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HomeMy WebLinkAboutConfirming Tax Abatement - 840 United Drive - Nelson Dee, LLCRESOLUTION 3790-07 Passed by the Common Council of the City of South Bend, Indiana September 24, 20 07 Attest: City Clerk Vice President of Common Council Presented by me to the Mayor of the City of South Bend, Indiana September 25, 20 07 Approved and signed by me~P~r_PmhPr ~s Zo 07 City Clerk Mayor RESOLUTION NO. ~ ~ ~ d - ~ A RESOLUTION CONFIRMING THE ADOPTION OF A DECLARATORY RESOLUTION DESIGNATING CERTAIN AREAS WITHIN THE CITY OF SOUTH BEND, INDIANA, COMMONLY KNOWN AS 840 United Drive AS AN ECONOMIC REVITALIZATION AREA FOR PURPOSES OF A (9) NINE-YEAR REAL PROPERTY TAX ABATEMENT FOR Nelson Dee, LLC WHEREAS, the Common Council of the City of South Bend, Indiana, has adopted a Declaratory Resolution designating certain areas within the City as Economic Revitalization Areas for the purpose of tax abatement consideration; and WHEREAS, a Declaratory Resolution designated the area commonly known as five acres adjacent to 840 United Drive, South Bend, Indiana, and which is more particularly described as follows: That part of the Southeast Quarter of Section 11, Township 37 North, Range 2 East, Portage Township, City of South Bend, St. Joseph County, Indiana, which is described as Lot No. 2 of the Plat of "United Major Subdivision" as recorded in Document No. 0522221 in the Records of St. Joseph County Recorder's Office. and which has Key Number 18-3046-1772, as an Economic Revitalization Area; and WHEREAS, notice of the adoption of a Declaratory Resolution and the public hearing before the Council has been published pursuant to Indiana Code 6-1.1-12.1-2.5; and WHEREAS, the Council held a public hearing for the purposes of hearing all remonstrance's and objections from interested persons; and WHEREAS, the Council has determined that the qualifications for an economic revitalization area have been met. NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of South Bend, Indiana, as follows: SECTION I. The Common Council hereby confirms its Declaratory Resolution designating the area described herein as an Economic Revitalization Area for the purposes of tax abatement. Such designation is for Real property tax abatement only and is limited to two (2) calendar years from the date of adoption of the Declaratory Resolution by the Common Council. SECTION II. The Common Council hereby determines that the property owner is qualified for and is granted Real property tax deduction for a period of (9) nine years, and further determines that the petition, the Memorandum of Agreement between the Petitioner and the City of South Bend, and the Statement of Benefits comply with Chapter 2, Article 6, of the Municipal Code of the City of South Bend and Indiana Code 6-1.1-12 et seq. SECTION III. The Common Council hereby determines that should the Company receive the Enterprise Zone Investment Deduction under I.C. 6-1.1-45 for the same property, this Tax Abatement designation shall become null and void. The Company may not receive an economic revitalization area deduction if it receives an enterprise zone investment deduction under I.C. 6-1.1-45 for the same property. SECTION IV. This Resolution shall be in full force and effect from and after its adoption by the Common Council and approved by the Mayor. ~/ e r of the Co ouncil NoT r,r'PR'~~~ ~'~~~~~~ ~ _2~.0~ Fll~d In Cierk's Offlc® JUN 2 5 2007 JOHlI VOORDE CITY CLERK, S0. BEND, IN. TAX ABATEMENT REPORT TO: SOUTH BEND COMMON COUNCIL FROM: KATHY HAHN SUBJECT: REAL PROPERTY TAX ABATEMENT PETITION FOR: NELSON DEE, LLC DATE: June 27, 2007 On June 25, 2007 a petition for real property tax abatement consideration for five acres adjacent to 840 United Drive, was filed with the City Clerk by Nelson Dee, LLC. Pursuant to Chapter 2, Article 6, Section 2-82 of the Municipal Code of the City of South Bend, this petition was referred to the Department of Community and Economic Development for purposes of investigation and preparation of a report determining whether the area qualifies as an Economic Revitalization Area pursuant to I.C.6-1.1-12.1 and whether all zoning requirements have been met. The Department of Community and Economic Development has reviewed the petition (a copy of which is attached), investigated the area, and makes the following report. PROJECT SUMMARY United Beverage has been a beer wholesaler for 75 years. They have been at their current location for 40 years