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2015_0511_CCPacket
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2015_0511_CCPacket
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6/3/2015 2:33:31 PM
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5/7/2015 1:57:48 PM
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�►� <br />�►.-�._ <br />REQUEST FOR COUNCIL ACTION <br />Department Approval <br />V `�� �.� <br />Date: May 11, 2015 <br />Item No.: 14.b <br />City Manager Approval <br />Item Description: Request by the Community Development Department for an approval of a <br />Predevelopment Agreement with the Greater Metropolitan Housing <br />Corporation (GMHC) for the Dale Street Fire Station Site <br />BACKGROUND <br />As a result of the recent approval of the Purchase Agreement with the Roseville Housing and <br />Redevelopment Authority (HRA) for acquisition of all of the lots in the redevelopment area, the <br />City Council is now the entity that must enter into the various legal documents with GMHC <br />required to redevelop this property. <br />The first step in the process is the approval of a Predevelopment Agreement (Attachment B) <br />which allows the developer to undergo the process of due diligence and obtaining the necessary <br />approvals. The approval of the Predevelopment Agreement is the item before the City Council at <br />this time. <br />The Predevelopment Agreement is similar to the agreement that was entered into by the HRA. <br />However, there are several notable modifications: <br />L Simplifying the process to recognize the due diligence items that have already been <br />completed <br />2. Clarifying language that was found to be confusing in the previous agreement <br />3. Adding a paragraph recognizing the past efforts of the HRA and legally severing and <br />discharging any claims related to it for either the City or the HRA <br />4. Providing for an escrow to cover the cost of City consultants and other expenses <br />necessary to implement the Predevelopment Agreement <br />As part of the City's obligations in the due diligence process, an updated Phase 1 Environmental <br />Site Assessement has been completed on Apri130 and delivered to GMHC. The cover letter <br />outlining the conclusions is contained in Attachment C. The investigation results were in line <br />with expectations. <br />NEXT STEPS <br />• GMHC has scheduled a meeting with the neighborhood for May 14, 2015. <br />• City and GMHC will enter into a development agreement, including demonstration of <br />lender approval <br />• GMHC needs to complete project approvals <br />• City needs to close on the HRA's property <br />Page 1 of 2 <br />
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