HomeMy WebLinkAbout22894 RESOLUTION NO. 22894
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
PALM SPRINGS, CALIFORNIA, AUTHORIZING THE APPROVAL
OF A REMODEL INCENTIVE AGREEMENT WITH VENCE
VENTURES, LLC IN THE AMOUNT OF $100,000 FOR THE
REDEVELOPMENT OF A PROPERTY AT 200 SOUTH PALM
CANYON DRIVE, KNOWN AS LULU CALIFORNIA BISTRO.
A6082
WHEREAS, the City of Palm Springs ("City") has established a number of
Remodel Grant Programs and other incentive programs for Owners and Tenants of
commercial-retail businesses in the City of Palm Springs to promote economic activity
during the recession and slow economic recovery; and
WHEREAS, the Vence Ventures, LLC ("Owner") is the purchaser and current
tenant of a real property located at 200 South Palm Canyon Drive, Palm Springs,
("Property"), otherwise known as LULU California Bistro; and
WHEREAS, the Property has been vacant for more than two years and is in
considerable disrepair, and Owner proposes to spend over $1,000,000 in renovating
and furnishing the restaurant; and
WHEREAS, the Owner has demonstrated that the additional costs of expediting
the remodel of the Property by May 31 would be nearly $300,000 above the baseline
remodel costs to make interior improvements to the Property by the end of the year and
given the additional expense of expediting and the opening so close to the slower
summer season, there exists considerable disincentive to the Owner to move quickly at
increased expense to open the restaurant sooner; and
WHEREAS, the City desires to enter this Agreement is to maintain the positive
momentum in downtown, as well as see the creation of the 100 jobs earlier in the year,
rather than waiting until December. Opening sooner also gives the City an additional
six of new sales tax from the business which will offset a portion of the incentive
payment; and
WHEREAS, prior to any disbursement under the terms of the Agreement,
Owner/Tenant shall apply for and receive all necessary approvals from the City's
Planning, Building or Engineering Departments and other State and County agencies
and shall have completed work on the Property sufficient to receive a Certificate of
Occupancy, and be open and operating for business;
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Palm
Springs, as follows:
SECTION 1. The Remodel Incentive Agreement between the City of Palm
Springs and Vence Ventures, LLC is hereby approved
Resolution No. 22894
Page 2
SECTION 2. This Project is Categorically Exempt under Section 15301 of the
California Environmental Quality Act.
SECTION 3. The City Manager is authorized to execute all documents related to
this Agreement.
ADOPTED THIS 16T" DAY OF MARCH, 2011.
L V,—
David H. Ready, nager
ATTEST:
mes Thompson, City Clerk
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. 22894 is a full, true and correct copy, and was dul� adopted at a regular
meeting of the City Council of the City of Palm Springs on the 16 day of March, 2011,
by the following vote:
AYES: Councilmember Foat, Councilmember Hutcheson, Mayor Pro Tern Weigel,
and Mayor Pougnet.
NOES: None.
ABSENT: Councilmember Mills.
ABSTAIN: None.
ames Thompson, City Clerk gl�
o1
City of Palm Springs, California z�3P