Laserfiche WebLink
CITY ATTORNEY <br />Sonia R. Carvalho <br />CITY MANAGER <br />Alvaro Nuñez <br />CITY CLERK <br />Jennifer L. Hall <br />20 CIVIC CENTER PLAZA - P.O. BOX 1988, M31 - SANTA ANA, CALIFORNIA 92702 <br />TELEPHONE (714) 647-6900 - FAX (714) 647-6954 - www.santa-ana.org <br />Councilmember-Requested Item Report <br />DATE <br />April 7, 2026 <br />TOPIC <br />City Council Initiated Proposal Review in Accordance with the City of Santa Ana <br />Affordable Housing Funds Policies and Procedures - Habitat for Humanity Affordable <br />Homeownership Project <br />COUNCILMEMBER-REQUESTED ITEM TITLE <br />Discuss and Consider Providing Direction to the City Manager and Community <br />Development Agency to Conduct a Review of a Proposed Habitat for Humanity <br />Affordable Homeownership Project at 502 East Pine Street, Including Evaluation of <br />Potential Affordable Housing Funding to Support the Project. <br />BACKGROUND <br />Habitat for Humanity of Orange County (“Habitat”) has requested that the City <br />Council review its proposal and approve a sole-source award of funding allowable <br />under the adopted Affordable Housing Funds Policies and Procedures utilizing the <br />City Council Initiated Proposal Review process (See Exhibit 1 on page 10). <br />The proposal involves the acquisition and rehabilitation of an existing 18-unit <br />condominium complex located at 502 East Pine Street, which currently operates as <br />rental housing (See Exhibit 2). Habitat proposes to rehabilitate the property and <br />convert the units into permanently affordable homeownership opportunities for low- <br />income working families in Santa Ana. Planned improvements include interior <br />rehabilitation of the units, upgrades to plumbing and electrical systems, and <br />improvements to shared amenities such as the courtyard, laundry facilities, <br />elevator, and parking structure. <br />The estimated total development cost is approximately $13.07 million, and Habitat has <br />requested $6 million in City affordable housing funding to support acquisition and <br />rehabilitation of the property. <br />Habitat anticipates completing acquisition, rehabilitation, and resale to qualified first- <br />time homebuyers within approximately 24 months after funding approval. <br />DISCUSSION <br />Santa Ana continues to face one of the most competitive housing markets in California, <br />where rising housing costs make homeownership increasingly out of reach for many <br />working families. While the City has made progress in supporting affordable rental <br />housing, opportunities for affordable homeownership remain limited. <br />This proposal represents an opportunity to: