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HomeMy WebLinkAboutAcquisition - APN 634-062-006 - 75-444 Orange Blossom Lane - Desert RosePALM DESERT REDEVELOPMENT AGENCY REQUEST: SUBMITTED BY: DATE: CONTENTS: Recommendation: STAFF REPORT AUTHORIZE THE ACQUISITION OF APN 634-062-006 JANET M. MOORE, SENIOR MANAGEMENT ANALYST JULY 8, 2004 CERTIFICATE OF ACCEPTANCE OF DEED By Minute Motion, 1) authorize the acquisition of 75-444 Orange Blossom Lane (APN 634-062- 006) for the purpose of retaining affordability covenants and resale; and 2) authorize the Executive Director to execute any documents necessary to facilitate this acquisition. Funds are available in the Housing Set -Aside Fund. Executive Summarv: The Agency has the first right of refusal to purchase resales at Desert Rose in order to maintain affordability covenants and resell the unit to another qualified buyer. If the Agency fails to execute its option to purchase within a 60-day period, the homeowner can sell the house to a non -qualified buyer and the Agency would lose its covenants on the property. Discussion: The above -referenced property is owned by Michael and Toni Paley who are selling the property. The Agency has the first right of refusal to purchase the properties. Staff desires to exercise the Agency's option to purchase in order to retain affordability covenants in anticipation of the expiration of the 60-day Right of Refusal to purchase period to allow for additional time to identify a low income family to purchase the unit. The home was purchased in November of 2000 for the sale price of $95,000.00. Based on the formula for resale described in the Unit Regulatory Agreement, the seller is authorized to sell the home for $108,822 plus commissions and reasonable closing costs. The Agency has the right to purchase the properties for the same amount as the sellers are authorized to sell. GARDA\Patty Leon\Wpdocs\TLaRocca\Staff Reports\Paley Acquisition.wpd Staff Report Authorize the Acquisition of 75-444 Orange Blossom Lane July 8, 2004 Page 2 A low or moderate income family will be identified from an established waiting list and will purchase the home directly from the Agency. It will be necessary for the Agency to provide a Second Trust Deed to a new buyer in an amount necessary for them to qualify to purchase the home. The new buyer will be required to sign a new Unit Regulatory Agreement for a covenant period of 30 years as prescribed in the Desert Rose Unit Regulatory Agreement. Monies are available in the Agency's Housing Set -Aside Fund. ' Submitted by: Ja et 41. Moore Senior Management Analyst a Approval: f J in McCarthy, A M/ pment Carlos L. Orte , Executive Director G 1RDA\Patty Leon\Wpdocs\TLaRc cca\Staff Reports\Paley Acquistrion.wpd Department H .. La Rocca of Housing ala/,/� Paul Gibson, Director of Finance A.P.N. 634-062-006 CERTIFICATE OF ACCEPTANCE OF DEED (Gov. Code 27281) THIS IS TO CERTIFY that the interest in real property conveyed by the Grant Deed from Michael Palev and Toni Palev, husband and wife, to THE PALM DESERT REDEVELOPMENT AGENCY, a public body, corporate and politic, the legally described property as: Lot 92 of Tract Map No. 27546, in the City of Palm Desert, County of Riverside, State of California, as per map recorded in book 249 of maps, pages(s) 63 through 68 inclusive, of the official records of Riverside County,also known as 75-444 Oranae Blossom Lane, is hereby accepted by order of the Agency Board on behalf of the Agency pursuant to Minute Motion of the Agency Board on July 8. 2004, the Grantee consents to the recordation thereof by its duly authorized officer. Date: July 8. 2004 PALM DESERT REDEVELOPMENT AGENCY A public body, corporate and politic Robert A. Spiegel, Chairman State of California }SS County of } On , 20 , before me, , a Notary Public, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/theirsignature(s) on the instrument the person(s), orthe entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature