HomeMy WebLinkAbout07-R-24 Authorizing the City Manager to Negotiate and Execute a Contract for the Purchase of Real Property Located at 430 Asbury in an amount not to exceed $2,600,0001/22/2024
7-R-24
A RESOLUTION
Authorizing the City Manager to Negotiate and Execute
a Contract for the Purchase of Real Property Located at
430 Asbury Ave. in Evanston, Illinois
WHEREAS, the City of Evanston seeks to purchase a vacant
structure at 430 Asbury Ave., Evanston, Illinois, 60202 (the “Subject Property”);
and
WHEREAS, the Subject Property will be utilized as a recreation
and children’s play space; and
WHEREAS, the City Council hereby finds and determines that the
best interests of the City of Evanston and its residents will be served by
purchasing the aforesaid Subject Property,
NOW BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF EVANSTON, COOK COUNTY, ILLINOIS:
SECTION 1: That the City Manager is hereby authorized and
directed to negotiate all necessary terms, as they may determine to be in the
best interests of the City, and which shall be approved as to form by the
Corporation Counsel, of a contract for the purchase of real property, legally
described in Exhibit A, attached hereto and made a part hereof, commonly known
as 430 Asbury Ave., Evanston, Illinois, and execute said contract.
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7-R-24
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SECTION 2: That the purchase price for the Subject Property shall
not exceed two million six hundred thousand dollars ($2,600,000).
SECTION 3: That this Resolution 7-R-24 shall be in full force and
effect from and after its passage and approval in the manner provided by law.
_______________________________
Daniel Biss, Mayor
Approved as to form:
______________________________
Alexandra B. Ruggie,
Interim Corporation Counsel
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Attest:
______________________________
Stephanie Mendoza, City Clerk
Adopted: _____J_a_n_u_a_r _y _2_2____,2024
Doc ID: 4aa3f9b9b9ae78fac1738d818e8969350ce0398d
7-R-24
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EXHIBIT A
LEGAL DESCRIPTION
PARCEL 1: LOTS 1 AND 2 (EXCEPT THAT PART OF SAID LOTS LYING EAST
OF A LINE 40 FEET WEST OF AND PARALLEL WITH THE EAST LINE OF
SECTION 25) IN BLOCK 3 IN KELLY AND O’BRIEN’S SOUTH EVANSTON
SUBDIVISION OF THE SOUTH 1/2 OF THE NORTH 1/2 OF THE NORTHEAST
1/4 OF THE NORTHEAST 1/4 OF SECTION 25, TOWNSHIP 41 NORTH,
RANGE 13 EAST OF THE THIRD PRINCIPAL MERIDIAN IN COOK COUNTY,
ILLINOIS.
PARCEL 2: THAT PART OF THE NORTHEAST 1/4 OF THE NORTHEAST 1/4
OF THE NORTHEAST 1/4 OF SECTION 25, TOWNSHIP 41, RANGE 13, EAST
OF THE THIRD PRINCIPAL MERIDIAN, IN COOK COUNTY, ILLINOIS
DESCRIBED AS FOLLOWS: COMMENCING AT THE POINT OF
INTERSECTION OF A LINE 33.0 FEET SOUTH OF AND PARALLEL WITH THE
NORTH LINE OF THE NORTHEAST 1/4 OF SAID SECTION WITH A LINE 40.0
FEET WEST OF AND PARALLEL WITH THE EAST LINE OF THE
NORTHEAST 1/4 OF SAID SECTION; THENCE SOUTH ALONG SAID
PARALLEL LINE TO A POINT ON THE SOUTH LINE OF LOT 2 IN BLOCK 3 IN
KELLY & O’BRIEN’S SOUTH EVANSTON SUBDIVISION OF THE SOUTH 1/2
OF THE NORTH HALF OF THE NORTHEAST 1/4 OF THE NORTHEAST 1/4
OF SAID SECTION; THENCE WEST ALONG SAID SOUTH LINE TO THE
SOUTHWEST CORNER OF SAID LOT 2; THENCE NORTH ALONG THE
WEST LINE OF LOTS 1 AND 2 AND BLOCK 3 IN SAID SUBDIVISION TO THE
NORTHWEST CORNER OF LOT 1 IN SAID SUBDIVISION; THENCE WEST TO
THE NORTHEAST CORNER OF LOT 15 IN BLOCK 3 IN SAID SUBDIVISION;
THENCE SOUTH ALONG THE EAST LINE OF LOTS 14 AND 15 IN BLOCK 3
IN SAID SUBDIVISION TO THE SOUTH LINE OF THE NORTH 6 2/3 FEET OF
SAID LOT 14; THENCE WEST ALONG SAID SOUTH LINE TO A POINT IN THE
WEST LINE THEREOF; THENCE NORTH ALONG THE WEST LINE OF LOTS
14 AND 15 IN BLOCK 3 AND SAID WEST LINE EXTENDED NORTH TO A
POINT ON A LINE 16.0 FEET NORTH OF AND PARALLEL WITH THE NORTH
LINE OF SAID LOT 15; THENCE EAST ALONG SAID PARALLEL LINE TO A
POINT ON A LINE 201.018 FEET (AS MEASURED ALONG SAID PARALLEL
LINE) WEST OF AND PARALLEL WITH THE EAST LINE OF THE
NORTHEAST 1/4 OF SAID SECTION; THENCE NORTH ALONG SAID
PARALLEL LINE TO A POINT ON A LINE 185.014 FEET (AS MEASURED
