HomeMy WebLinkAbout1998 Resolution No. 100•
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RF.SOLUTION NO. !!f2.
SERIES OF 1998
A RESOLUTION SUPPORTING THE MAS'l'RR DEVELOPMENT AGREEME ~ T
PROPOSED BY ·THE ENGLEWOOD K.""\lllO NMENTAL FOUNDATION AND
MILLER/WEINGARTEN FOR THE RHDEVELOPMENT OF THE CINDERELLA CITY
SITE.
WHEREAS, the Englewood Environmenw Foundation w.,, fwmed to relie,a , •• , burdens
which would otherwise be a88urned by the Ci,;y ofEnglewoon .lorado in connection wi th
the environm ental remediation , l.i.nd use pl.ailmng and prep b. · ti on for de ve lopment of the
Cind erella City shopping ce nter ; and
WHEREAS, the Englewood Environm£ntal Foundation was formed to provide s uppor t for
the red evelopment and enhanc ement of the Caty's comme rcial environme nt and is a separate
and distinct co rporation ; and
WHEREAS, the City Council of the C,cy of E nglewood , Co lorado support<d t h e Master
Plan proposed on August 10, 1998 by w En&iewood Envcronmental Foundation and
Miller/Weingarten for the redevelopment of 11,e Cinderella City site;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
E~;GLF.W OOD , COLORADO . THAT:
~-The City C,,uncil of the Cuy ol Lnglewood , Co lorado hereby supports the
Mast \.-Development Agreement be nr.:ee:o the Englewood Environm ental Foundation and
Miller Veingarten for the redevelop men d t,e Cinderella City site, attached hereto as
"Exhibit A".
~. Thi s resolution s uppon. m :m .-.ay waives or delegates the City's regulatory
pow ers , duties and responsibilities wtth respect to zoning and gove rnme ntal issues.
ADOPTED AND APPROVE D tlw! 2"" of :'<ovember . 1998 .
I. Loucrishi a A. Ellfa . City C.:erk fo'ith, ,·o:, of Englewooc. Colo rado. hereby ce rtify the
,So.,"•""'""""'"'"'"""-• . S<oo o< ,~ ~(/4J
ucri shi a A . Elli s
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COUNCIL COMMUNICATION
Date Agenda Item Subject Resolution supporting
the Master Development
Agreement between Miller/
W~ingarten and th& Englewood
Envf ronmentP.l Foundation -
November 2 , 1998 11 Ci Clndereii~ City Redevelopment
Initiated By Slaff Source
Bob Simpson , Director
I Englewood Envi ronmental F~ .. i:id 1tion En•Jie wood Environmental Foundation
COUNCIL GOAL AND PREVIOUS COUNCIL ACTION
City Council has made Cinderella City redevelopment the City's top priority for the past eight years.
During the past 18 months , the Council has supported th e transit oriented development concept. The
project concept and developer responsibilities have been the to pic of many Council meetings.
RECOMMENDED ACTION
Staff recommends that Council approve the resolu tio n to autho, 12.e En3lewood Environmental
Foundation (EEF) to enter into a long term lease of the identified property with MillerM ein garten (VM)
Development. (See attached agreement and map.)
BACKGROUND, ANALYSIS, AND ALTERNATIVES IDENTIFIED
The deal sheet sets forth the major provisions cl the fo rmal Developer Agreement between M/W and
the EEF. With the Agreement , The Englewood Env ironmental Foundation will continue to own the
sub ject property and under the terms of the Master Deve lope r Agreement, EEF transfers
responsibilities and risk for property development to the Master Developer.
The Master Developer Agreement includes five majo r elements.
1. Describes M/W responsibilities for deve loping the land and building on -si te , and off-s ite
infrastructure.
2. Provides. authority and resp onsibility for assembling land consistent wit h the approved
Master Plan .
3 . Des ignates responsibility for building the reta il project.
4 . Provides deta il s about the 75 -yea r ground lease with reta il "go dark" provisi on s.
5 . Includes a short -term option for the develope r, M/Vv , to lease and develop Phase II
prope rt ies at market rate .
FINANCIAL IMPACT
This agreement establishes the pr'ce fo r the property lease at $10 million wi th closi ng on December
29, 1898 .
