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HomeMy WebLinkAboutReso 006-97 AffordHous/CreeksidRESOLUTION NO. 6 - 97 A RESOLUTION OF THE CITY OF DUBLIN A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN FINDING CERTAIN UNITS IN THE CALIFORNIA CREEKSIDE PROJECT AFFORDABLE BY DESIGN AT MODERATE INCOME LEVELS Recitals WHEREAS, through its actions on April 16, 1996 and May 28, 1996, the City approved the California Creelcside project consisting of 154 single family lots and 123 airspace condominiums, for a total of 277 residential units; and, WHEREAS, the approved project is subject to the City of Dublin Indusionary Housing Ordinance, as set forth in Chapter 8.24 of the Municipal Code, which requires that 5% of the 277 total units be set aside for affordable housing at moderate, low and very low income levels; and, WHEREAS, the project developer will provide 3 moderate income inclusionary units, as required under Chapter 8.24, from among 29 of the airspace condominiums identified by the developer as "Plan 1" units, which are proposed as Affordable by Design to moderate income households; and, WHEREAS, pursuant to Chapter 8.24.070.B. 1, the City Council shall determine whether a project is Affordable by Design such that unit design rather than resale controls ensures continued affordability. NOW THEREFORE BE IT RESOLVED, The City Council hereby determines that the 29 "Plan 1" airspace condominiums identified as affordable to moderate income households are Affordable by Design (hereafter, "Affordable"), are priced substantially lower than other project units, and are likely to remain affordable over time, all pursuant to Chapter 8.24 of the Dublin Municipal Code, for the following reasons, and as further set forth in letters to the City from the' developer, Kaufman & Broad, dated December 20, 1996 and January 23, 1997, attached as Exhibits A and B, respectively, and incorporated herein by reference: 1. The Plan 1 Affordable units are smaller than either the Plan 2 or Plan 3 condominium units or the single family units, all as described in the developer's memorandum of January 27, 1997, attached hereto as Exhibit C and incorporated by reference. The Affordable units will contain 1202 square feet of living area vs. 1401 and 1610 square feet for the Plan 2 and Plan 3 condominiums, and vs. I337 to 2178 square feet for the single family homes. 2. The Affordable units are provided in the condominium portion of the proiect where higher densities allow lower per-unit costs than in the single family portion of the proiect; where, unlike single family homes, there are no out-of-pocket landscape installation and maintenance costs; and where monthly utility bills are typically less than for a single family home. $40,000 than the The initial sales price for the Affordable units will be approximately less than a similar sized single family home and approximately $15,000 less Plan 2 condominiums, which are slightly larger. 4. The Affordable units are likely to remain affordable over time because it can be anticipated that future housing prices will keep pace with future income levels. 5. The Affordable units are likely to remain affordable over time because housing records for Dublin show there is an ample supply of moderate income units, and resale home pricing is largely a function of supply and demand. Recent records show that Dublin has produced 18% more than its fair share of moderate income units as determined by the Association of Bay Area Governments. Moreover, the housing densities approved in the Eastern Dublin Specific Plan allow for provision of additional moderate income units in the future. This recent history coupled with potential for additional moderate income development ensures that future resale prices will not be pressured upward by limited supply of moderate income housing. The developer submitted moderate housing sales figures ranging from 351 to 642 homes sold per year over the years 1991-1996. Based on a total housing supply of 7,568 homes cited in the City's 1995 staff report for the inclusionary housing program, these figures show the supply of moderate housing ranging from 4.1% to as high as 8.5% of the City's total housing supply. 2 PASSED, APPROVED AND ADOPTED this 4th day of February, 1997. AYES: NOES: ABSENT: Councilmembers Barnes, Burtor~ Lockhart and Mayor Houston None Councilmember Howard ABSTAIN: None F:/WPD~ W/I14/RE$OL/AFFB YDES. K&B MKF/DLP/apn revised: 1/23/97 1/27/97 1/28/97