HomeMy WebLinkAboutResolution No. 08-R35RESOLUTION NO. 08-1135
A RESOLUTION OF THE REDEVELOPMENT AGENCY OF
THE CITY OF AZUSA DIRECTING THE EXECUTIVE
DIRECTOR TO TERMINATE THE 2006 AMENED AND
RESTATED DISPOSITION AND DEVELOPMENT
AGREEMENT (BLOCK 36 PROJECT) BY AND BETWEEN THE
REDEVELOPMENT AGENCY OF THE CITY OF AZUSA AND
REG AZUSA, LLC. AN AFFILIATE OF LOWE ENTERPRISES,
INC., AS AMENDED
WHEREAS, pursuant to the California Community Redevelopment Law (Health & Safety
Code Sections 33000, et seq.) ("CRL"), the City Council of the City of Azusa ("City") approved and
adopted a Redevelopment Plan ("Redevelopment Plan") for the redevelopment Project Area known as
the Merged Central Business District and West End Redevelopment Project Area ("Project Area"); and
WHEREAS, the Governing Board of the Redevelopment Agency of the City of Azusa
("Agency") is engaged in activities to implement the Redevelopment Plan for the Project Area pursuant
to the provisions of the CRL; and
WHEREAS, on January 16, 2007, the Agency approved that certain 2006 Disposition and
Development Agreement (Block 36 Project) with REG Azusa, LLC, a Delaware limited liability
company ("Developer") for the disposition and development of certain real property ("Property") as a
mixed-use project ("Project") including 32,500 square feet of commercial space, sixty-six (66) housing
units and a 330 stall subterranean parking structure, as set forth in the Agreement; and
WHEREAS, on November 19, 2007, the Agency approved that certain First Amended and
Restated Disposition and Development Agreement; and
WHEREAS, on May 28, 2008, the Agency approved that certain First Amendment to the
Amended and Restated 2006 Disposition and Development Agreement ("Agreement"); and
WHEREAS, pursuant to Subdivision (dddd) of Section 1.1 of the Agreement, Developer was
required to execute a term letter with a senior construction lender by July 15, 2008; and
WHEREAS, pursuant to subdivision (dddd) of Section 1.1 of the Agreement, Developer was
required to demonstrate to Agency that Developer has applied for New Market Tax Credits and provide
a schedule of the anticipate review and approval process by July 31, 2008; and
WHEREAS, Developer has failed to secure the requisite letter of credit, demonstrate the
application for New Market Tax Credits, or provide a schedule for review and approval of a New
Market Tax Credit application; and
WHEREAS, pursuant to Subdivision (dddd) of Section 1.1 of the Agreement, the Agency has
decided, in its sole and unfettered discretion, to terminate the Extension Period and Escrow, and the
Parties are to proceed with the Escrow Cancellation provisions; and
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WHEREAS, based upon Developer's failure to perform, the Agency desires to terminate the
Agreement.
NOW, THEREFORE, BE IT RESOLVED by the Governing Board of the Redevelopment
Agency of the City of Azusa as follows:
Section 1. Incoryoration of Recitals. The recitals preceding this Resolution are true and correct
and are incorporated into this Resolution by this reference.
Section 2. Termination of Agreement. The Agency governing board hereby terminates the
Agreement.
Section 3. Authority of Executive Director. The Agency governing board hereby authorizes and
directs the Executive Director of the Agency (with the concurrence of Agency Counsel) to execute and
deliver on behalf of the Agency all documents and instruments as may be necessary or convenient in
the furtherance of the Agency's actions in this Resolution.
Section 4. Effective Date. The Agency Secretary shall certify to the passage and adoption of
this resolution and the same shall thereupon take effect and be in force immediately upon its adoption.
APPROVED AND ADOPTED this 0 day of August, 2008.
l
/Jos�h R. Rocha, Chair of the Redevelopment Agency
City of Azusa
ATTEST:
Vera Mendoza, Agency Secret y
I HEREBY CERTIFY that the foregoing resolution No. 08-R35, was duly adopted by the
Redevelopment Agency of the City of Azusa at a regular meeting held on the 4a' day of August, 2008,
by the following vote of the Agency:
AYES: AGENCY MEMBERS: GONZALES, CARRILLO, MACIAS, HANKS, ROCHA
NOES: AGENCY MEMBERS: NONE
ABSTAIN: AGENCY MEMBERS: NONE
ABSENT: AGENCY MEMBERS: NONE
Vera Mendoza, Agency Secre
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