Housing Successor Agency
MEETING DATE: 11/16/2015
TITLE:
Title
Termination and Mutual Release of Disposition and Development Agreement with Southern California Housing Development Corporation
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FROM:
Tami E. Scott, Administrative Services Director
RECOMMENDATION:
Recommendation
Staff recommends the City Council, in its capacity as the Housing Successor, authorize the execution of a Mutual Release and Termination Agreement of a Disposition and Development Agreement to include execution of a Second Amended and Restated Note by and between the City of Cathedral City, in its capacity as the Housing Successor and Southern California Housing Development Corporation (CORE)
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BACKGROUND:
The former Redevelopment Agency entered into a Disposition and Development Agreement with Southern California Housing Development Corporation (the "Developer") in September 2007 which contemplated either an 84-unit or 91-unit affordable rental project with a community center to be constructed on land acquired by the former Cathedral City Redevelopment Agency in the Dream Homes neighborhood. The DDA contemplated that substantial partial funding for the development of this project was to come from both redevelopment agency housing funds and State housing funds. This DDA was subsequently amended in August 2010 when it became evident that due to State budgetary issues, the Developer was unable to secure the balance of State funding needed to develop the project in a timely fashion. As such, the First Amendment rescinded all business terms contained in the original DDA while extending the term of the DDA through December 2015 in order to provide the Developer with time to secure additional financing for the project. The Developer was to come back to the Agency prior to June 30, 2015 with a new financing scheme in order to finalize an amended DDA prior to December 31, 2015.
DISCUSSION:
The City's ability to financially participate in this $...
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