TRANSMITTAL LETTER FOR BOARD MEETING OF OCTOBER 15, 2026
COMMITTEE ON REAL ESTATE
Mr. John P. Murray, Executive Director
Title
Authority to approve and execute a permanent easement agreement with GLP Capital, L.P. and Bally’s Chicago Operating Company, LLC, to construct, reconstruct, repair, replace, remove, operate, maintain, and access District infrastructure located at 777 W. Chicago Avenue in Chicago, Illinois
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Dear Sir:
GLP Capital, L.P. (“GLP”) is the owner of property located at 777 W. Chicago Avenue in Chicago, Illinois, which it currently leases to Bally’s Chicago Operating Company, LLC (“Bally’s”) for the development of a new casino. The District owns and maintains an intercepting sewer, known as West-Side-8, and TARP structures (collectively, “District Sewer System”) within a portion of the development site pursuant to easements granted to the District in 1934 and 1977.
On May 15, 2025, the Board of Commissioners authorized the issuance of a temporary license agreement to GLP and Bally’s to perform pre-construction activities within the current easement areas. The license agreement set forth the District’s right to review and approve all construction plans, pre- and post-construction televising of the sewers, setbacks for all subsurface facilities, indemnification for any claims related to the work, and insurance protection for any damage caused to District infrastructure. Throughout construction, District staff have worked closely with Bally’s engineers to ensure that District infrastructure is protected.
As a result of the construction of the new casino, a City of Chicago sewer needed to be reconfigured to allow continued flow into the District’s Sewer System. This sewer work presented an opportunity to consolidate the District’s two existing easements from 1934 and 1977 into one easement that will encompass all of the District’s infrastructure at this location. This new easement agreement will include stronger protections for the District assets and no new compensation is required.
It is requested that the Executive Director recommend to the Board of Commissioners that it accept and approve the permanent easement agreement with GLP Capital, L.P. and Bally’s Chicago Operating Company, LLC, to construct, reconstruct, repair, replace, remove, operate, maintain, and access District infrastructure located at 777 W. Chicago Avenue in Chicago, Illinois.
It is further requested that the Executive Director recommend to the Board of Commissioners that the Chairman of the Committee on Finance and Clerk be authorized and directed to execute any documents necessary in connection with the subject easement after they are approved by the Director of Engineering as to technical matters and by the General Counsel as to form and legality.
Requested, Susan T. Morakalis, General Counsel, STM:BJD:NOC
Recommended, John P. Murray, 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, 2026
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