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find one vacant property in Area 2. Mr. Hannig described a recent profitable sale of a property in the proposed area and said, "this tells us that you have escalating property values, when a current sale exceeds an option price, thus defeating one of the characteristics that are frequently associated with blight." He described a San Carlos business moving into that property which also denies blight. Mr. Hannig said crime was not a problem in the area, although there was a lot of criminal activity at one location, 1301 Maple Street - the Redwood City Police Department. Mr. Hannig said his data shows the proposed Area is not blighted nor were there so-called irregular lots. Mr. Hannig said this was a serious issue, and the businesses he represented had a passion for Redwood City and much preferred to work with the City. Mr. Hannig addressed the issue of the City's ethical obligations to businesses that have been located in the City for decades and have large investments. He said Lyngso was a prime example of the type of company which had provided much needed materials which actually help to alleviate blight in the City. He said that the Plan, and newspaper articles on the Plan, suggests that the Redevelopment Agency intended to relocate auto dealerships into the proposed Area. He said such an incompatible use downwind from Lyngso, Granite Rock, Peninsula Building Materials and others threatens the vitality of the whole area. He said, "As a lawyer, I know that litigation will ensue. In the long run the citizens of Redwood City will be the losers. These businesses should not have to worry. Family members should not have to lie awake wondering what a Redevelopment District is going to do as it changes over the political course of its lengthy history. Mr. Hannig said, "I believe the City's ethical obligations to business like these are to give them certainty as to their future as they have provided the City with its own stable future." Mr. Hannig described the other properties in the area, all without vacancies. He said prices will increase if construction materials companies are forced to move out of the area. He said he represented the property owners of Jay's Towing site, and said they were quite willing to talk about development. Mr. Hannig said free enterprise is at work. Mr. Hannig said his data and photos clearly show that Area 2 is not blighted. He said, "A wise man once told me that a good City Council has a desire to act, knows that it should, and does. A great City Council sometimes has a desire to act, but knows that it should not, and does not. Be that great city Council. Do not include Area 2 in the Redevelopment Plan. It is wrong." Mayor/Chairperson Howard announced that the Council/Board was about to close the joint public hearing, and said no further comments would be accepted after that time. She advised that there would be no public comment at the June 22, 1998 Concurrent Council/Redevelopment Agency Meeting. Mayor/Chairperson Howard asked if anyone else wished to speak. No one asked to speak. AGENDA FOR THE JOINT PUBLIC HEARING MINUTE BOOK NO.1 JUNE 8,1998 AND CONCURRENT MEETING WITH THE Page No. 489 PAGE 14 CITY COUNCIL