TRANSMITTAL LETTER FOR BOARD MEETING OF OCTOBER 15, 2020
COMMITTEE ON REAL ESTATE
Mr. Brian A. Perkovich, Executive Director
Title
Authority to enter into a 39-year lease with the Village of Stickney on 71± acres of District real estate located east of Ridgeland Avenue, south of 39th Street to 41st Street, including Lombard Avenue between 39th and 43rd Street, in Stickney Illinois, and commonly known as Main Channel Parcels 38.01, 38.02, 38.04, 38.05, 38.06, and 38.08. Consideration shall be a nominal fee of $10.00 (As Revised)
Body
Dear Sir:
The Village of Stickney (“Stickney”) has requested a 39-year lease on 71± acres of District real estate located east of Ridgeland Avenue, south of 39th Street to 41st Street, including Lombard Avenue between 39th and 43rd Street, in Stickney Illinois, and commonly known as Main Channel Parcels 38.01, 38.02, 38.04, 38.05, 38.06, and 38.08. These parcels are currently leased by Stickney under a five-year lease expiring on November 19. 2020. Stickney is requesting to continue leasing these parcels for public recreational use, including a public park, baseball field, dog park, and Veterans War Memorial. Stickney will also use the premises for a Village Festival and other similar community events including a carnival and fireworks displays no more than three times per year.
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 technical objections to Stickney’s lease request. Under 70 ILCS 2605/8c(11), the District may terminate the lease upon service of a one-year notice to Stickney if the property becomes essential to the District’s corporate needs.
A nominal fee of $10.00 is recommended since the site will be used for open space in furtherance of Stickney’s public recreational use. In the event revenue or profits are ever derived from the leasehold, the lease will contain a provision requiring rent to be an additional annual fee of 25% of the net profits derived from the site.
It is requested that the Executive Director recommend to the Board of Commissioners that it authorize the District to enter into a 39-year lease with the Village of Stickney on 71± acres of District real estate located east of Ridgeland Avenue, south of 39th Street to 41st Street, including Lombard Avenue between 39th and 43rd Street, in Stickney Illinois, and commonly known as Main Channel Parcels 38.01, 38.02, 38.04, 38.05, 38.06, and 38.08. Consideration shall be a nominal fee of $10.00.
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 lease agreement after it is approved by the General Counsel as to form and legality.
Requested, Susan T. Morakalis, General Counsel, STM:EMA:NOC:vp
Recommended, Brian A. Perkovich, Executive Director
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for October 15, 2020
Attachment