HomeMy WebLinkAboutResolutions - 1985.06.27 - 11171June 27, 1985
2630E
MISCELLANEOUS RESOLUTION NO. 852o4
RE: ECONOMIC DEVELOPMENT GROUP
RESOLUTION APPROVING PROJECT PLAN
(THE CORNERS SHOPPING CENTER PROJECT)
BY: PUBLIC SERVICES COMMITTEE. JAMES EDWARD LANNI, CHAIRMAN
TO: THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Mr. Chairman, Ladies and Gentlemen:
WHEREAS, The Economic Development Corporation of the
County of Oakland (the "EDC") has recommended that this Board of
Commissioners approve the Project Plan required by the Economic
Development Corporations Act, Act No. 338 of the Michigan Public
Acts of 1974, as amended (the "Act") for The Corners Shopping
Center Project, a copy of which Project Plan is attached hereto
as Exhibit A (the "Project Plan"); and
WHEREAS, the EDC's recommendation to this Board of
Commissioners was based upon its determinations that the Project
is reasonable and necessary to effectuate the purposes of the
Act, that the Project Plan prepared in connection with the
Project satisfies all of the requirements of Section 8 of the Act
regarding project plans, that the persons who will be active in
the management of the project for at least one (1) year after the
projected date of the County Board of Commissioner's approval of
the Project Plan will have sufficient ability and experience to
manage the Plan properly, and that the proposed method of
financing the Project is feasible and a bond purchaser's
commitment has been obtained; and
WHEREAS, on June 11 , 1985, the governing body of
Southfield Township, Oakland County, Michigan, also approved the
Project Plan; and
WHEREAS, on „Tiane 27 1985. this Board of
Commissioners held a public hearing to consider whether the
None. (0)
Doyon, Law, Price, (3)
None.
Project Plan constitutes a public purpose as contemplated by the
Act: and
WHEREAS, this Board of Commissioners, foliowincf such
public hearing and its review of the Project Plan, concurs
determinations of the EDC with respect thereto;
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF
COMMISSIONERS OF THE COUNTY OF OAKLAND, as follows:
I. The Project Plan, in the form attached hereto as
Exhibit A, be and is hereby determined to constitute a public
purpose as contemplated by the Act.
2. The Project Plan be and is hereby approved.
3. The EDC be and is hereby authorized to take such
steps as are necessary to implement the Project and the financing
thereof by the issuance of revenue bonds or notes.
4. The County Clerk be and is hereby directed to
provide four certified copies of this resolution to the Assistant
Secretary of the Board of the EDC.
The Public Services Committee. by James Edward Lanni,
Chairman, moves for adoption of the foregoing resolution.
PUBLIC SERVICES COMMITTEE
VE THE,OPIEG ,,r'ING RESOLUTION
YEAS: Members: Lanni, McConnell, McDonald, McPherson, Moffitt, Moore,
Nelson, Olsen, Page, Perinoff, Pernick, Rewold, Skarritt, Webb, WIcox, Aaron,
Caddell, Cal --'-- " - z _ (24)
NAYS: Members:
ABSENT: Members:
ABSTENTIONS: Members:
RESOLUTION DECLARED ADOPTED:
Lynn D. Allen
County Clerk
STATE OF MICHIGAN)
) SS.
COUNTY OF OAKLAND)
I hereby certify that the foregoing is a true and
complete copy of a resolution adopted at a regular meeting of the
Board of Commissioners of the County of Oakland. Michigan held on the 27th d ay o f June 1985, the original of which is on
file in my office. Public notice of said meeting was given
pursuant to and in compliance with Act No 267 of the Michigan
Public Acts of 1976, as amended.
