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HomeMy WebLinkAboutCRC-2012-02 CCC Nash/CCC Kent Project AgreementCITY OF CARMEL REDEVELOPMENT COMMISSION RESOLUTION NO. Z. -2012 WHEREAS, The City of Carmel Redevelopment Commission ( "CRC ") desires to enter into that certain Project Agreement (First Component) with CCC Nash, LLC ( "CCC Nash "), an affiliate of Pedcor Companies (the "Nash Project Agreement "); WHEREAS, the Nash Project Agreement contemplates the construction of the first "Component" under that certain Project Agreement (Parcel 5 Remainder /Parcels 4 & 11) executed in December, 2011, by CRC and affiliates of Pedcor Companies (the "RPA "), which first "Component ": (a) will be constructed on the parcel commonly known as "Parcel 5 "; and (b) is the "Nash Project "; W HEREAS, CRC desires to enter into that certain Project Agreement (Parcel 2 Residential) with CCC Kent, LLC ( "CCC Kent "), an affiliate of Pedcor Companies (the "Kent Project Agreement "); WHEREAS, the Kent Project Agreement contemplates the construction of a project on the parcel commonly known as "Parcel 2b" (the "Kent Project "); WHEREAS, the Nash Project Agreement and the Kent Project Agreement, collectively, are the "Project Agreements; WHEREAS, the Nash Project and the Kent Project, collectively, are the "Projects "; W HEREAS, the financial obligations of CRC under the Project Agreements will be limited to: (a) assisting CCC Nash and CCC Kent by leveraging the increment generated by the Projects at a 1:0:1.10 debt service coverage ratio; (b) funding customary public right -of -way and streetscape improvements; and (c) covering closing costs. WHEREAS, the RPA contemplates that increment generated by improvements constructed on Parcels 2, 4, 5, 11, 12 will be leveraged by developers to finance public improvements, including, without limitation, public improvements on Parcel 5 and Parcel 2b; WHEREAS, pursuant to the Project Agreements, there will be parking garages constructed on Parcel 5 and Parcel 2b, respectively, that constitute public improvements and, accordingly, may be financed by the leveraging by CCC Nash and CCC Kent of the increment generated by the Projects; WHEREAS, to reflect the intent of the CRC to facilitate CCC Nash leveraging the increment generated by the Projects, the Nash Project Agreement contemplates the execution of that certain: (a) Installment Purchase Contract (Garage -First Component) with CCC Nash, pursuant to which CRC will purchase the parking garage constructed pursuant to the Nash Project Agreement (the "Nash GIC "); and (b) Agreement for Payment in Lieu of Taxes (First Component) with CCC Nash, pursuant to which CCC Nash will agree to make payments in addition to real estate taxes if and to the extent that the actual increment generated by the Nash Project is less than the increment projected to be generated pursuant to in an increment estimate that has been provided to CRC (the "Nash PILOT "); WHEREAS, to reflect the intent of the CRC to facilitate CCC Kent leveraging the increment generated by the Projects, the Kent Project Agreement contemplates the execution of that certain: (a) Installment Purchase Contract (Garage - Parcel 2) with CCC Kent, pursuant to which CRC will purchase the parking garage constructed pursuant to the Kent Project Agreement (the "Kent GIC "); and (b) Agreement for Payment in Lieu of Taxes (Parcel 2 Residential) with CCC Kent, pursuant to which CCC Kent will agree to make payments in addition to real estate taxes if and to the extent that the actual increment generated by the Kent Project is less than the increment projected to be generated pursuant to in an increment estimate that has been provided to CRC (the "Kent PILOT "); Z\Documents\Shoup, Jenny \City of CarmehResolutions\P.pproval of Nash and Kent.v2.wpd WHEREAS, the Project Agreements, the Nash GIC, the Nash PILOT, the Kent GIC, and the Kent PILOT, collectively, are the "Agreements "; and WHEREAS, the actual leveraging of such increment will be subject to approval by the Common Council of the City of Carmel (the "Council "), and the execution of documents pursuant to which the increment is leveraged will be subject to a subsequent vote by CRC; NOW, THEREFORE, BE IT RESOLVED THAT: 1. The CRC hereby approves the finalization and subsequent execution of: (a) the Agreements; together with (b) all certificates, documents, and/or instruments either: (i) contemplated by the Agreements; or (ii) reasonably required to satisfy the obligations of the CRC under the Agreements (all of the foregoing, collectively, the "CRC Documents "); subject to obtaining required subsequent approvals and votes by the Council and the CRC with respect to leveraging the increment that will be generated by the Projects. 2. The President of CRC (the "President ") hereby is authorized to execute the CRC Documents, which CRC Documents shall be on terms and conditions: (a) consistent with this Resolution; and (b) otherwise as determined by the President to be necessary or appropriate. The Vice President of CRC hereby is authorized to execute any of the CRC Documents in the President's absence. Passed by the City of Carmel Redevelopment Commission this 3rd day of May, 2012, by a vote of __j ayes and __ _ nays. CITY OF CARMEL REDEVELOPMENT COMMISSION By: By: ._D.ay!_dC. Bowers, Vice Presid nt By: By: 2:\Oocuments \Shoup. Jenny\City of CarmeRResoletionsWpproval of Nash and Kent.v2.wpd radtey-FMeyer,._Secretary Jeff Worrell Carolyn E. Anker