JOINT SCHEDULED ITEM
F-1
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL, UTILITY
BOARD AND SUCCESSOR AGENCY
VIA: SERGIO GONZALEZ, CITY MANAGER
FROM: TALIKA M. JOHNSON, DIRECTOR OF ADMINISTRATIVE SERVICES DATE: AUGUST 17, 2026
SUBJECT: PUBLIC HEARING - CONSIDERATION OF SALE AND ACQUISITION OF 975 W. FOOTHILL BOULEVARD FROM THE SUCCESSOR AGENCY TO
THE CITY OF AZUSA AND RELATED FISCAL YEAR 2026/27 BUDGET
AMENDMENTS
BACKGROUND:
The Successor Agency to the former Redevelopment Agency of the City of Azusa continues to hold two remaining real property assets from the former Redevelopment Agency. The property located at 975 W. Foothill Boulevard, identified as Assessor Parcel Nos. (“APNs”) 8605-019-906 and 8605-019-907 (the “Property”), is one of those remaining assets.
The Successor Agency previously identified the Property for disposition under its approved LongRange Property Management Plan. In 2020, the Successor Agency declared the Property surplus and authorized staff to proceed with the Surplus Land Act disposition process, with any proposed sale remaining subject to Successor Agency approval.
During the Los Angeles County Consolidated Oversight Board’s review of the Successor Agency’s annual Recognized Obligation Payment Schedule, the Oversight Board inquired regarding the status of the Successor Agency’s remaining properties. Staff subsequently began the procedural work necessary to advance disposition of the Property and evaluate acquisition by the City as part of the continued wind down of the former Redevelopment Agency.
The Property was recently appraised at $3,580,000. Staff is recommending approval of a Purchase and Sale Agreement providing for the Successor Agency to sell the Property to the City at the current appraised value.
Purchase and Sale of 975 W. Foothill Blvd.
August 17, 2026
RECOMMENDATIONS:
Staff recommends that the Successor Agency take the following actions:
1) Adopt Successor Agency Resolution 2026-R07 approving the Purchase and Sale Agreement for the sale of 975 W. Foothill Boulevard (APNs 8605-019-906 and 8605-019- 907) to the City of Azusa for $3,580,000, subject to the conditions and approvals set forth in the Agreement;
2) After Los Angeles County Consolidated Oversight Board and the State of California approval, authorize the Executive Director, or designee, to execute the Purchase and Sale Agreement and all documents reasonably necessary to implement the transaction, subject to approval as to form by Successor Agency Counsel; and 3) Direct staff to submit the Successor Agency’s action and required transaction documents to the Los Angeles County Consolidated Oversight Board and the California Department of Finance, as applicable.
Staff recommends that the City Council and Utility Board jointly take the following actions:
1) Conduct the joint public hearing regarding the proposed Fiscal Year 2026/27 General Fund and Electric Utility Fund budget amendments for acquisition of the Property; 2) Adopt the attached City Council/Utility Board Resolution 2026-C50 approving the acquisition of 975 W. Foothill Boulevard (APNs 8605-019-906 and 8605-019-907) from the Successor Agency for $3,580,000, plus applicable acquisition and closing costs, and approving the Purchase and Sale Agreement;
3) Approve funding of the acquisition on a 50/50 basis between the General Fund and Electric Utility Fund, consisting of $1,790,000 from each fund for the purchase price, plus up to $50,000 from each fund for applicable acquisition and closing costs, and authorize the corresponding Fiscal Year 2026/27 budget amendments, for a total appropriation not to exceed $3,680,000; and
4) After Los Angeles County Consolidated Oversight Board and the State of California approval, authorize the City Manager, or designee, to execute the Purchase and Sale Agreement and all documents reasonably necessary to complete the acquisition, subject to approval as to form by the City Attorney.
ANALYSIS:
The proposed Purchase and Sale Agreement provides for the Successor Agency, as Seller, to convey the Property to the City, as Buyer, for a purchase price of $3,580,000, subject to the terms and conditions contained in the Agreement.
Purchase and Sale of 975 W. Foothill Blvd.
August 17, 2026
Staff has been coordinating with the Los Angeles County Consolidated Oversight Board regarding the required disposition process. Based on the preliminary procedural guidance received, Staff does not presently anticipate that an amendment to the approved Long-Range Property Management Plan will be required for the proposed sale. Following Successor Agency approval, the transaction documents will be submitted to the Oversight Board for review and approval and thereafter to the California Department of Finance, as required. The Purchase and Sale Agreement makes the applicable redevelopment approvals a condition to closing.
The Surplus Land Act process for the Property was previously initiated but has not yet received a final findings letter from the California Department of Housing and Community Development (HCD). HCD has advised the City that the remaining step is recordation of the required affordability covenant. The Purchase and Sale Agreement therefore conditions closing on issuance of HCD’s findings letter confirming completion of the Surplus Land Act process.
