HomeMy WebLinkAboutReso 120-08 Positano Afford House Agmt
RESOLUTION NO. 120 - 08
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF DUBLIN
**********
APPROVING AMENDMENT NO.1 TO THE AFFORDABLE HOUSING AGREEMENT FOR
FIRST PHASE (247 UNITS) OF POSITANO TO PROVIDE FOUR ADDITIONAL SECONDARY
UNITS AFFORDABLE TO VERY-LOW INCOME HOUSEHOLDS IN-PLACE OF FOUR
SINGLE-FAMILY DETACHED HOMES AFFORDABLE TO VERY-LOW INCOME
HOUSEHOLDS
(P A 05-038 AND P A 07-005)
WHEREAS, Braddock and Logan, on behalf of Dublin RE Investors, LLC (the Developer) has
requested an amendment to the Affordable Housing Agreement for First Phase (247 units) ofPositano to
provide secondary units to satisfy the affordable housing requirement for very-low income households;
and
WHEREAS, Dublin RE Investors, LLC (the Developer) is the owner of two parcels ofland within
Fallon Village which together are known as Positano and consists of 1,043 residential units; and
WHEREAS, an Affordable Housing Agreement is required by the Inclusionary Zoning
Regulations of City of Dublin Zoning Ordinance (Chapter 8.68); and
WHEREAS, the Developer has proposed a comprehensive affordable housing proposal to address
the requirements of the Inclusionary Zoning Ordinance for the entire Positano development and said
proposal includes alternative methods of compliance with the Inclusionary Zoning Regulations; and
WHEREAS, the City Council held a public meeting on October 18, 2005, to review the affordable
housing proposal, and the City Council directed Staff to work with the Developer to refine the affordable
housing proposal; and
WHEREAS, the City and the Developer are parties to an Affordable Housing Agreement for the
Construction of Inclusionary Units in the First Phase (247 units) of the Positano development, dated June
5, 2007 ("the Agreement"), wherein the Developer agreed to construct 13 single-family detached homes
and 13 secondary units affordable to very-low, low, and moderate income households, and pay in-lieu fees
for 5 affordable units pursuant to the requirements of Chapter 8.68 of the Dublin Municipal Code, the
Inclusionary Zoning Regulations ("the Regulations"); and
WHEREAS, the Agreement for the First Phase specified the level of affordability, the location of
the required 13 single-family detached and 13 secondary units, and the phases of the Project within which
the affordable units must be completed; and
WHEREAS, a subsequent Affordable Housing Agreement is required to satisfy the affordable
obligation for future phases of Positano; and
WHEREAS, the Project has been found to be Categorically Exempt from the California
Environmental Quality Act (CEQA); and
Reso No. 120-08, Adopted 6/17/08, Item 8.2
Page 1 of2
WHEREAS, a Staff Report dated June 17, 2008, and incorporated herein by reference, described
and analyzed the proposed amendment to the Affordable Housing Agreement; and
WHEREAS, the City Council did use its independent judgment and considered all said reports,
recommendations and testimony.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin does
hereby approve an amendment to the Affordable Housing Agreement for the First Phase (247 units) of
Positano to provide 4 additional secondary units affordable to very-low income households in-place of 4
single-family detached homes affordable to very-low income households as described in Exhibit A.
BE IT FURTHER RESOLVED that the City Manager is authorized and directed to execute the
amendment to the Affordable Housing Agreement included as Exhibit A.
BE IT FURTHER RESOLVED that the Community Development Director is authorized to
approve a Site Development Review Waiver in accordance with the Dublin Municipal Code to ensure
consistency between the approved Site Development Review and the amended Affordable Housing
Agreement.
PASSED, APPROVED AND ADOPTED this 17th day of June, 2008, by the following vote:
AYES:
Councilmembers Hildenbrand, Oravetz, and Scholz, and Vice Mayor Sbranti
NOES:
None
ABSENT:
Mayor Lockhart
ABSTAIN: None
,~1tJ,
Vice Mayor
ATTEST:
~l/~
Deputy City Clerk
Reso No. 120-08, Adopted 6/17/08, Item 8.2
Page 2 of2
AMENDMENT NO.1 TO AFFORDABLE HOUSING AGREEMENT
FOR THE CONSTRUCTION OF INCLUSIONARY UNITS AND PAYMENT OF FEES
IN LIEU OF CONSTRUCTING INCLUSIONARY HOUSING UNITS
Dublin RE Investors, a California limited liability company.
