All right. Uh, thank you everyone for coming. We're going to get started here in just a second. So, this is just for everybody's awareness. Um, we did put out some closed schools for bid last year. Only a select few. They were mostly located on
they included Goldblat, Debt, Calhoun, um, and oh, that was it. So those three we put out to bid last year. We got bids on two of them. One of them was sold. It was the former Calhoun School. It was sold to Saint Vincent Marillac Family Services. Or maybe I'm flipping that
maybe Marilac St. Vincent Family Services. And they're looking to turn the former Calhoun School into a community center and a community hub for social services. Um the Goldblat School we got a bid on but the bidder did not have sufficient proof of financing. So, we
were not able to take that that uh bid to our board for approval. Um, in contrast with last year, we've moved this uh sale process, the bid process out to not just three schools, but to 20 of the closed schools. There was a
consideration to include this building as well. However, this building is not included in the bid process at this time. We need additional further community engagement before uh we we have any plans to proceed with this one. and the city may have its own thoughts
on what to do with this site. So, this site is on hold for now, just to make everyone aware. Um, but we do have 20 other closed school sites, vacant school sites that are for sale through this bid process. So, today, uh, it's largely
intended to be anformational meeting. We're here to discuss the bid process, the board approval process, site specific information, potential development incentives, and success stories on prior vacant school redevelopment projects. A
recording of this meeting will be posted on the CPS YouTube channel for for later viewing. We're potentially live casting it, but the internet is uh the Wi-Fi is a little weak here, so we may not be able to w uh live cast it at this moment.
So, I'd like to uh introduce my my team members here. Uh Jason, Milton, uh Venny, and um Mike, and Nicole, if you don't mind stepping up for a moment. Um on the team, we have Jason Powell. He's our property manager. He's been leading
uh daily walkthroughs of the 20 closed school buildings. So, if anybody is interested in conducting a site visit of one of the closed schools, Jason Powell will lead you on the the way. Um he's been with CPS since 2019 and uh a very good asset on our team. Next is Milton
Flint. He's our real estate specialist. Milton handles all of our day-to-day real estate agreements at the school level. Um Alex Kokan, another team member. He couldn't be here today, but he's our uh he's our real estate analyst and he focuses more on the research,
legal descriptions, and so forth. Um and then myself, my name is Steven Staltz. I'm the real estate director. And we also have our executive executive director of capital and planning and construction, Venny Dy. Uh, also we have our real estate
broker team from CBRE, Mike Nardini and Nicole Menon. And then finally, Sarah Wear is our uh with Wear Realy Group and she's working together with Mike and Nicole on on this effort. So, thank you all for
coming. Now, this slide is a little dense. Uh I'll take it slowly but this is probably one of the most um important slides to to view and get familiar with here. This slide out outlines the process the bid process. So we started by posting the bid solicitation online
on March 14th and it was also advertised in the newspaper on for three consecutive weeks starting March 15th, the 22nd and the 29th. part of the process. Uh the bid solicitation strongly recommends that
interested bidders obtain a position letter from their local alder person and the locally elected and appointed board members for the CPS board. That's not a requirement, but it is a strongly recommended deadline. Uh so any
questions or answer questions about the bid process should be posed through email to sbertton cps.edu edu and the cuto off for questions is May 16th at 200 p.m. Any questions you ask through that that process will be posted online
for other potential biders to view and the responses will be posted as well so that everyone is aware of the the question and response. And finally, bids are due to CPS office on May 30th at 4 p.m. They are due. Hard copies are required because an earnest check, an
earnest uh money deposit is required with your bid submission. So, they're due to the CPS main office at 42 West Madison by 400 p.m. on May the 30th. So, once bids are received, CPS will pull together an internal committee
to determine if the bids meet the minimum bid requirements and to select the top two highest and best responsible bids for each site. After we select the t the two highest and best responsible bids, we will schedule meetings with the local alder
person as well as our local board members to discuss the proposals and help guide a community process. From there, we'll schedule community meetings to present the redevelopment proposals for each site to the local community. If a site receives two competitive
proposals, then both plans may be presented at the same meeting. After there, we will proceed to the CPS board for approval. After CPS board approval, because title to our properties is not held by CPS, all of our properties held
either by the public building commission or the city of Chicago in trust for the schools. So, after our board approves, the next step would be formal approval by either the PBC or the city council. Finally, after all approvals
have been had, we will set a closing date. Uh and once the parties have conduct you know completed get gotten everything in order we'll close on the property and bidder will become the owner of the property per the Illinois school code.
So this process is not necessarily uh guided by procurement rules. There is a state statute that dictates how we must sell these properties. We are required to put them out to bid for any property valued at $25,000 or more.
