Evergreen Terrace Apartments

8/6/2019 Evergreen Terrace Apartments

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Print Preview - PreliminaryApplicationTax Credits, RPP Loans, and/or Tax Exempt Bond Loans

roject Description

oject Name: Evergreen Terrace Apartments

ddress: Sunnybrook Road and Carl Sandburg Court

ty: Raleigh County: Wake Zip:

ensus Tract: 0520.01 Block Group: 276

project in Qualified Census Tract or Difficult to Develop Area? Yes

e you requesting the basis boost under section II(E)(4) of the QAP?

olitical Jurisdiction: City of Raleigh

risdiction CEO Name:First:Charles Last:Meeker

Title: Mayor

risdiction Address: PO Box 590

risdiction City: Raleigh Zip:

risdiction Phone:

te Latitude:

te Longitude:

oject Type: New Construction

Is this project a previously awarded tax creditdevelopment?

w Construction/Adaptive Reuse:his project a follow-on (Phase II, etc) to a previously-awarded tax credit development project? No

If yes, list names of previous phase(s):

ehab:

umber of residents holding Section 8uchers:

l the project meet Energy Star standards as defined in Appendix B? Yes

es a community revitalization plan exist? No

ll the project use steel and concrete construction and have at least 4 stories? No

ttps://www.nchfa.org/Rental/RTCApp/(S(tt1cpqrot00...2249A25D79C3&SNID=4047BFFE0B6F42648F982D77570B3176 (1 of 21)4/8/2009 3:45:29 PM

27610

27502-0590

(919)890-3050

35.4650

-78.3442


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ll the project include a Community Service Facility under IRS Revenue Ruling 2003-77?o

If yes, please describe:

rget Population:Family

ll the project be receiving project based federal rental assistance? No

If yes, provide the subsidy source: and number of units:



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pplicant Information

icate below an individual or a validly existing entity (a corporation, nonprofit, limited partnership or LLC) as the official applicant. UAP Section III(C)(5) only this individual or entity will be able to make decisions with regard to this application. If awarded the applica

st become part of the ownership entity. The applicant will execute the signature page for this application.

pplicant Name: MWF Properties

ddress: 7645 Lyndale Avenue South, Suite 200

ty: Minneapolis State: MN Zip:

ontact: First: John Last:Weis Title:Development Manager

elephone:

t Phone:

ax:

mail Address:

OTE: Email Address above will be used for communication between NCHFA and Applicant.


55423

(612)243-4637

(612)243-4660

[email protected]


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te Description

tal Site Acreage: Total Buildable Acreage:

If buildable acreage is less than total acreage, please explain:

A portion of the site is located within the 100 year flood plain by virtue of the adjacent Crabtree Creek. Theproposed buildings will not impede on the regulated floodplain, the surface parking lot (165 spaces) will belocated in the 100 year floodplain, but will adhere to all NCHFA and the City of Raleigh's rules and

regulations.

ntify utilities and services currently available (and with adequate capacity) for this site:

Storm Sewer Water Sanitary Sewer Electric

he demolition of any buildings required or planned? No

If yes, please describe:

e existing buildings on the site currently occupied? No

If yes:(a) Briefly describe the situation:

(b) Will tenant displacement be temporary?(c) Will tenant displacement be permanent?

he site directly accessed by an existing, paved, publicly maintained road? Yes

If no, please explain:

any portion of the site located inside the 100 year floodplain? Yes

If yes:(a) Describe placement of project buildings in relation to this area:


4.92 2.5


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A portion of the site is located within the 100 year flood plain by virtue of the adjacent Crabtree Creek. Theproposed buildings will not impede on the regulated floodplain, the surface parking lot (165 spaces) will belocated in the 100 year floodplain, but will adhere to all NCHFA and the City of Raleigh's rules andregulations.

(b) Describe flood mitigation if the project will have improvements within the 100 year floodplain:

N/A



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te Control

es the owner have fee simple ownership of the property (site/buildings)?No

If yes provide:

Purchase Date: Purchase Price:

If no:

(a) Does the owner/principal or ownership entity have valid option/contract to purchase the property?Yes

(b) Does an identity of interest (direct or indirect) exist between the owner/principal or ownership entity with the option/contractpurchase of the property and the seller of the property?NoIf yes, specify the relationship:

(c) Enter the current expiration date of the option/contract to purchase:

(D) Enter Purchase Price:


10/15/2009

750,000


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oning

esent zoning classification of the site:O & I-2

multifamily use permitted?Yes

e variances, special or conditional use permits or any other item requiring a public hearing needed to develop this proposal?No

If yes, have the hearings been completed and permits been obtained?

