CITY OF COMMERCEAGENDA REPORT CITY OF COMMERCEAGENDA REPORT
CITY OF COMMERCE
AGENDA REPORT
CITY OF COMMERCE
AGENDA REPORT
Item No. Item No.
Item No.
Item No.
TO: Honorable City Council
FROM: City Manager
SUBJECT: Resolution Authorizing the Approval of the Revised Final Parcel Map No. 82490 for the Property Located at 6233 Telegraph Road (APN: 6336-010-908) and Located at the Northwest Corner of Washington and Telegraph Road Meeting Date: January 24, 2023
RECOMMENDATION:
It is recommended that the City Council adopt a resolution (attached) accepting the final map associated with the division of land for the property located at 6233 Telegraph Road per the revised second amendment to the Contingent Agreement to Purchase and Sell Real Estate approved by the City Council on October 25, 2022.
BACKGROUND:
As a result of AB 26, which was enacted in June 2011, the Commerce Community Development Commission (“Commission”), along with redevelopment agencies throughout the state, was dissolved as of February 1, 2012. Subsequently, AB 1484 was enacted in June of 2012 to substantially amended AB 26, which among other things, allowed for the transfer of redevelopment-held land and transferred the ownership and control to a successor agency.
During that time the City of Commerce purchased and assembled the land discussed herein to work toward the goal of creating the Telegraph Road Commercial/Entertainment Corridor, which was to be a destination retail/entertainment concept wherein both architecture and uses would be compatible with and complementary to the Citadel Outlets Shopping Center and the Commerce Casino. Through interest and collaboration between the Commerce Casino and Craig Realty Group the “Wash-Tel Commerce” LLC was formed for the purchasing and operating of the uses to be developed on the Land. On May 16, 2017, the Successor Agency approved a Contingent Agreement to Purchase and Sell Real Estate to Wash-Tel Commerce, LLC and Craig Realty Group Citadel, LLC that would allow for the development of the Project. Regardless of whether that project moves forward as envisioned, the City of Commerce is compelled by state law to dispose of the subject property, thus the subdivision of land contained and discussed in this report is necessary.
On July 21, 2020, the Property was subdivided pursuant to that Parcel Map No. 82490 recorded as instrument 20200810465 in the county recorder’s office of Los Angeles County and amended by that certain Certificate of Correction recorded September 18, 2020, as instrument 20201138174 in the county recorder’s office of Los Angeles County (as amended, “Parcel Map”).
On June 14, 2022, the City Council approved the Second Amendment to the Contingent Agreement to Purchase and Sell Real Estate to Wash-Tel Commerce, LLC and Craig Realty Group Citadel, LLC.
Based on dialogue/negotiations subsequent to June 14, 2022, on October 25, 2022, City Council moved to approve relevant modifications on a portion of the land area and other elements in the agreement. A portion of the Property depicted as Parcel 5 on the Parcel Map and approximately shown on Attachment 2 hereto, consisting of approximately 4.42 acres of the Property is contemplated by Seller for development as a City Public Safety Facility (“City Public Safety Facility Land”). The City Public Safety Facility Land occupies all the Citadel Use Land and a portion of the previously reserved 1.8 acres of the Property. The Amended Purchase and Sale Agreement will continue to control all aspects of the agreement between Seller and Buyers except for those terms that the Second Amendment has modified.
Since the October 25, 2022 approval of the Second Amendment, city staff and Craig Realty have gone back and forth to finalize remaining details related to the same as well as the exhibits. Staff is pleased to report that we obtained Mr. Steve Craig’s signature on the second amendment on January 18th in the evening and that the original is now on its way (but yet to arrive as of agenda publishing time) so that the City may execute on its end.
This parcel map that is being considered for approval is one of those aforementioned exhibits to the second amendment, following City Council approval, the property needs to go through the tax clearance process which takes about four weeks to be completed then this parcel map can be recorded. Staff will seek an expedited tax clearance process from the County. If it takes the anticipated four weeks to process the tax clearance then record the parcel, the City is looking at an anticipated closing date of February 28, 2023.
DISCUSSION:
The City Engineer, under consultation with staff, has reviewed the submitted final map and has verified that the final map filed herein is in substantial compliance with the tentative map and complies with all of the requirements of the California Government Code, the City’s subdivision ordinance, including Chapter 18.01 (LA County Subdivision Ordinance), and is in conformance with the Subdivision Map Act. The final map has been approved by the City Surveyor.
FISCAL IMPACT:
The activity of requesting the approval of the Final Parcel Map to subdivide land can be carried out without additional impact on the current operating budget.
RELATIONSHIP TO STRATEGIC GOALS:
This item has the potential to relate to the Strategic Action Plan’s Goal of Economic Growth - Guiding Principles 1 to “Create and strengthen our identity, as a community that promotes opportunity and success for a business that meets the strategic focus for economic growth, will have a positive impact on the quality of life and the City’s financial sustainability,” and 3 “Support a long-range planning vision through the City’s General Plan, zoning ordinance, and related land use planning documents that incorporate community and stakeholder input and provide a compass for strategic economic growth, infrastructure investments and city fiscal planning.” Prepared by: Gisselle S. Delgado, Management Analyst
Reviewed By: Vilko Domic, Assistant City Manager
Approved as to form: Noel Tapia, City Attorney
Respectfully submitted: Edgar P. Cisneros, City Manager ATTACHMENTS:
Resolution Approving Revised Parcel Map No. 82490
Revised Parcel Map No. 82490
Second Amendment to Purchase and Sale Agreement