At the June 10 Livermore City Council meeting, a motion to accept purchase, sale and loan and regulatory agreements with Tri-Valley REACH for two properties was unanimously accepted.
Francis Reisner, housing program manager, noted that in March a disposition plan was approved by the council for five townhouses in the Stations Development in downtown. The disposition authorized working with Tri-Valley REACH to acquire a vacant unit at Gillete Place along with one additional unit, if available, to provide affordable housing.
Four tenants were offered the ability to purchase units that they occupied with down payment assistance to do so. Only one of the four tenants pursued this option. The other three tenants will be vacating their units within the next three months. REACH also wishes to purchase a second unit located on L Street.
REACH requires secondary financing from the city to purchase the units so that the units can be available for those who are only able to pay extremely low rents. REACH will pay the city $175,000 for each of the properties from their own funds and a private bank loan. The city would hold a second silent loan for $495,000 for each property. These two amounts equal the fair market value for each unit. REACH will provide the upkeep for the properties from its own funds. The city’s loans will be paid over 55 years with excess revenues if any are received after maintenance and mortgage expenses are paid.
During the public hearing, Kay King, Tri-Valley REACH board member, told the council that the group has been around for over 28 years. The focus has always been to provide adults with developmental disabilities an independent living environment that is safe, quality and affordable to those in the low income category. REACH owns a total of 10 properties, and serves 26 adults in Livermore and Pleasanton.