RESOLUTION NO. _____
Resolution Of The City Council Of The City Of Emeryville Authorizing The City Manager To Commit To A Permanent Financing Development Loan In An Amount Not To Exceed $12,757,855 Between The City Of Emeryville And EAH Inc., A California Nonprofit Public Benefit Corporation, For The Development Of Affordable Housing At 4300 San Pablo Avenue And To Authorize The City Manager To Execute The Second Amendment To The Lease Disposition And Development Agreement By And Between The City Of Emeryville And EAH, Inc. For 4300 San Pablo Avenue (CEQA Determination: Exempt Pursuant To California Government Code Section 8698.4(a)(4) And State CEQA Guidelines Sections 15268(a), 15269(c), 15332, And 15061(b)(3))
WHEREAS, on September 6, 2022, the City Council of the City of Emeryville (“City”) adopted Ordinance No. 22-007 authorizing the City Manager to execute a Lease Disposition and Development Agreement (“Agreement”) and Ground Lease with EAH Inc. (“Developer”) to develop 4300 San Pablo Avenue (collectively herein referred to as the “Site”) and on October 26, 2022, the Agreement was executed; and WHEREAS, the Developer requested that the zoning approvals be processed under Senate Bill (“SB”) 35, and on December 5, 2022, the Community Development Director approved the Developer’s application for a five-story building with 67 affordable residential units and one resident manager’s unit, with ground floor amenity space at the Site (the “Project”); and
WHEREAS, the Agreement restricts 67 units to households with incomes between 20% of the Area Median Income (“AMI”) and 60% AMI, with no more than 51% of the units serving households at 30% AMI; and
WHEREAS, on March 2, 2021, the City Council adopted Resolution No. 21-013, approving the Affordable Housing Bond Expenditure and Administration Plan, which committed $2,519,198 the City’s allocation of Alameda County A-1 Bond funds to the Project, which funds require 20% of the units to serve households at 20% AMI; and WHEREAS, Developer has been awaiting the release of Project Based Vouchers (“PBV”) to support the 20% AMI units for the past two years, and has been informed by the Housing Authority of Alameda County that PBV will not be available for a third year; and WHEREAS, the inability to obtain PBV makes it infeasible for the project to serve households at 20% AMI thereby jeopardizing the ability to utilize the $2,519,198 in Alameda County A-1 Bond funds; and
WHEREAS, changes in State funding guidelines and increasing project costs over the past two years have created a financing shortfall for the Project in the amount $10,238,657; and
Docusign Envelope ID: 73FE9946-1CDC-45D0-AB52-0E32CBB20DF9 Resolution No. _____
4300 San Pablo LDDA & Loan Commitment
City Council Meeting | April 1, 2025
WHEREAS, in consideration of the inability to use Alameda County A-1 Bond funds, the changes in State funding guidelines, and increasing project costs, the Project currently faces a total shortfall of $12,757,588; and
WHEREAS, Developer is requesting a financial commitment of $12,757,588 from the City in support of its application for Multifamily Housing Program funds under Round 3 of the California Multifamily Finance SuperNOFA Program, due April 15, 2025; now, therefore, be it
RESOLVED, that the City Council of the City of Emeryville hereby authorizes the City Manager to execute a commitment letter in an amount not to exceed $12,757,855 to be used for the development of the Project, in substantial form attached hereto as Exhibit A, together with such further revisions as may be agreed to by the City Manager and City Attorney which do not materially increase the obligations of the City thereunder; and be it further
RESOLVED, that the City Council of the City of Emeryville hereby authorizes the City Manager to execute the Second Amendment of Lease Disposition and Development Agreement between the City and EAH, Inc. for 4300 San Pablo Avenue to amend the scope of development to restrict the units to households between 30% AMI and 60% AMI, with no more than 14 units serving households at 30% AMI, in substantial form as attached hereto as Exhibit B.
Docusign Envelope ID: 73FE9946-1CDC-45D0-AB52-0E32CBB20DF9 Resolution No. _____
4300 San Pablo LDDA & Loan Commitment
City Council Meeting | April 1, 2025
ADOPTED, by the City Council of the City of Emeryville at a regular meeting held Tuesday, April 1, 2025, by the following vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
MAYOR
ATTEST: APPROVED AS TO FORM:
CITY CLERK CITY ATTORNEY
ATTACHMENTS
Exhibit A – Letter of Financing Commitment
Exhibit B – Second Amendment to Land Disposition and Development Agreement Docusign Envelope ID: 73FE9946-1CDC-45D0-AB52-0E32CBB20DF9