Loading...
HomeMy WebLinkAbout7/23/2003 - STAFF REPORTS (9) DATE: July 23, 2003 TO: City Council FROM: Assistant City Manager-Administration SUBJECT: Agreement Relating to Real Property— Palm Springs Youth Center RECOMMENDATION: It is recommended that the City Council approve an agreement declining its right of first refusal and allowing for the sale of the Palm Springs Youth Center to the Family YMCA of the Desert. SUMMARY: The City has received correspondence from the Palm Springs Youth Center indicating their desire to disband their Board of Directors and sell the youth center building to the Family YMCA of the Desert. The Family YMCA of the Desert plans to use the youth center as its primary facility within the City for youth and family programs. Because the youth center building is located on property that was originally acquired from the City, the City has a right of first refusal to reacquire the property for fair market value should the Palm Springs Youth Center ever cease to exist or decide to sell the property. Under the proposed agreement, the City will decline its right of first refusal to acquire the property from the Palm Springs Youth Center. This will allow the Family YMCA to purchase the youth center so as to benefit the youth and families within the community. BACKGROUND: The Palm Springs Youth Center (PSYC) has been operating youth programs at their current location for more than 30 years. Unfortunately, the youth center has experienced serious financial problems over the past couple of years. The lack of funding has forced the PSYC Board of Directors to reduce youth programs and defer maintenance and other capital improvements to the facility. As a result, the building is now in a state of disrepair and the number of youth programs has been greatly diminished. Last year, the Family YMCA of the Desert (Family YMCA) agreed to assist the PSYC by providing personnel and services for the day-to-day operation of the youth center. The Family YMCA also agreed that during this interim period they would analyze the possibility of purchasing the youth center for the purpose of providing youth and family programs to the community. The youth center building is located on property that was originally acquired from the City. As a result, the grant deed between the City and PSYC gives the City a right of first refusal to reacquire the property for fair market value should PSYC ever desire to sell the property. d&t* JL Agreement Relating to Palm Springs Youth Center July 23, 2003 Page 2 of 3 In February 2003, the City received correspondence from Tom Brooks, President of the PSYC Board of Directors, indicating that PSYC had reached a tentative agreement with the Family YMCA to purchase the youth center for the purpose of operating youth and family programs. Under the proposed purchase agreement, the Family YMCA will purchase the property from PSYC for$100. In consideration for the right to acquire the property, the Family YMCA has agreed to spend approximately $180,000 over the next 18 months to bring the building into compliance with the Americans for Disabilities Act (ADA), as well as make other necessary improvements. The Family YMCA also plans to commit at least $300,000 annually to meet program needs at the youth center. This includes providing a full-time director and offering a variety of youth and families programs, including swim lessons, computer classes, fitness classes, and other specialty programs. The Family YMCA of the Desert, which is based in Palm Desert, has been providing youth and family programs for over 31 years. Although the Family YMCA currently operates programs in several other communities throughout the Coachella Valley, they do not have a presence in the City of Palm Springs. Staff has evaluated the services offered by Family YMCA and believes that they have a proven track record of providing quality youth and family programs. In light of the PSYC's decision to cease operations and sell the youth center, the City Attorney's office has been working on an agreement that protects the City's interests while allowing the sale of the youth center to the Family YMCA. A copy of this agreement is attached. Under the proposed agreement, the City will allow the sale of the youth center, but will retain a right of first refusal should the Family YMCA subsequently sell the property. The City may exercise its right to repurchase from the Family YMCA