If yes, specify permit or variance required and date obtained. If no, describe permits/variances required and schedule forobtaining them:

e there any existing conditions of historical significance located on the project site that will require State Historic Preservation officeiew?No

If yes, describe below:

e there any existing conditions of environmental significance located on the project site?No

If yes, describe below:



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wnership Entity

wner Name: Rensen Apartments, LP

dress: 7645 Lyndale Avenue South, Suite

y: Minneapolis State:MN Zip:

deral Tax ID Number of Ownership Entity: (If assigned)

ote: Do not submit social security numbers for individuals.

ntity Type: Limited Partnership

ntity Status: Already Formed

the applicant requesting that the Agency treat the application as Non-Profit sponsored? No

the applicant requesting that the Agency treat the application as CHDO sponsored? No

st all general partners, members,and principals. Specify nonprofit corporate general partners or members.ick [Add] to add additional partners, members, and principals.

Org: Danville Group, LLC the General Partner

rst Name: John Last Name: Weis Function: Principal

ddress: 7645 Lyndale Avenue South, Suite

ty: Minneapolis State: MN Zip: 55423

hone: Fax:

Mail: Nonprofit: No


55423

(612)243-4637 (612)243-4660

[email protected]


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nit Mix

e Median Income for Wake county is $76,900.

w Income Units

Type # BRs Net Sq.Ft.Total

# Units#Units

MonthlyRent

UtilityAllowance

MandatoryServ. Fees

**TotalHousing Exp.

Gdn Apt 2

Gdn Apt 2

Gdn Apt 3

Gdn Apt 3

Utilities included in rents: Water/Sewer Electric Gas Other

mployee Units (will add to Low Income Unit total)

ype # BRs Net Sq.Ft.Total

# Units#Units

MonthlyRent

UtilityAllowance

MandatoryServ. Fees

**TotalHousing Exp.

tilities included in rents: Water/Sewer Electric Gas Other

rket Rate Units

ype # BRs Net Sq.Ft.Total

# Units#Units

MonthlyRent

UtilityAllowance

MandatoryServ. Fees

**TotalHousing Exp.

tilities included in rents: Water/Sewer Electric Gas Other

atistics

AllUnits

Units

Gross MonthlyRental Income

Low Income.......

Market Rate.......

Totals...............

oposed number of residential buildings: Maximum number of stories in buildings:

oject Includes:Separate community building - Sq. Ft. (Floor Area):

Community space within residential bulding(s) - Sq. Ft. (Floor Area):


892 37 0 650 133 0 783

911 3 0 650 133 0 783

1155 12 0 700 158 0 858

1150 20 0 700 158 0 858

72 0 48400

72 0 48400

1 3


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Elevators - Number of Elevators:

quare Footage Information

oss Floor Square Footage:

otal Net Sq. Ft. (All Heated Areas):

icate below any additional targeting for special populations proposed for this project:

Mobility impaired handicapped: 5% of units comply with QAP Section IV(F)(3) (in addition to the units required by other federal state codes.)

Number of Units:

Number of Units Required:

Persons with disabilities or homeless populations.

Number of Units:

tes

Please refer to the Income Limits and Maximum Housing Expense Table to ensure that Total Monthly Tenant Expenses for low

income units are within established thresholds.


94,050

77,361

8

8

8
http://www.nchfa.com/Rental/Mincomelimits.aspxhttp://www.nchfa.com/Rental/Mincomelimits.aspx


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argeting

ecify Low Income Unit Targeting in table below. List each applicable targeting combination in a separate row below. Click [Add] ate another row. Click "X" (at the left of each row) to delete a row. Add as many rows as needed.

BRs Units %

targeted at percent of median income affordable to/occupied by

targeted at percent of median income affordable to/occupied by

tal Low Income Units:

te: This number should match the total number of low income units in the Unit Mix section.


