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HomeMy WebLinkAboutR28-Economic Development Agency -"~ " ~""--,-~_."- ECONOMIC DEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO ORIGINAL FROM: Maggie Pacheco Deputy Director DATE: June 23, 2005 SUBJECf: REDEVELOPMENT PROJECT STUDY AND ~DEVELOPMENT ASSISTANCE AGREEMENT BETWEEN THE REDEVELOPMENT AGENCY AND STREET-MANCHESTER, LLC. SvnoDsis of Previous CommlssionlCouneiVCommlttee Aetion(s): On June 21st, 2005, Redevelopment Committee Member Longville and Alternate Member Johnson nnanhnnusly voted to recommend that the Community Development Commission consider this action for approval. Recommended Motion(s): (Community DeveloDment Commlluilon) MOTION A: RESOLUTION OF TIlE COMMUNITY DEVELOPMENT COMMISSION OF TIlE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING TIlE EXECUTIVE DIRECfOR OF TIlE REDEVELOPMENT AGENCY OF TIlE CITY OF SAN BERNARDINO ("AGENCY") (1) TO EXECUTE TIlE REDEVELOPMENT PROJECf STUDY AND REDEVELOPMENT ASSISTANCE AGREEMENT WITH STREET-MANCHESTER, LLC ("DEVELOPER"); AND (2) TO INITIATE A GENERAL PLAN AMENDMENT CHANGING TIlE LAND USE FROM CR.I TO CR.2 WITHIN TIlE CENTRAL CITY PROJECfS REDEVELOPMENT PROJECf AREA TO ACCOMMODATE REDEVELOPMENT OF TIlE SITE KNOWN AS TIlE CAROUSEL MALL Contact Person(s): Project Area(s) Gary Van OsdellMaggie Pacheco Central City Projects Phone: (909) 663-1044 1st Ward(s): Supporting Data Attached: It! Staff Report It! Resolution(s) 0 Agreement(s)/Contract(s) 0 Map(s) 0 Letters FUNDING REQUIREMENTS SIGNATURE: $ N/A Source: N/A CommlasionlCouneil Notes: ~() cj )lJos - .:21 P:\Apldu1Conm Ilov CoImliuionlCDC 2OOSIOS-07.oS _._ SRdoc COMMISSION MEETING AGENDA Meeting Date: 07/0512005 Agenda Item Number: f J. ~ _~'""''''CC~' . "j'r~'.. <<.. ... ,.~~,p.,... ......'w.- c ,-~. "..... ,., .., .-' ".'~ .... ECONOMIC DEVELOPMENT AGENCY STAFF REPORT REDEVELOPMENT PROJECT STUDY AND REDEVELOPMENT ASSISTANCE AGREEMENT BETWEEN THE REDEVELOPMENT AGENCY AND STREET-MANCHESTER, LLC BACKGROUND: On March 29, 2005, an Option to Purchase Agreement was executed between Street Capital Corporation and Central City Company LLC, Central City Complex LLC and Curci-Turner Company (collectively "Central City") whereby the Developer has the option to purchase certain property and buildings known as the Carousel Mall, including the department store and auto service center formerly occupied by Montgomery Ward and the retail space collectively known as the Central City Buildings, which are owned by the Central City Company. The Agency owns the parking lot surrounding the Carousel Mall as well as the parking structure on the northwest comer of the property and the City owns the common area on the site. The site also includes two additional vacant department stores, the Harris building owned by EI Cortes Inglas S.A., a Spanish Company and the former IC Penney building and auto service center owned by the Upham Development Company, a Texas Limited partnership. The entire site comprises 44 acres and is bounded by 2nd Street to the south, 4th Street to the north, "E" Street to the east, and the convergence of West 3rd Street and "G" Street to the west. CURRENT ISSUE: The developer proposes to determine the feasibility of developing the site as a mixed-use development including 300 townhouses, 450 condominium/loft dwellings, and 150 senior/bigb end-housing units, together with an additional 300,000 square feet of office space, 120,000 square feet of additional commercial/retail space and a ISO-room hotel. It is therefore proposed that the Agency enter into a Redevelopment Project Study and Redevelopment Assistance Agreement (the "Agreement") with the Developer, acting on his behalf as well as on behalf of Central City buildings, either as the owner of the Central City building or on behalf of the owner of the Central City buildings, subject to the Option to Purchase Agreement. The proposed term of the Agreement is one year from the date the Agreement is executed. Pursuant to the Agreement, the Agency and the Developer will take the necessary actions to determine the overall feasibility of the proposed land assemblage and development thereof. Central City Company has executed appropriate signature lines to the Agreement for the purpose of granting consent to the Agency and the Developer to enter into this Agreement for the purpose stated above. P,1Apodu1Colml Dev CommiaionICDC 2005\05-07-oS _.Maochoolcr Sltdoc COMMISSION MEETING AGENDA Meetina Date: 0710512005 Agenda Item Number: ~t ~,~C,- ,-- - _"___~'''~==.'c~,_~ _ '_~'~"'~~,~_~_F~_ Economic Development Agency Staff Report Street-Manchester, LLC Page 2 Staff further proposes that the Commission authorize staff to initiate a general plan amendment to change the land use designation from CR-! to CR-2 for the subject area as described. CR-! (Commercial Regional-Malls) District is a unique land use designation intended to maintain and enhance the CarouseVCentral City and Inland Center malls and adjacent properties and does not allow for some of the activities proposed. The entire CR-! designation of the mall area is surrounded by the rest of downtown which is zoned CR-2. CR-2 allows for a variety of urban related uses such as administrative and professional offices, entertainment, retail, restaurants, educational institutions, public space, and residential and senior housing. Bearing in mind that the Carousel Mall is no longer a traditional regional mall in its present form, this general plan amendment will bring the subject property into uniformity with the rest of downtown and allow for a mixed-use project as proposed. ENVIRONMENTAL INPACT: None. FISCAL IMPACT: None. RECOMMENDATION: That the Community Development Commission adopt the attached Resolution. Maggie P heco, Deputy Director P:1Apndu1Conm Dev ConwniaiooICDC 2005\OS-07-05 _-_hater Sltdoc: COMMISSION MEETING AGENDA Meetina Date: 0710512005 Agenda Item Number: If.:1f ~"'H'~'"9"<"""" 0 2 3 4 5 6 7 8 9 10 0 13 14 15 16 17 18 19 20 - ,,- ,-c' '.~ ' ,'---- ,".,-', . ''''''''~'''''''''''''''!'F~'''' ^'"--".~~~f,~~ "<""-""-__")<-<"_C''''~'\,""_~~2-''''-7''"",""" RESOLUTION NO. COpy RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING THE EXECUTIVE DIRECTOR OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO ("AGENCY") (1) TO EXECUTE THE REDEVELOPMENT PROJECT STUDY AND REDEVELOPMENT ASSISTANCE AGREEMENT WITH STREET-MANCHESTER, LLC ("DEVELOPER"); AND (2) TO INITIATE A GENERAL PLAN AMENDMENT CHANGING THE LAND USE FROM CR-! TO CR-2 WITHIN THE CENTRAL CITY PROJECTS REDEVELOPMENT PROJECT AREA TO ACCOMMODATE REDEVELOPMENT OF THE SITE KNOWN AS THE CAROUSEL MALL II WHEREAS, the Agency owns certain property within the Central City Projects Redevelopment Project Area (the "Project Area") as generally depicted in Exhibit "A" (the "Agency Property"); and WHEREAS, third parties own certain property ("Other Properties") as generally depicted in Exhibit "A" ("Other Private Property"); and WHEREAS, the Agency is prepared to consider and study the provision of certain redevelopment assistance to Street-Manchester, LLC (the "Developer") to facilitate the assembly of the Agency Property, Private Property and Other Properties (the "Site") into 12 21 developable parcels of land so as to foster, the community economic development goals and objectives of the City of San Bernardino (the "City") as it relates to the redevelopment plan for the Project Area and the Agency has designated for such study purposes, the land included within the perimeters of the tract marked by the boundary lines depicted in Exhibit "A" (the "Study Area") for such study; and WHEREAS, the Study Area includes both the Agency Property, Private Property and Other Properties; and WHEREAS, the Agency intends to initiate certain additional studies and proposals to address a number of issues of community concern in the Study Area relating to elimination and 22 23 24 o 25 prevention of the spread of blight from the Study Area; and -1- P:\Alenda.\Rncllutkuu\ResoluIi0A.UOO5\85-07-05 S".el-M.ncbe'ler LLC ReM A.doc ~~_~'FO UTi" O'"C__'~" '~"='~.F"~~u"T"';r""'."<.7?"'~"T_--- o WHEREAS, in order to facilitate the develbpment of the Study Area, the land use 2 designation will have to be modified from CR-l to CR-2; and 3 WHEREAS, the Developer is qualified to assist the Agency to undertake the study of o 4 specific proposals and plans for a coordinated and economically sustainable redevelopment project in the Study Area, which will require specific study, evaluation, and planning by the City and Agency, as applicable, of appropriate and feasible community redevelopment program alternatives; and 5 6 7 8 WHEREAS, in accordance with the provisions of the California Environmental Quality Act (CEQA), a redevelopment study agreement is exempt from the provisions ofCEQA. NOW, THEREFORE, THE COMMUNITY DEVEWPMENT COMMISSION OF THE CITY OF SAN BERNARDINO DOES HEREBY RESOLVE, DETERMINE AND ORDER, AS FOLLOWS: 9 10 11 12 13 Section 1. The Community Development Commission hereby authorizes and approves the Agreement by and between the Agency and Developer in the form as presented at the meeting of the Commission at which this Resolution is adopted and hereby authorizes the Executive Director to execute the Agreement on behalf of the Agency together with such technical and conforming changes as recommended by the Executive Director and approved by the Agency Counsel. 