Record #: O2016-2210   
Type: Ordinance Status: Passed
Intro date: 3/16/2016 Current Controlling Legislative Body: Committee on Housing and Real Estate
Final action: 4/13/2016
Title: Amendment of purchase agreement with Metropolitan Water Reclamination District of Greater Chicago for property at W 31st St and S Sacramento Ave
Sponsors: Emanuel, Rahm
Topic: PROPERTY - Acquisition
Attachments: 1. O2016-2210.pdf

OFFICE  OF THE MAYOR

CITY OF CHICAGO

RAHM EMANUEL

MAYOR

March 16,2016

 

 

 

 

 

 

 

 

 

 

TO THE HONORABLE, THE CITY COUNCIL OF THE CITY OF CHICAGO

 

 

Ladies and Gentlemen:

 

At the request of the Commissioner of Fleet and Facility Management, 1 transmit herewith an ordinance amending a previously passed ordinance conferring purchasing authority at 31 South Sacramento.

 

Your favorable consideration of this ordinance will be appreciated.

Mayor

 

Very truly yours,

 

ORDINANCE

 

WHEREAS, the City of Chicago ("City") is a home rule unit of government by virtue of the provisions of the Constitution of the State of Illinois of 1970, and as such, may exercise any power and perform any function pertaining to its government and affairs; and

 

WHEREAS, since about 1914 the City has leased ("Lease") from the Metropolitan Water Reclamation District of Greater Chicago, a body politic and political organization existing under the laws of the State of Illinois ("MWRD"), approximately 4.35 acres (189,486 square feet) of land at 31st and Sacramento Avenue, Chicago, Illinois ("Property"). The Departments of Fleet and Facility Management, Transportation, Fire, Water Management, and OEMC currently utilize the Property for various City operations. The Property is legally described on Exhibit A attached hereto; and

 

WHEREAS, the Property is owned by the MWRD; and

 

WHEREAS, pursuant to an ordinance ("Original Ordinance") adopted by the City Council on January 21, 2015 and published at pages 101780 through 101784 in the Journal of Proceedings of the City Council of such date, attached hereto as Exhibit B and made a part hereof, the Commissioner of the City's Department of Fleet and Facility Management ("Fleet") was authorized, with the approval of the City's Corporation Counsel as to form and legality, to negotiate, execute, and deliver a purchase agreement ("Purchase Agreement") for the Property for the Purchase Price, subject to the terms and conditions of the Term Sheet, and such other supporting documents as may be necessary or appropriate to carry out and comply with the provisions of the Term Sheet to consummate the City's purchase of the Property and to accept a deed to the Property; and

WHEREAS, since the passage ofthe Original Ordinance the MWRD has requested that the Purchase Agreement include a provision that provides for the City's indemnification of the MWRD for claims arising and caused by the City's tenancy on the Property since 1914; and

 

WHEREAS, since the passage ofthe Original Ordinance the MWRD has requested that the City grant MWRD a ten (10) foot easement ("Easement), as depicted on the Alta Survey attached hereto as Exhibit C and made a part hereof, on the Property to be acquired by the City to allow MWRD access to the Collateral Channel ("Collateral Channel") directly west of the Property, subject to the Department of Transportation's continued access to the Collateral Channel to allow for all City vessels' day-to-day operations, including but not limited to, ingress and egress movement from the Collateral Channel, the Department of Transportation's continued access to and use of an adjacent overhead crane, and non-interference with day-to-day City operations; and

 

WHEREAS, MWRD shall be required to maintain the Easement at the sole cost and expense of MWRD; and

 

WHEREAS, the City and MWRD seek to amend the Original Ordinance to provides for the City's indemnification of the MWRD for claims arising and caused by the City's tenancy on the Property since 1914, and to allow for the City's acquisition of the Property subject to the Easement; now, therefore,

 

 

BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CHICAGO:

 

SECTION 1. The foregoing recitals are hereby adopted as the findings of the

City Council.

