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HomeMy WebLinkAbout23-68 Resolution No. 23-68 RESOLUTION AUTHORIZING EXECUTION OF A REDEVELOPMENT AGREEMENT WITH JUDSON UNIVERSITY—A BAPTIST INSTITUTION FOR THE REDEVELOPMENT OF 26-28 N. GROVE AVENUE, ELGIN, ILLINOIS BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that David J. Kaptain, Mayor, and Kimberly A. Dewis, City Clerk, be and are hereby authorized and directed to execute a Redevelopment Agreement on behalf of the City of Elgin with Judson University — A Baptist Institution, for the redevelopment of 26-28 N. Grove Avenue, Elgin, Illinois, a copy of which is attached hereto and made a part hereof by reference. s/David J. Kaptain David J. Kaptain, Mayor Presented: April 12, 2023 Adopted: April 12,2023 Vote: Yeas: 8 Nays: 0 Attest: s/Kimberly Dewis Kimberly Dewis, City Clerk REDEVELOPMENT AGREEMENT THIS REDEVELOPMENT AGREEMENT (this "AQreemenY') made and entered into this 12 day of_April _, 2023 by and between the CITY OF ELGIN, an Illinois municipal corporation (the "City"), and JUDSON UNIVERSITY — A BAPTIST INSTITUTION, an Illinois not-for-profit corporation(the"Developer'). The City and Developer may be referred to collectively herein as the"parties"and individually as a"party." WHEREAS,the City Council of the City of Elgin has adopted Ordinance Nos. S6-99, S 1- 02, S2-02, S3-02 and S4-02 proposing, approving and creating the Elgin Central Area Tax Increment Financing Redevelopment Plan and Project(the "ECA TIF District")pursuant to the Tax Increment Allocation Redevelopment Act at 65 ILCS 5/11-74.4-1, et seq.; and WHEREAS,the ECA TIF District was established on April 10,2002 and will continue for twenty-three(23)years thereafter;and WHEREAS, the Developer is the owner certain property commonly known as 26-28 N. Grove Avenue,Elgin,Illinois, such property being legally described in Exhibit A attached hereto (the"Subject Property'); and WHEREAS,the Subject Property is located within the ECA TIF District; and WHEREAS, the Subject Property is currently improved with a two-story commercial building which is substantially vacant and under-performing, functionally obsolete,deteriorated, and below certain minimum code standards for occupancy; and WHEREAS,the Subject Property is within the Downtown Elgin Commercial District,and the Downtown Elgin Commercial District is listed in the federal National Register of Historic Places and is an integral part of downtown Elgin; WHEREAS, preservation, redevelopment and improvement of the Subject Property will be a boon to the area deemed of high importance for the vigor and financial strength of the City's downtown business district; and WHEREAS,the Developer has submitted to the City a proposal for redevelopment of the Subject Property into a mixed-use building with thirteen(13) dormitory apartments for students attending Judson University,comprised of five (5) studio apartments and eight (8) one-bedroom apartments,with approximately 2,300 square feet of ground-floor space for architecture studio and classes, in accordance with floor plans, amenities and exterior improvements as set forth in Developer's Redevelopment Plan previously submitted to the City,which has been approved by the City as part of the Subject Planned Development Ordinance for the Subject Property (as defined in Section 2 below).The aforesaid plans(and any other City-required plans and details)as submitted to and approved by the City as part of the Subject Planned Development Ordinance for the Subject Property are hereafter collectively referred to as the"Approved Project Plans". For the purpose of clarification and without limiting the foregoing, the redevelopment of the Subject Property will also include the complete restoration and renovation of both the exterior and interior of the building on the Subject Property,including substantial upgrades to the building mechanical systems and components. The exterior of the building will be cleaned, tuck-pointed and repaired as needed. Building amenities will include a resident meeting/lounge space and storage lockers; and WHEREAS,the City Council has determined,and hereby finds,that Developer's proposed redevelopment of the Subject Property as herein described will further the goals and objectives of the Elgin Central Area Tax Increment Financing Redevelopment Plan and Project and assist the City in its objective to create a more economically viable and sustainable downtown business -2 - district through strategic development that supports 24/7 activity and connects commercial corridors with residential properties, all of which are hereby declared by the City to be a valid "public purpose"of the City; and WHEREAS, the City Council has determined, and hereby finds, that the Developer's proposed redevelopment of the Subject Property as described herein furthers the goals and objectives of the City of Elgin Comprehensive Plan in its objective to pursue adaptive reuse projects in existing downtown structures and to promote the redevelopment of obsolete and vacant structures into housing throughout the community but with an emphasis on Elgin's historic core; and WHEREAS, Developer's proposal for the redevelopment of the Subject Property will result in the complete renovation and restoration and adaptive re-use of an important downtown building; and WHEREAS, the proposed redevelopment of the Subject Property would not occur in the absence of limited development assistance from the City as herein provided; and WHEREAS, in order to facilitate the proposed redevelopment of the Subject Property as herein described which will further the goals and objectives of the Elgin Central Area Tax Increment Financing Redevelopment Plan and Project, the City has agreed to provide certain development assistance as hereinafter described; and WHEREAS, the City of Elgin is a home rule unit authorized to exercise any power and perform any function pertaining to its government and affairs; and WHEREAS, this Redevelopment Agreement, resulting in furthering and achieving the goals and objectives of the Elgin Central Area Tax Increment Financing Redevelopment Plan and -3 - Project and the City of Elgin Comprehensive Plan, and resulting in the benefits to the City as hereinabove stated,are matters within the government and affairs of the City; and WHEREAS,the redevelopment of the Subject Property will create job opportunities within the City;and WHEREAS, the redevelopment of the Subject Property will serve to further the development of adjacent areas of the City; and WHEREAS, the redevelopment of the Subject Property will strengthen the commercial sector of the downtown and the City; and WHEREAS,the redevelopment of the Subject Property will enhance the value of adjacent properties and in turn enhance the tax base of the City;and WHEREAS, the Developer meets high standards of credit worthiness and financial strengths; and WHEREAS,this Agreement is made in the best interest of the City. NOW, THEREFORE, for and in consideration of the mutual undertakings as set forth herein,and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged,the parties hereto agree as follows: 1. Recitals. The foregoing recitals are incorporated into this Agreement in their entirety. 2. Development Application and Planned Development Ordinance. A. Developer has previously filed with the City a formal development application and petition for the rezoning of the Subject Property (such development application and petition for rezoning of the Subject Property being hereinafter referred to as the"Development Application"). All costs and expenses relating to the Development Application payable to the City shall be -4- waived by the City. Such Development Application requested the rezoning of the Subject Property to provide for a conditional use for a Planned Development in the CC 1 Center City zoning district to provide for the redevelopment of the Subject Property in general conformance with the Approved Project Plans, modified and amended only(i) as agreed to by the Developer and the City during the development review and the zoning process and(ii) as may be required to comply with ordinances, building codes or other requirements of law (collectively the "Project Modifications"). B. On December 15, 2021, the City Council of the City of Elgin approved the Developer's development application and adopted Ordinance No. G67-21 granting a conditional use for a planned development in the CC I Center City District for the Subject Property(the"Subject Planned Development Ordinance for the Subject Property"). The Developer's proposal as set forth in the Approved Project Plans approved in the Subject Planned Development Ordinance for the Subject Property, as possibly modified by any Project Modifications, is hereinafter referred to as "Subject Redevelopment Plan" and the redevelopment of the Subject Property in conformance with the Subject Planned Development Ordinance for the Subject Property and Subject Redevelopment Plan is hereinafter referred to as the "Subject Redevelopment". For the purpose of clarification, and except as the Approved Project Plans may be amended by Project Modifications as provided for in this paragraph, the Subject Redevelopment on the Subject Property by the Developer shall conform to those Approved Project Plans as approved by the corporate authorities of the City in connection with the Subject Planned Development Ordinance for the Subject Property. In the event of any conflict between the terms and provisions of this Agreement and the terms and provisions of the Subject Planned Development Ordinance for the -5 - Subject Property,the terms and provisions of the Subject Planned Development Ordinance for the Subject Property shall control. 3. Construction of Subiect Redevelopment. A. It is agreed and understood that the redevelopment assistance being provided by the City to the Developer pursuant to this Agreement is being provided for the sole purpose of assisting the Developer with the Subject Redevelopment of the Subject Property as described in this Agreement. The redevelopment of the Subject Property shall conform in all respects with the Subject Planned Development Ordinance for the Subject Property and as directed by the City to the extent necessary to comply with other applicable ordinances, building codes or other requirements of law. The Developer shall also cause all work performed in connection with the Subject Redevelopment of the Subject Property to be performed in a workmanlike manner. Except as otherwise provided in this Agreement, all costs and expenses relating to the Subject Redevelopment of the Subject Property including, without limitation, the construction of the Subject Redevelopment on the Subject Property,shall be the responsibility of and shall be paid for by the Developer. B. Developer shall, within ninety (90) days of the date of the entry into this Agreement, submit to the City and to all other governmental bodies or agencies thereof having jurisdiction over the Subject Redevelopment (if any) applications for all permits required to perform the Subject Redevelopment in accordance with the Subject Redevelopment Plans approved by the City(collectively the"Required Permits"). C. Developer shall commence construction of the Subject Redevelopment on the Subject Property within one hundred eighty (180) days of the issuance to the Developer by the City and by any other governmental body or agency having jurisdiction over the Subject -6- Redevelopment, of all Required Permits (the "Construction Commencement Deadline"), subject, however, to reasonable extension by reason of Force Majeure (as hereafter defined). Developer shall be deemed to have commenced construction of the Subject Redevelopment on the Subject Property upon Developer obtaining a building permit from the City for the Subject Redevelopment and the commencement of initial construction activities associated with the Subject Redevelopment. In the event the Developer does not commence construction by the first to arrive of(i) the Construction Commencement Deadline(as same may be extended as provided herein) or (ii) the first business day that is two hundred seventy (270) days after the date of the entry into this Agreement, subject, however, to reasonable extension by reason of Force Majeure, then Developer shall provide the City notice of non-commencement, whereupon, absent any written agreement between the parties to extend the Construction Commencement Deadline,either party shall have the right, by written notice to the other, to terminate this Agreement, whereupon this Agreement shall be cancelled and null and void with no further liability of either party hereunder. D. Upon Developer commencing construction of the Subject Redevelopment on the Subject Property,the Developer shall continue with the construction of the Subject Redevelopment in as expeditious a manner as is reasonably practicable. The Developer shall substantially complete the Subject Redevelopment on the Subject Property on or before the last day of the twelfth(12`'')month following the commencement of construction of the Subject Redevelopment (the "Completion Date"); provided, however, that such Completion Date shall be extended by one day for each day for which construction is delayed or stopped due to accident,strikes,shortage of materials, extreme weather, acts of God, pandemic (including the current Covid-19 virus and any variant thereof),government shutdown,public health crisis,undue delay by the City in issuing -7- any required permits for which application has been properly made by the Developer,or lawsuits or other administrative actions brought by any third party that has the effect of hindering or delaying Developer's performance hereunder(such occurrences being individually or collectively hereinafter referred to as"Force Mai eure"). In the event Developer requires any further extension of any of the Completion Dates for the Subject Redevelopment of the Subject Property other than by reason of Force Majeure,any such requests shall be submitted to the City in writing specifying the reasons for such an extension and the amount of additional time being requested. Any agreement by the City to further extend the Completion Date for the Subject Redevelopment of the Subject Property shall be at the sole discretion of the City Council of the City. E. The Subject Redevelopment of the Subject Property shall be deemed "substantially completed"when the Developer has completed all of the improvements proposed to be constructed and installed in connection with the Subject Redevelopment, subject to only customary "punchlist" work to be completed, and has obtained a temporary or final occupancy permit for the building on the Subject Property and temporary or final occupancy permits for all of the apartments within the building. Notwithstanding the foregoing, to the extent requested by the Developer and consistent with the City's ordinances the City will issue temporary certificates of occupancy for apartments on specific floors even though all redevelopment work on other floors has not been completed, it being the intention of the parties to allow for the possible incremental occupancy of the apartments as they are completed on a per-floor basis so long as life and safety codes and ordinances are adhered to. 4. Development Assistance from City. A. In consideration of the Developer completing the Subject Redevelopment of the Subject Property set forth in this Agreement,the City agrees to provide the development assistance -8- to the Developer set forth in this Section 4. In the event of Developer's completion of the Subject Redevelopment of the Subject Property the City agrees to provide the Developer monetary development assistance of two hundred and eighty seven thousand five hundred and eight and 00/100 Dollars ($287,508.00) (the "Subject Monetary Development Assistance") plus a contingency fund in the amount of one hundred and ninety six thousand four hundred and ninety two and 00/100 Dollars($196,492.00)for unforeseen conditions, extras, labor increases,material pricing increases,Approved Project Plan revisions,delays and such other additional development costs of Developer(the "Contingency Fund"). The Subject Monetary Development Assistance and Contingency Fund shall be paid by the City to the Developer to reimburse the Developer for Subject Redevelopment Costs (as hereinafter defined) incurred by the Developer in connection with the Subject Redevelopment of Subject Property. Redevelopment Project Costs shall be defined as provided in 65 ILCS 5/11-74.4-3(q), which are incurred by Developer in connection with the Subject Redevelopment of the Subject Property and which are eligible under law for reimbursement from the City's ECA TIF District (such costs as defined in 65 ILCS 5/11-74.4- 3(q), which are incurred by the Developer in connection with Subject Redevelopment of the Subject Property and which are eligible under law for reimbursement from the City's ECA TIF District are hereinafter referred to as"Redevelopment Project Costs"). B. It is expressly agreed and understood that, regardless of the actual amount of the Redevelopment Project Costs incurred by the Developer, the City's Subject Monetary Development Assistance to Developer shall nonetheless be limited to an amount not to exceed four hundred and eighty four thousand and 00/100 Dollars($484,000.00),inclusive of the Contingency Fund. As a condition of the right to receive payment from the City of the Subject Monetary Development Assistance and Contingency Fund, Developer shall be required to document to the -9 - City's reasonable satisfaction evidence of sufficient funds and financing to complete the Subject Redevelopment and document that it has incurred Redevelopment Project Costs in connection with the Subject Redevelopment of the Subject Property in the amount of the reimbursements being requested. The Subject Monetary Development Assistance and Contingency Fund shall be utilized by the Developer solely and only for the payment of Redevelopment Project Costs for the Subject Redevelopment of the Subject Property. C. The City shall pay the Subject Monetary Development Assistance to the Developer in increments at each Payment Eligibility Date(as defined in the following table)as follows: Payment Description of Payment Eligibility Amount of Subject Monetary No. Development Assistance to be aid to Developer 1 Developer has provided to the City Fifty percent (50%) of the evidence that fifty percent (50%) of the Subject Monetary Development Subject Redevelopment has been Assistance, to be deposited into completed as certified to the City by the the Developer's construction Developer's project architect and by escrow at the title insurance such third-party architect as the City company being used by may, in its discretion, elect to retain to Developer for making oversee the completion of the work. construction payouts for the work being performed on the Subject Redevelopment of the Subject Property. 