SR-414-002 (10)
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Santa MonIca, California. August
ReJell .Act.
:<-~
18, 1981
AJG 2 5 1981
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TO: Redevelopment Agency
FROM: City Staff
SUBJECT: ReVised Request to Amend Coastal Development
Permit A-318-76
Ocean Park Redevelopment Project
Background
On February 24, 1981, the Lincoln Property Company submitted a proposed amend~ent
to Coastal Development Permit No. A-318-]6. The essence of the proposed amendment
was to increase the number of low and moderate Income housing units to be provided
by the developer, and to uncouple the remaining obl igatlons of the developer fro~
those of the City/Agency.
Discus.sion
The proposed amendment has been revised in four (4) areas as described below.
1. Condition B-3
The revised amendment establishes a const~uction co~mencement
date of September 30, 1981, for the access way portion of the new park. The
preViously submitted amendment did not contain a date for the commence~ent of
construction.
2. Condition B-4: The reVised amendment establishes an additional condition, B-a,
which commits the Agency to terminate the month-to-mont~ lease with Santa
Monica Shores for the golf course by October 30, 1981. and to remove t~e
fence around the course opening the area to the general public.
3. Condition C-2: Proposed condition C-2 has been amended to specify that six (6)
tenniS courts, two (2) paddle-tennis courts, and one (1) basketball court be
provided tn the park. Previously, the condition did not specify the nu~bers
of the various facl 1 ~ties.
f~Jev; A,.
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AUG 2 5 1981
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RedevelopMent Agency
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August 18, 1981
4. Concluding paragraph. The concluding paragraph of the proposed aMendment has
been revised to acknowledge the role of the City as well as the Redevelopment
Agency.
It should also be noted t~at the revised request for an amendMent to the Coastal
Development Pernit was accompanIed by a letter from the developer's attor~ey
This letter is also attached to thLs transmittal.
Prepared by; John Herner
JH:mh
AttachMent
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July 31, 1981
Mr. John JaJ i1 i
Acting Executive Director
Acting Cirj Manager
The Redeve10prrent Agency
City of Santa }tm:ica
City F.a11t 1685 M:lin Street
Santa MJnica, Ca. 90401
Re: Coastal IevelopnElt Pe.r.ud..t NJ. A- 318-76
Phase II Ocean Parl-<: F.edeve1oprrent Project
~!1r. Jali1i:
This letter is llncoln Property Corrpany's request to the City/
Agency to put back on its agenda consideration of UncoLl.' S
request t..~t the City/Agency join Lincoln in asking t.l-1e Coastal
Couwi.ssion to approve t.11.e attac..~d proposed AnEndrn=nt to the
Coastal Pennit A-318-76.
The attached .Am:snrlrr.=rnt is TIDc'li fi.ed from our request of Febnl.:'ny 24, 1981
in the following manner;
1. Item B-3 has been nodified.
2. Item B-4 has been added.
3. Item C-2 has been llDdified.
4. The closing paragraph has been nndified.
very truly,
/.
JRL. RP
me.
blRCDIJI PRDIII!RTY COmPilRY 2S'. ''''/IL-SHIRE BI.......C. SUp.E 600 SANTA MeNIC.A :=AI..L~ SQ4Q3 AREA ::::;::ClE 2':::;-828-47<:'7
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C:lHfomia OJastal Cu1lllLi.ssion
631 Howard Street I Fourth floor
San Francisco, Californla 94105
Re:. Coastal IeveloprrEIlt Permit lli. A-318-76
Phase II -- Ocean Park RedevelopnEI1t Project
Ibnorable G.;nllll; !=>sioners:
The City of Santa }bnica and its RedeveloprrF'T'lt Agerq and Lincoln
Property Conpany request that Coastal CeveloprrEIlt Permi.t fu. A- 318-76
be ~ded.
The Pe:rmi.t now provides I in Section II. C. j that before construction of
H1.ase II can CD(II,l"'l'1ce. t:.~ fo1l.cMing conditions m1.c:t be satisfied:
1. Q.)wtJletion of par<-< and access ways. The re5poP.sibility for
satisfaction of this condiHnn rests wit.~ the Agen~JJCity.
2. ~letian or cert;::lin penp-"~trian-activated sign.::!l s. and a
freeway signing program. The responsibility for sal-isfaction
of this condition rests w-ith the Agen.cy/City.
3. wupletion of t..l,e FiJusing Assistance and Re..118bilitation Program
(R~). The r=>....spar'sibility for satisfaction of this condition
rests with Lincoln.
4. wUJLJletion of rehabilitAti nIl of 27 units at !:l.~ nor-..l1east comer
of Neilson Way and Ocp~" Park B::n.llevard (175 Ocean Paric Boule\iard).
'Ihe responsibility for satisfaction of this condition rests w-it.l1.
t.~ Agenc:y / City .
Paragraphs B, C, and D of Section II. Spec; A 1 Conditions I or tb.e CoastAl
I::eveloprrent Permi..t, are hereby reql1P~ted to be ::mF11ded by deleting para-
graphs Bj C, and D and substituting nEW paragraphs B and C as follows:
B. Conditions to be coli.lflleted prior to constrJCtion of Pb...ase II.
1. The Redeveloper sn,qU sub:rnit prcof to the Executive
Director of iTl'fllP!T'S1.tation and cu~letion by the
Redeveloper of the F.ousine P..ssistance and Rer~ilitation
Program reqllired by condition A-3. The F-ousing ;ssistance
and Re..11.abilitation Program shall be incTP.FIsed by 6..5 UI".its,
so fhAt at lp::l~t 125 w.i."!:S snAll be provided in t.11e Housi..'1g
Assistance and re."l2bilitatian Program. The arkH tionA' 45
units sf1all be for bot.;' low and noderate incon:e persons
and families and may be located a11)1\~..ere in t..~ eoasr;tl
zone w"'ithin t.'le City or Santa YDT'ica.
Page 1 of 4. Pages
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C;:! 1 uomia Co~ta 1 em..ssion
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2. The Redeveloper shall produce final worlcing
plans for Ihase II wnich snFlll be suLwitted
to t.J,.e Execurive Director of the Coastal
Cu,,,";!=:.sion so t.."'lat he may deCe..l.'llIine that
such plans conform to t.~ approved site
plan, subject to the follCMing rmdificatians:
a. All lofts shall be eliminated.
b. The southerly Midrise building configuration
shall be reversed, t:.~reby orienting tL~e courtyard
to the south side of the building.
c. Solar assistance sb.al.l be provided for
heating the sw:L.11;"irtg p<XJl and heating
the hot water system of the 132-unit
midrise buildings (The rem~ining 26
t~uses will not be provided wiu~
solar assistance.)
. 3. The Agency jCiv. s~..aJ1_~UUli~C..5!_Sons_truct~9P_ by_ 9! 30/81
ana b.~ereafter d::11igently pursue and culUf'lete con-
struction of the southerly beach access vvhi.c..~ is
from Neilson to Barnard Way and from t.-:"e senior
citizens' project (Neilson Villas) to t..~e Neilson!
Barnard T..Jay access.
4. The Age..T'lcy/City shall rPrmve tL'le golf course fences, and
shall tE:.t"llllnate t...i-te -golf course- use by 10/30/81 and
shall !J'l."lirttain this area as open space up to b.~e date
described below when b.~ on-site park construction
shall (:Ol,J.u:mce.
c. Conditions to be c0u.LfJleted by the Agency/City wit.a."tin 12 lID11t.~
of corr.pletion of constrDCtion of Phase II.
1. The rreeN8:j sign program consiste...Tlt '....i.th provi--5ions
of 'b.~e proposed beac...~ Tr':t.c;ter plan to be Cu~leted.
2. CUwpletion of cons t:ruction in t.~e on-site park of
six tennis co~...s. two paddle-tennis courts, and a
basketball court, and other recreatlonal facilities
approved bv t.~e Executive Director and cOIIDletion of
b€ach related inproverrents as set fort...~ in" A-5 abo"'"'E.
Page 2 of 4 Pages
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('~ 1 i 'faI:nia. was r:aLlLl:i.s sian
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3. Coi!:?leticrn of COrlSLnlCh on of an-site: parle
and access wcrys as se:: fort.~ 1-"'1. A-5 above.
