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,July 23~ 1985
<br />
<br /> 85-211 Letter From the City Manager recommending adoption of a resolution authorizing
<br />the issuance of Industrial Revenue Bonds in the amount of $3,000,000 for the benefit of West-
<br />gate Partnership, L.P., for the acquisition, rehabilitatmon and expansion of the Westgate Plaz[
<br />Shopping Center.
<br />
<br /> "On June 13, ~85, the Industrial Develooment Authority of the City of Portsmoutb (IDA)
<br />approved an Industrial Revenue Bond inducement resolution in the amount of $3,000,000 Fir the
<br />benefit of Westgate Partnership, L.P.. A public hearing for this project was held on July 11,
<br />1985.
<br />
<br /> These bonds will be used by Westgate Partnership, L.P. for the acquisition, rehabilitatio]
<br />and expansion of the Westgate Plaza Shopping Center located at the northeast corner of Airline
<br />Blvd. and City Park Avenue.
<br />
<br /> As indicated on the enclosed Development Summary, this project is expected to retain 175
<br />existing jobs and to create 6 new jobs. In addition, this project is expected to generate in
<br />excess of $28,000 in new, local tax revenues annually, and to improve the physical appearance
<br />in this 22 year-old shopping center. As a matter of interest, we have suggested to the
<br />developer that they L~cape the facility with their remodelling.
<br />
<br /> As the City of Portsmouth has presently exhausted its entire 1985 per capita Industrial
<br />Revenue Bond allocation, it will be necessary to apply for additional bond auth3~ity from the
<br />State Industrial Revenue Bond Reserve. The next deadline for submission of requests to the
<br />State Reserve is August 15, 1985.
<br />
<br /> The attached resolution has been prepared bT th~ City Attorney, and I recommend its
<br />approval."
<br />
<br /> Barry W. Hunter, Kaufman ~ Canoles, Sovran Center, Norfolk, representing Westga~e Partner
<br />ship, L.P., was available to answer questions.
<br />
<br /> On motion of Mr. Gray and seconded by Mrs. Webb, the following resolution'was adopted,
<br />and by the following vote:
<br />
<br />"A RESOLUTION APPROVING THE ISSUANCE OF INDUSTRIAL DEVELOPMENT REVENUE BONDS
<br />BY THE INDUSTRIAl DEVELOPMENT AUTHORITY OF THE CITY OF PORTSMOUTH, VIRGINIA,
<br />FOR WESTGATE PARTNERSHIP, L.P. IN AN AMOUNT NOT TO EXCEEED $3,000,000 FOR
<br />REHABILITATING AND EXPANDING THE RETAIL SHOPPING CENTER FACILITY KNOWN AS
<br />WESTGATE PLAZA SHOPPING CENTER LOCATED AT THE NORTHEAST CORNER OF THE INTER-
<br />SECTION OF AIRLINE BOULEVARD AND CITY PARK AVENOE IN THE CITY OF PORTSMOUTH,
<br />VIRGINIA, AND REQUESTING AN ALLOCATION FROM THE STATE RESERVE FOR THE BENEFIT
<br />OF WESTGATE PARTNERSHIP, L.P.
<br />
<br /> WHEREAS, the Industrial Development Authority of the City of Portsmouth, Virginia,
<br />has been authorized to advertise and hold public hearings relative to the issuance of
<br />Industrial Development Revenue Bon~s; and
<br />
<br />(IDA)
<br />
<br /> WHEREAS, the IDA has considered the application of Westgate Partnership, L.P., a Virginia
<br />Limited Partnership (the "Company") for the issuance by IDA of Industrial Development Revenue
<br />Bonds in an amount no~ to exceed Three Million Dollars (~3,000,000) to assist the 'Company"
<br />in acquiring, rehabilitating and expanding the ret~iI shopping center facility known as West-
<br />gate Plaza Shopping Center located a~ the northeast corner of the intersection of Airline
<br />Boulevard and City Park Avenue ~including 2854-2886 Airline Boulevard) in the City of Ports-
<br />mouth, Virginia, (the "Facility") and has held a public hearing thereon on July 11, 1985; and
<br />
<br /> WHEREAS, IDA has requested City Council to approve the issuance of the Bonds to comply
<br />with the applicable federal and stane law: and
<br />
<br /> WHEREAS, a copy of IDA's resolution approving the issuance of the Bonds, subject to the
<br />terms and conditions contained therein, and the appropriate certifications and documentations
<br />have been provided ~o the City Council for their consideration; and
<br />
<br /> WHEREAS, the City of Portsmouth, Virginia, has allocated its entire local allocation
<br />imposed pursuant to Executive Order No. 54(85) issued by the Governor of Virginia on J~'~uary
<br />23, 1985 pursuan~ to the authority ~ested in him and the Deficit Reducticn Act of 198~ (the
<br />"Executive OrJer").
<br />
<br /> NOW, THEREFORE, BE IT RESOLVED that the Council of the City of Portsmouth, Virginia,
<br />approves the issuance of Industrial Development Revenue Bonds by IDA for the "Company" in an
<br />amount no~ to exceed Three Million Dollars ($3,000,0~0' to assist in financing the acquisition
<br />rehabilitation and expansion of the "Facility" and requests an allocation from the State Reser
<br />as provided for in the "Executive Order" in an amount not to exceed Three Million Dollars
<br />($3,000,000) for the benefit of the "Company", and that the City Manager be, and he hereby is,
<br />authorized to submit an application with the Allocation Administrator to request an'allocation
<br />from the State Reserve and execute any documents as ~ay be required thereby.
<br />
<br /> BE IT FURTHER RESOLVED that the approval of the issuance of the Bonds as required by the
<br />applicable federal and state laws does not constitute an endorsement of the Bonds, financial
<br />viability of the "Facility", or the credit worthiness of the "Company", but, as required by
<br />Section 15.1-1380 of the Code of Virginia, 1950, as amended, the Bonds shall provide that
<br />neither the Commonwealth of Virginia, City of Portsmouth, nor IDA shall be obligated to pay
<br />the Bonds or the interest thereon or the costs incident thereto except from the revenues and
<br />monies pledged therefor, and neither the faith nor c~edit of the taxing power of the Common-
<br />wealth, the City, nor IDA shall be pledged thereto.
<br />
<br />
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