HomeMy WebLinkAbout10/6/2004 - STAFF REPORTS (3) DATE: OCTOBER 6, 2004
TO: COMMUNITY REDEVELOPMENT AGENCY
FROM: DIRECTOR OF COMMUNITY& ECONOMIC DEVELOPMENT
APPROVING A BROKERAGE AGREEMENT FOR AGENCY LAND SWAP WITH
BUREAU OF INDIAN AFFAIRS, NORTHWEST CORNER OF SUNRISE WAY AND
TAHQUITZ CANYON WAY, AND EAST PALM CANYON DRIVE, WEST OF
CHEROKEE ROAD
RECOMMENDATION:
It is recommended that the City Council approve an a Brokerage Agreement with
Ernest G. Noia to facilitate the exchange of Agency-owned land with the Bureau
of Indian Affairs, the northwest corner of Sunrise Way and Tahquitz Canyon Way
for a parcel on East Palm Canyon Drive, through a fee-to-trust transfer and trust-
to-fee transfer.
SUMMARY:
This agreement is to contract for services in the exchange of an Agency-
owned parcel for an Indian parcel. The Agreement provides for 5% of the
ultimate sales price of the current Indian parcel, or $135,000. However,
$25,000 is to be paid up front with the balance to be paid at the final close of
escrow.
BACKGROUND:
This Agreement is to assist the Agency in facilitating the above-mentioned land
swap. The Agency's sole purpose in acquiring its Site was to exchange it for
other real property which is necessary for a project being undertaken by the
Agency. To allow Agency to undertake the contemplated Agency Project, the
exchange is to be facilitated by the Bureau of Indian Affairs ("BIA") as a Fee-to-
Trust transfer of the Site and a Trust-to-Fee transfer of the Exchange Parcel. Mr.
Noia represents the Indian allottees in the transaction and has a long-standing
relationship with the BIA, which helps in the transaction. The funds for the
contract are in Merged Area#1.
JON S. A Y M D
Dir ct of Community& Economic Development
APPROVED:
Executive Director
ATTACHMENTS:
1. Resolution
2. Agreement
AGREEMENT TO PAY BROKER FEES
This Agreement is made this day of October, 2004, by and between COMMUNITY
REDEVELOPMENT AGENCY OF THE CITY OF PALM SPRINGS, hereinafter referred to as the
"Agency" and NOIA INVESTMENTS, INC, a California Corporation, hereinafter referred to as
"Broker'.
WHEREAS, the Broker represents Millie Browne ("Allottee"), the Indian Landowner of a parcel of
land located in Palm Springs immediately west of BMW of Palm Springs at 4095 East Palm Canyon
Drive, consisting of approximately 7 acres('the Allotment')and described as a portion of Allotment
PS-55C; and
WHEREAS,Agency desires to exchange a parcel of land the Agency owns atthe northwest corner
of Tahquitz Canyon Way and Sunrise Way for the Allotment owned by Allottee, and Allottee is
willing to do so provided the Agency pay to the Broker the fees due resulting from the efforts of
Broker in the negotiation, oversight and coordination between the various parties involved in the
transaction; and
NOW THEREFORE, In consideration of the mutual promises herein contained,the Agency agrees
to pay the Broker the fees upon the following terms and conditions:
1. The total due under this Agreement is 5% of the appraised value of the Allotment as
determined by the appraisal by Merrill Appraisal commissioned for the Bureau of Indian
Affairs and dated March, 2004, One Hundred Thirty Eight Thousand Dollars($135,000),
payable as follows:
(a) A non-refundable deposit of$25,000 shall be due and payable by Agency no later
than October 15, 2004. It is agreed by the parties that this portion of the fee has
already been earned and is non-refundable.
(b) The remaining balance$113,000 shall only be due upon the satisfactory completion
of the exchange of the Agency parcel with the Allotment parcel. Completion shall be
defined as when the Agency or nominee of the Agency obtains title to the Allotment
in fee simple and the deed is recorded with the County Recorders office for
Riverside County.
2. The Broker shall provide its assistance in coordinating the exchange of land between
other Indian landowners required for the Agency-Browne exchange and assist in
obtaining from the Bureau of Indian Affairs the approvals required to complete the
exchange.
3. The Broker shall attend meetings and participate in telephone conferences where
appropriate and when requested by Agency.
4. The Broker shall devote such time to the performance of his duties underthis agreement
as is reasonable and necessary.
5. The Broker is an independent contractor and not an employee of Agency under this
Agreement.
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6. This Agreement supersedes ay and all other agreements either oral or in writing between
the parties hereto with respect to the subject matter hereof.
7. In any action at law or in equity brought to enforce or interpret this Agreement, the
prevailing party shall be entitled to reasonable attorneys fees in addition to any other relief
to which they may be entitled.
8. The validity of this Agreement and of any of its terms or provisions as well as the rights
and duties of the parties hereunder, shall be governed by the laws of the State of
California.
Executed at Palm Springs, California, on the date first written above.
AGENCY: BROKER:
Community Redevelopment Agency of Noia Investments, Inc.
the City of Palm Springs
By: Ernest G. Noia—V.P.
Acrsrce.MSUAca
2
RESOLUTION NO.
OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY
OF PALM SPRINGS, CALIFORNIA,APPROVING A BROKERAGE
AGREEMENT WITH ERNEST G. NOIA OF PALM SPRINGS,
CALIFORNIA, IN THE AMOUNT OF$138,000 TO FACILITATE AN
AGENCY LAND SWAP WITH THE BUREAU OF INDIAN AFFAIRS.
BE IT RESOLVED BY THE COMMUNITY REDEVELOPMENT AGENCY of the City of Palm
Springs, California, that a Brokerage Agreement with Ernest G. Noia of Palm Springs, California,
in the amount of$138,000, to facilitate an Agency land swap with the Bureau of Indian Affairs, is
approved;and, the Executive Director or his designee is authorized to sign any documents related
to the Contract.
ADOPTED this day of , 2004.
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST: COMMUNITY REDEVELOPMENT AGENCY
By
Assistant Secretary Chairman
REVIEWED &APPROVED
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