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HomeMy WebLinkAbout1985-269
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2,146-l0/0795S/cmh
07/03/85
RESOLUTION NO. 85-269
A RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING
A CERTAIN COOPERATIVE AGREEMENT BY AND BETWEEN
THE HOUSING AUTHORITY OF THE COUNTY OF
SAN BERNARDINO AND THE CITY, OF SAN BERNARDINO,
CALIFORNIA (MEYERS RANCH VILLAS PROJECT)
WHEREAS,
the
Housing
Authority
of
the
County
of
San Bernardino (the "Authority") and the City of San Bernardino,
California (the "City"). desire to enter into an agreement pursuant
to which the Authority shall issue on behalf of the City certain
multifamily mortgage revenue bonds for that certain project located
within the City, other than in redevelopment project areas, in order
that the City will not be restricted in'the issuance of such bonds
by the monetary limitations set forth in Health and Safety Code
Section 52097.5;
NOW, THEREFORE, THE MAYOR AND COMMON COQNCIL OF THE CITY OF
SAN BERNARDINO DO HEREBY FIND, RESOLVE, DETERMINE AND ORDER AS
FOLLOWS:
Section 1.
The Mayor and Common Council of the City
hereby approve that certain Cooperative Agreement By and Between the
Housing Authority of the County of San Bernardino and the City of
San Bernardino, California (Meyers Ranch Villas Project) (the
"Agreement"), attached hereto as Exhibit "AN and incorporated herein
by reference.
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Section 2.
The Mayor and the City Clerk are hereby
authorized and directed to execute the Agreement and to cause the
official seal of the City to be affixed thereon.
Section 3.
This
Resolution
shall take effect upon
adoption.
I HEREBY CERTIFY
adopted by the Mayor
San Bernardino at a
held on the 15th
the following vote, to
that the foregoing
and Common Counci 1
regular
day of July
wit:
resolution
of the
meeting
was duly
Ci ty of
thereof,
1985, by
,
AYES:
Council Members Estrada, Reilly, Hernandez, Marks,
Quiel, Frazier, Strickler
NAYS:
None
ABSENT:
None
~//47..v.aM:.-
Ci-t:y Clerk
day of
The foregoing resolution is hereby approved this
July , 1985.
18th
~~
San Bernardino
Mayor Pro Tempore
Approved as to form:
~~1~~
f. 'City Attornet,
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.oC- "-'/!J
(l..;).... 01 ~-,
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2,146-9/0794S/jvz
07111/85
COOPERATIVE AGREEMENT BY AND BETWEEN
THE HOUSING AUTHORITY OF THE COUNTY OF SAN BERNARDINO
AND THE CITY OF SAN BERNARDINO, CALIFORNIA
(MEYERS RANCH VILLAS PROJECT)
THIS COOPERATIVE AGREEMENT (the "Agreement") is hereby made
and entered into as of July , 1985, by and between the HOUSING
AUTHORITY OF THE COUNTY OF SAN BERNARDINO, a public corporation and
body poli t ic of the State of Ca liforni a (the "Authori ty") and the
CITY OF SAN BERNARDINO, CALIFORNIA, a municipal corporation, being a
charter city, located in the County of San Bernardino (the "City").
WITNESSETH
WHEREAS, the Authority has determined to engage in a
multifamily rental housing mortgage finance program within the
County of San Bernardino (the .County") and, in particular, within
the City (the "Program"), pursuant to Chapter 1 of Part 2 of
Division 24 of the Health and Safety Code of the State of California
(the "Act") to finance construction or mortgage loans for the
development of certain multifamily rental housing projects, all as
provided for in the Act; and
WHEREAS, the Authority has determined to borrow money to
finance the Program by the issuance of revenue bonds (the "Bonds")
as authorized by the Act; and
WHEREAS, the City is willing to cooperate with the
Authority in its implementation of the Program, provided that (1)
such cooperation and implementation shall in no way limit the City's
ability to exercise its own powers and develop its own program or
programs similar to the Program; and (2) all normal planning and
building approval processes of the City shall apply to the Program.
NOW, THEREFORE, in consideration of the mutual covenants,
terms and conditions hereinafter set forth, the parties hereto agree
as follows:
Section 1. The words and phrases of this
shall, for all purposes hereof unless otherwise defined,
meaning assigned to such words and phrases in the Act.
