275037 WHITE - UTV CLERK 2 5�3'7
CANARV - DEP RC MENT COUIICII ,,��
BLUE - MAVOR GITY OF SAIN'T PAUL File NO. �
Council Resolution
Presented By
Referred To Committee: Date
Out of Committee By Date
WHEREAS:
l . On May 20, 1980, the Port Authority of the City of Saint Paul adopted Resolution
No. 1644 giving preliminary approval to the issuance of approximately $3,560,000 in 876
revenue bonds to finance the construction of a 3-story, 300-car parking ramp on the St. Paul
Hotel block by the Jefferson Company.
2. Laws of Minnesota 1976, Chapter 234, provides that any issue of revenue bonds
authorized by the Port Authority of the City of Saint Paul , shall be issued only with the
consent of the City Council of the City of Saint Paul , by resolution adopted in accordance
with law;
3. The Port Authority of the City of Saint Paul has requested that the City Council
give its requisite consent pursuant to said law to facilitate the issuance of said revenue
bonds by the Port Authority of the City of Saint Paul , subject to final approval of the
details of said issue by the Port Authority of the City of Saint Paul .
RESOLVED, by the City Council of the City of Saint Paul , that in accordance with Laws
of Minnesota 1976, Chapter 234, the City Council hereby consents to the issuance of the
aforesaid revenue bonds for the purposes described in the aforesaid Port Authority Resolution
No, 1644, the exact details of which, including, but not limited to, provisions relating
to maturities, interest rates, discount, redemption, and for the issuance of additional
bonds are to be determined by the Por� Authority, pursuant to resolution adopted by the
Port Authority, and the City Council hereby authorizes the issuance of any additional bonds
(including refunding bonds) by the Port Authority, found by the Port Authority to be
necessary for carrying out the purposes for which the aforesaid bonds are issued.
COUNCILMEN
Yeas H��ys Requested b part t o
B 1 r Levine I❑ FaVOr
H a Mad�ox �/
Hu McMahon `�
Le e _ __ Against BY
Ma ox �owalter
Sh lter Tedesco
Te esco Wilson ,lUN 5 1980 Form Ap ro ed by City At orney
Adopted by Council: Date �
Certified a-• by Council ecr ry BY � �
sy �
l�pproved . vor: Date App y Mayor for Subm� on to o cil
c
By By
lf,�USHfD J U N 2 f i980
�_. . ' .
,��' • .
� �, .;: . , , . � OM Ol : 12/19�5
� Rev. : , 9/�l76
EXPLANATION OF A�IMISTRATIVE ORDERS,
RESOLUTIONS, AND ORDINAWCES �
2 5�3'7
�
t�at�: �y 2� , �9so �E �'_EI��.�
MAY 2 71980
`T0: MA GEORGE LATIMER MAYq�S QI'��
-FR; E• t, St. Paul Port Authority •
�; JEFF RSON COMPANY
$3, ,000 876 REV�Nt1E BONDS �
(ST. PAtlL i�TEL PARKING RAMP)
ACTION REQUESTED: • �
In accordance with the Laws of Minnesota, Chapter 234, it is requested that the City
CounGil, by Resolution, a draft copy of which is attached hereto, approve the issuance :
of approxi�ittely $3,560,000 in 876 revenue bonds to finance the c�nstructian of a 3-story,
300-car pa�'king ramp on the St. Paul Hotel block by the Jefferson Company.
{
. ,
. • 7; .
j
� �
. i
PURPOSE �it+lD RATIDNALE FOR THIS ACTION: � � "
The purpose of the bond issue is to finance the canstruct�on of a 3-story, 300-car parking
ramp on the St. Paul Hotel block by. the Jefferson Company. The ramp would have adequate
foundation supports to carry 20 additional floors for future cons�truction of condominiums.
