HomeMy WebLinkAboutRS01-Economic Development Agency
I
o
o
o
.
DOILOP"IIIT DIPARTOIlT
or THE CITY or SAIl BERlIARDIltO
REQUEST FOR CO~ISSIOIl/COUKCIL ACTIOIl
From:
KENNETH J. HENDERSON
Executive Director
Subject:
PACIFIC FEDERAL
BUILDING ACQUISITIOB
Date:
October 16, 1991
-------------------------------------------------------------------------------
SvnoDsis of Previous COmBissioDlCouncil/ComBittee Action(s):
The Community Development Commission has discussed this matter in
various closed sessions, approved the purchase price and set a public
hearing in connection with this matter.
The Community Development Commission continued this item to October 21,
1991.
-------------------------------------------------------------------------------
RecommPnded IIotion(s):
(Community Develooment Commission)
OPO PUBLIC BlARING
CLOSI PUBLIC BlARING
MOTIOIl A: That the Community Development Commission authorize the
purchase of certain ~eal property generally located at 701
North "E" Street and 767 North "E" Street, including certain
vacant parcele and parking are.as bounded on the west by "E"
Street, on the south by 7th Street and on the east on "0"
Street for an amount not to exceed $3,520,000, and that the
Community Development Commission authorize an increase in the
Department's budget in the amount of $3,520,000).
(MOTIONS CONTINUED TO NEXT PAGE...)
~
Administrator
-------------------------------------------------------------------------------
Contact Person(s): Xen Henderson
Phone:
5081
Project Area(s): Central Citv North
Ward(s):
First Ward
Supporting Data Attached:
Staff ReDort
FUNDING REQUIREMENTS:
Amount: $ 3.520.000
Source: Bond Proceeds
Budget Authority:
To Be Established
-------------------------------------------------------------------------------
CommissioDlCouncil Botes:
-------------------------------------------------------------------------------
KJH:BL:lab:0184E
COMIIISSIOB MElTING AGENDA
Meeting Date: 10/21/1991
Agenda !tell Bumber: 1t.!J-/
,
..
,
o
o
o
o
o
DEVELOPMEBr DIP~J: UQUlST FOR COUllCIL/COMMISSIOII ACTIOII COBrIIIUID...
Pacific Federal Bui1dina Acquisition
October 16, 1991
Page IIUllber -2-
Recommended Motion(s) Continued...)
(Mavor and COIIIIIon Council)
MOTIOII B: RESOLUTION OF TIlE MAYOR AND COMMON COUNCIL OF TIlE CITY OF SAN
BERNARDINO, CALIFORNIA, APPROVING TIlE ACQUISITION OF CERTAIN
PROPERTY FOR POLICE DEPARTMENT USES AND MAKING FINDINGS AND
DETERMINATIONS AS TO TIlE BENEFIT TO VARIOUS REDEVELOPMENT
PROJECT AREAS OF SUCH ACQUISITION.
(Communitv Deve100ment Commission)
MOTIOB C: RESOLUTION OF TIlE COMMUNITY DEVELOPMENT COMMISSION OF THE
CITY OF SAN BERNARDINO, CALIFORNIA, APPROVIBG THE ACQUISITION
OF CERTAIN PROPERTY FOR POLICE DEPARTMENT USES AND MAKING
FINDINGS AND DETERMINATIONS AS TO THE BENEFIT TO VARIOUS
REDEVELOPMENT PROJECT AREAS OF SUCH ACQUISITION.
-----------------------------------------------------------~-------------------
KJH:BL:lab:0184E
COIltlISSIOB MllTIIIG AGDDA
Meetina Date: 10/21/1991
Agenda Item BUllber: et;./
"
, ,
o
o
o
DRBLOPMBBT DBPAIT~BT
OF TUB CITY OF SO BEIlWlDIBO
STUF REPORT
Pacific Federal Buildina Acauisition
The Development Department proposes to purchase the property (consisting
primarily of certain existing structures and certain parking facilities)
known as the Pacific Federal Building located at 701 North "I" Street and
767 North "I" Street, including certain vacant parcels and parking areas
bounded on the west by "E" Street, on the south by 7th Street and on the
east by "D" Street for a purchase price not to exceed three-million,
five-hundred, twenty-thousand dollars ($3,520,OOO) from the current
owners, San Gorgonio Land Company, Incorporated. Said property is being
acquired in order to cause its use as the City of San Gorgonio Land
Company, Incorporated. Said property is being acquired in order to cause
its use as the City of San Bernardino Police Headquarters and to provide
related parking facilities. The Department proposes to use available tax
increment revenues for the acquisition, comprised primarily of bond
proceeds generated from various redevelopment project areas within the
City of San Bernardino.
Although the project is located in the Central City North Redevelopment
Project Area, the Department deems it desirable to use tax increment
revenues attributed to the State College Redevelopment Project Area, the
Tri-City Redevelopment Project Area, the Northwest Redevelopment Project
Area, the South Valle Redevelopment Project Area, the Uptown
Redevelopment Project Area and the Southeast Industrial Park
Redevelopment Project Area for the purpose of funding the acquisition of
the Property.
The City Police Department is presently in need of new office space and
related facilities, a well as additional public parking capacity in order
to provide an adequate level of service to residents and occupants of
each of the redevelopment projects areas rely on the police protection
services provided by the City of San Bernardino Police Department. In
order to function effectively and provide adequate levels of police
protection, it is important that the Police Department has adequate
facilities, including parking facilities. The present facilities used by
the Police Department are already overcrowded and have no available space
for future expansion. In addition, the present parking facilities
associated with the present headquarters are inadequate to provide for
police as well as public parking.
KJH:BL:lab:0184E
COMMISSIOB MDTIBG AGDDA
Meeting Date: 10/21/1991
A.&enda Itea lIlaber: LS.I
..
, ,
o
o
o
DEVELOPMENT DBPAR'nIE-RTAI'F UPORT
Pacific Federal Acquisition Continued...
October 16, 1991
Page I'IU111ber -2-
o
There is a definite benefit to the residents of the various project areas
in the establishment of the new headquarters, since all of the project
areas are in relative proximity to the headquarters and the occupants of
the project areas rely on the services provided by the Police
Department. The present facilities are necessary in order to ensure a
level of service which can continue to keep pace with anticipated growth
within the San Bernardino area. The acquisition of the property for use
by the Police Department will ensure the City's health, safety and
welfare. This in turn will allow for the orderly development of the
project areas, as well as other neighborhoods of the city.
On October 7, 1991, the Community Development Commission discussed the
manner in which staff and the San Gorgonio Land Company have handled this
transaction. For your review, attached is a chronological description of
the events surrounding the proposed purchase of the property.
Staff recommends adoption of the form motion and Resolutions.
1'1, B:l:ecutive Director
ent
-------------------------------------------------------------------------------
KJH:BL:lab:0184B
COMtUSSIOI'I MBBTIl'IG AGBl'IDA
Meeting Date: 10/21/1991
Agenda Itm "-her: I!.S./
o
o
..
o
DEVELOPMENT DEPARTMENT
Pacific Federal Building Acquisition
Chronology of Events
1.
Sometime in late November of 1990, the brokers, Bill
Leonard and F.E. Schnetz, approached the Diocese of San
Bernardino regarding purchasing the RrC Property for
Church use. The brokers approached the City regarding its
view of such a transaction and was told the City would
look favorably on the purchase by the Diocese. At that
time, the Rrc had not considered the price it would seek
for the property, but was given initial indications that
the price might be as high a $5,000,000. The diocese
indicated that the purchase price exceeded its ability and
withdrew from discussions.
