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AGENDA REPORT
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| | | | | | | | DATE:
| February 4, 2020
| TO:
| Fairfield Housing Authority Chair and Commissioners
| FROM:
| Stefan T. Chatwin, Executive Director 
| | SUBJECT: | Resolution HA2020-02 of the Fairfield Housing Authority Approving the Disposition and Development Agreement Between the Fairfield Housing Authority, Affordable Housing Alliance II, Inc., and Sutton Place Development Corp for Land Located at 1600 Woolner Avenue, Fairfield, CA |
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| | | | | | | | | RECOMMENDED ACTION | | Adopt resolution. |
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| | | | | | | | | STATEMENT OF ISSUE | | Affordable Housing Alliance II, Inc. and Sutton Place Development Corp (collectively, “Sutton”) has offered to purchase property owned by the Fairfield Housing Authority (“FHA”) located at 1600 Woolner Avenue (the “Property”) for the purpose of developing a mixed-income housing project. The purchase price for the Property is $1,420,000 all cash due at the close of escrow. |
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| | | | | | | | | DISCUSSION | The Redevelopment Agency to the City of Fairfield purchased the Property from the City of Fairfield in 2010 for the purpose of a future housing development. In 2013, after the dissolution of the Redevelopment Agency to the City of Fairfield, the Property was transferred to the FHA to continue efforts to find a suitable housing developer.
In early 2019, Sutton submitted a development proposal for a +162-unit mixed income housing project. The proposal was presented to City Council and the City Manager to ensure what was being proposed met the needs of the City of Fairfield and the FHA.
Sutton has several successfully completed projects in California and Washington including market rate, senior, and affordable housing projects.
Staff negotiated a Disposition and Development Agreement (“DDA”) with Sutton for the purchase of the Property for the Purchase Price of $1,420,000. The DDA required Sutton to develop a three story, 162-unit apartment community with a minimum of 10 residential units rented to tenants at or below 80% of the area median income. Sutton will sign a Land Use Restriction Agreement and their bond issuer for a period of fifteen years minimum.
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| | | | | | | | | FINANCIAL IMPACT | | The Buyer will pay the FHA a purchase price of $1,420,000, which will be deposited into the FHA’s Low-Mod Income Housing Fund (Account Code 022-99-000-2211). |
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| | | | | | | | | CITY COUNCIL WORKPLAN | Community Safety
| Community Infrastructure | Quality of Life | | Financial and Operational Sustainability | Economic Development | Travis Air Force Base |
| City Council Goal this item supports:
Quality of Life |
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| | | | | | | | | Priority Project: | #3B.1 Homeless Strategy Implemenation (QOL Department Initiatives)
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| | | | | | | | | PUBLIC CONTACT/ADVISORY BODY RECOMMENDATION | N/A
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| | | | | | | | | ALTERNATIVE ACTION | The Fairfield Housing Authority may choose not to approve the Disposition and Development Agreement. This would require staff to put the property back on the market and attempt to secure another housing developer.
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| | | | | | | | | STAFF CONTACT | Jorge Barrera, Senior Economic Development Project Manager
707-427-7039
jbarrera@fairfield.ca.gov
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| | | | | | | | | COORDINATED WITH | City Attorney's Office
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| REVIEWERS: | | Reviewer | Action | Date | | Answerer | Approved | 1/15/2020 - 1:27 PM | | Feinstein, David | Approved | 1/21/2020 - 11:36 PM | | Alexander, Amber | Approved | 1/22/2020 - 12:34 PM | | Alexander, Amber | Approved | 1/27/2020 - 6:24 PM |
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