4. Pe-rips Q :an-act:i ~,,-ated s:..g;a 1.0:; to ~e .; -s called
at psn 1 ,m..d Avt:::.r..le and Nell~(;u way and at c-....."C)
opposite ends of t.~ pa:::k farf i -f ties on
Barr..ard wirf.
5. G.....---mplel'ton of the re..~ilitat:i..on of t.;.e e..>d.sH ng
27 tnits of hcusi..~g cwr...ed by the Ci~ of Santa
M:mica located at G."1e norr..'-1~~<:::t ccrr.:.er of Ne.il.scn
Wzy and Oc,?;m FA"';': Boule,,-ard. ille 27 u:ri.ts 5;'::111
ccrrt:i..t..-n.:e to be used fer housf""!g for law and
llDri.o.1'"":3.te mcorre ne:::sCI"'.5 far Co."le ~e:f;J]. 1 ~ fe of
t-ne bl ri 1 dir.gs. but L""'l no e-v"E!!lt less d-....an 20 Yf'.QLS.
PS ~ urri:ts as fe.asib le SDA"\ l be reh.abi 1 ~ ~ted
for 10-..; ,. ncarr:e f?TTii' i es .
In t-he ev"'"e:3t t..~!: the r?n~bi li ~D..or!. is not
C:-v'liDleted ,vi.thir.. 00.0. vear of 6e. c':':';li01et-i nr'. or
conStruction of Phase"II. t...~e Agenc;iClty, in
addition to CUuJtJleung fr<€ reb.abil1.tatlon as soon as
"OOssible tl-.;..e::-ppfter. sh?"1l be J:"eq1T-lred to i=:Ie-"v'Oc:=:'11y
~dicate all of t..~ .tax. ~C:::?r.Pni rzovd.Il"P.s gEne.-T"2.ted
by Pbase I:::' for t.~e sec~d and t,.'ri.rd tax yp;:;rs
fn 110;..-1..,C:: C;;..;~lefi,Dn. of Fr...ase E for ::.."'-1e ?rcvi-..sion
.J: -.. - 1 ~ . ~ ~ . d
0..... aOdU:::'cn"" nc::s:.r..g =or ~a.N :.....T1C(;-~ ?=-.---sons an
~::;;rri 1 i es :n -::"~e coas-::al zcr.e ,; n t."-:e Citv of S2!lta
Y.onica. Said C<Dl-Lies shall be eJCe:lCed -Sv Lhe
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-~enC'J for sue..;' ~--wcses -wi::..-:un 35 _Lil!:..1s of the
c~leticn or ccr...sO:-JC.ti on of Fr-..a.se II.
Page 3 of 4 Pages
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-, California Coastal ~ion
Page 4
The J....grePTTF']"lt enti ~led 'IAgreP1'iPl1.t Regarding ~ liance w"J.. th
Coastal Deve10prrEIlt Pe.cmit dated May 13. 1977n, previously furnished
to the California Coastal G.;u'I.:.ssion by ~t.,gency and Lincoln, is hereby
arrended. Upon issuance by the G.::x.wIission or the requested arrendrrEnt
to the F€rmit, Uncoln agrees to be responsili1e for and to cause the
conditions listed in paragraphs B-1 and B-2 above to be perforrred, and
the Agency/City agrees to be re5por'..sible for and to cause conditions B-3,
B-4 and C-1 through. C- 5 to be perfomed, and each agree to cooperate
fully with the ot.'1er so that all of those conditions as well as t..~e
standard conditions of the CoastAl PeLilJit can be satisfied and t.l-te
deve1opm?Ilt COI11'leted.
Executed at Santa i"brllcaJ California t..1is
, 1981.
day of
LINo:JlB PROPERTY a:MPANY
By:
Its:
SANI..<\ MJNICA REDEVEWIMENT AGENCY A'ID
'mE CTIY OF SAa.'ITA illt-.l1:CA
By:
Jam Jalili
Its : ActiJ'l..g Executive Director
Its. .Actlllg Citt iA.anager
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ARTHUR N :;;REEr.IO~"'O
PHIL.I? GL.lJSKER
SIDNEY J It,lIACI-iTI-.,jGEFI
STEPHEN CLA"'AN
AVROItf a GREEN
HARVE.... q =qIEOMAN
JON J GALL:;)
PAULA.... ?IrrERS
'"UCL..jAE!.. .0; COLLINS
.JOHN L CHILD
IOARRY 0 WEST
:: BRUCE LEV'NE
"'ItCHILf;1. A ~h.e:E"II1::
"'ICHAEL S SHER"'AN
ANOAEw... L",,"Y
,;OSEPH 'It CAHN
.~AA RrT L I-IAN K EN
NORMAN'" LEVLNE
'IIU.L-lAhli A ....AL.~M,A.
,J,A.ME5 E: HOFiNST!::IH
ROBERT S C~.P""'AN
"UTi-I ... i-O::"ZM~N
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GREENBERG & GLUSKER
LAWYERS
F'" PATRIC~A lwtuCIE
~Oe:L:J RWB!,:N
C"-1AA1.ES N SHEi:".-1AFilO
I"tI....AJ. "'AOCE-N.
C,,'ARL.E9 -:.. -;1RiOCNorF"
CH"II$T''lA'" JACOBS
e~H BEI:fJ{E
OREGG HO"'E'"
CA.\t'IO A. IWIL,..:..!:;R
...OUiiSA L "'II::LSON
MICHAEL WCC~O:N
ROBERT.,J ....,ACi-t'SI""'qt-i
STEPI-I AN lEe 51 LVE"'5
'_YNOBEY A "OSr.ER
"IOBEAT B COI-oe:r.
aE""I cox :.3ARRE"!'T
Sl"EPI-IEK.J JCPL'N
...iOOY ~ _~L'E
OEI'<"'L$ ;:I EL:''''AN~
CAFiI!C1.- Po. "':OHN~TO"'4
EC'SELL ... ~Dv JA
....I::...I!IER OF'''' v BAR CHLY
'900 .o.VEN'-'E OF" ~HE S,ARS
$UI-~ 2000
LOS AN GlCL::'.S, CAL "OR'lIA 90057
TELECHONE [2131 553-3610
-ELEX L94107
CAi3L:O: ADDRESS GREENLER LSA
July 31, 1981
City Counc~l of Santa Mon~ca
1685 Ma~n Street
Santa Monica, CalIforn~a 90401
RE: Llncoln Property Company's Request That
The C~ty JOln It In Requestlng An Amendment
of the Coastal Permit Affectlng Ocean Park
Dear Members of the Santa Monlca City Counell:
Ou~ cllent, Lincoln Property Comp_ny, 15 ask~ng the
Council to put back onto lts Agenda conslderation of Llncoln's
request that the City Join L1ncoln in asklng the Californla
Coastal Comrnisslon to amend lts March 3, 1977 Coastal Permi~
for the Ocean Park Redevelopment ProJect.
S~nce there are many new members of the Councll, we
thought that lt mlght be helpful to review some history so as
to put the present request In perspectlve.
The Redevelopment Process
In the 19301s the federal government set up an Urban
Renewal Program to lend local gover~~ents money to redevelop
deter~orated nelghborhoods.
To obtain federal f~nancingl a state had to adopt
legislatlon WhlCh would authorlze local governments to set up
local redevelopment agencles WhlCh would, after extenslve communlty
lnvolvement, adopt redevelopment plans, then borrow from the
federal government to lmplement them.
G~'EEN8ERG & GLUSKERe
Clty Council of Santa Monlca
July 31, 1981
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CallfornLats Community Redevelopment Law (Part 1,
D1V1S1on 24 of the Health and Safety Code) was adopted meet1ng
federal standards. It authorizes local governments to set up
=edevelopment agenc1es, and controls how they are to operate,
how redevelopment plans are to be adopted, and 1mplemented.
Redevelopment agencies can't, themselves, develop land -- they
adopt plans and then sell the land to the prLvate sector who
actually develop. That is the pattern throughout the country.
F1nancial 1ncentlves to local governments are prov1ded,
the so-called "tax 1ncrement." That enables the real estate
taxes of the redeveloped property, ln excess of the taxes that
property produced when the land was first acqulred by the
Redevelopment Agency, to stay in the local community to be used
for local projects and needs. From the tlffie the prlvately owned
property LS acquired by a Redevelopment Agency, to the time a new
structure is bUllt on 1t by the prLvate redeveloper, the property
is off the tax rolls.
