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CC - Item 7E - Quitclaim Deed to Manheim Investments Inc, For City Property Adjacent to Previously Vacated Street at Denton Avenue Between Garvey and VirginiaROSEMEAD CITY COUNCIL STAFF REPORT TO: THE HONORABLE MAYOR AND CITY COUNCIL FROM: JEFF ALLRED, CITY MANAGER DATE: APRIL 27, 2010 SUBJECT: QUITCLAIM DEED TO MANHEIM INVESTMENTS, INC. FOR CITY PROPERTY ADJACENT TO PREVIOUSLY VACATED STREET AT DENTON AVENUE BETWEEN GARVEY AVENUE AND VIRGINIA STREET SUMMARY On August 14, 2007, the City Council approved Resolution No. 2007-27, vacating Denton Avenue between Garvey Avenue and Virginia Street. This vacation was completed and recorded at the request of the Los Angeles Dealer Auto Auction (LADAA) in order to allow the LADAA to consolidate operations and secure its main parking lot at this location. During the recent sale of the LADAA property, it was determined that the City still holds a small portion of Denton Avenue in fee. A quitclaim deed is necessary to convey the release of this property. Staff Recommendation It is recommended that the City Council: 1. Approve Resolution No. 2010- 271, determining that the value of the parcel described in Attachment 1 is of nominal value and authorizing the quitclaim deed to Manheim Investments, Inc.; 2. Authorize the City Manager to sign the attached quitclaim deed for the parcel. DISCUSSION In 2007, the City Council approved the vacation of Denton Avenue between Garvey Avenue and Virginia Street (Attachment 2). This portion of Denton Avenue is 45 feet wide, approximately 410 feet long, and was previously used as a private driveway and parking area for the LADAA. During the recent sale of the LADAA property, a preliminary title report was prepared describing the state of title of the property. Subsequently, staff was informed that a 4 APPROVED FOR CITY COUNCIL AGENDA: ITEM NO. -LE V I l?-~ 1 r~ I A ~ATf~'. Lrly► ~t~ob La Z o~ Z~ o t Y D. i O Y J p k f ~'PN Co'~8~ • o~i b - oo ~ CA-C~ OVO tZO%MEA-D RECORDING REQUESTED BY WHEN RECORDED MAIL TO AND MAIL TAX STATEMENTS TO NAME : Randall R. Smith ADDRESS: Six Concourse Parkway, Suite 1800 CITY: Atlanta STATE & ZIP; Georgia 30328 TITLE ORDER NO. ESCROW OR LOAN NO. APN NO. QUITCLAIM DEED THE UNDERSIGNED GRANTOR(s) DECLARE(s) DOCUMENTARY TRANSFER TAX is None - No Consideration Given CITY TAX NA ❑ computed on full value of property conveyed, or ❑ computed on full value less value of liens or encumbrances remaining at time of sale, ❑ Unincorporated area: XX❑ City of Rosemead, and FOR A VALUABLE CONSIDERATION, receipt of which is hereby acknowledged, The City of Rosemead, a municipal corporation (the "Grantor") hereby remise, release and forever quitclaim to Manheim Investments, Inc. a Nevada corporation, successor by merger to California Auto Dealers Exchange, L.L.C., a Delaware limited liability company the following described real property in the County of Los Angeles, State of California: That portion of Lot 26 of Tract No. 4747, as per map recorded in Book 50, Page 52 of Maps, in the office of the County Recorder of said County, described as follows: Beginning at the Southwesterly corner of said lot; thence Easterly along the Southerly line of said lot to the Easterly line of the Westerly 4 feet of said lot; thence Northerly along said Easterly line to the beginning of a tangent curve concave Southeasterly and having a radius of 20 feet, said curve being tangent at its Easterly terminus with the Northerly line of said lot; thence Northeasterly along said curve to said Easterly terminus; thence Westerly, Southwesterly, and Southerly along the Northerly, Northwesterly and Westerly lines of said lot to the point of beginning. Together with that portion of Denton Avenue as shown on the map of said Tract No. 4747 which would pass with a conveyance of the foregoing described property and the remainder of Lot 26 of said Tract No. 4747. City of Rosemead, a municipal corporation By: Name: State of California County of On before me, (here insert name and title of the officer), personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature (Seal) DOCUMENT PROVIDED BY STEWART TITLE OF CALIFORNIA. INC OUITCLM DOC 47.,„. / J'- ROSEMEAD CITY COUNCIL STAFF REPORT TO: THE HONORABLE MAYOR AND CITY COUNCIL FROM: OLIVER CHI, INTERIM CITY MANAGER ~G--C- DATE: AUGUST 14, 2007 SUBJECT: RESOLUTION NO. 2007-27 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD ORDERING THE VACATION OF DENTON AVENUE BETWEEN GARVEY AVENUE AND VIRGINIA STREET SUMMARY On June 26, 2007, the City Council adopted Resolution No. 2007-23 declaring its intention to vacate Denton Avenue between Garvey Avenue and Virginia Street, and setting July 24, 2007 as the date for a public hearing on this matter. Due to the lack of a quorum and cancellation of the City Council's July 24, 2007 meeting, the public hearing was rescheduled to August 14, 2007. Staff Recommendation It is recommended that the City Council adopt Resolution No. 2007-27 vacating Denton Avenue between Garvey Avenue and Virginia Street. ANALYSIS Following the City Council's adoption of Resolution No. 2007-23 on June 26, 2007, declaring its intention to vacate Denton Avenue between Garvey Avenue and Virginia Street, staff sent letters to the affected utility companies and public works agencies requesting the location of their facilities and comments on the proposed street vacation. Staff also contacted the police and fire departments for comments. The City received responses from the Los Angeles County Department of Public Works, Southern California Edison, and Southern California Gas Company requesting that access be maintained for facility maintenance. To address these requests, the attached street vacation resolution reserves the necessary utility easements. PUBLIC NOTICE PROCESS This item has been noticed through the regular agenda notification process. Notice of the public hearing was provided in accordance with Section 8322 of the Streets and Highways Code which requires publication of the notice of public hearing at least two times and posting of the street at least 15 days prior to the hearing. Pr are~y: 7 e Ifon , P. E. Deputy City Engineer by: S Ii Interim Community Development Director Attachment: Resolution No. 2007-27 APPROVED FOR CITY COUNCIL AGENDA: 0 RESOLUTION NO. 2007-27 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD ORDERING THE VACATION OF DENTON AVENUE BETWEEN GARVEY AVENUE AND VIRGINIA STREET WHEREAS, the City Council of the City or Rosemead approved Resolution No. 2007-23, declaring its intention to vacate Denton Avenue between Garvey Avenue and Virginia Street and establishing the time and place for the public hearing on said vacation; and WHEREAS, notice of the public hearing was published and posted as required by law; and WHEREAS, all protests in this manner have been duly considered; and WHEREAS, the vacation proceedings conform with the requirements of Section 8300 to 8349 of the Streets and Highways Code. NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF THE CITY OF ROSEMEAD AS FOLLOWS: Section 1: The City Council finds from all evidence submitted that Denton Avenue between Garvey Avenue and Virginia Street described in the Resolution of Intention, Resolution No. 2007-23, is unnecessary for present or prospective public use purposes. Section 2: The City Council therefore orders vacated, for public use purposes Denton Avenue between Garvey Avenue and Virginia Street more particularly described in Exhibit "A" and shown in Exhibit "B", attached hereto and incorporated herein by this reference. Section 3: The City Council hereby reserves an easement, in favor of the County of Los Angeles, over Denton Avenue between Garvey Avenue and Virginia Street as described in Exhibit "A". The easement shall reserve the right to construct, maintain, operate, replace, or renew storm drains and appurtenant structures in, upon, over, and across the area to be vacated. Section 4: The City Council hereby reserves an easement over Denton Avenue between Garvey Avenue and Virginia Street as described in Exhibit "A" for the Southern California Edison Company to from time to time construct, maintain, operate, replace, remove, and renew such aerial and underground facilities (including ingress thereto and egress therefrom) consisting of poles, anchors, guys, cables, wires, cross-arms, conduit, manholes, handholes, markers, pedestals, terminal equipment cabinets, electrical conductors and necessary fixtures and appurtenances. Section 5: The City Council hereby reserves an easement over Denton Avenue between Garvey Avenue and Virginia Street as described