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HomeMy WebLinkAbout05/29/2024 - Meeting Materials MEETING OF THE REDEVELOPMENT AGENCY FINANCE COMMITTEE Wednesday May 29, 2024 9:00 a.m. 451 S State Street Room 118 Salt Lake City, UT 84111 The Redevelopment Agency (RDA) Finance Committee meeting will be a hybrid meeting which enables people to join remotely or in-person to listen to the meeting and participate during public comment items. To access and participate in the electronic meeting please visit https://us02web.zoom.us/i/87093887988?pwd=Wmovd 1 VNbUhEQUVESVZGWEZpVmN4dz09Meeting Password: 509222 Agenda 1. Roll Call 2. Approval of the minutes A. Review and Approval of the February 21,2024 and April 17,2024 Committee Minutes Members will review the February 21, 2024 and April 17, 2024 meeting minutes and consider for approval. 3. Business A. Loan Amendment and Conditional Waiver for The Catherine Phase 1 and 2 Request Members will consider and may provide a recommendation for a loan amendment and conditional waiver of deed restriction for The Catherine Phase 1 and Phase 2, which received a funding allocation in the FY2023-24 Competitive Affordable Housing Funds Notice of Funding Availability through the Housing Development Loan Program(HDLP) 4. Adjournment People with disabilities may make requests for reasonable accommodation no later than 48 hours in advance to attend this Redevelopment Agency Finance Committee. Accommodation may include alternate formats, interpreters, and other auxiliary aids. This is an accessible facility. For questions, requests, or additional information, please contact the RDA at 801-535- 7240. MINUTES of the REDEVELOPMENT AGENCY FINANCE COMMITTEE Thursday, February 21, 2024 2:00pm 1. Roll Call The following members were present: Danny Walz, RDA; Chair Blake Thomas, Community and Neighborhoods;Vice Chair Peter Makowski, Economic Development Tony Milner, Housing Stability Marina Scott for Mary Beth Thompson, Finance Amy Rowland, Redevelopment Advisory Committee Baxter Reeser, Redevelopment Advisory Committee Also Present: Cara Lindsley, RDA Deputy Director;Tracy Tran, Senior Project Manager; Sara Montoya, Senior City Attorney; Kate Werrett, Project Manager; Marcus Lee, Project Coordinator;Austin Taylor; Project Manager; Lucas Goodrich Project Coordinator; Dennis Rutledge, Housing Stability; Tim Cohn;Amanda Rainey; Troy Hart; Gary Vizoili; George Houser; Heather Royall;Jacob Williams; Jeff Ryan; Karl Niederer; Lorenzo;Ashley Atkinson, Perpetual Housing Fund of Utah; Felina Lazalde, RDA Office Facilitator. 2. Election of Chairperson and Vice-Chairperson. A. Members will nominate and elect a member to be Chair and elect a member to be Vice-Chair of the Redevelopment Advisory Committee for 2024. Blake Thomas nominated Danny Walz to stay Chair and proposed himself to remain in the position of Vice Chair for 2024. Marina Scott seconded the motion. Upon roll call,the motion was unanimously approved. 3. Business A. Funding Recommendations for the FY23-24 Competitive Affordable Housing Funds Notice of Funding Availability through the Housing Development Loan Program (HDLP). Tracy Tran informed the Committee that the Salt Lake City Redevelopment Agency recently announced the availability of approximately$13.7 Million through the Housing Development Loan Program (HDLP)via Notice of Funding Availability(NOFA).Additionally, an extra$1,665,000 has become accessible for potential inclusion in the HDLP funding pool since the NOFA was issued. It was pointed out that this is a similar program to the High Opportunity Area requests presented the month prior. However,these loans are put out once annually, ranked, and competitively evaluated. Money allocations are then provided to the RDA Board for the best projects in the view of the RDA Finance Committee. These loans are for any affordable housing project located anywhere within the City boundaries.All applications are administered through the RDA Housing Development Loan Program and received this year was a record number of applications. It was pointed out that five of those applications were ineligible for the funds and the remaining fifteen applications would be reviewed and presented. Ms. Tran noted that for FY23-24 all applicants were required to provide either deeply affordable housing units, defined as 40%AMI and below, or affordable family sized units defined as three bedrooms or more at affordable rate to those at 60%AMI and below as a requirement of the RDA Board.Additionally, all new construction projects requesting over$900,000.00 are required to meet the RDA Sustainable Development Policy which requires that all projects are designed to earn Energy Stars scores of 90+, is 100% electric, and ensures there is participation in the City's Energy Benchmarking Program. The HDLP Program also has a set of priorities that can be met,which are used to evaluate projects and provide interest rate reductions. It was explained that in the previous Finance Committee Meeting, 515 Tower was recommended to receive high opportunity funds per their application. The RDA Board did not make a decision on this funding recommendation, so the Tower 515 project was included within the competitive program as they applied for both funding sources but only need one. Based on the HDLP Guidelines, applications will be evaluated based on the following criteria: 1. Alignment with project priorities—projects may qualify for interest rate reductions by meeting certain project priorities as laid out in Section 6 of the FY2023-2024 HDLP Guidelines. 2. Content and quality of the project narrative 3. Qualifications and experience of the applicant and development team 4. Content, effectiveness, and appropriateness of the budged, sources and uses, operating proforma, and related assumptions. 5. The readiness of the project to proceed to construction. 6. Any and all content regarding building and site design. Ms. Tran, Kate Werrett, Marcus Lee, and Lucas Goodrich presented an overview of the applications. (Summaries attached). Kate Werrett explained that the funds available come from the following categories, and clarified it is important because RDA Housing Development Loan Program Funds have the least number of strings attached. The standard requirements of the RDA Housing Development Loan Program apply to all Competitive Fund Categories,which includes everything in that policy as well as the Sustainable Development policy. Competitive(Citywide)Funds Competitive Funds Category: Amount RDA Housing Development Loan Program $4,241,714.00 HOME Program Income $6,939,710.00 HOME ARP Development $1,501,608.00 HOME Development Fund $726,291.00 HOME Community Housing Development Organization Funds $351,841.00 TOTAL $13,761,164.00 Dennis Rutledge with SLC Housing Stability explained the different requirements associated with the HOME Program funds, noting that there are four different sets of HOME funding included in this NOFA, however none of the applicants qualified for the HOME Community Housing Development Organization Funds. Mr. Rutledge also presented the 2023 HOME Maximum per Unit Subsidy Limits which is provided by HUD. It shows the maximum amount of HOME funds that a participating jurisdiction may invest on a per-unit basis in affordable housing. There were questions about potentially being required to meet the Davis Bacon Labor requirements. That is only if you are spending HOME dollars up to twelve units, anything over those twelve units would require them to follow those labor requirements and how they get there is by using this maximum unit dollar amount: 2023 HOME Maximum per Unit Subsidy Limits* Max Subsidy for 0 Max Subsidy for Max Subsidy for Max Subsidy for 3 Max Subsidy for 4 Bedroom 1 Bedroom 2 Bedroom Bedroom Bedroom $173,011.20 $198,331.20 $241,417.00 $312,004.80 $342,482.40 *These are updated by HUD on an annual basis. Ms. Werrett presented a spreadsheet used to calculate and rank the funding recommendations and explained that the applicants are listed in the order they were received, and included is the NOFA ranking weight according to the project priorities that were met.Also included if they have received a Low-Income Housing Tax Credits (LIHTC) reservation and whether or not they were applying. It was also observed that the NOFA ranking weight was a weighted score not a ranking, meaning the higher numbers met more priorities. Ms.Werrett explained that any columns that were blacked out mean the applicant did not qualify for those funds,and the gray boxes mean the applicant qualifies for these funds but did not want them due the requirements and strings attached to Federal dollars. Questions/Comments: • Amy Rowland disclosed a conflict of interest to the Committee and elaborated that she worked with Northbridge Court on their 9%tax credit application. She was a consultant to them but did not work on this application. • Ms. Rowland raised a concern with the committee regarding the scoring, particularly in relation to the New City Plaza Apartments.While they're weighted at 5 points,which may seem low compared to others,they offer 244 deeply targeted units.As per our guidelines, stating "10% below 40%AMI"earns three points. However, they received the same three points as a project with only ten such units. Ms. Rowland proposed that the Committee consider revising the scoring criteria in the future, suggesting an additional point for every additional 10%.While it's not a decision for today, it's something that should be kept in mind given the priorities. • Regarding the two City Housing Authority projects, it is unclear if both projects have vouchers. Can we get some clarification? o It was confirmed that Book Cliffs Lodge and Pharos are relying on project-based vouchers for its deeply affordable. o Liberty Corner is able to accept up to$1 Million in HOME funds. • Chair Walz asked if the Committee was working under the assumption that they want to allocate the additional$1.655 Million in funds? o The Committee agreed to include those funds in their recommendation. • Baxter Reeser asked what would happen to the$1.655 Million in funds if they were not included? o Chair Walz explained that the funds would continue to sit in an Agency Fund Balance and would then be at the Board's discretion to allocate it at some point towards future HDLP projects or whatever they would like. • Chair Walz reminded the Committee of the prior month's presentation to the RDA Board for the allocation of the High Opportunity Funds for the 515 Tower Project. He explained the Board did not take action on that recommendation. Instead, they requested to consider the recommendation along with all of other current applications. Do we want to go into the ranking and allocation of funds with the assumption that we as a committee are going to hold on that recommendation for the 515 Tower project?Or do we want to take that into consideration in any of our ranking and allocations in a different way? o There were no objections, and the Committed agreed to maintain that recommendation. • Tony Milner recommended that the Committee start with some of the smaller HOME amounts and work their way up. o Chair Walz asked if Mr. Milner wanted to start with smaller amounts regardless of the ranking?Or if he wanted to start with rankings? o Tony Milner explained his desire to start with possible options for recommendation with rankings only being considered. He added that he would also be amenable toward consideration based on ranking if that is something the group would prefer. o Chair Walz made a comment that he was looking at leading with rankings and requested additional input from the committee. o Amy Rowland recommended that they also started with rankings. Ms. Rowland explained that in her review, she skipped the ones that haven't applied for their 9%tax credits yet, regardless of ranking because the funds will sit, and they may not receive the credits. o The Committee agreed to proceed with rankings and proposed the following breakdown of funds: EXHIBIT A2: RDA FINANCE COMMITTEE FUNDING RECOMMENDATIONS The RDA Fivaace Chkomidee recommends flat firndiag be al1—d to pmjec6.