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Home My WebLink AboutR02-Economic Development Agency ,r"'_ r- '-' Redevelopment Agency . ,...,"' " '....I City of San Bernardino .. ln~; ~ W~ '-' 300 North "D" Stree~ Fourth Floor. San Bernardino, California 92418 (714) 384-5081 FAX (714) 888-9413 Steven H. Dukett Executive Director APRIL 25, 1989 WOOLWORTH BUILDING - REVISED THIRD AMENDMENT TO PARKING LICENSE AND EASEMENT WITH OPTION RIGHTS AGREEMENT WITH CENTRAL CITY COMMERCE CENTER Synopsis of Previous Commission/Council/Committee Action: 02-21-83 Resolution No. 83-53 adopted a Parking License Easement Agreement, Central City Commerce Center, Woolworth Building. 02-18-84 Approval in concept of Amendment to Lease. Agency Counsel instructed to prepare. (Continued on page 2) (MAYOR AND COMMON COUNCIL) '-- Recommended Motion: Adopt the attached RESOLUTION OF THE CITY OF SAN BERNARDINO CONSENTING TO THE EXECUTION OF A THIRD AMENDMENT TO PARKING LICENSE AND EASEMENT WITH OPTION RIGHTS BETWEEN THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO AND CENTRAL CITY COMMERCE CENTER AND REPEALING RESOLUTION NO. 88-306. (Continued on page 3) " Respec:fully ! !J I Supporting data attached: Yes FUNDING REQUIREMENTS: None Ward: 1st Project: CC Commission Notes: ....c..... ......... SHD:GW:sm:4967G Agenda of: MAY 1, 1989 Item No. 2. . ~- --- -- - c :) Synopsis of Previous Commission/Council/Committee Action: 03-07-85 Resolution No. 4737 adopted an Agreement amending Parking License and Easement Agreement. 06-02-86 Resolution No. 4884 authorized execution of a Second Amendment to Parking License and Easement Agreement. 06-02-86 Resolution No. 86-192 consented to execution of a Second Amendment to Parking License and Easement Agreement. 08-15-88 Resolution No. 5143 authorized execution of a Third Amendment to Parking License and Easement Agreement. 08-15-88 Resolution No. 88-306 consented to execution of a Third Amendment to Parking License and Easement Agreement. 04-06-89 The Redevelopment Committee reviewed the item and recommended its adoption. SHD:GW:sm:4967G 2 - '- ~^ /r'..~.' ''"- .-'''- ,-, '-' -' (COMMUNITY DEVELOPMENT COMMISSION) RESOWTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO AUTHORIZING AND DIRECTING THE EXECUTION OF A THIRD AMENDMENT TO PARKING LICENSE AND EASEMENT WITH OPTION RIGHTS BETWEEN THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO AND CENTRAL CITY COMMERCE CENTER AND REPEALING RESOLUTION NO. 5143. SHD:GW:sm:4967G 3 , "-",, -" Redevelopment Agency STAFF REPORT "- This is to request that the Commission approve and the Mayor and Common Council consent to the approval of the attached revised Third Amendment to a Parking License and Easement with Option Rights agreement with the Central City Commerce Center Ltd., ("Owners"). The agreement provides for the leasing of 80 parking spaces in the 3-level parking structures to allow development of the Woolworth Building. In August, 1988, the Commission approved a Third Amendment which provided among other things that the Owners would contribute $16,412 toward the improvement of the parking structure facade. This amendment was never executed by the Owners. In the interim, they have caused $17,000 worth of additional improvements to be constructed on the facade of the Woolworth building. The basic effect of this revision to the third amendment is to credit these additional expenditures and delete the requirement to contribute to improving the parking structure. BACKGROUND On April 21, 1983, the Agency entered into an Agreement with the Owners which- provides for the leasing of 80 spaces in the 3-level parking structure (35 spaces on the third level and 45 spaces on the ground floor in an area referred to as the "J" site). The Agreement provided that the Owners were