HomeMy WebLinkAboutAgenda Report - April 1, 2009 K-02AGENDA ITEM Kw't
CITY OF LODI
COUNCIL COMMUNICATION
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AGENDA TITLE: Authorize the City Managerto Enter Into Negotiations with Eden Housing, Inc. in
regards to Affordable Senior Housing Development located at 2246 Tienda Drive
MEETING DATE: April 1,2009
PREPAREDBY community Development Department
KECUMMENDEU Ac-ntjN: Authorize the City Manager to Enter Into Negc fiations with Eden
Housing, Inc. in regards to Anordabie senior Housing Development
located at 2246 Tienda Drive.
BACKGROUND INFORMATION: In 2006, the City Council allocated $330,000 of our Community
Development Block Grant (CDBG) funding toward the acquisition of
land for an affordable housing project.
Shortly thereafter, we supplemented that 2006 CDBG allocation with a combination of both CDBG and
HOME fund program income that had been generated through our existing Housing Assistance
Programs that serve low-income homebuyers and homeowners. This provided a total of $1.2 million for
acquisition of land for an affordable housing project.
The City -owned property adjacent to the Roget Park site has been identified as the best -suited location to
use those funds. While there is no need to negotiate for the purchase of land, CDBG funds must be
allocated to a non-profit developer who will acquire the land from the City at a price determined through a
recent fair -market appraisal ($650,000). Through the execution of a Development, Disposition and Loan
Agreement (DDLA) the chosen developerwith take possession of the land and commit to producing an
affordable senior housing project within a determined timeframe. If the developer fails to develop a
project within the time noted in the DDLA, ownership of the land will then revert to the City.
A Request For Qualifications (RFQ)was distributed to a select group of experienced affordable housing
developers in Northern California. Two proposals were received, from Eden Housing in Hayward and
Domus Development in San Francisco.
A committee consisting of three Planning Commissioners, and one representative each from both the
Senior Citizen Commission and the Budget and Finance Committee, met and reviewed the two
submittals. A summary comparison of the two developers experience and qualifications that was
provided to the review committee is attached for your reference.
APPROVED: A�_'Q
B ing, City Manager
Authorize Negotiationswith Eden Housing, Inc.
April 1, 2009
Page 2 of 2
At the completion of its review, the committee recommended that Eden Housing be selected for further
consideration. Staff is therefore bringing this matter before the City Council to seek authorization for the
City Manager to enter into negotiation swith Eden Housing, Inc. for an agreement to develop an
affordable senior housing project at the property identified as 2246 Tienda Drive.
From that point, Eden Housingwill pursue its due diligence in reviewing the site in advance of a
Disposition, Development and Loan Agreement and the subsequent reallocation of CDBG funds for the
acquisition of the property.
FMK:AL IMPACT: None at this time.
FUN DING AVAILABLE: NIA
Konradt Bartlam
Community Development Director