CC - Item 4E - Density Bonus Application for 7660 Garvalia AvenueROSEMEAD CITY COUNCIL
STAFF REPORT
TO: THE HONORABLE MAYOR AND CITY COUNCIL
FROM: BEN KIM, CITY MANAGER
DATE: JANUARY 14, 2025
SUBJECT: DENSITY BONUS APPLICATION
7660 GARVALIA AVENUE
SUMMARY
SLSD Design, on behalf of Nick and Jennifer Lee, has submitted a Density Bonus Application
(Attachment "A") pursuant to California Government Code §65915 (State Density Bonus
Law) for the construction of four duplexes, for a total of eight residential units, three of which,
will be designated for very low-income households. As part of this application, the applicant is
also requesting concessions, for the relief of two development standards (side yard setback and
minimum first floor area) in the Light Multiple Residential (R-2) zone. The applicant is also
proposing to construct two accessory dwelling units (ADUs), however, the ADUs will be
reviewed and approved administratively. The subject site is located at 7660 Garvalia Avenue.
Per Rosemead Municipal Code Section 17.84.140, before a density bonus granted by the City
Council is effective, the developer must execute a density bonus housing agreement with the
City. The agreement must be reviewed and approved by the Community Development Director
prior to City Council approval and the City Council shall direct execution and recordation of the
agreement.
State Density Bonus Law
State Density Bonus Law allows developers to build more housing units than permitted by local
zoning regulations if they include a certain percentage of affordable housing units for very low-
income, low-income, moderate -income, or other qualifying groups, such as seniors. In return,
developers may request concessions from development standards such as reduced parking
requirements, setbacks, or height limits to improve project feasibility. To be eligible for a density
bonus, the project must include at least five units and reserve a percentage of them for affordable
housing. In addition, a developer is not eligible for a density bonus if the housing project is
proposed on a site that has existing units that are affordable to low or very low-income
households, unless the project replaces those units. To qualify as a replacement, the new units
must be of a similar size, meaning they must contain at least the same number of bedrooms as
AGENDA ITEM 4.E
City Council Meeting
January 14, 2025
Page 2 of 7
the unit being replaced. Currently, the project site contains three dwelling units. However, only
two out of the three dwelling units are affordable to very low-income households. Accordingly,
the Density Bonus Application comprises of the replacement of two very low-income units,
concessions, and density and base units as summarized in the table below.
Requested.Hensity Bonus
Zone:
R-2
Density:
12 units per acre
Lot Size:
24,170 square feet (0.55486685 acres)
Base Units:
.55 acres x12 = Six (6) Base Units
Percentage of Very Low-
11%
Income Units Provided:
Number of Very Low-
6 units x 11%= 0.66 (One Very Low -Income)
Income Units:
Requested Density Bonus:
35%
Number of Density Bonus
6 units x 35% = 2.1 (Three Density Bonus Units)
Units Permitted:
The applicant is only proposing two density bonus units.
Replacement Units:
Two Very Low -Income Units
Size of Each Unit:
1,095 sq. ft.
Eight Units
Total Units:
(Three Very Low -Income and Five Market Rate Units)
Term of Affordable
55 Years from date of final certificate of occupancy
Housing Agreement:
RequestedConcessions in Conjunction with Density Bonus Application
Two concessions for projects that include at
Number of Concessions Permitted:
least 10 percent for very low-income
households.
Development Feature
Rosemead Municipal Code
Requested Concession
Requirement
Side Yard Setback: Greater
8 ft
5 ft.
of 5 ft. or 10% of lot width
Floor Area Requirements:
750 sq. ft.
454 sq. ft.
First Floor Minimum
City Council Meeting
January 14, 2025
Page 3 of 7
State Government Code Section 65915 (d)(1) requires that the requested concessions be granted
unless one of the following findings can be made:
(A)The concession or incentive is not required in order to provide for affordable housing
costs, as defined in Section 50052.5 of the Health and Safety Code, or for rents for the
targeted units to be set as specified in subdivision (c).
(B) The concession or incentive would have a specific adverse impact, as defined in
paragraph (2) of subdivision (d) of Section 65589.5, upon public health and safety or the
physical environment or on any real property that is listed in the California Register of
Historical Resources and for which there is no feasible method to satisfactorily mitigate
or avoid the specific adverse impact without rendering the development unaffordable to
low- and moderate -income households.
(C) The concession or incentive would be contrary to state or federal law.
After the City Attorney and staff's review of the above findings, it can be concluded that none of
the above findings can be made. Therefore, it is recommended that the requested density bonus
and concessions be approved by the City Council.
As depicted on the site plan below and in Attachment `B", the applicant is proposing to construct
four duplexes for a total of eight units, three of which will be allocated for very low-income
households. More specifically, Units 1, 2, 3, 7 and 8 will be market rate, while Units 4, 5, and 6
will be designated for very low-income households and restricted to a 55 -year affordable housing
agreement. The applicant is also proposing to construct two ADUs, however, the ADUs will be
reviewed and approved administratively.
0
site run
City Council Meeting
January 14, 2025
Page 4 of 7
Development Standards
Staff has verified that the proposed project would be in compliance with the applicable
development standards of the Rosemead Zoning Code, as demonstrated in the following table
below:
Development Feature
Required
Proposed
Front Yard Setback
20'-0"
20'-0"
(Concession Requested)
sc
1 Floor
Greater of 5'-0" or 10% of
East: 5'-0"
Side Yard
lot width: 8'-0"
West: 5'-0"
Setback'-0"East:
5minimum, 15 0
8'-0"
2"a Floor
West: 8'-0"
combined
Combined: 16'-0"
Rear Yard Setback
20'-0"
20'-0"
First Floor Area
750 sq. ft
(Concession Requested)
Minimum
454 sq. ft.
Building Separation
20'-0"
24'-0"
(Dwellings)
Height of Entry
14'-0"
13'-10"
Treatment
Height
30'-0"
24'-4"
0.36:1
+1.0% Landscape plan with 3 or
0.35 . (maximum)
more mature trees (defined as 24"
Floor Area Ratio
Up to (residential
box or larger)
fl
bonus floor area design
floor
+0.5 Use of drought -tolerant plant
incentives)
materials and automatic irrigation
with moisture sensors
Landscape
20%
20%
Two spaces in enclosed
Parking
garage for each unit: Eight,
Eight, attached two -car garages
two -car garages
Regional Housing Needs Assessment (RHNA)
The City's allocated RHNA totals 4,612 units. The proposed development of eight residential
units, three of which will be designated for very low-income households and two ADUs will
contribute to the City's RHNA allocation for Planning Cycle 2021 to 2029.
City Council Meeting
January 14, 2025
Page 5 of 7
ENVIRONMENTAL ANALYSIS
Class 32, Section 15332 of the California Environmental Quality Act exempts projects
characterized as in -fill development if the project meets the following conditions:
1) The project is consistent with the applicable general plan designation and all applicable
general plan policies as well as with applicable zoning designation and regulations;
The Rosemead General Plan land use designation for the project site is Medium Density
Residential (12 du/ac) and the project site is zoned R-2. Per Rosemead General Plan,
Table 2-5 (General Plan and Zoning Ordinance Consistency Table), the project is
consistent with the applicable General Plan Land Use designation. In addition, the project
is generally consistent with General Plan policies and applicable zoning designations and
regulations as duplexes are permitted by -right in the R-2 zone with the approval of an
Administrative Site Plan and Design Review. The increase in density and modifications
to development standards achieved through concessions are permitted under California
Government Code §65915 (State Density Bonus Law).
