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TO: Mayor Thomas J. Weisner
FROM: Bill Wiet, Chief Development Services Officer
DATE: September 6, 2016
SUBJECT:
To acquire the property located at 116 West New York Street, current home to the Schor Glass Company, and lease back to the Schor Glass Company.
PURPOSE:
The City of Aurora has recently acquired the property at 2-4 North River Street (The Hobbs/Crosby Building). Acquiring the Schor Glass Company property allows for the City to better market to potential developers, being that the City would then be the majority land owner on the block. It is anticipated that once the property is marketed along with the Hobbs/Crosby Building, the available parking and ingress/egress associated with the glass company would benefit the future development of the block.
BACKGROUND:
The existing business has been thriving and it is anticipated that by extending the lease to the tenant, thus continuing to pay rent to the City it will thereby lessen the City's overall investment. It has been indicated that in the future the tenant may look for space elsewhere and the City would commit to assisting in any such relocation efforts.
DISCUSSION:
Upon the acquisition of the property, Invest Aurora will market the City's buildings on the block as one uniform development potential, while leasing the property concurrently to Schor.
IMPACT STATEMENT:
The City as owner would now be a landlord to the glass shop and therefore the maintenance responsibilities typical of a property owner would be necessary in this case.
RECOMMENDATIONS:
It is recommended that the acquisition of the property at 116 West New York Street, and the lease to Schor be concurrently approved.
cc: Alderman O’Connor, Chairman
Alderman Mervine
Alderman Bohman
Alderman Mesiacos, Alternate
CITY OF AURORA, ILLINOIS
RESOLUTION NO. _________
DATE OF PASSAGE ________________
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A Resolution Authorizing the Execution of a Contract to Purchase Real Property Located at 116 West New York Street, Aurora Illinois, and to Lease said Property to Schor Glass
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WHEREAS, the City of Aurora has a population of more than 25,000 persons and is, therefore, a home rule unit under subsection (a) of Section 6 of Article VII of the Illinois Constitution of 1970; and
WHEREAS, subject to said Section, a home rule unit may exercise any power and perform any function pertaining to its government and affairs for the protection of the public health, safety, morals, and welfare; and
WHEREAS, The City of Aurora is interested in acquiring, and Janet E. Schor as Trustee of the Merrill B. Schor Trust, is interested in selling the property located at 116 West New York Street, consisting of parcel numbers 15-22-164-011; 15-22-164-013; 15-22-164-015; 15-22-164-017; and 15-22-301-005; and
WHEREAS, it is in the best interests of the City of Aurora and its residents to complete the acquisition of the property described above; and
WHEREAS, Schor Glass is interested in leasing back the property and paying rent therefore, all as set forth in the attached Building Lease document; and
WHEREAS, funding for the purchase will be available for the acquisition pursuant to a budget transfer into Account Number 231-1830-465.71-01 (Cost of Land - TIF #1) for a total of Four Hundred Thousand Dollars ($400,000).
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Aurora, Illinois, as follows: That the attached Real Estate Contract for the purchase of property located at 116 West New York Street be approved, and that Alayne Weingartz, Corporation Counsel, or her designee are hereby authorized to act on the City's behalf to complete the purchase of this property.
BE IT FURTHER RESOLVED, that the Building Lease agreement attached hereto and incorporated herein as if fully set forth is hereby approved.