R2003-112 AUTHORIZING AMENDMENT TO AGREEMENT

Home Browse Search

, ` , Economic & Urban Development Department Memorandum # 03-70 TO: Honorable or Paul Osborne and City Council Members FROM: Steve G City Mana.ger A.J. Krie ,Assistant City Manager SUBJECT: US 51 &Mound Development A ent Amendment RECOMMENDATION: City staff recommends approval of the attached amended development agreement between the City of Decatur and the Blackstone Crroup for the development of the non-Target portion of the US 51 and Mound Road (Mound Center) site. The amendment calls for Blackstone Group to also demolish the Sunnyside building. BACKGROUND: As Council will recall, this past April the City entered into an agreement with the Blackstone Crroup to provide real estate, construction, and construction management services for the development of the non-Target portion of the Mound/51 site. • Services Provided by the Blackstone Group: In addition to the services described in the original agreement, the Blackstone Group will now also be responsible for demolishing the Sunnyside School building;as well as any necessary asbestos abatement. The demolition of the building will be done according to the specifications as prepazed by the City and Target Corp. during production of the CPR book. All other services will be performed as described in the original agreernent. • Blackstone Group Compensation: As per the original agreement the Blackstone Group will be compensated for the physical development portion of this project on a cost- plus basis. The only change will be an increase in the not to exceed amount from $1.2 million to $1.5 million to account for the demolition of the Sunnyside building. POTENTIAL OBJECTION: City staff is not aware of any opposition to the attached resolution. INPUT FROM OTHER SOURCES: The original agreement and proposed amendments are attached. STAFF REFERENCE: If Council members have questions they may contact A.J. Krieger, 424-2727, aikrieger(c�decaturnet.org .