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TO: Mayor Thomas J. Weisner
FROM: Bill Wiet, Chief Development Services Officer
DATE: May 5, 2016
SUBJECT:
A Resolution Approving the the First Amendment to Development Agreement with Jimi Allen Photography Inc., for 56-58-60 South LaSalle Street.
PURPOSE:
To request approval of a grant in the amount of $82,000 from the City of Aurora and a separate grant from Invest Aurora for $75,000 from the Finish Line Program.
BACKGROUND:
The project consists of transforming a vacant 16,900 square foot building built in 1907, which once housed automobile dealerships and manufacturing, into an updated business incubator/"accelerator."
The first floor will house small businesses, paying fees for access to resources, advisors, opportunities and to each other. On the second floor, Bureau Gravity will have their offices along with strategic partners. The third floor is event and production space for those incubation opportunities mentioned above, plus concerts, talks and other events with community value.
This project came before the Finance Committee and was recommended for approval in September of 2013 (Item# 13-00625). The Development agreement at that time contained an incentive amount of $457,000 of TIF assistance (not to exceed 33% of the project's total actual costs). That Agreement was ultimately tabled at the C.O.W. level and was eventually replaced by a Development Agreement approved in February of 2014 whereby the City funded a large portion ($300,000) of an emergency Facade repair (Resolution No. 14-048). This work was completed in 2015 and construction is well underway for the projected $2.3 million buildout (total includes the completed facade work).
Bureau Gravity has secured a $1.77 million loan for the project, which included a small amount of working capital (approx. $189,000). Cost overruns and this project's unique need for a large amount of technology costs for the space that will host multiple smaller/growing/incubating com...
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