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The City owns the site and is contributing it to the project through a ground lease. The County of San
<br />Mateo (the “County”) and the City executed a Ground Lease Option Agreement which gives the County a
<br />right to ground lease the property from the City on February 3, 2022 and expires on February 3, 2027. On
<br />July 25, 2022, through a competitive process, the County selected MidPen Housing Corporation to develop
<br />1580 Maple Street into affordable housing. On March 3, 2023, the County and MidPen Housing
<br />Corporation executed an Exclusive Negotiating Agreement (ENA). The County has committed to extend
<br />or renew the current ENA. The current appraised value of the land is $5,140,000 based on a November
<br />13, 2025 appraisal.
<br />
<br />The County has committed $19,904,688, including $15,154,688 in Affordable Housing Funds 10.0 and
<br />$4,750,000 in Local Housing Trust Funds. Alongside their financial commitment, MidPen indicated that
<br />the County may have approximately 40 project -based vouchers (PBVs) available and MidPen intends to
<br />apply for vouchers after completing their entitlements. This information has not been confirmed by the
<br />County at this time. MidPen initially applied for PBVs in 2022 but was denied due to project readiness.
<br />
<br />Per the proposed maximum per unit subsidy of $300,000 and based on the total City contribution of
<br />$10,140,000 ($5,000,000 funds and $5,140,000 land value), results in the project needing approximately
<br />34 City-restricted units, which is $298,000 subsidy/per unit.
<br />
<br />The County funding requirements limit the City’s ability to impose a local preference based on the
<br />percentage of City funding compared to the total of City and County funding combined for the project.
<br />The total City and County funding is $30,044,688 which includes the County funds of $19,904,688 and
<br />requested City funds and land contribution of $10,140,000. City funding /land contribution currently
<br />makes up 34% of the total City and County funding. The City will be able to enforce the City’s local
<br />preference on 34% of the 77 total affordable units or approximately 26 units.
<br />
<br />The project submitted a Senate Bill (SB) 35 application on September 25, 2023 and comments were
<br />provided. MidPen intends to resubmit an updated SB 35 application and will be utilizing State Density
<br />Bonus Law. The City will determine the final affordability related to SB 35 and State Density Bonus once
<br />the project is entitled.
<br />
<br />New Construction Scope of Work:
<br />This is a new construction project with a total development cost of $69,007,625 or $873,514 per unit.
<br />MidPen is requesting $500,000 in predevelopment funds and $4,500,000 in permanent funds, plus the
<br />land contribution (valued at $5,140,000) to the project. Both the predevelopment and permanent loans
<br />are funded with Housing Impact Fees.
<br />
<br />Predevelopment funds will enable project to proceed with entitlement and design development work.
<br />The project is targeting to apply for tax credits and submit building permits in early 2027.
<br />
<br />Housing Impact Fee
<br />(Predevelopment)
<br />Housing Impact
<br />Fee (Permanent)
<br />City Land
<br />Contribution Total
<br />$500,000 $4,500,000 $5,140,000 $10,140,000
<br />
<br />
<br />Supportive Services:
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