The City proposes to fund the acquisition equally between the General Fund and Electric Utility Fund, with each fund contributing $1,790,000 toward the purchase price, plus up to $50,000 from each fund for applicable acquisition and closing costs. The total appropriation for the acquisition will therefore not exceed $3,680,000. Because the required Fiscal Year 2026/27 budget amendments exceed $1,000,000, a public hearing was noticed in accordance with the Azusa Municipal Code.
This action is limited to the transfer of ownership of the Property from the Successor Agency to the City. Any separate agreement concerning the future development or use of the Property is not part of this action and will be considered separately, as appropriate.
ENVIRONMENTAL REVIEW:
The Successor Agency previously determined that sale of the Property as surplus property is exempt from environmental review under CEQA Guidelines section 15312. The proposed action before the City is the acquisition of the Property. Any future project or development approvals for the Property will be evaluated separately for compliance with CEQA as applicable.
FISCAL IMPACT:
The purchase price for the Property is $3,580,000. Staff recommends funding the acquisition equally between the General Fund and Electric Utility Fund, with each fund contributing $1,790,000 toward the purchase price. Staff also recommends appropriating up to $50,000 from each fund for applicable title, escrow, legal, due diligence, and other acquisition and closing costs, resulting in a total appropriation not to exceed $3,680,000. The Fiscal Year 2026/27 budget will be amended as follows:
Fund Account Purchase Price
Closing Cost
Allowance
Total
Appropriation
General Fund 10-90-000-000-7105 $1,790,000 $50,000 $1,840,000 Electric Utility Fund 33-00-000-000-7105 $1,790,000 $50,000 $1,840,000 Total $3,580,000 $100,000 $3,680,000
Any unused amounts appropriated for acquisition and closing costs will remain in the respective funds.
Purchase and Sale of 975 W. Foothill Blvd.
August 17, 2026
Prepared by: Reviewed and Approved by:
Talika M. Johnson Sergio Gonzalez
Director of Administrative Services City Manager
Attachments:
1) Successor Agency Resolution approving the Purchase and Sale Agreement 2) Purchase and Sale Agreement for Real Property and Joint Escrow Instructions 3) City Council/Utility Board Resolution approving the acquisition and Fiscal Year 2026/27 budget amendments
4) Public Hearing Notice
RESOLUTION NO. 2026-R07
A RESOLUTION OF THE SUCCESSOR AGENCY TO THE FORMER
REDEVELOPMENT AGENCY OF THE CITY OF AZUSA APPROVING A
PURCHASE AND SALE AGREEMENT FOR THE SALE OF 975 W.
FOOTHILL BOULEVARD (APNs 8605-019-906 AND 8605-019-907) TO
THE CITY OF AZUSA
WHEREAS, pursuant to Health and Safety Code section 34173(d), the City of Azusa serves as the Successor Agency to the former Redevelopment Agency of the City of Azusa (“Successor Agency”); and
WHEREAS, the Successor Agency owns the real property located at 975 W. Foothill Boulevard, Azusa, California, identified as Assessor Parcel Nos. 8605-019-906 and 8605-019-907 (the “Property”); and
WHEREAS, the Property is identified for disposition under the Successor Agency’s approved Long-Range Property Management Plan; and
WHEREAS, on August 17, 2020, the Successor Agency declared the Property surplus and authorized compliance with the Surplus Land Act, while providing that any proposed agreement for sale of the Property would remain subject to approval by the Successor Agency; and WHEREAS, the City of Azusa desires to acquire the Property from the Successor Agency for a purchase price of Three Million Five Hundred Eighty Thousand Dollars ($3,580,000), representing the current appraised value; and
WHEREAS, the Successor Agency and City have negotiated a Purchase and Sale Agreement for Real Property and Joint Escrow Instructions (“Agreement”), substantially in the form attached hereto as Exhibit A; and
WHEREAS, completion of the transaction is subject to the conditions set forth in the Agreement, including completion of the applicable Surplus Land Act process and receipt of required redevelopment approvals from the Los Angeles County Consolidated Oversight Board and California Department of Finance, as applicable; and WHEREAS, approval of the Agreement advances the disposition of a remaining Successor Agency real property asset and the continued wind down of the former Redevelopment Agency.
NOW, THEREFORE, THE SUCCESSOR AGENCY TO THE FORMER
REDEVELOPMENT AGENCY OF THE CITY OF AZUSA DOES HEREBY RESOLVE AS FOLLOWS:
SECTION 1. Recitals. The recitals set forth above are true and correct and are incorporated herein by this reference.
SECTION 2. Approval of Agreement. The Successor Agency hereby approves the Agreement, substantially in the form attached hereto as Exhibit A, providing for sale of the Property to the City of Azusa for $3,580,000, subject to the terms and conditions contained therein.
