HomeMy WebLinkAbout18761 - RESOLUTIONS - 12/20/1995 RESOLD-PION NO 18761
OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS,
CALIFORNIA, APPROVING THE FIRST AMENDMENT TO
THE PARTICIPATION AGREEMENT WITH IOHN WESSMANI
DBA WESSMAN DEVELOPMENT COMPANY IN REGARD TO '
THE PLAZA Dr LAS FLORES SITE, PROVIDING FOR
AN ACCESS AND NO BUILD EASrMCNT IN ORDER THAT
THE DEVELOPER'S BULDING CAN BE REMODELED AND
LIMITING RESTROOM ACCESS.
WHEREAS, the Agency and thu City of Palm Springs have entered into a Redevelopment Participation
Agreement (RPA), also referred to as an Owner Participation Agreement, with Wessman Development
Company in regard to the development of the Plaza de las Flores commercial center in Downtown Palm
Springs; and
WHEREAS, the Developer proposes to remodel a portion of the Plaza de las Flores building located on
the Developer Parcel in order to enhance the visibility and leasability a the building fronting Ptdm
Canyon Drive and to comply with the fire 5afety requirements of the City's Building Code; and
WHEREAS, a no build casement on the adjacent City-owned parcel, which is the location of the
Wclvvood Murray Memorial Library, is required in order to meet Building Code requirements; and
WHEREAS, this casement may be granted without detracting or interfering with the continued operation
of the Welwood Murray Memorial Library and will enhance Ih®economic development potential of the '
Plaza de lag Flores; and
WHEREAS,the City paid over$63,000 toward the construction of restrooms within Developer's building
to be kept available to die public and is now required to pay approximately$I9,000 annually for the cost
of maintenance of the public areas and restrooms, which costs are increasing due to vandalism; and
WHEREAS, the Developer is willing to assume the maintenance of the public areas and restrooms if
public access is limited to tenants, employees and invitees of specified properties in die vicinity.
NOW, THEREFORE, BE IT RESOLVED by the Community Redevelopment Agency of die City of
Palm Springs as follows:
1. The estimated value of the easement interest being conveyed valued at the highest and best
use is less than $58,000, which is the value of the fee interest if not restricted by die restrictions for
library, public access and non-building purposes. The estimated value of the reduced public access to
the restrooms is difficult to establish since public access is still permitted. The City Council finds die
combined fair market value of the fee interests to be approximately$40,000.
2. The estimated value of the easement interest being conveyed, based upon the limitations on
use of die easement area, and die estimated value of the public access to die restrooms, given the
restrictions on public access included in the Amendment, are deemed to actually be approximately one-
half of die fair market value cited above.
3. The approval of the Awendnient will assist in die elimination of blight by permitting the '
remodel of Developer's building to permir occupancy of a property in a key location adjacent to the
Historic Plaza Theater District and across from the Spa Hotel Project, contributing to the rentalization
of the commercial core. /,W
IU8761
Page 2
A. The approval of the Amendment will release the City from an obligation to pay approximately
$19,000 annually for maintenance of the ieshooms.
5. The approval of the Amendment is consistent with the Agency's adopted Implementation Plan.
G. The consideration received by the Agoacy is not less than the fair reuse value at the use and
' with die covenants and conditions and development costs authorized by the Amendment.
7. That said First Amendment to the Redevelopment Participation Agreement is hereby approved
and the City Manager is authorized to execute the Amendment and to take such other actions necessary
to carry uut die terms of the Amendment.
ADOPTED this 20th day of December, 1995.
AYES: Members Barnes, Oder, Spurgin and Mayor Kleindinest
NOES: None
pgSgNT None
ABSTAIN Member Hodges
ATTEST: _
CITY OF PALM SPFI LIFORNIA
Clerk _ ty anager
RFVIEWf l]AND APPROVED / ��