Attorney letter from Ann Street developer Kris Elliott

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  • 7/28/2019 Attorney letter from Ann Street developer Kris Elliott

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    J u l y 8 , 2013VIA HAND DELIVERYG e o r g e L a h a n a sC i t y M a n a g e rC i t y o f E a s t L a n s i n g41 0 b b o t t RoadE a s t L a n s i n g , M i c h i g a n 48823

    RE: S t . Anne, LLC P l a z a C o ns t r u c t i o nM r . L a h a n a s -

    T h i s o f f i c e r e p r e s e n t s S t . A n n e , LLC " S t . A n n e " ) i t h r e s p e c t t o t h e c o m m e r c i a l / r e s i d e n t i a l b u i l d i n gl o c a t e d a t 21 3 Ann S t . , E a s t L a n s i n g ( t h e " B u i l d i n g " ) . S i n c e 2 0 0 2 , when my l i e n t p u r c h a s e d t h e s i t e , i th a s b e e n a n a c t i v e p r o p o n e n t f o r t h e b e a u t i f i c a t i o n o f t h e Ann S t . P l a z a f o r p e d e s t r i a n a n d p u b l i c u s e ( t h e" P l a z a " ) . T h i s a d v o c a c y c o n t i n u e s t o d a y . As y o u may k n o w , my c l i e n t c o m p l e t e d s u b s t a n t i a li m p r o v e m e n t s t o t h e P l a z a West o f t h e a l l e y w a y i n 2012 w i t h c o n s t r u c t i o n r e m a i n i n g o n l y E a s t o f t h ea l l e y w a y .

    F r o m t h e b e g i n n i n g o f t h e S t . Anne p r o j e c t , my l i e n t h a s made t c l e a r t o t h e C i t y t h a t i t i n t e n d s o nc o m p l e t i n g t h e P l a z a . H o w e v e r , c o m p l e t i o n h a s b e e n d e l a y e d due t o c o n s t r u c t i o n a n d e n g i n e e r i n gc h a n g e s f o r t h e p u b l i c i m p r o v e m e n t s a n d P l a z a d e v e l o p m e n t , w h i c h my c l i e n t o u t l i n e d i n a l e t t e r t o M r .Dempsey d a t i n g b a c k t o S e p t e m b e r 2 8 , 2 0 1 2 . I h a v e a t t a c h e d a c o p y o f t h a t l e t t e r f o r y o u r r e f e r e n c e . I ne s s e n c e , c h a n g e s a n d d e l a y s r e s u l t e d i n t h e P l a z a b e i n g c o n s t r u c t e d w i t h o u t a n y c o m p e t i t i v e b i d d i n g .

    I n M a y , my l i e n t w as n o t i f i e d b y t h e C i t y t h a t i t h a d e l e c t e d t o c o n s t r u c t t h e re m a i n i n g p o r t i o n o ft h e P l a z a f o r v a r i o u s r e a s o n s . My c l i e n t a g r e e d s i n c e t h e e n gi n e e r i n g , s i t e p l a n s , a n d o t h e r w o r k h a da l r e a d y b e e n c o m p l e t e d a n d p a i d f o r . H o w e v e r , t h e C i t y ' s c u r r e n t b u d g e t t o c o m p l e t e t h e P l a z a e x c e e d sw h a t my l i e n t e x p e c t e d . B e f o r e t h e p r o j e c t b e g a n , K r i s E l l i o t t made h e c o m m i t m e n t t o s p e n d $ 2 7 5 , 0 0 0 o fh i s p e r s o n a l f u n d s o n P l a z a i m p r o v e m e n t s . $ 2 0 0 , 0 0 0 o f t h i s c o m m i t m e n t h a s a l r e a d y b e e n s p e n t a n d i ta p p e a r s t h a t a n o t h e r $ 1 9 6 , 0 0 0 i s r e q u i r e d t o c o m p l e t e t h e P l a z a b a s e d o n t h e C i t y ' s u p d a t e d c o n s t r u c t i o nc o s t s . M r . E l l i o t t f u l l y i n t e n d s o n p r o v i d i n g t h e a d d i t i o n a l $ 7 5 , 0 0 0 h e c o m m i t t e d t o a s p a r t o f t h e P l a z ac o m p l e t i o n .

