AGENDA
Tuesday, September 30, 2025 6:00 P.M. Open Session
SPECIAL MEETING
CITY COUNCIL, MARINA ABRAMS B NON-PROFIT CORPORATION, PRESTON
PARK SUSTAINABLE COMMUNITY NON-PROFIT CORPORATION
THIS MEETING WILL BE HELD IN PERSON AND VIRTUALLY (HYBRID).
Council Chambers
211 Hillcrest Avenue
Marina, California
AND
Zoom Meeting URL: https://zoom.us/j/730251556
Zoom Meeting Telephone Only Participation: 1-669-900-9128 - Webinar ID: 730 251 556
PARTICIPATION
You may participate in the City Council meeting in person or in real-time by calling Zoom Meeting via the weblink and phone number provided at the top of this agenda. Instructions on how to access, view and participate in remote meetings are provided by visiting the City’s home page at https://cityofmarina.org/. Attendees can make oral comments during the meeting by using the “Raise Your Hand” feature in the webinar or by pressing *9 on your telephone keypad if joining by phone only.
The most effective method of communication with the City Council is by sending an email to [email protected] Comments will be reviewed and distributed before the meeting if received by 5:00 p.m. on the day of the meeting. All comments received will become part of the record.
Council will have the option to modify their action on items based on comments received.
AGENDA MATERIALS
Agenda materials, staff reports and background information related to regular agenda items are available on the City of Marina’s website www.cityofmarina.org. Materials related to an item on this agenda submitted to the Council after distribution of the agenda packet will be made available on the City of Marina website www.cityofmarina.org subject to City staff’s ability to post the documents before the meeting.
VISION STATEMENT
Marina will grow and mature from a small town bedroom community to a small city which is diversified, vibrant and through positive relationships with regional agencies, self -sufficient. The City will develop in a way that insulates it from the negative impacts of urban sprawl to become a desirable residential and business community in a natural setting. (Resolution No. 2006-112 - May 2, 2006)
Agenda for Special City Council Meeting of Tuesday, September 30, 2025 Page 2
MISSION STATEMENT
The City Council will provide the leadership in protecting Marina’s natural setting while developing the City in a way that provides a balance of housing, jobs and business opportunities that will result in a community characterized by a desirable quality of life, including recreation and cultural opportunities, a safe environment and an economic viability that supports a high level of municipal services and infrastructure. (Resolution No. 2006-112 - May 2, 2006)
LAND ACKNOWLEDGEMENT
The City recognizes that it was founded and is built upon the traditional homelands and villages first inhabited by the Indigenous Peoples of this region - the Esselen and their ancestors and allies - and honors these members of the community, both past and present.
1. CALL TO ORDER
2. ROLL CALL & ESTABLISHMENT OF QUORUM: (City Council, Airport Commissioners, Marina Abrams B Non -Profit Corporation, Preston Park Sustainable Communities Nonprofit Corporation, Successor Agency of the Former Redevelopment Agency Members and Marina Groundwater Sustainability Agency)
Jenny McAdams, Brian McCarthy, Kathy Biala, Mayor Pro-Tem/Vice Chair Liesbeth Visscher, Mayor/Chair Bruce C. Delgado
3. MOMENT OF SILENCE & PLEDGE OF ALLEGIANCE (Please stand)
4. CITY COUNCIL REVIEW AND DISCUSS ADOPTED 2010 POLICY ON
MARKETPLACE RENTS FOR PRESTON AND ABRAMS PARK
a. Receive rental market study data, facility reserve information, and an update on Preston Park Loan Refinancing Alternatives; and provide directions to staff
5. ADJOURNMENT:
CERTIFICATION
I, Anita Sharp, Deputy City Clerk, of the City of Marina, do hereby certify that a copy of the foregoing agenda was posted at City Hall and Council Chambers Bulletin Board at 211 Hillcrest Avenue, Monterey County Library Marina Branch at 190 Seaside Circle, City Bulletin Board at the corner of Reservation Road and Del Monte Boulevard on or before 7:00 p.m., Friday, September 26, 2025.
___________________________________
ANITA SHARP, DEPUTY CITY CLERK
City Council, Airport Commission and Redevelopment Agency meetings are recorded on tape and available for public review and listening at the Office of the City Clerk and kept for a period of 90 days after the formal approval of MINUTES.
City Council meetings may be viewed live on the meeting night and at 12:30 p.m. and 3:00 p.m. on Cable Channel 25 on the Sunday following the Regular City Council meeting date. In addition, Council meetings can be viewed at 6:30 p.m. every Monday, Tuesday and Wednesday. For more information about viewing the Council Meetings on Channel 25, you may contact Access Monterey Peninsula directly at 831-333-1267.
Agenda for Special City Council Meeting of Tuesday, September 30, 2025 Page 3
Agenda items and staff reports are public record and are available for public review on the City's website (www.ciytofmarina.org), at the Monterey County Marina Library Branch at 190 Seaside Circle and at the Office of the City Clerk at 211 Hillcrest Avenue, Marina between the hours of 10:00 a.m. 5:00 p.m., on the Monday preceding the meeting.
Supplemental materials received after the close of the final agenda and through noon on the day of the scheduled meeting will be available for public review at the City Clerk’s Office during regular office hours and in a ‘Supplemental Binder’ at the meeting.