 

SECTION 2. The amendment to the Original Ordinance providing for the City's indemnification of the MWRD for claims arising and caused by the City's tenancy on the Property since 1914, and to allow for the City's acquisition of the Property subject to the Easement, is hereby approved.

 

SECTION 3. The Commissioner of the Department of Fleet and Facility Management ("Commissioner") or a designee of the Commissioner is each hereby authorized, with the approval of the City's Corporation Counsel as to form and legality, to negotiate, execute, and deliver a purchase agreement for the Property for the Purchase Price, subject to the terms and conditions of the Term Sheet, including the indemnification of the MWRD for claims arising and caused by the City's tenancy on the Property since 1914, and such other supporting documents, including the grant of the Easement, as may be necessary or appropriate to carry out and comply with the provisions of the Term Sheet, the Original Ordinance, and this ordinance amending the Original Ordinance, to consummate the City's purchase of the Property and to accept a deed to the Property.

 

SECTION 4. If any provision of this ordinance shall be held to be invalid or unenforceable for any reason, the invalidity or unenforceability of such provision shall not affect any of the other provisions of this ordinance.

SECTION 5. All ordinances, resolutions, motions, or orders in conflict with this ordinance are hereby repealed to the extent of such conflict.

 

SECTION 6.  This ordinance shall take effect immediately upon its passage and

approval.

 

EXHIBIT A LEGAL DESCRIPTION

(Subject to Final Title and Survey)

 

THAT PART OF LOT NINETEEN (19), OF THE SANI TARY DISTRICT TRUSTEE'S SUB-DIVISION OF RIGHT OF WAY FROM NORTH AND SOUTH CENTER LINE OF SECTION THIRTY (30), TOWNSHIP THIRTY-NINE (39) NORTH, RANGE FOURTEEN (14) EAST OF THE THIRD PRINCIPAL MERIDIAN TO THE WILL COUNTY LINE, LYING EAST OF THE COLLATERAL CHANNEL AND LYING NORTH OF A LINE DESCRIBED AS FOLLOWS: BEGINNING AT TA POINT IN THE WEST LINE OF THE WEST HALF (1/2) OF THE EAST HALF (1/2) OF THE NORTHWEST QUARTER, OF THE NORTHWEST QUARTER (1/4) OF SECTION THIRTY-SIX (36), TOWNSHIP THIRTY-NINE (39) NORTH, RANGE THIRTEEN (13) EAST OF THE THIRD PRINCIPAL MERIDIAN ONE HUNDRED SEVENTY-SEVEN AND NINETY-THREE HUNDREDTHS (177.93) FEET NORTH OF THE SOUTHWEST CORNER THEREOF THENCE NORTHEASTERLY TO A POINT IN THE EAST LINE OF SAID WEST HALF (1/2) OF THE EAST HALF OF THE NORTHWESTE QUARTER (1/4) OF THE NORTHWEST QUARTER (1/4) TWO HUNDRED FIFTY THREE AND NINETY-SIX HUNDREDTS (253.96) FEET NORTH OF THE SOUTHEAST CORNER OF SAID WEST HALF (1/2) OF THE EAST HALF OF THE NORTHWEST QUARTER (1/4) OF SAID NORTHWEST QUARTER (1/4), CONTIANING FOUR AND THIRTY-FIVE HUNDREDTHS (4.35) ACRES MORE OR LESS SITUATED IN THE COUNTY OF COOK, STATE OF ILLINOIS.

 

 

 

Property Index Numbers: 16-36-100-058-8001

16-36-100-058-8002 16-36-100-058-8003

 

Common Address:                     31st and Sacramento Avenue, Chicago, Illinois

 

EXHIBIT B

 

Copy of January 21, 2015 Original Ordinance

(Attached)

 

1/21/2015

101781

REPORTS OF COMMITTEES

 

 

 

This recommendation was concurred in by a unanimous vote of the members of the commillee present, with no dissenting votes.

