HomeMy WebLinkAboutSDP 98-19; Manzanita; 2004-0762348; Affordable Housing Agreement/ReleaseDOC # 20044782348 I 1ll1111111111111111111111111111 IIIII 111ll11111 IIIII lllll111ll111111ll
AUG 11,2004 12:33 PM 17859
RECORDING REQUESTED BY:
City of Carlsbad
WHEN RECORDED MAIL TO:
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/ City of Carlsbad
City Clerk's Office
Attn.: City Clerk
1200 Carlsbad Village Drive
OFFICIAL RECORDS SAN DIEGO COUNTY RECURDER'S OFFICE GREGORY J. SMITH, COUNTY RECORDER
FEES: 41 .OO PAGES: 12
I111111 Ylll Ill lUllUul uu ulll ylll u11 yltl II# YII 11111 1111 1111 1111
2004-0762348
Carlsbad. California- 92008
(Space above for Recorder's Use)
AFFORDABLE HOUSING AGREEMENT
IMPOSING RESTRICTIONS ON REAL PROPERTY
This AFFORDABLE HOUSING AGREEMENT IMPOSING RESTRICTIONS ON
REAL PROPERTY ("Agreement"), entered into this 9th day of August
by and between the CITY OF CARLSBAD, a municipal corporation (hereinafter referred to as
the "City"), and Manzanita Partners, L.L.C., a California limited liability company (hereinafter
referred to as the "Developer"), is made with reference to the following:
,2004,
A. Developer is the owner of certain real property in the City of Carlsbad, in the
County of San Diego, California (hereinafter referred to as the "Subject Property") described in
"Attachment A", which is attached hereto and incorporated herein by this reference.
B. For the purposes of this Agreement, Developer currently intends to construct a
total of one hundred fifty-seven (1 57) residential apartment units (hereinafter referred to as the
Coastal Plan Amendment LCPA 98-06, Site Development Plan 98-19, Special Use Permit 98-06,
HDP 98-18 and Coastal Development Permit CDP 98-73 for the Development. The City issued
the approval subject to certain Conditions of Approval, including a condition requiring at least
fifteen percent (1 5%) of the units in the Development to be affordable housing as required by the
City's Inclusionary Housing Ordinance (CMC Chapter 21 3.5).
"Development") on the Subject Property. The City has approved Zone Change ZC 98-09, Local
C. The Development will consist of one hundred fifty-seven (1 57) multi family
residential units. The Development shall include a minimum of twenty-four (24) affordable
multi-family housing units. Developer intends to meet the inclusionary housing condition for the
Development by constructing, or causing to be constructed, a minimum of twenty-four (24) multi
family apartment units and as hrther described in "Attachment B."
D. Developer is required by the Conditions of Approval to enter into an Affordable
Housing Agreement as required and with the content specified by the City's Inclusionary
Housing Ordinance, Carlsbad Municipal Code (TMC'') Chapter 2 1.85). This Agreement is that
Affordable Housing Agreement pursuant to Section 21.85.140 of CMC Chapter 21.85, and shall
be executed and recorded prior to the approval of any building permit for the Subject Property.
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NOW, THEREFORE, it is mutually agreed by and between the undersigned parties as
follows:
1. Satisfaction of Affordable Housing Obligation and Conditions of Approval. The
Conditions of Approval of Zone Change ZC 98-09, Local Coastal Plan Amendment LCPA 98-
06, Site Development Plan 98-19, Special Use Permit 98-06, and Coastal Development Permit
CDP 98-73, and the requirements of the City's Inclusionary Housing Ordinance (CMC Chapter
21.85) shall not be satisfied unless twenty-four (24) units of the Development are constructed for
the purpose of providing housing to be affordable to lower-income households (the "Affordable
Units"), according to the schedule and terms contained herein. A total of one hundred thirty-
three (1 33) market rate units and at least twenty-four (24) affordable units may be constructed
with approval of this agreement.
2. Number and Tvue of Affordable Units. As a condition to the satisfaction of
Developer's affordable housing requirements for the Development, Developer shall construct, or
cause to be constructed, on the Subject Property at least twenty-four (24) apartment units
(hereinafter referred to as the "Affordable Multifamily Units").
