HomeMy WebLinkAboutORDINANCES-1993-129-O-93{
11-04-93
129-0-93
• AN ORDINANCE
Adopting and Approving Tax Increment
Financing Redevelopment Plan and
Redevelopment Project
WHEREAS, the City of Evanston, Cook County, Illinois
desires to implement municipal real property tax increment
allocation redevelopment financing as authorized by the Real
Property Tax Increment Allocation Redevelopment Act (65 ILCS
5/11-74.4-1 et seq., of the Illinois Compiled Statutes,
hereinafter referred to as the "Act"), in connection with a
proposed redevelopment plan and redevelopment project, within the
boundaries of the said City of Evanston, as hereinafter
• described in this Ordinance; and
• WHEREAS, pursuant to Section 5/11-74.4-5 of the Act a
public hearing was held on December 13, 1993 at the Council
Chambers, Evanston Civic Center, Evanston; and
WHEREAS,. said public hearing dealt with a proposed
redevelopment plan, redevelopment project and a specified
redevelopment project area within an area generally bounded by
the following:
The southern boundary of the Washington National
Headquarters Facility on the south, the western
boundary of the north south alley adjacent to the
Washington National Insurance Facility on the West, the
northern limit of Church Street on the north and the
eastern limit of Chicago Avenue on the east. The
specific boundary of the proposed RPA is legally
0 described in Exhibit A.
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WHEREAS, due notice in respect to said hearing was 0
given pursuant to Section 5/11-74.4-5 and 5/11-74.4-6 of the Act, is
said notice having been given to the appropriate public taxing •
districts by certified mail on October 29, 1993; and by
publication on November 18, 1993 and November 25, 1993; and by
certified mail to all taxpayers of record in the proposed
redevelopment area on November 30, 1993; and
WHEREAS, the Mayor and City Council have reviewed the
information concerning the area presented at the public hearing
and have reviewed other studies and is generally informed of the
conditions of the area in the proposed Redevelopment Project
Area; and
WHEREAS, the Mayor and City Council have reviewed the
conditions pertaining to real property in the proposed is
Redevelopment Project Area to determine whether contiguous •
parcels of real property and improvements thereon in the proposed
Redevelopment Project Area would be substantially benefited by
the proposed Redevelopment Project improvements; and
WHEREAS, the Mayor and City Council have reviewed the
proposed Redevelopment Plan and Project and Comprehensive Plan
for development of the municipality as a whole to determine
whether the proposed Redevelopment Plan and Project conform to
the Comprehensive Plan of the City; and
WHEREAS, the Mayor and'City Council of the City of
Evanston now deem it appropriate to approve the proposed project
and plan to begin to initiate measures as rapidly as possible, is
129- 0-93
for the promotion and protection of the health, safety, morals
. and welfare of the residents of the City of Evanston.
• NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF
THE CITY OF EVANSTON, COOK COUNTY, ILLINOIS:
SECTION 1: FINDINGS: The City Council of the
City of Evanston hereby makes the following findings:
(a) The area constituting the proposed Redevelopment
Project Area in the City of Evanston, Illinois, is
described in "EXHIBIT All attached hereto and
incorporated herein by reference.
(b) There exist conditions which cause the area
proposed to be designated as a Redevelopment Project
Area to be classified as a blighted area as defined in
Section 11-74.4-3 of the Act.
(c) The proposed Redevelopment Area Project on the
whole has not been subject to a growth and development..:..
;through investment by private enterprise and would not
be.reasonably anticipated to be developed without the
• adoption of the Redevelopment Plan.
(d) The Redevelopment Plan and Redevelopment Project
• conform to the Comprehensive Plan for the development
'of the municipality as a whole.
(e) The parcels of real property in the proposed
Redevelopment Project Area are contiguous parcels of
real property and improvements thereon, which will be
substantially benefited by the proposed Redevelopment
Project improvement, are included in the Proposed
Redevelopment Project Area.
(f) The estimated date for final completion of the
Redevelopment Project is December, 1999.
(g) The obligations issued to finance Redevelopment
project costs may be issued in one or more series
bearing interest at such rate or rates as the corporate
authorities of the City shall determine by ordinance.
Such obligations shall bear such date or dates and
mature at such time or times not exceeding twenty (20)
years form their respective dates, and not more than
twenty-three (23) years from the date of adoption
• hereof, as the corporate authorities may designate.
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129-0-93
SECTION 2. APPROVAL OF PLAN AND PROJECT. The
Redevelopment Plan and Redevelopment Project which were the
subject matter of the hearing held on December 13, 1993, are
hereby adopted and approved. A copy of the Redevelopment Plan and
Redevelopment Project marked "EXHIBIT B" is attached hereto and
made a part hereof by reference thereto.
SECTION 3: All ordinances or parts of ordinances in
conflict herewith are hereby repealed.
SECTION 4: This ordinance shall be in full force and
effect from and after its passage, approval, and publication in
the manner provided by law.
Introduced ?�/
Adopted:
M
19 d-
.41
19 93r •
Approved: , /�./ ,1993 •
P ,C�
Mayor
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EXHIBIT A
• LEGAL DESCRIPTION
•
A parcel of land in the South 1/2 of Section IS, Township 41 North, Range 14 East of Third
Principal Meridian comprising Lot 1 and Lots 12 to 16, both inclusive in Block 19 in The
Village of Evanston in Section 13, Township 41 North, Range 13 East of Third Principai
Meridian and Sections 7,18 and 19, Township 41 North, Range 13 East of Third Principal
Meridian, the 20 feet Northerly and Southerly public alley lying Westerly of and adjoining
the Westerly line of said lots, Chicago Avenue lying Easterly of adjoining the Easterly line
said Lots and Church Street lying Northerly of the Northerly line, and the Northerly line
extend Westerly 20 feet and the Northerly line extended Southeasterly to the Easterly line
of said Lot 1 and more particularly described as follows: commencing at the point of
intersection of the North Gne of Church Street and the East line extended Northerly of
Chicago Avenue; thence Southwesterly along the said extended East line and the East
line of Chicago Avenue to its intersection with the extension Southeasterly of the
Southerly line of said Lot 12; thence Northwesterly along said extended line, the Southerly
line of said Lot 12 and the said Southerly line extended Northwesterly to the Westerly line
of aforesaid 20 feet Northerly and Southerly public alley; thence Northeasterly along said
Westerly line and said Westerly line extended Northerly of said 20 feet Northerly and
Southerly public alley to its intersection with the said north line of Church Street; thence
Southeasterly along said North line and said North line extended Southeasterly of Church
Street to the point of beginning, Cook County, Illinois.
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EXHIBIT E •
CITY OF EVANSTON
WASHINGTON NATIONAL
Church/Chicago
REDEVELOPMENT PLAN AND PROJECT
Jointly Prepared By:
City of Evanston; Illinois
and
Kane, McKenna and Associates, Inc.
• October 20, 1993
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TABLE OF CONTENTS
I. INTRODUCTION 1
II. REDEVELOPMENT PROJECT AREA LEGAL DESCRIPTION 7
III. REDEVELOPMENT PLAN GOALS AND OBJECTIVES 8
IV. BLIGHTED AREA CONDITIONS EXISTING IN THE
REDEVELOPMENT PROJECT AREA 9
V. REDEVELOPMENT PROJECT
9
A.
Redevelopment Plan and Project Objectives
9
B.
Redevelopment Activities
10
C.
General Land Use Plan
13
D.
Additional Controls and Design Criteria
13
E.
Estimated Redevelopment Project Costs
15
F.
Sources of Funds to Pay Redevelopment
Project Costs
20
G.
Nature and Tenn of Obligations to be
Issued
21
H.
Most Recent Equalized Assessed Valuation
of Properties in the Redevelopment
Project Area
22
I.
Anticipated Equalized Assessed Valuation
22
VI. SCHEDULING OF REDEVELOPMENT PROJECT
22
A. Redevelopment Project 22
B. Commitment to Fair Employment Practices
and Affirmative Action 24
C. Completion of Redevelopment Project and
Retirement of Obligations to Finance
Redevelopment Costs 25
Vll. PROVISIONS FOR AMENDING THE REDEVELOPMENT
PLAN 25
LISTS OF TABLES AND EXHIBITS
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Map 1 - Vicinity Map
Map 2 - Boundary Map
Map 3 - Existing Land Use Map
Map 4 - Proposed Land Use Map
Appendix
I
Appendix A - Legal Description
Appendix B - Qualification Report - Summary of Blighting Factors
01. INTRODUCTION
[general Background - City of Evanston
The City of Evanston, Illinois is a community of approximately 73,000 (as of the 1990
Census} and is bordered on the east by Lake Michigan, on the south by the City of
Chicago, on the west by the Village of Skokie and on the north by the Village of Wilmette.
The City lies in Cook County and is located approximately twelve (12) miles north of
Chicago's Loop. Incorporated in 1863, the City today is one of the largest, oldest and most
diverse suburbs of Chicago, with many amenities such as an • established business
environment, quality housing stock, an excellent public transportation system, and excellent
public schools. The City of Evanston is the home of Northwestern University as well as
three (3) other institutions of higher education.
The City has grown through the years primarily due to annexation (the Villages of
North Evanston and South Evanston were annexed prior to 1892) as well as the increased
enrollment and employment at Northwestern University (the City's largest employer). The
extension of the Chicago rapid transit system to Evanston and north to Wilmette added to
the population growth throughout the early to mid-1900's.
In 1921, the Evanston City Council adopted its first zoning ordinance which was the
first in the State to prevent overcrowding of land and to include provisions to separate
• business and industrial areas from residential neighborhoods. Today, Evanston has
retained its residential character, yet it. has grown with respect to its commercial and
industrial base. Once the key retail center for the North Shore, north Chicago and the
northwest suburbs, much retail space has since been converted to office and residential
space, which contributes to a more service -oriented environment in the City's downtown.
