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HomeMy WebLinkAboutCC RES 2020-47RESOLUTION NO. 2020-47 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT APPROVING THE EXECUTION AND DELIVERY OF A DISPOSITION AND DEVELOPMENT AGREEMENT BETWEEN THE CITY OF PALM DESERT AND THE COACHELLA VALLEY HOUSING COALITION TO SUPPORT THE CREATION OF NEW AFFORDABLE HOUSING ON CERTAIN REAL PROPERTY OWNED BY THE CITY, AND AUTHORIZING CERTAIN RELATED ACTIONS WHEREAS, the City of Palm Desert owns the real property located in the City of Palm Desert, County of Riverside, State of California, described on Exhibit "A," attached hereto and incorporated herein (the "Property"); and WHEREAS, on October 11, 2018, the City issued a Request for Proposals ("RFP") seeking a qualified developer to assist with the development of 14 self-help single-family homes on the Property; and WHEREAS, the City received only one response to the RFP, which was from the Coachella Valley Housing Coalition, a California non-profit public benefit corporation ("CVHC"); and WHEREAS, CVHC wishes to acquire the Property from the City and to complete a project on the Property consisting of 14 detached single family homes that will be restricted for sale to qualified very low and low income households (the "Project"); and WHEREAS, the Project is a self-help housing project in which no fewer than 500 hours of construction work associated with each of the homes is to be performed by the homebuyers; and WHEREAS, CVHC has demonstrated its ability to develop affordable housing projects including self-help projects; and WHEREAS, CVHC has provided documentation to the City demonstrating that it will need financial support from the City for the creation of the homes; and WHEREAS, CVHC has requested the City to enter into a Disposition and Development Agreement (the "DDA") with CVHC; and WHEREAS, the DDA provides for the City to convey the Property by grant deed to CVHC for $560,000 ("Purchase Price") and for the City to loan the Purchase Price to CVHC on the terms set forth in the form of promissory note attached to the DDA, which loan will be secured by a deed of trust on the Property in the form attached to the DDA; and WHEREAS, the DDA requires CVHC to timely construct, or cause to be constructed, the 14 single-family homes on the Property, including public infrastructure improvements associated with the homes, and timely sell the single-family homes to RESOLUTION NO. 2020-47 Page 2 qualified very low and low income households, which requires participants to be first time homebuyers and the household include a member who is employed within the City's jurisdictional boundaries, at a price that does not exceed an affordable housing cost in accordance with the terms of the affordable housing restriction agreement attached to the DDA; and WHEREAS, the City may, in its sole discretion, provide assistance to a qualified household in compliance with any City first time homebuyer affordable housing program; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM DESERT HEREBY RESOLVES: Section 1. The above recitals are true and correct and a substantive part of this Resolution. Section 2. The DDA by and between the City and CVHC, presented to the City Council at this meeting and incorporated herein by reference, is hereby approved. The City Manager, or her designee (each, an "Authorized Officer"), is hereby authorized to execute and deliver, for and in the name of the City, the DDA in substantially such form, with such additions or changes as the Authorized Officer executing the same may approve (such approval to be conclusively evidenced by such Authorized Officer's execution and delivery thereof). Section 3. The officers and staff of the City are hereby authorized, jointly and severally, to do all things which they may deem necessary or proper to effectuate the purposes of this Resolution and implement the DDA, including the execution and recordation of agreements and documents contemplated by the DDA, and any such actions previously taken are hereby ratified and confirmed. P6401-0001\2419422v1.doc RESOLUTION NO. 2020-47 Page 3 PASSED, APPROVED, AND ADOPTED by the City Council of the City of Palm Desert, California, at its regular meeting held on the 28th day of May. 2020, by the following vote, to wit: AYES: HARNIK, JONATHAN, KELLY, WEBER, and NESTANDE NOES: NONE ABSENT: NONE ABSTAIN: NONE GINA NESTANDE, MAYOR ATTEST: GRACE L. ROCHA, ACTING CITY CLERK P6401-000112419422v1.doc RESOLUTION NO. 2020-47 Page 4 EXHIBIT A LEGAL DESCRIPTION OF THE PROPERTY That certain real property situated in the City of Palm Desert, County of Riverside, State of California, described as follows: LOTS 95 THROUGH 108 OF TRACT 30795, AS PER MAP FILED IN BOOK 406, PAGES 73 THROUGH 80 OF PARCEL MAPS, ALL IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY OF RIVERSIDE. ASSESSOR PARCEL NUMBERS 624-440-032, 624-440-034, 624-440-035, 624-440- 036, 624-441-014, 624-441-015, 624-441-016, 624-441-017, 624-441-018, 624-441-019, 624-441-020, 624-441-021, 624-441-022 MIR ..e amiell Ira MIR