City Council

11.b APPROVE A DDLA, RELATED RESOLUTIONS, LOAN FROM THE 1039\nHOUSING AUTHORITY, AND ACTIONS RELATED TO THE\nCONVEYANCE OF ASSESSOR’S PARCEL NUMBER 622-370-014 BY\nAND BETWEEN THE AUTHORITY PURSUANT TO H&S SECTION 33433\nRECOMMENDATION:\n1. Adopt a Resolution entitled “A RESOLUTION OF THE PALM\nDESERT HOUSING AUTHORITY APPROVING A DISPOSITION,\nDEVELOPMENT AND LOAN AGREEMENT BETWEEN THE\nAUTHORITY AND CHELSEA INVESTMENTS, INC., (“Parties”)\nPURSUANT TO HEALTH AND SAFETY CODE SECTION 33433”.\n2. Approve Disposition Development and Loan Agreement (“DDLA")\nbetween Parties, including the exhibits in substantial form, for the\ndonation of the Authority-owned vacant property located off of\nCountry Club known as APN 622-370-014 to Chelsea Investment\nCorporation, or its designee, (the “Developer”, or “Chelsea”) for the\nconstruction of 39 units for rental to extremely low, very low and\nlow income qualified households and one manager unit (the\n“Project”), pursuant to Health and Safety Code Section 33433.\n3. Acknowledge disposition and adopt a Resolution entitled “A\nRESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM\nDESERT MAKING FINDINGS PURSUANT TO THE HEALTH\nAND SAFETY CODE SECTION IN CONNECTION WITH A\nPROPOSED DISPOSITION, DEVELOPMENT AND LOAN\nAGREEMENT BETWEEN THE PALM DESERT HOUSING\nAUTHORITY AND CHELSEA INVESTMENTS, INC.”.\n4. Authorize Authority Loan to the Developer for the construction of\nthe Project in the amount of $3,000,000, pursuant to terms of\nDDLA with loan being secured by a subordinate deed of trust on\nthe Project.\n5. Authorize appropriation of $3,000,000 from the Authority’s\nUnobligated Low- and Moderate-Income Housing Asset Fund\nbalance to Account No. 8734195-4663900.\n6. Authorize Chelsea to submit an application, including the DDLA, to\nthe California Tax Credit Allocation Committee (“TCAC”) for an\nallocation of 9% Federal Tax Credits (“Federal Tax Credits”).\n7. Authorize the Executive Director to finalize and execute the DDLA\nand documents deemed necessary to effectuate the DDLA, the\ndonation of the property and conditions of approval, with such\nchanges thereto as the Executive Director, in consultation with\nlegal counsel, may deem necessary and consistent with the\npurpose of the DDLA and conditions of approval.\n8. Authorize the Chairman to execute documents necessary to\neffectuate the transfer.