Today, downtown Evanston is considered viable and well -maintained, having escaped
much of the deterioration and abandonment that has impacted other older urban
communities. There are, however, growing problems within pockets of the downtown,
which may potentially impact the viability of the area in the long term.
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The City has made considerable efforts to maintain the downtown as a central force .
in providing taxes, services and a pleasant, safe environment for both commercial and
residential users. Major tenants who once anchored the shopping district (e.g., Marshall
Fields, Wieboldt's) were affected by the opening of Old Orchard Shopping Center, which
opened in the 1950's, but the City, overtime, has facilitated certain redevelopment projects
which have converted such older facilities to newer market -oriented uses. It is widely
viewed that the City has made a largely successful transition from a traditional, small City
CBD to a specialized downtown.
The City has provided economic incentives towards the development of such
projects as the 1800 Sherman Building, American Hospital Supply (now Rotary International
Headquarters) and Holiday Inn, as well as having established its first tax increment finance
district to the north and west of the Washington National facility, which is known as the
Northwestern University/Evanston Research Park TIF District. Considerable development
has occurred within the Research Park, since it was set up in 1982. More recently, the City
provided public assistance to a residential development known as Evanston Place, at the
northeast comer of Chicago Avenue and Church Street.
An area within the City's downtown (at the southwest comer of Chicago and Church)
that is now being considered for potential redevelopment is generally known as the
Washington National Insurance Co. facility. This area of the City's commercial base had •
gradually begun to deteriorate by the mid-1980's. Its decline has primarily been due to a
number of factors including its age, the reduced use and investment in and ultimate
vacancy by Washington National Insurance Company. The building now suffers from
obsolescence, depreciation and other blighting factors which ultimately have proved cost
prohibitive for the owners to stay in the building. Overall, the lack of meaningful plans and
investment in maintaining the facility and its potential effect on certain adjacent parcels has
hindered the City's ability to create a safe, pleasant, integrated and functional business
environment.
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• A considerable portion of the block incorporating the proposed redevelopment
•project suffersfrom aged, uncoordinated, sporadic development Existing development has
been primarily limited to officelretail. It includes buildings which have had a variety of sizes,
i ages, and tenants. Surrounding land uses are complementary to a proposed residential
reuse and include public facilities (such as the new Evanston Library, the North Shore
Retirement Hotel and Northwestern University (two (2) blocks away)). The Washington
National facility (which represents the entire proposed redevelopment project area), has
become outmoded, underutilized, and left vacant as the corporation has downsized its
business operations and moved elsewhere.
The specific portion of the block under consideration for redevelopment solely
includes the Washington National facility. The owner and a proposed developer have
entered into a partnership agreement to attempt to redevelop the Washington National
facility parcel as a phased apartment complex to initially contain approximately 300 units,
ancillary parking and commercial space. (A proposed second phase contemplates
additional residential units and/or retail uses).
The absence of significant development within the overall Washington National area
(described by market experts as a `core block' in the downtown) will likely prevent the City
from achieving a "highest and best use" of the land, as well as realizing increased potential
• real estate tax receipts from any incremental increases in assessed valuations with the
area. Incremental sales tax receipts may also be foregone if a development plan is not
initiated. The lack of such a plan will likely lead to the continued overall blight existing in
the area with a high likelihood that such conditions will worsen.
The City is determined to eliminate blighted conditions as well as to preserve the tax
base and create new housing opportunities.
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The proposed Washington National RPA is located generally at 1610-1630 Chicago
Avenue, which is a few blocks south and east of the larger Research Park TIF area
established by the City in 1962. • The redevelopment potential of the area included in the
proposed RPA is hampered by the presence of a large and depreciating office structure,
inadequate ingress and egress and the older, internal, structural and environmental
problems of the site. However, the RPA'.s location in the downtown CSD and the
commercial/retail frontage availability serve to distinguish this propertyfrom otherproperties
evaluated in the past for TIF status. Market interest and potential reuse would appear to
favor residential use, given the high costs involved in redeveloping and marketing such a
site to commercial/retail users. While the balance of the block, including the south portion
of the area may favor commercial or retail use redevelopment, the proposed RPA offers an
opportunity for a modem residential redevelopment, with some additional commercial/retail.
The area to be designated as a TIF District has been found to qualify for RPA
designation, as evidenced in the Qualification Report included as part of this
Redevelopment Plan and Project. The Report concludes that the area as a whole qualifies
for such blighted designation by consideration of all relevant evidence within the meaning
of the TIF Statute, however, it has been determined that only the Washington National •
facility will be included in the proposed RPA. A general description of the proposed RPA
follows:
The southern portion of the Washington National facility
on the south, the* western boundary of the north/south alley
adjacent to the Washington National- Insurance facility on the
west, Church Street on the north and Chicago Avenue on the
east.
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The proposed RPA includes an area which encompasses approximately two (2)
• acres of land and one approximately 360,000 sq. ft. structure. (See Map 1 and Appendix
A for a legal description, attached hereto and made a part of this Plan).
The majority of the improvements in the proposed RPA have become obsolete and
demonstrate conditions of depreciation or lack of physical maintenance. There is evidence
of deleterious land use/layout in the area's development, minimum standard code
violations, excessive vacancies and lack of sanitary, ventilation and light facilities. Taken
in total, these specific factors contribute to the.overall blighting of the area. (A more
detailed examination of qualification factors is found.in Appendix B).
The City is desirous of attracting significant private market redevelopment of this
area which would complement the location of the proposed RPA in the heart of the
downtown Central Business District. It is also important to the economic goals of the City
to attract and retain enterprises which strengthen Evanston's overall economic base, as
well as to expand the City's residential and retail bases.
The Redevelopment Plan will serve to address, on an area wide basis:
- depreciation of physical maintenance and assessed values;
- the obsolescence of commercial improvements and property;
• - coordinated planning processes and area wide review relating to uses;
• - area appearance; and
provision of necessary public improvements and services.
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It is expected that the distribution of TIF benefits would be area wide and would • .-
serve to stem conditions of blight and underutiiization.
In summary, the proposed Washington National RPA on the whole has not been
subject to significant growth and development. The area would not reasonably be
developed without the adoption of a Redevelopment Plan. The City has prepared this Plan
to use tax increment financing in order to address its redevelopment goals and objectives
for the area
The City of Evanston and its Economic Development Committee have carefully
reviewed the potential constraints of the proposed RPA property. The City has determined
thatwell planned residential and commercial/retail uses fronting Church Street and Chicago
Avenue would serve to maximize the RPA property's economic potential and would provide
additional retail services to City residents and others within the market area. The
development of top quality residential uses and the encouragement of a modem, efficient
retail property are key to the City. The location of the property and its size have presented
unique opportunities for an attractive, well designed redevelopment effort. The effort would
utilize both public and private resources in order to stabilize and enhance area property
values (e.g., properties located within or proximate to the RPA), create new housing in the •
downtown and to provide for a market reuse of currently underutilized property. The
proposed redevelopment of the RPA property would also likely serve to encourage interest •
in the surrounding area's property.
The RPA designation addresses the necessary public assistance/improvements
required to induce the private redevelopment of the property. The purpose and intent of this
Plan and the goal of the City is to induce immediately the demolition of the Washington
National facility to ensure a good faith effort by the proposed redeveloper prior to the
adoption of the TIF District.
The needed public investment will be possible only if tax increment financing is
adopted pursuant to the term of the Tax Increment Allocation Redevelopment Act (the
"Act"). The qualification of the entire area as blighted makes possible future developments
which are not now anticipated. Blighting factors have restrained or prevented successful
redevelopment from occurring within the area. Public resources may be needed to attract
private investment to redevelop the proposed area and to address blight factors.
Incremental property tax revenue generated by the development may play a decisive role
in encouraging the private development of the RPA.
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0 Conditions of obsolescence and underutilization that have precluded and/or retarded
•intensive private investment in the past will be addressed. Through this proposed
Redevelopment Plan and Project, the City will serve as the central force for marshalling the
• assets and energies 'of the private sector for a united cooperative public -private
redevelopment effort. In this regard, the City will serve as a catalyst for coordinating a
successful redevelopment of the area. Ultimately, the implementation of the
Redevelopment Plan and Project will benefit the City and all the taxing districts which
encompass the RPA in the form of a significantly expanded tax base.
On December 14,1992, the Evanston City Council adopted a Resolution (Resolution
No. 102-R2-92) indicating its intent to use Tax Increment Financing (T1F) for the
redevelopment ofthe area described herein. On October 13,1993, the Evanston Economic
Development Committee accepted the Qualification Report and recommended revised
boundaries for the proposed RPA containing only the Washington National parcels. It also
forwarded to the City Council a Resolution setting a Public Hearing date for the proposed
TIF District. Redevelopment of the RPA is tenable only if a portion of the improvements are
funded by tax increment financing.
,=w The adoption of this Redevelopment Plan and Project makes possible the
implementation of a comprehensive program for the economic redevelopment of the area.
.By means of public investment, the RPAwill become an improved, more viable environment
that will attract private investment and diversify the City's tax base.
Pursuant to the Act, the RPA includes only those contiguous parcels of real property
_ and improvements thereon substantially benefitted by the redevelopment project. Also
pursuant to the Act, and which can be evidenced above, the RPA is not less in the
aggregate than 1 1!z acres.
I1. REDEVELOPMENT PROJECT AREA LEGAL DESCRIPTION
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The Redevelopment Project Area is legally described in Appendix A.