for a purchase price of$100 plus a reimbursement of documented "operational losses" incurred by the Family YMCA during the first five years of operation with a cumulative cap of$200,000 over the entire five-year period. The reimbursement obligation ceases on the first day after the fifth anniversary of the conveyance of the property from PSYC to the Family YMCA. Other principal terms of the proposed agreement include: • During the first five years that Family YMCA owns the property, Family YMCA will provide the City with Family YMCA's annual audited financial statements that document the Family YMCA's profit/loss for the facility for the fiscal year. • If City elects to repurchase, City will reimburse Family YMCA for all of Family YMCA's documented capital improvement costs for improvements made by Family YMCA to the property, not exceeding the then fair market value of the property. Agreement Relating to Palm Springs Youth Center July 23, 2003 Page 3 of 3 • If City subsequently sells the property to an entity which will not use the property for youth and family-related activities, the City will deposit the proceeds of such sale in a trust to be spent to benefit youth and families in the City. • If City declines to acquire the property from Family YMCA, Family YMCA may sell the property for its market value, and the net proceeds of the sale will be placed in a trust to be spent to benefit youth and families in the City. The Family YMCA Board of Directors has already approved this agreement. If the City Council approves this agreement allowing the sale of the youth center, a new grant deed between the City and Family YMCA will have to be prepared. Alternatively, if the City Council elects not to approve the sale of the youth center to the Family YMCA, the City may purchase the property at its fair market value. The estimated value of the property is between $900,000 and $1 million. If the youth center is not sold to either the City or the Family YMCA, the PSYC Board of Directors has indicated that they will be forced to shut the facility down and cease operations completely. APPROVE 1 City Ma`'iag'el 1�I Attachments: 1. Correspondence from Thomas Brooks dated February 6, 2003 2. Minute Order 3. Agreement Relating to Real Property February 6, 2003 To: David Ready, City Manager, Pahn Springs, California From: Tom Brooks, President of the Board of the Palm Springs Youth Center Subject: First right of refusal on sale of the Palm Springs Youth Center facility and assets. David, As a member of the Palm Springs Youth Center Board of Directors I have worn many hats and performed many duties during my tenure. Since being asked to join the board and to assist with developing a budget in 1995 to my current position as President one thing has been my foremost goal. That goal has been to provide programs, opportunities and positive alternatives for the youth of the Pahn Springs area. Since the construction of the permanent facility at 3601 E. Mesquite in 1980, the PSYC organization became aware of the difficulty in securing funding for the programs and overhead involved with the operation of a facility this size. The business combination necessary for the successful operation has never been reached although many, including my self have tried tirelessly to do so. As a result the building fell into disrepair and unkempt conditions. Neither condition complimentary to any youth organization. In response to these condition the current board agreed to a business plan that consisted of doing the best possible to get the physical facility to a presentable level, to partner with other agencies to better utilize the facility, and to seek funding and financial assistance from the business community, private sources and the City of Palm Springs. Over the past two years several attempts were to partner with agencies including PAL, DARE, Palms Springs Department of Parks and Recreation, the Boys and Girls Club of Palm Springs and others. A variety of reasons and circumstances were given by these various organizations for not being able to accept our offers. We were told by the City Council of Palm Springs to come up with a permanent solution to the funding problem of the PSYC and not to ask for any more funding from the City until that proposal could be made. As a result, the Board agreed to pursue conversations with the YMCA on some form of collaboration to better provide for the children's needs