HomeMy WebLinkAboutOrdinances - ORD-03-1138 - 04/21/2003 - AUTHORIZE REDEVELOPMENT AGREEMENT LANCO DEVELOPMENORDINANCE NO. ORD-03-1138
AN ORDINANCE AUTHORIZING THE EXECUTION OF A REDEVELOPMENT
AGREEMENT WITH LANCO DEVELOPMENT, AN ILLINOIS CORPORATION
("DEVELOPER") AND THE CITY OF MCHENRY, AN ILLINOIS MUNICIPAL
CORPORATION, FOR AN APPROXIMATELY 1.6% ACRE PROPERTY LOCATED AT
3316-3412 WAUKEGAN ROAD, IN THE CITY OF MCHENRY, MCHENRY COUNTY,
ILLINOIS
WHEREAS, Lanco Development, an Illinois Corporation is the (the "DEVLOPER") of
the real estate located at 3316-3412 Waukegan Road, in the City of McHenry, McHenry
County, Illinois; and
WHERAS, pursuant to the Tax Increment Allocation Redevelopment Act of the State
of Illinois, 65 ILCS 5/11-74.4-1, et seq., as from time to time amended (the "TIF ACT'), the
Mayor and City Council (collectively, the "CORPORATE AUTHORITIES") are empowered
to undertake the redevelopment of a designated area within its municipal limits in which
existing conditions permit such area to be classified as a "conversation area" as defined in
Section 11.74.4-3(b) of the TIF ACT; and,
WHEREAS, pursuant to its powers and in accordance with the requirements of the
TIF ACT, the CORPORATE AUTHORITIES designated the Redevelopment Project Area
as "redevelopment project area" (as that term is defined under the TIF ACT) and adopted
tax increment allocation financing for the purposed of implementing the Redevelopment
Plan for the Redevelopment Project Area; and,
WHEREAS, the DEVELOPER proposed to acquire and develop a residential
housing subdivision consisting of twenty (20) luxury townhomes each having a boat slip, to
be marketed as the Riverwalk Place Townhomes (the "SUBDIVISION") on certain property
within the Redevelopment Project Area; and,
WHEREAS, the development of the SUBDIVISION is consistent with the
Redevelopment Plan and is located within the Redevelopment Project Area; and,
WHEREAS, the Corporate Authorities of the City of McHenry have found that entry
into said Redevelopment Agreement is in the best interest of the City.
NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND CITY COUNCIL OF
THE CITY OF MCHENRY, MCHENRY COUNTY, ILLINOIS AS FOLLOWS:
SECTION- 1: The Redevelopment Agreement, bearing the date of March 31, 2003,
between the City of McHenry, an Illinois Municipal Corporation in the State of Illinois,
Lanco Development Company, DEVELOPER, be and the same is hereby approved. A
complete and accurate copy of said Redevelopment Agreement, labeled �-
"REDEVELOPMENT AGREEMENT", is attached to this ordinance and incorporated herein
by reference,
SECTION 2: The Mayor and City Clerk are hereby authorized to affix their
signatures as Mayor and City Clerk to said REDEVELOPMENT AGREEMENT for the uses
and purposes therein set forth.
SECTION 3: All Ordinance or parts thereof in conflict with the terms and provisions
hereof are hereby repealed to the extent of such conflict.
SECTION 4: This Ordinance shall be published in pamphlet form by and under the
authority of the corporate authorities of the City of McHenry, McHenry County, Illinois.
SECTION 5: This Ordinance shall be in full force and effect from and after its
passage, approval, and publication in pamphlet form as provided by law.
PASSED THIS 21S-T DAY OF APRI L , 2003
AYES: BOLGER, GLAB, LOW, MURGATROYD, WIMMER
NAYS:
ABSTAINED:
NONE
NONE
NONE
ABSENT:
NOT VOTING:
NONE
APPROVED THIS 21ST DAY OF APRI L , 2003
ATTEST:
lax-lotk,-, Q.
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REDEVELOPMENT AGREEMENT
THIS AGREEMENT (the "Agreement') is entered into this day of
2003, between the City of McHenry, an Illinois municipal corporation (the
"City" and Lanco Development Company, an Illinois corporation (collectively the "Developer').
PREAMBLES .
WHEREAS, in the Redevelopment Project Area (as defined below), and otherwise, the City
has identified a severe need for the location and development of adequate and available multi -family
housing within its downtown in order to provide a mix of community activities including business,
entertainment, recreation and civic gatherings to residents thereby retaining current residents and
attracting new residents to the City; and,
WHEREAS, pursuant to the Tax Increment Allocation Redevelopment Act of the State of
Illinois, 65 ILCS 5/11-74.4-1, et seq., as from time to time amended (the "TIFAct "), the Mayor and
City Council (collectively, the "Corporate Authorities ") are empowered to undertake the
redevelopment of a designated area within its municipal limits in which existing conditions permit
such area to be classified as a "conservation area" as defined in Section 11.74.4-3(b) of the TIF Act;
and,
WHEREAS, pursuant to its powers and in accordance with the requirements of the TIF Act,
the Corporate Authorities approved a redevelopment plan and project for the Downtown McHenry
Tax Increment Redevelopment Project Area (the "Redevelopment Project Area ") as set forth in the
document entitled Downtown McHenry Tax Increment Redevelopment Project and Plan" (the
"Redevelopment Plan "), dated January 25, 2002, which sets forth a plan for the redevelopment and
revitalization of the Redevelopment Project Area; and,
WHEREAS, pursuant to its powers and in accordance with the requirements of the TIF Act,
the Corporate Authorities designated the Redevelopment Project Area as "redevelopment project
area" (as that term is defined under the TIF Act) and adopted tax increment allocation financing for
the purpose of implementing the Redevelopment Plan for the Redevelopment Project Area; and,
WHEREAS, the Corporate Authorities have determined that the presence of certain
blighting factors described in the TIF Plan are detrimental to the public and impair development and
growth in the Redevelopment Project Area, with the result that it is necessary to incur extraordinary
costs in order to develop the Redevelopment Project Area. The presence of blighting factors in the
Redevelopment Project Area will continue to impair growth and development but for the use of tax
increment allocation financing to undertake certain obligations as hereinafter provided to pay
Redevelopment Project Costs (as defined in Section 5) of this Agreement) which necessarily must be
incurred to implement the aforesaid program of redevelopment; and,
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WHEREAS, the Developer proposed to acquire and develop a residential housing
subdivision consisting of twenty (20) luxury town homes each having a boat slip, to be marketed as
the R.iverwalk Place Town homes (the "Subdivision') on certain property within the Redevelopment
Project Area and legally described on Exhibit A attached to and made a part of this Agreement (the
"Subject Property'); and,
WHEREAS, the Developer's proposal calls for the Developer to do the following in
connection with the development of the Subdivision: (i) assemble the Subject Property; (ii)
undertake and pay for the costs of all studies, surveys, plans and specifications, professional fees and
permits; (iii) undertake partial improvement of Waukegan Road with a paving base, binder and
service course; (iv) provide some street lighting along Waukegan Road; (v) provide all landscaping
for the Subdivision; (vi) construct any public works or improvements necessary for the provision of
utilities and City services to the Subdivision; and, (vii) construct, market and sell twenty (20) town
homes within the Subdivision or cause twenty (20) town homes to be constructed, each having the
right to a boat slip, on or before December 31, 2005; and,
WHEREAS, the development of the Subdivision is consistent with the Redevelopment Plan
and is located within the Redevelopment Project Area; and,
WHEREAS, due to the adoption of the TIF Act the City is authorized under the TIF Act to
incur Redevelopment Project Costs and to make and enter into all contracts necessary or incidental to
the implementation of its redevelopment plan and project; and,
WHEREAS, in order to induce the Developer to assemble the Subject Property and
undertake the development and marketing of the Subdivision, the Corporate Authorities have
determined that it is in the best interest of the City and the health, safety, morals and welfare of the
residents of the City for the City to (i) reimburse the Developer for certain eligible Redevelopment
Project Costs incurred by the Developer in connection with the redevelopment of Waukegan Road
per the specifications provided by the City Engineer; (ii) provide Developer ten (10) piers or twenty
(20) boat slips each valued at $5,000.00 only if and when a building permit is issued; (iii) reimburse
the Developer for the cost of construction of ten (10) piers or twenty (20) boat slips ($1,000.00 per
slip) each due only if and when a building permit is issued; and, (iv) waive building permits and
defer certain other fees until the sale of a town home is completed; and,
WHEREAS, the Corporate Authorities have determined that the provision by the City to the
Developer of the benefits described in the immediately preceding recital and the development by the
Developer of the Subdivision pursuant to this Agreement are in the best interests of the City and the
health, safety, morals and welfare of its residents and taxpayers and will be in furtherance of the
Redevelopment Plan and thereby help provide for economic development and housing opportunities
for the inhabitants of the City, enhance the tax base of the City and other taxing districts and add to
the welfare and prosperity of the City and its inhabitants.
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NOW, THEREFORE, the parties, for good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, agree as follows:
Section 1. Incorporation of Recitals.
The Parties agree that all of the recitals contained in the Preambles to this Agreement are true
and correct and are hereby incorporated into this Agreement as though they were fully set forth in
this Section 1.
Section 2. Acquisition: of SubjectProperry; Development Platt; Conveyance to Cityfor
Riverwalk
(a) The Developer represents and warrants that it shall assemble the real estate
constituting the Subject Property by acquiring title to the Subject Property on or before June 30,
2003.
(b) Within sixty (60) days of the date of this Agreement, the Developer shall submit to
the City for its review and consideration a Preliminary Plat of Subdivision (the "Preliminary Plat').
The City shall review the Preliminary Plat as provided in the Subdivision Code of the City (the
"Subdivision Code'). On or before August 1, 2003, the Developer shall submit a Final Plat of
Subdivision (the "Final Plat "). The Preliminary Plat, the Final Plat and all required submissions
shall comply with all applicable federal, state, county, municipal or administrative laws ordinances,
rules, regulations, codes and orders (collectively, the "Legal Requirements ") relating in any way to
the Subdivision, other than the following: (i) Variance to allow five (5) buildings on a single zoning
lot; (ii) Variance of front yard setback from 30 feet to 6 feet; (iii) Variance of side yard setback from
15 feet to 5 feet, (iv) Variance of rear yard setback from 25 feet to 0 feet, (v) Variance of Municipal
Code requirement for 75% brick exterior, (vi) Variance permitting the Developer to install two (2)
temporary advertisement signs on subject property.
(c) Development of the Subject Property shall conform to the Final Plat.
(d) Within sixty (60) days of the date of this Agreement, the City shall deliver to the
Developer plans and specifications for the completion of the partial improvements to Waukegan
Road with a paving base, binder, surface course and street lighting and the relocation of certain
portions of said road. The Developer shall commence construction of the Road Project on or before
September 1, 2003 (the "Road Project").
(e) On or before September 1, 2003, the Developer shall convey to the City free and clear
of all liens and encumbrances, a parcel of real estate to be used as a part of a riverwalk project, as
depicted and legally described on the Final Plat as "dedicated Pedestrian Walkway."
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(f) The City warrants and represents that it owns in fee simple the title to twenty (20)
boat slips or ten (10) piers on the Fox River to be located in the Boone Lagoon adjacent to the
Subject Property. In addition, the City agrees to transfer and convey all right, title and interest in said
twenty boat slips or ten piers at no cost to the Developer. A Transfer and conveyance to Developer by
the City of each boat slip or pier shall occur upon the issuance of a building permit for a townhome
unit in the Subdivision.
Section: 3. Construction: of Improvements.
(a) . Promptly following approval of all construction plans and specifications required for
approval pursuant to the Legal Requirements, the Developer shall commence the development of the
Subdivision in accordance with the Legal Requirements. The development of the Subdivision shall
be done solely at the Developer' s expense subject to reimbursement for such expenses pursuant to
this Agreement and all improvements shall be constructed in a good and workmanlike manner in
accordance with the standards set forth in the Subdivision Code.
(b) Construction of the development per the approved Final Plat shall commence on or
before September 1, 2003, and the Developer covenants and agrees that completion of construction
in accordance with the Final Plat shall have occurred on or before December 31, 2005.
(c) Promptly following the approval of all plans and specifications for the Road Project,
the Developer shall commence construction and complete same in accordance with the approved
plans and specifications on or before the date on which a certificate of occupancy is issued for the
first townhome.
(d) The Developer shall construct a boat slip for each townhome for a total of twenty (20)
boat slips or ten (10) piers, such construction to be in accordance with approved plans and
specifications provided by the City no later than December 31, 2003, said construction to be
completed on or before December 31, 2005.
Section 4. Waiver and Deferral of Fees Due to City; Reimbursement for
Redevelopment Project Costs.
(a) The City hereby agrees to waive any and all building permit fees required pursuant to
the Legal Requirements and defer payment of the following fees until issuance of the occupancy
permit for each townhome comprising a part of the Subdivision:
(i) water and sewer capital development fees;
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(ii) waive twenty-five percent (25%) of the Line of Credit requirement per City
Code; and,
(iii) required donations to the affected park department; school districts; library
district and fire protection districts.
(b) The City further agrees to reimburse the Developer for the cost of each boat slip in the
amount of $1,000.00, said sum being due and owing to the Developer upon issuance of a building
permit from each townhome for a total of ten (10) piers or twenty (20) boat slips or $20,000.
