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HomeMy WebLinkAbout93-101 CC Resolution RESOLUTION NO. 93-101 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA APPROVING A DISPOSITION AND DEVELOPMENT AGREEMENT, A PROPERTY EXCHANGE AGREEMENT AND A LEASE BY AND BETWEEN THE REDEVELOPMENT AGENCY OF THE CITY OF TEMECULA AND THE DONNA L. REEVES TRUST U.T.D. 7-25-90 V;HEREAS, the Donna L. Reeves Trust, U.T.D. 7-25-90 ("Reeves") currently operates an automobile sales and service center, known as Honda of Temecula, at 27500 Jefferson Road; V*IHEREAS, Reeves proposes relocating its operations to the auto mall located along Ynez Road; V*RHEREAS, Reeves further proposes to acquire the Mazda/Acura dealership located at 26755 Ynez Road and expand it; WHEREAS, it is anticipated that the relocation of the Honda dealership to Ynez Road and the expansion of the Mazda/Acura dealership will encourage the economic growth of the auto mall and result in a substantial increase in sales tax revenue to the City; WHEREAS, The Redevelopment Agency of the City of Temecula proposes to enter into following transactions: (1)Purchase the property at 26755 Ynez Road, Temecula, with tax increment funds for $1,00000, subject to a $1,000,000 trust deed; (2)Exchange the property located at 26755 Ynez Road with Reeves for real property located at 27500 Jefferson Road subject to a $1,000,000 trust deed; (3)Lease back to Reeves for one year at $20,000 per month the Jefferson Road property to be used as an automobile sales and service center; (4)Enter into a Disposition and Development Agreement ("DDA") with Reeves to operate the 26755 Ynez Road property as an automobile sales and service center for a minimum of five years. WHEREAS, the effect of the purchase of the Ynez property and the exchange of that property for the Jefferson Road property is that the Agency will be paying $2,000,000 for the Ynez Road property, which is consistent with the fair market value of the Ynez Road property as determined by an independent appraisal obtained by the Agency; Resos 93-101 1 NOW TIIEREFORE, the City Council of the City of Temecula hereby resolves as follows: Section 1. The City Council hereby finds that the consideration received by the Agency in exchanging the Ynez Road property for the Jefferson Road property is not less than the fair market value of the Ynez Road property in accordance with the covenants and conditions governing the sale and exchange of the Ynez Road property. Section 2. The City Council hereby finds that the consideration received by the Agency in leasing the Jefferson Road property is not less than the fair market value of the property in accordance with the covenants and conditions governing the lease of the property. Section 3. Based upon the above finding, the City Council of the City of Temecula hereby approves that Disposition and Development Agreement by and between the Redevelopment Agency of the City of Temecula and the Donna L. Reeves Trust, UTD 7-25- 90. Section 4. The City Clerk shall certify to the passage and adoption of this resolution. PASSED, APPROVED AND ADOPTED at a regular meeting of the City Council of the City of Temecula on the 14th day of December, 1993. J.@l Mufioz, ma), ATTEST: J e . Greek, City Clerk [SEAL] Resos 93-101 2 STATE OF CALIFORNIA) COUNTY OF RIVERSIDE) SS CITY OF TEMECULA ) 1, June S. Greek, City Clerk of the City of Temecula, HEREBY DO CERTIFY that the foregoing Resolution No. 93-101 was duly adopted and passed at a regular meeting of the City Council of the City of Temecula on the 14th day of December, 1993, by the following roll call vote: AYES: 5 COUNCILMEMBERS: Birdsall, Parks, Roberts, Stone Muiloz NOES: 0 COUNCILMEMBERS: None ABSENT: 0 COUNCILMEMBERS: None J6d@ Greek, City Clerk Resos 93-101 3