RES-ORA-0353 Affordable Housing Agreement Regarding 1741-1745 E. Adams AvenueRESOLUTION NO. ORA-
0353 A RESOLUTION OF THE ORANGE
REDEVELOPMENT AGENCY APPROVING AN AFFORDABLE
HOUSING AGREEMENT BY AND BETWEEN THE
ORANGE REDEVELOPMENT AGENCY AND THE
ORANGE HOUSING DEVELOPMENT CORPORATION
REGARDING 1741-1745 EAST ADAMS AVENUE AND
MAKING
CERTAIN FINDINGS VHEREAS, pursuant to Sections 33334.2(a) and 33334.6(c) of
the Community Redevelopment Law (commencing with Section 33000 of the Health and Safety Code
and hereinafter referred to as the "CRL") not lessthan 200.10 of all taxes which are allocated to
the Orange Redevelopment Agency ("Agency") are set aside by the Agency in its Low-
and Moderate-Income Housing Fund ("Housing Fund") and used by the Agency for the purpose of
increasing, improving and preserving the community's supply of low- and moderate-income
housing available at affordable housing costs to persons and families of low- and moderate-
income, including very low
income persons cmd families; and W'HEREAS, pursuant to Section 33334.2(e) of the CRL, the Agency
may exercise any and all of its powers to
cany out this purpose; and VHEREAS, pursuant to Section 33334.6(a) of the CRL,
the California State Legislature has found and declared that the provision of affordable housing outside
of redevelopment projectareas can be of dinx:t benefit to those projects in assisting the
accomplishment of project objectives; andHEREAS, pursuant to Section 33334.2(g) ofthe CRL, the
Agency may use Housing Funds to assist in the provision of housing for low and moderate
income households, including very low-income households, outside the boundaries of its redevelopment project
areas upon resolution of the City Council and the Agency that such use will be of benefit
to the redevelopment projects; and rHEREAS, Orange Housing Development
Corporation, a California nonprofit corporation OHDe"), has entered into an agreement for the acquisition of
certain improved real property located at 1741-1745 East Adams Avenue (the "Site"), which is located outside
the boundaries of the
City's redevelopment project areas; and HEREAS, the Site is improved with three dwelling
units, which units QHDC has inspected and believes to be suitable for the provision
and maintenance of affordable housing; and HEREAS, QHDC has requested the assistance of the
Agency to make available to OHDC 149,820 in Housing Funds (including a loan of $30,000 and a grant of $
119,820) to be used to acquire the Site and, thereafter, to cause the dwelling units at the Site
to be made available and rented to persons and families of low and moderate income, including
very low income, for fifty-five (55)years (the "Project"), as more fully set forth
in an Affordable Housing Agreement ("Agreement") by and between the Agency and OHDC in
a form acceptable to the Agency; and HEREAS, QHDC intends to finance the Project in part with a
loan made by a bank or other lender, secured by a first trust deed
W'HEREAS, the City Council has found and detennined, and the Agency desires to find and
detennine" that the use of a portion of the funds from the Housing Fund outside the boundaries of the
City's red(lvelopment project areas for the Project in accordance with the terms and provisions of the
Agreement, is for the benefit of the City's redevelopment project areas and is in the vital and best
interests of the City of Orange and the health, safety and welfare of its residents, and in accord with the
public purposes and provisions of applicable federal, state and local laws and requirements; and
W'HEREAS, the Project consists of the rehabilitation of dwelling units of a previously existing
low-rent housing project and is not, therefore, a "low rent housing project" within the meaning
of Article XXXIV of the California Constitution requiring voter approval at an election;
andW'HEREAS, the governing board of the Agency, along with the City Council, have
duly considered all of the terms and conditions of the Agreement as set forth in the agenda report
presented to it and ainy testimony received at the meeting at which this matter was considered and believes
that the activities described therein are in the best interests of the City and health, safety, morals and
welfare of its residents, and in accord with the public purposes and provisions of applicable State and local
law requirements, and that such activities promote the affordable housing objectives of the CRL as well
as the Redevelopment Plans for the Northwest, Southwest and Tustin Street Redevelopment
Projects;NOW, THEREFORE, the Orange Redevelopment Agency resolves, on the basis of the
facts set forth in the agenda report presented to it and any testimony received at the meeting at which
this matter was considered, as
follows:S(:ction 1. That the Agency's use offunds from the Housing Fund in the amount of $149,
820 for the Project will be of benefit to the City's redevelopment projects and is in the vital and
best interests of the City of Orange and the health, safety and welfare of its residents, and in accord with
the public purposes and provisions of applicable federal, state and local laws and
requirements.S(:ction 2. That the provision of affordable housing pursuant to the Agreement is of benefit
to each of the following redevelopment projects and their project areas: the Tustin Street
Redevelopment Project; the Southwest Redevelopment Project; and the Northwest Redevelopment
Project.S(:ction 3. That an economically feasible alternative method of financing the Project
onsubstantia:tly comparable terms and conditions, but without subordination, is not reasonably
available.S(:ction 4. That the Agency approves the preparation of the Agreement with OHDC
in accordance with the terms and provisions set forth in the agenda report presented to the Agency
and any testimony received at the meeting at which this matter was considered and hereby authorizes
and directs the Chairman of the Agency to execute the Agreement on behalf of the Agency in a form to
be prepared by the General Counsel of the Agency (or his designee) upon consultation with the
City Attorney imd to take all steps and sign all documents and instruments to carry out the Agreement
on behalf of the Agency, including signing such subordination agreements as may be required by
the Senior Lender in order to subordinate the low- andmoderate:-income covenants and restrictions of
the Agreement to the security interests and liens of the Primary
Lender.Reso. No. O~-
OJ53
ADOPTED this 26th day of January, 1999.
Agency
i..../
A TIEST:
d--
CA~Clerk, Orange R~elopment
Agency I hereby certify that the foregoing Resolution was duly and regularly adopted by the
Orange Redevelopment Agency at a regular meeting thereof held on the 26th day of January,
1999,by the following
vote:
AYES:
NOES:
ABSENT:
ABSTAIN:D~~OllS: MURPHY, SLATER, COONTZ, SPURGEON,
ALVAREZ D~~OllS:
NONE D~~OllS:
NONE D~CTOllS:
NONE L .4.44
AlAA-Clerk, Orange Red elopment
Agency Reso. No. ::
JRA-
0353 3-