Aurora, Illinois

File #: 16-00429    Version: 1 Name: Karademas First Amenment
Type: Ordinance Status: Passed
File created: 5/6/2016 In control: City Council
On agenda: 6/14/2016 Final action: 6/14/2016
Title: An Ordinance Approving First Amendment to Ordinance O14-097, an Ordinance Authorizing the Execution of a Redevelopment Agreement with Fox Island Apartments LLC for Properties Located at 7 South Stolp, 33-35 South Stolp, and 77 South Stolp Avenue
Attachments: 1. Exhibit A First Amendment.pdf, 2. Invest Aurora Revised Memo 5-25-16.pdf, 3. Ordinance O14-097.pdf, 4. Karademas Letter.pdf
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TO: Mayor Thomas J. Weisner

FROM: Bill Wiet, Chief Development Services Officer

DATE: May 5, 2016

SUBJECT:
To amend the current Redevelopment Agreement with Fox Island Apartments LLC, more specifically for the property at 77 South Stolp Avenue (Elks Club Building)

PURPOSE:
The current Redevelopment Agreement established a 15.5 month period for completion of the 29 market rate apartments as well as a first floor restaurant space. The initial period expires May 15, 2016 with an additional 3 month grace period (to August 15, 2016). The developer also has on deposit a $500,000 performance guarantee tied to the completion of the project.

BACKGROUND:
As further outlined in the attached memo from Invest Aurora and letter from Karademas Management, substantial progress has been made to the building but completion dates may be slightly longer than what is called for in the current Redevelopment Agreement.

DISCUSSION:
It has been requested by the developer, with recommendation from Invest Aurora that the completion date for the residential units be extended from May 15, 2016, to July 1, 2016, with a three month grace period beyond that date. Also, a modification to the refund of the performance guarantee is being recommended which releases separately the guarantee upon completion of the residential units ($317,500) and the restaurant ($182,500) with completion of the restaurant improvements by December 31, 2017, as more fully explained in the First Amendment.

IMPACT STATEMENT:
There will be no negative impact on the request the extension of the completion of improvements to both the residential units and restaurant space.

RECOMMENDATIONS:
It is recommended that the First Amendment to Redevelopment Agreement as indicated as Exhibit A be approved.


cc: Alderman O'Connor, Chairman
Alderman Mervine
Alderman Bohman
Alderman Mesiacos, Alternate




CITY OF AURORA, ILLINOIS

ORDINANCE NO. _________
DATE OF PASSAGE __________...

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