HomeMy WebLinkAboutResolution No. 23-8160 - Apprvove Purchase & Acquisition of Temp Constr Easement w-Ali Raza-8814 Imperial Hwyo- RESOLUTION OF •` OF OF DOWNEY
APPROVING THE PURCHASE AND ACQUISITION OF A TEMPORARY
CONSTRUCTION EASEMENT BETWEEN ALI RAZA, A MARRIED
PROPERTYSOLE AND SEPARATE PROPERTY, AND THE CITY OF DOWNEY FOR
• TO THE
INTERSECTIONADOPTED MITIGATED DECLARATION FOR THE LAKEWOOD BOULEVARD
AT IMPERIAL HIGHWAY • PROJECT
WHEREAS, the City of Downey ("City") has negotiated a purchase agreement with Ali
Raza, a married man as his sole and separate property ("Seller"), pursuant to which the City would
acquire a Temporary Construction Easement ("Easement") located at 8814 Imperial Highway,
Downey, CA for a purchase and acquisition price of Ten Thousand Dollars ($10,000.00)
("Agreement"); and
WHEREAS, on September 14, 2021, the City Council, pursuant to the California
Environmental Quality Act (Pub. Res. Code §§ 21000 et seq.) (CEQA), and the State CEQA
Guidelines (14 Cal. Code Regs. §§ 15000 et seq.) determined that a Mitigated Negative
Declaration (MND) be prepared pursuant to CEQA in order to analyze all potential adverse
environmental impacts of the Lakewood Boulevard at Imperial Highway Intersection
Improvements project ("Project"); and
WHEREAS, pursuant to CEQA, when taking subsequent discretionary actions in
furtherance of a project for which an EIR has been certified, the lead agency is required to review
any changed circumstances to determine whether any of the circumstances under Public
Resources Code section 21166 and State CEQA Guidelines Section 15162 require additional
environmental review; and
WHEREAS, staff evaluated the purchase and acquisition of a Temporary Construction
Easement in light of the standards for subsequent environmental review outlined in Public
Resources Code section 21166, and State CEQA Guidelines section 15162; and
WHEREAS, based on that evaluation, staff concluded that the MND fully analyzed and
mitigated all potentially significant environmental impacts, if any, that would result from the
purchase and acquisition of a Temporary Construction Easement, and therefore, no subsequent
EIR or mitigated negative declaration is required; and
WHEREAS, the City Council has determined that approval of the Agreement and the sale
transaction contemplated thereby, are in the best interest of the City and the public health, safety
and welfare.
RESOLVENOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF DOWNEY DOES
HEREBY AS •+ •
SECTION 1. Having considered the administrative record, the MND and all written and
oral evidence presented to the City Council, the Council finds that all environmental impacts of
the purchase and acquisition of the Temporary Construction Easement have been addressed
within the MND. The City Council finds that no new or additional mitigation measures are required.
The Council further finds that there is no substantial evidence in the administrative record
supporting a fair argument that the purchase and acquisition of the Temporary Construction
Easement may result in any significant environmental impacts beyond those analyzed in the
MND.
PAGE 2
SECTION 2. The City Council of the City of Downey hereby (i) approves the Agreement,
a copy of which attached hereto as Exhibit "A", and is on file with the City Clerk, (ii) if required,
authorizes and directs the City Manager to make final changes to the Agreement consistent with
the City Council's direction, and (iii) authorizes the Mayor to execute the final Agreement and any
other documents and agreements necessary to complete the sale transaction contemplated by
the •
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APPROVED AND ADOPTED this 11 th day of April, 2023.
CLAUDIA M. FROM Mayor
I HEREBY CERTIFY that the foregoing Resolution was adopted by the City Council of the
City of Downey at a Regular meeting held on the 11 th day of April, 2023, by the following vote, to
AYES:
Council Members
Horn, Sosa, Trujillo, Frometa
•
• Members:
None.
ABSENT:
• Members:
None.
