Number
170809
Version
SUBSTITUTE 1
Reference
Sponsor
ALD. BAUMAN
Title
Substitute resolution relating to the sale of surplus Milwaukee Public Schools property at 2708 West Wisconsin Avenue, in the 4th Aldermanic District.
Analysis
This substitute resolution approves the sale of the former Wisconsin Avenue School, 2708 West Wisconsin Avenue, to Ambassador Enterprise LLC for redevelopment of the property as Ambassador Suites extended stay hotel.
Body
Whereas, Wisconsin Avenue School, 2708 West Wisconsin Avenue (the “Property”), was declared surplus by the Milwaukee Board of School Directors in 2009; and
Whereas, The Property has been vacant since 2007; and
Whereas, In accordance with the requirements imposed by Section 119.61, Wisconsin Statutes, the Property was listed for sale to education operators only for a two-year period that ended in July 2017; and
Whereas, No education operator purchased the Property during that two-year period; and
Whereas, In accordance with Section 119.61, Wisconsin Statutes, a Request for Proposals offering the Property for sale for adaptive reuse was issued July 17, 2017; and
Whereas, The Department of City Development (“DCD”) received one proposal for the purchase and redevelopment of the Property from Ambassador Enterprise LLC (the “Buyer”); and
Whereas, The Buyer proposes to invest an estimated $15 million to purchase and renovate the Property as an all-suites extended stay hotel; and
Whereas, The proposal to redevelop the property is compatible with the development vision of the Near West Side Plan; and
Whereas, The Buyer envisions the hotel development as part of a much larger commercial development project involving the adjacent City Campus buildings, which are owned by the Buyer; and
Whereas, The Buyer has significant experience in the redevelopment, ownership and management of existing properties in the Avenues West neighborhood, including the Ambassador Hotel, as well as other parts of Milwaukee; and
Whereas, DCD has reviewed the offer and development proposal from the Buyer and determined that the offer and proposal represent fair compensation; and
Whereas, DCD has reviewed financial information submitted by the Buyer and determined that the Buyer has the financial capacity to purchase and renovate the Property; now, therefore, be it
Resolved, By the Common Council of the City of Milwaukee, that the Land Disposition Report for the Property (“LDR”), a copy of which is attached to this Common Council File, is approved, and that DCD is authorized to enter into a Purchase and Sale Agreement with the Buyer, or assignee, materially consistent with the LDR and then convey the Property to the Buyer in accordance therewith; and, be it
Further Resolved, That the Commissioner of DCD, or designee, is authorized to sign the Purchase and Sale Agreement, deed and requisite closing documents and to close the transaction and to take such actions, as may be needed, to effectuate the terms of the LDR and this resolution, including any needed easements and/or releases of deed restrictions; and, be it
Further Resolved, That the sale proceeds, less sale expenses, shall be deposited in the Milwaukee Public Schools Operations Fund, in accordance with Sections 119.46 and 119.61(5), Wisconsin Statutes.
Drafter
DCD:Martha.Brown:mlb
09/13/17