of the community and to utilize the facility to the service of those needs. The YMCA agreed to assist the PSYC by providing personnel and services for the day- to-day operation of the PSYC for a period from September 2002, through November 2002 at no charge. During this period the YMCA would analyze what possibilities if any existed between the PSYC and the YMCA. As a result of this analysis an offer was made to the PSYC board for the transition of the property and youth program assets of the Y a. Center with a conditional sale agreement ( see attached draft). The Board of Directors met on January 7, 2003 and voted to accept the offer 6 yes and 1 abstention. Wording in the property deed states the City of Palm Springs has first right of refusal. If the City of Palm Springs wishes to purchase the property, the price is to be set at fair market value as determined by a mutually agreed upon appraiser. An unofficial appraisal done by a commercial developer thought the value would fall between$900,000 and $1,000,000. The YMCA offer includes conditions and requirements of the YMCA to perform and provide certain levels of specific physical upgrades and program expenditures that are directly tied to children, programs and services. I believe this offer to provide the best assurance possible that this facility will be run professionally and productively to benefit the youth of our community for years to come. We wish to proceed with the YMCA offer and ask the City of Palm Springs to decline it's first right of refusal to purchase the PSYC. Fist right of refusal of the City would be a condition if the YMCA were ever to sell the property in the future. Should the City of Palm Springs agree with the decision of the PSYC Board to move forward with the YMCA offer we would require the City of Palm Springs to agree to the YMCA taking over the PSYC and operating it as a Family YMCA of the Desert for the benefit of youth, families and adults. I believe bringing an organization such as the YMCA to our city is a wonderful thing. I could name no better guardian of our children, families and the legacy of the Palm Springs Youth Center. I ask for your prompt reply as we are anxious to know that we can proceed. I am available for any questions or comments and welcome them. Sincerely, M. Thomas Brooks President, Board of Directors Palm Springs Youth Center Daytime: 760-325-8611 Cellular: 760-413-4629 Home: 760-324-8274 �--CC­Troy Butzlaff ON THE TABLE 1. FAMILY YMCA OF THE DESERT PAYS $100 CASH FOR THE CENTER. 2. YMCA PROVIDES 31 YEARS OF HISTORY; SUCCESSFULLY SERVING KIDS IN THE COACHELLA VALLEY. 3. $180,000 IN CAPITAL IMPROVEMENTS TO THE FACILITY. 4. FULL -TIME YMCA SENIOR DIRECTOR WITH 15 YEARS EXPERIENCE. 5. YMCA ADMINISTRATIVE SUPPORT STAFF INCLUDING GRANT WRITER, FINANCE DEPT (3), HUMAN RESOURCES (2), GENERAL DIRECTOR (27 YEARS EXPERIENCE), AND MARKETING DIRECTOR. 6. $25,000 IN MARKETING AND ADVERTISING THE CENTER AND ITS PROGRAMS. 7. 4-YEAR PROJECTED BUDGET OF $1.2 MILLION. 8. CONTINUE EXISTING PROGRAMS ALREADY ESTABLISHED AT THE P.S.Y.C. IE: BASKETBALL LEAGUE, BOXING AND COMPUTER CLASSES. 9. DEVELOPMENT OF SEVERAL COMMUNITY BASED YOUTH AND FAMILY PROGRAMS. 10. FINANCIAL ASSISTANCE IS READILY AVAILABLE FOR ALL YMCA PROGRAMS TO LOW-INCOME FAMILIES THAT CANNOT AFFORD THE PROGRAM FEE. 11. A LOCAL ADVISORY BOARD IS BEING DEVELOPED TO HELP DETERMINE NEEDS FOR THIS COMMUNITY BASED PROGRAM. TOTAL VALUE TO THE COMMUNITY OVER THE NEXT 4 YEARS IS: $1,380,000.00. FACorres-R9@003\On the Tableecc RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: CITY OF PALM SPRINGS 3200 E. Tahquitz Canyon Way Palm Springs, California 92262 Attn: City Clerk (SPACE ABOVE THIS LINE FOR RECORDING USE) (EXEMPT FROM RECORDING FEE PER GOV.CODE§6103) AGREEMENT RELATING TO REAL PROPERTY RIGHT OF FIRST REFUSAL CITY OF PALM SPRINGS THIS AGREEMENT RELATING TO REAL PROPERTY ("Agreement") is made and entered into as of , 2003 by and between the Palm Springs Youth Center, a California nonprofit public benefit corporation ("PSYC"), Family YMCA of the Desert, a California nonprofit public benefit corporation ("YMCA") and the City of Palm Sprigs, a charter city and municipal corporation duly organized and existing under the laws of the State of California("City"). RECITALS A. PSYC is the owner of that real property commonly known as 3601 E. Mesquite, Palm Springs, California, ("Property"), described on Exhibit "A," attached