SECTION 3. Executive Director Authority. The Executive Director, or designee, is authorized to execute the Agreement and any escrow instructions, certificates, grant deed, affidavits, amendments, extensions, and other documents reasonably necessary to implement and close the transaction, provided such documents are consistent with the material terms approved by the Successor Agency and are approved as to form by Successor Agency Counsel. Execution by the Executive Director will not occur unless and until the Los Angeles County Consolidated Oversight Board, the California Department of Finance California and Department of Housing and Community Development have each approved the transaction.
SECTION 4. Oversight Board and Department of Finance. Staff is authorized and directed to submit this action, the Agreement, and any other required materials to the Los Angeles County Consolidated Oversight Board and the California Department of Finance for review and approval, as applicable.
SECTION 5. Surplus Land Act. Closing of the transaction shall remain subject to completion of the applicable Surplus Land Act requirements and issuance of the required findings letter from the California Department of Housing and Community Development, as provided in the Agreement.
SECTION 6. CEQA. The Successor Agency previously determined that sale of the Property as surplus property is exempt from environmental review pursuant to CEQA Guidelines section 15312. Any future development of the Property shall be subject to separate environmental review as required by law.
SECTION 7. Effective Date. This Resolution shall take effect immediately upon adoption, subject to any review period or approval required by applicable redevelopment dissolution law.
SECTION 8. Certification. The Secretary of the Successor Agency shall certify to the adoption of this Resolution.
PASSED, APPROVED and ADOPTED this 17th day of August, 2026. ____________________________________
Edward J. Alvarez
Chairman
ATTEST:
____________________________________
Jeffrey Lawrence Cornejo, Jr.
Secretary
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss.
CITY OF AZUSA )
I HEREBY CERTIFY that the foregoing Resolution No.2026-R07 was duly adopted by the Successor Agency of the former Redevelopment Agency of the City of Azusa, at a regular meeting thereof, held on the 17th of August 2026.
AYES: AGENCY MEMBERS:
NOES: AGENCY MEMBERS:
ABSTAIN: AGENCY MEMBERS:
ABSENT: AGENCY MEMBERS:
____________________________________
Jeffrey Lawrence Cornejo, Jr.
Secretary
APPROVED AS TO FORM:
____________________________________
City Attorney
Burke, Williams & Sorensen, LLP
EXHIBIT A
PURCHASE AND SALE AGREEMENT FOR REAL PROPERTY AND JOINT ESCROW
INSTRUCTIONS
4938-2097-3252 v2 Page 1 of 10
PURCHASE AND SALE AGREEMENT FOR REAL PROPERTY
AND JOINT ESCROW INSTRUCTIONS
THIS PURCHASE AND SALE AGREEMENT FOR REAL PROPERTY AND JOINT ESCROW INSTRUCTIONS (“Agreement”), is made as of ________, 2026 (“Agreement Date”) is by and between the CITY OF AZUSA ACTING AS SUCCESSOR AGENCY OF THE FORMER REDEVELOPMENT AGENCY OF THE CITY OF AZUSA, a public entity (“Seller”), and CITY OF AZUSA, a municipal corporation (“Buyer”).
RECITALS
A. Seller owns that certain real property located at 975 W. Foothill Boulevard in the City of Azusa (“City”), County of Los Angeles, State of California as legally described on Exhibit A attached hereto (APN No. 8605-019-906 and 8605-019-907) (“Property”).
B. Seller has declared the Property as surplus pursuant to the Surplus Land Act and has complied with the Surplus Land Act, and is awaiting the issuance of the SLA Approvals (defined in Section 8.1(ii)).
C. Seller desires to sell, and Buyer desires to purchase, the Property (as defined below), all in accordance with the terms set forth below.
TERMS & CONDITIONS
NOW THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is acknowledged, Seller and Buyer agree as follows:
1. PURCHASE AND SALE OF PROPERTY. Pursuant to the terms and subject to the conditions set forth in this Agreement (including the Recitals which are incorporated herein by this reference), Buyer hereby agrees to purchase from Seller, and Seller agrees to sell to Buyer, the Property.
2. OPENING OF ESCROW. The parties shall open escrow (“Escrow”) with a title and escrow company mutually acceptable to Buyer and Seller (“Escrow Holder) by causing a copy of the executed Agreement to be delivered to Escrow Holder, provided that Seller and Buyer may mutually agree to utilize a different Escrow Holder if necessary.
Upon receipt, Escrow Holder shall execute the Escrow Acceptance & Agreement on the signature page below after inserting the date Escrow is opened (“Opening of Escrow”) and return a copy of the fully executed and completed Agreement to Buyer and Seller, respectively.
3. PURCHASE PRICE.
3.1 Purchase Price. The Purchase Price is Three Million Five Hundred Eighty Thousand Dollars ($3,580,000).
(i) Purchase Price. Buyer shall deposit the Purchase Price with 4938-2097-3252 v2 Page 2 of 10
Escrow Holder in Good Funds (as defined below) at least one (1) business day prior to the Closing Date.
(ii) Good Funds. All funds deposited in Escrow shall be in “Good Funds” which means a wire transfer of funds, cashier's or certified check drawn on or issued by the offices of a financial institution located in the State of California.
