HomeMy WebLinkAboutRDA 02 DDA UTT JUICE 07-01-02AGENDA REPORT
RDA 02
07-01-02
MEETING DATE: JULY 1,2002 400-10
TO:
FROM:
SUBJECT:
WILLIAM A. HUSTON, EXECUTIVE DIRECTOR
REDEVELOPMENT AGENCY STAFF
EXCLUSIVE AGREEMENT TO NEGOTIATE A DISPOSITION AND DEVELOPMENT
AGREEMENT (DDA) FOR THE UTT JUICE PROPERTY ON THE SOUTHWEST
CORNER OF MAIN STREET AND PROSPECT AVENUE
SUMMARY
Agency approval is requested to enter into exclusive negotiations for an Agency-owned site in the
Town Center Project Area. The Agency, by law, may enter negotiations with private developers
and property owners seeking to develop projects in Redevelopment Project areas that are
consistent with the goals and objectives of the Agency.
RECOMMENDATION
It is recommended that the Redevelopment Agency authorize the Executive Director or Assistant
Executive Director to execute an Exclusive Agreement to Negotiate between the Tustin
Community Redevelopment Agency and Pelican Center LLC.
FISCAL IMPACT
The action at this time will have a negligible fiscal impact on the Redevelopment Agency. If the
negotiations result in a Disposition and Development Agreement (DDA), the fiscal impact of such
an agreement will be discussed if Agency approval of a DDA is requested in the future.
BACKGROUND/DISCUSSION
In February 1998 the Agency solicited qualifications and interest for the development of the
property located at 191,193 and 195 Main Street, which was being acquired by the Agency using
its eminent domain authority. Formerly the site of the Utt Juice Company, the site is vacant and
in need of substantial renovation. Since April 1998, the Agency has solicited proposals from
private developers and entered negotiations with three separate development companies for the
redevelopment of the property for retail and office uses, which have been unsuccessful. Most
recently, exclusive negations with the Tokin Group turned to evaluating the proposed inclusion of
residential units to a mixed used project, however the negotiations failed to come to a satisfactory
conclusion. After termination of discussions with the Tokin Group on May 31, 2001, staff
contacted a highly qualified developer who had previously expressed an interest in developing a
mixed use development with a for-sale residential component. Subsequently, Agency staff
discussed a site development program and non-binding business terms with the developer to
serve as the framework for exclusively negotiating a DDA for the redevelopment of the Utt Juice
William A. Huston
Exclusive Agreement to Negotiate: Utt Juice Property
July 1,2002
Page 2
property. At this time, staff is recommending the Agency enter exclusive negotiations with
Pelican Center LLC. Pelican Center LLC has comparable experience in urban mixed use
development and revitalization efforts in downtown districts which include integration of residential
condominiums in the projects. They received the 2002 California Redevelopment Agency award
of excellence in the category of Mixed Use Development for Plaza Almeria, a 42-unit
condominium and 36,000 square feet retail project located in downtown Huntington Beach.
Attached is a summary of their experiences. Also attached is a proposed Exclusive Agreement to
Negotiate between the Redevelopment Agency and the Pelican Center LLC (Developer). The
Agreement commits the Agency to negotiating in good faith with the intent of entering into a
Disposition and Development Agreement (DDA) for the redevelopment of the Utt Juice property.
It does not commit the Agency to any expenditure of funds nor does it commit the Agency to
providing financial assistance at this time. Agency staff will seek specific Agency negotiating
direction in any financial discussions. If, after negotiating in good faith, the Agency and developer
fail to reach a DDA, neither party is liable to the other.
The Exclusive Right to Negotiate will allow the developer to proceed in completing preliminary
design drawings, detailed economic and cost evaluations, and allow him to begin serious
discussions on the necessary financing for the project.
