HomeMy WebLinkAbout7/17/2002 - STAFF REPORTS (25) S
DATE: JULY 17, 2002
TO: CITY COUNCIL
FROM: DIRECTOR OF COMMUNITY AND ECONOMIC DEVELOPMENT
APPROVAL OF AN EXCHANGE AGREEMENT WITH THE GALWAY TRUST OF
CALABASAS, CALIFORNIA, EXCHANGING 68 ACRES OF CITY-OWNED OPEN SPACE
LAND FOR 68 ACRES OF TRUST-OWNED LAND, WITH PERMANENT OPEN-SPACE
RESTRICTIONS BEING RECORDED AGAINST BOTH PROPERTIES
RECOMMENDATION:
It is recommended that the City Council approve the Exchange Agreement with the
Galway Trust of Calabasas, California, exchanging 68 acres of City-owned land for 68
acres of Trust-owned land, with permanent open-space restrictions being recorded
against both, thereby increasing the City's supply of dedicated open space land by 68
acres.
SUMMARY:
The Galway Trust has an interest in ensuring that 68 acres of City-owned land adjacent
to property it owns in the Mesa area remains perpetually undeveloped. Even though
the City has assured the Trust that the land was obtained for open space purposes, the
Trust has offered an additional 68 acres in the Snow Creek area to the City in
exchange for the adjacent property. Both properties would record provisions prohibiting
development. The Trust has agreed to absorb all of the costs of the transaction,
including the Phase I environmental report, escrow costs, legal costs; and, to hold the
City harmless in the event of any litigation that may arise from the exchange.
BACKGROUND:
The Galway Trust is the owner of unimproved real property located in the Snow Creek
area of the City, consisting of approximately sixty eight (68) acres, and the City is the
owner of certain unimproved real property located in the Cahuilla Hills area overlooking
the Mesa, consisting of approximately sixty eight (68) acres. The City Property consists
of two parcels designated as Parcel 1 and Parcel 2 on Exhibit B, the Legal Description.
The deed which conveyed Parcel 1 to the City provides:
"This gift deed is hereby granted to the City of Palm Springs subject to said
property being retained for park or permanent open space purposes."
The deed which conveyed Parcel 2 to the City provides:
"In the event of any type of construction or development, this deed shall be null
and void and the estate hereby conveyed shall revert to and immediately revest
in the grantor, her heirs and assigns."
In addition to the Trust Property described above, the Trust owns additional real
property which is located adjacent to the City Property, which has been improved as a
single family residence. The Trust wishes to assure that the City Property shall always
and in perpetuity remain in an undeveloped and natural state. Notwithstanding the
provisions of the deeds as described above and the intention of the City to maintain the
City property in an undeveloped and natural state, the Trust desires further assurances
that the City Property will not be developed, and to that end is willing to convey the
Trust Property to the City in exchange for the City Property in the fashion set forth in
the Exchange Agreement to ensure that neither the Trust Property nor the City Property
shall be developed and that those properties shall remain as permanent open space.
The City also wishes to ensure that both the City Property and the Trust Property shall
always and in perpetuity remain in an undeveloped and natural state; it has a program
of open space acquisition, and is always interested in adding to the open space
inventory. The City, pursuant to its authority under Government Code Section 37350,
to acquire and dispose of property for the common benefit, deems this exchange to be
in the best interest of the City because it results in 68 additional acres within the City
being held in an undeveloped and natural state for the long term benefit of the City and
its residents without expense to the City.
In addition, the Trust deems this exchange to be in its best interest because it assures
that the City Property will, in perpetuity, remain in an undeveloped and natural state, to
the benefit of the Adjacent Trust Property. As an additional incentive to the City, the
Trust has agreed to cover all of the costs associated with the exchange.
J HN S. YMON
Di ctor Community and Economic Development
AP RP OVED.
