ATTACHMENT 4
STATE OF CALIFORNIA - BUSINESS, CONSUMER SERVICES AND HOUSING AGENCY GAVIN NEWSOM, Governor
DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT
DIVISION OF HOUSING POLICY DEVELOPMENT
2020 W. El Camino Avenue, Suite 500
Sacramento, CA 95833
(916) 263-2911 / FAX (916) 263-7453
www.hcd.ca.gov
December 15, 2022
David J. Aleshire, City Attorney
City of Richmond
18881 Von Karman Avenue, Suite 1700
Irvine, CA 92612
Dear David J. Aleshire:
RE: HCD's Review of Resolution No.168-22 and Land Disposition Agreement Between the City of Richmond and Terminal One Development LLC, for the Property Located at 1500 Dornan Drive, Richmond California (APNs 560-042- 007 and 560-042-010)
Thank you for contacting the California Department of Housing and Community Development (HCD) regarding the property located at 1500 Dornan Drive, Richmond California (APNs 560-042-007 and 560-042-010) (Property). HCD reviewed Resolution No. 168-22 and the Land Disposition Agreement (Agreement) between the City of Richmond (City) and Terminal One Development LLC, a Delaware limited liability company (Developer).
HCD also considered whether the Property is subject to the Surplus Land Act (SLA) as it existed on December 31, 2019, pursuant to Government Code section 54234, subdivision (a)(1) (Grandfathering Exemption). As explained below, HCD finds that the Property qualifies for the Grandfathering Exemption, so long as the disposition of the property to the Developer is completed by December 31, 2022.
Analysis
According to Government Code section 54234, subdivision (a)(1), surplus land is subject to the SLA as it existed on December 31, 2019, provided the disposition of the surplus land meets the following requirements:
(i). The local agency entered into an exclusive negotiating agreement or legally binding agreement to dispose of the Property as of September 30, 2019. (ii). The disposition of the Property to the party that had entered into the ENA or legally binding agreement, or its successor or assigns, is completed by December 31, 2022.
David J. Aleshire, City Attorney
Land Disposition Agreement between the City of Richmond and Terminal One Development LLC
The City and Developer (collectively, the Parties) entered into the Agreement, dated August 6, 2014. The Parties entered into the Agreement for purposes of the City selling the Property to the Developer, and for the Developer to purchase the Property from the City in accordance with the terms and conditions contained in the Agreement.
Conclusion and Next Steps
HCD finds that, because the Parties entered into the Agreement as of September 30, 2019, the Property qualifies for the Grandfathering Exemption. Therefore, the disposition of the Property is subject to the SLA as it existed on December 31, 2019, provided the disposition of the Property to the Developer is completed by December 31, 2022.
After the City has completed the disposition of the Property to the Developer, it must provide HCD documentation demonstrating that the disposition was completed by December 31, 2022, for HCD's records.
If you have any questions or need additional technical assistance, please contact Public Lands at [email protected].
Sincerely,
Nunn
Vaura
Laura Nunn
Senior Manager, Housing Accountability Unit
Housing Policy Development