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RA1979/10/2379 -125 ANAHEIM REDEVELOPMENT AGENCY October 23, 1979, 1:00 P.M. Council Chamber Anaheim City Hall PRESENT: AGENCY MEMBERS: Overholt, Kaywood, Bay, Roth and Seymour ABSENT: AGENCY MEMBERS: None PRESENT: DEPUTY CITY MANAGER: James Ruth CITY ATTORNEY: William P. Hopkins SECRETARY: Linda D. Roberts EXECUTIVE DIRECTOR: Norman J. Priest REDEVELOPMENT MANAGER: Susan Schick Chairman Seymour called the regular meeting of the Anaheim Redevelop- ment Agency to order. MINUTES Approval of minutes was deferred to the next regular meeting. FINANCIAL DEMANDS AGAINST THE ANAHEIM REDEVELOPMENT AGENCY in the amount of 173,368.41, in accordance with the 1979 -80 Budget, were approved. 161.123: FIRST AMENDMENT TO NEGOTIATION AGREEMENT, HARRY ZEV IN : In accordance with action taken by the Redevelopment Agency-at their regular meeting held October 16, 1979, Mrs. Kaywood offered Resolution No. ARA79 -103 for adoption. Refer to Resolution Book. RESOLUTION NO. ARA79 -103 A RESOLUTION OF THE ANAHEIM REDEVELOPMENT AGENCY APPROVING THE TERMS AND CONDITIONS OF THE FIRST AMENDMENT TO A NEGOTIATION AGREEMENT WITH HARRY ZEVIN. (45 -day extension of time) Roll Call Vote: AYES: AGENCY MEMBERS: Overholt, Kaywood, Bay, Roth, Seymour NOES: AGENCY MEMBERS: None ABSENT: AGENCY MEMBERS: None Chairman Seymour declared Resolution No. ARA79 -103 duly passed and adopted. 161.123: FIRST AMEND MENTS TO NEGOTIATION AGREEMENTS, DAVID S. COL AND ROBERT J. DRABKIN, AND WILLIAM BRASHEARS Executive Director Norman J. Priest reported that since agreements for Exclusive Rights to Negotiate with David S. Collins and Robert J. Drabkin, and with Dr. William Brashears were approved, the parties have worked 79 -126 ANAHEIM REDEVELOPMENT AGENCY, OCTOBER 23, 1979, 1.00 P.M. together concerning their proposed developments for Redevelopment Parcels 8, 9 and 10. He recommended that 180 -day extensions of time to said agreements be granted to Messrs. Collins and Drabkin for a portion of Parcel 10, and to Dr. William Brashears for Parcels 8, 9 and a portion of 10. Mr. David S. Collins submitted for Agency review copies of the large site plan posted on the Council Chamber wall and advised that some changes had been made to their plans for a portion of Parcel 10. A compromise had been reached with Dr. Brashears per- taining to the area involved and after coordinating their plans with an economic study of the project, the only problem they foresaw was the current interest rates for financing. Mr. Mark Botich representing FTC Company, the architectural firm for the project, advised that although the parcel under considera- tion was slightly smaller than originally presented, the elements were essentially the same. The realignment of Clementine and Lemon Streets was taken into consideration, and their project would be oriented directly west of the new City Hall on Anaheim Boulevard. A 300 -room hotel with administration, bank, restaurant and parking facilities was projected on the site backing onto Lemon Street, and the old Carnegie Library building was shown in place as a future museum. Three major accesses to the property were shown on the site plan from Anaheim Boulevard, Broadway and Lemon Street. Also depicted were a 22 -story mercantile building, a 4 -story office building with shops on the first two floors, a 2 -story building housing retail shops, a 40-to 43 -unit condominium structure, and a 400 -car parking facility. There would be pedes- trian access within the development and a pedestrian bridge- access to City Hall. Responding to question by Mr. Roth, Mr. Collins advised that Lemon Street had originally been projected to be omitted within the project area, but as a result of working together with Dr. Brashears, it was currently projected that Lemon and Clementine Streets both be realigned to become one street. At this point, it was their position that they would proceed with the assumption that the Pickwick Hotel would be eliminated from its location on Anaheim Boulevard. It was not their intent to develop the project in phases, however the dinner -house on Broadway might be somewhat delayed pending reloca- tion of the existing U.S. Post Office. For the record, Chairman Seymour pointed out that during discussions at a liaison committee meeting with the developers, he had indicated to Mr. Collins that if a firm project were to be developed which would preclude the Pickwick Hotel, then the Agency would consider the removal of the structure. 79 -127 ANAHEIM REDEVELOPMENT AGENCY, OCTOBER 23, 1979, 1:00 P.M. In answer to a question by Mrs. Kaywood, Mr. Botich reported that there would be a total of 1,320 parking spaces provided in the underground parking projected for the hotel. Mr. Bay commented on the extent of progress which had been made during the past six month term of the agreement and suggested that, if an extension were granted, status reports be furnished to staff on a monthly basis so that the Agency would be kept informed. He particularly expressed concern about financing for the project. Mr. Collins pointed out that their plans had reached culmination only three weeks previously, and there had not been time for finan- cial arrangements to be completed. He stated that discussions had been initiated with Mr. Dusek of the Pickwick Hotel concerning his possible participation in the development, and he would be included in the project if possible. Mr. Seymour offered Resolution No. ARA79 -104 for adoption, author- izing a 180 -day extension of time to Exclusive Right to Negotiate Agreement with David S. Collins and Robert J. Drabkin on a portion of Redevelopment Project Alpha Parcel 10, subject to the provision that monthly progress reports be furnished to the Redevelopment Staff and Agency. Refer to Resolution Book. RESOLUTION NO. ARA79 -104 A RESOLUTION OF THE ANAHEIM REDEVELOPMENT AGENCY APPROVING THE TERMS AND CONDITIONS OF A FIRST AMENDMENT TO AGREEMENT FOR EXCLUSIVE RIGHT TO NEGOTIATE WITH DAVID S. COLLINS AND ROBERT J. DRABKIN. Roll Call Vote: AYES: AGENCY MEMBERS: Overholt, Kaywood, Bay, Roth and Seymour NOES: AGENCY MEMBERS: None ABSENT: AGENCY MEMBERS: None The Chairman declared Resolution No. ARA79 -104 duly passed and adopted. Mr. Priest further reported that Dr. William Brashears had requested a 180 -day extension of time to the Exclusive Right to Negotiate Agreement for Lots 8, 9 and a portion of 10, and proposed an exten- sion of the area contained in said agreement to include United California Bank property at the northeast corner of Broadway and Harbor Boulevard. It was recommended that the extension of time be approved. 79 -128 ANAHEIM REDEVELOPMENT AGENCY, OCTOBER 23, 1979, 1 P.M. Dr. William Brashears addressed the Agency advising that their proposed development of Redevelopment Lots 8, 9 and a portion of 10 originally included a 185,000- square foot office building, however, research in marketing and the dynamics of Anaheim had indicated that the presently proposed structure of over 400,000 square feet would be feasible. This would constitute the first phase of their proposed total project; a major brokerage firm had been engaged to handle leasing, with a trailer to be installed on the site upon approval. He submitted photographs for review, advising that financing for the project was progressing well, and they were in the process of documenting necessary paper work with a major insurance company. In reply to question by Mr. Roth, Dr. Brashears advised that sub- stantial progress had been made during negotiations with the Regional Vice President of United California Bank for development of their portion of the project. He called attention to the "Gann Initiative ",Proposition 4,being submitted to the electorate at the November 6, 1979 Special Election, and expressed concern as to the effect on the Agency if said Initiative is passed. Mr. Priest advised that in that event, it could mean that little or no tax increment funds would flow to the Redevelopment Agency. Public financing of the proposed parking structure through a park- ing district or parking authority was being considered. Mr. Randy Bosch of Dan Rowland & Associates, Architects, submitted brochures of a master site plan and floor plans for the property, which depicted an 11 -story office building at the northeast corner of Broadway and Harbor Boulevard, an adjacent 5 -story glass atrium serving as the major entrance, a twin 14-story tower at the northwest corner of Lemon Street and Broadway, and a 26 -story office with dinner restaurant along Broadway, an 18 -story hotel along Harbor Boulevard, and a parking structure which was relocated to Broadway as a result of negotiations with Messrs. Collins and Drabkin. In reply to a question by Mrs. Kaywood, Mr. Bosch reported that they had been approached by several hotels interested in the Harbor Boulevard portion of the property in question. He noted considera- ation being given as to the feasibility of two hotels in the area, being of the opinion that the economics would have to be justified before development would proceed. Mr. Seymour offered Resolution No. ARA79 -105 for adoption, author- izing a 180 -day extension of time to the Exclusive Right to Nego- tiate Agreement with Dr. William Brashears on Redevelopment Project Alpha Lots 8, 9 and a portion of 10, subject to the provision that 79 -129 ANAHEIM REDEVELOPMENT AGENCY, OCTOBER 23, 1979, 1.00 P.M. monthly progress reports be furnished to the Redevelopment Staff and Agency. Refer to Resolution Book. RESOLUTION NO. ARA79 -105 MENT AGENCY APPROVING THE MENT TO AGREEMENT FOR EXC BRASHEARS. Roll Call Vote: AYES: AGENCY MEMBERS: NOES: AGENCY MEMBERS: ABSENT: AGENCY MEMBERS: A RESOLUTION OF THE ANAHEIM REDEVELOP - TERMS AND CONDITIONS OF A FIRST AMEND - LUSIVE RIGHT TO NEGOTIATE WITH WILLIAM Overholt, Kaywood, Bay, Roth and Seymour None None Chairman Seymour declared Resolution No. AR.A79 -105 duly passed and adopted. ADJOURNMENT There being no further business to come before the Anaheim Redevelopment Agency, Mrs. Kaywood moved to adjourn. Mr. Overholt seconded the motion. MOTION CARRIED. ADJOURNED: 1:37 P.M. LINDA D. ROBERTS,.-SECRETARY