obligated to pay $20/month plus Consumer Price Index adjustments for each parking space. The Commission granted two amendments relieving payments until a tenant could _ be obtained. On August 15, 1988, the Commission approved a Third Amendment to the Parking License and Easement with Option Rights which delayed the $20 per month per space payment until January 1, 1995, but required the Owners to pay $5.60 per month per space maintenance and operation costs. In addition, the Owners agreed to spend up to $50,000 to make such improvements as suggested by the Main Street Program to the exterior building and parking structure facade. The Owners were to spend approximately $33,588 on the building facade, leaving $16,412 to be applied to the parking structure facade. The amount for the parking structure was to be paid to the Agency upon occupancy of the building. To date, the Owners have incurred more than $50,000 in exterior improvements to the building alone. These additional items include exterior awnings (currently on order), exterior plaster and additional plaster which were not required under the original agreement. The Owners have, therefore, requested that the Agency consider crediting their additional building facade improvement expenses against their obligation to contribute to improvements to the parking structure. -- SHD:GW:sm:4967G 4 " .,_. ,............ '-" - "'- RECOMMENDATION \....,,"^' "-, The terms of the revised Third Amendment are virtually identical with the previously approved Third Amendment except that the payment of $16,412 for parking structure improvements has been substituted with the additional improvements that have been made on the facade of the building. The cost of these building facade improvements exceed the 516,412 amount which was to be applied to the parking structure. The Owners have been most cooperative with the Agency and Main Street. The revised agreement has been approved as to form and legal content by Agency Counsel and signed by the Owners. The Redevelopment Committee reviewed this item at its meeting on April 6, 1989 and recommended approval. It is, therefore, requested that the Commission approve and the Mayor and Common Council consent to the approval of the revised amendment. SHD:GW:sm:4967G 5 - '-' '- 15 18 19 20 21 22 23 24 25 26 ~ 27 28 - ....... c_ 1 2 RESOLUTION NO. RESOLUTION OF THE CITY OF SAN BERNARDINO CONSENTING TO THE EXECUTION OF A THIRD AMENDMENT TO PARKING LICENSE AND EASEMENT WITH OPTION RIGHTS BETWEEN THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO AND CENTRAL CITY COMMERCE CENTER AND REPEALING RESOLUTION NO. 88-306. 3 4 5 BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS: 6 7 SECTION 1. Resolution No. 88-306 is hereby repealed. SECTION 2. The Mayor of the City of San Bernardino is 8 9 10 hereby authorized and directed to execute for and on behalf of said City a Consent Clause contained in the Third Amendment to 11 Parking License and Easement With Option Rights between the 12 Community Development Commission of the City of San Bernardino 13 and Central City Commerce Center, a copy of which is attached 14 hereto as Exhibit" 1", and incorporated herein by reference as fully as though set forth at length. SECTION 3. The authorization to execute the above- 16 17 referenced consent is rescinded if the parties to the referenced Amendment fail to execute it within sixty (60) days of the passage of this resolution. I HEREBY CERTIFY that the foregoing resolution was duly adopted by the Mayor and Common Council of the City of San Bernardino at a day of to wit: / / / / / / / / / DAB:br 1 April 24, 1989 meeting thereof, held on the , 1989, by the following vote, - '-' 2 3 4 10 11 12 13 14 .,",,-~ 15 16 17 18 19 20 21 22 23 24 25 26 .- 27 '-' 28 ~ --- ~ , '.......,." 