HomeMy WebLinkAboutCT 89-18; Centex Homes; 1997-0209385; Affordable Housing Agreement/ReleaseL'
9,
Recordina Reauested bv:
City of Carlsbad
When Recorded Mail to:
City of Carlsbad
City Clerk's Office
Attn: Citv Clerk
1200 Carlsbad Village Drive
Carlsbad. California 92008
I...' . !
*r w 1897-3238385 06-PIAY-1997 08~56 API L iL
ShH OIEGO COUNTY RECORDER'S OFFICE OFFICIAL RECORDS
GREGORY SnITH, COUNTY RECORDER FEES: 0.00
1 ', t'; 258
AFFORDABLE HOUSING IMPACT FEE REFUND AGREEMENT
THIS AFFORDABLE HOUSING IMPACT FEE REFUND AGREEMENT
("Agreement") is entered into as of September 3 , 1996, by and among the CITY OF
CARLSBAD, a municipal corporation ("City") and CENTEX HOMES, a Nevada General
Partnership ("Centex"), with regard to the following facts:
A. This is an Affordable Housing Impact Fee Refund Agreement entered into
pursuant to Chapter 21.85 of the Carlsbad Municipal Code ("Code").
B. Chapter 21.85 of the Code establishes requirements for providing housing
that is restricted to and affordable by lower-income households for all approved
residential units. This chapter also establishes requirements for certain classes of
projects which may pay an lnclusionary Housing Impact Fee ("Impact Fee"). These
requirements are generally referred to as "lnclusionary Housing Requirements."
C. Centex is the owner and developer of certain real property legally described
on attached Exhibit "A that is located in Local Facilities Management Zone 11 of City of
Carlsbad ("Centex Property"). The Centex Property is subject to and has received
discretionary approvals from City for Tentative Subdivision Maps (CT 89-18 and CT 85-
IO) commonly known as Rancho Verde and the Rice Property, respectively. The
approvals and conditions are contained in City Council Resolution No. 90-274, dated
August 7, 1990, and City Council Resolution No. 8661, dated July 8, 1986, respectively.
D. Pursuant to Chapter 21.85 of the Code and the approvals and conditions
referred to in Recital C above, Centex must pay to the City an lnclusionary Housing
Impact Fee (currently $2925 per market rate unit developed on the Centex Property).
Based on the above referenced approvals, the Centex obligation to pay impact fees is
currently estimated to be a total of $1,053,000 based on 360 approved units on the
Centex Property.
E. Pursuant to Section 21.85.040 of the Code, the City Council has approved
construction of up to sixty-four (64) Second Dwelling Units in accordance with the
requirements and restrictions of Section 21.10.015 of the Code by approving the Site
Development Plan for Rancho Verde (SDP 95-07) on March 26, 1996.
1 e. &- (8
F. Centex and City desire that Centex satisfy its Impact Fee requi&&t and
conditions of approval by building up to sixty-four (64) Second Dwelling units (“Second
Units”) in the Rancho Verde subdivision, in accordance with Section 21.10.015 of the
Code. Sixty-four (64) Second Units represent 15% of the total units approved for both
subdivisions within the Centex Property, inclusive of the Second Units.
Notwithstanding this desire to build Second Units, Centex will have the obligation to
pay Impact Fees to City. City will have the contingent obligation to refund some or all
of said Impact Fees to Centex by entering into this Agreement.
NOW, THEREFORE, in considerat/on of the foregoing and for other valuable
consideration, Centex and City agree as follows:
1. CENTEX CONSTRUCTION OF SECOND UNITS
Centex may fully satisfy the lnclusionary Housing Requirements and the
conditions of approval applicable to the Centex Property by constructing sixty four (64)
Second Units in the Rancho Verde subdivision in accordance with SDP 95-07
concurrently with the development of market units. Second Units will be constructed in
accordance with the requirements of Chapter 21.10.015 of the Code.
2. PAYMENT OF IMPACT FEES AND REFUND OF IMPACT FEES FOR
SECOND UNIT CONSTRUCTION
A. Centex will pay the City at the time of building permit application the Impact
Fee then in effect on each market rate unit as constructed on the Centex Property
(currently $2925 per unit). The construction of Second Units by Centex will enable
Centex to recover Impact Fees in the manner described in this paragraph and to the
extent that Centex is able to construct the Second Units.
