Laserfiche WebLink
<br /> <br /> Staff Report <br /> <br /> <br />To: Mayor Fischer and Members of the Little Canada City Council <br /> <br />From: Ben Harrington, AICP, Community Development Director <br /> Bryce Sheeran, City Administrator <br /> <br />Date: May 27, 2026 <br /> <br />Re: Conduct a Public Hearing and Adopt a Resolution approving the issuance and sale of a <br />Multifamily Housing Revenue Note for the Little Canada Senior Housing Project, <br />Series 2026, and approving housing program pursuant to Minnesota Statutes, Chapter <br />462C <br /> <br />Actions To Be Considered: <br />Motion to adopt or not adopt: <br />• A Resolution for the issuance of conduit revenue bonds by the City of Little Canada for a <br />Multifamily Affordable Revenue Housing Project known as the Little Canada Senior Housing <br />Project, in Little Canada. <br /> <br />Background: <br />City staff has been working with Lupe Development for the last three years on a proposed senior <br />multifamily housing project to be located at 99 County Road B in Little Canada. As part of this <br />process, the City of Little Canada is asked to serve as the “Governmental Lender” to utilize our tax- <br />exempt bonding authority to issue revenue obligations (bonds) in the aggregate principal amount of up <br />to $17,000,000 for the project. The Little Canada Senior Housing Project will consist of an <br />approximately 106-unit multifamily housing development for senior households of low and moderate <br />income. <br /> <br />Attached to this memo are substantially final drafts of the documents that are referenced in the <br />resolution. These documents are subject to revision and finalization up to closing but are in sufficiently <br />final form for the purposes of the resolution. <br /> <br />a) Funding Loan Agreement <br />b) Project/Borrower Loan Agreement <br />c) Regulatory Agreement <br />d) Mortgage; and <br />e) Assignment of Mortgage and Funding <br /> <br />Multifamily housing development bonds are not applied against the City’s $10,000,000 calendar year- <br />limit on bank-qualified bonds. Therefore, the City may issue the Bonds, while still maintaining its <br />ability to issue up to $10,000,000 of bank-qualified bonds for itself or 501(c)(3) organizations in 2026. <br /> <br />The City’s one-time issuer administration fee of ½ of 1% would be calculated based on the principal <br />amount of the Bonds issued. The project was approved for $17,000,000 and thus the city will receive a