HomeMy Public PortalAbout2006-021RESOLUTION NO. 2006.021
A RESOLUTION OF THE LYNWOOD REDEVELOPMENT AGENCY
APPROVING THE TAX INCREMENT LOAN AGREEMENT BETWEEN GRAE
ATLANTIC LLC AND THE LYNWOOD REDEVELOPMENT AGENCY
REGARDING THE ATLANTIC CROSSINGS DEVELOPMENT
WHEREAS, at a joint public hearing on July 18, 2000 the Lynwood
Redevelopment Agency ( "Agency ") approved a Disposition and Development
Agreement with Grae Ventures LLC to build a shopping center at the corner of
Imperial Highway and Atlantic; and
WHEREAS, the Disposition and Development Agreement approved on
July 18, 2000 obligated the Agency to repay Grae Ventures $325,000 from tax
increment revenues, a draft of which was set forth as an attachment to the
Disposition and Development Agreement; and
WHEREAS, the Agreement was amended by a First Implementation
Agreement re. Disposition and Development Agreement approved October 18,
2000, a Second Implementation Agreement re Disposition and Development
Agreement approved April 26, 2001, a Third Implementation Agreement re.
Disposition and Development Agreement approved June 4, 2001 (which
approved the assignment from Grae Ventures LLC to Grae Atlantic LLC ), and
- the Fourth Implementation Agreement re. Disposition and Development
Agreement dated April 1, 2003, (collectively the "DDA "), and
WHEREAS, the Third Implementation Agreement, Section 4 B requires
the Agency to repay the Developer any sums expended for the relocation of the
Consolidated Welding School which exceed $50,000 and that such sums are to
be paid pursuant to the Tax Increment Agreement; and
WHEREAS, the Developer has provided documentation of the
expenditure of $360,900 which would obligate the Agency to repay $310,900 in
addition to the $325,000 set forth in the Disposition and Development Agreement
approved on July 18, 2000; and
WHEREAS, the total principal sum ($635,900) including interest charges
($961,170 95) the Agency agrees to repay from available Project Area `A' Tax
Increment Fund until the Termination Date over a maximum of 20 years is
$1,597,070 95, and
WHEREAS, in order to comply with industry standard the Agency desires
to replace the term "Certificate of Completion" with "Release of Construction
Covenants"
NOW THEREFORE, IT IS RESOLVED by the Lynwood Redevelopment Agency
as follows.
Section 1 The Agency finds and determines that the Tax Increment Loan
Agreement is necessary to effectuate the purpose of the Redevelopment Plan for
the Redevelopment Project Area.
Section 2 . The Executive Director of the Agency is hereby authorized to
execute the Tax Increment Loan Agreement.
Section 3. Agency agrees to repay Grae Atlantic, LLC the principal sum
of $635,900 plus interest from the Redevelopment Project Area "A" Tax
Increment derived from the Atlantic Crossings development with no prepayment
penalty as outlined in the Tax Increment Loan Agreement /repayment schedule.
Section 4. In accordance with the Tax Increment Loan Agreement's
amortization schedule, the Agency may make payments, each not to exceed
$79,853 53 commencing fiscal year 2006 -2007
STATE OF CALIFORNIA )
) ss.
COUNTY OF LOS ANGELES )
I, the undersigned Secretary of the Lynwood Redevelopment Agency
(LRA) do hereby certify that the above and foregoing resolution was duly
adopted by the said Agency at a regular meeting thereof held in the City Hall of
the City of Lynwood on the 18th day of April 1 2006
and passed by the following vote.
AYES: COUNCILMEN BYRD, JOHNSON, PEDROZA, SANTILLAN AND VASQUEZ
NOES: NONE
ABSENT: NONE
ABSTAIN: NONE
d g
Andrea L. Hooper, Secretary
STATE OF CALIFORNIA )
)ss.
COUNTY OF LOS ANGELES )
I, the undersigned Secretary of the Lynwood Redevelopment Agency, do
hereby certify that the above and foregoing is a full, true and correct copy of
Resolution No. 2006.021 on file in my office and that said resolution
was adopted on the date "and by the vote therein stated.
Dated this 18th day of April 2006
Andrea L. Hooper, Secretary
Section 5 The Executive Director of the Agency, or his designee, is hereby
authorized, on behalf of the Agency, to sign all documents necessary and
appropriate to carry out and implement the Tax Increment Loan Agreement and to
administer and implement the Agency's obligations, responsibilities and duties to be
performed under the Agreement.
Section 6. This resolution shall become effective immediately upon
adoption.
APPROVED AND ADOPTED THIS 18 day of April, 2006
ILIA ASQUEZ, CFJP
ATTEST
Andrea L. Hooper, Secretary Enri a artinez, ecutive Director
APPROVED AS TO FORM:
— - -�� o l
Ron Wilson, Agency unse
APPROVED AS TO CONTENT
Don Vestal, Interim
Deputy Executive Director