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HomeMy WebLinkAboutRDA Packet 1997/10/07 \ ~f rer;"r" t"ct 1 am "ldec1cretln"orp~P"ty.;,,:," ~the e"'clo':c" b: "" , .r:! ¡;",et' posted Comel""' "j . t 3¡ tr;e ~~~ilC Sa;v:CO5 ¡)UUoin:' ;", ' ,;, ;".,l, 1,::11 Oil C 1 .. Tuesday, October 7, 1997 DI\Thæl~ß:LSIGNEDJX¡.",~ l~' '1 Council Chambers 4:00 p.m. Public Services Building (immediately following the City Council meeting) Joint Meeting of the RedeveloDment Agencv/Council of the Citv of Chula Vista CALL TO ORDER 1. ROLL CALL: Agency/Council Members Moot -' Padilla -' Rindone -, Salas -' and Chair/Mayor Horton - CONSENT CALENDAR ( Items 2 through 5 ) (Will be voted on immediately following the Council Consent Calendar during the City Council meeting) The staff recommendations regarding the following item listed under the Consent Calendar will be enacted by the Agency/Council by one motion without discussion unless an Agency/Council member, a member of the public or City staff requests that the item be pulled for discussion. If you wish to speak on one of these items, please fill out a "Request to Speak Form" available in the lobby and submit it to the Secretary of the Redevelopment Agency or the City Clerk prior to the meeting. Items pulled from the Consent Calendar will be discussed after Action Items, Items pulled by the public will be the first items of business, 2. APPROVAL OF MINUTES: September 16, 1997 3. a. RESOLUTION 1557 APPROVING PRELIMINARY PLAN FOR THE AMENDMENT TO THE TOWN CENTRE I REDEVELOPMENT PLAN--The Agency directed staff to proceed with amendments to the Bayfront and Town Centre I Redevelopment Plans to allow additional time for removal of blighting conditions and impediments that prohibit the Agency from completing its redevelopment goals and objectives in each Project Area. In addition, the Agency proposes to amend the Bayfront Redevelopment Plan to add approximately 145 acres of Port District property in order to facilitate redevelopment of these properties as well. Approval of the Preliminary Plans is the first step in the plan amendment process. Staff recommends approval of the resolutions. (Community Development Director) b. RESOLUTION 1558 APPROVING PRELIMINARY PLAN FOR THE AMENDMENT TO THE BA YFRONT REDEVELOPMENT PLAN 4. AGENCY APPROVING A PROFESSIONAL SERVICES AGREEMENT RESOLUTION 1559 WITH KEYSER MARSTON ASSOCIATES, INC. TO SERVE AS AND A MARKET ANALYST AND FINANCIAL FEASmILITY COUNCIL CONSULTANT TO THE CITY OF CHULA VISTA AND CHULA RESOLUTION 18791 VISTA REDEVELOPMENT AGENCY ON A PROJECT-BY- PROJECT BASIS--Until expiration of their contract, Keyser Marston Associates, Inc. had been the City's consultant for the last several years. On 7/2/97, staff sent requests for qualifications to 25 firms; 5 firms responded. A City Manager/Executive Director-approved panel reviewed the proposals and interviewed each firm. Based upon the panel's recommendation, staff recommends approval of the resolution. (Community Development Director) Agenda -2- October 7, 1997 5. RESOLUTION 1560 EXTENDING THE OWNER PARTICIPATION AGREEMENT WITH LAWRENCEM. AND STEPHEN p, CUSHMAN, DATED SEPTEMBER 1, 1992, FOR A PERIOD OF TWO YEARS-eOn 09/01/92, the Agency and owners of approximately 10 acres of property located at 517 Shinohara Lane entered into an Owner Participation Agreement. On 03/01/94, the Agreement was extended for two years; and then on 11/07/95, the agreement was extended for an additional two years. The Owners have graded the site but have not applied for building perntits due to adverse economic conditions impacting industrial development in the region, The owners are now requesting an extension until 10/17/99 in order to apply for building permits and start construction. Staff recommends approval of the resolution, (Community Development Director) * * * END OF CONSENT CALENDAR * * * ADJOURNMENT TO CITY COUNCIL MEETING At this time, the Redevelopment Agency will adjourn to the Council meeting, **********... ORAL COMMUNICATIONS This is an opportunity for the general public to address the Redevelopment Agency on any subject matter within the Agency's jurisdiction that is not an item on this agenda, (State law, however, generally prohibits the Redevelopment Agency from taking action on any issues not included on the posted agenda,) If you wish to address the Agency on such a subject, please complete the "Request to Speak Under Oral Communications Form" available in the lobby and submit it to the Secretary to the Redevelopment Agency or City Clerk prior to the meeting. Those who wish to speak, please give your name and address for record purposes andfollow up action. PUBLIC HEARINGS AND RELATED RESOLUTIONS AND ORDINANCES The following items have been advertised and/or posted as public hearings as required by law. If you wish to speak to any item, please fill out the "Request to Speak Form" available in the lobby and submit it to the Redevelopment Agency or the City Clerk prior to the meeting. 6. PUBLIC HEARING CONSIDERATION OF AN AMENDED AND RESTATED OWNER PARTICIPATION AGREEMENT WITH SCRIPPS HEALTH FOR THE EXPANSION OF HOSPITAL AND RELATED FACILITIES AT THE NORTHEAST CORNER OF "H" STREET AND FIFTH A VENUE-- Scripps has requested that this item be continued to the meeting of October 21, 1997, (Community Development Director) Agenda -3- October7,1997 ITEMS PULLED FROM THE CONSENT CALENDAR This is the time the Redevelopment Agency/City Council will discuss items which have been removed from the Consent Calendar, Agenda items pulled at the request of the public will be considered prior to those pulled by Agency/Council Members, OTHER BUSINESS 7. DIRECTOR'S REPORT(S) 8. CHAm'S REPORT(S) 9. AGENCY MEMBER COMMENTS ADJOURNMENT The meeting will adjourn to the Regular Redevelopment Agency Meeting on October 21, 1997 at 6:00 p,m., immediately following the City Council meeting, in the City Council Chambers, ....***... CLOSED SESSION Unless Agency Counsel, the Executive Director, or the Redevelopment Agency states otherwise at this time, the Agency will discuss and deliberate on the following item(s) of business which are permitted by law to be the subject of a closed session discussion, and which the Agency is advised should be discussed in closed session to best protect the interests of the City, The Agency is required by law to return to open session, issue any reports of.fi11!!l action taken in closed session, and the votes taken. However, due to the typical length of time taken up by closed sessions, the videotaping will be terminated at this point in order to save costs so that the Agency's return from closed session, reports of 1ËY!1 action taken, and adjournment will not be videotaped, Nevertheless, the report of final action taken will be recorded in the minutes which will be available in the Office of the Secretary to the Redevelopment Agency and the City Clerk's Office. 10. CONFERENCE WITH LEGAL COUNSEL REGARDING -Existin!!Liti!!ationPursuant to Government Code Section 54956.9 . Travis A. Reneau, et al. v. the Redevelopment Agency of the City of Chula Vista, et al. [M:IHOMEICOMMDEVIAGENDASll 0-07 -97 ,RDA] - - ' í MINUTES OF A REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA Tuesday, September 16, 1997 Council Chambers 6:07 p.m, Public Services Building CALL TO ORDER 1. ROLL CALL: PRESENT: Members: Moot, Padilla, Rindone, Salas, and Cbair Horton ABSENT: Members: None ALSO PRESENT: Assislanl Director, Sid W, Morris; City Attorney, John M. Kabeny; and City Clerk. Beverly A. Authelet. 2. APPROVAL OF MINUTES: August 19, 1997 MSUC (Salas/Horton) to approve the minutes of August 19, 1997. ORAL COMMUNICATIONS There were none, PUBLIC HEARINGS AND RELATED RESOLUTIONS AND ORDINANCES 3. PUBLIC HEARING: TO CONSIDER GRANTING CALIFORNIA MULTI-MODAL, INC. AND H,G. FENTON MATERIAL COMPANY A SPECIAL USE PERMIT, SUPS-96-06, TO CONTINUE OPERATING A TEMPORARY TRUCK TERMINAL/TRAILER STORAGE YARD AT 2451 FAIVRE STREET FOR A PERIOD OF TWO VEARS--The parcel is located in the Montgomery Community located in the Southwest Redevelopment area, The Environmental Review Coordinator has reviewed the project and has issued a Mitigated Negalive Declaration. Staff recommends approval of the resolulion, (Community Development Director) RESOLUTION 1556 ADOPTING MITIGATED NEGATIVE DECLARATION ISSUED ON IS-96- 08, AND APPROVING A SPECIAL USE PERMIT FOR A TRUCK TERMINAL/TRAILER STORAGE YARD AT 2451 FAIVRE STREET Member Moot stated that his law finn recently hired Rebecca Michaels as a partner. Her husband is employed by Fenton, so it would preclude bim from participating in Ihis matter under the FPPC rules. TheretiJre, he would be abstaining on the item, and he letì the dais. Martin Miller, Associate Planner, presenled the slaff report. He reviewed changes in the Resolution 1556. Staff received a letter from the applicant's attorney requesting a modification to the wording. Tberefore, we are deleting a once per month review in the remaining 15 months of a two year Use Permit. The first 9 months of this Use Permit, the mitigation monitor will be monitoring California Multi-Modal 10 insure that the mitigation measures for the mitigated negative declaration are implemenled. As the wording has been revised, there will not be inspections for the remaining 15 months unless called for by city staff. This varies from the recommendation of the plauning comntission which was that there be monitoring every month IÒr the entire 24 months, The applicant has concurred with these changes. Member Salas stated she has been interested in this item since she was on Ihe planning commission which was about a year ago, In reading the staff reporl, she did not see where in the time since she was on the planning commission cJ- ( Minutes September 16, 1997 Page 2 that the company has taken any active steps to clear up some of the issues that the planning comntission had, In particular, the problem of the dust. At the planning commission meeling, the company slaled they were spraying the dust down once every six months. The planning commission recommended that the company spray for the dust at least quarterly. She wanted to know if the company complied with that on their own since the matter was continued for two weeks, but actually we are reviewing it again atter almost a year. Mr. Miller responded that over the last year, staff has been to the site a number of times, California Multi-Modal's management has gone to great lengths to insure that the dust has been reduced to a point where there is no impact. At the August 13 planning comntission meeling, one of Ihe area residents did commend the company on their actions since that public hearing a year ago, because there was no generation of dust at this point. They are spraying magnesium chloride along the frontage of Faivre Street as well as on the area where they drive the trucks. Magnesium chloride is a salt-based substance which occurs naturally and is perfectly sate 10 spray and apply in the quantities needed to control the dust. Member Salas staled that the street narrows at the interseclion of Jacqua and Faivre, A year ago, the planning comntission talked about the company having to widen the street as one of the conditions of the Use Permit. Is this going to be required of them, Mr, Miller responded that this particular land use was originally approved in 1990, They requested an extension in 1993. As a part of that extension, there was a requirement tf)f dedication, widening, and construction of curb, gutter, and sidewalks from the engineering department. Fenton requested and received a deferral for three years until 1996. Since that time, the Main Sireet capilal improvement projecl has been underway and part of that project will have storm drain improvements coming down Main Street, Jacqua Street, and portions of Faivre Street generally in this area of the intersection, Siaff consulted with Fenton and CMI about this, and it was the general conclusion that rather than requiring the improvements to be construcled at this time, to have the work done concurrent with the storm drain project. Member Salas asked if there would be another application for an extension after this for CMI to conlinue operating at that parlicular location after two years, She did not want to see was a continual delay in their having to make these improvements because it is something which is not fair to the residents to have to put up with that. She felt we have been very lenient with this company, Mr. Marlin responded that the life span of this parlicular Use Pennil is Iwo years. At the end of the two year period, it becomes null and void, If they want 10 request continuance of this particular land use at Ihat localion, the zoning ordinance would require that both this parcel and the CMI parcel be combined in one larger special use permit for the entire operation of California Multi-Modal. This being the time and place as advertised, the public hearing was opened, Addressing Council was: . Paul A, Peterson, 530 "B" Sireet. No, 2300, San Diego, representing CMI. They were in favor of the staffs recommendation, There being no one else indicating a desire to speak, the public hearing was closed, RESOLUTION 1556 OFFERED BY MEMBER SALAS, headin~ waived, text read, passed and approved 4-0- 0-1 (Moot abstaining). .;J-")'" Minules September 16, 1997 Page 3 OTHER BUSINESS 4. DIRECTOR'S REPORT(S) - none 5. CHAIR'S REPORT(S) - none 6, AGENCY MEMBER COMMENTS Member Rindone felt that tbe advent of the dental office on the northeast corner of "E" Street and Fourtb Avenue could start the revitalization along that corridor, not only from Fourth and E, but all the way to Bank of America. He requested a simple status report as 10 where we were regarding the northern portion of Town Centre 1. ADJOURNMENT The meeting adjourned at 6:30 p.m. Respectfully submitled. Beverly A. Aulholet, CMC/ AAE Cily Clerk dl-.3 - . ,- REDEVELOPMENT AGENCY AGENDA STATEMENT Item .3 Meeting Date 10-07-97 ITEM TITLE: ~ RESOLUTION 1$$1 APPROVING PRELIMINARY PLAN FOR THE AMENDMENT TO THE TOWN CENTRE I REDEVElOPMENT PLAN ,) RESOLUTION /5$1 APPROVING PRELIMINARY PLAN FOR THE AMENDMENT TO THE BAYFRONT REDEVELOPMENT PLAN SUBMITTED BY: C.mm""i, D~.I.p~", Di.""~' REVIEWED BY: Executive Director JlJ ~ -- (4/5ths Vote: Yes- No_xJ BACKGROUND: Earlier this year, the City of Chula Vista Redevelopment Agency (Agency) requested that staff proceed with amendments to Redevelopment Plans for the Bayfront and Town Centre I Redevelopment Projects. The purpose of amending the existing Redevelopment Plans for these two project areas are to extend the life of the project area to allow additional time to remove blighting conditions and impediments that prohibit the Agency from completing its redevelopment program goals and objectives in each Project Area. In addition, the Agency is seeking to amend the Bayfront Redevelopment Plan to add approximately 145 acres of Port District property to the Project Area to facilitate the redevelopment of these properties as well. The first step in the plan amendment process is approval of the Preliminary Plans for the Bayfront and Town Centre project areas by the Planning Commission and the Redevelopment Agency. RECOMMENDATION: That the Agency adopt the resolution approving the Preliminary Plans for Amendment of the Bayfront and Town Centre I Redevelopment Plans. BOARDSICOMMISSIONS RECOMMENDATION: The Planning Commission approved the Preliminary Plans at their meeting of July 23, 1997 (Attachment B), and authorized transmission of the Preliminary Plans to the Agency. DISCUSSION: The California Community Redevelopment Law ("law") permits redevelopment agencies to amend adopted redevelopment plans, The Law sets forth a specific procedure for amending redevelopment plans, which includes the preparation of the various documents to substantiate the necessity and benefit of the proposed amendments. Upon the receipt and review of these documents, the Agency and City Council are to conduct ...I-I - - Page 2. Item ..3 Meeting Date 10-07-97 a noticed joint public hearing to receive public input. The entire plan amendment process takes approximately seven months to complete (see Flow Chart, Attachment C). The first step in the process to amend the Bayfront and Town Centre I Redevelopment Plans is the approval and adoption of Preliminary Plans for both amendments, The Planning Commission adopted the attached resolution which approves the Preliminary Plans for the amendments to the Bayfront and Town Centre I Redevelopment Plans at their meeting of July 23, 1997. It should be noted that, at the time Df adoption Df the amended RedevelDpment Plans, the Plans must be consistent with the City's General Plan. The Port District is currently reviewing a revision to the existing Chula Vista area Port Master Plan. If the Port adopts revisions tD the Master Plan (land use plan), the City's General Plan land Use Element will need tD be amended tD make the plans consistent. There are two ways Df accomplishing the General Plan Amendment: 1. Amend the RedevelDpment Plan and the General Plan tD be consistent with the new Master Plan after the Master Plan is adopted. 2. In anticipation Df the revision tD the Port Master Plan, the City could start a General Plan Amendment at this time. Then, the RedevelDpment Plan and the General Plan would be consistent with the revised Master Plan if the Port District adopts the proposed revision. City staff is also currently evaluating the possibility Df a modification tD the City's current BayfrDnt Specific Plan (land use plan) for industrial areas tD allow for some cDmmercialland uses. This could result in General Plan and local Coastal Program Amendments in conjunction with the adoption Df the amended RedevelDpment Plan. These issues are presented tD the Agency at this time for information Dnly. As proposed, the Agency would simultaneously undertake the Amendment to the Bayfront Redevelopment Plan and the Town Centre I Redevelopment Plan. Both amendments are discussed below. Note that both project areas have previously been amended four times. The first amendment to both plans occurred in 1979 when the two projects were merged for financial purposes. In 1986, both plans were amended to incorporate new time limits to enact eminent domain and incur debt. The third amendment was adopted in January, 1994 to amend for increment and bonded indebtedness limits. The fourth amendment occurred in November, 1994 to establish a time limit on the collection of tax increments, Amendment No.5 to the Bavfront Redevelopment Plan The proposed Amendment No.5 to the Bayfront Redevelopment Plan would accomplish the following: .3-.;1.. Page 3. Item .3 Meeting Date 10-07-97 1. Increase the size of the existing Project Area by incorporating approximately 145 acres of Port District territory, 2. Establish a new 12-year time period, commencing from the date of adoption of the Amendment, within which the Agency may initiate eminent domain proceedings on private property within the existing Redevelopment Project Area boundaries, 3. Extend the Agency's time frame to incur indebtedness with respect to the Existing Area from July 16, 1999 to January 1. 2004, 4. Extend the effectiveness of the Plan with respect to the existing Project Area boundaries from July 16, 1999 to July 16, 2014, 5. Extend the Agency's time frame to collect tax increment revenue with respect to the existing Redevelopment Project Area boundaries from July 16, 2009 to July 16, 2024, and 6. As necessary, modify the tax increment revenue in bonded debt financial limits and update other provisions of the Redevelopment Plan. The above amendments will provide the Agency with sufficient legal and financial means to eliminate identified blighting conditions and complete redevelopment activities within the Bayfront Redevelopment Project Area. Also, the addition of the 145 acres of Port District property, previously excluded from the Project Area, will enable the Agency to alleviate blighting conditions impacting these properties, while coordinating with overall redevelopment effort within the entire Bayfront area. Amendment No, 5 to the Town Centre I RedeveloDment Plan The proposed amendment to the Town Centre I Redevelopment Plan would encompass the following; 1. Establish a new 12-year time period within which the Agency may commence eminent domain activities within the Project Area, 2. Extend by approximately 2% years, the time frame within which the Agency may incur indebtedness on behalf of the Project, from July 6, 2001 to January 1. 2004, 3. Extend the effectiveness of the Redevelopment Plan from July 6, 2001 to July 6, 2016, 4. Extend the Agency's time frame to collect tax increment revenue from July 6, 2011 to July 6, 2026, and 5. As necessary, modify the tax increment revenue and bonded debt financial limit and update other provisions of the Redevelopment Plan. Without Amendment No.5, the Agency would need to finish all redevelopment activities in the Town Centre I Redevelopment Project Area within the next four years, This four.year time frame does not permit the Agency sufficient time to remove blighting conditions impeding redevelopment projects and programs, or ..,3.,3 Page 4, Item 3 Meeting Date 10-07-97 collect tax increment revenue. However, by extending these time limits, the proposed Amendment No.5 would provide the Agency with legal capability to remove persistent blight in the Project Area. Contents of the Preliminary Plan The contents of the Preliminary Plans are prescribed by Law. The Preliminary Plans include a description of the boundaries of the Project Areas, a description of the existing land uses, layout of the principal streets, and proposed population densities and building intensities, general objectives of the projects, as amended, a statement of conformity to the City's General Plan, and a discussion of the potential impacts of the projects to the surrounding neighborhoods. Approval of the Preliminary Plans does not connote final approval of either amendment. Approval of the amendments are scheduled to be considered by the City Council after the first of the year, following a joint City Council/Agency public hearing. By adopting the Preliminary Plans, the Planning Commission is only initiating the process to prepare the Amendments, and is not "approving" a project (i.e. the Amendments to the Redevelopment Plans) in context of Section 15352(a) of the Public Resources Code, Consequently, adoption of the Preliminary Plans does not require CEnA clearance. However, over the coming months, environmental documentation will be prepared, circulated, and certified by the Agency prior to its consideration of the Amended Redevelopment Plans. Conclusion Approval of the preliminary Plans initiates the process to amend the Bayfront/Town Centre I Redevelopment Plans. The amendments are necessary to enable the Agency to eliminate blight that continues to persist within the Project Areas, as well as physical and economic conditions that exist within the 145 acres of Port District property proposed to be added to the Bayfront Redevelopment Project Area. Over the next several months, the specific blighting conditions in the Project Areas and the proposed added area will be studied and documented. The findings of the remaining blighting conditions, along with an analysis of how the amendments will specifically alleviate these blighting condition will be presented to the Agency and City Council during the plan amendment process, Also, the Planning Commission will have another opportunity later this year to review the proposed amendments to the Redevelopment Plans to determine whether they are in conformance with the City's General Plan and to consider a recommendation to the City Council. FISCAL IMPACT: Amendment of the Bayfront Redevelopment Plan will extend the Agency's time frame to incur indebtedness from July 16, 1999 to January I, 2004 in the Bayfront, and from July 6, 2001 to January I, 2004 in Town Centre. The Amendment will also extend the Agency's time frame to collect tax increment revenues from July 16, 2009 to July 16, 2024 in the Bayfront, and from July 6, 201 I to July 6, 2026 in Town Centre. Based .3.t./ .. . . Page 5, Item 3 Meeting Date 10-07-97 upon the current $2.6 million in tax increments collected annually in both project areas (net of Housing Set- Aside), the Agency would collect an additional $39 million by extending the time period 15 years and assuming no increase in revenue from property sales and new development. Most of these funds are currently used to payoff the Bayfront Tax allocation bonds originally issued in 1979 and payable through 2024. These funds are also used to cover operational expenses and undertake projects that will eliminate identified conditions of blight. The Bayfront Plan proposes to add 145 acres (The Tidelands) to the Project Area. This area currently includes approximately 80 acres of vacant land which, when developed, will provide possessory interest tax revenues to the agency, and land lease revenue to the Port District. Finally, the amendment of the Redevelopment Plans offers the Agency the opportunity to increase the tax increment revenue and bonded indebtedness financial limitations should this be desirable. ATTACHMENTS A. locator Maps B - Planning Commission Minutes, 7/23/97 C - Flow Chart Ilkl H,\HOM~COMMOEV\STAFF,RE~O9,16,97IPPBFTCIIS'ptemb" 26. 