RDA Resolution 2003-020 RESOLUTION NO. RA 2003-20
A RESOLUTION OF THE LA QUINTA REDEVELOPMENT
AGENCY APPROVING A REVISED DISPOSITION AND
DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND
CP DEVELOPMENT LA QUINTA, LLC FOR THE PROPERTY
LOCATED AT THE SOUTHEAST CORNER OF
WASHINGTON STREET AND MILES AVENUE ·
WHEREAS, the La Quinta Redevelopment Agency ('Agency") is a public
body, corporate and politic, organized and existing under the California Community
Redevelopment Law (Health & Safety Code Section 33000 et seq.) ('CRL"); and
WHEREAS, pursuant to the CRL, the City Council of the City of La Quinta
('City" or 'City Council", as applicable) approved and adopted the Redevelopment Plan
('Redevelopment Plan") for Project Area No. 2 ('Project Area"), on November 29,
1983, by Ordinance No. 43, and amended the Redevelopment Plan on December 20,
1994, by Ordinance No. 258; and
WHEREAS, the Agency staff previously negotiated a Dispositio.n and
Development Agreement (" Original Agreement") with Center Point Development, LLC,
a California limited liability company ("Original Developer"), pursuant to which the
Agency would convey to the Developer, either all at once ('Option A"), or in phases
('Option B"), certain real property located within the Project Area (the 'Property") for
Seven Million Fifty-Four Thousand Seventy-Four Dollars ($7,054,074) for the Original
Developer's subsequent development thereon of a com~nercial project containing a
medical office/clinic, a boutique hotel, a mid-price suites hotel, a resort-style
condominium/casitas develoPment, two sit-down restaurants, and two single-family
residential developments, with forty of the single-family homes restricted for sale to
moderate-income buyers at an affordable housing cost' all as more particularly
described in the Original Agreement (collectively, the 'Project"); and
WHEREAS, the Original Agreement provided that Agency could reacquire
any undeveloped portion of the Property then-owned by the Original Developer in the
· event the Original Developer failed to commence construction of any particular phase
of the Project within certain specified time frames, interrupted construction of a
particular phase of the Project for a specified period of time, or transferred a particular
phase of the Project in violation of the Original Agreement, all as more particularly
described in the Original Agreement; and
WHEREAS, in accordance with Health and Safety Code Section 33433
the Agency prepared a Summary Report to consider the Agency's proposed sale of the
Property as set forth in the Original Agreement, the Agency Board and the City
Council, on June 3, 2003, conducted a noticed joint public hearing with respect to the
Original Agreement, and the Agency Board and the City Council, in connection with
their respective approvals of the Original Agreement, made certain findings and
determinations as set forth in City Council Resolution No. 2003-036 and La Quinta
Redevelopment Agency RA 2003-09; and
Resolution No. RA 2003-20
Disposition and Development Agreement
CP Development La Quinta, LLC
Adopted: December 2, 2003
Page 2
WHEREAS, prior to execution of the Original Agreement, the Original
Developer requested certain changes thereto, including (i) changing the developer
entity from the Original Developer to CP Development La Quinta, LLC, a California
limited liability company ("Proposed Developer"), (ii) revising the landscaping
obligations of the Proposed Developer to account for the possibility that the City does
not obtain certain landscaping grants, (iii) revising the Site Plan attached to the Original
Agreement and the individual parcel prices set forth therein to reflect the landscaping
changes and certain other changes necessitated by the proposed installation of a well-
site for the Project, which changes resulted in an increase in the purchase price of
Fifty-Five Thousand Five Hundred Sixty Dollars ($55,560), and (iv) revising the
insurance requirements for the Proposed Developer; and
WHEREAS, a revised Summary Report for the revised Disposition and
Development Agreement (the "Revised Agreement") has been prepared and the joint
public hearing has been duly noticed and conducted in accordance with applicable
requirements of. law; and
WHEREAS, the City Council and the Redevelopment Agency have
considered all the information and evidence set forth in the revised Summary Report
presented by the City/Agency staff and presented by persons wishing to appear and be
heard concerning the impact of the Revised Agreement on the Project Area and the
City as a whole; and
WHEREAS, the Revised Agreement is in accordance with the
Redevelopment Plan and is of benefit to the Project Area and the City of La Quinta;
and
WHEREAS, the Agency hereby determines that the Agency's sale of the
Property pursuant to the Revised Agreement is necessary to effectuate the purposes of
the Redevelopment Plan;
NOW, THEREFORE, BE IT RESOLVED BY THE LA QUINTA
REDEVELOPMENT AGENCY AS FOLLOWS:
1. That the above recitals are true and correct and incorporated herein.
2. That the La Quinta Redevelopment. Agency hereby resolves as follows:
A. The Revised Agreement effectuates the purposes of the Community
Redevelopment Law (Health & Safety Code Section 33000 et seq.) and of the
Redevelopment Plan and is in the best interests of the citizens of the City of La Quinta.
Resolution No. RA 2003-20
Disposition end Development Agreement
F ..... CP Development La Quinta, LLC
~ Adopted: December 2, 2003
Page 3
B. The Agency's sale of the Property will eliminate blight and is consistent
with the Agency's Five-Year Implementation Plan, based on the facts and conclusions
of the revised Summary Report, which is incorporated herein by this reference.
C. The Agency's sale of the Property will eliminate blight in that it will
facilitate the development of affordable housing.
D. The consideration the Proposed Developer will pay for the Property is not
less than the fair market value of the Property at its highest and best use in
accordance with the RedevelOpment Plan, based on the facts and conclusions of the
revised Summary Report.
3. The Revised Agreement, a copy of which is on file with the Agency Secretary, is
hereby approved. The Agency Executive Director and Agency Counsel are hereby
authorized and directed to make final modifications to the Revised Agreement that are
consistent with the substantive terms of the Revised Agreement approved hereby, and
the Agency Executive Director is authorized to thereafter sign the Revised Agreement
~'- on behalf of the Agency,
4. The Agency Executive Director is authorized and directed, on behalf of the
Agency, to (i) sign such other and further documents, including but not limited to
subordination agreements and escrow instructions that require the Agency's signature,
and (ii) take such other and further actions, as may be necessary and proper to carry
out the terms of the Revised Agreement.
PASSED, APPROVED, and ADOPTED at a regular meeting of the La
Quinta Redevelopment Agency held this 2nd day of December, 2003, by the following
vote:
AYES: Members Adolph, Osborne, Perkins, Sniff, Chair Henderson
NOES: None
ABSENT: None
ABSTAIN: None
~ .... TERRY/~E~DERSON, Agency Chair
! La Qui~ita Redevelopment Agency
Resolution No. RA 2003-20
Disposition end Development Agreement
CP Development La Quinta, LLC
Adopted: December 2, 2003
Page 4
ATTEST:
JL~I~E $. GREEK, C~"~, Agency Secretary
La Quinta Redevelopment Agency
(SEAL)
APPROVED AS TO FORM'
~a' '~uAi ~tHaL~R leNd e vE~e I oNpSmOeNn't~gA geennCcYy