    As p a r t o f t h e C i t y ' s d e c i s i o n t o c o m p l e t e t h e P l a z a , t h a s p r o p o s e d t o p a y f o r t h e i m p r o v e m e n t sb y u s i n g t h e S t . Anne T I F r e i m b u r s em e n t . W h i l e my c l i e n t ma y b e a g r e e a b l e t o r e i m b u r s i n g t h e C i t yt h r o u g h t h i s m e c h a n i s m , a n y r e i m b u r s e m e n t s h o u l d b e c o m m e n s u r a t e w i t h e a c h p a r t y ' s i n v e s t m e n t .B e c a u s e my l i e n t w i l l p a y t h e e n t i r e c o m m i t t e d a m o u n t o f $ 2 7 5 , 0 0 0 t o w a r d s t h e i m p r o v e m e n t o f t h e P l a z a ,

    ATTORNEYS& COUNSELORSATLAW325 . Grand River A v e n u e , Suite 250 a s t Lansing, MI 48823 517) 33-6598 : (517) 33 3-6694 lu n ke t tc o o n e v .co n

  • 7/28/2019 Attorney letter from Ann Street developer Kris Elliott

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  • 7/28/2019 Attorney letter from Ann Street developer Kris Elliott

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    EVERGREENSeptember 28, 2012

    Tim DempseyTim SchmittL o r i M u l l i n s

    Re: Ann S t r e e t Plaza Donation-TIFF Improvements

    A f t e r countless meetings w i t h th e C i t y and v a r i o u s s t a k e h o l d e r s , our team h as developed a f i n a lf i n a l set of plans t h a t best seem o capture the ever e v o l v i n g Ann S t r e e t Plaza Improvementp r o j e c t . During our n i t i a l meetings w i t h you two years ago, t was onveyed by u s h a t weintended t o donate up t o $250,000 o r t h e design and c o n s t r u c t i o n of h e new A l l e y and Plazabased on t h e p r e l i m i n a r y cost estimates by th e C i t y of $350,000 p r o v i d e d t o u s , a t t h e t i m e , th ee n t i r e scope of th e p r o j e c t seemed achievable o r l e s s cost so we ecided t o proceed.U n f o r t u n a t e l y , a l a t e s t a r t t h i s summer h a t was pushed back from mid June t o mid J u l y , causedus t o have o s e l e c t i v e l y t a r g e t p o r t i o n s of the plans h a t d i r e c t l y d e a l t w i t h r e p l a c i n g andb e a u t i f y i n g e x i s t i n g i n f r a s t r u c tu r e i n order o r e t u r n th e a l l e y and p a r k i n g ramp t o working order asw e l l a s o g a i n occupancy o r t h e new S t . Anne Development. Th e e l e c t e d c o n t r a c t o r andscheduling of h i s worked a l s o s i g n i f i c a n t l y c o n t r i b u t e d t o the increases n a l l costs o d a t e .On a b r i g h t e r n o t e , we ere able t o add th e r e-work of the l a n d i n g from th e Grove S t r e e t Ramp,b e a u t i f y t h e a l l e y f u r t h e r North than a n t i c i p a t e d , complete th e underground i n f r a s t r u c t u r e work,r e p l a c e th e sidewalks on t h e p e r i m e t e r of h e e n t i r e Plaza w i t h ADA ompliance, complete th ePlaza work West f the new a l l e y and add t r e e s . We re n t h e process of adding th e outdoorf i r e p l a c e which exceeds our n i t i a l e x p e c t a t i o n of i z e and design; t s going t o look awesome ndbe very welcoming t o those v i s i t i n g th e downtown!Th e n i t i a l budget s attached although t has been s e r i o u s l y stressed by t h e l a t e s t a r t , designchanges, engineering changes and as- b u i l t changes h a t needed t o occur o th e undergroundi n f r a s t r u c t u r e . Please note the a c t u a l costs t o date versus t h e budgeted c o s t s ; we e a r t h a t a s h i st r e n d i n increased cost o n t i n u e s , t h e Plaza i l l n o t be able t o be u i l t a s designed no r i t h th em a t e r i a l s and elements t h a t we ave l l s e l e c t e d .We o o k forward t o meeting w i t h t h e c i t y q u i c k l y t o develop an immediate p l a n of c t i o n f o r th eremainder of our d o n a t i o n .

    R e s p e c t f u l l y ,

    K r i s E l l i o t t

    110 E ALL GAN STREET / LANSING, MI 48933 / ph 517 371 2200 / j3517 374 2874 / uu e.ererg~