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405 ** committed to obtaining accurate information on each at risk project and maintaining ongoing contact with the respective regulatory agencies, lenders, and property owners. As part of Santa Ana's housing element amendment, a determination has been made regarding the legal status of each threatened project. Additional information necessary to assess the feasibility of acquisition in now necessary. This information includes copies of Promissory Notes, Deed of Trust or mortgages, regulatory agreements, subsidy contracts, financial statements, physical inspection reports, agency audits, and actual rent schedules. This information will be obtained, to the extent available, as part of the City's preservation program. Analysis Of Factors That Influence An Owner's Decision To Terminate The Operation Of Subsidized Housing As part of the City of Santa Ana's program for preservation, each threatened subsidized housing development will be analyzed to determine the likelihood that the property owner will repay the mortgage, opt out of rent subsidy programs or bring rents to market at the conclusion of regulatory agreements. This analysis while being grounded in the operating data for each project, such as ownership type, existing rent structure, net income, and owners's tax situation, will also include local housing market conditions and factors such as market rents, vacancy rates, and appreciated property values. Through this analysis of the Santa Ana housing market, key factors that motivate property owners will be better understood, advantages and disadvantages to terminating the operation of subsidized housing explored and potential incentives to encourage continued subsidized housing operation identified. i)elerndnation Of The Feasibility Of An Entity Acqniring And P,-eserving Subsidized Ilonsing The City of Santa Ana's preservation program includes the provision of careful feasibility analysis to determine; 1) Whether an owner is willing to sell to a nonprofit developer or some other entity interested in maintaining the affordable housing; 2) Whether interested parties have the capability to own and manage the property and provide quality housing to low-and very-low income households; and 3) Whether potential buyers with the city's assistance can raise sufficient debt and equity funds to cover predevelopment expenses, purchase the project, make necessary improvements and manage the property. Preparing a feasibility study can be quite complex and the city as part of its preservation program is prepared to assist in the evaluation of the physical, financial, and management needs of an existing building as well as in identifying financing to acquire, make improvements, and manage the project.