Title
Approving issuance of a Community Development Block Grant (CDBG) loan in the amount of $270,000 and execution of a loan agreement for the American House Project located at 352 Wacouta Street (District 17, Ward 2).
Body
WHEREAS, on January 12, 2022 by Resolution 22-50, the HRA approved financing for the rehabilitation of the American House Project (“Project”) which is comprised of 69 single room occupancy units and is home to very low income individuals, many of whom have experienced homelessness;
WHEREAS, during the course of rehabilitation, significant exterior brick deterioration was discovered, which wasn’t part of the initial scope;
WHEREAS, 352 Wacouta Street, LLC, of which Beacon Interfaith Housing Collaborative is the sole owner (“Developer”) has requested additional financial assistance in the amount of $270,000 from the City to carry out the exterior renovation;
WHEREAS, to facilitate the renovation, the City of Saint Paul Housing and Redevelopment Authority (HRA) has recommended approval of the CDBG Loan at 0% interest, coterminous with existing project financing, and entrance into a loan agreement;
WHEREAS, the City hereby finds that the Project is in the best interest of the residents of the City and will benefit the health, safety, morals and welfare of the residents of the City; now therefore, be it
RESOLVED by the City Council of the City of Saint Paul as follows:
1. The issuance of the CDBG Loan to the Developer for the Project is hereby approved.
2. The execution of a loan agreement between City and Developer setting forth the terms of the CDBG Loan is hereby approved.
3. The City Council hereby approves and authorizes City staff to take all actions necessary to carry out the activities authorized by this Resolution, including finalizing all documents and agreements, subject to approval by the City Attorne...
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