First Phase (247 Residential Lots) ofthe Fallon Village Project
THIS FIRST AMENDMENT TO AFFORDABLE HOUSING AGREEMENT is
hereby entered into this 17th day of June, 2008 by and between the City of Dublin ("the City")
and Dublin RE Investors, L.L.c., a California limited liability company ("the Developer").
Recitals
1. City and Developer are parties to an Affordable Housing Agreement for the
Construction ofInclusionary Units and Payment of Fees In Lieu of Constructing Inclusionary
Housing Units, dated June 5, 2007 ("the Agreement"), which agreement sets forth an alternate
method of the Developer's compliance with the Inclusionary Zoning Regulations contained in
Chapter 8.68 of the Dublin Municipal Code ("the Regulations") for the first 247 of the 1043
residential lots in the Project.
2. The Agreement refers to the initial 247 residential units in the Project as "the First
Phase," and provides that Developer will satisfy its 31-inclusionary unit obligation in the First
Phase (a) by constructing (i) 13 integrated inclusionary units (single-family homes) on 3,200
square foot lots, which would be affordable in perpetuity, rather than for 55 years as the
Regulations require ("the Integrated Units"), and (ii) 13 I-bedroom, secondary dwelling units,
which would be rental units and affordable in perpetuity, rather than for 55 years as the
Regulations require ("the Second Units"); (b) paying fees in lieu of construction for the
remaining 5 unit obligation, which Developer has previously satisfied by paying $447,060 to
City on January 30, 2008; (c) making a community benefit payment prior to issuance of each
building pernlit equal to $958.77 (which amount is calculated based on the proposed $1,000,000
contribution divided by the 1,043 units proposed in the Project); (d) including rear yard
landscaping and energy efficiency measures to reduce the homeowners' cost of living in the 13
integrated inclusionary units; and (e) incorporating green building principles into the 26
inclusionary units.
3. The Regulations provide that 50% of the inclusionary units shall be allocated to
moderate-income households, 20% to low-income households, and 30% to very low-income
households, and, pursuant thereto, the 13 integrated units would be allocated as follows: 6
moderate-income units; 3 low-income units; and 4 very low-income units.
4. Because of concerns about the difficulty that very low-income purchasers would have
in qualifying for financing and paying the high costs of owning single-family homes in the
Project (including homeowners' association dues, geologic hazard abatement district
assessments, landscaping and lighting assessments, landscape maintenance on the property,
utilities, and long term maintenance), Developer has proposed amending the Agreement to
Amendment No.1 Affordable Housing Agreement
First Phase of Positano Project
June 17,2008
replace the 4 very low-income integrated inclusionary units with 4 very low-income secondary
units.
5. For the same reasons, the City is agreeable to the proposed amendment, and the City
Council hereby finds that the alternate method of complying with the Regulations for the 247-
unit First Phase of the Project meets the purposes ofthe Regulations.
NOW, THEREFORE, Developer and City for themselves and their respective
successors and assigns hereby agree as follows:
Section 1. Amendment of Section 7 of the Agreement. Section 7 of the Agreement is
amended to read as follows:
"7. Unit Bedrooms and Size. The size ofthe Inclusionary Units shall be
consistent with the Site Development Review approval of the Plamling Commission,
provided however, that minor changes to unit size may be approved by the Community
Development Director through a Site Development Review Waiver. The developer
proposes to provide:
A. 8 very low-income units (4 four bedroom Integrated Units and 4~
I-bedroom Secondary Units);
B. 6 low-income units (3 four-bedroom Integrated Units, and 3 one-
bedroom Secondary Units); and
C. 12 moderate-income units (6 four-bedroom Integrated Units, and 6
one-bedroom Secondary Units).
The City hereby finds that, while this breakdown does not reflect the range of numbers of
bedrooms provided in the First Phase as a whole, as required by Section 8.68.030.E of the
Regulations, the Developer's alternate method of compliance meets the purposes of the
Regulations. "
Section 2. Amendment of Exhibit 3 and Exhibit 4. Exhibit 3 and Exhibit 4 of the
Agreement are hereby replaced with Exhibit A and Exhibit B to this Agreement.
Section 3. All other provisions of the Agreement shall remain in effect.
[EXECUTION PAGE FOLLOWS]
Amendment No.1 Affordable Housing Agrcemcnt
First Phase of Positano Project
2 June 17,2008
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of
the date and year first above written.
CITY OF DUBLIN
Dated: "(i -c f Dd
.---~
, I~/
By: l(, c,..cL.-,- .
Richard C. Ambrose, City
t.
