TRANSMITTAL LETTER FOR BOARD MEETING OF JANUARY 5, 2012
COMMITTEE ON REAL ESTATE
Mr. David St. Pierre, Executive Director
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Issue orders approving an assignment of the 5-year lease between the District, Lessor, and SG Supply Company, Lessee, to Ferguson Enterprises, Inc., Assignee, on 1.18 acres of unimproved real estate located at 12900 S. Throop Street in Calumet Park, Illinois; Cal-Sag Channel Parcel 16.04. Consideration shall be a $2,500.00 document preparation fee.
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Dear Sir:
SG Supply Company (“SG”) leases 1.18 acres of unimproved real estate under a 5-year lease dated July 14, 2011, that commenced September 1, 2011, and expires August 31, 2016. The property is located at 12900 S. Throop Street in Calumet Park, Illinois, and is known as Cal-Sag Channel Parcel 16.04. The annual rental under the lease is $13,110.00.
SG Supply has requested the District’s consent to the assignment of its lease to Ferguson Enterprises Inc. (“Ferguson”). Ferguson proposes to use the property for the same purposes as does SG; the bulk storage of cast iron and metal pipes.
The District’s Finance Department has reviewed Ferguson’s financial and company background information and reports that Ferguson demonstrates the ability to meet its financial obligations under the lease.
It is requested that the Executive Director recommend to the Board of Commissioners that it approve an assignment of a 5-year lease between the District, Lessor and SG Supply Company, Lessee, to Ferguson Enterprises, Inc., Assignee, on 1.18 acres of unimproved real estate located at 12900 S. Throop Street in Calumet Park, Illinois; Cal-Sag Channel Parcel 16.04. Consideration shall be a $2,500.00 document preparation fee.
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 the consent to assignment of lease after it is approved by General Counsel as to form and legality.
Requested, Ronald M. Hill, General Counsel RMH:STM:BEB
Recommended, David St. Pierre, Executive Director
Respectfully Submitted, Terrence J. O’Brien, 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 January 5, 2012
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