Title
Approving the assignment, assumption, modification, and subordination of the City’s Metropolitan Council Loan in connection with the Project for Pride in Living/Ain Dah Yung Center Project.
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WHEREAS, the City of Saint Paul, Minnesota (“City”) has duly adopted and there is now in effect a City-Wide Comprehensive Plan/Redevelopment Plan for the acquisition, rehabilitation and resale of properties;
WHEREAS, the City recognizes the problems created by deteriorated and blighting buildings, inappropriate land use and vacant/under utilized land in the City’s neighborhoods, and also recognizes the need to take the initiative to address these issues by providing housing opportunities in a wide range of economic diversity and add to the City’s affordable housing inventory; and
WHEREAS, on April 25, 2012, City of Saint Paul received $979,100.00 from Metropolitan Council to assist Model Cities of St Paul, Inc. (“Model Cities”) in the development of the Central Exchange project at 771-785 University Avenue; and
WHEREAS, on January 4, 2013, The City of Saint Paul entered into a Subgrantee Agreement with Model Cities in the amount of $979,100, and Model Cities used $424,008.25 of the allotted funds as a loan to acquire and remove a commercial building located on the site (the “Metropolitan Council Loan”); and
WHEREAS, Model Cities applied for funding to help in the construction of the Central Exchange project, but did not receive the funds necessary to continue the project, and indicated that they are willing to sell this property to another developer; and
WHEREAS, Project for Pride in Living/Ain Dah Yung Center (“Project for Pride in Living”) is interested in developing the site, has offered to purchase the property, and entered into a purchase agreement to do so in April 2017.
WHEREAS, the Project for Pride in Living project will consists of approximately forty-two (42) units of affordable rental housing units for homeless youth with an emphasis on N...
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