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HomeMy WebLinkAboutD-1 Staff Report Acceptance of Transfer of Real PropertySCHEDULED ITEM D-1 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL VIA: SERGIO GONZALEZ, CITY MANAGER FROM: JOSE D. JIMENEZ, DIRECTOR OF ECONOMIC & COMMUNITY DEVELOPMENT DATE: NOVEMBER 4, 2024 SUBJECT: ADOPT RESOLUTION ACCEPTING THE TRANSFER OF OWNERSHIP OF PROPERTY (COMMONLY REFERRED TO ATLANTIS GARDENS) FROM THE LOS ANGELES COUNTY DEVELOPMENT AUTHORITY AND AUTHORIZE THE CITY MANAGER TO EXECUTE ALL DOCUMENTS RELATED TO SUCH TRANSFER BACKGROUND: Starting approximately in the mid-2000’s the Former City of Azusa Redevelopment Agency initiated the process of acquiring the properties that comprise the Atlantis Gardens Development with the intent of redeveloping the site. Unfortunately, these efforts were hampered with the signing of AB X1 26, which resulted in the loss of the Redevelopment Agency on February 1, 2012. With limited resources to carry a project to completion, in 2018 the City made the decision to Quit Claim the properties referenced herein to the Housing Authority of the County of Los Angeles. Since then, the County has been working towards securing a suitable developer. These efforts are still ongoing, and recently the Los Angeles County Development Authority (“LACDA”) formerly the County Housing Authority, approached the City to gauge its interested in returning the properties back to the City. Based on the lack of activity from the County and the long-standing safety impacts stemming from the area, it would be in the city’s best interest to commence the process of reacquiring the properties so that previous efforts can be revisited and resumed by the City of Azusa. Approved City Council November 4, 2024 Resolution to Accept Transfer of Real Estate – LACDA Atlantis Gardens November 4, 2024 Page 2 RECOMMENDATION: Staff recommends that the City Council take the following action: 1) Adopt Resolution No. 2024-C62 accepting the transfer of ownership of properties addressed 606, 629, 630, 633, 641 Glenfinnan Ave., 600, 610, 630, 670 East 6th ST.; 601, 615, 616, 627, 628, 630 Cedarglen DR, 611, 627, 645 E. Lime Ave from the Los Angeles County Housing Authority (“LACDA”); and Authorize the City Manager to execute all documents related to such transfer, and finding that such declaration is not a project subject to environmental review under the California Environmental Quality Act. ANALYSIS: The site, which is known as Atlantis Gardens, is approximately eight acres in size and consists of thirty-nine individual parcels. It is generally located at the intersection of Rockvale Avenue and Alosta Avenue (south of Foothill Boulevard) in the City of Azusa and includes all road segments of 6th Street, E. Lime Street, N. Glenfinnan Avenue, and Cedarglen Drive. The public streets and rights-of-way in the neighborhood constitute approximately 97,000 square feet of the entire site. In the mid 2000’s an effort to quell public safety matters that were arising from Atlantis Gardens resulted in the City of Azusa’s former Redevelopment Agency acquiring the properties that comprise the Atlantis Gardens Development with the intent of redeveloping the site. Of the 39 parcels, the Redevelopment Agency successfully acquired 18 of the 39 parcels as listed below: Address Parcel Number 641 Glenfinnan Ave. 8612-001-905 633 Glenfinnan Ave. 8612-001-915 629 Glenfinnan Ave. 8612-001-920 630 Glenfinnan Ave. 8612-001-911 606 Glenfinnan Ave. 8612-001-921 600 East 6th St. 8612-001-906 610 East 6th St. 8612-001-912 630 East 6th St. 8612-001-922 670 East 6th St. 8612-001-919 616 Cedarglen Dr. 8612-001-907 628 Cedarglen Dr 8612-001-908 601 Cedarglen Dr. 8612-001-916 615 Cedarglen Dr 8612-001-917 627 Cedarglen Dr 8612-001-918 630 Cedarglen Dr 8612-001-910 645 E. Lime Ave 8612-001-914 627 E. Lime Ave 8612-001-909 611 E. Lime Ave 8612-001-913 Resolution to Accept Transfer of Real Estate – LACDA Atlantis Gardens November 4, 2024 Page 3 Efforts to complete the acquisition of all properties were hampered in June 2011, with the