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HomeMy WebLinkAboutCDC/2001-07 .. , RESOLUTION NO. CDC/2001-7 2 3 RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING THE EXECUTIVE DIRECTOR TO EXECUTE AMENDMENT NO. 1 TO DISPOSITION AND DEVELOPMENT AGREEMENT BY AND BETWEEN REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AND HI-WAY AUTO RECYCLERS, LLC 4 5 6 7 8 WHEREAS, the Community Development Commission of the City of San Bernardino (the "Commission") is the governing body of the Redevelopment Agency of the City of San Bernardino (the "Agency"), a public body corporate and politic, organized and existing pursuant to the Community Redevelopment Law (California Health and Safety Code Section 33000, et seq.); and WHEREAS, the Agency and Hi-Way Auto Recyclers, LLC, a California limited liability company (the "Developer") entered into that certain 2000 Disposition and Development 9 10 11 12 13 14 Agreement dated as of August 14,2000 (the "DDA") for the purpose of implementing the Redevelopment Plan for the Northwest Redevelopment Project by providing for the purchase an redevelopment of certain unimproved lands by the Developer (the "Property"); and WHEREAS, the Developer encountered unexpected delays in completing its due diligence investigation regarding the Property; and 15 16 17 18 19 WHEREAS, the Developer has requested that certain provisions of the DDA be amended to extend the period of time in which the Developer's due diligence investigation of the Property is to be completed so as to enable the Developer to complete its due diligence investigation of the Property; and WHEREAS, the Agency is willing to amend certain provisions of the DDA to extend the period of time in which the Developer's due diligence investigation of the Property is to be completed; and 20 21 22 23 24 25 -1- Hi-Way Auto Amendment CDC/2001-7 WHEREAS, Amendment No.1 to 2000 Disposition and Development Agreement (Hi- Way Auto Recyclers) ("Amendment No.1 ") has been presented to this Commission for approval. NOW, THEREFORE, THE COMMUNITY DEVELOPMENT COMMISSION ACTING ON BEHALF OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO DOES HEREBY RESOLVE, DETERMINE AND ORDER AS FOLLOWS: Section 1. The Commission hereby approves Amendment No. 1 attached hereto as Exhibit "A". Section 2. The Executive Director of the Agency is hereby authorized to execute Amendment No.1 on behalf of the Agency in substantially the form attached hereto, together with such changes therein as may be approved by the Executive Director and Agency Special Counsel. The Executive Director or such other designated representative of the Agency is further authorized to do any and all things and take any and all actions as may be deemed necessary or advisable to effectuate the purposes of Amendment No.1. This Resolution shall become effective immediately upon its adoption. 2 3 4 5 6 7 8 9 10 11 12 13 14 Section 3. 15 IIII 16 IIII 17 IIII 18 IIII 19 IIII 20 IIII 21 IIII 22 IIII 23 IIII 24 IIII 25 IIII IIII -2- Hi-Way Auto AmendmeOl CDC/2001-7 2 RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING THE EXECUTIVE DIRECTOR TO EXECUTE AMENDMENT NO. 1 TO DISPOSITION AND DEVELOPMENT AGREEMENT BY AND BETWEEN REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AND HI-WAY AUTO RECYCLERS, LLC 3 4 5 6 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Community 7 Development Commission of the City of San Bernardino at a ioint reg. meeting thereof, held 8 on the 5th day of February ,2001, by the following vote to wit: 9 Commission Members: Aves Nays Abstain Absent ESTRADA x 10 - LIEN x 11 MCGINNIS ~ 12 SCHNETZ X 13 SUAREZ X 14 ANDERSON x - 15 MC CAMMACK X 16 17 .G1:~ h.~ Rachel G. Clark, City Clerk 18 19 The foregoing resolution is hereby approved this 7th day of February ,2001. 20 ~~ 21 Betty Dean Anderson, Vice-Chair Community Development Commission 22 23 24 By; 25 -3- Hi-Way Auto AmendmeOI CDC/2001-7 EXHIBIT" A" 3 AMENDMENT NO.1 TO 2000 DISPOSITION AND DEVELOPMENT AGREEMENT (Hi-way Auto Recyclers) 2 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 -4- Hi-Way Auto Amendment RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO 201 North "E" Street Suite 301 San Bernardino, California 92401 (Space Above Line for Use By Recorder) AMENDMENT NO. 1 TO DISPOSITION AND DEVELOPMENT AGREEMENT BY AND BETWEEN REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AND HI-WAY AUTO RECYCLERS, LLC AMENDMENT NO. I TO 2000 DISPOSITION AND DEVELOPMENT AGREEMENT (Hi-Way Auto Recyclers) THIS AMENDMENT NO. I TO 2000 DISPOSITION AND DEVELOPMENT AGREEMENT (Hi-Way Auto Recyclers) dated as of February 1,2001 ("Amendment No. I") is entered into by and between the REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, a public body corporate and politic (the "Agency"), and HI- WAY AUTO RECYCLERS, LLC, a California limited liability company (the "Developer"). The Agency and the Developer enter into this Amendment No. I with reference to the following facts: Recitals