11-241 RESOLUTION NO. 11-241
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MENIFEE, CALIFORNIA, APPROVING
THE ISSUANCE OF MULTIFAMILY HOUSING REVENUE BONDS FOR THE PURPOSE OF
FINANCING THE ACQUISITION AND CONSTRUCTION OF THE ENCANTO APARTMENTS
Whereas, the California Statewide Communities Development Authority(the 'CSCDK)isauthorized
by the laws of the State of California (the "Law") to execute and deliver multifamily housing revenue
obligations for the purpose of financing the acquisition, construction/rehabilitation and development of
multifamily residential rental facilities located within the area of operation of the CSCDA which are to be
occupied, in part, by very low and low-income tenants; and
Whereas, Encanto Apartment Homes, LP, a California limited liability partnership, or such other
limited liability company or limited partnership related thereto or formed by Encanto Apartment Homes, Inc.
(the"Borrower")has requested the CSCDA to issue and deliver multifamily housing revenue obligations in the
anticipated principal amount of$20,500,000(the"Obligations"),the proceeds of which may only be used for
the purpose of financing the acquisition and construction of a 178 unit multifamily residential rental facility to
be commonly known as the Encanto Apartments to be located at 28155 Encanto Drive in the City of Menifee,
California (the"Project"); and
Whereas, the Obligations which are expected to be issued and delivered to finance the acquisition
and construction of Project would be considered"qualified exempt facility bonds"under Section 142(a)of the
Internal Revenue Code of 1986, as amended (the"Code"), and Section 147(f)of the Code requires that the
"applicable elected representatives"with respect to the jurisdiction in which the Project is located hold a public
hearing on the issuance and delivery of the Obligations, and
Whereas, the City Council of the City of Menifee as the applicable elected representatives held the
required public hearing and received public comment with respect to the proposed financing of the Project
were heard
NOW, THEREFORE, the City Council of the City of Menifee, California, does hereby RESOLVE,
DETERMINE and ORDER as follows:
SECTION 1: That the above recitals are true and correct.
SECTION 2: For purposes of the requirements of the Code only, the City Council hereby
approves the proposed financing of the Project by the CSCDA with proceeds of the Obligations.
SECTION 3: The issuance and delivery of the Obligations shall be subject to the approval and
execution by the CSCDA of all financing documents relating thereto which the CSDA is a party and subject to
the sale of the Obligations by the CSCDA.
SECTION 4: The adoption of this Resolution is solely for the purpose of meeting the requirements
of the Code and shall not be construed in any other manner. The City nor its staff having fully reviewed or
considered the financial feasibility of the Project or the expected financing or operation of the Project with
regards to any State of California statutory requirements, and such adoption shall not obligate(i)the City to
provide financing to the Borrower for the acquisition, construction and development of the Project or to issue
the Obligations for purposes of such financing; or(ii)the City, or any department of the City, to approve any
application or request for, or take any other action in connection with, any environmental, General Plan,
zoning or any other permit or other action necessary for the acquisition, construction, development or
operation of the Project.
SECTION 5: The City Clerk of the City shall forward a certified copy of this Resolution and a copy
of the affidavit of publication of the public hearing notice to:
Justin Cooper
The Orrick Building
Orrick, Herrington & Sutcliffe LLP
405 Howard Street
San Francisco, CA 94105
SECTION 6: This Resolution shall take effect upon its adoption.
PASSED, APPROVED AND ADOPTED this 6th day of December, 2011.
IA
Wallace W. Ed rton, ayor
Attest: 9 ® —
Kathy Bennett, City Clerk
App(oved to form:
Josep . Fletcher, i ney
ENIFE
Wallace W. Edgerton STATE OF CALIFORNIA )
Mayor COUNTY OF RIVERSIDE ) ss
CITY OF MENIFEE )
John V.Denver
Mayor Pro Tem I, Kathy Bennett, City Clerk of the City of Menifee, do hereby certify that the
Darcy Kuenzi foregoing Resolution No. 11-241 was duly adopted by the City Council of the City
Councilmember of Menifee at a meeting thereof held on the 6`" day of December, 2011 by the
following vote:
Thomas Fuhrman
Councilmember
Ayes: Fuhrman, Kristjansson, Kuenzi
Sue Kristjansson Noes: Edgerton
Councilmember Absent: None
Abstain: Denver
Kathy Bennett, City Clerk
29714 Haun Road
Menifee,CA 92586
Phone 951.672.6777
Fax 951.679.3843
www.cityofmenifee.us