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HomeMy WebLinkAboutReso 1990-249 - Agreement between j.c.mc, a general partnership I'I , i I ,, , RESOLUTION NO. 9Q ...NI I I , A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING APPROVING THE AGREEMENT BETWEEN J.C.MC. , A GENERAL PARTNERSHIP, AND THE CITY OF REDDING FOR I , DENSITY INCREASE, AND AUTHORIZING THE MAYOR TO SIGN SAME. BE IT RESOLVED by the City Council of the City of Redding as follows: i . 1. The City Council of the City of Redding hereby approves the agreement I between the City of Redding and J.C.MC. , a General Partnership, for density increase pursuant to the provisions of Government Code Section 65915, et seq. H. 2. The Mayor of the City of Redding is hereby authorized and directed to 111 . i sign all necessary documents on behalf of the City of Redding and the City I Clerk is hereby authorized and directed to attest the signature of the Mayor 1 and to impress the official seal of the City of Redding on the aforesaid documents, when appropriate. I 3. A true copy of the agreement referred' to herein is attached hereto and made a part hereof. HII I HEREBY CERTIFY that the foregoing resolution was introduced and read at Il a regular meeting of the City Council of the City of Redding on the 5th day of June , 1990, and was duly adopted at said meeting by the following vote: I IAYES: COUNCIL MEMBERS: Arness, Dahl , Fulton, Moss & Buffum NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None ABSTAIN: COUNCIL MEMBERS: None I yY ;0/ i le4"(---/// City Redding ATTEST: 5e-bea 0. 724466.s '1 ETHEL A. NICHOLS, City Clerk I. j FORM APPROVED: 1 )16 DALL A. HAYS, C Attorne144Cd. ' y Q© i 1 ‘ l� I 1 • IF j DENSITY INCREASE AGREEMENT I 'I' THIS AGREEMENT is made and entered into this 5th day of June, 1990 by and I ; between J.C.MC. , a General Partnership (hereinafter referred to as "Property ' ; Owner") and the City of Redding (hereinafter referred to as "City"), a Ii municipal corporation and general law city of the State of California. I ' h RECITALS II The real property affected by this Agreement is situated in the westerly sector of the City of Redding, California and is identified as 1529 Willis i '1 Street (the "property"). A legal description of the property is attached as Exhibit "A". I The property Owner submitted to the City's Department of Planning and 1 Community Development ("Department") a Use Permit application requesting , li permission to construct a 10-unit apartment complex on subject property on two parcels. ! The Redding General Plan classifies the property as "Residential, 9 units per II acre," permitting a maximum of 8 units to be developed on the property. i; Government Code Section 65915 et seq. permit density increases of bonuses over I, , the maximum density authorized by the General Plan, when a developer of housing agrees to construct at least 20 percent of the total units in the proposed housing development for persons and families of lower income as ' defined in Section 50079.5 of the Health and Safety Code, or 10 percent of the I H units of the housing development for very low-income households, as defined in Section 50105 of the Health and Safety Code. Under such circumstances, the I ; City is required to grant a density increase of not less than 25 percent over ' I. the otherwise maximum allowed under the City's General Plan. I + The Development here proposed as shown in the Use Permit as approved, would permit the development of 10 residential units. The Property Owner has agreed I, , to construct 2 of the 10 units (20% of the base density) as units which shall I, , I be made available to lower-income households as defined in Health and Safety Code Section 50079.5. Alternately, 1 of the 10 units on the site (10% of the base density) could be made available to very low-income households, as I' H defined in Health and Safety Code Section 500105. The providing of these H. units to lower-income households satisfies the requirements of Section 65915 I, and justifies the density increase for the project. The remaining units in ! the project may be sold or rented at market rates free of any restrictions under this Agreement. I I The purpose of this Agreement is to ensure, among other things, that the units for lower-income households are constructed and made available in accordance with Government Code Section 65915. This Agreement is entered into pursuant ,! to Government Code Section 65915 et seq. and except to the extent expressly inconsistent therewith, incorporated by reference such sections. H Based on the foregoing, the parties agree as follows: ! 