HomeMy WebLinkAbout7/5/2001 - STAFF REPORTS (16) DATE: JULY 5, 2001
TO: CITY COUNCIL
FROM: DIRECTOR OF REDEVELOPMENT
SETTING A DATE FOR THE PUBLIC HEARING FOR THE SALE OF AN 967,476
SQUARE FOOT CITY-OWNED PARCEL TO THE COMMUNITY REDEVELOPMENT
AGENCY
RECOMMENDATION:
It is recommended that the City Council approve the resolution expressing the intent
to sell and setting the date to hold a public hearing for the sale of a City-owned
967,476 square foot parcel near Sunrise Way and San Rafael Road, to the
Community Redevelopment Agency.
SUMMARY:
In November, 2000 the Community Redevelopment Agency entered into an
Exclusive Agreement to Negotiate with Burnett Development Company on two
parcels of 22.21 acres and 19.17 acres near Sunrise Way and San Rafael Road.
The Agreement was extended in June, 2001 for an additional six months. The
22.21 acre parcel, referred to as Parcel Q, is owned by the City of Palm Springs.
The City desires to sell it to Burnett under the Disposition and Development
Agreement with the Community Redevelopment Agency, and will therefore execute
a purchase and sale agreement with the Agency to accomplish such. However,
California Government Code Section 37421 et. seq. requires that the City first set a
date of the public hearing at which the public may make testimony regarding the
sale. This resolution sets the Public Hearing date for July 18, 2001.
BACKGROUND:
In November, 2000, City Council considered an offer from Burnett Development for
a 22.21 acre parcel near Sunrise Way and San Rafael Road. Burnett offered the
appraised value of$0.45 per square foot, or$465,000 for the parcel, and intends to
assemble additional land for a major single family home development in the area.
This City-owned parcel is to be sold to the Community Redevelopment Agency,
which would convey it to Burnett under a Disposition and Development Agreement.
The Agency would reimburse the City when the DDA was executed but would
execute a promissory note prior to the deal with Burnett being finalized. The City
would retain reverter rights under the sale.
This action is part of a three-step process in selling City-owned parcels: (1)
Council directs the negotiator as to price and terms in Closed Session; (2)
Council adopts a resolution expressing its intention to sell the property and
setting the date of the Public Hearing, and the City publishes a notice of Public
Hearing; and (3) Council approves the Agreement for Purchase and Sale of Real
Property, as well as a resolution accepting the terms of the sale. The attached
resolution is Step 2 in this process.
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The listed sale price was determined by an MAI appraisal conducted by
Mackenzie Wagner&Associates of Palm Desert. The price is fair market value.
The process meets the requirements of Resolution 14527, which requires that
the City sell all land at fair market value. The sale of this parcel meets the other
tests of Resolution 14527:
1. There is no foreseeable present or future use of the property for City
purposes.
2. The property cannot be leased or rented for its highest and best use at
fair market rental.
3. The City's need for immediate liquidation, for cash, of such property-- at
its fair market value -- is greater than its need for developing continuing
revenue for the lease of such property.
, - ' , ✓�
JO S. AYM ND%
Director o Redevelop ent
AP R VED:
City Manager
ATTACHMENTS:
1. Resolution Pursuant to Section 37421, et. seq.
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RESOLUTION NO. 20092
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF PALM SPRINGS
PURSUANT TO CALIFORNIA
GOVERNMENT CODE SECTION 37421
ET. SEQ. FOR THE SALE OF CITY
PROPERTY; AND NOTICE THEREOF
WHEREAS, the City is desirous of selling certain property located in the City of Palm
Springs("Sale Property"), and described in Exhibit"A"of this Resolution, in accordance with
Government Code Section 37420 et seq.;
WHEREAS, the City Council of the City Palm Springs is informed that the Agency is in an
Exclusive Agreement to Negotiate with Burnett Development Company ('Burnett') to
purchase Agency- and City-owning property, including the Sale Property;
WHEREAS, pursuant to Government Code Section 37421, persons wishing to protest the
sale of the Sale Property must present testimony at the time and place designated herein
for the hearing to consider the sale of the Sale Property or submit written statements
protesting the sale with the City Clerk prior to such hearing;
WHEREAS, the notice of the public hearing for July 18, 2001 at 7 p.m. for consideration of
the sale of the Sale Property is made pursuant to California Government Code Sections
37421, 37422 and 37423,
WHEREAS, the publication of the notice of public hearing describing the proposed sale of
the Sale Property is made pursuant to Government Code Sections 37422 and 37423 by
circulation in a daily newspaper published and circulated in the City and posted for not less
than ten days in at least three conspicuous places upon each parcel of property affected,
NOW THEREFORE BE IT RESOLVED by the City Council of the City of Palm Springs, as
follows:
SECTION 1. The public hearing on the sale of the Sale Property shall be set for
July 18, 2001 at 7 p.m. in accordance with Government Code Sections 37421,
37422 and 37423.
SECTION 2. Notice of the public hearing to consider the sale of the Sale Property
shall be published at least once in a daily newspaper published and circulated in the
City, and posted for not less than ten days in at least three conspicuous places
upon each parcel of property affected by the sale.
SECTION 3. Protests to the sale of the Sale Property shall be presented at the
hearing or submitted in writing to the City Clerk before the hearing at the time and
date set forth herein.
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SECTION 4. Final action by the City upon the sale of the Sale Property shall be set
for the hearing on July 18, 2001, or such time thereafter as may be set by the City
Council.
ADOPTED this day of_ , 2001.
AYES:
NOES:
ABSENT:
ATTEST: CITY OF PALM SPRINGS, CALIFORNIA
By
City Clerk City Manager
REVIEWED & APPROVED AS TO FORM
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EXHIBIT "A"
TO RESOLUTION NO.
LEGAL DESCRIPTION OF PARCEL Q
The Land is that certain real property located in the City of Palm Springs, County of
Riverside, State of California, more particularly described as follows:
PARCEL Q
LOTS 9 AND C, OF TRACT NO. 17642-1, AS SHOWN BY MAP ON FILE IN BOOK 122
PAGE(S) 88, 89 AND 90 OF MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA;
EXCEPTING THEREFROM THAT PORTION THEREOF LYING WITHIN TRACT NO.
26943-1, AS SHOWN BY MAP ON FILE IN BOOK 235 PAGE(S) 84 AND 85 OF MAPS,
RECORDS OF RIVERSIDE COUNTY, CALIFORNIA;
ALSO EXCEPTING THEREFROM THE EASTERLY 920 FEET OF LOT C;
ALSO EXCEPTING FROM LOT C THAT PORTION THEREOF CONVEYED TO THE
COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF PALM SPRINGS,
CALIFORNIA, A PUBLIC BODY, CORPORATE AND POLITIC, BY DEED RECORDED
APRIL 25, 1996 AS INSTRUMENT NO. 148930 OF OFFICIAL RECORDS OF
RIVERSIDE COUNTY, CALIFORNIA.
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