2) The proposed development occurs within city limits on a project site of no more than five
acres substantially surrounded by urban uses;
The project site is approximately 0.55 acres and is located within the City of Rosemead's
municipal boundaries. The project site is surrounded by urban uses and bounded by
residential use to the north, east, west, and south of the project site. Within the vicinity,
there are residential developments and three schools. One block extending east along
Garvalia Avenue is Del Mar Avenue, which generally characterized by a mix of retail,
restaurants, offices, and residential developments.
3) The project site has no value as habitat for endangered, rare or threatened species;
The project site, located within a fully urbanized residential neighborhood, is disturbed
and has been developed with three residential units, a paved surface driveway, and other
site improvements for many decades. There is no habitat on the project site to support any
endangered, rare, or threatened wildlife species, and there are no wetlands, riparian
habitat, or other sensitive natural communities either on or adjacent to the project site. In
addition, there are no plants or wildlife on the project site that are designated or would
qualify as a sensitive or special status species in local or regional plans, policies, or
regulations by the California Department of Fish and Game or the U.S. Fish and Wildlife
Service.
City Council Meeting
January 14, 2025
Page 6 of 7
4) Approval of the project would not result in any significant effects relating to traffic,
noise, air quality, or water quality, and;
Traffic
A Trip Generation and VMT Screening Assessment (Attachment "C") was reviewed and
accepted by the City's contract traffic engineer. The proposed residential development
will result in fewer than 50 peak hour trips and does not require an intersection level of
service analysis. In addition, per the City's VMT Guidelines, if a project generates less
than 110 daily vehicle trips, then the project will be eligible to be screened out from a
detailed VMT analysis. Since the project results in a net increase of only 49 daily trips, a
detailed VMT analysis will not be required
Noise
Both the construction and operation of the project will comply with all requirements of
the Rosemead Noise Ordinance, per RMC Chapter 8.36. Therefore, the project will not
cause significant noise impacts.
Air Quality
Vehicle trips will be the primary source of emissions associated with the project's
operations. Given the nature of the proposed use, net emissions from operation of the
project will be well below South Coast Air Quality Management District (SCAQMD)
thresholds. During project construction, the development team will comply with all
applicable SCAQMD and City standards regarding construction equipment and fugitive
dust to minimize any air quality impacts.
Water Quality
Preparation and compliance with a Low Impact Development (LID) Plan will ensure that
the project meets all applicable water quality and water discharge requirements of the
National Pollutant Discharge Elimination System (NPDES) and has no significant water
quality impacts.
5) The site can be adequately served by all required utilities and public services.
The project site is already served by Southern California Edison (electricity), the
Southem California Gas Company (gas) and Golden State Water Company (water).
Sanitary sewer service is provided by the City of Rosemead in collaboration with the Los
Angeles County Sanitation Districts. Recycling and waste collection are provided by
Republic Services, Inc. The Los Angeles County Sheriffs Department (Temple Station)
and Los Angeles County Fire Department (Station 42) provide emergency response
services. The project site will continue to be adequately served by all agencies going
forward.
Accordingly, the Density Bonus Application for 7660 Garvalia Avenue is classified as a Class 32
Categorical Exemption pursuant to Section 15332 of CEQA guidelines.
City Council Meeting
January 14, 2025
Page 7 of 7
STAFF RECOMMENDATION
It is recommended that the City Council:
1. Approve the Density Bonus Application with the two requested concessions; and
2. Direct City staff to execute and record the Affordable Housing Agreement; and
3. Find that the Project is exempt from CEQA review pursuant to Class 32, Section
15332 of the California Environmental Quality Act (CEQA) Guidelines.
FISCAL IMPACT
None
STRATEGIC PLAN IMPACT
The Density Bonus Application is consistent with Goal H — Land Use and Zoning: Rosemead
will continue to create policies that encourage new development, respond to the changing
housing needs of residents, promote activation along our major corridors, and support the local
business community.
PUBLIC NOTICE PROCESS
This item has been noticed through the regular agenda notification process.
Prepared by:
Annie Lao, Acting Planning and Economic Development Manager
'4 6
Lily Valenzuela, Director of Community Development
Attachment A: Density Bonus Application with Density Bonus Housing Agreement
Attachment B: Site, Floor, and Elevations, Dated January 2, 2025
Attachment C: Trip Generation and VMT Screening Assessment
Attachment A
Density Bonus Application with Density Bonus
Housing Agreement
City of Rosemead Planning Division
°? 8838 East Valley Boulevard, Rosemead, California 91770
(626) 569-2140 FAX (626) 307-9218
DENSITY BONUS APPLICATION
Please type or print neatly.
Applicant Information:
SLSD Inc
Home Address: 1414 Fair Oaks Ave, Unit 3
City / State / Zip Code: South Pasadena, Ca. 91030
Phone: 626-799-8818 x104 Mobile Phone:
Property Owner Information:
Home Address:
City / State / Zip Code:
Mobile Phone:
Supplemental Information:
In accordance with Rosemead Municipal Code, Title 17, Chapter 17.84, a request for a density
bonus and proposals for incentives or concessions shall be made in writing at the time of filing the
housing development application and shall be process in conjunction with the underlying
application, and shall be accompanied by a fee in an amount established by resolution of the City
Council. The information required to be submitted in the application listed on the attached checklist.
CERTIFICATE OF APPLICANT: "1 certify that all statements in this application and attachments
are true and correct and complete to the st of my knowledge. "
n
Applicant Signature: — Date: .lune 20, 2024
CITY OF ROSEMEAD
DENSITY BONUS REQUEST
CHECKLIST
P-1 Project Description. Detailed project description for the highest and best use
w development on the site given the existing conditions ("base case"). This
description should not include any affordable units or assume an increase in
density or any development concessions and waivers. It should include, but is
not limited to, the following:
1. Unit mix by type of unit, including the size of each unit;
2. Gross building area and net building area;
3. Construction type;
4. Number of parking spaces as well as where the parking is located
(subterranean garage, tuck -under, attached garages, above -grade, parking
garage, etc.); and
5. Project amenities.
6. Site plan.
n Concessions or incentives statement.
L� A signed letter from the property owner detailing all requested concessions or
incentives and how each of the requested items relates to the affordability of the
project as well as change the project description under the base case.
Z✓ Appraisal and purchase agreement for the site.
Proforma (NO LONGER REQUIRED DUE TO STATE LAW)
71 A completed proforma that outlines the financial justification for each specific
concession or incentive requested. The application must clearly demonstrate
how granting each request will make actual cost reductions in order for the
designated units to be affordable.
The proforma shall show the cost comparison of the projectwithout the requested
incentives or concessions ("base case") versus the proposed projectwith density
bonus and each requested incentives or concession. A proforma shall be
provided for the base case (what can be built on site without any waivers or
density bonus); base case + concession 1 (what concession 1 adds to the
feasibility of the project); same for concessions 2 and 3, and then submit actual
proposal (density bonus + all concessions). The proforma shall include the
following:
a. Direct construction costs: The proforma shall break-out the contractor
fees, contingency allowance, shell costs, parking garage costs, on-site
improvements, off-site improvements, and any extraordinary costs.
b. Indirect costs: the proforma shall provide an itemization of architecture,
engineering and consulting fees; permits and fees; taxes, legal and
accounting fees; insurance costs; marketing costs; developer fee; and
contingency allowance.
c. Financing costs: The proforma shall provide details on the financing
assumptions for the project (interest rate, construction and absorption
periods, loan size, and loan fees). Also include any sales costs such as
commissions, warranties, and closing costs.
d. The proforma shall list sales revenues by product type and income
restriction category, and provide a market study to support the estimated
sales prices.
e. The proforma shall include a calculation of the total developer profit.
Statement of findings for incentives/concessions.
✓� The application shall describe how the following finding is met in order to grant
the requested waivers.
The requested incentive%oncession is required to make the units affordable.
❑ Childcare Facility Permit:
Concession/Incentive statement: A signed letter from the property owner
detailing the requested concessions/incentives which contributes to the
economic feasibility to construct the childcare facility.
2. Proforma: Included with the above proforma, the cost comparison of the
project without the requested incentives/ concessions ("base case") versus
the proposed project with the childcare facility and the additional
incentives/concession shall be shown.
Density bonus housing agreement.
✓�, Before a density bonus granted by the City Council is effective, the developer
must execute a density bonus housing agreement with the City. Please see
RMC Title 17, Article 4, Chapter 17.84, Section 17.84.140 for the housing
agreement requirements.
Density Bonus Application
Project Description
Concessions or Incentive Statement
Statement of Findings for Incentives/Concessions
7660 Garvalia Avenue, Rosemead, CA 91770
January 8, 2025
Dear City Council,
This letter is submitted on behalf of owners Nick Hung Lee and Jennifer Ji Hong Yu -Lee, as trustees
of the Nick and Jennifer Family Trust, in support of their Density Bonus Application for the above -
referenced property. This letter provides a project description and also details Space Light
Structure Design Inc.'s (hereinafter "Applicant") applied incentives and requested concessions
for this project and how each incentive and concession will increase this project's viability.
Base Case
Under Rosemead Municipal Code Chapter 17.12 - Residential Zoning Districts, this property can
only be developed into five single-family dwelling units. Each single-family dwelling unit would
have to be accompanied by a two -car garage. The F.A.R. would be 8,459 square feet.
Density Bonus Request
By applying California Government Code Section 65915 (State Density Bonus Law) and providing
affordable housing, the base number of units can be rounded up to six units.
In conformity with Municipal Code section 17.84.030 and State Density Bonus Law, the Applicant
is proposing to provide one very low-income unit (11%) to qualify for a 35% density bonus. This
project also proposes to incorporate two replacement units for very low-income households
(Units 4 & 6) as required under SB 330. Two ADUs are also proposed, however, are not a part of
this application and will be reviewed administratively. If granted, this project consist of four
duplexes, for a total of eight residential units, three of which will be designated for very -low
income households (one unit will be available for rent to an eligible very low-income household,
and two units will be offered to the current tenants with a first right of refusal or be available for
rent to very low-income households). All three very low-income units will be subject to a
recorded affordability restriction of 55 years.
As part of the Density Bonus Application, the application is also requesting for two concessions
in order to increase this development's viability. The requested concessions are listed below:
Requested Concession #1
Pursuant to Municipal Code section 17.84.070(A)(1)(c), Applicant requests a reduction of the side
yard setback by the garages, on both the East and West sides, to five feet instead of the standard
10% of lot width which equals approximately nine feet. This will increase the garage backup width
to a comfortable and more functional 28 feet and 8'/: inches rather than the standard 20 feet. In
addition, this concession will break up the building masses on both the side yard and driveway.
This modulation will create light and shade which will articulate through the indoor and outdoor
spaces.
Requested Concession #2
The applicant is requesting for the first -floor area to be reduced to be less than 750 square feet
as required by the zoning code. If granted, the total number of units will be eight. With creative
and efficient design, eight units will consist of three bedrooms and two and a half bath; each with
its own attached two -car garage. The ADUs will have one bedroom and two baths with their own
attached one -car garage.
If this development must comply with the 750 square foot minimum first floor area, the total
number of units will be seven. To utilize the size of this property and save on construction costs,
six units will be single story and approximately 900 square feet. One unit will be a single -story
ADU and approximately 500 square feet. Three of the 900 square foot units must be affordable:
two replacement units and one affordable per density bonus. This approach will reduce future
lease revenue. Therefore, it may be difficult for owners to obtain financing to proceed.
There are three existing units on this property with no local rent control constraints. This property
is also large enough to add two ADUs. If the reduction of the first -floor area to be less than 750
square feet is not granted, there will not be enough financial incentives to pursue a brand new
project with an additional affordable unit.
Although this first -floor -area reduction concession is not listed in any Municipal Code, we
strongly feel that this will not compromise the intention of the Density Bonus: to increase
affordable housing. If granted, this concession will increase the rental housing stock of the city
and provide affordable housing with efficient and compact design which can house families of
different sizes and diverse family profiles.
In addition to the requested Density Bonus, the applicant will also be utilizing Residential Bonus
Floor Area Design Incentives as permitted by Rosemead Municipal Code, Table 17.12.030.2:
Requested Incentives:
Percentage Increase %
Incentives Descriptions
1.0
Landscape plan with 3 or more mature trees (Defined as 24" box
or larger)
0.5
Use of drought -tolerant plant materials and automatic irrigation
with moisture sensors
Total: 1.5%
2
The total F.A.R. can be increased by 1. 5% from the base case of 8,495 square feet to a maximum
of 8,821 square feet.
All of the listed incentives provide good design elements and water conservation methods. All
costs for applying the incentives will be absorbed by the property owners.
The applicant respectfully requests that the City Council approve this Density Bonus Application
with the two requested concessions. The requested concessions will have no major impact on
the affordability of this project. Instead, they will greatly enhance this development by providing
comfortable and functional spaces for future occupants.
Sincerely,
Vincent Tsoi, Applicant,
Principal, Space Light Structure Design Inc
Comparable Market Analysis
January 6, 2025
Since the current owners have owned this property since 2014, there is no recent purchase
agreement or appraisal. Accordingly, we are providing the attached CMA (Comparable
Market Analysis) for the subject property:
Address: 7660 Garvalia Avenue, Rosemead, CA 91770
APN:5285-027-004
Comparable 1:
3337 Alanreed Avenue, Rosemead CA
Comparable 2:
7562 Hellman Avenue, Rosemead CA
Comparable 3:
2535 Strathmore Avenue, Rosemead CA
Comparable 4:
2464 New Avenue, Rosemead CA
All four comparable properties are situated in the City of Rosemead and located within 0.5
miles of the subject property. They are all of similar type and size. The CMA has automatically
made adjustment for the subject property and generated a recommended listing value at
$1,282,498.
Anita To, Realtor
DRE# 1853530
Berkshire Hathaway Home Services
540 N Lake Ave, Pasadena, Ca. 91101
Office: 626-440-5100
Cell: 323-382-3988
CMA Prepared by Anita Y To
Subject
7660 Garvalia Ave, Rosemead CA 91770-3037
Address
7660 Garvalia Ave, Rosemead, CA 91770-3037
Building Area Total
2051
Lot Size Dimensions
25324
Tax Tract Number
Year Built
1947
ADU Count
CMA Prepared by Anita Y To
Comparable Properties
Subject P1-19780
a
all
7660 Garvalia Ave, Rosemead CA 91770-3037
WS -24120321 AR -24224283
7660 Garvalia Ave 3337 Alanreed Avenue 7562 Hellman Avenue 2535 Strathmore Avenue
Rosemead CA 91770-3037 Rosemead CA Rosemead CA Rosemead CA
Distance From Subject
0.97
0.64
0.24
List Price
$998,000
$1,238,800
$1,550,000
Original List Price
$998,000
$1,288,800
$1,550,000
Sold Price
$1,020,000
$1,200,000
$1,550,000
Status
Closed
Closed
Closed
Status Date
12/21/2024
11/20/2024
11/29/2024
Days on Market
34
126
0
Cumulative Days on Market
34
126
89
Adjustment
+/-
+/.
+J.
