Persons conditionally granted an affordable housing density bonus, development concession, or reduction in parking standards must enter into an agreement with the city in a form approved by the City Attorney. The agreement must, at a minimum, include the following:
(A) The total number of units that will be constructed and the number of units that will be made affordable to very low, low or moderate-income households must be clearly stated;
(B) The affordable units must be reserved for very low and low income households;
(C) Resale controls must be included as a deed restriction consistent with this subsection;
(D) If reduced parking standards were approved for the project, the number of bedrooms of each unit must be identified;
(E) Applicant must provide written evidence to the city that initial occupants of all affordable units meet the necessary income qualifications. The property owner must provide an annual report to the city certifying tenants of qualifying rental units meet the income and rent limit requirements;
(F) Every purchaser of moderate-income owner-occupied units must certify the unit will be the purchaser’s primary place of residence, and every renter of low or very low income units must certify the unit will be occupied by the household renting the unit;
(G) Applicant must provide written evidence to the city that initial owner occupants of moderate income units meet the necessary income qualifications. Subsequent sale of moderate income units must be limited to moderate income households, as approved by the city. In addition, sale proceeds of moderate income units sold after the first ten years of occupancy by moderate income household(s) must be distributed as follows:
(1) Initial owner is entitled to receive the value of the down payment, documented improvements to the property and a proportional share of the unit’s appreciation, in accordance with the formula in Cal. Gov’t Code § 65915.
(2) The city must receive its proportional share of appreciation of the unit in addition to the amount of the original subsidy. The city must use the proceeds within three years to promote affordable, owner-occupied housing.
(Ord. 1173, passed 7-2-07; Am. Ord. 1244, passed 10-15-12)