Title
Resolution Approving and Authorizing the Execution of a $1,000,000 Loan to Twin Cities Housing Development Corporation for the Acquisition of Jamestown Homes, Summit-University, 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, Twin Cities Housing Development Corporation (the "Developer"), is asking the HRA to provide up to $1,000,000 in financing to assist in the acquisition of Jamestown Homes (aka Malcolm Shabazz Apartments) consisting of seventy-three (73) units of affordable rental housing (the "Project"), located at 564 Central Avenue, by the Borrower; and
WHEREAS, the Developer has requested financial assistance in the amount of up to $1,000,000 for the Project, which loan shall be deferred for a period of thirty (30) years ("Loan"); and
WHEREAS, the HRA Board determines that there is proper public purpose to assist with Project financing by allocating a combination of Affordable Housing Trust Fund ($750,000) and CDBG ($250,000) funds of up to $1,000,000 for the Project in accordance with the terms described in the attached board report,
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 hereby approves the Loan consistent with the terms and conditions set forth in this Resolution and the attached Report to the Commissioners.
2. The HRA authorizes and directs the HRA Executive Director to negotiate and execute the Loan Agreement and other required documents on behalf of the HRA provided that such agreement and documents are acceptable in form and substance to the Saint Paul City Attorney.
3. The HRA approves the budget amendment set forth in Attachment A to this Resolution.
4. The HRA Executive Director, staff and legal counsel are authorized and directed to take any actions required to implement this Resolution.