and they have put on several additions. The beer business has been transitioning from cans to bottles which has created the need for more warehouse space. They intend to purchase five acres which are contiguous to their site. This will allow them to move their parking lot area and also to construct an additional 15,000 square feet of warehouse space. They also intend to remodel their current warehouse. These efficiencies will allow them to compete more effectively. United Beverage receives beer on a daily basis, and it must be stored in a temperature controlled environment until it is delivered to their accounts. They currently distribute Anheuser Busch, Corona, and Heineken as their main product lines. They supply beer to over 750 accounts in St. Joseph, Elkhart, and LaPorte counties. South Bend Redevelopment Commission RE: Tax Abatement for Nelson Dee, LLC June 27, 2007 Page 2 The estimated dollar value of the project is $2,500,000. Total taxes to be abated during the ten year abatement are estimated at $424,413. Total taxes to be paid during the ten year abatement are estimated to be $432,987. EMPLOYMENT IMPACT Per the petition, it is estimated that the total project will create (5) five to (7) seven, new, permanent, full-time jobs over the next five years. The project will also maintain (63) sixty- three existing, permanent, full-time jobs and (7) seven existing, permanent, part-time job representing an annual payroll of $3,200,000. ABATEMENT QUALIFICATION 1. A review of the tax abatements previously granted finds that the petitioner has been associated with a real estate abatement granted in 1985 to the lessee, United Beverage, for the original building. 2. The Building Commissioner has reviewed the petition and finds the property to be properly zoned for tie proposed project. 3. A review of the South Bend Redevelopment designation areas finds that the property is located in the. prnent Area, which is a Tax Incremental Allocation Area; therefore, the petition for real property tax abatement must first be approved by the South Bend Redevelopment Commission. 4. A review of the Tax Abatement Ordinance No. 9394-03 finds that the petitioner meets the qualifications fora (10) ten-year real property tax abatement under Warehouse Development- City-wide. Tax Abatement Schedule prepared for: 2s-Jun-o7 Nelson Dee, LLC South Bend Portage Township 10 Year Real Property Abatement Schedule* Total estimated Project Cost:. $2,500,000 Base Assessed Value: $2,125,000 (bas e assessed value is estimated at 85% of project cost) Assume constant tax rate of: 5.1524% Assume constant SRTC of: 21.6906% Assessed Gross Less Net Percent Tax Tax Year Value Tax SRTC Tax Abated Abated Paid 1 $2,125,000 $109,489 $23,749 $85,740 100% $85,740 $0 2 2,125,000 109,489 23,749 85,740 95% 81,453 4,287 3 2,125,000 109,489 23,749 85,740 80% 68,592 17,148 4 2,125,000 109,489 23,749 85,740 65% 55,731 30,009 5 2,125,000 109,489 23,749 85,740 50% 42,870 42,870 6 2,125,000 109,489 23,749 85,740 40% 34,296 51,444 7 2,125,000 ,109,489 23,749 85,740 30% 25,722 60,018 8 2,125,000 109,489 23,749 85,740 20% 17,148 68,592 9 2,125,000 109,489 23,749 85,740 10% 8,574 77,166 10 2,125,000 109,489 23,749 85,740 5% 4,287 81,453 $857,400 $424,413 $432,987 Total Taxes Due During Abatement: $857,400 Total Taxes Abated During Abatement: 424,413 Total Taxes Paid During Abatement: 432,987 ' -This schedule is for estimation purposes only and assumes constant tax rates. The true tax values will ultimately be determined by the actual assessed valuation and the then current tax rates. 13-Aug-07 United Beverage Public Benefit Points Summary Qualify Earned Available Public Benefit Item: Y or N Points Points Proiect Related: 1. A. Redevelop a Site that has Special Needs Y 49 49 B. Develop Based on Local University Research N 0 35 C. Achieve a Physical Element of a Plan Y 36 36 Sub-total Project Related: 85 120 2. Super Size Proiects (point values are cumulative): A. 100% t0199% N 25 25 B. 200% to 299% N 0 68 C. 300% to 399% N 0 65 D. 400% and Over N 0 52 Sub-total Super Size Projects: 25 210 3. Construction Related: A. Employ Local Companies Y 20 20 B. Purchase Materials from Local Companies Y 20 20 C. Require Employees vs, Independent Contracts Y 19 19 D. Require Target Wage Levels Y 22 22 E. Require Health Benefits Y 22 22 F. Require Pension Benefits Y 18 18 G. Maintain Affirmative Action Plan Y 20 20 Sub-total ConstruUion Related: 141 141 4. Wage & Benefit Related: A. Pay Target Wage Levels Y 33 