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97-065RESOLUTION NO. 97R -65 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM CONSENTING TO THE THIRD AMENDMENT TO DISPOSITION AND DEVELOPMENT AGREEMENT BY AND BETWEEN THE ANAHEIM REDEVELOPMENT AGENCY AND KAUFMAN AND BROAD OF SOUTHERN CALIFORNIA, INC. WHEREAS, the Anaheim Redevelopment Agency (the "Agency and Kaufman and Broad of Southern California, Inc., a California corporation,(the "Developer ")have entered into that certain Disposition and Development Agreement dated October 26, 1993 (the "Original DDA as amended by (i) that certain First Amendment to Disposition and Development Agreement dated November 15, 1994 (the "First Amendment and (ii) that certain Second Amendment to Disposition and Development Agreement dated July 9, 1996 (the "Second Amendment Pursuant to the DDA, as amended by the First Amendment, the Agency has conveyed certain real property (the "Original Site to the Developer, and the Developer has completed the construction of single family houses and townhouses thereon; and WHEREAS, pursuant to the terms of Section 15 of the Disposition and Development Agreement between the Agency, the Developer and Lincoln Anaheim Village Limited Partnership, a California limited partnership, dated as of April 31, 1992, the Agency and Developer entered into a "Negotiating Period" for the development of the "Cypress Street Infill Project" (as such capitalized terms are defined therein). The Second Amendment (together with the Original DDA and the First Amendment, the "DDA As Amended provides for the development of the Cypress Street Infill Project; and WHEREAS, the purpose of this Third Amendment is to amend and restate certain provisions in the Amended DDA relative to the development of the Cypress Street Infill Project (as amended, the "Revised Cypress Street Infill Project and thereby provide that the Developer construct 61 units, including affordable and market rate townhomes and detached single family homes, on six (6) non contiguous parcels of real property aggregating approximately four and ninety eight hundredths (4.98) acres (collectively the "Additional Parcels and WHEREAS, a portion of the Additional Parcels (the "Cypress Infill Parcel is located adjacent to but outside of the Agency's Alpha Redevelopment Project Area. The Agency has found and determined that the use of the Agency's Low and Moderate Income Housing Funds outside of the boundaries of the Project for the costs associated with the Cypress Infill Parcel pursuant to the Third Amendment is of benefit to the Project; and WHEREAS, the proposed Third Amendment, and a summary report meeting the requirements of Health and Safety Code Section 33433, were available for public inspection consistent with the requirements of Health and Safety Code Section 33433; and WHEREAS, the Agency and the City Council have conducted a duly noticed joint public hearing on the Third Amendment and have evaluated all information and testimony presented in such hearing; and WHEREAS, those Additional Parcels which are located within the Project are located in an area which was found by the Anaheim City Council, in its adoption of the Redevelopment Plan for the Project in 1973, to be blighted as a result of substandard structures, inadequate water supply and circulation, poor drainage, limited sewer facilities, lack of underground utilities, serious grade problems, deteriorated residential dwellings and poor maintenance, as well as other indicia of blight; and WHEREAS, the sale of the Additional Parcels pursuant to the DDA As Amended, as amended by the Third Amendment, will assist in the elimination of blight in the Project by requiring the development on previously blighted land of new high quality residential houses and townhouses which will be properly designed, constructed and maintained, and will be of benefit to the community by increasing the supply of housing in the Project Area and preventing blight from recurring on the Additional Parcels; and