HomeMy WebLinkAboutagenda item 2016 0310 rdc 05a3o�souT88
Department of
Community Investment
� tY
1865
Memorandum
March 10, 2016
TO: Redevelopment Commission
FROM: David Relos, Economic Resources "
SUBJECT: Approval of Bid Specifications and Design Considerations
122 S. Michigan St.
ITEM: 5.A.(3)
Attached are the Bid Specifications and Design Considerations for the disposition of
property at 122 S. Michigan St. This site contains the South Bend Chocolate Cafe
(SBCC), which the Commission entered in to a Lease and Development of Real Property
(Lease) with in December 1997. The lease term is 20 years with two — five year
consecutive irrevocable options to renew.
When the Lease was entered in to, the building needed significant improvements. SBCC
made those improvements, and per Section 3.07 of the Lease, retained ownership rights
in its improvements, and would be compensated the difference between the fair market
value of the property in 1997 versus a future current appraised value, which these
disposition documents set.
Because SBCC desires to stay at its downtown location and become the owner of the
space it occupies, and to eliminate this potential liability for the Commission, it's desired
to take this property through the disposition process to benefit both parties.
The Bid Specifications outline the uses and development requirements that will be
considered for this site.
Staff requests approval of the Bid Specifications and Design Considerations for the
eventual disposition of this property.
227 W. JEFFERSON BLVD. SOUTH BEND, IN 46601 1 P: 574 - 235 -9371 1 FAX: 574 - 235 -9021 1 SOUTHBENDIN.GOV
Bid Specifications & Design Considerations
Sale of Redevelopment Owned Property
122 S. Michigan St.
River West Development Area
1. All of the provisions of I.C. 36- 7 -14 -22 will apply to the bidding process.
2. All offers must meet the minimum price listed on the Offering Sheet.
3. Proposals for redevelopment are required to be for projects that are permitted
within the Central Business District zoning designation. All proposals must
conform to the existing zoning provisions as outlined in the South Bend Zoning
Ordinance Title 21 of the City of South Bend Municipal Code.
4. Proposals for the reuse of the property must include a basic reuse plan for the site
and a project timeline detailing aspects of the site redevelopment and site
improvements. During the review process, emphasis will be placed on
compatibility with the goals and objectives of the surrounding downtown
businesses; planning efforts of the Central Business District; the ability to support
the current occupant, their lease and adjoining business; and the Development
Plan for the River West Development Area.
5. Bidders are prohibited from the use of the property for speculation or land- holding
purposes.
6. All other provisions of the River West Development Area Development Plan must
be met.