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HomeMy WebLinkAbout2004-0252 3 4! 5 6!', 71 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 RESOLUTION NO. 2004-25 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING THAT CERTAIN PURCHASE AND SALE AGREEMENT BY AND BETWEEN THE CITY OF SAN BERNARDINO AND THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO RELATING TO PROPERTY LOCATED AT THE NORTHWEST CORNER OF UNIVERSITY PARKWAY AND NORTHPARK BOULEVARD IN THE CITY OF SAN BERNARDINO WHEREAS, the City of San Bernardino, California (the "City") is a municipal corporation and charter city, duly organized and existing pursuant to the provisions of the constitution of the State of California; and WHEREAS, the City is the current owner of certain real property located at the northwest corner of University Parkway and Northpark Boulevard in the City of San Bernardino (the "Site") and shown on the map attached hereto as Exhibit "A;" and WHEREAS, the City previously approved the sale of the real property to the Redevelopment Agency of the City of San Bernardino (the "Agency") in Resolution No. 2003- 120 adopted on June 2, 2003; and WHEREAS, Resolution No. 2003-120 gave the Mayor the authority to execute the purchase and sale agreement by and between the City and the Agency within 60 days from the date of adoption of the Resolution which time period has now expired; and WHEREAS, subsequent to the adoption of Resolution No. 2003-120, the City Development Services Department, Planning and Engineering Divisions have certified and recorded a Parcel Map creating four parcels out of the Site (the "Parcel Map"); and WHEREAS, except for the creation of the Parcel Map creating additional parcels for purposes of the transfer of title and deleting the further parcelization into single family residential lots, no other changes to the size, scope of impacts of the originally contemplated -1- P:WgendasAmiullonsU esolullonsUO04104-01-05 Watson Clar Anod DDA MCC Res0.doe 2004-25 1 development have occurred which would affect any of the CEQA findings and or 2 determinations set forth in Resolution No. 2003-120; and 3 WHEREAS, the City still desires to sell to the Agency those portions of the said Site 4 shown on the Parcel Map as parcels 1, 2, 3, and 4 (the "Property") pursuant to the provisions of 5 the Charter of the City and the provisions of the Municipal Code, including without limitation 6 Section 2.65.050; and 7 WHEREAS, an MAI appraisal of the Property was conducted in April, 2002 by 8 Smothers Appraisal (the "Appraiser"), and according to the report dated April 11, 2002 (the 9 "Appraisal Report") prepared by the Appraiser, the fair market value of the Property is Three 10 Million Dollars ($3,000,000); and WHEREAS, in May, 2003, the Appraiser updated the Appraisal Report, confirming and 11 bringing forward to May, 2003, a fair market value for the Property of Three Million Dollars 12 ($3,000,000) in the size and configuration as contemplated to be transferred as hereinafter 13 provided; and 14 WHEREAS, the Agency on June 2, 2003, entered into a Disposition and Development 15 Agreement (the "DDA") pursuant to which the Agency will, simultaneously with its purchase of 16 the Property from the City, sell the Property to J. R. Watson & Associates Development Co. 17 (the "Developer") for a purchase price of Three Million Dollars ($3,000,000); and 18 WHEREAS, the Agreement provides that all amounts received by the Agency from the 19 Developer for payment of all or any portion of the purchase price of the Property under the 20 DDA be paid, in turn, by the Agency to the City for deposit in the Water Department fund; and 21 WHEREAS, the price the Developer is paying to acquire the Property is not less than the 22 fair market value of the Property; and 23 WHEREAS, the DDA provides for the development of the Property by the Developer as 24 a residential neighborhood consisting of single family detached homes (the "Project'); and 25 -2- P:1Agendas\Resoluti..'U ,aolutlonsV ou\0"1.05 Watson Clar Amd DDA MCC Reso.doe 2004-25 1 WHEREAS, there are existing waterlines located within the Property and such locations 2 have been reserved in favor of the City on the Parcel Map; and 3 WHEREAS, the Agency has agreed and shall execute and record an easement in favor 4 of the San Bernardino Municipal Water Department covering these locations prior to 5 transferring any of the Property to the Developer; and 6 WHEREAS, it is appropriate for the Mayor and Common Council to take action with 7 respect to the sale of the Property to the Agency. 8 NOW, THEREFORE, IT IS HEREBY RESOLVED, DETERMINED AND ORDERED B) 9 THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO, AS FOLLOWS: 10 Section 1. The above recitals are true and correct and incorporated herein by reference. 11 Section 2. The Mayor and Common Council hereby re -approve the sale of the Property to 12 the Agency pursuant to the information contained in the Staff Report accompanying this Resolution. 13 Section 3. The Mayor and Common Council hereby direct that the proceeds of the 14 sale of the Property received by the City from the Agency in accordance with the terms of the 15 Agreement be deposited in the Water Department Fund. 16 Section 4. The Mayor and Common Council hereby approve, authorize and direct 17 the Mayor to execute a revised Purchase and Sale Agreement ("Agreement') attached hereto 18 and incorporated herein by reference, consistent with the information contained in the Staff 19 Report accompanying this Resolution and any other documents required to facilitate the transfer 20 of the Property to the Agency on behalf of the City together with such technical and conforming 21 changes as may be recommended by the General Manager of the Municipal Water Department 22 and approved by the City Attorney. 23 Section 5. The General Manager of the Municipal Water Department is hereby 24 authorized and directed to take all actions set forth in the Agreement on behalf of the City to 25 close the escrow transaction described therein. -3- P:\Agendas\ResolutionsV esulutlonsUM\00.01-05 Watson Clar Ama DDA MCC Reso.doc 2004-25 1 Section 6. The Mayor and Common Council hereby approve the sale of the Property 2 to the Agency in accordance with Section 2.65.050 of the Municipal Code and on the terms set 3 forth herein. 4 Section 7. This Resolution shall take effect upon its adoption and execution in the 5 manner as required by the City Charter. 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 -4- P:UpndasU esolutlonn\Raolutlans4004\04-01-05 Watson Clar Amd DDA MCC Rno.doc 2004-25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING THAT CERTAIN PURCHASE AND SALE AGREEMENT BY AND BETWEEN THE CITY OF SAN BERNARDINO AND THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO RELATING TO PROPERTY LOCATED AT THE NORTHWEST CORNER OF UNIVERSITY PARKWAY AND NORTHPARK BOULEVARD IN THE CITY OF SAN BERNARDINO I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and Common Council of the City of San Bernardino at a J t. reg. meeting thereof, held on the loth day of January 2004, by the following vote to wit: Council Members: Ayes Nays Abstain Absent ESTRADA x LONGVILLE x MCGINNIS x _ DERRY x _ SUAREZ x _ ANDERSON x MC CAMMACK x _ e]G. ark, City C1@rk ' I Y� P Cd� ems, The foregoing resolution is hereby approve is �� day of January 004 Approved as to form and /JLegal Content: By: i Attorney Susan Lon gville, ayor Pro Tem City of San Bernardino -5- P:WgendasMR olutlonsWcwlud.ndID04\N.01.05 Wabon Clar Awd DDA MCC Rew.doc Recording Requested by and When Recorded Mail to: Redevelopment Agency Of the City of San Bernardino 201 N. E Street, Suite 301 San Bernardino, CA 92401 QUITCLAIM DEED Documentary Transfer Tax -0- For FOR A VALUABLE CONSIDERATION, receipt of which is hereby acknowledged, the City of San Bernardino, a municipal corporation, hereby REMISES, RELEASES and QUITCLAIMS to Redevelopment Agency of the City of San Bernardino all that real property situated in