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MINUTES Page 6 City of San Leandro City Council, San Leandro Economic Development Agency, San Leandro Parking Authority, San Leandro Public Financing Authority, and San Leandro Redevelopment Agency Joint Meeting-June 19, 2006 Councilmember Santos commented that there are 31 other property owners on Neptune Drive who were not represented tonight. He noted that the neighboring property owners' views are already obstructed by an apartment complex. Council member Santos commented that the applicant has complied with all conditions for the RO zoning and should not be denied. Vice Mayor Grant expressed a lack of readiness to move forward with the project. Based on the comments and questions by residents regarding the RO zoning, she expressed uncertainty whether this was' the highest and best use of the property. Vice Mayor Grant asked for a response to Mr. Johansen's question regarding the size of the lot. Mr. Horn indicated that the parcel would remain a single lot. The condominium owners would own the "airspace" and the land would be under common ownership. Councilmember Santos requested that the motion be withdrawn so that the matter could be continued. With the consent of the maker of the motion, the motion was withdrawn. . Minute Order No. 2006-035, Motion to Continue the Matter to the Meeting of July 17, 2006. (1098/1136) The City Council made a motion to continue the matter of appeal by Marina Action Committee and Mulford Gardens Improvement Association of the decision of the Board of Zoning Adjustments' approval of PLN2006-00014; Conditional Use Permit, to convert one, single-family home (existing) and the proposed two-family home into a condominium for sale as three individual units; Site Plan Review, to add a second story to the existing one- story single-family home and to construct a new additional two-family home towards the rear of the property at 13140 Neptune Drive; Assessor's Parcel Number 79A-565-41; J. Chen (Applicant/Property Owner) to July 17,2006. M/S/C Santos and Stephens. Ayes: 6; Noes: 0; Absent: 1 (Young) The City Council recessed from 8:46 to 8:54 p.m. 4. PUBLIC HEARINGS-ALL AGENCIES A. Matter of Resolutions of the City Council of the City of San Leandro and the Redevelopment Agency of the City of San Leandro Approving the Reuse Report Required by Health and Safety Code Section 33433 and the Disposition and Development Agreement, Lease and Development Financing (for up to $884,000) with Mercy Housing California XXXIII to Lease and Rehabilitate the Property Located at 2398 East 14th Street, Assessor's Parcel Number 007E-1525-003-04), as Affordable Rental Housing, Adopting Findings in Connection with the Lease, and Authorizing Execution of Documents in Connection with Development Financing (provides assistance to Mercy Housing California to renovate and manage the former