HomeMy WebLinkAboutReso 79-2024 (24-314)File Number: 24-314
City of South San Francisco
City Council
Resolution: RES 79-2024
RESOLUTION APPROVING THE
P.O. Box 711 (City Hall, 400
Grand Avenue)
South San Francisco, CA
Enactment Number: RES 79-2024
SALE OF A
CITY -OWNED BELOW MARKET RATE (BMR)
HOUSING UNIT AT 2230 GELLERT BOULEVARD, UNIT
3105 (APN 104540050) TO A QUALIFIED BUYER
EARNING UP TO 100% OF THE AREA MEDIAN
INCOME IN ACCORDANCE WITH THE CITY'S BMR
RESTRICTIONS, PRICED AT THE TIME MARKETING
BEGINS, AND AUTHORIZING THE CITY MANAGER
TO EXECUTE A GRANT DEED, AFFORDABLE
HOUSING RESALE RESTRICTION AGREEMENT, AND
ANY OTHER DOCUMENTS NECESSARY TO
EFFECTUATE THE SALE OF THE BMR UNIT.
WHEREAS, following the unsuccessful marketing and sale of the BMR unit located at 2230
Gellert Boulevard, Unit 3105, ("Unit") City Council authorized the purchase of the Unit on January 10, 2024
to ensure it would not be sold at market rate; and
WHEREAS, the City is now in the position of being able to reevaluate the income eligibility of the
Unit and the appropriate sales price given today's interest rates and the community's housing needs; and
WHEREAS, the City acquired the property using Commercial Linkage Fees (Fund 823) governed
by Municipal Code Chapter 8.69.090, the purpose of which is to increase and improve the supply of housing
affordable to moderate, low, very low, and extremely low-income households; and
WHEREAS, the City Council now desires to authorize the sale of the Unit to median income
households (100% AMI) and authorize staff to set the final sale price immediately prior to marketing the
Unit; and
WHEREAS, the final sale price will be set on a calculation of monthly and annual cost estimates
including property tax, insurance, utilities, HOA fees, mortgage loan interest rate, and a five percent down
payment; the sale price is currently estimated at approximately $553,000;
WHEREAS, the mortgage loan interest rate utilized will be, as published by the California
Housing Finance Authority, utilizing either a rolling six-month average or current moment -in -time interest
rate, selected based on what provides greatest household eligibility and most accurately reflects the current
mortgage interest market and mortgage interest trends prior to pricing the Unit; and
WHEREAS, the City Council also desires to authorize the City Manager to execute all documents
necessary to effectuate the sale of the Unit, including but not limited to a Grant Deed and Affordable
Housing Resale Restriction Agreement.
City of South San Francisco
File Number: 24-314 Enactment Number RES 79-2024
NOW, THEREFORE, BE IT RESOLVED by the City Council of South San Francisco that it
hereby approves the sale of a City -owned Below Market Rate (BMR) housing unit at 2230 Gellert
Boulevard, Unit 3105 (APN 104540050) to a qualified buyer earning up to 100% of the area median income
in accordance with the City's BMR restrictions, priced at the time marketing begins, and authorizing the
City Manager to execute a Grant Deed, Affordable Housing Resale Restriction Agreement, and any other
documents necessary to effectuate the sale of the BMR unit.
At a meeting of the City Council on 5/22/2024, a motion was made by Councilmember Nicolas,
seconded by Councilmember Nagales, that this Resolution be approved. The motion passed.
Yes: 5 Mayor Coleman, Vice Mayor Flores, Councilmember Addiego,
Councilmember Nagales, and Councilmember Nicolas
Attest by
Govea Acosta, City Clerk
City of South San Francisco