Title
Resolution Approving and Authorizing an Amendment to the Acquisition Loan Made to Jamestown Homes, LLLP. District 8, Ward 1
Body
WHEREAS, the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota (the "HRA") is a public body corporate and politic established pursuant to the provisions of Minnesota Statutes section 469.001 et seq.; and
WHEREAS, the HRA has the power to engage in development or redevelopment activities under Minnesota law; is authorized to engage in activities relating to (a) housing projects and development, (b) removal and prevention of the spread of conditions of blight or deterioration, (c) bringing substandard buildings and improvements into compliance with public standards, (d) disposition of land for private redevelopment, and (e) improving the tax base and the financial stability of the community, when these needs cannot be met through reliance solely upon private initiative and which can also be undertaken in targeted neighborhoods; and is authorized to create redevelopment projects as defined in Minnesota Statutes section 469.002, subd. 14; and
WHEREAS, Jamestown Homes, LLLP (the “Developer”) requested from the HRA a $1,000,000 loan for the purpose of acquiring the Jamestown Homes site located at 564 Central Avenue and comprised of seventy-three (73) units of affordable rental housing (the “Project”); and
WHEREAS, on May 14, 2014, by Resolution 14-846, the Board of Commissioners of the HRA determined that there was a proper public purpose to providing the requested acquisition assistance to the Project, and approved such assistance in the form of a loan, deferred until December 31, 2058, in the amount of up to $1,000,000, consisting entirely of federal Community Development Block Grant (“CDBG”) funds; and
WHEREAS, the Developer has requested an amendment to the previously approved loan to increase the loan by $350,000, for a total loan amount of $1,350,000 in order to address unforeseen structural and electrical conditions uncovered during the course of rehabilitation, all other terms will remain the same; and
WHEREAS, the Board finds a public purpose in amending the existing loan to continue to support the rehabilitation of the Project; and
NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota, that:
1. The HRA Board approves the amendment to increase the $1,000,000 loan by $350,000 to Jamestown Homes, LLLP.
2. The HRA Executive Director, staff and legal counsel are authorized and directed to take any actions required to implement this Resolution provided that such agreement and documents are acceptable in form and substance to the Saint Paul City Attorney.