For City Council Meeting [April 24, 2018]
TO: Honorable Mayor and City Council
APPROVAL: Robb R. Steel, Interim City Administrator
Title
Request City Council to Conduct a Public Hearing to Adopt Resolution No. 7323 Approving (1) a Purchase and Sale Agreement and Joint Escrow Instructions and (2) a Construction Loan Agreement by and between the City of Rialto and Ayala@210LLC and Adopt Budget Resolution No. 7324 Appropriating Funds for the maximum amount of $3,700,000.
(ACTION)POWERPOINT
Body
BACKGROUND:
On March 14, 2017, the City Council approved an Option to Purchase and Develop Site Agreement ("Option Agreement") by and between the City of Rialto and Ayala@210LLC ("Developer") for a commercial development anchored by Cracker Barrel, Sonic, and a major chain hotel situated on an 8-acre site situated east of Ayala Avenue and north of Renaissance Parkway/Easton Avenue ("Site"). The site map is attached hereto as Exhibit A.
On March 28, 2017, the City Council approved a Purchase and Sale Agreement between the City and the County Flood Control District ("CFD") to purchase 4.4 acres of CFD parcels for $1,661,000. On September 1, 2017, the City closed escrow.
On March 28, 2017, the City Council approved a Purchase and Sale Agreement between the City of Rialto and the Rialto Successor Agency (RSA) to purchase 3.08 acres from the RSA for $1,342,000 (the "RSA Parcels"). On March 27, 2018, the City Council appropriated $1,342,000 to acquire the RSA Parcels in April 2018. On April 5, 2018, the City closed escrow on the RSA Parcels. The City of Rialto owns the Site.
The Option Agreement obligates the Developer (or in some cases, the purchaser/user) to complete the following tasks:
* Secure Land Use Entitlements. In December 2017, the Developer obtained the required entitlements to develop the Site and received Conditions of Approval for PPD # 2017-0066.
* Prepare On-Site Improvement Plans and Obtain Bids. The Developer prepared on-site improvement pla...
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