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HomeMy WebLinkAbout2000-01-30 (Special) Meeting Agenda-I:'\, • • • • ... January 31, 2000 ENGLEWOOD CITY COUNCIL Special Meeting .. . 0 • 0 I . 0 --,,------------------------------·-------- ··]- • • ... ... ,,.-. • • • SPECIAL CITY COUNCIL MEETING JANUARY 31, 2000 ORD# 1, 2, 3, 4, 5, 6, 7, 8, 9 RESO#J,/, 6, 7, 8, 9, 10, 11, 12, 13 • • ... " .. 0 0 0 I • 0 3 .x.l ] • • • • ,· . • t . .. • - ENGLEWOOD CITY COUNCB. ENGLEWOOD, ARAPAHOE COUNTY, COLORADO J-,y 31, la Mayor Bums adviled this is a apccial meetiog of tbc Englewood City Council, and it was specially noticed. Thal nans it is DIil a regular meetiDg and tbc:re will be 1111 public QOIIIIDelll al this meeting. We arc required by law, be aid. wbcn wc ba\'e a apccial mec:ting. 10 ba\'e a ~ restrictive, precise agenda, and that is all wc are allowed 10 consider. 1berc will be 1111 comments al the end, only the two main subjects on the a,enda will be llOIISidcml. The next regular meeting will be next Monday. the first meeting in February, be adviled. I . Call to Order The lpCCial meeting of the Englewood City Council was called 10 onlerby Mayor Bums at 7:05 p.m . 2. 1-.dN The invocation was given by Mayor Bums. 3. l'INtt ,,, Allqiaace The Pledge of Allcgiaac:e was led by Mayor Bums. 4 . ...c ... Prcacnt Council Mcmbcn Grazulis, 0arrca. Bradshaw, Wolosyn, Yurcbick, Bmns Ablcnt: Council Member Nabbolz A quorum was present Also Present: S. Replar Apda (a) Resolutions City Managa" Scars City Attorney Brotzman Deputy City Clerk Castle Board Director Simpron, Englewood Environmental Fouodalion (i) Englewood Enviroammta1 Foundalion Board Director Simpson presented a rcaJIIIJIICllda 10 adopt a raolutioa IUppOl1ing the final agrcemcnt for sale of property from the Englewood Enviroammta1 Foundalioo (EEF) 10 Trammdl Crow for CityCcntcr Englewood . Mr. Simpson advised that this raolution suppons a oontract belwccn EEF and Trammell Crow that would result in a sale of approximately 10.2 ac:ns of property within the CityC.cater Englewood project. This would provide, at minimum, four hundred UDits of condominium ltylc, for lcuc. raidcntial UDits . 1bcsc units would be constructed with retail on the ft.-floor, and raidcntial IIKM, be said. The sale coolemplatcs a sale price of approxinmldy $5 million for that_. of paund. be lllled. and wc have been working very positively and IUCll:afflllly with Trammell Crow Residential for the put three mombs. Mr. Simpson said EEF is alking for Council's lUppOlt for this raolutioll. • ~ .. I . 0 ------------.. -----:------------- • • • Englewood City Council January 31 , 2000 Pagel --. • • - Mayor Bums said the wording or the raolutioll in Section I supports the general terms and conditions of the agrccmeot, and we uncla'lland thae-llill -ckwls yet to be fiaaliud. He asked ifthal was c::oncct. Mr. Simpaoo said it was correct, in facl. be lpClke with Trammell Crow Residcntial's legal counsel this afternoon. He said be underaads ---"in& an jail a couple or very insignificant time issues rc1atcd to submiuat or-delip doaunrnb adlerwile it ~ have been siped. He advised that Scott McFadden, who is the local ~ ..,_, WIS DOI Ible: to Fl the lignatures in place because of his pending marriage this week . He will be bal:k this CXJ111U11 Monday and the contract will be signed, Mr . SimplOII advised. and we will be imving forwanl. We ba\.'C nwincaincd very good progress on this, he amtinued. This project bas been OD a very fall 11D and hal made lignificant progress. Council Member Bradshaw asked bow lang it has tallen to Fl to this poinl. Mr. Simpson said they started woit with Trammell Crow mid-NoYembcr 11111-W vcry quiddy through the holiday season and. baning. marriage, be fdt -~ ba\.'C been thae. Mayor Bums said Ibey tallied a little bit OD Tbunday about design and that is all being telescoped into a much sbolter period oftimc, too. Director Sinlplon said that Trmnmdl Crow, even tbougb Ibey are DOI under contract, has been progressing on their design doa•menn 1boae design documea11 include lite plans and inlcrior designs for the buildings. he aid. For the IDOll part, what Council can expect by, probably, the first pan of March. will be a complctc IUbmillal packaee for design review for the City Council. That will include a site plan. landlcape lllllaWS, color ldection, and all clcwlions or all the structwes, he advised . Generally. What WC -talliinglbout, is about 4SO units total . They will be lcucd out at approximately Sl.08 or Sl.10 per 1q1ian: foot, Mlidl will l'CIUlt in a vcry aaractM uniL Tbe ICD8III profile will be very positive. he said. and the lllllerilla-llliDa to be very CXNWisteat with the l'Cll of the project. The scale or the buildings "ill be three 1tory OD the call patd, the patd lhll is pncrally call or Inca. The pan:cl west of Inca looks to be three and four lklrics. One or the ilUS -have been IIIUggling with is trying to get a significam level of cncloalrc OD lhll larae public: open ll*)C tbll -have beca COIIIIJUctiag, and the four stories is really going to belp adlicw -be adviled. M WC: did with the Wal-Mart design n:vicw proc:as. WC are doing a similar..-OD Ibis pnijec:L Tllis is aclUllly in-=-or a fifty million dollar rcsidmial project. he advised. and it is sipiftc:aal in and or illel( OUllide this project, and Ill, WC really need to do I very good job. Mr. Simploa said, l!ec:mle ortbal, dae cnwinp will be revicwed. not only by intcmal llaff'. but Ibey will be ICIII out to David Tryba's oflkz for review, and al90 to an indepmde• mtlan designer. Ron Sinka, who bas been -"ing with us through this Clllirc pnijec:L Mr. Simplon opined tbll wc will end up with a design that rdlects • loc or differalt approacbes and ideas tbal will incorporale a real positive. lltractivc nature to the project when it is complctc. He said be is very confident thal, if we were able to achieve it with Wal-Mart, be is ccnain wc will have an~ project with TllllDIDCll Crow. We sbould sec that either the first or second week in Marth, he added. Council Member Glnffl asked about the anticipated closing date. Mr. Simpson responded thal Trammell Crow Residential bas indiaml Ibey would be willing to close between sc:vcn and ten days after design review approval. Mr. Garrea said then wc arc talking about four momhs from start to finish . Mr . Simpson said that is corrcc:t. The resolution was assiped a number and read by title: RESOLUTION NO . 4, SERIES OF 2000 A RESOLUTION SUPPORTING TIIE FINAL AGREEMENT FOR SALE OF PROPERTY FROM THE ENGLEWOOD ENVIRONMENTAL FOUNDATION TO TRAMMElL CROW FOR TIIE CITYCEN'JER ENGLEWOOD . COUNCil. MEMBER aRADSBAW MOVED, AND IT WAS SECONDED, TO APPROVE AGENDA ITEM s (a) (I)-RESOLUTION NO .... SERIES or JNO • • , . I . 0 C I • • • Englewood City Council January 31 , 2000 Page 3 Ayes : Nays : Absent The motion carried . ·• ~ ,,.,. . • • -~ Council Members Garrett. Bradshaw. Wolosyn. Yurchick. Grazulis . Bums None Council Member Nabholz (ii) Board Director SiJlll*III pramted a rec:ommendalion from the Englewood Environmental Foundation to adopl a l'CIOlulioll aipponing a modific:alion to the Master Development Agreement for CityCentcr Englewood. Mr. SiJ111*111 adviled dal the raolution suppons an amendment to the agreement between EEF and Miller Weinpnm. who is the l'Cllil and master developer on the CityCenter Englewood project. The origjml agRlCllmlt bolds tbal Miller Weingarten is to provide to the City , by February I, a list ofsigned leaaes thaure agreeable to the City . lfMiller Weingarten is not able to meet thal deadline, the development agreement needs to be modified. he advised . We have received a letter from Miller Weingarten indicating. baled on a a,uple of different options 1h11 may be considered here this evening. 1h11 thal particular time frame 1111)' not be pogible. What is proposed is also included in the letter from Miller Weingarten to the City, wbidl Mr. Simp11111 aid he would like to read irlo the record . The propoul 1h11 is being requested for considcnlion under this raolution is essentially based on the following : "Miller Weingalten and the City would take thirty clays to clelermine if Border 's is a viable option and if it is determined to be a viable option, Miller Weingalten would ~'C the right to close at any time up to ninety clays from that point and that right would tenninale at the end of the ninety day period . If it was determined at the end of the thirty day period thal Border's was not a viable option, Miller Weinganen would pwsue the "non-border's" direct.ion and have the right to close for ninety days and that right would terminale al the end of that period. If it was determined prior to the end of the thirty day period tbal the required co-tenancy was not available, the election to go the "non-Border 'sr route could be made or if the City WlllllCd to immedialely go the "non-Border's" route, the City would have the option to so direct." Mr. Simpson said this proposal comes forward as a result of continued negotiations by Miller Weinganen and the City to look at a tenanl mix 1h11 includes Border's. City Council has provided some direction to Miller Weingarten to the effect of saying Border's is a desired tenan1 and Border's has indicaled through numerous interaclions thal they have certain co-tenancy rcquimnents to be able to locate in the CityCenter project. That infOl'Dlllion is llill not available to EEF at this time, he said. The non- Border's tenanl mix obviously does not include Border's, but includes ocher tenanl5 tbal we have talked about over the pl5I couple of months. Mr. SiqJIOII suggested that the questions regarding the tenant mix for some of these options might better be directed to Miller Weingancn. He advised that Skip Miller was presena to answer questions . EEF' s recommended action, bascd on this resolution, he advised, was that the resolution be adopted tbal suppons a modificalion of the development agreement between Englewood Environmental Foundation and Miller Weinganen Realty . Based on Council's direction here tonight , EEF will take appropriale action, he said. and he expressed appreciation for Council's direction. Mayor Burns asked about a notation on the tenant status repon of January 24 ... that indicated there was to be a meeting and tour of the site with the Bed, Bath&. Beyond operations department today. He asked if thal took place. Skip Miller responded that, to the best of his knowledge, David Larson, with Tranunell Crow, was to pick up the operations penon. who lives in Denver, and tour starling at 3:00 p.m. today . Mr. Miller said he asked him to leave any information he might receive on his voice mail, but there were no messages left. Mr. Miller said. to the best of his knowledge, it bad been scheduled and took place this afternoon. Mayor Burns asked. if it did take place, when would Mr. Miller expect to hear back. Mr. Miller said he was hoping to hear this evening, but felt certain he would hear by tomorrow. He said Mr. Larson had promised that, if he aJUld not call by this afternoon, he would call tomorrow morning. Mayor Bums asked if he mean1 1h11 Mr. i.ar-would call him with 110111C kind of raponse from Bed, Bath & Beyond. Mr. Miller aid Mr. ~ would call him with the results of what took place at the tour IO we could get a reading of what the operllions people fiom Bed, Bath &. Beyond thougi. of the site . He said if they clearly were not inlaested, we would know, and if they have more imcrest, they would tell us how they plan to proceed . ' . ' . I • 0 • • Englewood City Council January 31 , 2000 Page4 .. ~-' G • • Council Member Bradshaw asked if the meeting with Old Navy was still on for the s•. Mr. MiUcr said he thinks they have a dinner meeting on the ,.. . Ms. Bradshaw asked whcn he would know from them . Mr. Miller said it is kind of the same thing. He really does not know, but would rallicr tell Council after that occurs, because it will be tOlally up 10 them. but we will be pushing for a very quick response . He felt a lot of their inlere5t would be afrecled by wllal we bear from Bed. Balh & Beyond, and wllal wc can repon 10 them bclwecn tomom,w and the ,.._ Council Member Bradshaw asked if Mr. Miller bad not lilaled al the meeting a week ago that Border · s would consider just one of lhOIC . Mr. Miller said no, he bad said they told us they needed both. He said he believes that is what he said, and that is what he bad inlendcd 10 say, and apologized if there was some miscommunication. He felt that was why Mayor Bums had said, two or three weeks pm'iously, that we may bave an answer • soon • they talk 10 Bed. Bath & Beyond, because if they arc a no , wc will know we arc not going that route. 