2 When the work required to complete the The unpaid balance of the Subject Redevelopment is substantially Subject Monetary Development completed, as defined in Section 3(E) Assistance; provided that the hereof, as certified to the City by the City may hold back an amount Developer's project architect and by estimated to be the reasonable such third-party architect as the City cost to complete all punchlist may, in its discretion, elect to retain to items,if any. oversee the completion of the work. D. Developer may also request the City to disburse portions of the Contingency Fund for eligible expenses in conjunction with the two Payment Eligibility Dates for the Subject Monetary Development Assistance in the proceeding subsection C, provided - 10- Developer has provided to the City evidence that the Contingency Fund work was reasonably necessary and has been completed as certified to the City by the Developer's project architect and by such third-party architect as the City may, in its discretion, elect to retain to oversee the completion of the work("Eligible Contingency Funds"). Such payments of Eligible Contingency Funds shall be in installments coinciding with the two installments of the Subject Monetary Development Assistance in the proceeding subsection C and shall be in the amount of fifty percent (50%) of the then Eligible Contingency Funds for the first installment and in the amount of the unpaid balance of the Eligible Contingency Funds for the final installment. G. In addition to the Subject Monetary Development Assistance to be provided to the Developer as defined in the proceeding subsections of this section 4,the City also agrees to grant to the Developer during the construction of the Redevelopment on the Subject Property by the Developer temporary construction easements on City owned property adjacent to the Subject Property reasonably necessary for the construction of the Redevelopment on the Subject Property. Such temporary construction easements shall be in a form approved by the City's Corporation Counsel. H. The parties understand and agree that the Subject Monetary Development Assistance,Contingency Fund and the other assistance being provided by the City to the Developer as set forth in this Section 4 are expressly subject to and contingent upon the Developer completing and maintaining the Subject Redevelopment of the Subject Property as set forth in this Agreement. In the event the Developer fails to complete the Subject Redevelopment of the Subject Property as required in this Agreement, or fails to maintain and operate the Subject Redevelopment on the Subject Property as described and required in this Agreement, the parties understand and agree that the City will not be providing the Subject Monetary Development Assistance,the Contingency - 11 - Fund and any other assistance to the Developer pursuant to this Agreement or otherwise. Upon the occurrence of an Event of Default on the part of the Developer(as defined in Section 9)then, in addition to other remedies available to the City at law,equity or otherwise,the City shall recover any Subject Monetary Development Assistance previously paid to the Developer and may terminate any further and other assistance being provided to the Developer. 5. Market Rate Dormitory Building. The Subject Redevelopment of the Subject Property shall be a 100%Market Rate Dormitory Building. For the purposes of this Agreement, the term "100% Market Rate Dormitory Building" shall mean that the dormitory units shall be rented only to students enrolled at Judson University and there shall be no restrictions with respect to income or rent for the rental of dormitory units whether by restriction to deed, title to the property or otherwise, and no project based governmental or quasi-governmental subsidy which results in restrictions with respect to income or rent for the rental of dormitory units within the Subject Property shall be in place with respect to the Subject Redevelopment of the Subject Property during the Redevelopment Term. It is understood that the provisions of this Subsection 5 are not intended to prevent a student enrolled at Judson University from using a grant or scholarship to reduce, defray, or perhaps eliminate the cost of the dormitory unit that would otherwise be remitted to Judson University. Developer agrees that the Subject Redevelopment on the Subject Property shall be maintained and remain as a 100% Market Rate Dormitory Building for a period of not less than the Redevelopment Term. 6. Redevelopment to Remain on Subject Property. The Developer agrees that except as otherwise agreed to by the City, the Subject Redevelopment on the Subject Property - 12 - shall be maintained and remain on the Subject Property for a period of not less than twenty-five (25)years following the date of this Agreement(the"Redevelopment Term"). 7. Assessment of Subiect Property. The City and the Developer agree that the Subject Redevelopment of the Subject Property should be assessed for general real estate taxes in the manner provided by Illinois Compiled Statutes as they may be amended from time to time, This provision shall not be deemed to prevent the Developer or its successors or permitted assigns from appealing or challenging assessments against the Subject Redevelopment on the Subject Property which Developer or its successors or permitted assigns consider to be contrary to law. Notwithstanding any other provisions of this Agreement to the contrary,in the event the Developer conveys the Subject Property to a for profit entity during the Redevelopment Term,then any such successor owner of the Subject Property during the Redevelopment Term shall not do any of the following: A. Request a full or partial exemption for general real estate taxes for any portion of the Subject Property or the improvements thereon; B. Request a partial or full abatement of general real estate taxes for any portion of the Subject Property or the improvements thereon; C. Request an assessment at a value not otherwise permitted by law. 8. Compliance with Laws. Notwithstanding any other provisions of this Agreement it is expressly agreed and understood by Developer and the City that in connection with the performance of this Agreement and the redevelopment of the Subject Property with the Subject Redevelopment,including without limitation, Developer's construction of dormitory units on the Subject Property, the Developer shall comply with all applicable federal,state,city and other requirements of law. The City agrees - 13 - to waive and not require the Developer to pay any building permit fees,impact fees,water tap and water meter fees,fire alarm and fire sprinkler permit fees,plan review fees,engineering fees and occupancy permit fees, collectively referred to as "Development Fees," which would otherwise be due and payable to the City in connection with the establishment of the Subject Project. Any and all permit fees, impact fees, recapture fees, or other fees that may be due and owing to any other governmental entity other than the City shall be paid by the Developer.Developer shall also at its expense secure all permits and licenses,pay all charges and fees and give all notices necessary and incident to the due and lawful prosecution of the work necessary to provide for the Subject Redevelopment of the Subject Property as described in this Agreement. 