WHEREAS, the Implementation Plan adopted for the Project has identified a program of new single family and townhouse housing construction, primarily in the Downtown Anaheim area, potentially with Developer, as a specific project and /or program to be undertaken by the Agency in its implementation of the Redevelopment Plan for the Project; and WHEREAS, an Initial Study was prepared to evaluate any potential environmental impacts of the Cypress Street Infill Project, as set forth in the Second Amendment, pursuant to the California Environmental Quality Act "CEQA and such Initial Study concluded that the implementation of the DDA As Amended would not result in any significant environmental impacts beyond those previously analyzed in prior environmental documentation which has been considered and approved by the Agency; and WHEREAS, an additional Initial Study of the Revised Cypress Street Infill Project was prepared pursuant to CEQA and such Initial Study concluded that implementation of the DDA As Amended, as further amended by the Third Amendment, would not result in any significant environmental impacts beyond those previously analyzed, considered and approved by the Agency in conjunction with the approval of the Second Amendment since the Revised Cypress Street Infill Project consists of development and impacts less intense than those associated with the original Cypress Street Infill Project; and WHEREAS, the City Council has duly considered all terms and conditions of the proposed Third Amendment and believes that the disposition of the Additional Parcels to the Developer and the development of townhouses and single family houses thereon pursuant to the Third Amendment is in the best interests of the Agency and the City and the health, safety and welfare of its residents, and in accord with the public purposes and provisions of applicable State and local law requirements. NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF ANAHEIM DOES RESOLVE AS FOLLOWS: Section 1. The City Council finds and determines that, based upon substantial evidence provided in the record before it, the consideration for the Agency's disposition of the Additional Parcels pursuant to the terms and conditions of the DDA As Amended, as amended by the Third Amendment, is not less than the fair reuse of value of the Additional Parcels in accordance with covenants and conditions governing the sale, and the development costs required under the DDA As Amended, as amended by the Third Amendment. Section 2. The City Council hereby finds and determines that the disposition of the Additional Parcels pursuant to the DDA As Amended, as amended by the Third Amendment, will eliminate blight within the Project Area by providing for the proper reuse and redevelopment of a portion of the Project Area which was declared blighted for the reasons described above. Section 3. The City Council hereby finds and determines that the DDA As Amended, as amended by the Third Amendment, is consistent with the Implementation Plan adopted for the Project. Section 4. The City Council hereby finds and determines that the use of the Agency's Low and Moderate Income Housing Funds outside of the boundaries of the Project for the costs associated with the Third Amendment is of benefit to the Project. Section 5. The City Council hereby consents to the approval of the Third Amendment by the Agency. A copy of the Third Amendment when executed by the Agency shall be placed on file in the office of the City Clerk. Section 6. The City Clerk shall certify to the adoption of this Resolution. THE FOREGOING RESOLUTION is approved and adopted by the City Council of the City of Anaheim this 20 th day of May, 1997. CITY CLERK OF THE CITY OF ANAHEIM APPRO 0022906.01 1 E. W0010 AD istant City Attorney MAYOR OF THE TY OF a< AHEIM STATE OF CALIFORNIA COUNTY OF ORANGE ss. CITY OF ANAHEIM I, LEONORA N. SOHL, City Clerk of the City of Anaheim, do hereby certify that the foregoing Resolution No. 97R-65 was introduced and adopted at a regular meeting provided by law, of the Anaheim City Council held on the 20th day of May, 1997, by the following vote of the members thereof: AYES: MAYOR /COUNCIL MEMBERS: McCracken, Tait, Zemel, Lopez, Daly NOES: MAYOR /COUNCIL MEMBERS: None ABSENT: MAYOR /COUNCIL MEMBERS: None AND I FURTHER CERTIFY that the Mayor of the City of Anaheim signed said Resolution No. 97R -65 on the 20th day of May, 1997. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Anaheim this 20th day of May, 1997. (SEAL) CITY CLERK OF THE CITY OF ANAHEIM I, LEONORA N. SOHL, City Clerk of the City of Anaheim, do hereby certify that the foregoing is the original of Resolution No. 97R -65 was duly passed and adopted by the City Council of the City of Anaheim on May 20, 1997. CITY CLERK OF TH C OF ANAHEIM Olive Infi11 Parcel No. 2 'ca I "o Page 2 of 3 66 'J5 26 Iw 4 m °'S` yy /1 n.w L III. 24 _dr al LINCOLN nJ0 SITE MAP (ATTACHMENT "A") i s2 i PAR CI' a9 25 :C AVENUE I. J: t. OfliV ll51 t 5 L1 fl ti o,t1 LC. 4 I.2 A dele SIseC te. a I. Is n w Jrr a ia C r i Stce Sy ca rno t e 1 y ..V LINCOLN SITE MAP (ATTACHMENT "A") ,d Cy�t �(e t 1 Z t 1 !J a S11,.'t..4 I77 7 1 -i StsE` T rsi -a a a]n' ar 3 q .c�.z�`�� i V X 269 1 n_ �G /i'' t 1rSL a' :w, NO� TA0i s T .w �':a'=: r t.. d'.,:aM 'T P C�Y 3 a_ C °t \ter; t ._i•' ]l' s .62. iu ]a .a `C S ry ir 1 Y y n 1s� d .a L'1•. P g' fTi i a .1 c� 1 .1 a p �J� 1 1ri Y'� 3 ,-v 3 ,-v .a` 3 ‘;.1 4 N 5 a a s t --a "tt: X02 8 p 'i to I 1 1:1 zit!. Page 1 of 3 AVENUE SITE MAP (ATTACHMENT "A Page 3 of 3 Third Amendment to Disposition and Development Agreement Terms and Conditions (Attachment `B Base Purchase Price and Additional Purchase Price The changed base purchase prices are as follows: 1) Cypress Infill Parcel is 3841,252; and 2) Helena Street Parcel is 335,000. The Additional Purchase Price paid to the Agency will be as stated in the Third Amendment to the DDA which is 12.5% of all profits above an aggregate sales price amount of 38,905,830. Gross revenue from the land sale to Kaufman and Broad will increase from $774,552 under the Second Amendment to $1,079,631 as a result of the Third Amendment Other Terms and Conditions In the event the Agency does not acquire all property within the development site by January 1, 1998, Kaufman and Broad will have the option of acquiring the property remaining to be purchased, extend the time to purchase the properties or terminate the Agreement. Affordable covenants will be recorded against the Cypress Infill Parcel to insure that the units are sold to buyers of low and low- moderate income. First Time Home Buyers Assistance will be provided to buyers on the Cypress Infill Parcel. F: ocCSDEVSVCSISf'AFFREr&SS DOC Summary of Project Locations, Product Mix and Unit Types for Each Development Site (Attachment "C The following is a comparison of the product mix and unit type breakdown for each of the proposed development sites: Estimated Sales Price F:\DOCsTEVS VCSSrAFFREPBSS75o2A.DOC Cyp ress Second Amendment Inlill Parcel Third Amendment Product Type Number of Units Sales Price Number of Units Sales Price Plan 1 Townhomes 21 $133,990 2 $133,990 Plan 2 Townhomes 30 $143,990 4 $143,990 Plan 1 Single Family 0 $0 13 $150,000 Plan 2 Single Family 0 $0 14 $160,000 Plan 3 Single Family 0 $0 14 $167,000 Totals: 51 Helena Second Amendment Street Parcel 47 Third Amendment Product Type Number of Units Sales Price Number of Units Sales Price Single- Family 0 1 $200,000' Total Housing Units: 51 48 Summary of Project Locations, Product Mix and Unit Types for Each Development Site (Attachment "C The following is a comparison of the product mix and unit type breakdown for each of the proposed development sites: Estimated Sales Price F:\DOCsTEVS VCSSrAFFREPBSS75o2A.DOC g 1 1 i 1 1 Igo i"P 1 1 1 1 133112 mama NO .4' fra •6 m Igin ma II: II co i/ U Cc 1— Lau z 0 co M f..t� L�II.Y 3N101/0 4444. z fi C1 f- N F" -,51 .6-b: 44.01 t ew' 9 El 1 sz Qc L V 1 J 4444 I� orn.d. .FN_-�� 1 i n ari. .n mralm :c-. 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