signing by the Governor of AB X1 26 also known as the "Dissolution Act” which amended California Redevelopment Law and provided that all Redevelopment Agencies within the State cease to exist effective as of February 1, 2012. With limited resources to carry a project to completion, in 2018 the City made the decision to Quit Claim the properties referenced herein to the Housing Authority of the County of Los Angeles with the idea that the County could see through the vision for Atlantis Gardens. Since then, the Los Angeles County Development Authority (“LACDA”) formerly the County Housing Authority, has gone through the Surplus Land Act process to secure a developer. Unfortunately, a suitable developer has yet to be identified. Over the last months, LACDA approached the City to gauge its interested in returning the properties back to the City, and after conversations, it was determined that the City is interested in reacquiring the Atlantis properties so that previous Atlantis Gardens efforts can be revisited. This action is solely to allow for the County to Quit Claim the Atlantis Gardens properties back to the City of Azusa. Acceptance of the Atlantis Gardens properties shall not constitute approval of any previous development efforts that were undertaken. Furthermore, the continued use for housing purposes is consistent with the City of Azusa General Plan and the Azusa Housing Element because future efforts will be subject to a separate review and consideration. FISCAL IMPACT: The request to Adopt a Resolution accepting the transfer of ownership of properties addressed 606, 629, 630, 633, 641 Glenfinnan Ave., 600, 610, 630, 670 East 6th ST.; 601, 615, 616, 627, 628, 630 Cedarglen DR, 611, 627, 645 E. Lime Ave from the Los Angeles County Housing Authority (“LACDA”) and authorize the city manager to execute all documents related to such transfer., and finding that such declaration is not a project subject to environmental review under the California Environmental Quality Act can be undertaken with no Fiscal Impact. All future actions or activity related to the future of Atlantis Gardens shall be reviewed subject to its own Fiscal Analysis Impact at said time. Prepared and Approved by: Reviewed and Approved: Jose D. Jimenez Sergio Gonzalez Director of Economic & Community City Manager Development Attachments: 1) Resolution No. 2024-C62 2) DRAFT – Quit Claim Deed RESOLUTION NO. 2024-C62 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AZUSA ACCEPTING THE TRANSFER OF OWNERSHIP OF PROPERTIES ADDRESSED 606, 629, 630, 633, 641 GLENFINNAN AVE., 600, 610, 630, 670 EAST 6TH ST.; 601, 615, 616, 627, 628, 630 CEDARGLEN DR, 611, 627, 645 E. LIME AVE.; (COMMONLY REFERRED TO ATLANTIS GARDENS) FROM THE LOS ANGELES COUNTY DEVELOPMENT AUTHORITY; AND AUTHORIZING THE CITY MANAGER TO EXECUTE ALL DOCUMENTS RELATED TO SUCH TRANSFER; AND FINDING THAT SUCH DECLARATION IS NOT A PROJECT SUBJECT TO ENVIRONMENTAL REVIEW UNDER THE CALIFORNIA ENVIRONMENTAL QUALITY ACT WHEREAS, the City of Azusa (“City”) hereby finds, determines and declares as follows: WHEREAS, Prior to February 1, 2012, the Redevelopment Agency of the City of Azusa (the"Agency") was a public body, corporate and politic, which was actively engaged in redevelopment work in the City of Azusa pursuant to the powers granted by the Community Redevelopment Law (Health & Safety Code §§33000 et seq.), including but not limited to the increasing, improvement and preservation of housing affordable to low and moderate income households in the City of Azusa; WHEREAS, pursuant to AB x1 26, enacted on June 28, 2011, and as subsequently amended by AB 1484, SB 341, and SB 107 ("Dissolution Act"), the Redevelopment Agency to the City of Azusa was dissolved as of February 1, 2012, and the City of Azusa elected to serve as the Successor Agency to the former Redevelopment Agency to the City of Azusa; and WHEREAS, Health and Safety Code Section 34176 provided that the Atlantis Gardens properties previously managed by the Agency were to be transferred to the County unless the City of Azusa elected to retain