For City Council Meeting [April 9, 2019]
TO: Honorable Chair and Board Members
APPROVAL: Sean Grayson, Interim City Administrator/Executive Director
FROM: Robb Steel, Assistant CA/Development Services Director
Title
Request Rialto Housing Authority Approve the Second Amendment to the Affordable Housing, Financing and Disposition and Development Agreement by and between the Rialto Metrolink South Housing Partners LP and the Rialto Housing Authority to extend the Termination Date to December 31, 2019 for a proposed affordable housing project on the north side of Bonnie View Drive, west of Riverside Avenue.
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BACKGROUND:
On December 12, 2017, the City Council/RHA Board approved the First Amendment (Exhibit A) to the Affordable Housing, Financing and Disposition and Development Agreement by and between the Rialto Housing Authority (RHA) and the Rialto Metrolink South Housing Partners (the developer is a partnership of National Community Renaissance, Related California, and LaBarge Industries; further known as "RMSHP") on the north side of Bonnie View Drive and just west of Riverside Avenue. The First Amendment reduced the site area from 2.56 acres to 1.59 acres and the project scope from 65 units to 38 units. The City is currently constructing parking for the Metrolink Station on the balance (0.97 acres) of the original site. The site map is attached hereto as Exhibit B.
The First Amendment increased the loan amount from the RHA to RMSHP from $250,000 to $450,000 to reimburse predevelopment costs. The First Amendment authorized a total loan amount from RHA to the RMSHP of $5,500,000 (using former Redevelopment Agency housing bonds), consisting of the site purchase ($950,000 previously expended), the development cost amount ($4,300,000), and the previous pre-development amount ($250,000 already expended).
By December 31, 2018, the First Amendment required RMSHP to obtain approval of an amendment to revise the project scope and finances (Project Approv...
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