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Home My WebLink About2015 11 12 Act 381 WorkPlanEnvironmental ACT 381 Work Plan 0)n1 r ACT 38WORK PLAN To Conduct MDEQ Environmental Activities and MSF Non -Environmental Activities SkyVue on Michigan Redevelopment Project \ 3165 East Michigan Avenue, Lansing, Michigan 48912 PREPARED BY Lansing Brownfield Redevelopment Authority - 1000 S. Washington Ave., Ste. 201 Lansing, Michigan 48912' Contact Person: Karl Dorshimer Email: karl@purelansing.com Phone: 517-702-3387 Lansing Properties 1, LLC 348 Enterprise Drive Valdosta, Georgia 31601 _Contact Person: R. Gregory Hunter Email: ghunter@risere.com Phone: (229) 219-8033 AKT Peerless 1000 S. Washington Avenue, Suite 104 Lansing, Michigan 48910- Contact Person: Janet Michaluk Email: michalukj@aktpeerless.com Phone: (517) 231-0766 LBRA PROJECT # 60 REVISION DATE November 12, 2015 MDEQAPPROVAL November17,.2015 MSF APPROVAL November 24, 2015 1.0 INTRODUCTION........................................................................................................................... 3 1.1 ELIGIBLE PROPERTY INFORMATION........................................................................................4 1.1.1 Location and Eligibility............................................................................................ 4 1.1.2 Current Ownership.................................................................................................4 1.1.3 Proposed Future Ownership..................................................................................4 1.1.4 Delinquent Taxes, Interest, and Penalties..............................................................4 1.1.5 Existing and Proposed Future Zoning for the Eligible Property ............... ::............. 5 1.2 HISTORICAL USE OF THE ELIGIBLE PROPERTY.........................................................................5 1.3 CURRENT USE OF THE ELIGIBLE PROPERTY............................................................................ 5 1.4 SUMMARY OF PROPOSED REDEVELOPMENT AND FUTURE USE FOR THE ELIGIBLE PROPERTY............................................................................................................................... 5 1.5 INFORMATION REQUIRED BY SECTION 15(15) OF THE STATUTE ............................................ 5 1.5.1 Sufficiency of Individual Activities to Complete Eligible Activities .........................5 1.5.2 Necessity of Individual Activities to Complete Eligible Activities ........................... 6 1.5.3 Reasonableness of Costs........................................................................................ 6 1.5.4 Public Benefit......................................................................................................... 6 1.5.5 Reuse of Vacant Buildings and Redevelopment of Blighted Property....................7 1.5.6 Job Creation............................................................................................................ 7 1.5.7 Unemployment Status............................................................................................ 7 1.5.8 Contamination Alleviation...................................................................................... 7 1.5.9 Private Sector Contribution.................................................................................... 7 1.5.10 Cost Gap Comparison............................................................................................. 7 1.5.11 Brownfield Creation................................................................................................ 7 1.5.12 Project Financial Data............................................................................................. 7 1.5.13 Incentives............................................................................................................... 8 1.5.14 Additional Information...........................................................................................8 2.0 CURRENT PROPERTY CONDITIONS............................................................................................... 8 2.1 PROPERTY ELIGIBILITY............................................................................................................. 8 2.2 SUMMARY OF ENVIRONMENTAL CONDITIONS...................................................................... 8 2.2.1 Environmental Investigations.................................................................................8 2.2.2 Summary of Current Known Conditions...............................................................12 3.0 SCOPE OF WORK....................................................................................................................... 14 3.1 MDEQ ELIGIBLE ACTIVITIES...................................................................................................14 3.1.1 Baseline Environmental Assessment Activities....................................................14 3.1.2 Due Care Activities...............................................................................................14 3.1.3 Additional Response Activities.............................................................................17 3.1.4 Preparation of Brownfield Plan and Act 381 Work Plan.......................................17 3.1.5 Interest.................................................................................................................17 3.2 MSF ELIGIBLE ACTIVITIES......................................................................................................17 3.2.1 Infrastructure Improvements...............................................................................18 3.2.2 Lead and Asbestos Abatement.............................................................................18 ACT 381 WORK PLAN I SKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 1 REVISION DATE: NOVEMBER 12, 2015 3.2.3 Demolition............................................................................................................18 3.2.4 Site Preparation....................................................................................................18 3.2.5 Brownfield and Act 381 Work Plan Preparation...................................................19 3.2.6 Interest................................................................................................................. 20 4.0 SCHEDULE AND COSTS.............................................................................................................. 20 - -- _ 4.1 - SCHEDULE OF ACTIVITIES...................................................................................................... 20 4.2 ESTIMATED COSTS................................................................................................................. 20 4.2.1 Description of MDEQ Eligible Activities Costs ...................................................... 20 4.2.2 Description of MSF Eligible Activities Costs......................................................... 20 4.2.3 Contingency..........................................................................................................20 5.0 PROJECT COSTS AND FUNDING.................................................................................................. 23 5.1 TOTAL ESTIMATED PROJECT COSTS....................................................................................... 23 5.2 SOURCES AND USES OF FUNDS............................................................................................ 23 6.0 LIMITATIONS.............................................................................................................................24 FIGURES Figure 1...........................................................................................................Scaled Property Location Map Figure 2........................................................................................................Eligible Property Boundary Map Figure 3..............................................................................Site Map with Soil Results Exceeding MDEQ RCC Figure 4..............................................................Site Map with Groundwater Results Exceeding MDEQ RCC Figure 5 .......................................................Site Map with Anticipated Public Infrastructure Improvements Figure6................................................................................................................................Site Photographs Figure7..................................................................................................................... Site Plans & Renderings TABLES Table 1................................. . "...Eligible Activities Cost Detail Table 2...................................................................................................... Tax Increment Revenue Estimates Table 3.................................................................................................. Reimbursement Allocation Schedule APPENDICES AppendixA............................................................................................................................. Brownfield Plan AppendixB................................................................................................................................... Resolutions Appendix C......................................................................................... Executed Reimbursement Agreement Appendix D................................................................................................................Supplemental Materials ACT381 WORK PLAN ISKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 2 REVISION DATE: NOVEMBER 12, 2015 ACT 381 WORK PLAN SkyVue on Michigan Redevelopment Project 3165 East Michigan Avenue, Lansing, Michigan 48912 1.0 Introduction The Lansing Brownfield Redevelopment Authority (the "Authority") is submitting this Act 381 Work Plan for the property located at 3165 East Michigan Avenue (the "subject property"). The subject property is situated northwest of the intersection of East Michigan Avenue and Morgan Lane. The subject property comprises a single parcel that contains approximately 3.37 acres (Parcel ID Number 33-01-01-14-226- 031). The Brownfield Plan for the SkyVue on Michigan Redevelopment Project ("the Brownfield Plan") was approved by the Authority on July 17, 2015. The Lansing City Council approved the Brownfield Plan on August 31, 2015. Refer to Appendix A for a copy of the Brownfield Plan and resolution approving the Brownfield Plan. The Project proposes to redevelop an underutilized vacant property into a contemporary 634,843ft2 mixed -use complex. The redevelopment integrates design elements, environmental cleanup, and economic development to further goals of the City of Lansing. It will result in: (1) the community and municipal benefits of increased property taxes on the subject property; (2) due care activities that will address the contamination on the subject property, reducing the threat to human health and the environment; and (3) a substantial improvement to the appearance and aesthetics of the subject property which will assist in increasing the property values of the neighboring community. The overall redevelopment of this site will include demolition of two buildings totaling 43,972ft2, an asbestos survey and abatement, site preparation activities to ready the site for redevelopment, and the design and construction of new infrastructure improvements. The project will also include activities to investigate and remediate the presence of environmental contamination at the property. The subject property will be redeveloped with an approximately 9-story, 634,843ft2 mixed -use commercial and residential complex with 4,075ft2 first floor retail space. It will also have an associated multi -level parking structure. Lansing Properties 1, LLC is a single -purpose entity and affiliate of Rise Properties, LLC (RISE), a highly t experienced real estate financing, development and management company. RISE comprehensively guides its development projects from inception, ensuring close adherence to the company's goals. They are: reasonable and reliable, inspired and impactful, serve and simplify, and experienced and empowering. RISE has successfully completed over 70 projects in 21 states. RISE has a strong commitment to community giving. In addition to the company's multiple volunteer programs, RISE contributes 10% of its earnings to fund the betterment of the communities it serves. Redevelopment of this subject property will ultimately help RISE to meet its goals and those of the community. The Project is seeking tax increment financing (TIF) incentives. Construction is expected to begin in fall 2015, starting with site and building demolition to be followed by site preparation and construction. ACT 381 WORK PLAN JSKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 3 REVISION DATE: NOVEMBER 12, 2015 Based on the current site conditions, certain activities are necessary to prepare the subject property for redevelopment. The following sections present site background information, current subject property conditions, the proposed MDEQenvironmental and MSF non -environmental activities, and the costs associated with the proposed activities. 1.1 Eligible Property Information The following sections provide details on subject property ownership and use. - - - - 1.1.1 Location and Eligibility The subject property is located at 3165 East Michigan Avenue in the City of Lansing, Michigan. It is situated northwest of the intersection of East Michigan Avenue and Morgan Lane. The subject property is comprised of a single 3.37-acre parcel (Parcel ID Number 33-01-01-14-266-031). Please refer to the Brownfield Plan located in Appendix A for the subject property legal description. Refer to Figure 1 for a Scaled Property Location Map and Figure 2 for an Eligible Property Boundary Map. Site Plans and Site Photographs are also included with the Figures attachment. The subject property is considered "eligible property" as defined by Act 381, Section 2 because: (a) the subject property was previously utilized as a commercial property (car sales and maintenance); (b) it is located within the City of Lansing, a qualified local governmental unit, or "Core Community" under Act 381; and (c) the property is determined to be a "facility." Please refer to the Brownfield Plan provided in Appendix A for the relevant supporting documentation. 1.1.2 Current Ownership The parcel which comprises the subject property is presently owned by Kay Investment Co. The contact information for Kay Investment Co is: Kay Investment Co 1919 S Creyts Road Lansing, MI 48917 1.1.3 Proposed Future Ownership The contact information for Lansing Properties I, LLC is: Greg Hunter 348 Enterprise Dr. Valdosta, GA 31601 Phone: (229) 219-8136 Email: ghunter@risere.com 1.1.4 Delinquent Taxes, Interest, and Penalties No delinquent taxes, interest, or penalties are known to exist for the property. ACT 381 WORK PLAN ISKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 4 REVISION DATE: NOVEMBER 12, 2015 1.1.5 Existing and Proposed Future Zoning for the Eligible Property The subject property was previously zoned Parking (J) and Commercial (F). The subject property zoning was changed to Apartment Shop (E-1) on August 31, 2015 by the Lansing City Council. The Project also received approval of a variance for the building height limitation, front yard setback requirement and density restrictions. - -1.2 - Historical Use of the Eligible Property -- _ - Prior to 1960 the subject property was undeveloped. In 1960 the subject property was developed with two commercial buildings for automobile sales and servicing. The subject property operated as such until 2008. Since operations ceased in 2008, the subject property has remained vacant. 1.3 Current Use of the Eligible Property The subject property currently contains two vacant commercial buildings totaling 43,972ft2. Exterior portions of the property include landscaped areas and asphalt pavement. The subject property has lain vacant since 2008. 1.4 Summary of Proposed Redevelopment and Future Use for the Eligible Property The Project is for what the City of Lansing intends to be an iconic structure. The new 634, 843ft2 mixed - use development entails demolition of two buildings totaling 43,972ft2, an asbestos survey and abatement, and site remediation and preparation activities. The new development will provide high - demand rental residential housing, an on -site, multi -level parking structure and approximately 4,075ft2 of first -floor commercial retail space. The Project also anticipates improvements to public infrastructure including sanitary sewer, storm sewers and water mains. Rise Properties, LLC (RISE) is known nation-wide for its experience in real estate financing, development and management. Their attention to detail and practiced comprehensive development process will ensure that the Project meets the City's goals for an iconic building on Michigan Avenue. The Project is seeking tax increment financing (TIF) incentives. Construction is expected to begin in fall 2015, starting with site and building demolition to be followed by site preparation and construction. 1.5 Information Required By Section 15(15) of the Statute MSF shall consider the following criteria to the extent reasonably applicable to the eligible activities proposed as part of this Act 381 Work Plan. 1.5.1 Sufficiency of Individual Activities to Complete Eligible Activities Brownfield and Act 381 Work Plan Preparation —The brownfield plan and work plan have been completed in accordance with Act 381. Infrastructure Improvements —Public and private infrastructure improvements are sufficient to complete the project since they will result in both aesthetic and functional improvements which will benefit and support both the project and public generally. Lead and Asbestos Survey and Abatement —Lead and asbestos survey and abatement activities are sufficient to complete the eligible activities because they will fully abate lead -based paint and asbestos containing materials on the subject property in preparation for building demolition. ACT 381 WORK PLAN ISKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 5 REVISION DATE: NOVEMBER 12, 2015 Demolition —Site and building demolition activities are sufficient to complete the eligible activities because they will completely remove existing development from the subject property in preparation for new construction. Site Preparation —Completion of site preparation activities, as well as demolition and lead and asbestos abatement, are sufficient to complete the eligible activities because they will prepare the site for planned development activities (i.e., new construction). 1.5.2 Necessity of Individual Activities to Complete Eligible Activities • Brownfield Plan and Act 381 Work Plan Preparation— The Brownfield conditions present on the subject property make redevelopment a costly alternative to developing a greenfield site. Approval of the Brownfield Plan and Act 381 Work Plan is necessary to make the development financially feasible. • Infrastructure Improvements— All infrastructure improvements proposed will support the project, and will also serve others and/or the public. The Project will greatly increase the population density and infrastructure use onsite. Consequently, the road improvements, multi- level parking deck, utility upgrades, and the associated support work tasks are necessary activities for successful redevelopment. • Lead and Asbestos Survey and Abatement —The current buildings on the subject property need to be demolished to accommodate the new development. Asbestos and lead paint abatement activities are required to complete building demolition activities in accordance with state and federal regulations. • Demolition —Due to the presence of abandoned utilities, parking lots, and buildings, the site demolition and building demolition are necessary activities. Together, the site demolition and building demolition will sufficiently complete demolition on the subject property. • Site Preparation —Due to existing brownfield conditions on the subject property, completion of the site preparation activities, as well as demolition and lead and asbestos abatement, are necessary to prepare the site for planned development activities (i.e., new construction). 1.5.3 Reasonableness of Costs The estimates for the individual activities are based on activity costs incurred on brownfield projects of similar scope and scale in the area. A formal bidding process is anticipated to ensure reasonableness of costs. 1.5.4 Public Benefit This development will increase urban density and provide new commercial attractions for Lansing residents. In addition, it will boost usage of the City's public transportation system and promote other non -motorized transportation options. The development will also respond to the demand for high quality commercial space that the neighborhood currently lacks. An underutilized subject property will be transformed into a productive and viable, mixed -use development complex. The subject property has underperformed as a taxable interest in the City for a number of years, and this will assist with restoring its productivity. Completion of this Project will bring additional investment and stabilization to the neighborhood. It will also promote a walkable community in Lansing. The Project will promote various transportation options focusing on walkability, biking, and the use of public transit (the subject property is located along several CATA bus routes that service both the Michigan State University campus and downtown Lansing); this will reduce traffic congestion and encourage physical activity. ACT381 WORK PLAN ISKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 6 REVISION DATE: NOVEMBER 12, 2015 The positive visual and aesthetic impact of this iconic project to the public will be significant. The Project can expect to synergize with the recent and anticipated developments on the south side of East Michigan Avenue. New retail development will expand the local economy and create new jobs. The development as a whole will result in additional tax revenue for all taxing jurisdictions once eligible activities have been reimbursed. 1.5.5 _Reuse of Vacant Buildings and Redevelopment of Blighted, Property _ This Project consists of redevelopment of blighted property. The buildings on the subject property have lain vacant for the last seven years and are in poor condition. Therefore, the existing buildings will be demolished to prepare the subject property for redevelopment. 1.5.6 Job Creation Conservatively estimated, nine new permanent full time equivalent (FTE) jobs are anticipated to be created by the commercial and retail portion of the Project. The estimation is based on approximately one new FTE job for every 450 square feet of commercial space. The permanent jobs will likely include, sales, managerial, and service; wages will likely range from approximately $10/hour to $20/hour. An estimated 300 temporary construction jobs will also be created. 1.5.7 Unemployment Status According to the Michigan Labor Market Information System, the City of Lansing unemployment rate was 7.4% in June 2015. Comparatively, the June 2015 unemployment rate was 5.3% in Ingham County, 5.8% in the State of Michigan, and 5.5% in the United States. 1.5.8 Contamination Alleviation The subject property will be prepared to make it suitable for development, and appropriate due care and additional response activities will be performed to prevent exposure to materials hazardous to human health and safety, and the environment. Environmental conditions on the subject property are discussed in detail in Section 2.2. Remedial activities are discussed in detail in Section 3.1. 1.5.9 Private Sector Contribution The Developer and the LBRA will be financing all eligible activities. Total project investment is estimated at approximately $80 million in improvements to land, buildings and personal and real property. 1.5.10 Cost Gap Comparison No alternative greenfield site was considered for the Project. Refer to the Brownfield Plan provided in Appendix A for information related to Brownfield costs. 1.5.11 Brownfield Creation This Project will not create a new Brownfield site. 1.5.12 Project Financial Data The Project cannot proceed without the incentives contemplated for this redevelopment. The Project anticipates an investment of approximately $80 million in real and personal property improvements on the subject property. The Developer and the LBRA will finance all eligible activities under this Act 381 Work Plan related to improvements on the subject property. A Project proforma for the private investment will be provided to MEDC as part of the incentives application process. ACT381 WORK PLAN ISKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 7 REVISION DATE: NOVEMBER 12, 2015 1.5.13 Incentives The total estimated cost of the eligible activities to be reimbursed through the capture of tax increment revenues is provided in Table 1. The reimbursement of the costs of eligible activities through the capture of tax increment revenues is estimated at $25.9 million, including contingency and interest. Redevelopment of the subject property is expected to subsequently generate increases in taxable value and result in incremental taxable value in 2016. The Developer and/or the LBRA will finance all eligible activities under this Act 381 Work Plan related to improvements on the subject property. Refer to Table 1 -- - for additional detail on these activities. 1.5.14 Additional Information None. 2.0 Current Property Conditions The following sections provide detail on how the subject property's Brownfield qualifications. 2.1 Property Eligibility The subject property is considered "eligible property" as defined by Act 381, Section 2 because: (a) the subject property was previously utilized for a commercial purpose; (b) it is located within the City of Lansing, a qualified local governmental unit, or "Core Community" under Act 381; and (c) the parcel which comprises the subject property is determined to be a "facility". 2.2 Summary of Environmental Conditions Under Part 201, a "facility" is defined as "any area, place, or property where a hazardous substance in excess of the concentrations which satisfy the requirements of section 20120a (1) (a) has been released, deposited, disposed of, or otherwise comes to be located." M.C.L. § 324.20101(1) (o). A "release" is defined to include "spilling" or "leaking" of a hazardous substance into the environment. In addition, a "release" includes the abandonment of containers or other closed receptacles containing hazardous substances. M.C.L. § 324.20101(1) (bb). 