TRANSMITTAL LETTER FOR BOARD MEETING OF OCTOBER 5, 2017
COMMITTEE ON REAL ESTATE
Mr. David St. Pierre, Executive Director
Title
Authority to issue a one (1) year permit extension to ExxonMobil Oil Corporation on 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. Consideration shall be $90,500.00
Body
Dear Sir:
ExxonMobil Oil Corporation (“ExxonMobil”) 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 October 29, 2017. ExxonMobil uses the site for the purpose of truck parking, weighing of packaged materials in conjunction with its adjacent distribution center, and performing environmental testing. ExxonMobil previously occupied this site under a sublease from Peoples Gas Light and Coke Company from 1943 to October 29, 2016. The current annual permit fee is 87,425.00.
ExxonMobil has requested a long term lease of Parcel 40.02. In conjunction with this request, ExxonMobil has also requested a one (1) year permit extension to allow it to continue using Parcel 40.02 during the statutory leasing process. A companion transmittal letter is on today’s agenda seeking authority to commence statutory procedures for leasing the parcel.
The District’s technical departments have no objections to ExxonMobil’s request for a one (1) year permit extension to the permit. A permit fee of $90,500.00 is recommended as such represents 10% of the last appraised fair market value of the site plus a 3.5% inflationary rate.
It is requested that the Executive Director recommend to the Board of Commissioners that it authorize and approve the issuance of a one (1) year permit extension to ExxonMobil Oil Corporation on 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. Consideration shall be $90,500.00.
It is also requested that the Executive Director recommend to the Board of Commissioners that it authorize and direct the Chairman of the Committee on Finance and the Clerk to execute said permit extension after it is approved by the Acting General Counsel as to form and legality.
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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