So if there is more than one responsible bid, we can negotiate separately with the two highest and best offers and a and then eventually we we can uh go through our process like I mentioned, conduct community meetings and if there's still two strong proposals at
the end of the day that have community support, we can present both the two highest and best offers to our board and they can determine which offer, which bid to approve. move. So, uh let let me take a quick
step back in time here. Um we all realized that the closure of the schools was a very sensitive and traumatic experience for many at the time. After about 50 clo schools were closed in 2013, the city and CPS
committed to a community engagement process in an effort to identify potential uses for the closed school buildings. And they formed an advisory committee of real estate professionals, community members, and elected officials. The committee's goal was to identify end uses that would support the
redevelopment of the buildings in a way that would provide benefits to the community with the committee recommending that the proposals that provide the most benefits should be prioritized. As was mentioned, the closure of the schools was a detriment on many of the communities where these
buildings are located. And the goal of the committee is to really turn these buildings into an asset so that they're not a blight on the community. The goal is to redevelop them in a way that provides community benefits. This is a very important factor to consider when
seeking support from the local local person as they may be more willing to provide support for projects that include tangible community benefits. This this can be allowing this can be allowing public use of a green space near a school that's part of the the
school property or even allowing uh providing community programming time for a school's auditorium. Other community benefits would be low-income housing, senior residents. Um there's multitude of uses that carry a you know that would
also provide benefits to the community. This uh next slide is really focusing on the bid solicitation document itself. The key sections that must be completed in order to have a complete bid that will be considered is to complete section two, the offer to purchase real
estate. This is located on pages 6 to 10 of the bid solicitation packet. Next is exhibit B of the bid solicitation packet. It's downloaded separately from the bid document. Exhibit B is the city of Chicago's economic disclosure statement. It's
required for city council to take action on any item. Without that document because title is held by the city of Chicago in many for many of these sites, we will not be able to get approval. So failure to complete exhibit B or section two or
exhibit C or exhibit D will preclude the the consideration of your bid. So, please pay very important play pay very close attention to this slide if you're if you intend on completing a bid because all of these are required submissions. Exhibit C is the use and
redevelopment proposal. That's the section of the bid proposal where you're going to explain your your proposed use for the the redevelopment of the school um as well as um your development proposal. So that would include a
timeline and uh other factors that uh explain your plan how you will redevelop the property, who will use the property, um so on and so forth. Exhibit D is the CPS bidder's disclosure form and as
mentioned above about exhibit B, this is another required disclosure form. Without it, we will not be able to consider your bid. Lastly, any uh the minimum bid set for various school sites is different across
the various schools, but the earnest money deposit is the same for every site. So, it is a requirement that the the bidder sub uh provide a certified or cash cashier check in the amount of $25,000 made payable to the board of
education of the city of Chicago. And I'm sorry, one more important point to note is all documents must be signed with original signatures. We do not accept digital or uh pasted signatures. They must be signed uh by hand with a
pet a pen. We'll call that a wet signature. Use restriction. Just so everyone is clear, all properties listed for sale include a use restriction. The use restrictions include no sale uh
I'm sorry, the property may not be used for the sale or manufacturing of liquor or tobacco products. So if you're if you intend on submitting a bid, one of your uses cannot include liquor sales or tobacco sales or manufacturing of liquor
or tobacco products. Also, that there's a restriction that any of this these properties for sale cannot be used for a K to2 charter school. Um, we we noticed a little discrepancy here that we're
going to have to provide further guidance on. Currently, the restriction says no K to2 charter or school. Um there's the potential that we may amend that to just not allow charters so that if a private school were interested in
purchasing um that that's something we're currently deliberating on and if we make an adjustment to that it will be posted on the bid page under addendums. So if if either of those restrictions are breached, the CPS will have the ability to to take the property
back. So it is a pretty um strong restriction. Finally, biders are required to obtain a certificate of occupancy or to demolish the improvements on the property within 5 years of the date of the deed. The date of the deed where we CPS conveys the
property to the bidder. unless this requirement is waved or extended by our chief operating officer or the board. To give you a little background, we several of the closed schools that have sold in the past are still sitting
there. Our goal is not to sell these properties for someone to sit on them for years and years and then when the opportunity is ripe for them to flip them. Our goal is for these buildings to be transformed and redeveloped in a relatively short order. We are putting
this 5-year limitation in order to ensure that the bidder has a plan to pursue the redevelopment within that 5-year period. If at the end of the 5-year period there's been zero progress, we will act upon this um this
restriction and and seek seek uh the property back from the bidder. If the bidder is making diligent efforts to redevelop it within that time frame and we've hit the five-year mark and
it's not been completed yet, but it's evident that the work is underway, then we will seek an extension. We will support an extension through our COO or our board to extend that time period. So, uh, at this point, uh, we've
gone through generally the bid process. I'm going to hand it over to Jason Powell and Mike Nardini to uh go through the site specific information. Thank you. Thank you. Hey, good morning everyone. Thank you so much for coming out.
Um taking you know an hour or so out of your day to talk about this, you know, important topic and uh these schools specifically. Uh we're going to touch briefly upon the 20 sites that are available in this current bid process.
Um these as you you know you know you live in Chicago that you know these schools uh are no longer in great condition. You know when they were closed in 2013 they were all active schools. They were all in good shape functional utilities. I mean pretty much
like the building you're sitting in now. Um over time they've just been, you know, broken into um vandalized, stripped. People take electric, people take plumbing, um break windows, any number of things. Um to the extent that,
you know, we were able to keep them secure. I mean, we we walk them on a weekly basis to make sure they're boarded up. Um make sure your windows aren't broken. Uh but, you know, things happen. If people want to break in, they're going to break in. So, it's an
unfortunate u occurrence and reality of these schools, but many of them are in rough condition right now. Um, specifically, this is 5345 West Congress. This is the former Armstrong School. There are two buildings here.
It's uh located on the west side. Um, both buildings are singlestory. Uh, one's one's 14,000 ft. The other's a little bit smaller. Um, these are not brick structures. Well, the the one on uh on Congress is not a brick structure.
It's kind of like a a modular type construction. Uh, it's one story. The gymnasium is a little bit below grade and there's a crawl space there. Uh, it is in rough condition. Um, the second building is located just to the north
across the parking lot there. I'm sorry, just to the south across the parking lot there. It's also in rough condition. It's also a singlestory uh building. Uh it's zoned RS3. Um it comes with a a very large parking lot. Um and it is
available for bid. Mike, feel free to chime in at any time on these if you and we and we've got a lot of information on all these schools, historic um floor plans, elevations, surveys. So if you're if you're digging into any one
of these schools that Jason's showing you, reach back out to us. we can find more information for you. And we actually have that posted on the on the site. Now, uh there's a disclaimer there on our bonfire site that says these documents may not be representative of
the current condition because they're old. I mean, some of these buildings are 100 years old or so. So, the plans, the ads built back 100 years ago certainly aren't representative of what they were now. and our facility assessment reports which were last done in 2013 aren't
representative of the current conditions as well. But you can download those docs from the bonfire website. Um we we'll take them at the end. This one so this this one is no this is not out to bid right now. It to bid but it is no longer out to bid right
now. Southshore. So, um, we can we don't it's it's not on a slide right now. Uh, there's going to be an a community engagement process for Southshore and Steve can touch more upon that at the end of this because I think he's been in touch with the alderwoman here. Uh, but this one is not currently
out to bid. It It was pulled from the bid. It was pulled. So, it is not for sale. It is currently not for sale. So, we're we're actually we're actually not here just for this school specifically. This is just where we're holding the meeting.
