Agmt 2006 Stan Boersma et al - Laserfiche WebLink

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AMENDMENT NO.1 TO REDEVELOPMENT AGENCY OF THE CITY OF SAN LEANDRO OWNER PARTICIPATION AGREEMENT FOR 524-526 LEWELLING BOULEVARD THIS AMENDMENT ("Amendment") to that certain Owner Participation Agreement, dated as of July 17, 2000 and executed by and between the Redevelopment Agency of the City of San Leandro, Stan Boersma and Amin-Concord LLC (the "Agreement") is made as of Novem\Jer 20 ,2006, by and between the Redevelopment Agency of the City of San Leandro ("Agency"), Stan Boersma ("Storage Participant"), and Amin-Concord LLC ("Hotel Participant" and together with Storage Participant, the "Participants"). Agency, Storage Participant and Hotel Participant are referred to collectively herein as the "Parties." This Amendment is made in contemplation of the following facts, understandings and intentions of the Parties: A. On July 17, 2000, the Participants entered into the Agreement pursuant to which the Parties undertook certain obligations related to the development of 524-526 Lewelling Boulevard, San Leandro, California (the "Site") into a hotel of approximately 121 rooms and a separate 137,000 square foot new self-storage facility on the Site. B. Pursuant to Section 2 of Exhibit B of the Agreement, the Agency agreed to provide the Participants with certain development incentives, in an amount not to exceed $210,000. C. Pursuant to Section 1.1 of Exhibit "B" of the Agreement, all occupants of the hotel are to be considered "Transients," as defined in the Uniform Transient Occupancy Tax provisions in the San Leandro Municipal Code (the "Code") Section 2-10-1 05(D, and therefore, the Participants would be required to collect a Uniform Transient Occupancy Tax pursuant to the Code. D. Pursuant to a letter agreement dated as of October 15, 2003 (the "Letter Agreement"), the Agency granted the Participants an exception (the "TOT Exception") to Section 1.1 of Exhibit B of the Agreement for a period of twelve (12) months ending June 30, 2004, subject to certain exceptions. Pursuant to the TOT Exception, the Participants were not required to collect the Uniform Transient Occupancy Tax for up to twenty (20) rooms (the "Excepted Rooms"), provided that the Excepted Rooms were for the corporate use of an airline with operations at the Oakland International Airport for out-of-town airline flight crew layovers and airline employee training purposes. The TOT Exception further provided that in the event the Agency agreed to extend the TOT Exception beyond June 30, 2004, the Agency's provision of development incentives under Section 2 of Exhibit B of the Agreement would be reduced by an amount equivalent to the amount of Uniform Transient Occupancy Tax the Participants were not required to pay pursuant to the TOT Exception. E. The Participants have continued to utilize the TOT Exception since July 1, 2004, and currently owe the City approximately $165,000 in Transient Occupancy Tax revenue through March 2006, and the Agency desires to amend Section 2 of Exhibit B of the Agreement to reflect a reduction in the amount of the Agency's development incentive as agreed upon pursuant to the Letter Agreement.