TRANSMITTAL LETTER FOR BOARD MEETING OF MAY 7, 2020
COMMITTEE ON REAL ESTATE
Mr. Brian A. Perkovich, Executive Director
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Authorization to: (1) declare as surplus and not required for corporate purposes, and to sell to the City of Evanston, 0.304± acres of District real estate located north and south of Central Street on North Shore Channel Parcels 2.06, 2.07, 2.08 & 2.09 and above the North Shore Channel in Evanston, Illinois for the Central Street Bridge Replacement Project; (2) amend lease agreement dated October 14, 1966, between the District and the City of Evanston to surrender 0.249± acres of North Shore Channel Parcels 2.06, 2.07, 2.08 & 2.09; and (3) issue a 5-year permit to the City of Evanston to use 36,461± sq. ft. of District North Shore Channel Parcels 2.06, 2.07, 2.08 & 2.09 as a construction staging area. Consideration shall be as follows: $52,000.00 for the sale, a nominal fee of $10.00 for the lease amendment and an annual fee of $5,000.00 for the permit
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Dear Sir:
The City of Evanston (“Evanston”) leases 92+ acres of District real estate known as North Shore Channel Parcels 1.11, 2.05, 2.06, 2.07, 2.08, 2.09, 2.10, 2.11, 3.01, 3.02 and 3.03 located in Evanston, Illinois. The lease commenced December 1, 1966 and expires May 31, 2032. The leasehold is used for public recreational purposes and the operation of a public fee golf course known as Canal Shores. The lease also allows Evanston to hold festivals and outdoor concerts and authorizes the sale and consumption of alcohol on the leasehold premises in compliance with state and local liquor laws. The annual rent is $1,300.00, plus 25% of the net income derived from Evanston’s operation of the golf course and parking lot.
Evanston is undertaking the Central Street Bridge Replacement Project (“Project”) which consists of widening the existing sidewalks along Central Street and spanning the North Shore Channel, and installing bridge improvements including wing walls, resurfaced roadways, and lighting. The Project requires removal of approximately 40 trees and relocating Canal Shores’ practice greens. Evanston will replace the 40 removed trees with 120 of the same or higher quality nursery trees.
In connection with the Project, Evanston has requested: (1) to acquire 0.304± acres of District real estate located on North Shore Channel Parcels 2.06, 2.07, 2.08 and 2.09 and above the North Shore Channel in Evanston, Illinois to widen the existing Central Street Bridge sidewalks; (2) to amend the lease agreement dated October 14, 1966, between the District and Evanston allowing the surrender of 0.249± acres of the requested 0.304± acres; and (3) a 5-year permit to use 36,461± sq. ft. of North Shore Channel Parcels 2.06, 2.07, 2.08 and 2.09 for construction staging.
The District’s technical departments have reviewed these requests and have no objections thereto.
Evanston’s appraiser, William J. Enright, MAI, estimated the fair market value of the 0.304± acres to be acquired at $52,000.00. A nominal fee of $10.00 is recommended for the lease amendment. An annual permit fee of $5,000.00 is recommended for the 5-year construction staging permit as the permit premises are already under lease to Evanston. The permit is necessary to allow for this additional use of construction staging.
It is requested that the Executive Director recommend to the Board of Commissioners that it pass the following Orders:
1. That the 0.304± acres of District real estate located north and south of Central Street on North Shore Channel Parcels 2.06, 2.07, 2.08 and 2.09 and spanning the North Shore Channel in Evanston, Illinois be declared surplus and not needed for corporate purposes, and be sold to the City of Evanston for the Project;
2. That the fair market value of said 0.304± acres be established at $52,000.00;
3. That the lease agreement dated October 14, 1966, between the District and the City of Evanston be amended to surrender 0.249± acres of District real estate located north and south of Central Street on North Shore Channel Parcels 2.06, 2.07, 2.08 and 2.09 in Evanston, Illinois for a nominal fee of $10.00;
4. That a 5-year permit be issued to the City of Evanston to use 36,461± sq. ft. of District North Shore Channel Parcels 2.06, 2.07, 2.08 and 2.09 as a construction staging area for the Project for an annual fee of $5,000.00;
5. That the Chairman of the Committee on Finance and the Clerk be authorized and directed to execute a Quit Claim Deed, Lease Amendment, and Permit after same have been approved by the General Counsel as to form and legality, and that the General Counsel be authorized to execute any other documents necessary to effectuate these transactions.
Requested, Susan T. Morakalis, General Counsel, STM:EMA:npe
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 May 7, 2020
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