HomeMy WebLinkAboutrda min 1986/02/11
MINUTES OF AN ADJOURNED REGULAR MEETING OF THE
REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA, CALIFORNIA
Tuesday, February 11, 1986 Council Chamber
9:20 p.m. Public Services Building
ROLL CALL
MEMBERS PRESENT Chairman Cox; Members Malcolm, Moore,
Scott, McCandliss
MEMBERS ABSENT None
STAFF PRESENT Acti ng Executi ve Di rector Asmus, Acting
Agency Attorney Gi 11, Assi stant Communi ty
Development Director Gustafson
1. REPORT: STATUS OF RESIDENTIAL LOT 8 DEVELOPMENT (Continued
from February 6, 1986)
On July 25, 1985, the Agency approved an amendment to the
_ Supplemental Disposition and Development Agreement (DDA) for the
Town Centre Focus Area regarding the scheduling of the improvement
of Lot 8. A revi sed schedul e of performance was incorporated in
the DDA to accommodate development of One Park, a 94-unit
residential rental development. This schedule has not been
adhered to, and a letter has been received from the developer
regarding that subject.
If the Agency were to exerci se the reverter clause in the DDA
pertaining to Lot 8, the Agency would have to repurchase Lot 8
from the developer for approximately $550,000.
In his written report, Community Development Director Desrochers
recommended the Agency di rect the Executi ve Di rector to return
with an amendment to the Supplemental DDA for the Town Centre
Focus Area revi s; ng the schedul e of performance for Lot 8. The
Project Area Committee endorsed this project on March 7, 1985, and
the Design Review Committee approved the project design and the
Ini ti al Study on August 15, 1985.
Chai rman Cox stated that by the next regul ar Redevelopment Agency
meeti ng, a determi nati on regardi ng fundi ng from 01 d Stone
Financial should be available.
MS (Cox/Moore) to conti nue thi s i tern to the fi rst Redevelopment
Agency meeting in March (March 6 at 7 p.m.).
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Redevelopment Agency Meeting - 2 - February 11, 1986
Mr. C. Michael Cowett, representing Centre City Associates,
di scussed the following: Old Stone Financial wi 11 be able to
provide a commitment two days after securing an appraisal; grading
plans will be obtained in 1-1/2 weeks; soil s work wi 11 begin
immediately upon receipt of grading permits; noted difference of
the construction start date between Schedule of Performance under
the Cooperative Agreement and the schedule in the DDA.
Member McCandliss expressed concern regarding financing for this
project and questioned the need for an Agency resolution to
exercise the reverter clause. In response, Acting Agency Attorney
Gi 11 advised that the resolution would be required.
Discussion followed concerni ng securing financing for the
project. Member McCandliss poi nted out if this item i s to be
continued, at that time the resolution should be brought back
regarding the reverter.
The motion to continue the item passed unanimously.
MS (McCandliss/Moore) a resolution exercising the reverter al so be
brought back for consideration on March 6.
Chairman Cox stated he opposed the motion because of the amount of
Ci ty and developer time and expense already spent on this
project. With a new developer, it would take at least another
year or two to get to this same point.
Member Scott pointed out he had previously voted against this
project. However, since the Agency is this far along with the
project, it would be i nequi tabl e to deny it. He suggested
supporting the project if it is anywhere near securing the
financial backing, and unless something traumatic occurs, the
Agency should not exercise the reverter clause.
Chairman Cox cautioned Mr. Cowett that pending disapproval/
approval by Old S to n e Financial or Bank of America for financing
of this project, thi s would be the final "go-around" for Centre
Ci ty Associ ates. In response, Mr. Cowett stated the developer is
proceeding with all construction and they expect to have something
that will satisfy the Agency on March 6.
Member Malcolm s ta te d he supported the motion to re t urn with a
resolution exercising the reverte r clause. He commented the
developer should be made to adhere to a performance guideline or
enter into a new agreement acknowledging if they don't perform
they will forfeit the property to the Redevelopment Agency.
The motion to bring back a resolution passed by the following vote:
AYES: McCandliss, Moore, Malcolm
NOES: Scott, Cox
ABSTAIN: None
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Redevelopment Agency Meeting - 3 - February 11, 1986
2. RESOLUTION AUTHORIZING THE LEE C. JOHNSON COMPANY TO
APPRAISE PROPERTY LOCATED AT 427-431 THIRD
AVENUE
At the Agency meeting of January 16, 1986, a presentation was made
concerning the potential redevelopment of the area along the east
side of Thi rd Avenue between IIGII Street and Alvarado Street. At
that time, the Agency authorized staff to obtain bids for the
apprai sal of the property located at 427-431 Third Avenue,
otherwise known as the 01 d Star-News building. Staff has
contacted several appraisers and requests authorization to enter
into a contract for the appraisal of this property.
Appraisal of the property located at 427-431 Third Avenue i s
estimated at $2,000. Funds are currently available in Account
990-9901-5201 for this purpose.
MSUC (Scott/Cox) to go into Closed Session (at the close of the
business meeting) for matters of eminent domain and possible
litigation.
Director's Report - None
Chairman's Report - None
Members' Comments
MSUC (Malcolm/Moore) to have a rep 0 rt back on the Disposition &
Development Agreement between HOI and the Redevelopment Agency and
on how they are performing.
The meeting recessed to Closed Session at 9:55 p.m. and reconvened
at 10:20 p.m.
(Councilman Scott left the meeting during Closed Session.)
2. RESOLUTION - AUTHORIZING THE LEE C. JOHNSON COMPANY TO
APPRAISE PROPERTY LOCATED AT 427-431 THIRD
AVENUE
MSC (Cox/Moore) to file the resolution. (Members Scott and
Malcolm out.)
MSC (Cox/Moore) to adjourn to Thursday, February 13, immediately
following the Council Conference (4 p.m.).
ADJOURNMENT AT 10: 28 p.m. to Thursday, February 13, 1986,
following the Council Conference and the regular Agency meeting on
Thursday, February 20, at 4 p.m.
A~ ~;.&nuM.b
Deputy City Clerk
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