HomeMy WebLinkAboutrda min 1985/08/27
MINUTES OF AN ADJOURNED REGULAR MEETING OF THE REDEVELOPMENT AGENCY
OF THE CITY OF CHULA VISTA, CALIFORNIA
Tuesday, August 27, 1985 Council Chambers
11:40 p.m. Public Services Building
ROLL CALL
MEMBERS PRESENT Chairman Cox, Members Malcolm, McCandliss,
Moore
MEMBERS ABSENT Scott
STAFF PRESENT Executive Director Goss, City Attorney
Harron, Assistant Community Development
Director Gustafson
ITEM NO. 1 STATUS OF RESIDENTIAL LOT 8
David Gustafson, Assistant Community Development Director
presented an update on the negotiations between the Agency and the
developer concerning the Agency's financial participation in the
92-unit residential project located within the Town Centre Focus
Area. He noted 3 proposals which have been made: (1 ) that the
Agency receive, in addition to the principal and interest, 15% of
the net cash available upon the sale or refinancing or term as
additional interest; (2) the Agency receives in addition to the
principal and interest a predetermined percentage of the gross
sales price as additional interest at the sale or refinancing or
term, according to a schedule; or (3) , which is the one being
recommended, in addition to the principal and interest, the Agency
receives a higher predetermined percentage of the gross sales
price.
Councilman Malcolm stated that he has previously been against the
developer in this particular parcel; however, he feels the City
should get a financially feasible project, and to work with the
developer in bringing in upper and middle class people into the
area. He will support the project on the condition that an
agreement comes back to the Agency for discussion so that he can
look it over and make sure the Agency is protected financially.
He has no problem wi th telling the developer, Mr. zogob, that the
Agency approves this "in concept" and have the final vote come
back to the Agency in a few weeks.
MSUC (Malcolm/McCandliss) to accept the report and the staff
recommendation - that the recommendation is to approve this "in
concept. " Staff to prepare an appropriate agreement.
Mr. Michael Cowett, representing the developer, explained the
proposal and the participation agreement noting the interest rate
is based on gross sales of the apartment project when sold rather
than a percentage of the profit. He feels it would be of greater
benefit to the City and would like to have the developer, staff,
and City Attorney get together and prepare the agreement based on
this concept so that it would be ready for final approval at the
Agency's September 5 meeting.
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Member Malcolm stated that he would like to negotiate with the
developer to put in a food market in the Town Centre area, adding
this could be done by using the land adjacent to the Seafood
Broiler, closing off the small access street, and providing
another level on the parking structure.
Member Moore expressed concern that a portion of the project units
would be required to house lower income households in order to
obtain tax-exempt financing, which might be counter to the
Agency's intent for this project. He asked that the subject be
addressed by staff when the agreement was returned.
CHAIRMAN'S REPORT
a. MSUC (Cox/Moore) to direct staff to come back with a status
report on the discussions with Caltrans on the traffic
improvements adjacent to the street property.
b. Cha i rman Cox noted there 1s asphalt which is 1/2" below
the existing roadway in front of Fuddrucker's and United
Artists Theatre (due to recent street repairs).
MSUC (Cox/Moore) for staff to check into this.
MEMBERS' COMMENTS
a. Member Moore discussed the parking structure signs which he
declared are poorly designed both internally and externally.
MSUC (Moore/Cox), for staff to review the signs, both
internally and externally into the parking structure and how
traffic can be better directed into that structure.
b. Member Malcolm noted that there is still a great deal of
trash in front of the Nautilus building, with weeds growing
almost two feet tall. He asked that the staff look into this.
c. Member Malcolm stated he called Acting City Manager Asmus
last week regarding a cash offer f rom a major hotel to build
on the bayfront. The staff wrote a letter back to the hotel
rejecting this offer. Member Malcolm said this should be a
decision of the Agency and not the staff. Acting City
Manager Asmus stated he is awaiting the return of the
Community Development Director to respond to this and will
report back to the Agency.
d. Member McCandliss noted the problem wi th the tractor trailers
parking under the overpass at I-805 and Otay Valley Road and
asked that staff take care of it.
Adjournment at 11:55 p.m. to Thursday, September 5, 1985, at 7 p.m.
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