HomeMy WebLinkAbout21450 - RESOLUTIONS - 11/16/2005 RESOLUTION NO. 21450
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM
SPRINGS, CALIFORNIA, CONCURRING WITH THE COMMUNITY
REDEVELOPMENT AGENCY REGARDING THE APPROVAL OF A
DISPOSITION AND DEVELOPMENT AGREEMENT WITH GEIGER,
LLC. A0503C
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Palm Springs,
California that it concurs with the action of the Community Redevelopment Agency in the
matter of approving a Disposition and Development Agreement with Geiger, LLC.
ADOPTED this 16'h day of November 2005.
David H. Ready, 0�6ger
ATTEST:
—f
J mes Thompson, City Clerk
/f CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.
CITY OF PALM SPRINGS )
I, JAMES THOMPSON, City Clerk of the City of Palm Springs, hereby certify that
Resolution No. 21450 is a full, true and correct copy, and was duly adopted at a regular
meeting of the City Council of the City of Palm Springs on November 16, 2005, by the
following vote:
AYES: Councilmembers Foat, Mills, Pougnet, Mayor Pro Tern McCulloch and Mayor
Oden
NOES: None
ABSENT: None
ABSTAIN: None
/James Thompson, City Clerk
/� 'City of Palm Springs, California
Resolution No. 21450
Page 2
SUMMARY REPORT:
DISPOSITION AND DEVELOPMENT AGREEMENT
by and between
the Community Redevelopment Agency of the City of Palm Springs, California and
Geiger, LLC of Beverly Hills, California
FOR THE DISPOSITION OF APPROXIMATELY 14 ACRES OF LAND
for the purpose of constructing an approximately 393,000 square foot retail
shopping center in the City of Palm Springs, California
MERGED REDEVELOPMENT PROJECT NO. 1
NOVEMBER 2005
INTRODUCTION
Before real property acquired by a Community Redevelopment Agency with tax '
increment proceeds may be sold or leased, the transaction must be approved by
the Agency Board in accordance with California Health and Safety Code Section
33433. This Section requires a "Summary Report", which describes and specifies
certain information in regard to this proposed transaction, be available for public
inspection.
DESCRIPTION OF THE PROPOSED AGREEMENT
Site and Interests to be Conveyed
The Site consists of three land parcels of approximately 14 acres located adjacent
to the Developer's existing property of approximately 24 acres at the northeast
corner of Ramon Road and Gene Autry Trail (State Highway 111). The combined
acreage is the location of the City's former dumpsite, which Developer has
remediated per the provisions of a Removal Action Workplan ("RAW") approved by
the CaIEPA Department of Toxic Substances Control ("DTSC") on March 4, 2004.
The Developers of the Property, Geiger, LLC of Beverly Hills, California, are
seeking to acquire the Agency-owned parcels at fair market value offset by the pro
rata assigned remediation costs for Developer's prior remediation of the Site.
Proposed Development
The Developer/Purchaser is proposing to develop a 393,000 square foot retail ,
shopping center including a 117,000 square foot home improvement store and
adjacent 35,000 square foot garden center, nine additional major tenant spaces
Resolution No. 21450
Page 3
ranging in size from 10,000 to 36,000 square feet, four retail stores ranging from
6,000 square feet to 12,600 square feet, and four restaurants ranging from 3,200 to
9,500 square feet. The Final Environmental Impact Report (SCH#2003121001) for
the project was certified by the Palm Springs City Council on October 19, 2005, per
Resolution No. 21433.
Financing
The Developer will privately finance the construction of the retail shopping center
and required public improvements. No public financing is required for the
construction of the new facility.
Agency Responsibilities
The Agency agrees to transfer its approximately 14 acres of property to the
Developer. The appraised fair market value of $4,480,000 is offset by the pro rata
assigned remediation costs of $4,605,108 for the Developer's former remediation of
the Site, for a final transfer value of zero, resulting in no financial assistance to the
project by the Agency.
Developer Responsibilities
The DDA will commit the Developer to a Schedule of Performance. The Developer
commits to developing the project as approved by the Palm Springs City Council on
October 19, 2005 including the architectural upgrades, noise buffering, quality
landscaping, public improvements, and other components. Agency's other standard
terms and conditions, including non-discrimination and maintenance covenants, and
other terms and conditions in remain in the Disposition and Development
Agreement for Developer.
COST OF AGREEMENT TO THE AGENCY
In recognition of the offset of Developer-incurred remediation costs against the
appraised fair market value of the property, the Agency shall receive no funds from
Developer from the property transfer. Per the provisions of the DDA, the Agency
shall pay the premium for a CLTA policy, all documentary transfer taxes, one-half
(1/2) of all escrow fees and costs, and Agency's share of prorations, if any.