The Exclusive Agreement to Negotiate provides for a 90-day negotiating period, which can be
extended for 60 days if a DDA has been prepared by the Agency and executed by the developer
but not yet approved by the Agency Board, or for 30 days if, in the determination of the Executive
Director, the major business terms of a DDA and Ground Lease have been reached, or by mutual
agreement of the Agency and the developer. In furtherance of the negotiation process, the
developer shall prepare and submit to Agency staff the following documents and perform the
following acts with the following time periods:
· Identification of all developer agents and other authorized participants in the proposed
project within 10 days after execution of the Agreement;
· Identification and qualifications for project architect, engineer and related development
consultants within 15 days after execution of the Agreement;
· Demonstration of financial capacity and capability to perform its obligations under the
Agreement within 30 days after execution of the Agreement;
· Preliminary design drawings and related documents for the proposed project within 60
days after execution of the Agreement
· Financing plan and economic projection for the proposed project including source and
availability of equity capital and project financing within 60 days after execution of the
Agreement;
· Draft Disposition and Development Agreement within 90 day following the execution of the
Agreement unless extended for additional time as may be permitted by the
Redevelopment Agency.
William A. Huston
Exclusive Agreement to Negotiate: Utt Juice Property
July 1, 2002
Page 3
FINDING OF BENEFIT
This site is located in the Town Center Project Area. On March 6, 2000 the Tustin Community
Redevelopment Agency adopted a five-year Implementation Plan for the Town Center and
South/Central Redevelopment Project areas for fiscal years 2000-2001 through 2004-2005. The
Implementation Plan was composed of two parts, a five-year plan for Redevelopment activities
and a five-year plan for housing activities. Anticipated accomplishments and expenditures for the
five-year period included the rehabilitation of substandard and deteriorating structures to improve
building conditions, increase functionality and desirability, and to integrate design characteristics
with the aim of creating a cohesive commercial district in the Town Center Project Area.
The proposed project is consistent with the Implementation Plan for the Town Center Project
Area. It will remove a blighting influence in the Project Area by rehabilitating or clearing existing
improvements that are characterized by substantial deferred maintenance and developing a
commercially viable mixed retail and office project. It is anticipated that the proposed project
would bring new commercial uses to the Tustin Historic Old Town District and stimulate economic
development activity in the Project Area.
If financial assistance is provided for this project through a DDA, Agency staff will prepare and
present for the Agency consideration a resolution making the required legal findings.
Christine A. Shingleto~/
Assistant City Manager
Attachments
rda report~Jul 1 Tillotson Utt Juice ENA Report.doc
EXCLUSIVE AGREEMENT TO NEGOTIATE
THIS EXCLUSIVE AGREEMENT TO NEGOTIATE ("AGREEMENT") is made this
day of , 2002, by and between the TUSTIN COMMUNITY
REDEVELOPMENT AGENCY ("AGENCY") and PELICAN CENTER, LLC, a California Limited
Liability Company ("DEVELOPER"). Each of the Agency and Developer are sometimes referred
to as the "Party" and collectively as the "Parties."
The Parties entered
understandings, and intentions:
into this Agreement on the basis of the following facts,
A. The Agency is a public body, corporate and politic, exercising govemmental
functions and powers and organized and existing under the Community Redevelopment Law of
the State of California (Health and Safety Code Sections 33000 et s.e.,.o,.).
B. The Agency desires to encourage and effectuate the redevelopment of certain real
property (the "Site") owned by the Agency located in the Town Center Redevelopment Project
Area of the City of Tustin in furtherance of the Agency's revitalization efforts, and which consists
of that certain real property which is depicted on the "Site Map" attached hereto as Exhibit A and
incorporated herein by reference. To this end, the Agency desires to negotiate a Disposition and
Development Agreement (DDA) to have the Developer construct a mixed commercial retail, office
and residential live-work condominium project on the Site.
C. The Developer desires to acquire from the Agency an approximately 0.98-acre
Site, which currently contains approximately 6,200 square feet of improvements located at 191,
193, and 195 Main Street and the adjacent vacant land located along Prospect Avenue to Third
Street.
D. The Developer desires to negotiate a DDA that involves rehabilitating,
reconstructing, or clearing the existing improvements, and developing an approximately 13,000
square feet mixed commercial retail and office project and approximately 12 flex-live-work retail
residential condominiums (hereinafter referred to as ("Project").
E. The Developer represents that it has the necessary expertise, experience, and
financial capability to undertake the development contemplated herein.
F. The Developer represents and agrees that its acquisition of the Site and its other
undertakings pursuant to this Agreement are and shall be used for the timely redevelopment of
the Site and not for speculation in land holding.
G. The Parties desire, for the period set forth herein, to negotiate diligently and in
good faith the terms and conditions of a DDA which will specify rights, obligations and method of
participation of the Parties with respect to development of the Site.
NOW THEREFORE, and in consideration of the recitals above and the mutual covenants
hereinafter contained, the parties agree as follows:
1.0 NATURE OF NEGOTIATIONS
1.1 ~
The Parties agree that for the period set forth in Section 2 and provided that
Developer or Agency is not in default on any of the obligations under this Agreement, the Parties
will negotiate in good faith with respect to a DDA to be entered into between the Parties for
development of the Project on the Site.
1.2 Essential Terms
The rights and obligations of the Agency and Developer's dghts and obligations
shall be as specifically set forth in the DDA and shall include without limitation the following:
a. Design of the Project, subject to approval rights of the Agency and compliance
with all requirements and regulations of the City of Tustin ("City"), including without limitation,
applicable zoning.
b. Construction of improvements comprising the Project, the completion of which
shall be (i) guaranteed by Developer upon terms mutually agreeable to the Parties, and (ii) free of
mechanics' liens and liens other than those respecting the financing of the acquisition of the Site
and the development of the Project.
c. Operation and maintenance of the Project.
d. Restrictions on transfer of the Project, Developer's interest in the DDA and
control of Developer.
e. Reimbursement to the Agency of costs incurred in connection with the DDA and
the Project.
f. Agency financial assistance to the Project.
g. Security to assure Developer's performance under the DDA.
h. Developer will assume the full and complete responsibility to make all
investigations of surface and subsurface conditions as may be necessary or appropriate and to
evaluate the suitability of the Site for the development. The Agency on behalf of itself and on
behalf of the City does not make any representations or warranties conceming the Site, its
suitability for the use intended by Developer, or the surface or subsurface conditions of the Site.
2.0 pERIOD OF NEGOTIATION
The Parties agree to negotiate for a period of ninety (90) days from the date this
Agreement is signed by the Agency, and this Agreement shall terminate after the expiration of
such period unless extended by the Agency Board as follows:
a. For sixty (60) days if a DDA has been prepared by the Agency's Executive Director
and executed by Developer and has been submitted to the Agency but has not yet been approved
by the Agency Board; or
b. For thirty (30) days if the major business terms have been agreed to and the
Executive Director determines that further negotiations are likely to result in a written DDA; or
c. For such additional time by mutual written agreement of the Parties.
Upon termination of this Agreement, any interest that Developer may have under this
Exclusive Agreement to Negotiate shall cease and Agency shall have the right to thereafter deal
with the Site as it shall determine in its sole discretion.
Developer understands and acknowledges that if negotiations culminate in a DDA, such
DDA and shall be effective only after and if the DDA has been considered and approved by the
Agency Board after all related public hearings as required by law and the Developer performs
such conditions as required in the DDA to be performed before the DDA may become effective.
3.0 PLANS.. REPORTS. STUDIES AND INVESTIGATION.q
Developer shall provide the Agency, without cost or expense to the Agency, copies of all
plans, reports, studies, or investigations (collectively, "Plans") prepared by or on behalf of
Developer with respect to the Site and the Project. All Plans shall be prepared at Developer's sole
cost and expense. If this Agreement is terminated for any reason other than a material breach or
default hereunder by Agency, the Agency may request that Developer, for consideration to be
mutually agreed, transfer ownership rights to any or all Plans identified by the Agency, but under
no event shall the cost to the Agency exceed five hundred dollars ($500.00). Upon such request,
Developer shall deliver to the Agency copies of all Plans requested by the Agency together with a
bill of sale therefor, which Plans shall thereupon be the sole property of the Agency, free of all
claims or interests of Developer or any other person or entity. Upon the Agency's acquiring title to
any or all of the Plans, the Agency shall be permitted to use, grant, license or otherwise dispose of
such Plans to any person or entity for development of the Site or any other purpose; provided,
however, that Developer shall have no liability whatsoever to the Agency or any transferee of title
to the Plans in connection with the use of the Plans. Agency shall within five (5) business days of
execution of this Agreement and at no cost to Developer, provide Developer with copies of all
plans, reports, studies, investigations and other materials the Agency may have that are pertinent
to the Site and/or development of the Project provided however that Agency makes no
representations, warrantee or guarantee regarding the completeness or accuracy of such plans,
reports, studies, investigations and other materials.
4.0 DEVELOPER'S RESPONSIBILITIE.~
During the period of negotiation, Developer shall prepare and submit to the Agency the
following documents and perform the following acts, all in furtherance of the negotiation process:
4.1 Status Reoort~
Developer agrees to make oral and written reports advising the Agency and/or its
staff of all matters and studies being made, including Developer's progress in analyzing the
feasibility of the Project, as may be requested by the Agency or its staff.
4.2 Development Team
Developer shall within ten (10) days of execution of this Agreement submit in
writing to the Agency full disclosure of the names of Developer's agents, authorized negotiators,
professional employees, or other associates of Developer who may be participants in
development of the Project, and other relevant information concerning the above such as
addresses, telephone numbers, employers. Developer shall also designate and submit in writing
to the Agency the names of all Developer's lead negotiators, who shall have authority to make
decisions on behalf of the Developer. Developer shall within fifteen (15) days of execution of this
Agreement submit for approval by the Agency's Executive Director, at his sole discretion, the
name(s) and qualifications statement of the proposed architect and related consultants for the
Project.
4.3 Financial Status
Developer shall demonstrate to the Agency the financial capacity and capability to
perform its obligations under this Agreement, the DDA. Developer's most recent financial
statement and the financial statements of its key principal or principals shall be submitted to the
Agency within thirty (30) days of execution of this Agreement. To the extent Developer wants
such financial statements to remain confidential, Developer shall identify with specificity the
documents which the Developer wants the Agency to maintain as confidential documents and a
statement of the reasons why such documents are to be maintained as confidential documents,
and a statement as to why the request is consistent and complies with the provisions of the Public
Records Act of the State of California. If confidentiality is requested and if nondisclosure under
the Public Records Act is allowed, the statements shall be delivered to and maintained by the
Agency Counsel and copies not disseminated. To the extent permitted by law, the Agency,
including Agency Counsel, shall not make public disclosure of the statements. The Agency's
negotiators and consultants may review the statements as necessary as long as such parties
agree to maintain the confidentiality of such statements.
If Developer determines to joint venture or partner development of the Site, or if Developer
determines to form a new legal entity to develop the Site, Developer shall promptly inform the
Agency of such determination and submit to Agency joint venture's or partner's most recent
financial statements and the financial statements of its key principals. The assignment of
Developer's rights under this Agreement, the new entity, partnership or joint venture may be
approved in wdting by the Agency, provided the Agency, at its sole discretion, is satisfied that the
new entity, partnership, or joining venture has the financial capability to perform under this
Agreement and the DDA.
4.4 Design Review
It is understood and agreed to by Developer that the quality, character, and uses
proposed for the Project are of particular importance to the Agency and that planning and design
review approval by the Agency and the City will be required for the development of the Site.
Developer and the proposed architect shall meet with representatives of the Agency and the City
to review and come to a clear understanding of the planning and design criteria required by the
Agency and the City. Within sixty (60) days after the date of this Agreement, Developer shall
submit for approval of the Agency preliminary design drawings and related documents containing
the overall plan for development of the Developer's Project including the following: preliminary site
plan, floor plans, preliminary materials call-outs and conceptual building rendering.
4.5 Financino Plan/Economic Proiection
Within sixty (60) days after the date of this Agreement, Developer shall submit a
financing plan and economic projection for the Site. The financing plan shall include a detailed
statement about the overall costs of construction and the source and availability of equity capital,
acquisition, development and construction financing. The economic projection shall estimate the
market demand and income to be derived from the Project and shall include a pro forma
statement of the Project's financial return adequate to enable the Agency to evaluate the
economic feasibility of the proposed development of the Project.
4.6 Additional Information
Developer understands and agrees that the Agency's negotiating team reserves
the right at any time to request from Developer additional information, including information, data,
and commitments to ascertain the depth of Developer's capability and desire to develop the Site
expeditiously. The Agency's negotiating team will provide a reasonable time in which Developer
may obtain and submit to the Agency such additional information.
4.7 Contacts Durina Neaotiations
Developer shall only negotiate with the Agency's negotiating team as defined in
writing by the Executive Director and with no other persons unless expressly authorized to do so
by the Agency's negotiating team. During the period of negotiations, Developer shall make no
statements to the media without the approval from the Executive Director. Developer's failure to
comply with the provisions of this Section shall be conclusive evidence that Developer has not
"negotiated in good faith."
During the period of exclusive negotiation, Agency covenants and agrees to
negotiate exclusively with Developer and shall not solicit another party for the Project or enter into
any agreement with any other party regarding the development of the project or any portion
thereof. Agency acknowledges and agrees that but for this exclusivity, Developer would not have
entered into this Agreement. In the event a court of competent jurisdiction determines in a final
decision that the Agency has breached this exclusivity covenant, Agency shall be deemed to have
failed to negotiate in good faith and providing a DDA has not been entered into pursuant to this
Agreement, Developer shall, in addition to other rights and remedies, be entitled to the return of
the good faith deposit and any other deposits made by the Developer.
5.0 M/~,RKET ~AND OTHER STUDIES
5.1 Market Studies
Market and such other studies as the Agency's Executive Director deems
appropriate or necessary for completion of the Section 33433 Report identified in section 7.2 of
this Agreement shall be prepared by or on behalf of the Agency to consider and analyze the
financial impact of the proposed development under the DDA. The Agency shall, at its sole cost
and discretion, select the consultant(s) to perform said studies and shall enter into contracts with
the selected consultants. The Agency shall, at its sole discretion, have the right to direct said
consultant(s) and its staff(s) and to terminate the contract of any consultant which the Agency
believes is not adequately or objectively performing its obligations under said contract. Developer
shall cooperate with the Agency and its selected consultant(s) in responding to any information
requested.
5.2 Environmental Studies
The Agency's preparation of environmental studies including, but not limited to, an
Environmental Impact Report if deemed necessary in accordance with the California
Environmental Quality Act ("CEQA") is a legal precondition to the final Agency action of approving
and executing the DDA. The Developer shall cooperate with the Agency and abide by the
Agency's environmental compliance procedures, and fee requirements, which include but are not
limited to, the obligation to deposit funds to pay all of the Agency's costs of preparing the required
environmental studies. Agency's costs hereunder shall be paid from funds allocated by Agency to
Developer to develop the Project.
6.0 GOOD FAITH DEPOSIT
Prior to the execution of this Agreement by the Agency, Developer shall submit to the
Agency a good faith deposit in the sum of ten thousand dollars ($10,000) in the form of a certified
cashier's check or other form of security acceptable to the Executive Director to ensure that
Developer will proceed diligently and in good faith to negotiate and perform all of Developer's
obligations under this Agreement. If the deposit is in cash or a certified cashier's check, it shall be
deposited in an account in a bank or trust company selected by the Executive Director. Interest, if
any, shall be added to the deposit and held as additional secudty for Developer's obligations
hereunder. If the Parties enter into a DDA within the time period identified in Section 2.0 of this
Agreement or any extension thereto, the Agency shall return the deposit to Developer. If the
Parties fail to enter into a DDA within the time period identified in Section 2.0 of this Agreement or
any extension thereto, the Agency may retain the deposit only if Developer has not negotiated
diligently or in good faith or has not carried out its obligations under this Agreement. Developer's
failure to submit to the Agency plans, reports, studies, investigations, and materials specified in
Sections 3.0 and 4.0 of this Agreement within the time periods specified therein shall be deemed
to demonstrate Developer's failure tO negotiate diligently and in good faith and its failure to carry
out its obligations hereunder. If Developer has failed to do so, inasmuch as the actual damages
which would result from a breach by Developer of its obligations under this Agreement are
uncertain and would be impractical or extremely difficult to determine, the Agency shall be entitled
to retain the entire original amount of said deposit plus interest, if any, which has accrued thereon,
as liquidated and agreed damages.
Developer may terminate the Agreement in the event that during the course of the investigations
and evaluation of the Site and Project, it determines in good faith that the Project is not feasible or
financeable. Agency shall return the deposit to Developer upon termination of the Agreement in
the event Developer has negotiated in good faith hereunder and materially complied with the
terms hereof.
By their respective initials set forth below, the Agency and Developer acknowledge and
agree that forfeiture of the original amount of the deposit (together with any interest earned and
accrued thereon) is not in lieu of any other relief, right or remedy to which the Agency might be
entitled by reason of Developer's default.
Initials: D ve~o~~r ~
Developer Agency Executive Director
7.0 MISCELLANEOUS
7.1 Real Estate Commissions. The Agency shall not be liable for any real estate
commission, finder's fee, or any broker's fees which may arise from this Agreement. The Agency
represents that it has engaged no broker, agent, or finder in connection with this Agreement, and
Developer agrees to hold the Agency and its representatives harmless from any losses and
liabilities arising from or in any way related to any claim by any broker, agent, or finder retained by
Developer regarding this Agreement or development of the Project, or purchases/sale of other
property at the Site.
7.2 No Aoencv Duty
Except as expressly provided above, the Agency shall have no obligations or
duties hereunder and no liability whatsoever in the event the Parties fail to timely execute a DDA.
Developer understands and acknowledges that the Agency presently owns the Site
and that as a condition precedent to approval of a DDA, Agency is required under Section 33433
of California Redevelopment Law to make a finding by resolution after a public hearing that the
consideration received by the Agency from the Developer for the Site under the DDA is not less
than the fair reuse value of the property at the use and with the covenants and conditions and
development costs authorized by the sale or lease.
Developer acknowledges and agrees that the Agency, as of the execution hereof,
has not agreed to fund, subsidize, or otherwise contribute in any way toward the development of
the Project. The Agency's financial and other involvement in the Project will be established by the
DDA, if at all. Any financial participation by the Agency as established in the DDA will be
determined by the Agency, in its sole and absolute discretion, based upon such factors such as
market conditions, density of development, cost of development and/or rehabilitation of the
Project, risks associated with development of the Project, estimated or actual revenues and profit
to be derived from the Project, public purposes associated with development of the Project, and
other matters relevant to establishing the fair market value of the Project to be developed, the
financial requirements of Developer respecting its acquisition of the Site and development of the
Project and the financial benefit to be derived by the Agency from development of the Project.
By its execution of this Agreement, the Agency is not committing itself or the City to
or agreeing to undertake: a) any disposition of land to Developer; or b) any other acts or activities
requiring the subsequent independent exercise of discretion by the Agency, the City, or any
agency or department thereof. The Parties recognize that one or more of the conditions to
Developer's proposal set forth herein may fail to be met as a result of subsequent studies,
reviews, and proceedings involving the exercise of discretion by the Agency, the City, or any
agency or department thereof.
This Agreement does not constitute a disposition of property or exercise of control
over property by the Agency or the City and does not require a public hearing. Execution of this
Agreement by the Agency is merely an agreement to enter into a period of exclusive negotiations
according to the terms hereof, reserving final discretion and approval by the Agency and the City
as to any DDA and all proceedings and decisions in connection herewith.
10
7.3 Non-liability of Agency Officials and Employees
No member, official, representative, director, staff member, attorney, or employee
of this Agency shall be personally liable to Developer or any successor in interest, in the event of
any default or breach by the Agency or for any amount which may become due to Developer or to
its successor, or on any obligations under the terms of this Agreement.
7.4 Public Hearinos and Compliance
If the negotiations hereunder culminate in Developer and Agency's Executive
Director concurring on the terms and provisions of a DDA, such DDA will be considered for
approval by the Agency only after all required public hearings have been held and after
compliance with all applicable laws and ordinances. The Agency's Executive Director's
concurrence with the terms and provisions of a proposed DDA under any provision of this
Agreement shall not be construed or interpreted as Agency approval or acceptance of such terms.
Such concurrence shall be viewed as nothing more than the Executive Director's willingness to
recommend to the Agency Board that the Agency Board approve such terms.
7.5 Entire Aoreement: Attorneys Fees
This Agreement represents the entire agreement of the Parties with respect to the
matters set forth herein and supersedes any prior negotiations or contemporaneous writings or
statements. This Agreement may not be amended except in writing signed by both of the Parties
hereunder. If either Party brings an action or files a proceeding in connection with the
enforcement of its respective rights or as a consequence of any breach by the other Party of its
obligations hereunder, then the prevailing Party in such action or proceeding shall be entitled to
have its reasonable attorneys' fees and out-of-pocket expenditures paid by the losing Party.
7.6 Covenant Aoainst Discrimination
Developer shall not discriminate against nor segregate, any person, or group of
persons on account of sex, race, color, age, marital status, religion, handicaps, creed, national
origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of
the Site, nor shall Developer establish or permit any such practice or practices of discrimination or
segregation in the selection, location, number, use or occupancy of tenants, lessees, subtenants,
3_3_
sublessees or vendees of the Site.
7.7 Notices
All notices required or permitted hereunder shall be delivered in person, by
overnight courier, or by registered or certified mail, postage prepaid, return receipt requested to
such Party at its address shown below, or to any other place designated in writing by such Party.
Agency:
Tustin Community Redevelopment Agency
300 Centennial Way
Tustin, California 92780
Attention: Assistant Executive Director
Developer:
Pelican Center, LLC
15272 Bolsa Chica Road
Huntington Beach, CA 92649
Attention: John H. Tillotson
Any such notice shall be deemed received upon delivery, if delivered personally,
one (1) day after delivery to the courier, if delivered by courier, and three (3) days after deposit
into the United States mail, if delivered by registered or certified mail.
IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first
above written.
Dated: AGENCY
Tustin Community Redevelopment Agency
By:
William A. Huston
Executive Director
Approved as to form:
Lois Jeffrey
Agency Counsel
DEVELOPER:
Pelican Center LLC, a California limited liability
Company
By:
Tillotson
Daniel Howse
Member
JD\TownCenterProject\UttJuice~Jul 1 ENA.doc
3_3
i, ·
CRA
2002
Mixed-Use Development
Redevelopment Agency of the City of Huntington Beach
Plaza Almeria
In 1982, the Huntington Beach downtown core was showing signs
of physical and economic deterioration due to long-deferred
maintenance. Many of the buildings were obsolete, deteriorating and
structurally unsound. Their facades were weathered, cracked and
suffered from soil contamination and
storm and sewer systems.
the lost its social vitality and had become a
In 1983, the Redevelc
'Main-Pier
redevelopment plan and bega'n t, he revitalizing Third
"~BJ6ck~...~ . West a~d.it's~ ,- neighboring.. . ',i i . e Agency.had~.
.~u~red ten:pamels on a wdhng'seller, bas=. The remaining thre~ :'..."?'
parcels required eminent domain to gain"{~l site control.in 1995~,
After the legal snares of the last property acquisitions' and the' ' .:.
:i~r~v. ir0~rn~..ntal remediation of two Browi~field pa~'~hat~ha~,.,:.~"
'p'revi0usl~ been gas stations, the Agency could r~.W deliv~r~[~ ~ 3-
~rcel con--ted block to JT Development Con'any, LLC ,.'-.~'?/
,- .,.. ,',, . ~ ,'~'.¥ ~,~..' , , ,..,'~-
· , ~., ,, .. . . . ...,,,.. :~;. ,.:.',.
~ ,ts co~!,o..n.~,,.the~7 m,lhon ~-~loped and renam .e~.~,~...
i~..,Jia:~.a~lm~~00 squa...m~t ~' retail and restaurant
..... <,.!: ~. .:~. .:~ ,.. ..... ~,%?, .~. ~¢~:.. . . .,. . .
space alor~~:. ~t ffontag~,l~),O00 squa~t of,~..
--,',~ '. ~-~,: ~'Z: . ~; .~', .~, ,-,:, ,,:,,,'~"~',~;. ~ ~'~', ,~,. :~ ' ,'~ .
space above. Ar~,.er ~§ SCl, ~~,.tS.ailoted t~,~i~''
'.~lediterranean ViJ~nhomes and associated parking structures·
Perhaps mOSt i~ntly ho~er, is the sense of energy and pride
that Plaza~l~'e~ r~sto~:;~{~ the downtown community.
28 ORANG[: ~. O. L., N 7 Y' HOME HOME TOUP
A SPANISH INFLUENCE
Plaza Almeria, which n]can~. "mirror of thc
sea." was named for i~s simiiaritie~ m thc town
of Almeria near the Costa del Sol on thc south.
urn coast of Spain. The plaza's Spanish
Moorish-influenced architectural design~
include ~urrcts, wrought ircm balconies, open
air plazas and archways c'ovcred with vines.
Building malerials had to bc true ~ thc
Spanish-~tyle archi~ecturu, said developer lohn
Tillotson. Labor-imcnsivc. hand.trowcicd stuc
cu give> thc buikting's cx:crior a smooth
appearance, like many Sitnta Barbara homes.
hc explained, t:aurteen.f~ol.high, custom
wret~gh~ iron gates, weighing 1.500 pounds
each. cnhanct' thc Main Su'cc~ entrance '.o
Plaza Almcria.
