HomeMy WebLinkAboutCDC/2008-02
1
2
3
4
5
6
7
8
RESOLUTION NO. cDc/2008-2
RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF
THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING
THE EXECUTIVE DIRECTOR OF THE REDEVELOPMENT AGENCY OF
THE CITY OF SAN BERNARDINO ("AGENCY") TO EXECUTE
AMENDMENT NO. 1 TO THE 2005 DISPOSITION AND DEVELOPMENT
AGREEMENT BY AND BETWEEN THE ARROWHEAD CENTRAL
CREDIT UNION AND THE AGENCY (CENTRAL CITY SOUTH
REDEVELOPMENT PROJECT AREA)
WHEREAS, the Community Development Commission of the City of San Bernardino (the
9 "Commission") is the governing board of the Redevelopment Agency of the City of San Bernardino
10 (the "Agency"); and
11 WHEREAS, on December 5, 2005 the Commission approved a 2005 Disposition and
12 Development Agreement ("Agreement") by and between the Agency and Arrowhead Central Credit
13 Union, a California Corporation (the "Developer"), and authorized the Agency Interim Executive
14 Director to execute the Agreement relating to the sale and development of 8,2 acres of Agency
15 property located north of Mill Street and south of the Arrowhead Central Credit Union Park
16 Baseball Stadium (the "Property") and made certain findings thereto related to the development 0
17 the Property; and
18 WHEREAS, the Developer has performed diligently in order to carry out and submit all
19 required documentation, as called out in the Agreement, to the Agency in a timely manner; and
20 WHEREAS, the Developer has experienced unforeseen delays caused by the need to
21 redesign a larger building to accommodate the growing needs of the Developer; and
22 WHEREAS, the Schedule of Performance and approved design, as called out, in the original
23 Agreement are no longer applicable; and
24 WHEREAS, the Developer is now seeking Agency assistance to acquire certain additional
25 property to the west in order to construct a road to connect the Property to "G" Street; and
26 WHEREAS, the acquisition of additional property to the west was addressed in the original
27 California Environmental Quality Act ("CEQA") document and as such, there is no further
28 environmental impact; and
1
P:\Agendas\Rcsohttions\ResolutiOlls\200lN}] -07-08 Arrowhead Credit Union - Amendment No_ 1 CDC Reso_doc
1 WHEREAS, it is appropriate for the Commission to approve Amendment No.1 to the
2 Agreement.
3 NOW, THEREFORE, THE COMMUNITY DEVELOPMENT COMMISSION OF THE
4 CITY OF SAN BERNARDINO DOES HEREBY RESOLVE, DETERMINE AND ORDER, AS
5 FOLLOWS:
6
The Commission hereby approves the attached Amendment No. 1 in the form
Section 1.
7 presented at the meeting at which this Resolution is adopted. The Executive Director of the Agency is
8 hereby authorized and directed to execute Amendment No, 1 on behalf of the Agency, together with
9 such technical and conforming changes as may be recommended by the Executive Director of the
10 Agency and approved by the Agency Counsel.
This Resolution shall take effect from and after its date of adoption by this
11 Section 2,
12 Commission.
13 //1
14 //1
15 //1
16 //1
17 //1
18 //1
19 //1
20 //1
21 //1
22 1//
23 1//
24 1//
25 //1
26 //1
27 //1
28 //1
2
P:\Agmdas\Resolurioos\Resolulions\2008\OI-07-OS Arrowhead Credit Union - Amendment No I coc Reso_OOc
RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF
THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING
THE EXECUTIVE DIRECTOR OF THE REDEVELOPMENT AGENCY OF
THE CITY OF SAN BERNARDINO ("AGENCY") TO EXECUTE
AMENDMENT NO, 1 TO THE 2005 DISPOSITION AND DEVELOPMENT
AGREEMENT BY AND BETWEEN THE ARROWHEAD CENTRAL
CREDIT UNION AND THE AGENCY (CENTRAL CITY SOUTH
REDEVELOPMENT PROJECT AREA)
1
2
3
4
5
6
7
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Community
8 Development Commission of the City of San Bernardino at a j oint regular
day of January, 2008, by the following vote to wit:
meeting
Aves
Navs
Abstain
Absent
x
-1L
x
x
x
-1L
-1L
20 The foregoing Resolution is hereby approved this~~ day of January
21
22
23
24
Approved as to Form:
25
26 By: \" I~AN'\ J_
27 Agency '&~
28
,2008.
