Loading...
HomeMy WebLinkAboutReso 2012-254RESOLUTION NO. 2012-254 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AN EXCLUSIVE NEGOTIATING AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND HOMEFED CORPORATION FOR PLANNING AND DEVELOPMENT OF THE UNIVERSITY PARK AND RESEARCH CENTER WHEREAS, the City of Chula Vista has long had a goal of developing a higher education presence in the City; and WHEREAS, the City of Chula Vista has solidified this goal in the City's General Plan and Otay Ranch General Development Plan; and WHEREAS, the City has been working for several years to acquire all the land necessary to develop the University Pazk and Research Center; and WHEREAS, in 2008 and 2010, the City entered into land offer agreements that provide for the acquisition of the final properties necessary to create the University Park and Research Center; and WHEREAS, as the acquisition of the land becomes more certain, it is necessary to complete all planning documents and related entitlements that will allow for the timely development of the University Park and Reseazch Center; and WHEREAS, the City does not employ staff with the level of expertise in this very specific type and magnitude of project; and WHEREAS, Given the complexity and long-term development horizon for the project City wishes to explore an arrangement with a land developer to serve as master-developer for the project; and WHEREAS, the City has considered alternatives for development partners who might be most qualified to serve in the Master Developer capacity and come to the conclusion, for the reasons set Forth below, that HomeFed Corporation ("HomeFed") is uniquely qualified to fill this role; and WHEREAS, HomeFed has been a significant landowner in Chula Vista for many years; and WHEREAS, HomeFed owns approximately 2,800 acres in the Otay Ranch General Planning Area (ORGPA), including 700 acres of developable land and 2,100 acres of open space for environmental mitigation; and Resolution No. 2012-254 Page No. 2 WHEREAS, HomeFed's core business in master-planned development gives it an understanding of demographic trends, sustainability, leveraging economic capacity and incubating small business; and WHEREAS, HomeFed has a proven track record of successful development; and WHEREAS, HomeFed is in the final stages of processing the SPA Plans for Village 8 West and Village 9, which is adjacent to the university and commonly known as University Village; and WHEREAS, the infrastructure ofthe university and University Village are planned to be fully integrated; and WHEREAS, HomeFed has contracted with U3 Ventures, aPhiladelphia-based multi- disciplinary firm that specializes in integrating universities with their surrounding neighborhoods to achieve economic vitality and cultural vibrancy; and WHEREAS, in contrast to many private companies, HomeFed's financial condition, executive compensation, and sources of income are all highly transpazent as the company must file quarterly and annual audited financial statements with the Securities and Exchange Commission (SEC) that require enhanced financial disclosure and forwazd-looking statements about the company; and WHEREAS, HomeFed shazes the City's interest in exploring and negotiating the possib]e terms and conditions under which HomeFed would act as master-developer for the project, and is willing to invest substantial time and resources towards the advancement of the project during the course of such exploration and negotiation provided that City is willing to negotiate exclusively with HomeFed for a specified time period on the terms and conditions provided in an Exclusive Negotiating Agreement ("ENA"); and WHEREAS, due to the unique nature of the proposed project, its potential for fostering economic development and educational advancement, and for providing a valuable amenity for the citizens ofthe City of Chula Vista, and HomeFed's unique "master-developer" qualifications (described above), City is willing to enter into an ENA with HomeFed on the terms and conditions set forth in the agreement presented. NOW, THEREFORE, BE IT RESOLVED 1. Based on the recitals set forth above, the City Council finds Homefed Corporation to be uniquely qualified for purposes of entering into an Exclusive Negotiating Agreement and, potentially, asole-source candidate to act asmaster- developer ofthe University Park and Research Center Project. 2. Based on this finding, to the extend applicable, the City Council waives the competitive bidding processes in Chula Vista Municipal Code sections 2.56.070 A and 2.56.110 as impractical and determined that the City's interests will be materially better served by working exclusively with HomeFed under the terms ofthe ENA; and Resolution No. 2012-254 Page No. 3 3. The City Council approves an Exclusive Negotiating Agreement between the City of Chula Vista and HomeFed Corporation regarding the planning and development of the University Park and Research Center project in the form presented, with such minor modifications as may be required or approved by the City Attorney, a final copy of which shall be kept on file with the City Clerk. Presented by ~ Approved as to form by alb t, .E., AICP ~ len R. oogins Assistant ity Manager/Director of ~ty Atto ey Development Services PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 11th day of December 2012 by the following vote: AYES: Councilmembers: Aguilar, Bensoussan, Ramirez, Salas and Cox NAYS: Councilmembers: None ABSENT: Councilmembers: None ~( Cheryl Cox, ~ ayo ATTEST: Donna R. Norris, CMC, City Clerk STATE OF CALIFORNIA COUNTY OF SAN DIEGO CITY OF CHULA VISTA I, Donna R. Norris, City Clerk of Chula Vista, California, do hereby certify that the foregoing Resolution No. 2012-254 was duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 11th day of December 2012. Executed this 11th day of December 2012. /~~ `~ / rO,~~0