project began with the approval of the sixth amendment in defenseless 2012 then in october 2013, the occ commission approved the schematic design and you approved the option to ground lease quickly you approved so the developer so apply for variances so they can apply for various funding for the development and the developer did secure both it's bond and tax credit requests and are preceding ready to proceed with the construction. quickly he wanted to show you the map how the development fits it is borrowed by kicking wood to the northeast and fidel to

the southeast and it allows for sun and light elements for the outdoors common areas especially because families and children will be playing outside. the h p.s. development lp or lenore requires them to develop one hundred and 48 houfrz units with a maximum of 40 percent of the units are affordable the baseline of 27 percent development will be through the housing parcels where a total of 2 hundred and 18 unit on block 48, 52 and 58 and 40 percent will be included in the block

built by lenore where 70 percent will be available so far householders with medium income. the sixth amendment allows lenore to develop with affordable housing units up to 50 percent ami that allows the 50 percent unit to come online much quicker than built bye block by block it consists of 50 one, 2 and 3 units that will include the residential park a community room for residential activities and green areas and gardens for everyone to enjoy. again 350 fy legal dell will be available for 50 percent of ami or in terms of a family of 4 can

earn up to - one berm will be $971.02 bedroom one thousand plus and 3 berm one to tell us plus the proprietor polyps will include hunters point shipyard and the western edition and san francisco rent and san francisco residents and members of the general public. as part of the martin and the outreach effort they'll provide rent readiness workshops will that be initiated one month after construction. as typical financing in many san francisco affordable housing developments the development of

350 fidel includes tax exempting exempt bones and what is uncommon ocii occ is not providing subsidy and another difference that includes an off site to the lamar developer that allows the developer to secure another 2. $5 million in tax credits. specifically the block 49 parcel was transferred to occ in july 2014 that's the first step in the bond closing process lamar is responsible for the outside paerlz they include demolition and streets and situations along with other costs the cost of the block is

$4. million can be included in eligible costs so lenore with the improvements will allow the amount to be skwurd an additional 2. $5 million in entity that reduced la norz quilt by a similar amount the loop is a promisey note and deed of trust united states outside loan is a method of financing is an extremely interesting way to get tax equality while reducing la nefarious the off site loan was not intended to be paid to lamar with the approval of the ground lease the loan will be

signed and the payment will be received and go to the mayor's office of housing and community development. our oc d and not lamar. ike will retain the control of the land throughout the construction period at the project close out the land and loan will be transferred to oc d an initial term of 55 years of one year 44 year option to extend for 99 years the annual rent is 2 hundred and 20 thousands of this 15 thousand is the base rent and 2 hundred and 5 is considered residual rent optional in cash flow it available to a pay the amount. and in order to for thought developer to satisfy the true

debt it needs to demonstrate the future repayments of the loan or 55 years. therefore the typical 2/3rd's to the city 1/3rd to the developer split was modified to have half go to pay off the loop and half to residual rent thus it is being assigned to ocii for the exchange of the one half split. the hunters point shipyard citizens advisory committee sponsors the 350 fidel development with the participation in the design process last summer and last fall of the d da and the ground use option and the members endorsed this ground lease.

in april of 2014 the department of finance said all sales are authorized it is anticipated that fencing will close on or both september 24th and construction will begin soon there after that concludes my presentation. representative allen from specific fund lp is here robert and unfortunately, the other community developer would not be here and apologize and that concludes my presentation. thank you. >> thank you speaker cards. >> no speaker cards. >> members of the public have abandoned us and don't want to speak any questions from the commission. >> yes. you know what the

approximate date of the completion. >> an 18 month contradiction so early 2016. >> and with have some obligation for this project for affordability people. >> we'll see applications for this process, you know, you mean the process it will be kicked out through the lottery for the martha and lease. >> okay. thank you. >> thank you. commissioner mondejar no questions. i view had a small one if i can find that on the slide that's priority population. i just want to get like tiny maybe you said it i may not have

heard that the rental outreach will commence and what's the length of time between the outreach the actual avoidance if you will for the readiness and having a household ready to access the opportunity >> how we envision this process working the lemon agency will outreach to the various members of the community through 0 flier and let folks know this project is coming in 18 months at least relay around if you have issues with credit or late payment come on offer we'll help you, we anticipate this process will be ongoing throughout the development period so it will start a month after construction

