HomeMy WebLinkAbout10/17/2001 - STAFF REPORTS (3) DATE: OCTOBER 17, 2001
TO: COMMUNITY REDEVELOPMENT AGENCY
FROM: DIRECTOR OF REDEVELOPMENT
PUBLIC HEARING TO APPROVE THE SALE OF A 53,578 SQUARE FOOT PARCEL (1.23
ACRE) FROM THE COMMUNITY REDEVELOPMENT AGENCY TO THE CITY OF PALM
SPRINGS FOR THE SUM OF $60,000, LOCATED ON THE SOUTH SIDE OF VISTA CHINO
ROAD WEST OF SUNRISE WAY, MERGED PROJECT AREA #1 (FORMERLY PROJECT
AREA 9-B)
RECOMMENDATION:
It is recommended that the Agency approve the Sale of a 53,578 Square Foot (1.23 acre)
Parcel from the Community Redevelopment Agency to the City of Palm Springs, located
on the south side of Vista Chino Road west of Sunrise Way, in Merged Project Area #1.
SUMMARY:
The Community Redevelopment Agency of the City of Palm Springs ("Agency") proposes
a to sell to the City of Palm Springs a 53,578 square foot parcel to the City of Palm
Springs for the amount of$60,000. The purpose of this sale is to enable the Agency to
comply with California Redevelopment Law, which prohibits agencies from holding land
purchased for low- or moderate-income housing to hold such parcels for longer than five
years.
BACKGROUND:
The Community Redevelopment Agency of the City of Palm Springs ("Agency")
proposes a to sell to the City of Palm Springs a 53,578 square foot parcel to the City of
Palm Springs for the amount of$60,000. The purpose of this sale is to enable the
Agency to comply with California Redevelopment Law, which prohibits agencies from
holding land purchased for low- or moderate-income housing to hold such parcels for
longer than five years.
The parcel was purchased by the Agency on March 1, 1975, prior to the enaction of
such law, and once encompassed a total of 323,649 square feet (7.43 acres). In 1995,
the Agency sold 3.47 acres to Palm Springs Senior Housing, Inc. for the development of
low-income senior housing (Vista Serena Co-op Apartments); in 1998, the Agency sold
2.73 acres to Vista Chino Senior Housing, Inc. for an additional low-income senior
housing development (Vista Del Monte Co-op). The 1.23 acres is a remainder parcel,
which the Agency and City intend to use for the purposes set forth in Redevelopment
Law; namely, the development of housing for low-income families and individuals.
Recently, the parcel has been under discussion with the Homeless Task Force and its
member organizations, including Desert AIDS Project and the Coachella Valley Housing
Coalition, as part of a larger site that would encompass a social services campus,
including a possible Riverside County Health Center and a special needs housing
development, but not a homeless shelter. The Desert Healthcare District is the owner
of the adjacent four acre parcel that would constitute the bulk of the site.
eded .0 -A
Were it not for the State provision prohibiting the Agency from holding onto the land,
there is no reason for the Agency to convey the parcel to the City with a likely project so
close to being developed. However, the parcel turns up as a negative finding in the
Agency's annual compliance audit, which will be completed this year on October 31,
2001. Should the social services campus move forward, the City will be asked to
contribute the parcel in order to make the project economics work.
This transaction is related to an upcoming transaction in which the Agency is set to
purchase another parcel in the same project area, which has a City abatement lien. The
Agency will cover the City's lien and the City will use the proceeds of the reimbursement
to acquire this parcel, once the sale is executed.
(JOHNS RAYMPN�D
`Dire cto of Red erjopment
AP PROVED � � f:"�rf �—%
Executive Director
ATTACHMENTS:
1. Resolution
2. Grant Deed
3. Summary Report
4. Public Hearing Notice
REVIEWED BY DEPT.OF FINANCE
C�2i4 G -AZ
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 the proposed transaction, be available for public inspection.
DESCRIPTION OF THE PROPOSED AGREEMENT
Site and Interests to be Conveyed
The Site consists of a single parcel of land of approximately 1.23 acres (53,578 square
feet). The Site is located on the south side of Vista Chino Road west of Sunrise Way.
The purpose of this sale is to enable the Agency to comply with California
Redevelopment Law, which prohibits agencies from holding land purchased for low- or
moderate-income housing to hold such parcels for longer than five years.