Once a Redevelopment Plan is adopted~ the Agency sends
notlce to the development communlty invlting proposals consistent
with the Plan, the Agency screens those proppsals, selects a
redeveloper, negotiates with hlm, and enters into a fOrMal contract
(a "DDA") WhlCh obllgates the redeveloper to bUlld the very project
the Agency d~ctates, ln accordance wlth a slte plan. In this way,
local government controls how lts own land is redeveloped. The
contractual dutles of the Agency are also covered in the DDA.
The Ocean Park Redevelooment Plan
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In 1958 the Clty entered into an Urban Renewal Agreement
with the federal government to provlde urban renewal assistance
to the Clty.
The Clty then created a Redevelopment Agency under the
Community Redevelopment Law. On June 30, 1960 the Ocean Park
Redevelopment Plan lea) was adopted by the Clty by Ordinance
No. 497, later amended on November 14, 1967 by Ordlnance No. 757.
Ocean Park Redevelopment Plan I(b) was adopted by the Clty on
January 17, 1961 by Ordlnance No. 516, later amended June 26, 1965
by Ordlnance No. 667 and Septa~ber 12, 1972 by Ordlnance No. 896.
,. GR'EENBERG & GLUSKER e
C~ty Counc~l of Sa~ta Mon~ca
July 31 t 1981
Page 3.
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The two plans cover the block (other than the telephone company
build~ng) bounded by Ocean Park Boulevard, N~elsen and Barnard,
approx~mately 16.24 acres, and are together called the Ocean
Park Redevelopment Plan (the "Plann).
In the early 1960's the Agency acquired all of the
property in the block {other than the telephone company bu~ld~ng}
and cleared the s~te. About two-thirds of the money came from the
federal government.
In the m~ddle 1960'5 the f~rst redevelopment occurred,
the two h~gh-r~se towers, the Santa Monica Shores Apartments.
The Agency's efforts to sell add~t~onal land were unsuccessful.
Some contracts were entered lnto wlth redevelopers but no sale
was ever closed~ and no additlonal lmprovements were bUllt ~n
the Ocean Park Redevelopment area. In 1972 the Coastal In~tlativel
Proposltlon 20, was adopted. It placed control over development
of land In the Coastal Zone In the hands of regional and state
coastal commlSSlons.
The Clty wanted to complete the Plan and sell the remainlng
land, on wh~ch ~nterest owed by the City to the federal government
cont~nued to run I and on wh~ch no taxes or tax increment funds were
belng generated. In 1975 the Agency sold the southwesterly portlon
of the block for a 100 un~t Sectlon 236 elderly pro]ectr obtalned a
permlt from the Coastal Commission for it, and that project was bUllt.
Also in 1975 the Agency Sollclted proposals from
developers looklng toward the disposlt~on of the rema~nlng land.
A number of redevelopers submltted proposals to the
Agency. Llncoln Property Company was selected as the redeveloper.
Its proposal was to bUlld condomln~um unlts at the north
and south ends of the b10ckl wlth a publ~c park between them.
On December 17~ 1975 an Excluslve Right to Negotlate
Agreement was executed between Lincoln and the Agency. That
Agreement obllgated the Agency and Llncoln to negotlate In good
falth wlth each other for a def~ned perlod "following the recelpt
of a f1.nal and blndlng Coastal Comm~ssion Perm~t." At all times,
the Agency and Lincoln knew that a permit would be requ1.red from
the Coastal Commiss~on, that detailed slte plans, elevat~onsl etc.
had to be submitted to the Coastal Commlss~on, and that the
Coastal CommlSS1on would d~ctate what was to be built wlthin the
remal~lng land ~n the Ocean Park Redevelopment area.
4 GREENBERG & GLUSKER e
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City Council of Santa Monlca
July 31, 1981
Page 4.
The Coastal Permlt
Llncoln's slte plans, prel1minary draw~ngs, etc. were
submltted to the Coastal Commission as part of the Agency's
application to the Coastal Comm~SSlon for a Coastal Permit.
The Coastal Permit was granted on March 3, 1977. A copy
lS attached as Tab "A". It calls for a two phase condomin~um proJectl
but only If a publ~c park, affordable housing, and publ~c access were
provlded for the publlC. The Permit imposed certaln of these "?ubll.c"
requlrements on Lincoln and the others on the Agency and the City.
The Permlt requ~red that the respectlve obligations of Llncoln and the
Agency and City be lncorporated in a written agreement to be approved
by the Commlssion. The obllgatlons under that wrltten agreement were
to be enforceable both by the partles themselves and by the CommlSS1on.
Accordingly, Lincoln and the Agency entered lnto the Compllance
Agreement dated May 13, 1977 and submitted it to the CommlSSlon for
ltS approval. A copy of the Compliance Agreement 15 attached as Tab "B".
The Coastal Permit conditloned the start of each phase of the
condomlnlUffi proJect on the completlon of certaln th~ngs, all of WhlCh
were deslgned to serve the public lnterest. In the Compllance Agreement,
and then again in the DDA between the Agency and Lincoln dated
September 4, 1977, the respectlve obligatlons of Llncoln, and the
Agency and Clty were divlded as follows:
(a) Before Phase I could start, (i) a des~gn
of the public park, with pedestrlan and bicycle access
routes, had to be submitted by the Agency on behalf of
the Clty, and approved by the Coastal Commisslon, and
(11) a houslng program to provide low and moderate
~ncome rental houslng had to be submitted by Lincoln and
approved by the Comm~sslon. Both of those thlngs were
submitted and approved I and Phase I has been built. The
park deslgn included six tennlS courts and two paddle
tennis courts. Llnco1n's affordable houslng program
called for 80 rental unltS.
(b) Before Phase II could start, (1) the Clty
had to build the park (in fact, the Commlss~on requ~red that
the City start to build the park "concurrent '/lith the
constructlon of Phase I," WhlCh, of course, the C~ty has
not done), rehabllltate 27 UTIlts at Nielsen and Ocean Park
Boulevard, and do a few other minor things, and {ill Lincoln
had to lmplement the affordable housing program.
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GREENBERG & GLUSKER e
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City Counc~l of Santa Monica
July 31, 1981
Page 5.
Phase II cannot, therefore, start untll the Clty and
L~ncoln perform their respective obllgatlons.
Llncoln is ready, wllling and able to complete its end.
In fact, 1t 15 even willing to expand the scope of ~ts affordable
housing program, from 80 to 125 unlts, 1f Llnco1n can be qu~ckly
uncoupled from the Agency and the City so that it can proceed
w~th Phase II as soon as its end (the affordable housing program)
is lmplemented.
Our c1lent ~s not, however, prepared to l~plement the
affordable housing program because of the inability to commence
construction of Phase II should the affordable houslng program
be completed and the Agency and Clty contlnue to remaln ln default
of their obllgatlons. Constructlon of the approved park plan has
not begun (see Tab "C") and, therefore, Llnco1n has been put on
notJ..ce that the Agency and Clty do not intend to fulfill their
obl~gations.
L~ncoln lS now prevented from gOlng forNard by the
Agency's and City's failure to proceed wlth their end.
Lincoln's Request
LJ..ncoln wants the Agency to ]Oln It In requestl~g the
Coastal Commission to amend the Coastal Permlt, so as to separate
the Agency and C1ty obl1gations from L~ncolnrs obligat1ons, and
thus allow Phase II to be built as soon as Lincoln's affordable
hous1ng program is in place.
The Coastal Permlt was applied for by the Agency, It is
ltS Permlt, and so L1ncoln needs and has requested the Agency to
J01n It in seeking such an amendment. (The Agency wlll thus
reaffirm ltS agreement to sell the Phase II land to Lincoln and
close the sales escrow as required by the DDA as soon as Lincoln
has sat1sfled its affordable houslng obligation~)
If the Coastal Commlsslon grants the amendment, L1ncoln
1S ready, w1lllng and able to complete the affordable houslng program
for 125 unlts, and purchase the Phase II land from the Agency and
bUlld Phase II without delay.