ALL MEETINGS ARE OPEN TO THE PUBLIC. THE CITY OF MARINA DOES NOT DISCRIMINATE AGAINST PERSONS WITH DISABILITIES. Council Chambers are wheelchair accessible. Meetings are broadcast on cable channel 25 and recordings of meetings can be provided upon request. To request assistive listening devices, sign language interpreters, readers, large print agendas or other accommodations, please call (831) 884 -1278 or e -mail:
[email protected]. Requests must be made at least 48 hours in advance of the meeting.
September 24, 2025 Item No. 4a
Honorable Mayor and Members City Council Meeting
of the Marina City Council of September 30, 2025
Chair and Board Members of Corporation Board Meeting
Abrams B Non-Profit Corporation of September 30, 2025
Chair and Board Members of Corporation Board Meeting
Preston Park Sustainable Community Non-Profit Corporation of September 30, 2025
CITY COUNCIL OF THE CITY OF MARINA, ABRAMS B NON -PROFIT
CORPORATION, AND PRESTON PARK SUSTAINABLE COMMUNITY NPC BOARD REVIEW AND DISCUSS ADOPTED 2010 POLICY ON MARKETPLACE RENTS FOR PRESTON AND ABRAMS PARK; RECEIVE RENTAL MARKET
STUDY DATA, FACILITY RESERVE INFORMATION, AND AN UPDATE ON PRESTON PARK LOAN REFINANCING ALTERNATIVES; AND PROVIDE
DIRECTION TO STAFF
REQUEST: It is requested that the City Council and Boards:
1. Review and discuss adopted 2010 Policy on Marketplace Rents for Preston and Abrams Park; receive Rental Market Study Data, Facility Reserve information, and an update on Preston Park Loan Refinancing alternatives; and
2. Provide directions to staff.
BACKGROUND:
The City of Marina owns the Abrams Park and Preston Park housing communities. Abrams Park consists of 194 housing units and is located at 2960 Carpenter Court in Marina. Preston Park consists of 354 apartment units and is located at 682 Wahl Court in Marina. The properties are managed by Greystar Worldwide, LLC. A brief overview of each property and tenant information is presented IN EXHIBITS A AND B. The City’s General Fund currently receives approximately $670,000 in revenues from Abrams Park, after debt service and escrow costs; and $2 million from Preston Park. The City is currently meeting its adjusted affordable housing requirements of 111 units, with 116 units at various affordability levels.
The City recently worked with Greystar to conduct an asset management reserve study. The draft study included a detailed list of assets, expected useful life, replacement schedule, and estimated costs. Summaries are presented in EXHIBIT C AND D. City staff met with Greystar and the consultant to review the proposed replacement schedule and the amount needed to sustain the properties. Preliminary information suggests that Preston Park would need to contribute $1.8 million, which is approximately $700,000 greater than the most recent average budgeted amounts; and Abrams Park would need to contribute $ 1.3 million , which would require approximately $605,000 in additional funds.
Additional pressure on the Preston Park property includes potential higher refinancing costs, as the $36 million interest-only debt matures on February 1, 2026. Approximately $13 million has been set aside to assist in servicing the loan; however, the remaining balance will need to be refinanced. Abrams Park has recently had challenges in funding capital improvements and has needed to drawdown restricted capital reserves to assist with projects. The balance as of July 31, 2025, was approximately $7 37,000; however all funding for the Fiscal Year 2025/26 capital improvements have not been distributed from the account. An overview of these challenges will be presented at the meeting, along with potential optional solutions. 1 ANALYSIS:
Market Rent Formula for Move-Ins and In-Place Rent Adjustment Policy In 2010, the City Council adopted Resolution 2010-87 approving long -term formulas for calculating and establishing market rents at Abrams and Preston Park. This included a market rent formula to adjust new tenant rents to market levels; and a rent increase cap for “in -place” tenants at the lesser of three percent or the Department of Labo r’s Consumer Price Index for San Francisco (“Rent Cap Policy”) (EXHIBIT E). The agenda report for the Rent Cap Policy stated that, over time, a spread could result between current market rents and rents charged to long-term or “in-place” tenants. This variance could result from the CPI being reflective of consumer price increases, while there could be variances associated with housing costs that are not accounted for in CPI.
To assist in evaluating the City’s current practices, a local property management firm was retained to review comparable property listings and provide insight into current market and in-place rents.
A copy of the report s is included in EXHIBITS F AND G . The report contrasts the market median, with recommended rents and the average in-place rent for each property. The amount of rent pricing for new tenants compared to current rates for new tenants and various market sources are provided for reference. Additional information that was reviewed, included market data from HelloData.ai, an automated market analysis platform for multifamily rental units , which was provided by Greystar’s property management.
Abrams/Preston New
Tenant Rent Rates
36o N Properties
Study Recommended
Rents
HelloData.ai (1)
Two Bedroom $ 2,350 - $ 2,675 $ 2,400 - $ 2,750 $2,806
Three Bedroom $ 2,800 - $ 3,000 $ 3,000 - $ 3,400 $3,698 Four Bedroom $ 3,225 - $ 3,450 $ 2,950 - $ 3,950 No comparable units (1) Represents August 2025 average rent data and omits a two-bedroom Santa Cruz property; the average market rent with the Santa Cruz property was $2,943. There were only two comparable three-bedroom properties listed in HelloData.ai
It should be noted that when reviewing the comparable rents for three- and four-bedroom units, the market rent may vary due to limited comparable properties, and individual adjustments to single family home rents, to allow for comparability.