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Ill. REDEVELOPMENT PROJECT AREA GOALS AND OBJECTIVES •
The goals of the City for the RPA (as expressed in this Plan), conform to the •
Evanston Comprehensive General Plan, adopted in 1986 and to the Downtown Plan, •
adopted in 1993. (Note: elements of the City zoning ordinance were updated in 1993 and
the RPA's proposed uses are to be in conformance with the revisions as well as in the
P.I I.D. forthe Project). A broadened, diversified tax base is necessary to maintain essential
City services and to strengthen Evanston's overall economy. The Redevelopment Plan will
also provide for expanded retail opportunities and developments to be undertaken within
the City.
1) Strengthen Evanston's economic position, thus improving the
quality of life provided through services and personal prosperity of residents.
2) Provide and maintain an attractive community that creates a
positive public image and encourages individuals, families and businesses to locate
and remain within the community.
Specific M ectives •
1) Attract and retain enterprises which strengthen Evanston's
economic base.
2) Establish and maintain a safe, pleasant, and functional
environment in the CIWs commercial and retail areas while encouraging new
residential and economic development.
3) Identify, maintain and enhance the positive physical elements of Evanston which
create Evanston's visual character.
4) Strengthen the positive image of the community by emphasizing attention to design
in development.
5) Induce immediately the demolition of the Washington National facility so that the
project may go forward pending adoption of the TIF District.
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• IV. BLIGHTED AREA CONDITIONS EXISTING IN THE REDEVELOPMENT
• PROJECT AREA
Findings
The Redevelopment Project Area was studied to determine its qualifications that the
area immediately prior to becoming vacant qualified as a blighted improved area as such
terns are defined in the Tax Increment Allocation Redevelopment Act (the "Act"), Illinois
Revised Statutes, Section 11-74.4-3. Referto Appendix B for a Qualification Report which
includes a summary; of blighting factors, findings for this RPA, and a list of existing
qualification factors for the area. Such findings include the age factor; obsolescence;
excessive vacancies; deleterious land use or layout, depreciation of physical maintenance;
lack of ventilation, light and sanitary facilities; presence of structures below minimum code;
and deterioration.
The entire designated Redevelopment Project Area was evaluated from August -
October, 1993 by representatives from Kane, McKenna and Associates, Inc., the owner's
management agents and the City. In such evaluation, only information was recorded which
• would directly aid in the determination of eligibility for a tax increment finance district.
• V.
REDEVELOPMENT PROJECT
A. Redevelopment Plan and Project Objectives
The City of Evanston proposes to realize its goals and objectives of
encouraging the development of the RPA and encouraging private
investment in residential redevelopment projects through public finance
techniques including, but not limited, to Tax Increment Financing. The
following represents the general project goals for tax increment financing
districts as defined by the Act and represent the general objectives for the
City. These components are all inclusive and may exceed the City's specific
actions as planned at this time.
(1) Implementing a plan that addresses the redevelopment costs of land
acquisition and assembly, site preparation (including land writedown),
and provision of infrastructure improvements or rehabilitation of existing
facilities that may be necessary for adaptation to a market oriented
reuse of sites in the RPA.
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(2) Improving public facilities that may include, but not be limited to: •
iStreet improvements
rovements • p
U. Utility improvements (including water, storm water management •
and sanitary sewer improvements)
iii. Landscaping and/or streetscaping (including sidewalk
improvements)
iv. Parking improvements (which may include structures/public
facilities)
(3) Entering into redevelopment agreements with developers for qualified
redevelopment projects.
(4) Utilizing interest cost write down pursuant to provisions of the Act.
(5) Considering the payment of interest costs of a redeveloper related to
the construction, renovation or rehabilitation of the redevelopment
project.
(6) Exercising other powers set forth in the Act as the City deems
necessary. •
Redevelopment Activities - •
Pursuant to the foregoing objectives, the City of Evanston may implement a
coordinated program of actions, including, but not limited to, site preparation
and renovation, infrastructure improvements and upgrading, and provision of
public improvements such as landscaping or buffering, and parking, where
required. The City may directly undertake the activities described below, or
when appropriate, cause such activities to be undertaken in a manner
conformant with this Plan.
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• In accordance with its estimates of tax increment and other available
• resources, the City of Evanston may provide public improvements in the
proposed RPA to enhance the immediate area as a whole, to support the
Redevelopment Project and Plan, and to serve the needs of Evanston
residents. Appropriate public improvements may include, but are not limited
to:
— site preparation costs (including land writedown costs and addressing
any environmental concerns);
vacation, removal, resurfacing, paving, widening, construction, turn
islands, construction or reconstruction of curbs and gutters, traffic
signals, and other improvements to streets, alleys, pedestrianways,
and pathways: including the acquisition and creation of on -site
roadway(s) for construction, reconstruction and/or extension of street,
alleys and pedestrian ways;
improvements of public utilities including construction or reconstruction
of water mains, as well as sanitary sewer and storm sewer, detention
• ponds, and street lighting;
beautification, landscaping, lighting, buffering, parking improvements
and signage of public properties;
Recommended public improvements are found in Section E. The City may
determine at a later date that certain improvements are no longer needed or
appropriate, -or may add new improvements to the list. The type of public
improvement and cost for each item is subject to City Council approval and
to the execution of a redevelopment agreement for the proposed project.
The City may determine that to meet redevelopment objectives it may be
necessary to participate in property acquisition in the Redevelopment Project
Area or use other means to induce transfer of such property to a private
developer.
Land writedown of existing properties to be acquired will, to the greatest
extent possible, be scheduled to coincide with redevelopment activities so
that parcels do not remain vacant for extended periods of time and so that the
adverse effects of redevelopment activities may be minimized.
Property which has been acquired may be made available for temporary
public or private revenue producing uses which will not have adverse impacts
on the redevelopment area, until such time as they are needed for planned
development. Such revenues, if any, could accrue to the proposed
Redevelopment Project Area.
Certain properties to be acquired by the City, and certain properties presently
owned by the City (e.g., street rights -of -way) may be assembled into
appropriate redevelopment sites and/or rights -of -way, for redevelopment
subject to invitation for proposal requirements of the Illinois Tax Increment
law.
Certain buildings located within the proposed RPA may have to be
reconfigured to accommodate new users. The Redevelopment Plan
contemplates site preparation or other requirements (such as land writedown
and environmental remediation) necessary to prepare the site for new uses.
All of the above will serve to enhance the site for the desired redevelopment.
Pursuant to the Act, the City may
revenues to reduce the interest
redevelopment activities, enhancing
proposed RPA.
allocate a portion of incremental tax
cost incurred in connection with
the redevelopment potential of the
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•Redevelopment Agreements
• Land assemblage may be conducted for (a) sale, lease or conveyance to
• private developers, or (b) sale, lease, conveyance or dedication for the
construction of public improvements or facilities. Terms of conveyance may
be incorporated in appropriate disposition agreements which may contain
more specific controls than those stated in this Redevelopment Plan.
In the event the City determines that construction of certain improvements is
not financially feasible, the City may reduce the scope of the proposed
improvements.
C. General Land Use Plan
Existing land uses in the proposed RPA are primarily commercial and exempt
land, as shown in Map 3. Map 4 designates the intended general land uses
identified for the Redevelopment Project Area, which includes retail uses.
The overall .coordination and area wide emphasis provided by this plan shall
serve to address blighted conditions present within the RPA.
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D. Additional Controls and Design Criteria
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Design guidelines shall be consistent with City standards and conditions
imposed as per the City's Planning and Development Committee, and if
feasible, may be expanded to include local concerns.
Where appropriate, design layout shall facilitate internal pedestrian
circulation and movement between majortraffiic generators and parking
facilities.
The lots comprising the property shall be consolidated priorto issuance
of any building permits.
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2. Slreetsc2pes/Buildlng Facades
The Redevelopment Project Area will be designed consistent with •
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contemporary retail/commercial facilities. Design importance will be •
stressed in the treatment of streetscapes, and the relationships of
building facades.
The first four floors of any proposed tower and/or commercial buildings
facades shall be of brick, limestone, or material of a similar quality.
The north and east facades of any proposed parking structures shall be
of materials compatible to that of the front elevation.
Best efforts shall be used to maximize ground level retail use(s) in any
phase on the Church and Chicago frontages and to develop to the lot
line.
Landscaping shall be provided on all undeveloped portions of the
property.
3. Parking and Buffering •
Development, should provide for an adequate supply of appropriately
located short-term and long-term parking spaces. Buffering, screening,
or landscaping should be used to make parking facilities as! attractive
as possible.,
Any proposed parking structure shall be of sufficient size and structural
capability to accommodate off-street parking for all phases of the
project
Off-street parking spaces for the Project shall be supplied at the rate of
not less than one space per dwelling unit.
Off-street parking for any retail or commercial use shall be supplied at
the rate of one parking space for each of 800 square feet of such floor
area in excess of 2,000 square feet.
The first floor frontage of any commercial building in the RPA shall be
limited to retail uses only.
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14
• 4. Signs
The design and use of signs shall be -in keeping with the area's overall
• architectural character and shall be coordinated in type, size and
location with those in nearby developments, all in accordance with the
City's sign ordinance.
5. Utilities
Wherever possible, all utility lines should be located underground.
Additional planning and design controls may be included in each land
disposition and/or redevelopment agreements with developers.
E. Estimated Redevelopment Project Costs
Redevelopment project costs mean and include the sum total of all
reasonable or necessary costs incurred or estimated to be incurred, as
provided in the T1F statute, and any, such costs incidental to this
Redevelopment Plan and Project. Private investments which supplement
• "Redevelopment Project Costs" are expected to substantially exceed such
redevelopment project costs. The stated redevelopment costs represent
maximum amounts and the itemized costs do not represent actual City
commitments for possible expenditures of T1F funds in the
Redevelopment Project Area. Eligible costs permitted under the Act which
may be pertinent to this Redevelopment Plan and Project include:
1. Costs of studies and surveys, development of plans and specifications,
implementation and administration of the redevelopment plan including,
but not limited to, staff and professional service costs for architectural,
engineering, legal, marketing, financial, planning, or other special
services, provided, however, that no charges for professional services
may be based on a percentage. of the tax increment collected.
