Title
Request for Approval of Extension of the Maturity Date of Certain Model Cities Families First No. 1 LLC Loans, Approval of a CDBG Loan of up to $249,000 to Model Cities Families First No. 1 LLC, Approval of Re-Subordination of some Model Cities Families First No. 1 LLC Loans, and Approval of the Assignment and Assumption for 833 University Ave to Model Cities Families First No. 1 LLC., District 7, Ward 1
Body
WHEREAS, in 1992 the HRA approved a loan for $155,000 deferred with 2% interest of HRA Loan Enterprise Fund to Model Cities for the acquisition and rehabilitation of a property located at 515 North Dale in Saint Paul to be used as permanent housing for women and their children who are participating in the Family First Program; and
WHEREAS, in 2002, the HRA approved a loan for $25,000 deferred with no interest of CDBG funds to Model Cities for the acquisition of the property located at 914 Thomas to be used as permanent housing for women and their children who are participating in the Family First Program; and
WHEREAS, in 2004, the HRA approved a loan for $300,000 deferred with 2% interest of HOME funds to Model Cities for the new construction a 6-unit apartment building located at 833 University as part of their supportive housing program for chronically homeless families and their children; and
WHEREAS, Model Cities has secured a new PARIF loan from Minnesota Housing to correct deferred maintenance, replace worn out items, and improve energy efficiency in the properties located at 914 Thomas, 515 Dale, and 833 University; and
WHEREAS, Model Cities Families First No 1 LLC will reimburse the City HRA Loan Enterprise Fund in the amount of $155,000 plus 2% interest with principal and interest to be adjusted to the date of closing; and
WHEREAS, HRA will provide a loan of up to $249,000 of CDBG funds to be used for eligible construction costs on 515 N Dale Street; and
WHEREAS, in order to simplify the project structure, Model Cities plans to consoli...
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