14 15 16 17 18 Section 2. The Community Development Commission hereby directs Agency staff to initiate a General plan Amendment changing the land use designation from CR-} to CR-2 for the area bounded between "E" Street to the east, the convergence of West 3rd Street and "G" Street to the west, 4th Street to the north, and 2nd Street to the south to accommodate proposed re-development of the Site. Section 3. The Resolution shall become effective immediately upon its adoption. 19 20 21 22 23 24 //1 o 25 /I / -2- P:\A....d.1I',RHa...d8_~_ballaa.\lOO$\O~O,.O!!i S......t.M..l'h...... 1_I_r R_ A_dlll' ~ "'I - iT 'Il'r RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING THE EXECUTIVE DIRECTOR OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO ("AGENCY") (I) TO EXECUTE THE REDEVELOPMENT PROJECT STUDY AND REDEVELOPMENT ASSISTANCE AGREEMENT WITH STREET-MANCHESTER, LLC ("DEVELOPER"); AND (2) TO INITIATE A GENERAL PLAN AMENDMENT CHANGING THE LAND USE FROM CR-I TO CR-2 WITHIN THE CENTRAL CITY PROJECTS REDEVELOPMENT PROJECT AREA TO ACCOMMODATE REDEVELOPMENT OF THE SITE KNOWN AS THE CAROUSEL MALL I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the 9 Community Development Commission of the City of San Bernardino at a 18 19 20 , 2004, by the following vote to wit: Abstain Absent Secretary The foregoing resolution is hereby approved this By: day of ,2004. 21 22 23 Judith Valles, Chairperson Community Development Commission of the City of San Bernardino 24 Approved as to form and Legal Content: 25 o r:\AI.Ddal\RtHlu.ieu\RtMluUfuuUOO5\o5-07..5 Slre.t.M.-dleller LLC Rei' "-de( -3,- '~[;('? 'TIT ',~ '-'i!r,p"n o o o v'" '-'-'-""~","'--' ,- _~'T~ '" x:r~., ,- n T'lu'l ,,,,'Co,"~'"~ ,_co - ----T"'iiJw-~:e' :~'",~1:~;~~-C:-~:.:~-~::~o::":::= REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO REDEVELOPMENT PROJECT STUDY AND REDEVELOPMENT ASSISTANCE AGREEMENT (STREET - MANCHESTER: CAROUSEL MALL) . THIS REDEVELOPMENT PROJECT STUDY AND REDEVELOPMENT ASSISTANCE AGREEMENT is dated as of , 2005 (this "Agreement"), and is entered into by and between STREET-MANCHESTER, LLC, a California limited liability company, (the "Developer"), and the REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, a body corporate and politic (the "Agency"), in light of the facts set - forth in the following recital paragraphs: RECITALS A. The Agency desires to encourage and effectuate the redevelopment of certain real property, known generally as the Carousel Mall and comprising approximately forty four (44) acres, generally bounded by 2nd Street to the south, North "E" Street to the east, East 4th Street to the north, and the convergence of West 3rd Street and "G" Street to the west (the "Site"), that is depicted on the "Study Area Map" attached hereto as Exhibit "A"; and B. The Site lies within the Agency's Central City Projects, Redevelopment Project Area (the "Project Area"), and is subject to the Project Area's governing redevelopment plan (the "Redevelopment Plan"); and C. The Site consists of three (3) vacant department stores, retail shop spaces, a parking lot, a common area, and two (2) vacant auto service centers; and D. The Agency owns the parking lot and the City has owned and continues to own the common area on the Site, as depicted in Exhibit "B" (collectively, the Agency ownerships of certain real property and the City ownerships of certain real property are referred to herein for conveni~nce purposes as the "Agency Property"), subject to that certairi Declaration of Restrictions, Construction, Operation, Restriction and Easement Agreement dated December 24, 1970, and entered into by and between: the Agency; John S. Griffith & Co., and Curci-Turner Co.; J.C. Penney Company, Inc.; Monwar Property Corporation; The Harris Company; the City of San Bernardino; Upham Development Company; and Connecticut General Mortgage and Realty Investments (the "REA"); and E. Pursuant to that certain Option to Purchase Agreement, executed March 29, 2005, by and between Street Capital Corporation and (i) Central City Company, LLC, (ii) Central City Complex, LLC, and (iii) Curci-Turner Company (collectively, "Central City,"), the Developer has the option to purchase certain real property and buildings comprising the Site, including the department store and auto service center formerly occupied by Montgomery Ward, and the retail shop spaces (collectively, the "Central City Buildings"), which are owned by Central City. Said Option to Purchase Agreement contains the terms and conditions pursuant to which the Central City Buildings may be purchased by the Developer through and including August 15,2005. The Site, including the three (3) department stores, the Central City Buildings, and the two (2) auto service centers are owned 4850-9725-) 584, I 1 263122,1 001659,0001 6.16,2005.10:22 AM p.\Aaendu\Aacnda Attachmcnts\Apmls-Amcnd 2005\05-07-05 SU'CCI-MarKhester (Carousel Mall) Projec1 Study Aarecmem,rtr -~ ~ '-",,'~~" o o o qm~<'" ,-~ ''l"'N''''''-=''~ ""-~""~.' N_N"'"-.Vi'''~-~'''""'''W~''~~'''1~~ by three (3) separate and distinct third parties, as depicted in Exhibit "B" (the "Private Property"). The department store commonly known as the "Harris Building" is owned by El Corte Ingles S.A., a Spanish company. The department store and auto service center formerly occupied by JC Penny (collectively, the "JC Penney Properties"), is owned by Upham Development Company, a Texas limited partnership; and F. Developer proposes to determine the feasibility of developing the Site as a mixed use development comprised of approximately 300 townhouse units with attached parking, approximately 450 residential/loft/condominium type units with structured parking, approximately 150 senior/high- end housing units, approximately 300,000 square feet of office space, approximately 120,000 square feet of commerciaVretail space, and a four-story hotel with approximately 150 rooms, while recognizing and retaining the Project Area's unique architectural fabric and historic building characteristics all as illustrated in the Concept Plan A (collectively, the "Project"), and to negotiate with the Agency on its own behalf if the Developer then is the owner of the Central City Buildings or, as applicable, on behalf of Central City as the owner of the Central City Buildings, but subject to the Option to Purchase Agreement or any subsequent real property purchase agreement by the Developer with Central City for the Central City Buildings, the potential terms of an Owner Participation Agreement (the "Project OP A"); and G. The Agency is prepared to consider and study the provision of certain redevelopment assistance to the Developer which has not been identified as of this date to facilitate the assembly of the Private Property with the Agency Property into developable parcels of land so as to foster the community economic development goals and objectives of the Agency and the City of San Bernardino (the "City"), including the elimination and spreading of blight, as the same relates to the Project Area, and the Agency has designated the area to be included for such study purposes, the land within the perimeters of the Site, as depicted in Exhibit "c" which includes a copy of the Concept Plan A (the "Study Area") for such study; and H. Based upon information furnished by the Developer to the Agency together with further investigations conducted by the Agency, the Developer is qualified to assist the Agency to undertake the study of specific proposals and plans for a coordinated and economically sustainable redevelopment project in the Project Area, including the Study Area, which will require specific study, evaluation and planning by the City and Agency, as applicable, of appropriate and feasible community redevelopment program alternatives; and I. The Developer and the Agency believe it is appropriate for the Agency, in consultation with the Developer, to review by Agency staff those studies, reports and investigations conducted by the Developer as the Project Study Costs as part of a program for the study of feasible redevelopment programs for the Study Area, subject to the terms and conditions as set forth below; and J. Central City has executed the appropriate signature lines of this Agreement solely for the purpose of granting its consent for the Agency and the Developer to enter into this Agreement for the purposes as stated herein with the full knowledge and concurrence of Central City. Notwithstanding the foregoing, no covenant, conditions, restrictions or agreements pursuant to or arising out of this Agreement, shall affect the Central City Buildings and/or Central City, unless and until the Developer becomes the owner of the Central City Buildings. 