City Council

a.\nEXCLUSIVE NEGOTIATION AGREEMENT WITH RED MOUNTAIN GROUP\nSummary:\nRed Mountain Group, based in Santa Ana, California, is a private real estate\ninvestment, development, and redevelopment firm with a national portfolio of\nover 5 million square feet. The developer specializes in revitalizing underutilized\ncommercial and retail properties and has a strong track record of working with\ncities to support long-term economic development and commercial corridor\nreinvestment. The developer proposed two concepts to redevelop properties on\nCherry Street. Staff collaborated with Red Mountain Group to prepare the\nproposed Exclusive Negotiation Agreement (ENA) which outlines the terms,\nconditions, and project milestones for the exclusive negotiation period. The ENA\nsets a defined timeframe for Red Mountain Group to complete specific\nperformance tasks, such as due diligence and preliminary design efforts. If these\nrequirements are met, the City and Red Mountain Group would then negotiate a\nDisposition and Development Agreement. Staff recommends the City Council\napprove the proposed ENA, substantially in the form presented, to initiate\nnegotiations with Red Mountain Group for the potential development of the\nCherry Property sites.\nStrategic Plan Goal(s):\nGoal No. 1\nFinancial Stability: Ensure the City’s long-term financial stability\nand resilience.\nGoal No. 3\nEconomic Development: Improve the local economy, support local\nbusinesses, and create a vibrant downtown core.\nGoal No. 4\nInfrastructure: Maintain and Improve the City’s physical\ninfrastructure, waste system, and recreational spaces.\nRecommendation:\nStaff recommends the City Council approve the Exclusive Negotiation\nAgreement (ENA) between the City of Signal Hill and Red Mountain Group\nsubstantially in the form presented for the development of the Cherry Site,\nlocated on Cherry Avenue between Willow Street and 27th Street, comprised of\nmultiple parcels, totaling approximately 1.98 acres, and authorize the City\nManager to execute the ENA.