06/19/2001 RA RPT 03 - Laserfiche WebLink

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, CITY OF RIVERSIDE REDEVELOPMENT AGENCY MEMORANDUM Honorable Mayor & Agency Members Date: Item No.: June 19,2001 3 Subject: Request Authorization to Commence Owuer Participation Process for Property Located at 1246 University Avenue-University Corridor/Sycamore Canyon Merged Project Area Background Agency staff has been approached by Michael L. Keele, General Manager of UV -5 LLC ("Developer") regarding the potential for Agency assistance in a proposed project south of University Village. The Developer is interested in constructing either an office building and classroom facility for the University of California at Riverside or a retail commercial office building that would serve as a compliment to University Village. The approximately I-acre site is comprised of two parcels, one of which the developer owns. The other parcel is where a Wienerschnitzel currently operates and is owned by R I C 76 Ltd. The developer has approached the owners in an attempt to acquire the second parcel, but have been unsuccessful in securing a response and are thereby requesting Agency assislance. Current Issue Agency staff has commenced preliminary discussions with the Developer about appropriate procedures by which the Agency could help facilitate the proposed project. Prior to entering into any agreement, California Community Redevelopment Law requires that staff notify the affected property owners oftheir owner participation rights pursuant to the Rules Governing Participation and Preferences by Property Owners and Business Occupants adopted for the University Corridor/Sycamore Canyon Merged (Central Industrial) Redevelopment Project Area, and provide them an opportunity to submit competing development proposals ("OP process"). Staff is requesting that we proceed forward with the Owner Participation solicitation at this time. Analysis Notification to the affected property owners of their owner participation rights does not commit the Agency to participating in the development of University Village South, eilher with the Developer or with any interested property owner. Should the Agency receive a qualified development proposal from an affected property owner during the OP process, staff will return to the Agency Board for its review and consideration. Also, any future agreement reached with the Developer following the OP process will likewise be brought before Ihe Agency Board. Fiscal 1m pact There is no fiscal impact associated with initiating the OP process. Alternatives The Agency could choose not to commence with the OP process; however, since redevelopment law requires the participation of affected property owners prior to entering into any agreement with a developer, staff could not proceed with Developer discussions, thereby jeopardizing the proposed project. Engagmg m the OP process, as required under redevelopment law, does not commit the Agency to any subsequent actions. Moreover" as a result of various conversations with both property owners over the past few years, staff believes the Agency s role m any development would be very limited. 3-1