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Special Session 869, ~inutes June 26, 1967 Page 16 BILLS FOR SECOND READING: BILL NO. 63~3 -AI~EJ~DING CHAPTER 34 MUNICIPAL CODE (SECTION 34-20 ZONING CODE) - REZ~ING PROPERTY ON EAST SIDE OF HA~NLE¥ ROAD, NORTH OF DREXEL - APPLICANT: ALLA~ HOF~-'IAN~ Bill No. 6398 was given its second reading. Bill No. 6398 was given its third reading. Upon invitation of the Mayor, l.k. Allan Hoffman, applicant, and his attorney~ Mr. Sidney Stone, came forward. They answered numerous questions propounded by members of the Council, bringing out the fact that the property under discussion is still on option, the closing date is June 30th. They said (in answer to Councilman Epstein) that they plan to proceed with the de- velopment and pointed out they have a tremendous amount of money invested in planning, designing and engineering and feasibility studies - they have entertained no thought of selling or disposing of the property. As to financing, Mr. Stone said they do not have a commitment for the reason that they did have a commitment when they submitted their original four story proposal and they could have had a commitment when ~ir. Blucher (planning consultant) made his recommendation in December, however, when the in- dividuals in the area began to oppose the recommendation of ~. Blucher, the lending institutions in order to obtain a written co~itment, require a stand-by fee of 1% of the total mortgage amount and they were in no position to advance a stand-by fee not knowing whether the property was going to be rezoned, because it is forfeited. He said since that time the interest rates and a number of other things have changed considerably and if the property is rezoned they plan to renew their efforts through their various lending sources. Continuing to answer inquiries by Councilman Ep- stein, Mr. Stone indicated they intend to cooperate fully with the City planner and are thoroughly familiar with the requirements. Councilman Woods asked whether it is their observation that there is a good demand for this type of housing - wi~ether there would be a ready market for it - and L~. Stone explained that there is - this particular type has been very limited in University City and he pointed up the need for it. She asked about the relative demand for single family homes in University City and ~ir. Stone called upon ~ir. Hoffman to answer. Mr. Hoffman said it is his opinion that the new single family housing market is extremely limited in University City - certainly there is a market, but he is sure from his experience and tl-mt of co-developers that the market is extremely limited - there is a del~mnd for multi-family dwellings, and the type of development they are proposing he is certain will have a readily acceptable market. Councilman Grim~ asked ~. Hoffman whether he would intend to continue in management of such property, or whether at the time of completion he would sell it as a unit. i~. Hoffman said they are in management as well as development and they plan to manage this particular project. (See below) RECESS: At this point, 9:27 P.M. l'~yor Kaufman announced a brief recess and at 9:30 P.M. the Council reconvenedo BILL NO. fi398 - Continued: Upon inquiry by b~yor l~mufman whether any member of the public desires to