15-E
TO: Honorable Mayor and Members of the City Council
ATTENTION: Ryan Smoot, City Manager
FROM: Jim DellaLonga, Director of Economic Development
SUBJECT: Consideration and possible action to authorize the City Manager to execute Exclusive Negotiation Agreement File No. 1137 with Coast to Coast LLC for the development of a Sonic drive through at 9818 Artesia Boulevard, in a form approved by the City Attorney.
DATE: April 27, 2026
EXECUTIVE SUMMARY
Coast to Coast Commercial, LLC expressed its intent to acquire and redevelop the property located at 9818 Artesia Boulevard into a Sonic drive through restaurant. An Exclusive Negotiation Agreement (ENA) with the City would allow it time to conduct initial due diligence, negotiate the terms of a potential purchase and sale agreement with the City, and to coordinate with the neighboring businesses regarding an operating agreement for joint use of various facilities.
RECOMMENDATION TO THE CITY COUNCIL
1) Authorize the City Manager to Execute Exclusive Negotiation Agreement File No. 1137 in a form approved by the City Attorney; or
2) Alternatively, discuss and take other action related to this item.
FISCAL IMPACT
None at this time.
DISCUSSION
The property is approximately 25,500 square feet and includes an existing commercial building and parking lot. Coast to Coast’s desired project would develop the location into a SONIC drive-through restaurant. Coast to Coast, LLC is prepared to move forward with the purchase, and an ENA would allow it to conduct initial due diligence on the property, negotiate a purchase and sale agreement with the City, and coordinate with the neighboring businesses on an operating agreement. All City costs would be reimbursed by Coast to Coast.