ABSTAIN,
• Members:
None.
eM
MAI K ALICIA DLTkK'-TIffrC--
City Clerk
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AGREEMENT TO PURCHASE REAL PROPERTY
i CALIFORNIA
THIS AGREEMENT is entered lz•ayg April �, 2023, by • among
the CITY OF DOWNEY, A MUNtdPAL CORPOkATI� b CHAPTER CITY (hereinafter
"City"), and Ali Raza, a married man as his sole and separate property, (hereinafter "Seller").
1. Seller owns real property at 8814 Imperial Highway, Downey, California, further
legally described in ATTACHMENT "A" is incorporated herein by this reference and hereafter
referred to as the "Property".
2. The City desires to acquire a temporary construction easement from the Seller for
the Lakewood Blvd. & Imperial Hwy. Intersection Improvement Project.
3. The City desires to acquire a temporary construction easement from Seller. The
six (6) month term of the temporary construction easement will commence when written notice
is provided to Seller by the City or its contractor(s). The six (6) month term of the temporary
construction easement will commence following a seventy-two (72) hour written notice to the
Grantor by the City or its subcontractors. The temporary construction easement is described and
shown in EXHIBITS "A" and "B" of the attached Temporary Construction Easement Deed
("Construction Easement") and incorporated herein of this Agreement as ATTACHMENT "B"
NOW, THEREFORE, in view of the above -recitals and mutual promises and covenants
contained herein, the parties agree as follows:
AGREEMENT
On the terms and conditions set forth herein, Seller agrees to grant the City a temporary
construction easement and City agrees to compensate the Seller for the temporary construction
easement. The total price for the compensation of the temporary construction easement,
payable in cash through escrow, shall be at a cost of TEN THOUSAND DOLLARS ($10,000.00).
Of the final settlement amount, Seller agrees that the sum of $2,500 shall be paid to Investment
Retrievers, Inc. as a partial payment on the Abstract of Judgement dated May 17, 2014 and
recorded January 16, 2017. The remaining balance of $7,500 shall be paid to the Seller. In
exchange for receipt of this amount, Seller releases City of any and all claims by Seller under
the United States Constitution Amendments 5 and 14, and for any and all claims under state
law, including but not limited to claims for the value of the real estate and improvements thereon,
severance damages, relocation benefits and loss of goodwill. Notwithstanding anything to the
contrary contained in this Section 1, the City shall remain liable for any injury to persons or
damage to property relating to or arising from the acts of omissions of the City or its agents,
employees, contractors and representatives on the Property.
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which may be supplemented by escrow holders form agreement. Subject to the conditions
described in Section 8, City shall deposit into escrow the sum set forth in Section 1 above,
payable to Seller. The closing date for the escrow shall be no later than sixty (60) days after
opening of escrow, unless such date is extended by written agreement of the parties. "Close of
Escrow" shall be the date when the Construction Easement to the City is recorded. City shall
pay any and all escrow and closing costs. City shall also pay the costs of the ALTA title insurance
referenced in Section 8.1.
Except as would otherwise be shown in a preliminary title report, to the current, actual
knowledge of Seller, Seller warrants to City that as of the date of this Agreement and/or as of
the date of close of escrow, Seller has not granted any unrecorded easements or licenses on
the Property and Seller does not have actual knowledge of grants of any unrecorded easements
ir licenses on the Property by others.
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or judicial order affecting the Property, nor is there any judicial order affecting the Property, nor
is there any condemnation, zoning change, or other proceeding or action (including legislative
action) pending, threatened, or contemplated by any governmental body, except City, authority,
or agency that will in any way affect the size or use of, improvements or construction on, or
access to the Property by City. This warranty does not apply to governmental action where
notice has not been provided to Seller.
To the current, actual knowledge of Seller, Seller warrants that as of the date of this
Agreement and/or as of close of escrow, Seller has not entered into any contracts, leases,
licenses, commitments, or undertakings respecting the Property, or for the performance of
services on the Property, or for the use of the Property or any part of it or any agreement or
anyone.
To the current, actual knowledge of Seller, Seller warrants and represents that as of the
date of this Agreement and/or as of close of escrow, Seller has no notice or knowledge of any
violation of any statute, ordinance, regulation or administrative or judicial order or holding,
whether or not appearing in public records, with respect to the Property or any improvements on
the Property.
7.1 Seller warrants and represents that, during the time in which Seller has owned the
Property, neither Seller nor, to the current, actual knowledge of Seller, any third party, has used,
generated, manufactured, produced, stored or disposed of, on, under, or about the Property or
transported to or from the Property any hazardous materials, including without limitation,
flammable materials, explosives, asbestos, radioactive materials, hazardous wastes, toxic
substances, or related injurious materials, whether injurious by themselves or in combination
with other materials in violation of applicable federal, state or local laws. To the current, actual
knowledge of Seller there is no proceeding or inquiry by any governmental authority, including
without limitation, the California or Federal Environmental Protection Agency or the California
State Department of Toxic Control, or state or regional water quality board, with respect to the
presence of such hazardous materials on the Property or their migration from or to other
property. For purposes of this Agreement, the term "hazardous materials" shall include but not
be limited to substances defined as "hazardous substance," "hazardous materials," or "toxic
substances" in the Comprehensive Environmental Response, Compensation, and Liability Act
of 1980, as amended (Title 42 United States Code Sections 9601-9675); the Hazardous
Materials Transportation Act, as amended (Title 49 United States Code Sections 1801-1819);
the Resource Conservation and Recovery Act of 1976, as amended (Title 42 United States Code
Section 6901-6992k); and any substance defined as "hazardous waste" in Health and Safety
Code Section 25117 or as "hazardous substance" in Health and Safety Code Section 25316,
and in the regulations adopted and publications promulgated under these laws.
7.2 Seller hereby agrees to indemnify, protect, hold harmless, and defend City, its
council members, officers, employees, agents, from and against any and all loss, expense,
damage and liability, including without limitation (1) all foreseeable and unforeseeable
consequential damages, directly or indirectly arising from the use, generation, storage, or
disposal of hazardous material on the Property by Seller and Seller does not have actual
knowledge of consequential damages, directly or indirectly arising from the use, generation,
storage, or disposal of hazardous material on the Property by others (2) the cost of any required
or necessary repair, cleanup, or detoxification and the preparation of any closure or other
required plans, regardless of whether such action is required before or after the close of escrow,
but only to the extent that such liability is attributable, directly or indirectly, to the presence or
use, generation, storage, release, threatened release, or disposal of hazardous materials by
Seller that occurred while Seller owned the Property. Seller's indemnity shall survive close of
escrow.
7.3 From and after record of Construction Easement, City agrees to indemnify, protect,
hold harmless and defend Seller against any and all loss, expense, damage and liability,
including without limitation (1) all foreseeable and unforeseeable consequential damages,
directly or indirectly arising from the use, generation, storage, or disposal of hazardous material
on the Property by City; and (2) the cost of any required or necessary repair, cleanup, or
detoxification and the preparation of any closure or other required plans, but only to the extent
that such liability is attributable to the presence or use, generation, storage, release, threatened
release, or disposal of hazardous materials on the Property by City. City's indemnity shall
survive close of escrow.
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8.1 Title Company shall be able to issue in favor of City an ALTA standard owner's
policy of title insurance dated as of close of escrow with liability not less than the purchase price,
covering the Property, showing title vested in City, and showing as exceptions only current
general and special real property taxes, bonds and assessments not yet delinquent, and the
exceptions to title that City has approved.
