HomeMy WebLinkAbout2023-11-07; City Council; Resolution 2023-271RESOLUTION NO. 2023-271
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD,
CALIFORNIA, AUTHORIZING A CITY TEAM TO NEGOTIATE WITH
REPRESENTATIVES OF SOLUTIONS FOR CHANGE, INC. ON ACQUISITION OF
REAL PROPERTY AT 945 CHESTNUT AVE . (APN 204-191-2200), AN
AFFORDABLE HOUSING PROPERTY KNOWN AS CHESTNUT APARTMENTS
WHEREAS, in 2014 the City Council approved a loan of $3,100,000 in funds from Community
Development Block Grant ($454,000) and the city's Housing Trust Fund ($2,436,000) to Solutions for
Change to acquire 16 units at 945 Chestnut Avenue to provide affordable housing for homeless
families; and
WHEREAS, Solutions f~r Chan~e was_to obtain permanent financing within the first three years
to fund relocation of the existing tenants and the completion of major rehabilitation of the entire
project; and
WHEREAS, Solutions for Change has been unable to secure funding to complete the project and
has decided to turn the property over to the City of Carlsbad since it cannot fulfill the obligations
identified in the 2014 loan documents recorded against the property; and
WHEREAS, the staff is evaluating the property at 945 Chestnut Ave., for a potential acquisition
by the city; and
WHEREAS, the property is required to continue to include 16 affordable units because of the
recorded regulatory agreement and housing replacement requirements.; and
WHEREAS, California Government Code Section 54956.8 requires that a local agency hold an
open and public session in which it identifies its negotiators, the real property or properties which the
negotiations may concern, and the person or persons with whom its negotiators may negotiate; and
WHEREAS, the staff is recommending that the City Council authorize the city's Deputy City
Manager for Community Services, Housing & Homeless Services Director, and Real Estate Manager to
negotiate with Solutions for Change on acquisition of real property at 945 Chestnut Ave. (APN 204-191-
2200), an affordable housing property known as Chestnut Apartments.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as
follows:
1. That the above recitations are true and correct.
2. That the city's Deputy City Manager for Community Services, Housihg & Homeless Services
Director, and Real Estate Manager are authorized to negotiate with Solutions for Change
on acquisition of real property at 945 Chestnut Ave. {APN 204-191-2200), an affordable
housing property known as Chestnut Apartments.
3. That city staff will return to the City Council to consider the approval a purchase and sale
agreement and a recommended plan for the ultimate disposition of the property upon the
conclusion of the negotiations.
PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of
Carlsbad on the 7th day of November, 2023, by the following vote, to wit:
AYES:
NAYS:
ABSTAIN:
ABSENT:
Blackburn, Bhat-Patel, Acosta, Burkholder, Luna.
None.
None.
None.
KEITH BLACKBURN, Mayor
SHERRY~ f
{SEAL)