HomeMy WebLinkAboutRDA Reso 1998-1598 RESOLUTION NO. 1598
RESOLUTION OF THE REDEVELOPMENT AG qCY OF THE CITY OF
CHULA VISTA APPROVING AN APPROPRIA ['ION IN THE AMOUNT
OF $249,000 TO ACQUIRE FORECLOSURE FIGHTS ON THE PHASE
I PROPERTY OF THE FORMER BROADWAY BUSINESS HOMES
PROJECT AT 760 BROADWAY
WHEREAS, the Agency entered into that ;ertain Disposition and Development
Agreement (the "Development Agreement") with Broadw;~y Village Business Homes, L.P. (the
"Developer"), dated August 2, 1995, for the sale of Agen.:y property located at 760 Broadway
within the Southwest Redevelopment Project Area; and
WHEREAS, the Agency sold Phase I of the ~;ite to the developer in the amount of
$285,000 for the purposes of developing the project in pi, ases; and
WHEREAS, under Section 2.4a of the Deve opment Agreement, the Developer is
to present the Agency staff evidence of acceptable financi 3g for construction of improvements;
and
WHEREAS, the Developer has not been a)le to perform under the terms and
conditions of the Development Agreement and has been dui notified and acknowledged that they
are in material default of the Development Agreement; an(
WHEREAS, specifically the Developer has fai ,~d to commence project construction
on Parcel 1 [Development Agreement Section 6.7(a) and ))]; and
WHEREAS, Developer has failed to timely ac Jire Parcel 2 [Development Agreement
Section 2.3(b)] and has failed to pay amounts owed 'or hazardous materials remediation
[Development Agreement Sections 3.2 and 3.3]; and
WHEREAS, the first trust deed lienholder, I oye Agape Limited Partnership, plans
to foreclose on the property; and
WHEREAS, the Agency has negotiated the ssignment of the first trust deed from
the lienholder in the amount of 9249,000; and
NOW, THEREFORE, BE IT RESOLVED the F edevelopment Agency of the City of
Chula Vista, in the interest of protecting the Agency's inte est in Phase II and make available for
highest and best use redevelopment opportunities in the in' erest of the public good, does hereby
authorize an appropriation in the amount of $249,000 t( acquire the Phase I property of the
former Broadway Business Homes project at 760 Broadw~ y.
Presented by Appro~ ed as to form by
Chris Salomone I. Kaheny
Director of Community Development , AttO~'ney
Resolution No. 1598
Page 2
PASSED, APPROVED and ADOPTED BY THE REDEVELOPMENT AGENCY OF THE CiTY OF
CHULA VISTA, CALIFORNIA this 15th day of September, 1998 by the following vote:
AYES: ChaidMayor Horton, Members Rindone, Padilla, Moot and Salas
NOES: None
ABSENT: None
ABSTENTIONS: None
Shirley H ortcCn
Chairman
ATTEST: (/~--,,~ ' ~
Chri~-Salomone
Executive Secretary
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO ) ss:
CITY OF CHULA VISTA )
I, Chris Salomone, Executive Secretary to the Redevelopment Agency of the City of Chula Vista,
California DO HEREBY CERTIFY that the foregoing is a full, true and correct copy of Resolution
No. 1598 and that the same has not been amended or repealed.
Dated: September 16, 1998 (/'~--~ ~-~'~;f~
Chris Salomone
Executive Secretary