HomeMy WebLinkAbout1985-03-19; City Council; Resolution 7940RESOLUTION NO. 7940
A RESOLUTION OF THE CITY OF CARLSBAD, CALIFORNIA
AUTHORIZING THE ISSUANCE, SALE AND DELIVERY OF
MULTIFAMILY HOUSING REVENUE BONDS IN A PRINCIPAL
AMOUNT NOT TO EXCEED $16,500,000 FOR THE PURPOSE
OF MAKING A LOAN TO PROVIDE FUNDS TO PROVIDE THE
INTERIM AND PERMANENT FINANCING OF THE COST OF
DEVELOPING A MULTIFAMILY RENTAL PROJECT, DETERMINING
AND PRESCRIBING CERTAIN MATTERS RELATING THERETO, AND APPROVING AND AUTHORIZING THE EXECUTION OF RELATED
DOCUMENTS, AGREEMENTS AND ACTIONS.
(SEASCAPE VILLAGE PROJECT)
WHEREAS, by the provisions of Chapter 7 of Part 5 of Division
31 of the Health and Safety Code of the State of California (the
''Act") the City is authorized to issue multifamily mortgage revenue
bonds for the purpose of making loans or otherwise providing
funds to finance the development of affordable multifamily rental
housing in order to meet a substantial housing need identified
in the community; and
WHEREAS, the City desires to make a loan (the "Developer
Loan") to Lincoln Seascape, A California Limited Partnership
(the "Developer") , to finance the construction of a 208-unit
multifamily rental housing development (the "Project"), and in
order to do so intends to sell and issue not to exceed $16,500,000
of its Multifamily Housing Revenue Bonds, Series 1985B (Seascape
Village Project) (the "Bonds") ; and
WHEREAS, the City Council has now determined to make the
Developer Loan to provide funds to assist in the financing of
the Project for the purpose of providing housing for low and
moderate income persons or families; and
WHEREAS, there have been prepared and presented to the City
Council for consideration at this meeting the following
instruments:
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WHEREAS, it appears that each of the documents and instruments
The form of Indenture of Trust (the "Indenture"), including
the form of Bond;
The form of Loan Agreement;
The form of Regulatory Agreement and Declaration of
Restrictive Covenants (the "Regulatory Agreement") :
The form of Bond Purchase Contract;
The forms of the Deed of Trust, Assignment of Rents and
Security Agreement, Second Deed of Trust, Assignment of
Rents and Security Agreement and Third Deed of Trust,
Security Agreement and Assignment of Rents (collectively
the "Deeds of Trust").
The form of the Developer Agreement:
The form of Official Statement relating to the Bonds; and
The form on Intercreditor Agreement;
referred to above which is now before this meeting is in
appropriate form and is an appropriate instrument to be executed
and delivered for the purposes intended ; and
WHEREAS, Newman and Associates, Inc. and PaineWebber Inc.
(collectively, the "Underwriter") have expressed their intention
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to purchase the Bonds, and the City Council finds that the public
interest and necessity require that the City at this time make
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arrangements for the sale of the Bonds; and
WHEREAS, pursuant to §103(k) of the Internal Revenue Code
of 1954, as amended, the City Council has held a public hearing
regarding the issuance of the Bonds and now desires to authorize 7/1 the issuance of the Bonds;
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NOW, THEREFORE, the Council of the City of Carlsbad hereby
FINDS, DETERMINES, ORDERS AND RESOLVES as follows:
Section 1. Finding and Determination. It is hereby found
and determined that it is necessary and desirable for the City
to assist in the financing of the Project through the issuance
and sale of the Bonds in order to assist in the development of
dwelling units to be occupied by low and moderate income person
in the community.
Section 2. Authorization of the Bonds. For the purpose // l8
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1 of raising moneys with which to make the Developer Loan in order
1 to effectuate the construction and permanent financing of the
Project, the City hereby determines to issue the Bonds, in a
principal amount not to exceed $16,500,000, which the exact
principal amount to be such amount as is necessary to finance 23/1 the Developer Loan for the Project. The Bonds shall be in
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substantially the form set forth in the Indenture, with such
appropriate variations, omissions, insertions and provisions
as are permitted or required by the Indenture, which shall be
appropriately completed when the Bonds are prepared.