Agreement
have the
Section 2. The Program shall encompass and include only
that certain multifamily rental housing project within the City
designated herein as the one hundred four (104) unit multifamily
rental housing development which shall be constructed on an
approximately six (6) acre parcel of land located on the east side
of Tippecanoe Avenue immediately to the north of the undercrossing
of the Warm Springs Flood Control Channel at Tippecanoe Avenue
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wi thin the Ci ty refer red to as the "Meyers Ranch vi lIas Proj ect"
(the "Project") in an aggre~ate principal amount of such multifamily
revenue bond financing not to exceed $4,500,000. The Authority
agrees to use its best efforts to undertake the Program and to issue
the Bonds therefor as soon as the Authority determines the same to
be necessary and advisable and upon request by the City.
Section 3. The City represents that: (i) the City has
heretofore adopted a General Plan for the City which it believes to
be in conformance with the provisions of the Planning and Zoning Law
of the State of California (Government Code Section 65000, et seq.);
(ii) said General Plan includes a Land Use Element and a Housing
Element, as required by Government Code Section 65302; and (iii) the
use and development of all sites related to the Program shall comply
with said Land Use Element and Housing Element.
Section 4. The City agrees that the Authority may make
and issue multifamily rental housing mortgages under the Program,
and that the Authority may exercise any and all of its powers for
the purpose of financing multifamily rental housing mortgages
pursuant to the Act, with respect to the Project within the City
which the City shall designate in writing and the Authority may
hereafter accept to include within the Program.
Section 5. The City agrees to undertake such further
proceedings or actions as may be necessary in order to implement the
terms and the intent of this Agreement, and the City further agrees
to refrain from taking any action which would, to its knowledge,
affect adversely the rating on the Bonds to be issued by the
Authority pursuant hereto; provided that nothing in this Agreement
shall in any way or manner be construed to restrain, or in any way
limit, the exercise by the City of its planning, land use, building
permit, or other authority or duties, over any aspect of the
Program; and further provided that nothing herein shall require the
City to approve any density bonus or bonuses for any proposed
project under the Program as may otherwise be available to a
developer pursuant to Government Code Section 65915.
Section 6. Nothing in this Agreement shall prevent the
Authority or the City from entering into one or more similar
agreements with other parties, if deemed necessary and advisable to
do so by the Authority or the City, nor shall anything in this
Agreement be construed as limiting the exercise by the Authority and
the City of any of their respective duties and powers.
Section 7. The Issuer shall provic;Ie that upon issuance
and delivery of the Bonds, the City shall receive 7/8% of the
principal amount of the Bonds and the Authority and the County shall
each receive 1/16% of the principal amount of the Bonds.
"
Section 8. This Agreement may be amended in writing by
the Authority and the City at any time deemed advisable by the
Authority and the City, except that no such amendment shall be made
which shall adversely affect the rights of the holders of the Bonds
issued by the Authority in connection with the Program.
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Section 9. The term of this Agreement shall commence on
the date first above writteh and shall terminate upon the final
maturity of the Bonds issued by the Authority under the Program.
IN WITNESS WHEREOF, the parties hereto have caused this
Agreement to be executed and attested by their duly authorized
officers, and their official seals to be hereto affixed, all as of
the date first above written.
::~ tAN B~:)f~RNIA
MaY~
(SEAL)
ATTEST:
By: ~///17~
~i ty Cler
APPROVED AS TO LEGAL FORM
By:~Jf~
?> .W. City Attorn
HOUSING AUTHORITY OF THE
COUNTY OF SAN BERNARDINO
By: ~~/_
Title: .
(SEAL)
By:
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1.020-31/0371S/cb
2/26/85
EXHIBIT "A"
SECTION 2.1. SECTION 4.1 AND SECTION 4.2 OF THE
REVISED APPLICATION FOR TAX-EXEMPT FINANCING
ASSISTANCE OF FOUNTAIN PLACE ASSOCIATES.
