I do not have access to a scanner and am not going to
type either the entire contract or deed into a post.
The documents total 182 pages. I will however, post
the pertinent information from the contract and deed
from which I have drawn my conclusions. I have also
dropped a copy of all the documents to David Brauer.
If you would like a full copy of either the South
Whittier Redevelopment Plan, the contract or the deed,
you may contact Marian Biehn at the Whittier Alliance
office at 871-7756 or CPED. It is public information.
Pertinent language in Redevelopment Contract:
Common Project Long Form 9/99
Miles 16 and 20
206 Elroy Street and 2928 - 30 Pillsbury Av. So.
pg. 1 WHEREAS, on February 25, 1994 the City Council
of the City and Board of the Agency approved the
Whittier South Redevelopment Plan (the "plan")
establishing the Whittier South Redevelopment Project
(the "project") within the Common Project by adoption
of modification no. 26 to the Common Plans,
WHEREAS, on March 16, 2001 the Board authorized the
Agency to enter into this Agreement to convey the
Property to the Developer for development of a 64,000
sq. foot mixed use commercial, office and light
industrial facility on the Property;
pg. 5 Article II Representations, Section 2.02,
Representations of the Developer,
(b) There are no pending or threatened legal
proceedings, of which the Developer has notice,
contemplating the liquidation or dissolution of the
Developer or threatening its existence, or seeking to
restrain or enjoin the transactions contemplated by
the Agreement, or questioning the authority of the
Developer to execute and deliver this Agreement or the
validity of this Agreement.
pg. 10 Article V Construction of Improvements;
Certificate of Completion, Section 5.01, Construction
of Improvements. In the event closing occurs and
subject to the terms and conditions herein, the
Developer will construct the Minimum Improvements on
the Property in substantial conformance with the
approved Construction Plans. (This is the piece some
on the council used to make the point that the
developer was fulfilling the terms of this contract)
(a) The Developer has submitted to the Agency
"Preliminary Plans" consisting of floor plans and
sketches of the exterior and interior of the proposed
Minimum Improvements, which illustrate the size and
character of the proposed improvements and are in
substantial conformance to the site plan attached
hereto as Exhibit F, the MILES program guidelines, and
the design guidelines outlined in the March 5, 2001
report to commissioners. (Exhibit F is signed by Basim
Sabri and it says: The Developer will construct a
development that is in accordance with the
construction plans provided by the developer subject
to all required regulatory requirements and approvals.
These construction plans are entitled "Karmel Plaza"
produced by DJR Architecture, Inc,; Scott Nelson,
Architect, Project#03-0090; Date 10/17/03; Drawn by
MLP; Checked SN.)
The Developer will deliver Construction Plans
("Plans") to the Agency at least 15 days prior to the
Closing Date. The Agency will review the Plans and,
withing 5 working days after the date of receipt of
the Plans, will deliver to the Developer a written
statement approving the Plans or a written statement
rejecting the Plans and specifying the deficiencies in
the Plans. The Agency shall approve the plans if the
Plans conform to: (i) The Preliminary Plans; (ii) the
terms and conditions of this Agreement; (iii) the
requirements of the Redevelopment Plan; and (iv)
applicable federal, state, and local laws, ordinances,
rules, regulations and permits.
pg. 24 Article XI Additional Provisions, Section
11.02, Restrictions on use. The Developer agrees to
devote the Property to, and only to and in accordance
with, the uses specified in the Redevelopment Plan,
the Deed, and this Agreement and shall not unlawfully
discriminate upon the basis of race, color, creed,
sex, or national origin in the sale, lease, or rental,
or in the use or occupancy of the Property or any
improvements erected or to be erected thereon, or any
part thereof. Upon request by the Developer, the
Agency shall deliver a written certification of
Developer's compliance with the Redevelopment Plan or
a statement specifying the basis of the Developers
non-compliance.
11.03, Provisions Not Merged With Closing, None of the
provisions of this Agreement are intended to or shall
be merged by any reason of any document delivered at
closing and any such document shall not be deemed to
affect or impair the provisions and covenants of this
Agreement.
pg. 26 In Witness Whereof.....This agreement was
signed by former MCDA Deputy Director Chuck Lutz and
Developer Basim Sabri.
