RES-9734 Cooperation Agreement For Sale of Certain Real PropertyRESOLUTION NO. 9734
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF ORANGE APPROVING AN AMENDED
COOPERATION AGREEMENT BETWEEN THE
CITY OF ORANGE AND THE ORANGE
REDEVELOPMENT AGENCY RELATING TO THE
SALE OF CERTAIN REAL PROPERTY LOCATED
AT 206 N, MANCHESTER STREET TO THE
ORANGE REDEVELOPMENT AGENCY; AND
MAKING CERTAIN FINDINGS
WHEREAS, on January 14, 2003, this City Council adopted Resolution No. 9695
the Prior Resolution) approving the execution and delivery of that certain Cooperation
Agreement (206 N. Manchester Street) by and between the City of Orange and the Orange
Redevelopment Agency (Agency) (herein referred to as the Agreement), and making certain
findings in connection therewith; and
WHEREAS, the Agreement provides for the conveyance of certain City-owned
real property to the Agency in consideration for the payment by the Agency to the City of the SUlll
of 770,000, which real property is commonly known as 206 N. Manchester Street in the City
of Orange and is more particularly described in the Agreement;
and WHEREAS, the Agreement provides that the Property will be used by the Agency
for the purpose of increasing, improving and preserving the community's supply of low-
and moderate-income housing available at affordable housing costs to persons and families
of low and moderate
income; and WHEREAS, since the time of the adoption of the Prior Resolution and
the execution of the Agreement, the City and the Agency have obtained a second opinion of the
fair market value of the Property from ParkCenter Realty Advisors, which opinion of value is set
forth in its Appraisal Report, dated April 25, 2003 (herein referred to as the Appraisal
Report). The Property has been appraised by ParkCenter Realty Advisors as having a fair market
value of 900,000, which is greater than the opinion of value provided by GRC Associates, Inc.
in its Summary Appraisal Report, dated January 13, 2003, and upon which the
Prior Resolution and the Agreement were
based; and WHEREAS, the City Council and the Agency desire to amend the
Agreement to increase: the purchase price for the conveyance of the Property to the Agency from $
770,000 to $900,000 to reflect the current fair market value of the Property, as
determined by ParkCenter Realty Advisors in its Appraisal
WHEREAS, the City Council proposes to convey, and the Agency proposes to
purchase, the Property pursuant to the terms and provisions of an Amended Cooperation
Agreement (the Amended Agreement) in the form presented at this meeting and under the
authority granted to the City by Section 37350 of the California Government Code and
Sections 33220 and 33396 of the California Health and Safety Code and under the authority
grantl:d to the Agency by Sections 33391 and 33396 of the California Health and Safety
Code; and
WHEREAS, the interest in the Property described in the Amended Agreement has
been appraised as having a fair market value of $900,000 and the purchase price set forth in
the Amended Agreement is in accordance with the Appraisal Report; and
WHEREAS, following acquisition thereof, the City Council and the Agency Board of
Directors will consider options for the use 0 f the Property for residential housing, including
affordable housing; however, neither the City Council nor the Agency Board has commenced
project conceptualization, design, and planning for the Property (or any portion thereof); and
WHEREAS, Section 15004 of the State California Environmental Quality Act
CEQA) Guidelines provides that compliance with CEQA, should be completed prior to
acquisition of a site for a public project. However, Section 15004 authorizes acquisition of
real property provided that the acquiring agency conditions its future use on CEQA
compliance. Accordingly, the City Council desires to convey, and the Agency desires to
purchase, the Property in accordance with the tt:rms and provisions of the Amended
Cooperation Agreement in the form presented at this meeting and conditioned upon the
Property's future use being reviewed in compliance with CEQA; and
WHEREAS, the City Council and the goveming board of the Agency have duly
cons:idered all of the terms and conditions of the Amended Agreement as set forth in the agenda
repOJ1 presented to it and any testimony received at the meeting at which this matter was
considered and believes that the activities described therein are in the best interests of the City
and health, safety, morals and welfare of its residents, and in accord with the public purposes
and provisions of applicable State and local law requirements, and that such activities promote
the affordable housing objectives of the California Community Redevelopment Law as well as
the Amended and Restated Redevelopment Plan for the Orange Merged and Amended
Redevelopment Project Area. '"' . ,,, .
NOW, THEREFORE, the City Council of the City of Orange resolves, 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 con'ect.
2. The City Council hereby finds and d,etermines that the Agency's use of funds
from its Low- and Moderate-Income Housing Fundi (Housing Fund) in the amount of
Nine Hundred Thousand Dollars ($900,000.00) for acquisition of the Property will be of benefit
to
the Merged Redevelopment Project Area and is in the vital and best interests of the City of
Orange and the health, safety and welfare of its residents, and in accord with the public
purposes and provisions of applicable federal, state and local laws and requirements.
3. The City Council hereby finds and determines in the event that the Agency
subsequently disposes of the Property to a private person or a public or private entity for the
purpose of providing affordable housing, the distribution of the proceeds of such sale will be
as determined by the City Council at the time of such subsequent disposition.
4. The City Council approves the Amended Agreement with the Agency in
accordance with the terms and provisions set forth in the agenda report presented to the City
and any testimony received at the meeting at which this matter was considered and hereby
authorizes and directs the Mayor to execute the Amended Agreement on behalf of the City
substantially in the form presented to the City Council and the Agency Board of Directors, and
to take all steps and sign all docwnents and instruments necessary to carry out the Amended
Agreement on behalf of the City.
5. The provisions of the Prior Resolution, except to the extent inconsistent with
the provisions of this Resolution, are hereby ratified and confirmed.
ADOPTED this 27th day of May, 2003.
1d~hY' M,y .Ity of Orange
ATTEST:
rkr~
Cassandra J. Cath , City Clerk, City of Orange
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I, CASSANDRA J. CATHCART, 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 27th day of May, 2003,
by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
COUNCILMEMBERS: Ambriz, Alvarez, Murphy ,Coontz ,Cavecche
COUNCILMEMBERS: None
COUNCILMEMBERS: None
COUNCILMEMBERS: None
t.4~X
Cassandra J. Cat art, City Clerk, City of Orange
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