Explanation
Background: In 2003, the City, Board of County Commissioners of Franklin County Ohio ("County"), and the Zoological Park Association (the "Zoo") transferred a 12 acre + tract of land, located on the eastern boundary of Zoo property south of Powell Road, to the New Hope Reformed Church (the "Church") in exchange for certain monetary considerations and a 19-acre + tract of real property owned by the Church. As a term of the aforementioned transfer, the Church was given 3 years to construct a new Church on the 12-acre tract and to abandon their existing building on the 19-acre + tract. The City, County and Zoo also required a "right of first refusal" be placed in the deed to the 12 acre + tract, which would permit the City, County, or Zoo to buy the property back at the purchase price, in the event the Church decided to sell the 12 acre + tract rather than use it for its new Church building. The right of first refusal, as drafted, is preventing the Church from obtaining necessary financing for its new Church building. The City, County, Zoo, Church and lender wish to enter into an "Subordination Agreement", related to "the right of first refusal" in order to protect the lender's security in the property. The aforementioned agreement will not adversely affect the underlying purpose for which the City, County and Zoo had required the right of first refusal. It is now necessary to authorize the Executive Director of the Recreation and Parks Department to sign the aforementioned Subordination Agreement.
Fiscal Impact: N/A
Emergency Justification: Emergency action has been requested to allow to Church to make construction draws on its loan in order to complete its building on time.
Title
To authorize the Executive Director of the Recreation and Parks Department to execute those documents necessary to enter into a "Subordination Agreement" related to the "right of first refusal" contained in the deed from the City of Columbus and Franklin County to the New Hope Reformed Church, and to declare an emergency.
Body
WHEREAS, in 2003, the City, and Franklin County transferred a 12 acre + tract of land to the New Hope Reformed Church in exchange for certain monetary considerations and a 19-acre tract + of real property owned by the Church; and
WHEREAS, as a term of the aforementioned transfer, the Church was given 3 years to construct a new Church on the 12 acre + and to abandon their existing building on the 19-acre tract; and
WHEREAS, the City, County and Zoo also required a "right of first refusal" be placed in the deed to the 12 acre + tract, which would permit the City, County, or Zoo to buy the property back at the purchase price, in the event the Church decided to sell the 12 acre + tract rather than use it for its new Church building; and
WHEREAS, the "right of first refusal", as drafted, is preventing the Church from obtaining necessary financing for its new Church building; and
WHEREAS, the City, County, Zoo, Church and the Reformed Church in America Building and Extension Fund ("the Lender") wish to enter into an "Subordination Agreement", with respect to the "right of first refusal" in order to protect the Lender's security in the property; and
WHEREAS, the aforementioned agreement will not adversely affect the underlying purpose for which the City, County and Zoo had required the right the right of first refusal; and
WHEREAS, an emergency exists in the usual daily operation of the City of Columbus, in that it is immediately necessary to authorize the Executive Director of the Recreation and Parks Department to execute those documents necessary to enter into a Subordination Agreement between, the City, County, Zoo, the Church, and the Lender for the purpose of protecting the lender's security in the property without adversely affecting the underlying purpose for the which the right of refusal was required for the immediate preservation of the public health, peace, property and safety; now, therefore:
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. That the Executive Director of the Recreation and Parks Department be and hereby is authorized to execute those documents, as approved by the Department of Law, Real Estate Division, necessary to enter into a Subordination Agreement to related to the right of first refusal within the deed from the City of Columbus, Board of County Commissioners of Franklin County Ohio, to the New Hope Reformed Church, for the purpose of protecting the Lender's security in the property without adversely affecting the underlying purpose for the which the right of refusal was required.
Section 2. That for the reasons stated in the preamble hereto, which is hereby made apart hereof, this ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after passage and approval by the Mayor or ten days after its passage if the Mayor neither approves nor vetoes the same.