Laserfiche WebLink
REQUEST FOR <br />COUNCIL ACTION <br />CITY COUNCIL MEETING DATE: <br />MARCH 21, 2017 <br />TITLE: <br />EXCLUSIVE NEGOTIATION AGREEMENT <br />AND REIMBURSEMENT AGREEMENT WITH <br />CARIBOU INDUSTRIES INC. FOR THE THIRD <br />STREET AND BROADWAY DEVELOPMENT <br />PROJECT <br />(STRATEGIC PLAN NO. 3, SA) <br />CITY MhNAGER <br />RECOMMENDED ACTION <br />CLERK OF COUNCIL USE ONLY: <br />R»I:T00211i <br />❑ As Recommended <br />❑ As Amended <br />❑ Ordinance on 16' Reading <br />❑ Ordinance on 2nd Reading <br />❑ Implementing Resolution <br />❑ Set Public Hearing For <br />CONTINUED TO <br />yl���llL�if1�:7 <br />Authorize the City Manager and Clerk of the Council to enter into an Exclusive Negotiation <br />Agreement (ENA) with the Reimbursement Agreement (Exhibit 3) for consideration to be executed <br />with Caribou Industries Inc. for the Third and Broadway Development with the Proposed Scope of the <br />Project (Exhibit 1), subject to non - substantive changes approved by the City Manager and City <br />Attorney. <br />DISCUSSION <br />On September 16, 2014, the City Council directed the Planning and Building Agency to release a <br />Request for Qualifications for the Third and Broadway Development Project. On September 18, <br />2014, the Planning and Building Agency issued a Request for Qualifications outlining several <br />components desired by the City Council. Among the components of the new project, there was an <br />expressed desire to see a hotel /hospitality component. Five proposals were received by staff, only <br />one of which, the proposal presented by Caribou Industries Inc., included a hotel component. <br />Subsequently, staff presented the proposals to the Development and Transportation Council <br />Committee, recommending Oliver McMillan as the most qualified developer to develop the site. <br />However, at a later meeting, the Development and Transportation Council Committee directed staff to <br />contact all of the development firms who had submitted proposals and provide them a second <br />opportunity to submit new proposals that would include a hotel component, even as a second phase <br />of the project on the site or on a nearby property. <br />Four of the original development firms resubmitted proposals. Caribou Industries Inc. included a <br />hotel component. Of those four firms, the three other firms maintained their position that the <br />hospitality market in Downtown Santa Ana did not sufficiently support financing and construction of a <br />new hotel and did not include a hotel component in their new proposals. <br />25J -1 <br />