It is anticipated that corr�letion of the par�king rarnp will be coincidental with the open�ing �.
of the St. Paul Hotel , which is scheduled for mid-surmner 1982. The remodel'ing of the
Hotel is also being financed with Port Authority revenue bonds. '
;
,
t
,
ATTACHMENTS: �
. ��
Staff Memorandum
Draft City Council Resolutivn
Port Authority Resolution No. 1644
P.O R T � .
� �AUT .HORlTY �
OF THE CtTY OF ST. PNUL �������
� Memorandum
TO: Board of Commissioners DATE May 15, 1980
Meeting May 20, 1980
E .
�
FROM: E. A . tTt'
,
SUB.IECT: ST. PAUL HOTEL PROJECT
RES. N0. 1642 - PUBLIC SALE HEARING - SALE OF PROPERTY
RES. N0. 1643 - PRELIMINARY AGREEMENT AUTHORIZING SALE OF BONDS FOR THE
ST. PAUL HOTEL PROJECT - SERIES A $10,000,000 TAX EXEMPT
876 BONDS
SERIES B $2,000,000 TAXABLE BONDS FOR THE JEFF II DEVELOPER
LIMITED PARTNERSHIP (DLP) �
RES. N0. 1644 - PRELIMINARY AGREEMENT - SALE OF BONDS - $3,560,000 876
BONDS FOR PARKING RAMP CONSTRUCTION - UPBEAT CORPGRATION
1 . THE ST. PAUL HOTEL
The St. Paul Hotel and all of the property in the block are presently
owned by St. Paul Hotel Associates, who have financed the acquisition
through a loan from the First National Bank of St. Paul . This corporation
is present owner of the land and building and Mr. Russell Douglas is the
co-general partner. The loan from the First National Bank is to the
Upbeat Corporation which is comprised of the following St. Paul irivestors:
David Lilly .
� Gilman Ordway
Sally 0. Irvine
Perrin Lilly
Betty Musser
Attached hereto is an outline of the structure of the entities involved
in this financing transaction, an outline of the transaction and the hotel
refinancing and development, and a financial summary of the development
(Attachments A, B and C. )
2. THE COMPANY
The entities which are being created to redevelop the St. Pau1 Hote1
block are made up of elements of the Jefferson Companies and the princi-
pals are Louis Zelle, Chairman of the Board; Ronald Stolpman, President;
and Henry Blodgett, Vice President. Jefferson Companies will create
two wholly-owned subsidiaries organized as Jeff I and Jeff II. Jeff II
will own and operate the hotel and Jeff I will acquire 95% of the stock
of Upbeat Corporation, which will be the errtity owning and constructing
the parking ramp.
• ' � �a����
' -2_
May 15, 1980
In each case the Port Authority will act as lessor and all of the
elements of financi�ng will be subordinate to the Port Authority de6t.
Jefferson Companies and the individuals named above presently operate
Jefferson Lines, MTS Company, and Jeffco. A description of certain of
the facilities operated by these companies is attached. Their area
facility is Anthony On Main, which is a development and restoration of
some waterfront property in Minneapolis which they have made very
successful .
Jefferson Lines is an interstate transportation company, a wholly-owned
subsidiary of Jefferson Companies which will not be directly involved
in this transaction.
3. THE PROJECT - ST. PAUL HOTEL
The St: Paul Hotel is on the Federal Register of Historic Buildings ,
and it is the proposal of the Developer Limited Partnership (DLP) to
r�store this facility to a 260-room Deluxe class hotel with superior
restaurant and banquet and meeting facilities to provide a higher quality
of accommodations and services than now exist in the St. Paul area.�
The hotel project will require funds for this restoration exclusive of
the parking ramp of �18,300,000 and the funds are proposed to be derived
as foilows:
Port Authority 876 tax exempt bonds $10,000,000
First National Bank Conventional Taxable Bonds 2,000,000
(authorized by the Port Authority)
Urban Development Action Grant (Second Mortgage Loan) 2,600,000
. Equity capital 3,700,000
It is proposed that construction commence late in 1980 or early 1981
and the bonds be issued on or before January 1 . The financing and
the project are dependent upon the approval by the federal government
of the UDAG grant without which this project cannot be developed.
