HomeMy WebLinkAboutRDA Reso 09-2011 RESOLUTION NO. 09 -2011
REDEVELOPMENT AGENCY, CITY OF SOUTH SAN FRANCISCO,
STATE OF CALIFORNIA
A RESOLUTION APPROVING THE APPROPRIATION OF
$2,500,000 OF MERGED PROJECT AREA REDEVELOPMENT
FUNDS TO THE LOW AND MODERATE INCOME HOUSING
FUND FOR THE DEVELOPMENT OF AFFORDABLE
HOUSING BY GIFFRA ENTERPRISE LLC
WHEREAS, pursuant to authority granted under Community Redevelopment Law
(California Health and Safety Code Section 33000 et sec], "CRL "), the South San Francisco
Redevelopment Agency has the responsibility to implement the redevelopment plan adopted in
1989 by the City Council of the City of South San Francisco by Ordinance No. 180596 (as
subsequently amended, the "Redevelopment Plan ") for the Downtown Central Redevelopment
Project Area (the "Project Area "); and
WHEREAS, the California Legislature has found and declared that a fundamental
purpose of redevelopment is to expand the supply of low- and moderate - income housing (CRL
Section 33071); and
WHEREAS, the California Legislature has determined that the that the provision of
housing is itself a fundamental purpose of the CRL and that a generally inadequate statewide
supply of decent, safe, and sanitary housing affordable to persons and families of low or
moderate income, threatens the accomplishment of the primary purposes of the CRL, including
job creation, attracting new private investments, and creating physical, economic, social, and
environmental conditions to remove and prevent the recurrence of blight (CRL Section 33334.6);
and
WHEREAS, the California Legislature has determined that the provision of affordable
housing by redevelopment agencies and the use of taxes allocated to the Agency pursuant to
CRL Section 33670(b) ( "Tax Increment ") is of statewide benefit and of particular benefit and
assistance to all local governmental agencies in the areas where the housing is provided (CRL
Section 33334.6); and
WHEREAS, pursuant to CRL Section 33334.2(a), the Agency is required to set aside and
deposit not less than twenty percent (20 %) of all Tax Increment into a Low and Moderate
Income Housing Fund ( "Housing Fund "); and
WHEREAS, the Housing Fund shall be used by the Agency for the purposes of
increasing, improving, and preserving the City of South San Francisco's supply of low -and
moderate - income housing available at affordable housing cost; and
WHEREAS, Giffra Enterprise, LLC, ( "Owner ") :is the owner of two single -room
occupancy hotels located in the Project Area at 228 and 236 Grand Avenue in the City of South
San Francisco ( "City ") and known as San Mateo County Assessor's Parcel Nos. 10331502 and
130141025 (the "Property "); and
WHEREAS, Owner has proposed to rehabilitate the Property in order to, among other
improvements, convert the existing hotel units into apartment units that will be affordable to
moderate - income households and renovate the common areas (all of the foregoing, collectively,
the "Project "); and
WHEREAS, the Agency has determined that the rehabilitation of the Property is
consistent with the Redevelopment Plan and the Implementation Plan for the Project Area, will
be of benefit to the Project Area, will further the goals of the Redevelopment Plan by improving
the streetscape appearance of the Property, and will increase the supply of housing affordable to
moderate - income households; and
WHEREAS, pursuant to RDA Resolution 6 -2011, the Agency and Owner entered into
that certain Owner Participation and Loan Agreement ( "Agreement ") related to the
rehabilitation of the Property; and
WHEREAS, pursuant to the Agreement, the Agency will provide a $2,500,000 loan to
Owner for construction of the Project to be funded by the Low and Moderate Income Housing
Fund; and
WHEREAS, in furtherance of the goals of redevelopment, Agency desires to set aside
and deposit additional Tax Increment from the Merged Project Area Redevelopment Fund into
the Low and Moderate Income Housing Fund for the purpose of partially financing the Project
and creating affordable housing in the Project Area and the City;
NOW THEREFORE, BE IT RESOLVED, by the Redevelopment Agency of the City of
South San Francisco that it hereby:
1 Finds that the development of affordable housing for moderate - income
households is a fundamental purpose of redevelopment within the Project Area;
2. Finds that the rehabilitation of the Property and development of the Project
pursuant to the Redevelopment Plan and in accordance with the Agreement will facilitate the
development of housing affordable for moderate - income households in accordance with
Section 33071 of the CRL.
3. Finds that the Project will be of benefit to the Project Area, will further the goals
of the Redevelopment Plan, and will be consistent with the Implementation Plan adopted
in connection therewith.
4. Appropriates Two Million Five Hundred Thousand Dollars ($2,500,000) from
Tax Increment from the Merged Project Area Redevelopment Fund to the Low and Moderate
Income Housing Fund for the purpose of partially financing the Project.
5. Authorizes the Executive Director or his designee to take such actions as
necessary to carry out the intent of this Resolution.
* * * * *
I hereby certify that the foregoing Resolution was regularly introduced and adopted by
the Redevelopment Agency of the City of South San Francisco at a special meeting held on the
2nd day of March, 2011 by the following vote:
AYES: Boardmembers Mark Addiego, Pedro Gonzalez, and Karyl Matsumoto,
Vice Chair Richard A. Garbarino and Chairman Kevin Mullin
NOES: None
ABSTAIN: None
ABSENT: None
ATT ST: 4 / A
fw' T ity Clerk
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