City Council

8. EXTENSION AND AMENDMENT OF EXCLUSIVE NEGOTIATING AGREEMENT WITH CD-MS (TUSTIN) LLC FOR A PORTION OF TUSTIN LEGACY DISPOSITION AREA 8B Request for approval of an extension of the Exclusive Negotiating Agreement with CD-MS (Tustin) LLC to continue the negotiating period for the disposition and development of a portion of Disposition Area 8B at Tustin Legacy for a senior congregate care facility project for an additional 180 days and waive any applicable extension deposits. Recommendation: It is recommended that the City Council take the following actions: 1. Approve an extension of the Exclusive Negotiating Agreement for an additional period of 90 days, with an option to grant an additional 90-day extension at the discretion of the City Manager in accordance with Section 4.2.2 of the Exclusive Negotiating Agreement, as well as waive the Exclusive Negotiating Agreementextension deposit for both 90-day periods. 2. Authorize the City Manager to execute an amendment to the Exclusive Negotiating Agreement reflecting the extension request submitted by CD-MS (Tustin) LLC subject to non- substantive additions or modifications as may be deemed necessary and/or recommended by the City's special real estate counsel or the City Attorney prior to the end of the Exclusive Negotiating Agreement Negotiating Period. Fiscal Impact: Pursuant to the terms of the Exclusive Negotiating Agreement, all Exclusive Negotiating Agreement extensions requiring City Council approval require a $100,000 deposit that is applicable to the purchase price if close of escrow occurs. CD-MS (Tustin) LLC has requested that this extension deposit be waived due to their monetary investment towards the project to date.