TRANSMITTAL LETTER FOR BOARD MEETING OF SEPTEMBER 21, 2023
COMMITTEE ON REAL ESTATE
Mr. Brian A. Perkovich, Executive Director
Title
Authority to commence statutory procedures to lease 7.42± acres of District real estate located along the North Shore Channel between Oakton Street and the CTA Yellow Line tracks in Skokie, Illinois, known as North Shore Channel Parcels 6.06, 6.11, and 6.14 (portion)
Body
Dear Sir:
Builder’s Asphalt, LLC (“Builder’s”) has requested to continue leasing 7.42± acres of District real estate located along the North Shore Channel between Oakton Street and the CTA Yellow Line tracks in Skokie, Illinois, known as North Shore Channel (“NSC”) Parcels 6.06, 6.11, and 6.14 (portion). Builder’s currently leases the subject District parcels under two lease agreements. The first lease on NSC Parcels 6.06 and 6.11 commenced July 1, 2014, and expires June 30, 2024. The current annual rent is $211,211.11. The second lease on NSC Parcel 6.14 (portion) commenced March 1, 2018, and expires February 28, 2025. The current annual rent is $55,305.25. Builder’s and its predecessors have used this site for operating an asphalt plant since 1960.
If Builder’s is the successful bidder, it plans to use the parcels for the same purposes. The requested lease term is fourteen (14) years. Since the parcels are contiguous, any new lease agreement will include all three parcels.
For the current lease, the District has waived its policy which generally requires District land along the North Shore Channel between Devon Avenue and the Wilmette Harbor to be used for open green space and public recreational use. It is recommended that the waiver continue to apply under the new lease because this longstanding use pre-dated adoption of the policy. The Village of Skokie also supports the proposed lease of the property, considering that Builder’s has been a good steward of the property and that the proposed use complies with local code regulations.
The District’s technical departments have reviewed this lease request and have indicated that the subject site is not currently needed for corporate use and that they have no technical objections thereto.
It is requested that the Executive Director recommend to the Board of Commissioners that it authorize and direct the General Counsel to commence statutory procedures to lease 7.42± acres of District real estate located along the North Shore Channel between Oakton Street and the CTA Yellow Line tracks in Skokie, Illinois, known as North Shore Channel Parcels 6.06, 6.11, and 6.14 (portion) upon the terms and conditions set forth herein.
Requested, Susan T. Morakalis, General Counsel, STM:BJD:NOC: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 September 21, 2023
Attachments