B. Each year on the anniversary date of this agreement, Centex may submit a
written request to the Community Development Director for a refund of Impact Fees.
The refund, if any, will be equal to the lesser of: (1) the number of Second Units
completed during the preceding year times the “Credit for Second Units” or (2) actual
Impact Fees paid. If (1) exceeds (2), the difference will be carried over to the next
calculation. The “Credit for Second Units” is currently estimated to be $16,453,
determined by dividing the Centex total impact fee (currently estimated at $1,053,000)
by sixty-four (64), the maximum number of Second Units which is acceptable to the City
in lieu of the total Impact Fee. In no event will Centex be reimbursed in an amount
greater than the total Impact Fees actually paid.
C. Upon receipt of the Centex refund request and appropriate documentation
acceptable to the Community Development Director, the City will promptly refund
Impact Fees to Centex in accordance with the above.
D. Except as limited by paragraph 5 hereof, after Centex has drawn building
permits, and accordingly paid Impact Fees, for all authorized market rate units on the
Centex Property, and the final calculation of Centex refunds pursuant to this paragraph,
City will retain all remaining Impact Fees, if any.
2
I
260
3. SATISFACTION OF CENTEX'S INCLUSIONARY HOUSING
REQUIREMENTS AND CONDITIONS OF APPROVAL
Centex shall fully satisfy the lnclusionaty Housing Requirements applicable to
the Centex Property as set forth in the Code and the conditions of approval of their
Tentative Maps (CT 89-18 and CT 89-10) and condition No. 9 of SDP 95-07 by entering
into this Agreement and performing according to its terms.
Failure of Centex to perform according to the terms of this Agreement will be a
failure to satisfy the Tentative Map Conditions with respect to the Centex Property and
Chapter 21.85 of the Code; and the City may exercise any and all remedies available to
it with respect to the Centex's failure to satisfy the above conditions of approval
including but not limited to, withholding the issuance of building permits for the Centex
Property.
4. FUTURE OBLIGATIONS OF CENTEX
A. Centex shall require all purchasers of Second Dwelling Units constructed
pursuant to this Agreement to apply for, obtain, and maintain in good standing for the
useful life of the main dwelling, a Second Dwelling Unit Administrative Permit provided
for in Section 21.10.015 of the Code. This obligation shall apply to all successors and
assigns, and run with the land.
B. Except as provided fo'r in this Agreement, Centex shall have no responsibility
or any other obligation whatsoever as to the lnclusionary Housing Requirements.
Upon execution of this Agreement, Centex waives any right to pursue other options or
provisions of Chapter 21.85 in satisfying its lnclusionary Housing Requirements.
This Agreement shall expire 60 days after the completion of the last
market rate unit on the Centex Property or four (4) years from the effective date of this
Agreement, whichever event occurs first. In the event this Agreement expires, the City
is no longer obligated to provide Credit for Second Units, and Centex shall remain
obligated to pay remaining Impact Fees, if any.
6. INDEMNIFICATION
Centex shall defend, indemnify and hold harmless City and its officers,
employees and agents from any claim or liability arising out of this Agreement.
7. CONTRACT ADMINISTRATOR
Each party designates the individuals listed below as said party's Contract
Administrator, who is authorized by said party to represent them in the routine
administration of this Agreement. City's Administrator is authorized to extend the time
within which Centex is required to perform any provision of this Agreement, andlor
waive any technical default in the performance of this Agreement.
3
CITY OF CARLSBAD: MARTIN ORENYAK
Community Development Director 261
CENTEX HOMES: u4.w d ;ce &Gdekcir
8. BINDING EFFECT: ASSIGNMENT
This Agreement shall be binding upon Centex and City and their respective
successors-in-interest. Centex shall not have the right to assign this Agreement or any
interest or right hereunder without the prior written consent of City, which consent may
be withheld in Cityk sole and absolute discretion.
