Title
Staff Report for Amendment to the San Leandro Consolidated Annual FY 2011-2012 Action Plan
Staffreport
RECOMMENDATIONS
Staff recommends the City Council hold a public hearing, provide direction to staff on the Amendment to the FY 2011-2012 Action Plan, make the summary of the amendment available for public comment for a 30-day period from November 17 - December 19, 2011, and set a public hearing for December 19, 2011 to consider final approval of the amended Action Plan.
BACKGROUND
Surf Apartments consist of forty-six (46) 1-bedroom units of family rental housing located at 15320 Tropic Court. In late 2001, non-profit housing developer Citizens Housing Corporation (Citizens Housing) requested financial assistance from the City of San Leandro to purchase and rehabilitate the property in order to convert it into an affordable housing property for primarily low-income households (60% AMI or below). In May 2002, the City Council approved a $700,000 federal Home Investment Partnership Act (HOME) funds loan and a $300,000 Redevelopment Set-Aside funds loan, which Citizens Housing used along with CalFHA bond financing and 4% tax credits to acquire and rehabilitate Surf Apartments.
Thirty-five (35) of the units at Surf Apartments serve affordable households between 35% and 60% AMI, while eleven (11) of its units are market-rate units. Specifically, the regulatory agreement that the City executed with Citizens Housing restricted at least 49% (22 of 46) of the units for low-income tenants (60% AMI) and eleven (11) floating HOME units for very low-income tenants (50% AMI) for a 55-year term until 2058.
In early 2009, Citizens Housing began experiencing financial difficulties resulting from the economic downturn which is ensuing in the dissolution of Citizens Housing by December 31, 2011. Citizens Housing began collaborating in 2009 with Eden Housing to preserve Surf Apartments which entailed transferring its management of the property to Eden Housing in ear...
Click here for full text