This is we we haven't comprised the committee yet that will review it. But as discussed previously, one of the strongly recommended submissions is a letter of support from the older person. That is a very important factor that
will be taken into consideration. So to take a step back on the bid, we're looking for the two highest and best responsible bids. So last year when we went through this process for other sites, we were looking
to comprise the committee of people including CPS employees, real estate professionals not engaged with us on this project, uh a representative from the city of Chicago and a community representative. Last year, however, because we only got one bid for the
Calhoun School, there was no need for the committee to make a recommendation. If we get multiple bids on a site, then the the committee will review them and weed out any that don't meet the minimum bid requirements. As I
mentioned before, if a certain section is not completed, that will not be able to go on for consideration. So, the committees will will have to select by state statute. This is not a process we've made up. It's governed by state law. I personally
am not happy with this restrictions that the state law passes puts on us. We cannot just go out and find any best party to negotiate with. State law dictates that we have to put them out through a sealed bid process. And that
also dictates that we have to select the two two highest and best responsible bids. It doesn't give us flexibility to to do it any other way. I I appreciate that suggestion and I think we're very we're very open to
considering additional community input for sure. Understood. And just to be clear, to take a step back again, though, any plan before it even goes to our board will be presented to the community. And we're we're not
interested in taking a a proposal to our board if it does not have community support. As you know, we have elected board members now. They're they represent specific districts. Well, my my point though is that they are elected representatives for the area
and that if it's not in the community's interest and that's clear, I it's not something we're looking to do to force down our board. Um, we want to we want to make sure that any redevelopment is successful and is not met with community opposition. Thank you. So, what I'll do, I'll I'll
just kind of rush through these slides, right? uh just to kind of give you a brief synopsis about what the properties are in case folks, you know, have questions about them later and then we can get to more questions and answers. Okay, so let me just Okay, bond bond temps. This is this
is bond temps uh in Englewood uh 58th in Racine. Um it's a three-story structure uh not not a not a brick structure. It's in it's in rough shape as well. Um it's right near the proposed Inglewood Trail. Uh so it has, you know, some good
possibilities there. Um uh it's a a lot of land, a lot of land there. Uh we have a lot of green space at that site as well. Uh but it is going to need a lot of work. I believe that green space is included. Yeah, the green space that's like between racing in the building.
Yes, it is. It is all the way to kind of to the railroad tracks from 58th to the railroad tracks. 7401 Chappelle. This is right down the street. Uh this is the Buchet annex. Um it sits on the corner there.
Uh it's a three-story building. Um it's been vacant I think longer than 13 years actually. Um it the school hasn't used it in a number of years. Um it's it's in really really rough shape on the uh interior. Um, it doesn't have any additional parking. So, the zoning is
RT4, but it is close to Jeffrey. So, I think there's a some kind of transportation allowance that you may be able to, you know, kind of get around the parking requirements for zoning depending upon what your proposed use is. Uh, 98th in Torrance. This is
Burnham Branch. Um, it's a singlestory building about 14,000 square ft. Uh, does have some roof leaks. uh building overall is in rough shape but not not terrible. Uh the the smaller buildings tend to be in a little bit better condition than some of the larger buildings. So the ones that are 14,000
square feet don't need as much work and also a smaller footprint. So it's going to be less of a an investment for you. This is uh also in that same area. This is Burnham Main on 96th Street 1900 East. It's also about 14,000 ft 14,000
ft single single story uh even in better condition than some of the others. um still when I say better condition, it still needs work. I mean, there's still going to be some environmental remediation that's required, but uh this is something you could probably get up and going a little more quickly. And it also sits on a large irregular shaped
lot uh in a residential community. 8131 May, this is the former, most recently it was the former Perspectives High School. Before that, it was Came. That's what everyone knows as Came. This is a large building. This is 300,000 square ft. Um actually most
recently it was used as a uh shelter during COVID. The city kind of took it over and it was a men's shelter for homeless men during COVID. Um so it was in good shape then. Unfortunately some some roof issues and some breakins some you know some pipes were stolen there.
Uh so there was significant water damage at that school. It's going to need a lot of work based on a large uh footprint and square footage. It's going to be a significant investment. Sits on a whole city block though. Um, so it's a a a good
property. 2306 West Maple. This was the former debt elementary school. Um, it's been demolished. It was out to bid last year. Um, there was a fire inside the building. I think last Memorial Day. Uh, the the damage was such that it was
unsafe for the building remains. We had to tear it down. So, it's now just a vacant lot, but in a great area, kind of near the corner of Lake and Western. You want to talk about the zoning on this one? This is these lots over in here are really Mike's forte.
