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Ordinance 2012-06 UNITED CITY OF YORKVILLE KENDALL COUNTY, ILLINOIS ORDINANCE NO. 2012-06 ORDINANCE APPROVING A REDEVELOPMENT AGREEMENT FOR THE DOWNTOWN YORKVILLE REDEVELOPMENT PROJECT AREA IN THE UNITED CITY OF YORKVILLE, ILLINOIS Passed by the City Council of the United City of Yorkville,Kendall County,Illinois This 10"'day of April, 2012 Published in pamphlet form by the authority of the Mayor and City Council of the United City of Yorkville, Kendall County, Illinois on April 26, 2012. Ordinance No. 2012-06 ORDINANCE APPROVING A REDEVELOPMENT AGREEMENT FOR THE DOWNTOWN YORKVILLE REDEVELOPMENT PROJECT AREA IN THE UNITED CITY OF YORKVILLE,ILLINOIS WHEREAS, the United City of Yorkville, Kendall County, Illinois (the "City"), is a unit of local government organized under the laws of the State of Illinois and as such has authority to promote the health, safety and welfare of the City and its citizens; authority to encourage private investment in industry, business and housing in order to enhance the tax base of the City; authority to ameliorate blight; and, authority to enter into contractual agreements with third persons to achieve these purposes; and, WHEREAS, the City has identified certain areas within its municipal boundaries where there is a need for economic assistance in order to address the extraordinary measures which must be undertaken to accomplish private investment and make the redevelopment thereof economically viable; and, WHEREAS, pursuant to the Tax Increment Allocation Redevelopment Act of the State of Illinois, 65 ILLS 5/11-74.4-1, etseq., as from time to time amended (the "TIF Act"), the Mayor and City Council of the City (collectively, the "Corporate Authorities") are empowered to undertake the redevelopment of a designated area within its municipal limits in which existing conditions permit such area to be classified as a "blighted area" as defined in Section 11.74.4-3(a) of the TIF Act; and, WHEREAS, pursuant to its powers and in accordance with the requirements of the TIF Act, the Corporate Authorities authorized such surveys and analyses as required by the TIF Act to assess the conditions of an area consisting of approximately two hundred (200) acres (the "Redevelopment Project Area"); and, thereafter authorized the preparation of a redevelopment plan setting forth a land use plan, the objectives of a redevelopment plan, a summary of redevelopment project costs, and such other Ordinance No. 2012-0(0 Page 2 findings, summary of conditions and statements as required by the TIF Act, (the "Redevelopment Plan"); and, WHEREAS, pursuant to the Act and in furtherance of the Redevelopment Plan, Imperial Investments, LLC (the "Developer") submitted to the City a proposal to acquire certain properties within the Redevelopment Project Area for the purpose of redevelopment, rehabilitation and renovation and has advised the City that in order to proceed with this undertaking, financial assistance would be required for certain costs to be incurred, which costs would constitute "redevelopment project costs" as such term is defined in the Act; and, WHEREAS, as a result of the Developer's proposal, the City passed Resolution No. 2011-18 on August 23, 2011, being a Resolution to Induce the Redevelopment of Certain Property within the Redevelopment Project Area (the "Resolution"); and, WHEREAS, the Developer has proceeded with the acquisition of certain properties including but not limited to the redevelopment, rehabilitation, renovation and repair thereof in reliance upon the aforesaid Resolution and has now requested a firm commitment for assistance on the part of the City as set forth in the Redevelopment Agreement attached hereto and made a part hereof, and, WHEREAS, pursuant to Ordinance No. 2006-46 on June 13, 2006, the Corporate Authorities approved the Tax Increment Financing Plan for the Yorkville Downtown Redevelopment Project Area as the Redevelopment Plan for the Redevelopment Project Area; and, WHEREAS, pursuant to Ordinance Nos. 2006-47 and 2006-48 in accordance with the requirements of the TIF Act, on June 13, 2006, the Corporate Authorities designated the Redevelopment Project Area as a "redevelopment project area" and adopted tax increment allocation financing for the purpose of implementing the Redevelopment Plan for the Redevelopment Project Area; and, Ordinance No. 2012-0(0 Page 3 WHEREAS, the Corporate Authorities have reviewed the Developer's proposal have determined that the financial assistance as set forth in said Redevelopment Agreement is warranted because the implementation of the proposal is in the best interests of the City and the health, safety and welfare of City residents and taxpayers thereby providing job opportunities and enhancing the tax base of the City and other taxing districts. NOW, THEREFORE, BE IT ORDAINED by the Mayor and City Council of the United City of Yorkville, Kendall County, Illinois, that the Redevelopment Agreement For the Downtown Redevelopment Project Area by and between the United City of Yorkville and Imperial Investments, LLC is hereby approved in the form attached hereto and presented to this meeting and the Mayor and City Clerk are hereby authorized to execute same. Passed by the City Council of the United City of Yorkville, Kendall