Leading Real Estate News Source Highlights Irvine Community Land Trust’s Role in a Enacting New Tax Reforms Expected to Fuel Affordable Housing Construction in California!

As Chair of the Irvine Community Land Trust (ICLT), I have been actively working with members of the California State Legislature to enact tax reforms to make it it much easier to create affordable housing throughout California.

The new legislation, SB 196, which ICLT and I worked on with Senators Jim Beall, Mike McGuire, and Bob Wieckowski to pass in Sacramento, and which has now been signed into law by the Governor, allows properties slated for affordable rental homes to get a tax exemption sooner, saving nonprofit builders between millions of dollars that can instead go toward building more affordable homes. The new law also extends this property tax break to land for owner-occupied affordable home projects.  As I told the Orange County Register, “It’s really hard to build these [affordable housing] projects. You have to have a lot of funding, and property taxes can take a significant bite out of that. Even if it didn’t prevent us from doing the [Salerno] project, it lowered the number of units we could do.”

Now that’s been changed.  Under the new law, property tax rates will be lower at the outset for below-market rate, affordable housing, making it much more practical to build more housing for more people in need.

I’m very pleased that GlobeSt.com, a leading real estate news source, has written about our success.

Here is their report:

The New CA Law That Could Generate Loads of Affordable Housing
SB 196 provides a property tax exemption to affordable housing developers during construction.

By Kelsi Maree Borland

“Last week, Gavin Newsom signed a SB 196 into law, creating new opportunities for affordable housing throughout the state. The new law provides a property tax exemption for developers of affordable housing during the construction phase—the first three to five years after purchasing raw land. The legislation is expected to go a long way in fueling more affordable housing development.”

“Organizations like the Irvine Community Land Trust have been advocating for like legislation for years. ‘We have been looking at legislation to support community land trusts for many years,’ Mark Asturias, executive director of the ICLT, tells GlobeSt.com. ‘Our land trust was looking at the welfare exemption specifically because of the high property tax carry cost here in Orange County. Many people understand that the cost of land and housing is very expensive in Orange County, and in our world, we can’t carry the cost of market-rate land. Because most of our land is developed through a public partnership, we hoped to get this in place to use money to pay for the construction of new projects.'”

“Asturias anticipates that the legislation will be successful in generating more affordable housing, which the state of California desperately needs. ‘This is a wonderful opportunity for us. We are now going to be able to develop properties without paying taxes on the property at market rate while we are trying to get our entitlements in place,’ Asturias. ‘In California, it takes three to five years to get through the process from the day you buy the property to the day you can actually finish the construction of the house.'”

“The legislation does come with a caveat. Developers must start and complete their project on time, or they must pay back the taxes. ‘We talked with many people in the community land trust about how long we would need to develop vacant land. It is usually three to five years,’ Asturias says. “We didn’t want to represent to anyone as we were getting this bill put forward that we were land banking, meaning that we were going to hold vacant land and not develop it. That isn’t the mission of a community land trust, and we felt that was reasonable to put a limit on the amount of time that the exemption could be in place. That was a fair trade-off in our view.'”

“The state and Governor’s office is on a mission to combat the housing crisis, and this is only the latest piece of legislation. ‘We want to demonstrate that we can offer a variety of tools, and we believe that the Governor recognized that,’ says Asturias. ‘With all of the legislation that he is passing, we believe that he is demonstrating an effort to address the entire housing spectrum.’”

Our next affordable housing community for the Irvine Community Land Trust is 68 owner-occupied townhomes on Native Spring alongside the 133 toll road.  The ILCLT  has been under contract to buy the land from the city for four and a half years, but has held off closing escrow until the new legislation is in place, saving an estimated $600,000 in property taxes.  Now we are able to move forward immediately on this innovative and exciting project in affordable home ownership!

Learn more about the Irvine Community Land Trust at our website HERE.

You can read our ICLT Newsletter HERE.

