Reso. No. _____
RESOLUTION NO. ______
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RICHMOND
APPROVING A DONATION AGREEMENT FOR LEASEHOLD INTERESTS AND
AUTHORIZING THE MAYOR TO EXECUTE RELATED DOCUMENTS
WHEREAS, the City of Richmond (“City”) is the fee owner of certain real property located at 1414-1422 Harbor Way South, Richmond, California (“Craneway Pavilion”); and
WHEREAS, Orton Entertainment, LLC (“Donor”) holds certain leasehold interests in the property pursuant to ground leases and an auxiliary lease; and
WHEREAS, Donor has offered to donate such leasehold interests, together with certain personal property and a monetary contribution of $80,000, to the City pursuant to that certain Donation Agreement for Leasehold Interests and Joint Escrow Instructions (“Agreement”); and
WHEREAS, the City has evaluated its contractual rights and potential claims relating to maintenance and repair obligations associated with the property, including substantial deferred maintenance; and
WHEREAS, the Rosie the Riveter Museum recognizes a strong national commitment that women provided up to a third or more of the workers who produced the industrial materials that won WWII and thereafter became a national symbol of American working women; and
WHEREAS, with the ferry located at the site as well as the Rosie Riveter Museum, the Council has long had a vision of the potential of the bay front area; and
WHEREAS, while the City may have a legal basis to pursue enforcement of such obligations, doing so would likely require litigation that would be costly, time-consuming, and subject to uncertainty in both outcome and collectability; and
WHEREAS, the City Council has reviewed and considered the terms of the Agreement, the risks associated with litigation, the condition of the property, and the public benefits associated with acquiring full control of the leasehold interests; and
WHEREAS, the Agreement provides for the transfer of the leasehold interests through escrow, subject to due diligence, title, and other customary conditions; and
WHEREAS, the Craneway Pavilion is a historically significant structure associated with the former Ford Assembly Plant, reflecting the industrial and cultural heritage of the City of Richmond and serving as an important landmark along the City’s waterfront; and
WHEREAS, the Craneway Pavilion is subject to the public trust for commerce, navigation, and fisheries, which requires that the property be preserved and used in a manner that ensures continued public access and public-serving uses consistent with trust purposes; and
WHEREAS, acquisition of the leasehold interests will allow the City to expand and preserve publicly accessible waterfront space, enhance community use and enjoyment of the property, and ensure that the Craneway Pavilion is maintained and activated for the benefit of the surrounding community and the public at large; and
WHEREAS, the City Council desires to approve the Agreement and authorize its execution and implementation.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Richmond as follows:
Section 1. Findings
A. The City Council finds that enforcement of potential claims relating to repair and Reso. No. _____
maintenance obligations would likely require litigation involving substantial public expense, delay, and uncertainty. Avoiding such litigation conserves public resources and constitutes valid consideration.
B. The City Council finds that even if the City were to prevail in litigation, recovery of the full amount of potential damages is uncertain due to risks associated with collectability and the financial condition or structure of the responsible party.
C. Acceptance of the leasehold interests provides the City with immediate control over the property, allowing the City to prevent further deterioration, and mitigate risks to the public.
D. The property is a significant public waterfront and economic asset. City control will facilitate rehabilitation, activation, and reuse of the property in a manner that advances economic development, public access, and community benefit. The Council has a vision of the bay frontage potential that the Craneway has to offer.
E. The City will receive valuable consideration, including (i) the leasehold interests, including the Auxiliary Lease including restrooms and other facilities (ii) associated personal property, and (iii) a monetary contribution of $80,000.
Section 2. Approval of Agreement
The City Council hereby approves the Donation Agreement for Leasehold Interests and Joint Escrow Instructions between the City of Richmond and Orton Entertainment, LLC to close escrow on May 1, 2026.
Section 3. Authorization
The Mayor, or his designee, is hereby authorized to execute the Agreement on behalf of the City, subject to approval as to form by the City Attorney.
Section 4. Implementation Authority
The Mayor, or her designee, is further authorized to take all actions necessary to complete the transaction contemplated by the Agreement, including execution of related escrow documents, assignments, and other instruments, and to approve non-material amendments consistent with the intent of this Resolution.
Section 5. Effective Date
This Resolution shall take effect immediately upon adoption.
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I certify that the foregoing resolution was passed and adopted by the City Council of the City of Richmond at a regular meeting thereof held on Mmmm dd, yyyy, by the following vote:
AYES:
NOES:
ABSTENTIONS:
ABSENT:
CLERK OF THE CITY OF RICHMOND
(SEAL)
Reso. No. _____
Approved:
Mayor
Approved as to form:
City Attorney
State of California }
County of Contra Costa : ss.
City of Richmond }
I certify that the foregoing is a true copy of Resolution No. _____, finally passed and adopted by the City Council of the City of Richmond at a regular meeting held on Mmmm dd, yyyy.
_______________________________________
Pamela Christian, Clerk of the City of Richmond