County, Illinois this _ 0 day of , A.D. 2012. CITY CLERK ROSE ANN SPEARS l/ DIANE TEELING �l GEORGE GILSON JR. _ JACKIE MILSCHEWSKI CARLO COLOSIMO `( MARTY MUNNS CHRIS FUNKHOUSER LARRY KOT Approved by me, as Mayor of the United City of Yorkville, Kendall County, Illinois, this 073 day of -A tog I L 2012. r MAYOR Ordinance No. 2012- Page 4 REDEVELOPMENT AGREEMENT FOR THE DOWNTOWN YORKVILLE REDEVELOPMENT PROJECT AREA THIS AGREEMENT dated as of the 673 day of 4Aftreh 2012, by and between the United City of Yorkville, Kendall County, Illinois, a municipal corporation (hereafter the"City") and Imperial Investments, LLC, an Illinois limited liability company corporation (hereafter the "Developer"). WITNESSETH: WHEREAS, by Ordinance No. 2006-46 adopted by the Mayor and City Council of the City (the "Corporate Authorities") on June 13, 2006, the Downtown Yorkville Tax Increment Financing Redevelopment Project and Plan (hereinafter the "Redevelopment Plan") was approved, which project and plan covered some of the oldest properties of the City which constitute a significant portion of the City's historic Downtown; and, WHEREAS, by Ordinance No. 2006-47 and No. 2006-48 adopted by the Corporate Authorities on June 13, 2006, the City designated approximately 200 acres containing 114 buildings as a "redevelopment project area" ("Yorkville Downtown Redevelopment Project Area") and adopted tax increment financing pursuant to the Tax Increment Allocation Redevelopment Act(65 ILCS 5/11-74.4-1 et seq.) (hereinafter referred to as the"Act"); and, WHEREAS, pursuant to the TIF Act, the Corporate Authorities are empowered to undertake the development and redevelopment of a designated area within its municipal limits in which existing conditions permit such area to be classified as a"conservation area" as defined in Section 11.74.4.4-3(a) of the Act as in the case of the Yorkville Downtown Redevelopment Project Area; and, 1 WHEREAS, the Corporate Authorities have determined that the blighting factors which are readily observed in the Yorkville Downtown Redevelopment Project Area are detrimental to the public and impair redevelopment of this area of the City, with the result that it is necessary to incur extraordinary costs in order to undertake its redevelopment and revitalization. The blighting factors in the Yorkville Downtown Redevelopment Project Area will continue to impair growth and redevelopment but for the use of tax increment allocation financing to pay Redevelopment Project Costs (as defined in Section 4 of this Agreement) which necessarily must be incurred to implement a program of redevelopment; and, WHEREAS, pursuant to the Act and in furtherance of the Redevelopment Plan the Developer submitted to the City a proposal to acquire certain properties within the Yorkville Downtown Redevelopment Project Area for the purpose of redevelopment, rehabilitation and renovation and has advised the City that in order to proceed with this undertaking, financial assistance would be required for certain costs to be incurred, which costs would constitute "redevelopment project costs"as such term is defined in the Act; and, WHEREAS. as a result of the Developer's proposal, the City passed Resolution No. 2011-18 on August 23, 2011, being a Resolution to Induce the Redevelopment of Certain Property within the Yorkville Downtown Tax Increment Redevelopment Project Area (the "Resolution"); and, WHEREAS, the Developer has proceeded with the acquisition of certain properties including but not limitied to the redevelopment, rehabilitation,renovation and repair thereof in reliance upon the aforesaid Resolution and has now requested this Agreement in order to specifically outline the respective obligations of the parties hereto in connection with the 2 implementation of the Redevelopment Plan for the Yorkville Downtown Redevelopment Project Area all as hereinafter set forth. NOW, THEREFORE, for and in consideration of the premises and the mutual covenants hereinafter set forth,the parties agree as follows: Section 1. Incorporation. The representations and recitations set forth in the preambles hereto are material to this Redevelopment Agreement and are hereby incorporated into and made a part of this Redevelopment Agreement as though fully set forth in this Section I and said representations and recitations constitute the understandings of the City and the Developer. Section 2. The Imperial Investment Projects. A. The Developer represents and warrants that it has acquired the following properties, said properties being located within the Downtown Yorkville Redevelopment Project Area: 1. The entire property commonly known as 101 W. Van Emmon Street, identified as Parcel No 02-33-283-014 and any and all past and/or present improvements both interior or exterior in nature and the said land that encompasses said parcel ( hereinafter referred to as "Project No. 1"); 2. The property commonly known as 217 S. Bridge Street, identified as Parcel No. 02-32-283-011 and any and all past and/or present improvements both interior or exterior in nature and the said land that encompasses said parcel. (hereinafter referred to as "Project No. 2" 3. The property commonly known as 219 S. Bridge Street, identified as parcel No. 02-32-283-012 and any and all past and/or present improvements both interior or exterior in 3 nature and the said land that encompasses said parcel (hereinafter referred to as "Project No. 3"; and, 4. The property commonly known as 202/210 Van Emmon, 306/308 Heustis, identified as parcel Nos. 02-33-158-001, 02-33-158-003, and 02-33-304-001, and any and all past and/or present improvements both interior or exterior in nature and the said land that encompasses said parcels No (hereinafter referred to as "Project No. 4"). (Collectively hereinafter referred to as the "Imperial Investment Projects Phase One") B. The Developer covenants and agrees to develop the Imperial Investment Projects Phase One in conformance with all applicable federal, state and City laws, regulations, ordinances, zoning and building codes, life safety codes, property maintenance codes and all other applicable ordinances of the City (collectively hereinafter referred to as the "Legal Requirements") as in effect as of the date the Imperial Investment Projects Phase One were purchased, which projects include the following components: 1. No. 1: (a) acquisition of 101 W. Van Emmon Street; (b) renovation,rehabilitation and remodeling of the first floor: (c) renovation,rehabilitation and remodeling of the second floor; (d)renovation, rehabilitation and remodeling of the basement;; (e) renovation, rehabilitation of adjoining space; (f) outdoor seating area;as maybe attached to or a part of 101 W. Van Emmon; 4 (g) outdoor lighting, landscaping and signage and any other improvements to the entire parcel. 2. Project No. 2: (a) acquisition of 217 S. Bridge Street; (b) renovation, rehabilitation and remodeling (c) facade renovation including awnings, lighting and landscaping, signage and any other improvements to the entire parcel. 3. Follies Box Office Project No. 3: (a) acquisition of 219 S. Bridge Street (b) renovation, rehabilitation and remodeling; and (c) exterior improvements including but not limited to facade renovation, roof replacement, lighting and landscaping, signage, awnings, exterior seating and any other improvements to the entire parcel. 4. Van Emmon Apartments Project No. 4: (a) acquisition of 202 E. Van Emmon, 210 E. Van Emmon, 306 Heustis Street, and 308 Heustis Street and all common areas. (b) renovation, rehabilitation and remodeling of apartment units and all common areas; and (c) exterior improvements including lighting and landscaping, and all common areas. 5 C. The Developer has submitted estimated budgets, attached hereto as Exhibit A, ( which budgets are subject to annual revision as hereinafter provided) (the "Estimated Budget") for each of the Imperial Investment Projects Phase One, which budgets (the "Estimated Budget") for each of the Imperial itemize an estimate of thetotal costs to be incurred by the Developer in connection with the Imperial Investment Projects Phase One. D. The Developer hereby represents and warrants that financing and/or private funds are available and sufficient to complete the Imperial Investment Projects. E. The Developer represents and agrees that it shall invest no less that $2,000,000 to complete Imperial Investment Projects Phase One. Section 3. Developer's Obligations as a Condition Precedent to the City's Commitment. A. On or before December 31, 2013, the Developer shall have completed a majority of all of the Imperial Investment Projects Phase One in a good and workmanlike manner and in accordance with the Legal Requirements in effect as of the date of the purchase of said projects by the Developer. Section 4. Obligations and Commitments of the City. A. (i) So long as no notice pursuant to Section 20 has been issued to the Developer and remains uncured and so long as the Developer shall have completed the redevelopment, rehabilitation and renovation and continues to operate Project No. 1, No. 2, Project No. 3; and continues to renovate Van Emmon Apartment Project No. 4; all in accordance with the Legal Requirements, the City shall reimburse the Developer for "Redevelopment Project Costs" as hereinafter defined to pay any cost included in the Estimated Budget for Imperial Investment Projects Phase One and such costs as hereinafter may be incurred by the Developer in connection 6 with each of the projects included in Imperial Investment Projects Phase One which are eligible as Redevelopment Project Costs; said reimbursement to be in an amount not to exceed twenty- five percent (25%) of the total investment on the part of the Developer for Imperial Investment Projects Phase One plus costs of financing, marketing, professional fees and any additional improvements made by the Developer.. (ii) The Developer shall annually deliver to the City a revised Estimated Budget for each of the Imperial Investment Projects Phase One itemizing any additional costs incurred after the date hereof. (iii) The Developer shall have the right to submit additional projects to the City in the Yorkville Downtown Redevelopment Project Area and upon approval by the City of such additional projects ("Imperial Investment Future Projects") as being in furtherance of the Redevelopment Plan, the Developer shall add all costs incurred in connection with the approved Imperial Investment Future Projects to the Estimated Budget, as annually revised. The Developer shall be reimbursed for all eligible Redevelopment Project Costs in connection with the Imperial