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in it ("Title Documents"). City shall notify Seller and Escrow Holder in writing within ten (110) days
after receipt of the title commitment and the Title Documents of City's disapproval of any
exception in those documents. If any supplemental title commitment or supplemental Title
Documents are submitted, then City shall notify Seller and Escrow Holder in writing within ten
(10) days after City's receipt of such items, but not later than the date mutually agreed upon by
the parties in writing for the Close of Escrow, of City's disapproval of any title exception set forth
therein.
any title matter referred to in this paragraph, then, at City's option, this Agreement and the
escrow shall be canceled, and in such event all funds or other things deposited by City shall be
returned to City immediately on demand, and City shall pay all title company and escrow
charges.
8.3 City shall pay for a Property Condition Inspection by a competent inspector
selected by the City. City's obligation to close escrow is contingent upon City's approval of the
condition of the Property at its sole discretion.
8.4 If there is a breach of any representation or warranty given by Seller pursuant to
this Agreement that is discovered by City before close of escrow, then City may nevertheless
elect to proceed to close the escrow, in which event City shall be deemed to have elected to
waive such breach, or City may elect to terminate this Agreement and the escrow, in which event
this Agreement shall be canceled. If this Agreement and the escrow are terminated by City's
election under this paragraph, then all funds or other things deposited by City, if any, shall be
returned to City immediately on demand, and Seller shall pay all title company and escrow
charges.
To Seller's current, actual knowledge, as of the date of this Agreement and/or as of Close
of Escrow, no litigation is or will be pending against Seller regarding the use, operation,
development, condition or improvement of the Property, or regarding any right, title or interest in
the Property.
Seller and City acknowledge that the purchase and sale of the Property has been
negotiated under the threat of condemnation of the Property by the City. In the event of Seller
default, City's ability to perform is prejudiced. Accordingly, in the event the escrow fails to close
by reason of a default by Seller, Seller agrees:
A. That the public interest and necessity requires the acquisition of the Property.
B. That the Seller waives any right to bring an action or claim against City in inverse
condemnation or to seek damages for alleged precondemnation conduct arising out of the
acquisition by City contemplated under this Agreement.
C. Seller acknowledges that in waiving these claims they have not relied on any
representations or statements made or said by City, its agents, attorneys or other
representatives.
Except as set forth below in this Section, each party bears its own costs and fees,
including any attorneys' fees, associated with the acquisition by the City contemplated under this
Agreement. If any party files an action or brings any proceeding against the other arising from
this Agreement, or is made a party to any action or proceeding brought by the Escrow Holder,
then as between City and Seller and City, the prevailing party shall be entitled to recover as an
element of its costs of suit, and not as damages, reasonable attorneys' fees to be fixed by the
court. The "prevailing party" shall be the party who is entitled to recover its costs of suit, whether
or not suit, proceeds to final judgment. A party not entitled to recover its costs shall not recover
attorneys' fees. No sum for attorneys' fees shall be included in calculating the amount of a
judgment for purposes of deciding whether a party is entitled to its costs or attorneys' fees.
All warranties, covenants, and other obligations stated in this Agreement shall survive
close of escrow. All warranties, covenants, and other obligations that the City discovers to be
breached before tender of the deed, and that City either expressly waives or does not object til
before such tender, shall not survive tender of the deed.
M, FTWITTT."
Except as otherwise provided herein, this Agreement inures to the benefit of, and is
binding on, the parties, their respective heirs, personal representatives, successors, and
2ssigns.
writing and signed by all of the parties before it will be effective.
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This Agreement may be executed in counterparts, each of which so executed shall,
irrespective of the date of its execution and delivery, be deemed an original, and all such
counterparts together shall constitute one and the same instrument.
Time is of the essence of this Agreement, and failure to comply with the time provisions
of this Agreement shall be a material breach of this Agreement.
The City shall defend, indemnify and hold Seller and the tenant of the Property harmless
from and against any and all claims, demands, causes of action, judgments, liabilities, damages,
costs and expenses (including reasonable attorney's fees and consultant and expert fees)
relating to or arising from the City's activities on the Property.
Except as set •..: in Section 7, in its entirety, Section 8.4 and Section 11, in no event
shall Seller have any liability to the City for damages.