Yeah. Um, you've got a split zoning. I believe the front portion is commercial and the rear up backed up against park is RT4, which is a residential multifamily. So, as you as you look through the slides, as Jason runs through, be be aware of the zoning on a
school that you're interested in and reach back to us because we can help you with any questions. If your use doesn't align with the current zoning, reach back. You know, Nicole, me, Jason, Sarah, we'll help you through your zoning questions. But, as you can see, each one of them has a zoning
characteristic and you'll have questions on the future development. If you're interested in this site, there's a park adjacent to it just to the south. Uh the CPS property does not include that park. So, it just goes to kind of the sidewalk line and then north to Lake
Street. 6145 Engleside. This is the former Fisk Elementary. Uh there's an active Fisk as well. So, if you put in Google Maps, you're going to see the active school. This is the closed Fisk Elementary. Um it's uh three stories
plus a kind of a subb. So that that bottom story there is the the basement level. Um it needs work as well. Has a auditorium kind of a gym that's maybe a little bit bigger than this one. Uh but doesn't have as nice seating or a balcony. Um but that's right off of the
uh the street. So it could actually has a really good opportunity for community use there. A very large parking lot as well. And of course, it's um you know, in an area of Woodlon that's that's uh you know, kind of you know, thriving um near the university, near the uh Obama
Presidential Center and uh just off of Cottage Grove. Um this is the Where is this Adams? This is the former Goldblat, right? Yeah, former Goldblat. Um this uh is the school property and a parking lot
plus a small residential vacant lot across the street to the north. Uh this building is in one of the more challenging conditions. So it's going to need a lot of work. Um a lot of work required here. 1326 Avers. This is the former
Henson uh in North Lawndale. Um it was under contract that uh purchase agreement fell through a couple of years ago I think. Um again needs a lot of work. Um sits on uh sits on the whole city block. I think it sits on the whole
city block there as well. Um three stories. Good potential there. On 104th in state uh there are the cone buildings. This is in Rosland. This is the cone annex building which is a little bit newer than the main
building. uh three stories. Um does need some work, but it's not terrible. Doesn't have functioning electric or HVAC right now, but uh if you walk that building, you'll see that the uh cost required to get that, you know, active is going to be a lot less than some of
these other buildings. And this is right on the corner of 104th in state. And then on the other end of this lot is 1004th in Perry, the cone main building, uh which is a larger structure, uh 70,000 36,000 square feet
seems larger than that. Um I have to check that square footage. Um but it it needs work. Needs a lot of work and it's masonry work, some roof work. Uh these buildings are being sold separately. If you want to bid on them and you know acquire the whole lot, you would have to do two separate bids of course, but
they're both available as well as the green space in between. This is the former Morgan Elementary School. Uh right at the corner of kind of like 84th in Vincens, just under the vioaduct. Uh it's a steel structure. Um needs a lot of work. Uh significant
water damage there. Um irregular shaped lot plus a couple of residential lots down Burkhoff. This is the former PRI also in uh in North Lawndale. Well, village
North Lawndale. Um, three stories. Uh, doesn't sit on a whole block. Kind of an irregular shaped lot. Again, abuts the railroad tracks from Surac to the railroad tracks there. Um, is going to need a lot of work as well. Considerable
work. This is the former This Oh, this is um Parkman. Former Parkman. There are two buildings here. Um this is at the corner of 51st and the Dan Ryan. So on the uh on the west side of the expressway. Uh the main building is this
kind of a a three-story structure. Beautiful architecture uh here at this building. Um needs a lot of work, but the uh utilities are active here. Uh we have an active heating system here, active electric system. uh still going to need considerable abatement work um
and other renovation to get it up and going, but it does have functional utilities. Uh there's another building just to the south of it. Well, I'm on that same lot. There's a smaller building, the uh the annex. Is the annex included in this? That Yeah, the annex
is included in this. So, there's a smaller building on that same lot that's a two-story structure made 14,000 ft or so. Um it's in great shape. Uh it was being used prior to the pandemic as an eye clinic. Uh the Illinois Eye Institute leased
that building from us. It was an eye clinic for the community and for our students. Um so it's classroom setup, but they kind of had, you know, kind of clinics set up in there. Uh the heat for that building comes from the main building. So there pipes that literally
run underground to that building. So if you wanted that building to be a setalone building, you would have to, you know, install an HVAC system there, but otherwise has fully functioning utilities. The building's in good shape. And there's also um some vacant grassy
area adjacent to the expressway that's included in that building. Have a specific question about this one? Yep. I think it's for both that that's for both buildings. uh mainly because of that, you know, kind of uh married uh HVAC system there. It's it's a boiler
system, right? Um I think that's a boiler system, Rob, isn't it? Yeah, park. It's a boiler system. Um mainly because of that system and kind of their proximity on the lot, but good opportunity for good visibility to the expressway. You know,
it's right off of 51st and Nan Ryan. Um and actually, yeah, no, it doesn't have it. This is Did I go back? Sorry. By Mr. Ross. We'll have Oh, thanks. Um, this is the former Ross. Uh,
it's on 60th in Waw Bash. Uh, it's a three-story structure. Um, sits on a city block. Uh, well, not an entire city block from Waw Bash to the alley and then all the way from 60th to 61st.
Right. um needs a lot of work. It's a a sturdy building though. I mean, the building envelope itself is in good shape. All the utilities will need to be revamped there. This is the former shed in uh what um Westchester
uh section of uh of Rosland there near Chicago State and uh the DMV 200 East 99th Street. It's a 14,000 singlestory building. Um, it's going to need some work, but it's not in terrible shape. I mean, if we had to rate it, it's kind of a B
condition, you know, u on a full on a full block. I mean, sits on a full city block uh residential area. It's actually it's zoned manufacturing, so it's zoned M1. So, based on your potential use, you certainly have to go to DPD and the alderman to uh talk about your potential
use and the zoning there, which is going to be required for all these properties, of course. I mean, so you know, your next stop from these meetings. Yeah, reach back anytime. We'll be able to help you through the zoning issues. All right. This is the former
Wadssworth, um, which is was, you know, last in the news, of course, as the city used it as a migrant shelter. It's in very good shape. Um, it's 64th University in Woodlon. It's a three-story building. Was built in um with I think two additional additions.