1. Definitions. In this Agreement, unless the context otherwise requires; I I , - 1 - i, • • a. "City" is the City of Redding. b. "Project" is the development known as J.C.MC. Apartments as approved, subject to conditions, by the City. c. "Property Owner" means the person having a legal or equitable interest in the subject real property described in Exhibit "A," including any such persons successor-in-interest; it further refers to any party ("developer") who has entered into an agreement to purchase the property with the intention of developing it into residential units. d. "Real Property" or "the Property" is the real property referred to in Exhibit "A." e. "Use Permit" is that Use Permit UP 163-88 describing the conditions ' upon which the City will allow the construction of a 10-unit apartment complex on property located at 1529 Willis Street. f. "Department" is the Department of Planning and Community Development of the City of Redding. 2. Exhibits, which are attached and made a part of this Agreement by this reference: Exhibit Designation Description 11 , "A" Real Property li "+g"+ Use Permit UP-163-88 I �! "C" Approved Site Plan 3. Description of Real Property. The real property which is the subject of this Agreement is described in Exhibit "A." H4. Binding Effect of Agreement. The burdens of this Agreement inure to the assignees and to the successors-in-interest of the parties. 5. Ownership of Real Property. Property Owner represents that he has an • interest in the real property, that it will provide Department with a title report showing all record owners thereof, signatures duly acknowledged, of all record owners of the Property on this Agreement. 6. Time of Execution and Recording: City Approval of Project. This fir Agreement shall be executed first by the Property Owner and thereupon it shall be delivered to City. The Agreement shall thereafter be executed by City, prior to City's issuance of building permit for the project. Thereafter, it shall be recorded in accord with Section 13 of this Agreement. • 7. Relationship of Parties. It is understood that the contractual 11, relationship between the City and Property Owner is such that the owner is an independent contractor and not the agent of the City. - 2 - I' I' I • • LI! 8. Set Aside Commitment. a. Basic Commitment. Property Owner will set aside each month, ii commencing with the month 10 apartments are available for rent, a number of apartment units for occupancy by either tenants certified as lower or very low-income households, as defined by Section 50079.5 of the California Health and Safety Code, as it shall from time to time be amended. An apartment unit shall be deemed to have been "set aside" and to be counted toward meeting the requirements of this Agreement if the apartment unit is either vacant or occupied by a tenant meeting the requirements of a lower or very low-income household. The number of units to be set aside by Property Owner shall be 2 j units set aside for lower-income households provided, however., the Property Owner may, for the purpose of meeting the set aside requirements, substitute occupancy of one unit by a household of very low-income. For the purpose of establishing equivalency, occupancy by one very low-income household shall meet the set aside requirement for 2 lower-income households. Property Owner shall make a concentrated effort to distribute the units set aside thereunder throughout the complex so as to avoid any concentration of lower or very low-income households. The maximum rents to be charged for units set aside must comply with ! � State law as interpreted by the Department of Housing and Community Development. The formula for establishing the maximum allowable I! , month rent is as follows: for lower income tenants [ .60 x area II median income x .30] / 12; for very-low income tenants [ .50 x area median income x .30] / 12. Property owner shall retain the right to approve or disapprove for certification as a lower or very-low household so long as Property Owner does not otherwise violate State or Federal laws in granting or withholding such approval of