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16-0606_SOUTH COAST INVESTORS II, LLC_D12_Agenda Report6t6t2016 D12 City of San Juan Capistrano Agenda Report TO: Honorable Mayor and Members of the City Council FROM: ñ"Siegel, City Manager SUBMITTED BY: Maria Morris, City Clerk Tü\d\ DATE: June 6,2016 SUBJECT Adoptíon of an Ordinance Approving the First Amendment to Extend the Term of Development Agreement (DA) 16-002, lnn at the Mission San Juan Capistrano, Between the City of San Juan Capistrano and South Coast lnvestors ll, LLC for a 3.18-Acre Site Located at 26891 Ortega Highway (Assessor's Parcel Numbers 124-170-12, 14, 15 & 16) RECOMMENDATION By motion, approve the second reading and adoption of an ordinance entitled "AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN JUAN CAPISTRANO, CALIFORNIA, APPROVING AND ADOPTING AN AMENDMENT TO THE DEVELOPMENT AGREEMENT FOR THE INN AT THE MISSION SAN JUAN CAPISTRANO PROJECT, FORMERLY KNOWN AS THE PLAZA BANDERAS HOTEL AND MIXED USE PROJECT, BETWEEN THE CITY OF SAN JUAN CAPISTRANO AND SOUTH COAST INVESTORS II, LLC EXTENDING THE TERM OF THE DEVELOPMENT AGREEMENT FROM AUGUST 3, 2016, TO AUGUST 3, 2017, FOR A 3.18-ACRE S|TE LOCATED AT 26891 ORTEGA H¡GHWAY (ASSESSOR PARCEL NUMBERS 124-170-12, 14, 15, &16) (APPLICANT: DAN FRIESS, MISSION coMMERCtAL PROPERTTES, ¡NC.) (THE "PLAZA BANDERAS HOTEL pROJECT',).', EXECUTIVE SUMMARY: On May 17, 2016, the City Council approved the first reading and introduction of an Ordinance (Attachment 1) approving the First Amendment to extend the term of Development Agreement 16-002,lnn at the Mission San Juan Capistrano, between the City of San Juan Capistrano and South Coast lnvestors ¡1, LLC for a 3.18-acre site located at 26891 Ortega Highway. The Ordinance will go into effect 30 days after its passage. DISCUSSION/ANALYSIS: Not applicable City Council Agenda Report June 6,2016 Paoe 2 of 2 FISCAL IMPACT: Not applicable. ENVIRONMENTAL IMPACT: Not applicable. PRIOR CITY COUNCIL REVIEW At its May 17 , 2016, meeting, the City Council approved the first reading and introduction of the Ordinance approving the First Amendment to extend the term of Development Agreement. COM M I SS I ON/COM M ITTEE/BOARD REVIEW AND RECOMMENDATIONS: At its April 26, 2016, meeting, the Planning Commission adopted a Resolution recommending the City Council approve the First Amendment to the Development Agreement. NOTIFICATION The City Clerk's office will provide all necessary publications and posting of the Ordinance as required by law. ATTACHMENT(S): Attachment 1 - Ordinance o a ORDINANCE NO. 1033 AN ORDINANCE OF THE CITY OF SAN JUAN CAPISTRANO APPROVING AND ADOPTING AN AMENDMENT TO THE DEVELOPMENT AGREEMENT FOR THE INN AT THE MISSION SAN JUAN CAPISTRANO PROJECT, FORMERLY KNOWN AS THE PLAZA BANDERAS HOTEL AND MIXED USE PROJECT, BETWEEN THE CITY OF SAN JUAN CAPISTRANO AND SOUTH COAST INVESTORS II, LLC EXTENDING THE TERM OF THE DEVELOPMENT AGREEMENT FROM AUGUST 3, 2016, TO AUGUST 3, 2017, FOR A 3.18-ACREstrE LoCATED AT 26891 ORTEGA HIGHWAY (ASSESSOR PARCEL NUMBERS 124-170-12, 14, 15, &16) (APPLICANT: DAN FRIESS, MISSION COMMERCIAL PROPERTIES, INC.) (THE "PLA7A BANDERAS HOTEL PROJECT") WHEREAS, South Coast lnvestors ll, LLC ("South Coast") has requested approval of an amendment to the Development Agreement between the City and South Coast for the lnn at the Mission San Juan Capistrano Project, a hotel and mixed use project formerly known as the "Plaza Banderas Hotel and Mixed Use Project", which Agreement was originally executed in 2011, by and between the City and Stroscher G3, LLC; and, WHEREAS, in 2015, Stroscher