199712,42pmll .!-:r \ City of Chula Vista Town m Redevelopment Areas Centre I ..ß-G. - - ,,- ATTACHMENT A - \~~ .",/~ /_;' ,,\~ \; s~" Q\~GO ? City of Chula Vista Bayfront Redevelopment ![j Redevelopment Areas Area J.. i - . .,.. ATTACHMENT B Planning Commission Minutes - 3 - July 23,1997 . Commissioner Aguilar asked why a portion of the parking lot was gated with an 8 foot iron rolling gate. Ms. Nevins indicated that the gated portion would most likely be for official vehicles and employee vehicles, and the ungated portion would be for visitor parking. Public Hearing Opened at 9:05 p.m. Gene Cipparone, Gene Cipparone Architects, 10525 Vista Sorento Parkway, Suite 120, San Diego, CA 9212, representing the owners of the project and also acting as design consultant for the INS addressed the Commission's concerns and comments. Mr. Cipparone indicated that the intended use is strictly for office, training, and warehouse use. One component of the project is a 12,000 sf area that has no lighting or heat and is designated for storage offorms and office suppl ies, This faci lity wi II be the new headquarters and public information office, which currently is housed in trailer buildings in Otay Mesa. Mr. Cipparone further stated that there in no intent to harbor, process, maintain, or bring any illegal immigrants into this facility. Another component to this project is a training area which will be used as an on-going education and training facility for agents. The gated parking area will serve to protect official government vehicles, and also to maintain a certain level of security to other federal agency personnel. Public Hearing Closed at 9:15 p.m. MSC (Willett/O'Neill) 6-0-1 (Tarantino excused) that the Planning Commission approve staff's recommendation to adopt Resolution PCC-97-39 recommending that the City Council approve the project in accordance with the findings and subject to the conditions in the draft Council Resolution. 2. Preliminary Plans for Bayfront/Town Centre I Redevelopment Plan Amendments Background: Fred Kassman, Redevelopment Coordinator reported that this past Spring, the Redevelopment Agency and City Council held workshops on both the Bayfront and Town Centre I Redevelopment Project Areas to determine the current status, what work was remaining, and what future development potential these areas had. It was clear from discussions at the workshops that both redevelopment project areas had not fulfilled their promise, and required further efforts to remove blighting conditions and continue redevelopment. There are a number of major projects which remain to be completed in both the Bayfront and Town Centre areas. The Bayfront Redevelopment Project Area, which was approved in 1974 expires in 1999, and the Town Centre I Redevelopment Project Area approved in 1976 expires in 2001. Clearly, this is not enough time to complete the activities and generate the funding to J-V' - - Planning Commission Minutes - 4 - July 23,1997 provide the public improvements. Therefore, staff is proposing to amend the Redevelopment Plans, primarily to extend the time limits which are now allowed under the current redevelopment law, The extended time for the Bayfront would be to the year 2014, and 2016 for the Town Centre I project area. The amendments would also extend the time limits to incur and repay debt and they would also extend the time limits for the use of the power of eminent domain condemnation in order acquire properties which are necessary to remove blight in the project areas. In addition, Amendment No.5 to the Bayfront Redevelopment Plan proposes to increase the size by incorporating approximately 145 acres of Port District territory in an effort to generate new development in those areas other than in the mid-bayfront, which has been the focus of activity in the past 15 to 20 years, with limited results. Mr. Kassman further stated that the Redevelopment Plan process requires that this action be brought to the Planning Commission in the form of a Preliminary Plan which includes: a description of the project boundaries contains a statement regarding land use, population densities, street layouts, building densities and standards a description of impacts on the area residents for the Town Centre I Redevelopment Area, The Preliminary Plan is prepared in conformance with State law. Once it is reviewed by the Planning Commission, it will be forwarded on to the Redevelopment Agency, who in turn will then notify the State agencies for further processing and preparation of the Amended Redevelopment Plan. The Amended Plan will come back to the Planning Commission, and Redevelopment Agency, The process requires compliance with CEQA, public hearings and notifications in accordance with the law. The Redevelopment Agency has hired a consultant to assist in the preparation of these documents Commission Discussion: Vice Chair Willett distributed for the Commission's information, copies of a Waterfront Workshop that took place in March 27, 1997 outlining what staff has been involved with, In addition, Mr. Willett reported that the BayfTont Coalition Committee fully supports staff's efforts and the development of the BayfTont area. Commissioner Thomas inquired about the 12-year eminent domain period under the proposed amendment to the Town Centre I Redevelopment Plan. Kathy Rosenow, Consultant, responded that the law allows a maximum of 12 years fTom the time the project area is adopted, however, it may be extended by subsequent amendments. Chair Davis clarified that this item was being considered by the Planning Commission to start the approval process of the Preliminary Plans and to move this forward to the Redevelopment Agency.. Kathy Rosenow, Consultant, reaffirmed that approval of the Preliminary Plan by the ~ -, - - Planning Commission Minutes - 5 - July 23,1997 Redevelopment Agency sets in motion the public notification process. Commissioner Ray inquired what time frame the City would be looking at for the extension of "H" Street west of 1-5. Fred Kassman responded that there are a couple of major issues associated with the extension. Currently, there is a proposal for a large manufacturing facility to be located within the Bayfront Redevelopment area, The Port District recently selected a preferred alternative for the alignment of "H" Street to go through Rohr Ind, property to Sandpiper Way. That study will require further engineering and CEQA analysis, which will probably entail at least I year. The other major issue is funding of the roadway, which is currently estimated at a cost of approximately 6 million dollars. It is anticipated that new development will generate new tax revenues which would be necessary to fund the extension of "H" Street. The City needs the promise of new development to devise a financing plan for the road, To finance the road without new development may be very difficult, unless the Port District is willing to contribute a major part of the Capital Improvement Funds which are allocated to the City of Chula Vista. MSC (Willett/Thomas) 6-0-1 (Tarantino excused) that the Planning Commission adopt the resolution approving: I) a Preliminary Plan to Bayfront Redevelopment Plan, and 2) a Preliminary Plan to amend the Town Centre I Redevelopment Plan. 3. PUBLIC HEARING: Continued Public Hearing SUPS-96-06; Request for a special use permit to continue operating a truck terminal/trailer storage yard at 2451 Faivre Street, California Multi-Modal, Inc. And H.G. Fenton Material Company. Commissioner O'Neill stepped down from the dais due to a conflict of interest, having worked with CM!'s insurance carrier this past year. Background: Martin Miller, Associate Planner, reported that the applicants (H.G. Fenton Company and California Multi-Modal, Inc.) have been reviewing the mitigated Negative Declaration for IS-96-08 and the Agency Resolution of Approval for SUPS 96-08. CMI informed staff this afternoon that specific concerns regarding mitigation measures of the Mitigated Negative Declarations and conditions in the Resolution of Approval. Mr, Miller indicated that staff has not yet had time to review these items of concern, and is therefore recommending that the Planning Commission: open Public Hearing public testimony be taken from the applicants and from the area residents, and Public Hearing be continued to the next scheduled Planning Commission meeting on August 13, 1997 Public Hearing Opened. ..3 - 10 EXHIBIT "A" PRELIMINARY PLAN FOR THE AMENDMENT NO. S TO THE TOWN CJìNTllli 1 REDEVELOPMENT PLAN ~ _I ( """""-"""tIP" ¿O'd 100'oN 9£:8 ¿6, 51 9n1:J 817¿,-9£8-17,¿:QI 'JNI '9S~ - - - T - PRELIMINARY PLAN FOR AMENDMENT NO, 5 TO THE TOWN CENTRE I REDEVELOPMENT PLAN I. INTRODUCTION This Is the Preliminary Plan ("Pn:liminary Plan") for the proposed amendment to the adopted Redevelopment Plan ("Existing Plan") tor the Town Centre I Redevelopment Project ("Project"). The City ofChula ViRta Redevelopment Agency ("Agency") desires to undertake an an1endment to the Existing Plan ("Amendment") pursuant to the Callfomia Community Redevelopment Law ("Law") to: (1) extend tbe time periods within which the Agency may commence eminent domain proceedings, incur debt, undertake redevelopment ootivities, and collect tax increment revenue, and (2) as ncccs.qary, modify tax increment revenue and bonded debt tinancia1limits and update other provisions 01' the Existing Plan. If adopted, the Amended Redevelopment Plan ("Amended Plan") will supersede and replace the EKisting Plan, and will guide all future redevelc) '!ment activities, projects, and programs in the Bayfront Redevelopment Project Area ("Project Area"). The Amendment, however, will not affect the Project's existing obligations or indubtedncss, The Existing Plan was originally adopted by the City Council by Ordinance No. 1691 on July 6, 1976. Since this action, the Existing Plan hIlS been amended on tour separate occasions. On July 17, 1979, the City Couneiladopted Ordinance No. 1872 that merged the fltllUlcla1 provisions of the Existing Plan with the ßayfront Redevelopment Plan. On April 22, 1986, the City Council adopted Ordinance No. 2146 that amended the EKisting Plan for a second time by enacting new time limits to cnact eminent domain and incur debt, while establishing a ewnulative tax increment limit. Amendment No,:} was adopted by the City Council on January 4, 1994 by Ordinance No. 2585. when the City Couneil amended the tax increment and bonded indebtedness limits tor the Project, The tburth amendment to the Existing Plan occurred on N(wember 8, Rn.."""'" Spt'mrtlt a-Al,.e. J -I'¿ Cltula VIo/a "'-'P- Ag"'Q/ .l1l1y,1997 Tow" Cm/..l Ammdmelll No. $ . p..u",¡IUt'1 PItm 1 80'd £~O.oN ~~:9~ ¿6, 10 DO 817¿~-9£8-17~¿:aI . JNI '98<:1 . - . ,- 1994, when the City Council adopted Ordinance No, 2608 that established 11 time limit on the collection of tax increment. AB proposed. the Amendment would correct constraining provisions of the llKisting Plan that inhibit the Agency's ability to complete its redevelopment program in the Project Area. This Preliminary Plan has been prepared in accordance with Section 33324 of the Law, which states that a preliminary plan shouJd: (11) describe the boundaries oflbe project area; (b) contain a general statement of land uses, layout of principal streets, population densities, and building intensities and standards proposed as the basis for the redevelopment of the project alCll; (c) show how the purpose of the Law would be attained as the basis of redevelopment; (d) 3hl,)w lhat tOO proposed redevelopment Is consistent with the community's general plan; and (e) describe, generally, the impact of the project upon the alCll's residents and upon the surrounding neighborhoods. 11. PRO,w..cr AREA LOCATION AND DESCRIPTION The Project Area is located in the City of Chull1 Vista ("City"), San Diego County, Califomill. Situated along the San Diego nay in southwebiem San Diego County, the City is adjoined by the City of National City to the north, the City of SIIt1 Diego to the south, the San Diego Bay to the west, and unincorporated San Diego County to the east. The City was Inc(lrpor,¡ted in 1911 and is approxiJnatc:ly 32,066 acres in size. R.....- ,~k (¡""up, 'ftc. J -1.3 Chu/a Ylltall_NlII JIIIJUflÁJlMQI Jø(y, 1!I97 TøIooft Cøftlrol ~-'" N". !l- IWSlHllfIlr3Il'IdII 2 GO'd £!O'ON !!:9! ¿G. W DO S17n-9£S-ln¿:QI . 3tH . 9S~ - - The Project Area is located at the City's center along Tlúrd AVI¡\nue, The Project Area is generally bounded by E Str""t to lhe north, I Street to the south, 1).,1 Mar Avenue to the ell8l, and Fourth Avenue to the wesl The Project Are.! is 138,54 acres in size, and constitutes approximately 0.4% of th" total area of the City, The primary land uses within the Project Area are commercial, public, and residential, The boundaries of the Project Area are depicted on Exhibit 1, III. GENERAl. STATEMENT OF PROPOSED PLANNING ELEMENTS A. LAN ) TJSRQ The land uses pennltted in the !>roject Area shall be in confotT!lance with the City General Pilln (the "Genera! Plan"), the Zoning OrtIinance of the City, and all other slale and local building codes, guidelines, or specific plllllS as they now exist or are hereafter amended. D. GENERAL STATEMENT 011 PROPOSED I,A YOUr Of PRINCIPAL S1'llliHTS The Project Aroa is served by II system of local public slœets. The principal streets within lhe. Project Area inclwle, but are not limited 10, the following: Del Mar Avenue G Street E Street H Street F Street Tlûrd Avenue Fourth Avenue The layout of principal streets and tho!;e that may be developed in the future shall confonn to the CiroulatÌlm Element of the Oenc:ml Plan. as currently adopted or lIS hereafter amended. EKisting streets within the Project Area may hI! cloSlld, ..$ -1'1 R........",.\'p'wrt!kGrDup,IIm 0"1,, V/.rI# lftlJk"D~ .q.nq J..fy, 1997 'IIJ.... ~ltln I Ammd"",.' ND. S - Protimlniuy Pt.,1t ] 01'd £10'ON ~1:91 "'6, TO DO 817n-9£8-171¿: GI ')NI '9S~ widened or otherwise modified, and additional streets may be created WI ne<»Jl>ary tOr propcr pedcstrian and/or vchicular circulation provided they are consistent with the Genel'ld Plan, C, GRNRRAf, ST A TRMRNT OF PROPOSRD POPUT ,A TION DENSITIES PermiUed densities within the Project Area shall contònn to the General Plan, as currently adopted or as hereafter amended, and applicable mdinances and local codes, D. GENERAL STATEMENT OF PROPOS~D BUll-DING IN1'ENSITIES Building intensity shall be controlled by limits on any or all of the following: (I) the percentage of the building site covered by the building (land covemge); (2) the ratio of the total floor area for all stories of the building to the area of the building sire (!loor area roltio)¡ (3) Ute size and location or the buildable urea on the building sile; and (4) the heights of the building. The limits on building ir¡¡",nlity shall be established in accordance with tile provisions of the Genem Plan, Zoning Ordinance, and local codes and ordinances, as thew now exIst or are hereafter amended, The land coverage, sizes III1d location of the buildable areas will be limited, as is fi:asible and appropriate, to provide adequate open space and parking, E. GENERAL STATEMENT OF PROPOSED BUILDING STANDARDS Building standards shall conform to the adopted General Plan. and the building requirements of a11 applicable state and local codes and ordinances. The Agency may CO\1Jlicler more rcstricûve requirements and may iocorporate such requirements into the Amendcd Plan in the interest of the public helllth, sMety and welfare, However, morc restrictive requirements are not contemplated at tbis time. Rð....ð",S¡u- Gmap, fnc. ..3 - /S- Cltuld Vlna_~A/lt/k!JI July,l997 Tð",n CÐttn 1 A_it_lit NtJ. :I - Pntt_", Plan 4 11'd £10'oN £1:91 ¿6, 10 1JO Bvl1-9£B-v1¿:aI 'JNI '9S~ IV. ATTAINMENT 0«' THE PURPOSES 0«' TIlE REDEVELOPMENT LAW The purposes of the Law are to protect and promote the sound development and redevelopment of economically and physically deficient areas, and to protect the general welfare of the Inhabitants ot' the communities in which they dwell. The Amendmcnt would allow the Agency to morc comprchcns1vely attain theae purposes within the Project Area by expanding the Agency's financial and legal authorities to alleviate condiûons or blight. revitalir.e commercial area." constrnet additional public improvement IUld fucilities, IUld develop affordable housing, V. CONFORMANCE TO THE GENERAL PLAN OF THE CITY This Preliminary Plan confonns to the OeneroÛ Plan, and proposes a consistent pattern of land uses and ineludes all highways and public tàcilitíes us indicated by the General Plan. us it now exÌBt~ or is herealler amended. VI. GENERAl, IMPACT OF THE PROPOSED PROJECl' UPON THE RESIDENTS OF THE PROJECT AREA AND SURROUNDING NEIGHBORHOODS AB amended. the impact of the Project will generully be in tho urea:¡ of improved public infrastructure, f¡1cllities and services, improved living envlftmment, Increa.'Ied and Improved supply ofalTordable housing, and enhanced employment and econ()mie activity. Redevelopment ¡u;tivitíes within the Project Area will provide for the improvement, development, replanning, redesign, reconstruction and rehabilitation of the aœa and the provision of commercial. industrial, residential, public and other structures and open spaces in the interest of the general welfare of the community, It is also anticipated that redevelopment activities orchestrated by the Agency will provide additional employment opportunities and enhance the environmental quality of the community. Thus, thC benetits ot' the Project affect the immediate and long-range economic viability oflbe entire City. ..s-I(. R...u".. .\)--1< Group,lue. Clout.. I'l.... R_..",...u Á fÐl"" July, 1997 71>w" a."". I A_d..._¡ NÐ.. S - Pn/imÎlull'y Plun 5 ~1'd £10'oN £1:91 ¿6, 10 DO B17¿1-9£B-171¿:a! . JNI '9S;J - - ,,- The Amended Plan will bc implemented as sufficient fmancia1 rcSOUlCCS are available. Redevelopment projects are intended to be phased over a period of' time, with only a limited amount of direct activity at anyone time, Redevelopment projects will bl: subject to future review and IIpprovw by thl: City Council, Agency, Planning Commission and other appropriate bodies after input has been solicited from ¡¡fleeted residents, property owners and other intcœstcd parnes. R......."", lVl'.vøed' (;_Inc. ...3-/1 CllIIla nv", ._ðJl-Ag.no/ l"I¡,/W7 TN" OmtN 1,4_11..11/ Nt . $ - PnOm/IM'1 PItøt 6 £1'd £10'ON v1:91 ¿5,1O DO 8v¿J-9£8-t71¿: aI 'JNI '9S~ -. .,- EXHIBIT "A" PRELIMINARY PLAN FOR THB AMENDMENT NO.5 TO THE BA YFRONT REDliVliLOPMENT PLAN .J. - I~ """"""-....,.. vO'd 100.oN v£:8 ¿6.Sl9n!:J 8v¿1-9£8-vl¿:QI 'JNI '9S~ - - PRELIMINARY PLAN fOR AMENDMENT NO.5 TO THE BA \'fRONT REDEVELOPMENT PLAN I. rNTRODUCTION This is the Prelimiruuy Plan ("Preliminary Plan") lor the proposed amendment to the:: adopted Redevelopment Plan ("Existing Plan") for tha Bayfront Redevelopment Project ("Projeet"). The City of Chota Vi~ta Redevelopment Agency ("i\gcncy") desires to undertake an amendment to the Existing Plan ("Amendment") pursuant to the Califomia Community Redevelopment Law C'LIlw") to: (I) increase the size of the existing Bayfront Redevelopment Project Area ("Existing Area") by incorporating approximately 145 acres oftcrritory ("Added Area'), (2) extend the time periods within which the Agency may commence eminent domain proceedings (with respect to the Existing Area only), incur debt, undertake redevelopment activities, and collect tax increment revenue, and (3) as neec:58IU:Y, modify tax increment revenue and bonded debt financial limits and update other provisions of the Existing Plan. It' adopted, the Amended Redevelopment Plm ("Amended Plan") will supersede and repilice the Existing Plan, and will guide all future redevelopment activities, projects, IInd programs In the Bayfront Redevelopment Project Area ("Project Area'), The Amendment, however, will not affect the Project's existing obligations or indebtedness, Tho Existing Plan WIIS originully adopted by the City Council by Ordiœncc No. 1541 on July 16, 1974. Since this action, the Existing Plan has been amended on four separate occasions, On July 17, 1979, the City Council adopted Ordinance No. 1872 that merged the financial pmvillions of the ExistÌl11!1 Plan with tho 'l'own Centre I Redevelopment Plan. On April 22, 1986, the City Council adopted Ordinance No. 2146 that amended the Existing Plan fur a second time by elUlCting ncw time limits to enact eminent domain IUld incur debt, while establishing a oumullltive tax incremenllímit. Amendmont No.3 was adopted by the City Council on JIIllUIIrY 4, 1994 by Ordinance No. 258S, when the City Council amended the tax increment and bonded R....."", illp""'!d GM"J>, 1- ..3-1' Chu/ø V/s'la .""'øpmÐ>I ,tgMq July, 1997 ..",.,"', A......- No. 5 - Pn/Jminmy I'løn t ~O'd £,O'ON ¿O:g, ¿6, 10 DO Bvl1-9£B-I7,¿:QI 'JNI '9S~ - - "" - indebtedness limits for the Projeçt, The fourth amendment to the Rxisting Plan occurred on November 8, 1994, when the City Council adopted Ordinance No. 2608 that established a time tlmit on the collection of tax increment. As proposed, the Amendment would correct constraining provisions of the Existing Plan that inhibit the Agency's ability to complete its redevelopment program in the Existing Area, Also. by incorporating the proposed Added Area into the Project Area, the Amendment will pennit the Agency to correct physical and economic blighting conditions throughout the entire Bayfront areu. This Preliminary Plan has been prepared in accordance with Section 33324 of the Law. which states that a prcliminmy plan should: (a) describe the boundaries of the project area; (b) o;ontain a general statement of land uses, Ia~out of prine~al streets, population densities, and building intensitics and stan ards propose as the basis for the redevelopment oCtile project urea; (c) show how the purpose oC the Law would be atlaim:d iUI the bllBis of redevelopment; «I) show that the proposed redevelopment Is consistent with the community's general plan; and (e) describe, generally, the Impact or tile project upon the area's residents and upon the surrounding neighborhoods. II. PROJECT AREA LOCATION AND DESCRIPTION The Project Area is located in the City of Chula Vista ("City"), San Dieb'Q County, California. Situated along the Sun Diego Bay in southwestern San Diego County, the City is adjoined by the City of National City to the north, the City of San Diego to the south, the San Diego Day to the R.....o.. Spe.m:olc Group, Iøc. J' -,j,D Clrut. Jllr¡IMIlItI/JtH/_oJ ""III!JI JulJ!,1997 Blly/MIII A_d""'lIt No. j - Prot/"'¡no'7 Pltm 2 £O'd £.O'ON LO'9. L6. 10 DO 817l1-9£8-17.