2.2.1 Environmental Investigations The environmental investigations completed on the subject property are herein summarized. • Geotechnical Evaluation Report, prepared on August 8, 2014 by Soil and Materials Engineers, Inc. (SME) • Phase I Environmental Site Assessment (ESA), prepared on October 3, 2014 by Nederveld, Inc. (Nederveld) • Phase II ESA, prepared on February 24, 2015 by AKT Peerless • Phase I ESA, prepared on September 22, 2015 by Nederveld • Baseline Environmental Assessment (BEA), prepared on September 25, 2015 by AKT Peerless Summaries of the reports and activities relevant to site conditions are provided in the following sections. ACT 381 WORK PLAN ISKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 8 REVISION DATE: NOVEMBER 12, 2015 2.2.1.1 SME's August 2014 Geotechnical Evaluation Report In August 2014, SME conducted an investigation to evaluate the geotechnical conditions of the subject property and present recommendations based on preliminary development plans. SME completed ten soil borings and submitted samples for laboratory testing to classify the soil samples and perform moisture content and hand penetrometer tests. The soil conditions encountered at the borings generally consisted of surficial pavement overlying existing sand fill and then natural sands with strata of clay extending to the explored depths of the borings. Other unstable material was encountered between approximately 3 and 6 feet below grade at one of the boring locations. Groundwater was encountered only at the deeper building borings at depths between approximately 11 and 16 feet. The observed groundwater conditions were thought to be representative of the groundwater conditions at the time of the field exploration. Results of the evaluation indicated the need for specialized foundations. 2.2.1.2 Nederveld's October 2014 Phase I ESA Nederveld prepared a Phase I ESA on October 3, 2014 for the purpose of investigating and identifying recognized environmental conditions (RECs) that might pertain to the subject property. The Phase I ESA included a subject property reconnaissance, review of historical maps and documents, an owner/user questionnaire, and regulatory review. The Phase I ESA identified the following RECs related to historical use of the subject property and adjoining parcels: REC 1- The Subject Property has been utilized as an automobile dealership with a service center since the late 1950's. The 32,792 square foot service building constructed in 1960 has 8 in -ground hoists that were used for automotive repair. Additionally trench drains were observed in the floors of the service building, it is not known if the drains lead to a sanitary sewer. The historical use as an automobile repair facility, its associated uses, and the presence of trench drains in the service building are a REC to the Subject Property. REC 2 - The regulatory database review identifies the Subject Property on three (3) databases, the Resource Conservation and Recovery Act (RCRA) database, the Michigan Underground Storage Tank (UST) database and the Leaking Underground Storage Tank (LUST) database. The RCRA database identifies the facility as a generator of hazardous waste from automotive repair and maintenance. The facility ID is MID008902280. The UST database lists the site as having six (6), USTs removed from the Subject Property in 1991. Seventeen USTs associated with in -ground hoists remain in -place. The LUST database lists the Subject Property as having discovered a release on June 17, 1991, which was the same timeframe as the UST removals. A type A evaluation was performed. The LUST status was closed on July 9, 1993. A Freedom of Information Act request has been submitted to the Michigan Department of Environmental Quality for more information regarding the LUST closure. The closed LUST site in regards to the leaking underground storage tanks is a Historical REC to the Subject Property. The presence of multiple in -ground hoists with the associated underground hydraulic storage tanks are a REC to the Subject Property. ACT381 WORK PLAN 1SKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 9 REVISION DATE: NOVEMBER 12, 2015 REC 3 - The adjoining property, Sears Roebuck and Company, located at 3131 E. Michigan Avenue is a department store with an automotive service center. The site is listed as having a Category D Baseline Environmental Assessment (BEA), number 1324, submitted on August 29, 2008. A BEA identifies the site as having a release to soil or groundwater above residential standards in relation to a prior use as a "facility". No notice of migration was listed with the MDEQ regarding the release. The site is also listed on the RCRA database as a conditionally exempt small quantity generator of hazardous waste, meaning the facility generates less than 100 kg of hazardous . waste a month. The historical use of the site for automotive repair and known presence of a release are an environmental concern. The RECs identified in the Nederveld Phase I ESA report indicate that there is a potential two-tier source of contamination in the former automobile service building at the subject property. These include the floor trench drains present in each service bay wing (i.e., surface sources) and the hydraulic lift hoist cylinders (reported as 8 to 17 present at the subject property) and former USTs (i.e., deeper sources) extending to estimated depths of 10 to 12 feet below ground surface (bgs). In addition to the above RECs identified by Nederveld, an additional REC was identified by AKT Peerless during review of the soil boring logs completed for the SME November 2014 geotechnical soils investigation email. REC 4 - Urban fill is present across the subject property at depths ranging from one to six feet bgs as demonstrated in the soil boring logs from the SME August 8, 2014 geotechnical investigation. REC 4 - Urban fill material has the potential to be contaminated from anthropogenic sources (e.g., air particulate deposition from coal use, leaded gasoline, lead -based paint, etc.). In addition, as previously indicated as a limiting condition, the northern portion of the service building was not observed by Nederveld. 2.2.1.3 AKT Peerless' February 2015 Phase II ESA In February 2015, AKT Peerless conducted a Phase 11 ESA at the subject property to evaluate for the presence of contamination on the subject property based on the RECs identified within Nederveld's October 2014 Phase I ESA. In addition to the RECs identified by Nederveld, an additional REC was identified by AKT Peerless during review of the soil boring logs completed for the SME August 2014 geotechnical evaluation report: the presence of urban fill across the subject property at depths ranging from one to six feet below ground surface (bgs). The subsurface investigation consisted of: (1) the advancement of 19 soil borings, (2) the installation of five temporary groundwater monitoring wells, and (3) the collection of 10 soil samples and five groundwater samples. According to laboratory analytical results of the samples collected, metals (i.e., arsenic, chromium, mercury, and selenium) and volatiles (i.e., tetrachloroethylene) were detected in soil at concentrations exceeding Michigan Department of Environmental Quality (MDEQ) Residential Cleanup Criteria (RCC) including drinking water protection (DWP) criteria, groundwater to surface water interface protection (GSIP) criteria, and direct contact (DC) criteria. AKT Peerless identified tetra ch loroethylen e at one soil boring location (SB-1-15) at a concentration exceeding the MDEQ Residential Vapor Intrusion (VI) Soil Screening Level ACT381 WORK PLAN ISKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 10 REVISION DATE: NOVEMBER 12, 2015 Review of the other soil samples submitted for VOC analysis by AKT Peerless revealed tetrachloroethylene was not identified at concentrations above the laboratory method detection limit. The Residential VI exceedance is limited to the northwestern portion of the site where the open sided parking structure will be constructed. As such, this exceedance does not warrant remedial measures as the concentration does not exceed the MDEQ Non -Residential VI screening levels. _The proposed foundation systems in this area of the site may involve the removal of this soil. It should be noted that this soil should not be relocated on the site if excavated, but rather transported to a Type II landfill for disposal. In addition, metals (i.e., lead and selenium) and chloride were detected in groundwater at concentrations exceeding MDEQ RCC including drinking water (DW) criteria and groundwater to surface water interface (GSI) criteria. Based on these laboratory analytical results, the subject property meets the definition of a "facility" as defined by Section 20101 of the Natural Resources and Environmental Protection Act (NREPA) Act 451, Part 201, as amended. 2.2.1.4 Nederveld's September 2015 Phase I ESA Nederveld prepared a Phase I ESA on September 22, 2015 for the purpose of investigating and identifying RECs that might pertain to the subject property. The Phase I ESA included a subject property reconnaissance, review of historical maps and documents, an owner/user questionnaire, and regulatory review. The Phase I ESA identified the following RECs related to historical use of the subject property and adjoining parcels: REC 1- The subject property is listed with 17 60-gallon hydraulic USTs that are associated with in ground hydraulic hoists. Approximately 15 former in ground hydraulic hoists were observed during the course of the site investigation of the former garage service/repair shop commercial building. Due to the listed presence of 17 in ground hydraulic hoist USTs on the subject property, one (1) REC was identified. REC 2 - Multiple trench lines were observed in the maintenance/auto repair areas of the former garage service/repair shop commercial building. It is not known if the drains discharge to municipal sewer. Nederveld considered the historical use of the subject property as an automobile dealership with a service center since the late 1950s and the presence of trench drains a REC. REC 3 - The presence of urban fill was identified at various depths from one to six feet below grade in the Phase II ESA Report dated February 24, 2015 that was prepared by AKT Peerless for the subject property. Nederveld identified the known presence of urban fill on -site as a REC. A Historical REC (HREC) was identified in the Phase I ESA. An HREC is the past release of a hazardous substance that has been addressed to the satisfaction of the applicable regulatory authority with no required controls (i.e. land use restrictions, engineering controls, etc.). THE HREC identified was the six USTs formerly present on the subject property. A release dated June 17, 1991 was reported in relation to the USTs. The release was closed under a Type A evaluation with no land use restrictions in July of 1993. ACT381 WORK PLAN JSKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 11 REVISION DATE: NOVEMBER 12, 2015 One additional environmental concern was noted for the subject property in the Phase I ESA. Nederveld identified the western adjoining property (Sears Automotive Center) as an active auto repair shop. The site was identified as a BEA Site with a Category D BEA completed in August of 2008. The BEA identified mercury and arsenic in soil above the residential criteria on the northwestern portion of the site. Soil samples along the shared property line with the subject property did not exhibit any constituents above the residential criteria. Nederveld noted that the historical use of the western adjoining property --presented an environmental. concern. This environmental concern, however, was not identified as an REC. In addition, the Phase I ESA identified two additional findings which it did not consider a REC. A Phase I ESA dated October 3, 2014 and a Phase II ESA completed in February of 2015 for the subject property identified a total of three RECs for the subject property. The Phase II ESA included the collection of 10 soil and five groundwater samples. Analytical results identified concentrations of arsenic, chromium, mercury, selenium, tetrachloroethylene, lead and chloride in soil and/or groundwater at concentrations exceeding the MDEQ Part 201 Residential Cleanup Criteria. Therefore the subject property was noted to qualify as a "facility". The subject property is located within the 100 and 500 year flood plain zone. AKT Peerless has not evaluated the quality of the Nederveld Phase I ESA report or formed an opinion as to if the identified environmental concerns were adequately investigated. 2.2.1.5 AKT Peerless' September 2015 Baseline Environmental Assessment On September 25, 2015, AKT Peerless completed a BEA on behalf of Lansing Properties I, LLC for 3165 East Michigan Avenue. The BEA was based on the analytical results of AKT Peerless' February 2015 Phase II ESA. The BEA was submitted to the MDEQ on October 15, 2015. 2.2.2 Summary of Current Known Conditions As demonstrated in the preceding sections, the subject property has been thoroughly investigated to determine the soil and groundwater quality that currently exist. Based on the analytical results obtained during AKT Peerless' 2015 subsurface investigation, the following hazardous substances were detected in samples collected from the subject property above their respective MDEQ RCC in soil and/or groundwater samples collected at the subject property. Summary of Part 201 Exceedances in Soil Sample Location(s) with Constituent/CAS Number Criteria Exceedance Maximum Concentration (/kg) Generic Criteria Exceeded (Depth in ft.) Arsenic SB-5-15 (1.5'-2.5') 16,000 DWP 7440-38-2 SB-7-15-1(4'-5') GSIP DC ACT381 WORK PLAN ISKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 12 REVISION DATE: NOVEMBER 12, 2015 Sample Location(s) with Maximum Concentration Generic Criteria Constituent/CAS Number Criteria Exceedance (�/) Exceeded (Depth in ft.) Chromium SB-1-15 (6'-7') 15,000 GSIP 7440-47-3 SB-4-15 (1.5'-2.5') SB-5-15 (1.5'-2.5') SB-7-15-1(4'-5') SB-8-15 (17'-18') SB-9-15 (17'-18') HA-10-15 (1'-2') HA-11-15 (1'-2') HA-12-15 (3.5'-4.5') HA-13-15 (1'-2') Mercury SB-4-15 (1.5'-2.5') 15,000 DWP 7439-97-6 SB-5-15 (1.5'-2.5') GSIP SB-7-15-1(4'-5') HA-10-15 (1'-2') HA-11-15 (1'-2') HA-12-15 (3.5'-4.5') Selenium SB-7-15-1(4'-5') 670 GSIP 7782-49-2 Tetra chloroethylene SB-1-15 (6'-7') 210 DWP 127-18-4 1— µg/kg = micrograms per kilogram Summary of Part 201 Exceedances in Groundwater Constituent/CASNumber : Sample Location Maximum Residential Criteria (@ 15 -16) Concentration (µg/L)i Exceeded Lead SB-2-15/TMW (15'-20') 4.5 DW 7439-92-1 Selenium SB-6-15/TMW (15'-20') 7.6 GSI 7782-49-2 Chloride SB-6-15/TMW (15'-20') 310,000 DW 16887-00-6 SB-9-15/TMW (15'-20') 1— µg/L = micrograms per liter Based on the analytical findings, the parcel meets the definition of a "facility" as defined by Part 201 of NREPA, Michigan PA 451 of 1994, as amended. 11 ACT 381 WORK PLAN JSKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 13 REVISION DATE: NOVEMBER 12, 2015 3.0 Scope of Work The following scope of work has been identified to address the subject property's Brownfield conditions. 3.1 MDEQ Eligible Activities The subject property will be prepared to make it suitable for development. Appropriate BEA activities, due care activities, and additional response activities will be and have been performed to prevent_ _ exposure to materials hazardous to human health and safety, and the environment. The Developer desires to be reimbursed for the costs of eligible activities. Tax increment revenue generated by the subject property will be captured and used to reimburse the cost of the eligible activities completed on the subject property, as authorized by Act 381, as amended, and pursuant to the terms of a Reimbursement Agreement (refer to Appendix B) with the Authority. Refer to Table 1 for a detailed description of the eligible activities for the Project and Tables 2 and 3 for tax increment financing projections. 3.1.1 Baseline Environmental Assessment Activities Phase I and Phase II ESAs and a BEA have been completed for the subject property. 3.1.2 Due Care Activities The following due care activities are necessary for redevelopment of the subject property. Due care activities include oversight, planning, and project management costs that are directly associated with the individual due care activities. 3.1.2.1 Soil Remediation Activities AKT Peerless has conducted an investigation that detected volatiles, metals and/or chloride in soil and groundwater at concentrations that exceed MDEQ's Part 201 RCC. The Developer intends to redevelop the subject property with a nine -story mixed -use development and associated eight -story parking deck. Therefore, the Developer plans to implement the following actions to remediate or otherwise mitigate environmental risks associated with the impacted soil present on the subject property (refer to Figure 4 in the attachments). Approximately 1,500 tons of contaminated soil may be excavated at the subject property within foundation and utility corridor footprints. As the soil is contaminated, if it cannot be reused on site due to land balancing constraints, it must be properly disposed of at licensed disposal facility. Therefore, the soil must be removed from the subject property and disposed at a Type II landfill. Since this soil would be excavated for foundation and utility work regardless of contamination, the costs included in the eligible activities are limited to the additional expenses for handling the impacted soil in excess of a greenfield property (i.e., added costs for a brownfield site). Eligible costs include transportation, disposal, oversight and reporting, waste characterization (including polychlorinated biphenyls [PCBs], where applicable), and project management. Please refer to Table 1, Eligible Activity Costs Detail, for specific line item costs for the due care activities and to Figure 3 and Figure 4 for the locations of contaminated soil and contaminated groundwater. ACT381 WORK PLAN JSKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 14 REVISION DATE: NOVEMBER 12, 2015 3.1.2.2 Dewatering Dewatering is only anticipated if perched groundwater is encountered or if large rain events occur. If necessary, water will be treated on site and will meet the local municipality discharge specifications. The cost of dewatering may also include mobilization and demobilization, cost of equipment and fuel, groundwater sampling, the City's discharge fee, and project management. 3.1.2.3 Health and Safety Plan A site -specific Health and Safety Plan (HASP) will be completed for redevelopment activities at the subject property by each of the subsurface contractors and others that can come into contact with potentially contaminated media during the performance of their work activities. The HASPS will comply with appropriate guidelines including the following: • Michigan Occupational Safety and Health Act; • Section 111(c)(6) of CERCLA; • Occupational Safety and Health Administration requirements 29 CFR 1910 and 1926; • Standard Operating Safety Guide Manual (revised November 1984) by the Office of Emergency and Remedial Response; and • Occupation Safety and Health guidance manual for Hazardous Waste Site Activities (National Institute for Occupational Safety and Health [NIOSH]/OSHA/United States Coast Guard [USCG]/Environmental Protection Agency [EPA], Department of Health and Human Services [DHHS] [NIOSH] Publication No. 85-115, October 1985). The HASPS will include the following elements: Authorized personnel and definition of responsibilities; proposed activities; personal protective equipment; decontamination procedures; work zone restrictions and delineations; personal protection upgrade/downgrade action limits; emergency information and telephone numbers; incident documentation procedures; and contingency plans. Oversight will be conducted to ensure due care issues are addressed while eligible activities and construction activities are being completed. The following activities (at a minimum) will be documented: • The type, location, quantities, etc., of materials removed from the site and disposed at the landfill or other appropriately licensed disposal operation. • The final disposition and location of any contaminated media that can be managed on -site in accordance with due care requirements. • Monitoring for unanticipated materials and/or materials previously not identified, including collection of samples for additional waste characterization. • The type, location, materials and construction of vapor mitigation systems installed at the site to prevent future potential indoor air inhalation exposures. The Contractor Site Safety Officer will document and enforce HASP issues with workers at the site, including: • Verification of on -site worker training and current certifications. • Conducting site -specific HASP training for workers entering the site. • Monitoring construction activities to ensure the HASP is being followed, including use of PPE, decontamination of equipment, site security, etc. ACT 381 WORK PLAN ISKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 15 REVISION DATE: NOVEMBER 12, 2015 3.1.2.4 Investigations and Reporting Documentation of Due Care Compliance (DDCC) is anticipated to be completed for the construction activities and for operation of the subject property post -construction. To demonstrate compliance with Section 20107a ("Due Care"), minimum "response activity plans," which may be necessary during site use and ownership, will be outlined. The proposed response -. -- activities are related. to proper management of impacted soil and groundwater during construction, activities whose contaminant concentrations exceed MDEQ's RCC. The DDCC more commonly known as "due care" plans will be completed in accordance with Part 201 of the Natural Resources and Environmental Protection Act (NREPA), 1994 Public Act (PA) 451, as amended, and Michigan Department of Environmental Quality (MDEQ) Instructions for Preparing and Disclosing Baseline Environmental Assessments and Section 7a Compliance Analyses, effective March 11, 1999. The due care plans will evaluate the potential exposure risks associated with soil and groundwater contamination at the subject property in light of the nature of the proposed development construction activities and occupancy of the developed property. A detailed breakdown of the costs associated with this task is provided later in this section. A summary of construction activities is anticipated to be included in the post -development DDCC which will be available to the MDEQ after the completion of development activities. The summary will include the due care issues addressed during the construction activities and may include such items as photographic documentation, disposal manifests, fill material load tickets, utility abandonment logs (if any), site plans, etc. to verify that the development construction activities were conducted in accordance with approved plans. 3.1.2.5 Due Care Investigation Additional investigation of site conditions may be necessary to ensure all due care compliance obligations are met. This may include additional subsurface investigation to further assess soil and groundwater contamination at the subject property. 3.1.2.6 Brownfield/Greenfield Costs The requested reimbursement for due care activities in this Act 381 Work Plan is for the increased cost in performing the eligible activities due to the brownfield conditions on the subject property -It should be noted that a specific landfill for soil disposal has not been selected for the Project; as a result, the transportation and disposal costs were estimated based on current market rates with several licensed contractors. Since the areas of soil removal would be excavated for foundation and utility work regardless of contamination, the cost for excavation included in the MDEQ eligible activities are limited to the additional expenses for handling the impacted soil in excess of a greenfield property (i.e., added costs for a brownfield site). MDEQ eligible activity costs therefore include transportation, disposal, dewatering, environmental oversight and reporting, and project management. Please refer to Table 1 in the attachments for further details of the cost calculation for excavation, transportation, and disposal of contaminated soil. ACT 381 WORK PLAN ISKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 16 REVISION DATE: NOVEMBER 12, 2015 3.1.3 Additional Response Activities Additional response activities proposed to be conducted at the subject property consist of: (1) underground hoist removal, (2) soil management and (3) trench drain removal. Please refer to Table 1, Eligible Activity Cost Detail, for specific line item costs for the additional response activities. 3.1.3.1 Underground Hoist Removal - Previous investigations at the subject property revealed the presence of approximately eight - -- underground hoists and 18 associated hydraulic tanks associated with the former use of the property for automobile sales and servicing. The hydraulic hoists and associated tanks will be removed and the hoists, tanks and tank contents will be properly disposed of in accordance with all applicable local, state, and federal regulations in preparation for construction. Due to the age of the hoists, waste characterization sampling including analyzation for PCBs will be conducted prior to disposal of the tank contents. In addition, if PCBs are detected in tank contents, it is planned that additional investigation will be conducted to determine if nearby soil and/or groundwater has been impacted by PCBs. 3.1.3.2 Soil Management (Hot Spot) Approximately 500 tons of tetrachloroethylene ("PERC") impacted soil is planned to be removed from an approximate 31' by 31' area ("PERC Impacted Hot Spot") at the northern portion of the existing service building. The hot spot is the only location on the property with known PERC contamination. The eligible costs included for this activity are the excavation, transportation and disposal of the impacted soil at a Type II Landfill and the associated backfill, oversight and management costs. 3.1.3.3 Trench Drain Removal Three long trench drains remain in the floor of the former service building and will need to be properly decommissioned and removed in preparation for construction. The eligible costs include removal of the drain and, if necessary, any contents. Should contents be found inside the drains, waste characterization will be completed to ensure proper handling and disposal in accordance with all local, state, and federal regulations. 3.1.4 Preparation of Brownfield Plan and Act 381 Work Plan AKT Peerless has prepared a Brownfield Plan and MDEQ and MSF Act 381 Work Plans for the subject property in accordance with all applicable MDEQ and MSF guidance. 3.1.5 Interest The amount advanced by the Developer will be repaid by the Authority with interest at the rate set at 5% simple interest, solely from the tax increment revenues realized from the Eligible Property. Based on the projected cost of environmental eligible activities, accrual of interest is estimated at $241,888. 