Affordable Housing Project
Development Proposal for
1820 Rumrill Blvd
April 4, 2022
1820 RUMRILL BLVD
• City-owed housing asset site
• ½ acre site, approximately 21,750 sq ft
• Vacant
• Zoned Commercial Mixed Use
BACKGROUND
• Regional Housing Needs Allocation (RHNA)
State mandated housing units that must be developed/permitted by local jurisdictions • 2020 Affordable Housing Strategy (AHS)
City adopted strategy to promote housing options, safety and increase production.
Implementation actions include using City-owned land to support housing production. (Goal E.16)
PROPOSED DISPOSITION AND DEVELOPMENT AGREEMENT
Developer: Novin Development Corporation
Purchase Price: $935,250 as a purchase money note
Deposit: $50,000 deposit (City received $25,000 non-refundable with ENA) Project Description:
• 45-unit multi-family development
• 100% affordable (60% AMI or less)
• Unit sizes ranging from 1- 3 bedrooms
PROPOSED DISPOSITION AND DEVELOPMENT AGREEMENT (CON’T)
Feasibility Period: 120 days
Financing: Low Income Housing Tax Credits; and City will provide $1million loan from LMIHF and a loan for the for the fair market value of the parcel with 3% interest to paid from 75% of residual receipts and due in 30 years (may be extended to 55 years) Liability: City does not have ongoing liability related to the Site after developer takes possession
Local Employment Provisions: Local contracting requirement included
PROJECT
CONCEPT
831 WATER ST
SANTA CRUZ, CA
CURRENT PROJECT BY
NOVIN DEVELOPMENT CORP
QUESTIONS