¿:QI ':INI '9S~ . - . . west, and unincorporated 8WI Diego County to the ewrt. The City WIUI incorporated in 1911 and is approximately 32,066 acres in size. The Rxisling Area is located on the west side of the City, and is generally bounded by Interstate S to the cast, the City limits to the north, and L Street on the south, and the San Diego Bay and Sun Diego Unified Port District ("Port District") properties to the west. TIle Existing Area is 637 acres in size, and consûtutes approximately 2,0% of the total area of the City. The primary existing land uses within the ExÎ5ting Area ate industrlW and commcrcilli. AB proposed, the Added Area would incorporate the Port District properties and fully extend the Project Area boundaries to the San Diego Bay. The Added Area is bounded by the Existing Area to the east WId north, and the San Diego Bay to the south and wcst. The Added Area encompasses approximately 145 acres, or 0,5% ot' the City, If the Amended Plan is adopted, the Project Area would be comprised of bolh the Existing and the Added Areas, and would total approximately 782 acres. ThI! boundaries of the Project Area, including separ.lle designations lor both the Existing and Added Areas, are depicted on ExhIbit 1. III. (~ENERAL STATEMENT OF PROPOSED PLANNING ELEMENTS A. LAND USES The land uses pcrmitted in the Project Ate8 shall be in conformance with the City General Plan (the "Generul P111n'1, the Local Coastal Program, the Port Uistriet's Master Plan, th~ Zoning Ordinance of the City, and all other state and local building codes, guidelines, or specific plans as they now exist or are herealWr amended. 1l0000"",S Ht'i/H:tk aMup, fftol ~-.:l.' CIrø1.. V'BIA BtdøwdOþllMlU Af"'(! ! .TU/y, 1997 BtlJlfrunt Amerrd...., Nt>. S - htllmJlIIll'JI PIðn 3 vO'd £~O'oN 80:9~ ¿6, IO DO 817¿~-9£8-v~¿:al . JNI '9S~ . . . . 1\, GENERAL STA'r~MENT OF PROPOSED LAYOUT OF PRINCIPAL STREETS The Project Area is served by a system of locul public Slœf;!lS, and Intf;!t'S\atf;! 5 connecting the Projc:et Aæa to the ¡¡reater metropolitan region, The principal streets witlùn thë Project Area includf;!, but III'e not linùted to, the tullowing: Bay Boulevard Laaoon Drive G Street Marina t'ari<way Gunpowder Point Drive Sandpiper Way J Street The layout of principal ~treet~ and those that may be developed in the future shall cotiform to the Circulation Element of the General Plan and the Local Coastal Program, as currently adopted or as hereafter amended, ExistJng streets within the Project Area may be closed, widened or otherwise modified, and additional streets may be created as necessary for proper pedestrian and/or vehicular circulation provided they are consistent with the General Plan and Local Coastal Program, C. GENRRAI, STATEMENT OF PROPOSED POPULATION DENSITIES Permitted densities within tho Project Area 8ha1l conform to the General Plan and J ,ocal Coutal Program, as currently adopted or as hereafter amended, and applicable ordinances and local codes. U. GENERAl, ST A TEMHNT m;' PROPOSED BUILDING INTENSITIES Building intensity shall be conlrolled by limits on any or all of the following: (1) tllC perçentage of the building site covered by the building (land covet"olge); (2) the ratio of the total floor area for all stories of the building to the area of the building site (floor an:a ratio); (3) the IlÎze and location ofthc buildable area on the building site; and (4) the heights of the building. The limits on building intensity shall ~ estnhli~hed in accordance with the provisions of the General Plan, l.ocI11 COWItal Program, Zoning Ordinance, and loClll codes and ordinances, R.....".. ,Yp.."""" Croøp,lnc. .J - ,J. -.. Clull" Vl.", R_oul"f'l"<nt Ag.",:y Jllty, 1997 BIIJIF""" A_d_-/ Nn.. $ - /'nllmi1Hn7 PImr " SO'd £10'ON 60:91 ¿6, to DO 817¿1-9£8-171¿:GI .JNI '9S~ - - .,,- ¡ Ihey now exist or are hercaftor amended. The land coverage, sizes and location of the buildableæeas will be !irnited, as b feasible and appropriate, to provide adequate open space and parking, E. GENERAL STATEMENT OF PROPOSED BUILDING STANDARDS Ouilding standards shall enntorm to Iho adopted Genordl Plan and Ihe I ,neal Coastal Progr.am, and the building requirements of all applicable stale and local codes and ordinances. The Agency may consIder more restrictive requirements and may incorporate such requirements into the Amended Plan in the interest of the public health, safety and weltàre. However, more restrictive requirements are not contemplated at this time. IV. ATTAINMENT OF THE PURPOSES OF TIlE REDEVELOPMENT LAW Tho purposes of the Law are to protect and promote the sound development and redevelopment of economically and physically deflciOl1t areas, and to proleet the general welfare of tho inhabitants of the communities in wlùch they dwell. Oy incorporating the Added Area into the Project Area, the Agency ClUJ' employ the tools of redevelopment to embark on a tnorough econnmic development progmm to remove Impediments to dewlopment, correct Incompatible and noncon!onning land uses, and redesign obsolete buildings. Also. the Amendment would allow lite Agcncy to more comprehensively attain these purposes within the entire Project Area by expanding tho Agen<.:y's financial and legal authorities to alleviate conditions of blight, I1:Ivitali:r.c commercial areas, construct additional public improvement and facilities, and develop ¡¡J1ordable housing. V. CONFORMANCK 1'0 THE GENERAL PLAN OF THE CITY t1ûs Preliminary Plan conformS to the General Plan, and proposes Ii consistent pattern of land uses and Includes all highways and public facilities as indicated by the General Plan, 8S it now exists or is hereafter amended. R.......... .'I{,,-_t Group. 11m J-';¿!j ClUItø JIIotllllMlo-- Ag...", Jøly, 1997 BII1frøIflAmenrl"""" N(J, $. ,...0l1li." PItm ~ 90'd £~O'oN 60:9~ ¿6, ~O DO 817n-9£8-17~¿:aI 'JNI '9S~ - - VI. GENERAL IMPA(."l' OF TOE PROPOSED PROJECl' UPON THE RESIDENTS OF THE PROJECT AREA AND SURROUNDING NEIGHBORHOODS As amended. the impact of the Project will generally be in the aICaS of improved public infrastructure, facilities and services. improved living environment, increased and improved supply of affordable housing, and enhanced employment and economie activity. Redevelopment IIctlvltie~ within the Project Area will provide for the Improvement., development, replanning, redesign, reCQnstruction ¡md rehabilitation of the atea and the provision of commercial, industrial, residential, public and other structures and open ,'P1ICeS In the interest of the general welfare of the community. It is also anticipated that redevelopment activities orches(rated by the Agency will provide additional employment opportunities and enhanee the environmental quality of the community, Thus, the benefits of the Project affect the immediate and long-range economic viability oftbe entire City. The Amended Plan will be implemented as sufficient fl1UU1cial resources are available, Redewlopment projects arc intended to be phased over II period of time, with only II limited IID1OLlnt of direct activity at anyone time. Redevelopment projects will b,e subject to future review and approval by the City COUltCn, Agency, PlIuUling Commission and other appropriate bodies after input ho., been solicited Û'om affected residents, property owners and other interested parties, ..3-.2-Ý -"""'o,,~,,_"k OI'OU(I, 1ft" CllUla I1tIIa --"l"""'" Ag.ft.,. JIlty, 1'J97 BIIY/NIU AmtttId_ftt Na. J - PrttlitftÛfJJ17 Pla" 6 ¿O'd £to"ON Ot:9t ¿6. to DO 817¿t-9£8-17t¿:QI "JNI '9S~ ¡Igllt ATTACHMENT C I "gh ~ [ill]1 ~ 101 ¡ -r--I ~ U ¡h 'II : J : ~ . I§J 0 ~ li , ~ ~ u ~ ! I' a ~~ ~ ¡<¡ '-Ióo ~ 01 £ æ£ æ 0 0... ¡Ii ~ ~ ~~ ~- g¡ ~u ~ ~ § ~ ~ § ~ Z -' --"_O_--"'~ j 0 ~ - 8 I- . ~ ^ : ";: ...... . 1\' 0 "I': ,- !~! ". ~ 1'- ¡ [E] . ,.... 8 ¡ ¡ : ' ! I '". 1-1 '1! ~! ¡ ~ .A" !!¡ ! A . ~ ~ ¡Ii' - J ~ .A" <Ò. i!i ~ ~ ~ ~ J~ ~ ~ ~~ .A' ¡II 00, ~ ~ ~ 11\! I! &i!i ,~ 1 (/) . I- Î Ii ~ i u ^ g~ ~ ~¡ : J! * 1'-\ !h . ~ 0 Iii [J° ~ ~ .n I! li ^ I! !~ " ...... î ~ 0 .¿ I- !" t;\ j Z rp ~ ~ Ll'J,g ~ ^ w tL. ffil j 0... ÙU' 9 .", h ~ 1 ~ ~I: ~ > 18: oJ; , : ~ H ,11, : ~ ~ ¡ .!¡ : 0 i~ lit g ............. LLJ H !I¡Jf ! 0::: . iÌJ!>..3 - ,J..~ ¡ RESOLUTION NO, I::rS1 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA APPROVING A PRELIMINARY PLAN FOR THE AMENDMENT TO THE TOWN CENTRE I REDEVELOPMENT PLAN WHEREAS. the City Council of the City of Chula Vista ("City Council") adopted Ordinance No. 1691 on July 6, 1976, approving and establishing the Redevelopment Plan for the Town Centre I Redevelopment Project ("Project"). and the City Council has since amended said Redevelopment Plan on July 17, 1979 by Ordinance No. 1872, on April 22, 1986 by Ordinance No. 2146, on January 4, 1994 by Ordinance No. 2585, and on November 8, 1994 by Ordinance No. 2608; and, WHEREAS. the Redevelopment Agency desires to proceed with an amendment ("Proposed Amendment") to the existing Redevelopment Plan for the Town Centre I Redevelopment Project ("Existing Plan"); and, WHEREAS, it is contemplated that various provisions of the Existing Plan would be amended; and, WHEREAS. pursuant to the California Redevelopment Law (Health and Safety Code Section 33000 et seq.). a Preliminary Plan for the Amendment No.5 to the Town Centre I Redevelopment Plan ("Preliminary Plan") has been formulated and approved by the City of Chula Vista Planning Commission on July 23, 1997 by Resolution No. - in the form submitted herewith; and, WHEREAS, the objectives of the Project, as well as the public health, safety, and welfare, would be furthered by the Proposed Amendment, NOW, THEREFORE, BE IT RESOLVED the Redevelopment Agency of the City of Chula Vista does hereby: 1, Accept and approve the Preliminary Plan for the Amendment No.5 to the Town Centre I Redevelopment Plan in the form attached hereto as Exhibit A; and 2. Authorizes and directs staff to make such transmittals as may be required by the California Community Redevelopment Law; and 3. Authorizes and directs staff to draft the necessary amendments to the existing Redevelopment Plan for the Town Centre I Redevelopment Project, A copy of this resolution shall be submitted to the City Clerk's Office. Presented by Approved as to form by (Dh' ~~ Chris Salomone Director of Community Development I(FK) H,\HOME\COMMDEV\RESOS\PPTCIIO,tob" 2. 1997 19,02,ml( ..9£ -1 RESOLUTION NO. ISst RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA APPROVING A PRELIMINARY PLAN FOR THE AMENDMENT TO THE BAYFRONT REDEVElOPMENT PLAN WHEREAS, the City Council of the City of Chula Vista ("City Council") adopted Ordinance No. 1541 on July 16, 1974, approving and establishing the Redevelopment Plan for the Bayfront Redevelopment Project ("Project"), and the City Council has since amended said Redevelopment Plan on July 17, 1979 by Ordinance No, 1872, on April 22, 1986 by Ordinance No. 2146, on January 4, 1994 by Ordinance No, 2585, and on November 8, 1994 by Ordinance No, 2608; and, WHEREAS, the Redevelopment Agency desires to proceed with an amendment ("Proposed Amendment") to the existing Redevelopment Plan for the Bayfront Redevelopment Project ("Existing Plan"); and, WHEREAS, it is contemplated that various provisions of the Existing Plan would be amended; and, WHEREAS, pursuant to the California Redevelopment Law (Health and Safety Code Section 33000 ~, a Preliminary Plan for the Amendment No. 5 to the Bayfront Redevelopment Plan ("Preliminary Plan") has been formulated and approved by the City of Chula Vista Planning Commission on July 23, 1997 by Resolution No, - in the form submitted herewith; and, WHEREAS, the objectives of the Project, as well as the public health, safety, and welfare, would be furthered by the Proposed Amendment. NOW, THEREFORE, BE IT RESOLVED the Redevelopment Agency of the City of Chula Vista does hereby; 1. Accept and approve the Preliminary Plan for the Amendment No, 5 to the Bayfront Redevelopment Plan in the form attached hereto as Exhibit A; and 2, Authorizes and directs staff to make such transmittals as may be required by the California Community Redevelopment Law; and 3, Authorizes and directs staff to draft the necessary amendments to the existing Redevelopment Plan for the Bayfront Redevelopment Project. 4. Adopts a proposed base year of Fiscal Year 1997-98 for the territory proposed to be added to the project area. A copy of this resolution shall be submitted to the City Clerk's Office, Presented by Approved as to form by ~~ Chris Salomone - Director of Community Development "'K) H,\HOMElCOMMDEV\RESOS\PPBFlIOotob" 2,1997 19,01,m)] .3 h - I JOINT REDEVELOPMENT AGENCY/COUNCIL AGENDA STATEMENT Item -L Meeting Date 10/07/97 ITEM TITLE: AGENCY RESOLUTION /~-S9 COUNCil RESOLUTION I"" I APPROVING A PROFESSIONAL SERVICES AGREEMENT WITH KEYSER MARSTON ASSOCIATES, INC. TO SERVE AS A MARKET ANALYST AND FINANCIAL FEASIBILITY CONSULTANT TO THE CITY OF CHUlA VISTA AND CHUlA VISTA REDEVELOPMENT AGENCY ON A PROJECT-BY. PROJECT BASIS SUBMITTED BY: G_""" '""'pm.. .....~ - REVIEWED BY: E~,"", Di."'.JG ~ /? \ (4/5ths Vote: Yes- No.xJ BACKGROUND: In order to enhance staff's ability to analyze and respond to various project development proposals, staff proposes to contract exclusively with Keyser Marston Associates, Inc, (KMA) for market analysis and financial feasibility consultant services for a period of two years with a renewable clause for an additional two years. KMA has been serving as the City's consultant for the last several years, but the exclusive contract has expired, Staff implemented the competitive bidding process and is now in position to request approval of another multi. year "exclusive provider" professional services contract. This report presents the results of this process. RECOMMENDATION: It is recommended that the Redevelopment Agency and the City Council adopt the resolution approving a Professional Services Agreement with Keyser Marston Associates, Inc. (KMA) for market analysis and financial feasibility services. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: On July 2, 1997, staff sent requests for qualifications (RFQ) to 25 firms to serve as the City and Agency's exclusive market analyst and financial feasibility consultant. Five firms responded to the RFQ; KMA; Economic Research Associates; Rosenow Spevacek Group; Katz Hollis; and Gruen Gruen Associates, A panel of three persons approved by the City Manager/Executive Director reviewed the proposals. The Purchasing Agent, Assistant to the Community Development Director and the Senior Economic Development Specialist served as the review panel. Upon reviewing the proposals, the panel agreed to invite each of the five respondents for an interview. The panel interviewed the five firms during the week of August 11, 1997. The panel based their selection on; 1) the firm's qualifications and experience of professional staff; 2) performance of similar work; 3) ability to provide services in a timely and cost efficient manner; 4) the quality of the written response and presentation; and 5) the response to the sample project assignment which was included in the RFQ, ~-I . - .,. Page 2. Item 4 Meeting Date 10/07/97 The sample assignment represented a typical project that the selected consultant will be asked to perform. In addition to serving as a common benchmark for evaluating the consultant's approach to a difficult project, the sample also provided the panel with a frame of reference for the staff time that each company would need for proposed services (interviews, market studies, financial analyses, etc.). Each of the five respondents received separate scores for the written response and the interview, As a result of this process, the firm of KMA was determined to be the most qualified (see Table 1 on the following page for ran kings). The panel was particularly impressed with the firm's breadth of expertise (including affordable housing), their extensive experience in Chula Vista and the San Diego region; their established and fully staffed San Diego office; and the quality of the services they have provided to the City of Chula Vista/Redevelopment Agency in the past. As mentioned, KMA has been the City's market analysis and financial feasibility consultant for the past few years. The panel felt the firm's experience and knowledge of the San Diego region and Chula Vista will result in the efficient and cost effective completion of services. KMA submitted the lowest cost estimate for the sample project ($11,000 compared to the 2nd ranked firm's estimate of $41,000) which illustrates the cost savings that KMA can provide to the City given their knowledge and experience base in Chula Vista and the San Diego region. KMA has consistently provided their services on time and within budget. Their proposal is included as Attachment 1. To date, Calvin Hollis, Senior Principal in the Los Angeles Office, has managed the projects in Chula Vista, In order to maintain continuity, staff proposes to continue this relationship; however, staff is also proposing to bring in Paul Marra, Principal in the San Diego Office, for more local representation, Mr. Hollis has particularly impressive expertise in redevelopment finance, financial feasibility, and development agreement negotiations. Mr. Marra has expertise in land use planning, affordable housing, retail and mixed use projects, as well as real estate market financial feasibility evaluations and developer negotiations. Staff believes that this flexibility to use the Los Angeles or San Diego office, depending on the nature and scope of the project, will provide additional benefits to the City and was a strong factor in staff recommending KMA again, Staff proposes to contract with this firm on an as. needed basis through October, 1999, Included in the contract (Attachment 2) is a renewal clause for two additional years based on written approval by the Director of Community Development. A cap of $200,000 is proposed as the cumulative amount of the contract over the maximum four year period. This equates to an average of $50,OOO/year that staff believes should be adequate for their services depending on the project workload demand, Staff proposes to issue purchase orders on a project-by-project basis as services are required. The costs for project services will be negotiated for each project based on the fee schedule included in the Agreement. It is important to note that KMA will not be on retainer and therefore costs can be controlled through staff discretion as well as the annual budget process, Table 2 (attached) shows a comparison of hourly rates and cost estimates for the respondents. Council/Redevelopment Agency approval of these resolutions will authorize the City Manager/Executive Director to renew the contract, if the work has been satisfactory, without further action by the City Council/Redevelopment Agency. 4-;1... . - , í Page 3. Item -.!l Meeting Date 10107/97 TABLE 1 CONSULTANT RANKING SCORE FOR SCORE FOR WRITTEN RESPONSE INTERVIEW FIRM (AVERAGED) (AVERAGED) TOTAL Keyser Marston Associates, Inc. 55,5 38 93.5 Economics Research Associates 53 37 90 Rosenow Spevacek Group, Inc. 52 35 87 Katz Hollis 47 31 78 Gruen Gruen + Associates 47.5 30 77.5 TABLE 2 COMPARISON OF COST ESTIMATES (SAMPLE PROJECT) COST ESTIMATE FOR FIRM SAMPLE PROJECT Keyser Marston Associates, Inc. $11,000 Economics Research Associates $41,984 Rosenow Spevacek Group, Inc. $17,000 Katz Hollis $25,000 to $30,000 Gruen Gruen + Associates $18,000 to $26,000 FISCAL IMPACT: Funds will be encumbered from individual project accounts in the current budget as services are required. It is anticipated that staff may have to come back to the Agency/Council for specific funding appropriations on a project-by. project basis this year given the current budget limitations. However in future budget years, staff anticipates making appropriate funding requests for these services during the budget cycle. Staff believes the average annual cost for services to be approximately $50,000. The term of this contract is two years with the option to extend for an additional two years. Compensation is capped at $200,000 over the four year period. ATTACHMENT 1 - KMA Proposal 2 - Contract IDDA} H,IHDMEICDMMDEVISTAFF,REPI 1D,D7,97IFio,"cial Coosultaot 15o,1omb" 29. 1997 14,57pmll ~-.3 - - .,,- AGENCY RESOLUTION NO. /:r~" and , COUNCIL RESOLUTION NO. ~, JOINT RESOLUTION OF THE CITY COUNCIL AND THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA APPROVING A CONTRACT WITH KEYSER MARSTON ASSOCIATES, INC. FOR CONSULTING SERVICES FOR MARKET ANALYSIS AND FINANCIAL FEASIBILITY SERVICES WHEREAS, significant development proposals are anticipated for various properties within the City and Redevelopment Project Areas; and WHEREAS, the City and Agency require expert advice with regards to market analysis and financial feasibility of real-estate development proposals; and WHEREAS, the City's consultant selection process was followed and the firm of Keyser Marston Associates, Inc. was selected as a result of the competitive bidding process; and WHEREAS, Keyser Marston Associates, Inc. warrants and represents that they are experienced and staffed in a manner such that they are and can prepare and deliver the services required of Keyser Marston Associates, Inc. to the City and Agency within the time frames herein provided all in accordance with the terms and conditions of this Agreement; NOW, THEREFORE, BE IT RESOLVED the City Council and Redevelopment Agency of the City of Chula Vista do hereby approve, in the form presented, an exclusive contract with KMA to provide consulting services for market analysis and financial feasibility services for a period of two years from the adoption of this resolution; with the option to extend the contract for an additional two years at staff's discretion. A copy of the Agreement shall be kept on file with the Agency Secretary, Presented by Approved as to form by ~L~ ~~ ' Chris Salomone Director of Community Development ounsel IIDAI H,\HOMEICOMMDEV\RESDS\KMA ISoptomb" 30, 1997 ",19pmll 4-4 - - ,. ATTACHMENT 1 KEYSER MARSTON ASSOCIATES INC ADVISO" lNO COMMUNITY OEVElOPMENI R L ESTATE SOil SOUTH C"'D AveNUE. SUITE 1480 B R EVEwr'MENT .A EORDABLE HOUSING La; ANG"". CAUEO"," 90071 E ONOMr" DEveCOCMCNT P"ONe 213/622-S09S JUL 2 5 I9Ø1 FA<,213/622-52()4 Fr CAC IMCACT E-MAle kmala@kmainuom I, "STRUCTURE FINANCE WEB SITe http'/ /www,kmainuom V LUAnON AND meATION SUPPORT Los ANG£L£S CALVIN E, HOLUS, II KATHLEEN H, HEAD jAMES A, RAOC SAN DIEGO GERALD M, TRIMBLE ROBERT . WETMOI<E July 24, 1997 PAULc.MARRA SAN FRANCiSCO A,jERI<Y KEVSER TIMOTIfY C. KELLY KATE EARLE FUNK Mr. Chris Salomone DENISE E, CONLEY Community Development Director DEBBIE M, KE" MARTHA r-;, PACKARD 276 Fourth Avenue Chula Vista Avenue Chula Vista, California 91910 Dear Mr. Salomone: Keyser Marston Associates, Inc. (KMA) is pleased to submit this proposal to provide market analysis and financial feasibility services to the Community Development Department of the City of Chula Vista (Agency) in response to the July 1997 request for qualifications (RFQ). KMA, which was formed in 1973, is a full service real estate, financial and economic consulting firm specializing in real estate predevelopment and evaluation services, We believe that KMA is uniquely qualified to assist the Agency as a market and economic advisor forthe following reasons: 1. For 24 years, KMA has provided assistance at all levels of the public sector throughout the State in: . Real estate market and evaluation services . Affordable housing program/financial evaluation services . Transaction structuring . Public financing . Developer selection and negotiations . Redevelopment Plan Adoption and Implementation 2. The firm's principals are recognized leaders in the areas of public/private real estate development, market analysis, redevelopment finance and affordable housing throughout Califomia. The philosophy and structure of our firm allows clients to have maximum direct contact with principals. 4-~ '" - Mr. Chris Salomone July 24,1997 Page 2 3, KMA is cost effective for our clients given our ability to provide integrated market and financial feasibility services, transactional experience, direct implementation experience and public finance expertise. The RFQ identifies the range of economic advisory services in which the Agency anticipates requiring assistance to implement development projects and affordable housing activities. As such, the summary of the KMA qualifications focuses on the firm's directly relevant experience. This summary presents a representative sample of the firm's experience assisting other public sector clients in evaluating and implementing similar projects, The KMA submission is organized as follows: 1. The firm's qualifications and resumes of the three principals in the Los Angeles office of KMA, the manager of our San Diego office and the KMA founding principal. 