HomeMy WebLinkAboutReso 2020-276RESOLUTION NO. 2020-276
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING A SECOND AMENDMENT TO
THE REAL PROPERTY PURCHASE AND SALE
AGREEMENT AND JOINT ESCROW INSTRUCTIONS
BETWEEN THE CITY OF CHULA VISTA AND TECTURE
RED, LLC FOR THE SALE OF A 0.14-ACRE COMMERCIAL
PROPERTY LOCATED AT 224 THIRD AVENUE
WHEREAS, in February 2015, the City Council of the City of Chula Vista
(“City”) authorized the purchase of real property, a 0.14-acre parcel at 224 Third Avenue,
directly north of the Vogue Theater (“Property”), for a purchase price of $260,000; and
WHEREAS, the City’s acquisition was an open-market opportunity purchase made
with the intent of holding the Property for future use as an economic incentive to encourage
redevelopment of the adjacent Vogue Theater property which will further foster economic
vitality on Third Avenue; and
WHEREAS, Tecture Red, LLC (“Tecture”) expressed interest in purchasing the
Property for use in the redevelopment and revitalization of the Vogue Theater on the
adjacent parcel located at 226 Third Avenue; and
WHEREAS, City staff determined that the sale of 224 Third Avenue would enable
and incentivize Tecture. to redevelop and revitalize the adjacent Vogue Theater; and
WHEREAS, Tecture offered to purchase the Property from City for $210,000, a
cost determined to be fair market value, subject to the conditions set forth within the Real
Property Purchase and Sale Agreement and Joint Escrow Instructions (“Agreement”) and
City agreed to sell the Property to Tecture subject to those conditions; and
WHEREAS, in April 2019, the City Council approved the Agreement; and
WHEREAS, prior to the original date for close of escrow, November 29, 2020,
Tecture was required to have submitted complete construction documents and pulled
permits for the revitalization project; and
WHEREAS, due to difficulties caused by the COVID-19 pandemic, Tecture was
unable to meet the deadlines in the Agreement; and
WHEREAS, the parties extended the close of escrow to December 30, 2020 to allow
for City Council consideration of the second amendment to the Agreement; and
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Resolution No. 2020-276
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WHEREAS, the second amendment to the Agreement would provide for a two-
year extension to the Agreement with the inclusion of performance measures to serve as a
safeguard to the City’s property and to encourage its future development; and
WHEREAS, such performance measures include: 1) an approximate 12-month
timeframe from the date of the second amendment to submit complete construction
documents to the City; 2) a 24-month timeframe from the date of the second amendment to
pull permits and provide proof of financing to the City; and 3) an obligation for Tecture
to maintain their adjacent property in such a manner to protect the public’s health, safety,
and welfare.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Chula Vista, that it approves the Second Amendment to the Real Property Purchase and
Joint Escrow Instructions Between The City of Chula Vista and Tecture Red, LLC, in the
form presented, with such minor modifications as may be required or approved by the City
Attorney, a copy of which shall be kept on file in the office of the City Attorney, and
authorizes and directs the City Manager, or designee, to execute same.
[SIGNATURES ON THE FOLLOWING PAGE]
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Resolution No. 2020-276
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Presented by Approved as to form by
Eric C. Crockett Glen R. Googins
Deputy City Manager/Director of Economic City Attorney
Development
PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista,
California, this 8th day of December 2020 by the following vote:
AYES: Councilmembers: Cardenas, Galvez, McCann, and Padilla
NAYS: Councilmembers: None
ABSENT: Councilmembers: None
ABSTAIN: Councilmembers: Casillas Salas
Mary Casillas Salas, Mayor
ATTEST:
Kerry K. Bigelow, MMC, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO )
CITY OF CHULA VISTA )
I, Kerry K. Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing
Resolution No. 2020-276 was duly passed, approved, and adopted by the City Council at a
regular meeting of the Chula Vista City Council held on the 8th day of December 2020.
Executed this 8th day of December 2020.
Kerry K. Bigelow, MMC, City Clerk
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