in Exhibit "A" for the Southern California Gas Company to lay, construct, maintain, operate, repair, replace, patrol, change the size of, add to, or remove from time to time, as necessary, one or more pipelines and conduits, together with metering, measuring, regulating, cathodic protection, communications and other appurtenances. PASSED, APPROVED, AND ADOPTED by the City Council of the City of Rosemead on this 14th day of August 2007. JOHN TRAN MAYOR ATTEST: NINA CASTRUITA CITY CLERK EXHIBIT "A" LEGAL DESCRIPTION OF A PORTION OF VIRGINA STREET AND DENTON AVENUE (formerly Conroy Avenue) TO BE VACATED Those portions of Denton Avenue and Virginia Street, in the City of Rosemead, County of Los Angeles, State of California, bounded as follows: Southerly by the northerly line of Garvey Avenue, 100 feet wide, as shown on Parcel Map No. 12390, as filed in Book 131, Pages 41 and 42 of Parcel Maps, in the Office of the County Recorder of said County; Easterly by the easterly lines of Denton Avenue and Virginia Street, as shown on said Parcel Map No. 12390; Northerly by the northerly line of Virginia Street as shown on said Parcel Map; Westerly by the following described line: Beginning at a point on the northerly line of said Virginia Street distant thereon South 89°25'23" West, 65.25 feet from the northeasterly corner of said street, as shown on said Parcel Map No. 12390; thence South 00°34'37" East, 37.50 feet to the beginning of a curve concave northwesterly and which is coincident with the northerly prolongation of that certain curve described in the deed recorded April 20, 2004 as Instrument No. 04-0965207, Official Records of said County; thence southwesterly along said curve, 18.92 feet through a central angle of 33°21'08" to a curve on the easterly line of Lot 19 of Tract No. 4747, as shown on map recorded in book 50 Page 52 of Maps, in the Office of the County recorder of said County; thence southerly along said curve and the tangent portion forming said easterly line of Lot 19 to the southeasterly comer of said lot; thence westerly along the southerly line of said lot to a line parallel with and 5.00 feet westerly of said easterly line; thence southerly along said parallel line to the beginning of a curve concave northwesterly, having a radius of 19.00 feet, and which is tangent at its southwesterly terminus to said northerly line of Garvey Avenue; thence southerly along said curve to said northerly line of Garvey Avenue. Reserving therefrom easements for public and non-public utilities and incidental purposes thereto, ingress and egress, sanitary sewer, and parking purposes, with the right to grant future easements over the above described portions of Denton Avenue and Virginia Street. As shown on Exhibit "B" attached hereto and by this reference made a part hereof Prepared under my supervision: v David 0. Knell PLS 301 Date } Ls. C-301 ~ CAwpdocskosemeaftenton vacation.doc \V; Fp' 12-31-07 May 29, 2007 • EXHIBIT "B" N89'25'23"E 65.25' - VIRGINIA_ STREET Noo•337350 - R=32~so-o8 - L=18.9 ' 1N5T. NO RACT I NO, 14747 m d E3. LOT 19 50 - 52 201 24 1 1 20'1 24' 25'120' LOT 24 z W on z LOT 32 Z W W > a4 25' 124' GARVEY 0 u, 0 r7 0 z UL l< W U .q cl , s , a_ 0 AVENUE 0 In wiliaan WILLDAN SCALE 1'=60' DATE MAY 29. 2007 SKETCH TO ACCOMPANY ENGINEERS a PLANNERS DRAWN BY 0-BEYER8ACH OENTONVAC.DGN 7Z7 17797 CROSSROADS VARRMA7 NORTH. SUITE ,os POS A K LEGAL DESCRIPTION INDUSTRY. CA. 91746-3d97 562, 908-6200 CHECKED BY D.KNELL D/ E E +1RGINIAST J 0 In EMAIL: lawrencedbrown@msn.com LAWRENCE D. BROWN REAL ESTATE APPRAISER POST OFFICE BOX 50101 PASADENA, CALIFORNIA 91115 January 29, 2010 Mr. Jeff Allred City Manager City of Rosemead 8838 East Valley Boulevard Rosemead, California 91770 Re: Denton Avenue Street Vacation Dear Mr. Allred: TELEPHONE (626) 755-1932 I have been asked to express an opinion of value for the underlying, fee interest in a small parcel of vacated street right-of-way which has for many years been used jointly with a large adjacent parcel. The subject property extends along the east side of vacated Denton Avenue commencing approximately 162 feet north of Garvey Avenue. It is irregular in shape and, excluding a small triangular portion at the north end, dimensions are four feet east-west by 189 feet north-south. I have estimated a land area to be