 

Respectfully submitted,

 

(Signed)   RAY SUAREZ,

Chairman.

 

On motion of Alderman Suarez, the said proposed ordinance transmitted with the foregoing committee report was Passed by yeas and nays as follows:

Yeas - Aldermen Moreno, Fioretti, Dowell. Burns, Hairston, Sawyer, Holmes. Harris, Beale, Pope, Balcer, Cardenas, Quinn, Burke, Foulkes, Thomas, Lane, O'Shea, Cochran, Brookins, Munoz, Zalewski, Chandler, Soil's, Maldonado, Burnett, Ervin, Graham. Reboyras, Suarez, Waguespack, Well, Austin, Colon, Sposato, Mitts, Cullerton, Laurino, P. O'Connor, M. O'Connor, Reilly, Smith, Tunney, Arena, Cappleman, Pawar, Osterman, Moore, Silverstein - 49.

Nays — None.

Alderman Pope moved to reconsider the foregoing vote. The motion was lost, i he following is said ordinance as passed:

 

WHEREAS, The City of Chicago ("City") is a home rule unit of government by virtue of the provisions of the Constitution of the State of Illinois of 1970 and, as such, may exercise any power and perform any function pertaining to its government and affairs; and

WHEREAS, The City is currently leasing from the Metropolitan Water Reclamation Oistn'ct of Greater Chicago, a body politic and political organization existing under the laws of the Stale of lilinois ("MWRD"), approximately 4.35 acres (189,486 square -feet) of land at West 31s* Street and South Sacramento Avenue, Chicago, Illinois ("Property"). The Departments of Fleet and Facility Management, CDOT, Fire, Water and OEMC currently utilize the Property for various City operations. The Property is legally described on Exhibit A attached hereto; and

«

WHEREAS, The Property is owned by the MWRD; and

WHEREAS, The City has determined, declared, and found that it is useful, desirable and necessary for the City of Chicago to acquire the Property for public purpose; and

 

 

1/21/2015

101782

JOURNAL-CITY COUNCIL-CHICAGO

 

 

 

WHEREAS. Pursuant lo Section 2-51-050(d) ofthe Municipal Code, the Commissioner of the Department of Fleet and Facility Management is authorized to undertake negotiations for the purchase of (he Property, subject to the approval of fhe purchase price by the City Council, and

WHEREAS, The MWRD, retained Appraisal Associates, William J. Enright, an Illinois State certified general real estate appraiser, had the Property appraised (the "Appraisal"). The Amount of the Appraisal is One Million Two Hundred Fifty Thousand and no/100 Dollars ($1,250,000.00); and

WHEREAS, The Department of Fleet and Facility Management has negotiated a purchase price for the Property in the amount of One Million Two Hundred Fifty Thousand and no/100 Dollars ($1,250,000,00) ("Purchase Price") and further has negotiated the principal business terms applicable lo the City's purchase of the Property as set forth in the term sheet attached hereto as Exhibit 8 ("Term Sheet"); and

WHEREAS, The City, acting by and through the Department of Fleet and Facility Management, desires to purchase the Property from the MWRD for the Purchase Price and pursuant to the terms of the Term Sheet; now, therefore,

Be It Ordained by (he City Council of the City of Chicago:

SECTION 1. The foregoing recitals are hereby adopted as the findings ofthe City Council.

SECTION 2. The City's purchase of the Properly from the MWRD for the Purchase Price of One iviiiiion Two Hundred Fifty Thousand and no/100 Dollars ($1,250,000.00), is hereby approved, subject to the terms and conditions set forth in the Term Sheet.

SECTION 3. The Commissioner of the Department of Fleet and Facility Management ("Commissioner") or a designee of the Commissioner is each hereby authorized, with the approval of fhe City's Corporation Counsel as to form and legality, to negotiate, execute, and deliver a purchase agreement for the Property for the Purchase Price, subject lo the terms and conditions of the Term Sheet, and such other supporting, documents as may be necessary or appropriate to carry out and comply with the provisions ofthe Term Sheet to consummate the City's purchase of the Property and to accept a deed to the Property.

