CCR2015035-Westwood Centre LoanGrant
RECONSIDERED AND AMENDED
COMMON COUNCIL - CITY OF MUSKEGO
RESOLUTION #035-2015
APPROVAL OF A TIF 8 LOAN & GRANT
Westwood Centre
S75 W17301-51 Janesville Road / Tax Key No. 2196.032
WHEREAS, SDS2 Management LLC, owner of the Westwood Centre has submitted a
loan application form requesting a loan not to exceed $100,000 and associated grant
monies; and
WHEREAS, The Common Council, upon recommendation from the Community
Development Authority, amended Tax Increment District #8 in November 2012 per
Council Resolution #111-2012 to include businesses properties west of Lannon
Drive/Janesville Road; and
WHEREAS, It was the intent of the TID 8 amendment to utilize leftover TID monies for
various redevelopment projects for the businesses within the amended boundaries; and
WHEREAS, Said property is within the boundaries of amended TID #8 and within the
boundaries of the adopted Redevelopment District #2; and
WHEREAS, The Community Development Authority has recommended approval of up
to a $100,000 loan at its March 17, 2015 meeting, subject to the conditions outlined
herein being met; and
WHEREAS, The Community Development Authority has recommended a grant
approval, under the auspices of the adopted Commercial Building and Site Grant Fund
of $10,000 at its March 17, 2015 meeting, subject to the conditions outlined herein
being met.
NOW, THEREFORE, BE IT RESOLVED That the Common Council of the City of
Muskego, upon the recommendation of the Community Development Authority, does
hereby approve a loan and grant submitted by SDS2 Management LLC subject to the
following conditions:
Grant Conditions-
A. Projects must be completed within 12 months of Common Council
approval or the grant shall become void.
B. Changes in the approved work, that affect the monetary value of the grant
issued, must be approved by the CDA and possibly other City boards (The
City’s Planning Commission if change is deemed substantial to what was
originally approved).
C. Approved changes in work verifications will be attached to the original
applications dated and signed by the City’s Community Development
Department.
D. The applicant and Community Development Department staff will review
proof of payment and completed work before the grant payment will be
made to the applicant. Payment will only be issued when it is verified that
Resolution #035-2015 Page 2
the work completed matches the work approved by the CDA and Common
Council.
E. Deviations from an approved plan may disqualify the applicant from this
program.
F. The Common Council approved a grant amount of $15,000.
Loan Conditions-
1. That a loan not to exceed $100,000 is provided to SDS2 Management LLC.
2. That the City’s loan is matched with $125,000 in financing that is provided by
Waukesha State Bank.
3. That the City’s loan is matched with at least $40,000 in equity financing from
SDS2 Management LLC.
4. That 65% of the loan is matched with a bond or letters of credit in favor of the
City of Muskego and that the city is in a second position on the main mortgage
of the property.
5. That the loan is provided with a term of no more than three (3) years, no more
than a six-month deferral on principal payments, and an interest rate of
1.625%. Interest-only payments would be made on a monthly basis during the
deferral period.
6. That the borrowers provide to the City, or its designee, on an annual basis,
semi-annual financial statements and signed copies of their Federal income
tax return.
7. All other terms of the SEWRPC letter are met dated March 16, 2015.
BE IT FURTHER RESOLVED That a cross access easement must be agreed upon and
recorded prior to closing on the loan. The Site Plan cannot reflect any parking in that
area.
BE IT FURTHER RESOLVED That the Mayor and Clerk-Treasurer are authorized to
sign any documents in the name of the City.
DATED THIS 14th DAY OF APRIL , 2015.
(Original Resolution Amended and Adopted March 24, 2015.)
SPONSORED BY:
COMMUNITY DEVELOPMENT AUTHORITY
Ald. Bob Hammel
Ald. Blaise De Pronio
This is to certify that this is a true and accurate copy of Resolution #035-2015 which
was adopted by the Common Council of the City of Muskego.
_________________________
Clerk-Treasurer