80B - JOINT PH - ACQUISITION 335 E MCFADDEN

Home Browse Search

Joint Public Hearing - Sale of Agency-Owned Property June 20, 2011 Page 2 2. Authorize the Executive Director, or designee, to execute the attached agreement for the sale of real property to the City of Santa Ana located at 335 East McFadden Avenue (APN 011- 065-19) in the amount of $272,860, plus normal closing costs and escrow fees, subject to non-substantive changes approved by the Executive Director and Agency General Counsel. DISCUSSION During the course of its regular activities, the Community Redevelopment Agency (Agency) acquired a number of properties for residential development through freeway widening and/or street realignment activities, including the subject property. The subject property is located at 335 East McFadden (Exhibit 1) and lies within the Eastside Neighborhood. It is zoned R1 and was initially to be developed as affordable for-sale single family homes. During the developer selection process for the Infill Scattered Sites Project, this property and the five adjacent City-owned properties were removed to allow staff and the community time for the consideration of alternative uses. This approval would consolidate ownership of all the lots and allow further explorations of options as well as funding sources. Under the proposed purchase agreement, the Agency-owned property at 335 East McFadden Avenue will be purchased by the City using District 3 Acquisition and Development funds. The property is currently vacant, and its proposed purchase price of $272,860 is based on its current appraised fair market value. A public notice was published on June 6 and June 13, 2011, in the Orange County Reporter. ENVIRONMENTAL COMPLIANCE In accordance with the California Environmental Quality Act, this sale is exempt from further review. Categorical Exemption number ER-2011-47 will be filed for this project finding that it is exempt pursuant to California Code of Regulations, Title 14, Division 6, Chapter 3, Section 15332(d) and (3). This action results in a transfer of title only and will not result in any significant effects relating to traffic, noise, air quality, or water quality. Any future development will be limited to construction of small structures or facilities such as public parking and recreation/playground improvements. FISCAL IMPACT Funds to purchase the property are available in the District 3 Acquisition and Development account (no. 31313260-66100). Proceeds from the sale of the property to the City of Santa Ana will be deposited in the Agency's Merged Low and Moderate Income Housing Fund account (no. 50718002-58500). 8OB-2