TITLE
Recommendation to receive supporting documentation into the record, conduct and conclude the hearing; adopt the resolution making certain findings and approving and authorizing the Executive Director of the Redevelopment Agency to execute a Disposition and Development Agreement with Lyon Promenade, LLC; and
Adopt resolution making certain findings regarding the construction of certain public improvements with Downtown Long Beach Redevelopment Project Area Funds. (Downtown - District 2)
DISCUSSION
Backaround
Since November of 2001, the Redevelopment Agency (Agency) has been negotiating with three developers for the redevelopment of portions of The Promenade between First Street and Third Street. Negotiations concluded with The Olson Company in September of 2004 for the development of Site 1 (Exhibit A - Map of Promenade Development Projects) and construction is now underway. An agreement was reached with Lennar on December 12, 2005 for Site 2, and construction is ready to commence.
Negotiations are now complete with Lyon Realty Advisors for Site 3. This public hearing is to consider the sale of Site 3 to Lyon Promenade, LLC (Developer).
Terms and Conditions of the Sale
The terms and conditions of the sale and subsequent development are included in a Disposition and Development Agreement (DDA) between the Agency and the Developer. Under the terms of that DDA, the Developer has four months from the execution of the DDA to determine whether to proceed with the project. However, if the Developer elects to proceed with the project, construction must commence by January 1, 2007.
The purchase price for the land is $2,912,200 for the 28,600 square-foot parcel at the southeast corner of The Promenade and Third Street and for the 29,076-square-foot parcel on Long Beach Boulevard between Third Street and Broadway. Of this total, $234,132 will be paid to the Redevelopment Agency by the developer and earmarked for public art in The Promenade.
The balance of this...
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