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HomeMy WebLinkAboutAGENDA REPORT 2021 1201 CCSA REG ITEM 10GCITY OF MOORPARK, 
 CALIFORNIA City Council Meeting of December 1, 2021 ACTION APPROVED STAFF RECOMMENDATION BY K. Spangler. G. (SUCCESSOR AGENCY) Consider Second Amendment to Exclusive Negotiating Agreement with Quail Capital Investments, LLC for 15404 Princeton Avenue Property (APN 513-0-024-105, -135). Staff Recommendation: Approve Second Amendment to Exclusive Negotiating Agreement with Quail Capital Investments, LLC subject to final language approval of the Executive Director, and authorize Executive Director to execute the agreement. (Staff: Jessica Sandifer, Community Services Manager) Item: 10.G. SUCCESSOR AGENCYTO THE REDEVELOPMENT AGENCY OF THE CITY OF MOORPARK AGENDA REPORT TO: Honorable Successor Agency Members FROM: Jessica Sandifer, Community Services Manager DATE: 12/01/2021 Regular Meeting SUBJECT: Consider Second Amendment to Exclusive Negotiating Agreement with Quail Capital Investments, LLC for 15404 Princeton Avenue Property (APN 513-0-024-105, -135) BACKGROUND The Redevelopment Agency of the City of Moorpark (“Agency”) acquired the property at 15404 Princeton Avenue as a relocation site for the J.E. Clark fueling station located on High Street. The relocation of the fueling station was not approved by the Planning Commission and the relocation project did not move forward. Since then, the Redevelopment Agency attempted to find development partners for the site. However, prior to any development partners being identified for the property, the Agency was dissolved pursuant to AB X1 26 (”Dissolution Act”), as upheld and modified by the Supreme Court in California Redevelopment Association, et al. v. Ana Matosantos, et al. (53 Cal.4th 231(2011)). As part of the dissolution process, the City of Moorpark elected to become the Successor Agency of the Redevelopment Agency of the City of Moorpark (Successor Agency). The Successor Agency was required by the Dissolution Act to prepare a Long Range Property Management Plan (“LRPMP”) addressing the disposition of real properties acquired by the former Redevelopment Agency. The LRPMP provides that the Property identified in the LRPMP as Property No. 6, APN 513-0-024-105, -135 (15404 Princeton Avenue) will be retained by the City of Moorpark (“City”), provided that the City pays compensation to the taxing entities. Subsequent to Department of Finance approval of the LRPMP, it was determined that the property on Princeton was purchased with the Agency’s 2006 Tax Allocation Bond (TAB) proceeds. The bond funded status of the property does not allow the City to purchase the property and requires that any proceeds of the sale be returned to the Bond fund or treated in accordance with the Bond covenants. In December 2020, the Successor Agency approved an Exclusive Negotiating Agreement (ENA) with Quail Capital Investments to allow for negotiation of a Purchase and Sale Agreement. On January 14, 2021, the City Manager signed the First Amendment to the ENA to allow for a change in the escrow company associated with the transaction. Item: 10.G. 192 Honorable Successor Agency 12/01/2021 Regular Meeting Page 2 DISCUSSION Staff is still negotiating a Purchase and Sale Agreement with Quail Capital Investments, LLC. The ENA is due to expire on 12/22/2021, and staff is recommending extending the ENA for another six months to allow for the Purchase and Sale Agreement negotiations to be concluded, and for Oversight Board approval to be obtained. FISCAL IMPACT There is no fiscal impact from signing the ENA. The ENA provides that all City costs associated with the ENA period would be reimbursed by the Developer. COUNCIL GOAL COMPLIANCE This action is consistent with City Council Strategy 1, Goal 1, Objective 5 (1.5): “Dispose of applicable former Moorpark Redevelopment Agency owned properties.” STAFF RECOMMENDATION Approve Second Amendment to Exclusive Negotiating Agreement with Quail Capital Investments, LLC subject to final language approval of the Executive Director, and authorize Executive Director to execute the agreement. Attachment: Amendment to Exclusive Negotiating Agreement 193 AMENDMENT NO. 2 EXCLUSIVE NEGOTIATING AGREEMENT This Amendment No. 2 to the Exclusive Negotiating Agreement between the Successor Agency of the Redevelopment Agency of the City of Moorpark, a California Successor Agency created and existing pursuant to California Health and Safety Code Section 34170 et seq. (the “Successor Agency” or “Seller”) and Quail Capital Investments, LLC, a Delaware limited liability company (“Developer”), (“Agreement”), is made and entered into on this ___ day of ____________________, 2021. RECITALS WHEREAS, on December 22, 2020 the Successor Agency and Developer entered into an Exclusive Negotiating Agreement (ENA); and WHEREAS, on January 14, 2021, the Successor Agency and Developer amended the ENA to substitute a different title and escrow company; and WHEREAS, the Successor Agency and Developer now desire to amend the ENA to extend the term for six months to June 22, 2022 and document said agreement to amend by jointly approving Amendment No. 1 to the Agreement NOW, THEREFORE, it is mutually agreed by and between the parties to the Agreement as follows: I. The ENA term shall be extended from December 22, 2021 to June 22, 2022, unless further extended by the Successor Agency Board. III. Remaining Provisions: Except as revised by this Amendment No. 2, all of the provisions of the Agreement shall remain in full force and effect. [signatures next page] ATTACHMENT 194 Amendment No. 1 to Exclusive Negotiating Agreement between Successor Agency and Quail Capital Investments, LLC. Page 2 In Witness Whereof, the parties hereto have caused this Amendment to be executed the day and year first above written. SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF MOORPARK DEVELOPER Quail Capital Investments, LLC _______________________________ _______________________________ Troy Brown Executive Director Michelle Thrakulchavee Vice-President Attest: _______________________________ Ky Spangler Agency Secretary 195