Loading...
HomeMy WebLinkAboutCC Resolution 8377 (Park Towers Apartments BMR)k U 6 RESOLUTION NO. 8377 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN RAFAEL AUTHORIZING THE SIGNING OF A BELOW MARKET RATE RENTAL UNIT AGREEMENT AND DECLARATION OF RESTRICTIVE COVENANTS BETWEEN DEVONSHIRE ASSOCIATES AND THE CITY OF SAN RAFAEL RE PARK TOWERS APARTMENTS. THE CITY COUNCIL OF THE CITY OF SAN RAFAEL RESOLVES as follows VICE- The/MAYOR and CITY CLERK are authorized to execute, on behalf of the City of San Rafael, a Below Market Rate Rental Agreement and Declaration of Restrictive Covenants between Devonshire Associates and the City of San Rafael, a copy of which is hereby attached and by this reference made a part hereof. I, Jeanne M. Leoncini, Clerk of the City of San Rafael, hereby certify that the foregoing resolution was duly and regularly introduced and adopted at a regular meeting of the Council of said City on Mondav , the 15t , day of April , 1991, by the following vote, to wit : AYES : COUNCILMEMBERS : Boro, Thayer & Vice -Mayor Breiner NOES : COUNCILMEMBERS : None ABSENT : COUNCILMEMBERS : Shippey and Mayor Mulryan J M. LEONCINI,� City Clerk CiRl'bil IAL CITY OR SAN RAFAEL BELOW MARKET RATE RENTAL UNIT AGREEMENT Project Name : PARK TOWERS Address 108 Professional Parkway, San Rafael, CA Owner: Devonshire Associates THIS BELOW MARKET RATE RENTAL UNIT AGREEMENT AND DECLARATION OF RESTRICTIVE COVENANTS is made and entered this day of SanramhPr 15 , 1990, between the CITY OF SAN RAFAEL, a municipal corporation duly organized and existing under the Constitution and laws of the State of California (the "City"), and Devonshire Associates, a California Limited Partnership (the "Owner"). PREAMBLE WHEREAS, the Owner owns a 42 unit complex located at 108 Professional Parkway, San Rafael, known as PARK TOWERS ("Project"). WHEREAS, the Owner owns the real property located within the corporate limits of the City and more particularly described in Exhibit "A" attached and incorporated for reference herein and; WHEREAS, the Owner has received the City's approval to legalize two (2) unauthorized units on the property and; WHEREAS the City's approval of the units is conditioned upon Owner's compliance with the Housing Element of the General Plan 2000 and providing low income units as set forth in Exhibit "B" attached and incorporated herein. NOW, THEREFORE, in consideration for the**mutual covenants and undertakings set forth herein, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the City and the Owner do hereby contract and agree as follows: AGHREMERI Section 1. DEFINITIONS AND INTERPRETATION. Unless otherwise expressly provided herein or unless the context clearly requires otherwise, the following terms shall have the respective meanings set forth below for all purposes of this Below Market Rate Rental Unit Agreement: "Affordable Housing Rents" are the rents for any unit occupied by a Qualifying Tenant which shall be established using the then current Median Gross Income for the Area as shown for example in Exhibit "B". "Low Income household" shall mean the occupant (s) of a residential unit in the Project whose aggregate adjusted household 1 income does not exceed 80% of the Median Gross Income for the Area, adjusted for household size. "Low/Moderate Income Unit" refers to the units described in Exhibit "B". "Median Gross Income for the Area" shall mean income for households of an applicable size in the San Francisco PMSA (Primary Metropolitan Statistical Area) most recently determined by HUD adjusted for household size. "Moderate Income Household" shall mean the occupant (s) of a residential unit in the Project whose aggregate adjusted household income does not exceed 120% of the Median Gross Income for the Area, adjusted for household size. "Plan" shall mean the City of San Rafael General Plan 2000. "Program Administrator" shall mean the administrator for compliance of the Project with the Below Market Rate Unit Rental Agreement which shall be the City. "Project" shall mean the parcel of real property in the City of San Rafael as described in Exhibit "A" hereto, and all rights and appurtenances pertaining thereto, and the buildings, structures and other improvements constructed or to be constructed thereon, including all fixtures and other property owned, leased or licensed by the Owner and located on, or used in connection with, such buildings, structures or other improvements, all of which shall be constructed and operated by the Owner in accordance with the restrictions set forth in this