HERCULES CITY COUNCIL
RESOLUTION NO. 26-____
A Resolution of THE CITY COUNCIL OF THE CITY OF HERCULES APPROVING A COMMITMENT LETTER TO SATELLITE AFFORDABLE HOUSING ASSOCIATES (SAHA) FOR FUNDING AN APPROXIMATELY 100 UNIT AFFORDABLE HOUSING PROJECT WHEREAS, the City of Hercules (“City”) issued a Notice of Funding Availability for Affordable Housing Development dated October 1, 2025 inviting proposals to receive up to $5 million in funding from the City’s Low- and Moderate-Income Housing Asset Fund (“Housing Asset Fund”); and WHEREAS, the City Council approved allocating $2.5 million to Satellite Affordable Housing Associates (“SAHA”) and $2.5 million to Eden Housing at a special meeting on July 28, 2026; and WHEREAS, City staff and SAHA have negotiated a commitment letter outlining initial terms for a $2.5 million predevelopment and construction loan for a proposed approximately 100-unit affordable housing project at Sycamore Crossing; and WHEREAS, the commitment letter and associated Housing Asset Funds will be used to leverage additional county, state, and/or federal funds to finance the construction of new affordable housing in Hercules.
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Hercules as follows:
The City Council hereby authorizes the City Manager to execute a commitment letter with SAHA in substantially the form attached hereto as Exhibit 1, committing $2.5 million in Housing Asset Funds for a proposed approximately 100-unit affordable housing project.
The City Council authorizes the City Manager and/or his or her designee to negotiate and execute loan documents that are consistent with the terms of the commitment letter.
The foregoing Resolution was duly and regularly adopted at a regular meeting of the City Council of the City of Hercules held on the 22nd of September 2026, by the following vote of the City Council:
AYES:
NOES:
ABSTAIN:
ABSENT:
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Chris Kelley, Mayor
ATTEST:
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Eibleis Melendez, City Clerk
Exhibits:
Exhibit 1 – Commitment Letter
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