HomeMy WebLinkAboutCC RESO 2002 - 73RESOLUTION NO. 2002 — 73
RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF NATIONAL CITY
AUTHORIZING THE MAYOR TO EXECUTE AN
ASSIGNMENT AND ASSUMPTION AGREEMENT WITH
THE COMMUNITY DEVELOPMENT COMMISSION OF
THE CITY OF NATIONAL CITY FOR THE SALE OF LAND
TO THE CITY, AND MAKING CERTAIN
FINDINGS IN CONNECTION THEREWITH
(Sale of 1401 National City Boulevard)
WHEREAS, the Community Development Commission of the City of National City
("CDC") is engaged in activities necessary to execute and implement the Redevelopment Plan (the
"Redevelopment Plan") for the National City Redevelopment Project ("NCRP"); and
WHEREAS, the Implementation Plan adopted by the CDC with respect to the
NCRP area calls for the CDC's objective to "increase private investment wherever possible, to
promote jobs and improve the property and sales tax base of the City"; and
WHEREAS, the CDC is the owner of that certain real property (the "Property") in
the City of National City, State of California, commonly known as 1401 National City Boulevard;
and
WHEREAS, in connection with its purchase of the Property in March 2001, the
CDC executed a Promissory Note Secured by Deed of Trust (the "Note"), and executed a Deed of
Trust with Assignment of Rents as Additional Security (the "Deed of Trust"). Douglas G. Fuller,
("Fuller"), Successor Trustee Under Trust Dated August 30, 1980, is the Holder of the Note and the
Beneficiary under the Deed of Trust; and
WHEREAS, the City desires to purchase from the CDC, and the CDC desires to sell
to the City in furtherance of the objectives of the Community Redevelopment Law (California
Health and Safety Code Section 33000 et seq., the Property, subject to the terms and conditions set
forth in a proposed Assignment and Assumption Agreement (the "Agreement"). The City intends
to use the Property as the site for the construction of a new public library, for which it must obtain a
grant from the state Office of Library Construction; and
WHEREAS, in connection with the purchase and sale of the Property, the City and
the CDC intend and agree that the Note and Deed of Trust be assigned from the CDC to the City,
and that the City assume the obligations of said Note and Deed of Trust. Fuller is willing to consent
to said assignment and assumption.
WHEREAS, pursuant to Section 33433 of the Community Redevelopment Law,
the CDC is authorized, with the majority approval of the City Council after public hearing, to
convey the Property for redevelopment purposes pursuant to the Redevelopment Plan upon a
determination by the City Council that the sale of the Property will assist in the elimination of
blight, that the consideration for such sale is not less than fair reuse value in accordance with the
covenants and conditions governing the sale and development costs thereof, and that the sale is
consistent with the Implementation Plan; and
Resolution No. 2002 — 73
May 21, 2002
Page Two
WHEREAS, a public hearing notice was duly noticed in accordance with the
requirements of Health and Safety Code Section 33433; and
WHEREAS, the proposed Agreement, and summary reports meeting the
requirements of Health and Safety Code Section 33433, were made available for public
inspection consistent with the requirements of Health and Safety Code Section 33433; and
WHEREAS, on May 21,2002, the City Council and CDC held a joint public
hearing on the proposed Agreement and sale and evaluated all of the information, testimony, and
evidence presented during the public hearing; and
WHEREAS, the CDC has reviewed the summary reports required pursuant to
Health and Safety Code Section 33433 and evaluated other information provided to it pertaining
to the findings required pursuant to Sections 33433; and
WHEREAS, the sale of the Property pursuant to the proposed Agreement will
improve the quality of life of the residents of National City and its visitors through the
elimination of blight and the development of quality projects in the NCRP area by providing for
the reuse and redevelopment of a portion of the NCRP area which formerly contained various
substandard commercial buildings; and
WHEREAS, the value of the consideration for the Property, pursuant to proposed
Agreement will not be less than the fair reuse value of the Property as set forth in the summary
report completed per Section 33433; and
WHEREAS, all actions required by all applicable law with respect to the
proposed Agreement has been taken in an appropriate and timely manner; and
WHEREAS, the CDC approved Resolution No. 2002-24 authorizing the
Chairman to execute the Agreement; and
WHEREAS, the City Council has duly considered all terms and conditions of the
proposed Agreement and believes that the disposition of the Property pursuant thereto is in the
best interests of the City of National City and the health, safety, and welfare of its residents, and
in accord with the public purposes and provisions of applicable state and local law requirements.
NOW THEREFORE, BE IT RESOLVED by the City Council of the City of
National City as follows:
1. The City Council hereby finds and determines, based upon substantial
evidence provided in the record before it, that the consideration for the sale of the Property,
pursuant to the terms and conditions of the proposed Agreement, is not less than the fair reuse
value of the Property in accordance with the covenants and conditions governing the sale, and
the development costs required under the proposed Agreement.
Resolution No. 2002 — 73
May 21, 2002
Page Three
2. The City Council hereby finds and determines that the disposition of the
Property pursuant to the proposed Agreement will eliminate blight within the Project Area by
providing for the reuse and redevelopment of a portion of the Project Area which was declared
blighted for the reasons described above.
3. The City Council hereby finds and determines that the Agreement is
consistent with the Implementation Plan for the Redevelopment Plan.
BE IT FURTHER RESOLVED that the City Council authorizes the Mayor to
execute an Assignment and Assumption Agreement between the City of National City and the
Community Development Commission of the City of National City for the sale from the CDC to the
City of the property commonly known as 1401 National City Boulevard. Said Agreement is on file
in the office of the City Clerk.
PASSED and ADOPTED this 21st day of May, 2002.
George H. `Waters, Mayor
ATTEST:
1i
Mic ael R. Dalla, ity Clerk
APPROVED AS TO FORM:
George H. Eiser, III
City Attorney