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2010/02/23 City Council Resolution 2010-16RESOLUTION NO. 2010-16 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROHNERT PARK APPROVING A COOPERATION, PURCHASE AND SALE AGREEMENT WITH THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF ROHNERT PARK (CDC) FOR ASSESSOR'S PARCEL NUMBER 045 -081 -007 AND AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENT WHEREAS, the City of Rohnert Park (City) owns certain real property located within the Redevelopment Project area boundaries described as Assessor's Parcel Number 045- 081 -007 (Site), located on the west side of Redwood Drive, immediately north of Wilfred Avenue: WHEREAS, the City's General Plan has designated this Site as Regional Commercial (C -R); WHEREAS, on February 13, 2007, the CDC approved the issuance of tax allocation bonds which provided non - housing bonds of $37 million (2007R Bond Series) and housing bonds (2007H Bond Series) of $27 million; WHEREAS, the CDC desires to use 2007R Bond Series Proceeds to purchase the Site from City for subsequent transfer that will further the economic goals of the CDC; WHEREAS, the execution of the Cooperation, Purchase and Sale Agreement is consistent with the CDC's redevelopment plan and is consistent with the intended use of 2007R Bond Series proceeds; and WHEREAS, the one hundred thirty seven thousand, five hundred dollar purchase price ($137,500.00) is within the funding of the 2007R Bond Series. NOW THEREFORE BE IT RESOLVED, that the City Council of the City of Rohnert Park approves the Cooperation, Reimbursement, and Purchase and Sale Agreement and authorizes its execution by the City Manager in substantially the similar form currently of the agreement attached hereto and incorporated herein, subject to any minor, clarify and/or conforming changes as may be approved by counsel. BE IT FURTHER RESOLVED that the City Manager is hereby authorized and directed to sign and execute any and all documents necessary to complete the sale of the property. ATTEST: DULY AND REGULARLY ADOPTED this 23rd day of February, 2010. CITY OF ROHNERT PARK Mayor � 11 1 I19 ty Clerk IV I CACIFORN�p BELFORTE: AYE .BREEZE: AYE CALLINAN: AYE MACKENZIE: AYE STAFFORD: AYE AYES: (5) NOES: (0) ABSENT: (0) ABSTAIN: (0) COOPERATION, . PURCHASE AND SALE AGREEMENT (North -West of Wilfred Ave and Redwood Dr.) This Cooperation, Purchase and Sale Agreement ( "Cooperation Agreement ") is made and entered into on this day of , 2010 ( "Effective Date ") by and between the Community Development Commission of the City of Rohnert Park, a public body corporate and politic ( "Commission ") and the City of Rohnert Park, a California municipal corporation ( "City"). RECITALS A. City has adopted the Rohnert Park Community Development Project ( "Redevelopment Project ") pursuant to the Redevelopment Plan therefor adopted by Ordinance No. 479 of the City Council of City on July 14, 1987 ( "Redevelopment Plan "), as amended, incorporated herein by reference. B. City owns certain real property located within the Redevelopment Project area boundaries at North of Wilfred Ave and West of Redwood Drive, Rohnert Park, California, APN 045- 081 -007 as more particularly described in Exhibit A attached hereto and incorporated by reference ( "Property "). The Property is located in the Redevelopment Project Area. C. Pursuant to. section 33640 et seq. of the California Health and Safety Code, Commission has issued Series 2007 Bonds, net proceeds of which ( "2007R Bond Proceeds ") are anticipated to fund certain public improvements, including certain housing projects, in the Project Area. D. . Commission desires to use the 2007R Bond Proceeds to purchase the Property from City for subsequent transfer in furtherance of Redevelopment Plan goals and in accordance with permitted uses of the 2007R Bond Proceeds. E. Pursuant to their general powers and section 33220 of the California Health and Safety Code, Commission and City desire to enter into this Cooperation Agreement to cooperate in Commission's acquisition of the Property in furtherance of the goals of the Redevelopment Plan, and to set forth the terms and conditions of such acquisition. AGREEMENT 1. Offer to Purchase; Acceptance. Commission hereby offers to purchase the Property under the terms.and conditions set forth in this Cooperation Agreement, and City hereby accepts such offer. 