Investment Future Projects approved by the City in accordance with the same limitations, requirements and procedures for reimbursement of the Imperial Investment Projects Phase One. B. For purposes of this Agreement, "Redevelopment Project Costs" shall mean and include all costs and expenses defined as "redevelopment project costs" in Section 11-74.4-3(q) of the TIF Act which are eligible for reimbursement under the TIF Act, including land acquisition costs. The City shall reimburse the Developer for Redevelopment Project Costs 7 pursuant to this Agreement only from amounts on deposit from time to time in the Imperial Investment Subaccount of the STAF, as defined below. Monies deposited from time to time in the Special Tax Allocation Fund of the City (the "Special Tax Allocation Fund" or the "STAF"), established by the City pursuant to Ordinance No. 2006-48 will be used for the following purposes: (i) On October I of each year [or, if later, that date which is ten (10) days following the date upon which the City receives Incremental Taxes (as defined below) from the second installment of real estate taxes (the "STAF Allocation Date")], 85% of the monies credited to the STAF with respect to the Imperial Investment Projects Phase One during the period from the immediately preceding STAF Allocation Date to, but not including, the current STAF Allocation Date shall be transferred and deposited into the Imperial Investment Subaccount of the STAF (which Subaccount shall be automatically created by the ordinance approving this Agreement) and used solely to reimburse the Developer for Redevelopment Project Costs in accordance with this Agreement. (ii) In addition to the foregoing, the City shall deposit at the aforesaid times, 85% of the monies credited to the STAF with respect to any Imperial Investment Future Project which has been approved by the City as being in furtherance of the Redevelopment Plan to be used to reimburse the Developer for any eligible Redevelopment Project Costs, as itemized in the Estimate Budget for said additional projects, pursuant to the procedures hereinafter set forth. 8 For purposes of this Agreement, in order to apply 85% of the Incremental Taxes (as hereinafter defined) to reimburse the Developer for Redevelopment Project Costs incurred in connection with any Imperial Investment Future Project to be undertaken by the Developer such project or projects shall be reviewed and approved by the Corporate Authorities on the basis that such project or projects are in compliance with the Legal Requirements that are in place and applicable at the time of said approval; and, that such project or projects areis in furtherance of the Redevelopment Plan for the Downtown Yorkville Redevelopment Project Area. THE CITY'S OBLIGATIONS TO REIMBURSE THE DEVELOPER UNDER THIS AGREEMENT IS A LIMITED OBLIGATION PAYABLE SOLELY FROM INCREMENTAL TAXES DEPOSITED IN THE IMPERIAL INVESTMENT SUBACCOUNT OF THE STAF FROM TIME TO TIME AND SHALL NOT BE SECURED BY THE FULL FAITH AND CREDIT OF THE CITY. As used in this Agreement, "Incremental Taxes" shall mean the amount in the STAF equal to the amount of ad valorem taxes, if any, paid in respect of the Redevelopment Project Area and its improvements which is attributable to the increase in the equalized assessed value of all the Imperial Investment Projects and all Imperial Investment Future Projects which have been approved by the City and their improvements over the initial equalized assessed value of all approved Imperial Investment Project. Section S. Procedures for and Application of Reimbursement to the Developer. A. To establish a right of reimbursement for a specific Redevelopment Project Cost under this Agreement, the Developer shall submit to the City a written statement in the form attached to this Agreement as Exhibit B (a "Request for Reimbursement") setting forth the amount of reimbursement requested and the specific Redevelopment Project Costs for which 9 reimbursement is sought. Each Request for Reimbursement shall be accompanied by such bills, contracts, invoices, lien waivers or other evidence as the City shall reasonably require to evidence the right of the Developer to reimbursement under this Agreement. The Mayor or his or her designee, shall have thirty (30) days after receipt of any Request for Reimbursement from the Developer to recommend to the City Treasurer approval or disapproval of such Request and, if disapproved, to provide the Developer, in writing and in detail, an explanation as to why the City is not prepared to recommend such reimbursement. The only reasons for disapproval of any expenditure for which reimbursement is sought shall be that inadequate documentation has been provided to substantiate such expenditure; that it was not incurred and completed by the Developer in accordance with all the Legal Requirements and the provisions of this Agreement, including without limitation, all approved permits; or, that twenty-five percent (25%) of the total investments of the Developer in the Yorkville Downtown Redevelopment Project Area have been paid to the Developer. The parties acknowledge that the determination of Redevelopment Project Costs and qualification for reimbursement under this Agreement are subject to the TIF Act, all amendments to the TIF Act both before and after the date of