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HomeMy WebLinkAboutMINUTES - 04062004 - C102 TCU: BOARD OF SUPERVISORS x; . 4u t; Contra Costa FROM: Dennis M. Barry, AICD County Director of Community Development DATE: April 6, 2004 SUBJECT: Allocation of FY 2003/04 HOME Housing Development Assistance Funds and Execution of Required Legal Documents for the Lakeside Apartment Housing Project. SPECIFIC REQUEST(S)OR RECOMMENDATIONS(S) & BACKGROUND AND JUSTIFICATION RECOMMENDATIONS (1) APPROVE the allocation of$2,000,000 in HOME Investment Partnership Act(HOME) Housing Development Assistance Funds(HDAF) to Resources for Community Development(RCD) for the Lakeside Apartment project and(2) AUTHORIZE the Deputy Director,Redevelopment, or his designee to execute all legal documents required to complete this project. FISCAL IMPACT No General Fund impact. HOME funds are provided to the County on a formula allocation basis through the U.S. Department of Housing and Urban Development. CONTINUED ON ATTACHMENT: X YES SIGNATURE: COMMENDATION OF COUN"T"Y ADMINISTRATOR_r E OMME ATION OF BOAR COMMITTEE _,,,APPROVE �OTHER ' SIGNATURE!!!] ACTION OF BOARD ON / ril 6 APPROVED AS RECOMMENDED x OTHER VOTE OF SUPERVISORS I HEREBY CERTIFY THAT THIS IS A x UNANIMOUS (ABSENT None } TRUE AND CORRECT COPY OF AN AYES: NOES: ACTION TAKEN AND ENTERED ON THE ABSENT: ABSTAIN: MINUTES OF THE BOARD OF SUPERVISORS ON THE DATE SHOWN. Contact: Kara Douglas, 335-1253 ATTESTED April 6, 2004' Orig: Community Development/CDBG JOHN SWEETEN,CLERK cc: County Administrator OF THE BOARD OF SUPERVISORS County Counsel ACOUNT AD1V� I RATOR Auditor-Controller BY 5 DEPUTY BACKGROUND/REASONS FOR RECOMMENDATIONS On March 23, 2004, the Board of Supervisors approved the consolidation of$2,525,802 in the FY 2003/04 HOME HDAF. On March 25, 2004, the Affordable Housing Finance Committee(AHFC)recommended that the Board of Supervisors allocate$2,000,000 in FY 2003/04 HOME HDAF funds to RCD for the Lakeside Apartment project in Concord. The purpose of this project is to increase the supply of multifamily rental housing affordable to and occupied by lower income households in Central County. RCD has purchased the 124 unit Lakeside Apartment complex and proposes to rehabilitate the apartments. All units will be affordable to households earning less than 60 percent of the area median income(AMI) with a mix of units affordable/occupied by households at 30 and: 50 percent AMI. Sixty units will be HOME-assisted units including 10 units at 30 percent AMI,27 units at 50 percent AMI, and the remaining 23 units at 60 percent AMI. All apartments will remain affordable for 55 years. The total development cost for the project is $18,657,165, or$150,461 per unit. HOME FUNDS REQUESTED $ 2,000,000 Concord Redevelopment Agency* 3,183,945 FHLB Affordable Housing Program 558,000 Tax-exempt bonds 7,285,100 Low Income Housing Tax Credits 4,737,822 Deferred Developer Fee 500,000 Income from operations 392,298 TOTAL $18,657,165 On September 9, 2003 the Board adopted an inducement resolution providing for the issuance of revenue bonds to assist with the financing of this project. The ownership entity of this project will be Lakeside Apartments, L.P. RCD will be the managing general partner. A tax credit investor to be determined will be the limited partner. Required legal documents for this transaction will include,but may not be limited to the HOME Project Agreement, escrow instructions, loan agreement, regulatory agreement,promissory note, deed of trust and security agreement, intercreditor agreement, subordination agreement, and estoppel certificate. KD I1;\kduuglas\New\Board Ordei-0004\Lakeside I Am