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1 RiversideCA.gov
1 RiversideCA.gov
FORMER DOWNTOWN TERMINAL SITE (3911
UNIVERSITY AVE & 3775 FAIRMOUNT BLVD) UPDATE
AND EXCLUSIVE NEGOTIATING AGREEMENT
REQUEST
Community & Economic Development Department
City Council
December 6, 2022
RiversideCA.gov
2 LOCATION MAP
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3 1. Site Characteristics:
a. 1.5 acres
b. Zoning - Downtown Specific Plan – Raincross District
2. April 2019: Request for Proposals (RFP) issued
3. July 2019:
a. One Development Proposal Received (Overland Pelican
Riverside)(OPR)
b. Student housing for Riverside Co mmunity College District (RCCD)
4. October 2019:
a. Governor Newsom signs AB 1486
b. Rendered the RFP and the subsequent proposal null/void
BACKGROUND
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4 5. August 2019:
a. Economic Development, Placemaking, and Branding/Marketing Committee (EDC) directed staff to send written notice of availability
b. Notice sent to public agencies and affordable housing developers registered with HCD pursuant to AB1486
6. August 2019:
a. Notice of Availability issued
b. All affordable housing developers included
7. October 2020:
a. One development proposal received
b. OPR - mixed-use student housing project for RCCD
BACKGROUND - CONTINUED
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5 8. December 2020:
a. EDC considered proposal
i. Directed staff to negotiate a Purchase and Sale Agreement ii. Present to the City Council for final consideration and approval b. OPR and RCCD terminate relationship
i. Both parties remain interested in the subject site
ii. Interest in developing property independent of each other
9. October 2021:
a. Staff recommends new RFP be issued
b. EDC directs staff to proceed with original OPR proposal c. Staff initiates negotiations
BACKGROUND - CONTINUED
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6 10. June 2022:
a. Staff requests interpretation from State HCD Department:
i. Does AB 1486 apply to dormitory student housing?
ii. If so, should affordable income levels and rent limits be based per unit or per bed?
b. State HCD response:
i. Yes, project must comply with AB 1486
ii. Application of affordable income levels and rent limits shall be based per unit
11. September 2022:
i. Staff receives letter from OPR requesting ENA
ii. Request to return to Committee for an update
BACKGROUND - CONTINUED
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7 12. October 2022:
Staff returns to the EDC who:
a. Receive and file an update on the project; and
b. Direct staff to present the ENA request to City
Council for consideration.
BACKGROUND - CONTINUED
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8 1. City and OPR continue on-going negotiations.
2. Student Housing Affordability:
a. OPR – student affordability based on “beds”
b. State Housing and Community Development Department
(HCD) indicates that affordability based on “units”
3. OPR working through definitions of affordability as provided by HCD.
DISCUSSION
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9 Option A: Developer ENA Proposal
a. One-year ENA term;
b. Up to two optional six-month extensions
thereafter; and
c. Option to change project type/scope with
City approval.
OPTION A
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10 Option B: Staff Recommendation
a. Six-month ENA term;
b. One optional six-month extension
thereafter;
c. No change in project type/scope; and
d. $25,000 non-refundable deposit included.
OPTION B
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11 STRATEGIC PLAN ALIGNMENT
RiversideCA.gov
12 That the City Council:
1. Receive and file an update on the City-owned land located at 3911 University Avenue and 3775 Fairmount Boulevard, identified as Assessor Parcel Numbers 214-252-016 & 213-261-027 (former downtown Terminal) for the development of a mixed-use student housing project;
2. Discuss the request from Overland Pelican Riverside for a one-year Exclusive Negotiating Agreement term with the option to include two six-month extensions; and
3. Provide direction on the Exclusive Negotiating Agreement request presented.
RECOMMENDATIONS
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