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HomeMy WebLinkAboutCC AG PKT 2004-08-09 #Q AGENDA REPORT DATE: August 9, 2004 TO: Honorable Mayor and City Council THRU: John B. Bahorski, City Manager FROM: June Yotsuya, Assistant City Manager SUBJECT: ACCEPTANCE OF OLD RANCH TENNIS CLUB FROM BIXBY RANCH COMPANY SUMMARY OF REQUEST: City Council to provide authorization for City Manager and staff to proceed with the acceptance of Old Ranch Tennis Club and receipt of funds. BACKGROUND: In the Bixby Old Ranch Towne Center Development Plan, Section 3.2.5. Dedications, Reservations and Conditions of Development, it states that Bixby Ranch Company offers to dedicate the Tennis Club to the City at no cost to the City, in an "as is" condition. Upon acceptance of this offer of dedication, Bixby Ranch Company will also pay to the city the sum of $1,000,000. The offer of dedication and payment shall begin on the effective date of the Ordinance and remain open for a period of five years, and may be accepted by the City at any time after the effective date by sending written notice of such acceptance to Bixby Ranch Company. Ordinance Number 1440 -A readopted the Development Agreement between the City of Seal Beach and Bixby Ranch Company, regarding the "Bixby Old Ranch Towne Center Development Plan". The City Council adopted the ordinance on August 23, 1999 and the ordinance became effective on September 22, 1999. The offer of property also includes a monetary payment of $1,000.000. Bixby Ranch Company has already advanced $107,000 to the City of which $8,768 went towards architectural /landscape study prepared several years ago. Therefore, the remaining balance from Bixby to the City is $893,000. In total, the City will have $991,232 available for improvements in College Park East including but not limited to the tenths club property. Staff is in the process of updating the cost estimates for the anticipated improvements to the tennis facility as well as the City's future ongoing maintenance expenses for the property. City Staff is moving forward with the Request for Proposals process to secure a lessee to operate the tennis club as a municipal recreational tennis facility. However, to proceed with meeting the Item 0 August 9, 2004 City Council Agenda Report — Acceptance of Old Ranch Tennis Club Page 2 terms of the development agreement, staff requests that City Council provide authorization to City Manager and staff to process any documents necessary to complete the transaction by September 22, 2004, including submission of a grant deed and submittal of letter requesting the balance owed by Bixby. FISCAL IMPACT: There are minor administrative costs to cover the title report, recording of grant deed, etc. RECOMMENDATION: City Council to provide authorization for City Manager and staff to proceed with the acceptance of Old Ranch Tennis Club and receipt of funds by September 22, 2004. Submitted by: • �une Y suya, Assistant City Manager NO ' I A i ' : El i Jo : Bahorski, City Manager • tachments Acceptance Letter Quitclaim Deed • (date) VIA TELECOPY AND CERTIFIED MAIL, RETURN RECEIPT REQUESTED Bixby Ranch Company 3010 Old Ranch Parkway, Suite 100 Seal Beach, Califomia 90740 -2750 Attn: Ronald A. Bradshaw Re: Acceptance of Offer of Dedication under Development Agreement dated July 14, 1997 between the City of Seal Beach and the Bixby Ranch Company, as supplemented by Operating Memorandum Number One and Operating Memorandum Number Two (collectively, the "Development Agreement ") Ladies and Gentlemen: The City of Seal Beach hereby accepts the offer of dedication described in Section 3.2.5.1 of the above - referenced Development Agreement, which relates to the "Tennis Club" as defined in such Development Agreement. Section 3.2.5.1 of the Development Agreement provides that upon acceptance of such offer of dedication, the Bixby Ranch Company shall pay to the City the sum of One Million Dollars ($1,000,000.00) to be used for improvements that benefit the College Park East neighborhood, including but not limited to improvements related to the Tennis Club property. However, under Operating Memorandum Number Two dated July 12, 2001, $100,000 of such sum has been previously paid. Bixby Ranch has also previously advanced an additional $7,000 to the City, leaving a balance due of $893,000. In order to confirm the transfer of title of record (and enable the City to obtain title insurance), please promptly execute, acknowledge and return the enclosed Quitclaim Deed to our real estate counsel, Bruce Galloway, Esq., of Richards, Watson & Gershon, at 355 South Grand Avenue, 40 Floor, Los Angeles, California 90071 -3101. S7284- 0001 \7866721 Very truly yours, CITY OF SEAL BEACH, a municipal corporation By: Name: Title: cc: Quinn Barrow, Esq. Bruce