15
2. Property assembly costs, including but not limited to acquisition of iand •
and other property, real or personal, or rights or interests therein,
demolition of buildings, and the clearing and grading of land;
3. Costs of rehabilitation, reconstruction or repair or remodeling of existing
buildings and fixtures;
4. Costs of the construction of public works or improvements;
S. Costs of job training and retraining projects;
6. Financing costs, including but not limited to all necessary and incidental
expenses related to the issuance of obligations and which may include
payment of interest on any obligations issued pursuant to the Act
accruing during the estimated period of construction of any
redevelopment projectforwhich such obligations are issued and for not
exceeding 36 months thereafter and including reasonable reserves
related thereto;
7. All or a portion of a taxing district's capital costs resulting from the
redevelopment project necessarily incurred or to be in furtherance of
the objectives of the redevelopment plan and project, to the extent the •
City by written agreement accepts and approves such costs;
8. Relocation costs to the extent that the City determines that relocation
costs shall be paid or is required to make payment of relocation costs
by federal or state law;
9. Costs of job training, advanced vocational education or career
education, including but not limited to courses in occupational, semi -
technical ortechnical fields leading directly to employment, incurred by
one or more taxing districts, provided that such costs (i) are related to
the establishment and maintenance of additional job training, advanced
vocational education or career education programs for persons
employed or to be employed by employers located in the
Redevelopment Project Area; and (ii) when incurred by a taxing district
or taxing districts other than the City, are set forth in a written
agreement by or among the City and the taxing district or taxing
districts, which agreement describes the program to be undertaken,
including but not limited to the number of employees to be trained, a
description of the training and services to be provided, the number and
16
9 type of positions available or to be available, itemized costs of the
program and sources of funds to pay for the same, and the term of the
agreement Such costs include, specifically, the payment by
• community college districts of costs pursuant to Sections 3-37, 3-38, 3-
40 and 3-40.1 of the Public Community College Act and by school
districts of costs pursuant to Sections 10-22.20a and 10-23.3a of The
School Code.
10. If deemed prudent by the City Council ofthe City for the redevelopment
project, interest costs incurred by the redeveloper related to the
construction, renovation or rehabilitation of the redevelopment project
provided that.
(a) such costs are to be paid directly from the special tax allocation
fund established pursuant to the Act; and
(b) such payments in any one year may not exceed 30% of the
annual interest costs incurred by the redeveloper with regard to
the redevelopment project.during that year, and
• (c) if there are not sufficient funds available in the special tax
allocation fund to make the payment pursuant to this paragraph
(10) then the amounts so due shall. accrue and be payable
when sufficient funds are available in the special tax allocation
fund; and
•
r
(d) the total of such interest payments incurred pursuant to the Act
may not exceed 30% of the total redevelopment project costs
excluding any property assembly costs and any relocation costs
incurred pursuant to the Act.
17
11. Payments in lieu of taxes. S
In the event the City of Evanston issues debt pursuant to its general •
obligations under the Act or pursuant to its home rule powers, the •
proceeds of which are used to pay redevelopment project costs:
(a) In any year during which said obligations are outstanding and
funds in the special tax allocation fund are insufficient to pay
np 'ncipal and interest when due, the City shall cover such
shortfall in payment in accordance with the terms of the
obligations, and any such payments made by the City shall be
repaid in full to the City from the special tax allocation fund from
subsequent available tax increment revenues from improved
taxable lots or parcels of real property prior to the creation of
any surplus funds. '
(b) In any year during which said obligations are outstanding and
funds in the special tax allocation fund are sufficient to pay the
next due ,principal and interest• but it is anticipated that in
subsequent years funds may be inadequate to make the current
payments of principal and interest, then the City may create
such reserves from the funds as it may deem appropriate to •
enable it to make future payments of principal and interest
under said obligations. Amounts in any such reserve shall not
be deemed to be surplus funds. Real estate tax increment
revenues which constitute funds in the special tax allocation
fund for the purpose of this paragraph include only tax
increment revenues from improved taxable lots or parcels of
real property.
Estimated costs are shown in the next section. Adjustments to these
cost items may be made without amendment to the Redevelopment
Plan. As previously mentioned, the costs herein represent
estimated amounts and do not represent actual City commitments
or expenditures. Rather, they are a ceiling on possible
expenditures of T1F funds in the redevelopment project area.
0
18 ft
• REDEVELOPMENT PROJECT - ESTIMATED PROJECT COSTS ELIGIBLE UNDER ILLINOIS TIF
• STATUTE THESE ARE POTENTIAL COSTS TO BE EXPENDED OVER A PERIOD OF 23 YEARS
BUTTO BE SOLELY DETERMINED BY THE CITY TO FUND AS NEEDED. (Note: This summary
does = include private redevelopment costs, and each cost item is based upon standard
amounts for other similar type projects.)
1. Land Acquisition and Assembly Costs
including Land Writedown/Site Preparation Work(B) $3,500,000
2. Rehabilitation and related Construction
of Public Improvements Including the Relocation
of Existing Utilities and the Provision
of Utility Service 1,250,000
3. Utility Improvements including, but
not Limited to, Water, Storm, Sanitary
Sewer, and the Service of Public
Facilities 500,000
4. Construction and Reconfiguration of
Parking Rights -of -Way and Street
• Improvements/Construction, Signalization,
Traffic Control, Lighting, Landscaping,
Buffering and Streetscaping 500,000
5. Interest Costs Pursuant to the Act 1,000,000
6. Planning, Legal, Engineering, Adminis-
trative and Other Professional Service
Costs 500,000
7. Miscellaneous/Contingencies 250,000
Total Estimated Costs $7,500,000
(A) A I project cost estimates are in 1993 dollars. In addition to the above stated costs, -any bonds issued
to finance a phase of the project may include an amount of proceeds sufficient to pay customary and
reasonable charges associated with the issuance of such obligations as well as to provide for
capitalized interest and reasonably required reserves. Adjustments to the estimated line item costs
above are expected. Each individual project cost will be re-evaluated in light of the projected private
development and resulting tax revenues as it is considered for public financing under the provisions
of the Act.
• (B) Such costs may be higher due to the City's goal of inducing demolition of the facility prior to the
adoption of the TIF District.
09 19
The totals of line items set forth above are not intended to place a total limit on each
of the described expenditures. Adjustments may be made in line items within the •
total, either increasing or decreasing line item costs for redevelopment.
ents to these cost items may y be made without amendment to the
Redevelopment Plan as long as the total project expenditures remain unchanged.
F. Sources of Funds to Pay Redevelopment Project Costs Eligible Under
Illinois TIF Statute
Funds necessary to pay for public improvements and other project costs
eligible under the TIF statute are to be derived principally from property tax
increment revenues, proceeds from municipal obligations to be retired
primarily with tax increment revenues and interest earned on resources
available but not immediately needed for the Redevelopment Plan and
Project.
"Redevelopment Project Costs" specifically contemplate those eligible public
costs set forth . in the Illinois statute and do not contemplate the
preponderance of the costs to redevelop the area. The majority of •
development costs will be privately financed, and TIF or other public sources
are to be used only to leverage and commit private redevelopment activity.
The tax increment revenues which will be used to pay debt service on the tax
increment obligations, if any, and to directly pay redevelopment project costs
shall be the incremental increase in property taxes attributable to the increase
in the equalized assessed value of each taxable lot, block, tract or parcel of
real property in the proposed RPA over and above the initial equalized
assessed value of each such lot, block, tract or parcel in the RPA in the
1995/1996 tax year.
20
Among the other sources of funds which may be used to pay for
• redevelopment project costs and debt service on municipal obligations issued
to finance project costs are the following: certain local sales taxes, special
service area taxes, the proceeds of property sales, unlimited property taxes
if the obligations are general obligations of the City, certain land lease
payments, certain Motor Fuel Tax revenues, certain state and federal grants
or loans, certain investment income, and such other sources of funds and
revenues as the City of Evanston may from time to time deem appropriate.
The proposed Redevelopment Project Area would not reasonably be
expected to be developed without the use of the incremental revenues
provided by the Act.
G. Nature and Term of Obligations to be Issued
The City may issue obligations secured by the tax increment special tax
allocation fund established for the Redevelopment Project Area pursuant to
the Act or such other funds or security as are available to the City by, virtue
of its powers pursuant to the Illinois State Constitution.
• Any and/or all obligations issued by the City pursuant to this Redevelopment
• Plan and Project and the Act shall be retired not more than twenty-three (23)
years from the date of adoption of the ordinance approving the
Redevelopment Project Area. However, the final maturity date of any
obligations issued pursuant to the Act may not be later than twenty (20) years
from their respective date of issuance. One or more series of obligations may
be issued from time to time in order to implement this Redevelopment Plan
and Project The total principal and interest payable in any year on all
obligations shall not exceed the amounts available in that year, or projected
to be available in that year, from tax increment revenues and from bond
sinking funds, capitalized interest, debt service reserve funds and all other
sources of funds as may be provided by ordinance.
Those revenues not required for principal and interest payments, for required
reserves, for bond sinking funds, for redevelopment project costs, for early
retirement of outstanding securities, and to facilitate the economical issuance
of additional bonds necessary to accomplish the Redevelopment Plan, may
• be declared surplus and shall then become available for distribution annually
to taxing districts overlapping the RPA in the manner provided by the Act.