1 RESOLUTION OF THE CITY OF SAN BERNARDINO CONSENTING TO THE EXECUTION OF A THIRD AMENDMENT. RESOLUTION NO. AYES: 5 6 7 NAYS: ABSENT: 8 9 City Clerk The foregoing resolution is hereby approved this day of , 1989. Evlyn Wilcox, Mayor City of San Bernardino Approved as to form and Legal Content: JAMES F. PENMAN BY,~ / Ci ty orney DAB:br April 24, 1989 1 - ~ 1 "'-' 2 ,- RESOLUTION NO. 11 12 13 14 -- 15 16 17 18 19 20 21 22 23 24 25 26 '- 27 28 RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF 3 THE CITY OF SAN BERNARDINO AUTHORIZING AND DIRECTING THE EXECUTION OF A THIRD AMENDMENT TO PARKING LICENSE AND EASEMENT 4 WITH OPTION RIGHTS BETWEEN THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO AND CENTRAL CITY COMMERCE CENTER 5 AND REPEALING RESOLUTION NO. 5143 6 BE IT RESOLVED BY THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO AS FOLLOWS: 7 8 SECTION 1. Resolution No. 5143 is hereby repealed. SECTION 2. The chairman and Secretary of the Community 9 10 Development Commission of the City of San Bernardino are hereby authorized and directed to execute for and on behalf of the Redevelopment Agency of the City of San Bernardino a Third Amendment to Parking License and Easement with Option Rights between the Community Development Commission of the City of San Bernardino and Central City Commerce Center, with such nonsubstantive changes to said Amendment as may be approved by the Chairman and Agency Counsel. A copy of said Amendment is attached hereto as Exhibit" 1" and incorporated herein by this as though fully set forth at length. SECTION 3. The authorization to execute the above- referenced Amendment is rescinded if the parties to the Amendment fail to execute it within sixty (60) days of the passage of this resolution. I HEREBY CERTIFY that the foregoing resolution was duly adopted by the Community Development Commission of the City of San Bernardino at a meeting thereof, held on the day of , 1989 by the following vote, to wit: DAB:br April 24, 1989 1 '. ,'''- ',-, 9 10 11 12 '-" ,.- 14 13 ....... 15 16 17 18 19 20 21 22 23 24 25 26 27 28 --- '-' '..."",,'"' 1 RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO AUTHORIZING AND DIRECTING THE EXECUTION OF A THIRD AMENDMENT TO PARKING LICENSE AND EASEMENT WITH OPTION RIGHTS RESOLUTION NO. 2 3 4 AYES: Commissioners 5 6 NAYS: 7 8 ABSENT or ABSTAIN: Secretary The foregoing resolution is hereby approved this day of , 1989. Chairman of the Community Development Commission of the City of San Bernardino Approved as to form and legal content: B~ Agenc Counsel DAB:br April 24, 1989 2 ~. v '--.,., . ,,- '-' BIRD AMBNDMBNT '1'0 PARltING LXCBNSB AND BASEMENT WITH OPTION RXG8TS BXS BIRD AMBNDMBNT entered into effective the day of -- , 1989, between the CClMMUNx'l'Y DBVBLOPMBNT CXlMMl:SSION OF DB CI'l'Y OF SAN BERNARDDIO, CALXFORNXA, hereinafter -AgencyW, and CBNTRAL CXTY COMMBRCB CBNTBR, a California general partnership, as licensee, hereinafter wCanterW, and consented to -- by the CITY OF SAN BERNARDINO, hereinafter wCityw, amends that certain Parking License and Easement with Option Rights entered into between the parties on the 21st day of April, 1983, as previously amended pursuant to Resolution No. 4737 of the Community Development Commission and Resolution No. 85-84 of the "- City of San Bernardino, and as further amended effective June 2, 1986, pursuant to ReSOlution No. 4884 of the Community Development Commission and Resolution No. 86-192 of the City of San Bernardino. RECITALS The parties hereto desire to amend that certain Parking License and Easement with Option Rights, hereinafter referred to as the WAgreementW, heretofore entered into as specified above to delay the start of a portion of the $20.00 per space, per month, lease payment, to provide for exterior maintenance and