2012-012 - Property transfer of 612 aka 626 Parr Ave from Villa Vasona Ltd. to Highland Property Development, continue to fill obligations under Ord 1698, authorize TM negotiate new agreementRESOLUTION 2012 -012
RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS
FINDING THAT THE PROPERTY TRANSFER OF 612 AKA 626 W. PARR AVENUE,
FROM VILLA VASONA LTD TO HIGHLAND PROPERTY DEVELOPMENT LLC,
WILL CONTINUE TO FULFILL ALL OBLIGATIONS REQUIRED UNDER PLANNED
DEVELOPMENT ORDINANCE 1698 AND AUTHORIZING THE TOWN MANAGER
TO NEGOTIATE A NEW AGREEMENT.
WHEREAS, that in 1983 the Town of Los Gatos entered into an Agreement for
Disposition of Property with Villa Vasona Ltd. for the property at 612 aka 626 W. Parr Avenue;
and
WHEREAS, that in 1986 the Town Council adopted Ordinance 1698 to allow the
construction of 107 Section 8 senior apartments, including ten units for the physically
handicapped; and
WHEREAS, that Ordinance 1698 contains a provision that requires the Town Council to
make a finding that the purchaser is willing and able to fulfill the obligations under the 1983
Agreement for Disposition of Property or any amendments thereto prior to any sale or transfer; and
WHEREAS, that in 1989 the Town of Los Gatos entered into a First Amendment to the
1983 Agreement for Disposition of Property because the property was transferred from Villa
Vasona Ltd. to PMG; and
WHEREAS, PMG intends to sell the property to Highland Property Development LLC;
and
WHEREAS, Seifel Consulting, Inc. conducted a thorough analysis of Highland Property
Development LLC and has found the company has both the experience and financial capacity
necessary to continue providing the housing services and meet the Town's expectations for the
affordability, upkeep, and management of the property; and
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WHEREAS, Highland Property Development LLC wants to rescind the 1983 Agreement
for Disposition of Property and the First Amendment to the 1983 Agreement for Disposition of
Property and negotiate a new Agreement that does not require them to pay property taxes and
removes the Town's option to repurchase the property; and
NOW, THEREFORE, THE TOWN COUNCIL OF THE TOWN OF LOS GATOS
DOES HEREBY RESOLVE that Highland Property Development LLC is willing and able to
fulfill the obligations of the 1983 Agreement for Disposition of Property and the First Amendment
to the 1983 Agreement for Disposition of Property.
FURTHER RESOLVED, by the Town Council that the Town Manager is authorized and
directed to negotiate a new agreement, subject to Town review and approval, with Highland
Property Development LLC on behalf of the Town of Los Gatos.
PASSED AND ADOPTED at a regular meeting of the Town Council held on the 19th day
of March, 2012, by the following vote:
COUNCIL MEMBERS:
AYES: Steven Leonardis, Diane McNutt, Joe Pirzynski, Barbara Spector, and Mayor Steve Rice
NAYS:
ABSENT:
ABSTAIN:
SIGNED:
MAYOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
CLERK ADMINISTRATOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
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