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HomeMy WebLinkAboutRES 18-044 A RESOLUTION SUPPORTING AFFORDABLY-PRICED HOUSING AT 2401 LOWRY AVENUECITY OF ST. ANTHONY VILLAGE STATE OF MINNESOTA RESOLUTION 18 -044 SUPPORTING AFFORDABLY - PRICED HOUSING AT 2401 LOWRY AVENUE WHEREAS, the project being developed by Aeon (the "Developer ") consists of approximately 70 rental apartment units targeted as affordably - priced housing — all occupied by residents with incomes below 60% area median income — for individuals and families (the "Project "); and WHEREAS, the Project will be owned by a limited partnership to be formed by Aeon; and WHEREAS, Bremer Bank National Association ( "Owner ") is the current owner of 2401 Lowry Avenue ( "the Property ") and wishes to remain at the Property after completion of the Project as an operator of a Bremer Bank branch; and WHEREAS, the Developer and Owner signed an Offer to Purchase the Property on April 24, 2018 and WHEREAS, the Developer is currently seeking funding from several sources to construct the project in 2019; and WHEREAS, a variety of grants or other public financial assistance will be required to build the Project including low- income housing tax credits ( "LIHTC ") from the Minnesota Housing Finance Agency (the "MHFA "); and WHEREAS, the Project will be developed as a housing project in accordance with the requirements of Minnesota Statutes §§ 469.174 to 469.1794 (the "TIF Act'), including but not limited to the requirements set forth in Minnesota Statutes § 469.1761; and WHEREAS, the Project is estimated to cost approximately $18,700,000 and the Developer is requesting L$1,000,000_] in tax increment financing from the City; and WHEREAS, the City and the Developer will negotiate an Agreement governing the Project that will satisfy all requirements of the TIF Act; and WHEREAS, subject to the requirements of the Redevelopment Agreement governing the Project and the requirements of the TIF Act, the City will establish a tax increment financing housing district and pledge the tax increment to secure a loan for the project as a local contribution and will further assist the Developer in securing the approvals from the MHFA for LIHTC. US. 117831112.02 NOW THEREFORE, BE IT RESOLVED, the City of St. Anthony Village endorses the Developer's application for LIHTC as allocated by the MHFA; and BE IT FURTHER RESOLVED, the City shall provide, subject to the requirements and conditions of this Resolution, a total of L$1,000,000J in tax increment financing in order to facilitate the financing of the Project. If MHFA funding is not approved by December 1, 2020, the City may rescind its financing commitment to the Project Lin order to fund another affordable housing project. Adopted this 22nd day of May, 2018. ATTEST: Nicol$ Miller, City O. Faust, Mayor Review for Administration: /&A col / Mark Casey, City MaKager US.117831112.02 ACKNOWLEDGEMENT OF RECEPTIVITY OF A METROPOLITAN COUNCIL LCA FUNDING AWARD The ("Grantee") agrees to accept and make available in a timely manner to (city/ ownship, county, development authority) the Request for Proposal (RFP) Applicant, Aeon any Local Housing Incentives Account (LHIA) award to the Grantee to assist the housing development or activity proposed in this application, if such an award is made, and to provide the funding match as required by state statute. The Grantee certifies that the housing development, for which the application is submitted, is located in City of St. Anthony which is a (city/township) participant in the Metropolitan Council's Livable Communities LHIA program. to PROPOSED PROJECT INFORMATION (Required for grant contracting purposes) 2401 Lowry Avenue Project Name Street boundaries or major INFORMATION 2401 Lowry Avenue Avenue and Stinson Parkway St. Anthony Village PROJECT STAFF CONTACT INFORMATION Aubrie Gould 901 N. 3rd Street, Suite 150 Minneapolis 55401 Contact Name Address City Zipcode (612) 746-0537 (612) 341-4208 agould@aeommn.org Fax Number E-mail address Phone Number , HOUSING/DEVELOPMENT AUTHORITY) CONTACT INFORMATION Mark Casey City Manager 612-782-3311 mark.casey@savmn.com Contact Name Title Phone E-mail Address VaA Mark Casey GRANTEE'S "AUTHORIZED OFFICIAL" CONTACT City Manager Name Title Signature 612-782-3311 Phone TION mark.casey@savmn.com E-mail Address