ACTION REQUESTED:
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Communication from the City Manager with a Request for the Following:
A. ACCEPT Assignment from the DOWNTOWN DEVELOPMENT CORPORATION of PEORIA of the AGREEMENT for Purchase and Sale of Real Property at 813-815 SW WASHINGTON; and
B. ADOPT an ORDINANCE Amending the City of Peoria 2016-2017 BIENNIAL BUDGET Relating to the Use of the WAREHOUSE DISTRICT TIF FUND BALANCE.
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BACKGROUND: The City has an opportunity to acquire a key property within the Warehouse District. The Downtown Development Corporation (DDC), acting on behalf of the City, has negotiated the purchase of 813-815 SW Washington. The property is two adjoining structures: a two-story brick structure with an attached cinderblock garage. The property also contains an elevated parking surface along Washington Street. The property is currently owned by the Gregory G. Brinkman Trust. The DDC has the property under contract for $260,000 and has already paid $5,000 in earnest money. The Agreement between the Trust and DDC is attached. Section 7 of the Agreement allows the DDC to assign the Agreement to another party, including the City, provided that notice in writing has been given to the Trust. Such notice has been given.
Owning 813-815 SW Washington provides the City with a number of opportunities. The smaller brick building has the potential for redevelopment. The adjoining parking platform and garage, or the entire property, would also be an excellent location for a future parking structure. Such a structure will be necessary as development continues to happen in the area.
FINANCIAL IMPACT: The acquisition will cost $260,000 (inclusive of reimbursing the DDC for its earnest money payment), plus an estimated $2000 to cover legal fees. Funds will be drawn from the unobligated balance in the Warehouse District TIF Fund.
NEIGHBORHOOD CONCERNS: Not applicable.
IMPACT IF APPROVED: The City will accept transfer of the Agreement from the DDC and purchase the pr...
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