9. Release and Termination of Easement Agreement. In the event that the City hereinafter acquires all or a portion of the adjacent property commonly known as 24 E. Chicago Street, Elgin, Illinois(hereinafter the "24 E. Chicago Street Property"), and the City determines in its sole discretion that the 24 E. Chicago Street Property should be redeveloped, or in the event the Developer determines in its sole discretion that the Subject Property should be further redeveloped following the expiration of the Redevelopment Term,then upon the written request of either party to the other party,the parties agree to and shall release and terminate the easement agreement entitled"An Agreement Granting Certain Easement Rights"dated June 27,2003,and recorded on July 30,2003,as Document No.2003K132333,and re-recorded on October 8, 2003, as Document No. 2003KI85460 (collectively the "Subject Easement Agreement"). For the purposes of this section,the redevelopment of the 24 E.Chicago Street Property or the further redevelopment of the Subject Property shall include, but not be limited to,the demolition or redesign of the parking structure improvements on the 24 E.Chicago Street Property or on the Subject Property. Such release and termination of the easement agreement - 14- to be entered into between the City and Developer shall be executed by the parries and delivered to the other party within sixty(60)days of either parry's written request to the other party to release and terminate the Subject Easement Agreement and shall be in a form as set forth in Exhibit B attached hereto. The City shall thereafter record such release and termination of the Subject Easement Agreement.The provisions of this Section 9 constitute a covenant running with the land consisting of the Subject Property, binding on the parties hereto, the successors in title of Developer and all grantees, successors and assigns. The provisions of this section shall survive any termination,completion and/or expiration of this Agreement. 10. Default. The City and Developer agree that an"Event of Default"shall be deemed to have occurred with respect to either party if(a) such party materially breaches it obligations hereunder and (b) such breach remains uncured for more than thirty(30) days following written notice thereof to such breaching party by the other party;provided, however,that if the nature of the breach is such that it cannot reasonably be completely cured within thirty(30)days of the date of such notice,then so long as the notified party commences such cure within said thirty(30)days and thereafter diligently pursues the completion of such cure in good faith, then such the party shall not be deemed to have breached this Agreement and the other party shall not seek to enforce any remedies against said notified party. 11. Remedies. Upon the occurrence of an Event of Default with respect to either party (such party being hereafter referred to as the"Park,in Default"),the other party(in such context the "Aurieved Party") shall, except as otherwise provided in this section, be entitled to pursue any and all available remedies as specified herein or otherwise available at law, equity or otherwise. Notwithstanding the foregoing or anything else to the contrary in this Agreement,with the sole exception of an action to recover the Subject Development Monetary Assistance the City - 15 - has agreed to pay pursuant to the preceding Section 4 hereof,no action shall be commenced by the Developer against the City for monetary damages. The parties hereto further agree that any action by the Developer arising out of this Agreement must be filed within two(2)years of the date the alleged cause of action arose or the same shall be time barred. Venue for the resolution of any disputes or the enforcement of any rights pursuant to this Agreement shall be in the Circuit Court of Kane County,Illinois. The provisions of this section shall survive any termination,completion and/or expiration of this Agreement. 12. Time. Time is of the essence of this Agreement. 13. Notices. All notices herein required shall be in writing and shall be served on the parties at the following addresses: If to City: City of Elgin Attn: Richard Kozal,City Manager 150 Dexter Court Elgin,IL 60120 Email:kozal_r@cityofelgin.org With copy to: William A.Cogley,Corporation Counsel City of Elgin 150 Dexter Court Elgin,IL 60120 Email: cogley_w@cityofelgin.org If to Developer: Judson University—A Baptist Institution Attn: Gene C.Cnune,President Judson University 1151 N. State Street Elgin,IL 60123 Email: gene.cnune@judson.edu with a copy to: Benjamin Glunz Anguleris 68 S.Grove Avenue Elgin,11,60120 Email:bglunz@anguleris.com Any such notices may be sent by (a) certified mail, return receipt requested, in which case notice - 16- shall be deemed delivered on the date of deposit,postage prepaid in the U.S.mail or(b)a nationally recognized overnight courier, in which case notice shall be deemed delivered on the date of deposit with such courier or(c)by email to the parties at the email addresses,in which case notice shall be deemed delivered upon electronic transmission or (d) by personal delivery. The above addresses and email addresses may be changed by notice to the other party;provided that no notice of a change of address or email address shall be effective until actual receipt of such notice. Notice on behalf of any party may be given by such party or its counsel to the other party and/or its counsel. 14. Interpretation. This Agreement shall be construed,and the rights and obligations of the City and the Developer hereunder shall be determined in accordance with the laws of the State of Illinois without reference to its conflict of laws rules. 15. Relationship of the Parties. This Agreement shall not be deemed or construed to create an employment,joint venture,partnership or other agency relationship between the parties hereto. 16. Failure to Enforce Provisions. The failure by a party to enforce any provision of this Agreement against the other party shall not be deemed a waiver of the right to do so thereafter. 17. Amendments. This Agreement may be modified or amended only in writing signed by both parties hereto, or their permitted successors or assigns as the case may be. 18. Entire Agreement. This Agreement contains the entire agreement and understandings of the parties hereto with respect to the subject matter as set forth herein, all prior agreements and understandings having been merged herein and extinguished hereby. 