RDA Resolution 1997-01^# II
RESOLUTION RDA 971
A RESOLUTION OF THE LA QUINTA REDEVELOPMENT
AGENCY TERMINATING THE FIRST RESTATED AND
AMENDED DISPOSITION AND DEVELOPMENT AGREEMENT
BETWEEN THE LA QUINTA REDEVELOPMENT AGENCY
AND THE E. G* WILLIAMS DEVELOPMENT CORPORATION
WHEREAS, the La Quinta Redevelopment Agency Agency") and E G. Williams
Development Corporation Developer") originally entered into that certain Disposition and
Development Agreement dated July 5, 1994 the DDA"); and
WHEREAS, the Agency and the Developer subsequently entered into that certain
First Restated and Amended Disposition and Development Agreement dated September 30,1994
the Restated and Amended DDA"); and
WHEREAS, the Agency and the Developer subsequently entered into a First
Amendment to the Restated and Amended DDA on March 5,1996 to provide for a portion of the
units to be sold at market rate without affordability restrictions thereby allowing a greater number
of low income units to be produced; and
WHEREAS, the Agency and the Developer entered into an initial Implementation
Agreement dated June 19, 1995, to clari* and revise certain attachments to the Restated and
Amended DDA to assist in obtaining Fannie Mae approval to enable the sale of low to moderate
units; and
WHEREAS, the Agency and the Developer entered into a Second Implementation
Agreement dated July 10, 1995 as certain attachments of the Restated and Amended DDA required
additional revisions in order to meet both HUD and Fannie Mae approval thereby allowing for the
sale of low and moderate units to be sold; and
WHEREAS, the Agency and the Developer entered into a Third Implementation
Agreement on October 19, 1995 to I) provide greater flexibility with respect to second trust deed
assistance by allowing closing costs to be flinded out of the originally approved amount and ii)
increase the Maximum Purchase Price"; and
WHEREAS, the Agency and the Developer entered into a Fourth Implementation
Agreement on July 10, 1996 in order to reimburse Developer for certain costs associated with the
construction of additional improvements that were not included in the Restated and Amended DDA
and to flilfill the Agency1s obligations pursuant to the Agreement and Escrow Instructions for Sale
and Acquisition of Unimproved Real Property between the Agency and Desert Sands Unified School
District dated October 18, 1994; and
RESOCC. 184
BIB]
11-03-1997-U01
04:27:54PM-U01
ADMIN-U01
RDARES-U02
97-U02
01-U02
^# I
Resolution 97
WHEREAS, despite the numerous revisions and implementations agreed by both the
Developer and the Agency as recited above, general economic conditions prevent the Developer
from completing the project as originally envisioned; and
WHEREAS, the project has successfully completed the entire senior housing rental
portion and that portion of the single family homes that were to be preserved for low and very low
income households; and
WHEREAS, those portions of the project which were to be covenanted for low and
moderate income households have been successfully covenanted; and
WHEREAS, all of the Agency flinds which were committed to assist this project have
been provided to the project and have resulted in the covenanted units; and
WHEREAS, the Developer has been found to be in default of the Restated and
Amended DDA and was notified of said defaults and given an opportunity to cure by letter dated
February 6, 1997; and
WHEREAS, the Developer has not been able to cure said defaults in the thirty 30)
day time period provided for in the Restated and Amended DDA;
NOW, THEREFORE, the Agency Board and the La Quinta Redevelopment Agency
does hereby resolve:
1. Based on the above recitals which are incorporated herein as findings, the Restated
and Amended DDA including all amendments and implementations thereof is hereby terminated.
2. The Executive Director is hereby authorized to noti* Developer of said termination
and to perform all acts necessary to disassociate the Agency from that portion of the project which
is still owned by the Developer including, but not limited to, executing a reconveyance of the
Agency9s Deed of Trust and Conditions, Covenants, and Restriction recorded on those portions of
the project remaining in Developer 5 ownership.
3. This terinination is of the Restated and Amended DDA itself and is not intended to
be a termination of the Developer's interest in the property as stated in Section 611 of the Restated
and Amended DDA.
RESOCC. 184
BIB]
11-03-1997-U01
04:27:54PM-U01
ADMIN-U01
RDARES-U02
97-U02
01-U02
^# II
Resolution 97-
PASSED, APPROVED AND ADOPTED this 18th day of March, 1997 at a regular
meeting of the La Quinta Redevelopment Agency by the following vote:
AYES: Council Members Adolph, Henderson, Holt, Perkins, and Chairman Sniff
NOES: None
ABSENT: None
ABSTAIN: None
La Quinta Redevelopment Agency
SAUNDRA L. JUHO A, Secretary
City of La Quinta, California
APPROVED AS TO FORM:
DAWN C. * Counsel
City of La Quinta, California
RESOCC.184
BIB]
11-03-1997-U01
04:27:54PM-U01
ADMIN-U01
RDARES-U02
97-U02
01-U02