Loading...
(a) The net proceeds from the sale of the surplus real properties located in the Venice Area (as those terms are defined in Section 5.121 of this Code) of the City of Los Angeles shall be placed in the fund known as the Venice Surplus Real Property Fund established by Section 5.121 of the Los Angeles Administrative Code.
(b) Except for the net proceeds from the sale of surplus real properties specifically addressed by separate sections of this Code, including, but not limited to, Sections 5.121.1, 5.121.2 and 5.547 and properties located in the Venice Area of the City of Los Angeles, 50% of the net proceeds from the sales of surplus real properties, to the extent allowed by law, shall be placed in the Council District Real Property Trust Funds established by Section 5.500 of this Code, and 50% of the net proceeds of the sales shall be placed in the General Fund of the City of Los Angeles.
(c) Notwithstanding Subsections (a) and (b) above, unless otherwise prohibited by law, for all sales of surplus real properties subject to Subsections (a) or (b), and approved by City Council for use in support of the City’s “Using Public Land for Affordable and Homeless Housing” strategy, completed on or after July 1, 2016, and prior to July 1, 2017, 100% of the net proceeds from the sales shall be placed into the Affordable Housing Trust Fund of the City of Los Angeles (“Affordable Housing Trust Fund”), unless located within the Venice Area of the City of Los Angeles in which case, the net proceeds shall be placed into a sub-account within the Affordable Housing Trust Fund for use in the Venice Area of the City of Los Angeles only. This Subsection (c) shall only be in effect until July 1, 2017, upon which date it shall be deemed repealed and no longer in effect.
SECTION HISTORY
Added by Ord. No. 150,484, Eff. 2-17-78.
Amended by: Sec. Title, Last Sentence Added, Ord. No. 171,570, Eff. 5-31-97, Oper. 1-1-97; Ord. No. 180,206, Eff. 10-26-08; Subsec. (c), Ord. No. 180,764, Eff. 8-8-09; In Entirety, Ord. No. 184,511, Eff. 11-5-16.
Where the Los Angeles Housing Department (LAHD) (or any predecessor or successor City agency or department) has obtained title to real property as the result of foreclosure or otherwise, in which local, state or federal funds are invested and which are restricted in their use for low and moderate income housing (REO property), the LAHD General Manager or designee may make the determination that the REO property is to be sold and shall:
(a) Authorize and identify the competitive process set forth in Section 7.33.3 that will be used to solicit proposals from qualified buyers for the REO property offered for sale; and
(b) Direct that LAHD competitively seek proposals from potential buyers of REO property subject to the condition that such REO property will be the subject of a covenant or regulatory agreement restricting its use for housing for low or moderate income residents, as those respective terms are defined by the underlying source of funding LAHD has invested in the REO property.
Prior to exercising discretion to sell under this Section, the LAHD General Manager shall first notify the City Council office of the district in which the REO property proposed for sale is located, by submitting an advisory notice to the City Clerk. Upon the acknowledgement of receipt of the notice by the City Clerk, the LAHD General Manager may proceed with the sale of the REO property.
SECTION HISTORY
Added by Ord. No. 183,131, Eff. 8-10-14.
Amended by: Ord. No. 187,122, Eff. 8-8-21.
The REO property shall be marketed by LAHD in one of the two methods set forth herein.
(a) City Directed Marketing Method. LAHD shall comply, at a minimum, with the following requirements:
(1) LAHD shall direct that a Request for Proposal (RFP) or Notice of Funding Availability (NOFA) be issued that describes the REO property in a manner sufficient to inform a potential buyer of the REO property’s particular location, characteristics and use restrictions such that a potential buyer may make an informed decision and submit a competitive proposal. Prior to release, the RFP or NOFA shall be subject to the review and approval of the LAHD Assistant General Manager or designee; and
(2) The RFP or NOFA shall be advertised on the appropriate City website designed to reach qualified buyers.
(b) Commercial Marketing Method. LAHD shall comply, at a minimum, with the following requirements:
(1) LAHD shall engage the services of a commercial real estate broker who shall list the REO property including its location, characteristics and use restrictions on a commercially available real estate listing service commonly used in the sale and marketing of real estate properties in the Los Angeles area. Prior to publication, the listing shall be subject to the review and approval of the HCIDLA Assistant General Manager or designee; and
(2) The REO property shall be listed on the appropriate City website designed to reach qualified buyers.
SECTION HISTORY
Added by Ord. No. 183,131, Eff. 8-10-14.
Amended by: Ord. No. 187,122, Eff. 8-8-21.
Unless otherwise approved by the City Council, the minimum sales price of an REO property shall be the full appraised value or no less than the minimum percentage of value as determined by appraisal under the requirements of the local, state or federal funds invested in the REO property.
SECTION HISTORY
Added by Ord. No. 183,131, Eff. 8-10-14.
The resulting use of the REO property after its sale shall be for housing for low or moderate income households and shall be subject to a covenant or regulatory agreement to be recorded against the REO property restricting its use for a term determined as follows:
(a) If at the time the REO property is sold or transferred pursuant to this ordinance, LAHD is not providing any additional public funding for the REO property, the term of affordability shall be, at a minimum, the full term consistent with the requirements of the funding previously invested in the REO property; or
(b) If additional public funding is invested in the REO property at the time of sale, the term of affordability shall be, at minimum, the term consistent with the requirements of the additional funding source; however, in the event the resulting term under the additional funding source requirements is less than the full term consistent with the requirements of the funding previously invested in the REO property, the longer term shall be applied in the covenant or regulatory agreement.
SECTION HISTORY
Added by Ord. No. 183,131, Eff. 8-10-14.
Amended by: Ord. No. 187,122, Eff. 8-8-21.
An REO property shall only be sold after the City Council has made the necessary findings and approved the sale by ordinance pursuant to Section 7.27 of the LAAC.
SECTION HISTORY
Added by Ord. No. 183,131, Eff. 8-10-14.
The Council may determine that it is in the public interest to assist a nonprofit corporation in financing or refinancing its acquisition and improvement of real property and equipment and that the assistance requires the City to purchase real property from the nonprofit corporation and then re-sell the real property back to the nonprofit corporation, or requires an equivalent lease/leaseback of real property. The Council may by resolution or ordinance authorize the execution of any deed, contract, lease, installment purchase agreement, installment sale agreement, trust agreement, or other instruments as may be necessary to accomplish the purchase, sale, or lease at and for a price or consideration and upon the terms and conditions to be specified in the resolution or ordinance.
SECTION HISTORY
Article and Section Added by Ord. No. 177,328, Eff. 3-11-06.
Loading...