prospective tenants. b. Rental Procedure. Upon the Department receiving Property Owner's notice in writing of the unit's availability for occupancy, the availability of the units shall be advertised by the Property Owner. I ! Property Owner shall diligently seek to disseminate knowledge of the availability of the units that are vacant or that later become vacant. Such marketing shall consist of good faith efforts to provide information and otherwise attract persons of lower- and very low-income in the housing market area to the available housing. Marketing techniques shall include, but not be limited to, use of commercial media, use of community contacts, use of equal opportunity logotype or slogan, and display fair housing posters. c. Time of commitment. Property Owner shall make the lower-income units available to lower-income households under the terms and conditions of this Agreement for 10 years, commencing on the date the Property Owner notifies the Department that the unit is ready for occupancy; provided that such notification shall not be effective before the Building Department completes its final inspection of the units. - 3 I I' I • , , . . it III • 1' I, 1. d. Periodic Review. Upon yearly request by the Department, the ' Property Owner shall be required, no more often than yearly, on the anniversary of the use permit, to present to the Department an audit report conducted by a Certified Public Accountant. The audit report !; shall show for each month: (1) The total units occupied. �II (2) The total units vacant. bylower(3) The total units occupied or very low-income ' 1 households. 1' (4) The total, if any, by which the units set aside fell short of 11the required number of units to be set aside for that month 11 the (hereafter call "default units"). ! I The audit report shall also show annual totals for each of the foregoing categories and an average monthly defaulted unit figure. I 9. Land Use Restrictions. Except as otherwise set forth in the Agreement, j ' the density and intensity of the real property, the maximum height and size of proposed buildings to be constructed on the real property and any H provisions for reservations and dedication of the land for public I purposes shall be as set forth in the Use Permit attached hereto as h' Exhibit "B", and as required by the conditions of City's issuance of a 1 building permit. I 10. Events of Default. Property Owner is in default under this Agreement upon the happening of one or more of the following events or conditions: a. A breach of warranty, representation or statement made or furnished by property owner to the City in any material respect when it was made. b. A finding and determination by the City made following a periodic 1; review under the procedure provided for in Section 8 (d) that upon the basis of substantial evidence the Property Owner has not ! I complied in good faith with one or more of the terms or conditions I ' of this Agreement. Lack of good faith compliance includes, but is not limited to, occupancy by non-qualifying households of units set i , aside for lower-, or very low-income households. I 11. Procedure Upon Default. a. Upon the occurrence of any event of default by the Property Owner, the City shall have the right to withhold electrical service for any unit which becomes vacant until the Owner remedies the default. ' i Until the default is remedied, no such unit shall thereafter be rented until Property Owner presents evidence to the Department that the prospective tenant qualifies as very low- or lower-income household. Additionally, the average monthly default units shown on the audit report for the previous year shall be added to the units to be set aside during the next succeeding reporting period. - 4 - i li , II (' , • •1 1 j. b. City does not waive any claim or defect in performance by Property Owner implied if on periodic review the local agency did not propose h to modify or terminate the agreement. I c. Non-performance shall not be excused because of a failure of a third person. d. That the option of a law or other governmental activity making performance by the applicant unprofitable or more difficult or more expensive does not excuse the performance of the obligation by the Property Owner. e. Non-performance shall be excused only when it is prevented or delayed by acts of God or an emergency declared by any governmental I body. ' I f. All other remedies as law or in equity, including but not limited to 1 ! f. specific performance, which are not otherwise provided for in this Agreement are available to the parties to pursue in the event there is a breach. 