HomeMy WebLinkAboutReso 2015-098 RESOLUTIOI�' I�'O. 201�-098
RESOLUTION OF THE CITY COUI�'CIL OF THE
CITY OF CI-IULA VISTA APPROVING A
DEVELOPMENT INIPACT FEE DEFERRAI_
AGREEMENT WITH STOI�'E CREEK CASITAS. LLC.
FOR APPROXIMATELY $1 J MILLIOI`' OF FEES IN
CONt�'ECTION �'�TH A 97 LJNIT APARTMEI�TT
PROJECT ON A�IA1N STREET NEAR VVALNUT
DRIVE
V�'HEREAS, in��estment in H�estem Chula Vista has been a challenge for im�estors and
de��elopers due to the hieh equit�= requirements of the lending industry; and
VJHERE.AS_ to help address this challenoe, on April 14, 201�, the Cin� Council amended
the Chula Vista A4unicipal Code (`CVMC") to add chapter 3.�6 that a11oN�s the deferral of
de��elopment impact fees in westem Chula Vista via a fee deferral agreement; and
�l'HEREAS, pursuant to the Cit��'s new authorin under the CVA4C, Cit}� staff has
recommended that the Cit}� enter into a Fee Deferral Aereement ("Aareemenr') with Stone
Creek Casitas LLC (`De��eloper') with respect to its proposed 97-unit Stone Creek Casitas
apartment project to be located at 387� A9ain Street ("Projecr`); and
l\'HEREAS. the proposed Project N�ill be of public benefit because it ��Rll provide ne���;
hiehlv amenitized, mazket rate rental housing of a n�pe that is needed in the south�a�estem azea of
the Cin�: and
WHEREAS, Ciri� staff revie���ed the Project pro forma and determined that the Project
���as not feasible H�ithout assistance to maintain Project qualit}� and meet the increased equin�
requirements of the Project lender; and
WHEREAS; the Agreement pro��ides this needed assistance b�� allowine for the deferral
of portions oF the Project's Western Chula Vista Transportation Development Impact Fee, the
Project's Public Facilities Development Impact Fee, and the Project's l�'estem Chula Vista Park
and Acquisition Development Impact Fee, with a total fee deferral amount of approaimateh� �1.7
million: and
V�'HEREAS; the terms of the Agreement aze consistent ���ith the requirements of the
CVMC; includin� a maximum thim }�ear repa}�ment period, interest accrual at a fair market rate
of nvo percent (2%) per annum. no payments due for the first 10 vears of the agreement, �vith
repa��ment secured b�� a deed of trust recorded against the Project.
Resolution No. 201�-098
Page No. 2
NOV�', THEREFORE; BE IT RESOLVED by the City Council of the Ciri� of Chula
Vista, that:
l. In accordance with CVMC Sections 3.�6.010 and 3.56.030(C), the City Counci] finds
that the Fee Deferral Agreement ��ith Stone Creek Casitas. LLC. will pro��ide a
significant public benefit b}� helping to facilitate the development of high qualit�� housing
that is needed in R'estem Chula Vista which might not otherwise constructed.
2. In accordance ��ith CVMC Section 3.�6.O10 and 3.56.030(C), the City Council finds that
it would be financiall�� infeasible to construct the Project as proposed absent such a
deferral.
3. In accordance with CVMC Section 3.56.030(A), the City Council waives any application
submittal requirements for such a deferral.
4. The Cit}� Counci] approves the Fee Deferral Agreement in the form presented, with such
minor modifications as ma�� be required or approved by the City Attorney. a copy of
which shall be kept on file in the office of the City Clerk, and authorizes and directs the
Mayor to exeeute same.
5. The findings and actions in this Resolution shall be effective on May 22, 2015, the
effective date of Chapter 3.56 of the CVMC.
Presented by Approved as to form by
„
Kell�� . roughton, FASLA len R. oogins
Director of Development Services 6ii.y orney
Resolution No. Z01�-098
Pase I�'o. 3
PASSED. APPROVED. and ADOPTED b� the Cirv Counci] of the Citv of Chula Vista.
Califomia. this �th dav of Mav 201� b�� the foilo��ins ��ote:
.AI'"ES: Councilmembers: Aeuilaz. Bensoussan. McCann and Salas
NAI'S: Councilmembers: None
ABSENT: Councilmembers: None
ABSTAIN: Councilmembers: Miesen
n ar�� as. A4a��or
ATTEST:
�
Donna R. Noms. C�9 . Citv Clerk
STATE OF CALIFORI�'IA )
COUI��TY OF SAN DIEGO )
CITY OF CHULA \'ISTA )
I. Donna R. I`'oms. Cit�� Clerk of Chula Vista Califomia. do hereb�� certifi� that the foreeoine
Resolution No. 201�-098 ���as dulv passed. appro��ed, and adopted by the Cit�� Council at a
reeulaz meetine of the Chula Vista Cim Council heid on the �th dav of Mav 201�.
Ezecuted this �th da�� of Mav 201�.
Donna R. Norris. C. Cin�Clerk
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