SECTION 4. If any provision of this ordinance shall be field lo be invalid or unenforceable for any reason, the invalidity or unenforceability of such provision shall not affect any of the other'provisions of. this ordinance.

SECTION 5. All ordinances, resolutions, motions, or orders in conflict with this ordinance are hereby repealed to the extent of such conflict.

SECTION 6. This ordinance shall take effect immediately upon its passage and approval.

 

Exhibits "A" and "B" referred lo in this ordinance read as follows:

 

101783

1/21/2015

REPORTS OF COMMITTEES

 

 

 

Exhibit 'A'.

Legal Description.

(Subject To Final Title And Survey)

 

 

That pari of Lot 19 ofthe Sanitary District Trustees' Subdivision ofthe right-of-way from north and south centerline of Section 30. Township 39 North. Range 14 East of the Third Principal Meridian to the Will County Line, lying east of the Collateral Channel and lying north of .a line described as follows:

beginning at a point in fhe west line of the west half of the east half of the northwest quarter, of the northwest quarter of Section 36, Township 39 North, Range 13 East ofthe Third Principal Meridian 177.93 feet north of the southwest corner thereof; thence northeasterly to a point in fhe east fine of said west half of the east half of the northwest quarter of the northwest quarter 253.96 feet north of the southeast corner of said west half of the east half of fhe northwest quarter of said northwest quarter, containing 4.35 acres, more or less, situated in the County of Cook, State of Illinois.

 

Common Address:

West 31st Street and South Sacramento Avenue Chicago, Illinois.

 

Property Index Numbers: 16-36-100-058-8001; 16-36-100-058-8002; and 16-36-100-058-8003.

 

 

Exhibit "B".

Term Sheet For The Purchase Of W. 31st St. AndS. Sacramento Ave., Chicago, Illinois.

 

Property Owner:

Metropolitan Water Reclamation District.

 

Purchaser:

City of Chicago, by and through its Department of Fleet and Facility Management.

 

 

1/21/2015

101784

JOURNAL-CITY COUNCIL-CHICAGO

 

 

 

Agreement:                     Purchase of Property shall be subject to a purchase agreement

negotiated between the City and MWRD. The City shall purchase the Property in its "as is" condition free and clear of all tenancies.

 

Purchase Price:                     One Million Two Hundred Fifty Thousand and no/100 Dollars

($1,250,000.00), plus closing costs and expenses, to be paid on the closing date by cash or certified check.

Closing Date:                     Closing to occur at a date mutually agreed to by the parties.

Purpose and Use

of Property:                     City is currently using the Property as a multi-departmental

operation complex with the Departments of Fleet and Facility Management, Fire, Water, CDOT and OEMC operating on site, the City anticipates that such use will continue.

 

Title Insurance:                     Not less than 10 days prior to the closing date, the MWRD shall

deliver to the City of Chicago, as purchaser, a commitment for title insurance, at the M WRD's expense, in the amount of the purchase price showing marketable title in the MWRD.

 

 

 

 

ACCEPTANCE OF BIDS FOR PURCHASE OF CITY-OWNED PROPERTIES AT VARIOUS LOCATIONS IN ACCORDANCE WITH ADJACENT NEIGHBORS LAND ACQUISITION PROGRAM.

 

The Committee on Housing and Real Estate submitted the following report:

 

CHICAGO, January 21. 2015.

 

To iho President and Members of the City Council:

Your Committee on Housing and Real Estate, to which were referred three ordinances by the Department of Planning and Development authorizing the sale of City-owned properties at various locations (i0lh, 16'h and 22nd Wards), having the same under advisement, begs leave to report and recommend that Your Honorable Body Pass the proposed ordinances transmitted herewith.

 

 

EXHIBIT C

 

ALTA SURVEY

(Attached)