HomeMy WebLinkAbout202 - 12/14/1999 - AUTHORIZING THE CONVEYENCE OF 21 SQUARE FEET OF CITY PROPERTY TO THE OWNER OF THE NORTHERN HOTEL (EM EMERGENCY ORDINANCE NO. 202, 1999
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AUTHORIZING THE CONVEYANCE OF 21 SQUARE FEET OF CITY
PROPERTY TO THE OWNER OF THE NORTHERN HOTEL
WHEREAS,in 1978,the City Council adopted Resolution 78-37,which pledged the City's
fullest cooperation and assistance to any and all parties actively engaged in the restoration and
reconstruction of the Northern Hotel located at 172 North College Avenue; and
WHEREAS,Funding Partners for Housing Solutions and the National Development Council,
have formed a limited partnership, Northern Hotel Fort Collins, L.P. (the "Partnership") that will
own and redevelop the Northern Hotel including an historic renovation, commercial retail space,
public space, and rental housing units; and
WHEREAS,funding for the redevelopment of the Northern Hotel(the "Project")will come
from a variety of sources including Historic Tax Credits and grants,Housing Tax Credits and grants,
HOME Program,and City of Fort Collins contributions,including funds granted to the City by the
Downtown Development Authority (the "DDA"); and
WHEREAS, it is the objective of the City to enhance the quality of life in Fort Collins by
the preservation of historic resources and the inclusion of heritage in the daily life and development
of the City and the community; and
WHEREAS, it is a stated goal of the City to safeguard the remnants of the City's historical
past against vandalism, neglect, and inappropriate redevelopment; and
WHEREAS, the Project would advance the preservation of an historic resource of
significance and visual prominence in downtown Fort Collins; and
WHEREAS,on February 2, 1999,the City Council adopted Resolution 99-16,approving the
City's Priority Affordable Housing Needs and Strategies Report,dated February 2, 1999,which sets
forth the City's priorities and strategies for the development and enhancement of affordable housing
resources in Fort Collins; and
WHEREAS,the Project, which will include affordable rental units targeted for lower low-
income households, advances the goals and objectives of the Priority Affordable Housing Needs
and Strategies Report; and
WHEREAS,the economic viability and development of the downtown Fort Collins area is
of great importance to the City, and has been a priority for the City in the planning and
implementation of various plans and projects; and
WHEREAS, the Northern Hotel Project will contribute to the ongoing development and
improvement of downtown Fort Collins,and will encourage further economic growth and prosperity
in the downtown area; and
WHEREAS, in view of the foregoing public benefits to be served by the Northern Hotel
Project, on August 3, 1999, the Council adopted on second reading Ordinance No. 121, 1999,
appropriating Prior Year Reserves in the Sales and Use Tax Fund to partially fund the restoration
of the Northern Hotel, contingent upon the execution of an agreement between the City and the
Partnership consistent with the terms thereof; and
WHEREAS, having negotiated with the Partnership and executed in accordance with
Ordinance No. 121, 1999, a Northern Hotel Restoration Agreement and related documents, which
provided for license rights in the lobby of the Northern Hotel, and affordable housing guarantees,
and other provisions to protect the interests of the City in the Project, on November 16, 1999, the
City Manager provided to the Partnership the amount of$1,001,000 in financial support for the
Project, which amount included a grant to the City for such purpose from the DDA in the amount
of$331,000; and
WHEREAS, using funds provided by the City, together with other Project funds, the
Partnership acquired the Northern Hotel on November 16, 1999; and
WHEREAS,in the course of finalizing the financing arrangements for the Project,including
completion of contractual arrangements for the contributions of equity investors and the completion
of a construction loan for the Project,a survey of the Northern Hotel determined that a small portion
of the northern end of the Northern Hotel building approximately 21 square feet in size, as more
particularly described on Exhibit"A",attached hereto and incorporated herein by this reference(the
"Encroachment Area"),encroaches upon the City's right of way at the intersection of North College
Avenue and Walnut Street; and
WHEREAS,City staff has determined that the encroachment of the Northern Hotel into the
Encroachment Area,a condition that has existed for the life of the Northern Hotel,does not interfere
with the City's current or future use and development of its right of way,and that conveyance of the
Encroachment Area to the Partnership will not have a detrimental impact upon the City; and
WHEREAS,Section 23-111 of the City Code provides that the Council is authorized to sell,
