Meeting_Body
PLANNING AND PROGRAMMING COMMITTEE
JUNE 17, 2020
Subject
SUBJECT: CHAVEZ AND FICKETT JOINT DEVELOPMENT ENA EXTENSION
Action
ACTION: APPROVE RECOMMENDATION
Heading
RECOMMENDATION
Title
AUTHORIZE the Chief Executive Officer to execute an amendment to the Exclusive Negotiations and Planning Agreement with Abode Communities to extend the term for one year, plus an option to extend the term for an additional year, for the joint development of Metro-owned property at Cesar E. Chavez Avenue and Fickett Street in Boyle Heights.
Issue
ISSUE
Abode Communities (the "Developer") and Metro are parties to an Exclusive Negotiations and Planning Agreement (the "ENA") for the development of a mixed-use project (the "Project") on 1.56 acres of Metro-owned property (the "Site") situated on the southwest corner of Cesar E. Chavez Avenue and Fickett Street in the Boyle Heights community of Los Angeles (see Attachment A - Site Plan). The ENA is set to expire on August 31, 2020, and an extension of the ENA term is necessary to provide the time for: (a) the Developer and Metro to consider and refine the Project's design, (b) the Developer to lead Project-related stakeholder outreach and obtain Project entitlements and environmental clearance, and (c) the parties to negotiate and finalize the key terms and conditions of a Joint Development Agreement ("JDA") and Ground Lease ("GL"), subject to Metro Board of Directors ("Board") approval.
Discussion
DISCUSSION
Background
In March 2018, Metro entered into an ENA with the Developer to plan and consider the development of the Project on the Site. The Project, as originally proposed, contemplated 60 units of affordable housing at 30-50% of the Area Median Income (AMI); a 25,000 sq. ft. grocery store; and a 6,500 sq. ft. community park. The careful integration of these diverse programmatic components of the Project have required a greater level of up-front site planning, design, operational, entitlement and c...
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