HomeMy WebLinkAboutReso 2005-315
RESOLUTION NO. 2005-315
RESOLUTION OF THE CITY COUNCIL OF CHULA VISTA
APPROVING THE FOLLOWING ACTIONS FOR SENIORS
ON BROADWAY LIMITED PARTNERSHIP, A CALIFORNIA
LIMITED PARTNERSHIP, FOR THE DEVELOPMENT AND
OPERATION OF SENIORS ON BROADWAY:
A) APPROPRIATION OF AN ADDITIONAL $2,467,345
FROM THE AVAILABLE BALANCE IN THE CITY'S HOME
INVESTMENT PARTNERSHIP PROGRAM (HOME) FUNDS
FOR FINANCIAL ASSISTANCE
B) A FIRST AMENDMENT TO THE LOAN AGREEMENT
AND RELATED RESTRICTIVE COVENANTS/HOME
PROGRAM PARTICIPATION AGREEMENT
C) A FIRST AMENDMENT TO THE LEASEHOLD DEED
OF TRUST WITH ABSOLUTE ASSIGNMENT OF LEASES
AND RENTS, SECURITY AGREEMENT AND FIXTURE
FILING
D) A FIRST AMENDMENT TO THE PROMISSORY NOTE
WHEREAS, Seniors on Broadway Limited Partnership, a California limited partnership
(Developer) has proposed to construct a 42-unit apartment building located at 825 Broadway in
the City of Chula Vista (Project); and
WHEREAS, the Seniors on Broadway development shall provide forty-oneunits of
affordable rental housing to very lowincome seniors and one unit for an on-site manager; and
WHEREAS, the City has adopted a Housing Element to the City's General Plan which
sets forth the objective of providing housing to satisfy the needs and desires of various age,
income and ethnic groups of the community, and which specifically provides for the
development of rental housing units through City assistance; and
WHEREAS, the City has been allocated funds from the United States Department of
Housing and Urban Development (HUD) pursuant to the federal government's HOME
Investment Partnerships Program (42 U.S.C. Section 1274, et seq.) which can be used to provide
subsidies to or for the benefit of very low income and lower income households in accordance
with HOME regulations (24 C.F.R. Section 92, et seq.); and
WHEREAS, in order to implement the requirements of the HOME Program, the City
Council of the City of Chula Vista (City Council) entered into a Loan Agreement and Related
Restricted Covenants with the Developer, which was executed on March 2, 2005, pursuant to
which the City would provide a loan of One Million Forty Three Thousand Eight Hundred and
Fifty Dollars ($1,043,850.00) to the Developer; and
Resolution No. 2005-315
Page 2
WHEREAS, the City and the Developer entered into an "Affordable Housing
Agreement" executed on March 2, 2005, which set forth the affordable requirements applicable
to the Proj ect; and
WHEREAS, First Amendments shall be executed for the following documents:
a) Loan Agreement and Related Restrictive CovenantslHOME
Program Participation Agreement (Loan Agreement)
b) Leasehold Deed of Trust with Absolute Assignment of Leases and
Rents, Security Agreement and Fixture Filing (Deed of Trust)
c) Promissory Note (Note)
pursuant to which the City would provide an additional loan of HOME funds not to
exceed two million four hundred sixty seven thousand, three hundred forty-five dollars
($2,467,345) to the Developer; and
WHEREAS, the additional funds will bring the total amount of City assistance to three
million five hundred eleven thousand, one hundred ninety-five dollars ($3,511,195); and
WHEREAS, the City Council has duly considered all terms and conditions of the
proposed First Amendments to the a) Loan Agreement, b) Deed of Trust and c) Note and
believes that the Amendments are in the best interest of the City and the health, safety, and
welfare of the residents of the City, and in accord with the public purposes and provisions of
applicable Federal, State and local law requirements.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CHULA VISTA DOES
HEREBY RESOLVE AS FOLLOWS:
Section I. The City Council hereby approves the First Amendments to the a) Loan
Agreement, b) Deed of Trust and c) Note in substantially the forms presented. The Mayor and
City Manager and their designees are hereby authorized to sign all documents, to make all
approvals and take all actions necessary or appropriate to carry out and implement the First
Amendments to the (a) Loan Agreement, b) Deed of Trust and c) Note and to administer the
obligations, responsibilities and duties of the City to be performed under the Loan Agreement
and related documents.
Section 2. The City Attorney, on behalf of the City, is hereby authorized to make
revisions to the First Amendments to the a) Loan Agreement, b) Deed of Trust and c) Note,
which do not materially or substantially increase the obligations of the City there under or
materially or substantially change the uses or development permitted on the Site.
Presented by
Approved as to form by
8cx/ n.~~)
Ann Moore
City Attorney
Resolution No. 2005-315
Page 3
PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista,
California, this 13th day of September, 2005, by the following vote:
AYES:
Councilmembers:
Castaneda, McCann, Rindone, and Padilla
NAYS:
Councilmembers:
None
ABSENT:
Councilmembers:
Davis
l,(!~l LL L
Stephen C. Padilla, Mayor
ATTEST:
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""L- 6u (u.J~~
Susan Bigelow, MMC, City lerk
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO )
CITY OF CHULA VISTA )
I, Susan Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing
Resolution No. 2005-315 was duly passed, approved, and adopted by the City Council at a
regular meeting of the Chula Vista City Council held on the 13th day of September, 2005.
Executed this 13th day of September, 2005.
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Susan Bigelow, MMC, City lerk