12B Action - Laserfiche WebLink

Home

File Number: 22-122 In Spring 2021, the City entered into an agreement with TRI Commercial Real Estate Services to assist with property searches and acquisitions. Staff reviewed dozens of sites and met weekly with the realtor, established a regular internal navigation center working group, coordinated review of potential sites with relevant City departments, and conducted research/consultation with nonprofits and other jurisdictions. In Summer 2021, the City reached out to the Nimitz Motel owner to see if they were interested in selling. The ownership reciprocated interest and negotiations have recently concluded when terms were mutually established. City staff identified the Property as an ideal opportunity to address both the short-term navigation center and long-term permanent supportive rental housing goals of the City Council in one property. The Nimitz Motel has 33 studio units in good condition, ground floor office/retail spaces including a Chinese restaurant, on-site laundry, on-site parking, and billboard sign. The property is also closely located near food/retail services and public transportation. The lot is about 30,000 square feet and there is approximately 16,930 square feet of building. In Fall 2021, the City entered into a memorandum of understanding (MOU) with the local nonprofit homeless service provider Building Futures with Women and Children (BFWC) and the nonprofit affordable housing developer, Eden Housing, Inc. The MOU established roles and responsibilities between the City, Building Futures, and Eden Housing to coordinate an application to the State Project Homekey Round 2 Grant Program due in May 2022 and to define understandings as partners with and technical advisors to the City. The City has identified BFWC as the service provider for the short-term navigation center and shelter. Eden Housing has been identified as the developer/property manager for the long-term permanent supportive housing given their respective organizational expertise in homeless services and permanent affordable and supportive housing. Contract services between the City and BFWC will be presented to City Council for review near the close of escrow for the Property in Fall 2022. While the City has a variety of existing and local affordable housing/homeless funding sources to apply towards the acquisition, rehabilitation, and operations/supportive services of the Property, the key public funding source will be the State’s Project Homekey Grant Program. The State created Project Roomkey and Project Homekey Round 1 in 2020 to address immediate housing and services needs for homeless persons and persons at-risk of homelessness due to the COVID-19 pandemic impacts. The Project Homekey Round 2 Request for Proposals (RFP) opened in September 2021 and has a final deadline of May 2, 2022. Proposed Development Plan for the Nimitz Motel Conversion Upon acquisition of the Property and approval of Project Homekey funding, the City plans to convert the Property into a short-term navigation center with shelter for approximately 1½ to 3 years. During this interim period, the City and its nonprofit partners will seek additional public financing to convert the Property into long-term supportive and affordable rental housing for the homeless. Before conversion to the long-term model, the City will ensure the navigation center and shelter spaces at the Property will be relocated to a new, more permanent site. This interim to permanent plan is an eligible activity under Project Homekey. Staff has determined that the navigation center needs to be moved to another site to make the permanent supportive housing conversion financially sustainable for the long-term, and therefore Page 2 City of San Leandro Printed on 3/16/2022