopment Commission (“RDC”) owns four vacant parcels on Sample Street in Ignition Park.
ChoiceLight, Inc. is requesting a non-exclusive 5’ easement over these four parcels for the installation of a
new fiber optic cable ductbank along Sample Street (the “Utility Easement”). The proposed easement
commits ChoiceLight to maintaining any facilities installed in the easement area as well as repairing or
restoring any portion of the easement area or right-of-way along Sample Street damaged during
installation, including replacement of any trees that would be removed during this work. Finally, if
redevelopment opportunities on these vacant lots require the relocation of the fiber optic ductbank the
RDC may require ChoiceLight, Inc. to relocate this equipment with written notice.
The proposed Utility Easement will assist in ChoiceLight, Inc.’s mission to bring digital equity to
organizations and businesses in St. Joseph County and provide valuable infrastructure to Ignition Park.
Staff recommends approval.
______________ ___________Pres/V-Pres
ATTEST: __________ _______ _
Date: _____________ _______
APPROVED Not Approved
SOUTH BEND REDEVELOPMENT COMMISSION
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NON-EXCLUSIVE UTILITY EASEMENT AGREEMENT
THIS NON-EXCLUSIVE UTILITY EASEMENT AGREEMENT (this “Agreement”) is
made and entered into effective as of the 9th day of July, 2026, between the City of South Bend,
Indiana, an Indiana municipal corporation, acting by and through its Redevelopment Commission
(the “Grantor”), and the ChoiceLight, Inc., an Indiana nonprofit corporation (the “Grantee”) (each a
“Party” and together the “Parties”), upon the following terms and conditions:
RECITALS
A. Grantor owns real property in South Bend, Indiana known as Lot 1 of Sample and
Lafayette Minor Subdivision and Lots 4, 5, and 6 of the Ignition Park Major Subdivision, more
particularly described in attached Exhibit A (the “Property”).
B. Grantee desires to install, operate, and maintain a fiber optic cable across certain
portions of the Property, as collectively described in attached Exhibit B and collectively depicted on
Exhibit C (the “Easement Area”). In the event of any conflict between Exhibit B and Exhibit C,
Exhibit B shall control.
C. Grantor is willing to grant a limited, non-exclusive easement subject to the terms and
restrictions set forth herein.
D. All present and future owners and occupants of the Property shall be and hereby are
subject to this Agreement, on the terms and conditions hereinafter set forth.
NOW, THEREFORE, in consideration of One Dollar ($1.00) and other good and valuable
consideration, including the public benefits associated with the installation of telecommunications
infrastructure, the Parties hereby covenant and agree that the Property and all present and future
owners and occupants of the Property, during the term of the Agreement, shall be and hereby are
subject to the easement hereinafter set forth in this Agreement, so that the Property shall be
maintained, kept, sold and used in full compliance with and subject to the Agreement and, in
connection therewith, the Parties hereto on behalf of themselves and their respective successors and
assigns covenant and agree as follows:
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1. Grant of Utility Easement. The Grantor hereby grants to the Grantee, its successors
and assigns, a non-exclusive easement and right-of-way for underground fiber optic
telecommunications facilities and related appurtenances, being in, on, over, under,
through and across the Easement Area as described in Exhibit B and depicted for
reference in Exhibit C. The easement includes the right, now and in the future, to
construct, reconstruct, operate, maintain, alter, improve, extend, inspect, patrol,
protect, repair, remove, replace, upgrade and relocate within the Easement Area all
necessary and convenient facilities relating to the Grantee’s installed fiber optic
cable, which include, but are not limited to: conductors, conduit, enclosures,
grounding systems, foundations, manholes, riser poles and all other appurtenant
equipment and fixtures, and to lay conductors, wires and cables; together with the
reasonable right to modify said facilities from time to time, provided that no other
utilities or additional facilities may be installed, or any third-party use permitted,
without prior written consent of the Grantor. Notwithstanding the foregoing, Grantor
hereby consents to the installation, ownership, operation, and maintenance within the
Easement Area of the conduit, handholes, and fiber optic facilities owned by Elkhart
County and depicted on plans approved in writing by Grantor. Such consent is
limited solely to Elkhart County and such approved facilities and shall not authorize
any additional third-party use, occupancy, conduit sharing, or installation of
additional facilities without the prior written consent of Grantor. Grantee shall not
assign, sublicense, or otherwise transfer its rights under this easement, in whole or in
part, without the prior written consent of Grantor. Notwithstanding Elkhart County's
use of facilities within the Easement Area, Grantee shall remain solely responsible to
Grantor for compliance with all obligations under this Agreement. Grantee shall at
all times comply with all applicable laws, permits, and City standards in its use and
shall perform all work in a good and workmanlike manner. Grantee shall exercise its
rights under this section subject to coordination with existing utilities and applicable
local approval requirements.
