Laserfiche WebLink
South Bend Redevelopment Commission <br />Rescheduled Regular Meeting -March 10, 2006 <br />6. NEW BUSINESS (CONT.) <br />B. South Bend Central Development Area <br />() continued... <br />3. Description of proposed development - <br />private investment <br />a) It appears that the $ 5, 510,15 8 "Total <br />Project Cost" shown in your proposal <br />includes amounts that neither you nor the <br />eventual owners would actually pay-i.e., <br />land cost of $337,500 and site <br />improvements cost of $122,600. Is this <br />correct? <br />Written Answer: This is correct. At the <br />suggestion of the staff, Eco-Urban <br />Collaborative has provided as accurate an <br />estimate of the costs as it could, in order <br />to demonstrate to the Commission just <br />what it will take to complete this project, <br />and why it has offered only $1 for the <br />property. These figures are based on cost <br />estimates from two well-regarded local <br />construction firms. From these figures, it <br />is quite clear that given the level of the <br />current real estate market in South Bend, <br />Eco-Urban cannot complete this project <br />profitably if the above costs are included. <br />Eco-Urban Collaborative would like to <br />point out that the tax load on the <br />residential properties of Phase I alone is <br />likely to amount to $35,000-40,000/year. <br />If the taxes for the commercial office <br />space and Phase II are added, the city will <br />see a return of tax revenues from the <br />property of more than the cost of the land <br />within 5-7 years of project completion. <br />For the most part, site improvement costs, <br />17 <br />