AgdaPkt 2007-08-27 - Laserfiche WebLink

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6.1A Page 1 REPORT To.the Honorable�Mayor and C�ty Council and The Redevelopment Agency Board From the Exeeuti�e Director and the City Mana er`. August 27, 2007 SuasECr Amendment to the Parking �acilities Agreement between the City and RREEF, Owners of the Cinema Block RECOMMENDATION Approve the Amendment by motion to the Parking �acilities Agreement (Parking Agreement) with #he City of Redwood City, the Redevelopment Agency, and RREEF (Owners af the Cinema BEock) and a�thcrize fhe City Manager and the Redevelopment A�ency Ex�c�tive Director#o execufie same. BACKGROUND The ori�inal Parking Facilities Agreement (Parking Agreement} was appraved in July of 2�04, This agreement was signed by the develaper, David [rmer, the fhen developer of the cinema project, and the City. However, this agreement had to meet the concerns of Century Theatres (owned by the Syufy's at that time} who were the major lessee of the project. The City first reached an agreement with Century Theatres (Syufy's), and then the City and the de�eloper formally approved the agreement. The Parking Agreement cannat be amended without the approva� of the cinema owner. This Parking Agreemen# has been in existence since fhe opening of the garage and the cinema complex. The Parking Agreement covers the Jefferson garage (new garage under the project), the Marshafl Street garage, and the Middlefield lot (surface parking hettn�een the �rn;PCt anci railroad tracksl. The original Parking Agreernent has two problems, its complexity and high non- vafidated cost of parking. City staff has been discussing with Cinemark, the new owners of Century Theatres, and has been able to negotiate some important changes to the Parking Agreement. These changes have also been accepted by RREEF, the new awner of the cinema black project. Staff had two objectives in amending the Parking Agreement. The first objective was to lower the non-validated cost ofi parking, and the second was to make #he parking conditions easier ta unders#and to the customers. Cinemark agreed to the proposed changes, listed below, with the caveat that they have the fegal right to go back to the original agreement if they feel these changes do not work for them. Cinemark �as also agreed to discuss further changes (additional non-vaiidated parking cost reductions and some hourly changes) but anly after fihis amendment has been in existence for three to four months and they have had a chance to re-examine parking vacancy data.