~~
atri J, Morris, on
o unIty Development CommIssIOn
of the City of San Bernardino
3
P:\Agendas\RcsolutiollS\Rcsolutiollll\2008\01-07-oS Arrowhead Credit Union. Amendment No. I CDC Reso.doc
o
o
o
_L. _ \.,
CDC/2008-2
AMENDMENT NO, 1
TO THE 2005 DISPOSITION AND DEVELOPMENT AGREEMENT
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO
AND
ARROWHEAD CENTRAL CREDIT UNION, A CALIFORNIA CORPORATION
This Amendment No.1 (this "Amendment") is dated as of January 7, 2008, by and
between the Redevelopment Agency of the City of San Bernardino, a public body, corporate and
politic (the "Agency"), and Arrowhead Central Credit Union, a California corporation (the
"Developer"), and is an amendment to the Disposition and Development Agreement (the
"Agreement") between the Agency and the Developer dated December 5, 2005. The Agreement
is for the purchase and sale of Agency owned property generally located north of Mill Street and
immediately south of the Arrowhead Credit Union Park Baseball Stadium site within San
Bernardino, California and referred to as Assessor's Parcel Number 0136-111-22 (the
"Property").
This Amendment is entered into in light of the facts set forth in the following Recital
Paragraphs,
RECITALS
1, The Redevelopment Plan for the Central City South Redevelopment Project
("Redevelopment Plan") provides for the purchase and redevelopment of certain unimproved
lands by private parties such as the Developer. The Property and certain adjoining parcels are
part of the redeveloprnent project area included within the scope of the Redevelopment Plan
adopted for purposes of and with the intent to revitalize and redevelop areas that are adversely
affected by blight.
2. The Agency and the Developer desire to redevelop and improve the Property as
an office complex (the "Project"). The Project requires the acquisition of adjoining parcels
("Adjoining Parcels"), which are located to the west of the Property and would provide vehicular
access to "G" Street from the Property. The Adjoining Parcels are referred to as Assessor's
Parcel Numbers 0136-162-18 and 23.
3. In accordance with Section 1.02 of the Agreement, the Developer is attempting to
acquire the Adjoining Parcels but has been unsuccessful to accomplish said acquisition,
4. To further the purposes of the Agreement and the Redevelopment Plan, the
Agency may consider the initiation of proceedings to acquire one or more of the parcels
comprising the Adjoining Parcels ("Condemnation Parcel" or "Condemnation Parcels") by
condemnation in accordance with the terms and provisions of the Agreement and all applicable
laws, including the provisions of the Central City South Redevelopment Plan and the California
Community Redevelopment Law ("CRL").
1
P:\Agendas\Agenda Attac:hmcnts\Agrmls+Amend 2008\01-07-08 AnEnCIrnent No I Arrowbcad CU_doc
.
,
CDC/2008-2
Q
5. The Agency and the Developer seek to make certain additional modifications to
the Agreement to modifY the dates of performance as set forth in Exhibit "D" to the Agreement
and to update the definition of the "Project" as contained in Section 1.02 of the Agreement.
NOW, THEREFORE, THE AGENCY AND THE DEVELOPER AMEND THE
AGREEMENT AS FOLLOWS:
1. The current paragraph of Section 1.02 entitled The PropertY and the Proiect shall
be designated as Subsection (a).
2. The following paragraphs will be added to the Agreement and shall be designated
as Subsections (b) and (c) to Section 1.02 entitled The PropertY and the Proiect:
o
(b) The Developer and the Agency each acknowledge and agree that the Agency
reserves the sole and absolute discretion to approve the terms of any condemnation proceeding
and that the Agency shall, for itself, reserve the discretion to consider whether evidence supports
the basis of each of the findings set forth at Code of Civil Procedures Sections 1240.030 and
1245.230 with respect to its consideration of acquisition of the Condemnation Parcels through
the exercise of the power of eminent domain. The Agency shall consider the acquisition of each
of the Condemnation Parcels an exercise of the eminent domain powers of the Agency, if
necessary, after the Executive Director has determined that an Agency offer has been rejected or
that further discussion, negotiation or modification of a pending Agency offer is unlikely to be
accepted by the owner of a particular Condemnation Parcel or the tenant in possession of a
Condemnation Parcel, as applicable, Upon its acquisition of each Condemnation Parcel or
Condemnation Parcels, by judgment of condemnation or otherwise, the Agency may transfer all
of its right, title and interest in such Condemnation Parcel or Condemnation Parcels to the
Developer for redevelopment purposes in accordance with this Agreernent. The Developer shall
be responsible for the payment and reimbursement of all of the following costs (e,g"
Condemnation Parcel Acquisition Costs) incurred by the Agency in connection with the
consideration and acquisition by the Agency of any parcel obtained by condemnation:
(i) all amounts of just compensation payable to the owner of the
Condemnation Parcel or Condemnation Parcels;
(ii) expert witnesses and real property appraisal fees of the Agency;
(iii) escrow agent costs, title insurance and civil engineering expenses of the
Agency;
(iv) trial costs and expenses, including attorney fees of the Agency;
(v) interest and other sums payable by the Agency to the owner of each
Condemnation Parcel or Condemnation Parcels as a court may direct or as
negotiated by the Agency and the owner;
o
(vi) relocation benefits and expenses of persons in lawful possession of such
property as provided by applicable law; and
2
P;'lAgenda$\Agenda Attachmcnts\Agmu.Amend 2008\01.07-08 Amendment No I Anowhcad CU.doc
CDC/2008-2
o
(vii) all costs and expenses allocated by a court, negotiated by the Agency and
the owner or payable by the Agency in the event of an abandonment or
dismissal of any condemnation proceeding, relating to a Condemnation
Parcel or Condemnation Parcels,
(c) The Developer recognizes that the Agency will be required, at a later date, to
conduct a noticed public hearing and to prepare and make available for public inspection a report
as required by Health & Safety Code Section 33433. Such report and the noticed public hearing
will be based upon the final sales price of the Condemnation Parcel or Condemnation Parcels
that the Agency may then seek to transfer to the Developer. The Developer further recognizes
and agrees that the Agency cannot make a legally binding commitment for the sale of later
acquired Agency real property until the Agency has complied with the reqnirements of Health &
Safety Code Section 33433 and such sale of Agency real property has been approved by a duly
adopted resolution of the Mayor and Common Council of the City of San Bernardino
("Council"), as the legislative body for the Agency, and that the Agency makes no
representation, warranty or prior commitment as to the results of any such public hearing for the
intended disposition of one or both of the Condemnation Parcels.
3, The following enumerated Sections of the Agreement shall be revised in as set
forth below:
o
(a) Section 3.01(s): The phrase "The Developer shall substantially complete the
improvements of the project within five hundred forty (540) days" shall be replaced
with the number "nine hundred seventy (970)" in addition to any and all other
references to the number 540, whether stated in numerals or written in text, in the
Agreement and the exhibits attached thereto.
(b) Section 1.02 The PropertY and the Proiect: The following language which reads as
"one building of approximately 120,000 square feet" shall be amended to read "two
buildings of approximately 190,000 square feet" and the phrase "an additional
25,000 square feet of new building construction to occur on Adjoining Property"
shall be deleted in this Section in addition to any and all other references to the
description of the buildings on the Property or Adjoining Property.
4. Exhibit "D" of the A ement entitled, "Schedule of Performance" shall be
amended in its entirety to be in the form as set forth in Exhibit "A" to this Amendment.
5. The Agreement, as ame ed by this Amendment, remains in full force and effect
together with the amendments and modifications as approved by this Amendment.
6, This Amendment may be executed in any number of counterparts, each of which
shall constitute an original and all of which shall constitute but one and the same document, and
this Amendment shall take effect frorn and after the date of execution and delivery by the
Agency and the Developer of this Amendment.
o /II
//1
3
P:\Agendas\Ascnda .....ttachltlCfltS\Agmts.Amcnd 2008\01-01-08 Amendment No I Arrowhead CU.doc
o
o
o
CDC/2008-2
IN WITNESS WHEREOF, the parties have signed this Amendment as of the date first
set forth below.
AGENCY
Redevelopment Agency of the City of San Bernardino,
a public body, corporate and politic
Date: ~,3 'I me.
By:
~
Approved as to Form and Legal Content:
BY'~
' gency 0 sel
DEVELOPER
Arrowhead Central Credit Union,
a California corporation
B~0t4
? ,/J L
Title: .1 ~ evA
4
P:\Agendas\Agenda AttaclJments\Agmn-Amend 2008\01-07-08 Amendment No I Arrowhead CU,doc
o
o
o
.
CDC/2008-2
EXHIBIT "A"
REVISED FORM OF EXHIBIT "D"
TO THE AGREEMENT
SCHEDULE OF PERFORMANCE
(Days shall be calendar days, and all dates herein are subject to change due to force majeure in
accordance with Section 5.06 of the Agreement)
Agency approval of Amendment No, 1 is January 7,2008.
The Developer shall commence the following within the time periods provided herein:
(a) The Developer will obtain building permits within three hundred sixty-five (365)
days after the execution of Amendment No.1.
(b) Mass grade the entire Property area (as appropriate) within one hundred twenty
(120) days after approval of the master grading plan,
(c) The off site water shall commence within ninety (90) days after grading starts.
(d)
Storm drain improvements will commence upon completion of the grading.
(e)
Sewer and water installation will commence upon the completion of the storm
drain. The development of sewer and water will be based upon construction
phasing of the two (2) buildings.
(f) Street improvements will commence upon completion of the sewer and water.
The development of street improvements will be based upon construction
phasing.
(g) Landscaping will commence upon completion ofthe street improvements,
(h) Installation of dry utilities, as appropriate, for the development plan.
(i) Commence construction within thirty (30) days after the Developer has obtained
all building permits as required by item (a) above.
G) The Project will be completed within nine hundred seventy (970) days after
commencement of the work of the improvements for which all building permits
have been issued for the Property,
5
P:\Agc:ndas\Agendl Anachmeats\AgnnU-AnIeDd 2008\01-07..(1'8 Amcndmenl No I Arrowbe.d CU.OOC