33 B. Provide Health Benefits Y 34 34 C. Provide Pension Benefits Y 29 29 D. Provide Training Y 28 28 E. Provide Child Care N 0 15 F. Provide Transportation Assistance N 0 14 G. Provide Employer Assisted Housing program N 0 9 0 Sub-total Wage & Benefit Related: 124 162 5. Workforce Related: A. Create New Jobs Y 42 42 B. Retain Existing Jobs Y 41 41 C. Maintain Affirmative Action Plan Y 35 35 D. Provide Targeted Hiring Preference N 0 34 Sub-total Workforce Related: 118 152 6. Pay for Municipal Infrastructure: (point values are cumu lative): A. Pay for Oversizing or Upgrading Y 14 14 B. Pay for 26-50% of Extension Cost N 0 26 C. Pay for 51-75% of Extension Cost N 0 39 D, Pay for 76-100% of Extension Cost N 0 52 Sub-total Infrastructure Related: 14 131 7. Support a Municipal Facility: A. Support a Municipal Facility Y 84 84 Total Public Benefit Points: 591 1000 ' Qualification for each Public Benefit Item based on best available information at time of application or good faith determination if no information available. United Beverage Additional Years of Abatement Multi-family Development Proiects: From To Additional Years 0 141 0 142 183 1 184 225 2 226 267 3 268 309 4 310 351 5 352 393 6 394 & over 7 Other Development Proiects: From To Additional Years 0 300 0 301 357 1 358 414 2 415 471 3 472 528 4 529 585 5 586 642 6 643 1000 7 Subtotal from Points Summary: 591 Base Years of Abatement 3 Additional Years of Abatement: 6 Total Years of Abatement: • • SpUiH ~ \ l%l~ V ~\\~~0 ,~ ~~ , .. Community & Economic Development = ~``°'R°'~~ 1200 County-City Building, 227 West Jefferson, South Bend, Indiana 46601-1830 Phone 574(235-9371 Fax 574/235-9021 To: South Bend Common Council From: Bill Schalliol, Economic Development Planner ~js Subject: Nelson Dee LLC (United Beverage) Tax Abatement Date: August 13, 2007 Attached to this memo is a revised point schedule for the Nelson Dee, LLC Tax Abatement request. The request was originally presented and approved by the South Bend Redevelopment Commission as a ten (10) year abatement request. After review, the request qualifies for a nine (9) year request scoring 591 points. If you need any additional information, please feel free to contact me directly at 235-5842. ptfice Filed In C`y`'~ ~ ~ORDE S0. BEND,IN. Cam{ CLEAK~ What We Do Today Makes A Difference! CITY OF SOUTH BEND PETITION FOR REAL PROPERTY TAX ABATEMENT CONSIDERATION The undersigned owner(s) of real property, located within the City of South Bend, hereby petition the Common Council of the City of South Bend for real property tax abatement consideration and pursuant to I.C., 6-1.1-12.1-1, et se .and South Bend Municipal Code Sec. 2-76 et seq., for this petition states the following: 1. Describe the proposed redevelopment or rehabilitation project, including information about physical improvements to be made, the proposed use of the improvements, and a general statement as to the importance of the project to your business: WE HAVE BEEN AT OUR CURRENT LOCATION FOR 40 YEARS AND HAVE PUT ON SEVERAL ADDITIONS, THE LAST BEING 18 YEARS AGO. THE BEER BUSINESS HAS BEEN TRANSITIONING FROM CANS TO BOTTLES, THUS CREATING A NEED FOR ADDITIONAL WAREHOUSE CAPACITY. THE PURCHASE OF 5 ACRES CONTINGUOUS PROPERTY WILL ALLOW US TO MOVE OUR CURRENT PARKING AREA AND CONSTRUCT AN ADDITIONAL 15,000 SQUARE FEET OF WAREHOUSE SPACE. THIS SPACE WILLALLOW US TO REMODEL OUR CURRENT WAREHOUSE PROVIDING UNITED BEVERAGE THE EFFICIENCIES WE NEED TO COMPETE IN TODAY'S BEVERAGE DELIVERY ENVIRONMENT. THE PURCHASE OF THE 5 ACRES OF PROPERTY AND THE RELOCATION OF UNITED DRIVE HAVE BEEN INTEGRAL IN OUR DECISION TO INVEST IN DOWNTON SOUTH BEND AND MAINTAIN OUR FACILITY AT ITS PRESENT LOCATIONS Land Size 5 ACRES ;Building Size 15,000 sq.ft. 2. Describe the overall nature of the business and of the operations occurring at the Property (attach additional sheet if more space is needed): UNITED BEVERAGE HAS BEEN A BEER WHOLESALER FOR 75 YEARS AND CURRENTLY DISTRIBUTES ANHEUSER-BUSCH, CORONA AND HEINEKEN AS OUR MAIN PRODUCT LINE. WE SUPPLY BEER TO OVER 750 ACCOUNTS IN ST. JOSEPH, ELKHART AND LA PORTE COUNTIES. WE EMPLOYE 63 FULL- TIME PEOPLE IN VARIOUS CAPACITIES SUCH AS ADMINISTRATION, SALES, WAREHOUSE, AND DRIVERS. WE RECEIVE BEER ON A DAILY BASIS FROM OUR SUPPLIERS AND THEN IT IS STORED IN A TEMPERATURE CONTROLLED ENVIRONMENT UNTIL IT IS DELIEVERED TO OUR ACCOUNTS. WE ARE ACTIVE IN OUR COMMUNITY THROUGH ASSOCIATIONS WITH THE MORRIS CIVIC AUDITORIUM, NATURAL HISTORY MUSEUM, SOUTH BEND PARKS DEPARTMENT, DOWNTOWN SOUTH BEND, AND MANY OTHER SMALLER LOCAL ASSOCIATIONS. 