hereto and incorporated herein by this reference. B. PSYC acquired the Property from City pursuant to a deed which provides City with a right of first refusal to reacquire the Property for fair market value should PSYC desire to sell the Property. C. PSYC has been operating youth programs on the Property for more than thirty years, but now desires to sell the Property to YMCA. D. City believes YMCA is a strong community-based organization which will operate the Property so as to continue to benefit the youth and families of Palm Springs. Accordingly, City is willing to decline its right of first refusal to purchase the Property from PSYC pursuant to an agreement that City will retain a right of first refusal should YMCA subsequently sell the Property. E. The parties now desire to enter into this Agreement for the benefit of youth, families and adults in the City. NOW, THEREFORE, in consideration of the foregoing, the parties agree as follows: 1003/001/15845 v5 �A7 TERMS AND CONDITIONS 1. Sale of the Property to YMCA. PSYC desires to sell the Property to YMCA and YMCA desires to purchase the Property from PSYC. PSYC and YMCA have asked the City to decline its right of first refusal to purchase the Property from PSYC in exchange for a guarantee that City will retain the right of first refusal should YMCA ever sell the Property. YMCA desires to .use the Property as its primary facility within the City. YMCA intends to operate a number of youth and family programs on the Property with an annual budget of approximately Three Hundred Thousand Dollars ($300,000), reserving the right to adjust the annual budget to meet program needs, in its sole discretion. In light of YMCA's intent to operate the Property to benefit the community and its assurance that City will retain a right of first refusal should the YMCA subsequently desire to sell the Property, City agrees to decline its right of first refusal to purchase the Property at this time. PSYC and YMCA are concurrently executing a "Purchase Agreement" which sets forth the terms of the sale of the Property from PSYC to YMCA. YMCA's purchase price for the Property, as set forth in the Purchase Agreement, is One Hundred Dollars ($100.00). In addition to payment of the purchase price, YMCA intends to spend approximately One Hundred Eighty Thousand Dollars ($180,000) on correcting deferred maintenance over the first eighteen (18) months that it owns the Property to achieve compliance with the Americans with Disabilities Act as well as the construction of other improvements, reserving the right, in its sole discretion, to adjust the aforesaid expenditures to meet needed renovation. 2. City's Right of First Refusal. Should YMCA desire to sell the Property, City shall have the right of first refusal in the purchase of the Property and may purchase the property for One Hundred Dollars ($100.00)pursuant to the conditions contained in Section 3.3, below. 3. YMCA's Sale of the Property. 3.1 General. Should YMCA desire to sell the Property, YMCA must give City written notice of its intent as specified in Section 5 below. City shall have sixty (60) days from its receipt of written notice from YMCA of YMCA's intent to sell the Property to provide YMCA with written notice stating whether or not City will exercise its right to repurchase the Property subject to the tenns set forth herein, as well as any other terms the parties subsequently agree to in writing. City's failure to timely notify YMCA that City is exercising its option shall be deemed a declination. 3.2 Reimbursement for Operating Losses. If, within the first five (5) years that YMCA owns the Property, YMCA provides notice of its intent to sell the Property, as set forth in Section 3.1 above, and City subsequently exercises its right to repurchase the Property, City shall reimburse YMCA for YMCA's documented Operational Losses, as defined below, if any, which were incurred during the first five (5) years that YMCA owns the Property. City's obligation to reimburse YMCA's losses shall be capped at a cuumlative amount not to exceed Two Hundred Thousand Dollars ($200,000) for the entire five (5) year period. This obligation to reimburse YMCA's Operating Losses shall cease as of the first day after the fifth anniversary of the closing of the transaction 1003/001/15845 v5 2 conveying the Property from PSYC to YMCA unless prior to such date YMCA has given notice of its intent to sell in