approximately 800 square feet. As a result of the prior street vacation, this strip is only accessible from the adjacent land. Land interests such as the subject are usually referred to as "nuisance" parcels and, given its configuration, the only use potential and value for the subject is to the adjacent property owner. In fact, that owner previously acquired the surface right by virtue of the street vacation and the only effect of the subject ownership is to "cloud" title. Based on my experience, knowledge and investigation I have formed an opinion that market value for the subject property is nominal on January 29, 2010. hereby certify that I have no financial or other interest in the subject property. Respectfully submitted, Lawrence D. Brown LDB:dmh RESOLUTION NO. 2010- 27 AUTHORIZING THE CITY MANAGER AND CITY CLERK TO EXECUTE A QUITCLAIM DEED TERMINATING ANY INTEREST THE CITY OF ROSEMEAD MAY HAVE IN A PORTION OF DENTON AVENUE BETWEEN GARVEY AVENUE AND VIRGINIA STREET WHEREAS, the City Council of the City of Rosemead approved Resolution No. 2007-23, declaring its intention to vacate Denton Avenue between Garvey Avenue and Virginia Street and establishing the time and place for the public hearing on said vacation; and WHEREAS, the City Council of the City of Rosemead approved Resolution No. 2007-27, ordering the vacation of Denton Avenue between Garvey Avenue and Virginia Street; and WHEREAS, Manheim Investments, Inc. conducted a preliminary title report during the sale of real property that indicated an 800 square foot portion of Denton Avenue, on a portion of property identified as APN 6287-036-006 and fully described and defined in Attachment "A" hereto (Parcel), is held in fee interest by the City of Rosemead; and WHEREAS, The City of Rosemead has no public purpose for the Parcel; and WHEREAS, an independent appraisal of the Parcel has been conducted that determined the value of such Parcel as nominal; and WHEREAS, a quitclaim deed is required to transfer any interest the City may have in said real property and the proceedings conformed with the requirements of Section 8300 to 8349 of the Streets and Highways Code. NOW, THEREFORE BE IT RESOLVED by the City Council of the City of Rosemead as follows: Section 1. The City of Rosemead hereby directs and authorizes the City Manager and City Clerk to execute the quitclaim deed terminating any interest in the parcel attached hereto as Attachment B for those portions of the Parcel designated as being owned in fee by the City of Rosemead. Section 2. The City Engineer and/or his designee is hereby authorized to record the quitclaim deed for the Parcel in the Office of the Clerk/Recorder for the County of Los Angeles. Section 3. The City Clerk shall certify as to the adoption of this Resolution. PASSED, APPROVED AND ADOPTED THIS DAY OF , 2010. Gary Taylor, Mayor ATTEST: Gloria Molleda, City Clerk APPROVED AS TO FORM:: Joseph M. Montes, City Attorney City Council Meeting April 27, 2010. Page 2 of 2 foot by 189 foot portion of Denton Avenue (Attachment 1) was held in fee by the City of Rosemead. This remaining portion of land created a cloud on the title and the LADAA asked the City to convey its interest in this property. Streets and Highways Code Section 8355, provides the means for the City to sell a street right-of-way in any manner it wishes. Staff has obtained an independent appraisal (Attachment 3) that determined the subject property is of nominal value. Based on the appraisal and the previous action to vacate other interests along this property (formerly Denton Avenue), it is recommended that the City Council authorize the execution of the attached quitclaim deed. FINANCIAL REVIEW Streets and Highways Code Section 8355, provides the means for the City to sell a street right-of-way in any manner it wishes. Further, the independent appraisal of this property also determined that the subject property is of nominal value. ENVIRONMENTAL REVIEW PUBLIC NOTICE This agenda item has been noticed through the regular agenda notification process. Submitted by: ema Chris Marcarello Deputy Public Works Director Reviewed by: OIA- Joseph Mon es City Attorney Attachments: (1) Quitclaim Deed and Map Description (2) City Council Agenda Report August 14, 2007 and Resolution No. 2007-27 (3) Property Appraisal (4) Resolution No 2010-27