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CONSENT CALENDAR
City of San Bernardino
Request for Council Action
Date: March 20, 2024
To: Honorable Mayor and City Council Members
From: Charles A. Montoya, City Manager
By: Joshua Dramitinos, Deputy Director of Economic
Development
Department: Economic Development
Subject: Real Property Donation of 300 North E Street -The Harris Building
Recommendation:
It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve Resolution No. 2024-059, accepting the real property donation of 300 North E Street, also known as The Harris Building (APN 0134-301-29), located within the City of San Bernardino, California, from El Corte Ingles, S.A. a Spanish Corporation (ECI); authorizing the City Manager to execute a quitclaim deed conveying fee interest to the City of San Bernardino.
Executive Summary
This action will convey fee interest of real property located at 300 N “E” Street (APN:
0134-301-29), also known as “the Harris Building”, from El Corte Ingles, S.A., a Spanish Corporation (ECI), to the City of San Bernardino, a charter city organized under the laws of California.
Background
The Harris Building is considered a historically significant landmark within the downtown corridor of the City of San Bernardino. El Corte Ingles, S.A., a Spanish Corporation (ECI), succeeded the Harris Company and acquired ownership of the Harris Building in May of 1998. Since acquiring the property, ECI has struggled to locate tenants to occupy the property. The property has endured many acts of vandalism and trespassing because of the vacant status. ECI has confirmed that the Harris Building is the last remaining property within their real estate portfolio located within the United States. ECI has determined that it is no longer economically viable to continue to maintain the property to mitigate future acts of vandalism and trespassing. 1 9
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Discussion
El Corte Ingles, S.A., a Spanish Corporation (ECI), is the sole owner of 300 N “E” Street (APN: 0134-301-29), also known as “the Harris Building”, and has expressed a desire to donate the Harris Building to the City of San Bernardino. Staff has completed a review of the Preliminary Title Report regarding 300 N “E” Street (APN: 0134-301-29), also known as “the Harris Building”, and determined that there are no defects on title that would adversely affect the donation of the property. Accepting the donation of the Harris Building will provide added site control to the Carousel Mall redevelopment site.
Property donations are not required to complete the traditional escrow process, as there is no consideration involved with the transfer of ownership. Accordingly, the due diligence associated with the property donation of the Harris Building is being limited to the satisfactory review of the preliminary title report. Additionally, a Title Insurance Policy has been purchased for the Harris Building; this will mitigate the likelihood for future defects on Title and assist with the future transfer or development of the property.
Upon approval and acceptance of the donation of the Harris Building, by the Mayor and City Council of the City of San Bernardino, the Property will be brought before the Planning Commission, of the City of San Bernardino, to find conformity with the City’s General Plan.
2021-2025 Strategic Targets and Goals
Approval of Resolution No. 2024-059 aligns with Key Target No. 1: Improved Operational & Financial Capacity: approving the donation of the Harris Building will strengthen the City’s Real Property Portfolio and provide future revenue sources.
Fiscal Impact
There is no fiscal impact to the General Fund as a result of this action.
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino, California, approve Resolution No. 2024-059, accepting the real property donation of 300 North E Street, also known as The Harris Building (APN 0134-301-29), located within the City of San Bernardino, California, from El Corte Ingles, S.A. a Spanish Corporation (ECI); authorizing the City Manager to execute a quitclaim deed conveying fee interest to the City of San Bernardino.
Attachments
Attachment 1 – Resolution No. 2024-059
Attachment 2 – Preliminary Title Report – 300 North E Street Ward:
First Ward
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Synopsis of Previous Council Actions:
None