Agmt 2009 Alameda Housing Associates LP

Home

THIS OWNER PARTICIPAT]ON AND LOAN AGREEMENT (this "Agreement") is entered into effective as of April 6, 2009 ("Effective Date") by and between the Redevelopment Agency of the City of San Leandro, a public. body, corporate, and politic ("Agency") and Alameda Housing Associates, L.P., a California limited partnership ("Developer")_ Agency and Developer are hereinafter collectively referred to as the "Parties." RECTTALS A. Pursuant to authority granted under Community Redevelopment Law (California Health and Safety Code Section 33000 el seq.) ("CRL"), the Agency has responsibility to implement the redevelopment plan adopted in 1967 by the City Council of the City of San Leandro ("City Council") by Ordinance No. 67-62 (as subsequently amended, the "Redevelopment Plan") for the Plaza Redevelopment Project (the "Project Area"). B. Developer has the contractual right to acquire a leasehold interest in the real property consisting of approximately ] .45 acres located in the City of San Leandro ("City") within a portion of the area surrounded by Martinez Street to the east, West Estudillo Avenue to the north, Alvarado Street to the west, and Thornton Avenue to the south, and more particularly described in Exhibit A attached hereto (the "Property"). Developer has proposed to acquire a leasehold interest in the Property and to redevelop it as a ] 00-unit multifamily residential project (the "Project") that will include apartments or townhouses that will be rented at affordable rents to low- ,very low- and moderate-income households as more particularly described herein and in an Affordable Housing Regulatory Agreement and Declaration of Restrictive Covenants that shall be recorded against the Property and the Project. As more particularly set forth in the San Leandro Crossings Inclusionary Noosing Plan dated as of November 20, 2008, the Project is intended to satisfy the inclusionary housing requirement for the proposed The Cornerstone at San Leandro Crossings project and subsequent phases of development. C. Developer has requested, and Agency has agreed to provide predevelopment financing and aconstruction/permanent loan pursuant to the terms and conditions set forth herein for the purpose of providing partial financing for the development of the Project_ D. The purpose of this Agreement is to effectuate the Redevelopment Plan by providing for the development of the Property as more particularly set forth herein. The Agency has determined that (i) development of the Property pursuant to this Agreement (a) is consistent with the Downtown San Leandro Transit-Oriented Development Strategy approved by the City Council in September 2007 and with the Redevelopment Plan and the lmplementation Plan for the Project Area, (b) will be of benefit to the Project Area, and (c) will further the goals of the Redevelopment Plan by providing affordable housing in the Project Area, and (ii) the Agency financing is necessary to make the Project economically feasible and affordable to ]ow-, very low-, and moderate-income households. E. A material inducement to the Agency to enter into this Agreement is the agreement by Developer to develop the Project within the time periods specified herein and in accordance with the provisions hereof, and the Agency would be unwilling to enter into this Agreement in the absence of an enforceable commitment by Developer to complete the Project ll 78986-R