| | | | | | | | Housing and Redevelopment Authority Board Action Request
19-HCHRA-0022
|
|
| | | | | | | | Item Description:
2019 AHIF funding recommendations-Neg 3 2018 award modifications, 5/9/18-5/13/64; Neg 7 2019 award agmts, 5/14/19-5/13/64, total combined NTE $3,500,000 |
| | | | | | | | Resolution:
BE IT RESOLVED, that the Executive Director be authorized to negotiate modifications to three 2018 Affordable Housing Incentive Fund (AHIF) Program funding awards approved under Resolution 18-HCHRA-0014, recognizing additional funding awarded under the 2019 AHIF Program: Agreements PR00000385 with PERIS, or affiliated entity, for the PERIS Development project, increasing the not to exceed amount by $650,000 for a new total not to exceed amount of $1,050,000; PR00000378 with Project for Pride in Living Inc., or affiliated entity, for the Maya Commons project, increasing the not to exceed amount by $300,000 for a new total not to exceed amount of $700,000; PR00000373 with Sand Companies, or affiliated entity, for the Element project, increasing the not to exceed amount by $400,000 for a new total not to exceed amount of $600,000; and extending each contract period from May 8, 2063 to May 13, 2064; that following review and approval by the County Attorney's Office, the Chair be authorized to sign the agreements and related documents on behalf of the authority; and that the Controller be authorized to disburse funds as directed; and
BE IT FURTHER RESOLVED, that the Executive Director be authorized to negotiate Agreements PR00001176 with RS Eden, or affiliated entity, for the Amber Apartments project, with a not to exceed amount of $300,000; PR00001080 with Beacon Interfaith Housing Collaborative, or affiliated entity, for the Lydia Apartments project, with a not to exceed amount of $650,000; PR000001145 with Community Housing Development Corporation, or affiliated entity, for the Olson Townhomes Redevelopment project, with a not to exceed amount of $400,000; PR00001142 with Project for Pride in Living Inc., or affiliated entity, for the Prosperity Village project, with a not to exceed amount of $415,000; PR00001141 with American Indian Community Development Corporation, or affiliated entity, for the Pokegama North project, with a not to exceed amount of $85,000; PR00001143 with City of Lakes Community Land Trust, or affiliated entity, for the Homebuyer Initiated Program project, with a not to exceed amount of $150,000; and PR00001081 with West Hennepin Affordable Housing Land Trust, or affiliated entity, for the WHAHLT Homes Within Reach project, with a not to exceed amount of $150,000, during the period May 14, 2019 through May 13, 2064; that following review and approval by the County Attorney's Office, the Chair be authorized to sign the agreements and related documents on behalf of the authority; and that the Controller be authorized to disburse funds as directed; and
BE IT FURTHER RESOLVED, that the Hennepin County Housing and Redevelopment Authority (HCHRA) authorizes the Executive Director to revise, as needed, the AHIF funding amounts of the HCHRA Board approved projects in response to potential changes in a specific project's funding requirements providing that such revisions will not result in an increase in the aggregate funding of $3,500,000 or any projects being funded that have not been approved by the board. |
|
| | | | | | | | Background:
History: The Affordable Housing Incentive Fund (AHIF) Program was created by the Hennepin County Housing and Redevelopment Authority (HCHRA) Board of Commissioners (Resolution 08-HCHRA-00) to work with municipalities, other government and nonprofit agencies, private and nonprofit developers, and lenders to encourage the preservation and development of affordable housing opportunities throughout Hennepin County.
In January 2019, a request for proposals was released which garnered 31 applications requesting a total of $14.1 million in AHIF and Home Investment Partnerships (HOME) funding (HOME funding is available in suburban Hennepin County only; AHIF and HOME applications are accepted under a coordinated request for proposals). Proposals were reviewed for consistency with AHIF and Health and Human Services (HHS) priorities. Proposals were reviewed and ranked by a multi-agency panel consisting of Hennepin County (Community Works and HHS), Bloomington, Brooklyn Park, Minneapolis, Minnetonka, Plymouth, and St. Louis Park staff.
AHIF project funding is typically provided in the form of a 30-40-year deferred loan. Loan documents include a loan agreement, promissory note, mortgage, and declaration of covenants and restrictions. In addition, during the term of the loan, the HCHRA may be asked to sign various related documents and amendments, including subordination agreements and disbursement agreements.
