HRA MINUTES 02081983 - Laserfiche WebLink

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NO Art Peel As -1m y indicated, we have been involved as a sponsor mortgagee on the • various types of programs. As a consultant on the 202 in the last 5 years, we've done 13 202's. We've represented a number of non -profits, ranging from the archdiocese to the Jewish federation in Minneapolis to a number of Lutheran nursing homes in outstate Minnesota and we've had a high degree of success in terms of achieving our goals in the.202 program. Our goal simply being, providing 100% of the financing for this type of project. I would like to go a little bit deeper than what your question asks, and that is what's happening with the 202 program in general. I think one of the advantages of this, proposal is that phase 1 is putting in an elderly project that will offer dining facilities and the like. One of the things that I don't have to spend a.great deal of time with with this Council is the fact that Washington is cutting back on funds. HUD is experiencing that also. Because of that cutback, we're seeing less and less go into the 202 buildings going up around the state. I mentioned the Jewish federation. .They broke ground 3-3'h years ago and that project has dining facilities for all the tenants, they have a great number of community spaces. I'm working on 3 right now that will not have anything that approaches what we did 3 years ago. The reason for that is just the cutback in funds. So, from a selection process, as we all know from last year, the 202's were extremely competitive and I think that if a non-profit applicant went in and showed the type of program that they could take advantage of, that Tony is discussing in phase 1, would be a leg.up in terms of going back three years, but • not laying those dollars out on the part of the federal government. So, I think in terms of staging, it's critical that a 202 would go into stage 2 from a selection process from HUD. Is there anything else? (Sundland) You see, in phase 1 when you discuss the project, you're say- ing specifically then, you are delivering the need of the 55 and up with- out the 202 financing? Art Peel Knutson Co.) That is correct. Tony Vavoulis Knutson Co.) The second question that we are to address is "it is unclear as to how we would be purchasing the property. Would we please explain in terms of the schedule". Our basic intention in all of the parcels is to purchase, actually close and pay you for the land at the time just prior to construction. So, we would be getting going through all the maturity of the concepts, the developments, the markets, the building and then moving towards, Art would then have to be working the finance packages. The reality of the project would have to depend on everything coming together and we would then be closing and purchasing and paying for the land at that time, which would happen just prior to construction. Our hope in phase 1 and there is a schedule in the proposal, phase 1, it says land acquired towards the end of October of 1983, if we can meet that, we would certainly like to go towards that kind of time schedule. Does that answer that satisfactorily? That answers it, OK.