The URL can be used to link to this page

Home My WebLink AboutItem 8.3 Bayfront 2021-06-15 rev Chula Vista June 15, 2021Item No. # 8.3 Bayfront 2, Sr. VPHomrighaus Luke Charlton, COO, President & CEOMitznerIra RIDA TeamSean Jones, Asset ManagerSuzanne Harrell, Financial AdvisorStephanie Shook, Dept. ManagerTiffany Allen, DirectorSpecial Tax District CounselO’Brien, Nora Adam Meyer, Assistant DirectorEric Crockett, Deputy City ManagerVanessa Legbandt, Bond CounselElizabeth Alonso, Sr. Deputy GCGlen Googins, City AttorneyRobert Whalen, Bond CounselShaun Sumner, Vice PresidentMaria Kachadoorian, City Manager Consultant TeamPort TeamCity Team Bayfront Finance Team Recommended 3 Loan Agreement▪Bond Purchase Agreement▪Project Implementation Agreement▪(as legislative body of Bayfront Financing District)Resolution B Bond Purchase Agreement▪Amendment #1 to JEPA Agreement▪AgreementMutual Lease & Sublease Enforcement ▪Project Implementation Agreement▪▪Facility Lease▪Resolution A Actions Project 1 Overview North25 acBuffer: Retail (around harbor)24 acPark:ParkBusiness Industrial Industrial Business ParkParkParkHotel/ OfficeResidentialHarbor and MarinasCenterConference RetailCultural OfficeBuffer: CommercialMixed Use/ 21 acSignature Park:Boat YardExisting 25 acHarbor Park:ParkPark5 Master Plan Illustrative–Chula Vista Bayfront height25 ft max •225,000 SF•65 ft max height•(cultural/retail)200, 000 SF •300 ft max height•allowedhotel rooms Portion of 2,850 •height120 ft max conference center •240 ft max hotel structure height•space415,000 SF max conference •5-IL STREETSan Diego BaySan Diego Bay25 ft max height•237 RV spaces•height30 ft max ••130 ft max height•250 rooms•420,000 SF office•floor15,000 SF retail ground •200 ft tower heights–70 ft •45 ft podium heights-25 ft •1,500 residential units•155 ft max height•3,000 space parking garage•100,000 SF mixed use/commercial•height45 ft max •120,000 SF•44 ft max height•120,000 SF•25 ft max height•CampgroundRV Park/ •Parking StructureCommercial/ Mixed Use/ Discovery CenterLiving Coast Discovery CenterLiving Coast PondsSouth Bay Salt PondsSouth Bay Salt Sweetwater MarshSweetwater MarshWildlife ReserveWildlife ReserveInterstate 5Interstate 5v.07/03/14J STREETH STREETF STREETE STREETCampgroundRV Park/ Wetland:Seasonal ParkPark 6 Project Location 7 RIDAwith LOIapprove City & Port •AgreementFinancing Restated Amended & Port approves •June 2017 AgreementFinancing Restated Amended & City approves •November 2016 implosionsubstation SDG&E •February 2013 AgreementFinancing approve Original City & Port •May 2012 FEIRapprove CVBMP City & Port •May 2010 Chula Vista Bayfront Key Actions 8 DocumentsBayfront Financing Port approves •JuneGround LeasePort approves RIDA •May 2021 Support AgreementPort approves •proceedingsDistrict change Bayfront Financing City initiates •Restated JCFAAmended & City & Port approve •Restated RSAAmended & rd 3City & Port approve •February 2021 Restated RSAAmended & nd 2City & Port approve •SeptemberDistrictBayfront Financing formation of City approves •February 2020 DistrictBayfront Financing formation of City initiated •JCFACity & Port approve •A&R RSACity & Port approve •NovemberAgreementCounty Participation •October 2019(RSA) Sharing Agreement Original Revenue City & Port approve •DDA with RIDACity & Port approve •April 2018 Chula Vista Bayfront Key Actions 9 Infrastructure ImprovementsFund & construct certain Phase 1A ▪Fund Developer’s Phase 1A Infrastructure▪centerContribute $265 million toward convention ▪Public Agency Commitments:▪ImprovementsDevelo per’s Phase 1A Infrastructure ▪1,600 space parking structure▪275,000 net square foot convention center▪1,570 to 1,600 room resort hotel▪RIDA Commits to Construct:▪Key Deal Terms 10 286.5 million$Total265 million$TaxableConvention Center21.5 million$Exempt-Phase 1A Infrastructure ImprovementsProject Fund AmountTaxFunding 35 Year Term▪Bonds to be issued by Chula Vista Bayfront Facilities Financing Authority▪Authority Bonds Agreements 2 Port Leasing Structure RIDA 37)–(Lease Years 1 SubleaseConvention Center City 37)–(Lease Years 1 Facility LeaseConvention Center37)–(Lease Years 1 Site LeaseConvention Center Authority 66)–(Lease Years 1 Ground LeaseHotel & Parking RIDA 13= City is a party to agreement 37City & RIDAConvention Center Sublease37Authority & CityConvention Center Facility Lease37Port & AuthorityConvention Center Site Lease66 Port & RIDAGround Lease(Years)TermPartiesDocument Lease Documents 14= City is a party to agreement Bond Purchase Agreement 6.Indenture of Trust 5.Amendment No. 1 to JEPA Agreement 4.Mutual Lease & Sublease Enforcement Agreement 3.Project Implementation Agreement 2.Bayfront Financing District Loan Agreement 1.Other Documents Economic 4 InvestmentDevelopment 16 million, after RSA termOngoing City General Fund revenues estimated at $42.5 ▪$244 million over RSA termCity estimated to receive net positive project revenues of ▪community eventsdances, trade organizations, fundraisers, and other Provide large luxury conference facilities for high school ▪First luxury, AAA Four Diamond hotel in Chula Vista▪Economic revitalization in western Chula Vista▪1,250 additional hotel roomsDevelopment catalyst for the CVBMP, including up to ▪BenefitsRegional & Local 17 City figures are included within County figures.1 2,820 Employees3,900 EmployeesPermanent Employment (FTE)•$ 325,290,000$ 475,290,000Economic Output•Ongoing Economic Impact200 Employees3,480 EmployeesTemporary Employment•$ 91,400,000$ 1,610,200,000Economic Output•Construction Economic Impact 1 City of Chula VistaSan Diego County Economic Impact Analysis Next Steps 5 19 July 2021 election▫Bayfront Financing District:▪Validation action filed July 2021▫Authority approves related actions▫RIDA Hotel & Convention Center Project:▪Next Steps Recommended 20 Tax Financing Districtagreements, as Bayfront Special Approval of financing related Resolution B:agreementsCity approval of financing related Resolution A:Actions Net Present Value of Revenue Streams @ 8% 8 Rambler–Special Taxes 8 ParkRV –Special Taxes 9 CityBase Rent Paid to RIDA CC Sublease AgreementRevenue Sharing to Port & City per Residual Revenues Bond Debt ServiceAuthorityAuthorityLoan Payment to Financing District to AuthorityCity Lease Payment District”)(“Bayfront Financing Tax Financing District Bayfront Project Special 8 RIDA–Special Taxes City 4 MSA 3 ParkRV –TOT 7 RIDA–Property Tax 6 RIDA–Sales Tax 5 RIDA–TOT AuthorityPort Payment to Port($5M, $3M, $3.5M)2 PaymentsPort Support 1 Lease RevenuesBayfront Existing 9 PortBase Rent Paid to RIDA Ground Lease RevenuesUnpledged Pledged)Payments (Not Base Rent & Flow of FundsRevenue Pledge 6 MRIDA Ground & Sublease Base Rent(9)72 MRIDA, RV Park & Rambler–Special Tax (8)18 MCity MSA Contribution(7)21 MRIDA–City Property Tax (6)15 MRIDA–City Sales Tax (5)18 MCity MSA Contribution(4)8 MRV Park–City TOT (3)34 MPort GF Annual Support Payments(2)$ 33 MPort Bayfront Existing Lease Revenues(1)Ops)YrsConstruction + 34 Yrs(37 Year Lease Term: 3 22 Distribute remaining to City & Port District 50/50 7.Fund additional reserve fund equal to 1 year’s debt service for Authority Bonds 6.Reimburse City & Port District for Existing Revenues, ongoing through RSA termination 5.Reimburse City & Port District for Existing Revenues, through close of escrow 4.CVBMPReimburse City for 73.6% of cumulative actual costs incurred providing fire services within 3.Funding AgreementReimburse City & Port District for amounts, if any, paid to County of San Diego per County 2.Reimburse Port District for Port Support Payments 1.Revenue Sharing Agreement Infrastructure 3 Plan 24$ 84,526,155 $ 12,810,000 $ 18,000,000 $ 2,786,000 $ 50,930,155 Total$ 4,705,751 -$ -$ -$ $ 4,705,751 RHCC Site Development$ 2,786,000 -$ -$ $ 2,786,000 -$ Sewer Pump Station$ 42,759,135 $ 5,285,000 $ 18,000,000 -$ $ 19,474,135 Parks & Open Space$ 34,275,269 $ 7,525,000 -$ -$ $ 26,750,269 Streets & RoadwaysTotalby Sun Comm.Constructedby PortConstructedby CityConstructedPhase 1ADeveloper’sCategory Phase 1A Infrastructure 25$ 21,500,000 Total Phase 1A Tax Exempt Bond Amount$ 464,575 Contingency$ 21,035,425 Phase 1A Infrastructure to be Financed$ (25,000,000)Less County Participation Funds$ (3,000,000)Less Port Land Exchange Payment$ (4,800,000)Less Port Park Grant Funds$ (7,504,000)Less Sun Communities Contribution$ (5,534,947)Less Sewer Facility Contribution$ (17,651,784)Less BFDIF$ 84,526,155 Total Phase 1A Infrastructure ImprovementsAmountDescription Infrastructure Funding Plan 26 75 & 64321 Harbor Park (Initial)7.3 Utility Site Prep-H6.3 Utility Corridor-H5.H Street (Marina Parkway to E Street)4.H Street (Bay Boulevard to Street A)3.G Street Connection2.E Street (G Street to H Street)1.ImprovementsDeveloper’s Phase 1A Infrastructure 27 21 Park (Initial)Sweetwater 2.G Street Sewer Pump Station1.Constructed by City & Port DistrictPhase 1A Infrastructure Improvements 28 87653 & 421 4 SDG&E-SP8.2 Seasonal Wetlands-SP7.2)-1 Sweetwater Buffer (for S-SP6.1)-1 Sweetwater Buffer (for S-SP5.Gunpowder Point Drive Relocation4.F Street ( E Street to Gunpowder Pt Dr)3.F Street (Bay Boulevard to E Street)2.E Street (Bay Boulevard to F Street)1.Constructed by SunPhase 1A Infrastructure Improvements