Building Area Total
2,051
1,530
-164
2,346
-8
3,321
+35
Lot Size Dimensions
25324
-4
+8
+3
Tax Tract Number
4823.03
41
8204
Year Built
1947
1925
1926
1943
ADU Count
Adjusted Price
$1,019,832
$1,200,000
$1,560,038
Subject AR -24149490
7660 Garvalia Ave 2464 New Avenue
Rosemead CA 91770-3037 Rosemead CA
Distance From Subject
0.34
List Price
$1,450,000
Original List Price
$1,450,000
Sold Price
$1,360,000
Status
Closed
Status Date
09/10/2024
Days on Market
19
Cumulative Days on Market
19
Adjustment
+l-
+/.
+l -
Building Area Total
2051,
3,720
+137
Lot Size Dimensions
25324
-14
Tax Tract Number
1985
Year Built
1947
1960
ADU Count
Adjusted Price
$1,360,123
CMA Prepared by Anita Y To
Price Analysis
Summary of Closed Listings
7660 Garvalia Ave , Rosemead CA 91770-3037
Total Adjusted
MLS # Address List Price DOM CDOM Sold Date Sold Price Adjustments Price
P1-19780
3337 Alanreed Avenue, Rosemead CA
$998,000
34
34
12120/2024
$1,020,000
$-168$1,019,832
WS -24120321
7562 Hellman Avenue, Rosemead CA
$1,238,800
126
126
11/20/2024
$1,200,000
$0
$1,200,000
AR -24224283
2535 Strathmore Avenue, Rosemead
$1,550,000
0
89
11/27/2024
$1,550,000
$38
$1,550,038
5,130,000
CA
0.98
2,729
509.21
502.62
45
67
Overall
AR -24149490
2464 New Avenue, Rosemead CA
$1,450,000
19
19
09/09/2024
$1,360,000
$123
$1,360,123
Low, Average, Median, and High Comparisons
Closed
Overall
Low
$1,019,832
Avg.
$1,019,832
Average
Avg. Sold
$1,282,498
$1,282,498
Median
Sale/List
$1,280,061
$/Building Area
$1,280,061
High
Status # List Vol.
$1,550,038
Price
$1,550,038
Overall Market Analysis (Unadjusted)
SELECTION CRITERIA FOR COMPARABLE PROPERTIES
Specified listings from the following search:
5
Avg.
Avg. List
Avg. Sold
Avg. List
Avg. Sold
Sale/List
Avg. Building
$/Building Area
$/Building Area
Avg. Avg.
Status # List Vol.
Price Sold Vol.
Price
Price
Area Total
Total
Total
DOM CDOM
Closed
1415,236,8001
1,309,200
5,130,000
1,282,500
0.98
2,729
509.21
502.62
45
67
Overall
4 5,236,800
1,309,200
5,130,000
1,282,500
0.981
2,7291
509.21
502.62
45
67
SELECTION CRITERIA FOR COMPARABLE PROPERTIES
Specified listings from the following search:
5
RECORDING REQUESTED BY
AND WHEN RECORDED, MAIL
City of Rosemead
8836 East Valley Boulevard
Rosemead, California 91770
Attention: City Clerk
Space above for Recorder's Use
This Agreement is recorded at the request and for the benefit
of the City of Rosemead and is exempt from recording fee
pursuant to Government Code Section 27383
AFFORDABLE HOUSING AGREEMENT
Dated as of 20
By and Between
THE CITY OF ROSEMEAD,
a California general law city ("City"),
and
NICK HUNG LEE AND JENNIFER JI HONG YU-LEE, AS trustees of the Nick and Jennifer Family
Trust ("Covenantor")
The land referred to in this Affordable Housing Agreement is situated in the City of Rosemead, County
of Los Angeles, State of California on a parcel located at 7660 Garvalia Avenue, more particularly
described in Exhibit "A", attached hereto and incorporated by reference.
These restrictions provide rights to the City of Rosemead in regulating the rental of the subject
property, containing three affordable units, for a period of 55 years from the date of a final Certificate
of Occupancy.
AFFORDABLE HOUSING AGREEMENT
THIS AFFORDABLE HOUSING AGREEMENT ("Agreement") is made by and between
the CITY OF ROSEMEAD, a California municipal corporation and general law city ("City"), and
NICK HUNG LEE AND JENNIFER JI HONG YU-LEE, As trustees of the Nick and Jennifer
Family Trust("Covenantor"), as of the day of 20_.
RECITALS
A. Covenantor is the owner of certain real property located at 7660 Garvalia Avenue,
in the City of Rosemead and more particularly described in Exhibit "A" attached hereto and
incorporated by reference. ("Property").
B. The Covenantor desires to improve the Property by constructing thereon a
residential project consistent with the approvals for eight (8) dwelling units in which three (3) of
the units shall be affordable units for very low-income households (the "Entitlements").
C. The Density Bonus Application was approved by the City Council on
in accordance with California Government Code Section 65915. The application included a
"density bonus" in exchange for which the Covenantor agreed to make one (1) unit on the Property,
shown and identified on Exhibit `B" attached hereto, an affordable unit. To comply with the
Housing Accountability Act and Senate Bill 330, the Entitlements include two (2) replacement
units shown and identified on Exhibit `B" attached hereto as replacement units. All three (3)
affordable housing units (collectively, the "Affordable Units") are available for rent by eligible
very low-income households at a rent that does not exceed 30% of the area median income adjusted
for family size appropriate for the unit for a period of fifty-five (55) years.
D. The approval of the Density Bonus Application obligates the Covenantor to provide
an instrument that can be recorded against the Property in order to preserve the Affordable Units'
status as affordable housing units for the benefit of very low-income households within the
community.
E. Therefore, the Covenantor and the City now enter into this Agreement for the
purpose of regulating those certain Affordable Units upon the Property. The restriction of the
Property as provided in this Agreement is in accordance with the public purposes and provisions
of applicable state and local laws and requirements.
2
AGREEMENT
NOW, THEREFORE, the Parties hereto covenant and agree as follows:
ARTICLE I
NONDISCRIMINATION
Section 1. Nondiscrimination. All of the Affordable Units must be available for
occupancy on a continuous basis to members of the general public. Covenantor cannot give
preference to any particular class or group of persons in renting the Units, except to the extent
that three (3) units are required to be leased to Very Low -Income Households.
Covenantor covenants by and for itself and any successors in interest that there will be
no discrimination against or segregation of any person or group of persons on account of any
basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases
are defined in Sections 12926, 12926. 1, subdivision (m) and paragraph (1) of subdivision (p)
of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease,
transfer, use occupancy tenure or enjoyment of the Project nor can Covenantor itself, or any
person claiming under or through it establish or permit any such practice or practices of
discrimination or segregation with reference to the selection, location, number, use or
occupancy of tenants, lessees, subtenants, sublessees or vendees in the Project. The foregoing
covenants run with the land.
Covenantor must accept as tenants on the same basis as all other prospective tenants,
persons who are recipients of federal certificates for rent subsidies pursuant to the existing
program under Section 8 of the United States Housing Act of 1937, or its successor.
Covenantor must not apply selection criteria to Section 8 certificate holders that are more
burdensome than criteria applied to any other prospective tenants.
All leases or contracts made relative to the Project, the improvements thereon or any part
thereof, must contain or be subject to substantially the following nondiscrimination clause:
"There must be no discrimination against or segregation of any person or group of persons on
account of race, color, creed religion, sex, sexual orientation, source of income, marital status,
physical or mental handicap, medical condition, national origin or ancestry in the sale, lease,
sublease transfer, use occupancy, tenure or enjoyment of the Project nor may lessee [or the
contractor] or any person claiming under or through it, establish or permit any such practice or
practices of discrimination or segregation with reference to the election location, number, use
or occupancy of tenants, lessees, subtenants, sublessees or vendees in the Project."