3. Terms Governing Provision of Affordable Multifamily Units.
3.1 Location of Multifamily Units. Not less than twenty-four (24) Affordable
Multifamily Units shall be constructed in the Development.
3.2 Size and Bedroom Count. The Affordable Multifamily Units shall include
two and three bedroom units in the numbers and with the square footage indicated in
"Attachment B" to this Agreement. Not less than ten percent (1 0%) of all Affordable
Multifamily Units shall be three (3) bedroom units in compliance with CMC 21.85.010(A)(2).
3.3 Affordabilitv Requirements. 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. Monthly Rents of the Affordable Units shall not exceed
1/12th of 30% of 80% of median household income for San Diego County, adjusted for assumed
household size appropriate for the unit pursuant to the Regulatory Agreement. 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). Median income figures shall be those published
annually by the United States Department of Housing and Urban Development. Assumed
household size figures shall be provided by the Developer and reviewed and approved by the
City of Carlsbad Housing and Redevelopment Department. With respect to each Affordable
Unit, the affordability requirements of this Section 3.3 shall continue for fifty-five (55) years
from the date of issuance of a Certificate of Occupancy by the City for such unit or another
comparable unit based upon substitution provisions pursuant to the Regulatory Agreement. The
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affordability requirements of this Section 3.3 shall be set forth in the Regulatory Agreement
between the Developer or its successors and the City, provided for below, which shall supersede
this Agreement upon recordation of the Regulatory Agreement.
3.4 Schedule for Developing Affordable Multifamily Units. Developer shall
provide the Affordable Multifamily Units concurrent with the project's market rate units.
4. City Approval of Documents, The following documents, to be approved in
writing by the City, shall be used in connection with the rental of Affordable Units.
4.1 A marketing plan consistent with the terms of this Agreement, establishing
the process for seeking, selecting and determining the eligibility of tenants of the Affordable
Units.
4.2 Form of Rental Agreement.
4.3 A Property Management Plan.
4.4 A Form of Regulatory Agreement between the Developer and City (the
"Regulatory Agreement"), following a format designated by City.
5. Compliance Reports. Following completion of construction of any of the
Affordable Multifamily Units, a Compliance Report meeting the requirements of Section
2 1.85.140 of the Inclusionary Ordinance, verifying compliance of all completed Affordable
Multifamily Units with the terms of this Agreement and certified as correct by a third-party, shall
be submitted annually to the Housing and Redevelopment Director, commencing on the first
Report Date that is twelve months from the completion of construction of the Affordable
Multifamily Units. If similar reports on some or all of the Affordable Multifamily Units are
required for regulatory compliance with other financing programs, those reports may be deemed
satisfactory for the purpose of this section by the Housing and Redevelopment Director, with
respect to the portion of the Affordable Multifamily Units covered by such reports, provided that
copies are provided on an annual basis to the Housing and Redevelopment Director with a third
party certification addressed to the City.
6. Release of Subject Property From Agreement. The covenants and conditions
herein contained shall apply to and bind Developer and its heirs, executors, administrators,
successors, transferees, and assignees having or acquiring any right, title or interest in or to any
part of the Subject Property and shall run with and burden such portions of the Subject Property
until terminated in accordance with or Section 13 hereof. The Developer shall expressly make
the conditions and covenants contained in this Agreement a part of any deed or other instrument
conveying any interest in such property. The burdens of this agreement, except for such burdens
as may be released set forth above, shall remain in full force and effect and recorded against the
Development for the 55-year duration of this agreement.
7. Default. Failure of the Developer to cure any default in the Developer's
obligations under the terms of this Agreement within ninety (90) days after the delivery of a
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notice of default from the City (or where the default is of the nature which cannot be cured
within such ninety (90) day period, the failure of the Developer to commence to cure such
default within the ninety (90) day period or the Developer's failure to proceed diligently to
complete the cure of such a default within a reasonable time period but in no event greater than
180 days) will constitute a failure to satisfy the Conditions of Approval with respect to the
Subject Property and the requirements of Chapter 21.85 of the CMC and the City may exercise
any and all remedies available to it with respect to the Developer's failure to satisfy the
Conditions of Approval and Chapter 21.85 of the CMC, including but not limited to, the
withholding of further building permits for the market rate units within the Development until
such cure is completed.
