HomeMy WebLinkAbout2006-05-08 06-179 ORDER]tem No. 06 179
Date: May 8, 2006
Item/Bubi ORDER Designating Paul and Liz Leonard Tentative Developers of
Former Trustees Building -107 Maine Ave. - Maine Business
Enterprise Park
Responsible Department: Community& Economic Development
Paul and Liz Leonard have requested the City grant them tentative developer status for development of a
proposed 10,000 square Foot daycare center in the former University of Maine System Trustee' Buildirsi at
107 Maine Avenue in the Maine Business Enterprise Park. This Order would grant Paul and Liz Leonard
exclusive status as developers of the site until June 26, 2006, and, until then, the Gty would deal exclusively
with Paul and Uz LennaN for development of me property. During this period, Paul and Uz Leonard and City
staff would have an opportunity m submit for the City Coundl's consideration a proposed Development
Agreement containing the terms and conditions under which the Leonards could purchase the property and
make property Improvements far Its use as a dayrare center and to provide Information sufficient in detail to
attire the general scope of the improvements proposed and convey to me City suffident information to
determine the level of investment and character of the work m be performed
Department Head
Manager's Commands:
This has been reviewed by the Business and Economic Development Committee, which recommends your
approval.
G
City Manager
Budget Approval:
Legal Approval:
Finance Director
City Solicitor
X Passage
_ First Reading Page—of—
Referral
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06 .179
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CITY OF BANGOR
(TRLE.) ORDER Designating Paul and Uz Leonard Tentative Developers of Fortner
Trustees Building —107 Maine Ave. — Maine Business Enterprise Park
WHEREAS, Uz and Paul Leonard have submitted a revised proposal to the City for the
purchase of the former Trustees Building at 107 Maine Avenue for development of
a daycare center facility; and
WHEREAS, the Leonards have requested tentathm developer status on the property to enable
Mem to proceed with arranging financing fon their proposed project; and
WHEREAS, the City has granted "tentative developer" status to potential clevelopers on
various City owned development sites in the past, thereby providing the developer
and City staff time to prepare a Development Agreement for the City Council's
consideration and during which time the City agrees to deal exclusively with the
designated tentative developer far the purpose for which tenmbrwe developer
slaws was granted;
NOW, THEREFORE, BE IT ORDERED BY ME CRY COUNCIL OF THE CRY OF BANGOR
THAT Uz and Paul Leonard are hereby designated the tentative developers of the City owned
former UM Trustees Building and lantl not to awned! 1.8 acres at 107 Maine Avenue, the enact
boundaries of which to be negotiated in the Development Agreement, and that such
designation is in effect until lune 26, 2006. W anti Paul Leonard shall have until that rime to
negotiate the terns and conditions of a Development Agreement with the City and to prepere
and submit in wdbng to fire City's Director of Community and Economic Development a
definitive proposal for development of the site and to arrage for legally binding financing
commitments to carry out their daycare faGAy, project as proposed. During the period of
designation the City agrees to deal exclusively with Uz and Paul Leonard for the purpose far
which tentative developer status was granted, and Qty Staff Is auMIXIRd to negotiate a
Development Agreement with to ant Paul Leenard for the Qty Council's consideration setting
ford Me proposed terms and conditions under which the proposed development would be
allowed te mow: forward. The Development Agreement, R approved by the City Council, would
ensure that the development would conform t0 building plans and uses approved by the
Business and Economic Development Committee, and that Uz and Paul Leonard demonstrate
that they Mere the financial capacity and ability to cart' out Me development proposed before
receiving the approvals needed from the City to proceed. The proposal submitted for the ORA
consideration shall be sufficient In detail W outline the scope and quality of development and
convey supdent information for the City to determine the level of invastment proposed and
character of the work to M performed. The proposal a to include a preliminary site plan
showing the foutpdnt of the building and site Impovements in relationship to the site and
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surrounding improvements; suitable chms-sections and elevations of the proposed building
improvements showing the relationship of III to surrounding grades and indicting the
exterior building materials proposed to be used to enable the City to determine the
compatibility of the proposed building improvements to the development site; and preliminary
floor plans showhg proposed general roam layouts and proposed use, including entrances and
wits and overall floor area for each Boor. The proposal should also provide separately such
financial information as may be requested to provide assurances to the City that the "tentative
developer has the ability and financial capacity to carry out the development proposed. The
City will treat any information provided relating to the tentative developer's personal or
business finandal assets confidentially te the extent Demanded! by State Statute.
BE R FUMM ORDERED THAT the Development Agreement proposed for City Council
consideration shall include the following terms and conditions:
I. Tie former Trustees Building and land be used to establish and operate a daycare
center as proposed by Lh and Paul Leonard in their proposal submlitend to the Ory on
March 22, 2006, at a cost of not less than $1,046,000, approximately, $900,000 of which
Will be for acquisition and real estate improvement costs.
2. The purchase price of the fanner Trustees Building and land not to exceed 1.8 acres
shall be $915,000.
3. The Leonards shall invest not less than $426,000 in building improvement approved by
the City Council Business and Economic Development Committee.
4. Conveyance of the propend to the l eonards shall be conditioned on approval of the City
Council Business and Economic Development Committee of all building and property
improvement plans and the Leonards providing evidence in a form satisfactory to the
City Solkiter or Assistant City Solicitor, and Director of Community and Economic
Development, of (a) legally binding financing commitments acceptable to the City and
equity investment a not less than $1,165,000, of which riot less than $89,000 shall be
equity, to carry out their proposed daycare anter project; (b) all approvals for War
proposed' project required by the City of Bangor Land Development Code; (c) any and
all licensing approvals required by the Sate of Maine for the operation of an accredited
daycare center; and (d) a binding contract or contracts for carrying out the real estate
improvements.
5. Not 1¢s than $467,000 in Improvements to the real estate shall commence no later than
July 1, 2006 and be completed no later than December 31, 2006.
6. Priority for dayare center clients shall be first to persors employed in the Otys Maine
Business Enterprise Park and BJA Commercial Industrial Party second to madams of the
City of Bangor or to others employed in Bangor, and third to all others.
1. City shall reserve any needed easements for public utilities and vehicular and pedestrian
access as determined by the City in its sale discretion.
8. Such other terms and conditions as the City Council Business and Economic
Development Committee, City Solicitor, or Director of Community and Economic
Development deem appropriate to protect the City's interests.
m CIW MUCIL
May 8, 2006
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