4. CLOSING DATE; TIME IS OF ESSENCE.
4.1 Closing Date. Escrow shall close as soon as practicable (but in no event later than 60 days after the last of the Redevelopment Approvals (defined in Section
8.1(iii)) and the SLA Approvals (defined in Section 8.1(ii)) have been issued (“Closing Date”). The terms “Close of Escrow” and/or “Closing” are used herein to mean the time the Grant Deed is filed for recording by the Escrow Holder in the Office of the County Recorder of Los Angeles County, California. Both parties shall cooperate to close Escrow promptly.
4.2 Time is of Essence. Buyer and Seller specifically agree that time is of the essence under this Agreement.
4.3 Executive Director Authority. Seller by its execution of this Agreement agrees that the Executive Director or his designee (who has been designated by Executive Director's written notice delivered to Buyer and Escrow Holder) shall have the authority to execute any and all documents on behalf of Seller including, but not limited to, issuing approvals, disapprovals and extensions. Any such approval, disapproval or extension executed by the Executive Director or his designee shall be binding on Seller.
4.4 City Manager Authority. Buyer by its execution of this Agreement agrees that the City Manager or his designee (who has been designated by City Manager's written notice delivered to Buyer and Escrow Holder) shall have the authority to execute any and all documents on behalf of Buyer including, but not limited to, issuing approvals, disapprovals and extensions. Any such approval, disapproval or extension executed by the City Manager or his designee shall be binding on Buyer.
5. DOCUMENTS TO BE DELIVERED.
5.1 Seller's Deliveries. Seller covenants and agrees to deliver or cause to be delivered to Escrow Holder within one (1) business day prior to the Closing Date the following instruments, documents and funds, the delivery of each of which shall be a condition precedent to the Closing for the benefit of Buyer. (i) Grant Deed. A Grant Deed executed and acknowledged by Seller in a form mutually acceptable to both parties (“Grant Deed”). (ii) Non-Foreign Certification. A Transferor’s Certification of Non-Foreign Status (“FIRPTA Certificate”), duly executed by Seller under penalty of perjury upon the terms set forth therein, setting forth Seller's address and federal tax identification number and certifying that Seller is a “United States Person” and that Seller 4938-2097-3252 v2 Page 3 of 10
is not a “foreign person” in accordance with and/or for the purpose of the provisions of Sections 7701 and 1445 (as may be amended) of the Internal Revenue Code of 1986, as amended, and any regulations promulgated thereunder.
(iii) Closing Documents. Any additional tax forms, recordation forms, 1099s or other documents as may be reasonably required by the Escrow Holder or the Title Company (as defined in Section 6.1) to consummate the transaction contemplated by this Agreement.
5.2 Buyer's Deliveries. Buyer hereby covenants and agrees to deliver or cause to be delivered to Escrow Holder within one (1) business day prior to the Closing Date the following instruments and documents, the delivery of each of which shall be a condition precedent to the Closing for the benefit of Seller:
(i) Purchase Price. The Purchase Price and any additional required funds all in Good Funds.
(ii) Preliminary Change of Ownership Statement. A
Preliminary Change of Ownership Statement completed in the manner required in Los Angeles County.
(iii) Closing Documents. Any additional tax forms, recordation forms, or other documents as may be reasonably required by the Escrow Holder or the Title Company (as defined by Section 6.1) to consummate the transaction contemplated by this Agreement.
6. TITLE.
6.1 Title Approval. Within three (3) days of the Opening of Escrow, Seller shall deliver to Buyer and Escrow, at Seller's own cost and expense, a preliminary title report for an ALTA non-extended owner's policy of title insurance with standard exceptions (“PTR”) issued by a title company mutually acceptable to Buyer and Seller (“Title Company”) including hyperlinks to or copies of all documents shown in the commitment as affecting title (“Title Documents”) and a plotting of any easements on the Property. If Buyer requires any endorsements to the Title Policy, or if Buyer requires an extended coverage ALTA owner's policy of title insurance (“Extended ALTA Policy”) or a binder in lieu of a policy of title insurance, then Buyer shall make such election in a timely manner so as to not delay the Closing and pay the additional cost of obtaining any endorsements or such Extended ALTA Policy, including, without limitation, timely obtaining a survey at its sole cost and expense. Seller shall execute and deliver to the Title Company an Owner's Affidavit and such other documentation as may be reasonably required by the Title Company to issue the Title Policy as defined in Section 6.2.