Lynn D. Allen
County Clerk
Dated: June 27, 1985
Exhibit A
THE ECONOMIC DEVELOPMENT CORPORATION
OF THE COUNTY OF OAKLAND
Oakland County, Michigan
MICHAEL AND MARY LOUISE LAURENCELLE Project
"The Corners Shopping Center Project"
PROJECT FLAN
CONTENTS
1. Summary Description of Project (Page 2)
2. Project Plan Certification by Company (Page 3)
3. Statutorily Required Information (Page 4)
4. Exhibits
"A" - Project Area Legal Description
"B" - Bond Purchaser's Commitment Letter
"C" - Company Certificate Regarding "Prevailing Wages"
- Company Certificate Regarding Transfer of
Employment
Other
M-315E
PROJECT PLAN
SUMMARY DESCRIPTION OF
MICHAEL AND MARY LOUISE LAURENCELLE PROJECT
"The Corners Shopping Center Project"
OWNER OF PROJECT: by the entireties
c/o Laurencelle & Associates, Inc.
17400 W. 13 Mile Road, Birmingham, MI 48009
CONTACT PERSON: (Name, address, telephone number)
Michael Laurencelle
17400 W. 13 Mile Road
Birmingham, MI 48009 (313) 258-6200
LOCATION OF PROJECT: (Local municipality)
Southfield Township, Michigan
PROJECT AREA/DISTRICT AREA: See Exhibit A
NATURE OF PROJECT: Acquisition of 8.07 acres of land and construction of
a retail shopping center of 106,115 sq. ft.
EMPLOYMENT CREATED OR RETAINED: 300 -350 permanent jobs
TOTAL PROJECT COST: 56,300,000 (approx,)
BONDS TO BE ISSUED: $6,300,000
BOND PURCHASER: The Ohio Company (supported by a collateralized
letter of credit issued by Transohio Savings Bank)
DATE AND EXPIRATION DATE OF BOND PURCHASE COMMITMENT:
Commitment Date: May 6, 1985
Expiration Date: August 1, 1985
Michael Laurencelle and Mary Louise Laurencelle, tena7t
-2 •nn•n
By:
PROJECT PLAN CERTIFICATION
THIS PROJECT PLAN WAS PREPARED FOR THE
ECONOMIC DEVELOPMENT CORPORATION OF THE COUNTY
OF OAKLAND IN ACCORDANCE WITH THE REQUIREMENTS
OF THE ECONOMIC DEVELOPMENT CORPORATIONS ACT,
ACT NO. 338 OF THE MICHIGAN PUBLIC ACTS OF
1974, AS AMENDED.
THE UNDERSIGNED HAS PROVIDED ALL OF THE
INFORMATION CONTAINED HEREIN AND HEREBY
CERTIFIES AS TO THE ACCURACY AND VALIDITY OF
SUCH INFORMATION AS OF THIS DATE.
THE UNDERSIGNED UNDERSTANDS THAT THIS PROJECT
PLAN IS STATUTORILY REQUIRED AND, IF IT
CONTAINS ANY MATERIAL MISREPRESENTATION OR
INACCURACY, COULD RESULT IN THE INVALIDATION
OF THE ECONOMIC DEVELOPMENT CORPORATION
PROCEEDINGS REGARDING THE PROJECT TO WHICH THE
PROJECT PLAN PERTAINS.
MICHAEL and MARY LOUISE LAURENCELLE
Dated: May 9, 1985
-3
PROJECT PLAN
STATUTORILY REQUIRED INFORMATION REGARDING
MICHAEL and MARY LOUISE LAURENCELLE PROJECT
"The Corners Shopping Center Project"
I. THE LOCATION AND EXTENT OF EXISTING STREETS AND
OTHER PUBLIC FACILITIES WITHIN THE PROJECT DISTRICT AREA: THE
LOCATION, CHARACTER, AND EXTENT OF THE CATEGORIES OF PUBLIC AND
PRIVATE LAND USES NOW EXISTING AND PROPOSED FOR THE PROJECT AREA,
INCLUDING RESIDENTIAL. RECREATIONAL, COMMERCIAL, INDUSTRIAL,
EDUCATIONAL, AND OTHER USES; AND A LEGAL DESCRIPTION OF THE
PROJECT AREA:
There are no existing streets or other public facilities within the pro-
ject district area. The project district area is bounded by Southfield
Road on the west, W. 13 Mile Road on the south and private property on
the east and north.