The parcel was purchased by the Agency on March 1, 1975, prior to the enaction of
such law, and once encompassed a total of 323,649 square feet (7.43 acres). In 1995,
the Agency sold 3.47 acres to Palm Springs Senior Housing, Inc. for the development of
low-income senior housing (Vista Serena Co-op Apartments); in 1998, the Agency sold
2.73 acres to Vista Chino Senior Housing, Inc. for an additional low-income senior
housing development (Vista Del Monte Co-op). The 1.23 acres is a remainder parcel,
which the Agency and City intend to use for the purposes set forth in Redevelopment
Law; namely, the development of housing for low-income families and individuals.
Proposed Development
Recently, the parcel has been under discussion with the Homeless Task Force and its
member organizations, including Desert AIDS Project and the Coachella Valley Housing
Coalition, as part of a larger site that would encompass a social services campus,
including a possible Riverside County Health Center and a special needs housing
development, but not a homeless shelter. The Desert Healthcare District is the owner
of the adjacent four acre parcel that would constitute the bulk of the site. Should the
social services campus move forward, the City will be asked to contribute the parcel in
order to make the project economics work.
Financing
This transaction is related to an upcoming transaction in which the Agency is set to
purchase another parcel in the same project area, which has a City abatement lien. The
Agency will cover the City's lien and the City will use the proceeds of the reimbursement
to acquire this parcel, once the sale is executed.
Agency Responsibilities
The Agency will bear no additional responsibilities for the parcel once the sale is
completed.
Developer Responsibilities
There is not currently an Owner Participation Agreement or City development
Agreement with the private parties developing the social services campus/special needs
housing. Such responsibilities will be spelled out in those agreements, and will include
aesthetic/operational, and economic requirements and restrictions.
COST OF AGREEMENT TO THE AGENCY
The Agency will receive $60,000 for the land which it purchased over 25 years ago. The
funds will be deposited in the Low- and Moderate Income Housing Fund for use in the
development of affordable housing. There is no other cost to the Agency.
ICIV d - 14 't
GRANT DEED
FREE RECORDING REQUESTED BY
AND WHEN RECORDED RETURN TO:
City Clerk, City of Palm Springs
P.O. Box 2743
Palm Springs, CA 92263-2743
Order No.
GRANT DEED
FOR A VALUABLE CONSIDERATION, receipt of which is hereby acknowledged,
THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF PALM
SPRINGS, a public body, corporate and politic, hereby grants to THE CITY OF PALM
SPRINGS, a municipal corporation, the real property in the City of Palm Springs, County of
Riverside, State of California, described in Exhibit "T' attached hereto and incorporated
herein, by reference subject to the existing easements, restrictions and covenants of record
thereon, and subject to the terms of the Agreement for the Purchase and Sale of Real
Property executed concurrently herewith.
"Agency"
COMMUNITY REDEVELOPMENT AGENCY
OF THE CITY OF PALM SPRINGS Agency
OF PALM SPRINGS, a public body, corporate
and politic
By:
Executive Director
ATTEST:
Assistant Secretary
APPROVED AS TO FORM:
Agency Counsel
C9kC- As
EXHIBIT "J"
LEGAL DESCRIPTION OF PROPERTY
The Land is that certain real property located in the Agency of Palm
Springs, County of Riverside, State of California, more particularly described as follows:
Assessor's Parcel Number 507 100 036
A 1.23 ACRES PORTION, AS SHOWN IN THE ASSESSOR'S MAP, OF PARCEL
2 OF PARCEL MAP 27976, IN THE CITY OF PALM SPRINGS, COUNTY OF RIVERSIDE,
STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 185 PAGES 42 AND 43
OF PARCEL MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY.
EXHIBIT "M"
TO AGREEMENT FOR PURCHASE
AND SALE OF REAL PROPERTY
C#A e _ A6
PROOF OF PUBLICATION This is space for county Clerks Filing Staimp
(2015.5.C.C.P)
STATE OF CALIFORNIA
County Rf Riverside
---------------------------------------------
1 am a citizen of the United States and a resident of Proof of Publication of
the County aforesaid;I am over the age of eighteen No.946e
years,and not a party to or interested in the CITY OF P SPRINGS
NOTICE OF PUBLIC HEARING
above-entitled matter.I am the principal clerk of a NOTICE IS HEREBY GIVEN that the Community
printer of the,DESERT SUN PUBLISHING (Redevelopment Agency of the City of Palm
Springs and the City of Palm Spungs will hold a
COMPANY a newspaper of general circulation, Public Hearingq in the City Council Chambers, lo-
cated at 3200 Tahquitz Canyon Way, Palm
printed and published in the city of Palm Springs, Springs, California 92262, beginning at 7:00 IF m.,
Count of Riverside,and which newspaper has been Wednesday, October 17, 2001, to consider the
Yfollowing:
adjudged a newspaper of general circulation by the The Sale of a 53,578 Square Fact (1.23 acre)
Superior Court of the County of Riverside,State of Parcel I.em the Communty Redevelopment
Agency to the City of Palm Springs,
California under the date of March 24, 1988.Case located on the south side of
Number 191236;that the notice,of which the Vista al Signings,caldom Sunrise 2Way
annexed Is a printed copy(set in type not smaller The Community Redevelopment Agency of the
than non ariel,has been published in each regular City of Pain Springs ("Agency") proposes a to
p p g sell to the City of Palm Spnngs a 53,576 square
and entire issue of said newspaper and not in any foot parcel to the City of Palm Springs for the
j amount of$60,000.The purpose of this sale is to
supplement thereof on the following dates,to wi(: enable the Agency to comply with California He-
development Law, which prohibits agencies from
holding land purchased for low- or moderate-m-
October3rd,loth came housing to hold such parcels for longer
than five years.