LIST OF ATTACHMENTS
Proposed Re sol ution
Agreement
Map
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Part! .. :
Prapa,ty Dellnltlon:
Transaction Type:
Price:
Closi119 Date:
Phue II Option:
Mamrdnwloper
Obligations:
DEAL SHEET
I devo,per Developfflell~ ,i\grNment
Erglnood Town Can1ar Project
Octobw21,1991
Cly,_ Englewood. Colorado rcity"), Engtewood Environmental
FOl6ldllian ("EEF') and Miner Weingarten Realty LLC
("7 11 I ;a,aloper")
1. Pa-eels held for retail deve lopment by Miller Wetngarten (parcels
snown ui b!ue on attaehed map)
2. P¥king shared by all owners as provideo in reciprocal eaeement
(p,ltcns or area shown in green on attached map)
3. f>.n:e!s to be sold to Wal-Mart (parcels shown in orange on attached
map)
4 . Pan:als to be leased/purchased to Forest City (parcels Shown in red
an altil<:hed map)
Ground lease to M/W with rights to use common area parking subject to
redprocal easement and CAM Agreement.
75 .,ear ground lease to M/W with go dark provision
$ !0,000.000 due at clesing on December 29. 1998
Oe0!mber 29 . 1998
Mesardeveloper granted Option tc · ~uire on lease terms simliar to the
acqusilion of the Phase I properties. the surplus lands owned by the City
adj-,t to Englewood Pa1'1<Way between EJati and Cherokee Streets.
hereafter referred !:i as ·111e Phase II properties". Option expires July 1.
2000. and must be exerc,sed between 1/1/2000 and 711/2000 . Acquisi-
tion i;ox:e is fa ir market value for retail use at the time of exercise of the
~~ ,..asterdevefoper development rights are limtttd to retail on the
p-operty. Crty has the right to discuss with other developers or users
and ~emative uses on a back up bas is.
t . EEi" contracts with M/W as Masler Developer to complete s~e per
approved Master Plan and in accordance with plans and specs to be
utu.lly agreed upon . M/W contract wtth guaranteed maximum
price and cost savings to be shared . M/W responsible for all cost
011erruns, except costs re lated to demolition or resulting from change
., SC<lpe requested by C,ty (whieh will be change order ttems paid by
City) Redfrvlopment or Foley Bldg . a Cay Hall adud9d from •• ~ 111d Cly -.. ~ far tiL
2. Comp111e "" NqUltldfl:• ~ n1 oll'llla • * ••itWOIII-
PllljeCI 111,d will~ City t'lllr ■ Ill d.-~ on pacalt3jjii ol
comp1911Dn lpplltd III budget amount
3. Fulftll obl igations under RTO contract to build !rand facility and
pllkingflpec:n
4 . FulfiU obl1gation1 under atr'I future RTtl c:onnc alt:Qinad far pn,jlld
enhanc.ament l\inda (asaumes fund, from RTD orbn Olhef'
IOUfces -not MatetOeve!Oper-are sufflc:ient 10 n..r oblgadonl)
5. Perlormance dates for conslNction and pllased C3eirvr, to be set by
performance schedule to be attac:,ect as sc!'lt0IR IO 0ewtopment
Agre9ment . including :
a. Roads
b. Utilities
c. Tranart . Plaza and Boulevard
d. Parking Lots a"ll1 Slr\Jctures
e. Parcels to be de!Mlred to Wal-Mart and Forest City
6. Offs,tes to be completed by Master Developer • a. Englewood Paricway , induding CherotcN lnlllr1U!ion
b. EiatiStreet
c. Traffic Signals
d. Inca-to be completed J01ntly by EEF and M/W, •with EEF to
be reimbursed for Hs cost based on ~ of completion and
budget line fer work done to date
7. Ccmp lele purchase cf Goldmine site as prcvided · existing Option
Agreement . and incorporate 11!• in ptejeCI per plan.
8. Signed lease w,th cinema operator for multiplex theah!r (wrth dosing
contingency) by December 15, 1S98
9. Complete ccn5tructicn (C .O.) of no less than 200,000 sf ot rwtail
sp~ce by date(s) set forth in performance ~. &ubjecl to ~
~. with penalty of $3 ,000 dally for delay .
10, Construct,cn and nominal lease of 20 ,000 sf r~ rooftop and
connecting pedestrian ~ridge to Museum of Outccor Arts n so
requ"st•d by City b)' · .~vember 2, 1998 . Museum of Outdoor Arts to
be responsib le for inc.--:::,,enta l coat fer re inforced rcof top and cost cf
bridge . Bridge subject to capatat:o,ty with he,gnt at retad building . •
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EEF
Obligaticns:
11 . City CDU1Cil IPP!O'(alfor rttlll lllNSC11 spec:et largerthan 7,000 If
on the flm :/me leased, and ,paces gl9lllr lhlll 75,000 If for the
durall9n d the project.
