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DATE:
TO:
FROM:
SUBJECT:
AGENCY AGENDA REPORT
SEPTEMBER 21, 2009
MEETING DATE: 9/21/2009
ITEM NO: 9
DESK ITEM
CHAIR AND MEMBERS OF THE REDEVELOPMENT AGENCY
ORRY P. KORB, GENERAL COUNSEIO(i
20 DITTOS LANE
A. STAFF RECOMMENDS THAT THE AGENCY BOARD ADOPT RESOLUTION
APPROVING TWO RELATED AGREEMENTS THAT WOULD FACILITATE
AN EFFORT TO ACQUIRE AND REDEVELOP THE APPROXIMATELY 1.58-
ACRE PARCEL AT 20 DITTOS LANE
B. AUTHORIZE A BUDGET ADJUSTMENT TO THE FY 2009110 OPERATING
AND CAPITAL BUDGET IN THE AMOUNT OF $3,500,000 FOR ESTIMATED
COSTS RELATED TO THE ACQUISITION OF THE PROPERTY LOCATED AT
20 DITTOS LANE, FUNDED BY AVAILABLE FUND BALANCE IN THE
TOWN OF LOS GATOS REDEVELOPMENT AGENCY'S LOW AND
MODERATE HOUSING FUND
DISCUSSION:
The current parties to the Agreement for Purchase and Sale of Real Property and Escrow Instructions
("Purchase Agreement") for 20 Dittos Lane, executed a Third Addendum to the Purchase Agreement
(Attachment) clarifying that the buyer would be entitled to a refund of its deposits in the event of a seller
default prior to the close of escrow. Should the Agency elect to approve the Assignment Agreement, the
Agency would be the beneficiary of this addendum in the event of a seller default.
Attachment: Third Addendum to the Agreement for Purchase and Sale of Real Property and Escrow
Instructions dated March 23, 2009 by and between Roem Development Corporation
("Buyer") and Nicholas Gera ("Seller") for that real property commonly known as 20
Dittos Lane, located in the City [sic.] of Los Gatos, County of Santa Clara, State of
California
PREPARED BY: ORRY P. KORB
Town Attorney
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NAN4GR\AdminWorkF'i1cs12009 Council Reportsl9-21-09 Dittos Lane Desk [tem.dac
Reviewed by: 1 Assistant Town Manager own Attorney
Clerk Administrator Finance - Community Development
Third Addendum to that Agreement For Purchase and Sale of Real Property and Escrow
Instructions dated March 23, 2009 by and between Roem Development Corporation
("Buyer") and Nicholas C,era ("Seller") for that real property commonly known as
20 Dittos Lane, located in the City of Los Gatos, County of Santa Clara, State of California.
All terms and conditions to remain the same with the following exceptions:
The First Deposit, together with the Second Deposit, as outlined in Paragraph 1.2.1 (First
Deposit) and 1.2,2 (Second Deposit), shall become non-refundable to the Buyer on
September 26, 2009 at 5:00 p.m. PSDT, except as otherwise provided in the Purchase
Agreement. The total of the "First Deposit" and "Second Deposit" is One Hundred
Thousand Dollars (:6100,000.00) which is applicable toward the Purchase Price.
REVIEWED AND ACCEPTED: REVIEWED AND ACCEPTED:
BUYEf - Roem evelopme k Corporation SELLER: las `BY: C ~ f
TITLa Jon TITLE: `
DATE: Vice Rmsi&-nt DATE: v 2,1
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