File #: 12-0094    Version:
Type: Agenda Item Status: Approved
File created: 8/16/2012 In control: Board of Supervisors
On agenda: 9/4/2012 Final action: 9/4/2012
Title: Health and Human Services Agency, Community Services Division, recommending the Board: 1) Decline the purchase option specified per Section 12 of Amendment II of the Lesarra Attached Homes Affordable Housing Agreement for 13 deed-restricted units; and 2) Authorize the Director of the Health and Human Services Agency, or successor, to execute a letter to the developer stating the County's decision to decline the purchase option for the specific 13 deed-restricted units indicated in Amendment II of the Lesarra Attached Homes Affordable Housing Agreement, and monitor market rate sales of those specific 13 units to ensure that recapture provisions of the Agreement are enforced.
Attachments: 1. 2A-CoCo Response V2 12-0094 9-4-12, 2. 2B-Lesarra Letter to County V2 12-0094 9-4-12, 3. 2C-Lesarra - Decline Purchase Ltr V2 12-0094 9-4-12, 4. 2D-Lesarra Amendment II Executed V2 12-0094 9-4-12, 5. A-Blue Route.pdf, 6. B-Lesarra Amendment II.pdf, 7. C-Lesarra Amendment II redline.pdf, 8. D-Lesarra Amendment I.pdf, 9. E-Lesarra Agreement.pdf
Title
Health and Human Services Agency, Community Services Division, recommending the Board:
1) Decline the purchase option specified per Section 12 of Amendment II of the Lesarra Attached Homes Affordable Housing Agreement for 13 deed-restricted units; and
2) Authorize the Director of the Health and Human Services Agency, or successor, to execute a letter to the developer stating the County's decision to decline the purchase option for the specific 13 deed-restricted units indicated in Amendment II of the Lesarra Attached Homes Affordable Housing Agreement, and monitor market rate sales of those specific 13 units to ensure that recapture provisions of the Agreement are enforced.
Body
Fiscal Impact/Change to Net County Cost
No change. Staff time associated with this item is paid through General Fund General Plan and Housing Element Implementation funds already budgeted for that purpose.

Background
The County entered into an Affordable Housing Developer's Agreement (Agreement) with Lesarra Attached Homes, LP in 2006 as a condition of the project approval set by the Planning Commission for the Lesarra condominium project located in El Dorado Hills. The Agreement required the Lesarra project to deed restrict 12 newly constructed units for moderate income home buyers. Moderate income is defined as households earning up to 120% of the area median income for the County adjusted by household size.

Amendment I to the Agreement, approved by the Board of Supervisors and recorded in November 2007, reduced the down payment requirement from 5% as stated in the original Agreement to 3% of the purchase price and amended the property tax rate to reflect tax rates for the El Dorado Hills area.

Amendment II to the Agreement, approved by the Board of Supervisors and recorded in April 2012, identified the new project owner, CAP VI - Lesarra, LLC, a California limited liability company, and identified 13 units of standing stock (existing construction not previously sold) ...

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