HomeMy WebLinkAboutHSA Reso 2014-01 RESOLUTION NO. H c' -2D►4-D l
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CATHEDRAL
CITY IN ITS CAPACITY AS THE HOUSING SUCCESSOR AGENCY TO
THE FORMER CATHEDRAL CITY REDEVELOPMENT AGENCY
APPROVING THE PURCHASE AND SALE AGREEMENT AND JOINT
ESCROW INSTRUCTIONS BY AND BETWEEN THE CITY OF
CATHEDRAL CITY IN ITS CAPACITY AS THE HOUSING SUCCESSOR
AGENCY AND TRI-MILLENNIUM CATHEDRAL CITY,LLC
WHEREAS, in accord with the provisions of the California Community Redevelopment
Law (Health and Safety Code Section 33000, et seq. ("CRL"), the City Council of the City of
Cathedral City("City")previously established the Redevelopment Agency of the City of Cathedral
City, a public body, corporate and politic ("RDA") to carry out the purposes of and exercise the
powers granted to community redevelopment agencies under the CRL; and
WHEREAS,on February 1,2012,the RDA was dissolved pursuant to Assembly Bill 1 X26
(Stats. 2011, 1st Ex. Sess.,Ch. 5)("AB 26"),and its housing rights,powers,duties and obligations
were transferred to a"housing successor agency" (as defined by CRL Section 34176); and
WHEREAS,the City Council determined that the City would become the Agency's housing
successor agency ("Agency") under CRL Section 34176 and the RDA's housing assets were
ultimately transferred to the Agency pursuant to law; and
WHEREAS, the Agency owns certain real property identified as Assessor Parcel Number
677-510-061 located north of McCallum Way and west of Peggy Way(the"Property")within the
duly established 2006 Cathedral City Merged Redevelopment Project Area(the"Project Area");and
WHEREAS, Tri-Millennium Cathedral City,LLC,a California limited liability company,
(the "Developer") seeks to acquire and develop the Property and incorporate it into adjacent real
property owned by the Developer for development of a housing project consisting of approximately
ninety-eight (98) single-family residential units of which twenty percent (20%) will be made
available to persons and families of moderate income (the "Project") pursuant to an existing
affordability covenant contained in a 2011 judicially approved Settlement Judgment that also
contemplated the integration of the Property with the adjacent real property that was previously
conveyed to the Developer; and
WHEREAS, the Agency deems it desirable to convey to the Developer the Property for
purposes of constructing the Project in order to provide affordable housing within the Project Area
and the City of Cathedral City in accordance with the Redevelopment Plan; and
WHEREAS, the Agency and the Developer deem it desirable to enter into a Purchase and
Sale Agreement and Joint Escrow Instructions(the"Agreement"), a copy of which is on file in the
office of the City Clerk of the City of Cathedral City; and
WHEREAS, the Agency has held a duly noticed joint public hearing on April 9,2014, in
accordance with Sections 33431 and 33433 of the California Health and Safety Code pertaining to
the Agreement; and
WHEREAS, the Agency, in accordance with Section 33433 of the California Health and
Safety Code, has caused the preparation of, and made available for public inspection, a report
including a summary of the transaction; and
WHEREAS, the Agency has evaluated the terms of the Agreement and all evidence and
testimony for and against the approval of the Agreement.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CATHEDRAL
CITY,IN ITS CAPACITY AS THE HOUSING SUCCESSOR AGENCY TO THE FORMER
CATHEDRAL CITY REDEVELOPMENT AGENCY,DOES HEREBY FIND,RESOLVE,
DETERMINE AND ORDER AS FOLLOWS:
Section 1. The foregoing Recitals are true and correct and are incorporated herein
by this reference.
Section 2. The Agency hereby adopts the findings and determinations as set forth
herein and finds that the Agreement is within the redevelopment goals and objectives of the
Redevelopment Plan.
Section 3. The Agency, having held a duly noticed public hearing, finds and
determines that the disposition of the Property to the Developer,pursuant to the Agreement,will be
of benefit to the Agency and the City of Cathedral City and will also promote redevelopment within
the Project Area and within the City of Cathedral City by accomplishing each of the following:
a. Assisting in the elimination of blight through developing underutilized
property which is likely to become a maintenance and security burden, creating nuisance-like
conditions; and
b. Providing housing to persons and households of moderate income.
Section 4. The Agency hereby finds that the Agreement is consistent with the
Implementation Plan previously adopted by the RDA.
Section 5. The Agency hereby finds that the consideration required for the
purchase of the Property by the Developer from the Agency is equivalent to the estimated fair market
value at the Property's highest and best use in accordance with the Redevelopment Plan and the City
of Cathedral City's General Plan.
Section 6. The Agency hereby approves the Agreement and authorizes the
execution of the Agreement by the Administrative Services Director and all documents needed to
implement the Agreement with such changes as may be approved by the City Manager and Successor
Agency legal counsel.
Section 7. This Resolution shall take effect upon its adoption.
PASSED,APPROVED AND ADOPTED at a regular meeting of the City Council of the City of
Cathedral City held on this 9th day of April,2014,by the following vote:
Ayes: at ► f Y'-I, Pc tI Vct x utel 3 CrF 6%61
Noes:
Absent: I TOM
Abstain: 0
A
A' - L /del .
.7_hleen J.DeR ayor
ATTEST: I
viral `-Th-
_was.
G. . Howell,City Clerk
APPROVED AS TO FORM:
vi ,
Charles R. Green,City Attorney