09/18/1991 Meeting - Laserfiche WebLink

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. Ms. Bascom said that it is too bad that the neighborhood feels that they have been treated unfairly. The developer has made an effort to accommodate their needs. Keeping in mind the long history of this site, the City should en- courage this development as much as possible. Mr. Boles said that the neighborhood is hoping that the development will be completed in a timely fashion. Mr. Gleason provided the council with some history of this issue. He said that many years ago, the Lincoln School site was to be sold to the Fair- grounds for use as a parking lot. The City intervened on behalf of the neighborhood on the condition that the building would be torn down. Mr. Gleason said that the building has little value outside of its tax credits. When making a decision to reconvey, the council should consider that there is little outside interest in this building. Mr. Rutan moved, seconded by Ms. Bascom, to authorize the City Manager to proceed with closing on the transfer of the Lincoln School property to Lorig Associates, Inc., as proposed. Mr. Bowers clarified the terms of the agreement. He said that the existing agreement to reconvey would provide the developer with 12 months to secure financing, initiate construction, and pay the City the remaining $100,000 for the site before the City has the right to take back the site. Mr. Hoffman added that if Lorig Associates, Inc., cannot pay the note, it would be in e default. The City could then proceed with litigation and regain control of the building. He clarified further that if Lorig Associates, Inc., pays the note, the City would still have the right to sue for reconveyahce. Mr. Gleason noted that an automatic checkpoint review of the developer's progress on the plan is different from an automatic reconveyance. The council deliberated at length over what the terms of the agreement should be. Mr. Boles asked for a clarification of the phrase "as proposed" in the mo- tion. Mr. Bowers clarified that the motion, as proposed, would give the City the right to reconvey the property after one year. Mr. Boles moved, seconded by Mr. Nicholson, to amend the mo- tion to shorten the time period for the right of reconveyance from twelve months to nine months. Ms. Ehrman commented that the site has been the source of discontent in the neighborhood. She will support the amendment in hopes of expediting the process. Mr. Nicholson said that it is the City's fiduciary responsibility to the public to make the term of the note as short as possible. The City is-ex- tending an opportunity to Lorig Associates, Inc., to make the property avail- e ......... MINUTES--Eugene City Council September 18, 1991 Page 6 ------------