this Agreement, and all administrative rules and judicial interpretations rendered during the term of this Agreement. The City has no obligation to the Developer to attempt to modify said rules or decisions but will cooperate with the Developer in obtaining approval of Redevelopment Project Costs. C. Reimbursement of Redevelopment Project Costs shall be made annually on each STAF Allocation Date (or, if later,the date which is ten (10) days following approval by the City of payment of such Redevelopment Project Costs); provided that reimbursement of Redevelopment Project Costs shall only be made to the extent money is available therefore in the 10 Imperial Investment Subaccount of the STAF. To the extent money in the Imperial Investment Subaccount is insufficient to reimburse the Developer for Redevelopment Project Costs, such Request for Reimbursement shall be held for payment on the following STAF Allocation Date. Section 6. Undertakings on the Part of Developer. The Developer hereby covenants and agrees to promptly pay, as the same become due, any and all taxes and governmental charges of any kind that may at any time be assessed with regard to its operation including all real estate taxes assessed against the Imperial Investment Projects or any other location in the City owned or controlled by the Developer. Section 7. Term. Unless earlier terminated pursuant to Section 20, the term of this Redevelopment Agreement shall commence on the date of execution and end December 31, 2029 (the "Termination Date"). In the event the Redevelopment Plan has not been accomplished on or before the Termination Date, the City agrees to review its ability to extend the designation of the Redevelopment Project Area under the TIF Act. Section 8. Verification of Tax Increment. The Developer shall use its best efforts to cooperate with the City in obtaining certified copies of its real estate tax bills payable in 2012, and paid in each subsequent year during the term of this Redevelopment Agreement. Section 9. No Liability of City for Others for Developer's Expenses. The City shall have no obligation to pay costs of any of the Imperial Investment Projects or to make any payments to any person other than the Developer, nor shall the City be obligated to pay any contractor, subcontractor, mechanic, or material man providing services or materials to the Developer for the development of the Imperial Investment Projects. II Section 10. Time; Force Majeure. Time is of the essence of this Redevelopment Agreement, provided, however, a party shall not be deemed in material breach of this Redevelopment Agreement with respect to any obligations of this Redevelopment Agreement on such party's part to be performed if such party fails to timely perform the same and such failure is due in whole or in part to any strike, lock-out, labor trouble (whether legal or illegal), civil disorder, weather conditions, failure or interruptions of power, restrictive governmental laws and regulations, condemnations, riots, insurrections, acts of terrorism, war, fuel shortages, accidents, casualties, floods, earthquakes, fires, acts of God, epidemics, quarantine restrictions, freight embargoes, acts caused directly or indirectly by the other party (or the other party's agents, employees or invitees) or similar causes beyond the reasonable control of such party ("Force Majeure"). If one of the foregoing events shall occur or either party shall claim that such an event shall have occurred, the party to whom such claim is made shall investigate same and consult with the party making such claim regarding the same and the party to whom such claim is made shall grant any extension for the performance of the unsatisfied obligation equal to the period of the delay, which period shall commence to run from the time of the commencement of the Force Majeure; provided that the failure of performance was reasonably caused by such Force Majeure. Section 11. Assignment. This Redevelopment Agreement may not be assigned by the Developer without the prior written consent of the City, which consent shall not be unreasonably withheld. Section 12. Developer's Indemnification. The Developer shall indemnify and hold harmless the City, its agents, officers and employees against all injuries, deaths, losses, damages, 12 claims, suits, liabilities, judgments, costs and expenses (including any liabilities, judgments, costs and expenses and reasonable attorney's fees) which may arise directly or indirectly from any third-party claims made against the City as a result of the failure of the Developer or any contractor, subcontractor or agent or employee thereof(so long as such contractor, subcontractor or agent or employee thereof is hired by the Developer) to timely pay any contractor, subcontractor, laborer or material men; from any default or breach of the terms of this Agreement by the Developer; or from any negligence or reckless or willful misconduct of the Developer or any contractor, subcontractor or agent or employee thereof (so long as such contractor, subcontractor or agent or employee is hired by the Developer). The Developer shall, at its own cost and expense, appear, defend and pay all charges of attorneys, costs and other expenses arising therefrom or incurred in connection therewith. If any judgment shall be rendered