TRANSMITTAL LETTER FOR BOARD MEETING OF OCTOBER 5, 2017
COMMITTEE ON REAL ESTATE
Mr. David St. Pierre, Executive Director
Title
Authority to commence statutory procedures to lease approximately 4.46 acres of District real estate located east of Cicero Avenue and north of the Main Channel in Chicago, Illinois; Main Channel Parcel 40.02
Body
Dear Sir:
ExxonMobil Oil Corporation (“ExxonMobil”) currently occupies approximately 4.46 acres of District real estate located east of Cicero Avenue and north of the Main Channel in Chicago, Illinois and known as Main Channel Parcel 40.02, under a permit that commenced October 30, 2016, and expires on October 29, 2017. The permit fee is $87,425.00. ExxonMobil uses the site for truck parking, weighing of packaged and drummed lubricants in conjunction with its adjacent distribution center, and performing environmental testing. The parcel is currently improved with a barge dock. ExxonMobil previously subleased this parcel from Peoples Gas Light and Coke Company (“Peoples Gas”) from 1943 to October 29, 2016. Peoples Gas previously leased this parcel under a 99-year lease that commenced in 1917 and expired October 31, 2016.
ExxonMobil has requested to lease Parcel 40.02 for the same purposes that it uses the land under the permit. The requested lease term is thirty-nine (39) years. ExxonMobil has also requested a one (1) year extension of the permit to continue its operations on Parcel 40.02 during the statutory leasing process. A companion transmittal letter is on today’s agenda seeking an extension of the permit.
The District’s technical departments have reviewed this lease request and have indicated that the subject site is not currently needed for corporate use and that they have no objections thereto.
It is requested that the Executive Director recommend to the Board of Commissioners that it authorize and direct the Acting General Counsel to commence statutory procedures to lease approximately 4.46 acres of District real estate located east of Cicero Avenue and north of the Main Channel in Chicago, Illinois; Main Channel Parcel 40.02 upon the terms and conditions set forth herein.
Requested, Susan T. Morakalis, Acting General Counsel, STM:CMM:MLD:vp
Recommended, David St. Pierre, Executive Director
Respectfully Submitted, David J. Walsh, Chairman Committee on Real Estate Development
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for October 5, 2017
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