54239.2.
Before selling unimproved property within the State Route 710 corridor in the City of Los Angeles, City of Pasadena, and City of South Pasadena pursuant to Section 118 of the Streets and Highways Code, the Department of Transportation shall offer to sell the property at the price paid by the Department of Transportation for original acquisition to a housing-related entity for affordable housing purposes, in accordance with the following:(a) The sales price shall be the price paid by the Department of Transportation for original acquisition. The original acquisition price shall not be adjusted for inflation.
(b) Property sold pursuant to this section shall be sold in the
existing “as is” condition.
(c) For each property purchased under this section, the housing-related entity shall do all of the following:
(1) (A) Cause the property to be used for low- and moderate-income rental housing for a term of at least 55 years. The purchase and operation of the property shall be subject to a covenant recorded against the property that requires the property to remain available and affordable for rental by lower income and moderate-income households, as defined by Sections 50079.5 and 50052.5 of the Health and Safety Code, respectively, for a term no shorter than 55 years.
(B) In the event that the property is sold prior to the expiration of the covenant, the covenant shall remain in effect until the time at which it expires. In the event the housing-related entity is no longer able to provide the housing on the property, the housing-related entity shall transfer the title to the city in which the property is located, which shall transfer the title and operations to a successor housing-related entity that will maintain the property and the operations in compliance with the covenant. Any housing-related entity purchaser shall comply with monitoring requirements, as determined by the Department of Transportation.
(2) Cause any new units added to the property to be used only for low- or moderate-income rental housing.
(d) The Department of Transportation may designate in regulations, or delegate by agreement to, a public agency to monitor the property’s compliance with the covenant required by this section. The monitoring entity may charge the property owner a fee to recover the cost of this monitoring.
(e) This section shall not apply to unimproved property subject to a valid lease pursuant to Section 104.7 of the Streets and Highway Code.
(f) It is the intent of the Legislature to apply a skilled and trained workforce requirement on potential affordable housing projects.