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HomeMy WebLinkAboutOrdinances - 2010-12 - Relating to approval of a Development Agreement in accordance with RCW 30.70B - 7/27/2010Development Agreement Between the City of East Wenatchee, Wenatchee Productions Corporation, and Selkirk Development, LLC Page 1 of 11 After Recording, Please Return to: Dana Barnard, City Clerk 271 9th Street NE East Wenatchee, WA 98802 The information contained in this boxed section is for recording purposes only pursuant to RCW 36.18 and RCW 65.04, is not to be relied upon for any other purposes, and shall not affect the intent of any warranty contained in the document itself. Document Title: Development Agreement Between the City of East Wenatchee Wenatchee Productions Corporation, and Selkirk Development, LLC Reference Number(s) of Related documents: N/A Grantor: Wenatchee Productions Corporation, and Selkirk Development, LLC Grantee: City of East Wenatchee Legal Description: Part of Lot 1, East Wenatchee Land Company’s Plat of Section 14, according to the plat thereof recorded in Volume A of Plats, Page 192 Additional Legal description found on Exhibit A of document Parcel Number(s): 04400000101 Development Agreement Between the City of East Wenatchee, Wenatchee Productions Corporation, and Selkirk Development, LLC 1.RECITALS 1.1. Authority. a.RCW 36.70B.170 authorizes development agreements between the City of East Wenatchee and persons having ownership or control of real property in order to establish development standards to govern and vest the development, use, and mitigation of real properties. b.East Wenatchee Municipal Code (EWMC) Chapter 19.07 establishes the guidelines and procedures for executing development agreements. c.Chapter 17.80 EWMC establishes the procedure for Site Plan Review. 1.2. Parties. This Development Agreement (“Agreement”) is made by and between the City of East Wenatchee, a Washington municipal corporation ("City") and, Wenatchee Productions Corporation (“WPC”), and Selkirk Development, LLC (“Selkirk”). Collectively, WPC and Selkirk may be referenced as “Developers”. 1.3. Location of Property and Ownership. WPC owns certain real property (“Property”) containing approximately 2.95 acres, located at 470 Grant Road, East Wenatchee, WA, Assessor’s Parcel No. 04400000101, the legal description of which is attached and incorporated in full as Exhibit A. The Property has frontage on Grant Road, Highline Drive, and Simon Street. 1.4. Zoning. The Property is located within the Central Business District Zoning District (CBD). Development regulations applicable in the CBD are contained in Chapter 17.40 EWMC. Exhibit 1 Development Agreement Between the City of East Wenatchee, Wenatchee Productions Corporation, and Selkirk Development, LLC Page 2 of 11 1.5. Purchaser. Pursuant to a Real Estate Purchase and Sale Agreement dated December 15, 2009 (“REPSA”), Selkirk has agreed to purchase the Property from WPC according to the terms and conditions of the REPSA. 1.6. Project Summary. a. Selkirk proposes to redevelop the Property to create two lots as building pads for commercial uses. Selkirk is intending to demolish the existing building, grade and fill the site, construct retaining walls, extend utilities, and construct driveway accesses in accordance with the Site Plan documents attached to this Agreement as Exhibit B, which is hereby incorporated into this Agreement by this reference. b. Selkirk intends to enter into a lease for a portion of the Property with Walgreens Co, an Illinois corporation (“Walgreens”). As a condition of the lease, Walgreens requires certain assurances that the site will be developed with access, signage, and the building elevation in accordance with the Walgreens approved site plan (“Site Plan”). 1.7. Site Plan Review. In accordance with Chapter 17.80 EWMC, Selkirk filed a Site Plan with the City for review and approval on July 1 and 2, 2010. Through this application and the provisions of this Agreement, Selkirk seeks approval of the Site Plan that will fix and establish the development standards to govern the project including in particular, access from the public rights of way and signage. 1.8. Declarations. a. The City and the Developers agree that each has entered into this Agreement knowingly and voluntarily and agree to be bound by the terms and conditions of this Agreement. b. The City and the Developers agree that the foregoing terms and recitals are material to this Agreement, and that each party has relied on the material nature of such terms and recitals in entering into this Agreement. c. The City and the Developers anticipate that development of the Property will be phased with construction to occur over a period of years. 