convey or otherwise dispose of real property owned by the City,provided the Council first finds by
ordinance that any sale or disposition of real property owned by the City is in the best interest of the
City; and
WHEREAS, given the limited size of the Encroachment Area (21 square feet), the
approximate fair market value of that property($20 per square foot),the Council's intent and desire
to support the Project and the benefits to be gained by the City from the completion of the Project,
staff has recommended that no compensation be required for the conveyance of the Encroachment
Area; and
WHEREAS,the viability and continued progress of the Project is dependent upon completing
the financing arrangements that are being held in abeyance due to the above-described encroachment
issue,and investors and the lender involved in those arrangements have determined that resolution
of the encroachment issue is necessary prior to their proceeding with those financing arrangements;
and
WHEREAS,the financing arrangements for the Project must be completed prior to the end
of the calendar year in order for the rate and terms that have been offered therefor to remain available
to the Project, and the financial viability of the Project is dependent upon retaining said rate and
terms; and
WHEREAS, no further meetings of the Council are scheduled or practicable until after the
beginning of the next calendar year; and
WHEREAS, under Section 6 of Article II of the City Charter, the City Council, upon the
affirmative vote of at least five (5)members of the Council, may enact an emergency ordinance as
necessary to protect the health, safety and welfare of its citizens, which ordinance shall take effect
immediately upon its passage; and
WHEREAS, the City Council believes that the enactment of an emergency ordinance to
authorize the conveyance of the Encroachment Area is necessary and appropriate in order to avoid
allow the Northern Hotel Project to proceed.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS as follows:
Section 1. That the conveyance of the Encroachment Area to the Partnership onthe terms
and conditions described above is in the best interests of the City.
Section 2. That the Mayor is hereby authorized to execute such instruments as are
necessary to convey to the Partnership by quit claim deed the Encroachment Area.
Section 3. Thatthe immediate adoption of this ordinance is necessary to preserve, protect
and advance the general welfare of the residents of the City of Fort Collins by preventing the recently
discovered encroachment from preventing the Northern Hotel Proj ect from proceeding and therefore
placing at risk the funds invested by the City in the Project and defeating the important public
objectives to be achieved by the Project, and that the Council hereby determines that an emergency
exists requiring the immediate passage of this ordinance.
Section 4. That,for the foregoing reasons,this ordinance is enacted pursuant to Section
8 of Article 11 of the Charter of the City of Fort Collins as an emergency ordinance,and that the same
shall be immediately effective upon its passage.
Introduced, considered favorably by seven (7) members of the Council of the City of Fort
Collins and finally passed as an emergency ordinance and ordered published this 14th day of
December, A.D. 1999.
Mayor
ATTEST:
Aa
0
City Clerk `
LANDSTAR SURVEYING, INC. EXHIBIT"A"
EMERGENCY ORDINANCE No.202,1999
That portion of the street right-of-way at the intersection of
College Avenue and Walnut Street being adjoining to the North line
of Lot Aity of F
rt Collins ,
according to
the plat,
recorded July of Block 18 , C 2 , 1988 i Colorado,
n Plat Book 1
Page27 , described
as follows :
Considering the West line of Lots 9 - 22 and Lot A, of said Block
18 as bearing North 00057139" West and with all bearings contained
herein and relative thereto.
Beginning at the Northwest Corner of said Lot A as monumented with
a nail and 1" shiner LS #17662 ; thence along the North line of said
Lot A North 89*01138" East , a distance of 12 .07 feet to the
Northeasterly face of the Northern Hotel building; thence along
said Northeasterly face North 49*32111" West , a distance of 5. 51
feet to the Northwesterly face of said Northern Hotel building;
thence along said Northwesterly face South 64°22112" West , a
distance of 8 .74 feet to the Point of Beginning. Containing 22 .00
square feet , more or less .
2288EX1
12/10/99
I , David M. Poeschl , being a Registered Land Surveyor under the
laws of the State of Colorado, do hereby certify that this land
description was prepared by me or under my direct supervision,
responsibility and sing and is true and accurate to the best of
dge. ,rMEL PD.,,
David M. Poes 2 62
DAVESIG
�.pF f':.ine`P�
1327 N. Lincoln Ave., Loveland CO 80537
_- Tel: 970-667-3294 Walden: 970-723-3294
Fax: 970-667-7151 E-mail: landstar@info2000.net