appearance, to provide for joining a maintenance and security - district if one is formed for the Main Street Revitalization Project, and to provide for approval by the Agency of exterior building and parking area facade improvements in keeping with the DAB:cez December 22, 1988 1 '. ~ ~, '-' v I. - Main Street Revitalization Project. DU>LBMENTA'1'l:ON The parties heretofore agree that: A. Paragraph 2.5 as a44e4 to the Agreement by the First Amen4ment 4ate4 April 4, 1985, is hereby emen4e4 to rea4 as follows: - -2.5 Notwithstan4ing the provisions of Section 2.3 above, payments by Center, as licensee, for the monthly parking space charges shall be postpone4 until January 1, 1995, at which time the monthly charges shall begin to be due an4 to be pai4 by Center to Agency. Except that upon execution of this '- Thir4 Amen4ment, Center shall commence an4 continue to pay the operation an4 maintenance costs for .ai4 parking spaces to Agency as perio4ica11y estab1ishe4. All sums accrue4 an4 past due for monthly parking space charges are hereby excuse4, an4 shall not become 4ue. On January 1, 1995, the licensee shall forthwith commence monthly payments at the rate of $20.00 per month, per space, for each of the parking spaces inclu4e4 in the 'J' bui14ing an4 for each of the parking spaces Covere4 by this agreement in the -- parking structure. This amen4ment shall have DAB:cez December 22, 1988 2 '. -- ".'---.---'-.' ....... '-"" " ,.',,- - no effect whatsoever upon payment of the 813,000 annually ~nvolv~ng re~bur8ement ~or the cost of establishing parking spaces ~n 'the 'J' bU~lc!1ng, and the monthly per space charge shall be subject to adjustment periodically as provided for ~n Section 2.3." B. Paragraphs 2.6, 2.7 and 2.8 are hereby added to 'the agreement to read a. follows: "2.6. Center shall provide and mainta~n exter~or maintenance and appearance of the ~- Woolworth building to the satisfact~on of Agency and hereby agrees to jo~n a maintenance and security c!18tr~ct ~f one ~s formed for the Main Street Revitalization '-' Project or any similar downtown rehabilitation program." "2.7. Center agrees to make such ~mprovements as are required by the Main Street Revitalization Project or any similar downtown rehabilitation program to the exterior building and parking area facade, provided that the cost of any such improvements shall not exceed the total sum ~- of 850,000 inCluding costs in 'the approximate amount of 833,588 for exterior improvements '-' as presently planned. The west wall of the DAB:cez December 22, 1988 3 '. -.-----~--.-~~~- -'-0- "--- '..., '. ,- - '- bullc!1ng is t:o be resurfaced in such a manner as ~o be compa~ible wi~ and architec~.lly conform ~o ~he existing north wall. All such proposed improvements shall be first submitted ~o ~e Agency for approval.- -2.8 A wrought iron .ecuri~y fence ~o be approved by ~he Project Manager of San Bernardino Downtown Main Stree~, Inc. shall be installed around ~he ~ransformer. In - addi~ion, ~he ~ransformer pad shall be designed ~o drain ~o ~he s~reet.- 3. In all other respects ~he Parking License and Easement with Option Rights as entered into on ~he 21st day of April, '- 1983, and as previously amended, shall remain in full force and effect. IN WITNESS WHEREOF, ~he par~ies have execu~ed this Agreement 8ffec~iv8 8S of ~he da~e and year firs~ set forth above. COMMUNITY DEVELOPMENT COMMISSION CENTRAL CITY COMMERCE CENTER OF THE CITY OF SAN BERNARDINO A CaUf. General P era p . By Secretary By By Chairman - '-' " DAB:cez December 22, 1988 4 "'. ~ ." '- /"- ~ - '-' ,~. -~ .~-- - . ...,# The C1 ty of San Bernardino hereby consents to t:h18 Agreement. ATTEST: CI'l'Y' OF SAN BERNARDINO By City Clerk Bvl:rn1f1l00z. Mayor Approved as to fora and legal oontent: City Attorney DAB:cez December 22, 1988 5