12. Damages upon Termination. In no event shall Property Owner be entitled jto any damages against City upon termination of this Agreement. I 13. Recordation. City may record this Agreement or a memorandum thereof; LI provided that City shall not record the Agreement if Property Owner jI'I demonstrates that such recordation shall eliminate a source of I'II construction or permanent financing for the project; provided further j that should FHA insured financing be used on the project, the decision whether to record shall be made no later than 14 days after Property 1l' H Owner notifies City of the receipt of an FHA commitment. i 14. Subordination. City shall execute and record such documents as may be required by FHA or HUD to show that the obligations undertaken by ' I Property Owner under this Agreement, including but not limited to the ,' I very low- or lower-income housing obligation in paragraph 8, are subordinate to any FHA or HUD insured or direct project financing. 15. Notices. All notices required or provided for under this Agreement shall I 1be given pursuant to Section 18.78.030 of the Redding Zoning Ordinance. Notices to be given to Property Owner shall be addressed as follows: ! J.C.MC. P. 0. Box 493987 I I. Redding, CA 96049 1 Attn: Don McElwain The Property Owner and any successors in interest to it may change the address il by giving notice in writing to the City Manager, City Hall, 760 Parkview Avenue, Redding, CA 96001-3396, and thereafter notices shall be addressed and transmitted to the new address. - 5 - • j ,! IN WITNESS WHEREOF, this Agreement has been executed by the parties as of the day and year first above written. 1 II ' CITY OF REDDING, a Municipal Corporation I,I, By: NANCY BUFFUM, Mayor il li J.C.MC. APARTMENTS, a Proprietorship l By: it JAMES CHARLES, Owner By: DON McELWAIN, Owner j ; ATTEST: 1' , ETHEL A. NICHOLS, City Clerk FORM APPROVED: a +, RANDALL A. HAYS, City Attorney it I ' i' - 6 I ; SCHEDULE "A" ARCEL 1: • , ALL THAT PORTION OF PARCEL./ AS SHOWN ON THAT CERTAIN MAP�ITLED "LOT LINE I ADJUSTMENT L.S. NO. 86-84 FOR S.D. HAYES" FILED FOR RECORD APRIL 30, 1985 IN BOOK 24 OF PARCEL MAPS AT PAGE 174, AND THE NORTH 80 FEET OF LOT 11, BLOCK 6, AS SHOWN ON THE MAP OF BRESLAUER'S ADDITION TO THE TOWN OF REDDING, FILED MAY j 31, 1987 IN BOOK OF OLD TOWN PLATS AT PAGE 31, SHASTA COUNTY RECORDS, LYING • H, EASTERLY OF THE FOLLOWING DESCRIBED LINE: I � • BEGINNING AT THE NORTHEAST CORNER OF PARCEL B AS SHOWN ON SAID L.S. NO. 86-84, THENCE SOUTH 73°12'42" WEST A DISTANCE OF 79.78 FEET TO THE POINT OFBE GINNING OF THIS LINE; THENCE SOUTH 16°16'40" EAST, A DISTANCE OF 59.47 FEET TO A POINT ' i MARKED BY A NO. 4 REBAR W/PLASTIC CAP MARKED RCE 24121; THENCE SOUTH 16°11'13" i �. EAST, A DISTANCE OF 128.55 FEET TO A POINT IN THE SOUTH LINE OF PARCEL 2 • DESCRIBED IN THE DEED TO ROBERT E. MILTON RECORDED MARCH 12, 1937 IN BOOK 2298 OF OFFICIAL RECORDS AT PAGE 601, SHASTA COUNTY RECORDS, SAID POINT BEING THE POINT OF TERMINATION OF SAID LINE. PARCEL 2: ALL THAT PORTION OF PARCEL B, AS SHOWN ON THAT CERTAIN MAP ENTITLED "LOT LINE ADJUSTMENT L.S. NO. 86-84 FOR S .D. HAYES" FILED FOR RECORD APRIL 30, 1985 IN BOOK 24 OF PARCEL MAPS AT PAGE 174, AND THE NORTH 80 FEET OF LOT 11, BLOCK 6, • AS SHOWN ON THE MAP OF BRESLAUER'S ADDITION TO THE TOWN OF REDDING, FILED MAY I, 31, 1887 IN BOOK OF TOWN PLATS AT PAGE 31, SHASTA COUNTY RECORDS, LYING WESTERLY OF THE FOLLOWING DESCRIBED LINE: BEGINNING AT THE NORTHEAST CORNER OF PARCEL B AS SHOWN ON SAID L.S. NO. 86-84, I , THENCE SOUTH 73°12'42" WEST A DISTANCE OF 79.78 FEET TO THE POINT OF BEGINNING OF THIS LINE; THENCE SOUTH 16°16'40" EAST, A DISTANCE OF 59.47 FEET TO A POINT MARKED BY A NO. 4 REBAR W/PLASTIC CAP MARKED RCE 24121; THENCE SOUTH 16°11'13" EAST, A DISTA_NTCE OF 128.55 FEET TO A POINT IN THE SOUTH LINE OF PARCEL 2 • ji DESCRIBED IN THE DEED TO ROBERT E. MILTON RECORDED MARCH 12, 1987 IN BOOK 2298 OF OFFICIAL RECORDS AT PAGE 601, SHASTA COUNTY RECORDS, SAID POINT BEING THE POINT OF TERMINATION OF SAID LINE. ASSESSOR'S PARCEL NO.105-450-15, 19, 60 AND 61 .I I • Ali II ' • i Il ,. ASF Q�O�% • • _ . �_..