40 60

32 60

72


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unding Sources

Source AmountNon-

Amortizing*Rate(%)

Term(Years)

Amort.Period(Years)

AnnualDebt

Service

Bank Loan

RPP Loan

Local Gov. Loan - Specify:

RD 515 Loan

RD 538 Loan - Specify:

AHP Loan

Other Loan 1 - Specify:



Tax Exempt Bonds

State Tax Credit(Loan)

State Tax Credit(Direct Refund)

Equity: Federal LIHTC

Non-Repayable Grant

Equity: Historic Tax Credits

Deferred Developer Fees

Owner Investment

Other - Specify:

Total Sources**

"Non-amortizing" indicates that the loan does not have a fixed annual debt service. For these items, you must fill in 20-year debtservice below.

Total Sources must equal total replacement cost in Project Development Cost (PDC) section.

stimated pricing on sale of Federal Tax Credits: $0.

emarks concerning project funding sources:ease be sure to include the name of the funding source(s))


2,625,000 7.50 30 30 220,253

0 30 30 0

7,117,665

100,568

9,843,233

70


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ebt and Equity will be provided by US Bank.



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evelopment Costs

Item Cost Element TOTAL COSTEligible Basis

30% PV 70% PV

1 Purchase of Building(s) (Rehab / Adaptive Reuse only)

2 Demolition (Rehab / Adaptive Reuse only)

3 On-site Improvements

4 Rehabilitation

5 Construction of New Building(s)

6 Accessory Building(s)

7 General Requirements (max 6% lines 2-6)

8 Contractor Overhead (max 2% lines 2-7)

9 Contractor Profit (max 8% lines 2-7; 6% if Identity of Interest)

10 Construction Contingency (max 5% lines 2-9, Rehabs 10%)

11 Architect's Fee - Design (11 + 12 = max 3% lines 2-10)

12 Architect's Fee - Inspection

13 Engineering Costs

SUBTOTAL (lines 1 through 13)

14 Construction Insurance (prorate)

15 Construction Loan Orig. Fee (prorate)

16 Construction Loan Interest (prorate)

17 Construction Loan Credit Enhancement (prorate)

18 Construction Period Taxes (prorate)

19 Water, Sewer and Impact Fees

20 Survey

21 Property Appraisal

22 Environmental Report

23 Market Study

24 Bond Costs

25 Bond Issuance Costs

26 Placement Fee

27 Permanent Loan Origination Fee

28 Permanent Loan Credit Enhancement


750,000

1,986,884 1,986,884

4,317,030 4,317,030

378,235 378,235

133,643 133,643

400,929 400,929

171,502 171,502

45,000 45,000

108,000 108,000

8,291,223

39,116 39,116

172,508 172,508

1,000 1,000

100,000 100,000

5,000 5,000

5,000 5,000

5,000 5,000

26,000


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29 Title and Recording


30 Real Estate Attorney

31 Other Attorney's Fees

32 Tax Credit Application Fees (Preliminary and Full)

33 Tax Credit Allocation Fee (0.62% of line 60, minimum $7,500)

34 Cost Certification / Accounting Fees

35 Tax Opinion

36 Organizational (Partnership)

37 Tax Credit Monitoring Fee


38 Furnishings and Equipment

39 Relocation Expense

40 Developer's Fee

41 Additional Contigency (greater of $500/unit or $30,000)

42

43

44 Rent-up Expense

45

46


47 Rent up Reserve

48 Operating Reserve

49

50

51 DEVELOPMENT COST (lines 1-49)

52 Less Federally Funded Grant

53 Less Disproportionate Standard

54 Less Nonqualified Nonrecourse Financing

55 Less Historic Tax Credit

56 TOTAL ELIGIBLE BASIS

57 Applicable Fraction (percentage of LI Units)


353,624

12,500 7,500

2,300

70,060

5,000 5,000

89,860

20,000 20,000

756,000 756,000

15,000 5,000

Other Basis Expense (s

Other Basis Expense (s 40,000 30,000

Other Non-basis Expen

Other Non-basis Expen

831,000

21,600

255,926

Other Reserve (specify)

Other Reserve (specify)

9,843,233 0 8,692,347

0

8,692,347 0 8,692,347

100.00% 100% 100%


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58 Basis Before Boost

59 Basis Boost of up to 130%

60 TOTAL QUALIFIED BASIS

61 Tax Credit Rate

62 Federal Tax Credits (maximum $1,300,000)

63 Federal Tax Credits Requested (if less than line 62)

64 Land Cost

65 TOTAL REPLACEMENT COST

FEDERAL TAX CREDITS IF AWARDED

Comments:

Project Development Cost per unit59,959


8,692,347 0 8,692,347

130.00% 130.00%

11,300,051 0 11,300,051

3.50 9.00

1,017,005 0 1,017,005

0

9,843,233

1,017,005


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arket Study Information

ease provide a detailed description of the proposed project:

e applicant, MWF Properties LLC, is proposing a 72-unit work force housing family apartment complex,units to be reserved to families with children, if applicable, in the city of Raleigh, North Carolina. MWFoperties works to a provide safe and needed development that is economically viable, aestheticallyeasing, and environmentally conscious. By striving to build using strong relationships as a foundation, it isr goal to have all projects viewed as long-term assets to their respective neighborhoods and

mmunities. The purpose of this specific project is to provide an appealing, cost effective, suitable, secure,d diverse living environment in one of North Carolina' major cities. We intend to work in cooperation withe community of Raleigh with hopes of fulfilling the expectations of all parties involved with thevelopment.

nding for this project will come from several sources. MWF Properties is requesting an allocation of taxedits to be syndicated and used as equity for the project. In addition, we will utilize debt financing in therm of a first mortgage. The final source of funding come from MWF Properties in the form of deferred fee.

vergreen Terrace Apartments will occupy approximately 4.92 acres of land located off of Carl Sandburgourt in Raleigh. The 72 apartments will be located within one three-story elevator building. The design is L shaped single building, which will provide spectacular views of the surrounding landscape. Thesign and location of the building will allow for maximum security and privacy. Besides a childrens

ayground, Evergreen Terrace Apartments will have an array of amenities including a community room,

chen area, computer workstations, office suite, laundry facilities, and adequtae in-unit tenant storage. Theit mix will include two- and three-bedroom apartments to meet the demands for work force familyusing.

e site plan for Evergreen Terrace Apartments will follow the natural topography of the land to allow foraximum green space areas; the site will have a substantial application of landscaping for familyjoyment. MWF Properties strives to incorporate the use of Smart Growth principles which includenvenient entrances and sufficient surface parking. This technique helps to have minimal impact on theeas surrounding the site. This site is located in a magnificent area of the City of Raleigh. MWF Propertiesan is to take advantage of this beautiful landscape for the enjoyment of the entire community.

e expansive local economy has recently, and will see significant growth and this will put undue pressure the availability of work force housing. The convenient location of this project, its proximity to downtown

aleigh, creates linkage to a large number of jobs, recreation, education, and the arts for dependantorkforce tenants. The site is within one mile of schools, a library, hospitals, grocery stores, retail stores, aug store, banks, and public services. Traffic flow on the arterial streets has more than sufficient capacityserve the residents. Rent and income limits of the tax credit program work well with the targetedmographic group served by this development. The local workforce needs to have affordable housingthin a reasonable distance to the areas in which they work and recreate.

nstruction (check all that apply):

Brick Vinyl Wood HardiPlank Balconies/Patios Sunrooms Front Porches

Front Gables or Dormers Wide Banding or Vertical/Horizontal Siding

Other:

ve you built other tax credit developments that use the same building design as this project?No

If yes, please provide name and address:



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e Amenities:

easee See Attached Narrative

site Activities:


ndscaping Plans:

erior Apartment Amenities:


you plan to submit additional market data (market study, etc.) that you want considered? No

If yes, please make sure to include the additional information in your pre-application packet.



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pplicant's Site Evaluation

efly describe your site in each of the following categories:

EIGHBORHOOD CHARACTERISTICS

end and direction of real estate development and area economic health. Physical condition of buildings andprovements in the immediate vicinity. Concentration of affordable housing.

he development location is only mile from New Bern Ave and 600 feet south of the main Wake Medical

ampus. Wake Medical is the owner of the property directly across from the site. The City of Raleigh hasurchased 19 acres behind the property for a city park and greenway connection. Wake Medical is a 50+cre regional hospital with a World Class Heart Center that just completed a 30 million dollar renovation in006 of 93,000 square feet. This hospital also has Emergency Trauma services to include a Level 1rauma Center, Childrens Emergency room and a Level 4 Intensive Care Nursery. The adjacent buildingsre in excellent physical condition, primarily medical in use. The adjacent apartment communities (somefordable) continue to maintain a high occupancy levels.