2.
Subsequently, in the following month discussions ensued
between the City and the brokers regarding possible
acquisition of the RrC Property by the City. It was felt
that if the RrC was aware that a "deep pocket" purchaser
such as the City was involved the price might well be
considerably higher. In addition, the brokers and the
City discussed the purchase of certain property associated
with the RrC Property from Stanford University and Rhode
Island Hospital (the "Stanford Property"). Accordingly,
on January 23, 1991 in closed session, we are informed
that the Community Development Commission (the"CDC")
approved (i) an agreement with Mr. Leonard's company, San
Gorgonio Land Company ("San Gorgonio"), to act as the
purchaser of the RrC Property on behalf of the Agency and
(ii) approved the purchase of the RrC Property and the
Stanford Property for an aggregate price not exceeding
$3,000,000.
o
3. Dennis Barlow prepared an agreement between the CDC and
San Gorgonio which was executed on January 24, 1991 (the
"San Gorgonio Agreement"). This Agreement authorized San
Gorgonio to attempt to purchase the RrC Property and the
Stanford Property. A copy of the San Gorgonio Agreement
is attached as Exhibit "A". At approximately the same
time as this Agreement was signed, Mr. remple provided San
Gorgonio with two (2) Agency checks to be used as deposits
on offers to purchase the properties. One check was in
the amount of $100,000 for use in connection with the RrC
Property and the other check was for $10,000 for use in
connection with the Stanford Property.
4. On January 18, 1991, in reliance on the action by the CDC,
San Gorgonio submitted an offer to the RrC, Offering
$2,000,000 to purchase the property.
o
---....
o
o
"
o
Development Department
Chronology of Events
Pacific Federal Building Acquisition
Page - 2 -
5. At this time, it appears that the Stanford Property was
listed for $390,000 through Coldwell Banker. An offer was
submitted by San Gorgonio to purchase this property for
$200,000 on January 28, 1991. On February 14, 1991, MR.
Schnetz received a counter offer on the Stanford Property
for $325,000. Mr. Schnetz countered with an offer of
$300,000 which was rejected. Mr. Schnetz re-submitted his
offer of $300,000 on July 12, 1991, which was accepted on
August I, 1991.
6.
The RTC, in mid-February of 1991, had engaged Emerson
International Real Estate Services ("Emerson") to act as
its agent for management and disposition of the RTC
Property, as well a portfolio of other RTC-controlled
properties. San Gorgonio's offer was re-submitted to
Emerson, whose response was that it had not yet performed
any due diligence with respect thereto and could not do so
for several months due to the work volume associated with
the portfolio of properties assigned to it. Emerson
indicated that its very initial review indicated a value
for the RTC Property approaching $3,900,000 and that an
offer submitted near this price would move the RTC
Property to the top of Emerson's due diligence list.
Mr. Schnetz submitted on offer of $3,000,000 on Februsry
19, 1991. During the approximately six (6) subsequent
weeks, Emerson remained in communication with Mr. Schnetz,
advising him of ita attempt to complete its due diligence
(inClUding the Obtaining of appraisals) and making
reference to the difficulties of acting in behalf of the
RTC due to the many rules and regulations imposed on
Emerson as well as the slowness in response.
[0
7.
8. On April 2, 1991, Mr. Schnetz forwarded a letter from San
Gorgonio which referred to the delay in response and asked
for an answer to the February 19, 1991 offer by April 15,
1991.
9. On May 2, 1991, Emerson sent Mr. Schnetz a letter
rejecting the $3,000,000 offer and countering with a price
of $3,500,000.
o
'.
o
o
o
Development Department
Chronology of Events
Pacific Federal Building Acquisition
Page - 3 -
10. During the week of May 13 through May 17, 1991, Mr.
Schnetz had a number of telephone conversations with
Emerson wherein he advised Emerson of San Gorgonio's
unwillingness to respond to the $3,500,000 counter offer.
In these conversations, Mr. Schnetz believed Emerson
indicated it would accept $3,285,000 but Emerson
subsequently indicated it would require $3,400,000. Mr.
Schnetz responded by letter dated May 23, 1991 that his
client demanded the deposit money back. Within the next
day or two, Emerson called Mr. Schnetz and advised him
that it would recommend to the RTC that it accept an offer
of $3,200,000, subject to a reduction on Mr. Schnetz's
commission. Mr. Schnetz sgreed to this reduction.
11. The RTC requires offers to purchase to be in its approved
form. Accordingly, on June 19, 1991, Mr. Schnetz
submitted an offer in the RTC format for the purchase of
the RTC property for $3,200,000.
~
After submission of the June 19 offer, Emerson began a
long process of sttempting to posture this sale so as to
be in conformity with the RTC's rules and regulations, and
in particular to obtain supporting appraisals. Emerson
extended the effective period of the offer through August
of 1991 While it undertook to satisfy the RTC
requirements. During late June and early July, Emerson
advised Mr. Schnetz that, due to an RTC requirement that
sales of improved property not occur for less than eighty
percent (80%) of the appraised value, he would have to
re-submit the offer as three (3) separate offers, and
further advised him that it would have to obtain
reappraisals.
12.
o
13. On July 16, 1991, Mr. Schnetz re-submitted the offer as
three (3) separate offers affecting three separate
portions of the RTC Property, but still having an
aggregate purchase price of $3,200,000.
14. Beginning in mid-July, 1991, the Agency began to undertake
its due diligence review. As a part of this review
process it retained an engineer to conduct an ALTA survey,
obtained preliminary title reports and undertook a
physical inspection of the 'RTC property.
o
o
o
..
o
Development Department
Chronology of Events
Pacific Federal Building Acquisition
Page - 4 -
15. By letter dated August 7, 1991, Emerson advised that it
was still attempting to obtain iTC execution of the three
purchase agreements, and expected to obtain such execution
within one to two weeks.
16. On August 23, 1991, Mr. Schnetz advised the Agency that he
required a totsl of $170,000 in earnest money for escrow
[$160,000 (or 5~) for the iTC Property and $10,000 for the
Stanford Property]. Inasmuch as the Alency had previously
funded $110,000, an additional $60,000 was requested and
was advanced to San Gorgonio on that date.
17.
During the last week of August, 1991, Emerson advised Mr.
Schnetz that it required evidence in the form of financial
statements of San Gorgonio's ability to purchase the iTC
Property. In an attempt to assure Emerson of the ability
to complete the purchase, Mr. Schnetz forwarded copies of
San Gorgonio's earnest money checks (totalling $160,000)
and a letter from San Gorgonio's bank concerning its
satisfactory relationship with San Gorgonio. Emerson
would not accept these itema as satiafactory evidence of
the ability to cloae and again demanded financial
statements.
o
18. In response to Mr. Schnetz's effort to avoid the
requirement of producing San Gorgonio' s financial
statements, Emerson advised Mr. Schuetz that it would not
require such information if (i) the Alency's due diligence
period was shortened to September 15, 1991, (ii) escrow
was to close by October 15, 1991, and (iii) the balance of
the purchase price waa deposited in escrow by September
16, 1991. The prior acreement had afforded the Acency
thirty (30) days from the "Effective Date" of the escrow
for its due diligence and required eacrow to close within
sixty (60) days of the "Effective Date". The RTC
apparently executed the purchase agreement on August 28,
1991. The "Effective Date" was September 3, 1991, and
escrow would have to close by November 3, 1991 under the
original agreement.
