Title
Resolution Approving the Extension of Terms and Increasing Rents from 50% AMI to 60% AMI of an HRA Deferred Loan and Assuming and Subordinating existing HRA Debt to New Owners at 1068 Raymond Avenue, District 12, Ward 4
Body
WHEREAS, the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota (“HRA”) is a public body corporate and politic organized, existing, and operating under the laws of the State of Minnesota, Minn. Stat. Sec. 469.001, et seq. (the “Act”); and
WHEREAS, the HRA has the power to engage in development and redevelopment activities under the Act, and is authorized to create redevelopment projects as defined in the Act, and said activities include but are not limited to: (a) providing adequate, safe and sanitary dwellings, remedying housing shortages for low and moderate income residents, and providing housing for persons of all incomes through housing projects and development, (b) removing and preventing blight or deterioration, (c) bringing substandard buildings and improvements into compliance with public standards, (d) performing duties according to the comprehensive plan, (e) disposing of land for private redevelopment, and (f) improving the tax base and the financial stability of the community; and
WHEREAS, Park Crossing Apartments Limited Partnership is a 19-unit affordable housing project located at 1068 Raymond Avenue (the “Project”). The Project was originally built in 1991 by People for Pride and Living (PPL) to provide affordable housing for Saint Paul residents at 50% area medium income (AMI); and
WHEREAS, the HRA loaned the project $525,000 of HRA Enterprise funds with a 2% interest rate that is fully deferred, with a maturity date of July 10, 2021, in second-priority position, and,
WHEREAS, PPL requests to increase rents from 50% AMI to 60% AMI, including a loan extension through September of 2029; and,
WHEREAS, PPL intends to sell the property to new owners; and,
WHEREAS, the new owners request t...
Click here for full text