RES-10654 Disposition & Development Agreement TermsRESOLUTION NO. 10654
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF ORANGE AUTHORIZING THE SALE OF
REAL PROPERTY BY THE SUCCESSOR AGENCY
TO THE ORANGE REDEVELOPMENT AGENCY
TO F.H.A., L.P., IN ACCORDANCE WITH THE
TERMS OF A DISPOSITION AND DEVELOPMENT
AGREEMENT BY AND BETWEEN THE
SUCCESSOR AGENCY TO THE ORANGE
REDEVELOPMENT AGENCY AND F.H.A., L.P.
WHEREAS, the City of Orange (the "City ") is a municipal corporation which exercises
governmental functions and powers and is organized and existing under the laws of the State of
California; and
WHEREAS, the Orange Redevelopment Agency, a public body, corporate and politic
the "Agency "), was duly created, established and authorized to transact business and exercise
its powers under and pursuant to the Community Redevelopment Law (commencing with
Section 33000 of the Health and Safety Code of the State of California and hereinafter referred
to as the "CRL "); and
WHEREAS, the Amended and Restated Redevelopment Plan (the "Redevelopment
Plan ") for the Orange Merged and Amended Redevelopment Project Area (the
Redevelopment Project Area ") was duly approved by the Orange City Council on
November 27, 2001 by Ordinance No. 21 -01, pursuant to the CRL; and
WHEREAS, the Agency was engaged in activities necessary to carry out and
implement the Redevelopment Plan for the Redevelopment Project Area; and
WHEREAS, on February 1, 2012, by operation of law, the Successor Agency to the
Orange Redevelopment Agency, a public body, corporate and politic (the "Successor Agency ")
was created, the Agency was dissolved, and all authority, rights, powers, duties, and obligations
previously vested with the Agency, under the CRL, were vested in the Successor Agency; and
WHEREAS, the Developer owns certain real property in the Redevelopment Project
Area adjacent to the Property and generally located north of West Chapman Avenue, south of
the Santa Ana Freeway (I -5) off -ramp to State College Boulevard, west of the City Drive and
east of Manchester Avenue in the City of Orange (the "Developer Parcels "); and
WHEREAS, F.H.A., L.P. (the "Developer "), has proposed to enter into a Disposition
and Development Agreement (the "DDA ") with the Successor Agency, pursuant to which the
Successor Agency would convey to the Developer a Successor Agency -owned vacant remnant
parcel, measuring approximately 19,672 square feet (the "Property ") for development by the
Developer, along with the Developer Parcels (as hereinafter defined), of a 93,452 square foot
commercial hotel development, which would consist of a new hotel building comprised of
approximately 142 rooms along with on -site improvements that include a 212 space parking
structure, 63 surface parking stalls and other site improvements (the "Project "); and
WHEREAS, the Developer Parcels and the Property, referred to herein collectively
as the "Site ", total approximately 2.64 acres; and
WHEREAS, the Developer has executed and submitted to the Successor Agency
copies of the DDA in a form that is acceptable to the Developer, which provides for the
conveyance of the Property from the Successor Agency to the Developer for the purchase price
and upon the terms stated therein and calling for the proposed redevelopment of the Site with
the Project; and
WHEREAS, as the "lead agency" under the California Environmental Quality Act
California Public Resources Code Section 21000 et seq.), and pursuant to the authority
granted to it by the Orange Municipal Code, the Planning Commission of the City of Orange
heretofore considered the proposed Project and Mitigated Negative Declaration 1801 -07 (the
CEQA Document "), which was prepared in connection therewith, finding no substantial
evidence that the Project, as mitigated, would have a significant impact on the environment;
and
WHEREAS, the Planning Commission adopted the CEQA Document and adopted
Orange Planning Commission Resolution No. PC 13 -11 on June 6, 2011; and
WHEREAS, after publication of notice as required by law, a joint public hearing has
been duly held by this City Council and the Successor Agency in accordance with Sections
33431 and 33433 of the CRL on the proposed DDA, including, without limitation, the proposed
sale of the Property in accordance with the terms and provisions thereof, and
WHEREAS, this City Council has duly considered all of the terms and conditions of
the proposed sale of the Property to the Developer, as set forth in the DDA, and believes that the
sale of the Property by the Successor Agency pursuant to the DDA is in the best interests of the
City and the health, safety, morals and welfare of its residents, and in accord with the public
purposes and provisions of applicable State and local law and requirements.
NOW, THEREFORE, the City Council of the City of Orange resolves, finds and
determines, on the basis of the facts set forth in the agenda report presented to it and any
testimony received at the meeting at which this matter was considered, as follows:
1. The foregoing recitals are true and correct.
2. The sale of the Property to the Developer in accordance with the terms and
provisions of the DDA will assist in the elimination of blight and is consistent with the
adopted Implementation Plan for the reasons outlined in the summary report required by
Section 33433 of the CRL, which is incorporated herein by this reference.
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3. The consideration to be received by the Successor Agency from the Developer
for the sale of the Property in accordance with the terms and provisions of the DDA is not
less than the fair market value at its highest and best use in accordance with the
Redevelopment Plan for the Redevelopment Project Area.
4. The terms and provisions of the DDA between the Successor Agency and the
Developer, with respect to the development of the Project, in the form submitted and
executed by the Developer, are approved, and that the Successor Agency is hereby
authorized to sell the Property to the Developer in accordance with the terms and conditions
of the DDA.
ADOPTED this 8th day of May, 2012.
V. C4+'q$e, Mayor, Ci y of Orange
ATTEST:
Mary E. City Clerk, City ge
I, MARY E. MURPHY, City Clerk of the City of Orange, California, do hereby
certify that the foregoing Resolution was duly and regularly adopted by the City Council of
the City of Orange at a regular meeting thereof held on the 8th day of May, 2012, by the
following vote:
AYES: COUNCILMEMBERS: Whitaker, Smith, Cavecche, Bilodeau, Dumitru
NOES: COUNCILMEMBERS: None
ABSENT: COUNCILMEMBERS: None
ABSTAIN: COUNCILMEMBERS: None
e
Mary E. City Clerk, i Orange
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