R-27-99 Approving a Draw on the Chestnut Crossing Subdivision Letter of CreditRESOLUTION NO. R -
DATE OF APPROVAL: 161 10 - G�
RESOLUTION APPROVLNG A DRAW ON THE
CHESTNUT CROSSING SUBDIVISION
LETTER OF CREDIT
WHEREAS, Letter of Credit No. 459, Holland Trust & Savings Bank, was established for
Chestnut Crossing Subdivision on May 19, 1994, in the amount of $1,200,000.00; and
WHEREAS, the current extension of the letter of credit will expire on May 19, 1999; and
WHEREAS, the developer has failed to satisfactorily complete or carry out the work of the
installation and construction of the required public improvements; and
WHEREAS, the developer has been notified of this failure to complete the improvements and
has been given 30 days to correct the deficiencies; and
WHEREAS, the deficiencies have not been cured after the 30 day notification deadline; and
WHEREAS, a draw of the remaining $260,000.00 in the letter of credit is necessary to
ensure the completion of a portion of the public improvements.
NOW, THEREFORE BE IT RESOLVED by the President and Board of Trustees of the
Village of Lemont to request a draw on Letter of Credit No. 459 in the amount of $260,000.00.
PPR 2? '99 23:46PM ANTONOPOULOS P.1/1 •
PASSED AND APPROVED BY THE PRESIDENT AND BOARD OF TRUSTEES OF
THE VILLAGE OF LEMONT, COOK. WILL AND DU PAGE COUNTIES, ILLIIvOIS on
this I 00 day of_ 1999.
John Benik
Debby Blatzer
Keith Latz
Connie Markiewicz
Rick Rimbo
Mary Studebaker
Approved by me this
Attest:
AYES N °►Y$ PASSED ABSgN'r
cam'
ENE SMOLLEN, Village Clerk
A.RLENE M. SMOLL N; Village Clerk
Prepared by:
Planning Department
Village of Lemont
418 Main Street
Lemont, 11 60439
1999.
'i f—A. KWAS1 SKI, Village President
H�o�ll�and
South Holland Trust & Savings Bank 16178 South Park Avenue South Holland, Illinois 60473 -1524 708/333 -2600 FAX: 708/210 -5997
AMENDMENT TO LETTER OF CREDIT NO. 459
AMOUNT: $260,000.00 L/C NO: 459 DATE: May 19, 1998
APPLICANT: BENEFICIARY:
Combined Management, Inc.
Route 1 Box 154
Clarksville, MO 63336
EXPIRATION DATE: May 19, 1999
Village of Lemont
418 Main Street
Lemont, IL 60439
This Amendment hereby extends the maturity date of the
South Holland Trust & Savings Bank Letter of Credit No. 459 from May
19, 1998 to May 19, 1999.
With the exception of the expiration date, all terms in the
original Letter of Credit No. 459, dated May 19, 1994 shall remain
unchanged.
JHV /cc
ACCE D BY:
D MANAGEMENT, INC.
Si rely,
ames H. Veld
Senior Vice President
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Bank
South Holland Trust & Savings Bark 16178 South Park Avenue South Holland, Illinois 60473 -1524 (708) 333 -2600 FAX: (708) 210-5997
May 19, 1994
Village of Lemont
418 Main Street
Lemont, Illinois 60439
Re: Irrevocable Letter of Credit
No. 459
Expires:
Subdivision:
Gentlemen:
May 19, 1995
Chestnut Crossing
127th Street
Lemont, Illinois 60439
We hereby establish our Irrevocable Letter of Credit No. 459 in favor of
the Village of Lemont in the amount of One Million Two Hundred Thousand
and no /100 Dollars, ($1,200,000.00). We understand that this
Irrevocable Letter of Credit is to be used to construct the following
improvements in the residential development known as Chestnut Crossing
to be constructed within the Village of Lemont, Illinois.
- Streets, sidewalks, street lights, storm sewers, sanitary
sewers, water mains and other improvements as required by
the Subdivision Regulations and the engineering plans and
specifications prepared by Engineering Resource Associates,
dated April 18, 1994, and approved by the Village Engineer.
The development is legally described as follows:
See Attached Exhibit "A"
We shall make payouts for this Irrevocable commitment as follows:
The required improvements shall be completed no later than May 19, 1995.
If we receive a resolution of the corporate authorities of the Village
of Lemont indicating that the owner and /or developer has failed to
satisfactorily complete or carry on the work of the installation and
construction of the required improvements, and such resolution indicates
that the owner and or /developer has been notified that the Village of
Lemont finds that a breach of the owner's and /or developer's obligations
has occurred and has not been cured within a period of thirty (30) days,
then in such case we shall make payments for materials and labor to such
contractor(s) or subcontractor(s) employed by the Village of Lemont who
have completed the improvements in substantial accordance with the plans
and specifications as previously submitted and approved by the Village
of Lemont; such payments shall be made upon the Certification of the
Established 1911
Page Two
Letter of Credit No. 459 May 19, 1994
Village engineer that work has been completed and the submission of
proper waiver of liens from the contractor(s) or subcontractor(s). At
no time shall the requested aggregate payments exceed $1,200,000.00.
The Irrevocable Credit established by us shall be in force for a period
of one year, with a maturity date of May 19, 1995; shall remain in
effect without regard to any default in payments of sums owned by us by
the owner and /or developer, and without regard to other claims which we
may have against the owners and /or developer. If the work covered by
this letter of credit has not been completed within the time set forth
in this agreement, the Village of Lemont may at its option draw any
undisbursed funds needed to complete the project, supported by the
Village engineer's statement as to amount and work remaining. This
letter of credit may be extended for an additional 12 months after its'
termination date upon the request of the developer and the payment of
any bank fees or other costs of such extension. South Holland Trust and
Savings Bank will give a thirty (30) day notice to the Village of Lemont
by certified mail, return receipt requested, if the bank does not intend
to renew or extend the Letter of Credit. The Letter of Credit shall not
terminate without such notice. It is recognized that the Village of
Lemont is according the owner and /or developer the permission to proceed
with the development project upon the guarantee of the irrevocable
nature of the Letter of Credit. It is further acknowledged that the
consideration for the Irrevocable Letter of Credit is provided by
agreements between this financial institution and the developer.
The sum of this credit shall be reduced in the amount of disbursements
made from time to time in accordance with the terms under which the
credit is extended as set out above.
This credit is subject to the "Uniform Customs and Practice for
Documentary Credit (1983 Revision), International Chamber of Commerce
publication Number 400."
SOUTHHOHOLLLAND TRUST AND SAVINGS BANK
3Y: ' /tA4/V9
JAMES H. VELD
Senior Vice President
ACCEPTED:
COMBINED MANAGEMENT, INC.
3Y:
EXHIBIT "A"
PARCEL 1: THE EAST 1/2 OF THE WEST 1/2 OF THE NORTHWEST 1/4 OF
NORTHWEST 1/4 OF SECTION 33, TOWNSHIP 37 NORTH, RANGE 11, EAST OF THE
THIRD PRINCIPAL MERIDIAN, IN COOK COUNTY, ILLINOIS.
PARCEL 2: THE WEST 1/2 OF THE PART OF THE SOUTHWEST 1/4 OF THE
NORTHWEST 1/4 OF SECTION 33, LYING NORTH OF THE CENTER LINE OF ARCHER
AVENUE IN SECTION 33, TOWNSHIP 37 NORTH, RANGE 11, EAST OF THE THIRD
PRINCIPAL MERIDIANN, IN COOK COUNTY, ILLINOIS, EXCEPT THE EAST 28.48 FEET
THEREOF.
PARCEL 3: THE SOUTH 33 FEET OF THE WEST 1/2 OF THE WEST 1/2 OF THE
NORTHWEST 1/4 OF SECTION 33, TOWNSHIP 37 NORTH, RANGE 11, EAST OF THIRD
PRINCIPAL MERIDIAN, IN COOK COUNTY, ILLINOIS.
Mayor
Richard A. Kwasneski
Viflag• Clsrk
Charlene M. Smollen
Administrator
Steven A. Jones
April 12, 1999
LEMONT
Village of Faith
418 Main Street • Lemont, IL 60439 -3788
(630) 257 -1550
Fax (630) 257 -1598
email: vlemont @aol.com
Mr. Phil Cullen
Preferred Real Estate Services
111 Illinois Street
Lemont, Il 60439
Re: Letter of Credit No. 459, Chestnut Crossing Subdivision
Dear Phil:
Trustees
Barbara Buschman
Keith Latz
Connie Markiewicz
Rick Rimbo
Ralph Schobert
Mary Studebaker
Please be advised that the above referenced Letter of Credit will expire on May 19, 1999.
The Village of Lemont requests written notification from South Holland Bank by April 26, 1999
that the Letter of Credit for Chestnut Crossing Subdivision has been extended for one year,
otherwise we will be required to draw on the Letter of Credit to ensure adequate security for the
completion of the public improvements.
Please do not hesitate to call the Planning Department at (630)257 -1595 if we may be of
any assistance. Thank you for your attention in this matter.
Sincerely,
Scott Buening
Community Development Director
cc: Steven A. Jones, Village Administrator
John P. Antonopoulos, Village Attorney
Joanna Littrell, Village Engineer
Dan Fielding, Public Works Director
Nlike Waldron, Strand Associates
James H. Veld, South Holland Bank