By CLARK MASON
THE PRESS DEMOCRAT
A Cloverdale apartment complex for senior citizens is in line for a major remodel if the city approves the mechanism for
generating up to $13 million in bonds.
The 99-unit Kings Valley rental apartment complex would remain affordable for low- and very-low income seniors for decades to come under the proposal from EAH Housing, a non-profit corporation based in San Rafael.
The corporation is asking the City Council on Wednesday to authorize a joint powers agreement with the California Municipal Finance Authority to issue revenue bonds for acquisition and rehabilitation of the property.
Mayor Bob Cox said the residents have welcomed EAH since it took over management of the complex in 2010.
“The fact they want to upgrade and improve is welcome by the residents themselves and the city,” he said.
The bond revenue would pay for improvements, including new roofs, windows, heating and cooling systems, and accommodations for disabled persons.
“It’s almost 40 years old. Not much has been done over the years. It’s in need of some refreshing and updating,” said David Egan, EAH project manager.
He said the complex, off Third Street downtown, meets a critical need by providing housing for the elderly on fixed incomes.
Rents for the studio and one-bedroom apartments range from approximately $550 to $650 a month, he said, but many of the residents have their rents subsidized through government housing programs.
The apartment complex was built in 1975 with federal housing loans and is owned by Cloverdale Senior Housing, Inc., which was initiated by a local church.
Two years ago the owners became affiliated with EAH, which manages more than 9,100 units in 49 communities in California and Hawaii.
On its website, EAH says it has received multiple national awards for property management, a dozen design awards and commendations from legislators.
Once the city signs off, the state Municipal Finance Authority could issue the tax exempt revenue bonds to assist EAH in buying and upgrading the 10-acre apartment complex.
The bonds will be the sole responsibility of the borrower and the city will have no financial or legal liability, according to Assistant City Manager Karen Massey.
Eagan said, “there won’t be any cash out on the deal. All the money stays with the property and owner.”
If all goes smoothly, he expects rehabilitation work at Kings Valley could begin early next year. He said some residents might have to be relocated briefly while work is done on their apartments, but they would get assistance for lodging.
You can reach Staff Writer Clark Mason at 521-5214 or firstname.lastname@example.org.