ARA-2006-005
RESOLUTION NO. ARA -2006-005
A RESOLUTION OF THE ANAHEIM REDEVELOPMENT AGENCY
APPROVING A DISPOSmON AND DEVELOPMENT
AGREEMENT (RETAIL SPACE) BY AND BETWEEN THE ANAHEIM
REDEVELOPMENT AGENCY AND CIM URBAN REAL ESTATE FUND, LP
REGARDING CERTAIN REAL PROPERTY IN THE
MERGED REDEVELOPMENT PROJECf, AND MAKING CERTAIN
FINDINGS IN CONNECTION THEREWITH
WHEREAS, the Anaheim Redevelopment Agency (the "Agency") is engaged in activities
necessary to carry out and implement the Redevelopment Plan for the Agency's Alpha Project (the
"Project"); and
WHEREAS, the Agency owns an existing retail project in Downtown Anaheim, within the
area bordered by Center Street Promenade, Anaheim Boulevard, Broadway and Harbor Boulevard
(the "Site"); and
WHEREAS, the Agency and the Developer desire to enter into a Disposition and
Development Agreement (the "DDA''), pursuant to which the Parties set forth the terms and
conditions relating to (i) the Agency's sale of the Site to the Developer, 'eii) the fulfillment by
Developer of the Developer Obligations (as dermed in the DDA), and (iii) the imposition of certain
restrictions on adjacent properties; and
WHEREAS, the Developer has submitted to the Agency and the City Council of the City of
Anaheim (the "City Council") copies of the DDA in a form executed by the Developer; and
WHEREAS, pursuant to Section 33433 of the Community Redevelopment Law (California
Health and Safety Code Section 33000, et seq.), the Agency is authorized, with the approval of the
City Council after a duly noticed public hearing, to sell the Site pursuant to the Redevelopment Plan
upon a determination by the City Council that the sale of the Site will either assist in the elimination
of blight or provide affordable housing for low and moderate income persons, that the consideration
for such sale is not less than either the fair market value or fair reuse value of the Site in accordance
with the covenants and conditions governing the sale and the development costs required thereof, and
that the sale is consistent with the Implementation Plan which has been adopted by the Agency for
the Project; and
WHEREAS, the City Council has previously determined, in its adoption of the ordinance
approving the Project, that the Site was blighted, mcluding substandard structures, serious grade
problems, structural deterioration and poor maintenance and that, notwithstanding the prior
development of the Site as a retail project, the economic viability of the Site is hindered by the
current configuration, given present market conditions, and, therefore, remains blighted; and
WHEREAS, the DDA would provide for the elimination of such blighting conditions by
providing for the construction and re-Ieasing of the Site; and .
DOCS0C/92749Sv6I022621-0108
WHEREAS, the purchase price for the Site payable under the DDA is not less than the fair
market value of the Site, as determined by the fair market value analysis of the DDA which has been
performed by the Agency's financial consultants; and
WHEREAS, the Agency has adopted an Implementation Plan for the Project pursuant to
Health and Safety Code Section 33490, which identifies goals and objectives including eliminating
substandard structures and eliminating physical and economic deficiencies; and
WHEREAS, the Implementation Plan sets forth a program of actions which include
improving public facilities and infrastructure, upgrading and expanding commercial programs, and
expanding retail programs; and
WHEREAS, the DDA will assist the Agency in meeting the goals and objectives set forth in
the Implementation Plan and the program of actions by the re-tenanting and completion of the
Developer Obligations; and
WHEREAS, a joint public hearing of the Agency and City Council on the proposed DDA
was duly noticed in accordance with the requirements of Health and Safety Code Sections 33431 and
33433, and the proposed DDA, and a summary report meeting the requirements of Health and Safety
Code Section 33433, was available for public inspection prior to the joint public hearing consistent
with the requirements of Health and Safety Code Section 33433; and
WHEREAS, on August 8, 2006, the Agency and City Council held a joint public hearing on
the proposed DDA, at which time the City Council and Agency reviewed and evaluated all of the
information, testimony, and evidence presented during the joint public hearing; and
WHEREAS, all actions required by all applicable law with respect to the proposed DDA
have been taken in an appropriate and timely manner; and
WHEREAS, pursuant to the California Environmental Quality Act ("CEQA'') the Agency
has certified a Final Subsequent Environmental Impact Report on November 23, 1976 by Resolution
No. ARA 76-38, a Supplemental EIR for Project Alpha Parcel 10 on September 6, 1983 by
Resolution 83-35, a Subsequent EIR for Parcel 8 and 9 on November 8, 1983 by Resolution No.
ARA 83-83, an Addendum for Koll Anaheim Center on January 9, 1990 by Resolution Nos. ARA
90-1 and 90R-13, and an Initial Study and Trip Generation Analysis on March 8, 1994, by Resolution
Nos. ARA 94-2 and 94R-31; and
WHEREAS, the DDA is within the scope of one or more of the projects analyzed under the
foregoing environmental documents, and (a) approval of the DDA does not constitute a substantial
change in those previously analyzed projects that will require .major revision of the CEQA
documentation prepared therefor due to the involvement of new significant environmental effects, or
a substantial increase in the severity of previously identified significant effects; (b) approval of the
DDA does not constitute a change in the circumstances under which those previously analyzed
projects are to be undertaken which will require major revisions of the previous CEQA
documentation due to the involvement of new significant environmental effects or a substantial
increase in the severity of previously identified significant effects; (c) there is no new information of
substantial importance which was not and could not have been known at the time the previous CEQA
documents were certified as complete or adopted that shows the previously analyzed projects will
have any significant effects not discussed in such previous CEQA documents. or will have
DOCS0Cl92749Sv6I022621-0108
2
substantially more severe effects than were discussed in the previous CEQA documents; or that
mitigation measures or alternatives which would substantially reduce one or more significant effects
thereof, which were previously found infeasible, would in fact now be feasible; and (d) there are no
mitigation measures or alternatives different from those previously considered that would
substantially reduce one or more significant effects of the projects, which the proponents. refuse to
adopt; and
WHEREAS, to the extent that completion of the Developer Obligations will require the
processing and approval of land use entitlements and permits, such land use entitlements will, to the
extent necessary under CEQA and the CEQA Guidelines (14 California Code of Regulations sections
15000 et seq.), be subject to further CEQA analysis; and
WHEREAS, the City Council has duly considered all terms and conditions of the proposed
DDA and believes that the redevelopment of the Site pursuant thereto is in the best interests of the
City of Anaheim and the health, safety, and welfare of its residents, and in accord with the public
purposes and provisions of applicable state and local laws and requirements.
NOW, THEREFORE, BE IT RESOLVED by the Anaheim Redevelopment Agency as
follows: .
1. The Agency finds and determines that, based upon substantial evidence provided in
the record before it, the consideration for the Agency~s sale of the Site pursuant to the terms and
conditions of the DDA is not less than the fair market value.
2. The Agency hereby finds and determines that the sale of the Site pursuant to the
DDA will eliminate blight within the Project by providing for the proper reuse and redevelopment of
a portion of the Project which was declared blighted for the reasons described above.
3. The Agency hereby finds and determines that the DDA is consistent with the
provisions and goals of the Implementation Pl~ and the Redevelopment Plan.
4. . The Agency hereby fmds that the DDA is within the scope of one or more projects
previously analyzed pursuant to CEQA as set forth above, and that therefore the approval of the
DDA is exempt from further CEQA analysis pursuant to Public Resources Code section 21166 and
CEQA Guidelines Section 15162 (14 California Code of Regulations ~ 15162). The Agency further
finds and resolves that, to the extent required by CEQA, any land use entitlements and pennits
required in conjunction with the implementation of the Developer Obligations shall be subject to
further analysis under CEQA.
5. The Agency hereby approves the DDA, and authorizes and directs the Chairman of
the Agency to execute the DDA on behalf of the Agency. A copy of the DnA when executed shall
be placed on file in the office of the Agency Secretary. The Executive Director of the Agency, or
designee, is authorized to implement the DDA and take all further actions and execute all escrow
documents and other documents which are necessary or appropriate to carry out the DDA.
8. The Agency hereby directs Agency staff to prepare and file a Notice of Exemption
pursuant to CEQA which states that the approval of the DDA is within the scope of one or more
projects previously analyzed pursuant to CEQA, and therefore is exempt from further CEQA
analysis.
3
DOCS0C/92749Sv6I022621-0108