1.9. Purpose. This Agreement is entered into pursuant to RCW 36.70.B.170 for the purpose of vesting WPC and Selkirk to the development standards set forth in this Agreement for a period of five years. Vesting is limited to the specific topics and subjects referenced in this Agreement. Any development requirement of the City not specifically referenced in this Agreement shall apply based on the date of vesting as determined in accordance with City ordinances and state law. NOW THEREFORE, in consideration of the mutual benefits and of the Development Agreement and the actions and promises set forth herein, including without limitations the approval of the Site Plan and in accordance with the authority granted by RCW 36.70B.170 through 210; and provided that the lease between Selkirk and Walgreens is executed and in full force and effect, the City and the Developers enter into the following agreement to promote the development of the Property, upon the following terms and conditions: Development Agreement Between the City of East Wenatchee, Wenatchee Productions Corporation, and Selkirk Development, LLC Page 3 of 11 2. DEVELOPMENT CONDITIONS. 2.1. City approval. The City permits Selkirk to construct the access points described and set forth in the Site Plan included as Exhibit B. Final approval of the proposed improvements shall be in accordance with the construction plan review and approval process set forth in Chapters 12.50 - 12.60 EWMC and this Agreement. 2.2. Access from Public Rights of Way. a. The Property has ±285 feet of frontage on Grant Road, ±238 feet of frontage on Highline Drive, and ±403 feet of frontage on Simon Street. The Site Plan reflects the access points from Grant Road, Highline Drive, and Simon Street that will be allowed by the City: i. One full access will be allowed from Grant Road in the location indicated, and ii. One right in/right out will be allowed from Highline Drive in the location indicated, and iii. One full access will be allowed from Simon Street in the location indicated. b. All signage for the right in/right out driveway shall be installed by the City in conformance with the MUTCD. The Developers shall be responsible for reimbursing the City for the full cost of the purchase and installation of the signage prior to final approval and acceptance of the improvements. c. The City represents that it has no plans to change or modify the full access from Grant Road by changing the striping, or building or installing any additional traffic control devices in Grant Road that would limit the left turn access from Grant Road onto the Property for the next three years. The parties acknowledge that an overlay project for Grant Road is scheduled for 2011 and that the striping plan for that project show the striping on Grant Road will be the same as it is now. 2.3. Construction. Selkirk will construct the access improvements substantially in conformance with the Site Plan subject to non material minor adjustments that may be requested by the City, providers of utility services, or incorporated by Selkirk to integrate the site and the public way. Selkirk shall comply with the provisions of EWMC 12.50 – 12.60 for the design and construction of the all site improvements. 2.4. Cost of Construction. Selkirk will construct the site improvements for the access points on Grant Road, Highline Drive, and Simon Street at Selkirk’s cost. 2.5. Interim Use of Property. One of the lots proposed to be created is intended to be leased to Walgreens Co., an Illinois corporation, for the eventual construction of a retail/drug store. a. Walgreens requires certain assurances that the site will be developed in accordance with the Walgreens approved site plan (“Site Plan”), attached as Exhibit B, including in particular, access from the public way, signage, and the building elevation. Development Agreement Between the City of East Wenatchee, Wenatchee Productions Corporation, and Selkirk Development, LLC Page 4 of 11 b. Selkirk will construct the access improvements in accordance with the Site Plan subject to non material minor adjustments that may be requested by the City, providers of utility services, or incorporated by Selkirk to integrate the site and the public way. 2.6. Nonconforming Use/Structure. The existing off-premise sign/billboard located on the Property is intended to remain due to prior written commitments between the Property Owner and the sign owner. Off-premise signs/billboards are not a permitted use in the CBD District. The Developers do not intend to alter the sign location and as such the sign is permitted to remain on the property as a legal non-conforming use/structure in accordance with the provisions of EWMC 17.74.110. The Developers intend to install landscaping surrounding the sign which will not affect the nonconforming status of the sign. 2.7. Building Permit Drawings. The Site Plan will be a part of the drawings submitted for the Walgreens building permit and the City agrees not to require material changes to the Site Plan to issue the requested building permit. Non material minor adjustments may be requested by the City or incorporated by Selkirk to integrate the site and the public rights of way. All plans and drawings shall be submitted in their final form with the building permit application. 