Title/Name/Summary
Revised Letter of Intent (LOI) between the Village of Orland Park and University of Chicago Medical Center (UCMC)
History
On May 13, 2014, a Letter of Intent was executed between the Village of Orland Park and the University of Chicago Medical Center. Since this date, both parties have worked cooperatively to move the project forward. However, as a result of due diligence issues that arose, particularly associated with soil conditions of the site, it became necessary to change the original proposed project. Under the original terms of the LOI, an underground parking structure was proposed to be constructed. Additional preliminary engineering of the site, during the due diligence phase, indicated that soil conditions made the below-grade deck unfeasible due to cost. In consideration of this finding, staff has worked with UCMC team to redesign the site and incorporate an above-grade deck that would be constructed to the west of UCMC's medical office building and over the proposed Jefferson Street. These changes necessitated on new LOI and deal terms to be negotiated with UCMC.
Attached is the draft of the newly proposed Letter of Intent, along with a summary of the current development program and deal terms. After the execution of the LOI, a ground lease will be finalized between the parties and brought back to the Village Board for final approval.
Financial Impact
Financial impact is included in the attachment.
Recommended Action/Motion
I move to approve a Letter of Intent (LOI) between the Village of Orland and the University of Chicago Medical Center (UCMC).