Housing Department Northwest Manors II City Council through Economic Development and Technology...
-
Upload
lorena-horn -
Category
Documents
-
view
217 -
download
2
Transcript of Housing Department Northwest Manors II City Council through Economic Development and Technology...
![Page 1: Housing Department Northwest Manors II City Council through Economic Development and Technology Committee James Wong Senior Project Manager July 20, 2015.](https://reader030.fdocuments.in/reader030/viewer/2022032707/56649e175503460f94b02328/html5/thumbnails/1.jpg)
Housing Department
Northwest Manors IICity Council through
Economic Development and Technology Committee
James WongSenior Project Manager
July 20, 2015
1
![Page 2: Housing Department Northwest Manors II City Council through Economic Development and Technology Committee James Wong Senior Project Manager July 20, 2015.](https://reader030.fdocuments.in/reader030/viewer/2022032707/56649e175503460f94b02328/html5/thumbnails/2.jpg)
Housing Department
Staff Recommendation
• Find that the proposed acquisition/rehab of the Northwest Manors II apartment buildings is categorically exempt under Class 1 (“Existing Facilities”) of CEQA
• Approve key terms of HOME Loan Agmt with Community Housing Works as a City-Certified Community Housing Dev’t Organization
• Recognize HOME revenues and appropriate $470,000 the Housing and Career Services FY 2016 Operating Budget for Northwest Manors II project.
2
![Page 3: Housing Department Northwest Manors II City Council through Economic Development and Technology Committee James Wong Senior Project Manager July 20, 2015.](https://reader030.fdocuments.in/reader030/viewer/2022032707/56649e175503460f94b02328/html5/thumbnails/3.jpg)
Housing Department
Northwest Manors II
3
![Page 4: Housing Department Northwest Manors II City Council through Economic Development and Technology Committee James Wong Senior Project Manager July 20, 2015.](https://reader030.fdocuments.in/reader030/viewer/2022032707/56649e175503460f94b02328/html5/thumbnails/4.jpg)
Housing Department
700 E. Mountain St. (26 units)
4
![Page 5: Housing Department Northwest Manors II City Council through Economic Development and Technology Committee James Wong Senior Project Manager July 20, 2015.](https://reader030.fdocuments.in/reader030/viewer/2022032707/56649e175503460f94b02328/html5/thumbnails/5.jpg)
Housing Department
965 N. Raymond Ave. (18 units)
5
![Page 6: Housing Department Northwest Manors II City Council through Economic Development and Technology Committee James Wong Senior Project Manager July 20, 2015.](https://reader030.fdocuments.in/reader030/viewer/2022032707/56649e175503460f94b02328/html5/thumbnails/6.jpg)
Housing Department
Background
• Northwest Manors II: 44-unit HUD rental project for low/very low income families, built in 1956 and 1963, owned and operated last 40 years by nonprofit Westminster Housing Group
• Proposed to be acquired by Community Housing Works, a San Diego-based nonprofit housing developer with 33-year track record including 32 rental projects (over 2,000 units) completed and operating in Southern California and 750 more units in the pipeline.
6
![Page 7: Housing Department Northwest Manors II City Council through Economic Development and Technology Committee James Wong Senior Project Manager July 20, 2015.](https://reader030.fdocuments.in/reader030/viewer/2022032707/56649e175503460f94b02328/html5/thumbnails/7.jpg)
Housing Department
Background
• CHW currently in purchase escrow with Westminster Group
• Project to be acquired, owned, rehabilitated, and operated under a limited partnership formed by CHW which will be the General Partner member/manager
• $14.5M total dev’t cost to be financed primarily w/ State sources: 4% low income housing tax credits and multifamily housing bond -- applied on 5/15/15, awarded on 7/17/15
7
![Page 8: Housing Department Northwest Manors II City Council through Economic Development and Technology Committee James Wong Senior Project Manager July 20, 2015.](https://reader030.fdocuments.in/reader030/viewer/2022032707/56649e175503460f94b02328/html5/thumbnails/8.jpg)
Housing Department
Background
• CHW will obtain a 20-year extension of the HUD project-based Section 8 rental subsidies which currently serve Northwest Manors
• Long-term housing affordability will also be achieved with a 55-year regulatory agreement under the State tax credits
• Add’l $470,000 City funding is proposed, primarily to assist with rehab, capital upgrades and energy efficiency and sustainability improvements -- $10,682/unit subsidy
• CHW to re-name the project
8
![Page 9: Housing Department Northwest Manors II City Council through Economic Development and Technology Committee James Wong Senior Project Manager July 20, 2015.](https://reader030.fdocuments.in/reader030/viewer/2022032707/56649e175503460f94b02328/html5/thumbnails/9.jpg)
Housing Department
Loan Agmt-Key Business Terms
• City loan to be funded with federal HOME and HOME/CHDO monies
• Funds to be used for hard and soft costs related to rehab, capital upgrades, energy and water efficiency upgrades, purchase escrow costs, and project management costs (less than10% of loan)
• City loan to be secured by a deed of trust, repaid from project residual receipts at 3% simple fixed interest w/ 20-year term
9
![Page 10: Housing Department Northwest Manors II City Council through Economic Development and Technology Committee James Wong Senior Project Manager July 20, 2015.](https://reader030.fdocuments.in/reader030/viewer/2022032707/56649e175503460f94b02328/html5/thumbnails/10.jpg)
Housing Department
Loan Agmt-Key Business Terms
• The City’s HOME loan will also have an affordable housing regulatory agreement w/ a 20-year term (operating under the 55-year tax credit affordable housing covenants)
• City loan assignable to the limited partnership formed by CHW to own, rehabilitate, and operate the project.
• CHW shall comply with all applicable City policies including First Source local hiring.
10
![Page 11: Housing Department Northwest Manors II City Council through Economic Development and Technology Committee James Wong Senior Project Manager July 20, 2015.](https://reader030.fdocuments.in/reader030/viewer/2022032707/56649e175503460f94b02328/html5/thumbnails/11.jpg)
Housing Department
Project Schedule
• EDTech Council Committee – 7/9/15• Northwest Commission – 7/14/15 –
recommended City Council approval• State awarded tax credits and bond
financing to project – 7/17/15• Acquisition closing – mid-October 2015• Rehab completion – April 2017 (TCAC
req’t)
11