Prior to commencement of the project (acquisition of 8.07 acres of land
and the construction of a 106,115 sq.ft. retail shopping center), the pro-
ject area was vacant land. At present, the project area is completely
cover ed by tbe 106,115 sq. ft. retail center and the adjacent parking landscaping. andscaping. Legal description of Project Area attached as Exhibit A.
II. A DESCRIPTION OF EXISTING IMPROVEMENTS IN THE
PROJECT AREA TO BE DEMOLISHED, REPAIRED. OR ALTERED; A
DESCRIPTION OF REPAIRS AND ALTERATIONS; AND AN ESTIMATE OF THE
TIME REQUIRED FOR COMPLETION: Not applicable.
III. THE LOCATION, EXTENT. CHARACTER, AND ESTIMATED
COST OF THE IMPROVEMENTS, INCLUDING REHABILITATION CONTEMPLATED
FOR THE PROJECT AREA, AND AN ESTIMATE OF THE TIME REQUIRED FOR
COMPLETION:
The project involved the acquisition of 8.07 acres of land in the north-
east corner of Southfield Road and Thirteen Mile Road in Southfield Town-
ship. Construction of the project commenced in the fall of 1983 and
the shell of the building was completed by the spring of 1984. Tenant
finish work commenced in the spring of 1984 and is expected to be
completed by September of 1985.
The estimated costs of the project are:
Land $ 784,499
Site Work 726,831
Architectural & Engineering 200,914
Building Construction & Tenant Finish 3,465,810
Construction Period Interest & Taxes 487,450
Issuance Costs 335,120
Leasing Commission & Org. Costs 187,410
Contingencies 111,966
Total $6,300,000
IV. A DESCRIPTION OF THE CONSTRUCTION OR STAa 7S 07
CONSTRUCTION PLANNED, AND THE ESTIMATED TIME OF COMPLETION CF
EACH STAGE:
The construction of the project has continued in one continuous
construction phase commencing in 1983. Construction of the shell
commenced in the fall of 1983 and was completed in the sprin of
1984. Tenant finish work began in the spring of 1984 and will be
completed in September of 1985.
V. A DESCRIPTION OF THE PARTS OF THE PROJECT AREA TO BE
LEFT AS OPEN SPACE AND THE USE CONTEMPLATED FOR THE SPACE:
All of the project area will be covered by the shopping center,
required parking and landscaping.
VI. A DESCRIPTION OF PORTIONS OF THE PROJECT AREA WHICH
THE ECONOMIC DEVELOPMENT CORPORATION OR THE COMPANY DESIRES TO
SELL, DONATE, EXCHANGE OR LEASE TO OR FROM THE MUNICIPALITY AND
THE PROPOSED TERMS:
Not applicable.
- 5 -
VII. A DESCRIPTION OF DESIRED ZONING CHANGES AND
CHANGES IN STREET, STREET LEVELS, INTERSECTIONS AND UTILITIES:
The project area was zoned B-2 (a permissible zoning for a shopping
center) pursuant to a Consent Judgment entered in the Oakland County
Circuit Court on December 14, 1982 (Acacia Park Cemetery Association
and Michael Laurencelle vs. Southfield Township, Case No, 61-2')/94-c
The only required changes in streets or street levels were the
construction of "flare" lanes on both Southfield Rd. and W. 13 Mile
Road.
VIII. A DESCRIPTION OF THE PROPOSED METHOD OF FINANCING
THE PROJECT, INCLUDING ATTACHMENT OF A COPY OF THE BOND
PURCHASER'S COMMITMENT LETTER:
The Ohio Company, as Underwriter, intends to purchase $6,300,000 of
EDC bonds for this project and to market the bonds to the public.
This public offering will be supported by the availability of a
collateral-backed letter of credit issued by Transohio Savings Bank.
