HomeMy WebLinkAbout2013-11-05; City Council; 21400; Authorizing Buena Vista 11 SubdivisionCiTY OF CARLSBAD - AGENDA BILL
AB# 21,400 AFFORDABLE HOUSING AGREEMENT
AUTHORIZING THE BUENA VISTA 11 SUBDIVISION
TO UTILIZE SECOND DWELLING UNITS TO SATISFY
INCLUSIONARY HOUSING REQUIREMENTS
DEPT. DIRECTOR
MTG. 11/5/13
AFFORDABLE HOUSING AGREEMENT
AUTHORIZING THE BUENA VISTA 11 SUBDIVISION
TO UTILIZE SECOND DWELLING UNITS TO SATISFY
INCLUSIONARY HOUSING REQUIREMENTS
CITY ATTORNEY OA/
DEPT. CED
AFFORDABLE HOUSING AGREEMENT
AUTHORIZING THE BUENA VISTA 11 SUBDIVISION
TO UTILIZE SECOND DWELLING UNITS TO SATISFY
INCLUSIONARY HOUSING REQUIREMENTS CITY MANAGER IA>A\
RECOMMENDED ACTION:
That the City Council adopt Resolution No. 2013-248 approving an affordable housing
agreement authorizing the Buena Vista 11 subdivision (CT 13-01) to utilize second dwelling units to
satisfy Inclusionary Housing Ordinance requirements.
ITEM EXPLANATION:
The Buena Vista 11 subdivision project is located on the southwest corner of the intersection of
Buena Vista Way and Valley Street. The Planning Commission has approved development of eleven
single family dwellings on the 2.73 acres of land, along with two second dwelling units that were
proposed to comply with the City's Inclusionary Housing Ordinance. The developer is seeking City
Council approval of an Affordable Housing Agreement to allow construction of the second dwelling
units as a housing alternative under the City's Inclusionary Housing Ordinance.
The Inclusionary Housing Ordinance allows the Council to approve a housing alternative when that
alternative supports specific housing policies and goals. Alternatives include, but are not limited to,
acquisition and rehabilitation of affordable units, conversion of existing market units to affordable
units, construction of special needs housing projects or programs (shelters, transitional housing, etc.),
and the construction of second dwelling uni^. Approval ofthe housing alternative shall be based on
findings that new construction would be infeasible or present unreasonable hardship in light of such
factors as project size, site constraints, market competition, price and product type disparity,
developer capability, and financial subsidies available.
Due to the small size of the development and the very substantial financial subsidy that would be
required to make two market rate units affordable, the developer has indicated that it would present
an unreasonable hardship upon the development to require that two ofthe units be made affordable
to a low income household. Therefore, the developer is proposing to construct and deed restrict two
second dwelling units within the approved residential development to satisfy the inclusionary
housing requirement. While the proposed second dwelling units will be newly constructed units and
will be located within the market rate development as required, it is considered to be a housing
alternative, as defined by Section 21.85.070 of the Inclusionary Housing Ordinance. Therefore, the
alternative requires City Council approval.
DEPARTMENT CONTACT: Frank Boensch 760-434-2818 frankboensch(5)carlsbadca.gov
FOR CITY CLERKS USE ONLY. A COUNCIL ACTION: APPROVED A CONTINUED TO DATE SPECIFIC •
DENIED A CONTINUED TO DATE UNKNOWN •
CONTINUED • RETURNED TO STAFF •
WITHDRAWN • OTHER-SEE MINUTES •
AMENDED •
Page 2
The developer's justification for constructing a housing alternative to satisfy the inclusionary
requirement has been reviewed and is supported by the Housing Policy Team. Staff concurs with the
developer that the small size of the new market rate development and the substantial subsidy
required to make two ofthe units affordable to low income households would be financially difficult
and present an unreasonable hardship. The Planning Commission has approved the construction of
two second dwelling units in its approval of the development on April 15, 2013. Therefore, staff
recommends that the City Council approve the proposed affordable housing agreement (see
attached) to allow two second dwelling units within the market rate development as an alternative to
satisfy the inclusionary housing requirement for the Buena Vista 11 subdivision.
