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REDEVELOPMENT AGENCY OF SALT LAKE CITY
RESOLUTION NO. R-24-2019
Block 67 North Project Area Tax Increment Reimbursement Agreement
RESOLUTION OF THE BOARD OF DIRECTORS OF THE REDEVELOPMENT AGENCY OF SALT LAKE CITY APPROVING A TAX INCREMENT REIMBURSEMENT AGREEMENT WITH West Quarter Residential I, LLC and West Quarter Lodging I, LLC
WHEREAS, the Redevelopment Agency of Salt Lake City (“Agency”) was created to transact the business and exercise the powers provided for in the Utah Community Reinvestment Agency Act.
WHEREAS, the Agency’s Board of Directors and the Salt Lake City (“City”) Council created the Block 67 North Community Reinvestment Area (“Project Area”).
WHEREAS, West Quarter Residential I, LLC and West Quarter Lodging I, LLC (collectively, “Owners”) own or will own (or their affiliates will own) real property located in the Project Area (“Property”), which Project Area and Property boundaries are depicted on the map attached hereto as Exhibit B.
WHEREAS, Owners are building the Project in two phases and the completed project with both phases will include a public walkway, hotel, residential and retail properties (the “Project”).
WHEREAS, the Agency has executed interlocal agreements with Salt Lake County (“County”) and the City authorizing the Agency to receive a certain percentage of the tax increment for the Project Area and setting the base taxable value for the Property at $2,514,700.
WHEREAS, the County received $15,000,000 in transportation funds from the State of Utah (the “Transportation Funds”), which it desires to use to support Owners’ construction of an underground parking facility in the Project, and the County has requested that after Owners receive such funds, the County will be repaid (to the extent available) from the tax increment generated from the Lot 1 and 2 of the Property.
WHEREAS, Owners and the County have requested (i) Agency participation as a pass-through for the Transportation Funds to Owners, and (ii) that Agency and Owners execute a tax increment reimbursement agreement to commit the tax increment generated from Lots 1 and 2 to repay the Transportation Funds to the County subject to the conditions set forth in this Agreement.
WHEREAS, Agency is willing to act as a pass-through for the Transportation Funds if certain public benefits are included in the Project and if Owners commit to (a) provide certain improvements to the Property that will benefit the Intermountain Buddhist Church and the Japanese Church of Christ (the “Churches”), which own real property adjacent to the Property; and (b) make certain commitments to cooperate with the Churches, which commitments are more fully described in Exhibit C attached hereto.
NOW, THEREFORE. BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE REDEVELOPMENT AGENCY OF SALT LAKE CITY, that the term sheet for the tax increment reimbursement between the Agency and Owners which attached hereto as Exhibit A is hereby approved.
The Board hereby authorizes the Executive Director to negotiate and execute a tax increment reimbursement agreement with Owners pursuant to the terms of the attached term sheet. The documents shall also incorporate such other terms as recommended by the Salt Lake City Attorney’s Office.
Passed by the Board of Directors of the Redevelopment Agency of Salt Lake City, this 10th day of December, 2019.