those housing assets and functions. In that case the City of Azusa did not elect to retain the housing assets and functions previously performed by the Agency and therefore the housing assets weas transferred to the County; and WHEREAS, in an effort to utilize the resources of Los Angeles County to secure a developer, the Successor Agency to the Redevelopment Agency of the City of Azusa on August 15, 2018 Quitclaimed to the Housing Authority of Los Angeles County (Now LACDA), the properties subject to this Resolution; and WHEREAS, the properties subject to the Quitclaim are addressed: 641 Glenfinnan Ave; APN: 8612-001-905, 633 Glenfinnan Ave; APN: 8612-001-915, 629 Glenfinnan Ave; APN: 8612- 001-920, 630 Glenfinnan Ave; APN: 8612-001-911, 606 Glenfinnan Ave; APN: 8612-001-921, 600 East 6th St.; APN: 8612-001-906, 610 East 6th St.; APN: 8612-001-912, 630 East 6th St.; APN: 8612-001-922, 670 East 6th St.; APN: 8612-001-919, 616 Cedarglen Dr.; APN: 8612-001-907, 628 Cedarglen Dr.; APN: 8612-001-908, 601 Cedarglen Dr.; APN: 8612-001-916, 615 Cedarglen Dr.; APN: 8612-001-917, 627 Cedarglen Dr.; APN: 8612-001-918, 630 Cedarglen Dr.; APN: 8612-001- 910, 645 E. Lime Ave.; APN: 8612-001-914, 627 E. Lime Ave.; APN: 8612-001-909, 611 E. Lime Ave.; APN: 8612-001-913; and WHEREAS, in order to revisit previous City of Azusa redevelopment efforts, recent discussions with LACDA resulted in the direction to Quit Claim the Atlantis Gardens properties back to the City of Azusa. NOW, THEREFORE, BE IT RESOLVED, DETERMINED, AND ORDERED BY THE CITY OF AZUSA, AS FOLLOWS: SECTION 1. The recitals set forth above are true and correct and are incorporated into this Resolution by reference. SECTION 2. The City Council of the City of Azusa does hereby adopt a Resolution accepting the transfer of ownership of properties addressed 606, 629, 630, 633, 641 Glenfinnan Ave., 600, 610, 630, 670 East 6th ST.; 601, 615, 616, 627, 628, 630 Cedarglen DR, 611, 627, 645 E. Lime Ave from the Los Angeles County Housing Authority (LACDA) and authorize the city manager to execute all documents related to such transfer. SECTION 3. The City Council of the City of Azusa does hereby authorize the City Manager or his designee to execute all documents necessary to effectuate the intent of this resolution. SECTION 4. The City Council authorizes the City Manager, or designee, to execute any and all documents necessary to execute the Quit Claim on behalf of the City. SECTION 5. This Resolution has been reviewed with respect to the applicability of the California Environmental Quality Act (Public Resources Code Section 21000 et seq.) (“CEQA”). City staff has determined that adopting a Resolution accepting the transfer of ownership of properties, and authorizing the City Manager to execute the necessary documents do not qualify as a “project” as defined in State CEQA Guidelines section 15378. First, Section 15378 defines a project as an activity that “has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment.” (State CEQA Guidelines, § 15378(a).) Here, the action is to allow the City Manager to execute the necessary paperwork for a real estate transaction, which will not result in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment. Accordingly, the action is not a “project” subject to CEQA. (State CEQA Guidelines, § 15060(c).) Second, Section 15378 explicitly excludes from its definition of “project” the following: “organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment.” (State CEQA Guidelines, § 15378(b)(5). This Resolution does not constitute a binding commitment to any particular use of the Property. SECTION 6. This Resolution shall take effect immediately upon its adoption by the City Council, and the Clerk of the Agency shall attest to and certify the vote adopting this Resolution. PASSED, APPROVED and ADOPTED this 4th day of November, 2024. ___________________________________ Robert Gonzales Mayor ATTEST: ___________________________________ Jeffrey Lawrence Cornejo, Jr. City Clerk STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. CITY OF AZUSA ) I HEREBY