3
ARTICLE II
DUTIES OF THE COVENANTOR
Section 1. Use and Occupancy Standards.
The Affordable Units shall be occupied only by "Eligible Households" (as defined below).
The maximum occupancy of each Affordable Unit shall not exceed the maximum occupancy
allowed by the Rosemead Municipal Code. Covenantor shall, upon demand by the City's
Community Development Department, submit to same, an affidavit verifying Covenantor's
compliance with this Agreement. Said affidavit may be required by the City's Community
Development Department on an annual basis.
Section 2. Affordable Housine Restrictions.
(a) Definitions. Unless the contrary is stated or clearly appears from the
context, the following definitions will govern the construction of the words and phrases
used in this Agreement:
"Affordability Period" means the fifty-five (55) year period commencing from the date of
the final Certificate of Occupancy and ending on the fifty-fifth (55111) anniversary thereof.
"Affordable Housing Cost" shall have the meaning defined in Section 50052.5 of the
California Health & Safety Code as of the date of this Agreement or as subsequently amended
from time to time.
"Affordable Housing Unit" means each of the three (3) units within the Property, adjusted
according to family size, which are reserved for rental to Eligible Households in accordance with
the terms of this Agreement.
"Affordable Rent" shall mean the consideration received by Covenantor in connection with
the use or occupancy of an Affordable Unit, as set forth in Section 50053 of the California Health
& Safety Code, for which Affordable Rent shall not exceed the product of thirty percent (30%)
times fifty percent (50%) of the area median income, which are the income limits for Eligible
Households adjusted for family size appropriate for the Affordable Unit. The Affordable Rent may
be adjusted when the income limit figures for Los Angeles County (as set forth by the California
Department of Housing and Community Development) are adjusted.
"Area Median Income" or "AMI" means the annual median income, adjusted according to
household size, for the County of Los Angeles, as most recently published and updated by the
United States Department of Housing and Urban Development ("HUD") and as set forth in 25
California Code of Regulations § 6952, or any other comparable source City deems appropriate.
"Eligible Households" means persons or Households whose Gross Household Income does
not exceed the income limits for "Very Low Income" households for Los Angeles County, adjusted
for family size as set forth by the California Department of Housing and Community Development.
"Gross Household Income" means the income of all members of the Household over the
age of eighteen (18).
"Household" means all persons who will occupy the Affordable Unit located on the
Property whether it be a single family, one person living alone, two or more families living
together, or any other group of related or unrelated persons who share living arrangements
provided that all the terms and conditions set forth in this Agreement are met.
(b) Restrictions. Covenantor acknowledges that the purpose of this Agreement
is to encourage affordable rental to Eligible Households. Pursuant to such purpose and except as
provided herein below, the Affordable Units may be leased by Covenantor during the Affordability
Period only to an Eligible Household at an Affordable Rent (an "Eligible Lease"), as applicable.
Covenantor must use a lease form for the three (3) designated affordable rental units, that
discloses the existence of this Affordable Housing Agreement and identifies how the lessee must
be prequalified as an Eligible Household, before the lease may be executed. This disclosure must
be displayed prominently on the lease form, in at least 12 -point font, and bolded.
In order to verify a lessee's status as an Eligible Household, Covenantor shall submit to the
City's Community Development Department the identity of the proposed lessee, and adequate
information evidencing the income of the proposed lessee. Said income information shall be
submitted together with a notice of proposed Eligible Lease not less than thirty (30) calendar days
prior to the proposed lease, and shall include true copies of income tax returns for the two (2) most
recent years in which a return was filed and such other financial documents required by the City's
Community Development Department in order to verify household income and determine Eligible
Household status of the proposed lessee and whether the Affordable Unit is available to such lessee
at an Affordable Rent. COVENANTOR UNDERSTANDS THAT THE AFFORDABLE RENT
PERMITTED HEREUNDER MAY NOT INCREASE OR DECREASE IN THE SAME
MANNER AS OTHER SIMILAR REAL PROPERTIES WHICH ARE NOT ENCUMBERED
BY THE RESTRICTIONS SET FORTH IN THIS AGREEMENT. COVENANTOR FURTHER
ACKNOWLEDGES THAT THE PRIMARY OBJECTIVE OF THE CITY AND THIS
AGREEMENT IS TO PROVIDE HOUSING TO ELIGIBLE HOUSEHOLDS AT AN
AFFORDABLE RENT, AND THAT THE RENTAL RATE MAY BE LESS THAN OTHER
SIMILAR PROPERTIES WHICH HAVE NO RESTRICTIONS.
Section 3. Recordation of Agreement. This Agreement must be recorded before issuance of
building permits. Covenantor must also record, separate from this Agreement, an Affordable Housing
Covenant document in the form of Exhibit "C," stating that the conditions and obligations to which the
subject Property is bound runs with the land.
ARTICLE III
ENFORCEMENT
Section 1. Remedies.
Breach of the covenants contained in this Agreement may be enjoined, abated or remedied
by appropriate legal proceeding. Covenantor agrees that, if the designated affordable rental units
are rented out at rates exceeding the affordable rent, City may recover such amounts from
Covenantor.
Section 2. Riehts of City.
As a parry to this Agreement, the City is entitled to the following rights:
(a) City has the right, but not the obligation, to enforce all of the provisions of
this Agreement.
(b) Any amendment to the Agreement shall require the written consent of City.
(c) This Agreement does not in any way infringe on the right or duties of the
City to enforce any of the provisions of the Rosemead Municipal Code including, but not limited
to, the abatement of nuisances and or dangerous conditions.
Section 3. Cumulative Remedies.
The remedies herein provided for breach of the covenants contained in this Agreement
shall be deemed cumulative, and none of such remedies shall be deemed exclusive.
Section 4. Failure to Enforce.
The failure to enforce any of the covenants contained in this Agreement shall not constitute
a waiver of the right to enforce the same thereafter.
Section 5. Successors and Assians. The parties hereto each agree that the obligations
and duties contained herein are binding upon the City and Covenanter, and their respective
successors and assigns. Covenanter and its successors cannot assign its rights or delegate its duties
or obligations, or sell, transfer, convey, encumber, assign or lease any of the Affordable Units
(other than for individual tenant use as contemplated hereunder). Covenanter must provide at least
fifteen (15) day notice to City before any proposed transfer to a successor or assign. The assignee
or successor must agree in writing to assume on behalf of itself and its successors and assigns, all
the duties and obligations of the Covenanter under this Agreement, and any purported assignment
will not be valid without such a written agreement.
ARTICLE IV
GENERAL PROVISIONS
Section 1. Severability. Invalidation of any one of these covenants or restrictions by
judgment or order of a court of competent jurisdiction shall in no way affect any other provisions
which shall remain binding and enforceable.
Section 2. Construction. The provisions of this Agreement shall be liberally construed
for the purpose of maintaining the Property. The article and section headings have been inserted
for convenience only, and shall not be considered or referred to in resolving questions of
interpretation or construction.
Section 3. Amendments. This Agreement may be amended only by the written
agreement of Covenantor and City.
Section 4. Notices. Any notice permitted or required to be delivered as provided herein
from one party to another shall be in writing and may be delivered either personally or by first-
class or certified or registered mail, return receipt requested. If delivery is made by mail, it shall
be deemed to have been delivered seventy-two (72) hours after a copy of same has been deposited
in the United States Mail, postage prepaid. Notices shall be addressed as follows:
To City: City of Rosemead
8836 East Valley Boulevard
Rosemead, CA 91770
Attention: City Clerk.