¢ coda of—doug Rcokm g WEIGHTED PROJECT PRIORITY RDA Committetl Possible Adtlitianal HOME Program HOME Development HOMEARP TOTAL FUNDING PROJECTIAPPLICANT ADDRESS SCORE/INTEREST RATE REDUCTION` FUNDING REQUEST PRELIMINARY TERMS- Funds RDA Funtls Income Fund Development RECOMMENDATION N.,andi Court Target Populations:3 Transportation OppoMnOies:1 Interest Rate:1 0% Neighborhood Safety:1 Inter year 511 W2008 Architecture B Utah Design:1 $B95,000 Amortzation:30 year $895,000 $895000 1 Commercial Vitality:1 Had Repayments Public Art:1 TOTAL:B Transportation Opportunities:1 Interest Rale:1 5% 269 W mc.mm Ave Neighborhootl Safety:1 $3,01)i Temr I7year $0 14 Public Art:1 Amortzation:40year TOTAL:] Had Repayments Target Populations:3 Interest Rate:2 5% 19665209E Comercial m Vitality:1 $B95,000 Term:49year $895000 $895000 5 Assadhi Historic PresecomimmAdaotive Reuse:1 Amortzation:49year TOTAL:5 Cash Flow Repayments Family Housing:3 Target Papulatians:3 Interest Rate:2 0% Expand Opportunity:1 Term:l5 year 515 E 100 S Historic Presom atioulAtlapti m Reuse:1 $2,650,DDD To.peameand 15ty.a 15 year $0 3 Transportation Opportunities:1 Cash Flow Re is Commercial Vitality:1 p�men TOTAL:10 Family Housing:3 Interest Rate:2 0% Target Papulatians:3 Termnnui:30 year 934-94B W 200S Transportation Opportunities:1 $3.000.000 To.30ly.a, year $2420000 $2420000 6 Public Art:1 TOTAL B Cash Flow Repayments : The Catimarim,Phase 1 Transports-Opl o tangles:1 Interest Rate 2 0% Architecture B Li Design:1 To. ate 1881 WNTemple Commercial Vitality:1 $2,524,B02 To.RAnnort tyn:40 year $1000000 $1.000.000 10 Public Art:1 Cash Flow Repayments TOTAL:4 The Cauthadim,Phase 2 Family Housing:3 Interest Rate:2 0% Transportation Opportunities:1 a '881 W N Temple Commemal Vital Term:l6yenr ity_1 $1,569,441 To.Ryan, 40 year $134,323 $134,323 10 Public Art:1 TOTAL:6 Cash Flow Repayments Family Housing:3 Target Papulatians:3 Interest Rate:1 0% Transportation Opportunities:1 Term:15 year 515 W300N Architecture B Li Design:1 $401 Amortzation:30 year $400,000 $400000 2 —11 Commercial Vitality:1 Had Repayments Public Art:1 TOTAL:10 Target Papulatians:3 Interest Rate:1 0% Expand Opportunity:1 Acquisition Term:2-year Balloon 255151109E Transportation Oplotimudes:1 $3.200.000 Trco version to Permanent $1.00000a $1000000 13 Arch Nan Architecture BU Cason 1 Termnl6 year TOTAL:I Amortzatkm 49year Had Repayments Family Housing:3 Homeownership:3 Missing Middle:3 Interest Rate:1 0% 629 W400N Transport.-Opporunities_1 $710.000 Term 1Bmonth $710,000 $710,000 1 Architecture BUNan Design:1 Balloon Repayment Public Art 1 TOTAL:12 Target Papulatians:3 Interest Rate:2 5% Thansportetio.Opportunities:1 Term:15year 915 W200N Neighborhootl Safety:1 $880,000 Amortization:49year $41101 $126291 $10fi008 $880000 12 TOTAL:5 Cash Flow Repayments Target Papulatians:3 Interest Rate:2 5% Thansportetio.Oppmummities:1 Term:15year 11595 WTemple Neighborhood Safety:1 $140,000 Amortization:30year $140000 $140000 11 TOTAL:5 Cash Flow Repayments Family Housing:3 Target Papulatians:3 Interest Rale:2 0% Transportation Opportunities:1 Term:tRan. 12658300W Neighborhool Safety:1 $4.500.000 To"4tion:40 year $1236114 $1539611 $1732,609 $4,500000 4 PuncArchitecture B Li Design:1 Cash Flow Repayments Cammerdal Vitality-1 TOTAL:10 Target Papulatians:3 Transportation Capin hies:1 Interest Rate 20% Neighbor Safety:1 Term:16 year 910WNTempM Commercial Vitality:1 $2000,000 Amortization:40 year $f 000,000 $1000000 g Public Art:1 Cash Flow Repayments TOTAL:1 Target Papulatians:3 Interest Rate:2 5% 18053 Main St Missing Middle:3 $500,000 Temr 49year $500000 $500000 8 Neighborhood Safety:1 Amortzatkm 49year TOTAL:T Cash Flow Repayments TOTAL 1 $27,464,24] $4,241,714 $1,666,000 $6,939,710 $726,291 $1,501,608 $15,076,]2] 'Projects receive a 0 5%interest mte reduction far each inducted priority.Sustainability allows far a 1%or 2%reduction.The maximum reduction per develop—is 2%The interest cote is calculate!as f ilkake Base Interest Rate minus()Interest Rate Hutton—(up to 2%)=proposed interest hate,Base interest hale shall be lacked within a month of dosing.Protects shall maintain prayed priorities ad the same weighted score at dosing.Do....ft.Proi Priorities met may require Board approval. "Final Terms shall comply with the requiremems,standard loan terms antl conditions,interest-rate reductions,and all ofherdetails laid out within the FY202}2024 Housing Development Loan Program(HDLP)Guidelines.Changes to repayment type may occur(hard repayment versus cash Bow repayment)and shall be based on requirements listed in the HDLP Guidelines or if requiretl by a senior lantler.Changes in repayment type will cause a change in the base interest rate.Repayment priority antl lien position shall be basetl mum size of the loan,consideration maybe roads forother government entity loans if required[hmugh than policies.Funds may be disbureed in a lump sum g required by senior lend.did '^Whilereviewingapplications,the Commi0ee took intoconsitlha90 enthair Febramy 1,2024 High Opportuity nding recommendation eirs n Area HDLPfumendn and stated to maintain thubmNetl recommendation to Wind 515 TowComm—,er-Con 1 with High Opportunity Area funds.The Common competitive HDLP funding mnendatiom incorporate the pmai s,b,ftd High Opportunity Area recommendatem NOTE:Far all loan awards greater than lum)999,the Sustainable Development Policy requires buildings m be designed m operate without fossil fuels,but A wouM not restrict the ability to have backup mamatom for emergendes. Funtls Availability Total Available Recommended Funding Funds Remaining Legend: RDA Committed Funds $4,241114 $4,241114$ - PmembleAdditi�nalRDAFunds $1665,000 'I du5000$ - HOME Program Income $6,919,110 $fi'39,110$ - HOME Develop-at Fund $726,291 $1262W$ - HOMEARPDevelopment $150160B $1501,608$ - HOME Community Housing Development Organization Funtls $351 MI $0$ 351 841 Total Potential HDLP Funtls $15A26,164 $15,074,323 $351,841 Chair Walz explained that the objective of the meeting was to get a recommendation from the Finance Committee to take the RDA Board of Directors. The Committee was reminded about the additional $1.655 Million and reiterated that the Board retains the authority to modify any funding request or projects as deemed necessary. Chair Walz proposed that as a Finance Committee, it may be beneficial to establish a ranking system for projects and funds allocated in this meeting. This would provide clarity on the potential reallocation of funds if adjustments were made. The Committee agreed to include the following ranking: 1. Project Open 3 8.Alliance House 1805 Rebuild 2. Citizen's West 4 9. 9Ten West 3. 515 Tower-Conversion Phase 1 10. The Catherine Phase 1 &2 4. Liberty Corner 11. Book Cliffs Lodge 5. New City Plaza Apartments 12. Pharos Apartments 6. 2nd South Apartments 13. Fairmont Heights 7. Northbridge Court 14. Bumper House Chair Walz stated that if there were not any additional questions or comments, he would request a motion. Tony Milner made a motion to finalize the recommendation as listed.Amy Rowland seconded the motion, upon roll call the motion was passed unanimously. 1.Adjournment There being no further business the meeting was adjourned. Danny Walz, Chairperson This document along with the digital recording constitute the official minutes of the Redevelopment Agency Finance Committee held February 21, 2024. HOUSING DEVELOPMENT PROJECT NAME: 1 - Norbridge Court LOAN PROGRAM ADDRESS: 511 W 200 S OVERVIEW HOUSING UNITS smArtspace •• - HDLP Loan —CompetitiveRehabilitationStudio - - -Mixed Use 1 Bed - - - - - 2 Bed 59 - 7 21 31 RDA FUNDING REQUEST 3 Bed 3 - 1 1 1 • : ' - • - $895,000 4 Bed - - - - - • • - $18,774,027 •. • • 4.8% 1 Total 62 - 8 22 32 PROPOSED TERMS CONSTRUCTION DEBT AHEAD OF RDA 1.0% Senior Debt $12,993,686 • 30 Yr, 30 Yr •. Hard PERMANENT SOURCES • Subordinate to permanent debt HDLP THRESHOLDS AND PRIORITIES 7RDALoan uity $12,508,749 66.6% ebt $3,550,000 18.9% • -- • Deeply Affordable Units $895,000 4.8% Owner Equity $808,279 4.3/° • Condition of Approval Grants $500,000 2.7% �'. No Utility Rebates $475,000 2.5% Target Populations, Deferred Fee $36,999 0.2% Transportation Total $18,774,027 100% Opportunities, USES Neighborhood Safety, Architecture & UrbanCost Design, Commercial Hard Costs $14,081,396 75.0% Vitality, Public Art Soft Costs $1,157,601 6.2% Developer Fee $1,573,813 8.4% TIMELINE Financing $1,048,625 5.6% • Winter 2024 Contingency $648,775 3.5% • •, Summer 2026 Reserves $248,818 1.3% Public Art $15,000 0.1% LOW-INCOME HOUSING TAX CREDIT Total $18,774,027 100% ApplyingCredits Yes CreditsTax -• Yes, 9% 10 HOUSING DEVELOPMENT PROJECT NAME: 1 - Norbridge Court LOAN PROGRAM ADDRESS: 511 W 200 S PROJECT SUMMARY From Developer. "Norbridge Court is a four-story, mixed-used building with street level commercial space and 3 exclusively residential floors above. By resyndicating the LIHTC, the existing substandard housing will be substantially rehabilitated to update and completely renovate all 62 residential units and common areas. The original building was completed in 2001 and has many deficiencies that will be addressed through