Request for reimbursement for such cost shall follow the same procedure hereinafter set forth and
required for Redevelopment Project Costs and be included in the definition of Redevelopment
Project Costs.
(c) The City agrees to reimburse the Developer for the Road project costs.
Section 5. Developer Payments.
In consideration for the development by the Developer of the Subdivision a provided in this
Agreement, so long as no event described in Section 19 of this Agreement shall have occurred and be
continuing, the City shall reimburse the Developer for (i) the Redevelopment Project Costs incurred
by the Developer in respect of the Subdivision as set forth in Exhibit B (the "Redevelopment Project
Costs "); subject to the limitations of this Agreement.
Section 6. Procedures for and Application of Reimbursement to the Developer.
(a) The Developer shall advance all funds and all costs necessary to: (i) assemble the
Subject Property and develop the Subdivision; and, (ii) undertake other matters eligible for
reimbursement pursuant to this Agreement in connection with the foregoing.
(b) To establish a right of reimbursement for a specific Redevelopment Project Costs
under this Agreement, the Developer shall submit to the City a written statement in the form attached
to this Agreement as Exhibit C (a "Request for Reimbursement") setting forth the amount of
reimbursement requested and the specific Redevelopment Project Costs for which reimbursement is
sought. Each Request for Reimbursement shall be accompanied by such bills, contracts, invoices,
lien waivers or other evidence as the City shall reasonably require to evidence the right of the
Developer to reimbursement under this Agreement. The City shall have thirty (30) days after receipt
of any Request for Reimbursement from the Developer to approve or disapprove of such Request
and, if disapproved, to provide the Developer in writing and in detail an explanation as to why it is
not prepared to pay such reimbursement. The only reasons for disapproval of any expenditure for
which reimbursement is sought shall be that such expenditure is not an eligible Redevelopment
Project Cost, that it is not contained on Exhibit B, or that it was not incurred and completed by the
Developer in accordance with all applicable Subdivision Code requirements and the provisions of
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this Agreement, including without limitation all plans and specifications for the improvements
submitted to and pre -approved by the City. The parties acknowledge that the determination of
Redevelopment Project Costs and qualification for reimbursement under this Agreement are subject
to the TIF Act, all amendments to the TIF Act both before and after the date of this Agreement, and
administrative rules and judicial interpretations rendered during the term of this Agreement. The
City has no obligation to the Developer to attempt to modify said rules or decisions but will
cooperate with the Developer in obtaining approval of Redevelopment Project Costs.
(c) The City shall pay the Developer per the amount requested on the Request for
Reimbursement within sixty (60) days of approval.
Section 7. Term.
Unless earlier terminated pursuant to Section 21, the term of this Agreement shall commence
on the date of execution and end December 31, 2025 (the "Termination Date").
Section 8. Verification of Tax Increment.
The Developer shall use its best efforts to cooperate with the City in obtaining copies of all
real estate tax bills payable in 2003, and paid in each subsequent year during the term of this
Agreement, for the lots in the Subdivision.
Section 9. No Liability of City to Others for Developer's Expenses.
The City shall have no obligations to pay costs of the Subdivision or to make any payments to
any person other than the Developer, nor shall the City be obligated to pay any contractor,
subcontractor, mechanic, or material man providing services or materials to the Developer for the
development of the Subdivision.
Section 10. Time, Force Majeure.
Time is of the essence of this Agreement, provided, however, a party shall not be deemed in
material breach of this Agreement with respect to any obligations of this Agreement on such party' s
part to be performed if such party fails to timely perform the same and such failure is due in whole or
in part to any strike, lock -out, labor trouble (whether legal or illegal), civil disorder, inability to
procure materials, wet soil conditions, failure or interruptions of power, restrictive governmental
laws and regulations, condemnations, riots, insurrections, war, fuel shortages, accidents, casualties,
floods, earthquakes, fires, acts of God, epidemics, quarantine restrictions, freight embargoes, acts
caused directly or indirectly by the other party (or the other party' s agents, employees or invitees) or
similar causes beyond the reasonable control of such party ("Force Majeure "). If one of the
foregoing events shall occur or either party shall claim that such an event shall have occurred, the
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party to whom such claim is made shall investigate same and consult with the party making such
claim regarding the same and the party to whom such claim is made shall grant any extension for the
performance of the unsatisfied obligation equal to the period of the delay, which period shall
commence to run from the time of the commencement of the Force Maj eure; provided that the failure
of performance was reasonably caused by such Force Majeure.
Section 11. Assignment.
This Agreement may not be assigned by the Developer without the prior written consent of
the City, which consent shall not be unreasonably withheld other than an assignment to an entity
having the same shareholders or members as Developer.