2. Existing Easements; Non-Interference. This easement is subject to all existing
easements, rights-of-way, and encumbrances of record. Grantee shall not
unreasonably interfere with other easement holders, whether public or private, and
shall reasonably accommodate coexisting utilities within the Easement Area. Upon
request, Grantee shall coordinate with such utility providers to avoid conflicts and
minimize disruption. Nothing herein grants Grantee priority over existing easements
of record or obligates Grantor to resolve conflicts.
3. Maintenance; Restoration. The Grantor may maintain and repair in good order and
condition the Easement Area, as determined in its sole discretion. The foregoing
shall include, but not be limited to: (a) removal of snow from the Easement Area in
accordance with the Grantor’s schedule therefor and (b) paving, repaving and
resurfacing the drive areas of the Easement Area, as and when needed in the sole
discretion of the Grantor. In the event the Grantee damages any part of the Easement
Area or the public right-of-way along Sample Street, Grantee shall promptly restore
such areas to substantially the same condition that existed immediately prior to such
damage and to City standards. Grantee shall minimize removal of trees to the extent
3
reasonably practicable, and any trees removed in connection with Grantee’s activities
shall be replaced, at Grantee’s sole cost and expense, with trees of similar type and
size, and in accordance with City standards. Such restoration shall be completed
within a reasonable time following written notice from Grantor. If Grantee fails to
timely restore the affected area, Grantor may perform such restoration, and Grantee
shall reimburse Grantor for all reasonable costs incurred. For purposes of this
provision, normal wear and tear shall not be considered “damage” to the Easement
Area.
4. Relocation. While the Easement Area is owned by Grantor, to accommodate public
projects, redevelopment, utilities, or other governmental purposes, Grantor may
require Grantee to relocate or remove its facilities. Upon such request, and at
Grantee’s sole cost and expense, Grantee shall relocate or remove its facilities
relating to the Grantee’s installed fiber optic cable upon at least thirty (30) days’
prior written notice from Grantor, or within such other time period as may be
mutually agreed by Grantor and Grantee (or sooner as reasonably required to protect
public health, safety, or infrastructure). Failure of Grantee to timely comply shall
constitute a material breach of this Agreement. The rights granted to Grantor under
this Section are personal to Grantor and shall not run with the land or be assignable
to any successor owner of the Easement Area.
5. Ownership. The Grantor represents and warrants that it is lawfully seized of the
Easement Area, that it has full right and power to grant the easement contained
herein, and that the Easement Area is free from all encumbrances, except any matters
of record, including existing easements. This Agreement grants only a limited use
right, not a lease or ownership interest.
6. Hazardous Materials. The Grantee shall not cause or knowingly permit any
hazardous material to be brought or remain upon, kept, used, discharged, leaked, or
emitted upon the Easement Area.
7. Indemnification. Each Party (the "Indemnifying Party") shall indemnify, defend, and
hold harmless the other Party, its departments, boards, officers, members, agents,
directors, managers, employees, successors, and assigns (collectively, the
“Indemnified Party”) from and against any and all claims, damages, losses,
liabilities, and expenses (including reasonable attorneys' fees) to the extent arising
out of or resulting from the negligence, recklessness, or willful misconduct of the
Indemnifying Party, its officers, employees, agents, contractors, or representatives in
connection with this Agreement or activities within the Easement Area. Nothing
herein shall be construed as a waiver of any governmental immunity or limitation of
liability available to Grantor under Indiana law.