1bat bas been a>nsillelll for the last three or four weeks as 10 Border 's position, he added. Council Member Garrett said when we MR IIIClding last November, and they were working on the Border's lcttcr of iment, Mr. Miller had Slaled that the way Border's tends 10 do things is that they do a letter of intent, aid then have a fairly fall lrack of thirty days 10 negotiate a lease, and ii usually is subject to co-tenancy . Based on that time frame, wc would have had a Border's lease sometime in mid-January , he said. He asked what changed that time line that was dillCIISllcd last November. Mr. Miller said that was what they knew at the time, but today, wc know they don't normally do letters of intent. They go to their real CSlalc committee for approval on terms. In the case of our Dillon project. they did a letter of intent, and we told them, per our rcquin:mcnlJ with the City, that we wanlcd 10 do a letter of intent They said they would do ii, and they actually left in that forty-five days from the lcacr of intent they would have a lease . They said they made a miSlakc:. be said, 11111 left that in bccaulc of the other contract that wc had with them. and they do not normally do that Mr. Miller said he and Mr. loll bad rcponcd 10 Council over the last month or so that the condition was that, ualil they WCR comfortable with the aHellllllCy. they were not going 10 take it 10 the real CSlalc committcc, 11111 that they do not deal with a lease until they have real estate committee approval . Mr. Miller allowed that they probably bad misled Council . Council Member Garrett said, if we went the non-Bonier' s lrack, a loC of the worlt has been done on those tenants, and it would seem that wc should be Ible to do IOIIIClhing in a sixty4!y time munc. as opposed 10 a nincty4!y time frame, for a non-Border 's nck. Mr. Miller said the furthest thing along is Office Depot and he felt wc would have that commitment . We bave I loe of Olber lcues that wc arc going 10 be wortting on. Whal wc have really changed in this whole thing is that wc arc prepared, and wc know we probabl y will not have any , or very few , lcues in place whcn we have 10 make the decision 10 acquire. he said. So the methodology we arc dealing with now in our meetings with the Weingarten people , which took place last WCICk. is we basically got them to move a long way in lcslcning their prerequisites, their conditions precedent 10 closing. That is why wc put the ninety days in, because wc won't have any leases except possibly Office Depot, so we want 10 get as far along with • many people as possible . If wc felt comfortable that we bad the other three tcmnls. the rail of it is not nearly as important Going a different route, with the other tenam list, we want to make sure that wc have some indication from the pad users and the in-line users and so forth. and that is why we bclicvc: we need the ninety days in that case, he said. Mr. Miller added they would probably also have the Bally' s lcaacd at that time . Council Member Garmt said be thought their comfort level was the other way . That is the reason he thought, if they went in a non-Border's dirmioa, thole people have been waiting in line to sec if we were willing 10 go , vcnus the Border's dirClction, which is more tenuous. Mr. Miller said that is accurate to some extent, but he recalled when Council added some names 10 the Ii•. That was the first time wc could stan talking to those people, he said, boclulc tbcrc wen: some new names, so that really won't be a very long period of time until we have had a chance to do that. The people we were wortting with basically were Office Depot, WC had IDOlhcr tenam that WC dismissed al that meeting. and then WC had Bally ' 5. . ---------------------..... • I • • • • Englewood City Council January 31 , 2000 Pages .. .,-. • • -' John Loss, of Miller Weingarten Development, explaincd that they have a letter of intent from Ross. which has some very meaningful, unaa:cpCable terms. like the ICIII and who they want to exclude . We told them lhal they do not have terms lhal are aa::qJCable and we want to go Ibis route or seeing if we can get these other tenants lined up, and so, litaally, where Roa is. is we know they are ilUraaecl. but in terms of getting that letter imo an aa::qJCable form, there is a little bit of a Slall Mr. Miller said on the Ross situalion, amiparcd to Office Depot, Office Depot is at ia-we are comfonable with. so we can rontinuc down the road. e\'CII though they were mutually exclusive to the Border's palh. The Ross terms were not acceptable, and since they were auually exdulivc to the Bon1er'1 path. we did not continue on with that one. Mayor Bums said they bad Daltioaed lbll they bad not lalked to Roa in some time. He asked if they had talked to them lalely at all. Mr. Miller llid yes. they are in CW'l'all dilCUllioa again, and those a>nversations have been revitalmd, they undenlud wbll Im been proix-1 and the direction we are trying to go . He said be also reported lhal they were a liaJe more pessimistic, or less optimistic because they had made I deal for the REI ll*=C on Soudl Colorado Boulevud. They indicated that they do not think that is going to be a problem • this localion. be said. so that is more positive than the last report Council Member CIIIITClt asked if they were close on the economic terms. Mr. Miller said they had not really sat down and done that. Mr. Loss said they sent them a lhn,e and a half page letter responding to their terms and delinealing all of the problem arQS. We did lhal a couple of weeks ago and we are fairl y close to getting a response . Council Member Garrett said, if we were to modify and extend, we would probably want some more economic teeth in the extension. Thal is one of the things Council will consider as a recommendation 10 EEF. be said, IOfflC more economic commitment for the extension. He said be just wanted to let them know that was one of the things Council was considaiag. Council Member Wolosyn said they had discuslled ammlments to the resolution. Mr. Ganctt said Council basically would make recommendalions for further modifk:alion. The resolution was assigned a number and read by title : RESOLIJTION NO. S, SERIES OF 2000 A RESOLIJTION SUPPORTING A MODIFICATION TO 11IE MASTER DEVELOPMENT AGREEMENT CrTYCEN'rnR ENGLEWOOD . COUNCIL MEMBER GAllllE1T MOVED, AND IT WAS SECONDED, TO APPROVE AGENDA ITEM s (a) (ii)-RESOLUTION NO. s. SERIES or 2tOO. Council Member Garrett suggested adding four recommendations to the resolution that we are going to be submitting to EEF. The first is that we request the reimbursement. or the purchase of the assignment of the documents lhal would be an additiOIIII $350,000.00 acdit to the City, for that assignment, which is pan and parcel to the $350,000.00 thal we did last fall. Secondly, ifwe go a non-Border's direction, al the ronunena:meat of thal time. and we Mat to dilCUIS thal time &ame among Council after this. thal it be rcduccd to sixty days &om nindy days. The third recommeodllion reprding the option of Phase II is thal Miller Weingartal will have the ability to bid or respond to proposals like any other developer, but there is no guaramce or ri-to Plllle II. Ludy, that a release is signed by Miller Weingartal releasing the City from all liability in the event that, ll the end of the period the relalionship is terminated. Council Member Bradshaw said the ICCOllder accepts those recommendaions . Council Member Gama llid they nocd to dilCUII when to llilal1 the clock . We have heard from the developer on Bed, Bath &: Beyond thal we should maybe have an indication u early u tomorrow, because • ) I • 0 ] c::='I • • • Englewood City Council Jamiary 31 , 2000 Pagc6 ,. • • - .. .. if they are out. Border's is Cllll. Mr. Millar llid dlllD you could go to the Olber altcl'DIIWe. Mr. Gamu said be did not know ifdley slllould ~ ID City llaff. lfdle __. 6om Bed, Bath cl Beyond is DO, then we CID llllrt the -.Bonler's lhilnlliw -.uw. City Managcr Seas Slid Mr. Miler waald ~ to let • know tomorrow whether or not they are lllill potential, by fiw O 'c:loct liDIIIOffllW ...... Mr. Miller Slid dley 1WOllld pw diem• ... • mon • they get it We bave our regularly scbcdulcd meeting widl you tamonuw 111111 llape to~ it when we come to that meeting. be said. Mr. Glmlllllidpacnlly, if die-is 1111, they would tell you preUy quickly. ltisooly if they still ~ • imlnll dill dley .... diey waal ID talk more. Mr. Miller llid they could easily come back and say openlionl Im a~ ialtnll ad they need more ral aate people to come back and look at it again. T11en: could be a myriad mdUllp mppen. 11 the openlionl guy did not have any interest in the site at all, WC could .W a clefiDile 110 ....,._, but my guC11 is you will have somcdling in between. be said. We will rq,ort dill to you, be llid, ad cu n,c,ommmdaeion is to wort widl staff' to come to the conclusion • to wbelber it -viable a Miam in die agreement altcl'DIIWe or not. Mayor Bums 11ml if we need• OUllide dlllC OD M City Manager Sears said we could maybe come to Council next Monday nipt. Mr. Miler aid the qreemm bas an outside date. Mayor Bums said they requested thirty days. but WC have not ICt M Mr. Miller said be wa just responding to bis lilalemCDt that they need a dllle. Tbe ....-. Im dill in ii, ad Council can c:bange it to whalever they Wlllll, but there is a date in there for 1h11 purpoae, be llid. Ms. Blldlbaw said the proposal bas it in it. Mr. Miller said yes. in the proposal . Mayor Bums 11ml if they Wlllll lO put a ditl'aml time. Mr. Miller llid we could ddcrmioc: an earlier date bymutull~ Council Member Cillna llid dlil p'el m die abilily OD a weekly basis to make that dc:tcnnination, SO be hid DO pniblem widl il Let's mb it dlil1y days, we'll make a decision, and we CID always do it earlier. Mayor Bums llid 1h11 includls my odler, Old Navy or myt,ody elle. Council Member Gllna said dial rally does not c:bange the IUXIIIIIIIClldaons then, because that will Slay as the proposal is. Mayor Bums said the reaulion lm been IIIIMd 111d IICCIOlldcd widl four additions as recited ido the record by Council Member Gam:a. Ayes : Nays : Abllent : The motion carried. 6. Adjoll..._. Council Members Oam:tt, Bradshaw, Wolosyn, Yurcbick, Grazulis, Bums Nooe Council Member Nabbolz MAYOR BURNS MOVED 10 ADJOURN. Tbe meeting acljoumed 11 7:35 p.m. • ' . .. • I ) I· 0 • • .. t,· • • --• . ,, • -" AGENDA FOR THE SPECIAL MEETING OF THE ENGLEWOOD CITY COUNCIL MONDAY, JANUARY 31, 2000 7:00 P.M. ... ' 1. Call to order. '7:05 p. tn. 2. Invocation. /f)o.r" ~ 3. Pledge of Allegiance. /YJ"7b1 ~ 4. RollCall. t;~(AJ~-~ 5. Regular Agenda. a. Resolutions. Recommendation from the Englewood Environmental Foundation to adopt a a resolution supporting the final agreement for sale of property from the Englewood Emrironmental Foundation to Trammell Crow for CityCenter Englewood. ffAFF SOURCE: Bab Simpson, Board Director, Englewood Envtr·a1ilfflMtal Foundllllon. Recommendation from the Englewood Environmental Foundation to adopt a resolution supporting a modification to the Master Development Agreement for CityCenter Englewood. ffAFF SOURCE: Bob Simpson, Board Dl1'9Ctor, Englewood Environmental Foundation. s-t'A/()dfvi Adjoumment. ~ '1i 35p. m . <J~x~ Ganllll -mallan ID.....,.. R-. 