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The Bonds shall be limited obligations of the City and shall
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)e payable as to principal, premium, if any, and interest, and
:he obligations of the City under the Indenture shall be paid
md satisfied, solely from the revenues, receipts and other moneys
iledged therefor under the Indenture.
Section 3. Execution and Delivery of the Bonds. The
3onds shall be executed on behalf of the City by the manual or
Eacsimile signature of the Mayor or Deputy Mayor, and the official
seal of the City, or a facsimile thereof, shall be impressed
)r imprinted thereon and attested with the manual or facsimile
signature of the City Clerk.
Section 4. Approval of Indenture. To provide for the
getails of the Bonds, and to prescribe the terms and conditions
upon which they are to be issued, secured, executed, authenticated
snd held and upon which the Developer Loan is to be made and
serviced, the Mayor and the City Clerk are hereby authorized
to execute and deliver the Indenture, in substantially the form
presented to this meeting or with such changes as may be approved
by the officers of the City executing the same, upon consultation
with the City Attorney, their execution thereof to constitute
conclusive evidence of their approval of all changes form the
form of Indenture presented to this meeting, which form of Indentur
is hereby in all respects approved and incorporated by reference
and made a part hereof.
Section 5. Approval of Loan Aqreement. To provide for
the details of the making of the Developer Loan, and the duties
and obligations of the Developer, the Mayor or the City Clerk
are hereby authorized to execute and deliver the Loan Agreement,
in substantially the form presented to this meeting or with such
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:hanges as may be approved by the officers of the City executing
:he same, upon consultation with the City Attorney, their execution
:hereof to constitute conclusive evidence of their approval of
311 changes from the form of Loan Agreement presented to this
neeting, which form of Loan Agreement is hereby in all respects
3pproved and incorporated by reference and made a part hereof.
Section 6. Approval of Regulatory Aqreement. To provide
for certain conditions and terms of the operation of the project
2nd the duties and obligations of the Developer, the Mayor, and
the City Clerk are hereby authorized to execute the Regulatory
Agreement, in substantially the form presented to this meeting
or with such changes as may be approved by the officers of the
City executing the same, upon consultation with the City Attorney,
their execution thereof to constitute conclusive evidence of
their approval of all changes from the form of Regulatory Agreement
presented to this meeting, which form of Regulatory Agreement
is in all respects approved and incorporated by reference and
made a part hereof.
of San Diego, State of California and federal housing programs,
it is hereby found and determined that it is not feasible to
make any of the units to be reserved for low and moderate income
individuals or families in the Project available to very low
income households except in the manner and to the extent set
forth in the form of Regulatory Agreement.
Based upon information available from County
Section 7. Approval of Bond Purchase Contract. The
form of Bond Purchase Contract presented to this meeting is hereby
approved in all respects and incorporated herein by reference
and made a part hereof, and the Mayor is hereby authorized to
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bxecute and deliver to the Underwriter a Bond Purchase Contract
.n substantially such form or with such changes as may be approved
)y the officer of the City executing the same, upon consultation
Jith the City Attorney, such execution to constitute conclusive
:vidence of the approval by such officer of all changes fxom
;he form of Bond Purchase Contract presented to this meeting,
vhich form of Bond Purchase Contract is in all respects approved
ind incorporated by reference and made a part hereof.
Section 8. Approval of the Deeds of Trust. The forms
If the Deeds of Trust presented to this meeting are hereby approvec
in all respects and incorporated herein by reference and made
3 part hereof, and the Mayor is hereby authorized to execute
2nd deliver to the Deed of Trust in substantially such form or
Ath such changes as may be approved by the officer of the City
executing the same, upon consultation with the City Attorney,
such execution to constitute conclusive evidence of the approval
of such officer of all changes from the form of the Deeds of
Trust presented to this meeting, which form of the Deeds of Trust
is in all respects approved and incorporated by reference and
made a part hereof.
Section 9. Approval of Developer Agreement. The form
of Developer Agreement presented to this meeting is hereby approvec
in all respects and incorporated herein by reference and made
a part hereof, and the Mayor is hereby authorized to execute
and deliver a Developer Agreement in substantially such form
or with such changes as may be approved by the officer of the
City executing the same, upon consultation with the City Attorney,
such execution to constitute conclusive evidence of the approval
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by such officer of all changes form the form of Developer Agreement
presented to this meeting, which form of Developer Agreement
is in all respects approved and incorporated by reference and
made a part hereof.
Section 10. Approval of Official Statement. The form
of Preliminary Official Statement presented to this meeting is
hereby in all respects approved and incorporated herein by
reference and made a part hereof and the Underwriters are
authorized to distribute the Preliminary Official Statement in
connection with the sale of the Bonds, and the Mayor is hereby
authorized to execute and deliver a final Official Statement
in substantially such form or with such changes therein as may
be approved by the officer of the City executing the same, upon
consultation with the City Attorney, such execution to constitute
conclusive evidence of the approval by such officer of all changes
from the form of Preliminary Official Statement presented to
this meeting, which form of Preliminary Official Statement is
in all respects approved and incorporated by reference and made
a part hereof.
Section 11. Approval of Intercreditor Agreement. The
form of Intercreditor Agreement substantially in the form submitted
to this meeting is hereby approved, and the Mayor, and the City
clerk are hereby authorized to execute and deliver an Intercreditor
Agreement in substantially such form or with such execution to
constitute conclusive evidence of the approval of such officers
3f all changes from the form of Intercreditor Agreement presented
to this meeting, which form of Intercreditor Agreement is in
311 respects approved and incorporated by reference and made
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to the parties named in the Bond Purchase Agreement, in accordance
with written instructions executed on behalf of the City by the
Director of Building and Planning, which instructions said officer
is hereby authorized and directed, for and in the name and on
behalf of the City, to execute and deliver to the Trustee. Such
instructions shall provide for the delivery of the Bonds in
accordance with the Bond Purchase Agreement, upon payment of
the purchase price thereof.
Section 13. Actions Ratified and Authorized. All actions
heretofore taken by the officers and agents of the City with
respect to the sale and issuance of the Bonds are hereby approved,
confirmed and ratified, and the Director of Building and Planning
and the City Attorney are hereby authorized and directed, for
an in the name and on behalf of the City, to do any and all things
and take any and all actions and execute and deliver any and
all certificates, agreements and other documents, including but
not limited to those described in the Bond Purchase Agreement,
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1 part hereof.
Section 12. Selection of Trustee. The Bank of
'alifornia, N.A. is hereby selected to serve as the Trustee under
the Indenture, provided that, if necessary, the City Manager
is hereby authorized and directed to select a substitute trustee
to serve as Trustee under the Indenture, provided that such
rrustee must comply with the qualification requirements set forth
in Section 901 of the Indenture. The Trustee is hereby requested
snd directed to authenticate the Bonds by executing the Trustee's
Certificate of Authentication and Registration appearing thereon
and to deliver the Bonds, when duly executed and authenticated,
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rhich they, or any of them, may deem necessary or advisable
.n order to consummate the lawful issuance and de ivery of the
3onds and the making of the Developer Loan in accordance with
:he Act and this resolution.
Section 14. Conflicting Resolutions Repealed. All
resolutions or parts thereto in conflict herewith are, to the
2xtent of such conflict, hereby repealed.
Section 15. Severability. If any section, paragraph
)r provision of this resolution shall be held to be invalid
)r unenforceable for any reason, the invalidity or unenforceability
if such section, paragraph or provision shall not affect any
remaining provisions of this resolution.
Section 16. Resolution Constitutes Approval. It is
the purpose and intent of this City Council that this resolution
zonstitute approval of the Bonds by the applicable elected
representative in accordance with S103(k) of the Internal Revenue
Code of 1954, as amended.
Section 17. Effective Date. This resolution shall take
effect on the date of its adoption.
PASSED, APPROVED AND ADOPTED on this 19th day of March 1985,
by the following vote, to wit:
AYES:
NOES: l*ne
Council mrs Casler, Lewis, Kulchin, Chick and Pettine
ABSENT:
( Seal)