In May 2019, the Irvine Community Land Trust was awarded the Platinum Seal of Transparency from GuideStar, the world’s most respected source of information on nonprofit organizations. Read about it HERE.

We Had a Wonderful Time at the 2019 Global Village Festival at the Great Park! Help Us by Make It Even Better by Taking Our Survey!

My family had a wonderful time the 2019 Global Village Festival at the Great Park!

When many immigrant communities and religious and ethnic minorities are feeling themselves under attack, the message of the Global Village Festival — “Many Cultures, One World” — was especially welcome.  The Global Village Festival was truly a celebration of the thriving diversity that is now the real Orange County.

Last year was the first time that the Irvine Global Village Festival, formerly held at Col. Bill Barber Park next to Irvine City Hall, was held at the far more expansive grounds of the Orange County Great Park.  This year was the first time that the Festival was extended to two full days.

As in past years, my favorite parts of the Festival were visiting the many different national and ethnic organizations that hosted booths and listening to the great musical performances from many cultures.  I also enjoyed the shopping, the food, watching the children play in the newly expanded Kids Village, meeting old friends and making new ones.

The City of Irvine has created a brief survey for people who attended the Festival.  By completing it, you’ll be helping us make the Festival even better in the future.  You can find the survey HERE.

Here are some of our pictures from our time at the Festival.

I look forward to seeing more of yours!

 

This Thursday, October 17, Have Your Morning “Coffee with a Cop”!

All Irvine residents are invited to “Coffee with a Cop” on Thursday, Oct. 17, 2019, from 7:30 to 9 a.m. at Starbucks at the Woodbury Town Center.
Stop by on your way to work just to say “Hi” or “Thank you for keeping Irvine America’s safest city,” or ask a question and enjoy a cup of coffee.
No RSVP necessary!

October is Filipino American History Month!

October is Filipino American History Month!

Did you know that:

• The earliest documented Filipino presence in the continental United States was on October 18, 1587, when the first “Luzones Indios” set foot in Morro Bay, CA, on board the manila-built galleon ship Nuestra Senora de Esperanza?

• The first permanent Filipino settlement in the continental United States was in 1763 in St. Malo, Louisiana? 

Filipino-American Civil War soldier Felix Cornelius Balderry, Company A, 11th Michigan Volunteers. Baldberry enlisted in the Union Army in 1863 at the age of 21 in Kalamazzo, Michigan. He fought in the battles of Chickamauga, Kenesaw Mountain, and the Siege of Atlanta, and returned to Michigan after the war.

• The Filipino American community is the second largest Asian American group in the United States, with a population of more than 3 million people?

• More than a million people of Filipino heritage live in California, by far the largest number in the United States (1 in 3 Filipino Americans live in California)?

• Filipino American servicemen and servicewomen have a longstanding history in the Armed Forces from the Civil War to the Iraq and Afghanistan conflicts, including 25,000 Filipinos who fought under the United States flag during WWII?

• Andrew Jackson wrote about the “Manila Men” who fought with him in defense of New Orleans under the command of Jean Lafitte in the Battle of New Orleans in 1815?

• Nine Filipino American have received the Congressional Medal of Honor, the highest award for valor in action that can be bestowed upon an individual serving in the United States Armed Forces?

• Filipino Americans have contributed greatly to the arts, music, dance, literature, business, journalism, education, science, healthcare. technology, government, politics, fashion, and other fields in the United States?

The Filipino American Community has a proud and distinguished history of making our state and nation stronger and better.  I’m delighted to celebrate Filipino American History Month with my Filipino friends and neighbors!

 

Irvine Again is Safest City in America: Thank you Irvine Police!

Each year the FBI ranks the public safety levels of U.S. cities according to population and considers a number of factors including murder, rape, assault, burglary, arson and auto theft.

This is the 14th year in a row Irvine has held the top spot as America’s Safest City among cities with a population of 250,000 or more.