To Covenantor: NICK HUNG LEE AND JENNIFER JI HONG YU-LEE, AS trustees of the
Nick and Jennifer Family Trust
617 North Hidalgo Avenue Alhambra, CA 91801
Attention: Nick Hung Lee,
Attention: Jennifer Ji Hon Yu -Lee
Such addresses may be changed from time to time by notice in writing to City, which shall be
made by certified mail to the other party in accordance with this Section 4.
Section 5. Term of Agreement. Pursuant to the California Density Bonus Law, the term
of this Agreement begins on the date the Building Official issues a final Certificate of Occupancy,
or equivalent, for the Property and remains in full force and effect for a period of 55 years.
Section 6. Violation of Conditions of Approval. Any violation of the conditions of any
of the Entitlements will also constitute a violation of this Agreement and are enforceable as
a breach hereof, as well as any other remedies.
Section 7. Default. If Covenanter defaults in the performance or observation of any
covenant, agreement or obligation set forth in this Agreement, and if such default remains uncured
for a period of sixty (60) days after written notice must have been given by the City to Covenanter
, then the City may declare an "Event of Default' to have occurred hereunder, and, at its option,
may take any one or more of the following steps:
(a) By mandamus or other suit, action or proceeding at law or in equity, require
the Covenanter to perform its obligations and covenants hereunder or enjoin any acts or things
which may be unlawful or in violation of the rights of the City hereunder;
(b) Have access to and inspect, examine and make copies of all of the books
and records of the Covenanter pertaining to the three (3) Units;
(c) Take such other action at law or in equity may appear necessary or desirable
to enforce the obligations, covenants and agreements of the Covenanter.
Section 8. Subordination. The provisions of this Agreement shall be subordinate to any
first lien on the Property held by an institutional lender or investor (the "Lender") and shall not
impair the rights of Lender, or Lender's assignee or successor in interest, to exercise its remedies
under the first lien in the event of default under the first lien by Covenantor. Such remedies under
the first lien include the right of foreclosure or acceptance of a deed or assignment in lieu of
foreclosure or if the mortgage is assigned to the Secretary of the United States Department of
Housing and Urban Development. After such foreclosure or acceptance of a deed in lieu of
foreclosure, this Agreement shall be forever terminated and shall have no further effect as to the
Property or any transferee thereafter; provided, however, if the holder of the first lien acquires title
to the Property pursuant to a deed or assignment in lieu of foreclosure, this Agreement shall
automatically terminate upon such acquisition of title, provided that (i) City has been given not
less than thirty (30) days written notice of a default under the first lien, and (ii) City shall not have
cured the default under such fust lien within the cure period provided in such notice sent to City.
Such cure period shall be at least sixty (60) days from the date of City's receipt of such notice. The
City's subordination provided in this Section 6 shall be subject to City's rights of notice and right
to cure as provided herein.
Section 9. Covenants Do Not Impair Liens. No violation or breach of covenants,
conditions, restrictions, provisions, or limitations contained in this Agreement shall defeat or
render invalid or in any way impair the lien or charge of any mortgage or deed of trust or security
instrument.
Section 10. Covenants to Run with the Land. Covenanter subjects the Project
(including the Project Site) to the covenants, reservations and restrictions set forth in this
Agreement. The City and Covenanter declare their express intent that the covenants, reservations
and restrictions set forth herein are deemed covenants running with the land and must pass to and
be binding upon Covenanter 's successors in title to the Project; provided, however, that on the
termination of this Agreement, said covenants, reservations and restrictions must expire. Each and
every contract, deed or other instrument hereafter executed covering or conveying the Project or
any portion thereof must conclusively be held to have been executed delivered and accepted subject
to such covenants, reservations and restrictions regardless of whether such covenants, reservations
and restrictions are set forth in such contract deed or other instrument. Covenanter, by and for itself
and each successor to any interest in the Project, hereby specifically acknowledges and agrees to
be bound by the covenants contained herein.
8
Section 11. Indemnity and Hold Harmless. Covenantor must defend and provide legal
defense with attomey(s) acceptable to the City, indemnify, and hold harmless the City, their agents,
officials, officers, representatives and employees, from and against all claims, lawsuits, liabilities
or damages of whatever nature arising out of or in connection with, or relating in any manner to
any act or omission of Covenantor, its agents, employees, and subcontractors, and employees
thereof, pursuant to the performance or non-performance of this Agreement. Covenantor must
thoroughly investigate any and all claims and indemnify the City and do whatever is commercially
necessary to protect the City, its agents, officials, officers, representatives and employees as to any
such claims, lawsuits, liabilities, expenses, or damages arising out of this Agreement. Further,
Covenantor cannot bring any claims, cross-claims, actions or cross-complaints against the City, its
agents, employees or representatives, arising out of any disputes between Covenantor and third
parties as to the City approvals or the issuance of building permits for this Project
Section 12. Controlling Law. This Agreement will be interpreted and construed in
accordance with the laws of the State of California.
Section 13. Compliance with Applicable Laws. Covenantor and City must obey all
Federal, State, and local laws, ordinances and regulations.
Section 14. Attorneys' Fees. In any action to interpret or enforce any provision of this
Agreement, the prevailing party will be entitled to its reasonable costs and attorneys' fees.
Section 15. Incorporation of Recitals and Exhibits. Exhibits "A" through "B" are
attached and incorporated herein by reference. Recitals "A" through "E" are incorporated herein
by this reference.
Section 16. Entire Agreement. This Agreement contains the sole and entire agreement
and understanding of the parties with respect to the subject matter hereof. No representations oral
or otherwise, express or implied, other than those contained herein, have been made by the parties.
[SIGNATURES TO FOLLOW]
IN WITNESS WHEREOF, City and Covenantor have caused this instrument to be executed on
their behalf by their respective officers hereunto duly authorized as of the dates set forth below
DATED:
ATTEST:
Ericka Hernandez, City Clerk
APPROVED AS TO FORM:
Rachel Richman, City Attorney
DATED:
"City"
CITY OF ROSEMEAD,
a California general law city
By:_
Name:
Title:
"Covenantor"
Nick and Jennifer Family Trust
By:
Name: Nick Hung Lee
Title: Trustee
By:
Name: Jennifer Ji Hong Yu -Lee
Title: Trustee
10
A notary public or other officer completing this certificate verifies only the identity of the individual who signed
the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that
document.
State of California
County of
On , before me, a Notary
Public, personally appeared ,
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are
subscribed to the within instrument and acknowledged to me that he/she/they executed the same
in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the
person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature
11
A notary public or other officer completing this certificate verifies only the identity of the individual who signed
the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that
document.
State of California
County of
On , before me, a Notary
Public, personally appeared ,
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are
subscribed to the within instrument and acknowledged to me that he/she/they executed the same
in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the
person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature
IN
EXHIBIT "A"
LEGAL DESCRIPTION OF PROPERTY
Lot 17 of Tract No. 1985, in the City of Rosemead, County of Los Angeles, State of California, as per
Map recorded in Book 22, Page 159 of Maps, in the Office of the County Recorder of said County.
Except westerly 50 feet thereof
13
EXHIBIT "B"
AFFORDABLE UNITS
OANVALIA •VENUE
14
EXHIBIT "C"
RECORDING REQUESTED BY, AND
City of Rosemead
8836 East Valley Boulevard
Rosemead, California 91770
Attention: City Clerk
WHEN RECORDED MAIL TO:
SPACE ABOVE THIS LME FOR RECORDER'S USE
AFFORDABLE HOUSING COVENANT
This AFFORDABLE HOUSING COVENANT ("Covenant") is dated for
identification purposes as of , 20 and is made by Nick and
Jennifer Family Trust ("Owner"). As used herein, the term "Owner" shall be deemed to
include: (i) the foregoing listed individual or individuals; and (ii) the successors and assigns
of such individual or individuals, during the time the successors and/or assigns own or hold
an interest in the Property. This Covenant is made with reference to the following facts:
RECITALS
A. Nick and Jennifer Family Trust is the original owner of certain real property
located at 7660 Garvalia Avenue, in the City of Rosemead ("Property").
