Report Prepared by: Kim Espinosa, Planning Manager, Development Services Department
Title
SUBJECT: Consent to the Assignment of the Development Agreement, Consent to the Lien Agreement and Estoppel Agreement with AB Merced LLC, Bellevue Merced LLC, and Bank OZK for the Property Generally Located on the North Side of Bellevue Road, West of Barclay Way
REPORT IN BRIEF
Considers adopting a Consent and Estoppel Agreement with the owners of Bellevue Ranch North and their lender, Bank OZK, to consent to the Collateral Assignment and Lien Instrument and to verify that the Development Agreement is in full force and effect and there are no defaults.
RECOMMENDATION
City Council - Adopt a motion adopting the Consent and Estoppel Agreement between the City of Merced, AB Merced LLC, Bellevue Merced LLC, and Bank OZK and authorizing the City Manager or the Assistant City Manager to execute the agreement.
Body
ALTERNATIVES
1. Approve as recommended by Planning Commission and staff; or,
2. Approve, subject to modifications by the City Council; or,
3. Deny; or,
4. Refer back to staff for reconsideration of specific items (specific items to be addressed in the motion); or,
5. Continue to a future meeting (date and time to be specified in motion).
AUTHORITY
Section 11 of the Development Agreement with Bellevue Ranch (effective July 5, 1995).
CITY COUNCIL PRIORITIES
Not applicable.
DISCUSSION
In order for the owners of Bellevue Ranch North to receive a loan on certain properties north of Bellevue Road (Attachment 1), the lender is requesting the City consent to the assignment of the Development Agreement for Bellevue Ranch and to consent to the Lien Agreement against the property.
The Development Agreement for Bellevue Ranch was originally approved by the City and became effective on July 5, 1995. Under Section 11- Assignment of the Development Agreement, the rights and obligations of the Developer may be transferred or assigned to other parties as long as the ot...
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