TRANSMITTAL LETTER FOR BOARD MEETING OF JANUARY 9, 2025
COMMITTEE ON REAL ESTATE
Mr. Brian A. Perkovich, Executive Director
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Authorization to declare as surplus and not required for corporate purposes, and to sell to the Illinois Department of Transportation, approximately 0.028± acres of District land located on the east bank of the Des Plaines River, a portion of Main Channel Parcel 9.03, in Joliet, Illinois. Consideration shall be a fee of $2,440.00
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Dear Sir:
The Illinois Department of Transportation (“IDOT”) is expanding the I-80 bridge that crosses the Des Plaines River in Joliet, Illinois. As part of that project, IDOT is acquiring land in the vicinity to make room for the expanded bridge and to obtain construction staging areas.
In conjunction with the project, IDOT requests to purchase approximately 0.028± acres of District land located along the east bank of the Des Plaines River, north of the I-80 Bridge. That land that is a portion of Main Channel (“MC”) Parcel 9.03 in Joliet, Illinois.
The District’s technical departments reviewed IDOT’s request and have no objection to the proposed conveyance to IDOT. The $2,440.00 fee is based on the appraised fair market value of the District land as determined by William J. Enright, MAI, of Appraisal Associates, who was the District’s appraiser.
The subject 0.028± acre portion of MC Parcel 9.03 is approximately 1.52% of 1.84± acres that the District leases to Illinois Marine Towing, Inc. (“IMT”) under a 39-year lease that commenced April 1, 2014, and expires March 31, 2053. IMT has not improved and does not occupy the District land itself. Instead, under the lease, IMT fleets and moors barges along a sea wall that is adjacent to the District land.
IMT’s lease, as with all District land leases, provides that the tenant must surrender a portion of the leasehold if a government agency with roadway authority requests to use the land for road building. Pursuant to this lease provision, IMT will surrender the subject 0.028±-acres, and its lease will be amended to reflect a new leasehold area of approximately 1.812± acres. Also, IMT’s annual rent would be reduced by an amount commensurate with the reduction of its leasehold. A 1.52% rent reduction would change the rent to $29,364.83/year, down $453.23 from IMT’s current rent of $29,818.06/year. No other lease term will be changed. IMT will continue to be allowed to moor and fleet barges along the Des Plaines River sea wall adjacent to its remaining leasehold premises.
It is requested that the Executive Director recommend to the Board of Commissioners that it pass the following orders:
1. that the subject District land, an approximately 0.028±-acre portion of Main Channel Parcel 9.03 in Joliet, Illinois, be declared as surplus and not required for corporate purposes, and may be sold to the Illinois Department of Transportation for expansion of the I-80 Bridge;
2. that the fair market value of the subject District land be established at $2,440.00;
3. that the District may enter into a Purchase and Sale Real Estate Agreement with IDOT for the sale of the subject District land;
4. that the Chairman of the Committee on Finance and the Clerk are authorized and directed to execute all documents necessary for the District to sell the subject District land to IDOT and amend the District’s lease with IMT after such documents are approved by the General Counsel as to form and legality; and
5. that the General Counsel be authorized and directed to execute and deliver all other documents necessary for the District to sell the subject District land to IDOT.
Requested, Susan T. Morakalis, General Counsel, STM:BJD:JAW:vp
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 January 9, 2025
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