the City of San Bernardino, County of San Bernardino, State of California, described as: SEE EXHIBIT"A" hereto Dated: ,2-3 , 2004 (STATE OF CALIFORNIA) COUNTY OF SAN BERNARDINO) On 01/23/04 before me, David Gutierrez (here insert name and title of the officer), personally appeared .Susan Longv"'$ersonally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the persons) acted, executed the instrument. WITNESS my//y hand and official seal. Signature ���°`—Y�,,✓J.c 4849-1109-5296.2 sezoo3 343s i +� DAVID M. GUTIERREZZ N Comm.11363195 NOTARY PUBLIC -CALIFORNIA N San Bemndi:J Covmy r1(.w...w My Comm. EspitesJune 30. i008's City of San Bernardino Susan Longville, MaY4 Pro Tern (Seal) Section 3.03. Buyer's Obligation at Closing. At Closing, the Buyer shall deliver to the Seller at least eighty percent (80%) of the Purchase Price in cash or by wire transfer of readily available U.S. funds, together with documentary proof that the Note and the Trust Deed have been executed and delivered by the Developer. Section 3.04. Closing. Seller shall pay all closing costs. IN WITNESS WHEREOF, the parties hereto have executed this Purchase and Sale Agreement as of the date first above written. "BUYER" Redevelopment Agency of the City of San Bernardino B -lA1 Betty Dean Anderson, Vice Chair Community Development Commission City of San Bernardino "SELLER" City of San Bernardino _ BYy,4 ��- 11 y - Susan Longville, Mayor Pro Tern 4849-I I09-5296.2 S62003.13436.1 EXHIBIT "A-V Zc� off¢ (yam 4C� r_ aw Z3 �w 4 m how � oz� N � N L a 4 �+oz� Lv Cl- awe � m a g a dab � Y gg m—, �MC9' � almnHoll ��y p Ell �'- it D yj YDe C' pp vv ar y ' a 9 A et i. EXHIBIT "A-2" IN THE ETTY OF SAN BERNARDINO KINC A S DIWSICN OF A PORMN OF RAAIQIO MUSCUMASE. PER PUT RECORDED IN BDOA 7 OF MAPS, PACE 23. RECORDS OF SAN BERNARDINO COUNTY. AND I nNC MTHIN SECTIONS Zr 47 AND 17, TOMVSn,P I NORTM RANCE A WEST SAN BERNARDINO MERIDIAN (UNSURVE%ED). TRANSTECN £NGNEERS INC. SEPTLMBfR 2003 PROCEDURE OF SURVEY AND SHEET INDEX a rtA w.%,a° oa PARCEL'J. / /N(}7 A�-@i c- r '/r PART �i ^ Mr J/ S r•...AFUW r// 6. P. PAGE I. a: G / / / ' PARCEL , E'�� ✓ / / 9 TRACT M"? r✓n Jar Io. . J . PAgCEI MAP wo ISAA , TO.xe..P I + T. Y �' A✓P rawfpCC.m RIrf1 ra ,. IM 4 riy K TA wwM n.a as Ame 7 ro a.rn - r - w/w i' .YRRY.s.• �� .✓a.c rnRrr.a IIICµ/p 67A]E tNVERMI OAn pew..RONa c figW p =O R05 'V.e -+.- IlMK.91IR —/ wv11 ✓ Ao m • --�. P.�A r M•R m) v.1 TRACT 19090 SURVFYOR'S N07ES: .� Rs Iw-o .w.wE-r a1or� f 1 .[tn m ,Rf]rm P. r. AV. M1v, Tn sans r.✓I . .) .Y( Rl RGPO WL RF B]]i Ml I.Q y)O. DRAPAI[ `1'µf BASIS OF BEARINGS rN[•RS p({T ..etr d PAYt w`wi�.c � a yl PURCHASE AND SALE AGREEMENT (Parcels Located at Northwest Corner of University Parkway and Northpark Boulevard) THIS PURCHASE AND SALE AGREEMENT (this "Agreement") is made and entered into as of the day of , 2004, by and between the Redevelopment Agency of the City of San Bernardino ("Buyer"), and the City of San Bernardino ("Seller"). RECITALS (A) The Buyer is a public body corporate and politic organized and validly existing under the laws of the State of California (the "State"), and the Seller is a municipal corporation organized and validly existing under the Constitution of the State. (B) Seller owns certain property located in the City of San Bernardino, County of San Bernardino more particularly described in Exhibit "A" hereto (the "Property'). (C) Buyer has entered into a certain 2003 Disposition and Development Agreement, whereby Buyer will convey the Property to J. R. Watson and Associates Development Co., a California corporation (the "Developer"). Buyer intends to enter into a Clarification and Amendment to said Agreement. The Developer intends to develop the Property in phases as provided in the Disposition and Development Agreement. The Developer will pay a purchase price for the Property of Three Million Dollars ($3,000,000.00). The Buyer and Seller wish to provide for a conveyance of the Property from the Seller to the Buyer in order that the Buyer