HomeMy WebLinkAboutMINUTES - 05241994 - 1.69 HOUSING AUTHORITY OF THE COUNTY OF CONTRA COSTA
TO: BOARD OF COMMISSIONERS
FROM: Richard J. Martinez, Executive Director
DATE: May 24, 1994
SUBJECT: CASA DEL RIO SENIOR HOUSING DEVELOPMENT: RESOLUTION NO. 3710 AUTHORIZING
ACTION TO BE UNDERTAKEN IN CONNECTION WITH THE INVESTMENT OF MHIFED I LIMITED
PARTNERSHIP IN CDR SENIOR HOUSING ASSOCIATES, A CALIFORNIA LIMITED PARTNERSHIP
SPECIFIC REQUEST(S) OR RECOMMENDATIONS) & BACKGROUND AND JUSTIFICATION
I. RECOMMENDED ACTION
ADOPT Resolution No. 3710 AUTHORIZING the Housing Authority to (a) assist CDR Senior Housing
Associates (the 'Partnership") with the syndication of the Partnership interests; (b) enter into any and all agreements
with the Partnership, or with MHIFED I Limited Partnership (the "Limited Partner"), and take any and all further
actions necessary to syndicate the Partnership interests; and (c) capitalize HACCC Casa del Rio, Inc. (the "General
Partner") in an amount not to exceed One Hundred Ninety Five Thousand Dollars ($195,000) with the Demand Note;
and AUTHORIZING the Executive Director of the Housing Authority to take any and all actions and to execute any
and all agreements necessary to syndicate the Partnership interests,subject to review and approval by County Counsel.
I1. FINANCIAL IMPACT:
No General Funds required. Payments are charged to the project budget.
III. REASONS FOR RECOMMENDATION/BACKGROUND
Through the Federal Low Income Housing Tax Credit program,the California Tax Credit Allocation Committee
(TCAC) has issued a carryover allocation for the Casa del Rio development in Antioch, CA. Under this program, tax
credits are sold to investors/limited partners to provide substantial syndications proceeds for low income housing
projects, such as Casa del Rio, which received carryover allocations.
CDR Senior Housing Associates,a limited partnership composed of the Authority's non-profit affiliate and the
for-profit investor, is willing to purchase the project. Pursuant to Board authorization on December 7, 1993, the
Authority established HACCC Casa del Rio, Inc. to act as the managing general partner of CDR Senior.,Housing
Associates,.the Partnership. At this time,it is necessary for the Authority to assist the Partnership with the syndication
of the Partnership interests. This will require the Authority to enter into agreements with the Partnership, or with
MHIFED I Limited Partnership, a Delaware limited partnership (the"Limited Partner"). These agreements include,
but are not limited to, an operating deficit guaranty agreement, an indemnification agreement, an option agreement,
and indemnity related to the Integrated Development Services Agreement (IDSA) with FPI, and any other necessary
agreements. It will also require the Authority to take any and all further actions necessary to syndicate the Partnership
interests.
In addition, it is necessary for the Authority to capitalize HACCC Casa del Rio, Inc. (the"General Partner's
in an amount not to exceed One Hundred Ninety Five Thousand Dollars ($195,000) in the form of a demand note (the
"Demand Note") executed by the Authority in favor of the General Partner.
CONTINUED ON ATTACHMENT: YES SIGNATURE
RECOMMENDATION OF EXECUTIVE DIRECTOR RECOMMENDATION OF BOARD COMMITTEE
APPROVE OTHER
SIGNATURE(S) :
ACTION OF BOARD ON APPROVED AS RECOMMENDED ✓ OTHER
VOTE OF COMMISSIONERS
I HEREBY CERTIFY THAT THIS IS A
UNANIMOUS (ABSENT 1 TRUE AND CORRECT COPY OF AN
AYES: NOES: ACTION TAKEN AND ENTERED ON THE
ABSENT: ABSTAIN: MINUTES OF THE BOARD OF
COMMISSIONERS ON THE DATE SHOWN.
ATTESTED_
PH L BATCF ELOR, CLERK OF
THE BOARD OF COMMISSIONERS
AND COUNTY ADMINISTRATOR
BY Com, 0 0_,_ , DEPUTY
It is recommended that the Executive Director or the Housing Authority be authorized, by the Board of
Commissioners, to enter into any and all agreements and to take any and all actions necessary to syndicate the
Partnership interests. County Counsel will review and approve all agreements prior to the Executive Director executing
those agreements.
At its regular meeting on May 16, 1994, the Advisory Housing Commission recommended that the Board of
Commissioners approve the Resolution.