8. Reservation of Rights. Grantor reserves for itself the free use of the Property and
Easement Area, in any manner not inconsistent with the terms of this Agreement.
The Grantor reserves the right to grant additional easements to other entities.
4
9. Covenant Running with the Land. Except as otherwise expressly provided herein, t
Grantor and Grantee intend that the rights and obligations set forth herein shall run
with the land and create equitable servitudes burdening the Property and benefitting
the Property, shall bind every person having any fee, leasehold, or other interest
therein, and shall inure to the burden or benefit of the respective Parties and their
successors, assigns, heirs, and personal representatives.
10. Term. This Agreement shall continue in effect indefinitely unless terminated by both
Parties or their successors or assigns in writing. Provided, however, that Grantor
may terminate this Agreement upon thirty (30) days’ written notice if (i) the
easement is no longer actively used for its intended purpose for a continuous period
of twelve (12) months, (ii) Grantee fails to comply with a material term of this
Agreement and does not cure within a reasonable period, or (iii) the Easement Area
is required for a public purpose requiring removal of the facilities.
11. Insurance. Grantee shall maintain, at its sole cost and expense, commercially
reasonable insurance coverage, including general liability insurance, naming
Grantor as an additional insured, in amounts reasonably acceptable to Grantor and
shall provide certificates of insurance upon request.
12. Recording. This Agreement shall be duly recorded in the Office of the Recorder of
St. Joseph County, Indiana, and all recording fees will be paid by the Grantee.
Grantee shall provide Grantor with a recorded copy promptly following recordation.
13. Governing Law. This Agreement shall be governed and construed in accordance
with the laws of the State of Indiana without reference to its conflict of laws
principles.
14. Cooperation. Each Party shall, at no additional cost to the other Party, cooperate
with the other and its authorized representatives with regard to any reasonable
requests made subsequent to execution of this Agreement to correct any clerical
errors contained in this Agreement and to provide any and all additional
documentation deemed necessary to effectuate the transaction contemplated by this
Agreement. Each Party further agrees that the term “cooperate,” as used in this
Agreement, includes agreeing to execute or re-execute any documents that the Parties
reasonably deem necessary or desirable to carry out the intent of this Agreement. All
Parties recognize the duty of each Party to act in good faith and with fair dealings
when effectuating the intent of this Agreement.
15. No Waiver. No failure or delay on the part of either Party in exercising any right
under this Agreement will operate as a waiver of, or impair, any such right. No
single or partial exercise of any such right will preclude any other or further exercise
thereof or the exercise of any other right. No waiver of any such right will have
effect unless given in a written document signed by the Party waiving such right. No
waiver of any right will be deemed a waiver of any other right hereunder.
5
16. Severability. In the event any portion of this Agreement shall be held illegal, void, or
ineffective, the remaining portions hereof shall remain in full force and effect. If any
of the terms or conditions of this Agreement are in conflict with any applicable
statute or rule of law, then such terms and conditions shall be deemed inoperative to
the extent that they may conflict therewith and shall be deemed to be modified to
conform to such law.
17. Entire Agreement; Amendment. This Agreement sets forth the entire agreement and
understanding between the Parties as to the subject matter hereof, and merges and
supersedes all prior discussions, agreements, and understanding of any and every
nature between them. This Agreement may be amended only by separate writing,
signed by authorized representatives of both the Grantor and Grantee.
(signature pages follow)
6
IN WITNESS WHEREOF, the Parties have executed this Agreement effective as of the
date first written above.
CHOICELIGHT, INC.
an Indiana non-profit corporation
By: _________________________
Regina Emberton,
Chief Executive Officer
Date Signed: ______ __, 2026
STATE OF INDIANA )
) SS:
COUNTY OF ST JOSEPH )
Before me, a Notary Public in and for said County and State, personally appeared REGINA
EMBERTON, the Chief Executive Officer for ChoiceLight, Inc., an Indiana non-profit corporation,
who, having been duly sworn in her capacity as Chief Executive Officer and on behalf of
ChoiceLight, Inc., acknowledged the execution of the foregoing Non-Exclusive Utility Easement
Agreement for the purposes therein contained.