accordance with Section 3.1 above and City subsequently exercises its right to repurchase the Property thereafter. "Operational Losses" as used herein shall mean YMCA's direct expenses and general overhead in excess of revenue earned from the operation of the Property. Direct expenses include the costs of all staff employed at the Property, both salary and benefits, as well as all utility and maintenance expense, expenses relating to marketing and promotion, and all other expenses necessary for the operation of the Property. Any operating expenses not actually incurred at the Property, but allocated as a portion of general YMCA overhead, must be allocated in a fair manner, similar to the allocations made for YMCA's other facilities within the Coachella Valley. During the first five (5) years that YMCA owns the Property, YMCA shall provide the City with YMCA's annual audited financial statements which document the YMCA's profit/loss for the facility for the fiscal year. The statements shall be provided within ninety (90) days following the close of the fiscal year. Any audit required under this Agreement shall be conducted as a standard GAAS audit according to GAAP principles. Profits and losses shall be carried over from year to year. 3.3 City Exercises Right to Acquire. Should City elect to exercise its option to acquire the Property from the YMCA,the following shall apply: (a) City shall reimburse YMCA for all of YMCA's documented capital improvement costs, which costs are subject to audit by the City, for improvements made to the Property during the period that YMCA owns the Property, but such reimbursement shall not exceed the then fair market value of the Property together with the value of any personal property included in the transaction, should the City approve of the inclusion of personal property. Any audit performed by City under this Agreement shall be conducted as a standard GAAS audit according to GAAP principles. Determination of the fair market value of the Property shall be in accordance with Section 8 below. (b) In the event that the City subsequently elects to sell the Property to an entity which is ineligible to receive community development block grant funds ("CDBG Funds"), the City will be responsible for any necessary repayment of CDBG Funds that had been used for programs and/or improvements on the Property within the five (5) year period immediately preceding the sale. (c) In the event that City subsequently elects to sell the Property to an entity which will not operate the Property for youth and family related activities, the City shall deposit the proceeds of such sale in a Trust, established in accordance with Section 4 below, to be spent to benefit youth and families in the City. 1003i001/15845v5 3 �� ^ 3.4 City Declines to Acquire the Property. Should City decline to exercise its option to acquire the Property from YMCA, the following shall apply: (a) YMCA may sell the Property for its market value, determined by offering the Property for sale in the real estate market, to any person or entity without any deed restrictions imposed by the City whatsoever, provided that the Trust has been established as provided hereunder. (b) The net proceeds of the sale must be placed in Trust, as described in Section 4 below,to be spent to benefit youth and families in the City. (c) YMCA may deduct the following from the gross proceeds of its sale of the Property to be placed in the Trust: (i) All transaction costs incurred in connection with the sale of the Property to a third party, including escrow and title fees. (ii) All capital improvement costs, as described in Section 3.3(a), above. (iii) All Operational Losses incurred by YMCA during its ownership of the Property. (iv) All costs incurred to establish the Trust fiord. All such deductions must be documented with a reasonable accounting. The City may, at City's election, perform an audit of the aforementioned deductions in accordance with a standard GAAS audit under GAAP principles, which audit shall be completed within sixty (60) days following the delivery of the net proceeds of the sale for deposit in the Trust. Any objection to the YMCA deductions must be made by the City within the aforesaid sixty (60) day audit period by written notice to the YMCA in accordance with Section 5 below. If the City and YMCA are unable to resolve any such objection within ten (10) calendar days after notice thereof, the