Item 24 - Joint Public Hearing Adopt Resolution and Approve Purchase and Sale Agreement

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EXHIBIT 5 Prior to the enactment of AB 1484, the Oversight Board of the Successor Agency (Oversight Board) adopted Resolution 2012-09 and directed the Successor Agency to take certain actions related to the inventory of property. Those properties identified as having a governmental purpose/use were approved to be transferred to the City. The Property was identified as a property subject to an enforceable obligation that could be transferred to the City. Maintenance -Access Agreement Following Redevelopment Dissolution, in addition to the Parking Lease Agreement, the Successor Agency entered into a property maintenance license and revocable access easement agreement (Maintenance -Access Agreement) with the current owner of the Builders Exchange Building, Swinerton, on October 11, 2019. The Maintenance -Access Agreement was initially for a three-year period, with automatic annual renewals to allow ingress and egress to the parking lot and access to the Builders Exchange Building. Property Disposition HSC Section 34181 mandates that successor agencies dispose of all assets and properties of their respective redevelopment agencies. In accordance with HSC Section 34181, and with the aim of upholding the Parking Lease Agreement and the Maintenance - Access Agreement, the Successor Agency and the City, as two separate legal entities, are collaborating to transfer ownership of the Property from the Successor Agency to the City through a market rate purchase of $190,000 (Purchase Price). This Purchase Price was established by an appraisal conducted on September 11, 2023 (Appraisal). This transfer will enable the Successor Agency to dispose of the Property while ensuring compliance with the Parking Lease and Maintenance -Access Agreements. REPORTING REQUIREMENTS Due to the funding sources used for its acquisition, as well as the former RDA's ownership of the Property, the proposed conveyance of the Property to the City is subject to the reporting requirements imposed by Section 33433. Specifically, Section 33433 requires the Successor Agency to prepare a report that summarizes the financial terms associated with the disposition transaction for the Property. This Summary Report fulfills the reporting requirements of HSC Section 33433 and is organized into the following sections: I. Salient Points of the Purchase and Sale Agreement. This is a summary of the major responsibilities imposed on the City by the Purchase and Sale Agreement. II. Cost of the Purchase and Sale Agreement to the City. This includes the total cost to the Successor Agency and City associated with executing the Purchase and Sale Agreement (land acquisition costs, clearance costs, relocation costs, improvement costs, and expected interest on any loans or bonds to finance the agreements).