the rehab. Major items include replacing all appliances, updating lighting and electrical, replacing windows, and installing a highly efficient mechanical system. The rehab will also add washers/dryers to each unit, secure indoor bike storage, and provide a furnished exercise room and a computer room with free internet for tenants. The project is transit-oriented, located directly adjacent to UTA's Trax Blue line, on a bus stop on 200 South, Utah's busiest transit street, and a block from UTA's Central Station. The building will incorporate highly efficient design measures and will include a solar array of around 350kW with the goal of net zero. All residential units in the project will remain affordable and rent restricted." DEVELOPER SUMMARY From Developer. "Norbridge Court will be owned by Bridge Projects, LLC, the current owner of the building of which Artspace is the sole managing member. Established in 1980, Artspace has developed 7 mixed-use projects in the RDA's Granary and Depot District project areas. Artspace's portfolio includes 278 residential units affordable for households earning between 34-80%of AM and over 125,000 SF of commercial space occupied by artists, nonprofits, and local small businesses. Artspace's projects include 3 historic preservation projects, 2 low-income housing tax credit projects, 2 net zero energy buildings including Utah's first net zero multi-family building with onsite solar production, and the first Gold LEED certified mixed-use building in Utah. Artspace has the demonstrated ability to maintain long-term viability and compliance of affordable housing projects. As a 501(c)3 nonprofit, we do not sell our buildings and ensure they remain affordable for the community. Artspace's President, Jessica Norie, has been the President of Artspace since 2001 and will be Principal of this project. She has 27 years of experience developing mixed-use and affordable housing projects." 11 HOUSING DEVELOPMENT PROJECT NAME: 2 - Bumper House LOAN PROGRAM ADDRESS: 269 W. Brooklyn Avenue OVERVIEW HOUSING UNITS - - • 01-4 SMH Builders . .. JOWL •. • - •- HDLP Loan —Competitive • ' - •- New Construction Studio 182 - - 158 24 • Industrial 1 Bed 18 - 18 - - 2 Bed 37 - 37 - - RDA FUNDING REQUEST 3 Bed - - - - • : ' - • - $3,000,000 4 Bed - - - - • • - $60,701,174 •. • • 4 9% Total 237 - 55 158 24 PROPOSED TERMS CONSTRUCTION DEBT AHEAD OF RDA 1.5% M.. 17 Yr, 40 Senior Debt $43,280,077 •. Hard PERMANENT SOURCES • Subordinate to permanent debt HDLP THRESHOLDS AND PRIORITIES Senior Debt $27,300,000 45.0% LIHTC Eq uity $24,187,374 39.8% • -- • Deeply Affordable Units OWHLF $4,000,000 6.6% RDA Loan $3,000,000 4.9/° _ 93 State Tax Credit $1,629,800 2.7% '. Yes Deferred Fee $508,000 0.8% • Transportation Utility Rebates $76,000 0.1% Opportunities, Total $60,701,174 100% Neighborhood Safety, USES Public Art Use Amount %of Cost TIMELINE Acquisition $6,400,000 10.5% • June 2024 Hard Costs $42,491,254 70.0% lffaMTRUrMtrel tufal, MINIUMM I June 2026 Developer Fee $4,451,563 7.3% Financing $5,765,834 9.5% LOW-INCOME HOUSING TAX CREDIT Reserves $1,592,523 2.6% Total $60,701,174 100% Yes IM PF Yes, 4% 14 HOUSING DEVELOPMENT PROJECT NAME: 2 - Bumper House LOAN PROGRAM ADDRESS: 269 W. Brooklyn Avenue PROJECT SUMMARY From Developer: "Bumper House is a proposed 237-unit family LIHTC project that will be restricted to households earning 40 and 60 percent of the Area Median Income (AMI) or less. Upon completion of construction, the project will consist of 182 studio units, 18 one-bedroom units, and 37 two-bedroom units contained within one, eight-story, elevator serviced, mid-rise residential building. The site currently consists of vacant, undeveloped land. The project consists of a three-level concrete podium with lobby, support spaces and enclosed parking on level 1, residential units and parking on level 2 and residential units and a landscaped courtyard on level 3. There are 5 levels of residential units above the podium. The developed roof offers outdoor recreation and gardening. The residential units feature large areas of glass opening onto balconies and mountain views, high-end finishes including stained concrete flooring, European style cabinets, quartz stone counters, LED lighting, wardrobe systems with interchangeable storage components and stainless-steel appliances including a dishwasher, microwave/fan, oven, and refrigerator. Refer to renderings and photos section for examples of typical residential units, Attachment 2.A. and 1.G. Project Amenities. Community amenity spaces include a 700 SF community clubhouse with kitchenette, 400 SF exercise room, 1,000 SF outdoor seating area, secure bike storage in the garage, and a 1,500 SF rooftop recreation area and communal garden with raised beds. Other amenities include EV charging station, central laundry rooms on every residential level, on-site management, and common area Wi-Fi." DEVELOPER SUMMARY From Developer: "George Hauser and Jesse Curtis are owners of the property at 269 W. Brooklyn in Salt Lake City, they own 62% and 38% respectively. Frederick H. Olsen has been engaged to provide low-income housing tax credit advisory services for the applicants. George Hauser, SMH Builders, Inc., President George F. Hauser has over 35 years of experience in the real estate industry. Mr. Hauser is a licensed Utah General Contractor and California General Contractor and Real Estate Broker. He is a Licensed Architect in Utah, California and New York and certified by the National Council of Architectural Registration Boards (NCARB). In 1988 he formed Hauser Architects and, subsequently, SMH Builders, a licensed Utah and California General Contractor, which designs, entitles, finances and constructs his real estate development projects. Jesse Curtis, JCI, President Jesse Curtis is a real estate developer with 15 years of extensive real estate experience. Jesse has devoted the past 10 years to multi-family&commercial development in Salt Lake and Davis counties. He has over 1,000+ multi- family units under construction or in planning and architectural phases. He sits on 3 advisory and consulting boards for other local businesses or developers." 15 HOUSING DEVELOPMENT PROJECT NAME: 3 - New City Plaza Apartments LOAN PROGRAM ADDRESS: 1966 S 200 E OVERVIEW HOUSING UNITS - - • •- Housing Connect •• :@•. - •. • - •- HDLP Loan —Competitive ' - •- Rehabilitation Studio - - - - - • Multifamily Housing 1 Bed 298 - - 75 223 2 Bed 1 - - - - RDA FUNDING REQUEST 3 Bed - - - - - • : ' - • - $895,000 4 Bed - - - - - • • - $89,615,717 ' 1.0% Total 299 - - - - •. • • PROPOSED TERMS CONSTRUCTION DEBT AHEAD OF RDA 2.5% . 40 Yr, 40 Senior Debt $45,683,393 •. Cash Flow PERMANENT SOURCES • Subordinate to permanent debt Source kmount.L %of Total HDLP THRESHOLDS AND PRIORITIES Senior Debt $25,700,000 28.7% LIHTC Equity $32,858,269 36.7% • -- • Deeply Affordable Units Developer Financing $19,983,393 22.3% Deferred Fee $3,828,231 4.3/° • Condition of Approval SLC HOME Funds $2,000,000 2.2% No SLCO ARPA Funds $1,400,000 1.6% ,Target Populations, Cash Flow Prior to ' g p $1,325,849 1.5% Commercial Vitality, Conversion Historic OWHLF $1,000,000 1.1% Preservation/Adaptive RDA Loan $895,000 1.0% Reuse State Tax Credit $500,000 0.6% Utility Rebates $95,485 0.1% TIMELINE Interest $29,490 0.0% • June 22, 2022 Total $89,615,717 100% • November 1, 2025 USES LOW-INCOME HOUSING TAX CREDIT ' • • Yes Acquisition $19,398,000 21.6% Hard Costs $54,876,793 61.2% • Yes, 4% Soft Costs $9,415,068 10.5% Developer Fee $4,202,211 4.7% Reserves $1,723,645 1.9% Total $89,615,717 100% 18 HOUSING DEVELOPMENT PROJECT NAME: 3- New City Plaza Apartments LOAN PROGRAM ADDRESS: 1966 S 200 E PROJECT SUMMARY From Developer. "New City Plaza consists of two apartment towers at 1966 and 1992 South 200 East with construction of a new building connector between the two towers to connect them and to add a community space to provide services. The project consists of two (2) buildings; the first building is a seven (7) story structure. That building's features include a leasing office, community room, activities room, centralized laundry, and maintenance shop. The second residential building is a sixteen (16) story structure. This building's features include a leasing office, community room, activity room, laundry, and maintenance shop. The proposed project will continue to operate as senior and non-elderly disabled housing for individuals whose rents are between 37%and 59%of the area median income (AMI). As the two towers were built in 1973 and 1974, the Developer will work with SLC Benchmarking Staff to ensure Energy requirements are met to perform better than 90%of other 50-year-old high-rise buildings. In addition, New City Plaza Partners worked with (Cast to establish the anticipated energy rebates from Rocky Mountain Power and Dominion Energy. Please see Exhibit G for additional information. DEVELOPER SUMMARY From Developer. "Housing Connect and its affiliate Housing Opportunities, Inc. Real Estate and Property Management Departments focuses on acquiring, developing, managing, and owning multifamily housing developments that provide those we serve with affordable housing options that allow tenants to pay no more than 30%of their income towards rents; allowing them to meet their financial obligations and to strive towards self-sufficiency. As a housing developer, we equally understand that housing (brick&stick) is only one component of building a strong community. Housing Connect and its affiliate organizations support a total of 4,981 housing units under 28 different housing programs. Housing Connect owns 524 units in the Public Housing/RAD program. The organization has a proven track record in planning and developing Section 42 Low-Income Housing Tax Credit projects to provide PSH and workforce housing to Salt Lake City and County. Housing Connect can demonstrate extensive experience, capacity, and a strong commitment to developing and long-term managing extremely-low and low-income housing projects. Please see Exhibit H for additional information." 19 HOUSING DEVELOPMENT PROJECT NAME: 4- 515 Tower- Conversion Phase I LOAN PROGRAM ADDRESS: 515 E 100 S OVERVIEW HOUSING UNITS - - • •- Perpetual Housing Fund of Utah Bed roon?-00,0-- •LO1. 0'. LLC fount • - •- HDLP Loan —Competitive Studio 40 - 25 15 • - •- Adaptive Reuse 1 Bed 8 - 6 2 • Office 2 Bed - - - - 3 Bed 32 - 30 2 RDA FUNDING REQUEST 4 Bed 16 - 15 1 • _• - • - $2,650,000 Total 96 - 76 20 • • - $39,030,425 ' •. 