Prior to the issuance of a final map or issuance of any building permits for the project, the developer
is required to enter into an Affordable Housing Agreement with the City that binds the developer to
the specifics ofthe affordable housing project. The Agreement will require the second dwelling units
be rented at an amount which is affordable to a low income household earning 70% or less ofthe San
Diego County Area Median Income (AMI), and the tenant's income does not exceed 80% of AMI. It is
requested that the Affordable Housing Agreement, attached as Exhibit 2, be approved by the Council
in substantially the form presented and subject to final approval by the City Attorney. The approving
resolution authorizes the Housing and Neighborhood Services Director to execute the Agreement on
behalf ofthe City.
FISCAL IMPACT:
The Developer has made no request for financial assistance for this project. Therefore, there will be
no fiscal impact to the City.
ENVIRONMENTAL REVIEW:
The Planning Director has determined that the project is categorically exempt from the requirements
of the California Environmental Quality Act. No further environmental review is required as part of
the approval ofthis alternative to satisfy the City's Inclusionary Housing Ordinance.
EXHIBITS:
1. City Council Resolution No. 2013-248 ^ approving a request from KLC BV
Carlsbad, LLC, to allow the use of second dwelling units to satisfy Inclusionary Housing
Ordinance requirements for the Buena Vista 11 subdivision (CT 13-01)
2. Affordable Housing Agreement.
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1 RESOLUTION NO. 2013-248
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APPROVAL OF AN AFFORDABLE HOUSING AGREEMENT
AUTHORIZING THE BUENA VISTA 11 SUBDIVISION TO UTILIZE
SECOND DWELLING UNITS TO SATISFY INCLUSIONARY HOUSING
4 REQUIREMENTS.
CASE NO: CT 13-01
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WHEREAS, on April 15, 2013, the Planning Commission approved the Buena Vista
11 subdivision (CT 13-01) for the development of 11 single family residences on property
located on the southwest corner of the intersection of Buena Vista Way and Valley Street,
including a proposal to provide two second dwelling units affordable to low income households
per the City of Carlsbad's Inclusionary Housing Ordinance; and
WHEREAS, the developer of the Buena Vista 11 subdivision (CT 13-01) has
proposed to meet the project's Inclusionary Housing Ordinance requirement with an
alternative housing solution which would result in the developer providing two second dwelling
units within the market rate development which will be affordable to low income households;
and
WHEREAS, the Inclusionary Housing Ordinance allows, at the discretion of the
City Council, a housing alternative when the proposed alternative supports specific housing
policies and goals and a determination is made that the new construction would be infeasible
or present unreasonable hardship; and
WHEREAS, based upon the City Council's determination that it would be
financially infeasible and would represent an unreasonable hardship upon the subject
developer to make two of the single family residences within the subject development
affordable to low income households and the proposed alternative to satisfy the inclusionary
requirement through the construction of two second dwelling unit on the site of the market
rate development does meet the goals of the Inclusionary Housing Ordinance and the City's
Housing Element; and
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1 WHEREAS, the City Council did hold a public meeting to consider the developer's
2 request to approve an affordable housing agreement to allow two second dwelling units to
3 satisfy the inclusionary housing requirement for the Buena Vista 11 subdivision (CT 13-01)
4 located on the southwest corner of the intersection of Buena Vista Way and Valley Street; and
5 WHEREAS, upon hearing and considering all testimony, if any, of all persons
6 desiring to be heard, said City Council considered all factors relating to the proposed
7 inclusionary housing alternative.
8 NOW, THEREFORE, BE IT HEREBY RESOLVED that the City Council of the City of
9 Carlsbad, California, does hereby find as follows:
10 1. The above recitations are true and correct.
11 2. The developer's proposal to provide two second dwelling units affordable
12 to low income households on the site of the market rate development as an alternative to
13 constructing two single family residences and making them affordable to low income
14 households to satisfy the inclusionary housing requirement for the Buena Vista 11 subdivision
15 (CT 13-01) is consistent with the goals and objectives, and serves the priorities of, the City of
16 Carlsbad's Housing Element, Consolidated Plan, the Inclusionary Housing Ordinance, and the
17 Carlsbad General Plan.
18 3. As required by Section 21.85.070 of the Carlsbad Municipal Code, the City
19 Council hereby finds that the requirement to construct two single family residences and make
20 them affordable to low income households within the Buena Vista 11 market rate development
21 (CT 13-01) would be financially infeasible and would present an unreasonable hardship on the
22 developer due to the development's small project size of 11 units and the substantial subsidy
23 required to make those two units affordable to a low income household.
