HomeMy WebLinkAboutRDA Reso No 2011-005RESOLUTION NO. 2011 -005
RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY
OF LAKE ELSINORE APPROVING THAT CERTAIN AMENDED AND
RESTATED DISPOSITION AND DEVELOPMENT AGREEMENT BY
AND AMONG THE REDEVELOPMENT AGENCY OF THE CITY OF
LAKE ELSINORE, McMILLIN SUMMERLY LLC AND CIVIC
PARTNERS- ELSINORE LLC
WHEREAS, the Redevelopment Agency of the City of Lake Elsinore ( "Agency ")
is engaged in activities necessary to execute and implement the Redevelopment Plans
for the Rancho Laguna Redevelopment Project Areas Nos. II and III ( "Redevelopment
Project Areas "); and
WHEREAS, in order to implement the Redevelopment Plans for the
Redevelopment Project Areas, the Agency has previously entered into that certain
Disposition and Development Agreement ( "Original DDA ") by and between the Agency,
Laing- CP Lake Elsinore LLC and Civic Partners- Elsinore LLC; and
WHEREAS, the parties to the Original DDA commenced performance of the
activities contemplated therein, including the conveyance of certain Agency property to
Laing, the commencement of massive rough grading, the completion of the golf course
and the construction of certain backbone infrastructure improvements as provided under
the Original DDA; and
WHEREAS, in 2009, the managing member of Laing declared bankruptcy, the
project stalled, the lender (Bank of America) foreclosed on the Laing properties and the
Agency notified Laing, Bank of America and the Master Developer that Laing was in
default of the terms of the Original DDA; and
WHEREAS, McMillin Summerly LLC acquired the Laing properties from Bank of
America and, together with Civic Partners- Elsinore LLC, engaged in negotiations with
the Agency to resolve all disputes concerning Agency's 2009 notice of default; and
WHEREAS, the Agency, McMillin Summerly LLC and Civic Partners- Elsinore
LLC propose to enter into an Amended and Restated DDA in order to (i) clarify the
parties' intent as to the timing, phasing and scope of work, (ii) eliminate ambiguities and
provide greater certainty in the protocols and requirements relating to the
commencement and completion of the phases and the accrual, reporting, calculation
and payment of tax increment revenues, (iii) reflect the current status of the project, and
(iv) avoid the delay and expense of protracted litigation by resolving all disputes.
NOW, THEREFORE, THE REDEVELOPMENT AGENCY OF THE CITY OF
LAKE ELSINORE DOES HEREBY RESOLVE, DETERMINE AND ORDER AS
FOLLOWS:
AGENCY RESOLUTION NO. 2011- 005
PAGE 2 OF 3
SECTION 1. The Agency has approved the assignment and assumption by
McMillin Summerly of all of the developer's rights and obligations under the Original
DDA.
SECTION 2. The Agency hereby approves the Amended and Restated DDA and
authorizes the Executive Director to execute the Amended and Restated DDA
substantially in the form on file with the Agency Secretary and in such final form as
approved by Agency Counsel consistent with the terms set forth in the Executive
Summary dated March 8, 2011. The Agency further authorizes the Executive Director
to administer the Amended and Restated DDA on behalf of the Agency and to sign all
documents and instruments necessary to implement and carry out the Amended and
Restated DDA on behalf of the Agency in such form as is reasonably acceptable to the
Agency Counsel.
SECTION 3. The Agency Secretary shall certify to the passage and adoption of
this resolution and the same shall thereupon take effect and be in force.
PASSED, APPROVED AND ADOPTED at a regular meeting of the
Redevelopment Agency of the City of Lake Elsinore, California, this 8t" day of March,
2011.
MELISSA MELENDEZ, CHAIRWOMAN
,ATTEST:
lh ` wwk
VIRGI J. LOOM
AGENCY SECRETARY
AGENCY RESOLUTION NO. 2011- 005
PAGE 3 OF 3
STATE OF CALIFORNIA
COUNTY OF RIVERSIDE
CITY OF LAKE ELSINORE } SS
I, VIRGINIA BLOOM, Agency Secretary of the Redevelopment Agency of the
City of Lake Elsinore, California, hereby certify that Resolution No. 2011 -005 was
adopted by the Redevelopment Agency of the City of Lake Elsinore, California, at a
regular meeting held on the 8th day of March 2011, and that the same was adopted by
the following vote:
AYES: AGENCY MEMBERS: BHUTTA, HICKMAN, MAGEE, TISDALE AND
CHAIRMWOMAN MELENDEZ
NOES: NONE
ABSENT: NONE
ABSTAIN: NONE
V
VIRGINIA J. OM
AGENCY SECRETARY