Pertinent language in the deed:
Section 1: It is understood and agreed that this Deed
is subject to the covenants, conditions, restrictions
and provisions of an agreement entered into between
the seller and Purchase on the 5th day of December
2003, identified as "Redevelopment Contract" (herein
referred to as the "Agreement") and that the Purchaser
shall not convey this property, or any part thereof,
without the consent of the Seller until a certificate
releasing the Purchaser from the obligations of said
Agreement as to this property or such part thereof
then to be conveyed, has been placed of record. This
provision, however, shall in no way prevent the
Purchaser from mortgaging this property in order to
obtain funds for the purchase of property Hereby
conveyed and for erecting improvements thereon in
conformity with the Agreement.
Section 2: In the event the Purchaser herein shall,
prior to the recording of the Certificate of
Completion:
a) default in or violate its obligations with respect
to the construction of the improvements (including the
nature and date for the completion thereof) provided
for in this Deed and the Agreement, or shall abandon
or substantially suspend construction work and any
default of violation, abandonment or suspension shall
not be cured, ended or remedied within 60 days after
written demand by the Seller so to do;
then the seller shall have the right to re-enter and
take possession of the property and to terminate and
revest in the Seller the estate conveyed by this Deed
to the Purchaser, its assigns or successors in
interest. Such reversion of the title shall, however,
be subject to the lien of any outstanding mortgage
authorized by the Agreement.
Section 3: The Purchaser agrees that is shall not
discriminate upon the basis of race, color, creed,
religion, ancestry, national origin or sex,
affectional preference, disability, age, marital
status or status with regard to public assistance, in
the sale, lease, use of occupancy of the Property or
any improvements located or to be erected thereon, or
any part thereof.
Section 4: This Deed is also given subject to the
Whittier South Redevelopment Plan, adopted by the
Seller on February 25, 1994, as modification no. 26 to
the common Development and Redevelopment Plan adopted
by the Seller on December 15, 1989, as the same may
have been amended or extended as of the date hereof.
All of the terms, covenants, conditions, restrictions
and agreements contained in Sections 3 and 4 of this
Deed shall be null and void and of no further force or
effect on the twentieth anniversary date of Seller's
execution of this date.
This deed was signed by Council Members Scott Benson
and Don Samuels on May 4th, 2004.
My take on all this legal gobbledygook is that the
developer is contractually and through the Deed
required to develop in accordance with the South
Whittier Redevelopment Plan, and more importantly the
plans he originally submitted that were drawn in 2003
to which he signed and agreed.
The developer also cannot have any pending or
threatened legal actions that could threaten his
existence as the developer. I would say a federal
indictment for alleged bribery of a council member
involving federal funds probably qualifies as a
pending or threatened legal action. Not sure, just a
hunch.
The developer also agrees not to discriminate. He has
already stated publicly several times and the mayor
confirmed in his statements to Rochelle Olson on Sept.
10th that he intends to build housing for Somali's. I
interpret that as discriminatory.
The developer also agrees to build a 64,000 sq. ft.
building with commercial, office space and light
industrial. The new plans he submitted show a 20,000
sq. ft. building.
It's not like that all happened years ago. The Deed
was just signed in May 2004 by Basim Sabri of Sabri
Properties and Council Members Scott Benson and Don
Samuels. So, between May 2004 and August 2004, he
tried to pull a "bait and switch" that again is
prohibited according to the contract.
Either the city honors and enforces the terms of its
contracts or why bother having them. Based on
statements made by at least one council member during
the discussion excerpts from the contract were used to
defend positions during council discussion. That makes
this document valid and germane to the decisions being
made.
I repeat a statement from an earlier post, NONE of
these document were used to inform the decision of the
CPED Planning Staff or the Planning Commission. I
think that was a pretty major error. One that needs to
be corrected.
Now that I have said all this, I have one last
question. Who the hell is Elroy? and why was a 1/2
block named after him or her?
Barb Lickness
Whittier
p.s. I don't want to be an attorney. The Whereas and
Heretofors make my head hurt. I have great respect for
those who do this everyday.
=====
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world. Indeed, it's the only thing that ever has." -- Margaret Mead
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