If the Agency does not JOL~ Llncoln in making that wrltten
request to the Commission by September 15, 1981, our cllent w1ll
have no cholce but fl1e, and thereafter pursue to Judgment, a laWsult
on its already flIed claim for $20,000,000 against the City and
Agency.
~ GR.':;:ENBERG & GLUSKER e
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City Council of Santa Monlca
July 31, 1981
Page 6.
We prepared that clalffi for our client. We don't want
to argue the mer~ts of that clalm. All we want to do is indlcate
that Lincoln wlll have no alternative but litigat~on ~f the Agency
reJects the opportunity to Jo~n Llncoln ln requesting an
amendment to the Coastal Permlt.
PG:pl
Enclosures
L
GSM:SS:dd
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Santa Monica,~lifornia August 11, 1981
,/1 L/ --- () O~ Rf'Jev / Co UAtt-d
Council ~ ~A
To:
Mayor and Ci ty
From:
City Staff
Al.iS 2 5 1981
Subject:
Award of Contract-~1odlfication of ~alkway in Ocean Park
Redevelopment Project lA, Main Street to Barnard '-fay
Introductlon
This report requests that City Council award a contract for the modification
of the walkway ip the Ocean ?ark Redevelopment ProJect 1ft to Ca11for~ia
Landscape, Inc., the lowest responsible bldder, in the amount of 5328,700.
Background
As a requlrement for develooment of the Redevelopment area, the Coastal
CommlSS1on required the City to provlde access for pedestrlans from Maln Street
to Barnard Way at Ashland Avenue. Plans and specificatlons were prepared by
the S~A group, Laguna Beach, Cal1fornia, as retalned by the Redeve1oo~ent
Agency. The project was approved by the Architectural Review Soard on July 2.
1980. The oroJect lncludes grading, extenslve landscaping, lighting, concrete
sldewalks, a fHe lane or "turf block" and a bikeway The project provldes
access from Maln Street to Barnard Way and a leg extends from the main walk-
way at Ashland southerly to the Neilson Villa Senior Citizens' apartments.
Bids were first recelved on June 22, 1981. ~owever, a question arose at the
bid opening over a dlscrepancy In the plans prepared oy the SWA group. As
a result, on June 30, 1981, City Council rejected all aids and directed
Staff to re-advertlse the proJect. Plans and specifications were issued to
34 contractors. Seven Dlds were received and read puolic1y oy the DeDuty
City Cler~ after 3'QQ P.M. on Monday, August 10, 19S1. Tne 5ids were as
fall ows:
California Landscape, i~c.
Valley Crest Companies
$328,]QO
334)000
p~JecJICo~
"3-A
AUG 2 5 1981
Subject: Award of ~ract - Mod,ficatlon
of Walkway In Ocean Park Redevelopment
Project lA, Main ~t. to aarnard way
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Page 2
Date:
August 11, 1981
T.J. Crosby Company, Inc. $336,300
Grifflth Company 346,500
*Fleming Engineering Co. 347,000
Pentaco, Inc. 368,000
Thomsen Landscape 405,500
City Engineerls Estimate $350,000
*Fleming Englr.eeringt the apparent low uldder, had errors in the bid, thereby
dlsquallfying the company. The bid documents require hidders to subnlt
amounts in written words and also in fIgures. Flemlng's bid indlcated
519,000 more in their written words than in tQeir figures. T~e figures
w~ich were read at the bid openlng lndicated Flem1ng to De the low Dldder at
$328.000, The specifications state that the written words shall Drevail over
the figures resultlng 1n a bid of 5347,000, or fiftn lowest Didder In
addit,on, Fleming neglected to suomit with his Did a required addendum.
Estimate of Fund~ RequIred
Contract
5328,700
InspectIon &
Contlngendes
E~timatcd Total
65,3QQ
$394,00a
California landscape's bld was submitted in three parts as required by the
bld documents. Thelf bid was as follows.
1. Nortn-south portion of the walkway
S236tQ.OO
2. East-west portion of the walkway
85,200
3. Gate and wall
7t500
Total Bid
5328,700
~ 11'.. II.
s.ubJect:
Award of C~act - Modificat1on
of Walkway~ Ocean Park Redeyelopment
ProJect lA, Main Street to Barnard ~ay
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Page 3
Date:
August 17, 1981
Funds 1n the amount of $394,000 are available 1n the Redevelopment budget,
Account Number 15-200-263-000-902.
Recommendation
It 1S recommended that City Council:
1. Award a contract to Ca1ifornia Landscape, Inc., the lowest
respons1b1e bidder, in the amount of 5328,700; and
2. Author1ze the City Engineer to issue any change orders neces-
sary to complete the project 1n a total amount not to exceed
$65,300;
Prepa red by:
Stan Scholl
John Herner
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Santa Monica, California, August 19. 1981
AUG 2 5 1981
TO: Redevelopment Agency
FROM: City Staff
SUBJECT: Request of Sea Colony and Neilson Villa Residents Concerning
the Installation of a Gate at the North End of the North-South
Access Way in the Ocean Park Redevelopment Project
Back~rQund/Discussion
The Sea Colony Homeowners' Association, with the support of the Neilson Villa
residents, have submitted the attached proposal concerning the installation of a
fence and gate at the north entrance to the north-south fire road/access way.
Representatives of these groups have appeared at several previous Agency ~eetings
regarding this matter.
The primary elements of the proposal are that the Homeowners' Association would
pay for the cost of installation of the gate, which is estimated at $7,500, and
would maintain the landscaping in the north-south access way under a lease to be
negotiated with the City/Agency.
The bid for the construction of the entire access way was structured to permit or
delete the requested fence and gate. The Agency should resolve this issue prior
to the award of the construction contract.
Prepared by: John Herner
JH:mh
Attachment
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AUG 2 5 1981
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FADEM. BERG ER & NORTO N
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50] S,A..........A MO"lICA !30.JI..::VARO
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SANTA MONICA, CAI.LFORNLA 90406
August 17, 1981
John Herner
D~rector of Redevelopment
Clty of Santa Monlca
1685 Main Street
Santa Monica, Californ~a 90401
Dear :-J.r. Hemer:
Th~s letter 15 to put in written form the proposals
dlscussed wlth you on behalf of Sea Colony Homeowners'
ASSoclatlon as to the fire access road.
The fire road would be fenced and gated.
be limlted to resldents of Nellson Vllla,
and City personnel.
Access would
Sea Colony
The cost of thlS wlll be pald by Sea Colony Homeowners'
Association. We would 11ke to have the fence and gate
redeslgned in the mode of Sea Colony's architecture.
The des1gn would be to C1ty approval.
~alntenance of the landscaping would be pald by Sea
Colony Homeowners' Associat~on.
A lease settlng forth these terms and others the Clty
customarlly requlres would be agreed.
If you have any wlsh to dlSCU5S thlS before the August 25
Councll Meeting, Renee Gould LS authorlzed to do so on
behalf of Sea Colony res1dents.
We hope this proposal which eliminates City cost of
maintenance for an area of no ut~lity except to Sea Colony
.. .,.. ...-
.
It
John Hemer
August 17, 1981
Page 2
and Ne~lson Villa and wh~ch provldes enhanced securlty
and reduced pollce problems wlll be an acceptable
proposal to the C~ty.
Sincerely,
~
Fadem
JAF:ecd
cc: Sea Colony Board ~embers
Tom Bodman
Renee Gould
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Santa Monica, CalifornLa. June 19, 1981
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TO Redevelopment Agency
FROM: City Staff
SUBJECT: Agreement with United States Condominium Corporation
Ocean Park Redevelopment Project
Background
As the Agency was informed at its meeting of April 28, 1981, the dramatic rise
in interest rates have had a profoundly adverse impact on the financing of the
sixty-one unit subsidized elderly housing project to be developed in the Ocean
Park Redevelopment ProJect.
When the development was first proposed by the United States Condominium Cor-
e
poration in December 1979, the prevailing subSidized mortgage rate was at 8%.
The United States Condominiu~ Corporation has recently been invited to submit
final loan clOSing papers to the California Housing Finance Agency (CHFA), and
the mortgage rate I snow 125,:;. In actua I doll ar terms th IS increase means that
the sa~e rent dollars which would support an 8% 3D-year mortgage of over $3.5
million, will now just carry a $2 7 mill ion 12% 40-year mortgage.