3.2 MSF Eligible Activities The non -environmental eligible activities will include public and private infrastructure improvements, demolition, asbestos and lead paint survey and abatement, site preparation activities and brownfield and work plan preparation, all of which were approved by the Authority and City Council pursuant to the terms of the Reimbursement Agreement. A summary of the eligible activities and the estimated cost of each eligible activity intended to be reimbursed with Tax Increment Revenues from the subject property are provided in the attached Table 1. ACT 381 WORK PLAN I SKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 17 REVISION DATE: NOVEMBER 12, 2015 3.2.1 Infrastructure Improvements All public right-of-way infrastructure improvements proposed will support the project, and will serve others and/or the public. All infrastructure improvements not located in the public right-of-way are eligible as specifically identified by Act 381 and will support the project. Infrastructure improvements for the project include: • _ Multi -level parking structure. The development plans include construction of a.multi-level _ parking deck to accommodate the new high -density, mixed -use development and to alleviate municipal parking demands. Construction costs also include the costs of soil removal and transportation necessary for the parking structure, foundations, and related soft costs. • Road improvements along East Michigan Avenue and Morgan Lane. Road improvements include road upgrades with new paving, drains, curbs and gutters, approaches, lighting and sidewalks. They also include landscape buffers in the form of street trees, grass, and irrigation in the road easement. These improvements are necessary due to construction activities and to support the new use of the subject property. • Utility upgrades and relocations in the public right-of-way. Utilities may include sanitary sewer mains, storm sewers and water mains and service lines. • Urban stormwater management system. The proposed system is low impact design (LID) and would include a pervious and/or porous underground detention system that promotes stormwater infiltration. The cost of the urban stormwater management system includes the cost of design, materials, installation and associated soft costs. 3.2.2 Lead and Asbestos Abatement Abatement of lead paint and asbestos -containing materials (ACMs) must occur prior to demolition. Both the 32,792ft2 single -story former service building and the 11,180ft2 single -story former sales/office building located at the subject property will be demolished. Both buildings were constructed in 1960 and are known to contain ACMs and are assumed to contain lead -based paint. All removal will be performed in accordance to OSHA Class I asbestos removal requirements as found in 29 CFR 1926.1101. In addition, air monitoring will be performed to comply with OSHA requirements. 3.2.3 Demolition Site demolition will consist of removal of abandoned utilities, asphalt paving, and building foundations. Building demolition includes the demolition of the two existing buildings on the subject property, oversight and project management. 3.2.4 Site Preparation Site preparation activities will include the following: • Geotechnical Investigation —Investigation, engineering, and design as necessitated by subsurface debris and fill material to support the selection of the appropriate foundation system. This investigation has already been completed. Please refer to the Geotechnical Evaluation Report Summary in Section 2.2.1.1. • Clearing and Grubbing— Removal of surface vegetation (e.g., trees and shrubs) is required in advance of site grading. Removal of organic matter including vegetative cover and topsoil within the limits of the proposed work and removal of the material to a depth which is sufficient to permit the construction of the buildings, roads, and utilities. ACT381 WORK PLAN ISKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 18 REVISION DATE: NOVEMBER 12, 2015 • Cut and Fill Operations —As warranted by the licensed design engineer, cut and fill operations to prepare the grade of the site for development. Refer to Appendix D for a copy of the Professional Engineer's letter. • Fill —Imported clean fill material to offset the removal of unstable material is required for construction of the Project. The fill includes: (a) placement and compaction of imported fill to achieve the required soil strength for redevelopment; and (b) a 6" sub -base for building and compaction.- • Dewatering (during MSF Eligible Activities)— Previous subsurface investigations encountered groundwater at depths of approximately 15 feet bgs. The proposed specialized foundations (see Section 3.2.4) will require excavation up to 40 feet bgs. Therefore, in addition to the potential for surface water or rain water to flow into an open excavation, the potential for infiltration of groundwater into foundation and construction excavations exists. Accumulated water will be pumped from the excavations on an as -needed basis to allow for the remedial and construction excavation activities. Samples will be collected from the pumped water. These samples will be characterized by laboratory testing to determine appropriate next action regarding treatment of the water and method of discharge. • Backfill and Compaction —as necessitated following excavation activities to prepare the site for redevelopment. • Grading —movement and placement of soils to grade the site in preparation for new development and construction. • Land Balancing —movement and placement of soils to level or balance the site in preparation for new development and construction. • Relocation of Active Utilities —relocation of existing private and/or public utilities located on the subject property including the cost of excavation, backfill and removal as necessary. • Special Foundations to Address Subsurface Debris/Environmentally Impacted Unstable Fill Material —Incremental cost increase over similar greenfield site to design and build a specialized foundation system adequate to support anticipated loads given the special fill concerns at the subject property. Refer to Appendix D for a copy of the Professional Engineer's letter. • Foundation Soil Management —excavation, transportation and disposal of soil as necessitated by installation of special foundations system for support of the new development. Refer to Appendix D for a copy of the Professional Engineer's letter. • Soil Erosion and Sedimentation Control —Temporary erosion control measures will be necessary to minimize the amount of sediment and other material transported by storm water runoff from the subject property. Controls will consist of silt fencing, storm sewer inlet filters, and use of stone mud mats. • Surveying and Staking —Staking for clearing & grubbing, excavation, and cut and fill for completion of MSF eligible activities is required prior to the start of construction. • Temporary Access Road —activities to create a safe temporary access road for the project area. • Temporary Fencing —Chain link construction fencing with locking gates to secure the subject property during construction. • Temporary Traffic Control —any required signage, traffic cones, barricades or other control measures to control the flow of traffic. 3.2.5 Brownfield and Act 381 Work Plan Preparation AKT Peerless has prepared a Brownfield Plan and MDEQ and MSF Act 381 Work Plans for the subject property in accordance with all applicable MDEQ and MSF guidance. ACT 381 WORK PLAN ISKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 19 REVISION DATE: NOVEMBER 12, 2015 3.2.6 Interest The amount advanced by the Developer will be repaid by the Authority with interest at the rate set at 5% simple interest, solely from the tax increment revenues realized from the Eligible Property. Based on the projected cost of non -environmental eligible activities, accrual of interest is estimated at $8,486,265. 4.0- Schedule and Costs - The following sections present the proposed schedule to complete the Project and the associated costs. 4.1 Schedule of Activities Project activities will commence in the fall of 2015 following the Lansing Brownfield Redevelopment Authority, the Lansing City Council, MDEQ, and MSF approvals. Completion of the Project is anticipated to be within approximately 2 years. 4.2 Estimated Costs The itemized estimated costs to complete the environmental and non -environmental eligible activities including all labor, equipment, subcontractors, and materials under this Act 381 Work Plan are provided in Sections 4.2.1 and 4.2.2 below and in the attached Table 1. Actual interest associated with the eligible activities not to exceed 5% to address the true cost of conducting the eligible activities associated with the development of this site is also included. 4.2.1 Description of MDEQ Eligible Activities Costs The estimated cost for the activities plus contingency, fees, and interest described in this section is $718,153. The Developer desires to be reimbursed for the costs of eligible activities. Individual costs associated with these activities are provided in the table below. See Table 1 for further details. 4.2.2 Description of MSF Eligible Activities Costs The estimated cost for the activities plus contingency described in this section is $25,195,280. A more detailed description of the costs associated with these activities is provided in the following table. Unit costs are provided where applicable. For additional support documentation, please refer to Table 1. 4.2.3 Contingency A 15% contingency factor has been included to accommodate for unexpected conditions that may be encountered during the performance of eligible activities. MDEQ Eligible Activities Eligible Activity Total Est. Cost BEA Activities Phase I Environmental Site Assessment (ESA) $5,000 Phase II ESA $20,000 Baseline Environmental Assessment $5,000 BEA Activities Subtotal $30,000 Due Care Activities Soil Management - Waste Characterization/Profile $9,500 ACT 381 WORK PLAN I SKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 20 REVISION DATE: NOVEMBER 12, 2015 Eligible Activity Total Est. Cost Soil Management -Transportation $24,000 Soil Management -Disposal $31,500 Dewatering - Treatment $31,100 Health and Safety Plan $6,000 Due Care Planning $20,000 Due Care Investigation - - $30,000 Documentation of Due Care Compliance $19,500 On -Site Due Care Oversight $27,140 On -Site Planning, Evaluation & Supervision During Due Care Activities $13,630 Due Care -Administrative Project Management $8,730 Due Care Activities Subtotal $221,100 Additional Response Activities Hoist Removal (including approx. 18 hydraulic USTs and 8 hoists) $56,200 Soil Management Hot Spot - Waste Characterization $6,000 Soil Management Hot Spot - Excavation $4,000 Soil Management Hot Spot -Transportation $8,000 Soil Management Hot Spot - Disposal $10,500 Soil Management Hot Spot- Backfill $5,500 Trench Drain Removal (including contents, as necessary) $24,650 Trench Drain Contents Waste Characterization $6,000 On -Site Additional Response Oversight $15,106 On -Site Planning, Evaluation & Supervision During Additional Response Activities $8,426 Additional Response - Administrative Project Management $5,618 Additional Response Activities Subtotal $150,000 Subtotal $401,100 Contingency (A 15% contingency factor has been included to accommodate unexpected conditions that may be encountered during redevelopment) $60,165 Brownfield Plan & Act 381 Work Plan Prep $15,000 Total MDEQ Eligible Activities $476,265 Estimated Interest (Calculated at 5% Simple Interest) $241,888 Total $718,153 MSF Eligible Activities Eligible Activity Total Est. Cost Demolition Building & Site Demolition $215,000 On -Site Demolition Oversight $21,500 Planning, Evaluation & Supervision During Demolition $8,125 Demolition - Project Management $5,375 Demolition Subtotal $250,000 Lead or Asbestos Abatement Lead & Asbestos Survey $4,730 Lead & Asbestos Abatement $75,000 ACT 381 WORK PLAN I SKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 21 REVISION DATE: NOVEMBER 12, 2015 Eligible Activity Total Est. Cost Planning, Evaluation & Supervision During Lead & Asbestos Activities $8,311 Lead & Asbestos Abatement Oversight $7,973 Lead & Asbestos Project Management $3,987 Lead or Asbestos Abatement Subtotal $100,000 Site Preparation Geotechnical Investigation* $21,100 Clearing & Grubbing $107,100 Cut & Fill Operations $482,751 Floodplain Fill $84,500 Floodplain Cut (Environmental) $108,375 Cut Operations (Environmental) $529,625 Dewatering related to MSF-Eligible Activities $38,900 Site Preparation - Back -fill & Compaction $84,123 Grading $153,000 Land Balancing $153,000 Relocation of Existing (Active) Utilities $134,553 Special Foundations to Address Subsurface Debris/Environ. Impacted Unstable Fill $1,290,900 Soil Management Soil Management -Waste Characterization and Planning $16,200 Soil Excavation $22,000 Soil Transportation $41,250 Soil Disposal $55,000 Backfill $27,500 Temporary Soil Erosion and Sedimentation Controls $7,250 Surveying & Staking $16,800 Temporary Construction Access for Site Prep. $16,200 Temporary Fencing for Site Prep. $22,500 Temporary Traffic Control $8,160 On -Site Site Prep. Oversight $162,025 Planning, Evaluation & Supervision During Site Prep. Activities $162,025 Site Preparation - Soft Costs $273,663 Site Preparation - Project Management $81,012 Site Preparation Subtotal $4,099,512 Infrastructure Improvements Parking Deck $9,584,410 Approaches $15,300 Curbs & Gutter $26,712 Irrigation in ROW $10,000 Landscaping in ROW $15,000 Lighting $56,000 Roads $70,000 Sanitary Sewer Mains $20,400 Urban Stormwater Management System USM $51,000 USM Surveying & Staking $11,200 Sidewalk & Pavers in ROW $19,600 ACT 381 WORK PLAN I SKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 22 REVISION DATE: NOVEMBER 12, 2015 Eligible Activity Total Est. Cost Storm Sewers $60,000 Water Mains and Service Lines (inc. taps) $60,000 On -Site Infrastructure Improvements Oversight $16,765 Planning, Evaluation & Supervision During Infrastructure Improvements $16,765 Infrastructure Improvements - Soft Costs $28,241 Infrastructure Improvements - Project Management $8,382 Infrastructure Improvements Subtotal $10,069,775 Subtotal $14,519,287 Contingency (A 15% contingency factor has been included to accommodate unexpected conditions that may be encountered during redevelopment) $2,174,728 Brownfield Plan & Act 381 Work Plan Prep $15,000 Interest $8,486,265 Total MSF Eligible Activities $25,195,280 *Contingency not calculated for eligible activity as a majority of the eligible activity has already occurred. 5.0 Project Costs and Funding The following subsections present the total estimated Project costs and the source and uses of funds. 5.1 Total Estimated Project Costs The total costs of the non -environmental eligible activities under this Act 381 Work Plan are provided in Table 1. The Developer anticipates making an investment of up to $80 million in real and personal property improvements on the subject property. 5.2 Sources and Uses of Funds The Developer anticipates investment of approximately $80 million in real property improvements on the subject property including acquisition of the land. Redevelopment of the subject property is expected to subsequently generate increases in taxable value and result in incremental taxable value beginning in 2016. The initial taxable value for the brownfield plan will be the subject property's 2015 assessment, because the brownfield plan received final approval in 2015. Tax increment revenue will be utilized to reimburse the cost of eligible activities. Table 2 provides an estimate of tax increment revenue. The Developer will finance all eligible activities under this Act 381 Work Plan related to improvements on the subject property. ACT 381 WORK PLAN ISKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 23 REVISION DATE: NOVEMBER 12, 2015 6.0 Limitations The taxable value on real property is estimated to increase at a rate of 1% each year (refer to Table 2). The incremental tax revenue estimates for the proposed development could vary from this estimate affecting the time period it takes to reimburse the eligible activities. The cost estimates included within this Act 381 Work Plan are just that —estimates —and the actual costs incurred may vary depending on site conditions. If in fact the eligible activity costs exceed the estimated amount for reimbursement, the _ Developer and the Authority may submit an amended Brownfield Plan and Act 381 Work Plan. Please reference the Brownfield Plan in Appendix A for additional information. All reimbursements authorized under this Act 381 Work Plan shall be governed by the Reimbursement Agreement. The inclusion of eligible activities and estimates of costs to be reimbursed in this Act 381 Work Plan are intended to authorize the Authority to fund such reimbursements and does not obligate the Authority or the County to fund any reimbursement or to enter into the Reimbursement Agreement providing for the reimbursement of any costs for which tax increment revenues may be captured under this Act 381 Work Plan, or which are permitted to be reimbursed under this Act 381 Work Plan. The amount and source of any tax increment revenues that will be used for purposes authorized by this Act 381 Work Plan, and the terms and conditions for such use and upon any reimbursement of the expenses permitted by the Act 381 Work Plan, will be provided solely under the Reimbursement Agreement contemplated by this Act 381 Work Plan. ACT 381 WORK PLAN ISKYVUE ON MICHIGAN REDEVELOPMENT PROJECT Page 24 REVISION DATE: NOVEMBER 12, 2015 �_ Si C m N Figures LANSING SOUTH QUADRANGLE MICHIGAN - SAGINAW COUNTY 7.5 MINUTE SERIES (TOPOGRAPHIC) - t'.dT rm nd _ ((�� ,V "• to i _ A LA Marshall "`�3 ark 852A VC l " Arm �I ! Slal' j - 1 Sch .�i_.. ,-+ )8 '.-- Tank�- - -Y- I I _ ater . '`- - '] SITE �' _ F r Y y VA 46 1 n 14 ;' % j 3 al •a ota3 11_ I._ 713 a F y u a' 8 I Fo to Pa x - y 4 i I - L u A r . 3.ANSING?' .... ........ ......i�� h // t 17 t dGi r} 1 Oy7� <1 �. �"•PQSi �I-J L.l ..' � `III 1 ` i - ��•• ,. � .. a— � 84 T T.4 N.-R.2 W. 0 1 MILE 1000 2000 3000 4000 5000 6000 7000 FEET 0 1 KILOMETER IMAGE TAKEN FROM 1965 U.S.G.S. TOPOGRAPHIC MAP PHOTOREVISED 1973 AKTPEER LE'S ILLINOIS MICHIGAN OHIO GEORGIA www.aktpeerless com SCALED PROPERTY LOCATION MAP 3165 EAST MICHIGAN AVENUE LANSING, MICHIGAN PROJECT NUMBER : 87926-2-20 DRAWN BY: OGO DATE: 01/09/2015 FIGURE 1 -I?- -"7 I I I 1 1 I I I I I I I I I I 1 1 EAST MICHIGAN AVENUE NAKTPEERLESS ILLINOIS MICHIGAN OHIO GEORGIA wwwa ktpeerless. oom i FORMER USTAREA LEGEND — — = PROPERTY LINE ELIGIBLE PROPERTY BOUNDARY MAP 3165 EAST MICHIGAN AVENUE LANSING, MICHIGAN PROJECT NUMBER : 879262-1-25 DRAWN BY: DDB DATE: 07/6/2015 0 30 60 SCALE: 1" = 60' FIGURE 2 ��— 1 I 1 ' v rls,r� 309 16 1 I 1 SB-4-15 (1.5-2.5') 1/26/2015 Chromium, Total 8,500 ug/Kg (2) Mercury, Total 1.100 ug/Kg (2) w E S � o O O 00 3 -. a 0 0 o s ¢ W LL SB-1-15 (6.0-7.0') 1 1/26/2015 I Chromium, Total 4,500 ug/Kg (2) Tetrachloroethylene 210 ug/Kg (1) ASPHALT PARKING AREA. 1 SB-8-15 (17.0-18.0') I I 1/26/2015 SB-5-15 (1.5-2.5') SB-1 Chromium, Total 8,300 ug/Kg (2) U 1/26/2015 U Arsenic 5.900 ug/Kg (1,2) Chromium, Total 15.000 u9/K9 (2) otal150ug/Kg(2) SUBJECT BUILDING 1 AR ;FSRMERMercu 58-3-15/TMW 1 SB-5-15 SB-8-15/TMW I I SB-6-15/TIA SB 9-15/TMW SB-9-15 (17.0-18.0') Z 5B .415 Z Q Z N Q 1/26/2015 w j Z CO i J Chromium, Total 7,400 ug/Kg (2) U Q Q of z W Z= 00 Q HA-13-15 (1.0-2.0') 7 (a422,28 t^ Dc =�w 1/27/2015 I 1 0 U Chromium, Total 8,700 ug/Kg (2) 1 HA-13-15 I LU N N Z I J wgv I SB-7-15-1 (4.0-5.0') p Ln 1/27/2015 = m W HA-12-15 (3.5-4.5') I HA-1z-1s eSB-7-15-7 23) F. � ASPHALT PARKING AREA J Chromium, Total 16,000 ug/Kg(2) 1/27/2015 I Mercury, Total 15.000 ug/Kg (1,2) Chromium, Total 9,800 ug/Kg (2) SB-7-15- Selenium 10,000 ug/Kg (2) Mercury, Total 72 ug/Kg (2) 1 �, SB-7 is SB-7-111 1 SB-7-15-2 esB-7-15-4 11 5a ` 1v S87155 W H HA-11-15 (1.0-2.0') I H 1/26/201S 1 Chromium, Total 8.300 ug/Kg (2) 1 1 Mercury, Total 94 ug/Kg (2) 1 SUBJECT BUILDING 2 1 HA-10-15 (1.0-2.0') i 1 1/26/2015 I Chromium, Total 8,000 ug/Kg (2) Mercury, Total 83 ug/Kg (2)LLL 1 ' 1 1 -- -- — -- --� O Qj___ 309.86 LEGEND 0 1= = PROPERTY LINE x ° w o EAST MICHIGAN AVENUE ® =TRENCH DRAIN 0 = IN -GROUND HOIST w =SOIL BORING Z o = PROPOSED PERC-SOIL REMOVAL HOT SPOT Y d f0 x U_ 3 CRITERIA NOTE (1) - Exceeds Residential Drinking Water Protection Criteria (2) - Exceeds Groundwater Surface Water Interface Protection Criteria n (3) - Exceeds Residential Direct Contact Criteria o J J I I I N w E o0 S a 0 N , O a O CDa W Ur LL SB-2-15 M%% SB-2-15/TMW ' 1/26/2015 I Lead 4.5 ug/L (1,2) ASPHALT PARKING AREA I i W SB-6-1S/TMW 1/26/2015 FORMER Selenium 7 6 ug/L (3) SUBJECT BUILDING 1 USTAREA Z Chloride 310,000 ug/L (1,2) � SB-3-15/TMW 0 ' SB-5-15 SB-8-15/TMW ' W SB-6-15/TM� SB-9-15/TMW V O w ry 5B 4-15 z W Z ry j z b f v1 Q Q Q1 ' Q N 00 Q 42, u SB-9-15/TMW p. u HA-13-is, M* 1/26/201S f_ z Chloride 310,000 ug/L (1,2) Q N Z z I wgw o Z �o Hn r''1 or 12 15 �(SB-7-15-7 O CL r Cr I ASPHALT PARKING AREA SB-7-15-1 = ' SS-7-15-3 A' 0S11-7-1 ♦- 1 ' 56-7-15-2 �(SB-7-15-4 J� SB-7-15-5 3 d I I cQ ILLJ N HA-10-15/TMW SUBJECT BUILDING 2 1 I I =LL o �� LEGEND 0 = PROPERTY LINE x w o EAST MICHIGAN AVENUE ® =TRENCH DRAIN F = IN -GROUND HOIST =SOIL BORING z �- a m c� s U 3 CRITERIA NOTE (1) - Exceeds Residential Drinking Water Criteria Ln (2) - Exceeds Non -Residential Drinking Water Criteria o (3) -Exceeds Groundwater Surface Water Interface Criteria � Figure 5 Site Map with Anticipated Public Infrastructure Improvements Figure 6 Site Photographs 1-View of showroom building from southeast corner of Subject Property facing northwest 3-Rear view of the showroom building 2-View of showroom building from southeast corner of Subject Property facing north. 4-View of service building from parking lot 5-Southern property boundary along E. Michigan Avenue facing west 7-Southern property boundary along E. Michigan Avenue facing east 6-Eastern property boundary along Morgan Lane from E. Michigan Avenue 8-Western property boundary facing north from E. Michigan Avenue Figure 7 Site Plans & Renderings Level 1 SERVICE AREA w e�c�wcu { � e W m son e33.44 osowenAl ♦a _ D3 Z w wv d D1 D3 se rv. Meacw. -� wM 1 *&W.11 • cov.�utmrnow a.< (VARIABLE_ R. 0. W. LEVEL 1 ♦ 831.30 A2 A2 A2 A2 B2 I �sr . B4 B2 A2 A2 B3 h — B1 Al uwosuvEo coumr.no 333 44 B2 - Al Al +ssr k, B2 A2 A2 B3 A2 I > Q A2 B2 AZ A2 A2 +{ 1A; 21 o LLJ D1 D1 AUDG I APRIL 06, 2015 ❑ AMENITY ❑ RESIDENTIAL ❑ RETAI L ❑ CORE ❑ COURTYARD SERVICE NILES BOLTON ASSOCIATES LEVELS 2-9 LEVEL 2-8 LEVEL 9 - PARKING STOPS AT LEVEL 8 ❑ AMENITY ❑ RESIDENTIAL ❑ RETAIL ❑ CORE ❑ COURTYARD 1 SERVICE AUDG I APRIL 06, 2015 NILES BOLTON ASSOCIATES C W m N Tables Table 1. Eligible Activities SkyVue on Michigan Redevelopment Project 3165 E Michigan Ave Lansing, MI AKTP Project No. 879262 As of November 12, 2015 ELIGIBLE ACTIVITIES COST SUMMARY Estimated Cost of Eligible Activity Baseline Environmental Assessment (BEA) Activities $ 30,000 $ 221,100 Due Care Activities $ 150,000 Additional Response Activities $ 401,100 TOTAL ENVIRONMENTAL ELIGIBLE ACrIVIT1E5 $ 250,000 Demolition Lead or Asbestos Abatement $ 100,000 Site Preparation $ 4,099,512 Infrastructure Improvements $ 10,069,775 TOTAL NON -ENVIRONMENTAL ELIGIBLE ACTIVITIES $ 14,519,287 Total Environmental and Non -Environmental Eligible Activities $ 14,920,387 1S% Contingency on Eligible Activities $ 2,234,893 Brownfield Plan & Act 381 WP Preparation Activities I $ 30,000 Total Eligible Activities Cost with 15% Contingency $ 17,185,280 Interest (calculated at 5%, simple) $ 8,728,153 Total Eligible Activities Cost, with Contingency & Interest $ 25,913,433 BRA Administration Fee I $ 1,000,905 State Revolving Fund $ 1,349,578 Local Site Remediation Revolving Fund (LSRRF) $ 11000,905 Total Eligible Costs for Reimbursements $ 29,264,822 New Tax Revenue Distributed to Taxing Units $ 3,423,859 JAKTPEERLESS I of Table 1. Eligible Activities SkyVue on Michigan Redevelopment Project 3165 E Michigan Ave Lansing, MI AKTP Project No. 8792132 As of November 12, 2015 ELIGIBLE ACTIVITIES COST DETAIL fi of Units Unit Type Cost/Unit Est. Total Cost BEA Activities Phase I Environmental Site Assessment (ESA) 2 LS $ 2,500 $ 5,000 Phase II ESA 1 LS $ 20,000 $ 20,000 BEA 2 LS $ 2,500 $ 5,000 Due Care Activities Soil Management - Waste Characterization/Profile 1 LS $ 9,500 $ 9,500 Soil Management - Transportation 1,500 TN $ 16 $ 24,000 Soil Management - Disposal 1,500 TN $ 21 $ 31,500 Dewatering- Treatment 1 LS $ 31,100 $ 31,100 Health and Safety Plan 1 LS $ 6,000 $ 6,000 Due Care Planning 1 LS $ 20,000 $ 20,000 Due Care Investigation 1 LS $ 30,000 $ 30,000 Documentation of Due Care Compliance 3 LS $ 6,500 $ 19,500 On -Site Due Care Oversight 1 LS $ 27,140 $ 27,140 On -Site Planning, Evaluation & Supervision During Due Care Activities 1 LS $ 13,630 $ 13,630 Due Care - Administrative Project Management 1 LS $ 8,730 $ 8,730 Additional Response Activities Hoist Removal (including approx. 