ALONG SAID PARALLEL LINE) SOUTH OF AND PARALLEL WITH THE
NORTH LINE OF THE NORTHEAST 1/4 OF SAID SECTION; THENCE EAST
PARALLEL WITH THE NORTH LINE OF THE NORTHEAST 1/4 OF SAID
SECTION 30.65 FEET; THENCE NORTH PARALLEL WITH THE EAST LINE
OF THE NORTHEAST 1/4 OF SAID SECTION 65.20 FEET; THENCE WEST
PARALLEL WITH THE NORTH LINE OF THE NORTHEAST 1/4 OF SAID
SECTION 1.65 FEET; THENCE NORTH PARALLEL WITH THE EAST LINE OF
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7-R-24
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THE NORTHEAST ¼ OF SAID SECTION TO A POINT ON A LINE 33.00 FEET
SOUTH AND PARALLEL WITH THE NORTH LINE OF THE NORTHEAST 1/4
OF SAID SECTION; THENCE EAST ALONG SAID PARALLEL LINE TO THE
POINT OF BEGINNING, EXCLUDING THAT PART LYING WEST OF THE
WEST LINE OF LOTS 1 AND 2 IN BLOCK 3 DESCRIBED ABOVE AS
EXTENDED NORTH, ALL IN COOK COUNTY, ILLINOIS. EXCEPTING ALSO
THAT PART OF THE ABOVE DESCRIBED PARCEL 2 FALLING WITHIN
PARCEL 1.
P.I.N.s: 10-25-203-011-0000
10-25-206-007-0000
10-25-206-008-0000
KNOWN AS: 430 ASBURY AVENUE, EVANSTON, ILLINOIS
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NEW 9 TH WARD COMMUNITY CENTER
C ITY OF E VANSTON
P ARKS , R ECREATION A ND
COMMUNITY SERVICES
New 9 th Ward
Community Center
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N EW 9 TH WARD COMMUNITY C ENTER
Business Plan
Why an 8 th Community Center?
While many could argue that investing in an 8 th community center is not necessary, the Parks and
Recreation Department is certain that an additional community center would provide, what is now
known across the country, a “third space” which is necessary for the overall well-being of all
community members. In Sociology, the third space refers to social surroundings that are separate
from our two usual social environments of home and work. There are so many positive benefits of
community recreation centers. The ability to acquire Little Beans, a popular indoor playground, café
and third space for over 13 years in the 9 th Ward, will ensure that those on the South End of Evanston
will be provided core benefits that can only be found in a community recreation center. The
acquisition of Little Beans Evanston will not only allow all families who have frequented this space for
many years to return but will provide new families with the opportunity to take part in activities that
were out of their financial reach. Families will now be able to take advantage of the City’s fee
assistance programs, allowing them additional opportunities to learn gymnastics, participate in drop-in
play and other recreational programming. Finally, the ability to grow the café in this space will provide
long-term revenues for the Department as well as workforce development opportunities for
community members throughout Evanston. The below chart illustrates the lack of amenities in the 9 th
Ward. The acquisition of this Center will close the amenities gap by far.
Evanston Community Amenities At-A-Glance
Ward Beach Community Center Parks and Rec Field House Grocery Store
1
2
3
4
5
6
7
8
9 * *
* Managed by Ridgeville Park District
December 11, 2023 3
1. S UMMARY
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N EW 9 TH WARD COMMUNITY C ENTER
Business Plan
The Parks and Recreation Department believes in the many researched benefits of Community Recreation
Centers. Those benefits include the following: Promoting Community Fitness; Increasing Educational Equity;
Supporting Youth Development; Supporting Families; Increasing Cultural Awareness by Hosting Cultural
Events; Boosting the Local Economy; Increasing Public Safety; Growing Awareness about Sustainability;
Offering Mental Health Supports; and Promoting Overall Health. Through the acquisition of this center, the
Parks and Recreation Department will accomplish these benefits through the following:
● Increased Gymnastics Programming – ability to remove participants from the waiting list and create
a second space to concentrate more on beginner gymnasts. Department will also invite former
participants of Little Beans Gymnastics Program to enroll in expanded Evanston program.
