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HomeMy WebLinkAboutAcquisition of 753448 Kelsey Circle APN 634-242-006PALM DESERT REDEVELOPMENT AGENCY STAFF REPORT REQUEST: AUTHORIZE THE ACQUISITION OF APN 634-242-006 SUBMITTED BY: JANET M. MOORE, HOUSING AUTHORITY ADMINISTRATOR DATE: APRIL 28, 2005 CONTENTS: CERTIFICATE OF ACCEPTANCE OF DEED Recommendation: By Minute Motion, 1) authorize the acquisition of 75-348 Kelsey Circle (APN 634-242-006) 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 Summary: 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 Agency has the first right of refusal to purchase properties from owners in Desert Rose who desire to sell. 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 in order to allow for additional time to identify a low income family to purchase the unit if it becomes necessary. The home was first purchased in June 28, 1996, for the sale price of $73,950.00. There has only been one (1) owner and based on the formula for resale described in the Unit Regulatory Agreement, the owner is authorized to sell the home for $95,040 plus commissions and reasonable closing costs. The Agency has the right to purchase the properties for the same amount as the owners are authorized to sell. G \RDA\Patty Leon\Wpdocs\JMM\staff report\Tripoli, Lisa son acquisition wpd Staff Report Authorize the Acquisition of 75-348 Kelsey Circle April 28, 2005 Page 2 With proper authorization, 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 to secure an affordable housing cost in order 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: J net Mj Moore H g Authority Administrator JMM: pl Approval: McCarthy, ACM/Redekelopment Carlos L. Ortega, ecutive Director G MATatty Leon\WpdocsV.MMlstafPrepon\Tripoli, Lisa ann acquisition wpd Department Head: Dave Yrig�4eDirector oelopment and Housing L' Paul Gibson, Director of Finance A.P.N. 634-242-006 CERTIFICATE OF ACCEPTANCE OF DEED (Gov. Code 27281) THIS IS TO CERTIFY that the interest in real property conveyed by the Grant Deed from Lisa-ann Tripoli to THE PALM DESERT REDEVELOPMENT AGENCY, a public body, corporate and politic, the legally described property as: Lot 40 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 75-348 Kelsev Circle, is hereby accepted by order of the Agency Board on behalf of the Agency pursuant to Minute Motion of the Agency Board on April 28, 2005, the Grantee consents to the recordation thereof by its duly authorized officer. Date: April 28, 2005 PALM DESERT REDEVELOPMENT AGENCY A public body, corporate and politic Buford A. Crites, 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/their signatures) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. [ Notarial Seal ] Signature