Document elcerrito_gov_doc_4d63aed1b0

Response to Request for Qualifications / Proposals El Cerrito Redevelopment Agency Mixed Use Development Site June 21, 2010 Eden Housing, Inc. 22645 Grand Street Hayward, CA 94541 [PHONE REDACTED] www.edenhousing.org ---PAGE BREAK--- Response to Request for Qualifications / Proposals El Cerrito Redevelopment Agency Mixed Use Development Site June 21, 2010 TABLE OF CONTENTS 1. Cover Letter 2. Development Entity 3. Financial Statements 4. Experience a. Downtown River Apartments b. Hayward Senior Housing c. Ohlone‐Chynoweth Commons d. Wisteria Place e. Wicklow Square 5. Description of Proposed Project Concept a. Narrative Description b. Graphic Depiction 6. Financing Plan and Pro forma a. Financing Narrative b. Pro forma 7. Project Schedule ---PAGE BREAK--- Response to Request for Qualifications / Proposals Eden Housing, Inc. El Cerrito Redevelopment Agency June 21, 2010 Mixed Use Development Site 1. Cover Letter ---PAGE BREAK--- ---PAGE BREAK--- ---PAGE BREAK--- S AMUEL MERRITT UNIVERSITY June 21,2010 Ms. Hilde Myall, Housing Project Manager Redevelopment & Housing City of EI Cerrito 10890 San Pablo Avenue EI Cerrito, CA 94530 Oakland· Sacra mento· San Francisco· San Mateo RE: Request for Qualifications/Proposals Submittal, Residential Mixed-Use Development Site Dear Ms. Myall: Samuel Merritt University is pleased to join with Eden Housing to propose a mixed-use development on the property adjacent to EI Cerrito's beautiful new City Hall, a location that lends itself to a mixed-use development with affordable housing and health services. Samuel Merritt University is a fully accredited health sciences institution of higher education with campuses in Oakland, Sacramento, San Francisco, and San Mateo. We offer degrees in nursing, occupational therapy, physical therapy, physician assistant, and podiatric medicine and are affiliated with Sutter Health and Alta Bates-Summit Medical Center. The school enrolls nearly 1,400 students representing ages from 20 to 60 and all ethnicities. All curricula include clinical practice. The University has a strong reputation for personalized instruction because of its outstanding faculty, who bring impressive academic and clinical backgrounds to life-long learning, and a deep commitment to students and to the community. The mission of Samuel Merritt is to educate students to become highly skilled and compassionate health care professionais who positively transform the experience of care in diverse communities. Faculty and students in the Family Nurse Practitioner and Physician Assistant Programs staff the Primary Care Clinic at the Davis Street Family Resource Center in San Leandro, which serves over 1,200 people each year. Through foundation and state workforce funding, clinic care is provided free for uninsured individuals, children, and seniors. Services include immunizations and primary healthcare for children, as well as health management of chronic primary care conditions such as hypertension and diabetes. Students in other disciplines provide care in over 1100 community agencies and hospitals throughout the country. The School of Podiatric Medicine Office of the President 450 30th Street· Suite 284 0 ' Oakland · CA 94609 ' PHONE 510.869 .65 12 . fAX 51 0 .86 9 .6 725 www.samuelmerritt.edu ---PAGE BREAK--- conducts clinics at Alameda County Hospital, San Francisco General Hospital and the Veterans Administration, San Francisco. Samuel Merritt is interested in expanding the Davis Street Faculty Practice Clinic model to this location. While Davis Street is now funded with foundation and state workforce support, the clinic is in the process of establishing itself as a Medicare and Medical provider, so that we can bill those programs for the patient services we provide. The University is looking toward the future and taking proactive steps to diversify the clinic's funding sources in order to more sustainably support its operations and enable it to expand the clinic program. Once the Davis Street Faculty Practice Clinic establishes itself with the Medicare and Medical programs, it can bill them for services from Davis Street and other associated clinics, including centers operated by Eden Housing. We are currently working with Eden to pilot a smaller scale program at its recently acquired Altenheim senior housing, which includes 194 senior apartments and has two large community spaces in which to provide services. We are exploring a program of on-site basic health services including blood pressure checks, glucose screening, podiatry exams as well as providing general health and wellness information. Once we have this program established, it will be easy to integrate it into other housing sites, including the proposed San Pablo Mixed Use Senior Apartments. We are excited about the prospect of partnering with the City of EI Cerrito and Eden Housing to create a high quality, community-serving development adjacent to the new City Hall and to help realize the City's vision of a vibrant and cohesive San Pablo Avenue corridor. Please call me or Dr. Suzanne August-Schwartz, Director, Family Nurse Practitioner Program with any questions concerning this proposal. Dr. August- Schwartz runs the Davis Street Clinic and would be in charge of replicating the model in EI Cerrito. I may be reached at (510) 869-6512 and Dr. August- Schwartz may be reached at (510) 869-6511 ext 4721. Thank you for the opportunity to submit our qualifications for this exciting opportunity. Sharon Diaz President and CEO ---PAGE BREAK--- Response to Request for Qualifications / Proposals Eden Housing, Inc. El Cerrito Redevelopment Agency June 21, 2010 Mixed Use Development Site 2. Development Entity ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 2. DEVELOPMENT ENTITY ENTITY WITH LEGAL AUTHORITY The development entity with legal authority to contract with the Agency will be Eden Housing, Inc. or its affiliate Eden Development, Inc., which is a Community Housing Development Organization (CHDO) certified by Alameda County and in the process of being certified by Contra Costa County. Eden Housing, Inc. and Eden Development, Inc. share office space, staff and expertise. There is no joint venture partner proposed at this time. It is contemplated that tax credits will be used to finance the development and a limited partnership will be formed at a later date. Subject to Board of Directors approval, the Executive Director, Chief Financial Officer, and in the absence of the Executive Director, the Acting Executive Director, are authorized to enter into agreements, including Exclusive Negotiating Agreements and Disposition and Development Agreements. OVERVIEW Eden Housing, Inc. (Eden) is a fully integrated non-profit development corporation with two subsidiary companies – Eden Housing Management, Inc. (EHMI), Eden’s property management company, and Eden Housing Resident Services, Inc. (EHRSI), which provides services to our apartment communities. Created in 1968, Eden Housing has developed 5,349 residential units in 75 developments throughout the Bay Area. Throughout our 40+ years of existence, senior housing has been at the core of our mission. In fact, Eden Housing's first multi-unit development – Josephine Lum Lodge in Hayward and completed in 1973 – was a 150-unit development for low-income seniors which utilized HUD’s Section 236 financing program. Eden has continued to leverage our expertise with HUD financing and to-date has developed nearly 2,000 units in 28 communities for seniors and special needs populations – many with HUD financing. Approximately half of Eden’s current pipeline is planned for senior and special needs households – including projects with units financed by MHSA, HUD 202 & 811, and project-based Section 8 funds. Eden is recognized in the industry for its creative development approach and was recently recognized by Affordable Housing Finance Magazine as one of the Top 50 Affordable Housing Owners in the country. We place a high value on design, crafting high-quality developments that give careful attention to the needs of residents and the surrounding neighborhood. The following sections quickly highlight our relevant experience for the San Pablo Mixed-Use development opportunity. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 Senior Community Collaborations 1. Eden’s newest partnership is with On Lok Lifeways in Fremont – a development that will feature 98 units of senior housing and 9,000 square feet for On Lok’s Program of All- Inclusive Care for the Elderly (PACE) program, a comprehensive health plan including full medical care and support services, designed to provide long-term care for the elderly. This exciting project will break ground in 2010. 2. Eden Housing was selected to implement two of the four phases of Union City’s Senior Village Plan. Complete with an on-site Senior Center designed in concert with Eden’s two independent living developments and an assisted living facility, the Village is a comprehensive and supportive living environment for seniors. 3. As a well-established community leader, Eden has also been able to leverage existing relationships and build holistic senior communities in a more organic setting as well. For example, at Josephine Lum Lodge, Eden partners with Spectrum Community Services, a social services agency that provides meal service to residents and to the community through Meals on Wheels, utilizing the commercial kitchen facility at the property. Eden and Spectrum are expanding our successful relationship into a new development that will feature another 80 senior apartments and a new commercial kitchen facility for Spectrum’s community meal service program. Property Management and Resident Services Eden’s work goes beyond building high quality buildings to creating a community for the residents who live in our housing and a permanently affordable, high quality asset for the cities we partner with. Eden achieves these long-term goals through its property management and social services programs, provided by two subsidiary companies – Eden Housing Management, Inc. (EHMI) and Eden Housing Resident Services, Inc. (EHRSI). EHMI manages over 4,300 rental apartments and EHRSI provides services to over 2,300 senior, special needs, and family units. More detail on EHMI and EHRSI’s experience is provided in Section 4 “Experience and Qualifications.” Eden is recognized in the industry for its creative approach that includes collaborating with local governments and tailoring developments to suit the locale, as detailed further in Section 4 “Experience and Qualifications.” PROJECT TEAM & STAFFING Eden is committed to crafting high-quality developments and we give careful attention to hiring and maintaining a highly qualified, professional in-house and outside consultant team. The key consultants and internal staff for this development are identified below. Executive Director Eden is led by Linda Mandolini, Executive Director. Linda has been providing leadership as Eden’s Executive Director since 2001 and brings to the position more than 20 years of ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 experience in housing and community development. Prior to her current role, she served Eden in several capacities, first as a Project Developer, then as Director of Real Estate Development. Accountable to an active 12-member Board of Directors, Linda oversees the organization’s affordable housing production, property management and services components with a portfolio of approximately 5,000 rental and ownership units, along with a staff of 130 people. Prior to rejoining Eden as Development Director, Linda was the Transportation and Land Use Director at the Silicon Valley Leadership Group. Linda also serves as the Vice Chair of the Board of Directors of the Housing Trust of Santa Clara County, as a member of the Silicon Valley Housing Leadership Council, as a member of the Board of Directors of the California Housing Consortium, and is the immediate past president of the Board of Directors of the Non-Profit Housing Association of Northern California. Chief Financial Officer Terese McNamee is Eden’s Chief Financial Officer, heading accounting, finance, asset management, information technology and human resource operations for Eden, its affiliates and ownership entities. Terese manages the financial affairs of Eden and its affiliates, to assure the financial compliance and integrity of Eden’s operations and properties. Before joining Eden, Terese was the Vice President - Asset Management & Strategic Planning at Mid-Peninsula Housing Coalition, overseeing the asset management, finance and accounting functions, managing the relationships with investors and lenders, setting long term strategy for properties including financing and rehabilitation, and overseeing corporate budgets and financial performance. Prior to her position with Mid-Peninsula Housing Coalition, she worked for Westwood Company in San Jose as a Property Manager/ Asset Manager, and also worked as a Development Project Manager for Metca Properties, Las Vegas. Development Staff Eden’s real estate development activity is overseen by Andrea Papanastassiou, Director of Real Estate Development. She directs Eden’s development activities and supervises the development team, overseeing a pipeline of over 1,700 units in more than twenty developments. Under her leadership, development carries out all phases of housing production from feasibility studies through acquisition to project completion. Prior to joining Eden in 2007, Andrea held several real estate development positions at Mid-Peninsula Housing Coalition, most recently serving as the Development Manager with oversight responsibility for day-to-day operations for the development department. In over nine years with Mid-Peninsula, she developed more than 600 affordable apartments for families and seniors in San Mateo, Santa Clara, Santa Cruz and Napa counties, and supervised a development pipeline of 1,300 apartments and homes in seven greater Bay Area counties. Her developments have won design awards from Sustainable San Mateo County, Pacific Coast Builders Conference, and Builder Magazine. Eden will assign Katie Lamont, Associate Director of Development, who has been with Eden for 7 years, as the lead project manager for this development. In 2005, Katie completed Wisteria Place, a 40-unit senior development in Union City. There, she also coordinated Eden’s first public art project, a requirement of the City. In 2006, she completed a 57-unit family housing development, Sara Conner Court, which was one of the first Green Point Rated developments. She completed Walker Landing, 78 units of family rental housing on a former pickle plant, as ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 part of an inclusionary partnership with two homebuilders in Hayward in 2008. Ms. Lamont is presently developing a large development of 230 units (80 rental, 150 homeownership) with challenging CEQA issues in collaboration with a market developer on former agricultural land (family nurseries) in Richmond. She is also managing the development of Peralta Senior Housing, which will include 98 apartments for independent seniors and a 9,000 square foot senior health facility, and overseeing the 206-unit inclusionary component of a mixed-use master development at the South Hayward BART station. Andrea Osgood, who joined the Eden Housing Development Team in 2008, will perform the day to day project management for the development. Prior to coming to Eden, Andrea gained affordable housing development experience in Los Angeles, working on mixed-use, multi-family developments for Abode Communities (formerly the Los Angeles Community Design Center). Before her career in affordable housing, Andrea worked as a construction management consultant for Capital Projects of UC Berkeley and was involved in nearly every phase of large rehab and new construction projects – from planning and development through funding and construction. She also gathered experience in construction litigation and public contracting as a lead paralegal in the construction group of the San Francisco law firm, Hanson Bridgett Marcus Vlahos & Rudy. Since joining Eden, Andrea has been working to secure entitlements for a 95- unit development in San Jose, which will serve both families and individuals with special needs. As well, she is Eden’s lead in a partnership with a for-profit developer on mixed-use retail and housing development at the South Hayward BART Station, which includes 206 affordable family and senior units. Andrea spearheaded the development’s successful applications for State funding under the Proposition 1C TOD and Infill Programs, securing a $47 million dollar award to support both infrastructure and the affordable housing. Eden Housing Management & Resident Services Staff Eden Housing has two subsidiary companies – Eden Housing Management, Inc. (EHMI), Eden’s property management company, and Eden Housing Resident Services, Inc. (EHRSI), which provides services to our senior and family apartment developments. Eden’s affiliates are managed by highly qualified individuals on our leadership team, including Jan Peters, Chief Operating Officer, and Jennifer Reed, Director of Resident Services. Jan Peters joined Eden in October of 2006 after serving for three years as President of WNC Management, Inc. in Irvine, and four years as Vice-President and Director of Property Management for Design Center Housing Services, Inc. in Los Angeles. She has brought more than twenty years of experience in property management, Human Services and Social Work to Eden Housing Management, Inc. Jan is a former Director of AHMA, an instructor in Advanced Property Management and holds several property management certifications. Jan supervises a team of property supervisors, property accountants and compliance staff, all of whom are dedicated to the highest quality of service in property management. Jennifer Reed oversees services, program development and provision of services for residents of Eden Housing’s rental housing portfolio. Eden’s resident support services are provided through a nonprofit resident services affiliate, Eden Housing Resident Services, Inc. (EHRSI). In addition ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 to her direct responsibility for the design and implementation of EHRSI’s after-school and summer programs for youth and families, she also works closely with Property Managers who do not have the benefit of a Services Coordinator to bring valuable programs to their sites. She directly supervises EHRSI’s staff of on-site Service Coordinators at family properties as well as at our senior and special needs facilities, and also supervises the Manager of Computer-Assisted Education. Jennifer has sixteen years of experience working with youth and families in the nonprofit sector. In addition to her BS in and M.A. in Applied she graduated in 2006 from the year-long in-depth MAP Northwest Leadership Training program sponsored by LISC for affordable housing professionals. Ms Reed taught English in Mexico for 5 years, and is fluent in Spanish. ---PAGE BREAK--- Response to Request for Qualifications / Proposals Eden Housing, Inc. El Cerrito Redevelopment Agency June 21, 2010 Mixed Use Development Site 3. Financial Statements ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES COMBINED FINANCIAL STATEMENTS AND INDEPENDENT AUDITOR’S REPORT YEARS ENDED JUNE 30, 2009 AND 2008 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES COMBINED FINANCIAL STATEMENTS YEARS ENDED JUNE 30, 2009 AND 2008 TABLE OF CONTENTS Page Independent Auditor’s Report Combined Statements of Financial Combined Statements of Activities Combined Statements of Cash Notes to Combined Financial Supplementary Combining Schedules of Financial Combining Schedules of Combining Schedules of Cash Statements of Financial Position – Eden Housing, Inc. Statements of Activities – Eden Housing, Inc. Schedules of Related-Party Receivables and Payables – Eden Housing, Inc. Schedules of Notes Payable – Eden Housing, Inc. * * * * ---PAGE BREAK--- 1 Board of Directors Eden Housing, Inc. and Affiliates Hayward, California INDEPENDENT AUDITOR’S REPORT We ha ve audi ted the accom panying c ombined statem ents of fi nancial position of Eden Housing, Inc a California no nprofit pub lic ben efit corpor ation, and Affiliates as o f June 3 0, 200 9 and 200 8, resp ectively, an d the related combined statements of activities and cash flows for the years then ended. These combined financial statements are the responsibility of Eden Housing, Inc. and Affiliates’ management. Our responsibility is to express an opinion on these combined financial statements based on our audits. In addition, we did not audit the financial statements of certain limited part nerships, an d al l si ngle p urpose asset no nprofit corp orations i n whi ch Ede n H ousing, I nc. can exe rcise control in the form of either general partnership interests or majority board control. The total assets of th ese entities comprise 37 % and 44 % of the to tal asset s o f Ed en Housing, Inc. and Affiliates as o f June 30, 2009 an d 2008, respectively, and 37% and 42% of th e support and revenue of Eden Housing, Inc. and Affiliates fo r the years en ded June 30, 2009 and 2008, respectively. The financial statements of th ese entities were aud ited by other auditors whose reports have been furnished to us, and our opinion, insofar as it relates to the information included for these entities, is based solely on the reports of the other auditors. We conducted our a udits in accordance with auditing standards ge nerally accepted in the United St ates of America and t he standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller G eneral of t he United States. Tho se st andards require t hat we pl an a nd pe rform t he audi t t o obtain reasonable ass urance a bout whether t he c ombined fi nancial statements are free of m aterial misstatement. An audit includes consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances but not for the purpose of expressing an opinion on the effectiveness of Eden Housing, Inc. and Affiliates’ in ternal control over financial reporting. Accordingly, we exp ress no such opinion. An audit also includes exam ining, o n a t est basi s, evi dence su pporting t he am ounts and disclosures i n t he fi nancial st atements, assessing the accounting pri nciples use d a nd significa nt estimates made by management, as well as eval uating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, based on our audits and t he reports of the other auditors, the combined financial statements referred to above present fairly, in all material respects, the financial position of Eden Housing, Inc. and Affiliates as of June 30, 2009 and 2008, and the changes in its net assets and its cash flows for the year then ended, in conformity with accounting principles generally accepted in the United States of America. In accordance with Government Auditing Standards, we have also issue d our report dated December 2, 2009 on our consideration of Eden Housing, Inc. and Affiliates’ internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts and grant agreements and other matters. The purpose of that report is to describe the scope of our testin g of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over financial reporting or on compliance. That report is an integral pa rt of an audit performed in accordance with Government Auditing Standards and should be considered in assessing the results of our audit. ---PAGE BREAK--- 2 Our audits were conducted for the purpose of forming an opinion on the combined financial statements taken as a whole. T he accom panying s upplementary inform ation on pa ges 23 t hrough 40, is pre sented for purposes of additional analysis and is not a required part of the combined financial statements. Such information has been subjected to the auditing procedures applied in the audit of the combined financial statements and, in our opinion, is fairly stated in all material respects in relation to the combined financial statements taken as a whole. December 2, 2009 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES The accompanying notes are an integral part of these financial statements. 3 COMBINED STATEMENTS OF FINANCIAL POSITION JUNE 30, 2009 AND 2008 2009 2008 Current assets: Cash and cash equivalents 9,779,273 $ 7,245,591 $ Restricted cash and deposits – current portion (Note 5) 3,800,846 3,027,162 Accounts receivable – net (Note 3) 1,536,551 902,536 Notes receivable – net (Note 7) - 1,771,001 Inclusionary housing fee receivables (Note 4) - 1,300,000 Prepaid expenses and deposits 831,639 453,623 Total current assets 15,948,309 14,699,913 Restricted cash and deposits – net of current portion (Note 5) 17,001,889 13,347,715 Investments (Note 6) 1,241,400 921,268 Accounts receivable, net – net of current portion (Note 3) 667,506 565,789 Notes receivable, net – net of current portion (Note 7) 201,809 185,550 Development in progress (Note 8) 21,449,238 15,399,342 Property and equipment – net (Note 9) 410,037,746 365,011,076 Deferred costs – net (Note 10) 5,248,792 5,489,537 Other investments 28,710 18,025 Total assets 471,825,399 $ 415,638,215 $ Current liabilities: Accounts payable and accrued expenses 3,864,282 $ 2,716,618 $ Other liabilities 2,635,847 1,284,212 Interest payable – current portion (Note 12) 546,840 478,321 Notes payable – current portion (Note 12) 3,600,555 5,729,996 Total current liabilities 10,647,524 10,209,147 Deferred revenues (Note 13) 7,912,965 7,298,708 Security and other deposits 1,987,881 1,807,883 Line of credit (Note 11) 695,652 1,343,096 Interest payable – net of current portion (Note 12 ) 31,467,937 28,320,819 Notes payable – net of current portion (Note 12) 316,126,381 272,559,504 Payable to city of Hayward (Note 14) 217,358 217,358 Total liabilities 369,055,698 321,756,515 Net assets: Unrestricted: Controlling interests 15,204,771 19,303,650 Non-controlling interests 87,497,934 74,498,899 Total unrestricted 102,702,705 93,802,549 Temporarily restricted (Note 15) 66,996 79,151 Total net assets 102,769,701 93,881,700 Total liabilities and net assets 471,825,399 $ 415,638,215 $ ASSETS LIABILITIES AND NET ASSETS ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES The accompanying notes are an integral part of these financial statements. 4 COMBINED STATEMENTS OF ACTIVITIES YEARS ENDED JUNE 30, 2009 AND 2008 Temporarily Temporarily Unrestricted Restricted Total Unrestricted Restricted Total Support and revenue: Rental income – owned properties 30,666,899 $ - $ 30,666,899 $ 27,836,197 $ - $ 27,836,197 $ Partnership management service contracts 144,692 - 144,692 137,930 - 137,930 Deferred ground leases - - - 19,628 - 19,628 Property management fee 215,481 - 215,481 43,948 - 43,948 Accounting fee 32,223 - 32,223 15,005 - 15,005 Contributions 1,439,990 52,665 1,492,655 351,387 64,270 415,657 Interest and investment income 565,162 - 565,162 722,780 - 722,780 Net realized and unrealized loss on investments (66,313) - (66,313) (47,658) - (47,658) Income from investment in partnerships and other companies - - - (20,051) - (20,051) Other income 1,719,476 - 1,719,476 3,361,777 - 3,361,777 Net assets released from restrictions (Note 15) 64,820 (64,820) - 71,579 (71,579) - Total support and revenue 34,782,430 (12,155) 34,770,275 32,492,522 (7,309) 32,485,213 Expenses: Program services 42,271,609 - 42,271,609 38,725,281 - 38,725,281 Management and general 892,588 - 892,588 624,852 - 624,852 Other 437,330 - 437,330 807,423 - 807,423 Total expenses 43,601,527 - 43,601,527 40,157,556 - 40,157,556 Changes in net assets (8,819,097) (12,155) (8,831,252) (7,665,034) (7,309) (7,672,343) Net assets, beginning of year 93,802,549 79,151 93,881,700 71,454,137 86,460 71,540,597 Capital contributions – non-controlling interest 17,719,253 - 17,719,253 30,013,446 - 30,013,446 Net assets, end of year 102,702,705 $ 66,996 $ 102,769,701 $ 93,802,549 $ 79,151 $ 93,881,700 $ 2009 2008 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES The accompanying notes are an integral part of these financial statements. 5 COMBINED STATEMENTS OF CASH FLOWS YEARS ENDED JUNE 30, 2009 AND 2008 2009 2008 Cash flows from operating activities: Change in net assets (8,831,252) $ (7,672,343) $ Adjustments to reconcile change in net assets to net cash provided by operating activities: Depreciation and amortization 12,520,544 10,936,680 Net realized and unrealized loss on investments 66,313 47,658 Gain on sale of property and equipment (242,042) (1,012,851) Loss from investment in partnerships and other companies - 20,051 (Increase) decrease in assets: Accounts receivable (260,732) 1,790,365 Grant receivables (475,000) 24,291 Inclusionary housing fee receivables 1,300,000 500,000 Prepaid expenses and other receivables (378,016) (9,580) Tenant security deposits 2,532 30,356 Increase (decrease) in liabilities: Accounts payable and accrued expenses (240,470) (157,547) Deferred revenue 614,257 1,280,081 Tenant security deposits 179,998 236,214 Interest payable 3,215,637 5,099,079 Other liabilities 1,351,635 1,036,578 Net cash provided by operating activities 8,823,404 12,149,032 Cash flows from investing activities: Net increase in restricted cash (4,029,011) (3,388,270) Net increase in investments (397,130) (489,427) Net increase (decrease) in notes receivable 1,754,742 (296,948) Net increase in development in progress (14,666,643) (4,886,166) Payment of deferred costs (321,910) (345,050) Purchase of property and equipment (42,057,822) (78,491,457) Proceeds from sale of property and equipment 581,176 - Net cash used in investing activities (59,136,598) (87,897,318) Cash flows from financing activities: Proceeds from (payment of) line of credit (647,444) 662,907 Capital contributions – non-controlling interest 5,652,463 30,013,446 Principal repayments – mortgages (18,521,340) (8,116,763) Proceeds from long-term debt 66,363,197 52,395,079 Net cash provided by financing activities 52,846,876 74,954,669 Net increase (decrease) in cash and cash equivalents 2,533,682 (793,617) Cash and cash equivalents, beginning of year 7,245,591 8,039,208 Cash and cash equivalents, end of year 9,779,273 $ 7,245,591 $ ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES COMBINED STATEMENTS OF CASH FLOWS YEARS ENDED JUNE 30, 2009 AND 2008 The accompanying notes are an integral part of these financial statements. 6 2009 2008 Supplementary information: Cash paid for interest (net of capitalized interest) 7,884,318 $ 6,635,955 $ Noncash investing and financing activities: Property and equipment acquired with short-term debt 1,287,387 $ 435,942 $ Property and equipment acquired with long-term debt 3,600,000 $ - $ Assets acquired through funding of capital contribution 1,399,020 $ - $ Liabilities paid from capital contributions 10,667,770 $ - $ ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES 7 NOTES TO COMBINED FINANCIAL STATEMENTS YEARS ENDED JUNE 30, 2009 AND 2008 NOTE 1 – ORGANIZATION AND NATURE OF ACTIVITIES Eden Housing, Inc. (EHI) was formed as a California nonprofit public benefit corporation in 1968. Its mission is to build and maintain high-quality, well-managed, service-enhanced affordable housing communities that meet the needs of lower income families, seniors and persons with disabilities. Affordable housing includes multi-family rental housing, co-ops, supportive housing and first-time homeownership housing. In addition, EHI own s real p roperties located in Hayward, California, which provides housing for low- and moderate-income individuals and families. These real prop erties are in cluded in these financial statements as d irectly owned properties. EHI is also affiliated with and under common board control with other not-for-profit corporations which have been formed either as supp orting entities to EHI, or as in struments to further EHI’s organizational objectives. These entities, which are include d in the com bined fina ncial state ments of EH I in accorda nce with St atement of Position (SOP) 94-3, Reporting of Related Entities by Not-for-Profit Organizations, issued by the American Institute of Certified Public Accountants (AICPA), and partnerships which are consolidated in accordance with Emerging Issues Task Force (EITF) Issue No . 04 Determining Whether a General Partner, or the General Partners as a Group, Controls a Limited Partnership or Similar Entity When the Limited Partners Have Certain Rights, issued by Financial Accounting Standards Board (FASB), are: • Eden Housing Management, Inc. (EHMI), which provides property management services in connection with the operations of affordable housing and elderly housing projects . • Eden H ousing R esident Ser vices, I nc. ( EHRSI), which devel ops a nd sup ports vi able soci al servi ces t o t he projects’ residents. • Single-purpose not-for-profit corporations and single member limited liability companies (LLC’s) holding a controlling general partner in terest (ranging from .0 1% to in t heir resp ective l ow in come h ousing tax credit (LIHTC) limited partnerships providing affordable housing: Not-For-Profit Corporations and LLC’s Limited Partnership(s) Antioch Eden Rivertown, LLC Antioch Eden Rivertown, L.P. Ashland Village, LLC Ashland Village Apartments, L.P. Baywood Apartments, Inc. Baywood Associates Huntwood Commons Associates Livermore Housing Associates Brentwood Senior Housing, LLC Brentwood Senior Commons, L.P. Catalonia, Inc. Catalonia Associates Chynoweth Housing, Inc. Chynoweth Housing Associates Corona-Ely Ranch, Inc Corona-Ely Ranch Associates Downtown River LLC Downtown River Associates, L.P. Dublin Senior LLC Dublin Senior Limited Partnership Eden Development, Inc. Estabrook Senior Housing, L.P. Eden Baywood Apartments, LLC Eden Baywood Apartments, L.P. Eden Investments, Inc. C.G.A. Associates Union Court Limited Partnership Eden Rivertown Limited Partnership Eden Victoria Limited Partnership Palo Alto Family, L.P. Eden Palms, Inc. Eden Palms Associates Eden-Sycamore, LLC Eden Sycamore, L.P. Ellis Lake Townhomes, Inc. Harris Court Associates Riverhouse Associates ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES NOTES TO COMBINED FINANCIAL STATEMENTS YEARS ENDED JUNE 30, 2009 AND 2008 8 Not-For-Profit Corporations and LLC’s Limited Partnership(s) Glen Berry, Inc. Berry Avenue Associates Grand C, LLC Grand/C Limited Partnership Healdsburg Family, LLC Healdsburg Family, L.P. California Preservation, Inc. Josephine Lum Lodge, L.P. Peralta Seniors, LLC Peralta Seniors, L.P. RVC Investments, Inc. Ridgeview Commons Associates Saklan Avenue LLC Saklan Avenue Limited Partnership Sara Conner Court, LLC Sara Conner Court, L.P. SPM Affordable Housing Corporation SPM Housing Associates Stoney, Inc. Stoney Creek Associates Virginia Lane Housing, Inc. Virginia Lane Limited Partnership Washington Creek, Inc. Washington Creek Associates Warner Creek Senior Housing, LLC Warner Creek Senior Housing, L.P. Villa Springs, LLC Villa Springs Apartments, L.P. • Single purpose not-for-profit corporations that are direct owners of affordable housing properties that are U.S. Department of Housing and Urban Development (HUD) projects: Corporation Property Name Central Valley Senior Housing Corporation Al mond Court CDLA, Inc. Casa De Los Amigos Contra Costa County Housing Corporation Em erson Arms Eden Alvarado Niles, Inc. Rosewood Terrace Eden Issei Housing, Inc. Eden Issei Eden Lodge, Inc. Eden Lodge Gardella Plaza, Inc. Gardella Apartments Irvington Homes Inc. Josephine Lum Lodge, Inc. Josephine Lum Lodge Manteca Senior Housing Corporation Almond Terrace Monterey Road Supportive Housing Edenvale Pacific Grove Supportive Housing, Inc. Pacific Grove Peace Grove, Inc. Kirker Court Redwood Lodge, Inc. Redwood Lodge San Leandro Supportive Housing, Inc. Fuller Gardens Sequoia Manor, Inc. Sequoia Manor Sycamore Square Housing Corporation Sycamore Square UC Independent, Inc. Wisteria Plaza ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES NOTES TO COMBINED FINANCIAL STATEMENTS YEARS ENDED JUNE 30, 2009 AND 2008 9 • Other corporations: Corporation Property Name 396 Fairmount, Inc. Laulima House for Women & Children Chynoweth Commons Commercial Inc. • EHI al so h olds a l imited part ner i nterest (ranging from 99% t o 9 9.99%) i n cert ain l imited part nerships providing aff ordable ho using, nam ely Baywood Associates, Hu ntwood C ommons Ass ociates and C .G.A. Associates. • The combined financial statements do not include single-purpose not-for-profit corporations holding a general partner i nterest (ran ging from .01% t o 1 i n t heir re spective l imited pa rtnerships pr oviding a ffordable housing for which EHI’s officers and/or board are deemed not to have majority control, namely: Not-For-Profit Corporation Limited Partnership(s) San Pablo Renaissance, Inc. San Pablo Hotel Associates • The combined financial statements do not include certain single-purpose not-for-profit corporations and LLC’s where Eden is a co-general partner (50%) in their respective limited partnerships providing affordable housing for which EHI’s officers and/or board are deemed not to have control, namely: Not-For-Profit Corporation and LLC’s Limited Partnership(s) Chesley Avenue LLC Chesley Avenue, L.P. Corona Crescent, Inc. Parkside Glen, L.P. EC Magnolia, Inc. EC Magnolia Eden Housing, Inc. Hillview Glen Housing Partners, L.P. Eden Issei Housing, Inc. Eden Issei Fuller Lodge, Inc. Fuller Lodge North Richmond Commercial, Inc. North Richmond Commercial North Richmond Senior Housing, Inc. Community Heritage Nugent Square, LLC Nugent Square Partners, L.P. Olive Tree Plaza, Inc. Olive Tree Plaza NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Principles of Combination Not-for-Profit Corporations The combined financial statements in clude the accounts of EHI (Parent) and other not-for-profit entities that are commonly controlled by EHI’s Officers o r Board of Directors, including those not-for-profit entities that are m ajority co ntrolled by EHI. Other no t-for-profit en tities, o ver wh ich EHI does n ot ex ercise majority control, are not in cluded in th e co mbined fi nancial state ments. All material in tercompany b alances and transactions have been eliminated in the combined financial statements. ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES NOTES TO COMBINED FINANCIAL STATEMENTS YEARS ENDED JUNE 30, 2009 AND 2008 10 Limited Partnerships Partnerships that are co ntrolled b y EHI or its aff iliated n ot-for-profit en tities are in cluded in the combined financial statements. Partnerships over which EHI or its affiliates exercise significant influence are included in the financial statements using the equity method of accounting. The partnership interests generally range from .01% t o 1.0% with the remainder of the partnership’s equity held by a limited partner and shown as non-controlling interests in unrestricted net assets. Basis of Presentation The c ombined fina ncial state ments are presented in accordance wi th St atement of Fi nancial Acc ounting Standards (SFAS) No. 117 , Financial Statements of Not-for-Profit Organizations. Under SFA S N o. 1 17, fi nancial statements are prese nted on the basis of unrestricted, tem porarily restricted and permanently restricted net asse ts predicated on the existence of donor-imposed restrictions. Unrestricted Unrestricted net assets consist of all resources of EHI which have not been specifically restricted by a donor. Temporarily Restricted Temporarily restricted net a ssets consist of cas h and other assets received with donor stipulations t hat limit their use. Donor restrictions are stipulated by either a time restriction or a purpose restriction. Upon expiration of a time restriction or completion of a purpose restriction, temporarily restricted net assets are reclassified to unrestricted net assets and reported in the statement of activities as net assets released from restrictions. Cash and Cash Equivalents EHI and affiliates consider all highly liquid debt instruments purchased with an original maturity of one year or less to be cash equivalents. EHI has designated certain cash and cash equivalents for the development of affordable homes and for operating and re placement reserves at the propertie s. Not include d as cash equivalents are funds restricted as to their use suc h as re serves for replacem ents, operations and tena nt security deposits. EHI and affiliat es maintain cash on deposit at a ban k in excess of t he Federal Deposit Insurance Corporation limit. The uninsured cash balance, including the restricted cash, was approximately $6,000,000 as of June 30, 2009. EHI and affiliates h ave not experienced any losses in such accounts. Restricted Cash Restricted cash in cludes cash earm arked fo r sp ecific d evelopment activ ities, reserv es for rep airs an d replacements, operating reserves, tax and insurance impound accounts, and other reserves. Investments EHI adopted the provisions of SFAS No. 157, Fair Value Measurements, effective J anuary 1, 2008. Under SFAS No. 157, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (exit price) in an orderly transaction between market participants at the measurement date. ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES NOTES TO COMBINED FINANCIAL STATEMENTS YEARS ENDED JUNE 30, 2009 AND 2008 11 SFAS No. 157 establishes a fair value hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are those that market participants would use in pricing the asset or liability based on market data obtained from sources independent of EHI. Unobservable inputs, if any, reflects EHI’s assumption about the inp uts m arket p articipants wo uld use in pricing th e asset o r liab ility d eveloped based on th e best inform ation available in the circumstances. The fair value hierarchy is categorized into three levels based on the inputs as follows: Level 1 – Valuations based on unadjusted quoted prices in active markets for identical assets or liabilities that EHI has the ability to access at measurement date. Valuation adjustments and block discounts are not applied to Level 1 securities. Since valuations are based on quoted prices that are readily and regularly available in an active market, valuation of these securities does not entail a significant degree of judgment. Level 2 – Valuations based on significant inputs that are observable, either directly or ind irectly or quoted prices in m arkets that are not active, that is, m arkets in which there are fe w transactions, the prices are not current or price quotations vary substantially either over time or among market makers. Level 3 – Valu ations based on in puts th at are u nobservable an d sig nificant to t he ov erall fair v alue measurement. The av ailability o f v aluation tech niques an d observable inputs can vary fro m secu rity to secu rity an d is affected by a wide variety of factors, including the type of security, whether the security is new and not yet established in the marketplace, and other characteristics particular to the transaction. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Those estimated values do not necessarily represent the amounts that may be ultimately realized due to the occurrence of future circ umstances that cannot be reasonably determined. Because of the inherent uncertainty of valuation, those estimated values may be materially higher or lower than the values that would have been used had a ready market for the securities existed. Other Investments Other i nvestments, o ver which EH I’s officers an d/or boa rd are deemed not t o ha ve m ajority cont rol, ar e accounted for using the c ost, or e quity, method of accounting depending upon the existence or a bsence of si gnificant influence. Under the equity method, the investments are initially recorded at cost then adjusted for the proportionate share of undistributed earnings or losses. Other investments which are majority controlled by EHI are eliminated in the combined financial statements. Revenue Recognition Contributions Contributions are rec ognized as reve nue whe n they are unc onditionally co mmunicated. Gra nts represe nt contributions if resource providers receive no value in exchange for the assets tran sferred. Contributions a re recorded at t heir fair val ue as unrestricted support, te mporarily restricted support, or pe rmanently restricted support, depending on the absence or existence of donor imposed restrictions as applicable. When a restriction expires (that is when a st ipulated time restriction ends or purpose restriction is accomplished), temporarily restricted net assets are reclassified to unrestricted net assets and reported in the statement of activities as net assets released from restrictions. If donors’ restrictions are satisfied in the same period that the contribution is received, the contribution is reported as unrestricted support. ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES NOTES TO COMBINED FINANCIAL STATEMENTS YEARS ENDED JUNE 30, 2009 AND 2008 12 Rental Income Rental in come fo r own ed pro perty is show n at its m aximum g ross potential. Vacancy lo ss is sho wn as a reduction i n rental i ncome. R ental uni ts occupied by e mployees are i ncluded i n re ntal i ncome and a s an expense of operations. Revenue from resident fees, rents and services is recognized in the period rendered. Development Fees Developer fees for development of multi-family rental projects that are in development or under construction are reco gnized u nder t he perce ntage-of-completion method. De veloper fees for projects that are in the predevelopment or preconstruction stage, are recognized as revenue on the cash basis of accounting. For ce rtain projects which t otal fee d uring de velopment i s reduce d due t o p otential unf oreseen event s, developer fees are recognized up to a total amount reasonably estimated when the events occur. Development fees recog nized fro m co mbined affiliates or con solidated sub sidiaries are elimin ated as intercompany transactions. EHI estimates that 70% of its development fees cover related project costs. Project costs include costs of de velopment, such as co nsultants, allo cated in ternal salaries and benefits, related overhead, an d ot her non-reimbursed fee s t hat are o rdinarily capi talized. T he 3 0% pr ofit p ortion o f t he development fees are considered as deferred revenue and amortized annually to offset the depreciation expense related to the fee capitalized as real property costs (see Note 13). Management Revenue and Related Accounts EHMI p rovides p roperty m anagement, bookkeeping an d asset m anagement ser vices. I ncome i s ea rned i n accordance with the terms of the agreements and recorded as revenue. Such intercompany revenue has been eliminated in the combined financial statements. EHMI also provides investment management, marketing and other services. Allowances for Uncollectible Accounts EHI records a n allowance for doubtful collections base d on a re view of outstanding receivables, existing economic conditions or specific situations. Management el ects t o recor d bad de bts usi ng t he direct wri te-off m ethod r elated t o rent s f or t he housing properties. Accounting principles generally accepted in the United States of America require that the allowance method be used to reflect bad debts. However, the effect of the use of the direct write-off method is not materially different from the result that would have been obtained had the allowance method been followed. Developments in Progress EHI incurs costs during the predevelopment phase of each affordable housing project undertaken. Such costs include governmental fees, legal and consulting fees, and supplies needed to investigate the feasibility and arrange for the financing of each project under construction, as well as construction costs. Any funds expended on a project that do not pass beyond the development stage are rec orded as expenses when further activity on the project ceases. Developments in progress include cost of con struction or rehabilitation of affiliate ho using projects that h ave not been completed. Development in progress is not depreciated until the completion of the development. ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES NOTES TO COMBINED FINANCIAL STATEMENTS YEARS ENDED JUNE 30, 2009 AND 2008 13 Property and Equipment and Deferred Costs Property and equipment are stated at cost of acquisition or construction, or fair value if donated. Depreciation is co mputed using th e st raight-line m ethod ov er th e esti mated usef ul l ives of t he as sets. M aintenance, repair, a nd renewals, which neither materially add t o the value of t he property n or appreciably pr olong i ts l ife, are charged t o expense as incurred. Deferred costs are incurred in order to obtain permanent financing and tax credits for the properties. Deferred costs are stated at cost and amortized on a straight-line basis. Organization costs are expensed as incurred. The useful lives of the assets are estimated as follows: Buildings and improvements 20 to 40 years Furniture, fixtures and equipment 5 to 10 years Tax credit costs 10 years Permanent loan costs 15 to 55 years In accorda nce with Statement of Financial Accounting Standards (SFAS) No. 144, Accounting for the Impairment of Long-Lived Assets and for Long-Lived Assets to Be Disposed of, EHI and affiliates review its investment in real estate fo r impairment wh enever e vents or c hanges in circ umstances i ndicate that the carrying value of suc h property may not be recoverable. Recoverability is measured by a comparison of the carrying amount of the real estate to the future net undiscounted cash flow expected to be generated by the rental property, including the low-income housing tax credits and a ny estimated proceeds from the eventual disposition of the real estate. If the real estate is considered to be impaired, the impairment to be recognized is measured at the amount by which the carrying amount of the real estate exceeds the fair value of such property. There were no impairment losses recognized in 2009 and 2008. Land Purchased land is carried at cost. Donated land is carried at estimated fair market value at the date of donation. Use of Estimates The pre paration of financial state ments in conformity with acc ounting principles generally accepted in the United States requires management to make estimates and assum ptions that affect the reported amounts of asset s and liabilities an d d isclosure of co ntingent assets an d liab ilities at the d ate o f th e fin ancial state ments and th e repo rted amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Fair Value of Financial Instruments The carrying value of cash and cash equivalents approximates fair value due to the short-term maturity of these instruments. It is not practicable for management to estimate the fair value of accounts and notes receivable and notes payable because of t he nature of s uch instruments and be cause there is no readily available market information for financial instruments with similar terms. Income Taxes EHI and the other not-for-profit corporations are t ax-exempt pursuant to the Internal Revenue Code Section 501(c)(3) and related California code sections. The income or loss from the partnerships is reported by the partners on their income tax returns. ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES NOTES TO COMBINED FINANCIAL STATEMENTS YEARS ENDED JUNE 30, 2009 AND 2008 14 Guarantees EHI has a dopted Fi nancial Acco unting Standards B oard Int erpretation No 45 (F IN 45 ) – Guarantor’s Accounting and Disclosure Requirements for Guarantees, Including Direct Guarantees of Others. FIN 45 requires a liability to b e record ed fo r th e fair v alue o f th e stan d ready ob ligation asso ciated with a gu arantee issu ed after December 31, 2002. Guarantees issued between entities under common control or on behalf of an entity under common control are ex cluded. Consequently, no liabilities have been recorded as all g uarantees are con sidered to be issued to entities under common control (see Note 17). Allocation of Partnership Income/Loss and Tax Credits The affiliated partnerships are g enerally exp ected to generate low-i ncome h ousing cred its, which will b e allocated in the same manner as the income or loss of each partnership. Because the limited partners’ losses are limited to their investments, the limited partners’ equity will not be reduced below zero unless future capital contributions will be made in an amount sufficient to absorb the losses. All remaining losses are allocated to the general partners. Related-party Transactions Most related -party tran sactions have been eliminated in t he co mbined fin ancial statemen ts. Th e remaining related-party transactions are not material. Functional Expenses The costs of providing program services and supporting services are s ummarized on a functional basis in the statements of activities. Accordingly, certain costs are allocated among program services and supporting services based on estimates of em ployees’ time incurred and on usage of resources. Program services include all expen se relating to development, management of properties, and resident services. Supporting services consist of management and general purposes. Fundraising expenses are not significant and are included in supporting services. NOTE 3 – ACCOUNTS RECEIVABLE Accounts receivable at June 30, 2009 and 2008 consist of the following: 2009 2008 Tenant and rent subsidy $ 632,421 $ 518,051 Management and consulting fees 295,848 303,482 Developer fee 164,180 122,505 Grants 727,677 57,500 Other 396,509 493,787 2,216,635 1,495,325 Less: allowance for uncollectible accounts (12,578) (27,000) Total 2,204,057 1,468,325 Less: current portion (1,536,551) (902,536) Non-current portion $ 667,506 $ 565,789 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES NOTES TO COMBINED FINANCIAL STATEMENTS YEARS ENDED JUNE 30, 2009 AND 2008 15 NOTE 4 – INCLUSIONARY HOUSING FEE RECEIVABLE Inclusionary h ousing pr ograms are desi gned t o i ncrease t he sup ply of aff ordable h ousing by req uiring commercial developers to either make a percentage of housing units in new residential developments available to low and moderate-income households, or to provide a monetary subsidy (fee) to affordable housing developers to be used in project specific affordable housing developments. This subsidy is g enerally recognized as income when earned. As of June 30, 2009 and 2008, respectively, the receivable balance related to Saklan Avenue Limited Partnership was $0 and $1,300,000, respectively. NOTE 5 – RESTRICTED CASH AND DEPOSITS Restricted cash and deposits as of June 30, 2009 and 2008 consist of the following: 2009 2008 Operating reserves $ 3,000,467 $ 2,929,688 Replacement reserves 8,767,557 6,930,708 Tenant security deposits 2,205,749 1,959,507 Services reserves 1,209,820 1,001,077 Impounds 1,144,667 922,000 Refinancing reserves 98,700 473,228 Residual receipts 2,431,174 1,555,725 Other 1,944,601 602,944 Total 20,802,735 16,374,877 Less: current portion (3,800,846) (3,027,162) Long-term portion $ 17,001,889 $ 13,347,715 Operating and Replacement Reserves EHI and affiliates are re quired to m aintain operating reserves as well as replacem ent and repair reserves for property and equipment in accordance with partnership and other lenders’ regulatory agreements. Tenant Security Deposits EHI and affiliates are required to hold security deposits in separate bank accounts in the name of the properties. Services Reserves EHI and affiliates are required to maintain services reserves in accordance with partnership and other lenders’ regulatory agreements. Impounds Certain affiliates are require d to m ake deposits to debt service accounts to cove r mortgage payments or to impound accounts to cover property tax and insurance premiums in accordance with the lenders’ regulatory agreements. Refinancing Reserves EHI a nd a ffiliates are required to m aintain refina ncing reserve s in accorda nce with partnership a nd othe r lenders’ regulatory agreements. ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES NOTES TO COMBINED FINANCIAL STATEMENTS YEARS ENDED JUNE 30, 2009 AND 2008 16 Residual Receipts EHI an d affiliates are req uired to d eposit ex cess cash, as g enerally d efined b y HUD, in to sep arate b ank accounts in accordance with the HUD regulatory agreements. NOTE 6 – INVESTMENTS The following table presents information about EHI’s investments measured at fair val ue on a recurring basis as of June 30, 2009 and 2008, and indicates the fair value hierarchy of the valuation techniques utilized to determine the fair values: 2009 2008 Cost Quoted Prices in Active Markets for Identical Assets (Level 1) Cost Quoted Prices in Active Markets for Identical Assets (Level 1) Common stocks $ 128,575 $ 112,307 $ 128,575 $ 127,305 Corporate bonds 110,146 86,802 144,883 140,492 Mutual funds 1,081,091 1,042,291 661,035 653,471 $ 1,319,812 $ 1,241,400 $ 934,493 $ 921,268 NOTE 7 – NOTES RECEIVABLE Notes receivable are summarized as follows: 2009 2008 Notes receivable from buyers of units in the La Solanita and La Solana projects, due only upon sale of the property to persons not qualifying as low-income families, with interest ranging from 8% to 10% per annum. $ 25,350 $ 25,350 Notes receivable from buyers of units in the Tyrrell Gardens project, due only upon sale of the property to persons not qualifying as low-income families, with interest at 8% per annum (see Note 14). 60,200 60,200 Note receivable from Cal-Livermore, Inc., with interest at 5% per annum. Principal and interest repayable at some future date. 100,000 100,000 Note receivable from Richmond Community Redevelopment Agency, maximum amount $1,778,219, unsecured, with interest at 8% per annum, requires interest only payments commencing August 1, 2006, and due upon sale or transfer to another entity. - 1,771,001 Other notes receivable 16,259 - Total notes receivable 201,809 1,956,551 Less: current portion - (1,771,001) Long-term portion $ 201,809 $ 185,550 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES NOTES TO COMBINED FINANCIAL STATEMENTS YEARS ENDED JUNE 30, 2009 AND 2008 17 NOTE 8 – DEVELOPMENT IN PROGRESS Development in progress consists of the following: 2009 2008 Richmond Nursery $ 2,491,129 $ 2,017,967 Lafayette 769,824 164,874 Arroyo Vista Housing 832,151 658,441 Ashland Village 3,959,530 736,202 Healdsburg 5,204,699 413,887 Palo Alto Family Housing 668,513 434,492 Fremont Senior Housing 1,006,195 214,987 Novato 620,082 134,044 Pittsburg – East Santa Fe 26,163 26,267 Refinancing costs (rehabilitation) - 120,111 Estabrook Senior Housing 3,876,708 936,320 Huntwood Commons rehabilitation 1,000,565 882,423 Villa Springs rehabilitation - 673,567 Central Valley Senior Housing - 3,814,802 Monterey Road Supportive Housing - 3,612,594 South Hayward BART 94,778 - Ford Monterey 168,278 - Corona Ranch 374,166 - Other 356,457 558,364 Total development in progress $ 21,449,238 $ 15,399,342 NOTE 9 – PROPERTY AND EQUIPMENT Property and equipment is summarized as follows: 2009 2008 Land $ 63,943,796 $ 38,182,631 Building and improvements 423,368,687 393,197,976 Furniture and equipment 7,565,995 6,743,047 494,878,478 438,123,654 Less: accumulated depreciation (84,840,732) (73,112,578) Total property and equipment $ 410,037,746 $ 365,011,076 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES NOTES TO COMBINED FINANCIAL STATEMENTS YEARS ENDED JUNE 30, 2009 AND 2008 18 NOTE 10 – DEFERRED COSTS Deferred costs are summarized as follows: 2009 2008 Permanent loan costs $ 5,011,345 $ 4,848,483 Tax credit fees 1,469,771 1,517,654 Other 433,661 650,185 6,914,777 7,016,322 Less: accumulated amortization (1,665,985) (1,526,785) Total $ 5,248,792 $ 5,489,537 NOTE 11 – LINE OF CREDIT EHI has a $2 ,500,000 unsecured r evolving lin e o f cr edit w ith Wells Far go Bank , of w hich $6 95,652 and $1,343,096 was outstanding at June 30, 2009 and 2008, respectively. Bank advances on t he credit line are payable in full by May 1, 2010 (maturity date) and bear interest determined in relation to LIBOR that may be continued by EHI at the end of the Fixed Rate Term applicable thereto so that all or a portion thereof bear interest determined in relation to the Prime Rate or to LIBOR for a new Fixed Rate term designated. As a sub feature of the line of credit, the bank agrees to issue standby let ters of credit, where requested, not to exceed the ag gregate of $1,500,000. Any amount of undrawn letters of credit shall proportionately reduce the amount available to borrow on the line of credit. NOTE 12 – NOTES PAYABLE Notes pay able as of June 30, 2 009 are g enerally secur ed by t he res pective p roperties and consi st of t he following: 2009 2008 Interest Payable Principal Interest Payable Principal Permanent loans, bearing interest from 5.25% to 9.55%, generally with principal and interest due to be repaid in full through 2040. Interest expense was $5,038,209 and $5,378,908 in 2009 and 2008, respectively. $ 378,240 $ 75,022,111 $ 377,778 $ 77,614,938 Construction loans, bearing variable interest rates, generally with interest only payments due to be repaid in full or partially converted to permanent loans through 2010.(1) Interest expense was $515,174 and $996,638 in 2009 and 2008, respectively. - 19,344,301 - 21,467,180 Local loans, bearing interest from 1% to generally payable out of excess cash, to be repaid in full through 2061. Interest expense was $2,656,227 and $2,138,638 in 2009 and 2008, respectively. 18,116,090 9 6,030,369 1 6,632,457 7 6,275,388 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES NOTES TO COMBINED FINANCIAL STATEMENTS YEARS ENDED JUNE 30, 2009 AND 2008 19 2009 2008 Interest Payable Principal Interest Payable Principal Bond loans, bearing interest from 4.95% to 5.70%, generally with principal and interest paid to be repaid in full through 2039. Principal payments are generally accumulated in a principal fund held by a trustee. Interest expense was $1,119,080 and $1,123,439 in 2009 and 2008, respectively. 97,451 22,181,000 94,380 22,708,000 County loans, bearing interest from 3% to generally with principal and interest due annually out of excess cash in arrears, to be repaid in full through 2060. Interest expense was $365,279 and $563,267 in 2009 and 2008, respectively. 2,409,718 25,258,838 2,043,727 14,385,200 State loans, bearing from 3.00% to 5.73% interest, generally with principal and interest due annually out of excess cash in arrears, to be repaid in full through 2059. Interest expense was $863,026 and $965,303 in 2009 and 2008, respectively. 10,026,964 35,158,602 9,126,828 28,177,783 Federal loans, bearing no interest, with principal payments generally deferred through 2060, at which time all outstanding principal is due. - 31,246,765 - 20,184,852 Other loans, bearing interest from 3.00% to 9.25%, generally with principal and interest due to be repaid in full through 2040. Interest expense was $1,008,060 and $567,833 in 2009 and 2008, respectively. 986,314 15,484,950 523,970 17,476,159 Total 32,014,777 319,726,936 28,799,140 278,289,500 Less: current portion (546,840) (3,600,555) (478,321) (5,729,996) Long-term portion $ 31,467,937 $ 316,126,381 $ 28,320,819 $ 272,559,504 Principal payments for the next five years cannot be reasonably estimated since the financing for development in progress will be extended or repaid using funds from permanent lenders and limited partners. ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES NOTES TO COMBINED FINANCIAL STATEMENTS YEARS ENDED JUNE 30, 2009 AND 2008 20 Principal payments toward notes payable for the next five years are subject to changes in net cash flow which is a contingency that cannot be reasonably estimated. Minimum required payments are estimated as follows: Year ended June 30 Principal Payments 2010 $ 3,600,555 2011 6,702,305 2012 3,045,352 2013 2,524,553 2014 2,644,143 NOTE 13 – DEFERRED REVENUE Deferred revenue related to the 30% profit portion of EHI’s development fees as of June 30, 2009 and 2008, was $7,912,965 and $7,298,708, respectively. In 2009 and 2008 , amortization to offset the depreciation expense related to the fee capi talized as real property costs was $222,845 and $205,051, respectively. As of June 30, 2009 and 2008, respectively, th e accu mulated am ortization related to the pr ofit por tion of development f ee was app roximately $1,200,000 and $996,000, respectively. NOTE 14 – PAYABLE TO CITY OF HAYWARD Funds due to the City of Hayward upon collection from homeowners are summarized as follows: 2009 2008 Tyrrell Gardens (see Note 7) $ 60,200 $ 60,200 Tyrrell Gardens 157,158 157,158 $ 217,358 $ 217,358 NOTE 15 – TEMPORARILY RESTRICTED NET ASSETS Temporarily restricted net assets are for the following purposes or periods: 2009 June 30, 2008 Contributions Releases from Restrictions Reclassifications June 30, 2009 Homework Club $ 13,328 $ 16,415 $ (20,214) $ - $ 9,529 Computer Lab 33,627 - (19,988) - 13,639 Financial literacy 32,196 36,250 (24,618) - 43,828 Total $ 79,151 $ 52,665 $ (64,820) $ - $ 66,996 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES NOTES TO COMBINED FINANCIAL STATEMENTS YEARS ENDED JUNE 30, 2009 AND 2008 21 2008 June 30, 2007 Contributions Releases from Restrictions Reclassifications June 30, 2008 Summer Program $ 5,114 $ 6,000 $ (13,274) $ 2,160 $ - Homework Club 18,161 18,270 (23,103) - 13,328 Computer Lab 45,489 20,000 (29,702) (2,160) 33,627 Financial literacy 17,696 20,000 (5,500) - 32,196 Total $ 86,460 $ 64,270 $ (71,579) $ - $ 79,151 NOTE 16 – EMPLOYEE BENEFIT PLANS EHI established a 401(a) defined contribution pension plan effective July 1, 1992. Employees become eligible to participate in the plan after one year of service, are fully vested in three years and are not required to contribute to the plan. The contribution to the plan is determined on a n annual basis by the board of directors. A maximum of 5 % of covered wages could be contributed and $232,769 and $191,114 were contributed for the years ended June 30, 2009 and 2008, respectively. EHI established a 401(k) profit sharing plan that was effective January 1, 1999. Employees become eligible to participate in the plan immediately on the first d ay of employment. Participants may contribute annually from 1% to 100% of t heir com pensation, p rovided t hat maximum am ount co ntributed i s permitted by l aw. T his pl an i s f or employees’ salary deferral only and EHI is not required to make contributions. EHI also established a 403(b) defined contribution plan. This plan is for highly compensated employees’ salary deferral and EHI is not required to make contributions. NOTE 17 – COMMITMENTS AND CONTINGENCIES EHI has provided loan and operating deficit guarantees as well as indemnifications with regard to tax benefits projected for its various affiliates and projects. EHI will b e responsible for repaying a loan if, when the loan becomes due, the respective affiliate or project does not make payment on the loan. EHI will cover op erating deficits as needed up to a stated limit. EHI does not require any collateral or other security from its affiliates and projects related to these guarantees. A reasonable estimate of the outstanding operating deficit guarantees at June 30, 2009 and 2008 amounted to app roximately $ 12,000,000 and $10 ,000,000, respectively, and ou tstanding lo an guarantees w ere app roximately $35,000,000 and $57,000,000, res pectively. In a ddition, EHI ha s gua ranteed an aggre gate am ount in excess of approximately $94,000,000 and $80,000,000 to the limited investors for tax credits and other deductions for various affiliated limited partnerships as o f June 30, 2009 and 2008, respectively. Management believes that the likelihood of funding a material amount of any of the guarantees is remote. In connection with the development of affordable housing projects, which are owned by limited partnerships, EHI has acquired the options to purchase the projects at the close of the projects’ 15-year compliance period. ---PAGE BREAK--- 22 SUPPLEMENTARY INFORMATION ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES 23 COMBINING SCHEDULES OF FINANCIAL POSITION JUNE 30, 2009 AND 2008 Eden Housing LIHTC Limited HUD Other Inc. Partnerships Properties EHMI EHRSI Entities Subtotal Eliminations Total ASSETS Current assets: Cash and cash equivalents 4,685,881 $ 3,727,385 $ 1,108,999 $ 58,499 $ 68,550 $ 129,959 $ 9,779,273 $ - $ 9,779,273 $ Restricted cash and deposits – current portion - 3,291,737 509,109 - - - 3,800,846 - 3,800,846 Receivables, net – current portion 4,864,630 705,675 189,799 - 14,651 131,452 5,906,207 (4,369,656) 1,536,551 Notes receivable, net – current portion 238,281 - - - - - 238,281 (238,281) - Prepaid expenses and deposits 199,683 529,432 99,539 2,985 - - 831,639 - 831,639 Total current assets 9,988,475 8,254,229 1,907,446 61,484 83,201 261,411 20,556,246 (4,607,937) 15,948,309 Non-current assets: Restricted cash and deposits – net of current portion 139,456 10,805,073 5,943,063 - 114,297 - 17,001,889 - 17,001,889 Investments 1,241,400 - - - - - 1,241,400 - 1,241,400 Receivables, net – net of current portion 13,037,567 - - 800,148 - 1,206,549 15,044,264 (14,376,758) 667,506 Notes receivable, net – net of current portion 13,877,305 - - - - 4,339,674 18,216,979 (18,015,170) 201,809 Development in progress 4,745,380 16,703,858 - - - - 21,449,238 - 21,449,238 Property and equipment – net 10,029,025 347,883,395 51,984,878 2,324 8,950 129,174 410,037,746 - 410,037,746 Deferred costs – net 4,909 5,116,103 127,780 - - - 5,248,792 - 5,248,792 Other investments 617,005 - - - - 97,037 714,042 (685,332) 28,710 Total non-current assets 43,692,047 380,508,429 58,055,721 802,472 123,247 5,772,434 488,954,350 (33,077,260) 455,877,090 Total assets 53,680,522 $ 388,762,658 $ 59,963,167 $ 863,956 $ 206,448 $ 6,033,845 $ 509,510,596 $ (37,685,197) $ 471,825,399 $ Includes entities that control certain housing property entities. 2009 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES COMBINING SCHEDULES OF FINANCIAL POSITION JUNE 30, 2009 AND 2008 24 Eden Housing LIHTC Limited HUD Other Inc. Partnerships Properties EHMI EHRSI Entities Subtotal Eliminations Total LIABILITIES AND NET ASSETS Current liabilities: Accounts payable and accrued expenses 615,582 $ 2,748,247 $ 746,840 $ 313,930 $ 27,020 $ 2,157 $ 4,453,776 $ (589,494) $ 3,864,282 $ Related-party payable – current portion - 2,314,885 19,410 - - - 2,334,295 (2,334,295) - Other liabilities - 851,241 13,576 - - 15,967 880,784 1,755,063 2,635,847 Interest payable – current portion 82,997 373,904 89,939 - - - 546,840 - 546,840 Notes payable – current portion 1,332,331 1,839,390 428,835 703,249 - - 4,303,805 (703,250) 3,600,555 Total current liabilities 2,030,910 8,127,667 1,298,600 1,017,179 27,020 18,124 12,519,500 (1,871,976) 10,647,524 Non-current liabilities: Related-party payable – net of current portion 1,400,251 9,530,495 - - - 4,615,670 15,546,416 (15,546,416) - Deferred revenues 91,036 - - - - - 91,036 7,821,929 7,912,965 Security and other deposits 7,513 1,778,356 181,152 - - 20,860 1,987,881 - 1,987,881 Line of credit 695,652 - - - - - 695,652 - 695,652 Interest payable – net of current portion 1,979,741 30,671,588 2,456,160 - - - 35,107,489 (3,639,552) 31,467,937 Notes payable – net of current portion 13,060,561 257,041,914 60,039,239 - - 2,370,393 332,512,107 (16,385,726) 316,126,381 Payable to city of Hayward 217,358 - - - - 217,358 - 217,358 17,452,112 299,022,353 62,676,551 - - 7,006,923 386,157,939 (27,749,765) 358,408,174 Total liabilities 19,483,022 307,150,020 63,975,151 1,017,179 27,020 7,025,047 398,677,439 (29,621,741) 369,055,698 Net assets: Unrestricted: Controlling interests 34,197,500 (4,627,670) (4,011,984) (153,223) 112,432 (991,202) 24,525,853 (9,321,082) 15,204,771 Non-controlling interests - 86,240,308 - - - - 86,240,308 1,257,626 87,497,934 Total unrestricted 34,197,500 81,612,638 (4,011,984) (153,223) 112,432 (991,202) 110,766,161 (8,063,456) 102,702,705 Temporarily restricted - - - - 66,996 - 66,996 - 66,996 Total net assets 34,197,500 81,612,638 (4,011,984) (153,223) 179,428 (991,202) 110,833,157 (8,063,456) 102,769,701 Total liabilities and net assets 53,680,522 $ 388,762,658 $ 59,963,167 $ 863,956 $ 206,448 $ 6,033,845 $ 509,510,596 $ (37,685,197) $ 471,825,399 $ Includes entities that control certain housing property entities. 2009 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES 25 COMBINING SCHEDULES OF FINANCIAL POSITION JUNE 30, 2009 AND 2008 Eden Housing LIHTC Limited HUD Other Inc. Partnerships Properties EHMI EHRSI Entities Subtotal Eliminations Total ASSETS Current assets: Cash and cash equivalents 2,972,272 $ 2,832,847 $ 1,141,693 $ 68,359 $ 199,336 $ 31,084 $ 7,245,591 $ - $ 7,245,591 $ Restricted cash and deposits – current portion - 2,250,080 777,082 - - - 3,027,162 - 3,027,162 Receivables, net – current portion 3,556,968 620,396 134,885 - 32,833 99,653 4,444,735 (3,542,199) 902,536 Notes receivable, net – current portion 1,931,000 - - - - - 1,931,000 (159,999) 1,771,001 Inclusionary housing fee receivables 1,300,000 - - - - - 1,300,000 - 1,300,000 Prepaid expenses and deposits 127,408 243,423 76,067 2,361 3,484 880 453,623 - 453,623 Total current assets 9,887,648 5,946,746 2,129,727 70,720 235,653 131,617 18,402,111 (3,702,198) 14,699,913 Non-current assets: Restricted cash and deposits – net of current portion 329,803 8,464,824 4,538,283 - - 14,805 13,347,715 - 13,347,715 Investments 921,268 - - - - - 921,268 - 921,268 Receivables, net – net of current portion 13,349,281 - - 1,450,013 - 1,097,839 15,897,133 (15,331,344) 565,789 Notes receivable, net – net of current portion 12,746,137 352,852 - - - 3,078,856 16,177,845 (15,992,295) 185,550 Development in progress 4,929,535 3,023,021 7,446,786 - - - 15,399,342 - 15,399,342 Property and equipment – net 6,114,560 317,072,723 41,355,485 - - 468,308 365,011,076 - 365,011,076 Deferred costs – net 5,157 5,340,049 144,331 - - - 5,489,537 - 5,489,537 Other investments 1,515,285 - - - - - 1,515,285 (1,497,260) 18,025 Total non-current assets 39,911,026 334,253,469 53,484,885 1,450,013 - 4,659,808 433,759,201 (32,820,899) 400,938,302 Total assets 49,798,674 $ 340,200,215 $ 55,614,612 $ 1,520,733 $ 235,653 $ 4,791,425 $ 452,161,312 $ (36,523,097) $ 415,638,215 $ Includes entities that control certain housing property entities. 2008 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES COMBINING SCHEDULES OF FINANCIAL POSITION JUNE 30, 2009 AND 2008 26 Eden Housing LIHTC Limited HUD Other Inc. Partnerships Properties EHMI EHRSI Entities Subtotal Eliminations Total LIABILITIES AND NET ASSETS Current liabilities: Accounts payable and accrued expenses 673,287 $ 2,248,192 738,897 $ 295,809 $ 27,602 $ 1,371 $ 3,985,158 $ (1,268,540) $ 2,716,618 $ Related-party payable – current portion 917,655 12,378,085 45,679 1,742,439 - - 15,083,858 (15,083,858) - Other liabilities - 190,847 58,874 - - 249,721 1,034,491 1,284,212 Interest payable – current portion 12,119 368,038 98,164 - - - 478,321 - 478,321 Notes payable – current portion 3,769,550 1,548,274 412,172 - - - 5,729,996 - 5,729,996 Total current liabilities 5,372,611 16,733,436 1,353,786 2,038,248 27,602 1,371 25,527,054 (15,317,907) 10,209,147 Non-current liabilities: Related-party payable – net of current portion 1,009,818 725,070 - - - 2,056,422 3,791,310 (3,791,310) - Deferred revenues 92,928 - - - - - 92,928 7,205,780 7,298,708 Security and other deposits 7,482 1,621,929 163,799 - - 14,673 1,807,883 - 1,807,883 Share of deficiency in assets of partnerships - - - - - 5,182,365 5,182,365 (5,182,365) - Line of credit 1,343,096 - - - - - 1,343,096 - 1,343,096 Interest payable – net of current portion 1,793,818 27,111,925 2,043,054 - - - 30,948,797 (2,627,978) 28,320,819 Notes payable – net of current portion 7,512,036 221,617,357 55,821,643 - - 1,549,768 286,500,804 (13,941,300) 272,559,504 Payable to city of Hayward 217,358 - - - - 217,358 - 217,358 11,976,536 251,076,281 58,028,496 - - 8,803,228 329,884,541 (18,337,173) 311,547,368 Total liabilities 17,349,147 267,809,717 59,382,282 2,038,248 27,602 8,804,599 355,411,595 (33,655,080) 321,756,515 Net assets: Unrestricted: Controlling interests 32,449,527 (7,236,805) (3,767,670) (517,515) 128,900 (4,013,174) 17,043,263 2,260,387 19,303,650 Non-controlling interests 79,627,303 - - - - 79,627,303 (5,128,404) 74,498,899 Total unrestricted 32,449,527 72,390,498 (3,767,670) (517,515) 128,900 (4,013,174) 96,670,566 (2,868,017) 93,802,549 Temporarily restricted - - - - 79,151 - 79,151 - 79,151 Total net assets 32,449,527 72,390,498 (3,767,670) (517,515) 208,051 (4,013,174) 96,749,717 (2,868,017) 93,881,700 Total liabilities and net assets 49,798,674 $ 340,200,215 $ 55,614,612 $ 1,520,733 $ 235,653 $ 4,791,425 $ 452,161,312 $ (36,523,097) $ 415,638,215 $ Includes entities that control certain housing property entities. 2008 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES 27 COMBINING SCHEDULES OF ACTIVITIES YEARS ENDED JUNE 30, 2009 AND 2008 Eden Housing LIHTC Limited HUD Other Inc. Partnerships Properties EHMI EHRSI Entities Subtotal Eliminations Total Support and revenue: Development fees, including accrued interest 2,804,003 $ - $ - $ - $ - $ - $ 2,804,003 $ (2,804,003) $ - $ Rental income – owned properties 177,588 24,434,646 5,950,377 - - 104,288 30,666,899 - 30,666,899 Partnership management service contracts 541,882 - - - - 387,533 929,415 (784,723) 144,692 Deferred ground leases 339,257 - - - - - 339,257 (339,257) - Property management fee - - - 1,738,003 - - 1,738,003 (1,522,522) 215,481 Accounting fee - - - 237,297 - - 237,297 (205,074) 32,223 Contributions 1,438,990 - - - 212,187 - 1,651,177 (158,522) 1,492,655 Interest and investment income 442,467 111,842 45,478 - 480 184,453 784,720 (219,558) 565,162 Net realized and unrealized loss on investments (66,313) - - - - - (66,313) - (66,313) Income (loss) from investment in other companies 18,710 - - - - (1,281,212) (1,262,502) 1,262,502 - Other income 64,542 919,970 349,545 381,838 233,778 244,408 2,194,081 (474,605) 1,719,476 Total support and revenue 5,761,126 25,466,458 6,345,400 2,357,138 446,445 (360,530) 40,016,037 (5,245,762) 34,770,275 Expenses: Program services 2,507,044 35,937,019 6,589,714 1,666,072 343,689 485,843 47,529,381 (5,257,772) 42,271,609 Management and general 910,257 - - 326,774 131,379 - 1,368,410 (475,822) 892,588 Other 595,852 - - - - - 595,852 (158,522) 437,330 Total expenses 4,013,153 35,937,019 6,589,714 1,992,846 475,068 485,843 49,493,643 (5,892,116) 43,601,527 Changes in net assets 1,747,973 (10,470,561) (244,314) 364,292 (28,623) (846,373) (9,477,606) 646,354 (8,831,252) Net assets, beginning of year 32,449,527 72,390,498 (3,767,670) (517,515) 208,051 (4,013,174) 96,749,717 (2,868,017) 93,881,700 Capital contributions - 19,692,701 - - - 3,868,345 23,561,046 (5,841,793) 17,719,253 Net assets, end of year 34,197,500 $ 81,612,638 $ (4,011,984) $ (153,223) $ 179,428 $ (991,202) $ 110,833,157 $ (8,063,456) $ 102,769,701 $ Includes entities that control certain housing property entities. Total expenses include depreciation/amortization and deferred interest expense for LIHTC & HUD properties of $12,013,840 and $4,892,592, respectively. 2009 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES 28 COMBINING SCHEDULES OF ACTIVITIES YEARS ENDED JUNE 30, 2009 AND 2008 Eden Housing LIHTC Limited HUD Other Inc. Partnerships Properties EHMI EHRSI Entities Subtotal Eliminations Total Support and revenue: Development fees, including accrued interest 4,343,877 $ - $ - $ - $ - $ - $ 4,343,877 $ (4,343,877) $ - $ Rental income – owned properties 674,441 21,138,325 5,845,312 - - 178,119 27,836,197 - 27,836,197 Partnership management service contracts 502,500 - - - - 225,774 728,274 (590,344) 137,930 Deferred ground leases 572,222 - - - - - 572,222 (552,594) 19,628 Property management fee - - - 1,608,743 - - 1,608,743 (1,564,795) 43,948 Accounting fee - - - 227,948 - - 227,948 (212,943) 15,005 Contributions 349,887 - - - 267,665 - 617,552 (201,895) 415,657 Interest and investment income 439,301 197,845 93,752 - 1,002 6,314 738,214 (15,434) 722,780 Net realized and unrealized loss on investments (47,658) - - - - - (47,658) - (47,658) Income (loss) from investment in other companies (178,721) - - - - (1,237,098) (1,415,819) 1,395,768 (20,051) Other income 5,074,689 883,839 297,336 498,955 187,892 86,845 7,029,556 (3,667,779) 3,361,777 Total support and revenue 11,730,538 22,220,009 6,236,400 2,335,646 456,559 (740,046) 42,239,106 (9,753,893) 32,485,213 Expenses: Program services 2,416,955 33,566,960 6,034,319 1,815,587 310,420 225,774 44,370,015 (5,644,734) 38,725,281 Management and general 795,116 - - 406,383 133,947 31,157 1,366,603 (741,751) 624,852 Other 1,926,973 - - - - - 1,926,973 (1,119,550) 807,423 Total expenses 5,139,044 33,566,960 6,034,319 2,221,970 444,367 256,931 47,663,591 (7,506,035) 40,157,556 Changes in net assets 6,591,494 (11,346,951) 202,081 113,676 12,192 (996,977) (5,424,485) (2,247,858) (7,672,343) Net assets, beginning of year 25,858,033 55,619,330 (3,969,751) (631,191) 195,859 (3,016,197) 74,056,083 (2,515,486) 71,540,597 Capital contributions - 31,318,146 - - - - 31,318,146 (1,304,700) 30,013,446 Excess of liabilities assumed over assets acquired - (3,200,027) - - - - (3,200,027) 3,200,027 - Net assets, end of year 32,449,527 $ 72,390,498 $ (3,767,670) $ (517,515) $ 208,051 $ (4,013,174) $ 96,749,717 $ (2,868,017) $ 93,881,700 $ Includes entities that control certain housing property entities. Total expenses include depreciation/amortization and deferred interest expense for LIHTC & HUD properties of $10,386,083 and $4,235,074, respectively. 2008 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES 29 COMBINING SCHEDULES OF CASH FLOWS YEARS ENDED JUNE 30, 2009 AND 2008 Eden Housing LIHTC Limited HUD Other Inc. Partnerships Properties EHMI EHRSI Entities Sub-total Eliminations Total Cash flows from operating activities: Change in net assets 1,747,973 $ (10,470,561) $ (244,314) $ 364,292 $ (28,623) $ (846,373) $ (9,477,606) $ 646,354 $ (8,831,252) $ Adjustments to reconcile change in net assets to net cash provided by (used in) operating activities: Depreciation and amortization 195,824 10,552,563 1,771,265 3,523 1,954 - 12,525,129 (4,585) 12,520,544 Net realized and unrealized loss on investments 66,313 - - - - - 66,313 - 66,313 Gain on sale of property and equipment - - - - - (242,042) (242,042) - (242,042) Income (loss) from investment in partnerships and other companies (18,710) - - - - 1,281,212 1,262,502 (1,262,502) - (Increase) decrease in assets: Accounts receivable - (85,279) (54,914) - - (31,799) (171,992) (88,740) (260,732) Grant receivables (475,000) - - - - - (475,000) - (475,000) Inclusionary housing fee receivables 1,300,000 - - - - - 1,300,000 - 1,300,000 Related-party receivables 809,731 - - 649,252 10,682 (108,710) 1,360,955 (1,360,955) - Prepaid expenses and other receivables (72,275) (286,009) (23,472) (2,371) 8,759 880 (374,488) (3,528) (378,016) Tenant security deposits 2,532 - - - - - 2,532 - 2,532 Increase (decrease) in liabilities: Accounts payable and accrued expenses (57,705) 418,485 7,943 18,120 (581) 786 387,048 (627,518) (240,470) Related-party payable 390,433 (3,895,018) (26,269) - - 15,967 (3,514,887) 3,514,887 - Deferred revenue (1,892) - (45,298) - - - (47,190) 661,447 614,257 Tenant security deposits 31 156,427 17,353 - - 6,187 179,998 - 179,998 Interest payable 256,801 3,565,528 404,881 - - - 4,227,210 (1,011,573) 3,215,637 Other liabilities - 660,394 - - - - 660,394 691,241 1,351,635 Net cash provided by (used in) operating activities 4,144,056 616,530 1,807,175 1,032,816 (7,809) 76,108 7,668,876 1,154,528 8,823,404 2009 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES COMBINING SCHEDULES OF CASH FLOWS YEARS ENDED JUNE 30, 2009 AND 2008 30 Eden Housing LIHTC Limited HUD Other Inc. Partnerships Properties EHMI EHRSI Entities Sub-total Eliminations Total Cash flows from investing activities: Net (increase) decrease in restricted cash 187,815 (2,980,527) (1,136,807) - (114,297) 14,805 (4,029,011) - (4,029,011) Net increase in investments (386,445) - - - - - (386,445) - (386,445) Net increase in investment in partnerships and other companies (665) - - - - (5,642,959) (5,643,624) 5,632,939 (10,685) Net (increase) decrease in notes receivable 561,551 352,852 - - - (1,260,818) (346,415) 2,101,157 1,754,742 Net increase in development in progress (1,746,334) (12,920,308) - - - - (14,666,642) (14,666,643) Payment of deferred costs - (23,509) (298,401) - - - (321,910) - (321,910) Purchase of property and equipment (510,041) (36,896,695) (4,638,920) (3,486) (8,680) - (42,057,822) - (42,057,822) Proceeds from sale of property and equipment - - - - - 581,176 581,176 - 581,176 Net cash used in investing activities (1,894,119) (52,468,187) (6,074,128) (3,486) (122,977) (6,307,796) (66,870,693) 7,734,095 (59,136,598) Cash flows from financing activities: Payment of line of credit (647,444) - - - - - (647,444) - (647,444) Proceeds from (payment of) related-party advances - - - (1,039,190) - 2,559,248 1,520,058 (1,520,058) - Capital contributions 7,625,911 - - - 2,950,690 10,576,601 (4,924,138) 5,652,463 Principal repayments – mortgages (3,085,344) (5,277,851) (9,644,770) - - (513,375) (18,521,340) - (18,521,340) Proceeds from long-term debt 3,196,460 50,398,135 13,879,029 - - 1,334,000 68,807,624 (2,444,427) 66,363,197 Net cash provided by (used in) financing activities (536,328) 52,746,195 4,234,259 (1,039,190) - 6,330,563 61,735,499 (8,888,623) 52,846,876 Net increase (decrease) in cash and cash equivalents 1,713,609 894,538 (32,694) (9,860) (130,786) 98,875 2,533,682 - 2,533,682 Cash and cash equivalents, beginning of year 2,972,272 2,832,847 1,141,693 68,359 199,336 31,084 7,245,591 - 7,245,591 Cash and cash equivalents, end of year 4,685,881 $ 3,727,385 $ 1,108,999 $ 58,499 $ 68,550 $ 129,959 $ 9,779,273 $ - $ 9,779,273 $ Supplementary information: Cash paid for interest (net of capitalized interest) 203,843 $ 6,609,181 $ 1,071,294 $ - $ - $ - $ 7,884,318 $ - $ 7,884,318 $ Noncash investing and financing activities: Property and equipment acquired with short-term debt - $ 2,051,483 $ - $ - $ - $ - $ 2,051,483 $ (764,096) $ 1,287,387 $ Property and equipment acquired with long-term debt 3,600,000 $ - $ - $ - $ - $ - $ 3,600,000 $ - $ 3,600,000 $ Assets acquired through funding of capital contribution - $ 1,399,020 $ - $ - $ - $ - $ 1,399,020 $ - $ 1,399,020 $ Liabilities paid from capital contribution - $ 10,667,770 $ - $ - $ - $ - $ 10,667,770 $ - $ 10,667,770 $ Includes entities that control certain housing property entities. 2009 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES 31 COMBINING SCHEDULES OF CASH FLOWS YEARS ENDED JUNE 30, 2009 AND 2008 Eden Housing LIHTC Limited HUD Other Inc. Partnerships Properties EHMI EHRSI Entities Sub-total Eliminations Total Cash flows from operating activities: Change in net assets 6,591,494 $ (11,346,951) $ 202,081 $ 113,676 $ 12,192 $ (996,977) $ (5,424,485) $ (2,247,858) $ (7,672,343) $ Adjustments to reconcile change in net assets to net cash provided by (used in) operating activities: Depreciation and amortization 177,791 9,783,431 1,176,587 3,684 238 - 11,141,731 (205,051) 10,936,680 Net realized and unrealized loss on investments 47,658 - - - - - 47,658 - 47,658 Gain on sale of property and equipment (4,212,878) - - - - - (4,212,878) 3,200,027 (1,012,851) Income (loss) from investment in partnerships and other companies 178,721 - - - - 1,237,098 1,415,819 (1,395,768) 20,051 (Increase) decrease in assets: Accounts receivable - 1,634,425 2,941 - - 152,999 1,790,365 - 1,790,365 Grant receivables (44,979) 69,270 - - - 24,291 - 24,291 Inclusionary housing fee receivables 500,000 - - - - - 500,000 - 500,000 Related-party receivables (1,304,447) - - 79,515 4,872 51,468 (1,168,592) 1,168,592 - Prepaid expenses and other receivables 16,846 (37,261) 3,670 3,409 1,802 1,954 (9,580) - (9,580) Tenant security deposits 39,113 - (8,757) - - - 30,356 - 30,356 Increase (decrease) in liabilities: Accounts payable and accrued expenses (239,364) (301,212) 503,885 948 (17,529) (104,275) (157,547) - (157,547) Related-party payable 1,909,904 2,495,098 (207,297) - - - 4,197,705 (4,197,705) - Deferred revenue (1,892) - (2,236) - - - (4,128) 1,284,209 1,280,081 Tenant security deposits (44,951) 276,469 4,696 - - - 236,214 - 236,214 Interest payable 285,802 4,491,465 321,812 - - - 5,099,079 - 5,099,079 Other liabilities - (954,365) - - - - (954,365) 1,990,943 1,036,578 Net cash provided by operating activities 3,898,818 6,041,099 2,066,652 201,232 1,575 342,267 12,551,643 (402,611) 12,149,032 2008 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES 32 COMBINING SCHEDULES OF CASH FLOWS YEARS ENDED JUNE 30, 2009 AND 2008 Eden Housing LIHTC Limited HUD Other Inc. Partnerships Properties EHMI EHRSI Entities Sub-total Eliminations Total Cash flows from investing activities: Net (increase) decrease in restricted cash 539,822 (2,684,974) (1,242,977) - - (141) (3,388,270) - (3,388,270) Net increase in investments (489,427) - - - - - (489,427) - (489,427) Net increase in investment in partnerships and other companies (527,527) - - - - (1,522,441) (2,049,968) 2,049,968 - Net (increase) decrease in notes receivable (1,076,387) 46,324 - - - (216,270) (1,246,333) 949,385 (296,948) Net increase in development in progress (2,760,685) (2,125,481) - - - - (4,886,166) - (4,886,166) Payment of deferred costs - (345,050) - - - - (345,050) - (345,050) Purchase of property and equipment (2,364,735) (67,512,213) (5,507,884) - (2,112) - (75,386,944) (3,104,513) (78,491,457) Proceeds from sale of property and equipment 95,514 - - - - - 95,514 (95,514) - Net cash used in investing activities (6,583,425) (72,621,394) (6,750,861) - (2,112) (1,738,852) (87,696,644) (200,674) (87,897,318) Cash flows from financing activities: Proceeds from line of credit 662,907 - - - - - 662,907 - 662,907 Payment of related-party advances - - - - - (1,020,167) (1,020,167) 1,020,167 - Capital contributions - 28,118,119 - - - 1,362,825 29,480,944 532,502 30,013,446 Principal repayments – mortgages (94,960) (7,523,148) (330,007) (168,648) - - (8,116,763) - (8,116,763) Proceeds from long-term debt 2,623,137 44,859,036 4,825,123 - - 1,037,168 53,344,464 (949,385) 52,395,079 Net cash provided by (used in) financing activities 3,191,084 65,454,007 4,495,116 (168,648) - 1,379,826 74,351,385 603,284 74,954,669 Net increase (decrease) in cash and cash equivalents 506,477 (1,126,288) (189,093) 32,584 (537) (16,759) (793,616) (793,617) Cash and cash equivalents, beginning of year 2,465,795 3,959,135 1,330,786 35,776 199,872 47,844 8,039,208 - 8,039,208 Cash and cash equivalents, end of year 2,972,272 $ 2,832,847 $ 1,141,693 $ 68,360 $ 199,335 $ 31,085 $ 7,245,592 $ - $ 7,245,591 $ Supplementary information: Cash paid for interest (net of capitalized interest) 281,849 $ 5,289,281 $ 1,064,825 $ - $ - $ - $ 6,635,955 $ - $ 6,635,955 $ Noncash investing and financing activities: Property and equipment acquired with short-term debt 435,942 $ - $ - $ - $ - $ - $ 435,942 $ - $ 435,942 $ Property and equipment acquired with long-term debt - $ 1,466,128 $ - $ - $ - $ - $ 1,466,128 $ (1,466,128) $ - $ Includes entities that control certain housing property entities. 2008 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES 33 STATEMENTS OF FINANCIAL POSITION – EDEN HOUSING, INC. ONLY JUNE 30, 2009 AND 2008 2009 2008 Current assets: Cash and cash equivalents 4,685,881 $ 2,972,272 $ Grants receivables 525,000 50,000 Inclusionary housing fee receivable - 1,300,000 Related-party receivables, net – current portion 4,339,630 3,506,968 Notes receivable, net – current portion 238,281 1,931,000 Prepaid expenses and other receivables 199,683 127,408 Total current assets 9,988,475 9,887,648 Investments 1,241,400 921,268 Related-party receivables, net – net of current portion 13,037,567 13,349,281 Notes receivable, net – net of current portion 13,877,305 12,746,137 Tenant security deposits 10,130 12,662 Cash – restricted 129,326 317,141 Investments in partnerships and other companies 617,005 1,515,285 Development in progress 4,745,380 4,929,535 Property and equipment – net 10,029,025 6,114,560 Deferred costs – net 4,909 5,157 Total assets 53,680,522 $ 49,798,674 $ Current liabilities: Accounts payable and accrued expenses 615,582 $ 673,287 $ Related-party payable – current portion - 917,655 Interest payable – current portion 82,997 12,119 Notes payable – current portion 1,332,331 3,769,550 Total current liabilities 2,030,910 5,372,611 Related-party payable – net of current portion 1,400,251 1,009,818 Deferred revenue 91,036 92,928 Tenant security deposits 7,513 7,482 Line of credit 695,652 1,343,096 Interest payable – net of current portion 1,979,741 1,793,818 Notes payable – net of current portion 13,060,561 7,512,036 Payable to City of Hayward 217,358 217,358 Total liabilities 19,483,022 17,349,147 Net assets: Unrestricted 34,197,500 32,449,527 Total net assets 34,197,500 32,449,527 Total liabilities and net assets 53,680,522 $ 49,798, 674 $ ASSETS LIABILITIES AND NET ASSETS ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES 34 STATEMENTS OF ACTIVITIES – EDEN HOUSING, INC. ONLY YEARS ENDED JUNE 30, 2009 AND 2008 2009 2008 Support and revenue: Development fees, including accrued interest 2,804,003 $ 4,343,877 $ Rental income – owned properties 177,588 674,441 Partnership management service contracts 541,882 502,500 Deferred ground leases, including accrued interest 339,257 572,222 Contributions 276,092 349,887 Interest and investment income 442,467 439,301 Net realized and unrealized gain (loss) on investments (66,313) (47,658) Income (loss) from investment in partnerships and other companies 18,710 (178,721) Other income 64,542 96,890 Total support and revenue 4,598,228 6,752,739 Expenses: Program services: Housing development 2,316,550 1,539,291 Rental operations 190,494 877,664 Supporting services: Management and general 910,257 795,116 Total expenses 3,417,301 3,212,071 Change in net assets before other income (expenses) 1,180,927 3,540,668 Other income (expenses): Capital grants 1,162,898 764,921 Gain on sale of property – Villa Springs - 4,212,878 Contributions to related parties (595,852) (1,926,973) Total other income (expenses) 567,046 3,050,826 Change in net assets 1,747,973 6,591,494 Net assets, beginning of year 32,449,527 25,858,033 Net assets, end of year 34,197,500 $ 32,449,527 $ Unrestricted ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES 35 SCHEDULES OF RELATED-PARTY RECEIVABLES AND PAYABLES – EDEN HOUSING, INC. ONLY YEARS ENDED JUNE 30, 2009 AND 2008 Related-party receivables and payables as of June 30, 2009 and 2008 are as follows: 2009 2008 Receivable: Developer fees $ 4,506,380 $ 7,745,660 Partnership management fees 1,771,667 1,683,712 Ground leases 3,426,465 3,222,764 Advances for development costs 2,299,445 819,741 Advances to general partners 3,226,049 1,544,609 Operating advances to EHMI - 197,439 Reserve funding fees 37,000 37,000 Accrued interest on developer fees 467,214 409,214 Accrued interest on ground leases 804,029 668,474 Accrued interest on notes receivable 1,150,775 841,028 Accrued interest – other 42,805 130,413 Total 17,731,829 17,300,054 Less: allowance for doubtful collections (354,632) (443,805) 17,377,197 16,856,249 Less: current portion (4,339,630) (3,506,968) Long-term portion $ 13,037,567 $ 13,349,281 Payable: Operating advances Eden Baywood L.P. $ - $ 106,767 Eden Palms Associates 30,027 30,027 Monterey Road Supportive Housing - 17,679 Villa Springs 103,530 - Other - 1,549 Grants Palo Alto Alma 63,875 63,875 Sara Conner Court L.P. 25,000 25,000 Richmond Nursery 1,177,819 764,921 Capital contribution Eden Investments, Inc. - 917,655 Total 1,400,251 1,927,473 Less: current portion - (917,655) Long-term portion $ 1,400,251 $ 1,009,818 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES 36 SCHEDULES OF NOTES PAYABLE – EDEN HOUSING, INC. ONLY YEARS ENDED JUNE 30, 2009 AND 2008 Notes payable of Eden Housing, Inc. as June 30, 2009 and 2008 are as follows: 2009 2008 Interest Payable Principal Interest Payable Principal 742 Harris Court Citicorp Mortgage, Inc., maximum amount of $248,500, due July 1, 2029, bears interest at 7.18% per annum, and requires annual payments of $1,683. $ 1,283 $ 214,513 $ 1,337 $ 219,131 City of Hayward (HOME) for predevelopment costs, due January 10, 2054, bears interest at 4.69% per annum from January 1, 2001. Annual payments are required commencing July 1, 2001, to the extent of surplus cash, as defined. 65,791 165,000 50,311 165,000 Grove Way/Tenth and D Streets Citicorp Mortgage, Inc., due June 1, 2029, bears interest at 7.00% per annum and is payable in installments of $2,754. - 355,443 2,119 363,312 Stoney Creek Apartments City of Livermore, bears compound interest at 3.00% per annum. The loan is to be repaid, to the extent EHI receives annual lease payments from the project. 473,830 813,114 436,346 813,114 Washington Creek Apartments City of Petaluma. The principal is due July 24, 2020, with any unpaid interest which accrues at 3.00% per annum. 182,400 320,000 172,800 320,000 Richmond Nursery City of Richmond, for acquisition and predevelopment costs, consisting of $449,000 in CDBG funds and $151,536 in HOME funds, bears simple interest at 3.00% per annum and due on September 22, 2008. 72,997 919,420 45,414 919,420 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES SCHEDULES OF NOTES PAYABLE – EDEN HOUSING, INC. ONLY YEARS ENDED JUNE 30, 2009 AND 2008 37 2009 2008 Interest Payable Principal Interest Payable Principal Opportunity Fund Northern California (formerly Lenders for Community Development), for the acquisition and development of affordable housing, maximum amount $1,778,219, secured by general collateral assignment of non-real property assets, bears interest at 8.00% per annum, interest only payments commencing August 1, 2006, and due on the earlier of June 28, 2008 or assignment to an affiliate. Repayment of the loan is guaranteed by the Richmond Community Redevelopment Agency. The loan was repaid in July 2008. - - - 1,771,001 Grand/C L.P. Redevelopment Agency of the City of Hayward, for the development of affordable rental housing, maximum amount $507,000, bears simple interest at 5.10% per annum, interest only payments commencing March 1, 2007, and due on the earliest of a transfer of the development or any portion thereof other than a transfer as permitted or approved by the Agency, or occurrence of a default, or February 1, 2022. 8,492 507,000 6,337 497,000 E. Santa Fe Avenue Redevelopment Agency of the City of Pittsburg, for the predevelopment of affordable rental housing, maximum amount of $200,000, bears simple interest at 3% per annum, and due on August 6, 2009 or occurrence of a default. - 24,971 156 24,971 Cypress Glen Redevelopment Agency of the City of Hayward, for predevelopment costs, bears simple interest at 3.00% per annum and due on December 11, 2062. - 200,000 - 200,000 Arroyo Vista City of Dublin, for predevelopment costs, maximum amount of $325,000, bears simple interest at 3.00% per annum and due on December 18, 2010. - 324,936 - 141,683 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES SCHEDULES OF NOTES PAYABLE – EDEN HOUSING, INC. ONLY YEARS ENDED JUNE 30, 2009 AND 2008 38 2009 2008 Interest Payable Principal Interest Payable Principal Wells Fargo Community Development Corporation, bears simple interest at interest paid quarterly with principal and any interest due in July 2012. 2,500 500,000 2,500 500,000 Lafayette Redevelopment Agency of the City of Lafayette, for predevelopment costs, maximum amount of $2,200,000, bears simple interest at 3.00% per annum and due on January 11, 2011. 41,835 2,692,660 506 102,405 Contra Costa County Department of Conservation and Development, for predevelopment costs, in an original amount of $1,400,000, bears simple interest at 3% per annum and is due on December 10, 2063. - 1,390,000 - - Peralta City of Fremont, for predevelopment costs, maximum amount of $250,000, bears simple interest at 3.00% per annum and due on September 9, 2009. The loan was assigned to Peralta Seniors, L.P., an affiliate, in June 2009. - - 1,815 198,272 Palo Alto Opportunity Fund, for predevelopment costs, maximum amount of $325,000, bears simple interest at 3.00% per annum and due on December 18, 2010. - 348,450 - 116,102 Estabrook Opportunity Fund Northern California, maximum amount of $1,204,930, bears simple interest at 4% per annum, interest only payments commencing February 1, 2009, with principal payments of $588,117 due on April 1, 2009, $59,138 due on November 15, 2009, $340,125 due on July 15, 2010, $217,549 due on December 31, 2010, and due in full on January 16, 2011. - 536,218 - - Ford-Monterey Opportunity Fund Northern California, maximum amount of $350,000, is non- interesting bearing, and due on February 26, 2012. - 109,059 - - ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES SCHEDULES OF NOTES PAYABLE – EDEN HOUSING, INC. ONLY YEARS ENDED JUNE 30, 2009 AND 2008 39 2009 2008 Interest Payable Principal Interest Payable Principal General Wells Fargo Community Development Corporation, in an original amount of $1,000,000. Bears simple interest at 2.00%, interest paid quarterly with principal and any unpaid interest due in full January 2013. 5,000 1,000,000 5,000 1,000,000 New Corporate Office/Office Building Wells Fargo Community Development Corporation, bears simple interest at interest paid quarterly with principal and any interest due in September 2011. 2,500 500,000 2,500 500,000 Wells Fargo Bank, N.A., for the construction of commercial office space at 22645 Grand Street, Hayward, maximum amount of $704,519, secured by deed of trust, bears interest at 6.70% per annum (if conversion occurs on or before the mandatory conversion date) or 1.75% plus applicable LIBOR rate (if conversion does not occur by mandatory conversion date), and any unpaid principal and interest due and payable in full on June 20, 2008. The loan was extended and subsequently converted to a permanent loan on October 10, 2008. - - - 642,886 Corporate Office/Office Building Bank of the West for acquisition of property for corporate office at 409 Jackson Street, Hayward, due in September 2007. installments are $3,159, with interest at 5.00%. The loan was paid-off in September 2007 and was replaced by a new loan with maximum amount of $410,000 with a maturity date of September 25, 2012. - 387,940 - 398,790 Grand C Office Building California Community Reinvestment Corporation, in an original amount of $700,000, with installments of principal and interest of $4,517, bears simple interest at 6.7%, and is due on November, 1, 2023. - 695,668 - - Demand Notes Payable Payable to A Street, Inc., on demand or by December 31, 2051, with compound interest at 5.84% per annum. - 167,000 - 167,000 ---PAGE BREAK--- EDEN HOUSING, INC. AND AFFILIATES SCHEDULES OF NOTES PAYABLE – EDEN HOUSING, INC. ONLY YEARS ENDED JUNE 30, 2009 AND 2008 40 2009 2008 Interest Payable Principal Interest Payable Principal Payable to Catalonia, Inc., on demand or by December 31, 2053, with compound interest at 6.36% per annum. 378,691 290,000 338,706 290,000 Payable to Chynoweth Housing, Inc., on demand or by December 31, 2055, and is non-interest bearing. - 250,000 - 250,000 Payable to Corona-Ely Ranch, Inc., on demand or by December 31, 2052, with compound interest at 7.69% per annum. - 286,000 - 286,000 Payable to Eden Investments, Inc., on demand or by December 31, 2055, and is non- interest bearing. - 50,000 - 50,000 Payable to Eden Palms, Inc., on demand or by December 31, 2050, with compound interest at 6.36% per annum. 827,419 633,000 740,090 633,000 Payable to Ellis Lake Townhomes, on demand or by December 31, 2051, and is non- interest bearing. - 79,000 - 79,000 Payable to Glen Berry, Inc., on demand or by December 31, 2052, with compound interest at 7.67% per annum. - 215,000 - 215,000 Payable to Stoney, Inc., on demand or by December 31, 2051, with compound interest at 6.75% per annum. - 305,000 - 305,000 Payable to Washington Creek, Inc., on demand or by December 31, 2051, with compound interest at 6.75% per annum. - 113,500 - 113,500 Total 2,062,738 14,392,892 1,805,937 11,281,586 Less: current portion (82,997) (1,332,331) (12,119) (3,769,550) Non-current portion $ 1,979,741 $ 13,060,561 $ 1,793,818 $ 7,512,036 ---PAGE BREAK--- Response to Request for Qualifications / Proposals Eden Housing, Inc. El Cerrito Redevelopment Agency June 21, 2010 Mixed Use Development Site 4. Experience ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 4: EXPERIENCE AND QUALIFICATIONS OVERVIEW & ORGANIZATION Eden Housing, Inc. is a fully integrated non-profit development corporation with two subsidiary companies – Eden Housing Management, Inc. (EHMI), Eden’s property management company, and Eden Housing Resident Services, Inc. (EHRSI), which provides services to our senior and family apartment projects. Created in 1968, Eden Housing has developed 5,349 residential units in 75 developments and over 60,100 square feet of commercial space in cities throughout the Bay Area. Today, Eden Housing stands out as one of the most productive and successful nonprofit affordable housing developers in California. Eden was recently recognized by Affordable Housing Finance Magazine as one of the Top 50 Affordable Housing Owners in the country for the fourth year in a row. Eden is recognized in the industry for its creative development approach that includes collaborating with local governments and tailoring projects to suit the locale. In addition, Eden places a high value on design through the work of talented designers, builders and other professionals and is committed to crafting high-quality developments that give careful attention to the needs of residents and the surrounding neighborhood. Indeed, Eden has won more than 40 awards for its work, including the recent recognition of Ashland Village in unincorporated Alameda County, which was nominated by Affordable Housing Finance Magazine as a finalist in the Preservation Category for the National Readers’ Choice Award. Eden’s Hayward Senior Housing was nominated as a finalist in the Senior Housing Category in 2009 and Sara Conner Court was a finalist in the Family Housing Category in 2007. Other recent awards include Rivertown Place in Antioch, which received an honorable mention for the national Charles L. Edson Award for Tax Credit Excellence, and Victoria Green in Hercules and Chesley Apartments in Richmond, both family housing complexes which won Merit Awards from the Pacific Coast Builders, Gold Nugget Competition. Eden’s work goes beyond building high quality buildings to creating a community for the residents who live in our housing and a permanently affordable, high quality asset for the cities we partner with. Eden achieves these long-term goals through its property management and social services programs. Since its establishment in 1984, EHMI has provided professional, quality management for Eden’s properties. EHMI currently manages more than 4,300 units of rental housing in 70 properties for Eden Housing and third party owners with the goal of ensuring that properties remain an asset to and integral part of the communities in which they are built. As well, EHMI directly oversees 51,600 feet of retail and commercial space – handling lease negotiations, tenant communication and maintenance. EHRSI was formed in 1995 as the Resident Services Department of EHMI and was incorporated as a separate affiliated agency of Eden Housing in 1998. EHRSI’s two divisions, Family ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 Services and the Senior and Disabled Services, provide services to over 5,000 low-income individuals. Together, the integrated company brings a combined package of experience and expertise which covers the spectrum of activities involved in developing, owning, managing and servicing a high quality housing development. This combined effort assures the quality design and construction of the project is preserved through the careful long-term maintenance of the property and ongoing care and service to residents. DEVELOPMENT TEAM Eden Housing, Inc. will be the lead development entity responsible for managing the entire development process from early design and entitlements, through financing, construction and lease-up. Though Eden Housing, Inc. will be responsible for the bulk of the day-to-day work on these projects, these kinds of complex, mixed-use developments require a diverse team of professionals and specialists. Over the years, Eden has cultivated strong working relationship each of the members of the proposed Development Team. 1. Lead Development Entity: Eden Housing, Inc. 2. Architect: Van Meter Williams Pollack LLP 3. Property Management: Eden Housing Management (EHMI) 4. Resident Services: Eden Housing Resident Services, Inc. (EHRSI) 5. Financial Consultant: Community Economics, Inc. 6. Real Estate Attorney: Law Office Of Joyce Hiyama Glatt 7. Syndication Attorney: Gubb & Barshay, LLP 8. Commercial Leasing Agent: Ventura Partners 9. Lead Senior Service Provider: Samuel Merritt University The following sections provide an overview of each firm and experience on similar projects, while specific staffing details and professional summaries, are provided in Section 2, “Development Entity.” Detailed summaries of five similar projects are attached. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 1. LEAD DEVELOPMENT ENTITY: EDEN HOUSING, INC. Eden has a long history of working in partnership with local communities to implement their vision for affordable housing and community revitalization. A significant portion of Eden’s work involves the implementation of a community or specific planning visions created by our City partners, much like the San Pablo Avenue Specific Plan. We have provided fully detailed descriptions of five recent, similar developments with references at the end of this section. In addition to these specific project descriptions, the following paragraphs highlight and summarize our key, relevant experience. Experience with Mixed Use Development: Eden has a strong track record in higher-density, infill development with a mixed use component – similar in nature to the context for development of the San Pablo Mixed-Use site. We have built or renovated over 60,100 square feet of commercial and retail space into our affordable housing communities. These commercial spaces often include neighborhood serving retail, such as restaurants and small bank branches, in addition to community-enhancing amenities such as child care centers and health clinics. Example: Downtown River Apartments, Central Petaluma Plan, Petaluma 35 E. Washington Street, Petaluma, CA In 2005, Eden Housing completed a new high density, infill development in historic downtown Petaluma featuring 81 affordable family rental units and 5,500 square feet of ground floor commercial space leased by neighborhood-serving retail and office uses. The site was assembled from nine property owners and had been vacant and underutilized for several years. Located in the heart of the City’s downtown, the site is accessible to public transportation, shopping and other amenities. The project is part of the City’s revitalization program for Central Petaluma which calls for an exciting and diverse mix of new commercial and residential uses. The Plan was developed through an extended community process led by an advisory committee of which Eden was a member. Downtown River Apartments represents the first piece of implementation of the Central Petaluma Plan. Downtown River Apartments has a density ratio of 32 units per acre and is bordered by the Petaluma River and local industrial uses. Because of its proximity to the Petaluma River, the development features a public, pedestrian river walk designed to enhance the resident and community enjoyment of the River. Additional project amenities include a community room and computer learning center serving residents. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 Example: Hayward Senior Housing & Eden Corporate Offices, Hayward 568 C Street, Hayward, CA Eden finished construction in 2008 on 60 units of senior housing directly across the street from the Hayward BART Station. The project also included a large ground floor commercial office space, which is now the new headquarters for Eden Housing, Inc. and our affiliates. The location of the Hayward Senior Housing site had long been identified by the City of Hayward as critical to the revitalization of downtown Hayward. The property marks the transition from the Central City Commercial Zoning District to the Central City Residential District. Historically, this area has been underutilized with aging warehouses interspersed with older workforce housing. In order to implement the City goals of creating a vibrant downtown for retail, housing, and expanding employment opportunities, the City specifically identified this site for high-density housing and commercial use. The Hayward Senior Housing development helped increase the short supply of affordable rental housing units in Downtown Hayward and the variety of housing types within the Downtown area. Hayward Senior Housing should be a stimulus for the further development of other properties to the west of the BART station and helps to fulfill the City’s goals of housing and commercial uses while adding very low income units to the City’s affordable housing inventory. Example: Community Heritage Senior Apartments 1555 Third Street, North Richmond, CA Community Heritage in North Richmond is a 52- unit rental housing development for very low- income, independently living seniors, aged 62 and older. The development, completed in 2000, is co- sponsored by the Community Development Corporation of North Richmond, a local community-based nonprofit housing developer. The housing was developed in conjunction with an adjacent commercial center and County- sponsored health clinic, all designed to revitalize this community that has not experienced significant public or private investment in years. The project includes a three-story U-shaped apartment building of one- bedroom units, a large courtyard with fruit trees, gardening planter boxes, large patio and quiet seating areas. The indoor community space includes a large meeting room, small multi-purpose room, kitchen, library, laundry facilities and offices. This ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 development provides seniors with a high-quality supportive living environment and easy access to social services. Example: Ohlone-Chynoweth Commons, San Jose 5300 Terner Way. San Jose, CA In 2000, Eden completed Ohlone- Chynoweth Commons, an innovative transit-oriented development which involves the creation of affordable housing and commercial uses next to the Ohlone-Chynoweth light rail station in San Jose. Built on an under-utilized parking lot leased from the Santa Clara Valley Transportation Authority, Ohlone Chynoweth provides 194 apartments affordable to families earning 30% to 60% of the area median income. The unit mix consists of 50 one-bedroom units, 63 two-bedroom units, 77 three-bedroom units and four four-bedroom units. The residential buildings are organized into two- and three- story clusters built over structured parking garages. The project also offers an on-site day-care center operated by Kidango, a community center and a computer learning facility. Several play areas for children have been built within the development, including a mist-cooled bamboo forest. Eden incorporated 4,400 square feet of retail space in the development to meet the needs of the residential community, as well as those using the nearby light-rail transit line. Example: Riverhouse Hotel, Martinez 700 Alhambra Avenue, Martinez, CA Riverhouse Hotel, located in Martinez, California, is a 75-unit rental housing development for low income adults. The development was a renovation of an historic building in downtown Martinez and provides single room occupancy, studio and one bedroom units. In addition, there are six commercial units in the building that front Alhambra Avenue that are owned and managed by Eden Housing. Seven residential units on the first floor open to a gated patio which is open to the residents for their use. The indoor community space includes a large multi-purpose ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 community room with a large screen television, pool table and library set-up. In addition, residents can enjoy two smaller “TV” lobbies on the second and third floors, each with a large screen television and comfortable seating. The building also houses two community kitchens, laundry facilities and management offices. The Riverhouse Hotel is conveniently located near public transportation. Experience with Affordable Housing: Since our inception in 1968, Eden Housing has been dedicated to building affordable home- ownership and rental communities across Northern California. To-date, we have built over 5,300 residential units in 75 fully affordable projects. Eden has developed 9 communities comprising over 550 units in Contra Costa County. These include two communities in each of Richmond, Hercules, and Antioch, one community in Concord, and one in Brentwood. In 2009, Eden completed entitlements for 230 units of family and senior housing in Richmond, in partnership with the Redevelopment Agency and a market rate developer, for the redevelopment of the Sakai, Oishi, and Endo nurseries into a mixed-income, mixed-tenure development that will serve first-time homebuyers and low income seniors. Eden Housing currently manages 661 units in Contra Costa County for seniors, disabled individuals, and families. Eden Housing is also recognized for its ability to create well-designed properties that meet the needs of the residents and blend in well with the surrounding community. Many of the projects Eden has developed have been on infill sites and have been designed to conform to the scale and character of their respective neighborhood contexts and meet the revitalization and development goals of local specific planning efforts. Example: Wicklow Square Apartments, Dublin 7606 Amador Valley Blvd, Dublin, CA Completed in 2005, Wicklow Square is Eden’s first project in the city of Dublin. It offers 54 units for very low-income independently living seniors. The $11.1 million development occupies the southern part of a parcel left vacant by the demolition of a former library. Wicklow faces the new Dublin Senior Center which occupies the remainder of the site. Because both buildings were developed under the City’s auspices and at the same time, they are designed to complement one another architecturally. They are located adjacent to two shopping centers and close to a small medical center and a park. This combination of housing and services creates an ideal setting for independent senior living. The building is three stories of elevator-served apartments over a parking garage. All units have full kitchens, and lunches are also served at the senior center. Each unit has a “front porch” on the ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 central corridor and a private balcony that offers views to the surrounding hills. The common area amenities, grouped in the center of the building, include a first floor lobby and mail area; a reception area, outdoor view deck, trellised terrace and the Manager’s office on the second floor; a central laundry and the Service Coordinator’s office on the third floor; and the community room and a lounge on the fourth floor. Raised planter beds for resident use are located on the sunny south side of the building. The project was financed by the City of Dublin, Citibank (West) FSB, and Aegon USA Realty Advisors, Inc., which was the Tax Credit investor. Example: Rosewood Terrace and Wisteria Place, Union City 33935 and 33821 Alvarado-Niles Road, Union City, CA Rosewood Terrace, whose design far surpasses that of a traditional apartment building, is a 45-unit affordable development for seniors located in Union City. Rosewood is a component of the City’s plan to make the neighborhood along Alvarado-Niles Road and adjacent to the Civic Center, into a senior village offering an array of living options and services for seniors. Completed in 2000, amenities include a community room with a kitchen, a library, an exercise room, laundry, and an outdoor patio and gardens, all designed specifically for seniors. A full time on-site resident manager and a services coordinator work with residents to access services for seniors in addition to those provided by the neighboring Ralph and Mary Ruggieri Senior Center. Rosewood Terrace was funded by the City of Union City and the HUD 202 program. Rents are on a sliding scale based on income so that no resident pays more than 30% of his/her income in housing costs. Wisteria Place, completed in 2004, is the third phase of the Senior Village Plan. The fourth phase is an assisted living facility adjacent to Wisteria Place developed by Elder Care Alliance and called Alma Via. Wisteria Place is a 40-unit, 3-story elevator-served affordable senior rental apartment development sponsored primarily by Union City and HUD. Amenities include a centrally located 1,071 square foot community space and other common area spaces on the 2nd and 3rd floors to accommodate smaller gatherings. Outdoors are lawn areas and walkways that provide safe and pleasant passage to all areas for the mobility impaired, as well as a paved terrace outside of the community room for social gatherings. The building and grounds incorporate numerous features to assist and support residents as their physical capacities diminish over time. Wisteria is the site of Eden’s first public art project, a sculpture by artist Harry Powers. The development is located near public ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 transportation and within easy walking distance of the senior center and Rosewood Terrace. Example: West Rivertown and Rivertown Place, Antioch 811 West 4th Street and 712 W. I St. Antioch, CA In 2003 Eden Housing completed development of a 57-unit scattered-site rental housing development as the first step in implementation of the City of Antioch’s West Rivertown District Urban Design Concept Plan, which Eden helped the City to facilitate. This project provides affordable units to families with incomes at 30% to 60% of the area median income. The West Rivertown Apartments include a 2,400 square foot on-site day-care center and a 1,600 square foot community building. The project features laundry facilities, a play area for children, a central picnic area and open space on each of the three sites. The residential units are a mix of one to four bedroom units contained in two and three story buildings with surface parking. Density of this development is at 23 units to the acre. An Amtrak station is located within walking distance of the project and bus stops in the middle of the site provide easy access to local and regional transit lines and BART. Rivertown Place is the second phase of West Rivertown. The 40-unit development is near public transit, elementary, intermediate and high schools, as well as public parks and a community center. Rivertown Place is a community of ten two-story and three story townhouse-style apartment buildings and one community building. The 1,856 sq. ft. community building includes a property management office, a computer learning center/service coordinator office, a full kitchen, two bathrooms, a maintenance shop and a laundry facility. Amenities include a patio adjacent to the community building with two barbeques and picnic tables for the tenants’ enjoyment. The development has a nearly 1,600 sq. ft. lawn area adjacent to the community building, and two play structures: one designed for children ages 2-5 and another designed for children ages 5-12. Both of these developments are within walking distance of Antioch’s revitalized historic river front district for shopping, restaurants and services and played a vital role in catalyzing the revitalization of this area. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 Example: Samara Terrace, Hercules 102 Civic Drive, Hercules, CA Samara Terrace opened in November of 2006. This beautiful 52-unit senior property is located directly across from the City of Hercules’ city hall, a senior center, and is adjacent to the city’s brand new library. The three-story elevator-served building provides 51 1-bedroom units for seniors and a manager’s unit. The building contains many amenities for the senior residents, including a large community room with a kitchen, a first-floor lounge with a fireplace, a library, lounge areas on the upper floors, a computer center, and laundry facilities. Outdoors are patios, a trellised view area facing the and a large community garden area with built-up planter boxes and potting bench. The property also provides an additional large meeting room for exclusive use by the City staff. Example: Victoria Green 163 Paradise Drive, Hercules, CA Eden’s first development in the City of Hercules, is also one of its largest at 132 units. This beautiful property, completed in 2004, is located within a 748-unit master development of market-rate single-family homes, and aesthetically fits in perfectly with its neighbors. The project is on part of the former site of the Pacific Oil Refinery that was fully remediated and made construction-ready by the master developer, Catellus Residential Group, who sold the site to Eden for The $29 million development also comes with a million- dollar view of San Pablo Bay, an unusual amenity for affordable housing. It has a large community center, a separate computer-learning lab, two playgrounds, a large open central lawn area, patio and barbecues with picnic tables and laundry facilities. Union Bank, the tax-credit partner, invested over $20 million in Victoria, with additional funding from CalHFA, State HCD and Contra Costa County. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 AWARDS & RECOGNITIONS Eden Housing, Inc. 2010 Eden Housing named one of the Top 50 Affordable Housing Developers in the U.S. by Affordable Housing Finance Magazine 2007–2009 Eden Housing named one of the Top 50 Affordable Housing Owners in the U.S. by Affordable Housing Finance Magazine 2008 Eden Housing named “Nonprofit of the Year” by California State Assembly Member Alberto Torrico, Majority Leader 2006 California Housing Consortium Hall of Fame - in recognition of Eden Housing’s contribution to fostering the creation of affordable housing throughout California 2006 City of Hayward Business Environmental Achievement Award 2005 Citibank Recognition for ‘Making Our Communities Better’ 2004 Energy Star for Homes-Outstanding Achievement Award - U.S. Environmental Protection Agency 1993 Great Western Bank Great Western Housing Award Linda Mandolini, Executive Director 2008 Linda Mandolini named “Woman of Distinction” by the East Bay Business Times Ashland Village, 142 rental units for families, Unincorporated Alameda County 2010 Honorable Mention in Metropolitan/Urban Housing Category, Charles L. Edson Tax Credit Excellence Awards 2010 2010 Finalist, Readers’ Choice Awards for Preservation, Affordable Housing Finance Magazine Hayward Senior Housing, 60 rental units for seniors in Hayward 2009 2009 Finalist, Readers’ Choice Awards for Senior Housing, Affordable Housing Finance Magazine Rivertown Place, 40 rental units for families in Antioch 2008 Honorable Mention, Charles L. Edson Tax Credit Excellence Awards Sara Conner Court, 57 rental units for families in Hayward 2007 Finalist, Readers’ Choice Awards for Family Housing, Affordable Housing Finance Magazine Chesley Avenue Mutual Housing, 30 rental units for families in Richmond (With CHDC of North Richmond) 2006 Merit Award, Gold Nugget, Builders Magazine Victoria Green, 132 rental units for families in Hercules 2005 Merit Award, Gold Nugget, Builders Magazine 2005 National Assoc. of Local Housing Finance Agencies Award (NALHFA) ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 West Rivertown Apartments, 57 rental units for families in Antioch 2004 Property of the Year - Merritt Community Capital Corporation 2004 Project of the Year, Merritt Community Capital Corporation: For Revitalizing a Distressed Neighborhood and Providing High Quality Affordable Housing Adams Avenue Homes, 17 affordable homes for first-time homebuyers in Fremont 2004 California Redevelopment Association Award of Excellence in Single-Family Residence Category Fuller Gardens, 16 rental units for people with developmental disabilities in San Leandro 2004 City of San Leandro 2004 Planning and Design Awards New Residential, Multi- Family: Michael Pyatok, Architect Community Heritage Senior Apartments, 52 rental units for seniors in North Richmond 2005 California Redevelopment Agency (CRA) Award of Excellence for Best Mixed-Use Project 2003 National Association of Home Builder’s Senior Housing Council Gold Award for Affordable Senior Housing 2000 Gold Nugget Award of Merit, Mixed Use Design, HOME Award – National Association of Local Housing Finance Agencies Ohlone-Chynoweth Commons, 194 rental units for families in San Jose 2002 Platinum Award-Best Smart Growth: Builder’s Magazine 2000 Sierra Club Smart Growth Development recognition 2000 Federal Home Loan Bank, Community Partnership Award 2001-2002 Finalist, Fannie Mae Maxwell Awards of Excellence 2002 First Annual Prometheus Prize – The Prometheus Foundation & The Housing Trust of Santa Clara County, Honorable Mention Rosewood Terrace, 45 rental units for seniors in Union City 2000 Pacific Coast Builder's conference recognition Eden Palms Apartments, 145 rental units for families in San Jose 1998 Merit Award for Excellence in Design, American Institute of Architects, California Council 1998 Gold Nugget Award of Merit, In Recognition of Excellence and Value 1997 SAMCO Award, Outstanding Project Award 1997 Gold Nugget Award of Merit, Best Affordable Housing- Attached The San Pablo, 144 rental units for seniors in Oakland 1997 Fannie Mae Maxwell Awards of Excellence - Honorable Mention Program for the Production of Low-Income Housing 1996 Tax Credit Excellence Award ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 Pacific Grove, 20 rental units for disabled in Fremont 1997 Gold Nugget Grand Award Judges Special Award of Excellence B Street Bungalows, 4 single family homes for first time homebuyers in Hayward 1997 Gold Nugget Grand Award - Best Affordable Detached Community Stoney Creek, 70 rental units for families in Livermore 1995 Gold Nugget Grand Award - Best Apartment Project - 1-3 stories 1993 NAHRO Award of Merit, Project Design Glen Eden, 36 rental units for families in Hayward 1994 NAHRO National Award of Excellence E.C. Magnolia Court, 21 rental units for physically disabled in Hayward 1993 NAHRO Awards of Merit, Project Design and Administrative Innovation Fuller Lodge, 26 rental units for developmentally disabled in San Leandro 1992 NAHRO Award of Merit Sequoia Manor, 81 rental units for seniors in Fremont 1988 Certificate of National Merit (national recognition program for urban development excellence for City of Fremont projects) Redwood Lodge, 24 rental units for physically disabled in Fremont 1988 Certificate of National Merit (national recognition program for urban development excellence for City of Fremont projects) Baywood Apartments, 82 rental units for families in Fremont 1988 Certificate of National Merit (national recognition program for urban development excellence for City of Fremont projects) Olive Tree Plaza, 26 rental units for physically disabled in Hayward 1987 NAHRO Northern California Chapter, Housing Project Design Award Tyrrell Gardens, 28 owner-built townhomes in Hayward 1985 NAHRO Housing Program Innovation Award La Solana, 58 family-owned townhomes in Hayward 1982 PG&E Award for energy efficient design and solar water heating 1981 State of California Award for innovation in affordable housing in California ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 Eden Lodge, 143 rental units for seniors in San Leandro 1981 City of San Leandro Residential Development Design Award for exemplary efforts in the quality and appearance of San Leandro Sparks Way Commons, 45 limited equity co ops for families in Alameda Co. 1980 Planning and Women Division of American Planning Association for innovations in developing an affordable housing cooperative designed specifically for single parent families Josephine Lum Lodge, 150 rental units for seniors in Hayward 1973 Design Award from the Bay Area American Institute of Architects ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 DEVELOPMENT SUMMARY LIST COMPLETED DEVELOPMENTS # of Units Developed by EHI Managed by EHMI Construction Type Housing Type Housing Population Commercial Square Feet Year Completed Rehabbed Homes, Oakland 6 x Acq/Rehab Home-Owner Family 1968 Josephine Lum Lodge, Hayward 150 x x New Rent Senior 1973 Eden Lodge, San Leandro 143 x x New Rent Senior 1980 La Solana, Hayward 58 x New Home-Owner Family 1982 La Solanita, Hayward 6 x New Home-Owner Family 1982 Summerwood, Hayward 163 x New Rent Family 1983 10th & D Street, Union City 3 x x Acq/Rehab Rent Family 1982 Grove Way, Hayward 8 x x Acq/Rehab Rent Family 1982 Eden Issei, Hayward 100 x x New Rent Senior 1984 Sparks Way, Hayward 45 x x New Home-Owner Family 1984 Sycamore Square, Hayward 26 x x New Rent Family 1983 Greenhaven, Union City 250 x New Rent Family 1984 Tyrrell Gardens, Hayward 28 x New Home-Owner Family 1985 Olive Tree Plaza, Hayward 26 x x New Rent Disabled 1986 Heritage Park, Livermore 167 x New Rent Senior 1986 Huntwood Terrace, Hayward 104 x New Rent Family 1988 Cypress Glen, Hayward 54 x x New Rent Family 1987 Huntwood Commons, Hayward 40 x x New Rent Family 1988 Mission Wells, Fremont 392 CO-GP New Rent Family 1988 Ridge View, Pleasanton 200 x New Rent Senior 1989 Sequoia Manor, Fremont 81 x x New Rent Senior 1989 Baywood Apts., Fremont 82 x x New Rent Family 1990 Redwood Lodge, Fremont 24 x x New Rent Disabled 1989 Westporte, Hayward 94 x New Home-Owner Family 1990 Fuller Lodge, San Leandro 26 x x New Rent Disabled 1991 E.C. Magnolia Court, Hayward 21 x x New Rent Disabled 1992 Stoney Creek Apts., Livermore 70 x x New Rent Family 1992 Washington Creek, Petaluma 32 x x New Rent Family 1993 Villa Springs, Hayward 66 x x Acq/Rehab Rent Family 1993 Glen Eden, Hayward 36 x x New Rent Family 4,000 1993 ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 COMPLETED DEVELOPMENTS # of Units Developed by EHI Managed by EHMI Construction Type Housing Type Housing Population Commercial Square Feet Year Completed Glen Berry, Hayward 50 x x New Rent Family 1,200 1994 Corona Ranch, Petaluma 74 x x New Rent Family 1994 Corona Crescent, Petaluma 16 x New Home-Owner Family 1994 The San Pablo, Oakland 144 x Acq/Rehab Rent S&D 8,500 1995 Catalonia, San Jose 50 x x New Rent Family 1995 Laulima House, Oakland 9 x Acq/Rehab Rent Family 1996 Casa de los Amigos, San Jose 24 x Disabled 1996 Emerson Arms Apt, Martinez 32 x x Acq/Rehab Rent Family 1996 Kirker Court, Clayton 20 x Rent Disabled 1996 Riverhouse, Martinez 75 x Rent SRO 2,000 1996 B Street Bungalows, Hayward 4 x New Home-Owner Family 1996 Eden Palms, San Jose 145 x x New Rent Family 1997 Pacific Grove, Fremont 20 x x New Rent Disabled 1997 409 Jackson St., Hayward x x Acq/Rehab 10,000 1998 Hillview Glen, San Jose 180 x New Rent F & D 1996 Stone Pine Meadow, Tracy 72 x x New Rent Family 2000 Owls’ Landing, Livermore 72 x x New Rent Family 2000 Community Heritage, N. Richmond 52 Co-Dev x New Rent Senior 10,000 2000 Parkside Glen, San Jose 180 Co-GP New Rent Family 2000 Ohlone-Chynoweth, San Jose 194 x x New Rent Family 6,900 2000 Rosewood Terrace, Union City 45 x x New Rent Senior 2000 Harris Court, Hayward 24 x x Acq/Rehab Rent Family 2000 Virginia Lane, Concord 91 x x New Rent Family 2001 Adams Ave Homes, Fremont 17 x New Lease Family 2002 Union Court , Manteca 68 x x Acq/Rehab Rent Family 2003 West Rivertown, Antioch 57 x x New Rent Family 2003 Almond Terrace Sr., Manteca 50 x x New Rent Senior 2004 Fuller Gardens, San Leandro 16 x x New Rent Disabled 2004 Victoria Green, Hercules 132 x x New Rent Family 2004 Wisteria Place, Union City 40 x x New Rent Senior 2004 Nugent Square, East Palo Alto 32 Co-GP x New Rent Family 2005 Downtown River, Petaluma 81 x x New Rent Family 5,500 2005 ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 COMPLETED DEVELOPMENTS # of Units Developed by EHI Managed by EHMI Construction Types Housing Types Housing Populations Commercial Square Feet Year Completed Chesley Mutual Housing, Richmond (JV w/CHDC) 30 x x New Rent Family 2005 Vandenburgh Villa, Livermore 40 x x New Rent Senior 2005 Wicklow Square, Dublin 54 x x New Rent Senior 2005 Sara Conner Court, Hayward 57 x x New Rent Family 2006 Samara Terrace, Hercules 52 x x New Rent Senior 2006 Brentwood Senior Commons, Brentwood 80 x x New Rent Senior 2007 Edenvale Special Needs, San Jose 15 x x New Rent Disabled 2007 Rivertown Place, Antioch 40 x x New Rent Family 2008 Walker Landing, Hayward 78 x x New Rent Family 2008 Hayward Senior / Eden Office, Hayward 60 x x New Rent Senior 12,000 2008 Almond Court, Manteca 40 x x New Rent Senior 2009 Ashland Village, Unincorporated Alameda County 142 x x Acq/Rehab Rent Family 2009 Tennyson Gardens, Hayward 94 x x Acq/Rehab Rent Family 2009 Estabrook Place, San Leandro 51 x x New Rent Senior 2010 Projects Completed = 74 incl. commercial spaces Unit Totals: 5,400 56,100 s.f. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 2. ARCHITECT: VAN METER WILLIAMS POLLACK Van Meter Williams Pollack is an award-winning Architecture and Urban Design firm based in San Francisco and Denver. Since 1989 VMWP has provided a full range of comprehensive design and planning services for a variety of project types, from master-planning to urban infill, mixed-use projects. The firm also specializes in affordable housing design, and has received numerous design awards in national and local design competitions. Most recently, the Valencia Gardens Hope VI project was awarded the 2008 National AIA/HUD Secretary’s Housing and Community Design Award for Excellence in Affordable Housing. Eden Housing has successfully partnered with VMWP on several projects including, The Adams Avenue Homes – 17 units of first time homebuyer homes in Fremont, and West Rivertown and Rivertown Place – a two-phased, 97 unit project in downtown Antioch. In addition to these completed projects, Eden is currently in various stages of design development with VMWP on the following projects: Lafayette Senior, a 46 unit senior development in Lafayette; Warner Creek Senior Housing, 60 units of senior housing in Novato, and Peralta Mixed-Use Senior Housing a mixed-use development in Fremont with 98 senior rental apartments and 9,000 square feet of commercial space for senior health care provider. Images: (Top) Rivertown Place, Antioch; (Lower) Peralta Mixed-Use Senior Housing, Fremont. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 3. PROPERTY MANAGEMENT: EDEN HOUSING MANAGEMENT INC. Eden Housing's property management firm, Eden Housing Management, Inc. (EHMI) provides high quality property management services to Eden-sponsored developments. EHMI’s mission is to create and maintain high living standards for the residents whom it serves through professional and compassionate management practices in an affordable housing environment. Sound fiscal management, long-term affordability, and responsive maintenance ensure that EHMI properties remain a long-term asset to and an integral part of the communities in which they are built. EHMI currently manages more than 4,300 units of rental housing in 70 properties for Eden Housing and third party owners. As well, EHMI directly oversees 51,600 feet of retail and commercial space – handling lease negotiations, tenant communication and maintenance. Included in this portfolio are 19 senior properties, comprising over 1,600 units, and as a result EHMI has developed close relationships with senior service providers and referring agencies throughout the Bay Area. Because of the variety of financing mechanisms used by Eden to develop properties, EHMI has extensive experience in the marketing and management of units governed by a variety of, and often layered, regulatory requirements. EHMI staff is involved in the development phase of our projects prior to the transition to lease- up and operations. Property Supervisors have the responsibility of supervising the performance of a multifamily housing portfolio, which are assigned based upon the Supervisor’s expertise regarding the populations served by those developments. Supervisors also oversee Resident Managers who provide on-site property management. All units managed by EHMI are marketed in accordance with affirmative marketing requirements and Fair Housing laws. Prospective renters are recruited through a marketing strategy designed to ensure equal access to appropriate-sized units for all persons in any category protected by federal, state or local laws governing discrimination. Because Eden Housing owns and manages its properties, it is committed to assuring that the properties it develops are long-term assets for the residents who live in them and the communities in which they are located. Eden is also committed to the long-term affordability of the housing developed so that it remains a permanent source of high quality, affordable housing for the community. Eden takes a holistic approach to property management, focusing on four key aspects of property management: • Human: Emphasizing the importance of customer service and creating communities greatly enhances the living environments that Eden builds. Our management and services staff work as a team to provide management and resident services that go beyond bricks and mortar to promote aging in place for our seniors, provide economic opportunity for our families, and facilitate Eden’s goal of building communities. • Physical: Investing in high quality design and materials at the outset and having a strong ongoing maintenance program as well as strategic capital plan for the properties. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 • Financial: Structuring the financing of the project to assure that it is adequately funded to provide a high quality ongoing management program and sufficient reserves to assure long-term capital needs can be met. • Policy/Compliance: Assuring that our properties comply with the myriad of public funding restrictions that are placed on them. Marketing Experience Due to the many affordability and regulatory mechanisms that govern our properties, marketing of the units must be done accurately and prudently to ensure that all requirements are met. Eden has decades of experience in these areas due to our long track record of providing property management to Eden’s developments, marketing to households at all spectrums of affordability. Further, as all of our developments utilize local funds in the development of the project, it is not unusual to have local preferences established for the lease-up of a new development. Eden has often incorporated local preference criteria, typically for households who live and/or work in the local jurisdiction, into the highly competitive processes described above. All units managed by EHMI are marketed in accordance with affirmative marketing requirements and Fair Housing laws. Eden typically reaches 100% occupancy within one week of building completion for HUD 202 and HUD 811 developments and within one to two months for Tax Credit developments. Eden’s current portfolio vacancy rate is approximately The effectiveness of our property management function can be gauged by the fact that many of the communities we work in have asked us back to develop new projects. Eden believes strongly that our properties serve as long-term assets for these partner communities. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 4. RESIDENT SERVICES: EDEN HOUSING RESIDENT SERVICES, INC Eden Housing Resident Services, Inc. (EHRSI) provides a wide range of programming across Eden’s portfolio of family, senior and special needs properties. Using Eden staff and local partners, we work to identify service amenities that facilitate a higher quality of life and economic advancement for our residents. The primary goal of Eden’s senior resident services is to allow our seniors to ‘age in place.’ We aim to provide our seniors with the daily support that they need as well as access to valuable resources within their communities. Eden currently provides services at 14 of its 17 senior properties, and will reach all senior and disabled properties in 2011. In our current pipeline we will be adding an additional ten senior sites, totaling 796 units. Services programming at our senior and special needs sites includes: • Community groups – exercise/movement/nutrition classes, budget management/fraud prevention/financial education, personal security and safety preparedness, local transportation options (Paratransit, taxi services/vouchers, bus schedules/ stops/ accessibility etc.) • Individual and/or group support services addressing health/nutrition/wellness issues – provided onsite or in the nearby community – flu shots (available to residents annually), wellness clinics (hearing, podiatry, blood pressure, glucose screening, etc.), food bag distribution, etc. In addition to scheduled groups/services, educational/informational pamphlets will be made available to residents. • Informal self-help, peer support groups (walking, arts, cooking, reading groups etc.). • Maintain updated resource notebook for access by residents and property staff. Notebook will include an updated list of community resources/classes available to seniors (adult school activities, park and rec. activities, church groups etc.) as well as other relevant community resources (health, legal, shopping, financial, transportation, volunteer opportunities, cultural events, social services etc.). • newsletter • Community groups (self-enrichment/personal growth) – arts and crafts, ESL, music, culturally based activities, movies, social events, CHAT groups, Tea N Talk etc. Services programming available to all Eden residents includes: • Howard T. Collins Memorial Scholarship Program – Deserving Eden Housing residents seeking an education and job training skills have a unique opportunity to apply for financial assistance through Eden's Howard T. Collins Memorial Scholarship Fund. The Scholarship Fund, which commemorates a longtime Eden board member who was especially interested in education, was started in 1993 by Eden's board of directors as a means to recognize the potential of Eden residents who are striving to improve their lives. Each year Eden gives between 15 and 35 residents some monetary assistance in meeting their goals. The criteria used to select awardees include academic qualifications, need, community service, and scholastic and personal references. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 Senior properties have particular needs for social services, so Eden develops close partnerships with service providers who bring specific experience and expertise to the delivery of more intensive social services, including case management, to these developments. In all cases, EHRSI works closely with property management staff, service partners and residents to ensure needs are met. The goal of the Resident Services Program at any of our senior or special needs properties is to provide an environment which will allow special needs individuals to live independently and seniors to age in place and prevent unnecessary and premature institutionalization. By providing an affordable, supportive environment, the San Pablo Mixed- Use Senior Apartments will be a place for individuals to live comfortably and receive the assistance they need. In addition to the work of our on-site Services’ staff, we are proactive in collaborating with local organizations. By working together we are able to provide more programs that meet the unique needs of our resident populations. Not only has this proven to be a cost- effective way to support our residents, but it also allows us to better address the diversity of our residents. Rather than re- create a program, we are able to develop beneficial working relationships with local programs and focus our attention where there are gaps in services. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 5. FINANCIAL CONSULTANT: COMMUNITY ECONOMICS Eden will also engage Community Economics, Inc. (CEI), as financial consultant. CEI was established in 1976 in Oakland to provide non-profit organizations and public agencies with expert technical assistance in the financing and development of affordable housing. Since 1987, CEI has developed a particular expertise in HUD programs, tax credit and tax exempt bond financing for affordable housing and has worked with Eden to structure many of its projects. CEI has assisted numerous non-profit developers in the financing and syndication of affordable housing developments throughout the State of California. CEI staff works with clients from the earliest conceptual stages of development through the successful completion of construction and commencement of operations. CEI has been the financial consultant for over 400 tax credit projects that include more than 28,500 housing units and over 175 non-tax credit projects that include more than 5,000 units. CEI is located in Oakland and has worked on many projects in the San Francisco Bay Area and Alameda County. They have assisted Eden with more than 20 tax credit projects and 10 non-tax credit projects. They are one of the leading financial consultants in the nation specializing in the financing of affordable housing using a combination of public and private resources. The individual who will be primarily responsible for CEI’s work on this project is Alice Talcott. Ms. Talcott has been with CEI for nine years and has been working with Eden on projects since she joined CEI. She has assisted Eden with over 20 projects, and she is the financial consultant for almost all of Eden’s current projects. Prior to joining CEI, Ms. Talcott worked for the San Francisco Mayor’s Office of Housing for 6 years and is adept at dealing with the issues that public agencies face in development of affordable housing. 6. REAL ESTATE ATTORNEY: LAW OFFICE OF JOYCE HIYAMA GLATT Eden has consistently used the legal services of Law Office of Joyce Hiyama Glatt for all of its real estate work. Ms. Glatt is based in El Cerrito and has specialized in affordable housing and redevelopment since 1978. She has extensive experience in transactions involving multiple financing programs serving nonprofit housing development corporations and affordable housing lenders. Having closed over 400 affordable housing loans in Northern California, Nevada, and Washington, Ms. Glatt has extensive experience in transactions involving multiple financing sources and programs, including FHA mortgage insurance, HUD grants (202, 811, HOME, CDBG, HoDAG, UDAG), GNMA, FNMA, CHFA, HCD, tax-exempt bonds, redevelopment funds, low-income housing tax credits, other public and private grants and foundations, loans from cities, counties and housing authorities, and conventional private institutional lenders. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 7. SYNDICATION ATTORNEY: GUBB & BARSHAY, LLP Gubb & Barshay LLP has extensive experience with all types of affordable housing programs, including tax-exempt bonds, HUD programs, elderly and special needs housing, and state and local programs. The firm also has substantial experience with the federal and state housing tax credit programs, and has been involved in the structuring and closing of over 150 low-income housing tax credit syndications in California and other states. This work has involved drafting limited partnerships, analyzing financial projections, negotiating with investors, and structuring transactions to maximize funding potential. Natalie Gubb will have primary responsibility for Gubb & Barshay’s work on this project. Ms. Gubb has extensive experience with all types of affordable housing programs. She drafted the initial legislation for the California low income tax credits program and revisions to the state tax credit and allocation laws. Ms. Gubb has extensive experience in the San Francisco Bay Area with both Eden’s tax credit projects and with other affordable housing developers as well. Ms. Gubb handles nearly all of Eden’s limited partnership transactions and she will be responsible for the syndication legal work for the tax credit portion of the project. 8. COMMERCIAL LEASING AGENT: VENTURA PARTNERS Ventura Partners was established in 1997 and has been providing both private sector developers and nonprofit development corporations with commercial real estate expertise for over a decade. The firm takes projects from conception to operation, providing real estate and economic development consulting, with an emphasis on commercial development. Drawing from experience in all aspects of commercial development, Ventura offers expertise in new construction, renovation and conversion of retail, office and industrial properties. Ventura Partners develops and implement marketing, management, and tenant support plans uniquely designed to address the challenges of redevelopment projects or those catering to small business and nonprofit tenants. As well, their facilities and asset management services support long-term success for clients. In addition to providing comprehensive consulting, Ventura Partners assists clients in developing in-house systems, enhancing their ability to undertake future projects. Kimberly Frentz is the founder and Managing Member of Ventura Partners. She has over twenty-five years of experience in real estate acquisition, development, and planning in projects throughout California, Florida and New England with a special emphasis on helping affordable housing developers lease commercial space in mixed-use projects. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 9. LEAD SENIOR SERVICE PARTNER: SAMUEL MERRITT UNIVERSITY Samuel Merritt University, originally founded in 1909, is a fully accredited health sciences institution with campuses in Oakland, Sacramento, San Francisco, and San Mateo. Samuel Merritt offers degrees in nursing, occupational therapy, physical therapy, physician assistant, and podiatric medicine and is an affiliate of Sutter Health and Alta Bates-Summit Medical Center. The school enrolls nearly 1,400 students representing all ages, ethnicities, and geographic regions. The University has a strong reputation for personalized instruction because of its outstanding faculty, who bring impressive academic and clinical backgrounds to life-long learning, and a deep commitment to students and the community. The mission of Samuel Merritt is to educate students to become highly skilled and compassionate healthcare professionals who positively transform the experience of care in diverse communities. At Samuel Merritt, staff and students value a learning environment where faculty and students are challenged to think critically, seek mastery, and act compassionately; a collegial environment where all are fair, respectful, and behave with integrity; a collaborative environment where faculty and students partner with one another and with others in the community; an innovative environment where teams take reasoned risks and move nimbly; and a results oriented environment where exceptional performance and service is provided and expected. Faculty and students in the Family Nurse Practitioner and Physician Assistant Programs staff the Primary Care Clinic at the Davis Street Family Resource Center in San Leandro, which serves over 1,200 people each year. Through foundation and state workforce funding, the clinic is provided free for uninsured individuals, children, and seniors. Services include free immunizations and primary healthcare for children, as well as health management of chronic primary care conditions such as hypertension and diabetes. Students in other disciplines provide care in over 1100 community agencies and hospitals throughout the country. The School of Podiatric Medicine conducts clinics at Alameda County Hospital, San Francisco General Hospital and the VA, San Francisco. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 REFERENCES & COMPLETED PROJECT SAMPLES The following section provides detailed summaries – including references and financing details – of five similar mixed-use and affordable developments. In addition to these completed project summaries, we have included two additional summaries, one for a senior development that just completed construction on East 14th Street in San Leandro and another for a mixed-use senior housing development that includes a 9,000 square foot On Lok Senior Health facility and will begin construction in August. ---PAGE BREAK--- Response to Request for Qualifications / Proposals Eden Housing, Inc. El Cerrito Redevelopment Agency June 21, 2010 Mixed Use Development Site a. Downtown River Apartments ---PAGE BREAK--- ---PAGE BREAK--- Project Summary Project Name: Downtown River Apartments Project Type: Affordable Family Rentals Location: 35 East Washington Street, Petaluma, CA Number of Units: 81 Year Completed: 2005 Total Development Cost: $23.3 million Downtown River Apartments is a three-story building on 2.3 acres. It consists of one, two, and three bedroom apartments over a podium parking structure with 5,500 s.f. of ground floor commercial space. 70% of the units are affordable to households earning up to 60% AMI; with the remaining units targeted for 50% AMI. Attractively situated adjacent to the Petaluma River in the City’s historic downtown, this development incorporates a new river walk to allow residents and the community access to the riverfront. In partnership with the City, Eden’s development directly contributes toward the City’s downtown revitalization. It was financed with a 4% bond and tax credits, and a combination of the City of Petaluma’s Redevelopment Program and HOME funds. Union Bank is the investor and CA Community Reinvestment Corporation is the lender. Additional financing was provided by the City through the Metropolitan Transit Authority for off-site amenities and landscaping. Interior amenities include a 2,500 s.f. community room with common kitchen, a computer-learning center and library. Eden’s affiliation with the Boys & Girls Club of Petaluma offers resident activities and technology education, as well as after school and summer enrichment youth programs. Exterior amenities include a landscaped courtyard with sitting areas, a sports court area for older children and a tot lot for smaller children, with a sitting area for parents. There is an open second floor riverside deck that connects to the new river walk. Developer: Eden Housing, Inc. Architect: Barnhart Associates Architects, Inc. General Contractor: Segue Construction, Inc. 22645 Grand Street Hayward, CA 94541 (510) 582-1460 www.edenhousing.org ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 A. DOWNTOWN RIVER APARTMENTS 1. Project Details Development Type: Affordable Family Rentals with Retail, New Construction Building Type: 3 story over podium Location: 35 East Washington Street, Petaluma, CA Construction Commencement Date: January 2004 Construction Completion Date: May 2005 Property Manager: Eden Housing Management, Inc. Absorption: Downtown River was fully leased by July 2005. All equity investor leasing targets were met. Current Occupancy: 100% Number of Units: 81 Affordability Mix: 50% of AMI – 30% of the units 60% of AMI – 70% of the units Unit Sizes & 8 one-bedroom units @ 543 square feet Square Footages: 48 two-bedroom units @ 801 to 856 square feet 24 three-bedroom units @ 1,137 to 1,175 square feet 1 two-bedroom manager’s unit Commercial Space: 5,500 square feet Commercial Occupancy: 100% Commercial Tenants: Circle Bank, Sprint, and Romeo's Pizza. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 2. Financing Details Total Development Cost: $23,367,000 Permanent Funding Sources Total Dollars City of Petaluma $3,663,000 CA Dept. of Housing & Community Dev. –HOME (through City of Petaluma as recipient) $3,400,000 CA Community Reinvestment Corp. $6,197,000 Metropolitan Transportation Commission $ 625,000 Union Bank of CA, N.A. (LP Equity Financing) $8,393,000 Deferred developer fee $1,089,000 Construction Funding Sources Total Dollars Wells Fargo Bank – tax exempt bonds $11,500,000 Wells Fargo Bank - taxable bonds $1,300,000 City of Petaluma $3,663,000 CA Dept. of Housing & Community Dev. –HOME (through City of Petaluma as recipient) $3,400,000 3. Development Team Developer/Owner: Eden Housing, Inc. Architect: Barnhart Associates Architects, Inc. General Contractor: Segue Construction, Inc. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 4. Narrative & Concept Situated adjacent to the Petaluma River, Downtown River incorporates a new public pedestrian river walk to allow residents and the community access to the riverfront. This development is one of the first implementation phases of the Central Petaluma Specific Plan. As such, it directly contributes toward the City’s efforts to revitalize the Central Petaluma area and reclaim the River as a principal focus of community life, as well as providing critically needed affordable family housing. The development included the design and construction of a segment of the downtown Petaluma river walk adjacent to Downtown River Apartments. Complete with a meandering pathway, sitting areas and lush landscaping, the river walk offers residents and the public at large easy access to the Petaluma River to enjoy for years to come. Downtown River Apartments is a mixed-use development in historic downtown Petaluma. The development includes 5,500 square feet of ground floor commercial space. Its prime downtown location is within easy walking distance to ample shopping and restaurants, the farmer's market, the Civic Center and numerous neighborhood services. Resident support services include after school and summer youth programs and computer learning and educational programs for children and teens through an ongoing contract with the Petaluma Boys and Girls Club. Services are provided primarily on-site in the 2,500 s.f. community room and computer learning center. Outdoor amenities include the river walk, landscaped gardens, children’s play areas and a basketball court. Services are paid for as an operating expense. 