Copy of bond purchaser's commitment letter attached as
Exhibit B.
IX. A STATEMENT REGARDING THE PAYMENT OF PREVAILING
WAGE AND FRINGE BENEFIT RATES AS DETERMINED PURSUANT TO ACT NO.
166 OF THE MICHIGAN PUBLIC ACTS OF 1965, AS AMENDED (REGARDING
WAGES ON STATE CONTRACTS):
See Exhibit C.
- 6 -
X. A LIST OF PERSONS WHO WILL MANAGE OR BE ASSOCIATED
WITH THE MANAGEMENT OF THE PROJECT FOR A PERIOD OF NOT LESS THAN
(ONE) YEAR FROM THE DATE OF APPROVAL OF THE PROJECT PLAN:
Michael Laurencelle
17400 W. 13 Mile Road
Birmingham, Mi 48009
(313) 258-6200
XI. DESIGNATION OF THE PERSON OR PERSONS, NATURAL OR
CORPORATE, TO WHOM THE PROJECT IS TO BE LEASED, SOLD OR CONVEYED
AND FOR WHOSE BENEFIT THE PROJECT IS BEING UNDERTAKEN, TO THE
EXTENT THAT INFORMATION IS PRESENTLY AVAILABLE:
The project has been leased to the entities set forth on the
attached Exhibit E.
XII, IF THERE IS NOT AN EXPRESS OR IMPLIED AGREEMENT
WITH A PERSON OR PERSONS, NATURAL OR CORPORATE, THAT THE PROJECT
WILL BE LEASED. SOLD, OR CONVEYED TO THOSE PERSONS. THE
PROCEDURES FOR BIDDING FOR THE LEASING, PURCHASING OR CONVEYING
OF THE PROJECT UPON ITS COMPLETION:
See Item XI above.
XIII. ESTIMATES OF THE NUMBER OF PERSONS RESIDING IN
THE PROJECT AREA AND THE NUMBER OF FAMILIES AND INDIVIDUALS TO BE
DISPLACED. IF OCCUPIED RESIDENCES ARE DESIGNATED FOR ACQUISITION
AND CLEARANCE, INCLUDE A SURVEY OF THE FAMILIES AND INDIVIDUALS
TO BE DISPLACED, INCLUDING THEIR INCOME AND RACIAL COMPOSITION, A
STATISTICAL DESCRIPTION OF THE HOUSING SUPPLY IN THE COMMUNITY,
INCLUDING THE NUMBER OF PRIVATE AND PUBLIC UNITS IN EXISTENCE OR
UNDER CONSTRUCTION, THE CONDITION OF THOSE IN EXISTENCE, THE
NUMBER OF OWNER-OCCUPIED AND RENTER-OCCUPIED UNITS, THE ANNUAL
RATE OF TURNOVER OF THE VARIOUS TYPES OF HOUSING AND THE RANGE OF
RENTS AND SALE PRICES, AN ESTIMATE OF THE TOTAL DEMAND FOR
- 7 -
HOUSING IN THE COMMUNITY, AND THE ESTIMATED CAPACITY OF PRIVATE
AND PUBLIC HOUSING AVAILABLE TO DISPLACED FAMILIES AND
INDIVIDUALS:
Not applicable. No people presently reside in tie
Project Area, no families or individuals will be displaced by the
Project, and no residences are located in the Project Area.
XIV. A PLAN FOR ESTABLISHING PRIORITY FOR THE
RELOCATION OF PERSONS DISPLACED BY THE PROJECT IN NEW HOUSING IN
THE PROJECT AREA:
Not applicable.
XV. PROVISION FOR THE COSTS OF RELOCATING PERSONS
DISPLACED BY THE PROJECT AND FINANCIAL ASSISTANCE AND
REIMBURSEMENT OF EXPENSES, INCLUDING LITIGATION EXPENSES AND
EXPENSES INCIDENT TO THE TRANSFER OF TITLE, IN ACCORDANCE WITH
THE STANDARDS AND PROVISIONS OF THE FEDERAL UNIFORM RELOCATION
ASSISTANCE AND REAL PROPERTY ACQUISITION POLICIES ACT OF 1970, 42
U.S.C. 4601 TO 4655:
Not applicable.
- 8 -
XVI. A PLAN FOR COMPLIANCE WITH ACT NO. 227 OF TEE
MICHIGAN PUBLIC ACTS OF 1972, WHICH PERTAINS TO Paavi7ING
FINANCIAL ASSISTANCE, ADVISORY SERVICES AND P.7 7.MBURSEMENT 07
CERTAIN EXPENSES TO DISPLACED PERSONS:
Not applicable.
XVII. OTHER MATERIAL AS THE ECONOMIC DEVELOPMENT
CORPORATION, LOCAL PUBLIC AGENCY, OR GOVERNING BODY CONSIDERS
PERTINENT:
Not applicable.
EXHIBIT A - LEGAL DE S CRIPTION
Land in the Township of Southfield, Oakland County, Michian,
to wit;
Part of the Southwest 1/4 of Section 1,
Town 1 North, Range 10 East, Southfield
Township, Oakland County, Michigan, being
more particularly described as commencing
at the Southwest corner of said section;
thence due North 60.00 feet along the West
line of Section 1, thence due East 60.00
feet to a point of beginning; thence due
North 440.00 feet; thence South 89 degrees
55 minutes 24 seconds East 440.00 feet;
thence due South 100.00 feet; thence South
89 degrees 55 minutes 24 seconds East 615.00
feet; thence due south 340.00 feet; thence
North 89 degrees 55 minutes 24 seconds West
1055.00 feet to the point of beginning,
except the East 150 feet thereof.
EXH IB IT
MemOef New York Stock Excnange
255 East Brown Street
Suite 100
Birn-vrl;tam Michlgar, 48011
313/642-1800
May 6, 1 985
Mr. Michael Laurencelle
Laurencelle & Associates, Inc.
1700W. 13 Mile Road
Birmingham, Michigan 43009
RE: $6,300,000
The Economic Development Corporation
of the County of Oakland
Economic Development Revenue Bonds
(The Corners Project)
Dear Mr. Laurencelle:
This is to advise you that The Ohio Company intends to purchase
the above referenced Bonds which are to be issued by the Economic
Development Corporation of the County of Oakland. The net proceeds
from this financing are to be used to acquire and construct a shopping
center which is located in Southfield Township.
It is understood that we will receive at the time of closing the
unqualified legal opinion of Axe & Schwartz, as to the tax exemption on
the Bond issue and a collateralized letter of credit form Transohio Savings
Bank, as to the timely payment of principal and interest on the Bonds.
Our commitment shall be further subject to continuing completion, amendment
and negotiation of the terms of the issue.
In accordance with the foregoing, The Ohio Company will be willing
to execute appropriate legal documents to consummate this financing following
the final agreement of the terms and conditions among involved parties.
Charles E. Ch ndler, Ill
Vice President
CEC/gab
By:
Exhibit C
COMPANY CERTIFICATE REGARDING
PAYMENT OF PREVAILING WAGES
(MICHAEL & MARY LOUISE Project) LAuRiLi,TOLLLE
"The Corners ShopeinQ' Center Project"
The undersigned, Michael Laurencelle
(the "Company"), hereby certifies
to The Economic veveiopment corporation of the County of Oakland
(the "EDC") as follows:
1. This Certificate is made and based upon the best of
the Company's knowledge and belief, only after thorough
investigation and discussion with all owners of the Company and
others who might have knowledge regarding the subject matter.
2. The Company understands that this Certificate is a
statutory requirement under the Economic Development Corporations
Act, Act No. 338 of the Michigan Public Acts of 1974, as amended
(the "Act") which, if improperly made or based upon any material
misrepresentation or inaccuracy, might invalida te the proceedings
regarding the Michael and Mar Louise Laurencelle
Project (the "Project") pursuant to which the EDC expects
ultimately to issue its limited obligation economic development
revenue bonds to finance all or part of the Project.
3, Within the meaning and intent of Section 8(4)(h) of
the Act, all persons performing work on the construction of the
Project will be paid the prevailing wage and fringe benefit rates
for the same or similar work in the locality in which the work is
to be performed, as determined pursuant to Act No. 166 of the
Michigan Public Acts of 1965, as amended.
MICHAEL and MARY LOUISE LAURENCELLE
Dated: May 9 , 1985
M-346E
Exhibit D
COMPANY CERTIFICATE REGARDING
TRANSFER OF EMPLOYMENT
(MICHAEL & MARY LOUISE Project)
LACRENMELLE
"The Corners Shopping Center Project"
The undersigned, Michael Laurencelle
(the "Company"), hereby certifies
to The Economic Development Corporation of the County of Oakland
(the "EDC") as follows:
1. This Certificate is made and based upon the best of
the Company's knowledge and belief, only after thorough
investigation and discussion with all owners of the Company and
others who might have knowledge regarding the subject matter.
2. The Company acknowledges that this Certificate will
be employed by the EDC as the sole basis for the EDC's
certification to the Board of Commissioners of the County of
Oakland as to transfer of employment as required by Section 8(3)
of the Economic Development Corporations Act, Act No. 338 of the
Michigan Public Acts of 1974, as amended, (the "Act").
3. The Company understands that the EDC's Certification
to the Board of Commissioners of the County of Oakland is a
statutory requirement which, if improperly made or based upon any
material misrepresentation or ;nacouracy, might invalida/e the proceedings regarding the jilichaei and Mary Louise Laurenceile
Project (the "Project") pursuant to which the EDC expects
ultimately to issue its limited obligation economic development
revenue bonds to finance all or part of the Project.
4. As of the date hereof, the Project shall not have
the effect of transferring employment of more than 20 full-time
persons from a municip,olittiy .(As that term is defined in the Act)
of this State to outfield fownsnip , Michigan, the
municipality in which the Project will be located.
5. The Company agrees that during the life of the bonds
proposed to be issued by the EDC to finance the costs of the
Project for the Company, the Company will not permit a lease or
sublease in connection with the Project which would have the
effect of transferring, as to such lease, sublease or group of
leases or subleases which are interrelated (i.e. "interrelated"
means leases negotiated as part of one set of negotiations or
leases with lessees who are related by more than 50% common
ownership), employment of more than 20 full-time persons from a
municipality of this State to Southfield Township • Michigan
unless the Company or such lessee or sublessee has first obtained
a consent to the proposed transfer of employment from the
governing body of each municipality from which employment is to
be transferred.
M-283E
EXHIBIT E - LIST OF TENANTS
Tenants
Honeybaked Ham
Bulkfood Warehouse
Border's Book Store
Martin Alpert
Four Seasons
The Bootery
T. J. Maxx
Herman's Sporting Goods
Linens and More
John Kent Men's Wear
Frames and Framing
Vacant South Face
Chatillon Chocolatier
A. L. Price
Vacant East Face
Exit Corridor
West Meter Room
East Meter Room
Area
106,115 SF
4,135
2,663
9,900
1,290
1,240
2,315
25,165
10,340
5,765
5,404
1,248
1,411
1,461
24,867
7,407
982
266
256
7 of Total
1(7n 7, J
3.90%
2.51% ci 9.33%
1.22%
1.17%
2.18%
23.71%
9.74%
5.43%
5.09%
1.18%
1.33%
1.38%
23.43%
6.98%
0.93%
0.25%
0.24%
6. The Company understands that a covenant to
effectuate the purposes of this Certificate will be included in
those covenants to be made by the Company when bonds are issued
by the EDC for the benefit of the Project.
MICHAEL and MARY LOUISE LAURENCELLE
Dated: May 9, 1985