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City or its contractor(s). Written notice will be provided • later than seventy-two (72) hours from
the temporary construction easement start date. All work by the City or its contractors shall bc
performed in compliance with applicable laws.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and year
set forth herinabove.
Ali Raza, a married rn n as his sole and, separate property
By: Date: 0, - S' 20 -
(Print)
A Name., A 2.
Title:
By:
Name:
Title:
CITY OF DOWNEY:
Date:
dau- Wa M. FromeK May r
95
Bruce
Date -
(Print)
(Print)
AS FORM:
Lee
U nsel
ATTACHMENT "App
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ALL THAT CERTAIN REAL PROPERTY SITUATED IN THE CITY OF DOWNEY, COUNTY OF LOS ANGELES,
STATE OF CALIFORNIA, DESCRIBED AS FOLLOWS:
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16"
COUNTY. DESCRIBED AS FOLLOWS:
Lei I • a r• ATA
CITY CLERK
TY—W A LL, CIV • r•
"This document is recorded for the benefit of
the City of Downey and is therefore exempt
from recording fees pursuant to Govt Code
Section 27383 and exempt from documentary
transfer tax pursuant to Rev. & Tax Code
Section 11922"
ATTACHMENT daW
Page I of 5
Space above this line is for Recorder's Use
Ali Raza, a married man as his sole and separate property, hereinafter called Grantor,
111 .10 WAINVIRS1 "m I I T
100 NO
State • California, described as
SEEATTACHMENT
EXHIBIT 'W'� LEGAL DESCRIPTION
AND
EYVISIT fIB"- • IIIII REFE
:i,f the start of construction. he six (6) month term of the temporary construction easement will commence following a • (72) hour written notice to the Grantor • the City or its subcontractors.
Dated: GRANTOR:
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By:
Its:
Name:
By:
Its:
Name:
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Page 3 of 5
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XTTAUWWEAT'wW
Page 4 of 5
ACKNOWLEDGMENT
A not public or other officer completing this certificate verifies only the identity of the individual who
signed the document towhich this certificate is attached, and not the truthfulness, accuracy, or validity of that
document.
State of California
County of
On —before a Not Public
(Insert name of tht IQ�' ? (insert ade of the officer)
personally appeared
Name of Signer (1)
Name of Signer (2)
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/ subscribed to the
within instrument and acknov.,ledged to me that he/she)tbey executed the same in his/her/their authorized
capacity(jW, and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which
the person(s) acted, executed the jqqVjgM
I certify under PENTALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true
and correct.
WITNESS my hand and official seal.
(Seal)
Signmire of -N-Otary Public
APN: 6263-001-006
A f t
Page 5 of 5
my. Is IT.) I 10 5.3 11 am 111 USTI MR-M
By:
Maria Alicia Duarte CMC
City Clerk
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City and Seller agree to open escrow in accordance with Section 2 of this Agreement.
This Agreement constitutes the joint escrow instructions of City and Seller, and Escrow Agent to
whom these escrow instructions are delivered is hereby empowered to act under this
Agreement. The parties hereto agree to do all acts necessary to close this escrow in the shortest
possible time.
As soon as possible after open of escrow, Seller will execute the respective Easement
Deed attached to this Agreement as the "Construction Easement" and deposit the executed
deed with Escrow Agent on City's behalf. City agrees to deposit the purchase price upon
demand of Escrow Agent. City agrees to deposit with Escrow Agent any additional instruments
as may be necessary to complete this transaction.
Insurance policies for fire or casualty are not to be transferred, and Seller will cancel
Seller's own policies after close of escrow.
All funds received in this escrow shall be deposited with other escrow funds in a general
escrow account(s) and may be transferred to any other such escrow trust account in any State
or National Bank doing business in the State of California. All disbursements shall be made by
check and/or wire transfer from such account.
