12-12-2022 EDA Packet - Laserfiche WebLink

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Option 2: Amend the purchase agreement to allow the multi-family building to proceed without prior or concurrent construction of retail/restaurant building. This would include a deed restriction on the commercial portion of the property to limit consideration of a use change for a period of 7 years. Timeline of entitlements process and closing date would likely require extension. Option 3: Amend purchase agreement to allow for extensions to due diligence period with additional, partially non-refundable, earnest money deposits. All other restrictions of the existing purchase agreement would remain in place including construction of retail/restaurant building prior to or concurrent with construction of the multi-family building. Timeline of entitlements process and closing date would need to be adjusted based on extensions. EDAC Consideration The EDAC discussed the proposed changes at their December 1, 2022 meeting and recommended moving forward with the multi-family building construction (Option 2) with the expectation that it would help drive potential commercial development. Following discussion, Staff was directed to prepare an amendment based on Option 3. The proposed amendment, drafted by Kennedy and Graven, includes the following terms: • Buyer may extend Due Diligence Period up to 8 times for 3 month periods, provided an additional $5,000 deposit is made with each extension. • Only half of the earnest money is refundable. • EDA (Seller) has right to refuse any extension. • Buyer has right of first refusal if another party becomes interested prior to Buyer making final determination to purchase. • Site Plan/Entitlements must be completed within 6 months after the Due Diligence Period Ends. • Closing is 8 months from end of Due Diligence Period, or 60 days from final approval, whichever is earliest. • Minimum Improvements amended to read market rate housing project (not aged restricted) with 100 to 160 units. Multi-tenant retail and restaurant requirements remain unchanged. RECOMMENDATION Staff recommends approval of Resolution No. 22-03. ATTACHMENTS 1. Resolution No. 22-03 2. 2nd Amendment to Purchase Agreement 3. Concept Plan