Resolution 2024-XX Page 1 of 2
RESOLUTION NO. 2024-XX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
FREMONT AUTHORIZING A LO AN IN THE AMOUNT OF
$12,850,000 TO USA PROPERTIES FUND, INC. FOR PHASE 1 OF
CENTERVILLE STATION APARTMENTS, AN AFFORDABLE
HOUSING DEVELOPMENT LOCA TED AT 37440-37482 FREMONT
BOULEVARD AND MAKING FINDINGS OF CEQA EXEMPTION
WHEREAS, on August 11, 2023, the City issued a Notice of Funding Availability (NOFA) requesting proposals for new affordable housing projects; and
WHEREAS, USA Properties Fund, Inc. submitted a proposal for a 312-unit affordable development to be located at 37358-37482 Fremont Boulevard; and
WHEREAS, USA Properties Fund, Inc. proposed the project as two phases which can be built independently of one another, with the Phase 1 project located at 37440-37482 to be 150 units; and
WHEREAS, the Phase 1 project would provide units with a range of affordability for extremely low-income to very low-income households, including 15 units at less than 30% AMI, 30 units at 50% AMI, 40 units at 60% AMI, 53 units at 70% AMI and 11 units at 80% AMI, with one manager’s unit; and
WHEREAS, the Phase 1 unit mix includes 83 one-bedroom, 53 two-bedroom and 14 three-bedroom units; and
WHEREAS, an evaluation team of City staff and an outside financial consultant, after reviewing all proposals received and interviewing the development teams, determined that the project is financially feasible, meets the criteria outlined in the NOFA and merits funding; and
WHEREAS, USA Properties Fund, Inc. is an experienced affordable housing developer with demonstrated success in leveraging City funding to secure additional funding; and
WHEREAS, projects seeking the City’s NOFA funding are too speculative for meaningful CEQA analysis at this time, and where the City is providing funding prior to preparation of site- specific CEQA analysis, they are exempt as feasibility and planning studies; and
WHEREAS, during its entitlement stage, the project will be individually reviewed for environmental impacts in accordance with CEQA guidelines.
NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF FREMONT HEREBY:
SECTION 1. Finds that the above recitals are true and correct and have served, together with the staff report, as the basis for the findings and approvals set forth herein.
Resolution 2024-XX Page 2 of 2
SECTION 2. Finds this action to be exempt from the California Environmental Quality Act (CEQA) pursuant to, without limitation, CEQA Guidelines Section 15061(b)(3) and/or 15378(b)(2), (4) and/or (5), and Section 15262 Feasibility and Planning Studies, each as a separate and independent basis, in that it is a governmental fiscal or administrative action which will have no potential to adversely affect the environment, directly or indirectly.
SECTION 3. Authorizes the City Manager or her designee to execute an acquisition loan agreement and related documents and take such other actions as required to provide a loan in the amount of $12,850,000, in the form of a 55-year loan at a rate of 3% simple interest.
SECTION 4. Appropriates $8,850,000 for the project from Fund 196 (affordable housing fees) and $4,000,000 for the project from Fund 111 (Low Moderate Income Housing Asset Fund).
ADOPTED ______________, 2024, by the City Council of the City of Fremont by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
_________________________________
Ma
yor
ATTEST:
__________________________________
City Clerk
APPROVED AS TO FORM:
_________________________________
City Attorney