URROUNDING LAND USES AND AMENITIES

nd use pattern is residential in character (single and multifamily housing). Extent that the location isolated. Effect of industrial, large-scale institutional or other incompatible uses, including but not limited to:astewater treatment facilities, high traffic corridors, junkyards, prisons, landfills, large swamps, distribution

cilities, frequently used railroad tracks, power transmission lines and towers, factories or similar operations,urces of excessive noise, and sites with environmental concerns (such as odors or pollution). Amount andaracter of vacant, undeveloped land. The existing neighborhoods and surrounding land uses arempatible with the proposed development. The adjacent medical facilities offer the possibility of a live-workmosphere. New medical, office and apartments are adjacent to the site. The recently renovated exclusivealeigh Country Club is mile from the development location. For a complete list of surrounding sitemenities please refer to Tab B herein.

TE SUITABILITY

dequate traffic safety controls (i.e. stop lights, speed limits, turn lanes). Burden on public facilitiesarticularly roads). Access to mass transit (if applicable). Visibility of buildings and/or location of project sign in relation to traffic corridors. The development will be served by Carl Sandburg Court, a moderately

aveled street off of Sunnybrook Road. Sunnybrook Road runs parallel to Interstate 440 and is the

sternmost thoroughfare (within the city limits) between New Bern Ave (north) and Poole Road (south).unnybrook road is served by the Raleigh Capital Area Transit (CAT), route 15 & 15c. Signage will only besible from Carl Sandburg Court, however the proposed structure will be abundant from north anduthbound traffic along Sunnybrook Road.

egree of on-site negative features and physical barriers that will impede project construction or adverselyect future tenants; for example: power transmission lines and towers, flood hazards, steep slopes, largeulders, ravines, year-round streams, wetlands, and other similar features (for adaptive re-use projects-itability for residential use and difficulties posed by the building(s), such as limited parking, environmentaloblems or the need for excessive demolition).

portion of the site is located within the 100 year flood plain by virtue of the adjacent Crabtree Creek. Theroposed development will not impede on the regulated floodplain nor lack the required parking to satisfye requirements.



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milarity of scale and aesthetics/architecture between project and surroundings.

he surrounding area consists of a mixture of masonry, vinyl and cedar shake from an exterior aestheticsandpoint. The proposed development will be consistent with its current surroundings. The existingrchitectural embellishments will also coincide with the surrounding area.

r each applicable neighborhood feature, enter distance from project in miles.

Grocery Store Community/Senior Center

Mall/Strip Center Hospital

Outdoor Athletic

eldsPharmacy

Day Care/After

choolBasic Health Care

Schools Public Transportation

Stop

Convenience Store Public Parks

Gas Station Library

her facilities or services:


.69 2.44

.64 0.25

.140.68

.750.66

.35 0.25

.17 1.38

.66 1.02


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reliminary App Checklist

e following enclosures must be submitted along with your signed preliminary application. Some enclosures are required only undetain conditions. Please check each applicable item to indicate that you understand the enclosure requirements and will enclose threct supporting documentation with your application.

Fee PaymentCheck in the amount of $5,450.00 made payable to North Carolina Housing Finance Agency.

Tab A - Preliminary ApplicationPrinted, signed copy of preliminary application generated from online system.

B - Map/Driving InstructionsA local map clearly identifying the location of the Site and detailed directions to the Site. Current City or County maps are prefe

internet maps and directions are not acceptable. Applicant must also provide a map identifying the amenities listed in section(A)(1)(b)(ii) of the QAP and their proximity to the site.

Applicant must provide a sign and boundary markers to clearly identify the road frontage of the site. The sign identifying the sitshould read SITE with a minimum size of 11x17.

C - Community Revitalization Plan

Applicant should provide a map identifying the subject site within the Plan area (if applicable).D - Evidence of Site ControlProvide valid option/contract or warranty deed and plot plan.

E - Site Plans/Scope of WorkPreliminary site plan, floor plans and elevations for all projects, interior and exterior photographs and detailed scope of work foAdaptive Reuse and Rehab projects. Site and floor plans should be no larger than 11x17 and must be produced by a licensedarchitect or engineer.

F - Information Package for Market AnalystsThis section must include copies of items required in Tabs A, B, E and G (site and floor plans should be no larger than 11x17) can include any additional market information such as preliminary market studies the applicant would like to provide to theAnalysts.

G - Rent Roll (Rehabs only)

Provide the current rent roll for the property and indicate which units (if any) are receiving rental assistance.H - Documentation for Basis BoostApplicant should provide an appraisal and/or standard geological survey to support a request for the basis boost (if applicable)

Evergreen Terrace Apartments

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