24 4. That based on the information provided within the City Council staff
25 report and testimony presented during the public meeting of the City Council, the City Council
26 hereby approves an Affordable Housing Agreement, in substantially the form presented and
27 subject to final approval by the City Attorney, to allow two second dwelling units on the site of
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1 the market rate development as an acceptable housing alternative to providing two single
2 family residences affordable to low income households to satisfy the Inclusionary Housing
3 requirement for the Buena Vista 11 subdivision.
4 5. That the Housing and Neighborhood Services Director or his or her
5 designee is authorized by the City Council to execute all documents related to approval of the
6 subject alternative inclusionary housing proposal, including but not limited to an Affordable
7 Housing Agreement in substantially the form presented to the City Council and subject to final
8 approval of said Agreement by the City Attorney.
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PASSED, APPROVED AND ADOPTED at a Regular Meeting ofthe City Council ofthe City
of Carlsbad on the 5*^ day of November, 2013, by the following vote to wit:
AYES:
NOES:
Council Members Hall, Packard, Wood, Blackburn and Douglas.
None.
ABSENT: None.
ATTEST:
BARBARA ENGLESONT^ Clerk
Recording Requested by:
City ofCarlsbad
When Recorded Mail to:
City ofCarlsbad
City Clerk's Office
Attn: City Clerk
1200 Carlsbad Village Drive
Carlsbad. Califomia 92008
(Space above for Recorder's Use)
AFFORDABLE HOUSING AGREEMENT
(Second DweUing Units)
THIS AFFORDABLE HOUSING AGREEMENT ("Agreement") is entered into this
day of Mft\/ffM/5^ 20 13 . by and between the CITY OF CARLSBAD, a municipal
corporation ("City"), and KLC BV Carlsbad LLC , a Califomia limited liabilitv company
("Developer"), with reference to the following:
RECITALS
A. Developer is the owner of certain real property in the City of Carlsbad, County of San
Diego, State of Califomia, described in "Exhibit A", which is attached hereto and incorporated
herein by this reference, and which is the subject of a Tentative Map CT 13-01 , and Planned
Development Permit PUD 13-03 , which provides conditional approval of the constmction of
eleven (11) single family dwelling units ("Project").
B. Condition No. i5_ of Planning Commission Resolution No. 7006 , states that this
Affordable Housing Agreement shall be entered into between the City and the Developer as a
means of satisfying the Developer's affordable housing obligation, as such is defmed under
Chapter 21.85 ofthe Carlsbad Municipal Code ("Affordable Housing Obligation"). Planning
Commission Resolution No. 7006 provides that the affordable housing obligation will be
satisfied by applying the requirements set forth in this Agreement for constmction of second
dwelling units on affordable housing lots ("Affordable Housing Lots"). The Affordable Housing
Lots which are subject to this Agreement are:
Lots 9& 10 of Carlsbad Tract No. CT 13-01 in the City of Carlsbad, County of
San Diego, State of Califomia, according to Map No. filed
with the County Recorder of San Diego County on .
C. Developer intends to constmct the required inclusionary units concurrent with the
project's market units that are also identified on Exhibit "A". The Affordable Housing Lots shall
be subject to this Agreement and this Agreement shall be recorded on the title for each
Affordable Housing Lot.
NOW, THEREFORE, incorporating the foregoing Recitals and in consideration of the
mutual covenants contained herein, the parties agree as follows:
1 CA 2/5/2013
1. The Recitals Are Tme And Correct.
2. THE AFFORDABLE HOUSING OBLIGATION SHALL BE SATISFIED
BY CONSTRUCTION OF SECOND DWELLING UNITS.
Performance under this Agreement satisfies the Developers' obligation for affordable
housing under Chapter 21.85 of the Carlsbad Municipal Code as applied to the land in Tentative
Map CT 13-01 . by Condition No. J5_ in Planning Commission Resolution No. 7006 and
any other applicable condition of approval.
3. SECOND DWELLING UNITS.
(a) Constmction of Second Dwelling Units. Developer shall at the time a residential
stmcture is constmcted on the Affordable Housing Lot, include in such residential stmcture a
Second Dwelling Unit as defined under and subject to the requirements contained in Municipal
Code Section 21.850.070.
