As of January 1, 2005, in an effort to promote affordable housing, the State’s Density Bonus law went into effect.  As a result, the City of Garden Grove amended Municipal Code Section 9.12.30.070—Density Bonuses and other Incentives for Affordable Housing, to bring the code into compliance with State law.  The Density Bonus law promotes development of affordable housing through increased density, concessions and incentives.

New Age Brookhurst, LLC (Developer) has submitted an application to the City for approval of plans to construct a mixed use project at 12854 and12860 Brookhurst Way and 12855 Broookhurst Street (Project).  The project will consist of 340 residential units in three separate buildings, 80 for sale condominiums units, 80,000 to 200,000 square feet of retail space, an urban trail, a public park, and a possible 100 key hotel to be built in phases. 

Pursuant to the City’s Density Bonus Ordinance, a parking concession has been granted.  The concession will reduce the required parking from 2.25 spaces per dwelling unit to one space per 1-bedroom unit and 2 spaces per 2-3 bedroom units.  In exchange for this parking concession, the Developer will restrict 60 of the 340 rental units for rental to an occupancy by lower income households at an affordable rent.

In connection with the parking concession granted to the project, the Developer is required to enter into a Density Bonus Housing Agreement.  The Agreement details how the affordable housing provisions of this project will be implemented.

It is recommended that the City Council:

• Approve the attached Density Bonus Housing Agreement between the City and New Age Brookhurst, LLC; and
• Authorize the City Manager to execute the Agreement and all other documents necessary to implement the agreement, and to make minor modifications as appropriate thereto.

By:    Allison Wilson

          Neighborhood Improvement Manager