So, you have the main building plus two additions, all of which are in pretty good shape. Still would need some environmental remediation, you know, depending upon what you want to do. Um, but the building itself is in good shape. 120,000 square ft. There are some vacant I think a couple of vacant
parcels here there. We're not including those vacant parcels. We're not including the vacant parcels. There is a small parking area to the north as well and a little bit of parking just to the west of the building. This is the former Wentworth. Again, a building that was built in a couple of
uh with a couple of additions. Really wonderful architecture in this building. Um the corner of uh 69th is the Salvation Army has a a fairly new center there. Uh this sits on a very large pars
of land. There's actually uh a telecom antenna on top. So, it does have some income that will be sold, you know, with the property. Um I don't know the how long that telecom contract is and we're not kind of, you know, it's it is what it is as is. So, that's something that
if you bought, you'd have to negotiate with them later, but right now it's there. Uh building itself needs a lot of work, though. But really cool building architecturally, you can do a lot with it. That's it. Yeah. I have one comment from Jason. Uh, pay attention to those
pin numbers, those tax pin numbers that you see on every one of our schools and on your bid form. And they're pretty easy to check on the county website. You know, it's an aerial. You'll see the text because when we say we don't include this parking lot and we do
include that, look at the pin numbers, get a grip on what the offering from CPS is. And again, if you have any questions at all, you know, we're here to answer for you. And we're still showing these schools probably for another 3 weeks or so prior to the bid deadline. So, if you
uh reach out to real estate cps.edu with an email or reach out to Mike, Sarah, or Nicole uh with an email or a phone call, uh we'll set it up. I have kind of We're not just doing open houses. Um it's it's just not that kind of, you know,
property. We want to just everyone kind of walking through. It's not they're all not just in that condition, but we do have set times that we're going to show all these properties. I think we'll be showing all of them and probably at least a couple more times. Uh some folks in here actually have been walked through some of these properties
already. So, yes, ma'am. The the plan really is to communicate further with the city of Chicago about their intended plan for the building. They do have a lease agreement for the site. Um, we also need to get on, you
know, to coordinate better with Alderman Harris's office because, you know, at the this school was not never intended to be on and it was a lastm minute decision that we made without properly vetting it. So, I take full responsibility for that. We have pulled
it. It's already been removed from the bid. We don't know yet. I think further community dialogue is needed before we h, you know, make any plans for what will happen to this building. So, we we've promised Alderman Harris that we will engage her office
and the community before moving forward on this property. So, I'll we we had a meeting with her and uh I'll be in touch with her chief of staff. I think he's her chief of st Al Ryder to to work on getting some meetings set up for the community. But
there's no currently there's no plan. We we pulled it. There's no plan to do anything until we like I said engage the community further and make sure that what the city's plans are for this property. Yes, you can. So, that's actually one of the questions that are we'll go over at
the end, but you can bid on any number of schools and I'll get into the details of that later. Um, I'm going to turn it back to Mike. Uh, Mike can go over some of the potential development incentives. For example, um, I'm not an architect, so I can't stand here and tell you what
may be eligible for historic preservation tax credits, but Wentworth would be an example that would likely meet the criteria. But Mike can go into further on the other all the whole array of uh potential development incentives
that may be available. Yes, that's that yes that is. Okay. Um development incentives and and uh opportunities to finance your repurposing plan. This is a small sample
of what we've seen with the 20 or so schools that we've sold over the last decade. and they they keep coming back and back. And again, these are some complicated, some are not. Reach back to anyone on the CPS team with financial
questions because you're going to be looking for purchase redevelopment equity, redevelopment debt, and you're going to be looking for ways to help you with that. And just briefly to run through, we've seen for housing, we've
seen tax credits at 4%, you you file with the city, you request with the state, you request with the feds. Um they're tax credits. They help you come up with equity to get financed on what you're about to spend on these buildings
for your use. We don't know your use. If it has a housing component to it, there's several low-income tax credits for you. We've seen them. Property tax credits. Um, local initiative development loans uh from Lisk, they
were on five or six of our schools for the next phase of repurposing, the next phase of uses. And we can get our team can get a lot more information for you. This is a very small sample. There are a lot more grants available. City of
Chicago website, State of Illinois website, grants and help for you to get to where you need to be to buy these and spend money to get your new use operating. Uh Jason touched up on historic tax credits. That's probably
happened four or five times on schools like Steve showed you that picture. Um, if you have a historic characteristic or an element, request historic tax credits, federal. They help. Um, new
market tax credits, transportation development bonuses, city of Chicago development grants. Go to the website, look them over. The city wants you to succeed as much as we do. Um, and then of course, opportunity zone. It's
probably um that's complex. that window is kind of closing. Um there's a deadline to opportunity zones, but it can help. And if you have any questions at all, this is a small sample of what we've already seen on the schools we've sold, and they change every day. But
feel free to reach out to the team. We'll help you u piece these this capital together. Thank you, Mike, and thank you, Jason, as well for running through all the properties. So, we're almost coming to an end. Uh, we have a few more slides, so I'll run through them pretty
pretty quickly here, and we will touch on the the questions that were raised here. So, this is a slide really looking at the potential for historic designation. This is moreformational. Um, it it outlines criteria that could
enable a property become landmarked. And to become landmark, a city of Chicago landmark, you have to meet two at least two of these seven criteria. Anything from uh you know critical part of the city's heritage,
significant historic event, significant person, important architecture, important architect, distinctive theme or uh theme as a district, and unique visual features are all characteristics that would lend them to become designated a historic landmark.
This is a property details table. It really is just a composite table of all the sites we ran through with the building square footage, land square footage, zoning, uh indication of whether it's located in a tiff district and whether it meets it's a transit oriented development
site, usually within a requisite distance of a CTA station or bus line. This is posted on the CPS real estate website and uh I'll pull up that in a moment with the important links. Um there's some success stories we'd like to highlight. Um I wasn't as involved.
