75A - PH MACARTHUR PLACE SOUTH - SKYLINE TOWERS

Home Browse Search

Amend DA No. 05-02 and CUP Nos. 05-10 & 05-15 March 23, 2009 Page 3 The modifications to Development Agreement No. 2005-02 and Conditional Use Permit No. 2005-10 will give Nexus the ability to rent some or all units within the 349-unit Skyline Towers project, which was completed in October of 2008. Further, the modifications to the development agreement as well as Conditional Use Permit No. 2005-15 will give Integral the ability to secure financing and begin construction on the 276-unit Montage mid-rise development that will be located at the southwest corner of Main Street and MacArthur Boulevard (Exhibit 4). Given that the towers have been constructed with the original expectation that the residential units would be immediately offered for sale as luxury condominiums, the various design elements and amenities (enhanced interior and exterior finishes, unit fixtures, public and private spaces) for the Skyline Towers project are of a quality that exceeds that provided for any comparable project, rental or for-sale. In addition, because the units are completed but vacant, it allows for the towers to be occupied despite the recent downturn in the housing and financing markets. Further, it minimizes the potential for the towers to remain vacant for an extended period of time and provides readily available housing in the community. Nexus still remains committed to the eventual sale of units within the Skyline Towers and will be actively involved in the sale or rental of the units. Integral is also committed to developing the project as entitled, with the design elements, finishes and amenities for the Montage project to be of the highest quality. Integral is also committed to the eventual sale of units within the Montage project and will also be involved in the sale or rental of the units. The documents allowing the sale of units, including the subdivision map and covenants, conditions and restrictions (CC&Rs), have been recorded for the Skyline project, which allows Nexus the ability to continue to sell units now and in the future as the housing and financial markets shift. Thus this action may be a bridge to the ultimate owner occupancy of the project. The same documents have also been recorded for the Montage project, which will also allow Integral the ability to sell units as the project is constructed. The downturn in multi-family residential development has impacted projects throughout the county. Other adjacent communities such as Anaheim, Costa Mesa and Irvine have entitled similar mid and high-rise projects that have either been placed on hold or are recently completed. Table 1, shown on the following page, provides an update of select projects in these jurisdictions as well as identifies if the projects can be converted from condominiums to apartments. 75A-5