HomeMy WebLinkAbout2018-288Resolution No. 2018-288
RESOLUTION NO. 2018-288
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA,
APPROVING AN AMENDMENT TO THE AGREEMENT
WITH KELLER WILLIAMS REALTY REDLANDS TO
LIST AND SELL A CITY -OWNED REAL PROPERTY
ASSET, AND APPROVING CERTAIN RELATED ACTIONS
WHEREAS, pursuant to Health and Safety Code (the "HSC") § 34172 (a) (1), the
Redevelopment Agency of the City of San Bernardino was dissolved on February 1, 2012; and
WHEREAS, consistent with the provisions of the HSC, the Mayor and City Council of
the City of San Bernardino (the "City") previously elected to serve in the capacity of the
Successor Agency to the Redevelopment Agency of the City of San Bernardino (the "Successor
Agency"); and
WHEREAS, at the time of dissolution, the former Redevelopment Agency held many
public, commercial and residential real property assets that had been acquired for community,
economic and affordable housing purposes; and
WHEREAS, as a part of redevelopment dissolution, successor agencies with real
property assets are required dispose of such property pursuant to either a Long -Range Property
Management Plan (the "LRPMP") or Housing Asset Transfer Plan (the "HAT") approved by the
California Department of Finance (the "DOF"); and
WHEREAS, depending on the disposition category approved by the DOF, real property
assets are to be transferred in one of the following ways: i) to the City for government use; ii) to
the City for future development; iii) to the City for affordable housing purposes; or iv) to be sold;
and
WHEREAS, on February 23, 2017, the City Council Ad Hoc Real Estate Committee
met and reviewed a proposed Property Disposition Strategy that addresses the manner in which
the properties designated for sale pursuant to the LRPMP and the HAT would be sold; and
WHEREAS, on March 6, 2017, the Successor Agency Board approved the original
Property Disposition Strategy, which among other things, authorized a competitive process that
would result in 18 sites being listed for sale with a real estate broker (sixteen [16] of which are
Successor Agency -owned and two [2] of which are City -owned); and
WHEREAS, after March 6, 2017, it was determined that two of the sites proposed to be
listed no longer need to be listed for sale with a real estate broker; and
WHEREAS, on August 16, 2017, the Successor Agency Board approved an Amended
Property Disposition Strategy that among other things reduced the numbers sites to be listed for
sale from 18 to 16; and
Resolution No. 2018-288
WHEREAS, consistent with the Property Disposition Strategy: i) during April 2017, an
open Invitation for Prospectus to list for sale certain City -owned and Successor Agency -owned
properties was issued via a direct mailing and a posting on the City's Internet site; ii) on May 10,
2017, a non -mandatory meeting was held for all interested brokers (of which 13 brokers/realtors
attended), and iii) by the submittal deadline of May 31, 2017, five (5) brokers submitted
proposals; and
WHEREAS, a five -member review panel carefully reviewed each proposal received
and interviewed each qualified applicant and, based on this process, unanimously concluded that
Keller Williams Realty Redlands (the "KW") proposal best met the Successor Agency's and
City's current needs; and
WHEREAS, the other four (4) responding brokers were invited to participate in the
purchase and sale process through KW's commission sharing program by bringing forward
potential buyers once the properties on the Schedule of Property to be Listed and Sold are placed
on the market; and
WHEREAS, consistent with the foregoing, on October 18, 2017, the Mayor and City
Council adopted Resolution No. 2017-199 approving a Vacant Land Listing Agreement (the
"Original Agreement") with Keller Williams Realty Redlands, (the "Broker") to list and sell the
above mentioned Successor Agency -owned properties during the period of October 18, 2018
through October 17, 2018 (the "Term"); and
WHEREAS, pursuant to the Original Agreement, during the Term the Broker listed for
sale the City -owned real property site (the "City's Property"), as described as Site No. 24 within
the "Original Schedule of Property to be Listed and Sold," which is included as Exhibit "A,"
attached hereto; and
WHEREAS, concurrently with the approval of the Original Agreement, on October 18,
2017, the Successor Agency also entered into a Vacant Land Listing Agreement with the Broker
to sell the Successor Agency's properties (the "Successor's Agency Properties"), as described
above; and
WHEREAS, to date, six (6) Successor Agency -owned properties have sold or are in
escrow pending sale that represent, on a combined basis, $1,045,705 of gross sales proceeds;
and
WHEREAS, one (1) City Property, along with nine (9) Successor Agency -owned
properties remain to be sold, representing, on a combined basis, $909,643 of potential gross sales
proceeds; and
WHEREAS, the Broker continues to actively pursue potential buyers for the unsold
City Property and Successor Agency -owned properties; and
2
Resolution No. 2018-288
WHEREAS, per its letter of August 13, 2018, the Broker has requested a one-year
extension to the Term of the Original Agreement to allow additional time to sell the City's
remaining unsold property, as copy of which is attached hereto as Exhibit `B"; and
WHEREAS, the Broker has capably represented the City's and Successor Agency's
interests by selling over half of the Successor Agency's Properties in terms of sales price values;
and
WHEREAS, adoption of this Resolution will approve the First Amendment to Vacant
Land Listing Agreement with the Broker, a copy of which is attached hereto as Exhibit "C"; and
WHEREAS, this Resolution has been reviewed with respect to applicability of the
California Environmental Quality Act (the "CEQA"), the State CEQA Guidelines (California
Code of Regulations, Title 14, § 15000 et seq., hereafter the "Guidelines"), and the City's
environmental guidelines; and
WHEREAS, this Resolution does not constitute a "project" for purposes of CEQA, as
that term is defined by Guidelines § 15378, because this Resolution is an organizational or
administrative activity that will not result in a direct or indirect physical change in the
environment, per § 15378 (b) (5) of the Guidelines; and
WHEREAS, all of the prerequisites with respect to the approval of this Resolution have
been met.