19. Joint and Collective Work Product. This Agreement is and shall be deemed and construed to be a joint and collective work product of the City and the Developer, and, as such, this Agreement shall not be construed against the other party,as the otherwise purported drafter of - 17- same, by any court of competent jurisdiction in order to resolve any inconsistency, ambiguity, vagueness or conflict, if any,in the terms and provisions contained herein. 20. Assienment. This Agreement shall be binding on the parties hereto and their respective successors, successors in title, grantees and assigns and shall run with the land. A memorandum of this Agreement shall be recorded by the City against the title of the Subject Property. This Agreement and the obligations herein may not be assigned without the express written consent of each of the parties hereto,which consent may be withheld at the sole discretion of either of the parties hereto. 21. No ConflictinL Interests. In compliance with 50 ILCS 105/3.1, Developer shall provide the City with a written statement subscribed by an owner, authorized trustee, corporate official, or managing agent of the Developer,under oath, disclosing the identity of every person having an interest, real or personal, in the Developer and every equity owner entitled to receive more than seven and one/half percent(7.5%)of the total distributable income of the Developer. 22. Indemnification. To the fullest extent permitted by law, Developer agrees to and shall indemnify, defend and hold harmless, the City, its officials, officers, employees, attorneys, agents, boards and commissions from and against any and all claims, suits, judgments, costs, attorney's fees,damages or other relief,including but not limited to workers'compensation claims, in any way resulting from or arising out of or alleged to be resulting from or arising out of the negligent actions or omissions of the Developer in connection herewith, including negligent acts or omissions of Developer's employees, agents,contractors or subcontractors in the performance of the redevelopment work contemplated by this Agreement, or in any way resulting from or - 18- arising out of or alleged to be resulting from or arising out of any violation and/or breach of law by the Developer or its employees or agents. In the event of any action against the City, its officials,officers, employees, agents, attorneys, boards or commissions covered by the foregoing duty to indemnify,defend and hold harmless,such action shall be defended by legal counsel of the City's choosing. The provisions of this Section shall survive any termination,completion and/or expiration of this Agreement. 23. No Liability. No past, present or future elected or appointed official, officer, employee,attorney,agent or independent contractor of the City shall be charged personally or held contractually liable under any term or provision of this Agreement including, but not limited to, because of their negotiation, approval,execution or attempted execution of this Agreement. 24. Reports. Developer agrees to and shall provide to the City written reports on the status of the Subject Redevelopment of the Subject Property. Such written reports shall be provided to the City on a quarterly basis following the entry into this Agreement and shall continue for five(5)years after the Completion Date. 25. AcknowledQement. Developer,on behalf of itself and its successors,assigns,grantees and lessees of the Subject Property hereby acknowledges the proprietary, necessity and legality of all of the terms and provisions of this Agreement and does hereby further agree and does waive any and all rights to any and all legal or other challenges or defenses to any of the terms and provisions of this Agreement and hereby agrees and covenants on behalf of itself and its successors,assigns,grantees and lessees of the Subject Property not to sue the City or maintain any legal action or defenses against the City with respect to any challenges of the terms and provisions of this Agreement. The - 19- provisions of this paragraph shall survive any termination, completion and/or expiration of this Agreement. 26. Counterparts and Execution. This Agreement may be executed in counterparts, each of which shall be an original and all of which shall constitute one and same Agreement. This Agreement may be executed by electronic signature, which shall be considered as an original signature for all purposes and shall have the force and effect as an original signature. Without limitation, "electronic signature" shall include faxed versions of an original signature or electronically scanned and transmitted versions(e.g.,PDF)of an original signature. 27. This Agreement constitutes a covenant running with the land consisting of the Subject Property,binding on the parries hereto,the successors in title of Developer and all grantees, successors and assigns. The City shall record a memorandum of agreement placing of record the terms,provisions and obligations of this Agreement. IN WITNESS WHEREOF, the parties hereto have entered into and executed this Agreement on the date and year first written above. CITY OF ELGIN, a municipal corporation JUDSON UNIVERSITY — A BAPTIST INSTITUTION, an 11 ' is not-for-profit corporation By. By: David J.Wtain, kfayor Gene C.Crume,President Attest: City Clerk Legal Dept\AgeementUudson University-Redevelop Agr-26-28 N.Grove-Clean-3-2-23.docx -20- EXHIBIT A LEGAL DESCRIPTION OF SUBJECT PROPERTY PARCEL ONE: That part of Lot 3 in Block 20 of the original Town of Elgin of the East side of the Fox River described as follows: BEGINNING at the Southeast corner of said lot;thence Northerly along the Easterly line thereof 21 feet; thence Northwesterly to the point of intersection of a line drawn 29 feet Northerly of(measured at right angles)and parallel to the Southerly line of said Lot 3,with a line drawn 20 feet Westerly of(measured right angles)and parallel to the Easterly line of said Lot 3; thence on a curve to the left having a radius of 129.19 feet to a point in a line drawn 36 feet Northerly of(measured at right angles) and parallel to the Southerly line of said Lot 3, said point being 59.17 feet Westerly(as measured along said parallel line)from the Easterly line of said lot; thence continuing along said line measured 36 feet Northerly of and parallel to the Southerly line of Lot 3 aforesaid, 119.42 feet to a point of curve; thence Westerly 39.66 feet on a curve