Section 12. Developer Indemnification.
The Developer shall indemnify and hold harmless the City, its agents, officers and employees
against all injuries, deaths, losses, damages, claims, suits, liabilities, judgments, costs and expenses
(including any liabilities, judgments, costs and expenses and reasonable attorneys fees) which may
arise directly or indirectly from the failure of the Developer or any contractor, subcontractor or agent
or employee thereof (so long as such contractor, subcontractor or agent or employee thereof is hired
by the Developer) to timely pay any contractor, subcontractor, laborer or material man; from any
default or breach of the terms of this Agreement by the Developer; or from any negligence or
reckless or willful misconduct of the Developer or any contractor, subcontractor or agent or
employee thereof (so long as such contractor, subcontractor or agent or employee is hired by the
Developer). The Developer shall, at its own cost and expense, appear, defend and pay all charges of
attorneys, costs and other expenses arising there from or incurred in connection therewith. If any
judgment shall be rendered against the City, its agents, officers, officials or employees in any such
action, the Developer shall, at its own expense, satisfy and discharge the same. This paragraph shall
not apply, and the Developer shall have no obligation whatsoever, with respect to any acts of
negligence or reckless or willful misconduct on the part of the City or any of its officers, agents,
employees or contractors.
Section 13. No Recourse.
No recourse under or upon any obligation, covenant or provision of this Agreement, or for
any claim based thereon or otherwise in respect thereof shall be had against the City, its officers,
agents and employees, in any amount or in excess of any specific sum agreed by the City to be paid
to the Developer or anyone of them, hereunder, subject to the terms and conditions herein; and no
liability, right or claim at law or in equity shall attach to or shall be incurred by the City, its officers,
agents, and employees in excess of such amounts; and all and any such rights or claims against the
City, its officers, agents and employees are hereby expressly waived and released as a condition of
and as consideration for the execution of this Agreement by the City.
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Section 14. Waiver.
Any party to this Agreement may elect to waive any remedy it may enjoy hereunder, provided
that no such waiver shall be deemed to exist unless the party waiving such right or remedy does so in
writing. No such waiver shall obligate such party to waive any right or remedy hereunder, or shall be
deemed to constitute a waiver of other rights and remedies provided said party pursuant to this
Agreement.
Section 15. Severability.
If any section, subsection, term or provision of this Agreement or the application thereof to
any party or circumstance shall, to any extent, be invalid or unenforceable, the remainder of said
section, subsection, term or provision of this Agreement or the application of same to parties or
circumstances other than those to which it is held invalid or unenforceable, shall not be affected
thereby.
Section 16. Notices.
All notices, demands, requests, consents, approvals or other instruments required or
permitted by this Agreement shall be in writing and shall be executed by the party or an officer, agent
or attorney of the party, and shall be deemed to have been effective as of the date of actual delivery,
if delivered personally, or as of the third (3rd) day from and including the date of posting, if mailed by
registered or certified mail, return receipt requested, with postage prepaid, addressed as follows:
To the Developer: Curt Langille
Lanco Development Company
7501 Burning Tree Drive
McHenry, IL 60050
To the City: City Administrator
City of McHenry
333 South Green Street
McHenry, Illinois 60050-5494
With a copy to: Kathleen Field Orr
Kathleen Field Orr & Associates
One North LaSalle Street, 45`h Floor
Chicago, Illinois 60602
Section 17 - Successors in Interest.
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This Agreement shall be binding upon and inure to the benefit of the parties to this
Agreement and their respective successors and assigns.
Section 18. No Joint Venture, Agency or Partnership Created, No Recourse.
Neither anything in this Agreement nor any acts of the parties to this Agreement shall be
construed by the parties or any third person to create the relationship of a partnership, agency, or
joint venture between or among such parties.
Section 19. No Discrimination - Construction.
The Developer for itself and its successors and assigns agrees that in the construction of the
improvements on the Subject Property provided for in this Agreement the Developer shall not
discriminate against any employee or applicant for employment because of race, color, religion, sex
or national origin. The Developer shall take affirmative action to require that applicants are
employed and that employees are treated during employment, without regard to_their race, creed,
color, religion, sex or national origin. Such action shall include, but not be limited to, the following:
employment upgrading, demotion or transfer; recruitment or recruitment advertising and solicitations
or advertisements for employees; layoff or termination; rates ofpay or other forms ofcompensation;
and selection for training, including apprenticeship. The Developer agrees to post in conspicuous
places, available to employees and applicants for employment, notices, which may be provided by
the City, setting forth the provisions of this nondiscrimination clause.