4850-9725-1584, I 2 263122,1 001659,0001 6,16,2005 -10:22 AM P ,^.cndas\Aj:cnda Anacbmcnll\Aamu-Amend 2003\OS-07-0' Strccl-Manchester (Carousel Mill) Project Study Aarcemenll1f ---"j"-T--- cC _c C o o o '^'CC C.C_' ow _ _c_cccc~'~ccccc"c ,<c ._,c,c "CO __., c,c.",c~.cC_'C"c," c" ,._ .",p'''~c """'-""__"'"'F,c""c''''''':7''.'",'c'''~,.,,, '".,_ _ NOW THEREFORE, IN CONSIDERA nON OF THE MUTUAL COVENANTS AND PROMISES SET FORTH HEREIN, THE DEVELOPER AND THE AGENCY HEREBY AGREE, AS FOLLOWS: 1. The Ne2otiation Period and the Term of Aereement. a. The rights and duties of the parties established by this Agreement shall commence following its approval by the governing body of the Agency when it has been fully executed by the parties within the period of time authorized in Section 17 (such date being the "Effective Date"). This Agreement will continue in effect until a date which is twelve (12) months from the Effective Date unless such date shall have been first extended as authorized under Section l.b(2). Such time period during which this Agreement shaH be in effect (including any extensions of time approved by the Agency) is referred to as the "Negotiation Period". b. This Agreement shall automatically terminate, without further notice or action, and be of no further force or effect twelve (12) months following the Effective Date, unless prior to that time: (1) the parties execute the Project OPA, as described below, which will include, without limitation, other relevant community redevelopment covenants acceptable to the Agency and such other terms and conditions mutually acceptable to the parties, in which case this Agreement shall terminate on the effective date of the Project OPA; or, (2) the Project has been submitted to the Planning Commission, but additional time is necessary to complete processing by the Planning Commission and City Council for final approval of the environmental impact report ("EIR") or any other California Environmental Quality Act ("CEQA") document, and all entitlements for the Project, in which case the Negotiation Period may be extended upon delivery of a notice of extension from the Developer to the Agency for a period of time not to exceed an additional one hundred twenty (120) days; or, (3) During the processing of the Project it is determined that the EIR must be re-circulated, in which case the Negotiation Period may be extended upon delivery of a notice of extension from the Developer to the Agency for a period of time not to exceed an additional one hundred twenty (120) days; or, (4) Following final approval of the EIR and obtaining of all entitlements, a lawsuit is filed challenging such approvals, in which case the Negotiation Period may be extended either (i) upon delivery of a notice of extension from the Developer to the Agency for a period of time not to exceed an additional one hundred eighty (180) days, or (ii) for such longer period of time as may be required while such legal challenges are pending and as needed to prepare and certify a new EIR, or to revise, re-circulate and certify the EIR and/or revise and re-approve entitlements, if necessary, as a result of any threat of challenge, or the settlement or judgment in a lawsuit; or (5) the parties each agree to extend the term of this Agreement in writing to a specific date, subject to the Agency first making a finding in its sole discretion that satisfactory progress is being made to complete the activities to be performed by the Developer set forth in Section 3 if so determined by the Agency Executive Director for one (I) additional extension period not to exceed one hundred and twenty (120) days; or 4850-9725-1584,1 3 263122.\ 001659.0001 6.16,2005.10:22 AM P \A.cndu\Aacnda Anadwcnll\Apm-Amma 2005\05-07-05 StI'C'Cl-Manchcs1cr (Carousel Mall) Projec:1 Stud)' AJl'Ccmcnl nf ,"<,"".'1""'" o o o ,c_ c. ~_._- .-- ".,-"'"c".,....,...".~.;C?"'""',""., - - .,..,,,...._.,,..,';.,'~...""-...,:.,':.,."';-?""~.,"V"'.f'.~<."..~ (6) applicable. a party tenninates this Agreement as provided under Section 19 or Section 20, as 2. DeveloDer Acknowledements. a. The Developer hereby acknowledges and agrees that no provision of this . Agreement shall be deemed to be an offer by the Agency or an acceptance by the Agency of any offer or proposal from the Developer to convey any interest in the Agency Property or the Private Property to the Developer. Any studies relating to the Study Area, the Agency Property or the Private Property, and the Project that may hereafter be undertaken by the Developer, in its sole discretion shall be the sole responsibility of the Developer and shall not be deemed to be undertaken for the benefit of the Agency, or the City. b. The qualifications and identity of the Developer and its principals are of particular concern to the Agency. The Agency relied on these qualifications and identity in entering into this Agreement with the Developer. During the tenn of this Agreement, no voluntary or involuntary successor-in-interest of the Developer shall acquire any right or power under this Agreement. The Developer shall not assign all or any part of this Agreement or any rights hereunder, without the prior written approval of the Agency Executive Director, which approval shall not be unreasonably withheld, provided the Developer can demonstrate to the reasonable satisfaction of the Agency Executive Director that the Assignee has the financial capability and the experience necessary to develop the project to the same standard of quality that would have been undertaken by Developer. Notwithstanding the foregoing, Developer shall have the right to assign this Agreement and its rights hereunder to an entity, which controls, is controlled by or is under common control with the Developer, or its principals, members or affiliates. c. The Developer shall promptly notify the Agency in writing of any and all changes whatsoever in the identity of the business entities and individuals either comprising or in control of the Developer, as well as any and all changes in the interest or the degree of control of the Developer by any such party, of which infonnation the Developer or any of its partners or officers have been notified or may otherwise have knowledge or infonnation. Upon the occurrence of any significant or material change, whether voluntary or involuntary, in membership, ownership, management or control of the Developer (other than such changes occasioned by the death or incapacity of any individual) that has not been approved in writing by the Agency Executive Director, prior to the time of such change, the Agency may tenninate this Agreement by serving written notice of such tennination, referencing this Section, on the Developer. 3. Proiect Study. a. Within thirty (30) days following the Effective Date, the Developer shall initiate the preparation of a feasibility study for the redevelopment of the Project proposed by the Developer (the "Project Study"). The Developer shall retain the services of a finn, or finns, of community redevelopment planning, engineers, architects, land use planners and environmental consultants to produce all necessary reports, studies and environmental documentation and other investigations, surveys and reports appropriate in connection with the Project Study and the evaluation of the Project proposed by the Developer and for the processing of all entitlements required to be obtained from the City together with the required enviranmental review and processing. All third party costs incurred by the Developer as part of the preparation of the Project Study shall be paid solely by the Developer in accordance with Section 4 of this Agreement. 4850.9725.15&4.1 4 263122.1 001659.0001 6.16.2005 - 10:22 AM P ,^gcndas\Aaenda AnKhmcnls\A&mas-Ammd 200S\OS-07-0S Suecl-ManchesICT (Carousel Mall) Projecl Study ^areemenl nf -'~~"''''''rl'p'..r'~rT~''~' rifw o o o . ~,-"""""''''' - I ",. -" '"~>""'!1lWV~~"'''~~H-5-''T~'''r -::- ~~ On a best efforts basis, the Developer shall cause the initial phase of the Project Study as evidenced by the completion of an "Initial Study" as this term is defined under CEQA to be completed for the Project within ninety (90) days, following the Effective Date. As used herein, the term "best efforts basis" and "best efforts" whether applicable to the Developer or the Agency or any other person or entity not a party to this Agreement, shall mean that such entity, person or party shall perform the required action item in a timely and diligent manner and shall be responsible to incur reasonable costs, unless otherwise limited in a particular instance, in an effort to accomplish the intended result but without any guaranty or warranty as to the final outcome or result of any such efforts. The Initial Study as prepared by the Developer shall be reviewed by the Agency staff for general conformity with this Agreement. Thereafter, provided the Developer has completed the studies described in Section 3e (A) and (B) in sufficient detail to be mutually acceptable to the Developer, Agency and the City, the CEQA process shall commence within thirty (30) days thereafter. Subject to the privilege of the Developer to suspend the Project Study prior to its completion as set forth in Section 19, each of the parties presently believes that the Project Study can be completed, including without limitation, the conduct of a public hearing on a final environmental initial study document for the Project, within nine (9) months following the Effective Date. b. The Developer may modify the description of the Project at any time; provided however, that substantial modifications of the Project shall: (i) be subject to the acceptance and approval of the Agency Executive Director which approval shall not be unreasonably withheld, conditioned or delayed; (ii) depending on the nature of such a modification, a suitable modification of the environmental and other elements of the Project Study as modified, may also be indicated. The Agency and the Agency Executive Director may request that the Developer consider modifications to the description of the Project from time-to-time. The final form of each such modification shall be subject to the reasonable approval of