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17862 E. 17 T STREET, SUITE 209 <br />TUSTIN, CA 92780 <br />www.AmcALHousiNG.com <br />November 14, 2016 <br />Chairman Lynette Verino and Santa Ana Planning Commission <br />City of Santa Ana <br />20 Civic Center Plaza <br />P.O. Box 1988, M31 <br />Santa Ana, CA 92701 <br />RE: Heritage Village Mixed -Use Development <br />Proposed First Amendment to Development.Agreement No 20L5-03 <br />Planning Commission Meeting, November 14, 2016 <br />Dear Lynnette Verino and Members of the Planning Commission: <br />As you know, AMCAL Multi -Housing, Inc. (AMCAL) has been working in partnership with the City of <br />Santa Ana for approximately the past two years to develop First Street Apartments — 69 units of high <br />quality affordable housing for working families located at 1440 East First Street. As part of the City <br />approved entitlements, we worked closely with members of the community and the Planning Commission <br />to incorporate design feedback and thoughtful preferences, including 4 bedroom units for large families. <br />As you also know, the proposed development is dependent on receipt of approximately $8.795 million of <br />in -lieu fees from that Heritage Village Mixed -Use Development. The proposed amendment to the <br />Heritage Village Development Agreement, allowing the payment of in -lieu fees over time will result in a <br />significant delay in the commencement of construction of the First Street affordable housing project. <br />While we fully understand and appreciate the Heritage Village developer's desire to pay the in -lieu fees <br />over time, we believe it is critical that any action of the Planning Commission not jeopardize the viability <br />of the East First Street affordable development, As such, we request that any agreement to allow the <br />deferral of the payment of in-Geu fees be conditioned upon a commitment from the City to use existing <br />City housing funds to bridge the in -lieu fees payable in the future by the Heritage Village development, .A <br />commitment by the City to bridge the in -lieu fees would allow the First Street affordable project to <br />proceed as currently scheduled and not suffer any further delays. The need for affordable housing in the <br />City of Santa Ana remains at crisis levels and we believe the Commission should not take any action <br />which would delay the production of the 69 units of affordable housing produced by the First Street <br />project. <br />Thank you for your consideration. <br />Sincerely, <br />0 <br />Gustavo De Haro <br />Project Manager <br />AMCAL Mutd-Housing Inc. <br />FOON: <br />