TITLE
Recommendation to: (1) Based on the analysis provided, consider the request to (i) adopt resolution authorizing the City to support the California State Communities Development Authority Community Improvement Authority’s (CSCDA) issuance of bonds under its Middle-Income/Workforce Rental Housing Program to enact moderate-income deed restrictions on the existing Oceanaire apartment project, at 150 West Ocean Boulevard (Project), and (ii) authorize the execution of a Public Benefits Agreement (PBA) with CSCDA in connection therewith that includes a provision that shares any future sale profits with taxing bodies proportionate to the current tax allocation;
(2) Request City Manager to develop a proposed policy for any future similar projects that participate in the Middle Income/Workforce Rental Housing Program; and
(3) If action (1) is approved, designate the Project as a pilot, with no similar projects to be approved until the City Council has an opportunity to consider the City Manager’s proposed policy. (District 2)
DISCUSSION
On November 17, 2020, the City Council directed the City Manager, the Department of Development Services, and the City Attorney to study the benefits of adopting a Resolution authorizing the City to support the California State Communities Development Authority Community Improvement Authority’s (CSCDA) issuance of bonds under its Middle-Income/Workforce Rental Housing Program (Middle-Income Housing Program) to enact moderate-income deed restrictions on the existing Oceanaire apartment project, located at 150 West Ocean Boulevard (Project), analyze the process enacted by other California cities, and return within 60 days with a proposed Resolution authorizing participation in a similar program.
To respond in the timeframe requested by the City Council, staff contracted with HR&A Advisors, Inc. (HR&A), a real estate and economic development consultancy, to conduct a detailed financial analysis of the potential impacts of the Proje...
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