3. Estimate the dollar value of the project (excluding land): $ 2,500,000 (Rev 12/29/06) 4. The current assessed valuation of the real property before rehabilitation, redevelopment, economic revitalization, or improvement: $ 915,300 5. (a) The real property for which tax abatement consideration is petitioned (Property) is owned or to be owned by the following individuals or corporations (if the business organization is publicly held, indicate also the name of the corporate parent, if any, and the name under which the corporation has filed with the Securities and Exchange Commission): NAME ADDRESS INTEREST (%) NELSON DEE, LLC AND/OR 840 UNITED DRIVE SUCCESSORS/TRANSFEREES SOUTH BEND, IN 46601 100% (b) The following other person(s) lease, intend to lease, or have an option to buy the Property (include corporate information as required in 5(a) above, if applicable); NAME ADDRESS INTEREST(%) UNITED BEVERAGE CO. OF SOUTH BEND 840 UNITED DRIVE ~ OO% AND/OR SUCCESSORS/TRANSFEREES SOUTH BEND, IN 46601 6. The commonly known address of the Property is: 840 UNITED DRIVE, SOUTH BEND, INDIANA 46601 7. The Key Number(s) of said property is: 18-3046-1772 8. A legal description of the above address is attached hereto, marked Exhibit A,@ and incorporated herein. 9. A map and/or plat describing the Property is attached hereto, marked Exhibit B,@ and incorporated herein. 10. Photographs of the property, taken within two (2) weeks of filing of this petition, are attached hereto, marked Exhibit C,@ and incorporated herein. 11. The redevelopment or rehabilitation project itself will create full-time and part-time permanent jobs within the first year, representing a new annual payroll of $ and will maintain 63 existing permanent full- timeand 8 existing permanent part-time jobs including existing permanent full- time minority employment of 7 and existing permanent part-time minority employment of 0 with an annual payroll of $ 3,200,000 12. The projected annual salaries for each new position indicated above are estimated to be as follows (tf more space is needed, please attach a separate sheet): WE WILL NOT BE CREATING ADDITIONAL JOBS IN THE IMMEDIATE FUTURE. AS WE CONTINUE TO GROW AT THIS LOCATION WE HAVE PLANS TO ADD 5 - 7 ADDITIONAL JOBS OVER THE NEXT FIVE YEARS. 2 (Rev 12/29/06) 13. Provide current employment wage information including; base rate, cost-of- living allowances, hazardous-duty pay, incentive pay including commissions and production bonuses, on-call pay and tips. Do Not Include; back pay, jury duty pay, overtime pay, severance pay, shift differentials, non-production bonuses, and tuition reimbursements (average hourly rate or range): Full-Time Part-Time Laborers $ 37,000/YEAR $ Technical $ 45,000/YEAR $ Managerial $ 50,000/YEAR $ Administrative $ 45,000 - 100,000 $ ANNUAL 14. Indicate whether your company provides the following benefits (use Y/N): Y Health Care Benefits Y Pension Plan Y Employer Provided Training (recognized or certified training/educational courses or programs) _N_ Day Care (provide or contribute to the cost of child day care for its employees) _N_ Transportation Assistance (provide direct or indirect support and assistance to its employees without private transportation to get back and forth from residence to place of employment) _N Employer-Assisted Housing Program (provide anemployer-assisted home ownership program) _N Targeted Hiring Preference (provide hiring preference for residents of Census Tracts designated by the Community & Economic Development Dept. that have the highest unemployment or the highest percentage of low and moderate income individuals). (Additional information may be requested for verification of the above items) United Beverage Co. of South Bend, Inc. is an equal opportunity employer, who does not discriminate in hiring, promotion, discharge, pay, fringe benefits, and other aspects of employment, on the basis of race, color, religion, sex or national origin. 