6.8% CONSTRUCTION DEBT AHEAD OF RDA PROPOSED TERMS Lsenior Debt $16,960,000 2.0% • 15 Yr, 15 Yr PERMANENT SOURCES •. Cash Flow . • • • Subordinate to permanent debt Senior Debt $6,508,958 16.7% RDA Loan $2,650,000 6.8% HDLP THRESHOLDS AND PRIORITIES OWHLF $1,000,000 2.6% Family-Sized Units& Utility Rebates $76,800 0.2% Deeply Affordable Units LIHTC Equity $27,696,083 71% Affordable SLCO ARPA Grant $598,584 1.5% • Yes Deferred Feel $500,000 1.3% '. Yes Total $39,030,425 100% • Family Housing, Target Populations, Expand USES Opportunity, Historic Preservation/Adaptive Acquisition $16,000,000 41.0% Reuse, Transportation Hard Costs $15,466,320 39.6% Opportunities, Commercial Soft Costs $1,097,907 2.8% Vitality Developer Fee $2,249,922 5.8% TIMELINE Financing Expense $1,921,418 4.9% Contingency $1,686,134 4.3% • May 1, 2024 Reserves $608,724 1.6% • • - December 31, 2024 Total $39,030,425 100% LOW-INCOME HOUSING TAX CREDIT Yes • -• Yes, 9% 1 The Developer is committing an additional$625,000 of developer fee from the project to create an equity line of credit so that residents can access their equity prior to a refinance or sale event,for a total of$1,125,000 deferred developer fee. 22 HOUSING DEVELOPMENT PROJECT NAME: 4- 515 Tower-Conversion Phase I LOAN PROGRAM ADDRESS: 515 E 100 S RDA APPLICATION NOTES The RDA, through the City's American Rescue Act Plan (ARPA) funds, allocated $10 million to the Perpetual Housing Fund of Utah, LLC to purchase this property for an affordable housing development with a tenant wealth building program. This$10 million will be used for the purchase of the property that would then allow PHF to develop additional projects that carry out their goals to provide 1,000 affordable homes that will help families and individuals build wealth. This is a unique model in which the developer will be contributing their own profits, which they will share with the tenants of the building. This development also applied for funding through the competitive HDLP, which will be in front of the RDA Finance Committee at a future date. The 515 Tower needs a total of $2,650,000 and if the full amount is received through the high opportunity area funding, they will not need to request funds through the competitive HDLP process. PROJECT SUMMARY From Developer: "515 Conversion Phase I a mixed-income, sustainable, adaptive-reuse project located on the East side of Salt Lake City. The project is part of multi-phase, mixed-use project on the site and will be a beacon of affordable housing in the rapidly unattainable east side of Salt Lake City. The overall project is planned to include a mixed-income daycare, local retailers, and impact-focused commercial and co-working space. This project is being developed by Perpetual Housing Fund and all 96 units in this phase will feature a shared-equity model -sharing 75%of the phase's profits and appreciation with the residents living here. 515 will incorporate an array of amenities that will benefit the lives of its residents including a fitness center, a clubhouse, a Greenbike station on site (with annual passes included at no charge), indoor bike storage, a bike-repair station, and shared outdoor space. Located within walking distance of the project is an elementary school, a core bus route, and a public park. The project will also be fully electric, contributing to better air-quality in the area and improving the health and wellbeing of its tenants. The units will also be built within the criteria for Enterprise Green Communities 2020." DEVELOPER SUMMARY From Developer: "The project is being developed by Perpetual Housing Fund with Giv Communities as a development consultant. The team has successfully developed or consulted on over a thousand affordable housing units utilizing the Low- Income Housing Tax Credit, OWHLF, and SLC loan programs along the Wasatch Front. Recent affordable housing projects by the development team include: Exchange - Salt Lake City Project Open Phases 1 and 2 -Salt Lake City Citizens West Phase I -Salt Lake City Denver Street Apartments-Salt Lake City Pamela's Place-Salt Lake City Imagine Jefferson -Ogden Startup Crossing- Provo Harris Village Shelter and Permanent Supportive Housing—Tooele" 23 HOUSING DEVELOPMENT PROJECT NAME: 5 - 2"d South Apartments LOAN PROGRAM ADDRESS: 934-948 W 200 S OVERVIEW HOUSING UNITS � - - • •- Hermes Affordable Services, :-. .. :1741-60% -0•.LLC •HDLP Loan —Competitive Studio 36 - - 28 8 • - •- New Construction 1 Bed 37 - - 31 6 • 3 Single Family Homes& 1 2 Bed 16 11 - 14 1 Duplex 3 Bed 16 - - 15 1 RDA FUNDING REQUEST 4 Bed - - - - - • _• ' -• - $3,000,000 Total 105 1 - 88 16 one FiNUTITUNial Mel 1 $37,177,859 8 1% CONSTRUCTION DEBT AHEAD OF RDA • PROPOSED TERMS Senior Debt $27,479,842 2.0% PERMANENT SOURCES • 30 Yr, 30 Yr Cash Flow • Subordinate to permanent debt Senior Debt $11,160,000 30.0% Senior Debt $1,250,000 3.4% HDLP THRESHOLDS AND PRIORITIES RDA Loan $3,000,000 8.1% _ OWHLF HOME $2,000,000 5.4% Family-Sized Units& LIHTC Equity $15,772,525 42.4% Deeply Affordable Units State Tax Credit _ - Equity $2,899,710 7.8% • Yes '. Yes Deferred Fee $853,659 2.3% • Family Housing, Target Solar Equity $166,965 0.4% Populations, Rocky Mtn Rebates $75,000 0.2% Transportation Total $37,177,859 100% Opportunities, Public Art USES TIMELINE I &W-Ul • October 2024 Land $3,120,100 8.6% • •, • M 90TIM I June 2026 Hard Costs $22,162,722 59.6% Soft Costs $1,699,723 4.6% LOW-INCOME HOUSING TAX CREDIT Developer Fee $3,232,424 8.7% Yes Financing Expense $4,482,474 12.1% Contingency $2,074,923 5.6% • No, 4% Reserves $315,493 0.8% Total $37,177,859 100% 1 One 2-bedroom unit will be the property manager's residence and included as part of their compensation,therefore only 104 units will be rented at the respective AMIs to the public. 26 HOUSING DEVELOPMENT PROJECT NAME: 5 - 2nd South Apartments LOAN PROGRAM ADDRESS: 934-948 W 200 S PROJECT SUMMARY From Developer. "2nd Street Apartments will appeal to a wide variety of households and provide larger units that are mostly missing in the Fairpark Neighborhood. While most of the new affordable and market rate housing in the Fairpark Neighborhood is providing studio and one-bedroom apartments, 2nd South will also provide two-and three- bedroom homes. In addition to the variety of apartment sizes, we will appeal to even more households with rents from 40%of area median income to 60%of AMI. Located in the Fairpark neighborhood, 2nd South will provide much needed affordable housing in this quickly transforming part of Salt Lake City. The site is only 1.3 miles from the heart of downtown and 2 miles from the international airport. The Jackson/Euclid TRAX StaDon is only a half mile north of the site while multiple bus stops are a third of a mile to the south along 400S/Poplar Grove Blvd S. Parks and the Folsom Trail are located nearby." DEVELOPER SUMMARY From Developer. "EXECUTIVE TEAM Charles A. Schmid Chief Executive Officer Charles has been with Chelsea since 1986 and serves as President of Chelsea's affiliated general contractor, Emmerson Construction. He applies experience with real estate finance, development, and management to facilitate the needs of both companies. Charles, a licensed general contractor, has supervised the construction of more than 8,000 units throughout California and Arizona. With a degree from UC San Diego, he has a thorough understanding of the life cycle of apartment development, from feasibility analysis through lease-up. Cheri Hoffman President Cheri has been part of the Chelsea development team since 1994 and has participated in the development of close to 100 affordable apartment communities, involving over$2 billion in financing. She is an authority in financial modeling incorporating tax credits and tax-exempt bonds, and has extensive experience securing multiple forms of local, state, federal and private funding sources. She is involved throughout the development process, from early feasibility analysis to lease up and stabilization. Cheri received her degree in Accounting from California State University in Fullerton and continued her education with finance studies at California Polytechnic University in Pomona. Eric Paul Chief Financial Officer Eric has over 20 years of experience in a variety of areas of the real estate industry including real estate investment and development, finance, construction, and asset management. He oversees financial planning and analysis, financial reporting, treasury, tax strategy and risk management for Chelsea Investment Corporation, Emmerson Construction, CIC Management and affiliates. Eric began his professional career at Ernst&Young and most recently served as Finance Director for Southwest Value Partners. Eric graduated with honors from San Jose State University where he earned a Bachelor's in Business Administration; he also holds a Master's in Accounting from the University of Virginia. Eric is a Certified Public Accountant and real estate broker. 27 HOUSING DEVELOPMENT PROJECT NAME: 5 - 2nd South Apartments LOAN PROGRAM ADDRESS: 934-948 W 200 S Jim Andersen Chief Financial Officer Jim serves as the CFO of Chelsea Investment Corporation. He has over 30 years of experience in a variety of roles in the Real Estate industry. Proficient in both Financial Management and Development, Jim has served as a Development Partner and executive for Legacy Partners, Del Mar Development, Trammell Crow Company, and NMS Properties. In his career, he has sourced, entitled, financed and/or completed several thousand units in California. In addition, Jimwas Chief Financial Officer for Bay Apartment Communities(predecessor to Avalon Bay), and Trammell Crow Company. Jim is very active in the industry as a member of ULI and NMHC. He earned his CPA while at Peat Marwick and Company and graduated from Loyola Marymount University with a Bachelor of Science in Accounting. MANAGEMENT TEAM Heidi W. Mather Director of Development Heidi W. Mather has been a real estate professional for over 30 years. Early in her career, Heidi's responsibilities included land use planning for the city of San Diego and private sector entitlement processing. For the last 22 years she has focused on market-rate apartment development. Heidi has been responsible for the entire life cycle of a deal: due diligence, investment approvals, project design, consultant management, the entitlement and public approval process, permit processing, government and stakeholder interface, capitalization, and loan management. She has also acted as the Owner's Representative during the construction and lease-up phases and assisted with project disposition. Heidi has developed nearly 9,000 homes in California and Arizona represented by a variety of product types with an aggregate capitalization value in excess of$2.5 billion. With an Urban Studies and Planning degree from the University of California, San Diego, she has a deep understanding of the multi-family development process. Shannon Vanderhei Capital Transactions Manager Shannon Vanderhei has over 15 years of experience working for real estate development, syndication, lending, and property management companies. Her experience includes acquisitions, dispositions, financing, property management, asset management, construction, rehabilitation, and due diligence. Her role at Chelsea Investment Corporation includes financing and financial modeling of projects along with managing the closing and conversion transactions. Shannon earned a B.B.A. in Real Estate and Marketing from the University of Wisconsin at Milwaukee. Jeffrey A. Ryan Senior Development Manager Jeff has over 23 years of experience in affordable housing development and real estate, working with both non- profit and for-profit developers. He has managed a range of multifamily projects for large families, mixed-use, and special needs housing. His experience developing spans across multiple states. As Senior Development Executive, he leads each project from conception to completion, and his responsibilities include due diligence, entitlements, design team management, loan closing, and funding applications. Jeffrey earned his B.A. in Political Science and studied Urban Development Planning at Indiana University-Indianapolis." 