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RA2005/07/12 ANAHEIM, CALIFORNIA ANAHEIM REDEVELOPMENT AGENCY July 12, 2005 The Anaheim Redevelopment Agency met in regular session in the Chambers of the Anaheim City Hall located at 200 South Anaheim Boulevard. Present: Chairman Curt Pringle, Agency Members: Richard Chavez, Lorri Galloway, Bob Hernandez, and Harry Sidhu Staff Present: City Manager David Morgan, City Attorney Jack White, and Secretary Sheryll Schroeder A copy of the agenda for the meeting of the Anaheim Redevelopment Agency was posted on July 8, 2005 at the City Hall exterior bulletin board. At 6:26 P.M., Chairman Pringle called the meeting of the Anaheim Redevelopment Agency to order for a joint session with Anaheim Council. ADDITIONSIDELETIONS TO THE AGENDA: Staff requested Item 1 be removed from the consent calendar to be rescheduled at a future date. PUBLIC COMMENTS: No remarks offered during the joint Agency/Council public comment session related to the Anaheim Redevelopment Agency. CONSENT CALENDAR ITEMS 1 - 3: Item 1 removed from the agenda. Agency Member Hernandez moved to approve the balance of the consent calendar, seconded by Agency Member Sidhu. Roll Call vote: Ayes - 5; Chairman Pringle, Agency Members: Chavez, Galloway, Hernandez, and Sidhu. Noes - O. Motion carried. 1. Approve and authorize the Executive Director to execute the Cooperation 3518 Agreement dated June 1, 2005, between the City of Anaheim, City of Yorba Linda and the Redevelopment Agency for the Savi Ranch/Weir Canyon Traffic Improvements (related to Council Item #20). Item 1 removed from consent calendar by staff, to be rescheduled at a later date. 2. Approve and authorize the Executive Director to execute an Exclusive Negotiation 3569 Agreement with CIM Urban Real Estate Fund, LP, for the purpose of determining the feasibility of developing the Agency-owned site at Anaheim Boulevard and Broadway. 3. Approve the minutes of the regular Agency meeting of June 14 and 21, 2005. ANAHEIM REDEVELOPMENT AGENCY MINUTES July 12, 2005 Page 2 Mayor Pringle reconvened the Anaheim City Council to consider the joint public hearing on the Amended and Restated Disposition and Development Agreement. JOINT PUBLIC HEARING: 4. A joint public hearing to consider an Amended and Restated Disposition and 2793 Development Agreement between the Anaheim Redevelopment Agency, the City of Anaheim and Clean City, Inc. RESOLUTION NO. ARA2005-05, A RESOLUTION OF THE GOVERNING BOARD OF THE ANAHEIM REDEVELOPMENT AGENCY approving an Amended and Restated Disposition and Development Agreement by and between the Anaheim Redevelopment Agency and Clean City, Inc. regarding certain property at the southwest corner of Lincoln Avenue and West Street and making certain environmental findings in connection therewith. Elisa Stipkovich, Community Development Director, stated the Disposition and Development agreement had been previously approved and was returning to Council and the Agency as the economics of the original agreement were not working out. She indicated the revision for Council consideration would commit the developer to invest $1 million in the project. The Agency would then provide a rehabilitation loan of $595,000 and reimburse the developer for any public improvements occurring up to $182,000, would provide the land for the project and carry back a note and deed of trust securing the Agency loan. The loan would be based on a participation in the project and either upon sale or after 25 years, the developer would pay the Agency any net sale proceeds above and beyond the original $1 million investment, and would split the net proceeds 50/50 with the Agency. Ms. Stipkovich recommended support of the project stating it was important for preserving one of the last historic buildings in the City and to serve as the entry into the downtown area as part of the new Five Points Historic District. Chairman Pringle opened the public hearing and invited the applicant and the public to speak. Bill Taormina, Clean City, Inc., provided a summary of the project. He stated the project would contain 4,000 square feet of retail space, two 1,250 foot residential lofts on the second floor, a lighted and fenced parking lot, outdoor seating area for the eastern most portions of the retail space, and a fully landscaped southern edge which would enhance the residences along Center Street so their privacy would not be invaded. He pointed out the Lincoln elevation would feature old-style awnings, blade signs, original stucco finish and original store front windows, and colors and features to replicate the look of the building in 1935. He explained Clean City's mission was to remove an eyesore and preserve the last historic building remaining in Anaheim, to bring back life into an abandoned corner of the City and place another beacon at the western gate of the Colony District. He expressed gratitude for the opportunity to save the building and thanked staff for their efforts over the last three years to figure out a way to save the building. He commented the project was still not profitable but was worthwhile to keep an icon of the City intact. ANAHEIM REDEVELOPMENT AGENCY MINUTES July 12, 2005 Page 3 Joyce Morris, historical district resident, commended Bill Taormina for being the sole developer willing to save the building and give the community a great entryway into the historic district and urged Council's support of the agreement. Ken Chan, historical district resident, also spoke in support of the project pointing to Clean City's successful completion of a similar project at Lincoln and East. Cynthia Ward, president of Anaheim Historical Society, stated the Historical Society was supportive of the project and believed Bill Taormina had proven his capabilities with two previous historical preservation projects. With no other comments offered, Chairman Pringle closed the public hearing. Agency Member Hernandez asked if the two dwelling units in the building were low- income housing and Ms. Stipkovich indicated in the original development agreement they were, but as the economics did not pencil out, the units would be at market rate in this agreement. Agency Member Galloway expressed support for Mr. Taormina's dedication and commitment to historical preservation and moved to approve Resolution No. ARA2005-05 approving an Amended and Restated Disposition and Development Agreement by and between the Anaheim Redevelopment Agency and Clean City, Inc., seconded by Agency Member Chavez. Roll Call vote: Ayes - 5; Chairman Pringle, Agency Members Chavez, Galloway, Hernandez and Sidhu; Noes - O. Motion Carried ADJOURNMENT: There being no further business, Chairman Pringle adjourned the Anaheim Redevelopment Agency meeting at 6:34 P.M. ~~ Sheryll Schroeder, MMC Secretary, Anaheim Redevelopment Agency