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HomeMy WebLinkAboutCT 05-18; Seascape Developments LLC; 2017-0237453; Affordable Housing Agreement/Release. ' ' llf Recording Requested by: City of Carlsbad When Recorded Mail to: City of Carlsbad City Clerk's Office Attn: City Clerk 1200 Carlsbad Village Drive Carlsbad California 92008 DOC# 2017-0237453 1111111111111111111111111111111111111111111111111111111111111111111111 May 26, 2017 08:53 AM OFFICIAL RECORDS Ernest J. Dronenburg, Jr., SAN DIEGO COUNTY RECORDER FEES: $45.00 PAGES: 11 (Space above for Recorder's Use) AFFORDABLE HOUSING AGREEMENT (Second Dwelling Units) .ff!!IS AFFORD~~ HOUSING AGREEMENT ("Agreement") is entered into this 2:6 day of ~IA.Cit'f 2016, by and between the CITY OF CARLSBAD, a municipal corporation ("City"), and1SEASCAPE DEVELOPMENTS LLC, a California limited liability 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 California, described in "Exhibit A", which is attached hereto and incorporated herein by this reference, and which is the subject of a Tentative Map CT 05-18, and Site Development Plan SDP 05-12, which provides conditional approval of the construction of twelve (12) single family dwelling units ("Project"). B. Condition No.13 of Planning Commission Resolution No. 6502 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 defined under Chapter 21.85 of the Carlsbad Municipal Code ("Affordable Housing Obligation"). Planning Commission Resolution No. 6502 provides that the affordable housing obligation will be satisfied by applying the requirements set forth in this Agreement for construction of second dwelling units on affordable housing lots ("Affordable Housing Lots"). The Affordable Housing Lots which are subject to this Agreement are: Lots 8 and 9 of Carlsbad Tract No. CT 05-18 in the City of Carlsbad, County of San Diego, State of California, according to Map No. I G, \ 69 filed with the County Recorder of San Diego County on AfV?,~L lL/ I 2-D\1 C. Developer intends to construct 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. 1 CA 12/23/2013 NOW, THEREFORE, incorporating the foregoing Recitals and in consideration of the mutual covenants contained herein, the parties agree as follows: 1. The Recitals Are True 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 05-18_, by Condition No. 13 in Planning Commission Resolution No. 6502 and any other applicable condition of approval. 3. SECOND DWELLING UNITS. (a) Construction of Second Dwelling Units. Developer shall at the time a residential structure is constructed on the Affordable Housing Lot, include in such residential structure 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%) ofthe 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 2015 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 constructed 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. 2 CA 12/23/20 13 (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 run with the land so as to restrict subsequent transfers. 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.__ll_of Planning Commission Resolution No. 6502. Such failure will allow the City to exercise any and all remedies available to it including but not limited to withholding the issuance ofbuilding permits for the lots shown on Carlsbad Tract No. 05-18. 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, and/or actions, allegedly caused by, arising out of or pertaining in any manner to Developer's actions or defaults pursuant to this Agreement, and Developer 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 California, 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, return receipt requested to the party to receive such notice at the address set forth below: TO THE CITY: TO THE DEVELOPERS: City of Carlsbad Housing & Neighborhood Services Department Attn: Housing & Neighborhood Services Director 1200 Carlsbad Village Drive Carlsbad, California 92008 Roger Bhatia CIVCOM & ASSOCIATES 6540 Lusk Blvd., Ste. C135 San Diego, Ca. 92121 3 CA 12/23/2013 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. 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 construction. 10. SUCCESSORS This Agreement shall benefit and bind Developers and any successive owners of Affordable Housing Lots. 11. 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. DEVELOP~ ) --~ . By: .tJ~ By: Name: Rajeev a 1a Debbie ountam Title: Managing Member1~-'";>c.A.Pe oave~ Housing & Neighborhood Services Director Dated: Z.-2-6-l P u...C!. /_ ! Dated: tcJ~t.:).....,.."':..-f/1..!...'1/ "~---- By: L::1 /\. ~ I Name:RQ;~; Title: Managing Member ,s~~~e ~e\OPMeNTS, U...<!. Dated: cz,.(~'fl ( 1(2 (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.) 4 CA 12/23/2013 APPROVED AS TO FORM: Celia A. Brewer, City Attorney By:~~ #W Ron Kemp, Assistant City A omey Dated: __ ?:}-=-..:.._-_,_1 /:-=-/-""(;.=--- 5 CA 12/23/2013 EXHIBIT A LEGAL DESCRIPTION OF PROPERTY Parcel 1B: The Southwest Quarter of the Southwest Quarter of the Northwest Quarter of the Northeast Quarter of Section 27, Township 12 South, Range 4 West, San Bernardino Base and Meridian, in the City of Carlsbad, County of San Diego, State of California, according to the official plat thereof; and Parcel2B: The Southeast Quarter of the Southwest Quarter of the Northwest Quarter of the Northeast Quarter of Section 27, Township 12 South, Range 4 West, San Bernardino Base and Meridian, in the City of Carlsbad, County of San Diego, State of California, according to the official plat thereof; and Parcel3B: An easement for road and public utility purposes over, under, upon and across the westerly 30 feet of the south half of the Northwest Quarter of the Northeast Quarter of Section 27, Township 12 South, Range 4 West, San Bernardino Base and Meridian, in the City of Carlsbad, County of San Diego, State of California, according to the official plat thereof; and Parcel4B: An easement for road and public utility purposes over, under, along and across the westerly 30 feet ofthe Northwest Quarter ofthe Southwest Quarter ofthe Northwest Quarter of Section 27, Township 12 South, Range 4 West, San Bernardino Base and Meridian, in the City of Carlsbad, County of San Diego, State of California, according to the official plat thereof. 6 CA 12/23/2013 EXHIBIT B MAXIMUM MONTHLY RENTAL AMOUNT IRenbl Chart-2015-.11J1hf Alii miiiXinua hoosebold income Gti/Eieclric, Sewer Trash HHSim BedmomSim Max. Gross HH Income: Max. Monlhty HH Income Max. Rent & Water Alowance Allow 1 Studio $30,700 $ 3,308.33 $ 9112.50 $ !MUll $ 19.00 1.5 f bedroom s 3,545.83 $ 1.063.75 $ 69.00 $ 19.00 2 1 bedroom $45.400 $ 3,783.33 $ 1,135.00 $ 69.00 $ 19.00 f. Maximum rent is equallo ~ d the mllllimum monthly ineome fur the selecled Hausehold Size at 7D'l!. of AMI. 2. An alowanee for any tenant paid utililies, equipmenlll!lltals, andiDf other charges such as parting must be !iliiJiracle.d from lhe maximum rent ID derive the maximum allowable rent 1hat may be dlmged by lhe Oi!lnel'. Assumed HH size (fer rentcabAalion): studio = 1 pmiOil 1 bedroom = 1.5 p!!f50f1S 7 Slove Refrig Parking & Allowed AloM Allow other ctlll Rent $ 10.00 $ 10.00 $ -$ 884.50 $ 10.00 $ 10.00 $ . $ 955.75 $ 10.00 $ 10.00 $ . $ 1,027.00 CA 12/23/2013 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 from time to time ("Affordable Units"). 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. 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. 