28 HOUSING DEVELOPMENT PROJECT NAME: 6- The Catherine Phase 1 LOAN PROGRAM ADDRESS: 1881 W North Temple OVERVIEW HOUSING UNITS - • •- 22 Communities •• •. - • - •- HDLP Loan —Competitive • - •- New Construction Studio 80 - - 80 - 1 . • Industrial 1 Bed 44 - - 44 - 2 Bed 80 - - 80 - RDA FUNDING REQUEST _ $2,524,802 3 Bed 2 24- - - • , ' •.- • $69,452,555 4 Bed - -- - - •. • • 3.6% Total 228 - - 228 - PROPOSED TERMS CONSTRUCTION DEBT AHEAD OF RDA . 2.0% . 16 Yr, 40 Senior Debt $52,189,043 •. Cash Flow PERMANENT SOURCES • Subordinate to permanent debt HDLP THRESHOLDS AND PRIORITIES Senior Debt $27,5417202 39.7% OWHLF $3,000,000 4.3% • -- • Family-Sized Units SLC RDA $2,524,802 3.6% LIHTC Equity $30,627,027 44.1/° • Condition of Approval State Tax Credit $4,759,524 6.9% �'. Yes Equity • Transportation Deferred Fee $1,000,000 1.4% Opportunities, Architecture Total $69,452,555 100% & Urban Design, USES Commercial Vitality, Public Art Use Amount ' of Cost Acquisition $5,710,000 8.2% TIMELINE Hard Costs $43,906,872 63.2% • September 2024 Soft Costs $3,225,662 4.6% • •, July 2026 Developer Fee $5,636,749 8.1% Financing Expense $7,889,000 11.4% LOW-INCOME HOUSING TAX CREDIT Contingency $2,504,272 3.6% • • Yes Reserves $580,000 0.8% Total $69,452,555 100% No, 4% 31 HOUSING DEVELOPMENT PROJECT NAME: 6-The Catherine Phase 1 LOAN PROGRAM ADDRESS: 1881 W North Temple PROJECT SUMMARY From Developer: "This phase of the project will include 228 units, all of which will be restricted units. There will be 80 studio units, 44 one-bedroom units, 80 two-bedroom units, and 24 three-bedroom units. The units will be available to tenants living at 60%AMI or below. The project will provide eighteen (18) "Type A" units for persons with long-term mobility impairments." DEVELOPER SUMMARY From Developer: "Jake has over a decade of development, design, and project management experience with public, for-profit, and nonprofit entities. While at the Salt Lake City Housing and Neighborhood Development Department, Jake planned the disposition and redevelopment of city-owned assets and oversaw CDBG funded construction projects. Following that, Jake spearheaded the creation and early growth of CW Urban, a fast-growing Utah development company. He stayed on as the Director of Acquisition and Development, overseeing acquisitions, entitlements, and design for all infill and mixed-use developments. Next, Jake was the Director of Real Estate Development at Neighborhood Housing Solutions, a non-profit Real Estate Development company. He was responsible for all single-family subdivisions and multi-family tax credit developments. This work included the acquisition and initial concept planning for a 100-acre master-planned community in Smithfield Utah, and the development and management of a LIHTC multi-family portfolio. Most recently he was a managing member of Defy Co.labs where he was the Director of Development and Design and spearheaded a 140- unit LIHTC project called Colony B along with multiple other entitlement projects. Jake has been the development lead on over 20 development projects and underwritten hundreds more equating to over 1000 units over multiple Utah communities. Each project has had its unique challenges from environmental clean up to mechanical parking garages or unique entitlement processes. Jake has faced each challenge with creativity, passion and joy for the privilege to participate in the building of communities where people will live out their lives. Jake holds a bachelor's degree in Business Management, a master's degree in Real Estate Development, and an Urban Planning Certificate from the University of Utah." 32 HOUSING DEVELOPMENT PROJECT NAME: 7 - The Catherine Phase 2 LOAN PROGRAM ADDRESS: 1881 W North Temple OVERVIEW HOUSING UNITS - • •- 22 Communities •. - ' - •- HDLP Loan —Competitive ' - •- New Construction Studio 45 - - 45 - • Industrial 1 Bed 30 - - 30 - 2 Bed 45 - - 45 - RDA FUNDING REQUEST 3 Bed 24 - - 24 $1,569,441 - -'�-- 4 Bed - - - - - $45,194,612 Total 144 - - 144 - - 3.5% PROPOSED TERMS CONSTRUCTION DEBT AHEAD OF RDA . 2.0% . 16 Yr, 40 Senior Debt $37,095,412 •. Cash Flow PERMANENT SOURCES • Subordinate to permanent debt HDLP THRESHOLDS AND PRIORITIES Senior Debt $17,0337754 37.7% OWHLF $2,500,000 5.5% • -- • Family Sized Units SLC RDA $1,569,441 3.5% LIHTC Equity $20,011,725 44.3/° • Condition of Approval State Tax Credit $3,079,692 6.8% �'. Yes Equity • Family Housing, Deferred Fee $1,000,000 2.2% Transportation Total $45,194,612 100% Opportunities, Commercial USES Vitality, Public Art Use Amount %of Cost TIMELINE Acquisition $3,600,000 8.0% • September 2024 Hard Costs $29,314,459 64.9% lffaMTRUrRtrel tufal, • - July 2026 Soft Costs $2,169,453 4.8% Developer Fee $4,014,863 8.9% LOW-INCOME HOUSING TAX CREDIT Financing Expense $4,062,000 9.0% Contingency $1,733,837 3.8% Yes Reserves $300,000 0.7% No, 4% Total $45,194,612 100% 35 HOUSING DEVELOPMENT PROJECT NAME: 7 -The Catherine Phase 2 LOAN PROGRAM ADDRESS: 1881 W North Temple PROJECT SUMMARY From Developer. "22 Communities LLC (22) (Applicant, Sponsor, Developer, Owner) and KTG Holdings, LLC (KTG) acting as the Sponsor, and Developer, Owner(collectively as "Parties") are pleased to apply for the April 2024 Private Activity Bond round for the new construction of The Catherine Phase 1. The Catherine will be a 2-phase 2-building 378 unit apartment project directly southeast of the 1940 W North Temple Trax station at 1881 W North Temple, Salt Lake City, Utah. Of the 378 units listed above,144 units will be a part of this Phase 2 Application and will be restricted to incomes at 60%of the Area Median Income (AMP. DEVELOPER SUMMARY From Developer. "Jake has over a decade of development, design, and project management experience with public, for-profit, and nonprofit entities. While at the Salt Lake City Housing and Neighborhood Development Department, Jake planned the disposition and redevelopment of city-owned assets and oversaw CDBG funded construction projects. Following that, Jake spearheaded the creation and early growth of CW Urban, a fast-growing Utah development company. He stayed on as the Director of Acquisition and Development, overseeing acquisitions, entitlements, and design for all infill and mixed-use developments. Next, Jake was the Director of Real Estate Development at Neighborhood Housing Solutions, a non-profit Real Estate Development company. He was responsible for all single-family subdivisions and multi-family tax credit developments. This work included the acquisition and initial concept planning for a 100-acre master-planned community in Smithfield Utah, and the development and management of a LIHTC multi-family portfolio. Most recently he was a managing member of Defy Co.labs where he was the Director of Development and Design and spearheaded a 140- unit LIHTC project called Colony B along with multiple other entitlement projects. Jake has been the development lead on over 20 development projects and underwritten hundreds more equating to over 1000 units over multiple Utah communities. Each project has had its unique challenges from environmental clean up to mechanical parking garages or unique entitlement processes. Jake has faced each challenge with creativity, passion and joy for the privilege to participate in the building of communities where people will live out their lives. Jake holds a bachelor's degree in Business Management, a master's degree in Real Estate Development, and an Urban Planning Certificate from the University of Utah." 36 HOUSING DEVELOPMENT PROJECT NAME: 8 - Citizens West 4 LOAN PROGRAM ADDRESS: 515 W 300 N OVERVIEW HOUSING UNITS � - • •- Developed. By Women. & :l741-60% -0Ivan CarrollHDLP Loan —Competitive Studio 10 - - 5 5 ' - •- New Construction 1 Bed - - - - - • Office 2 Bed 16 1 - 12 3 RDA FUNDING REQUEST 3 Bed 20 - - 19 1 $400,000 4 Bed 6 1 - 4 1 $25,5147260 Total 52 2 - 40 10 •. 