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HomeMy WebLinkAbout2001-57RESOLUTION NO. 2001-57 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UKIAH APPROVING AN APPLICATION AND CONTRACT EXECUTION FOR FUNDING FROM THE DOWNTOWN REBOUND PROGRAM PREDEVELOPMENT GRANT AND IDENTIFICATION OF THE PALACE HOTEL, AND ITS OWNER AS THE "TARGET BUILDING" AND "TARGET BUILDING OWNER," PARTNERING WITH THE CITY OF UKIAH TO PROCEED WITH AN ADAPTIVE REUSE STRATEGY WHEREAS, the City Of Ukiah is committed to increasing housing opportunities for its residents; and WHEREAS, adaptive reuse of downtown buildings is one mechanism for providing additional housing; and WHEREAS, the State of California has funds available for seismic and structural assessments of downtown buildings being converted for adaptive reuse in a program entitled Downtown Rebound Program Predevelopment Grant (DRPPG); and WHEREAS, at least one downtown Ukiah building has been identified for potential adaptive reuse; and WHEREAS, the owner has expressed interest in adaptive reuse; and WHEREAS, the City Of Ukiah wishes to apply for such funds; and THEREFORE, BE IT RESOLVED: by the City Council of the City of Ukiah as follows: SECTION 1: The City Of Ukiah has reviewed and hereby approves application for the State Downtown Rebound Program Predevelopment Grant (DRPP) for $30,0000. The funds will be for: 1. Seismic Assessment $15,000 2. Structural Assessment $15,000 SECTION 2: If awarded the grant, the City Of Ukiah hereby agrees to proceed with an adaptive reuse strategy wherein the Palace Hotel, and its owner will be the "Target Building" and "Target Building Owner" accordingly. SECTION 3: The City Council hereby ratifies the attached agreement between the City Of Ukiah and owner of the building located at 295 North State Street to proceed with an adaptive reuse strategy for the building located at 295 North State Street. In this agreement the building owner indicates she has current and continuing site control of the property located at 295 North State Street for the time at least until the date of June 1, 2002. SECTION 4: The City Manager or her designee is hereby authorized and directed to act on the City's behalf in all matters pertaining to this application including submittal of the application, execution of the grant amendment documents. Additionally, the City Manager or her designee shall be the party responsible for implementing the grant, any procurement processes, grant administration and execution of all documents, including grant amendments. PASSED AND ADOPTED this 16 day of May 2001 by the following roll call vote: AYES: NOES: Councilmember Libby. ABSENT: None. ABSTAIN: None. Councilmembers Larson, Smith, Baldwin, and Mayor Ashiku. 15hillip Arshiku', Mayor AT. TEST: Marie Ulvila, City Clerk AGREEMENT BETWEEN CITY OF UKIAH AND ELADIA LAINES-GANULIN, PRESIDENT OF QUESTEX LTD. AS "OWNER OF THE PALACE HOTEL" This Agreement, between the City of Ukiah ("City") and Eladia Laines-Ganulin, President of QUESTEX LTD, Owner of the Palace Hotel, commits to the adaptive reuse of the Palace Hotel, converting at least 40% of the commercial structure to residential dwelling units, live-work units, or both. Owner certifies that she is the sole owner of the Palace Hotel, located at 295 North State Street in Ukiah, California, with full site control, current and ongoing. Owner certifies that the five-floor Palace Hotel is vacant above the first floor of the building. Constituting approximately 80% vacant space. Owner hereby commits to the adaptive reuse of the Palace Hotel, converting at least 40% of the commercial structure to residential dwelling units, live-work units, or both. Owner commits to proceeding with the adaptive reuse as rapidly as funds are available. During the time of the seismic assessment funded by the Downtown Rebound Program Predevelopment Grant, the Owner will work with the City to identify an appropriate financing strategy for the adaptive reuse. Owner commits to participating with the City in the preparation, submission, and implementation of a Downtown Rebound Program Predevelopment Grant. o Owner commits to full access to the Palace Hotel by City and City consultants to conduct the seismic assessment which is to be funded by the Downtown Rebound Program Predevelopment Grant. Owner commits to working closely and cooperatively to develop a satisfactory financing strategy, and to obtain the necessary approvals for the adaptive reuse of the Palace Hotel. The City will prepare and submit an application for a Downtown Rebound Program Predevelopment Grant, requesting funds for a Seismic Assessment of the Palace Hotel. The grant application will be submitted by June 1, 2001, for the maximum amount available, $15,000. In the event the grant is funded, the City will serve as the lead agency to implement the grant. The City will be responsible for procurement, fiscal compliance, oversight of the consultant performing the work, final product, and grant administration. 10. The City will work closely with the Owner to develop a financing strategy that will result in the timely adaptive reuse of the Palace Hotel, converting at least 40% of the structure to residential dwelling units, live-work units, or both. 11. The City will work closely with the Owner to proceed with the necessary planning and permit approvals once the Owner begins the process of converting the Palace Hotel for adaptive reuse. 12. The City is committed to the adaptive reuse of the Place Hotel in order to retain a major landmark and facility in the Downtown. 13. The City is committed to uses in the Downtown which include dwelling units and live work units. This Agreemem is entered in to on the __16th day of May, 2001. "Owner of Palace Hotel" Candace Horsley City Manager City Of Ukiah Eladia Laines-Ganulin, President QUESTEX LTD.