[Southsider2k12]

http://www.michigancityin.com/articles/200.../13/news/n3.txt

Board threatens to rescind support of Brewery project

By Amanda Haverstick, The News-Dispatch


The developer of the historic Brewery building must have the property's title in hand by next month or he could lose the city's assistance.

In January 2006, Chicago developer Bob Bicek announced plans to redevelop the building into high-end condos that would include boat slips. But at Monday's Redevelopment Commission meeting, he said encumbrances have been discovered on the land during the last month and a half.

“Because of these encumbrances that are on the Brewery property, it turns out they encumber the Newcomb property,” Bicek said. “If I had a bucket of a million dollars and was Santa Claus right now, I could not close on the Brewery property, technically.”

Bicek said purchase of the Brewery is not problem. The issue, he said, is financing for the construction costs, which won't happen until he is able to market the condominiums.

“It really gets down to a simple thing ... it has to do with the boat-slip issue and as far as what I can promise to potential buyers,” Bicek said. “That's what we're relying on.”

In August 2006, the Redevelopment Commission gave Bicek a conceptual commitment of 32 boat slips that will be on commission-owned property. The promise of slips, though, is contingent on the results of a study already under way on Trail Creek. Bicek said he was hoping for a 2008 season to be able to market slips.


“To buy the brewery land and not know when (slips will be available) makes a major difference,” Bicek said. “While I'm sitting there owning Brewery land, I'm not going to start building it until I know when the marketing program starts.”

The commission ordered Bicek to have the title to the property by the next meeting or it will rescind its previous commitments.

“Both gentlemen (Bicek and Brewery owner Ken Fryer) in good faith have brought forth this proposal to the board, and for whatever reason it's not working out as we had hoped it would work out and maybe it still will,” commission attorney Michael Bergerson said. “We still are willing to work with you, but the commitments the board has made previously may not still be in existence if you can't get the title to the property.”

Commission president Ken Behrendt said, “I don't think we're responsible representatives of the city if we extend funds to something we don't know we have a partner with.”

Fryer told the commission there is no encumbrance on the Brewery that cannot be cured instantaneously if Bicek buys it.

“He's promised, promised, promised ...” Fryer said. “I still think that Bob is perfectly capable of doing a lot of good things for Michigan City and until recently he and I had a wonderful working relationship, all of it positive and going forward. That has changed ... and I hope it can get back on track.”

Commission member Joie Winski asked that Bicek and Fryer work out their issues.

“I really hope the two of you can work out the differences you have so that we can move forward. This is an exciting project that all of us were behind,” Winski said. “Almost every piece of property you sell has some encumbrances, a mortgage or something else, that's paid off at the time closing.”

[Southsider2k12]

http://www.michigancityin.com/articles/200.../11/news/n5.txt

Brewery development hits snag

By Amanda Haverstick, The News-Dispatch

The Michigan City Redevelopment Commission has completed the purchase of one Michigan Boulevard property and is still trying to acquire others.

Meanwhile, the redevelopment of The Brewery property at 8th and Michigan has run into a snag, it was reported.

Commission attorney Michael Bergerson said at Monday's meeting that closing on the Michigan Township trustee's office at 531 Michigan Blvd. has been accomplished. The building, which is a polling site, will be demolished some time after the May primary.

Bergerson also reported negotiations with Blocksom and Co. are still ongoing.

“They're positive,” Bergerson said.

Bergerson said the negotiating committee toured the facility in the last two weeks.

“They came away with some very positive information as well as an indication of what (they will need) to get them to leave the present location and move to a new location,” Bergerson said. “Very positive things came out of that and we will continue to negotiate.”

Bergerson said two other properties the city has been trying to acquire, the Hoosier Ice and Coal property, 748 E. Michigan Blvd., and Weber Sign, 730 E. Eighth St., are the subject of a trial set for July 31 in Superior Court 4.

In other business, Chicago developer Bob Bicek reported to the commission that he and Brewery building owner Ken Fryar have not been able to come to agreement on possession of the property.

“I regret to report I have not come to terms with acquisition of The Brewery,” Bicek said.

In February, Bicek told the commission that encumbrances on the land that he had planned to redevelop into high-end condos that would include boat slips had prevented him from moving ahead with his plans.

The commission voted unanimously Monday to rescind a conceptual commitment of 32 Trail Creek boat slips made in August 2006.

“Due to the fact that he said he hasn't come to an agreement on that, I think a reasonable time has been given ... nothing has been resolved,” said commission member Ed Bigda.

[mcstumper]

How do boat slips along that section of Trail Creek fit into the whole concept of a riverwalk and public use facilities along the waters edge? Are they talking about locating these slips on the east/north shore of the creek?

[Ang]

I have no idea, but I think the Brewery would be a good place for fully furnished short-term rentals, I've said this many times. For people who are just moving to MC and need to get a life started, or people who have sold one house and are waiting to move into another. Maybe have a 60 maximum occupancy, or something like that. If I had a bunch of money, that is what I would do.