HomeMy WebLinkAbout04 AUTHORIZATION TO SELL AN AUTHORITY-OWNED AFFORDABLE HOUSING UNITAgenda Item 4
Reviewed. 1,
AGENDA REPORT City Managerx
Finance Director /WA
MEETING DATE: MARCH 19, 2013
TO: JEFFREY C. PARKER, CITY MANAGER & HOUSING AUTHORITY
EXECUTIVE DIRECTOR
FROM: TUSTIN HOUSING AUTHORITY
SUBJECT: AUTHORIZATION TO SELL AN AUTHORITY -OWNED
AFFORDABLE HOME AT 14554 NEWPORT AVENUE #3
SUMMARY
The Tustin Housing Authority is seeking authorization to sell an Authority -owned
affordable moderate income home.
It is recommended the Tustin Housing Authority Commission:
1) Authorize the sale of the Authority -owned affordable moderate income home at
14554 Newport Avenue, #3, located in the Arbor Walk development; and
2) Authorize the Housing Authority Executive Director to negotiate a sales price in
compliance with moderate income affordability guidelines; and
3) Direct the Housing Authority Executive Director to schedule a Closed Session
Meeting when a prospective purchaser is identified in order to receive Commission
approval for the negotiated sale.
FISCAL IMPACT
The former Tustin Community Redevelopment Agency purchased the affordable
moderate income home at -risk of foreclosure for $362,477. The Tustin Housing
Authority is seeking to recover these funds through the sale of the home to another
moderate income affordable household at an approved moderate income sales price.
BACKGROUND
On March 1, 2011, the City Council authorized the former Tustin Community
Redevelopment Agency ( "Agency ") to purchase 14554 Newport Avenue #3, in order to
cure an affordable moderate income homeowner's default. The Agency closed escrow
on the purchase on May 26, 2011. One month later, the Governor signed AB1X 26,
Agenda Report
March 19, 2013
Page 2
setting in motion the dissolution of Redevelopment. As a result, all assets, including
housing assets, were frozen. On September 13, 2012, the State of California
Department of Finance approved the transfer of the housing assets to the Tustin
Housing Authority. The Housing Authority has been working with the City Manager's
Office in reviewing options and has determined now is the best time to sell the home.
When a prospective purchaser is identified, a Closed Session meeting will be scheduled
to discuss and receive approval for the negotiated sales price.
Staff is available for any questions the Commission may have.
Jerry Craig
Program M
Tustin Hou