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1997-03 CRA
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1997-03 CRA
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Last modified
1/3/2012 12:21:10 PM
Creation date
3/3/2005 10:03:31 AM
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City Clerk
Doc Type
Resolution
Doc #
CRA 1997-03
Date
2/3/1997
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<br />. <br /> <br />. <br /> <br />. <br /> <br />for the development of single-family housing which may be counted <br />towards the City's Replacement Housing obligation; and <br /> <br />WHEREAS, Developer has proposed to acquire the Parcels and <br />construct Replacement Housing units on the Parcels, to be rented or <br />sold to Lower Income households, at an affordable housing cost, and <br />has requested the assistance of the Agency in financing the <br />acquisition and development costs; and <br /> <br />wttEREAS, the Agency has prepared a proposed Implementation <br />Agreement (the "Agreement"), providing for a loan to Developer in <br />the amount of not to exceed $910,000, subject to terms and <br />conditions set forth in the Agreement; and <br /> <br />WHEREAS, the Replacement Housing to be developed pursuant to <br />the Agreement will comply with the applicable HUD Requirements; and <br /> <br />WHEREAS, the Agreement provides that upon completion of <br />construction, if the Developer elects to operate the Replacement <br />Housing units as rental housing, Developer will obtain a permanent <br />conventional first mortgage loan in the maximum amount obtainable <br />in light of the restricted rents, the proceeds of which shall b~ <br />used to repay all or part of the Agency Loan; and <br /> <br />WHEREAS, in order to facilitate Developer's ability to obtain. <br />such permanent financing, the Agency will be required to <br />subordinate its deed of trust and affordable housing requirements <br />to the lien of the permanent lender; and <br /> <br />WHEREAS, pursuant to the Redevelopment Law, in order to <br />subordinate the affordable housing covenants and restrictions of <br />the Agreement to the security interests and liens of a lender, the <br />Agency is required to find that an economically feasible <br />alternative method of financing the Replacement Housing units on <br />substantially comparable terms and conditions, but without <br />subordination, is not reasonably available; and <br /> <br />WHEREAS, copies of the proposed Agreement in substantially <br />final form have been presented to this Agency and city Council; and <br /> <br />WHEREAS, pursuant to the proposed Agreement, the five units to <br />be constructed on the Parcels will be occupied by and restricted to <br />lower income households, at affordable housing cost; and <br /> <br />WHEREAS, the development of the Parcels pursuant to the <br />Agreement is an activity that is categorically exempt from the <br />California Environmental Quality Act (Class 3, CEQA Guidelines § <br />15303); and <br /> <br />-2- <br />
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