09
21
H.
Such securities may be issued on either a taxable or tax-exempt basis, with
either fixed rate or floating interest rates; with or without capitalized interest;
with orwithout deferred principal retirement; with orwithout interest rate limits
except as limited by law; and with or without redemption provisions.
Most Recent Equalized Assessed Valuation (EAV) of Properties in the
Redevelopment Project Area
The equafted assessed valuation of the property within the RPA is currently
approximately $7,574.,400, which is the 1992 equalized assessed valuation,
the most recent EAV available. It is anticipated that this total EAV shall be
reduced prior to the adoption of the TIF District, due to actual vacation of and
anticipated demolition of the Washington National structure by 1995. The
Boundary Map, Map 2, shows the location of the proposed RPA.
Anticipated Equalized Assessed Valuation
Upon completion of the anticipated private development of the
Redevelopment Project Area by the year 1996, it is estimated that the
equalized assessed valuation of the property within the Redevelopment
Project Area will be increased by approximately $8 to $18 million, depending
on condominium conversions. The estimate assumes a constant Cook
County equalization factor (multiplier) of 2.0897 and 1993 dollars.
VI. SCHEDULING OF REDEVELOPMENT PROJECT
A. Redevelopment Project
An implementation strategy will be employed with full consideration given to
the availability of both public and private funding. Such strategy will
contribute to a realistic approach in funding the Project while assuring the City
the ability to fund the Projects it deems to have the highest priority.
The Redevelopment Project will require an estimated eight (8) years to
complete.
The Redevelopment Project will begin as soon as the development entity (or
entities) have identified market uses for the sites and such uses are
conformant with City zoning and planning requirements. Depending upon the
scope of the development as well as the actual uses, the following activities
may be included:
•
•
•
22
• Site Preparation The existing structures located within the RPA may have
• to be reconfigured or prepared to accommodate new uses. The
redevelopment plan contemplates site preparation, land writedown, or other
requirements necessary to prepare the site for the desired redevelopment,
(e.g., environmental).
Land caping/Buffering/, treetscaoing/Parking The City may undertake, or
cause to be undertaken, certain landscaping and parking which serve to
beautify and improve access to public properties or rights -of -way and provide
buffering between land uses.
Water. Sanitary Sewer. Storm Sewer and Other Utility Improvements: The
City may extend or re-route certain utilities (or cause such extension) to serve
or accommodate the new development. Upgrading of existing utilities may
be undertaken.
oadway/Street/Parking Improvements: Certain secondary streets/roads
may also be improved. Related 'curb, gutter, and paving improvements could
also be constructed as needed. Sidewalk and parking improvements ancillary
to the above may also be carried out.
• Traffic Control/Sign alization: The City may construct or cause to be
constructed necessary' traffic control or signalization improvements that
improve access to the RPA and enhance its redevelopment.
Public Safety Related Infrastructure: The City may construct or cause to be
constructed certain public safety improvements including, but not limited to,
public signage, public facilities, and street lights.
Interest Cost Coverage: The City may pay for certain interest costs incurred
bythe redevelopment entity for construction, renovation or rehabilitation ofthe
redevelopment project. Such funding would be paid for out of annual tax
increment revenue generated from the RPA as allowed under the Act.
Professional Services: The City may use tax increment financing to pay
necessary privately funded planning, legal, engineering, administrative and
financing costs during project implementation. Eligible costs undertaken on
behalf of the City may also be paid by the City.
23
Commitment to Fair Employment Practices and Affirmative Action .
As part of any Redevelopment Agreement entered into by the City and the •
private developer, both will agree to establish and implement an affirmative
action program that serves appropriate sectors of the City of Evanston.
With respect to the public/private development's internal operations, both
entities will pursue employment practices which provide equal opportunity to
all people regardless of sex, color, race or creed. Neither party will
countenance discrimination against any employee or applicant because of
sex, marital status, national origin, age, or the presence of physical
handicaps. These nondiscriminatory practices will apply to all areas of
employment, including: hiring, upgrading and promotions, terminations,
compensation, benefit programs and educational opportunities.
Anyone involved with employment or contracting activities for this Project will
be responsible for compliance with this policy and the compliance
requirements of applicable state and federal regulations.
The City and the private developers involved with this Project will adopt a
policy of equal employment opportunity and will include or require the
inclusion of this statement in all contracts and subcontracts at any level for •
the project initiated within the RPA. Additionally: (a) any public/private
partnership established for the development project in the RPA will seek to
ensure and maintain a working environment free of harassment, intimidation,
and coercion at all sites, and in all facilities at which all employees are
assigned to work; (b) it shall be specifically ensured that all on -site
supervisory personnel are aware of and carry out the obligation to maintain
such working environment, with specific attention to minority and/or female
individuals; and (c) the partnership will utilize affirmative action to ensure that
business opportunities are provided and that job applicants are employed and
treated in a nondiscriminatory manner.
Underlying this policy is the recognition by the partnership that successful
affirmative action programs are important to the continued growth and vitality
of the City of Evanston.
•
24
• C. Completion of Redevelopment Project and Retirement of Obligations
to Finance Redevelopment Costs
This Redevelopment Project will be completed on or before a date 23 years
from the adoption of the ordinance designating the Redevelopment Project
Area. Actual construction activities are anticipated to be completed within
eight (8) years.
Vll. PROVISIONS FOR AMENDING THE TAX INCREMENT REDEVELOPMENT
PLAN AND PROJECT
This Redevelopment Plan and Project may be amended pursuant to the provisions
of the Act
•
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LEGAL DESCRIPTION
A parcel of land in the South 1/2of Section 18, Township 41 North, Range 14 East of Third
Principal Meridian comprising Lot 1 and Lots 12 to 16, both inclusive in Block 19 in The
Village of Evanston in Section 13, Township 41 North, Range 13 East of Third Principal
Meridian and Sections 7,18 and 19, Township 41 North, Mange 13 East of Third Principal
Meridian, the 20 feet Northerly and Southerly public alley tying Westerly of and adjoining
the Westerly line of said lots, Chicago Avenue lying Easterly of adjoining the Easterly line
said Lots and Church Street lying Northerly of the Northerly line, and the Northerly line
extend Westerly 20 feet and the Northerly line extended Southeasterly to the Easterly line
of said Lot 1 and more particularly described as follows: commencing at the point of
intersection of the North line of Church Street and the East line extended Northerly of
Chicago Avenue; thence Southwesterly along the said extended East line and the East
line of Chicago Avenue to its intersection with the extension Southeasterly of the
Southerly line of said Lot 12; thence Northwesterly along said extended line, the Southerly
line of said Lot 12 and the said Southerly line extended Northwesterly to the Westerly line
of aforesaid 20 feet Northerly and Southerly public alley; thence Northeasterly along said
Westerly line and said Westerly line extended Northerly of said 20 feet Northerly and
Southerly public alley to its intersection with the said north fine of Church Street, thence
Southeasterly along said North line and said North line extended Southeasterly of Church
Street to the point of beginning, Cook County, Illinois.
•
•
CJ
October, 1993
CITY OF EVANSTON
PRELIMINARY T1F QUALIFICATION REPORT
PROPOSED WASHINGTON NATIONAL (Church/Chicago/Davis)
REDEVELOPMENT PROJECT AREA i
PREPARED FOR:
CITY OF EVANSTON
OCTOBER 8, 1993
PREPARED BY:
KANE, McKENNA AND ASSOCIATES, INC.
a
ti
• City of Evanston
TIF Designation Report
Washington National Redevelopment Project Area
Table of Contents
I�T•T�
I. INTRODUCTION AND BACKGROUND 1
li. QUALIFICATION CRITERIA USED 5
III. THE STUDY AREA 6
IV. METHODOLOGY OF EVALUATION 7
V. QUALIFICATION OF AREA FINDINGS OF ELIGIBILITY 9
VI. OVERALL ASSESSMENT OF QUALIFICATION 17
Exhibits.
EXHIBIT 1 - Boundary Map
EXHIBIT 2 - Legal Description (forthcoming)
EXHIBIT 3 - Parcel Identification Numbers
•
•
This eligibility report focuses on approximately 21/2 acres of currently improved and some •
vacant land being considered as a Tax Increment Finance District (TIF) in the City of Evanston,
Cook County, Illinois. The Study Area, located entirely in the City's downtown Central Business
District, consists primarily of an approximately 360,000 square foot vacant office building located
generally at the southwest comer of Church Street and Chicago Avenue as well as an adjacent
aged and depreciating structure on Chicago Avenue and Davis Street.
The purpose of this report is to document in a comprehensive manner the extent to which
the factors of "blight" exist for this area and to determine the eligibility of this area for such status
pursuant to the Tax increment Allocation Redevelopment Act, Illinois Revised Statute, Section 11-
74.4-3 (the, "Act").
The' Act addresses the elimination or reduction of blighted area factors within Illinois
communities through the implementation of redevelopment measures. The Act authorizes the use
of tax increment revenues derived from the tax rates of various taxing districts in a Redevelopment
i
Project Area (the "RPA") for the payment of costs related to the undertaking of redevelopment
projects. In order to qualify for redevelopment eligibility underthis legislation,, an RPA must contain
conditions which warrant its designation as a "blighted area". The following sections of this report
will describe conditions of blight which exist in the proposed RPA conformant to the provisions of
the Act.
The proposed RPA as a whole is generally bounded by the following:
Davis Street on the south, the western boundary of the
north/south alley adjacent to the Washington National Insurance
facility on the west, Church Street on the north and Chicago Avenue
on the east.
•
ti
1
• The survey was undertaken during August -October, 1993 and also includes the findings of
Orevious, studies, plans and inventories conducted by various firms and City agencies which were
• available and are pertinent to the evaluation of this area. Said studies, plans, etc., are not,
however, viewed as the sole basis for the findings made herein.