W. Galloway, Esq. Stephanie R. Scher, Esq. (via Certified Mail to: Kane, Ballmer & Berkman, 515 South Figueroa Street, Suite 1850, Los Angeles, California 90071 -3101) 57284- 0001 \786672.1 Recording Requested by and when recorded return to, and mail tax statements to: City of Seal Beach c/o Richards, Watson & Gershon 355 South Grand Avenue, 40 Floor Los Angeles, California 90071 -3101 Attn: Bruce W. Galloway, Esq. Assessor's Parcel Number(s): NO RECORDING FEE — PUBLIC ENTITY CONVEYANCE — Government Code § 27383 QUITCLAIM DEED The undersigned grantor declares that the documentary transfer tax is $ 0 (public entity conveyance; R &T Code §11922). • FOR VALUABLE CONSIDERATION, receipt of which is hereby acknowledged, BIXBY RANCH COMPANY, a California limited partnership, hereby REMISES, RELEASES AND QUITCLAIMS, as of September 22, 2004, without representation or warranty, express or implied, to the CITY OF SEAL BEACH, a municipal corporation, all of its right, title and interest in the land located in the City of Seal Beach, County of Orange, State of California, described on Exhibit "A" attached hereto, together with all improvements thereon. GRANTOR: BIXBY RANCH COMPANY, a California limited partnership By: Bixby Management Corporation, a Delaware corporation, Its General Partner By: Name: Title: 57284- 0001 \786677.1 STATE OF CALIFORNIA ) ss. COUNTY OF LOS ANGELES ) On , 2004, before me, , Notary Public, personally appeared , proved to me on the basis of satisfactory evidence to be the person whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his authorized capacity, and that by his signature on the instrument the person, or the entity upon behalf of which the person acted, executed the instrument. • WITNESS my hand and official seal. Signature Notary Public S7284- 0001A786677.1 EXHIBIT "A" TO QUITCLAIM DEED LEGAL DESCRIPTION OF LAND That certain land located in the City of Seal Beach, County of Orange, State of California, being an undivided portion of Sections 31 and 32, Township 4 South, Range 11 West, San Bernardino Base and Meridian, in the Rancho Los Alamitos, as per the map filed in Book 14, Page 31 of Deeds, in the Office of the County Recorder of said county, described as follows: Beginning at the intersection of the northerly line of Parcel 1 of the land described in the deed to the State of California recorded February 2, 1960 in Book 5082, Page 307 of Official Records with the southeasterly line of Lampson Avenue 80.00 feet wide, as described in the deed to the City of Seal Beach recorded April 7, 1965 in Book 7475 Page 46 of Official Records, said point being the beginning of a curve in said southeasterly line, concave northwesterly having a radius of 1040.00 feet, a radial to said point bears S 00 °11'56" W; thence northeasterly 930.35 feet along said curve through a central angle of 51°15'17"; thence N 38°56'39" E 145.00 feet along said southeasterly line to the westerly corner of Parcel 3 of the land described in Book 7594, Page 609 of Official Records; thence N 89 °08' 14" E 39.05 feet along the southerly line of said Parcel 3 to the southwesterly line on Parcel 2 described in said deed; thence S 51 °03'21" E 89.94 feet along said southwesterly line to the beginning of a curve concave northeasterly having a radius of 430.00 feet; thence southeasterly 282.46 feet along said curve through a central angle of 37 °38'25" to a point to which a radial bears S 01°18'14" W, said point being the beginning of a curve in the westerly line of Parcel 1 of the land described in the deed to the City of Seal Beach recorded March 13, 1968 in Book 8541, Page 859 of Official Records, said curve being concave southwesterly having a radius of 15.00 feet; thence southeasterly 23.27 feet along said curve through a central angle of 88°53'42"; thence S 00 °11'56" W 220.78 feet along said westerly line to the beginning of a curve concave westerly having a radius of 40.00 feet; thence southerly 21.49 feet along said curve through a central angle of 30 °47'03" to the beginning of a reverse curve concave easterly having a radius of 70.00 feet; thence southerly 109.69 feet along said curve through a central angle of 89°47'00" to said northerly line of the land of the State of California; thence N 89 °48'04" W along said northerly line to the point of beginning. 