60A - SENIOR RENTAL DENSITY BONUS

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Density Bonus Agreement for 2222 East First Street October 16, 2018 Page 2 2151 E. First Street has 71 units of permanent supportive housing is fully occupied. First Street Apartments at 1449 E. First St. is under construction and will have 68 units of multi- family housing. Two additional affordable housing projects are entitled on East First Street within 320 feet of each other. The current project under consideration, Villa Court Senior Apartments, includes 91 studio units, 262 one -bedroom units and 65 two-bedroom units. The family housing project, First Point I and ll, includes 27 one -bedroom units, 239 two-bedroom units, 146 three-bedroom units, and 140 four-bedroom units. If the two entitled projects, Villa Court and First Point I and II, are developed, there will be over 1,100 affordable housing projects along the First Street corridor between 1-5 and Grand. The City has not made any commitment in any form to provide funding for the development of this project. The approval of the Density Bonus Agreement shall not be construed as approval of the financing requested by the developer for the project and does not bind the City in any form to provide future funding for the development of the project. The Density Bonus Agreement (DBA) will allow for 418 affordable units on a 3.17 -acre site. The previously approved MEMU Environmental Impact Report (EIR) analyzes the impact of increased density based on a typical density of 90 dwelling units per acre. The proposed Density Bonus exceeds the density analyzed in the EIR. The Traffic Impact Analysis prepared on this project indicates that the project will not generate any new significant traffic impacts. The MEMU requires 15% publically accessible open space for multi -family projects or approximately 1/2 acre for this project. The project was approved with a Housing Density Bonus concession reducing the amount of open space required to less than 1/8 acre. The MEMU requires two parking spaces per unit inclusive of guest parking or 836 spaces for this project. The project was approved with a reduced number of parking spaces pursuant to AB 744. As a result, the required parking for this project is '/z parking space per unit or approximately 213 spaces. In summary, the Density Bonus Agreement as written will facilitate development of an affordable senior rental housing project that serves a group that was not identified as a priority population and locates two affordable housing projects within close proximity of each other contrary to the purpose and intent of the Santa Ana Municipal Code Article XVI.I — Density Bonus for Affordable Housing. DISCUSSION The California Density Bonus Law allows developers to seek increases in allowed zoning density by providing additional affordable housing units on-site. To make development of on-site affordable housing units feasible, the law allows developers to request incentives or waivers, which are essentially variances from development standards. The first version of the Density Bonus Law was 60A-2