HomeMy WebLinkAboutRDA Reso 20-2009RESOLUTION NO. 20-2009
REDEVELOPMENT AGENCY, CITY OF SOUTH SAN FRANCISCO,
STATE OF CALIFORNIA
A RESOLUTION APPROVING THE EXECUTION OF AN
OWNER PARTICIPATION AND LOAN AGREEMENT WITH
BUON GUSTO RISTORANTE, APPROVING THE PROVISION
OF A LOAN FOR THE REHABILITATION OF THE
PROPERTY LOCATED AT 222-224 GRAND AVENUE, AND
AUTHORIZING THE EXECUTION OF DOCUMENTS IN
CONNECTION WITH SUCH FINANCING
WHEREAS, the Redevelopment Agency of the City of South San Francisco ("Agency")
is a redevelopment agency existing pursuant to the Community Redevelopment Law, California
Health and Safety Code Section 33000, et seq. (the "CRL"), and pursuant to the authority
granted thereunder, has the responsibility to carry out the Redevelopment Plan (the
"Redevelopment Plan") for the Downtown/Central Redevelopment Project Area (the "Project
Area");
WHEREAS, the Agency operates a commercial rehabilitation loan program pursuant to
which the Agency provides financing for the rehabilitation of buildings located within the
Project Area;
WHEREAS, Buon Gusto Ristorante, ("Borrower") leases the property located in the
Project Area at 222-224 Grand Avenue, and known as San Mateo County Assessor's Parcel No.
012-315-120 (the "Property"), and Borrower has applied to Agency for financing in order to
rehabilitate and improve the Property (the "Project");
WHEREAS, the Project will be of benefit to the Project Area because it will improve the
streetscape appearance of the Property, permit Borrower to expand Borrower's restaurant, and
provide increased job and economic development opportunities;
WHEREAS, the terms and conditions for the rehabilitation of the Property and the
financing of the Project are more particularly described in a proposed Owner Participation and
Loan Agreement (the "OPA") between Agency and Borrower, copies of which have been
provided to the Agency;
WHEREAS, the proposed Agency financing for the Project includes a loan in the amount
of Six Hundred Fifty Thousand Dollars ($650,000) (the "Loan");
WHEREAS, the Project would be infeasible without the Loan; and
WHEREAS, Borrower and Agency staff have negotiated the terms and conditions of (i) a
Secured Promissory Note (the "Note") that provides for repayment of the Loan over athirty-five
(35) year term; and (ii) a Leasehold Deed of Trust, Assignment of Rents, Security Agreement
and Fixture Filing (the "Deed of Trust") pursuant to which the Agency will be provided a
security interest in Borrower's leasehold interest in the Property to secure repayment of the
Loan.
NOW, THEREFORE, BE IT RESOLVED by the Redevelopment Agency of the
City of South San Francisco that it hereby:
1. Finds that the rehabilitation of the Property in accordance with the OPA and the provision
of the Loan for the Project will be of benefit to the Project Area, will further the goals of the
Redevelopment Plan, and will be consistent with the implementation plan adopted in connection
therewith.
2. Approves the provision of the Loan pursuant to the terms and conditions set forth in the
OPA.
3. Approves the OPA, the Note, and the Deed of Trust; authorizes the Executive Director or
his designee to execute and deliver the OPA and the Memorandum of the OPA substantially in
the form on file with the Agency Secretary; and authorizes the recordation of a Memorandum of
the OPA in the Official Records of San Mateo County.
4. Authorizes the Executive Director or his designee to execute and deliver such other
instruments and to take such other actions as necessary to carry out the intent of this Resolution.
I hereby certify that the foregoing Resolution was regularly introduced and adopted by
the Redevelopment Agency of the City of South San Francisco at a special meeting held on the
26t" day of August, 2009 by the following vote:
AYES: Boardmembers Pedro Gonzalez, Richard A. Garbarino, and Kevin Mullin,
Vice Chair Mark Addiego and Chair Karyl Matsumoto
NOES: None
ABSTAIN: None
ABSENT: None
ATTEST:
Deputy City Cl k
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