15 C--* ....... ca.Nll-.lded Ille ,-..ion by .... four cwceuawww I •= 111: 1. 11..,-~orcrdan ....... 13111,000.CXIID .. Cly. 2. ·-... -..... ... ~ ..... =··---· o1 ......... nnatydaya ... be ....... ~ .... 3. --~ .. i.w Ille alllly to bid or ,-pond ID ....... a,,y alllW daValapar .... Walngartan 4 . .,.. haw no ....... or rWlt to P,-II. Tlllt.,... ....... by ... Wwlgaitan. ........ .. Cly ...... ..., In llle9-itthal. .... and llllw ........... Nlllllanahlp .. tarninalacl . ~e.o----s. PINN nala: If you haw a dlubillty and IINd auxlllary aJda or NrVicN, plNN notify the City of EnglewOOd (303-712-2405) at !Nat 48 hours In advance of when NrVicN .. l'INdecl. Thank you. • • ' . .. , . ' • ' . ' • ) I • 0 l •! • • ---·· • -· • ,, ·~ • - CALL OF SPECIAL MEETING AND NOTICE OF SPECIAL MEETING .. I, Thomas J. Bums, Mayor of the City of Englewood, Colorado, hereby call a Special Meeting of the EnglewoOd City Council at the Englewood City Hall Council Chambers to be held on Monday, January 31, 2000, at 7:00 p.m . to address the attached agenda. ACKNOWLEDGMENT OF RECEIPT OF NOTICE The following persons, all Council Members of the City of Englewood, do her by acknowledge receipt of notice of the above special session. Printed on Re c yc led Paper. - ., • J ) I· C, • • • RESOLUTION NO . .1_ SERIES OF 2000 t "t:• ·~ • -· • .. • -.. A RESOLUTION SUPPORTING THE FINAL AGREEME:--IT FOR SALE OF PROPERTY FROM THE ENGLEWOOD ENVIRONMENTAL FOUNDATION TO TRAMMELL CROW FOR THE CITYCENTER ENGLEWOOD. WHEREAS , The Englewood Environmental Foundation was formed to relieve the burdens which would otherwise be assumed by the City of Englewood , Colorado , in connection with the environmental remediation. land use planning and preparation for redevelopment of the Cinderella City shopping center; and WHEREAS , the Englewood Environmental Foundation was formed to provide s upport for the redevelopment and enhancement of the City's commercial environment and is a se parate and distinct corporation; and WHEREAS , the City Council of the City of Englewood. Colorado. s upported the '.\fa ster Plan proposed on August 10 , 1998 by the Englewood Environmental Foundation : and WHEREAS , Englewood City Council adopted Resolution No . 100, Series of 1999 . supporting the selection of Trammell Crow for the CityCenter Englewood reside ntial redevelopment: NOW, THEREFORE , BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ENGLEWOOD, COLORADO , THAT: Section ) . The City Council of the City of Englewood . Colorado, hereby s upports the final agreement for the sale of property to Trammell Crow , for residential development at t he CityCenter Englewood site under the general terms and co nditions of the Agreement attached hereto as "Exhibit A''. Sect10n 2 This resolution of support in no way waives or delegates the City' regulatory powers, duties and responsibilities with re s pect to zoning and governmental issues . ADOPTED AN D APPROVED this 31st day of January , 2000 . ATTEST: Thoma s J . Burns . :Mayor Loucrishia A. Ellis , City Clerk I . Loucrish1a A. Ellis, City Clerk for the City of Englewood , Colorado. hereby certify the above is a true copy of Resolution No._, Series of 2000. Loucrishia A. Ellis • .. .. • • I I • 0 • • /' . • • -' COUNCIL COMMUNICATION DA TE: January 31, 2000 AGENDA ITEM SUBJECT: Support o f Final Agreement For Sale o f Property 5 ai to Trammell Crow Residential INITIATED BY: Englewood Environmental STAFF SOURCE: Bob Simpson. Board Foundation Director, Englewood Environmental Foundation PREVIOUS COUNCIL ACTION: On August 10. 1998. City Council adopted Re so luti o n No . 90. Serie s o f 1998 supp o rting the Master Plan proposed by the Englewood Enviro nmental Fo undati o n and Miller/Weingarten fo r the Cinderella City site. On November 2, 1998 , City Council adopted Re so lution No . 10 l. Series o f 1998 supporting the ale of property to Wal•Mart by the Englewo od Environmental Fo undation (EEF) for the development of the CityCenter project. On November 22, 1999 , City Council adopted Resoluti on Number I 00. Series o f 1999 supporting the selection of Trammell Crow Residential for the Englew ood CityCenter residential redevelopment. RECOMMENDED ACTION: Staff recommends that Council adopt a resolution . which suppo rts the final agreement for the sale of property from the Englewood Environmental Foundation (EEF) to Trammell Crow Residential . BACKGROUND: Over the past three months the Foundation has been in neg o tiations with Trammell Crow Residential over the remaining issues involved with the lease of property. With Council· s support. the Foundation is now ready to proceed with the lease of the property to Trammell Crow Residential . FINANCIAL IMPACT: The proposed Resolution will demonstrate support for the EEF and the Trammell Crow Residential land lease completing an important phase of the CityCenter development. LIST OF ATTACHMENTS: Proposed Resolution • • • I I • 0 • -. .. ,. ---. • . ' • -' AGREEMENT FOR PURCHASE A.1\ffi SALE AND R.EDEVELOPME1'T OF RESIDENTIAL REAL PROPERTI' THIS AGREEMENT FOR PURCHASE AND SALE AND REDEVELOPMENT OF RESIDENTIAL REAL PROPERTY (" Agreement") IS made the dav of Januarv. 2000 . by and between TCR Mounlalll Stares Properties. Inc .. a Texas c:orpontio~ ("TCR") ~ The Englewood Environmemal Foundation. Inc ., a Colorado nonprofit corporation (-EEF"). RECITALS A. There is located within the boundaries of the Ciry of Eng lewood . a Colorado home rule muoicipal c:orporation ("City"). the former regional shopping center site whic:b was kno wn as "Cinderella Ciry ." The site is bounded by Hampden Avenue, Santa Fe Drive. El.ui S1rttt .lnd Floyd Avenue, and is depicted on the attach~ fah1b1t A. wh1c!l is inc orporat.cd herein b:,: this reference (the "Redc vclopmenr S1Ce"). 8 . The City Council. on December 15 . 199i . e~pressed its de si re that the Redevelopmc:it Site be redeveloped as a Transit Oriented Developme:lt ("TOD") to be integral.Cd with the RTD station next 10 the Redevelopment Site . One of the elements the City has directed EEF to include in the TOD is a residential d.evelopmeru which also incorporates rct.11! space JS part of the improvements . C . TCR has agreed to construct a multi-family and retail proJect on that portion of the Redevelopment Site which is labeled as ·rcs1dential parcels" and depicted on Exh1hit A and more fully described on E:thibjr B which 1s acuched he reto and tneorporateo !:.erein by clus reference ( the -Ptopeny.). D . EEF has agreed co sell. ind TCR has agreed to purchase . the Property on the terms am! coodiliom set forth in this A&rcemem . Now, therefore. in consideration of the promises and agreements of the parues conwned herein, and other good and valuable consideration , the receipt and sufficiency of which arc hereb y acknowledged by each of the panics. EEF and TCR agrtt as follow s : 1. DEB,'JJTIONS . For purposes of thi s Agreement . the following tenns shall ha ve the following meaning : a. Qn: shall mean the Cicy of Englewood. Srace of Colorado b . CAM Agrttmep[ shall mean the Common Area aod Main!emDCe Agreement executed by EEF and Wal-Man Real Estate Business Trust cwed November 24. 1999 ind .. lOQCS"QJl)tl"&l'DC,UWD>~JA.U!! !'J.jJ ~ "O ... ,,, .. E )( ... I e I ,. ) . I • 0 ·--------------------------------.-.---------------- - l • • -. _,,-. • • • recorded November 24. 1999 in the real estate records of Arapahoe County, Colorado at Reception No . A9186624. c . ~ shall mean tbe date EEF executes and delivers to TCR a deed conveying title lO the Propeny. TCR ~ys to EEF the Purchase Price and the panics consummate tbe transaction provided for herein. ail as set fonh in Pangrapb 17 . d. ECR Agrmw:mg shall mean the Deciantion of Easements, Covenams and Restrictions executed by EEF and Wal -Mm Real Estate Bmmess Trust dared ~ovcmber 24, 1999 and recorded in the real estare records of Arapahoe County . Colorado on November :?4 . 1999 at Reception No . A9186622 . e . Effective Paw sball mean the date tlus Agreement bas been executed by bom parties . f . E:<cusable Delav shall mean any deLly m compleuon of the obligations to be performed by any party due to strikes. lockouts . or other labor or in<!ustnal disrurbance. c1v1! disturbance. future order of any government. court or regulatory body claiming j urisdiction. ii.C t of the public enemy. war . riot . sarotage , blockage . embargo. lightning. earthquake . fire. storm. burricanc, tornado, flood. washout. explosion . unusually inclement we:it.'le:. or any other cause whatsoever beyond ~ reasonable control of such party . g . lmprovcmentS 5hall mean the residential and retail improvements to be consttuered by TCR on tbe Property as more fully described in Paragraph IO .a h . Inspection Period shall mean a period of time begi.ncing on the Effective Date and endin& on febrtW"Y 10 . 2000. as more full y described in Paragraph 6 , as such date may be e,ucnded in accordarx:e with Paragraph 6 i. Master Site Plan shall mean the site plan for the development of the entire Rcdevelopmem Site as depicted on E:uubit C. j . M-W shall mean ~filler Weingarten Rci!ty , LLC . le . Pgmined, Exceptions shall be the title exccpuons accepted by Purchaser or not timely objected 10 as more fully described in Paragraph -'.d . 1. ~ shall mean the plm area as identified on E;shibjt A . m . Piazza RcJljl shall mean the ground level retaJI space 10 be developed in the building adjacelll to the north of the Piazza is described in s«tion IO(a ). "'OOCl'.Cl.llN'fl&l'DIC.U-...0\~.W...1.;•.oow,o .. :,,-2 • ... ' I • 0 • • • .. • • - n . Plans and Specjfications shall mean the plans and specificauons for construetion of the Improvements. o . TCR Dcvelopmcn1 Agreement shall mean the Agrttmeru descnbed in Paragraph 7 . p . TCR Site Plan shall mean the Site Pim to be submitted to Ciry Ccuncil for approval in accordance with Paragraph 10 b. wluch Sile Plan shall include the location of all improvemems. parking spaces and parking st.-ucrure. lalldscap1111 {includU1g locauon and species. and all ocher improvementS to be developed by TCR on the Property. buildJ.ng elevauons. civtl enginecriag plans, and exterior materials and ;olors. together with ident1fa:at1on of any off-site improvements required by TCR to complete development of 11s Pr operty 2 . SALE :\NP PURCHASE EEF agrees to sell and TCR agrees to ;,urdl:Ase and pay for the Property. on the terms and conditions hereinafter se! forth . 3 . Pl7RCHASE PRICE . The purchase pnce for the Property (the "P,Jrchase P:ice") 10 be paid by TCR to EEF shall be Five ~ilhon Dollars (SS .000 .000 .00) The Purchase: Pnce shall be payable as follows : a. ~-Upon e~e,i;uon of this Agreement . TCR shai l depos it Tw o Hundred Thousand Dollars (S200.000) t lhe "DeFOS it") into t!SCrow w11n Ch1.:ago Title lnsur:mce Company (the "Escrow Ageru "). Concurrently with the e:tccution of this Agr=nent. TCR . EEF and Escrow Agent shall enter into an escrow agreement instrUcting the Escrow :\gent to mvest tbe Deposit in an intcresl bearing account and to hold and disburse the Dcposn . inc!us1ve of the interest e:irned !hereon. in accordance with the lerms of this Agreemem. reference herein to the Deposit shall mean and include all inrerest earned thereon . The Deposit shall be credited ag:iinst tbe Purchase Price at Closing . b . C1osjng PavD)C!!t. The balance of the Purchase Price . as adjusted for all prorations and dosing costs provided herein (the "Closing Payment"), shall be paid by TCR to EEF al the Closing by wire transfer or other immediately available good funds ac ceptable to EEF . 