RES-8072 Consenting to Approving Acquisition and Disposition of Certain Subleasehold InterestRESOLUTION NO. 8072
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF ORANGE CONSENTING TO AND
APPROVING THE ACQUISITION AND DISPOSITION
OF A CERTAIN SUBLEASEHOLD INTEREST
PURSUANT TO AN OWNER PARTICIPATION
AGREEMENT BY AND AMONG THE ORANGE
REDEVELOPMENT AGENCY, TISHMAN PARKWAY
VENTURE, THE CITY, TRW INC., INFORMATION
SYSTEMS & SERVICES
WHEREAS, the Orange Redevelopment Agency (the "Agency") is authorized
to conduct redevelopment activities within the Project Area of the Southwest
Redevelopment Project (the "Project Area"), which activities include the acquisition
and conveyance of real property for private development; and
WHEREAS, TISHMAN PARKWAY VENTURE, a California partnership ("Owner
I"), THE CITY, a partnership ("Owner II"), and TRW INC. INFORMATION
SYSTEMS & SERVICES, an Ohio corporation ("Tenant") propose that the Agency
enter into an Owner Participation Agreement submitted herewith (the "OPA") pursuant
to which the parties propose that (1) Owner I and Owner II (collectively, the
Owners") shall lease that certain real property identified in the OPA as the "Premises"
to Tenant for a term more particularly described in the OPA, (2) the Tenant shall
sublease to the agency the Premises for the terrn more particularly described in the
OPA, (3) the Agency shall then sub-sublease all of the Premises back to the Tenant
for a term more particularly described in the OPA, (4) the Owners shall perforrn
certain renovation work to the Premises and certain other improvements (the "
Improvements")the minimum cost of which shall be Two Million Five Hundred Thousand
Dollars 2,500,000), (5) the Agency will provide assistance to the Tenant not to exceed
Two Million Dollars ($2,000,000) the minimum amount of which will be One
Hundred Thousand Dollars ($100,000) a year for ten (10) years based on the
continual employment by the Tenant of at least Seven Hundred Fifty (750) people at the
Premises within the City of Orange and the Agency will provide additional assistance
predicated upon the number of full-time employees in excess of Seven Hundred
Fifty (750)multiplied by Four Hundred Dollars ($400) per full-time employee not to
exceed a total of Two Hundred Fifty (250) employees or One Hundred Thousand
Dollars ($100,000)
per year; and WHEREAS, the Agency and the City Council of the City ("
City Council") have conducted a duly noticed joint public hearing regarding the
proposed acquisition and disposition in accordance with California Health and Safety Code
Sections 33431
WHEREAS, the staff report pertaining to the Agreement, including a Report by
Rosenow Spevacek Group dated as of August 31, 1992 (the "Report") which has been
on display prior to the joint public hearing in accordance with Section 33433 of the
California Health and Safety Code, contains a detailed description of the provisions of
the Agreement.
NOW, THEREFORE, BE IT RESOLVED by the City of Orange as follows:
SECTION I:
The City Council finds and determines, based upon the testimony and
information presented during the public hearing with respect to the Agreement, that the
consideration for the interest in property to be transferred to the Tenant pursuant to the
sublease is at less than the fair market value thereof determined at the highest use
permitted under the Redevelopment Plan, but that such lesser consideration is necessary
to secure the commitment of Tenant and the Owners to execute the Agreement, which
Agreement will significantly benefit the Agency and the community by alleviating
blighting conditions, enhancing and preserving the viability of The City complex as an
office and retail center, maintaining employment levels, upgrading the quality of
certain buildings within The City complex, maintaining a work force and potentially
effecting significant increases in commercial sales at The City and sales tax collections
of the City of Orange, and providing for high-quality development activities
to stimulate the economic enhancement of the Project Area; these and other factors
are more fully discussed in the
Report.SECTION
II:The City Council hereby approves the Agreement and all of its
provisions including without limitation the attachment therein, and gives its consent and
authorizes the Chairman and the Executive Director of the Agency to execute all
documents referenced in the Agreement or otherwise deemed by the Executive Director to
be necessary to effectuate the provisions of the
Agreement.ADOPTED this 15th day of September ,
1992.
ATfEST:m?~~- ~~~-'---
City Clerk,
ity of ge
I 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 15th day of September, 1992, by the following vote:
A YES: COUNCIL MEMBERS: STEINER, BARRERA, MAYOR BEYER, COONTZ,
SPURGEON
NOES: COUNCIL MEMBERS: NONE
ABSENT: COUNCIL MEMBERS: NONE
ABSTAIN: COUNCIL MEMBERS: NONE
u-_.l" J ~/.I'U
City Clerk, y of ~g
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