the Agency Executive Director and the Developer. c. The Agency shall on a best efforts basis during the course of the Project Study consider the specific terms and conditions of redevelopment assistance which the Developer may propose to include in the Project OP A; provided, however, the Agency reserves the sole and absolute discretion to accept, reject or modify any such proposed term or condition to the Project OP A in its sole discretion. d. All third-party consultants, if any, retained by the Agency to review any study; report or document prepared by or on behalf of the Developer as part of the Project Study shall be subject to the sole control and direction of the Agency. The work product of any such person shall be the property of the Agency and the Agency shall have the right to use and republish such work product for any purpose e. Subject to the terms and conditions of this Agreement, the Developer shall undertake an economic feasibility study of the Project as part of the Project Study consisting of the elements as set forth below: 4850-9725-1584.1 5 263122.1 001659.0001 6.16.2005 - 10:22 AM P \Aaendas\Aaenda Anachmcnts\Aamu-Amrnd 2005\05-07-05 Sttcct-ManchC'stcr (CarollSCl Mall) Project Saud)' Aarccmcn1nf o o o ~1Xf-- , (A) preparation by the Developer in consultation with the Agency of a preliminary financial feasibility study/analysis for the development of the Project on the Site, setting forth the plan for acquisition of the Private Property and the phasing of Project development, if any, and an estimate of development costs, project income, and a proforma statement of Project capital return including, without limitation, the following: (I) projections of Project income and operating expenses; and (2) projections of debt and equity that will be required of the Developer to undertake the Project including construction and permanent financing of the private structures and infrastructure financing for all publicly owned facilities; and (3) projections of Project cash flow; and (4) projections of public (City, State and Federal) financial assistance anticipated for the Project including source, dollar amount, timing of the necessity for such funds and the probable repayment source; and (5) projections of overall development costs, including private and public improvements, Project assessed values, revenues designated by sources and dollar amounts, transient occupancy taxes, sales and property taxes. An initial draft of a document including the study elements identified in subparagraph (I) through (5) above shall be completed by the Developer and submitted to the Agency within ninety (90) days following the Effective Date. Thereafter the parties shall refine the draft document as submitted by the Developer in accordance with a schedule to be mutually agreed upon for the refinement of the work for such studies, including the content and scope thereof, to be mutually approved by the parties. (B) Prior to the time when the Initial Study is completed, as determined pursuant to CEQA, the Developer in consultation with the Agency, shall have prepared a proposed conceptual development plan for the Project, to include, without limiting: (1) proposed land use categories on a parcel-by-parcel basis, including proposed zoning and General Plan changes, if any, necessary to accommodate the Project; and (2) proposed time schedule and cost estimates for the development and proposed public and private infrastructure upgrades, proposed publicly owned facilities, public improvements, public infrastructure and private development; and (3) proposed financing plan identifying the timing of receipt by the Developer and the Agency, as applicable, of the financing sources for all private and public improvements proposed in the Project, by phase, if applicable; and (4) proposed financing plan for the acquisition by the Developer and/or the Agency of any Private Property as necessary for the Project. 4850-9725-1584.1 6 263122.1 001659.0001 6.16.2005 - 10:22 AM P:~\AJenda Aaw:hments\Ap1IU-Amend 200S\OS.07~OS Strecc.Manc:hesltr (CarollSCl Mall, Projel:t Study Aarecmenl.nf ~:~Tf!"""" o o o . ',' '17' ... ,"---'" ' '. '11 f ," :CK'''''-''''~~'"",=i'[~C''''''-4=,".,.c''''-~~t''' "'- -~'c,,~,pOC"'-, -'j'-T;;"':,~-'1~:;:"lf":'::~r-'<<frB:'''~'~''':~i~~~~~")!'J,~M'II The conceptual development plan for the Project as described above may be revised from time-to-time in accordance with a schedule of preparation and revisions as may be mutually approved by the parties. f. Within sixty (60) days after the Effective Date, the Developer shall inform the Agency in writing whether, based on the information set forth in Section 3.e.(A), the Developer believes that the Project is feasible prior to the time when a "Notice of Preparation" or a "Notice of Intention to Adopt a Negative Declaration" as these terms are defined in CEQA, as applicable, has been circulated. Thereafter, the Developer and the Agency may proceed to negotiate the final form of an agreement, in which the specific terms for the redevelopment of the Site may be set forth on terms mutually acceptable to the parties as may be contained in the Project OP A. g. The Developer shall submit each of the items of information described in this Section to the Agency Executive Director, within the time periods set forth above. Within twenty (20) calendar days after receipt of any such information, the Agency Executive Director shall determine whether such information is satisfactory. If the specific item of information is unsatisfactory to the Agency Executive Director, he or she shall notify the Developer in writing of the reason or reasons that the information is unsatisfactory. If the Agency Executive Director does not make a determination regarding any item of information submitted by the Developer under this Section 3, within twenty (20) calendar days of receipt of such information, the information shall be deemed submitted in acceptable form by the Agency. The determinations to be made by the Agency Executive Director under this subsection shall in no manner bind or constitute the approval of the Agency regarding, without limitation, plans, specifications, engineering, architecture, uses, tenants, sale prices, rental rates, the Project or the Project OP A. 4. Proiect Study Costs. For the purposes of this Agreement, "Project Study Costs" shall mean and refer to the costs and expenses of third party consultants who are engaged by the Developer under written contract to undertake one or more elements of the Project Study including the environmental review and processing and the preparation of all required studies and reports in furtherance of the entitlements to be requested by the Developer from the City. Project Study Costs shall include third party costs incurred by Developer in connection with the preparation or submission of any information relating to the Project on which any element of the Project Study may be based, including civil engineering expenses, traffic consultant fees, architectural fees, accounting fees and the like. In addition to the Project Study Costs incurred and paid by the Developer, each party shall bear its own legal fees and costs and for consultants and service providers, which such party engages. Notwithstanding the foregoing, the Developer understands that the Agency may request, and the Developer shall consider, that the Developer enter into separate written agreement(s) pursuant to which the Developer would reimburse the Agency for specifically budgeted, identified and capped third party independent consultant costs, which the Agency may desire, based on staffing unavailability, to review the Project Study. The Developer further recognizes that it will be required by either the City or the Agency as the "lead agency" under CEQA to enter into a separate agreement for all additional costs that may be incurred in such "lead agency" capacity to review and process all CEQA documents to be prepared by or on behalf of the Developer as the Project Study Costs. 4850-9725-1584.1 263122.1 001659.0001 6.16.2005 -10:22 AM P '^ecndas\Aaenda AnKhmcnulApnu.Amcnd 2005\OS..o7..cH Suca;.t.lanchcstcr (Carousel Mall) Projca Sludy ^arcemenln( 7 -~"W~~'","'."'+C'.'."'''~'' ~- '. ,". ""~'."" o o o c_c,,,c ,c._ -HC~'~'1 r"~f'r7" _,'c "C' TI"~ _c' ~'>-~-'nf'-r'""F'~"""'''''~'-~"^ 5. Obli2atioDs of the DeveloDer. During the Negotiation Period, the Developer shall proceed diligently and in good faith to perform the following: a. Consider the redevelopment of the Project, including without limitation the selection of tenants and the design of improvement elements as appropriate for the Project; and b. Review and provide the Project Study information described in Section 3 and provide all draft versions of any CEQA document required by the City to be prepared by the Developer as part of the Project Study and the Project OP A and, if acceptable to the Developer, submit an executed copy of the final form of the Project OP A to the Agency Executive Director on or before the end of the Negotiation Period (or such later date corresponding to an authorized extension of the Negotiation Period); and c. Consult with the Agency and the' Agency Executive Director on a regular basis and keep the Agency and the Agency Executive Director advised on the progress of the Developer in completing its obligations under this Agreement. 