RDA Resolution 2003-01 RESOLUTION NO. RA 2003-01
A RESOLUTION OF THE LA QUINTA REDEVELOPMENT
AGENCY APPROVING A DISPOSITION AND
DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND
BISON HOTEL GROUP LLC FOR THE PROPERTY LOCATED
AT THE NORTHWEST CORNER OF CALLE TAMPICO AND
DESERT CLUB DRIVE
DISPOSITION AND DEVELOPMENT AGREEMENT
BISON HOTEL GROUP LLC
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 § 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. 1 ("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 has negotiated a Disposition and
Development Agreement ("Agreement") with Bison Hotel Group LLC, a California
limited liability company ("Developer"), pursuant to which (i) the Agency is to convey
to the Developer certain real property located within the Project Area (the "Hotel
Parcel") for One Million Six Hundred Thousand Dollars ($1,600,000.00) for the
Developer's subsequent development thereon of an Embassy Suites Hotel ("Hotel
Facility"), and (ii) the Agency is to convey to the Developer certain real property
located within the Project Area (the "Commercial Parcels") for One Million Eight
Hundred Forty Thousand Dollars ($1,840,000.00) for the Developer's subsequent
development and use thereon of commercial uses consistent with City zoning
applicable to said property and with the Redevelopment Plan, all as more particularly
described in the Agreement; and
WHEREAS, the Agreement provides that the Developer's payment for the
Hotel Parcel shall be in accordance with the terms and conditions of a promissory note
secured by a deed of trust recorded against the Hotel Parcel, and the Developer's
payment for the Commercial Parcels shall be in accordance with the terms and
conditions of a promissory note secured by a deed of trust recorded against the
Commercial Parcels; and
WHEREAS, the Agreement provides that Agency may reacquire the Hotel
Parcel in the event the Developer fails to commence construction of the Hotel Facility
within certain specified time frames, interrupts construction of the Hotel Facility for
a specified period of time, or transfers the Hotel Facility in violation of the Agreement,
all as more particularly described in the Agreement; and
Resolution No. RA 2003-01
Disposition and Development Agreement
Bison Hotel Group LLC
Adopted: January 7, 2003
Page 2
WHEREAS, Health and Safety Code Section 33433 requires that the
Agency prepare a Summary Report to consider the Agency's proposed sale of the
Hotel Parcel and the Commercial Parcels as set forth in the Agreement, that the
Agency Board and the City Council conduct a noticed joint public hearing with respect
to the Agreement, and that the approval of the Agreement be accompanied by certain
findings and determinations as set forth herein; and
WHEREAS, a Summary Report for the Agreement has been prepared and
the joint public hearing has been 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 Summary Report presented
by the City/Agency staff and presented by persons wishing to appear and be heard
concerning the impact of the Agreement on the Project Area and the City as a whole;
and
WHEREAS, the 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
Hotel Parcel and the Commercial Parcels pursuant to the Agreement are 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 Redevelop~nent Agency hereby resolves as follows:
a. The Agreement effectuates the purposes of the Community
Redevelopment Law (Health & Safety Code § 33000 et seq.) and of the
RedevelOpment Plan and is in the best interests of the citizens of the City
of La Quinta.
a. The Agency's sale of the Hotel Parcel and the Commercial Parcels will
eliminate blight and is consistent with the Agency's Five-Year
Implementation Plan, based on the facts and conclusions of the Summary
Report, which is incorporated herein by this reference.
Resolution No. RA 2003-01
Disposition and Development Agreement
Bison Hotel Group LLC
Adopted: January 7, 2003
Page 3
c. The consideration the Developer will pay for the Hotel Parcel and the
Commercial Parcels 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 Summary Report.
1. The 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 Agreement that are
consistent with the substantive terms of the Agreement approved hereby, and
the Agency Executive Director is authorized to thereafter sign the Agreement
on behalf of the Agency.
2. 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 Agreement.
PASSED, APPROVED and ADOPTED at a regular meeting of the La Quinta
Redevelopment Agency held this 7th day of January, 2003, by the following vote:
AYES: Members Osborne, Perkins, Sniff, Chair Henderson
NOES: Member Adolph
ABSENT: None
ABSTAIN: None
1
TEF~RY
H,I~~ON, Agency Chair
La Quinta~edevelopment Agency
ATTEST:
(AGENCY SEAL)
Resolution No. RA 2003-01
Disposition and Development Agreement
Bison Hotel Group LLC
Adopted: January 7, 2003
Page 4
APPROVED AS TO FORM:
· KATHERINE JENSON, Agency C'bUnsel
La Quinta Redevelopment Agency