Buyer shall have ten (10) business days from receipt of the PTR and Title Documents to inspect the state of the title and matters affecting title, and to object to the matters shown thereby (“Title Objection Notice”). Failure to provide the Title Objection Notice in writing within the above period shall constitute Buyer's approval of the exceptions to title shown on the PTR. Buyer may object to any exception to title shown 4938-2097-3252 v2 Page 4 of 10
on the PTR or other matter affecting title to the Property (collectively, “Disapproved Exceptions”) in the Title Objection Notice. If Buyer objects to any Disapproved Exception, then Seller shall have three (3) business days from the date it is notified in writing of such Disapproved Exception, to elect, in its reasonable discretion, either: (1) to remedy the title defect that is the subject of Buyer's objection by removal or endorsement, or (2) not remedy the title defect that is the subject of Buyer's objection, at Seller's option (“Seller’s Election Notice”). Notwithstanding the foregoing, Seller shall be obligated to cure or cause the removal of any liens or encumbrances affecting the Property that are created or caused by Seller on or after the Effective Date. Seller's Election Notice shall be communicated in writing to Buyer. If Seller elects not to remedy such title defect (or fails to timely notify Buyer of its election with regard to same), then Buyer shall have three (3) business days following (i) receipt of Seller's Election Notice under the preceding sentence, or (ii) Seller's failure to timely provide Buyer with such written notification, to elect to either (a) waive its title objection and accept title subject to the alleged title defect, or (b) terminate this Agreement.
Notwithstanding anything to the contrary contained in this Agreement, if, at any time prior to the Closing, any updates to the PTR are received by Buyer, Buyer shall have five (5) business days (regardless of the date) following Buyer's receipt of such update and legible copies of all underlying documents referenced therein (that were not referenced in the Title Documents previously provided to Buyer) to notify Seller of objections to items on any such updates (“Title Updates”), and in the event Seller does not agree to remedy such objections, Seller shall notify Buyer in writing within three (3) business days of receipt of Buyer's objection, and Buyer may terminate this Agreement or waive such objections and proceed to Closing.
6.2 Title Policy. At Closing, the Title Company will commit to issue an ALTA non-extended (or extended if Buyer complies with the requirements above) owner's title policy showing the (i) any possessory interest real estate taxes as applicable; (ii) Permitted Exceptions (as defined below); and (iii) any exceptions created by Buyer (“Title Policy”). “Permitted Exceptions” means those items disclosed by the PTR that Buyer does not object to, or that Buyer waives objection to, or agrees to take title subject to, or that Buyer agrees to accept affirmative title insurance coverage over, and all zoning ordinances and regulations.
7. POSSESSION. At Closing, Seller shall deliver possession of the Property to Buyer free and clear of any occupants or claims of possession.
8. CONDITIONS TO CLOSING.
8.1 Closing Conditions for Benefit of Buyer. Buyer's obligation to purchase the Property are subject to and expressly conditioned upon satisfaction (or written waiver) by Buyer of the following conditions precedent to the Closing:
(i) As of the Closing Date, the Title Company will issue the Title Policy in accordance with Section 6.2.
4938-2097-3252 v2 Page 5 of 10
(ii) The California Department of Housing and Community Development (“HCD”) has issued a findings letter stating that Seller has complied with and completed the required procedures under the Surplus Land Act (“SLA Approvals”). (iii) If applicable, the Los Angeles Countywide Oversight Board and the California Department of Finance have approved this transaction (“Redevelopment Approvals”).
(iv) Seller is not in material breach of its obligations in this Agreement.
8.2 Closing Conditions for Benefit of Seller. Seller's obligation to sell the Property are subject to and expressly conditioned upon satisfaction (or written waiver) by Seller of the following conditions precedent to the Closing:
(i) As of the Closing Date, the Title Company will issue the Title Policy in accordance with Section 6.2.
(ii) The SLA Approvals have been issued.
(iii) The Redevelopment Approvals have been issued.
(iv) Escrow holds the Purchase Price and will deliver same to Seller.
(v) Buyer is not in material breach of its obligations under this Agreement.
9. DISCLAIMER OF WARRANTIES. Buyer agrees to acquire the Property in its “AS IS” condition and shall be responsible for any and all defects in the Property, whether patent or latent, including, without limitation, the physical, environmental, and geotechnical condition of the Property, and the existence of any contamination, hazardous materials, vaults, debris, pipelines, wells, or other structures located on, under or about the Property. Seller makes no representation or warranty concerning the physical, environmental, geotechnical or other condition of the Property. Buyer acknowledges that Seller has no liability for the environmental condition and Buyer agrees to indemnify Seller against any claim or liability relating to the environmental condition of the Property. Seller grants Buyer a license to enter the Property to conduct due diligence to the extent Buyer deems necessary.
10. PRORATION AND ALLOCATION OF COSTS; LIQUIDATED DAMAGES.
10.1 Taxes. As both parties are public entities and exempt from property taxes, Escrow Holder is not to be concerned with proration of taxes.
10.2 Costs. Seller shall pay (i) the documentary transfer taxes; (ii) premium for an ALTA non-extended owner's title policy; and (iii) fifty percent (50%) of Escrow fees. Buyer shall pay (a) any additional premium for an extended coverage ALTA 4938-2097-3252 v2 Page 6 of 10
owner's policy (if required by Buyer); and (b) fifty percent (50%) of Escrow fees Any other charges shall be paid in accordance to custom in southern California area.