Since 2000, and including the recommended 2019 allocations, the AHIF Program has committed approximately $66.7 million to affordable housing projects, leveraging over $1.6 billion dollars in additional investment to assist the development and/or preservation of over 8,300 affordable housing units in Hennepin County.
Attachments A and B provide a summary and map of the 10 applications recommended for funding. The 2019 HCHRA budget includes $3.5 million in funding for the 2019 AHIF Program (Resolution 18-HCHRA-0043).
Supportive Housing
- PR00001080 - Beacon Interfaith Housing Collaborative - Lydia Apartments - $650,000
1920 LaSalle Avenue, Minneapolis. Rehabilitation of 40 affordable rental units and construction of 40 additional new affordable rental units; 39 units for people experiencing homelessness; 12 units for people with a disability; 12 units for HHS clients; 12 of the above units will be reserved for households with incomes at or below 30 percent of the area median income (AMI); all 80 units will be covered under a project-based rental assistance contract.
- PR00000385 - PERIS, LLC, PERIS Development - $650,000 (new total NTE $1,050,000)
1930 Hennepin Avenue S, Minneapolis. Construction of 41 affordable rental units; 15 units with rental assistance through the extended foster care youth program; 15 units for HHS clients; 9 units for people with a disability; 15 of the above units will be reserved for households with incomes at or below 30 percent AMI.
Affordable Rental Housing
- PR00000373 - Sand Companies - Element - $400,000 (new total NTE $600,000)
56th Avenue N and Highway 55, Plymouth. Construction of 58 affordable rental units; 16 units for large families; 4 units for people experiencing homelessness; 4 units for people with a disability; 10 units with rental assistance; 10 of the above units will be reserved for households with incomes at or below 30 percent AMI.
- PR00000378 - Project for Pride in Living - Maya Commons - $300,000 (new total NTE $700,000)
1220 Brook Avenue SE, Minneapolis. Construction of 50 affordable rental units; 12 units for people experiencing homelessness; 8 units for people with a disability; 12 of the above units will have rental assistance and will be reserved for households with incomes at or below 30 percent AMI.
- PR00001176 – RS Eden - Amber Apartments - $300,000
4525 Hiawatha Avenue, Minneapolis. Construction of 76 affordable rental units and 5 market rate units; 17 units for people experiencing homelessness; 4 units for HHS clients; 5 units for people with a disability; 22 of the above units will have rental assistance and will be reserved for households with incomes at or below 30 percent AMI.
- PR00001145 - Community Housing Development Corporation - Olson Townhomes - $400,000
1201 Olson Memorial Highway, Minneapolis. Construction of 92 affordable rental units; 22 units for large families; all 92 units will be covered under a project-based rental assistance contract.
- PR00001142 - Project for Pride in Living - Prosperity Village - $415,000
4046 Lyndale Avenue North, Minneapolis. Rehabilitation of 25 affordable rental units; 15 units for large families; 7 units for families experiencing homelessness; 15 units with project-based rental assistance.
Affordable Homeownership
- PR00001141 – American Indian Community Development Corporation - Pokegema North - $85,000
Scattered sites, Minneapolis. Construction of three single-family homes for affordable homeownership in a land trust.
- PR00001143 – City of Lakes Community Land Trust - $150,000
Scattered sites, Minneapolis. Acquisition and rehabilitation of up to six single-family homes for affordable homeownership in a land trust.
- PR00001081 - West Hennepin Affordable Housing Land Trust - Homes Within Reach - $150,000
Scattered sites, suburban Hennepin County. Acquisition and rehabilitation of up to seven single-family homes for affordable homeownership in a land trust.
Current Request: Authorize negotiation of three award modifications and seven implementation agreements totaling $3.5 million under the 2019 AHIF Program.
Impact/Outcomes: Ten projects will assist a total of 438 affordable housing units in Hennepin County; serving 71 households/individuals at or below 30 percent AMI, 246 units with rental assistance, 79 units for people experiencing homelessness, 38 units for people with a disability, 15 units for extended foster care youth, 53 units for large families, and 31 units prioritized for county HHS clients. |
|