5. Local Government Contact/Reference Bonne Gaebler, Housing Director City of Petaluma 11 English Street Petaluma, CA 94952 (PO Box 61, Petaluma 94953) Phone: (707)778-4555 Fax: (707) 778-4586 Email: [EMAIL REDACTED] ---PAGE BREAK--- Response to Request for Qualifications / Proposals Eden Housing, Inc. El Cerrito Redevelopment Agency June 21, 2010 Mixed Use Development Site b. Hayward Senior Housing ---PAGE BREAK--- ---PAGE BREAK--- Project Summary Project Name: Hayward Senior Housing Project Type: Affordable Senior Rentals & Office Space Location: Grand & C Streets, Hayward, CA Number of Units: 60 Year Completed: 2008 Total Development Cost: $15,686,793 Hayward Senior Housing is a 60-unit development of affordable senior rental housing at the northern end of the Cannery neighborhood in downtown Hayward and represents the inclusionary fulfillment of the master development sponsored by Citation Homes. The development is comprised of a three story building at the intersection of Grand and C Streets. Design of Hayward Senior Housing has been developed to provide an active senior residential facility that blends with the existing adjacent residential neighborhood while creating an architecturally harmonious transition to the adjacent commercial district. Recycled brick from Cannery buildings and stucco provide a distinctive historical accent to the building façade and the palate of earth-tone colors has been selected to enhance the development’s compatibility with the adjacent buildings. The development incorporates two multipurpose rooms, one of which opens onto an outdoor patio and formal garden with seating; library; lounge; central laundry; and tenant storage. Each of the senior apartment units targeting very low income seniors provide one bedroom, a kitchen, a living area and full bathroom. Eden Housing, Inc.’s corporate office is 12,000 square feet of commercial office space on a portion of the development’s first floor, and features two meeting rooms, a full kitchen, and a private courtyard at the rear of the building. Developer: Eden Housing, Inc. Architect: Dahlin Group General Contractor: Oliver & Company, Inc. 22645 Grand Street Hayward, CA 94541 (510) 582-1460 www.edenhousing.org ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 B. HAYWARD SENIOR 1. Project Details Development Type: Affordable Senior Rentals, New Construction Building Type: 3 story on grade Location: 22645 Grand Street, Hayward, CA 94541 Construction Commencement Date: February 2007 Construction Completion Date: June 2008 Property Manager: Eden Housing Management, Inc. Absorption: Hayward Senior was fully leased by June 2008. Exceeded all equity investor leasing targets. Current Occupancy: 100% Number of Units: 60 Affordability Mix: 30% of AMI – 10% of the units 45% of AMI – 15% of the units 50% of AMI – 75% of the units Unit Sizes & 59 one-bedroom units @ 580 square feet Square Footages: 1 two-bedroom manager’s unit Commercial Space: 12,000 square feet of office space Commercial Occupancy: 100% Commercial Tenants: Eden Housing, Inc. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 2. Financing Details Total Development Cost: $ 15,243,000 Permanent Funding Sources Total Dollars CCRC Permanent Loan $ 1,498,000 AHP Grant $ 450,000 Sponsor Loan - Eden Housing $ 1,067,000 Union Bank of California (LP Equity Financing) $ 12,228,000 Construction Funding Sources: Total Dollars Wells Fargo Bank $ 7,211,000 AHP Grant $ 450,000 Sponsor Loan - Eden Housing $ 1,067,000 3. Development Team Developer/Owner: Eden Housing, Inc. Architect: Dahlin Group General Contractor Oliver and Company 4. Narrative & Concept The location of the Hayward Senior Housing site had long been identified by the City of Hayward as critical to the revitalization of downtown Hayward. The property is located directly across the street from the downtown BART station. It marks the transition from the Central City Commercial zoning District to Central City Residential District. Historically, this area has been underutilized with aging warehouses interspersed within this older workforce housing. In order to implement the City goals of creating a vibrant downtown for retail, housing and expanding employment opportunities, the City specifically identified this site for high-density housing and commercial use. The Hayward Senior Housing development helped increase the short supply of affordable rental housing units in Downtown Hayward and the variety of housing types within the Downtown area. Because the site is directly across from the ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 Hayward BART station and is near shopping, including a large grocery store two blocks away, it encourages the use of public transit and provides additional support for downtown retail businesses. Hayward Senior Housing should be a stimulus for the further development of other properties to the west of the BART station and helps to fulfill the City’s goals of housing and commercial uses while adding very low income units to the City’s affordable housing inventory. A half-time Eden Resident Service Coordinator runs a variety of programs for our seniors including individual resident support and needs assessment, educational group presentations focused on health related topics, and regular social events. The Service Coordinator also provides referrals to community services as needed. Services are paid for as an operating expense. A services reserve was funded at the permanent loan closing to ensure that consistent funding is available for services. 5. Local Government Contact / Reference Fran David, City Manager City of Hayward 777 B Street Hayward, CA 94541 Phone: (510) 583-4305 Email: [EMAIL REDACTED] Jesus Armas, Former City Manager Phone: (510) 690-0410 Email: ---PAGE BREAK--- Response to Request for Qualifications / Proposals Eden Housing, Inc. El Cerrito Redevelopment Agency June 21, 2010 Mixed Use Development Site c. Ohlone‐Chynoweth Commons ---PAGE BREAK--- ---PAGE BREAK--- Project Summary Project Name: Ohlone-Chynoweth Commons Project Type: Affordable Family Rentals / Commercial Location: 5300 Terner Way, San Jose, CA Number of Units: 194 Year Completed: 2000 Total Development Cost: $31,000,000 Ohlone-Chynoweth Commons is an innovative transit- oriented dev elopment which involve s the creati on of affordable h ousing and commercial uses next t o the Ohlone-Chynoweth C ommons light rail station in San Jose, CA. Built on an under-utilized parking lot leased from the Sa nta Clara Valley Transportation Authority , Ohlone-Chynoweth Com mons provides 194 apartm ents affordable to fam ilies ear ning 30% to 60% of the area median inco me. The unit m ix consists of 50 one- bedroom units, 63 two-bedroom units, 77 three-bedroom units, and 4 four-bed room units. The resi dential buildings are organized into two and three-story clusters built over structured parking garages. The project als o offers an on-site day care facility , a comm unity center and a com puter learning facility . Several play areas for children have been built within the developm ent. 4,400 square feet of retail space has been incorporated to meet the needs of the residential co mmunity, as well as commuters using the nearby transit line. Developer: Eden Housing, Inc. Architect: Chris Lamen and Associates General Contractor: L&D Construction Co., Inc. 22645 Grand Street Hayward, CA 94541 (510) 582-1460 www.edenhousing.org ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 C. OHLONE‐CHYNOWETH COMMONS 1. Project Details Development Type: Affordable Family Rentals with Retail & Daycare, New Construction Building Type: 2-3 story over podium Location: 5300 Terner Way, San Jose, CA Construction Commencement Date: June 1999 Construction Completion Date: December 2000 Property Manager: Eden Housing Management, Inc. Absorption: Ohlone-Chynoweth was fully leased by March 2001. All equity investor leasing targets were met. Current Occupancy: 100% Number of Units: 194 Affordability Mix: 30% of AMI – 2% of the units 35% of AMI – 10% of the units 40% of AMI – 10% of the units 45% of AMI – 10% of the units 50% of AMI – 35% of the units 60% of AMI – 32% of the units Unit Sizes & 50 one-bedroom units @ 563 square feet Square Footages: 63 two-bedroom units @ 955 square feet 77 three-bedroom units @ 1,100 square feet 4 four-bedroom units @ 1,331 2 three-bedroom manager’s units Commercial Space: 6,900 square feet Commercial Occupancy: 100% Commercial Tenants: Kidango (daycare), African restaurant, Loanie’s Beauty Salon, Ohlone-Chynoweth Mini-Market. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 2. Financing Details Total Development Cost: $30,767,000 Permanent Funding Sources Total Dollars San Jose Redevelopment Agency $5,200,000 US Bank & Trust (Trustee, Permanent Tax-Exempt Bond Financing) $14,250,000 Union Bank of CA (LP Equity) $9,888,000 Grant of $574,000 received by Eden Housing from the Metropolitan Transportation Commission $574,000 Proposition 1A school fee reimbursement funds received from the California Housing Finance Agency, structured as a 55-year deferred payment loan, 0% interest rate $355,000 Bay View Bank, FHLB AHP Grant $500,000 Construction Funding Sources: Total Dollars Wells Fargo Bank Tax-exempt Construction Loan $16,200,000 Wells Fargo Bank Bridge Loan $8,620,000 San Jose Redevelopment Agency $5,200,000 3. Development Team Developer/Owner: Eden Housing, Inc. Architect: Chris Lamen & Associates General Contractor: L&D Construction Co., Inc. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 4. Narrative & Concept Ohlone-Chynoweth Commons is an innovative transit-oriented development which involves the creation of affordable housing and commercial uses next to the Ohlone-Chynoweth Commons light rail station in San Jose, CA. Built on an under-utilized parking lot leased from the Santa Clara Valley Transportation Authority, Ohlone-Chynoweth Commons provides 194 apartments affordable to families earning 30% to 60% of the area median income. The project’s "urban village" character results from the interaction of the building architecture and exterior courts, passages, and lanes created through building massing. The residential buildings are organized into two and three-story clusters built over structured parking garages. The project also offers an on-site day care facility, a community center and a computer learning facility. Several play areas for children have been built within the development. Retail space has been incorporated on the ground floor of the residential building directly adjacent to the rail station to meet the needs of the residential community, as well as commuters using the nearby transit line. The 4,400 square feet retail space contains a mini-market, a nail salon, and a small restaurant. The project amenities include a 2,500 square foot childcare center to serve the entire community (not exclusive to the development.) There is a 4,000 square foot community building containing management offices for the on-site property management and services staff, a multi-purpose room, a resident lounge, small kitchen, and a fully-equipped 10-station computer learning center. An on-site Service Coordinator is responsible for coordinating a variety of on-site activities designed to meet the needs of families and youth. A computer instructor oversees after school computer learning classes. 5. Local Government Contact Kristen Clements City of San Jose Housing Department 200 East Santa Clara Street, 12th floor San Jose, CA 95113-1905 Phone: (408) 535-8236 Email: [EMAIL REDACTED] ---PAGE BREAK--- Response to Request for Qualifications / Proposals Eden Housing, Inc. El Cerrito Redevelopment Agency June 21, 2010 Mixed Use Development Site d. Wisteria Place ---PAGE BREAK--- ---PAGE BREAK--- Project Summary Project Name: Wisteria Place Project Type: Affordable Senior Rentals Location: 33821 Alvarado-Niles Road, Union City, CA Number of Units: 40 Year Completed: 2004 Total Development Cost: $7.1 million Wisteria Place is a three-story affordable rental apartment development located on Alvarado-Niles Road near the corner of Oregon Street in Union City. It provides 40 residential units, 39 one-bedroom units for seniors and one two-bedroom manager’s unit, and is served by a central elevator. There are both covered and uncovered parking spaces. Project amenities include a centrally located 1,071 s.f. community space to be used for group meetings, social programs and other community activities, as well as several other common area spaces on the 2nd and 3rd floors to accommodate smaller gatherings. Outdoor amenities include lawn areas and walkways that provide safe and pleasant passage to all areas for the mobility impaired, as well as a paved terrace outside of the community room for social gatherings. Planters adjacent to the walkways provide natural seating areas and easy access to resident-tended plant beds. On-site laundry facilities are also provided. The development is located within easy walking distance of the senior center, as well as other various educational, social and recreational activities. Developer: Eden Housing, Inc. Architect: Hardison Komatsu Ivelich & Tucker (HKIT) General Contractor: James E. Roberts-Obayashi Corp. 22645 Grand Street Hayward, CA 94541 (510) 582-1460 www.edenhousing.org ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 D. WISTERIA PLACE 1. Project Details Development Type: Affordable Senior Rentals, New Construction Building Type: 3 story on grade Location: 33821 Alvarado-Niles Road, Union City, CA Construction Commencement Date: October 2003 Construction Completion Date: November 2004 Property Manager: Eden Housing Management, Inc. Absorption: Wisteria Place was fully leased by November 2004 All lease-up targets were met Current Occupancy: 100% Number of Units: 40 Affordability Mix: 50% of AMI – 100% of the units HUD Income Restriction 20% of AMI Average Tenant Income Unit Sizes & 39 one-bedroom units @ 571 to 622 square feet Square Footages: 1 two-bedroom manager’s unit Commercial Space: N/A Commercial Occupancy: N/A Commercial Tenants: N/A ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 2. Financing Details Total Development Cost: $7,097,500 Funding Sources Construction and Permanent Total Dollars HUD Capital Advance $4,137,500 City of Union City (HOME) $2,200,000 Community Redevelopment Agency of the City of Union City (land donation) $ 525,000 Mid-Peninsula Bank (AHP) $ 200,000 Greater Bay Bancorp Foundation Grant $ 25,000 EHI Minimum Capital Contribution $ 10,000 3. Development Team Developer/Owner: Eden Housing, Inc. Architect: Hardison Komatsu Ivelich & Tucker General Contractor: James E. Roberts – Obayashi Corp. 4. Narrative & Concept Wisteria Place, completed in 2004, is the third phase of the City of Union City’s Senior Village Plan, a plan to make the neighborhood along Alvarado-Niles Road and adjacent to the Civic Center, into a senior village offering an array of living options and services for seniors. The fourth phase is an assisted living facility adjacent to Wisteria Place developed by Elder Care Alliance and called Alma Via. Wisteria Place is a 40-unit, 3-story elevator-served affordable senior rental apartment development sponsored primarily by Union City and HUD. Rents are on a sliding scale based on income so that no resident pays more than 30% of his/her income in housing costs. Amenities include a centrally located 1,071 square foot community space and other common area spaces on the 2nd and 3rd floors to accommodate smaller gatherings. Outdoors are lawn areas and walkways that provide safe and pleasant passage to all areas for the mobility ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 impaired, as well as a paved terrace outside of the community room for social gatherings. The building and grounds incorporate numerous features to assist and support residents as their physical capacities diminish over time. Wisteria is the site of Eden’s first public art project, a sculpture by artist Harry Powers. The development is located near public transportation and within easy walking distance of the Ralph and Mary Ruggieri Senior Center and Eden’s Rosewood Terrace. 5. Local Government Contact/Reference Vernon Smith, Coordinator Housing & Community Development City of Union City 34009 Alvarado-Niles Road Union City, California 94587 Phone: (510) 675-5322 Fax: (510) 475-7318 Email: [EMAIL REDACTED] ---PAGE BREAK--- Response to Request for Qualifications / Proposals Eden Housing, Inc. El Cerrito Redevelopment Agency June 21, 2010 Mixed Use Development Site e. Wicklow Square ---PAGE BREAK--- ---PAGE BREAK--- Project Summary Project Name: Wicklow Square Apartments Project Type: Affordable Senior Rentals Location: 7606 Amador Valley Blvd., Dublin, CA 94568 Number of Units: 54 Year Completed: 2005 Total Development Cost: $11, 094, 000 Wicklow Square Apartments is a 54-unit senior affordable housing rental apartment development in Dublin, CA. All units are affordable to seniors 62 years of age or older with incomes at or below 50% of the area m edian income. The building is three stories of residential units over an at- grade concrete parking garage with 30 tenant and staff parking spa ces. All units have one bedroom and full kitchens for independent living. Each unit has a private balcony. Common area amenities include a lobby and mail area, reception area, comm unity room, lounge, and central laundry. Outdoor a menities in clude a view deck overlooking the Senior Center, a trellised terrace and raised planter beds for tenant use. Dublin ’s new Senior Center is next door and a pedestrian path connects these two facilities. The develo pment is also located adjacent to two shopping centers that include major retailers, a grocery store, pharm acies, rest aurants, personal servic es and a small medical center. Developer: Eden Housing, Inc. Architect: Chris Lamen & Associates, Inc. General Contractor: L&D Construction, Inc. 22645 Grand Street Hayward, CA 94541 (510) 582-1460 www.edenhousing.org ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 E. WICKLOW SQUARE 1. Project Details Development Type: Affordable Senior Rentals, New Construction Building Type: 3 story over podium Location: 7606 Amador Valley Boulevard, Dublin CA 94568 Construction Commencement Date: February 2004 Construction Completion Date: August 2005 Property Manager: Eden Housing Management, Inc. Absorption: Wicklow Square was fully leased by November 2005 All lease-up targets were met Current Occupancy: 100% Number of Units: 54 Affordability Mix: 6 one-bedroom units at 30%AMI 8 one-bedroom units at 45%AMI 39 one-bedroom units at 50%AMI Unit Sizes & 53 one-bedroom units @ 543 square feet Square Footages: 1 two-bedroom manager’s unit Commercial Space: N/A Commercial Occupancy: N/A Commercial Tenants: N/A ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 2. Financing Details Total Development Cost: $11,082,248 Funding Sources Total Dollars Citibank (West ) F.S.B. (Construction Loan) $6,644,911 Mid-Peninsula Bank (Construction Loan) $1,000,000 Citibank (West ) F.S.B. (Permanent Loan) $1,376,000 City of Dublin (Construction and Permanent) $2,248,248 Aegon USA Realty Advisors, Inc. (Tax Credit Investor) $7,208,000 Dublin Senior Limited Partnership, General Partner – (Deferred Developer Fee) $250,000 Alameda County Waste Management Authority $5,000 3. Development Team Developer/Owner: Eden Housing, Inc. Architect: Chris Lamen + Associates General Contractor: L&D Construction Co. Inc. 4. Narrative & Concept Completed in 2005, Wicklow Square is Eden’s first project in the city of Dublin. It offers 54 units for very low-income independently living seniors. The $11 million development occupies the southern part of a parcel left vacant by the demolition of a former library. Wicklow faces the new Dublin Senior Center which occupies the remainder of the site. Because both buildings were developed under the City’s auspices and at the same time, they are designed to complement one another architecturally. They are located adjacent to two shopping centers and close to a small medical center and a park. This combination of housing and services creates an ideal setting for independent senior living. The building is three stories of elevator-served apartments over a ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 parking garage. All units have full kitchens, and lunches are also served at the senior center. Each unit has a “front porch” on the central corridor and a private balcony that offers views to the surrounding hills. The common area amenities, grouped in the center of the building, include a first floor lobby and mail area; a reception area, outdoor view deck, trellised terrace and the Manager’s office on the second floor; a central laundry and the Service Coordinator’s office on the third floor; and the community room and a lounge on the fourth floor. Raised planter beds for resident use are located on the sunny south side of the building. The project was financed by the City of Dublin, Citibank (West) FSB, and Aegon USA Realty Advisors, Inc., which was the Tax Credit investor. 5. Local Government Contact/Reference Joni Pattillo, City Manager City of Dublin 100 Civic Plaza Dublin, CA 94568 Phone: (925) 556-4577 Fax: (925) 833-6651 Email: [EMAIL REDACTED] ---PAGE BREAK--- Response to Request for Qualifications / Proposals Eden Housing, Inc. El Cerrito Redevelopment Agency June 21, 2010 Mixed Use Development Site f. Additional Project Summaries ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 F. ADDITIONAL PROJECT SUMMARIES 1. Catalyst Developments: Estabrook Place, East 14th Street, San Leandro 2. Mixed-Use Senior Housing: Peralta Senior Housing and On Lok Senior Health, Fremont ---PAGE BREAK--- ---PAGE BREAK--- Project Summary Project Name: Estabrook Place Project Type: Affordable Senior Rentals Location: 2103 East 14th Street, San Leandro, CA Number of Units: 51 Completion Date: June 2010 Total Development Cost: $19,294,522 Estabrook Place includes 50 affordable apartments for independent-living senior residents age 62 or older and one manager unit. The development s a three-story shaped building fronting both East 14th and Estabrook Streets. It is focused around a central 8,700 square foot courtyard, and is protected by the building itself from the traffic noise of both adjacent streets. The entry lobby and large community room is open directly onto the courtyard at the ground level to encourage community-building activities and facilitate the provision of on-site services. Estabrook Senior Housing has several other community spaces to promote health and wellness for seniors including a computer room/ library, exercise room, and raised planter gardens on the third floor roof terrace. The apartments range in size from 503-567 square feet with one bedroom, one bathroom, living room, kitchen and dining area. Estabrook Place incorporates the latest "green building" techniques and materials to create a model green building. The development is designed in accordance with the GreenPoints rating system, scoring over 148 points, and exceeds Title 24 energy standards by 28%. Photovoltaic panels and solar hot water panels are installed on the roof to reduce energy consumption in the project. On site supportive services staff assist residents one- on-one and in groups to create supportive programming which encourages community building and self-reliance. These programs include information and referral to health services, educational presentations, and social activities. Estabrook Place fills an important need in the San Leandro community: it creates an opportunity for low- income seniors to live in a supportive community setting. The supportive services program Eden Housing offers will help seniors to age in place and live independently in a healthy and productive way. Developer: Eden Housing, Inc. Architect: HKIT Architects General Contractor: J.H. Fitzmaurice 22645 Grand Street Hayward, CA 94541 (510) 582-1460 www.edenhousing.org ---PAGE BREAK--- Peralta Senior Housing Fremont, CA ---PAGE BREAK--- Project Summary Project Name: Peralta Senior Housing Project Type: Affordable Senior Rentals Location: 3701 Peralta Boulevard, Fremont, CA 94536 Number of Units: 98 Estimated Completion Date: October 2011 Total Development Cost: $35,600,000 Peralta Senior Housing is a mixed-use development with 98 senior rental apartments and 9,000 square feet of commercial space for senior healthcare provider On Lok. The property is located a short walk away from the heart of one of Fremont’s five original historic districts, Centerville, and its commercial core, Fremont Boulevard. This main street is served by multiple transit options, offers retail and services, and has been upgraded with pedestrian lighting, wide sidewalks and a plaza. The historic Centerville Train Depot is located on Fremont Boulevard just north of the property. The development was conceived in collaboration with On Lok, which will operate a health care center that provides comprehensive long-term care for frail elders, including an adult day health center for individuals suffering from dementia, in an adjacent space. The City of Fremont’s Human Services Department will provide service coordination to identify issues and connect seniors with relevant linguistically and culturally appropriate community- based services. Through partnerships with these two health care and service providers, the proposed project will enable seniors to “age in place” by providing support services so that seniors can live independently even as they become frail. The three story building is configured to create protected, landscaped open space in the center of the development. This area includes a patio for On Lok, courtyard for the senior housing, and a community garden. Community amenities include a central community room, an internet- connected computer lab, and community laundry rooms. Service providers will have a meeting room and private office space available for their use during consultations. The project will be Green Point Rated and Energy Star certified. Developer: Eden Housing, Inc. Architect: Van Meter Williams Pollack General Contractor: Segue Construction, Inc. 22645 Grand Street Hayward, CA 94541 (510) 582-1460 www.edenhousing.org ---PAGE BREAK--- Response to Request for Qualifications / Proposals Eden Housing, Inc. El Cerrito Redevelopment Agency June 21, 2010 Mixed Use Development Site 5. Description of Proposed Project Concept ---PAGE BREAK--- Response to Request for Qualifications / Proposals Eden Housing, Inc. El Cerrito Redevelopment Agency June 21, 2010 Mixed Use Development Site a. Narrative Description ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 5. DESCRIPTION OF PROPOSED PROJECT CONCEPT CONCEPT OVERVIEW The 10848 and 10860 San Pablo Avenue development represents a special opportunity to realize the San Pablo Avenue Specific Plan’s vision of a vibrant, cohesive, and community- strengthening corridor. The location adjacent to the new, sustainably-designed El Cerrito City Hall lends itself to a mixed-use development with affordable housing and community services. Eden Housing has partnered with health sciences institution Samuel Merritt University to anchor the non-residential space with a medical clinic that will provide hands on training for students and low- to no-cost healthcare for area residents. Community service providers, like Samuel Merritt University, will capitalize on the location adjacent to City Hall, a place where people come when seeking services, and help define the Midtown/Civic Center Area as a strong civic core. Eden Housing’s goal for the development is to help the City implement its vision for a high- quality, mixed-use complex that includes residential, commercial, and social service uses. We explored relationships with medical clinics, service providers, and retail consultants to develop the proposed development concept. We have identified one solid tenant for the non-residential space, a health clinic staffed by Samuel Merritt University faculty and students. We have designed adjacent retail bays that should contribute income to defray the commercial development costs. The retail bays are intended to be flex spaces, which could be used as small professional offices or expanded community spaces serving the residential housing depending on market demand. To achieve these goals, Eden worked with the architect Van Meter Williams Pollack, and we are pleased to present our concept for the development of the San Pablo Mixed-Use, a green affordable senior housing development with 64 units, an on-site medical clinic, and over 2,250 additional square feet of commercial space for neighborhood-serving retail or small office space. Our overarching goal for the design is to create a site plan that builds on the guidelines established in the draft San Pablo Avenue Specific Plan, establishes a pedestrian-friendly presence, and meets the community’s expectations for a development that fits into the neighborhood. DEVELOPMENT DESCRIPTION The proposed development will include two interconnected buildings, a mixed-use building and a residential building, connected by a bridge/breezeway to facilitate circulation. Both buildings will be Type V, 1-hour wood frame construction. The mixed-use building will front on San Pablo Avenue and will have a double height ground floor to accommodate retail and commercial users. The first floor space will be of concrete construction and will be programmed with a ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 2,400-square foot clinic, 2,250 square feet of retail and 3,000 square feet of common space serving the senior housing. Each of these uses will have a direct entry onto San Pablo, activating the sidewalk. Large windows will invite passersby to look in and see what is offered within the space. An entry plaza is provided on San Pablo Avenue between the senior housing entrance and the El Cerrito City Hall. This publicly accessible plaza will function as a visual connection to City Hall and will be perceived as a common open space. This space could potentially be expanded onto the City Hall driveway by resurfacing it with pavers and either closing this entrance to vehicles during special events or closing it permanently if the vehicular entrance from Kearny Street is adequate. The plaza will be landscaped with distinctive native and drought tolerant landscaping and will include seating areas, trellises, vertical gardens as well as areas within the sun and shade. It will be attractively and lit at night. The plaza will invite City Hall visitors to explore what is offered in the new building and provides a direct link between a location that many people go to when seeking services, City Hall, to a new health clinic that will provide services to all. Both the residential building facing city hall and the mixed-use building along San Pablo Avenue step back their upper fourth floors so that it presents as a three a story building. The fourth floors are perceived mainly from within the development’s courtyard itself. The mixed-use building will include three stories of residential above the double height first floor while the lower residential building includes 4 residential levels of housing. The mix of heights responds to the different edges, regional and local corridor street and City Hall, and creates an interesting and varied character. The façade is articulated and different building materials are used to create visual interest and reduce the perceived scale of the building. The residential building entry is located off the plaza and is accentuated by a colonnade. The San Pablo Avenue sidewalk will be planted with street trees and stormwater filtration planters or rain gardens to create shade and to clean stormwater before it enters the storm system. Together these buildings will include 64 senior apartments, including 2 studios, 60 one- bedrooms, and 2 two-bedrooms. Building entrances and circulation paths will be clear and apparent to facilitate way-finding for residents with diminished or diminishing cognitive abilities. All apartments will be flats with entries off of an elevator served corridor. Each entry will include a nook or shelf that seniors can personalize like a front porch. Each apartment layout will incorporate universal design features that will welcome residents of all abilities and will allow seniors to age in place, remaining in their homes as long as possible as their health and faculties diminish. In addition to the apartments, the development will provide common area amenities aimed at promoting the socialization and sense of community that is important to successful developments. A large community room with kitchen is available for casual resident gatherings, community meetings, social events, and programming for resident services, including exercise, health, and wellness programs and art, educational, and cultural activities. An internet connected computer lab and an exercise room will also be provided. A large central open space is shared by all residents and provides opportunities for respite and activity. This protected green space will include walkways, sitting areas, community gardens, and a picnic area. The vehicle entry is located on Kearney Street and parking is provided along two drive aisles that are at right angles to each other. The buildings and the parking frame the central open space, ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 which will be screened from the parking by a solid wooden fence. Thirty-two residential parking spaces are provided, per City requirements. Four commercial spaces are provided, which is less than the seventeen that are required, applying a parking requirement of one space per 300 square feet of commercial space. Eight street parking spaces are available on San Pablo Avenue. These are ideally suited to serving the clinic and retail since they are located directly in front of the clinic and retail entries. The building design and construction will maximize passive solar heating and cooling and incorporate green design features such as a tight building envelope, energy efficient boiler and HVAC systems, energy efficient lighting and appliances, water conserving fixtures, solar hot water, and durable materials with low VOC content and recycled content. The building will at minimum be pre-wired to receive a rooftop solar installation in the future. If it is financially feasible, a solar photovoltaic system will be installed. These green measures will help control the development’s operational costs and the residents’ utility expenses over the long term. PROPOSED COMMERCIAL USERS The proposed development provides 4,650 square feet of commercial space, with 2,400 square feet dedicated to a health clinic and another 2,250 for neighborhood-serving retail or professional office flex space. The proposed health clinic will serve existing and new residents and the retail or professional office flex space will be marketed to businesses that serve existing and new residents, businesses, commuters, and visitors. We had originally hoped to propose a development that included a full service senior health center like the Program of All Inclusive Care for the Elderly (PACE) programs run by On Lok Senior Health and Center for Elder Independence. Eden is currently partnering with On Lok to develop a new PACE Center on the first floor of Eden’s Peralta Senior Housing in Fremont with construction scheduled to begin in August 2010. We contacted both organizations to gauge their interest in acquiring 9,000-14,000 square feet of commercial space in this development. Unfortunately, On Lok advised us that El Cerrito is outside its territory, and Center for Elder Independence indicated that they would not be interested in expanding to this location given its proximity to their established Berkeley PACE Center. After these discussions, we contacted the partners we work with to bring health services to our residents, including Samuel Merritt University, a fully accredited health sciences institution offering degrees in nursing, occupational therapy, physical therapy, physician assistant, and podiatric medicine. The University is based in Oakland and is an affiliate of Sutter Health and Alta Bates-Summit Medical Center. The school enrolls nearly 1,400 students representing all ages and ethnicities and its curriculum includes clinical practice. Faculty and students in the Family Nurse Practitioner and Physician Assistant Programs staff the Primary Care Clinic at the Davis Street Family Resource Center in San Leandro, which serves over 1,200 people each year. Through foundation and state workforce funding, the clinic is provided free for uninsured individuals, children, and seniors. Services include free immunizations and primary healthcare ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 for children, as well as health management of chronic primary care conditions such as hypertension and diabetes. Samuel Merritt is interested in expanding the Davis Street Faculty Practice Clinic model to this location. While Davis Street is now funded with foundation and state workforce support, the clinic is in the process of establishing itself as a Medicare and Medical vendor, so that it can bill those programs for the patient services it provides. The University is looking toward the future and taking proactive steps to diversify the clinic’s funding sources in order to more sustainably support its operations and enable it to expand the clinic program. Once the Davis Street Faculty Practice Clinic establishes itself with the Medicare and Medical programs, it can bill them for services from Davis Street and other associated clinics. At Davis Street, the space is provided to Samuel Merritt at no cost, the faculty is covered by a foundation grant, and the students are in training. For El Cerrito, when Medicare and Medical billing is set up, Samuel Merritt is not likely to be able to pay a rent that covers the capital costs of the space, but could pay a nominal rent. Samuel Merritt has learned to be resourceful at Davis Street and is able to locate low cost or donated medical equipment and supplies. Our meetings with Samuel Merritt have included its President Sharon Diaz; its Provost Dr. Penny Bamford; Dr. Michael DeRosa, Department Chair Physician Assistant; Dr. Suzanne August-Schwartz, Director, Family Nurse Practitioner Program; the chair of the physical therapy department, and deans in the schools of nursing and podiatric medicine. Dr. August-Schwartz runs the Davis Street Clinic and would be in charge of replicating the model in El Cerrito. Others we met with proposed other services including health education, nutrition counseling, screenings, foot care and the like and included even the consideration of seeking foundation funding for a longitudinal study exploring the health outcomes of providing ongoing health care to an aging population since so many of Eden’s residents successfully age in place. Based on our site visit to the Davis Street Clinic and the input of Drs. DeRosa and August- Schwartz, Eden proposes to develop the clinic space with a reception and waiting area, an open plan office area, four exam rooms for medical and physical therapy, a lab, and a bathroom. The remaining 2,250 square feet of commercial space may be leased to a single tenant or to two smaller businesses and may be configured initially as neighborhood-serving retail or as office space depending on the results of a commercial market analysis. According to Kim Frentz, a principal with our retail leasing consultant Ventura Partners, the sweet spot for typical neighborhood-serving mom and pop retail tenants is 1,000 – 1,500 square feet. The commercial space is designed with the features necessary to make the space attractive to retail tenants, including a high 18 foot ceiling, shop entrances that open directly onto the street, and tall windows that provide high visibility for pedestrians walking by. It is dimensioned at 60 feet deep by 35 feet wide, which meets the minimum dimensions suggested by the El Cerrito Economic Development Strategy (60-65 feet deep and at least 15 to 17 feet wide). The retail lease rate is assumed to be $1.50 per square foot, a conservative rate that we judge prudent based on the market comparables summarized in the Spring/Summer 2007 Bay Area ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 Economic (BAE’s) Economics and Market Conditions report included within the July 2009 Draft Specific Plan. According to the BAE report, the Village at Town Center was asking $2.55 per square foot and advertised rates for other Civic Center retail vacancies ranged between $2.00 and $2.25 per square foot. Given the high vacancy at the Village at Town Center, the current economy, and the currently somewhat isolated retail location, we deem $1.50 per square foot to be a prudent rent. Our cashflow projections reflect the customary underwriting assumption of 50% vacancy for commercial space. Eden will partner with retail leasing consultant Ventura Partners to help find appropriate tenants for the retail space. Ventura Partners has been working in unique and challenging markets for more than a decade and specializes in working with owners to create long term marketing plans for areas that are in transition and for smaller retail spaces within mixed-use developments. After several site visits and conversations with Ms. Frentz, Eden proposes to locate the retail space between the senior housing’s common area and the medical clinic, so that its use can be flexible as the San Pablo Avenue Specific Plan is implemented and the vision of vibrant retail nodes is realized. Should the retail be slow to lease, as it has been at the Village at Town Center, the space could be used in the interim to expand the senior housing’s common spaces with expanded library/reading, exercise, and arts and crafts space. Should the medical clinic be so successful that it attracts other related programs, like the podiatry clinic that is currently offered at the El Cerrito Senior Center, it could expand into this space. Other interim solutions include professional offices, service businesses, and community organizations that generate foot traffic, but are not considered strictly retail uses. This will allow the project to sustain itself during the transition to long-term solutions, which will be targeted more to retail and café users and other businesses that will complement and benefit from the surrounding neighborhood development. PROGRAM DETAILS Eden Housing’s senior projects are age-restricted in accordance with applicable state and/or federal requirements. Typically, our developments serve seniors aged 62 years or older, but non- federally funded senior developments serve seniors at age 55 or older. As discussed further in this proposal, Eden places a high priority on creating senior housing that, while serving independent-living seniors, allows these residents to age in place for as long as practicable. This is achieved in two ways: physically through the facilities and programmatically through the supportive services provided onsite. Eden’s services experience is more fully discussed in Section 2. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 The proposed development will provide 64 affordable senior housing units. All units are available to extremely low and very low income households. 9% Tax Credit Income Restrictions AMI Quantity Percentage 20% AMI 6 9% 30% AMI 2 3% 40% AMI 13 20% 50% AMI 42 66% Manager 1 Total 64 HUD 202/4% Tax Credit Income Restrictions AMI Quantity Percentage 40% AMI 1 1.5% 50% AMI* 62 97% Manager 1 Total 64 *In Eden’s experience, while the HUD 202 income limit is 50% AMI, due to its operating subsidy, HUD 202 housing actually serves households with an average income of 20% AMI. The majority of the units are 1 bedroom units, two are studios, and two are 2 bedroom units, in order to provide space for senior households that include couples or caregivers. The unit type and size is summarized in the table below. Type Square Feet Quantity Studio 475 2 1 bedroom 615 60 2 bedroom 842 2 Total 64 ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 Physical Building and Site Solutions Through frequent assessment of its successfully completed projects, Eden has arrived at stringent design standards to include amenities and floor plans that facilitate and promote independent living for seniors and enable them to age in place. Our senior developments typically incorporate the following features: • All units and public spaces are designed to be wheelchair accessible/adaptable; • Grab bars are installed in all public and unit bathrooms (unit bath tubs will have grab bars and toilets will have backing for future grab bar installation); • Handrails in public corridors will accommodate decreasing mobility of the residents over time; • Lighting is designed to be sensitive to the potential fading eyesight of residents; • The apartment kitchens are designed to accommodate mobility impairments and include easily accessible shelves and counters, taking into account diminishing capabilities as residents age in place; • Careful design of floor surfaces, thresholds and doorways that will allow the safe movement of residents and guests using walkers, canes or wheelchairs; • Clear and apparent design of building entrances, circulation paths and public spaces to facilitate wayfinding of residents if they experience diminished cognitive abilities; • Common spaces are designed with the assumption that residents will have reduced mobility as they get older; • Centrally located community rooms and libraries/computer labs provide the setting for social interaction and educational classes for residents covering topics such as: life crisis, healthcare, and social and recreational issues with a specific aim toward promoting stable tenancy through aging in place; • Exercise rooms with low impact equipment are often provided, to encourage and facilitate physical activity at the residents’ own pace; and • A Resident Manager's and Service Coordinator’s office is conveniently located for friendly access, management oversight and supportive services. • Visitability and Universal Design concepts are incorporated: ¾ Accessible no-step entrances approached from an accessible path at both the front and rear of the building; ¾ 32” clear passage through doorways; and ¾ A bathroom large enough to accommodate a person in a wheelchair and allows that person to close the door. Eden uses post-occupancy evaluations and internal design charrettes to obtain feedback from current Eden residents and property managers on what works well, what they might change, and their ideas for new developments. The list of physical features described above was most recently updated following a charrette held with the seniors at Almond Court and Almond Terrace in Manteca, for purposes of incorporating feedback for a senior project in Lodi, currently in development. We have found this specific outreach improves each of our communities, and our residents are thrilled to have the opportunity to participate in the process. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 PROPOSED PROPERTY MANAGEMENT ARRANGEMENT As a fully integrated company with development, property management and supportive services capability, Eden will manage all aspects of the San Pablo Mixed-Use development from concept stage all the way through operations. Eden’s experience in these areas is more fully discussed in Section 4 “Experience”. Property Management will be key to ensuring that this development will continue to enhance the San Pablo Avenue corridor for many years. Because Eden Housing owns and manages our properties, we are committed to assuring that the properties we develop are long-term assets for the residents who live in them and the communities in which they are located. We maintain our developments at the highest standards so that they are indistinguishable from neighboring market rate developments. Eden’s demonstrated excellence in property management is consistently noted by our City partners as a distinguishing factor in the quality of our work. PROPERTY MANAGEMENT PARTNER: EDEN HOUSING MANAGEMENT INC. Eden Housing's property management firm, Eden Housing Management, Inc. (EHMI) provides high quality property management services to Eden-sponsored developments. EHMI’s mission is to create and maintain high living standards for the residents whom it serves through professional and compassionate management practices in an affordable housing environment. Sound fiscal management, long-term affordability, and responsive maintenance ensure that EHMI properties remain a long-term asset to and an integral part of the communities in which they are built. Because of the variety of financing mechanisms used by Eden to develop properties, EHMI has extensive experience in the marketing and management of units governed by a variety of, and often layered, regulatory requirements. The effectiveness of our property management function can be gauged by the fact that many of the communities we work in have asked us back to develop new projects. Eden believes strongly that our properties serve as long-term assets for these partner communities. EHMI’s experience in these areas is more fully discussed in Section 4 “Experience”. PROPOSED RESIDENT SERVICES The overall goal of Eden Housing Resident Services, Inc. (EHRSI’s) programs for seniors is to provide our residents with resources and programs allowing them to age in place successfully and live long and healthy lives by: • Reducing isolation by providing on-site programs and encouraging resident-led programs • Providing residents with access to resources via information and referral • Providing programming designed to enhance the quality of life of our residents • Addressing health and wellness issues faced by our diverse communities including depression, physical fitness, assistive technology, nutrition/diet and personal safety ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 • Building strong communities by facilitating community events, collaborating with resident associations and encouraging volunteerism in the community (internally/externally) When considering our resident demographics and developing programs, it is important to consider that 78% of our seniors are over the age of 70. Programs for seniors and special needs populations are currently experiencing extreme cuts in funding. Examples include reductions in In Home Supportive Services (IHSS) hours, program cuts to senior centers/adult education programs, and cuts in transportation services like dial-a-ride. With the reality of these budget cuts in benefit programs and the aging issues that our residents are facing, we are tasked with determining how to best meet their needs. We strive to develop long-lasting partnerships in our communities, designed to enhance the level of services programming provided and fill the gap with programs available to this population. A long history of collaborative work with community senior services attests to Eden’s ability to unite with local providers to create quality senior housing environments. By providing an affordable, supportive environment for seniors, San Pablo Mixed-Use Senior Housing will be a place for seniors to live comfortably and receive the assistance they need to age in place in the community. The Resident Services Program will be created to respond to the needs of the residents. Each community and each person has an individualized set of needs; the structure of the Resident Services Program is designed to offer a range of services to meet the varied needs of the residents of San Pablo Mixed-Use Senior Housing. The Resident Services Program will adapt to changing needs and capacities of residents as they grow older. Services under the Program will help residents live independently, encourage a sense of community, and maximize self-empowerment for residents. All services will be available to each resident on a voluntary basis. The onsite Service Coordinator seeks to be a resource for all residents who search for solutions to problems that affect the quality of their lives and living environment. The Coordinator assists residents one-on-one and in groups to create supportive programming which encourages community building and self-reliance. These programs include health services, counseling programs, educational presentations, and social activities. Educational opportunities and activities will particularly enhance the quality of the residents’ lives. Learning together is another way to bring residents together. The Services Coordinator will arrange and coordinate educational presentations for the residents of San Pablo Mixed-Use Senior Housing. These presentations will be based upon continuous assessment of the needs and interests of the residents. Programming at similar senior housing complexes has included: citizenship classes, personal budgeting, telemarketing fraud prevention, health education presentations, computer literacy, English-as-a-Second-Language classes, and informational talks by community service providers such as pharmacists from Kaiser Permanente and representatives from the Breast Health Awareness Agency and the Elder Care Abuse Prevention Agency. Representatives from local fire and police departments will provide education about safety inside and outside of the home. In addition, health insurance counseling, legal assistance for seniors, and “transit training” can be available on-site. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 Relationship with Healthcare Providers, including Samuel Merritt University Four years ago, EHRSI developed a great working relationship with the nursing program at Cal State East Bay. Students from the program are able to come to our senior sites and provide basic health services to our seniors. This has included blood pressure checks, glucose screening, podiatry exams as well as general health and wellness information. This relationship has proven to be extremely valuable to our seniors and to the students involved. Students are able to gain hands-on experience working with low-income seniors and seniors are able to receive free health services on-site where they live. As a result of this great partnership, we researched other possible similar partners and came into contact with Samuel Merritt University. Not only is there an interest in working together with our proposed project in El Cerrito, but there is also a great opportunity to partner at our existing senior sites. EHRSI is now developing a pilot program with Samuel Merritt at the Altenheim, a site recently acquired by Eden in Oakland. The Altenheim is an historic facility owned and operated for over 100 years by the Excelsior German Center at the Altenheim (alternatively known as The Altenheim, Inc.), a nonprofit organization. The Excelsior Center originally conceived of creating an Altenheim, or “old folks home,” for German immigrants in the Bay Area. Over time, the Altenheim expanded from serving only German immigrants to serving a diverse group of seniors, many of whom had limited incomes. The Altenheim provides spectacular physical spaces in which to provide services for residents. There are over 10,000 S.F. of community space that include a computer-learning center as well as a library, space for language classes and continuing education, and health services and other programs. Our intention is to partner with Samuel Merritt and provide on-site health services to our seniors including general health exams, podiatry services, physical therapy and occupational therapy as well as educational classes and access to further health services as needed. Once we have this program established, it will be easy to integrate it into other housing sites, including our proposed site in El Cerrito. The proposed development includes ample retail space that could alternatively be used to expand programs offered to our senior residents. In addition to the medical clinic described above, we would also like to provide nutritional meals and education around healthy eating. At the Altenheim, we currently partner with Bay Area Community Service and their communal meal program to deliver healthy meals to our seniors every day. Not only does this ensure healthy eating but it is also a great opportunity for social interaction. In the space at the El Cerrito site, we could develop a dining/social sitting area where seniors could enjoy healthy meals together, participate in cooking classes and learn about nutrition. This would be a great asset to our health and wellness programs provided by Samuel Merritt and will also help establish a healthy and united community for our seniors. EXISTING DEVELOPMENTS THAT REPRESENT THE LEVEL OF QUALITY AND DESIGN THAT IS PROPOSED Please see Section 4 “Experience” for five tabbed completed project summaries and two additional project summaries evidencing Eden’s past experience developing and operating mixed-use affordable housing developments. Please see the Section 4 narrative for a list of ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 additional existing developments representing the level of quality and design that is being proposed and represented in the preliminary cost estimates. HOW THE PROPOSED PROJECT ACHIEVES AGENCY GOALS 1. Feasibility of Project and Leveraging Agency Investment As described in Section 6 “Financing Plan”, we have utilized a number of financing sources in order to minimize the assistance needed from the El Cerrito Redevelopment Agency. Our pro forma reflects the financial assistance the Agency is able to provide, namely the value of the land plus financial assistance with the cost of entitlements. The Agency’s investment is leveraged over 5:1. We will continue to explore all possible funding sources that may reduce the request to the Agency and to the County. 2. Maximum Number of Very Low and Low Income Units As detailed above, the proposed development provides affordable housing for seniors in El Cerrito at deep levels of affordability. All units are targeted to extremely low and very low income levels. As an example of the depth of affordability provided in this development, seniors living in extremely low income units (30%AMI) will pay only $470 or $556 a month for a 1- or 2-bedroom unit, respectively. The rental range for the development is $290 – 809, depending on apartment size and household income, well below the even the lowest current market rate rents in El Cerrito. The immediately adjacent Village at Town Center is currently renting two 710 square foot 1-bedroom units for rents ranging from $1,161-$1,326. The proposed development’s most expensive rent is 30% below Village at Town Center’s lowest rent. Finally, if HUD 202 funding or a project-based Section 8 contract is secured as proposed, residents will pay 30% of their income in rent, which could be far below the tax credit rent levels. 3. Senior Serving Project The development provides the maximum number of senior units permitted on the property within the current zoning. 4. Presence and Robustness of Mixed‐Use Component The proposed development provides 4,650 square feet of commercial space, with 2,400 square feet dedicated to a health clinic and another 2,250 for neighborhood-serving retail or office space. The commercial uses have been oriented to face San Pablo Avenue and the common area elements of the senior housing wrap around the corner to face City Hall. This orientation activates San Pablo Avenue and relates the development to City Hall. Eden Housing has partnered with health sciences institution Samuel Merritt University to anchor the non-residential space with a medical clinic that will provide hands on training for students and low- to no- cost healthcare for area residents. Community service providers, like Samuel Merritt University, will capitalize on the location adjacent to City ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 Hall, a place where people come when seeking services, and help define the Midtown/Civic Center Area as a strong civic core. The commercial space is designed with the features necessary to make the space attractive to retail tenants, including a high 18 foot ceiling, appropriate dimensions, shop entrances that open directly onto the street, and tall windows that provide high visibility for pedestrians walking by. Eden will partner with retail leasing consultant Ventura Partners to help find appropriate tenants for the retail space. Ventura Partners has been working in unique and challenging markets for more than a decade and specializes in working with owners to create long term marketing plans for areas that are in transition and for smaller retail spaces within mixed-use developments. 5. Enhancing the Neighborhood through High Quality Design Compatible with City Hall Community Compatibility Eden Housing is recognized for its ability to create well-designed properties that are architecturally appropriate for the community context. Our long track record at developing successful projects with a number of design teams across various locations in the Bay Area demonstrates this ability. All of the projects we have developed have been on infill sites and have been adapted to conform to the scale and character of its specific neighborhood context. As a result, our developments are not cookie-cutter in their design and scale, but rather are driven by community context and local design standards. Eden’s goal in working with a community is to develop a distinguished design that creates enthusiasm and support for the development and builds positive relationships with the neighbors that we can continue throughout the operations of the project. Eden’s Development Team will lead the San Pablo Mixed-Use development in a collaborative manner with the design team, the City, the San Pablo Avenue Advisory Committee, service providers, neighbors, and other stakeholders. The design and development will be a complex process that requires the Team to understand and share the community’s vision for the property. A variety of community meetings will be held to gain input and receive feedback during the design process. Sustainability Eden Housing is strongly committed to green building and has incorporated its practices into our company design guidelines and corporate sustainability goals. To further this commitment, Eden has established a green committee to evaluate new techniques and materials that are candidates for our developments, with the objective that the most impactful and cost effective features will become standard in Eden’s new construction projects. Eden participates in the GreenPoint Rated certification program through Build It Green, and our current development pipeline is receiving scores from approximately 100 points up to over 170 points in two instances. Eden’s Miraflores development, which has been conceived and implemented in partnership with the Richmond Community Redevelopment Agency, is a LEED for Neighborhood Development (LEED-ND) pilot project currently projected to be certified Gold. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 A Green Development Plan will be developed through a series of meetings with Eden Housing, its property management affiliate, and its construction consultant; Van Meter Williams Pollack (VMWP), its landscape architect and civil, mechanical, electrical, and plumbing engineers; the general contractor; and technical assistance teams provided through the Heschong Mahone Group on behalf of the California Multifamily New Homes Program. Our guiding document will be the new 2008-2011 Multifamily Green Building Guidelines published by Build It Green. Our objective will be to implement as many green building measures and materials as possible given our site location and construction type, product availability, compatibility with design program, and anticipated cost. Eden and VMWP will review successful green building strategies previously employed by ourselves and others and build upon this collective experience. We will also learn from our management company’s experience with green materials and systems we have previously installed. Technical assistance will broaden this horizon and provide specific product and supplier information. We will prioritize measures according to their benefit to future residents and their advantages with respect to long term management and maintenance. Together this team will achieve the following goals for the El Cerrito Residential Mixed- Use development: • Provide better indoor air quality • Reduce and recycle waste • Design and orient buildings to provide significant daylighting and natural ventilation • Design and plan for social interaction • Design for safety • Design for energy efficiency and water conservation • Landscape locally • Protect water quality Green building will remain a consistent and central focus through implementation of the following strategies: 1. Select a design and construction team that is interested in, knowledgeable about, and committed to green. 2. Schedule green design check-in meetings beginning at the inception of schematic design. 3. Establish clear goals at the outset and generate buy-in from all members of the design, construction, and management team. 4. Include the management company, particularly members of the maintenance team in all green design meetings. 5. Record decisions and commitments made during these meetings and disseminate to the group. 6. Revisit and remind the team of the green goals at critical junctures, such as the beginning of design development, construction drawings, construction administration, and whenever staffing transitions. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 7. Coordinate plan and specification review, site visits during construction, and closeout reports with the technical assistance provider. Community Process Overview of Eden Housing’s Community Involvement Philosophy: Eden Housing has a long track record of working in partnership with public agencies and private groups to build affordable housing developments that expand affordable multifamily housing opportunities for extremely low-income families, seniors, and persons with disabilities, while enhancing the fabric of the neighborhood. Eden has extensive experience in developing affordable properties in the context of a larger community, both new and existing, and particularly in the context of specific guidelines or goals established for the broader neighborhood. This ability to develop affordable housing within a set of explicit goals speaks to our ability to be sensitive to existing conditions and successfully work with localities in achieving objectives. As a developer of housing dedicated to serving lower income families, seniors and persons with disabilities, Eden’s experience providing information, outreach, and opportunities for participation helps us secure the necessary support of the community. Eden’s developments begin with targeted outreach, always including a series of community meetings and sometimes with more comprehensive community planning efforts. Once developments have been completed and are in operation, Eden’s property management team and resident services staff work together to build and enhance community relationships and work with community service providers to maintain high- quality, service-enhanced living environments. In addition to regularly-held community meetings, Eden has organized tours for public officials and community members to view Eden properties, providing a real world sense of what density means and allowing participants to see how attractive affordable housing can be. Such a tour helped to turn the sentiment of one neighbor in Antioch that had earlier expressed concern about West Rivertown Apartments. Indeed, this neighbor appeared at many of the project’s subsequent public hearings and became one of our most ardent supporters. Another important tool to secure community support is the design charrette process, which provides the opportunity for neighbors and other stakeholders to shape a project’s siting and design. In Eden’s current pipeline, many developments have had their building footprint and design features influenced by consensus reached among neighbors, city staff and/or business owners in the area. For instance, in the case of West Rivertown Apartments, a 57-unit family development in Antioch, Vandenburgh Villa, a 40-unit senior development in Livermore, and Foss Creek Court, a 64-unit family development in Healdsburg, the site layouts were changed as a direct result of community meetings. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 Community Outreach Plan for San Pablo Mixed-Use Senior Housing: Eden would follow this general outreach philosophy for the San Pablo Mixed-Use development. Eden will work with the City of El Cerrito and the San Pablo Avenue Advisory Committee to identify key community stakeholders that will be integral to our outreach plan, including neighboring property owners and residents. We plan to work closely with City staff and Advisory Committee members to identify important stakeholders and reach out to them to generate feedback and support for our development. Our first outreach would most likely be to the immediate neighbors. We would then reach out further to stakeholders in the surrounding community, with several public meetings to present our development concept, gather feedback, and respond to stakeholders’ comments. Eden’s focus is always upon engaging the community and responding to their needs and concerns to the best of our ability. We believe that this results in a better development and creates a positive dialogue with the community which benefits the development and the City in the long term. During entitlements for Foss Creek Court, 64-units of family housing in Healdsburg, we held several meetings with the Homeowners Association of the luxury condos next door to answer their questions and receive feedback. At the final Planning Commission hearing, for a project that did not require City Council approval, the Association and the Commission thanked Eden for our responsiveness, open communication, and willingness to make changes to the site plan and design to address their needs. This commendation reached the City Council, which highlighted our responsiveness to our neighbors in a recent proclamation honoring our 40th Anniversary. Examples of Eden’s Community Process on Previous Projects Lafayette Senior Housing – Lafayette, CA (in development) Eden Housing has worked extensively with the 6-person City of Lafayette’s Senior Task Force comprised of City Council, Planning Commission, and community members. The Task Force was responsible for identifying the need for affordable senior housing in the downtown corridor. In January 2007, Eden was chosen as the developer, along with the architectural design firm of Van Meter Williams Pollack, in response to the City of Lafayette’s Request for Qualifications. Per the City’s request, Eden was to identify a site appropriate for this use. In December of 2008, Eden acquired a .80 acre vacant parcel on Mt. Diablo Boulevard in downtown Lafayette that was previously used as a used car lot. Eden has been working in close collaboration with the Senior Task Force ever since being chosen as the non-profit developer. Throughout the project planning process, the Task Force has been informed of all the developments and issues that have arisen. The Task Force was in turn a liaison between the City of Lafayette, the community stakeholders, and Eden Housing. Notably, the Task Force recommended and coordinated a series of workshops that included City Council, Planning Commission, and Design Review members. These meeting were extremely valuable to Eden Housing as they allowed for early input on design and planning. The collaboration between Eden and the ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 Senior Housing Task Force was so effective that at the time Eden formally applied for land use entitlements, the City of Lafayette was able to easily approve the project. The overall community was in support of the project from the very early stages of the project. Eden kept the community surrounding the property informed on the project by publishing mailings and notices prior to public meetings such as Design Review, Planning Commission, and City Council Hearings. Warner Creek Senior Housing – Novato, CA (in development) Eden underwent an extensive community process prior to the general community meeting, first reaching out to the immediate surrounding neighborhood. The first meeting in the community was with a Homeowner’s Association for a condominium complex that covered nearly half of the adjacent use next to our site. Eden presented an overview of the project to the association and later returned for a second meeting where we presented the architectural drawings. Eden also met with the two other residential complexes adjacent to the site to introduce the project and drawings. Additionally, Eden met with the Novato Housing Coalition, the Novato Rotary, the Marin Environmental Housing Collaborative, the Marin Conservation League, the Greenbelt Alliance, and the Marin County Commission on Aging. Eden and our architect, Van Meter Williams Pollack, held a general community meeting in November 2008 to introduce the project, present concept drawings, and obtain input from others in the community. The project was met with much support all around. During the public hearings for the project, members of the Homeowners Association repeatedly attended and spoke in favor of the project. In March of 2009, Warner Creek Senior Housing obtained unanimous approvals from the Novato City Council. Miraflores – Richmond, CA (in development) Miraflores is a 230-unit mixed-income, mixed-tenure development that will include 80 units of senior housing adjacent to a new neighborhood of 150 single-family homes and townhomes on a 14-acre Richmond property. The proposed development required an Environmental Impact Report due to its displacement of historic structures and its proximity to the I-80 freeway. Mitigations include arranging Historic American Building and Landscape Survey documentation (HABS/HALS) and redesigning the site plan to locate homes farther from the freeway. Other significant issues that needed to be resolved were to develop a plan to clean up soil and groundwater contamination and to design the restoration of Baxter Creek. Eden and its development partners began working closely with the Park Plaza Neighborhood Council in 2004 to develop a remediation and revitalization plan. Recognizing that discussions about the proposed development were monopolizing neighborhood council meetings, Eden and the Richmond Community Redevelopment Agency formed the Miraflores Resident Advisory Committee (RAC) in July 2006. The RAC includes representatives from the Park Plaza and the adjacent Laurel Park and Pullman Neighborhoods and meets regularly to report on development ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 progress and to deliver ongoing feedback. Members of the RAC act as liaisons between their respective neighborhood councils and the development team. Eden’s community outreach process also includes a sustained engagement with stakeholders interested in the environmental cleanup, air quality, creek restoration, and historic preservation, as well as a series of update and progress meetings with elected officials. In April 2006, Eden and DTSC held interviews with area residents, public health professionals, and elected officials to review the cleanup plan prior to DTSC approval. In April 2007, neighborhood residents and creek restoration and historic preservation stakeholders participated in a Community Design Charrette to create the development concept plan and design principles that will guide development on this infill site. As a result of this regular contact, the Environmental Impact Report (EIR) was unanimously recommended for certification by the Planning Commission and its Chair explicitly thanked the team for its responsiveness to community input. The City Council voted to certify the EIR in December 2009. Sara Conner Court – Hayward, CA (completed 2006) The site selection and design of Sara Conner Court responded to long-standing desires of the Fairway Park Neighborhood Association as expressed through the Fairway Park Neighborhood Task Force’s work on the Fairway Park Neighborhood Plan. The Sara Conner property was occupied for many years by a run-down milk and juice processing plant and a long abandoned gas station that the neighbors were eager to see replaced with an attractive new development. Eden’s new affordable housing development on this site has pleased both the City of Hayward and the neighborhood. This highly visible property, located on Mission Boulevard at the southeastern entrance to the City, was redeveloped with housing so attractive that many passersby think it is a condominium property. The development included the installation a traffic signal at the intersection of Mission Boulevard and Lafayette Avenue that the Fairway Park Neighborhood Association had been requesting for over ten years. The City considered vacating all or a part of Lafayette Avenue in connection with the development and two site plan options, one with partial and one with total vacation, were presented to a community meeting held at the local elementary school in February 2004. Neighbors wanted the street narrowed to calm traffic that sped through from the state highway Mission Boulevard to the neighborhood streets. While neighbors would have liked to create public open space through the total street vacation, they were more concerned with the challenge of finding another way out of their neighborhood if Lafayette access was closed off. As a result, Eden and the City decided to partially vacate the street. A revised site plan was presented at a March 2004 community meeting, which respected the neighborhood’s partial street vacation preference and addressed other neighborhood comments by providing additional parking on site, installing stop signs on Lafayette, and prohibiting parking on Lafayette since the street had a history of attracting nuisance vehicles. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 When Eden had to send a public notice notifying the neighborhood about a necessary environmental clean-up and inviting comments, the project manager called the president of the Fairway Park Neighborhood Association and the manager of the Fairway Park Shopping Center to explain the notice and the nature of the cleanup. Based on these proactive phone calls and the positive interaction the community had with Eden during the design phase, there were no comments on the clean-up plan. Downtown River Apartments – Petaluma, CA (completed 2005) Eden Housing staff served on the advisory committee that led the extended community process which resulted in the Central Petaluma Specific Plan. This revitalization program calls for an exciting and diverse mix of new commercial and residential uses. Downtown River Apartments incorporates many of the revitalization and urban design goals of the Specific Plan, including incorporating ground floor commercial space and a public pedestrian walkway along the Petaluma River. Eden met on numerous occasions with the City’s Site Plan and Architectural Review Committee (SPARC). In response to several great suggestions from SPARC, Eden modified the design by setting the building back an additional six feet to create a wider sidewalk and adding a rear balcony overlooking the children’s play area. Eden reached out to local residents and architects who participated in design charettes for Basin Street, a new commercial development also located in the Specific Plan area, to request feedback as we designed our building. Eden requested specific feedback on the property’s relationship to the street, particularly as it related to the accessibility of the retail storefronts, and identified constraining factors like the flood zone, zero net fill and setback requirements. Eden also sought feedback on the exterior building treatment, which was designed to reflect the community’s history. West Rivertown – Antioch CA (completed 2003) Eden Housing and Van Meter Williams Pollack, Eden’s architect, assisted the City of Antioch Community Development Department in developing a Conceptual Master Plan for the West Rivertown Area. Through a six-month process, including three community meetings, the community developed a framework for guiding development opportunities in the future. Property owners, residents, and businesses within the planning area were invited to participate in the process. Special invitations were extended to the Rivertown Business Association, Antioch Chamber of Commerce, and city representatives from the City Manager and City Attorney offices, and the Public Works and Engineering, Community Development, Neighborhood Improvement, Economic Development, Building, and Police Departments. The community meetings were hosted at the Police Department. The first meeting was held in November 1999. Community members were invited to identify opportunities and challenges and to share ideas for West Rivertown development. The second meeting was held in January 2000 and proposed development scenarios, proposed development prototypes, and the streetscape master plan were ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 reviewed. The Conceptual Master Plan findings and summary were presented to a third meeting and subsequently adopted by the Antioch City Council in March 2000. At the conclusion of the master planning process, Eden Housing and Van Meter Williams Pollack held a community meeting to share plans to move forward with the first phase of the Plan, which was the development of West Rivertown, new construction of multifamily rental housing on the City-owned parcels located at the corner of 4th and J Streets. ---PAGE BREAK--- Response to Request for Qualifications / Proposals Eden Housing, Inc. El Cerrito Redevelopment Agency June 21, 2010 Mixed Use Development Site b. Graphic Depiction ---PAGE BREAK--- EL CERRITO, CAI 06/21/10 SAN PABLO MIXED-USE SENIOR APARTMENTS I A0 RENDERING EDEN HOUSING, HAYWARD CA 1 VIEW FROM SAN PABLO AVENUE ---PAGE BREAK--- EL CERRITO, CAI 06/21/10 SAN PABLO MIXED-USE SENIOR APARTMENTS I A1.1 SITE PLAN EDEN HOUSING, HAYWARD CA 0 30' 60' 15' ---PAGE BREAK--- EL CERRITO, CAI 06/21/10 SAN PABLO MIXED-USE SENIOR APARTMENTS I A2.1 UPPER FLOOR PLANS EDEN HOUSING, HAYWARD CA 1 A3.1 2 A3.1 1 A3.2 1 A3.2 2 A3.2 2 A3.2 TR LN 2 TR 2 ROOF BELOW TR ST ROOF BELOW ROOF BELOW ST DENOTES POTENTIAL SOLAR PANEL LOCATION 1 SECOND FLOOR RESIDENTIAL BUILDING MEZZANINE LEVEL PLAN MIXED USE BUILDING 2 THIRD FLOOR RESIDENTIAL BUILDING SECOND FLOOR MIXED USE BUILDING 4 FOURTH FLOOR MIXED USE BUILDING 3 FOURTH FLOOR RESIDENTIAL BUILDING THIRD FLOOR MIXED USE BUILDING • PARKING: RESIDENTIAL REQUIRED 32 STALLS PROVIDED 32 SURFACE STALLS (CONCESSION) COMMERCIAL REQUIRED 1/300 OR 17; PROVIDED ON SITE 4 STALLS + 8 STALLS ON SAN PABLO • FAR: MAX IN TOM 2 PROVIDED ±1.5 • PUBLIC OPEN SPACE: REQ: 25/1000 SQFT OR ±1,545 SQFT PROVIDED: 3,000 SQFT GARDEN PROV ALONG SAN PABLO • HEIGHT: 45 MAX (CONCESSION) PROVIDED: ± 50 SET BACK AT 4TH FLOOR OF MIXED USE BLDG DUE TO 19' GROUND FLOOR RESIDENTIAL BUILDING UNDER HT. LIMIT; (4TH FLOOR ALSO IS SETBACK) PROJECT SUMMARY SITE: 40,000 SQFT OR 0.92 ACRES MAXIMUM DENSITY ALLOWED: 70 UNITS /ACRE FOR SENIOR HOUSING WHEN SERVICES ARE PROVIDED PER SECTION 19.07.030 NUMBER OF UNITS PROVIDED: 64 SENIOR HOUSING UNITS @ 70 UNITS/ACRE (SERVICES PROVIDED) 0 50' 100' 25' ---PAGE BREAK--- EL CERRITO, CAI 06/21/10 SAN PABLO MIXED-USE SENIOR APARTMENTS I A3.1 ELEVATIONS EDEN HOUSING, HAYWARD CA ---PAGE BREAK--- EL CERRITO, CAI 06/21/10 SAN PABLO MIXED-USE SENIOR APARTMENTS I A3.2 SECTIONS EDEN HOUSING, HAYWARD CA ---PAGE BREAK--- Response to Request for Qualifications / Proposals Eden Housing, Inc. El Cerrito Redevelopment Agency June 21, 2010 Mixed Use Development Site 6. Financing Plan and Pro forma ---PAGE BREAK--- Response to Request for Qualifications / Proposals Eden Housing, Inc. El Cerrito Redevelopment Agency June 21, 2010 Mixed Use Development Site a. Financing Narrative ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 6. FINANCING EXPERIENCE WITH RAISING CAPITAL All of Eden’s development projects have utilized public and private financing. Eden has participated in federal programs administered by HUD such as the Section 202 Program for senior housing and Section 811 Program for housing serving persons with disabilities (see the following section for more detail about Eden’s HUD experience). Eden has utilized State Housing and Community Development Department-administered funding programs for decades including the older California Housing Rehabilitation Program (CHRP) and Rental Housing Construction Program (RHCP), as well as the more recent Multifamily Housing Program (MHP) and the State HOME Program. At the local level, Eden uses redevelopment tax-increment funds for affordable housing, housing in-lieu funds, CDBG, and HOME funds. Eden works closely with the Contra Costa County Department of Conservation and Development, and we have also formed an affiliated Community Housing Development Organization (CHDO), which is certified by Alameda County and is in the process of being certified by Contra Costa County, allowing us to leverage additional County HOME funds for the benefit of our developments. We have received County HOME or CDBG funds for nearly all of our developments in Contra Costa County. Eden’s experience with private financing instruments includes tax-exempt bonds and low- income housing tax credits – both the 4% and competitive 9% programs. Due to our long- standing relationships and large portfolio, we gain the most competitive financing terms for a project and the highest available limited partner contributions. We were the first developer in the state of California to receive tax credits and have been continuously successful in acquiring tax credits for a multitude of projects and have partnerships with an array of lenders and investors, including Union Bank, US Bank, Bank of America, Wells Fargo Bank, California Community Reinvestment Corporation, Silicon Valley Bank, Citibank, Merritt Community Capital, Aegon, RBC (formerly Apollo), Enterprise, and the California Equity Fund. We have also been successful in obtaining Federal Home Loan Bank Affordable Housing Program (AHP) Grant financing for more than a dozen projects. Eden has secured various grants administered by the Metropolitan Transportation Commission under two programs – Transportation for Livable Communities and Housing Incentive Program. Both programs are designed to reward localities and projects that are high density, transit-based projects that include affordable units. Eden has also successfully secured green and energy-efficiency incentive grants from Enterprise Green Communities, StopWaste.org, and the California Multi-family New Homes Program. Eden is well-versed in the State’s funding sources for transit-oriented and infill projects, available through Proposition 1C and recently secured $47 million for a large, master planned ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 community at the South Hayward BART station. Over $17 million of these funds will support two affordable housing developments, with the balance of the funds used to complete necessary infrastructure improvements to transform the surface parking lot at the station into a vibrant, mixed-use and mixed-income community. Finally, Eden has 18 HUD-financed developments in its portfolio that have project-based Section 8 contracts with local Housing Authorities or directly through HUD. Of these, Eden recently acquired a 142-unit family development that has a Section 8 Contract for 100% of the units. Beyond that, Eden has received project-based Section 8 contracts from the Contra Costa Housing Authority for two recent developments – Samara Terrace in Hercules and Brentwood Senior Commons in Brentwood, and has received commitments for project-based Section 8 contracts for Warner Creek Senior Housing in Novato and for the redevelopment of the Arroyo Vista public housing in Dublin. HUD Programs Much of Eden’s portfolio serving special needs households – seniors and persons with disabilities – has been financed through the HUD Section 202/811 Programs, the majority of which have been processed through the HUD San Francisco Regional Office. Eden has completed 642 independent-living senior units and 172 units for persons with disabilities with these funds, which leveraged other local predevelopment, construction and permanent sources. PROJECT NAME LOCATION # OF UNITS COMPLETION DATE Senior Eden Lodge San Leandro 143 1980 Eden Issei Hayward 100 1984 Sequoia Manor Fremont 81 1989 Rosewood Terrace Union City 45 1999 Community Heritage North Richmond 52 2000 Almond Terrace Manteca 50 2004 Wisteria Place Union City 40 2004 Vandenburgh Villa Livermore 40 2005 Almond Court Manteca 40 2009 Estabrook Place San Leandro 51 2010 Disabled Olive Tree Plaza Hayward 26 1986 Redwood Lodge Fremont 24 1989 Fuller Lodge San Leandro 26 1991 E.C. Magnolia Hayward 21 1992 Casa de los Amigos San Jose 24 1996 Pacific Grove Fremont 20 1997 Fuller Gardens San Leandro 16 2004 Edenvale Supportive Housing San Jose 15 2007 ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 Eden has also developed nearly 400 apartments that serve combined populations of seniors and disabled individuals, or families or seniors and individuals with special needs, largely financed through the tax credit programs. In 2008, Eden was awarded HUD 202 funding for a 98-unit independent-living senior development in Fremont, Peralta Senior Housing, which is expected to begin construction in August 2010, along with construction of 9,000 square feet for On Lok Lifeways’ PACE all- inclusive health care program and 500 square feet for the City of Fremont’s Human Services Department, which will operate a satellite office on site to facilitate direct social services and case management for the senior and special needs units at the development. The HUD 202 funding for Peralta Senior Housing is leveraged with 4% tax credits as well as City of Fremont Redevelopment Agency funding, County of Alameda MHSA funds, Federal Home Loan Bank AHP, and an Infill Infrastructure Grant from State HCD. Low Income Housing Tax Credit Program Eden Housing received the first tax credit allocation in California for Cypress Glen in Hayward, and we have developed more than 3,500 units using this program since its inception. Although the number of potential equity investors has decreased substantially in the past year, there are still several banks that are investing in projects directly or through dedicated funds with non- profit syndicators, and pricing appears to be improving, based on our most recent discussions with investors. Investors tell us that their highest criterion for investing in this market is a strong sponsor. Eden is one of the top affordable housing developers in California and the nation, and lenders and investors actively cultivate and seek our business. This is evidenced by our recent track record of closing projects in 2009 – well into the financial downturn. In March of 2009, we closed three projects – all of them with tax credit investors: Estabrook Place in San Leandro (HUD 202/4% tax credits); Foss Creek Court in Healdsburg tax credits); and Ashland Village in Alameda County (preservation acquisition/rehabilitation with 4% tax credits). Eden’s most recent competitive 9% tax credit project was awarded in 2008 and will complete construction in July 2010: Foss Creek Court in Healdsburg, a 64-unit family community. Since 2003, Eden has been able to successfully secure an allocation of competitive 9% low income housing tax credits in nearly every round in which we have applied. Eden has also used various tax-exempt financing models, including CalHFA, private placements with Union Bank, Wells Fargo Bank, Bank of America and Citibank, and public issuances. Most of the tax-exempt financing also utilized 4% tax credits. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 FINANCING PLAN There are currently two primary funding sources available for a 100% affordable senior housing development: 1) HUD Section 202 funds combined with 4% tax credits; and 2) 9% Low Income Housing Tax Credits, often combined with a project-based Section 8 contract. The HUD Section 202 funds combined with 4% tax credits, commonly referred to as “HUD mixed-financing” will provide funds that could cover over 50% of the total development cost, excluding land. The 9% tax credit and project-based Section 8 programs would provide funds that could cover up to 55% of the total development cost. Other funding sources, such as Federal Home Loan Bank AHP funds, Contra Costa County CDBG and HOME funds, City Redevelopment Housing Set-aside Funds, and State MHSA funds would fill the remaining gap. If the National Housing Trust Fund passes through Congress, California may receive over $190 million to support units affordable to extremely low income households. Eden is following this potential source of funds, and should this be an option, Eden would also explore it as a potential funding source with tax-exempt bonds and 4% tax credits. Both the HUD 202 Program and 9% tax credits are targeted to seniors at 50% of area median income (AMI) and below. The primary advantage of the HUD 202 Program is that it offers an operating subsidy – the Project Rental Assistance Contract (PRAC) – that allows seniors at 50% of AMI and below the ability to pay no more than 30% of their income for rent. This means that seniors on a fixed income would not have to worry about potential rent increases in the future. In Eden’s existing HUD 202 portfolio, the vast majority of residents are on fixed incomes, including social security, small pensions, and SSI, and most earn less than $15,000 per year, approximately 20-25% of the Contra Costa County area median income. Under the 9% tax credit scenario, specific rents would be set within a range of 20% to 50% of AMI. As the development would need to support a conventional mortgage and operating expenses without an operating subsidy, rents would potentially increase over time. Pairing the 9% tax credits with a project-based Section 8 contract allows the property to leverage more debt and to provide the same level of affordability to residents as the HUD 202 program for the units covered under the Section 8 contract. In terms of timing, 9% tax credit funding rounds generally occur twice a year – in March and July. In order to receive tax credits, a project generally needs to receive maximum points under the “Readiness to Proceed” category. In order to receive maximum points in this category, a project must receive all public environmental clearances and all public approvals except for building permits prior to the application submittal. If an allocation is awarded, construction must begin no later than 150 days thereafter. The pre-development timeframe is typically longer for a HUD 202/4% tax credit mixed-finance project than for a 9% tax credit project due to HUD’s approval and processing timeframe. Funding rounds occur once a year, usually in summer or fall. Upon receipt of an award, Eden would need to complete design and reach permit-ready status, and then submit an application for ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 the Firm Commitment, which takes approximately six to eight months for approval. The 4% tax credit and tax-exempt bond applications that comprise the other components of the “mixed- financing” would be submitted after the application for the HUD Firm Commitment, so that the closing deadlines for the tax-exempt bonds would dovetail with the HUD approval process. HUD 202/4% Tax Credit Mixed-Financing Scenario Eden’s primary financing plan is the “mixed-financing” structure of HUD Section 202 funds combined with 4% tax credits and tax-exempt bonds for two reasons: 1) It provides the greatest affordability for the residents at a lower subsidy amount from the City and County; and 2) the 9% tax credit program is so highly competitive that it may be difficult to obtain an award without multiple applications. The HUD 202 program is also highly competitive, but we believe that the location, services programming, and partnerships we have developed will provide a competitive edge. Since HUD 202 applications do not require completion of entitlements and all local funding commitments, we will be able to apply for HUD funding before we are ready to apply for tax credits, providing an additional opportunity to obtain a HUD award. In many cases, we have applied for both HUD 202 and 9% tax credit financing and utilized the first source to make an award. Currently, there are discussions at the federal level that may result in a restructuring of the HUD 202 program over the next several years, but we will not know the result of that process for six months or more. In the event that the HUD 202 program changes too radically for use, we would look to the 9% tax credit program with project-based Section 8 vouchers or other state funding sources that may arise to replace the exhausted Proposition 1C funds. The expected funding sources for the HUD mixed-financing program include the following: a. HUD Capital Advance Upon Completion b. FHLB AHP Grant or 55-yr Loan c. Limited Partner equity for 4% tax credits d. Tax-exempt bond construction loan e. City of El Cerrito Redevelopment Agency Tax-Increment Funds (from 20% Housing Set-Aside) f. County of Contra Costa CDBG and HOME Funds These funding sources are explained as follows: a. HUD Capital Advance Upon Completion ~ $157k per unit Under this scenario, the project will be 100% affordable to very low income seniors with incomes of no more than 50% of area median income (AMI), though Eden’s experience is that seniors residing in these projects typically have incomes between 15% and 40% of AMI. Because the Section 202 Capital Advance comes with an award of an initial three-year Project Rental Assistance Contract (PRAC), tenants only pay 30% of their income towards rent. The balance of funding needed to cover operating expenses is paid by the PRAC. The operating assistance through the PRAC would give this project deep affordability that other ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 projects without this assistance cannot achieve. The PRAC is renewed every three years for the term of the regulatory restrictions. The HUD Regulatory Agreement runs for 40 years. Typically, funding from local jurisdictions and through the tax credit program requires up to 55 years of affordability. Eden’s intent is to maintain the affordable use for the life of the property. The HUD 202 Program only allows the repayment of fully subordinated debt in the form of residual receipts payments with the approval of HUD. This would mean that the local funders (City Redevelopment Agency and County HOME/CDBG) would likely realize minimal residual payments, based only upon potential commercial cash flow, until after the term of the HUD restrictions expire (40 years). HUD also does not allow any private debt during the operations period. The HUD 202 mixed-finance model provides a way to receive 4% tax credit equity in addition to the HUD capital funds, which helps lower the amount of the local funding contribution. In order to access 4% tax credits, a project must first receive an allocation of tax-exempt bonds. The tax-exempt bonds are used to fund the construction of the project, and then the construction loan is repaid with the HUD 202 capital funds and tax credit equity upon completion of construction and permanent financing conversion. b. Affordable Housing Program (AHP) ~$10k per unit This Program is sponsored by the Federal Home Loan Bank and provides subsidies to member banks which in turn pass these subsidies onto project sponsors, for development of affordable rental and homeownership projects. The AHP grants are awarded through a competitive process held twice each year. The AHP also requires affordability restrictions to be placed upon the project assisted. c. Low-Income Housing Tax Credit Equity ~$86k per unit for 4% tax credits The 4% federal tax credits are allocated by the State Tax Credit Allocation Committee (TCAC) four to six times per year, on a non-competitive basis, for projects located in a designated Difficult to Develop Area (DDA), and on a competitive basis for 4% federal and state credits twice per year for projects not located in a DDA. Contra Costa County is currently not a DDA for 4% state credits, so we would need to apply on the same timeline as the 9% competitive tax credit program, but at a lower level of competition. Under this scenario, units would be restricted at levels that would match the HUD income restrictions, and the regulatory agreement would typically run for 55 years. d. Tax-exempt Construction Financing ~$210k per unit Eden would obtain a tax-exempt construction loan only so that 4% tax credit equity could be used for the project, but there would not be a permanent mortgage. Use of tax-exempt financing for at least 50% of the project costs is required when using 4% tax credits. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 e. City of El Cerrito Redevelopment Agency Financing ~$5k per unit (Entitlements); $61k per unit (Land Value) Redevelopment Agency tax increment financing, from the 20% housing set-aside, will be required to cover entitlement costs including design, engineering and planning, and to write down the purchase of the property. Land is assumed to be donated by the RDA at no cost to the project, but the value of the land will assist as donated land value for the AHP program. f. County of Contra Costa HOME & CDBG Financing ~$44k per unit, combined CDBG and HOME funds are federal funds allocated through the County of Contra Costa Department of Conservation and Development, an entitlement jurisdiction. CDBG funds must typically be spent on land costs in order to avoid triggering Davis-Bacon wages, but since the project will also have direct federal funds from the HUD 202 financing, this distinction is unnecessary, enabling the County to use its CDBG funds on nearly any project cost. The required County funding in the HUD 202 scenario is just over 60% of the amount required in the 9% tax credit scenario. This is a direct result of the current tax credit tiebreaker system, which requires 9% applications to significantly reduce the amount of tax credits requested in order to obtain funding. Salient underwriting points include: • Land Value: we have not included the value of the land at $3.9M in the HUD proforma, since it is not necessary for tax credit tiebreaker purposes. • Unit Mix: we have proposed that nearly all of the rental units will be one-bedroom units. There are two large studios and two two-bedroom units planned, in order to make the most efficient use of the building space. One two-bedroom unit will be a manager’s unit, and another stacks on top of it. This unit would most likely be rented to a couple in which one had a medical condition that required a separate room or bed, or a resident with a live-in attendant. • Affordability Levels: we have shown the tenant portion of the rent at 20% of the area median income, which most closely represents the average tenant-paid rent at 30% of actual income. The balance of the rent is provided by the PRAC operating subsidy, to reach breakeven operations. The one two-bedroom rental unit must support itself, as HUD does not fund two-bedroom units for seniors. • Commercial Space: we have assumed that we would receive approximately $1.50 per square foot of rental income and approximately 75% of the common area maintenance (CAM) costs from the retail portion of the space, with our senior health clinic partner, Samuel Merritt University, paying a nominal rent to cover a portion of the CAM charges. We have assumed a standard 50% vacancy rate on the commercial space for underwriting purposes, although we certainly plan for higher occupancy. • Construction Costs: we have used current construction cost estimates for comparable projects, and included a design and escalation contingency, measured to the projected construction bid date. For the commercial space, we have used comparable shell and tenant improvement construction costs, assuming that we would fund all of the tenant improvements for our senior health clinic partner and that we would provide a smaller tenant improvement allowance for the retail space. ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 • Development Impact Fees: we have assumed fees for EBMUD water and sewer capacity and installation, the Subregional Transportation fee, Art in Public Places fee, and School Facility fees at the commercial rate, and we noted that the City does not charge other impact fees beyond the construction tax and SMIP fee. • Underwriting: we have used current assumptions for income and operating expenses, and our financing assumptions for tax credit equity pricing, loan terms, and interest rates are based upon recent experience and current discussions with investors and lenders, with an added margin. 9% Low Income Housing Tax Credit, with Project-Based Section 8 Scenario A secondary financing option, in the event the HUD 202 program is not available, would be to secure a competitive 9% tax credit allocation and to improve the affordability of the units and the project’s operating stability with a Project-Based Section 8 Contract from the Housing Authority of the County of Contra Costa. As described above, if we are unsuccessful in our first HUD application, we may concurrently apply for both competitive funding programs thereafter, and use the source awarded first. To help close the financing gap in this plan we have added MHSA funds for six units, approximately 10% of the project, and have assumed that we would secure a project-based Section 8 contract for about 50% of the units. The balance of the overall financing gap, however, would be funded through County of Contra Costa HOME and CDBG funds, and the larger funding request may take several years to accumulate. The expected funding sources for the HUD mixed-financing program include the following: a. Limited Partner equity for 9% Tax Credits b. FHLB AHP Loan c. Conventional construction & permanent loans d. Project-Based Section 8 Contract e. State MHSA Funds f. City of El Cerrito Redevelopment Agency Tax-Increment Funds (from 20% Housing Set-Aside) & Land Payment g. County of Contra Costa CDBG and HOME Funds These funding sources are explained as follows: a. Low-Income Housing Tax Credit Equity ~$173k per unit for 9% tax credits The 9% federal tax credits are allocated by the State Tax Credit Allocation Committee (TCAC) twice per year, on a competitive basis. Contra Costa County is currently a designated Difficult to Develop Area (DDA) for 9% tax credits, which means the project would receive a 130% boost of the federal tax credits and would not need state tax credits. While the 9% tax credit program is extremely competitive, particularly in the North and East Bay region, the project scores over the maximum points for nearby site amenities, and has a relatively high tiebreaker score under the current scoring system. Unfortunately, the ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 uncertainty of the tiebreaker formula, high level of regional competition, and the more difficult underwriting create a larger financing gap that must be filled with local funds. The current tiebreaker formula averages the amount of public funds in the project and the amount of tax credit basis requested, both relative to the total residential development cost. One way of improving the tiebreaker score is to include the value of the donated land as a use of funds as well as a source of funds from the Redevelopment Agency. In this financing plan a portion of the land may be acquired with County CDBG funds, and the balance would be provided at no cost (see below for further information). The value of the land “donation” as well as the County funds would be captured in the tiebreaker. The tiebreaker score is also improved by the inclusion of debt secured by the project-based Section 8 contract as well as by voluntarily reducing the amount of tax credit basis requested, which increases the funding gap which must be closed by County funds. At the current subsidy level, the tiebreaker score is 92.53%, which is very high statewide, but the project awarded funds in the first round of 2010 in this region scored 97.7% and others scored in the mid-90s as well. Improving the tiebreaker score would require a decrease in tax credit basis requested, coupled with an increase in public subsidy or a Section 8 contract covering more of the units. b. Affordable Housing Program (AHP) ~$10k per unit Same funding as in the HUD 202/4% tax credit scenario. c. Conventional Construction and Permanent loans ~$169k (construction); $16k (permanent, first mortgage) and $11k (permanent, second mortgage) Eden would obtain a conventional construction loan that would convert to a permanent loan upon completion of construction and stabilized occupancy. A second mortgage would be secured against the incremental Section 8 income, providing additional leverage as well as cash flow that would repay the City and County loans. The standard methodology for leveraging Section 8 is to place the Section 8 contract on the highest income units to provide the most subsidy to residents while lowering the underwriting risk. d. Project-Based Section 8 Contract ~50% of the units The project-based Section 8 contract has two significant benefits: 1) it allows residents to pay only 30% of their income in rent, as in the HUD 202 scenario; and 2) a second mortgage may be secured against the additional incremental income provided by the Section 8 rents, while still providing adequate cash flow during the term of the contract. While we have recently received contracts for 100% of the units in two recent senior projects in Contra Costa County, we have heard that the Housing Authority is not currently able to issue contracts. We believe that in the next several years, the Housing Authority will once again be able to award project-based contracts, but we thought it prudent not to assume the entire project would be covered. e. State MHSA Funds (Prop 63) ~$100k per unit capital & $100k per unit capitalized operating subsidy MHSA funding is allocated by Contra Costa Health Services, Division of Mental Health to provide housing for individuals with severe mental illness who are homeless or at risk of ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 homelessness. The County is interested in providing MHSA units to the senior population, and with a presumed age limit of 55+ in the 9% tax credit scenario, there is demand for these units. We are using MHSA funding in two developments, Fireside Apartments in Marin County and Peralta Senior Housing in Fremont, and have several others in the pipeline. The most important factors of this program are: 1) building a strong partnership with the County and its Full Service Partner and ensuring they are able to provide the appropriate level of supportive services to the residents; and 2) ensuring that the operating subsidy is funded adequately. f. City of El Cerrito Redevelopment Agency Financing ~$5k per unit (Entitlements); $61k per unit (Land Value) Redevelopment Agency tax increment financing, from the 20% housing set-aside, will be required to cover entitlement costs including design, engineering and planning, and to write down the purchase of the property. Land is assumed to be partially donated by the RDA, with a portion to be paid with County CDBG funds, in order to most effectively leverage the available County funds. The remaining value of the land will assist as donated land value for the AHP program and as a critical component of the tax credit tiebreaker score. The 9% tax credit proforma includes the full land cost as a source and a use so that the County CDBG funds may be applied to land costs and so that the value is calculated in the tax credit tiebreaker. g. County of Contra Costa HOME & CDBG Financing ~$70k per unit, combined CDBG and HOME funds are federal funds allocated through the County of Contra Costa Department of Conservation and Development, an entitlement jurisdiction. As described above, after adding the MHSA funds and a project-based Section 8 contract to the project, the remaining gap must be filled by the County sources. Since CDBG funds must typically be spent on land costs in order to avoid triggering Davis-Bacon wages, in order to use these funds, we propose that the County award CDBG funds to be spent on land costs. The funds would be paid to the Redevelopment Agency as compensation for the land, and the Redevelopment Agency could loan equivalent funds to the project. The project would still be subject to state prevailing wages. Without this mechanism, the project might not be able to use CDBG funds, and would need to rely more heavily upon HOME funds, prolonging the amount of time required to accumulate the necessary funds. The required County funding in the 9% tax credit scenario is more than one and a half times the amount required in the HUD 202/4% tax credit scenario. This is a direct result of the current tax credit tiebreaker system, which requires 9% applications to significantly reduce the amount of tax credits requested in order to obtain funding. If the project were able to request the full amount of 9% tax credits it is eligible for, the County funding required would be less than $250,000. Please see the attached financial projections for both financing scenarios. ---PAGE BREAK--- Response to Request for Qualifications / Proposals Eden Housing, Inc. El Cerrito Redevelopment Agency June 21, 2010 Mixed Use Development Site b. Pro forma ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site HUD 202/4% TAX CREDIT MIXED‐FINANCING SCENARIO Eden Housing, Inc. June 2010 ---PAGE BREAK--- Total Number of Units 64 Density Ratio (Units per Acre) 69.57 Residential Area 39,534 Public Areas (Community Room & Circulation) 14,569 Childcare Center - Commercial/Retail Space 4,650 Podium-Parking Garage - Total Area 58,753 Residential/Commercial Proration Residential Percent Allocation by Construction Hard Costs 93.40% Percent Allocation by Sq. Ft. of building area 93.04% Affordability Mix 0BR 1BR 2BR Extremely Low Income Units @ 20% AMI 62 $290 $300 $353 Extremely Low Income Units @ 30% AMI - $448 $470 $556 Very Low Income Units @ 35% AMI - $527 $554 $658 Very Low Income Units @ 40% AMI 1 $606 $639 $759 Very Low Income Units @ 45% AMI - $685 $724 $861 Very Low Income Units @ 50% AMI - $765 $809 $963 Manager's Unit (2 BR) 1 $0 $0 $0 Total 126 Unit Mix Studio/1BA 2 1BR/1BA 60 2BR/1BA 2 Total 64 Number of Project-Based vouchers 0 DEVELOPMENT BUDGET Total Total Land & Improvements 220,000 $ Total Design & Consulting 1,245,000 $ Total Construction 12,726,959 $ Total Indirect Costs 3,642,833 $ Total Finance & Carry Costs 1,399,117 $ Total TCAC/Syndication 113,334 $ TOTAL DEVELOPMENT COSTS 19,347,243 $ PERMANENT SOURCES OF FINANCING City of El Cerrito RDA Land - $ City of El Cerrito RDA Financing 350,000 $ County of Contra Costa CDBG 1,000,000 $ County of Contra Costa HOME 1,810,777 $ HUD 202 Capital Grant 10,072,276 $ MHSA Capital Grant - $ MHSA Capitalized Operating Subsidy - $ FHLB - AHP 630,000 $ LIH Tax Credit-LP Capital Contribution 5,483,641 $ LIH Tax Credit-GP Capital Contribution 548 $ Permanent Financing - $ Permanent Financing - Section 8 Mortgage - $ Deferred Developer Fee - $ TOTAL SOURCES OF FUNDS 19,347,243 $ Tax Credit Equity Yield (Federal/State) 0.80 $ Tax Credit Tie-Breaker Score N/A Additional Gap Funding Required - $ San Pablo Mixed Use, El Cerrito, HUD 202 & 4% Tax Credits Financing Summary 0.92 s.f. s.f. s.f. s.f. s.f. s.f. Commercial 6.60% 6.96% Net Rent Per Unit 3,438 $ 19,453 $ 198,859 $ 56,919 $ 21,861 $ 1,771 $ 302,301 $ - $ - $ 15,625 $ 28,293 $ 5,469 $ 157,379 $ - $ - $ - $ 302,301 $ 0.50 $ 9,844 $ 85,682 $ 9 $ - $ ---PAGE BREAK--- San Pablo Mixed Use, El Cerrito, HUD 202 & 4% Tax Credits ASSUMPTIONS SITE and BUILDING RENTS and UTILITY ALLOWANCE FINANCING LAND RENT LEVEL MIX CONSTRUCTION LOAN (Tax Exempt) Comments Purchase Price per unit $0 - $ Loan Amount 13,370,426 $ Site Area (acres) per land sf $0 0.92 Unit Mix AMI Studios 1 Bed 2 Bed 3 Bed 4 Bed Total Construction Term 15 Site Area (Sq. Ft.) 40,075 C 0% of units @ 15% - Tax Credit Lease-up 6 Account for month tax credit lease up Density 69.57 C 97% of units @ 20% 2 60 62 HUD Lease-up 3 Account for 3 month HUD lease-up for mixed finance deals Buildable Site Area 40,075 B 0% of units @ 25% - Interest Rate 4.50% Net Density 69.57 B 0% of units @ 30% - Drawdown 0.50 formula is 50% during construction, 100% for closing term Percent Senior 100% A 0% of units @ 35% - Bond Fees 1.00% Origination UNITS 0 2% of units @ 40% 1 1 Expenses 43,250 $ Construction Inspection, Legal, Appraisal, Envt'l review # TCAC Min. SF Net Sq. Ft. Tot. Sq. Ft. 0% of units @ 45% - Prevailing Wage Monitor 20,000 $ If required Studio 2 500 (Max) 475 950 0% of units @ 50% - 1 Bd: 60 500 615 36,900 0% of units @ 55% - FIRST MORTGAGE (Tax Exempt) 2 Bd: 1 750 842 842 0% of units @ 60% - Loan Amount - $ 3 Bd: 0 1,000 1,195 - 0% of units @ Market - Term - Years 15 4 Bd/2Ba: 0 1,200 1,305 - Manager's 1 1 Interest Rate 6.50% Manager's Unit 1 842 842 Total 64 2 60 2 - - 64 Annual Debt Service N/A Total: 64 39,534 %/unit 96.9% 3% 94% 3% 0% 0% Minimum DCR 1.15 Total Gross SF w/out Common 39,534 Avg Aff. 20% 20% 20% 20% #DIV/0! #DIV/0! Loan-to-Value 0% COMMON AREAS Avg Rent #DIV/0! 290 $ 300 $ 380 $ #DIV/0! #DIV/0! Loan Fees 1.00% Origination # sq. ft. Tot. sq. ft. Loan Expenses 10,000 $ Legal + Appraisal Common Space 1 3,065 3,065 Kitchen 80 - NET RENTS AMI Studio 1 Bed 2 Bed 3 Bed 4 Bed TAX CREDITS Multipurpoose rooms 250 - 15% 211 216 251 286 313 TCAC Monitoring Fee unit) $410 Mgmt/Services Offices 200 - 20% 290 300 353 403 444 Federal Tax Credit Yield 0.80 Date Checked Copy Room/Storage 75 - 25% 369 385 455 521 575 Applicable Tax Credit %age 3.31% 6/20/2010 Toilet Rooms 100 - 30% 448 470 556 638 706 Unit Mix Points Computer Room 200 - 35% 527 554 658 755 837 10% of Units at 30% or less? Yes Mechanical/Utility 400 - 40% 606 639 759 873 968 TCAC Rents updated 5/14/10 6/13/2010 Date Checked Maint. Shop/Storage 200 - 45% 685 724 861 990 1,099 Utility Allowances updated 4/1/09 6/13/2010 Date Checked Pool Room 200 - 50% 765 809 963 1,108 1,230 Rural Census Tract No Trash & Chute Rooms 100 - 55% 844 893 1,064 1,225 1,361 DDA/QCT No Elevator 100 - 60% 923 978 1,166 1,342 1,492 Commercial/Childcare % (hard cost) 6.96% Comm'l/Childcare as % of TDC 5.85% Janitor 50 - 100% 1,556 1,656 1,979 2,282 2,540 Commercial/Childcare % (by Sq. Ft.) 7.91% Manager's 963 OPERATING EXPENSES Building Efficiency 67% Total Common Areas 3,065 Replacement Reserves (/unit) 500 $ Circulation SF 20% Total Residential Sq. Ft. 39,534 GROSS RENTS AMI Studio 1 Bed 2 Bed 3 Bed 4 Bed Replacement Reserves (/MHSA unit) 500 $ 500 is min. Common & Ancillary sq footage 5% 29.1% Circulation 11,504 15% 237 254 304 352 393 Operating Expenses (/unit) 5,800 $ Check comparable properties for operating expense projections Commercial sq. footage 8% Commercial Space 4,650 20% 316 338 406 469 524 Operating Expenses (/MHSA unit) 6,200 $ Childcare sq. footage 0% Childcare Space - 25% 395 423 508 587 655 Resident Services (/unit) 500 $ 30% 474 508 609 704 786 Resident Services (/MHSA unit) 600 $ Total Building Sq. Ft. 58,753 35% 553 592 711 821 917 Partnership Management Fee 25,000 $ 40% 632 677 812 939 1,048 Asset Management Fee 5,000 $ Total Garage Sq. Ft. - 45% 711 762 914 1,056 1,179 50% 791 847 1,016 1,174 1,310 Rental Inflation Factor 2.50% PARKING 55% 870 931 1,117 1,291 1,441 Revenue Inflation Factor 1.00% 60% 949 1,016 1,219 1,408 1,572 Expense Inflation Factor 3.50% Parking Required Units Ratio Spaces 100% 1,582 1,694 2,032 2,348 2,620 Residential Vacancy Rate 5.00% Studio 2 0.50 1 Manager's Commercial Vacancy Rate 50.00% 1 Bedroom 60 0.50 30 Utilities 26 38 53 66 80 Laundry Income (PUPM) 7 $ 2+ Bedroom 2 0.50 1 Commercial 4,650 0.33% 16 INCOME REQUIREMENTS AMI 1 Person 2 Persons 3 Persons 4 Persons 5 Persons 6 Persons 7 Persons Total Spaces 48 15% 9,495 $ 10,845 $ 12,195 $ 13,545 $ 14,640 $ 15,720 $ 16,800 $ COSTS OF BOND ISSUANCE 20% 12,660 $ 14,460 $ 16,260 $ 18,060 $ 19,520 $ 20,960 $ 22,400 $ Bond Counsel 40,000 $ Parking Provided Spaces Sq. Ft. Tot. Sq. Ft. 25% 15,825 $ 18,075 $ 20,325 $ 22,575 $ 24,400 $ 26,200 $ 28,000 $ Bank Counsel 40,000 $ Surface (incl. street) 44 300 13,200 30% 18,990 $ 21,690 $ 24,390 $ 27,090 $ 29,280 $ 31,440 $ 33,600 $ Issuer Fee 25,070 $ 0.1875% on construction bond (CMFA) Carports - 300 - 35% 22,155 $ 25,305 $ 28,455 $ 31,605 $ 34,160 $ 36,680 $ 39,200 $ Issuer Monitoring Fee during construc 26,741 $ 0.10% 10bps/year (2 yrs) Tuck-Under/Garages - 325 - 40% 25,320 $ 28,920 $ 32,520 $ 36,120 $ 39,040 $ 41,920 $ 44,800 $ Issuer Legal 10,000 $ Podium - 360 - 45% 28,485 $ 32,535 $ 36,585 $ 40,635 $ 43,920 $ 47,160 $ 50,400 $ CDLAC Application Fee 2,000 $ Total 44 13,200 50% 31,650 $ 36,150 $ 40,650 $ 45,150 $ 48,800 $ 52,400 $ 56,000 $ CDLAC Allocation Fee 7,354 $ .055% fee on construction bond Required Parking Ratio 0.75 55% 34,815 $ 39,765 $ 44,715 $ 49,665 $ 53,680 $ 57,640 $ 61,600 $ CDLAC Fee 2,674 $ 2 basis points or $4000 Actual Parking Ratio 0.69 60% 37,980 $ 43,380 $ 48,780 $ 54,180 $ 58,560 $ 62,880 $ 67,200 $ Title 10,000 $ 100% 63,300 $ 72,300 $ 81,300 $ 90,300 $ 97,600 $ 104,800 $ 112,000 $ Financial Consultant 10,000 $ Attorney 10,000 $ UTILITY ALLOWANCES HACCC, updated 4/1/09 Misc. 5,000 $ Included? Studio 1 Bed 2 Bed 3 Bed 4 Bed TOTAL 188,838 $ 1.41% = percent of TE loan Cooking gas 5 7 9 11 13 electric 1 5 6 9 11 13 Basic Electricity 1 13 19 26 32 39 Heating gas 13 15 18 20 22 electric 1 8 13 18 23 28 Water Heating electric 8 14 20 25 31 gas 8 13 18 23 28 Water 22 27 32 36 41 Sewer 28 28 28 28 28 Air Conditioning 0 1 1 2 2 Garbage 38 38 38 38 38 TOTAL 26 38 53 66 80 San Pablo Mixed Use, HUD, 4% 6-18-10 6/21/2010 ---PAGE BREAK--- San Pablo Mixed Use, El Cerrito, HUD 202 & 4% Tax Credits SOURCES AND USES OF FUNDS SOURCES of FUNDS TOTAL Acq./Predev. Construction Permanent % of Total Commercial Per Unit Assumptions TERMS Other Contribution - $ - $ - $ 0.00% - $ 2.00% 36 months Other Predevelopment Loan: LOC/Opportunity Fund - $ - $ - $ 0.00% - $ 6.00% Eden LOC (prime City of El Cerrito RDA Land - $ - $ - $ 0.00% - $ Loan - 55 yr deferred loan @ 3% simple City of El Cerrito RDA Financing 350,000 $ 350,000 $ - $ 1.81% 5,469 $ County of Contra Costa CDBG 1,000,000 $ 1,000,000 $ 5.17% 15,625 $ Loan - 55 yr deferred loan @ 3% simple County of Contra Costa HOME 1,810,777 $ 983,706 $ 827,071 $ 9.36% 28,293 $ Loan - 55 yr deferred loan @ 3% simple HCD MHP Loan - $ - $ 0.00% - $ - $ None HUD 202 Capital Grant 10,072,276 $ 10,072,276 $ 52.06% 157,379 $ MHSA Capital Grant - $ - $ 0.00% - $ MHSA Capitalized Operating Subsidy - $ - $ 0.00% - $ Construction Loan - $ 13,370,426 $ (13,370,426) $ 0.00% - $ 4.50% int Construction Loan @ FHLB - AHP 630,000 $ - $ 630,000 $ - $ 3.26% 9,844 $ Loan @ 0% LIH Tax Credit-LP Capital Contribution 5,483,641 $ - $ 548,364 $ 4,935,277 $ 28.34% 85,682 $ .80 cents 9% credits LIH Tax Credit-GP Capital Contribution 548 $ - $ - $ 548 $ 0.00% 9 $ Permanent Financing - $ - $ - $ - $ 0.00% - $ 6.50% int 15 yr. term Permanent Financing - Section 8 Mortgage - $ - $ - $ - $ 0.00% - $ 6.50% int 15 yr. term Deferred Developer Fee - $ - $ - $ - $ 0.00% - $ - $ - $ 0.00% - $ GAP: 0 $ - $ 0 $ - $ 0.00% 0 $ Loan - 55 yr deferred loan @ 3% simple TOTAL SOURCES 19,347,243 $ 1,333,706 $ 16,375,861 $ 1,637,676 $ 100.00% - $ 302,301 $ Surplus/(Deficit) 0 0 0 USES of FUNDS TOTAL Acq./Predev. Construction Permanent Basis Eligible Commercial Cost/Unit Cost/SqFt Assumptions Comments LAND & IMPROVEMENTS: Land Cost - $ - $ - $ - $ - $ - $ Permanent Relocation - $ - $ - $ - $ - $ - $ - $ Demolition 150,000 $ 150,000 $ - $ - $ 2,344 $ 3 $ Environmental Remediation 40,000 $ 40,000 $ - $ - $ 625 $ 1 $ Site Maintenance (i.e. Security, Clean-Up) 5,000 $ 5,000 $ - $ 5,000 $ 78 $ 0 $ Site Value Beyond Cost - $ - $ - $ - $ - $ - $ - $ Title & Escrow - Land Acquisition 10,000 $ 10,000 $ - $ - $ 156 $ 0 $ Legal - Land Acquisition 15,000 $ 15,000 $ - $ - $ 234 $ 0 $ Total Land & Improvements 220,000 $ - $ 220,000 $ - $ 5,000 $ - $ 3,438 $ 4 $ DESIGN & CONSULTING: Architect 950,000 $ 712,500 $ 237,500 $ - $ 883,838 $ 66,162 $ 14,844 $ 16 $ 8.00% Civil Engineering/Joint Trench Utility Design 75,000 $ 75,000 $ - $ - $ 69,777 $ 5,223 $ 1,172 $ 1 $ Construction Estimating/Management Services 75,000 $ 20,000 $ 55,000 $ - $ 69,777 $ 5,223 $ 1,172 $ 1 $ Engineering Reports (i.e. Topo, Noise, Soils, Traffic, Biology) 50,000 $ 50,000 $ - $ - $ 46,518 $ 3,482 $ 781 $ 1 $ Environmental 20,000 $ 20,000 $ - $ - $ 18,607 $ 1,393 $ 313 $ 0 $ Testing & Inspection 75,000 $ - $ 75,000 $ - $ 69,777 $ 5,223 $ 1,172 $ 1 $ Total Design & Consulting 1,245,000 $ 877,500 $ 367,500 $ - $ 1,158,293 $ 86,707 $ 19,453 $ 21 $ CONSTRUCTION: Off-Site Improvements 120,226 $ - $ 120,226 $ - $ 111,853 $ 8,373 $ 1,879 $ 2 $ $3.00 On-Site Improvements 414,000 $ - $ 414,000 $ - $ 385,167 $ 28,833 $ 6,469 $ 7 $ $450,000 per acre estimate Commercial/Childcare Construction 418,500 $ - $ 418,500 $ 418,500 $ 6,539 $ 7 $ $90 based on On Lok shell/Peralta Retail/Tenant Improvements 189,000 $ 189,000 $ - $ 189,000 $ 2,953 $ 3 $ $41 Clinic: Full TI's; Retail: TI Allowance Unit Construction 8,115,450 $ - $ 8,115,450 $ - $ 8,115,450 $ - $ 126,804 $ 138 $ $150 Based on Cost Study, Peralta Podium/Garage - $ - $ - $ - $ - $ - $ - $ - $ $30,000 per space General Requirements 601,716 $ - $ 601,716 $ - $ 559,811 $ 41,906 $ 9,402 $ 10 $ 6.5% estimate GC Contingency 197,178 $ - $ 197,178 $ 183,446 $ 13,732 $ 3,081 $ 3 $ 2% Contractor Overhead & Profit 502,803 $ - $ 502,803 $ - $ 467,786 $ 35,017 $ 7,856 $ 9 $ 5.0% estimate Contractors Bond & Insurance 158,383 $ - $ 158,383 $ - $ 147,353 $ 11,030 $ 2,475 $ 3 $ 1.5% estimate Pricing Escalation/Design Contingency 1,339,657 $ - $ 1,339,657 $ - $ 1,246,358 $ 93,299 $ 20,932 $ 23 $ 12.5% 3 yrs escalation, 5% code/design changes Furniture, Fixtures & Equipment (common area) 64,000 $ - $ 64,000 $ - $ 64,000 $ 1,000 $ 1 $ Construction Contingency 606,046 $ - $ 606,046 $ - $ 606,046 $ 9,469 $ 10 $ 5.00% Total Construction 12,726,959 $ - $ 12,726,959 $ - $ 11,887,269 $ 839,690 $ 198,859 $ 217 $ 256 per NRSF, excl. commcl, conting, escalation & FF&E INDIRECT COSTS: Permits & Fees (w/conting & Credit) 1,358,331 $ 135,833 $ 1,222,498 $ - $ 1,263,732 $ 94,599 $ 21,224 $ 23 $ per fee schedule 2009-2010 + 10% contingency City Consulting, Legal & Entitlements 50,000 $ 50,000 $ - $ - $ 46,518 $ 3,482 $ 781 $ 1 $ estimate Legal Fees - Constr. Loan Closing 35,000 $ - $ 35,000 $ - $ 35,000 $ 547 $ 1 $ Legal Fees - Perm. Loan Closing 25,000 $ - $ - $ 25,000 $ 25,000 $ 391 $ 0 $ Legal Fees - Organization 6,000 $ 6,000 $ - $ - $ 6,000 $ 94 $ 0 $ Audit Fees 22,000 $ - $ - $ 22,000 $ - $ 344 $ 0 $ Sponsor Administration 1,400,000 $ 75,000 $ 250,000 $ 1,075,000 $ 1,302,499 $ 97,501 $ 21,875 $ 24 $ Appraisal 10,000 $ 10,000 $ - $ - $ - $ 156 $ 0 $ Market Study 20,000 $ 20,000 $ - $ - $ 20,000 $ 313 $ 0 $ Rent/Up Marketing 74,000 $ - $ 74,000 $ - $ - $ 1,156 $ 1 $ 1000 Reserves: - $ - $ - $ - $ - $ - $ Marketing & Bond Reserves - $ - $ - $ - $ - $ - $ - $ Initial Services Reserve 80,000 $ - $ 80,000 $ - $ 1,250 $ 1 $ 25.0% Operating Reserve 227,793 $ - $ - $ 227,793 $ - $ 3,559 $ 4 $ 6 Months operating costs & debt service MHSA Capitalized Operating Subsidy Reserve - $ - $ - $ - $ Section 8 MHP Transition Reserve (combined) - $ - $ - $ - $ 0.0 years of debt service Partnership Management 119,379 $ - $ - $ 119,379 $ - $ 1,865 $ 2 $ Issuer Services Fee Reserve 59,690 $ - $ - $ 59,690 $ - $ 933 $ 1 $ HUD MCI 10,000 $ - $ - $ 10,000 $ - $ 156 $ 0 $ Soft Costs Contingency 145,639 $ 35,000 $ 110,639 $ - $ 135,496 $ 10,143 $ 2,276 $ 2 $ 3% Total Indirect Costs 3,642,833 $ 331,833 $ 1,692,137 $ 1,618,862 $ 2,834,245 $ 205,726 $ 56,919 $ 62 $ FINANCE & CARRYING COSTS: Liability/COC Insurance 131,029 $ - $ 131,029 $ - $ 131,029 $ 2,047 $ 2 $ 0.6450% Real Estate Taxes - $ - $ - $ - $ - $ - $ 1.150% assumes take title at construction close Predevelopment Loan Interest 10,000 $ 10,000 $ - $ - $ 10,000 $ 156 $ 0 $ Costs of Issuance (Bonds) 188,838 $ - $ 188,838 $ - $ - $ 2,951 $ 3 $ N/A Construction Loan Fees 133,704 $ - $ 133,704 $ - $ 133,704 $ 2,089 $ 2 $ 1.00% Construction Loan Interest 827,295 $ - $ 827,295 $ - $ 376,043 $ 12,926 $ 14 $ 50% AOB during construction, 100% AOB post construction Permanent Financing Fees & Expenses - $ - $ - $ - $ - $ - $ - $ 1.0% Title & Escrow - Construction Loan 30,000 $ - $ 30,000 $ - $ 30,000 $ 469 $ 1 $ Title & Escrow - Permanent Loan 15,000 $ - $ - $ 15,000 $ - $ 234 $ 0 $ Lender-Appraisal, Legal & Consulting (Inspections incl) 63,250 $ 8,000 $ 55,250 $ - $ 63,250 $ 988 $ 1 $ Total Finance & Carry Costs 1,399,117 $ 18,000 $ 1,366,117 $ 15,000 $ 744,027 $ - $ 21,861 $ 24 $ TAX CREDITS/SYNDICATION EXPENSES: TCAC Application Fee 2,000 $ 2,000 $ - $ - $ - $ 31 $ 0 $ TCAC Allocation Fee 5,504 $ 5,504 $ - $ - $ - $ 86 $ 0 $ 1% of annual tax credit allocation TCAC Performance Deposit 22,017 $ 22,017 $ - $ - $ - $ 344 $ 0 $ 4% of annual tax credit allocation TCAC Performance Deposit Refund (22,017) $ - $ - $ (22,017) $ - $ (344) $ $ TCAC Monitoring Fee 25,830 $ - $ - $ 25,830 $ - $ 404 $ 0 $ 410 per unit (not including manager's unit) CDLAC Performance Deposit 66,852 $ 66,852 $ - $ - $ - $ 1,045 $ 1 $ 0.5% of bond allocation CDLAC Performance Deposit Refund (66,852) $ - $ (66,852) $ - $ - $ (1,045) $ $ Syndication Consultant 40,000 $ 10,000 $ 30,000 $ - $ - $ 625 $ 1 $ Syndication Legal Fees 40,000 $ 40,000 $ - $ - $ 625 $ 1 $ Syndication-Investor Legal - $ - $ - $ - $ - $ - $ - $ Syndication Other: Bridge Loan Fees - $ - $ - $ - $ - $ - $ - $ Syndication Other: Bridge Loan/Dev Fee Interest - $ - $ - $ - $ - $ - $ - $ Total TCAC/Syndication 113,334 $ 106,373 $ 3,148 $ 3,813 $ - $ - $ 1,771 $ 2 $ TOTAL DEVELOPMENT EXPENSES 19,347,243 $ 1,333,706 $ 16,375,861 $ 1,637,676 $ 16,628,834 $ 1,132,123 $ 302,301 $ 329 $ Eden Housing, Inc. 22645 Grand Street Hayward, CA 94541 (510) 582-1460 San Pablo Mixed Use, HUD, 4% 6-18-10 ---PAGE BREAK--- San Pablo Mixed Use, El Cerrito, HUD 202 & 4% Tax Credits PROJECT INCOME CALCULATION LIHTC Residential Income Calculation Bedrooms Rent as % Gross Rent Less Utility Net Rent Number of Total Total Annual Comments Baths of Median Allowance Units Income Income Income 0 / 1 15% 237 $ 26 $ 211 $ - - $ - $ 20% 316 $ 26 $ 290 $ 2 580 $ 6,960 $ 25% 395 $ 26 $ 369 $ - - $ - $ 30% 474 $ 26 $ 448 $ - - $ - $ 35% 553 $ 26 $ 527 $ - - $ - $ 40% 632 $ 26 $ 606 $ - - $ - $ 45% 711 $ 26 $ 685 $ - - $ - $ 50% 791 $ 26 $ 765 $ - - $ - $ 55% 870 $ 26 $ 844 $ - - $ - $ 60% 949 $ 26 $ 923 $ - - $ - $ Market 1,582 $ 26 $ 1,556 $ - - $ - $ 1 / 1 15% 254 $ 38 $ 216 $ - - $ - $ 20% 338 $ 38 $ 300 $ 60 18,000 $ 216,000 $ 25% 423 $ 38 $ 385 $ - - $ - $ 30% 508 $ 38 $ 470 $ - - $ - $ 35% 592 $ 38 $ 554 $ - - $ - $ 40% 677 $ 38 $ 639 $ - - $ - $ 45% 762 $ 38 $ 724 $ - - $ - $ 50% 847 $ 38 $ 809 $ - - $ - $ 55% 931 $ 38 $ 893 $ - - $ - $ 60% 1,016 $ 38 $ 978 $ - - $ - $ Market 1,694 $ 38 $ 1,656 $ - - $ - $ 2 / 1 15% 304 $ 53 $ 251 $ - - $ - $ 20% 406 $ 53 $ 353 $ - - $ - $ 25% 508 $ 53 $ 455 $ - - $ - $ 30% 609 $ 53 $ 556 $ - - $ - $ 35% 711 $ 53 $ 658 $ - - $ - $ 40% 812 $ 53 $ 759 $ 1 759 $ 9,108 $ 45% 914 $ 53 $ 861 $ - - $ - $ 50% 1,016 $ 53 $ 963 $ - - $ - $ 55% 1,117 $ 53 $ 1,064 $ - - $ - $ 60% 1,219 $ 53 $ 1,166 $ - - $ - $ Market 2,032 $ 53 $ 1,979 $ 1 - $ - $ Manager's unit TOTAL 64 19,339 $ 232,068 $ 232,068 $ Total Rents less MHSA units Additional Income Calculation Laundry Laundry Per Unit Per Month Per Unit Per Year Total Per Year 7 $ 84 $ 5,376 $ Retail/Childcare Lease Payments Rent/SF Income Annual Income Lease On Retail Only 1.50 3,375 $ $40,500 CAM Charges 75% on Retail 500 500 $ $6,000 Project Based Section 8 Unit Type Number TCAC Income Tier Sec 8 FMR (2010) Net Base Rent per unit (w/o Sec 8) Incremental Rent per unit (from Sec 8) Sec 8 Rent Annual Sec 8 Rent 0 / 1 40% 841 606 $ $ 235 - $ - $ 0 / 1 50% 841 765 $ 76 $ - $ - $ 1 / 1 40% 1,008 639 $ 369 $ - $ - $ 1 / 1 50% 1,008 809 $ 199 $ - $ - $ 1 / 1 60% 1,008 978 $ 30 $ - $ - $ 2 / 1 30% 1,240 556 $ 684 $ - $ - $ TOTAL - - $ 0.0% First Year Income/Expense Statement Scheduled Residential Gross Income (Non-MHSA) 232,068 $ Scheduled Residential Gross Income (MHSA) - $ MHSA Capitalized Operating Grant - $ Laundry Income 5,376 $ Gross Commercial Income 46,500 $ PRAC Operating Subsidy 209,822 $ Section 8 Increment - $ Residential Vacancy Loss 5% (11,872) $ Residential Vacancy Loss (MHSA) 10% - $ Commercial Vacancy Loss 50.00% (23,250) $ Effective Gross Income 458,644 $ Total Operating Expenses 5,800 $ per unit (371,200) $ Total Operating Expenses (MHSA units) 6,200 $ - $ Resident Services Fee 500 $ per unit (32,000) $ Resident Services Fee (MHSA units) 600 $ - $ Issuer Monitoring Fee 0.1000% on perm loan amount - $ Replacement Reserves 500 $ per unit (32,000) $ Replacement Reserves (MHSA) 500 $ - $ Net Operating Income 23,444 $ Debt Service Ratio 1.15 Available for debt service 20,386 $ MHP Debt Service - $ 0.42% - $ MHSA Debt Service - $ 0.42% - $ First Mortgage Debt Service 6.50% 15 yr. term 20,386 $ Section 8 Mortgage Debt Service 6.50% 15 yr. term 1.15 - $ - $ Maximum Section 8 Mortgage Amount: - $ Maximum Mortgage Amount: San Pablo Mixed Use, HUD, 4% 6-18-10 ---PAGE BREAK--- San Pablo Mixed Use, El Cerrito, HUD 202 & 4% Tax Credits CASH FLOW PROJECTION Year Infl./Vacancy 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Calendar Factors 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 Tenant Payments (Non-MHSA) 2.5% 232,068 237,870 243,816 249,912 256,160 262,564 269,128 275,856 282,752 289,821 297,067 304,493 312,106 319,908 327,906 Tenant Payments (MHSA) 2.5% 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Capitalized Operating Expenses (MHSA) 2.5% 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Other Income 1.0% 5,376 5,430 5,484 5,539 5,594 5,650 5,707 5,764 5,821 5,880 5,938 5,998 6,058 6,118 6,180 Commercial/Childcare Income 1.0% 46,500 46,965 47,435 47,909 48,388 48,872 49,361 49,854 50,353 50,856 51,365 51,879 52,397 52,921 53,451 PRAC Operating Subsidy 2.5% 209,822 229,440 238,744 248,433 258,521 269,024 279,958 291,339 303,186 315,515 328,345 341,696 355,588 370,040 385,076 Scheduled Gross Income 493,766 519,704 535,479 551,793 568,663 586,110 604,153 622,814 642,112 662,072 682,715 704,066 726,148 748,988 772,612 Residential Vacancy 5.0% (11,872) (23,637) (24,402) (25,194) (26,014) (26,862) (27,740) (28,648) (29,588) (30,561) (31,568) (32,609) (33,688) (34,803) (35,958) Residential Vacancy (MHSA) 10.0% 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Commercial Vacancy 50.0% (23,250) (23,483) (23,717) (23,954) (24,194) (24,436) (24,680) (24,927) (25,176) (25,428) (25,682) (25,939) (26,199) (26,461) (26,725) Effective Gross Income 458,644 472,585 487,360 502,644 518,455 534,812 551,733 569,238 587,348 606,083 625,465 645,517 666,262 687,724 709,929 Total Operating Expenses (non MHSA) 3.5% (371,200) (384,192) (397,639) (411,556) (425,961) (440,869) (456,300) (472,270) (488,800) (505,907) (523,614) (541,941) (560,909) (580,540) (600,859) Total Operating Expenses (MHSA) 3.5% 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Services Fee (Non MHSA) 3.5% (32,000) (33,120) (34,279) (35,479) (36,721) (38,006) (39,336) (40,713) (42,138) (43,613) (45,139) (46,719) (48,354) (50,047) (51,798) Services Fee (MHSA) 3.5% 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Issuer Monitoring Fee 0.1% 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Replacement Reserves 0.0% (32,000) (32,000) (32,000) (32,000) (32,000) (32,000) (32,000) (32,000) (32,000) (32,000) (32,000) (32,000) (32,000) (32,000) (32,000) Net Operating Income 23,444 23,273 23,442 23,609 23,774 23,937 24,097 24,255 24,411 24,563 24,712 24,857 24,999 25,137 25,271 Debt Service MHP 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Debt Service MHSA Capital 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Debt Service 1st Mortgage 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Debt Service 2nd Mortgage 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Net Available Cash 23,444 23,273 23,442 23,609 23,774 23,937 24,097 24,255 24,411 24,563 24,712 24,857 24,999 25,137 25,271 Debt Coverage Ratio #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! Asset Management Fee 5,000 $ (5,000) (5,175) (5,356) (5,544) (5,738) (5,938) (6,146) (6,361) (6,584) (6,814) (7,053) (7,300) (7,555) (7,820) (8,093) Deferred Developer Fee - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ Partnership Management Fee 15,000 $ (15,000) (15,525) (16,068) (16,631) (17,213) (17,815) (17,951) (17,894) (17,827) (17,748) (17,659) (17,558) (17,444) (17,318) (17,178) $ Available Cash Flow 3,444 2,573 2,017 1,435 824 183 0 0 0 0 0 0 0 0 0 Residual Receipts to City/County 50% (1,722) (1,286) (1,009) (717) (412) (92) 0 0 0 0 0 0 0 0 0 Residual Receipts to Eden 50% (1,722) (1,286) (1,009) (717) (412) (92) 0 0 0 0 0 0 0 0 0 Net Surplus Cash 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 San Pablo Mixed Use, HUD, 4% 6-18-10 ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 9% TAX CREDIT, PROJECT‐BASED SECTION 8 SCENARIO ---PAGE BREAK--- Total Number of Units 64 Density Ratio (Units per Acre) 69.57 Residential Area 39,534 Public Areas (Community Room & Circulation) 14,569 Childcare Center - Commercial/Retail Space 4,650 Podium-Parking Garage - Total Area 58,753 Residential/Commercial Proration Residential Percent Allocation by Construction Hard Costs 93.40% Percent Allocation by Sq. Ft. of building area 93.04% Affordability Mix 0BR 1BR 2BR Extremely Low Income Units @ 30% AMI 2 $448 $470 $556 Very Low Income Units @ 35% AMI - $527 $554 $658 Very Low Income Units @ 40% AMI 13 $606 $639 $759 Very Low Income Units @ 45% AMI - $685 $724 $861 Very Low Income Units @ 50% AMI 42 $765 $809 $963 Manager's Unit (2 BR) 1 $0 $0 $0 Total 64 Unit Mix Studio/1BA 2 1BR/1BA 60 2BR/1BA 2 Total 64 Number of Project-Based vouchers 32 DEVELOPMENT BUDGET Total Total Land & Improvements 4,120,000 $ Total Design & Consulting 1,245,000 $ Total Construction 12,726,959 $ Total Indirect Costs 4,121,596 $ Total Finance & Carry Costs 1,024,526 $ Total TCAC/Syndication 158,186 $ TOTAL DEVELOPMENT COSTS 23,396,268 $ PERMANENT SOURCES OF FINANCING City of El Cerrito RDA Land 3,900,000 $ City of El Cerrito RDA Financing 350,000 $ County of Contra Costa CDBG 2,000,000 $ County of Contra Costa HOME 2,500,000 $ MHSA Capital Grant 600,000 $ MHSA Capitalized Operating Subsidy 600,000 $ FHLB - AHP 630,000 $ LIH Tax Credit-LP Capital Contribution 11,071,471 $ LIH Tax Credit-GP Capital Contribution 1,107 $ Permanent Financing 1,036,312 $ Permanent Financing - Section 8 Mortgage 707,378 $ Deferred Developer Fee - $ TOTAL SOURCES OF FUNDS 23,396,268 $ Tax Credit Equity Yield (Federal/State) 0.80 $ Tax Credit Tie-Breaker Score 92.53% Additional Gap Funding Required - $ San Pablo Mixed Use, El Cerrito, 9% Tax Credits Financing Summary 0.92 s.f. s.f. s.f. s.f. s.f. s.f. Commercial 6.60% 6.96% Net Rent Per Unit 64,375 $ 19,453 $ 198,859 $ 64,400 $ 16,008 $ 2,472 $ 365,567 $ 9,375 $ 60,938 $ 31,250 $ 39,063 $ 5,469 $ 9,375 $ 11,053 $ - $ 365,567 $ N/A 9,844 $ 172,992 $ 17 $ 16,192 $ ---PAGE BREAK--- San Pablo Mixed Use, El Cerrito, 9% Tax Credits ASSUMPTIONS SITE and BUILDING RENTS and UTILITY ALLOWANCE FINANCING LAND RENT LEVEL MIX CONSTRUCTION LOAN (Conventional) Comments Purchase Price per unit $60,938 3,900,000 $ Loan Amount 10,803,956 $ Site Area (acres) per land sf $97 0.92 Unit Mix AMI Studios 1 Bed 2 Bed 3 Bed 4 Bed Total Construction Term 15 Site Area (Sq. Ft.) 40,075 C 0% of units @ 15% - Tax Credit Lease-up 6 Account for month tax credit lease up Density 69.57 C 9% of units @ 20% 1 5 6 HUD Lease-up 0 Account for 3 month HUD lease-up for mixed finance deals Buildable Site Area 40,075 B 0% of units @ 25% - Interest Rate 5.00% Net Density 69.57 B 3% of units @ 30% 1 1 2 Drawdown 0.50 formula is 50% during construction, 100% for closing term Percent Senior 100% A 0% of units @ 35% - Bond Fees 1.00% Origination UNITS 0 20% of units @ 40% 1 12 13 Expenses 43,250 $ Construction Inspection, Legal, Appraisal, Envt'l review # TCAC Min. SF Net Sq. Ft. Tot. Sq. Ft. 0% of units @ 45% - Prevailing Wage Monitor 20,000 $ If required Studio 2 500 (Max) 475 950 66% of units @ 50% 42 42 1 Bd: 60 500 615 36,900 0% of units @ 55% - FIRST MORTGAGE (Conventional) 2 Bd: 1 750 842 842 0% of units @ 60% - Loan Amount 1,036,312 $ 3 Bd: 0 1,000 1,195 - 0% of units @ Market - Term - Years 15 4 Bd/2Ba: 0 1,200 1,305 - Manager's 1 1 Interest Rate 7.50% Manager's Unit 1 842 842 Total 64 2 60 2 - - 64 Annual Debt Service 115,281 $ Total: 64 39,534 %/unit 96.9% 3% 94% 3% 0% 0% Minimum DCR 1.15 Total Gross SF w/out Common 39,534 Avg Aff. 44% 30% 45% 15% #DIV/0! #DIV/0! Loan-to-Value 4% COMMON AREAS Avg Rent #DIV/0! 448 $ 727 $ 278 $ #DIV/0! #DIV/0! Loan Fees 1.00% Origination # sq. ft. Tot. sq. ft. Loan Expenses 10,000 $ Legal + Appraisal Common Space 1 3,065 3,065 Kitchen 80 - NET RENTS AMI Studio 1 Bed 2 Bed 3 Bed 4 Bed TAX CREDITS Multipurpoose rooms 250 - 15% 211 216 251 286 313 TCAC Monitoring Fee unit) $410 Mgmt/Services Offices 200 - 20% 290 300 353 403 444 Federal Tax Credit Yield 0.80 Date Checked Copy Room/Storage 75 - 25% 369 385 455 521 575 Applicable Tax Credit %age 9.00% sunset date ~2016 1/4/2010 Toilet Rooms 100 - 30% 448 470 556 638 706 Unit Mix Points Computer Room 200 - 35% 527 554 658 755 837 10% of Units at 30% or less? Yes Mechanical/Utility 400 - 40% 606 639 759 873 968 TCAC Rents updated 5/14/10 6/13/2010 Date Checked Maint. Shop/Storage 200 - 45% 685 724 861 990 1,099 Utility Allowances updated 4/1/09 6/13/2010 Date Checked Pool Room 200 - 50% 765 809 963 1,108 1,230 Rural Census Tract No Trash & Chute Rooms 100 - 55% 844 893 1,064 1,225 1,361 DDA/QCT Yes Elevator 100 - 60% 923 978 1,166 1,342 1,492 Commercial/Childcare % (hard cost) 6.96% Comm'l/Childcare as % of TDC 4.84% Janitor 50 - 100% 1,556 1,656 1,979 2,282 2,540 Commercial/Childcare % (by Sq. Ft.) 7.91% Manager's 963 OPERATING EXPENSES Building Efficiency 67% Total Common Areas 3,065 Replacement Reserves (/unit) 400 $ Circulation SF 20% Total Residential Sq. Ft. 39,534 GROSS RENTS AMI Studio 1 Bed 2 Bed 3 Bed 4 Bed Replacement Reserves (/MHSA unit) 500 $ 500 is min. Common & Ancillary sq footage 5% 29.1% Circulation 11,504 15% 237 254 304 352 393 Operating Expenses (/unit) 5,800 $ Check comparable properties for operating expense projections Commercial sq. footage 8% Commercial Space 4,650 20% 316 338 406 469 524 Operating Expenses (/MHSA unit) 6,200 $ Childcare sq. footage 0% Childcare Space - 25% 395 423 508 587 655 Resident Services (/unit) 500 $ 30% 474 508 609 704 786 Resident Services (/MHSA unit) 600 $ Total Building Sq. Ft. 58,753 35% 553 592 711 821 917 Partnership Management Fee 25,000 $ 40% 632 677 812 939 1,048 Asset Management Fee 5,000 $ Total Garage Sq. Ft. - 45% 711 762 914 1,056 1,179 50% 791 847 1,016 1,174 1,310 Rental Inflation Factor 2.50% PARKING 55% 870 931 1,117 1,291 1,441 Revenue Inflation Factor 1.00% 60% 949 1,016 1,219 1,408 1,572 Expense Inflation Factor 3.50% Parking Required Units Ratio Spaces 100% 1,582 1,694 2,032 2,348 2,620 Residential Vacancy Rate 5.00% Studio 2 0.50 1 Manager's Commercial Vacancy Rate 50.00% 1 Bedroom 60 0.50 30 Utilities 26 38 53 66 80 Laundry Income (PUPM) 7 $ 2+ Bedroom 2 0.50 1 Commercial 4,650 0.33% 16 INCOME REQUIREMENTS AMI 1 Person 2 Persons 3 Persons 4 Persons 5 Persons 6 Persons 7 Persons Total Spaces 48 15% 9,495 $ 10,845 $ 12,195 $ 13,545 $ 14,640 $ 15,720 $ 16,800 $ COSTS OF BOND ISSUANCE 20% 12,660 $ 14,460 $ 16,260 $ 18,060 $ 19,520 $ 20,960 $ 22,400 $ Bond Counsel 40,000 $ Parking Provided Spaces Sq. Ft. Tot. Sq. Ft. 25% 15,825 $ 18,075 $ 20,325 $ 22,575 $ 24,400 $ 26,200 $ 28,000 $ Bank Counsel 40,000 $ Surface (incl. street) 44 300 13,200 30% 18,990 $ 21,690 $ 24,390 $ 27,090 $ 29,280 $ 31,440 $ 33,600 $ Issuer Fee - $ on construction bond (CMFA) Carports - 300 - 35% 22,155 $ 25,305 $ 28,455 $ 31,605 $ 34,160 $ 36,680 $ 39,200 $ Issuer Monitoring Fee during construc - $ 10bps/year (2 yrs) Tuck-Under/Garages - 325 - 40% 25,320 $ 28,920 $ 32,520 $ 36,120 $ 39,040 $ 41,920 $ 44,800 $ Issuer Legal 10,000 $ Podium - 360 - 45% 28,485 $ 32,535 $ 36,585 $ 40,635 $ 43,920 $ 47,160 $ 50,400 $ CDLAC Application Fee 2,000 $ Total 44 13,200 50% 31,650 $ 36,150 $ 40,650 $ 45,150 $ 48,800 $ 52,400 $ 56,000 $ CDLAC Allocation Fee 5,942 $ .055% fee on construction bond Required Parking Ratio 0.75 55% 34,815 $ 39,765 $ 44,715 $ 49,665 $ 53,680 $ 57,640 $ 61,600 $ CDLAC Fee 2,161 $ 2 basis points or $4000 Actual Parking Ratio 0.69 60% 37,980 $ 43,380 $ 48,780 $ 54,180 $ 58,560 $ 62,880 $ 67,200 $ Title 10,000 $ 100% 63,300 $ 72,300 $ 81,300 $ 90,300 $ 97,600 $ 104,800 $ 112,000 $ Financial Consultant 10,000 $ Attorney 10,000 $ UTILITY ALLOWANCES HACCC, updated 4/1/09 Misc. 5,000 $ Included? Studio 1 Bed 2 Bed 3 Bed 4 Bed TOTAL 135,103 $ 1.25% = percent of TE loan Cooking gas 5 7 9 11 13 electric 1 5 6 9 11 13 Basic Electricity 1 13 19 26 32 39 Heating gas 13 15 18 20 22 electric 1 8 13 18 23 28 Water Heating electric 8 14 20 25 31 gas 8 13 18 23 28 Water 22 27 32 36 41 Sewer 28 28 28 28 28 Air Conditioning 0 1 1 2 2 Garbage 38 38 38 38 38 TOTAL 26 38 53 66 80 San Pablo Mixed Use 9% 6-18-10 6/21/2010 ---PAGE BREAK--- San Pablo Mixed Use, El Cerrito, 9% Tax Credits SOURCES AND USES OF FUNDS SOURCES of FUNDS TOTAL Acq./Predev. Construction Permanent % of Total Commercial Per Unit Assumptions TERMS Other Contribution - $ - $ - $ 0.00% - $ 2.00% 36 months Other Predevelopment Loan: LOC/Opportunity Fund - $ - $ - $ 0.00% - $ 6.00% Eden LOC (prime City of El Cerrito RDA Land 3,900,000 $ 3,900,000 $ - $ 16.67% 60,938 $ Loan - 55 yr deferred loan @ 3% simple City of El Cerrito RDA Financing 350,000 $ 350,000 $ - $ 1.50% 5,469 $ County of Contra Costa CDBG 2,000,000 $ 2,000,000 $ 8.55% 31,250 $ Loan - 55 yr deferred loan @ 3% simple County of Contra Costa HOME 2,500,000 $ 954,871 $ 1,545,129 $ 10.69% 39,063 $ Loan - 55 yr deferred loan @ 3% simple HCD MHP Loan - $ - $ 0.00% - $ - $ None National Housing Trust Fund - $ 0.00% - $ MHSA Capital Grant 600,000 $ 600,000 $ 2.56% 9,375 $ MHSA Capitalized Operating Subsidy 600,000 $ 600,000 $ 2.56% 9,375 $ Construction Loan - $ 10,803,956 $ (10,803,956) $ 0.00% - $ 5.00% int Construction Loan @ FHLB - AHP 630,000 $ - $ 630,000 $ - $ 2.69% 9,844 $ Loan @ 0% LIH Tax Credit-LP Capital Contribution 11,071,471 $ - $ 1,107,016 $ 9,964,456 $ 47.32% 172,992 $ .80 cents 9% credits LIH Tax Credit-GP Capital Contribution 1,107 $ - $ - $ 1,107 $ 0.00% 17 $ Permanent Financing 1,036,312 $ - $ - $ 1,036,312 $ 4.43% 16,192 $ 7.50% int 15 yr. term Permanent Financing - Section 8 Mortgage 707,378 $ - $ - $ 707,378 $ 3.02% 11,053 $ 7.50% int 15 yr. term Deferred Developer Fee - $ - $ - $ 0.00% - $ - $ - $ 0.00% - $ GAP: - $ - $ - $ - $ 0.00% - $ Loan - 55 yr deferred loan @ 3% simple TOTAL SOURCES 23,396,268 $ 1,304,871 $ 19,986,100 $ 2,105,297 $ 100.00% - $ 365,567 $ Surplus/(Deficit) 0 0 0 0 USES of FUNDS TOTAL Acq./Predev. Construction Permanent Basis Eligible Commercial Cost/Unit Cost/SqFt Assumptions Comments LAND & IMPROVEMENTS: Land Cost 3,900,000 $ 3,900,000 $ - $ - $ 60,938 $ 66 $ Permanent Relocation - $ - $ - $ - $ - $ - $ - $ Demolition 150,000 $ 150,000 $ - $ - $ 2,344 $ 3 $ Environmental Remediation 40,000 $ 40,000 $ - $ - $ 625 $ 1 $ Site Maintenance (i.e. Security, Clean-Up) 5,000 $ 5,000 $ - $ 5,000 $ 78 $ 0 $ Site Value Beyond Cost - $ - $ - $ - $ - $ - $ - $ Title & Escrow - Land Acquisition 10,000 $ 10,000 $ - $ - $ 156 $ 0 $ Legal - Land Acquisition 15,000 $ 15,000 $ - $ - $ 234 $ 0 $ Total Land & Improvements 4,120,000 $ - $ 4,120,000 $ - $ 5,000 $ - $ 64,375 $ 70 $ DESIGN & CONSULTING: Architect 950,000 $ 712,500 $ 237,500 $ - $ 883,838 $ 66,162 $ 14,844 $ 16 $ 8.00% Civil Engineering/Joint Trench Utility Design 75,000 $ 75,000 $ - $ - $ 69,777 $ 5,223 $ 1,172 $ 1 $ Construction Estimating/Management Services 75,000 $ 20,000 $ 55,000 $ - $ 69,777 $ 5,223 $ 1,172 $ 1 $ Engineering Reports (i.e. Topo, Noise, Soils, Traffic, Biology) 50,000 $ 50,000 $ - $ - $ 46,518 $ 3,482 $ 781 $ 1 $ Environmental 20,000 $ 20,000 $ - $ - $ 18,607 $ 1,393 $ 313 $ 0 $ Testing & Inspection 75,000 $ - $ 75,000 $ - $ 69,777 $ 5,223 $ 1,172 $ 1 $ Total Design & Consulting 1,245,000 $ 877,500 $ 367,500 $ - $ 1,158,293 $ 86,707 $ 19,453 $ 21 $ CONSTRUCTION: Off-Site Improvements 120,226 $ - $ 120,226 $ - $ 111,853 $ 8,373 $ 1,879 $ 2 $ $3.00 On-Site Improvements 414,000 $ - $ 414,000 $ - $ 385,167 $ 28,833 $ 6,469 $ 7 $ $450,000 per acre estimate Commercial/Childcare Construction 418,500 $ - $ 418,500 $ 418,500 $ 6,539 $ 7 $ $90 based on On Lok shell/Peralta Retail/Tenant Improvements 189,000 $ 189,000 $ - $ 189,000 $ 2,953 $ 3 $ $41 Clinic: Full TI's; Retail: TI Allowance Unit Construction 8,115,450 $ - $ 8,115,450 $ - $ 8,115,450 $ - $ 126,804 $ 138 $ $150 Based on Cost Study, Peralta Podium/Garage - $ - $ - $ - $ - $ - $ - $ - $ $30,000 per space General Requirements 601,716 $ - $ 601,716 $ - $ 559,811 $ 41,906 $ 9,402 $ 10 $ 6.5% estimate GC Contingency 197,178 $ - $ 197,178 $ 183,446 $ 13,732 $ 3,081 $ 3 $ 2% Contractor Overhead & Profit 502,803 $ - $ 502,803 $ - $ 467,786 $ 35,017 $ 7,856 $ 9 $ 5.0% estimate Contractors Bond & Insurance 158,383 $ - $ 158,383 $ - $ 147,353 $ 11,030 $ 2,475 $ 3 $ 1.5% estimate Pricing Escalation/Design Contingency 1,339,657 $ - $ 1,339,657 $ - $ 1,246,358 $ 93,299 $ 20,932 $ 23 $ 12.5% 3 yrs escalation, 5% code/design changes Furniture, Fixtures & Equipment (common area) 64,000 $ - $ 64,000 $ - $ 64,000 $ 1,000 $ 1 $ Construction Contingency 606,046 $ - $ 606,046 $ - $ 606,046 $ 9,469 $ 10 $ 5.00% Total Construction 12,726,959 $ - $ 12,726,959 $ - $ 11,887,269 $ 839,690 $ 198,859 $ 217 $ 256 per NRSF, excl. commcl, conting, escalation & FF&E INDIRECT COSTS: Permits & Fees (w/conting & Credit) 1,358,331 $ 135,833 $ 1,222,498 $ - $ 1,263,732 $ 94,599 $ 21,224 $ 23 $ per fee schedule 2009-2010 + 10% contingency City Consulting, Legal & Entitlements 50,000 $ 50,000 $ - $ - $ 46,518 $ 3,482 $ 781 $ 1 $ estimate Legal Fees - Constr. Loan Closing 35,000 $ - $ 35,000 $ - $ 35,000 $ 547 $ 1 $ Legal Fees - Perm. Loan Closing 25,000 $ - $ - $ 25,000 $ 25,000 $ 391 $ 0 $ Legal Fees - Organization 6,000 $ 6,000 $ - $ - $ 6,000 $ 94 $ 0 $ Audit Fees 22,000 $ - $ - $ 22,000 $ - $ 344 $ 0 $ Sponsor Administration 1,400,000 $ 75,000 $ 250,000 $ 1,075,000 $ 1,302,499 $ 97,501 $ 21,875 $ 24 $ Appraisal 10,000 $ 10,000 $ - $ - $ - $ 156 $ 0 $ Market Study 20,000 $ 20,000 $ - $ - $ 20,000 $ 313 $ 0 $ Rent/Up Marketing 74,000 $ - $ 74,000 $ - $ - $ 1,156 $ 1 $ 1000 Reserves: - $ - $ - $ - $ - $ - $ Marketing & Bond Reserves - $ - $ - $ - $ - $ - $ - $ Initial Services Reserve 80,000 $ - $ 80,000 $ - $ 1,250 $ 1 $ 25.0% Operating Reserve 291,285 $ - $ - $ 291,285 $ - $ 4,551 $ 5 $ 6 Months operating costs & debt service MHSA Capitalized Operating Subsidy Reserve 600,000 $ 600,000 $ 9,375 $ 10 $ Section 8 MHP Transition Reserve (combined) - $ - $ - $ - $ 0.0 years of debt service Partnership Management - $ - $ - $ - $ - $ - $ - $ Investor Services Fee Reserve - $ - $ - $ - $ - $ - $ - $ HUD MCI - $ - $ - $ - $ - $ - $ - $ Soft Costs Contingency 149,980 $ 35,000 $ 114,980 $ - $ 139,535 $ 10,445 $ 2,343 $ 3 $ 3% Total Indirect Costs 4,121,596 $ 331,833 $ 1,696,478 $ 2,093,285 $ 2,838,283 $ 206,028 $ 64,400 $ 70 $ FINANCE & CARRYING COSTS: Liability/COC Insurance 158,451 $ - $ 158,451 $ - $ 158,451 $ 2,476 $ 3 $ 0.6450% Real Estate Taxes 11,700 $ 50,700 $ (39,000) $ 11,700 $ 183 $ 0 $ 1.150% assumes take title at construction close Predevelopment Loan Interest 10,000 $ 10,000 $ - $ - $ 10,000 $ 156 $ 0 $ Costs of Issuance (Bonds) - $ - $ - $ - $ - $ - $ - $ N/A Construction Loan Fees 108,040 $ - $ 108,040 $ - $ 108,040 $ 1,688 $ 2 $ 1.00% Construction Loan Interest 607,723 $ - $ 607,723 $ - $ 337,624 $ 9,496 $ 10 $ 50% AOB during construction, 100% AOB post construction Permanent Financing Fees & Expenses 20,363 $ 10,182 $ - $ 10,182 $ 20,363 $ 318 $ 0 $ 1.0% Title & Escrow - Construction Loan 30,000 $ - $ 30,000 $ - $ 30,000 $ 469 $ 1 $ Title & Escrow - Permanent Loan 15,000 $ - $ - $ 15,000 $ - $ 234 $ 0 $ Lender-Appraisal, Legal & Consulting (Inspections incl) 63,250 $ 8,000 $ 55,250 $ - $ 63,250 $ 988 $ 1 $ Total Finance & Carry Costs 1,024,526 $ 28,182 $ 1,010,163 $ (13,818) $ 739,428 $ - $ 16,008 $ 17 $ TAX CREDITS/SYNDICATION EXPENSES: TCAC Application Fee 2,000 $ 2,000 $ - $ - $ - $ 31 $ 0 $ TCAC Allocation Fee 55,356 $ 55,356 $ - $ - $ - $ 865 $ 1 $ 4% of annual tax credit allocation TCAC Performance Deposit - $ - $ - $ - $ - $ - $ - $ 0% of annual tax credit allocation TCAC Performance Deposit Refund - $ - $ - $ - $ - $ - $ - $ TCAC Monitoring Fee 25,830 $ - $ - $ 25,830 $ - $ 404 $ 0 $ 410 per unit (not including manager's unit) CDLAC Performance Deposit - $ - $ - $ - $ - $ - $ - $ 0.0% of bond allocation CDLAC Performance Deposit Refund - $ - $ - $ - $ - $ - $ - $ Syndication Consultant 35,000 $ 10,000 $ 25,000 $ - $ - $ 547 $ 1 $ Syndication Legal Fees 40,000 $ 40,000 $ - $ - $ 625 $ 1 $ Syndication-Investor Legal - $ - $ - $ - $ - $ - $ - $ Syndication Other: Bridge Loan Fees - $ - $ - $ - $ - $ - $ - $ Syndication Other: Bridge Loan/Dev Fee Interest - $ - $ - $ - $ - $ - $ - $ Total TCAC/Syndication 158,186 $ 67,356 $ 65,000 $ 25,830 $ - $ - $ 2,472 $ 3 $ TOTAL DEVELOPMENT EXPENSES 23,396,268 $ 1,304,871 $ 19,986,100 $ 2,105,297 $ 16,628,273 $ 1,132,425 $ 365,567 $ 398 $ Eden Housing, Inc. 22645 Grand Street Hayward, CA 94541 (510) 582-1460 San Pablo Mixed Use 9% 6-18-10 ---PAGE BREAK--- San Pablo Mixed Use, El Cerrito, 9% Tax Credits PROJECT INCOME CALCULATION LIHTC Residential Income Calculation Bedrooms Rent as % Gross Rent Less Utility Net Rent Number of Total Total Annual Comments Baths of Median Allowance Units Income Income Income 0 / 1 15% 237 $ 26 $ 211 $ - - $ - $ 20% 316 $ 26 $ 290 $ 1 290 $ 3,480 $ 25% 395 $ 26 $ 369 $ - - $ - $ 30% 474 $ 26 $ 448 $ - - $ - $ 35% 553 $ 26 $ 527 $ - - $ - $ 40% 632 $ 26 $ 606 $ 1 606 $ 7,272 $ 45% 711 $ 26 $ 685 $ - - $ - $ 50% 791 $ 26 $ 765 $ - - $ - $ 55% 870 $ 26 $ 844 $ - - $ - $ 60% 949 $ 26 $ 923 $ - - $ - $ Market 1,582 $ 26 $ 1,556 $ - - $ - $ 1 / 1 15% 254 $ 38 $ 216 $ - - $ - $ 20% 338 $ 38 $ 300 $ 5 1,500 $ 18,000 $ 25% 423 $ 38 $ 385 $ - - $ - $ 30% 508 $ 38 $ 470 $ 1 470 $ 5,640 $ 35% 592 $ 38 $ 554 $ - - $ - $ 40% 677 $ 38 $ 639 $ 12 7,668 $ 92,016 $ 45% 762 $ 38 $ 724 $ - - $ - $ 50% 847 $ 38 $ 809 $ 42 33,978 $ 407,736 $ 55% 931 $ 38 $ 893 $ - - $ - $ 60% 1,016 $ 38 $ 978 $ - - $ - $ Market 1,694 $ 38 $ 1,656 $ - - $ - $ 2 / 1 15% 304 $ 53 $ 251 $ - - $ - $ 20% 406 $ 53 $ 353 $ - - $ - $ 25% 508 $ 53 $ 455 $ - - $ - $ 30% 609 $ 53 $ 556 $ 1 556 $ 6,672 $ 35% 711 $ 53 $ 658 $ - - $ - $ 40% 812 $ 53 $ 759 $ - - $ - $ 45% 914 $ 53 $ 861 $ - - $ - $ 50% 1,016 $ 53 $ 963 $ - - $ - $ 55% 1,117 $ 53 $ 1,064 $ - - $ - $ 60% 1,219 $ 53 $ 1,166 $ - - $ - $ Market 2,032 $ 53 $ 1,979 $ 1 - $ - $ Manager's unit TOTAL 64 45,068 $ 540,816 $ 519,336 $ Total Rents less MHSA units Additional Income Calculation Laundry Laundry Per Unit Per Month Per Unit Per Year Total Per Year 7 $ 84 $ 5,376 $ Retail/Childcare Lease Payments Rent/SF Income Annual Income Lease On Retail Only 1.50 3,375 $ $40,500 CAM Charges 75% on Retail 500 500 $ $6,000 Project Based Section 8 Unit Type Number TCAC Income Tier Sec 8 FMR (2010) Net Base Rent per unit (w/o Sec 8) Incremental Rent per unit (from Sec 8) Sec 8 Rent Annual Sec 8 Rent 0 / 1 1 40% 841 606 $ $ 235 235 $ 2,820 $ 0 / 1 - 50% 841 765 $ 76 $ - $ - $ 1 / 1 5 40% 1,008 639 $ 369 $ 1,845 $ 22,140 $ 1 / 1 26 50% 1,008 809 $ 199 $ 5,174 $ 62,088 $ 2 / 1 1 30% 1,240 556 $ 684 $ 684 $ 8,208 $ TOTAL 32 95,256 $ 50.8% First Year Income/Expense Statement Scheduled Residential Gross Income (Non-MHSA) 519,336 $ Scheduled Residential Gross Income (MHSA) 15,588 $ MHSA Capitalized Operating Grant 32,115 $ Laundry Income 5,376 $ Gross Commercial Income 46,500 $ Section 8 Increment 95,256 $ Residential Vacancy Loss 5% (30,998) $ Residential Vacancy Loss (MHSA) 10% (1,559) $ Commercial Vacancy Loss 50.00% (23,250) $ Effective Gross Income 658,364 $ Total Operating Expenses 5,800 $ per unit (336,400) $ Total Operating Expenses (MHSA units) 6,200 $ (37,200) $ Resident Services Fee 500 $ per unit (29,000) $ Resident Services Fee (MHSA units) 600 $ (3,600) $ Issuer Monitoring Fee 0.0000% on perm loan amount - $ Replacement Reserves 400 $ per unit (23,200) $ Replacement Reserves (MHSA) 500 $ (3,000) $ Net Operating Income 225,964 $ Debt Service Ratio 1.15 Available for debt service 117,801 $ MHP Debt Service - $ 0.42% - $ MHSA Debt Service 600,000 $ 0.42% 2,520 $ First Mortgage Debt Service 7.50% 15 yr. term 115,281 $ Section 8 Mortgage Debt Service 7.50% 15 yr. term 1.15 78,690 $ 1,036,312 $ Maximum Section 8 Mortgage Amount: 707,378 $ Maximum Mortgage Amount: San Pablo Mixed Use 9% 6-18-10 ---PAGE BREAK--- San Pablo Mixed Use, El Cerrito, 9% Tax Credits CASH FLOW PROJECTION Year Infl./Vacancy 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Calendar Factors 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 Tenant Payments (Non-MHSA) 2.5% 519,336 532,319 545,627 559,268 573,250 587,581 602,271 617,327 632,760 648,579 664,794 681,414 698,449 715,910 733,808 Tenant Payments (MHSA) 2.5% 15,588 15,978 16,377 16,787 17,206 17,636 18,077 18,529 18,992 19,467 19,954 20,453 20,964 21,488 22,025 Capitalized Operating Expenses (MHSA) 2.5% 32,115 33,203 34,332 35,505 36,722 38,135 39,446 40,807 42,219 43,685 45,364 46,943 48,581 50,281 52,046 Other Income 1.0% 5,376 5,430 5,484 5,539 5,594 5,650 5,707 5,764 5,821 5,880 5,938 5,998 6,058 6,118 6,180 Commercial/Childcare Income 1.0% 46,500 46,965 47,435 47,909 48,388 48,872 49,361 49,854 50,353 50,856 51,365 51,879 52,397 52,921 53,451 Section 8 Income 2.5% 95,256 97,637 100,078 102,580 105,145 107,773 110,468 113,229 116,060 118,962 121,936 124,984 128,109 131,311 134,594 Scheduled Gross Income 714,171 731,532 749,334 767,588 786,305 805,648 825,329 845,511 866,207 887,430 909,351 931,670 954,558 978,031 1,002,104 Residential Vacancy 5.0% (30,998) (31,769) (32,559) (33,369) (34,199) (35,050) (35,922) (36,816) (37,732) (38,671) (39,633) (40,620) (41,631) (42,667) (43,729) Residential Vacancy (MHSA) 10.0% (1,559) (1,598) (1,638) (1,679) (1,721) (1,764) (1,808) (1,853) (1,899) (1,947) (1,995) (2,045) (2,096) (2,149) (2,203) Commercial Vacancy 50.0% (23,250) (23,483) (23,717) (23,954) (24,194) (24,436) (24,680) (24,927) (25,176) (25,428) (25,682) (25,939) (26,199) (26,461) (26,725) Effective Gross Income 658,364 674,683 691,420 708,585 726,191 744,398 762,919 781,915 801,399 821,384 842,040 863,066 884,633 906,755 929,447 Total Operating Expenses (non MHSA) 3.5% (336,400) (348,174) (360,360) (372,973) (386,027) (399,538) (413,521) (427,995) (442,975) (458,479) (474,525) (491,134) (508,323) (526,115) (544,529) Total Operating Expenses (MHSA) 3.5% (37,200) (38,502) (39,850) (41,244) (42,688) (44,182) (45,728) (47,329) (48,985) (50,700) (52,474) (54,311) (56,212) (58,179) (60,215) Services Fee (Non MHSA) 3.5% (29,000) (30,015) (31,066) (32,153) (33,278) (34,443) (35,648) (36,896) (38,187) (39,524) (40,907) (42,339) (43,821) (45,355) (46,942) Services Fee (MHSA) 3.5% (3,600) (3,726) (3,856) (3,991) (4,131) (4,276) (4,425) (4,580) (4,741) (4,906) (5,078) (5,256) (5,440) (5,630) (5,827) Issuer Monitoring Fee 0.0% 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Replacement Reserves 0.0% (26,200) (26,200) (26,200) (26,200) (26,200) (26,200) (26,200) (26,200) (26,200) (26,200) (26,200) (26,200) (26,200) (26,200) (26,200) Net Operating Income 225,964 228,066 230,088 232,024 233,867 235,760 237,395 238,915 240,311 241,575 242,854 243,826 244,636 245,276 245,733 Debt Service MHP 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Debt Service MHSA Capital (2,520) (2,520) (2,520) (2,520) (2,520) (2,520) (2,520) (2,520) (2,520) (2,520) (2,520) (2,520) (2,520) (2,520) (2,520) Debt Service 1st Mortgage (115,281) (115,281) (115,281) (115,281) (115,281) (115,281) (115,281) (115,281) (115,281) (115,281) (115,281) (115,281) (115,281) (115,281) (115,281) Debt Service 2nd Mortgage (78,690) (78,690) (78,690) (78,690) (78,690) (78,690) (78,690) (78,690) (78,690) (78,690) (78,690) (78,690) (78,690) (78,690) (78,690) Net Available Cash 29,474 31,575 33,597 35,533 37,376 39,269 40,904 42,424 43,820 45,084 46,364 47,335 48,146 48,785 49,242 Debt Coverage Ratio 1.15 1.16 1.17 1.18 1.19 1.20 1.21 1.22 1.22 1.23 1.24 1.24 1.25 1.25 1.25 Asset Management Fee 5,000 $ (5,000) (5,175) (5,356) (5,544) (5,738) (5,938) (6,146) (6,361) (6,584) (6,814) (7,053) (7,300) (7,555) (7,820) (8,093) Deferred Developer Fee - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ Partnership Management Fee 25,000 $ (24,474) (25,875) (26,781) (27,718) (28,688) (29,692) (30,731) (31,807) (32,920) (34,072) (35,265) (36,499) (37,777) (39,099) (40,467) Available Cash Flow 0 525 1,461 2,272 2,951 3,639 4,027 4,256 4,316 4,197 4,046 3,536 2,814 1,866 682 Residual Receipts to City/County 50% 0 (263) (730) (1,136) (1,475) (1,819) (2,013) (2,128) (2,158) (2,099) (2,023) (1,768) (1,407) (933) (341) Residual Receipts to Eden 50% 0 (263) (730) (1,136) (1,475) (1,819) (2,013) (2,128) (2,158) (2,099) (2,023) (1,768) (1,407) (933) (341) Net Surplus Cash 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 ---PAGE BREAK--- Response to Request for Qualifications / Proposals Eden Housing, Inc. El Cerrito Redevelopment Agency June 21, 2010 Mixed Use Development Site 7. Project Schedule ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 7. PROJECT SCHEDULE This schedule was prepared based on the timelines outlined in the Request for Proposals and upon Eden’s prior experience. This schedule could be expedited if the entitlement process proceeds faster than expected, but only to the extent that earlier funding application deadlines could also be met. Developer Selection Process April 2010 – September 2010 Proposals Submitted Developer Short List Interviews Developer Selection Preparation of Exclusive Negotiation Agreement Site Acquisition Negotiate & Execute Development & Disposition Agreement September 2010 – Summer 2011 Site Due Diligence September 2010 – January 2011 Prepare Loan and Regulatory Documents (post-entitlements) March 2011 – June 2011 Acquire Site (Assumed at construction close as earlier land transfer would increase holding costs) Conceptual & Schematic Design Conceptual Plans September 2010 – October 2010 Schematic Design November 2010 – June 2011 Community Process November 2010 – March 2011 Community & Stakeholder meetings Design Response Public Hearings Entitlements Preliminary Planning Application Review/ Process October 2010 Conceptual Design Review with Design Review Board January 2011 Submit Planning Application February 2011 Staff Code Compliance Review March 2011 Outside Consultant Design Review March 2011 CEQA/Environmental Studies (Parking, Traffic, Noise, Air Quality) February 2011 – April 2011 CEQA Issue MND May 2011 Negative Declaration Review Period (20-30 days) June 2011 Planning Commission Public Hearing and Approval May 2011 Design Review Public Hearing and Approval June 2011 City Council Approval, if necessary July 2011 Building Department Submittal Design Development August 2011 – October 2011 Construction Documents November 2011 – July 2012 Plan Check Review January 2012 – July 2012 ---PAGE BREAK--- City of El Cerrito Redevelopment Agency Response to Request for Proposals Mixed‐Use Development Site Eden Housing, Inc. June 2010 Construction Bidding July 2012 – August 2012 Construction Contract Ready October 2012 Building Permits Ready October 2012 Financing Option 1: HUD 202/4% Tax Credits Submit County HOME Application December 2010 & December 2011 Submit HUD 202 Application Summer/Fall 2010 & 2011 HUD 202 Award* Winter/Spring 2011 or 2012 Submit HUD Firm Commitment Application October 2012 Submit 4% TCAC/Tax-Exempt Bond Applications March 2013 TCAC/Tax-Exempt Bond Allocation May 2013 Close Construction Financing July 2013 Close Permanent Financing July 2015 Financing Option 2: 9% Tax Credits Submit County HOME Application Dec. 2010, Dec. 2011, Dec. 2012 Submit 9% TCAC Application March 2013 TCAC Allocation May 2013 Close Construction Financing October 2013 Close Permanent Financing August 2015 Construction** Construction Start July 2013 Construction Completion (15 months) October 2014 Lease-up (begin 6 mo. prior to expected completion) April 2014 – November 2014 *if awarded HUD 202 funds on first application, the schedule may advance up to one year **approximately 3 months later under the 9% Tax Credit financing scenario