TITLE
Recommendation to approve and authorize City Manager to execute and take all actions reasonably necessary to implement an Amended and Restated Owner Participation Agreement with Shoreline Gateway, LLC, for the development of the Shoreline Gateway Project. (District 2)
DISCUSSION
On November 5, 2007, the former Redevelopment Agency entered into an Owner Participation Agreement (OPA) with Shoreline Gateway, LLC, for the development of the Shoreline Gateway Project on a site located at the northwest corner of Ocean Boulevard and Alamitos Avenue (Exhibit A - Site Map). Due to the prolonged downturn in the real estate market, and the pioneering nature of the project, Shoreline Gateway, LLC, was unable to comply with the Schedule of Performance set forth in the OPA, and development never began. The City of Long Beach now has the opportunity to stimulate the redevelopment of this site in support of the original vision, while enhancing the economic potential.for additional property tax revenues.
The Shoreline Gateway Project was approved as a two-phase development. Phase One (East Tower) included 221 market rate, ownership residential units and 12,600 square feet of retail space in a 35-story mixed-use tower. Phase Two (West Tower) included a 21-story mixed-use development. As outlined in the OPA, the development site for Phases One (East Tower) and Two (West Tower) included a total of five parcels. The City of Long Beach, as Successor Agency to the Redevelopment Agency of the City of Long Beach (Successor Agency) owns four parcels, including 777 East Ocean Boulevard (Parcel 1 a), 19 Lime Avenue (Parcel 2), 619 East Ocean Boulevard (Parcel 3), and 645 East Ocean Boulevard (Parcel 4). Shoreline Gateway, LLC, owns the parcel at 635 East Ocean Boulevard (Parcel 1) (Exhibit B - Site Map with Existing Phasing).
For development of Phase One (East Tower), Shoreline Gateway, LLC, would have paid $1,820,000 to acquire Parcel 1 a, and $410,000 to acquire subsurface ea...
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