� , • of Redding1 CZE ,,, \.. USE PERMIT NO. UP-163-88 "Extension" II, I Name and Address JCMC i 3187 Barrel Court Redding, CA 96001 1 The Board of Administrative Review considered and approved USE PERMIT UP-163-88, granting permission to construct a ten-unit apartment complex on property located : 1 at 1529 Willis Street and 2057 Butte Street in an "RM-9" Multiple Family " Residential District subject to compliance with all provisions of the Redding Ilii City Code and subject to the following conditions: it 1. Development is to be in substantial conformance with the plot plan dated November 2, 1988. ' 2. If a density bonus is utilized in accordance with Government Code Section 65915, the maximum number of units shall be ten. Prior to the issuance of a building permit, the owner/developer shall prepare and record an agreement between the City of Redding and the owner/developer stipulating that two of the ten apartment units (25 percent) shall be rented to persons of low or moderate income. The agreement shall be approved through resolution of the City Council . If the density bonus is not utilized, a maximum of eight units may be developed. 3. This use permit shall be automatically revoked without further action if '1 the activity or use for which the use permit was granted has not actively ! and substantially commenced within one year of the date of issuance. 4. The requirements of the Building Official and the Uniform Fire Code are to 1 jl be met. 5. The minimum Butte Street and Willis Street building setback is to be 15 I feet. j I, 6. The property owner shall dedicate 20 feet of right-of-way centered on the east property line to the City for the creation of an alley per the requirements of the Public Works Department. j. 7. The alley shall be improved per the specifications of the Public Works ! I Director. l ! I8. Parking is to be improved in accordance with Chapter 18.62 of the City Code II with a minimum of 17 spaces. Continued on Page 2. I ` I. '11 -(-n PkRKV1F'' AVENUE. REDD1NG, CA 964"X)1.3;Q6 TELEPHONE 91( 225 4000 ! it UP-163-88 "Extension"/OC • !: Page 2 III 9. The garage structure shall be set back from the alley a minimum of five feet. 11 10. Dedication of any necessary utility or storm-drain easements. II 11. Utilities, including electric, telephone, and cable television, are to be installed underground. I ' 12. Sewer and water lines are to be extended as specified by the Public Works I' , Department. 11.1, 13. All electrical facilities, including street lights, are to be installed in !,I, accordance with the City Electric Department's service policy as delineated !, , in Resolution 8542. l i 14. Thirty-five percent of the site area is. to be landscaped with live vegetation; irrigated planters are to be placed in accordance with the iH approved plot plan; and a landscaping plan is to be approved by the Planning III Department prior to the issuance of a building permit. 15. The trash enclosure shall be provided as depicted on the approved site plan. The enclosure shall have masonry or steel corner posts and be constructed IIII of material architecturally compatible with the main structure and providing I, II , a solid visual screen. ' 16. A six-foot-high, solid-block-post (or equivalent)-with-wood-insert fence I � � is to be constructed along the south property line, except within the front- yard setback. 17. Assessor's Parcel Nos. 105-450-55 and 105-450-20 shall be combined prior ; to the issuance of a building permit. Hi At its regular meeting of November 8, 1989, the Board of Administrative Review ,,I ;t granted a one-year extension of UP-163-88 subject to the previously imposed I ! conditions. 'I i' III ii! I II DATE SIGNED AND MAILED: November 20, 1989 A76e24,(r/(2/%2�0��i ' IPhillip A. erry, Pl71 g Director � ,, EFFECTIVE DATE: November 19, 1989 // i1I , Copies to: Property Owner Applicant, if not property owner Electric Department File Iii Ili" • III• ' -- 02.72' ""1 11Ii' a1 . 1 � a. •1.I, P1 t6 1640 E.� a_,...:,.:,_,.., �• 1,�I I 1----1 1 T [,, . 1 i . _ 1 i z ' -- -: - ,..,:::. i -,, , .--.4 -N. ! ,,,,, iii t.0 _ ""4-1-, . W � .. T` rh rr. .: .` '...'"4:-.� ---i'.':74;.;:',.`.- 4 �h ,7 - or.1.7C' t S.tiq 4'AKCr.1.'..•: PI • .. • ' Vrt1L y 1 h :1-.,-::" .. ✓,..-•';•....r",.........--:;.:... r t",•,..-N,'Pp*. r,...-a:: u'-..;;;-. 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