NOTE: Recording fees are not applicable pursuant to Govt Code Section 6103.
Documentary taxes are not applicable pursuant to Rev & Tax Code Section 11922.
10.3 RESERVED.
11. BINDING EFFECT. The covenants herein shall bind and inure to the benefit of the executors, administrators, successors and assigns of the respective parties. Buyer may not assign its rights under this Agreement to any person or entity without the prior written consent of Seller, which shall be provided or withheld in Seller's sole discretion. In the event of an assignment of Buyer's interests under this Agreement with Seller's consent, the assignee shall agree to assume and be bound by the terms and provisions hereof and Buyer shall not be released of its obligations hereunder.
12. BROKER. Seller and Buyer acknowledge that no other broker or finder was involved in this transaction and each party agrees to indemnify and hold harmless the other party from and against any claim that a commission or fee is due to any other broker or finder who dealt with the party from whom indemnification is sought.
13. INTEGRATION; MERGER; SURVIVAL OF REPRESENTATIONS. Seller and Buyer have not made any covenants, warranties or representations not set forth in this Agreement. This Agreement constitutes the entire Agreement between the parties.
All representations, warranties and covenants set forth in this Agreement shall survive closing.
14. AMENDMENT OR MODIFICATION. This Agreement may only be modified or amended by a written agreement executed by both parties.
15. EXECUTION IN COUNTERPARTS. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.
16. NOTICES. All notices shall be in writing and delivered personally, by overnight air courier service, by facsimile transmission, electronic mail, or by U.S. certified or registered mail, return receipt requested, postage prepaid, to the parties at their respective addresses set forth below, and the same shall be effective upon receipt if delivered personally, one (1) business day after depositing with an overnight air courier, two (2) business days after depositing in the mail, or upon transmission (as confirmed by electronic confirmation of transmission generated by the sender's machine) for any notice given by facsimile or electronic mail:
4938-2097-3252 v2 Page 7 of 10
To Seller: To Buyer:
Successor Agency of the Former
Redevelopment Agency of the City of
Azusa
213 E. Foothill Boulevard
Azusa, CA 91702
Attn: Sergio Gonzalez
Executive Director
Email:[email protected]
City of Azusa
213 E. Foothill Boulevard
Azusa, CA 91702
Attn: Sergio Gonzalez
City Manager
Email:[email protected]
With a copy to: With a copy to:
Successor Agency of the Former
Redevelopment Agency of the City of
Azusa
213 E. Foothill Boulevard
Azusa, CA 91702
Attn: Rachel Richman
Successor Agency Counsel
Email:[email protected]
City of Azusa
213 E. Foothill Boulevard
Azusa, CA 91702
Attn: Rachel Richman
City Attorney
Email:[email protected]
To Escrow Holder:
[Name]
[Address]
[Contact Information]
17. GOVERNING LAW. This Agreement shall be construed according to the laws of the State of California.
18. ATTORNEY'S FEES. In the event any action or suit is brought by a party hereto against another party hereunder by reason of any breach of any of the covenants, agreements or provisions on the part of the other party arising out of this Agreement, then in that event the prevailing party shall be entitled to have and recover from the other party all costs and expenses of the action or suit, including actual attorneys' fees, expert witness fees, and accounting fees, and any other professional fees resulting therefrom.
19. SEVERABILITY. If any term of this Agreement is held by a court of competent jurisdiction to be invalid or unenforceable, then this Agreement, including all of the remaining terms, will remain in full force and effect as if such invalid or unenforceable term had never been included.
20. CONSTRUCTION. In determining the meaning of, or resolving any ambiguity with respect to, any word, phrase or provision of this Agreement, no uncertainty or ambiguity shall be construed or resolved against a party under any rule of construction, including the party primarily responsible for the drafting and preparation of this Agreement. Headings used in this Agreement are provided for convenience only and shall not be used to construe meaning or intent. As used in this Agreement, masculine, 4938-2097-3252 v2 Page 8 of 10
feminine or neuter gender and the singular or plural number shall each be deemed to include the others wherever and whenever the context so dictates
21. QUALIFICATION; AUTHORITY. Each individual executing this Agreement on behalf of Buyer represents, warrants and covenants to Seller that (a) such person is duly authorized to execute and deliver this Agreement on behalf of Buyer in accordance with authority granted under its organizational documents of such entity, and (b) Buyer is bound under the terms of this Agreement.
22. NO WAIVER. The failure of either party to enforce any term, covenant, or condition of this Agreement on the date it is to be performed shall not be construed as a waiver of that party's right to enforce this, or any other, term, covenant, or condition of this Agreement at any later date or as a waiver of any term, covenant, or condition of this Agreement.
23. EXHIBITS. Exhibit A is attached hereto and incorporated herein by reference.
[SIGNATURES ON FOLLOWING PAGE]
4938-2097-3252 v2 Page 9 of 10
IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date and year first-above written.
