File #: BILL NO. 16-112    Name:
Type: Ordinance Status: Passed
File created: 5/11/2016 In control: City Council - Regular Session
On agenda: 5/19/2016 Final action: 5/19/2016
Title: AN ORDINANCE APPROVING A PLAN FOR AN INDUSTRIAL DEVELOPMENT PROJECT FOR SUMMIT SQUARE RESIDENCE, LLC, A DELAWARE LIMITED LIABILITY COMPANY, CONSISTING OF THE CONSTRUCTION AND IMPROVEMENT OF A COMMERCIAL FACILITY FOR THE COMPANY; AUTHORIZING THE CITY OF LEE’S SUMMIT, MISSOURI TO ISSUE ITS TAXABLE INDUSTRIAL DEVELOPMENT REVENUE BONDS (SUMMIT SQUARE APARTMENTS PROJECT), SERIES 2016, IN A PRINCIPAL AMOUNT NOT TO EXCEED $36,000,000 TO FINANCE THE COSTS OF SUCH PROJECT; AUTHORIZING AND APPROVING CERTAIN DOCUMENTS; AND AUTHORIZING CERTAIN OTHER ACTIONS IN CONNECTION WITH THE ISSUANCE OF THE BONDS.
Attachments: 1. Proposed Ordinance.pdf, 2. Plan and Cost Benefit Analysis, 3. Bond Purchase Agreement, 4. Performance Agreement, 5. Lease, 6. Trust Indenture, 7. Summit Square Apartments location within PDP, 8. Summit Square Site Plan, 9. Summit Square Apartments rendering

Title

AN ORDINANCE APPROVING A PLAN FOR AN INDUSTRIAL DEVELOPMENT PROJECT FOR SUMMIT SQUARE RESIDENCE, LLC, A DELAWARE LIMITED LIABILITY COMPANY, CONSISTING OF THE CONSTRUCTION AND IMPROVEMENT OF A COMMERCIAL FACILITY FOR THE COMPANY; AUTHORIZING THE CITY OF LEE’S SUMMIT, MISSOURI TO ISSUE ITS TAXABLE INDUSTRIAL DEVELOPMENT REVENUE BONDS (SUMMIT SQUARE APARTMENTS PROJECT), SERIES 2016, IN A PRINCIPAL AMOUNT NOT TO EXCEED $36,000,000 TO FINANCE THE COSTS OF SUCH PROJECT; AUTHORIZING AND APPROVING CERTAIN DOCUMENTS; AND AUTHORIZING CERTAIN OTHER ACTIONS IN CONNECTION WITH THE ISSUANCE OF THE BONDS.

 

Body

Issue/Request:

AN ORDINANCE APPROVING A PLAN FOR AN INDUSTRIAL DEVELOPMENT PROJECT FOR SUMMIT SQUARE RESIDENCE, LLC, A DELAWARE LIMITED LIABILITY COMPANY, CONSISTING OF THE CONSTRUCTION AND IMPROVEMENT OF A COMMERCIAL FACILITY FOR THE COMPANY; AUTHORIZING THE CITY OF LEE’S SUMMIT, MISSOURI TO ISSUE ITS TAXABLE INDUSTRIAL DEVELOPMENT REVENUE BONDS (SUMMIT SQUARE APARTMENTS PROJECT), SERIES 2016, IN A PRINCIPAL AMOUNT NOT TO EXCEED $36,000,000 TO FINANCE THE COSTS OF SUCH PROJECT; AUTHORIZING AND APPROVING CERTAIN DOCUMENTS; AND AUTHORIZING CERTAIN OTHER ACTIONS IN CONNECTION WITH THE ISSUANCE OF THE BONDS.

 

Key Issues:

Northpoint Development is seeking approval of this "Chapter 100" incentive to develop the Summit Square Apartments located within the Summit Orchard development area.  The proposed project includes the development of approximately 310 multi-family market rate apartments.  The proposed incentive is almost identical to the incentive approved for the Residences at New Longview project, and the size and scope of the development project is very similar.

 

This ordinance approves the following:

 - Plan for an Industrial Development Project

 - Authorizes the City to issue industrial development revenue bonds for the project in an amount not to exceed $36,000,000

 - Authorizes the execution of a Trust Indenture, Bond Purchase Agreement, Lease Agreement, and Performance Agreement between the City and the    Company

 

Proposed City Council Motion:

I move approval of AN ORDINANCE APPROVING A PLAN FOR AN INDUSTRIAL DEVELOPMENT PROJECT FOR SUMMIT SQUARE RESIDENCE, LLC, A DELAWARE LIMITED LIABILITY COMPANY, CONSISTING OF THE CONSTRUCTION AND IMPROVEMENT OF A COMMERCIAL FACILITY FOR THE COMPANY; AUTHORIZING THE CITY OF LEE’S SUMMIT, MISSOURI TO ISSUE ITS TAXABLE INDUSTRIAL DEVELOPMENT REVENUE BONDS (SUMMIT SQUARE APARTMENTS PROJECT), SERIES 2016, IN A PRINCIPAL AMOUNT NOT TO EXCEED $36,000,000 TO FINANCE THE COSTS OF SUCH PROJECT; AUTHORIZING AND APPROVING CERTAIN DOCUMENTS; AND AUTHORIZING CERTAIN OTHER ACTIONS IN CONNECTION WITH THE ISSUANCE OF THE BONDS.

 

I move for second reading of AN ORDINANCE APPROVING A PLAN FOR AN INDUSTRIAL DEVELOPMENT PROJECT FOR SUMMIT SQUARE RESIDENCE, LLC, A DELAWARE LIMITED LIABILITY COMPANY, CONSISTING OF THE CONSTRUCTION AND IMPROVEMENT OF A COMMERCIAL FACILITY FOR THE COMPANY; AUTHORIZING THE CITY OF LEE’S SUMMIT, MISSOURI TO ISSUE ITS TAXABLE INDUSTRIAL DEVELOPMENT REVENUE BONDS (SUMMIT SQUARE APARTMENTS PROJECT), SERIES 2016, IN A PRINCIPAL AMOUNT NOT TO EXCEED $36,000,000 TO FINANCE THE COSTS OF SUCH PROJECT; AUTHORIZING AND APPROVING CERTAIN DOCUMENTS; AND AUTHORIZING CERTAIN OTHER ACTIONS IN CONNECTION WITH THE ISSUANCE OF THE BONDS.

 

Background:

On February 11, 2016, a Conceptual Presentation was made to the City Council by Northpoint Development, seeking direction to proceed with preparing a Chapter 100 incentive request for the multi-family apartment complex proposed for the Summit Orchard development (north of Chipman Road, west of Ward Rd, adjacent to the rail road).  Council reached consensus to direct staff to proceed with the incentive request and development process to bring the project forward for consideration.

 

At the May 19th City Council meeting the Council will consider the Preliminary Development Plan (PDP) for the Summit Orchard Development.  Should the PDP be approved, Northpoint Development would submit a Final Development Plan for their "Summit Square Apartments Project" which may be considered and approved administratively should all codes and standards be met, and no modifications or waivers be requested.  At this time the Final Development Plan for the Summit Square Apartments has not been submitted for review and approval.

 

Impact/Analysis:

See attached cost benefit analysis

 

Timeline:

Start: ___

Finish: ___

 

Other Information/Unique Characteristics:

[Enter text here]

 

Presenter

Presenter: Rich Wood, Gilmore & Bell, PC, City's Economic Development Legal Counsel

 

Recommendation

Recommendation: Staff recommends approval

 

Committee Recommendation

Committee Recommendation: [Enter Committee Recommendation text Here]