HomeMy WebLinkAboutCDC/2006-26
1
RESOLUTION NO. CDC/2006-26
2
3
RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION
OF THE CITY OF SAN BERNARDINO DECLARING mE PUBLIC
INTEREST AND NECESSITY OF ACQUISITION OF REAL PROPERTY
BY THE REDEVELOPMENT AGENCY OF THE CITY OF SAN
BERNARDINO FOR COMMUNITY REDEVELOPMENT PURPOSES
OVER THE PROPERTY LOCATED AT 495 NORTH "G" STREET, SAN
BERNARDINO, CALIFORNIA (APN: 0134-101-28) IN THE CENTRAL
CITY NORTH REDEVELOPMENT PROJECT AREA. AND
RESCINDING RESOLUTION NO. CDC/2006-16
4
5
6
7
8
9
WHEREAS, the Redevelopment Agency of the City of San Bernardino (the "Agency"),
a public entity created pursuant to the Community Redevelopment Law (Health and Safety
Code Section 33000, et seq.), is authorized to acquire and redevelop blighted properties located
in the City of San Bernardino (the "City"), in accordance with the Community Redevelopment
10
11
12
13
Law; and
WHEREAS, the Community Development Commission of the City of San Bernardino
(the "Commission"), as the governing board of the Agency, has authorized the Agency to
assemble and acquire real property for community redevelopment purposes in the Central City
North Redevelopment Project Area ("Project Area"); and
WHEREAS, the Project Area displays substantial and pervasive symptoms of blight that
cannot be remedied by private parties acting alone without community redevelopment
14
15
16
17
18
19
20
assistance; and
21
WHEREAS, the Agency has acquired other real property in the Project Area; and
WHEREAS, on March 14,2005, the Agency mailed a notice to the owner of record of
the real property located within the Project Area as described and informed such persons that
the Agency intended to appraise the property for possible acquisition; and
WHEREAS, on October 3, 2005, the Agency mailed a notice to the owner of record of
the real property located within the Project Area as described and informed such persons that
the Agency intended to reappraise the property for possible acquisition; and
22
23
24
25
26
27
28
4830-5504-1536.1 1
P:\Agendu\Relolutionl\ltaollllionl\2OO6\07-10-06 Allied - CCN 495 North G SIred COC Rao.doe
1
WHEREAS, the Agency retained the services of an appraiser to appraise the property
and the appraiser has reported an opinion of the fair market value of the improved property
located at 495 North "G" Street, San Bernardino, CA 92410 (APN: 0134-101-28) (the
2
3
4
"Property"); and
5
WHEREAS, based upon such real property appraisal report, the Commission authorized
the Agency to send a purchase offer to the owner of record, to attempt to purchase the Property
at the appraised value in lieu of condenmation, and on May 27, 2005 and April 25, 2006, the
Agency mailed a purchase offer to the owner of record of the Property based on the appraised
value of the Property described in this Resolution; and
WHEREAS, the Agency transmitted the offer to purchase the Property situated within
the Project Area, based on the appraised value on May 27, 2005 and April 25, 2006, to the
owner of record of the Property at the address on file with the office of the County Tax
Assessor, as shown on the last equalized county assessment roll and the owner of record, Allied
Capital Investments, LLC, received the offer but did not accept the Agency offer; and
WHEREAS, the Agency obtained an updated appraisal of the Property and transmitted
another offer and sununary of valuation in conformity with Govemment Code ~ 7267.2(b) to
the owner of record on April 25, 2006 at the address on file with the office of the County Tax
Assessor as shown on the last equalized county assessment roll, and the owner of record, Allied
Capital Investments, LLC, received the updated Agency offer; and
WHEREAS, the Agency has not been able to satisfactorily complete a negotiated
purchase with the owner of record of the Property to acquire the Property for community
redevelopment purposes; and
WHEREAS, the Commission may serve as the "lead agency" as defined in CEQA for
the purpose of conducting an environmental review in connection with the acquisition of the
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
Property; and
WHEREAS, on November 7, 2005, the Commission adopted Resolution No.CDC/2005-
39 approving a Redevelopment Study Agreement and Exclusive Right to Negotiate (the
27
28
4830-5504-1536.1 2
P:\ApndIII\RaoIutioftl\llaolulionll\2OO6\07-lo.o6 Allied. CCN 495 North 0 Street eoc Rao.doc
1
"Agreement") by and between the Agency and Watson and Associates Development Company,
Inc. (the "Developer"), and adopted the Mitigated Negative Declaration for the Downtown
Mixed Use Project Plan (the "Plan") and for the Project to be built (the "Project") described in
