Not For Profits to Take Up Residence in New Sussex Village Hall

Sussex –Three community not-for-profit organizations have signed agreements with the village that will provide them with office space in the new village hall/civic center in exchange for revenues that will help pay for the $12 million project.
Village President Greg Goetz said the agreements will benefit both the village and the organizations.
The village board last week approved a condominium agreement with Sussex Outreach Services (SOS) that provides that SOS will pay $1,475,000 for the construction of 4,800 square feet of space on the east wing of the first floor of the building.

The organization that serves hundreds of disadvantaged individuals and families annually will own the space and agrees to pay the village a $5,000 annual maintenance fee, which could be increased annually but never more than 3 percent.

SOS was able to generate much of the revenues it will pay the village by selling property they owned to developer Art Sawall.

The village board also last week approved a lease agreement with the Sussex-Lisbon Area Historical Society that provides the society will lease more than 4,100 square feet on the second floor of the building.

The society agrees to the pay the village “an upfront payment of a 50 years lease, which equals the estimated cost of construction at $1.18 million,”according to a staff memo.

According to the memo, “Part of this payment is coming from the sale of (historical society) property and part is coming from a general donation for the non profits located in the building by Mr. Sawall.”

The society will pay no maintenance cost for the space but will be responsible for paying for utilities.

The society has agreed to donate the historic railroad depot presently located near Main Street to the village, which will relocate the depot to Madeline Park, where it will be converted into a trail head facility for the Waukesha County Bug Line Recreational Trail.

The cost of the relocation and installation of utilities for the facility, including restrooms and parking, is estimated to cost about $100,000 but the work will not be done until 2017, according to village officials.

The village board also approved a lease with the Sussex Area Chamber of Commerce, which provides the chamber will pay the village $5,000 a year, increasing 3 percent a year, for five years for 300 square feet of office space on the first floor of the civic center.

A fourth not-for-profit, the Veterans of Foreign Wars, has not decided whether it is willing to sell its existing building and property on Waukesha Avenue and relocate into village hall. Sawall has offered to purchase the property but there is debate within the organization whether to accept the offer and move into the new civic center, according to several sources.

Village officials had initially hoped to receive about $441,000 from the VFW to pay for space it would lease on the second floor of the building.

The four not-for-profits, combined, were expected to provide nearly $3 million in revenues for the village. Village officials had anticipated using another approximately $3 million dollars in existing revenues to help pay for the construction along with about $6 million in bond revenues.

The revenue bonds will be sold after the village receives bids on the project. Construction is expected to begin this summer.