G3, LLC, assigned its interest in and to the property subject to the Development Agreement to South Coast, and the City duly approved said assignment; and, WHEREAS, if approved, the proposed amendment to the Development Agreement ("proposed DA Amendment") would extend the term of the Development Agreement by one (1) year to August 3,2017, and all other aspects of the Development Agreement would remain the same; and, WHEREAS, the potential environmental impacts of the proposed DA Amendment have been previously addressed in full compliance with the provisions of the California Environmental Quality Act (CEOA) and its Guidelines, and no further environmental analysis is required prior to the approval of the proposed DA Amendment because: a) The environmental impacts of the lnn at the Mission San Juan Capistrano Project, formerly known as the Plaza Banderas Hotel Project, have been fully analyzed by the Plaza Banderas Hotel Final Environmental lmpact Report ("ElR") certified by the City Council on October 5,2010; and, b) The proposed DA Amendment does not propose any change in the previously approved project or any change which could potentially result in either a direct or indirect physical change in the environment, the proposed DA Amendment will not result in new, potentially significant environmental effects; and, o 1033 ATTACHMENT 1 c) None of the conditions described in CEQA Guidelines Sections 15162,'15163, or 15164 which would call for the preparation of a Subsequent or Supplemental ElR, or an EIR Addendum, would occur as a result of the proposed DA Amendment; and, WHEREAS, the City Council conducted a duly-noticed public hearing on May, 17,2016, pursuant to Government Code Section 65867 and Title 9, Land Use Code, Section 9-2.302 to consider the proposed DA Amendment, and the City Council has considered all relevant public testimony; and, WHEREAS, the record of proceedings on which the City Council's decision is based is located at City Hall for the City of San Juan Capistrano, located at 32400 Paseo Adelanto, San Juan Capistrano, California and the custodian of record of proceedings is the City Clerk. NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF SAN JUAN CAPISTRANO, CALIFORNIA, DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1. Recitals. The above recitations are true and correct and are adopted as the findings of the City Council, SECTION 2 Findinqs. The City Council of the City of San Juan Capistrano makes the following additional findings: 1. The proposed time extension for the Development Agreement provides for the continued development of the "lnn at the Mission San Juan Capistrano Project" consistent with the City's General Plan and as approved by the City Council; and, 2. The proposed DA Amendment makes no other changes to the Development Agreement and is consistent with the General Plan Public Services Element because the project includes provisions for addressing project-related capital facility impacts to the City's infrastructure; and, 3. Extending the Development Agreement is in the public interest because the applicant is diligently pursuing the project, including completion of the demolition work and installation of a sound wall, and not extending the agreement would jeopardize completion of the project to the detriment of the City; and, 2 o 1032 4. The proposed amendment to the Development Agreement is authorized and consistent with the provisions of Government Code Sections 65864 through 65869,5 and related City ordinances and policies. SECTION 3 CEQA. The City Council does hereby find that the DA Amendment is not subject to CEQA because