Report to Successor Agency
Wednesday, July 05, 2017
Consent
SUBJECT:
Title
CONSIDER APPROVING THE EIGHTH 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 eighth 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.
There were a number of unusual site conditions related to this property. In addition, 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 $355,000 in non-refundable deposits by the Developer. The amendments brought the closing date to July 24, 2017.
The Developer has run into delays due to concerns expressed by neighboring Tesoro Refinery regarding a roadway easement that runs along the eastern side of the Property. This Eighth Amendment (Exhibit No. 2) would extend the closing date up to six months from July 24, 2017 to give the Developer time to resolve the roadway issues. Staff expects that the sale will close during this extension period.
II. RECOMMENDATION
Recommendation
TAKE the following actions:
1. APPROVE the Eighth Amendment.
2. AUTHORIZE the Agency Chairman to execute the Eighth 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 Agreemen...
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