1 3
4 9
4 CITY OF SAN MATEO
RESOLUTION NO. ____ (2026)
APPROPRIATING $2M IN LOW/MODERATE INCOME HOUSING ASSET FUNDS AND $1M IN COMMERCIAL
LINKAGE FEE FUNDS INTO THE BESPOKE HOUSING PROJECT
WHEREAS, on January 4, 2021, the City Council approved Resolution No.3 (2021) declaring the City- owned parking at East 4th Avenue and South Railroad Avenue (APNs 034-179-050 and 034-179-060, herein referred to as the “Property”) as “surplus land” and subsequently released a Notice of Surplus Lands Availability to all housing developers that have registered with the State Department of Housing and Community Development (HCD); and
WHEREAS, on April 19, 2021, the City received four proposals for the acquisition and development of the Property, including a proposal from the three-party Development Team composed of Prometheus Real Estate Group and Harvest Properties (collectively referred to as “Commercial Developer”), and Alta Housing (“Residential Developer”); and
WHEREAS, on October 4, 2021, the City Council approved the City entering into an Exclusive Negotiating Agreement (ENA) with DTSM Housing, LLC for the redevelopment of the Property; and WHEREAS, the City, the Commercial Developer, and the Residential Developer desire for the Development Team to construct a mixed-use development totaling 239,628 square feet and consisting of one seven-story, 76,072 square-foot affordable housing building that includes approximately 5,964 square feet of ground floor community space (“Residential Improvements”); one six-story, 162,926 square-foot office/commercial building (“Commercial Improvements”); and an underground parking garage, located at 445 South B Street (collectively referred to as the “Project”); and WHEREAS, the City Council will provide $3,000,000 in the form of a loan (“Loan”) to support the affordable housing construction; and
WHEREAS, the City’s commitment of $3,000,000 and the terms and conditions of the Loan are contained in the Disposition and Development Agreement between the City, AH Bespoke LP, and DTSM Housing, LLC, and associated Permanent Loan documents for the Project; and WHEREAS, an appropriation of $3,000,000, of which $2,000,000 is from the Low Moderate Income Housing Asset Fund (Fund 255) and $1,000,000 is from the Commercial Linkage Fee Fund (Fund 270), to the Bespoke Housing Project is necessary to fund the Loan.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SAN MATEO, CALIFORNIA, HEREBY RESOLVES that:
1. This fund appropriation is not a project of CEQA because it is an organizational or administrative activity that will not impact the environment (CEQA Guidelines Section 15378(b)(5).
2.The appropriation of $2,000,000 from the Low Moderate Income Housing Asset Fund (Fund 255) and $1,000,000 from the Commercial Linkage Fee Fund (Fund 270) into the Bespoke Housing Project is approved.