§ 4565.05. Additional requirements for owner-occupied affordable housing units.

(A)

To be eligible for incentives under this chapter, project sponsors developing projects to include owner-occupied housing units shall, in addition to the applicable agreement requirements set forth in Section 4565.07 or Section 4565.08 of this chapter, be required to enter into an agreement with the City and/or execute such restrictive covenants, including but not limited to condominium terms, as are determined necessary by the Director and the City Attorney to provide that all owner-occupied units that will be credited as affordable housing units shall remain affordable for the duration of any abatement provided for the unit under this chapter. If the development project includes a condominium association or homeowners' association, the condominium association or homeowners' association shall be a party to the agreement.

(B)

Initial Pricing . The initial sale price of an affordable housing unit that is to be owner-occupied shall be determined such that the annual costs of ownership, assuming a thirty-year fixed rate mortgage and down payment of three percent (3%), will result in the unit being an affordable housing unit as defined in this chapter.

(C)

Resale : For development projects of four (4) or more housing units, the Director shall adopt rules to establish the resale price of owner-occupied affordable housing units subject to this chapter. Such rules shall consider the purposes of this chapter to encourage provision of affordable housing throughout the city while enabling owner-occupant sellers of affordable housing units to realize a reasonable return on the sale of the housing unit, including consideration of improvements made to the housing unit by the owner-occupant. For development projects consisting of new construction of three (3) or fewer housing units in Market Ready Areas, the real property tax abatement provided under this chapter shall cease upon transfer of the property that is not in conformance with deed restrictions for affordability.

(D)

The project sponsor or (if the project sponsor has divested its ownership or control of the development project) the condominium association or homeowners' association, shall be responsible for reporting to the Director the number of affordable housing units in the development project for the duration of the abatement period.

(Ord. No. 2184-2018 , § 1, 7-30-2018)