The same inflation factors which have driven up interest rates have also impacted
the cost of housing construction. A combination of across-the-board inflation,
Increased fees, and the addition of certain items (fire sprinklers and smoke
ventilation equipment) has resulted in a $397,000 increase in construction costs
beyond the amount initially approved by CHFA.
Of this total amount, a complete fire sprinkler system mandated by the City Fire
e Marshall accounts for approximately $155,000; a hallway smoke ventilation system
mandated by CHFA is priced at SI0,000; the remains of foundations improperly left
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Redevelopment Agency
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June 19, 1981
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during the 1961-63 redevelopment demolition activities have increased grading
costs by approximately $6,000; and the recently-increased sewer fees have added
an additional 511,000 in costs. The balance of the cost increase can be attributed
to inflation and miscellaneous additions or changes.
The Developer, by agreeing to forego the potential 6% annual cash return on its
investment, has negotiated a 597,000 Increase in the CHFA mortgage to $2,754,700--
the legal maximum. However, the Developer is not prepared to absorb all of the
remaining $300,000 overrun.
Alternatives
At thiS point, the Agency has three options. The Agency may reSCind its prevIous
mandate that the building be sprinklered (electing to use alternative, legal but
~ less satIsfactory, methods of complYing with the Fire Code); eliminate the
requirement for solar-assisted water heating; and elIminate certain other amenities
from the project to reduce the cost.
Alternatively, the Agency could negotiate a termination of the existing contract
with United States Condominium Corporation and seek another developer. As a
practical matter, this alternative would result In the demise of the project for
the foreseeable future.
As a third alternative, the Developer is willing to proceed with the prOject and
not terminate the contract if the Agency grants to the project the amount of
$182,000, which will enable the project to proceed in ItS present configuration.
A contract has been developed by the City Attorney's office which would effectuate
thiS alternative, if it is elected by the Agency.
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Redevelopment Agency
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June 19,1981
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Discussion
Based on the fact that the land and improvements will revert to the Agency in
forty-five years. staff is reluctant to recommend any reduction in project
amenities. LIkewise. the need for this type of project (demonstrated by any
available statistics, and more importantly by the over 1,000 letters received
to date from elderly persons seeking affordable hOUSing) preclude a recommendation
for abandonment.
Consequently, staff recommends the Agency grant to the project the amount of
one hundred eighty-two thousand dollars (SI82.000) in the manner developed by
the City Attorney1s office
Recommenda t ion
~ It is recommended that the Agency approve the attached contract granting one
hundred eighty-two thousand dollars ($182,000) to the Barnard Park Villas elderly
housing development, and authorize the Chairwoman to eXecute the contract.
Prepared by: John Herner
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A tta ch rlen t
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ATTACHMENT NOT AVAILABLE
AT TIME OF DELIVERY
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Santa Monica, California, June 15, 1981
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TO: Redevelopment Agency
FROM: City Staff
SUBJECT: Reimbursement of City Expenditures for Access Way
Portion of Ocean View Park
Ocean Park Redevelopment Project
Background
The City Council will be presented with a recommendation for the award of a
construction contract for the access way portion of the park in the Ocean Park
Redevelopment Project at their meeting on June 23. 1981.
The development of the park is an obligation of the Agency under the terms of
the Coastal Development Permit. However, since the City has a more highly
e developed and specific system for bidding and monitoring construction projects,
the construction of the access way has been structured as a City project. rather
than as a Redevelopment Agency project.
In order to utilize Agency funds for the construction. as the Council has expressed
its intention to do. it is necessary for the Agency to adopt a reimbursement
resolution.
Recommendation
It is recommended that the Agency adopt the attached resolution authorizing the
reimbursement of City expenditures for the construction of the access way in the
Ocean Park Redevelopment Project.
Prepared by. John Hemer
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Attachment
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Sea Colony Homeowners' Association
Santa Monica, California 90405
June 17, 1981
John Herner
Director of Redevelopment
City of Santa Mon1ca
1685 Ma1n Street
Santa Monica, California 90401
Dear Mr. Herner:
Thank you for lett1ng us know about the June 23 Council hearing
on letting of construction contract for public access (east/west)
from Neilson Way to Barnard and the f1re access (north/south)
between the first two un1tS of Sea Colony and the Neilson Villas
senior cit1zen housing.
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As you know from our many conversations, and the public meeting
attended by Councilperson Yanatta, there are security concerns
about the fire access north/south portion of this project.
Numerous Sea Colony units have sliding glass doors, windows and
doors at the same level as the fire access. The senior citizens
development l1kew1se has ground floor entry more open than ours
because Neilson V1lla doesn't have a fence between the fire access
and the sen10r c1t1zens' doors and w~ndows.
Our maJor concern is that the f1re access north/south be separate
from the publ~c access east/west to the beach. We bel~eve that
a gate keyed for the fire department would provide the desired
securlty.
No one, other than the senlor citizens and Sea Colony can use the
fire accessway as a means of getting to the beach or any where else.
We hope that the Councll wlll exercise its d1scretion to protect
the Neilson Vlllas and Sea Colony residents from necessary
exposure to a Clty extended lnvltat10n to our backdoors.
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June 17, 1981
Page 2
We are pleased the Clty is at last moving forward to do this
landscaping it agreed as a condition to obtaining the Coastal
Commisslon permlt for redevelopment.
Slncerely,
Hilt Hamberg
presldent
Sea Colony Homeowners' Associatlon
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RESOLUTION NO.
(Redevelopment Agency Series)
A RESOLUTION OF THE REDEVELOPMENT AGENCY OF
THE CITY OF SANTA MONICA AUTHORIZING THE
PAYMENT OF EXPENDITURES FOR THE OCEAN PARK
REDEVELOPMENT PROJECT.
WHEREAS, the Redevelopment Plan, the Coastal Development
Perm~t, and the Dispos~t~on and Development Agreement for the Ocean
Park Redevelopment ProJect obl~gate the Agency to prov~de certain
pub1~c ~mprovements for the benef~t of the proJect, including the
installat10n of a public access way; and,
WHEREAS, the City of Santa Monica has received b1ds for
the ~nstallat1on of sa~d ~mprovements in the manner required by law;
and,
WHEREAS, the City of Santa Monica intends to award contracts
for said public improvements; and,
WHEREAS, certain funds are available in the Redevelopment
Agency accounts which have been allocated for the ~nstal1ation of
said 1mprovements; and,
WHEREAS, a perm~t has been issued for such work pursuant
to the Cal~fornia Coastal Zone Conservation Act of 1976.
NOW, THEREFORE, THE REDEVELOPMENT AGENCY OF THE CITY OF
SANTA MONICA DOES HEREBY RESOLVE AS FOLLOWS:
SECTION 1. The Redevelopment Agency hereby authorizes the
payment from Agency funds for expend~tures with respect to the
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installation of a publlC access way which is of benefit to the Ocean
Park Redevelopment ProJect in an amount not-to-exceed TWO HUNDRED
FIFTY THOUSAND DOLLARS ($250,000).
SECTION 2. The Secretary of the Redevelopment Agency shall
certify to the adoption of this resolution, and thenceforth and
thereafter the same shall be ln full force and effect.
APPROVED AS TO FO&~:
fLri.l~ \.v,. ~
ROBERT M. MYERS \~
Agency Attorney
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Santa Monica, California, June II, 1981
TO: Redevelopment Agency
FROM: City Staff
SUBJECT: Repayment of Previous City Advances
Ocean Park Redevelopment Project
Background
The City nas, since 1976, allocated certain CDBG funds for the payment of
principal and interest on the outstanding Ocean Park Redevelopment Project
Federal Project Notes. These advances total $1,057.975.87 to date.
Altnough Agency funds are not currently sufficient to repay these advances,
over the next several years such funds will accumulate. In order to fix the
amount of repayment and substantiate the establishment of the Agency debt, it
is appropriate for the Agency to adopt a resolution.
The attached resolution acknowledges the City advances; establishes the amount
($1,057,975.87) and the interest amount which has a~crued through June 3D, 1981
($185,291.01); and authorizes the execution of a promissory note to the City for
the total amount.