1.6% CONSTRUCTION DEBT AHEAD OF RDA PROPOSED TERMS 1.0% I Senior Debt $9,715,984 • 15 Yr, 30 Yr PERMANENT SOURCES • Hard Subordinate to permanent debt 7Utility ebt $3,5917261 14.1% HDLP THRESHOLDS AND PRIORITIES n $400,000 1.6% bates $15,600 0.1% Family-Sized Units& LIHTC Equity $20,007,399 78.4% • Deeply Affordable Units SLCO ARPA Grant $1,000,000 3.9% Affordable Units • Yes Deferred Fee $500,000 2.0% '. Yes Total $25,514,260 100% ' Family Housing, Target USES Populations, Transportation Amount �' ' ' Opportunities, Architecture Acquisition $2,420,000 9.5% & Urban Design, Hard Costs $17,298,836 67.8% Commercial Vitality, Public Soft Costs $726,690 2.8% Art Developer Fee $2,032,901 8.0% Financing Expense $1,689,432 6.6% TIMELINE Contingency $998,006 3.9% • October 1, 2024 Reserves $348,385 1.4% • •, • - May 1, 2026 Total $25,514,260 100% LOW-INCOME HOUSING TAX CREDIT - Yes • -• Yes, 9% 39 HOUSING DEVELOPMENT PROJECT NAME: 8-Citizens West 4 LOAN PROGRAM ADDRESS: 515 W 300 N PROJECT SUMMARY From Developer. "Citizens West 4 completes the Citizens West block, bringing sorely-needed affordable housing with retail and recreational amenities to a rapidly gentrifying part of SLC. This phase will provide homes for large-household, multi-generational, refugee, and un-housed populations that have a particularly difficult time finding suitable housing in our state. This transit-oriented project provides quick access to public transit, employment, and schools, and is a perfect location for affordable family housing. This phase will provide additional outdoor recreation amenities such as a sport court and gym while maintaining access to those already built by the previous phases of the overall project. Together with a local community serving non-profit, the project will build a public- facing plaza that connects the street outside to the recreational and outdoor uses on the site. The property will be fully-electric, utilizing high efficiency heat pump technology for space and water heating/cooling. International Rescue Committee (I RC)will provide access to services for the refugees and formerly homeless individuals living at the property." DEVELOPER SUMMARY From Developer: "The project team has successfully completed several 9%tax credit projects including Imagine Jefferson (phases 1 &2), North Sixth, Startup Crossing, Project Open (phases 1 &2), and Diamond Rail Apartments (OBA Citizens West phase 1 ). The owners and developers of the project have a track record of more than a decade in utilizing the LIHTC program to bring high-quality affordable housing to multiple communities, particularly on the west side of SLC. Now partnering with Developed. By Women., a non-profit focusing on elevating female decision-making and ownership in real estate, the team brings a well-rounded, experienced, and diverse background to the project. Evergreen Management Group(EMG) will do property management, having section 42 compliance experience for decades on numerous different properties across the state of Utah." 40 HOUSING DEVELOPMENT PROJECT NAME: 9 - Fairmont Heights I LOAN PROGRAM ADDRESS: 2257 S 1100 E OVERVIEW LOW-INCOME HOUSING TAX CREDIT - - • •- Lincoln Avenue Communities • • -•its HDLP Loan —Competitive Yes, 9% ' - •- New ConstructionVax -• -• No • Office ACQUISITION SOURCES RDA FUNDING REQUEST • . ' . • . $3,200,000 7RDAHigh • • - • $34,619,153 $3,200,000 45.1% 9.2% pp Funds $2,700,000 38.1% HASLC Cash $800,000 11.3% PROPOSED TERMS LAC Cash $390,000 5.5% 1% Total $7,090,000 100% Acq: 2 Yr, Balloon or Conversion • Perm: 16 Yr, 40 Yr ACQUISITION USES •. Hard for construction to perm RUML ills 1 • • • • Subordinate to permanent debt Acquisition $7,000,000 Insurance $40,000 0.6% HDLP THRESHOLDS AND PRIORITIES Closing Costs 1 $50,000 1 0.7% 1 -• Total 1 $7,090,000 1 100% • -- • Deeply Affordable Units Affordable Units CONSTRUCTION DEBT AHEAD OF RDA ' Condition of Approval �'. Yes Senior Debt $21,767.665 ' Target Populations, Expand Opportunity, PERMANENT SOURCES Transportation L= . • Opportunities, Architecture Senior Debt $3,790,000 11.1% and Urban Design RDA Loan $3,200,000 9.2% Utility Rebates $142,500 .42% TIMELINE LIHTC Equity $26,147,384 76.9% gilzilm I May 1, 2024 Deferred Fee $1,339,296 3.6% 114 • October 2025 GP Capital ° Contribution $100 0.0%HOUSING UNITS Total $34,619,280 100% rooed �O• 0'• •0'• PERMANENT USES MIRate AMI AMWP JA =11IL11111 .. 1 0 Studio - - - - - Acquisition $3,900,600 11.3% 1 Bed 40 - 7 15 18 Hard Costs $23,888,751 69.0% 2 Bed 15 - 2 4 9 Soft Costs $898,000 2.6% 3 Bed - - - - - Developer Fee $3,113,699 9.0% 4 Bed - I - - I - I - Financing Expense $2,456,398 7.1% Total 55 - 9 1 19 1 27 Contingency $0 0.0% Reserves $362,432 1.0% Total $34,619,280 100% 43 HOUSING DEVELOPMENT PROJECT NAME: 9 - Fairmont Heights I LOAN PROGRAM ADDRESS: 2257 S 1100 E RDA APPLICATION NOTES This project also applied for$2,700,000 for their Fairmont Heights 11 project through the High Opportunity Area HDLP process. Both phases of the project will be located on the same parcel with Phase 1 being built first and Phase 2 to follow. The developer is seeking an acquisition to permanent financing loan, which means initial funds would be used to buy the property, but the developer would need to obtain tax credits, financing, and building approvals within 2 years. If successful, they would be able to convert their acquisition loan to a longer-term permanent financing loan. If they are not successful, they will be required to pay back the loan at the end of the acquisition loan term. This project is seeking funding from both sources of funds. PROJECT SUMMARY From Developer: "Fairmont Heights I has engaged the seasoned LIHTC architectural group of Encompass to design a high quality, cost effective mid rise building(1 building, 2 stories of structured parking and 5 stories of wood constructed units above the parking deck, serviced by an elevator) that blends well with the surrounding neighborhood, paying particular attention to the relationship of the ground floor space and the adjacent Fairmont Park. This site is an A+ location for an affordable site. The site presents an incredible opportunity to tie into the neighborhood fabric and locate housing near transit, employment, recreation and services. Both phases are designed to mirror the surrounding neighborhood. The project transitions into the neighborhood using elements in both the contemporary form of the building and the materials that clad its skin. The space on the ground floor along Simpson Avenue and 1100 S will activate the building to the public and bring the design into the neighborhood. The pedestrian nature of the activities within and the rhythm of the living units help the project feel comfortable." DEVELOPER SUMMARY From Developer: "Fairmont Heights Apartments, LP is a Utah limited partnership that blends both local and national LIHTC development experience. Lincoln Avenue Capital ("LAC") is the project sponsor with national experience in the development and ownership of affordable housing. LAC was formed in 2016 and currently has a portfolio of over 22,000 units over 20 states across the country. LAC's extensive experience is specific to the development and acquisition of LIHTC multifamily projects across the US. This includes taking a project from the conceptual stage, through awarding of tax credits (for LIHTC projects), negotiating agreements with equity investors and lenders, construction, and final hand off to the property management company, Asset Living/Shelton Residential. LAC is responsible for the development of affordable multifamily, independent senior living, tax credit acquisition and rehabilitation. Please see attached 2022 Impact Report for more information on LAC." 44 HOUSING DEVELOPMENT PROJECT NAME: 10 - Project Open 3 LOAN PROGRAM ADDRESS: 529 W 400 N OVERVIEW HOUSING UNITS � - - • •- Perpetual Housing Fund of Utah :-. .. :l741-60% -0•.LLCHDLP Loan —Competitive Studio - - - - - • - •- New Construction 1 Bed 4 - 4 - - • Vacant 2 Bed - - - - - RDA FUNDING REQUEST 3 Bed 12 - 12 - - $710,000 4 Bed 7 - 7 - - $7,170,000 Total 23 - 23 - - MOM 9'9% CONSTRUCTION DEBT AHEAD OF RDA PROPOSED TERMS 1.0% Senior Debt $5,328,480 • 18-month PERMANENT SOURCES •. Balloon Repayment Subordinate to permanent debt • 7SRDALoain ebt $5,328,480 74.3% HDLP THRESHOLDS AND PRIORITIES $710,000 9.9% Utility Rebates $18,400 0.3% • -- • Family-Sized Units SLCO ARPA Grant $813,120 11.3% _ Donated Fee $300,000 4.2% • Yes Total $7,170,000 100% '. Yes USES • Family Housing, Homeownership, Missing 116111 , Middle, Transportation 7-7, $483,000 6.7% Opportunities, Architecture $5,356,350 74.7% & Urban Design, Public Art ots $650,000 9.1% Developer Fee $300,000 4.2% TIMELINE Financing Expense $120,000 1.7% • July 1, 2024 Contingency $250,000 3.5% • •, • M 90TIM I May 1, 2025 Public Art $10,650 0.1% Total $7,170,000 100% LOW-INCOME HOUSING TAX CREDIT No N/A 47 HOUSING DEVELOPMENT PROJECT NAME: 10- Project Open 3 LOAN PROGRAM ADDRESS: 529 W 400 N PROJECT SUMMARY From Developer: Project Open is a transit-oriented, carbon-neutral, mixed-income, development in Salt Lake City's rapidly gentrifying Guadalupe neighborhood. It serves as a diverse home to over 200 households that span across income, family size, and demographic spectrums. Phase 3 of the development looks to further this effort by developing homes for families at a price-point that is currently not available in Salt Lake City's market. According to Kern C. Gardner Institute, the mortgage payment in October 2022 for the median price single-family in the Wasatch Front Counties was$4,276/month. This is double the payment that is affordable to a family making 80% of AMI and double the payment amount that new three-bedroom condos in this proposal will provide. This project will provide 23 new condos and town homes that are affordable to individuals and families making 80%of AMI. The development team has discounted the land value and eliminated its fees to bring this product to market. We see this as a demonstration project, showing a path for new construction, for-sale, unsubsidized housing product that is actually affordable to those currently unable to afford a home. DEVELOPER SUMMARY From Developer: The project is being developed by the Perpetual Housing Fund. The team has successfully developed or consulted on over a thousand affordable housing units utilizing the Low-Income Housing Tax Credit, OWHLF, and SLC loan programs along the Wasatch Front. Recent affordable housing projects by the development team include: Exchange—Salt Lake City, Pamela's Place—Salt Lake City, Imagine Jefferson —Ogden, Startup Crossing— Provo, and Harris Village Shelter and Permanent Supportive Housing—Tooele. The development team also has experience developing for-sale attached housing across the Salt Lake Valley. SITE MAP 0 g3j A 48 HOUSING DEVELOPMENT PROJECT NAME: 11 - Pharos Apartments LOAN PROGRAM ADDRESS: 915 W 200 N OVERVIEW HOUSING UNITS � - - • •- Housing Authority of :-. .. :1741-60% -0•.Salt Lake CityHDLP Loan —Competitive Studio - - - - - • - •- New Construction 1 Bed 34 - 10 19 5 • Vacant Single-Family Home 2 Bed - - - - - RDA FUNDING REQUEST 3 Bed - - - - - • - • - $880,000 4 Bed - - - - • • - $10,327,863 Total 34 - 10 19 5 O •' 8.5% CONSTRUCTION DEBT AHEAD OF RDA PROPOSED TERMS 2 5% I Senior Debt $6,403,275 • 15 Yr, 40 Yr PERMANENT SOURCES •. Cash Flow Subordinate to primary lender •° • 70WHLF ebt $5,013,745 48.5/° HDLP THRESHOLDS AND PRIORITIES n $880,000 8.5% $500,000 4.8% dt • -- • Deeply Affordable Utility Rebates $21,500 0.2% Affordable Office of Homeless Services Grant Units $2,000,000 19.4% • Yes Deferred Fee $462,618 4.5% �'. Yes Target Populations, Owner Equity $1,450,000 14.0% Transportation Total $10,327,863 100% Opportunities, USES Neighborhood Safety Use Amount %of Cost TIMELINE Acquisition $1,400,000 13.6% • April 5, 2024 Hard Costs $6,737,937 65.2% • •, June 1, 2025 Soft Costs $283,000 2.7% Developer Fee $929,570 