AgdaPkt 2004-03-22 - Laserfiche WebLink

Browse Search

�� -Z REPOR T To the City Council and Redevelopment Agency Board From the Redevelopment Manager and City Mar,ager March 8, 2004 Subject EI Camino Vera Street Affordable Housing Project Recommendation: It is recommended that the City Council/Redevelopment Agency Board direct staff to enter into negotiations with First Community Housing for an Exclusive Right to Negotiate on the EI Camino RealNera Street site for an affordable housing project, pursuant to the recommendation of the Housing and Human Concerns Committee. Background On January 27, 2004, First Community Housing (FCH) and Peninsula Habitat for Humanity presented a joint development proposal to the Housing & Human Concerns Committee for the construction of an affordable, mixed-use, for-sale and rental housing project on the EI Camino Real and Vera Street site. The project site is owned by the City (55%) and the Redevelopment Agency (45%). At the time of project development, the City will transfer its interest to the Redevelopment Agency. The Agency will subsequently transfer the site to the Developer approved by Council and the Agency Board. FCH proposed entering into an Exclusive Right to Negotiate (ERN) with the City and Redevelopment Agency in order to gain site control and apply for $4.6 million in funding from the State through its Multifamily Housing Program (MHP). The HHCC referred the proposal back to staff for further analysis. The HHCC also inquired about other developer interest in the site and the advisability of issuing an RFP. Staff responded that while an RFP had been considered, the FCH proposal indicated April deadlines for the MHP funding that precluded the issuance of an RFP if the deadlines were to be met. Subsequent discussions with FCH and the Agency's economic consultant Keyser Marston and Associates (KMA) have clarified some of the issues related to the MHP funding. According to KMA, applications for the MHP current round of funding are due April 6�". In order to maximize points, applications need to have 50% working drawings and all Planning Board approvals (with the exception of building permits). It is highly unlikely that FCH could meet this timeline. However, it is also anticipated that there will be other funding cycles in June and October. FCH could be in a very competitive position by then, and also be in a position to apply for the 9% tax credit program by June. Given this information, the question of whether or not to issue an RFP becomes more relevant and staff is seeking Council/Agency Board, as well as HHCC, input on the issue First Community Housing FCH is a non-profit housing development corporation specializing in building eco-friendly, affordable housing. FCH's Vera Street proposal includes 75 rental units and 10 units of for-sale housing, and on-site resident services such as computer fearning facilities, exercise rooms, free transit passes and communiry rooms, all to be constructed using prevailing wages. Staff and KMA reviewed FCH's proposal and met with FCH representatives for further clarification. FCH