8. Appointment of Other Agencies. At its sole discretion, the City may designate,
appoint or contract with any other public agency, for-profit or non-profit organization to perform
the City's obligations under this Agreement.
9. Hold Harmless. Developer and its heirs, executors, administrators, successors,
transferees, and assignees having or acquiring any right, title or interest in or to any part of the
Development 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 expense) sustained or incurred because of or by reason of any and all claims,
demands, suits, actions, judgments and executions for damages of any and every kind and by
whomever and whenever made or obtained, allegedly caused by, arising out of or relating in any
manner to Developer's performance or non-performance under this Agreement, and shall protect
and defend Indemnitees, and any of them with respect thereto. The provisions of this section
shall survive expiration or other termination of this Agreement or any release of part or all of the
Property from the burdens of this Agreement, and the provisions of this Section 9 shall remain in
full force and effect.
10. Insurance Requirements. Developer shall obtain, at its own expense,
comprehensive general liability insurance for development of the Subject Property, naming
Indemnitees as additional named insureds with aggregate limits of not less than five million
dollars ($5,000,000), for bodily injury and death and property damage, including coverages for
contractual liability and products and completed operations, purchased by Developer or its
successors or assigns from an insurance company duly licensed to engage in the business of
issuing such insurance in the State, with a current Best's Key Rating of not less than A-:V, such
insurance to be evidenced by an endorsement which so provides and delivered to the Housing
and Redevelopment Director prior to the issuance of any building permit for the Subject
Property.
1 1. 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 addresses set forth below:
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TO THE CITY OF CARLSBAD:
CITY OF CARLSBAD
Housing and Redevelopment Department
Attn: Housing and Redevelopment Director
2965 Roosevelt Street, Suite B
Carlsbad, California 92008-2389
TO THE DEVELOPER:
Manzanita Partners, L.L.C.
3990 Ruffin Road, Suite 100
San Diego, CA 92123
Attention: Legal Department
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.
12.
the parties and no modification hereof shall be binding unless reduced to writing and signed by
the parties hereto.
Integrated Agreement. This Agreement constitutes the entire Agreement between
13. Duration of Agreement. This Agreement shall remain in effect for 55 years
following the date certificates of occupancy have been issued for all Affordable Units. This
Agreement, and any section, subsection, or covenant contained herein, may be amended only
upon the written consent of Developer and the Community Development Director.
14. Recording of Anreement. The parties hereto shall cause this Agreement to be
recorded against Subject Property in the official Records of the County of San Diego.
15. Severability. In the event any limitation, condition, restriction, covenant, or
provision contained in this Agreement is to be 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
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IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed
as of the day and year first above written.
DEVELOPER CITY
MANZANITA PARTNERS, L.L.C.
A California limited liability company
By: ConAm Manzanita, L.P.,
Its: Managing Member By:
CITY OF CARLSBAD,
A Municipal Corporation
A California limited partnership
By: Continental American Properties, Ltd.
A California limited partnership
Its: General Partner
Community Development Director
By; DJE Financial Corp.
Its: General Partner # A California corporation
radley Forrester
If required by City, proper notarial acknowledgment of execution by Developer must be
attached. If a Corporation, Agreement must be signed by one corporate officer from each of the
following two groups.
*Group A.
Chairman,
President, or
Vice-president
**Group B.
Secretary ,
Assistant Secretary,
CFO or Assistant Treasurer
Otherwise, the corporation
secretary under corporate seal empowering the officer(s) signing to bind the corporation.
attach a resolution certified by the secretary or assistant
APPROVED AS TO FORM
RONALD R. BALL, City Attorney
By:
ttorney
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State of California )
County of San Diego 1
) ss.
On February 2, 2004, before me, Dollie G. Lewis, Notary Public, personally appeared J.
