HomeMy WebLinkAboutReso 140-2024 (24-907)
September 5, 2024
Smitha Seshadri
Executive Vice President
BRIDGE Housing Corporation
600 California Street, Suite 900
San Francisco, CA 94108
Re: Letter of Intent to Commit Funding for the 1051 Mission Road Affordable Housing Project
Dear Ms. Seshadri:
This Letter of Intent is provided to BRIDGE Housing (BRIDGE) as evidence of the City of South
San Francisco's commitment to provide additional funding for the development of the approved
affordable rental housing project at 1051 Mission Road in South San Francisco should the City be
awarded State of California Local Housing Trust Fund (LHTF) Program funds. BRIDGE and its
market rate development partners, L37/KASA, sought and were granted entitlements for the
development of 800 units of housing, a 100-head childcare center, neighborhood serving retail,
and publicly accessible open space in 2019. BRIDGE is responsible for the development of the
affordable component of the project, 158 units – all affordable to households earning 60% or less
of the area median income.
In support of the 1051 Mission Road affordable project, the City provided BRIDGE with a $2
million predevelopment loan from the City’s housing trust fund, funded by affordable housing
impact fees on commercial development. BRIDGE drew upon this loan to support its entitlement
application, building permit application, and preparation of funding applications. BRIDGE has
since exhausted these funds and requires additional funding to continue to support predevelopment
activities, such as infrastructure planning and design. At this point, the City wishes to grant
BRIDGE additional funding and is applying for a State LHTF award to match its initial $2 million
commitment to BRIDGE’s project.
Should the City be awarded LHTF funds, the City commits to granting at least $2 million of these
funds to BRIDGE in support of the development of the 1051 Mission Road project, and in
compliance with all LHTF Guidelines and 2024 NOFA requirements.
Sincerely,
Sharon K. Ranals
City Manager, South San Francisco
CITY COUNCIL 2024
JAMES COLEMAN, MAYOR (DIST. 4)
EDDIE FLORES, VICE MAYOR (DIST. 5)
MARK ADDIEGO, MEMBER (DIST. 1)
FLOR NICOLAS, MEMBER (DIST. 3)
MARK NAGALES, MEMBER (DIST. 2)
SHARON RANALS, CITY MANAGER
September 5, 2024
Peggy Lichthart
Development Director, Northern CA
Beacon Development Group
1900 Huntington Drive
Duarte, CA 91010
Bruce Wright
Rotary Plaza, Inc.
433 Alida Way
South San Francisco, CA 94080
Re: Letter of Intent to Commit Funding for the Rotary Gardens Senior Housing Project
Dear Ms. Lichthart and Mr. Wright:
This Letter of Intent is provided to the Rotary Club and Beacon Development Group (Rotary-
Beacon) as evidence of the City of South San Francisco's commitment to provide additional
funding for the development of the planned senior affordable rental housing project at 500 Linden
Avenue should the City be awarded State of California Local Housing Trust Fund (LHTF)
Program funds. Rotary-Beacon is currently seeking entitlements for a two-site development, an
80-unit senior affordable housing project at 500 Linden Avenue and a 64-unit affordable family
housing project at 522 Linden Avenue. All of the units will be affordable to households earning
60% or less of the area median income, and 30% of the units will be affordable to households
earning 30% or less of the area median income.
In support of these twin affordable housing projects, the City has approved two loans to the Rotary-
Beacon development group: 1) a loan of Permanent Local Housing Allocation (PLHA) funds for
the senior project at 500 Linden in the amount of $556,789 and 2) a loan of Low/Mod-Income
Housing Asset Funds for the family project at 522 Linden in the amount of $1,076,383. As
provided in the 2024 LHTF NOFA and LHTF Guidelines, LHTF funds may be used to match a
local jurisdiction’s PLHA funds, but not Low/Mod-Income Housing Asset Funds. At this point,
the City wishes to grant Rotary-Beacon additional funding and is applying for a State LHTF award
to match its initial $556,789 commitment (of PLHA funds) to the senior affordable housing project
at 500 Linden.
CITY COUNCIL 2024
JAMES COLEMAN, MAYOR (DIST. 4)
EDDIE FLORES, VICE MAYOR (DIST. 5)
MARK ADDIEGO, MEMBER (DIST. 1)
FLOR NICOLAS, MEMBER (DIST. 3)
MARK NAGALES, MEMBER (DIST. 2)
SHARON RANALS, CITY MANAGER
Should the City be awarded LHTF funds, the City commits to granting at least $556,789 of these
funds to Rotary-Beacon in support of the development of the 500 Linden Avenue project, and in
compliance with all LHTF Guidelines and 2024 NOFA requirements.
Sincerely,
Sharon K. Ranals
City Manager, South San Francisco