2. The firm's recent experience and client references, including: . A general description of the firm's background and work experience, . Examples of market and financial feasibility assessments completed by KMA. . Summaries of the firm's experience providing related economic consulting services such as public agency financial planning, property tax increment analyses, public agency fiscal consulting services and redevelopment plan adoption services. . Descriptions of the affordable housing policies, programs and financial evaluations performed by KMA. . A list of the firm's current and past clients, including the contact names and telephone numbers for three references. 3. A detail of services provided for two recent projects. The first involves industrial land uses and the second involves an entertainment retail visitor serving use. 4. A proposed work schedule and cost estimate for the scenario presented in the RFQ. In addition, KMA has enclosed a 1997 billing rate schedule for all firm members, overhead and other charges. 4-" KEYSER MARSTON ASSOCIATES IN C Mr. Chris Salomone July 24, 1997 Page 3 The KMA Los Angeles office has enjoyed working with the Chula Vista Community Development Agency over the past six years. In our experiences with the Agency we believe we have developed an understanding of the demographic, market and policy framework within which the Agency operates. To date, our services to Chula Vista have been managed by Cal Hollis, Senior Principal of our Los Angeles office. We look forward to being of continuing assistance to the Agency and we would intend to continue in that manner, given the experience gained with the Agency, However, should the Agency desire more local representation, we are prepared to manage the firm's services through our San Diego office, with Mr. Hollis acting as a consulting principal to ensure continuity. If you require any additional information, or if there is any way this proposal can be modified to better suit your needs, please do not hesitate to call. Yours very truly, KEYSER MARSTON ASSOCIATES, INC. ~?>k Calvin E. Hollis CEH:gbd Attachments 97473,KMA 99900,900 4-7 KEYSER MARSTONAsSOCtATES INo. I. FIRM BACKGROUND AND WORK EXPERIENCE Keyser Marston Associates is a real estate advisory firm, with a staff of over 40 employees. The firm has offices in Los Angeles, San Francisco and San Diego, KMA serves a diverse client base throughout the western United States, including local, county and state government, as well as large institutional clients, pension funds and developers. The Los Angeles office provides consulting services to a wide range of government agencies, primarily redevelopment and community development agencies in Southern and Central California. Uniquely, KMA combines its real estate advisory services with a range of financial services including the projection of public revenues, fiscal impact analyses and economic analyses of alternative land use options. Additionally, the firm has extènsive experience in the use of public financing as part of the development process. The real estate consulting services provided by Keyser Marston Associates typically fall into four general areas, They are: . Market Feasibility - KMA has undertaken feasibility studies for clients rànging from department stores to public agencies. While the purpose of these studies varies considerably, the essence is to identify the basic demand for the use being tested, an essential component in the decision making process. The KMA Los Angeles office has undertaken numerous commercial, retail and housing market opportunities assessments, and based on these assessments has assisted redevelopment agencies in the identification of mid to long-term redevelopment strategies. . Financial Feasibility - The use of pro forma financial analyses to evaluate the financial feasibility of a wide range of projects is a strength of KMA. Our financial feasibility analyses are typically geared toward providing our public sector clients with a perspective on the private sector development economics for proposed projects. This is often a key factor in identifying the need for public financial assistance. . Disposition Consulting - This service category covers a broad spectrum of activities in which KMA assists clients in the disposition of real estate holdings. KMA has taken an active role in the negotiations process leading to numerous DDA's, OPA's, and ground leases. . Financial Consulting - KMA has been engaged by numerous redevelopment agencies to act as fiscal consultant in the issuance of tax allocation bonds, In addition, KMA has provided financial services to public sector ,clients ranging from property tax increment projects to loan structuring for the implementation of various projects. 4-fI KEYSER MARSTON ASSOCIATES INC Mr. Chris Salomone July 24,1997 Page 2 KMA's experience encompasses a broad array of real estate product types including: . Commercial/Office . Entertainment . Industrial/R& D . Market Rate Residential . Biotech/High Tech . Affordable Housing . Retail . Waterfront Development The Keyser Marston Los Angeles office is headed by three principals, Mr. Calvin Hollis, Ms. Kathleen Head and Mr. James Rabe, and is supported by eight technical staff. While each principal has a broad background in all aspects of real estate consulting, each has a specific area of specialty related to their education, experience and interest. Mr. Hollis, senior principal, has a financial background with extensive experience in structuring public/private transactions. Ms, Head, principal, has a business and planning background and is the Los Angeles manager of housing related services, In addition, Ms. Head has extensive experience in the evaluation of commercial development opportunities. Mr. Rabe, principal, has a background in economic analysis and specializes in development agreement and ground lease negotiations. A unique strength of KMA is the firm's ability to draw upon the particular talents and expertise of all its offices as necessary. In addition to the three principals in the Los Angeles office, the San Diego and San Francisco offices have a total of 8 principals with additional expertise in the following areas: . Entertainment retail . Sports and sports related retail . Economic development . Business improvement district implementation . Strategic planning and organization . Hospitality, including hotel and convention center While each of our clients are assigned a managing principal, the expertise of the entire firm is brought to bear in an efficient and cost effective manner. Resumes of the three principals in the Los Angeles office of KMA, the manager of our San Diego office and the KMA founding principal are presented at the conclusion of this proposal. 4-f1 KEYSER MARSTON ASSOCIATES IN C. Mr. Chris Salomone July 24,1997 Page 3 II. SELECTED MARKET AND FINANCIAL FEASIBILITY ANALYSIS EXPERIENCE The foundation for all of KMA's real estate advisory services is an understanding of market demand dynamics, The ability to internally perform market analyses allows KMA to be confident that its other real estate services are based on sound market realities. KMA also has substantial experience in conducting pro forma financial analyses for its public and private sector clients in a wide range of land use types. A representative sample of KMA market and financial feasibility experience for a range of land uses follows: A. Market Demand Analysis JMB Urban, Regional Retail Center. Rocklin KMA prepared an analysis of the market demand for a major regional shopping center in Rocklin. The analysis included an extensive examination of the competition and population projections for this high growth area, KMA used the market assessment as one tool in assisting the developer with negotiations to obtain development entitlements and public financial assistance. Regional Retail Center Expansion 0 City of Long Beach KMA assessed the near-term opportunities associated with rehabilitating and expanding an existing regional retail center, The market analysis tested the depth of demand for the regional mall expansion as compared to the market opportunities associated with developing a large scale promotional retail center. The market demand was quantified using a retail allocation computer model developed by KMA. The model was used to test the varying impacts associated with expanding the existing center with anchor tenants that traditionally serve different market segments. May Centers Development, Regional Shopping Center 0 Inland Empire KMA assessed the near-term market opportunities for a regional shopping center to be located in the Inland Empire. KMA also identified the trade area for the proposed center, which encompasses portions of four counties; prepared population projections for this rapidly growing area; and developed a retail allocation model to estimate the share of comparison expenditures potential that a regional mall at the site could be expected to capture. Downtown Market Opportunities Analysis 0 City of Riverside KMA prepared an analysis of market opportunities for downtown Riverside, taking advantage of the newly reopened Mission Inn. The analysis determined the potential for entertainment, and eating and drinking anchored street retailing. KMA is advising the Redevelopment 4-10 KEYSER MARSTON ASSOCIATES I N C- o. I Mr. Chris Salomone July 24, 1997 Page 4 Agency on key tenant programs designed to implement the identified market opportunities. Mixed Use Analysis - City of San Diego KMA prepared a market assessment of hotel, retail, restaurant and conference center uses for the owner of a parcel in San Diego's Mission Bay Park. KMA then prepared a financial feasibility analysis for a hotel! conference center development, which was the use that generated the highest land value. KMA assisted the property owner, a major pension fund, in negotiating with the various government bodies to secure the necessary approvals to change the existing land use designation. Rick Engineering Company - Naval Training Center Re-use Plan - City of San Diego KMA was retained in Spring 1994 by Rick Engineering Company and Calthorpe Associates as the base reuse consultants, to work with the City of San Diego and the Base Reuse Planning Committee to complete a reuse plan for NTC. NTC is a BRAC '93 base closure and is a unique reuse assignment because of the urban location of the base, the number of existing buildings to be retained and the numerous restrictions impacting reuse. KMA is undertaking all market demand analysis, financial feasibility analysis, fiscal impact studies, economic blight analysis, financial planning, marketing and base disposal planning for NTC, Irvine Business Complex Hotel Development Analysis. City of Irvine As a part of the specific planning process, KMA projected the near- to mid-term demand for hotel development within the Irvine Business Complex. The hotel projections were based on an analysis of historical hotel development trends, current performance of existing hotels, in conjunction with projected employment and population growth, The projections were performed primarily to evaluate the demand for business quality hotel development. 4-1( KEYSER MARSTON ASSOCIATES INc. Mr. Chris Salomone July 24, 1997 Page 5 B. Selected Retail/Hotel/Mixed Use Financial Analyses Aetna Realty Advisors - Phoenix, Arizona KMA advised Aetna in the highest and best use of a 115-acre holding in greater Phoenix, Arizona. Land uses analyzed included regional shopping center, promotional shopping center, office, hotel, and residential. BCTC - Monterey Park KMA performed a financial assessment of a mixed-use retail, cinema, and office project for the owner of the property. KMA's analyses was the basis for negotiations with major anchor tenants as well as the City of Monterey Park. Media Center - City of Burbank KMA performed detailed financial analyses of this complex joint-venture development of over 1 million square feet. KMA valued the City's participation in projected project profits and assisted in the negotiations. Citadel - City of Commerce The site for the Citadel, formerly the location of the Uniroyal Tire Plant, was obtained by the City of Commerce. KMA analyzed the ground lease proposal from the Trammel Crow Company and assisted the City in negotiating ground lease terms for this retail, office, and hotel project. Red Lion Hotel - City of Glendale KMA participated in the developer selection process for a business quality hotel/meeting facility to be located in downtown Glendale. KMA assisted the Redevelopment Agency in negotiating the land sale terms and parking structure agreement with the selected developer. This Red Lion Hotel has since opened, The Wateñront - City of Huntington Beach KMA assisted the Redevelopment Agency in the disposition negotiations for a 46 acre site owned by the City of Huntington Beach that was to be developed with four first quality hotels, 650 residential units, specialty retail stores and athletic club facilities. KMA determined the fair reuse value of the property, and prepared public revenues projections to assist in determining the public benefits associated with the project. Balboa Bay Club - City of Newport Beach As part of the lease extension for the Balboa Bay Club, KMA assisted the City in assessing both the market demand for residential and a conference center hotel as well as financial analysis under various scenarios. Hotel/Recreation Facilities - City of Palm Springs KMA prepared financial analyses of three hotels proposed to be located in downtown Palm Springs, These assignments ranged from an analysis of the financial feasibility of developing a first class resort hotel in conjunction with the rehabilitation of an existing golf course; an assessment of a moderate priced hotel to be developed as a part of a hotel/golf/tennis/retail/ residential 4-12- KEYSER MARSTON ASSOCIATES I N C. - - ",- Mr. Chris Salomone July 24, 1997 Page 6 mixed-use project; and an evaluation of the supportable rehabilitation costs for an existing hotel/spa complex. Waterfront Hotel. City of Santa Monica KMA assisted the City in the selection of a developer and in developer negotiations for a major waterfront hotel site in the City of Santa Monica. The analysis included an assessment of the hotel market, financial modeling, and assistance to legal counsel in structuring the land lease. 4-1.3 KEYSER MARSTON ASSOCIATES I N C. - - ,- Mr. Chris Salomone July 24, 1997 Page 7 C. Sports and Entertainment Facilities Experience Entertainment/Retail/Sports Complex - San Francisco KMA prepared an initial feasibility assessment for a major urban entertainment!sports complex in the City of San Francisco. The project consisted of a multi-themed complex anchored by a stadium and an arena with a cutting edge approach to retailing, food service, recreation, and entertainment. The term emerging for this new commercial forum and blend of activities is the Urban Entertainment Center. Keyser Marston has, in the course of this work in San Francisco, familiarized itself with virtually all of the signature entertainment!retail and multi-venue sports/entertainment! retail facilities in the United States. Beyond familiarization, Keyser Marston has the experience to "bundle" the program elements such that the emerging complex will be double and can add to a geographic area's regional and national image. Clients for the San Francisco complex included the San Francisco Giants and the Catellus Development Corporation. S. H. Cowell Foundation/Cowell Ranch - Brentwood KMA evaluated the market feasibility of a golf course development on a 4,900 acre property located in Brentwood, California. Various golf course designs and concepts present in the California marketplace were identified and profiled. Analysis included market area demographics, golf participation levels, local golfer patterns and supply of existing courses. KMA recommended a feasible golf course concept and projected the number of rounds and additional golf courses supportable in the market area. Brown & Root Building Company - Victorian Square KMA prepared a financial analysis for a proposed mixed-use entertainment complex, The project included a 5,000-seat arena complex featuring an ice rink and production stage, meeting rooms, 30,000 square foot cinema, and 200,000 square feet of retail/restaurants. The financial analysis considered various configurations with and without the arena and cinema, San Diego Arena KMA prepared a financial feasibility analysis of the project returns generated by the arena and the level of public sector assistance warranted. The analysis included the assessment of risks associated with public/private participation in the project and the structure of the transaction terms to insure consistency with the risk levels. San Jose Giants Site - San Jose KMA prepared the land valuation and analyzed the proposed transaction for an option and lease of an 88-acre site for the Giants stadium, projecting the financial returns to the State of California based on terms of a preliminary 4 -IV KEYSER MARSTON ASSOCIATES I N c- - - '. Mr. Chris Salomone July 24, 1997 Page 8 agreement. KMA also assisted in negotiating the letter of intent between the State and the City of San Jose. Westdome Sports Arena. Santa Ana KMA evaluated the project economics and analyzed alternative locations for an arena owned by a joint venture, Income for both sport and non-sport/entertainment events was projected. Issues related to project feasibility and the costs of mitigation were assessed. KMA also assisted in the development of a deal structure that was workable for both the arena operator/owner and the City of Santa Ana. KMA developed a computerized cash flow model that projected area revenues, expenses and debt service payments. c/-/~- KEYSER MARSTON ASSOCIATES IN C Mr. Chris Salomone July 24,1997 Page 9 D. Selected Tax Increment Revenue and Cash Flow Projection Experience Proposed Project Merger - Long Beach Redevelopment Agency KMA has been retained by the Long Beach Redevelopment Agency to provide financial advisory services related to the Agency's proposed merger of existing redevelopment project areas. The long range projections of tax increment revenues for each of the subject redevelopment project areas have been incorporated into a series of cash flow projections to determine the financial feasibility of the proposed merger. Maravilla, Willowbrook, West Altadena & East Compton Projects - Los Angeles County Community Development Commission KMA provided short term tax increment projections for the redevelopment project areas administered by the Los Angeles County Community Development Commission, The revenue projections were used as a financial planning tool to assist the Commission in anticipating the tax increment revenue growth potential in the respective project areas. KMA submitted Statement of Indebtedness recommendations to Commission staff to enable the maximum allocation of tax increment revenues in future fiscal years. San Fernando Road Corridor Project. Glendale Redevelopment Agency KMA prepared a ten year tax increment revenue projection for the Glendale Redevelopment Agency's San Fernando Road Corridor Redevelopment Project. The revenue projection was prepared based upon anticipated new developments and transfers of ownership in the Project Area, including alternative proposals for a Dreamworks animation facility. Merged Project Area - San Jose Redevelopment Agency KMA has been retained by the San Jose Redevelopment Agency to provide on-going financial advisory services relating to the projection of tax increment revenues of the Merged Area Project. The scope of services provided includes an evaluation and reporting of economic and real estate conditions in the Project Area and greater San Jose region, which provide the basis for KMA's projection of future tax increment growth to the Agency. The tax increment projections also incorporate identified new development and assessment appeal activities occurring in the Project, Redevelopment Projects AB and C - Brea Redevelopment Agency KMA developed a spreadsheet based tax increment and cash flow model of the Agency's redevelopment project areas. The model has permitted Agency staff to test the programmatic cash flow consequences of pursuing various redevelopment opportunities. The tax increment projection incorporates new development and trended growth sensitivity tests which permits the Agency to see the resulting bond financing capacities allowable in the respective project areas. 4-/~ KEYSER MARSTON ASSOCIATES I N C- o - .' . Mr. Chris Salomone July 24, 1997 Page 10 E, Selected Public Financing Analyses City of Brea KMA developed, for use by the Brea Redevelopment Agency, a cash flow model of Agency operations to allow Agency staff to test the programmatic/cash flow consequences of pursuing various redevelopment opportunities. The program allows the testing of various financing options including Mello Roos, lease revenue bonds, tax allocation, bonds, etc. Glendale Redevelopment Agency KMA advised the Agency in the negotiation and structuring of a development agreement for the first expansion of the Glendale Galleria regional shopping center, which included the use of C.O.P. and UDAG financing. San Leandro Redevelopment Agency KMA served as financial consultant to the San Leandro Redevelopment Agency to provide a long range cash flow analysis and recommend a strategy for the management of Agency resources to meet current and future Agency obligations. In the process of this analysis, recommendations were also made pertaining to compliance with current Housing Set Aside requirements and the analysis of certain tax sharing agreements. The Redevelopment Agency of the City of Palmdale KMA prepared projections of sales tax to be generated by the Antelope Valley Regional Mall in support of tax exempt financing to be repaid by sales and property taxes. Glendale Redevelopment Agency KMA prepared a long range financial analysis for the Glendale Redevelopment Agency which included a revenue projection and review of the Agency's expenditure program. The assignment resulted in a comprehensive cash flow analysis which identified sources of discretionary revenues to finance additional programs desired by the Agency. Assessment of the impact of potential downward reassessment of property value was recently completed. City of Long Beach KMA assisted the City of Long Beach in its application and subsequent aware of a 40 million Section 108 Loan to assist in the development of the Downtown aquarium currently under construction. 