18 hydraulic LISTS and 8 hoists) 1 LS $ 56,200 $ 56,200 Soil Management Hot Spot - Waste Characterization 1 LS $ 6,000 $ 6,000 Soil Management Hot Spot - Excavation 500 TN $ 8 $ 4,000 Soil Management Hot Spot - Transportation 500 TN $ 16 $ 8,000 Soil Management Hot Spot - Disposal 500 TN $ 21 $ 10,500 Soil Management Hot Spot - Backfill 500 TN $ it $ 5,500 Trench Drain Removal (inlcuding contents, as necessary) 170 LF $ 145 $ 24,650 Trench Drain Contents Waste Characterization 1 LS $ 6,000 $ 6,000 On -Site Additional Response Oversight 1 LS $ 15,106 $ 15,106 On -Site Planning, Evaluation & Supervision During Additional Response Acti 1 LS $ 8,426 $ 8,426 Additional Response - Administrative Project Management 1 LS $ 5,618 $ 5,618 Demolition Building & Site Demolition 1 LS $ 215,000 $ 215,000 On -Site Demolition Oversight 1 LS $ 21,500 $ 21,500 Planning, Evaluation & Supervision During Demolition 1 LS $ 8,125 $ 8,125 Demolition - Project Management 1 LS $ 5,375 $ 5,375 Lead or Asbestos Abatement Lead & Asbestos Survey 1 LS $ 4,730 $ 4,730 Lead & Asbestos Abatement 1 LS $ 75,000 $ 75,000 Planning, Evaluation & Supervision During Lead & Asbestos Activities 1 LS $ 8,311 $ 8,311 Lead & Asbestos Abatement Oversight 1 LS $ 7,973 $ 7,973 Lead & Asbestos Project Management 1 LS $ 3,987 $ 3,987 JAKTPEERLESS 2 of Table 1. Eligible Activities SkyVue on Michigan Redevelopment Project 3165 E Michigan Ave Lansing, MI AKTP Project No. 879282 As of November 12, 2015 Site Preparation Geotechnical Investigation 1 LS $ 21,100 $ 21,100 Clearing & Grubbing 1 LS $ 107,100 $ 107,100 Cut & Fill Operations 1 LS $ 482,751 $ 482,751 Floodplain Fill 1 LS $ 84,500 $ 84,500 Floodplain Cut (Environmental) 1 LS $ 108,375 $ 108,375 Cut Operations (Environmental) 1 LS $ 529,625 $ 529,625 Dewatering related to MSF-Eligible Activities 1 LS $ 38,900 $ 38,900 Site Preparation - Backfill & Compaction 1 LS $ 84,123 $ 84,123 Grading 1 LS $ 153,000 $ 153,000 Land Balancing 1 LS $ 153,000 $ 153,000 Relocation of Existing (Active) Utilities 1 LS $ 134,553 $ 134,553 Special Foundations to Address Subsurface Debris/Environ. Impacted Unsta 1 LS $ 1,290,900 $ 1,290,900 Foundation Soil Management Soil Management -Waste Characterization and Planning 1 LS $ 16,200 $ 16,200 Soil Excavation 2,750 TN $ 8 $ 22,000 Soil Transportation 2,750 TN $ 15 $ 41,250 Soil Disposal 2,750 TN $ 20 $ 55,000 Backfill 2,750 TN $ 10 $ 27,500 Temporary Soil Erosion and Sedimentation Controls 1 LS $ 7,250 $ 7,250 Surveying & Staking 1 LS $ 16,800 $ 16,800 Temporary Construction Access for Site Prep. 1 LS $ 16,200 $ 16,200 Temporary Fencing for Site Prep. 1 LS $ 22,500 $ 22,500 Temporary Traffic Control 1 LS $ 8,160 $ 8,160 On -Site Site Prep. Oversight 1 LS $ 162,025 $ 162,025 Planning, Evaluation & Supervision During Site Prep. Activities 1 LS $ 162,025 $ 162,025 Site Preparation - Soft Costs 1 LS $ 273,663 $ 273,663 Site Preparation - Project Management 1 LS $ 81,012 $ 81,012 Infrastructure Improvements (eligible) Parking Deck 605 SPACES $ 15,842 $ 9,584,410 Approaches 1 LS $ 15,300 $ 15,300 Curbs & Gutter 1 LS $ 26,712 $ 26,712 Irrigation in ROW 1 LS $ 10,000 $ 10,000 Landscaping in ROW 1 LS $ 15,000 $ 15,000 Lighting 1 LS $ 56,000 $ 56,000 Roads 1 LS $ 70,000 $ 70,000 Sidewalk & Pavers in ROW 1 LS $ 19,600 $ 19,600 Sanitary Sewer Mains 1 LS $ 20,400 $ 20,400 Storm Sewers 1 LS $ 60,000 $ 60,000 Water Mains and Service Lines (inc. taps) 1 LS $ 60,000 $ 60,000 Urban Stormwater Management System USM 1 LS $ 51,000 $ 51,000 USM Surveying & Staking 1 LS $ 11,200 $ 11,200 On -Site Infrastructure Improvements Oversight 1 LS $ 16,765 $ 16,765 Planning, Evaluation & Supervision During Infrastructure Improvements 1 LS $ 16,765 $ 16,765 Infrastructure Improvements - Soft Costs 1 LS $ 28,241 $ 28,241 Infrastructure Improvements - Project Management 1 LS $ 8,382 $ 8,382 Brownfield Plan & Act 381 Work Plan Preparation BRA Application Fee and Administration Fee $ Brownfield Plan 1 LS $ 10,000 $ 10,000 Act 381 Work Plan 1 LS $ 20,000 $ 20,000 NAKTPEERLESS 3 of Table 2. Tax Increment Revenue Estimates SkyVue on Michigan Redevelopment Project 3165 E Michigan Ave Lansing, MI AKTP No. 8792B2 As of November 12, 2015 Estimated TV Increase rate: 1.01 Plan Year Calendar Year 2016 2017 ?018 2019 200 ?071 2072 20?3 ?024 ?025 70?6 ?027 ?02E 2029 2030 ?031 2032 2033 7034 2035 ?n3F 2037 2038 7039 Initial Taxable Value $ 631,2Z4 $ 631,224 $ 631,224 $ 631,224 5 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 Estimated New TV $ 9,822,000 $ 19,644,000 $ 19,840,440 $ 20,038,844 $ 20,239,233 $ 20,441,625 $ 20,646,041 $ 20,852,502 $ 21,061,027 $ 21,271,637 $ 21,484,353 $ 21,699,197 $ 21,916,189 $ 22,135,351 $ 22,356,704 $ 22,580,271 $ 22,806,074 $ 23,034,135 $ 23,264,476 $ 23,497,121 $ 23,732,092 $ 23,969,413 $ 24,209,107 $ 24,451,198 Incremental DHferantt(New TV - Initial TVI $ 9,190,776 $ 29,022,776 $ 29,209,226 $ 19A07,620 $ 19,6011AW $ 19,810AM $ 20,014,827 $ 20,222,278 $ 20,429,803 $ 20,640,423 $ 20,953,229 $ 21,067,973 $ 21,284,965 $ 21,504,127 $ 21,725,480 $ 21,949,047 $ 22,174,850 $ 22A02,911 $ 22,633,252 $ 22,865,897 $ 23,200,869 $ 23,338,189 $ 23,577,883 $ 23,819,974 State Education Tax (SET) 6.0000 _ - - - - - - - - Incremental $ 49,630 $ 102,669 $ 103,730 $ 104,801 $ 105,883 $ 106,976 $ 108,080 $ 109,195 $ 110,321 $ 111,458 $ 112,607 $ 113,767 $ 114,939 $ 116,122 $ 117,318 $ 118,525 $ 119,744 $ 120,976 $ 122,220 $ 123,476 $ 124,745 $ 126,026 $ 127,321 $ 128,628 School Operating Tax 18.0000- _ Incremental $ - -- 148,891 $ -- 308,007 $ 311,189 $ 314,403 $ 317,650 $ 320,928 $ 324,240 $ 327,585 $ 330,963 $ 334,375 $ 337,821 $ 341,301 5 344,816 $ 348,367 $ 351,953 $ 355,575 $ 359,233 $ 362,927 $ 366,659 $ 370,428 $ 374,234 5 378,079 $ 381,962 $ 385,894 ch sool7otal 24.0000 - -- Lansing Oper 19.4400 Incremental $ 160,802 $ 332,648 $ 336,094 $ 339,556 $ 343,062 $ 346,603 $ 350,179 $ 353,791 $ 357,440 $ 361,125 $ 364,846 $ 368,605 $ 372,402 $ 376,236 $ 380,109 $ 384,021 $ 387,971 $ 391,961 $ 395,991 $ 400,062 $ 404,173 $ 408,325 $ 412,519 $ 416,754 Lansing Com Coll 3.8072 - - Incremental $ 31,492 $ 65,147 $ 65,820 $ 66,500 $ 67,186 $ 67,880 $ 68,580 $ 69,288 $ 70,002 $ 70,724 $ 71,453 $ 72,189 $ 72,933 $ 73,683 $ 74,442 $ 75,208 $ 75,982 $ 76,763 $ 77,552 $ 78,350 $ 79,155 $ 79,968 $ 80,789 $ 81,619 Ingham Voc Ed 1.2925 Incremental $ 10,691 $ 22,117 $ 22,345 $ 22,576 $ 22,809 $ 23,044 $ 23,282 $ 23,522 $ 23,765 $ 24,010 $ 24,257 $ 24,507 $ 24,760 $ 25,015 $ 25,272 $ 25,532 $ 25,795 $ 26,060 $ 26,328 $ 26,599 $ 26,872 $ 27,148 $ 27,427 $ 27,709 Ingham Intermed 4.6956 4- - - Incremental $ 38,841 $ 80,349 $ 81,179 $ 82,017 $ 82,864 $ 83,720 $ 84,583 $ 85,456 $ 86,337 $ 87,227 $ 88,126 $ 89,034 $ 89,951 $ 90,877 $ 91,813 $ 92,758 $ 93,712 $ 94,676 5 95,649 $ 96,632 $ 97,625 $ 98,628 $ 99,641 $ 100,664 4,030 5 4.1Li. c _ Ingham County Sum 6.3842- - - 1. -. 5 Incremental $ 52,808 $ 109,243 $ 110,372 $ 111,512 $ 112,663 $ 113,826 $ 115,001 $ 116,187 $ 117,385 $ 128,595 $ 119,817 $ 121,052 $ 122,299 $ 123,558 $ 124,830 $ 126,114 $ 127,412 $ 128,722 $ 130,046 $ 131,382 $ 132,733 S 134,096 $ 135,473 $ 136,864 Ingham County 3.2031 - ... Incremental $ 26,495 $ 54,810 $ 55,376 $ 55,948 $ 56,526 $ 57,109 $ 57,699 $ 58,294 $ 58,895 $ 59,502 $ 60,115 $ 60,735 $ 61,360 $ 61,992 $ 62,630 $ 63,274 $ 63,925 $ 64,583 $ 65,247 $ 65,918 5 66,595 $ 67,279 $ 67,970 $ 68,668 Airport Auth. 0.6990 _ Incremental $ 5,782 $ 11,961 $ 12,085 $ 12,209 $ 12,335 $ 12,463 $ 12,591 $ 12,721 $ 12,852 $ 12,985 $ 13,119 $ 13,254 $ 13,390 $ 13,528 $ 13,667 $ 13,808 $ 13,950 $ 14,094 $ 14,239 $ 14,385 $ 14,533 $ 14,682 $ 14,833 $ 14,985 CATA 3.0070 - - - - - - - Incremental $ 24,873 $ 51,454 $ 51,986 $ 52,523 $ 53,065 $ 53,613 $ 54,166 $ 54,725 $ 55,289 $ 55,859 $ 56,435 $ 57,016 $ 57,604 $ 58,197 $ 58,796 $ 59,401 $ 60,012 $ 60,629 $ 61,252 $ 61,882 $ 62,518 $ 63,160 $ 63,809 $ 64,464 CADL-Library 1.5600 Incremental $ 12,904 $ 26,694 $ 26,970 $ 27,248 $ 27,530 $ 27,814 $ 28,101 $ 28,391 $ 28,683 $ 28,979 $ 29,278 $ 29,579 $ 29,884 $ 30,192 $ 30,503 5 30,816 $ 31,133 $ 31,454 $ 31,777 $ 32,104 $ 32,434 $ 32,767 $ 33,103 $ 33,443 Zoo Millage 0.4100 Incremental S 3,391 $ 7,016 $ 7,088 $ 7,161 $ 7,235 $ 7,310 $ 7,385 $ 7,462 $ 7,539 $ 7,616 $ 7,695 $ 7,774 $ 7,854 $ 7,935 $ 8,017 $ 8,099 $ 8,183 $ 8,267 $ 8,352 S 8,438 5 8,524 $ 81612 $ 8,700 $ 8,790 tncal Total 44.4966 Lansing Debt 0.2600 New TV $ 2,554 $ 5,107 $ 5,159 $ 5,210 $ 5,262 $ 5,315 $ 5,368 $ 5,422 $ 5,476 $ 5,531 $ 5,586 $ 5,642 $ 5,698 $ 5,755 $ 5,813 $ 5,871 $ 5,930 $ 5,989 $ 6,049 $ 6,109 $ 6,170 $ 6,232 $ 6,294 $ 6,357 EL Sch Debt 5.4560 New TV $ 53,589 $ 107,178 $ 108,249 $ 109,332 $ 110,425 $ 111,530 $ 112,645 $ 113,771 $ 114,909 $ 116,058 $ 117,219 $ 118,391 $ 119,575 $ 120,770 $ 121,978 $ 123,198 $ 124,430 $ 125,674 $ 126,931 $ 128,200 $ 129,482 $ 130,777 $ 132,085 $ 133,406 EL Sch Sink 1.2860 New TV $ 12,631 $ 25,262 $ 25,515 $ 25,770 $ 26,028 $ 26,288 $ 26,551 $ 26,816 $ 27,084 $ 27,355 $ 27,629 $ 27,905 $ 28,184 $ 28,466 $ 28,751 $ 29,038 $ 29,329 5 29,622 $ 29,918 $ 30,217 $ 30,519 $ 30,825 $ 31,133 $ 31,444 Total Non -Capturable Taxes 7.0D20 JAKTPEERLESS I of l Table 3. Reimbursement Allocation Schedule SkyVue on Michigan Redevelopment Project 3165 E Michigan Ave Lansing, MI AKFP Project No. 879282 As of November 12, 2015 Developer Maximum Proportionality School & Local Reimbursement Taxes Estimated Capture State 35.0% $ 9,079,344 EStlmated TDtal Years of Administrative Fees $ 1,000,905 Local 65.0% $ 16,834,098 Plan; 21 State Revolving Fund $ 1,349,578 1 TOTAL $ 25,913,433 . _ _ LSRRF $ 1,000,905 MDEQ 2.8% $ 718,153 MSF 97.2% $ 25,195,280 End Plan Total State Incremental Revenue 5 198,521 $ 410,676 $ 414,919 5 419,205 $ 423,533 $ 427,905 $ 432,320 $ 436,780 $ 441,284 $ 445,833 $ 450,428 $ 455,068 $ 459,755 $ 464,489 $ 469,270 5 474,099 5 478,977 5 483,903 $ 488,878 $ 493,903 $ 498,979 $ 504,105 $ 509,282 $ 514,511 State Brownfield Revolving Fund (3 mills of SET. 5 24,815 S 51,334 $ 51,865 $ 52,401 $ 52,942 $ 53,488 $ 54,040 $ 54,597 $ 55,160 $ 55,729 $ 56,303 $ 56,894 $ 57,469 $ 58,061 $ 58,659 5 59,262 $ 59,872 $ 60,488 $ 61,110 $ 61,738 $ 62,372 $ 63,013 $ 63,660 $ 64,314 State TIR Available for Reimbursement $ 173,706 $ 359,341 $ 363,054 $ 366,804 $ 370,591 $ 374A17 $ 378,280 $ 382,192 $ 386,123 $ 390,104 $ 394,124 $ 398,185 $ 402,286 $ 406,428 $ 410,612 $ 414,937 $ 419,105 $ 423,415 $ 427,768 $ 432,165 $ 436,606 $ 441,092 $ 445,622 $ 450,198 Total Local Incremental Revenue $ 368,079 $ 761,438 $ 769,305 $ 777,251 $ 785,276 5 793,382 $ 801,568 $ 809,837 $ 818,188 $ 826,623 $ 835,142 $ 843,746 $ 852,436 $ 861,213 $ 870,078 5 879,032 $ 888,075 $ 897,208 $ 906,433 $ 915,750 $ 925,161 $ 934,665 $ 944,265 $ 953,960 BRA Administrative Fee 5 18,404 $ 38,072 $ 38,465 $ 38,863 $ 39,264 $ 39,669 $ 40,078 $ 40,492 5 40,909 $ 41,331 $ 41,757 $ 42,187 5 42,622 $ 43,061 $ 43,504 5 43,952 $ 44,404 $ 44,860 $ 45,322 $ 45,788 $ 46,258 $ 46,733 $ 47,213 $ 47,698 Local Site Remediation Revolving Fund (LSRRF) $ 18,404 $ 38,072 $ 38,465 $ 38,863 $ 39,264 $ 39,669 $ 40,078 $ 40,492 $ 40,909 $ 41,331 $ 41,757 $ 42,187 $ 42,622 $ 43,061 $ 43,504 $ 43,952 $ 44,404 5 44,860 $ 45,322 $ 45,788 $ 46,258 $ 46,733 $ 47,213 5 47,698 Local TIR Available for Reimbursement $ 332,271 $ 685,294 $ 692,374 $ 699,526 $ 706,749 $ 714,043 $ 721,411 $ 728,953 $ 736,369 $ 743,960 $ 751,627 $ 759,371 $ 767,192 $ 775,092 $ 783,070 $ 791,129 $ 799,267 $ 807,488 $ 815,790 $ 924,175 $ 832,645 $ 841,199 $ 849,838 $ 858,564 ( fled n 5 ".. ... ... :.:... ,= W .� .. $... c.. ,966 $ 1,230.903 1 Beginning DEVELOPER Balance DEVELOPER Reimbursement Balance $ 25,913,433 $ 25,408,456 $ 24,363,821 $ 23,308,392 $ 22,242,062 $ 21,164,722 $ 20,076,262 $ 18,976,571 $ 17,865,536 $ 16,743,043 $ 15,608,979 $ 14,463,228 $ 13,305,672 $ 12,136,194 $ 10,954,674 $ 9,760,992 $ 8,555,026 $ 7,336,654 $ 6,105,752 $ 4,862,194 $ 3,605,853 $ 2,336,602 $ 1,054,311 $ 82,497 Oi SPLIT 1 STATE Reimbursement Balance 5 9,079,344 $ 8,905,635 5 8,546,297 $ 8,183,243 $ 7,816,435 $ 7,445,848 $ 7,071,431 $ 6,693,151 $ 6,310,965 $ 5,924,846 $ 5,534,742 $ 5,140,618 $ 4, 747,433 $ 4,340,147 $ 3,933,719 $ 3,523,108 $ 3,108,271 $ 2,689,166 $ 2,265,751 $ 1,837,983 $ 1,405,817 5 969,211 5 528,119 $ 82,497 $ (0) Eligible Activities Reimbursement $ 6,021,243 $ 173,706 $ 359,341 $ 363,054 $ 366,804 $ 370,591 $ 374,417 $ 378,280 $ 382,182 $ 386,123 $ 390,104 $ 394,124 $ 398,185 $ 402,286 $ 406,429 $ 410,61E S 414,837 $_ 50,169 $ - $ _-- $ - $ - S _ $ - $ 4Y_ - _.. - ..f11 - _ 10,923 S _ - 5 11.. - 1.390 - S - „ 5 nn 68,8u7 S 34938? 375,421 ,/9,29-1 S 383,207 Sri 391,13: _ 34S,1N1 391,231 S 403,340 ,. 49,779 ;7 Interest Reimbursement $ 3,058,101 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - 5 - $ _ $ - $ 368,935 $ 423,415 $ 427,768 $ 432,165 5 436,606 $ 441,092 $ 445,622 $ 82,497 t - 10 22`. 11,734 S $ 12,350 S 2.28F 2,973,.i' - P., . 471 681 - ; 41, 272 PII �1 ". oTotal STATE TIR Reimbursement $ 173,706 $ 359,341 $ 363,054 $ 366JM $ 370,591 $ 374,417 $ 378,280 $ 382,182 $ 386,123 $ 390,104 $ 394,124 $ 398,185 $ 402,286 $ 406,429 $ 410,612 $ 414,837 $ 419,105 $ 423,415 $ 427,768 $ 432,165 $ 436,606 $ 441,092 $ 445,622 $ 92,497 E o LOCAL Reimbursement Balance _ $ 16,834,086 $ 16,50Z817 $ 15,817,523 $ 15,125,149 $ 14,425,623 $ 13,718,875 $ 13,004,831 $ 12,283,42C $ 11,554,567 $ 10,818,198 $ 10,074,237 $ 9,322,610 $ 8,563,239 $ 7,796,046 $ 7,020,955 $ 6,237,894 $ 5,4,W756 $ 4,647,488 $ 3,840,001 $ 3,024,211 $ 2,200,036 $ 2,367,391 $ 526,193 $ 0 $ 0 2 - Eligible Activities Reimbursement $ 11,164,037 $ 331,271 5 685,294 $ 692,374 $ 699,526 $ 706,748 $ 714,043 $ _ 721,411 $ 728,853 736,369 $ 743,960 $ 751,627 $ 759,371 767,192 $ 775,092 $ 783,070 $ 567,833 $ - $ - $ - $ - $ - $ -- E o nm - [ I EI g G s yS i. ie. < 18,992 S 19,188 $ 19,386 S 19,587 � 1 a 789 S 19,993 S _$ 20,199 $ 20,407 S 20,618 $ 20,830 5 _$ 21,045 S 21,262 S ` 21,481 S 21,702 S 15,737 S -. --- $ -- S - -- 'v N- Fr.-.: r, III „A r4, r-, 12r g- I-- '. F04 "I c ant Ain C 7nP,-,A c 71c �a7 - := .A� c _ -,.: ��-, ><P i'IF .�.. -,,1 S .. 753,611 $ . 761 10 P 552,096 S � Interest Reimbursement $ 5,670,051 $ - $ - $- $ - $ - $ - 5 - $ - $ - $ - $ - $ - $ $ - $ - $ 223,296 $ 799,267 $ 807,488 $ 815,790 $ 824,175 $ 832,645 $ 841,199 $ 526,193 $_ - �' 6,1PP . ,, -F: -P S 22,841 5 23,07E S ;. 21,' $ 801,335 S 809,569 S Si1,6i0 $ Total LOCAL TIR Reimbursement $ 331,271 $ 695,294 $ 692,374 $ 699,526 $ 706,748 5 714,043 5 721,411 $ 728,853 $ 736,369 $ 743,960 $ 751,627 $ 759,371 $ 767,192 $ 775,092 $ 783,070 $ 791,129 $ 799,267 $ 807,488 $ 815,790 $ 824,175 $ 832,645 $ 841,199 $ 526,193 $ - 7otaF. $ 504,977 $ 1,044,635 $ 1,055,429 $ 1A $. 1;O11114W $-. SPLIT 2 m MDEO Reimbursement Bolance $ 718,153 $ 704,158 $ 675,209 $ 645,958 $ 616,406 $ 586,549 $ 556,394 $ 525908 $ 495,117 $ 464,009 $ 432,580 $ 400,827 $ 368,747 $ 336,337 $ 303,593 $ 270,512 $ 237,090 $ 203,325 $ 169,212 $ 134,749 $ 99,931 $ 64,756 $ 29,219 $ 2,286 $ 0 o Eligible_ Activities Reimbursement �$ 476,265 $ - - - 13,995 $ 28,951 $ 29,250 $ 29,552 $ 29,857 $ 30,165 $ 30,476 5 30,791 $ 31,108 $ 31,429 $ 31,753 $ 32,080 $ 32,410 $ 32,744 $ 33,081 $ 27,233 $ 1,390 $ - $ - $ - $ - $ - $ - $ - - - Interest Reimbursement $ 241,888 $ - $ - 5 $ - $ - $ - $ - $ - $ $ $ $ $ $ $ $ 6,188 $ 32,375 $ 34,113 $ 34,463 $ 34,818 $ 35,175 $ 35,537 $ 26,932 $ 2,286 w a Total MDEQTIR Reimbursement $ 2.3,995 $ 28,951 $ 29,250 $ 29,SS2 $ 29,857 $ 30,165 $ 30,476 S 30,791 $ 31,108 $ 31,429 $ 31,753 $ 32,080 $ 32,410 $ 32,744 $ 33,081 $ 33,422 $ 33,765 $ 34,113 $ 34,463 $ 34,818 $ 35,175 $ 35,537 $ 26,932 $ 2,286 `o MSF Reimbursement Balance 1 $ 25,195,28G $ 24,704,298 $ 23,688,613 $ 22,662,434 $ 21,625,656 $ 20,578,173 $ 19,519,878 $ 19,450,663 $ 17,370,419 $ 16,279,034 $ 15,176,399 $ 14,062,401 $ 12,936,925 $ 11,799,857 $ 10,651,081 $ 9,490,480 $ 8,317,936 $ 7,133,330 $ 5936,540 $ 4,727,445 $ 3,505,922 $ 2,271,846 $ 1,025,093 $ 80,211 $ 0 E 'c Eligible Activities Reimbursement $ 16,709,015 $ 490,982 $ 1,015,685 $ 1,026,179 $ 1,036,778 $ 1,047,483 $ 1,058,295 $ 1,069,215 $ 1,080,244 $ 1,091,384 $ 1,102,635 $ 1,113,999 5 1,125,476 $ 1,137,068 $ 1,148,776 $ 1,160,601 $ 955,437 $ 48,779 5 - $ - $ - $ - $ - $ - $ - Interest Reimbursement $ 8,486,265 $ $ $ $ - $ $ - 5 $ $ $ $ $ $ $ $ $ 217,107 $ 1,135,828 $ 1,196,790 $ 1,209,095 $ 1,221,523 $ 1,234,076 $ 1,246,754 $ 944,882 $ 80,211 E z Total MSF TIR Reimbursement $ 490,982 $ 1,015,685 $ 1,026,179 $ 1,036,778 $ 1,047,483 $ 1,058,295 $ 1,069,215 $ 1,080,244 $ 1,091,384 $ 1,102,635 $ 1,113,999 $ 1,125,476 $ 1,137,068 $ 1,148,776 $ 1,160,601 $ 1,172,544 $ 1,184,607 $ 1,196,790 $ 1,209,095 $ 1,221,523 $ 1,234,076 $ 1,246,754 $ 94.4,88E $ 80,211 ,2 Reimbursemerld,_,�- $ 504,977 $ 1,044,635 $ 1,055,429 $ 1,066,330 $ 1,077,340 $ 1.JW S 1,099,691 $ 1,111,0 '1,122A92 $ 1,134,064 $ 1,145,752 $ 1,157,556 $ 1,169,478 $ 1,181520 $ 1,193,692 $ 1,205,966 $ 1,229,372 $ 1,230,903 $ 1,243,558 $ 1,256,341 $ 1,269,251 $ 1,282,E f AKTPEERLESS a m z v Appendix A Brownfield Plan Lansing -Brownfield Redevelopment Authority SkyVue on Michigan Redevelopment Project Brownfield Redevelopment Plan #60 3165 East Michigan Avenue Lansing, Michigan 48912 Lansing Brownfield Redevelopment Authority Lansing, Michigan July 15, 2015 Approved by the LBRA on July 17, 2015 Adopted by the Lansing City Council on August 31, 2015 Prepared by: Lansing Brownfield Redevelopment Authority 1000 S. Washington Ave., Ste. 201 Lansing, Michigan 48912 Contact Person: Karl Dorshimer karlO,Purelansing. com Phone:517-702-3387 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 Table of Contents Section Page 1. Project Summary Sheet........................................................................................................2 2. Past Use of the Subject Property - Site History...................................................................4 3. Brownfield Project Description...........................................................................................4 4. Developer and LBRA Eligible Activities............................................................................5 5. Captured Taxable Value and Tax Increment Revenues.......................................................6 6. Method of Brownfield Plan Financing................................................................................8 7. Amount of Note or Bonded Indebtedness Incurred.............................................................8 8. Duration of the Brownfield Plan..........................................................................................8 9. Estimated Impact on Taxing Units......................................................................................9 10. Legal Description & Site Map...........................................................................................10 11. Personal Property ...............................................................................................................10 12. Displacement of Persons....................................................................................................10 13. LBRA Revolving Fund......................................................................................................10 14. Other Information..............................................................................................................10 Attachment A: Legal Description Attachment B: Figures Figure 1. Topographic Location Map Figure 2. Property Boundary Map Figure 3. Development Renderings and Site Plans Attachment C: Tables' Table 1. Eligible Activities Table Table 2. Tax Increment Revenue Estimates Table 3. Reimbursement Allocation Schedule 1 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 1. Project Summary Sheet The purpose of this Brownfield Plan is to identify eligible activities and cost estimates for redevelopment of the property located at 3165 E. Michigan Avenue in Lansing, Michigan. Brownfield tax increment financing is necessary to support redevelopment of the property. Project Name: SkyVue on Michigan Redevelopment Project Developer: Rise Properties, LLC Property Location: 3165 E. Michigan Avenue, Lansing, Michigan ("subject property") Parcel Information: The subject property consists of a singleparcel: Street Address Parcel ID Number 3165 E. Michigan Avenue 33-01-01-14-226-031 Type of Eligible Property: "Facility" Project Description: The project will generally consist of the demolition of two buildings totaling 43,972ft2, an asbestos survey and abatement, site preparation activities to ready the site for redevelopment, and the design and construction of new infrastructure improvements. The project will also include activities to investigate and remediate the presence of environmental contamination at the property. The subject property will be redeveloped with an approximately 9- story, 667,062ft mixed -use commercial and residential complex with first floor retail space and associated multi -level parking structure. Total Capital Investment: Approximately $80 million, including approximately $17,208,445 of eligible developer Brownfield activities. 2 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 Eligible Activities & Impact to Taxing Units: The Plan includes eligible activities (baseline environmental assessment activities, due care activities, additional response activities, asbestos survey and abatement, demolition, brownfield and work plan preparation, site preparation, and infrastructure improvements), contingency, interest, State Revolving Fund deposits, LBRA administrative fees and LBRA LSRRF deposits. Incremental tax revenue generated by both real and personal property will be captured in order to reimburse eligible activities. Uses Pr Jected Sources Eligible Activities Developer Funds $25,939,205 (including contingency $25,939,205 Reimbursed with TIR & interest State Revolving Fund $1,349,578 Deposits (mandatory in $1,349,578 TIR accordance with statute $1,000,905 LBRA Administrative $1,000,905 TIR Fees $1,000,905 LBRA LSRRF $1,000,905 TIR Contributions $29,290,594 Total TIR Ca tured $29,290,594 Total New Tax Revenue $3,423,859 Distributed to Taxing $3,423,859 New Taxes Units Estimated Job Creation/Retention: It is estimated that there will be at least 9 permanent, FTE jobs created. Duration of Plan: Maximum of 25 years of capture 3 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 2. Past Use of the Subject Property - Site History In 1960 the subject property was developed with two commercial buildings for automobile sales and servicing. The subject property operated as such until 2008. Prior to 1960 the subject Y property was undeveloped. Since operations ceased in 2008, the subject property has remained vacant. In October 2014 a Phase I Environmental Site Assessment (ESA) was completed on the subject property. According to the Phase I ESA, recognized environmental conditions (RECs) were identified, including: the historical use of the subject property as an automobile dealership and service center; identification of the subject property on various regulatory databases (i.e., the Resource Conservation and Recovery Act [RCRA], underground storage tank [UST], and leaking underground storage tank [LUST]); and the presence of urban fill material on the subject property. In February 2015, AKT Peerless conducted a Phase II Environmental Site Assessment (ESA) to evaluate the RECs previously identified at the subject property. The subsurface investigation consisted of (1) the advancement of 19 soil borings, (2) the installation of five temporary groundwater monitoring wells, and (3) the collection of 10 soil samples and five groundwater samples. According to laboratory analytical results of the samples collected, metals (i.e., arsenic, chromium, mercury, and selenium) and volatiles (i.e., tetrachloroethylene) were detected in soil at concentrations exceeding Michigan Department of Environmental Quality (MDEQ) Residential Cleanup Criteria (RCC) including drinking water protection (DWP) criteria, groundwater to surface water interface protection (GSIP) criteria, and direct contact (DC) criteria. In addition, metals (i.e., lead and selenium) and chloride were detected in groundwater at concentrations exceeding MDEQ RCC including drinking water (DW) criteria and groundwater to surface water interface (GSI) criteria. Based on these laboratory analytical results, the subject property meets the definition of a "facility" as defined by Section 20101 of the Natural Resources and Environmental Protection Act (NREPA) Act 451, Part 201, as amended. 3. Brownfield Project Description The subject property which is the subject of this Plan is located northwest of the corner of East Michigan Avenue and East Morgan Lane in Lansing, Ingham County, Michigan. The subject property comprises a single 3.7-acre parcel. The subject property is currently developed with two commercial buildings. Attachment A contains a legal description for the parcel. 4 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 The project will include the demolition of the two existing buildings: the 11,180ft showroom and office building and the 32,792ft2 servicing and maintenance building. Due to the age of these buildings, asbestos survey and abatement activities will be required prior to demolition. The developer proposes then to construct an approximately 9-story 667,062ft2 commercial and residential complex with first floor retail space and a 605-space parking deck. Other improvements to the site include installation of storm sewers, urban stormwater management system, sanitary sewer and water mains and other improvements in the East Michigan Avenue right-of-way. The project is expected to create at least 9 new full-time equivalent (FTE) jobs and over 300 temporary construction jobs. 4. Developer and LBRA Eligible Activities The "eligible activities" that are intended to be carried out at the subject property are considered "eligible activities" as defined by Section 2 of Act 381, because they include Baseline Environmental Assessment (BEA) Activities, due dare activities, additional response activities, preparation of Brownfield and Act 381 Work Plans, asbestos survey and abatement, demolition, site preparation and infrastructure improvements (see Table 1 below). Table 1. Eligible Activities (EAs) Total Estimated Cosh Local -Only Tag Capture Local & State School (MDEQ) Tag Capture Local & State School (MSF)Tax Capture 1. BEA Activities $ 30,000 $ - $ 30,000 $ - 2. Due Care Activities $ 221,100 $ - $ 221,100 $ - 3. Additional Response Activities $ 150,000 $ - $ 150,000 $ - Total Environmental Activities Cost $ 401,100 $ - $ 401,100 $ - 4. Demolition $ 250,000 $ - $ - $ 250,000 5. Lead and Asbestos Activities $ 100,000 $ - $ - $ 100,000 6. Site Preparation $ 4,099,512 $ - $ - $ 4,099,512 7. Infrastructure Improvements $ 10,069,775 $ - $ - $ 10,069,775 Total Non -Environmental Activities Cost $ 14,519,287 $ - $ - $ 14,519,287 Total Environmental and Non -Environmental Eligible Activities $ 14,920,387 $ - $ 401,100 $ 14,519,287 8. 15% (Contingency on Eligible Activities $ 2,238,058 $ - $ 60,165 $ 2,177,893 9 Brownfield Plan & Act 381 Work Plan Pre aration $ 50,000 $ 20,000 $ 15,000 $ 15,000 Total Eligible. Activities Cost with 15% Contingency $ 17,208,445 $ 20,000 $ 476,265 $ 16,712,180 10. 1 Interest 5%, simple) $ 8,730,760 $ 1,000 $ 241,888 $ 8,487,872 Total Anticipated TIR Available for Reimbursement $ 25,939,205 $ 21,000 $ 718,153 $ 25,200,052 11. 