it is not a "project" as defined in Title 14, California Code of Regulations, Section 15378. SECTION 4 Amendment Pursuant to Government Code Section 65868, the City Council does hereby approve and adopt the "Amendment to the Development Agreement for the lnn at the Mission San Juan Capistrano Project, formerly known as the Plaza Banderas Hotel and Mixed Use Project" by and between the City of San Juan Capistrano and South Coast lnvestors ll, LLC", which is attached as Exhibit A, and incorporated herein by reference. The Mayor is hereby authorized to execute said agreement on behalf of the City of San Juan Capistrano. SECTION 4.Severability lf any section, subsection, subdivision, paragraph, sentence, clause or phrase, or portion of this Ordinance is, for any reason, held to be unconstitutional or invalid or ineffective by any court of competent jurisdiction, such decision shall not affect the validity or effectiveness of the remaining portions of this Ordinance or any part thereof. The City Council herby declares that it would have adopted this Ordinance and each section, subsection, subdivision, paragraph sentence, clause or phrase of this Ordinance irrespective of the fact that one or more sections, subsections, subdivisions, paragraphs, sentences, clauses or phrases be declared unconstitutional or invalid or ineffective. To this end the provisions of this Ordinance are declared to be severable. SECTION 5.Effective Date This Ordinance shall take effect and be in force thirty (30) days after its passage SECTION 6 Citv Clerk's Certification The City Clerk shall certify to the adoption of this Ordinance and cause the same to be posted at the duly designated posting places within the City and published once within fifteen (15) days after passage and adoption as required by law; or, in the alternative, the City Clerk may cause to be published a summary of this Ordinance and a certified copy of the text of this Ordinance shall be posted in the Office of the City Clerk five (5) days prior to the date of adoption of this Ordinance; and, within fifteen (15) days after adoption, the City Clerk shall cause to be published the aforementioned 3 o 1032 summary and shall post a certified copy of this Ordinance, together with the vote for and against the same, in the Office of the City Clerk. PASSED, APPROVED AND ADOPTED on this 6th day of June 2016. PAM PATTERSON, MAYOR ATTEST: MARIA MORRIS, CITY CLERK 4 o 1032 RECORDING REQUESTED BY: City of San Juan Capistrano 32400 Paseo Adelanto San Juan Capistrano, CA 92675 WHEN RECORDED, MAIL TO: Maria Morris, City Clerk City of San Juan Capistrano 32400 Paseo Adelanto San Juan Capistrano, CA 92675 Exempt from Recording Fees: Government Code SS27383, 6103 City of San Juan Capistrano This Space for Recorder's Use Only Amendment to Development Agreement for the lnn at the Mission San Juan Capistrano Project, formerly known as the Plaza Banderas Hotel and Mixed Use Project, Between the Gity of San Juan Capistrano and South Goast Investors ll, LLC EXHIBIT A AMENDMENT TO DEVELOPMENT AGREEMENT FOR THE INN AT THE MISSION SAN JUAN CAPISTRANO PROJECT, FORMERLY KNOWN AS THE PLAZA BANDERAS HOTEL AND MIXED USE PROJECT, BETWEEN THE CITY OF SAN JUAN CAPISTRANO AND SOUTH COAST INVESTORS, I¡, LLC This First Amendment to the Development Agreement for the lnn at the Mission San Juan Capistrano Project, formerly known as the Plaza Banderas Hotel and Mixed Use Project (the "Amendment"), is entered into between the City of San Juan Capistrano, a municipal corporation ("City"), and South Coast Investors ll, LLC ("Owner"). City and Owner are referred to collectively