HomeMy WebLinkAboutCC Resolution 9772 (Affordable Housing Units)CITY COUNCIL OF THE CITY OF SAN RAFAEL
RESOLUTION NO. 9772
A RESOLUTION OF THE CITY COUNCIL APPROVING A DISPOSITION AND
DEVELOPMENT AGREEMENT AMONG THE SAN RAFAEL REDEVELOPMENT
AGENCY, CONTINUUM HOUSING ASSOCIATES, AND BRIDGE HOUSING
CORPORATION
WHEREAS, the staff of the San Rafael Redevelopment Agency
("Agency") has presented to the City Council a proposed
disposition and development agreement ("DDA") with Continuum
Housing Associates ("Developer") and BRIDGE Housing Corporation
("BRIDGE") providing for the Agency to lease to Developer
pursuant to a ground lease certain property on "C" Street between
Second and Third in downtown San Rafael (the "Property") and for
Developer's development thereon of approximately 60 housing
units, 40% of which would be affordable to lower income persons.
WHEREAS, the DDA also provides for BRIDGE Housing
Corporation to enter into a monitoring agreement with the Agency
providing for BRIDGE to monitor certain aspects of the
development Developer will construct on the Property.
WHEREAS, the Property is in the area governed by the Amended
and Restated Redevelopment Plan for the Central San Rafael
Redevelopment Area (the "Plan");
WHEREAS, development of the Property as contemplated by the
DDA will assist in the elimination of blight in the area governed
by the Plan by providing for new development on currently vacant
and formerly blighted lands and will provide at least 24 units of
housing for lower income persons.
WHEREAS, the DDA is consistent with the Agency's
implementation plan in that development of housing on the
Property is a project specifically contemplated by that
implementation plan.
WHEREAS, based on the Agency staff report and the Section
33433 summary, the terms on which the Agency will ground lease
the Property to the Developer will, over the 50 years of the
initial term of the lease, result in rent payments to the Agency
totalling approximately $2,316,700, an amount which, on a present
value basis, is less than the estimated current fair market value
of the Property for its highest and best uses under the Plan;
that fair market value is estimated to be in the range of
$909,000 to $1,127,000.
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WHEREAS, based on the Agency staff report and the Section
33433 summary, the ground rent payable under the lease is not
less than the fair reuse value of the Property of approximately
$558,735 given the fact that the DDA and the ground lease require
that 20% of the units to be developed on the Property remain
affordable for the 50 year initial term of the lease to persons
whose incomes do not exceed 50% of area median income and another
20% of the units remain affordable for the term of the lease to
persons whose incomes do not exceed 60% of area median income.
WHEREAS, a negative declaration has been prepared and
approved for the development of the Property.
WHEREAS, the City Council and the Agency have held a public
hearing on the DDA duly noticed in accordance with Health and
SAfety Code Section 33433.
THEREFORE, the City Council of the City of San Rafael hereby
resolves as follows:
Section 1. Based on the City Council staff report, the Section
33433 summary, and evidence submitted at the public hearing on
the DDA, the City Council hereby finds:
(a) The development of the Property in accordance with the
DDA will assist in the elimination of blight in the
area governed by Plan.
(b) The development of the Property in accordance with the
DDA will provide affordable housing for lower income
persons.
(c) The development of the Property in accordance with the
DDA will be consistent with the Agency's implementation
plan.
(d) The lease payments the Developer will pay for the
Property are at least equal to the fair reuse value of
the Property taking into account the covenant,
conditions, and restrictions imposed on the Developer
pursuant to the DDA and lease including the requirement
that for the 50 year initial term of the lease 20% of
the units must be rented at affordable rents to persons
whose incomes do not exceed 50% of median income and
another 20% must be rented at affordable rents to
persons whose incomes do not exceed 60% of median
income.
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Section 2. The City Council hereby approves the DDA.
I, JEANNE M. LEONCINI, hereby certify that the foregoing was
duly and regularly introduced and adopted at a special joint
meeting of the City Council with the Redevelopment Agency held on
the 21st day of January, 1997, by the following vote:
AYES: COUNCILMEMBERS: Heller, Miller, Phillips & Vice -Mayor Cohen
NOES: COUNCILMEMBERS: None
ABSENT: COUNCILMEMBERS: Mayor Boro
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JEANN �M.. LEONCINI, ity C erk
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