1 Reimbursement ofLBRA Admin. $ 1,000,905 $ 1,000,905 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 Table 1. Eligible Activities (EAs) Total Estimated Cost Local -Only Tax Ca ture- ; Local & State School (MDEQ Tax Capture Local & State School (MSF)Tax Capture 12 Deposits to Mandatory State Revolving Fund 3 mills of SET $ 1,349,578 $ 37,395 $ 1,312,183 13. Deposits to LBRA LSRRF $ 1,000,905 $ 1,000,905 Total Desired Capture $ 29,290,594 $ 2,022,811 $ 755,548 $ 26,512,235 Total Anticipated Capture $ 29,290,594 $ 2,622,811 $ 755,548 $ 26,512,235 Total Local Taxes to Developer EAs Total State School Taxes to Developer EAs Total Tax Capture to Developer EAs $ 11,186,093 $ 6,022,352 $ 17,208,445 Total Local Taxes to Developer Interest Total State School Taxes to Developer Interest Total Tax Capture to Developer Interest $ 5,672,096 $ 3,058,665 $ 8,730,760 Total Local Taxes to Admin. Total Local Taxes to LBRA LSRRF $ 1,000,905 $ 1,000,905 Total School Taxes to State Revolving Fund $ 1,349,578 Total TIR Captured $ 29,290,594 New Tax Revenue Distributed to Taxing Units $ 3,423,859 5. Captured Taxable Value and Tax Increment Revenues The duration of the Plan has been capped at the shorter of 25 years or the number of years required to reimburse the incurred costs of performing eligible activities. The LBRA is authorized to capture the tax increment revenues (TIR) generated by the increase in taxable value in both real and personal property. The initial taxable value of the subject property is $631,224. It is estimated that the LBRA will capture tax increment revenues from 2016 to 2040. See Table 3. Reimbursement Allocation Schedule, which is included in Attachment C. Table 2. TIR Estimates Tax Year Incremental Taxable Value Projected TIR 2016 $ 9,190,776 $ 566,600 2017 $ 19,012,776 $ 1,172,114 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 Table 2. TIR Estimates 2018 $ 19,209,216 $ 1,184,224 2019 $ 19,407,620 $ 1,196,455 2020 $ 19,608,009 $ 1,208,809 2021 $ 19,810,401 $ 1,221,286 2022 $ 20,014,817 $ 1,233,888 2023 $ 20,221,278 $ 1,246,616 2024 $ 20,429,803 $ 1,259,472 2025 $ 20,640,413 $ 1,272,455 2026 $ 20,853,129 $ 1,285,569 2027 $ 21,067,973 $ 1,298,814 2028 $ 21,284,965 $ 1,312,191 2029 $ 21,504,127 $ 1,325,702 2030 $ 21,725,480 $ 1,339,348 2031 $ 21,949,047 $ 1,353,131 2032 $ 22,174,850 $ 1,367,052 2033 $ 22,402,911 $ 1,381,111 2034 $ 22,633,252 $ 1,395,311 2035 $ 22,865,897 $ 1,409,654 2036 $ 23,100,868 $ 1,424,139 2037 $ 23,338,189 $ 1,438,770 2038 $ 23,577,883 $ 1,453,547 2039 $ 23,819,974 $ 1,468,471 2040 $ 24,064,486 $ 1,497,984 The captured incremental taxable value and associated tax increment revenue will be determined by the City Assessor. The actual increased taxable value of the land and all future taxable improvements on the subject property may vary. Furthermore, the amount of tax increment revenue available under this Plan will be based on the actual millage levied annually by each taxing jurisdiction/unit ("unit"). It should be noted that this Brownfield Plan allows for the capture of 90% of the new tax increment revenue created by the project but none of the existing taxes currently being paid by the property. Thus 100% of the current property taxes paid on the site and 10% of the new tax revenue from the improvements will be distributed proportionately to all local and state taxing units. 7 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 6. Method of Brownfield Plan Financing Eligible activities are to be financed by the Developer and/or the LBRA. The Developer and the Authority will be reimbursed for the costs of eligible activities as listed in Table 1. The current estimated impact to taxing units for full reimbursement of eligible activities (including contingency, State Revolving Fund, LBRA Administrative Fees, and LBRA LSRRF deposits) is $29,290,594. The LBRA will provide financing for its administration and operating costs by utilizing 5% of the local taxes captured per year for the duration of the Plan. This expense is noted in Table 1 above. No portion of captured school taxes will be used for LBRA administration costs. The LBRA will also deposit 5% of the local taxes captured per year for the duration of the Plan for deposit into its Local Site Remediation Revolving Fund (LSRRF). 7. Amount of Note or Bonded Indebtedness Incurred No note or bonded indebtedness will be incurred for this project. 8. Duration of the Brownfield Plan Unless amended by the Lansing City Council, the Plan is anticipated to remain in effect until all approved activities in this plan are covered, or until the end of the year 2040 (25 years of tax capture), whichever occurs first. SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 9. Estimated Impact on Taxing Units The following table presents an estimation of the tax increment revenues generated on the subject property during the life of the Plan. Revenues are shown by taxing unit. - Table 3. Im act to TaxingUnits State Millage Developer Revolving Rate Reimbursement BRA Admin. Fund LSRRF Taxing Units School Capture State Education Tax (SET) 6.0000 $ 2,270,254 $ 1,349,578 $ 299,906 School Operating Tax 18.0000 $ 6,810,762 $ 899,719 Local Capture Lansing Oper 19.4400 $ 7,364,798 $ 437,263 $ 437,263 $ 971,696 Lansing Com Coll 3.8072 $ 1,442,349 $ 85,635 $ 85,635 $ 190,300 Ingham Voc Ed 1.2925 $ 489,661 $ 29,072 $ 29,072 $ 64,605 Ingham Intermed 4.6956 $ 1,778,917 $ 105,618 $ 105,618 $ 234,707 Ingham Cnty Sum 6.3842 $ 2,418,639 $ 143,600 $ 143,600 $ 319,110 Ingham Cnty 3.2031 $ 1,213,487 $ 72,047 $ 72,047 $ 160,105 Airport Auth 0.6990 $ 264,814 $ 15,723 $ 15,723 $ 34,939 CATA 3.0070 $ 1,139,195 $ 67,636 $ 67,636 $ 150,303 CADL-Library 1.5600 $ 591,002 $ 35,089 $ 35,089 $ 77,976 Zoo Millage 0.4100 $ 155,328 $ 9,222 $ 9,222 $ 20,494 TOTALS $ 25,939,205 $1,000,905 $1,349,578 $1,000,905 $ 3,423,859 In addition, taxes levied by the following millages will not be captured under the Brownfield Plan, but instead will flow through to the proper tax units. Total Debt Millaizes Lansing Debt 0.2600 Lansing Sch Debt 5.4560 Lansing Sch Sink 1.2860 GRAND TOTAL CAPTURE $29,290,594 GRAND TOTAL INCREMENTAL REVENUE $32,714,453 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 10. Legal Description & Site Map The legal description of the Eligible Property is provided as Attachment A. Maps and figures are provided in Attachment B. 11. Personal Property Incremental tax revenues resulting from new personal property will be captured if available. Any such funds will be used to reimburse the LBRA and Developer for eligible activities. 12. Displacement of Persons There are no persons or businesses residing on the Eligible Property and no occupied residences will be acquired or cleared; therefore there will be no displacement or relocation of persons or businesses under this Brownfield Plan. 13. LBRA Revolving Fund The LBRA will deposit 5% of the local taxes captured per year for the duration of the Plan into the LBRA's Revolving Fund as permitted by Act. 381 of 1996, as amended ("the Act"). 14. Other Information The LBRA and the Lansing City Council, in accordance with the Act, may amend this Plan in the future in order to fund additional eligible activities associated with the Project described herein. 10 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 Attachment A: Legal Description of the Property 7/2/2015 Parcel Number - 33-01-01-14-226-031 1 City of Lansing I AccessMyGov.com 3165 E MICHIGAN AVE LANSING, MI48912 (Property Address) Parcel Number: 33-01-01-14-226-031 Property Owner: KAY INVESTMENT CO Summary Information > CommercialAndustrial Building Summary > Assessed Value: $664,100 1 Taxable Value: $631,224 -- r > 1 Building Department records found across 1 property n: P > Property Tax Information found a` 6 Images / 2 Sketches Owner and Taxpayer Information Owner KAY INVESTMENT CO Taxpayer SEE OWNER INFORMATION 1919 S CREYTS RD LANSING, MI48917-9534 General Information for Tax Year 2015 Property Class COMMERCIAL Unit 33 CITY OF LANSING - INGHAM School District EAST LANSING Assessed Value $664,100 MAP # LG-0014 -0052 Taxable Value $631,224 TOP TEN Not Available State Equalized Value Not Available NEW PERMITS Not Available Date of Last Name Change 02/14/2012 USER ALPHA 3 Not Available Notes Not Available Historical District Not Available Census Block Group Not Available TYPE CODE Not Available Principal Residence Exemption Information Homestead Date 12/30/1997 Principal Residence Exemption June 1st 2016 0.0000 % Final 2015 0.0000 % 0.0000 % https://accessmygov.com/SiteSearctVSiteSearchDetai Is?SearchFocus=&SearchCategory=Address&SearchText= 3165+E+Michigan&uid=384&Pagelndex=1&ReferenceKey=33-01-01-14-226-031 &ReferenceType... 1/3 7/2/2015 Parcel Number - 33-01-01-14-226-031 1 City of Lansing I AccessMyGov.com Previous Year Information Year MBOR Assessed Final SFV Final lax hk 2014 $630,300 $630,300 $621,284 2013 $611,500 $611,500 $611,500 Land Information Zoning Code Not Available Land Value $654,600 Renaissance Zone No ECF Neighborhood 0210-FRANDOR-OFFICES Lot Dimensions/Comments 349.45AV X 419.8 Lit' No lots found. Total Acres 3.368 Land Improvements $31,006 Renaissance Zone Expiration Not Available Date Mortgage Code Not Available Neighborhood Enterprise No Zone Frontage Total Frontage: 0.00 ft Depth Average Depth: 0.00 ft Legal Description COM ON N LINE E MICHIGAN AVE AT PT S 89DEG 55MIN E 563 FT FROM CL CLIPPERT ST N ODEG 17MIN L 419.8 FT S 89DEG 55MIN E 349.1 FT, S 419.8 FT, N 89DEG 55MIN W 349.8 FT TO BEG; SEC 14 T4N R2W Sale History Sale Date Sale Price Instrument Grantor Grantee Terms of Sale Liber/Page No sales history found. Building Information - 11180.00 sq ft Automobile Showroom (Commercial) Floor Area 11,180 sq ft Estimated TCV Not Available Occupancy Automobile Showroom Class C Stories Above Ground 2 Average Story Height 12 ft Basement Wall Height Not i;�,ailabir Year Built 1960 Year Remodeled 1968 https://accessmygov.com/SiteSearcWSiteSearchDetails?SearchFocus=&SearchCategory=Address&SearchText=3165+E+Michigan&uid=384&Pagelndex= l&ReferenceKey=33-01-01-14-226-031 &ReferenceType... 2/3 7/2/2015 Parcel Number - 33-01-01-14-226-031 1 City of Lansing I AccessMyGov.com Percent Complete 0% Heat Package Heating & Cooling Physical Percent Good 43% Functional Percent Good 75% Economic Percent Good 100% Effective Age 33 yrs Building Information - 32792.00 sq ft Garage, Service/Repair (Commercial) Floor Area Occupancy Stories Above Ground Basement Wall Height Year Built Percent Complete Physical Percent Good Economic Percent Good 32,792 sq ft Garage, Service/Repair 1 Not Available 1960 0% 35% 100% Estimated TCV Class Average Story Height Year Remodeled Heat Functional Percent Good Effective Age Not Available C 14ft 1963 Space Heaters, Gas with Fan 100% 34 yrs **Disclaimer: BS&A Software provides Access MyGov.com as away for municipalities to display information online and is not responsible for the content or accuracy of the data herein. This data is provided for reference only and WITHOUT WARRANTY of any kind, expressed or inferred. Please contact your local municipality if you believe there are errors in the data. Copyright O 2015 BS&A Software, Inc. https://accessmygov.com/SiteSearc[VSiteSearchDetails?SearchFocus=&SearchCategory=Address&SearchText=3165+E+Michigan&uid=384&Pagelridex= l&ReferenceKey=33-01-01-14-226-031 &ReferenceType... 313 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 Attachment B: Figures LANSING SOUTH QUADRANGLE MICHIGAN - SAGINAW COUNTY 7.5 MINUTE SERIES (TOPOGRAPHIC) i pia J Marshall f `'Z3 a' ie Sc 1 2 �{ - .� I a..•�rr7 i ' - - ark 852 C NE S �---'�,—,��---itru �•' �� i It a-�0lower,_ (fvj ti�-'- �^ 2 F N AVE i�—A!f, ,Arm ?�' it $ ooilg d I !,� t .� ,_, ' t, is ater Tank SITE• N ' —=fin 4 ~ IS Fo to L I� �.. ♦, act 1 >^< " ssrt .......... ANSI ............ III i _ rt III d " 11 9 a39 7 yo gc� - _, a• _ all3 T.4 N.-R.2 W. Ia 1000 0 1000 2000 3000 4000 5000 6000 7000 FEET 1 0 1 KILOMETER MICHIGAN QUADRANGLE LOCATION N IMAGE TAKEN FROM 1965 U.S.G.S. TOPOGRAPHIC MAP PHOTOREVISED 1973 w E S TOPOGRAPHIC LOCATION MAP DRAWN By DDB AKT PEEP LESS DATE °' °L5 3165 EAST MICHIGAN AVENUE LANSING, MICHIGAN PROJECT NUMBER : 879282-1-25 ILLINOIS MICHIGAN OHIO GEORGIA FIGURE 1 www aktpeerless corn I I I 1 I 1 423.27 I i I EAST MICHIGAN AVENUE NAKTPEERLESS ILLINOIS MICHIGAN OHIO GEORGIA wwwa ktpeerless. co m PROPERTY BOUNDARY MAP 3165 EAST MICHIGAN AVENUE LANSING, MICHIGAN PROJECT NUMBER : 8792B2-1-25 ING 2 I FORMER UST AREA LEGEND — — = PROPERTY LINE DRAWN BY: DDB DATE: 07/6/2015 0 30 60 SCALE: 1" = 60' FIGURE 2 Level 1 SERVICE AREA .831.30 �� f A2 A2 A2 A2 B2 13 B2 A2 A2 B3 B1 , Al w B2 *mm .e33a Al Al B2B3 =A2A2 q2 w rnwo `� A2 A2 B2 A2 A2 ❑ rK w D1 D1 fA 0) ems. s °w W V Al U m e e3a Q Y d - D1 Eli , IIIIIIiII -� 1 saana- W ❑ AMENITY ❑ RESIDENTIAL ❑ RETAI L ❑ CORE ❑ COURTYARD SERVICE AUDG I APRIL 06, 2015 NILES BOLTON ASSOCIATES LEVELS 2-9 LEVEL 2-8 LEVEL 9 - PARKING STOPS AT LEVEL 8 AMENITY RESIDENTIAL RETAIL CORE COURTYARD SERVICE AUDG I APRIL 06, 2015 - NILES BOLTON ASSOCIATES SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 Attachment C: Tables Table 1. Eligible Activities SkyVue on Michigan Redevelopment Project 3165 E Michigan Ave Lansing, MI AKTP Project No. 8792132 As of July 15, 2015 ELIGIBLE ACTIVITIES COST SUMMARY Estimated Cost of Eligible Activity BEA Activities $ 30,000 Due Care Activities $ 221,100 Additional Response Activities $ 150,000 TOTAL ENVIRONMENTAL ELIGIBLE ACTIVITIES Demolition $ 401,100 $ 250,000 Lead and Asbestos Activities $ 100,000 Site Preparation Activities $ 4,099,512 Eligible Infrastructure Improvement Activities TOTAL NON -ENVIRONMENTAL ELIGIBLE ACTIVITIES Total Environmental and Non -Environmental Eligible Activities 15% Contingency on Eligible Activities $ 10,069,775 $ 14,519,287 $ 14,M,387 $ 2,238,058 Brownfield Plan & Act 381 WP Preparation Activities I I I Total Eligible Activities Cost with 15% Contingency Interest (calculated at 5%, simple) Total Eligible Activities Cost, with Contingency & Interest BRA Administration Fee $ 50,000 $ 17,208,445 $ 8,730,760 $ 25,939,205 $ 1,000,905 State Revolving Fund Local Site Remediation Revolving Fund (LSRRF) Total Eligible Costs for Reimbursement $ 1,349,578 $ 1,000,905 $ 29,290,594 New Tax Revenue Distributed to Taxing Units $ 3,423,859 JAKTPEERLESS 1 ofl Table 2. Tax Increment Revenue Estimates SkyVue on Michigan Redevelopment Project 3165 E Michigan Ave Lansing, MI AKTP No. 8792132 Estimated TV Increase rate: 1.01 As of July 15, 2015 Plan Year 1 2 ; 4 5 Calendar Year 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Initial Taxable Value $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 Estimated New TV $ 9,822,000 $ 19,644,000 $ 19,840,440 $ 20,038,844 $ 20,239,233 $ 20,441,625 $ 20,646,041 $ 20,852,502 $ 21,061,027 $ 21,271,637 $ 21,484,353 $ 21,699,197 $ 21,916,189 Incremental Difference (New TV - Initial TV) $ 9,190,776 $ 1990129776 $ 19,2099216 $ 19,407,620 $ 19,608,009 $ 19,810,401 $ 20,014,817 $ 20,221,278 $ 20,429,803 $ 209640,413 $ 20,853,129 $ 21,067,973 $ 21,284,965 Initial S 3,787 S 3,787 $ 3,787 $ 31787 S 3,7187 S 3,787 $ 3,787 S 3,787 S 3,787 $ 3, 787 S 3,787 S 3,787 S 3.787 State Education Tax (SET) 6.0000 New S 5,514 $ 11,408 S 11,526 S 11,645 $ 11,765 S 11,886 S 12,009 $ 12,133 S 12,258 S 12,384 S 12,512 $ 12,641 S 12,771 Incremental $ 49,630 $ 102,669 $ 103,730 $ 104,801 $ 105,883 $ 106,976 $ 108,080 $ 109,195 $ 110,321 $ 111,458 $ 112,607 $ 113,767 $ 114,939 Initial S 11,362 S 11,362 $ 11,362 S 11,362 $ 11,362 $ 11,362 $ 11,362 $ 11,362 $ 11,362 S 11,362 $ 11,362 S 11362 S 11,362 School Operating Tax 18.0000 New S 16,543 $ 34,223 S 34,5 77 S 34,934 $ 35,294 $ 35,659 $ 36,027 S 36,398 $ 36,774 $ 37,153 S 37,536 $ 37,922 S 38,313 Incremental $ 148,891 $ 308,007 $ 311,189 $ 314,403 $ 317,650 $ 320,928 $ 324,240 $ 327,585 $ 330,963 $ 334,375 $ 337,821 $ 341,301 $ 344,816 School Total 24.0000 Initial S 12,271 $ 12,271 $ 12,271 $ 12,271 S 12,271 $ 12,271 $ 12,271 $ 12,271 $ 12,271 $ 12,271 $ 12,271 S 12,271 $ 12,271 Lansing Oper 19.4400 New S 17,867 $ 36,961 $ 37,343 S 37,728 $ 38,118 $ 38,511 $ 38,909 $ 39,310 S 39,716 $ 40,125 $ 40,538 $ 40,956 S 41,378 Incremental $ 160,802 $ 332,648 $ 336,084 $ 339,556 $ 343,062 $ 346,603 $ 350,179 $ 353,791 $ 357,440 $ 361,125 $ 364,846 $ 368,605 $ 372,402 Initial $ 2,403 S 2,403 $ 2,403 $ 2,403 $ 2,403 S 2,403 S 2,403 $ 2,403 S 2,403 S 2,403 S 2,403 $ 2,403 S 2,403 Lansing Com Coll 3.8072 New S 3,499 S 7,239 S 7,313 S 7,389 S 7,465 S 7,542 $ 7,620 S 7,699 $ 7,778 S 7,858 S 7,939 $ 8,021 S 8,104 Incremental $ 31,492 $ 65,147 $ 659820 $ 66,500 $ 679186 $ 67,880 $ 689580 $ 69,288 $ 70,002 $ 70,724 $ 71,453 $ 72,189 $ 72,933 Initial $ 816 $ 816 $ 816 $ 816 $ 816 S 816 S 816 $ 816 $ 816 $ 816 S 816 $ 816 $ 816 Ingham Voc Ed 1.2925 New $ 1,188 S 2,457 $ 2,483 S 2,508 S 2,534 $ 2,560 S 2,587 S 2,614 S 2,641 $ 2,668 $ 2,695 S 2,723 $ 2,751 Incremental $ 10,691 $ 22,117 $ 229345 $ 22,576 $ 229809 $ 23,044 $ 23,282 $ 23,522 $ 23,765 $ 24,010 $ 24,257 $ 24,507 $ 24,760 Initial S 2,964 $ 2,964 $ 2,964 S 2,964 $ 2,964 $ 2,964 S 2,964 S 2,964 $ 2,964 $ 2,964 S 2,964 $ 2,964 $ 2,964 Ingham Intermed 4.6956 New $ 4,316 $ 8,928 $ 9,020 $ 9,113 S 9,207 $ 9,302 $ 9,398 S 9,495 $ 9,593 $ 9,692 S 9,792 S 9,893 S 9,995 Incremental $ 38,841 $ 80,349 $ 81,179 $ 82,017 $ 82,864 $ 83,720 $ 84,583 $ 85,456 $ 86,337 $ 87,227 $ 88,126 $ 89,034 $ 89,951 Initial $ 4,030 S 4,030 $ 4,030 $ 4,030 $ 4,030 S 4,030 $ 4,030 S 4,030 $ 4,030 $ 4,030 $ 4,030 S 4,030 $ 4,030 Ingham County Sum 6.3842 New $ 5,868 S 12,138 S 12,264 $ 12,390 $ 12,518 S 12,647 S 12,778 $ 12,910 $ 13,043 S 13,177 S 13,313 $ 13,450 S 13,589 Incremental $ 52,808 $ 109,243 $ 110,372 $ 111,512 $ 112,663 $ 113,826 $ 115,001 $ 116,187 $ 117,385 $ 118,595 $ 119,817 $ 121,052 $ 122,299 Initial S 2,022 $ 2,022 $ 2,022 $ 21022 S 2,022 S 2,022 $ 2,022 $ 2,022 S 2,022 S 2,022 $ 2,022 $ 2,022 S 2,022 Ingham County 3.2031 New S 2,944 $ 6,090 S 6,153 $ 6,216 $ 6,281 S 6,345 S 6,411 $ 6,477 $ 6,544 S 6,611 S 6,679 $ 6,748 S 6,818 Incremental $ 269495 $ 54,810 $ 55,376 $ 55,948 $ 56,526 $ 57,109 $ 57,699 $ 58,294 $ 58,895 $ 59,502 $ 60,115 $ 60,735 $ 61,360 Initial $ 441 $ 441 S 441 $ 441 $ 441 S 441 S 441 S 441 $ 441 S 441 S 441 S 441 S 441 AirportAuth. 0.6990 New S 642 $ 1,329 $ 1,343 $ 1,357 S 1,371 $ 1,385 $ 1,399 S 1,413 S 1,428 $ 1,443 S 1,458 S 1,473 $ 1,488 Incremental $ 5,782 $ 11,961 $ 12,085 $ 12,209 $ 12,335 $ 12,463 $ 12,591 $ 12,721 $ 12,852 $ 12,985 $ 13,119 $ 13,254 $ 13,390 Initial $ 1,898 $ 1,898 S 1,898 $ 1,898 S 1,898 $ 1,898 $ 1,898 $ 1,898 $ 1,898 $ 1,898 $ 1,898 $ 1,898 $ 1,898 CATA 3.0070 New S 2,764 $ 5,717 $ 5,776 $ 5.836 S 5,896 S 5,957 $ 6,018 S 6,081 $ 6.143 S 6,207 $ 6,271 S 6,335 $ 6,400 Incremental $ 24,873 $ 51,454 $ 51,986 $ 52,523 $ 53,065 $ 53,613 $ 54,166 $ 54,725 $ 55,289 $ 55,859 $ 56,435 $ 57,016 $ 57,604 Initial S 985 S 985 $ 985 S 985 S 985 S 985 $ 985 S 985 S 985 $ 985 $ 985 S 985 $ 985 CADL-Library 1.5600 New $ 1,434 $ 2,966 S 2,997 $ 3,028 S 3,059 $ 3,090 S 3,122 $ 3,155 $ 3,187 S 3,220 $ 3,253 $ 3,287 S 3,320 Incremental $ 12,904 $ 26,694 $ 26,970 $ 27,248 $ 27,530 $ 27,814 $ 28,101 $ 289391 $ 28,683 $ 28,979 $ 29,278 $ 29,579 $ 29,884 Initial $ 259 S 259 $ 259 $ 259 $ 259 S 259 $ 259 $ 259 $ 259 $ 259 $ 259 $ 259 S 259 Zoo Millage 0.4100 New $ 377 $ 780 S 788 S 796 $ 804 $ 812 S 821 $ 829 $ 838 $ 846 S 855 S 864 $ 873 Incremental $ 3,391 $ 7,016 $ 7,088 $ 7,161 $ 7,235 $ 7,310 $ 7,385 $ 7,462 $ 7,539 $ 7,616 $ 7,695 $ 7,774 $ 7,854 Local Total 44.4986 ljon-Capturable Millaaes Millage RqA Lansing Debt 0.2600 New TV $ 2,554 $ 5,107 $ 5,159 $ 5,210 $ 5,262 $ 5,315 $ 5,368 $ 5,422 $ 5,476 $ 5,531 $ 5,586 $ 5,642 $ 5,698 EL Sch Debt 5.4560 New TV $ 53,589 $ 107,178 $ 108,249 $ 1099332 $ 110,425 $ 111,530 $ 112,645 $ 113,771 $ 114,909 $ 116,058 $ 117,219 $ 118,391 $ 119,575 EL Sch Sink 1.2860 New TV $ 12,631 $ 25,262 $ 25,515 $ 259770 $ 26,028 $ 26,288 $ 26,551 $ 26,816 $ 27,084 $ 27,355 $ 27,629 $ 27,905 $ 28,184 Total Non -Capturable Taxes 7.0020 JAKTPFERLESS Iof2 Table 2. Tax Increment Revenue Estimates SkyVue on Michigan Redevelopment Project 3165 E Michigan Ave Lansing, MI AKTP No. 8792132 As of July 15, 2015 14 15 i 16 I' 18 19 20 - -- _3 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 - - 2039 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 22,135,351 $ 22,356,704 $ 22,580,271 $ 22,806,074 $ 23,034,135 $ 23,264,476 $ 23,497,121 $ 23,732,092 $ 23,969,413 $ 24,209,107 $ 24,451,198 $ 21,504,127 $ 21,725,480 $ 21,949,047 $ 22,174,850 $ 22,402,911 $ 22,633,252 $ 22,865,897 $ 23,100,868 $ 23,338,189 $ 23,577,883 $ 23,819,974 S 31787 $ 3,787 $ 3,787 $ 3,787 $ 3,787 $ 3,787 $ 3,787 S 3,787 $ 3,787 S 3,787 S 3,787 S 12,902 $ 13,035 S 13.169 S 13,305 $ 13,442 $ 13,580 $ 13,720 S 13,861 S 14,003 $ 14,147 S 14,292 $ 116,122 $ 117,318 $ 118,525 $ 119,744 $ 120,976 $ 122,220 $ 123,476 $ 124,745 $ 126,026 $ 127,321 $ 128,628 $ 11,362 S 11,362 S 11,362 $ 11,362 S 11,362 $ 11,362 S 11,362 S 11,362 S 11,362 S 11,362 $ 11,362 S 38,707 $ 39,106 S 39,508 $ 39,915 S 40,325 $ 40,740 $ 41,159 $ 41,582 $ 42,009 $ 42,440 $ 42,876 $ 348,367 $ 351,953 $ 355,575 $ 359,233 $ 362,927 $ 366,659 $ 370,428 $ 374,234 $ 378,079 $ 381,962 $ 385,884 $ 12,271 $ 12,271 $ 12,271 S 12,271 $ 12,271 $ 12,271 S 12,271 $ 12,271 $ 12,271 $ 12,271 $ 12,271 $ 41,804 S 42,234 S 42,669 S 43,108 S 43,551 $ 43,999 S 44,451 $ 44,908 $ 45,369 $ 45,835 $ 46,306 $ 376,236 $ 380,109 $ 384,021 $ 387,971 $ 391,961 $ 395,991 $ 400,062 $ 404,173 $ 408,325 $ 412,519 $ 416,754 $ 2,403 $ 2,403 S 2,403 $ 2,403 $ 2,403 $ 2,403 S 2,403 S 2,403 $ 2,403 $ 2,403 S 2,403 S 8,187 $ 8,271 $ 8,356 $ 8,442 S 8,529 $ 8,617 $ 8,706 S 8,795 S 8,885 $ 8,977 S 9,069 $ 73,683 $ 74,442 $ 75,208 $ 75,982 $ 76,763 $ 77,552 $ 78,350 $ 79,155 $ 79,%8 $ 80,789 $ 81,619 $ 816 $ 816 S 816 $ 816 $ 816 S 816 $ 816 $ 816 $ 816 S 816 S 816 S 2,779 $ 2,808 $ 2,837 $ 2,866 $ 2,896 $ 2,925 $ 2,955 $ 2,986 S 3,016 S 3,047 $ 3,079 $ 25,015 $ 25,272 $ 25,532 $ 25,795 $ 26,060 $ 26,328 $ 26,599 $ 26,872 $ 27,148 $ 27,427 $ 27,709 $ 2,964 $ 2,964 S 2,964 $ 2,964 $ 2,964 S 2,964 S 2,964 $ 2,964 $ 2,964 S 2,964 $ 2,964 S 10,097 $ 10,201 $ 10,306 S 105412 S 10,520 $ 10,628 S 10,737 $ 10,847 $ 10,959 $ 11,071 $ 11,185 $ 90,877 $ 91,813 $ 92,758 $ 93,712 $ 94,676 $ 95,649 $ 96,632 $ 97,625 $ 98,628 $ 99,641 $ 100,664 $ 4,030 S 4,030 S 4,030 $ 4,030 $ 4,030 $ 4,030 S 4,030 S 4,030 $ 4,030 S 4,030 S 4,030 $ 13,729 $ 13,870 S 14,013 $ 14,157 S 14,302 S 14,450 $ 14,598 S 14,748 S 14,900 S 15.053 S 15,207 $ 123,558 $ 124,830 $ 126,114 $ 127,412 $ 128,722 $ 130,046 $ 131,382 $ 132,733 $ 134,096 $ 135,473 $ 136,864 $ 2,022 $ 2,022 S 2,022 S 2,022 $ 2,022 S 2,022 S 2,022 $ 2,022 $ 2,022 S 2,022 S 2,022 S 6,888 $ 6,959 S 7,030 S -1 J03 S 7,176 $ 7,250 $ 7,324 S 7,399 S 7,475 $ 7,552 S 7,630 $ 61,992 $ 62,630 $ 63,274 $ 63,925 $ 64,583 $ 65,247 $ 65,918 $ 66,595 $ 67,279 $ 67,970 $ 68,668 S 441 $ 441 S 441 S 441 $ 441 $ 441 S 441 S 441 $ 441 S 441 S 441 $ 1,503 $ 1,519 $ 1,534 S 1,550 $ 1,566 S 1 J82 S 1,598 S 1,615 $ 1,631 $ 1,648 $ 1,665 $ 13,528 $ 13,667 $ 13,808 $ 13,950 $ 14,094 $ 14,239 $ 14,385 $ 14,533 $ 14,682 $ 14,833 $ 14,985 $ 1,898 $ 1,898 $ 1,898 $ 1,898 $ 1,898 S 1,898 S 1,898 $ 11898 $ 1,898 S 1,898 $ 1,898 $ 6,466 $ 6,533 S 6,600 S 6,668 $ 6,737 $ 6,806 S 6,876 $ 6,946 $ 7,018 S 7,090 $ 7,163 $ 58,197 $ 58,796 $ 59,401 $ 60,012 $ 60,629 $ 61,252 $ 61,882 $ 62,518 $ 63,160 $ 63,809 $ 64,464 S 985 S 985 S 985 $ 985 S 985 S 985 S 985 $ 985 $ 985 S 985 $ 985 $ 3,355 S 3,389 $ 3,424 S 3,459 $ 3,495 S 3,531 S 3,567 S 3,604 $ 3,641 $ 3,678 $ 3,716 $ 30,192 $ 30,503 $ 30,816 $ 31,133 $ 31,454 $ 31,777 $ 32,104 $ 32,434 $ 32,767 $ 33,103 $ 33,443 S 259 S 259 $ 259 $ 259 $ 259 S 259 S 259 $ 259 S 259 $ 259 S 259 $ 882 $ 891 $ 900 S 909 $ 919 $ 928 S 938 S 947 $ 957 $ 967 S 977 $ 7,935 $ 8,017 $ 8,099 $ 8,183 $ 8,267 $ 8,352 $ 8,438 $ 8,524 $ 8,612 $ 8,700 $ 8,790 5,755 $ 5,813 $ 5,871 $ 5,930 $ 5,989 $ 6,049 $ 6,109 $ 6,170 $ 6,232 $ 6,294 $ 6,357 120,770 $ 121,978 $ 123,198 $ 124,430 $ 125,674 $ 126,931 $ 128,200 $ 129,482 $ 130,777 $ 132,085 $ 133,406 28,466 $ 28,751 $ 29,038 $ 29,329 $ 29,622 $ 29,918 $ 30,217 $ 30,519 $ 30,825 $ 31,133 $ 31,444 JAUPEERLESS 2 of Table 3. Reimbursement Allocation Schedule SkyVue on Michigan Redevelopment Project 3165 E Michigan Ave Lansing, MI AKTP Project No, 8792132 As of July 15, 2015 Developer Maximum Proportionality School & Local Local -Only Reimbursement Taxes Taxes Total State 35.0% $ 9,081,017 $ 9,081,017 Local 65.0% $ 169937,189 $ 21,000 $ 16,858,189 TOTAL $ 25,918,205 $ 21,000 $ 25,939,205 MDEQ 2.8 /o $ 718,153 MSF 97.2% $ 25,200,052 Estimated Total Years of Plan: 24 Estimated Capture Administrative Fees $ 1,000,905 State Revolving Fund $ 1,349-578 LSRRF $ 1.000.905 Plan Year - - -- - Total State Incremental Revenue $ 198,521 $ 410,676 $ 414,919 $ 419,205 $ 423,533 $ 427,905 $ 432,320 $ 436,780 $ 441,284 $ 445,833 $ 450,428 $ 455,068 $ 459,755 State Brownfield Revolving Fund (3 mills of SET) $ 24,815 $ 51,334 $ 51,865 $ 52,401 $ 52,942 $ 53,488 $ 54,040 $ 54,597 $ 55,160 $ 55,729 $ 56,303 $ 56,884 $ 57,469 State TIR Available for Reimbursement $ 173,706 $ 359,341 $ 363,054 $ 366,804 $ 370,591 $ 374,417 $ 378,280 $ 382,182 $ 386,123 $ 390,104 $ 394,124 $ 398,185 $ 402,286 Total Local Incremental Revenue $ 368,079 $ 761,438 $ 769,305 $ 777,251 $ 785,276 $ 793,382 $ 801,568 $ 809,837 $ 818,188 $ 826,623 $ 835,142 $ 843,746 $ 852,436 BRA Administrative Fee $ 18,404 $ 38,072 $ 38,465 $ 38,863 $ 39,264 $ 39,669 $ 40,078 $ 40,492 $ 40,909 $ 41,331 $ 41,757 $ 42,187 $ 42,622 Local Site Remediation Revolving Fund (LSRRF) $ 18,404 $ 38,072 $ 38,465 $ 38,863 $ 39,264 $ 39,669 $ 40,078 $ 40,492 $ 40,909 $ 41,331 $ 41,757 $ 42,187 $ 42,622 Local TER Available for Reimbursement $ 331,271 $ 685,294 S 692,374 $ 699,526 $ 706,748 $ 714,043 $ 721,411 $ 728,853 $ 736,369 $ 743,960 $ 751,627 $ 759,371 $ 767,192 Beginning DEVELOPER Balance DEVELOPER Reimbursement Balance i $ 25,939,205 $ 25,434,228 $ 24,389,593 S 23,334,164 $ 22,267,835 S 21,190,495 $ 20,102,035 $ 19,002,343 S 17,891,309 $ 16,768,816 $ 15,634,752 S 14,489,000 $ 13,331,444 $ 12,161,966 SPLIT 1 Eligible Activities Reimbursement $ 1 m inmmental I-lieihlr Arun cues $ Non-1 nxnonmental 1 Iigiblc Aetnuic- $ Interest Reimbursement $ I m ironmental Portion $ x $ Total STATE TIR Reimbursement O LOCAL Reimbursement Balance $ O Eligible Activities Reimbursement $ a E � i iuihu lc Ac\ hies G imnmcntttl I I!- Interest Reimbursement $ E u a° x Total LOCAL TIR Reimbursement LOCAL -ONLY Reimbursement Balance $ Eligible Activities Reimbursement $ Interest Reimbursement $ 9,081,017 S 8.907,311 $ 8,547,969 $ 8,184,915 $ 7,818,111 $ 7,447,520 $ 7,073,103 $ 6,694,823 $ 6,312,641 $ 5,926,518 S 5,536,414 $ 5,142,290 $ 4,744,105 $ 4,341,819 6,022,352 1, 173,706 $ 359,341 $ 363,054 $ 366,804 $ 370,591 $ 374,417 $ 378,280 $ 382,182 $ 386,123 $ 390,104 $ 394,124 $ 398,185 $ 402,286 166-810 4i11 y - v 10,00) $ 1'' i,,_t 1 In-'i,�i � n ;-a Iti.lX3 h lil.;Un S I(U� uu $ b IJ7 5,855.482 s 168 8" c "vv: \ '�� a ;6 _ii.l� h ;(,-'v� :75 {,{ ,71)_ 4. ;8; 1 3,058,665 $ - $ - $ $ $ $ $ $ $ - $ $ $ $ - 84.751 S S-- 2.973,914 5 $ S r a 113,/Uo a aay,J41 a 3o3,U34 a 366,8U4 5 37U,ay1 5 374,417 5 378,28U 5 382,182 5 386,123 $ 390,104 $ 394,124 $ 398,185 $ 402,286 16,837,189 $ 16,505, 918 $ 15,820, 624 $ 15,128,249 $ 14,428, 723 $ 13,721,975 $ 13, 007,932 $ 12,286, 520 $ 11, 557, 667 $ 10,821,298 $ 10, 077,338 $ 9,325, 710 $ 8,566,339 $ 7,799,147 11,166,093 $ 331,271 $ 685,294 $ 692,374 $ 699,526 $ 706,748 $ 714,043 $ 721,411 $ 728,853 $ 736,369 $ 743,960 $ 751,627 $ 759,371 $ 767,192 309.395 17'Y C 8.U8A T v_IS� ;s: v �s: S 1'4_7x19.989 S 20_I'); S 21l4t14 $ 2_ii_('I4 $ _K_'( 1I_Wl $ 10 956,698 �u� Y 666 ;i 6- �� 5 h�J 1', 6N r c -�tS +.c� 1 : �.; e h 7_Ib 4 r,9.�^:� "i�)46 $ ';iiNnl } 7,N;Z(i S 7.15,9;; 5,671,096 $ $ $ $ - $ - $ $ _ $ $ $ - $ $ $ - `ti $ 331,271 $ 685,294 $ 692,374 $ 699,526 $ 706,748 $ 7149043 $ 721,411 $ 728,853 S 736,369 $ 743,960 $ 751,627 $ 759,371 $ 767,192 11,000 $ 21,000 $ 21,000 $ 21,000 S 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 20,000 $ - $ - $ - _$ $ - $ - $ - $ - $ - $ - $ - $ - $ - 1,000 $ - $ - $ $ $ - $ - $ - $ - $ - $ - $ - $ - $ Total Local -On) TIR Reimbursement S - S - S - S - $ _ $ _ $ _ $ - $ _ $ _ $ _ $ _ $ _ t Developer ReimbuA; $ 504,977 $ 1,044,635 $ 1,055,429 $ 1,066,330 ----------------------------------------------------- 11 2 _ � MDEQReimbursement Balance $ 718,153 $ 704,161 S 675116 S 645,971 $ 616.425 $ 586,574 $ 556,414 $ 525,943 $ 495,158 S 464,056 $ 432,633 $ 400,886 $ 368,812 $ 336,407 o ;, Eligible Activities Reimbursement $ 476,265 $ 13,992 $ 28,945 $ 29,244 $ 29,546 $ 29,851 $ 30,160 $ 30,471 $ 30,785 $ 31,103 $ 31,423 $ 31,747 $ 32,074 $ 32,404 c� Interest Reimbursement $ 241,888 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - m 5 Total MDEQ TIR Reimbursement $ 13,992 $ 28,945 $ 29,244 $ 29,546 $ 29,851 $ 30,160 $ 30,471 $ 30,785 $ 31,103 $ 31,423 $ 31,747 $ 32,074 $ 32,404 � c 2 MSF Reimbursement Balance $ 25,200, 052 $ 24, 709,068 $ 23, 693,377 $ 22, 667,193 $ 21, 630,410 $ 20,582, 921 $ 19, 524, 621 $ 18,455,400 $ 17,375,150 $ 16,283, 760 $ 15,181,119 $ 14, 067,115 $ 12,941, 633 $ 11,804,559 E a Eligible Activities Reimbursement $ 16,712,180 $ 490,985 $ 1,015,690 $ 1,026,184 $ 1,036,783 $ 1,047,488 $ 1,058,300 $ 1,069,221 $ 1,080,250 $ 1,091,390 $ 1,102,641 $ 1,114,005 $ 1,125,482 $ 1,137,074 ua Interest Reimbursement $ 8,487,872 $ - $ - $ - $ - $ - $ - $ _ $ _ $ - $ - $ _ $ - $ z Total MSF TIR Reimbursement $ 490,985 $ 1,015,690 $ 1,026,184 S 1,036.783 $ 1,047,488 $ 1,058,300 $ 1,069,221 $ 1,080,250 $ 1,091,390 $ 1,102,641 $ 1,114,005 $ 1,125,482 $ 1,137,074 429 $ 1,066,330 $ 1,077,340 $ 1,088, IMMEERLESS I oft Table 3. Reimbursement Allocation Schedule SkyVue on Michigan Redevelopment Project 3165 E Michigan Ave Lansing, MI AKTP Project No. 8792132 As of July 15, 2015 End Plan $ 464,489 $ 469,270 $ 474,099 $ 478,977 $ 483,903 $ 488,878 $ 493,903 $ 498,979 $ 504,105 $ 509,282 $ 514,511 $ 58,061 $ 58,659 $ 59,262 $ 59,872 $ 60,488 $ 61,110 $ 61,738 $ 62,372 $ 63,013 $ 63,660 $ 64,314 $ 406,428 $ 410,612 $ 414,837 $ 419,105 $ 423,415 $ 427,768 $ 432,165 $ 436,606 $ 441,092 $ 445,622 S 450,198 $ 861,213 $ 870,078 $ 879,032 $ 888,075 $ 897,208 $ 906,433 $ 915,750 $ 925,161 $ 934,665 $ 944,265 $ 953,960 $ 43,061 $ 43,504 $ 43,952 $ 44,404 $ 44,860 $ 45,322 $ 45,788 $ 46,258 $ 46,733 $ 47,213 $ 47,698 $ 43,061 $ 43,504 $ 41952 $ 44,404 $ 44,860 $ 45,322 $ 45,788 $ 46,258 $ 46,733 $ 47,213 $ 47,698 S 775,092 $ 783,070 $ 791,129 S 799,267 $ 807,488 S 815,790 S 824,175 $ 832,645 S 8419199 S 849,838 $ 858,564 S 10,980,446 S 9,786,764 S 8,580,799 S 7,362,427 S 6,131,524 ' S 4,887,966 15 3,631,625 1 S 2,362,374 S 1,080,084 S 84,169 S 0 $ 3. 935, 391 $ 3,524, 780 $ 3,109,943 $ 2,690,838 S 2,267,423 $ 1,839, 655 $ 1,407,489 $ 970,883 $ 529, 791 $ 84,169 $ (0) $ 406,428 $ 410,612 $ 414,837 $ 51,278 $ - $ - $ - $ - $ $ - $ is k I All 1� w r c $ $ - $ $ 367,827 $ 423,415 $ 427,768 $ 432,165 $ 436,606 $ 441,092 $ 445,622 $ 84,169 $ 406,428 $ 410,612 $ 414,837 $ 419,105 $ 423,415 S 427,768 $ 432,165 $ 436,606 $ 441,092 $ 445,622 $ 84,169 $ 7,024,055 $ 6,240,985 $ 5,449,856 $ 4,650,589 $ 3,843,101 $ 3,027,311 $ 2,203,136 $ 1,370,491 $ 529,293 $ 0 $ 0 $ 775,092 $ 783,070 $ 569,889 $ - $ - $ - $ - $ - $ - $ - $ *1 47 7i l y k b k ti $ - $ $ 221,240 $ 799,267 $ 807,488 $ 815,790 $ 824,175 $ 832,645 $ 841,199 $ 529,293 $ 13i, 37J I I01i * 777,111 7\ JI ;.Iti, ti tiiil-337 $ 9. T 4, I4627 $ 775,092 $ 783,070 $ 791,129 $ 799,267 $ 807,488 $ 815,790 $ 824,175 $ 832,645 $ 841,199 $ 5299293 $ $ 21,000 S 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ - $ $ - $ - $ - $ - $ - $ - $ - $ - $ $ 20,000 $ _ $ - $ - $ $ - $ $ $ $ $ $ 1,000 $ S - $ - S S - S $ S $ - S - S 21,000 $ 1,181,5 , 3,682 $ 1,205,966 $ 1,218,372 $ 1,230,903�S 1,243,558 $ 1,256,341 A 1,269,251 S 1,282,290 $ fi S 303,669 $ 270,594 $ 237.179 $ 203,419 $ 169,313 S 13 {.856 $ 100,045 $ 64,876 $ 29,346 $ 2,332 $ 0 $ 32,738 $ 33,075 $ 27,285 $ 1,421 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 6,130 $ 32,338 $ 34,106 $ 34,457 $ 34,811 $ 35,169 $ 35,530 $ 27,013 $ 2,332 $ 32,738 $ 33,075 $ 33,415 S 33,759 $ 34,106 $ 34,457 S 34,811 $ 35,169 $ 35,530 S 27,013 S 2,332 $ 10, 655,777 $ 9,495,170 $ 8,322,620 $ 7,138, 007 $ 5,941,211 $ 4,732,110 $ 3,510,580 $ 2,276,498 $ 1,029,738 $ 81,837 $ 0 $ 1,148,782 $ 1,160,607 $ 957,441 $ 49,857 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 215,109 $ 1,134,756 $ 1,196,796 $ 1,209,101 $ 1,221,530 $ 1,234,082 $ 1,246,760 $ 947,901 $ 81,837 $ 1,148,782 $ 1,160,607 $ 1,172,550 $ 1,184,613 S 1,196,796 $ 1,209,101 $ 1,2219530 $ 1,234,082 $ 1,246,760 $ 947,901 $ 81,837 IA CTPEERLESS 2of2 a V T m z v Appendix B Resolutions RESOLUTION #2015-236 BY THE COMMITTEE ON DEVELOPMENT AND PLANNING RESOLVED BY THE CITY COUNCIL OF THE CITY OF LANSING _ RESOLUTION APPROVING SKYVUE ON MICHIGAN REDEVELOPMENT PROJECT BROWNFIELD REDEVELOPMENT PLAN # 60 WHEREAS, the Brownfield Redevelopment Authority (the 'Authority') of the City of Lansing, pursuant to and in accordance with the provisions of the Brownfield. Redevelopment Financing Act, Public Act, Public Act 381 of 1996, as amended, (the 'Act') has prepared a Brownfield Plan, submitted to Council and placed on file in the office of City Clerk, SkyVue on Michigan Redevelopment Project — Brownfield Redevelopment Plan 460 (the 'Plan'); and WHEREAS, a public hearing was held by the Lansing City Council on August 24, 2015 and at least 10 days before the public hearing the taxing jurisdictions. were provided notice to be fully informed about the fiscal and economic implications of the proposed Plan and given a reasonable opportunity to express their views and recommendations regarding the Plan in accordance with Section 13 (10) and 14(1) of the Act; and WHEREAS, the Lansing City Council,_ before and during its public hearing on the: .August 24, 2015 .reviewed testimony and evidence regarding the Plan, and found that: 1. the Plan provides for the reimbursement of costs attributable to eligible activities to the developer and the Authority, 2. the Project includes, in addition to the eligible activities identified in the Plan, the redevelopment of the property, 3. the Project may result in new private investment of approximately $80,000,000 4. the Plan provides for the capture of property tax increment revenues due to the private investment on the site, and devotes them to repaying the Authority for its costs associated with eligible activities it, performs, and to repaying the developer for their costs associated with eligible actives they perform, in accordance with the Plan, WHEREAS, the Authority Board of Directors, at its meeting on July 17, 2015, unanimously recommended approval of the Plan, for this Project; NOW, THEREFORE, BE IT RESOLVED that the Lansing City Council, after having duly considered the Plan, finds it is in compliance with the provisions of the Act [26323:3:20150901:095521 ] RESOLUTION #2015-236 and further finds: • 'The Plan constitutes a public purpose under the Act; • The :Plan meets all of the requirements for a Brownfield Plan set forth in Section 13 •of the Act; • Theproposed method of financing the costs of the eligible activities, as described in the Plan, is feasible and the Authority has the ability to arrange the financing; The costs of the eligible activities proposed in the Plan are reasonable and necessary to carry out the purposes of the Act; and • Theamount of the captured taxable value estimated to result from the adoption of the Plan is reasonable. . IT IS FINALLY RESOLVED that the Lansing City Council hereby approves the LBRA `SkyVue on Michigan Redevelopment Project Brownfield Redevelopment Plan #60'. 9/;/nis 10:22:39 AM SIGNED BY CHR15-SWOP LANSING CITY CLERK [26323:3:20150901:095521 x C) Appendix C Executed Reimbursement Agreement SkyVue on- Michigan Redevelopment Project Brownfield Redevelopment Plan #60 REIMBURSEMENT AGREEMENT This Brownfield Reimbursement Agreement (the "Agreement") is made as of October 6, 2015, among the Lansing Brownfield Redevelopment Authority (the "Authority"), a public body corporate with offices at 1000 South Washington Avenue, Lansing, MI 48910; and Lansing Properties I, LLC, with a business address of 348 Enterprise Drive, Valdosta, GA, 31601 (the "Developer"). The Authority and the Developer, collectively; shall be referred to as the "Parties" throughout the Agreement. _ RECITALS A. The Authority was created by the City of Lansing (the "City") pursuant to the Brownfield Redevelopment Financing Act, 1996 P.A. 381, as amended (the "Act"), and, pursuant to the Act, the Authority has prepared a Brownfield Plan to include the Property (as defined below) which was duly approved by the City Council on August 31, 2015 following a public hearing on August 24, 2015, a copy of which is attached as Exhibit A (the `Brownfield Plan"). B. The Developer intends to develop the property in the City of Lansing which is described on the attached Exhibit B (the "Property") and which, due to it being a "facility" as defined by Part 201 of Michigan's Natural Resources and Environmental Protection Act (P.A. 451, as amended) as described in the Brownfield Plan is "eligible property" and is therefore commonly referred to as a "brownfield." C. Provided it obtains any needed zoning and building approvals from the City and others, the Developer plans to develop on the Property (the "Improvements") as described in the Brownfield Plan. The Improvements will increase the tax base for taxing jurisdictions and support the employment base in Lansing. The Improvements include eligible activities as defined by the Act (the "Eligible Activities"). D. In order to make the Improvements on the Property, the Developer will incur costs to complete the Eligible Activities. These costs are more fully described in the Brownfield Plan (the "Eligible Costs"). It is recognized that the Brownfield Plan is based upon estimated costs and may increase or decrease depending on the nature and extent of the Brownfield conditions and other unknown conditions encountered on the Property. The actual cost of those eligible activities encompassed by this Plan that will qualify for reimbursement from tax increment revenues of the Authority from the Property shall be governed by the terms of this Agreement. No costs of eligible activities will be qualified for reimbursement except to the extent permitted in accordance with the terms and conditions of this Agreement. The amount reimbursed for eligible activities may be adjusted up or down between the various categories of Eligible Activities, up to the maximum total reimbursement of $17,208,445, plus interest (as allowed by the terms found elsewhere in this Agreement). E. In accordance with Act 381 and the Brownfield Plan, the Parties desire to use the property tax revenues that are generated from an increase in the Property's taxable value due to the Improvements ("Tax Increment Revenues") to reimburse the Developer for Eligible Costs it incurs in improving the Property. F. The Parties are entering into this Agreement to establish the terms and conditions and the procedures for such reimbursement with Tax increment Revenues as they are generated TERMS AND CONDITIONS In exchange for the consideration in and referred to by this Agreement, the Parties agree as follows: 1. Brownfield Plan. To the extent provisions of the Brownfield Plan conflict with this Agreement, the terms and conditions of the Brownfield Plan control with the following exception: The Authority is not obligated to reimburse Eligible Activities performed after December 31, 2019. To the extent provisions of the Brownfield Plan or this Agreement conflict with the Act, then the Act controls. Pagel of 7 SkyVue on Michigan Redevelopment Project Brownfield Redevelopment Plan #60 2. Construction of Development. The Developer shall proceed with due care and diligence to complete the Improvements and undertake and complete the Eligible Activities resulting in the Eligible Costs, all in accordance with this Agreement, the Brownfield Plan, and all applicable laws, rules, regulations, permits, orders, and directives of any official or agency of competent jurisdiction. 3. Capture of Taxes. The parties agree that this Agreement and the Tax Increment Revenues collected and distributed pursuant to the Brownfield Plan are intended to fund the Eligible Costs and the Authority's cost as described in the Brownfield Plan. 4. Submission of Costs. For those Eligible Costs for which the Developer seeks reimbursement from the Authority, the Developer shall submit to the Authority such of the following as may be required by Authority representatives: (a) a written statement detailing the costs, (b) a written explanation as to why reimbursement is appropriate under the Plan and this Agreement, (c) copies of invoices from the consultants, contractors, engineers, attorneys or others who provided such services, (d) copies of waivers of liens by the contractors, subcontractors and material suppliers; (e) if not already submitted, copies of the contract with the contractor or supplier providing the services or supplies for which reimbursement is sought; (f) a statement from the engineer and project manager overseeing the work recommending payment; and (g) any other information which may be reasonably required by state authorities or reasonably required by the Authority. The Developer may submit a reimbursement request including such information whenever it is available even though Tax Increment Revenues for the reimbursement may not be available at the time of submittal. The Developer and Authority agree that the Authority may do so but is not obligated to reimburse Eligible Activities conducted after Dec 31, 2019. Payments. Payments to the Developer shall be made as follows: (a) Within 45 days of its receipt of the materials identified in paragraph 4 above, the Authority shall decide whether the payment request is for Eligible Costs and whether such costs are accurate. If the Authority determines all or a portion of the requested payment is for Eligible Costs and is accurate, it shall see that the portion of the payment request that is for Eligible Costs and is accurate is processed as provided in subparagraph (b) below. If the Authority disputes the accuracy of any portion of any payment request or that any portion of any payment is for Eligible Costs, it shall notify the Developer in writing of its determination and the reasons for its determination. The Developer shall have ninety (90) days to address the reasons given by the Authority and shall have an opportunity to meet with the Authority's representatives or, if the Authority Board consents, to meet with the Authority's Board to discuss and resolve any remaining dispute. In doing so, the Developer shall provide the Authority a written response to the Authority's decision and the reasons given by the Authority. Within thirty (30) days of receiving the written response from the Developer, except as otherwise agreed to in writing by the Developer and Authority, the Authority shall make a final determination on the eligibility of the disputed cost(s) and inform the Developer in writing of its determination. The final determination shall be binding upon the Developer. (b) Once it approves any request for payment as Eligible Costs and approves the accuracy of such costs, the Authority shall pay to the Developer the amounts for which submissions have Page 2 of SkyVue on Michigan Redevelopment Project Brownfield Redevelopment Plan #60 been made pursuant to paragraph 4 of this Agreement as the Authority receives Tax Increment Revenues as directed by the Brownfield Plan, until all of the Authority approved amounts for which submissions have been made have been fully paid to the Developer or the Brownfield Plan obligation to the Developer expires, whichever occurs first. (c) The repayment obligation under this Agreement shall expire upon the payment by the Authority to the Developer of all LBRA approved amounts due the Developer under this Agreement or on December 31, 2040, whichever occurs first. (d) Interest at the rate of five percent (5%) per annum shall accrue from and after the date of approval of the first reimbursement request by the LBRA until the entire amount due to the Developer is reimbursed to the Developer by the LBRA under this Agreement. (e) The sole source for any reimbursement shall be such Tax Increment Revenues as directed in the Plan. To the extent permitted by law, such reimbursements, once approved by the Authority under subparagraph (b) above shall be and remain valid and binding obligations of the Authority until paid or until expiration of the time for payment as provided in subparagraph (c). (1) Payment for Administrative Fees. The Authority will collect a payment for administrative fees annually from Tax Increment Revenues. This payment will equal five percent of the amount of tax increment revenue collected each year that is derived from "Local Taxes", as defined by the Act. The purpose of this payment is to cover administrative costs and fees, as defined in section 7(h) of Act 381, that are part of the approval of the Brownfield Plan, an Act 381 Work Plan and any Eligible Activity on an eligible property. The payment is a reimbursable administrative cost subject to Tax Increment Revenues under Section 13(16) and Section 13(19) of the Act, and the satisfaction and performance of the terms of this Agreement. The Developer acknowledges that payment of the administrative fees will be made from Tax Increment Revenues first. (2) Payment for Local Site Remediation Revolving Fund (LSRRF). The Authority will collect a payment each year for deposit into the LSRRF. The payment will equal five percent of the amount of tax increment revenue collected each year that is derived from "Local Taxes", as defined by the Act. Collection and use of the payments deposited into the LSRRF will be in accordance with Section 8 and Section 13(5) of the Act. The Developer acknowledges that payment of the administrative fees will be made from Tax Increment Revenues second. It should be noted that the Brownfield Plan allows for the capture of 90% of the new tax increment revenue created by the project but none of the existing taxes currently being paid by the property. Thus 100% of the current property taxes paid on the site and 10% of the new tax revenue from the improvements will be distributed proportionately to all local and state taxing units. 6. Assignment of Future Reimbursement Revenue. The Developer may assign with the Authority's written approval, all or part of its rights and obligations under this Agreement to any affiliate or successor in interest. Developer shall, no later than sixty (60) days prior to such assignment, notify the Authority as specified under Subparagraph 10(e). The Authority's written approval will not be unreasonably withheld_ 7. Adjustments. If, due to an appeal of any tax assessment or reassessment or any other reason, the Authority is required to reimburse any Tax Increment Revenues, the Authority may deduct the amount of any such reimbursement from any amounts due and owing the Developer or, if all amounts due the Developer under this Agreement have been fully paid, the Authority may invoice the Developer for the amount of such reimbursement and the Developer shall pay the Authority such invoiced amount within Page 3 of 7 SkyVue on Michigan Redevelopment Project Brownfield Redevelopment Plan t160 sixty (60) days of the Developer's receipt of the invoice from the Authority. Nothing in this agreement shall limit the right of the Developer to appeal any tax assessment. 8. Obliaation to Fund Eligible Activities. The Developer shall pay for the Eligible Costs with their own funds and receive reimbursement from the Authority by available Tax Increment Revenues (TIR) as described in the Brownfield Plan. It is anticipated that there will be sufficient available Tax Increment Revenues to pay for all Eligible Costs and accrued interest under this Agreement. However, if for any reason increased Tax Increment Revenues from the Development do not result in sufficient revenues to satisfy such obligations, the Developer agrees and understands that it will have no claim or further recourse of any kind or nature against the City or the Authority and the Developer shall assume full responsibility for any such loss or costs. 9. Indemnification. The Developer shall defend, indemnify, and hold the City and the Authority, and their agents, representatives, and employees (hereinafter "Indemnified Persons") harmless from any loss, expense (including reasonable legal counsel fees) or liability of any nature due to any and all suits, actions, legal or administrative proceedings, or claims arising or resulting from injuries to persons or property as a result of the ownership, operation, use or maintenance of the Improvements. 10. Miscellaneous. (a) This is the entire agreement between the parties as to its subject matter. All previous negotiations, statements and preliminary instruments of the parties or their representatives are merged in this Agreement. The Agreement shall not be amended or modified except in writing signed by all the parties. It shall not be affected by any course of dealing and the waiver of any breach shall not constitute a waiver of any subsequent breach of the same or any other provision. (b) This Agreement and the rights and obligations under this Agreement except as previously noted, are un-assignable and non -transferable without the consent of the other parties. It shall, however, be binding upon any successors or permitted assigns of the parties. The Authority's written approval will not be unreasonably withheld. (c) This Agreement shall terminate when all reimbursements required under this Agreement have been made or the Brownfield Plan obligation to the- Developer expires, whichever occurs first. (d) All parties had input into the drafting of this Agreement and all had the advice of legal counsel before entering into this Agreement. In the event any ambiguity of any language in this Agreement arises, such ambiguity shall not be construed against any party. (e) Notices shall be complete when delivered by personal delivery, by courier or delivery service (such as UPS, FedEx or other service) or by certified mail, return receipt requested to the addresses first written above. If any party refuses to accept delivery when presented, delivery shall be deemed to have occurred at the time of such refusal. Any such notice and communication shall be addressed as follows: If to Authority: Lansing Brownfield Redevelopment Authority 1000 South Washington Avenue, Suite 201 Lansing, MI 48910 Attn: Karl Dorshimer If to Developer: Lansing Properties I, LLC 348 Enterprise Drive Valdosta, GA 31601 Attn: Richard Gregory Hunter Page 4 of 7 SkyVue on Michigan Redevelopment Project Brownfield Redevelopment Plan #60 (f) This Agreement shall be governed by the laws of the state of Michigan. (g) This Agreement may be. signed in multiple identical copies, each of which shall be deemed to be an original copy,, and each facsimile or electronic copy shall constitute,a, legally binding, enforceable document. By signing below, all. parties represent and warrant their authority to enter into this agreement on behalf -of their respective organizations. The, parties have signed this Agreement as of the date first written above: LA.NSINGPROPERTIES I, LLC, a Delaware limited liability company By; LANSI NG PARTNERS, LLC, a Delaware limited liability company, its Manager Manager LANS]N6 BROWNEIELD REDEVELOPAUNT AUTHORITY By: I�11/fi Karl R. Dorshimer, LBRA Representative Page 5 of 7 SkyVue on Michigan Redevelopment Project Brownfield Redevelopment Plan #60 EXHIBIT A BROWNFIELD PLAN See Attached Page 6 of 7 Lansing Brownfield Redevelopment Authority SkyVue on Michigan Redevelopment Project Brownfield Redevelopment Plan #60 3165 East Michigan Avenue Lansing, Michigan 48912 Lansing Brownfield Redevelopment Authority Lansing, Michigan July 15, 2015 Approved by the LBRA on July 17, 2015 Adopted by the Lansing City Council on , 2015 Prepared by: Lansing Brownfield Redevelopment Authority 1000 S. Washington Ave., Ste. 201 Lansing, Michigan 48912 Contact Person: Karl Dorshimer karl(a�purelansin .com Phone: 517-702-3387 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 Table of Contents Section Page 1. Project Summary Sheet........................................................................................................2 2. Past Use of the Subject Property - Site History ...................................................................4 3. Brownfield Project Description...........................................................................................4 4. Developer and LBRA Eligible Activities............................................................................5 5. Captured Taxable Value and Tax Increment Revenues .......................................................6 6. Method of Brownfield Plan Financing................................................................................8 7. Amount of Note or Bonded Indebtedness Incurred.............................................................8 8. Duration of the Brownfield Plan..........................................................................................8 9. Estimated Impact on Taxing Units......................................................................................9 10. Legal Description & Site Map...........................................................................................10 11. Personal Property ...............................................................................................................10 12. Displacement of Persons....................................................................................................10 13. LBRA Revolving Fund......................................................................................................10 14. Other Information..............................................................................................................10 Attachment A: Legal Description Attachment B: Figures Figure 1. Topographic Location Map Figure 2. Property Boundary Map Figure 3. Development Renderings and Site Plans Attachment C: Tables Table 1. Eligible Activities Table Table 2. Tax Increment Revenue Estimates Table 3. Reimbursement Allocation Schedule 1 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 1. Project Summary Sheet The purpose of this Brownfield Plan is to identify eligible activities and cost estimates for redevelopment of the property located at 3165 E. Michigan Avenue in Lansing, Michigan. Brownfield tax increment financing is necessary to support redevelopment of the property.. Project Name: SkyVue on Michigan Redevelopment Project Developer: Rise Properties, LLC Property Location: 3165 E. Michigan Avenue, Lansing, Michigan ("subject property") Parcel Information: The subiect nronerty consists of a single parcel: Street Address Parcel ID Number 3165 E. Michigan Avenue 33-01-01-14-226-031 Type of Eligible Property: "Facility" Project Description: The project will generally consist of the demolition of two buildings totaling 43,972ft2, an asbestos survey and abatement, site preparation activities to ready the site for redevelopment, and the design and construction of new infrastructure improvements. The project will also include activities to investigate and remediate the presence of environmental contamination at the property. The subject property will be redeveloped with an approximately 9- story, 667,062ft2 mixed -use commercial and residential complex with first floor retail space and associated multi -level parking structure. Total Capital Investment: Approximately $80 million, including approximately $17,208,445 of eligible developer Brownfield activities. 