A CALIFORNIA LIMITED PARTNERSHIP
1. Section 2.1 of the application for tax-exempt financing assistance of
Fountain Place Associates, a California limited partnership (the
"Applicant") is hereby revised to provide as follows:
"2.1 The estimated total amount of the financing package and the
proposed use of bond proceeds is as follows:
o
2.1.1
Project cost - $7.500.000
Legal. printing and related fees - $165.000
2.1. 2
2.1.3
Financing coats and fees - $500.000
2.1.4
Capitalized Interest - $750.000
2.1.5
Other miscellaneous costs - $485.000
2.1.6
Land acquisition - $1,000.000
Total: $10,400.000"
2. Section 4.1 of the application for tax-exempt financing assistance of
the Applicant is hereby revised to provide as follows:
"4.1
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The Project as proposed by the Applicant shall include the
acquisition land and the construction and operation of a
two-hundred sixty-four (264) unit multifamily rental housing
development on a aeventeen and four-tentha (17.4) acre aite
locat.d on Tippecanoe Avenue to the north of the undercrossing
of the Warm Springs Flood Control Channel at Tippecanoe Avenue.
in the City of San Bernardino. The Project ahall be constructed
on both sides of Tippecanoe Avenue and ahall include
ninety-seven (97) one-bedroom/one-bath units, ninety-seven (97)
two-bedroom/two-bath units, aeventy (70) three-bedroom/ two-bath
units, on-site vehicle parking spaces for approximately
aix-hundred eight (608) spaces, laundry and recreational rooms,
appurtenant landscaping and other improvements. The first phase
of development of the Project shall be developed on the east
side of Tippecanoe Avenue on an approximately aix (6.0) acre
parcel of land and shall consist of one hundred four (104)
rental units which ahall include thirty-nine (39)
one-bedroom/one-bath unita. thirty-eilht (38) two-bedrooml
two-bath units and twenty-aeven (27) three-bedroom/two-bath
unita. The aecond phaae of development of the Project ahall be
developed on the west aide of Tippecanoe Avenue on an
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approximately eleven and four-tenths (11.4) acre parcel of land
and ahsll include one hundred and ,ixty (160) rental unih with
a mix of one, two and three bedroOlll rental unita in the a_
relative proportiona aa in the Hnt phaae of development of the
Project. The Project ahall be located on land more'particularly
d..cribed and included aa Exhibit "B" hereto.
o
4.1.1
The two hundred .aixty-four (264) unit multifamily
rental housing development ahall have the fOllOWing
proposed rent schedule with 201 of the rental units
allocated and reserved as low cost rental units.
Unit DescriPtion
Proposed Rent/Month
1 bedroom - 1 bath
2 bedroom - 2 bath
3 bedroom - 2 bath
$440
$540
$650"
3. Section ~.2 of the application for tax-exempt financing assistance of
the Applicant is hereby revised to provide as follows:
"4.2 The components and the estimated total cost of the functional
parts of the Project are as follows:
4.2.A
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4.2.Al
4.2.A2
4.2.A3
4.2.A4
4.2.A5
4.2.A6
4.2.B
Q
4.2.Bl
4.2.B2
4.2.B3
Phase 1 of the Development of the Project: 104 Rental
Units on the East Side of Tippecanoe Avenue
Land - $400,000
Building construction - $2,600,000
Site preparation - $240,000
Engineering and technical services - $50,000
City fees - $170,000
Total: $3,460,000
Miscellaneous Items _
a.
51 construction contingency - $103,000
Developer's overhead and profit - $137,000
Interest during construction - $258,000
Other miscellaneous costs - $172,000
b.
c.
d.
Phase 1
Total: $4,130,000
Phase 2 of the Development of the Project: 160 Rental
Units on the West Side of Tippecanoe Avenue
Land - $600,000
Building construction - $3,710,000
Site preparation - $360,000
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4.2.14
Inlineerinl and technical services - '90,000
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4.2.IS
City fees - $280,000
Total: 'S,040,OOO
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4.2.16
Miscellaneous Items
a. SI Construction contingency - $197,000
b. Developer's overhead and profit - $213,000
c. -Interest durinl construction - $492,000
d. Other miscellaneous costs - $328,000
Phase 2 Total: $6,270,000
TOTAL DEVELOPMENT COST FOR THE PROJECT
(Phase 1 and Phase 2) Total: $10,400,000"
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~rr(Qr ~~!. if. JESTOR GROUP
California Office: 4605 Berranca Parkway I Irvine. California 92714 1(714) 552.0100
o
February 22, 1985
City of San Bernardino
JOO No. "D" Street
San Bemardino, CA 92418
.
Subject: Construction of 264 00l'll:IalIini\JII rits to be used
as rental rits and financed with tax exmptions.