4 . TITLE A;'lD Sl'RVEY . a. I.ilk -Title 10 the Property shall be free and clear of all hecs and encumbrances. sub_JCCt only to such matters as TCR accepts or is deemed to have accepted pursuant to Paragraph 4 d (" Pennitted Exceptions") b. Title Commitment . Prior 10 the Effecuve Dace (as defined m P:uagr:iph I b), EEF has fumisbed to TCR a currc::t title commiancm covering the Property (the "Commitment") issued by Chicago Tille Insurance Company ("Tille Company"), -..ith said couuruunent to insure, subJec1 to the requirements ilnd exceptions set forth !herein . fee simple title N ~i&."tfVa.GU.WO\.nAMMI.Ll •)AJ..(1-l 7.00 ... ,v IAf:11..00 3 • • I • 0 - • • • ·• ,. ,,-. • • -... 10 the Property in TCR in the amoun1 of lhe Purchase Price . The Title Company has also delivered IO TCR legible copies of all recorded instruments referred to Ill the Comnuunent (the "Title Documents"). EEF also, within fifteen {l.S ) days after the Effective Date. shall furnish co TCR a tu cenificate from the Treasurer of Arapahoe County . EEF shall pay for at Closing . and promptly mer Closing C3USe the Tille Company to issue: to TCR. an ALTA Owner ·s title insurance policy insuring ulle ro the Property m TCR m the .m:ount oflhe Pun:!l.lse Pnce. subject only to the Permitted Exceptions . c . Survev . Within five t5) business days after the Effective Date . EEF shall furnish to TCR ii survey ("Survey") of the Property prepared by a surveyor registered III the State of Colorado which shall meet the minunum sianuard detail requir~ments for ALT A.'ACSM Lllld Tille Surveys. for 311 urban survey . Jointly established and adopted by AL TA and ACSM rn 199 7 . to be dated not more than thirty (30) days prior to t.'le Effe-~:ive Date. cc:mfied tc TCR Jnd Tale Company . d . Location of C:1issons Within Jays afte~ the: Effect i\·e !)a te . EEF shall deliver to TCR l drawing prepared by a rurve~c,r licensed in the State of Co lorad o wh1c!l shows lhe location of all ca1ssoru on the Propc'"y that had ~n lett in plac:: .lfte: demoliuon of the old improvements on the Propc:~ry EEF . ac its expense , sh.I! ha\'e eac!'l caiss on exposed to allow visual confirmation of its location . deplh . ar.d pbys1cll ,;ond111on. e. Title Defects . On or before ten {lO l business days following rc:ce:pc by TCR of the Survey (''Title Objection Deadline"). TCR shall give EEF notice of all title detects shown in the Commiunent which arc not consented to by TCR as Penmtted ExcepuoDS and defects disclosed on the Survey . Any and all n-..itte:s lffectmg all or any pomon of Ute Property disclosed by the Commiunent (as exceptions. requirements . or otherwise ) and the Survey whi ch are not the subJCCt of a timely notice from TCR to EEF sha l I be dec:mcd accepted by TCR and are herein referred to as the ~Permitted Exceptions·. If TCR noufies EEF of any title: or sur,ey defects to which it ob1ects. then within five (5 ) business da:,,s after EEF recei ves such utle or surve y obje<:tion notice, EEF shall adnse TCR what. if anything. it will do to address the obJection. Prior to or at the Closing, EEF shall discharge any and all monetar y hens and monetary encumbrances on the Property . except for the Permitted Exceptions . Such liens Jnd encumbrances , if any. may be satisfied from the proceeds of the sale of the Property If EEF fails to llotlfy TCR that it will cure each dcfc:cc objec:cd co . or if EEF notifies TCR of its 1ruent to r:ure such defects and thereafter each of che defects objected co by TCR has not been cured prior w February 25. 2000. TCR may . by wnnen nonce to EEF. te:,nmate this Agreement or. if it fatls to give such notice. TCR shall be deemed to have WJ1ved such detects and shall accept the same as Pennitted Exceptions. The notice of tenninauon 5hiill be given no lacer than (i) ten (10) days following the notice that EEF will not cure .&ny de!·ec:. or (ii } m the event of failure to cure a defect which EEF agreed to cure , March IS. :?000 . IfTCR does not notify EEF of us decision to trnninate or waive within the time required . TCR shall be deemed to have waived its obJection to such defecu and to have accepted such liefects as Pc:muaed Exceptions . ln the event of a tenninatioo of this Agreement by TCR pursuant to this ParJgraph 4 d . the Deposit shall be N ~.Q.~""T'&f'L~ra..t.....a,u..,tiU ,.?f ,41,,1,."0 ai.:~~ 4 ) I • 0 - • • • .. ,. /' . • . • -' returned co TCR and both panics sllall !hereupon be relieved of J.ll further obligauons hereunder . 5 . DOCUMENTS . Prior to the Effective date. EEF has furnished co TCR copies of the !ol!owin& items relating to the Property in EEF's possession : a. Soils reports . b . Environmental informauon obtained by EEF eJCher in connection with other poniom of !be Redevelopment Site , or which were prepared on behalf of a prior prospective purchaser of the Property. copies of which bave been delivered . c . Master Development Agreement between EEF 3nd Miller Weingarten relating to the construction of improvements for the Master Site Plan , copies of which have been delivered . d . lntergovemmencal Agreements with the RTD and the Ctty of Englewood e . CA;\1 Agreement f . ECR Agreement g . PUD and Design Guideline s EEF shall also provide TCR. within five t S} business days following written request by TCR . with any additional information in EEF s possession or control regard1Dg the Property . 6 . INSPECTION . TCR shall have until the exp1Iation of the Inspecuon Per iod ro inspect and evalua1e the Property to aece:inuie the suitability of the Prope~y for TCR · s intended use. The Inspection period ~y be extended upon request of TCR prov ided t 1) TCR is diligently pursuing completion of us inspection of the Property. (::?) TCR reasonabl y requires addiuoll:ll infonnauon from third parties to complete its lllSpecuon . and (3) TCR identifies by wnnen not ice to EEF the nature of the additional informauon required . In the event TCR requests an extension of lhe Inspection period as provided in lhe preceding sentence. it shall be e~tended a reasonable period of time to per.wt TCR to obf4in the nece~sary ltlfonnauon. but in no event shall the Inspection period be extended be yond Febru.tl'y 17 . 2000 . TCR may. for any reason aod III 11s sole discreuon. terminare this Agreement by wr inen nonce to EEF gi ven on or before the last Jay of the lnspecuon Period . In the event of such terminauon during the lnspecricn Period . the Deposit shall be rerumed to TCR and both panics shall thereupon be relieved of all funher obligations he:-ewxier . If TCR does not deli ver to EEF and the Escrow Agent either written notice of its approval of the Propen:,, or us written rermin.ation resulting from its inspection oi the Property (MNotice of Termination") prior to the expirauon of the Inspection Period, EEF shall notify TCR that the Inspection Period ll3s exp!Icd and TCR shall bi: deemed to have waived its right of termination under this Paragraph 6 , and this Agreement shall continue in full force and M •DOC~"""'°'TaA.,...,,,,J.:~1.:"t ,40w,t1 ... r.J.-;,o • ) I • 0 • • • ,. • • - effect , the Deposit shall be non-refundable .111d the Deposit shall thereafter be rerurned to TCR only (a) in the event the purchase and sale of the Property fails to close solely as a result of a default by EEF under tile terms of this Agreement ; (b) termination of this Agreement by TCR pursuant to Paragraph 4(d); (c) terminat ion of this Agreement by TCR pursuant to Paragraph 7; or (d) termination of uus Agreemeru pursuant to any other terminauon right of TCR expressly granted III this Agreeme:u . 7. SITE DEVELOPME!IIT REOUIRE~fENJS . Prior to February 10 . 2000 . EEF. TCR and M-W shall agrtt upon a fonn of Development Agreement ("TCR Development Agreement~) whlch will be executed at Closing utd which shall identify the items M-W is required to complete subsequent to the Closing which relate directly to the Property. including without limitation. i:nfrasttUcture . off-site 3.11d on -site improvements J.nd common areas . A dnft of the TCR Developmem Agreement shall be pro\'ided to TCR on or before . 2000 . In the event TCR fails to asree upon the form of the TCR Development Agreement within such time, TCR ma y tcrmtnate this Agreement by wrinen notice co EEF . whereupon the Escrow Agem shall rerum the Dcpos11 to TCR , this Agreement shall ternunate . ;ind the panies shall ha ve no funher rigbu or obiig:111ons llerc-.mder . In the event TCR does net give such not ice or termmau on to EEF by Februacy 10 . 2000 . as su c:i d.au: rnav be extended pursuant to Section 6 aoov c:. TCR shall be deemed to b.ave wai ve~ m y objec :io ns to the: TCR De \'elopmem :\gre,::nem 8. PROPERTY SOLD ·AS-IS· . E.,cept for the representations . warrant ies . and agyecmcnts of EEF set fonb in UllS Agreement , and except for ccmpleuon of the work required to be performed under the TCR De velopment Agreement. the parties agree that the Property will be conveyed to TCR in its than ·as-is · and "whc:-e -i s· condmon . TCR is relymg upon its own inspection of the Property to evaluate the condition of the Property for TCR · s intended use . TCR hereby acknowledges that the opportumty to mspe,:t the Proper:y pr ovided herein is suflic 1ent for TCR to obtain whatever information regarding che P:-operty that TCR may deem necessary for TCR to detenninc the coodiuon of the Property and ltS suiubilicy for TCR · s imcnded 1.1se . TCR acknowledges that it IS sophisticated 1n the purchase ;u:d development of real propeny. and that. by proceeding to Closing. shall be deemed to ha ve acknowled&ed that it has been given full opponunity to inspect the property , including the opportunity co perform soil testmg and environmental cesting at the Property. and is rely mg solely on its own mvesugation to determine the suitability and acceptability of the $Oil and environmental condition of the Property for its iJueuded use by TCR . Except as otherwise explicllly provided in tlus Agreement . EEF makes no representations. warranties or agreements, either express or unplied . regarding the coodinon of the Property. or the suitability of the Property for its intended use . including without limitation any representations relating to the environmental conditions. air. water. water rights . rnmerals. utilities . present or furure zoning. soll . subsoil. drainage . or access co public roads . 9. PERFORMANCE SCHEDULE TCR shall submit the followillg icems .£Ccording to the following schedule : .. 'oOOCS'C"~~~n...~·.sAJ 1.;~.~ w~o ~:? .... 6 ., • I ) I • 0 - • • • --------------·----------------------------------- • , ..... • - a. Prior 10 the Effective Date, TCR has submitted to EEF a preliminary Site Plan {which shall be for discussion purposes only and does not include all of the items required on the final TCR Site Plan). b . On or before February 10. 2000. TCR shall submit to EEF a complete Sire Plan which will include all of the required elements . c . EEF shall review the complete Sire Plan. and shall request review of the complete Site Plan by applicable City agencies, including but not limited to building department. fire depanmem. utilities department {includmg water. sewer and storm water). public works department and all other departments or agencies whose review is required to obtain approval for bwldiDg permits. and EEF shall provide to TCR its comments and :he commentS of any re \'l ewmg agenc:,, or department to the complete Site Plan on or before Februar y 20 . 2000 d . TCR shall submit to the Cay Counctl on or before February 29 . 2000 the final TCR Site Plan. im:orporating such changi:5 as TCR deems appropriate in r~ponse to commcm.s received from EEF following the earlier subnutt:ll of the Site Plan 10 EEF e . No later than the Council meeting of :-.t:mh 6. 