TITLE
Recommendation to authorize City Manager, or designee, to execute an Improvement and Reimbursement Agreement (Agreement), and any other necessary documents including subsequent amendments, with Centro C.H.A. Inc., for the delivery of the Center for Inclusive Business and Workforce Development (Center) located at 1858 Atlantic Avenue. (District 6)
DISCUSSION
For the past three years, the City of Long Beach (City) and Centro C.H.A., Inc. (Centro CHA),
have been engaged in negotiations for the use and purchase of the City-owned property located at 1858 Atlantic Avenue (Subject Property) for the establishment of a new Center for Inclusive Business and Workforce Development (Center).
The City Council authorized Lease with an Option to Purchase No. 35521 on January 21, 2020, that contained an option for Centro CHA to purchase the Subject Property at a fixed price of $800,000, which Centro CHA exercised on April 8, 2020. Centro CHA applied and was approved for a loan from the Los Angeles County Development Authority for approximately $1.1 million, which allowed Centro CHA to proceed with the purchase of the Subject Property. Subsequently, the City and Centro CHA executed a Purchase and Sale Agreement (PSA) dated July 1, 2020, opened escrow for the Subject Property on December 10, 2020, and sought entitlements for the Center and received an Administrative Use Permit, Site Plan Review approval, and Categorical Exemption on November 8, 2021. City staff have continued to work with Centro CHA to identify funding sources for the project to design, bid, and construct the Center.
On March 1, 2022, the City Council adopted a Resolution authorizing the acceptance of grant funds from the California Governor’s Office of Business and Economic Development (GO-Biz) in the amount of $5 million for the delivery of a workforce center (Project). The grant funding was made possible by State Senator Lena Gonzalez’s efforts to secure a $5 million allocation from the State budget...
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