Executive Director
ATTACHMENTS:
1. Resolution
2. Exchange Agreement
EXCHANGE AGREEMENT
GALWAY TRUST
and
CITY OF PALM SPRINGS, CALIFORNIA
A MUNICIPAL CORPORATION,
JUNE, 2002
0 A-3
EXCHANGE AGREEMENT
THIS EXCHANGE AGREEMENT is made effective as of the_ day of
2002 by and between THE GALWAY TRUST ('Trust') and THE CITY OF PALM SPRINGS,
CALIFORNIA, a California Chartered Municipal Corporation ("City").
RECITALS
A The Trust is the owner of that certain unimproved real property located in the City of
Palm Springs, County of Riverside, State of California, consisting of approximately sixty
eight (68) acres which Real Property is more particularly described in attached Exhibit
A ('Trust Property").
B The City is the owner of that certain unimproved real property located in the City of
Palm Springs, County of Riverside, State of California, consisting of approximately sixty
eight (68) acres which Real Property is more particularly described in attached Exhibit
B ("City Property").
C The City Property consists of two parcels designated as Parcel 1 and Parcel 2 on
Exhibit B. The deed which conveyed Parcel 1 to the City provides:
"This gift deed is hereby granted to the City of Palm Springs subject to said
property being retained for park or permanent open space purposes."
The deed which conveyed Parcel 2 to the City provides:
"In the event of any type of construction or development, this deed shall be null
and void and the estate hereby conveyed shall revert to and immediately revest
in the grantor, her heirs and assigns."
D In addition to the Trust Property, the Trust owns additional real property which is
located adjacent to the City Property ("Adjacent Trust Property"). The Adjacent Trust
Property has been improved as a single family residence. The Trust wishes to assure
that the City Property shall always and in perpetuity remain in an undeveloped and
natural state.
E Notwithstanding the provisions of the deeds as hereinabove set forth and the intention
of the City to maintain the City property in an undeveloped and natural state, the Trust
desires further assurances that the City Property will not be developed, and to that end
is willing to convey the Trust Property to the City in exchange for the City Property in
the fashion set forth hereinafter to assure that neither the Trust Property nor the City
Property shall be developed and that those properties shall remain as permanent open
space.
F The City also wishes to insure that both the City Property and the Trust Property shall
always and in perpetuity remain in an undeveloped and natural state.
Dft2,62802 X q,
G The City, pursuant to its authority under Government Code Section 37350, to acquire
and dispose of property for the common benefit, deems this exchange to be in the best
interest of the City because it results in 68 additional acres within the City being held in
an undeveloped and natural state for the long term benefit of the City and its residents
without expense to the City.
H The Trust deems this exchange to be in the best interest of the Trust because it
assures that the City Property will, in perpetuity, remain in an undeveloped and natural
state, to the benefit of the Adjacent Trust Property.
NOW, THEREFORE, in consideration of the mutual covenants and conditions contained
herein, the parties do hereby agree as follows:
1 EXCHANGE:
The Trust agrees to convey the Trust Property to the City and the City agrees to convey the
City Property to the Trust, subject to the terms and conditions hereinafter set forth, together
with all rights and appurtenances thereto.
2 CONVEYANCE:
Each of the parties agree that it shall convey its property to the other utilizing the form of Deed
attached hereto as Exhibit C ("Deed").
3 ESCROW
Within 10 days from the date hereof the Parties will deliver signed escrow instructions to
Escrow Company, Palm Springs, California, ("Escrow Holder"), a copy of
which instructions are attached hereto, marked Exhibit D ("Escrow Instructions"), and by this
reference made a part hereof. Escrow fees shall be paid entirely by the Trust. The escrow
instructions shall in all cases be consistent with the provisions of this Agreement, and in the
event of a conflict between the terms of the escrow instructions and this Agreement, the terms
of this Agreement shall prevail. At the close of escrow ("Closing"), title to the Property shall
be conveyed by a duly executed and acknowledged Deed.
4 PHASE 1 HAZARDOUS MATERIALS REPORT
Within 45 days from the date hereof, the Trust, at its sole expense, shall cause
to inspect each of the properties and to issue its Phase 1 Report
("Hazardous Materials Report") to each of the Parties. In the event the Hazardous Materials
Report indicates that either property is likely to have been contaminated by any Hazardous
Material, either Party may terminate this agreement and the Escrow.
491 .
M2,62802
5 TITLE
At closing, each of the Parties shall convey to the other party title to their respective property,
free and clear of any and all liens, encumbrances, covenants, conditions, restrictions,
easements, rights of way and assessments except those set forth on Exhibit E ("Trust
Property Title Exceptions) and Exhibit F ("City Property Title Exceptions).
6 REPRESENTATIONS AND WARRANTIES
Each of the Parties makes the following representations and warranties to to the other which
shall be true as of the date hereof and as of the Closing:
A This Agreement and all agreements, instruments and documents herein provided to be
executed or to be caused to be executed by each Party on or before the Closing will be duly
authorized, executed and delivered by and binding upon that Party and enforceable in
accordance with its terms; and each Party has the authority to enter into this Agreement and
consummate the transactions herein provided.
B Neither Party has (i) received notice of any outstanding violation of or been charged with
the violation of any material legal requirement, restriction, condition, covenant or agreement
affecting its Property or the marketing, construction, development, use, operation,
maintenance or management of its Property which has not been cured, or (ii) been served in
any unresolved litigation relating to its Property or the marketing, construction, development,
use, operation, maintenance or management of the Property. Neither Party has actual
knowledge of any actions, suits, claims or proceedings, governmental or otherwise, pending or
threatened against its Property or any portion thereof.
C Neither Party is a party to any certificate, instrument, contract, deed of trust, mortgage,
indenture, agreement, covenant or other restriction, and there is no provision in any Trust
Agreement, Charter or law, or any judgment, order, writ, injunction, or decree of any court,
governmental body or arbitrator, which would prohibit or otherwise be breached or violated by
the entering into, execution, delivery or performance by either Party of this Agreement or the
consummation of the transactions contemplated hereby.
D Both Parties acknowledge that they are required to disclose if their respective Properties
lie within the following natural hazard areas or zones: (i) a special flood hazard area
designated by the Federal Emergency Management Agency (California Civil Code Section
1102.17); (ii) an area of potential flooding (California Government Code Section 8589.4); (iii) a
very high fire hazard severity zone (California Government Code Section 51183.5); (iv) a wild
land area that may contain substantial forest fire risks and hazards (Public Resources Code
Section 4136); (v) an earthquake fault zone (Public Resources Code Section 2621.9); or (vi) a
seismic hazard zone (Public Resources Code Section 2694). However, because the purpose
of this transaction is to assure that neither the City Property nor the Trust Property are
developed, each Party hereby waives this disclosure requirement. Neither Party shall have
any responsibility for matters not actually known to it. In addition, neither Party has knowledge
of any hazardous materials or hazardous substances on its Property.
M2,62802
E There are no service, maintenance, employment, supply, management or other
agreements affecting either Property, either oral or written, which will remain in effect after the
Closing.
F There are no leases, licenses or other agreements permitting the use or occupancy of
either Property which will remain in effect after the Closing. There are no persons entitled to
use or occupy either Property or any portion thereof by reason of any easements by
prescription or necessity.
G Neither Party has: (a) made a general assignment for the benefit of creditors; (b) filed
any voluntary petition in bankruptcy or suffered the filing of an involuntary petition by its
creditors; (c) suffered the appointment of a receiver to take possession of all or substantially all
of its assets; or (d) suffered the attachment or judicial seizure of all, or substantially all, of its
assets.
H Neither Party has granted any person any right to acquire all or any portion of its
Property, including, without limitation, any development, mineral or air rights relating to its
Property.
I Neither Party has actual knowledge of: (a) any condemnation, pending or threatened, of
its Property or any portion thereof, including any right of access to its Property; (b) any
government plans for public improvements that might result in a special assessment against its
Property; or, (c) any underground or above-ground storage tanks on its Property.
J The exchange of the Properties and the performance of each of the Parties' obligations
hereunder are not subject to any requirement to obtain any approval or consent of any other
governmental agency or third party.
K Neither Party is a "foreign person"within the meaning of Section 1445(f)(3) of the
Internal Revenue Code.