The proposed RPA is located in the City's Central Business District which was established
during the early 1900's. The primary land uses at that time consisted 'of mostly 2-3 story brick
buildings generally located along Church and Davis Streets, and the founders of Washington
National Insurance Company (Kendall and Preston) chose Evanston as the location for the
construction of the 616 Church Street Building in 1921 to house its fledgling insurance company.
As the company grew over the years, it subsequently implemented 15 additions or newly
constructed areas, which over time incorporated a significant portion of the entire City block on
which it stood. At its peak, the company employed 2,000 individuals. When the company began
to'experience a downtum, and an accordant reduction in staff and operation occurred beginning
in 1983, it was obvious to firm officials that a decision had to be made with respect to the building
0 due to its diminishing use and advancing age.
i
In late 1989, the company retained several construction consultants to evaluate the
condition of the building. They reported that due to mechanical, HVAC, and other interior
construction needs (as well as structural problems with the parking garage), the cost of renovation
of the structure for its continued use or for the use of any other potential tenant(s) (which
suggested a "modernization" plan as a first step, with interior systems work to follow) was cost
prohibitive. These findings were supported by brokers and architects hired to confirm the original
analysis.
In the summer of 1990, the company's real estate consultant contacted approximately
thirteen (13) developers via a request for proposal to develop the property with or without a
Washington National headquarters as part of the development.
The overwhelming response was one of "no interest" because the majority of developers
*It it would be impossible to be competitive based on an inability to finance an office building in
2
downtown Evanston. According to brokers interviewed, there is very little market for large singlo
user structures offering office space in Evanston; more typical is the 10,000 s.f. space user. Somo
responded with alternate site or non-competitive proposals. The consensus was that the building
was far too inefficient to be redeveloped into a multi -tenant use. Developers also commented that
the only financing accommodating any new development for the site appeared to be residential.
In the fourth quarter of 1990, after a detailed analysis and review of proposals, it was
determined that new construction or renovation of the Chicago Avenue structure were the most
expensive headquarter alternatives.
Due, in part, to the structure's age, obsolescence and deleterious layout, the total building
area which had been utilized in the past or leased over time had decreased by the mid to late
1980's, and the number of individuals and uses in the building had begun to decline. The decision
to move to a northern Chicago suburb was made and the building has been entirely vacant since
April, 1993. The Church Street tenants have also been relocated.
As discussed in detail in a subsequent section, office/commercial use of the property is no
longer economically viable. The potential costs associated with land acquisition, reconfiguration •
and/or demolition of existing structures are important determinants of the price charged to new
users of the site, effectively limiting the possible redevelopment uses. For example, if more office
or retail facilities were. constructed, the proportional site costs that would be incorporated into the
new construction costs would likely drive up the price of the rents far beyond the market for
comparable uses. Residential density is proposed as an alternative use, but the density would
need to be considerable, and perhaps beyond the level of market demand, in order to generate
the revenue flow necessary for needed redevelopment costs.
The property had been marketed for office/commercial/retail or residential reuse since 1991.
Anticipated site costs have precluded redevelopment, even though higher intensity uses can
typically bear higher development costs. A current residential redevelopment proposal is only
feasible with public assistance to defray the costs of acquiring and preparing the site.
ti
3
• Even with City assistance, the practicable reuses of the site are limited. To make a TIP
cork, a development must have a higher value for property taxes than the previous use, since only
taxes from new value are captured. Within the proposed RPA, the current valuation is relatively
high, however, it is dropping each year due to tax protests citing lack of occupancy, and will likely
decrease further with anticipated demolition of the site. A proposed reuse of the site will hopefully
replace and perhaps increase the value of the parcel over time.
In summary, the proposed redevelopment project presents certain features related to the
characteristics of the site and existing market conditions:
• Commercial/office reuse or sale of the Washington National building/site has met
with no viable market acceptance in recent years. The building is functionally
obsolete.
• Costs attributable to land acquisition and site preparation (including demolition)
prohibit lower density use of the site.
• ' AcomnTercial/retail redevelopment ofthe existing structure would be cost -prohibitive
• as supported by local developersibrokers due to the extensive mechanical, HVAC,
environmental and other interior construction needs of the building as well as
structural problems with the interior parking garage.
The RPA designation is being pursued to address blighted conditions and permit the reuse
of the property. Without public intervention and a change in the land use, the area's obsolescence
and underutilization due to the blighting conditions would not be resolved.
Appropriate redevelopment of the site would prevent a loss of the City's real property tax
base, and a residential reuse would create new housing and pedestrian activity for downtown
business, thus expanding the City's sales tax base.
•
09
If. QUALIFICATION CRITERIA USED •
With the assistance of City of Evanston staff, Washington National Insurance Company
officials, and The John Buck Company (the proposed redeveloper of the site), Kane, McKenna and
Associates, Inc. (KMA) examined the proposed redevelopment project area (RPA) to determine
the presence or absence of appropriate qualifying factors listed in the Illinois "Real Property Tax
Increment Allocation Act" (hereinafter referred to as "the Act"), as amended. The relevant sections
of the Act are found below.
The Act sets out specific procedures which must be adhered to in designating a
redevelopment project area. By definition, a "redevelopment project area" is:
"an area designated by the municipality, which is not less in the aggregate than 1-1/2 acres
and in respect to which the municipality has made a finding that there exist conditions which
cause the area to be classified as a blighted area or a conservation area, or a combination
of both blighted area and conservation areas."
The Act defines a "blighted" area with improvements as follows:
"any improved ... area within the boundaries of a redevelopment project area located within
the territorial limits of the municipality where, if improved, industrial, commercial and •
residential buildings or improvements, because of a combination of 5 or more of the
following factors: age; dilapidation; obsolescence; deterioration; illegal use of individual •
structures; presence of structures below minimum code standards; excessive vacancies;
overcrowding of structures and community facilities; lack of ventilation, light or sanitary
facilities; inadequate utilities; excessive land coverage; deleterious land use or layout;
depreciation of physical maintenance; lack of community planning; is detrimental to the
public safety, health, morals or welfare."
The presence of factors must be reasonably distributed throughout the RPA and be present
to a meaningful extent. The analysis herein indicates that the factors are present to a meaningful
extent, whether the eventual area includes solely the Washington National facility or also includes
the parcels to the south of the facility along Davis Street.
5
•
M
• The proposed RPA consists of an approximately 360,000 square foot office structure at
1620/1630 Chicago Avenue and 610 Church Street owned and operated by Washington National
Insurance Company. Also included are two (2) additional structures (one is a drive -through
banking facility) managed and owned by other entities. Adjacent to the improvements are a
heavily vegetated, formerly improved site and two (2) exempt parcels (alley, easements, etc.).
This series of improvements are located on an approximately 21/s acre portion of a block comprised
of fifteen (15) parcels. The original and oldest buildings were constructed in the 1920-30's and
have had substantial additions and construction improvements made to them over the years, most
notably in the period between 1936-1959. Since the Washington National structure covers greater
than 75% of the proposed redevelopment project area, its character and condition dominate the
area.
Public rights -of -way surrounding the Washington National building are included in the
proposed RPA. These include the western half of Chicago Avenue, the southern half of Church
• Street and the northern half of Davis Street. The streets are an integral component of the site and
• impact the patterns of use of the site.
IV. METHODOLOGY OF EVALUATION •
In evaluating the proposed RPA's qualification, the following methodology was utilized: •
(1) Exterior and internal site surveys of the original structure and its environs within the
proposed RPA were undertaken by representatives from Kane, McKenna and
Associates, Inc. KMA completed an evaluation of all structures, noting obsoles-
cence, deleterious layout, depreciation, as well as possible code violations. The
inspections included conditions of roof, windows, facade, interiorwalls and finishes,
electrical systems and exterior conditions. A photograph analysis of the area was
conducted and used to aid this evaluation. The interior of the majority of the
structure were inspected, including tenant spaces.
(2) The entire area was studied in relation to review of zoning and site maps; City
ordinances; historic and current 1992 tax levy year information from the Cook
County Clerk's Office; Sidwell tax plat maps; discussions with City officials regarding
local history; photographs; architectural plans; environmental reports; and an
evaluation of area -wide factors that affected the area's decline (e.g., deleterious land
use or layout, obsolescence, etc.).. KMA reviewed the area in its entirety. City
redevelopment goals and objectives for the entire area were also reviewed.
(3) Interyiews were conducted with the management company responsible for
maintaining the property, the current owners, brokers and architects with respect to
the marketability of the property and the overall area. Discussions included certain
impediments to the area which could be overcome by certain improvements or
incentives.
The Study Area was examined to determine the applicability of the different factors
for qualification for TIF designation under the Act.
(4) Evaluation was made by reviewing the information collected and determining how
each parcel and the structure measured as to the prevalence of each factor.
7
&Ummary of Area Findings
The following is a summary of relevant qualification findings:
(1) The entire RPA comprises approximately 21l2acres. The area is contiguous and is
greater than 1-1/2 acres in size, as required by the Act.
(2) The Study Area can be categorized as a "blighted improved area" (a discussion of
the basis for qualification of the RPA follows in the next section). Factors necessary
to make these findings are present to a meaningful extent and reasonably distributed
throughout the area as a whole.
(3) All property in the RPA would benefit by the proposed redevelopment project
improvements.
(4) The sound growth of the tax base for taxing districts that are applicable to the area,
including the City, had been impaired by the blighting factors found present in the
area and as outlined in the Act.
