What should they do with the housing ...

What should they do with the housing at JJC? Another white elephant project

Created by Joliet taxpayer on Apr 23, 2010

43 votes

Click on an option to vote

nothing they are doing ok

sell property give 2 taxpayers

section 8 housing

replacment 4 evergreen terrace

make it into sex shops

sell it to hippies

Joliet taxpayer

Shorewood, IL

#1 Apr 23, 2010
Ok here we go again.. ANOTHER JJC white elephant showing its ugly head.. First it was the hotel downtown.. now they are talking about taking over the white store.. AND now the housing project at JJC..
Student housing complex late on bond payments, but no risk of foreclosure 'for the time being'

April 23, 2010

By CINDY WOJDYLA CAIN [email protected]

JOLIET -- Centennial Commons, the apartment complex built to house Joliet Junior College students, has struggled ever since it opened in 2002.

The 128-unit complex, once known for crime problems, is now plagued with financial issues.

Centennial Commons, the housing complex for JJC students, is operated by Foundation Housing LLC, which is $3.16 million behind in interest payments to bond holders.

Foundation Housing LLC, the legal entity responsible for Centennial Commons, missed an interest payment of $484,750 due March 1 for bonds sold to build the complex. Another payment will be due in September.

According to a notice filed with Municipal Securities Rulemaking Board, the limited liability corporation is $3.16 million behind in interest payments.

The LLC "has never been able to pay the full amount of interest" owed on the bonds, said Bill Kaplan, a Joliet attorney who is an LLC manager. The complex, located adjacent to the JJC campus, has never been filled to capacity and there isn't enough money to make full payments, he explained.

The March payment was missed because the LLC and Campus Advantage, the company hired to run Centennial Commons, decided to use available funds for cleaning, renovations and new security cameras, Kaplan said.

Also, a new property manager with more experience was hired at a higher salary to oversee the complex, he added. The improvements cost $63,000.

The bond holders, who are owed $14.5 million, could foreclose on the property, but they have chosen not to "for the time being," Kaplan said. "We don't know how long this will go on."

But because full payments haven't been made since the complex was built, Kaplan said, "It's sort of old news really."

When interest payments are missed or underpaid, that is supposed to trigger payment acceleration provision. And while a letter did go out recently, informing the LLC the provision had been triggered, that has happened before, Kaplan explained.

"To date, there has been no actual payment acceleration decision made by the bond holders," he said.

Efforts to curb crime:
Kaplan stressed that the LLC has taken action in recent years to eliminate the type of crime problems first associated with Centennial Commons when it opened. Early on, part-time students were prohibited from living in the complex, which reduced crime significantly, he said. And last summer, the LLC also decided to institute a minimum GPA requirement of 1.75 for tenants.
[you mean people who have barely a srong D average can get in there?]
Now Centennial Commons has the "usual activity you will have with college students," he said. "It's not really a crime-ridden place."

But creating the GPA requirement reduced the occupancy level from 60 percent to 70 percent to about 45 percent during the most recent school year, which means less money for bond payments. The complex has 128 units that can house 296 students.

Kaplan said the LLC is continuing to work to improve the complex and come up with ways to get more student tenants. Recently, JJC professors were asked to help identify students who might need housing.

"That's not their job ... but we're looking to do something different," he said of asking teachers for help.

Meanwhile, the LLC and the bond holders will try to negotiate some kind of financial resolution, Kaplan said.

The LLC was created to build and oversee the complex because state law does not allow the college to own housing. The JJC Foundation's executive committee automatically serve as LLC managers, but the two groups are separate legal entities, Kaplan
Joliet taxpayer

Shorewood, IL

#2 Apr 23, 2010
Ok here we go again.. ANOTHER JJC white elephant showing its ugly head.. First it was the hotel downtown.. now they are talking about taking over the white store.. AND now the housing project at JJC..
Student housing complex late on bond payments, but no risk of foreclosure 'for the time being'

April 23, 2010

By CINDY WOJDYLA CAIN [email protected]

JOLIET -- Centennial Commons, the apartment complex built to house Joliet Junior College students, has struggled ever since it opened in 2002.

The 128-unit complex, once known for crime problems, is now plagued with financial issues.

Centennial Commons, the housing complex for JJC students, is operated by Foundation Housing LLC, which is $3.16 million behind in interest payments to bond holders.

Foundation Housing LLC, the legal entity responsible for Centennial Commons, missed an interest payment of $484,750 due March 1 for bonds sold to build the complex. Another payment will be due in September.

According to a notice filed with Municipal Securities Rulemaking Board, the limited liability corporation is $3.16 million behind in interest payments.

The LLC "has never been able to pay the full amount of interest" owed on the bonds, said Bill Kaplan, a Joliet attorney who is an LLC manager. The complex, located adjacent to the JJC campus, has never been filled to capacity and there isn't enough money to make full payments, he explained.

The March payment was missed because the LLC and Campus Advantage, the company hired to run Centennial Commons, decided to use available funds for cleaning, renovations and new security cameras, Kaplan said.

Also, a new property manager with more experience was hired at a higher salary to oversee the complex, he added. The improvements cost $63,000.

The bond holders, who are owed $14.5 million, could foreclose on the property, but they have chosen not to "for the time being," Kaplan said. "We don't know how long this will go on."

But because full payments haven't been made since the complex was built, Kaplan said, "It's sort of old news really."