WHEREAS, the Agency and the Developer entered into that certain 2000 Disposition and Development Agreement (Hi-Way Auto Recyclers), dated as of August 14, 2000 (the "Agreement"); WHEREAS, the Developer encountered unexpected delays in completing its due diligence investigation regarding the Property (as that term is defined in the Agreement) ; WHEREAS, the Developer desires an extension of the period of time in which the Developer's due diligence investigation of the Property is to be completed so as to enable the Developer to complete its due diligence investigation of the Property; and WHEREAS, the Agency is willing to extend the period of time in which the Developer's due diligence investigation of the Property is to be completed. NOW, THEREFORE, IN CONSIDERATION OF THE PREMISES AND SUCH OTHER GOOD AND VALUABLE CONSIDERATION RECEIPT OF WHICH IS HEREBY ACKNOWLEDGED BY THE PARTIES, THE AGENCY AND THE DEVELOPER AGREE AS FOLLOWS: Terms 1. The Recitals set forth above are hereby incorporated into this Amendment No. 1 by this reference, as though fully set forth herein. 2. Except as hereby amended, the Agreement is in all respects ratified and confirmed and all the terms and provisions 1 8B2oo1:1811.1 and conditions thereof shall be and remain in full force and effect. 3. Section 2.03 of the Agreement is amended to read in its entirety as follows: Section 2.03. Openinq and Closinq of Escrow. (a) The transfer and sale of the Property shall take place through an Escrow (the "Escrow") to be administered by Chicago Title Insurance Company Escrow Department or such other escrow or title insurance company mutually agreed upon by the Seller and the Agency (the "Escrow Holder"). The Escrow shall be deemed open ("Opening of Escrow") upon the receipt by the Escrow Holder of a copy of this Agreement fully executed by both parties hereto and the Deposit. The Escrow Holder shall promptly confirm to the parties the escrow number and the title insurance order number assigned to the Escrow. (b) In the event that the Developer has not delivered its Due Diligence Approval Certificate (as defined Section 2.10 l;1ereof) to the Agency and the Escrow Holder within three hundred thirty (330) days from the Opening of Escrow for any reason, then in such event this Agreement shall terminate upon written notice to the Escrow Holder from either the Agency or the Developer, whereupon the Deposit shall be returned by the Escrow Holder to the Developer (less an amount equal to the customary and reasonable escrow cancellation charges payable to the Escrow Holder) without further or separate instruction to the Escrow Holder, and the parties shall each be relieved and discharged from all further responsibility or liability under this Agreement. 2 882001:1811.1 (c) Provided that the Developer has delivered its Due Diligence Approval Certificate within the period of time authorized in Section 2.03(b), then the Closing Date of the Escrow shall occur within sixty (60) days thereafter, subject to the provisions of Section 2.16 and Section 2.17. The words "Close of Escrow," "Closing Date" and "Closing" shall mean and refer to the date when the Escrow Holder is in receipt of the Purchase Price and the related Escrow documents of the parties and the Escrow Holder is in a position to comply with the final written escrow closing instructions of the parties and cause the Agency Grant Deed for the Property to be recorded and the policy of title insurance for the Property to be delivered to the Developer. 4. Section 2.09 of the Agreement is amended to read in its entirety as follows: Section 2.09. Due Diliqence Investiqation of the Property By the Developer. (a) Within three hundred thirty (330) calendar days from and after the Opening of Escrow, and subject to the extensions of time set forth below in Section 2.15, the Developer shall have the right to examine, inspect and investigate the Property (the "Due Diligence Period") to determine whether the condition of the Property is acceptable to the Developer and to obtain such development project approvals from the City fo~ . the improvement of the proj ect, as the Developer may require in its sole and absolute discretion. (b) During the Due Diligence Period, the Agency shall permit the Developer, its engineers, analysts, contractors and agents to conduct such physical inspections and 3 8B2oo1:1811.1 882001:1811.1 testing of the Property as the Buyer deems prudent with respect to the physical condition of the Property, including the inspection or investigation of soil and subsurface soil geotechnical condition, drainage, seismic and other geological and topographical matters, surveys the potential presence of any hazardous substances, if any. (c) Any such investigation work on the Property may be conducted by the Developer and/or its agents during any normal business hours upon seventy-two (72) hours prior notice to the Agency, which notice will include a description of any investigation work or tests to