Agreement. "Project Period" means a period of ten ( 10 ) years commencing with the date first written above. The restrictions set forth herein shall be deemed covenants running with the land provided, however, that upon termination of this Agreement said covenants shall expire. Refer to Exhibit E attached hereto. "Qualifying Tenant" means resident households whose incomes do not exceed the household income limits for Low Income Household and/or Moderate Income Household. SECTION 2. QUALIFYING TENANTS (a) SELECTION. For the duration of the full Project Period, Qualifying Tenant selection shall be based on income eligibility for Low and Moderate Income Households as defined in Section 1 and subject to final approval by the Owner. 2 (b) QUALIFICATION_ Qualifying Tenant status shall be determined at the time of initial occupancy of a unit by the tenant (s) and certified annually on the basis of a Tenant Income Certification (Exhibit "C") executed by the Qualifying Tenant and accompanied by a copy of: (i) their federal income tax return for the immediately prior tax year ; or (ii) their employer's verification of current income ; or (iii) if the Qualifying Tenant is self-employed or the tax return is unavailable, such other satisfactory evidence of income. (iv) If a qualifying Tenant certifies that he/she did riot file or did not retain a copy of their federal tax return, other evidence, such as a current wage statement or employer records must be obtained. (c) OCCUPANCY. Throughout the Project Period, the required Low/Moderate Income Units in the Project shall be occupied and at all times be rented to Qualifying Tenants. No Qualifying Tenant shall be denied continued occupancy, because this tenant exceeds the income limits. If, as of the most recent Tenant Income Certification, it is determined that the income of Qualifying Tenant exceeds one hundred -forty percent (140%) of the Median Gross Income for the Area, then they shall no longer qualify as a Qualifying Tenant. The Owner shall provide the next vacated unit (s) of comparable or smaller size to a Qualified Tenant, as needed to achieve compliance. The Owner shall immediately notify, in writing, each tenant who is no longer a Qualified Tenant of such fact, and that such tenant(s) rent is subject to increase 30 days after receipt of such notice. The Owner shall be entitled to so increase any such tenant's rent only if Owner complies with any law applicable thereto and only after the Owner has rented the next available unit or units in the Project on a one-for-one basis to a Qualified Tenant, or holds units vacant and available for occupancy by Qualified Tenants. The Owner agrees to inform all prospective Qualified Tenants of the requirements for annual certification of income and of the provisions of the preceding paragraphs. SECTION 3. REPORTING. (a) EXHIBIT "C" TENANT INCOME CERTIFICATION. Exhibit C shall be obtained from each Qualified Tenant and maintained on file by the Owner. If not previously submitted, attach copy and submit with Exhibit D to the Program Administrator. (b) EXHIBIT "D" CERTIFICATION OF CONTINUING COMPLIANCE. Exhibit D shall be submitter) by the Owner to the Program Administrator quarterly until. the project is fifty percent (50%) occupied and semi-annually thereafter for the Project Period. 3 SECTION 8. UNIT MI%, LOCATION AND HOUSEHOLD SIZE_ The Below Market Rate Units shall be located on the parcel described in Exhibit A and designated for Below Market Rate Units on the final map. SECTION 9. GOVERNING LAW. This Agreement shall be governed by the laws of the State of California. SECTION 10. AMENDMENTS. This Agreement shall be amended only by written instrument signed by all of the parties hereto. SECTION 11. ATTORNEY'S FEES. In the event that a party to this Agreement brings an action against any other party to this Agreement by reason of the breach of any condition or covenant, in this Agreement, or otherwise arising out of this Agreement, the prevailing party in such action shall be entitled to recover from the other reasonable attorney's fees to be fixed by the court which shall render a judgment, as well as -the costs of suit. SECTION 12. SEVERABILITY. If any provision of this Agreement shall be invalid, inoperative or unenforceable as applied in any particular case in any jurisdiction because it conflicts with any other provision (s) or any constitution or statute or rule of public policy, or for any reason, such circumstance shall not have the effect of rendering the provision in question inoperative or unenforceable in any other