● Recreational Programming – offering catalog of programs to community members in the 9 th ward and
complete surveys of additional desired programs. All Divisions will utilize new space to offer programs
that currently have waiting lists.
● Camp – includes summer and school-day off care for kindergarten to 5 th grade.
● Drop-In Play - Based on current Little Beans operations, this play generates an excellent amount of
revenue with the exception of the summer months (June-August). During these months, Department
will offer additional early childhood development camps.
● Birthday Parties – there is an enormous demand for birthday parties. With the Ecology Center
undergoing renovations, birthday parties will continue during renovations. Department will also be able
to increase the number of gymnastics parties.
● Opening of the South Side 9 Café – initial operational hours from 6am – 2pm with increased hours
as demand increases.
● A Permanent Home for Special Recreation Programming – in the history of this Department,
Special Recreation Division programming has always been scattered across the city’s community
center. This new center will provide a dedicated space for these programs.
● Early Childhood Development Programming – with the increased demand, the drop-in play and
classroom areas will provide additional opportunities to provide a variety of programs for early
childhood development.
● Licensed Preschool – this space will allow additional subsidized preschool services on the South side
of Evanston.
● A Temporary Home for the Ecology Community Center Staff during Center Renovations – Key
Ecology Center staff will be relocated to this new Center to reduce expenses while ensuring new center
can be lucrative enough to break even or produce net positive revenues. New center also allows the
Ecology Center to continue programs at or near pre-construction levels. Animals will also be relocated
to this space.
December 11, 2023 4
2. OVERVIEW AND DESCRIPTION
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Business Plan
● Additional Special Events – catering to younger audiences and the creation of programming for
parents to enjoy time off while children are entertained in a programmed and safe space.
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N EW 9 TH WARD COMMUNITY C ENTER
Business Plan
Marketing activities: The following promotional options and opportunities provide the Department
with the best chance to promote the new Community Center.
● Media advertising (local and area newspapers, City e-newsletters, Department newsletters)
● Direct mail in water bills
● Advertisement of new programming in Parks and Recreation guides
● Direct mail and emails sent to former Little Beans customers
● Word of mouth and fixed signage across the community centers and bordering communities
● Business Districts
● Digital marketing such as social media, email marketing, etc.
SWOT Analysis:
STRENGTHS
● Expertise of current
staff
● Financial support
of City of Evanston
● Evidenced need for
additional
programs
● Limited start-up
costs for staffing
● Affordable
programs offered
on a sliding scale
● Existing customers
base
WEAKNESSES
● Altering the mindset of the
community to view earned
revenue (profitability) also
as a community good
● Perception that new
community center will be the
same as all others so why
add another
● Expectations of former
customers that all
operations will remain the
same
● Renting space vs.
purchasing space will
increase overall expenses
OPPORTUNITIES
● New programming
● City-managed 9 th
ward community
center
● Dedicated home
for Special Rec
programs
● Workforce
Development
THREATS
● Market demand
● Economy movement
● Unforeseen
repairs /equipment
replacements of building
● Loss of key staff
● Timeframe for DCFS
licensure
● Labor pool
December 11, 2023 6
3. MARKETING PLAN
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Business Plan
● Generate earned
revenue to
community good
programs
December 11, 2023 7
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N EW 9 TH WARD COMMUNITY C ENTER
Business Plan
Projected start-up costs: The table below represents one-time start-up costs to purchase all
furniture, equipment, including the technology utilized to manage all aspects of the building. Each
cost represents the total amount of all items in each of the rooms. An attachment to this plan
provides an itemization of what items exist in each of the rooms.
Room Cost Depreciati
on
Reason Remaining
Value from
Original
Total Value
today
Cafe $58,896.00 70% Purchased in 2015 30% $17,668.80
Big Beans $54,657.00 25% Purchased in 2022 75% $40,992.75
Little
Beans
$55,899.00 40% Various purchased dates
between 2015-2020
60% $33,539.40
Preschool $4,825.00 20% Purchased in 2022 80% $3,860.00
General
facility
$57,649.42 40% Various purchased dates
between 2015-2020
60% $34,589.65
Email list (16,000) $12,800.00 A business list costs $800 per thousand emails $12,800
$143,450.60
How do we fund 2024 start-up costs with additional funds for 2024/2025 contingent expenses:
$35,000 Account 415.40.4123.65515.623021 Capital Improvement Fund 2023 General
Obligation Bond Issue, Line Item for Parks Contingency.
