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Home My WebLink About2007 CON CDC Home Depot and Pacific Steel - 2nd Amendment ENASECOND AMENDMENT to EXCLUSIVE NEGOTL4TING AGREEMENT between COMMUNITY DEVELOPMENT COMMISSION of THE CITY OF NATIONAL CITY and HOME DEPOT U.S.A., INC. and PACIFIC STEEL, INC. On November 21, 2006, the COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY, a public body, corporate and politic ("CDC"), and HOME DEPOT U.S.A., INC., a Delaware Corporation, and PACIFIC STEEL, INC., a California corporation ("Developers"), entered into an EXCLUSIVE NEGOTIATION AGREEMENT ("Agreement') for Developer to explore the feasibility of redeveloping properties on the west side of Cleveland Avenue from Civic Center Drive to 18`h Street (the "Site"). WHEREAS, the parties have worked diligently to explore the feasibility of the project including conducting an Owner Participation process for redevelopment of nearby properties not currently owned or leased by Pacific Steel, Inc; and WHEREAS, during the Owner Participation process a question was raised regarding the process for APN # 559-076-11 owned by Leif Revocable Trust; and WHEREAS, CDC and Developers desire to respond to the question by removing this parcel from the Agreement; THE PARTIES AGREE TO AMEND THE AGREEMENT AS FOLLOWS: 1. The Exclusive Negotiation Agreement is hereby amended to delete APN# 559-076-11; 2. With the exception of the above provision, the original Exclusive Negotiation Agreement remains in full force and effect. IN WITNESS WHEREOF, the Parties have entered into this Amendment as of September 4, 2007. COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY, a public body, corporate and poliyi By: Ron Morrison, Chairman Page 1 of 2 1g. Amendment to ENA, Site A APPROVED AS TO FORM: By: 7) lot George H. Eiser, I11, City -CDC Attorney DEVELOPER: HOME DEPOT U.S.A. INC, a Delaware corporation By: Title: By: An?-K Jerhoff Title: PACIFIC STEEL, INC., a California corporation By: Title: Fernando Solorzano/ President By: Title: Marisela Martinez/ CFO Page 2of2 1m. Amendment to ENA, Site A Initials: APPROVED AS TO FORM: By: George II. Eiser, III, City -CDC Attorney DEVELOPER: HOME DEPOT U.S.A. INC, a Delaware corporation By: Title: By: Title: PACIFIC STEEL, INC., a California corporation Bv: / — ° 91/4 74,- Mr mand • lli w..tvietypy Title: Maris a Martinez/ CF Page 2 of 2 I". Amendment to ENA, Site A RESOLUTION NO. 2007 — 234 RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY AUTHORIZING THE CHAIRMAN TO EXECUTE THE SECOND AMENDMENT TO THE EXCLUSIVE NEGOTIATING AGREEMENT BETWEEN THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY, HOME DEPOT U.S.A. INC., AND PACIFIC STEEL, INC. WHEREAS, the Community Development Commission of the City of National City ("CDC") is implementing the National City Redevelopment Plan; and WHEREAS, on November 21, 2006, the CDC entered into an Exclusive Negotiating Agreement with the Home Depot USA, Inc. and Pacific Steel, Inc. to consider the feasibility of a redevelopment project on the western side of Cleveland Avenue between Civic Center Drive and 18th Street; and WHEREAS, due diligence activities relating to the proposed project included an Owner Participation process for APN 559-076-11; and WHEREAS, the proposed project is important to the continued fiscal sustainability of the City of National City; and WHEREAS, the Home Depot USA, Inc. and Pacific Steel, Inc. have agreed to delete APN 559-076-11 from the Exclusive Negotiation Agreement; NOW, THEREFORE, BE IT RESOLVED, that the Community Development Commission of the City of National City hereby authorizes the Chairman to execute the Second Amendment to the Exclusive Negotiating Agreement between the Community Development Commission of the City of National City, Home Depot USA, Inc., and Pacific Steel, Inc. to delete APN 559-076-11 from the Agreement. Said Agreement is on file in the office of the City Clerk. PASSED and ADOPTED this 2nd day of Oct..er, i07. Ron Morrison, Chairman APPROVED AS TO FORM: George H.'Eiser, III Legal Counsel Passed and adopted by the Community Development Commission of the City of National City, California, on October 2, 2007, by the following vote, to -wit: Ayes: Commissioners Natividad, Parra, Ungab, Zarate. Nays: None. Absent: Commissioner Morrison. Abstain: None. AUTHENTICATED BY: RON MORRISON Chairman, Community Development Commission nity Development Commission By: Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of RESOLUTION NO. 2007-234 of the Community Development Commission of the City of National City, Califomia, passed and adopted on October 2, 2007. Secretary, Community Development Commission By: Deputy GaooG•n0 City of National City, California COMMUNITY DEVELOPMENT COMMISSION AGENDA STATEMENT MEETING DATE October 2, 2007 AGENDA ITEM NO. 18 ITEM TITLE A RESOLUTION APPROVING THE SECOND AMENDMENT TO THE EXCLUSIVE NEGOTIATING AGREEMENT BETWEEN THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY AND HOME DEPOT U.S.A. INC. AND PACIFIC STEEL, INC. PREPARED BY Patricia Beard Redevelopment Manager DEPARTMENT Redevelopment Division EXPLANATION On November 21, 2006 the Community Development Commission ("CDC") approved an Exclusive Negotiating Agreement ("ENA") with Home Depot USA, Inc. and Pacific Steel, Inc. ("PSI"). The conceptual proposal was to develop two retail stores (one being Home Depot) and an office building, plus to redevelop PSI on 15 acres between Civic Drive and 18th Street on the west side of Cleveland Avenue and an Owner Participation process was commenced on March 6, 2007. During the course of the process a question was raised by the Leif Revocable Trust, owners of one of the parcels in question. Despite Home Depot/PSI permission to conduct the Owner Participation process per terms of the ENA, this Amendment responds to question raised with an abundance of caution by deleting the Leif Revocable Trust Parcel from the ENA. No other changes are proposed with this Amendment. (Please see attached background sheet.) Environmental Review Not applicable. Strategic Goal: 2e — Continue pursuing Home Depot/PSI and develop site. Financial Statement The developers have deposited $25,000 per the terms of the ENA. This Amendment does not have any financial implication. Account No 9 STAFF RECOMMENDATION Adopt the resolution. BOARD / COMMISSION RECOMMENDATION Not applicable. ATTACHMENTS 1. Background Report 2. Site Map 3. Proposed ENA amendment J Resolution No. '. 0° R - a 34 City of National City Office of the City Clerk 1243 National City Boulevard, National City, CA 91950-4397 Michael R. Dalla, CMC - City Clerk (619) 336-4228 Fax: (619) 336-4229 October 9, 2007 Ms. Ann K. Jerhoff Director Real Estate Law 3800 West Chapman Avenue Orange, CA 92868 Dear Ms. Jerhoff, On October 2, 2007, Resolution No. 2007-234 was passed and adopted by the Community Development Commission of National City, authorizing execution of the second amendment to the exclusive negotiating agreement with Home Depot U.S.A., Inc. and Pacific Steel, Inc. We are enclosing for your records a certified copy of the above Resolution and a fully executed agreement. Sincerely, Michael R. Dalla, CMC City Clerk Enclosure cc: Community Development Commission ® Recycled Paper City of National City Office of the City Clerk 1243 National City Boulevard, National City, CA 91950-4397 Michael R. Della, CMC - City Clerk (619) 336-4228 Fax: (619) 336-4229 October 9, 2007 Mr. Fernando Solorzano President Pacific Steel, Inc. 1700 Cleveland Avenue National City, CA 91950 Dear Mr. Solorzano, On October 2, 2007, Resolution No. 2007-234 was passed and adopted by the Community Development Commission of National City, authorizing execution of the second amendment to the exclusive negotiating agreement with Home Depot U.S.A., Inc. and Pacific Steel, Inc. We are enclosing for your records a certified copy of the above Resolution and a fully executed agreement. Michael R. Dalla, CMC City Clerk Enclosure cc: Community Development Commission ® Recycled Paper