(b) Restriction on Rental of Second Dwelling Unit. The maximum monthly rent for any
Second Dwelling Unit, subject to this Agreement, which becomes rented or leased shall not
exceed an amount of 1/12th of thirty percent (30%) of the gross monthly income of a low-income
household, adjusted for household size, at seventy percent (70%) of the San Diego County
median income, as such median income is published by the United States Department of Housing
and Urban Development from time to time. For purposes of this Agreement, "Rent" shall
include a utility allowance as established and adopted by the City of Carlsbad Housing Authority,
as well as all required monthly payments made by the tenant to the lessor in connection with use
and occupancy of a housing unit and land and facilities associated therewith, including any
separately charged fees, utility charges, or service charges assessed by the lessor and payable by
the tenant (but not including fees and charges resulting from any default by the tenant or damage
caused by the tenant, or fees or charges paid by the tenant to third party utilities or other
providers). A sample schedule showing the calculation of the maximum rental amount as for
2013 is attached to this Agreement as Exhibit "B".
(c) Restriction on Tenant Income. The Affordable Units shall be available to households
with incomes not exceeding 80% of the median income for San Diego County, adjusted for
actual household size.
(d) Declaration. Developer shall require the purchaser from Developer of an Affordable
Housing Lot upon which a Second Dwelling Unit has been constmcted to sign an affidavit or
declaration under penalty of perjury, in a form prescribed by the City Housing and Neighborhood
Services Director, which states that if the Second Dwelling Unit on the affordable housing lot is
rented that it shall be rented at a monthly rental rate not to exceed the rate set forth in paragraph
3(b). Developer shall forward the original declaration to the City Housing and Neighborhood
Services Director for maintenance in the City's files, and retain a copy for its own files in the
event proof becomes necessary.
(e) Deed Restriction. Prior to the sale of an affected lot, the Developer shall provide
proof to the City Housing and Neighborhood Services Director that the language contained in
Exhibit "C" has been included in each deed prior to the sale of an affected property and will mn
with the land so as to restrict subsequent transfers.
2 CA 2/5/2013
4. REMEDIES
Failure by the Developer to perform in accordance with this Agreement will constitute
failure to satisfy the requirements of Chapter 21.85 of the Carlsbad Municipal Code and
Condition No. 15 of Planning Commission Resolution No. 7006 . Such failure will allow the
City to exercise any and all remedies available to it including but not limited to withholding the
issuance of building permits for the lots shown on Carlsbad Tract No. CT 13-01 .
5. HOLD HARMLESS
Developer will indemnify and hold harmless (without limit as to amount) City and its
elected officials, officers, employees and agents in their official capacity (hereinafter collectively
referred to as "Indemnitees"), and any of them, from and against all loss, all risk of loss and all
damage (including attorneys' fees and expenses) sustained or incurred because of or by reason of
any and all claims, demands suits, actions, obtained, allegedly caused by, arising out of or
retaining in any maimer to Developer's actions or defaults pursuant to this Agreement, and shall
protect and defend Indemnitees, and any of them with respect thereto. This provision shall
survive the term of this Agreement.
6. INSURANCE
Developer shall obtain, at its expense, commercial general liability insurance for
development of the Project naming Indemnities as additional insureds with aggregate limits of
not less than one million dollars ($1,000,000) purchased by Developer from an insurance
company duly licensed to engage in the business of issuing such insurance in the State of
Califomia, with a current Best's Key Rating of not less than A-:VII, such insurance to be
evidenced by an endorsement which so provides and deliver to the City Clerk prior to the
issuance of any building permit for the Project.
7. NOTICES
All notices required pursuant to this Agreement shall be in writing and may be given by
personal delivery or by registered or certified mail, retum receipt requested to the party to receive
such notice at the address set forth below:
TO THE CITY: City of Carlsbad
Housing & Neighborhood Services Department
Attn: Housing & Neighborhood Services Director
1200 Carlsbad Village Drive
Carlsbad, Califomia 92008
TO THE DEVELOPERS: KLC BV Carlsbad. LLC
101 S. Kraemer Blvd. Ste 136
Placentia. CA 92870
Any party may change the address to which notices are to be sent by notifying the other parties of
the new address, in the manner set forth above.
8. ENTIRE AGREEMENT
This Agreement constitutes the entire agreement between the parties and no modification
hereof shall be binding unless reduced to writing and signed by the parties hereto.
3 CA 2/5/2013
9. DURATION OF AGREEMENT
This Agreement shall terminate and become null and void upon repeal, termination, or
modification of any applicable ordinance which act would render the Affordable Housing
Obligation unnecessary or unenforceable. The restriction set forth in Paragraph 3(b) above shall
terminate as to the Affordable Housing Lot at such time as the Second Dwelling Unit on the
Affordable Housing Lot has reached the end of its useful life, which is assumed to be not less
than 55 years from the date of completion of original constmction.