BUYER: SELLER:
City of Azusa, a municipal corporation Successor Agency of the Former Redevelopment Agency of the City of
Azusa, a public entity
By: ______________________________ By: ______________________________ Sergio Gonzalez
City Manager
Sergio Gonzalez
Executive Director
ATTEST: ATTEST:
By: ______________________________ By: ______________________________ Jeffrey Lawrence Cornejo, Jr.
City Clerk
Jeffrey Lawrence Cornejo, Jr.
Successor Agency Secretary
APPROVED AS TO FORM: APPROVED AS TO FORM:
Burke, Williams & Sorensen, LLP
By: ______________________________
Burke, Williams & Sorensen, LLP
By: ______________________________
Rachel Richman
City Attorney
Rachel Richman
Successor Agency Counsel
ESCROW ACCEPTANCE & AGREEMENT
____________________ as Escrow Holder under this Agreement hereby certifies that the Opening of Escrow occurred on _______________,2026, and Escrow Holder agrees to be bound by the terms hereof. Escrow Holder has assigned Escrow No. _________ to the Escrow.
ESCROW HOLDER:
[INSERT ESCROW COMPANY]
By: ______________________________
Name: ___________________________
Title: _____________________________
4938-2097-3252 v2
EXHIBIT A
LEGAL DESCRIPTION
[TO BE INSERTED FROM CURRENT VESTING DEED AND CONFIRMED BY TITLE COMPANY PRIOR TO EXECUTION/CLOSING]
APNs: 8605-019-906 and 8605-019-907
RESOLUTION NO. 2026-C50
A RESOLUTION OF THE CITY COUNCIL AND THE UTILITY
BOARD OF THE CITY OF AZUSA AMENDING THE FISCAL YEAR
2026/27 GENERAL FUND AND ELECTRIC UTILITY FUND
EXPENDITURE BUDGETS TO APPROPRIATE FUNDS FOR THE
ACQUISITION OF REAL PROPERTY LOCATED AT 975 W.
FOOTHILL BOULEVARD, AZUSA, CALIFORNIA (ASSESSOR
PARCEL NOS. 8605-019-906 AND 8605019-907)
WHEREAS, the Successor Agency to the former Redevelopment Agency of the City of Azusa (“Successor Agency”) owns certain real property located at 975 W. Foothill Boulevard, Azusa, California, identified as Assessor Parcel Nos. (“APNs”) 8605-019-906 and 8605-019-907 (the “Property”); and
WHEREAS, the Property is one of the remaining real property assets held by the Successor Agency as part of the wind down of the former Redevelopment Agency; and WHEREAS, the Property has been appraised at Three Million Five Hundred Eighty Thousand Dollars ($3,580,000); and
WHEREAS, the City of Azusa (“City”) desires to acquire the Property from the Successor Agency for the appraised value of $3,580,000 pursuant to the terms and conditions of a Purchase and Sale Agreement between the Successor Agency, as Seller, and the City, as Buyer (“Purchase and Sale Agreement”); and
WHEREAS, the acquisition and closing of the Property are subject to the conditions and approvals set forth in the Purchase and Sale Agreement, including applicable approvals associated with the dissolution of the former Redevelopment Agency and completion of the applicable Surplus Land Act process; and
WHEREAS, the City proposes to fund the acquisition equally between the General Fund and Electric Utility Fund, with each fund contributing $1,790,000 toward the purchase price; and WHEREAS, additional costs associated with the acquisition may include title, escrow, legal, due diligence, and other acquisition and closing costs, and staff recommends authorization of up to $50,000 from each fund for such costs; and
WHEREAS, the total appropriation necessary for the acquisition is therefore an amount not to exceed Three Million Six Hundred Eighty Thousand Dollars ($3,680,000), consisting of an amount not to exceed $1,840,000 from the General Fund and an amount not to exceed $1,840,000 from the Electric Utility Fund; and
WHEREAS, pursuant to Section 2-450 of the Azusa Municipal Code, a public hearing is required for a budget amendment exceeding $1,000,000, and the City Council and Utility Board conducted a duly noticed public hearing regarding the Fiscal Year 2026/27 budget amendments associated with the acquisition.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF AZUSA, AND THE
UTILITY BOARDOF THE CITY OF AZUSA DOES HEREBY FIND, DETERMINE, AND RESOLVE AS FOLLOWS:
SECTION 1. The foregoing recitals are true and correct and are incorporated herein by this reference.
SECTION 2. The City Council approves the acquisition by the City of Azusa of the real property located at 975 W. Foothill Boulevard, identified as APN. 8605-019-906 and 8605-019-907, from the Successor Agency for a purchase price of $3,580,000, subject to the terms and conditions of the Purchase and Sale Agreement.
SECTION 3. The City Council and Utility Board approve funding of the acquisition on a 50/50 basis between the General Fund and Electric Utility Fund, consisting of $1,790,000 from each fund toward the purchase price, plus an amount not to exceed $50,000 from each fund for applicable acquisition and closing costs.
