HomeMy WebLinkAbout16 APPROVAL OF RESOLUTION 24-47 (133 LIBERTY ST)DocuSign Envelope ID: EFEBA85B-0515-43D5-BCC9-D47CFOD221F0
:00wor O�AGENDA REPORT
MEETING DATE
Ito]
FROM
JUNE 18, 2024
16
Agenda Item Ds
Reviewed: Q�
City Manager
Finance Director
ALDO E. SCHINDLER, CITY MANAGER & HOUSING AUTHORITY
EXECUTIVE DIRECTOR
TUSTIN HOUSING AUTHORITY
SUBJECT: APPROVAL OF RESOLUTION 24-47 TO AUTHORIZE
EXECUTION OF ALL DOCUMENTS NECESSARY TO
EFFECTUATE THE PURCHASE AND THEN SALE OF THE
AFFORDABLE HOUSING UNIT AT 133 LIBERTY STREET
SUMMARY
The Tustin Housing Authority ("Authority") is seeking approval of Resolution 24-47
authorizing the City Manager or his designee, to execute all agreements and documents
necessary to effectuate the purchase and then sale of the moderate income affordable
housing unit at 133 Liberty Street.
RECOMMENDATION
It is recommended that the City Council adopt Resolution 24-47 in the form attached as
Attachment 1, authorizing the City Manager, or his designee, to execute all agreements
and documents necessary or appropriate to effectuate the purchase and then the sale
of the moderate income affordable housing unit at 133 Liberty Street.
FISCAL IMPACT
The acquisition price of 133 Liberty Street is $466,651. Appropriated funds will be
replenished upon the Authority's sale of the moderate income affordable housing unit to
an eligible moderate income household.
CORRELATION TO THE STRATEGIC PLAN
Preserving the Authority's affordable housing unit contributes to Goal A of the City's
Strategic Plan, enhancing the vibrancy and quality of life in all neighborhoods and areas
of the community.
DocuSign Envelope ID: EFEBA85B-0515-43D5-BCC9-D47CFOD221F0
Agenda Report
June 18, 2024
Page 2
BACKGROUND/DISCUSSION
On October 23, 2023, the City issued a "Notice of Default of the Affordable Housing
Covenant" to the homeowner at 133 Liberty Street (Tustin Field I development), a
moderate income unit in the City's Affordable Housing Program. The homeowner did not
cure the Default. The City subsequently issued a written "Notice of Exercise of Option"
to purchase 133 Liberty Street at the maximum affordable housing cost. On February 26,
2024, City staff met with the homeowner and the homeowner confirmed their breaches of
the Affordability Covenant, and failed to document any attempts to cure those breaches.
As a result, the City issued a "Proceeding with Option and Offer of Settlement" notice to
purchase 133 Liberty Street and the homeowner has agreed to the Settlement Offer and
has executed the Settlement documents.
On May 7, 2024, the City Council approved the appropriation of funds for the purchase.
In working with First American Title Company, the Title Officer is requiring written
confirmation that the City has authorized the City Manager to execute the transaction
documents necessary to close escrow on the property. Approving Resolution 24-47 will
provide the necessary written authorization.
Upon purchase of 133 Liberty Street, the City will prepare the Unit for sale and then list
the Unit at the maximum moderate income affordable sales price.
In order to effectuate the Settlement and close the pending Escrow for the purchase and
subsequent sale of 133 Liberty Street, staff is recommending the City Council authorize
the City Manager or his designee to execute all agreements and documents necessary
or appropriate to effectuate the purchase and then the sale of 133 Liberty Street.
DocuSigned by:
AOF8C5015551465...
Jerry Craig
Deputy Director of Economic Development
Tustin Housing Authority
Attachment 1: Resolution 24-47
DocuSign Envelope ID: EFEBA85B-0515-43D5-BCC9-D47CFOD221F0
ATTACHMENT 1
RESOLUTION 24-47
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN,
CALIFORNIA, AUTHORIZING THE CITY MANAGER, OR HIS
DESIGNEE, TO EXECUTE ALL AGREEMENTS AND DOCUMENTS
NECESSARY TO EFFECTUATE THE PURCHASE AND THEN SALE OF
THE AFFORDABLE HOUSING UNIT AT 133 LIBERTY STREET
WHEREAS, the Tustin City Council wishes to delegate to the City Manager, or his
designee, the authority to execute all agreements and documents necessary or
appropriate to effectuate the purchase of the affordable unit at 133 Liberty Street, Tustin,
and to effectuate the subsequent sale of the same unit.
THEREFORE, BE IT RESOLVED by the Tustin City Council as follows:
Section 1. The City Manager of the City of Tustin, or his designee, is hereby
authorized to execute all agreements and documents necessary or appropriate to
effectuate the purchase of the affordable unit at 133 Liberty Street, Tustin, and to
effectuate the subsequent sale of the same unit.
Section 2. This Resolution shall be effective upon the date of approval.
APPROVED AND ADOPTED at a regular meeting of the City Council of the City
of Tustin on the 18th day of June, 2024.
AUSTIN LUMBARD,
Mayor
ATTEST:
ERICA N. YASUDA,
City Clerk
APPROVED AS TO FORM:
DOCUSigned by:
11p:
Vl'D1E1AK4E N D I G ,
City Attorney
Resolution No. 24-47
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DocuSign Envelope ID: EFEBA85B-0515-43D5-BCC9-D47CFOD221F0
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) SS
CITY OF TUSTIN )
I, Erica N. Yasuda, City Clerk and ex-officio Clerk of the City Council of the City of Tustin,
California, do hereby certify that the whole number of the members of the City Council of
the City of Tustin is five; that the above and foregoing Resolution No. 24-47 was duly passed
and adopted at a regular meeting of the Tustin City Council, held on the 18t" day of June,
2024, by the following vote:
COUNCILMEMBER AYES:
COUNCILMEMBER NOES:
COUNCILMEMBER ABSTAINED:
COUNCILMEMBER ABSENT:
COUNCILMEMBER RECUSED:
ERICA N. YASUDA,
City Clerk
Resolution No. 24-47
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