15. List the real and personal property taxes paid at the location during the previous five years, whether paid by the current owner or a previous owner: Year 3.1.05 PAY 2006 3.1.04 PAY 2005 3.1.03 PAY 2004 3.1.02 PAY 2003 Real Property Taxes 32,431.90 36,285.78 29,873.75 26,510.23 Personal Property Taxes 6,600.42 5,566.18 5,169.65 5,918.85 total 39,032.32 41,851.96 35,043.40 32,429.08 3.1.01 PAY 2002 32,263.40 6,278.64 38,542.04 (this information may be obtained from the St. Joseph County Treasurers office 235- 9531) 3 (Rev 12129/06) 16. Please list the number of full-time and part-time minority employees for each of the last three years: Year 2006/current 2005 2004 Full Part Full Part Full Part Black 5 5 5 Hispanic 2 2 2 Asian Indian Other 17. Does your business maintain an affirmative action plan or other similar plan in order to achieve racial diversity? If yes, please briefly indicate specific goals, objectives, and means as designated by your plan: United Beverage Co. of South Bend, Inc. is an equal opportunity employer, who does not discriminate in hiring, promotion, discharge, pay, fringe benefits, and other aspects of employment, on the basis of race, color, religion, sex or national origin. 18. Indicate whether or not your project meets any of the following criteria (contact Community & Economic Development Dept. 235-9335 for information on this section): N Conversion to residential use of a commercial AEligible Buildingc~ as designated by the Community & Economic Development Dept. N Rehabilitation of a building that is either designated as a National Register or local landmark or is eligible for nomination as one, located in a National Register or local landmark district, or rated as Outstanding or Significant in the most recent Historic Preservation Commission county wide survey. N Rehabilitation and reuse of a property that is designated a Problem Property by the Community and Economic Development Department N Pays for the cost of cleaning up a ABrownfield,@ which is any site, building facility or complex that has been designated a brownfield by the Community and Economic Development Department. N Achieves a physical element identified in a development or revitalization plan that has been approved by the Council 19. Is your business based upon licensing intellectual property from research conducted at a public or private university, college, or community college located within St. Joseph County, Indiana? If yes, please include a description of the research based aspects of the business (attach additional sheet if more space is needed): NO 4 (Rev 12/29/06) 20. Does your business financially support a Municipal Facility (i.e. municipally owned park, recreation center, cultura{, arts, or entertainment facility)? YES, UNITED BEVERAGE CO. OF SOUTH BEND, INC. ANNUALLY FINANCIALLY SUPPORTS MANY OF THE LOCAL MUNICIPAL FACILITIES INCLUDING (NOT EXCLUSIVELY): NORTHERN INDIANA CENTER FOR HISTORY, MORRIS PERFORMING ARTS CENTER, SOUTH BEND PARKS DEPARTMENT, DOWNTOWN SOUTH BEND 21. Is your company incurring any of the cost of extension or oversizing of municipal infrastructure serving the project site? This includes water, sewer, drainage facilities, wastewater treatment facilities, road and street improvements, street lighting, traffic control and related public improvements (attach additional sheet if more space is needed): YES, DONATION OF LAND TO CITY, COSTS INCURRED (CURRENT AND FUTURE) RELATED TO DRAINAGE AND RETENTION PONDS 22. Information is required on the companies through which construction materials will be purchased for the project. (Please complete the table on page 8 of this application). 23. Information is required on the construction companies that will be utilized for construction of the project. (Please complete the table on page 9 of this application). 24. No building permit has been issued for construction on the property in connection with the improvement in question as of the date of filing of this petition. (The Property Owners signature at the end of this application is verification of this statement). 25. The Standard Industrial Classification (SIC) or North American Industry Classification Systems (NAILS) major group within which the proposed project would be classified, by number and description: 424800 MERCHANT WHOLESALERS, NONDURABLE GOODS-BEER, WINE & DISTILLED ALCOHOLIC BEVERAGES 26. The Internal Revenue Service Code of Principal Business Activity by which the proposed project would be classified, by number and description: 424800 MERCHANT WHOLESALERS, NONDURABLE GOODS-BEER, WINE & DISTILLED ALCOHOLIC BEVERAGES 5 (Rev 12/29/06) 27. The current use of the Property is VACANT LAND and the current zoning is COMMERCIAL (This information may be obtained from the Building Department 235-9554). 28. Has your business been granted previous tax abatement(s)? If yes, please provide type (real and/or personal property) and date of approval. UNITED BEVERAGE-LESSEE GRANTED AN ABATEMENT FOR ORIGINAL BUILDING IN 1985 29. Other anticipated public financing for the project including, if any, industrial revenue-bonding to be sought or already authorized, assistance through the United States Department of Housing and Urban Development funds from the City of South Bend, Small Business Association Sections 503 and 504 financing through the Business Development Corporation of South Bend, Mishawaka, and St. Joseph County, Indiana, Industrial Revolving Fund, Neighborhood Business Development Corporation, Corporation for Entrepreneurial Development; or other public financial assistance, including but not limited to public works improvements. ALL PRIVATELY FINANCED 30. The following person(s) should be contacted as Petitioners agent regarding additional information and public hearing notifications: Name: STEVE INFALT (UNITED BEVERAGE CO. OF SOUTH BEND, INC.)/LEN NELSON (NELSON DEE, LLC) JEFF MCGOWAN LKruggel, Lawton & Company, LLC, CPAs) Address: 840 UNITED DRIVE City, State, Zip:_SOUTH BEND, IN 46601 Telephone: 574-287-1067 JEFF MCGOWAN (289-4011/245) 6 (Rev 12/29/06) 31. Please indicate the name, address, and telephone number of the person who will work with Employment Training Services (ETS) for employee recruitment, and sign the ETS form attached to the petition if the real tax abatement is for warehouse or industrial developments. Name: STEVE INFALT/LEN NELSON (UNITED BEVERAGE CO. OF SOUTH BEND, INC.) Address: 840 UNITED DRIVE City, State, Zip: SOUTH BEND, IN 46601 Teiephone: 574-~87-1067 '~V"HEREFORE, Petitioner requests that the Common Council of the City of South Bend, Indiana, adopt a declaratory resolution designating the area described herein to be an economic revitalization area for purposes of tangible real property tax abatement consideration, and after publication of notice and public hearing, determine qualifications for an economic revitalization area have been met, and confirm such resolution. Petitioner herein hereby verifies that the required $250.00 fining fee to coerer processing and administrative costs pursuant to Section 2-84.7 of the Municipal Code of the City of South Bend has been paid in full. Name of Property Owner(s): NELSON DEE, LLC By:d~~„F--- LEN NELSON, MANAGING MEMBER (Typed or printed name and capacity of signor if signed by an agent or representative of the owner.) Filed In Cierk's Office JUN 2 5 2007 JOHN UOOADE CITY CLERK, S0. aE~iD, IN. (Rev 12/29/06) 22. In the following chart please indicate companies that were used for purchasing materials used in the constriction or rehabilitation associated with the project. Include the location of the company, description of the materials, and cost of the materials. Local companies include those located in St. Joseph County. Additional information may be requested for verification of this information. (If more space is needed, please photocopy this page) ~%, of _ Name and Address of Company Description of Materials Cost of Materials Grand Total Local Companies (see above): 1 . CASTEEL CONSTRUCTION CORP 23186 West Ireland Road, South Bend, IN 46614 TO BE DETERMINED-every attempt will be made/requested to employ local companies 2. 3. 4. 5. 6. 7. 8. 9. 10 Total Local Non-Local Companies: 1. 2. 3. 4. 5. Total Non-Local GRAND TOTAL (Rev 12/29/06) "/° $2,500,000 8 23. In the following chart please list the companies that will be used for the construction associated with the project. Indicate the name and address of each company; list the dollar amount of the work to be provided by each company; indicate whether or not 100% of the workers are employees of that company ar~d not independent contractors; indicate whether or not the company pays workers wages that meet the wage rates for each classification' of laborers and mechanics published by the U.S. Department of Labor; indicate whether or not the company contributes to a health 'plan for its employees; indicate whether or not the company contributes to a pension plan for its employees; and indicate whether or not the company maintains an affirmative action plan or other similar plan to achieve racial diversity. Local companies include those located in St. Joseph County. Additional information may be requested for verification of this information. (If additional space is needed, please photocopy this page). 