2004-05-18 Special CIC MinutesMINUTES OF THE SPECIAL COMMUNITY IMPROVEMENT COMMISSION MEETING
TUESDAY - - MAY 18, 2004 - - 7:31 P.M.
Chair Johnson convened the Special Meeting at 9:07 P.M.
ROLL CALL - Present: Commissioners Daysog, Gilmore, Kerr,
Matarrese and Chair Johnson - 5.
Absent: None.
MINUTES
(04 -023) Minutes of the Special Community Improvement Commission
Meetings of April 6, 2004 and May 4, 2004. Approved.
Commissioner Daysog moved approval of the minutes.
Commissioner Gilmore seconded the motion, which carried by
unanimous voice vote - 5.
AGENDA ITEMS
(04 -024) Recommendation to consider allocating funds for the
potential property acquisition and development for the proposed
expansion of Ron Goode Toyota. Accepted.
Robb Ratto, Park Street Business Association (PSBR), stated that he
supports the staff recommendation; signing the Disposition and
Development Agreement would allow the project to move forward; PSBR
considers the project to be a potential catalyst project for the
northern part of the district.
Chair Johnson stated that the City put a great deal of effort in
working with Ron Goode Toyota and was willing to commit the money
necessary to keep Ron Goode Toyota in Alameda.
Commissioner Kerr inquired how much sales tax would be generated
over the next 10 years, to which the Executive Director responded
approximately $7 million per year.
Commissioner Kerr stated that the development area was between
Clement Avenue, Eagle Avenue and Park Avenue; that the westwardly
proposed line ran behind the Baron building and the canvas shop;
inquired whether the project would involve the Victorians to the
west.
The Executive Director stated that the project would not affect
properties beyond those identified.
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May 18, 2004
Commissioner Daysog stated that Ron Goode Toyota has been great for
the City; that the City should do what was necessary to improve the
northern side of Park Street.
Commissioner Kerr stated that the Knowles improvements have
beautified the southern portion of the Park Street business area.
Commissioner Gilmore moved approval of the staff recommendation.
Commissioner Matarrese seconded the motion, which carried by
unanimous voice vote - 5.
(04 -025) Resolution No. 04 -125, "Resolution of Necessity to
Acquire Property by Eminent Domain for Redevelopment Purposes;
Authorizing Commencement of Litigation to Acquire Property and for
Order of Possession; Code of Civil Procedure Section 1245.235 et
seq. (2531 Blanding Avenue, Alameda, CA - Rite - Aid)." Adopted.
Raymond Payne, Rite Aid Drug Stores, stated that he is opposed to
the recommendation which would result in the condemnation of Rite
Aid; the condition of the property and the store do not reflect
well on Rite Aid or the shopping center; for ten years, there have
been continual discussions with the landlord and various parties
about the threat or the promise of redevelopment; lack of
investment in the property is the result of continual proposals
being presented to do something different with the property; that
both the City and Rite Aid would benefit if Rite Aid stays in the
City; Rite Aid has served the community for over 30 years; Rite Aid
has done everything to be part of the project; inquired why the
City would pay Rite Aid to leave; the cost of Rite Aid's departure
is more than the City realizes; requested Rite Aid be considered as
a part of the project and the City.
Lee Rosenthal, Thrifty Payless Corporation /Rite Aid, stated the
Community Improvement Commission is governed by Community
Redevelopment Law which creates certain rights for property and
business owners who are proposed to be displaced by redevelopment
projects; a right provided is a reasonable opportunity to re -enter
the existing businesses in the project area; the Commission's
responsibility as the Redevelopment Agency is to provide a
reasonable opportunity to Rite Aid; the redevelopment project will
replace the existing shopping center with a new, improved center
that has spaces that could and should accommodate a new Rite Aid;
Regency [developer] has told Rite Aid that it does not want a Rite
Aid store in the center; the reason, not because the center is a
clothing or furniture specialty center, not because it is a
residential project that does not accommodate retail or because
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May 18, 2004
Regency has a policy excluding drug stores; Regency's ten northern
California shopping centers have supermarkets with drug stores;
Rite Aid is being excluded so that Regency can give an exclusive
drug store franchise to Nob Hill Foods; Rite Aid is not being given
a reasonable opportunity to re -enter business in the project area;
in 2001 and 2002, Rite Aid had discussions with Mr. Mr. Doug Wiele
[developer] regarding the property; two years later the City bought
the shopping center; the City sold the property to Rite Aid and
Regency; Rite Aid, at the request of the City, requested an
opportunity to be part of the center and Regency said no; there is
a financial incentive for the City to work to have Ride Aid
relocated in the center; agreement with Regency has a $1.5 million
cap on what Regency is obligated to spend for acquisition; Rite
Aid's appraisals of its interest in the center is $2.5 million
which is money that the redevelopment agency would pay; there
should be an incentive for the City not to adopt the resolution and
put Regency and Rite Aid in a situation where Rite Aid can have a
store in the center.
Commissioner Kerr stated that she was unaware of Rite -Aid's desire
to stay in Alameda; that she could not agree with the Planning
Board's assessment.
Commissioner Daysog stated that it was important to move forward
with the project for the Fernside Boulevard residents.
Chair Johnson concurred with Commissioner Daysog.
Commissioner Matarrese concurred with Commissioner Daysog; stated
twelve years of blight needs to be rectified.
Commissioner Kerr inquired how much sales tax Rite -Aid produces
yearly.
Mr. Payne responded that general sales are in excess of $6 million
per year.
Commissioner Kerr inquired whether Nob Hill Foods would include a
pharmacy; to which the Development Services Director responded in
the affirmative.
Commissioner Matarrese moved adoption of the Resolution.
Commissioner Daysog seconded the motion, which carried by the
following voice vote: Ayes: Commissioners Daysog, Gilmore,
Matarrese and Chair Johnson - 4. Noes: Commissioner Kerr - 1.
(04 -026) Resolution No. 04 -126, "Resolution of Necessity to
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May 18, 2004
Acquire Property by Eminent Domain for Redevelopment Purposes;
Authorizing Commencement of Litigation to Acquire Property and for
Order of Possession; Code of Civil Procedure Section 1245.235 et
seq. (2523 Blanding Avenue, Alameda, CA - Launderland)." Adopted.
Commissioner Daysog moved adoption of the Resolution.
Commissioner Matarrese seconded the motion, which carried by the
following voice vote: Ayes: Commissioners Daysog, Gilmore,
Matarrese and Chair Johnson - 4. Abstentions: Commissioner Kerr -
1.
ADJOURNMENT
There being no further business, Chair Johnson adjourned the
special meeting at 9:35 p.m.
Respectfully Submitted,
Lara Weisiger
Secretary, Community Improvement
Commission
The agenda for this meeting was posted in accordance with the Brown
Act.
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May 18, 2004