10. SUCCESSORS
This Agreement shall benefit and bind Developers and any successive owners of
Affordable Housing Lots.
IL SEVERABILITY
In the event any provision contained in this Agreement is to be held invalid, void or
unenforceable by any court of competent jurisdiction, the remaining provisions of this Agreement
shall nevertheless, be and remain in full force and effect.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be signed as
of the day and year first above written.
DEVELOPE
Authorized Signatory
Dated: 9//^/&^f3
By:
Name:
Title:
CITY OF CARLSBAD
By: ffol^^'feO
Debbie Fountain
Housing & Neighborhood Services Director
Dated: \ \
Dated:
(Chairman, president or vice-president and secretary, assistant secretary, CFO or assistant
treasurer must sign for corporations. Otherwise, the corporation must attach a resolution
certified by the secretary or assistant secretary under corporate seal empowering the office(s)
signing to bind the corporation.)
(If signed by an individual partner, the partnership must attach a statement of partnership
authorizing the partner to execute this instrument.)
(Proper notarial acknowledgment of execution by Developer must be attached.)
APPROVED AS TO FORM:
Celia A. BreWer, jCity Attorney
Dated:
Jane Mobaldi, Assistant City Attomey
CA 2/5/2013
ACKNOWLEDGMENT
State of California
County of Orange
On t>^|><)ewb€^ iCg, i5 before me. Jov F. Yukawa-
appeared. Idfci-p ^- t^ihY^dPF who proved to
i-Pong. Notarv Public personally
me on the basis of satisfactory
evidence to be the person whose name is subscribed to the within instrument and
acknowledged to me that she executed the same in her authorized capacity, and that by
her signature on the instrument the person, or the entity upon behalf of which the person
acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature (Seal)
Cofwnittioii # 19S2245
Notary PubHc - CaWoriiia
^ MY Comm. Expirw Sop 15.20151
SECRETARY CERTIFICATE
FKC LLC
a California limited liability company
I, Mark J. Francuz, do hereby certify that I am the duly elected and qualified Secretary
and keeper of the records of FKC LLC, a Califoraia limited liability company ("Company") and the
following is a true and correct copy of the resolutions duly adopted by the Managers on September 13,
2013 pursuant to the provisions of the FKC LLC Second Amended and Restated Operating Agreement,
and that such resolutions are now in full force and effect:
RESOLVED: That BRETT S. ALBRECHT (the "Authorized Person"), as an employee
of the Company, is hereby authorized and directed to do all acts necessary and proper on the part of the
Company to negotiate, facilitate, draft and execute on behalf of KLC BV CARLSBAD, LLC, which is
wholly owned and controlled by the Company, any and all: (i) applications and submittals to The City
of Carlsbad, (ii) agreements, instmments and documents related to affordable housing issues, covenants
and requirements, and (iii) other agreements, instmments and documents by and between The City of
Carlsbad and KLC BV CARLSBAD, LLC, which are related to the development and entitlement of that
certain real property that is the subject of that certain Tentative Map CT 13-01 in the City of Carlsbad,
CA. KLC BV CARLSBAD, LLC, a Califoraia limited liability company, is the Owner of such real
property and the Company is the sole Member and Manager of KLC BV CARLSBAD, LLC. Such
development and entitlement applications, submittals, negotiations and agreements shall be on such other
terms and conditions deemed reasonable and appropriate by the Authorized Person and he shall be
further authorized to modify and amend such instmments and agreements at such times and on such
terms and conditions as he deems reasonable and appropriate.
RESOLVED: That BRETT S. ALBRECHT, is hereby authorized to do and perform any
and all such acts on behalf of the Company, including execution of any and all deeds, documents,
instmments and certificates, as such Authorized Person deems appropriate, necessary or advisable to
carry out the purposes and intent of the foregoing resolution.
IN WITNESS WHEREOF, I have hereunto subscribed my name as Mark J. Francuz,
Secretary this 13th Day of September, 2013.
