HomeMy WebLinkAbout2008-09-09 - RESOLUTIONS - USE DEVELOPER FEES HIDAWAY (2)RESOLUTION NO. 08-84
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA
CLARITA APPROVING THE USE OF AFFORDABLE HOUSING
DEVELOPER FEES FOR THE ACQUISITION AND REHABILITATION OF
HIDAWAY APARTMENTS AT
27077 HIDAWAY AVENUE, SANTA CLARITA
SECTION 1. RECITALS
WHEREAS, Mercy Housing California (the "Sponsor") wishes to acquire and
rehabilitate the apartment building known as the Hidaway Apartments, located at 27077 Hidaway
Avenue, Santa Clarita (the "Property") and record an affordability covenant to provide 66 units
of family affordable housing; and
WHEREAS, the City finds that there is a need for affordable family housing within the
City of Santa Clarita; and
WHEREAS, the City further finds that the Property as it currently exists is blighted due
to its deteriorated condition—which deteriorated condition predates the acquisition of the
Property by the Sponsor; and
WHEREAS, Sponsor has explored the possibility of conventional financing for the
renovation, and has determined that only limited financing would be available due to the limited
income which would be, generated from rental revenue if the Property was operated as an
affordable family project; and
WHEREAS, after exploring all other public funding options, Sponsor has determined
that additional funds are need to complete the acquisition and rehabilitation of the Property; and
WHEREAS, the City has received Affordable Housing Developer fees as a result of
another market -rate development, which fees must committed to an affordable hotasing project by
August 2009; and
WHEREAS, the Affordable Housing Developer fees will be used topr'-ide;a
below-market rate loan to the Sponsor for the creation of affordable housing in which c: cupancy
of more than 40% of the units will be restricted to families earning not mor'e'-:than, 80% of Area
Median Income; and
WHEREAS, the City wishes to assist in the acquisition and renovation in exchange for
operation of the Property as an affordable family project for not less than 55 years.
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NOW THEREFORE, THE SANTA CLARITA CITY COUNCIL DOES HEREBY
RESOLVE AS FOLLOWS:
SECTION 2. Based upon the recitals herein, the staff report, the written materials and proposed
Terms and Condition presented with the staff report, and information presented orally to the City
Council, the City Council does hereby determine, pursuant to Health and Safety Code Section
33334.2(8), that the use of Agency low/mod set-aside funds outside of the Project Area, as
contemplated by the acquisition and rehabilitation of the Property is of benefit to the
Redevelopment Agency Project Area by virtue of the creation of affordable housing and the
elimination of a blighted property within the City of Santa Clarita. Renovation of the Property
will increase the City's overall stock of affordable housing
SECTION 3. The City Council further finds, pursuant to Health and Safety Code Section
33334.30) that the Sponsor has made good faith efforts to obtain private or commercial financing
for purposes of acquiring and renovating the Property, but is unable to obtain such financing to
maintain the level of affordability and quantity of units contemplated herein.
SECTION 4. The City Council finds that pursuant to Labor Code 1720 (c)(6)(E) that the funds
will be used to provide a below-market rate loan to create housing in which more than 40% of
the units are available to families earning at or below 80% of Area Median Income.
SECTION 5. The City Clerk shall certify to the adoption of this Resolution.
PASSED, APPROVED, AND ADOPTED this 9th day of September, 2008.
JAYO
ATTEST:
CITY CLERK -
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STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss.
CITY OF SANTA CLARITA)
I, Sharon L. Dawson, MMC, City Clerk of the City of Santa Clarita, do hereby certify that
the foregoing Resolution was duly adopted by the City Council of the City of Santa Clarita at a
regular meeting thereof, held on the 9th day of September, 2008, by the following vote:
AYES: COUNCILMEMBERS: Weste, Ferry, McLean, Ender, Kellar
NOES: COUNCILMEMBERS: None
ABSENT: COUNCILMEMBERS: None
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CITY CLERK
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss.
CITY OF SANTA CLARITA )
CERTIFICATION OF
CITY COUNCIL RESOLUTION
I, Sharon L. Dawson, City Clerk of the City of Santa Clarita, do hereby certify that this is a true
and correct copy of the original Resolution 08-84, adopted by the City Council of the City of
Santa Clarita, California on September 9, 2008, which is now on file in my office.
Witness my hand and seal of the City of Santa Clarita, California, this day of
, 2008.
Sharon L. Dawson, MMC
City Clerk
By
Susan Caputo, CMC
Deputy City Clerk
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