TRANSMITTAL LETTER FOR BOARD MEETING OF AUGUST 8, 2024
COMMITTEE ON REAL ESTATE
Mr. Brian A. Perkovich, Executive Director
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Consent to the assignment of lease agreement dated April 7, 1994, between the District and Valvoline Inc. and Valvoline LLC on 26,414 sq. ft. of District real estate located along the northwesterly bank of the Main Channel, east of Willow Springs Road, in Willow Springs, Illinois, known as Main Channel Parcel 30.05 to VGP Holdings, LLC. Consideration shall be a document preparation fee of $5,000.00
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Dear Sir:
Valvoline Inc. and Valvoline LLC (collectively “Valvoline”) operate and maintain a barge dock facility and underground pipeline for the transportation of petroleum products near the District’s Lawndale Avenue Solids Management Area (“LASMA”) in Willow Springs, Illinois. The lease commenced April 15, 1994, and expires April 14, 2033. Valvoline’s current annual rent is $7,875.00. Valvoline is permitted to assign the lease subject to the District’s written consent.
Valvoline seeks to assign the lease to VGP Holdings, LLC (“VGP”) for the same purposes as authorized under the lease. In accordance with the terms of the lease, Valvoline requests the District’s consent to assign the lease to VGP.
The District’s Finance Department has reviewed VGP’s financial and company background information and determined that VGP 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 consent to the assignment of lease agreement dated April 7, 1994, between the District and Valvoline Inc. and Valvoline LLC on 26,414 sq. ft. of District real estate located along the northwesterly bank of the Main Channel, east of Willow Springs Road, in Willow Springs, Illinois, known as Main Channel Parcel 30.05 to VGP Holdings, LLC. Consideration shall be a document preparation fee of $5,000.00.
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 Consent to Assignment of Lease Agreement after it is approved by the General Counsel as to form and legality.
Requested, Susan T. Morakalis, General Counsel, STM:BJD:KHY
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 August 8, 2024
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