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TO: Mayor Robert J. O'Connor
FROM: Bill Wiet, Chief Development Services Officer
DATE: February 22, 2017
SUBJECT:
To acquire, through assignment from Invest Aurora, the property at 31-33 South Broadway, and to accept the current leases on both premises which run through March 31, 2018. The purchase price is $187,500.
PURPOSE:
The City of Aurora is the majority landowner on the block, and has in the past acquired properties in this area when the opportunity presents itself. However, other than for municipal purposes, it is the City's goal to lease these properties, which is the case here. Both existing tenants have agreed to extend their leases into 2018.
BACKGROUND:
The City has planned to take the lead in the redevelopment of this block. While most of the City-owned properties are occupied, an effort is underway to lease or occupy the remaining properties. It is anticipated that the future redevelopment may be for municipal purposes, commercial, offices, open space, parking, or a combination thereof.
DISCUSSION:
Invest Aurora took the lead in the negotiations for the acquisition of this property, which is further explained their memo attached. The City would be accepting the assignment of the contract, and will honor the current leases on the properties, one being a beauty salon, the other being an insurance office. Both tenants will be paying the City $1,150 per month each.
Funds are available in account number 215-1710-417.71-01 (Cost of Land)
IMPACT STATEMENT:
The City will have maintenance responsibilities for the building. This property did receive financial assistance from the City in the past for electric and mechanical work, roof repairs and a new storefront.
RECOMMENDATIONS:
That the attached Real Estate Contract for the purchase of property located at 31-33 South Broadway be approved by assignment from Invest Aurora, as well as the building lease agreements.
cc: Alderman O'Connor, Chairman
Alderman Mervine
Alderman Bohman
Alder...
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