Bradley Forrester and E. Scott Dupree, personally known to me (h
-) to be the person(s) whose name(s) dare subscribed to the within
instrument and acknowledged to me that h&he/they executed the same in hkkedtheir
authorized capacity(ies), and that by klsfftet/their signatures(s) on the instrument the person(s),
or the entity upon behalf of which the person(s) acted, executed the instrument.
[seal] WITNESS my hand and official seal.
NOTARY PUBLIC-CA~ IFni6~ 2:
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ATTACHMENT A 17866
LEGAL DESCRIPTION OF SUBJECT PROPERTY
THAT PORTION OF THE SOUTHERLY TEN ACRES OF THE NORTHEAST
QUARTER OF THE SOUTHWEST QUARTER OF SECTION 23, TOWNSHIP 12
SOUTH, RANGE 4 WEST, SAN BERNADINO MERIDIAN, IN THE COUNTY OF
SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO THE OFFICIAL PLAT
THEREOF, AND THAT PORTION OF THE SOUTHEAST QUARTER OF THE
SOUTHWEST QUARTER OF SECTION 23, TOWNSHIP 12 SOUTH, RANGE 4
WEST, SAN BERNADINO MERIDIAN, IN THE COUNTY OF SAN DIEGO, STATE
OF CALIFORNIA, ACCORDING TO OFFICIAL PLAT THEREOF MORE
PARTICULARLY DESCRJBED AS FOLLOWS:
BEGINNING AT THE SOUTHEAST CORNER OF THE SOUTHEAST QUARTER
OF THE SOUTHWEST QUARTER OF AFOREMENTIONED SECTION 23, THENCE
i
N OO”32’21” E 83.75 FEET ALONG THE EASTERLY LINE OF SOUTHEAST
QUARTER OF THE SOUTHWEST QUARTER OF SECTION 23, TO A POINT OF
CONCAVE NORTHEASTERLY, SAID POINT OF INTERSECTION HAVING A
RADIAL BEARING OF N 5827’19” E, SAID CURVE ALSO BEING THE
WESTERLY RIGHT OF WAY OF EL CAMINO REAL AS PER RECORD OF
CENTERLINE OF SAID ROAD SURVEY;
INTERSECTION WITH A NON-TANGENT 7045 FOOT RADIUS CURVE
SURVEY 1800-1, BEING 45 FEET WESTERLY OF AND PARALELL WITH SAID
THENCE ALONG SAID RIGHT OF WAY ALONG SAID CURVE THROUGH A
CENTRAL ANGLE OF 2” 30’ 02” AN ARC LENGTH OF 307.46 FEET TO A
TANGENT LINE HAVING A BEARING OF N 29’02’39” W
THENCE 235.12 FEET ALONG SAID LINE TO A POINT ON SAID WESTERLY
RIGHT OF WAY LINE OF EL CAMINO REAL, TO THE TRUE POINT OF
BEGINNING,
THENCE LEAVING SAID WESTERLY RIGHT OF WAY LINE S 60” 57’21” W 18.00
FEET
PAGE 1 OF4
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THENCE; S 61T8’47’’ W 76.59 FEET
THENCE; N 85” 24’48” W 197.18 FEET
THENCE; N 24” 2 1 ’23” W 127.69 FEET
THENCE; N 19”06’12” W 146.67 FEET
THENCE; N 16” 16’07” W 133.09 FEET
THENCE; N 08” 42’34” W 65.63 FEET
THENCE; N 43’19’35” W 81.61 FEET
THENCE; S 57” 34’35” W 84.95 FEET
THENCE; N 32” 55’41’’ W 25 1.27 FEET
THENCE; N 32’06’42” W 33.52 FEET
THENCE; N 57” 53’18’’ E 23.24 FEET
THENCE; N 35” 28’20” W 105.20 FEET
THENCE; N 89” 33’56” W 24.00 FEET
THENCE; N 40” 58’01” W 93.22 FEET
THENCE; N 30” 48’43” W 110.49 FEET
THENCE; N 59” 1 1 ’ 17” E 20.00 FEET
THENCE; N 30” 48’43” W 49.26 FEET
THENCE; N 43” 54’21” W 10.00 FEET TO A POINT OF INTERSECTION WITH A
NON TANGENT 280 FOOT RADIUS CURVE CONCAVE SOUTHEASTERLY, SAID
CURVE ALSO BEING THE SOUTHERLY RIGHT OF WAY OF CASSIA RD AS
TAKEN BY THE CITY OF CARLSBAD IN FINAL ORDER OF CONDEMNATION
PAGE 2 OF 4
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RECORDED FEBRUARY 12, 1998 DOCUMENT
OFFICIAL RECORDS; SAID POINT TO HAVING A
54' 21" E TO SAID CURVE
NUMBER 1998-075111 OF
RADIAL BEARING OF S 43"
THENCE; NORTHEASTERLY ALONG SAID CURVE THROUGH A CENTRAL
ANGLE OF 44" 2 1 ' 23" AN ARC LENGTH OF 2 16.77 FEET TO A LINE TANGENT
TO SAID CURVE HAVING A BEARING OF S 89" 32' 58" E
THENCE ALONG SAID LINE 470.89 FEET, SAID LINE ALSO BEING THE
SOUTHERLY RIGHT OF WAY OF CASSIA RD AS TAKEN BY THE CITY OF
CARLSBAD IN FINAL ORDER OF CONDEMNATION NUMBER 68254-1
RECORDED APRIL 12, 1996 FILE NUMBER 1996-0181733 OF OFFICIAL
RECORDS TO A TANGENT 280 FOOT RADIUS CURVE CONCAVE SOUTHERLY
THENCE EASTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF
1" 49' 36" AN ARC DISTANCE OF 8.93 FEET TO A LINE TANGENT TO SAID
CURVE HAVING A BEARING OF S 87" 43' 22" E
THENCE ALONG SAID LINE 18.06 FEET TO AN ANGLE POINT IN SAID RIGHT
OF WAY
THENCE S 41" 17' 25" E A DISTANCE OF 43.07 FEET TO A POINT OF
CONCAVE EASTERLY SAID POINT HAVING A RADIAL BEARING OF S 79" 38'
44" E
INTERSECTION WITH A NON-TANGEANT 1558 FOOT RADIUS CURVE
THENCE SOUTHERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE
OF 1" 56' 27" AND ARC DISTANCE OF 52.78 FEET TO A POINT OF
CURVE CONCAVE EASTERLY SAID POINT OF INTERSECTION HAVING A
RADIAL BEARING OF S 84" 36' 47" E TO SAID 1205 FOOT RADIUS CURVE
INTERSECTION WITH A COMPOUND NON-TANGENT 1205 FOOT RADIUS
THENCE SOUTHERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE
OF 8" 48' 36" AN ARC DISTANCE OF 185.29 FEET TO A POINT OF
CONCAVE NORTHEASTERLY, SAID POINT OF INTERSECTION HAVING A
RADIAL BEARING TO SAID 1545 FOOT RADIUS CURVE OF S 88" 24' 34" E,
SAID CURVE ALSO BEING THE WESTERLY RIGHT OF WAY OF EL (2-0
INTERSECTION WITH A NON-TANGENT 1545 FOOT RADIUS CURVE
PAGE 3 OF 4
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REAL AS SHOWN ON ROAD SURVEY 1800-1 BEING 45 FEET WESTERLY OF
THE CENTERLINE OF SAID ROAD SURVEY
THENCE; SOUTHERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE
OF 30” 38’ 06” AN ARC DISTANCE OF 826.08 FEET TO A TANGEANT LINE
HAVING A BEARING OF S 29” 02’ 39” E
THENCE ALONG SAID LINE A DISTANCE OF 6.32 FEET TO THE TRUE POINT
OF BEGINNING.
CONTAINING 1 1.10 ACRES MORE OR LESS.
PAGE 4 OF 4
I.
.. ATTACHMENT B 17870
LOCATION, SIZE, AND BEDROOM COUNT
OF AFFORDABLE UNITS
A total of twenty-four (24) affordable multi-family housing units will be provided within the
Development. The units will be dispersed throughout the Development such that no single
building will contain more than 5 affordable units. The unit mix and approximate square
footages of the affordable units are as follows: