HomeMy WebLinkAboutRDA 02 EL CAMINO PROJ 03-04-96RDA NO. 2
3-4-96
DATE: MARCH 4, 1996
Inter-Com
TO:
FROM'
SUBJECT:
WILLIAM A. HUSTON, EXECUTIVE DIRECTOR
CHRISTINE A. SHINGLETON; ASSISTANT CITY MANAGER
EL CAMINO REAL PLAZA PROJECT
RECOMMENDATION
Pleasure of the Agency.
FISCAL IMPACT
Any fiscal impacts of the project on the Agency would not be finalized until completion of
negotiations on a Disposition and Development Agreement.
BACKGROUND
The Tustin Redevelopment Agency at a meeting on November 6, 1995, reviewed preliminary
development proposals submitted from a number of developers for the E1 Camino Plaza Project. The
Agency directed staff to work with Vestar/Carlson Development Services and William and Peter
Zappas to determine if any agreement could be reached with these two 'entities for development of
a project on the El Camino Real Plaza site consistent with Agency-defined objectives. In the absence,
of any willingness for both parties to work together, the Agency authorized staff to request additional
clarifications from each proposer.
Staff subsequently met with both entities in late November, and both parties had discussions as well.
On the basis of these discussions, the Agency received letters from both Vestar and Zappas. Mr.
Zappas indicated his belief that a joint venture or sale to Vestar was not possible. In addition, besides
his original request of Agency assistance, he requested Agency acquisition and clearance of 3.5 acres
not under Zappas' ownership. Vestar has indicated that their attempts to come to an agreement with
Zappas were unsuccessful.
Since there was no agreement for a common proposal to be jointlY submitted by Vestar Development
and Zappas, on December 18th Agency staff requested that certain clarifications on each party's
original proposal be submitted by January 1 l, 1996. A response from Vestar on the information
requested was received on January ll, 1996. A response from the Zappas' was received on
February 2, 1996.
Staff has utilized the services of the Sedway Kotin Mouchly Group to examine and comment on the
responses from each proposal and will be prepared to discuss these iss.0es with the Agency at their
meeting on March 4th.