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Coast Investor Group is planning to construct 264 ""nrhnhUUIIS
located on Ti.ppe<:aooe, just south of Baseline in the City of
San Bemard:lnO. '!his project is to be cmpleted in two phases
with Parcel I expected to start construction about April 15, 1985
and, Parcel II about Ja1e 15, 1985.
'lhe land for Parcel I was ,purchased at a prsni\JII price l>e<-suse
it included ~ Final Tract Map, Conditional Use Pexmit,
El1gineering and Architectual Drawings, and Construction Drawings
to build 104 concIcmini\JII rits. '!his included approval for 25%
bonus density. We bought this land with the mderstanding that
the City of San Bernardino would grant a resolution of u.nrvo--"t
for DIllti-family M:lrtgage Revenue Bends for this ~ ~ject.
en January 21, 1985 we sli:mitted this project including it s bonus
density to the City of San Bernardino for approval. 'lhe City voted
approval on it's intention to issue this bOllet
'lhe land for Parcel II was purchased with the intent to construct
oorubniniUIIS at the density of 14 rits per acre. The tract map
and conditional use penIlit is mt yet approved on this land. We
sutmitted a request to the City San Bemardino on January 21, 1985
of an inducElllent for DIllti-family DDrtgIlge for 135 U'lits in this
phase. '!his made a total of 239 rits in the ay.,colled intention.
'lhe 135 U'lits in Parcel II are based on 9.65 acres of land. Since
this hearing we have purchased an additional 1.8 acres of land and
plan to increase the mmDer of rits in this phase to 160 units.
lhis is based on a density of 14 U'lits per acre in this phase.
'lhe only way either of these phases can be built ecaJDically is
with the tax-exmpt DIllti-family DDrtgage. Parcel I can only be
built as 104 U'lits because of the purchase price paid for this
approved project. Any lowering of this density would have severe
ecollanic ~t on this project. Since the bonus density for Phase
I has already been approved and since the City has already given
approval of intention to issue 1IIJlti-family Revenue Bonds, we ask
the City to continue to support and give final approval to this
project.
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Sincerely,
L:r- ALL~
Les Hribar
Reglllered Office: :soo South Fourth Street. Sulle 1414, 1M Vegn 1'Ie..de 89101 (702) 3(\43~
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PART I
1.1
1.2
1.3
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1.4
1.5
1.6
1.7
1.8
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APPLICATION OF FOUNTAIN PLACE ASSOCIATES
FOR MUL TJFAMILY MORTGAGE REVENUE BOND FINANCING,
CITY OF SAN BERNARDINO, CALIFORNIA
GENERAL AND 8USINESS INFORMATION
The legal name of the Applicant is -Fountain Place Associates.
The Applicant 15 a California general partnership in the process of
formation which shall be engaged in the development, construction,
leasing and ownership of a two hundred thirty-nine (239) unit
IIUltifamily rental housing development located near the southwest
corner of the intersection of Baseline Avenue and Tippecanoe Street
in the City of San Bernardino, California (the -Project-). The
, Applicant has opened an escrow to acquire the property necessary for
the proposed multifamily rental housing development (the -Project")
from its current owner; and shall develop said property and construct
the Project thereon.
The mailing address and the address of the Applicant is IS follows:
FOUNTAIN PLACE ASSOCIATES
c/o Coast Investor Group
4605 Barranca Pkwy.
Irvine, CA 92714
Employer Tax 1.0. No. has been applied for.
Mr. Gary 8rashear or Lester Hribar is the principal contact for the
Applicant.
Telephone Number (714) 552-0100.
The Applicant is a California general partnership which is in the
process of formation.
1.7.1 The Applicant shall own property and conduct business
in the County of San Bernardino, State of California.
1.7.2 The general partnership organizational documents of the
Applicant shall be executed prior to the time when the
Applicant acqUires legal title to said property which
shall be developed in connection with the Project.
The ownership interest of each of the general partners associated
with the Applicant shall be as follows:
Coast Investor Group, A Nevada Corporation _ 751
Dr. Sol Delee - 251
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Mr. Gary Brashear and Mr. Lester Hribar, the principals and corporate
officers of Coast Investor Group, will have primary responSibility
for conducting the business of the Applicant.
Business ventures of the general partners of the AppUlcant.