9.0% LOW-INCOME HOUSING TAX CREDIT Financing Expense $168,742 1.6% No Contingency $393,215 3.8% Reserves $415,399 4.0% • N/A Total $10,327,863 100% 50 HOUSING DEVELOPMENT PROJECT NAME: 11 - Pharos Apartments LOAN PROGRAM ADDRESS: 915 W 200 N PROJECT SUMMARY From Developer. "The Housing Authority of Salt Lake City is proposing a new 34-unit apartment complex called Pharos Apartments. Pharos will have 33 resident units, one live-in managers unit and a dedicated service space/wellness room. Located just a few blocks from the Jackson/Euclid Trax station and adjacent to the Utah State Fairgrounds, this property is situated in a growth area that provides easy access to the Downtown corridor. Additionally, this property is just blocks away from a large Rocky Mountain Power property that is slated for significant retail and entertainment development. This unique location that is both transit oriented and in an opportunity zone, will provide residents the convenience of living in close proximity to services, shopping, recreation and employment. Five of the units at this unique property will be permanent supportive housing with appropriate direct services and service connections to support a McKinney—Vento homeless population that may have physical or mental challenges or have a dual-diagnosis. The property will also have 3 ADA units for any residents that may also have physical or mobility related challenges. Additionally, the property will serve additional low income and workforce tenants by providing units aimed at the 41-60%AMI population and some units aimed at 61-80%AMI tenants. The 450 square foot one-bedroom units will be perfectly suited to low and very low-income tenants in the 30-80% AMI range buy providing an excellent entry into the Salt Lake rental market in an up-and-coming neighborhood with convenient access to public transportation. The low rent threshold and priority population will allow the development to directly address several pressing community needs. All apartments will be well equipped with amenities such as air conditioning, energy star appliances, microwaves and vent hoods, self-cleaning ovens, garbage disposals, water saving fixtures, ample light and balconies that give each unit some private outdoor space. Efficient design, ample storage, durable and quality finishes and purposeful community spaces combine to make a welcoming and healing environment for residents calling the development home." DEVELOPER SUMMARY From Developer. "Housing Assistance Management Enterprise (NAME) will act as development consultant for the development of the proposed property. Over the last several years HAME has constructed and managed hundreds of LIHTC affordable housing units that vary in style, population served and location throughout Salt Lake City. Our familiarity and knowledge of the local building process will help facilitate the completion of this project. HAME is the nonprofit affiliate of the Housing Authority of Salt Lake City; an entity that is consistently cited as one of the most financially sound and well-managed public housing authorities in the U.S." 51 HOUSING DEVELOPMENT PROJECT NAME: 12 - Book Cliffs Lodge LOAN PROGRAM ADDRESS: 1159 S W Temple OVERVIEW HOUSING UNITS � - - • •- Housing Authority of :-. .. :1741-60% -0•.Salt Lake CityHDLP Loan —Competitive Studio - - - - - • - •- New Construction 1 Bed 55 6 20 20 9 • Vacant 2 Bed - - - - - RDA FUNDING REQUEST 3 Bed - - - - - $740,000 4 Bed - - - - - - Total 55 6 20 20 9 _ $1,000,000 $17,424,284 CONSTRUCTION DEBT AHEAD OF RDA ' � •. 10% Senior Debt $10,315,400 PROPOSED TERMS 2 5% PERMANENT SOURCES MEME15 Yr, 30 Yr •. Cash Flow Senior Debt $9,230,757 53.0% Subordinate to primary lender RDA Loans $1,740,000 10.0% OWHLF $1,000,000 5.7% HDLP THRESHOLDS AND PRIORITIES Owner Equity $1,112,634 6.4% Utility Rebates $39,000 0.2% • Deeply Affordable Federal Home $1,000,000 5.7% Loan Bank • _ Yes SLC Grant $3,000,000 17.2% '. Yes Deferred Fee $301,893 1.7% Target Populations, Total $17,424,284 100% Transportation USES Opportunities, Neighborhood SafetyCost Acquisition $1,700,000 9.6% TIMELINE Hard Costs $13,995,238 79.0% • April 15, 2024 Soft Costs $507,676 2.9% • •, • Mh June 15, 2025 Developer Fee $701,893 4.0% Financing Expense $66,424 0.4% LOW-INCOME HOUSING TAX CREDIT Contingency $293,215 1.7% No Reserves $159,838 0.9% Total $17,424,284 100% • N/A 54 HOUSING DEVELOPMENT PROJECT NAME: 12 - Book Cliffs Lodge LOAN PROGRAM ADDRESS: 1159 S W Temple PROJECT SUMMARY From Developer. "The Housing Authority of Salt Lake City is proposing a new 55-unit apartment complex named Book Cliffs Lodge. Book Cliffs Lodge will feature one-bedroom units for low income individuals that live in an area of Salt Lake City that has experienced substantial growth in recent years. The unit mix at Book Cliffs Lodge will be composed of 55 standard one-bedroom units. The development will provide a mix of 30% up to 80%of AMI rents. The broad range of rent and income targeting will allow the development to address the community need. Additionally, through the tenant selection plan, the development is committed to setting aside 5 units for persons experiencing homelessness and 5 units for veterans. All apartments will be well equipped with amenities such as air conditioning, energy star appliances, microwaves and vent hoods, self-cleaning ovens, garbage disposals and water saving fixtures. The project is located at 1159 South West Temple in Salt Lake City, which will provide residents the convenience of living in close proximity to services, shopping, recreation and employment. The site is within an easy walk to public transportation, including the Ball Park Station TRAX line, which is 0.3 miles from the site. Additionally, the site has achieved a walk-score of 83, or "very walkable", which will allow residents to accomplish most errands by foot if they choose. Within a half mile radius of the site, there are many restaurants, parks, grocery stores, and numerous employment opportunities." DEVELOPER SUMMARY From Developer: "Housing Assistance Management Enterprise (NAME) will act as development consultant for the development of the proposed properties. As the landowner, HAME has/will executed a land lease option for the property and will oversee the entitlement process as well as provide local support. Over the last several years HAME has constructed and managed hundreds of LIHTC affordable housing units that vary in style, population served and location throughout Salt Lake City. Our familiarity and knowledge of the local building process will help facilitate the entitlement, permitting and plan review processes with the City. HAME is the nonprofit affiliate of the Housing Authority of Salt Lake City; an entity that is consistently cited as one of the most financially sound and well- managed public housing authorities in the U.S. Recently, HAME was awarded tax credits in partnership with Volunteers of America for a special needs renovation project in Salt Lake City." 55 HOUSING DEVELOPMENT PROJECT NAME: 13 - Liberty Corner LOAN PROGRAM ADDRESS: 1265 S 300 W OVERVIEW HOUSING UNITS - • •- Cowboy Partners •. - • - •- 1 B d HDLP Loan —Competitive ' - •- New Construction Studio - - - - - • Commercial e - - - - - 2 Bed 96 - 40 34 22 RDA FUNDING REQUEST 3 Bed 80 - 30 32 18 • : ' - • - $4,500,000 4 Bed 24 - 8 12 4 • • - $117,613,798 •. • • 3 8% Total 200 - 78 78 44 PROPOSED TERMS CONSTRUCTION DEBT AHEAD OF RDA . 2.0% . 40 Yr, 40 Senior Debt $27.151,960 •. Cash Flow PERMANENT SOURCES • Subordinate to permanent debt HDLP THRESHOLDS AND PRIORITIES 7RD ebt $27,151,960 23.1% HT $6,976,632 5.9% • Family-Sized Units & n $4,500,000 3.8% • • � -- • Deeply Affordable Units OWHLF $2,000,000 1.7% • Yes UCNS HOME $1,500,000 1.3% �'. Yes SLCO HOME $461,000 0.4% • Family Housing, Target LIHTC Equity $49,577,269 42.2% Populations, State Tax Credit $5,500,000 4.7% Transportation Owner Equity $8,907,464 7.6% Opportunities, Deferred Fee $11,039,473 9.4% Neighborhood Safety, Total $117,613,798 100% Architecture & Urban Design, Commercial Vitality USES ` n • VA MAI• TIMELINE Acquisition $14,900,000 12.7% • June 12, 2023 Hard Costs $78,932,816 67.1% • •, June 11, 2026 Soft Costs $3,268,878 2.8% Developer Fee $11,039,473 9.4% LOW-INCOME HOUSING TAX CREDIT Financing Expense $4,637,368 3.9% • • .• Contingency $3,981,412 3.4% Yes Reserves $853,852 0.7% CreditsTax -• Yes, 4% Total $117,613,798 100% 58 HOUSING DEVELOPMENT PROJECT NAME: 13 - Liberty Corner LOAN PROGRAM ADDRESS: 1265 S 300 W PROJECT SUMMARY From Developer. "Liberty Corner is a mixed-use development located on the Northeast corner of the 1300 South 300 West intersection. The community will feature 200 affordable units with the purpose of providing deeply targeted, family-sized units. The unit mix will feature a majority of 3-and 4- bedroom units along with 96 2-bedroom units. All units in the project will have at least 2 bedrooms. Liberty Corner is unique in that it not only provides family housing units in an urban setting, but includes deeply targeted affordable units, reaching to provide housing at 30%AMI. Liberty Corner is designed for the family. In addition to large, family-sized units, the community will feature indoor and outdoor amenities and spaces meant to serve a broad range of ages, interests, and needs. Liberty Corner will also be a sustainable community. The community will promote accessible and equitable transportation options as the Ballpark TRAX Station is within walking distance, at less than 1/3 of a mile away. In addition, the community will feature bicycle amenities to encourage alternative means of transportation. The community will be all electric and achieve Energy Star certification." DEVELOPER SUMMARY From Developer. "Cowboy Partners is a multifamily developer based out of Salt Lake City, Utah. Cowboy Partners was established in 2001, rebranded from a company that had been developing housing in the Salt Lake Valley since the 1960s. Cowboy Partners is a recognized leader in the development, construction, and management of affordable housing; the company has experience in developing luxury, market rate, mixed-income and affordable housing communities through its development of dozens of communities within Salt Lake and across the State of Utah. Cowboy Properties, the sister company to Cowboy Partners, operates as the property management company for these communities. Cowboy Properties has deep experience with multifamily property management, including affordable housing and compliance, as the sole operator of Cowboy communities for decades." 