case or circumstance or of rendering any other provision or provisions contained herein invalid, inoperative, or unenforceable to any extent whatsoever. The invalidity of any one or more phrases, sentences, clauses or sections contained in this Agreement shall not affect the remaining portions of this Agreement, or any part hereof. SECTION 13. RECORDING AND FILING. The Owner shall cause this Agreement and all amendments hereto to be recorded and filed in the real property records in the office of the County Recorder of Marin County within 5 working days of the City Execution of the agreement and shall pay all fees and charges incurred in connection therewith and shall transmit a recorded copy to the City. Upon the expiration of the Project Period the City shall cooperate with the Owner, at the sole expense of the Owner, in the recording of such instruments or instruments of release or termination as the Owner may reasonably request. SECTION 14. NOTICE. All notices required or permitted under this Agreement shall be sent by certified United States mail, or an overnight courier service requiring a signed receipt, addressed as follows : TO THE CITY City of San Rafael Attn : City Manager P.O. Box 60 San Rafael, CA 94913 5 TO THE OWNER : Devonshire Associates 530 El Camino Real San Carlos, CA 94070 Attn : Monty Silver Notice shall be deemed served for purposes of the Agreement one day after deposit in the United States mail -or acceptance by the overnight courier service. Any party may change its address for purpose of notice by giving notice pursuant to this section. SECTION 15. TERMINATION. This Agreement shall terminate and be of no further force or effect at the end of the Project Period. IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and year first written .above. CITY OF SAN RAFAEL ATTEST BY Name DorothY/ L. Breiner Title :Vice -Mayor &nne A- M. eoncini City Clerk OWNER DEVON BY : /�j Name M y Tit e : Manaq 0 (E ASS.6CIATES ter general Partner STATE OF CALIFORNIA ) ) SS. COUNTY OF MARIN ) -On this 17th day of APRIL , 1911 , before me,gJEANNE M. LEONCINI, a Notary Public in and for the said County and State fHYeLidBREINherein. duly commissioned and sworn, personally appeared , personally known to me (ter -prove& -t& -me -d t t-ate-bas�#e-ef-sat#s€aetsry- ,etridenCei to be the Vice Mayor of the City of San Rafael that executed the within document and acknowledged to me that said City of San Rafael did execute the same. IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal the day and year in this certificate first above written. OFFICIAL SEAL JEANNE M. ! EONCINI � v NOTARY PUBLIC CALIrORNIA - MARIN COUNTY • My Comm. Expires Nov. 29, 1991 JEANQA� LEONCI NI , R P �.I C i n and for w� v ��, said County and State 1400-5thAve, P.O. Box 60, San Rafael, CA 94915 0060 �.�..trs�si...�.�.�..����.�..s�.i.�s�.. �.. �.� � ii�.,..r ��f �,CCC,Cf<,t.s f s/. s f f r r.,►f f, �14./i..G.d./IL� �,� ^. �'. � ��� State of CALIFORNIA On this the 3rd day of April 19-2-1, before me, ' ss. County of MARIN A. M. MARCOTTE i I the undersigned Notary Public, personally appeared i I -i MONTY SILVER 1 t OFFICIALSEASEAL - """ ` A.M. MARCOTTE - ❑ personally known tome i ..� • NOTARY PUBLIC -CALIFORNIA ® proved to me on the basis of satisfactory evidence 1 " ftdpW015oeinMARNCoulny *C0wrkGi0nExjw Nar.6,1W to be the person(s) who executed the within instrument as ... .. . PJdUQjnn General Pa rtnPr or -on behalf of the corporation therein named, and acknowledged to me that the corporation executed it. WITNESSSj}m�y hand and official seal. a 9 Notary's 's Si nature ry ��...���, r -.►�,�,—�.��,r.+.r.r...r.r.rr.r...r�r�..•r.,.,r�nrr.�r.�.��.r..��r.r��..r�.CCe"�,e+.�.P'.rr�r.+.rr�rr����,r��� iuv��i NATIONAL NOTARY ASSOCIATION • 23012 Ventura Blvd. • Woodland Hills. CA 9136 CORPORATE ACKNOWLEDGMENT FORM 7120 052 0 08/22/90 15:07 STEWART TITLE MILLBRAE CA 001 FXH ibrr A fio. RECORDING R90LIESTED BY &*CROW NO. 38262 Y (/ _?,) "/ )— ANG wMrN RECOgDEd MAIL TO Devonshire Assoclates 530 E1 Camino Real San Carlos, California 94010 L J r SAIL TAA 6TwT[Mah Y■ To 1 same as above SPACE ABOVE THIS LINE RESERVED FOR RIZCORDER'; L A.P. No. Grant deed j - I Furnished by STEWART TITLE Of CALIFORNIA The undersigned grnrltor(s) dccldre(s); City transfer tax is S. Monument preservation, fcc is S County transfer tax is $ I ,044.45 ( ) computed on full value of propctty t;unvcyed, ur ( X ) computed on Nil value le,s value of liens and encumbrances remaining at time of sale. ( ) Unincorporated area: ( X ) City of San. RafalrI and FOR A VALUABLE CONSIDERATION, receipt of which is hereby acknowledged, THE PARK TOWERS INVESTORS, A CALIFORNIA GENERAL PARTNERSHIP hereby GRANT(S) tp BOREL BANK AND TRUST COMPANY, A CALIFORNIA CORPORATION the foUuwing deccribfd real property in the City of San Rafael County of Marin , State of California: LOT 16, as shown upon that certain map entitled: MAP OF MARIN PROFESSIONAL CENTER, UNIT 2", filed for record November 1, 1960 in Volume 10 of Maps, at Page 84, Marin County Records. Dated- June 00, 1986 THE PARK TOWERS INVESTORS, A CALIFORNIA litNk AK1NkK5H1N STATE OF CALIFORNIA 55. - COUNTY OF BYE. On .