against the City, its agents, officers, officials or employees in any such action, the Developer shall, at its own expense, satisfy and discharge the same. The paragraph shall not apply, and the Developer shall have no obligation whatsoever, with respect to any acts of negligence or reckless or willful misconduct on the part of the City or any of its officers, agents, employees or contractors. Section 13. Waiver. Any party to this Redevelopment Agreement may elect to waive any remedy it may enjoy hereunder, provided that no such waiver shall be deemed to exist unless the party waiving such right or remedy does so in writing. No such waiver shall obligate such party to waive any right or remedy hereunder, or shall be deemed to constitute a waiver of other rights and remedies provided said party pursuant to this Redevelopment Agreement. 13 Section 14. Severability. If any section, subsection, term or provision of this Redevelopment Agreement or the application thereof to any party or circumstance shall, to any extent, be invalid or unenforceable, the remainder of said section, subsection, term or provision of this Redevelopment Agreement or the application of same to parties or circumstances other than those to which it is held invalid or unenforceable, shall not be affected thereby. Section 15. Notices. All notices, demands, requests, consents, approvals or other instruments required or permitted by this Redevelopment Agreement shall be in writing and shall be executed by the party or an officer, agent or attorney of the party, and shall be deemed to have been effective as of the date of actual delivery, if delivered personally, or as of the third (3`d) day from and including the date of posting, if mailed by registered or certified mail, return receipt requested, with postage prepaid, addressed as follows: To the Developer. Imperial Investments, LLC Zo- b on With a copy to: I'0X'k-r111 p/ -T(— C6 5 6 0) To the City: United City of Yorkville 800 Game Farm Road Yorkville, Illinois 60560 Attention: City Administrator With a copy to: Kathleen Field Orr Kathleen Field Orr& Associates 53 W. Jackson Blvd. Suite 935 Chicago, Illinois 60604 14 Section 16. Successors in Interest. This Redevelopment Agreement shall be binding upon and inure to the benefit of the parties to this Redevelopment Agreement and their respective successors and assigns. Section 17. No Joint Venture,Agency or Partnership Created. Neither anything in this Redevelopment Agreement nor any acts of the parties to this Redevelopment Agreement shall be construed by the parties or any third person to create the relationship of a partnership, agency, or joint venture between or among such parties. Section 18. Warranties and Covenants of the Developer. A. The Developer hereby covenants and agrees to maintain good standing as an Illinois limited liability company throughout the term of this Redevelopment Agreement. B. The Developer hereby covenants and agrees to promptly pay, as the same become due, any and all taxes and governmental charges of any kind that may at any time be lawfully assessed against any of the Imperial Investment Projects or Imperial Investment Future Projects approved by the City with including all real estate taxes assessed against all of the Imperial Investment Projects or any other property or business in the City owned or controlled by the Developer. C. The Developer covenants and agrees that at all times it shall comply with the Legal Requirements and all applicable zoning ordinances and regulations, building code, fire code and all other City ordinances, resolutions and regulations, as in effect as of the date of the approval of each project. 15 D. The Developer hereby covenants and agrees to comply with all applicable laws, rules and regulations of the State of Illinois, the United States and all agencies of each of them having jurisdiction over it. Section 19. No Discrimination — Construction. The Developer for itself and its successors and assigns agrees that in the construction of the Imperial Investment Projects and future projects approved by the City, provided for in this Redevelopment Agreement, the Developer shall not discriminate against any employee or applicant for employment because of race, color, religion, sex or national origin. The Developer shall take affirmative action to require that applicants are employed and that employees are treated during employment, without regard to their race, creed, color, religion, sex or national origin unless there is a false claim and or accusation Such action shall include, but not be limited to, the following: employment upgrading, demotion or transfer; recruitment or recruitment advertising and solicitations or advertisements for employees; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The Developer agree to post in conspicuous places, available to employees and applicants for employment, notices, which may be provided by the City, setting forth the provisions of this nondiscrimination clause. Section 20. Remedies—Liability. A. If, in the City's judgment, the Developer is in material default of this Redevelopment Agreement, the City shall provide the Developer with a written statement indicating in adequate detail any failure on the Developer's part to fulfill its obligations under this Redevelopment Agreement. Except