CC PACKET 04281987 - Laserfiche WebLink

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i J a • M EMO RAN DUM D AT E April 23 , 1987 TO = Mayor and Councilmembers F ROM = David Mi Childs , City Manager I T EM LIQUOR REMODELING/RECONSTRUCTION *Costs of Stonehouse remodeling will be approximately $150 , 000- 160 , 000, barring unforeseen expenses. *Bids ,for the off-sale have been received. The eight bids re- ceived ranged from a low .bid of $288 , 500 by Fulco Construction Co. to a high bid of about $324 ,000 . *Cost estimates for a restaurant and seating area addition are about. $60 , 000 . (Possibly less, depending on how much electrical and plumbing we can get a potential restaurant operator to pay for . ) *I have discussed bonding with Springsted, Inc. and the follow- ing is a preliminary estimate of terms of such a bond: -8-1/2 percent interest -10 year maturity -Costs: New construction $288, 500 Remodeling 220 ,000 Construction subtotal $508 , 500 Architect/Engineer $ 62 , 500 Contingency 19, 000 Subtotal $590 , 000 Required reserve @ 10% $ 68 , 000 Discount 12 , 000 Issuance costs 15 , 000 TOTAL BOND $685 ,000 -Estimated annual debt service costs at $97 , 500 . • *Springsted is recommending a public sale rather than a negotiated sale. If ordered next week, bid opening would be May 26th. *This means that the Council may not want to award the off-saie contruction bid until May 26th or you could award it subject to the City acquiring financing.