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Home My WebLink About03 - HSGDIVPROJECTSACTIVITIES I i 1£.4 i~ a'i~~~ j'I j.~ } r I ~ ~I µ.M ~ S.~ aa~aer c~r~ . rwysa ia~. ~[EE1'~N V DATE. ~ECpRDINC ~RETA~Y USE ~N~Y! i A~~R~VED TITLE ? As Re~omr~ended ? As Amended YEAR-END REP~~T ~oR H~l~~~h~ DIVISION PROJECTS AND ADTI~I~TI~ C~~Tl~UED T~ 4 XECtJTl1lE RECTA . , ~~~ND~D ATIN Receive end file. CoMI~1UNIT~ REDEII~I~~PI~ENTAND H~USIN C~~II~IISSIN ADTI~N At its regular meeting on July ~o, oo, by a vote of 4:0 ~Plascencia absent}, tl~e Cornn~unity Redevelopment and Housing Commission recon~r~ended that the Housing Authority receive and file the Year-End Repot for Housing Division Projects and Activities. _ . D~SCI~SSI~N This status repor# far the fiscal year ending on June o, ~0~ provides statistics for the day~to-day affordable housing activities of the City and the Con~n~unity Redevelopment Agency ~Aency~. The report is divided into three sections; Loan Activity, Loan Portfolio Management, and Developrent Projects. Loan Ac~ivlfy Applications Chan 1 Applications Sint The Hausing Division offers several different . lorogran~s. The loans offered include l~or~ebuyer dov~n payment assistance and rehabilitation l loans for historic single farnily~ single family and mobile hones. Mobile borne loans are offered ~ a forgivable grants and are used to cover the - cast of essential repairs. The Housing Division ~o~~~~y~r ao~r~~ayrt revie~rs applications to deterr~ine Which program ~ S Year-End Reportfor Housing Division Projects and Activities Aug ust 2D ~ ~ _ Page ~ best fits the needs of the applicants, Applications are mailed out and received for these programs on a continuing basis, Chart ~ shows the number of applications sent out by type during the fiscal year, Loan l~nderwritir~g and Ap~roval_P~ocess 5 In this phase, staff reviews applicant eligibility, verifies income and assets, oversees underwriting, conducts an inspection of the unit, and prepares a work write-up to deterr~ine rehabilitation work to be performed. Due to the cor~plex funding requirements, applicants may be in the underwriting phase far several months. The underwriting tine frame is largely determined by the applicants timely submittal of the required paperwork, once approved, staff prepares all necessary loan documents, rakes arrangements for execution, and reserves the required loan funds. In this fiscal year, four rnobile home rehabilitation leans, two sinle~family rehabilitation loans and fifteen homebuyer assistance loans were approved and funded, Construction Process During this phase, staff monitors the construction work, approves payments to contractors, and tracks expenditures to unsure they do not exceed available funds. >Illultifamily projects often = involve additional issues, such as compliance with prevailing wage requirements and~or Davis- - Dacon, As of June 0, 20~ o, and including the multifamily units, there were a total of 4g units underway. Loan ~or~folio lanage~nent The Housing Division is responsible for ensuring the inte rit of the residential loan ortfolio. A of gy p the end of the fiscal year, the principal balance was ~~,7~5,~90. This i comprised of 4~~ loans of vuhich arc deferred or residual receipts payment loans. The loan por~olio generated 813,~g0 in repayments of principal and interest during the fiscal year. Deve~opr~ent Pro~ec# Townsend and Raiff The City Council and Agency have approved loans to grange Housing Development Corporation ~~HDC~ and & Development for acquisition and rehabilitation of six aprtr~ent buildings in the - Townsend and Raitt area. Rents are to be restricted to those affordable to extremely low- and - very low~income households, l=ive of the six buildings are now complete, as is a cor~munity center, The rehabilitation work is underway on the remaining building and is e~cpected to be completed by the end of July, a dear-End reportfor Housing Division Projects and Activities August Page ~D North Lacy - The City council and Agency have approved loans to AHD and Development for acquisition and rehabilitation of ~ unit building at 703 Noah ~.acy, Rents are to be restricted to those affordable to extremely lour- and very lo~u-incor~e households. The project has closed escro~r and the rehabilitation uvork is underway. The estimated completion date is September ~g~ NSP 1 Pro ram The federal Nei hborhood Stabilization Pro ram NSP i intended to tar et and stabilise g g ~ ~ g comrraunities hardest hit with foreclosures. To date, the pity has received o NSP awards, The first a~vard NSP ~ } came through a noncor~petitive process in the amount of ,~'g, ~ ~5. lender its terms, all grant funds must be obligated by September ~o~o, and expended by March - In addition, NSP grantees must expend at least 2 percent of the funds on households rho are very lour-income. The pity has obligated ~.4 r~illion or4~ percent of its funds and expended ~.4 million or percent of its funds on projects that vuill serve such households. As of the end of - the fiscal year, the pity had obli ated all of its NSP ~ funds and had ex ended 5,4~,7~ or 9 p - percent. - NSP implements the foilovuan five programs: Dorn Payment Assistance Program, Redevelopment Pro ram, Sin le-Famil Ac uisition-Rehabilitation Pro rare, Historic~ondominiun~ g g y q g Acquisition-Rehabilitation Program and a Multifamily Acquisition-rehabilitation Program. ANR Industries, the intermediary selected to implement hor~eovunership pro rams includin the Sin le- - g g g Family and Historic~Condo, is responsible far the acquisition, rehabilitation, and resale of the foreclosed units. These homes gill be sold to families Frith incor~e up to ~~g percent of the area r~edian ~AMI}. As of the end of the fiscal year, ANR had used NSP funds to acquire 1 single- family homes for rehabilitation and resale to qualifying families. ~f these, ~ ~ had been sold, Frith nine being purchased by lour-income farr~ilies and ei ht b moderate-income families. ~f the 4 9 Y remaining homes, seven are being rehabilitated, four are being r~arl~eted for resale, and three are in escrovu, ANR has spent more than million in NSP funds and has leveraged an additional 4,~ million in private funds to make these affordable units available. i The partnership of HD and Development uvas selected to in~plerent the Multifamily AcquisitionlRehabilitation Program. To date, the prtnershi has used X1.4 million in NSP ~ funds p to acquire a ~4-unit multi-farr~ily property t X410 N. Durant Street, It also used ~,ooo in NSP 1 = funds to acquire two vacant parcels at X05-~1~ E. Iashinton Avenue on ~rhich it gill construct approximately 0 affordable rental units. These units vuill be targeted to households at or belovu g , percent of AM I. Year-End Report far Housing Division Projects and Activities August 2, 200 Page 4 NSP ~ Pro ram The City's second a~rard ~NSP for ~ g rnillian oval received through highly competitive process in ~uhich only ~ ~ local governr~ent agencies ~rere successful. Mast a~rards ~rere made to nonprofit consortiums. ~Jnder the terms of this ~rard, there is na abli ation deadline to r~eet; g ha~rever, half of the funds must be expended by February ~ ~ , 20~ 2, and the rer~ainder March 28, D~ As of the end of the fiscal year, the City had expended ~ 98,$4 or tvuo percent of the funds. - NSP ~ implements three prograr~s: Dovun Payment Assistance Program, Single-Family ACqulsltion-rehabilitation Program, and a Multifamily Acquisition-~ehabilitatian Program. As of the end of the fiscal year, ANI~ homes had used NSP funds to acquire one single-family home, , ~rhich vas under oin rehabilitation at the end of the fiscal ear. Acorn rehensive and detailed 9 g y p quarterly report on the City's NSP Prograrr~s is posted on the City's ~vebsite at http;llr~r.anta- , ana.arglcdalNSP.asp. f Scattered Sites RFP n October 9, 2999, the Agency released ~ Request for C~ualifications for the selection of qualified developers far ~ Agency-ovuned parcels. ~n December 2099, the Agency selected three - developersfar the project. Habitat for Humanity of grange County eras selected as developer for single-far~ily hauling at sites identified as 7~9 812 North Concord Streets ~ 1 ~4, 1 South Cypress Avenue; 13 ~ 4 Eatv~ood Avenue; 4809 vUest Edinger A~renue; 49 ~ 9 40 S U~est McFadden Avenue; 4 ~ 9 4~ ~ 911~est McFadden; and ~ 0~9 McLean Drive. Staff i ~rorking Frith Habitat for Humanity to finalise the Disposition and Development Agreement ~DDA}. Also approved eras ~HDC and CSC Development as the developer for multi-family housing at sites identified as 2~9 4, 43~ South Birch Street; 2034 2038 North Bush Street; and North Spurgeon & East 22nd Street. The are currentl re grin to submit Ions for the Birch y yp p 9 p Street and Bush Street properties. In addition, staff continues to negotiate the DDA. Finally, the Agency selected Hope Builders, a Division of Taller San Jose, as developer for taro single-family homes an a site identified as X42 East Central Avenue. This site mill afford Hope Builders training in the construction of single-family duvellings and assist in its mission of providing high quality construction jabs for local Santa Ana residents rho are graduates of Taller San Jose, Staff is corking vuith l~fiope Builders on the DDA. - Station District n June 29~ 0, after an extensive public outreach process, ~rhich garnered a rent deal of in ut 9 p concerning community needs and issues, the City CauncillRedevelapment Agency approved several n~onun~ental actions to facilitate the development of an affordable housing project, located in the 9~-acre Station District, that gill enhance the Lacy neighborhood and support the transit . i Year-1=nd Deport far Housing Division I'ro~ect and Activities August , X010 Page ~ vision for the area. The project is situated along a corridor which is a ke connection from the y freeway into the downtown and will also serve as a r~a~or trans ortation link for the lanr~ed o 1 p Local Fixed guideway yster~. Rotated California~riffin Realt Cor oration, the master y p developer selected last year after awide-reachin Re uest for Pro orals recess hot ed 9 q ~ ~ ~ ~ spearhead the outreach efforts with support Pram the City. The project calls far the construction of approximate) X12 rental units and fior-safe units on a y totaf of approximately six acres ofi land. The City is also looking to provide a community center and parklopen space along with the developer project. Ofi the ~ 1 ~ rental units, all but t~vo ~n~a~aer units} will be available to persons at or below ~ percent of the ad~usted median income J s {AIUII}; and of those, 0 percent ofi the units will be offered to residents t g percent Al~ll. This amount of afifiordability exceeds that required by state law, as well as the requirements imposed for state tax credit financin .The term of affordabilit gill be for ~5 ears. Additional) six of the g y Y Y~ forwsale units will be offered at percent All~l. The estimated market rice for a three bedroom p home in the Lacy ~leighborhood today is approximate) X90,000. The market rate hones will y be sold between 20,000 and oD,ooo. The affiordable homebu err ~ 0 ercent AIUII will be ~ ~ ~ ~ provided a 0,000 silent second loan, thus reducin the sales rice to the ran a of 22Q 000 and 9 p g X270, 000. f The fiirst component of the developer project would be ~4 podium a artment units to be rented to p extrerr~ely-low and very-low income households. It is antici ated that the 74 unit ro'ect wilf be p pJ submitted l:or state tax credit fiir~ancing in July o. if successful in securin the credits 9 , construction gill comr~ence in Illlarch and take approximately r~onths to cor~plete. The for~sale project is slated to con~n~nce construction in earl and be cony leted within 5 y p months. FIAL ~~PAT There i no fiscal impact associated with this action. ff } shell Lind ~~a I ~ ~ Housing Il~anager Community l~evefopmer~tAgency JIV~LBIT~sr