HomeMy WebLinkAboutR05-Redevelopment Agency
~~
. ,- . 0
REDEVELOPME~AGENCY - REQUEST FOR COMMISSION/COUNCIL ACTION
(
~: FEBRUARY 10, 19B9
SUBJECT: COURT & "E" - CENTRAL CITY PROJECTS
SvnoDsls of Previous Commission/Council/Committee Action:
OB-04-B6 Approved an RFQ/RFP for the development of the Court and "E" site.
03-23-87 Resolution No. 5000 approved a Pre-Disposition Agreement with City
Plaza Partners.
06-01-87 Agreement with City Plaza Partners was terminated.
12-21-87 Resolution No. 5059 adopted a Pre-Disposition Agreement between the
Redevelopment Agency and Slmchowltz Corporation.
05-23-88 Resolution No. 5114 adopted approving execution of an Amendment to
the Pre-Disposition Agreement.
07-18-88 Resolution No. 5131 adopted approving execution of a Second
Amendment to the Pre-Disposition Agreement.
09-19-88 Resolution No. 5151 adopted approving execution of a Third Amendment
to the Pre-Disposition Agreement.
t.
(COMMUNITY DEVELOPMENT COMMISSION)
(
Recommended Motion:
Move to authorize the execution of a Fourth Amendment to the Pre-Disposition
Agreement between the Agency and Slmchowltz Corporation for the development of
a commercial structure at the Agency's Court and "E" Street site.
Contact Person: Steven H. Dukett
Phone:
384-5081 .
SUDDortlnq data attached: Yes
FUNDING REQUIREMENTS:
Ward: 1st
Project: Central City
Date: February 20, 1989
~11 Notes: :/{;r# mot/m (J/;~~ ~ L4?~dL74~
M itA 3 iwe....3v /'1 J?9
tI. ,... ~k~ 2-eo,,fi)~
Agenda Item No. ~
SHD:GH:sm:4862G
-
.
GEt-)EJlA1..lNFOIlMAT:lOH I
actNDA IftM INrOIlMA'1':IOH .UMtWlY
o 0,
DIlDA COtlHI'M'EE IiICCl11t1IIS:lOH 0 COUNCn.
~uthorGAI2V B . 'NAG-ONE i?. bt. .3lf5~
Subject Cooe-r- 1tfJ~ "E'(
~ding requirement.
<
NO/.JF
~'1'1' J)EPAR'DIENTAL IlEVIEW.
Ilept
By
-z--t ~ --'l
!)ate
~rz
!)ate '
!)ate
N /Il
.udget autbority
1'111ng date :z /1 S' / g9
2- (zo /89
Meeting date
liard I
Project ar.a <:c:
CLEAJl1lNCES.
Yes II/A
o iii Accounting
o 0 ~!~:;1tt.:
ea.U
City A4ministrator
bept Ily !)ate
lIIFOJIMA'fIOHAL DATA I'OIlWAIlJ)ED '1'0 CITY DEPARTMENTS/COUNCIL OFFICES.
Supplied 'l'c Ily
"'yor'. office
Council Ward
Counc11 Ward
Council Ward
Council Ward
Ileparblent
Ilepartlllent
Date
t.{q /'6'1
Date
Z/'- If'!
Date
O}~ ff/,/1
!)ate
Date
Date
COMMENTS/CONCERNS. Include pertinent comment. and concern. of Office. and ,er.on~ clearing
tbe a~ry. auch a. controvar.ial i..ue., ti-. con.traint. and funding c~.lication..
Indicate dat.. when action au.t .. taken.
~
/'
*l:7
~
, '
"
l
(
i
o
S T ~ F R E P 0 R T
On December ZZ. 1988. the Redevelopment Agency entered into a Pre-Disposition
Agreement (PDA) with SImchowitz COrporation (SImchowltz) for the development
of a high-rise commercial structure on the Redevelopment Agency-owned site at
Court and "E" Street.
The original Agreement has been amended three times to extend the expiration
date of the Agreement. The last Amendment expired on December 31, 1988. The
major stumbling block encountered by the developer has been the difficulty of
meeting financing requirements that 40 to 50 percent of the building be leased
before construction begins.
Recently. SImchowltz Informed staff that they were finalizing negotiations
with three potential tenants that could commit to leasing 70,000 to 80.000
square feet In the proposed building. One or more of these tenants are
potential joint ventures In the project. Staff has spoken to one of the .
potential tenants who has confirmed that serious negotiations are underway and
a final decision should be made within the next 30 days.
In consideration of the status of Slmchowltz's efforts. It Is. therefore.
recommended that the Commission approve an extension of the PDA to March 31.
1989. The proposed Amendment has been signed by the developer and Is attached.
SHD:GH:sm:486ZG
Z
,.
;
(
,
t
I
(
{
'0
o
l"OUItftl --UIUiIIT 'l'O ftB-DISPOBI'1'IOR A~1: ...."'AUl
'1'IIB aEDBVELOlICbr AGUei' OF '1'IIB CIon OF SAIl ......1U)I.O
&lID BDICIIOWI'J'I COUORA'1'IOR lOll '1'IIB r.IliY~r OF
A ClOIIICDCIAL B'l'ItUC'l'URl: AT '1'IIB COURT &lID -.- B!1UWiT
BID 0ha1liU ItY '1'IIB ItEDEVBLOJlIu;ar AGUei' OF '1'IIB
CIon OF BAlI BDJlUDIlIO
.
. (Central Cit7 Pro:Ject area)
~.
:....
BIB ~ AJI..........r 'l'O AGREI:IID'l', entertt4 into effecti"e
tile day of , l'S', by aDd between tba
IlEDEVELOllKIwIr AGUei' OF '1'IIB CIon OF SAIl HIUIUDIRO, e public
body corporate aDd politic, hereinafter -Agency-, aDd
BDICIIOWI'1'I COItPOItA'1'IOR, a California corporation, herebafter
-De"eloper-.
DCI'l'ALS
A. T.be partie. her.to entertt4 into tbat certain
Pr.-di.po.ition Agr.ement between tbe ..d.".lopment Agency of
tbe City of Ban Bernardino aDd Simcbowita Corporation for tbe
de"elopment of a coanercial atructur. at tb. Court aDd -._
Street alt. cnmtt4 by tb. att4e"elopm8nt Ag.ncy of tile Cit7 of
San Bernardino on December 22, ItS7.
8. Said Agr....nt pro"id.d tbat tbe parti.. would
negotiate ezclu.i"ely witb .acb otber aDd in 100d faitb toward
tbe preparation aDd ezecution of Di.po.ition aDd De".lopment
Agr.ement (-DOl-) for tbe de"elopment of a auitable commercial
facility upon tbe aite.
C. Baid Agr.lIIINUlt .a. ameDdtt4 by an Amendment dattt4
.ay 23, l"S, to ezteDd tile teradnation date for aaid Agreement
to Augu.t 1, 1.SS.
D. Baid agreement .a. furtber emeDdtt4 by an Amendment
dated 3uly lS, 1.SS to ezt.nd tbe teradnation date for .aid
Agreement to September 15, 1.SS.
B. Baid Agreement .a. furtber a.Ddtt4 by an Amendment
dated October 15, l'SS to .ztend tbe teradnation date for .aid
Agreement to December 31, l'SS.
F. '!'be negotiation. for a DDA are continuing but ba"e not
yet been completed, and it i. anticipatea tbey .ill not be
finaliatt4 prior to tbe ezpiration of tbe term of tbe Agreement
a. emended.
G. '!'be partie. therefore de.ire to furtber ezt.Dd a.id
Agreement to allow negotiations to be completed.
f.., / : .
V
i(
.~
1
,
;
i
.
t
f
,
I
f
I
f
t
i(
\
.
." .0
Q
.
..qDR____~.
TIle parU.. laer.to .,r.. .. ~ollowa:
1. Paragraph 2 of the A'r....ot 1. ".rq ..D4ec! to read
.. ~ollowa:
. .
".
.~e partie. therefor. e,r.. t:hat UDtil aD4
iocludio, Karch 11. U8.. UDI... .0008r t:.raloatec! in
accordaoee witb the provl.loo. .at ~orth hereloafter.
Ageoa.f aD4 meveloper .hall De,otlate ezclu.iv.ly wltb
.ach other aDd lD 9004 ~alth towar4 th. pr.paratloo
aD4 ezecuUoo of a Dlapo.l Uoo aD4 Developmeot
A,r.-.ot (DDA) _tweeD the parU... ~or th.
dev.lopmeot of a .ultabl. co--.rclal facility upoo the
.1t..-
2. Paragraph I of th. A,r.-.ot b ".rq .mucJec! to r.acJ
a. follow.:
.~la Agr.emeDt b iDtaD4ec! to be pral1JD1Dary lD
Datur.. aD4 doe. DOt create aD4 1. DOt 10teD4ec! to
create aoy lDtere.t lD the bD4 4e.cdbecJ. ~e
partie. bereto a,r.e that thl. Agreemeot 1. Dot
.paclflcally .oforceabl.. aDcJ that DO actloo .hall be
allowecJ for dame,e. 10 the.veot of default.-
3. Bzcept a. a.eocJecJ "er.lo .alcJ A'r....Dt .hall r...1D
10 full forc. aDcJ .ffect.
I. WI'1'RESS WHEItEOF. the parU.. bav. ezecutec! thla Pourtb
Ameodmeot to A,r.emeot .ff.ctlve tbe date aocJ year flr.t above
.hOMO.
SIMCHOWI'l'Z CORPORA'l'IO.
a Callforola corporatloo
01/201'8'
281101'21641'00
-2-
. .
-
t'
.
...0
.. ~
o
--
l
t
r
I
~
t
,
.
Approve4 .. a rona
.114 lagal CDntut:
AGEIIer ....:_KW\!, CODIISEL
-~..~ )
DD. .. A. . .. 4
_:--:~c:
_r V. ~occa. Carbon. aautb
Special Couuel to tbe AgUC)"
.
'"
--."!.,:
IIEDEVELOPIIElrr AGDa OF 1'111: CI'l'Y
OF BAlI -"'-IlItDI80
8r:
azecutlve Director
Atte.t:
<(' "creta~
APPROVED AS !'O nnGIIW:
aEDEVELOPMu'l" AGDc:r OF mE CI'l'Y
OF BAlI BERMIDIBO
117: ~~ l~6
I (
01.f20/89
2811D/2164/00
-3-