SECTION 4. The Fiscal Year 2026/27 budget is hereby amended to appropriate an amount not to exceed $1,840,000 from the General Fund, Account No. 10-90-000-000-7105, and $1,840,000 from the Electric Utility Fund, Account No. 33-00-000-000-7105, for a combined appropriation not to exceed $3,680,000 for the acquisition of the Property and related acquisition and closing costs.
SECTION 5. The City Manager, or his designee, is authorized to execute the Purchase and Sale Agreement on behalf of the City, in substantially the form presented to the City Council, subject to such non-substantive revisions as may be approved by the City Attorney.
Execution by the City Manager will not occur unless and until the Los Angeles County Consolidated Oversight Board, the California Department of Finance and California Department of Housing and Community Development have each approved the transaction.
SECTION 6. The City Manager, Director of Administrative Services, Director of Utilities, City Attorney, and their respective designees are authorized to execute and deliver such additional documents and take such actions as may be reasonably necessary to implement the acquisition and close the transaction, consistent with this Resolution and the Purchase and Sale Agreement.
SECTION 7. Any portion of the amounts appropriated pursuant to this Resolution that is not required for the purchase price or actual acquisition and closing costs shall remain unspent in the respective funding source.
SECTION 8. This Resolution shall take effect immediately upon its adoption.
PASSED, APPROVED and ADOPTED this 17th day of August, 2026. ____________________________________
Edward J. Alvarez
Mayor
ATTEST:
____________________________________
Jeffrey Lawrence Cornejo, Jr.
City Clerk
____________________________________
Jesse Avila Jr.
Utility Board Chairperson
ATTEST:
____________________________________
Jeffrey Lawrence Cornejo, Jr.
Secretary/City Clerk
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss.
CITY OF AZUSA )
I HEREBY CERTIFY that the foregoing Resolution No. 2026-C50 was duly adopted by the City Council and Utility Board of the City of Azusa at a jointly held meeting held on the 17th day of August, 2026, by the following vote of the Council:
AYES: BOARD / COUNCILMEMBERS:
NOES: BOARD/ COUNCILMEMBERS:
ABSENT: BOARD/ COUNCILMEMBERS:
ABSTAIN: BOARD/ COUNCILMEMBERS:
___________________________________
Jeffrey Lawrence Cornejo, Jr.
City Clerk
APPROVED AS TO FORM:
___________________________________
Burke, Williams & Sorensen, LLP
City Attorney
NOTICE OF PUBLIC HEARING
NOTICE IS HEREBY GIVEN that the City Council of the City of Azusa and the Utility Board of Azusa Light & Water will hold a JOINT PUBLIC HEARING on Monday, August 17, 2026, at 7:30 p.m., or as soon thereafter as the matter may be heard, at the Azusa Auditorium, 213 E. Foothill Boulevard, Azusa, California 91702, to consider the following agenda item:
RESOLUTION AMENDING THE FISCAL YEAR 2026/27 GENERAL FUND AND
ELECTRIC UTILITY FUND EXPENDITURE BUDGETS TO APPROPRIATE FUNDS FOR THE ACQUISITION OF REAL PROPERTY LOCATED AT 975 W. FOOTHILL BOULEVARD, AZUSA, CALIFORNIA (ASSESSOR PARCEL NOS. 8605-019-906 AND 8605- 019-907): A public hearing to consider the adoption of a resolution amending the Fiscal Year 2026/27 General Fund and Electric Utility Fund expenditure budgets to appropriate funds for the acquisition of the real property located at 975 W. Foothill Boulevard, Azusa, California (Assessor Parcel Nos. 8605-019-906 and 8605-019-907). The proposed purchase price is $3,580,000, plus applicable acquisition and closing costs, including escrow, title, legal, recording, due diligence, and other customary transaction costs. The acquisition will be funded jointly by the General Fund (50%) and the Electric Utility Fund (50%). The proposed budget amendments are being considered pursuant to Section 2-450 of the Azusa Municipal Code.
All interested persons are invited to attend and express their opinions on the proposed budget amendments.
Any person wishing to testify may file a written statement prior to the public hearing and/or may appear and be heard at the hearing.
If you challenge the proposed actions in court, you may be limited to raising only those issues you or someone else raised at the public hearing described in this notice, or in written correspondence delivered to the City Clerk at or prior to the public hearing.
Dated: August 6, 2026
/S/ Jeffrey Lawrence Cornejo Jr., City Clerk, City of Azusa 213 E. Foothill Blvd.
Azusa, CA 91702
(626) 812-5229
Posted on August 6, 2026, at the following locations City Clerk’s Office, 213 E. Foothill Blvd.; the lobby of the Police Department, 725 N. Alameda Ave.; the Civic Auditorium, 213 E. Foothill Blvd.; the lobby of Azusa Light & Water 729 N. Azusa Ave.; and on the City’s Web Page at www.azusaca.gov.