Interfaith neighbors

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National Center for Arts and Technology Feasibility Analysis in Asbury Park, NJ A Project for Interfaith Neighbors

Transcript of Interfaith neighbors

Page 1: Interfaith neighbors

National Center for Arts and Technology Feasibility

Analysis in Asbury Park, NJA Project for Interfaith Neighbors

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The Community Development Finance Lab Team Task:

To determine the feasibility of building a National Center of Arts and Technology along a Springwood Avenue

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Asbury Park is a Destination City With a Rich History of Music in the Jersey Shore

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oRental AssistanceoMeals on Wheels oAffordable Housing oNJ Youth CorpoNeighborhood Revitalization

Interfaith Neighbors is a Versatile and Financially Stable Organization

Crisalia Gonzalez
What is the net unrestricted? We should have this number here if we want Interfaith to invest their capital
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The Gateway Zone in the The Springwood Avenue is the entryway to the West Side

The Amended Springwood Redevelopment Plan calls for the creation of

•Housing

•Retail

•A Park

•Public Space

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The Gateway Zone Has Specific Building Design

Requirements

Crisalia Gonzalez
Is this specific for low income housing or any housing?It also must have a public space area
Crisalia Gonzalez
This is not for the whole facility I'm sure, please specify
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Residents in Asbury Park are at an Economic Disadvantage

US Census – 2005 – 2009 American Community Census

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Residents in Asbury Park are at an Educational Disadvantage

51-66.9%

66.9-77.0%

77.0-84.7%

84.7 – 90.7%

90.7-100.00%

High School Graduation Rates

25% of people have not received a high school diploma or GED

Schools have not met Adequate Yearly Progress (AYP) goals as defined by No Child Left Behind Act of the U.S. Department of Education

US Census – 2005 – 2009 American Community Census

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The NCAT Replication Process Helps Affiliates Design and Implement Programming

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NCATs are Designed to Meet the Communities’ Educational and Vocational Needs to Enter the

Workforce

Manchester Bidwell

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Careers in Healthcare Provide Living Wages

Living Wages in Asbury Park

One Adult One Adult, One Child Two Adults Two Adults, One Child Two Adults, Two Children

Living Wage $11.87 $21.41 $17.02 $26.59 $33.75

Poverty Wage $5.04 $6.68 $6.49 $7.81 $9.83

Calculator by the Pennsylvania State University http://www.livingwage.geog.psu.edu/places/3402501960

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NCAT Programming Aligns With Job Creation in Monmouth

County Industries in

Monmouth County with the Largest

Number of Projected

New Jobs for 2018

New Jersey Department of Labor

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Local Economic Development Strategy and County-wide Job Opportunities Should Inform Programming Design

Health & Medical ServicesMusic, Entertainment & Recreation

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APCAT Operating BudgetYouth Program Students / Year

60

 Adult ProgramStudents / Year

30

Manchester Bidwell

Youth Progam Students / Year 60

Operating Assumptions for Three yearsAssumptions Planning Year 1 Year 2 Year 3

Youth ProgramsDigital Arts PC $963 57,780 57,780 57,780 173,340 Design $963 57,780 57,780 57,780 173,340 Adult ProgramsMedical Coding $2,067 62,000 62,000 62,000 186,000 Admin Personnel* $207,080 116,064 207,080 207,080 207,080 248,000 Fees to MBC* $150,000 150,000 150,000 150,000 150,000 600,000

Rent* $7.58 200,202 200,202 200,202 600,605

Capital CostsEquipment* 10 267,496 10 Furniture & Fixtures* 11 297,000 138,600 435,611

Subtotal 2,416,907 Overhead`15% of all costs* 15% 362,536

Total 2,779,443 Total Cash Required 830,560 734,842 734,842 873,442

Average Cash Required Per Year 793,421

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Models 1-3 Build-Out and Financial Sources

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Overview of ModelsLow-Income Housing 13,200SF X $190

= $2,508,000

Community Space (APCAT) 13,200SF X $150 = $1,980,000

Community Space (APCAT) 13,200SF X $150 = $1,980,000

Community Space (APCAT) 13,200 SF X $150 = $1,980,000

Community Space (APCAT) 13,200 SF X $150 = $1,980,000

Commercial 13,200 SF X $150 = $1,980,000

Low-Income Housing 13,200SF X $190 = $2,508,000

Low-Income Housing 13,200SF X $190 = $2,508,000

Community Space (APCAT) 13,200SF X $150 = $1,980,000

Community Space (APCAT) 13,200SF X $150 = $1,980,000

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$2.1 NMTC Credits

$985,000 NRTC Equity(after fees)

$4.9Capital Campaign

CDE (QEI)

Investors Bank

NJ Department of Community Affairs

Interfaith Neighbors

Diagram 1: NMTC SchematicAsb

ury

Park

LLC

(QLC

IB)

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Limited Partnership

$706,780 9%LIHTC Credits

/year

NJ Departm

ent of Community Affairs

New Jersey

Housing Finance Agency

Investors

Syndicate

Equity Fund

Asbury Park

Community, LLC

Bank Debt

InterfaithNeighbors

Diagram 1: LIHTC Four Floor Schematic

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NMTC LIHTC – 3 LIHTC - 4

Total Development Costs $8.3 $8.9 $12.5

Equity Generated by Tax Credit

$1.6 $4.0 $8.0

Capital Campaign $5.0 $2.8 $1.3

NPV over 15 Years (LIHTC) and 7 Years (NMTC)

$1.7 $2.0 $3.4

Annual Debt Payments $103,189 $105,768 $203,033

Model 1-3 Financial Highlights

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The Four Story Building With Two Stories of Low Income Housing is the Best Option

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Next Steps