$300,000 Utilize remaining unallocated ARPA funds to provide a cushion for rent expenses for
2024 and 2025.
December 11, 2023 8
4. FINANCIAL PLAN
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Business Plan
$200,000 Utilize $200,000 of restricted funds left in 100.41230.41230
With City Council approval, the above funds could be used for start-up costs associated with
acquiring the building and any contingent expenses that might arise due to unforeseen circumstances
for the first two years of operations.
December 11, 2023 9
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NEW 9 TH WARD COMMUNITY CENTER
Business Plan
Projected profit: The budget projections are based on the assumption that this faculty will not be under the control of the Parks and
Recreation Department and operational until late March 2024. We can expect an increase in most revenue categories in 2025. The
high season for this facility will be late Fall through late Spring.
2024
Re-Purposed Community Center First Year Projections FYI 2024
REVENUE JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC YTD
Estimated Café Sales $0 $0 $0 $15,000 $15,000 $15,000 $15,000 $15,000 $15,00
0 $15,000 $15,000 $15,000 $135,000
Drop-In Play $0 $0 $0 $20,000 $20,000 $5,000 $5,000 $5,000 $20,00
0 $20,000 $20,000 $20,000 $135,000
Gymnastics $0 $0 $0 $12,500 $12,500 $8,000 $8,000 $8,000 $12,50
0 $12,500 $12,500 $12,500 $99,000
B-Day Parties $0 $0 $0 $4,000 $4,000 $2,000 $2,000 $2,000 $4,000 $4,000 $4,000 $4,000 $30,000
Private Rentals $0 $0 $0 $1,000 $1,000 $1,000 $1000 $1,000 $1,000 $1,000 $1,000 $1,000 $9,000
Preschool $0 $0 $0 $0 $0 $0 $0 $0 $21,60
0 $21,600 $21,600 $21,600 $86,400
Camp $0 $0 $0 $6,000 $0 $0 $7600 $0 $4,000 $4,000 $4,000 $14,400 $40,000
Recreation Programs $0 $0 $0 $1,587 $1,587 $1,587 $1,587 $1,587 $1,587 $1,587 $1,587 $1,587 $14,283
Early Childhood
Dev’t. $0 $0 $0 $1,000 $1,000 $1,000 $1000 $1,000 $1,000 $1,000 $1,000 $1,000 $9.000
Special Events $0 $0 $0 $2,500 $2,500 $2,500 $2,500 $2,500 $2,500 $2,500 $2,500 $2,500 $22,500
Total Revenue: $0 $0 $0 $63,587 $57,587 $36,087 $43,687 $36,087 $83,1
87
$83,18
7
$83,18
7
$93,58
7 $580,183
E XPENSES JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC YTD
Salaries & Wages $0 $0 $3,125 $12,500 $12,500 $12,500 $12,500 $12,500 $12,5
00
$12,50
0
$12,50
0
$12,50
0 $115,625
Instructor Services $0 $0 0 $1,000 $1,000 $1,000 $1,000 $1,000
$1,00
0 $1,000 $1,000 $1,000 $9,000
Seasonal Employees $0 $0 0 $2,000 $2,000 $2,000 $2,000 $2,000 $2,00
0 $2,000 $2,000 $2,000 $18,000
Food and Beverages $0 $0 5,000 10,000 10,000 10,000 10,000 10,000
10,00
0 10,000 10,000 10,000 $95,000
Contracts $0 $0 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,00
0 $2,000 $2,000 $2,000 $20,000
Rent $21,622 $21,622 $21,622 $21,622 $21,622 $21,622 $21,622 $21,622 $21,6
22
$21,62
2
$21,62
2
$21,62
2 $259,464
Utilities $2,500 $2,500 $2,500 $2,500 $2,500 $2,500 $2,500 $2,500 $2,50
0 $2,500 $2,500 $2,500 $30,000
Internet/Phone $833 $833 $833 $833 $833 $833 $833 $833 $833 $833 $833 $833 $9,996
Clothing $0 $0 $400 $400 $400 $400 $400 $400 $400 $400 $400 $400 $4,000
Janitorial Supplies $0 $0 $400 $400 $400 $400 $400 $400 $400 $400 $400 $400 $4,000
December 11, 2023 10
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Business Plan
Recreation Supplies $0 $0 $900 $900 $900 $900 $900 $900 $900 $900 $900 $900 $9,000
Office Supplies $0 $0 $125 $125 $125 $125 $125 $125 $125 $125 $125 $125 $1,250
Total Expenses $24,955 $24,955 $36,905 $54,280 $54,280 $54,280 $54,280 $54,280 $54,2
80
$54,28
0
$54,28
0
$54,28
0 $575,335
NET INCOME $4,848
Purchase of Building Inventory (to be deducted from contingent expense fund-Appendix A) *$143,451
2025
Re-Purposed Community Center Second Year Projections January through December 2025
REVENUE JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC YTD
Estimated Café Sales $15,750 $15,750 $15,750 $15,750 $15,750 $15,750 $15,750 $15,750 $15,75
0 $15,750 $15,750 $15,750 $189,000
Drop-In Play $21,000 $21,000 $21,000 $21,000 $21,000 $5,250 $5,250 $5,250
$21,00
0 $21,000 $21,000 $21,000 $204,750
Gymnastics $13,125 $13,125 $13,125 $13,125 $13,125 $8,400 $8,400 $8,400
$13,12
5 $13,125 $13,125 $13,125 $143,325
B-Day Parties $4,200 $4,200 $4,200 $4,200 $4,200 $2,100 $2,100 $2,100 $4,200 $4,200 $4,200 $4,200 $44,100
Private Rentals $1,050 $1,050 $1,050 $1,050 $1,050 $1,050 $1,050 $1,050 $1,050 $1,050 $1,050 $1,050 $12,600
Preschool $22,680 $22,680 $22,680 $22,680 $22,680 $11,340 $11,340 $11,340 $22,68
0 $22,680 $22,680 $22,680 $238,140
Camp $0 $0 $0 $6,300 $0 $0 $7,980 $0 $4,200 $4,200 $4,200 $15,120 $42,000
Recreation Programs $1,667 $1,667 $1,667 $1,667 $1,667 $1,667 $1,667 $1,667 $1,667 $1,667 $1,667 $1,667 $20,004
Early Childhood
Dev’t. $1,050 $1,050 $1,050 $1,050 $1,050 $1,050 $1,050 $1,050 $1,050 $1,050 $1,050 $1,050 $12,600
Special Events $2,625 $2,625 $2,625 $2,625 $2,625 $2,625 $2,625 $2,625 $2,625 $2,625 $2,625 $2,625 $31,500
Total Revenue: $83,147 $83,147 $83,147 $89,447 $83,147 $49,232 $57,212 $49,232
$87,3
47
$87,34
7
$87,34
7
$98,26
7 $938,019
E XPENSES JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC YTD
Salaries & Wages $23,097 $23,097 $23,097 $23,097 $23,097 $23,097 $23,097 $23,097 $23,0
97
$23,09
7
$23,09
7
$23,09
7 $277,164
Instructor Services $3,750 $3,750 $3,750 $3,750 $3,750 $3,750 $3,750 $3,750
$3,75
0 $3,750 $3,750 $3,750 $45,000
Seasonal Employees $2,500 $2,500 $2,500 $2,500 $2,500 $2,500 $2,500 $2,500 $2,50
0 $2,500 $2,500 $2,500 $30,000
Food and Beverages $10,000 $10,000 $10,000 10,000 10,000 10,000 10,000 10,000
10,00
0 10,000 10,000 10,000 $120,000
Contracts 2,000 2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,00
0 $2,000 $2,000 $2,000 $24,000
December 11, 2023 11
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Business Plan
*Rent $22,013 $22,013 $22,013 $22,013 $22,013 $22,013 $22,013 $22,013 $22,0
13
$22,01
3
$22,01
3
$22,01
3 $264,156*
Utilities $2,500 $2,500 $2,500 $2,500 $2,500 $2,500 $2,500 $2,500
$2,50
0 $2,500 $2,500 $2,500 $30,000
Internet/Phone $833 $833 $833 $833 $833 $833 $833 $833 $833 $833 $833 $833 $9,996
Clothing $400 $400 $400 $400 $400 $400 $400 $400 $400 $400 $400 $400 $4,800
Janitorial Supplies $400 $400 $400 $400 $400 $400 $400 $400 $400 $400 $400 $400 $4,800
Recreation Supplies $700 $700 $700 $700 $700 $700 $700 $700 $700 $700 $700 $700 $8,400
Office Supplies $125 $125 $125 $125 $125 $125 $125 $125 $125 $125 $125 $125 $1,500
Total Expenses: $68,318 $68,318 $68,318 $68,318 $68,318 $68,318 $68,318 $68,318 $68,3
18
$68,31
8
$68,31
8
$68,31
8 $819,816
NET INCOME $118,203
*Represents 2% increase
December 11, 2023 12
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