CERTIFY that the foregoing Resolution No. 2024-C62 was duly adopted by the City Council, at a regular meeting of said Agency held on the 4th day of November 2024, by the following vote of the Council: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSTAIN: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: ___________________________________ Jeffrey Lawrence Cornejo, Jr. City Clerk APPROVED AS TO FORM: ___________________________________ Best Best & Krieger, LLP City Attorney 45635.01000\42855493.1 1 RECORDING REQUESTED BY: LOS ANGELES COUNTY DEVELOPMENT AUTHORITY 700 West Main Street Alhambra, CA 91801 WHEN RECORDED MAIL TO: CITY OF AZUSA 729 N. Azusa Azusa, CA 91702 Space above the line for Recorder’s use ASSESSORS PARCEL NUMBERS: 8612-001-905, 8612-001-906, 8612-001-907, 8612- 001-908, 8612-001-909, 8612-001-910, 8612-001-911, 8612-001-912, 8612-001-913, 8612-001-914, 8612- 001-915, 8612-001-916, 8612-001-917, 8612-001-918, 8612-001-919, 8612-001-920, 8612-001-921, 8612- 001-922 *THIS DOCUMENT IS EXEMPT FROM DOCUMENTARY TRANSFER TAX PURSUANT TO SECTION 11922 OF THE REVENUE & TAXATION CODE. *THIS DOCUMENT IS EXEMPT FROM DOCUMENTARY TRANSFER RECORDING FEES PURSUANT TO SECTION 27383 OF GOVERNMENT CODE. QUITCLAIM DEED FOR VALUABLE CONSIDERATION, receipt of which is hereby acknowledged, the LOS ANGELES COUNTY DEVELOPMENT AUTHORITY, formerly known as, HOUSING AUTHORITY OF LOS ANGELES COUNTY (“Grantor”) hereby REMISES, RELEASES AND FOREVER QUITCLAIM to the CITY OF AZUSA, a California municipal corporation (“Grantee”), all that certain real property situated in the City of Azusa, County of Los Angeles, State of California, described and depicted in EXHIBIT A attached hereto and incorporated herein by reference. The covenants contained herein shall run with the land and shall inure to the benefit of and be binding upon the Grantor and Grantee and their respective assigns, heirs, voluntary and involuntary successors in interest. GRANTOR: Dated: ________________________ Los Angeles County Development Authority, formerly known as Housing Authority of Los Angeles County, a public body corporate and politic By: __________________________ Its: __________________________ DRAFT 45635.01000\42855493.1 2 State of ) ) ss: County of ) On _________________________, 2024, before me, ___________________________, Notary Public, personally appeared______________________, who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of ________ that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature _______________________________ (Seal) A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. 45635.01000\42855493.1 3 EXHIBIT A LEGAL DESCRIPTION OF PROPERTY Real property in the City of Azusa, County of Los Angeles, State of California, described as follows: PARCEL A: LOTS 3, 4, 5, 8, 9, 11, 15, 23, 24, 28, 30, 31, 33, 35 AND 39 OF TRACT NO. 27346, IN THE CITY OF AZUSA, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 699 PAGES 22 AND 23 OF MAPS. IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. EXCEPT THEREFROM ALL OIL, GAS, MINERALS, AND OTHER HYDROCARBON SUBSTANCES LYING BELOW THE SURFACE OF SAID LAND, BUT WITH NO RIGHT OF SURFACE ENTRY, AS PROVIDED IN DEEDS OF RECORD. PARCEL B: PARCEL 1: THOSE PORTIONS OF LOTS 36 AND 37 OF TRACT NO. 27346, IN THE CITY OF AZUSA, COUNTY OF LOS ANGELES, ST ATE OF CALCFORNIA, AS PER MAP RECORDED IN BOOK 699. PAGES 22 AND 23 OF MAPS. IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. LYING SOUTHERLY OF THE FOLLOWING DESCRIBED LINE: BEGINNING AT A POINT IN THE EAST LINE OF SAID LOT 36, DISTANT THEREON SOUTH 0°00'06" EAST 0.91 FEET FROM THE NORTHEAST CORNER THEREOF; THENCE NORTH 88°10'26" WEST 100.05 FEET TO A POINT IN THE WEST LINE OF SAID LOT 37. DISTANT THEREON NORTH 0°00°06° WEST 2.29 FEET FROM THE SOUTHWEST CORNER THEREOF. EXCEPT THEREFROM ALL OIL, GAS. MINERALS, AND OTHER HYDROCARBON SUBSTANCES LYING BELOW THE SURFACE OF SAID LAND, BUT WITH NO RIGHT OF SURFACE ENTRY, AS PROVIDED IN DEEDS OF RECORD. PARCEL 2: AN EASEMENT FOR INGRESS AND EGRESS OVER THE EAST 10 FEET OF LOTS 32 TO 35 INCLUSIVE AND THE WEST 10.00 FEET OF LOTS 36 TO 39 INCLUSIVE OF TRACT NO. 27346, IN THE CITY OF AZUSA, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS SHOWN BY MAP ON FILE IN BOOK 699, PAGES 22 AND 23 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. 45635.01000\42855493.1 4 PARCEL C: PARCEL 1: THOSE PORTIONS OF LOT 36, 37, AND 38, OF TRACT NO. 27346, IN THE CITY OF AZUSA, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA. AS PER MAP RECORDED IN BOOK 699 PAGES 22 AND 23 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, INCLUDED WITHIN THE FOLLOWING DESCRIBED LINES: BEGINNING AT A POINT IN THE EAST LINE OF SAID LOT 36 DISTANT THEREON SOUTH 0°00'06" EAST 0.91 FEET FROM THE NORTHWEST CORNER THEREOF; THENCE NORTH 88°10'26" WEST 100.05 FEET TO A POINT IN THE WEST LINE OF SAID LOT 37 DISTANT THEREON NORTH 0°00'06" WEST 2.29 FEET FROM THE SOUTHWEST CORNER THEREOF; THENCE ALONG THE WEST LINE OF SAID LOT, NORTH 0°00'06" WEST 59.92 FEET TO A POINT DISTANT THEREON NORTH 0°00'06" WEST 2.21 FEET FROM THE SOUTHWEST CORNER OF SAID LOT 38; THENCE SOUTH 88° 17' 33'' EAST 100.14 FEET TO A POINT IN THE EAST LINE OF SAID LOT 37 DISTANT THEREON SOUTH 0°00'06" EAST .078 FEET FROM THE NORTHEAST CORNER OF SAID LOT 37; THENCE ALONG THE EAST LINE OF SAID LOTS, SOUTH 0° 00' 06" EAST 60.13 FEET TO THE POINT OF BEGINNING. EXCEPT THEREFROM ALL OIL, GAS, MINERALS, AND OTHER HYDROCARBON SUBSTANCES LYING BELOW THE SURFACE OF SAID LAND, BUT WITH NO RIGHT OF SURFACE ENTRY, AS PROVIDED IN DEEDS OF RECORD. PARCEL 2: AN EASEMENT FOR INGRESS AND EGRESS OVER THE EAST 10.00 FEET OF LOTS 32 TO 35. INCLUSIVE AND THE WEST 10.00 FEET OF LOTS 36 TO 39 INCLUSIVE ALL lN TRACT NO. 27346 AS PER MAP RECORDED IN BOOK 699 PAGES 22 AND 23 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. PARCEL D: LOT 38 OF TRACT NO. 27346, IN THE CITY OF AZUSA, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 699 PAGES 22 AND 23 OF MAPS. IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. EXCEPT FROM SAID LOT 38 THAT PORTION OF LYING WITHIN THE FOLLOWING DESCRIBED LINES. BEGINNING AT A POINT IN THE EAST LINE OF LOT 36 OF SAID TRACT NO. 27346 DISTANT HEREON SOUTH 0°00'00" EAST 0.91 FEET FROM THE NORTHEAST CORNER THEREOF; THENCE NORTH 88°10’26" WEST 100.05 FEET TO A POINT IN THE WEST LINE OF LOT 37 OF SAID TRACT, DISTANT T HEREON NORTH 0°00'06" WEST 2.29 FEET 45635.01000\42855493.1 5 FROM THE SOUTHWEST CORNER THEREOF; THENCE ALONG THE WEST LINES OF SAID LOTS NORTH 0°00' 06" WEST 59.92 FEET TO A POINT DISTANT THEREON NORTH 0° 00' 06" WEST 2.21 FEET FROM THE SOUTHWEST CORNER OF SAID LOT 38; THENCE SOUTH 88 ° I 7' 33" EAST 100.14 FEET TO A POINT lN THE EAST LINE OF SAID LOT 37 DISTANT THEREON SOUTH 0°00'06" EAST 0.78 FEET FROM THE NORTHEAST CORNER OF LOT 37; THENCE ALONG THE EAST LINES OF SAID LOTS, SOUTH 0° 00 ' 06" EAST 60.13 FEET TO THE POINT OF BEGINNING. EXCEPT THEREFROM THE OIL, GAS, MINERALS, AND OTHER HYDROCARBON SUBSTANCES LYING BELOW THE SURFACE OF SAID LAND. BUT WITH NO RIGHT OF SURFACE ENTRY, AS PROVIDED IN DEEDS OF RECORD. Assessor's Parcel Number’s: 8612-001 -905 thru 8612-001-922 Inclusive Property Addresses: 606, 629, 630, 633, 641 North Glenfinnan Avenue, Azusa 601, 615, 616, 627, 628, 630 North Cedarglen Drive, Azusa 611, 627, 645 East Lime Avenue, Azusa 600, 610, 630, 670 East 6th Street, Azusa 45635.01000\42855493.1 6 CITY OF AZUSA CERTIFICATE OF ACCEPTANCE OF QUITCLAIM DEED This Certificate of Acceptance pertains to the interest in real property conveyed by the Quitclaim Deed to which this Certificate of Acceptance is attached: from: LOS ANGELES COUNTY DEVELOPMENT AUTHORITY, formerly known as, HOUSING AUTHORITY OF LOS ANGELES COUNTY (“Grantor”) to: City of Azusa, a California municipal corporation (“Grantee”) Said Quitclaim Deed is hereby accepted by the undersigned officer on behalf of Grantee pursuant to authority conferred by the Grantee’s governing board, and Grantee hereby consents to recordation of such Quitclaim Deed. Dated: _______, 2024 CITY OF AZUSA, a California municipal corporation By:__________________________ Its: __________________________