6D(1) Refurbishment of 2020 S. Main

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• rand u rn npUTH BFI /6 U \�C Community & Economic Development 1865 1200 County -City Building, 227 West Jefferson, South Bend, Indiana 46601 -1830 Phone 574/235 -9371 Fax 574/235 -9021 To: Redevelopment Commission From: Bill Schalliol, Economic Development Planner Subject: EMI Site Staff Report Professional Service Proposal - EMI Building /Site Restoration Design Services Date: October 12, 2010 This memorandum is a progress report on the current status of the EMI building site at 2020 South Main Street. Over the past several months, the staff has been developing parallel track plans related to site reuse of the EMI property. One reuse plan for the site was a total demolition of the entire site creating a new shovel ready development parcel. The other track was to rehabilitate the existing building to allow for reuse of the existing structure. The following is a brief report on the status of each track and a recommendation for the site with a request for additional professional services. Option 1: Site Demolition /New Shovel Ready Parcel The Board of Public Works opened demolition bids for the site on September 13th. The bids ranged from $176,206.00 to $217,328.00. The bid tab is attached for review. The demolition plan would clear the entire site, replace all perimeter curb & walk, and prepare the site for future reuse. The upside with this option is that the site is cleared and ready for new construction. The downside is that this site is constrained by Main Street and streets to the north and south, it is a narrow parcel and is half a block wide, and because of adjacent use would most likely be used for industrial or heavy commercial uses. At this point, new development on the parcel is uncertain in the near term. Option 2: Site Rehabilitation /Site Reuse A site assessment of the building was completed by Wightman Petrie and it was determined that the structure and foundation of the building was solid, but there were environmental concerns, as well as basic building issues that would need to be addressed before the site could be reused for an industrial use. The building size, especially with the high bay section, appears to be marketable for reuse, but because of the condition of the building and site, much work would need to be done to make the site development ready. An estimate of $459,800 was given to clean and rehab the structure and make associated site improvements to the property. A copy of the budget estimate is attached for review. The upside for reuse is that no new construction is required and an existing structure could be put back into active use at a fairly reasonable cost. The downside is that the building dimensions are fixed and there are costs with the rehab of the structure that might become lost costs for a period of time while the property is on the market. Recommendation At this point, it is staff recommendation to do a hybrid approach to the site. Staff proposes to keep the building and make some minor repairs like sealing the roof and the fagade, cleaning and clearing the interior of the building, basic site demolition of the property to the north and south. What We Do Today Makes A Difference!