Attest:
~ C rc;q-
City Clerk I Oepv 1j
Dated: 0' /; () lots
DUBLIN RE INVESTORS, LLC
By: Braddock and Logan Services, Inc.
a California corporation
BY~~~
Its Manager: '.. 'f,.. C. e;1' "/I loA
Ii
1103324.2
Amendment No.1 Affordable Housing Agrccment
First Phase of Positano Projcct
3 Junc 17,2008
EXHIBIT A
Revised Exhibit 3 to the Agreement
["Diagram of Location of Inclusionary Units in the First Phase of the Project"]
LEGEND
~ Moderate Income - 12 units
Plan 1 - Unit
Lots 8, 18,23,31,38 & 72
Plan 3 - Secondary Unit
Lots 16,20,30,33,35 & 64
(i) Low-Income - 6 units
Plan 1 - Unit
Lots 25,57 & 62
Plan 3 - Secondary Unit
Lots 51, 60 & 67
^ V ery- Low Income - 8 units
~ .
Plan 3 - Secondary Umt
Lots 26, 41,43,47,52, 54,59 & 69
(Positano
DUBLIN, CALIFORNIA
JII~h BRADDOCK.. LOGAN SERVlCES,INC,
. . .' 41.55 BLACKHAWKPtAZA ClRCLE,SUITE 201.
<., DANVttLE., CA 94506
. ' . TEL; (925)136-4000 FAX; (925) 648-5701
..e Homes with Below
Market Rate Secondary SITE
Units DEVELOPMENT
REVIEW
All lots without above
symbols are market-rate. INCLUSIONARY
# Lot Number HOUSING
* Resident Parking in EXHIBIT
Driveway for Affordable March 2007
Secondary Unit Rev. May 2008
[U] Plan and Elevation
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21
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DRIVE
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SHEET NUMBER
03
EXHIBIT B
Revised Exhibit to the Agreement
["Preliminary Construction Schedule"]
Positano First Phase Preliminary Construction Schedule
MODELS
o
Moderate.
PHASE ONE
Moderate
1
1
2
6%
PHASE TWO
Low
o
Ve , .. Low Sub;;'Total BMR .
Market
4
4
8
o
o
. Total.....
4
4
8
......Total
13
11
2
7
33
100%
. . Moderate Low. Very Low Sub-Total BMR . . Market Total
Market Rate-.Neiahborhood A" 1 4 1 4
Market Rate'~ Neighborhood B..... 1 2 1 2
4'Bedroom BMR, 3 1 0 4 4
Secohda == 2 0 3 5 5
5 1 3 9 26 35
Percantage of Phase Units. 1 4% 3% 9% 26% 74% 1 00%
PHASE THREE
Moderate
2
3
5
14%
PHASE FOUR
Income Level
Market Rate - Nei hborhood B
Low 'VeLow Sub-Total BMR
Market ..'
13
11
1
2
3
9%
Low
1
1
2
6%
o
4
4
12%
2
7
9
27%
24
73%
nTotal.' .
16
12
3
5
36
100%
PHASE FIVE
Ve Low Sub-Total BMR . Market
16
12
o
1
1
3%
3
5
8
22%
28
78%
Income Level Moderate '.. Low Very Low Sub-Total BMR "Market '. ..Total'
Market.Rate - Neiahborhood B 1 2 1 2
PHASE SIX
Income Level - Moderate Low Very Low Sub-Total BMR Market. Total
Market Rate -Neiahborhood B 1 0 1 0
PHASE SEVEN
Income Level . Moderate
Market Rate - Nei hborhood B .
Ve Low Sub-Total BMR
Exhibit B
PHASE EIGHT
Total.
9
PHASE NINE
Ne Low Sub~Total BMR:.Market. . Total.
14 14
PHASE TEN
. Moderate ... I ".., I Very Low Sub-Total BMR ...Market . . Total. II
MarketRate~"NeighborhoodB. I 1 3 1 3 II
PHASE ELEVEN
Moderate . Low
. Market
8
Total
8
hborhQodB
PHASE TWELVE
-:- Moderate I . Low. Very Low Sub-Total BMR . Market I. T ot.iI
Market Rate - NeiahborhoodB :1 I 1 0 T 1 0
PHASE THIRTEEN
Moderate I . Low Very Low Sub~TotarBMR Market .1 Total
Market Rate - Neighborhood B 1 I 1 1 1 1 1
PHASE FOURTEEN
Moderate I .. Low .1 Very Low Sub-Total BMR ... Market I Total II
Market Rate - NeiahborhoodB I I 1 2 I 1 2 II
UN LOTS
:::: :-:> Moderate I Low Very Low Sub-Total BMR Market 1 Total,.
Market Rate- NeiahborhoodB I I 1 2 T 1 2