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l0I14!02LES
RESOLUTION NO. 2002-09
A RESOLUTION OF THE COMMUNITY
REDEVELOPMENT AGENCY OF THE CITY OF SANTA
ANA APPROVING AMENDMENTS TO THE
CORNERSTONE VILLAGE IMPROVEMENT PROGRAM
AND BUDGET, APPROVING AN AMENDMENT TO THE
CORNERSTONE VILLAGE OWNER PARTICIPATION
AGREEMENT, AND AUTHORIZING THE EXECUTIVE
DIRECTOR TO EXECUTE NEW LOAN AGREEMENTS
WITH WAKEHAM-GRANT, LLP
BE IT RESOLVED BY THE COMMUNITY REDEVELOPMENT AGENCY OF THE
CITY OF SANTA ANA, AS FOLLOWS:
Section 1: The Board of the Community Redevelopment Agency of the City
of Santa Ana hereby finds, determines and declares as follows:
A. The Community Redevelopment Agency of the City of Santa Ana
(hereinafter referred to as the "Agency") is empowered to increase, improve and
preserve the community's supply of low and moderate income housing in the
Santa Ana community pursuant to the Community Redevelopment Law,
California Health and Safety Code Sections 33334, et seq, (the "Act"); and,
B. The Agency, in partnership with the City of Santa Ana (the "City"), the
residents and most of the property owners in the Minnie Street Neighborhood
between McFadden Avenue and Grant Street (the "Owners"), made the
determination that the Neighborhood was in significant need of rehabilitation of
both the private and public infrastructure so as to preserve this important stock of
low income housing for the community; and,
C. On March 6, 2000, the City Council and the Agency approved the
Cornerstone Village Improvement Program and budget, authorized the execution
of the Cornerstone Village Owner Participation Agreements, and approved the
Cornerstone Village Loan Programs. These agreements provided for
enhancement and long term maintenance of the streets, parkways, open space,
building facades and courtyards in the Neighborhood through an investment of
both private and public funds; and,
D. The Public Improvement component of the Project includes street and
public right of way improvements and has an approved budget of $2,928,100.
An additional $100,000 is necessary to complete the public improvements. These
funds will be used to enhance public safety; and,
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E. The forty-eight buildings in the Cornerstone Village project area
primarily offer one-bedroom units and the Owner Participation Agreement
("OPA") executed by all participating owners established the maximum rent and
occupancy standards for said units. Units in some of the buildings are being
reconfigured to offer up to three bedrooms. The OPA must now be amended to
restrict occupancy for these larger units to households with no more than seven
persons. Rents for these larger units will be calculated consistent with the
current OPA; and,
F. Currently, owners of forty-six out of the forty-eight buildings in the
project area are participating in the Cornerstone Village Improvement Program.
The owner of the remaining two buildings located at 1105 and 1109 S. Minnie
Street now desires to participate in the Improvement Program. The fagade and
courtyard improvements to said buildings will not exceed $97,550. This is
consistent with the entire block and will establish 100% owner participation in the
Project Area; and,
G. Wakeham-Grant, LLP, purchased eight buildings in the Cornerstone
Project Area and was given various loans pursuant to the fagade and courtyard
and stair and balcony programs, as well as the general property improvement
program. As the rehabilitation work has progressed, Wakeham-Grant, LLP has
determined that the repairs are more extensive than originally anticipated and
budgeted. Wakeham-Grant, LLP is requesting additional loans in an amount not
to exceed $80,000 to complete all necessary repairs.
Section 2. The Cornerstone Village Improvement Program and amended
budget, which includes an additional amount not to exceed $100,000 for the
Public Improvement component, as well as the Fagade and Courtyard Loans for
1105 and 1109 S. Minnie Street in an amount not to exceed $97,550, are hereby
approved.
Section 3. An amendment to the Cornerstone Village Owner Participation
Agreement is hereby authorized to include rent and occupancy restrictions for
three-bedroom units.
Section 4. A new loan to Wakeham-Grant, LLP, for interior and exterior
repairs in an amount not to exceed $80,000 is hereby approved, and the
Executive Director of the Agency is hereby authorized to execute loan
documents and any related instruments on behalf of the Agency, with approval of
Agency General Counsel.
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ADOPTED this 21st day of October, 2002.
APPROVED AS TO FORM:
Joseph W. Fletcher, General Counsel
By:&<=- G. ~
Lisa E. Storck
Assistant General Counsel
AYES:
Boardmembers:
NOES:
Boardmembers:
ABSTAIN:
Boardmembers:
NOT PRESENT: Boardmembers:
Miguel A. Pulido
Chair
Alvarez, Bist, Christy, Solorio (4)
None (0)
None (0)
Franklin, McGuigan, Pulido (3)
CERTIFICATION OF ATTESTATION AND ORIGINALITY
I, JOHN P. REEKSTIN, Secretary of the Agency, do hereby attest to and certify
the attached Resolution No. 2002-09 to be the original resolution adopted by
the Community Redevelopment Agency of the City of Santa Ana on October 21.
2002 .
Date:
etary, Redevelopment Agency
of Santa Ana