Loading...
324-326 W Locust - 1 st Amendment to Development Agreement Copyright 2014 City of Dubuque Consent Items # 14. ITEM TITLE: 324-326 W Locust - 1 st Amendment to Development Agreement SUMMARY: City Manager recommending approval of the 1 st Amendment to Development Agreement that extends the completion date to June 30, 2015. RESOLUTION Approving the First Amendment to the Development Agreement between the City of Dubuque, Iowa and Weaver Castle, LLC. SUGGESTED DISPOSITION: Suggested Disposition: Receive and File; Adopt Resolution(s) ATTACHMENTS: Description Type ❑ 324326 W. Locust 1st Amendment to Development Agreement-MVM City Manager Memo Memo ❑ Staff Memo Staff Memo ❑ 1st Amendment to DA Supporting Documentation ❑ Resolution 1st Amendment Supporting Documentation THE CITY OF Dubuque UBE I erica .i Masterpiece on the Mississippi 2007-2012-2013 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: 1 St Amendment to Development Agreement for 324-326 West Locust DATE: March 10, 2015 City Council approved a Development Agreement with Weaver Castle LLC for the redevelopment of 324-326 West Locust Street on April 1, 2013. The Agreement calls for the creation of four market rate apartments with a capital investment of at least $400,000. The project is nearing completion, but has passed the substantial completion date of December 31, 2014. Economic Development Director Maurice Jones recommends City Council approval of the 1 St Amendment to Development Agreement that extends the completion date to June 30, 2015. 1 concur with the recommendation and respectfully request Mayor and City Council approval. Mic ael C. Van Milligen MCVM:jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager Teri Goodmann, Assistant City Manager Maurice Jones, Economic Development Director Dubuque Economic Development Department THE CITY OF 50 West 13th Street All-AmericaCitY Dubuque,Iowa 52001-4864 DUB36kE1 ' Office(563)589-4393 TTY(563)690-6678 ® http://www.cityofdubuque.org Masterpiece on the Mississippi 200.2012.2013 TO: Michael Van Milligen, City Manager FROM: Maurice Jones, Economic Development Director SUBJECT: 1St Amendment to Development Agreement for 324-326 West Locust DATE: March 5, 2015 INTRODUCTION This memorandum presents for review and approval an amendment to the Development Agreement with Weaver Castle LLC for the redevelopment of the property at 324-326 West Locust Street. BACKGROUND City Council approved a Development Agreement with Weaver Castle LLC for the redevelopment of 324-326 West Locust Street on April 1, 2013. The Agreement calls for a capital investment of at least $400,000 and the creation of four (4) market rate apartments. DISCUSSION The project at 324-326 West Locust is nearing completion, but has passed the substantial completion date of December 31, 2014, as set forth in the original Development Agreement. The 1St Amendment will extend the completion date to June 30, 2015. RECOMMENDATION/ ACTION STEP I recommend the Council approves the attached resolution, authorizing the Mayor to sign the 1St Amendment. FIRST AMENDMENT TO DEVELOPMENT AGREEMENT BETWEEN THE CITY OF DUBUQUE, IOWA AND WEAVER CASTLE LLC This First Amendment to Development Agreement, dated for reference purposes the 16th day of March 2015, is made and entered into by and between the City of Dubuque, Iowa (City) and Weaver Castle LLC (Developer). Whereas City and Developer entered into a Development Agreement dated the 1st day of April, 2013 (the Development Agreement) for the redevelopment of the property at 324-326 West Locust Street; and Whereas substantial work on the property which is the subject of the Development Agreement has been performed to date, but the Minimum Improvements required by the Development Agreement are not yet complete; and Whereas City and Developer desire to amend the Development Agreement as set forth herein. NOW, THEREFORE, IT IS AGREED BY AND BETWEEN THE PARTIES THAT THE DEVELOPMENT AGREEMENT IS AMENDED AS FOLLOWS: 1 . Section 2.4 of the Development Agreement is hereby amended to read as follows: Timing of Improvements. Developer hereby agrees that construction of the Minimum Improvements on the Property shall be commenced within thirty (30) days after the Closing Date, and shall be substantially completed by June 30, 2015. The time for the performance of these obligations shall be suspended due to unavoidable delays meaning delays, outside the control of the party claiming its occurrence in good faith, which are the direct result of strikes, other labor troubles, unusual shortages of materials or labor, unusually severe or prolonged bad weather, acts of God, fire or other casualty to the Minimum Improvements, litigation commenced by third parties which, by injunction or other similar judicial action or by the exercise of reasonable discretion directly results in delays, or acts of any federal, state or local government which directly result in extraordinary delays. The time for performance of such obligations shall be extended only for the period of such delay. 2. All other terms and conditions of the Development Agreement remain in full force and effect. 030515bal CITY OF DUBUQUE, IOWA WEAVER CASTLE LLC By: By: Roy D. Buol, Mayor Gary Stelpflug, Manager Attest: By: Trish L. Gleason, Assistant City Clerk 2 RESOLUTION NO. 83-15 APPROVING THE FIRST AMENDMENT TO THE DEVELOPMENT AGREEMENT BETWEEN THE CITY OF DUBUQUE, IOWA AND WEAVER CASTLE, LLC Whereas the City of Dubuque, Iowa (City) and Weaver Castle, LLC (Developer) entered into a Development Agreement dated for reference purposes the 1st day of April, 2013; and Whereas City and Developer now desire to amend the Development Agreement as set forth in the First Amendment to Development Agreement attached hereto. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. The City Council hereby approves the First Amendment to Development Agreement. Section 2. The Mayor is authorized and directed to sign the First Amendment to Development Agreement on behalf of the City of Dubuque. Passed, approved and adopted this 16th day of March, 2015. Attest: Trish L. Gleason, Assistant City Clerk D. Buol, Mayor