2.8. Retaining Wall. The retaining wall proposed along the northern and western edge of the Property shall be designed and constructed with an exterior face that has the appearance and texture simulating natural stone or a decorative masonry surface beginning at the point where the wall runs in a northeasterly direction and wraps around the billboard sign post and along the entire Grant Road frontage. A flat concrete wall appearance shall not be permitted in the area described above but may be used along the west property line. 2.9. Utility Connections. All extensions of or connection to utilities shall be made in accordance with standards and specifications of the utility provider. The Applicant shall arrange for construction inspection and tests to be performed by the utility as required by that agency or district. 2.10. Construction Plan Approval Process. The review and approval of the construction plans shall comply with the process set forth in Chapters 12.50 - 12.60. The major steps include: a. Prior to construction of any improvements associated with the proposed project, a complete set of preliminary construction drawings must be provided to the City (2 copies), and all utility purveyors for review and approval. Said plans shall show all proposed improvements including retaining walls, driveways, stormwater systems, sanitary sewer, domestic water, irrigation water, power, and telecommunications systems. b. Prior to construction activities, all construction plans shall be prepared in final form and be presented to the East Wenatchee City Engineer, Community Development Director, Douglas County Fire District #2, and all utility purveyors with infrastructure within the project area for their signatory approval The Applicant is Development Agreement Between the City of East Wenatchee, Wenatchee Productions Corporation, and Selkirk Development, LLC Page 5 of 11 responsible for supplying two paper copies of the approved and signed Construction Plans to the City of East Wenatchee and a set to and all utility purveyors prior to construction of the improvements. c. Prior to construction activities, the Applicant shall conduct a pre-construction meeting including the City and all utility purveyors. All attendees shall be provided with a minimum of 48 hours advance notice of the meeting. 2.11. Permanent Use. Selkirk will apply for a Binding Site Plan in accordance with EWMC 18.16 to create the lot for the Walgreen’s and the secondary parcel. With the exception of Section 2.2 for the access rights and Section 3.1 for the signage provisions of this Agreement, all subsequent land use proposals shall comply with the provisions of the East Wenatchee Municipal Code and shall be consistent with the approved Site Plan. 2.12. Benefits. The City recognizes the public benefits which will accrue from the permanent development of the property as proposed by WPC. 2.13. Consistency With Development Regulations. The proposed Interim Use is a permitted use of WPC's Property and will be generally consistent with current City development regulations and that the interim departures therefrom provided by this Agreement are offset by the public benefits received from the permanent use of the Property. 2.14. Council Approval. Pursuant to RCW 36.70B.200, a public hearing has been held before the City Council and the Council has enacted Ordinance No. _______ authorizing the Mayor to enter into this Agreement. 3. DEVELOPMENT REGULATIONS AND VESTING. 3.1. Signage. At the request of the Selkirk, the City hereby permits a departure from standard vesting process to enable the Developers to utilize potential future revisions to Chapter 17.74 EWMC which may result in the ability to install larger freestanding signs along Grant Road, Highline Drive, and Simon Street. In the event future revisions do not effect a change that would allow larger signage, the Developers shall be permitted to utilize the Sign Code in effect as of the effective date of this Agreement. 3.2. Development Regulations. Except as noted in Sections 2.2 and 3.1, for a period of five years from the effective date of this Agreement, the Developers shall have the right to develop the Property in accordance with the Site Plan and the City’s ordinances, and regulation in effect on the date this Agreement becomes effective, and the Developers shall be considered to be vested as to the Site Plan, ordinances, and regulations under the current property rights vesting laws of the state of Washington, including but not limited to RCW 36.70B.180. Development Regulations include, but are not limited to, provisions of the City's Municipal Code in Titles 12, 13, 15, 16 ,17, and 18 such as the zoning code, subdivision code, stormwater management regulations, street standards, permit requirements, environmental review process; the East Wenatchee Urban Growth Area Design Standards and Guidelines; and other compliance mandates that govern development of the Property; furthermore, the Project shall be vested against any change in the Development Agreement Between the City of East Wenatchee, Wenatchee Productions Corporation, and Selkirk Development, LLC Page 6 of 11 Development Regulations, except as modified by this Agreement. Provided, that the Project shall comply with the International Building Code, Plumbing Code, Mechanical Code, Fire Code, and other regulatory codes adopted by the state of Washington that preempt the City's authority to alter compliance or vesting. . 3.3. Future Use of the Property. Nothing herein shall be deemed to permit any departures from the City's development standards except as provided herein. 4. DISPUTE RESOLUTION 4.1. Party Consultation. In event of any dispute as to interpretation or application of the terms or conditions of this Agreement, the Developers and the Mayor shall meet within ten business days after request from any party for the purpose of attempting, in good faith, to resolve the dispute. The meeting may, by mutual agreement, be continued to a date certain in order to include other parties or persons, or to obtain additional information 4.2. Judicial Appeal. Any aggrieved party may appeal the decision of the Mayor to the Douglas County Superior Court, as may be allowed by law and court rules. 5. GENERAL PROVISIONS 5.1. Hold harmless. WPC and Selkirk shall keep and save the City harmless from any and all claims, liabilities judgments, costs, damages, and expenses arising from any acts or omissions that may be done or suffered to be done under this Agreement by WPC or Selkirk, by any of their agents, servants, contractors, or employees, and shall keep and save the City harmless from any and all claims, liabilities, judgments, damages, costs or expenses, which may arise from any negligence of WPC or Selkirk, by any of their agents, contractors, or employees in obstructing, or in any manner disturbing any municipal improvement and shall keep and save the City harmless from any and all costs, damage, or expense arising from any obstruction of any city streets or from any disturbance of any existing municipal improvement due to the construction of the access points set forth in this Agreement. 5.2. Binding Effect. This Agreement shall be binding upon and inure to the benefit of the successors and assigns of each party hereto. The parties acknowledge that WPC shall have the right to assign or transfer all or any portion of the interests, rights and obligations under this Agreement to other parties acquiring an interest or estate in the property. Consent by the City shall not be required for any transfer or rights pursuant to this Agreement. It is the intent to have this Agreement, so long as it is in force, to be considered, interpreted, and regarded as a covenant running with the land as to WPC's Property. 5.3. Reservation of Authority to Impose New Regulations. The City specifically reserves authority, pursuant to RCW 36.70B.180(4), to impose new or different regulations to the extent required by a serious threat to public health and safety. 5.4. Duration. This Agreement shall vest Selkirk with the authority to develop the improvements detailed on Exhibit B for a period of five years from the date the Agreement becomes effective. These rights may be exercised by filing fully complete Development Agreement Between the City of East Wenatchee, Wenatchee Productions Corporation, and Selkirk Development, LLC Page 7 of 11 applications for street cut permit, binding site plan, sign permit, and building permit within such five-year period in accordance with state law and City ordinance. 5.5. Transfer of Ownership. The Developer’s right to sell, transfer, mortgage, convey or take any other similar action regarding the title to or financing for the Property shall not be infringed by this Agreement, provided however that any such transfer, sale, etc. shall be expressly subject to the terms and conditions, rights and obligations of this Agreement and the Site Plan. In any proposed transfer, the Developers (and any subsequent transferor) shall give actual notice to the interested party of the existence of this Agreement. 5.6. Obligations of Successors. This Agreement and the Site Plan shall be binding on all subsequent purchasers, lessees or lessors, and transferors of every nature. 5.7. Authority. The Parties warrant and represent to each other that the execution of this Agreement by their respective officers or agents has been duly authorized and that this Agreement, when fully executed, constitutes a valid, binding and legally enforceable obligation of itself. 5.8. Modification. This Agreement shall not be modified or amended except by mutual written agreement executed by the City Council and by the Developers or their respective successors in interest. 5.9. Entire Agreement. This Agreement contains all the terms and conditions agreed upon by the parties. No other understanding, oral or otherwise, regarding the subject matter of this Agreement shall be deemed to exist or to bind either of the parties hereto. 5.10. Enforcement Authority. Nothing in this Agreement shall alter or change the City’s enforcement authority under the City code or state law. 5.11. Duty of Good Faith. Each party hereto shall cooperate with the other in good faith to achieve the objectives of this Agreement. The parties shall not unreasonably withhold requests for information, approvals or consents provided for, or implicit, in this Agreement. 5.12. No Presumption Against Drafter. This Agreement has been reviewed and revised by legal counsel for all parties and no presumption or rule that ambiguity shall be construed against the party drafting the document shall apply to the interpretation or enforcement of this Agreement. 