Title
Resolution authorizing and approving a loan of up to $1,500,000 in HOME funds; authorizing and approving the removal of an approved $200,000 CDBG Loan; and authorization to enter into a HOME loan agreement and the execution of other related documents for the Stryker Senior Housing project; District 3, Ward 2
Body
WHEREAS, the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota (the “HRA”), is a political subdivision of the State of Minnesota, duly organized and existing under the Constitution and laws of the State of Minnesota; and
WHEREAS, pursuant to Minnesota Statutes, Sections 469.001 to 469.047, as amended (the “Act”), the HRA is authorized to acquire and convey real property and to undertake certain activities to facilitate the redevelopment of real property by private enterprise; and
WHEREAS, the HRA Board in RES PH 21-305 (the “Resolution”) approved the sale of two properties located at 605 and 617 Stryker Avenue in the City of Saint Paul, Minnesota (the “Property”) to Stryker Senior Housing LLC, a Minnesota limited liability company or its assigned (the “Developer”) in order to facilitate redevelopment of the site; and
WHEREAS, the Developer’s proposal for the Property is to construct the Stryker Senior Housing project as a 57-unit multifamily rental housing development including functionally related facilities, with surface parking on the Property (the “Proposal”); and
WHEREAS, as part of the Resolution the HRA Board approved among other actions a HOME loan in the amount up to $750,000, and a CDBG loan in the amount up to $200,000.
WHEREAS, Developer is now requesting removal of the CDBG loan in the amount up to $200,000 and an increase in the HOME loan from the amount of up to $750,000 to the amount of up to $1,500,000 on the terms set forth in the staff report accompanying this Resolution (“HOME Loan”), and the HOME Loan will be made pursuant to the terms and conditions of a Loan Agreement between the City and Developer (the “Loan Agreement”) and related documents. The Loan Agreement and other related documents are collectively the “HOME Loan Documents”; and
WHEREAS, by this Resolution the HRA finds a public purpose for issuance of the requested financing because it will increase the tax base in the City of St. Paul (the “City”) and stimulate the development of decent, safe, and affordable housing;
NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota (the “Board”), as follows:
1. The Board hereby finds and determines that the financial assistance to the Developer is advisable and in the public interest and will further the objectives of its general plan of housing development, because it will increase the tax base in the City and stimulate the development of decent, safe and affordable housing.
2. The HRA Board consents, approves and authorizes the removal of the CDBG loan and inclusion of the HOME Funds financing in an amount not to exceed $1,500,000.
3. The HRA Board of Commissioners further approves and authorizes the HOME Loan and the execution of the HOME Loan Documents related to the HOME Loan.
4. The Chair or Commissioner and Executive Director of the HRA are hereby authorized and directed to execute any other documents necessary to implement the HOME Loan and to carry out, on behalf of the HRA, the HRA’s obligations under the HOME Loan Documents. The execution of any instrument by the appropriate officers of the HRA herein authorized shall be conclusive evidence of the approval of such document in accordance with the terms hereof. In the event of absence or disability of the officers, any of the documents authorized by this Resolution to be executed may be executed without further act or authorization of the Board by any duly designated acting official, or by such other officer or officers of the Board as, in the opinion of the City Attorney, may act in their behalf.
5. HRA staff and officials are authorized and directed to take all actions necessary to carry out this Resolution and perform the HRA’s obligations under the HOME Loan Documents in connection with the development of the Property.