be conducted by the Developer on the Property. Upon the Agency's request, the Developer will provide the Agency with copies of any test results. (d) During the Due Diligence Period, the Developer shall also have the right to investigate all matters relating to the zoning, use and compliance with other applicable laws which relate to the use and development and improvement of the Property. The Developer may submit an application to the City and any other regulatory agency with jurisdiction for any and all necessary development project approvals for the improvement of the Project. The Agency hereby consents to the submission of such development project approval applications by the Developer. (e) The Agency shall cooperate fully to allow the Developer. to complete such inspections and investigations of the condition of the Property. The Agency shall have the right, but not the obligation, to accompany the Developer during such investigations and/or inspections. The Developer shall pay for all costs and expenses associated with the conduct of all 4 such Due Diligence investigation, including the cost of submitting any development project approval application, as relates to the project, to any regulatory jurisdiction. 5. Section 2.10 of the Agreement is amended to read in its entirety as follows: Section 2.10. Due Diliqence Approval Certificate. Within three hundred thirty (330) calendar days following the Opening of Escrow, and subj ect to any extensions granted in accordance with Section 2.15, the Developer shall complete its due diligence investigation of the Property and deliver a due diligence approval certificate signed by the Developer (the "Due Diligence Approval Certificate") to the Escrow Holder which either: (i) indicates that the Developer accepts the condition of the Property or; (ii) contains a description of the matters or exceptions relating to the condition of the Property which the Developer was not able to accept or resolve to its satisfaction during the Due Diligence Period. 6. Section 2.15 of the Agreement is amended to read in its entirety as follows: Section 2.15. Extension of Due Diliqence Period. (a) In the event the Agency fails to provide the Developer with documents or other information required by Sections 2.08 and 2.11 by the date(s) set forth therein, the Due Diligence Period regarding such information shall be 5 882001:1811.1 extended by one (1) day for each day of the delay by the Agency to permit the Developer to perform an adequate due diligence review of such documents or information (but shall not exceed a total of sixty (60) days) . The Developer will use its best efforts to notify the Agency of any documents or information the Agency has failed to deliver to the Developer within the time periods provided in Sections 2.08 and 2. 11. (b) Upon the written request of the Developer received prior to the expiration of the Due Diligence Period, the Executive Director may authorize an extension of the Due Diligence Period for up to an additional 45 calendar days, if the Executive Director makes a written finding that the Developer has undertaken substantial work to complete the due diligence investigation of the Property. 7. Agreement is Exhibit "A" to Exhibit "D" (SCHEDULE OF PERFORMANCE) to the amended to read in its entirety as set forth in this Amendment No. 1. 8. If any term or provision of this Amendment No. 1 or the application thereof to certain circumstances is declared invalid or unenforceable, the remainder of this Amendment No.1, or the application of the term or provision to circumstances other . than those to which it is declared invalid or unenforceable, will not be affected thereby, and each term and provision of this Amendment No. 1 will be valid and enforceable to the fullest extent permitted by law. 9. The warrant that they No. 1 on behalf represent. persons executing this Amendment No. 1 are duly authorized to execute this Amendment of and bind the parties each purports to 10. This Amendment No. 1 may be executed by the parties hereto in duplicate originals, each of which shall be considered an original, but all of which together shall constitute one and the same instrument 6 882001:1811.1 IN WITNESS WHEREOF, the parties hereto have duly executed this Amendment No. 1 as of the dates set forth below. AGENCY By: the Date: "2 /~ /~/ I / ~ Gary Van Osdel Executive Dir ctor APPROVED AS TO FORM: ~~ Agency Sp c al Counsel DEVELOPER Date: {! / -;2(; -0/ Member By: Date: By: Member [All Signatures Must Be Notarized] 7 8B2oo1:1811.1 CALlFORNIA ALL.PURPOSE ACKNOWLEDGMENT r - 3iX,i!XRX'/,XXXXX,i!X,i!X,Q('/C(:',Q(',i!X<XXX',Q(',Q('RPRX',Q(',Q('RP-c("(X,,C<M'RXXXXX-<X:' State of California County of S Q() lSe { v-.l. (~ ; (\(') }" OrJC.lC\(..{c',.li../ 2(.,.12..D~: before me, S-\o' \ c ..gate ~ Name and Tltl Officer (e.g., personally appeared t<u6-c/-+- Dc< \J ,.'Ji lICd) t-Jame(s) of Slgner(s) D personally known to me ~ proved to me on the basis of satisfactory evidence t. j. - ~~.=J;F;S~ ~ I CommIssIon. 1~ i:: ~ ~ Notay Public - CaftfomIa ~ Z San Bemarcllno ~ _ t My Com"T1. txpfes Feb 25,2004 , _.....--_...,~'''' .......' "'."--'~"""-"'" , to be the personW whose nameW is/~ subscribed to the within instrument and acknowledged to me that he/sllt:fll.t:y executed the same in his/Rcr/thoir authorized capacity(~ and that by his/tler/thoir signature~on the instrument the person('s), or the entity upon behalf of which the person(aJ acted, executed the instrument. Number of Pages: RIGHT THUMBPRINT OF SIGNER Top of thumb here I I ':{;'.{;<xX;.<')_ _ _ _ _ _C)', @1999 National Notary Association. 9350 De Soto Ave., P.O. Box 2402 . Chatsworth, CA 91313-2402. www.nationalnotary.org Place Notary Seal Above Description of Attached Document Title or Type of Document: Document Date: Signer(s) Other Than Named Above: Capacity(ies) Claimed by Signer Signer's Name: LJ Individual C Corporate Officer - Title(s): D Partner -LJ Limited LJ General [J Attorney in Fact D Trustee C Guardian or Conservator D Other: Signer Is Representing: c^" Prod. No. 5907 Reorder: Call Toll-Free 1-800-876-6827 Y.' ~ EXHIBIT "A" AMENDED SCHEDULE OF PERFORMANCE 8 8B2ool:1811.1 EXHIBIT "D" 2000 HI-WAY AUTO RECYCLERS, LLC, DISPOSITION AND DEVELOPMENT AGREEMENT SCHEDULE OF PERFORMANCE Unless otherwise indicated herein, the meaning of words and phrases used in this Schedule of Performance shall be as set forth in the Agreement. Within five (5) days following execution of the Agreement by the Agency and the Developer Within fifteen (15) days of the Opening of Escrow During Due Diligence Period 882001:1811.1 Developer shall deliver to Escrow Holder the sum of Ten Thousand Dollars ($10,000.00) Escrow opened upon receipt by the Escrow Holder of a fully executed copy of the Agreement and the Deposit from the Developer. Agency shall deliver originals of Due Diligence Items (Section 2.08) Agency shall deliver to the Developer a preliminary title report or title commitment for a CLTA extended coverage policy of title insurance Developer must submit development project site plan approval application for the Project to the City for City review and approval 9 Within three hundred thirty (330) days from the Opening of Escrow Within five (5) days of receipt of Developer's Title Objection Notice and Developer's Survey Objection Notice, if any Within five (5) days of receipt of Agency's Title Notice within ten (10) days of receipt of Agency's Survey Notice Developer shall deliver its Due Diligence Approval Certificate to the Agency and the Escrow Holder Developer shall submit Developer's Title Objection Notice and Developer's Survey Objection Notice, if any, to the Agency Agency to deliver Agency's Title Notice and Agency's Survey Notice, if any, to Developer Developer to deliver an acceptance or rejection of the items in the Agency's Title Notice Developer to deliver an acceptance or rejection of the items in the Agency's Survey Notice Within sixty (60) days after The Close of Escrow shall the delivery of a Due occur Diligence Approval Certificate from the Developer No later than three (3) business days prior to the Closing Date 8B2oo\:\811.\ Escrow Holder shall prepare for approval by the Developer and the Agency a Closing Statement (Section 2.21) 10 On or before 12:00 noon on the business day preceding the Closing Date At Close of Escrow Within three (3) business days following the Closing Date. Promptly following City approval of site plan of improvement for the Project Within ninety (90) days following Close of Escrow 8B2ool:1811.1 The Agency shall deliver to the Escrow Holder a grant deed for the Property to the Developer The Agency shall deliver to the Escrow Holder copies of the documents set forth in Section 2.06 of the Agreement The Developer shall deliver to the Escrow Holder copies of the documents set forth in Section 2.07 of the Agreement Developer deposits the balance of the Purchase Price, less the Deposit amount, with the Escrow Holder Escrow Holder shall deliver to Developer a conformed copy of the Agency's Grant Deed, as recorded, and the policy of title insurance issued in favor of the Developer Escrow holder shall deliver to the Agency the Purchase price, less sums paid to discharge any liens, escrow costs and any prorations chargeable to the Agency Developer completes and submits construction design plans and specifications to City Building Department for issuance of necessary building permits Developer commences work of improvement of Project on the Property 11 Within two hundred seventy (270) days following commencement of work of improvement of the Project Promptly following completion of improvements to the Property Developer submits written request to the Agency for issuance of Certificate of Completion; but by a date not later than one (1) year following Close of Escrow 8B2oo1:1811.1 Developer substantially completes improvement of the Project Agency issues a Certificate of Completion to Developer 12