Irvine Chief of Police Mike Hamel said, “Irvine continues to be a safe community due to the collaboration between the men and women of the Irvine Police Department who work tirelessly every day to identify and respond to criminal activity and quality of life issues, our City leaders who always make public safety a top priority, and our residents who actively participate in crime prevention and community improvement strategies.”

Councilmember Melissa Fox said, “We are America’s safest city because the men and women of the Irvine Police Department perform their duties every day at the very highest levels of professionalism and integrity.  Our community knows that our police officers are dedicated to ensuring the safety of our residents and treat everyone with fairness and respect.  Thank you, Irvine Police Department.”

To view the FBI report, click HERE.

Join Me at Irvine’s Two-Day Global Village Festival at the Great Park!

My favorite Irvine cultural event of the year is almost here!  Experience sights and sounds from around the world on Saturday, October 12 through –Sunday, October 13, 2019, 10 a.m.–5 p.m., at the Orange County Great Park, at the Irvine Global Village Festival!

I am thrilled that, for the very first time, the Irvine Global Village Festival will run for two days at the Great Park!

In Irvine, we are proud of saying that our city is not only among the most diverse cities in the nation, it is also the most fully integrated.

There are no ethnic, linguistic, religious, or cultural enclaves in Irvine: every neighborhood reflects Irvine’s harmonious ethnic, linguistic, religious, and cultural diversity.

How diverse is Irvine?  A non-English language is spoken in a remarkable 58% of Irvine homes, with more than 70 different languages spoken in residences throughout Irvine.  Nearly 40 % of Irvine’s public-school students have a primary language other than English.

Irvine is also home to more than 80 different churches, mosques, synagogues and other places of worship, serving Irvine’s wonderful cultural and religious diversity.

This year marks the 18th anniversary of the Irvine Global Village Festival – Irvine’s largest and most attended community event.

Founded in 1998 by a group of Irvine residents to help promote understanding and build harmony within Irvine’s many diverse cultures, the Global Village Festival is now Irvine’s signature event, featuring more than 100 performances on five stages; international cuisine and food from more than 50 restaurants; an international marketplace filled with unique crafts and textiles; interactive, educational and entertaining cultural displays, demonstrations, and performances; and an international village just for kids.

More than 40 local restaurants and gourmet food trucks serve up samples of regional and international specialties from boba smoothies, miso soup, falafel, Mexican fusion tacos and German pretzels to Japanese dumplings, Hawaiian shaved ice and the all-American bacon-wrapped hot dog. Please be prepared with cash for food and beverage purchases.

At the heart of the Festival is the Community Partners Pavilion, where nonprofit, local community groups and government agencies have an opportunity to showcase their programs and services to the community.

This year, we’ve incorporated the best of Irvine’s historic fall festivals to offer a wide variety of food and music options, interactive activities, and exhibitions throughout an entire weekend. Families will delight in an expanded Kids Village with crafts, a “Seek-a-Treat” fall scavenger hunt, and a petting zoo. Attendees of all ages will enjoy samples of the best international cuisine as well as favorite festival foods for purchase; an Artisans Marketplace and the event’s first-ever art exhibition and demonstrations; and musical performances representing cultures from around the world — all while attending Orange County’s premier festival.

I’m looking forward to celebrating the many facets of Irvine’s diversity at the Global Village Festival – and I look forward to seeing you there!

Here are some important Festival details:

What: Irvine Global Village Festival

When: Saturday, October 12 and Sunday, October 13, 10:00 a.m. – 5:00 p.m., at the Orange County Great Park.

Where: Orange County Great Park, 8000 Great Park Boulevard, Irvine, CA 92618

Cost: Admission is $5:00! Please be prepared with cash for food and beverage purchases.  A $20 Family Pass offers one-day admission for up to six people. Tickets are on sale now at irvinefestival.org/buy-tickets

Parking: Parking is free, but premier parking closer to the festival site will be available for $10 on-site (cash only). Disabled person parking is available. Please have the appropriate placard visible and parking directors will route vehicles to disabled parking.

