HomeMy WebLinkAboutZ-526-09 Park Place PUD Ordinance Amendment >.A.9` "Z— 2- 7 — C a
Final proposal for The Barrington of Cannel PILOT agreement (Mod-1)
1. Prior terms related to payment guarantees shall be as.previously discussed. Payment will be
secured by a mortgage on the Real Estate subordinated only to the construction financing.
2. The PILOT agreement shall be recorded and run with the land, binding'successors and
assigns.
2. Mayflower shall receive a 50%discount on the annual tax load as previously discussed.
3. There will be a $350,000 floor on the annual tax load as previously discussed.
4. There will be no ceiling to the annual tax load.
5. The tax load shall be phased in on a year by year basis based on cash flows of the project.
-During the.first year of construction the tax load remains at the current amount (approx $40,000)
-During the second year of construction the tax load will be$100,000.
-Upon issuance of a Certificate of Substantial Completion by the architect, thru the-period until
Stabilized Occupancy is achieved,or 24 months whichever is sooner(Fill Up Period), Mayflower
would pay 50%of the floor amount or$175,000.
-Upon reaching Stabilized Occupancy or 24 months from issuance of the Certificate of Substan-
tial Completion, whichever occurs sooner, Mayflower would pay an amount based on items 2
and 3 above(the previously agreed to 50%discount of the full assessed value).
6. Mayflower retains its right to appeal the assessed value throughout,the life of the project.
8. Below is an example of how the above terms would look when applied to an annual timeline.
Year I - Construction starts($40,000)
Year 2- Construction is under way($I00.000)
Year 3 - Construction is complete and Certificate of Substantial Completion is issued ($175,000)
Year 4 - Fill up($175,000)
Year 5 - Fill up($175,000)
Year 6 -.Fill up($350,000 or 50%of assessed value whichever is greater)
Year 7 - Stabilized Occupancy($350,000 or 50%of assessed value whichever is greater)
Year 8 and Beyond - Norma) Operations($350,000 or 50%of assessed value whichever is
greater)
EXHIBIT B
AGREEMENT ATTENDANT TO ORDINANCE Z-526-09
(Park Place PUD Ordinance Amendment)
Mayflower Communities,Inc.("Mayflower"),successor in interest to Guilford Partners,LLC
("Guilford")owns real estate in Carmel,Hamilton county, Indiana, the legal description of which
is attached hereto as Exhibit"A"(the"Real Estate")and has.petitioned the Common Council of the
City of Carmel,Indiana(the"Council")to amend Ordinance Z-500-06(the Park Place Planned Unit
Development District - "Park Place PUD") by the adoption of Ordinance Z-526-09 modifying the
unit mix contained in Section 5.1(e) of the Park Place PUD.
Mayflower's status as a 501(c)(3)charitable corporation may entitle Mayflower to tax exempt
status as to the Real Estate described in Exhibit "A" and in the event tax exempt status is obtained
by Mayflower, the City of Carmel and Mayflower agree to enter a "Payment in Lieu of Taxes"
agreement("PILOT agreement")requiring Mayflower to pay an amount equal to Fifty Percent(50%)
of the real estate taxes, adjusted annually as the property value is trended and the tax rate changes;
however, except during construction and achieving stabilized occupancy, the payment under the
PILOT agreement shall never be less than the sum of Three Hundred Fifty Thousand Dollars and
No/100 ($350,000.00)per year. The PILOT payment will be phased in over a five(5) year period
as follows:
Year 1 Construction Starts $40,000.00
Year 2 Construction $100,000.00
Year 3 Construction complete and certificate of $175,000.00
substantial completion
Year 4 Occupancy fill-up $175,000.00
Year 5 Occupancy fill-up $175,000.00
Year 6 Occupancy fill-up (50% of applicable tax based
on assessed value or$350,000
whichever is greater
Year 7 Stabilized occupancy S350,000.00 or 50% of the
applicable tax based on
assessed value, whichever is
greater
Year 8 and Normal operation $350,000.00 or 50%of the
beyond applicable tax based on
assessed value whichever is
greater
f
The PILOT agreement shall be recorded to run with the land and bind Mayflower's
successors and assigns. Mayflower's payment obligation created by the PILOT agreement shall be
secured by a mortgage on the Real Estate subordinated only to the construction Financing in the
original amount of the initial cost of the project.
Mayflower agrees to cooperate with the City of Carmel to allocate the Real Estate described
in Exhibit"A"to the amended 126th Street expansion tax increment financing district as may be
necessary.
MAYFLOWER COMMUNITIES,INC.
Date: /2, 2e09 By:art.,/4:4,,
4,„,„,/
(Printed)
Its:tcO e/ 4 /,A
(Title)
STATE OF NEW HAMPSHIRE )
) SS:
COUNTY OF c-/-reff-cl _ )
Before me,a N7 ry Public in and for said County and State,personally appeared Mayflower
.Communities,Inc.by kt\'-1s,,.i J"G„ rr r S s ,who acknowledged the execution of the
foregoing Agreement and who, having been duly sworn, stated that any representations therein
contained are true.
My Commission Expires:
Se -1-P cnkPc . r .-10 10 �� 1 k aYYri rnn
Ndtary Public
My County of Residence:
f {Or(.4 >1)di L. �7-f.. rd-- SS
Printed Name
3`, j I
NdEOC OKEYSTONEujrzcmcrit Attend lei t0 Otdimnace 1-526-09 with Prat 3.2.09.wpd CINDY L GRIMARD-GOSS,Notary Public
My Commission Expires September 21,2010
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