SUMMARY REPORT PURSUANT TO CALIFORNIA GOVERNMENT CODE SECTION 52201 ON A PROPOSED DISPOSITION, DEVELOPMENT AND LOAN AGREEMENT BY
AND BETWEEN THE CITY OF ORANGE AND KATELLA TERRACE, LP
1. Copy. A copy of the proposed Disposition, Development and Loan Agreement (the “Agreement”) is attached hereto as Exhibit A and incorporated herein by this reference. Any initially-capitalized term not defined herein shall have the meaning set forth in the Agreement.
2. Summary.
(a) Cost to City. There is no estimated cost of the Agreement to the City, as the land will be leased for fair market value.
(b) Fair Market Value. The estimated value of the interest to be conveyed, determined at the highest and best uses permitted under the general plan or zoning, will be based on an appraisal of the fair market value of the Property by a Certified Residential Real Estate Appraiser retained by the City.
(c) Fair Reuse Value. This section is not applicable as the property will be leased based on the fair market value appraisal.
(d) Economic Opportunity. The sale of the Property will assist in the creation of economic opportunity, as the Project consists of the development on the Property of 74 dwelling units to be rented to Low Income households, and “economic opportunity” includes the creation of such affordable housing (see California Government Code Section 52200.2(c)), provided that a demonstrated affordable housing need exists in the community, as defined in the approved housing element or regional housing needs assessment, which is the case.
Exhibit A
Copy of Agreement
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A copy of the agreement is attached as the first attachment to the staff report.