Comprehensive Annual Financial Report - City of Santa Monica

CITY OF SANTA MONICA, CALIFORNIA
Notes to Basic Financial Statements, Continued
For the fiscal year ended June 30, 2009
Downtown Redevelopment Fund
h. Promissory notes in the amount of $4,458,033, $1,691,967 and $950,000 for a total of $7,100,000
were executed with 26 th and Santa Monica Family Housing Limited Partnership, c/o Community
Corporation of Santa Monica, for an affordable housing project located at 1349 26 th Street. Fortyfour
low- and moderate-incoming housing units are to be constructed on the site. They are 55-year
loans with 3% interest rate per annum. Payments are to be made from residual receipts. As of
June 30, 2009, $1,244,000 had been disbursed to the borrower.
i. A promissory note in the amount of $4,234,507 was executed with The Tahiti, L.P. c/o Community
Corporation of Santa Monica for an affordable housing project located at 2411-2423 Centinela
Avenue. The loan is for the construction of 36 affordable rental housing units. This is a 55-year
loan with a simple interest rate of 3% per annum. Payments are to be made from residual receipts.
As of June 30, 2009, $679,000 had been disbursed to the borrower.
Earthquake Recovery Redevelopment Fund
j. Promissory notes in the amount of $4,458,033, $1,691,967 and $950,000 for a total of $7,100,000
were executed with 26 th and Santa Monica Family Housing Limited Partnership, c/o Community
Corporation of Santa Monica, for an affordable housing project located at 1349 26 th Street. Fortyfour
low- and moderate-income housing units are to be constructed on the site. They are 55-year
loans with 3% interest rate per annum. Payments are to be made from residual receipts. As of June
30, 2009, $318,307 had been disbursed to the borrower.
k. A promissory note in the amount of $4,234,507 was executed with The Tahiti, L.P. c/o Community
Corporation of Santa Monica for an affordable housing project located at 2411-2423 Centinela
Avenue. The loan is for the construction of 36 affordable rental housing units. This is a 55-year
loan with a simple interest rate of 3% per annum. Payments are to be made from residual receipts.
As of June 30, 2009, $398,362 had been disbursed to the borrower.
Non-major Governmental Funds
l. On April 17, 2000, the City executed a promissory note with Community Corporation of Santa
Monica for the construction of a twenty unit, large family, affordable housing complex located at
708 Pico Blvd. $579,000 is funded from the City’s Pico Neighborhood Trust Fund, while $221,000
is funded from the City-wide CDBG Fund. This note is a 0% loan to be repaid from residual
receipts of the project and is due on October 22, 2053. As of June 30, 2009, the outstanding balance
is $681,080.
m. A revised promissory note in the amount of $2,900,000 was executed with 1424 Broadway
Apartments Limited Partnership, c/o Community Corporation of Santa Monica, for an affordable
housing project located at 1424 Broadway/1512 15th Street. This is a 55-year loan with 3% interest
rate per annum. Payments are to be made from residual receipts. As of June 30, 2009, $2,900,000
had been disbursed to the borrower.
n. A promissory note in the amount of $575,000 was executed with Habitat for Humanity – Los
Angeles for an affordable housing project located at 2018 Nineteenth Street. This loan was for the
acquisition of a vacant parcel of land where Habitat would build up to six new ownership units that
would be sold to very low income buyers. This was a 0% loan with the principal amount due and
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