2 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 Eligible Activities & Impact to Taxing Units: The Plan includes eligible activities (baseline environmental assessment activities, due care activities, additional response activities, asbestos survey and abatement, demolition, brownfield and work plan preparation, site preparation, and infrastructure improvements), contingency, interest, State Revolving Fund deposits, LBRA administrative fees and LBRA LSRRF deposits. Incremental tax revenue generated by both real and personal property will be captured in order to reimburse eligible activities. Uses Pro'ected Sources Eligible Activities Developer Funds $25,939,205 (including contingency $25,939,205 Reimbursed with TIR & interest State Revolving Fund $1,349,578 Deposits (mandatory in $1,349,578 TIR accordance with statute $1,000,905 LBRA Administrative $1,000,905 TIR Fees $1,000,905 LBRA LSRRF $1,000,905 TIR Contributions $29,290,594 Total TIR Captured $29,290,594 Total New Tax Revenue $3,423,859 Distributed to Taxing $3,423,859 New Taxes Units Estimated Job Creation/Retention: It is estimated that there will be at least 9 permanent, FTE jobs created. Duration of Plan: Maximum of 25 years of capture 3 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 2. Past Use of the Subject Property - Site History In 1960 the subject property was developed with two commercial buildings for automobile sales and servicing. The subject property operated as such until 2008. Prior to 1960 the subject _ property was undeveloped. Since operations ceased in 2008, the subject property has remained vacant. In October 2014 a Phase I Environmental Site Assessment (ESA) was completed on the subject property. According to the Phase I ESA, recognized environmental conditions (RECs) were identified, including: the historical use of the subject property as an automobile dealership and service center; identification of the subject property on various regulatory databases (i.e., the Resource Conservation and Recovery Act [RCRA], underground storage tank [UST], and leaking underground storage tank [LUST]); and the presence of urban fill material on the subject property. In February 2015, AKT Peerless conducted a Phase II Environmental Site Assessment (ESA) to evaluate the RECs previously identified at the subject property. The subsurface investigation consisted of: (1) the advancement of 19 soil borings, (2) the installation of five temporary groundwater monitoring wells, and (3) the collection of 10 soil samples and five groundwater samples. According to laboratory analytical results of the samples collected, metals (i.e., arsenic, chromium, mercury, and selenium) and volatiles (i.e., tetrachloroethylene) were detected in soil at concentrations exceeding Michigan Department of Environmental Quality (MDEQ) Residential Cleanup Criteria (RCC) including drinking water protection (DWP) criteria, groundwater to surface water interface protection (GSIP) criteria, and direct contact (DC) criteria. In addition, metals (i.e., lead and selenium) and chloride were detected in groundwater at concentrations exceeding MDEQ RCC including drinking water (DV) criteria and groundwater to surface water interface (GSI) criteria. Based on these laboratory analytical results, the subject property meets the definition of a "facility" as defined by Section 20101 of the Natural Resources and Environmental Protection Act (NREPA) Act 451, Part 201, as amended. 3. Brownfield Project Description The subject property which is the subject of this Plan is located northwest of the corner of East Michigan Avenue and East Morgan Lane in Lansing, Ingham County, Michigan. The subject property comprises a single 3.7-acre parcel. The subject property is currently developed with two commercial buildings. Attachment A contains a legal description for the parcel. SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 The project will include the demolition of the two existing buildings: the 11,180ft2 showroom and office building and the 32,792ft2 servicing and maintenance building. Due to the age of these buildings, asbestos survey and abatement activities will be required prior to demolition. The -- - developer proposes -then to construct . an approximately 9-story 667,062ft2 . commercial and residential complex with first floor retail space and a 605-space parking deck. Other improvements to the site include installation of storm sewers, urban stormwater management system, sanitary sewer and water mains and other improvements in the East Michigan Avenue right-of-way. The project is expected to create at least 9 new full-time equivalent (FTE) jobs and over 300 temporary construction jobs. 4. Developer and LBRA Eligible Activities The "eligible activities" that are intended to be carried out at the subject property are considered "eligible activities" as defined by Section 2 of Act 381, because they include Baseline Environmental Assessment (BEA) Activities, due dare activities, additional response activities, preparation of Brownfield and Act 381 Work Plans, asbestos survey and abatement, demolition, site preparation and infrastructure improvements (see Table 1 below). Table 1. Eligible Activities (EAs) Total Estimated Cost Local -Only Tax Capture Local & State School (MDEQ) Tax Capture Local & State School (MSF)Tax Capture 1. BEA Activities $ 30,000 $ - $ 30,000 $ - 2. Due Care Activities $ 221,100 $ - $ 221,100 $ - 3. Additional Response Activities $ 150,000 $ - $ 150,000 $ - Total Environmental Activities Cost $ 401,100 $ - $ 401,100 $ - 4. Demolition $ 250,000 $ - $ - $ 250,000 5. Lead and Asbestos Activities $ 100,000 $ - $ - $ 100,000 6. Site Preparation $ 4,099,512 $ - $ - $ 4,099,512 7. Infrastructure Improvements $ 10,069,775 $ - $ - $ 10,069,775 Total Non -Environmental Activities Cost $ 14,519,287 $ - $ - $ 14,519,287 Total Environmental and Non -Environmental Eligible Activities $ 14,920,387 $ - $ 401,100 $ 14,519,287 8. Contingency15%on Eligible Activities $ 2,238,058 $ - $ 60,165 $ 2,177,893 9. Brownfield Plan &Act 381 Work Plan Pre aration $ 50,000 $ 20,000 $ 15,000 $ 15,000 Total Eligible Activities Cost with 15% Contingency $ 17,208,445 $ 20,000 $ 476,265 $ 16,712,180 10. 1 Interest 5%, simple) $ 8,730,760 $ 1,000 $ 241,888 $ 8,487,872 Total Anticipated TIR Available for Reimbursement $ 25,939,205 $ 21,000 $ 718,153 $ 25,200,052 11. 1 Reimbursement of LBRA Admin. $ 1,000,905 1 $ 1,000,905 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 Table 1. Eligible Activities (EAs) Total Estimated Cost LoeaWnly Tax Capture Local & State School (MDEQ) Tax Capture Local & State School (MSF)Tax Capture 12 Deposits to Mandatory State Revolving Fund 3 mills of SET $ 1,349,578 $ 37,395 $ 1,312,183 13. Deposits to LBRA LSRRF $ 1,000,905 $ 1,000,905 Total Desired Capture $ 29,290,594 $ 2,022,811 $ 755,548 $ 26,512,235 Total Anticipated Capture $ 29,290,594 $ 2,022,811 $ 755,548 $ 26,512,235 Total Local Taxes to Developer EAs Total State School Taxes to Developer EAs Total Tax Capture to Developer EAs $ 11,186,093 $ 6,022,352 $ 17,208,445 Total Local Taxes to Developer Interest Total State School Taxes to Developer Interest Total Tax Capture to Developer Interest $ 5,672,096 $ 3,058,665 $ 8,730,760 Total Local Taxes to Admin. Total Local Taxes to LBRA LSRRF $ 1,000,905 $ 1,000,905 Total School Taxes to State Revolving Fund $ 1,349,578 Total TIR Captured $ 29,290,594 New Tax Revenue Distributed to Taxing Units $ 3,423,859 5. Captured Taxable Value and Tax Increment Revenues -The duration of the Plan has been capped at the shorter of 25 years or the number of years required to reimburse the incurred costs of performing eligible activities. The LBRA is authorized to capture the tax increment revenues (TIR) generated by the increase in taxable value in both real and personal property. The initial taxable value of the subject property is $631,224. It is estimated that the LBRA will capture tax increment revenues from 2016 to 2040. See Table 3. Reimbursement Allocation Schedule, which is included in Attachment C. Tablet. TIR Estimates Tax Year Incremental Taxable Value Projected TIR 2016 $ 9,190,776 $ 566,600 2017 $ 19,012,776 $ 1,172,114 6 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 Table 2.'TIR Estimates 2018 $ 19,209,216 $ 1,184,224 2019 $ 19,407,620 $ 1,196,455 2020 $ 19,608,009 $ 1,208,809 2021 $ 19,810,401 $ 1,221,286 2022 $ 20,014,817 $ 1,233,888 2023 $ 20,221,278 $ 1,246,616 2024 $ 20,429,803 $ 1,259,472 2025 $ 20,640,413 $ 1,272,455 2026 $ 20,853,129 $ 1,285,569 2027 $ 21,067,973 $ 1,298,814 2028 $ 21,284,965 $ 1,312,191 2029 $ 21,504,127 $ 1,325,702 2030 $ 21,725,480 $ 1,339,348 2031 $ 21,949,047 $ 1,353,131 2032 $ 22,174,850 $ 1,367,052 2033 $ 22,402,911 $ 1,381,111 2034 $ 22,633,252 $ 1,395,311 2035 $ 22,865,897 $ 1,409,654 2036 $ 23,100,868 $ 1,424,139 2037 $ 23,338,189 $ 1,438,770 2038 $ 23,577,883 $ 1,453,547 2039 $ 23,819,974 $ 1,468,471 2040 $ 24,064,486 $ 1,497,984 The captured incremental taxable value and associated tax increment revenue will be determined by the City Assessor. The actual increased taxable value of the land and all future taxable improvements on the subject property may vary. Furthermore, the amount of tax increment revenue available under this Plan will be based on the actual millage levied annually by each taxing jurisdiction/unit ("unit"). It should be noted that this Brownfield Plan allows for the capture of 90% of the new tax increment revenue created by the project but none of the existing taxes currently being paid by the property. Thus 100% of the current property taxes paid on the site and 10% of the new tax revenue from the improvements will be distributed proportionately to all local and state taxing units. 7 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 6. Method of Brownfield Plan Financing Eligible activities are to be financed by the Developer and/or the LBRA. The Developer and the Authority will be reimbursed for the costs of eligible activities as listed in Table 1. The current estimated impact to taxing units for full reimbursement of eligible activities (including contingency, State Revolving Fund, LBRA Administrative Fees, and LBRA LSRRF deposits) is $29,290,594. The LBRA will provide financing for its administration and operating costs by utilizing 5% of the local taxes captured per year for the duration of the Plan. This expense is noted in Table 1 above. No portion of captured school taxes will be used for LBRA administration costs. The LBRA will also deposit 5% of the local taxes captured per year for the duration of the Plan for deposit into its Local Site Remediation Revolving Fund (LSRRF). 7. Amount of Note or Bonded Indebtedness Incurred No note or bonded indebtedness will be incurred for this project. 8. Duration of the Brownfield Plan Unless amended by the Lansing City Council, the Plan is anticipated to remain in effect until all approved activities in this plan are covered, or until the end of the year 2040 (25 years of tax capture), whichever occurs first. SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 9. Estimated Impact on Taxing Units The following table presents an estimation of the tax increment revenues generated on the subject property during the life of the Plan. Revenues are shown by taxing unit. -. Table,3. Im act to Taxing Units State Millage Developer Revolving Rate Reimbursement BRA Admin. Fund LSRRF Taxing Units School Capture State Education Tax (SET) 6.0000 $ 2,270,254 $ 1,349,578 $ 299,906 School Operating Tax 18.0000 $ 6,810,762 $ 899,719 Local Capture Lansing Oper 19.4400 $ 7,364,798 $ 437,263 $ 437,263 $ 971,696 Lansing Com Coll 3.8072 $ 1,442,349 $ 85,635 $ 85,635 $ 190,300 Ingham Voc Ed 1.2925 $ 489,661 $ 29,072 $ 29,072 $ 64,605 Ingham Intermed 4.6956 $ 1,778,917 $ 105,618 $ 105,618 $ 234,707 Ingham Cnty Sum 6.3842 $ 2,418,639 $ 143,600 $ 143,600 $ 319,110 Ingham Cnty 3.2031 $ 1,213,487 $ 72,047 $ 72,047 $' 160,105 Airport Auth 0.6990 $ 264,814 $ 15,723 $ 15,723 $ 34,939 CATA 3.0070 $ 1,139,195 $ 67,636 $ 67,636 $ 150,303 CADL-Library 1.5600 $ 591,002 $ 35,089 $ 35,089 $ 77,976 Zoo Millage 0.4100 $ 155,328 $ 9,222 $ 9,222 $ 20,494 TOTALS $ 25,939,205 $1,000,905 $1,349,578 $1,000,905 $ 3,423,859 In addition, taxes levied by the following millages will not be captured under the Brownfield Plan, but instead will flow throu h to the proper tax units. Total Debt Millaaes 0.2600 Lansing Debt Lansing Sch Debt 5.4560 Lansing Sch Sink 1.2860 GRAND TOTAL CAPTURE $29,290,594 GRAND TOTAL INCREMENTAL REVENUE $32,714,453 9 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 10. Legal Description & Site Map The legal description of the Eligible Property is provided as Attachment A. Maps and figures are provided in Attachment B. 11. Personal Property Incremental tax revenues resulting from new personal property will be captured if available. Any such funds will be used to reimburse the LBRA and Developer for eligible activities. 12. Displacement of Persons There are no persons or businesses residing on the Eligible Property and no occupied residences will be acquired or cleared; therefore there will be no displacement or relocation of persons or businesses under this Brownfield Plan. 13. LBRA Revolving Fund The LBRA will deposit 5% of the local taxes captured per year for the duration of the Plan into the LBRA's Revolving Fund as permitted by Act 381 of 1996, as amended ("the Act"). 14. Other Information The LBRA and the Lansing City Council, in accordance with the Act, may amend this Plan in the future in order to fund additional eligible activities associated with the Project described herein. 10 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 Attachment A: Legal Description of the Property 7/2/2015 Parcel Number - 33-01-01-14-226-031 1 City of Lansing I AccessMyGov.com 3165 E MICHIGAN AVE LANSING, MI 48912 (Property Address) Parcel Number: 33-01-01-14-226-031 Property Owner: KAY INVESTMENT CO Summary Information > Commercial/Industrial Building Summary > Assessed Value: $664,100 1 Taxable Value: $631,224 .4 of Buildings > 1 Building Department records found across 1 property > Property Tax Information found Len, 1 of 8 6 Images / 2 Sketches Owner and Taxpayer Information Owner KAY INVESTMENT CO Taxpayer 1919 S CREYTS RD LANSING, MI48917-9534 General Information for Tax Year 2015 Property Class COMMERCIAL Unit School District EAST LANSING Assessed Value MAP # LG-0014 -0052 Taxable Value TOP TEN Not Available State Equalized Value NEW PERMITS Not Available Date of Last Name Change USER ALPHA 3 Not Available Notes Historical District Not Available Census Block Group TYPE CODE Not Available Principal Residence Exemption Information Homestead Date 12/30/1997 Principal Residence Exemption 2016 2015 SEE OWNER INFORMATION 33 CITY OF LANSING - INGHAM $664,100 $631,224 Not Available 02/14/2012 Not Available Not Available June 1st Final 0.0000 % - 0.0000 % 0.0000 % https://accessmygov.com/SiteSearctVSiteSearchDetaiIs?SearchFocus=&SearchCategory=Address&SearchText=3165+E+M ichigan&uid=384&Pageindex=1 &ReferenceKey=33-01-01-14-226-031 &ReferenceType... 1/3 7/2/2015 Parcel Number - 33-01-01-14-226-031 1 City of Lansing I AccessMyGov.com Previous Year Information Year MBOR Assessed Final SEV Final Taxable 2014 $630,300 $630,300 $621,284 2013 $ 611, 500 $611, 500 $611, 500 Land Information Zoning Code Not Available Land Value $654,600 Renaissance Zone No ECF Neighborhood 0210-FRANDOR-OFFICES Lot Dimensions/Comments 349ASAV X 419.8 No lots found. Total Acres 3.368 Land Improvements $31,006 Renaissance Zone Expiration Not Available Date Mortgage Code Not Available Neighborhood Enterprise No Zone Frontage Total Frontage: 0.00 ft Depth Average Depth: 0.00 ft Legal Description COM ON N LINE E MICHIGAN AVE AT PT S 89DEG 55MIN E 563 FT FROM CL CLIPPERT ST N ODEG 17MIN E 419.8 FT S 89DEG 55MIN E 349.1 FT, S 419.8 FT, N 89DEG 55MIN W 349.8 FT TO BEG; SEC 14 T4N R2W Sale History Sale Date Sale Price Instrument Grantor Grantee Terms of Sale Liber/Page No sales history found. Building Information - 11180.00 sq ft Automobile Showroom (Commercial) Floor Area 11,180 sq ft Estimated TCV Not Available Occupancy Automobile Showroom Class C Stories Above Ground 2 Average Story Height 12 ft Basement Wall Height Not Available Year Built 1960 Year Remodeled 1968 https://accessmygov.com/SiteSearctVSiteSearchDetails?SearchFocus=&SearchCategory=Address&SearchText=3165+E+M ichigan&uid=384&Pagelridex=1&ReferenceKey=33-01-01-14-226-031 &ReferenceType... 2/3 Voli'M &I Parcel Number - 33-01-01-14-226-031 1 City of Lansing I AccessMyGov.com Percent Complete 0% Heat Package Heating & Cooling Physical Percent Good 43% Functional Percent Good 75% Economic Percent Good 100% Effective Age 33 yrs Building Information - 32792.00 sq ft Garage, Service/Repair (Commercial) Floor Area Occupancy Stories Above Ground Basement Wall Height Year Built Percent Complete Physical Percent Good Economic Percent Good 32,792 sq ft Garage, Service/Repair 1 Not Available 1960 0% 35% 100% Estimated TCV Class Average Story Height Year Remodeled Heat Functional Percent Good Effective Age Not Available C 14 ft 1963 Space Heaters, Gas with Fan 100% 34 yrs **Disclaimer: BS&A Software provides AccessMyGov.com as a way for municipalities to display information online and is not responsible for the content or accuracy of the data herein. This data is provided for reference only and WITHOUT WARRANTY of any kind, expressed or inferred. Please contact your local municipality if you believe there are errors in the data. Copyright © 2015 BS&A Software Inc. https://accessmygov.com/SiteSearctVSiteSearchDetails?SearchFocus=&SearchCategory=Address&SearchText=3165+E+M ichigan&uid=384&Pagelndex=1&ReferenceKey=33-01-01-14-226-031 &ReferenceType... 36 SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 Attachment B: Figures LANSING SOUTH QUADRANGLE MICHIGAN - SAGINAW COUNTY 7.5 MINUTE SERIES (TOPOGRAPHIC) T.4 N.-R.2 W. 0 1 MILE 1000 0 1000 2000 3000 4000 5000 6000 7000 FEET 1 0 1 KILOMETER MICHIGAN QUADRANGLE LOCATION *jk IMAGE TAKEN FROM 1965 U.S.G.S. TOPOGRAPHIC MAP PHOTOREVISED 1973 w E AD s TOPOGRAPHIC LOCATION MAP DRAWN BY: DDB AKT PEERLESS 3165 EAST MICHIGAN AVENUE DATE: 07/6/2015 PROJECT NUMBER : 879262-1-25 LANSING, MICHIGAN ILLINOIS MICHIGAN OHIO GEORGIA FIGURE 1 www.aktpeedess.com I I I 1 wE I I S 1 1 I ASPHALT PARKING AREA 1 I I 1 1 FORMER SUBJECT BUILDING 1 USTAREA Lu 1 i I Z 1 Q J 1 z 423.27 I (D 22 I O I � I 1 1 ASPHALT PARKING AREA I 1 i 1 SUBJECT BUILDING 2 1 s 1 I LEGEND EAST MICHIGAN AVENUE - - =PROPERTY LINE PROPERTY BOUNDARY MAP DRAWN BY: DDB �AKT PEERLESS DATE 07,6,2015 3165 EAST MICHIGAN AVENUE LANSING, MICHIGAN 0 30 60 ILLINOIS MICHIGAN OHIO GEORGIA PROJECT NUMBER : 8792B2-1-25 SCALE: 1" = 60' www.aktpeeriess.com FIGURE 2 Level 1 LEVEL 1 AMENITY RESIDENTIAL RETAIL CORE COURTYARD SERVICE AUDG I APRIL 06, 2015 NILES BOLTON ASSOCIATES LEVELS 2-9 LEVEL 2-8 AUDG I APRIL 06, 2015 LEVEL 9 - PARKING STOPS AT LEVEL 8 AMENITY RESIDENTIAL RETAIL CORE COURTYARD SERVICE NILES BOLTON ASSOCIATES ;- I� 0io pill u !• II �. ••u 61 nra��;�� • 1 �I II � i�°l If I! 11 ;11 11 .. � _ � � � � � � � � I P P u�i��l �I �i 1lI oil � �� _ �' ( U u •I. I jl!I : I I I 2 LL '�e��*f��r ::. ��, ' • •n ■■ ■b��,W f' ��■ all ;.��, r.� .�;.�� - h�11 �� "- ... ,� _ _ �rj ilk �!I 1� 1�•, I il'll _ ........... sib, eT !w I r C _1 *% V4 %lop SKYVUE LANSING - LANSING, MI AM tNfI"Y UEc%�rN DIRECTION OCTOBER 14, 2015 A RESIDENTIAL COMMUNITY DEVELOPED BY RISE: A Real Estate Company ON MICHIIAJA WILES BOLTON ASSOCIATES M&M Skyvue Lansing Building Side Entry NILES BOLTON ASSOCIATES Skyvue Lansing Leasing Entry NILES BOLTON ASSOCIATES Skyvue Lansing Leasing Office NILES BOLTON ASSOCIATES Skyvue Lansing Leasing Office NILES BOLTON ASSOCIATES Skyvue Lansing Entry Lobby NILES BOLTON ASSOCIATES Skyvue Lansing Entry Lobby NILES BOLTON ASSOCIATES 4p-M`►- I ■ ■ Skyvue Lansing Study Lounge NILES BOLTON ASSOCIATES Skyvue Lansing Fitness NILES BOLTON ASSOCIATES Skyvue Lansing Community Room NILES BOLTON ASSOCIATES fI<I<<(,�( \� ( " Skyvue Lansing Community Room NILES BOLTON ASSOCIATES Skyvue Lansing Level 9 Clubroom NILES BOLTON ASSOCIATES Skyvue Lansing Level 9 Clubroom NILES BOLTON ASSOCIATES I I W-.. a a P 7 pow- �-.Wga mw SkyVue on Michigan Redevelopment Project Brownfield Plan #60 Revised July 15, 2015 Attachment C: Tables Table 1. Eligible Activities SkyVue on Michigan Redevelopment Project 3165 E Michigan Ave Lansing, MI AKTP Project No. 8792132 As of July 15, 2015 ELIGIBLE ACTIVITIES COST SUMMARY Estimated Cost of Eligible Activity BEA Activities $ 30,000 Due Care Activities $ 221,100 Additional Response Activities $ 150,000 TOTAL ENVIRONMENTAL ELIGIBLE ACTIVITIES Demolition $ 401,100 $ 250,000 Lead and Asbestos Activities $ 100,000 Site Preparation Activities $ 4,099,512 Eligible Infrastructure Improvement Activities TOTAL NON -ENVIRONMENTAL ELIGIBLE ACTIVITIES Total Environmental and Non -Environmental Eligible Activities 15% Contingency on Eligible Activities $ 10,069,775 $ 14,519,287 $ 14,920,W $ 2,238,058 Brownfield Plan & Act 381 WP Preparation Activities $ 50,000 $ 17,208,445 $ 8,730,760 Total Eligible Activities Cost with 15% Contingency Interest (calculated at 5%, simple) Total Eligible Activities Cost, with Contingency & Interest BRA Administration Fee $ 25,939,205 $ 1,000,905 State Revolving Fund $ 1,349,578 Local Site Remediation Revolving Fund (LSRRF) $ 1,000,905 Total Eligible Costs for Reimbursement' $ 29,290,594 New Tax Revenue Distributed to Taxing Units 1 1 $ 3,423,859 JAKTPEERLESS 1 of 1 Table 2. Tax Increment Revenue Estimates SkyVue on Michigan Redevelopment Project 3165 E Michigan Ave Lansing, MI AKTP No. 8792132 Estimated TV Increase rate: 1.01 As of July 15, 2015 Plan Year i D r, 8 � 10 Calendar Year 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Initial Taxable Value $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 Estimated New TV $ 9,822,000 $ 19,644,000 $ 19,840,440 $ 20,038,844 $ 20,239,233 $ 20,441,625 $ 20,646,041 $ 20,852,502 $ 21,061,027 $ 21,271,637 $ 21,484,353 $ 21,699,197 $ 21,9169189 Incremental Difference (New TV - Initial TV) $ 9,190,776 $ 19,012,776 $ 19,209,216 $ 19,407,620 $ 19,608,009 $ 19,810,401 $ 20,0149817 $ 20,221,278 $ 20,4299803 $ 20,640,413 $ 20,8539129 $ 219067,973 $ 21,284,965 Initial S 3,787 S 3,787 S 3,787 S 3,787 $ 3,787 S 3,787 S 3,787 S 3.787 S 3,787 $ 3,787 $ 3,787 S 3,787 $ 3,787 State Education Tax (SET) 6.0000 New S 5,514 S 11.408 S 11,526 S 11,645 S 11.765 S 11,886 S 12,009 S 12,133 S 12,258 S 12,384 S 12,512 $ 12,641 S 12,771 Incremental $ 49,630 $ 102,669 $ 103,730 $ 1049801 $ 105,883 $ 106,976 $ 108,080 $ 109,195 $ 110,321 $ 111,458 $ 112,607 $ 113,767 $ 114,939 Initial S 11,362 S 11,362 S 11,362 $ 11,362 S 11,362 S 11,362 S 11,362 S 11,362 S 11,362 S 11,362 $ 11362 $ 11,362 $ 11,362 School Operating Tax 18.0000 New $ 16,543 $ 34,223 S 34,577 S 34,934 S 35,294 $ 35,659 S 36,027 S 36,398 S 36,774 $ 37,153 $ 37,536 S 37,922 $ 38,313 Incremental $ 148,891 $ 308,007 $ 311,189 $ 314,403 $ 317,650 $ 320,928 $ 324,240 $ 327,585 $ 330,963 $ 334,375 $ 337,821 $ 341,301 $ 344,816 School Total 24.0000 Initial $ 12,271 $ 12,271 $ 12,271 $ 12,271 $ 12,271 $ 12,271 S 12,271 $ 12,271 S 12,271 $ 12,271 $ 12,271 $ 12,271 S 12,271 Lansing Oper 19.4400 New S 17,867 $ 36,961 $ 37,343 S 37,728 $ 38,118 $ 38.511 S 38,909 $ 39,310 $ 39,716 $ 40,125 S 40,538 $ 40,956 $ 41,378 Incremental $ 160,802 $ 332,648 $ 336,084 $ 339,556 $ 343,062 $ 346,603 $ 350,179 $ 353,791 $ 357,440 $ 361,125 $ 364,946 $ 368,605 $ 372,402 Initial $ 2,403 S 2,403 S 2,403 $ 2,403 S 2,403 S 2,403 $ 2,403 S 2,403 $ 2,403 S 2,403 S 2,403 $ 2,403 $ 2,403 Lansing Corn Coll 3.8072 New S 3,499 $ 7,239 S 7,313 S 7,389 S 7,465 S 7,542 S 7,620 S 7,699 S 7,778 S 7,858 S 7.939 S 8,021 S 8,104 _ Incremental $ 31,492 $ 65,147 $ 65,820 $ 66,500 $ 679186 $ 67,880 $ 68,580 $ 69,288 $ 70,002 $ 709724 $ 719453 $ 72,189 $ 729933 Initial $ 816 $ 816 S 816 S 816 S 816 S 816 S 816 S 816 $ _ 816 S 816 S 816 S 816 S 816 Ingham Voc Ed 1.2925 New $ 1,188 S 21457 $ 2,483 S 2,508 S 2,534 $ 2,560 S 2,587 S 2,614 S 2,641 S 2,668 S 2,695 S 2,723 S 2,751 Incremental $ 10,691 $ 22,117 $ 22,345 $ 22,576 $ 22,809 $ 23,044 $ 23,282 $ 23,522 $ 23,765 $ 24,010 $ 24,257 $ 24,507 $ 24,760 Initial $ 2,964 S 2,964 S 2,964 S 2,964 S 2,964 $ 2,964 S 2,964 S 2,964 S 2,964 S 2,964 S 2,964 S 2,964 S 2,964 Ingham Intermed 4.6956 New $ 4,316 $ 8,928 $ 9,020 $ 9,113 $ 9,207 $ 9,302 S 9,398 S 9,495 $ 9,593 S 9,692 $ 9,792 S 9,893 S 9,995 Incremental $ 38,841 $ 80,349 $ 81,179 $ 82,017 $ 82,864 $ 83,720 $ 84,583 $ 85,456 $ 86,337 $ 87,227 $ 88,126 $ 89,034 $ 899951 Initial S 4,030 $ 4,030 $ 4,030 $ 4,030 S 4,030 S 4,030 $ 4,030 $ 4,030 S 4,030 $ 4,030 $ 4,030 $ 4,030 S 4,030 Ingham County Sum 6.3842 New $ 5,868 S 12,138 S 12,264 $ 12,390 $ 12,518 S 12,647 $ 12.778 $ 12,910 S 13,043 S 13,1 77 S 13,313 $ 13,450 S 13,589 Incremental $ 529808 $ 109,243 $ 110,372 $ 111,512 $ 112,663 $ 113,826 $ 115,001 $ 116,187 $ 117,385 $ 118,595 $ 1199817 $ 121,052 $ 122,299 Initial $ 2.022 S 2,022 $ 2,022 S 2,022 S 2,022 S 2,022 S 2,022 S 2,022 S 2,022 S 2,022 $ 2,022 $ 2,022 S 2,022 Ingham County 3.2031 New S 2,944 S 6,090 S 6,153 S 6,216 S 6,281 S 6,345 S 6,411 $ 6,477 S 6,544 S 6,611 $ 6,679 S 6,748 S 6,818 Incremental $ 26,495 $ 54,810 $ 55,376 $ 55,948 $ 56,526 $ 57,109 $ 57,699 $ 58,294 $ 58,895 $ 59,502 $ 60,115 $ 60,735 $ 61,360 Initial $ 441 $ 441 S 441 S 441 S 441 S 441 S 441 $ 441 S 441 S 441 S 441 $ 441 S 441 AirportAuth. 