WITNESS my hand and Notarial Seal this ___day ______ 2026.
_______________________________
Notary Public
_______________________________
Notary Public (Printed)
My Commission Expires: ____________
My County of Residence:_________________
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SOUTH BEND REDEVELOPMENT
COMMISSION
______________________________
David Relos, President
ATTEST:
______________________________
Eli Wax, Secretary
Date Signed: ______ __, 2026
STATE OF INDIANA )
) SS:
COUNTY OF ST. JOSEPH )
Before me, a Notary Public in and for said County and State, personally appeared David
Relos and Eli Wax, President and Secretary, respectively, of the South Bend Redevelopment
Commission, each of whom, having been duly sworn, acknowledged the execution of the foregoing
Utility Easement Agreement on behalf of the South Bend Redevelopment Commission, and affirmed
that they were duly authorized to do so.
WITNESS my hand and Notarial Seal this ___day of _____________, 2026.
_______________________________
Notary Public
_______________________________
Notary Public (Printed)
My Commission Expires: ___________
My County of Residence:_______________
I affirm, under the penalties for perjury, that I have taken reasonable care to redact each Social Security number in this document, unless required by
law. /s/ Danielle Campbell Weiss
Prepared by Danielle Campbell Weiss, Senior Assistant City Attorney, 215 S. Dr. Martin Luther King Jr. Blvd., Suite 600, South Bend, IN 46601.
A-1
EXHIBIT A
Description of Property
The Property subject to this Agreement is described as follows:
Parcel No. 018-8002-0061
Tax ID: 71-08-14-227-001.000-026
Legal Description: Lot 1 Sample & Lafayette Minor Sub 21/22 NP #1072 6/22/2020
Commonly Known As: Lot 1 Sample and Lafayette Minor Subdivision
Parcel No. 018-8021-084904
Tax ID: 71-08-14-226-002.000-026
Legal Description: Lot 4 Ignitions Park Major Sub Sec 2 15/16 NP#4562 07-01-2014
Commonly Known As: Lot 4 Ignition Park Major Subdivision
Parcel No. 018-8021-0849
Tax ID: 71-08-14-276-002.000-026
Legal Description: Lot 5 Ignitions Park Major Sub Sec 2 15/16 NP#4562 07-01-2014
Commonly Known As: Lot 5 Ignition Park Major Subdivision
Parcel No. 018-8021-084906
Tax ID: 71-08-14-226-001.000-026
Legal Description: Lot 6 Ignitions Park Major Sub Sec 2 15/16 NP#4562 07-01-2014
Commonly Known As: Lot 6 Ignition Park Major Subdivision
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EXHIBIT B
Descriptions of Easement Area
The Easement Area consists of the following described portions of the Property:
AN EASEMENT BEING THE NORTH 5 FEET OF LOT 1 IN SAMPLE AND
LAFAYETTE MINOR SUBDIVISION AS RECORDED AS INSTRUMENT NUMBER
2020-16978 IN THE RECORDER’S OFFICE OF ST. JOSEPH COUNTY, INDIANA
AN EASEMENT BEING THE NORTH 5 FEET OF LOT 4 IN IGNITION PARK
MAJOR SUBDIVISION, SECTION TWO, AS RECORDED AS INSTRUMENT
NUMBER 1423192 IN THE RECORDER’S OFFICE OF ST. JOSEPH COUNTY,
INDIANA
AN EASEMENT BEING THE NORTH 5 FEET OF LOT 5 IN IGNITION PARK
MAJOR SUBDIVISION, SECTION TWO, AS RECORDED AS INSTRUMENT
NUMBER 1423192 IN THE RECORDER’S OFFICE OF ST. JOSEPH COUNTY,
INDIANA
AN EASEMENT BEING THE NORTH 5 FEET OF LOT 6 IN IGNITION PARK
MAJOR SUBDIVISION, SECTION TWO, AS RECORDED AS INSTRUMENT
NUMBER 1423192 IN THE RECORDER’S OFFICE OF ST. JOSEPH COUNTY,
INDIANA
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EXHIBIT C
Depictions of Easement Area
The Easement Area described in Exhibit B is depicted for reference on the following drawings.
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