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO, AS FOLLOWS:
SECTION 1. The foregoing recitals are true and correct and are a substantive part of
this Resolution.
SECTION 2. The First Amendment to Vacant Land Listing Agreement with Keller
Williams Realty Redlands, a copy of which is attached hereto as Exhibit "C," is approved.
SECTION 3. The City Manager, or her designee, is authorized to execute the First
Amendment to Vacant Land Listing Agreement with Keller Williams Realty and to take such
other actions and to execute such other documents as are necessary to effectuate the intent of
this Resolution.
SECTION 4. The City Council finds this Resolution is not subject to the California
Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA
applies only to projects which have the potential for causing a significant effect on the
environment. Where it can be seen with certainty, as in this case, that there is no possibility that
the activity in question may have a significant effect on the environment, the activity is not
subject to CEQA.
3
Resolution No. 2018-288
SECTION 5. Severability. If any provision of this Resolution or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications, and to this end the provisions of this Resolution are declared to be severable.
SECTION 6. Effective Date. This Resolution shall become effective immediately.
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the City Clerk this 17'h day of October 2018.
Attest:
Georgeann arena, CM ity Clerk
Approved as to form:
K cm��'
Gary D. Saenz, City Attorney
n
E
J
R. Carey D- is, Mayor
City of Sail Bernardino
Resolution No. 2018-288
CERTIFICATION
STATE OF CALIFORNIA)
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Georgeann Hanna, CMC, City Clerk, hereby certify that the attached is a true copy of
Resolution No. 2018-288 adopted at a regular meeting held at the 171' day of October 2018 by
the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
MARQUEZ X
BARRIOS x
VALDIVIA
SHORETT _k
NICKEL
_Y
RICHARD
X
MULVIHILL
_X
WITNESS my hand and official seal of the City of San Bernardino this 17°i day of October
2018.
L,e4 -
Georgeann C anna, CMC, tity Clerk
5
Resolution No. 2018-288
EXHIBIT "A"
ORIGINAL SCHEDULE OF PROPERTY TO BE LISTED AND SOLD
Site No. 24 is owned by, the Ci"- and Site Nos. 28-34, 37, 39, 42, 44, and 46-49 are
owned by the Successor Agency.
ORIGINAL SCHEDULE OF PROPERTY TO BE LISTED AND SOLD
Site Site Reference Address APN Zoning
No.
552 N. Mt. Vernon Av 0138-114-09
24 Vacant N. Mt. Vernon Av Vacant W. 0138-114.10 SP -PP
Spruce St Comm Prop 1316 W. Spruce St 0138-114-11 CG -3
578 N. Mt. Vernon Av 0138-114-18
Lot
Size
Listing
Price
0.56
$239,000
28 Vacant Ramona Av Ind Prop
2355 N. Ramona Av 0148-173-07
IL
0.17
$29,705
29 Vacant N. "J" St Res Prop #1
N. "J" St 0144-123-03
RS
0.11
$49,000
30 Vacant N. "J" St Res Prop #2
N. "J" St 0144-131-36
RS
0.11
$49,000
31 Vacant W. 17th St Res Prop
W. 17th St 0144-123-46
RS
0.11
$49,000
32 Vacant N. Harris St Res Prop
N. Harris St 0144-131-21
RS
0.11
$49,000
33 Vacant Union St Res Prop
1348 Union St 0139-231-34
RS
0.11
$49,000
34 Vacant N. Crescent Av Res Prop
673 N. Crescent Av 0134-014-10
RM
0.08
$41,000
37 Vacant Wall Av Res Prop
1256 Wall Av 0146-241-07
RM
0.17
$54,000
39 Vacant E. Santa Fe St Ind Prop
686 E. Santa Fe St 0280-062-07
IL
0.23
$40,590
42 Vacant N. Mt. Vernon Av Comm Prop
44 E. Cooley Av Parking Lot
46 N. "D" St Vacant Comm Prop
757 N. Mt. Vernon Av 0139-291-60
761 N. Mt. Vernon Av 0139-291-61
SP -PP
CG -3
0.72
$237,653
E. Cooley Av 0281-031-51
0281-041-41
IH
4.35
$189,486
480 N "D" St 0134-141-28478
CR -2
0.22
$125,000
N "D" St 0134-141-29
47 10th St Res Prop
207/207-1/2 E 10th St 0140-171-16
RU
0.16
$54,000
48 Mt. View Av Res Prop
839 N Mt View Av 0140-222-26
RM
0.17
$54,000
49 Evan St Res Prop
693/695 W. Evan St 0145-171-11
RU
0.15
$80,000
C�
Resolution No. 2018-288
EXHIBIT "B"
AUGUST 13, 2018 LETTER FROM
KELLER WILLIAMS REALTY REDLANDS
REQUESTING AN AGREEMENT EXTENSION
(See attachment)
VASENN S
C R G
ION FOR YOUR SUCCESS
August 13, 2018
RE: Renewal of Existing Listing Agreement
To All Concerned Parties:
It is with much gratitude that we request the renewal of the existing Listing Agreement between the City of San
Bernardino and the Successor Agency.
Since the inception our team here at Keller Williams Realty has successfully sold several properties and have
several others in escrow pending approval by all parties. The collective value of these properties is
$1,045,205.00. Originally there were sixteen (16) sites, fifteen (15) for the Successor Agency and one (1) for the
City of San Bernardino. The sale and pending sales when completed will remove six (6) sites with nine (9)
remaining active.
We will continue to market these remaining properties in the same manner we have with the successful sales of
the aforementioned. Typically we see that the more desirable properties are the first to be sold and often times
the lesser desirable can be more challenging. We will continue to monitor our progress with the remaining
properties and look at other options to promote their sale. One such option may include a bulk sale
consideration.
When we first embarked upon this agreement we were told that there may be properties added to these sites
and were also told that some sites may be removed. To this date only sites have been removed. We would
certainly appreciate the opportunity to represent the City of San Bernardino/Successor Agency in disposal of
other existing properties.
Respectfully sud,
Dennis M. Craig v
Ken Peterson
Lara Fernandez
Please note that Mr. Doug Reynoldson is no longer an active part of this team.
13NO-21WIM911
• www.DennlsMCraig.com • DennlslDemIdACralg.can
1473 Ford Street, Ste. 200 • Redlands, CA 92373
kw
KELLERWILLIAMS.
Resolution No. 2018-288
EXHIBIT "C"
AMENDED LISTING AGREEMENT WITH ]KELLER WILLIAMS REALTY
FOR THE LISTING FOR SALE OF
A CITY -OWNED REAL PROPERTY ASSET
(See Attachment)
FIRST AMENDMENT TO
VACANT LAND LISTING AGREEMENT
BETWEEN THE
CITY OF SAN BERNARDINO
AND
]KELLER WILLIAMS REALTY REDLANDS
THIS FIRST AMENDMENT TO VACANT LAND LISTING AGREEMENT
(the "First Amended Agreement") is made as of the 17'h day of October 2018, by and
between the City of San Bernardino (the "City") and Keller Williams Realty Redlands (the
"Broker"). Collectively, City and Broker are referred to herein as the "Parties."
WITNESSETH THAT:
WHEREAS, City and Broker previously entered into an original Vacant Land
Listing Agreement (the "Original Agreement") dated October 18, 2017 for the period of
October 18, 2017 through October 17, 2018 (the "Term'); and
WHEREAS, pursuant to the Original Agreement, during the Term -the Broker listed
for sale one (1) City -owned (the "City Property"), as described as Site No. 24 within the
"Original Schedule of Property to be Listed and Sold," which is included as Exhibit "A,"
attached hereto; and
WHEREAS, in conjunction with the City's Original Agreement, on October 18,
2017, the Successor Agency to the Redevelopment Agency of the City of San Bernardino
(the "Successor Agency") also entered into a Vacant Land Listing Agreement with the
Broker to sell fifteen (15) Successor Agency -owned properties; and
WHEREAS, to date, six (6) Successor Agency -owned properties have sold or are in
escrow pending sale that represent, on a combined basis, $1,045,705 of gross sales proceeds;
and
WHEREAS, one (1) City Property, along with nine (9) Successor Agency
Properties remain to be sold, representing, on a combined basis, $909,643 of potential gross
sales proceeds; and
WHEREAS, the Broker continues to actively pursue potential buyers for the unsold
City Property and Successor Agency -owned properties; and
WHEREAS, on August 13, 2018, the Broker requested a one-year extension to the
Term; and
WHEREAS, the Broker has capably represented the City's and Successor
Agency's interests by selling over half of the Successor Agency -owned properties in terms of
sales price values; and
WHEREAS, it now becomes necessary to amend said Original Agreement and the
Parties are desirous of such amendment.
-1-
Page 2
NOW, THEREFORE, in consideration of the mutual undertakings herein, the Parties
amend the Agreement as follows:
1. Section 1, EXCLUSIVE AUTHORIZATION, is amended in its entirety as
follows:
"City of San Bernardino ("Owner") hereby employs Keller Williams Realty
Redlands ("Broker") beginning on October 18, 2017 and ending at 11:59 PM
on October 17, 2019 ("Listing Period") the exclusive and irrevocable right to
sell the real property in the City of San Bernardino, County of San Bernardino,
Califonn i a as described within the Original Agreement."
2. All remaining provisions of the Original Agreement shall remain the same.
IN WITNESS WHEREOF, the City of San Bernardino and Broker have approved
this First Amended Agreement effective the day and year first above written.
CITY:
City of San Bernardino
r
Bt a
Y. 7
Andrea M. Miller
Executive Director
ATTEST:
L
B: �iiL�cdC
Georgeann Oanna, CM , ,
City Clerk
APPROVED AS TO FORM:
Gary D. Saenz, City Attorney
-2-
BROKER:
Keller Williams Realty Redlands
By: 11 -'�
Dennis M. Craig
BRE License No. 01437825
Page 3
Exhibit "A"
ORIGINAL SCHEDULE OF PROPERTY TO BE LISTED AND SOLD
Site No. 24 is owned by the City and Site Nos. 28-34, 37, 39, 42, 44, and 46-49 are
owned by the Successor Agency.
-3-
Lot Listing Price
Size
She
No.
ORIGINAL SCHEDULE
Site Reference
OF PROPERTY • BE LISTED AND
Address APN
SOLD
Zoning
24
Vacant N. ML Veon Av Vacant W.WVeon0138-11410
Vernon.
Spruce St Comm Prop
552 ML VernonAv 0138-11409
SP -PP
CG -3
0.56 $239,000
1316 W. S race St 0138-11411
578 N. ML Vernon Av 0138-11418
28
Vacant Ramona Av Ind Prop
2355 N. Ramona Av 0148-173-07
IL
0.17 $29,705
29
Vaunt N. "J" St Res Prop #1
N. "J" St 0144123-03
RS
0.11 $49,000
30
Vacant N. "J" St Res Prop #2
N. "J" St 0144131-36
RS
0.11 $49,000
31
Vacant W.17th St Res Prop
W.17th St 0144123-46
RS
0.11 $49,000
32
Vacant N. Harris St Res Prop
N. Harris St 0144131-21
RS
0.11 $49,000
33
Vacant Union St Res Prop
1348 Union St 0139-231-34
RS
0.11 $49,000
34
Vacant N. Crescent Av Res Prop
673 N. Crescent Av 0134-01410
RM
0.08 $41,000
37
Vacant Wall Av Res Prop
1256 Wall Av 0146-241-07
RM
0.17 $54,000
39
Vacant E. Santa Fe St Ind Prop
686 E. Santa Fe St 0280-062-07
IL
0.23 $40,590
42
Vacant N. Mt. Vernon Av Comm Prop
757 N. Mt. Vernon Av 0139-291-60
SP -PP
CG -3
0.72 $237,653
761 N. Mt Vernon Av 0139-291-61
44
E. Cooley Av Parking Lot
E. Cooley Av 0281-031-51
0281-041-41
IH
4.35 $189,486
46
N. "D" St Vacant Comm Prop
480 N "D' St 0134141-28
CR -2
0.22 $125,000
478 N "D" St 0134141-29
47
10th St Res Prop
2071207-112 E 10th St 0140-171-16
RU
0.16 $54,000
48
Mt View Av Res Prop
839 N Mt View Av 01,10-222-26
RM
0.17 $54,000
49
Evan St Res Prop
6931695 W. Evan St 1 0145-171-11
RU
0.15 $80,000
-3-