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RRA - Item 4 - Exception to Guidelines for the First Time Homebuyer ProgramMemorandum To: Frank G. Tripepi, Executive Director From: Stephen Copenhaver, President Date: June 5, 2001 Subject: Exception to Guidelines for the First Time Homebuyer Program Background The purpose of this memorandum is to reply to the letter submitted by Robert (Bob) Lee, dated February 19, 2001. In his letter, Mr. Lee requests an exception to the guidelines for the First Time Homebuyer Program so that he and his wife Margaret can purchase a property in Rosemead from Margaret's mother, Lois Ottesen. They are requesting permission to purchase two dwellings instead of the one dwelling allowed under current guidelines. Mrs. Ottesen and her immediate family are long-time residents of Rosemead. She currently owns four (4) dwelling units on two (2) lots. These houses have been the residences of her family for four generations. Currently, Mr. Lee and his children occupy one of the lots. Mr. & Mrs. Lee reside at 3367 Bartlett Avenue and rent one of the homes on the property from Mrs. Ottesen. They wish to purchase the property at 3377 and 3367 Bartlett Avenue instead of continuing to rent. Mrs. Ottesen has agreed to carry the first mortgage at a reduced interest rate. Because Mrs. Lee and her sister are equal benefactors of their mother's entire estate, the property must be sold at a purchase price approaching fair market value. Mr. Lee desires to participate in the City's First Time Homebuyer Program. Although the guidelines for the Fast Time Homebuyer Program do not allow for the purchase of property with more than one dwelling unit, Mr. Lee's request certainly meets the purpose and intent of the program. The Lee's and their family have been established, long-term members of the community. The family is close and they provide care and support to each other. Recommendation It is our recommendation that the Agency Board approve Mr. Lee's request for an exception to the guidelines for the First Time Homebuyer Program and allow Mr. & Mrs. Lee to apply for program assistance to purchase the property located at 3377 and 3367 Bartlett Avenue, Rosemead. AGENDA JUN 12 2001 ITEM No. 4. 3367 Bartlett Avenue Rosemead, CA 91770-2731 February 19, 2001 Mr. Frank G. Tripei, . Executive Director Rosemead Redevelopment Agency City of Rosemead 8838 Valley Blvd. Rosemead, CA 91770 Dear Mr. Tripei: It has been our dream, like many Americans, to own our own home. We believe that, with the help of a loan for first-time buyers through the Rosemead Redevelopment Agency, it will become a reality. In 1936, my wife's grandparents, Hans and Helga Boe, settled in San Gabriel (now Rosemead). Hans was a contractor and built their two houses as well as several churches in the San Gabriel Valley. They had two daughters, Marilyn Hellberg and Lois Ottesen. Lois is my mother-in-law. She and her husband, Rev. John Ottesen, raised their seven children in the missionary bungalow at 3401 and currently live at the 3377 house, on this family compound. In 1986, when my family was returning from Bangladesh for furlough, Grandma Boe was able to purchase the property adjacent to her own where she had built two two-bedroom houses (3367 & 3377 Bartlett Avenue) for her growing family. The four houses on the two lots have, with the exception of short periods of renters, been the residences of her family for four generations. My wife, Margaret, and I are employed as missionaries of Campus Crusade for Christ (JESUS Film Project) and have been missionaries since 1981. Since 1981, our permanent address has been one of the four houses, whenever we have been home in the United States. We are now based in California permanently. Our extended family is very close-knit. Margaret's mother has cared for her mother, Mrs. Bee, who is still living in her own home alone. If circumstances arise, we will do the same for Margaret's parents. Several of Margaret's six siblings have, at varying times, made their own homes at the compound, either before entering missionary service or while on furlough. Grandma Boe is now 94 years old and through her living trust has willed her entire estate to her two daughters. It is the wish of her daughters that we buy the lot holding 3377 and 3367 Bartlett Avenue instead of continuing to rent 3367. To this end, they are willing to make it possible by carrying the first mortgage at a reduced interest rate. The property must still be sold at a reasonable price so as not to show favoritism within the family. We, of course, will want all legal requirements to be met, in order to avoid jeopardizing either the buyer or the seller. Because the lot has two houses on it, we thought it might have to be sub-divided in order to qualify for a first-time buyer's loan. We understand the City might consider us anyway, due to the unusual circumstances of our family situation. In addition, we are a six-member family living in a two-bedroom house. However, our eldest daughter currently lives at Concordia University, Irvine and our second daughter intends to live at college next school year as well. We believe that the City's loan program is both good for our situation and that our family is good for Rosemead. We will be able to buy the home we need; the family will remain close for mutual care and support; and the City will have stable, long-term members of the community. Rosemead is our home and the home of our family. Will you help us continue to stay here? Sincerely yours, 10" Robert (Bob) Lee cc: Mr. Bill Crowe Mr. Steve Copenhaver