The Applicant currently has seven (7) employees. Although
the principal objective of the Project is to Provide
affordable rental housing to the citizens of the City of
San Bernardino, the construction and operation of the
Project will create certain employment opportunities within
the City.
The business offices of Applicant shall be located at 4605
Barranca Pkwy., Irvine, CA 92714.
1.12 Professional services will be provided by the following:
1.9
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1.10
1.10.1
1.10.2
1.11 Employees
1.11.1
1.11.2
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1.12.1
1.12.2
1.12.3
1.12.4
Coast Investor Group COlllllenced operations In early 1984
and has interests in several other business ventures,
including real estate development projects In the City of
Hemet and Las Vegas, Nevada
Dr. Sol Delee is engaged in general real estate develop-
ment; as w~11 as a very extensive medical practice.
Don Baumgardner, DIB Construction, Big Bear, California
shall serve as General Contractor.
Andrew Couch, '3 Corporate Center, Newport Beach, California
is the attorney for the Applicant.
The Law Offices of Timothy J. Sabo, a Professional
Corporation, shall serve as Bond Counsel to the City
with regard to the tax-exempt financing for the Project.
Principal Architect - Rick Barton, Big Bear, California
(714) 866-3023.
1.13 The principal banking accounts of the Applicant shall be held by
Bank of America, Barranca Branch, Irvine, California.
1.14 The source of funding for the Project is anticipated to be derived
from a variety of sources including the private placement of a
tax-exempt bond or other obligation with a lender to be obtained
hereafter.
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PART II BOND ISSUE
2.1 The estimated total amount of the financing package and the proposed
use of bond proceeds 15 as follows: . .
2.1.1 Project cost - $6,215,000
2.1.2 Legal, printing and related fees - $165,000
2.1.3 Financing costs and fees - $500,000
2.1.4 Capitalized Interest - $600,000
2.1.5 Other miscellaneous costs - $140,000
2.1.6 Land acquisition - $800,000
Total: $8,420.000
2.2 The estimated target date for the financing is presently anticipated
in the fourth quarter of 1985, with construction to commence as soon
as poSSible after the financing package is completed and to be com-
pleted in one (1) construction phase which shall take between twelve
(12) and eighteen (18) months to complete.
It is proposed that the financing be in the form of a construction
loan during the construction period which would have the traditional
construction loan provisions in that drawdowns would be permitted as
construction proceeds upon submission of requisition vouchers. Upon
the completion of construction of the Project and the certification
that all improvements have been completed, the lender will then
permit an interest rate adjustment and a principal amount increase,
as warranted, and convert the construction loan to a permanent
financing.
2.3
2.4 The present proposal for the financing of the Project anticipates
that the tax-exempt bonds or other obligations will be sold to a
commercial bank or other such lender through a private placement or
that there be a public offering of such securities.
PART III FINANCIAL INFORMATION
3.1 The financial statements of the general partners of the Applicant are
included as Exhibit "A" hereto.
3.2
Upon its formation, the Applicant shall be a small business doing
business as a general partnerShip pursuant to the laws of the State of
of California and the Applicant would be considered a small business
with regard to its relative size in comparison with other such
businesses undertaking projects of this type. Although the Applicant
is a small business, no federal small business loan guarantees are
proposed in connection with the proposed financing as contemplated by
this Application.
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PART IV PROJECT. INFORMATION
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4.1 The Project as proposed by the Applicant shall include the aCQuisi-
tion land and the construction and operation of a two ,hundred thirty-
nine (239) unit multifamily rental housing development ad a sixteen
(16) acre site located south of the intersection of Baseline Avenue
and Tippecanoe Street, in the City of San Bernardino, The Project shall
include one hundred twelve (112) one-bedroom/one-bath units, one hun-
dred twelve (112) two-bedroom/one-bath units, eighty (80) two-bedrooml
two-bath units, on-site vehicle parking spaces for approximately six
hundred eight (608) spaces, laundry and recreational rooms. appurte-
nant landscaping and other improvements. The Project shall be located
on land more particulllrly described and included as Exhibit -B" hereto.
4.1.1 The two hundred thirty-nine (239) unit multifamily rental
housing development shall have the following proposed rent
schedule; 201 w1l1 be allocated as low cost rentals.
