REQUEST FOR CITY COUNCIL/HOUSING AUTHORITY ACTION
SUBMITTED TO: Honorable Mayor/Chair and City Councilmembers/Commissioners
SUBMITTED BY: Oliver Chi, City Manager/Executive Director
PREPARED BY: Kellee Fritzal, Deputy Director of Economic Development
Subject:
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Approve and authorize execution of an Acquisition Loan Agreement between the City and Jamboree Housing Corporation for development of up to 43 senior apartment units located at 18431 Beach Boulevard; and approve allocation of funds
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Statement of Issue:
Jamboree Housing Corporation ("Jamboree") has entered into a purchase and sale agreement for the acquisition of an approximately .78 acre parcel of vacant land located at 18431 Beach Boulevard (Site), with the intent to develop an affordable housing project. Based on the merits of the project, coupled with the City's availability of restricted housing funds, staff is recommending approval of a $3 million property acquisition loan to help facilitate the affordable housing development project. Of note, the proposed property acquisition loan would only be to help facilitate acquisition of the Site. If Jamboree is unable to secure financing for the project, or if Jamboree fails to entitle their proposed project, the Site would have to then be transferred back to the City.
Financial Impact:
The funding will be through the Inclusionary Housing Fund of $2.1 million (Fund 217) and LMIHAF Fund of $900,000 (Fund 352); the former Redevelopment Agency housing funds. Both of these funds are restricted for the purpose of developing affordable housing within the City. Adequate fund balance is available in both funds.
Recommended City Council and Housing Authority Action:
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A) Approve the Loan Agreement (as defined later in this Staff Report) by and between the City of Huntington Beach, the Housing Authority and JHC-Acquisitions LLC. Authorize the City Manager/Executive Director and City Attorney/Authority Counsel to make non-substa...
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