9. ATTORNEYS FEES AND COSTS
In the event of any controversy, claim or dispute between or among Centex and
City arising out of or relating to this Agreement or breach thereof, the prevailing party
shall be entitled to recover from the losing party reasonable expenses, attorneys’ fees
and costs.
IO. SEVERABILITY
In the event any limitation, condition, restriction, covenant or provision contained
herein is held invalid, void or unenforceable by any court of competent jurisdiction, the
remaining portions of this Agreement shall nevertheless be and remain in full force and
effect.
11. NOTICES
Any 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 at the address set forth below. Addresses for notices may be changed by
written notification thereof to the other party:
TO CITY:
City of Carlsbad
Housing 8, Redevelopment Department
Attn: Director
2965 Roosevelt Street, Suite B
Carlsbad, California 92008-2389
...
...
...
...
A
TO CENTEX:
Centex Homes
San Diego Division
5962 La Place Court
Suite 250
Carlsbad, California 92008
262
12. INTEGRATED AGREEMENT
This Agreement constitutes theentire agreement among the parties and no
modification hereof shall be binding unless reduced to writing and signed by all parties
hereto.
13. APPLICABLE LAW
All questions pertaining to the validity and interpretation of this Agreement shall
be determined in accordance with the laws of the State of California applicable to
contracts made and to be performed within the State of California.
14. RECORDATION
This Agreement shall be recorded ,in the Officials Records of San Diego County,
California.
IN WITNESS WHEREOF, the parties hereto have caused this
Agreement to be executed as of 9 /3 , 1996.
MAYOR
APPROVED AS TO FORM:
CITY ATTORNEY
AlTEST:
ALETHA L. RAUTENKRANZ 1
CITY CLERK
5
.. -.
CENTEX HOMES
A Nevada General Partnership
Printed Nam '
Title:
CentexAgree.Word
(ar - 7/96)
6
STATE OF CALIFORNIA )
OF * son0 - ) ss.
Wf&l I e6 before me, 6h4.~~ M - /&kfJm, gob I &
iu . &A-I , personally appeared /
, personally known to me (or proved to me on
the basis of satisfactory evidence) to be the person@) whose name(@ is/= subscribed
to the within instrument and acknowledged to me that he/Mtbey executed the same
in his/Mr/tb& authorized capacity(ies), and that by his/ber/tkeir signature(s)an the
instrument the person@, or the entity upon behalf of which the person(H acted,
executed the instrument.
WITNESS my hand and Official
STATE OF CALIFORNIA 1
COUNTY OF
) ss.
SAN DIEGO COUNlV
On
, personally appeared
the basis of sati
to the within in
in hislherltheir
instrument the
executed the i
WITNESS my nd and official seal. I
7
..
STATE OF CALIFORNIA 1
COUNTY OF SAN DIEGO )
) ss.
On April 23, 1997 beforeme, Karen R. Kundtz, Assistant City Clerk, """"""_""""" , personally appeared Claude A. Lewis, Mayor and Aletha L.
Rautenkranz, City Clerk , personally known to me (w-pfwed-ts~tea+-
theb%-kftf-W&dm) to be the person@) whose narne(s)is/are subscribed
to the within instrument and acknowledged to me that kekkelthey executed the same
in kisCherltheir authorized capacity(ies), and that by 4"their signature(s) on the
instrument the person@), or the entity upon behalf of which the person(s) acted,
executed the instrument.
WITNESS my hand and official seal.
STATE OF CALIFORNIA ,/ )
COUNTY OF
On / /
8
EXHIBIT "A"
LEGAL DESCRIPTION OF CENTEX PROPERTY
(RANCHO VERDE AND RICE CANYON)
RANCHOVERDE
Portions of Lots 8,s and 15 of the subdivision of Rancho Las Encinitas, in
the City of Carlsbad, County of San Diego, State of California, according to
map thereof No. 848, filed in the office of the County Recorder of said San
Diego County, June 27,1898.
RICE CANYON
The easterly half of Lot 14 and a portion of the westerly half of Lot 14, and
the south 60 feet of the west half of Lot 14 of Rancho Las Encinitas in the
City of Carlsbad, County of San Diego, State of California, according to
map thereof No. 848, filed in the Office of the County Recorder of San
Diego County, June 27,1898.
9