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HomeMy WebLinkAboutReso 40-19 new loan LS 82-85 725 EmbarcaderoRESOLUTION NO. 40-19 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MORRO BAY, CALIFORNIA CONDITIONALLY AUTHORIZING THE MAYOR TO EXECUTE DOCUMENTS NECESSARY FOR A NEW LOAN AND ACCEPTING A DEED OF TRUST RELATED THERETO FOR LEASE SITE 82-85/82W-85W WITH 725 EMBARCADERO, LLC, LOCATED AT 725 EMBARCADERO ROAD, MORRO BAY THE CITY COUNCIL City of Morro Bay, California WHEREAS, the City of Morro Bay is the lessor of certain properties on the Morro Bay Waterfront described as City Tidelands leases and properties; and WHEREAS, 725 Embarcadero, LLC (Doug Redican, hereafter "Tenant") has been the lessee of Lease Site 82-85/82W-85W since 1988 and is a tenant in good standing; and WHEREAS, Tenant is completing a partial redevelopment of the site as -required in the Lease Agreement consisting of conversion of the existing upstairs restaurant space to ten transient occupancy hotel units, including public benefits and other associated improvements; and WHEREAS, Tenant wishes to encumber the leasehold interest with a $4,000,000 loan from Sesloc Federal Credit Union to fund completion of the improvements; and WHEREAS, the City cannot unreasonably withhold approval of such financing. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Morro Bay, California, the Mayor is hereby authorized to execute, as necessary, any and all documents, as approved by the City Attorney and Harbor Director, necessary to consummate the loan and deed of trust desired by Tenant. PASSED AND ADOPTED by the City Council of the City of Morro Bay at a regular meeting thereof held on the 28th day of May, 2019 on the following vote: AYES: NOES: ABSENT ATTEST: one Headding, Addis, None N ana Swanson, City Clerk Davis, Heller. McPherson