SR-08-12-2014-3MCity Council Meeting: August 12, 2014
Agenda Item: 3® M
To: Mayor and City Council
From: Andy Agle, Director of Housing and Economic Development
Subject: Conveyance of property at 2525 Michigan Avenue
Recommended Action
Staff recommends that the City Council authorize the City Manager to execute all
documents necessary to convey a portion of City -owned property at 2525 Michigan
Avenue to the Exposition Construction Authority (Expo) for the construction and
operation of the Exposition Light Rail Transit (EXPO LRT) station.
Executive Summary
In order to improve the pedestrian sight line along the westerly entrance to the
Bergamot/26th Street Station which abuts 26th Street, City staff has requested that Expo
realign the west ramp's wall leading to the station platform area. The realignment
requires the City to convey to Expo an approximate 230 - square foot portion of
City -owned property at 2525 Michigan Avenue. Since City staff requested this
construction change, or betterment as identified in the Master Cooperative Agreement
(MCA), no compensation would be received by the City from Expo for the property
conveyance.
Background
Phase 2 of the Exposition Light Rail Transit (EXPO LRT) line will connect Downtown
Los Angeles to Downtown Santa Monica with three stations in Santa Monica:
Bergamot/26th Street Station (at Bergamot Arts Center); Colorado Avenue /17th
Street /SMC Station (at Memorial Park); and the Downtown Santa Monica Terminus
Station (at Colorado Avenue /4th Street). Expo is designing and building the EXPO LRT
line. Once completed, it will be turned over to the Los Angeles County Metropolitan
Transit Authority (Metro) for operation. Phase 1 of the EXPO LRT line connecting
Downtown Los Angeles and Culver City opened in April 2012 with Phase 2 extending
the line to Santa Monica scheduled to open in early 2016.
0
The City acquired the nine -acre parcel located at 2525 Michigan /2715 Exposition
Boulevard /1800 Stewart Street from Southern Pacific Transportation Company in 1989.
The western portion of the site is approximately 5.4 acres and is leased to Bergamot
Station, Ltd. This entity manages the Bergamot Station Arts Center, a complex
comprised of over 30 art galleries, creative businesses, and a non - profit theater
company. The eastern portion of the City -owned property covering 1800 Stewart Street
is approximately four acres and is leased to Agensys, Inc. under a long -term ground
lease.
On July 13, 2010, Council unanimously adopted a range of betterments to incorporate
into the City's three Expo stations that included separate station platforms for east and
west bound trains at the Bergamot/26th Street Station and a second entrance at
Memorial Park /17th Street Station. On September 13 2011, Council authorized the
Master Cooperative Agreement (MCA) with Expo. The MCA provides a mechanism for
the City to request changes or betterments.
On June 28, 2011, Council approved preliminary engineering services at Memorial
Park/17th Street and Bergamot/26th Street Stations. On September 13, 2011, it
authorized negotiation with the Authority for the betterments at these
stations. On December 13, 2011, Council authorized an agreement with Expo to
perform final engineering and construction of betterments for the two stations.
On January 24, 2012, Council authorized an agreement with Expo for a local match for
baseline station components and an agreement for engineering and construction of
betterments at the Downtown /4th Street Station.
Discussion
Expo and its design - builder, Skanska -Rados Joint Venture (SRJV), have completed
final design and commenced construction at the Bergamot/26th Street
Station. A portion of what is being constructed of the station is a City betterment
approved by Council. This betterment was initiated to provide separate station platforms
for east- and west -bound trains at the Station. In accordance with the MCA, the City
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has asked Expo and its design - builder, Skanska- Rados, to realign the west ramp wall at
the Bergamot/26th Street Station's entrance in order to improve the pedestrian sight line
along the pathway leading to the station platform area (Attachment A). City staff
believes that the current design creates a sight line problem for pedestrians entering the
west ramp along 26th Street, and reorientation of the west ramp wall would allow
pedestrians to have a clearer path entering the station. In order to implement this
change, a portion of the new ramp wall would encroach slightly onto City property along
the southwest boundary line. Since the City has requested the betterment pursuant to
the MCA, and because Expo would be unlikely to complete the betterment if the City
sought compensation for the small piece of land, staff recommends transferring the
property at no charge. Property sales in the area have ranged from $200 to $300 per
square foot. However, any commercial value to the property would be severely
constrained by its size and immediate adjacency to the station platform. Upon approval
by Council, the ramp improvements will be completed pursuant to the MCA.
Financial Impacts & Budget Actions
There is no immediate financial impact or budget action necessary as a result of the
recommended action. Design and construction cost impacts are budgeted within a
previously executed betterment agreement between the City and Expo.
Prepared by: Erika Cavicante, Senior Development Analyst
Approved:
Andy Agle, Director
Housing and Economid evelopment
Attachments:
Forwarded to Council:
s P
Rod Gould
City Manager
A. West Ramp Wall Orientation at Bergamot/26th Street Station
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