HAYWARD ECONOMIC DEVELOPMENT CORPORATION
RESOLUTION NO. _______________
Introduced by Board Member _______________
A RESOLUTION OF THE Board of Directors OF THE Hayward Economic Development Corporation approving the Conveyance Agreement FOR the transfer of the leasehold interest in the Cinema Place property from 1069 B Street, LLC, to the Hayward Economic Development Corporation, and ACCEPTING THE assignment of rights and duties under the various agreements that govern the relationship between 1069 B Street, LLC and the Successor Agency At a duly constituted meeting of the Board of Directors (the “Board”) of the Hayward Economic Development Corporation, a California nonprofit public benefit corporation, held on January 8, 2024, the following resolutions were adopted:
WHEREAS, in 2005, the Hayward Redevelopment Agency (RDA) entered into a ground lease with the Cinema Place developer, which expires in 2056, for the Property located at 22631-228522 Foothill Blvd., (APN 428-0066-086 and 428-0066-085 (Property); and WHEREAS, in 2007, the RDA entered into a Parking Lot Maintenance Agreement with the Cinema Place developer for Municipal Lot 3; and WHEREAS, the lease and parking agreements were subsequently transferred to the Hayward Redevelopment Successor Agency (Successor Agency) and the current tenant: 1069 B Street, LLC, which holds a leasehold interest in the Property under the Ground Lease and holds specified rights under the Parking Agreement; and WHEREAS, 1069 B Street, LLC, recently notified the City of Hayward ("City") and the Successor Agency of its desire to sell and transfer its rights, duties and obligations in the Property and under the various agreements that govern the relationship between it and the Successor Agency; and WHEREAS, the City recognizes the benefits associated with the creation of economic opportunity and community economic development in the city; and WHEREAS, the City has formed a nonprofit public benefit corporation known as Hayward Economic Development Corporation (the "Corporation"); and WHEREAS, in an effort to further the City’s economic development goals and activities for the downtown area, the Corporation determined to purchase, from the 1069 B Street, LLC, the rights, duties, and obligations in the Property and entered into negotiations regarding the same; and WHEREAS, the Corporation and 1069 B Street, LLC, have reached agreement for the Corporation to purchase the leasehold interest of 1069 B Street, LLC, in the Property and assume its rights, duties and obligations under the various agreements for a sum not to exceed $8.5 million; and WHEREAS, the City intends to convey $8.6 million to the Corporation from the City’s General Fund and the Corporation accepts the conveyance with the intent to repay the funds on an annual basis from lease revenues and operating proceeds of the Property; and WHEREAS, this action is categorically exempt from CEQA per State CEQA Guidelines Section 15301, Class 1, Existing Facilities Exemption; Section 15061 (b)(3), General Rule or “Common Sense” Exemption.
NOW, THEREFORE, BE IT RESOLVED that the Board of Directors of the Hayward Economic Development Corporation, finds the above recitals true and correct and by this reference makes them a part hereof.
BE IT FURTHER RESOLVED, that the Board of Directors approves the Conveyance Agreement and the transfer of the leasehold interest in the Cinema Place property from 1069 B Street, LLC, to the Hayward Economic Development Corporation.
BE IT FURTHER RESOLVED, that the Board of Directors approves the assignment and assumption of rights and duties under the various agreements that govern the relationship between the 1069 B Street, LLC and Redevelopment Successor Agency of the City of Hayward.
BE IT FURTHER RESOLVED, that the Chief Executive Officer, or their delegee, is hereby authorized and directed to execute on behalf of the Corporation the Conveyance Agreement and any and all documents necessary to accept and assume 1069 B Street, LLC’s assignment of rights and duties under the various agreements that govern their relationship with the Redevelopment Successor Agency of the City of Hayward.
HAYWARD, CALIFORNIA, January _________, 2024
ADOPTED BY THE FOLLOWING VOTE:
AYES: BOARD MEMBERS:
CHAIR:
NOES: BOARD MEMBERS:
ABSTAIN: BOARD MEMBERS:
ABSENT: BOARD MEMBERS:
ATTEST: ______________________________
Secretary of the
Economic Development Corporation of the City of Hayward APPROVED AS TO FORM:
____________________________________________________________________ General Counsel of the
Economic Development Corporation of the City of Hayward SECRETARY’S CERTIFICATE
I, the undersigned, hereby certify that the foregoing is a true copy of the Resolution adopted by the Board of Directors of the above mentioned Corporation at a meeting of said Board held on the aforementioned date, and that said Resolution is in full force and effect.
Dated: _________________________, 2024
_______________________________________, Secretary
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ATTACHMENT IV
ATTACHMENT IV