FKC LLC
a Califomia limited liability company
Its Manager
By: ;^^J,y, A^Pfuny^*^^
Mark J. Francuz, §0cretary
FKC LLC - Secretary Certificate - Carlsbad, CA
EXHIBIT A
LEGAL DESCRIPTION OF PROPERTY
THE LAND REFERRED TO HEREIN BELOW IS SITUATED IN THE CITY OF
CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, AND IS DESCRIBED
AS FOLLOWS:
PARCEL 1:
THAT PORTION OF TRACT 1211 OF CARLSBAD LANDS, IN THE CITY OF CARLSBAD,
IN THE COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP
THEREOF NO. 1661, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN
DIEGO COUNTY, MARCH 1, 1915, DESCRIBED AS FOLLOWS:
BEGINNESfG AT A POINT IN THE CENTERLINE OF VALLEY STREET, DISTANT
THEREON NORTH 34° 33' WEST 531.19 FEET FROM THE POINT OF INTERSECTION
OF SAID CENTERLINE OF VALLEY STREET AND THE NORTHEASTERLY
PROLONGATION OF THE SOUTHEASTERLY LINE OF SAID TRACT 121, SAID POINT
BEING THE SOUTHEASTERLY CORNER OF LAND CONVEYED TO JOHN J. MERRITT
AND WIFE BY DEED RECORDED IN BOOK 339, PAGE 456, OF OFFICIAL RECORDS;
THENCE ALONG SOUTHEASTERLY LINE OF SAID MERRITT LAND, SOUTH 53° 27'
WEST 193.4 FEET TO THE TRUE POINT OF BEGINNING; THENCE NORTH 23° 04'
WEST 227.6 FEET TO THE NORTH BOUNDARY LINE OF CARLSBAD LANDS; THENCE
ALONG SAID LAST MENTIONED LINE NORTH 89° 05' WEST, A DISTANCE OF 324.08
FEET MORE OR LESS, TO THE NORTHEASTERLY CORNER OF THE LAND
CONVEYED BY SOUTH COAST LAND COMPANY, A CORPORATION, TO OCEANSIDE
MUTUAL WATER COMPANY, A CORPORATION, BY DEED DATED AUGUST 29, 1922,
AND RECORDED IN BOOK 899, PAGE 288 OF DEEDS; THENCE SOUTH 23° 04' EAST
ALONG THE EASTERLY LINE OF THE LAND CONVEYED TO SAID OCEANSIDE
MUTUAL WATER COMPANY, A DISTANCE OF 434.58 FEET TO A POINT; THENCE
NORTH 5° 27' EAST A DISTANCE OF 298.6 FEET, MORE OR LESS, TO THE TRUE
POINT OF BEGINNING.
APN: 156-200-15-00
PARCEL 2:
THAT PORTION OF TRACT 121 OF CARLSBAD LANDS, ACCORDING TO MAP
THEREOF NO. 1661, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN
DIEGO COUNTY, MARCH 1, 1915, DESCRIBED AS FOLLOWS:
BEGINNE^G AT A POINT IN THE CENTERLINE OF VALLEY STREET, AS SHOWN ON
SAID MAP DISTANT THEREON NORTH 34° 33' WEST, 531.19 FEET FROM THE POINT
OF INTERSECTION OF SAID CENTER LINE OF VALLEY STREET, AND THE
NORTHEASTERLY PROLONGATION OF THE SOUTHEASTERLY LINE OF SAID
TRACT 12 L SAID POINT BEING THE SOUTHEASTERLY CORNER OF LAND
5 CA 2/5/2013
CONVEYED TO JOHN J. MERRITT AND WIFE, BY DEED RECORDED IN BOOK 339,
PAGE 456, OFFICL\L RECORDS; THENCE ALONG THE SOUTHEASTERLY LINE OF
SAID MERRITT LAND, SOUTH 55° 27' WEST, 193.4 FEET; THENCE NORTH 23° 04'
WEST, 227.6 FEET TO THE NORTH BOUNDARY LINE OF SAID CARLSBAD LANDS;
THENCE SOUTH 89° 05' EAST, ALONG THE SAID NORTHERLY LINE 173.8 FEET TO
THE CENTERLINE OF SAID VALLEY STREET; THENCE SOUTH 34° 53' EAST, ALONG
SAID CENTERLINE 137.0 FEET TO THE POINT OF BEGINNING.
EXCEPTING THEREFROM THAT PORTION LYING SOUTHERLY OF A LINE THAT
BEGINS AT A POINT ON THE EASTERLY LINE OF THE ABOVE DESCRIBED LAND AT
A POINT NORTH 34° 33' WEST, 58.5 FEET FROM THE SOUTHEASTERLY CORNER
THEREOF AND RUNS WESTERLY TO A POINT ON THE WESTERLY LINE OF SAID
LAND THAT IS NORTH 23° 04' WEST, 113.8 FEET FROM THE SOUTHWESTERLY
CORNER THEREOF.
APN: 156-200-01-00
PARCEL 3:
THAT PORTION OF TRACT 121 OF CARLSBAD LANDS, ACCORDING TO MAP
THEREOF NO. 1661, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN
DIEGO COUNTY, MARCH 1, 1915, DESCRIBED AS FOLLOWS:
BEGINNING AT A POINT ON THE CENTERLINE OF VALLEY STREET, AS
SHOWN ON SAID MAP, DISTANT THEREON NORTH 34° 33'WEST, 531.19 FEET
FROM THE POINT OF INTERSECTION OF SAID CENTERLINE OF VALLEY STREET,
AND THE NORTHEASTERLY PROLONGATION OF THE SOUTHEASTERLY LINE OF
SAID TRACT 121, SAID POINT BEING THE SOUTHEASTERLY CORNER OF LAND
CONVEYED TO JOHN J. MERRITT AND WIFE, BY DEED RECORDED IN BOOK 339,
PAGE 456, OFFICIAL RECORDS; THENCE ALONG THE SOUTHEASTERLY LINE OF
SAID MERRITT LAND, SOUTH 55° 27' WEST, 193.4 FEET; THENCE NORTH 23° 04'
WEST, 227.6 FEET TO THE NORTH BOUNDARY LINE OF SAID CARLSBAD LANDS;
THENCE SOUTH 89° 03' EAST, ALONG THE SAID NORTHERLY LINE 173.8
FEET TO THE CENTERLINE OF SAID VALLEY STREET; THENCE SOUTH 341 33'
EAST, ALONG SAID CENTERLINE 137.0 FEET TO THE POINT OF BEGINNING.
EXCEPT THEREFROM THAT PORTION LYING NORTHERLY OF A LINE THAT BEGE^JS
AT A POE^IT ON THE EASTERLY LINE OF THE ABOVE DESCRIBED LAND AT A
POINT NORTH 34° 33' WEST, 58.5 FEET FROM THE SOUTHEASTERLY CORNER
THEREOF AND RUNS WESTERLY TO A POE^T ON THE WESTERLY LINE OF SAID
LAND THAT IS NORTH 23° 04' WEST 113.8 FEET FROM THE SOUTHWESTERLY
CORNER THEREOF.
APN: 156-200-02-00
CA 2/5/2013
EXHIBIT B
MAXIMUM MONTHLY RENTAL AMOUNT
San Diego-Carlsbad-San Marcos, CA Metropolitan Statistical Area (MSA)
Household Income Limits HUD ly/lethod
Note: The following household income limits are adjusted for a high cost area as
per the Federal Housing Act of 1937 and calculated using HCD methodology to
comply with Health and Safety Code Sections 50052.5 and 50093.
San Diego-Cai1sbad.San Marcos, CA MSA
U.S. Department of Housing and Urt>an Development
December 11,2012 Effective Date
2013
$ 72,300
Extremely Low Income Very Low Income
30% 35% 40% 50%
Hshold
Size Annual Monthly 30.00% Annual Monthly 30.00% Annual Monthly 30.00% Annual Monthly 30.00%
Income Income Monthly Income Income Monthly Income Income Monthly Income Income Monthly
ONE $16,950 $1,413 $423 $19,750 $1,646 $493 $22,600 $1,883 $565 $28,250 $2,354 $706
TWO $19,400 $1,617 $485 $22,600 $1,883 $565 $25,800 $2,150 $645 $32,250 $2,688 $806
THREE $21,800 $1,817 $545 $25,400 $2,117 $635 $29,050 $2,421 $726 $36,300 $3,025 $908
FOUR $24,200 $2,017 $605 $28,200 $2,350 $705 $32,250 $2,688 $806 $40,300 $3,358 $1,008
FIVE $26,150 $2,179 $653 $30,500 $2,542 $762 $34,850 $2,904 $871 $43,550 $3,629 $1,089
SIX $28,100 $2,342 $702 $32,750 $2,729 $818 $37,450 $3,121 $936 $46,750 $3,896 $1,169
SEVEN $30,050 $2,504 $751 $35,000 $2,917 $875 $40,000 $3,333 $1,000 $50,000 K167 $1,250
EIGHT $31,950 $2,663 $798 $37,250 $3,104 $931 $42,600 $3,550 $1,065 $53,200 $4,433 $1,330
Low Income
60% 65% 70% 80%
Hshold
Size Annual Monthly 30.00% Annual Monthly 30.00% Annual Monthly 30.00% Annual Monthly 30.00%
Income Income Monthly Income Income Monthly income Income Monthly Income Income Monthly
ONE $33,900 $2,825 $847 $36,700 $3,058 $917 $39,500 $3,292 $987 $45,150 $3,763 $1,128
TWO $38,700 $3,225 $967 $41,950 $3,496 $1,048 $45,150 $3,763 $1,128 $51,600 $4,300 $1,290
THREE $43,560 $3,630 $1,089 $47,200 $3,933 $1,180 $50,800 $4,233 $1,270 $58,050 $4,838 $1,451
FOUR $48,360 $4,030 $1,209 $52,400 $4,367 $1,310 $56,400 $4,700 $1,410 $64,500 $5,375 $1,612
FIVE $52,260 $4,355 $1,306 $56,600 $4,717 $1,415 $60,950 $5,079 $1,523 $69,700 $5,808 $1,742
SIX $56,100 $4,675 $1,402 $60,800 $5,067 $1,520 $65,450 $5,454 $1,636 $74,850 $6,238 $1,871
SEVEN $60,000 $5,000 $1,500 $65,000 $5,417 $1,625 $69,950 $5,829 $1,748 $80,000 $6,667 $2,000
EIGHT $63,840 $5,320 $1,596 $69,200 $5,767 $1,730 $74,450 $6,204 $1,861 $85,150 $7,096 $2,128
Moderate Income
90% 100% 110% 120%
Hshold
Size Annual Monthly 30.00% Annual Monthly 30.00% Annual Monthly 30.00% Annual Monthly 30.00%
Income Income Monthly Income Income Monthly Income Income Monthly Income income Monthly
ONE $45,550 $3,796 $1,138 $50,650 $4,221 $1,266 $55,700 $4,642 $1,392 $60,750 $5,063 $1,518
TWO $52,050 $4,338 $1,301 $57,850 $4,821 $1,446 $63,650 $5,304 $1,591 $69,400 $5,783 $1,735
THREE $58,550 $4,879 $1,463 $65,100 $5,425 $1,627 $71,600 $5,967 $1,790 $78,100 $6,508 $1,952
FOUR $65,050 $5,421 $1,626 $72,300 $6,025 $1,807 $79,550 $6,629 $1,988 $86,750 $7,229 $2,168
FIVE $70,300 $5,858 $1,757 $78,100 $6,508 $1,952 $85,950 $7,163 $2,148 $93,700 $7,808 $2,342
SIX $75,500 $6,292 $1,887 $83,900 $6,992 $2,097 $92,300 $7,692 $2,307 $100,650 $8,388 $2,516
SEVEN $80,700 $6,725 $2,017 $89,700 $7,475 $2,242 $98,650 $8,221 $2,466 $107,600 $8,967 $2,690
EIGHT $85,900 $7,158 $2,147 $95,450 $7,954 $2,386 $105,050 $8,754 $2,626 $114,550 $9,546 $2,863
Note: Income levels 80% and below are adjusted by a HUD high cost area allowance.
This general income information is calculated from the U.S. Department of Housing and Urban
Development (HUD) income figures. Specific program requirements may vary.
Prepared by Affordable Housing Services Information, LLC Web: www.AHSinfo.com Phone (858) 832-1460
CA 2/5/2013
EXHIBIT C
DEED RESTRICTION
A Second Dwelling Unit has been constructed as part of this property, and shall be maintained
and utilized in accordance with the requirements of Carlsbad Municipal Code Section 21.85.070
for the useful life of the main structure (estimated to be 55 years). The maximum monthly rent
for the Second Dwelling Unit, if rented or leased, shall not exceed an amount equal to thirty
percent (30%) of the gross monthly income of a low-income household, adjusted for household
size, at seventy percent (70%) of the San Diego County median income as such median income is
published by the United States Department of Housing and Urban Development fi'om time to
time ("Affordable Units"). The Affordable Units shall be available to households with
incomes not exceeding 70% of the median income for San Diego Countv. adiusted for
actual household size. Prior to subsequent transfers of the property, seller shall require the
purchaser to submit a signed affidavit or declaration under penalty of perjury on a form
satisfactory to the City Housing and Neighborhood Services Director, to the Housing and
Neighborhood Services Department, which acknowledges that the purchaser has read and
understand the restrictions as they relate to the Second Dwelling Unit.
CA 2/5/20: