HomeMy WebLinkAboutR30 EDAECONOMIC DEVELOPMENT AGENCY
OF THE CITY OF SAN BERNARDINO
FROM: Ronald E. Winkler SUBJECT: SKADRON LOAN EXTENSION
Development Director REQUEST
DATE: October 5, 1998 ORIGINAL
Synopsis of Previous Commission /Council /Committee Action(s):
On February 4, 1991, the Community Development Commission awarded a contract for the demolition and asbestos
removal for properties located on the northeast corner of Fourth and "H" Streets, and authorized the execution of a loan
with Erwin Skadron.
On April 19, 1993, the Community Development Commission authorized staff to execute an amendment to the loan.
On October 10, 1996, the Redevelopment Committee recommended the approval of a second amendment.
On October 26, 1998, the Redevelopment Committee recommended that this item be sent to the Community
Development Commission for approval.
Recommended Motion(s):
(Community Development Commission)
MOTION: That the Community Development Commission authorize the Executive Director to prepare and
execute a Third Amendment to the demolition assistance loan extending the term of the loan from
October 30, 1998 to October 30, 1999.
Contact Person(s): Ann B. Harris/
Project Area(s) Central City North (CCN)
Phone: 5081
Ward(s): One (1)
Supporting Data Attached: ❑X Staff Report ❑ Resolution(s) ❑ Agreement(s) /Contract(s) ❑ Map(s) ❑ Letter /Memo
FUNDING REQUIREMENTS Amount: $ N/A Source:
Budget Authority:
SIGNATURE:
/ ar an Osdel, txe tive Director
CCC
Economic Develop rdent Agency
- - - -- - ---- - - - - --
Commission /Council Notes:
ABH:lag: I 1- 16- 03.cdc
N/A
N/A
nn B. arri , irector
Business Retention /Revitalization
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COMMISSION MEETING AGENDA
Meeting Date: 11/16/1998
Agenda Item Number: %
ECONOMIC DEVELOPMENT AGENCY
STAFF REPORT
Skadron Loan Extension
On February 4, 1991, the Community Development Commission awarded a contract for the
demolition and asbestos removal for properties located on the northeast corner of Fourth and "H"
Streets, and authorized the execution of a $69,600 loan with Mr. Erwin Skadron to facilitate the
demolition. The loan had a 9% interest rate, all due and payable on October 30, 1994.
On April 8, 1993, the Community Development Commission authorized staff to prepare and execute
an amendment to the demolition assistance loan of Mr. Skadron, lowering his interest rate from 9% to
7% and extending the maturity date of the loan from October 30, 1994 to October 30, 1996 in order to
allow Mr. Skadron the opportunity to sell his property. Additionally, quarterly interest only payments
were to continue through the deferred principal period.
Mr. Skadron has been unable to sell the properties over the past seven years and he is not in a
financial position to pay off the loan at this time. He has requested an extension of twelve months,
thereby extending the maturity date to October 30, 1999. He feels that with the recent developments
in the downtown area and within the City, prospective buyers are possible. All principal and unpaid
interest will be due at the maturity of the loan or when the properties sell, whichever occurs first.
Quarterly interest payments will continue on the outstanding loan balance.
Mr. Skadron has completed the demolition of the blighted property and continues to diligently market
his properties. Further, Mr. Skadron has continued to make his quarterly interest payments when due
and is not in default on.the loan.
That the Community Development Commission authorize the Executive Director to prepare and
execute a Third Amendment to the demolition assistance loan extending the term of the loan from
October 30, 1998 to October 30, 1999.
Ann B. Harris, Director
Business Retention/Revitalization
ABH:1ag:11- 16- 03.cdc COMMISSION MEETING AGENDA
Meeting Date: 111//16/1998
Agenda Item Number: &30
C I T Y O F
an bernardino
R A C H E L C L A R K
C I T Y C L E R K
December 30, 1998
Mr. Erwin S. Skadron
27033 Mill Pond East
Capistrano Beach, CA 92624
Dear Mr. Skadron:
At the meeting of the Mayor and Common Council /Community
Development Commission held on November 16, 1998, the following
action was taken regarding extending the term of your loan from
October 30, 1998 to October 30, 1999:
The Community Development Commission authorized the
Executive Director to prepare and execute a Third
Amendment to the demolition assistance loan extending the
term of the loan from October 30, 1998 to October 30,
1999.
If you need further assistance, please contact the Economic
Development Agency at (909)384 -5081.
Sincerely,
Rachel G. Clark, CMC
City Clerk
CC: Mike Trout, Economic Development Agency
P. O. B O X 1 3 1 8, S A N 8 E R N A R D I N 0, C A 8 2 4 0 2
3 0 0 N O R T H D S T R E E T, S A N B E R N A R D I N O.
C A L I F O R N I A 9 2 4 1 8 - 0 0 0 1 ( 9 0 9) 3 8 4- S 0 0 2
( 9 0 9) 3 8 4 - 5 1 0 2 F A X -( 9 0 9) 3 8 4- S 1 5 8
T 0 D I T T Y -( 9 0 9) 3 8 4- S 5 4 0
ERW/N SKADRON
27033 Mill Pond East, Capistrano Beach, CA6 rfia 92624 I
Phone: 949.493.7284
'98 MET, 29 P 1 :30
December 26, 1998
City of San Bernardino
Office of the City Clerk
City Hall
300 N. "D" Street
San Bernardino, Ca 92418
Gentlemen
On or about October 28, 1998, 1 was told that the San Bernardino City Council extended the terms of my
Loan # 1719, Cust. # 001719- 004 -RDA for an additional year.
To date I have not received any confirmation of this in writing with the new date and terms. When
called the Economic Development Agency, they responded by telling me that your office in now in charge
of writing the confirmation letter to me. It has been two months.
Would you please let me know when I can expect the letter
sincerely,
Erwin S. Skadron