Section: 20. Remedies - Liability.
(a) If, in the City' s judgment, the Developer is in material default of this Agreement, the
City shall provide the Developer with a written statement indicating in adequate detail any failure on
the Developer' s part to fulfill its obligations under this Agreement. Except as required to protect
against further damages, the City may not exercise any remedies against the Developer in connection
with such failure until twenty (20) days after giving such notice. If such default cannot be cured
within such twenty (20) day period, such twenty (20) day period shall be extended for such time as is
reasonably necessary for the curing of the same, so long as the Developer diligently proceeds with
such cure; if such default is cured within such extended period, the default shall not be deemed to
constitute a breach of this Agreement. A default not cured as provided above shall constitute a
breach of this Agreement. Any failure or delay by the City in asserting any of its rights or remedies
as to any default or alleged default or breach shall not operate as a waiver of any such default or
breach of any rights or remedies it may have as a result of such default or breach.
(b) If the Developer materially fails to fulfill its obligations under this Agreement after
notice is given by the City and any cure periods described in paragraph (a) above have expired, or if
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the Developer is in default under any agreement for the assembly of land for the Subdivision, or if all
or a portion of any such agreement is terminated, the City may elect to terminate this Agreement or
exercise any right or remedy it may have at law or in equity, including the right to specifically
enforce the terms and conditions of this Agreement. If any voluntary or involuntary petition or
similar pleading under any section or sections of any bankruptcy or insolvency act shall be filed by or
against the Developer, or any voluntary or involuntary proceeding in any court or tribunal shall be
instituted to declare the Developer insolvent or unable to pay the Developer's debts, or the
Developer makes as assignment for the benefit of its creditors, or a trustee or receiver is appointed
for the Developer or for the major part of the Developer' s property, the City may elect, to the extent
such election is permitted by law and is not unenforceable under applicable federal bankruptcy laws,
but is nor required, with or without notice of such election and with or without entry or other action
by the City, to forthwith terminate this Agreement. To effect the City' s termination of this
Agreement under this Section 20(b), the City' s sole obligation shall be to record, in the office ofthe
McHenry County Recorder, a Certificate of Default, executed by the President of the City or such
other person as shall be designated by the City, stating that this Agreement is terminated pursuant to
the provisions of this Section 20(b), in which event this Agreement by virtue of the recording of such
certificate, shall ipso facto automatically become null and void and of no furtherlorce and effect.
(c) If, in the Developer' s judgment, the City is in material default of this Agreement, the
Developer shall provide the City with a written statement indicating in adequate detail any failure on
the City' s part to fulfill its obligations under this Agreement. The Developer may not exercise any
remedies against the City in connection with such failure until twenty (20) days after giving such
notice. If such default cannot be cured within such twenty (20) day period, such thirty (30) day
period shall be extended for such time as is reasonably necessary for the curing of the same, so long
as the City diligently proceeds with such cure; if such default is cured within such extended period,
the default shall not be deemed to constitute a breach of this Agreement. A default not cured as
provided above shall constitute a breach of this Agreement. Any failure or delay by the Developer in
asserting any of its rights or remedies as to any default or any alleged default or breach shall not
operate as a waiver of any such default or breach of shall not operate as a waiver of any such default
or breach of any rights or remedies it may have as a result of such default or breach.
(d) In addition to any other rights or remedies, a party may institute legal action against
the other party to cure, correct or remedy any default, or to obtain any other remedy consistent with
the purpose of this Agreement, either at law or in equity, including, but not limited to the equitable
remedy of an action for specific performance; provided, however, no recourse under or upon any
obligation contained herein or for any claim based thereon shall be had against the City, its officers,
agents, attorneys, representatives or employees in any amount or in excess of any specific sum
agreed to be paid by the City hereunder, and no liability, right or claim at law or in equity shall be
attached to or incurred by the City, its officers, agents, attorneys, representatives or employees in any
amount in excess of any specific sums agreed by the City to be paid hereunder and any such claim is
hereby expressly waived and released as a condition of and as consideration for the execution of this
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Agreement by the City. Notwithstanding the foregoing, in the event either party shall institute legal
action against the other party because of a breach of any agreement or obligation contained in this
Agreement, the prevailing party shall be entitled to recover all cots and expenses, including
reasonable attorneys' fees, incurred in connection with such action.
(e) The rights and remedies of the parties are cumulative and the exercise by a party of
one or more of such rights or remedies shall not preclude the exercise by it, at the same time or
different times, of any other rights or remedies for the same default or for any other default by the
other party.
Section 21. Amendment.
This. Agreement, and any exhibits attached to this Agreement, may be amended only in a
writing signed by all the parties with the adoption of any ordinance or resolution of the City
approving said amendment, as provided by law, and by execution of said amendment by the parties
or their successors in interest. Except as otherwise expressly provided herein, this Agreement
supersedes all prior agreements, negotiations and discussions relative to the subject matter hereof.
Section 22. Counterparts.
This Agreement maybe executed in two or more counterparts, each of which shall be deemed
an original but all of which together shall constitute one and the same instrument.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by
their duly authorized officers on the above date at McHenry, Illinois.
City of McHenry, an Illinois municipal corporation
By.
Mayor
Attest:
C' C1 c
Lan c evelopme Company, an ois corporation
By:
Its President
Attest:
S e c r
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Exhibit A
Legal Description of the SUBJECT PROPERTY
PARCELI:
THAT PApT OF THE NORTHEAST QUARTER OF SECTION 35, TOWNSHIP 45 NORTH, RANGE 8, EAST OF
THE TMD PRINCIPAL MERIDIAN, DESCRIBED AS FOLLOWS: BEGINNING AT THE NORTHEAST
CORNER OF LOT 5 IN BLOCK 3 IN VENICE PARK ADDITION TO McBENRY UNIT NO. 1, A SUBDIVISION
OF PART OF THE SOUTHEAST FRACTIONAL QUARTER OF SECTION 26 AND PART OF TTTE
NORTHEAST FRACTIONAL QUARTER OF SECTION 35, ALL IN TOWNSHIP 45 NORTH, RANGE 8, EAST
OF THE THIRD PRINCIPAL MERIDIAN, ACCORDING TO THE PLAT THEREOF, RECORDED FEBRUARY
25,1941 AS DOCUMENT NO. 152920, IN BOOK 7 OF PLATS, PAGE 68; THENCE SOUTH 76 DEGREES 33
MINUTES 00 SECONDS EAST ALONG THE SOUTHERLY LINE OF PRIVATE LANE NO. 1, AS SHOWN ON
THE PLAT OF VENICE PARK ADDITION TO McHENRY UNIT NO. 1, AFORESAID, 134.54 FEET TO AN
-ANGLE POINT IN SAID SOUIumLY LINE; THENCE SOUTHWESTERLY ALONG A STRAIGHT LINE
(BEING ALSO THE NORTHWESTERLY LINE OF LAND CONVEYED TOT HE CITY OF McHENRY BY
WARRANTY DEED RECORDED DULY 18,1935 AS DOCUMENT NO. 116253) TO A POINT ON THE
NORTHERLY LINE OF WAUKEGAN ROAD,19.80 FEET SOUTHEASTERLY OF THE SOUTHEAST CORNER
OF SAID LOT 5; THENCE NORTHWESTERLY ALONG SAID NORTHERLY LINE OF WAUIMGAN ROAD,
19.80 FEET TO THE SOUTHEAST CORNER OF SAID LOT 5; T14ENCE NORTHEASTERLY ALONG THE
EASTERLY LINE OF SAID LOT 5 TO THE PLACE OF BEGINNING, IN McHENRY COUNTY, ILLINOIS.
PARCEL2:
THAT PART OF LOTS 9 TO 14, INCLUSIVE, AND LOT 15 (EXCEPT THE EASTERLY 60.00 FEET OF SAID
LOT 15) AS MEASURED AT RIGHT ANGLES TO THE EASTERLY LINE OF SAID LOT 15, IN BLOCK 2 AND
LOTS 4 AND 5 IN BLOCK 3 IN VENICE PARK ADDITION TO McHENRY, UNIT NO. •I AFORESAID, LYING
EASTERLY OF A LINE DRAWN AT RIGHT ANGLES TO THE SOUTHERLY LINE OF SAID LOT 4 IN BLOCK
3, AFORESAID, FROM A POINT ON SAID SOUTHERLY LINE, 10.0 FEET, AS MEASURED ALONG SAID
SOUTHERLY LINE, WESTERLY OF THE SOUTHEAST CORNER OF LOT 4 IN BLOCK 3 AFORESAID, IN
McHENRY COUNTY, ILLINOIS.