"These are replicas ~f work done hundred-
of years ago in Europe. which gives it an Old
World f~e]." 'Fillo~son said. ()lher fine detail
lng includes an cxteri{~r tile wainscot.
mahogan5 window ca,Jags and two.~or~ date
palms surrounding three ~icle~ ,ff the building.
"! wanted it t~'> ttx>k like il wa> built !00
years ago. btn ~hnl il'~ modcrn and welt main.
mined," he said.
Thc opm-air, common areas encourage
triendships among residents, t.p ~o 25 peopie
ga~her a~ thc tbuntain ~:rca every Friday at O
p.m. to watch the ~unse~.
SUNSETS
ON THE BEACH
· 'l'.~cn th~,ugh v,u u:cd to linc near ~hc hcaci~. ~. hard
ix wcn~ ,t,.m'r thcrc." Margk' Btmtcn ~aid. "Now c~crx
vxcn:ng wc ~t'ilJk tJ~,wn 1(., th~' pier alld watch Ibc >un,ct.
LIVING ABOVE
THE SHOP
leanne and ferry Holdem ma.,,'
have the shortest commute in
Orange Coung'. The couple, who
live in a villa at Plaza Almeria with
their l l-year-old daughter, walk
down two flights of stairs to their ice
cream simp to work.
"We decided when we moved
from Colorado last February - no
freeway driving." leanne said.
Although the smell of their
brownies and waffle cones wafts
through the plaza, she says it's easy
to escape the ice cream shop and
demands of being a business owner.
"You just get into the stairway
and you're away from it," she said.
. .
· .Plaza Almeria Interior . Orange Ave. '!t
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Paring Olive Ave. M~fl ~t. Grand entD' --- ~ ............... Third floor residential
CAROLYN SANDERSON/OCR k,~,GAZ;N[ S
....
A UNIQUE MULTIUSE PROJECT",.."'...:':.: .... i:.:'i"- '.'.,..-'-:-':;'.:':'i.i..,.'~:':'.
· .. ,.. .. '., :.? :,;.'::~I,,~'..~. :.,'.. ' . .. :........: .:
City. 1Ning is not a typical Orange County lifestyle. But that
W~s lohn Tillot~on's vision 12 y~r~ when he designed a multiuse
project -with residential, commercial and retail components -
'in downtown Huntington Beach.
As part of the city's redevelopment plan, the two-acre com-
mercial site occupying an entire block bordered by Main,
.orange, Olive and 5th .streets would be torn down and rebuilt.
T'fllotson's Company, ].T. Development. received the right from
the city to build his .vision .'in 1990. Enormous obstacles and
changes to the original plan delayed construction until
September 1998.
"You probably won't see anything like this again in Orange
County," TiIlotson said. "It was very difficult to conceive, design
and build: everything is self-contained."
In this compact site, Tillot~on pla~d.~.'O~,..O gl'U~ if.e~t ~f..':
· · "." ""~; '".' ~':':'." ,, '.;.":' ~2 '.:~;'-', ..' '!. ',
reta~ and ~mmercml.~a~,:42. ~den~~.~n~g~p~ei,.~... :.
from 1,690 to 2,900 square f~t;':a~.d~u~~
175 cars. "It all has to be Use~frie~y,?.:?:~; ...~ . . . ". '":.t~
~e n~ concept a~m*a
. ·; ,' .. :' '~ · ' v ..." ..;.~,..' ~ · ," ' ;. .' .',' :'.;,.
former profomonal .at~ete~..:.~ ~bu~o~ ::0~e~. ' ~or :m~. ".
resi~nts, Plaza ~me~:~..~',".~~t':.t~id*h~,.F°r'' '~'.
others it's a vamfion hm~' Oh~:~'f.'{[~'d~';p~thou~: i~:':ffie '
owner's fifth home. Each penthohse; ~l[:~nd'townhouse comes.
~th a privme balcony or patio. Prims ~an~d fram 8300,000:t~ '
the high 8600,000s. Only one tw~bedroom townhouse rem~ns
for sale at 8490.990.
"From the sn-eet you would never know there,s a iiffie vilh~
up ~ere," Tillotson said.
~, C M E T O U R N O V £ M B F R ; D E C [ M B E R 2 0 0 0 33