• (5) For approximately the past two (2) years, the Washington National building has been
actively marketed for sale by commercial brokerage firms. The owners had
undertaken two (2) rounds of solicitations to prominent redevelopers (thirteen (13)
potential commercial firms, and nine (9) potential residential developers) to elicit
interest in the site and very few had expressed optimism regarding the property.
The overall reasons -for not pursuing the site as a redevelopment project, from the
perspective of these developers, was the costly renovation or demolition/new
construction, and eventual market rents necessary to sustain the structure to be
developed. Additionally, after undertaking careful study of the feasibility of
commercial or retail redevelopment, the City has concluded that the private sector
economics were not viable for office or retail reuse. It is thus concluded that the
area would not be subject to redevelopment without the investment of public funds,
• including property tax increments.
00
N
V1. Ol1ALIFICATION OF AREA/FINDINGS OF ELIGIBILITY • ,
Based upon an evaluation of the Study Area and an analysis of each of the eligibility factor
summarized in Section IV, the following factors are presented to support qualification of the
proposed RPA as a blighted improved area.
Aw
The original Washington National building, located at 616 Church Street was constructed
in 1921 as a single user facility, over seventy (70) years ago. Over the years, numerous additions
have been added to the original structure, resulting in the existing, but vacant, Washington
National building today. The entire building was constructed during a period approximately 34-72
years ago based upon data contained in aerial photographs and Washington National official
correspondence.
The building's age has contributed substantially to its routine physical depreciation,
including wear and tear on the overall structure of the facility. The adjacent University Building or
"Koch" facility is also at least M years old.
Presence of Structures Below Minimum Code Standards •
KMA's initial site visit, conducted in 1993 after Washington National's departure,
preliminarily indicated that certain portions of the building were below minimum code standards.
However, because Evanston does not routinely inspect the interior of commercial businesses, no
formal code violations were cited or issued by the City to the property owners regarding the interior
of the building. The City has since, however, formally cited ownership for its ongoing graffiti
problems. Due to its vacant status, the building was obviously a target for vandals who have
"tagged" the building with graffiti.
Based on KMA observations, Washington National historical data, and BOCA code
standards, itwould appear as if the current plumbing, fire protection, and electrical facilities, among
other systems, are below minimum code standards. The central electrical system is'controlled by
various fuse boxes; the haphazard construction patterns and piecemeal use and development of
adjacent structures has resulted in electrical equipment and fuse boxes which are located •
throughout the facility. This has led to the current inefficiency of the electrical system and would .%
�6'
*present a problem to any potential user, particularly if multi -users were to locate within the
*structure.
. Plumbing facilities have been affected much the same way. The piecemeal growth of the
facility has resulted in an inadequate distribution of plumbing facilities. Frequently, no hot or even
warm water would be available to restroom users and during wet or cold weather, the toilets would
often back-up, flushing raw sewage into the building. This would require a concerted clean-up
effort and result in a permanent sewage odor around the first floor restrooms.
The parking. garage had been declared structurally unsound by a competent engineering
firm and condemned in 1989, according to agents managing for Washington National. Although
the first floor was used for parking vehicles until the time Washington National vacated, the safety
and structural soundness were questionable. The interior exhibits substantial structural
deficiencies, including cracked and slipped roof beams and walls; damaged, cracked and peeling
paint as well as chipped concrete wall supports; cracked and uneven parking lot floor; and
•significant evidence of rust and depreciation of physical maintenance throughout the garage.
Additionally, the age of the building and the materials and equipment used in its construction
equipment and maintenance have deteriorated substantially. The general result has been a
heating and air conditioning system which appears to fall below current standards, presenting a
health and safety issue to building users, as well as a potential fire hazard. Coupled with an
already established asbestos problem, the building appears to not meet current code standards.
Moreover, a building of this size should, by normal minimum standards, be equipped with a fire
sprinkler system and sophisticated fire alarm. Only the Washington National building's first floor
had ever been equipped with a sprinkler system and its condition has deteriorated so that its
efficiency and effectiveness are questionable.
Finally, the Washington National building is not up to- federal compliance standards
established within the Americans With Disabilities Act (ADA) of 1991.
The costs of retrofitting the facility for compliance standards would force ownership to
modify doorways, hallways, elevators and restrooms to accommodate wheelchair users.
10
Excessive Vacancies •
The property, consisting of approximately 360,000 square feet of a former office buiidinO
(located in the heart of the City's Central Business District) has been completely vacant for
approximately six (6) months with no activity or employment being generated from its operations.
The property has been completely vacant since Washington National Insurance Company moved
its operations to north suburban Lincolnshire. Prior to its total vacation of the building, Washington
National had been phasing out employees and'downsizing its operations since 1983, resulting in
underutilization of the property since that time. During its peak, in the early 1980's, Washington
National employed up to 2,000 people. However, corporate downsizing and restructuring began
shortly thereafter with Washington National reducing staff. By the mid 1980's, this led, in turn, to
a reduced need for physical space. By 1987, Washington National was reducing its need for
physical space further to accommodate yet more restructuring of the labor force, which was
approximately 1,200. In 1989, a new chief executive officer of Washington National was named
and the decision to review their premises requirements including the underutilized facility was put
•
in motion. At the time of vacancy, only 600-700 individuals were employed at the facility. In
conjunction with Washington National's decision to relocate, all of the retail and service tenants
located along Church Street were relocated, also.
Lack of Ventilation_ Light_ or Sanitary Facilities
The age of the building and its subsequent patterns of additional construction and
redevelopment have contributed significantly to the lack of adequate ventilation and lighting
facilities. The current air handling system, made from steam coils, is, old and leaky, contributing
to a lack of. air movement. Many areas lack natural light and ventilation due to the depth and
window arrangement. Due to the age and construction of the building, many windows do not even
open to circulate air. This has resulted in a lack of ventilation, a necessary component of office
work station computer terminal arrangements. Further, the building was not environmentally
controlled, according to the Company's space planning consultant.
M
11
• Additionally, the existing sanitary facilities are inadequate and pose potential health and
I&afety threats to any building occupants. The first floor toilets have often backed -up raw sewage
into the building, which requires extensive clean-up. Ruptured steam pipes, which have never
been repaired, have resulted in a permanent lack of hot water. Typically, the sewage problems
were amplified during the winter months and rainy weather. Furthermore, the building, as it is
currently configured, does not meet minimum standards setforth in the Americans With Disabilities
Act (ADA) of 1991.
Qbsoiescence
The RPA as a whole suffers from economic and functional obsolescence. The Washington
National facilities, since their original construction, have been under single ownership. The local
and regional market for large single use property has narrowed. Mixed use (retail, office, service)
or multi -tenant residential developments have been increasingly utilized in recent years in order
to allow for the redevelopment of large sites such as this one.
Development plans and concepts for larger, single user office/commercial facilities and
z: Qompiexes have shifted over the years. There is a limited demand for single -use structures over
300,000 square feet. As many industries and businesses have downsized operations or
consolidated operations, the market for large complexes has narrowed. As a result, many
complexes have been considered for mixed use or multi -use developments. Redevelopment often
entails adaptive re -use of existing facilities, or partial/total demolition of existing facilities, as in this
case.
Over the last decade, the economy of the Chicago metropolitan region has experienced
structural changes which has caused the loss of large office and/or industrial users. For example,
Evanston and other northern suburbs have lost many larger such users including the recent
departures of Mark Controls, Rust-Oleum, Bell and Howell, and AT&T.
Adaptive commerciallindustrial reuse of large, single user facilities has worked best in
buildings that roughly range from 150,000 to 300,000 square feet, according to local brokers.
Qany larger facilities have had to be razed in order to sustain redevelopment.*
40
12
The Washington National building has been rendered obsolete even though the compano
continued to occupy a significant portion of the building prior to its recent relocation. Over th*
years, the company has had to deal with the building's obsolescence but not in a very successful Is
manner. The economic incentives and developer pro forma standards have not had to meet the
test of the market place because Washington National had rented some of the areas within the
structure (on Church Street) to related entities or utilized other advantageous terms associated
with the leases. Lower standards of improvements have therefore likely been more acceptable
to the building's occupants. Washington National had made decisions over the years to continue
to utilize the building for its various divisions and there were numerous changes in set-up and
layout. The cost (or appropriateness) of improvements that were undertaken were not dictated by
market factors. Rather, the building was being transformed into a variety of different types of uses
and configurations without regard to market/development guidelines or standards, as ownership
transferred corporate divisions throughout the building.
According to real estate brokers, the building suffers from many conditions that contribute
to its obsolete character. Problematic by current development standards, this building was
la
originally designed and continued to evolve as a facility for a larger, corporate user (particularly,
a single user). The needs of office tenants in general have changed over time. It was determined
by various consultants that it would cost at least $20+ million to improve the building utilizing
today's standards. The relative cost of occupying space in this building was unacceptably high
and the company was desirous of more rational housing costs in which to operate, and the building
was determined to be too outdated for Washington National's current and future operations.
Problems encountered during the last five (5) years of trying to renovate or sell the building
include:
(1) Washington National experienced ongoing financial difficulties during this period,
and was under pressure to become profitable. On an annual basis, many capital
requirements of the building were clearly growing beyond their efficiency. The
effective age of the building had reached .the point where major investent was
necessary to maintain the building as a viable headquarters housing option; at the
13
• same time, as Washington National was downsizing and reviewing its internal
. housing needs, longer -term capital investments were deferred until a comprehensive
decision could be made. The depreciating internal systems had contributed to
certain negative perceptions. about -the building, particularly from the perspective of
the new managing agent hired to manage the building.
(2) During the period between 1983-89, a marked downsizing of employees was
occurring and the company hierarchy decided to review its options with respect to
space. It was determined internally that, due to a combination of factors, the facility
could not potentially lend itself to reconfiguration to allow for leasable space (other
than along Church Street) or for any multi -tenant purposes. The company had
already concluded that it only needed approximately 175,000 s.f. to run an efficient
operation.
