12/11/2001 RA RPT 05 - Laserfiche WebLink

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" '" .... Riverside COUNCIL MEMORANDUM i' People Serving t99s People HONORABLE MAYOR AND CITY COUNCIL REDEVELOPMENT AGENCY BOARD DATE: December 11, 2001 ITEM NO: 5 SUBJECT: A Public Hearin~l to Execute a Disposition and Development A~lreement with Re,qional Properties Incorporated for Development of 46 Infill Homes - First and Market Streets - Also Adoption of a Resolution Authorizin~l the Land Disposition as A Public Benefit to the Elimination of Blielht and Provision of Affordable Housin~l - Merqed Downtown and Airport Industrial Redevelopment Project Area BACKGROUND: The City of Riverside and the City of Riverside Redevelopment Agency ("Agency") have worked diligently to explore various development scenarios for an approximately 5.2 acre site of unimproved property located at First and Market Streets in the Downtown Area (APN# 209-201-028 and 209-201-003) ("Site"). The Agency has owned the property since 1994. The most recent development of infill housing on the Site occurred under the Mission Walk project in 2000. Mission Walk did not go forward due to off-site remediation problems with a federal Superfund program. The Site offers one of the last areas in the downtown to complete a signature housing project for first-time homebuyers and small families. The goal of the City and Agency is to create a signature housing project located on one of the entry corridors into the Downtown area. Since the 1970's the development team of Regional Properties has been developing innovative and high quality commercial and residential developments. Projects within the City of Riverside include the development and expansion of the Mission Grove Plaza, Mission Grove Apartments, and the luxury theater expansion at Mission Grove. Regional Properties has also developed properties in Moreno Valley, Long Beach, Burbank, Glendale, and Los Angeles. CURRENTISSUE: The Development Department has been in negotiations with Regional Properties, Inc. since early 2001 to develop 46 infill housing units on the Site. Regional Properties proposes the construction of forty-six small lot single-family houses with a community room area and small open spaces for communal activities. Pdces for the units will range from approximately $160,000 to $180,000. Access for the development would be with one enLrance onto Market Street, east of Houghton Avenue. Parking would be provided via pdvate garages and cut-out parking areas for guests. The City is mandating that the development be covered under a homeowners association to be established by Regional Properties. 15% of all units in the First and Market Development will be made affordable by legally recorded covenant to persons or families that earn at-OF below 120% of the County of Riverside median income (County median income is currently $49,900 for a family of four) for a period of thirty (30) years. In addition, one additional unit will be reserved by legally recorded covenant at 115% of the County median income for thirty (30) years to meet HUD affordable housing requirements imposed after one HUD REO property was demolished at the site. m