THE PROJECT - PARKING RAMP �
The proposal includes the construction of a 300-car parking ramp three
stories in height constructed with adequate foundation supports to carry
20 additional floors for future construction of condominiums. The parking
ramp will require a construction fund of approximately �2,800,000 and con-
struction will commence on the parking ramp if the project is approved so
completion is coincidental with the opening of the hotel , which is scheduled
for mid-surr�ner 1982.
All . of the buildings nat directly related to the hotel now on the block
will be razed.
� � � � �����'�
-3- .
May 15, 1980
4. FINANCING - ST. PAUL HOTEL
As indicated above, the total financing for the hotel is $18,300,000
plus subordination of a $1 ,800,000 residual receipt note held by the
First National Bank for the balance due on the land.
The Port Authority will issue for hotel construction an 876 bond issue
as follows: .
Construction $8,960,275
Debt Service Reserve 979,725
Expenses 60,000
TOTAL $10,000,000
It is proposed that these bonds be guaranteed under Resolution No. 876
which, in effect, will be the first mortgage on the property.
The Port Authority will authorize the issuance of $2,000,000 in taxable
revenue bonds based upon conventional rates with the issue to be placed
with the First National Bank or others and the debt subordinated to all
other bonds now issued or to be issued by the Port Authority under
Resolutions 876, 1270, and Brown & Bigelow Resolution No. 1465 and 1584. In
essence, the holders of these $2,000,000 in bonds would have no claim
against the Port Authority's Accumulated Net Revenues in the event of
� default that took precedence over bonds issued under the above resolutions.
The partner.ship will contribute equity in the amount of $3,700,000 in cash,
a portion of which will be used to reduce the residual receipt note of
�4,300,000 held by the First National Bank and the balance to be used
to pay additional construction and interest due and payable on all of the
bonds to be issued unti] the project is completed and rental payments
are commenced.
The UDAG loan will be provided by the federal government and will be
subordinated to the Port Authority's first mortgage position. In effect,
on the hotel project the total capital available including the subordinated
residual receipt note will be $21 ,860,000 with all but the $13,560,000 in
Port Authority 876 bonds subordinated to the Port Authority's first
mortgage. This is a debt to equity or subordinated loan ratio of 1 .63
to 1 . In effect, the UDAG loan, the subordinated property and the
Developer Limited Partnership cash contributions equal equity of 38�
of the total project cost.
FIfJANCING - PARKING RAMP
The financing of tFie parking ramp is proposed to be an 876 bond issue .
in the amount of $3,560,000 with the proceeds to be used as follows:
-4- .
May 15, �980
Construction $2,802,200
Debt Service Reserve 336,200
First Years Capitalized Interest 284,800
Expenses 30,000
Underwriting 106,800
TOTAL $3,560,000
In addition, as additional security the Upbeat Corporation and/or the
entities involved in the St. Paul Hotel or the First National Bank of
St. Paul will provide a 5-year ]etter of credit equal to the total debt
service due for the 5 years following completion of construction. This
letter of credit will contain a provision for reduction on an annual
basis by 1/5th until the 5-year period has elapsed.
In addition, we are requiring that all earnings on the construction fund
on the parking ramp be held by the Port Authority as an additional reserve
for the full term unless needed. T�his additional reserve on which the
interest will accrue to the Port Authority is estimated to be $200,000,
which would be credited to the Upbeat Corporation at the end of the term
or when the options are exercised.
Dain, Bosworth is representing the Developer Limited Partnership for
syndication of the limited partnerships and the financial calculations
related to the IRS regulations are being prepared by Coopers.& Lybrand,
� CPA's.
5. UNDERWRITING AGREEMENT
Both of the 876 issues, totaling $13,560,000, will be publicly sold and
Miller & Schroeder Municipals have presented us with an underwriting
commitment to purchase the bonds. The rate of inter�st wi11 be based
upon the market rate for 876 bond issues at the time of closing. The
taxable bonds will be purchased by the First National Bank of St. Paul .
6. TERMS OF THE LEASE
The term of the agreements for both projects will be 30 years from the
nominal date of the bonds and the terms do contain an option to purchase
the buildings and land and the subordinated land at the end of the term
for �1 .00.
The bond issues are structured to defer principal for the first five years
and rental payments will be made monthly in advance on a level debt basis
for the full term of the bonds.
The Port Authority 'will charge fees on the hotel project equal to the
fees which were negotiated by the Planning and Economic Development
Department under their general fee schedule which calls for 1� of the
principal amount paid at closing and 1/lOth of 1% on a declining
basis annually thereafter for the entire term.
� � . - -5-
May 15, 1980
In addition, the Port Authority will earn all interest on the sinking
funds and interest on the reserve fund for the full term. The reserve
fund, as is customary under 876 bond issues where it is capitalized in
the issue, will ' be repaid to the company or used to pay the last pay-
ments of rent if the facility or the bond issue is not prepaid in advance.
The fiscal and administrative fees on the parking ramp will be as
follows:
.36% per million per year for the first 10 years $12,816
.43% per million per year for the second 10 years 17,088
.60� per million per year for the third 10 years 21 ,360
The Port Authority will also retain all earnings on the sinking fund and
the debt service reserve fund for the full term of the parking ramp issue.
The Part Authority has reviewed the financial projections by Meridian
Financial , the analysis of the project by Prof. Paul L. Gaurnier,
Professor of Management, School of Hotel Administration, Cornell
University; the Harris, Kerr & Forster feasibility; and have related
these data to the Port Authority"s Hotel/Motel study performed by
Bordner & Associates related to need for additional hotel rooms, and
are convinced that this project can be successful , not only because of
the 38% equity subordinated to the debz but because of the past per-
formance of the principals in the Developer Limited Partnership in their
various endeavors.
The restoration of this hotel and additional construction on the block
will not only create a substantial new real estate tax base but it will
employ upwards of 300 persons, provide a foundation for needed downtown
� housing development and rehabilitate a vital block in St. Paul ' s down-
town. It will also have an impact on several other projects financed
by the Port Authority, such as the Lowry Development project comprised
of the Lowry Medical Arts building, the 5th Street building, the Wabasha
Street building, and the parking garage, as well as Capitol Square (Lawry
Hotel . ) It will also provide an additional skyway link to other down-
town facilities.
We have further, requested that the Developer Limited Partnership, now
that the terms of the financing can be determined, provide us with an
additional financial analysis prior to closing for use in obtaining
the 'A' rating from Standard & Poor's.
Since this is a syndication and a limited partnership, it is a non-
recourse lease and the security for the mortgage is the property and
the equity and subordinations. There are no personal guarantees.
� � .
-6-
May 15, 1980
7. RECOMMENDRTIONS
As a part of our recammendation for action at this time we would like
to point out that the documentation related to each of these elements
that require Port Authority execution must be forwarded to Washington
for UDAG purposes by May 27.
Based upon our findings it is our recommendation to the Board of Com-
missioners that the necessary Public Sale Hearing be heid relative to
Resolution No. 1642, and the following Resolutions be adopted:
Resolution No. 1643 - Approving the Preliminary Agreement authorizing
the sale of bonds for the St. Paul Hotel Project -
Series A $10,000,000 tax exempt 876 bonds,
Series B $2,000,000 taxable bonds for the Jeff II
• Developer Limited Partnership (DLP) ; and
Resolution No. 1644 - _Approving the Preliminary Agreement and authorizing
the sale of bonds - $3,560,000 876 bonds for
parking ramp construction for Upbeat Corporation.
