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HomeMy WebLinkAbout2013 CON PA County of San Diego - Option to Purchase - Sweetwater and Bonita Center Road - Amendment #6SIXTH AMENDMENT TO OPTION TO PURCHASE AGREEMENT of /This Sixt Amend pent to Option to Purchase Agreement (Sixth Amendment) is made as O f , 2013, by and between the COUNTY OF SAN DIEGO, a political subdivision of the State of California (County) and the PARKING AUTHORITY OF THE CITY OF NATIONAL CITY, a public body corporate and politic created pursuant to the Parking Law of 1949 (Optionee) with reference to the following facts: RECITALS 1. Optionee owns a 15.08-acre parcel of land at the southwest corner of Sweetwater Road and Bonita Center Road in National City, California identified as County Assessor's Parcel Number 564-471-11. 2. In 1978, Optionee conveyed to County an easement for open space and park purposes over this 15.08-acre parcel (the Easement). 3. Optionee wishes to purchase the Easement from County. 4. On April 3, 2007, County and Optionee entered into an Option to Purchase Agreement (Option Agreement) setting forth the terms of an option whereby Optionee could purchase the Easement from County. 5. On December 13, 2007, Optionee exercised its option to purchase the Easement, and on March 12, 2008, Optionee and County opened escrow pursuant to the terms of the Option Agreement. 6. Optionee was unable to meet the 90-day deadline for closing escrow and requested that the date for dose of escrow be extended to December 31, 2008. 7. On July 2, 2008, the parties executed the First Amendment, which extended the deadline for close of escrow and the term of the Option Agreement to December 31, 2008. 8. Optionee was unable to meet the December 31, 2008 deadline. Therefore, on October 14, 2008, the parties executed the Second Amendment, which extended the deadline for close of escrow and the term of the Option Agreement to December 31, 2009. 9. Optionee was unable to meet the December 31, 2009 deadline and requested that the deadline for close of escrow and the term of the Option Agreement be extended for an additional year. Therefore, the parties executed the Third Amendment, which extended the deadline for close of escrow and the term of the Option Agreement to December 31, 2010. 1 R7600cw11_PkgAuthority-NatICity_SixthAmeudmenl-0PA 20I3 10. Optionee was unable to meet the December 31, 2010 deadline and requested that the deadline for close of escrow and the term of the Option Agreement be extended for an additional year. 11. Optionee was unable to meet the December 31, 2011 deadline and requested that the deadline for close of escrow and the term of the Option Agreement be extended for an additional year. 12. Optionee was unable to meet the December 31, 2012 deadline and requested that the deadline for close of escrow and the term of the Option Agreement be extended for an additional year. AGREEMENT Now, therefore, the parties agree as follows: 1. Optionee shall pay County $1.00 as consideration for this Sixth Amendment. The payment shall be made as specified in paragraph 3B of the Option Agreement. 2. Paragraph 2 of the Option Agreement is amended to read as follows: The term ("Term") of this Option shall be from the Effective Date through December 31, 2013. 3. Paragraph 9C2) of the Option Agreement is amended to read as follows: Close of Escrow; Closing Date. Escrow shall close either on or before December 31, 2013, or five business days after Optionee's notice to County and escrow company requesting to close escrow, whichever is sooner, ("Close of Escrow" or "Closing Date"). The terms "Close of Escrow" and/or "Closing Date" shall mean the date the deeds conveying title to the Easement and title to the Walkway Area are recorded in the Office of the County Recorder of the County of San Diego. [Remainder of this page left blank intentionally.] 2 R7600cwh_PkgActhority-Nnt Icily_SixthAmendment-OPA 2013 4. All other terms and conditions of the Option Agreement remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have executed this Sixth Amendment effective as of the date first written above. OPTIONEE: By: RON MORRISON, Chairman Parking Authority of the City of National City COUNTY OF SAN DIEGO: By:,6".z-z"'- APRIL F. HEINZE, P Fes,Director Department of General Services 3 Appr City By: LESLIE DEESE, Secretary as to form and legality ine ILk. � . e'�aG City Attor il'tua Silva Approved as to form and legality County Counsel Senior Deputy County Counsel R7600ewli PkgAuthority-NatlCily_SixlhAmendmenl-OPA 2013 CITY OF NATIONAL CITY, CALIFORNIA PARKING AUTHORITY AGENDA STATEMENT MEETING DATE: October 15, 2013 AGENDA ITEM NO, 2 ITEM TITLE: Resolution of the Parking Authority of the City of National City authorizing the Chairman to execute the Sixth Amendment to the Option to Purchase Agreement with the County of San Diego for the purchase of an Open -Space Easement to extend the term for one year, and pay the County of San Diego $1.00 as consideration for the Amendment. PREPARED BY: Carlos Aguirre PHONE: ',(619) 336-4391 Housing, Grant sset DEPARTMENT: Management APPROVED BY: EXPLANATION: The Parking Authority entered into an Option to Purchase Agreement ("Option Agreement") with the County of San Diego on March 20, 2007 that provided the Parking Authority the option to purchase the current Open -Space Easement attached to a 15.08-acre parcel of land at the southwest corner of Sweetwater Road and Bonita Center Road to develop a commercial project. On December 13, 2007, the Parking Authority exercised the option to purchase the Easement and opened an escrow account on March 12, 2008 pursuant to the terms of the Option Agreement. The Option Agreement was subsequently amended in 2008, 2009, 2010, 2011, and 2012, each extending the deadline to close escrow and the term of the Option Agreement. The Sixth Amendment to the Option to Purchase Agreement extends the close of escrow and term of the Option Agreement to December 31, 2013. FINANCIAL STATEMENT: APPROVED: ACCOUNT NO. APPROVED: Not Applicable ENVIRONMENTAL REVIEW: Not Applicable. ORDINANCE: INTRODUCTION: FINAL ADOPTION: Finance MIS STAFF RECOMMENDATION: Adoption of the Resolution BOARD / COMMISSION RECOMMENDATION: Not Applicable ATTACHMENTS: Attachment No. 1 Sixth Amendment to Option to Purchase Agreement', Attachment No. 1 SIXTH AMENDMENT TO OPTION TO PURCHASE AGREEMENT This Sixth Amendment to Option to Purchase Agreement (Sixth Amendment) is made as of , 201_ by and between the COUNTY OF SAN DIEGO, a political subdivision of the State of California (County) and the PARKING AUTHORITY OF THE CITY OF NATIONAL CITY, a public body corporate and politic created pursuant to the Parking Law of 1949 (Optionee) with reference to the following facts: RECITALS 1. Optionee owns a 15.08-acre parcel of land at the southwest comer of Sweetwater Road and Bonita Center Road in National City, California identified as County Assessor's Parcel Number 564-471-11. 2. In 1978, Optionee conveyed to County an easement for open space and park purposes over this 15.08-acre parcel (the Easement). 3. Optionee wishes to purchase the Easement from County. 4. On April 3, 2007, County and Optionee entered into an Option to Purchase Agreement (Option Agreement) setting forth the terms of an option whereby Optionee could purchase the Easement from County. 5. On December 13, 2007, Optionee exercised its option to purchase the Easement, and on March 12, 2008, Optionee and County opened escrow pursuant to the terms of the Option Agreement. 6. Optionee was unable to meet the 90-day deadline for closing escrow and requested that the date for dose of escrow be extended to December 31, 2008. 7. On July 2, 2008, the parties executed the First Amendment, which extended the deadline for close of escrow and the term of the Option Agreement to December 31, 2008. 8. Optionee was unable to meet the December 31, 2008 deadline. Therefore, on October 14, 2008, the parties executed the Second Amendment, which extended the deadline for close of escrow and the term of the Option Agreement to December 31, 2009. 9. Optionee was unable to meet the December 31, 2009 deadline and requested that the deadline for close of escrow and the term of the Option Agreement be extended for an additional year. Therefore, the parties executed the Third Amendment, which extended the deadline for close of escrow and the term of the Option Agreement to December 31, 2010. 1 R7600cwh PkgAut1mrity-NatICitySi tI,Arneudment-OVA 2013 Attachment No. 1 10. Optionee was unable to meet the December 31, 2010 deadline and requested that the deadline for close of escrow and the term of the Option Agreement be extended for an additional year. 11. Optionee was unable to meet the December 31, 2011 deadline and requested that the deadline for close of escrow and the term of the Option Agreement he extended for an additional year. 12. Optionee was unable to meet the December 31, 2012 deadline and requested that the deadline for close of escrow and the term of the Option Agreement be extended for an additional year. AGREEMENT Now, therefore, the parties agree as follows: 1. Optionee shall pay County $1.00 as consideration for this Sixth Amendment. The payment shall be made as specified in paragraph 3B of the Option Agreement. 2. Paragraph 2 of the Option Agreement is amended to read as follows: The term ("Term") of this Option shall be from the Effective Date through December 31, 2013. 3. Paragraph 9C2) of the Option Agreement is amended to read as follows: Close of Escrow; Closing Date. Escrow shall close either on or before December 31, 2013, or five business days after Optionee's notice to County and escrow company requesting to close escrow, whichever is sooner, ("Close of Escrow" or "Closing Date"). The terms "Close of Escrow" and/or "Closing Date" shall mean the date the deeds conveying title to the Easement and title to the Walkway Area are recorded in the Office of the County Recorder of the County of San Diego. [Remainder of this page left blank intentionally.] 2 R7600cwh PkgA ulWray -NatICity SixthAmendment-OPA_2013 Attachment No. 1 4. All other terms and conditions of the Option Agreement remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have executed this Sixth Amendment effective as of the date first written above. OPTIONEE: By: By: RON MORRISON, Chairman Parking Authority of the City of National City LESLIE DEESE, Secretary Approved as to form and legality City Attorney By: Claudia Gacitua Silva, Senior Assistant City Attorney COUNTY OF SAN DIEGO: Approved as to form and legality County Counsel By: By: APRIL F. HEINZE, P.E., Director Mark Mead Department of General Services Senior Deputy County Counsel 3 R7600cwh_P kgAuthority-NatlC ity_S ixthAmendment-OPA_2013 RESOLUTION NO. 2013 — 2 RESOLUTION OF THE PARKING AUTHORITY OF THE CITY OF NATIONAL CITY AUTHORIZING THE CHAIRMAN TO EXECUTE THE SIXTH AMENDMENT TO THE OPTION TO PURCHASE AGREEMENT WITH THE COUNTY OF SAN DIEGO FOR THE PURCHASE OF AN OPEN -SPACE EASEMENT ATTACHED TO A 15.08-ACRE PARCEL TO EXTEND THE TERM FOR ONE YEAR, AND PAY THE COUNTY OF SAN DIEGO $1.00 AS CONSIDERATION FOR THE AMENDMENT WHEREAS, on March 20, 2007, the Parking Authority of the City of National City ("Parking Authority") entered into an Option to Purchase Agreement ("Option Agreement") with the County of San Diego to purchase an open -space easement attached to the 15.08-acre parcel of land located at the southwest corner of Sweetwater Road and Bonita Center Road (Parcel No. 564-471-11) to develop a commercial project; and WHEREAS; on December 13, 2007, the Parking Authority exercised to option to purchase the easement and opened an escrow account on March 12, 2008, pursuant to the terms of the Option Agreement; and WHEREAS, the Option Agreement was subsequently amended in 2008, 2009, 2010, 2011, and 2012, each extending the deadline to close escrow and the term of the Option Agreement for one year; and WHEREAS, the Sixth Amendment to the Option Agreement extends the close of escrow and term of the Option Agreement for one year, to December 31, 2013, and in consideration for the amendment, the Parking Authority agrees to pay $1.00 to the County of San Diego. NOW, THEREFORE, BE IT RESOLVED that the Parking Authority of the City of National City hereby authorizes the Chairman to execute the Sixth Amendment to the Option to Purchase Agreement by and between the Parking Authority of the City of National City and the County of San Diego to extend the close of escrow and term of the Option Agreement for one year, to December 31, 2013, and in consideration for the amendment, the Parking Authority agrees to pay $1.00 to the County of San Diego. ATTEST: PASSED and ADOPTED this 15th day of October, 2013. Leslie Deese, Secretary on Morrison, Chairman 0 ED AS TO FORM: tua Silva Passed and adopted by the Parking Authority of the City of National City, California, on October 15, 2013 by the following vote, to -wit: Ayes: Boardmembers Cano, Morrison, Natividad, Rios, Sotelo-Solis. Nays: None. Absent: None. Abstain: None. AUTHENTICATED BY: RON MORRISON Chairman, Parking Authority LESLIE DEESE Secretary, Parking Authority By: Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of RESOLUTION NO. 2013-2 of the Parking Authority of the City of National City, California, passed and adopted on October 15, 2013. Secretary, Parkins Auto Parking Authori y By: Deputy CITY OF NATIONAL CITY Office of the City Clerk 1243 National City Blvd., National City, California 91950 619-336-4228 phone / 619-336-4229 fax Michael R. Dalla, CMC - City Clerk October 28, 2013 Mr. Carl Harry County of San Diego Real Estate Services Division 5560 Overland Avenue, Suite 410 San Diego, CA 92123 Dear Mr. Harry, On October 15t, 2013, Resolution No. 2013-2 was passed and adopted by the Parking Authority of the City of National City, authorizing execution of Amendment #6 to Option to Purchase Agreement with the County of San Diego. We are forwarding a certified copy of the above Resolution and two partially executed original Amendments. Please return a fully executed original Amendment to us for our files. Michael R. Dalla, CMC City Clerk Enclosures