NUMB:
980208
VERS:
SUBSTITUTE 1
REF:
971894
XXBY:
ALD. HENNINGSEN
TITL:
Substitute resolution authorizing the proper City officials to enter into a Development and Cooperation Agreement for the Courtyard by Marriott Hotel Project in Tax Incremental District No. 37 (Grand Avenue).
ANLS:
- Analysis -
This substitute resolution will authorize the proper City officials to enter into a Development and Cooperation Agreement to facilitate the development of a 169-room Courtyard by Marriott Hotel, which will be located at approximately North 3rd Street and West Michigan Avenue, adjacent to the Grand Avenue Retail Center. This resolution authorizes the City to grant to the Redevelopment Authority of the City of Milwaukee $2.0 million, which the Redevelopment Authority will loan to the hotel developer. This second mortgage loan will be combined with private debt and equity to finance the $13.25 million project. Twenty-two percent of the development cost will be targeted for disadvantaged business enterprises. Approximately sixty full-time equivalent jobs will be created.
BODY:
Whereas, The City of Milwaukee ("City") has created Tax Incremental District No. 37 pursuant to Common Council File No. 971894, adopted June 16, 1998, and has approved the Project Plan for the District ("TID Plan"); and
Whereas, Milwaukee Hotel Venture Limited Partnership has proposed the development of a six-story, 169-room Courtyard by Marriott Hotel on the 39,000 square foot site located on the north side of West Michigan Avenue adjoining the Grand Avenue Retail Center; and
Whereas, The TID Plan calls for the City to provide to the Redevelopment Authority of the City of Milwaukee ("RACM") a $2.0 million grant, which will use the proceeds to provide a second mortgage loan to Milwaukee Hotel Venture Limited Partnership; and
Whereas, Milwaukee Hotel Venture Limited Partnership will use the second mortgage proceeds along with $11.25 million of conventional debt and equity to develop the Courtyard by Marriott Hotel; now, therefore, be it
Resolved, By the Common Council of the City of Milwaukee that the proper City officials are authorized and directed to execute a Development and Cooperation Agreement with the Milwaukee Hotel Venture Limited Partnership and RACM for the development of the Courtyard by Marriott Hotel Project. This Development and Cooperation Agreement shall be consistent with the terms and conditions outlined in Exhibit A, a copy of which is attached to this Common Council File; and, be it
Further Resolved, That the City Attorney's Office, in cooperation with the City Comptroller and the Commissioner of the Department of City Development are directed to draft a Development and Cooperation Agreement, which is consistent with the terms and conditions of Exhibit A and mutually acceptable by the City Attorney, the City Comptroller, the Commissioner of the Department of City Development, and Milwaukee Hotel Venture Limited Partnership.
ZDPT:
DFTR:
DCD:DM:gew
06/04/98