Shuttle to the Festival: UCI Students and Staff: Anteater Express Shuttle service to and from the festival will be available for UCI students and staff.

Bike to the Festival:  The easiest way to get to the Festival is by bike. The City of Irvine has an extensive system of bike trails to get you to and from the event, and once inside, riders can safely and securely store their bikes at the Festival’s free Bike Valet area, hosted by the Bicycle Club of Irvine and the Orange County Bicycle Coalition. Use Irvine’s Bike Map to plan your trip.

Pets: Dogs are welcome at the Irvine Global Village Festival! However, owners must be responsible for their pets; dogs must be on leash, interact well in a large crowd and remain in the charge of a person competent to restrain them.

See you there!

We Just Opened a New Affordable Housing Community in Irvine and Made it Easier to Create Affordable Housing Throughout California!

I am honored to serve as Chair of the Irvine Community Land Trust (ICLT), guiding its mission of providing secure, high-quality affordable housing for the benefit of income-eligible families.  Like all Irvine Community Land Trust Board Members, I serve as a volunteer, without compensation.  

Since I joined the ICLT, we’ve built two below-market rate apartment communities, Parc Derian and Doria, for families making no more than 80 percent of the area’s median household income; some residents earn less than 30 percent of the median income, which in Orange County is $97,900 for a family of four.

Speaking at the groundbreaking ceremony for Solarno, the Irvine Community Land Trust’s newest affordable housing community.

Last week, we celebrated the groundbreaking for Salerno, our newest affordable housing community in Irvine.

On schedule to be completed in the Fall of 2020, Salerno will offer affordable rents as low as $550 for a one-bedroom, $625 for a two-bedroom and $695 for a three-bedroom. Thirty-five of the homes will be reserved for those earning less than 30 percent of the area median income: 15 for veterans; 10 for individuals with developmental disabilities; and 10 for families at risk of homelessness.

As the Orange County Register observed, this affordable community will be “a new beginning for the veterans, developmentally disabled people and families at risk of homelessness who will become its tenants when it opens next year.”

In addition, I’m excited to report on the passage of new tax break legislation I’ve been fighting for in Sacramento, which will make it much easier to create affordable housing throughout California! 

The new legislation, which I worked on with Senators Jim Beall, Mike McGuire and Bob Wieckowski to pass in Sacramento, allows properties slated for affordable rental homes to get a tax exemption sooner, saving nonprofit builders between millions of dollars that can instead go toward building more affordable homes. The new law also extends this property tax break to land for owner-occupied affordable home projects.

As I told the Orange County Register, “It’s really hard to build these [affordable housing] projects. You have to have a lot of funding, and property taxes can take a significant bite out of that. Even if it didn’t prevent us from doing the [Salerno] project, it lowered the number of units we could do.”

Now that’s been changed.

Before the new legislation, property taxes were not adequately adjusted for below-market rate housing.  Landowners such as the ICLT that wanted to build affordable, below-market housing couldn’t get a property tax exemption until a project was underway, and county tax assessors interpreted that requirement to mean anything from shovels in the ground to tenants moving in.  In the case of Salerno in Irvine, where vacant land is assessed at approximately $4 million an acre, taxes on the land amounted to $275,000, which had to be paid before the project could be constructed.

Under the new law, property tax rates will be lower at the outset for below-market rate, affordable housing, making it much more practical to build more housing for more people in need.

Our next affordable housing community is 68 owner-occupied townhomes on Native Spring alongside the 133 toll road.  The ILCLT  has been under contract to buy the land from the city for four and a half years, but has held off closing escrow until the new legislation is in place, saving an estimated $600,000 in property taxes.  Now we are able to move forward immediately on this innovative and exciting project in affordable home ownership!

Learn more about the Irvine Community Land Trust at our website HERE.

You can read our ICLT Newsletter HERE.

In May 2019, the Irvine Community Land Trust was awarded the Platinum Seal of Transparency from GuideStar, the world’s most respected source of information on nonprofit organizations. Read about it HERE.