NOTICE OF HEARING ON PROPOSED LEASE GOSHEN COMMUNITY SCHOOLS

You are hereby notified that a public hearing will be held before the Board of School Trustees (the “Board”) on November 13, 2023, at the hour of 6:00 p.m. (Local Time) at the Goshen Community Schools (the “School Corporation”) Administration Center, 613 East Purl Street, Goshen, Indiana, upon, a proposed Lease Agreement (the “Lease”) to be entered into between GCS School Bldg. Corp. One (the “Building Corporation”), as lessor, and the School Corporation, as lessee.

The proposed Lease upon which the hearing will be held is for a term of twenty (20) years, commencing on the date that the Building Corporation acquires fee simple title to the real estate.  The Lease provides for rental during construction and renovation upon the leased premises in the amount of up to $2,250,000 per payment payable on June 30 and December 31, beginning on June 30, 2024, until completion of the construction and renovation.  Thereafter, the Lease provides for a maximum annual rental of $4,500,000, payable on June 30 and December 31 of each year during the term of the Lease, commencing with the completion of the construction and renovation or June 30, 2025, whichever is later.  As additional rental, the School Corporation shall maintain insurance on the leased premises as required in the Lease, shall pay all taxes and assessments against such property, as well as the cost of alterations and repairs, and shall pay rebate amounts to the United States Treasury, as necessary.  After the sale by the Building Corporation of its ad valorem property tax first mortgage bonds to pay for the cost of the leased premises, including the acquisition of real estate and other expenses incidental thereto, the annual rental shall be reduced to an amount equal to the multiple of $1,000 next higher than the sum of principal and interest due on such bonds in each twelve-month period ending on January 15 plus $5,000, payable in equal semiannual installments.

The Lease gives an option to the School Corporation to purchase the property on any rental payment date.

The leased premises will be the Prairie View Elementary School campus in the School Corporation located at 1730 Regent St., Goshen, Indiana 46526, including the softball/baseball complex to be constructed thereon.

The plans and estimates for the cost of said renovations and construction, as well as a copy of the proposed Lease, are available for inspection by the public on all business days, during business hours, at the Administration Building of the School Corporation, 613 East Purl Street, Goshen, Indiana 46526.

At such hearing all persons interested shall have a right to be heard upon the necessity for the execution of the Lease, and upon whether the Lease rental provided for therein to be paid to the Building Corporation is a fair and reasonable rental for the proposed leased premises.  Such hearing may be adjourned to a later date or dates, and following such hearing the Board of the School Corporation may either authorize the execution of the Lease as originally agreed upon or may make modifications therein as may be agreed upon with the Building Corporation.

Dated this 13^th day of October 2023.

/s/ José Elizalde, Secretary

Board of School Trustees
Goshen Community Schools