PARCEL3:
ALL THAT PART OF PRIVATE LANE NO. I AS SHOWN ON THE PLAT OF VENICE PARK ADDITION TO
McHENRY, UNIT NO. 1, A SUBDIVISION` OF PART OF THE SOUTHEAST FRACTIONAL QUARTER OF
SECTION 26AND PART OF THE NORTHEAST FRACTIONAL QUARTER OF SECTION 35, ALL IN
TOWNSHIP 45 NORTH, RANGE 8, EAST OF THE THIRD PRINCIPAL MERIDIAN, ACCORDING TO THE
PLAT THEREOF RECORDED FEBRUARY 25,1941, AS DOCUMENT NUMBER 152920, IN BOOK 7 OF
PLATS, PAGE 68, LYING EASTERLY OF A LINE DRAWN AT RIGHT ANGLES. TO THE SOUTHERLY LINE
OF LOT 4 IN BLOCK 3, AFORESAID, FROM A POINT ON SAID SOUTHERLY LINE, 10.0 FEET, AS
MEASURED ALONG SAID SOUTHERLY LINE, WESTERLY OF THE SOUTHEAST CORNER OF LOT 4 IN
BLOCK 3, AFORESAID, AND LYING NORTHWESTERLY OF THE NORTHWESTERLY LINE OF LAND
CONVEYED TO THE CITY OF MCHENRY BY WARRANTY DEED RECORDED DULY 18,1935 AS
DOCUMENT NO. 116253, IN MCHENRY COUNTY, ILLINOIS.
PARCEL4:
THE EASTERLY 60.00 FEET OF LOT 15 IN BLOCK 2 IN VENICE PARK ADDITION TO MCHENRY, UNIT
NO. 1, ACCORDING TO THE PLAT THEREOF RECORDED FEBRUARY 25,1941 AS DOCUMENT NO.
152920, IN MCHENRY COUNTY, ILLINOIS. .
12
Exhibit B
Redevelopment Project Costs
135/1/20038TL
Costsfor the Road Project..........................................................................................$ .00
(per plans and specifications of the City Engineer)
Constructionof boat slip..................................................................................................$20,000.00
($1, 000.00 each)
Exhibit C
Form of Request for Reimbursement
REQUEST FOR REIMBURSEMENT
City Administrator
City of McHenry
333 South Green Street
McHenry, Illinois 60050-5494
Re: Redevelopment Agreement, dated , 200_ (the "Agreement'), by and between
the City of McHenry, an Illinois municipal corporation and Lanco Development Company, an
Illinois corporation (collectively the "Developer')
Dear Sir:
You are requested to disburse funds from the Special Tax Allocation Fund pursuant to Section 4(b) or Section
4(c) of the Redevelopment Agreement described above in the amount(s), to the person(s) and for the purpose(s) set forth
in this Request for Reimbursement. The terms used in this Request for Reimbursement shall have.the meanings given to
those terms in the Redevelopment Agreement.
Request for Reimbursement No.:
Payment due to:
Amount to be Disbursed:
The amount requested to be disbursed pursuant to this Request for Reimbursement will be used to
reimburse the Developers for those Redevelopment Project Costs of the Subdivision detailed in
Schedule 1 attached to this Request for Reimbursement.
The undersigned certifies that:
(i) the amounts included in 3 above were made or incurred in connection with the construction
of the Subdivision and were made or incurred in accordance with the construction contracts,
plans and specifications heretofore in effect;
(ii) the amounts paid or to be paid, as set forth in this Request for Reimbursement, represents a
part of the funds due and payable for Redevelopment Project Costs;
(iii) the expenditures for which amounts are requisitioned represent proper Redevelopment
Project Costs identified in the Redevelopment Project Costs Exhibit B to the Agreement,
have not been included in any previous Request for Reimbursement, have been properly
recorded on the Developers' books and are set forth on the attached Schedule 1, with paid
invoices attached for all sums for which reimbursement is requested;
(iv) the moneys requisitioned are not greater than those necessary to meet obligations due and
payable or to reimburse the Developers for its funds actually advanced for Redevelopment
Project Costs;
(v) the amount of Redevelopment Project Costs to be reimbursed in accordance with this
Request for Reimbursement, together with all amounts reimbursed to the Developers
pursuant to the Agreement (excluding there from interest on Notes) is not in excess of
(vi) the Developers are not in default under the Redevelopment Agreement and nothing has
occurred to the knowledge of the Developers that would prevent the performance of its
obligations under the Redevelopment Agreement.
Date:
Date:
6. Attached to this Request for Reimbursement is Schedule 1, together with copies of invoices or bills of
sale and Mechanic' s Lien Waivers covering all items for which reimbursement is being requested, and
a copy of the Redevelopment Project Cost Schedule on which it has been noted all Redevelopment
Project Costs heretofore reimbursed to the Developers.
Lanco Development Company
By:
President
APPROVED BY:
City of McHenry, an Illinois Municipal Corporation