Title
Extension of Memorandum of Understanding with St. George Corporation, St. George Wellness Center and Palos Community Hospital
History
The Memorandum Of Understanding (MOU) with St. George Corporation and Palos Community Hospital dated March 23, 2016, regarding the transfer to the Village of the Palos Fitness Center is to expire on June 21, 2016, unless the parties agree to an extension. As the parties are actively negotiating the terms of the land transfer/exchange and the Village continues its "due diligence" review of the terms of the transaction, it appears final approval by the parties will not be achieved by the June 21st date. Consequently, it is recommended that the parties execute an extension of the MOU to August 1, 2016, and an Extension Agreement to that effect is attached for Village Board consideration and approval.
During this period, the fitness center will remain open. Staff has been working with Palos to review pertinent financial information, building and capital assessments of the existing center, operations and programming, and final site plan reconfiguration. Staff will provide a report of each of these areas with the proposed development agreement. The final terms of the development agreement and related documents that will address the long term preservation of the fitness center and the ultimate build-out of Palos’ expansion plans, is tentatively scheduled to be brought to the board on July 18th for approval.
Financial Impact
At this time, the financial impact is unknown. The MOU contemplates a transfer of the facility and related parking to the Village in exchange for land that will enable Palos to complete their expansion projects.
Recommended Action/Motion
I move to approve the extension of the Memorandum of Understanding between the Village of Orland Park and St. George Corporation, St. George Wellness Center and Palos Community Hospital and to authorize the Village Manager to execute the Memorandum of Understanding...
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