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HomeMy WebLinkAbout08-25-1982 Council Meeting Minutes 294 A Special meeting of the Canton City Council was held on August 25th, 1982 in Council Chambers. PURPOSE OF THE MEETING: TO CONSIDER A CERTAIN "LETTER OF INTENT" AND TO TAKE OFFICIAL ACTION. Victor and Barbara Mason are wanting to start a wood working shop. He owns acreage in Bernadotte. Mayor Edwards asked that they bring their business to the City of Canton and in the tax increment area. A resolution was presented with the attachment of Exhibit A which reads as follows: BAR-V-Enterprises, a partnership, makes this proposal to the City of Canton with the intent of locating new business within the Central Business District/Tax Increment Area: 1 . In consideration of the City's assistance as herein,.- set forth, BAR-V-Enterprises proposes: a. To locate a wood products workshop and retail store in the building commonly known as the "Hadsall " building, 65 South Main Street, Canton, Illinois, and agree to refurbish the building, inside and out, at an estimated expenditure of $20,000.00 to $40,000.00, with the bulk of such expenditure to be applied to refurbishing the roof and exterior of the building. In the event of the failure of the business, all improvemnets shall become the property of the City, and BAR-V-Enterprises, its successors and assigns shall have no claim against the City by reason of such improvemnets. b. The City will sell the Hadsall building to BAR-V-Enterprises pursuant to a contract for sale of the real property and improvements. Certain of the itiams to be covered by said contract are as follows: 1 . The purchase price is $1 .00. 2. The improvements and repairs to be made are to be set forth in detail . The outside improvements shall be completed by January 1 , 1983. The business is to be open by April 1 , 1983. 3. If BAR-V-Enterprises resells the real property and improvements within five (5) years from the date of closing, BAR-V-Enterprises will pay the City the now current fair market value of the property, which amount is to be set forth in the contract. The amount is to be evidenced in a note and mortgage. 4. BAR-V-Enterprises guarantees the payment of general real estate taxes. It agrees that it will not protest the taxes in a minimum amount to be set forth in the contract. 5. BAR-V-Enterprises agrees to comply with all re- levant codes of the City such as zoning, building, and health codes. 6. In the event that BAR-V-Enterprises changes its use of the building to one which is not in accord- ance with now current codes, or defaults in payment of the real estate property taxes, or is found to be in violation of City codes, or permits liens to attach to the premises which are not appropriately contested or paid, and said violations are not corrected within ninety (90) days, or the premises are left vacant for a period of ninety (90) days, the real estate and improvements shall revert to the City without any cost to the City. An escrow 295 CONTINUED August 25th, 1982 will be established in which a warranty deed to the City is held. This provision will apply for a period of five years. 7. If the BAR-V-Enterprises complies with the provisions of the contract for aperiod of five (5) years, the note and mortgage set forth inparagraph 3 will be forgiven. 8. No materialman' s mechanics or other laborers lien shall be attached to the premises. BAR-V-Enterprises agrees to pay all utilities on the premises during the term of said contract, saving the City whole and harmless therefrom. 9. Such otherprovisions are mutually acceptable to the parties. "Q BAR-V-ENTERPRISES, Q BY: Victor E. Mason BY: Barbara A. Mason Mayor Edwards commented about the business and how it will save the City for the cost of demolition of the building, and save in the cost of redoing the wall . Those two alone are a $40,000.00 savings, plus it puts the business back on the tax rolls, and the city will benefit by jobs. Mayor Edwards reported that he had called in DCCA, they in turned called in the SMA. Victor Mason gave a brief outline of his planned business, 90-95% of the merchandise will be retail . Jim Malmgren City Attorney stated that the city does not have the option to sell to the most favorable person in town without offering to sell to others, so a legal notice will be published twice for any counter proposal . Jim didn't feel there would be any problems with the now current downtown plan. The area is zoned B-3 business classification. RESOLUTION - APPROVING A "LETTER OF INTENT" MADE BY BAR-V-ENTERPRISES. Read in its entirety. Motion by Alderman Kovachevich, second by Alderman Larsen, the resolution be approved. Discussion. Alderman Sarff commented that this business would be great for this community and supported ilt whole heartly. Roll call . AYES: Aldermen Horr, Larsen, Carl , Grant, Sarff, Savill , Hammond, Kovachevich, Mayor Edwards. NAYS: None. Motion Carried. 9 ayes 0 nays 0 absent. Resolution being #959. ADJOURNMENT: Motion by Alderman Kovachevich, second by Alderman Hammond to adjourn. Voice vote, motion carried. Council adjourned at 7:30 P.M. 0,� TY CLERK APPROVED. MAYOR