HomeMy WebLinkAboutResolution 12, 2018CITY OF WHEAT RIDGE, COLORADO
RESOLUTION NO. 12
Series of 2018
TITLE: RESOLUTION NO. 12-2018 - A RESOLUTION CONCERNING
THE PROPOSED REDEVELOPMENT WITHIN THE
APPLEWOOD SHOPPING CENTER FOR THE DEVELOPMENT
OF A HACIENDA COLORADO RESTAURANT, AND
AUTHORIZING A COOPERATION AGREEMENT IN
CONNECTION THEREWITH
WHEREAS, the City is a home rule municipality and political subdivision
of the State of Colorado organized and existing under a home rule charter pursuant to
Article XX of the Constitution of the State of Colorado; and
WHEREAS, the City Council of the City (the "City Council") established
the Wheat Ridge Urban Renewal Authority d/b/a/ Renewal Wheat Ridge (the
"Authority") on October 18, 1981, as an urban renewal authority pursuant to Colorado
Revised Statutes, Part 1 of Title 31, Article 25, as amended; and
WHEREAS, the City Council has adopted the 170/Kipling Corridors Urban
Renewal Plan, as amended (the "Urban Renewal Plan" or the "Plan") for the area
described therein (the "Urban Renewal Area"); and
WHEREAS, U.S. Retailers Partners, LLC (the "Developer") has leased
land to Hacienda Colorado which is located in the Applewood Shopping Center (the
"Property"), which is in the Urban Renewal Area; and
WHEREAS, the Developer has. submitted a proposal to the-City and the
Authority to redevelop the Property (the "Project"); and
WHEREAS, the City ha_s determined and. hereby determines that it is in
the best interests of the City and its citizens to . assist · in the redevelopment of the
Project; and
WHEREAS, the Authority has determined that the redevelopment of the
Project in order to remediate blight is consistent with and in furtherance of the purposes
of the Authority and the Plan; and
WHEREAS, the Urban Renewal Plan contemplates that a primary method
of financing projects within the Urban Renewal Area will be through the use of property
tax increment revenues and City sales tax increment revenues; a.nd
WHEREAS, the Plan . adopted the utilization of property and sales tax
increment for the Property and authorizes the Author:ity to pledge such property tax
increment revenues and City sales tax increment revenues to finance public
infrastructure that benefits the Urban Renewal Area pursuant to one or more Cooperation
Agreements (as defined therein); and
WHEREAS, the Authority and the Developer desire to enter into a
Redevelopment Agreement (the "Redevelopment Agreement") that sets forth the rights
and responsibilities of each party with respect to the financing and construction of the
Project; and
WHEREAS, in order to finance certain eligible improvements for the
Project, the Redevelopment Agreement provides that, upon compliance with certain
conditions precedent, the Authority will reimburse the Developer for eligible costs
incurred in connection with such eligible. improvements in the maximum a.mount of
$1,015,000 (the "Reimbursement Amount") with the. Reimbursement Amount to be
payable solely from property tax increment revenues and sales tax increment revenues
to be generated from the redevelopment of the Project; and
WHEREAS, in connection with the execution and delivery of the
Redevelopment Agreement and the repayment of the Reimbursement Amount in
accordance therewith, the City and the Authority believe it is in the best interests of the
City and the Authority to enter into a Cooperation Agreement (the "Cooperation
Agreement") related to the·Project; and
WHEREAS, there has been filed with the City Clerk of the City (the "City
Clerk") the proposed form of the Cooperation Agreement.
NOW, THEREFORE,-BE IT RESOLVED by the C~ty Council of the ;City of
Wheat Ridge, Colorado, that: ·
Section 1. Finding of Best Interests. and :Public Purpose. The City
Council hereby finds and determines; pursuant to the Constitution, the laws of the State
and the City's home rule charter (the ".Charter''.), and in accordance with the foregoing
recitals, that adopting this Resolution, redeveloping the Project and entering into the
Cooperation Agreement are in the best interests of the inhabitants of the City.
Section 2. Approval of Cooperation Agreement. The Cooperation
Agreement, as shown in Exhibit 1 in substantially the form on file with the City C.lerk,. is
in all respects approved, authorized .and confirmed. The Mayor is hereby authorized
and directed to execute and deliver the Cooperation Agreement, for and on behalf of the
City, in substantially the form·· and with .substantiaUy the same contents as· is on.file.with
the City Clerk, provided that such document -may-·be:completed, corrected or revised as
deemed necessary by the parties thereto in order to carry out the purposes of this
Resolution. Ttie e~ecutiori -·of the···cbop:eratk>n Agreement by the · Mayor shall be
conclusive evidence of the approval by the City Council of such document in
accordance with its terms.
