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AHA-2009/08/11 ANAHEIM HOUSING AUTHORITY REGULAR MEETING OF AUGUST 11, 2009 The Anaheim Housing Authority met in regular session in the Chambers of Anaheim City Hall located at 200 South Anaheim Boulevard. Present: Chairman Curt Pringle, Authority Members: Lorri Galloway, Bob Hernandez, Lucille Kring, and Harry Sidhu. Staff Present: City Manager Tom Wood, City Attorney Cristina Talley, and Secretary Linda Andal A copy of the agenda was posted on August 7, 2009 on the kiosk outside City Hall. At 5:10 P.M., Chairman Pringle called the meeting of the Anaheim Housing Authority to order for a joint public comment session with the Anaheim City Council and the Anaheim Redevelopment Agency. ADDITIONS /DELETIONS TO THE AGENDA: None PUBLIC COMMENTS: No comments offered during oral communications related to the Redevelopment Agency agenda. JOINT PUBLIC HEARINGS: 1. This is a joint public hearing among the Redevelopment Agency, Housing Authority AGR -5811 and City Council to transfer property located at 1272 E. Lincoln Avenue from the AGR- 4706.1 Anaheim Housing Authority to the Anaheim Redevelopment Agency and to approve the sale of this property to Taormina Family Capital Fund, LLC. Housing Authority Action: Approve and authorize the Authority Executive Director to execute Amendment No. 1 to the Cooperation Agreement (Transfer of Multiple Redevelopment Agency Housing Parcels) with the Anaheim Redevelopment Agency to transfer property located at 1272 E. Lincoln Avenue from the Housing Authority to the Agency. Elisa Stipkovich, Executive Director of Community Development, reported this joint public hearing was to consider the disposition of property currently held by the Anaheim Housing Authority for intended use as an affordable housing site. As the Authority was unable to acquire additional property for a sufficiently large parcel to develop the site, staff recommended the Housing Authority transfer 1272 East Lincoln Avenue back to the Redevelopment Agency which had funded the property acquisition. Staff also recommended that the Redevelopment Agency then sell the property to Taormina Family Capital Fund as they were the adjacent property owner on both sides of this parcel and had offered fair market value. She noted there would be a requirement for the owner to consolidate his parcels into one and such deed restriction indicating that requirement would be placed on the property. The developer would also be required to continue to lease the site to the Anaheim Police Athletic League while the parcel was still being considered for future development. Ms. Stipkovich explained the Taormina Family Capital Fund had offered $675,000 for the property and that based on the City's own independent appraisal, it had been determined this Anaheim Housing Authority Minutes of August 11, 2009 Page 2 of 3 offer was fair market value. She added the City had purchased the property for $528,000 and would receive net revenue to the Agency set -aside funds of $147,000 with this action. Authority Member Galloway asked what would happen to the property once it was sold. Bill Taormina, developer, indicated the objective for the property was to build the Anaheim Resort Village apartments as an affordable housing project. In addition, a shuttle system to and from the Anaheim Resort for employees would be provided, an English language training center would be established as well as a Boys and Girls Club annex, and a large swimming pool and recreation area would be built on the Agency -owned land. He indicated this would be a multi -story, high density, affordable housing project and he hoped financing would be available within three to five years. With no other comments offered, Chairman Pringle closed the public hearing. Authority Member Hernandez moved to approve and authorize the Housing Authority Executive Director to execute Amendment No. 1 to the Cooperation Agreement (Transfer of Multiple Redevelopment Agency Housing Parcels) with the Anaheim Redevelopment Agency to transfer property located at 1272 E. Lincoln Avenue from the Housing Authority to the Agency, seconded by Authority Member Kring. Roll Call Vote: Ayes 5: Chairman Pringle and Authority Members: Galloway, Hernandez, Kring and Sidhu. Noes 0. Motion Carried. 2. This is a joint public hearing between the Redevelopment Agency and the Housing AGR- 4949.1 Authority to approve an Amended and Restated Affordable Housing Agreement with Jamboree Greenleaf, L.P. for the property located at the intersection of Greenleaf and Glenoaks Avenue. Housing Authority Action: Approve and authorize the Authority Executive Director to execute an Amended and Restated Affordable Housing Agreement with the Redevelopment Agency and Jamboree Greenleaf, L.P. Elisa Stipkovich, Executive Director of Community Development, reported this item was also a joint public hearing for the disposition of property located at the intersection of Greenleaf and Glenoaks Avenue. In September of 2007, the Agency approved an agreement with the developer for an affordable housing ground lease which subsequently was not able to be funded through tax credits. In June of 2009, staff returned with a 20 -unit project to be developed by Jamboree as well as an affordable housing agreement. The Amended and Restated Affordable Housing Agreement now before the Housing Authority for consideration reflected terms that were previously approved in June 2009. She noted the developer submitted an application for tax credit allocation and this agreement would formalize the fact they were going to develop 20 units on the site using a ground lease with an 85/15 percent split of proceeds and also that the Agency would provide up to $480,000 in an Agency loan. That agency loan would be paid back on a priority basis after any deferred developer fee and was reflected in a separate cash flow from the ground lease. She added the Agency would receive 100 percent of the proceeds to pay back the Agency loan and after that loan payout had been completed, the residual receipt split would begin. Anaheim Housing Authority Minutes of August 11, 2009 Page 3 of 3 Chairman Pringle opened the public hearing and receiving no comments, closed the hearing. Agency Member Galloway moved to approve and authorize the Agency Executive Director to execute an Amended and Restated Affordable Housing Agreement with the Housing Authority and Jamboree Greenleaf LP, seconded by Authority Member Hernandez. Roll Call vote: Ayes 5: Chairman Pringle and Authority Members: Galloway, Hernandez, Kring and Sidhu. Noes 0. Motion Carried. ADJOURNMENT: With no other business to conduct, Chairman Pringle adjourned the meeting at 5:16 P.M. Respe ully submitted, if AO Linda N. Andal, CMC Secretary, Anaheim Housing Authority