8 CA 12/23/2013 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 • A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California County of C) ro {\. )fJ On~ -d-5· ll+' before me, {'n. Snf\~\. (\oiO~ \)u'oL L Date Here Insert Name and Title of the Officer personally appea .. re ~=d~\Lb~::n.:::==\)=Q=v='ft=· =e/=y-=(Y\===~O;;Q;;,(:;{:._()~r--.._~~~;)-------- -Name(s) of Signer(s) who proved to me on the basis of satisfactory evidence to be the person(lj( whose name(~ is/aP9 subscribed to the within instrument and acknowledged to me that he/~ executed the same in his/~r authorized capacity(Lesr,and that by his/~ signature(~ on the instrument the person(s(, or the entity upon behalf of which the person(~ acted, executed the instrument. )* 0 t 0 ill t t .. .....,. J. ;TjN~t o o 1r..f • Comnlsslon # 2083450 ::$ Notary Public • California ~ Orange County ',j M~ Comm. Ex~ res Oct 24, 201 ?, ............ ,.~ Place Notary Sea/ Above I certify under PENAL TV OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. ------------------------------OPTIONAL----------------------------- Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document. Description of Attached Document Title or Type of Document: Document Date: _______ _ Number of Pages: Signer(s) Other Than Named Above: ------------- Capacity(ies) Claimed by Signer(s) Signer's Name:------------ 0 Corporate Officer -Title{s): ______ _ 0 Partner - 0 Limited D General 0 Individual 0 Attorney in Fact 0 Trustee 0 Guardian or Conservator 0 Other:-------------- Signer Js Representing: ---------- Signer's Name:------------ 0 Corporate Officer -Title{s): ______ _ 0 Partner - 0 Limited 0 General 0 Individual 0 Attorney in Fact 0 Trustee 0 Guardian or Conservator 0 Other: ----------------Signer Is Representing: --------- • ©2014 National Notary Association· www.NationaiNotary.org • 1-800-US NOTARY (1-800-876-6827) Item #5907 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/~ subscribed to the within instrument and acknowledged to me that he/sl=leltl=ley executed the same in his/t.\ei:L.tReir authorized capacity(ies), and that by his/het:4Aeir signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. Place Notary Sea/ Above 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. Signffiureb~~ Sign ture of Not Publtc -------------------------------oPTIONAL------------------------------- Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document. Description of Attached Document Title or Type of Document: Document Date: _______ _ Number of Pages: Signer(s) Other Than Named Above: ____________ _ Capacity(ies) Claimed by Signer(s) Signer's Name: ___________ _ Signer's Name: ____________ _ 0 Corporate Officer -Title(s): ______ _ 0 Corporate Officer -Title(s): ______ _ 0 Partner - 0 Limited 0 General 0 Partner-0 Limited 0 General 0 Individual 0 Attorney in Fact 0 Individual D Attorney in Fact 0 Trustee 0 Guardian or Conservator 0 Trustee 0 Guardian or Conservator 0 Other: _____________ _ 0 Other: ___________________ _ Signer Is Representing: ___________ _ Signer Is Representing: ________ _ • ©2014 National Notary Association o www.NationaiNotary.org o 1-800-US NOTARY (1-800-876-6827) Item #5907 RESOLUTION ADOPTED BY UNANIMOUS WRITTEN CONSENT OF THE MANAGING MEMBERS OF SEASCAPE DEVELOPMENTS LLC, A CAUFORNTA LIMITED LIABILITY COMPANY A meeting of the Managinf Members of Seascape Developments LLC, a California limited 1 iability company was duly held on December 8, 2015. A quorum bci ng present, the following resolution was adopted: WHEREAS, Seascepe Developments LLC was established tor the purpose of development and construction of 12 homes located in the City of Carlsbad; and WHEREAS, it is the detennination of the Managing Members of Seascape Developmt!nts LLC, that the planned impr,wcmcnts of the property are in the beneficial interest of Seascape Developments LLC; and Whereas, Raj ecv Br atia, Managing Member of Seascape Developments LLC and authorized agent for Seascape Developments LLC, NOW, THEREFORE, BE IT RESOLVED that Rajeev Bhatia is authorized to sign any and all documents relating to any documents required by the City of Carlsbad. DATED this gth day of Dcc,:mber, 2015 SEASCAPE DEVELOPMENTS LLC. Q~~. -~~~_:_ _____ ·--·--·- Rajeev"Bhatia, Managing Member