HomeMy WebLinkAbout05/16/2006, C5 - EXTENSION OF EXCLUSIVE NEGOTIATING AGREEMENT WITH WESTPAC REGARDING PARKING LOT NO.2 council M-I 'DS ,&
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C I T Y OF SAN LUIS OBISPO
FROM: Jonathan Lowell,City Attorney a "
Shelly Stanwyck,Assistant City Administrative Officer SW16
SUBJECT: EXTENSION OF EXCLUSIVE NEGOTIATING AGREEMENT
WITH WESTPAC REGARDING PARIONG LOT NO.2
CAO RECOMMENDATION
Authorize the Mayor to execute a Second Amendment to Exclusive Negotiating Agreement
extending the term of the negotiation period set forth in the August 23, 2005 Exclusive Negotiating
Agreement through September 9, 2006.
DISCUSSION
The parties have been meeting to discuss the possibility of sale of Parking Lot No. 2 to WestPac
Investments Inc. to allow for private redevelopment of much of the block bordered by Broad,Marsh
and Garden Streets. On January 3, 2006, the Council extended the Exclusive Negotiating
Agreement by 120 days, through May 31, 2006. The City's negotiating teams and WestPac wish to
extend the agreement by 100 days to allow for further discussions in light of changing market
conditions. The attached Second Amendment to Exclusive Negotiating Agreement extends
negotiations through September 9,2006.
FISCAL IMPACT
None
ALTERNATIVES
Council could decide not to extend the period of the Exclusive Negotiating Agreement. This is not
recommended as City staff may find it does not have sufficient information to evaluate the
development proposal and the potential sale of City property.
ATTACHMENT
1. Second Amendment to Exclusive Negotiating Agreement
G`.Wgenda-Ordinances-Resol\Parking Lot 2 ENA Extension Westpac2 5-16-06.doc n s/
ATTACHMENT'
SECOND AMENDMENT TO
EXCLUSIVE NEGOTIATING AGREEMENT
This Second Amendment to Exclusive Negotiating Agreement is made and entered into
in the City of San Luis Obispo on this day of May 2006 by and between the City of San
Luis Obispo, a municipal corporation, hereinafter referred to as City, and WestPac Investments;
Inc. and or assigns, hereafter referred to as WestPac.
WHEREAS, on August 23, 2005 the parties entered into an Exclusive Negotiating
Agreement relating to a proposal for redeveloping a significant portion of the City's downtown
in the Garden Street area;
WHEREAS, the term of such Exclusive Negotiating Agreement was 150 days; and
WHEREAS, on January 9, 2006 the parties executed a First Amendment to Exclusive
Negotiating Agreement thereby extending the term of such Agreement through May 31, 2006;
WHEREAS, the parties require additional time in which to carry out their obligations
under the Exclusive Negotiating Agreement;
NOW THEREFORE, the parties agree as follows:
The term of the Exclusive Negotiating Agreement is hereby extended through
September% 2006.
ATTEST: CITY OF SAN LUIS OBISPO,
A Municipal Corporation
By:
Audrey Hooper, City Clerk David F. Romero,Mayor
APPROVED AS TO FORM: WESTPAC INVESTMENTS, INC.
By:
an P. Lowell, City Attorney Hamish Marshall, President
GAAgreementsMestpac Second Amendmt to Exclusive Nego Agmt.doc