TRANSMITTAL LETTER FOR BOARD MEETING OF MARCH 2, 2023
COMMITTEE ON REAL ESTATE
Mr. Brian A. Perkovich, Executive Director
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Authority to amend lease agreement dated July 16, 2020, between the District and the Village of Lemont and Lemont Park District, co-tenants on 27.19+ acres of District real estate located south of the Main Channel and west of Stephen Street in Lemont, Illinois; Main Channel Parcel 23.04 to expand their leasehold by 4.1+ acres to include Main Channel Parcel 22.05. Consideration shall be a nominal fee of $10.00
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Dear Sir:
The Village of Lemont (“Village”) and Lemont Park District (“Park District”) are co-tenants under a lease of 27.19+ acres of District real estate located south of the Main Channel and west of Stephen Street in Lemont, Illinois; Main Channel Parcel 23.04 for public and recreational use and to maintain a public park, walking trail, music pavilion, soccer and athletic fields and parking lot; maintain seasonal facilities such as a disc golf course, volleyball courts, and skating rinks; and host community events, summer concerts, festivals and youth and adult sporting events. The lease commenced October 1, 2020, expires September 30, 2070, and is subject to a $10.00 nominal fee, plus 25% of the net revenues generated by the Village and Park District’s use of their leasehold. On November 4, 2021, the Board of Commissioners (“Board”) authorized an amendment to the lease to add adjacent Parcel 22.04 comprising 9+ acres.
The Village and Park District now request to further amend their lease to add the adjacent 4.1+ acre vacant parcel known as Main Channel Parcel 22.05, which they intend to use for these same lease purposes. The Village and Park District further request a variance from the setback requirement under the District’s Waterway Strategy concerning Parcels 22.04 and 22.05. The Waterway Strategy applies to all District leases entered into after 1984, which requires a 60’ open-space setback from the top of the bank in all leases. Both parcels are irregularly shaped and narrow, ranging from approximately 75’ to 150’ in width for most of the length of these parcels. A variance from this setback requirement is recommended to allow use of the parcels for purposes consistent with the lease. The Village and Park District state that no permanent structures will be constructed in this setback area.
The District’s technical departments have reviewed this lease amendment request and have no objections thereto. A nominal fee of $10.00 is recommended as is customary for governmental entities using District land for a public purpose.
It is requested that the Executive Director recommend to the Board of Commissioners that it authorize an amendment to the lease agreement dated July 16, 2020, between the District and the Village of Lemont and Lemont Park District, co-tenants on 27.19+ acres of District real estate located south of the Main Channel and west of Stephen Street in Lemont, Illinois; Main Channel Parcel 23.04 to expand their leasehold by 4.1+ acres to include Main Channel Parcel 22.05. Consideration shall be a nominal fee of $10.00.
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 lease amendment agreement after it is approved by the General Counsel as to form and legality.
Requested, Susan T. Morakalis, General Counsel, STM:MTC:CMM
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 March 2, 2023
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