12. Oeveloc,ment adheres to Cily approved Delign Standards and
Guidelines for the Project.
13. Accept property ·as ii", but dtmolltlon co mpleted to stage per specs
to be mutually determined .
14. Casualty and liability insurance to be obtained by WW.
15. Masterdelleloper to indemn ify Eel' and City for ci11m 1 (including
i,nvironmental) arising from worl< done by M/W .
16. Obtain City consent for genera ! C0r.lrlctor-M-W hll engaged
Waner Construciion/Saunders Conatrudlon a, Its General
Contr'Jdcr
17. 1'ake ove r zon in; or any other pem11tting prcces:i aa the applica nt (1f
not then comp l~ed) as cf date of mutual execution er Development
Agreement
18. Negcbate in good faith (wrth City representatrve parttc,paton as City
determines) parking ava il.lb11ity on site and costs for off site parcels
(Chud< E Cheese and Banks).
19. Join in CAM Agreement.
20. In the event Maste rdevEloper mat£, ·"f de faults on projed , follow ing
notice and right to cure . E:F has right to term in ate Oeve lcpme ot
Agreement and to take over project
C;ty issues COP yielding net proceeds suffic ient lo comi~ete
redevelopment or Foley Bldg . and to fund City 's cont ri bution for the
project
2. City redeve lops Foley Bldg . as Civic C;>nter Bldg per performance
schedu le.
3. EEF de li vers site to M/W, with demolition co mplete and partial fill ,
per agreed upo n specs and tme per performance schedule .
4 . City ad opts Des ign Guid eli nes per schedu le of performance (ea t
November 15, 1998).
5. City prov ides land needed for Englewood Parkway per performance
schedu le
e. EEF complll8I ,.........._., cantracr 11y Oecember29, 11191 ·• requmg ~ cla, I ; • J~ • willl no llu lllan
275 raidential..,. • .._ «1,000 rid ... .,,. nail and
CllfflfflStial -IO be~ per pe,fom•ICI liCNdla (NI .
.lint 1. 2000)
7. EFF c:omplelel Sale Agr--.1 wilh Wal-Matt wilh cloaong on or
priorlllo-nber29, 19N.
8, C!ty and EEF join in CAM~
9. EEF ret.aina de-<eloprnenl "ljjjD an Selbe P..-ce l and pamng are~
no,tt, fJI Raidlnlial. ~Cllr canlinues lo make miiallle
m.mbar of paning apaca llarlai ali&ling davelopmer.t pet'
approved Maler Plan and atr canlrad conwnilments with Theater
andoelllll'lananlloruaers.
10 Manage disblnemem frcm =-rudion fund for project, including
coope,21ion in l)tecassing o:a.s lft:m COP ~ and RTO or other
grants . Funds distursed per . .;ustcma,y con5tn:ction draw
procedUNS.
11 City don not waive ;.>,et 1Uc■1 ital dnmunities. dlAin and
responsi bi lities
Contract
Contlngencin: • 1. Close Wal-Mart sale en or 0l!ltlr1! Closing Date
2. Development A;reement wi!b IWldel'ltiaJ ClevelOper (specmc
perfo,mance ocntract wrth r.cnrefur.dable deposit) on er before
Closing Date
3. Closing COP on or t:em <:-.g Date
Eihibita to be
Completad
1. Master Plan
2. Construe: j on Plans and Si::e::fic;alions
3. Property m~p-<0mmon area and aselsa le parcels
4. ProJed Budget Profo rma
5. Project Performa nce Sct-edl.ue
6. Cash llow-consrruC!lon ccs:: •che-:u le
7. PUD and Design Guide lin~
8. RTO Contract with Cit)' cl :.~iewccd
9. Go ldmine Purchase Op~cn
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Master P .'an: Ownership Plan
!Gill~D['IUOftll.VI'
DAfflOl1>il'll'MAIOnW:n
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KEY:
n ed by Engkoood f r,,.,,datw,,
Co1111J10n Arta R,ta,..,,, bi· tht FDtindolion
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Dnrhptd by Mil/tr Ir ...ig.,tm
o..,d by Engbood f """"'4ii,,,
UIUtd by Mi/1,r u-""l-
• (),.,d by Engbr»J Frmmdon.n
Leased by Fomt Ci!'f
Y,llw. O•~•d by Engbood F,111ndolion
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l-fftd b;Wa/Mor1
mhptd by Mi/1,r W. igl111111 .""1,/1