TITLE
Recommendation to authorize City Manager to execute a Declaration of Covenants, Conditions and Restrictions Relating to the Homeless Housing Programs for the Phase III Tax Credit Parcel; and Third Amendment to Covenants, Conditions and Restrictions Relating to the Homeless Housing Program for Century Villages at Cabrillo, located at the former Cabrillo Navy Housing Property. (District 7)
DISCUSSION
In connection with the closure of the former Long Beach Naval Station in September 1997, the U.S. Department of the Navy (Navy) transferred fee title to the City for approximately 26 acres of property, formerly used by the Navy for housing (26-Acre Site). In accordance with the "Base Closure Community Redevelopment and Homeless Assistance Act of 1994", the City conveyed the property to L.A. Veterans Initiative, Inc.
(LA Vets), and simultaneously executed several documents, including a Declaration of Covenants, Conditions and Restrictions (CC&Rs) relating to the use of the property under the Homeless Housing Program for affordable housing. These CC&Rs required that the equivalent of 688 residential dwelling units be provided on the 26-Acre Site.
Shortly thereafter, LA Vets conveyed the property to Century Village at Cabrillo, Inc.
(CVC), a California nonprofit entity.
The financing structure for these housing units include both tax credit and non-tax credit alternatives. Of the 688 entitled residential dwelling units, 145 are provided through non-tax credit financing. The remaining 543 residential dwelling units are provided through tax credit financing which requires a separate set of CC&Rs.
In 1999, CVC processed a parcel map for their proposed project, the Villages at Cabrillo. The parcel map subdivided the property into four parcels for tax credit financing. In early 2000, in order to effectuate the development of the first phase of the project, CVC entered into a Ground Lease for approximately five acres of the 26-Acre Site (Phase I Tax Credit Parcel) wi...
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