RES 22-011RE SO LU TI O N N O . 22-011
A RE SO LUTI ON appro ving a M ulti-Fam ily H ousing Lim ited
Pro perty Tax Exem ption A greem ent w ith H udson Eas t Living, LLC
pursuant to Cam as M unicipal Code Chapter 3.86
WH ERE A S, Under Chapter 3.86 of the Cam as M unicipal Code th e City enacted a pro gra m
whereby pro perty ow ners m ay qualify fo r a Final Certificate of Tax Exem ption w hich certifies to the
Clark County A ssessor that the ow ner is eligible to receive a lim ited pro perty tax exem ption; an d
WH ERE A S, H udson Eas t Li ving, LLC has subm itted a com plete applic ation requesting
qualification fo r th e lim ited pro perty tax exem ption; and
WHE RE A S, the City an d Hudson East Li ving, LLC have negotiated the term s of a M ulti-Fam ily
Housing Tax Exem ption Agr eem ent as set forth in the attached Exhi bit "A ";
N OW , TH ERE FO RE , BE IT RE SO LVE D BY THE CO UN C IL OF TH E CIT Y O F CAMA S A S
FO LLO W S:
SECTI ON I
The M ulti-Fam ily Housing Pro perty Tax Exem ption A greem ent betw een th e City of Cam as an d
Hudson East Li ving, LLC attached hereto as Exh ibit "A " is hereby appro ved and the M ayor is hereby
authorized to sign the sam e on the behalf of th e City of Cam as.
AD O PTED at a regular Coun cil m eeting this 6th day of Septembe
ATTE ST: -If~ ~~-
Clerk
APPROVED as to form:
~~ City Attorney
~~ EXHIBITA
Cifnas
WASHINGTON
CITY OF CAMAS
MUL TI-FAMILY HOUSING LIMITED
PROPERTY TAX EXEMPTION AGREEMENT
T H IS A G R E E M EN T is en tered in to thi s_d ay of A u gu st, 2022, by an d
betw een HUDSON EAST LIVING, LLC (hereinafter referred to as the "Own er"),
and the CITY OF CAMA S, a mun icipal, corporation of the State of Washin gton
(hereinafter referred to as the "City").
WHEREAS the City has an interest in stim ulating new construction or
rehabilitation of multi-famil y housing in Residential Target Areas in order to reduce
development pressure on single-family residen tial neighborhoods, to increase an d
improve housing opportuni ties, an d to encourage development densities supportive
of transit use, an d
WHEREAS the City has, pursuant to the authority granted to it by Ch apter 84.14
RCW , design ated various Residential Target Areas for the provision of a lim ited
p ro p erty tax exemption for new multi-famil y residential housing, and
W H E R E A S th e Ci ty h as, th rou gh C am as M uni ci p al C od e (h erein after referred
to as "C M C ") C h ap ter 3.86, en acted a p rogram whereby property own ers may
qu al ify fo r a F in al C ertifi cate of T ax E xem p ti on w hi ch certifi es to th e Clark Coun ty
Assessor that the own er is eligible to receive a limi ted property tax exemption, and
WHEREAS, Th e Own er is interested in receiving the multiple famil y property tax
exemption for new multiple fami ly residential housing uni ts in the Down town District,
a residential targeted area; and
W HEREAS, Th e Own er has submi tted to the City a complete application form
for no fewer than fifty -six (56) uni ts of new multifami ly housing within a structur e
that includes comm ercial uses on the groun d floor.
WHEREAS the Owner has submitted to the City preliminary site plans and floor
plans for multi-famil y residential housing to be constru cted on said property legally
described as:
404 NE 6th A venue, in the City of Cam as, Clark County. Assessor's Parcel Number 79150-
000, commonly known as Hudson East Mixed Use project, hereinafter referred to as the
"Site," and
WHEREAS the City has determined that the improvements will, if completed
as proposed, satisfy the requir ements for a Final Certificate of Tax Exemption;
NOW, THEREFORE, the City and the Owner do mutually agree as follows:
1. The City agrees to issue the Own er a Conditional Certificate of Acceptance
of Tax Exemption.
2. The Owner agrees to construct on the Site multi-family residential housing
substantially as described in the most recent site plans, floor plans, and elevations on
fil e wi th th e Ci ty as of the date of admini strative approval of this Agreement.
3. The project shall comply with all applicable zoning requir ements, land use
requir em en ts, design review requirements and all building, fire, and housing code
requirements contained in the Camas Muni cipal Code (herein referred to as the
"CMC") at the time a complete application for a building permi t is received and shall
further provide for a minim um of 42 off-street parking spaces
4. The new multiple-uni t housing shall provide for a minim um of fifty (50)
percent of th e space fo r perm an ent residential occupancy.
5. Th e Own er shall complete construction of the agreed upon improvements
wi thin th ree year s from th e date th e C ity issues th e C ondi tional C ertifi cate of
A cceptan ce of Tax Exem ption, or w ithin any extension th ereof gran ted by th e C ity .
