TRANSMITTAL LETTER FOR BOARD MEETING OF JUNE 5, 2008
COMMITTEE ON REAL ESTATE
Mr. Richard Lanyon, General Superintendent
Title
Authority to advertise for public tender of bids a 10-year lease of approximately 14.02 acres of improved District real estate at 6400 South Archer Avenue, Bedford Park, Illinois, and known as Main Channel Atlas Index Parcel Number 33.01. The minimum initial annual rental bid shall be established at $95,000.00
Body
Dear Sir:
At its meeting of April 19, 2007, the Board of Commissioners authorized the commencement of statutory procedures for the leasing of approximately 14.02 acres of improved District real estate located at 6400 South Archer Avenue in Bedford Park, Illinois, and known as Main Channel Atlas Index Parcel Number 33.01. The site is improved with a water pumping station. The site is currently occupied by Corn Products U.S. under a permit that expires June 30, 2008. The fee under the 9-month permit is $71,250.00.
Pursuant to statute, the lead applicant, Corn Products, U.S., submitted 2 appraisals, and the Law Department obtained a third appraisal as follows:
Appraiser Value
S.A.S. Inc. $950,000.00 (District)
(Robert W. Schlitz)
Mundie & Co. $245,000.00
(John C. Mundie)
PRS Consulting, Ltd. $180,000.00
Each appraisal included the improvements on the site.
In accordance with District policy, it is recommended that the subject property’s fair market value be established at $950,000.00, which is the highest of the three appraisal values and that the minimum annual rental bid be established at 10% of the property’s fair market value or $95,000.00.
It is requested that the General Superintendent recommend to the Board of Commissioners that it authorize and approve the following:
1 That it declare as surplus, and not currently required for the District’s corporate purposes and available for lease as set forth herein, the improved real estate consisting of approximately 14.02 acres located at 6400 South Archer Avenue in Bedford Park, Illinois, and known as Main Channel Atlas Index Parcel Number 33.01 as depicted in the Exhibit attached hereto; and
2 That fair market value of the subject real estate be established at $950,000.00, and the minimum initial annual rental be established at 10% thereof or $95,000.00; and,
3 The Purchasing Agent be authorized and directed to advertise the subject real estate as available for lease for a term of 10 years at the minimum initial annual rental bid of $95,000.00 and report the results of the bidding to the Board of Commissioners for further action.
Requested, Frederick M. Feldman, Attorney, FMF:CL:JCC:nm
Recommended, Darlene A. LoCascio, Purchasing Agent and Richard Lanyon, General Superintendent
Respectfully Submitted, Terrence J. O’Brien, Chairman Committee on Real Estate Development
ORDERED passed by affirmative roll call vote of a majority of the Commissioners present this June 5, 2008. Approved, President Terrence J. O’Brien
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