RESOLUTION NO. ____ _
A RESOLUTION OF THE COUNCIL OF THE CITY OF
FRESNO, CALIFORNIA, FINDING GOOD CAUSE AND
CLEAR AND CONVINCING BENEFIT TO THE PUBLIC TO
ALLOW A PURCHASE OPTION ON SUBJECT PROPERTY
FOR MORE THAN FIVE YEARS WITHOUT A REQUEST
FOR PROPOSAL PROCESS, ALLOW CLOSE OF ESCROW
ON THE SUBJECT PROPERTY TO EXTEND BEYOND 12
MONTHS OF COUNCIL APPROVAL, AND ALLOW THE
REMOVAL OF A REVERTER CLAUSE; AND FINDING
SUBSTANTIAL COMMUNITY BENEFITS TO JUSTIFY A
SALES PRICE LESS THAN FAIR MARKET VALUE
PURSUANT TO FRESNO MUNICIPAL CODE SECTION 4-
204 RELATING TO THE DISPOSITION OF REAL
PROPERTY COMMONLY KNOWN AS 959 N. PARKWAY
DRIVE, FRESNO, CA (APN 449-324-11)
WHEREAS, the City of Fresno (City) owns a sixty-five-room facility located at 959 N. Parkway Drive, Fresno, California, (APN 449-324-11) (Subject Property) to be used as emergency temporary housing until it can be disposed of and developed for permanent affordable and/or mixed income housing; and
WHEREAS, the City acquired the Subject Property by Assignment of a Purchase and Sale Agreement between the owner and the Fresno Housing Authority (FHA) for a purchase price of $3,234,000 which was later appraised by Gregg J. Palmer of James G.
Palmer Appraisals Inc., in May 2021, with a total appraised value of $4,000,000; and WHEREAS, in order to address the City's critical interest in encouraging the development of permanent affordable housing, the City determined Fresno Housing Authority (FHA) would be granted a Purchase Option on the Subject Property in the amount of $1,000 for the sole purpose of developing permanent affordable and/or mixed income housing that may be exercised within a twelve-year period, starting three years 1 of 4
Date Adopted:
Date Approved: (f;:
Effective Date:
City Attorney Approval: 1'I'\ ) Resolution No. ----
after the City's close of escrow on the Subject Property; and WHEREAS, the price is justified and would provide substantial community benefits by the development of additional affordable and/or mixed income housing; and WHEREAS, the City has a significant interest in facilitating affordable and/or mixed income housing developments whenever possible; and
WHEREAS, there have been challenges over the years to the community and to the City in revitalizing Parkway Drive; and
WHEREAS, FHA is the community's most experienced and highest capacity developer of affordable housing and shares the City's objective to provide affordable housing; and
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Fresno as follows:
1. The Council hereby makes the following findings to vary from the provisions contained within FMC 4-204 in the event FHA chooses to exercise its Purchase Option.
2. The Council hereby makes findings that there is good cause and clear and convincing benefit to the public to allow FHA's Purchase Option involving the Subject Property for a period exceeding five years without a Request for Proposal process, pursuant to FMC 4-204(a).
3. The Council hereby makes findings that there is good cause and clear and convincing benefit to the public to allow close of escrow on the Option Agreement to extend beyond 12 months from the date of Council approval, pursuant to FMC 4- 204(d)(1 ).
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