6. A2encv Not to Ne20tiate with Others. a. The Agency, currently, deems the disposition of the Agency Property and the redevelopment of the Site for a feasible Project to be appropriate, and the Developer appears to be well qualified to undertake the task of planning the details for the acquisition of the entire Site, including the sale of the Agency Property to the Developer. b. During the Negotiation Period, and subject to the Agency's compliance with the California Community Redevelopment Law ("CRL") and the Agency's Owner Participation Rules regarding the rights of owners and tenants, the Agency shall negotiate exclusively with the Developer with respect to the Site during the Negotiation Period, the Agency shall not negotiate with any other person or entity regarding either the disposition of any of the Agency Property or the redevelopment of the Project on the Site and/or the Study Area. The term "negotiate," as used herein, shall be deemed to preclude the Agency from accepting any other offer or proposal from a third party to either acquire from the Agency any interest in any of the Agency Property (in whole or in part) or redevelop the Site, and from considering other redevelopment proposals for the Site with third persons or entities; provided, however, any person may submit and the Agency may consider any proposal for the disposition and/or redevelopment of any lands adjacent to the Site. Nothing contained herein shall be interpreted to prevent or limit the requirement and the ability of the Agency to negotiate with and obtain property interests in any real property or business interest located within the Site when such third party is exercising their rights pursuant to the Agency's Owner Participation Rules as required under the CRL. Such exempted transactions from the limitations of this Section shall include the Harris Building, the IC Penney Properties and the various business tenants presently or hereafter located in the Central City Buildings. c. During the Negotiation Period, the Agency may in its' sole discretion, elect to acquire any Private Property as the Agency may deem appropriate on such terms and conditions as the Agency may approve. Nothing herein shall be deemed to be a commitment or understanding by the Agency to the Developer to acquire any such Private Property as may be offered for sale or which otherwise may 4850.9725-1584.1 8 263122.1 001659.0001 6.16.2005.10:22 AM P\Aacndu\A,enda AUKhmr:nts\Apnu-Amcnd 200'\O'-07-OS Slrca-ManchcstC1 (CU'OUKI Mall) Projec:l Study Aarccrnen1 nf __ ~ ~.,..,..."".!:~"o." o o o .~ q m .,.~ ,~~~ ~ .' --- ~." ,~ ~W,uq.~~.,~~ ,~,~"" ~" ~ '"'''~''' ,.~,'~~~~~_ become available for acquisition during the Negotiation Period and the Agency shall not be deemed to have appropriated or made available any funds therefore. d. Nothing in this Agreement shall bind the Agency to, or be construed to be a commitment by the Agency to, exercise its power to acquire property pursuant to Health and Safety Code section 33391 or to exercise its power of eminent domain with regard to any particular parcel or parcels comprising the Site. As may be further provided in the Project OPA, the Agency may be requested, however, to consider in good faith, consistent with any applicable provision of law, any request to the Developer that the Agency exercise its power of eminent domain with regard to any particular parcel or parcels comprising the Site. In no event shall the Agency have any liability to the Developer for the Agency's failure to act upon the Developer's request, nor shall the Agency exercise its power of eminent domain unless and until the governing board of the Agency (the "Agency's Board") has duly considered the evidence before it as to whether the affected property is necessary for a public use and, in the exercise of the Agency's Board's sole discretion, has adopted a resolution of necessity after a duly notice public hearing, and has otherwise complied with the provisions of the Californian Eminent Domain Law, Code of Civil Procedure section 1230.010, et seq. The Project OP A shall additionally set forth the financial obligations of the Developer for the payment of the costs of such eminent domain proceeding, including appraisal costs, expert witness fees and legal expenses, whether through the purchase price of the property so acquired or otherwise. e. Notwithstanding any other provision of this Agreement, during the Negotiation Period, the Agency shall not be precluded from furnishing, to persons or entities unrelated to the Developer, information in the possession of the Agency relating to the redevelopment of any other land owned or controlled by the Agency in close proximity to the Site, except for the Study Area. Consideration of the redevelopment of the Project Area under the terms of the Redevelopment Plan shall remain in the sole and exclusive purview of the Agency. The Agency may also provide any other information in its possession that would customarily be furnished to persons requesting information from the Agency concerning its activities, goals and matters of a similar nature, or as required by law to be disclosed upon request. 7. Ae:encv Cooperation. During the Negotiation Period, the Agency shall: a. At the request of Developer, use its best efforts to assemble written materials and documents relating to the Site that are in the possession of the Agency. b. Use its best efforts to provide appropriate comment to the Developer with respect to one or more conceptual development plans, as may be proposed by the Developer for the Project, and the redevelopment of the Site, including, but not limited to, conceptual plans or studies of vacation, realignment or abandonment of public property and facilities, the installation and improvement of public improvements and environmental evaluation of the Project. c. Use its best efforts to provide the Developer with limited access to those portions of the Site owned by the Agency and the City and referred to herein as the Agency Property, during the Negotiation Period, for the purpose of conducting customary due diligence investigations thereon, including environmental investigations of the subsurface or any structure thereon, subject to the terms and conditions of a separate environmental investigation and inspection license agreement to be agreed upon by the Agency and the Developer, at some later date, if applicable. 4850-9725-1584.1 9 263122,1 001659,0001 6,16,2005 -10:22 AM P\Aacndas\AJcnda AnKhmc:nl5Apnu-Amend 200S\O'-07-OS Slrccc-Manc:hcslcr (Carou.scl MaU) Project Sludy Aarccmc:ntn( ~~~~ - ~ ~- ~--, ~-<.,<< "<"<<-~"-~--~- d. Use its best efforts to provide Developer with information or copies of studies o performed or to be performed relative to the Project Area. e. Use its best efforts to formalize the Project OP A with the Developer, wherein the Agency agrees to transfer to the Developer the Agency Property for such consideration to be agreed upon, including the development of the Concept Plan A as attached hereto as Ex!llbit "D", in exchange for the release of the Agency and the City from the REA, under which the City is currently obligated to pay approximately one million dollars ($1,000,000) annually in maintenance and management expenses. f. Use its < best efforts to assist the Developer in obtaining the entitlements necessary to develop the Project on the Site but without the incurring of any independent consultant or legal expenses. g. After such time as the Developer has established to the reasonable satisfaction of the Agency Executive Director that it has the right and ability to purchase the Central City Buildings, the Agency shall use its best efforts to commence the process required under the CRL and other applicable law for the agency to provide notices of owner participation rights, to the extent required, as a condition precedent to the ability of the Agency to either acquire the Harris Building and the JC Penney Properties through a voluntary acquisition or to consider adopting a resolution of necessity and utilizing its power of eminent domain. Any such acquisitions, including the costs related thereto for appraisals, expert witnesses and legal expenses, shall be with funds provided by the Developer all as may be set forth in a separate written agreement or the Project OPA o h. Use its best efforts without the incurring of any consultant or legal expenses to utilize Agency staff personnel to expedite compliance under CEQA for the Project, including, without limitation, any zoning changes, adoption of a Specific Plan, General Plan amendments, a Statutory Development Agreement, and all other entitlements necessary for the development of the Project on the Site, suggested by the Developer in its proposed conceptual development plan, referred to in Section 3e(B) above, or at any other time during the Negotiation Period. 