SDHC Hotel Churchill · SDHC Hotel Churchill – Progress Report 5.22.13 Watch SDHC videos on • 2...

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SDHC Hotel Churchill “We’re About People” San Diego Housing Commission 1122 Broadway, Suite 300 San Diego, CA 92101 www.sdhc.org Established in 1979, the San Diego Housing Commission provides a variety of award-winning affordable housing programs and services that stimulate the local economy, revitalize neighborhoods, and help improve the lives of more than 125,000 individuals in the City of San Diego annually. Built in 1914, Hotel Churchill is a seven-story, 94-unit building on C Street, between Eighth and Ninth avenues in the eastern part of downtown San Diego along the San Diego Trolley line. The San Diego Housing Commission (SDHC) acquired the historic building and an adjacent lot on August 16, 2011, through a court settlement in a foreclosure proceeding. It has been vacant since the end of 2005. There is a Single Room Occupancy (SRO) restriction recorded against the property, which requires that no less than 57 units be maintained as SRO units for a term of not less than 30 years from the completion of rehabilitation. It is the intent of SDHC to create additional affordable housing for low-income individuals in downtown at the site of Hotel Churchill. Updated: 5.22.13 Affordable Housing Impact Contact For more information contact the SDHC Community Relations & Communications Department. Phone: 619-578-7550 The site is required to have 57 units that will be available and rent-restricted to individuals earning at or below 50 percent of San Diego’s Area Median Income (“AMI”), which is currently $28,250 a year for one person. These units will remain affordable for a minimum of 30 years under the terms of the SRO restriction recorded against the property. Acquisition Time Line Dec. 2005 – San Diego Housing Commission files lawsuit against J&J Properties for violation of SRO Ordinance. Jan. 2008 – Stipulated Judgment in Favor of the San Diego Housing Commission is executed by the San Diego Superior Court, requiring the rehabilitation of the Hotel Churchill by January 31, 2009. Mar. 2010 – Judicial Foreclosure Action filed by the San Diego Housing Commission against J&J Properties. Aug. 16,2011 – Deed in Lieu of Foreclosure via settlement recorded in favor of San Diego Housing Commission conveying fee simple title to the Hotel Churchill and adjoining parking lot. SDHC paid J&J Properties $200,000 to end all litigation including pending appeals by J&J Properties in Court of Appeals. 827 C Street, San Diego, CA 92101 About Hotel Churchill Historical Designation On November 21, 2003, the City of San Diego Historical Resources Board designated the 99-year-old Hotel Churchill a local historical landmark. Building Security Status SDHC took immediate action to safeguard Hotel Churchill, which was in significant disrepair. With a budget of $350,000, the following safety actions have been implemented: • Limited biohazard remediation • Removal and reinfestation prevention of feral pigeons • Temporary roof repairs • Clean up and removal of unwanted building contents • Additional security to keep trespassers from occupying the building

Transcript of SDHC Hotel Churchill · SDHC Hotel Churchill – Progress Report 5.22.13 Watch SDHC videos on • 2...

Page 1: SDHC Hotel Churchill · SDHC Hotel Churchill – Progress Report 5.22.13 Watch SDHC videos on • 2 our YouTube channel Read our online 2012 SDHC Annual Report at

SDHC Hotel Churchill“We’re About People”

San Diego Housing Commission 1122 Broadway, Suite 300 San Diego, CA 92101 www.sdhc.org

Established in 1979, the San Diego Housing Commission provides a variety of award-winning affordable housing programs and services that stimulate the local economy, revitalize neighborhoods, and help improve the lives of more than 125,000 individuals in the City of San Diego annually.

Built in 1914, Hotel Churchill is a seven-story, 94-unit building on C Street, between Eighth and Ninth avenues in the eastern part of downtown San Diego along the San Diego Trolley line. The San Diego Housing Commission (SDHC) acquired the historic building and an adjacent lot on August 16, 2011, through a court settlement in a foreclosure proceeding. It has been vacant since the end of 2005. There is a Single Room Occupancy (SRO) restriction recorded against the property, which requires that no less than 57 units be maintained as SRO units for a term of not less than 30 years from the completion of rehabilitation. It is the intent of SDHC to create additional affordable housing for low-income individuals in downtown at the site of Hotel Churchill.

Updated: 5.22.13

Affordable Housing Impact

ContactFor more information contact the SDHC Community Relations & Communications Department. Phone: 619-578-7550

The site is required to have 57 units that will be available and rent-restricted to individuals earning at or below 50 percent of San Diego’s Area Median Income (“AMI”), which is currently $28,250 a year for one person.These units will remain affordable for a minimum of 30 years under the terms of the SRO restriction recorded against the property.

