Repository: UIHistories Project: Board of Trustees Minutes - 1990 [PAGE 54]

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BOARD O F T R U S T E E S

[September 13

Chicago, at a price not to exceed $5,700,000, subject to the receipt of an appraisal to support the purchase price and to the availability of funds. LaMancha/Circle Court Associates, the owner, through a land trust, has accepted the University's nonbinding letter of intent for an inspection period through September 18, 1990. T h e University is presented with a unique opportunity to acquire this property, currently a shopping center and office complex, located on a five-acre site at the northwest corner of Racine Avenue and Harrison Street. T h e brick and prestressed concrete structure contains 209,600 gross square feet (150,000 net assignable square feet) and 350 parking spaces. T h e building's design was influenced by the east campus of the University and the structure is relatively new (completed in 1973) and sound. T h e University proposes to undertake general repairs and upgrade the building over a period of time as existing leases expire. T h e cost of all general repairs, renovation, building upgrades, and Phases I and II buildout is estimated at $5,517,300. Phase III, which is not expected to commence until 1997, is estimated at $4,154,000. Recent programming studies have identified the desire to consolidate student service functions now scattered in many locations to better serve student needs and to accommodate expanding student services programs and related activities. Some of these student functions occupy space that is critically needed for academic programs. In addition through the reassignment of space, the campus can reduce its requirement to lease space off-campus. It is now recommended that the University be authorized to proceed with negotiations to acquire this property as outlined, and that the comptroller be authorized to make earnest money deposits applicable to the purchase price of up to $150,000 as evidence of good faith to obtain an extended closing period, if necessary. A number of financing alternatives are being reviewed including the issuance of revenue bonds. Once negotiations are completed, a financing plan will be submitted to the board for approval with the request for authorization to acquire and renovate this property. T h e vice president for business and finance concurs in this recommendation. I recommend approval. Mrs. S h e p h e r d moved t h a t t h e trustees authorize t h e c o m p t r o l l e r to n e g o t i a t e a n d execute an option to purchase t h e Circle C o u r t Building located at 500 South Racine Avenue, Chicago, at a price not to exceed $ 5 , 7 0 0 , 0 0 0 subject to t h e finalization of a financing mechanism for t h e p u r c h a s e price a n d u p g r a d i n g of this facility. T h e s e actions a r e to b e r e p o r t e d back to t h e Board of T r u s t e e s . T h e m o t i o n was a p p r o v e d by t h e following vote: Aye, Mr. Boyle, Mrs. Calder, Mrs. G r a v e n h o r s t , Ms. Reese, Mrs. S h e p h e r d , Mr. Wolff; no, n o n e ; absent, Dr. Bacon, Mr. Grabowski, Mr. H a h n , G o v e r n o r Thompson. ( T h e student advisory vote was: Aye, Mr. Forbes; absent, Ms. Kelly.) T r u s t e e H a h n r e t u r n e d to t h e m e e t i n g at 9:45 a.m. a n d T r u s t e e Bacon r e t u r n e d at 10:00 a.m. EXECUTIVE SESSION ADJOURNED T h e r e being no further business, t h e executive session adjourned at 10:15 a.m. T h e b o a r d r e c o n v e n e d in regular session at 10:25 a.m.