may convey the Property to the Developer pursuant to the Disposition and Development Agreement. (D) The Seller and Buyer have duly approved the transactions contemplated by this Agreement by approval of their respective governing bodies and in order to set forth the terms and conditions of such purchase and sale, the Buyer and Seller desire to enter into this Agreement. NOW, THEREFORE, for and in consideration of the foregoing Recitals and the mutual agreements hereinafter set forth, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows: ARTICLE I PURCHASE AND SALE Section 1.01. Purchase and Sale. Subject to the terms and conditions of this Agreement, Seller hereby agrees to sell, transfer and convey to the Buyer, and the Buyer hereby agrees to purchase from Seller, all of Seller's right, title and interest in and to the Property, excluding water rights. 484e-1109-52ee.2 SB2003,13436.1 Section 1.02. Purchase Price. The purchase price for the Property shall be Three Million Dollars ($3,000,000.00) (the "Purchase Price"). An MAI appraisal of the Property has been conducted by Smothers Appraisal (the "Appraiser"). According to the report prepared by the Appraiser, the fair market value of the Property is Three Million Dollars ($3,000,000.00). The Disposition and Development Agreement provides that the Developer shall pay 80% of the Purchase Price at the close of escrow thereunder and that the remainder 20% of the Purchase Price shall be financed by the Buyer hereunder, such financing to be evidenced by a promissory note (the "Promissory Note") and secured by a deed of trust creating a lien against all or some portion of the Property (the "Trust Deed"). All amounts received by the Buyer from the Developer under the Disposition and Development Agreement for payment of all or any portion of the purchase price thereunder shall, in turn, be paid by the Buyer to the Seller hereunder. The Seller hereunder shall be considered a third party beneficiary of the Buyer's rights under the Disposition and Development Agreement and under the Promissory Note and the Trust Deed. Section 1.03. Cash at Closing. Eighty percent (80%) of the Purchase Price shall be paid to Seller in cash at Closing (as defined in Section 3.01 hereol). The remainder of the Purchase Price shall be paid by the Buyer to the Seller upon receipt by the Buyer of periodic payments pursuant to the Promissory Note. Upon receipt of payments pursuant to the Promissory Note, the Buyer shall remit such amounts to the Seller in accordance with instructions received from time to time from the Seller. ARTICLE 11 TITLE INSURANCE Section 2.01. Seller's Obligation to Provide Title Insurance. Seller shall deliver to the Buyer, within ten (10) days after the execution and delivery of this Agreement by both parties (the "Effective Date"), a preliminary title report for an owner's title policy issued by Chicago Title Company, together with legible copies of all restrictive covenants, easements and other items listed as title exceptions therein (each a "Title Defect"). The title policy to be issued to the Buyer pursuant to this section shall ensure fee simple title to the Buyer in the amount of the Purchase Price, as adjusted pursuant hereto, subject only to the exceptions shown therein to which the Buyer has agreed in writing. The Buyer shall have five (5) days after its receipt of the preliminary title report within which to disapprove any Title Defects shown therein, such approval or disapproval to be within the Buyer's reasonable discretion. If the Buyer fails to disapprove any particular Title Defect by written notice delivered to and received by Seller within such time period, then the Buyer shall be deemed to have approved such title Defect. If the Buyer disapproves any such Title Defect by written notice delivered to and received by Seller within such time period, then the Buyer may terminate this Agreement unless Seller (without any obligation to do so) cures the Buyer's objection to such Title Defect. Title Defects which the Buyer approves or has been deemed to have approved pursuant to this Section shall have the option to either (a) extend the Closing by that period of time which is reasonably required by Seller to satisfy the title requirement or to cure the Title Defect, or (b) 4849-1109-5296.2 SB2003. 