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HomeMy WebLinkAbout09/30/1985 ", -, 8 8 - MINUTES ADJOURNED REGULAR MEETING COMMUNITY REDEVELOPMENT AGENCY SEPTEMBER 30, 1985 The meeting was called to order at 5:46 by Chairman Griset, after which the Agency Secretary read the following statement: "THE LEGAL COUNSEL REQUESTS THAT THE REDEVELOPMENT AGENCY RECESS TO CLOSED SESSION PURSUANT TO GOVERNMENT CODE SECTION 54956.8 TO GIVE INSTRUCTIONS TO THE CITY'S NEGOTIATOR REGARDING NEGOTIATIONS WITH COMET, INC. CONCERNING THE PURCHASE OF THE PROPERTY LOCATED AT MAIN STREET AND OWNENS DRIVE (2706 N. MAIN STREET). The Agency was adjourned to Executive Session at 5:47 P.M. and returned at 5:54 P.M. The Pledge of Allegiance to the Flag was led by Chairman Griset, followed by a moment of silent prayer in memory of Mrs. Weston Walker, who, as Chairman Griset pointed out, was a long-time resident of Santa Ana and had given many years of dedicated service to the City in the field of historic restoration, together with her leadership of the L.I.S.A. organization. After the moment of silent prayer, the roll was called: PRESENT ABSENT Wilson Hart Daniel Griset, Chairman P. Lee Johnson, Vice Chairman R. E. Luxembourger Patricia McGuigan Dan Young John Acosta Others in attendance: Robert C. Bobb, City Manager Rex Swanson, Deputy City Manager/Development Services Edward J. Cooper, City Attorney David N. Ream, Executive Director/Economic Development Robert Hoffman, Real Estate Manager Mellmary McNeely, Agency Secretary PUBLIC HEARING TO ADOPT RESOLUTION 85-44 DIRECTING CONDEMNATION OF PROPERTY WITHIN THE FASHION SQUARE AND KLST REDEVELOPMENT SITES (ASSESSOR PARCEL NO. 002-210-35: 2706 NORTH MAIN STREET) Chairman Griset announced that it was the time and place for the public hearing on the issue of the public necessity to acquire by condemnation properties identifed by Assessor Parcel Numbers, as Book 002, Page and Block 210, Parcel 35, for redevelopment purposes. He then asked staff to identify the properties and the . . 8 I 8 project and to comment on the factors and evidence necessitating the condemnation action and requested that staff set forth why the public interest and necessity require the project; why the project is planned or located in the manner that will be most compatible with greatest public good and the least private injury; why the properties sought to be acquired are necessary for the project; and, whether or not the offers as required by Section 7267.2 of the Government Code have been made to the owners of record, or the offer has not been made because the owners cannot be located with reasonble diligence. The Real Estate Manager addressed the Agency and stated that the property is located behind or westerly of 2700 North Main Street at 2706 North Main Street. He added that it is a 1.72 acre site which is improved with a parking lot and that the property is owned by Comet, Inc., Gordon Howard, President. He added that the public interst and necessity require the property for the following reasons: 1. The Agency has entered into an Owner Participation Agreement with Santa Ana Venture, dated May 15, 1984 and that the subject property is includes in this agreement with Santa Ana Venture for redevelopment and in an Owner Participation Agreement with KLST Partnership, Inc. which was executed by the Agency on August 5, 1985. 2. The aforementioned Owner Participation Agreements provide for the redevelopment and expansion of the Fashion Square Shopping Center and the redesign of the parking for the Fidelity Federal Building, 2700 North Main Street, and the subject property is required for both purposes and the extension of Broadway into the property. 3. The owner will receive just compensation for the taking of this property. The Real Estate Manager stated that the project is planned and located, purusant to hearings previously held by the Redevelopment Commission, the Planning Commission, the City Council and the Redevelopment Agency. He added that the project will provide commercial uses for the area and will represent a redevelopment of the property; thereby, generating increased commercial and office spaces, hotel rooms, employment and additional tax base for the citizens of Santa Ana. He pointed out that an offer of just compensation had been made to the owner of the property in accordance with Section 7267.2 of the Government Code. He added that a negotiated settlement had been reached with the owner but that staff would like to proceed with the condemnation of the property in the event that something might occur which would prevent the closure of the escrow on the property. Chairman Griset then invited anyone wishing to address the Agency -2- I 8 8 on the issue to come to the podium and give their name and address and to limit their comments to five minutes and to please identify to which property their comments would pertain. He asked that everyone keep in mind that the requirements of Section 12345.235 of the Code of Civil Procedure required that comments should only address the following four issues: 1. Whether the public interest and necessity require the project; 2. Whether the project is planned or located in the manner that will be most compatible with the greatest public good and the least private injury; 3. Whether the properties sought to be acquired are necessary for the project; or 4. Whether an offer as required by Section 7267.2 of the Government Code, has been made to the owner of record. There being no one who wished to address the Agency, Chairman Griset declared the public hearing closed and called for questions and/or a motion. In response to questions from Mr. Luxembourger, the Executive Director/Economic Development stated that all of the businesses affected by this condemnation have been relocated and that demolition of the buildings is scheduled for October 10,1985 It was then moved by Mrs. McGuigan, seconded by Mr. Luxembourger and carried unanimously (6:0) that the Agency Adopt Resolution 85-44: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING AND DIRECTING THE CONDEMNATION OF CERTAIN REAL PROPERTY LOCATED AT 2706 NORTH MAIN STREET IN THE CITY OF SANTA ANA FOR REDEVELOPMENT PURPOSES, AND DECLARING THE PUBLIC NECESSITY THEREFOR. CONTRACT FOR APPRAISAL OF FIXTURES AND EQUIPMENT - McDONNELL DOUGLAS AND SANTA FE DEVELOPMENTS In response to questions from Mrs. McGuigan, the Executive Director/Economic Development stated that staff had a list of approximately 15 appraisers which were used by staff for most of the appraisal work done by the Agency and that, when there was a contract for an appraisal to be let, quotes were solicited from this list of appraisers, with staff selecting the quote which seemed most appropriate to the job. In response to questions from Mr. Johnson, the Executive Director/Economic Development stated that several of the people who had been present at a prior public meeting would be impacted if the properties to be appraised were condemned. He added that, at this time, only the fixtures and equipment of the properties -3- I I 8 would be appraised so that staff would know the value of these properties if the question of condemnation should arise. He stated that all of the people involved in this proposed appraisal of fixtures and equipment had been contacted. He added that there would be additional meetings with the property owners before any further action, beyond these appraisals, was taken. In response to questions from Mrs. McGuigan, the Exectuive Director/Economic Development stated that the letter which was sent to the property owners prior to the other public meeting was to explain that the Agency would not be taking the entire parcel but just a portion on the front of the parcel, as stipulated in a participation agreement between Santa Fe and the Agency. He added that the Agency's agreement with Santa Fe did not involve these properties but that staff had been in negotiations with McDonnell Douglas and that it had been found that these properties might be involved and that, for this reason, staff sought to have the fixtures and equipment appraised. After further discussion, it was moved by Mrs. McGuigan, seconded by Mr. Johnson and carried unanimously (6:0) that the item, "Contract for Appraisal of Fixtures and Equipment - McDonnell Douglas and Santa Fe Developments" be continued to the meeting of October 15, 1985. AGENCY AGENDA ITEMS - PROPERTY OWNED BY COMET, INC. ( 2706 NORTH MAIN STREET At the request of the City Attorney, it was moved by Mrs. McGuigan, seconded by Mr. Luxembourger and carried unanimously (6:0) that the Agency authorize the Chairman to execute the Agency's standard escrow for acquisition of the property owned by Comet, Inc., 2706 North Main Street, in the amount of $950,000, subject to receipt of written confirmation of approval by KLST, Inc. ADJOURNMENT Chairman Griset adjourned the meeting at 6:12 P.M. to the next regularly scheduled meeting of the Agency on October 15, 1985 at 5:30 P.M. ~ 4~ Rex Swanson, Executive Director Daniel E. Griset, Chairman -4-