W. CONSEQUENCE OF NEGATIVE ACTION:
A decision by the Board of Commissioners not to approve the Resolution would mean that the Housing
Authority would not be able to participate in the tax credit program and would jeopardize the syndication proceeds
to be used to make the project more financially sound.
m1g:c\bo-3710.ash
THE BOARD OF COMMISSIONERS
HOUSING AUTHORITY OF THE COUNTY OF CONTRA COSTA
RESOLUTION NO. 3710
RESOLUTION AUTHORIZING ACTION TO BE UNDERTAKEN IN CONNECTION
WITH THE INVESTMENT OF MHIFED I LIMITED PARTNERSHIP IN
CDR SENIOR HOUSING ASSOCIATES, A CALIFORNIA LIMITED PARTNERSHIP
WHEREAS, the Board of Commissioners of the Housing Authority
of the County of Contra Costa (the "Housing Authority" ) deems it to
be in the best interests of the Housing Authority to assist CDR
Senior Housing Associates, a California Limited Partnership (the
"Partnership" ) with the syndication of Partnership interests, for
the Casa del Rio Senior Housing Development, and have the Housing
Authority enter into any and all agreements with the Partnership or
MHIFED I Limited Partnership, a Delaware limited partnership (the
"Limited Partner" ) including but not limited to an operating
deficit guaranty agreement, an indemnification agreement, an option
agreement and indemnity related to the Integrated Development
Services Agreement with FPI, and any other agreements, and to take
any and all further actions necessary to syndicate the Partnership
interests;
WHEREAS, the Board of Commissioners of the Housing Authority
deems it to be in the best interests of the Housing Authority to
capitalize HACCC Casa del Rio, Inc. the general partner of the
Partnership (the "General Partner" ) in an amount not to exceed One
Hundred Ninety Five Thousand Dollars ($195,000) in the form of a
demand note executed by the Housing Authority in favor of the
General Partner (the "Demand Note" ) ;
NOW, THEREFORE, BE IT RESOLVED, as follows :
1 . That the Housing Authority shall assist the Partnership
with the syndication of the Partnership interests, and shall
enter into any and all agreements with the Partnership or the
Limited Partner, including by not limited to an operating
deficit guaranty agreement, an indemnification agreement, an
option agreement and indemnity related to the Integrated
Development Services Agreement with FPI, and any other
agreements , and shall take any and all further action
necessary to syndicate the Partnership interests .
2 . That the Housing Authority shall capitalize the General
Partner in an amount not to exceed One Hundred Ninety Five
Thousand Dollars ( $195, 000) with the Demand Note.
3 . That the Executive Director is hereby authorized and
directed to take any and all actions, and execute any and all
agreements, including but not limited to an operating deficit
guaranty agreement, indemnification agreement, option
agreement, and the indemnity related to the Integrated
Development Services Agreement with FPI, and any other types
of agreements, and to take any and all further actions
necessary to syndicate the Partnership interests .
4 . That this resolution shall take effect immediately.
PASSED AND ADOPTED THIS 24th day of NaY 1994 by the
following vote of the Commissioners :
AYES : Supervisors Smith, Bishop, DeSaulnier, TOrlaksOn and Powers
NOES: None
ABSENT: None
ABSTAIN: None
cc: County Administrator
County Counsel
Housing Authority
05/12/94 18:30 FAX 510 372 0238 H.A, C.C.C. C.C.C. ADMIN 9004/005
HOUS G AUTHORITY OF THE COUNTY OF CONRA COSTA
' TO BOARD OF COMMISSIONERS
FROld: Richard S. Martinez, Executive Director
DATE: May 24, 1994
SUB,7ECTs CASA DEL RIO SENIOR HOUSING DEVELOPMENT: RESOLUTION NO. 3710 AUTHORIZING
ACTION TO BE UNDERTAKEN IN CONNECTION WITH THE INVESTMENT OF MRIFED I LIMITED
PARTNERSHIP IN CDR SENIOR HOUSING ASSOCIATES, A CALIFORNIA LIMITED PARTNERSHIP
SPECIFIC RSQUEST(Sf Z3 rECfflM'ffDAT10N(S) & BACKMOUND AND svSTIFI TI
1. RECOMMENDED ACTION
ADOPT Resolution Na 3710 AUJFIORdZMG the Housing Authority to (a) assist CDR Senior Housing
Associates(the"Partnership")with the syndication of the Partnership interests;(b)enter Into any and all agreements
with the Partnership,or with MHIFED I Limited Partnership(the"Limited Partner`),and take any and all further
actions necessary to syndicate the Partnership interests;and(c)capitalize HACCC Casa del Rio,Inc.(the"General
Partner")to an amount not to exceed One hundred Ninety Five Thousand Dollars($195,004)with the Demand Note;
and AUTHORIZING the Executive Director of the Housing Authority to take any and all actions and to execute any
and all agreements necessary to syndicate the Partnership Interests,subject to review and approval by County Counsel.
II. FINANCIAL IMPACT,
No General Funds required. Payments are charged to the project budget.
III. REASONS FOR RECOMMENDATIONIBACKGROUND
Through the Federal Low Income Housing Tax Credit program,the California Tax Credit Allocation Committee.