EAK:jmo .
Attach.
e
� '
_ , �
. . 2�'����.
Resolution No. 1644
RESOLUTION OF
THE PORT AUTHORITY OF. THE CITY OF SAINT PAUL ,
WHEREAS, the purpose of Chapter 474, Minnesota
Statutes, known as the Minnesota Municipal Industrial Develop-
ment Act (hereinafter called "Act") as found and determined by
the legislature is to promote the welfare of the state by the
act�ve attraction and encouragement and development of economi-
cally sound industry and commerce to prevent so far as possible
the emergence o£ blighted and marginal lands and areas of
chronic unemployment and to aid in the development of existing
areas of blight, marginal land and persistent unemployment; and
ZiriE?tiAS, factors necessitating the active pror*iotion
and development of economically sound industry anc] commerce are
the increasing concentration of population in the metropolitan
areas and the rapidly rising increase in the amount and cost of
governmental services require,d to meet the needs of the
increased population and the need for development of land use
which will provide an adequate tax base to finance these
increased costs and access to employment opnortunities for such
gopulation; and
WHEREAS, The Port Authority of the City of Saint Paul
� ( the "Authority") has received from the Jefferson Company
(hereinafter referred to as "Company" } a request that the
Authority issue its revenue bonds to finance the acquisition,
installaticn and construction of a public parking facility
(hereinafter collectively called the "Project") on property
adjacent to the St. Paul Hotel .in the City of St. Paul, alI as
is more fully described in the staff report on file; and
t9HEREAS, the Authority desires to facilitate the
selective development of the community, to retain and improve
its tax base and to help it provide the range of services and
employment opportunities required by its population, and said
� � � '
Project wi11 assist the City in achieving that objective. Said
' Project will help to increase the assessed valuation of the
City and help r�aintain a positive relationship between assessed
� valuation and debt and enhance the image and reputation of the
City; and
WHEREAS, the Project to be financed by revenue bonds
will result in substantial employr.ient opportunities in the
Project;
WHEREAS, the Authority has been advised by repre-
sentatives of the Compar�y that conventional, co�:unercial .
financing to pay the capital cost of the Project is available
only on a limited basis and at such high costs of borrowing
that the economic feasibility of o�erating the Proje.ct would be
significantly reduced, but the Company has also advised this
' Authority that with the aid of revenue bond financing , and its
resulting 1 ow borrowing cost, the Project is econoMically r�ore
feasible;
W�EREAS, P�iller � Schroeder Plunicipals, Inc . ( the
"UnderUriter") has mac�e a proposal in an agreement ( the
"Underwritir.a Agreement") relating to the purchase of the
revenue bonds to be issued to �finance the Project;
WHERrAS, the Authority, pursuant to Minnesota
Statutes, Section 474 . 01, Subdiv?sion 7b did publish a no�ice,
a copy of Which with proof of . publication is on file in the
office of the Authority, of a public hearing on the proposal of
the Comnany that the A�thority finance the Project hereinbefore
described by the issuance of its industrial revenue bonds; and
'v7�iEREAS, the Authority did conduct a public hearing
pursuant to said notice, at which hearing the recoru:iendations
contained in the Authority' s staff inemorandum to the •
Commissioners were reviewed, and all persons who appeared at
the hearing were given an opportunity to eapress their views
with respect to the proposal.
NOW, THEREFORE, BE IT_ RESOLVED �y the Commissioners
of the Port Authority of the City of Saint Paul, Minnesota as
follows:
l . On the basis of infor::iation available to the
Authority it appears, and the Authority hereby finds, that said
Project constitutes properties, used or useful in connection
with one or nore revenue producing enterprises engaged in any
business within the meaning of Subdivision la of Section 474 . 02
of the Act; that the Project furthers the purposes stated in
Section 474 . 01 of the .Act, that the availability of the
. • ' financing under the Ac� and willingness of the Authority to
furnish such financing. will be a substantial inducement to the
� Company to undertake the Pro�ject, and that the effect of the
Project, if undertaken, will be to encourage the development of
� � economically sound industry and commerce and assist .in the � -
prevention of the emergence of blighted and marginal land, and
will help to prevent chronic unemployment, and will help the
City to retain and improve its tax base and provide the range '
of services and employment opportunities required by its -
� populat�ion, and will help to prevent- the mo�ement of talented �
and educated persons out of the state and to areas within the
state where their services may not be as effectively used and
will result in more intensive development and use of land
within the City and will eventually result in an increase in
the City' s tax base; and that it is in the best interests of
the port district and the people of the City of Saint Paul and
in furtherance of the general plan of development to assist the
Company in financing the Project.
2. Subject to the mutual agreement of the Authority,
the Compar.y and the purchaser of the revenue bonds as to the
details of the lease or other revenue agreement as defined in
the Act, and other doc�ments necessary to evidence and effect
the financing of the Project and the issuance of the revenue
bonds, tre Project is hereby approved and authorized and the•
issuance of revenue bonds of the Authority in an amount not to
exceed approximately $3, 560, 00� (other than such additional
revenue bonds as are needed to complete the Project) is
authorized to finance the costs of the Project and the
recommendations � of the Authority' s staff, as set forth in the
staff inemorandurn to the Commissioners which was presented to
the Commissioners, are incorporated herein by reference and
� approved.
3. In accordance F�ith Subdivision 7a of Section
474 . 01, P�iinnesota Statutes, the Executive Vice-President of the
AUTHORITY is hereby authorized and directed to submit the
proposal for the above described Project to the Commissioner of
Securities , requesting his approval , and other officers ,
employees and agents of tne AliTHORITY are hereby authorized to
provide the Corunissioner with such prelir*iinary information as
he may require. �
4. There has heretofore been filed with the
Authority a form of Preliminary Agreement between the Authority
and Company, relatii�g to the proposed construction and
financing of the Project and a form of the Underwriting
Ag reement. The form of said Agreements have been examined by
the Cor.unissioners. It is the purpose of said Agreements to
evidence the comr�itment of the parties and their intentions
with respect to the pr�posed Project in order that the Company � �
may proceed without delay with the commencement of� the .
, ' acquisition, installation and construction of the Project with
, the assurance that there has been sufficient "official ac�tion"
' under Section 103 (b) of the Internal Revenue Code of 1954, as
� amended, to allow for the issuance of industrial revenue bonds
( including, if deemed appropriate, any interim note or notes to
i provide temporary financing thereof) to finance the entire cost :
� of the Proj ec t upon agreemen t be ing reached as to the ul tima te
details of the Project and its financing. Said Agreements are
hereby approved, and the President and Secretary of the
P,uthority are hereby authorized and directed to execute saiu
Ag reemen ts.
5. Upon execution of the Preliminary Agreement by
the Corr.pany, the staff of the Authority are authorized and
directed to continue negotiations with the Company so as to �
resolve the re�ain ing issues necessary to the preparation of
the lease or other revenue agreement and other documents.
necessary to the zdoption by the Authority of its final bond
resolut�on and the issuance and delivery of the revenue bonds;
� provided tnat the President (or Vice-President if the President
is absent) a,nd the Secretary (or Assistant Secretary if the
Secretar� is abser.t) of the Authority, or if either of such
officers (and his alternative) are absent, the Treasurer of the
Authority in lieu of such absent officers, are here�y
authorized in accordance with the provis�ons of P�Iinnesota
Statutes, Sec�ion 475.06, Subdivision 1, to accept a final
� offer of the Underwriters made by the Underwriters to purchase
said bonds and to execute an underwriting agreement setting
forth such offer on behalf of the Authority. Such acceptance
1 be sub 'ect
shall bind the Underwriters to said offer but shal �
to approval and ratification by the Port Authority in a formal
supplemental bond resolution to be adopted prior to the
delivery of said revenue bonds.
6. The revenue bonds ( including any interim note or
notes) and interest thereon shall noc constitute an
indebtedness of the Authority or the City of Saint Paul within
the meaning of any constitutional or statutory limitation and
shall n
ot constitute or ive rise to a pecuniary liability of
9
the �uthority or the City or a charge against their general
credit or taxing powers and neither the full faith and credit
nor the taxing powers of the Authority or the City is pledged
for the payment of the bonds (and interim note or notes) or
interest thereon.
7 . In order to facilitate completion of the revenue
bond financing herein contemplated, the City Council is hereby
requested to consent, •pursuant to Laws of Minnesota, 1976,
Chapter 234, to the issuance of the revenue bonds (including.
ahy interim note or notes) herein contemplated and any
additional bonds which the Authority may prior to issuance or
from time to time thereafter deem necessary to complete the
Project or to refund such revenue bonds ; and for such purnose
.
. , ��41
. � * �'��
• J
the Executive Vice President of the �uthority is hereby
authorized and directed to forward to the City Council copies
� of this resolution and said .Preliminary Agreement. and any
additional available information .the City Council may request.
. 8. The actions of the Executive Vice-President of
the Authority in causing public notice of the public hearing -
and in describin.g the general n�ature of the Proj ect . and _ • _
estimating the principal arnount of bonds to be issued to �
finance the Project and in preparing a draft of the proposed
application to the Commissioner of Securities, State of
Minnesota, for approval of the Project, which has been - �
available for inspection by the public at the office of the
Authority from and after the publication of notice of the
hearing, are in all resnects ratified and confirmed.
Adopted Mav 2D� 1980 //�
/�/ �
Attest / ,�/'`-�_�.�� - � - - � !� -G�—.
> ' L��t� Preside
� The Pc��Authority of the City
' ,. of Saint Paul
,�=f'�./-Z ' . '��llC :+-rt,
5ecretary
-/ ' ! .��L.l�
` � `� pc�, �so . oC�
,
t_,�)�I 1�. �1 m� '
ant: �'atay tionno 4�21�80
�
opert� Addre ss: 2338 t��rsha 11 Ave. -�����
�:;
,� This letter to: Cits Council of St Paul, D;inn. .,. .
k �F,�..
s
a
V :v
I hereby respectfull� request that the variance to allow one additional
Unit at 2338 Merahall Ave, which was disallowed b� the Board of Zoning
Appeals, be granted at thia time. An� hardship that exists ia self
created, true, but thia tinit waa installed a couple of Sears ago becauae
the ap2ce was juat being wasted and �► coats were going up greatl�,(letter
of utility expense ia encloaed).
The letter from The Diviaion of Houaing, atatea, gran�ing relief cannot
be made, without imparing the intent and purpose of the ordinEnce. Well,
in reading from a manual which I saw at the Diviaion of Hou�ing, it stated
the reaaons for not allowing baaement Unita in general. Mainley it aa�a
thev do not allow; 1. adequet� Light, 2. adequate ventilation & 3. ea s�r
exit in the event of an emergencT. Tnia Unit haa 5 double hung windowa,
four are 58 inchea wide b� 50 inchea high and one ia 40 inchea wide by 50
inches high, ao it has adequate lighting and ventilation. Also( aa per
blueprint attached) An �xit door from the bedroom Would bm inata lled to
provide ea� exit aa it would be just 2'4" below grade in that area.
�ant3.ng thia variance would have no detrimental effect on propert7
within the surrounding area becauae it iS comple��lg s�lf contained.
I thank �ou kind�,� for sour conaideration on thia matter.
3incere],T,
�•
� j
j ; l.,;� 1 �f j�ti^J.. .
; � . , .
Pa t s�r'Monno
�;
��� rY�no
19� (��}- �Jc�-b 1� Lo�-�
� ��-. Pc�.u.� �