To: MAYOR AND CITY COUNCIL
From: MARC WIENER, COMMUNITY DEVELOPMENT DIRECTOR
TITLE
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APPROVE AN AGREEMENT WITH KEYSER MARSTON ASSOCIATES, INC. (KMA) TO PROVIDE CONSULTING SERVICES FOR THE COMMUNITY DEVELOPMENT DEPARTMENT TO ASSIST THE CITY IN DOCUMENTING THE AFFORDABLE HOUSING AGREEMENT TERMS FOR THE 43-UNIT RESIDENTIAL CONDOMINIUM DEVELOPMENT PROJECT LOCATED AT 122 AND 126 NORTH PACIFIC COAST HIGHWAY FOR AN AMOUNT NOT TO EXCEED $30,000 (PAID BY THE DEVELOPER) AND THE TERM APRIL 14, 2026 THROUGH APRIL 13, 2027
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EXECUTIVE SUMMARY
At their duly noticed public hearing on February 20, 2025, the Planning Commission approved Resolution No. 2025-02-PCR-01 to permit the construction of a Residential Condominium Project with 43 Units located at 122 and 126 N. Pacific Coast Highway. As approved and conditioned, the Applicant is required to execute and record an Affordable Housing Agreement in a form approved by the City Attorney restricting the sale or lease of the 3 deed-restricted units to very low-income households in accordance with the requirements of Government Code Section 65915.
The developer will cover all costs associated with the preparation and review of the required Affordable Housing Agreements and related documents through a deposit collected by the Community Development Department.
BACKGROUND
Keyser Marston Associates, Inc. (KMA) has specialized expertise in the development of Affordable Housing Agreements that comply with rapidly evolving State housing affordability laws. KMA shall perform the following professional housing consulting services to assist the City in documenting and implementing the required Affordable Housing requirements:
• Prepare and review Affordable Housing Agreements and related documents, and provide written comments and revisions to prepare the documents in final, execution ready form, including, as applicable:
o Regulatory Agreement
o Loan Agreement (if required based on affordability structure)
o Promissory Note
o Deed of Trust
o Homebuyer Selection Procedures
o Affordable Sale Price calculations
Said Agreements will comply with all applicable federal, state, and local laws, including but not limited to Government Code Section 65915 et seq.
KMA will also assist the City in evaluating and documenting the selected affordability structure (Long-Term Resale Controls or Equity Sharing on First Resale) and incorporating the selected structure into the applicable Affordable Housing Agreements.
The total not to exceed amount of the proposed Agreement is $30,000 for a term running from April 14, 2026 through April 13, 2027. Staff recommends approval of the proposed Agreement with KMA.
COORDINATION
The Community Development Department coordinated the proposed Agreement with the Community Services Department, Housing Division. The Agreement has been approved as to form by the City Attorney’s Office.
FISCAL IMPACT
The full $30,000 cost of the contract is paid by the project developer.
APPROVED BY:
Mike Witzansky, City Manager
ATTACHMENTS
• Agmt - Keyser Marston Associates, Inc.
• Insurance - Keyser Marston Associates, Inc.