13436.1 terminate this Agreement by written notice to the Buyer in accordance with the notice provisions of this Agreement. ARTICLE III CLOSING Section 3.01. Closing Through Escrow. Subject to the provisions of this Agreement, the Buyer and Seller shall consummate and close the purchase and sale of the Property contemplated by this Agreement when all of the conditions of closing for the benefit of the parties hereto have been satisfied or waived, and when and if all conditions precedent to the close of escrow under the Disposition and Development Agreement have been satisfied, but in no event later than twenty (20) days after Buyer has received a Due Diligence Certificate (as that term is defined in the Disposition and Development Agreement) from the Developer (the "Closing"). Subject to the provisions of this Agreement relating to the extension of the Closing, if the Closing does not occur as a result of the failure of a condition, then the party hereto for whose benefit the condition exists may terminate this Agreement, in which event the parties hereto shall have no further rights or obligations pursuant to this Agreement. The transfer and sale of the Property shall take place through an escrow (the "Escrow") to be administered by Chicago Title Company or such other escrow or title insurance company mutually agreed upon by the Buyer and the Seller (the "Escrow Agent"). The Escrow shall be deemed open upon the receipt by the Escrow Agent of a fully executed copy of this Agreement. The Escrow Agent shall promptly confirm to the parties the escrow number and the title insurance order number assigned to the Escrow. The Buyer and the Seller each agree to execute the customary supplemental instructions in the form provided by the Escrow Agent to its clients in real property escrow transactions administered by it. Section 3.02. Seller's Obligations at Closing. At Closing, Seller shall deliver to the Escrow Agent the following documents (all duly executed and acknowledged by Seller, where required): a. Deed. A quitclaim deed in substantially the form attached to this Agreement as Exhibit `B", executed by Seller and conveying the Property to the Buyer, subject to no exceptions other than those agreed to by the Buyer. b. Title Policy. A commitment by the Title Company to issue an owner's title policy in CLTA standard form, naming the Buyer as the insured in the amount of the Purchase Price, insuring that the Buyer owns fee simple title to the Property, subject only to such exceptions as are agreed to by the Buyer 4849-1109-i296.2 SB2003. 13436.1 EXHIBIT "A" Legal Description Parcels 1, 2, 3, and 4 of Parcel Map No. 16307 recorded as document number 2003-0786277 on October 17, 2003 in Book 200 of Parcel Maps at Page 70-76 in the Records of San Bernardino County. 4849-1109-5296.2 SB2003, 13436.1 EXHIBIT `B" Quitclaim Deed 4849-1109-i296.2 SB2003'. 13436.1 RECORDING REQUESTED BY AND WHEN RECORDED RETURN TO: REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO -101 NORTH "E" STREET St II'E 301 SAN BERNARDINO, CALIFORNIA 92401 QUITCLAIM DEED 4549-1109-5296.2 SB2003:13436.1 (Space Above for Recorder's Use) Exhibit "A" Legal Description Parcels 1, 2, 3, and 4 of Parcel Map No. 16307 recorded as document number 2003-0786277 on October 17, 2003 in Book 200 of Parcel Maps at Page 70-76 in the Records of San Bernardino County. 4849-1109-5296.2 SB2003:13436.1 ACCEPTANCE By Resolution No. the Redevelopment Agency of the City of San Bernardino hereby accepts title to the property described in Exhibit A to this Quitclaim Deed. Dated: 2004 Redevelopment Agency of the City of San Bernardino Gary Van Osdel Executive Director 4849-1109-5296.2 SB2003:13436.1