57284- 0001 \786677.1 Revised • AGENDA REPORT • DATE: August 9, 2004 TO: Honorable Mayor and City Council THRU: John B. Bahorski, City Manager FROM: June Yotsuya, Assistant City Manager SUBJECT: ACCEPTANCE OF OLD RANCH TENNIS CLUB FROM BIXBY RANCH COMPANY SUMMARY OF REQUEST: City Council to provide authorization for City Manager and staff to proceed with the acceptance of Old Ranch Tennis Club and receipt of funds. BACKGROUND: • In the Bixby Old Ranch Towne Center Development Plan, Section 3.2.5. Dedications, Reservations and Conditions of Development, it states that Bixby Ranch Company offers to dedicate the Tennis Club to the City at no cost to the City, in an "as is" condition. Upon acceptance of this offer of dedication, Bixby Ranch Company will also pay to the city the sum of $1,000,000. The offer of dedication and payment shall begin on the effective date of the Ordinance and remain open for a period of five years, and may be accepted by the City at any time after the effective date by sending written notice of such acceptance to Bixby Ranch Company. Ordinance Number 1440 -A readopted the Development Agreement between the City of Seal Beach and Bixby Ranch Company, regarding the "Bixby Old Ranch Towne Center Development Plan ". The City Council adopted the ordinance on August 23, 1999 and the ordinance became effective on September 22, 1999. The offer of property also includes a monetary payment of $1,000.000. Bixby Ranch Company has already advanced $107,000 to the City of which $8,768 went towards architectural /landscape study prepared several years ago. Therefore, the remaining balance from Bixby to the City is $893,000. In total, the City will have $991,232 available for improvements in College Park East including but not limited to the tennis club property. Staff is in the process of updating the cost estimates for the anticipated improvements to the tennis facility as well as the City's future ongoing maintenance expenses for the property. City Staff is moving forward with the Request for Proposals process to secure a lessee to operate 111 the tennis club as a municipal recreational tennis facility. However, to proceed with meeting the , August 9, 2004 ' City Council Agenda Report — Acceptance of Old Ranch Tennis Club Page 2 • terms of the development agreement, staff requests that City Council provide authorization to City Manager and staff to process any documents necessary to complete the transaction by September 22, 2004, including submission of a quitclaim deed and submittal of letter requesting the balance owed by Bixby. FISCAL IMPACT: There are minor administrative costs to cover the title report, recording of quitclaim deed, etc. RECOMMENDATION: City Council to provide authorization for City Manager and staff to proceed with the acceptance of Old Ranch Tennis Club and receipt of funds by September 22, 2004. Submitted by: June Yotsuya, Assistant City Manager • NOTED AND APPROVED: John B. Bahorski, City Manager Attachments Acceptance Letter Quitclaim Deed • 4' ' , - SEA( g' o \N gORPO @qj F q�., ^ a: v 2 y2 11,F 2] 19 0 • CITY HALL 21 1 EIGHTH STREET SEAL BEACH, CALIFORNIA 90740 -: - :,} -'�',' ; -._ - ;, '(562)431- 2527• n v.ciseal- beach.ca:us .,. r..f, u�;. A, �. .„ �?'+sxx....d', �.. „y,n .k....b ✓AI Wr.F,z:+aa ...4N :nrr.. a-. . ..�.. eu. Fa ..., 35; � u u.�w .. rs s,�i;'Att�.9z ...,+M.4'.. $;, .v; e..: o, i� • ... s.N£ August 10, 2004 LETTER HAND - DELIVERED Bixby Ranch Company 3010 Old Ranch Parkway, Suite 100 Seal Beach, California 90740 -2750 Attn: Timothy J. King Vice President and Chief Financial Officer Re: Acceptance of Offer of Dedication under Development Agreement dated July 14, 1997 between the City of Seal Beach and the Bixby Ranch Company, as supplemented by Operating Memorandum Number One and Operating Memorandum Number Two (collectively, the "Development Agreement ") Ladies and Gentlemen: The City of Seal Beach hereby accepts the offer of dedication described in Section 3.2.5.1 of the above - referenced Development Agreement, which relates to the "Tennis Club" as defined in such Development Agreement. Section 3.2.5.1 of the Development Agreement provides that upon acceptance of such offer of dedication, the Bixby Ranch Company shall pay to the City the sum of One Million Dollars ($1,000,000.00) to be used for improvements that benefit the College Park East neighborhood, including but not limited to improvements related to the Tennis Club property. However, under Operating Memorandum Number Two dated July 12, 2001, $100,000 of such sum has been previously paid. Bixby Ranch has also previously advanced an additional $7,000 to the City, leaving a balance due of $893,000. In order to confirm the transfer of title of record (and enable the City to obtain title insurance), please promptly execute, acknowledge and return the enclosed Quitclaim Deed to our real estate counsel, Bruce Galloway, Esq., of Richards, Watson & Gershon, at 355 South Grand Avenue, 40 Floor, Los Angeles, California 90071 -3101. Very truly yours, CIT OF • BEACH, a mus' %.al corporation Jo /°' Bahorski City Manager cc: . Quinn Barrow, Esq., Richards, Watson and Gershon Bruce W. Galloway, Esq., Richards, Watson and Gershon Jeannette Christenson, Esq., Bixby Ranch Company