L Except as otherwise expressly provided in this Agreement including this Article 6,
neither Party Seller makes any representation, warranty or guarantee whatsoever with respect
to its Property, or any aspect thereof. Each Party acknowledges and agrees that if the
exchange occurs, except as otherwise provided herein it will be acquired "AS - IS," and each
Party's decision in that regard shall be based on its own independent investigation and
analysis of the Property.
M The representations, warranties and covenants made by each Party in this Article 6 shall
survive the Closing and the recordation of the deed.
7 BROKERAGE COMMISSION
Each party represents to the other that no real estate brokers are involved in this transaction.
DR2,62802 Z *-
8 MISCELLANEOUS PROVISIONS
A Unless otherwise provided herein, any notice, tender or delivery to be given hereunder
by either party to the other may be effected by personal delivery or by registered or certified
mail, postage prepaid, return receipt requested, and shall be deemed communicated as of the
date of mailing. Mailed notices shall be addressed as set forth below but each party may
change his address by written notice in accordance with this paragraph:
CITY: CITY OF PALM SPRINGS
3200 E Tahquitz Canyon Way
Palm Springs, CA 92262
Attn: City Manager
With Copy to: Burke, Williams & Sorensen, LLP
18301 Von Karman Avenue, Suite 1050
Irvine, California 92612-1009
Attn: David J. Aleshire, Esq.
TRUST: GALWAY TRUST
23961 Craftsman Road
Suite H
Calabasas, CA 91302
With Copy to: Selzer, Ealy, Hemphill & Blasdel, LLP
777 East Tahquitz Canyon Way, Suite 328
Palm Springs, CA 92262
Attn: Paul T. Selzer, Esq.
B This instrument contains the entire agreement between the parties relating to the
matters contained within this Agreement. Any oral representations or modifications concerning
this instrument shall be of no force or effect excepting a subsequent modification in writing
signed by all parties.
C In the event of any litigation or arbitration between the parties hereto, arising out
of or relating to this Agreement, or the breach thereof, the prevailing party shall be entitled, in
addition to such other relief as may be granted, to a reasonable sum as and for attorneys' fees
in such litigation or arbitration which shall be determined by the court in such litigation or
arbitrator or in a separate action brought for that purpose.
D This Agreement shall be binding upon and shall inure to the benefit of the
respective heirs, personal representatives, successors and assigns of the parties hereto.
E This Agreement is entered into in the State of California, concerns real property
located within this state, and all questions concerning the validity, interpretation and
performance of any of its terms or provisions or any of the rights or obligations of the parties
hereto shall be governed by and resolved in accordance with the laws of the State of
California.
Dft2,62802
F Each party hereto agrees to execute and deliver such other and further
documents and perform such other acts as shall be necessary to effectuate the purpose of this
Agreement.
G Any waiver of the breach of any covenant, condition or promise contained within
this Agreement shall not be deemed a waiver of any succeeding breach of the same or of any
other covenant, condition or promise set forth within this Agreement. No waiver shall be
deemed to have been given unless given in writing and in compliance with the Notices section
set forth above.
H Time is expressly deemed to be of the essence of this Agreement and each and
every provision hereof.
I This Agreement may be executed in one or more counterparts, and bear the
signature of each Party on a separate counterpart, each of which when so executed and
delivered shall be deemed an original but all of which taken together shall constitute but one
and the same instrument. Signatures on facsimile copies when so delivered shall be deemed
to be originals and shall operate in the same manner as original counterparts.
J All representations and warranties set forth in this Agreement and all provisions
of this Agreement shall survive Closing and be fully enforceable thereafter.
K This Agreement does not confer any rights or remedies upon any person, firm or
entity other than the Parties and their respective successors and permitted assigns.
L No officer or employee of the City 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 affects 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. The Trust warrants that it has not paid or given and
will not pay or give any third party any money or other consideration for obtaining this
Agreement.
M If either party to this Exchange Agreement is required to initiate or defend or ade
a party to any action or proceeding in any way connected with this Exchange Agreement, the
prevailing party in such action or proceeding, in addition to any other relief which may be
granted, whether legal or equitable, shall be entitled to reasonable attorney's fees, whether or
not the matter proceeds to judgment.