8. Nel!otiation of Proiect OPA. During the Negotiation Period, the Agency and the Developer shall negotiate diligently and in good faith to prepare and enter into the Project OP A. Both of the parties shall exercise best efforts to complete discussions relating to the final terms and conditions of the Project OP A and such other matters, as may be mutually acceptable to the parties for the redevelopment of the Project on the Property, prior to the expiration of the Negotiation Period but neither party, after such diligent and good faith negotiations, shall be bound by any term or provision of this Agreement to complete any such negotiations or to execute any final Project OPA. 9. Consideration for tbis Al!reement and Reservation of Ril!bts. o In consideration for the Agency's entering into this Agreement, the Developer will undertake its obligations under this Agreement and provide the Agency with copies of all studies and reports and other information generated by the Developer or its consultants regarding the Project or the Site. The parties agree that, if this Agreement terminates for any reason, the Agency fails to extend the Negotiation Period, or the Project OP A is not finally approved by the Agency, for any reason, neither 4850-9725-1584.1 10 263122.1 001659.0001 6.16.2005 - 10:22 AM P-l.Aaendas\Aaenda Anachmmls\AJmU.Amend 2005\0'-07-05 Sucet-Manchnccr(Carousel Mall) Project Scud)' Apemenl nf ~" ""W',~,N o o o T " ~'" '" n " .," ',<"", -,. ~.""-"'_"'y.~.,'_c..,,,....,,.. " , " '" '. <, ","., ", ,---- party shall be under any further obligation to the other regarding the disposition, acquisition, reuse, redevelopment or development of the Project or the Site. 10. Planninl! and Desil!n: Related Acknowledl!ments of the Parties. Certain development standards and design controls for the Project may be established between the Developer and the Agency in negotiation of, or in the final fonn of, the Project OP A, but it is understood by both parties that the Project and the redevelopment of the Site must confonn to City's development, design and architectural standards. The Agency staff shall use best efforts to cooperate with the Developer's professional associates in providing infonnation and assistance in connection with the Developer's preparation of drawings, plans and specifications. Nothing in this Agreement shall be considered approval of any plans or specifications for the Project or the Site, itself, by either the Agency or the City. 11. Developer Financial Disclosures. The Developer acknowledges that it may be requested to make certain confidential financial disclosures to the Agency, its staff or legal counsel, as part of the financial due diligence investigations of the Agency relating to the potential disposition of the Property to the Developer. The parties recognize that such financial disclosures may contain sensitive infonnation relating to other business transactions of the Developer, that the disclosure of such infonnation to third parties could impose commercially unreasonable and/or anti-competitive burdens on the Developer and, correspondingly, diminish the value or fiscal benefit that may accrue to the Agency upon the disposition of the Property to the Developer, if tenns for such disposition are mutually agreed upon. Accordingly, the Agency agrees to maintain the confidentiality of any of Developer's financial and/or proprietary infonnation that is exempt from disclosure as a Public Record pursuant to Government Code Sections 6254.15 and 6255. Developer shall indemnify, defend (subject to the approval of Developer's legal counsel by the City Attorney), and hold harmless, including attorney's fees, the City of San Bernardino and the Redevelopment Agency from any action, lawsuit, or other proceeding initiated to obtain access to documents that may be detennined to be exempt from disclosure pursuant to the applicable provisions of the Public Records Act. The costs, salary and expenses of the City Attorney and members of his office in representing the City and/or the Agency shall be considered as "attorney's fees" for the purposes of this paragraph. 12. Nondiscrimination. The Developer shall not discriminate against nor segregate any person, or group of persons on account of race, color, creed, religion, sex, marital status, handicap, national origin, sexual orientation, or ancestry in undertaking its obligations under this Agreement. 4850-9725-1584, I 11 263122,1 001659,0001 6,16.2005 - 10:22 AM P \Aaendas\Alenda Anachmentl\A&mIs-Amend 200S\05-01-0S StrceI-Manchntcr (Carousel Mall) ProJC'C1 Sludy ^arecmcnl rtf ~"~,,,.... - -- -, r' - ,'- ,.. ~~p '--'l--~ w,__._o~~. ". - ~ - -.,.-,,- -. - """Y_""':"'S';;;'''''C,-';;'''2.''.,''.T.'':_'"-,''''~,,,,'r '-"''F'~P;''=5':'''}'''''=~''''''=''~ 13. Compliance witb Law. o The Developer acknowledges that the Project OPA, if mutually agreeable terms are established, is likely to require the Developer (among other things) to carry out the construction of certain improvements in conformity with all applicable laws, including all applicable planning and zoning laws, environmental planning and safety laws and federal and state labor and wage laws. 14. Required Approvals. No Project OP A between the parties shall have any force or effect, nor shall the Agency be deemed to be a party to any agreement for the disposition of real or personal property to the Developer, until the terms and conditions of the Project OPA are considered and approved by the governing body of the Agency, following the conclusion of a public hearing, as required by law. 15. Press Releases. The Developer agrees to discuss any press releases it may propose relating to the Site with the Agency Executive Director or his/her designee, prior to publication, to assure accuracy and consistency of the information. 16. Notices. o All notices required hereunder shall be presented in person or by FAX and confirmed by First Class certified or registered United States mail with return receipt requested. Notice shall be deemed confirmed by United States mail effective the second business day after deposit with the United States Postal Service. Notice by personal service shall be deemed effective upon delivery. Either party may change their address for receipt of notice by notifying the other party in writing. TO DEVELOPER: Street-Manchester, LLC 18800 Von Karman Avenue, Suite 100 Irvine, California 92612 Attn.: J. Harold Street (949) 474-7999 TO AGENCY: Redevelopment Agency of the City of San Bernardino 201 North "E" Street, Suite 301 San Bernardino, California 92401 Attn.: Executive Director (909) 663-1044 17. Acceptance of A2reement bv tbe Developer. o The Developer shall acknowledge its acceptance of this Agreement by delivering three (3) counterpart executed copies of this Agreement signed by at least two (2) authorized officers of the Developer. The delivery by the Developer to the Agency of the executed counterpart copies of this Agreement shall be completed within thirty (30) days following the approval of this Agreement by the Agency's Board or thereafter this Agreement shall have no further force and effect with respect to either party. 4850-9725-1584.1 12 263122.1 001659.0001 6.16.2005. 10:22 AM P '^aC'ndas\Aacnda Anachmcms\Apns-Amend 2005\05.07.05 Street-Manchester (Carousel Mall) ProJ~1 Study Alrecrnml nf .__ii-,,..''1.''''.'''....".y'", ;.z~.'1.~."ccTT.....-'- ... J. ... ....TT..'.'-- "'~'~",:""~'I< lTv._~ff'n...'-.,..'..".T.m,.""..,."."''"9'R''''''''''''F"'''~'''..V111 ,- ". o o o 18. Authoritv. This Agreement may be executed in counterparts, and when fully executed by the parties, each such counterpart shall be deemed to be one original document. Each signatory to this Agreement represents and warrants that he or she has the authority to execute this Agreement on behalf of the principal whom he or she purports to represent. 19. Optional Termination Bv Developer. . Provided the Developer is not in default, the Developer may in its sole and absolute discretion exercise an election to suspend the Project Study, and this Agreement shall terminate and the parties shall be mutually released from any further obligations hereunder; provided that the Developer gives thirty (30) days' prior written notice to the Agency and has paid all amounts of Agency expenses that were incurred by the Agency in reliance upon any separate written agreement(s), which may be entered into, wherein the Developer agrees to reimburse the Agency for specifically budgeted and identified third party independent consultants, which the Agency may desire to retain due to the unavailability of staff to review the Project Study. . 20. Defaults and Breach - General. Failure or delay by either party to perform any material term or provision of this Agreement shall constitute a default under this Agreement; provided, however, that if the party who is otherwise claimed to be in default by the other party commences to cure, correct or remedy the alleged default within thirty (30) calendar days after receipt of written notice specifying such default and shall diligently complete such cure, correction or remedy, such party shall not be deemed to be in default hereunder. The party, which may claim that a default has occurred, shall give written notice of default to the party in default and specifying the alleged default. Delay in giving such notice shall not constitute a waiver of any default nor shall it change the time of default; provided, however,. the injured party shall have no right to exercise any remedy for a default as set forth herein without delivering the written default notice as specified herein. Any failure or delay by a party in asserting any of its rights and remedies as to any default shall not operate as a waiver of any default or of any rights orremedies associated with such a default. In the event that a default of either party may remain uncured for more than thirty (30) calendar days following written notice, as provided above, a "breach" shall be deemed to have occurred. In the event of a breach, the party who is not in default shall be entitled to seek any other appropriate remedy by initiating legal proceedings. The successful party in any such legal proceeding shall be entitled to recover its reasonable attorney's fees as an element of its damages, either as part of such legal proceedings or in a separate legal action to recover such attorney's fees. The costs, salary and expenses of the City Attorney and members of his office in enforcing this Agreement shall be considered as "attorney's fees". In the event that a breach has occurred under this Section 20, the party who is not then in default may terminate this Agreement by serving the other party with a written notice of termination, and thereafter the Agreement shall terminate thirty (30) days following the date of service of the notice of termination on the other party. 