HomeMy WebLinkAboutCC RES 06-145RESOLUTION NO. 06-145
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT
APPROVING THE SALE OF 93 SINGLE-FAMILY HOMES IN THE FALCON
CREST DEVELOPMENT IN THE CITY OF PALM DESERT
THE CITY COUNCIL OF THE CITY OF PALM DESERT HEREBY FINDS,
DETERMINES, RESOLVES AND ORDERS AS FOLLOWS:
Section 1. The Palm Desert Redevelopment Agency (the "Agency") owns property
located in Project Area No. 3 of the Agency (the "Project Area"), consisting of Tract No. 30795 in
the City of Palm Desert, California, and known as the Falcon Crest development (the
"Property"). The Property will be developed with 93 single-family homes (the "Homes"). The
Agency proposes to sell the Homes only to persons and families of low or moderate income (as
defined in California Health and Safety Code Section 50093, as amended from to time).
In accordance with the Agency's Falcon Crest Program, the Agency proposes to make
deferred -payment loans (the "Agency Loans") and the City of the Palm Desert (the "City")
proposes to make deferred -payment loans (using proceeds of the BEGIN grant from the
California Department of Housing and Community Development) (the "City BEGIN Loans")) to
each purchaser of a Home for the purpose of reducing the purchaser's required down payment
and monthly mortgage costs, so that the total of the sales price, mortgage payments and other
components of the purchaser's housing cost result in the Home being available to the purchaser
at an affordable housing cost (as defined in California Health and Safety Code Section 50052.5,
as amended from time to time).
The Agency proposes to sell each Home, and the Agency proposes to make each
Agency Loan, pursuant to (i) a deposit, receipt, purchase contract and joint escrow instructions
(Affordable Housing) (the "Purchase and Sale Agreement"), (ii) an affordable housing restriction
and lien agreement (the "Lien Agreement"), (iii) an Agency deed of trust (the "Agency Deed of
Trust"), and (iv) an Agency promissory note (the "Agency Promissory Note"), and the City
proposes to make each City BEGIN Loan pursuant to (i) a City BEGIN deed of trust (the "BEGIN
Deed of Trust"), and (ii) a City BEGIN promissory note (the "BEGIN Promissory Note") all
substantially in the form of such documents on file in the offices of the Agency Secretary and
City Clerk of the City.
Section 2. The Purchase and Sale Agreement, the Lien Agreement, the Agency Deed of
Trust, the BEGIN Deed of Trust, the Agency Promissory Note, and the BEGIN Promissory Note,
together with a certain related documents and a summary report prepared pursuant to Health
and Safety Code Section 33433 in connection with the sale of the Homes (the "Summary
Report"), have been made available for public inspection in the office of the City Clerk and
Agency Secretary in the manner required by Health and Safety Code Section 33433.
Section 3. Following notice duly given, the Agency and City Council have held a full and
fair public hearing on the proposed sale by the Agency of the Homes to persons and families of
low or moderate income.
Section 4. Based on the evidence presented to the City Council, including the written
staff report, oral and written testimony in this matter, and the Summary Report, the City Council
hereby finds and determines that (i) the sale of the Homes by the Agency to persons and
families of low or moderate income at an affordable housing cost pursuant to purchase and sale
W:Wgenda Items\2006-Nov 161Falcon Crest\Resolution of the City of Palm Desert Approving sale of homes Nov 16 2006.DOC
RESOLUTION NO. 06-145
agreements, lien agreements, deeds of trust and promissory notes substantially in the form of
the Purchase and Sale Agreement, Lien Agreement, Agency Deed of Trust, BEGIN Deed of
Trust, Agency Promissory Note, and BEGIN Promissory Note will assist in the elimination of
blight in the Project Area and will provide housing for low and moderate income persons; (ii) the
sale of the Homes pursuant to such purchase and sale agreements, lien agreements, deeds of
trust and promissory notes is consistent with the Agency's Implementation Plan for the Project
Area adopted pursuant to Health and Safety Code Section 33490; and (iii) the consideration for
each Home will be not Tess than the fair reuse value of the Home at the use and with the
covenants and conditions authorized by the lien agreement.
Section 5. The City Council hereby approves the sale of the Homes at an affordable
housing cost to persons and families of low or moderate income pursuant to purchase and sale
agreements, lien agreements, deeds of trust, and promissory notes substantially in the form of
the Purchase and Sale Agreement, Lien Agreement, Agency Deed of Trust, BEGIN Deed of
Trust, Agency Promissory Note, and BEGIN Promissory Note and the Executive Director of the
Agency is hereby authorized to determine the sales price and the amount of the Agency Loan
for each Home.
Section 6. The City Manager, the Mayor, the Mayor Pro Tem, and the City Clerk, and
their designees, are hereby authorized and directed, jointly and severally, to execute and deliver
any and all necessary documents and instruments and to do all things which they may deem
necessary or proper in order to effectuate the purposes of this Resolution and the transactions
contemplated hereby; and any such actions previously taken by such officers are hereby
ratified, confirmed and approved.
PASSED, APPROVED and ADOPTED this 16th day of November 2006 by the following
vote, to wit:
AYES: BENSON, KELLY, SPIEGEL, and FERGUSON
NOES: NONE
ABSENT: NONE
ABSTAIN: NONE
ATTEST:
RACHELLE D. KLASSE , CITY CLERK
CITY OF PALM DESERT, CALIFORNIA
2
W:1Agenda Items12006-Nov 16'Falcon Crest\Resolution of the City of Palm Desert Approving sale of homes Nov 16 2006.DOC