2000. TCR slull request a resolution from the City Council approving rhe final TCR Site P!an . !. In the event EEF er any reviewing agency or departments fatls to respond with its commems by the daies required above. there shall be an extension of the date by which TCR is required to make any of us submiuals following such required response by EEF or any reviewing agency , which extensions shall be a number of business days equal to the number of business days of delay by EEF or !he reviewing agency in providing their required response . 10 . IMPROVEMENTS a. TCR shall build not less than 200 renral residenual units on the Property west of Inca. and not less man 16.000 square feet of street level remll commercial space west vf lm:a. facing on the north side ot' the Piazza ("Piazza Retail ") TCR shall build not less tb.ln 200 residential units on the property east of Inca and not less than 10 .00 square feet of street levcUretail commercial space {including spa~ to be used by TCR for its club house and leasing offices) east of Inca adjacent to the north side of Englewood Parkway . The residential uruts and street level/commcrciaJ space 10 be developed on the Property are hereinafter coll~tively referred to as the "Improvements ff. All of the Improvements shall comply Ul all respects with all applicable governmental requirements. including, but not limited to. the Design St.ndards and Guidelines of the Englewood Town Center Planned Unit Development District Pl.n approved on November 27. 1998. under Ordmance No . 82. Series of 1998, adopted by the Cicy Cowic1I , as such Design Standards and Guidel.i.oes may be amended from time to time . The Impro,·ements also shall comply with the applicable provisions of the Master Site Plan . • ) I • 0 • • -• • ... • - b . TCR shall submit to the City an application for building permitS for the Improvements on or before June 6. 2000 and shall diligently pursue such applications . EEF shall use itS best efforts to obtain a response from the City to approve the application. or if rejected to provide comments regarding required revisions. within twenty-one (21) days following the date the application for building permits has been submitted . In the event the City requires changes to tbe Plaus and Specifications as a condition for approval. EEF shall use its best cffons to obtain a response from the City to any resubmitted Plans and Specifications within fourteen (14 ) days following the date such resubmission IS received by the City . c . SubJCCt to Excusable Delay , thirty (30) days after unconditional approval of the application for building penruts. TCR shall obtain its building permits and commence construction . d . Subject to facusable Delly. TCR shall complete the improve:nems (completion shall be evidenced by issuance of a ce~ific:ate of <,'C cupnc:, and a .:c:ufic are of completion issued by an architect reasonably ac::eptable to EEF) subsunual ly in ac cordance with the Plans and Specifications approved by the C11 y witlun 2~ months ioll ow U1g the 1s ~uar:c~ o f building permits . e . TCR shall cause to exec ute and deli ver 10 EEF :u Closing a Guaranty of Completion . TCR and EEF shall agr~ upon the form of the Guaranty of Completion prior to the expiration of the Inspewon Period The Guaranty of Complet10n shall allow for Excusable Delay . 11 . COMMON AREA MAINTENANCE AGREEME~T Toe Property shall be subject to the CAM Agreement . TCR shall execute a Jolllder Agreement in accorda.'lCe with the provisions of the CA.~ Agreement. TCR shall contribute ttS pro-rata share up to a ma.~unum of 5200 .00 per residential unit annually. and $1.70 per square foot for retail space (including space used by TCR for it's own use) as its CA.1\1 obligauons 12 . ECR AGREEMENT, TCR DECLAR.'\TION . The Pro perty shall be subject to the ECR Agreement . EEF agrees to record an affidavit designating TCR as the "Residennal Developer~ as provided under the terms of the ECR Agreement. In addition. the Property shall become subject to a Dec laration of Covenants and Resmctions (''TCR Dedamion ") whic!l shall include . bur not be limited to, the following : a. TCR shall obtain prior approval from EEF for any retail tenant occupying 7,000 square feet or more: provided. however . that if EEF fails to approve or reject a prcposed tenant within founccn (14) days following the d.lte such approval is requested in writing, such proposed tenant shall be deemed approved . b . W ith respect to any space designated on the Site Plan as retall or office, but not including live!work space ("Commercial Spac~~). it TCR fa1ls to lease at least seventy five lt\l.10f.:sa.JS."r,f1"Ai,L~C,,.~JAL.11 .:TJ.11W,O ... ?:'1-18 8 • I· 0 ------------------------~--------c..,~------------------------ • • • • • - percent (75%) of the Commercial Space within six (6) moruhs following the dace the last Certificate of Occupancy is issued for such space . or if 111y such s~e. once rented. thereafter becomes vacant for six (6) montbs or more . EEF slwl bave the option to require an independent appr:tlsal of the fair market rent for such vacant Commercial Space . and TCR shall then offer such spac: for rent at the appraised renw amount . Uthe space remains V31;anl for an additional si.'t (6) months following a dctcrminauon of tbe lppmsed remal UDOWlt . EEF shall have che opcion. at any time the space remains vacant . co lease the space at the :ifpraised rental amounc _ c . TCR shall noc ac any cime apply for or subject any of tJ:le residential urucs on the Propeny co any federal or stare subsidy or any program for low mcome housing . d . The TCR Declaration shall provide chac for a pe::iod of fiv e (5) ye:ir s after TCR commences consttucnon on the Propert y. none of the remairung port ion of the Redevelopment Site may be developed ior mulu -family residenual u.rucs fo r re:n . other than semor housing . e . Upon complenon o f !he Improvements . TCR 's mari.Jge:nem personnel fo r the Property shall mainuin :?4 -hour contact w ith polic:: telephone connecucn . f . The TCR Dec lauuon shall inc lude such addmor.al pro visi ons as are reasonabl y accq,uble to TCR and arc appropriate to maintain the qu:ilicy and character , and provide for the maintenance . of the re sident ial uruc s. including but not limned to. prolubitions against storage of inoperable vclucles. commercial verjcles. boats . etc .. and maintaining all of the residential units re:idy for rental and occupanc y . "Commercial vehicles" shall be defined 1n ,u~h a way as not to prohibit normal deliver ies or se~vices 10 businesses in che Commercial Space or live/work space . The TCR Declaration and any other riele vant documents shall permit the Conunercial Space along Englewood P:u-kwa y lo be used for l leasing office . residents · club house and exercise factlities. general office use~. and h ve/worlc space . g. The TCR Declaration shall provide that EEF ma y no t ch:i.nge its site plan for development of the property along the so uth side of Englewood Parkway without the prior wrinen consent of TCR . h . EEF and TCR shail agree upon the form of the TCR Declarauon pr io r co the explr3tion of the IJlSpecuon Period . A draft of the TCR Dec laranon shall be provided to TCR on or before , 2000 . If EEF and TCR do nee agree on the form of the TCR Declaration prior to the end of the Inspection Period . then TCR ma !' terminate tlus Agrecmcnl by written notice to EEF , whereupon the Escrow Agent shall rcrurn the Depos it to TCR. tJus Ag1ecrnem sball tenniDate. and the parties shall have no further rights or obligauons hereunder . If TCR does not give nouce of terminauon within such cime . TCR shall be deemed to ha \'e waived any obJections to the TCR Declaration . N '..;)OCS~ .. :U,T!U \11..W.U'MQ\1'9.AMllla.:.. ~1-::-00 -wr u --:•1.itt 9 • I • 0 • • -. .. ~ --. • ... • -.. 13 . ACCESS: MECHANICS" LIE~S . TCR. its agents . employees. conuactors. or subcontractors may. at all times after !he date hereof. and UDtil the earlier of the Closing or the termination of this Agreement. have the right of access to the Property to test, inspect. and evaluate the Property as TCR deems appropNte. including wuhout lim1tation drilling , sampling or other testing procedures. provided TCR shall not ume.uonably interfere with the work then being done at the Redevelopmeni Site by or on behalf ofEEF , the City . M-W or Wal-Man . TCR shall promptly restore any altcntiom made to the Property by TCR , or at TCR's imtance or request. and TCR shall pay for all ·work performed on the Property by TCR, or at TCR · s instaJJU or request, as such paym:ms come due . Any and all liens on any portion of the Property resulting from the actions or requests or otherwise at the insWM:e of TCR shall be removed by TCR at its expense within fifteen (IS) days after nouce thereof is given to TCR . TCR shall. at TCR"s expense . defend. indemnify. and hold barmless EEF and '.l,1-W from and against any and all obligations. claims, loss. and damage . including costs and attorneys ' fees. to the <!:<tent the same a.re caused by TCR's access to the Propert y. pr ov ided . however . in no evenc shall TCR indemnify EEF or M-W with respect to any matter arismg fr om the results of such tests . or caused by EEF . the Cit y, !'fl.W , Wal-Mart or the agents. employees . or ,omractcrs or an y of chem . 14 . EEFS COVENANTS REPRESENTATIONS Ai'liD w ARRA;',l'TIES . EEF hereb y covcnams, represents and warrants to TCR as oi the date of this Agreement and as of the Closing as follows: a. Authoritv . The person executing !his Agreement on behalf of EEF has the authority to do so . The execution and delivery of this Agreement by EEF 1s dul y authorized by all requisite org3IlizationaJ actions of EEF b . No Violatjons . To EEF's knowledge . the Property is not m violation. nor has been or is current!y under investigation for violation of any federal. state . or local laws or regulations. including without limitation those governing health . the environment and natural resources . c . Non -Forejgn Person. EEF is not a ~foreign person"' as that term is defined in the federal Foreign Investment in Real Property Tax Act of 1986 , the 1984 Tu Reform Ai:t . as amended , and Section l4S5 of the Internal Revenue Code , and applicable regulations and . at Closing. will deliver to TCR a certificate stating that EEF 1s not a "foreign person" as defined in said laws in a fonn complying with the tcder;d tax law . d . Envjronmerual Condjtion of Propertv . All asbestos. hydrocarbons and other materials regulated by law. and to the extent required by law for the Property to be used tor residential development, have been removed from the Property and the removal. transpon and disposal of such materials bas been completed in accordance with all applicable laws, rules , decrees, orders aJld regulations . EEF shall give to TCR at Closing an environmental indemnity in subsrantially the form of the indemnity previously given to Wal-Mart by EEF . fl •DOCS'<LJl:.'Tl.l'QrQ.LWD',~l.'