(ICAC)has issued a carryover allocation for the Casa dei Rio development in Antioch,CA. tinder this program,tax
credits are sold to tavestors/limited partners to provide substantial syndications proceeds for low income housing
projects,such as Casa del Rio,which received carryover allocations.
CBR Senior Housing Associates,a limited partnership composed of the Authority's non-profit affiliate and the
for�prolit investor,is willing to purchase the project. Pursuant to Board authorization on December 7,1943,the
Authority established HACCC Casa del Rio,Inc to act as the managing general partner or CDR Senlor,11ousing
Associates,.the.Partnership. At this time,it is necessary for the Authority to assist the Partnership with the syndication
of the Partnership interests. This will require the Authority to enter into agreements with the Partnership,or with
MHIFED I Limited Partnership,a Delaware limited partnership(the"Limited Partner"). 'Riese agreements include,
but are not limited to,an operating deficit guaranty agreement,an indemnification agreement,an option agreement,
and indemnity related to the Integrated Development Services Agreement(IDSA)with FPI,and any other necessary
agreements. It will also require the Autharlty to take any and all further actions necessary to syndicate the Partnership
interests.
In addition,it is necessary for the Authority to capitalize HACCC Casa del Rip,Inc. (the"General Partner')
in an amount not to exceed One Hundred Ninety Five Thousand Dollars($195,000)in the farm of a demand note(the
"Demand Note")executed by the Authority in favor of the General Partner.
CONTINUED ON ATTACHMENT: YES SIGNATURE �I 41
RECCUMNUMTION OF EXECUTIVE DIRECTOR RECOKKEINUATION OF SOARn COMMITTEI
APPROVE OREIIR
SIGNATURE(S):
ACTION OF BOARD ON -- _ — APPR07M AS RECOMKMDSD OTHER _
VOTE OF COMMISSXONERs
I HEREBY csRTizrs' Tl3A'P Tars IS A
UNANIMOUS (ABSENT l TRUE AND CORRECT COPY OF AN
AYES: NOES: ACTION TAKEN AND ENTERED ON THE
ASSENT: ABSTAIN: MINUTES OF THE BOARD OF
COMMISSIONERS ON THE DATE SHOWN.
ATTESTED
PHIL BATCHELOR, CLERIC. OF
THE BOARD OF COMMISSIONERS
AND COUNTY ADMINISTRATOR
BY DEPUTY
05/12/94 18:31 FAX 510 372 0236 R.A., C.C.C. C.C.C. ADMIN 0005/005
. THE BOARD OF COMMISSIONERS
SOUSING AUTHORITY OF THE COUNTY OF CONTRA COSTA
RESOLUTION NO. 3710
RESOLUTION A MORYZING ACTION TO BE WMERTAKEP+i IN CONY+IECTI N
WITH THE INVESTMENT OF MHIFED I LIMITED. PARTNERSHIP IN
CDR SENIOR. HOUSING ASSOCIATES, A CALIFORNIA LIMITED PARTNERSHIP
WHEREAS, the Board of Commissioners of the Housing Authority
of the County of Contra Costa (the "Housing Authority" ) deems it to
be in the best interests of the Housing Authority to assist CDR
Senior Housing Associates, a California Limited Partnership (the
"Partnership" ) with the syndication of Partnership interests, for
the Casa del Rio Senior Housing Development, and have the Housing
Authority enter into any and all agreements with the Partnership or
MHIFED I Limited Partnership, a Delaware limited partnership (the
"Limited Partner" ) including but not limited. to an operating
deficit guaranty agreement, an indemnification agreement, an option
agreement and indemnity related to the Integrated Development
Services Agreement with FPI, and any other agreements, and to take
any and all further actions necessary to syndicate the Partnership
interests
WHEREAS, the Board of Commissioners of the Housing Authority
deems it to be in the best interests of the Housing Authority to
capitalise HACCC Casa del Rio, Inc. the general partner of the
Partnership (the "General Partner" ) in an amount not to exceed One
Hundred Ninety Five Thousand Dollars ($195,000) in the form of a
demand note executed by the Housing Authority in favor of the
General Partner (the "Demand Note" ) ;
NOW, THEREFORE, BE IT RESOLVED, as follows:
1. That the Housing Authority shall assist the Partnership
with the syndication of the Partnership interests, and shall
enter into any and all agreements with the Partnership or the
Limited Partner, including by not limited to an operation
deficit guaranty agreement, an indemnification agreement, an
option agreement and indemnity related to the Integrated
Development Services Agreement with FPI, and any other
agreements, and shall take any and all further action
necessary to syndicate the Partnership interests.
2 . That the Housing Authority shall capitalise the General
Partner in an amount not to exceed One Hundred Ninety Farre
Thousand Dollars ($195,000) with the Demand Note.
3. That the Executive Director is hereby authorised and
directed to take any and all actions, and execute any and all
agreements, including but not limited to an operating deficit
guaranty agreement, indemnification agreement, option
agreement, and the indemnity related to the Integrated