as required to protect against further damages, the City may not exercise any remedies against the Developer in connection with such failure until thirty 16 (30) days after giving such notice. If such default cannot be cured within such thirty (30) day period, such thirty (30) day period shall be extended for such time as is reasonably necessary for the curing of the same, so long as the Developer diligently proceeds with such cure; if such default is cured within such extended period, the default shall not be deemed to constitute a breach of this Redevelopment Agreement. A default not cured as provided above shall constitute a breach of this Redevelopment Agreement. Any failure or delay by the City in asserting any of its rights or remedies as to any default or alleged default or breach shall not operate as a waiver of any such default or breach of any rights or remedies it may have as a result of such default or breach. B. If the Developer materially fails to fulfill its obligations under this Redevelopment Agreement after notice is given by the City and any cure periods described in paragraph (a) above have expired, the City may elect to terminate this Redevelopment Agreement or exercise any right or remedy it may have at law or in equity, including the right to specifically enforce the terms and conditions of this Redevelopment Agreement. If any proceeding in any court or tribunal shall be instituted to declare the Developer insolvent or unable to pay the Developer's debts, or the Developer makes an assignment for the benefit of its creditors, or a trustee or receiver is appointed for the Developer or for the major part of the Developer's property, the City may elect, to the extent such election is permitted by law and is not unenforceable under applicable federal bankruptcy laws, but is nor required, with or without notice of such election and with or without entry or other action by the City, to forthwith terminate this Redevelopment Agreement under this Section, the City's sole obligation shall be to record, in the office of the Kendall County Recorder, a Certificate of Default, executed by the 17 Mayor of the City or such other person as shall be designated by the City, stating that this Redevelopment Agreement is terminated pursuant to the provisions of this Section, in which event this Redevelopment Agreement by virtue of the recording of such certificate, shall ipso facto automatically become null and void and of no further force and effect.. C. If, in the Developer's judgment, the City is in material default of this Redevelopment Agreement, the Developer shall provide the City with a written statement indicating in adequate detail any failure on the City's part to fulfill its obligations under this Redevelopment Agreement. The Developer may not exercise any remedy against the City in connection with such failure until (30) days after giving such notice. A default not cured as provided above shall constitute a breach of this Redevelopment Agreement. Any failure or delay by the Developer in asserting any of their rights or remedies as to any default or any alleged default or breach shall not operate as a waiver of any such default or breach of shall not operate as a waiver of any such default or breach of any rights or remedies it may have as a result of such default or breach. D. In addition to any other rights or remedies, a party may institute legal action against the other party to cure, correct or remedy any default, or to obtain any other remedy consistent with the purpose of this Redevelopment Agreement, either at law or in equity, including, but not limited to the equitable remedy of an action for specific performance; provided, however, no recourse under or upon any obligation contained herein or for any claim based thereon shall be had against the City, its officers, agents, attorneys, representatives or employees in any amount or in excess of any specific sum agreed to be paid by the City hereunder, and no liability, right or claim at law or in equity shall be attached to or incurred by 18 the City, its officers, agents, attorneys, representatives or employees in any amount in excess of any specific sums agreed by the City to be paid hereunder and any such claim is hereby expressly waived and released as a condition of and as consideration for the execution of this Redevelopment Agreement by the City. Notwithstanding the foregoing, in the event either party shall institute legal action against the other party because of a breach of any Redevelopment Agreement or obligation contained in this Redevelopment Agreement, the prevailing party shall be entitled to recover all costs and expenses, including reasonable attorneys' fees, incurred in connection with such action. E. The rights and remedies of the parties are cumulative and the exercise by a party of one or more of such rights or remedies shall not preclude the exercise by it, at the same time or different times, of any other rights or remedies for the same default or for any other default by the other party. Section 21. Amendment. This Redevelopment Agreement, and any exhibits attached to this Redevelopment Agreement, may be amended only in a writing signed by all the parties with the adoption of any ordinance or resolution of the City approving said amendment, as provided by law, and by execution of said amendment by the parties or their successors in interest. Except as otherwise expressly provided herein, this Redevelopment Agreement supersedes all prior Redevelopment Agreements, negotiations and discussions relative to the subject matter hereof. Section 22. Counterparts. This Redevelopment Agreement may be executed in two or more counterparts, each of which shall be deemed an original but all of which together shall constitute one and the same instrument. 