HomeMy WebLinkAboutR15-Economic Development Agency
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DEVELOPMENT DEPARTMENT
OF THE CITY OF SAN BERNARDINO
REQUEST FOR CXM4ISSION/COUNCIL ACTION
From:
KENNETH J. HENDERSON
Execut1ve D1rector
SUbj.ct:
REVITALIZATION OF ARDEN/
GUTHRIE (SUNRISE VILLAGE)
AREA
Date: November 15, 1991
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Svnoosis of Prev10us COMm1ss10n/COUnci1/ComM1ttee Act10nCs):
The Mayor and Common Counc11 and the Commun1ty Dev.lopment Comm1ssion
have prev10usly conducted several workshops on th1s subject.
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Recommended Mot1onCs):
CCOMmunitv DlIv.,......."t ea.1ss1on)
That the Community Development Commission approve .nd .x.cut. a loan
agreement w1th the Inland Vall.y Dev.lopment Agency (IVDA) 1n the amount
of $200,000 to be uti11z.d for the rev1ta11zat10n of the Ard.n/Guthr1.
(Sunr1s. V111age) area.
KENN~
Ex.cutiv. Director
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Contact P.rson(s): Ken Hend.rson/Dor1s Dani.1s
Project Area(s): N/A
Phone:
384-5081
4 and 7
Ward(s):
Supporting Data Attached:
Staff Reoort: Aareement
FUNDING REQUIREMENTS:
Amount: *200.000
BUdget Authority:
Source: 201 Set As1de Fund
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COMm1ss1on/Counc11 Notes:
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KJH:DAD:lab4
CXM4ISSION MEETING AGENDA
Meeting Date: 11/18/1991
Agenda Iteal NlIIber: ..11fi...
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o EVE LOP MEN TOE PAR T MEN T
OF THE CITY 9F SAN BERNARDINO
STAFF REPORT
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Inland Vallev Develooment Agencv Revltallzatlon of
Arden/Guthrle (Sunrfse Vl11age) Area
Earller thls year, the Communlty Development Commlsslon approved and adopted
an agreement between the Commlsslon and HomeAld, Inc. to develop a
revltallzatlon plan for the Arden/Guthrle area. On July 24, 1991, the
Commlsslon conducted a workshop ln connectlon wlth the Arden/Guthr~e
Revltallzatlon Plan and approved ln concept sald Plan entltled the Sunrlse
Vl11age Revltallzatlon Plan.
On August 5, 1991, the matter was contlnued to the September 3, 1991
Commlsslon meetlng at whlch tlme the body conducted a workshop regardlng the
flnanclng and lmplementatlon plans for the Sunrlse Vl11age Revltallzatlon
Plan (Arden/Guthrle area) prepared by HomeAld, Inc. There was a lengthy
dlscussion regarding the Clty's share of the cost of the various common area
improvements and unlt rehabl1ltation whlch was estlmated at '7 ml11lon
dollars. At that meetlng, the Commlsslon voted to accept the financlng plan
ln concept and to approve the Clty's request for asslstance from the Inland
Valley Development Agency (I.V.D.A.) for the revltallzation of the
Arden/Guthrle (Sunrlse Vl11age) area.
On October 31, 1991, the City recelved a proposal from the Sunrlse Vl11age
Apartment Owners' Assoclatlon to begin immedlately the revltallzatlon efforts
withln the Arden/Guthrle area. It was further recommended that
revltallzatlon wlth Clty partlclpatlon begln one block at a tlme, and that
revltalizatlon flrst begin on Roca Street between Sterllng and Guthrie. It
should be noted that the Sunrlse Vl11age Apartment Owners' Association is a
legal non-proflt corporatlon with Conditions, Covenants and Restrictions (C.
C. & R's) currently being reviewed by the City Attorney's Office for
grammatlcal and legal correctness prlor to review and approval by the Mayor
and Common Councl1.
On November 13, 1991, the Houslng Commlttee considered the proposal from the
Sunrise Vl11age Apartment Owners' Assoclation and approved the followlng ln
concept:
1. The loan structure and flnanclng plan, as well as an approprlate lnterest
rate, should be further developed by staff. (see Exhlblt I).
2. Partlcipatlon in the Owners' Assoclation should be a mandatory
requlrement to obtaln Clty asslstance.
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KJH:DAD:lab4
COMMISSION MEETING AGENDA
Meetlng Date: 11/18/1991
Agenda It. NlIIber: t5
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DEVELOPMENT DEPARTMENT STAFF REPORT
Revitalization of Arden/Guthrie (Sunrise Village) Area
November 15, 1991
Page Number -2- '
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3. All apartment owners requesting assistance should Sign a waiver and/or
release agreeing not to sue the City for actions taken to clean up the
Arden/Guthrie area.
4. No assistance would be given for work perfonned prior to the
implementation of this program.
5. The City Engineer would be asked to immediately initiate the Change in a
nem of Roca Street to Sunrise Way Lane or Court (if cUl-d...saced).
6. The Planning and Building Services Department would be asked to begin
demolition proceedings of burned out units.
7. The Apartment OWners' Association shall implement centralized tenant
screening.
The proposed finanCing structure and loan underwriting criteria is attached
hereto as Exhibit "I".
Based upon the information presented in the report, staff recommends adoption
of the form motion.
KENNETH J. HEN ERSON, Executive Director
Development Department
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KJH:DAD:lab4
COMMISSION MEETING AGENDA
Meeting Date: 11/18/1991
Agenda It.i NUlllber: ~
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PROPOSED filWlCIBG PLd
1'01 rill AIDBlI/GlmIIIB
SUDISB 'lIu.&GB IBVItiLIZArIOlf
It has been proposed that the City provide a loan to the Inland Valley
Development Agency (I.V.D.A.) in the amount of $200,000 to be utilized for
revitalization of the Arden/Guthrie (Sunrise Village) area. The Apartment
Owners' Association recommends that loans be made as follows:
1. The maximum loan amount should not exceed $20,000 with an interest rate
of prime plus one.
2. The loan payments should be deferred for the first five (5) years.
3. The total debt should not exceed $144,000 per building.
4. The loan qualification should be very simple, fast, and fair based on
debt/equity (for examp1e:1oan amount from zero up to $20,000 with total
debt not to exceed $144,000.).
5. The loan should be due on sale to faciUtate the recycUng of money that
should be returned to the City for rehabilitation of other units in the
Arden/Guthrie (Sunrise Village) area.
6. Participation in the Owners' Associations should be a mandatory
requirement to obtain a loan.
o 7. An owner-builder should be allowed to do the work.
S. Work to be done should include work required under the City
pre-alteration inspection, other general maintenance and upgrading (e.g.,
converting carports to partitioned garages, building garages on 19th
street buildings, security fencing, and adding separate laundry rooms.).
"B X BIB I r I"
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