HomeMy WebLinkAbout23471 RESOLUTION NO. 23471
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
PALM SPRINGS, CALIFORNIA, APPROVING THE
ASSIGNMENT OF A PURCHASE AND SALE AGREEMENT
WITH CDI VENTURES, LLC, APPROVED IN MARCH, 2013 TO
PRAETOR INVESTMENTS, LLC, THE SUCCESSOR IN
INTEREST AND DETERMINING THE TIMELINE DATES
ESTABLISHED IN THE HOTEL INCENTIVE ORDINANCE, AS
AMENDED ON MAY 1, 2013, APPLY TO THIS PROJECT AT
CALLE ALVARADO AND AMADO ROAD.
WHEREAS, Re: Loft Partners Palm Springs, LLC ("Developer") received Planned
Development District approval from the City of Palm Springs to develop a First Class
Hotel on a 7.8± acre site under the terms of an Exclusive Agreement to Negotiate; and
WHEREAS, expansion of the hotel inventory in proximity to the City's Convention
Center, especially in the First Class Hotel category, is an objective of the City to
increase the vitality of the downtown area, the Convention Center, and the tourism
industry; and
WHEREAS, the former Community Redevelopment Agency considered the staff
report, and all the information, testimony and evidence provided during the Agency
public meeting on December 19, 2007 and approved a Disposition and Development
Agreement with the Developer; and
WHEREAS, the City as the property owner maintained the entitlement during the
period of 2009 to 2013; and
WHEREAS, on March 6, 2013 the City Council approved a Purchase and Sale
Agreement with CDI Ventures, LLC, the project successor, and its affiliates, assigns,
and successors as "Purchaser" for the Parcel; and
WHEREAS, on May 1, 2013 the City Council approved Ordinance No. 1821,
amending the Hotel Incentive Program to include the following definition: ""New hotel,"
"first class new hotel," and "comfort new hotel" means a hotel or first class hotel or
comfort hotel that is or was fully entitled as a hotel after January 1, 2008, but before
December 31, 2014 and which is under construction prior to December 31, 2017. The
term "new hotel" does not include all, or any portion of, or addition to, an existing hotel;"
and
WHEREAS, the Developer has requested that the City clarify that Praetor
Investments, LLC, a new partnership formed with CDI Ventures and the equity
investors, is recognized as an eligible "assign" under the Purchase and Sale Agreement
and that the timelines applying to New First Class Hotels under Ordinance No. 1821
apply to the Project.
Resolution No. 23471
Page 2
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF PALM SPRINGS AS FOLLOWS:
SECTION 1. The above recitals are true and correct and incorporated herein.
SECTION 2. Praetor Investments, LLC is recognized as an eligible "assign"
under the Purchase and Sale Agreement.
SECTION 3. That Section 21 of the Purchase and Sale Agreement states "Hotel
Incentive Program: Developer shall be eligible to participate in the City's Hotel Incentive
Program (Palm Springs Municipal Code Chapter 5.26) and shall receive the 75% rebate
so long as Developer commences construction as provided in the City's Hotel Incentive
Program," and Chapter 5.26 of the Palm Springs Municipal Code establishes "first class
new hotel" as a hotel or first class hotel that is entitled as a hotel before
December 31, 2014, and which is under construction prior to December 31, 2017.
PASSED, APPROVED, AND ADOPTED BY THE PALM SPRINGS CITY
COUNCIL THIS 20'h DAY OF NOVEMBER, 2013.
ATTEST: David H. ReZCity ager
;jmes Thompson, CityClerk
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.
CITY OF PALM SPRINGS )
I, JAMES THOMPSON, City Clerk of the City of Palm Springs, do hereby certify
that Resolution No. 23471 is a full, true and correct copy, and was adopted at a regular
meeting of the Palm Springs City Council on the 20T day of November, 2013, by the
following vote:
AYES: Councilmember Foat, Councilmember Hutcheson, Councilmember Lewin,
Mayor Pro Tern Mills, and Mayor Pougnet.
NOES: None.
ABSENT: None.
ABSTAIN: None.
es Thompson, City Clerk
City of Palm Springs, California JZ11&j Z03