RESOLUTION NO. (XX)
RESOLUTION OF THE COUNCIL OF THE CITY OF COTATI APPROVING THE
DISPOSITION AND DEVELOPMENT AGREEMENT WITH FREEBIRD
DEVELOPMENT COMPANY, LLC FOR AN AFFORDABLE HOUSING PROJECT AT 120 EAST COTATI AVENUE, COTATI
WHEREAS, the City is the owner of three parcels of real property in the City of Cotati, legally described per Map recorded June 7, 1983, in Book 10, Pages 8 of Official Records, County of Sonoma, State of California, APNs 144-274-014, 144-274-015, and 144-274-002 (the “Property”); and
WHEREAS, on February 13, 2024, the Council of the City of Cotati, by resolution, declared the Property “Exempt Surplus Land” in accordance with the terms, requirements, and provisions of the Surplus Land Act as that term is defined in California Government Code Section 54221(f)(1)(A) or 54221(f)(1)(F), making findings and justifications that the purchaser will be required to develop a project that is consistent with either Government Code Section 54221(f)(1)(A) or 54221(f)(1)(F); and
WHEREAS, a copy of the resolution declaring the Property “Exempt Surplus Land” was sent to the California Department of Housing and Community Development in accordance with the requirements of Section 400(e) of the Surplus Land Act Guidelines (April 2021), and the Guide to Exemptions from the Standard Surplus Land Act Process for Local Agencies issued by the California Department of Housing and Community Development (July 2022); and WHEREAS, development of the Property was put out for competitive bid on March 21, 2024 through a Request for Qualifications (RFQ) process with invitations to participate being sent to all known entities (over 170 individuals and firms) as identified in GC 54222, through which Freebird Development LLC (“Freebird” or “Developer”) was the chosen partners with which to develop the Property; and
WHEREAS, the affordable housing project on the Property, includes parking and related improvements (collectively, the “Project” or “Improvements”); and WHEREAS, the City and Developer entered into an Exclusive Negotiating Rights Agreement dated July 20, 2024 (the “ENRA”), to negotiate and prepare a Disposition and Development Agreement (“Agreement”), which supersedes the ENRA upon execution; and WHEREAS, the Developer and City conducted public workshops on September 18 and November 20, 2024, followed by an initial presentation to the City Council on December 10, 2024; and
WHEREAS, based on feedback from the initial public workshops and City Council presentation, the Developer presented the proposed Project to the Planning Commission on August 18, 2025 and then the City Council on August 26, 2025; and WHEREAS, the Project will consist of a three-story mixed-use affordable housing development with approximately forty-four (44) rental units, including one (1) manager’s unit and approximately forty-three (43) affordable rental units subject to a City Regulatory Agreement substantially in the form attached to this Agreement; and WHEREAS, the Project is also anticipated to include on-site parking, and indoor amenity space including a community room, a lobby, laundry facilities and a property management office. Commercial space on the ground floor fronting onto La Plaza and East Cotati Avenue is also desired. Outdoor recreation areas are anticipated to include one or more courtyards, with pedestrian and bike infrastructure anticipated to be included along the Project frontage; and
WHEREAS, the Regulatory Agreement will restrict all units (except the manager’s unit) to households earning up to 80% of area median income for Sonoma County, California, adjusted for actual household size, as determined by the U.S. Department of Housing and Urban Development pursuant to Section 8 of the United States Housing Act of 1937 and as published from time to time by the State of California Department of Housing and Community Development in Section 6932 of Title 25 of the California Code of Regulations; and WHEREAS, the Parties wish to enter into the Agreement to set forth the terms and conditions relating to City’s disposition of the City Property to the Developer and the Developer’s obligation to construct and operate the Project consistent with the terms of the Agreement; and
WHEREAS, the Project aligns with the City’s General Plan and housing goals, enhancing the supply of affordable housing in Cotati.; and WHEREAS, the Project is exempt from CEQA review pursuant to Government Code Section 65651(a), as established by AB 2162, which designates qualifying supportive housing projects as a use by right in zones where multifamily and mixed-use developments are permitted.
As such, the project is subject to a ministerial approval process. According to CEQA Guidelines Section 15268(a), ministerial projects are exempt from CEQA requirements. The Project qualifies as supportive housing under Government Code Section 65651(a)(3), as it includes at least 12 units restricted to residents requiring supportive services. Although the Project is exempt from CEQA review, the City examined the site extensively between 2017 and 2023 and approved a prior project in 2021 with the same or similar potential impacts to the environment as the Project. The prior CEQA analysis described the Project and its environmental setting, including the Project site’s existing conditions and applicable regulatory requirements, and provided an assessment of the Project’s consistency with the City of Cotati General Plan. All adopted mitigating General Plan policies and mitigation measures identified in the 2013 General Plan Environmental Impact Report (EIR) (SCH No. 2013082037) that may apply to the Project are identified in the analysis and may be imposed as environmental conditions of approval for the Project within the Agreement.
NOW THEREFORE BE IT RESOLVED, that the City Council of the City of Cotati hereby:
1. Finds the above recitals are true and correct and are incorporated into the findings herein.
2. Authorizes the City Manager to execute the Agreement with Freebird with any amendments that do not materially increase the City’s obligations, subject to approval as to form by the City Attorney.
3. Approves the form of the Regulatory Agreement, with any amendments that do not materially increase the City’s obligations, subject to approval as to form by the City Attorney.
4. Approves the Conditions of Approval, subject to consolidation and removal of duplicative requirements.
IT IS HEREBY CERTIFIED that the foregoing resolution was duly adopted at a regular meeting of the City Council of the City of Cotati held on January 27, 2026, by the following vote, to wit:
Approved:___________________________
Mayor
Attest:______________________________
Kevin Patterson, City Clerk
Approved as to form:______________________________
City Attorney