HomeMy WebLinkAbout16. 22-13JANUARY 11, 2022 22-13 RESOLUTION
(CARRIED___7-0____LOST_______LAID OVER_______WITHDRAWN_______)
PURPOSE: APPROVE PURCHASE AGREEMENT WITH T. WALL
ENTERPRISES DEVELOPMENT, LLC FOR REDEVELOPMENT OF
THE PROPERTY LOCATED 43 EAST 7TH AVENUE
INITIATED BY: COMMUNITY DEVELOPMENT
NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of
Oshkosh that the proper City officials are hereby authorized and directed to enter into a
Purchase Agreement with T. Wall Enterprises Development, LLC for the purchase and
redevelopment of the property located at 43 East 7th Avenue, per the attached, in
substantially the same terms as attached hereto, any changes in the execution copy being
deemed approved by their respective signatures, and to carry out all actions necessary to
implement the City's obligations under the Purchase Agreement.
City Hall, 215 Church Avenue P.O. Box 1130 Oshkosh, WI 54903-1130 920.236.5000 http://www.ci.oshkosh.wi.us
TO: Honorable Mayor and Members of the Common Council
FROM: Kelly Nieforth, Economic Development Services Division Manager
DATE: January 6, 2022
RE: Approve Purchase Agreement with T. Wall Enterprises Development, LLC for
Redevelopment of Property Located 43 E. 7th Avenue
BACKGROUND
The RDA has been acquiring property around the 43 E. 7th Avenue area for nearly 15 years in
order to redevelop the southshore of the Fox River between S. Main Street and the Canadian
National railroad tracks within the Sawdust District. After years of multiple acquisitions, the
RDA amassed enough area to support a large scale development.
In the spring of 2021, the Oshkosh Redevelopment Authority (RDA) solicited proposals from
developers for the redevelopment of the RDA-owned property in the Sawdust District. The RDA
received six proposals for consideration from developers around the state. RDA members
ultimately chose the proposal from T. Wall Enterprises Development, LLC and approved city
staff executing an option to purchase with the developer.
The T. Wall Enterprises Development, LLC proposal indicated that approximately 300
multifamily units will be constructed and there will be approximately 20,000 sq. ft. of
commercial space along S. Main Street as part of the redevelopment project for a total investment
of approximately $75 million dollars. A representative from T. Wall Enterprises Development,
LLC presented their proposed project to Council on August 10, 2021. The developer is proposing
to start construction on the first phase in the fall of 2022.
In addition to the option to purchase the real property from RDA, T. Wall has requested a formal
purchase agreement which includes certain terms more broadly related to the creation of the
anticipated TIF district and associated development agreement which will require Council
approval.
ANALYSIS
The terms of the agreement are as follows:
$1 purchase price of the redevelopment property
City Hall, 215 Church Avenue P.O. Box 1130 Oshkosh, WI 54903-1130 920.236.5000 http://www.ci.oshkosh.wi.us
Developer allowed a contingency period for due diligence until June 30, 2022 with up to
two sixty (60) day extensions
The closing of the property shall take place no later than December 31, 2022 or when the
Developer has obtained a building permit to construct the Developer’s intended
development
City and Developer will continue to work together on the remediation of the site
Closing on the property will be contingent upon the City and Developer entering into a
Development Agreement with TIF assistance
FISCAL IMPACT
If Council approves a new Tax Incremental District in the redevelopment area, the Developer
has requested 90% of the tax increment and 20-25% of the total project costs incurred by the
Developer to be provided as TIF assistance. City staff will work with Council on the creation of
a new TID and the terms of a Development Agreement for TIF assistance.
RECOMMENDATIONS
The City Council approves the purchase agreement with T. Wall Enterprises Development, LLC
for the redevelopment of the RDA property in the Sawdust District and authorizes staff to
execute said purchase agreement and take those steps necessary to implement the terms and
conditions of the agreement.
Respectfully Submitted, Approved,
Kelly Nieforth Mark A. Rohloff
Community Development Director City Manager
THE MILL ON MAIN