more detail in the CEQA Initial Study dated October II, 2005; and
WHEREAS, on or about September 7, 2004, the Agency considered and certified
Environmental Impact Report SCH#2003031072 (the "EIR") in accordance with the California
Environmental Quality Act ("CEQA") for the Project Area, and the acquisition of property
contemplated within the Plan and for the Project is consistent with the EIR; and
WHEREAS, Part I Crimes within the area of the Plan and the Project were reported as
91 incidents of crime for the period January 11 through April 11, 2006; and 436 for 2005 and
426 for 2004; and
2
3
4
5
6
7
8
9
10
11
12
13
WHEREAS, the Agreement contemplates the Agency acquiring or obtaining control of
parcels necessary for the Plan either through purchase negotiations or alternatively, by eminent
domain proceedings, if necessary; and
14
15
16
WHEREAS, Allied Capital Investments, LLC, has delivered a letter to the Agency dated
May 15,2006, rejecting the prior offers of the Agency and requesting a purchase price to be
paid by the Agency for the Property equal to $2,000,000 plus other statutory amounts as may be
due and payable to the tenants located on the Property; and
WHEREAS, on May II, 2006, notice of hearing on a Resolution was mailed to the
owner of record of the Property, Allied Capital Investments, LLC, at the address for the owner
of the Property; and
WHEREAS, on June 5, 2006, a majority of the Commission Members present at the
meeting voted to approve the Resolution; and
17
18
19
20
21
22
23
24
25
WHEREAS, the California Code of Civil Procedures Section 1245.240 states that,
26
"Unless a greater vote is required by statue, charter, or ordinance, the Resolution shall be
27
adopted by a vote two-thirds of all the members of the governing body of the public entity"; and
28
4830-5504-1536.1 3
P:\AaCNiU\Itaokltionalllaohuioal\2OO6\07-1O-06 Allied. CCN 495 North G Strccl COC Ile.o.doc
1
WHEREAS, at the JWle 5, 2006, meeting of the Commission, due to the absence of
some Commission Members, a two-thirds vote of the governing body was not obtained; and
WHEREAS, the need exists for the Commission to rescind Resolution No. CDC/2006-
2
3
4
16 and consider the adoption of this Resolution at this time; and
WHEREAS, on JWle 21, 2006, notice of hearing on this Resolution was mailed to the
owner of record of the Property, Allied Capital Investments, LLC, at the address of record on
file at the office of the COWlty Tax Collector and at the last known address for the owner of the
Property; and
WHEREAS, on July 10, 2006, after not less than fifteen (15) days written notice to the
owner of the Property, the Commission conducted a hearing for the purpose of affording the
owner of the Property a reasonable opportWlity to appear and be heard on the matters referred to
in Code of Civil Procedure Section 1240.030 and whether the Agency has met all other
5
6
7
8
9
10
11
12
13
14
prerequisites for the exercise of eminent domain to acquire the Property for community
redevelopment purposes; and
WHEREAS, the Commission has determined as a result of such hearing on July 10,
2006, that the public health, safety and welfare require the Agency to acquire the subject
Property for community redevelopment purposes and to facilitate the Project.
15
16
17
18
19
NOW THEREFORE, BE IT RESOLVED THAT THE COMMISSION FINDS,
DETERMINES AND DECLARES AS FOLLOWS:
20
21
Section 1.
The information set forth in the above recitals of this Resolution is true
22
and correct.
23
Section 2.
The Commission rescinds Resolution No. CDC/2006-16.
The real property to be acquired Wlder the authority of this Resolution i
24
Section 3.
25 located in the Project Area in the City of San Bernardino, California, and is also known as 49
26 North "0" Street, San Bernardino, California 92410 (San Bernardino COWlty Assessor Parce
27 Number 0134-101-28). The Property is more particularly described in the legal descriptio
28 attached as Exhibit "A." Tbe interest in the Property to be acquired consists of all of the fe
4830-5504-1536.1 4
P:\Aacftdu\ll.c:lolutiool\llelolutiolll\2OO6\07-10-06 Allied - CCN -495 North G SIrcet CDC Itao.doe
1
simple absolute title interest in the Property, and all of the right, title and interest of each perso
and owner of the Property including the acquisition of each and every possessory interest and al
rights to terminate any and all leasehold estates in the Property in accordance with the leas
terms thereof, and pursuant to either statutory rights or pursuant to court order to terminate al
such leasehold estates or other tenancies in the Property, and all easements and appurtenances t
2
3
4
5
6
the Property.
Section 4.
On June 21, 2006, the Agency transmitted a notice of hearing to known
7
8
owner ofrecord (Allied Capital Investments, LLC) at 5661 Beach Boulevard #201, Buena Park,
California 90621.
9
10
Section S.
The Commission acknowledges receipt of the written reports and
11
12
information relating to the Project Area, including the Staff Report and Agreement between the
Agency and Developer concerning the Plan, and the appraisal of the Property, staff reports, and
oral reports and information submitted to the Commission during the course of the hearing
conducted on July 10, 2006.
13
14
15
Section 6.
The Commission on behalf of the Agency finds and determines that the
16
17
hearing conducted by the Commission on this matter on July 10, 2006, was full and fair, and
that each interested person has been afforded a full and fair opportunity to present evidence and
testimony relating to assembly of land for the Plan, and the matters described in Code of Civil
Procedure Section 1240.030, and the acquisition of the Property, and all interests in it, by the
Commission for community redevelopment purposes by the exercise of eminent domain and
other relevant matters.
18
19
20
21
22
23
Section 7.
The Commission declares its intent to acquire the Property for the Plan
24
and community redevelopment purposes in the name of the Agency in accordance with the laws
of the State of California including the Community Redevelopment Law and Health and Safety
Code Sections 33391 and 33492.40. The Commission further fmds and determines that all of
25
26
27
the prerequisites to the exercise of eminent domain by the Agency with respect to such
acquisition of the Property for the Plan have been met.
28
4830-5504-1536.1 5
P:\ApIdII\Raolutionl\RaolutiDnl\2OO6\07-I().O(j Allied. CCN"or.! North G Scrcct coc lleIo.doc
1
The Commission has found and determined that the acquisition of the
Section 8.
2
Property for the Plan is an activity, which is covered under a Mitigated Negative Declaration
adopted by the Commission on November 7, 2005 and a Notice of Determination was filed with
the Clerk of the County on November 10, 2005.
3
4
5
Section 9.
In accordance with the provisions of Code of Civil Procedure Section
6
1245.230, the Commission finds, determines, and declares as follows:
(a) The public interest, convenience and necessity require the acquisition of the
Property for the Project, as necessary to alleviate conditions of blight in the Project Area, which
are documented and described in more detail in the EIR and CEQA Initial Study dated October
II, 2005, and to provide for the orderly redevelopment of the Property and other real property
included in the Project Area. The assembly and redevelopment of the Property is necessary as
the Project Area displays a number of conditions of blight, including without limitation
prevalence of absentee owners, high volume of code compliance cases, crime statistics
substantially higher than the City rate, the presence of old structures that show signs of
dilapidation and deterioration and small or substandard lot sizes within the Project Area,
including the subject Property, and a diverse pattern of land ownership which prevent or
substantially hinder the economically viable use of such real property in its present condition.
For the period of January II through April II, 2006, the number of Part I Crimes within the
area of the Plan and Project were 91. For the period 2005, there were 436 Part I Crimes. For
the period 2004, there were 426 Part I Crimes. For the period of January II through April 11,
2006, this equates to 312.69 Part I Crimes per 1,000 people. Part I Crimes include murder,
rape, assault, robbery, burglary, grand theft auto and other theft. Crimes such as drug
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24 use/possession/sale, panhandling, prostitution, etc. are not included in the figures. Acquisition
25 and assembly of the Property for community redevelopment purposes for the Plan and the
26 Project, together with other lands already owned by the Agency in the Project Area, will foster
27 the elimination of blight and assist with the redevelopment of the Project Area, and assist with
28
4830-5504-1536.1 6
P:\ApDdII\RcIoludollll\Raolutionll2OO6\07-lo-o6 AUicd - CCN "9~ North G SCreet CDC Rc:Io.cb;:
1
elimination of blight in other lands in proximity to the Project Area. The Plan and the Project
include without limitation mixed income and mixed commercial and residential uses.
2
3
(b)
The Plan and Project is planned or located in the manner that will be most
4
compatible with the greatest public good and the least private injury in light of the fact that the
real property included in the Project Area displays a number of symptoms of blight. The Plan
and Project shall also facilitate the completion of a land assembly program previously initiated
by the Agency and foster the reuse of a developed urban area that has stagnated in recent years
under the burdens of economic obsolescence, small lot size, diverse ownership, absentee
owners, tenant occupancy, high crime and code compliance cases, property tax liens, and
inadequate public improvements.
(c) The Property described in this Resolution is necessary for the Plan and Project,
as its acquisition and reuse for the Plan and Project is part of a neighborhood plan to eliminate
blight and provide for the redevelopment and improvement of the other lands owned by the
Agency within the Project Area.
5
6
7
8
9
10
11
12
13
14
15
16
(d)
The purchase offer required by Government Code Section 7267.2 has been
17
mailed to the owner of record of the Property by the Agency, and the Agency has not been
successful in acquiring the Property based upon the conditions contained within the offer. The
Commission is hereby requested to approve its acquisition of the Property for assembly for the
Plan and Project.
18
19
20
21
Section 10. (a)
The law firm of Lewis Brisbois Bisgaard & Smith, LLP, as legal
22
counsel to the Agency ("Agency Counsel"), is authorized and directed to prepare, institute and
prosecute in the name of the Agency such proceedings in the court having jurisdiction, as may
be necessary for the acquisition of the Property.
23
24
25
(b)
The sum payable by the Agency as probable compensation for the acquisition of
26 the Property by eminent domain, as determined by the appraisal, may, in the discretion of
27 Agency Counsel, accompany the filing of the complaint and may be deposited as follows: (i)
28 with the State of California in the manner provided by law, or upon the recommendation of
Agency Counsel to the County Treasury; or (ii) at the election of the person(s) who may claim
4830-5504-1536.1 7
,.,\AfcncIM\ReIoiutioDl\ReIDludDIII\2OO6\07-10-06 Allied - CCN 49S Nooh G Street CDC Rao.doc:
1
an interest in the Property to be acquired by such condemnation proceedings, in such other
manner as such interested person(s) may request in writing, subject to the approval of the
Executive Director and Agency Counsel.
2
3
4
(c)
Agency Counsel is also authorized, subject to the approval of the Executive
5
Director, to engage in settlement negotiations and, if possible, arrange for purchase of the
Property in lieu of condenmation at the appraised price prior to or subsequent to filing a
condemnation complaint to commence acquisition of the Property by eminent domain.
Section 11. The Secretary of the Commission is authorized and directed to certify the
adoption of this resolution. This Resolution shall take affect upon adoption.
6
7
8
9
10
/1/
//1
//1
/1/
/1/
/1/
/1/
/1/
/1/
/1/
/1/
//1
/1/
/1/
/1/
/1/
/1/
//1
/1/
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
4.30-5504-1536.1 8
P:\AaendU\KcIolutions\RcsoJutionl\2006\07-IO-06 Allied. CCN 495 North G Street COC RCIO.cb;:
1
RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION
OF THE CITY OF SAN BERNARDINO DECLARING THE PUBLIC
INTEREST AND NECESSITY OF ACQUISITION OF REAL PROPERTY
BY THE REDEVELOPMENT AGENCY OF THE CITY OF SAN
BERNARDINO FOR COMMUNITY REDEVELOPMENT PURPOSES
OVER THE PROPERTY LOCATED AT 495 NORTH "G" STREET, SAN
BERNARDINO, CALIFORNIA (APN: 0134-101-28) IN THE CENTRAL
CITY NORTH REDEVELOPMENT PROJECT AREA, AND
RESCINDING RESOLUTION NO. CDC/2006-16
2
3
4
5
6
7
PASSED, APPROVED AND ADOPTED this 10th day of Jul v
,2006.
8
I CERTIFY that the foregoing Resolution was duly adopted by the Community
9
Development Commission of the City of San Bernardino at its ioint regular
meeting
10
held on July 10
11
Commission Members:
12
ESTRADA
13
BAXTER
14
MCGINNIS
15
DERRY
16
KELLEY
17
JOHNSON
18
MC CAMMACK
19
, 2006 by the following vote, to wit:
Abstain
Absent
Aves Navs
x
.lL-
...lL-
...lL-
X
X
~
./
20
~.
21
The foregoing resolution is hereby approved this I J~ day of
July
,2006.
22
-.
23
25
atrick Morris, Ch erson
. ty Development Commission
of the City of San Bernardino
24
26
Approved as to Form and Legal Content:
By: r;-~ L
A~:n~wr
27
28
4830-5504-1536.1 9
P:\Aaendu\RelolutioM\Raolutions\2006\07-10-06 All*" - CCN 495 North G SIrocc COC lao,doc