Unit Description
1 bedroom - l'bath
2 bedroom - 2 bath
3 bedroom - 2 bath
Proposed Rent/Month
$440
$540
$650
4.2 The components and the estimated total 'cost of the functional parts
of the Project are as follows: '
4.2.1
Land - $800,000
4.2.2 Building construction - $4,215,000
4.2.3 Site preparation - $500,000
4.2.4 Engineering and technical services - $115,000
4.2.5 City fees - $478,000
Total: $6,108,000
4.2.6 Miscellaneous Items _
a. 51 construction contingency - $300,000
b. Developer's overhead and profit - $300,000
c. Interest during construction - $600,000
d. Other miscellaneous costs - $11'2,000
Total: $8,420,000
4.3 The estimated construction period for the Project is as follows:
4.3.1
Ccnstruction of the Project would commence as soon as
possible after issuance of the tax-exempt obligations.
The planned construction shall Occur in one (1) phase and
be completed within twelve (12) to eighteen (18) months
from the date of commencement.
4.3.2
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The supervising civil engineer responsible for the design of the Project
on behalf of the Applicant shall be Mr. Rick Barton, Architect.
4.5 The Project shall be known as Fountain Place Associates..
4.6 The Project is the development of a multifamily rental housing develop-
ment and is not an expansion or an alteration of an existing facility.
The necessary infrastructure items and other public i~rovements IIUst
be installed on the Project site and the Applicant desires to obtain
a below market rate tax-exempt construction and penmanent financing
of the improvements to be placed thereon from a combination of sources.
4.7 The property on which the Project is proposed to be located is current-
ly owned by Ernest and Blanche Meyer, and the Applicant has entered
into an escrow to acquire said property for a total consideration not
to exceed $800,000.
4.8 . The Project will provide two hundred thirty-nine (239) units of rental
housing to the citizens of the City of San Bernardino.
4.8.1 Attached as exhibit -B" is an B-1I2 x II inch IIIIp showing
the site location of the proposed Project.
4.8.2 A description of the plant process - not applicable.
A negative declaration pursuant to the provisions of the California
Environmental Quality Act of 1970, as amended, would in all proba-
bility be satisfactory for the Project as proposed by the Applicant.
However, the Project shall comply with all applicable proviSions
of said Act.
4.9
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'Iller. ar. DO ,.naitl. wat.r ...lit~ IIIlforc_t or'.ra. air pol1uUOIl
,.naitl or ..duc.I or otller pi'eace of acUou ..c....17 ID
CODD.CUOD with thia 'roJ.ct. A ..wer pemit for tba Coutruc:Uon of
the 'roJ.ct baa pr.vi_l~ lien obtai....
.
4.11 'Iller. ar. DO local. It.t. or f.'er.l polluUOD control ..nci.. which
&.po.. r.1II1.Uou. ltaDdar'. or nquir_nU with n,ar. to the
oper.tiou of tile propo... 'roJ.ct to be andertatn .~ tba Applicant.
4.12 'IIle propo.., 'roJ.ct lball cMpl~ with all applicabl. Cit, of S.n
lenar'iDO. Collllt~ of San lenar.iao. and oth.r n,io..l. COWlt~ or
bada pIau to Which thia 'roJ.ct lball coafona aa' the appropriate
wa.t. wat.r and air ...lit~ raquir_atl Which .bal1 be la cODforait,
with all of the above Juril'ictiODI.
4.13 It ia pr.lnU~ OIIUcipat.. tbat the propo... 'roJect will DOt
Produc. OII~ b~..,rothlcU or r.d'ua. ""ich woul' iavolv. the 111 U..te
tliaPOlal or the .... for . plaa to .ccMpliah ..... a.c,clina or
-.al"a.. will DOt be a fllllcUOD of th. propo... 'roJ.ct DOl' wUl there
be OII~ .rt.t opportlllli~i... leaerat.. witb r.,ard to .....
'Air, ruJLIC -EMEFIts
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!be Cit~ of San lenar'iao will r.ceive liaaificant beaefit. by the
initiation of thil 'roJect .. propole' ., the Applicant an'
parUcularl, throlllh the IItUbaUOD of the financinl .tho. a. 11
av.il.ble lIn'er Or'inance 110. J8lS. a. ...n'e.. of the Cit, of S.n
lenar.iao. llIae to the fact that CODvnUoaal iatere.t r.te. for
con.tructiOD 011' penaanent financilll for the tJpe of IIIIIUfamUy
rental houainl conltruc:tiOD cont.mplate' b1 the Applicant are at luch
an .xtre.l, hi,h level OD coav.nUoull, borrowed filii'., if
avaUable at all. neitber the Applicant DOl' 0111 oth.r penonllor
lel.l .ntiti.. are able to provide tbe t1pe of ,,'era and attr.ctive
affor'abl. r.atal bouaina that II ".'e' within the Cit1 of San
lenardiao.
5.1.1
5.1.2
5.1.3
'IIle 'roJect will provide lonl tena affordable rent.l
houaial opportlllllti.. for the inhabit.nt. of the City of
San lernardiao.
ConltnacUon of the 'roJect 11 anticipat.. to add
approxi..tel1 '9.000.000 to '10.000.000 of a..e..ed
".luation to the tax roll. of the Cit,.
!be lIIeful . tho' of financinl provide' for in
Ordinance 110. 3115 of the Cit, vla-a-via the lIIe of the
conventional .thod will perait the Applicaat to cOlllplete
tbe finane1al an. con.trueUon of the 'roj.ct within .n
accel.r.ted u. tr.... 1'be .tho' of financial provi.e.
in Ordinance 110. J8lS will provide Dev .ourc.. of financinl
to the Applic.nt and luch financial viii .. .d. av.il.ble
at lover tax"'lle.pt inter..t rat...
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5.1
t'be City wUl "neUt, .. can be 'noll8tr.t.d punuant to heU!tm 1
of Ordinanc... 3115, .. _nd.d, of t.. City of Ian lenardino. in
tbat affordable ~t.l bouIina opportuniti.. will .. I.ner.t.d b, tbe
propo.ed 'roJ.ct. t'be AppUc.nt b DOt att,.,Una to Coutnaet ..id
,ropo..d 'roJ.ct ..rely for tbe financi.l iDduc--.nt ~t i. offer.d
pur.uant to tile Ordinanc.. "-t ...tller due to tb. 1000-t.... budne..
"...ou tbat a... aipiUc.nt 'ue to tile 10caUon of tile propo..d
'..oj.ct and tb. ....1 acono.ic "n.fit. ...ilabl. to tile co..unit,.
1'ber. .r. DO 'etrUent. tbat can .. incurred .y tb. City witb relard
to tbb t7PI of finandna for tbb 'roject. aDd tbe City of Ian
lenardino wUl ...ceive aub.talltial ben.Ut. tbrolllh illcr..... in
.......d ..1...Uon of ,roperty. ,111I tile incra...d 10001-t.rm
.ffordabl. bouaina o;portUDiti.. tbat will .. ...il.ble to tbe loc.l
....i..llt. of the City.
'ART 'I COfIIIDIDTS
6.1
.!be AppliClDt .y the aub.i..iOll of tbi. ApplicatiOll .,r... to caapi,
aDd/or to ..dlt the City ill ...,lyina witb .U atate and f.deral
l.v. III tile IlIlIIIldt . ' of the bond. Orotber aucb tax-ex.mpt
O.U"UOIl' to finance tbe 'roject, IIle1ucUna. witbout Uait.uon.
_Un, of lilY ...quir.d .ppUc.Uon to . ,ov'~nt.l 'epartaent. for
.utheria.UOIl. ....UUC.UOIl or ...,btr.UOIl of tbe Offer, I..uanee
or .al. of the bond. or other tax-ex..,t obU,.Uona. .nd .ny
..ndllent. tber.to. Ill' lilY ,....it or otber .utheriaaUOIl of .ueh
lov',,-ntal 'epartaent. prior to the 'eUvel7 .y tbe City of .uch
bond. or otb.r tax-ex..,t obli,atiOlll.
6.2 TIle AppUc'llt further c_ill to callie .nd/or to ...1st tbe City in
c'lIIillJ to be prillted lilY pro.pectlll or otller written or printed
coaaunic.tiOll propo..d to be publi.hed In connection with the
b....llc.. offer or aale of bond. or other tax-exempt obU,.Uon..
prior to the 'eU..ry by the City of auch bond. or other tax-exempt
obU,.Uou. IIld. to the nt.nt .....d D.c....17 by tbe City.
foUovina 'eU.'17 of auch bond. or other tax-exempt obU,.Uon..
6.3 'lbe Applie.nt .1.0 c_it. to pay .11 'apen.e. in conneetion with the
I'.uanee. offer Or .ale of the bond. or oth.r tax-exempt obli,.tion..
whether or DOt aueb bon.. or other tax-exe.,tobU"Uon. are fin.Uy
b.ued. .nd to bold tbe City ba...le.. from .ny .nd .U .xpense.
..el.ted th.reto. to pay it... on .n OIl,oin, ...i. ao that neither tbe
City. DOr it. .dvbora. .ttorney.. ..ployees .nd tbe like vill
.eeumul.te .ny cl.i.. al.in.t tbe City.
6.4 'lbe Applle.nt will .upply .ny .dditlonal information. alre'ment. .nd
undert.Unl' .. the City ..y require .. . re.ult of conf.renees and
D"oti.tiOll, .nd cop i.. of .ueh additional information ahall be
forward.d to the City by the AppUe.nt an. .haU be 'e_d to be
auppl_nt. or ..ndllent. to thl. Applie.tlon.
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'AlT VII SIGNATURE
7.1
!'be lIDClerdped .. autborbed ,rincipab of tbe Applicant a. DOted
below. 1Io1d tbe ,d_ ..e.ponaibllit, for the Ulland... to be talten
for the ,ropo.ed 'roject. aIId cerUf, tbat tbe tmderflped bave tbe
authodt, to lIind the Applic.nt to contr.ct t...., tbat tbb
ApplicaUon to tbe beat bowledle Or belief of the lIIIderdaned.
contai.. 110 f.b. 0.. incorrect info...Uon 0.. _t.. aIId tbb
APPlic.Uon. indudinl exhlbita .nd att.c_nta bento. fa tl'1&ly
lIeacdptive of tbe propoaed 'roj.ct. !'be underdped abo ..epreaent
II, tbe execution of tbb ApplicaUon fuUladt, with Ordinance Jio.
H15. .. _Rded. of the Cit, of Ian leZ'Urdino.
.
'AlT VIII RE SCBEOOLE
'.1 !'be Applicant acknowledlel tbat tbe Cit, ...quirea a DOn-refundable
appllc.tion fee of '50 for ..cb '..oject to be conlidered for
.1i,lbilit,. to be paid vben the baaic lIocu.Anta ar. ...quelt.d. With
tb. a..IUal of tbb Application. '500 b pa,.bl. to tbe Cit,. If
tbi~ Application ia acc.pt.d. an additional f.. of '10.000 il pa,able
fo.. a"iniltr.tive cOltl. !'b. Applicant ackaowl.dlea tbat the
C_It8elltl in 'art VI abo.. ar. ill addiUOII to tb... fized _untl.
!'bill. in tb. event tbat 110 clod.. occura. tbe Cit, aball be
nt.bura.d for itl proc.,ain, cOlta.
'.2 All f... of tb. Cit, M, be caplt.lbed and included ill tbe bond
ilaue aa acc.ptable to tb. bond purcbaler.
'.3
th. Appliclllt acknowledl.a tbat tbe Cit, lied vel ita .nUre aupport
frOll tbe f... for ita ae!'Vicu. The tot.l funcUon of tbe City b
cOllduct.d on a aelf-aupporUnl b.da. and inVDlvu no atate leneral
".v.nuel 01' .xpenditurel frOll tax.. frOll tbe at.t. or an, of itl
political aubdlviaionl. No indebt.dneaa 01' taxlnl power of tbe Cit,
ia involv.d. 'roject ...venuea are tbe aole aecurit, for bonda of the
Cit,. the f.deral I\IIr.nt.... If all,. enhanc. tb..e ..evenuel and
illco.e .nd tbe ..curit, of tbe bondl.
'.4 rurallant to leaolution No. '1-108 of the Cit,. al amended b,
lelolution Jio. 11-410 of the Cit,. one percent (11) of tbe principal
_unt of tb. lIond blue ahall be depolited in tbe Cit, Tre85ur, in
tbe Indllltri.l levenue Iond lelerve .nd Development Fund. whicb ahall
be lIIed in allcb MMer aa tbe Mayor and Coaaon CouncU .., direct
from time to time.
"APPLICANT"
FOUNTAIN PLACE ASSOCIATES
A California general partnership
By:
GGry L. Brashear
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CITY OF SAN BERNARDINO PLANNING DEPARTMENT
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AGENDA
ITEM ;It
LOCATION
, . .
CASE ~~pt';'o~ru~ I~""R
HEARING DATE 3
21
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