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Consideration of a Redevelopment Loan Fund loan application from Midwest Institutional Trust Company related to tenant space located at 10700 W Research Drive
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Submitted by:
Paulette Enders
Department:
Development Department
The ownership of MTC Holding Company has formed a new Kansas state-chartered trust company called Midwest Institutional Trust Company ("MITC".) MITC has applied for a Wauwatosa Revolving Loan Fund Corporation loan, as well as a City of Wauwatosa Redevelopment Fund forgivable loan, for furniture, fixtures, and technology equipment. MITC has requested both loans be forgivable. MITC will commit to retain approximately 38 Wisconsin jobs and provide an internship program that would include students from underrepresented groups and diverse backgrounds, including individuals with disabilities and individuals from economically disadvantaged backgrounds. The program will give interns a chance to learn new skills and obtain real-world experience, creating a qualified pool of diverse candidates for the region.
MITC is a national provider of trust, custody, and fiduciary services to the institutional investor
marketplace. Their clients include public pension plans, university foundations, insurance companies,
Taft-Hartley retirement plans, registered investment advisors, hospital foundations, corporate pensions, and endowments. MITC expects to expand their office and expand in the region.
MITC has agreed to acquire and assume a national bank's institutional trust group. The national bank has made the decision to exit the business and eliminate all employment positions currently located in Milwaukee as of 12-31-2023. The employees of MITC will be hired and stay in Wisconsin. Additionally, if the terms MITC proposed are granted, the company will look to bring additional employees to the area including portfolio managers, trust officers, and operations staff.
MITC has negotiated a turnkey lease at 10700 West Research Drive. This particular location in Wauwatosa was chosen over others because the building is LEED certified, the base building adhered to labor requirements for prevailing wage and disadvantaged businesses as defined by Milwaukee County, and the developer uses best efforts for inclusionary construction procurement record.
Should the committee proceed with the forgivable loan, City staff recommend using funds from the Redevelopment Reserve which was established for extra-ordinary economic development circumstances. At the end of 2023, that fund has $988,242 in fund balance of which $688,242 is cash.
recommendation
Committee may move to convene into closed session for this item pursuant to Wis. Stat. §19.85(1)(e), Wis. Stats., for the purpose of deliberating or negotiating the purchasing of public properties, the investing of public funds, or conducting other specified public business, whenever competitive or bargaining reasons require a closed session. The Common Council may reconvene into open session to consider the balance of the agenda.