Title
Staff Report for a Resolution Authorizing the City Manager, by Order of the City Council Pursuant to San Leandro Municipal Code section 1-6-105, to Purchase 777 Alvarado Street (APN 075 0155 009 00) and to Appropriate $300,000 from General Fund Reserves for the Purchase
Staffreport
SUMMARY AND RECOMMENDATIONS
Staff recommends that the City Council adopt the Resolution that, by its own order, authorizes the City Manager to purchase the property located at 777 Alvarado Street from the Oliver Partnership and to appropriate $300,000 from General Fund Reserves for said purchase.
BACKGROUND
In July 2000, the City of San Leandro's Redevelopment Agency (Agency) entered into a Disposition and Development Agreement with Creekside Association for the Agency owned properties at San Leandro Boulevard and Davis Street, now home of Creekside Office Plaza. The original project envisioned an environmental education center on one of the parcels to be operated by Friends of San Leandro Creek. During the negotiation process, the office park development expanded to include all available parcels. The Developer was required as part of the Disposition and Development Agreement to construct and maintain a creekwalk as part of the project. An alternative site, 777 Alvarado Street was identified for the environmental education center.
On May 1, 2001, Friends of San Leandro Creek entered into a Lease Agreement with the Oliver Partnership for 777 Alvarado Street. The lease included in the recitals section a guarantee from the City of San Leandro and the Redevelopment Agency for performance of the tenant. The terms of the agreement follow:
* 20-year lease (May 1, 2003 - April 30, 2023)
* $2,000/month lease payment, adjusted annually by the CPI, plus property taxes
* Option to purchase on May 1, 2013 at fair market value
* The lease does not provide terms for early termination
On March 5, 2001, the Redevelopment Agency adopted a resolution whereby the Cit...
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