R2014-135 AUTHORIZING REAL ESTATE CONTRACT

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Development Services Memorandum NO. 2014-30 DATE: November 12, 2014 TO: Honorable Mayor McElroy and City Council FROM: Ryan P. McCrady, City Manager Billy Tyus, Assistant City Manager for Development Services Suzy Stickle, Senior Planner Patrick Hoban, Economic Development Officer SUBJECT: Resolution Authorizing Real Estate Contract for Property Located in the 200-400 Blocks of East King Street and East Central Avenue in the Wabash Crossing Redevelopment Area SUMMARY RECOMMENDATION: It is recommended that the City Council approve the sale of land in the Wabash Crossing area to the Community Health Improvement Center for $650 to facilitate the construction of a new medical facility for the area. BACKGROUND: The Community Health Improvement Center(CHIC) has operated in the Decatur Community since 1972,providing outpatient health care primarily to low to moderate-income patients. Today, CHIC employs more than 80 people, treating more than 12,000 people each year, however, more than 30,000 people in the area could meet CHIC's patient criteria and actually receive services. The organization has been looking to expand and add more healthcare providers and has been looking to construct a new facility in the heart of the city that would be easily accessible and in close proximity to many of the patients that could utilize CHIC services. The city has been working with the organization to target a location, agreeing in principle to transfer city owned land in the Wabash Crossing area to house the new facility. The proposed development is in line with the City Council goal of redeveloping the community's neighborhoods and reusing vacant facilities or lots for redevelopment whenever possible. We believe that the land sale and resulting project would be good for the community and the neighborhood, allowing for the continued growth of a long- standing community health partner and leading to the development of land that—for years now—has stood vacant. The State of Illinois in October announced that CHIC would receive a$3 million construction grant to build the new facility. The subject site is roughly 4 acres in size and is located in the 300-500 Blocks of East King Street and East Central Avenue. If the land is purchased, CHIC would be required to utilize the premises for a not-for-profit Federally Qualified Health Center serving at