19. Inasmuch as most of the due diligence had previously been
performed, Mr. Schnetz, after consultation with the
Agency, agreed to the shorter time periods. Subsequently,
o
'.
o
o
o
Development Department
Chronology of Events
Pacific Federal Building Acquisition
Page - 5 -
it was decided that final approval of the transaction by
the CDC would be sought in a closed session on September
16, 1991, with escrow to close by September 17, inasmuch
as the balance of the purchase funds had to be in escrow
by that date in any event. However, due to the
requirements of Health and Safety Code Section 33679
requiring publication of notice and a public hearing in
connection with a property acquisition where the property
is for use by a public entity, it was determined that
there was insufficient time to publish the notice for
public hearing on September 16, 1991.
20. The earnest money ($160,000) was deposited in escrow on
September 4, 1991.
21.
o
Under the terms of the purchase contracts, the earnest
money deposited in escrow (totalling $160,000 with respect
to the iTC Property) became non-refundable at the
conclusion of the "inspection" or due diligence period.
Under the revised time schedule negotiated in early
September, this period ended on September 15, 1991. On
September 10, 1991, before the inspection period expired,
San Gorgonio and Mr. Schnetz advised the iTC that the
purchaser approved the various items, SUbject, however, to
removal of certain title report exceptions and to deposit
in escrow of executed deeds and evidence of the iTC's
legal authority to sell the iTC Property. It was Mr.
Schnetz's belief, which was correct, that the iTC could
not satis~ these conditions prior to the hearing of
September 16, 1991, thus preventing the earnest money from
becoming non-refundable before CDC approval, and avoiding
the requirement of deposit of the balance of the purchase
funds by September 16, 1991.
22. The Agency sought approval of the CDC in closed session on
September 16, 1991, in order to make a loan to San
Gorgonio of the funds necessary to close its escrow with
the iTC and preserve the discount of the Erie Rote, with
the acquisition of the iTC property by the Agency from San
Gorgonio to be placed on the CDC's agenda for October 7,
1991 (the firat scheduled meeting date after the required
publication period). At the closed session on September
16, 1991, the CDC approved the loan transaction with San
o
o
o
,
o
Development Department
Chronology of Events
Pacific Federal Building Acquisition
Page - 6 -
Gorgonio. Later, in open session, the matter was again
discussed and a resolution approving the loan adopted.
However, it was determined that the Agency should await
the hearing of October 7 and the loan was not made.
23. On October 1, 1991, the iTC complied with the requirements
of the San Gorgonio/Schnetz letter of September 10, 1991,
thus removing any further contingencies. On that date it
would appear that the earnest money became non-refundsble.
24. The Agency's role in the purchase was made known to
Emerson shortly thereafter and Mr. Schnetz was able to
obtain an extension of the discount on the Erie Note
through October 7, 1991.
25.
The matter was not heard on October 7, 1991 due to a
failure to obtain publication of the public notice and the
matter was rescheduled for the CDC meeting on October 21,
1991. The iTC extended the escrow closing date from
October 15, 1991 to October 25, 1991, and extended the
discount of the Erie Note to October 25, 1991.
o
l559A
o
1
0 2
3
4
5
6
7
8
9
10
11
12
13
Item:
Exhibit "A"
Action to
be Taken:
o
o
COMMUNITY DEVELOPMENT COMMISSION OF THE
CITY OF SAN BERNARDINO, CALIFORNIA
AGENDA
October 7, 1991
RESOLUTION OF THE COMMUNITY DEVELOPMENT
COMMISSION OF THE CITY OF SAN BERNARDINO,
CALIFORNIA, APPROVING THE ACQUISITION OF CERTAIN
PROPERTY FOR POLICE DEPARTMENT USES AND MAKING
FINDINGS AND DETERMINATIONS AS TO THE BENEFIT TO
VARIOUS REDEVELOPMENT PROJECT AREAS OF SUCH
ACQUISITION
Property Acquisition Agreement
Adopt Resolution.
14 certified copy of Resolution to be returned to Sabo & Green.
o
o
15
SBEQ1OOO1I51It...
16 09mI913:55
17
18
19
20
21
22
23
24
25
26
27
28
--~.
,
o
1
2
3
4
5
6
7
8 "city"),
9
10
11
o
o
RESOLUTION NO.
RESOLUTION OF THE COMMUNITY DEVELOPMENT
COMMISSION OF THE CITY OF SAN BERNARDINO,
CALIFORNIA, APPROVING THE ACQUISITION OF
CERTAIN PROPERTY FOR POLICE DEPARTMENT USES
AND MAI<ING FINDINGS AND DETERMINATIONS AS TO
THE BENEFIT TO VARIOUS REDEVELOPMENT PROJECT
AREAS OF SUCH ACQUISITION
WHEREAS, the city of San Bernardino, California (the
is a municipal corporation and a charter city duly
created and existing pursuant to the Constitution and the laws of
the State of California; and
12
13 City of
14
WHEREAS, the Community Development Commission of the
San Bernardino
(the "Commission")
on behalf of the
Redevelopment Agency
of
City of
San Bernardino
the
(the
o 15 "Agency"), is a redevelopment agency, a public body, corporate
16 and politic of the State of California, organized and existing
17 pursuant to the Community Redevelopment Law (Part 1 of Division
18 24) commencing with Section 33000 of the Health and Safety Code
19 of the State of California (the "Act"); and
20
21 WHEREAS, the city has determined a need to seek the
22 relocation of the city of San Bernardino Police Department (the
23 "Police Department") which need has arisen due to the inadequacy
24 of the existing Police Department headquarters facilities and the
25 inability of such facilities to accommodate present needs and
26 projected growth of the Police Department; and
27 lit
o 28 III
- 1 -
..
o
o
o
o
o
1 WHEREAS, the existinq parkinq facilities associated
2 with the existinq Police Department headquarters facilities are
3 also inadequate to accommodate existinq needs and any future
4 qrowth; and
5
6 WHEREAS, the city and the Aqency have determined that
7 certain property which is qenerally located at 701 North "E"
8 Street, 767 North "E" Street and certain vacant parcels bounded
9 on the west by "E" Street, on the south by Seventh Street and on
10 the east by "0" Street (the "Property") would be suitable for
11 conversion into a new Police Department headquarters facility;
12 and
13
14
15
16
17
18
19
20
21
22 WHEREAS, pursuant to section 33445 of the Act, the
23 Aqency may, with the consent of the Mayor and Common Council of
24 the City (the "Council"), pay all or a part of the value of land
25 for and the cost of installation and construction of any
26 buildinq, facility, structure or other improvement which is
27 publicly owned either within or without the boundaries of a
28 redevelopment project area if the Commission determines: (1)
WHEREAS, the Property is located within the project
area subject to the Redevelopment Plan for the Central City North
Redevelopment Project; and
WHEREAS, the Redevelopment Plan for the Central City
North Redevelopment Project provides for the acquisition of land
within the project area subject to said Redevelopment Plan; and
- 2 -
o
o
o
o
o
1 that such buildings, facilities, structures or other improvements
2 are of benefit to the redevelopment project area or the immediate
3 neighborhood in which the project is located, regardless of
4 whether such improvement is within another project area, or in
5 the case of a project area in which substantially all the land is
6 publicly owned that the improvement is of benefit to an adjacent
7 project area of the Agency, and (2) that no other reasonable
8 means of financing such buildings, facilities, structures or
9 other improvements is available to the community, and such
10 determination by the Agency and the Council shall be final and
11 conclusive; and
12
13 WHEREAS, the City and the Commission have previously
14 approved and adopted various redevelopment plans throughout the
15 City which include the Redevelopment Plan for the State College
16 Redevelopment Project (the "State College Redevelopment Plan"),
17 the Redevelopment Plan for the Uptown Redevelopment Project (the
18 "Uptown Redevelopment Plan"), the Redevelopment Plan for the
19 Southeast Industrial Park Redevelopment Project (the "SEIP
20 Redevelopment Plann), the Redevelopment Plan for the Northwest
21 Redevelopment Project (the "Northwest Redevelopment Plan"), the
22 Redevelopment Plan for the South Valle Redevelopment Project (the
23 "South Valle Redevelopment Plan") and the Redevelopment Plan for
24 the Tri-City Redevelopment Project (the "Tri-City Redevelopment
25 Plan"); and
26
27
28
WHEREAS, it is in the interests of
landowners within the project areas subject
the present
to the above
- 3 -
o
o
o
o
o
1 described Redevelopment Plans (which project areas shall
2 collectively be hereinafter referred to as the "Project Areas")
3 and the residents, both within the Project Areas and within the
4 city generally, that the Agency causes the acquisition of the
5 Property, which Property is to provide office space and related
6 parking facilities for the city Police Department; and
7
8 WHEREAS, the Agency proposes to acquire the Property
9 from the present owners thereof pursuant to the terms of that
10 certain Property Acquisition Agreement, a copy of which is
11 attached hereto as Exhibit "A" and incorporated herein by this
12 reference; and
13
14 WHEREAS, upon the Agency's acquisition of the Property
15 it is anticipated that the City, on behalf of the Police
16 Department, shall be responsible for all costs of renovation and
17 alteration which may be necessary to convert the Property to
18 Police Department uses and that the Agency shall, upon
19 acquisition, thereafter lease the Property and all improvements
20 thereon to the city for a nominal annual rental; and
21
22 WHEREAS, the City's Police Department is presently in
23 need of new office space and related facilities in order to
24 provide adequate levels of service to the residents of the
25 Project Areas and the city who rely on the services provided by
26 the City Police Department and accordingly, the acquisition of
27 the Property is necessary in order to ensure the health, safety
28 III
- 4 -
o
o
o
o
o
1 and welfare of residents and occupants of the Project Areas and
2 the City generally; and
3
4 WHEREAS, the city Police Department will be able to
5 remain headquartered in the Central Business District and
6 therefore will be able to provide police safety services to the
7 residents of all of the Project Areas as well as other areas of
8 the city and to oversee the police activities within all areas of
9 the City; and
10
11 WHEREAS, acquisition of the Property will provide much
12 needed space for the establishment of new facilities for the City
13 Police Department in order that the City Police Department will
14 be better able to serve the residents of the Project Areas and
15 the City generally and provide a higher level of police
16 protection services which in turn will make the Project Areas
17 more desirable for commercial, industrial and residential
18 development thereby benefiting said Project Areas; and
19
20 WHEREAS, in order to promote the City's health, safety
21 and welfare, it is important that the acquisition of the Property
22 be financed in order to ensure the provision of a high level of
23 police service to the Project Areas as well as the entire City
24 and to thereby assist in the orderly development of the Project
25 Areas and neighboring areas; and
26 III
27 /II
28 /II
- 5 -
o
o
o
1 WHEREAS, it is appropriate at this time for the
2 Commission to make certain findings and determinations and take
3 certain action with respect to the acquisition of the Property.
4
5 NOW, THEREFORE, THE COMMUNITY DEVELOPMENT COMMISSION
6 ACTING ON BEHALF OF THE REDEVELOPMENT AGENCY OF THE CITY OF
7 SAN BERNARDINO DO HEREBY RESOLVE, DETERMINE AND ORDER AS FOLLOWS:
8
9 Section 1. The Recitals hereinabove are true and
10 correct and are incorporated herein by this reference.
11
12 Section 2. The Commission hereby approves the
13 acquisition of the Property pursuant to the terms of that certain
14 Property Acquisition Agreement, attached hereto as Exhibit "A",
o 15 for the purposes of providing a new headquarters facility for the
16 City Police Department and hereby authorizes the Agency Chairman
17 and Secretary on behalf of the Agency to execute the Property
18 Acquisition Agreement and all other necessary documents in
19 connection therewith and take such actions as may be deemed
20 necessary in order to facilitate the acquisition of the Property
21 and subsequent lease to the city including, but not limited to,
22 the execution of any leases by and between the City and the
23 Agency.
24
25 Section 3. The Commission consents to the payment
26 by the Agency of the costs of the acquisition of the Property
27 which the Commission finds and determines is of benefit to the
o 28 Project Areas and other neighborhoods within the city for the
- 6 -
-..........
o
o
o
o
o
1 reasons set forth in the Recitals hereinabove. The Commission
2 further finds and determines that no other reasonable means of
3 financing the acquisition of the Property is presently available
4 to the City and that the City and the Agency require the use of
5 revenues generated from the Project Areas in order to fund the
6 acquisition of the Property.
7
8 Section 4. The acquisition of the Property will
9 enable the city Police Department to provide a better level of
10 service to the residents of the Project Areas and other areas of
11 the city which will make the Project Areas and other areas of the
12 city more desirable for commercial, industrial and residential
13 development which will in turn help eliminate blight within such
14 Project Areas and other areas of the city.
15
16 section 5. The Agency Secretary is hereby
17 authorized and directed to cause this Resolution to be
18 transmitted to the city for appropriate action by that body.
19 I II
20 III
21, III
22 III
23 III
24 III
25 III
26 III
27 III
28 III
- 7 -
o
o
o
o
o
1
2
3
4
5
6
7
8
9
10
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 THE CITY OF
SAN BERNARDINO, CALIFORNIA, APPROVING THE ACQUISITION OF CERTAIN
PROPERTY FOR POLICE DEPARTMENT USES AND MAKING FINDINGS AND
DETERMINATIONS AS TO THE BENEFIT TO VARIOUS REDEVELOPMENT PROJECT
AREAS OF SUCH ACQUISITION
Section 6.
This Resolution shall take effect upon
the date of its adoption.
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
1991, by the following vote, to wit:
Commission Members:
AXM.
~
ABSTAIN
ABSENT
ESTRADA
REILLY
HERNANDEZ
MAUDSLEY
MINOR
POPE-LUDLAM
MILLER
Secretary
The foregoing resolution is hereby approved this
, 1991.
day of
w. R. Holcomb, Chairman
Community Development
commission of the
city of San Bernardino
Approved as to
form and legal content:
BY:~6,_)
gency Co sel
SBEOOllOIIDOCI511
- 8 -
o
o
o
o
o
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO )
2 CITY OF SAN BERNARDINO )
3
4
5
6
7
8
9
10
II
I
ss
I, Secretary of the Community
Development Commission of the City of San Bernardino, DO HEREBY
CERTIFY that the foregoing and attached copy of Community
Development Commission of the City of San Bernardino Resolution
No. is a full, true and correct copy of that now on
file in this office.
IN WITNESS WHEREOF, I have hereunto set my hand and
affixed the official seal of the Community Development Commission
of the City of San Bernardino this day of
, 1991.
Secretary of the
Community Development Commission
of the city of San Bernardino
12
13
14
15
16
17
18
19
20
21
~
23
24
25
26
27
28
- 9 -
o
o
o
, .
o
o
PROPERTY ACQUXSXTXON AGREEMENT
This Property Acquisition Agreement (the "Agreement") is
entered into on this day of , 1991, by and between
the REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, a body
corporate and politic (the "Agency"), and SAN GORGONIO LAND
COMPANY, a California corporation ("San Gorgonio").
. X T N B S S B T H:
WHEREAS, San Gorgonio has entered into three separate
Purchase and Sale Agreements with the Resolution Trust Corporation
("RTC") for the purchase by San Gorgonio from RTC of the RTC
Property (as hereinafter defined); and
WHEREAS, San Gorgonio has entered into a purchase of the
Stanford Property (as hereinafter defined) from Stanford University
and Rhode Island Hospital; and
WHEREAS, in entering into' such agreements to purchase,
San Gorgonio was acting as the agent for the Agency; and
WHEREAS, it is the intention of the parties to this
Agreement to provide for the immediate transfer of ownership of the
RTC Property and the Stanford Property (jointly referred to herein
as the "Properties") to the Agency simultaneously with the close of
escrow for the purchase of the Properties by San Gorgonio.
NOW, THEREFORE, FOR AND IN CONSIDERATION OF THE FOREGOING
PREMISES AND THE MUTUAL COVENANTS CONTAINED HEREIN, FOR OTHER GOOD
AND VALUABLE CONSIDERATION, THE RECEIPT AND SUFFICIENCY OF WHICH
ARE HEREBY ACKNOWLEDGED, THE PARTIES HERETO HEREBY AGREE AS
FOLLOWS:
Section 1.00. Description of the Prooertv.
Section 1. 01. San Gorgonio has entered into three
Purchase and Sale Agreements with RTC for the purchase of certain
property commonly known as 701 North "E" Street, 767 North "E"
Street and the accompanying vacant areas currently used for parking
and other purposes, all of which is bounded on the north by 8th
street, on the east by "D" Street, on the south by 7th Street and
on the west by "E" Street, City of San Bernardino, exclusive of
that certain parcel located within such boundaries which is owned
by Stanford University and Rhode Island Hospital.
Section 1.02. The "Stanford Property" is that certain
parcel abutting and amidst the RTC Property owned by Stanford
University and Rhode Island Hospital.
-1-
o
o
o
. .
o
o
section 2.00. First American Title Escrows.
section 2.01. San Gorgonio is currently in escrow with
RTC at First American Title Insurance Company for the purchase of
the RTC Property (the "RTC Escrow").
Section 2.02. San Gorgonio is likewise currently in
escrow with Stanford University and Rhode Island Hospital at First
American Title Company for the purchase of the Stanford Property
(the "Stanford Escrow").
Section 3.00. Acauisition bv Aqencv.
The Agency hereby agrees to acquire from San Gorgonio
title to the RTC Property and the Stanford Property, on the same
terms and conditions as set forth in the Purchase Agreements
between San Gorgonio and the sellers of each of said Properties,
for a total purchase price for all of the Properties of Three
Million Five Hundred Thousand Dollars ($3,500,000), together with
reimbursement to San Gorgonio for closing costs incurred by it in
the purchases from RTC, and Stanford University and Rhode Island
Hospital, as well as all closing costs in the escrow conveying
title to the Properties from San Gorgonio to the Agency, all of
which closing costs shall not exceed an aggregate total of
$20,000.00.
Section 3.01. San Gorgonio agrees to sell the Properties
to the Agency on the same terms and conditions as the Properties
are acquired by San Gorgonio from RTC and Stanford University and
Rhode Island Hospital, respectively.
section 4.00. Title Insurance.
San Gorgonio agrees to cause First American Title
Insurance Company to issue a title insurance policy in the name of
the Agency, insuring ownership of the Properties in fee title, free
of all liens and encumbrances, except those which are approved by
the Executive Director of the Agency.
Section 5.00. Timinq of Pronertv Acauisitions.
It is contemplated by San Gorgonio that the escrow for
the acquisition of the RTC Property will close simultaneously with
the escrow for the acquisition of the Stanford Property, although
the escrows are not required to close simultaneously. The Agency
hereby agrees that it will acquire each of the Properties upon the
close of escrow for the acquisition of said property by San
Gorgonio, and that the acquisition of the RTC Property need not
necessarily be simultaneous with the acquisition of the Stanford
Property. It is agreed by both parties hereto that each property
will be acquired by the Agency simultaneously with its acquisition
by San Gorgonio.
-2-
-~...
o
o
o
-
JI1
-
-
. .
o
o
section 6.00. No ComDensation to San Gorqonio.
It is agreed that San Gorgonio is selling the Properties
to the Agency at the same pr ice and on the same terms as said
Properties are conveyed to San Gorgonio. San Gorgonio will not
receive any profit on the purchase of the Properties by the Agency,
nor will San Gorgonio receive any commission or other compensation
whatsoever from the Agency as a result of this transaction.
section 7.00. No Variation in Terms of Acquisitions.
San Gorgonio agrees that it will not enter into any
amendment, modification, alteration or variation in the terms of
acquisition of the Properties as set forth in the Purchase and Sale
Agreements between San Gorgonio and the RTC dated July 16, 1991, or
in the Escrow Instructions for the acquisition of the Stanford
Property, copies of which have been provided to and approved by the
Agency, except upon written consent of the Agency. Notwithstanding
any language contained herein to the contrary, no alteration,
amendment, modification, alteration or variation to said agreements
shall be permitted which (i) alters the purchase price of any of
the Properties, or (ii) imposes any additional lien or restriction
of title.
Section 8.00. Miscellaneous.
Section 8.01. In the event of litigation regarding this
Agreement, the prevailing party shall be entitled to recovery of
reasonable attorneys' fees and costs of litigation.
section 8.02. In the event that any provision of this
Agreement is held unenforceable, the remaining provisions of the
Agreement shall remain valid and shall be enforced on their terms
so as to effectuate the intent of the parties to this Agreement.
Section 8.03. The Agency acknowledges that San Gorgonio
is a licensed real estate broker in the State of California and is
acting as a principal in this transaction.
-3-
o
o
o
.1
...
..
..
-
.
..
, .
o
o
Section 8.04. The parties acknowledge that this
Agreement shall be of no force or effect unless it is previously
approved, or subsequently ratified, by the Community Development
commission, acting as the legislative body of the Agency.
SAN GORGONIO LAND COMPANY,
a California corporation
By:
Title:
REDEVELOPMENT AGENCY OF THE
CITY OF SAN BERNARDINO
By:
Title:
ATTEST:
Secretary
SBEO\OOOII1lOC1522
09127191450
-4-
o
.-,..
. .
1
2
3
4
5
6
Item:
7
8
9
10 Action to
be Taken:
11
12 certified
13
14 58OOIOOOI/521/ew
r>>mI913,30
15
16
17
18
19
20
21
22
23
24
25
26
27
28
o
o
o
o
MAYOR AND COMMON COUNCIL OF THE
CITY OF SAN BERNARDINO, CALIFORNIA
AGENDA
October 7, 1991
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE
CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING THE
ACQUISITION OF CERTAIN PROPERTY FOR POLICE
DEPARTMENT USES AND MAKING FINDINGS AND
DETERMINATIONS AS TO THE BENEFIT TO VARIOUS
REDEVELOPMENT PROJECT AREAS OF SUCH ACQUISITION
Adopt Resolution.
copy of Resolution to be returned to Sabo & Green.
o
o
. .
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
o
o
RESOLUTION NO.
RESOLUTION OF THE MAYOR AND COMMON COUNCIL
THE CITY OF SAN BERNARDINO, CALIFORNIA,
APPROVING THE ACQUISITION OF CERTAIN
PROPERTY FOR POLICE DEPARTMENT USES AND
MAKING FINDINGS AND DETERMINATIONS AS TO THE
BENEFIT TO VARIOUS REDEVELOPMENT PROJECT
AREAS OF SUCH ACQUISITION
WHEREAS, the city of San Bernardino, California (the
"city"), is a municipal corporation and a charter city duly
created and existing pursuant to the Constitution and the laws of
the State of California; and
WHEREAS, the Community Development Commission of the
City of San Bernardino (the "Commission") on behalf of the
Redevelopment Agency
of the City of San Bernardino (the
"Agency"), is a redevelopment agency, a public body, corporate
and politic of the State of California, organized and existing
pursuant to the Community Redevelopment Law (Part 1 of Division
24) commencing with Section 33000 of the Health and Safety Code
of the State of California (the "Act"); and
WHEREAS, the city has determined a need to seek the
relocation of the city of San Bernardino Police Department (the
"Police Department") which need has arisen due to the inadequacy
of the existing Police Department headquarters facilities and the
inability of such facilities to accommodate present needs and
projected growth of the Police Department; and
27 III
o 28 III
- 1 -
o
6
7
8
9
10
11
12
13
14
0 15
16
17
18
19
20
21
22
23
24
25
26
27
o
o
1 WHEREAS, the existing parking facilities associated
2 with the existing Police Department headquarters facilities are
3 also inadequate to accommodate existing needs and any future
4 growth; and
5
WHEREAS, the City and the Agency have determined that
certain property which is generally located at 701 North "E"
Street, 767 North "E" Street and certain vacant parcels bounded
on the west by "E" street, on the south by Seventh Street and on
the east by "0" Street (the "Property") would be suitable for
conversion into a new Police Department headquarters facility;
and
WHEREAS, the Property is located within the project
area subject to the Redevelopment Plan for the Central city North
Redevelopment Project; and
WHEREAS, the Redevelopment Plan for the Central city
North Redevelopment Project provides for the acquisition of land
within the project area subject to said Redevelopment Plan; and
WHEREAS, pursuant to Section 33445 of the Act, the
Agency may, with the consent of the Mayor and Common Council of
the City (the "Council"), pay all or a part of the value of land
for and the cost of installation and construction of any
building, facility, structure or other improvement which is
publicly owned either within or without the boundaries of a
c:J 28 redevelopment project area if the Council determines: (1) that
- 2 -
",
o
o
1 such buildings, facilities, structures or other improvements are
2 of benefit to the redevelopment project area or the immediate
3 neighborhood in which the project is located, regardless of
4 whether such improvement is within another project area, or in
5 the case of a project area in which substantially all the land is
6 publicly owned that the improvement is of benefit to an adjacent
7 project area of the Agency, and (2) that no other reasonable
8 means of financing such buildings, facilities, structures or
9 other improvements is available to the community, and such
10 determination by the Agency and the Council shall be final and
11 conclusive; and
12
13 WHEREAS, the City and the Commission have previously
14 approved and adopted various redevelopment plans throughout the
e:; 15 city which include the Redevelopment Plan for the State College
16 Redevelopment Project (the "State College Redevelopment Plan"),
17 the Redevelopment Plan for the Uptown Redevelopment Project (the
18 "uptown Redevelopment Plan"), the Redevelopment Plan for the
19 Southeast Industrial Park Redevelopment Project (the "SEIP
20 Redevelopment Plan"), the Redevelopment Plan for the Northwest
o
21 Redevelopment Project (the "Northwest Redevelopment Plan"), the
22 I Rcdcvclopment Plan for the South Valle RGJcv61opm~nt. Project (the
23 "south Valle Redevelopment Plan") and the Redevelopment Plan for
24 the Tri-City Redevelopment Project (the "Tri-city Redevelopment
25 Plan"); and
26
27 WHEREAS, it is in the interests of the present
c:; 28 landowners within the project areas subject to the above
- 3 -
--?,,'"
'.
"
o
6
7
8
9
10
11
12
13
14
0 15
16
17
18
19
20
o
o
1 described Redevelopment Plans (which project areas shall
2 collectively be hereinafter referred to as the "Project Areas")
3 and the residents, both within the Project Areas and within the
4 city generally, that the Agency causes the acquisition of the
5 Property, which Property is to provide office space and related
parking facilities for the city Police Department; and
WHEREAS, upon the Agency's acquisition of the Property
it is anticipated that the city, on behalf of the Police
Department, shall be responsible for all costs of renovation and
alteration which may be necessary to convert the Property to
Police Department uses and that the Agency shall, upon
acquisition, thereafter lease the Property and all improvements
thereon to the city for a nominal annual rental; and
WHEREAS, the city's Police Department is presently in
need of new office space and related facilities in order to
provide adequate levels of service to the residents of the
Project Areas and the city who rely on the services provided by
the city Police Department and accordingly, the acquisition of
21 the
221!and
Property is necessary in order to ensure the health, safety
welfare of residents and occupants of the Project Areas and
23 the City generally; and
24
25
WHEREAS, through the acquisition of the Property, the
26 city Police Department will be able to remain headquartered in
27 th. Central Business District and therefore will be able to
c:J 28 provide police safety services to the residents of all of the
- 4 -
'.
o
o
o
o
o
1 Project Areas as well as other areas of the city and to oversee
2 the police activities within all areas of the City; and
3
4 WHEREAS, acquisition of the Property will provide much
5 needed space for the establishment of new facilities for the City
6 Police Department in order that the city Police Department will
7 be better able to serve the residents of the Project Areas and
8 the City generally and provide a higher level of police
9 protection services which in turn will make the Project Areas
10 more desirable for commercial, industrial and residential
11 development thereby benefiting said Project Areas; and
12
13 WHEREAS, in order to promote the City's health, safety
14 and welfare, it is important that the acquisition of the Property
15 be financed in order to ensure the provision of a high level of
16 police service to the Project Areas as well as the entire city
17 and to thereby assist in the orderly development of the Project
18 Areas and neighboring areas; and
19
20
21
22
23
24
25
26
27 SECTION 1. The Recitals hereinabove are true and
28 correct and are incorporated herein by this reference.
WHEREAS, it is appropriate at this time for the Council
to make certain findings and determinations and take certain
action with respect t~ the acquisition of the Property.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COMMON
COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS:
- 5 -
'.
o
o
o
"
o
o
1 SECTION 2. The Council hereby approves the
2 acquisition of the Property by the Agency for the purposes of
3 providing a new headquarters facility for the City Police
4 Department and hereby authorizes the Mayor and City Clerk on
5 behalf of the Agency to execute all necessary documents in
6 connection therewith and take such actions as may be deemed
7 necessary in order to facilitate the acquisition of the Property
8 and subsequent lease to the City including, but not limited to,
9 the execution of any leases by and between the city and the
10 Agency.
11
12 SECTION 3. The Council consents to the payment by
13 the Agency of the costs of the acquisition of the Property which
14 is of benefit to the Project Areas and other neighborhoods within
15 the city for the reasons set forth in the Recitals hereinabove.
16 The Council further finds and determines that no other reasonable
17 means of financing the acquisition of the Property is presently
18 available to the City and that the city and the Agency require
19 the use of revenues generated from the Project Areas in order to
20 fund the acquisition of the Property.
21
22 SECTION 4. The acquisition of the Prope,ty will
23 enable the City Police Department to provide a better level of
24 service to the residents of the Project Areas and other areas of
25 the City which will make the Project Areas and other areas of the
26 City more desirable for commercial, industrial and residential
27 development which will in turn help eliminate blight within such
28 Project Areas and other areas of the city.
- 6 -
" 0 0
,
1 SECTION 5. The city Clerk is hereby authorized and
0 2 directed to cause this Resolution to be transmitted to the Agency
3 for appropriate action by that body.
4 III
5 III
6 III
7 III
8 III
9 III
10 III
11 III
12 11/
13 III
14 III
0 15 III
16 III
17 III
18 III
19 III
20 III
21 III
22 III
23 III
24 III
25 III
26 III
27 1/1
0 28 III
- 7 -
14 ESTRADA
0 REILLY
15 HERNANDEZ
MAUDSLEY
16 MINOR
POPE-LUDLAM
17 MILLER
18
19 city Clerk
'.
1
0 2
3
4
5
6
7
8
9
10
11
12
13
20
21
22
23
24
25
26
27
0 28
o
o
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN
BERNARDINO, CALIFORNIA, . APPROVING' THE ACQUISITION OF CERTAIN
PROPERTY FOR POLICE DEPARTMENT USES AND MAKING FINDINGS AND
DETERMINATIONS AS TO THE BENEFIT TO VARIOUS REDEVELOPMENT PROJECT
AREAS OF SUCH ACQUISITION
SECTION 6.
This Resolution shall take effect upon
the date of its adoption.
I HEREBY CERTIFY that the foregoing Resolution was duly
adopted by the Mayor and Common Council of the city of
San Bernardino at a
meeting
thereof, held on the
day of
,
1991, by the following vote, to wit:
Council Members:
AU.S.
~
ABSTAIN ABSENT
day of
The foregoing resolution is hereby approved this
, 1991.
Mayor of the City of
San Bernardino
Approved as to form and legal content:
JAMES F. PENMAN
city Attorney
By: /1UH_ ~ f;J/ /2_~
/~~
SBEOOOOl1DOCI521
- 8 -
. ,
o
'.
o
o
1
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO )
CITY OF SAN BERNARDINO )
ss
2
3
I, City Clerk of the city of
San Bernardino, DO HEREBY CERTIFY that the foregoing and attached
4 copy of Mayor and Common Council of the City of San Bernardino
Resolution No. is a full, true and correct copy of that
5 now on file in this office.
6 IN WITNESS WHEREOF, I have hereunto set my hand
affixed the official seal of the Mayor and Common Council of
7 City of San Bernardino this day of
1991.
8
9
10
11
and
the
City Clerk
City of San Bernardino
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
o 28
o
-........
'. 0 0
. EXHIBIT "A"
1
PROPERTY ACQUISITION AGREEMENT
0 2
3
4
5
6
7
8
9
10
11
12
13
14
0 15
16
17
18
19
20
21
22
23
24
25
26
27
0 28
.'
. ,
o
o
o
-.
o
o
"
PROPERTY ACQUISITION AGREEMENT
This Property Acquisition Agreement (the "Agreement") is
entered into on this day of , 1991, by and between
the REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, a body
corporate and politic (the "Agency"), and SAN GORGONIO LAND
COMPANY, a California corporation ("San Gorgonio").
WIT N E S S B T X:
WHEREAS, San Gorgonio has entered into three separate
Purchase and Sale Agreements with the Resolution Trust Corporation
("RTC") for the purchase by San Gorgonio from RTC of the RTC
Property (as hereinafter defined); and
WHEREAS, San Gorgonio has entered into a purchase of the
Stanford Property (as hereinafter defined) from Stanford University
and Rhode Island Hospital; and
WHEREAS, in entering into. such agreements to purchase,
San Gorgonio was acting as the agent for the Agency; and
WHEREAS, it is the intention of the parties to this
Agreement to provide for the immediate transfer of ownership of the
RTC Property and the Stanford Property (jointly referred to herein
as the "Properties") to the Agency simultaneously with the close of
escrow for the purchase of the Properties by San Gorgonio.
NOW, THEREFORE, FOR AND IN CONSIDERATION OF THE FOREGOING
PREMISES AND THE MUTUAL COVENANTS CONTAINED HEREIN, FOR OTHER GOOD
AND VALUABLE CONSIDERATION, THE RECEIPT AND SUFFICIENCY OF WHICH
ARE HEREBY ACKNOWLEDGED, THE PARTIES HERETO HEREBY AGREE AS
FOLLOWS:
Section 1.00. DescriDtion of the PrODertv.
Section 1. 01. San Gorgonio has entered into three
Purchase and Sale Agreements with RTC for the purchase of certain
property commonly known as 701 North "E" Street, 767 North "E"
Street and the accompanying vacant areas currently used for parking
and other purposes, all of which is bounded on the north by 8th
Street, on the east by "0" Street, on the south by 7th Street and
on the west by "E" Street, city of San Bernardino, exclusive of
that certain parcel located within such boundaries which is owned
by Stanford University and Rhode Island Hospital.
Section 1.02. The "Stanford Property" is that certain
parcel abutting and amidst the RTC Property owned by Stanford
University and Rhode Island Hospital.
-1-
. .
o
o
o
"
o
o
"
, .
Section 2.00. First American Title Escrows.
Section 2.01. San Gorgonio is currently in escrow with
RTC at First American Title Insurance Company for the purchase of
the RTC Property (the "RTC Escrow").
Section 2.02. San Gorgonio is likewise currently in
escrow with Stanford University and Rhode Island Hospital at First
American Title Company for the purchase of the Stanford Property
(the "Stanford Escrow").
Section 3.00. Acauisition bv Aaencv.
The Agency hereby agrees to acquire from San Gorgonio
title to the RTC Property and the Stanford Property, on the same
terms and conditions as set forth in the Purchase Agreements
between San Gorgonio and the sellers of each of said Properties,
for a total purchase price for all of the Properties of Three
Million Five Hundred Thousand Dollars ($3,500,000), together with
reimbursement to San Gorgonio for closing costs incurred by it in
the purchases from RTC, and Stanford University and Rhode Island
Hospital, as well as all closing costs in the escrow conveying
title to the properties from San Gorgonio to the Agency, all of
which closing costs shall not exceed an aggregate total of
$20,000.00.
section 3.01. San Gorgonio agrees to sell the Properties
to the Agency on the same terms and conditions as the Properties
are acquired by San Gorgonio from RTC and Stanford University and
Rhode Island Hospital, respectively.
section 4.00. Title Insurance.
San Gorgonio agrees to cause First American Title
Insurance Company to issue a title insurance policy in the name of
the Agency, insuring ownership of the Properties in fee title, free
of all liens and encumbrances, except those which are approved by
the Executive Director of the Agency.
section 5.00. Timina of PrODertv Acauisitions.
It is contemplated by San Gorgonio that the escrow for
the acquisition of the RTC Property will close simultaneously with
the escrow for the acquisition of the Stanford Property, although
the escrows are not required to close simultaneously. The Agency
hereby agrees that it will acquire each of the Properties upon the
close of escrow for the acquisition of said property by San
Gorgonio, and that the acquisition of the RTC Property need not
necessarily be simultaneous with the acquisition of the Stanford
Property. It is agreed by both parties hereto that each property
will be acquired by the Agency simultaneously with its acquisition
by San Gorgonio.
-2-
. <
o
o
o
"
P,
'.
o
o
section 6.00. No ComDensation to San Goraonio.
It is agreed that San Gorgonio is selling the Properties
to the Agency at the same price and on the same terms as said
Properties are conveyed to San Gorgonio. San Gorgonio will not
receive any profit on the purchase of the Properties by the Agency,
nor will San Gorgonio receive any commission or other compensation
whatsoever from the Agency as a result of this transaction.
section 7.00. No variation in Terms of Acauisitions.
San Gorgonio agrees that it will not enter into any
amendment, modification, alteration or variation in the terms of
acquisition of the Properties as set forth in the Purchase and Sale
Agreements between San Gorgonio and the RTC dated July 16, 1991, or
in the Escrow Instructions for the acquisition of the Stanford
Property, copies of which have been provided to and approved by the
Agency, except upon written consent of the Agency, Notwithstanding
any language contained herein to the contrary, no alteration,
amendment, modification, alteration or variation to said agreements
shall be permitted which (i) alters the purchase price of any of
the Properties, or (ii) imposes any additional lien or restriction
of title.
section 8.00. Miscellaneous.
Section 8.01. In the event of litigation regarding this
Agreement, the prevailing party shall be entitled to recovery of
reasonable attorneys' fees and costs of litigation.
section 8.02. In the event that any provision of this
Agreement is held unenforceable, the remaining provisions of the
Agreement shall remain valid and shall be enforced on their terms
so as to effectuate the intent of the parties to this Agreement.
Section 8.03. The Agency acknowledges that San Gorgonio
is a licensed real estate broker in the State of California and is
acting as a principal in this transaction.
-3-
".
,.~ , ' .
..
"'.
o
o
o
o
o
Section 8.04. The parties acknowledge that this
Agreement shall be of no force' or effect unless it is previously
approved, or subsequently ratified, by the Community Development
Commission, acting as the legislative body of the Agency.
SAN GORGONIO LAND COMPANY,
a California corporation
By:
Title:
REDEVELOPMENT AGENCY OF THE
CITY OF SAN BERNARDINO
By:
Title:
ATTEST:
Secretary
SBEOlOOOIIDOClS22
09ml9l4j()
-4-
o
c
.~
."
..
..
c
..
..
CO..
."
C ..
....
"""
o
... ..~
OQ.'"
'"
,.,.,,~
..c
._ 0
uco~
N
....
.s:: ....
.. .. ..
<[..0
... 0
0......
""
.. "0
c....,
010'"
."0
..Q.
.. ..
.....<[
"'0
..
0..
..
....",
c
..
i
o
Q;
>
..
o
';0
..
o
>-
c
S
o
...
...
",
,.,
...
u
.~
>-
j~
...
..
..
S
.s::
...
..
o
z
I~
~i
~~
...~
'"
co"';",
"'N "
~~ ~
~~ ~
~~ ~
.... N
... M
'"
'"
N
'"
"
;;;
M
=
M
"
'"
M
...
"'~=
N ",
= M
:ll g
'" =
.. ;::
...
II'lCDO"IQ
~~~~
cu---
" ~
0............... rU
1..000"
Q. 0
Q.lCUCll~
"O~==
ClI'llllll"i
Oll'lll'lll'l
cc___
~~
...
;;
...
;~
...
~~
...
~;
M
=
M
"
'"
M
o
o
=OMOO~OOO~~O~QOQ~OOOO;~
OO~OOOOOOO~O~OOO~OOOO .-
~~~~~~~~~~~~~~~~~~~~~ ~
~~~~~~~g~~~g~g~~~g~~~ ~
~V~-~~ -~ _~ v- _N ~
~ N N_..... ~
... ~
'"
N
co
..
a
"
"
~
=
=
=
=
N
N
=
co
..
..
'"
..
...
~; ;
...
'"
co
'"
'"
M
...
'"
'"
M
M
'"
~
=
o
=
=
=
N
0"
=co
==
",,,
" "
~N
=
o
=
=
=
o
=
o
=
M
..
'"
...
=M
==
=M
="
MM
=~
N~
...
"'M=
"'co =
="'..
"N"
"'-"
.....-
N
Cl 0 c::un
ooco
ceO(l)
"Il:fOQN
IDOVV
~"
===
0==
===
=N=
="'N
..~
=
=
'"
~
.... ..
.....
... .. c
"0 c: VI L IIlE
.. oc: Q.I .... II'lCU Ill>
~ cu" rUcuE wEill.. <I..C:
elll ~~; c~e-.g~:~~f; 1I'l~'~
~.. ..L"O "OrU~'~O>rU~uu -0_..
c: 1Il"C: c: 1..1...~~o ......CII U
.. Q.I .... c: VI =:l 1'Cl.c >>= a...... I.. CU_ 0 GI" =
a..E _'~c: ..I.. Ec:"~"OrUozQ.lI..
..~ ~ ~2!':;'! Z:-:::~1oo4 ~-> 0l~.~"5_ f~
~ L. f.. ii CLl:E~ ;::..... ~ ~~~~.=(,!J"OV1 ~~ g
LCLla.. ~~.... J;.....CQI..cul t..culs..o u
=..s.. rUrU~o QUV1I..Q.lQlCC: CII'~"O .-
"rU_C-oUC: ~Q.l.~ ..Q.Q.l'Cll'Clcu....I'ClQ.1'Cl
'~3 OCII'lO.... ""'..s..~~I'ClI'Cl_~"OII'lI'ClQl&..
"0 ..EI'Cl...~....cl'Cll'ClQ.l uu~ _l'Clc.cmo
;~t~.c=~:~~~~~~~~Q.I~:E~~~~
Q.s..LL..s.."OC.~LC:O=C:C:CQ.lCIll'_"s.......
~~~~~~~:~l~~~2~~~l~~~~~
,-
_~ /2/
~
N
=
=
"
=
N
;
..
co
M
M
'"
-
i
e..-
g-...
O'~'
=
N
;
"
co
=
~
..
'"
;
M
=
M
"
",
..;
1
...
"
~
~
..
'"
N
..
"
c
..
';0
co
."
..
...
..
"
o
~
';0
c
",
.l7,,_/
'"
'"
<i
...
..
~
'"
"
<[
."
..
...
0-
o
."
..
C
o
...
~
~
o
..
..
'"
...
...
..
c
..
co
<<
I
M
I
..
'"
"
<[
:3:
..
o
-
.
/
.
.;..
o
f.E. SClfNETZ
BROKERAGf L DEVELOPMENT
FRANK E. SCHNETZ
President
215 N. "0" StreelSuite 200
San Bernardino, CA. 92401
(714) 889-0754
.
j) c, -J