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1200 County-City Building, 227 West Jefferson, South Bend, Indiana 46601-1830 Phone 574/235-9371 Fax 574/235-9021
To: Redevelopment Commission
From: David Relos, Economic Development Planner
Subject: Res. 2592 -Acquisition Offer Hansel Center
Res. 2593 -Counter Offer Hansel Center
Date: July 24, 2009
This is the staff report for the acquisition of the Hansel Center, located at 1045
West Washington St. This property was added to the West Washington-Chapin
Development Area Acquisition List by Resolution 2587 on July 14, 2009.
Upon acquisition of this historic building, in conjunction with the University of
Notre Dame's Institute for Latino Studies, certain rehabilitation work will begin on
the exterior and interior of the building. The City has made a commitment of up to
$500,000, which includes purchase and exterior building rehab. The University
has made a commitment of up to $800,000, which includes interior rehab of the
building. Both interior and exterior work will run concurrently. Once this work is
completed, the building and grounds will be transferred to the University. This
transfer will ensure that this West Side landmark will once again be used for
public uses as the Notre Dame Center for Art and Culture.
Resolution 2592 sets the acquisition value of the property at $51,500. The
acquisition value is the average value as determined by two independent, MAI
appraisals. Resolution 2593 is the counter offer resolution. The counter offer of
$83,415.64 is to finalize the amount owed by South Bend Heritage Foundation
on its loan ($70,000) and prior back taxes ($13,415.64). The acquisition will be
for "cost only" and no other values. Staff feels this is a reasonable counter offer,
based on the fact that neither appraiser gave value to the main structure or
carriage house located on this property.
The purchase of the building and grounds is contingent on a mutually agreeable
contract between the Commission and University of Notre Dame (or its
representative, eg, Institute for Latino Studies), whereby the details of how and
when the building and grounds would be transferred to Notre Dame, and what
work is expected to be done by both parties, is signed.
What We Do Today Makes A Difference!
Staff requests approval of Resolution 2592 and counter offer Resolution 2593, to
allow for the acquisition of this property.
What We Do Today Makes A Difference!
RESOLUTION NO. 2592
A RESOLUTION OF THE SOUTH BEND REDEVELOPMENT COMMISSION
RELATED TO ACQUISITION OF PROPERTY IN THE
WEST WASHINGTON-CHAPIN DEVELOPMENT AREA
WHEREAS, under the authority granted by Indiana Code~~' 36-7-14, c~tsey. and
in furtherance of the West Washington-Chapin Development Area Plan (`Plan"'), the
South Bend Redevelopment Commission ("Commission"') has determined that it is
necessary to acquire unencumbered fee simple interest in certain property located within
the area heretofore designated as the West Washington-Chapin Development Area (the
"Area") within the City of South Bend, Indiana (the "City'), which property is more
particularly described at Exhibit A attached hereto and incorporated herein ("Property');
and
WHEREAS, on July 14, 2009, the Commission adopted Resolution No. 2587
amending flee Plan and adding the Property to the Area"s acquisition list; and
WHEREAS, two (2) independent appraisals of the Property have been obtained
in accordance with Indiana Code ~ 36-7-14-19(b), which provide an offering price of
$51,500.00 (the "Offering Price'); and
WHEREAS, the Commission now desires to authorize its authorized agents,
hired for such purposes, or the staff of the Commission to provide and negotiate an offer
for the Purchase of the Property in accordance with Indiana Code 5 36-7-14-19, which
may include relocation costs and the Commission's payment of expenses incidental to the
conveyance and determination of the title of the Property; and
WHEREAS, the Commission finds that all procedures necessary for
authorizing and acquiring the Property have been completed in accordance with Indiana
law;
NOW, THEREFORE, BE IT RESOLVED by the South Bend
Redevelopment Commission that:
1. Authorized agents of the Commission and the staff of the Commission are
hereby authorized and directed to cause a purchase offer to be made in writing to the
owner(s) of the Property as described at Exhibit A at the Offering Price (the "Average
Acquisition Price" in Exhibit A) in accordance with Indiana Code ~ 36-7-14-19, which
offer or process may include relocation costs and the payment of expenses incidental to
the conveyance and determination of the title of the Property.
2. The Commission's agents and attorneys are hereby authorized and
directed to negotiate and prepare documentation necessary to accomplish the acquisition
of the Property in accordance with this Resolution and in a form acceptable to legal
counsel.
3. The Commission hereby ratifies any actions of its staff or legal counsel
previously taken consistent with the authority provided in Section 1 or 2 hereof.
Notwithstanding the foregoing, no representations, contract or understanding relative to
the purchase of the Property, whether made by a Commissioner, employee or other agent
or official, is binding against the Commission until approved and accepted by the
Commission in writing. The Commission hereby accepts, in advance, any purchase of
the Property pursuant to a unifol~li acquisition offer set forth at hldiana Code ~ 32-24-1-
5 (or a purchase offer deemed by legal counsel to be substantially similar to said Unifoi-~71
Acquisition Offer, which may include the payment of expenses incidental to the
conveyance and determination of title).
4. Don Inks or Jeff Gibney is authorized to execute on behalf of the
Commission any documents necessary to carry out the intent of this resolution.
ADOPTED at a Regular Meeting of the South Bend Redevelopment
Conunission held on July 24, 2009, at 1308 County-City Building, 227 West Jefferson
Boulevard, South Bend, Indiana 46601.
CITY OF SOUTH BEND,
DEPARTMENT OF REDEVELOPMENT
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South Bend Redevelopment Commission
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EXHIBIT A
PROPERTY DESCRIPTION AND OFFERING PRICE
Tax Key No.
Address
Owner Average
Acquisition Price
South Bend
18-] 041-1803 1045 W. Heritage $51,500.00
Washington St Foundation
Properties LLC