19 IN WITNESS WHEREOF, the parties hereto have caused this Redevelopment Agreement to be executed by their duly authorized officers on the above date at Yorkville, Illinois. United City of Yorkville, an Illinois municipal corporation By: A, - Mayor Attest: City Clerk IMPERIAL INVESTMENTS, LLC, an Illinois limited liability company By: Pr nt Attesf; Ocrto 20 Exhibit A Estimated Project Budgets Redevelopment Project Costs 21 a 8 ID S S S w S ko 10 10 o vii ri is N t! O Jai A N C A ry CO O Q N N N p L .a E pup .°t e, Eu gQQQ� pu O E C G E C W C U C E n c b a E 0 c °o d E coo O .y m ytN „ E .y o C U M V W M > \W O E D O ry y G G M Ol m O c iN G O w{/�N 14 VY i- 1A }� N J 7 VIN N N Ni i- K h" N J W 7 O N H N N N V#to It .. .. .. « « « m d ate. « W « « « C m a UO O O O O c 0 3 w m a U U 0 0 0 0 0 3 w m o. up 0 0 0 0 0 0 '3 v G u u u u u u u u u u u W Z c c c > d m m ° E z c c c > d m m ° CL `o o_ o m > m c c E 0 4 o m > m c c E N 4 o m y m c c o E d `1 j W 6 Q O U C m T m m a ?U Nm m— A'C u A > o O C O. O 2 L _ 0U c " « a¢ Q r O Q v O J O 7i u C L C O 4! 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S d °oSS SS °o, $ S Sg 'Oa o Q 5� Q g Q Q cv h v v of m .ti ui rn rri r g n w N a i r Q W H m L 1t1 M 9 C G y Y A m o. .iL Gd y O L H C Q C W O m 4 Q W O L+ o m A ,dG rn m a v d cc YTn t`i N C F N m N f0 N p tt33 m O to 1A N V1 V�N YA F� d t/f iA VF L1 V1 vR C F- N N VI.a/�YA YA V?V� i- N C Q d U Y « « N Z d c N E a up 0 0 0 0 0 0 3 E m a up 0 0 0 0 0 0 0 E Z a c p o 0 u 0 o f c Tp a c c d m m E Z o o c c d m m o p c c d m m z t o 0o d m c c p o eo d m c c `o E C, °p ° % E `o o m d v T N C L q'L U d 6J .'^ jp y '0 C L M,L U d N .� t0 d C L A U d 6 7 > "O >' m m u C 6 > » ? _m m u C L 7 > 'O m _m U C G O "O Q O L N = v, p O � Q O N — O G O' C N O d m a` a a v o A « a` ¢ ¢ E v S « J 0 u v J O to M C L C O r+ C L C O y C L C O y (J N d w C w c C oG c m C C C N � Q c C GO C d Q m ¢C m Q C Q c c d d d a a a Exhibit B REQUEST FOR REIMBURSEMENT City of Yorkville Yorkville,Illinois 61490-9999 Re: Redevelopment Agreement for the Downtown Yorkville Redevelopment Project Area dated , by and between the City of Yorkville, an Illinois municipal corporation, and Imperial Investments, LLC, an Illinois limited liability company (collectively the"Developer") Dear Sir: You are requested to approve the disbursement of funds from the Sub-Account established by the City of Yorkville pursuant to the Agreement described above in the amount(s),to the person(s) and for the purpose(s) set forth in this Request for Reimbursement. 1. Request for Reimbursement No.: 2. Payment Due to: 3. Amount to be Disbursed: 4. The amount requested to be disbursed pursuant to this Request for Reimbursement will be used to pay Redevelopment Project Costs as defined in the Agreement and as listed on the Schedule to this Request for Reimbursement. 5. The undersigned certifies that: (i) the amounts included in 3 above were made or incurred or financed and were necessary for the project and were made or incurred in accordance with the construction contracts, plans and specifications heretofore in effect; (ii) the amounts paid or to be paid,as set forth in this Request for Reimbursement,represents a part of the funds due and payable for Redevelopment Project Costs; (iii) the expenditures for which amounts are requisitioned represent proper Redevelopment Project Costs identified in the Agreement, have not been included in any previous Request for Reimbursement,have been properly recorded on the Developer's books and are set forth on the attached Schedule,with paid invoices attached for all sums for which reimbursement is requested; (iv) the moneys requisitioned are not greater than those necessary to meet obligations due and payable or to reimburse the Developer for his funds actually advanced for Redevelopment Project Costs; (v) the amount of Redevelopment Project Costs to be reimbursed in accordance with this Request for Reimbursement, together with all amounts reimbursed to the Developer pursuant to the Agreement, is not in excess of twenty-five percent (25%) of the Developer's total investment in the Downtown Yorkville Redevelopment Project Area; (vi) the Developer is not in default under the Agreement(as proven based on a court of law, the City cannot arbitrarily withhold funds)and nothing has occurred to the knowledge of the Developer that would prevent the performance of its obligations under the Agreement. 6. Attached to this Request for Reimbursement is Schedule# together with copies of invoices or bills of sale and Mechanic's Lien Waivers or and unless the Developer fully indemnifies the City and or the payee if not the same.covering all items for which reimbursement is being requested. Imperial Investments,LLC,an Illinois limited liability company Date: By: 22 APPROVED: City of Yorkville,an Illinois municipal corporation