Resolution - 8136E
RESOLUTION NO. 8136
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST
• COVINA APPROVING A FIRST IMPLEMENTATION AGREEMENT TO
THE RESTATED DISPOSITION AND DEVELOPMENT AGREEMENT
BETWEEN THE REDEVELOPMENT AGENCY OF THE CITY OF WEST
COVINA AND WATT INVESTMENT PROPERTIES, INC; MAKING
• CERTAIN FINDINGS WITH RESPECT TO THE CONSIDERATION
TO BE RECEIVED BY THE AGENCY PURSUANT TO SAID AGREE-
MENT; AND AUTHORIZING THE EXECUTION AND IMPLEMENTA-
TION OF SAID FIRST IMPLEMENTATION AGREEMENT
WHEREAS, Redevelopment Agency of the City of West Covina (the
"Agency") is, engaged in activities necessary to execute and implement
the Redevelopment Plan for the Central Business District redevelopment
Project (the "Project"); and
WHEREAS, in order to execute and implement the Redevelopment Plan,
the Agency proposes to sell certain real property known as The Lakes
at West Covina Development Site (the "Site") in the Project area,
pursuant to the terms and provisions of a Restated Disposition and
Development Agreement (the "Restated Agreement") entered into with
Watt Investment Properties, Inc. (the "Developer") on June 26, 1987;
and
WHEREAS, in implementation of said Restated Agreement and to pro-
vide assistance in the development of the Site, the Agency proposes to
provide financial assistance by contributing toward the payment of
debt service on the bonds heretofore issued to provide public parking
facilities for Developer Parcels 1 and 2 of the Site, by deferring the
payment of the purchase price to be paid by Developer for Developer
Parcels 1 and 2, and by acquiring an equity interest in Developer's
cash flow from Developer Parcels 1 and 2 until the debt service con-
tributions and deferred purchase price are repaid; and
WHEREAS, the Developer has submitted to the Agency a written First
Implementation Agreement to the Restated Disposition and Development
Agreement (the "First Implementation Agreement") to accomplish the
above described financial assistance in the development of Developer
Parcels 1 and 2; and
WHEREAS, the Agency has prepared, and the City Council has re-
viewed and considered, a summary report setting forth the cost to the
Agency of the Restated Agreement as implemented by the First Implemen-
tation Agreement, the estimated value of the interests to be conveyed
determined at the highest uses permitted under the Redevelopment Plan,
and the deferred purchase price, and made said summary available for
public inspection in accordance with the California Community Re-
development Law; and
WHEREAS, the summary report has been considered by Agency staff
and consultants, and the staff and consultants have satisfied this
Council that the sale and First Implementation Agreement are feasible;
and
WHEREAS, pursuant to the California Community Redevelopment Law,
• the Agency and the City Council held a joint public hearing on the
proposed sale of Developer Parcels 1 and 2 and the Proposed First
Implementation Agreement; and
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WHEREAS, the City Council has duly considered all terms and condi-
tions of the proposed sale and believes that the development of
. Developer Parcels 1 and 2 pursuant to the proposed First Implementa-
tion Agreement is in the best interest of the City and the health,
safety, morals, and welfare of its residents and in accord with the
public purposes and provisions of applicable State and local law and
requirements; and
WHEREAS, pursuant to an Initial
City Council has determined that
Agreement will have no effect on
identified in the environmental ass(
Study prepared by the Agency, the
the proposed First Implementation
the environment other than that
ssment for the Restated Agreement.
NOW THEREFORE, BE IT RESOLVED by the City Council of the City of
West Covina as follows:
1. The City Council hereby finds and determines that the con-
sideration for the sale of Developer Parcels 1 and 2 pursuant to the
First Implementation Agreement to the Restated Disposition and De-
velopment Agreement between the Agency and the Developer is not less
than the fair market value for the Parcels in accordance with the
covenants and conditions governing such sale.
2. The City Council hereby finds and determines that the con-
sideration for the sale of Developer Parcels 1 and 2 pursuant to said
First Implementation Agreement is necessary to effectuate the purpose
of the Redevelopment Plan.
3. The sale of the Site by the Agency to the Developer and the
First Implementation Agreement and the Restated Agreement which estab-
lishes the terms and conditions for the sale and development are here-
by approved.
4. The Chairman of the Agency is herby authorized to execute the
First Implementation Agreement.
5. The Executive Director of the Agency is hereby authorized to
negotiate, finalize and execute a Second Implementation Agreement as
provided in the First Implementation Agreement, and to take all steps
and to execute all other documents and instruments necessary to imple-
ment and carry out the provisions of the First Implementation Agree-
ment and the Restated Agreement on behalf of the Agency.
6. The City clerk shall certify to the adoption of this Resolu-
tion.
APPROVED AND ADOPTED this 21stday of December 1987.
i
ATTEST;
•
City CTe—rk
ayor
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W
I HEREBY CERTIFY that the foregoing Resolution No. 11131, was
• duly adopted by the City Council of the City of West Covina at a
regular meeting thereof held on the 21st day of December
1987 by the following vote:
• AYES: Councilmember: Tennant, Bacon, Shearer, Manners
NOES: Councilmember: None
ABSENT: Councilmember: Chappell
ABSTAIN: Councilmember: None
APPROVED AS TO FORM:
City Attorney
• LAK148KJ-12/87