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PROPOSED MISCELLANEOUS ITEM OF BUSINESS
Department: Department of Real Estate Management
Summary: The Department of Real Estate Management is requesting approval of a proposed Purchase and Sale agreement that pertains to the daycare facility located at 1851 W. Harrison Street, Chicago, Illinois. The property is currently the subject of a ninety-nine (99) year ground lease between Cook County and CHDG Phase 1A1 Childcare, LLC.
Presently, the bank is insisting that CHDG Phase 1A1 Childcare sell its leasehold interest to offset the developer's outstanding loan balance. DREM is recommending the purchase of the asset, because (1.) it permits the County to continue the availability of childcare services to CCH employees in the long-term; (2.) it permits the County to regain control of a highly coveted County asset, and (3.) the asset is expected to generate more than double the revenue earned from the current land lease.
Negotiations are ongoing and all final costs will be added to this item via amendment before the Asset Management Committee considers its approval.
Total purchase price: TBD (Including closing costs)
Average annual NOI TBD (Over ten (10) years)
NPV of cash flow: TBD
Fiscal Impact: TBD
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