When interest payments are missed or underpaid, that is supposed to trigger payment acceleration provision. And while a letter did go out recently, informing the LLC the provision had been triggered, that has happened before, Kaplan explained.

"To date, there has been no actual payment acceleration decision made by the bond holders," he said.

Efforts to curb crime:
Kaplan stressed that the LLC has taken action in recent years to eliminate the type of crime problems first associated with Centennial Commons when it opened. Early on, part-time students were prohibited from living in the complex, which reduced crime significantly, he said. And last summer, the LLC also decided to institute a minimum GPA requirement of 1.75 for tenants.
[you mean people who have barely a srong D average can get in there?]
Now Centennial Commons has the "usual activity you will have with college students," he said. "It's not really a crime-ridden place."

But creating the GPA requirement reduced the occupancy level from 60 percent to 70 percent to about 45 percent during the most recent school year, which means less money for bond payments. The complex has 128 units that can house 296 students.

Kaplan said the LLC is continuing to work to improve the complex and come up with ways to get more student tenants. Recently, JJC professors were asked to help identify students who might need housing.

"That's not their job ... but we're looking to do something different," he said of asking teachers for help.

Meanwhile, the LLC and the bond holders will try to negotiate some kind of financial resolution, Kaplan said.

The LLC was created to build and oversee the complex because state law does not allow the college to own housing. The JJC Foundation's executive committee automatically serve as LLC managers, but the two groups are separate legal entities, Kaplan.

Since: Dec 06

Plainfield, IL

#3 Apr 24, 2010
Apparently, "Joliet taxpayer" cannot read. The article clearly states that the housing unit is NOT owned or operated by JJC. Why is it that so many Joliet residents seem to hate the local college? There seems to be such a distrust and hatred toward higher education in this area -- but I guess that explains why Joliet is the way that it is.
No_User_Name

Des Moines, IA

#5 Apr 25, 2010
I was a student at JJC when that place first opened up and heard about how the fire alarm was pulled like 23 times in the first two months, and there was a single mother with kids (nobody in the family was a JJC student of course) and a few kids who were attending USF lived in the complex.
Joliet taxpayer

Shorewood, IL

#6 Apr 26, 2010
THEAprof wrote:
Apparently, "Joliet taxpayer" cannot read. The article clearly states that the housing unit is NOT owned or operated by JJC. Why is it that so many Joliet residents seem to hate the local college? There seems to be such a distrust and hatred toward higher education in this area -- but I guess that explains why Joliet is the way that it is.
I know about the collage not being the owners, but the Foundation which has JJC officals on the board. Now they recieved taxpayers money from will county.. there has been transactions between the jr. collage and the foundation... The project is collage directed.. again this :foundation: owes the jr. collage money, meaning that its taxpayers money. Look at the Renenaissance Center downtown.. a white elephant . Still being supported bu taxpaers money.. Plus who is to say that the recent referendem $$$$ is not being funnedled into the housing progects. I dont trust that group sorry... but it my money

Since: Dec 06

Plainfield, IL

#7 Apr 26, 2010
You clearly do not understand the relationship between JJC and the Foundation. The Foundation does not owe JJC any money, nor does the Foundation use tax revenues. The recent referendum had nothing to do with taxes but merely allowed the college to issue bonds.

I strongly suggest that you take advantage of the inexpensive education (that your tax dollars do help to support) at JJC. Your spelling and grammar indicate that you would benefit by taking a course in remedial English.

Joliet taxpayer wrote:
<quoted text>
I know about the collage not being the owners, but the Foundation which has JJC officals on the board. Now they recieved taxpayers money from will county.. there has been transactions between the jr. collage and the foundation... The project is collage directed.. again this :foundation: owes the jr. collage money, meaning that its taxpayers money. Look at the Renenaissance Center downtown.. a white elephant . Still being supported bu taxpaers money.. Plus who is to say that the recent referendem $$$$ is not being funnedled into the housing progects. I dont trust that group sorry... but it my money
No_User_Name

Columbus, GA

#8 May 2, 2010
He also doesn't know the difference between "college" and "collage."
Former resident

Joliet, IL

#9 Feb 13, 2013
Centennial Commons is RIDICULOUS ! the pound a.k.a the leasing office .....
First OFF ... Save your 620 it is not worth
Scott (young scott) the retired veteran slashhhh maintenance man's sarcasm and long drawn out explanations of everything !
I dont want to say it but Slightly Racist, unprofessional as hell just an asshole.
Or The Bitchyness from Jasmin zulinkHOE who has been showing her ass since the move in orientation LITERALLY her JEANS NEVER FIT WITH HER SLOPPY ASS . SHE TRIED TO GET A WET AND WAVY LOOK TODAY,LOOKING LIKE A WET DOG ( she should have conditioned twice). even the people that work their talk about her unprofessional she likes to hide out in the corner and let Lauren with the heart rate monitor do all the damn work . who clearly isnt working but on facebook or eating .....lauren is cool...but she dont get off her ass. but lately she has because they fired sweet lady kim.
CC Ryder

Darien, IL

#10 Feb 14, 2013
Another option in that poll may could have been
making it into low-cost seniors housing.
That might be a good use for it..
Former Renter

Logansport, IN

#11 Mar 31, 2014
NEVER EVER RENT TO THIS PLACE!! YOU HAVE BEEN WARNED!!
bankrupt

Chicago, IL

#12 Apr 4, 2014
Looks like a viable housing option for crybaby joe when his house gets foreclosed on.

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