.sAL.f.;,i~-~ Wl,O ...a ;?J..00 10 • ' ~ ) I • 0 - • • .. . --. • • - e. Complc;icn of Infrastrucrure . The utilities. streets. sidew~. curb and gutters. mass transit improvements, Piazza aod other infrastructure and site developmcm improvemems on or adjacem to che Property or COllDCCting the property to Hampden Avenue, Galapago Stt~t between Hampden Avenue and Flo :d Stre:t, lnca Street and the RTD staucn will be completed in accord.tnce with !hr plans and tile consuuction schedule agre=d upon prior 10 Closing between EEF and TCR . f . Sice Cle:!rjng EEF shall remove from the Property prior to Clcsing. unless otherwise specifically requested by TCR. any remaining demolition rubble or equipmem. excess fill material or other excess material . At the Closing, the Property shall be in the condiuon desc:ibed in Exhibit D aaached hereto l.lld 11icorpora1ed herein by this reference . If Exhibit D bas not bee:i fmaliz.ed as of the Effe::tiv e Dace . che parties lgree to aiuch an E.thilm D l.5 soon as possible after the Effective Da~. w1ch such E:uub1t to provide for the si~ to be deli vered by EEF in a condition reasonabl y ac~e;,cable to both p;.n.ies . g. Approval s EEF ~ ill use its best eti'orts in good fa ith tc fac:.lit.:i te th e required C1cy approvals of TCR 's sit&: pla.:i. building piar.s. a.nd building pe:-rruts h . D1sc!o~ure . foe :na1e:1:1l s d~!ive:e d ~:, EEF hereu nd c:: are co r:1;:ie:e to EEF's knowledge By de!1ve:-:,· to TCR of all th e m.ite:i;i.Js prov ided tc be deli•:ered b~ ::EF under this Agreement. EEF will ha ve. to the k.,o...,!eage of EEF . discl osed to TCR all :n.1te:ta l information iD EEf' s posscss1cn conc::rmng the Property . i . Mjtjgition ,.1 f Clis•og.s Ii any c f the caissons refe!'!ea to in ~.:on 4d above interfere with TCR 's design for its impr ov e:!le:ns , the:i EEF shall ha ve such interfer:~ oissons cut back: or removed at EEF . s expc:ise m order to :!uninate suc:i interfe:c:ru:e 15 . RET.\Il, DEVELOPER a . The parties l Ckno wle dge :.hac EEF is negotiating l Retail Agreement wilt M-W providing for M· W to be the Re:ai.J Dc velo pe~ of the Redevelopment Site . TCR interids to condomilliumize the Improve:nenrs adjacent to the north oi the: Ptazz.:i . which will prov ide that the Piazza Rerail will be one or more condominiums . TCR is negouating with M-W ior the sale of the re'..ail colldominiums . The Retail Agreement will require: TCR ro complete the shell of the rerail condominiums and sell suc!J condomir.iums ro ~1 -W at TCR's :ic:ual cost . In th.e e vent '1-W fails to close the purcb3.sc: of the condominium uruts in ac~oroance with !he Retail Agreement. at the option of TCR. EEF agrees w purchase the re:.ul .;;ondomin.ium uruts on the same terms and conditions . The sale ag1eemem between TCR and ~1-W sh:111 be subiect to EEF s prior wrmen approval, wltich shall noc be unre.1sonabl y withheld or de!:i ye:t IfTCR and M-W have not enic:rc:d into a Retail Agreement on or before TCR ma y cermina~ this Agreemeru by written notice to EEF. whereupon the Escrow Ag.:nt shall return the Deposit to TCR . this Agre:menc shall terminate , and the parties shall have no furt!ier rights l)f obiigltion.s heret:JJde:. In the event TCR does not give such a.ouce of temunation to EEF by as such .. ~1"Al'OG,.l'WD'.~\MLll·:07.00 .. ...u ... :·Jaajl II ) I • 0 • • -. .. • • - dare may be extended pursuant to Section 6 above, TCR shall be deemed to bave waived this condition. b . As used in this subsection, ·Retail Developer" means M-W. EEF. or a retail developer desii]Wed by EEF . In the evenl EEF fails to consummate an agreement with J Retail Developer for developllXtl( of the retail space in the Redevelopmem Site. or such Reiail Developer fails to close on its purchase of the retail space llong the south side of Englewood Parkway between Galapago and Inca Strceu on or before September 30, 2000. EEF and TCR shall negotiate in good faith an amendment to the TCR Site Plan and Master Site Plan to respond to any aolicipalcd delay or change in the development of the area idjacent to the south side of EngtewOOd Parlcway . Ill addition. if EEF fails to close a sale or le-.1se of the rcwl prope:-ty bounded by Hampden Avenue. Englewood Parlcway . Galapago and Santa Fe with a Re21l Developer on or prior to cighl.cen (18) months following the Closing under this Agreement . EEF shall pay to TCR $150 .000 as a reduction ot rhe Repurchase Price of the Property. 16 . CONDITIONS TO CLOSING TCR's obligation to close the purclwe or the Property shall be subject to satisfaction of all of the following conditions on or before the C!osi:ig Date : a Approval by the City of a S1te Plan reasonably lcteptable 10 TCR . The S11e Plan uwl be deemed approved if 1t lus bee:1 reviewed by all City Depanmcms that participate in the processing of building permits. iDCluding without limitation the F1re Department, Building Departmem. and the City 's !hm1 parry rrviewer . The parties agree that Site Plan appro-val is not the saint as obUin&DI building permits. and !hat TCR has agreed to close pnor to obtairung buildui, permits . b Dcmonsuauon to TCR's reasonable satisfacuon that EEF lw available funds (which may include proceeds trom closing th~ tr3J'.sacuon ;ontemplated by tius Agreement ) to complete all required 1n!r:isuucnue improvements pursuant to an executed construction cor.tract for complcuon of such work . if such infrastructure work IS not fuushed as of the C!o~ing Date If either of the foregoing condiuons to closing is not met on or before the Closing Date. the:i the Closillg Dare shall be extended for a reasonable period oftime . aot to exceed ten (10) days. to allow for satisfaction of the conditions. If the condiuoas to closing are not met on or before the elltendcd Closing Date, then either pany may temiinate this Agreement upon wrinen notice to the other , the Earnest Money $hall be rewrned to TCR, and the parties shall be released from aU further rights or obligations wider this Agreement. 17 . CLOSING. The Closing shall lake place on March 16 . 2000 or such other umc as may be agreed to by the parties hereto in wrmng The Closing shall be held it the offices of EEF at 10:00 A.M. Ac the Closing : lllOOC.S'~[WD\.~.J.AU.:.;:ooW70 -,r.JMGD 12 • I • 0 • • -. .. • .. • -... a. EEF shall execute and deliver to TCR a special warranty deed. conveying title to the Property to TCR subject only the Permitted Exceptions . b . TCR shall pay to EEF the Closing Payment by wire transfer or other immcdialely available good funds acceptable to EEF; and the Escrow Aaze:n shall deliver the Deposit to EEF and it shall be credited against the Purchase Price . - c . General real property ca.,cs mi assessmen1S for the ye:u 2000 shall be apportioned between the parties based upon the most recem levy and assessment. and such adjusunem shall be a final settlc:menc. Io the event the most recent tax figures are only available with respect to a larger parcel chm that which is being acquired c1t Closmg. such figures shall be prorated based upon the number of acres contained in the Property in proportion to the number of acres constituting the larger tract . It is understood by the parties that the Propeny owned by EEF is presently e:\cmpt from property Ta:<. However, ce:tain property ta ., re venues from t.'le Property in excess of an established base amount have been pledged to pay principal and mterest on the Englewood Urban Renewal Authority's (~EURA·) Tax Increment Re venue Refunding and Improvement Bonds ("Englewood Downtown Rede\·e!opment Project "') Ser ies 1985A md Senes 1985B (!he "EURA Bonds~). EEF bas pm·iously agreed th3c. during such ume as this pledge is in effect and the Propcny is owned by EEF , EEF shall make annual pa yments ro the EURA in lieu of property ta'tes in an amount equal to the property ca."C re venue in excess of the established base amount for such area. The apponiorunent of gener:il real propeny t.1:<es and ~scssments referred to in tlus Paragraph 1S(c ) shall be dec:ned to also refer to any such payment in lieu of taxes attributable to the period prior to Closing . EEF warra.rus and represents to TCR that EEF 's agreement co make paymcms in heu of property taxes with respect to the Property shall terminate and be of no further force or effect upon conveyance of the Property fr om EEF co TCR . d . EEF and TCR shall execute the TCR Declarat1on as provided in ParagrJph 12. c . TCR and EEF shall execute an affida vit designating TCR as the Res idential Developer under the tenns of the ECR Agreement . f. TCR and EEF shall execute a Joinder Agreement under the terms of the CAM Agreement g . EEF shall cause the Ticle Company to deliver to TCR an unconditional and irrevocable written conunianent to issue to TCR its ALTA Owner 's title insur;mcc policy (the "Title Policy·) insuring title to the Property in TCR in the amount of the Purchase Price. subject only to the Pennitted Exceptions . h . TCR shall cause ---------to execute a Complcuon Guaranty as provided in Paragraph 10 .d . N 'OOC"S'0..1'NTUe.a,.wO.T~'.IAUl•tf.00 W,O ...... _ 13 • ., , . • I ) I . 0 - • • • .. --. • t• ~". • - i. TCR, EEF and M-W shall execute the TCR Developmirot Agreemenc as provided in Paragraph 7 . j . The parties shall each do or cause to be done such other matters and things as shall be reasonably necessary to close the tr.lnSacuon comemplatcd herein . Each party shall pay one-half of any charges imposed by the Title Company to prepare the closing documcll[S and provide similar closing services ; EEF shall pay the pmnium charged by the Title Company for the Owner 's Policy, and TCR sball pay all recording, documentary. and sunilar fees incurred in coDDeCtion with the Closing . k . Possession of the Property shall be deli vered at~ time of Closing . 18. BROKERAGE COMMISSIONS . TCR and EEF e~h he~y warrant and represent to the other wt il bas not dealt wuh any broker in connection with the transacuon conLemplated herein . EEF be:eby indemnifies and agrees ro bold harmless TCR from Jnd against any and all claims for commissions . fees. or other compensation payable to any re:il estate broker . agent . salesman. finder. or other person as a result of the sale of the Proper,:. and on account of any implied or express conunitment or undertaking made by EEF . TCR hereby Ulde:nru fi es and agrees to hold barmless EEF from and agamst any and all claims for comm1Ss1ons. fe:s. or other compensation payable to any real estate broker . agent . salesman. finder . or other person as a result of the sale of the Property and on account of any implied or e.,prcss co mrruunent or underukiDi made by TCR . 19 . ASSIGNMENT . Except as to any entit:y controlled by TCR or b:,. a TCR Affiliate dial is umer common control with TCR. this Agreement may not be assig:ied by TCR without EEF's prior written consent. wbich may be granted or withheld by EEF in its sole and absolute discretion . 20 INDE'1NIFICATI0ti . As a matcnal part of the consideration for this Agreement and to the maximum extent pcnnined by law. TCR shall indemnify. protect. defend and hold barmless EEF and the City, with counsel reasonably acceptable to EEF and the City. from and against any and all loss. liability, damage, claim . cost and e:.peosc (including reasonable anomeys' fees. court and litigation costs. and fees of expen wnnesses ) resulting or arising from or in any way connected with the following ; provided . however . that TCR shall not be responsible for (and such Uldemnity shall not apply to) any act:,. errors or omissions o f EEF . the C ity or their respective officers. employees, contractors or agents : a . TCR • s development. marketing. sale or use of the Property in any way ; b . Any plans or designs for Improvements prepared by or on behalf of TCR. including without limitation any errors or ouuss1ons with respect to such plans or designs, k>DOCS-CI.JDIT".al'~ ... o-,nNOaU.'.SA.