J
DR2,62802
IN WITNESS WHEREOF, the parties hereto have executed this Agreement and
made it effective as of the day and year of last execution below.
CITY By:
Its:
Date:
GALWAY TRUST By:
Trustee
Date:
Dft2,62802
GALWAY OPEN SPACE
EXHIBIT `A'
LEGAL DESCRIPTION
IN THE CITY OF PALM SPRINGS, STATE OF CALIFORNIA, MORE
PARTICULARLY DESCRIBED AS FOLLOWS: BEGINNING AT THE
NORTH QUARTER CORNER OF SECTION 22, THENCE EAST A
DISTANCE OF 1250 FEET;THENCE SOUTH A DISTANCE OF 1170 FEET;
THENCE WEST A DISTANCE OF 2500 FEET; THENCE NORTH A
DISTANCE OF 1170 FEET; THENCE EAST A DISTANCE OF 1250 FEET
TO THE TRUE POINT OF BEGINNING.
APPROXIMATELY 67 ACRES MORE OR LESS.
EXHIBIT "A"
/NORTH QUARTER CORNER
16 13 / ]270' Vw EAST
17 14
j GALWAY L2 23
OPEN SPACE
67 +{- KRES
2 0' VEST
GALWAY
PROPERTY
i
I
22 22
27
CITY OF PALM SPRINGS
* * PUBLIC WORKS & ENGINEERING GALWAY
CE
DEPARTMENT
DESIGN BY: SCALE: FILE NO.:
NTS
SECTION 22, T.3.S, R.3.E, S.B.B:M. CHECKED BY: W.O. SHEET NO.:
1 OF 1
I,), P'
CITY OPEN SPACE
EXHIBIT "B"
LEGAL DESCRIPTION
IN THE CITY OF PALM SPRINGS, STATE OF CALIFORNIA, MORE
PARTICULARLY DESCRIBED AS THE SOUTHWEST QUARTER OF THE
SOUTHWEST QUARTER OF SECTION 22, TOWNSHIP 4 SOUTH, RANGE 4
EAST, SAN BERNARDINO MERIDIAN, AND THE PORTION OF THE NORTH
HALF OF THE NORTHEAST QUARTER OF SECTION 27, TOWNSHIP 4
SOUTH, RANGE 4 EAST, SAN BERNARDINO MERIDIAN LYING WESTERLY
OF THE PALM CANYON MESA TRACT AS SHOWN IN MAP BOOK 12, PAGES
52 THROUGH 56, RECORDS OF RIVERSIDE COUNTY.
APPROXIMATELY 67 ACRES MORE OR LESS.
EXHIBIT "B"
15i l' rl
f f;
CITY
OPEI�SPACE
39
ACRES
USA - -
23 22 , , '• '` 27 23
za z7 CITY 2 26
CITY OPEN SPACE
OPEN SPACE 2ACRES
c" -�A-LM" CANYON
'I
MESA T�2ACT
(Mq 12/52 Vim)
II ,
CITY
i; OPEN SPACE
cE PAL4 sq
CITY OF PALM SPRINGS L7TY
PUBLIC WORKS & ENGINEERING OS
DEPARTMENT PEN SPA
DESIGN BY: SCALE: FILE NO.:
N TS
SECTIONS 22 AND 27, T.4.S, R.4.E, S.B.B:M.
CHECKED BY; W.O. f SHEET NO.:
7 OF 1
RECORDING REQUESTED BY
AND WHEN RECORDED RETURN TO:
SELZER, EALY, HEMPHILL&BLASDEL,LLP
Paul T. Selzer
777 E. Tahquitz Canyon Way
Palm Springs CA 92262
MAIL TAX STATEMENTS TO: DOCUMENTARY TRANSFER TAX$
Computed on the consideration or value of Property
conveyed, OR
Computed on the consideration or value less liens or
encumbrances remaining at time of sale.
Signature of Declarant or Agent determining tax-Firm Name
GRANT DEED
FOR A VALUABLE CONSIDERATION, receipt of which is hereby acknowledged,
Galway Trust
hereby GRANT(S) to
The City of Palm Springs, a California Municipal Corporation
the real property in the City of Palm Springs, County of Riverside, State of California, described as:
That certain unimproved real property described on Exhibit A, attached hereto
This grant deed is made in consideration of the covenant of the City of Palm Springs that the property
conveyed hereby shall, in perpetuity, be retained exclusively as natural open space and be managed and
maintained as such. In the event of any type of construction or development on the property or in the event
it is not be managed or maintained by the City as natural open space, this deed shall be null and void and the
estate hereby conveyed shall revert to and shall immediately be revested in the grantors, or their heirs,
successors and assigns.
Dated By:
STATE OF CALIFORNIA )
) ss
COUNTY OF RIVERSIDE )
On before me, personally appeared
❑personally known to me- or- ❑ proved to me on the basis of satisfactory evidence, to be the person(s) whose
name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in
his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the
entity upon behalf of which the persons(s) acted, executed the instrument.
Witness my hand and official seal.
(This area for official notarial seal)
SIGNATURE OF NOTARY
MAIL TAX STATEMENTS AS DIRECTED ABOVE
RECORDING REQUESTED BY
AND WHEN RECORDED RETURN TO:
SELZER, EALY, HEMPHILL&BLASDEL,LLP
Paul T. Selzer
777 E. Tahquitz Canyon Way
Palm Springs, CA 92262
MAIL TAX STATEMENTS TO: DOCUMENTARY TRANSFER TAX$
Computed on the consideration or value of Property
conveyed, OR
Computed on the consideration or value less liens or
encumbrances remaining at time of sale.
Signature of Declarant or Agent determining tax-Firm Name
GRANT DEED
FOR A VALUABLE CONSIDERATION, receipt of which is hereby acknowledged,
The City of Palm Springs, a California Municipal Corporation
hereby GRANT(S) to
Galway Trust
the real property in the City of Palm Springs, County of Riverside, State of California, described as:
That certain unimproved real property described on Exhibit A, attached hereto
This deed is subject to the following provision contained in that certain Deed to Restricted Indian
Land dated April 6, 1981wherein Debra Sue Olinger is the Grantor and the City of Pahn Springs is
the Grantee:
"In the event of any type of construction or development, this deed shall be null and void and the
estate hereby conveyed shall revert to and immediately revest in the grantor, her heirs and assigns.
Dated By:
STATE OF CALIFORNIA )
ss
COUNTY OF RIVERSIDE )
On ,before me, , personally appeared
11 personally known to me-or- ❑proved to me on the basis of satisfactory evidence, to be the person(s) whose
name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in
his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the
entity upon behalf of which the persons(s) acted, executed the instrument.
Witness my hand and official seal.
(This area for official notarial seal)
SIGNATURE OF NOTARY
MAIL TAX STATEMENTS AS DIRECTED ABOVE
I�
` ' °1
RECORDING REQUESTED BY
AND WHEN RECORDED RETURN TO:
SELZER, EALY, HEMPHILL&BLASDEL,LLP
Paul T. Selzer
777 E. Tahquitz Canyon Way
Palm Springs, CA 92262
MAIL TAX STATEMENTS TO: DOCUMENTARY TRANSFER TAX $
Computed on the consideration or value of Property
conveyed, OR
Computed on the consideration or value less liens or
encumbrances remaining at time of sale.
Signature of Declarant or Agent determining tax-Firm Name
GRANT DEED
FOR A VALUABLE CONSIDERATION, receipt of which is hereby acknowledged,
The City of Palm Springs, a California Municipal Corporation
hereby GRANT(S) to
Galway Trust
the real property in the City of Palm Springs, County of Riverside, State of California, described as:
That certain unimproved real property described on Exhibit A, attached hereto
This deed is subject to the following provision contained in that certain Grant Deed dated December 14,
1978 wherein Jess C. Burks, as Trustee, is the Grantor and the City of Palm Springs is the Grantee:
"Thus gift deed is hereby granted to the City of Palm Springs subject to said property being retained for park
or permanent open space purposes."
Dated By:
STATE OF CALIFORNIA )
ss
COUNTY OF RIVERSIDE )
On before me, personally appeared
❑ personally known to me-or- ❑ proved to me on the basis of satisfactory evidence, to be the person(s) whose
name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in
his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the
entity upon behalf of which the persons(s) acted, executed the instrument.
Witness my hand and official seal.
(This area for official notarial seal)
SIGNATURE OF NOTARY
MAIL TAX STATEMENTS AS DIRECTED ABOVE ,
RESOLUTION NO.
OF THE CITY COUNCIL OF THE CITY OF PALM
SPRINGS,CALIFORNIA,APPROVINGAN EXCHANGE
AGREEMENT WITH THE GALWAY TRUST OF
CALABASAS,CALIFORNIA, EXCHANGING68ACRES
OF CITY-OWNED LAND FOR 68-ACRES OF TRUST-
OWNED LAND, WITH RESTRICTIONS ON THE
FUTURE DEVELOPMENT OF BOTH PARCELS
WHEREAS, the Galway Trust is the owner of that certain unimproved real property
located in the City of Palm Springs, County of Riverside, State of California, consisting
of approximately sixty eight (68) acres which Real Property is more particularly
described in attached Exhibit A (`Trust Property"); and
WHEREAS, the City is the owner of that certain unimproved real property located in the
City of Palm Springs, County of Riverside, State of California, consisting of
approximately sixty eight (68) acres which Real Property is more particularly described
in attached Exhibit B ("City Property"); and
WHEREAS, the City Property consists of two parcels designated as Parcel 1 and
Parcel 2 on Exhibit B. The deed which conveyed Parcel 1 to the City provides: 'This
gift deed is hereby granted to the City of Palm Springs subject to said property being
retained for park or permanent open space purposes;" and, the deed which conveyed
Parcel 2 to the City provides: "In the event of any type of construction or development,
this deed shall be null and void and the estate hereby conveyed shall revert to and
immediately revest in the grantor, her heirs and assigns;" and
WHEREAS, in addition to the Trust Property, the Trust owns additional real property
which is located adjacent to the City Property ("Adjacent Trust Property"), improved as
a single family residence, and the Trust wishes to assure that the City Property shall
always and in perpetuity remain in an undeveloped and natural state; and
WHEREAS, notwithstanding the provisions of the deeds as hereinabove set forth and
the intention of the City to maintain the City property in an undeveloped and natural
state, the Trust desires further assurances that the City Property will not be developed,
and to that end is willing to convey the Trust Property to the City in exchange for the
City Property in the fashion set forth hereinafter to assure that neither the Trust
Property nor the City Property shall be developed and that those properties shall
remain as permanent open space; and
WHEREAS, the City also wishes to ensure that both the City Property and the Trust
Property shall always and in perpetuity remain in an undeveloped and natural state;
and
WHEREAS, the Trust deems this exchange to be in the best interest of the Trust
because it assures that the City Property will, in perpetuity, remain in an undeveloped
and natural state, to the benefit of the Adjacent Trust Property. �!
NOW THEREFORE BE IT RESOLVED by the City Council of the City of Palm Springs,
that:
SECTION 1. The City, pursuant to its authority under Government Code Section
37350, to acquire and dispose of property for the common benefit,
deems the exchange of property between the City of Palm Springs and
the Galway Trust to be in the best interest of the City because it results
in 68 additional acres within the City being held in an undeveloped and
natural state for the long term benefit of the City and its residents without
expense to the City.
SECTION 2. In consideration of the mutual covenants and conditions contained
therein, the Exchange Agreement between the Galway Trust of
Calabasas, California, and the City of Palm Springs, in a form approved
by the City Attorney, is hereby approved.
SECTION 3. The City Manager or his designee is hereby authorized to execute all
contracts, deeds, declarations, or other documents related to the
Exchange Agreement.
ADOPTED this day of , 2002.
AYES:
NOES:
ABSENT:
ATTEST: THE CITY OF PALM SPRINGS, CALIFORNIA
By
City Clerk Mayor
REVIEWED &APPROVED AS TO FORM