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Anaheim, CA 92805
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www.anaheim.net
CITY COUNCIL AGENDA REPORT
City of Anaheim
HOUSING & COMMUNITY DEVELOPMENT
DEPARTMENT
DATE: APRIL 26, 2022
FROM: HOUSING & COMMUNITY DEVELOPMENT DEPARTMENT
SUBJECT: COOPERATION AGREEMENT BETWEEN THE CITY OF
ANAHEIM AND THE ANAHEIM HOUSING AUTHORITY
ATTACHMENT (Y/N): YES ITEM # 14
RECOMMENDATION:
That the City Council, by Motion, approve a Cooperation Agreement by and between the City of Anaheim and the Anaheim Housing Authority, substantially in the form attached hereto, authorizing the transfer of State General Fund Allocation funding; and authorize the Director of Housing & Community Development, or her designee, to execute and administer the Agreement on behalf of the City of Anaheim.
DISCUSSION:
In 2019, the City of Anaheim (City) implemented the Anaheim Motel Conversion Ordinance to allow the conversion of Motels to Permanent Supportive Housing for extremely low-income households providing another tool to increase the amount of extremely low-income units.
The Tampico Motel (Motel) is an existing 32-unit motel in District 5 located at 120 S.
State College Boulevard. The Motel is ideally located near community amenities, restaurants, employment hubs, and quality public transportation. Golden Three Investment Corp. (Seller) has agreed to sell the Motel to the Anaheim Housing Authority (Authority) for (i) $5,280,000, the value established by an MAI appraisal, plus (ii) the appraised value of the personal property in the amount of $71,225, and (iii) the liquidated value of interruptions to Seller’s business operations in the amount of $148,775.
The Cooperation Agreement between the City and the Authority will authorize the transfer of up to $5,500,000 of State funds from the City to the Authority to facilitate the purchase of the Motel by the Authority.
Cooperation Agreement (State General Fund Allocation)
April 26, 2022
After completion of the Motel purchase, staff will issue a Request for Proposals (RFP) to solicit Developer proposals to convert and rehabilitate the Motel for the purposes of creating affordable housing opportunities. After the RFP process is complete, staff will present the selected proposal to the Authority’s Governing Board for review and approval.
IMPACT ON BUDGET:
There are sufficient funds in the Housing & Community Development Department’s FY 2022 budget to acquire the property out of the Low and Moderate Income Housing Asset Fund. The grant award received from the State’s General Fund Allocation, restricted for affordable housing, provides funding for the acquisition.
Respectfully submitted,
Grace Ruiz-Stepter
Director of Housing &
Community Development
Attachment:
1. Cooperation Agreement (State General Fund Allocation)