4-/7 KEYSER MARSTON ASSOCIATES IN C. Mr. Chris Salomone July 24, 1997 Page 11 F. Affordable Housing Services Pine Court Financial Feasibility Analysis - Long Beach Redevelopment Agency KMA prepared a financial feasibility assessment for the 142 unit Pine Court apartment complex in downtown Long Beach. The purpose of the KMA analysis was to project the net income after debt service for the residential-retail-entertainment mixed-use project for use in support the project's refinancing with tax-exempt debt. The urban apartment project is a pioneering venture targeted to upscale tenants, with 20% of the units set- aside for very low income households to qualify for tax-exempt financing and Low Income Housing Tax Credits. Holly Court Apartments Financial Assessment - Pasadena Redevelopment Agency KMA performed an assessment of a high density upscale apartment project to be located in downtown Pasadena. The project includes an allocation of very low income units in order to qualify for tax exempt financing. The project also received Mello Roos financing and a MT A Grant. The KMA analysis quantified the warranted level of Agency assistance to the project. Aetna Realty Investors - Spectrum Site Market Assessment KMA assessed the market opportunities for the development of a :t125 acre site located in Tempe, Arizona. To evaluate the market opportunities for residential development, KMA reviewed regional population growth projections, recent residential development activity, pricing/absorption data and historical residential development patterns information from throughout the Phoenix Metropolitan Area. Nikko Capital Company - San Mateo - Market Opportunities Assessment KMA assessed the market opportunities for the development of a city block in San Mateo, which was assembled by Nikko Capital Company. Based on demographic and competitive characteristics analyses, KMA recommended the development of high-rise luxury condominiums. KMA continued to work with the developer throughout the pre- development stages to provide technical assistance. Town Square Disposition Consulting - Huntington Beach KMA assisted the redevelopment agency in the negotiations for the disposition of a parcel owned by the City, which was to be developed with a mix of townhouse and condominium flat units. KMA determined the fair reuse value for the property, and assisted the Agency in structuring a transaction that provided an upfront land payment and a participation share in the project's future income. KMA assisted the Agency in monitoring the participation agreement over time. Strategic Plan - City of Oxnard The City of Oxnard is faced with shortfalls in each of the affordable housing areas. The strategy plan prepared by KMA identified how programs 4 - ¡r¡ I N C. KEYSER MARSTON ASSOCIATES - ,. ,- Mr. Chris Salomone July 24, 1997 Page 12 and developments that had already been approved and proposed projects fit into an efficient affordable housing production plan, The strategy plan consolidates the requirements imposed by both the State and the Federal government in one document, and presents the current status and the projected development over a five year projection period. Housing Strategy - Yorba Linda Redevelopment Agency Housing in Yorba Linda is predominated by single-family homes, and the City has imposed strict density limitations on future development. The strategy plan prepared by KMA provides alternative develop- ment scenarios to fulfill the City's affordable housing needs for both families and senior citizens, recognizing both the constraints created by the density limitations, and the limited available financial resources. Housing Strategy - Burbank Redevelopment Agency Burbank requires significantly more affordable housing units than can be attracted with the funds available. The KMA strategy identifies the housing need, quantifies the cost to attract housing and recom- mends a funding plan to meet a portion of the Agency's replacement housing and housing production requirements, The plan also recommends non-monetary incentives to encourage private sector development. First Time Home Buyers Assistance Program KMA has assisted the Cities of Glendale, Brea, Azusa, Garden Grove, Anaheim, Long Beach, Costa Mesa and Whittier in the creation and/or implementation of silent second trust deed assistance programs, The fundamental role played by KMA in this process is to ensure that the programs provide the jurisdiction with a revolving source of future revenues to fund affordable housing, while providing the home buyers with the potential to accumulate sufficient funds over time to invest in move-up housing. Mobile Home Park Preservation Policy KMA has prepared a policy paper related to city/redevelopment agency involvement in mobile home park transactions as a means of providing affordable housing, The analysis includes a summary of financing and policy legislation impacting mobile home parks, the economic issues associated with prospective tenant buy-outs of privately owned mobile home parks and the financial opportunities for municipalities to own and operate parks. Rehabilitation Loan Program - City of Glendale KMA has assisted the City of Glendale in establishing funding allocation priorities and affordability parameters for a rental rehabilitation loan program. The defined program establishes equity contribution requirements for non-profit and for profit developers, income restriction covenants based upon the amount of funding being provided by the City, and threshold loan to value ratios to protect the City's investment. 4-1' KEYSER MARSTON ASSOCIATES IN C - . . T Mr. Chris Salomone July 24, 1997 Page 13 Inclusionary Housing Analysis. City of Brea KMA assisted the City of Brea in analyzing the financial impact associated with requiring private sector residential developers to set-aside units for very low, low and moderate income households, The KMA analysis quantified the net economic detriment created by the inclusionary requirement, after consideration of the benefits associated with various incentives being offered by the City, The KMA analysis evaluated the financial impacts on both rental and ownership housing. Financial Feasibility Analyses - Long Beach Housing Development Company On an ongoing basis, KMA analyzes the financial feasibility of income restricted rental and ownership projects proposed to the Long Beach Housing Development Company, These analyses are performed to identify the financial gap associated with proposed projects. KMA also assists in negotiating affordable housing agreements with prospective developers. KMA structured the credit enhancement program currently being used by the Housing Development Company. Financial Feasibility Analyses - Glendale Over the past ten years, KMA has analyzed the affordable housing projects proposed to the Community Development Department. The projects analyzed range from new construction of rental units targeted to very low income senior citizens to "for sale" units for moderate income families. KMA has also examines the viability of acquiring existing projects, rehabilitating the units to meet the City's development standards and renting the units to very low and low income households. Financial Feasibility Analyses - Palmdale Redevelopment Agency KMA performed a financial assessment of the proposed acquisition and rehabilitation of 295 family and senior citizen apartment units in six projects located in a downtown "target area." The analysis included an evaluation of the fair market value of the properties, an identification of the financial feasibility of the proposed rehabilitation improvements and a quantification of the financial detriment associated with the proposed income/affordability restrictions. The analysis also considered the advisability of utilizing tax exempt financing and/or tax credits. Apartment Project Financial Feasibility Analysis - County of Orange KMA prepared a financial assessment of an apartment project restricted to very-low and low income families to be developed on a County owned site. The project is being financed with consortium financing, Low Income Housing Tax Credits, an AHP grant and developer equity. KMA identified the reuse value of the site, and quantified the net present value of the proposed payment terms, Financial Feasibility Analysis - Anaheim Redevelopment Agency KMA performed an economic analysis of the proposed acquisition and rehabilitation of forty-five apartment 4-2.0 KEYSER MARSTON ASSOCIATES I N C. - - ,,' - Mr. Chris Salomone July 24, 1997 Page 14 buildings under thirty-five different ownerships, The consolidated project would be under one ownership, and financed with a combination of tax exempt debt and tax credits. The KMA analysis was performed to identify the most efficient financial structure and public assistance package, Financial Feasibility Analysis - Brea Redevelopment Agency KMA performed an economic analysis of the proposed redevelopment agency acquisition of six apartment buildings located on two blocks in the City of Brea. Subsequent to the acquisition, the agency issued an RFP to non-profit developers for the rehabilitation of these over- crowded buildings, The KMA analysis included an assessment of the warranted financial assistance to be provided to the selected developer, as well as a quantification of the relocation costs to be borne by the agency, KMA is currently assisting in the evaluation of the developer proposals. Developer Solicitation - City of Fullerton KMA evaluated the developer proposals submitted in response the City of Fullerton Notice of Funding Availability, The KMA analysis considered the proposed projects' compliance with the pertinent California Redevelopment Law requirements as well as the Federal HOME program requirements. KMA provided technical guidance to the Affordable Housing Sub-Committee during the selection process, Developer Solicitation and Negotiations - Costa Mesa KMA drafted the Request for Proposals used to select a non-profit organization for an acquisition! rehabilitation project to be assisted with HOME funds, CDBG funds and Property Tax Increment Housing Set- Aside funds. KMA evaluated the RFP responses, and provided summaries of the proposals' strengths and weaknesses. KMA was a member of the interview panel convened to select the team to be awarded the project. KMA is currently assisting in the negotiations process with the selected developer. 4-2..1 KEYSER MARSTON ASSOCIATES I N C. - - Mr. Chris Salomone July 24, 1997 Page 15 G. CLIENT REFERENCES KMA represents a broad range of clientele including cities, redevelopment agencies, public sector regulatory agencies, property owners, private sector developers, non-profit organizations, institutional and cultural entities, A list of representative clients is presented at the conclusion of this proposal. Selected references are noted below. We will be happy to provide additional references at your request. City of Long Beach Ms. Susan Shick Director of Redevelopment 333 West Ocean Boulevard, Third Floor Long Beach, California 90802 (310) 570-6570 Ms. Diane McNeel Housing Services Bureau Manager 333 West Ocean Boulevard, Second Floor Long Beach, California 90802 (310) 570-6926 City of Glendale Ms, Jeanne Armstrong Executive Director 633 East Broadway, Room 201 Glendale, California 91205 (818) 548-2005 Ms. Madalyn Blake Director of Community Development and Housing 141 North Glendale Avenue, Room 202 Glendale, California 91205 (818) 548-3706 City of Brea Ms, Susan Georgino Redevelopment Services Director One Civic Center Circle Brea, California 92621 (714) 671-4485 4 - øl.~ KEYSER MARSTON ASSOCIATES INC- - . Mr. Chris Salomone July 24, 1997 Page 16 III. DETAIL OF RECENTLY PROVIDED SERVICES Industrial Uses, Roeding Business Park Feasibility Study - City of Fresno KMA was retained by a private development company to study the feasibility of a 1,400 acre proposed redevelopment project in the southwestern portion of the City of Fresno. The range of proposed uses included the development of industrial parks and commercial uses to complement the proposed extension of the Route 180 Freeway. Analyses performed by KMA included infrastructure capacities, blight eligibility and financial feasibility. KMA worked closely with City staff and consultants to assess the financial feasibility of the project as well as the potential market demand for industrial and commercial space. Subsequently, KMA was retained by the City to manage the successful adoption of the Roeding Business Park Redevelopment Project. Visitor Serving Uses, Hollywood and Highland - City of Los Angeles KMA is currently providing financial consulting services to the LA MTA and the LACRA. These services are being provided with respect to the :1::470,000 square foot entertainment retail center proposed to be developed at Hollywood and Highland in the City of LA by the Trizec Hahn Company. As currently proposed, the project will include restaurant, specialty retail and food and cinema and theater uses. KMA's role includes projecting the likely revenues to be generated by the project, and negotiating on behalf of the MTA regarding the proposed long-term ground lease. Accordingly, KMA has undertaken a series of economic analyses of the project, and has identified the outstanding issues related to the various development scenarios under consideration. Specifically, KMA has prepared 30-year cash flow projections and alternative income participation formulas, and continues to negotiate with the Developer on behalf of the MTA to achieve the MTA's required return on investment. 4-tl KEYSER MARSTON ASSOCIATES INC Mr. Chris Salomone July 24, 1997 Page 17 IV, PROPOSED WORK SCHEDULE AND COST ESTIMATE As requested, KMA has prepared a proposed work schedule and cost estimate for the scenario identified in the RFP, Specifically, this work schedule seeks to: analyze an Agency owned parcel; examine the impediments to private development; make recommendations for highest and best use and assist staff in preparing a request for proposal for development. A. Background Statement It is our understanding that the Site totals 6.35 acres and is currently owned by the Agency. The Site is located within the Bayfront Redevelopment Area and is bound by the southbound Interstate 5 "E" Street off ramp on the south and east, the San Diego and Arizona Railroad right of way to the west and a US Department of Fish and Wildlife conservation area to the north. The Site has freeway visibility and is adjacent to the Nature Interpretive Center and Bayfront. The Site is also located near established restaurants, the marina and Bayside Park. However, the Site is currently landlocked, and CalTrans has indicated it will not allow access to the Site from the E Street off- ramp. While future access is possible, it will required crossing existing railroad track twice. Moreover, high-tension lines pass through the Site. It is further our understanding that the Agency prepared an RFP for development of the Site in 1992, but that, to date, development proposals have required substantial public financial assistance to achieve financial feasibility, Accordingly, the KMA proposal identifies the steps KMA proposes to undertake to identify the land use which supports the highest economic value of the Site and to assist the staff in developing an RFP which would lead to the disposition and development of the Site, B. Scope of Services 1, Confirm Agency Objectives for the Site The efforts for development should be guided by a clear understanding of the Agency's multiple objectives for the site, and an identification of objectives which may be conflicting. An understanding of the Agency's objectives will narrow the field of potential land uses to be examined, allowing for time and cost efficiencies, 2. Review Prior Solicitation Efforts The Agency has previously solicited development proposals for the site and conducted negotiations of a development agreement. The agreement was not fully negotiated. An 4-.1..f KEYSER MARSTON ASSOCIATES INc. Mr. Chris Salomone July 24, 1997 Page 18 important step is reviewing the history of prior efforts to understand why they were unsuccessful, particularly if the land use negotiated remains a goal for the site. Obstacles could have included a flawed development plan, unfavorable market conditions, inability of the selected developer to perform, or unfeasible project economics. Review of this history may reduce the efforts spent in generating additional interest in the site. 3. Market Overview KMA will conduct an overview of the current market conditions for the land use(s) desired for the site, This overview will be expedited through our firm's ongoing work in the San Diego market place. The purpose of the overview will be document the economic conditions related to the target uses sufficiently to determine the feasibility of soliciting development of such uses. The overview does not require the in-depth inventory or productivity data required of a traditional market study, 4. Financial Analysis KMA will undertake pro forma market analysis for those land uses which appear to have market support and are consistent with the objectives of the Agency, 5. Strategy Session and land Use Decision Once the market overview and financial is completed, KMA will make recommendations as to the most viable land uses for the subject property recognizing both market conditions and the particular attributes of the site, both positive and negative. From this, the Agency will be in a position to provide direction as to the specific uses to be solicited in the Request for Qualifications. 6. RFQlRFP KMA will assist the Agency in determining the form of the solicitation (RFQ or RFP), content and format and will review drafts prepared by Agency staff. 4-:2.~ KEYSER MARSTON ASSOCIATES IN C. Mr. Chris Salomone July 24, 1997 Page 19 C. Fee Estimate The following fees are estimated: 1. Confirm Agency Objectives $ 500 2, Review Prior Solicitation Efforts $1,500 3, Market Overview $3,500 4. Financial Analysis $3,000 5. Strategy Session and Land Use Decision $ 500 6. RFQ/RFP $2,000 4--2..(. KEYSER MARSTON ASSOCIATES tNC V. HOURLY RATES AND REIMBURSABLE 1997 Billing Rate Schedule A. Jerry Keyser $175.00 Senior Principals $160.00 Principals $150.00 Senior Associates $130,00 Associates $115,00 Senior Analysts $100.00 Analyst $ 90.00 Technical Staff $ 65.00 Administrative Staff $ 50.00 Directly related job expenses not included in the above rates are: travel, delivery, electronic data compilation, graphics and printing, Directly related job expenses will be billed at 110% of cost. Monthly billings for staff time and expenses incurred during the period will be payable within thirty (30) days of invoice date. A charge of 1 % per month will be added to all past due accounts, 4-2.7 KEYSER MARSTON ASSOCIATES INc. RESUMES KEYSER MARSTON ASSOCIATES, INC. 4-2..f' Other areas of specialization are: DEVELOPMENT AGREEMENT NEGOTIATION Mr. Hollis has represented both public and private sector clients in the negotiations of complex publici private development agreements, Mr, Hollis is a senior principal and including the ground lease for the co-manager of the Los Angeles office Citadel project in Commerce, the and directs all of KMA's redevelop- Central California Regional Medical ment planning and financial manage- Network project in Fresno, and the ment services. For more than 20 Grand Central Square project in years he has provided public and downtown Los Angeles. private clients with real estate analy- FINANCIAL FEASIBILITY Mr. Hollis has sis and with expertise in the adoption designed the financing plan for such of redevelopment plans and financial projects as the Roeding Business Park planning, in Fresno and the Carson Mall/IKEA Calvin E. Hollis II KEY ROLE Mr. Hollis has played a renovation and expansion project, major role in structuring development utilizing combinations of public and agreements and in identifying the private financing, financing necessary in public and PROFESSIONAL CREDENTIALS private real estate projects, Project Mr, Hollis is a member of the Urban managers throughout California and Land Institute's Inner City Coordinat- in the western states seek his exten- ing Committee, the Small Scale sive experience with joint publici Development Council and the Los private transactions, Mr, Hollis Angeles District Council's Steering assumed a lead consulting role in the Committee, Mr. Hollis also serves on Holly Street project in Pasadena and the California Redevelopment the Pine Avenue project in Long Association's Technical Advisory Beach, two outstanding examples of Committee, He has conducted mixed-use projects requiring layered seminars and addressed conferences financing, sponsored by the Urban Land Insti- REDEVELOPMENT FINANCE SPECIALIST tute, California Redevelopment Mr, Hollis is a recognized authority Association, National League of on California redevelopment financ- Cities, California Department of ing and the redevelopment process, Commerce and similar organizations He has been the KMA principal-in- and is also a contributing author of charge of providing these services to Redevelopment in California, a numerous redevelopment agencies definitive reference book on the including those in Los Angeles, San subject. Mr. Hollis is a graduate of jose, Oxnard and Fresno, the California State University, Los Angeles. 4-2.' - - ",- Ms. Head is a principal in Keyser Other areas of specialization are: Marston Associate's Los Angeles RETAIL Ms, Head has undertaken retail office, She joined KMA in 1983, She market opportunities evaluations for has analyzed a broad range of real public agencies and for private sector estate issues for both public and clients such as Aetna Realty Investors, private sector clients. Yarmouth and May Department KEY ROLE Ms. Head manages all Stores, housing related services for KMA SPORTS/ENTERTAINMENT/RETAIL Ms, Head clients in Los Angeles and is an has assessed the financial feasibility Kathleen H. Head authority on affordable housing, Her of sports arenas in Santa Ana and San experience combined with strong Diego, and assisted in developing technical skills provide her with a public financial assistance packages unique ability to work through for these and other projects, conceptual policy issues, as well as to PROFESSIONAL CREDENTIALS structure complex public/private Ms, Head is a member of the Califor- transactions, nia Redevelopment Association AFFORDABLE HOUSING SPECIAliST Ms, Housing Task Force and is an instruc- Head has been instrumental in tor at the biannual Redevelopment creating strategic plans to fulfill Institute, She has been a featured clients' affordable housing production speaker at the National Association of objectives, and assisting in imple- Redevelopment and Housing Officials menting these plans by structuring Annual Conference, the CRA Afford- transactions that are both marketable able Housing Workshops and the and financially feasible utilizing tax Southern Section of the California Bar exempt financing and low income Association. Ms, Head holds masters' housing tax credits, as well as local, degrees in business administration state and federal assistance packages, and urban planning, as well as a bachelor's degree from the University of California, Los Angeles, 4-3.<) - - Me. Rabe is a principal in Keyser Qualifications, and developer Marston's Los Angeles office, For selection, He has also served as more than 20 years he has provided financial advisor. special tax consult- public and private clients with real ant or developer's advisor for bond estate and financial expertise. issues in California. KEY ROLE Me. Rabe assists clients in PROFESSIONAL CREDENTIALS public/private real estate and eco- Me. Rabe is a board member of the nomic development activities from California Association for Local KMA's Los Angeles office, He Economic Development, and a James A. Rabe provides public and private sector member of the California Redevelop- clients with services in the following ment Association and the Interna- areas: public finance, fiscal impact, tional Council of Shopping Centers, financial modeling, developer He serves as District Chairman of the selection, deal structuring and Verdugo Hills Boy Scout Council and transaction negotiation. as an Urban Land Institute Resource PUBLIC/PRIVATE DEVELOPMENT SPECIALIST Professional. Me. Rabe has also Recognized as an expert in real served as a guest lecturer at the estate advisory services, Me. Rabe University of Southern California specializes in public/private transac- School of Urban and Regional tions, Examples include the Playa Planning; and the University of Vista Dream Works project and the California, Los Angeles School of repositioning of the Glendale Fashion Architecture and Urban Planning, Plaza. He has consulted in the Mr, Rabe earned his master of arts analysis and implementation of from the University of Southern residential, commercial, office and California, and his bachelor of arts mixed-use projects in California, from the University of California, San Arizona and Nevada. Diego, OTHER AREAS OF SPECIALIZATION Mr. Rabe has consulted in all areas of the disposition process for redevelop- ment projects and surplus properties for public agencies, including project planning, Requests for Proposals and 4-3-1 - - Other areas of specialization are: MIlITARY BASE ANO DEFENSE CONVERStON AND REPOSITIONING Mr. Keyser has worked on Fort Ord in Monterey County. Hamilton Air Force Base in Marin County and the Presidio of San Mr. Keyser, President of Keyser Francisco on leasing, finance and Marston, has spent his entire profes- related strategies to ease the transition sionallife in evaluating the feasibility from military to civilian use, and on of real estate projects and consulting repositioning of Lockheed Martin on development He is a founding properties in Burbank, principal of Keyser Marston and is a INFRASTRUCTURE FINANCE For clients recognized authority in the real estate such as Catellus and Homart, Mr. and redevelopment community, Keyser has formulated business plans KEY ROLE In the past twenty years, for land developments that establish Mr, Keyser has been at the center of program, infrastructure and financing many of the West's distinguished and strategies, high impact developments including PROFESSIONAL CREDENTIALS Horton Plaza in San Diego, California Me. Keyser is a member of the Urban Plaza in Los Angeles and Verba Buena Land Institute, has chaired a ULI A. Jerry Keyser Gardens in San Francisco, His Mixed Use Council and is currently experience, knowledge and work assistant chair of the Metropolitan with industry and professional groups Economic Development Council. He combine to give Me. Keyser unique is a board member of the Bay Area insight into real estate trends, what Economic Forum, an organization works in real estate development, and composed of leaders in business, contacts with the development and education and government to assist in financial community throughout the the region's growth, Me. Keyser is a United States, past board member of SPUR, a San REAL ESTATE FEASIBILITY ANALYSIS SPECIALIST Francisco leadership organization Throughout his career, Me. Keyser has formed to promote planning and been extensively involved in analysis government initiatives. He is also of and consultation on multi-use past president of Lamdba Alpha, an projects, His most recent focus is on international land economics society. the emerging trend toward integrating Me. Keyser holds a master's degree in entertainment and retail in new real estate and finance from Colum- developments and on the reposition- bia University. and a bachelor's ing of existing developments, He is degree in economics and political currently consulting with the San science from Cornell University, Francisco Giants and other sponsors on the creation of a sports/entertain- ment complex in San Francisco, .,¡-~ 2.. -. I Other areas of specialization are: DISPOSITION STRATEGtES Mr. Trimble is currently assisting universities, similar institutions, and public agencies in implementing expansion and real estate driven projects, Mr. Trimble is a senior principal and MILITARY BASE AND DEFENSE CONVERSION manager of Keyser Marston AND REPoSmONING Mr. Trimble Associate's San Diego Office, He consults with the City of San Diego came to KMA after serving for 10 and the U.$, Navy on the reuse of the years as the Chief Executive Officer of Naval Training Center in San Diego, San Diego's Centre City Development and is consulting on the repositioning Corporation and for five years as of the General Dynamics property, President of the USC Real Estate also in San Diego, Development Corporation, a real COMMUNITY REVITALIZATION, ECONOMIC estate development corporation DEVElOPMENT, ANO BUSINESS IMPROVEMENT Gerald M. Trimble wholly owned by USe. DISTRICT (BIDs) REVITALIZATION STRATE- KEY ROLE Few others in this country GtES Mr, Trimble has specialized in have been as instrumental in the these activities for 25 years, He process of community revitalization, currently assists clients in diverse Mr. Trimble, for example, played the communities such as the Southeastern principal role in the rebirth of San Economic Development Corporation, Diego's downtown that now features San Diego, BIDs in Mid-City San the world-famous Horton Plaza Diego and La Jolla, Riverside, Califor- mixed-use project, 4,000 new nia and Austin, Texas, Me. Trimble is housing units, both affordable and uniquely positioned to plan and market rate, and several rehabilitation implement business improvement projects in the Gaslamp Quarter. strategies. SPECIALIZATION PROFESSIONAL CREDENTIALS At Keyser Marston, he specializes in Mr, Trimble is a member of the Small providing technical and practical Scale Development Council of the advice on revitalization projects to Urban Land Institute, a charter redevelopment and institutional member and past president of clients, Mr, Trimble's past involve- Lambda Alpha, San Diego Chapter, ment in redevelopment with both the Greater San Diego Chamber of nonprofit and public agencies gives Commerce, and Governor Wilson's him an extraordinary grasp of the California Military Base Reuse Task critical steps in the process of imple- Force, Mr. Trimble earned his bach- menting complex projects, elor of science degree from the University of Southern California and his Real Estate Certificate from the University of California, Los Angeles, 1-~3 - - PAUL C. MARRA SENIOR ASSOCIATE As a Senior Associate in the San Diego office of Keyser Marston Associates, Inc. (KMA), Paul C. Marra consults to public and private clients in the areas of real estate market and financial evaluation, developer negotiations, redevelopment plan adoption, and implementation plans. He has specialized experience in affordable housing, retail, and mixed-use projects throughout California. Paul joined KMA in 1989. Prior to that time, he worked as a real estate economist with Bay Area and East Coast consulting firms for six years. Education Paul graduated Phi Beta Kappa from the Johns Hopkins University with a BA degree in Sociology. He also pursued graduate studies in transportation planning at Northwestern University. Paul is a former exchange student to Latin America and maintains his fluency in Spanish, Professional Affiliations Paul is an active member of the Urban Land Institute, the American Planning Associa- tion, the California Association for Local Economic Development, and Citizens Coordi- nate for Century 3 (C3). Selected Experience Austin, Texas - Downtown Planning and Development Study As part of a team effort, responsible for ongoing market and financial evaluation for downtown redevelopment proposals, including municipal office complex, retail, and housing, Centre City Development Corporation (San Diego) Provided market and financial evaluation, review of developers' proposals, assistance in developer negotiations, and re-use analyses for: . Children's Museum - 40,OOO-SF museum occupying a full block in the Marina Sub-Area . Robinsons-May Building Re-Use - Adaptive re-ùse of department store building for specialty retail, restaurants, and entertainment 4-4.<1 -. "- . Z Gallerie - Proposed adaptive re-use of McGurck Building for upscale specialty retailer CH2M Hill - Rosenberg Department Store, Santa Rosa Reviewed financial feasibility of alternatives to demolition of potentially historic department store building, including re-use as office or retail space and partial demoli- tion with new construction. CityLink Investment Corp. (San Diego) - City Heights Urban Village Currently assisting the City of San Diego and CityLink in evaluating market and financial aspects of a large-scale, inner-city redevelopment project proposed to include retail uses, a police substation, and public amenities. EI Cajon Boulevard BIDs (San Diego) - Business Development and Retention Project Currently assisting two Business Improvement Districts in devising strategies to develop and retain business. Responsible for market demand assessment and evaluation of potential development projects, La Mesa - Power Center Currently assisting in financial analysis and negotiations for a 211 ,ODD-SF promotional retail center. The project will involve use of tax increment and sales tax to repay bond financing used for drainage channel improvements. Oceanside - Cornerstone Evaluated financial aspects of proposed cinema/office complex and deal terms among developer, cinema operator, North County Transit District, and Agency. Oceanside - Pier Plaza In an ongoing role, assisting Agency in review of financial feasibility and deal points for proposed development of hotel, time-shares, and specialty retail. Rick Engineering Co. - San Diego NTC Re-Use Plan Currently working with Rick and Calthorpe Associates on the preparation of are-use plan for the 500-acre Naval Training Center in San Diego. Responsible for market and financial evaluation, review of infrastructure financing options, and fiscal impact analyses. 4- ð $' - . .. Riverside. Mission Inn Reviewed proposed financial transaction and evaluated need for Agency assistance in order to complete renovation and re-opening of historic hotel. San Diego - Mercado Shopping Center Assisted the Agency in evaluating developer proposals and need for financial assistance for shopping center targeted to the Hispanic community in Barrio Logan. Scottsdale Waterfront Venture Partners Assisting developer with ongoing financial evaluation and Agency negotiations for downtown redevelopment project in downtown Scottsdale, Arizona. Project is planned to include specialty retail, entertainment, and restaurant uses in a canal waterfront setting. Southeastern Economic Development Corporation (San Diego) - Market Street Development Plan Evaluated financial feasibility and assistance requirements for commercial and residential uses proposed for Market Street corridor (Mount Hope). Southeastern Economic Development Corporation (San Diego) . Southcrest 252 Corridor Assisted SEDC in deal structuring and financial terms for a proposed community shopping center anchored by a Lucky supermarket. Watsonville . Downtown Revitalization Strategy Assisted the City with its economic revitalization following the 1989 Loma Prieta earthquake, Included analysis of retailing trends, surveys of shoppers and merchants (in English and Spanish), and identification of key opportunities for expanding downtown retail base. 4-~(., - - REFERENCES/CLIENT LIST KEYSER MARSTON ASSOCIATES, INC. 4-.a7 . . . . REPRESENTATIVE ClIENTS CITIES AND REDEVELOPMENT Sacramento Huntington Beach Tustin AGENCIES Saiinas imperiai Beach Upiand San Bruno indian Weiis Vernon Northern California San Carlos India Victorvilie San Francisco Inglewood Vista Aiameda San Jose irvine West Covina Antioch San Leandro La Mesa Westminister Bakersfieid San Mateo La Mirada Whittier Belmont San Pablo Laguna Beach Yorba Linda Benlcla San Rafaei Lawndaie Brisbane San Ramon Long Beach Other Western Cities Campbeii Sand City Los Angeles Capitoia Santa Cruz Lynwood Boise, 10 Ciovis Santa Rosa Mammoth Lakes Phoenix. AZ Concord South San Francisco Marina Portiand. OR Cotati South Lake Tahoe Monrovia Provo. Utah Cupertino Stock1on Montebeiio Reno. NV DaiyCity Sunnyvaie Monterey Park Springfield, OR Danviiie Turiock Moreno Vaiiey Tigard. OR Davis Vaiiejo Nationai City Tuaiatin, OR East Paio Aito Wainut Creek Newport Beach EICerrito Watsonviiie Oakdale Of her US, Cities EI Paso de Rabies West Sacramento Oceanside Emeryviiie Windsor Ontario Austin, TX Eureka Yuba City Orange Indianapolis, iN Fairtieid Oxnard Richmond. VA Foster City Southern California Paim Springs Fremont Paimdale Fresno Aihambra Paramount Haif Moon Bay Anaheim Pasadena Hayward Arcadia Pica Rivera Hercuies Azusa Pomona HoWster Banning Rancho Mirage Lincoin Beii Gardens Rediands Livermore Beverly Hiiis Redondo Beach Marin City Brea Riaito Menio Park Bueiiton Riverside Merced Burbank San Bernardino MiliVaiiey Caiabasas San Ciemente Miiibrae Carisbad San Diego Milpitas Carpenteria San Femando Modesto Cathedrai City San Gabriei Monterey Cerritos San Juan Capistrano Morgan Hiii Chula Vista San Marcos Mountain View Claremont Santa Ana Napa Commerce Santa Ciarita Novato Costa Mesa Santa Fe Springs Oakiand Covina Santa Monica Orinda CuiverCity Santee Pacifica Cypress Seal Beach Paio Alto Escondida Signai Hiii Pinole Fontana SimiVaiiey Piacervilie Fuiierton South Gate Pieasant Hiii Garden Grove Temecula Redwood City Glendale Temple City Richmond Glendora Thousand Oaks Roseviiie Hawthome Torrance 4-~t¡ . - ",. OTHER GOVERNMENTAL AGENCIES Long Beach Harbor Commission The Prudential Property Company Pasadena Chamber of Commerce Rauscher. Pierce. Refsnes County of Alameda Sacramento Office of Parks & Recreation Santa Fe lntemational County of Contra Costa Sacramento Visitors and Convention Center Southern Pacific Transportation Company County of Los Angeles San Diego State University Foundation Spreckels Sugar Company County of Marin San Jose International Airport Standard Realty (Union Pacific) County of Napa San Mateo County Harbor District Texaco.lnc, County of Orange Santa Monica Pier Corporation United Airlines County of Placer South Coast Air Ouality Management District United Savings County of Riverside State of California Department of Wells Fargo Bank County of San Bernardino Transportation Western Federal Savings & Loan Association County of San Diego State of California Office of Real Estate County of Santa Cruz & Design DEVElOPERS AND INVESTORS County of Santa Clara U,S, Army Corps of Engineers U,S, National Park Service AKT Development Corporation Port of Los Angeles Western Division Naval Facilities Engineering Amador Land & Cattle Port of Oakland Command American International Racing, Inc, Port of Portland, OR American Interstate Financial Corporation Port of Redwood City CORPORATIONS AND FINANCIAL INSTITUTIONS American Pacific Investments Port of San Diego Angeles Real Estate Corporation Port of San Francisco Aetna Investment Group Baker Hamilton Building Port of Seattle. WA Aetna Property Services Berg-Revoir Arcadia Unified School District ARCO BCTC Development Corporation Glendale Unified School District AT&T Resource Management BJW Associates/Gerson Bakar Los Angeles Community College District Bank of America Birtcher Property Service Oakland Unified School District Bank of California Bohannon Development Company Pasadena Unified School District Bechtel Investments Bombay Company Richmond Unified School District Borland International Brown & Root Building Co, San Marcos Unitied School District Busch Properties, Inc, C&L Financial Corporation Scottsdale Unified School District, Arizona Chase Manhattan Bank California Pacific Homes Crocker National Bank Campeau California Corporation Bay Area Rapid Transit District (BART) Del Monte Corporation Carson Mall Partners California Transportation Commission Dreyer's Grand Ice Cream Catellus Development Corporation (Caltrans) Federal Asset Disposition Association Century Partners Los Angeles County Metropolitan Federal Research Bank Challenge Homes Transportation Authority Federated Stores Realty. Inc, CityLink Investment Corp, Metropolitan Transportation Commission Fireman's Fund Insurance Continental Development Corporation North County Transit District (San Diego) First Interstate Bank Crocker Land Company Sacramento Regional Transit First Union Real Estate Investments DBO Development Co, San Diego Metropolitan Transit Development Ford Motor Land Development Corporation Durant Square Board General Dynamics Elverta Village Property Owners Group Goldman, Sachs & Company Embarcadero Center. Inc, San Diego Housing Commission Granite Rock Company Forest City Development San Jose Housing Department The Griffith Trust Gatlin Development Santa Clara County Housing Authority Hibemia Bank Goldsmith & Lathrop Santa Rosa Housing Authority Home Savings & Loan Association Grupe Development Company IMO Industries H.L. Summers Corporation Centre City Development Corporation, Industrial Indemnity Financial Corporation H-Y-H Corporation San Diego IntraCal Properties Handsome Properties Long Beach Housing Jack-In-The-Box Homart Development Company Los Angeles County Community JMB Urban Realty JAE Properties Development Commission Kmart Corporation Jay-Phares Corp, Portland Development Commission Lockheed Corporation JMA Properties Southeast Economic Development Lone Star Industries The Koll Company Corporation of San Diego Merrill Lynch (MLH Group, lnc,) Lance-Kashian & Co, Capital Area Development Authority Nabisco Brands, Inc, Landgrant Development Natomas Corporation Latigo/West California Coastal Conservancy Pacific States Steel Corporation Lincoln Properties Cow Palace PacTel Properties The Linpro Company Golden Gate National Park Association PG&E Properties. Inc, Los Angeles Bonaventure Company 4 - ,3.~ - - McCuen Properties Promote La Jolla Inc, Rutan & Tucker May Centers RetiremenlTrust Fund of the Plumbers, Shute, Mihaly & Weinberger Metro 2000 Heating & Piping Industry of Southern Thelen, Marrin, Johnson & Bridges Mission West Properties California Tompkins & Parrington Nikko Capital Corporation San Diego/North Park Business Overton. Moore & Associates. Inc, Improvement District OTHER PROFESSIONALS Pacific Rim Development San Francisco Giants Pan Magna Group San Francisco Planning and Urban Research Albert C, Martin Parkland Properties Association (SPUR) The Arroyo Group Peregrine Real Estate Group Screen Actors Guild Barton-Aschman Associates, Inc, Perini Land and Development Company S,H, Cowell Foundation Cannon Design Group Portman Properties Stanford University Investment Management CH2M HILL REA Companies Organization CHCG Architects Realty Holdings Group Trinity College CIC Research Reininga Corporation University of Alaska David Paul Rosen & Associates Richland Interests University of California, Berkeley DKS Associates River Edge DevelopmentCo,lnc, University of California. Davis EDAW Scandinavia Center, Inc, University of Southern California ELS/Elbasani & Logan Architects Scottsdale WafertrontVenture Parfners USC Real Estate Development Corp, Environrnentallmpact Planning Corporation Shea Homes West Hollywood Community Housing Corp, Gruen Associates Stoneson Development Corporation YMCA Berkeley-Albany HGHB Talmadge Burke Heller & Leake T&S Developmenf ArrORNEYS-AT-lAW Investment Solutions Teichert Properties John Dykstra & Associates Vintage Properties Augustini & Wheeler Kaplan/McLaughlin/Diaz Wrather Port Properties Baker, McKenzie & Tosta Karsten Realty Advisors The Yarmouth Group. Inc, Brenton A. Bleier Katz Hollis, Inc, TheYellin Company Brobeck, Phleger & Harrison KDG Development Yerby Corporation Cooley Godward Castro Huddieson & Tatum The Legaspi Co, Cooper, Epstein & Hurewitz Lionakis-Beaumont INSTITUTIONS, ESTATES & NON-PROFIT Crosby. Heafy. Roach & May Mancini-Mills ORGANIZATIONS Demetriou. Del Guercio, Springer & Moyer The Matrix Group Doug Ring Melendrez Associates Adams Avenue Business Association Dummit. Faber & Brown Miller & Schroeder All Saints Church. Pasadena Epstein, Becker. Strornberg Moore lacafono Goltsman Berkeley Repertory Theater Fitzgerald. Abbott & Beardsley Nadel Partnership Blue Shield of California Freilich. Kaufman, Stone & Sohagi Nihonmachi Corp, BRIDGE Housing Corporation Furth. Fahrner & Mason Parson Brinckerhoff Quade & Douglas, lnc, California Roundtable Gibson Dunn & Crutcher The Planning Center California State University at Fresno Giles & Burkhalte, The Planning Collaborative City Building Goldfarb & Lipman PMW Associates Central California Regional Medical Center Goldstein & Goldstein Polshek& Partners Community Housing Development Gordon & Rees ProSite Inc, Corporation of North Richmond Hahn & Hahn The Mancini Co, Congregation Beth Israei Holliman. Hackard & Taylor Richard Morehouse Associates Delta Dental Plan of California Jackl, Katzen, Hulchiy & Murray Rick Engineering EI Cajon Boulevard Central Business Kane. Ballmer & Berkman Robert Bein. William Frost & Associates Improvement Association Kennedy & Wasserman ROMA Design Group Estate of Edward J, Daly King. Shapiro. Mittlernan & Buchman RTKL Estate of James Campbell Knox, Lernrnon. Brady. Anapolsky & Sheridan Sedway Cooke Associates Financial Intermediary Credit Corp, Landels Ripley & Diamond Skidmore, Owings and Merrill Fresno Metropolitan Museum Lillick & Charles Stoorza Ziegaus & Metzger Glendale Community Coilege Matteoni. Saxe & Nanda The SWA Group Hollywood Entertainment Museurn Mitchell. Silberberg and Knupp Tudor Engineering League to Save Lake Tahoe McDonough, Holland & Allen Wilbur Smith & Associates Lundeberg Maryland Seamanship School. Mcinerney & Dillion Zimmer Gunsul Frasca Inc, Morrison & Foerster Lutheran Church Missouri Synod O'Brien & Harrington Mission West Valley Foundation Pachter. Gold & Schaffer Music Center of Los Angeles County Pettit & Martin 4-40 ATTACHMENT 2 Agreement between City of Chula Vista, Redevelopment Agency of the City of Chula Vista and Keyser Marston and Associates, Inc, for Market Analysis and Financial Feasibility Services This agreement ("Agreement"), dated October 7 for the purposes of reference only, and effective as of the date last executed unless another date is otherwise specified in Exhibit A, Paragraph 1 is between the City-related entity as is indicated on Exhibit A, paragraph 2, as such ("City"), whose business form is set forth on Exhibit A, paragraph 3, and the entity indicated on the attached Exhibit A, paragraph 4, as Consultant, whose business form is set forth on Exhibit A, paragraph 5, and whose place of business and telephone numbers are set forth on Exhibit A, paragraph 6 ("Consultant"), and is made with reference to the following facts: Recitals Whereas, significant development proposals are anticipated for various properties within the City; and, Whereas, the City requires expert advice with regards to market analysis and financial feasibility of real-estate development proposals; and, Whereas, as a result of a competitive bidding process conducted in accordance with standard City consultant selection processes, the City wishes to contract with Keysr Marston Associates, Inc. (Consultant), a firm with the required specialized talent and expertise; and, Whereas, Consultant warrants and represents that they are experienced and staffed in a manner such that they are and can prepare and deliver the services required of Consultant to City within the time frames herein provided all in accordance with the terms and conditions of this Agreement; (End of Recitals, Next Page starts Obligatory Provisions.) 4- c..f ( Page 1 - - Obligatory Provisions Pages NOW, THEREFORE, BE IT RESOLVED that the City and Consultant do hereby mutually agree as follows: 1. Consultant's Duties A General Duties Consultant shall perform all of the services described on the attached Exhibit A, Paragraph 7, entitled "General Duties"; and, B, Scope of Work and Schedule In the process of performing and delivering said "General Duties", Consultant shall also perform all of the services described in Exhibit A, Paragraph 8, entitled" Scope of Work and Schedule", not inconsistent with the General Duties, according to, and within the time frames set forth in Exhibit A, Paragraph 8, and deliver to City such Deliverables as are identified in Exhibit A, Paragraph 8, within the time frames set forth therein, time being of the essence of this agreement The General Duties and the work and deliverables required in the Scope of Work and Schedule shall be herein referred to as the "Defined Services". Failure to complete the Defined Services by the times indicated does not, except at the option of the City, operate to terminate this Agreement C. Reductions in Scope of Work City may independently, or upon request from Consultant, from time to time reduce the Defined Services to be performed by the Consultant under this Agreement Upon doing so, City and Consultant agree to meet in good faith and confer for the purpose of negotiating a corresponding reduction in the compensation associated with said reduction. D. Additional Services In addition to performing the Defined Services herein set forth, City may require Consultant to perform additional consulting services related to the Defined Services ("Additional Services"), and upon doing so in writing, if they are within the scope of services offered by Consultant, Consultant shall perform same on a time and materials basis at the rates set forth in the "Rate Schedule" in Exhibit A, Paragraph 11 (C), unless a separate fixed fee is otherwise agreed upon. All compensation for Additional Services shall be paid monthly as billed, E. Standard of Care Consultant, in performing any Services under this agreement, whether Defined Services or Additional Services, shall perform in a manner consistent with that level of care and skill ordinarily exercised by members of the profession currently practicing under similar conditions and in similar locations. F, Insurance Consultant represents that it and its agents, staff and subconsultants employed by it in connection with the Services required to be rendered, are protected against the risk of loss by the following insurance coverages, in the following categories, and to the limits specified, policies of which are issued by Insurance Companies that have a Best's Rating of "A, Class V" or better, or shall meet with the approval of the City: 4-4'- Page 2 Statutory Worker's Compensation Insurance and Employer's Liability Insurance coverage in the amount set forth in the attached Exhibit A, Paragraph 9, Commercial General Liability Insurance including Business Automobile Insurance coverage in the amount set forth in Exhibit A, Paragraph 9, combined single limit applied separately to each project away from premises owned or rented by Consultant, which names City and Applicant as an Additional Insured, and which is primary to any policy which the City may otherwise carry ("Primary Coverage"), and which treats the employees of the City and Applicant in the same manner as members of the general public ("Cross-liability Coverage"). Errors and Omissions insurance, in the amount set forth in Exhibit A, Paragraph 9, unless Errors and Omissions coverage is included in the General Liability policy. G, Proof of Insurance Coverage. (1) Certificates of Insurance. Consultant shall demonstrate proof of coverage herein required, prior to the commencement of services required under this Agreement, by delivery of Certificates of Insurance demonstrating same, and further indicating that the policies may not be canceled without at least thirty (30) days written notice to the Additional Insured, (2) Policy Endorsements Required. In order to demonstrate the Additional Insured Coverage, Primary Coverage and Cross-liability Coverage required under Consultant's Commercial General Liability Insurance Policy, Consultant shall deliver a policy endorsement to the City demonstrating same, which shall be reviewed and approved by the Risk Manager. H, Security for Performance, (1) Performance Bond, In the event that Exhibit A, at Paragraph 19, indicates the need for Consultant to provide a Performance Bond (indicated by a check mark in the parenthetical space immediately preceding the subparagraph entitled "Performance Bond"), then Consultant shall provide to the City a performance bond by a surety and in a form and amount satisfactory to the Risk Manager or City Attorney which amount is indicated in the space adjacent to the term, "Performance Bond", in said Paragraph 19, Exhibit A (2) Letter of Credit. In the event that Exhibit A, at Paragraph 19, indicates the need for Consultant to provide a Letter of Credit (indicated by a check mark in the parenthetical space immediately preceding the subparagraph entitled "Letter of Credit"), then Consultant shall provide to the City an irrevocable letter of credit callable by the City at their unfettered discretion by submitting to the bank a letter, signed by the City Manager, stating that the Consultant is in breach of the terms of this Agreement. The letter of credit shall be issued by a bank, and be in a form and amount satisfactory to the Risk Manager or City Attorney which amount is indicated in the space adjacent to the term, "Letter of Credit", in said Paragraph 19, Exhibit A 4- C¡3 Page 3 (3) Other Security In the event that Exhibit A, at Paragraph 19, indicates the need for Consultant to provide security other than a Performance Bond or a Letter of Credit (indicated by a check mark in the parenthetical space immediately preceding the subparagraph entitled "Other Security"), then Consultant shall provide to the City such other security therein listed in a form and amount satisfactory to the Risk Manager or City Attorney. L Business License Consultant agrees to obtain a business license from the City and to otherwise comply with Title 5 of the Chula Vista Municipal Code, 2. Duties of the City A. Consultation and Cooperation City shall regularly consult the Consultant for the purpose of reviewing the progress of the Defined Services and Schedule therein contained, and to provide direction and guidance to achieve the objectives of this agreement The City shall permit access to its office facilities, files and records by Consultant throughout the term of the agreement In addition thereto, City agrees to provide the information, data, items and materials set forth on Exhibit A, Paragraph 10, and with the further understanding that delay in the provision of these materials beyond 30 days after authorization to proceed, shall constitute a basis for the justifiable delay in the Consultant's performance of this agreement B. Compensation Upon receipt of a properly prepared billing from Consultant submitted to the City periodically as indicated in Exhibit A, Paragraph 18, but in no event more frequently than monthly, on the day of the period indicated in Exhibit A, Paragraph 18, City shall compensate Consultant for all services rendered by Consultant according to the terms and conditions set forth in Exhibit A, Paragraph 1,1, adjacent to the governing compensation relationship indicated by a "checkmark" next to the appropriate arrangement, subject to the requirements for retention set forth in paragraph 19 of Exhibit A, and shall compensate Consultant for out of pocket expenses as provided in Exhibit A, Paragraph 12, All billings submitted by Consultant shall contain sufficient information as to the propriety of the billing to permit the City to evaluate that the amount due and payable thereunder is proper, and shall specifically contain the City's account number indicated on Exhibit A, Paragraph 18 (C) to be charged upon making such payment 3. Administration of Contract Each party designates the individuals ("Contract Administrators") indicated on Exhibit A, Paragraph 13, as said party's contract administrator who is authorized by said party to represent them in the routine administration of this agreement 4. Term. The initial term of this Agreement shall extend from the effective date hereof until October 7,1999, 4-cf.¥ Page 4 This agreement may be extended by written authorization from the City Manager/Executive Director for two additional one year terms (until October 7, 2000, and October 7, 2001 respectively) Notwithstanding the foregoing, this agreement shall be extended beyond the above-established termination date necessary to allow for the timely completion of service requests made by the City prior to such termination date. 5, Liquidated Damages The provisions of this section apply if a Liquidated Damages Rate is provided in Exhibit A, Paragraph 14. It is acknowledged by both parties that time is of the essence in the completion of this Agreement. It is difficult to estimate the amount of damages resulting from delay in performance. The parties have used their judgment to arrive at a reasonable amount to compensate for delay. Failure to complete the Defined Services within the allotted time period specified in this Agreement shall result in the following penalty: For each consecutive calendar day in excess of the time specified for the completion of the respective work assignment or Deliverable, the consultant shall pay to the City, or have withheld from monies due, the sum of Liquidated Damages Rate provided in Exhibit A, Paragraph 14 ("Liquidated Damages Rate"). Time extensions for delays beyond the consultant's control, other than delays caused by the City, shall be requested in writing to the City's Contract Administrator, or designee, prior to the expiration of the specified time. Extensions of time, when granted, will be based upon the effect of delays to the work and will not be granted for delays to minor portions of work unless it can be shown that such delays did or will delay the progress of the work, 6, Financial Interests of Consultant A. Consultant is Designated as an FPPC Filer. If Consultant is designated on Exhibit A, Paragraph 15, as an "FPPC filer", Consultant is deemed to be a "Consultant" for the purposes of the Political Reform Act conflict of interest and disclosure provisions, and shall report economic interests to the City Clerk on the required Statement of Economic Interests in such reporting categories as are specified in Paragraph 15 of Exhibit A, or if none are specified, then as determined by the City Attorney. B. Decline to Participate, Regardless of whether Consultant is designated as an FPPC Filer, Consultant shall not make, or participate in making or in any way attempt to use Consultant's position to influence a governmental decision in which Consultant knows or has reason to know Consultant has a financial interest other than the compensation promised by this Agreement. C, Search to Determine Economic Interests. Regardless of whether Consultant is designated as an FPPC Filer, Consultant warrants and represents that Consultant has diligently conducted a search and inventory of Consultant's economic interests, as the term is used in the regulations promulgated by the Fair Political Practices Commission, and has determined that Consultant does not, to the best of Consultant's knowledge, have an economic interest which would conflict with Consultant's duties under this agreement. 4-t./S- Page 5 D. Promise Not to Acquire Conflicting Interests. Regardless of whether Consultant is designated as an FPPC Filer, Consultant further warrants and represents that Consultant will not acquire, obtain, or assume an economic interest during the term of this Agreement which would constitute a conflict of interest as prohibited by the Fair Political Practices Act. E, Duty to Advise of Conflicting Interests. Regardless of whether Consultant is designated as an FPPC Filer, Consultant further warrants and represents that Consultant will immediately advise the City Attorney of City if Consultant learns of an economic interest of Consultant's which may result in a conflict of interest for the purpose of the Fair Political Practices Act, and regulations promulgated thereunder. F. Specific Warranties Against Economic Interests. Consultant warrants and represents that neither Consultant, nor Consultant's immediate family members, nor Consultant's employees or agents ("Consultant Associates") presently have any interest, directly or indirectly, whatsoever in any property which may be the subject matter of the Defined Services, or in any property within 2 radial miles from the exterior boundaries of any property which may be the subject matter of the Defined Services, ("Prohibited Interest"), other than as listed in Exhibit A, Paragraph 15, Consultant further warrants and represents that no promise of future employment, remuneration, consideration, gratuity or other reward or gain has been made to Consultant or Consultant Associates in connection with Consultant's performance of this Agreement Consultant promises to advise City of any such promise that may be made during the Term of this Agreement, or for 12 months thereafter. Consultant agrees that Consultant Associates shall not acquire any such Prohibited Interest within the Term of this Agreement, or for 12 months after the expiration of this Agreement, except with the written permission of City, Consultant may not conduct or solicit any business for any party to this Agreement, or for any third party which may be in conflict with Consultant's responsibilities under this Agreement, except with the written permission of City, The City shall be informed immediately of potential conflicts of interest arising out of requested work assignments, Consultant shall refrain from proceeding with assigned tasks until approval has been obtained from the City, The City reserves the right to obtain services from an alternate consultant in the event of an actual or potential conflict of interest. The City further reserves the right to secure services from an alternate consultant when availability is a determining factor. The City shall be the sole judge in determining when an alternate consultant will be retained, 7. Hold Harmless Consultant shall defend, indemnify, protect and hold harmless the City, its elected and appointed officers and employees, from and against all claims for damages, liability, cost and expense (including without limitation attorneys' fees) arising out of the conduct of the Consultant, or any agent or employee, subcontractors, or others in connection with the execution of the work covered by this Agreement, except only for those claims arising from the sole negligence or sole willful misconduct of the City, its officers, or employees. Consultant's indemnification shall include any and all costs, expenses, attorneys' fees and liability incurred by the City, its officers, agents, or Page 6 4-4'- - . ' . employees in defending against such claims, whether the same proceed to judgment or not. Further, Consultant at its own expense shall, upon written request by the City, defend any such suit or action brought against the City, its officers, agents, or employees, Consultants' indemnification of City shall not be limited by any prior or subsequent declaration by the Consultant. 8. Termination of Agreement for Cause If, through any cause, Consultant shall fail to fulfill in a timely and proper manner Consultant's obligations under this Agreement, or if Consultant shall violate any of the covenants, agreements or stipulations of this Agreement, City shall have the right to terminate this Agreement by giving written notice to Consultant of such termination and specifying the effective date thereof at least five (5) days before the effective date of such termination. In that event, all finished or unfinished documents, data, studies, surveys, drawings, maps, reports and other materials prepared by Consultant shall, at the option of the City, become the property of the City, and Consultant shall be entitled to receive just and equitable compensation for any work satisfactorily completed on such documents and other materials up to the effective date of Notice of Termination, not to exceed the amounts payable hereunder, and less any damages caused City by Consultant's breach, 9. Errors and Omissions In the event that the City Administrator determines that the Consultants' negligence, errors, or omissions in the performance of work under this Agreement has resulted in expense to City greater than would have resulted if there were no such negligence, errors, omissions, Consultant shall reimburse City for any additional expenses incurred by the City, Nothing herein is intended to limit City's rights under other provisions of this agreement. 10. Termination of Agreement for Convenience of City City may terminate this Agreement at any time and for any reason, by giving specific written notice to Consultant of such termination and specifying the effective date thereof, at least thirty (30) days before the effective date of such termination. In that event, all finished and unfinished documents and other materials described hereinabove shall, at the option of the City, become City's sole and exclusive property. If the Agreement is terminated by City as provided in this paragraph, Consultant shall be entitled to receive just and equitable compensation for any satisfactory work completed on such documents and other materials to the effective date of such termination, Consultant hereby expressly waives any and all claims for damages or compensation arising under this Agreement except as set forth herein. 11. Assignability The services of Consultant are personal to the City, and Consultant shall not assign any interest in this Agreement, and shall not transfer any interest in the same (whether by assignment or novation), without prior written consent of City, City hereby consents to the assignment of the portions of the Defined Services identified in Exhibit A, Paragraph 17 to the subconsultants identified thereat as "Permitted Subconsultants", 12, Ownership, Publication, Reproduction and Use of Material All reports, studies, information, data, statistics, forms, designs, plans, procedures, systems and any other materials or properties produced under this Agreement shall be the sole and exclusive property of City. No such materials or properties produced in whole or in part under this Agreement shall be subject to private use, copyrights or patent rights by Consultant in the United States or in any other country without the express written consent of City, City shall have unre- Page 7 4-C¡-' - - " - stricted authority to publish, disclose (except as may be limited by the provisions of the Public Records Act), distribute, and otherwise use, copyright or patent, in whole or in part, any such re- ports, studies, data, statistics, forms or other materials or properties produced under this Agreement 13. Independent Contractor City is interested only in the results obtained and Consultant shall perform as an independent contractor with sole control of the manner and means of performing the services required under this Agreement. City maintains the right only to reject or accept Consultant's work products, Consultant and any of the Consultant's agents, employees or representatives are, for all purposes under this Agreement, an independent contractor and shall not be deemed to be an employee of City, and none of them shall be entitled to any benefits to which City employees are entitled including but not limited to, overtime, retirement benefits, worker's compensation benefits, injury leave or other leave benefits, Therefore, City will not withhold state or federal income tax, social security tax or any other payroll tax, and Consultant shall be solely responsible for the payment of same and shall hold the City harmless with regard thereto, 14. Administrative Claims Requirements and Procedures No suit or arbitration shall be brought arising out of this agreement, against the City unless a claim has first been presented in writing and filed with the City and acted upon by the City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal Code, as same may from time to time be amended, the provisions of which are incorporated by this reference as if fully set forth herein, and such policies and procedures used by the City in the implementation of same, Upon request by City, Consultant shall meet and confer in good faith with City for the purpose of resolving any dispute over the terms of this Agreement 15, Attorney's Fees Should a dispute arising out of this Agreement result in litigation, it is agreed that the prevailing party shall be entitled to recover all reasonable costs incurred in the defense of the claim, including costs and attorney's fees. 16. Statement of Costs In the event that Consultant prepares a report or document, or participates in the preparation of a report or document in performing the Defined Services, Consultant shall include, or cause the inclusion of, in said report or document, a statement of the numbers and cost in dollar amounts of all contracts and subcontracts relating to the preparation of the report or document. 17. Miscellaneous A Consultant not authorized to Represent City Unless specifically authorized in writing by City, Consultant shall have no authority to act as City's agent to bind City to any contractual agreements whatsoever. 4-4' Page 8 - - " - B. (1) Consultant is Real Estate Broker and/or Salesman If the box on Exhibit A, Paragraph 16 is marked, the Consultant and/or their principals is/are licensed with the State of California or some other state as a licensed real estate broker or salesperson. Otherwise, Consultant represents that neither Consultant, nor their principals are licensed real estate brokers or salespersons. C. Notices All notices, demands or requests provided for or permitted to be given pursuant to this Agreement must be in writing, All notices, demands and requests to be sent to any party shall be deemed to have been properly given or served if personally served or deposited in the United States mail, addressed to such party, postage prepaid, registered or certified, with return receipt requested, at the addresses identified herein as the places of business for each of the designated parties. D. Entire Agreement This Agreement, together with any other written document referred to or contemplated herein, embody the entire Agreement and understanding between the parties relating to the subject matter hereof. Neither this Agreement nor any provision hereof may be amended, modified, waived or discharged except by an instrument in writing executed by the party against which enforcement of such amendment, waiver or discharge is sought. E. Capacity of Parties Each signatory and party hereto hereby warrants and represents to the other party that it has legal authority and capacity and direction from its principal to enter into this Agreement, and that all resolutions or other actions have been taken so as to enable it to enter into this Agreement. F. Governing LawNenue This Agreement shall be governed by and construed in accordance with the laws of the State of California, Any action arising under or relating to this Agreement shall be brought only in the federal or state courts located in San Diego County, State of California, and if applicable, the City of Chula Vista, or as close thereto as possible. Venue for this Agreement, and performance hereunder, shall be the City of Chula Vista, [end of page, next page is signature page.] 4-c/' Page 9 Signature Page to Agreement between City of Chula Vista, Redevelopment Agency of the City of Chula Vista and Keyser Marston Associates, Inc, for Market Analysis and Financial Feasibility Services IN WITNESS WHEREOF, City and Consultant have executed this Agreement thereby indicating that they have read and understood same, and indicate their full and complete consent to its terms: Dated: 19 - City of Chula Vista by: Shirley Horton, Mayor Attest: Beverly Authelet, City Clerk Approved as to form: John M. Kaheny, City Attorney Dated: Keyser Marston Associates Inc. By: Calvin E. Hollis, II Senior Principal Exhibit List to Agreement (X) Exhibit A. 4 -~-o Page 10 Exhibit A to Agreement between City of Chula Vista, Redevelopment Agency of the City of Chula Vista and Keyser Marton Associates, Inc. 1, Effective Date of Agreement: October 7, 1997 2. City-Related Entity: (X) City of Chula Vista, a municipal chartered corporation of the State of California (X) Redevelopment Agency of the City of Chula Vista, a political subdivision of the State of California () Industrial Development Authority of the City of Chula Vista, a () Other: a [insert business form] ("City") 3. Place of Business for City: City of Chula Vista, 276 Fourth Avenue, Chula Vista, CA 91910 4. Consultant: Keyser Marston Associates, Inc. 5. Business Form of Consultant: ( ) Sole Proprietorship ( ) Partnership ( X ) Corporation 6. Place of Business, Telephone and Fax Number of Consultant: 500 S. Grand Ave., Ste #1840 1660 Hotel Circle N., Ste #716 Los Angeles, California 90071 San Diego, California 92108 Voice Phone (213) 622-8095 Voice Phone (619) 718-9500 Fax Phone (213) 622-5204 Fax Phone (619) 718-9508 Page 11 4 -s-I 7, General Duties: Upon written request by the City, Consultant will provide market analysis and financial feasibility services to the City of Chula Vista and the Redevelopment Agency of the City of Chula Vista on a project by project basis. Specific scopes of work shall be agreed upon in writing prior to the commencement of consulting services, Each such agreed upon project specific scope of work shall become part of this Agreement and is hereby incorporated herein by this reference, Projects will be assigned on an as-needed basis, and the general duties will be project-specific. 8, Scope of Work and Schedule: A. Detailed Scope of Work: The details of the scope of work will be defined on a project-by-project basis but may include: (1) Analysis of real estate market activity and demographic and economic trends (2) Preparation of Requests for Proposals (3) Review of development proposals and proformas (4) Determination of market feasibility/economic viability of a proposed project (5) Examination of impediments to private development/determine if public assistance is necessary (6) Evaluation of potential sources of revenue and other financing options available (7) Cash flow analysis (8) Assistance with developer negotiations (9) Presentations before City Council, City Boards and Commissions and the Community B. Date for Commencement of Consultant Services: C. Dates or Time Limits for Delivery of Deliverables: To be determined on a project by project basis. D. Date for completion of all Consultant services: Completion dates for services shall be established on a project by project basis, 9, Insurance Requirements: (X) Statutory Worker's Compensation Insurance () Employer's Liability Insurance coverage: $1,000,000, (X) Commercial General Liability Insurance: $1,000,000. Page 12 4-s~ () Errors and Omissions insurance: None Required (included in Commercial General Liability coverage). (X) Errors and Omissions Insurance: $1,000,000 (not included in Commercial General Liability coverage). 10. Materials Required to be Supplied by City to Consultant: City agrees to furnish to KMA, in a timely manner, such maps, records and other documents and proceedings, or certified copies thereof, as are available from City offices and may be reasonably required by KMA in the performance of these services. City agrees to provide KMA a minimum of 72 hours preliminary notice prior to requesting work to proceed, 11, Compensation: A (X) Hourly Rate Arrangement For performance of the Defined Services by Consultant as herein required, City shall pay Consultant for the productive hours of time spent by Consultant in the performance of said Services, at the rates or amounts set forth in the Rate Schedule hereinbelow according to the following terms and conditions: (1) (X) Not-to-Exceed Limitation on Time and Materials Arrangement Notwithstanding the expenditure by Consultant of time and materials in excess of said Maximum Compensation amount, Consultant agrees that Consultant will perform all of the Defined Services required of Consultant on the basis of "Not to Exceed" amount, set forth therein in each agreed upon Project Scope or Work, including all Materials, and other "reimbursables" ("Maximum Compensation"). This "Not to Exceed" amount shall be based on the rates listed below and shall be submitted to the City prior to commencement of work, (2) (X) Limitation without Further Authorization on Time and Materials Arrangement At such time as Consultant shall have incurred time and materials equal to $200,000 ("Authorization Limit"), Consultant shall not be entitled to any addi- tional compensation without further authorization issued in writing and approved by the City. Nothing herein shall preclude Consultant from providing additional Services at Consultant's own cost and expense, The rates below shall apply for the entire term of this Agreement, including the extended term provided in Section 4 hereof. 4-:$3 Page 13 Rate Schedule Category of Employee Name Hourly Rate President A. Jerry Keyser $175,00 Senior Principals $160,00 Principals $150,00 Senior Associates $130.00 Associates $115.00 Senior Analysts $100,00 Analysts $90.00 Technical Staff $65.00 Administrative Staff $50,00 12. Materials Reimbursement Arrangement For the cost of out of pocket expenses incurred by Consultant in the performance of services herein required, City shall pay Consultant at the rates or amounts set forth below: (X) None, the compensation includes all costs. 13, Contract Administrators: City: Lyle Haynes, Assistant to the Community Development Director Consultant: Calvin E, Hollis, Senior Principal 14, Liquidated Damages Rate: ( ) $- per day. (X) Other: None 15, Statement of Economic Interests, Consultant Reporting Categories, per Conflict of Interest Code: (X) Not Applicable, Not an FPPC Filer. ( ) FPPC Filer () Category No.1, Investments and sources of income. () Category No.2. Interests in real property. () Category No, 3, Investments, interest in real property and sources of income subject to the regulatory, permit or licensing authority of the department 4 -~-Ý Page 14 - - () Category No, 4, Investments in business entities and sources of income which engage in land development, construction or the acquisition or sale of real property, () Category No, 5. Investments in business entities and sources of income of the type which, within the past two years, have contracted with the City of Chula Vista (Redevelopment Agency) to provide services, supplies, materials, machinery or equipment. () Category No.6, Investments in business entities and sources of income of the type which, within the past two years, have contracted with the designated employee's department to provide services, supplies, materials, machinery or equipment ( ) Category No, 7. Business positions, ( ) List "Consultant Associates" interests in real property within 2 radial miles of Project Property, if any: 16, ( ) Consultant is Real Estate Broker and/or Salesman 17. Permitted Subconsultants: None, without prior written approval in the City's sole discretion 18. Bill Processing: A. Consultant's Billing to be submitted for the following period of time: (X) Monthly ( ) Quarterly ( ) Other: B. Day of the Period for submission of Consultant's Billing: ( ) First of the Month (X) 15th Day of each Month ( ) End of the Month ( ) Other: C, City's Account Number: Various Community Development Department Accounts 19. Security for Performance Not Applicable Page 15 4 -~-S;- - - ,- REDEVELOPMENT AGENCY AGENDA STATEMENT Item ~- Meeting Date 10107/97 ITEM TITLE: RESOLUTION I ~1.0 EXTENDING THE OWNER PARTICIPATION AGREEMENT WITH LAWRENCE M, ANO STEPHEN P. CUSHMAN, OATEO SEPTEMBER 1, 1992, FOR A PERIOO OF TWO YEARS SUBMITTED BY: Comm""', D.~I"pm.. Di."O~ REVIEWED BY: Executive Oirector -..JG1] /< (4/5ths Vote: Yes- No..xJ BACKGROUND: The Agency entered into an Owner Participation Agreement (OPA) (Attachment 1) with Mrs. Helen Cushman on October 17, 1991 for the development of an approximately 10.acre property located at 517 Shinohara Lane, This property was later transferred to Lawrence M. and Stephen P. Cushman, and an OPA was re- approved for the new owners on September 1, 1992. The OPA was extended by the Agency until October 17, 1993. A second extension was granted by the Agency on March 1. 1994 which extended the OPA to October 17, 1995, and a third extension granted on November 7, 1995 extending the OPA to October 17, 1997. The Cushmans have requested a further extension of the Agreement due to current adverse market conditions (see letter, Attachment 2). RECOMMENDATION: That the Agency adopt the resolution approving a two year extension of the OPA. DISCUSSION: The Cushman site comprises 9.73 acres at the westerly end of Shinohara Lane (see Project Map, Attachment 3). This site slopes to the south and is bounded on the south and east by industrial projects; on the west by single-family residences fronting on Oleander Avenue; and on the north by a multi-family condominium project. Two industrial warehouse buildings comprising 110,000 square feet are planned for construction. This project was originally proposed as a single industrial building with a loading bay facing west. City staff worked closely with the developer's architect to redesign the project in order to minimize noise and visual impacts upon neighboring residential properties. In approving the project the Agency required that two noise studies be undertaken; the first to occur when the building is 80 percent occupied, and the second to occur six months later, If necessary, the owner will be required to perform reasonable mitigation measures to protect neighboring residential properties. 5'-1 - . ,,' - Page 2. Item ~ Meeting Date 10/07/97 The grading of the site has been completed. The Cushmans have requested an extension of the OPA for two additional years in order to apply for building permits. The need for the extension is due primarily to current economic conditions which have greatly impacted the local industrial construction and rental market. In consideration of the past market conditions and indications that the market may be improving, staff recommends that the Agency authorize an additional two year extension to October 17, 1999. At the end of that time, the project may require review by the Oesign Review Committee if staff determines that conditions in the area have changed. FISCAL IMPACT: The estimated value of the proposed project is $2,750,000. The project will provide $27,500 in tax increment revenue to the Agency following construction. lFK) H:IHOMEICOMMOEV\STAFF,REP\10,O7,97ICUSHMAN,OPA [S,ptømb" 19. 1997 (11:15pmll 5-~ - - RESOLUTION NO. ~ RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA EXTENDING THE OWNER PARTICIPATION AGREEMENT WITH LAWRENCE M. AND STEPHEN P. CUSHMAN, DATED SEPTEMBER 1, 1992, FOR A PERIOD OF TWO YEARS WHEREAS, the Redevelopment Agency ("Agency") entered into an Owner Participation Agreement with Lawrence M. and Stephen P. Cushman ("Owners") on September 1, 1992 ("Owner Participation Agreement"); and WHEREAS, said Owner Participation Agreement required the Owners to obtain building permits within two years from the date of the Agreement, and to develop the property within one year thereafter; and WHEREAS, the Agency approved a two year extension of the Owner Participation Agreement on March 1, 1994 to October 17, 1995; and WHEREAS, the Agency approved an additional two year extension of the Owner Participation Agreement on November 7, 1995; and WHEREAS, the Owners have graded the site but have not as yet applied for building permits due to current adverse economic conditions impacting industrial development in the San Diego region; and WHEREAS, the Owners have requested an extension until October 17, 1999 in order to apply for building permits and start construction. NOW, THEREFORE, BE IT RESOLVED the Redevelopment Agency of the City of Chula Vista does hereby find, order, determine and resolve as follows: 1. The Agency hereby approves the following amendment to the second sentence of Section 3.B of the Owner Participation Agreement: "In the event the developer fails to obtain such building permits bv October 17. 1999. or fails to obtain an extension to obtain said permits, the approval of the developer's development proposals shall be void and the Agreement shall have no further force or effect." 2. All other sections of the Agreement not hereby amended shall remain in full force and effect. 3. This approval is subject to the Owners executing a formal Amendment approved as to form by the Agency Attorney, BE IT FURTHER RESOLVED that the Chairman is hereby authorized to execute said Amendment on behalf of the Agency. Presented by Approved as to form by ~ ~ ~ Chris Salomone Director of Community Development IIFKI H,\HQMElCQMMDEV\RESOS\CUSHMAN,RES (Soptomb" 30.1997 ",17pm}] S-.3 - . ' . ¡fA (l(j ,-;<5- 9 :2 ATTACHMENT 1 Recording Requested By and When Recorded Return to: The Redevelopment Agency of the City of Chula Vista 276 Fourth Avenue Chula Vista, CA 91910 Attention: [Space above for Recorder's use only] OWNER PARTICIPATION AGREEMENT BETWEEN THE CHULA VISTA REDEVELOPMENT AGENCY and STEPHEN P. AND LAWRENCE M. CUSHMAN THIS AGREEMENT is entered into by the CHULA VISTA REDEVELOPMENT AGENCY, a body corporate and politic [hereinafter referred to as "AGENCY"], and HELEN N. CUSHMAN [hereinafter referred to as "DEVELOPER"]. WHEREAS, the DEVELOPER desires to develop real property within the Otay Valley Road Redevelopment Project Area which is subject to the jurisdiction and control ofthe AGENCY; and, WHEREAS, the DEVELOPER has presented plans for development to the Otay Valley Road Project Area Committee and the Design Review Committee; and, WHEREAS, said plans for development have been recommended for approval by said Committees; and, WHEREAS, the AGENCY hereby approves the development proposals as submitted by the DEVELOPER; and, WHEREAS, the AGENCY desires that said development proposal be implemented and completed as soon as is practicable. NOW, THEREFORE, the AGENCY and the DEVELOPER agree as follows: 1. The foregoing recitals are incorporated into this Agreement. 2. The property to be developed is described as Assessor's Parcel Number 644-040-01 located at 517 Shinohara Lane, Chula Vista, attached hereto and by this reference incorporated herein. .5-i - - 3, The DEVELOPER covenants by and for themselves, their heirs, executors, administrators and assigns, and all persons claiming under or through them the following; A. That the property will be developed in accordance with the AGENCY approved development proposal attached hereto as Exhibit A and on file with the AGENCY Secretary, as Document No, OV/OP#20, B. DEVELOPER agrees to obtain building permits within two years from the date of this Agreement and to actually develop the property within one year from the date of issuance of the building permits. In the event DEVELOPER fails to obtain such building permits within two years or fails to obtain an extension to obtain said permits, the approval of DEVELOPER'S development proposals shall be void and this Agreement shall have no further force or effect. C. That in all deeds granting or conveying an interest in the property, the following language shall appear: The grantee herein covenants by andfor themselves, their heirs, executors, administrators and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of race, color, creed, national origin or ancestry in the sale, lease, sublease, tramJer, use, occupancy, tenure, or enjoyment of the premises herein conveyed, nor shall the grantee himself or any persons claiming under or through him establish or permit any such practice of discrimination or segregation with reference to the selection, location, number use or occupancy of tenants, lessees, subtenant lessees, or vendees in the premises herein conveyed. The foregoing covenants shall run with the land. D. That in all leases demising an interest in all or any part of the property, the following language shall appear; The lessee herein covenants by and for themselves, their heirs, executors, administrators and assigns, and all persDns claiming under or through him, and this lease is made and accepted upon and subject to the following conditions: That there shall be no discrimination against or segregation of, any person or group of persons, on account of race, color, creed, national origin, or ancestry, in the leasing, subleasing, transferring use, occupancy, tenure, or enjoyment of the premises herein leased, nor shall the lessee himself or any persons claiming under or through him, establish or permit any such practices of discrimination or segregation with reference to the selection, location, number or use, or occupancy of tenants, lessees, sublessees, subtenants, or vendees in the premises herein leased. Page 2 of5 5- S - - ",- 4, DEVELOPER agrees that if either the AGENCY or the CITY OF CHULA VISTA proceeds to form a Special Assessment District for the construction or maintenance of public roads, common areas, or other public facilities which benefit the real property, subject to this agreement, the DEVELOPER hereby waives any right she may have to protest the formation of such Special Assessment District. Said waiver shall not preclude the DEVELOPER from protesting the amount of any assessment on such property. 5. DEVELOPER agrees to accept the attached conditions imposed by the Design Review Committee as described in Exhibit ß, 6. DEVELOPER agrees to maintain the premises in FIRST CLASS CONDITION. "A. DUTY TO MAINTAIN FIRST CLASS CONDITION, Throughout the term of this Agreement, Developer shall, at Developer's sole cost and expense, maintain the Premises and all Improvements in first class condition and repair, and in accordance with all applicable laws, permits, licenses, and other governmental authorizations, rules, ordinances, orders, decrees, and regulations now or hereafter enacted, issued or promulgated by federal, state, county, municipal, and other governmental agencies, bodies, and courts having or claiming jurisdiction and all their respective departments, bureaus, and officials. If the owners fail to maintain the property in a "first class condition", the Redevelopment Agency of the City of Chula Vista or its agents shall have the right to go on the property and perform the necessary maintenance and the cost of said maintenance shall become a lien against the property. The Agency shall have the right to enforce this lien either by foreclosing on the property or by forwarding the amount to be collected to the Tax Assessor who shall make it part of the tax bill. B. Developer shall promptly and diligently repair, restore, alter, add to, remove, and replace, as required, the Premises and all Improvements to maintain or comply as 'above, or to remedy all damage to or destruction of all or any part of the Improvements, Any repair, restoration, alteration, addition, removal, maintenance, replacement and other act of compliance under this Paragraph [hereafter collectively referred to as "Restoration"] shall be completed by Developer whether or not funds are available from insurance proceeds or subtenant contributions. The Restoration shall satisfy the requirements of any sub-sublease then in effect for the Premises or Improvements with respect thereto or, if no sub-sublease is then in effect, shall be repaired or restored in the building standard shell condition existing immediately prior to the date of such damage or destruction. C. In order to enforce all above maintenance provisions, the parties agree that the Community Development Director is empowered to make reasonable determinations as to whether the property is in a first class condition. If he determines they are not, he (1) will notify the owners in writing and (2) extends a reasonable time to cure, If a cure or substantial progress to cure has not been made within that time, the Director is authorized to effectuate the cure by City forces or otherwise, the cost of which will be promptly reimbursed by the owners. Page 3 of 5 " ,5'.. - - ,- In the event that there is a dispute over whether property is in a first class condition or over the amount of work and expense authorized by the Director to cure, the parties agree that the City Manager or his designee shall resolve that dispute and both parties shall be bound by his decision, In the event that the Director decides without dispute, or the City Manager decides in dispute, that the City has to cure and the amount of cure, then owners have to reimburse the City within thirty (30) days of demand, If not reimbursed, it constitutes a lien and City is authorized to record said lien with the County Recorder, upon the premises. D. FIRST CLASS CONDITION DEFINED, 'First class condition and repair,' means Restoration which is necessary to keep the Premises and Improvements in efficient and attractive condition, at least substantially equal in quality to the condition which exists when the condition(s) in attached Exhibit B are completed. " 7, AGENCY and DEVELOPER agree that the covenants of the DEVELOPER expressed herein shall run with the land for the term of this agreement. DEVELOPER shall have the right, without prior approval of AGENCY, to assign its rights and delegate its duties under this Agreement, and shall thereafter have no further liability hereunder. 8, AGENCY and DEVELOPER agree that the covenants of the DEVELOPER expressed herein are for the express benefit of the AGENCY and for all owners of real property within the boundaries of the Otay Valley Road Redevelopment Project Area as the same now exists or may be hereafter amended, AGENCY and DEVELOPER agree that the provisions of this Agreement may be specifically enforced in any court of competent jurisdiction by the AGENCY on its own behalf or on behalf of any owner of real property within the boundaries of the Otay Valley Road Redevelopment Project Area. 9. AGENCY and DEVELOPER agree that the premises shall only be used for light industrial land uses permitted under the l-L, Limited Industrial zone of the City of Chula Vista's Zoning Ordinance, or land uses permitted in I-L zones through the conditional use process. 10. DEVELOPER or subsequent owners shall not allow activities to be conducted that create noise, light or other nuisances. Upon completion of the project, DEVELOPER will provide to the owners of residential property directly abutting the DEVELOPER'S parcel the telephone numbers of property managers and the City's Code Enforcement Officer to allow for complaints to be lodged and abatement to be initiated if anyon-site noise generation activities result in a perceived nuisance. 11. The term of this Agreement shall be the same as the term of the Otay Valley Road Redevelopment Project Area which runs until December 2028, or until major redevelopment of the building takes place, whichever first occurs. Initiation of the redevelopment shall mean the preparation and submission of plans to the AGENCY for the renovation or demolition of structures and redevelopment of the site. Page 4 of 5 1 ..$"- - .. .- 12. AGENCY and DEVELOPER agree that the covenants of the DEVELOPER expressed herein are for the express benefit of the AGENCY and for all owners of real property within the boundaries of the Otay Valley Road Redevelopment Project Area as the same now exists or may be hereafter amended. AGENCY and DEVELOPER agree that the provisions of this Agreement may be specifically enforced in any court of competent jurisdiction by the AGENCY on its own behalf or on behalf of any owner of real property within the boundaries of the Otay Valley Road Redevelopment Project Area. 13. AGENCY and DEVELOPER agree that this Agreement may be recorded by the AGENCY in the Office of the County Recorder of San Diego County, California. REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA "AGENCY" Dated; ,.f)IL&m(J-ü/, /Ò, /qq:J. By; ~t#~A- , Tim Nader, Chairman STEPHEN P. CUSHMAN "DEVELOPER" Dated; November 11, 1992 /J ~.-& By:" ' p, £-- ./ Stephen P. Cushman LAWRENCE M, CUSHMAN "DEVELOPER" Dared: November 12, 1992 B~l1wf~ Lawre ce M. Cushman '" ~ S-f e era! Counsel [C:\ WP51 IAGENCY\CUSHMAN3 ,oP A] Page 5 of 5 - . ^ ~ ~~~T~~IV~:::N~~~ L~D ~:V:~G~I~~~N~N~ ATTACHMENT 2 September 17, 1997 Steve Griffin Planning Department City of Chula Vista 276 Fourth Avenue Chula Vista, CA 91910 Re: Otay Valley Industrial Park Negative Declaration 15-90-53, DRC-9l-82 Dear Steve: It is our understanding that the extension of time granted for the Owner Participation Agreement expires on October 19, 1997. There has been no significant change in the project since the 1995 extension of time was approved. On behalf of our clients, Lawrence M. Cushman and Stephen P. Cushman, we hereby request a 2 year extension of time of the Owner Participation Agreement for the above referenced project, The current economic conditions have resulted in our clients being unable to develop the referenced property as required by the Owner Participation Agreement. Please advise us as soon as possible if there are any problems with this request or if any new policies have been enacted to affect this request. Very truly yours, WILLIAM A. STEEN & ASSOCIATES -~v~ WAS: sV William A. Steen cc: Lawrence M. Cushman Luis Hernandez Fred Kassman Doug Reid 1/6219-101 .5", 'J . 8580 LA MESA BLVD.. SUITE 102. LA MESA. CALIFORNIA 91941 . (619) 460-9000 . FAX (619) 460-9005 . . . "0 ;¿' ---~. - -n___- ~ "'" ATTACHMENT 3 '1.~~_,_--- ~- ., /~~"';iWFg3:J~~ ,tDJ W, -' tE~ I -;..r,i='.- r r~r'. -.":~¿:...¡.. r.r r-: . .Z<-""-' - - ,,""".. , . -," .-! , rg I L .. .ñ=IB7rnmIfIj ~I~ -~ffi I/,. ""'" ¡¡JIm r- J1f-l:tr-J. '1 " ~ 1$ -""'1 0--' " . :é "d fSI=J~ Lí """'~;;; '/{;:~ . 'j ~~ ~IU U J f '1/ . = "'W' -L-.l.J ill r '~ ~ ,-"" ~ õõ IiJJIII1J r--~ 1: ,..' U ~ ~ -. Jf ~ f§}~ a!'! § ~ lB=\';L, !1-!:: ' ~ ""j, "Ì .' ." 1"\" - t: c:' Jl,.JL ~ I ,~ ~ ~ / . ""., .. - , ~I ~ ". ,,) ~ - [(- /'I2o-=r L . ~ I ~. 3 a . '" ...r--; Z a ~ : ~E: <{ 0 :r * a: <Z¡ OTAY VALLEY ROAD "--1 - - I ~ ~I~___~ , .... L C!/tólk>J N. aJ*H~ j ~ lOCA TOR. ì 'L . ~Ii. o;,q,~lW<A, ~' ---: w~" /£ff1<€ JOINT REDEVELOPMENT AGENCYICOUNCIL AGENDA STATEMENT Item " Meeting Date 10107197 ITEM TITLE: PUBLIC HEARING; CONSIDERATION OF AN AMENDED AND RESTATED OWNER PARTICIPATION AGREEMENT WITH SCRIPPS HEALTH FOR THE EXPANSION OF HOSPITAL ANO RELATEO FACILITIES AT THE NORTHEAST CORNER OF "H" STREET AND FIFTH AVENUE RESOLUTION AOOPTING AN EIR ADDENDUM 90.07A AND APPROVING AN AMENDED AND RESTATED OWNER PARTICIPATION AGREEMENT BY AND BETWEEN THE REDEVELOPMENT AGENCY DF THE CITY OF CHULA VISTA AND SCRIPPS HEALTH FDR THE EXPANSION OF HOSPITAL AND RELATED FACILITIES AT THE NORTHEAST CDRNER OF "W STREET AND FIFTH AVENUE SUBMITTED BY: Commoo;" D~.,o.... DI."",~ REVIEWED BY: Executive Director J~ ~ (415ths Vote: Yes- No..xJ Scripps has requested that this item be continued to the meeting of Dctober 21. 1997. IFK! H,IHOMEICOMMOEVISTAFF.REPI10.07,97ISCRIPPS.OPAISe,temb" 26, 1997l2,32,mll _.. , ..