Recommendation
It is recommended that the Agency approve the attached resolution authorizing the
repayment of City advances for the Ocean Park Project.
Prepared by: John Herner
JH:mh
Attachments
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RESOLUTION NO.
(Redevelopment Agency Series)
A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE
CITY OF SANTA MONICA ACKNOWLEDGING THE RECEIPT
OF FUNDS FROM THE CITY OF SANTA MONICA, AND
AUTHORIZING THE REPAY.HENT TO THE CITY OF SAID
FUNDS.
WHEREAS, pursuant to the i~plementation of the Ocean
Park l(a) and l(b) Redevelopment Projects, the Redevelopment Agency
has ~ssued certa1n ProJect Notes: and
WHEREAS, in order to ass~st the Redevelopment Agency w1th
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the obligatlons accruing under the ProJect Notes, the City of Santa
Monica has, from time to tlme, advanced certain funds to the
Redevelopment Agency for the purpose of paying prlnclpal and lnterest
on sa~d Notes; and
WHEREAS, in consLderation for future advances, the Agency
agrees to pay interest costs for prevlously advanced funds.
NOW BE IT HEREBY RESOLVED AS FOLLOWS:
SECTION 1. The Redevelopment Agency of the City of Santa
Monlca acknowledges the receipt of funds from the Clty in the amount
of One MLl11on, F~fty-Seven Thousand, Nine Hundred Seventy-F~ve and
87/100 Dollars ($1,057,975.87) for the payment of prlnclpal and
interest on outstanding ProJect Notes.
SECTION 2. The Agency hereby pledges to repay the City the
e principal amount of One Milllon, Fifty-Seven Thousand, Nlne Hundred
Seventy-Five and 87/100 Dollars ($1,057,975.87) and accrued interest
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on sald amount through the period June 30, 1981, as funds become
available.
SECTION 3. The Agency agrees that interest shall accrue
on all unpaid princlpal at the rate of ten percent (10%) per annum.
SECTION 4. The Agency agrees that payments from available
funds shall be applled first to accrued lnterest, and second to
outstanding prlnclpal.
SECTION 5. The Agency hereby authorizes the Chairwoman to
execute the attached Promissory Note in the amount of One Milllon,
Two Hundred Forty-Three Thousand, Two Hundred Sixty-S1X and 88/100
Dollars ($1,243,266.88).
SECTION 6. The Secretary shall certify to the adoption
of this resolutlon, and thence forth and thereafter the same shall
be in full force and effect.
APPROVED AS TO FORM:
~\ \V\- v~
ROBERT M. MYERS ,
Agency Attorney
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PROMISSORY NOTE
Ocean Park ProJect
l(a) and l(b)
Santa Monlca, Ca~ifornla
June 30, 1981
Two years after date or sooner, for value recelved,
the underslgned.promlses to pay to the City of Santa MOnl~ay
on order, at Santa Monica, Cal~fornla, the sum of One Million,
Two Hundred Forty-Three Thousand, Two Hundred Sixty-Six and
88/100 Dollars ($1,243,266.88) with interest from July 1, 1981,
until paid at the rate of ten percent (10%) per annum, payable
at termination of note.
Should interest not be so paid, it shall thereafter
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bear llke interest as the prlnclpal; but such unpaid interest
so compounded shall not exceed an amount equal to simple
interest on the unpaid prlnclpal at the maxlmum rate permitted
by law. Should default be made in paymen~ of interest when
due, the whole sum of princlpal and lnterest shall become
immedlately due at the optlon of the holder of thlS note.
Principal and interest are payable in lawful money of the
United States. If such actlon be instituted on this note, the
undersJ.gned pr
reasonable
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Santa Monica, California, May 13, 1980
TO: Mayor and City Council
Housing Authority
Redevelopment Agency
Parking Authority
FRON' City Attorney
SUBJECT: Joint Public Hearing Regarding 175 Ocean Park Boulevard
INTRODUCTION
This report transmits four (4) resolutions setting a public hearing for
June 24, 1980, to consider various aspects of the issues regarding the property
at 175 Ocean Park Boulevard. The resolutions are to be adopted by the City
Council, Housing Authority, Redevelopment Agency, and Parking Authority at a
special joint meeting called by the Mayor for May 14, 1980.
ANALYSIS
At the April 29, 1980, Council meeting, staff was directed to determine
publication requirements for holding a public hearing regarding a possible
cooperation agreement with the County Housing Authority for rehabilitation of
the dwelling units located at 175 Ocean Park Boulevard. Staff had previously
been directed to schedule a joint public hearing of the Parking Authority,
Redevelopment Agency, and Council to consider whether the property was needed
for parking purposes and whether it should be transferred.
The attached resolutions accompl ish thiS. A joint public hearing is proposed to
be set for June 24, 1980, concurrently with the regular Council meeting.
Publication is proposed to be made in the Evening Outlook on June 10th and 17th.
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May 13, 1980
These resolutions should be adopted at a special joint meeting of all four (4)
agencies on May 14, concurrently with the regularly extended Council meeting.
The Council resolution has been placed on the consent calendar by staff. The
other resolutions are the subjects of a special-call meeting to be called by
the Mayor on May 13.
CONCLUSION
It is respectfully recommended that the attached resolutions be adopted by the
appropriate agencies.
Prepared by: Shane Stark
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JUN 2 4 1980
Santa Monica. California. June 10, 1980
Mayor and City Council
TO: Redevelopment Agency
FROM: City Staff
SUBJECT: Proposed IIContract For Sale Of land For Private Redevelopmentlt
with the United States Condominium Corporation - Ocean Park
Redevelopment Project
Background
On February 26th, 1980 the Redevelopment Agency selected United States Condominiu~
Corporation to enter into a ninety day exclusive negotiation period in order to
develop a proposed "Contract For Sale Of land for Private Development" (Contract).
The proposed Contract has been submitted to the Agency, and the Agency and Council
have designated June 2~. 1980 as the date for the joint public hearing on the
proposed contract.
Discussion
The attached IlContract" has been prepared in accordance wit!' Federal and State
requirements and has been reviewed by the City Attorneyls Office as to form and
legality. Major elements of the proposed contract are discussed below.
Purch~se Price (Page 2)
As indicated in the developer's original submission. the proposed land price is
$750,000. subj ect to Ca 1 i forn i a Hous i ng Finance Agency app ro"a 1 . In 1 i ght or
recent Federal and State !lCast containmentll policies, it is probabl~ that the final
CHFA approved land price will be substanLially less than the amount indicated above.
Given a relatively fixed amount of available subsidy dollars, and realizing that
a lower land price will permit the development of a higher quality facility, a
reduced land price may be to the City's long term advantage.
I - 0-.1 6/ C
J U N 2 4 1980
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Mayor and City Council
Redevelopment Agency
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June 10, 1980
Low and Moderate Income Housing {Page 12)
This section guarantees that the project will remain available to low and moderate
income households by prohibiting the developer from prepaying the Section 8 backed
financing and by providing the City and/or Redevelopment Agency with an option to
repurchase the site and improvements for one dollar ($1.00) at the end of the
mortgage period or 30 yearsJ whichever is longer. In the event that neither the
City or Agency would elect to repurchase the property, the developer would be required
to pay an additional amount equal to the then current fair market value of the land.
Pri~rity To Displaced low and Moderate Incom~ Elderly Persons (Page 14)
This section establishes the same occupancy priorities adopted by the Agency for
the Neilson Villa project. The priorities are first to elderly persons displaced from
the Ocean Park Project; second to elderly persons displaced by other governmental
activity from elsewhere in the City; third to elderly persons displaced by private
parties elsewhere in the City; fourth to non-displaced elderly residents of the
City; and fifth all other elderly persons. The Council may wish to include an
additional statement in this section to wit: liThe Redeveloper additionally agrees
to use his best efforts to assure that the City's ethnic and racial minorities are
given equal access to the units to be developed and that the developer will provide
a report to the Agency on the ethnic and racial composition of the tenants at the
time of original lease up and annually thereafter during the term of this Agreement.1I
Termination By Redeveloper Prior T?,.~?nveyance (Page 22)
This section implicitly recognizes the reliance on CHFA approval and funding for
the development of this project. In the event that such approval and funding be
denied~ the Developer may terminate this agreement and his deposit refunded.
