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TO: Mayor Robert J. O'Connor
FROM: Bill Wiet, Chief Development Services Officer
DATE: March 8, 2017
SUBJECT:
To sell the City-owned property at 59 South LaSalle Street to Model 51, LLC for the purpose of redevelopment of the building for commercial and residential space.
PURPOSE:
In 2012 the City of Aurora acquired the property located at 59 S. LaSalle Street in Aurora, IL (PIN #15-22-382-003) for the amount of $85,000. On January 25th 2017, the City of Aurora issued a Public Notice Accepting Offers for Sale of Properties (Attachment A). One of the properties issued was 59 S. LaSalle Street. Bids on this property were due no later than February 15th 2017. The City of Aurora received two letters of intent for the property.
BACKGROUND:
Invest Aurora received two nearly identical proposals. As the proposals are nearly identical, Invest Aurora prioritized its decision based on ownership and/or prospective ownership of additional properties on the block. After evaluation, Invest Aurora selected Model 51, LLC. for the award of 59 S. LaSalle Street.
DISCUSSION:
Model 51, LLC. will be granted a Contingency Period of 90 days to review all documents held by the City of Aurora and complete all due diligence on the property. In the event that Model 51, LLC. is satisfied with all documents, they must deposit non-refundable Earnest Money in the amount of $1,000. The City of Aurora and Model 51, LLC. will then have 21 days within which to establish a mutually convenient time and place for closing.
At closing, Model 51, LLC. will provide the City of Aurora with a $100,000 Letter of Credit. This Letter of Credit will be released once all conditions outlined in the Development Agreement (Attachment B) have been satisfied. Model 51, LLC. will have 180 to complete the scope of work from receipt of permit approvals.
In addition to the above conditions, the award of 59 S. LaSalle Street is contingent upon finalization of a multi-property acquisition on LaSalle Stree...
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