Housing Successor Agency
MEETING DATE: 3/9/2016
TITLE:
Title
Amendment to the Agreement for 69-Unit Mixed Use Project
End
FROM:
Leisa Lukes, Economic Development Manager
RECOMMENDATION:
Recommendation
Staff recommends that the City Council direct the City Manager to execute an amendment to the Property Transfer Agreement and Escrow Instructions approving a 4-month extension whereby Close of Escrow is to occur on or before September 30, 2016, with Project construction to be complete by September 28, 2017.
Body
BACKGROUND:
A site, approximately two acres in size, located at the southeast corner of East Palm Canyon Drive and West Buddy Rogers Avenue was acquired by the former Cathedral City Redevelopment Agency to meet affordable housing needs. The Successor Housing Agency to the Former Redevelopment Agency of the City of Cathedral City ("City) approved a Property Transfer Agreement ("Agreement") with Thermal Land, LLC in August 2013, to disperse of this site. The Agreement requires that the property be developed for housing purposes with a percentage of the units to be available to, and occupied by, moderate income households at affordable rent.
The City Council approved an assignment of the Agreement and associated Amendments to Saxony Living, LP ("Developer") in November 2014. The latest amendment to the Agreement was approved by the City Council on October 28, 2015, extending the Close of Escrow to May 12, 2016, and extending the construction completion date to May 25, 2017. The Developer recently submitted a letter to the City requesting a four-month extension to September 30, 2016, and September 28, 2017, respectively.
DISCUSSION:
As a requirement of the Agreement, the Developer submitted a Design Review/Conditional Use application package to the City for a 69-unit residential mixed use project with approximately 5,000 square feet of commercial space. This application is currently under review. A project assessment letter was issu...
Click here for full text