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Mayor and City Council
Redevelopment Agency
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June lO, 1980
~tachment No. 3 Schedule of Performance
Since the development of this project is dependent upon the approval of several
outside agencies, including the Coastal Commission. CHFA. and possibly HUD, the
schedule has been developed to assign specific dates and time lines only when the
Developer or Agency has control of the events described. An overall date for
conveyance of the property is established for November 5, 1981 (not 1987 as typed
in the attached agreement), based on the Developer's and Agency's best estimate
of an achievable date.
Attachment N~.4 Scope of Development
The Scope of Development outlines in as specific terms as is presently possible,
the nature and scale of the proposed construction. This attachment incorporates
the provisions of the basic concept drawings submitted concurrently with this
Agreement for Agency approval.
The attachment and basic concept drawings envision certain zoning variances with
respect to parking requirements, density. and site coverage which will require
subsequent City confirmation and approval.
Recommendation
It is recommended that following the public hearing:
1. The Redevelopment Agency approve the attached resolution authorizing
the execut ion of the "Cont ract For Sa Ie Of Land For Pr ivate Redeve lopment"
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including the suggested addition, with the United States Condominium Corporation
{also attached}.
2. The City Council approve the attached resolution consenting to the Agency
execution of the "Contract" with United States Condominium Corporation.
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Mayor and City Council
Redevelopment Agency
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June 10, 1980
3. The Agency approve the submitted Basic Concept Drawings for the project.
Prepared by: John Herner
Attachments
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C),:SSS:bl
Cc~~c~l ~ee~~n6 Jc-2~-3C
Sar_"'=.&. l--C~lCe.!J C2.1=-~:)r~lc.
S-='~~FF ?:2:?DR::::'
...".~ ..-
..i..\....J .
?a~~i~; A~thc:~l~V
?:S:J~.-r :
Cl "":::r L4t~:Jrr~ey.
S-:3J~::=:'= ;
Pa~~~nG A~th0~l~Y ~ear~~g:
~75 CCeE~ Fa~~ 30~le'TE~6
=E:LR8F:<::T=::n
~ ~ci~~ ~~blic ~e~ri~g be~cre tEe C~ty Counc~l~ ?ark~ng
AU~~Gr~ty~ HOUS1~~ A~t~~r~ty~ and ?edeve12~nent Ageccy ~~ll
ce ~el~ ~o 2c~slce~ ~~s p0sslt~e d~sros~tio~ c~ t~e prop2~ty
-=-O-2.a~ej .s..t 175 C~.-2ea~.;. ?9-r~: b:::-...::le"rar.:::.
~h~s repc~~ t~a~sT~ts
a resO~U~lOL :c ~e a~o;t2d i~ ~~e ?~rk~nb Au~~cri~y ceterrri~es
~~a~ t~2 ~~2pe~~y l3 ~Gt ~eeGed ~or pa~~~~~ ~U~ycses a~d
d2ci~es tc ~r2~s~2~ ~t sc ~~at ~~2 ex~s~~~g d~e:~~~s u~~ts
:lay je rel~~2.bi~l :;a".:;eci :or -:::he ;;u~-::;::;se of prc.'lCL'lg
- .
~(j"I ~L.~8:lle
- .
::0-'; S':"'lJ.f; .
?arki~G Au~~crity f~~ds ~Gc~ ~~e
~he
-,-"L1C
lS
~ee~ej ~Qr ;2~k~n~ p~r~cses
2:'1'::
jec=-c.es ~ct
~r2..::13fer 1t,
~ ~escl~t~cE ~eed ~O~ te ~dO~~2G.
EPtC?~3ROF:r;)
~~e prc;e~ty :cca~ed ~t 175 C~ea~ ?2~~ 3cu~eva~d ~ o~~eQ
i-, "";:
'-' .
........,.- c::.
.... _1.......
t-~:"rc s:: ~'J2 t- -.l~e s
-.. '... . --
~Gr~-=-hg A~~~C~-=-~Y;
~t
. ~
=- ::-1;:, ~<') Q 1T e 8..
~c~~al~~~g ~i 6~ie~~~~~ ~Elts, ~sed ~C~ ~8~S~Dg ~erscns ~~ 12~i
i:'12Crle
1953.
lS
~8t n~~ ~sec ~C~ 92r~l~E
~~12
S::"!':C2
:;.rocer-::. v
~ 0
pl.l~pOSes .
As is explairret i~ St~ff ~e~c7:s ccco~paLY~~s ~elE:ed
i ":; e"1S ~ =-- t -.:.. s
~- ~n~ t
-c-.r""
..-....! ~--
......_ .J~i
P,.U thO:::'~l :, '.J
..
2.c-c:uire
-:: rC~1 C 2- e c.
~8:';'Slns
.2'1-
JUN 2 4: 1960
~A.
JUN 2 4 1980
e
e
~.:1e
lar:.d,
~r2~sfe~ it tc t~e
Coun~~:'"
Ecuslng
.. ., . .
A.;_::::nCr::i.. "C~' ~
a~d e~te~ i~~Q a cocper~~i8n ag~ee~e~t ~iith the Cc~~ty
Ho~s~~g A~ttori~y ~Q~
t~e rehsb~:~t&tio~
_.-..~ -'::te
- 11'
Ci-O;.~ie .lr:g
'..cni:: s .
-~
--"-- _ J-
orc_er t:J
- . ....
eIC S c- ~ ~ t..
~e 2es sa~:,~
for t~e P~rklDg A~tr.8rity
to trar:.s~e~ ~l:le to ~~e ~ro]er~y.
Cnder Sect~o~ 32302 c~ ~n2 Streets & Hlg~ways Cede (the
?arz~~~ ~c~ c~ ~9J9)~ ~ Par~~n~ ~~thor~ty ~ay dispCS2 of l&~d
T_'.T~i C ~l i t :J~~;n s .
In genera~, ac~icns Qf the Auth8~i~y req~ire ~~e
aff~rTative 1;c~e of a 7ajor~~y c~ t~e Ie~~ers~i;~
At: excej:tion
~c ~~~s ~~:e is ~nere ~Le A~~horl~7 tr2nsfe~s ~itle to ths
c=-t~.r; SeG~ion 32567 re::11.:ires a 2//3 ":.Tc;.te fc~ SUCi: a'2~lOr~"
,~
-'"
tr~~s=er ~~ a~ot~e~ p~blic entl~Y, s~c~ as tne City O~ Coun~y
3o~s~~g Aut~cri~~~ ~oes nQ3 ~e~uire a 2/3 v~te~
S~n~e ~~e ?arki~~ Aut~o~i~y eXlsts to pr8vide p~tlic
pa~zlng, 2~Y cispositicL of i~s ~rOr2rty Sh2U~6 be pre6icated
G~ ~ f~nd~~~ ~h~t t~2 prcpe~ty is LO~ ~eeded ~or par~~~g
purp8ses.
S~cb _ findiEg ~ay be based O~ evide~ce that the
prcj:erty is -:lot cceeded "':;0 :::,~c'r=-de parkir:g f'c:::- 1 ts s-~:::>ro:.lEQing
~rea, 8r ~~a~ t~e ~~o~erty is no~ su~t2ble =G~ 0~~~~ng p~rposes.
~he ~se of ~~bl~c 9rcpe~~y ~Qr p~cv~siQn cf lo~ ihco~e
hous~~g 13 a valid ~~tl~c Dur00S2.
~t is approp~iate for tee
Park!n~ Au~ho~ity "':;c ~~dicate ~hat the cor:~inued use of
1 75 JceCi~l ?a~~( 3cJ~~le,,:.."-.s.~j ='C::7 =-C:~I ~rlC.0"Le ~-~-J31~g_ ;=urpc.ses i'.~l-L-L
best serve ~~e cverGll y~b~i2 ~~terest, 2Ed t~a~ c p~blic enti~y
."'h~-"" -t:~-~
--J v l.::::....:... ~. ~~~i
~he
:2.Y .::"~l~g
AU::.~1C:::-i "': v
~s test 2..81e to
ret:.abi1i te::;e
t~s 2xist.i~g c~elll~G uci~s.
The ~~tac~ec resol~tic~ co~~a~hs a~~~cy~ia~e f~Ej~LSS; i~
21so s~ates t~e A~t~2ri~vrs a6:::-eeYeL~ to di3DCS1~io~ of the
-~-
e
e
p~8perty c~d di~~c~icn fer sclicitat~o~ c: p~oposals f~o~
pU::'l..:..e
e~~.=- ~ies
=~cr tr2.~S ==e:::
~:1S
~~op ert.y
a~d re~~bili~a~ic~
of ~he j~e~~i~g ~~its.
ALTER~',pc'==\"-::':S
The ?8~~i~g ~~t~c~~ty shc~16 he2r e~Tide~ce of the potentlal
~ses o~ t~e p~operty a~d t~e ~eec for pc~kl~g l~ ~~e area ~earty.
I: ~t de~er~~~es t~c~ ~ce p~cperty ~s ~ot needed ~8r ~2~XL~g
p~~~Qses} 2ni ~~at it IT2Y ass: ce used fc~ _C~ ~Lco~e ho~sinb
p~~~oses~ l~ s~0~~d 2do0~ ~~e 2tt&cced res01~~lJn cLd proceec
~~itt ~~e ~e~a~Li~g ~~e~s en t~e Joi~~ ~eeti~g age~dc.
~he A~t~cr~~y de~er~i~es
~r:~~
t;~e
=- 3.r<1
is
r:eeded
tc
-C~C\T~c.e rar~:=-hg,
st:C1..1~5 ~~:.~~ Gs.~e
....." .
~:ll s
";)y r::::,tic"''co
~esolu~io~ ~o~ld
~e::;e ss 3.r'\'! .
?~C8~::I":::2::'TA T =01:;
If tee Pcrz~Dg A~t~or~ty Qet2~Dines ~Lat t~e p~c~e~~y
:'3 D~lt ~ee6-ed ~c.r :,=:'a.~k~~g P-.jl"'pcses a~~d shoc.ld t-e .~sed ~o D:::o-::T=-c.e
lo~ ~~c~~e ~c~s~~g~
~ ~
~s res~ect~~:~y ~eco~Ie~dej ~ha~ the
a~ta0hed ~esol~tic~ be ~Qa0ted.
~reDa::'ed tn.
Stephe~ S~a~e 2~2~L, Ac~ihg 8~ty A~~c~rrey
-~-
/
e
e
'II r.( '-00 v
~ - b" G
/ /
i I
Santa Monica. California. June 10. 1980
JUN 2 4 1980
TO Mayor and City Council
Housing Authority
FROM: City Staff
SUBJECT: Proposed 'LCooperation Agreement'l and Proposed IIAgreement"
with the Los Angeles County Housing Authority
Background
In late April of this year. the City was approached by the Los Angeles County
Housing Authority in regard to the rehabilitation of the City-owned units at
175 Ocean Park Boulevard.
The County Housing Authority indicated that they have an existing allocation of
funds under the Substantial Rehabilitation Section 8 Program which could be
util ized for this project. The feasibil ity of transferring the units to the
County for subsequent rehabl 1itation and management is c~rrently under analysis.
A specific proposal indicating the terms, conditions, rehabilitation plans, and
management plan will be presented to the Council in the near future.
Discussion
tn order for the County Housing Authority to proceed with their analysis. it is
necessary to adopt a "Cooperation Agreement" bet\'Jeen the County Housing Authority
and the City. and an L'AgreeMent!' between the County and City Housing Authorities.
These documents, which are required by State and Federal law, permit the County
Housing Authority to operate within the jurisdiction of the City and City Housing
Authority. The documents limit the activities of the County Housing Authority to
the developnent or rehabilitation of twenty-seven (27) units; and, as previously
Indicated. the actual implementation program would be governed by a specific
agreement to be presented to the Council.
~-b/c
J U N 2 4 1960
e
e
Mayor and City Council
Housing Authority
-2-
June 10, 1980
Recommendation
It is recommended that following the public hearing:
I. The Housing Authority of the City of Santa Monica approve the attached
LLAgreementlL with the Los Angeles County Housing AuthorIty, and authorize
the Chairman to execute the document.
2. The City Council adopt the attached resolution authorizing the execution
of the "Cooperation Agreement" with the Los Angeles County Housing
Author i ty .
Prepared by
John Herner
JH:mh
Attachments (3)
e
e
HOUSING AUTHORITY OF THE
CITY OF SANTA MONICA
HOUSING AUTHORITY OF THE
COUNTY OF LOS ANGELES
AGREEMENT
THIS AGREEMENT made and entered into this 24th day of June 1980, by and
between the HOUSING AUTHORITY OF THE CITY OF SANTA MONICA (the "City Housing
Authorityll). and the HOUSING AUTHORITY OF THE COUNTY OF LOS ANGELES (the "County
Housing Authorityl').
WHEREAS, it is the policy of the City Housing Authority and the County
Housing Authority to realize as soon as feasible the goal of providing a decent hOMe
in a suitable Jiving environment for all citizens within the City of Santa Monica and
the County of Los Angeles; and,
WHEREAS, under the provisions of the United States Housing Act of 1937, as
amended (the "Actl'). the U.S. Department of Housing and Urban Development (IfHUDIt) is
authorized to provide financial assistance to local oublic housing agencies ("housing
authorities.') for undertaking and carrying out low-rent housing projects that wil I
assist in meeting this goal; and,
WHEREAS, pursuant to Section 15(7)(b) of the Act, as amended, it is necessary
in order to obtain Federal financial assistance for low-rent housing that the local
governing body enter into a Cooperation Agreement with the local housing authority
providing for local cooperation in connection with such housing projects; and,
WHEREAS, pursuant to Section 34515 of the Health and Safety'Code express
authority is given for local governing bodies to enter into agreerr~nts with housing
authorities providIng for local cooperation with respect to low-rent housing projects;
and,
WHEREAS, the City of Santa Monica proposes to enter into a Cooperation
Agreement with the County Housing Authority providing for local cooperation in
e
e
connection with the develop~ent of twenty-seven (27) dwellin~ units for living
11~ Of/-
accommodations for persons of low income to be located"in the City of Santa Monica;
WHEREAS. pursuant to Section 34209 of the Health and Safety Code where a
and,
housing authority of a city is empowered to transact business. the housing authority
of a county has no power to initiate any project within the territorial boundaries of
the city and the city housing authority has been empowered to act within the city; and,
WHEREAS, pursuant to Section 34324 of the Health and Safety Code, the City
Housing Authority may enter into an agreement with the County Housing Authority
pursuant to whIch the County Housing Authority is autborizec to act on behalf of the
City Housing Authority as its agent in financing, planning, undertaking. owning.
constructing or rehabilitating. operating or entering into any contract with respect
to a housing project within the area of operation of the City Housing Authority.
NOW, THEREFORE. THE PARTIES AGREE AS FOLLOWS:
1. Pursuant to the provisions of the Housing Authorities Law of the State
of California (Health and Safety Code 34324), the City Housi"9 AuthOrjt)1~es
the County Housing Authority to act on behalf of the City Housing Authority as its
agent in finanCing. planning. undertaking, owning, constructing or rehabilitating,
operating and entering into a contract with,~resp.ect to ,2 tw~n,~Yffeven unit elderly/
rJtt1..tL-L4( (tt /7 \ U r .
family/handicapped low-rent housing project within the are2 of operation of the City
'"
Housing Authority.
2. The City Housing Authority hereby allocates to the Project twenty-seven
~~ units of its referendum authorization for housing for persons of low income.
A; ~0VYl 3
fY ..~
------- ---~ IN WITNESS WHEREOF, this Agreement is executed by the parties hereto by
their respective officers thereunto duly authorized. as follows:
APPROVED AS TO C 4- SI S"""
LEGAL FORM: '" )Je~a.L "'- 1AAu.e.... ,.osk
Acii ngC i ty Attorney - --
JOHN J. BAMBRICK, Chairm2n
Housing Authority of the
ATTEST:
Secretary Pro Tempore
-2-
e
e
HOUSING AUTHORITY OF THE COUNTY OF LOS ANGELES:
BY:
Chairman of the Board of Commissioners
ATTEST:
Secretary to the Board
AUTHORIZED BY RESOLUTION NO.
APPROVED AS TO FORM
DATE
-3-