—— bclarr mr, the under styned, d Nntary Public in and for slid State, Pcr%unall) aplu•tued Personally kno%n to me (or pimcd to nu on the ha,iN ul ,,%I fuclur) tevidrnce) to he the prr�onls) Hho�c name ____. whnirtbed to the within inunument ,tnd rt-)ciw%ledEeJ that _ _ vt uted flit saint KITNFSS my hated and official Seel. Slgnaturt E ETtP TNER It . T1 CITY OF SAN RAFAEL BELOW MARKET RATE RENTAL AGREEMENT PROJECT NAME: PARK TOWERS DATE : ADDRESS: 108 Professional Parkway. San Rafael OWNER: Devonshire Associates TOTAL NUMBER OF UNITS : 42 NUMBER OF LOW INCOME UNITS : 2 AFFORDABLE HOUSING RENT CALCULATION : For example, using the 1990 Median Gross Income for the Area such calculation would be as follows : Lou Income Units : The one bedroom unit monthly rent shall be 1/12 of 301 of 651 of the median gross annual income for a 2 person household. The two bedroom unit rent shall be 1/12 of 301 of 651 of the median gross annual income for a 3 person household. 1 Bedroom Income : $23,725 (Two person household @ 65% of median) Rent _ ($23,725 /12) x 301 = QUALIFYING TENANT INCOME LIMITS : For example, using the 1990 Median Gross Income for the Area the limits would be : LOW INCOME 801 of median PROGRAM COMPLIANCE 1 Person 2 Person 25,520 29,200 Occupancy of the two legalized 1 bedroom units by tenants participating in the Section 8 Rental Assistance Program shall be deemed compliance with this agreement. Evidence of compliance shall be submission, annually, of a copy of the Section 8 Lease for the subject units. In the event of termination of the Section 8 Program the above conditions will apply. EXHIBIT "C" CITY OF SAN RAFAEL BELOW MARKET RATE RENTAL UNIT AGREEMENT TENANT INCOME CERTIFICATION PROJECT NAME: PARK TOWERS DATE : ADDRESS: 108 Professional Parkway, San Rafael OWNER: Devonshire Associates APARTMENT NO. TENANT/HOUSEHOLD NAME : last MONTHLY RENT : f irst TOTAL CURRENT HOUSEHOLD GROSS ANNUAL INCOME : (total household income includes all wages, salaries, et., as reported as gross income for federal income tax.) Attached hereto are federal or state income tax returns, stubs from paychecks or other evidence of the income of the persons listed below. Name of Member of the Relation- Social Place of Household ship Age Security No. Employment I/We the undersigned have read and answered fully, frankly and personally each of the above questions under penalty of purjury and do hereby swear they are true. Tenant - Head of Household Owner Date Date EXHIBIT "D" CITY OF SAN RAFAEL BELOW MARKET RATE RENTAL UNIT AGREEMENT CERTIFICATION OF CONTINUING COMPLIANCE PROJECT NAMES : PARK TOWERS DATE : ADDRESS : 108 Professional Parkway, San Rafael OWNER: Devonshire Associates TOTAL UNITS 42 TOTAL LOW INCOME UNITS TOTAL MODERATE INCOME UNITS The undersigned, in accordance with the BELOW MARKET RATE RENTAL UNIT AGREEMENT with the City of San Rafael dated for the Project does hereby certify that during the preceding twelve (12) months, the following units were occupied in accordance with the Below Market Rate Rental Unit Agreement and does hereby further certify that the representation set forth herein are true and correct to the best of the undersigned's knowledge. Low Income Unit Monthly Tenants Name No. Rent Moderate Income Tenants Name Signed : . Date Owner Attach additional sheets if necessary. Annual Household Income size EXHIBIT "E" CITY OF SAN RAFAEL BELOW MARKET RATE RENTAL AGREEMENT COMMENCEMENT OF PROJECT PERIOD PROJECT NAME: PARK TOWERS DATE : September 15, 1990 ADDRESS: 108 Professional Parkway, San Rafael OWNER: Deveonshire Associates, Monte Silver The "Project Period" as defined in that certain BELOW MARKET RATE RENTAL UNIT AGREEMENT AND DECLARATION OF RESTRICTIVE COVENANTS, recorded in the Office of the Marin County Recorder and pertaining to the real property within the City of San Rafael, State of California, described in Exhibit "A" attached hereto, commenced on September 15, 1990. The Project Period will expire on Septmber 15, 2000.