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HomeMy WebLinkAboutReso 2022-254 DocuSign Envelope ID: E36F6539-70CD-45CE-A082-ODC86F622BEE RESOLUTION NO. 2022-254 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A SECOND AMENDMENT TO AN AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND HOMEFED VILLAGE III MASTER, LLC FOR CONSTRUCTION OF NEIGHBORHOOD PARK P-1 IN OTAY RANCH VILLAGE 3 AND A PORTION OF COMMUNITY PARK P-2 IN OTAY RANCH VILLAGE 4 WHEREAS, City and HomeFed Village ITT Master, LLC, a Delaware limited liability corporation (Master Developer) previously entered into that certain agreement, namely, Agreement Regarding Construction of Neighborhood Park P-1 in Otay Ranch Village 3 and a portion of Community Park P-2 in Otay Ranch Village 4, recorded in the Office of the San Diego County Recorder, Document Recording Reference No. 2016-0700044, (the Original Agreement) on December 6, 2016; and WHEREAS, the Original Agreement was amended pursuant to the terms of that certain First Amendment to Agreement Regarding Construction of Neighborhood Park P-1 in Otay Ranch Village 3 and a portion of Community Park P-2 in Otay Ranch Village 4, recorded in the Office of the San Diego County Recorder, Document Recording Reference No. 2018-0416193, (the First Amendment) on August 14, 2018; and WHEREAS, the Original Agreement as amended by the First Amendment (referred to hereinafter simply as the Original Agreement), set forth the terms for Master Developer's satisfaction of its parks requirements with respect to Otay Ranch Villages 3 and 4 (the Original Parks Requirements); and WHEREAS, pursuant to the terms of the Original Agreement, in partial satisfaction of the Original Parks Requirement, Master Developer provided City an Irrevocable Offer of Dedication (IOD) on Village 3 North Final Map No. 16160, recorded in the Office of the San Diego County Recorder,Document Recording Reference No.2016-7000534,for the 7.5-acre Neighborhood Park P-1; and WHEREAS, pursuant to the terms of the Original Agreement, and in further satisfaction of the Original Parks Requirements, Master Developer also 1) delivered to City an IOD for 4.7- acres within the Community Park P-2 in Otay Ranch Village 4 (Community Park North IOD), and 2) committed to posting a bond with the City (the Community Park Bond) prior to the building permit issuance for the 782"` residential unit within Village 3 in an amount equal to 110% of the preliminary budget for the development of the park now commonly referred to as Community Park North (the Community Park North IOD and the Community Park Bond are collectively referred to herein as the Community Park North Obligation); and DocuSign Envelope ID: E36F6539-70CD-45CE-A082-ODC86F622BEE Resolution No. 2022-254 Page No. 2 WHEREAS, City and Master Developer also desire to amend the Original Agreement to allow Master Developer to satisfy its outstanding Community Park North Obligation either by 1) paying parkland development in-lieu fees consistent with Chula Vista Municipal Code Chapter 17.10 et seq. (CVMC 17.10) instead of posting the Community Park Bond; or 2) entering into a new agreement, subject to City Council approval, for the development of park at an alternative location; and WHEREAS, on June 15, 2021, City approved the Village 3 and a Portion of Village 4 Sectional Planning Area (SPA) Amendment by Resolution No. 2021-122 of the City Council, which authorized amendments to the land use designations with neighborhoods R-6, R-19, and R- 20, resulting in an additional park obligation of approximately 2.21-acres, as calculated in the Village 3 and a Portion of Village 4 Supplemental Public Facilities Financing Plan,Table H.4. (the Additional Park Obligation); and WHEREAS, City and Master Developer also desire to Amend the Original Agreement to address how Developer Parties will satisfy the 2.21-acre Additional Park Obligation through the dedication of community parkland and payment of in-lieu parkland development fees, consistent with CVMC 17.10; and WHEREAS, on June 15,2021, Master Developer transferred its interest in that certain real property comprised of approximately 10 acres located in Village 3 (the R-20 Property) to Flat Rock Land Company LLC, a Delaware limited liability company(Flat Rock), which,pursuant to the terms of Section 14.11.1 of the Original Agreement, and by acknowledging and agreeing to the terms of this Second Amendment, has agreed to be bound by the terms of the Original Agreement, as amended hereby, applicable to the R-20 Property, including, without limitation the Additional Park Obligations; and WHEREAS, the City of Chula Vista and Developer Parties may enter into a future agreement, which may, at a minimum, provide for an alternative method of satisfying a portion of the Village 3 parkland development obligations. Such agreement shall be subject to City Council approval. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista, that it approves the Second Amendment to an Agreement between the City of Chula Vista and HomeFed Village III Master, LLC for the construction of Neighborhood Park P-1 in Otay Ranch Village 3 and a Portion of Community Park P-2 in Otay Ranch Village 4 substantially in the form presented, with such minor modifications as may be required or approved by the City Attorney. DocuSign Envelope ID: E36F6539-70CD-45CE-A082-ODC86F622BEE Resolution No. 2022-254 Page No. 3 Presented by Approved as to form by DocuSigned by: DocuSigned by: 68970191600C4C4... c'F40650850444BF Laura C. Black, AICP Glen R. Googins Director of Development Services City Attorney PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 8th day of November 2022 by the following vote: AYES: Councilmembers: Cardenas,Galvez,McCann,Padilla, and Casillas Salas NAYS: Councilmembers: None ABSENT: Councilmembers: None DocuSigned by: 062BFD7C0386456... Mary Casillas Salas, Mayor ATTEST: DocuSigned by: 3074D104EAF342E... 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. 2022-254 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 November 2022. Executed this 8th day of November 2022. EDocuSigned by: I,30746104EAF342E Kerry K. Bigelow, MMC, City Clerk