TITLE
Recommendation to authorize City Manager to execute all documents necessary to amend Agreements 26120 and 30225 for aeronautical-related businesses at the Long Beach Airport. (District 5)
DISCUSSION
In 1996, the City entered into a development agreement with Westland Construction (Westland) for the development of Airport property located at the corner of Spring Street and Temple Avenue, commonly known as Parcel J. Westland developed the property into what’s now known as Parcel J. Westland Parcel J Partners, LLC, was formed in order to complete the project and subdivide the property into nine parcels. The nine parcels were leased to various entities. In 1999, the City entered into agreements with five businesses (J-1 Flying Partners, Westland Parcel J Partners, LLC, Tom’s Aircraft, Long Beach Flying Club, and Rainbow Air, LLC) spanning the whole property. This development largely supports the Airport’s general aviation activities.
Agreements 30225 and 26120 with J-1 Flying Partners LLC, and Westland Parcel J Partners, LLC, respectively, went into default in 2011. The leases were subsequently reassigned to PT-1 Hangars, LLC, and White Buffalo Holdings, LLC, in 2012. White Buffalo Holdings, LLC, discovered that the legal descriptions for both agreements were recorded incorrectly during the initial development shortly after accepting the property. A portion of Flying Partners’ leasehold was erroneously included in White Buffalo’s leasehold. The properties have been resurveyed and the legal descriptions have been modified. The tenants now request that the leases be amended to formalize the corrected legal descriptions.
This matter was reviewed by Deputy City Attorney Richard Anthony and Budget Management Officer Victoria Bell on June 12, 2012.
TIMING CONSIDERATIONS
City Council action is requested on July 3, 2012, to allow for timely execution of the amendments and recording with the County of Los Angeles.
FISCAL IMPACT
There is no fiscal im...
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