Resolution - 9457RESOLUTION NO. 9457
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST
COVINA CONSENTING TO THE APPROVAL BY THE
REDEVELOPMENT AGENCY OF THE CITY OF WEST COVINA
OF THE REAL PROPERTY EXCHANGE AGREEMENT BY AND
• BETWEEN THE REDEVELOPMENT AGENCY AND WESTFIELD
AMERICA, INC., AND MAKING CERTAIN FINDINGS IN
CONNECTION THEREWITH
WHEREAS, the Redevelopment Agency of the City of West Covina (the
"Agency") is engaged in activities necessary to carry out and implement the Redevelopment Plan
for the West Covina Redevelopment Project (the "Project"); and
WHEREAS, the Agency and May Stores Shopping Centers, Inc. (the "Original
Participant"), entered into a Property Owner Participation, Purchase and Redevelopment
Agreement dated July 27, 1977 (the "Owner Participation Agreement"), whereby the Original
Participant agreed to develop a department store and shopping mall as part of the overall
revitalization of the Eastland Center shopping center, and the Agency agreed to purchase certain
land within the Eastland Center parking lot identified as Parcel D and agreed to operate Parcel D
for public parking purposes for a fifty year period; and
WHEREAS, pursuant to the Owner Participation Agreement, the Agency and the
Original Participant have entered into a Public Parking Facilities Operating Agreement dated
November 23, 1977 (the "Parking Agreement"), whereby the Original Participant agreed to operate
the parking lot on Parcel D on behalf of the Agency; and
WHEREAS, the Agency is the present owner of that certain real property
measuring approximately 45,760 square feet in area which is comprised of a portion of the parking
lot on Parcel D ("Parcel 1 ") and that certain real property measuring approximately 13,000 square
feet in area which is located at the far northeast corner of Parcel D ("Parcel 6"); and
WHEREAS, Westfield America, Inc. ("Westfield"), the successor in interest to
Original Participant, is the present owner of that certain real property measuring approximately
45,760 square feet in area which is comprised of a parcel located on the west side of Barranca,
north of Garvey Avenue, adjacent to Parcel D ("Parcel 2"); and
WHEREAS, the Agency and Westfield have determined that the fair market value
of Parcel 1 and Parcel 6 is approximately equal to the fair market value of Parcel 2, together with
the development rights granted to the Agency pursuant to the OPA Amendment as described below;
and
WHEREAS, in order to carry out and implement the Redevelopment Plan, the
Agency proposes to enter into that certain Real Property Exchange Agreement (the "Exchange
Agreement') with Westfield for the exchange of Parcel 1 and Parcel 6 for Parcel 2, all as described
in the Exchange Agreement; and
WHEREAS, in connection with the Exchange Agreement, the Agency and
Westfield further desire to enter into that certain First Amendment to Owner Participation
Agreement (the "OPA Amendment"), pursuant to which Parcel 1 and Parcel 6 could be used for
retail and/or entertainment uses, and Parcel 2 and certain adjacent parcels could be used by the
Agency for the development of a transit center, retail and/or entertainment uses, and/or other uses
in the discretion of the "Agency; and
WHEREAS, the Agency and Westfield also desire to enter into that certain First
Amendment to Public Parking Facilities Operating Agreement (the "Parking Agreement
Amendment"), pursuant to which the public parking operation requirements with respect to Parcel
1, Parcel 2, Parcel 3 and Parcel 6 would be modified; and
WHEREAS, Westfield has submitted to the Agency and the City Council of the
• City of West Covina (the "City Council") executed copies of the Exchange Agreement; and
WHEREAS, pursuant to Section 33433 of the Community Redevelopment Law
(California Health and Safety Code Section 33000, et seq.), the Agency is authorized, with the
approval of the City Council after a duly noticed public hearing, to convey Parcel 1 and Parcel 6
for development pursuant to the Redevelopment Plan upon a determination by the City Council that
the sale of the property will either assist in the elimination of blight or provide affordable housing
for low and moderate income persons, that the consideration for such sale is not less than either the
fair market value or fair reuse value of Parcel 1 and Parcel 6 in accordance with the covenants and
conditions governing the sale and the development costs required thereof, and that the sale is
consistent with the implementation plan which has been adopted by the Agency for the Project; and
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WHEREAS, a joint public hearing of the Agency and City Council on the proposed
Exchange Agreement was duly noticed in accordance with the requirements of Health and Safety
Code Sections 33431 and 33433; and
WHEREAS, the proposed Exchange Agreement, and a summary report meeting the
requirements of Health and Safety Code Section 33433, were available for public inspection
• consistent with the requirements of Health and Safety Code Section 33433; and
WHEREAS, on June 17, 1997, the Agency and City Council held a joint public
hearing on the proposed Exchange Agreement, at which time the Agency reviewed and evaluated
all of the information, testimony, and evidence presented during the joint public hearing; and
WHEREAS, the City Council has reviewed the summary report required pursuant
to Health and Safety Code Section 33433 and evaluated other information provided to it pertaining
to the findings required pursuant to Health and Safety Code Section 33433; and
WHEREAS, the City Council has previously determined that the site of the
Eastland Center shopping center was blighted, and the Agency entered into the Owner Participation
Agreement to alleviate such blight; and
WHEREAS, the Exchange Agreement would continue the process of alleviating
blight on the Eastland Center shopping center site by facilitating the use of currently underutilized
space; and
WHEREAS, the Agency has adopted an Implementation Plan pursuant to Health
and Safety Code Section 33490, which generally calls for the revitalization of commercial areas
within the Project and specifically identifies the renovation of Eastland Center as a redevelopment
priority; and
WHEREAS, the Exchange Agreement furthers the goals of the Agency set forth in
the Implementation Plan as it will allow Westfield to develop new retail uses within Eastland
Center, which will facilitate the renovation of Eastland Center; and
WHEREAS, all actions required by all applicable law with respect to the proposed
Exchange Agreement have been taken in an appropriate and timely manner; and
WHEREAS, the City Council has duly considered all terms and conditions of the
proposed Exchange Agreement, and believes that such agreement is in the best interests of the City
of West Covina and the health, safety, and welfare of its residents, and in accord with the public
purposes and provisions of applicable state and local laws and requirements.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
West Covina as follows:
1. The City Council finds and determines that, based upon substantial evidence
provided in the record before it, the consideration for the Agency's disposition of Parcel 1 and
Parcel 6 pursuant to the terms and conditions of the Exchange Agreement is not less than the fair
market value of Parcel 1 and Parcel 6 and the fair reuse value of Parcel 1 and Parcel 6, in
accordance with covenants and conditions governing the sale, and the development costs required
under the Exchange Agreement.
2. The City Council hereby finds and determines that the disposition of Parcel 1 and
Parcel 6 pursuant to the Exchange Agreement will eliminate blight within the Project by providing
for the proper reuse and redevelopment of a portion of the Project which was declared blighted for
the reasons described above.
3. The City Council hereby finds and determines that the Exchange Agreement is
consistent with the provisions and goals of the Implementation Plan.
4. The City Council hereby consents to the approval of the Exchange Agreement by
• the Agency. A copy of the Exchange Agreement when executed shall be placed on file in the office
of the City Clerk.
The City Clerk shall certify to the adoption of this Resolution.
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The foregoing Resolution is hereby approved this 17th day of June, 1997.
• AT/TESST:.
U
City Clerk
APPROVED AS TO FORM:
•
City Aftorney
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I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the City
Council of the City of West Covina at a regular meeting hereof, held on the 17th day of June, 1997
by the following vote, to wit:
AYES: Council Members: Holaard, Nelendez, Touhey
• NOES Council Members: None
ABSENT: Council Members: Herfert
ABSTAIN: Council Members: Wong
•
CITY COUNCIL OF THE CITY OF WEST
COVINA
By: 01,
City Clerk
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06/10/97