These occurred before I came on board with CPS, but the Aspire Center is the former EMTT school. They uh have their groundbreaking very soon. They've turned this former school into a community center. Um it's a fantas fantastic redevelopment project. And again, this
is an example of how somebody with a vision can turn one of these vacant buildings into a real community anchor and a community asset. Another uh school is the former Drake Elementary School at want to say
it's 2700 block of South King Drive. Uh they purchased the former Drake School, another close school, redeveloped it into a union hall. They did an amazing uh job of the redevelopment and can't believe that it was a former
school. Um some important links. So repurposing website, CPS building repurposing website. Uh this website provides the table I showed earlier. It has those property information sheets for each and every one of the
properties. Um it's an important resource for you. There's also I've linked the report of the advisory committee for school repurposing and community development. This is what I spoke about at the beginning when the schools were closed in 2013, how the city and CPS came
together to coordinate on a plan for how these properties could be redeveloped in a way that would provide benefits to the community. And that is a very important factor when we're considering bids. Um, for additional information, uh, I have Nicole and Mike's, uh, contact
information here. And Jason, sorry, I put your personal email. I should have put the You could use Jason's personal email. Just don't spread it over the internet. Um, or the other uh, email is
cpsrealestatecps.edu. I'm sorry, it's re real estate atcps.edu. And then finally, uh, a a link to this slide deck will be posted online at the CPS school repurposing website and a, uh, this video will be
posted, a video of this presentation will be posted on the CPS YouTube channel. Okay, now we get to uh, I'm sorry, did I ask answer your question about uh, site visits? So, yeah, Jason will um, five days a week for the next
several weeks, we'll be out at uh, conducting site visits. So, please get in touch with him and he'll be happy to arrange a time with you. Efficient use of time. All right. So, uh we're going to go over some questions. This is the last slide. Some questions that were posted on our website. Uh anybody with questions
through May the 12th, I think is the date I said earlier. It's it's in the slide deck. If you have a question, you can email it to surttoncps.edu. Again, it's up above in the slide deck. I can go back to that in a moment. Um, but if you have any questions while preparing your bid and
you need some feedback or just a general question that needs to be answered to help you kind of hone in on what you're proposing, um, you can email those questions to our procurement office and they'll respond. And again, your your question and the response will be posted online for any other potential biders to
see. And that that's how these questions were generated here. So, one question came in to clarify the properties are not to not able to be renovated for charter or school programs. So, that is a a little bit of a discrepancy in our bid document and we're going to clarify
um we need to touch base with our legal team to see if it's okay to amend that provision. As I stated earlier, currently the provision says no K to2 charter or school. We we may be looking to remove the or school so that the restriction would just be on charters.
Question two, somebody had a question about um how they plan on applying for grants and uh the question is I'm sorry, let me just read it for verbatim. I have an inquiry regarding the bidder as we have several options. We are we plan on
applying for some grants to renovate and wonder what the best practice CPS CPS has worked with in terms of a bidder entity. So, the bidder entity basically goes to the question of should you apply as an LLC, as a corporation, or in your
own name as an individual. We we can't really any any legal entity or individual that submits a bid. It really doesn't make a difference to us. CPS does not have an opinion and and we cannot guide potential biders on what type of bidder entity a bidder should
apply under. Any and all bids will be considered regardless of the bidder's entity type or whether a bid is submitted in an individual's name. Next question. Question three. What is required for proof of financing? The bid solicitation requires the bidder
provide proof of funding sources such as equity, loan commitments, grants, securities, other real estate or collateral, etc. Buyer must also provide a schedule and anticipated timetable for construction. And again, that's a proposed schedule.
Additionally, a certificate of occupancy must be obtained within five years as stated earlier. So as far as the financing goes, if you have a potential source of financing that is contingent, you can identify that source of financing as contingent so that it's
clear that it's not in hand as of yet, but that is part of your your your financing stack and that it is contingent on, you know, as most financing, anybody who's gotten a mortgage before, it's contingent usually uh for various factors. Um, so there's
no no worries if you do not have 100% financing in hand. You can indicate that part of your financing source is contingent. Question four, do you know if it is possible for a bidder to submit one bid submission with bids for multiple sites? I think someone here
asked that as well. Um, I assume they will still need to submit 15 earnest money checks, but not sure if one signed bid dock will suffice. This is a little trickier. So parts of the bid solicitation are specific to that site.
For example, exhibit A, exhibit C, earnest money. Um, part of the process is you telling us what your use proposal is. If you're bidding on multiple sites, we need to know what your proposed use is for each and every site that you're bidding on.
So, it's recommended you actually create separate bid packages for each one. But if you'd rather not, you can provide one copy of exhibit B, one copy of copy of exhibit D, and one certificate of good standing from the Illinois Secretary of
State. But for all the other items listed above, the uh section two of the bid document, exhibit A, exhibit C, earnest money, those require separate submissions for each site specifically. And uh that is the end of
the online questions. So, I'll open it up to any additional community questions. Yes. No worries. Sorry. Um, just curious in terms of the uh contract in general since I have not
seen it yet. Um once the earnest money is given, what is the due diligence time assuming the offer is accepted as one of the highest and best considerations? Obviously, if it's not, you get your earnest money back, but I assume Yeah.
Yeah. So, to be clear, you So, the once the top two responsible biders are selected, all the other biders will be notified and will be their earnest money deposit will be returned. Even the highest bidder that isn't eventually selected will receive their earnest money back. So, nobody's forfeiting
earnest money, right? Just But how much due diligence time does that selected bidder get to do whatever is necessary? So, we encourage you to undertake as much due diligence as you need to put in an informed bid, but after the bid
deadline, you could put in a contingency period if needed. So make that clear in your bid document that you will need if if you require So let me take a step back. Some some um financing companies may
require environmental information. Right. Right. There could be a lot of factors that any lender is going to look at. So um if if you do require a due diligence period after submitting, you know, as post bid submission, please include note that in your bid. It it
it's not um any we understand any bidder is going to require due diligence period. And Mike, do you can you um what is your experience? Mike was here during the last bidding round. I'm just curious what is a reasonable length of time. I mean, we know this is a really quick
Yeah. turn around for these. So what is reasonable in what we might propose as a due diligence period depend on your use and let's say you are going for historic tax credits as long as you're
transparent in your intent CPS wants to work with you and and you don't have a lot of control over due diligence and neither do we as long as you tell us there's no formula like it's not going to be 60 days you have to be done because it's not feasible
You need to tell us what's your use. And as long as Steve's team is as they're analyzing your proposal, they understand that they will weigh that with your proposal. I mean, if you tell us it's two years because, you know, you have to go find money, you're going to have a
problem. But approvals, we got it. Just say so. Yeah. Yeah. Yeah, there I would say there is flexibility or there may be flexibility depending on what your contingency might
be, but we've seen it several times where a contract gets to a stage and we it takes a little longer. I don't want to say we're going to be ultimately flexible, but just identify it. And um I think Steve's team is
ultimately our our goal is to ensure that we have a successful project in the end. We're not going to force a bidder into a situation where they have very limited time to conduct due diligence. We force it through our board, get approval, and the
project fails. That doesn't help us. It doesn't help anyone. Our real goal is to ensure that these properties get redeveloped in a way that they're not sitting there empty. They're no longer a hazard, a safety hazard. They're, you know, providing some, you know, an
anchor for the community. So, I that M1 zoning, right? What was that? It was over by Well, okay. So, if you have a use that doesn't conform to a manufacturing building, you've got to go to city hall, resolve it. We get it. We get it. We understand the timelines. It
could take a while, but as long as we see that in your proposal, we can prepare for it. Yeah, we we want to work we want to work with you. I mean, we understand the complexities of getting these things done. I mean, you you know, you're trying to pull permits and rehab a house. I mean, it takes time to pull
those permits. This is a whole different animal. Uh but we uh want to work with you. We're going to avail once once we get if you're a successful bidder and get under contract, then you have just great opportunities to do the cognitive inspections and due diligence you need.
You know, you need you have an environmental consultant that comes in, needs to do a phase one or even a phase two will avail you avail the property to you for that. Um structural consultants that need to come in uh do you know tests on the structure um you know lead uh roof roof core samples. I mean, all
that, all that. But we need to get we just we can't do that right now with everybody uh doing those type of invasive testings. But once you get under contract, we'll do a right of entry agreement with you and your contractors can come in, you know, make sure they're insured and all the other good stuff. Come in, do what they need
to do. Um cuz we want you to be successful. I mean, if you get in there, close on the property, and then find all these things out, that doesn't do anybody any good. So, we'll we'll make sure that you have the opportunity to do all that. Ultimately, there's no strict time limit. as long as you're diligently pursuing the transaction, you know, the
project, that that's enough to, you know, give us comfort. Um, we're not going to hold you to 60 days or something like that. Yes. That's another thing we don't have a strict timeline on, but last year it took about a month for us to review them
for completeness and then evaluate which ones may proceed. So I expect approximately the same amount of time. Yes, sir. We all have problems, right? Lead lead paint and the whole nine yards. So, do you all have some sort of environmental
review that's inside the bid documents to review instead of us going through all of the uh Yes. Um hiring consultants to do that and we'd be spending money for something that may not even go through. Yeah. So, we do have assessment reports on each one of these buildings.
CPS does an assessment report every 3 years on an open school building. So, we have these reports, but they're generally from the time period of when the schools closed. But those reports have a ton of information in them and a lot of them will identify whether
there's lead paint or asbestous that may need to be remediated. Um, as well as as Jason mentioned, we're compiling our internal documents to post on the bid website so that anybody who's interested in bidding can can see what information we have. If you require additional
information or inspection before submitting a bid, for example, um we might be able to make it happen, but like Jason said, it's it's probably a better post bid due diligence because you don't want to spend money on something that you may not know if it'll go forward, right? If your bid is
selected as one of the two highest responsible bids, then you could take a little more time and effort to do proper due diligence. Then you could feel comfort in spending money to do those investigations. um instead of being out of hand. And if if it doesn't work out, you know, build it into your contingency. Um if it's
something that would make you walk away from the project, then, you know, feel free to make that clear in the the bid proposal. And as discussed earlier, we want people to go through their due diligence process before we go to our board. We're not intending to go to our
board to get something approved that you haven't even made clear on your end that it will work. We want to give you that time and flexibility to do your homework before we present something to our board that we don't want to present something that might not happen because we didn't
allow a bidder or purchaser enough do time to do due diligence. I got that. But he said they do a walk through weekly, right? So he would know if the if the if the roof is leaking like right now before it was a sneak now just a bucket coming in there, right? You you would know that. Yeah. Yeah. We we have
an idea. But, you know, we I just want to make clear, I apologize. I was chatting with some folks. Um, you know, the documents that are available to be downloaded online, I mean, there's a disclaimer on that page that says, you know, we can't represent the accuracy of
these documents. They're old. The facility assessment reports are now 12 years old. So, it's just the starting point for you. You got to really do your own due diligence. Get your, you know, inspectors, contractors out there, uh, to really do your own due diligence. But yes, I mean we can certainly let you
know uh and we can chat afterwards about a specific property and I kind of you know have an idea of what roofs are leaking and and whatnot. I mean there are some that you know are leaking from the third floor all the way down to the fourth right now you know. So so you you once you close a building up you don't