closings we anticipate that will keep on going up to the developer accepts plagues for the development. >> okay. thank you. thank you. there's a motion by commissioner mondejar >> second by commissioner singh please call roll. >> commissioners. commissioner mondejar. commissioner singh. commissioner chairperson rosales. madam chair the vote is 3 i's >> thank you. the matter is passed. can you please call the next item >> item 5 i adapting environmental findings for the environmental quality act for the agreement for candle stick point and hunters point shipyard with the cpl p subject to the approval of the oversight board

and discussion and action 2014 madam director. >> thank you madam secretary commissioners you've heard this is a second amendment to the phase two the very first amendment you undertook on december 18th, melvin we're back again, because circumstances have changed with the delay and transfer with the hunters point shipyard as well as unfortunately, the 49ers have moved to santa clara that creates an earlier delivery of candle stick land that is a burden to the city in terms of maintenance and certain liebltd if 23 accept the structure with that, i'd like to ask ethan the

assistant to talk about the terms of the agreement. >> this is his first presentation before you. >> good afternoon, commissioners director bohe i'm the assistant project manager here to talk about the phase two at hunters point shipyard candle stick ambassador before i jump in i want to give you a brief overview like the director mentioned the phasing has changed the transfer to the navy lands at the hunters point shipyard has been detailed i'm sure you're aware of the 49ers left candle stick park they were going to be here until 2023 so the stadium has been accelerated to make sure the project 34068d move forward and the transfer must be adjusted to allow ocii

to transfer the entire stadium site to lenore i want to stress throughout this presentation the proposed changes are a different way of achieving the same outcome. so the project site to give you complexity e context, you know, is comprised of two landmasses that are hunters point shipyard and candle stick point i've identified in the lower left the stadium site the focus of today's discussion alice griffith is north of that and the navy land hunters point shipyard to the north of that. so also some phrases i'm going to be using sub phase a reminder to the commission a major is the larger sub areas dlaefltd by the corresponds in the diaphragm and 4 major phases between the

project site repealed on each hunters point shipyard and candle stick point and then sub phases are sub areas of the major phases xhierptd of 4 to 6 blocks when the applications are submitted to ocii. and when i wanted to show with this slide hearsay the project that reflects the revised phasing in john january of this year i want to point out you see the stadium site when is the eggshell color in the lower left hand corner it's major phase one and something else that large pink up firefighter north is major phase 4 and again is the direct result that the navy has the land and taking mediation at

the sites. so this is the land use pattern for the project you have the yellow and orange for the residential again 10 thousand 5 hundred unit the blue showing commercial in the hunters point shipyard site and red is retail that's i'll get into that that's centered around the existing stumd site and open space you'll see a lot of the parks and open space is located within the large pink area i've identified he hunters point shipyard this is under the navy's control all the parks is down at candle stick. so the revised phasing plan includes the c p center we'll call sub phases o-3 and 04 those

are included in the projects next phase of development and all of c p center the next sub phases are within the stadium site together it includes 6 hundred and 75 thousand of retail and up to 3 hundred and 94 affordable housing and the local serving hotels and c p center is one of the primary anchors of the candle stick point portion of the project. those diaphragms illustrate a lot of what i've said on the left you see there are a number of sub phases located within the stumd site so c po 2 is the wedge on the left hand and surround by organizations 3 and o 04 there are a number of sub

phases entirely or partially located within the stumd site the right hand is what the project will look like an diaphragm and all the red and lighter dusty rose in the stumd site >> core rum. >> is the original retail and the residential use in the yellow surrounding that. in order to get from here to there there's a number of steps to be taken. so that includes the land has to be transferred in a number of stakeholders and in the stadium has to be transferred to ocii pursuant pursuant to another agreement it's opposed by the city and state primarily and the

next large thing to happen lamar has to to demolish the stadium the stadium is left vacant it has a cost to the city and developments demolition is estimate and abatement will cost up to $30 million so we don't know up to $130,000 lamar has to summit and ocii has to approve the applications in the various contracts. so given everything i'll told you ocii things supports the implementation of the project to transfer the entire stadium site to lenore prior to the demolition of the stadium this is different a different approach for the transfer los angeles police department this

is contemplated but for the following reasons it's the best approach the city and ocii will transfer the costs with the demolition over to lenore. the entire stadium site will begin to accrue tax equities and if they were to be entirely moved to private ownership and lastly for the timeline for the completion of the c p center the occasion has to occur first, the current smith's of applications we'll line up demolishing the stadium so begin the infrastructure and development to support that development without delay. so the stumd site is subject to specific requirements because

it's currently considered open space promotion c requires there be a biden demolition to respect the land with an equal amount of open space within the site. we're calling items the majority of parks and open space is again located at hunters point shipyard because the spaces at candle stick point is city owned. so section 10.3.2 h provides the framework for the requirement ever a of a binding obligation when the transfer happens it

requires that lamar must be completing the equal amount of the stadium being transferred if not completed they must provide adequate security like a bond in the amount to equal to the size of the stadium being i ask you to spend time it's a lot of words again, i want to suppress the important requirement we're meeting and the biden obligation in participation g a number of ways to meet the proposition g requirement the way it is done in section that i read to you was the way that made sense at the time the document was drafted by again, it's one of the many ways that proposition g can be satisfied.

with that, in mind the second amendment provides an alternative amendment to the obligation to say a rault result of the phasing plan but insures that the proposition is transferred to lenore that lenore will meet the same requirements as required before undertaking the project and there's a benefit to ocii to the city and again which was required by the dissolution law. so with the second amendment for the construction lenore will demolish the stadium if 2015 and only use the stadium for the uses to demolish the stadium as approved by ocii. so we'll come to ocii with the

subsequent uses and determine whether or not their appropriate and they'll be obligated to summit the applications to ply with the proposition g requirement. what the second amendment did is insure we are he meeting the requirement one is the d restriction is placed on the whole stadium it be removed in phases to restrict the limited uses as approved and the quit claim deed my approval to are returned to ocii if lamar can't complete their obligation in

lenore walks away before it's complete the los angeles police department will be transferred by to ocii in the same condition and will constitute a return to the open space to the city compliant with proposition g and at the time lamar is granted an approval they'll provide additional park security that provides the wherewith all if they're unable to complete your construction and additional the park security is a financial obligation collateral has a bond or corporate guarantee it does now that you've come in you've changed the nature of the land it can't be returned back to the same condition therefore they have the money to rebuild the

parks for whatever reason. so as required by itself dissolution law it must benefit the tax amenities the two ways the future by providing for a transfer to the - by increasing the land school district u subject to the transfer. and last also the can advance removed if the 73 city and county as well as the liability resulting from the liability and the ownership of the site. so in summary the project was revised and the demonstration of c p center is the next development plan and green

before completing that land must be transfer to ocii and lamar a must demolish the stadium it benefits ocii and benefits the city and other tax amenities and allows for the outcome we're looking for in building the project and the second amendment better result ocii to transfer the entire transfer to lenore and makes sure accident requirement are met at the time of transfer. so next steps. upon approval of the commission if we have that granted the originate board will be there on september 2nd and go to the california department of finance and we'll transfer the land to lenore in the fall of 2015 and

gun construction in 2015. that's all i have i have members of the lamar team available here to answer questions >> do we have any speaker cards. >> we've got two speaker cards (calling names) yes welcome. >> welcome back. commissioner mondejar says. 80 listening to director bohe as the chair for the hunters point shipyard i know that much has changed due to the detach at 49ers the section amendment addresses an yuptd process the demolition of the assumed starting in the next several months the sectioning second amendment helps to advance the

next phases of the project which will include as you've heard the demolition of the vacant stadium and replaced with the retail uses and other mixed neighborhood please keep in mind the retail used will compliment the alice griffith replacement project that are currently under construction nearby bringing jobs and economic activity to the stadium site the new retail uses will include much needed oriented retail that serve alice griffith such as a drugstore and other similar uses and to sweeten it a little bit additionally the second amendment allows for an increase in the property taxs to paid to the city and school districts by

transferring the land into private ownership he earlier than proposed so on behalf of the cac shipyard i urge you to support the second amendment thank you very much >> thank you. next speaker. >> good afternoon, commissioners my name is a kathy i'm the director for the department of finance i'm here to express the departments support for this amendment to the d dr or a the department have's along been supportive of the hunters point shipyard project i'm sure you're aware of the commission agreed to transfer the acres to the project project because the commission economy this will bring 3 hundred acres of open space to this newly