Acquisition Time Line Dec. 2005 – San Diego Housing Commission files lawsuit against J&J Properties for violation of SRO Ordinance.Jan. 2008 – Stipulated Judgment in Favor of the San Diego Housing Commission is executed by the San Diego Superior Court, requiring the rehabilitation of the Hotel Churchill by January 31, 2009.Mar. 2010 – Judicial Foreclosure Action filed by the San Diego Housing Commission against J&J Properties.Aug. 16,2011 – Deed in Lieu of Foreclosure via settlement recorded in favor of San Diego Housing Commission conveying fee simple title to the Hotel Churchill and adjoining parking lot. SDHC paid J&J Properties $200,000 to end all litigation including pending appeals by J&J Properties in Court of Appeals.

827 C Street, San Diego, CA 92101

About Hotel Churchill

Historical DesignationOn November 21, 2003, the City of San Diego Historical Resources Board designated the 99-year-old Hotel Churchill a local historical landmark.

Building Security StatusSDHC took immediate action to safeguard Hotel Churchill, which was in significant disrepair. With a budget of $350,000, the following safety actions have been implemented:• Limited biohazard

remediation• Removal and

reinfestation prevention of feral pigeons

• Temporary roof repairs

• Clean up and removal of unwanted building contents

• Additional security to keep trespassers from occupying the building

Page 2: SDHC Hotel Churchill · SDHC Hotel Churchill – Progress Report 5.22.13 Watch SDHC videos on • 2 our YouTube channel Read our online 2012 SDHC Annual Report at

SDHC Hotel Churchill – Progress Report 5.22.13

• 2Watch SDHC videos on our YouTube channel

Read our online 2012 SDHC Annual Report at www.sdhc.org

SDHC is partnering with its nonprofit affiliate, Housing Development Partners (HDP), to create affordable housing at Hotel Churchill for a potential blend of low-income residents such as seniors, veterans, and survivors of domestic violence.HDP will meet the 57 rent restricted housing unit requirement and pre-design estimates indicate that the building will yield approximately 66 affordable housing units. Approximately 20 percent, or 13, of these units are anticipated to be designated as permanent supportive housing, offering services to those residents. Hotel Churchill would remain affordable housing for the next 65 years under the terms of the proposed ground lease between SDHC and HDP.The partnership between SDHC and HDP also keeps more than $8 million of federal funds in the City of San Diego, to be used to create this additional affordable housing.These federal funds come from the “Moving to Work” rental assistance program. SDHC is one of only 39 public housing authorities in the nation (out of 3,400) to earn a “Moving to Work” designation from the U.S. Department of Housing and Urban Development. “Moving to Work” status gives SDHC more flexibility in how it uses these federal funds to address San Diego’s unique housing needs.But as a result of federal budget reductions, “Moving to Work” program funds are potentially at risk, if not committed at the earliest possible time. The partnership between SDHC and HDP allows for these federal funds to be used expeditiously.

Rehabilitation Plan

Funding Partners

HDP’s rehabilitation plan of Hotel Churchill anticipates:• Reconfiguring the units to create approximately

66 affordable units and one manager’s unit.• Expanding the room space to provide a bathroom and

kitchenette in each unit.• Making the average size of each unit 350 square feet,

which meets the Mental Health Services Act program requirements.

• Completing the entire construction process within 28 months.

• Contracting for the design and rehabilitation with local companies, thereby creating local jobs.

HDP intends to seek $3 million from Civic San Diego.HDP also intends to apply for approximately $1.8 million from the Mental Health Services Act program, administered by the County of San Diego.Seventy-five percent of residual receipts generated by Hotel Churchill will go to SDHC.

HDP Experience

Action Time Line

HDP has been involved in the creation of 789 units through partnerships, and an additional 190 are in the development phase.HDP’s developments include the rehabilitation of The Mason in downtown San Diego, which preserved the façade of the 100-year-old building and created 16 affordable supportive housing studios for adults at risk of homelessness.

May 10, 2013 – SDHC Board of Commissioners approved the development plan for Hotel Churchill that designates HDP as the developer for the rehabilitation.June 11, 2013 – The Housing Authority of the City of San Diego will consider the development plan for Hotel Churchill: SDHC would provide $8,296,409 in federal “Moving to Work” program funds and a $3,800,000 loan for the rehabilitation of the building.

Investment in the Community

Hotel Churchill – Near Bus and Trolley Lines