go in and maintain it and try repair. So so yes yes u to the just let it deteriorate. No no no and and that's that thanks for asking that question. I mean, because I get that sometimes um you know, people some folks are under the impression that we went in and kind of, you know, stripped these properties
and we stripped everything out. That's not the case. That that's not the case at all. Now, if there was a, you know, um a UNI event, you know, in a classroom and there's a neighboring school two blocks away that they don't have those parts for it anymore. Yeah, we're going to grab some parts from a UNI event and
take them over to that school. That makes sense. I mean, it's an active school where kids, you know, need heating and cooling. So that that we would do. Will we strip electric, strip plumbing? No, absolutely not. Uh do we maintain them? Yes. Uh but you know, um
a roof, a flat roof on a $14,000 building, that's, you know, millions of dollars. Can we invest millions of dollars into a closed building when we have the budget deficit we have? No. Cuz that'd be a whole another meeting about what we're investing in a closed building. So to the extent that we can
maintain them, keep them boarded up, you know, but you know, some of these schools we we board up. Um folks get inside and I have a neighbor that calls me the next day, hey, I saw you out there boarded up. They came back in right after you left, you know. So there
is we we really really effort to keep things secure. We go out immediately if we hear that a school has been broken into. Um but there is you know things are still going to happen but yeah we we do maintain to the extent that we can do
we are we expending large capital dollars on closed buildings not necessarily. Now, one last question is when I put the bid in for on because the the stuff that Mike talked about those tax credits, that takes that takes time. That takes So, do you put a financing
stack in when you put your bid in about what you intend to do and where the money's coming from and you base your bid based on whether those come through or you just put it based on the the highest dollar amount for the price of the property bid? Yeah. No, I think that's going to Yeah, Mark cont there's
a you know have you have a financing contingency, right? I mean, just like you would in a residential deal. Um, you have a financing contingency. I mean, it's helpful for your bid, I think, to discuss what that capital stack is and what your plans are for putting this together. We know it's going to take
time. I mean, uh, even really, really seasoned developers, it's going to take years. I mean, you're talking about layer upon layer of Mike discussed all those things. I mean, if you you you're looking for low-inccome housing tax credits. Uh I mean, those don't you just can't go downtown and or to the county
and and get those those take time to to develop, right? Um the uh you know, historic tax credits and things to that effect. It takes time to develop. So, discuss what the need is for your capital stack and what your financing is in the bid. Be as specific as you can. I
mean, if you don't have if you don't include anything there, I mean, that's going to not going to be positive in your bid, but including what you can and what the plan is, I think, is going to be helpful. Does that answer your question? Yeah. Am I And then if you did
have partial money, can you been a bit can you start like so I don't have the full development of $3 million to do it, but I can start with 750 and start getting my internal whatever structural done. Can you start like that? Yeah, I think do the best you can and and you know there are um you know if you're
talking about a building that's you know 30,000 square feet done in certain sections, this may be a situation where you're going to develop half of the building first or a certain wing of the building first and then block off the other. And if you can, you know, you
talk to DPD and and Department of Buildings about that and get permits for that so you can get a certificate of occupancy for that section you're developing, then, you know, that's something that you can potentially do, you know, um, and, you know, let you start operating, start, you know,
allowing the building to be productive, possibly profitable, depending upon what your your potential use is. I don't know what that is. Um, while you are still raising funds to do the rest of the building. So include that. include the plans and if you need to do it in phases again put all that in your bid document
as well. Still have a question sir? Y bring you the microphone so we don't have a shout. I was hearing you mention about the uh breakins and so forth on on the property and with today's technology. Why is it more feasible to
send people out there to keep boarding it up than to just put a security system on it where you're notified immediately when something is happening? So sometimes folks have already stolen the electric so we can't um but that's they got security devices with cellular
backup and so forth that you can put on the property that you can be notified cuz I'm knowing you spending a quite a bit for somebody to go back out there to repair the breakin then it would cost you just to secure the place properly. Yeah. No, I I appreciate that question. It's um it's a good question. And I mean
we have to there's a lot to evaluating those costs. Wherever we have a building that still has those functional systems, we generally have you know cameras and security systems. It calls our safety security center. It calls CPD. CPD comes
out and that that's the case. I mean um I won't discuss the specifics but you'd be surprised how sophisticated some of these criminals are, you know, and can get around these systems. Um, but in terms of we we'd have to examine what
the costs are to put in a system with, you know, camera backups and you're talking about a building with 3 400 windows, you know, and um, man, 40 doors, uh, access points, roof hatches, it would be a it would be a significant
expense. I know. Um, and we're also talking about buildings that already have been vandalized. So we certainly are buildings like this, you know, uh buildings that are still active, we are taking all due precautions uh to make
sure they stay secure and are not vandalized. And you know, community folks, I mean, if you you the same email addresses, you know, reach out to us. I mean, if you see somebody, hey, you know, I saw somebody, you know, at at a door, you know, trying to get in uh that
came late at night, let us know. Let us know. We'll send a crew out there immediately. Uh make sure that the building is secure. Um if we need to bolster our security, we will do that. We respond immediately to these things because we are we do not want these properties to be, you know, to
deteriorate any more than they already have. And the ones that have not deteriorated, we certainly don't want them to become that way. So, you know, please see something, say something kind of thing. Thanks, Jason, for answering the tough questions. We still got a few more here though. Sorry.
Hi. Yeah, actually to piggy back off of what he was saying, has anyone sent out like flyers to surrounding like out homes and stuff like that to kind of if they see something say something kind of thing? Um might save money and it's a cheap way I just taking notes on things. So yeah,
might be very very cheap easy way to do that. Yeah. Makes the whole community aware, right? Yeah. Cool. And and you know to the to that extent we when I say we walk the properties frequently. I mean there are folks that live across the street from these schools that have my sale number
that call me in the middle of the night and say, "Hey, I saw them. I saw them. You need to send somebody back over here." So we we do do that. And uh we we walk around, we talk to neighbors. Um you know, they they call us when the grass is too high. So we we are we're
we're trying to really do do right, you know, by these properties. Thank you for that. Yes. Thanks. Are are there any other uh questions from anybody? Going once, going twice. Well, I really want to thank everybody for
coming here today to learn more about the process and the opportunity and uh we'll be open and I think everybody should have our contact information by now. Again, this will be the slides and the video of this presentation will be posted online. Thank you all for coming and we'll be available for discussion
afterward. Have a great day.