TO: Mayor and City Council
FROM: Dustin Anderson, Director of Economic Development
SUBJECT:
title
Ordinance Authorizing the Termination of the Lease Agreement Between the City of Joliet and Mygrain Brewing Company, LLC
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BACKGROUND:
The City of Joliet (“City”) previously entered into a lease agreement with MyGrain Brewing Company LLC (“MyGrain”) to operate a brewery and restaurant at the historic Union Station building. MyGrain has permanently closed its operations as of August 19, 2023. As a result, the City is agreeing to purchase the business’s remaining equipment to facilitate a lease termination.
As part of an asset purchase transaction, the City and MyGrain have mutually agreed to terminate the lease agreement. This arrangement is documented through a Lease Termination Agreement, which is a condition of the City’s acquisition of certain assets from MyGrain under an Asset Purchase Agreement.
The ordinance presented for Council approval formalizes the termination of the lease agreement and authorizes the City Manager to execute the necessary agreements to complete the transaction. The proposed actions are consistent with Resolution 7571, previously adopted by the City Council.
CONCLUSION:
The termination of the lease agreement is a necessary step to maintain economic activity and operations at the historic Union Station location. It will ensure that the lease obligations of both parties are fully resolved, demonstrate the City’s commitment to supporting local economic development, and align the City’s strategic goals for the use and development of Union Station.
RECOMMENDATION:
recommendation
It is recommended that the City Council adopt the proposed Ordinance Authorizing the Termination of the Lease Agreement and Execution of related documents.
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