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HomeMy WebLinkAboutRedevelopment Commission Minutes 07.09.26 - SignedSouth Bend Redevelopment Commission 215 S. Dr. Martin Luther King, Jr. Blvd., Room 301, South Bend, Indiana Minutes 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 The South Bend Redevelopment Commission was called to order at 9:32 a.m. President David Relos presiding. 1. ROLL CALL Members Present: David Relos, President Karen White, Vice President Eli Wax, Secretary Ophelia Gooden-Rodgers, Commissioner Members Absent: Marcus Ellison, Non-Voting Advisor Legal Counsel: Danielle Campbell Weiss, Senior Asst. City Attorney Redevelopment Staff: Erik Glavich, Director of Growth and Opportunity, DCI Lewis Kouassi, Director of Finance, DCI Erin Michaels, Property Development Manager, DCI Tim Corcoran, Chief Planner, DCI Laura Hensley, Board Secretary, DCI Attending: Regina Emberton, ChoiceLight, Inc. Sophie Cohen, L+M Development Partners Thomas Everett, Barnes & Thornburg Troy Warner, Mayor’s Chief of Staff Matt Barrett, 110 S. Niles Ave. Hodge Patel, Abonmarche Alyson Herzig, SBRC Ethan Rendell, SBRC Felix Adams, 101 S. Michigan St. CITY OF SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING – July 9, 2026 Page | 2 2. Approval of Minutes A. Approval of Minutes of the Regular Meeting of Thursday, June 25, 2026 Upon a motion by Ophelia Gooden-Rodgers for approval, second by Karen White, the motion carried unanimously; the Commission approved the 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) Erik Glavich, Director of Growth & Opportunity, presented agenda items 5A1, 2, & 3 together. The City is partnering with L+M Development Partners to renovate Beacon Heights; a residential community located on Ardmore Trail and just North of Unity Gardens. Built in the 1940s, the property includes approximately 174 apartment units and has not undergone significant renovations since its original construction. This project represents a major investment in preserving and improving quality, affordable housing for current and future residents. The development includes upgrades to apartment units, community spaces, and other site amenities that need substantial rehabilitation. L+M plans to purchase the property and anticipate closing by the end of July. The project has already received a 4% Low-Income Housing Tax Credit (LIHTC) award, making local support an important component of the overall financing package. As discussed at the previous meeting, a list of planned improvements has been provided. Sophie Cohen from L+M is available to answer any project-specific questions. Today, staff are requesting approval of two items. First, approval of a development agreement providing up to $1.25 million in project assistance through a forgivable loan. As with previous forgivable loan agreements, the approval process requires authorization by the Redevelopment Commission, the Economic Development Commission, the Common Council, and final approval by the Redevelopment Commission. Second, staff is requesting approval of Resolution No. 3675, which authorizes the use of those funds in the form of a forgivable loan. CITY OF SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING – July 9, 2026 Page | 3 President Relos asked about the timeline for completion of this project and Sophie Cohen with L+M Development Partners responded 2027. Commissioner Gooden-Rodges inquired about when the meeting with the residents will take place, Ms. Cohen responded July 23, 2026. In addition, following the anticipated closing, L&M plans to host a community clean-up and barbecue in early August, tentatively during the second week of the month. This event will provide residents with an opportunity to meet the development team, build relationships with project staff, and share any questions, concerns, or feedback regarding the community and the upcoming improvements. Vice President White asked, “have any residents expressed concerns about the project or what may happen moving forward”? Mr. Glavich responded, at this time, that neither the City nor L+M has received significant concerns from residents regarding the project. While there have been some comments on social media, no substantial negative feedback has been reported through formal channels. Overall, community response has been positive, and residents appear encouraged by the level of investment being made in the Beacon Heights neighborhood and the improvements planned for the property. President Relos asked about how many units are vacant. Ms. Cohen stated 16 total and will be used for hospitality units and will be the first to be renovated. Upon a motion by Ophelia Gooden-Rodgers for approval, seconded by David Relos, the motion carried with Secretary Wax abstaining; the Commission approved the Agreement as presented on July 9, 2026. 2. Public Hearing on Additional Appropriation (Beacon Heights) A notice was published in Gateway/DLGF on June 26, 2026, regarding the public hearing on Additional Appropriation (Beacon Heights). A public hearing on Additional Appropriation for Beacon Heights was opened for public comment. No comments were made. The public hearing was then closed. 3. Resolution No. 3675 Appropriating Certain Funds in Connection with a Direct Loan to the Developer of an Economic Development Facility (Beacon Heights) Upon a motion by Karen White for approval, seconded by Ophelia Gooden-Rodgers, the motion carried with Secretary Wax abstaining; the CITY OF SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING – July 9, 2026 Page | 4 Commission approved Resolution No. 3675 as presented on July 9, 2026. 4. Public Hearing on Proposed Lease with South Bend Redevelopment Authority (Redevelopment Authority Lease Rental Revenue Bonds, Series 2026) A notice was published in the South Bend Tribune on June 26, 2026, regarding the public hearing on Proposed Lease with South Bend Redevelopment Authority (Redevelopment Authority Lease Rental Revenue Bonds, Series 2026). A public hearing on Proposed Lease with South Bend Redevelopment Authority for the Redevelopment Authority Lease Rental Revenue Bonds, Series 2026, was opened for public comment. No comments were made. The public hearing was then closed. 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) Erik Glavich, Director of Growth & Opportunity, presented items 5A4 & 5 together. This resolution authorizes the execution of a lease agreement between the South Bend Redevelopment Commission and the South Bend Redevelopment Authority for the purpose of issuing bonds. The Redevelopment Authority would serve as the bond issuer, and this agreement establishes the legal framework necessary to facilitate that issuance. At the previous meeting, Joseph Molnar, Deputy Director of Community Investment, reviewed the proposed projects in detail. The projects identified for funding through this bond total approximately $24 million and are focused on improvements that will benefit residents on the City’s west side. These investments include significant community- focused projects that will enhance amenities and services available to residents. For example, funding would support the development of the Rum Village Neighborhood Center, a need that was identified through community engagement, as the neighborhood currently lacks a dedicated community center. We are excited about the impact these projects will have on west side neighborhoods and the opportunities they will create for residents. President Relos asked about the timeline and terms of the lease. Tom Everett with Barnes & Thornburg, explained the lease agreement between the Redevelopment Commission and the Redevelopment CITY OF SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING – July 9, 2026 Page | 5 Authority would have a maximum term of 19 years. While the current expectation is that the bonds will be issued with an approximate 15-year term, the 19-year lease provides flexibility and establishes the maximum allowable duration for the agreement. Upon a motion by Ophelia Gooden-Rodgers for approval, seconded by Karen White, the motion carried unanimously; the Commission approved Resolution No. 3676 as presented on July 9, 2026. 6. Non-Exclusive Utility Easement Agreement (ChoiceLight, Inc., Sample Street) Erin Michaels, Property Development Manager, presented a proposed non-exclusive utility easement agreement between the Redevelopment Commission (RDC) and ChoiceLight, Inc. The easement would be located along Sample Street and extend across four RDC-owned parcels in the northern portion of Ignition Park; the Certified Technology Park located just south of downtown South Bend. The proposed easement would consist of a five-foot-wide utility corridor extending approximately 1,800 feet along the northern edge of the parcels adjacent to Sample Street. The easement would connect to ChoiceLight’s fiber hut, which is located on property previously sold by the RDC for the expansion of fiber and internet infrastructure. Under the terms of the agreement, the easement would be used exclusively for fiber utility infrastructure. ChoiceLight, Inc. would be responsible for the installation, operation, and maintenance of all associated fiber lines and equipment. The company would also be required to restore any portions of Sample Street or the impacted parcels disturbed during construction and replace any trees removed as part of the installation process. The agreement also permits the installation of an Elkhart County Network fiber line within the duct bank, consistent with ChoiceLight’s role in managing that network. In addition, the Redevelopment Commission would retain the authority to require the relocation of the fiber infrastructure, with appropriate written notice, should future redevelopment projects, utility improvements, or right-of-way expansions necessitate such a change. Vice President White, inquired about a timeline and the impact on traffic. Regina Emberton, CEO of ChoiceLight, Inc., explained that the project will utilize boring underground, similar to other utility installations, with work performed by a subcontractor. Because construction will occur within the easement area adjacent to the CITY OF SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING – July 9, 2026 Page | 6 sidewalk, no lane closures or significant traffic impacts are anticipated, and impacts to existing trees are expected to be minimal. Construction is expected to take only a few days, potentially up to one week. Ms. Emberton noted that ChoiceLight has maintained a long-standing partnership with the City of South Bend, providing and managing fiber infrastructure since the mid-2000s. While utility projects are typically constructed within public rights-of-way, using the easement along Sample Street—a state road—will minimize traffic disruptions and simplify construction. The new fiber line will connect ChoiceLight’s fiber hut to key facilities, including the Union Station and Analytics data centers, replacing aging infrastructure along Sample Street and creating additional network redundancy. The improvements will strengthen connectivity, enhance reliability, and support economic development by providing businesses and internet service providers with additional routing options throughout the fiber network. Upon a motion by Eli Wax for approval, seconded by Karen White, the motion carried unanimously; the Commission approved the Agreement as presented on July 9, 2026. 6. Progress Reports A. Tax Abatement None B. Common Council None C. Other Erin Michaels, Property Development Manager, gave an update on the following. • Lafayette Building, we received the initial structural assessment, and the report identifies potential options for the future of the building which City staff are currently reviewing. 7. Next Commission Meeting Thursday, July 23, 2026, 9:30 a.m., City Hall Council Chambers 3rd Floor