HomeMy WebLinkAboutSA Reso 02-2022 (22-211)City of South San Francisco P.O. Box 711 (City Hall,
• 400 Grand Avenue)
South San Francisco, CA
• Successor Agency
Resolution: RES 02-2022
File Number: 22-211 Enactment Number: RES 02-2022
RESOLUTION OF THE SUCCESSOR AGENCY TO
THE FORMER REDEVELOPMENT AGENCY OF THE
CITY OF SOUTH SAN FRANCISCO AUTHORIZING
THE EXECUTIVE DIRECTOR TO AMEND THE
LAND LEASE AGREEMENT WITH MAGNOLIA SSF
LP FOR THE LAND AT 630 BADEN AVENUE.
WHEREAS, the Successor Agency to the Former Redevelopment Agency of the City of South
San Francisco ("Successor Agency") is the fee owner of the land located at 630 Baden Avenue in South
San Francisco; and
WHEREAS, the Former Redevelopment Agency of the City of South San Francisco and
South San Francisco Magnolia Plaza Associates, a California limited partnership, were parties to that
certain Land Lease dated as of May 1, 1987 ("Original Lease"). Pursuant to the Original Lease, the
Magnolia Plaza project was constructed at 630 Baden Avenue, including affordable residential units; and
WHEREAS, pursuant to an Assignment and Assumption of Land Lease dated as of December
10, 2021, and together with the Original Lease, (collectively the "Lease"), and recorded December 16,
2021, the Successor Agency and South San Francisco Magnolia Plaza Associates assigned all of its right,
title, and interest, as tenant under the Original Lease, to Magnolia SSF LP; and
WHEREAS, Magnolia SSF LP agreed to assume the Original Lease for the balance of the
term and to perform all of the covenants, duties, and obligations of San Francisco Magnolia Plaza
Associates, as tenant under the Original Lease; and
WHEREAS, the Successor Agency has acknowledged Magnolia SSF LP as the tenant under
the Lease; and
WHEREAS, the Successor Agency and Magnolia SSF LP now desire to amend the terms of
the Lease to provide for certain modifications requested by Magnolia SSF LP's lender, Freddie Mac,
("Lender") in connection with financing of the leasehold estate.
NOW, THEREFORE, the Successor Agency to the Redevelopment Agency of the City of
South San Francisco does hereby resolve as follows:
1. The Recitals set forth above are true and correct, and are incorporated herein by reference.
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File Number: 22-211 Enactment Number: RES 02-2022
2. The Executive Director is hereby authorized to take all actions necessary to implement this
Resolution, including without limitation, amendment to the Land Lease Agreement with Magnolia SSF
LP for 630 Baden Avenue, subject to approval as to form by the City Attorney.
3. The Executive Director is authorized to amend Section 4.2 of the Lease to incorporate one or more
of the following requirements:
• Lender consent to termination for any termination, surrender or cancellation
• Written notice to Lender before termination for any termination, surrender or cancellation
• Clarify Lender's right to a new lease following a rejection of the lease by Magnolia SSF LP in a
bankruptcy
4. The Executive Director is authorized to make any other modifications to the Lease that do not
increase the Successor Agency's obligations, subject to approval as to form by the City Attorney.
5. The Executive Director, and his designees, are authorized and directed to take such actions as
necessary and appropriate to carry out and implement the intent of this Resolution.
At a meeting of the Successor Agency to the Redevelopment Agency on 3/23/2022, a motion was
made by Boardmember Coleman, seconded by Vice Chair Nicolas, that this Resolution be approved. The
Yes: 5 Chair Nagales, Boardmember Coleman, Boardmember Addiego, Vice Chair
Nicolas, and Boardmember Flores
Attest by \C�
Rosa Govea Acosta, City Clerk
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