-------------------------------------------------------------- The parcel was purchased by the Agency on
March 1, 1975 and once encompassed a total of
323,649 square feet (7 43 acres). In 1995, the-- --- -- --- --- j
________________________________—_ Agency sold 3.47 acres to'Palm Springs Senior
Housing, Inc for the development of low-income
senior housing: in 1998, the Agency sold 2 73
year
All in the 2001 acres to Vista Ohms Senior S(-lousing, Inc.for an
y additional low-income senior housing develop-
ment.The 1.23 acres remains as a remainder w par-
cel, which the Agenc and City intend to use for
I certify(or declare)under penalty of perjury that the the purposes set fort in Redevelopment Law
foregoing is trite and correct. All interested persons are Invited to attend the
I oth IPublicq Hearing and ex Tess opinions on the item
rAsh
p pd at tl e Public Hearing you
of the
Dated at Palm Springs,California this-------------day prop onl those issues ou or someonelisted aboveyouallergy natureproposedactionmay else
October torso y din this
tice,or inwritten correspondence delivered to the the
Of--------------------------------------,2001 Coy Clerk at the address listed above,at or prior
to thisHearing
Public Heanng
/ } Members of the public may view this document
and .11 p / �~- R.d.v comments
documents m the and submit
_ __ __ —__ ________ Redevelopment Department,Cmy Hall,and submit
writteneats to the the Cc my nif Redevelop-
Signature meat Agency at or prior to the Comntumtyy Retle-
helopnlent Agency Moehng at or pnar to the pub-
lic hearing described in this notice.
Firms, mmumation, including a copy of the
Amendment and Resolution, prepared in accor-
dance with Health and Safety Code Section
33433, is available in the Office of the City Clerk,
at the above address.
PATRICIA A. SANDERS, City Clerk
PUB. October 3 and October 10, 2001
RESOLUTION NO.
OF THE COMMUNITY REDEVELOPMENT AGENCY
OF THE CITY OF PALM SPRINGS, CALIFORNIA,
APPROVING THE SALE OF A 53,578 SQUARE FOOT
PARCEL TO THE CITY OF PALM SPRINGS FOR
THE AMOUNT OF $60,000.
WHEREAS the Community Redevelopment Agency does own a parcel of land of
approximately 1.23 acres, which is remainder parcel from two previous low-income
senior apartment projects, and
WHEREAS Section 33334.16 of California Redevelopment Law (Health & Safety Code
Section 33334.16) declares that "the agency shall, within five years from the date it first
acquires the property interest for the development of housing affordable to persons and
families of low and moderate income, initiate activities consistent with the development
of the property for that purpose"; and
WHEREAS the Agency originally acquired the parcel on March 1, 1975 for such
purposes, and as such has held the land for longer than the five year limit; and
WHEREAS the Agency desires to comply with the provisions of Section 33334.16, but
also desires to use the parcel for a worthwhile project that would benefit families and
individuals of low- or moderate income; and
WHEREAS selling the parcel to the City of Palm Springs would help the Agency comply
with the statute but would allow the City to contribute the parcel to a project that meets
the original intent of the purchase.
NOW THEREFORE BE IT RESOLVED by the Community Redevelopment Agency of
the City of Palm Springs, that a Grant Deed conveying the 53,578 square foot parcel
from the Agency to the City of Palm Springs, in a form approved to the Agency Counsel,
is hereby approved.
ADOPTED this day of 12001.
AYES:
NOES:
ABSENT:
ATTEST: COMMUNITY REDEVELOPMENT AGENCY
OF THE CITY OF PALM SPRINGS, CALIFORNIA
By
Assistant Secretary Executive Director
REVIEWED & APPROVED AS TO FORM