09/16/1986 - Laserfiche WebLink

Home Browse Search

Assessor Parcel Number 144-262-01, commonly known as 3700 West McFadden Avenue. The property is a 22.6 acre parcel of land, currently improved with a drive-in theatre featuring Spanish speaking films and a weekend swap meet. The present improvements, constructed in the late 1950's, consist of a single outdoor projection screen and ~ ancillary improvements. The property is owned by Masako Nakamura and leased to Pacific Theatres under a long-term lease which has 72 years remaining on the lease term. The proposed project is for the development of a promotional retail center consisting of approximately 253,000 square feet, which will be anchored by a 100,000 square foot HOME DEPOT. The center will also include a pavillion-type store, a major soft goods tenant and other typical retail stores. The public interest and necessity is demonstrated by the fact that the proposed development, upon its completion, will generate approximately $200,000 per year in annual tax increment revenues from the $26 million development of the real property. The project will generate approximately $610,000 in sales tax revenues in its first year of full operation. These sales tax revenues are anticipated to increase to approximately $963,636 in the tenth year of operation of the center. The project will provide a major source of employment opportunities for the residents of Santa Ana and the general population of the County, both during the construction phase of the project and during the ensuing years of its life. The greatest public good is derived by the increase in the tax . increment revenues generated by the proposed project. These tax increment revenues would be utilized within the North Harbor Redevelopment Project Area. The least private injury is shown in the fact that the proposed project affects only one parcel of real property, which affects one fee ownership interest and one leasehold interest, and just compensation will be paid for these interest. The property sought to be acquired is necessary for the proposed project. It is the only parcel in the proposed project, and it is also the only property which is under-utilized and under-developed of this size, 22.6 acres, in the area which will provide the necessary size to ensure the project's su<cess. An offer of the fair market value as established by an independent appraiser has been presented to both the owner of the real property and the lessee as required by Section 7267.2 of the Government Code. I would like to incorporate by reference the memorandum of this date from the Acting Executive Director of the Community Development Agency to the Deputy City Manager for Development." The City Attorney pointed out that the staff memorandum, dated . September 16, 1986, stated in the second paragraph, fifth sentence, "that condemnation would be ref1uired if such an agreement could not be achieved." He stated t at this was not the case and then read Section 702 from the Agreement between the Agency and Schurgin Development Corporation which contained the phrase that "nothing will be construed to require eminent domain". He added that the Agency could not adopt a Disposition and Development Agreement requiring an eminent domain action. 3