AgdaPkt 2010-05-24 special, clsd and jnt

Browse Search

6.3G Page 2 Purchase and Sale Agreement (PSA) with the City within one year of bid award, if the City and the Housing Coalition are able to negotiate mutually agreeable PSA terms. If the PSA is executed and the property is conveyed to the Housing Coalition, the Housing Coalition will be further obligated to maintain the property as affordable housing for a period not less than 55 years from the date of the execution of the PSA. Until the City and the Housing Coalition are ready to approve and execute a satisfactory PSA with mutually agreeable terms, both parties will enter into an Exclusive Negotiation Agreement (ENA) to formalize this understanding. The ENA in no way obligates the City to enter into a PSA with the Housing Coalition; the City will only enter into a PSA with the Housing Coalition if mutually agreeable terms are achieved. The project location is within the Redevelopment Plan Area boundaries, and a PSA is being required for consistency in regulatory agreements in developments sponsored by the City. The bid documents are available for review in the Office of the City Clerk. Summary of Bid Terms 1. The term of the Property Management Agreement shall be one year from the date of bid award. 2. At the City's discretion, Execution of a PSA and Affordable Housing Covenants with the City within one year (twelve months} of bid award. 3. Upon successful execution of the PSA, the Affordable Housing Covenants will be recorded on the property at transfer of title and shall be for a minimum term of 55 years from the date of execution of the PSA. 4. City shall retain a reversionary Interest in the event the Property is not used for the intended purposes. 5. In the event Bidder fails to use the property for the intended purposes, City shall have the right to repurchase for the amount of sale to Bidder. 6. Bidder shall have no right to encumber the property except with financing provided by Bidder. 7. Bidder shall lease the property to qualified low or very low income households within 30 days of the date units become vacant. 8. The cost of property management shall be $60.00 per unit per month plus a $9.50 per unit bookkeeping fee. Bidder's Experience Mid-Peninsula Housing Management Corporation has almost 30 years of experience managing multifamily properties subsidized by the Department of Housing and Urban Development (HUD) and financed through numerous sources including Low income Tax Credits. The Corporation was formed byMid-Peninsula Housing Coalition, anon-profit organization, in 1981, to maintain its affordable developments which currently total approximately 85 developments with 5,500 units in nine counties throughout the Bay Area. Two of the developments, a total of 26 units, are managed in partnership with Adobe Services as well as a 56 unit single room occupancy units (SRO) in conjunction with Mental Health Services of San Mateo County and are all supportive housing developments. Mid-Peninsula Housing Management Corporation manages 108 affordable housing units in Redwood City. City Center Plaza with 81 units, is located within a quarter of a mile from the Main Street housing development and is where services will be provided to the Main Street residents. Redwood Court has 27 units located at Chestnut and Spruce Streets. Reporting requirements include conducting annual recertification of tenant income, annual occupancy reports, and providing an internal compliance department to insure successful audits by local, state and federal agencies. Staff believes the sole bid received from Mid-Peninsula Housing Management Corporation to be a responsible and valid bid and adequate to meet the City's needs for 1306 Main Street.