City Council Memorandum
TO: HONORABLE MAYOR AND CITY COUNCIL DATE: MARCH 22, 2022 FROM: COMMUNITY & ECONOMIC DEVELOPMENT WARD: 1
DEPARTMENT
SUBJECT: APPROVE TWO SEPARATE 2ND AMENDMENTS TO EXCLUSIVE NEGOTIATING AGREEMENTS WITH GRIFFIN|SWINERTON AND GREENS DEVELOPMENT, INC. FOR THE RIVERSIDE ALIVE PROJECT ISSUE:
Approve two separate 2nd Amendments to Exclusive Negotiating Agreements with Griffin|Swinerton, LLC and Greens Development, Inc. for the Riverside Alive project.
RECOMMENDATIONS:
That the City Council:
Approve the 2nd Amendment to Exclusive Negotiating Agreement with Griffin|Swinerton, LLC (Attachment 1) for the Riverside Alive project; Approve the 2nd Amendment to Exclusive Negotiating Agreement with Greens Development, Inc. (Attachment 2) for the Riverside Alive project; and Authorize the City Manager, or designee, to execute the 2nd Amendments to Exclusive Negotiating Agreements with Griffin|Swinerton, LLC and Greens Development, Inc., including any further extensions through December 24, 2024, and making minor and non-substantive changes, if necessary.
BACKGROUND:
To help facilitate the public portion of the Riverside Alive project, and with the consent of the City Council, the City entered into an Exclusive Negotiating Agreement (ENA) with Griffin|Swinerton, LLC on September 23, 2019, whereby the City and Griffin|Swinerton, LLC would exclusively negotiate the terms and conditions for the potential public-private partnership (P3) development of certain City-owned property located at the corner of Market and Third Streets and Fifth and Orange Streets for convention center expansion, adjacent parking structure, events plaza, and related site improvements.
Likewise, to facilitate the private portion of the Riverside Alive project, and also with the consent of the City Council, the City entered into a separate ENA with Greens Development, Inc. on September 23, 2019, whereby the City and Greens Development, Inc. would exclusively negotiate the terms and conditions for purposes of the potential development of hotels, multi-family housing, and commercial/retail.
On September 14, 2021, the City entered into a First Amendment to the ENA with Griffin|Swinerton, LLC and a separate First Amendment to the ENA with Greens Development, Inc. These respective First Amendments, with Griffin|Swinerton, LLC and Greens Development, Inc., expire on March 22, 2022.
DISCUSSION:
Since the term of the First Amendment to the ENA with Griffin|Swinerton, LLC expires on March 22, 2022, staff and Griffin|Swinerton, LLC desire to enter into a Second Amendment to the ENA in which the ENA term may be unilaterally extended, in six-month increments, by the City, with the last extension to expire on December 24, 2024.
Likewise, since the term of the First Amendment to the ENA with Greens Development, Inc. expires on March 22, 2022, staff and Greens Development, Inc. desire to enter into a Second Amendment to the ENA in which the ENA term may be unilaterally extended in six-month increments, by the City, with the last extension to expire on December 24, 2024.
STRATEGIC PLAN ALIGNMENT:
This item contributes to Strategic Priority 3 – Economic Opportunity and Goal 3.3: Cultivate a business climate that welcomes innovation, entrepreneurship, and investment.
This item aligns with each of the five Cross-Cutting Threads as follows:
Community Trust: Approving the proposed 2nd Amendments to ENA’s in an open session/community forum demonstrates that Riverside is committed to community trust and makes decisions based on the public’s best interest.
Equity: Approving the proposed 2nd Amendments to ENA’s, which could lead to the community-benefitting Riverside Alive project, demonstrates that Riverside will ensure that the community shares in the benefits of community progress.
Fiscal Responsibility: Approving the proposed 2nd Amendments to ENA’s demonstrates that Riverside is a prudent steward of its property resources.
Innovation: Approving the proposed 2nd Amendments to ENA’s demonstrates that Riverside is committed to collaborative partnerships, such as those with Griffin|Swinerton, LLC and Greens Development, Inc., to ensure the potential successful development of the Riverside Alive project.
Sustainability and Resiliency: Approving the proposed 2nd Amendments to ENA’s demonstrates that Riverside is committed to the present and future reliability and resiliency for the private development project by Greens Development, Inc. and ensures present and future reliability and resiliency for the City-owned properties to be developed by Griffin|Swinerton, LLC that may make up the future Riverside Alive development.
FISCAL IMPACT:
There is no fiscal impact to extending the contract terms as described.
Prepared by: David Welch, Community & Economic Development Director Certified as to
availability of funds: Edward Enriquez, Chief Financial Officer/City Treasurer Approved by: Rafael Guzman, Assistant City Manager
Approved as to form: Phaedra A. Norton, City Attorney
Attachments:
2nd Amendment to Exclusive Negotiating Agreement with Griffin|Swinerton, LLC 2nd Amendment to Exclusive Negotiating Agreement with Greens Development, Inc. 2nd Amendment to ENA’s - Page 1