SR 06:162 - Laserfiche WebLink

of selecting a lender of their choice. Purchasers using the owner's preferred lender will receive a discount on closing costs up to $5,000. A down payment will be required for the purchase of any affordable nnit. In addition, the City may offer a limited number of City second mortgages for the affordable units. The City may also coordinate use of its CaIHF A HELP down payment assistance funding for the affordable units. The owner shall offer an additional discount to tenants who purchase units in "as is" condition as follows: Studio Units - $15,000 One Bedroom - $20,000 Two Bedroom - $30,000 This discount will be increased by $20,000 for an elderly, disabled or long term (more than ten years) tenant. Unless affordable units are sold to existing tenants who select to purchase the unit in an "as is" condition, all affordable units will be refurbished prior to sale consistent with market rate units. Tenant Notice Although staff has been advised that all the current tenants at the time they entered into their respective leases were provided written notice that the project was approved as a condominium project and that the unit could be sold (and their lease terminated), the owner has agreed to provide notice 180 days prior to any tenancy being terminated. Within that 180 day notice period, the tenant would be given a 120 day right of first refusal to purchase the unit. These exceed the requirements under the Subdivision Map Act. In addition, in that there are 14 buildings and the units in each building will be refurbished and placed on the market before proceeding to the next building (a process that could take two or three years), some existing tenants could remain on the site for that period of time. In other words, it would not be in the owner's economic interest to have all 520 tenants move out at the same time and therefore until it is time to refurbish a unit (beyond the 180 days), a tenant may remam. Assistance for Tenants Who Purchase Their Units Any tenant who purchases a market rate unit "as is" will receive a $20,000 to $30,000 price reduction (depending on the type of nnit). Any elderly, disabled or long term (more than 10 years) tenant will get an additional discount of $20,000 (for a total discount of up to $50,000). Any tenant who uses the owner's preferred lender will get a credit up to $5,000 on closing costs. SR:6:162 Page 3