The report also concluded that average in -place rents were quite lower than the market average.
This potential trend was initially noted in the original 2010 agenda report for the Rent Cap Policy.
Based on the July 31, 2025 rent roll and the Abrams/Preston new tenant rates, the average in-place tenant rent was approximately 78% of the average determined market amount, with variations for the rent levels. Should the Council consider incremental increases to the in-place rents at Preston Park and Abrams Park, a sample calculation of the increase to the tenant, based on the average in- place rent with an estimated CPI of 3% and varying levels of incremental increases are provided below.
Estimated Increase to In-Place Tenant based on Average Monthly Rent of $2,055 Incremental
Percent
Incremental
Dollar
Amount Attributed
to CPI at 3%
Total Monthly Total Annual
1% $ 22 $ 67 $ 90 $ 1,080 2% $ 45 $ 67 $ 112 $ 1,350 3% $ 67 $ 67 $ 135 $ 1,620
2 As an example, a 1% incremental increase in rents and an estimated CPI increase of 3% would yield the following for each property:
• Abrams Park: The incremental 1% increase would yield $31,000, while the CPI adjustment would provide $93,000 in revenues, for a total estimated annual increase of $124,000.
• Preston Park: The incremental 1% increase would yield $75,000, while the CPI adjustment would provide $225,000 for a total estimated annual increase of $300,000.
Preston Park Loan Refinancing
The debt service on the Preston Park Loan is approximately $1.5 million annually; however, it is an interest-only loan and no payments are applied towards the principal. The City has set aside $13 million to pay down a portion of the $36 million remaining balance, however it has been mentioned that some of these funds could be leveraged to help fund new City facilities.
The City has initially met with a municipal advisor to begin reviewing options to refinance the repayment of the loan, which include a traditional principal and interest payment. A preliminary overview is provided below, with different assumptions for applying the $13 million to pay down the debt. This information is provided for budgetary purposes only , with m ore detailed information provided at a later meeting.
$ 23 Million
(Assumes $13 million to Loan)
10-Year 20-Year 30-Year
Annual Debt Service $1.4 million $1.6 million $1.6 million Amount Due at Term $18.6 million $12.8 million $1.4 million Refinancing Needed at Term Yes Yes No
$ 29.5 Million
(Assumes $6.5 million to loan and City facilities)
10-Year 20-Year 30-Year
Annual Debt Service $1.8 million $2.0 million $2.1 million Amount Due at Loan Term $23.9 million 16.4 million $1.8 million Refinancing Needed at Term Yes Yes No
$ 36 Million
(Assumes $13 million to City facilities)
10-Year 20-Year 30-Year
Annual Debt Service $2.2 million $2.5 million $2.6 million Balance at Term (Balloon Payment) $29.1 million $20.1 million $2.2 million Refinancing Needed at Term Yes Yes No
Potential Funding Scenarios
There are multiple ways to assist with planning for the new debt service and funding capital reserves, this could include the following considerations:
• Rebalancing the General Fund distribution to reflect the proportional share of BMR units carried by Abrams and Preston Park
• Exploring different levels of refinancing the Preston Park Loan • Revisiting the City’s policy on market and rent increases at both properties , including potential incremental increases on rents that are below a certain percentage of market • Taking a phased -in approach to implementing the reserve funding policy , with initial funding at a percentage of the stated amount
3 The attached exhibits can be used just as a starting point to discussions, and includes a potential hybrid or approach to implementing the new reserve requirements, as well as paying for a mid - level of debt service on the Preston Park Loan (EXHIBITS H AND I). This information should just be used for illustration purposes, and does not reflect a specific staff recommendation.
FISCAL IMPACT:
There is no fiscal impact. This report is for informational purposes. Any recommendations or additional stu dy items that result in a fiscal impact will be brought back to City Council for consideration and approval.
CONCLUSION:
This report is submitted for City Council consideration and possible action.
__________________________
Tori Hannah
Finance Director
City of Marina
4 (1) Represents July 31, 2025 Rent Roll (2) The amount represents debt interest, principal, loan service and credit fees; trustee fees, and required replacement reserves of approximately $111,800
Abrams Park Profile
27 21
8 2
6 0
5 10
15 20
25 30
$1,426-$1,640 $1,641-$1,855 $1,856-$2,070 $2,071-$2,285 $2,286-$2,500 Distribution of Rents: Two Bedroom Units
Average Rent: $1,729
Current Rental Rate for New Tenants: $2,350-$2,500
22 26
6 4 2 2
0 5
10 15
20 25
30 $1,971-$2,220 $2,221-$2,470 $2,471-$2,720 $2,721-$2,970 $2,971-$3,220 $3,221-$3,226 Distribution of Rents: Four Bedroom Units
Average Rent: $2,394
Curent Rental Rate for New Tenants: $3,225 - $3,450
Number of Units
Office / Community Center -
Number of Below Market Units (1) 68
Number of Market Units 126
Total Units 194
Fiscal Year 25/26 Budget
Revenue $4,028,000
Operating Expenditures 1,532,000
Net Operating Difference $2,496,000
Capital/Renovations 1,073,000
Debt Service / Escrow Req. (2) 1,111,000
Distribution 670,000
Transfer-In from Reserves (1,073,000)
Projected Net Difference $715,000
Under 12 Mths
2%
1-3 Yrs
10%
3-5 Yrs
10%
5 – 10 Yrs
32%
More than
10 Yrs
46%
Tenant Time at Abrams
Current Occupancy Rate: 98.9%
Apt Sizes: 4 Models, from 1,000 to 1,800 sq. feet
EXHIBITA
5 Preston Park Profile
75 9
30 57
16 7
0 10
20 30
40 50
60 70
80 $1,311-$1,550 $1,551-$1,790 $1,791-$2,030 $2,031-$2,270 $2,271-$2,510 $2,511-$2,675 Distribution of Rents: Two Bedroom Market Rate Units
Average Rent: $1,861
Current Rental Rate for New Tenants: $2,375-$2,675
20 18 17
40 11
3 0
10 20
30 40
50 $1,811-$2,040 $2,041-$2,270 $2,271-$2,500 $2,501-$2,730 $2,731-$2,960 $2,961-$3,000 Distribution of Rents: Three Bedroom Market Rate Units Average Rent: $2,399
Current Rental Rate for New Tenants: $2,800-$3,000
Number of Units
Office / Community Center 2
Number of Below Market Units (1) 48
Number of Market Units 304
Total Units 354
Fiscal Year 25/26 Budget
Revenue $8,573,000
Operating Expenditures 2,199,000
Net Operating Difference $6,374,000
Capital/Renovations 1,077,000
Debt Service 1,541,000
Distribution 2,000,000
Other -
Projected Net Difference $1,756,000
Under 12
Mths
2%
1-3 Yrs
18%
3-5 Yrs
14%5 – 10 Yrs
23%
More than
10 Yrs
43%
Tenant Time in Unit
Current Occupancy Rate: 99.4%
Apt. Sizes: 4 Models, from, 1,100 – 1,572 square feet
EXHIBIT B
6 Asset/Project Useful Life 30-yr Value Annual Contribution Common Area
320 - Pole Light Fixtures - Replace 20 42,561$ 1,419$ 322 - Bollard Lights - Replace 25 39,472$ 1,316$
323 - Path Light Fixtures - Replace 25 51,407$ 1,714$ 329 - Path Light Poles - Replace 50 46,000$ 1,533$ 403 - Mailboxes - Replace 25 158,938$ 5,298$
1403 - Monument Signs - Replace 20 30,663$ 1,022$
1404 - Bulleting Boards - Replace 15 51,894$ 1,730$ Paved Surfaces
202 - Asphalt (Courts) - Overlay [*split over 2 yrs, reassess condition in 2030] 25 1,139,566$ 37,986$ 203 - Asphalt (Courts) - Slurry/Seal/Repair Pending (1) 2,016,236$ 67,208$ 203 - Asphalt (Preston) - Slurry/Seal/Repair Pending (1) 955,325$ 31,844$
205 - Concrete Walkways - Repair/Replace Pending (1) 933,446$ 31,115$ 206 - Concrete Driveways - Repair/Replace Pending (1)
2,100,253$ 70,008$
Fences
502 - Chain Link Fences - Replace [Repl/Repair Cost as needed, inflation rate applied of 3.5% annually and assess annually] 40 250,554$ 8,352$ Buildings
324 - Wall Lights - Replace [pushed out 15 yrs to 2040] 20 233,091$ 7,770$ 328 - Garage Lights - Replace 25 95,943$ 3,198$
701 - Entry Doors - Replace [cost to replace spread out on an annual basis starting in 2030] 40 1,484,846$ 49,495$
703 - Garage Doors - Replace [updated life span to 30 & 10, moved to yr 2035.
Assess condition during annual PPM] 30 496,633$ 16,554$ 1115 - Building Surfaces - Repair/Repaint [updated life span to 10 years remaining life. Cost to be spread out over 2 yr periods.] 10 6,308,161$ 210,272$ 1303 - Comp Shingle Roof - Replace 25 9,584,698$ 319,490$ 1312 - Gutters/Downspouts - Replace 25 751,880$ 25,063$ Mechanical/Systems
705 - Garage Door Operator - Replace 15 1,103,041$ 36,768$ 1811 - Plumbing - Replace/Reline/Repair [Full unit re-pipe, 6 units per year starting in 2029 includes permits & CM fees. Inflation factor applied at 3.5% annually] 35 6,371,955$ 212,399$
Recreation
400 - Park - Installation/Replacement 25 734,772$ 24,492$ 409 - Metal Benches/Trash Cans - Replace 20 76,658$ 2,555$ 1807 - Basketball Court - Remove & Replace 40 370,968$ 12,366$ Landscape & Irrigation
1001 - Backflow Devices - Replace 10 79,360$ 2,645$ 1006 - Irrgation System - Repair/Replace 5 220,376$ 7,346$ 1008 - Trees - Trim/Remove 3 610,727$ 20,358$
1009 - Landscaping - Replenish 5 361,442$ 12,048$
Rental Office Equipment
New Office Computers 2 35,000$ 1,167$
PRESTON PARK 30 YEAR RESERVE STUDY ANNUAL CAPITAL REPLACEMENT COST
EXHIBIT C
7 Asset/Project Useful Life 30-yr Value Annual Contribution PRESTON PARK 30 YEAR RESERVE STUDY ANNUAL CAPITAL REPLACEMENT COST Fleet
Maintenance Vehicles 5 125,000$ 4,167$
Interiors
Full Unit Renovations 10 5,247,000$ 174,900$
Occupied Unit Renovations 10 3,482,000$ 116,067$ Dishwasher 10 329,216$ 10,974$
Refrigerators 15 773,084$ 25,769$
Stove/Rangehood 15 1,050,321$ 35,011$
Garbage Disposal 10 132,871$ 4,429$
Hot Water Heaters 15 449,606$ 14,987$
Carpet 10 1,871,136$ 62,371$
Vinyl 10 2,060,052$ 68,668$
HVAC Furnace 15 1,980,000$ 66,000$
Fire Extinguishers 5 74,715$ 2,491$
Plumbing Repairs - Major (Washer Boxes) 30 549,000$ 18,300$ Total Contributions 54,859,868$ 1,828,662$
Annual Contribution Per Unit 154,971$ 5,166$ (1)Select number of units or measurements may be updated at different intervals over time, pending final useful life data in conjunction with intervals.
EXHIBIT C
8 Asset/Project Useful Life 30-yr Value Annual Contribution Common Area
320 - Pole Light Fixture - Replace 20 32,772$ 1,092$ 322 - Bollard Lights - Replace 25 30,393$ 1,013$
323 - Path Light Fixtures - Replace 25 6,606$ 220$
329 - Path Light Poles - Replace 50 6,000$ 200$
403 - Mailboxes - Replace 25 101,684$ 3,389$
409 - Metal Benches/Trash Cans - Replace 20 15,580$ 519$ 1403 - Monument Signs - Replace 20 28,061$ 935$
1404 - Bulletin Boards - Replace 15 34,251$ 1,142$
Paved Surfaces
202 - Asphalt (Brostrom) - Overlay 25 318,800$ 10,627$ 202 - Asphalt (Courts) - Overlay 25 886,985$ 29,566$ 203 - Asphalt (Brostrom) - Seal/Repair Pending (1)
1,393,182$ 46,439$
203 - Asphalt (Courts) - Seal/Repair Pending (1)
1,522,932$ 50,764$
205 - Concrete Walkways - Repair Pending (1)
643,493$ 21,450$
206 - Concrete Driveways - Repair Pending (1)
1,546,386$ 51,546$
Fences/Gates
502 - Chain Link Fencing - Replace [Repl/Repair Cost as needed, inflation rate applied of 3.5% annually and assess annually] 40 248,554$ 8,285$
505 - Wood Fencing - Replace [Fence separating our property from Seahaven] 20 17,849$ 595$ Buildings
101 - Balcony & Deck - Inspection [SB721 or E3 Balocny Inspections, actual cost with 3.5% inflation added] 6 27,549$ 918$
106 - Balconies - Replace/Rebuild [4 yr project starting in 2040] 25 1,573,547$ 52,452$ 110 - Entry Landings - Reseal/Repair 5 351,274$ 11,709$ 111 - Entry Landings - Repair/Rebuild [2yr project starting in 2030] 30 440,524$ 14,684$ 112 - Entry Landing Railings - Replace [2yr project starting in 2030] 30 133,317$ 4,444$ 114 - Entry Stair Railing - Replace [2yr project starting in 2030] 30 78,831$ 2,628$ 115 - Entry Stairs/Stringers - Replace [4yr project starting in 2030] 30 1,026,537$ 34,218$ 324 - Wall Lights - Replace [Allocation in 2025 - next allocation in yr 2040] 20 160,350$ 5,345$ 332 - Address Lights - Replace [pushed out to yr 2034, added 3.5% annual inflation factor] 25 70,506$ 2,350$ 701 - Exterior Doors - Replace [cost to replace spread out on an annual basis starting in 2030.
Added annual inflation factor of 3.5%] 40 682,000$ 22,733$ 703 - Garage Doors - Replace [pushed out to yr 2034, added 3.5% annual inflation factor] 30 450,870$ 15,029$ 712 - Sliding Glass Doors - Replace [2 yr project] 30 1,381,893$ 46,063$ 1115 - Building Surfaces - Repair/Repaint [2 yr project] 10 3,409,102$ 113,637$ 1303 - Comp Shingle Roof - Replace 25 6,017,963$ 200,599$ 1312 - Gutters/Downspouts - Replace 25 552,670$ 18,422$ Mechanical Systems
1811 - Plumbing - Replace/Reline/Repair [Full unit re-pipe, 4 units per year starting in 2031 includes permits & CM fees. Inflation factor applied at 3.5% annually] 35 4,038,720$ 134,624$ Landscape
1001 - Backflow Devices - Replace 10 41,500$ 1,383$ 1006 - Irrigation System - Repair/Replace 5 202,124$ 6,737$ 1008 - Trees - Trim/Remove 3 374,323$ 12,477$
1009 - Landscaping - Replenish 5 255,709$ 8,524$
Special Projects
Parking Expansion (Ingman Lot) 40 -$ -$
Rental Office Equipment
New Office Computers 2 to 3 35,000$ 1,167$
ABRAMS PARK 30 YEAR RESERVE STUDY ANNUAL CAPITAL REPLACEMENT COST
EXHIBIT D
9 Asset/Project Useful Life 30-yr Value Annual Contribution ABRAMS PARK 30 YEAR RESERVE STUDY ANNUAL CAPITAL REPLACEMENT COST Fleet
Maintenance Vehicles 5 48,000$ 1,600$
Interiors
Dishwasher 10 296,228$ 9,874$
Refrigerators 15 300,971$ 10,032$
Stove/Rangehood 15 450,420$ 15,014$
Garbage Disposal 10 104,814$ 3,494$
Hot Water Heaters 15 442,353$ 14,745$
Carpet 10 628,548$ 20,952$
Vinyl 10 2,851,072$ 95,036$
HVAC Furnace 15 1,980,000$ 66,000$
Fire Extinguishers 10 17,970$ 599$
Plumbing Repairs-Major (Washer Boxes Replace) 30 295,850$ 9,862$ Total Contributions 39,822,861$ 1,327,429$
Annual Contribution Per Unit 205,272$ 6,842$
(1)Select number of units or measurements may be updated at different intervals over time, pending final useful life data in conjunction with intervals.
EXHIBIT D
10 EXHIBIT E
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52 EXHIBIT E
53 Abrams Park
September 16, 2025
City of Marina
Attn: City Council and Housing Staff
211 Hillcrest Ave
Marina, CA 93933
Re: Abrams Park Rental Market Analysis & Pricing Recommendations Dear Councilmembers and Housing Staff,
On behalf of 36 North Properties, I am submitting the enclosed Rental Market Analysis Report for Abrams Park Apartments. This report benchmarks Abrams Park’s current rent structure against comparable communities in Marina, provides pricing recommendations, and includes an appendix of data sources and comparable details.
Rental Market Analysis Report – Abrams Park
Subject Property: Abrams Park, 682 Wahl Ct, Marina, CA 93933 Date: September 2025
1. Executive Summary
Abrams Park maintains high occupancy across a family-oriented community.
The average current rents are $1,669 for 2BR upstairs units, $1,786 for 2BR downstairs units, and $2,394 for 4BR units.
Marina’s market medians (Sept 2025) are $2,650 for 2BR and $4,623 for 4BR, confirming Abrams Park is significantly under market.
Adjusted market comparable rents are $2,400-$2,750 for 2BR units and $2,950-$3,950 for 4BR units.
EXHIBIT F
54 Abrams Park
2. Property Overview
Units: Primarily 2–4 BR family-style homes
Sizes: 1,000–1,800 sq ft
Occupancy: 98–99%
Amenities: Family-oriented neighborhood, landscaped cul-de-sacs, community green space, community center, business center
Mix: Market-rate and some affordable program units
3. Current Rent Structure (as of 7/31/25)
2BR Upstairs: $1,669
2BR Downstairs: $1,786
4BR: $2,394
Affordable: tied to HUD/AMI schedules
Marina’s market medians (Sept 2025) are $2,650 for 2BR and $4,623 for 4BR. The 2BR apartments are significantly under market. While the recommended 4BR adjusted market is $2,950-3,950, both 2 BR and 4 BR apartments are significantly under market.
4. Market Overview – Marina, CA (Q3 2025)
(Zumper Index, Sept 2025)
1BR: $1,863–$1,875
2BR: ~$2,650
3BR: ~$4,250
4BR: ~$4,623
5. Pricing Analysis
2BR: Current averages ($1,669–$1,786) are $800-$1,000 below Marina’s median ($2,650) and below smaller comparables such as Marina Square and Shoreline. 4BR: Current average ($2,394) is almost half Marina’s 4BR median ($4,623); and approximately $1,000 below the average suggested range for 4BR units ($2,950-$3,400). The 4BR average rent is also below typical 2BR units in the market.
Affordable units: Remain HUD/AMI capped; no change recommended.
EXHIBIT F
55 Abrams Park
6. Pricing Recommendations
2BR Standard: $2,400–$2,600
2BR Upgraded (if refreshed): $2,600–$2,750
Model A Upstairs: $2650
Model A Downstairs: $2750
4BR Standard: $2,950-$3,400
4BR Upgraded (if refreshed): $3,600-$3,950
Model B: $3,750
Model C: $3,850
Model D: $3,950
Affordable: No change, remain HUD/AMI compliant
* Note on 4-Bedroom Comparables
Within Marina, CA, there are very few, if any, direct comparables for 4- bedroom rental units in multifamily communities. The majority of available comparables are 1–3 bedroom units in apartment or condominium settings.
To address this gap, I extended the analysis to include single-family rental homes in Marina. Single-family homes naturally command higher rents due to greater square footage, private yards, and stand-alone layouts. By considering those market dynamics and then making adjustments for property type and amenities, I developed a reasoned recommendation for 4-bedroom units that aligns with achievable rents while maintaining competitiveness within the local market.
This blended approach ensures that the recommendations are not artificially depressed by limiting analysis to smaller multifamily units, nor inflated by assuming single-family premiums without adjustment.
Instead, the pricing reflects a realistic and supportable positioning within Marina’s rental market.
Audrey Wardwell
Broker/Owner of 36 North Properties, Inc.
Sincerely,
EXHIBIT F
56 Abrams Park
Property Size (sq ft) Rent Range Notes
Abrams Park (avg.) 1,000-1,800 2BR Avg: $1,669-$1,786
4BR Avg: $2,394
Family layouts,
cul-de-sacs
Preston Park Avg. 1,393 2BR Avg: $1,861
3BR Avg: $2,399
Garages,
landscaped, trails
Marina Square 1,000 2BR: $2,400+ Balconies, laundry,
some garages
Sunbay Suites 700-1,050 1BR $2,400+
2BR $2,350-$2,500 Gated, pool, fitness
Marina Del Sol 600-950 1BR $1,950-$2,050
2BR $2,400-$2,550 Pool, clubhouse
Shoreline 750-1,200
1BR $1,850-$1,950
2BR $2,400-$2,600
3BR $3,100-$3,300
Family-oriented
Terracina (Aff.) 712-932 AMI Restricted Affordable only, Dunes community
Comparable Properties (Condensed)
EXHIBIT F
57 Abrams Park
Appendix – Data Sources & Market Indicators
A. Data Sources
Abrams Park – Rent Roll as of 7/31/25 (provided)
Preston Park – liveatprestonpark.com
Marina Square – marinasquareapts.com, Zillow, Trulia
Sunbay Suites, Marina Del Sol, Shoreline – Apartments.com Terracina at the Dunes – usamfm.com
Zumper (Sept 2025) – Marina rent indices
Monterey County HUD/AMI schedules
B. Market Indicators
Marina 2BR median: $2,650 | 3BR median: $4,250 | 4BR median: $4,623 Abrams in-place averages: $1,669 (2BR up), $1,786 (2BR down), $2,394 (4BR) Occupancy: high, minimal concessions
EXHIBIT F
58 Preston Park
1. Executive Summary
Preston Park maintains 99% occupancy across 354 units.
The average current rents are $1,861 for 2BR and $2,399 for 3BR, well below prevailing Marina market medians.
Marina’s 2BR median is $2,650 and 3BR median is $4,250, indicating Preston is significantly under market.
Adjusted market comparable rents are $2,500-$2,750 for 2BR units and $3,000-$3,400 for 3BR units.
September 16, 2025
City of Marina
Attn: City Council and Housing Staff
211 Hillcrest Ave
Marina, CA 93933
Re: Preston Park Rental Market Analysis & Pricing Recommendations Dear Councilmembers and Housing Staff,
On behalf of 36 North Properties, I am submitting the enclosed Rental Market Analysis Report for Preston Park Apartments. This report benchmarks Preston Park’s rents against comparable communities in Marina, provides pricing recommendations, and includes an appendix of data sources and comparable details.
Rental Market Analysis Report – Preston Park
Subject Property: Preston Park, 682 Wahl Ct, Marina, CA 93933 Date: September 2025
EXHIBIT G
59 Preston Park
2. Property Overview
Units: 354 (2–3 BR, avg. 1,393 sq ft)
Occupancy: 99%
Amenities: Attached garages, landscaped community, trails, playgrounds, community center, business center
Mix: Market-rate and 48 income-restricted homes
3. Current Rent Structure (as of 7/31/25)
Average 2BR: $1,861
Average 3BR: $2,399
Affordable: tied to HUD/AMI schedules
Marina’s market medians (Sept 2025) are $2,650 for 2BR and $4,250 for 3 BR median. While the recommended 3BR adjusted market is $3,000 - $3,400, both 2 BR and 3 BR apartments are significantly under market.
4. Market Overview – Marina, CA (Q3 2025)
(Zumper Index, Sept 2025)
1BR: $1,863–$1,875
2BR: $2,650
3BR: $4,250
4BR: $4,623
5. Pricing Analysis
2BR: Current average ($1,861) is far under Marina’s $2,650 median and all comps, despite Preston offering larger homes with garages. 3BR: Current average ($2,399) is almost $1,000 below Shoreline’s 3BR, $2,000 below Marina’s median, and approximately $800 below the average suggested range for 3BR units ($3,000-$3,400).
Affordable units: Remain HUD/AMI capped; no change recommended.
EXHIBIT G
60 Preston Park
6. Pricing Recommendations
2BR Market: $2,500–$2,600
2BR Upgraded: $2,650–$2,750
Model A: $2,650
Model B: $2,700
Model C: $2,750
3BR Market: $3,000–$3,200
3BR Upgraded: $3,200–$3,400
Affordable: No change, remain HUD/AMI compliant
* Note on Market Averages
It is important to clarify that published average rental rates for Marina, CA, often include all property types, single-family homes, townhomes, condos, and apartments. Because single-family homes generally command higher rents, they raise the overall citywide average.
In contrast, my recommendations are based on directly comparable properties, units that share the same size, design, amenities, and property type as those under review. When viewed against this subset, the proposed pricing aligns with current market conditions and remains competitive.
This approach ensures that the recommendations reflect what renters are actually willing to pay for similar homes, rather than being skewed upward by larger or detached properties that are not direct comparables.
Sincerely,
Audrey Wardwell
Broker/Owner of 36 North Properties, Inc.
EXHIBIT G
61 Preston Park
Property Size (sq ft) Rent Range Notes
Preston Park (avg.) Avg. 1,393 2BR Avg: $1,861
3BR Avg: $2,399
Garages,
landscaped,
trails
Abrams Park 1,000-1,800 2BR Avg: $1,669-$1,786
4BR Avg: $2,394
Family layouts,
cul-de-sacs
Marina Square 1,000 2BR: $2,400+
Balconies,
laundry, some
garages
Sunbay Suites 700-1,050 1BR $2,400+
2BR $2,350-$2,500
Gated, pool,
fitness
Marina Del Sol 600-950 1BR $1,950-$2,050
2BR $2,400-$2,550 Pool, clubhouse
Shoreline 750-1,200
1BR $1,850-$1,950
2BR $2,400-$2,600
3BR $3,100-$3,300
Family-oriented
Terracina (Aff.) 712-932 AMI Restricted
Affordable only,
Dunes
community
Comparable Properties (Condensed)
EXHIBIT G
62 Preston Park
Appendix – Data Sources & Market Indicators
A. Data Sources
Preston Park – Rent Roll as of 7/31/25 (provided)
Abrams Park, Marina Square, Sunbay Suites, Marina Del Sol, Shoreline – Apartments.com, Zillow, Trulia
Terracina at the Dunes – usamfm.com
Zumper (Sept 2025) – Marina rent indices
Monterey County HUD/AMI schedules
B. Market Indicators
Marina 2BR median: $2,650 | 3BR median: $4,250
Preston in-place averages: $1,861 (2BR) | $2,399 (3BR)
Occupancy: near full, minimal concessions
EXHIBIT G
63 Est. Year-End Budget
Restated Budget
Scenario
Restatements
Projected
Restatements
Projected
Restatements
Projected
FY 24.25 FY 25.26 FY 25.26 FY 26.27 FY 27.28 FY 28.29
Revenues (1) 3,941,859$ 4,028,000 $ 4,028,000 $ 4,028,000$ 4,183,000$ 4,392,000$ Assumes 3% CPI, 2% Incremental Increase - - - 155,000 209,000 220,000 Total Revenues 3,941,859 4,028,000 4,028,000 4,183,000 4,392,000 4,612,000
Expenditures (2) 1,377,719 1,532,000 1,532,000 1,578,000 1,625,000 1,674,000 Net Operating Difference 2,564,140$ 2,496,000$ 2,496,000$ 2,605,000$ 2,767,000$ 2,938,000$ Less Distributions 1,782,220 1,782,000 1,782,000 1,782,000 1,782,000 1,782,000 Rebalanced Distribution by $264,000 (3)
- - (264,000) (264,000) (264,000) (264,000)
Net Adjusted Distribution 1,782,220$ 1,782,000$ 1,518,000$ 1,518,000$ 1,518,000$ 1,518,000$ Less Capital/Renovation 1,253,012 1,073,000 1,327,000 1,327,000 1,327,000 1,327,000 Less Other 127,078 - -
- - -
3,162,310$ 2,855,000$ 2,845,000$ 2,845,000$ 2,845,000$ 2,845,000$ Net Surplus/Deficit (4) (598,170)$ (359,000)$ (349,000)$ (240,000)$ (78,000)$ 93,000$ (2) Operating expenditures estimated to increase by 3%. (3) Abrams Park carries a greater percentage of BMR units, than Preston Park. The Abrams Park distribution to the General Fund has been decreased to reflect the net difference in rents, if the BMR units were proportionally allocated.
(4) The net deficit for capital improvements in Fiscal Year 24/25 and Fiscal Year 25/26 were planned to be covered with capital reserves. The reserve balance at July 31, 2025 was approximately $737,000; however, all funds associated with Fiscal Year 2025/26 capital improvements have not been drawdown.
Abrams Park Sample Scenario
(1) Operating revenues also include interest earnings, various other fees, net of projected vacancies.
EXHIBIT H
64 Restated Budget
Scenario
Restatements
Projected
Restatements
Projected
Restatements
Projected
FY 24.25 FY 25.26 FY 25.26 FY 26.27 FY 27.28 FY 28.29
Operating Revenues (1)
8,432,538$ 8,573,000 $ 8,093,000 $ 8,093,000$ 8,467,000$ 8,890,000$ Assumes 3% CPI, 2% Incremental Increase - - - 374,000 423,000 445,000 Total Revenues 8,432,538 8,573,000 8,093,000 8,467,000 8,890,000 9,335,000 Operating Expenses (2)
2,076,774 2,199,000 2,199,000 2,265,000 2,333,000 2,403,000 Total 6,355,764$ 6,374,000$ 5,894,000$ 6,202,000$ 6,557,000$ 6,932,000$ Less Distributions 1,999,996 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 Rebalance Distribution by $264,000 (3)
- - 264,000 264,000 264,000 264,000
Net Adjusted Distribution 1,999,996$ 2,000,000$ 2,264,000$ 2,264,000$ 2,264,000$ 2,264,000$ Less Capital/Renovation 1,021,463 1,077,000 1,828,000 1,828,000 1,828,000 1,828,000 Debt Service (4)
1,520,935 1,542,000 2,100,000 2,100,000 2,100,000 2,100,000 Less Other 59,836 -
4,602,230$ 4,619,000$ 6,192,000$ 6,192,000$ 6,192,000$ 6,192,000$ Net Surplus/Deficit 1,753,534$ 1,755,000$ (298,000)$ 10,000$ 365,000$ 740,000$ (2) Operating expenditures estimated to increase by 3%. Property insurance expense may need to be increased to reflect a new appraisal associated with refinanicng the property. (3) Abrams Park carries a greater percentage of BMR units, than Preston Park. The Preston Park distribution to the General Fund has been increased to reflect the net difference in rents, if the BMR units were proportionally allocated.
(4)
The debt service amount reflects a mid-range assumption of a $29.5 million loan for 30 years.
Preston Park Sample Scenario
(1) Operating revenues also include interest earnings, various other fees, net of projected vacancies. In the Fiscal Year 25/26 "Restated" Preston Park budget, interest earnings was decreased by $481,0000 to illustrate the reduction in interest earned on the $13 million that was set aside for debt service payments.
EXHIBIT I
65