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Item L2 LAND AUTHORITY GOVERNING BOARD AGENDA ITEM SUMMARY Meeting Date: August 20, 2003 Bulk Item: Yes No X Department: Land Authority Agenda Item Wording: Approval of a resolution authorizing the purchase and conveyance of property in Largo Gardens subdivision in partnership with Habitat for Humanity for the purpose of providing affordable housing. Item Background: The Land Authority has provided Habitat for Humanity of the Upper Keys, Inc. (HFH) with 9 buildable subdivision lots over the past two years. Four of the lots are now developed with houses and occupied with income-qualified owners and five of the lots are in the process of being developed. The proposed resolution authorizes the purchase of an additional lot selected by HFH. The lot is on Rose Place in Largo Gardens subdivision at MM 101.5 on Key Largo. The lot is zoned Improved Subdivision (IS), is buildable, and is not located in an environmentally sensitive area. Following the Land Authority's purchase of the lot, the proposed resolution authorizes conveyance of the lot to HFH subject to a 50-year deed restriction addressing occupancy and limitations on resale. Advisory Committee Action: None. This item will be considered at the next meeting of the Advisory Committee. Previous Governing Board Action: The Board's most recent action involving HFH was on August 21, 2002, when the purchase and conveyance of five lots was approved. Contract/Agreement Changes: N/A Staff Recommendation: Approval. Total Cost: $17,806.00 Budgeted: Yes ~ No Cost to Land Authority: 17,806.00 Source of Funds: Land Authority (Tourist Impact Tax and State Park Surcharge) Approved By: Attorney ~ County Land Steward X. j,}-, . ~ G- Executive Director Approval: ----4 ark J. Rosch Documentation: Included: X To Follow: Not Required: Disposition: Agenda Item LA #2 Property Largo Gardens (PB 4-38) Block 6, Lot 15 (perjussy) Purchase Price $17,000.00 PURCHASE CONTRACTS 08/20/03 Envr. Audit, Survey or Clean-up $350.00 1 of 1 Title Insurance $200.00 Attorney Fee $250.00 Recording Fee $6.00 Acquisition Total $17,806.00 RESOLUTION NO. A RESOLUTION OF THE MONROE COUNTY COMPREHENSIVE PLAN LAND AUTHORITY AUTHORIZING THE PURCHASE AND CONVEYANCE OF PROPERTY IN LARGO GARDENS SUBDIVISION IN PARTNERSHIP WITH HABITAT FOR HUMANITY OF THE UPPER KEYS, INC. FOR THE PURPOSE OF PROVIDING AFFORDABLE HOUSING. WHEREAS, section 380.0666(3), Florida Statutes (FS) and section 9.3-2, Monroe County Code, empower the Monroe County Comprehensive Plan Land Authority (hereinafter "Land Authority") to acquire an interest in real property for the purpose of providing affordable housing to very low, low, and moderate income persons as defined in section 420.0004, FS, where said acquisitions are consistent with a comprehensive plan adopted pursuant to Chapter 380, FS; and WHEREAS, Habitat for Humanity of the Upper Keys, Inc. (hereinafter HFH) is a not-for-profit Florida corporation and an approved affiliate of Habitat International and is organized to provide safe, decent, and affordable housing to people in need within the Upper Keys area; and WHEREAS, HFH requests that the Land Authority purchase certain property in Largo Gardens subdivision and convey the subject property to HFH and allow HFH to develop the property with affordable housing; and WHEREAS, at a meeting held on the Land Authority Advisory Committee voted _ to recommend of purchasing the subject lots; and WHEREAS, the Governing Board wishes to approve the Advisory Committee's recommendation; NOW, THEREFORE, BE IT RESOLVED BY THE MONROE COUNTY COMPREHENSIVE PLAN LAND AUTHORITY: Section 1. The Chairman of the Land Authority Governing Board is hereby authorized to sign contracts for the purchase of property as follows: Property Block 6, Lot 15, Largo Gardens subdivision (PB 4-38) Purchase Price $17,000.00 Section 2. At closing, the Chairman of the Land Authority Governing Board is hereby authorized to sign a deed conveying the subject property to Habitat for Humanity of the Upper Keys, Inc. Said deed shall restrict future use of the property to single-family residential units for occupancy by very low, low, or moderate income persons as defined in section 420.0004, Florida Statutes, for a period of fifty (50) years, and as further restricted by Monroe County affordability regulations and Attachment A. Page 1 of 2 PASSED AND ADOPTED by the Monroe County Comprehensive Plan Land Authority at a regular meeting on this day of 2003. (Seal) ATTEST: Mark J. Rosch Executive Director Approved for Legal Sufficiency Larry R. Erskine MONROE COUNTY COMPREHENSIVE PLAN LAND AUTHORITY Murray E. Nelson Chairman Page 2 of 2 ATTACHMENT A AFFORDABILlTY COVENANTS 1. Affordability Period. These affordability requirements shall run with the property for a period of fifty (50) years. 2. Income Limits, Use and Transfer Restrictions. Habitat for Humanity of the Upper Keys, Inc. (hereinafter HFH) shall develop the subject property and make same available as ownership housing in accordance with the conditions specified below. 3. Use and Occupancy. The subject property shall be owner occupied and used as the homeowner's primary residence and such other uses incidental to residential use as may be permitted by local zoning and land use regulations. 4. Income Qualified Buyers. Ownership shall be restricted to households earning less than or equal to 100% of the Monroe County median income adjusted for household size at the time of conveyance. 5. Affordability. Monthly housing costs, defined as principal, interest, taxes, insurance (PITI), and homeowner association fees [if any] shall not exceed the annual adjusted gross household income multiplied by 0.30 and divided by 12, all in accordance with S420.0004, Florida Statutes. 6. Resale Limits. The property and the improvements located thereon may be transferred, subject to the provisions of Paragraphs 4 and 5 above, provided the transfer price does not exceed the sum of the price the current owner paid plus 25% of the amount by which the unrestricted market value of the property may have appreciated during the current owner's period of ownership. All transfers are contingent upon HFH maintaining the right of first refusal to either purchase the property or provide the Seller a qualified Buyer. 7. Refinancing Limits. The property may not be encumbered for any purpose without the prior approval of the Monroe County Comprehensive Plan Land Authority (hereinafter MCLA), except for encumbrances for projects resulting in capital improvements to the property and encumbrances imposing additional affordability covenants. 8. Affordability Monitoring. HFH will be responsible for ensuring these affordability requirements are maintained. 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