B. Nick and Jennifer Family Trust applied for developmental entitlements to
construct an eight (8) unit development, three (3) of which will be affordable units for very
low-income households ("Project').
C. Nick and Jennifer Family Trust submitted a density bonus application for
concessions consisting of a reduced side yard setback by the garages and reduced first -
floor area to be less than 750 square feet in exchange for providing three (3) affordable
housing units from the eight (8) residential units at the Project.
D. On , 202_, the City of Rosemead and Nick and
Jennifer Family Trust entered into that certain Affordable Housing Agreement ("Master
Agreement'), recorded on , as Instrument No in the
official records of Los Angeles County, which the Master Agreement designated that three (3)
residential units out of an eight (8) unit single dwelling development at 7660 Garvalia Avenue,
Rosemead, CA 91770, shall be used as affordable housing units for the benefit of very low-income
households within the community.
E. The three (3) residential units are considered an "Affordable Unit" as such
term is defined in the Master Agreement, and the use of the residential units must be limited
to very low-income households as may be required by Health and Safety Code section
50053 (for rent) and as may be verified by the City from time to time.
DECLARATION AND AGREEMENT
1. Continuine Affordability. Owner agrees and covenants on behalf of itself
and its successors and assigns, that during the tern of the Master Agreement:
(a) The designated three (3) units (collectively, "Affordable Units") on
Exhibit "A" shall be used as Affordable Units, and shall only be occupied by and/or rented
to a Qualified Household, as set forth in the Master Agreement; and
(b) Owner specifically acknowledges, covenants and agrees that any
use of the Affordable Units that is in violation of the requirements set forth in the Master
Agreement may be enjoined by the City of Rosemead and the City shall have the right to
enforce any of the provisions of the Master Agreement or of this Covenant, including but
not limited to, injunctions, constructive trusts, liens, or foreclosure remedies.
2. Subordination.
(a) Subordination. Subject to compliance with the provisions in Section
3, the provisions of this Covenant shall be subordinate to any first lien on the Property held
by an institutional lender or investor (the "Lender") and shall not impair the rights of
Lender, or Lender's assignee or successor in interest, to exercise its remedies under the
first lien in the event of default under the first lien by Owner. Such remedies under the first
lien include the right of foreclosure or acceptance of a deed or assignment in lieu of
foreclosure or if the mortgage is assigned to the Secretary of the United States Department
of Housing and Urban Development. After such foreclosure or acceptance of a deed in lieu
of foreclosure, this Covenant shall be forever terminated and shall have no further effect as
to the Property or any transferee thereafter; provided, however, if the holder of the first lien
acquires title to the Property pursuant to a deed or assignment in lieu of foreclosure, this
Covenant shall automatically terminate upon such acquisition of title, provided that (i) City
has been given not less than thirty (30) days written notice of a default under the first lien,
and (ii) City shall not have cured the default under such first lien within the cure period
provided in such notice sent to City. Such cure period shall be at least sixty (60) days from
the date of City's receipt of such notice. The City's subordination provided in this Section
shall be subject to City's rights of notice and right to cure as provided herein.
(b) Covenants Do Not Impair Liens. No violation or breach of
covenants, conditions, restrictions, provisions, or limitations contained in this Covenant
shall defeat or render invalid or in any way impair the lien or charge of any HUD, FHA or
FNMA originated mortgage or deed of trust or security instrument.
3. Transfer. No Owner shall cause or permit a transfer of the Property or of an
interest therein to occur without prior written notice to the City. Owner must provide City
with at least 15 days' advance written notice of any proposed financing that will be secured
by a deed of trust recorded against the Property, which notice must include: (i) reasonable
documentation evidencing the amount of such financing and (ii) the Owner's calculation of
the current maximum sale price; and (iii) the Owner's calculation of the current city equity
share (based on such maximum sale price and as authorized by Government Code section
65915(c)(2)). Under no circumstances may the total amount of encumbrances to be recorded
against the Property exceed the current maximum sale price less the current city equity share,
each as determined by City. Within 15 days of receipt of the notice of proposed financing
and reasonable documentation of the amount of such financing and current maximum sale
price and current city equity share, the director will give written consent to the financing if
the proposed financing and the total amount of the proposed encumbrances to be recorded
against the Property do not exceed the amount of the current maximum sale price less the
current city equity share. Each Owner shall cooperate with the City in providing such forms
to proposed purchasers to acknowledge that the Property is subject to the requirements of
the Master Agreement and this Covenant. Failure to observe this requirement will be deemed
a material breach of this Covenant and the Master Agreement.
4. Notice of Default and Ootion to Purchase. Owner agrees to record in the
Los Angeles County Recorder's office a request for a copy of any notice of default and any
notice of sale under any deed of trust or mortgage with the power of sale encumbering the
Property as provided in California Civil Code section 2924b. The request must specify that
any notice will be provided to City at the address 8838 East Valley Blvd., Rosemead, CA
91770. Any notice of sale given under Civil Code section 2924f or any service of summons
or other papers in a judicial foreclosure will constitute a notice of intent to sell and City or
its designee may exercise its option to purchase.
5. Remedies: Attorneys' Fees and Costs. Breach of the covenants contained
in this Covenant, the Master Agreement, or any condition of approval underlying such
Covenant or Master Agreement may be enjoined, abated or remedied by the City by
appropriate legal proceeding. In the event that City incurs any attorneys' fees, court costs,
or any other costs or expenses in investigating compliance with or enforcing this Covenant,
the Master Agreement, or any condition of approval underlying such Covenant or Master
Agreement, investigating or defending claims brought by Owner under this Covenant, City
shall be entitled to recover any such fees, costs and expenses from Owner.
6. Rights of City. City has the right, but not the obligation, to enforce all of
the provisions of this Covenant, the Master Agreement, or any condition of approval
underlying such Covenant or Master Agreement. Any amendment to the Covenant shall
require the written consent of City.
7. Term of Covenant. This Covenant shall terminate concurrently with the
termination of the Master Agreement.
IN WITNESS WHEREOF, the Owner has executed this Covenant as of the date
indicated above.
OWNER:(eachindroidaalownermustsignandacknowledge below; add more signature lines fnecessary)
Name:
A notary public or other officer completing this certificate verifies only the identity of the
individual who signed the document to which this certificate is attached, and not the truthfulness,
accuracy, or validity of that document.
State of California
County of
On , before me, , a
Notary Public, personally appeared
, who proved to me on
the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to
the within instrument and acknowledged to me that he/she/they executed the same in
his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the
instrument the person(s), or the entity upon behalf of which the person(s) acted, executed
the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature
A notary public or other officer completing this certificate verifies only the identity of the
individual who signed the document to which this certificate is attached, and not the truthfulness,
accuracy, or validity of that document.
State of California )
County of )
On , before me, , a
Notary Public, personally appeared
, who proved to me on
the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to
the within instrument and acknowledged to me that he/she/they executed the same in
his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the
instrument the person(s), or the entity upon behalf of which the person(s) acted, executed
the instrument.
