HomeMy WebLinkAboutrda min 1981/08/06 7:00 PM
MINUTES OF A REGULAR MEETING OF THE REDEVELOPMENT AGENCY
OF THE CITY OF CHULA VISTA, CALIFORNIA
Thursday, August 6, 1981 - 7:00 p.m. Council Chambers - Public Services Bldg.
ROLL CALL
MEMBERS PRESENT Chairman Hyde; Members Cox, McCandliss, Scott
Members Absent Member Gillow
STAFF PRESENT Executive Director Cole, Community Development Director
Desrochers, Special Counsel Reed, Redevelopment Coordi-
nator legler, Housing Coordinator Gustafson, Development
Services Administrator Robens
ALSO PRESENT Anush Badi i
ITEM NO.1 - APPROVAL OF MINUTES
MSUC (Scott/McCandliss) to approve the minutes of June 30, July 14 and July 23,1981
as mailed.
ITEM NO.2 - RESOLUTION NO. 313 - FINDING PROJECT BENEFIT IN EXPENDITURE OF FUNDS FOR
LOW- AND MODERATE-INCOME HOUSING OUTSIDE THE TOWN
CENTRE I AND BA YFRONT REDEVELOPMENT PROJECT AREA
A low and moderate-income housing fund to enhance the supply of housing relating to
funds generated from the Town Centre I/Bayfront Redevelopment Project was created by
the Redevelopment Agency in accordance with State Law. The fund may be used outside
the redevelopment project area if the Agency finds the housing provided to be of
benefit to the project area.
RESOLUTION OFFERED by Member Scott, the reading of the text was waived by unanimous
consen4 passed and adopted unanimously by those present.
ITEM NO. 3- RESOLUTION NO. 314 - APPPROPRIATING FUNDS FOR ACQUISITION
OF LOW AND MODERATE-INCOME HOUSING SITE
Tt will be necessary to utilize funds from both the federal 108 loan program and
from the Redevelopment Housing Fund in order to acquire the Melrose and Otay Valley
Road property for the City's low and moderate-income housing program.
Member Scott indicated that he disagrees with the price for the property, but would
vote for this item in Member Gillow's absence.
RESOLUTION OFFERED by Member Cox, the reading of the text was waived by unanimous
consent, passed and adopted unanimously by those present.
ITEM NO.4 - REPORT: APPRAISAL SERVICES - BAYFRONT PROPERTIES
Community Development Director Desrochers suggested Agency members read a letter
from Mrs. Whiteman dated July 31, 1981. (Copies of the letter and a cover memo
from staff were di s tribUted to members of the Agency.) The 1 etter stated that
Mrs Whiteman has signed a lease with San Diego Shipbuilding and Repair for ten years
for' the Shangri-La property at the foot of F Street. The ~ease is :ontingent upo~
Mrs. Whiteman obtaining an owner participation agreement w,th the C,ty of Chula V,sta.
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Redevelopment Agency Meeting -2- August 6, 1981
Mr. Desrochers' cover memo suggested a revised recommendation in view of Mrs. Whiteman~
correspondence that funds be appropriated not to exceed $5,000 to obtain a preliminary
appraisal on the Shangri-La property.
MOTION TO ACCEPT STAFF'S REVISED RECOMMENDATION
It was moved by Member Cox that funds be appropriated not to exceed $5,000 to obtain
a preliminary appraisal on the Shangri-La property.
Motion died for lack of second.
Chairman Hyde questioned Mr. Desrochers' recommendation. The director stated that it
would be beneficial for the Agency to know what alternatives the Agency has at the
time that the owner participation agreement is discussed. He felt that problems might
result if we delayed too long.
Member Scott expressed concern with the building's aesthetic compatibility with the
rest of the Bayfront.
Special Counsel Reed commented that the Agency could require design changes to make
the building compatible. However, we do not have design standards for the Bayfront.
Special Counsel Reed reiterated that the City could be held liable for an inverse con-
demnation suit if approval of the owner's proposed improvements is delayed.
Chairman Hyde remarked that he could not see the necessity for seeking an appraisal
at this time, when we are not ready to consider acquisition.
Member Scott reiterated his concerns that if we choose to enter into an owner parti-
cipation agreement with Mrs. Whiteman, that the agreement have strict conditions, and
strict architectural design stipulations in order to be compatible with the Bayfront.
Discussion followed involving the need for Closed Session following tonight's meeting
to discuss litigation. Executive Director Cole remarked that further discussion
would not be needed with regard to the Shangri-La, but that it would be necessary for
other legal purposes.
MOTION TO HOLD OVER ITEM
MSUC (Scott/McCandliss) to hold over item until the proper time and/or after we pre-
pare an owner participation agreement for the Redevelopment Agency to consider, and
that staff prepare a recommendation as to whether or not it was timely and/or appro-
priate and economically feasible to consider acquisition of the property.
ITEM NO.5 - REPORT: ANTHONY'S SIGN - REQUEST FOR EXTENSION
A 25-foot freestanding sign was allowed by the City Council in 1974 for Anthony's
Restaurant with the condition that it be removed by December 31, 1981. It is re-
quested that a six-month extension be granted so the sign consultant for Anthony's
can develop a new sign in conformance with the Bayfront Sign Program.
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Redevelopment Agency Meeting -3- August 6, 1981
MOTION TO ACCEPT STAFF RECOMMENDATION
MSUC (Scott/McCandliss) that the Agency grant Anthony's a six-month extension for
the removal of their freestanding sign.
ITEM NO.6 - REPORT: EL TORITO SIGN - APPEAL OF CONDITION
The Design Review Committee approved the design for the 7,700 square foot El Torito
Restaurant at the Bayfront including authorization to construct a monument sign
adjacent to Bay Boulevard. Plans for the freeway sign were recently approved by the
committee subject to conditions. The proponents have accepted all but one condition,
that the word "restaurant" instead of "food" be used. El Torito has chosen to appeal
that condition to the Agency.
MOTION TO ACCEPT STAFF RECOMMENDATION
MSUC (Scott/Hyde) that the Agency rescind the condition set forth by the Design
R~view Committee and approve the words "Mexican Food" for El Torito's freeway-oriented
slgn.
ITEM NO.7 - REPORT: BAY BOULEVARD DEVELOPMENT
Agency members were provided with updates on the Ramada Inn site, Days Inn project
and the Agency-owned parcel at Bay Boulevard near F Street. It was noted that
groundbreaking for the Days Inn is scheduled for some time in September.
MOTION TO ACCEPT REPORT
MSUC (Cox/Hyde) to accept the report.
ITEM NO.8 - RESOLUTION NO. 315 - GRANTING TO THE CITY OF CHULA VISTA
A 2!-¿ FOOT UTILITY EASEMENT
Engineering staff requests that a 2!-¿-foot easement for utilities be granted to the
City by the Agency when the Agency's properties are sold. This will prevent a delay
in the installation of public improvements along Bay Boulevard.
RESOLUTION OFFERED by Member McCandliss, the reading of the text was waived by unan-
imous consent, passed and adopted unanimously by those present.
ITEM NO.9 - REPORT: FOCUS AREA DEVELOPMENT STATUS
The developer for the Focus Area development has currently entered into final nego-
tiations with the theatre operator and with the restaurateur for Phase I. A commit-
ment for the second restaurant however has been more difficult to find.
In answer to Member Cox's question, Redevelopment Coordinator legler defined "flats"
as units stacked one on top of another.
Member Scott expressed concern with this design change and the lack of communication
among the developer, staff and the Agency.
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Redevelopment Agency Meeting -4- August 6, 1981
Mr. Desrochers explained that Mr. Zogob is considering a change because his one-level
units are selling better than his other units. Most of the single-level units are
sold. The developer feels that the market would be more in his favor if he constructed
smaller, single-level units.
According to the bond indenture for the Mortgage Revenue Bonds, 85% of bond proceeds
must be committed by October 1982.
MOTION FOR EXPLANATION OF PLANS
MSUC (Hyde/McCandliss) to ask Mr. Zogob to give an explanation of his plans as soon
as it is practical for him to do so, possibly following Tuesday night's City Council
meeting on August 11, or at the next Agency meeting of August 20.
The director mentioned that the developer is to come back to the Agency in the middle
of August with his Schedule of Performance on Focus Area development.
ITEM NO. 10 - RESOLUTION NOS. (a) 316, (b) 317, (c) 318, (d) 319, (e) 320
AUTHORIZING THE ISSUANCE OF BONDS OR ENTERING INTO OF FINANCING LEASES
OR AGREEMENTS FOR THE PURPOSE OF FINANCING: (a) RESTAURANT "A," (b)
RESTAURANT "B," (c) AN OFFICE BUILDING, (d) THEATERS, (e) A RETAIL
COMMERCIAL SHOPPING CENTER AND RELATED COMMERCIAL FACILITIES TO BE
CONSTRUCTED AND DEVELOPED BY CENTRE CITY ASSOCIATES LIMITED COMMERCIAL
Because of a recent IRS clarification of tax liabilities of limited partnerships,
bond counsel suggests an inducement resolution be authorized for each separate com-
mercial project in the Focus Area.
Chairman Hyde pointed out an error in the location description of resolution "b"
(Restaurant "B") and resolution "d" (Theaters). The corrected location should read
". . . on the west side of Third Avenue between Parkway and F Street. . ." instead
of ". . . between E and F Street. . . "
RESOLUTION OFFERED by Chairman Hyde, the reading of the text was waived by unanimous
consent, passed and adopted unanimously by those present as corrected.
ITEM NO. 11 - REPORT: TOWN CENTRE FOCUS AREA RELOCATION
The last phase of relocation in the Town Centre Focus Area is nearing completion with
the exception of the Bernes/Isham parcels.
MOTION TO ACCEPT REPORT
MSUC (McCandliss/Cox) to accept the report.
ITEM NO. 12 - REPORT: PROPERTY MANAGEMENT - SALE OF FIXTURES
Various fixtures and equipment were left in several businesses that have relocated
from the Focus Area. These items were purchased by the Agency for their "value in
place" and are now being sold at auction for salvage value.
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Redevelopment Agency Meeting -5- August 6, 1981
MOTION TO ACCEPT REPORT
MSUC (Cox/Scott) to accept the report.
ITEM NO. 13 - RESOLUTION - ENTERING INTO AN OWNER PARTICIPATION
AGREEMENT WITH JAMES BRENNAN
Concept plans for the construction of a two-story commercial office building at 294
Shasta Street have been submitted by Mr. James Brennan. The Design Review Board
rec~mmends approval of the proposed design concept which is exempt from environmental
reVlew.
Chairman Hyde pointed out that the project is in the area where Council directed
staff to re-examine zoning. The depth of the parcels in that area appear to be too
shallow for the type of commercial development which may be appropriate for that area
opposite the South Bay Regional Center.
The Community Development Director reported that the Town Planner, Mr. Pass, indicated
that the report is essentially complete and the Brennan project appears to be in com-
pliance with the land use prescribed for the area in question.
Members expressed concern with the project's proximity to other residential uses.
Redevelopment Coordinator Zegler narrated a brief slide presentation of the Brennan
project.
In response to members' concerns, Development Services Administrator Robens stated
that the Planning Director has not seen the completed rezoning study for the area on
the east side of Third Avenue between H and I Streets. It will probably be three
weeks, two weeks at the earliest, before the report will be ready for Council review.
Chairman Hyde remarked that unfortunately the Redevelopment Agency could not approve
the project until it has had an opportunity to review the staff report on the possi-
bility of rezoning in that area.
MOTION TO CONTINUE ITEM AND REQUEST REZONING REPORT
MSUC (Hyde/Scott) to continue this matter to the regular Agency meeting of September 3,
and ask for the rezoning report to come before the City Council in three weeks.
Chairman Hyde requested staff personally call the applicant to apologize for the delay,
explaining the seriousness of this matter involving a related study that may affect
his plans.
ITEM NO. 14 - RESOLUTION NO. 321 - APPROVING RESIDENTIAL LAND USE IN THE CENTRAL
COMMERCIAL DISTRICT OF SUBAREA 3 OF THE TOWN CENTRE
REDEVELOPMENT AREA AS PROPOSED FOR 521-525 THIRD
AVENUE BY AMALGAMATED CONSTRUCTION AND DEVELOPMENT
COMPANY
A proposal for the construction of an office/residential condominium complex at 521-
525 Third Avenue has been submitted by Mr. Anush Badii. The Planning Department is
recommending approval of a conditional use permit to the Planning Commission which
will meet August 12.
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Redevelopment Agency Meeting -6- August 6, 1981
Redevelopment Coordinator Zegler narrated a brief slide presentation on the project.
ANUSH BADII
AMALGAMATED CONSTRUCTION & DEVELOPMENT CO.
225 Broadway, Suite 1600
San Diego, CA 92101
Mr. Badii, the developer, described the architectural design features and the aqueduct
in particular.
RESOLUTION OFFERED by Member Scott, the reading of the text was waived by unanimous
consent, passed and adopted unanimously by those present.
MEMBERS' COMMENTS
Member Cox asked for the status of repainting of the streetlights and parking meters
on Third Avenue.
Mr. Desrochers explained that the new color, a darker shade of green, will be con-
sidered along with the complete plan for the second phase. The Design Review Board
suggested that all streetlights and parking meters be repainted the darker green.
Agency members' opinion will be solicited in a few months in this regard when the new
fixtures have arrived.
Member Scott suggested that the Council include the House of Munich, where the re-
painted fixtures are presently located, on their next tour.
In response to Chairman Hyde's question concerning demolition of the balance of
Third Avenue, Mr. Desrochers noted that staff is attempting to relocate the present
occupant of Arnold's Garage. Equipment sales have been held for the unoccupied
buildings on Third Avenue. Demolition is anticipated for the Bernes/Isham parcels
in January.
DIRECTOR'S COMMENTS
Executive Director Cole requested a Closed Session to discuss potential litigation.
MOTION TO HOLD CLOSED SESSION
MSUC (Cox/Hyde) to hold a Closed Session following tonight's meeting to discuss
potential litigation.
ADJOURNMENT at 8:12 p.m. to Closed Session and the meeting of August 20 at 4:00 p.m.
in the Council Conference Room.
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