Resolution - 9188RESOLUTION NO. 9188
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF WEST COVINA CONSENTING TO THE APPROVAL BY
THE REDEVELOPMENT AGENCY OF THE DISPOSITION
AND DEVELOPMENT AGREEMENT BY AND AMONG THE
REDEVELOPMENT AGENCY OF THE CITY OF WEST
40 COVINA, VAL J. FEJTEK AND SOUTHLAND MOTORS,
INC.
WHEREAS, the Redevelopment Agency of the City of West Covina (the "Agency") is
engaged in activities necessary to carry out the Redevelopment Plan for the West Covina
Redevelopment Project; and
WHEREAS, in order to carry and implement the Redevelopment Plan, the Agency
proposes to enter into that Disposition and Development Agreement (the "Agreement") by and
among the Agency, Val J. Fejtek, ("Fejtek") and Southland Motors, Inc. ("Southland); and
WHEREAS, Fejtek is currently the owner of the site which is the subject of the
Agreement (the "Site"); and
WHEREAS, Southland is currently in the business of operating an automobile dealership
(the "Dealership") on the Site and has been engaged in operating the Dealership in the City of
West Covina (the "City") since 1987; and
WHEREAS, Southland desires to continue to operate the Dealership on the Site; and
WHEREAS, Agency desires that Southland continue to operate the Dealership on the Site
because, among other things, the relocation of the Dealership from the Site and the West Covina
Redevelopment Project Area would adversely affect the employment opportunities in the Project
Area, discourage other businesses from locating or remaining in the City and the Project Area
and adversely affect the generation of additional taxes with which the community can increase
and improve the supply of low- and moderate income housing and provide an environment for
the social, economic and psychological growth and well-being of the citizens of the City; and
WHEREAS, the Agency is committed to improving the quality of life for the residents of
the City and its visitors through the creation of jobs, retention of jobs, elimination of blight, and
the development and redevelopment of projects in the City; in furtherance of these objectives and
pursuant to the Agreement, the Agency desires to (i) purchase the Site from Fejtek as well as the
improvements located thereon, (ii) lease back the Site to Fejtek pursuant to the lease which is an
attachment to the Agreement (the "Lease), (iiii) provide Fejtek with an option to reacquire the
Site and (iv) have the Site subleased to Southland; and
WHEREAS, the Agency's purchase of the Site from Fejtek, lease back of the Site to
Fejtek and sublease of the Site to Southland are in the vital and best interests of the City and the
health, safety, morals and welfare of its residents and in accordance with the public purposes and
provisions of applicable state and local laws and requirements under which the redevelopment of
the West Covina Redevelopment Project has been undertaken; and
WHEREAS, the City Council has determined, therefor, that it is in its best interest to
encourage and support the redevelopment of the Site so as to provide job retention, employment
expansion and re -investment and new investment as benefits to the community of the City; and
• WHEREAS, the City Council has duly considered all terms and conditions of the
proposed Agreement; and
WHEREAS, pursuant to Section 33433 of the California Community Redevelopment Law
(commencing with Section 33000 of the Health and Safety Code), the Agency is authorized, with
the approval of the City Council of the City after public hearing, to lease the Site for
redevelopment pursuant to the Redevelopment Plan upon a determination that the Lease of the
Site will assist in the elimination of blight and that the consideration for the Lease and option to
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reacquire the Site is not less than the fair reuse value at the use and with the covenants,
conditions and development cost authorized by the Lease.
NOW, THEREFORE, be it resolved by the City Council of the City of West Covina as
follows:
Section 1. The City Council finds and determines that, based upon substantial
evidence provided in the record before it, the redevelopment of the Site pursuant to the
Agreement will assist in the elimination of blight and that the consideration to be paid for the
Lease and option to reacquire the Site pursuant to the Agreement is not less than the fair reuse
valuation at the use and with the covenants, conditions and development costs authorized by the
Agreement.
Section 2. The City Council consents to and approves the execution of the Agreement
by the Agency.
Section 3. The City Clerk shall place on file in the Office of the City Clerk a copy of
the Agreement when executed by the Agency.
Section 4. The City Clerk shall certify to the adoption of this Resolution.
PASSED, APPROVED AND ADOPTED this 21st day of March 1995
by the following vote:
CITY OF WEST COVINA
ATTEST:
City Clerk
I HEREBY CERTIFY, that the foregoing Resolution No. 9188 was duly
adopted by the City Council of the City of West Covina at a regular meeting thereof, held on the
21st day of March . 1995 by the following vote:
AYES: Council Members Manners. Touhev, Wong. Herfert. McFadden
NOES: Council Members
ABSENT: Council Members None
ABSTAIN: Council Members
APPROVED AS TO FORM:
CMG 1'a w�-K 68., 7-0tx0L)
City Attorney
CITY OF WEST COVINA
By: 6�LAAo
City Clerk
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