HomeMy WebLinkAboutMINUTES - 07221997 - C88 Contra
TO: REDEVELOPMENT AGENCY Costa
.,�
FROM: Phil Batchelor ry s County
Executive Director
DATE: July 22, 1997
SUBJECT: Loan and Regulatory Agreement -Main Street Apartments, Oakley
SPECIFIC REQUEST(S) OR RECOMMENDATIONS(S) & BACKGROUND AND JUSTIFICATION
RECOMMENDATI NS
APPROVE and AUTHORIZE the Deputy Director-Redevelopment to execute a Loan and Regulatory
Agreement with the Ecumenical Association for Housing for an affordable housing project in the Oakley
Redevelopment Project Area.
FISCAL IMPACT
No impact on the General Fund. The total loan amount is $374,220, of which $36,520 has been
previously approved and allocated. The remaining $337,700 would be made from the housing set-aside
portion of tax increments and bond proceeds. This appropriation was provided for in the Agency's 1996-
97 adopted budget.
BACKGROUND/REASONS FOR RECOMMENDATIONS
A major goal of the Oakley Redevelopment Plan is to improve and expand the supply of affordable
housing in the Project Area. The Oakley Municipal Advisory Council has been a strong supporter and
has approved the allocation of redevelopment tax increment funds to this project.
The Ecumenical Association for Housing (EAH), a nonprofit housing development corpor tion,
CONTINUED ON ATTACHMENT: YES SIGNATURE:
_RECOMMENDATION OF EXECUTIVE DIRECTOR COMMEND ION OF AGE CY
COMMITTEE _APPROVE _ OTHER /
SIGNATURE(S):
ACTION OF AGENCY ON 1917 APPROVED AS RECOMMENDED OTHER
VOTE OF COMMISSIONERS
/ I HEREBY CERTIFY THAT THIS IS A
✓ UNANIMOUS (ABSENT ) TRUE AND CORRECT COPY OF AN
AYES: NOES: ACTION TAKEN AND ENTERED ON THE
ABSENT: ABSTAIN: MINUTES OF THE REDEVELOPMENT
AGENCY ON THE DATE SHOWN.
Contact: Beth Lee
335-1256 ATTESTED
orig: Redevelopment Agency PHIL B C ELO
cc: Community Development AGENCY SECRETARY
Redevelopment Agency
Auditor-Controller
via Redevelopment
EAH a i
B , DEPUTY
proposes to construct and manage 24 unit housing project for low- and moderate-income physically
disabled persons in the Oakley Redevelopment Project Area. They have identified a parcel at the
o
southwest corner of State Route 4 and Gardenia Avenue as an appropriate site.
EAH is leveraging the Redevelopment allocation with funds from a variety of sources. EAH was
successful in receiving a HUD 811 allocation of approximately $1.8 million for this project. They
have also applied for, and received, funding from the Community Development Block Grant (CDBG)
and HOME Investment Partnership programs.
The redevelopment funds will be structured as a 60 year residual receipts loan, secured by a
promissory note and deed of trust against the land and planned improvements. Affordability and use
restrictions will be recorded against the property and will apply throughout the loan term. At the end
of. 60 years, the loan may be renegotiated in exchange for an additional period of required
affordability and use as housing for lower income populations.
Staff analyses indicate that the potential benefits to the Project Area from the project is significant
as the construction of new affordable housing will assist the Agency/County in meeting its affordable
housing requirements.
C:oakhouse\eandlamn.bos
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