1 certify under PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature
EXHIBIT "B"
AFFORDABLE UNITS
GANVALIA AVENUE
Attachment B
Site, Floor, and Elevations,
Dated January 2, 2025
SLSD
1414 Fair Ca ks Avenue S-3
South—d— cal --91030
Office: (626) ]99.818
Fax: (626)799.823
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1414 Fair Oaks Avenue, Suite 3
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1414 FA Oaks Avenue, S-3
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— (62 799 8823
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1414 Far Oaks Avenue Sute3
S M1 —A— Cal --91030
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TYPE B
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1414 Fa it Oaks Avenue, S-3
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— (62 799 8823
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1414 F -0—A-11 SlIR3
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1414 Fa Ir Oaks Avenue, SlIR3
South Pasadena, GaliNmia 91030
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— (626)7998823
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1414 Fa Ir Oaks Avenue, SID,3
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SLSD
1414 Fa Ir Oaks Avenue, SID,3
SOUK Pasadena, Ga IDYL— 9 1030
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—(626)]99.823
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Attachment C
Trip Generation and VMT
Screening Assessment
TECHNICAL MEMORANDUM
Date: September 3, 2024
To: KMT Management, Inc. (Attention: Mr. Ken Do)
From: Jonathan Louie, P.E. — Senior Engineer, KOA Corporation
Subject: Trip Generation and VMT Screening Assessment for 10 -Unit Residential Development at 7660 Garvalia
Avenue in the City of Rosemead
KOA Corporation (KOA) has prepared this Technical Memorandum that includes a Trip Generation Analysis and Vehicle
Miles Traveled (VMT) Screening Assessment for the captioned project
PROJECT DESCRIPTION
The Project site is located at 7660 Garvalia Avenue in the City of Rosemead, California. The site is surrounded by residential
uses in all directions. The project location is illustrated in the Attachment.
The proposed development will consist of 10 residential dwelling units including 4 duplex units (totaling 8 attached units)
and 2 detached Accessory Dwelling Units (ADU). Vehicular site access will be provided via one driveway on Garvalia Avenue.
The project site is currently occupied by three single-family dwelling units, which will be removed in anticipation of the
project. Figure 7 illustrates the project site plan.
PROJECT TRIP GENERATION
The project trip generation was estimated based on trip rates from the Institute of Transportation Engineers (ITE) Trip
Generation Manual, I Ph Edition. As the Project will consist of both single-family attached and detached dwelling units, the
trip rates for ITE Land Use Codes 215 and 210, respectively, were used. The trip rates for ITE Land Use Code 210 were also
used to estimate the trip generation for the existing single-family detached dwelling units. The ITE trip rates are shown in
Table 1.
Trip Generation and VMT Screening Assessment for Residential Development at 7660 Garvalia Avenue 000023601
City of Rosemead Page 1
K0A
+LOCHNER CC'�1a4tiY
Table 1 - Project Trip Rates
* Source: Institute of Transportation Engineers Trip Generation, 11th Edition
DU=Dwelling Units
Based on the ITE trip rates, the project trip generation was determined and is summarized in Table 2. As shown in this
table, the Project is expected to result in a net increase of 49 daily trips including 3 AM peak -hour trips (0 inbound and 3
outbound) and 4 PM peak -hour trips (2 inbound and 2 outbound).
Table 2 - Project Trip Generation
Land Use
Daily
AM Peak Hour
PM Peak Hour
ITE Code ITE Trip Rate*
PM Peak Hour
In Out Total
In Out Total
(2 -way)
In Out I Total
In Out Total
215 Single -Family Attached HousingTri s/DU
7.20
31°k 69% 0.48
57% 43% 0.57
210 Single -Family Detached Housing Trips/DU
9.43
26% 1 74% 1 0.70
63% 1 37% 1 0.94
* Source: Institute of Transportation Engineers Trip Generation, 11th Edition
DU=Dwelling Units
Based on the ITE trip rates, the project trip generation was determined and is summarized in Table 2. As shown in this
table, the Project is expected to result in a net increase of 49 daily trips including 3 AM peak -hour trips (0 inbound and 3
outbound) and 4 PM peak -hour trips (2 inbound and 2 outbound).
Table 2 - Project Trip Generation
Land Use
Size
(units)
Daily
(2 -way)
AM Peak Hour
PM Peak Hour
In Out Total
In Out Total
Proposed Land Use
Sin le-Famil Attached Housing* 8
581
3 4
3
2
5
Single -Family Detached Housing 2
19
0
1 1
1
1
2
Sub-Total[A]
77
1
4 5
4
3
7
Existing Land Use (To be Removed)
ISingle-Family Detached Housing 3
-28
-1
-1 -2
-2
-1
-3
Net Total Trip Generation [C= A+ B1
49
0
3 3
2
2
4
* Assume ADU units as Single -Family Detached Housing
According to the City of Rosemead Transportation Study Guidelines for Vehicle Miles Traveled and Level of Service
Assessment dated October 2020 (TIA Guidelines), a Traffic Impact Analysis (TIA) that includes Level of Service (LOS) analysis
may be required for a proposed project when the trips generated by a proposed development will add more than 50 project
trips during either the AM or PM peak hours to any signalized intersection.
Since the project is anticipated to result in an increase of no more than 4 new trips during either the AM or PM peak hours
and therefore will not add more than 50 project trips during either the AM or PM peak hours to any signalized intersection,
it is concluded that a TIA that includes a LOS analysis is not required for the project.
Trip Generation and VMT Screening Assessment for Residential Development at 7660 Garvalia Avenue 000023601
City of Rosemead Page 3
K 04, A
A LOCHNER COMPANY
VMT SCREENING ASSESSMENT
On December 28, 2018, the California Office of Administrative Law cleared the revised California Environmental Quality Act
(CEQA) guidelines for use. Among the changes to the guidelines was the removal of vehicle delays and LOS from
consideration under CEQA. With the adopted guidelines, transportation impacts are to be evaluated based on a project's
effect on VMT.
The first step is to evaluate whether a project is eligible to be screened out from preparing a detailed VMT analysis. The
City's TIA Guidelines provide three screening criteria for land use projects. If a project satisfies one or more of the screening
criteria, then that project can be screened out from a detailed VMT analysis.
The project screening criteria established in the "Project Screening" section of the TIA Guidelines were reviewed. According
to the "Project Type Screening" criteria, a project that generates less than 110 daily vehicle trips can be presumed to have a
less than significant impact relating to VMT. As the project is anticipated to result in a net increase of only 49 daily trips, the
project can be presumed to have a less significant VMT impact. Therefore, the project is screened out from conducting a
detailed VMT analysis.
CONCLUSIONS
The Project is expected to result in a net increase of 49 daily trips including 3 new AM peak -hour trips (0 inbound and 3
outbound) and 4 new PM peak -hour trips (2 inbound and 2 outbound). As the Project will not add more than SO trips during
either the AM or PM peak hours to any signalized intersections, it is concluded that a LOS TIA is not required for the project
based on the City's TIA Guidelines.
Per the City's VMT Guidelines, if a project generates less than 110 daily vehicle trips, then the project will be eligible to be
screened out from a detailed VMT analysis. Since the project results in a net increase of only 49 daily trips, a detailed VMT
analysis will not be required.
Should you have any questions or would like to discuss the trip generation analysis or VMT screening assessment, please
contact me at JLouieCfhwlochner.com or (714) 923-6269.
�—
Sincerely,
4__
Jonathan Louie, P.E.
Senior Engineer
Trip Generation and VMT Screening Assessment for Residential Development at 7660 Garvalia Avenue 000023601
City of Rosemead - Page 4
K 04, A
LOCHNER"
ATTACHMENT
Project Location
Map Source. Google
Trip Generation and VMT Screening Assessment for Residential Development at 7660 Garvalia Avenue 000023601
City of Rosemead Page 5