2. Terms. (a) Purchase Price. The purchase price for the Property shall be $137,500 ( "Purchase Price "). The Purchase Price is based on the fair market value appraisal of the Property prepared by The Crocker Company dated May 20, 2009 with a valuation date of May 1, 2009. Attached hereto as Exhibit B and incorporated by reference are appraisal excerpts which address the conclusion of value. (b) Closing. Closing costs shall be paid by Commission. (c) Prorations. Prorations of assessments and other charges attributable to the Property, if any, shall be prorated as of the Closing of Escrow based on a 365 -day year. 3. Escrow and Closing. (a) ' Escrow Account. Commission has opened escrow number 249085 ( "Escrow ") with Stewart Title Co. located at 1101 College Avenue, Suite 100, Santa Rosa, CA 95404, (707) 526 -2000 (Attention: Patti Billing) ( "Escrow Holder ") for conveyance of the Property to Commission. (b) Title Repo . Escrow Holder's title insurer ( "Title Company ") shall deliver to each City and Commission a standard preliminary title report ( "Report ") with respect to the title of the Property, together with legible copies of the documents underlying the exceptions ( "Exceptions ") set forth in the Report. Commission shall have the right to approve or disapprove the Report and any Exceptions. (c) Escrow Deposits. In connection with the Escrow, Escrow Holder has received or shall receive the following: i. From Commission: A. This Cooperation Agreement executed by all parties; B. The Purchase Price in immediately available U.S. funds; C. The Final Closing Statement (defined below); D. An original Certificate of Acceptance duly executed on behalf of Commission and acknowledged in the form of Exhibit D; E. Funds sufficient to pay recording costs, escrow fees, and title insurance premiums pursuant to Section 2(b) hereof; and F. Funds sufficient to pay those prorations, taxes, and other amounts chargeable to, or to be paid by, Commission pursuant to Section 2(c) hereof. 2 ii. From City: A. A duly executed and acknowledged grant deed transferring ownership of the Property to Commission ( "Grant Deed ") in the form of Exhibit C; B. Funds sufficient to pay those prorations, taxes, and other amounts chargeable to, or to be paid by, City pursuant to Section 2(c) hereof. (d) Close of Escrow. Escrow shall close as soon as practicable after satisfaction of the following conditions. If such conditions are not satisfied within 120 days after the Effective Date, Escrow Holder shall return all Escrow deposits to the depositing party and Escrow shall be terminated, except as otherwise mutually agreed by the parties. i. Deposit into Escrow of the foregoing items; ii. Written Commission approval of the Report and Exceptions; iii. Satisfaction of both California Government Code section 65402 and the Surplus Lands Act (California Government Code §§ 54220 et seq.) (collectively, "Government Code Sections "); and iv. Satisfaction of other applicable laws and governmental requirements. (e) Title Insurance. Concurrently with recordation of the Grant Deed, Title Company shall issue to Commission an CLTA owner's policy of title insurance ( "Title Policy "), together with such endorsements as are reasonably requested by Commission, in the amount of the Purchase Price and insuring that title to the Property is vested in Commission. Escrow Holder shall provide Commission with a copy of the Title Policy. (f) Escrow Instructions. This Cooperation Agreement shall serve as joint escrow instructions. The parties may execute supplemental escrow instructions in furtherance of this Cooperation Agreement. 4. Effectiveness. City must satisfy the Government Code Sections before any portion of this Cooperation Agreement becomes fully effective, notwithstanding Council approval of this Cooperation Agreement, or City's and /or Commission's signature hereto. In addition, satisfaction of the Government Code Sections is a condition precedent to execution of the Grant Deed and Close of Escrow. The purchase and sale transaction contemplated under this Cooperation Agreement is categorically exempt from the California Environmental Quality Act, California Public Resources Code sections 21000 et. seq. ( "CE.QA ") pursuant to CEQA guidelines section 15312 (Surplus Government Property Sales). 5. Commission and City Approvals and Actions. Whenever a reference is made herein to an action or approval to be undertaken by Commission, the Executive Director of Commission or his or her designee is authorized to act on behalf of Commission unless specifically provided otherwise or the context should require otherwise. Whenever a reference is made herein to an action or approval to be undertaken by the City, the City Manager of the City or his/her designee is authorized to act on behalf of the City unless specifically provided otherwise or the context should require otherwise. The City Manager and Executive Director shall have the authority to issue waivers and/or enter into amendments to this Cooperation Agreement on behalf of the City and Commission, respectively, so long as such actions do not materially or substantially change the terms of this Cooperation Agreement and such waivers and/or amendments may include extensions of time to perform obligations hereunder. Any other material or substantive waivers of or amendments to this Cooperation Agreement shall require the consideration, action and written consent of the City and Commission. 6. Miscellaneous. This Cooperation Agreement is made and entered into in the State of California and shall be interpreted, construed and enforced in accordance with the laws of the State of California without reference to its choice of laws rules. If any provision of this Cooperation Agreement is declared invalid or is unenforceable for any reason, that provision shall be deleted from the document and shall not invalidate any other provision contained in the Cooperation Agreement. The word "including" shall be construed as if followed by the words "without limitation." This Cooperation Agreement shall be interpreted as though prepared jointly by both parties. Nothing contained herein nor any acts of the parties hereto shall be deemed or construed by the parties hereto, nor by any third party, as creating the relationship of principal and agent or of partnership or of joint venture by the parties hereto or any relationship other than the relationship of City and Commission. Nothing herein is intended to create any third party benefit. Each individual or entity executing this Cooperation Agreement represents and warrants that he or she or it is duly authorized to execute and deliver this Cooperation Agreement on behalf of his, her, or its respective party and that such execution is binding upon such party. The recitals to this Cooperation Agreement and all exhibits attached to this Cooperation Agreement are hereby incorporated by reference as though fully restated herein. This Cooperation Agreement contains the entire and final agreement between the parties hereto, and contains all of the terms and conditions agreed upon, and no other agreements, oral or otherwise, regarding the subject matter hereof shall be deemed to exist or to bind the parties hereto, it being the intent of the parties that neither of them shall be bound by any terms, conditions, or representations not herein written. [Signatures follow on next page] C! IN WITNESS WHEREOF, Commission and City have executed this Cooperation Agreement as of the Effective Date. Dated: ATTEST: Commission Secretary APPROVED AS TO FORM: General Counsel COMMISSION: COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF ROHNERT PARK, a public body corporate and politic By: Name: Dan Schwarz Title: Interim Executive Director [Signature must be notarized] CITY: THE CITY OF ROHNERT PARK, a California municipal corporation Dated: BY: ATTEST: City Clerk APPROVED AS TO FORM: = City Attorney W Name: Dan Schwarz Title: Interim City anager [Signature must be notarized] EXHIBIT A LEGAL DESCRIPTION OF PROPERTY EXHIBIT A LEGAL DESCRIPTION APN 045- 081 -007 All that certain real property situate in the City of Rohnert Park, County of Sonoma, State of California, being a portion of the lands of the CITY OF ROHNERT PARK, a Municipal Corporation, described in that certain Grant Deed recorded June 16, 1988 under Document Number 88048420, being a portion of Lot or farm numbered One Hundred and Sixty -Three (163) of Santa Rosa Farms Subdivision No. 2, as designated on the plat thereof filed in the office of the County Recorder of the County of Sonoma, State of California on March 7, 1910 in Book. 21 of Maps, Page 14, being more particularly described as follows: That portion of said Lot or farm numbered One Hundred and Sixty -Three (163) lying westerly of the westerly right of way of Redwood Drive as said Redwood Drive is shown on that certain map titled RECORD OF SURVEY OF REDWOOD DRIVE REALIGNMENT filed January 18, 1990 in Book 451 of Maps at Page 5 in said office of the County Recorder, said portion being shown on that certain RECORD OF SURVEY filed January 8, 1992 in Book 488 of Maps at Page 20 in said office of the County Recorder and being further described as follows: BEGINNING at the northwesterly comer of said lands; thence southerly, along the westerly line of said lands, South 00 °06'04 "West, 280.23 feet to the. westerly right of way of Redwood Drive, being a point of cusp on a curve concave southeasterly, having a radius of 551.00 feet; thence northeasterly along said westerly right of way from a tangent that bears North 00 106'04 "East, through a central angle of 30 °31'07" an arc distance of 293.49 feet to the northerly line of said lands; thence westerly, along said northerly line, North 89 °34'56 "West, 76.33 feet to the POINT OF BEGINNING. Containing 0.16 acres, more or less. NOTE: This legal description is compiled from record data and is not the result of a field survey. NIL LANDS ti S.7 �a q�OF CpGiF� Date: 1/13 110 Jonathan R. Olin LS 7590 Expires 3/31/10 End of Description EXHIBIT B APPRAISAL EXCERPTS Exhibit B Redwood Drive 2 Rohnert Park C the crockencompany PROPERTY SUMMARY AND CONCLUSIONS OF VALUE GENERAL PROPERTY INFORMATION ► Property Type: Surplus property appraised as vacant commercial land ► Location: ► Address: Assessor's Parcel Number: ► Site Area: Incorporated City of Rohnert Park Redwood Drive Rohnert Park CA 94928 Parcel 1: 045 -081 -007 Parcel 2: 045 -082 -053 Parcel 1: ±6,875 sf Parcel2: ±6,534 sf ► - Zonin.g /General Plan: C -R: Regional Commercial Regional Commercial ► Site Description: The subject comprises two triangularly shaped parcels situated west of Redwood Drive; Parcel 1 is located north of Wilfred Avenue and Parcel 2 is located south -of Wilfred Avenue. ► Improvements- As.ls: The subject sites are improved with curbs and gutters pursuant to City standards. ► Current Use: Vacant land ► Highest and Best Use: The subject parcels are not independently developable as is. Highest and best use is plottage . to adjacent property owners for uses consistent with City of Rohnert Park zoning and land use policies. INTEREST APPRAISED Fee simple OWNER OF RECORD City of Rohnert Park OPINION OF MARKET VALUE AS IS Parcel 1: $137,500 Parcel 2: $130,500 EFFECTIVE DATES Date of Report: ► Date of Valuation /Inspection APPRAISER May 20, 2009 May 1, 2009 Ronald J. Crocker, MAI, SRA M 919- 9,'VCHy of Rohnert ParklVacant Surplus commercial Properly 2 Redwood Drive (2 parcels) Rohnert Park CA 94928 the crocker.company PROPERTY SUMMARY AND CONCLUSIONS OF VALUE CONDITIONS OF VALUE The concluded opinions of market value are conditioned on the standard Statement of Assumptions and Limiting Conditions and Certification, attached, and the following special conditions of value. ❑ The appraiser did not have an opportunity to review recent soils, hydrology or geotechnical studies on the subject property. The concluded opinions of market value are predicated on the extraordinary assumption thatthere are no.soils, hydrology orgeotechnical constraints thatwould adversely impact eitherthe subject's utility and /or market value under the concluded highest and best use. ❑ An Environmental Site Assessment (ESA) for the subject parcels was not provided for this assignment. The concluded opinions of market value are predicated on the extraordinary assumption that there exist neither on the subject. nor surrounding properties any known or unknown soils and /or groundwater contamination; toxic chemicals, toxic wastes, or toxic molds; hazardous, building materials and /or hazardous substance releases of any kind that would adversely impact either the subject's utility and/or market.value under the concluded highest.and best use. ❑ No information was provided to the appraiser regarding the existence of disturbed -seasonal wetlands or endangered species on the subject parcels. The concluded opinions of market value are predicated on the assumption that there are no wetlands /biotic resources, threatened or endangered.. species on the subject or surrounding properties that would adversely impact the subject's utility and /or market value under the concluded highest and best use. ❑ - Material changes, if any, based on supplemental or amended data provided subsequent to the effective valuation date of this report could potentially impact the concluded opinions of value. The crocker.company expressly reserves the right to make such adjustments to the opinions of value as may be required: followin:g.review of such. data- 09-9 19-9&City of Rohnert Park/Vacent Surplus Commercial Property 3 EXHIBIT C GRANT DEED [following two pages] Recording Requested by and After Recordation Mail to: Community Development Commission of the City of Rohnert Park 130 Avram Avenue Rohnert Park, CA 94928 -2486 Attention: Executive Director This document is exempt from the payment of a recording fee pursuant to Government Code § 27383, and exempt from transfer tax per Revenue & Transfer Code § 11922. For valuable consideration, the receipt of which is hereby acknowledged, the CITY OF ROHNERT PARK, a California municipal corporation hereby grants to the Community Development Commission of the City of Rohnert Park, a public body corporate and politic, the real property located in the City of Rohnert Park, California, described in Attachment No. 1 attached hereto. Dated: .2010 CITY OF ROHNERT PARK, a California municipal corporation By: Print Name: Its: [Signature must be notarized] APPROVED AS TO FORM: City Attorney ATTACHMENT NO. 1 LEGAL DESCRIPTION OF PROPERTY Attachment No. 1 LEGAL DESCRIPTION APN 045 -081 -007 All that certain real property situate in the City of Rohnert Park, County of Sonoma, State of California, being a portion of the lands of the CITY OF ROHNERT PARK, a Municipal Corporation, described in that certain Grant Deed recorded June 16, 1988 under Document Number 88048420, being a portion of Lot or farm numbered One Hundred and Sixty -Three (163) of Santa Rosa Farms Subdivision No. 2, as designated on the plat thereof filed in the office of the County Recorder of the County of Sonoma, State of California on March 7, 1910 in Book. 21 of Maps, Page 14, being more particularly described as follows: That portion of said Lot or farm numbered One Hundred and Sixty -Three (163) lying westerly of the westerly right of way of Redwood Drive as said Redwood Drive is shown on that certain map titled RECORD OF SURVEY OF REDWOOD DRIVE REALIGNMENT filed January 18, 1990 in Book 451 of Maps at Page 5 in said office of the County Recorder, said portion being shown on that certain RECORD OF SURVEY filed January 8, 1992 in Book 488 .of Maps at Page 20 in said office of the County Recorder and being further described as follows: BEGINNING at the northwesterly corner of said lands; thence southerly, along the westerly line of said lands, South 00 °06'04 "West, 280.23 feet to the westerly right of way of Redwood Drive, being a point of cusp on a curve concave southeasterly, having a radius of 551.00 feet; thence northeasterly along said westerly right of way from a tangent that bears North 00 106'04 "East, through a central angle of 30 °31'07" an arc distance of 293.49 feet to the northerly line of said lands; thence westerly, along said northerly line, North 89 °34'56 "West, 76.33 feet to the POINT OF BEGINNING. Containing 0.16 acres, more or less. NOTE: This legal description is compiled from record data and is not the result of a field survey. Date: I Z 13 /10 Jonathan R. Olin LS 7590 Expires 3/31A0 End of Description EXHIBIT D CERTIFICATE OF ACCEPTANCE (following one page] CERTIFICATE OF ACCEPTANCE This is to certify that the fee interest in real property conveyed by Grant Deed dated , 2010, from the City of Rohnert Park, a California municipal corporation, as grantor, to the Community Development Commission of the City of Rohnert Park ( "Commission "), a public body corporate and politic, as grantee, is hereby accepted pursuant to authority conferred by Resolution No. of the Commission Board adopted on February 23, 2010, and the Commission, as grantee, consents to recordation of said Grant Deed. Date: , 2010 COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF ROHNERT PARK, a public body corporate and politic LN Name: Judy Hauff Title: Commission Secretary