parties shall, within five (5) calendar days, select and appoint a mutually acceptable independent auditor who shall resolve the objectionable deduction within thirty (30) days of appointment, in the exercise of the auditor's professional judgment and reasonable discretion, which resolution shall be binding and conclusive on all parties. (d) In the event that the YMCA elects to sell the Property to an entity which is ineligible to receive CDBG Funds, YMCA will be solely responsible for any necessary repayment of CDBG Funds that had been used for programs and/or improvements on the Property within the five (5) year period immediately preceding the YMCA's sale of the Property. 4. Trust. Upon the sale of the Property to a third party by the YMCA, as provided by Section 3.4 above, or by the City as provided by Section 3.3(c) above, the net proceeds of the 1003/001/15845 v5 4 sale shall be delivered to or retained by the City for deposit in a separate trust account to be established and maintained by the City Treasurer ("Trust"). Said Trust shall earn interest at the rate of similar City accounts and shall be administered and managed by a committee composed of City's Directors of Finance and Parks & Recreation and YMCA's General Director. The Trust funds may only be spent on matters that benefit youth and families in the City. 5. Notice. Any notice or other communication provided or permitted under this Agreement (any of which is hereinafter referred to as a "Notice") shall be in writing, signed by the party giving such Notice or its duly authorized agent, and shall be given by personal delivery to the other party or parties or sent by Federal Express or other reputable express courier or delivery service or by United States express, certified or registered mail, postage prepaid, return receipt requested, addressed to the party for whom it is intended at such party's address as stated below. All notices shall be effective upon delivery. 6. Boxing Club. PSYC and City are parties to a lease establishing a boxing club which uses the Property. PSYC and City hereby agree to terminate the boxing club lease. Notwithstanding this Agreement, YMCA may continue to allow boxing on the Property. 7. YMCA Board. The YMCA will establish an advisory board which will give advice relating to the YMCA's use of the Property and matters including, but not limited to, capital improvement plans, cooperative programs, funding needs and other issues. Said board will, at all times, include a City representative. 8. Fair Market Value. Where the City acquires the Property under Section 3.3 and fair market value must be established, fair market value shall be determined by an independent appraiser selected by the City and YMCA, who can select any person or persons, licensed or not, to conduct an appraisal of the assets. If the parties cannot agree upon a single appraiser within ten (10) calendar days after the event precipitating a determination of fair market value, the City and YMCA shall each select a licensed appraiser within five (5) calendar days, and those two appraisers shall, in turn, within five (5) calendar days, select and appoint a single licensed appraiser. For the purposes herein, a licensed appraiser means an appraiser licensed by the State of California who is a member in good standing of either the American Institute of Real Estate Appraisers or the Society of Real Estate Appraisers. Within thirty (30) days of appointment, the appraiser shall determine the fair market value of the Property included in the transaction. The third appraiser shall perform the appraisal and shall have each of the other appraisers review the draft appraisal. The third appraiser shall consider the input of both appraisers before finalizing the appraisal. Thereafter, the third appraiser's determination shall be binding and conclusive on all parties to this Agreement. The appraiser shall determine the fair market value of such real property as of the day immediately proceeding the day of the event precipitating the determination. 9. Superceding Deed Restrictions; Recording. Prior to recordation of this Agreement, the Property is encumbered by certain deed restrictions ("Deed Restrictions") to that certain Grant Deed conveying the Property from the City to PSYC, first recorded on July 11, 1978 and re-recorded on August 29, 1978 as Instrument Nos. 142564 and 182811, respectively, in the Office of the Recorder of Riverside County. This Agreement is made, in part, pursuant to Deed Restriction Number 3 which provides for amendment of the Deed Restrictions. Upon 1003/001/15845 v5 5 r recordation of this Agreement the prior Deed Restrictions shall be null and void, and shall be superceded in their entirety by the terms and conditions of this Agreement. This Agreement shall be recorded in Office of the Recorder of Riverside County concurrently with the recording of the Grant Deed conveying the Property from PSYC to the YMCA at the closing of that transaction, which Grant Deed shall acknowledge this Agreement in a form substantially as set forth by Exhibit "B" attached hereto. 10. General Provisions. 10.1 California Law. This Agreement shall be interpreted, enforced and governed by and under the laws of the State of California. 10.2 Representations, Each parry represents and warrants that, as of the date this Agreement is executed, it has the authority to enter into this Agreement and that this Agreement is a valid and binding obligation of such party. 10.3 Miscellaneous. Prior to the closing of the transaction conveying the Property from PSYC to YMCA, this Agreement may be modified only by a written agreement signed by all of the parties to this Agreement, and after said closing this Agreement may be modified by a written agreement signed by the City and YMCA. If any action or proceeding is commenced by any party to enforce the terms of this Agreement, the prevailing parry shall be entitled to recover from the other party reasonable attorneys' fees and costs in addition to any other relief awarded by the court. 10.4 No Conflict of Interest. No officer or employee of any party shall have any financial interest, direct or indirect, in this Agreement nor shall any such officer or employee participate in any decision relating to the Agreement which effects his financial interest or the financial interest of any corporation, partnership or association in which he is, directly or indirectly, interested, in violation of any State statute or regulation. All parties warrant that they have not paid or given and will not pay or give any third party any money or other consideration for obtaining this Agreement. 10.5 Assignment. No party has the right to assign this Agreement or any interest or right hereunder. This Agreement shall be binding upon and shall inure to the benefit of all parties and their respective heirs, personal representatives, successors and assigns. 10.6 Cormterparts. This Agreement may be executed in three or more counterparts, each of which shall be deemed an original, but all of which taken together shall constitute one and the same instrument. [signatures on next page] 1003/001/15845 v5 6 jA IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the date first written above. "PSYC" PALM SPRINGS YOUTH CENTER, a California nonprofit public benefit corporation By: Name: By: Name: Mailing Address: c/o Mr. M. Thomas Brooks Merrill Lynch 415 S. Palm Canyon Drive Palm Springs, CA 92262 "YMCA" FAMILY YMCA OF THE DESERT, a California nonprofit public benefit corporation By: Name: By: Name: Mailing Address: 43-930 San Pablo Avenue Palm Desert, California 92260 Attn: General Director 1003/OO1/15845 v5 7 "CITY" CITY OF PALM SPRINGS, a California charter city and municipal corporation By: Its: Mailing Address: 3200 East Tahquitz Canyon Way Palm Springs, California 92262 Attn: City Manager With a copy to: ALESHIRE & WYNDER, LLP 18881 Von Karman Avenue, Suite 400 Irvine, CA 92612 Attn: David J. Aleshire, Esq. 1003/001/15845 v5 g <Pq EXHIBIT "A" LEGAL DESCRIPTION OF THE PROPERTY APN 680-120-032-0 The land referred to herein is situated in the County of Riverside, City of Palm Springs, State of California, and is described as follows: THAT PORTION OF LOT 10 IN SECTION 19, TOWNSHIP 4 SOUTH, RANGE 5 EAST, SAN BERNARDINO BASE AND MERIDIAN, AS SHOWN ON MAP OF PALM VALLEY COLONY LANDS, ACCORDING TO MAP THEREOF RECORDED IN BOOK 14, PAGE 652 OF MAPS RECORDS OF SAN DIEGO COUNTY, CALIFORNIA, BEING IN THE CITY OF PALM SPRINGS, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, DESCRIBED AS FOLLOWS: COMMENCING AT THE NORTHWEST CORNER OF TRACT NO. 7290, ACCORDING TO MAP THEREOF RECORDED IN BOOK 87, PAGES 5 THROUGH 7, INCLUSIVE OF MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA, THENCE SOUTH 0 DEG 11' 45" EAST, ALONG THE WESTERLY BOUNDARY LINE OF SAID TRACT NO. 7920, A DISTANCE OF 36.14 FEET TO A POINT ON THE ARC OF A NON-TANGENT CURVE CONCAVE SOUTHWESTERLY, HAVING A RADIUS OF 500.00 FEET, SAID POINT BEING A POINT IN THE CENTERLINE OF MESQUITE AVENUE; THENCE WESTERLY ALONG THE WESTERLY EXTENSION OF THE CENTERLINE OF MESQUITE AVENUE AND ALONG THE ARC OF SAID CURVE, THROUGH A CENTRAL ANGLE OF 4 DEG 36' 23", A DISTANCE OF 40.20 FEET TO A POINT OF INTERSECTION WITH THE WESTERLY LINE OF SAID LOT 10, SAID POINT BEING THE TRUE POINT OF BEGINNING; THENCE RETRACING SOUTHEASTERLY ALONG THE ARC OF SAID 500.00 FOOT RADIUS CURVE, THROUGH A CENTRAL ANGLE OF 31 DEG 33' 29", A DISTANCE OF 275.40 FEET; THENCE TANGENT TO SAID CURVE SOUTH 53 DEG 38' 23" EAST, A DISTANCE OF 110.98 FEET; THENCE SOUTH 36 DEG 21' 37" WEST, A DISTANCE OF 483.78 FEET; THENCE NORTH 53 DEG 38' 23" WEST, A DISTANCE OF 73.09 FEET TO THE WESTERLY LINE OF SAID LOT 10; THENCE NORTH 0 DEG 11' 45" EAST ALONG SAID WESTERLY LINE, A DISTANCE OF 507.65 FEET TO THE TRUE POINT OF BEGINNING. A-1 EXHIBIT `B" GRANT DEED RECORDING REQUESTED BY AND WHEN RECORDED RETURN TO: FAMILY YMCA OF THE DESERT 43-930 San Pablo Avenue Palm Desert, California 92260 Space Above this Lhie Reserved for Use by Recorder GRANT DEED FOR VALUABLE CONSIDERATION, receipt of which is hereby acknowledged, PALM SPRINGS YOUTH CENTER, a California nonprofit public benefit corporation ("Grantor"), hereby grants to FAMILY YMCA OF THE DESERT, a California nonprofit public benefit corporation ("Grantee"), all of Grantor's right, title and interest in that real property described on Exhibit "A" attached hereto and incorporated herein by this reference. This deed is hereby granted and the recording thereof acknowledges acceptance of the following reservation: Those obligations set forth in the "Agreement Relating to Real Property" executed by and between Grantor, Grantee and the City of Palm Springs. IN WITNESS WHEREOF, the undersigned has executed this Grant Deed on this day of , 2003. GRANTOR: PALM SPRINGS YOUTH CENTER, a California nonprofit public benefit corporation By: Name: By: Name: B-1 glqO EXHIBIT "A" TO GRANT DEED Legal Description of Real Property APN 680-120-032-0 The land referred to herein is situated in the County of Riverside, City of Palm Springs, State of California, and is described as follows: THAT PORTION OF LOT 10 IN SECTION 19, TOWNSHIP 4 SOUTH, RANGE 5 EAST, SAN BERNARDINO BASE AND MERIDIAN, AS SHOWN ON MAP OF PALM VALLEY COLONY LANDS, ACCORDING TO MAP THEREOF RECORDED IN BOOK 14, PAGE 652 OF MAPS RECORDS OF SAN DIEGO COUNTY, CALIFORNIA, BEING IN THE CITY OF PALM SPRINGS, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, DESCRIBED AS FOLLOWS: COMMENCING AT THE NORTHWEST CORNER OF TRACT NO. 7290, ACCORDING TO MAP THEREOF RECORDED IN BOOK 87, PAGES 5 THROUGH 7, INCLUSIVE OF MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA, THENCE SOUTH 0 DEG 11' 45" EAST, ALONG THE WESTERLY BOUNDARY LINE OF SAID TRACT NO. 7920, A DISTANCE OF 36.14 FEET TO A POINT ON THE ARC OF A NON-TANGENT CURVE CONCAVE SOUTHWESTERLY, HAVING A RADIUS OF 500.00 FEET, SAID POINT BEING A POINT IN THE CENTERLINE OF MESQUITE AVENUE; THENCE WESTERLY ALONG THE WESTERLY EXTENSION OF THE CENTERLINE OF MESQUITE AVENUE AND ALONG THE ARC OF SAID CURVE, THROUGH A CENTRAL ANGLE OF 4 DEG 36' 23", A DISTANCE OF 40.20 FEET TO A POINT OF INTERSECTION WITH THE WESTERLY LINE OF SAID LOT 10, SAID POINT BEING THE TRUE POINT OF BEGINNING; THENCE RETRACING SOUTHEASTERLY ALONG THE ARC OF SAID 500.00 FOOT RADIUS CURVE, THROUGII A CENTRAL ANGLE OF 31 DEG 33' 29", A DISTANCE OF 275.40 FEET; THENCE TANGENT TO SAID CURVE SOUTH 53 DEG 38' 23" EAST, A DISTANCE OF 110.98 FEET; THENCE SOUTH 36 DEG 21' 37" WEST, A DISTANCE OF 483.78 FEET; THENCE NORTH 53 DEG 38' 23" WEST, A DISTANCE OF 73.09 FEET TO THE WESTERLY LINE OF SAID LOT 10; THENCE NORTH 0 DEG 11' 45" EAST ALONG SAID WESTERLY LINE, A DISTANCE OF 507.65 FEET TO THE TRUE POINT OF BEGINNING. MINUTE ORDER NO. APPROVING AN AGREEMENT DECLINING ITS RIGHT OF FIRST REFUSAL AND ALLOWING FOR THE SALE OF THE PALM SPRINGS YOUTH CENTER TO THE FAMILY YMCA OF THE DESERT. --------------- I HEREBY CERTIFY that this Minute Order, approving an agreement declining its right of first refusal and allowing for the sale of the Palm Springs Youth Center to the Family YMCA of the Desert was adopted by the City Council of the City of Palm Springs, California, in a meeting thereof held on the 23`d day of July, 2003. PATRICIA A. SANDERS City Clerk g �