6. Th e O wn er is requestin g a eight year limi ted pro perty tax exemption. The
O wn er shall, upon com pletion of th e im pro vem ents an d upon issuan ce by the City of
MULTIFAMILY HOUSING UMITED PROPERTY TAX
EXEMPTrON CONDITIONAL AGREEMENT - 2
a temporary or permanent certificate of occupancy, to file with the City's Department
of Community Development the following:
a) A statement of expenditures made with respect to each multi-
famil y housing uni t and the total expenditures made with respect
to the entire property;
b) A description of the completed work and a statem ent of
qualification for the exemption; and
c) A statement that the work was completed within the required
th ree (3) year period or any authorized extension;
7. Th e Ci ty agrees, conditioned on the Own er's successfu l com pletion of the
im pro vem ents in accordan ce w ith the term s of thi s A greem ent an d on the O wn er's
filin g of th e m aterials descri bed in Paragr aph 6 above, to file an eight year Fin al
C ertifi cate of Tax Exem ption wi th the C lark C oun ty A ssessor.
8. Th e Ow ner, as a contin uin g co ndition of receipt of th e limi ted tax exem ption
set fo rth herein , w ith in 30 days fo llowin g th e first anni versary of th e C ity's fil in g of th e
Fin al C ertifi cate of Tax Exem ption an d each year th ereafter fo r a peri od of eight years
to file a notarized declaration w ith th e C ity 's D epartm ent of C omm un ity Developm ent
in dicatin g th e fo llow in g:
a) A statem en t identify in g th e total num ber of occu pied an d vacan t
m ul tifa m ily uni ts receivin g a pro perty tax exem ption;
b) A certification th at the pro perty contin ues to be in com plian ce w ith the
contract w ith the city ;
c) A descri ption of an y im provem ents or ch an ges to th e pro perty
constru ct ed aft er th e issuan ce of th e certifi cate of tax exem ption;
d) Th e total m onthl y rent fo r each uni t;
e) For exem ptions gran ted un der th e affo rdable housin g pro visions of
thi s ch apter, the in com e of each renter household at th e tim e of ini tial
occu pan cy; an d
M U L TL FA MJ L Y H O U S IN G LI MI T E D PR O P E R TY T A X
EX E MP T IO N C O ND IT IO N AL A G RE E ME N T - 3
9. The Owner shall maintain records to support the declarations made in
Paragraph 8 above. The records and the multifamily units are subject to inspection by
the City. Failure to submit the annual declaration, maintain adequate records, or deny
access to the City for inspection of the units may result in tax exemption being canceled.
10. The parties acknowledge that a minimum of 56 units are to be used and
occupied for residential use. The parties further ackn owledge that the certificate of
o~cupancy issued by the City is for multifamily residential uni ts.
11. If the Owner intends to convert to another use any of the multi-family
residential housing units constructed under this Agreement, the Owner shall notify the
City's Department of Community Development in writing within 30 days prior to such
change in use. The Own er shall notify Clark County upon conversion to a non-
residential use.
12. The Own er agrees to notify the City within 15 days prior to any transfer of
Owner's ownership interest in the Site or in the improvements made to the Site under
this Agreement. The new own er shall sign and provide to the City an acknowledgment
of continuing compliance with the terms of this Agreement.
13. For purposes of this agreement, "Owner" shall mean the Owners
Association of a condominium complex in the event that such association is
established which shall be responsible for all reporting requirements required herein
on behalf of the own ers of individual condominium units.
14. Subject to the provisions of CMC 3.86.040L, the City, in its sole discretion,
reserves the right to cancel the Final Certificate of Tax Exemption should the Owner,
its successors and assigns, fail to comply with any of the terms and conditions of this
Agreement.
15. The Owner ackn owledges its awareness of the potential tax liability involved
if and when the property ceases to be eligible for the incentive provided pursuant to
this agreement. Such liability may include additional real property tax, penalties and
interest imposed pursuant to RCW 84.14.110.
MULTLFAMlLY HOUSING LlMITED PROPERTY TAX
EXEMPTION CONDITIONAL AGREEMENT - 4
16. Nothing in this Agreement shall permit or be interpreted to permit either
party to violate an y pro vision of C hapter 84.14 RC W or C M C Chapter 3.86.
17. N o m odifications of thi s A greem en t shall be m ade unl ess m utu ally agreed
upon by the parties in w ritin g.
18 . Th e Own er ackn ow ledges its aw areness of th e potential tax liability
in volved if an d w hen th e pro perty ceases to be eligi ble fo r th e in centive pro vided
pur suan t to thi s agr eem ent. Such liability m ay in clude additional real property tax,
penalties an d in terest im posed pur suant to RCW 84.14.110. The Owner further
ackn owledges its awareness and understanding of the process implemented by the
Clark County Assessor's Office for the appraisal and assessment of property taxes.
The Own er agrees that the City is not responsible for the property value
assessment imposed by Clark County at any time during the exemption period.
19. In the event that any term or clause of this Agreement conflicts with applicable
law, such conflict shall not affect other terms of this Agreement which can be given
effect without the conflicting term or clause, and to this end, the terms of this
Agreement are declared to be severable.
MULTIFAMILY HOUSING LlMJTED PROPERTY TAX
EXEMPTION CONDITIONAL AGREEMENT - 5
IN WITNESS WHEREOF the parties hereto have executed this Agreement as of
the day an d year first above written.
CITY OF CAMA S Property Owners:
Robert M aul, Interim Director
Dept. of Comm un ity Development
Approved as to Form:
Shawn MacPherson, City Attorney
MUL TlFAMILY HOUSING LlMJTED PROPERTY TAX
EXEMPTION CONDITIONAL AGREEMENT - 6