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Disposition and Development of 3 October 1, 2001 <br /> Marina Boulevard Properties <br /> sold to the Batarse Trust and/or Lavery California at $25.30 per square foot. The Agency's <br /> estimated cost of constructing the public improvements for 500 feet of roadway is $750,000. <br /> The owner of the parcel south of the Yokota Nursery will make a small initial contribution to the <br /> public improvements in consideration of the future extension of the road and will be required to <br /> reimburse the Agency for the cost of the right-of-way represented by the fourth new parcel and <br /> to construct road improvements as a condition of future development. <br /> Site clearance. The Yokota Nursery site needs to have an environmental remediation plan <br /> completed and approved, the existing structures demolished, and the residents relocated before it <br /> can be developed. <br /> In terms of remediation, soil testing during the due diligence period found the need for <br /> groundwater wells and monitoring, which will be implemented following approval of the DDAs. <br /> Further remediation is not planned; however, an allowance for tilling the soil (following <br /> demolition) and/or additional soil removal remains in the project budget in case additional action <br /> is required. <br /> The environmental issues around the building materials (asbestos and lead paint) complicate the <br /> demolition of the existing buildings on the site. The sellers will contract for demolition with the <br /> Agency assuming the cost, estimated at $400,000. Assigning the demolition to the sellers will <br /> expedite the process. <br /> The relocation of the five existing tenants will be carried out by the Agency using a relocation <br /> consultant. The estimated relocation allowance is $20,000 per household. <br /> F.H. Dailey,Chevrolet. The agreements with F.H. Dailey allow the developer to establish a new <br /> Chevrolet truck satellite dealership by purchasing 890 Marina Boulevard from the Batarse Trust <br /> for $675,000 and adding it to adjacent property already owned by F.H. Dailey. The costs to the <br /> Agency include F.H. Dailey's acquisition costs above and beyond $675,000 for 890 Marina and <br /> all City fees for the new dealership. The estimate of these miscellaneous fees is $67,500. The <br /> Agency also will help F.H. Dailey find an alternate car storage site as a replacement for the <br /> existing storage at 846-872 Marina. The dealership can be 65% new, 35% used. The new <br /> construction must comply with City site plan review standards. The property must remain an <br /> auto dealership for at least ten years. In consideration of the dismissal of Alameda County <br /> Superior Court Case No. H215592-4, the Agency will contribute a total of $783,878.76 to be <br /> paid in 36 monthly installments to F.H. Dailey beginning the first month after the Agency Board <br /> approves the agreement. There is a Settlement Agreement with an attached Owner Participation <br /> Agreement associated with this piece of the project. <br /> Financing. While the bulk of the Yokota property acquisition costs will be paid by the two auto <br /> dealers, the Agency will be required to cover certain costs related to the write-down of the <br /> Batarse parcel, the demolition and environmental clean-up, relocation assistance, and acquisition <br /> of the right-of-way and improvement costs for the public road between the two properties. <br /> Approximately half of the Agency's right-of-way costs will be reimbursed when the Hudson <br /> Lumber property to the south is developed. The total cost to be borne by the Agency is <br />