Town of Kearny
New Jersey

Resolution
(R)-2018-214

Resolution Approving a Final Extension of the Conditional Designation of the Sitex Group, LLC as Redeveloper of the Former Standard Chlorine Site and the Former Diamond Shamrock Site.

Information

Department:Town AttorneySponsors:Mayor Alberto G. Santos
Category:Recommendations

Body

WHEREAS, by Resolution 2016-250 adopted on May 10, 2016 the Town designated the Sitex Group, LLC ("Sitex") as redeveloper of the former Standard Chlorine Site and the former Diamond Shamrock Site in Block 287, subject to certain conditions; and

 

WHEREAS, due to the bankruptcy filing affecting the Diamond Shamrock Site, Sitex was previously granted an extension until June 30, 2017; and

 

WHEREAS, during that extension period Sitex submitted a bid to acquire the Diamond Shamrock site in the bankruptcy proceeding, but the Diamond Shamrock site was transferred as part of the bankruptcy action to Mariana Properties, an affiliate of Occidental Chemical ("Mariana/Occidental"); and

 

WHEREAS, Sitex was granted an additional extension through March 31, 2018 to attempt to reach an agreement with Mariana/Occidental to acquire the Diamond Site; and

 

WHEREAS, during the last extension period Sitex has met with Mariana/Occidental but a final agreement has not been reached for the acquisition of the Diamond Shamrock Site by Sitex; and

 

WHEREAS, Sitex has requested a further extension of its conditional designation to allow time to finalize and sign a Letter of Intent with Mariana/Occidental for the acquisition by Sitex of the Diamond Shamrock property and to finalize the Redevelopment Agreement and related Contract with the Town; now, therefore, be it

 

              RESOLVED by the Mayor and Council of the Town of Kearny, Hudson County, New Jersey that:

 

1.  The conditional designation of Sitex as redeveloper of the Standard Chlorine Site and Diamond Shamrock Site is hereby further extended until May 15, 2018 to (i) allow time for Sitex to finalize and sign a Letter of Intent with Marian Occidental for the acquisition of the Diamond Shamrock site and (ii) to finalize and sign a Redeveloper Agreement and Purchase Agreement with the Town for the joint redevelopment of the Diamond Shamrock site and Standard Chlorine site.

 

2.  This is the final extension, such that if Sitex does not satisfy the two conditions in paragraph 1 above this designation shall expire automatically on May 15, 2018.

 

3.  The Conditional Redeveloper Designation as extended by this Resolution shall be vested only in Sitex, and may not be assigned by Sitex to any other party. The Town shall not have any obligations to Sitex unless and until the execution of the Redeveloper Agreement referenced in paragraph 1 above.

Meeting History

Mar 27, 2018 7:00 PM  Council Caucus / Regular Meeting
draft Draft
RESULT:ADOPTED [UNANIMOUS]
MOVER:Alberto G. Santos, Mayor
SECONDER:Eileen Eckel, Council Member
AYES:Carol Jean Doyle, Michael Landy, Susan McCurrie, Eileen Eckel, Albino Cardoso, Marytrine DeCastro, Peter Santana, Alberto G. Santos
ABSENT:Richard Konopka

Discussion