HomeMy WebLinkAboutItem No. 05 Transfer APN 377-292-027 GF RP Afford Housing Fund 106Text File
City of Lake Elsinore 130 South Main Street
Lake Elsinore, CA 92530
www.lake-elsinore.org
File Number: ID# 17-294
Agenda Date: 7/25/2017 Status: Consent AgendaVersion: 2
File Type: ReportIn Control: City Council / Successor Agency
Agenda Number: 5)
Page 1 City of Lake Elsinore Printed on 7/20/2017
REPORT TO CITY COUNCIL
To:Honorable Mayor and Members of the City Council
From:Grant Yates, City Manager
Date:July 25, 2017
Subject:Transfer of APN 377-292-027 as a General Fund Real Property Asset to An
Affordable Housing Asset of Fund 106 In Exchange for 26,000.00
Recommendation
Adopt A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE,
CALIFORNIA, APPROVING THE TRANSFER OF APN 377-292-027 AS A GENERAL FUND
REAL PROPERTY ASSET TO AN AFFORDABLE HOUSING ASSET OF FUND 106 IN
EXCHANGE FOR $26,000
Background
The City of Lake Elsinore owns certain real property identified as APN 377-292-027 (the
"Property"). The Property is an approximately 7,405 square foot residentially zoned vacant
parcel located in a residential neighborhood near to the City’s downtown area on the southwest
corner of East Pottery Street and Granite Street. (See attached Vicinity Map.)
The Property is an asset of the City’s General Fund. The Property was recently appraised at a
fair market value of $26,000.
Discussion
Habitat for Humanity has expressed an interest in developing infill affordable housing units on
individual vacant parcels in the City’s downtown area. The Property presents an excellent
opportunity for such an infill for-sale home and is consistent with the City’s efforts to provide a
mix of housing opportunities to all economic segments of the community.
An important initial step to working with Habitat for Humanity in furtherance of our mutual
affordable housing goals is the transfer of the Property from the City’s General Fund to the
City’s Affordable Housing In-Lieu Fund 106.
The Affordable Housing In-Lieu Fee Program is a component of the City’s inclusionary housing
goals and the State of California’s legal requirement that the City meet its share of regional
affordable housing needs. The City collects an Affordable Housing In-Lieu Fee equal to $2.00
per square on residential developments within the boundaries of the City’s redevelopment
Transfer of APN 377-292-027 as a General Fund Real Property Asset to Fund 106
July 25, 2017
Page 2
project areas. The City holds the Affordable Housing In-Lieu Fees it collects in the Affordable
Housing In Lieu Fund 106 for use with respect to the development of affordable housing units.
Acquisition of the Property by Fund 106 in connection with a proposed affordable housing use
conforms to the purposes of the Affordable Housing In-Lieu Fee Program.
In order to move forward with Habitat for Humanity’s infill affordable housing proposal, the City
Council is requested to approve the transfer of the Property to Fund 106. Fund 106 will
compensate the City’s general fund in the amount of $26,000, representing the fair market value
of the Property. Following such transfer, use of the Property will be strictly limited to affordable
housing purposes.
Fiscal Impact
Approval of the Resolution will ultimately lead to the development of the Property for affordable
housing purposes and will provide for payment of $26,000 by Fund 106 to the City’s General
Fund.
Exhibits
A - Resolution Approving Transfer
B - Vicinity Map
RESOLUTION NO. 2017- _____
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE,
CALIFORNIA, APPROVING THE TRANSFER OF APN 377-292-027 AS A
GENERAL FUND REAL PROPERTY ASSET TO AN AFFORDABLE HOUSING
ASSET OF FUND 106 IN EXCHANGE FOR $26,000
Whereas, the City of Lake Elsinore (City) owns certain real property identified as APN 377-292-
027 (Property);
Whereas, the Property is an approximately 7,405 square foot residentially zoned vacant parcel
located in a residential neighborhood near to the City’s downtown area on the southwest corner
of East Pottery Street and Granite Street;
Whereas, the Property presents an excellent opportunity for an infill affordable for-sale home
consistent with the City’s efforts to provide a mix of housing opportunities to all economic
segments of the community;
Whereas, the City collects an Affordable Housing in Lieu Fee applicable to certain new
residential housing properties developed within the City and holds the Affordable Housing in
Lieu Fees collected in the Affordable Housing in Lieu Fund (Fund 106) for use with respect to
the development of affordable housing units;
Whereas, the acquisition of the Property by Fund 106 conforms with the purposes of the
Affordable Housing in Lieu Fee program; and
Whereas, the Property was recently appraised at a fair market value of $26,000.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE DOES
HEREBY RESOLVE, DETERMINE AND ORDER AS FOLLOWS:
Section 1. The Recitals set forth above are true and correct and incorporated herein by
reference.
Section 2. The City Council approves the transfer of the Property to Fund 106 in exchange for
payment from Fund 106 to the City’s general fund of a purchase price equal to the appraised
fair market value in the amount of Twenty-Six Thousand Dollars ($26,000).
Section 3. The City Manager is authorized to take such actions and execute such documents
as are necessary to effectuate the intent of this Resolution.
Section 4. If any provision of this Resolution or the application thereof to any person or
circumstance is held invalid, such invalidity shall not affect other provisions or applications of
this Resolution which can be given effect without the invalid provision or application, and to this
end the provisions of this resolution are severable. The City hereby declares that it would have
adopted this Resolution irrespective of the invalidity of any particular portion thereof.
Section 5. This Resolution shall take effect immediately upon its adoption.
CC Reso. No. 2017-__
Page 2
Section 6. The City Clerk shall certify to the adoption of this Resolution and enter it into the
book of original Resolutions.
Passed and Adopted on this 25th day of July 2017.
____________________________
Robert E. Magee
Mayor
Attest:
____________________________
Susan M. Domen, MMC
City Clerk
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.
CITY OF LAKE ELSINORE )
I, Susan M. Domen, MMC, City Clerk of the City of Lake Elsinore, California, do hereby certify
that Resolution No. 2017- ____ was adopted by the City Council of the City of Lake Elsinore,
California, at the Regular meeting of July 25, 2017, and that the same was adopted by the
following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Susan M. Domen, MMC
City Clerk