100% Workers Pay Maintain are Employees U.S. Dept. Contribute Contribute Afrrrr~live Name and Address of Contract (Not Independent Labor Wage to a Health to a Pension Action Construction Company Amount Contractors) Rate (Y/N) Plan (Y/N) Plan (Y/N) Plan(YM) Local Companies (see above): 1. CASTEEL CONSTRUCTION CORP TO BE DETERMINED YES YES YES YES YES 23186 West Ireland Road South Bend, IN 46614 2 3 Total Local Non-Local Companies: 1. 2. 3. 4. 5. Total Non-Local GRAND TOTAL Total Project Cost from Petition Difference (Please explain): (Rev 12/29/06) 9 NELSON DEE, LLC AND/OR SUCCESSORS/TRANSFEREES EXHIBIT A LEGAL DESCRIPTION OF THE ABOVE ADDRESS SEE ATTACHED TWO PAGES Fried In Clerk's Office JUr12 5 2007 C17'YC ERK, SO~BEND, IN 10 (Rev 12/29/06) County ,Indiana as Instrument No. 0538834 (Parcel No. 18-3046-1739); 3) a corporate Warranty Deed from North Central Indiana Food Bank, Inc. dated January 26, 2005 and recorded January 27, 2005 in the Office of the Recorder of St. Joseph County ,Indiana as Instrument No. 0504087 conveying a strip of land measuring 20' x 300' running north from the relocated United Drive (part of Parcel 18-3044-1660); and 4) title information appearing in the record of the assessor and in the public record all as shown on the plat of record found in the Office of the Recorder of St. Joseph County and recorded as Instrument No. 0522221 suggesting transfer of ownership of the former Mechanic's Laundry & Supply Company (Cintas) facility (Parcel No. 18-3044- 168801) to the Dee Family Limited Partnership. It appears that the accompanying Deed to this transaction has been identified by the County Auditor as a "problem deed" and it does not appear to have been placed of record in the public record of the County. Certain property comprising the former right-of--way of the now relocated United Drive appears to have become a part of the land comprising the subject property by virtue of the vacation of that right-of--way pursuant to Ordinance No. 9551-04 of the City of South Bend, a copy of which appears in the addendum to this report. The stated purpose of this vacation is to allow for the expansion of the United Beverage facility which is the subject of this report. The legal description found in that ordinance appears to vacate the entirety of the former roadway to United Beverage. It is customary that one half of a vacated roadway adjoining two properties on either side of that roadway is conveyed to the owner of each adjoining property. In the case of the subject, apparently all of that part of the vacated roadway extending easterly from Chapin Street a distance of 262.73 feet to the east line of that parcel bearing tax key number 18-3044- 173901 has been included in property vacated to United Beverage. As a matter of course, the north half of this vacated area measuring about 40 feet by 262.70 feet, more or less, should have been vacated to the benefit of that parcel bearing tax key number 18-3044-173901. No adjustment is made herein to compensate for this apparent error in the ordinance and the entirety of the vacated area is presumed to vest in the United Beverage entity. The reader is advised to obtain competent title counsel for advice as to the proper ownership of this adjoining parcel. Title to various portions of the subject real estate has been vested in several parties and has only recently come into ownership of the Dee Family Limited Partnership as part of the expansion of the site which included the relocation of the former United Drive to a point approximately 300 feet to the north of its previous location and having its north line roughly coterminous with the north line of parcels 18-3044-168801 and 18-3046-1739. No information has been provided to the appraiser regarding these transactions nor this process of acquisition and relocation of the roadway. The following legal description of the subject land is provided by Danch Harner & Associates: To-wit: That part of the Southeast Quarter of Section 11, Township 37 North, Range 2 East, Portage Township, City of South Bend, St. Joseph County, Indiana which is described as Lot No 2 of the Plat of "United Major Subdivision" as recorded by Document No. 0522221 in the Records of 5t. Joseph County Recorder's Office. f--LIN7TNGT{iN RLALTl' ;1DViS(~ll~ APPRAISAL OF UNITED BEVERAGE COMPANY OFFICES AND WAREHOUSE FACILTTY 840 SOUTH UNITED DRIVE SOUTH BEND, INDIANA I3 n~) ~~~~ ~; ;:~ ,; In order to more accurately describe the real estate which is the subject of this appraisal, the ~" appraiser has defined the following description as taken from the survey documents provided by Danch, Hamer & Associates, Inc., and reproduced herein as several exhibits. As tekn therefrom, ~+ the description of the real estate considered in this appraisal report is described as follows: That part of the Southeast Quarter of Section 11, Township 37 North, Range 2 East, Portage Township, City of South Bend, St. Joseph County, Indiana which is described as follows: to-wit: Commencing at the intersection of the South line of said Section 11 and the centerline of Chapin Street, thence along the centerline of said Chapin Street North 00° 03'37" East, 522.37 feet; thence South 89° 55'05" East, 40.50 feet to a point on the east right-of--way line of Chapin Street and the Point of Beginning of this description; thence continuing South 89° 55'05" East, 231.00 feet; thence North 00° 04'33" West, 140.91 feet: thence South 89° 57' 19" West, 230.82 feet to the East right-of--way line,of Chapin Street; thence North 00° 03'37" East along said East right-of--way line of Chapin Street 100.02 feet to the South right- of-way line of the relocated United Drive; thence North 89° 57' 19" East, 270.36 feet; thence along a curve to the right having a radius of 370.00 feet and an arc length of 110.78 feet; thence South 72° 53'22" East, 81.72 feet; thence along a curve to the left having a radius of 230.00 feet and an arc length of 89.91 feet; thence North 86° 47'37" East, 16.70 feet; thence South 00° 00'32" West, 185.06 feet; thence South 29° 42'31" West, 561.00 feet to a point on the North right-of- way line of Sample Street; thence North 83° 57'53" West, 186.39; thence along a curve to the right having a radius of 100.00 feet, an arc length of 154.14 feet, a chord length of 139.33 feet and a chord bearing North 46° 14'36" West; thence North 00° 08' 19" East, along the east right-of--way line of Chapin Street, 385.50 feet to the point of beginning, containing 6.72 acres, more or less. j ,; V ~~ ~ ,t ~~ ® d ~ W ~ o o ~,,~ ; ~ ZY ~S' ~w {~~ I ; ~ ~ M ~ >' ~ A~ V i} P'} ~, F.}[ , ~,~ I't The reader is cautioned that this description is prepared by the appraiser expressly for the purposes of this appraisal. The reader should obtain an accurate survey of the real estate including a description thereof prepared by a competent land surveyor. The subject property is located at the northeast corner of the intersection of Sample Street and Chapin Street and is situated in the near southwest section of the City of South Bend, proximate to downtown South Bend and the Coveleski Stadium and is surrounded by a mix of light industrial, manufacturing and warehouse land uses. As discussed above, the area surrounding. the subject is in the process of substantial municipal redevelopment evidenced by the recent acquisition of the former South Bend Lathe facility immediately south of the subject along Sample Street and the demolition and redevelopment of the form Oliver Chilled Plow Works site to the west, across Chapin Street. The subject site is located at the northeast corner of the intersection of Sample Street and Chapin Street in the near southwest quarter of the City of South Bend in the area known as the "Inner Belt" industrial area. The site is irregular in shape and consists, in part, of land formerly occupied by the relocated United Drive and features an area of 6.72 acres, more or less. The site is generally level and clear and offers space for the building and a large area for expansion and H1INTfT~1GT~>P~1 RE,ILTY ~~DVISt:);t~ APPRAISAL OF UNITED BEVERAGE COMPANY OFFICES AND WAREHOUSE FACII.ITY 840 SOUTH UNITED DRIVE SOUTH BEND, INDIANA ~ 4 ~I r +~ i ~~ 4~, ~~, # ~~ ' ;; ;, ~ ,r~ i "r ~! ,,1, 4; 'i i '~ fi !. ;~ :~ ~~ ~, r '< i~ #~#~ A ~ ~~~ NELSON DEE, LLC AND/OR SUCCESSORS/TRANSFEREES EXHIBIT B MAP AND/OR PLAT DESCRIBING THE PROPERTY SEE ATTACHED .... 0 n ~ G ,,... ~ ~ ~ r ~ z N o °~ ~ ~a m ~v i~l ~ ~ ~ ~ ~~;. z ('~ 11 (Rev 12/29/06) e ~ J,i -~ ~~ ~ ~, ~, I -' RELOCATED UNITED DRIVE ~, n, ~ ~ '>~ 30' FRCHf Y/'diD-SET~AGK ~ ~,. ~-. .1 ~ ' "7 ~ ~ ~ "A „ ~S ~ f ~;~ 4 -. .. , b ~ ~ ~ . _ 3 ~ } ~, ,. ~ ~ a t c. /~ 1 r ~ ~ ~~ f `- k ~" I :~ ~ 1 LLl / ~ J ~ ~ C~~\ _ Y i r' ,; ,. .~ t ' i E Z . d z v w, ~ ~' ; ~ewsrn~ ~ ~ / E / ~ ~ 1~ ~ y l1 !.~ fr r NEN VEtlT4AT~ / r F 1 1 / ~ ~] / , T. ~: I 'rT '.i r~. / 1 1iJj { 1~ _'' ~`~9 '.~~~(*~ // / / p tort ` ': ~ V ~/ / / 1RMLlRS ~CVY _/ R ~ 6A5 rus• ro / / / ~~ _,~,~ ~ ,r ~ ~. ~ _ -i - ! >s r ~."+` .... l J~ t w-~.«_ -_,» LPG / Y ~ ': ~ r .. /_iW.~_~ti 1JNITE~ SEVER~GE EXP~NSI~ON PLAN -~E~,2oo~ NTS ~~ T ~^[~1' C LIT~~'C1'1 ® /® V Wes~~~~ 8846&01 T8~88.205~ax 2550