4850-9725-1584.1 13 263122.1 001659.0001 6.16.2005 -10:22 AM P\Ascndai\Aacnda Anachmencs\AaJ"n'ls-Amcnd 2005\05.07.05 SD'ceI-Manc:hesler (Carol.iSCI Mall) ProJec1 Sludy AIP"CCmenlr1r o o o -i~'~~-""'T'r ' . j' ., "_,.." ~_,_ - '". "vc. __ '__'~'."'" ._""""'''';c'''''"'__~ 21. Governine Law: Venue. The parties hereto acknowledge that this Agreement has been negotiated and entered into in the State of California. The parties hereto expressly agree that this Agreement shall be governed by, interpreted under, and construed and enforced in accordance with the laws of the State of California. Further, the parties to this Agreement hereby agree that any legal actions arising from this Agreement shall be filed in California Superior Court, in the Court of San Bernardino, Central District. 22. Partial Invaliditv. If any term, provision or portion of this Agreement or the application thereof to any person or circumstance shall, to any extent, be invalid or unenforceable, the remainder of this Agreement, or the application of such term or provision or portion thereof to persons or circumstances other than those as to which it is held invalid or unenforceable, shall not be affected thereby, and each such term and provision of this Agreement shall be valid and enforced to the fullest extent permitted by law. 23. No Intent to Create Third Partv Beneficiaries. The parties intend that the rights and obligations under this Agreement shall benefit and burden only the parties hereto, and do not intend to create any rights in, or right of action to or for the use or benefit of any third party, including any governmental agency, who is not one of the parties to this Agreement. 24. Waivers. No waiver of any breach of any covenant or provision herein contained shall be deemed a waiver of any preceding or succeeding breach thereof, or of any other covenant or provision herein contained. No extension of the time for performance of any obligation or act to be performed herein shall be deemed to be an extension of the time for performance of any other obligation or act to be performed under this Agreement. 25. Entire Aereement. This Agreement (including all Exhibits attached hereto) is the final expression of, and contains the entire agreement between, the parties with respect to the subject matter hereof and supersedes all prior understandings with respect thereto. This Agreement may not be modified, changed, supplemented or terminated, nor may any obligations hereunder be waived, except by written instrument signed by the party to be charged or by its agent duly authorized in writing or as otherwise expressly permitted herein. This Agreement may be executed in one or more counterparts, each of which shall be an original, and all of which together shall constitute a single instrument. 26. Time of Essence. Except as provided in Section 19 of this Agreement, time is stric~ly of the essence with respect to each and every term, condition, obligation and provision hereof and that failure to timely perform any of the terms, conditions, obligations or provisions hereof by either party shall constitute a material breach of and a non-curable (but waivable) default under this Agreement by the party so failing to perform. 4850.9725-1584.\ 14 263122.1 001659.0001 6.16.2005.10:22 AM P IA&cndaslA&cnda __.Amend 2005105.07-05 S_.M"",hc~cr Ie.......' Mall) Proj... SCudy............' nr -- -"~"':'~~=r'"rt'- "'1 ;'~-""""IFWd-" o o o "-,,~" , " _, ,- 'I"~ -"", -, "r~",,"'P'~:::"""~"'-_'_ ,,', -- - - '" "~~ ",- -', 'r - r'- i ""-',' ""OF"" ':' ''', '''~-~~'''"'''''~/i~ 27. Construction. Headings at the beginning of each section, paragraph and subparagraph are solely for the convenience of the parties and are not a part of this Agreement. Whenever required by the context of this Agreement, the singular shall include the plural and the masculine shall include the feminine and vice versa. This Agreement shall not be construed as if it had been prepared by one of the parties, but rather as if both parties had prepared the same. Unless otherwise indicated, all references to sections are to this Agreement. All exhibits referred to in this Agreement are attached hereto and incorporated herein by this reference. IN WITNESS WHEREOF, the undersigned have executed this Agreement on the dates indicated next to each of their signatures as appear below. DEVELOPER STREET-MANCHESTER, LLC, a California limited liability company Dated:.JU/Le :3e; '7tf t't3 'l ' By: ._?//$/~ Dated: By: AGENCY Redevelopment Agency of the City of San Bernardino, a public body corporate and politic Date: By: Gary Van Osdel, Executive Director APPROVED AS TO FORM: Ag~j/t!/L 4850,9i25,1584, I 15 263122.1001659.00016162005,1022AM C '.Maln"Curcl .Carousel ~1a:I' 7 .OSSlreet.\lan.cheslerICarouseIMall)Pro.icc:Slud~ Agreemem rtf ~ . "'''''7'''"9' ,. o o o " ~.. "U "~.' ".' '-." ">'''''''l'",,,."'~'' "f ....~"f n" '. "'C,yw' ,,~r~ ....."... .. " .. l' 'n..~",..''''- 27.. Construction. Headings at the beginning of each section, paragraph and subparagraph are solely for the convenience of the parties and are not a part of this Agreement. Whenever required by the context of this Agreement, the singular shall include the plural and the masculine shall include the feminine and vice versa. This Agreement shall not be construed as if it had been prepared by one of the parties, but rather as if both parties had prepared the same. Unless otherwise indicated, all references to sections are to this Agreement. All exhibits referred to in this Agreement are attached hereto and incorporated herein by this reference. IN WITNESS WHEREOF. the undersigned have executed this Agreement on the dates indicated next to each of their signatures as appear below. DEVELOPER STREET-MANCHESTER. LLC, a California limited liability company Dated: /')(A:.3C' t2((v ;/_ /J lA'h, ' ( '///)Il~ , By: Dated: By: AGENCY Redevelopment Agency of the City of San Bernardino, a public body corporate and politic Date: By: Gary Van Osdel, Executive Director APPROVED AS TO FORM: 4850-9725-1584.1 15 263122 I 0016590001 6162005 -1022 A~1 C '...\tam Curd,Carousel Mall" 7 .05Streel.~'1anchester(CarouseIMa::)ProJectStudyAgreement rtf """"<:;f!'~"'~' " o o o , ....,",",-' , '00, '" '0 - ":;"""'-'.~,~"~""",';_'7 =~ = .,~ _I. Construction. Headings at the beginning of each section, paragraph and subparagraph are solely for the convenience of the parties and are not a part of this Agreement. Whenever required by the context of this Agreement, the singular shall include the plural and the masculine shall include the feminine and vice versa. This Agreement shall not be construed as if it had been prepared by one of the parties, but rather as if both parties had prepared the same. Unless otherwise indicated, all references to sections are to this Agreement. All exhibits referred to in this Agreement are attached hereto and incorporated herein by this reference. IN WIThESS WHEREOF. the undersigned have executed this Agreement on the dates indicated next to each of their signatures as appear below. DEVELOPER STREET-MANCHESTER, LLC, a California limited liability company Dated: ;J2~1L~ :3t;'l~t'.5' By: 0'1-1- . i Y/#;'llu'/ r Dated: By: AGENCY Redevelopment Agency of the City of San Bernardino, a public body corporate and politic Date: By: Gary Van Osdel, Executive Director APPROVED AS TO FORM: -'J~/I~ Agency Co el 4850-9725-1584.1 ] 5 263122.1 001659.0001 616200S.1022A~1 C ..\faln\CUf ,i ,Carousel ~1aii ,'7 -rJ5SITCet-Manchester(Carousel\1al:)ProJccIStudyAgreement nf . I" iT" , o o o r1if~"'"'r"-'-' ,.. .'~""_'O'_'_'_ <e'"'''' '-'r-'r7]".,~,_'H ,~, "--.' ~"'-~ .i'I""",,,,,,,,,,,,m"',,-"-""""-~ '3''f)''~-- 27. Coastruchon. Headings at the beginning of each section. paragraph and. subparagraph are solely for the convenience of the parties and are not a part of this Agreement.. Wbeoever RlqUinld by the CODIext of this AgRlCmcot, &be siDgular sball include the plural and the masculine shall include the feminine and vice versa. This Agt\cemeot shall DOt be construed as if it bad been prepared by one of the parties. but rather as if both parties bad prepared the same. Unless 0Cbcrwisc indir..at<ed" aU rd",""~ to scdioos are to this Agreement. All exhibits refmed to in this AgJumeIIf are ldIacbed bcn::to lDI moo.po.:atccl herein by this reference. IN WITNESS WHEREOF, the undersigned have executed this Agreemem on the dates indicated next to each of their signalun:s as appear below. DEVELOPER STREET-MANCHESTER, LLC, a California limited liability company Dated: By: BY:~ ?