5.13. Execution by all Parties and Counter Parts. This Agreement shall not become effective and binding until executed by all parties. This Agreement may be executed in two (2) or more counterparts, each of which shall be deemed an original and all of which shall constitute a single instrument, and the signature of any party to any counterpart shall be deemed a signature to and may be appended to any other counterpart. 5.14. Notices. All communications, notices and demands of any kind which a party under this Agreement is required or desires to give to any other party shall be in writing and be either (1) delivered personally, (2) sent by facsimile transmission with an additional copy mailed first class, or (3) deposited in the U.S. mail, certified mail postage prepaid, return receipt requested, and addressed as follows: Development Agreement Between the City of East Wenatchee, Wenatchee Productions Corporation, and Selkirk Development, LLC Page 8 of 11 City of East Wenatchee Public Works Director 271 9th Street NE East Wenatchee, WA 98802 Wenatchee Productions P. O. Box 2506 Wenatchee, WA 98807-2506 Selkirk Development 309 W. 2nd, Suite 200 Spokane, WA 99201 Notice by hand delivery or facsimile shall be effective upon receipt. If deposited in the mail, notice shall be deemed received 48 hours after deposit. Any party at any time by notice to the other party may designate a different address or person to which such notice shall be given. Following the closing of any action transferring ownership of the property, the new owner shall notify the City in writing to remove a party from the notification list. 5.15. Effective Date and Recording. This Development Agreement, when approved by the City Council and executed by the parties hereto, shall be effective when recorded by the Douglas County Auditor in accordance with the provisions of RCW 36.70B.190. All costs of recording shall be borne by the Developers. 5.16. Severability. If any provision of this Agreement is determined to be unenforceable or invalid by a court of law, then this Agreement shall thereafter be modified to implement the intent of the parties to the maximum extent allowable under law IN WITNESS WHEREOF, the undersigned have set their hands the day and date set out next to their signatures. , CITY OF EAST WENATCHEE By: Attest: Steven C. Lacy, Mayor City Clerk Dana Barnard Date: ______________________ Date: ______________________ Approved as to form only: ___________________________ Devin Poulson, City Attorney Development Agreement Between the City of East Wenatchee, Wenatchee Productions Corporation, and Selkirk Development, LLC Page 9 of 11 WENATCHEE PRODUCTIONS CORPORATION By: Name: Title: Signature: Date: State of } } ss. County of } I certify that I know or have satisfactory evidence that _______________________________________ is the person who appeared before me and he/she acknowledged that he/she signed this instrument, on oath stated that he/she was authorized to execute the instrument and acknowledged it as the ______________________, for Wenatchee Production Corp, to the free and voluntary act for the uses and purposes mentioned in this instrument. Dated: This ______ day of _________________, 2010. Signature of Notary Print Name NOTARY PUBLIC in and for the State of Washington residing at My Appointment Expires: Development Agreement Between the City of East Wenatchee, Wenatchee Productions Corporation, and Selkirk Development, LLC Page 10 of 11 SELKIRK DEVELOPMENT, LLC By: Name: Title: Signature: Date: State of } } ss. County of } I certify that I know or have satisfactory evidence that _______________________________________ is the person who appeared before me and he/she acknowledged that he/she signed this instrument, on oath stated that he/she was authorized to execute the instrument and acknowledged it as the ______________________, for Selkirk Development, LLC, to the free and voluntary act for the uses and purposes mentioned in this instrument. Dated: This ______ day of _________________, 2010. Signature of Notary Print Name NOTARY PUBLIC in and for the State of Washington residing at My Appointment Expires: Development Agreement Between the City of East Wenatchee, Wenatchee Productions Corporation, and Selkirk Development, LLC Page 11 of 11 Exhibit A PROPERTY LEGAL DESCRIPTION Lot 1, East Wenatchee Land Company’s Plat of Section 14, Township 22 N., Range 20, E.W.M., Douglas County Washington, according to the plat thereof recorded in Volume A of Plats, Page 192, EXCEPT the south 285 feet thereof, and also EXCEPT the North 110 feet of the East 135 feet thereof, and also EXCEPT the North 10 feet thereof conveyed to Douglas County, Washington for road purposes by deeds recorded June 18, 1956 and September 24, 1962, under Auditor’s Nos. 121510 and 136691, respectively, also EXCEPT the South 170 feet of the North 180 feet of the West 212 feet thereof, and also EXCEPT the West 209 feet thereof lying southerly of the North 180 feet thereof, and EXCEPT that portion conveyed to the city of East Wenatchee by deed recorded October 3, 1990, under Auditor’s NO. 263918. Source of Legal Deed of Trust recorded on March 19, 1999, AFN 3019522 Exhibit B Page 1 of 2 Exhibit B Page 2 of 2