within this Amendment as the "Parties." RECITALS A. Owner owns the real property within the City (the "Property") which is described and shown on Exhibit "4" to this Amendment. The Property represents the 3.18-acre development project located at 26891 Ortega Highway (Assessor Parcel Numbers 124-170-12, 14, 15, & 16) known as the "lnn at the Mission San Juan Capistrano Project," and formerly known as the "Plaza Banderas Hotel and Mixed Use Project "(the "Project"). B. ln 2011, City and Owner's predecessor-in-interest, Stroscher G3, LLC, entered into a Development Agreement for the Project. C. ln 2015, Stroscher G3, LLC, duly assigned its interest in and to the Property to South Coast lnvestors ll, LLC. D. The Parties have now agreed to an extension of the Term of the Development Agreement, pursuant to Section 2.3 thereof. E. This extension was approved by the City Council by ordinance on 2016 AGREEMENT The Parties agree as follows: 1. Pursuant to Section 2.3 of the Development Agreement, the term of the Development is extended for one year, to and including August 3,2017. Except as so modified, all provisions of the Development Agreement shall remain in full force and effect. This Amendment has been signed as of ordinance approving this Amendment. 2016, the effective date of the lSignatures on following pagel 2 SIGNATURE PAGE TO AMENDMENT TO DEVELOPMENT AGREEMENT FOR THE INN AT THE MISSION SAN JUAN CAPISTRANO PROJECT, FORMERLY KNOWN AS THE PLAZA BANDERAS HOTEL AND MIXED USE PROJECT, BETWEEN THE CITY OF SAN JUAN CAPISTRANO AND SOUTH COAST INVESTORS II, LLC "City"ttOwngrt' City of San Juan Capistrano, a municipal corporation South Coast lnvestors ll, LLC B By Mayor Name Title Attest: Maria Morris, City Clerk Approve as to Form City Attorney J A notary public or other officer completing this certificate verifies only the identity of the individual who sigrred the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. STATE OF CALIFORNIA COUNTY OF On 20--, before ffiê, , Notary Public, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name is subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity, and that by his/her/their signature on the instrument the person, or the entity upon behalf of which the person acted, executed the instrument. I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature (seal) ) ) ) 4 EXHIBIT A Legal Description of the Proper 5 EXHIBIT'AO LOT LINE ADJUSTMENT LL20l5 - LLA l5-OC)4 CTJRRENTRECORD OTVNER EXISIINCPARCELS A.P. NUMBERS PROPOSED PARCELS REFERENCE NUMBERS POR. LOT 12 0F TRACT NO. 103 A.P. t24-170-t2 PARCELl POR. LOT 12 0FTRACT NO. 103 A.P. 124-170-12 PARCEL 1 INVESTORSII,WC SOUTH COAST INVESTORS II, LLC SOUTTT COAST INVESTORS II. LLC SOUTII POR. LOT 12 0F TRACT NO. r03 A'p. t24-r70-t2 PARCEL 1 Parcel l:Page 1 of2 ln the City of San Juan Capistrano, County of Orange, State of California, being a portion of Lot 12 of T¡act No.103 filed in Book I 1, Pages 29 through 33, inclusive, of Miscellaneous Maps, in the Office of the County Recorder of said County described as follows: Beginning at the southwest corner of said Lot 12, thence along the southerly line of said Lot, South 81"19'47" East 67.38 feet to the northerly line of that certain 80.00 feet strip of land conveyed to the State of California by Deed recorded June 28, 1940 in Book 1049, Page 349 of Official Records in said County, said line being parallel with and distant northerly 40.00 feet from the centerline of Ortega Highway as shown on Record of Survey 2009-1078 filed in Book 246, Pages 32 through 43, inclusive of Records of Surveys in the Office on the County Surveyor of said"County; thence along said northerly and parallel line the following two courses: 1) South 84"43'58" East 4.32 feet, to the being to the beginning of a curve concave northerly having a radius of 960.00 feet, 2) easterly along said curve 69.31 feet through a central angle of 4"08'12" to the northwesterly line of the land described as Parcel 1 in the Deed to the State of California recorded November 21, 1957 in Book 4110, Page 520 of Official Records; thence along said northwesterly line the following three (3) courses: I ) North 73"02'22" East 1 19.14 feet to the beginning of a non-tangent curve concave northerly having a radius oÍ 729.69 feet, a radial bearing to said point bears South 08o55'33" East, 2) easterly along said curve 144,00 feet h a central ol 11"18'25", 3) and North 69'46'02" East 282.05 feet to the southwesterly line of the land described as Parcel 2 of said Deed recorded in Book 4110 Page 520 of Official Records; thence along said southwesterly line North 58"27'15" West 174.45 feet to the northerly line of said Lot 12; thence along said northerly line; North 84'27'A2" West 435.39 feet to a point that is dístant South 84'27'02" East 120.00 fðètriñffiûliéffibfrnwest corner of said Lot; thence perpendicular South 05"32'58" West 60.00 feet; .. . .., o EXHIBIT'A' LOT LINE ADJUSTMENT Lt 20t5 - LLA t5-OOç CURnEf!ff nECûrui ÊXTSTING FANCEI,S Àp. NUMtËns PNOFCISED PåNCELS ngrEnaNc-E t{uMBEn¡ OUTTI COAST INIÆSTORS TI. LLC FOR. t OT uÕFTRACTHO. r03 Àp. rz4.r?&l?PARCSL ¡ ouTI{ çûA5Ttt{VrSï3RS It. LLC POR.lÊT t2 OFTR"ACTNO. 103 A-P. l2¡t l7{1"t2 PARCËL I OUTH COAST INVESTORS II. LIf POß, LOT tl OFTRACTñ¡O. t03 å-P. l2¡l-l?0.12 FARCSL T Paç2of3 trcnce pêrp€rdicular tlorth 84o27'02'Waet 105.2? feat to ths ¡rpgt llna of seid Lot; thance ålong asid wsat trro $outh ô"17'ã6'Êaat ?40.41 fest to tha Point of Brglnnlng" The bearing* and distanæs hercin ere p.r Rccsrd of Survcy 20t9-10'78 filcd in Book 246, Pagcs 32 through 43, inclucive of Records of Survey* in thc Offiæ on thc County Suweyor of said County, the dist¡nccs urcrc ænvcrtcd frcm gríd to ground for the purpoúc of this dcrsipion. Cørteining ân rreå of 3.098 icrÊ$, morç or less Note: låsrr m*y bt €ssëmtntÍ af rccod delinøaud and rclerenced on tha uadcrþíng maps o¡ tlætt may k other r¿co¡ded eû:Í¿nÊnt within t*e arcø being újusted tlwt nrc nt¡t thøwn on this daeum¿nt that could encumher said parcels he'tlin, As ghovn on Exhíbit "8" ¡ttached hereto rnd þ ¡his rcfcrcnæ made ¿ part thcrcof, Thir dc*eription was prepared by me or under my direction. Robcrt L li/hceler lV, |'-5.8ú39 My Ucen*tySv¿$tJ Date; Nwember lt. ?{¡15 lVO.4096.tT H¿A LL.A * 1384 By C. Tripi Checked By. R. lVhcclcr No.86il9 Exhibit "B" Lot Line Adjustment LLA 2015- l-Ltl5-æ+ (Map) Gurrent Record Owner(S)Existing Parcel A P Number Proposed Parcels Reference Number SOUTH COAST ]NVESTORS II, LLC 124-174-12 124-17A-14SOUTH COASÏ INVESTORS II, LLC SOUTH COAST ]NVESÏORS 1I, LLC 124-170-15,16 Parcel I STATE ROUTE 5 FREEWAY SHEET 1 OF 1 SGALE:1'=10O 11/10/2t1 LEGEND REVISED LOT LINE LOT LINE TO BE REVISED LOT LINE TO REMAIN NOTE VACANT NO STRUCTURES ON SITE rci , @ 2A I I \ éi)dO )*o 1 orj¡ 'úo v.a \ t-oJ L¡Jz J .J2 ar) FJr)¡\ a 7l'z Iú 40' toO r?) l5ôIro(\¡ å I THIS MAP HAS BEEN PREPARED BY ME OR UNDER MY TION I I ıo¡'. oi6 T L. WHEELER IV, LS 8639 ATT =@rr)r)\¡ !-6zI t I H&A LLA NO. 1384 DWG BY: R. JESUS CHECKED BT R. WIìTELER l:\Mission lnn SJC\LLA\1384\EXH.B-SHT01.dwg SW COR LINE ÏABLE LINE BEARING LENGTH L1 N81"19'47"W 873A' L2 N84'43'58"W 4.3?' LJ N73002'22"8 119.14' CURVE TABLE CURVE DELTA RADIUS LENG'IH c1 4009'12"960.00'6S.3r No.8639 I REAL LOT 12