Section 3. · Direction to Act. The City Clerk is ·hereby authbrized and
directed to ~attest all signatures and acts -of any offiCial ofthe:City in;cdnnebtiOn -With the
matte.rs authorized by this Resolution·and to place tbe seal of:the CitY oh ·any document
authorized ·and approved by this Resulutioh, ·· The:Mayor,· the ·city Manager, the City
Clerk, the City Attorney, and all other appropriate officials or employe~s of the City are
. . . . . ._:
2
hereby authorized and directed to execute and deliver for and on behalf of the City any
and all additional certificates, documents, instruments and other papers, and to perform
all other acts that they deem necessary or appropriate, in order to facilitate' the
redevelopment of the Project and implement and carry out the transactions and other
matters authorized by this Resolution.
Section 4. Ratification. All actions (not iriconsisterit with the provisions
of this Resolution) heretofore taken by the City Cou'riCil or-the officers, employees:or
agents of the City directed toward the redevelopment C>fthe ProjeCt ancUhe execution
and delivery· of the Cooperation 'Agreeme·nt are hereby ratified, a·pproved and
confirmed. ·
Section 5. Severability. If any section, subsection, paragraph, clause or
provision of this Resolution or the documents hereby authorized and approved shall for
any reason be held to be invalid or unenforceable, the invalidity or unenforceability of
such section, subsection, paragraph, clause or provision shall not affect any of the
remaining provisions of this Resolution or such documents,· the intent being that the
same are severable.
Section 6. Repealer. All prior resolutions, or parts thereof, inconsistent
herewith are hereby repealed to the extent of such inconsistency.
Section 8. Effectiveness. This Resolution shall take effect immediately.
DONE AND RESOLVED this 26th day of February, 2018.
Attest:
3
EXHIBIT 1
COOPERATION AGREEMENT
BETWEEN THE ~ITY OF WHEAT RlDGE AND
WHEAT RIDGE URBAN RENEWALAUTHORITY
THIS COOPERATION AGREEMENT (this "Agreement") dated as of February 26,
2018, is made and entered into between the CITY OF WHEAT RIDGE, COLORADO (the
"City") and the WHEAT RIDGE URBAN RENEW AL AUTHORITY d/b/a/ RENEWAL
WHEAT RIDGE (the "Authority").
WHEREAS, the City is a Colorado home rule municipality with all the powers and
authority granted pursuant to Article XX of the Colorado Constitution and its home rule charter
(the "Charter"); and
WHEREAS, the Authority is a Colorado Urban Renewal Authority, with all the powers
and authority granted to it pursuant to Title 31, Article 25, Part 1, Colorado Revised Statutes
("C.R.S.") (the "Urban Renewal La~");,and •
WHEREAS, ptirsuant to Article · XIV of .the Colorado Constitution, and Title 29,
Article 1, Part 2, C.R.S., the City' arid the Authority are authoriZed to cooperate and contract with
one another to provide any function, senri.ce or facility lawfully authorized to each governmental
entity; and
WHEREAS, the City Council of the City (the "City Council") has previously adopted the
I-70/Kipling Corridors Urban Renewal Plan, as amended (the "Urban Renewal Plan" or the
"Plan") for the area described therein (the,"Urban Renewal Area'.'); and
. WHEREAS, U.'S. Retail Partners, LtC a Delaware ' limited liability company (the
"Developer") has the desire to construct a 9,500 sq. ft. Hacienda Colorado restaurant on a pad in
the Applewood Shopping Center consisting of approximately _ .6, acres wlµch is located north of
the northeast comer of 32nd Avenue and Youngfield Street (the "Property"), which 'is in the
Urban Renewal Area; and · . .
WHEREAS, the Developer has . submitted. a proposal t~ the City and the Authority to
redevelop the Property (the "Project");' ai:id · · ·
WHEREAS, the Projed is being undertaken to facilitate the elimination and prevention
of blighted areas and to promote redevelopment, conservation and rehabilitation of the Urban
Renewal Area; and
WHEREAS, pursuant to section 3 l,;,25-112, C.R.S., .the City is specifically authorized to
do all things necessary to aid and cooperate with the Authoiify in connection with the planning
or undertaking of any urban renewal plans, projects, programs, works, operations, or activities of
the Authority, to enter into agreements With the Authority !especting such actions to be taken by
the City, and appropriating funds and making such expenditures of its funds to aid and cooperate
with the Authority in undertaking the Project and carrying out the Plan; and
WHEREAS, the Authority and the Developer expect to enter into a Redevelopment
Agreement (the "Redevelopment Agreement") that sets forth the rights arid responsibilities of
each party with respect to the financing a~d construction of the Project; and
WHEREAS, in order to finance certain eligible improvements for the Project, the
Redevelopment Agreement provides that, upon compliance with certain conditions precedent,
the Authority will provide a one-time cash ·payment of$100;000 from reserves in the. special
account of the I70/Kipling Corridors Urban Renewal Plan and reimbursement of $1,015,000 (the
"Payment") with such Payment to be payable from the Pledged Property Tax Increment Revenue
and Pledged Sales Tax Increment Revenues as the same are defined in the Redevelopment
Agreement to be generated from the redevelopment of the Project; and
WHEREAS, in order to implement the provisions regarding the use of Pledged Sales Tax
Increment Revenues generated from the Project, this Cooperation Agreement is necessary to
cause the City to deposit such Pledged Sales Tax Increment Revenues into the Special Fund of
the Authority to reimburse the Developer for Eligible Costs of the Project as defined in the
Redevelopment Agreement; and
WHEREAS, capitalized terms used herein and · not otherwise defined shall have the
meanings set forth in the Redevelopment Agreement.
NOW, THEREFORE, in consideration of the mutualprornises set forth below, the
City and the Authority agree as follows:
I. COOPERATION~
(a) The City shall continue to make available such employees of the City
as may be necessary and appropriate to assist the Authority in carrying out any authorized
duty or activity of the Authority pursuant to the Urban Renewal Law, the · Plan, or any
other lawfully authorized duty or activity of the Authority.
(b) The City agrees to·. assist the Authority by pursuing .· all lawful
procedures and remedies available to it to collect and transfer to the Authority on a timely
basis all Pledged Sales Tax Increment Revenues for deposit into the Project Account of the
Special. Fund until the total amount of Pledged .Revenues as defined in the Redevelopment
Agreement paid to Developer equals the Reimbursement Amount, or August 31, 2029,
whichever first occurs.
(c) To the extent lawfully possible, the City will take no action that
would have the effect of reducing tax collections that constitute Pledged Sales Tax
Increment Revenues.
5
4. GENERAL PROVISIONS.
(a) Separate Entities. Nothing in this Agreement shall be interpreted in any
manner as constituting the City or its officials, representatives, consultants, or employees as the
agents of the Authority, nor as constituting the Authority or its ·officials, representatives,
consultants, or employees as agents of the City. Each entity shall remain a separate legal entity
pursuant to applicable law. Neither party shall be deem.eel hereby to have assumed the debts,
obligations, or liabilities of the other.
(b) Third Parties. Neither the City nor the Authority shall be obligated or
liable under the terms of this Agreement to any person or entity not a party hereto, provided,
however, that the Lender is a third party beneficiary to the provisions hereof related to the
collection and remittance to the Authority of the Pledged Revenues.
(c) Modifications. No modification or change of any prov1s1on in this
Agreement shall be made, or construed to have been made, unless such modification is mutually
agreed to in writing by both parties and: incorporated as a written amendment to this Agreement.
Memoranda of understanding and correspondence shallnot be construed as amendments to the
Agreement.
( d) Entire Agreement. This Agreement shall represent the entire agreement
between the parties with respect to the subject matter hereof and shall supersede all prior
negotiations, representations, or agreements, either written or orhl, between the parties relating to
the subject matter of this Agreement and shall be independent of and have no effect upon any
other contracts.
(e) Severabilitv. If any provision of this Agreement is held to be invalid,
illegal or unenforceable, the validity, l~gality aiid enforc~a1Jility of the remaining provisions shall
not in any way be affected or' impaired::' . ', · ... · ' . ' : ' ' '
(f) Assignment.· Ex.cept for the pledge under the Loan Documents, this
Agreement shall not be assigned, ln whole or in part,'by' either party without the written consent
of the other. · · · · ' · · ·. ·
(g) Waiver. No waiver of a breach of any provision of this Agreement by
either party shall constitute a waiver of any other breach or of such provision. Failure of either
party to enforce at any time, or from time to time, any prdvision of this Agreement shall rtot be
construed as a waiver thereof The remedies reserved in this Agreement shall be cumulative and
additional to any other remedies irt law or i~ equity.
6
IN WITNESS WHEREOF, this Agreement is executed by the Parties as of February 26,
2018
CITY OF WHEAT RIDGE, COLORADO
By: _____ lfJ_~-~--
Bud Starker, Mayor
(SEAL)
Attest:
APPROVED AS TO FORM
@~
Gerald Dahl, City Attorney
WHEAT RIDGE URBAN RENEWAL AUTHORITY
ATTEST:
Steve Art, Executive Director
20657920 v2