to the right having a radius of 408.22 feet to a point 94.07 feet Southerly of(measured at right angles) the Northerly line of Lot 2 in Block 20 aforesaid;thence Westerly along a line tangent to the last described curve 11.01 feet to a point in the East bank of Fox River; which point is 93.01 feet Southerly of the Northerly line of said Lot 2; thence Southerly along the East bank of Fox River to the South line of Lot 3; thence Easterly on said Southerly line to the point of beginning, in the City of Elgin,Kane County,Illinois. PARCEL TWO: The Northerly 16 feet of Lot 4(except the Easterly 50 feet)and the Easterly 50 feet of the Northerly 57.68 feet of Lot 4 in said Block 20 of the original Town of Elgin on the East side of the Fox River in the City of Elgin,Kane County,Illinois. PARCEL THREE: That part of Lot 4 in Block 20 of the original Town of Elgin, on the East side of Fox River, described as follows: COMMENCING at the intersection of a line 16 feet Southerly of,measured at right angles to the Northerly line of said Lot 4, with the Easterly line of said Lot 4; thence Southwesterly along said line 50 feet for a place of beginning; thence Southeasterly parallel with the Westerly line of North Grove Avenue 41 feet;thence Southwesterly parallel with the Northerly line of said Lot 4, 175 feet to the Easterly bank of Fox River;thence Northerly along said Easterly bank 41 feet to a line drawn parallel with and 16 feet Southerly of,measured at right angles to the Northerly line of said Lot 4; thence Northeasterly along said line 174.35 feet to the place of beginning,in the City of Elgin, Kane County,Illinois. Common Address: 26-28 North Grove Avenue,Elgin, IL 60120 PIN: 06-14-282-004 -21 - EXHIBIT B FORM OF RELEASE AND TERMINATION OF EASEMENT AGREEMENT This Release and Termination of Easement Agreement is made and entered into this day of _ , 20 , by and between the City of Elgin, an Illinois municipal corporation,[or its successor in interest]as the owner of the property commonly known as 24 East Chicago Street, Elgin, Illinois 60120, and more particularly described below (the "City"), and Judson University, a Baptist Institution, an Illinois not-for-profit corporation, [or its successor in interest] as the owner of the property commonly known as 28 North Grove Street, Elgin, Illinois 60120, and more particularly described below("Judson University"). WHEREAS, the City of Elgin [or its successor in interest] is the owner of the property commonly known as 24 East Chicago Street, Elgin, Illinois 60120 and described in Exhibit A in the attached hereto (the"24 East Chicago Street Property", also formally known as the Bank One Property); and WHEREAS, Judson University [or its successor in interest] is the owner of the property commonly known as 28 North Grove Street,Elgin,Illinois 60120 and legally described in Exhibit B in the attached hereto (the "28 North Grove Street Property", also formally known as the EFS Property); and WHEREAS, the 24 East Chicago Street Property and the 28 North Grove Street Property are adjacent properties; and WHEREAS, the predecessor owners of the 24 East Chicago Street Property and the 28 North Grove Street Property previously entered into an easement agreement granting certain easements dated June 27,2003, and recorded on July 30,2003, as Document No. 2003K132333, and re-recorded on October 8, 2003, as Document No. 2003KI85460 (collectively the "Subject Easement Agreement");and WHEREAS, the City and Judson University have agreed to release the access easements over one another's adjacent properties and to release and terminate the Subject Easement Agreement. NOW,THEREFORE,for and in consideration of the mutual undertakings set forth herein, and the mutual undertakings set forth in the Redevelopment Agreement between the City and Judson University regarding the 28 North Grove Street property dated 120 and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged,the parties hereto agree as follows: 1. That the City[or its successor in interest]as owner of the 24 East Chicago Street Property, and Judson University[or its successor in interest] as owner of the 28 North Grove Street Property,hereby agree and do release and terminate all rights to all access easements over the other party's property and hereby agree that the Subject Easement Agreement dated June 27, 2003, and recorded on July 30, 2003, as Document No. 2003K132333, and re- -22 - recorded on October 8, 2003, as Document No. 2003KI85460,be and is hereby mutually released and terminated in its entirety. 2. This Release and Termination Agreement shall be binding on the parties hereto and their respective successors and assigns with respect to the 24 East Chicago Street Property and the 28 North Grove Street Property. 3. This Release and Termination Agreement shall be recorded by the City of Elgin. IN WITNESS WHEREOF, the parties hereto have entered into and executed this Release and Termination Agreement as the date near first written above. CITY OF ELGIN, a municipal corporation By: Mayor Attest: City Clerk STATE OF ILLINOIS ) SS. COUNTY OF KANE ) I, the undersigned, a Notary Public in and for said County, in the State aforesaid, DO HEREBY CERTIFY that David Kaptain personally known to me to be the same person and the Mayor of the City of Elgin, and Kimberly Dewis _ personally known to me to be the same person and the City Clerk of the City of Elgin,whose names are subscribed to the foregoing instrument, appeared before me this day in person, and acknowledged that they signed, sealed and delivered the said instrument as their free and voluntary act, for the uses and purposes therein set forth. Given under my hand and official seal this 12th day of April _ ,20 23 Notary Public -23 - JUDSON UNIVERSITY—A BAPTIST INSTITUTION, an Illinois not-for-profit corporation By: a ax4.'