HomeMy WebLinkAboutMINUTES - 10191993 - 1.68 _ . 1e
68
` Contra
a ; Costa
TO: REDEVELOPMENT AGENCY County
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FROM: Phil Batchelor
Executive Director
DATE: October 19. 1993
SUBJECT: First Amendment to Development Loan Agreement-Alves Lane Housing Project., Bay Point Redevelopment Project
Area
SPECIFIC REQUEST(S)OR RECOMMENDATIONS(S)& BACKGROUND AND JUSTIFICATION
RECOMMENDATIONS
APPROVE an amended Development Loan Agreement between the Redevelopment Agency and Resources for Community
Development.
AUTHORIZE the Deputy Director of Redevelopment to execute the Amended Agreement and loan documents related
thereto.
FISCAL IMPACT
None to the General fund. This Amendment adds an additional $190.000 to the Development Loan provided to Resources
for Community Dcvclopment. These funds come out of the Bay Point Redevelopment Project Arca Capital Projects Reserve
to be repaid out of future _years Housing Sct-Aside. This amendment was provided for in the Agency's 1993-94 adopted
budget.
BACKGROUND/REASONS FOR RECOMMENDATIONS
On April 3. 1993, a Development Loan Agreement was executed between Resources for Community Development, a non-
profit development corporation and the Contra Costa County Redevelopment Agency in support of the acquisition and
development of property located at 112 Alves Lane in the Bay Point Redevelopment.Project Area. This site was foreclosed
by the Avon Refinery Credit Union and was in severe disrepair. The development plans include the demolition of the twelve
small units on the site and the construction of fourteen new high-quality affordable units..built aroun a courtyard. Two-
three bedroom units are designed for and accessible by physically liu�ndic� ped persons.
CONTINUED ON ATTACHMENT: X_YES SIGNATURE:
_RECOMMENDATION OF EXECUTIVE DIRECTOR_RECOMM DATION OF,AG NCY COMMITT
APPROVE OTHER
SIGNATURE(S): i
I ACTION OF AGENCY ON
October 19 , 1993 APPROVED AS RECOMMENDED x OTH
VOTE OF COMMISSIONERS
I HEREBY CERTIFY THAT THIS
x UNANIMOUS(ABSENT ) TRUE AND CORRECT COPY OF AN
AYES: NOES: ACTION TAKEN AND ENTERED ON THE
ABSENT: ABSTAIN: MINUTES OF THE REDEVELOPMENT
AGENCY ON THE DATE SHOWN.
Contact: Carole Norris
646-4076 ATTESTED October 19 , 1993
cc: Community Development PHIL BATCHELOR,
Countv Administrator AGENCY SECRETARY
Redevelopment Agency
County Counsel
Auditor-Controller
Via Redevelopment
Resources for Community Development
LEPUTY
BY
Jr
This development will make a significant improvement to the Bay Point Area by upgrading substandard housing and halting and
reversing neighborhood deterioration. It will make decent, safe and affordable rental housing available to County residents, and
makes suitable housing available to accommodate County residents with special needs, such as disabled persons.
The initial commitment from the Redevelopment Agency was contingent upon Resources for Community Development leveraging
sufficient funds from other sources to fund the project. Since that time. Resources for Community Development has successfully
competed for Community Development Block Gant Funds, County HOME funds, an Affordable Housing Program (AHP) grant
from First Nationwide Bank and Low-income Housing Tax Credits. Total project costs are projected to be $2,241,791. The
additional$190,000 from the Redevelopment Agency will compete the financing and allow the project to proceed.
The amended Development Loan Agreement makes the following changes to the Agreement:
(1) Increases the Loan Amount from$250,000 to$440.000.-
(2)
440.000:(2) Amends Section LI (f), Construction and Permanent Financing, with the following changes: item ii) County
CDBG funds of Seventy Thousand Dollars ($70.000), item iii) Wells Fargo Construction Loan of up to One Million One
Hundred Thousand ($1,100,000); item iv) First Nationwide Permanent Loan of$305,000, and item v) First Nationwide -
AHP of$90,000
(3) Amends Section 1.1 (r) to allow the Partnership to transfer the property to RCD after the fifteen (15) year tax
benefit period has expired.
(4) Amends Section 4.2 to change the date the land shall be purchased to November 30, 1993, and the start of
construction to June 30, 1994.
(5) Adds the following phrase to the beginning of the third sentence of Section 7.2 (a): "To the extent permitted in
the Loan Documents...".
This action has been reviewed and recommended by the Bay Point Redevelopment.Project Area Committee.
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