Escrow2. •ent is Authorized and is Instructed to Comply with the Following
AdjustmentTax • •
A. Pay and charge Seller for any unpaid delinquent taxes and/or penalties and
interest thereon, and for any delinquent or non -delinquent assessments or bonds
against the Property.
B. In the event this escrow closes six months subsequent to execution of this
agreement, and the current tax information is not available from title insurer,
Escrow Agent is instructed to withhold from Seller's proceeds an amount equal to
100% of the prorated amount due based upon the previous fiscal year's second
half tax bill. At such time that the tax information is available, Escrow Agent shall
make a check payable to the County Tax Collector for Seller's prorated portion of
taxes and forward same to the City and shall refund any difference to the Seller.
In the event the amount withheld is not sufficient to pay Seller's prorated portion of
taxes due, the Seller herein agrees to immediately pay the difference.
In the event said tax information is available, Seller's taxes shall be prorated in
accordance with paragraph "C" below.
C. From the date that tax information is available, as per paragraph "B," up to an
including June 30th, Seller's current taxes, if unpaid, shall be prorated to date
close of escrow on the basis of a 365 day year in accordance with Tax Collector -
proration requirements, together with penalties and interest, if said current tax J,:!
are unpaid after December 10 and/or `• 10. At close • escrow, check payab
to the County Tax Collector for Seller's pro-rata portion of taxes shall be forwar
• City with closing statement.
D. Any taxes which have been paid by Seller, prior to opening of this e row shaW righ,
not be prorated between City and Seller, but Seller shall have the sc 1, aft
close of escrow, to apply to the County Tax Collector of said county for refun
This refund would apply to the period after City's acquisition, pursuant to Revenu
and Taxation Code Section 5096.7. 11
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00
B. Pay and charge City for 100% of escrow fees and closing costs payable under this
Agreement.
C. Disburse funds and deliver deed when • of this escrow have been fulfilled
by City and Seller.
The Term "close of escrow", if and where written in these instructions, shall mean the
date necessary instrument of conveyance is recorded in the office of the County Recorder.
Recordation of instrument delivered through this escrow is authorized if necessary or proper in
the issuance of said policy of title insurance.
All time limits within which any matter herein specified is to be performed may be
extended by mutual agreement of the parties hereto. Any amendment of, or supplement to, any
• must • in writing.
4. Time is of - Essence in these Instructions and Escrow is to Close as
Soon as Possible
If (except for deposit of money by City, which shall be made by City upon demand of
Escrow Agent before close of escrow) this escrow is not in condition to close within sixty (60)
days from date of these instructions, any party who then shall have fully complied with these
instructions may, in writing, demand the return of their money or property; but if none have
complied, no demand for return thereof shall be recognized until five (5) days after Escrow Agent
shall have mailed copies of such demand to all other parties at the respective addresses shown
in these escrow instructions, and if any objections are raised within said five (5) day period,
Escrow Agent is authorized to hold all papers and documents until instructed by a court of
competent jurisdiction or mutual instructions. If no demands are made, proceed with closing of
,this escrow as soon as possible.
Seller hereby grants to City, or its authorized agents, permission to enter upon the
Property at all reasonable times prior to close of escrow for the purpose of making necessary or
appropriate inspections.
Loss or damage to the real property or any improvements thereon, by fire or other
casualty, occurring prior to the recordation of the Deed shall be at the risk of Seller. In the event
that loss or damage to the real property or any improvements thereon, by fire or other casualty,
occurs prior to the recordation of the Deed, City may elect to require that the Seller pay to City
the proceeds of any policy of insurance which may become payable to Seller by reason thereof,
or to permit such proceeds to be used for the restoration of the damage done, or to reduce the
total price by an amount equal to the diminution in value of said Property by reason of such loss
or damage or the amount of insurance payable to Seller, whichever is greater. Seller shall not
be liable for any loss or damage to Property caused by City upon the effective date of the
Construction Easement.
Seller instructs Escrow Agent to release a copy of Seller's statement to City.