Report to Successor Agency
Tuesday, January 24, 2017
Consent
SUBJECT:
Title
CONSIDER APPROVING THE SEVENTH AMENDMENT TO THE PURCHASE AND SALE AGREEMENT BY AND BETWEEN THE CARSON SUCCESSOR AGENCY AND PANATTONI DEVELOPMENT COMPANY, INC. FOR THE SALE OF AGENCY-OWNED PROPERTY LOCATED AT 2254 E. 223RD STREET (SUCCESSOR AGENCY)
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I. SUMMARY
The Carson Successor Agency (Agency) is being asked to approve the seventh amendment to the Purchase and Sale Agreement (Agreement) for sale of Agency-owned property located at 2254 E. 223rd Street (Property) (Exhibit No. 1) to Panattoni Development Company, Inc. (Developer) to develop an industrial park. This seventh amendment (Seventh Amendment) (Exhibit No. 2) would extend the closing date up to six months from January 30, 2017 or upon receipt of entitlements, whichever is sooner.
There were a number of unusual site conditions related to this property. The City's entitlement process requires that the Developer submit plans and soils reports to the LA County Department of Public Works before the City's planning department can formally process its approvals. Delays at the county level lead to most of the Agency approvals of extensions to the closing date; these extensions were in exchange for a total (so far) of $220,000 in non-refundable deposits by the Developer. The amendments brought the closing date to January 30, 2017.
The project has now received County sign-off and is now slated to go the Planning Commission in early February. Staff expects that the sale will close during this extension period.
II. RECOMMENDATION
Recommendation
TAKE the following actions:
1. APPROVE the Seventh Amendment.
2. AUTHORIZE the Agency Chairman to execute the Seventh Amendment following approval as to form by Agency Counsel.
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III. ALTERNATIVES
TAKE another action the Agency may deem appropriate.
IV. BACKGROUND
On January 21, 2014, the Agency entered into the Agreement to sell the Property to the Developer. Due...
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