(3) It was similarly apparent that outside experts were needed to evaluate the
company's space needs and the aged condition of the structure to confirm whether
• the company could stay and run an efficient operation. An architectural firm along
` with the managing agent concluded that the costs for renovating the facility to
t
current market and zoning standards would be at least $20+ million. The following
were listed as primary problems with the facility:
(a) The building has a very large, sprawling footprint and had 15 separate
additions/renovations over a 50+ year period, making it difficult to modernize,
subdivide or reconfigure towards smaller users (including Washington
National's reduced needs).
(b) Original and deteriorating material and interior systems (plumbing, mechani-
cal, ventilation, etc.) have contributed to overall foundation problems, safety
concerns, comfort issues, and prohibitive cost expectations when contem-
plating renovations ordemolition. References made regarding inadequacies
in these systems with respect to current building codes also were cause for
90 concern.
14
(c) Specifically, there are reported costly environmental, fire prevention, and*
electrical/ventilation deficiencies in the structure which would have had to be'
dealt with sooner or later, as well as adherence to ADA regulations recently •
instituted.
(4) The interior parking garage had elicited a mixed reaction on the part of existing and
potential users, since it occupies a large amount of space and was part of the
original construction ofthe 1620-1630 Chicago Avenue building 60+ years ago. The
2nd and 3rd floors of the garage have been condemned according to company
officials and, therefore, have rendered it functionally obsolete and inefficient. This
location has prevented a natural flow throughout the building from front to back and
side to side;
(5) Today's smaller, mid -size and larger commercial/office tenants often require more
access, while the building's location (in a downtown area away from major
transportation arteries) does not help distribution -oriented tenants; and •
(6) Today's tenants also are desirous of office exterior facades which have been uplifted
and updated — the subject building cannot accommodate most of these require- •
ments (due in part to the high costs associated With such improvements and the
nature of the original design). Areas within the Washington National building that
have received any investment and upgrading are nonetheless functionally obsolete
due to the departure of the firm. The improvements made in both the executive and
ground floor/lobby level are geared to the needs of the specific original user.
According to real estate brokers, excessive investment would be needed in order to
make the complex marketable to other potential tenants in the current marketplace
environment and, indeed, no amount of investent may be sufficient to upgrade the
building to current market standards.
•
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15
• The building itself suffers from an outdated facade and is considered "depreciating" within
Ole marketplace. It is also regarded as difficult to modify in that the structure is too rigid to
accommodate flexible space users. Brokers felt that the building did not conform to a potential
user's idea of a modem image, particularly those users looking for a class "A" office location in
downtown Evanston.
When the company originally sent out approximately thirteen (13) RFP's to firms for
potentially redeveloping or purchasing the site for commercial/retail purposes, and then to nine(9)
companies for residential redevelopment possibilities, only two (2) formal responses came back.
A survey of those firms contacted is forthcoming.
Deleterious Land Use or Layout
Byvirtue ofthe building's size and configuration, the structure in which Washington National
conducted the majority of its operations for over seventy (70) years could no longer be more
economically used unless clearance took place. Also, site development and Washington National
r xpansion overtheyears had resulted in discontinuous and irregularfloor patterns and "makeshift"
k ccess points within the building. The floor plan and overall layout at the time the company was
downsizing was problematic in that large divisions could not function well in the same location and
departments had difficulty working in conjunction with one another, according to the architect hired
to resolve such issues.
There are at least three (3) public access entrances on the 360,000 s.f. building. Existing
tenants along Church Street had access from the building as well as street access, all of which
likely contributed to security issues and conflicting patterns of employee flows. The parking garage
was very problematic in that its system was outdated and required elevator transport for cars once
inside the structure which periodically caused back-ups from the Chicago Avenue R.O.W. A
skybridge was constructed in 1974 to connect Washington National with the 1603 Orrington
Building, purchased by Washington National in the early 1970's. The location of the skybridge and
e ensuing worker traffic flow between buildings contributed to confusing layouts within the
ructUre. Most of the interior floor systems had to make due with various additions and changes
90stantly in progress due to the company policy of shifting divisions around to fill -up the space.
16
The location of the company washrooms, elevators, fire escapes, etc. were all positioned*
to address single user occupancy; if the building were to be marketed towards multi -tenant uses,*
access to each of these areas would be difficult and expensive to improve.
The interior of the Washington National building exhibits many examples of deferred
maintenance and areas of depreciating effects. Old rusted piping, water damaged walls and floors,
cracked and peeling ceilings, roaches, soiled carpeting and floors, wallpaper and paint peeling,
rusted fire escapes, antiquated elevators, broken glass, weathered roof, duct system, etc. were
present during site visits.
As previously noted, the company had used limited resources toward improving or
maintaining the building since 1983, ten (10) years prior to the company vacating the site. The
agent hired to manage the building convinced the company that a decision had to be made about
the future of the building because they found it difficult to manage such a facility in its depreciating
condition.
The exterior site improvements on the Washington National property show evidence of •
depreciation. There are cracked and broken sidewalks, driveways, alleyways, paving and curbing
in ail the various perimeter parking areas and areas with vegetation growing in them. There is
graffiti at certain locations on the exterior, the City has cited the owner for this condition. On the
north side of the building, the storefront/office space has depreciating facades due to sign
removals, rust, and aged window treatments.
On the building, metal window mullions and overhead loading dock doors show evidence
of paint deterioration, rusting and peeling. Windows have been boarded up in some locations and
are bowing out. The adjacent buildings on Davis Street are also depreciating due to their aged
condition.
•
a
17
erloration-
In the proposed RPA, the facility exhibited deterioration whereby major rehabilitation of
various structural elements such as exterior wails, roofs and foundation was warranted. Various
systems exhibit, to a significant extent, a need for rehabilitation or removal. Some of these
elements are in need of repair due to age, previous fires, decay, neglect or misuse to such an
extent as to warrant their removal and cause replacement to protect the public health, safety,
welfare or property values.
The exterior roofs of the majority of the entire facility have experienced structural problems
resulting in consistent leaking, standing water, pressure from equipment on top of roofs and poor
pitching. In most downpours or consistent rainy periods, the building experiences much seepage
and water tends to build up in areas such as the elevator shafts, elevator pits, docks and basement
areas, causing severe backups and replacement of wiring. Structural roof and wall deficiencies
have also contributed to water coming down pipes which break the ceiling and asbestos
surrounding the pipes.
• As referenced in the minimum code violations factor, the parking garage (incorporating a
s ground floor, two (2) additional floors, and a roof top parking) has been condemned due to
structural deterioration.
•
00
18
VI. OVERALL ASSES MENT OF AREA QUALIFICATIONS •
-The proposed RPA is considered to be an eligible TIF District with respect to its blighted *I
condition. Conditions existthroughout the area which when considered as a whole, will qualify the
proposed RPA under Section 11-74.4-3 ofthe Tax Increment Allocation Redevelopment Act of the
State of Illinois. The Washington National facility, representing nine (9) of the fifteen (15) parcels
in the proposed RPA, will also qualify on its own, based upon the degree of deterioration and
obsolescence occurring within the facility.
As set forth in the narrative and maps provided herein, the proposed RPA meets the
"blighted": requirements of the Act. The following blighted characteristics are distributed
throughout the proposed RPA: (1) Age, (2) Presence of Structures Below Minimum Code
Standards, (3) Excessive Vacancies, (4) Lack of Ventilation, Light and Sanitary Facilities, (5)
Obsolescence, (6) Deleterious Land Use and/or Layout, (7) Depreciation of Physical Maintenance,
and (8) Deterioration. We are continuing to review the potential for other characteristics as factors
for this proposed RPA.
The combination of these factors impede the development of the property, specifically the
Washington National facility, by inhibiting its adaption to today's users. The obsolescence, age
and deleterious layout of the building itself, coupled with the depreciation and vacancy currently
present on the site do not make it a viable location for potential users. These factors combined
have resulted in the recent vacancy of the building, which already is resulting in a significant loss
of property tax revenue and employment opportunities for the City.
City intervention and the establishment of a TIF District on the property can reasonably be
expected to halt further decline of the property and serve as a conduit for substantial private
investment and development.
mprwashtif.qua •
102093
19
•
•
� EXHIBIT 1
• BOUNDARY MAP
SENT BY • CAPA
9-37-93
8: 401ZM : 2 751858i
3124-:- gos2: a m .
WASHINGTON
;NATIONAL •
TIF / RQA
BOUNDARY MAP,
CHURCHSST. �.......�.......................■...:
008 009
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011
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014
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DAVIS
I
KANE, MC KENNi
ASSOCIATES, INC.
NOT To sc"t
,130 NORTH WACKEA OR1VE
;SUITE lsoo 1
:CMJCAW, IL 60606 �
EXHIBIT 3
PARCEL IDENTIFICATION NUMBERS
` •
Exhibit 3
Parcel
Identification No_
1992 EA V CountyCgunty Class
11-18-306-008
Washington National
239,912
11-18-306-009
Washington National
683,315
11-18-306-010
Washington National
61,824
11-18-306-011
Washington National
61,824
11-18-306-012
Washington National
1,588,717
11-18-306-013
Washington National
1,514,644
11-18-306-014
Washington National
1,304,888
11-18-306-015
Washington National
1,222,571-
•
11-18-306-016
Washington National
896,705
•
11-18-306-021
Robert Koch
314,866
11-18-306-022-8001
Exempt
Exempt
11-18-306-022-8002
NBD Bank
74,974
11-18-306-026
Exempt
Exempt
11-18-306-029
NBD Bank
228,812
11-18-306-030
Grove Sherman
104,709
•