0.6990 New $ 642 $ 1,329 S 1,343 $ 1 ,3 577 S 1,371 S 1,385 S 1,399 $ 1,413 S 1,428 $ 1,443 S 1,458 S 1,473 $ 1,488 Incremental $ 5,782 $ 11,961 $ 12,085 $ 12,209 $ 12,335 $ 12,463 $ 12,591 $ 12,721 $ 12,852 $ 12,985 $ 13,119 $ 13,254 $ 13,390 Initial $ 1,898 $ 1,898 S 1,898 S 1,898 $ 1,898 S 1,898 $ 1,898 S 1,898 $ 1,898 $ 1,898 S 1,898 $ 1,898 S 1,898 CATA 3.0070 New S 2,764 S 5,717 S 5,776 $ 5.836 S 5,896 $ 5,957 $ 6.018 S 6,081 S 6,143 S 6,207 $ 6,271 S 6.335 S 6,400 Incremental $ 24,873 $ 51,454 $ 51,986 $ 52,523 $ 53,065 $ 53,613 $ 54,166 $ 54,725 $ 55,289 $ 55,859 $ 56,435 $ 57,016 $ 57,604 Initial S 985 S 985 $ 985 S 985 S 985 S 985 S 985 S 985 S 985 $ 985 $ 985 S 985 S 985 CADL-Library 1.5600 New $ 1,434 S 2,966 S 2,997 S 3,028 S 3,059 S 3,090 S 3,122 S 3,155 S 3,187 S 3,220 S 3,253 S 3,287 $ 3,320 Incremental $ 12,904 $ 26,694 $ 26,970 $ 27,248 $ 27,530 $ 27,814 $ 28,101 $ 28,391 $ 28,683 $ 28,979 $ 29,278 $ 29,579 $ 29,884 Initial $ 259 S 259 S 259 S 259 S 259 S 259 S 259 S 259 $ 259 S 259 S 259 $ 259 S 259 Zoo Millage 0.4100 New S 377 $ 780 S 788 S 796 S 804 S 812 S 821 S 829 $ 838 S 846 S 855 $ 864 S 873 Incremental $ 3,391 $ 7,016 $ 7,088 $ 7,161 $ 7,235 $ 7,310 $ 7,385 $ 7,462 $ 7,539 $ 7,616 $ 7,695 $ 7,774 $ 7,854 Local Total 44.4986 Lansing Debt 0.2600 New TV $ 2,554 $ 5,107 $ 5,159 $ 5,210 $ 5,262 $ 5,315 $ 5,368 $ 5,422 $ 5,476 $ 5,531 $ 5,586 $ 5,642 $ 5,698 EL Sch Debt 5.4560 New TV $ 53,589 $ 107,178 $ 108,249 $ 109,332 $ 110,425 $ 111,530 $ 112,645 $ 113,771 $ 114,909 $ 116,058 $ 117,219 $ 118,391 $ 119,575 EL Sch Sink 1.2860 New TV $ 12,631 $ 25,262 $ 25,515 $ 25,770 $ 26,028 $ 26,288 $ 26,551 $ 26,816 $ 27,084 $ 27,355 $ 27,629 $ 27,905 $ 28,184 Total Non -Capturable Taxes 7.0020 NAKTPFERLESS I of Table 2. Tax Increment Revenue Estimates SkyVue on Michigan Redevelopment Project 3165 E Michigan Ave Lansing, MI AKTP No. 8792B2 As of July 15, 2015 14 ' 1' -- 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 631,224 $ 22,135,351 $ 22,356,704 $ 22,580,271 $ 22,806,074 $ 23,034,135 $ 23,264,476 $ 23,497,121 $ 23,732,092 $ 23,969,413 $ 24,209,107 $ 24,451,198 $ 21,504,127 $ 21,725,480 $ 21,949,047 $ 22,174,850 $ 22,402,911 $ 22,633,252 $ 22,865,897 S 23,100,868 $ 23,338,189 $ 23,577,883 $ 23,819,974 S 3,787 $ 3,787 S 3,787 S 3,787 $ 3,787 $ 3,787 S 3,787 3,787 S 3,787 $ 3,787 S 3,787 S 12,902 S 13,035 S 13,169 S 13,305 S 13,442 $ 13,580 S 1, --)Cll '. 13,861 S 14.003 S 14,147 S 14,292 $ 116,122 $ 117,318 $ 118,525 $ 119,744 $ 120,976 $ 122,220 $ 123,476 $ 124,745 $ 126,026 $ 127,321 $ 128,628 $ 11,362 S 11,362 S 11,362 S 11,362 S 11,362 S 11,362 S 11,362 S 11.362 S 11,362 $ 11,362 S 11,362 $ 38,707 S 39,106 S 39,508 S 39,915 S 40,325 S 40,740 $ 41,159 $ 41,582 $ 42,009 S 42,440 S 42,876 $ 348,367 $ 351,953 $ 355,575 $ 359,233 $ 362,927 $ 366,659 $ 370,428 $ 374,234 $ 378,079 $ 381,962 $ 385,884 $ 12,271 $ 12,271 $ 12,271 $ 12,271 $ 12,271 $ 12,271 $ 12,271 $ 12,271 S 12,271 $ 12,271 $ 12,271 $ 41,804 $ 42,234 $ 42,669 $ 43,108 $ 43,551 $ 43,999 $ 44,451 S 44,908 S 45,369 $ 45,835 S 46,306 $ 376,236 $ 380,109 $ 384,021 $ 387,971 $ 391,961 $ 395,991 $ 400,062 $ 404,173 $ 408,325 $ 412,519 $ 416,754 $ 2,403 S 2,403 S 2,403 $ 2,403 S 2,403 S 2,403 S 2,403 S 2,403 $ 2,403 S 2,403 S 2,403 $ 8,187 $ 8,271 $ 8,356 S 8.442 S 87529 S 8,617 S 8,706 S 8,795 S 8.885 $ 8,977 $ 9,069 $ 73,683 $ 74,442 $ 75,208 $ 75,982 $ 76,763 $ 77,552 $ 78,350 $ 79,155 $ 79,968 $ 80,789 $ 81,619 $ 816 S 816 S 816 $ 816 S 816 S 816 S 816 S 816 S 816 S 816 S 816 S 2,779 $ 2,808 S 2,837 S 2,866 $ 2,896 $ 2,925 S 2,955 S 2,986 S 3.016 $ 3,047 S 3,079 $ 25,015 $ 25,272 $ 25,532 $ 25,795 $ 26,060 $ 26,328 $ 26,599 $ 26,872 $ 27,148 $ 27,427 $ 27,709 $ 2,964 S 2,964 $ 2,964 $ 2,964 $ 2,964 $ 2,964 S 2,964 S 2,964 $ 2,964 $ 2,964 S 2,964 S 10,097 $ 10,201 $ 10,306 $ 105412 S 10,520 $ 10,628 $ 10,737 S 10.847 S 10.959 S 11,071 $ 11,185 $ 90,877 $ 91,813 $ 92,758 $ 93,712 $ 94,676 $ 95,649 $ 96,632 $ 97,625 $ 98,628 $ 99,641 $ 100,664 S 4,030 $ 4,030 S 4,030 S 4,030 S 4,030 $ 4,030 S 4,030 S 4,030 S 4,030 $ 4,030 S 4,030 S 13,729 $ 13,870 S 14,013 S 14,157 S 14,302 S 14,450 S 147598 S 14,748 S 14.900 S 15,053 S 15,207 $ 123,558 $ 124,830 $ 126,114 $ 127,412 $ 128,722 $ 130,046 $ 131,382 $ 132,733 $ 134,096 $ 135,473 $ 136,864 $ 2,022 $ 2,022 S 2,022 S 2,022 S 2,022 $ 2,022 S 2,022 S 2,022 S 2,022 $ 2,022 S 2.022 S 6,888 S 6,959 $ 7,030 S 7,103 S 7,176 $ 7,250 $ 7,324 S 7,399 S 7.475 $ 7,552 $ 1,630 $ 61,992 $ 62,630 $ 63,274 $ 63,925 $ 64,583 $ 65,247 $ 65,918 $ 66,595 $ 67,279 $ 67,970 $ 68,668 $ 441 $ 441 S 441 S 441 $ 441 $ 441 $ 441 S 441 S 441 S 441 S 441 $ 1,503 $ 1,519 $ 1,534 S 1,550 $ 1,566 $ 1,582 $ 1,598 S 1,615 S 1.631 S 1,648 S 1,665 $ 13,528 $ 13,667 $ 13,808 $ 13,950 $ 14,094 $ 14,239 $ 14,385 $ 14,533 $ 14,682 $ 14,933 $ 14,985 S 1,898 $ 1,898 S 1,898 $ 1,898 $ 1,898 S 1,898 S 1,898 S 1,898 $ 1,898 S 1,898 S 1,898 S 6,466 S 6,533 $ 6,600 S 6,668 S 6,737 $ 6,806 $ 6,876 S 6,946 S 7,018 S 7,090 $ 7,163 $ 58,197 $ 58,796 $ 59,401 $ 60,012 $ 60,629 $ 61,252 $ 61,882 $ 62,518 $ 63,160 $ 63,809 $ 64,464 S 985 S 985 S 985 $ 985 $ 985 $ 985 S 985 S 985 S 985 $ 985 S 985 S 3,355 $ 3,389 S 3,424 S 3,459 S 3,495 S 3,531 S 3,567 S 3,604 $ 3.641 S 3,678 $ 3,716 $ 30,192 $ 30,503 $ 30,816 $ 31,133 $ 31,454 $ 31,777 $ 32,104 $ 32,434 $ 32,767 $ 33,103 $ 33,443 S 259 $ 259 S 259 S 259 $ 259 S 259 S 259 $ 259 $ 259 $ 259 $ 259 S 882 S 891 $ 900 S 909 S 919 $ 928 S 938 S 947 $ 957 $ 967 $ 977 $ 7,935 $ 8,017 $ 8,099 $ 8,183 $ 8,267 $ 8,352 $ 8,438 $ 8,524 $ 8,612 $ 8,700 $ 8,790 5,755 $ 5,813 $ 5,871 $ 5,930 $ 5,989 $ 6,049 $ 6,109 $ 6,170 $ 6,232 $ 6,294 $ 6,357 120,770 $ 121,978 $ 123,198 $ 124,430 $ 125,674 $ 126,931 $ 128,200 $ 129,482 $ 130,777 $ 132,085 $ 133,406 28,466 $ 28,751 $ 29,038 $ 29,329 $ 29,622 $ 29,918 $ 30,217 $ 30,519 $ 30,825 $ 31,133 $ 31,444 NAKTPEERLESS 2 of Table 3. Reimbursement Allocation Schedule SkyVue on Michigan Redevelopment Project 3165 E Michigan Ave Lansing, MI AKTP Project No, 8792132 As of July 15, 2015 Developer Maximum Proportionality School & Local Local -Only Reimbursement Taxes Taxes Total State 35.0% $ 9,0819017 $ 9,081,017 Local 65.0% $ 16,8379189 $ 21,000 $ 16,858,189 TOTAL $ 25,918,205 $ 219000 $ 25,9399205 -- -- -- ----- ----------------- MDEQ 2.8% $ 718,153 MSF 97.2% $ 25,200,052 Estimated Total Years of _ Plan: - 24 Estimated Capture Administrative Fees $ 1,000,905 State Revolving Fund $ 1349.578 LSRRF $ 1.000.905 Plan Year - Total State Incremental Revenue $ 198,521 $ 410,676 $ 414,919 $ 419,205 $ 423,533 $ 427,905 $ 432,320 $ 436,780 $ 441,284 $ 445,833 $ 450,428 $ 455,068 $ 459,755 State Brownfield Revolving Fund (3 mills of SET) $ 24,815 $ 51,334 $ 51,865 $ 52,401 $ 52,942 $ 53,488 $ 54,040 $ 54,597 $ 55,160 $ 55,729 $ 56,303 $ 56,884 $ 57,469 State TIR Available for Reimbursement $ 173,706 $ 359,341 $ 363,054 $ 366,804 $ 370,591 $ 374,417 $ 378,280 $ 382,182 $ 386,123 $ 390,104 $ 394,124 $ 398,185 $ 402,286 Total Local Incremental Revenue $ 368,079 $ 761,438 $ 769,305 $ 777,251 $ 785,276 $ 793,382 $ 801,568 $ 809,837 $ 818,188 $ 826,623 $ 835,142 $ 843,746 $ 852,436 BRA Administrative Fee $ 18,404 $ 38,072 $ 38,465 $ 38,863 $ 39,264 $ 39,669 $ 40,078 $ 40,492 $ 40,909 $ 41,331 $ 41,757 $ 42,187 $ 42,622 Local Site Remediation Revolving Fund (LSRRF) $ 18,404 $ 38,072 $ 38,465 $ 38,863 $ 39,264 $ 39,669 $ 40,078 $ 40,492 $ 40,909 $ 41331 $ 41,757 $ 42,187 $ 42,622 Local TIR Available for Reimbursement $ 331,271 $ 685,294 $ 692,374 $ 699,526 $ 706,748 $ 714,043 $ 721,411 $ 728,853 $ 736,369 $ 743,960 $ 751,627 $ 759,371 $ 767,192 Beginning DEVELOPER Balance DEVELOPER Reimbursement Balance ' $ 25,939,205 $ 25,434,228 $ 24,389,593 ' $ 23,334,164 : $ 22,267,835 $ 21,190,495 S 20,102,035 $ 19,002,343 $ 17,891,308 I $ 16,768,816 $ 15,634,752 S 14,489,000 S 13,331,444 $ 12,161,966 SPLIT 1 ible Activities Reimbursement Fm uonmental Fli,_iNe Actin Ines m imnmental Fligible ACU Interest Reimbursement $ 9,081, 017 $ 81907, 311 $ 173,706 $ $ 8,547, 969 359,341 $ $ 8,184, 915 363,054 $ 7,818,111 $ 366,804 $ 7,447,520 $ 370,591 $ 7,073,103 $ 374,417 $ $ 6,694,823 378,280 $ $ 6,312, 641 382,182 $ 5,926,518 $ 386,123 $ 5,536,414 $ 390,104 $ 5,142, 290 $ 394,124 $ 4,744,105 $ 398,185 $ $ 4,341,819 402,286 $ 6,022,352 $ 166-870 4.,,1? $ 9-957 $ I0.060 $ 10164 $ 10269 $ I0_;74 $ 10482 $ 10.590 In.699 ? I0.8O9 S u')11 $ II.u;3 $ 11.147 $ 5,855.482 5.893 $ 7av_285 $ 352.995 `ti ;5), 64n $ ;ri).32 ; $ 3(i4.u4' $ 367.798 $ 371 -592 $ 375 424 $ :�� '�,� $ :S;?i�.i $ ,8 7.152 $ 391.139 $ 3,058,665 $ $ $ $ $ - $ $ - $ - $ - $ $ - $ - $ Lm ironmental Portion $ 84-751 c $ n y < M $ oc Non-Fmironmental Portion $ 2.973,914 s T c Total STATE TIR Reimbursement $ 173,706 $ 359,341 $ 363,054 $ 366,804 $ 370,591 $ 374,417 $ 378,280 $ 382,182 $ 386,123 $ 3909104 $ 394,124 $ 398,185 $ 402,286 eco O o LOCAL Reimbursement Balance $ 16,837,189 $ 16,505,918 $ 15,820,624 $ 15,128,249 $ 14,428,723 $ 13,721,975 $ 13,007,932 $ 12,286,520 $ 11,557,667 $ 10,821,298 $ 10,077,338 $ 9,325,710 $ 8,566,339 $ 7,799,147 s Eligible Activities Reimbursement $ 11,166,093 $ 331,271 $ 685,294 $ 692,374 $ 699,526 $ 706,748 $ 714,043 $ 721,411 $ 728,853 $ 736,369 $ 743,960 $ 751,627 $ 759,371 $ 767,192 a° $ Im 109,395 $ �iI $ IC-988 $ 9_;83 _ , ;8� $ 1u�ik:. _ __ $ i(i.82r. $ 11_uJI $ ?I_'S8 y c Non-l-m ironmentrl FhL,!1* 1cn\incj $ 10.956.698 '� 3'__u-)? nba-;tin $ -8U-14' $ 687.166 $ 694? 7nl 711 �;-lr, 8111 S 7;R-:3n 14._y3C a Interest Reimbursement $ 5,671,096 $ $ $ $ - $ - $ $ $ $ $ $ - $ $ := Total LOCAL TIR Reimbursement $ 331,271 $ 685,294 $ 692,374 $ 6999526 $ 706,748 $ 714,043 $ 7219411 $ 728,853 $ 736,369 $ 743,960 $ 751,627 $ 759,371 $ 767,192 LOCAL -ONLY Reimbursement Balance $ 21,0001 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 Eligible Activities Reimbursement $ 20,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Interest Reimbursement P 1 000 $ - P - P - 1 � t _ G IL Total Local -Only TIR Reimbursement $ - S - S - S - $ - $ $ - S - S - $ - $ - $ - S ent "@' �1(W,977 $ 1,044,635 $ 1,055,429 $ 1,066,330 " S 1,088,460 1,099,691 $ 1,111,035 $ 1,122,492 $ 1,134,064 $ 1,145,752 $ 1,157,556 $ 1,169,47 SPLIT 2 48 11DE0 Reimbursement Balance_ S o, Eligible Activities Reimbursement $ Interest Reimbursement $ w 15 Total MDEQ TIR Reimbursement 0 co MSF Reimbursement Balance $ Eligible Activities Reimbursement $ 9' ua Interest Reimbursement $ c ° Total MSF TIR Reimbursement ez U x Total Annual Developer Reimbursement "18.153 S _04 101 $ 675.216 $ 645,971 S 616,425 $ 586.574 $ 556,414 $ 525,943 $ 495,158 S 464,056 $ 432,633 $ 400,886 $ 368,812 $ 336.407 476,265 $ 13,992 $ 28,945 $ 29,244 $ 29,546 $ 29,851 $ 30,160 $ 30,471 $ 30,785 $ 31,103 $ 31,423 $ 31,747 $ 32,074 $ 32,404 241,888 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 13,992 $ 28,945 $ 29,244 $ 29,546 $ 29,851 $ 30,160 $ 30,471 $ 30,785 $ 31,103 $ 31,423 $ 31,747 $ 32,074 $ 32,404 25,200,052 $ 24,709,068 $ 23,693,377 $ 22,667,193 $ 21,630,410 $ 20,582,921 $ 19,524,621 $ 18,455,400 $ 17,375,150 $ 16,283,760 $ 15,181,119 $ 14,067,115 $ 12,941,633 $ 11,804,559 16,712,180 $ 490,985 $ 1,015,690 $ 1,026,184 $ 1,036,783 $ 1,047,488 $ 1,058,300 $ 1,069,221 $ 1,080,250 $ 1,091,390 $ 1,102,641 $ 1,114,005 $ 1,125,482 $ 1,137,074 8,487,872 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 490,985 $ 1,015,690 $ 1,026,184 $ 1,036,783 $ 1,047,488 $ 1,0589300 $ 1,069,221 $ 1,080,250 $ 1,091,390 $ 1,102,641 $ 1,114,005 $ 1,125,482 $ 1,137,074 $ 504,977 $ 1,044,635 $ 1,055,429 $ 1,066,330 $ ^ 40 $ 1,088,460 $ JAUPEERLESS I oft Table 3. Reimbursement Allocation Schedule SkyVue on Michigan Redevelopment Project 3165 E Michigan Ave Lansing, MI AKTP Project No. 8792B2 As of July 15, 2015 End Plan $ 464,489 $ 469,270 $ 474,099 $ 478,977 $ 483,903 $ 488,878 $ 493,903 $ 498,979 $ 504,105 $ 509,282 $ 514,511 $ 58,061 $ 58,659 $ 59,262 $ 59,872 $ 60,488 $ 61,110 $ 61,738 $ 62,372 $ 63,013 $ 63,660 $ 64,314 S 406,428 $ 410,612 $ 414,837 $ 419,105 $ 423,415 $ 427,768 $ 432,165 $ 436,606 $ 441,092 $ 445,622 $ 450,198 $ 861,213 $ 870,078 $ 879,032 $ 888,075 $ 897,208 $ 906,433 $ 915,750 $ 925,161 $ 934,665 $ 944,265 $ 953,960 $ 43,061 $ 43,504 $ 43,952 $ 44,404 $ 44,860 $ 45,322 $ 45,788 $ 46,258 $ 46,733 $ 47,213 $ 47,698 $ 41061 $ 43,504 $ 43,952 $ 44,404 $ 44,860 $ 45,322 $ 45,788 $ 46-258 $ 46,733 $ 47,213 $ 47,698 S 775,092 S 783,070 S 791,129 $ 799,267 $ 807,488 $ 815,790 S 824,175 S 832,645 S 841,199 S 849,838 $ 858,564 $ 10,980,446 $ 9,786,764 $ 8,580,799 $ 7,362,427 $ 6,131,524 $ 4,887,966 $ 3,631,625 $ 2,362,374 $ 1,080,084 $ 84,169 $ 0 $ 3,935,391 $ 3,524, 780 $ 3,109, 943 $ 2,690,838 $ 2,267, 423 $ 1,839, 655 $ 1,407,489 $ 970,883 $ 529,791 $ 84,169 $ (0) $ 406,428 $ 410,612 $ 414,837 $ 51,278 $ - $ - $ - $ - $ - $ - $ S 1 1.261 1 1_ ,77 $ 1 l .a,14 $ 1 -11 1 5 $ $ $ -l(i;_:I.; C �`l�5- - `� - �, $ 367,827 $ 423,415 $ 427,768 $ 432,165 $ 436,606 $ 441,092 $ 445,622 $ 84,169 Ili Iw, 11.7111 S 11.8 $ 406,428 $ 410,612 $ 414,837 $ 419,105 $ 423,415 S 427,768 $ 432,165 $ 436,606 $ 441,092 $ 445,622 $ 84,169 $ 7,024,055 $ 6,240, 985 $ 5,449,856 $ 4,650,589 $ 3,843,101 $ 3,027,311 $ 2,203,136 $ 1,370,491 $ 529,293 $ 0 $ 0 $ 775,092 $ 783,070 $ 569,889 $ - $ - $ - $ - $ - $ $ - $ - , 1. 477 $ 2 I .hI)S $ I5]1)1 5 $ $ $ ` S 7i_615 $ 7(,I _ _ S�.lil,l' $ - $ $ $ $ $ - $ $ 221,240 $ 799,267 $ 807,488 $ 815,790 $ 824,175 $ 832,645 $ 841,199 $ 529_21)1 (,_ l ;i' ti ". I4(, $ 22_374 $ 7' r11)1 $ -, S- S - 1 i71 S _. ;i_)S S I A S $ 215.101) $ 777.121 785.1I1 $ 79>.1S0 $ 8UI ;" $ W>_57I $ 817.8,)O $ 514,0_17 S 775,092 $ 793,070 $ 791,129 $ 799,267 $ 8079488 $ 815,790 S 824,175 $ 832,645 $ 841,199 $ 529,293 $ $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ 21,000 $ - $ $ - $ - $ - $ - $ - $ - $ - $ - $ 20,000 $ - $ - $ $ $ - $ $ $ $ _$ $ $ 1,000 $ $ - $ - $ - $ - $ - $ S S S $ 21,000 $ ------------------------------------------ IMM§ftUl A 1,269,251-$ 1,282,290 $ `, 84,169 $ 303,669 $ 270,594 $ 237,179 $ 203,419 $ 169,313 $ 134,856 $ 100,045 $ 04,8-6 S 29.346 $ 2,332 $ 0 $ 32,738 $ 33,075 $ 27,285 $ 1,421 $ - $ - $ - $ - $ _ $ _ $ _ $ - $ - $ 6,130 $ 32,338 $ 34,106 $ 34,457 $ 34,811 $ 35,169 $ 35,530 $ 27,013 $ 2,332 S 32,738 $ 33,075 $ 33,415 $ 33,759 $ 34,106 $ 34,457 $ 349811 $ 35,169 $ 35,530 $ 27,013 $ 2,332 $ 10,655,777 $ 9,495,170 $ 8,322,620 $ 7,138,007 $ 5,941,211 $ 4,731,110 $ 3,510,580 $ 2,276,498 $ 1,029,738 $ 81,837 $ 0 $ 1,148,782 $ 1,160,607 $ 957,441 $ 49,857 $ - $ - $ - $ - $ _ $ _ $ - $ - $ - $ 215,109 $ 1,134,756 $ 1,196,796 $ 1,209,101 $ 1,221,530 $ 1,234,082 $ 1,246,760 $ 947,901 $ 81,837 $ 1,148,782 $ 1,160,607 $ 1,172,550 $ 1,184,613 $ 1,196,796 $ 1,209,101 $ 1,221,530 $ 1,234,082 $ 1,246,760 $ 947,901 $ 81,837 IAKTPEERLESS 2 of SkyVue on Michigan Redevelopment Project Brownfield Redevelopment Plan #60 EXHIBIT B LEGAL DESCRIPTION OF PROPERTY The location of the Project is commonly known as 3165 East Michigan Avenue, Lansing, Michigan ("Project Area") and legally described as follows: COM ON N LINE E MICHIGAN AVE AT PT S 89DEG 55MIN E 563 FT FROM CL CLIPPERT ST N ODEG 17MIN E 419.8 FT S 89DEG 55MIN E 349.1 FT, S 419.8 FT, N 89DEG 55MIN W 349.8 FT TO BEG; SEC 14 T4N R2W Page 7 of 7 a m z v Appendix D Supplemental Materials September 28, 2015 Marilyn Crowley CATeam Specialist Michigan Economic Development Corporation 300 N. Washington Square Lansing, MI 48913 - Subject: Engineer's Opinion Letter for Specific Site Preparation Activities & Additional Detail Regarding Urban Stormwater Management System SkyVue on Michigan Redevelopment Project 3165 East Michigan Avenue, Lansing, Michigan Dear Ms. Crowley, Nederveld Inc. is providing this opinion of necessity and probable cost detail for the Michigan Strategic Fund (MSF) Eligible Activity costs of Cut & Fill Operations, Special Foundations, and Foundation Soil Management for the SkyVue on Michigan Avenue Project (the "project") located at 3165 East Michigan Avenue, Lansing, Michigan. In addition, this letter details additional information regarding the Urban Stormwater Management System. A Geotechnical Investigation (the "investigation") was conducted by Soil Materials Engineers, Inc. (SME) in August 2014. During the investigation, existing fill material, comprised mainly of sand and clay, was encountered between approximately one and six feet below grade across the site. A Standard Penetration Test (SPT) indicated that the fill material was of a very loose to medium dense condition. In addition, other unstable material was identified in one soil boring underlying the fill material to about six feet below grade. Natural sands and clay strata were encountered below the fill material to depths of boring termination between five and 30 feet below grade. Based upon the unconsolidated, variable, uncontrolled and undocumented nature of the non - indigenous fill and the underlying compressible soils, the unstable fill materials at the subject property will not provide adequate structural support for the proposed building and pavement areas. As such, they are a deterrent to redevelopment. Cut & fill operations and foundations soil management must occur, and special foundations must be installed to adequately support structures and paved areas. Detailed information regarding each of these activities is included below: Cut & Fill Operations Cut and fill operations will prepare the grade of the site for the proposed redevelopment. Fill material beneath slabs and pavements must be consistent with depth and of sufficient strength to support the new construction. Fill material which does not meet these specifications may be compacted in place. Any fill material which cannot meet the required specifications through compaction must be undercut. The undercut excavations must be filled to the design subgrade with engineered fill material. The cost request for this activity in the Act 381 Work Plan is $1,205,251. Special Foundations The fill material which exists at the property is marginally supportive of conventional spread foundations for the proposed 9-story, 634,843ft2 construction. Auger Cast -in -Place Piles (ACIP) are the recommended special foundations system to support the new construction. An ACIP foundation system will: (1) support the weight of the new construction; (2) reduce the amount of excavation required thereby greatly reducing costs of potentially extensive earthwork and disposal of poor soils (existing fill); and (3) result in smaller total and differential settlements. The cost of special foundations included in the Act 381 Work Plan is the incremental cost above conventional foundations which is necessary due to existing brownfield conditions. The table below describes the incremental cost of the recommended ACIP foundations system. Cost of Conventional Foundations Cost of ACIP Foundations System Incremental Cost (Identified as an Eligible Activity Cost) $429,968 $1,720,868 $1,290,900 Foundation Soil Management The excavation, transportation, disposal and replacement of unsuitable fill material and soils will be required for the installation of the special foundations. It is estimated that approximately 2,750 tons of unsuitable fill material and soils will need to be excavated, transported and disposed for foundation installation. Due to the density of the site design, excavated soils cannot be reused onsite. The cost request for this activity in the Act 381 Work Plan is $161,950. It is recommended that professional geotechnical engineering services be provided during the site preparation, excavation, and foundation phases of the proposed project. This is to observe compliance with the design concepts, specifications, and recommendations. Also, this provides opportunity for design changes to be made in the event that subsurface conditions differ from those anticipated prior to the start of construction. Appropriate Geotechnical Engineering activities could include: additional investigation, assessment of risks posed by site conditions, design of foundations, and monitoring of site conditions during foundation construction. The cost request for this activity in the Act 381 Work Plan is $183,125. Urban Stormwater Management System In addition, the proposed urban stormwater management system design can be summarized as follows. Per Ingham County Drain Commissioner requirements, the first 1-inch of storm water runoff (first flush) generated from the proposed site will be collected and conveyed to a proposed underground detention system. Prior to entering the underground detention system, storm water runoff will be pre-treated by an in -line mechanical water quality device. The proposed water quality device will remove sediment, oil and grease, litter and debris, and pollutants from the storm water prior to discharging to the underground detention system. The proposed underground detention system will consist of ±450 linear feet of 5 foot diameter perforated pipe providing an approximate volume of 12,200 cubic feet of storm water storage. Further, the urban stormwater management system as designed is considered low impact design (LID) as it embraces the following characteristics. A Stormwater Pre-treatment/Water Quality Device will be installed to remove sediment, oil and grease, litter and debris, and pollutants from the storm water prior to discharging to the underground detention system. Pollutants attached to sediment such as phosphorus, nitrates, and metals will be removed from the storm water through hydrodynamic separation and the settling of suspended solids. The collected sediment is stored in the base of the proposed water quality device. Maintenance and cleaning of the device will follow the manufacturer's guidelines, taking into account expected sediment and pollutant load, as well as site conditions. Collected sediment will be removed with a vactor truck and disposed of properly. Subsurface Storm Water Detention with an Infiltration Bed will be installed to provide storm water quality and quantity control for the project. The proposed underground detention system will be designed to detain the first flush runoff volume generated from the site; this volume of runoff contains the main proportion of the pollutant load for a storm event. The proposed underground detention system will be perforated and bedded in clean -washed, uniformly graded aggregate. This will allow runoff collected in the underground detention basin to infiltrate through the aggregate bedding into the surrounding site soils, providing an effective reduction in total suspended solids, phosphorus, metals, and oil and grease. In addition, an outlet control structure will be configured to limit the peak discharge rate of the first flush runoff, reducing downstream impacts. The cost request for this activity in the Act 381 Work Plan is $62,200 and includes the cost of surveying and staking prior to installation. The proposed system is contingent upon the analytical results of additional subsurface sampling and laboratory testing. Should the analytical results identify concentrations of contaminants above the Michigan Department of Environmental Quality Residential Cleanup Criteria, a liner will be installed to prevent exacerbation. Nederveld Inc. has formulated the evaluations and recommendations for site preparation and infrastructure improvements presented in this letter on the basis of currently available data and site plans. As a result of these findings, site preparation and infrastructure improvement tasks will be required as outlined in the associated Act 381 Work Plan. In providing this opinion of probable cost Nederveld Inc. has no control over costs or the price of labor, materials or equipment, or over the engineers, architects or contractor's method of pricing. The opinion of probable construction costs is made on the basis of our collaborative team qualifications and experience. Nederveld Inc. makes no warranty, expressed or implied, as to the accuracy of the opinion as compared to bid or actual costs. This letter summarizing the opinions of probable cost and additional detail is being provided as required by the Michigan Economic Development Corporation (MEDC) for making application (Act 381 Work Plan) to the State for use of State school tax increment revenues under PA 381 for MSF-Eligible Activities. Additionally, this letter is in accordance with the MSF Eligible Non - Environmental Activities Guidance Document issue date May 2015. Please contact our office should you have any further questions or require any additional information. Sincerely, J on Van Ryn, P.E. Professional Engineer Nederveld Inc. STATE OF MICHIGAN AM DEPARTMENT OF ENVIRONMENTAL QUALITY DEW 7 LANSING DISTRICT OFFICE RICK SNYDER DAN WYANT GOVERNOR DIRECTOR October 19, 2015 ACKNOWLEDGEMENT OF RECEIPT OF A BASELINE ENVIRONMENTAL ASSESSMENT BEA ID: B201502105LA Legal Entity: Lansing Properties I, LLC, 348 Enterprise Drive, Valdosta, Georgia 31601 Property Address: 3165 East Michigan Avenue, Lansing, Ingham County On October 16, 2015, the Michigan Department of Environmental Quality (MDEQ) received a Baseline Environmental Assessment (BEA) dated September 25, 2015, for the above legal entity and property. This letter is your acknowledgement that the MDEQ has received and recorded the BEA. The MDEQ maintains an administrative record of each BEA as received. This BEA was submitted pursuant to Section 20126(1)(c) of Part 201, Environmental Rerriediation, and/or Section 21323a(1)(b) of Part 213, Leaking Underground Storage Tanks, of the Natural Resources and Environmental Protection Act, 1994 PA 451, as amended (NREPA). A BEA is submitted for the purpose of establishing an exemption to liability for a new owner or operator of property that has been demonstrated to be a facility or property as defined by Section 20101(1)(s) of Part 201, Environmental Remediation, and/or property as defined by Section 21303(d) of Part 213, Leaking Underground Storage Tanks, of the NREPA. Pursuant to Sections 20126(1)(c) and 21323a(1)(b), the conditions of this exemption require the legal entity to disclose the BEA to a subsequent purchaser or transferee of the property. The BEA is only for the legal entity and property identified in the BEA and on the BEA Submittal Form. Each new legal entity that becomes the owner or operator of this facility must submit their own BEA. The MDEQ is not making any findings about the adequacy of the submittal or whether the submitter is liable or is eligible to submit. The submitted BEA does not alter liability with regard to a subsequent release, threat of release, or exacerbation of existing conditions that is the responsibility of the legal entity submitting the BEA. The legal entity, as the owner and/or operator of a facility or property, may have Due Care responsibilities under Section 20107a of Part 201, Environmental Remediation, and/or Section 21304c-of Part 213, Leaking Underground Storage Tanks, of the NREPA.- CONSTITUTION HALL • 525 WEST ALLEGAN STREET • P.O. BOX 30242 • LANSING, MICHIGAN 48909-7742 www.mlchigan.gov/deq • (517) 284-6651 Lansing Properties I, LLC 2 October 19, 2015 The legal entity may also have responsibility under applicable state and federal laws, including, but not limited to, Part 201, Environmental Remediation; Part 111, Hazardous Waste Management; Part 211, Underground Storage Tank Regulations; Part 213, Leaking Underground Storage Tanks; Part 615, Supervisor of Wells, of the NREPA; and the Michigan Fire Prevention Code, 1941 PA 207, as amended. Pursuant to Section 20112a(6) of Part 201, Environmental Remediation, the property(s) identified in the BEA will be placed on the inventory of facilities, which is updated daily and posted on the MDEQ's website: https://securel.state.mi.us/FacilitiesinventoryQuedes. Authorized signature: ennis Eagle, District SupeoAror Lansing District Office Remediation and Redevelopment Division Michigan Department of Environmental Quality 525 West Allegan Street P.O. Box 30242 Lansing, Michigan 48909 517-284-5089 eagled@michigan.gov Enclosure cc: AKT Peerless Revision 05/28/2014 WWW.AKTPEERLESS.COM