-' Its President STATE OF ILLINOIS ) SS. COUNTY OF KANE ) I, the undersigned, a Notary Public in and for said County, in the State aforesaid, DO HEREBY CERTIFY that 01CyIC. �-,_Cj r,, __ personally known to me to be the same person and the President of Judson University, whose name is subscribed to the foregoing instrument, appeared before me this day in person, and acknowledged that he signed, sealed and delivered the said instrument as his free and voluntary act, for the uses and purposes therein set forth. Given under my hand and official seal this a g day of Ko r c h ,20�L,. Notary Public OFFICIAL SEAL TENA M ROBOTHAM NOTARY PUBLIC,STATE OF ILUNOIS My Commission Expires 5/17/24 -24 - EXHIBIT A BANK ONE PROPERTY SITUATED IN THE CITY OF ELGIN,KANE COUNTY,ILLINOIS,DESCRIBED AS THE FOLLOWING: PARCEL 1:THAT PART OF LOTS 4,5 AND 6 IN BLOCK 20 OF THE ORIGINAL TOWN OF ELGIN ON THE EAST SIDE OF FOX RIVER AND PART OF VACATED CHICAGO STREET LYING SOUTHERLY OF AND ADJOINING SAID BLOCK 20, DESCRIBED AS FOLLOWS:BEGINNING AT THE POINT OF INTERSECTION OF THE SOUTHWESTERLY LINE OF NORTH GROVE VENUE WITH THE NORTHERLY LINE OF EAST CHICAGO STREET; THE ORTHWESTERLY ALONG SAID SOUTHWESTERLY LINE 157.32 FEET; CE SOUTHERLY ALONG SAID SOUTHWESTERLY LINE 157. T; THENCE SOUTHWESTERLY AT RIGHT ANGLES TO S S Y LINE OF NORTH GROVE AVENUE,44.99 FEET;THENCE RLY PARALLEL WITH THE SOUTHWESTERLY LINE OF NORTH 3.56 FEET, THENCE SOLTIRWESTERLY ALONG A L F AN ANGLE OF 88 DEGREES 40 MINUTES 00 SECONDS TQk A PROLONGATION OF THE LAST DESCRIBED COURS , firNCE NORTHWESTERLY PARALLEL WITH THE SOUTHWES 'NORTH GROVE AVENUE, 82.68 FEET TO A POINT WHI UTKEASTERLY, MEASURED ALONG A PROLONGATION OF CRIBED COURSE, FROM THE NORTHWESTERLY LINE OF SAID BLOCK 20; THENCE SOUTHWESTERLY PARAId EL ORTHWESTERLY LINE OF LOT 4, 179.1 FEET TO THE EA ANK OF FOX RIVER; THENCE SOUTHEASTERLY ALONG +' Y BANK OF THE PRESENT f NORTHERLY L NE OF EAST G 1 ADO STREET; THENCE NORTHEASTERLY i! ALONG SAID NORTH LW 76.05 FEET TO AN ANGLE IN SAID NORTHERLY L I TERLY ALONG SAID NORTHERLY DNE U FEET TO A PO TERLY OF THE POINT OF BEGINNING AS r MEASURED ALAS �NORTHERLY LINE OF SAID EAST CHICAGO STREET; T1 �AT RIGHT ANGLES TO SAID NORTHERLY LINE, BEING A �Y LINE OF LOT 6 OF THE ASSESSOR'S SUBDIVISION OF�LOT 6 IN BLOCK 20, 54 FEET TO THE NORTHWEST CORNER THEREOF': -_61ENCE NORTHEASTERLY ALONG THE NORTHERLY LINE OF SAID LOT 6 OF ASSESSOR'S SUBDIVISION TO THE NORTHEAST CORNER THEREOF;THENCE SOUTHHERLY ALONG THE EASTERLY LINE OF SAID LOT 6 OF ASSESSOR'S SUBDIVISION TO SAID NORTHERLY LINE OF EAST CHICAGO STREET; THENCE EASTERLY ALONG SAID NORTHERLY LINE, 71.3 FEET TO THE POINT OF BEGINNING, EXCEPTING THEREFROM ANY PART OF LOT 4 THEREOF LYING ABOVE A HORIZONTAL PLANE 732.0 FEET ABOVE ELGIN CITY DATUM AS CONVEYED TO THE CITY OF ELGIN, ILlJNOIS BY INSTRUMENT RECORDED DECEMBER 4, 1964 AS DOCUMENT NO.1036269,IN KANE COUNTY,ILLINOIS. POOR ORIGINAL 8"order Not Responsible For Reproductions Q SO/zO'd 9T014202T£T6 01 ES99 at,? K9 M9.3140 *te 2td 60:9T MW a Nlf I -25 - PARCEL 2: THAT PART OF LOTS 5 AND 6 IN BLOCK 20 OF THE ORIGINAL TOWN OF ELGIN, ON THE EAST SIDE OF FOX RIVER, DESCRIBED AS FOLLOWS: BEGINNING AT A POINT ON THE WESTERLY LINE OF NORTH GROVE AVENUE,198.32 FEET NORTHWESTERLY OF THE INTERSECTION OF SAID WESTERLY LINE WITH THE NORTH LIME OF CHICAGO STREET; THENCE SOUTHEASTERLY ALONG THE WESTERLY LINE OF SAID NORTH GROVE AVENUE,41 FEET;THENCE SOUTHWESTERLY AT RIGHT ANGLES TO SAID SOUTHWESTERLY LINE OF NORTH GROVE AVENUE, 44.99 FEET; THENCE NORTHWESTERLY PARALLEL WITH THE SOUTHWESTERLY LINE OF NORTH GROVE AVENUE,3.56 FEET; THENCE SOUTHWESTERLY ALONG A LINE FORMING AN ANGLE OF 88 DEGREES 40 MINUTES 00 SECONDS TO THE LEFT WITH A PROLONGATION OF THE LAST DESCRIBED COURSF- 5 FEET; THENCE NORTHWESTERLY PARALLEL WITH tilt 50UTHwESTERLY LINE OF NORTH GROVE AVENUE TO A IRE DRAWN ItPENDICULAR TO THE WESTERLY LINE OF NORTH GROVE AVENL �TU POINT OF BEGINNING; THENCE NORTHEASTERLY G' ENDICULAR LINE,40 FEET TO THE POINT OF BEGINNING, tr ,ILLINOIS. PARCEL 3: THAT PART OF LOTS 4 AND 5 OF THE ORIGINAL TOWN OF ELGIN ON THE EAST S F R, DESCRIBED AS FOLLOWS: BEGINNING AT A PO FyF TERLY LINE OF RIVER STREET, 198.32 FEET NORTHWEST T INTERSECTION OF SAID STREET LINE WITH THE NO 0'\CHIICAG0 STREET; THENCE NORTHWESTERLY ALONG THIS OF SAID RIVER STREET 41 FEET; THENCE SOUIHWESTERL ANGLES TO SAID STREET, 50 FEET;THENCE SOUTHEASTERL L WITH THE WESTERLY LINE OF SAID RNER STREET 41 FEE ; NORTHEASTERLY 50 FEET TO THE POINT OF BEGINNING,IN t ,ILLINOIS. PARCEL 4: LOT 6 OF R'S SUBDIVISION OF LOT 6 IN BLOCK 20 OF THE ORIGFI GIN ON THE EAST SIDE OF FOX RTIF,R, IN KANE COUNTY, ) POGfi af71G!.gAL Reoorder Not Re6poraibis For Reproductiorm S0i£0'd 9T0T+at'zT£T5 01 E999 SVZ K9 Mb-I 3N0 *#J8 �U 60:ST £00z Z 4U -26- EXHIBIT B EFS PROPERTY PARCEL ONE: THAT PART OF LOT 3 TN BLOCK ZO OF THE ORIGINAL TOWN OF ELGIN ON THE.BAST SIDE OF THE FOX P,IV=R DESCRIBED A.Q FOLLMS: 33GINNIUG ^T THE 3CUTHEXST CORNER ?F 5AIA LOT; TnUCZ YOP.TIi:;P.LY ALONG 7'4v EASTERLY LINE THEPLUF 11 i.-LET; rKENCE NORTHWESTERLY TO THE POINT OF ZIRMSECTION OF A LINE DRAWN 29 FEET NORTHERLY OF (MEASURED AT RIGHT ANGLES) AND PARALLEL TO THE SOUTHERLY LINE OF SAID LOT 3, WrTAR A LINE DRAD T 20 PEET WESTERLY OF (MEASURED AT RICidT ANGLES) AND P TO.TfIF EASTERLY LINE OF SAID LOT 3_ THENCE ON A \TO THE LEFT HAVING A RADIUS OF 129.19 FEET TO A POINT IN T,1Na DRAWN 3C FEET NORTHERLY OF (MEASURED AT RIGHT ANGLES) ARALLF- TO THE SOUTHERLY LINE OF SAID LOT 3., SAID POI 59.17 FEET WESTERLY (AS MEASURED ALONG SAID 4 L THE EASTERLY LINE OF BAID LOT; THENCE CO, SAID LINE )'16A.SURED 36"FEET NORTHERLY OF AND P SOUTHEMLY LINE Or LOT 3 AFORESAID, 129.42 FEET OF CURVE; TIMCE WESTERLY 39.66 FEET ON A rGET RAVING A RADIUS OP 400.22 FEET TO A POI. 94 0 2r 8OUTHBRLY OF %6ASMW AT RIGHT ANGLES) LUIS OF LOT 2 IN BLOCK 20 AFORESAID; TWEICT WESTSRL TANGENT TO THE LAST DESCRIBED CURVE 12.01 FEET THE EAST SA X OF PDX RIVER, VNICB POINT IS 93. 5 Y OF Tim NORTHERLY LINE 08 SAID LOT 2; TRENCH, 272E PAST HANK•OF FOX RIVER TO THE SOUTH LIM OF 3 BASTBRLY ON sA=D. SOUTHERLY LINE TO TH PO F IN TFLB,CITY QP ELGIN, KAM COUNTY, ILLINOIB. PARCEL-TWO. THE NORTH PZRI OF LOT 4 (EXCEPT THE EASTERLY 50 PSET) Y BO FE,6T OF THE NORTHERLY 57.68 FEST OF LOT D- 20 OF TBE ORIGINAL TOWN OF =3:N ON I= T/ TFIS FOIL RIVER IN THE CITY OF EI.QIN, BANS co==17, I PARCEL TF. s T OF LOT a IN ILO= 20 QF .TRE ORIGINAL TOWN OF I RUT 8I118 OF POLL RIVER, DSSCRSSSD AS FOLLOWS: AT TUB INTERSECTION OF A LINE 16 FEET SOUIURLY ORED AT RIGHT ANGLES TO TgR*woRT=mT LING OF SAID LOT 4, WS2L, EASTERLY LINE OF SAID LOST 4, THENCE SOUTEWESTBRLY ALONG RAID LZNB 50 FEET FOR A PLACE OF 23013 NING; THENCE SOtTTHWTBRLY PARALLEL WITH TE£ MSTMLY LINE OF NORTH. GRCV3 AVENUE 41 FEET; TSODR'S SOUTENUTERLY PARALLEL WITH TE8 NORTHERLY LINE OF SAlp LOT 4, 175 FEET TO TIM EASTERLY &UK OF FOX RIVER; THENCE NORTIOMY ALONG SAID EASTERLY SANK 41 17;ET TO A Ll= DUM PARALLn WITH AND 16 FIST SOUTHERLY OF, MEASURED AT RIGHT ANGLES TO TER NOR:CSSRLY LINE OF SAID LOT 4; THENM NORTH£AST"Z7 ALONG SAID LINE 174.35 FEET TO T98 PLACE OF r, HHGI wn*. TN TxE CITY OF BEGIN, IU►Dl8 LLINOIs. Member No. OPT 1670 10391356 slawtm OF ATTORNEY POOR ORIGINAL Recorder Not RWarrfbis SOibB'd 9Teli6&ZT£T6 OL ZS99 8bZ bI9 ForRaMducflam f ----�••� Pk n 3N0 >w aj 60:Si £00Z 2z qjr l -27-