&.1 1·•'~"''"' 1111::,-,,0 14 • I • 0 - • • • .. ,. /' • • • ... c . AIJ.y loss or damage to EEF or the City resulting from any inaccuracy in or breach of aoy representation or warranty of TCR. or resulting from any bre3Ch or default by TCR under any agreement between such party mi EEF or rhe Ciry ; d. Any loss or damage to EEF or the City arising from or as a result of the dc:lih of any person or any accident. inJury. loss or damage whacsoever caused to any person or !be property of any person. which shall octur on or adjacent to the Property. or Ill con.cecuon with the activities of TCR under this Agrccmcnt, a.nd which shall be directly or indirectly caused by !he errors or omissions of TCR or its officers, employees. contr3ctors or agelllS ; 21 . ATIORNEYS' FEES . In the event that a law suit is brought to enforce or interpret all or any ponion of Ibis Agrecmenc. the prevailing parry in such suit shall be entitled to re::over . in addition to any other relief available to such party, reason.able costs and e:q,enscs . mc lud ing . without limiwion . rcasoaable attorneys' fees, mcurred in coMe::tion ~ith such suit 22. DEFAULTS AND REMEDIES a. Time is of the essence of the obligations of the Parues '.'Jc:ther pal"!y sh31! be considered 10 be in default ucdcr this Agreement unless the othe~ pany no11f:es such parcy (the "Defaulting Party"} of such default and the Dcfau lung Parry fails 10 cure such default within five (5) business days following the giving of such nouce . prC'v1ded no '.'Jouce of Default shall be required and no cure period shall be provided for the failure of l party ro perform acts or pa ~ monies required to be paid or performed at the Closing as specified m Pa.ragrlph 16 b . If TCR shall default in performing its oblig:mons hereunder prior to Closing. EEF shall be entitled. as its sole remed y. to terminate th.ts Agreement Jod retain TCR ·s Deposit as liquidated damages . In addition and notwithsWlding the foregomg . EEF shall be entitled to damages for a breach by TCR of the coven.ants cowincd :n Section 13 If TCR shall default in Pff{onning ics obligauons hereunder after Closing , EEF shall be entitled to all remedies that it is emuled to at law or in equity . im:luding specific performance and damages . as may be appropnare c . If EEF shall default in performing us obligations hereunder , TCR ma y elc::t to (i ) cenninatc this Agreement and have its Deposit returne<I to It, or (11 } seek spcc:fic pcrfomwx:e of this Agreement from EEF because ot such default , pr ovided ho wever . 1i TCR elects specific pcrfonnaoce pursuant to Ibis paragraph . it must do so wahin thiny (30) Jays o f the alleged default and 111.1y record a Notice of L.is Pendens onl y it" it has commenced a coul"! JctJon to enforce specific performance within such thirty-day period. or (iii) pursue any other remedies available at law or in equity . 23 . EEF DEVELOPMENT OF LOT I BLOCK. 1. TCR aclcnowlcdgcs and agrees wt EEF has retained the right 10 develop Lot I . Block I. Englewood City Cenrer . Filing No . 1 c· Adjacent Puccn . which puce! is adjacent to the nol1hwcst pomon of the Property . TCR • ' . I • 0 • • -. • •· ..... , . • • ' agrees tlw EEF shall have the right, 111 its sole discretion, but subject to the condition set forth in Section 12 above, to develop. or to sell or lease to a third party for development, the Adjacent Parcel for my use penniaed by the PUD, as may be amended from time to time, including but not limited to smale or multi-faintly residential wuu for sale. or senior housing units. uorwitlJSfaoding tlw such development may compete with TCR's development of its Property . EEF shall have no obligation to offer to TCR the right to purchase or lease the Adjacem Property . Nodlins bereiD shall restrict TCR • s right to parucipatc as an intemred party iD any public hearings regarding the development of the Adjacent Paree!, including commcms to design. site plan and similar maners; provided. however, TCR agrees DOC to object to the use of'tbe Adjacent Parcel as single family or multi-family rental or for sale units or as senior housing . 24 . NO PARTNERSHIP . Nothing contained in this Agreement shall be deemed l)r construed to cn:ate a parmership. joint venrure or any other relationship between the panics hereto, other than Purchaser and Seller. according to the provisions contained herein, or cause EEF or the City to be responsible in any way for the debts or obligations of TCR. or any other party. or deemed or construed to .:reate 1 parmership . Joint venture or any other re!anonship berween TCR lDd M-W , or cause TCR to be rc:spons1ble in any for debts or obligaoons of EEF . the City. M-W or any other party . 2S NOTICES . All ooticc:s provided for herein s.ball be in writmg ;wd shall be deemea given to a party when a copy thereof. addressed to such ;,any as provided herein. is actually delivered, by personal delivery, by commercial courier or by successful facsunile ua.osmission . at the address of such party as provided be!ow . All nonces to EEF shall be addressed to EEF at the following addresses and facsimile numbers or such other addresses m.:i facsunile numbes of which EEF gives TCR notice hereunder · Englewood EnvirolllIM!ntal Foundation, Inc . 3400 South Elati Englewood, CO 80110 Attention : Rick Kahm Facsimile: 303-789-l L2S Telephone : 303-762-2503 with copies to : Berenbaum. Weinshienk & Eason.PC 370 17th Street, Suite 2600 Denver, CO 80202 Anention : H. Michael Miller, Esq . Facsimile : 303-629-7610 Telephone : 303-82S-0800 N~"'T'U.IIG..WOl~~1.1140wpo ... :, ..... 16 • I· 0 ·-------------------------------·---------------------- • • -. • • -.. All notices to TCR shall be addressed to TCR at the following addresses and facsimile numbers or such other addresses and facsimile numbers of which TCR gives EEF notice hereunder : TCR Moumain States Properties, Inc . 1433 Seventeenth Street. Suite 110 Denver. CO 80202 Anention: Scan McFadden Facsimile : 303-293-0021 Telephone : 303-293-2344 with copies to · Brownstein Hyatt & Farber. P .C . 410 li11 Street, Suite 2200 Denver. CO 80'.?0'.! Ane:nion : Lynda ~lc~eive . Esq Facsimile: 303 -223-1111 Telephone: 303 -22:-1100 26 . GOVERNING LAW . The validity and e!fect of this Agreement shall be determined in accorda!Ke with !he laws of the State of Colorado . 27 . CONDEMNATION PRIOR TO CLOSING . In the event that the Property or any portion thereof shall be taken or rhri::atened to be taken in condemnation or under the right of eminent domain after the Effective Date of murual l:!Xt:eution hereof 3.lld before the Closing, TCR may declare this Agreement to be null and void and the Deposit shall be refunded to TCR. and all parties shall be released from any further obligations hereunder. except as expressly provided in this Agreement . If TCR does not cancel this Agreement . TCR shall be entitled to receive the award from the condemning author it:,-. 28 . PARTIAL INVALIDITY . In the event that any condition or covenant herein comaincd is held to be invalid or void by any court of competent jurisdiction, the same shall be deemed severable from the remainder of this Agreemem and shall in no way affect any other covenant or condition herein contained so long as such severance does not materially affect the rights. obligations, benefits or burdens provided tor herein. If such condition. covenant or other provisions shall be deemed invalid due to its scope or breadth. such provision shall be deemed valid to the e.lttent of the scope or breadth pcnnined by law . 29 SURVTV Al. All agreements. representations, cove11.1nts. ar..d warranties on the part of the TCR and EEF contained m this Agreement or any amendment or supplement hereto shall survive the Closing and delivery of deed hereunder for a period of three (3) years after the Closing and shall not be merged thereby . M ~~WO\ftA114Mi&~,JAU1,::~ ,.I"() "':n..oo 17 • ) I . 0 - • • ,, • .. • -' 30 . COMPUTATION OF TIME . Ir any evcm or performance hereunder is scheduled or required to occur on a Saturday. Sunday, or legal state or federal holiday iD Denver. Colorado, such date shall be automatically extended to the De:\t day that is not a Saturday. Sunday or legal swe or federal holiday in Denver. Colorado . 31 . AUTHORITY TO SIGN . Each pany represents mat me persons executing Uus Agreement on behalf of such party have full aUlhority to do so, and to buid such party to perfonn pursuant to the terms and conditions of Ibis Agreement. 32 . COUNTERPARTS · EXECUTION. This Agreement may be executed in counrcrpans and, when coumcrparts of Ibis Agreemem have been executed and delivered by both of the parties bcrcto. this Agrccmcnt shall be fully bindin@ and effecuve, just as if both of I.he parties hereto bad executed and delivered ;i single coumerpan bereof. Without limmng the manner iD which execution of this Agreement may otherwise be effected hereunder. e:\ecution by either party may be effected by facsimile crausmission of a signarure page hereof exetutcd by such party If eitber pany effects execution in such manner , such party sh3ll also promptl y deliver to tbe ocher party the counrerpart physi1:ally signed by such ;,any. but the failure or such party 10 do so sball not iDvalidale the execution hereof effected by facsunile tranSfflJssion . 33 . ENTIRE AGREEMENT . This Agreement contains the entire Wlderstanding and a,reemem between the panics with respect to the subject matter hereof and supersedes all prior cc m mi&mrrics, madersWldings, warranties, and negotiations, all of which are by the execution bm:of rendered DILi! and void. No amendmC'Dl or modification of this Agreement shall be made or deemed to have been made unless iD writing . executed by the party or parties to be bound dlereby . IN WITNESS WHEREOF, the parties have executed this Agreemeru on the dates set forth below intending dw it be valid and effective from and after the d3te first written above . THE ENGLEWOOD ENVIRONMENT AL FOUNDATION. INC .. a Colorado non-profit corporation By . ____________ _ Rick Kahm, President TCR Mountain States Properties, Inc .. a Texas corporation By : Scott McFadden. Vice Pre~ident ., ,. ) I . 0 3 • • .. -,,..-- • ., • • .. EXHIBITS TO AGREEMENTFORPURCHASEANDSALE .. AND REDEVELOPMENT OF RESIDENTIAL REAL PROPERTY EXHIBIT A EXHIBITB EXHIBITC EXHIBITD • Lcpl Description-Redevelopment Site (inc:ludiug Civic Center Site) -Lcpl Description-Residential Property (to be sold to TCR) • Approved Site Pim for Redevelopment Site -Condition of Property (to be delivered at Closing) '- •• TOTAL PAGE .023 •• ' . '·.· .. ,• '· ~ .. . I . 0 3 - • • RESOLUTION NO . -2_ SERIES OF 2000 .. . ' ,• • ,,...-·· • • - .. .. ' ,£0.... ii A RESOLUTION SUPPORTING A MODIFICATION TO THE MASTER DEVELOPMENT AGREEMENT CITYCENTER ENGLEWOOD . WHEREAS, The Englewood Environmental Foundation was formed to relieve the burdens which would otherwise be assumed by the City of Englewood . Colorado, in connection with the environmental remediation, land use planning and preparation for redevelopment of the Cinderella City shopping center; and WHEREAS , the Englewood Environmental Foundation was formed to provide s upport for the redevelopment and enhancement of the City's commercial environment and is a separate and distinct corporation; and WHEREAS , the City Council of the City of Englewood , Co lorado. s upported the Ma st er Plan proposed by the Englewood Environmental Foundation with the pa ssage of Reso lution No. 90, Series 1998; and WHEREAS, Englewood City Co uncil adopted Resolution No . 100 , Series of 1998. supporting the Development Agreement between Miller Weingarten Realty . LL C .. a nd the Englewood Environmental Foundation for the Cinderella City Redevelopment; and WHEREAS, the Englewood City Council adopted Resolution No . 50, Series of 1999 , supporting the "First Amendment to Pre -Development Agreement" between Miller Weingarten and the Englewood Environmental Foundation for the Cinderella City Redevelopment; and WHEREAS, the Englewood City Council adopted Resolution No. 83, Series of 1999 , supporting the "The Master Development Agreement" between Miller Weingarten Realty and the Englewood Environmental Foundation : and WHEREAS, the Englewood City Council deems it appropriate to adopt this proposed Resolution supporting a modification to the Master Development Agre e ment. NOW . THEREFORE. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ENGLEWOOD, COLORADO , THAT : Sectjon l. The City Council of the City of Englewood, Colorado , hereby supports a modification to the Master Development Agreement as set forth in "Exhibit A". ' . ~ .. I • 0 • • -. p ,,-. • •· ...... • • ' COUNCIL COMMUNICATION DA TE: January 31, 2000 AGENDA ITEM SUBJECT: Support of Amendment to Master 5 a ii Development Agreement INITIATED BY: Englewood Environmental STAFF SOURCE: Bob Simpso n, Board Foundation Director, Englewo od En viro nmental Fo undation a PREVIOUS COUNCD., ACTION: On August 10, 1998 , City Council adopted Reso luti on No . 90, Series of 199 8 suppo rting th e Master Plan proposed by the Englewood Enviro nmental Fo undatio n and Miller/Weingarten fo r the Cinderella City site. On November 2, 1998 , City Council ad o pted Reso luti on No. 10 I , Series of 1998 supporting th e sale of property to Wal,.,.Mart by the Englewood Enviro nm e ntal Foundatio n (EEF) for the development of the CityCenter project. On August 2, 1999, City Council adopted Re so luti o n No . 83 , Serie s of 1999 s upp o rting th e "Maste ~ Development Agreement" between Miller Weingarten Real ty , LLC., and th e Englewuod Environmental Foundation. On November 22, 1999, City Council adopted Res o luti on Number JOO , Series of 1999 s upp o rtin g the selection of Trammell Crow Residential for the Englewood CityCenter res id e nt ial redevelo pment. RECOMMENDED .\CTION: Staff reco mmend s that Council adopt a resolution, which s upp orts a modificati o n o f the Master Deve lopment Agreement between the Englewood En vir onm ental Fo undatio n and Mill er Weingarten Realty . BACKGROUND: Under the terms of the Master Development Agreement. Miller Weingarten Realty must provid e by February I , 2000 a list of signed leases . If Miller is no t able to meet this deadline , the Master Develo pment Agreeme nt will need to be modified . LISTOF AITACHMENTS: Proposed Resolution • ~. ' .. I . 0 - • • • " --• ... .. • • ., Section 2. This resolution of support in no way waives or delegates the City's regulatory powers , duties and responsibilities with respect to zoning and governmental issues. ADOPTED AND APPROVED this 31st day of J1muary , 2000 . A'ITEST: Thomas J . Burns, Mayor Loucrishia A. Ellis, City Clerk 1, Loucrishia A. Ellis, City Clerk for the City of Englewood , Colorado, hereby certify the above is a true copy of Resolution No ._, Series of 2000 . Loucrishia A. Ellis ,, . ., • l ) I • xi • • -• VIA FACSIMn.E 303-762-2408 Mr Gill)' Sear ~ Cit y ~anager City of Englewood 3400 S El:lt i St !3nglcwoo<i. CO !IGl 10-:!]0~ .. RE CityCenter Englewood • ,..-. • • - MIUJ-l{ 'Wr:lN:' .ARTEN January 27. 2000 ... We met with you and your staff on January 25. 2000 to discuss a number of item,. including the ret:ail developer deadlines for attaining certain level, of leasing and for closing on our acquis itil,n of the leasehold interest . Al that mee1ing. you recommended thal Mi:lt!! Wein~rten should submit i1l1 e,it1:n:.iun proposal The balance of this letter consists of our proposal and :he rat ionale beh ind the proposal . l'ropysal Miller Wem~en anJ the City wouid take .10 days to determine if Border 's is a viable option and ir it is determ ined 10 l>c a viable option. ~iller WeingaiLcm would have the right 10 close at any time up 10 90 days from that point and that :ighl would terminate at the e:ui of the 90 day pei-iod 1f it was determined at the end of the 30 day period that Border's wa., not a viable option. Miller We ingarten would pursue the ~non-Border's" direct ion and ba~e the right to close for 90 days and that right would tmn1nate ai the end of that period . Tf it was detennined priur tu the end of the 30 day period that the required co-tenancy was not available, the election to go the "non-Border 's .. route could be made or if the City wanted to immediately go the "non-Bordcr ·s·· route . the City wuuld hiive the upliun to so cfire;t. • • X ... I • I T A • I • 0 - • --------·----:---------------------------~ Mr Gary Sears January 27 . 2000 Page2 Radonalc f .". ,. .,-·• • ... • • The City and Miller Weinprte:i bave rhe mutual interests of attracting the top tenam line-up and gcttiDa the project built ad operating. The dilemma is thal the pmerred tenant li11e-up will take loapr to secure and tbac is some ll1l8llinp&I risk that tbat line-up is not achievable . It is possible tbat tbCR could be fiscal pressures or amcr faclon that make it impractical to tab tbl lime necessary to see if the project can set Border's and its co-teaanU. You .-c awvc that -are expecting to bave some i,Rlimimty indication oflewl ofint..si from Bed Bath & Beyond and Old NaYy within the ncxi three w=lcs The rcuon we need 90 days from the point al which a coune of action is selected. i~ to allow us the time necessary to meet our requirements for financin11 . ~ost retail development fUW1Cin1 tramactioas require that leases be in place for a minimum of 75% of the space. We haYe oow arnngc:i, in this transaction, for our leasing requirement to be significantly lower and thi, was made possible bec:au.sc: of bow famiiiar Weingarten Realt:, Investors is with the project and the prospects for ultimate success . The rationale for eliminating the prevision for I mi:iimum amount of leasing ,s that we bclie..-c it will be ditlicuh to gc: fully e~etuted leases by the time we need w close ~d it appears to us that ifwe have the ccnudencc and ability to close without a futed amount of leasing, that lhis is a shiftinl! uf11e risk that sht>uld be to the bencfit of the City As always. we U'e willing and awticus tu ptuvide yoo with any additional 1nfor:n111ion you need and be available to meet at your conven.icnc1:. Sir.ccrcly. MILLER WETNGAR~REALlY. I.LC -P .a,;/,.. I#~ j ~.\.Miller • .. I . 0 - • • • • • • ... Council Member Garrett amended the resolution by adding fol, recommendations: C,~ 6 ; .\- 1. Request reimblnement or the pl,Altlaee of the .._.ial lMAI flf the dcwntl at:181 weuld be an additional $350,000.00-to the City . 2 . lfwe go a non-Borders direction, ttll&;at the commencement of that time, it be fNUQ8d ta _.,-,.freRlninetydays.---~"''\\ ~ =<'w c~t,,-1 .::, s,,<-1 ~'($ 3. . .Miller Weingarten will have the ability to bid or to proposals like en, olher developel. · no guarantee or right to PhaM II . "'·"-t "' =·~ i •+I•" ~,, """"' 4. Thal a relNle I signed by Miller Weingart9'\- relelllir,g l'8 City from all liability in the event that, at the end of the paricld, the relationship is termintated . eA\~1.:,1') . ') I ,;\p Jf' t·1 ~, ~~V/~ ~ A if ~ ~ ~ ~\~' ' . .. ,. . ' I • 0 xi -.,--------------------~-------------.. .. --------------------------- • • • RESOL TIO ~o .5_ SERIES OF 2000 .. ,,-. • • - A RESOLUTION SUPPORTING A MODIFICATION TO THE MASTER DEVELOPMENT AGREEMENT FOR CITYCENTER ENGLEWOOD . WHEREAS, The Englewood Environmental Foundation was formed to relieve the burdens which would otherwise be assumed by the City of Englewood . Colorado , in connection with the environmental remediation. land use planning and preparation for redevelopment of the Cinderella City shopping center ; and WHEREAS. the Englewood Environmental Foundation was formed to prov1de s upport for the redevelopment and enhancement of the City's comm ercial environment and 1s a separate and distinct corporation : and WHEREAS, the City Council of the City of Englewood , Colorado . supported the Master Plan proposed by the Englewood Environmental Foundation with the passage of Resolution No . 90, Series 1998; and WHEREAS , Englewood City Council adopted Resoluti on No . 100, Serie s of 1998 . supporting the Development Agreement between Miller Weingarten Realty , LL C .. and the Englewood Environmental Foundation for the Cinderella City Redevelopment ; and WHEREAS , the Englewood City Council adopted Re solution No. 50. Series of 1999. supporting the "First Amendment to Pre-Development Agreement" between Mill er Weingarten and the Englewood Environmental Foundation for the Cinderella City Redevelopment; and WHEREAS , the Englewood City Council adopted Resolution ~o. 83, Series of 1999. supporting the "The Master Development Agreement'· between Miller Weingarten Realty and the Englewood Environmental Foundation ; and WHEREAS , the Englewood City Council deems it appropriate to adopt tlus proposed Resolution supporting a modification to the Master Development Agreement. NOW , THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ENGLEWOOD , COLORADO , THAT: Sectjon 1. The City Council of the City of Englewood, Colorado , hereby supports a modification to the Master Development Agreement as set forth in "Exhibit A" the Miller Weingarten "Proposal". Sectjon 2. The City Council also recommends that EEF modify the Deal Sheet to reflect an additional $350,000.00 of soft costs that shall not be reimbursed to Miller/Weingarten bringing the total to $700,000 of soft costs that shall not be reimbursed due to this extension. Sectjon 3. The City Council also recommends that the "Proposal" be modified that if a non-Borders direction is selected, at the commencement of that time , the ninety days set forth in the "Proposal" shall be reduced to sixty days. • ) I • 0 - • .. • .. • -.. Section 4. . The City Council also recommends that EEF modify the Deal Sheet to reflect that Miller Weingarten ahall have no guarantee or right to Phase II due to the request for this extension. Miller Weingarten will have the ability to bid or respond to proposals like any other developer Section 5. The City Council also recommends that EEF require a release from Miller Weingarten, for all liability in the event that, at the end of the extension, the relationship is terminated. $ectjon 6. Thia resolution of support in no way waives or delegates the City's regulatory powers, duties and reaponaibilities with respect to zorung and governmental issues. AMENDED, ADOPTED AND APPROVED this 31st day of January, 2000. Published as a Resolution on the 4th day of February, 2000. ATTEST: Thomas J . Burns, Mayor Loucrishia A. Ellis, City Clerk I, Loucrishia A. Ellis, City Clerk for the City of Englewood , Colorado, hereby certify the above is a true copy of Resolution No . ...S:., Series of 2000 . Loucrishia A. Ellis • , . .. I • 0 - 1. 2. 3 . 4. 5. •, ... • • -• • -' AGENDA FOR THE SPECIAL MEETING OF THE ENGLEWOOD CITY COUNCIL MONDAY, JANUARY 31, 2000 7:00 P.M. Call to order. 7 :O~ fYYY' Invocation . .:/; lUU'(I/.) Pledge of Allegiance .t ~ Roll Call. Regular Agenda. ., a Resolutions . . i. Recommendation from the Englewood Environmental Foundation to adopt a 1 _., O ~-,I a resolution supporting the final agreement for sale of property from the "' ; Englewood Environmental Fo~nd · mell Crow for CityCenter ll rJII • Englewood. STAFF SOURC . b Slmp Board Director, Englewood l,jf Environmental Foundation. ·-- -{; ~;;-Recommendation from the Englewood Environmental Foundation to adopt a resolution supporting a modification to the Ma~t Agreement for CityCenter Englewood. STAFF SOURCE . ob Simpson, rd Director, Englewood Environmental Found ~ • ' @A ~ Adjoumment. ::Et,I._A,Al.,O PINN nole: If you haw. dlublllty and naad MIXlllary aids or Mt'VlcH, please notify Iha City of Englewood (303-782-2405) at INat 48 hours In advance of when Mt'VlcH are naedad. Thank you . • , . ' • .. I . 0 32 • • • • ,,.,-·• • • • .. CALL OF SPECIAL MEETING AND NOTICE OF SPECIAL MEETING .. I, Thomas J . Bums, Mayor of the City of Englewood, Colorado, hereby call a Special Meeting of the Englewood City Council at the Englewood City Hall Council Chambers to be held on Monday, January 31, 2000, at 7 :00 p .m . to address the attached agenda . Thomas J. Bums, Mayor ACKNOWLEDGMENT OF RECEIPT OF NOTICE The following persons, all Council Members of the City of Englewood, do hereby acknowledge receipt of notice of the above special session . ... ... I . 0 • • • • - 0 ) • • I· 0 • •