-v /I Dated: b;i7/oS / I - AGENCY Redevelopment Agency of the City of San Be~ino, a public body corporate and politic Date: By: Gary Van Osdel, Executive Director APPROVED AS TO FORM: Agency Counsel 4&.50-9725-15804.1 263122.1 0016)9.0001 6.16.200S -10:22 AM 15 r.\~_....-c__~_"'-_'''''''-_4-''''''_-''''__'''...-,.c ft"t...c ~.._ 1"'__"'__ ____ c......... ..__ -"._~.""..."~ . ,.,. o o o "-" ,~. "^'--<""'-~,"---"2.'?''''''''''''::''ffifi''"'~ CONCURRENCE: The undersigned on behalf of Central City, as defined in Recital E. of the foregoing Agreement, acknowledges that the parties have entered into such Agreement, the subject matter of which is the Central City Buildings, as defined in Recital E., and further acknowledges its support of the Project as described herein. Central City Company, LLC '--....... ~ ~d(~ '~~ - (. - 'l.c\' -0 ~ By: Title: Date: Central City Complex, LLC <:~,p <..':" ~.~ ~. ~ Co r. - - \. ... -0 ~ By: Title: Date: Curci-Turner Company By: Title: Date: ~. ~ __ ~ (4.. --- - -- ~. t,~ ... (,._1.,,-0, 48~O.9n5.1584.1 16 26)122.1 0016;90001 616200;.I022AM C .Dllcuments and Senmgs'.bobILocal Selungs"'Tcmporary Imernel FllesOLK1c)5S-i-05Sueel.Manchesler(CarouseIMall}proJectSlud)"Agreemenl4 nf ~"~""e"'" o o o "'T- '>" - '"~.~.- ..~ "'--T ".- , .~.. ,~~ ~~]rTi::F..-'-~~"~~~.'1l""'c'j',"""~-""""'-- CONCURRENCE: The undersigned on behalf of Central City, as defined in Recital E. of the foregoing Agreement, acknowledges that the parties have entered into such Agreement, the subject matter of which is the Central City Buildings, as defined in Recital E.. and further acknowledges its support of the Project as described herein. Central City Company, LLC r,----- ~ ~~~ (.-1. -C> ~ By: Title: Date: Central City Complex, LLC ~:_~~...- .~ ~'.~ L/ 'l-I1 ., .-4 (f .. ...... t-_ 1.. "-0 ~ By: Title: Date: Curci- Turner Company ~.(..-,-",,/~ .... - / ~ -:. :;;....- , ' ,---- , (.. . - '1.. ~ -(D ~- , '-- l.~ -0 ~ By: Title: Date: 4850-9725-15841 16 263122 I 0016590001 6162005 - 1022 AM ('Documents and Setllngs;bob\ Local Settings- T empora~ I nterncl Files\OLK 19~5 \ 7 -05 Slreel.!\1anchester(CarollseJ\1all)ProJectStud~' Agreement4 nf ~~'"'=~""'~ " 10 o o " _., 'c- ~. ,p ,,,,,., '" ... ,. . .... CONCURRENCE: The undersigned on behalf of Central City, as defined in Recital E. of the foregoing Agreement, acknowledges that the parties have entered into such Agreement the subject matter of which is the Central City Buildings. as defined in Recital E., and further acknowledges its support of the Project as described herein. Central City Company, LLC ,"- ~ - ~c:::> (.----- ~-T. '. . '.--------- ~ {.- 1.. ~~ By: Title: Date: Central City Complex. LLC ..---,\ ~ <...~~-= (........ ~."--.._-- ,---.... . . ~,~.. (.. -1..>> -0 ~ By: Title: Date: Curci- Turner Company By: Title: Date: .--.... ~ r . __ '.,,~",,"";t.. --- '---="C' , ,-' / . "'>>I ~-4 (,-t.'if- ~- 4850.9725.1584 1 16 263122\ 00\6590001 6\62005.\022AM C \Documcnt~ ar:d SC't!:n~sbor'.l,"'cill ~~tll:~gS Temporal"'. Internet Flies'OLK 1955\7.05Street.\1anchcm:r(Carou~e!l\1all}PrvJecIStud\Agreement4 11f .-., - ,- -~il,-,<-_~"'V-,,<:.-~~_.lt=""~ ,>-.-pc o o o ,~" -"'.'-':";;-~~%1-~~,''''_'_'''':''''',*",,_" - -- ,- "'-"'-"":-:"'"'1f'7""-""-:;':~J~-"'''''~''' "" ~,,= EXHIBIT "A" Map of Study Area 4850-9725-15.84.1 17 263122,1 001659.0001 6.16.2005 - 10:22 AM P'^Scndas'-"',enda Anac:hmems\A,rms-Amrnd 2005\05.07-05 S~.Manc:hcstCT (Carousel \tall) Projccl 5ludy ^arec,*RI nr , .'. ' , "" .~ '" ~. '" " f~~D .... ~ r I \... ,- .1.... 0 t"4' ~I 0 rr,j .... '"I 4t GI ~ .... tI) I @ .s:: ..... ~ ::l 0 I&. @~ .. ... . .... . ~ . .. '0 · · @} '.. . . .. . . ... ~@ e >. .... -M C,) rl <d I-l .... J::: <II C,) e~ "H"L iD - l ---.:i ' ~i .... tIl ;3 I-l H >. rl ..-i S <d ~ S <d ..c 0- ::> >. .... I-l .]J 0- o I-l p", "0 <II ~ >. <J J::: <II ~ tIl <d en <II rl bO J::: H <II .... I-l o C,) rl W ~''"~'"''-, o o o .~" -"m"~~~ . lr~"~-='lr~~w~"j:l!'~. rrr """."'"+:;"~'~'"~"-~. . EXHIBIT "B" Map of Agency Property and Private Property 4850-9725-1584.1 18 263122.1 001659.0001 6.16.2005 -10:22 AM P\Aacndas\AJcnda Anachmmts\Aamu-Amcnd 20051()~-07-05 St1"CCt.ManchcsleT (CaroUKI Mall) Project Sludy A&r'ccmcnt nf -,. .11 1 i 'rr-""""'"~"~-"""~'--- _.. "~~"T'T""'- '.. ,~.~---- "=~T--~"-'-~' .. .._, i7 ,-~.. . '~"---=~-'~TI'Tl"-1T-- '~'1"I1lIllI-"'~ '" .~ o If~~D e >. a >. <'d .... p" .... ,... S 1Il 1Il QJ 0 ;j <'d p" U ,... 0 Eo-< 1Il ,... QJ >. >. .-t p" .... bO -rl .-t a .., u OM QJ S H ~ .-t <'d QJ <'d ~ .... 0 ,... s ,... .... 0 >. a <'d u <J QJ ..r::: a u p" .-t QJ :::> ILl 00 <: e~ ..H..- l Lr~--- ~ 8 o o o ''''cC "~" _" T -,~-... -"~- _.~-~ "~r' '-.lr-'--'''--r~~;~.:;;; EXHIBIT "C" Concept Plan A as Proposed within the Study Area 4850-9725-1584.1 19 263122.1 001659.0001 6.16.2005.10:22 AM P-\AJendas'^aenda Anachmenu\AII'fI'IS.Amcnd 2005\05.07.05 SlrCCI-Mancheslrr (Carousel Mall) Projcct Sludy Aarccmenlnf ~~-"_.;" o G o if !HI Hlf{! 1- ! I II ;r: ~ ~n .:z: i ~: i~int n~g:IJ ~;oz ~~~< z~.m ::;:~ !: ~...;:~ .. ~3 " '" o c: ... o o o;E oZ ~-i .::0 d;E ~z z (fI< 1>- zr wr m)> ;lJG> ~m ~(') zm Oz -i m ::0 J:^~ -" ;!i Iii -r .' (') o z (') m "tJ -f :t> -... -:z: jj ~ rn 22 ~ !"';x ::a o. m ~"m - . ... ~~ 0 z ~ 0 : 1 3: ~~ ~ .....~ z 8-< --" -- > c. __~""'" ".' " .. o ;00;;0-1 -I-I-IO-l:rm"11mO dOOOO~Q-I::!!~)! -l;:!)!)!::>m~oor- >... r-::r-r-r-mmr- r-r-r- OlDllllfJl%> :r;;OO;;oZc:cn~II::1Z om-nm>_> 00>0 -I)!::!!~;;obO~>r-> m_OOm-;o;oolt;o r-r-mm>zm ;o....m >>>ZUlC)Ulg:m>> ;0;0;0::1_> UlOII mmm>;o ;;0..., >>>r- m m'" 111111> > Ul> '~l:;:~;o II 0 .o.o.o~ !'> ;0 000, 0 m ggg.!t ~ (J) lIlllllll;.., '" w "'"""T1:g g ~ '" III g 0"," "'(:) <:> <:> III Z <:> "11 0 III r- .:!! c: o m III (') o Z (') m "'tJ -i )> ocn 0)> ~Z zm -im 0::0 ;EZ Z)> <~ Pz rO )> G> m (') m Z -i m ::0 o < m ~ r- r- o o < m ~ C) m I. Ol .... ,e . >0 ZO Om lIlUl mz Zo 0-1 ::Oz :ro Or- c:c: lIlO -m Zo C)m >< iii -I Z Cl -I :r m ~ m ;0 m >< en -I z Cl lD c: r= !2 Z C) III -I o ;0 m ;;: > z > "D "D ;0 o ?< . ._- ._'tC_",-,,,,,,-~:,~1aJ!;'-":W1W! _, __ -=-,-- ,~~o~_, " .-,--- -F-"'O"" JUN-28-2005 15:09 FROM:CURCI TURNER CO. 949 673 2080 TO: 9098889413 o CONCURRENCE: The undersigned on behalf of Central City, as detined in Recital E. oflhc foregoing Agrcement, acknowledges that the parties have entered into such Agreement, the subject matter of" which is the Central City Buildings, as delined in Recital E., and furthcr acknowledgcs its support oj' the Project as described herein. C) o Central City Company, LLC BY:~~ Title: ~==- __ ~ Datc: Co ... \.Jt -0 ~ Cenlral City Complex, LLC ~~ .f?~ 1:' . C. ~ \..;,r -0 J- By: Title: Date: Curci-Turner Company By: Tille: Date: ~~ ..,., ........ v .. c..-1.~"" 4g50.972~.1 ~84 I 16 2(,3111,1 00I61Y,U,K" C,161OC;.)l1llAM ("-\Docwne~l' 'lid ~IJinl"'!>>n"\L\)\;1&I !W1111t81,\I'Clft'rar.11Y In\4rnwl fll..::t'.lll K Il}S!\7.0~Slln1-Ma;Il'''''~U:1'(fln'lul,~I~&lI)rrotl.~:IS'uUyAI,cel\KlIt4 rtI . - 'rr-'~~"" ~" -'-~""'t,""~:,,,,:,ilm_;H'r~-jt9't"'~:__,., =.............. P,Y3 . ....~ ** FOR OFFICE USE ONLY - NOT A PUBLIC DOCUMENT ** RESOLUTION AGENDA ITEM TRACKING FORM Mooting Dote (D.te Ad~' l' 0( [rem' f{j, g Vote: Ayes '1 Nays Abstain Change to motion to amend original documents 0 Companion Resolutions Nnll/VnldAfte" (Pj) daY'/~'~ Resolution # On Attachments: 0 Note on Resolution of attachment stored separately: 0 Resolution # aOC/dtJ05 -J Lj , Absent PUBLISH 0 POST 0 RECORDW/COUNTY 0 Date Sent to Mayor: ~~ I 0( /' -' Date of Mayor's Signature: -1,1'~) ./ Date of Clerk/CDC Signature: j ,1, ,,~ By: Reso. Log Updated: Seal Impressed: ~/ Date MemofLetter Sent for Signature: l't Reminder Letter Sent: Date Returned: 200 Reminder Letter Sent: Not Returned: 0 Request for Council Action & Staff Report Attached: Updated Prior Resolutions (Other Than Below): Updated CITY Personnel Folders{64~}, 6429, 6433,10584,10585,12634): Updated CDC Personnel Folders (5557): ~ .-~ Updated Traffic Folders (3985, 8234, 655, 92-389): Yes /' By_ By_ By_ No / By_ No V-"By_ Yes Yes Yes Yes No No r- No~ Copies Distributed to: ~/ Animal Control 0 EDA Information Services 0 City Administrator 0 Facilities 0 Parks & Recreation 0 City Attorney 0 Finance 0 Police Department 0 Code Compliance 0 Fire Department 0 Public Services 0 Development Services 0 Human Resources 0 Water Department 0 Others: Notes: Date/l/ I ~I Ready to File: _ Revised 12/18/03 .~"...,.."...o.~..~~..- . ~p~.,. ....-~~...- ... .~-" """""""",".""".,~~ . ... --. ECONOMIC DEVELOP OF THE CITY OF SAN BERN INTER-OFFICE MEMORAND~ ..Ill 11 P 3 :31 SUBJECT: Eileen Gomez, Senior secre~(~ty C.lerk'S Office Wasana A. Chantha. Secretary ~ Executed Document TO: FROM: DATE: July 11, 2005 Enclosed is the fully executed Agreement pertaining to the following resolution: CDC/2oo5-24 RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING THE EXECUTIVE DIRECTOR OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO ("AGENCY") (1) TO EXECUTE THE REDEVELOPMENT PROJECT STUDY AND REDEVELOPMENT ASSISTANCE AGREEMENT WITH STREET-MANCHESTER, LLC ("DEVELOPER"); AND (2) TO INITIATE A GENERAL PLAN AMENDMENT CHANGING THE LAND USE FROM CR-l TO CR-2 WITHIN THE CENTRAL CITY PROJECTS REDEVELOPMENT PROJECT AREA TO ACCOMMODATE REDEVELOPMENT OF THE SITE KNOWN AS THE CAROUSEL MALL Should you have any questions, I can be reached at (909) 663-1044. Thank you. Enclosure cc: Barbara Lindseth (with Original Executed Agreement) Street-Manchester, LLC (with Original Executed Agreement) Gary Van Osdel (with Copy of Executed Agreement) Colin Strange (with Copy of Executed Agreement)