59 HOUSING DEVELOPMENT PROJECT NAME: 14 -9Ten West LOAN PROGRAM ADDRESS: 910 W N Temple OVERVIEW HOUSING UNITS - - • •- Great Lakes Capital :-. .. ' - •- HDLP Loan —Competitive • • - •- New Construction Studio 165 - - 138 27 • Vacant Commercial 1 Bed 15 - 15 - - 2 Bed - - - - - RDA FUNDING REQUEST 3 Bed - - - - - • : ' - • - $2,000,000 4 Bed - - - - - • • - $43,204,038 ' 4.6% Total 180 - 15 138 27 •. • • PROPOSED TERMS CONSTRUCTION DEBT AHEAD OF RDA 2.0% Senior Debt $32,592,698 . • 16 Yr, 40 Yr •. Cash Flow PERMANENT SOURCES • Subordinate to primary lender HDLP THRESHOLDS AND PRIORITIES Senior Debt $16,268,000 37.7% RDA Loa n $2,000,000 4.6% • -- • Deeply Affordable OWHLF $1,903,121 4.4% • • , • _ SLCO Loan $1,091,590 2.5/° • Yes Utility Rebates $90,000 0.2% �'. Yes LIHTC Equity $20,201,424 46.8% Target Populations, Deferred Fee $1,382,937 3.2% • Transportation 45L& ITC Equity $266,976 0.6% Opportunities, Total $43,204,038 100% Neighborhood Safety, USES Commercial Vitality, Public Art Use Amount • of ' Acquisition $3,735,000 8.6% TIMELINE Hard Costs $25,668,559 59.4% • May 1, 2024 Soft Costs $1,593,701 3.7% • •, • MIRK I January 1, 2026 Developer Fee $3,296,715 7.6% Financing Expense $6,535,154 15.1% LOW-INCOME HOUSING TAX CREDIT Contingency $1,415,784 3.3% • • Reserves $959,125 2.2% Yes Total $43,204,038 100% • Yes, 4% 62 HOUSING DEVELOPMENT PROJECT NAME: 14-9Ten West LOAN PROGRAM ADDRESS: 910 W N Temple PROJECT SUMMARY From Developer: "9Ten West has been designed to be energy efficient, transit-oriented, decent, safe, affordable housing. The project is a single six story building(five stories of wood frame construction over one concrete podium). The podium contains 31 parking spaces (including ADA and EV chargers), building services, community room (aka clubhouse), gym, property leasing, maintenance, bathrooms, mailroom, and space for a community service facility to provide needed services to low-income neighborhood residents. Each of the five residential floors above the podium will contain 36 residential units (3 one-bedroom and 33 studio units, ranging in size from 250-611 square feet), a laundry room, mechanical rooms, and two elevators. The 2nd floor includes a large Xeriscaped plaza for resident gatherings and a pet relief area. The project has been designed to utilize non-combustible sources of energy and will include solar PV panels, will certify under ENERGY STAR and Enterprise Green Community Standards, and provide residents with needed deeply affordable units in a transit-oriented context." DEVELOPER SUMMARY From Developer: "Great Lakes Capital is a prominent Real Estate Development and Private Equity Firm with several core development types including Multifamily, Industrial, Mixed-Use, Flex, Office, Medical & Life Science, and Hotel Properties. With a core focus on the development of Multifamily, Industrial, and Mixed-Use properties, GLC has established itself as a leader in these high-growth segments. Since its inception in 2005, GLC has demonstrated excellence by successfully spearheading billions of dollars' worth of real estate projects. With a current development pipeline exceeding$923 million, GLC's commitment to innovation and expansion remains unwavering. Fueling its success are six principals with a cumulative experience of over 170 years, leveraging their expertise to navigate and execute commercial real estate investments. Having closed deals surpassing$7 billion, panning various property types, geographies, and economic cycles, GLC stands as a beacon of resilience and achievement in the dynamic world of real estate development." 63 HOUSING DEVELOPMENT PROJECT NAME: 15 -Alliance House 1805 Rebuild LOAN PROGRAM ADDRESS: 1805 S Main OVERVIEW HOUSING UNITS - • •- Alliance House& •. - Cowboy Partners • - •- HDLP Loan —Competitive Studio - - - - - • - •- New Construction 1 Bed 16 - - - 16 • Housing 2 Bed - - - - - RDA FUNDING REQUEST 3 Bed - - - - - • - • - $500,000 4 Bed - - - - - • - $6,017,619 Total 16 - - - 16 F.MTV •' 8.3% CONSTRUCTION DEBT AHEAD OF RDA PROPOSED TERMS 2 5% I Senior Debt $0 • 40 Yr, 40 Yr PERMANENT SOURCES •. Cash Flow Subordinate to permanent debt OWHLF NHTF $1,000,000 16.6% HDLP THRESHOLDS AND PRIORITIES O WHLF HOME $631,864 10.5% SLC RDA $500,000 8.3% •dt • -- • Deeply Affordable SLCO HOME $499,848 8.3% Affordable Office of Homeless Units 0 Services Grant $2,000,000 33.2% airYes SLCO HTF Grant $241,000 4.0% Yes Target Populations, Missing Donations $360,000 6.0% Middle, Neighborhood FDoeated Developer $784,907 13.0% Safety Total $6,017,619 100% TIMELINE August 12, 2024 USES 14faTiTRUrMtrel tufal• • - Spring 2026 ' Acquisition $0 0% LOW-INCOME HOUSING TAX CREDIT Hard Costs $4,059,282 67.5% Soft Costs $517,553 8.6% No Developer Fee $784,907 13% N/A Financing Expense $218,150 3.6% Contingency $437,727 7.3% Reserves $0 0% Total $6,017,619 100% 66 HOUSING DEVELOPMENT PROJECT NAME: 15 -Alliance House 1805 Rebuild LOAN PROGRAM ADDRESS: 1805 S Main PROJECT SUMMARY From Developer. "The housing is open to any person who is a member of Alliance House. Members living in the apartments pay 30% of income with a one-time allowance of$0 rent for up to six months for those coming out of homelessness or waiting to be approved for Social Security or other benefits. The building is an old motel that has exceeded its life expectancy. The Alliance House Board of Directors has approved a campaign to demolish the old building and construct a new 16 unit deeply affordable complex on the existing property. Cowboy Partners is providing the development management services on a pro bono basis for the rebuild of the property. THINK Architects has been engaged to develop the architectural drawings and Bonneville Builders has been retained as the contractor. The project has been approved by the city planning commission. The new facility will consist of 16 Deeply Affordable single occupancy units that will be 100%subsidized at 30%of income by Alliance House on a permanent basis. Eligibility for tenancy will be for those who are members of Alliance House. Membership is open to anyone in the community with a SPMI. All members living in the 1805 apartments receive intensive wrap around support services available every day at Alliance House including case management, vocational training, education support, social support. DEVELOPER SUMMARY From Developer: "Alliance House has owned this specific housing property since 1991. We have been the property managers the duration of this time. We also own a housing facility at 1736 South Main Street since 2014 that we manage. Members that live at the 1805 property pay 30%of their income. Members that live at the 1736 property can live there for up to 6 months rent free. After 6 months we ask for a good faith effort of$50 a month or 30%of income up to$200 monthly." 67 MINUTES of the REDEVELOPMENT AGENCY FINANCE COMMITTEE Thursday, April 17, 2024 2:00pm 1. Roll Call The following members were present: Danny Walz, RDA; Chair Blake Thomas, Community and Neighborhoods;Vice Chair Peter Makowski, Economic Development Tony Milner, Housing Stability Marina Scott for Mary Beth Thompson, Finance Baxter Reeser, Redevelopment Advisory Committee Not present: Amy Rowland Also Present: Kate Werrett, RDA Project Manager;Allison Parks, Senior City Attorney; Erin Cunningham, RDA Financial Analyst; Felina Lazalde, RDA Office Facilitator. 2. Approval of the minutes of the February 1,2024, meeting. Peter Makowski made a motion to approve the minutes from the February 1, 2024, meeting. Marina Scott seconded the motion. Upon roll call,this motion was passed unanimously. 3. Business A. Funding Recommendation consideration of Phases II &III tax increment reimbursement request from NWQ, LLC. Kate Werrett provided an overview of a tax increment reimbursement request for NWQ, LLC located in the Northwest Quadrant project area. Highlighted was that the master plan, created in 2016 which assisted in establishing what the City wanted to see on these 7,700 acres. Between 2016 and 2018 some zoning and overlay districts were created to protect sensitive lands and developable areas, and in January 2018 a Community Reinvestment Area (CRA)was established.With that establishment an interlocal agreement was created, however there is just one participating tax entity which is Salt Lake City. The City has agreed to allow the Redevelopment Agency(RDA)to collect 75% of the tax increment for project area development activities over a 20-year term and the remaining 25% is retained by the City. Ms.Werrett further clarified that in 2018, a development agreement was established between the RDA and the NWQ, LLC.This agreement outlined reimbursable expenses,which include Systemwide Improvements as well as Project-Specific Improvements. Additionally, a Tax Increment Reimbursement policy was established in 2018 which is specific to the Northwest Quadrant CRA. It is worth noting that the RDA has a different Tax Increment Policy for our other project areas- with separate requirements for tax increment reimbursement agreements. It was also pointed out that the NWQ CRA Tax Increment Policy allows future eligible phases to be grandfathered in with different requirements that those of other project areas. It is significant to highlight that there have been some updates to policies within the RDA which NWQ, LLC is not held to within this CRA because it has its own policy, such as the Sustainable Development Policy. In May of 2020 NWQ, LLC applied for their first tax increment reimbursement agreement for Phase I with a maximum reimbursement of$28 million. It was noted that this project is in compliance with both the development agreement and the tax increment policy.The Policy and development agreement allowed them to request up to 70%with a 20-year term or the sum of the remaining collection years of the Project Area, whichever is less.As part of the tax increment policy, a third-party consultant is required to do a financial analysis of the application,this was completed by LRB Financial Consultants. Based on their review,they calculated the tax increment and the maximum reimbursable amount that could be generated,which would be around $49,562,855 and the eligible expenses as presented by the Developer are$288,283,201. The eligible expenses for this project are well above the maximum reimbursable amount that they will generate. NWQ, LLC's Phases II and III will include light industrial warehousing that accommodates manufacturing,warehouse, and distribution tenants of varying size, they expect to spend over$1.8 billion in capital expenditures, it will provide around 14.7 million square feet of development, and to support over 7,300 jobs with an anticipated salary of around $45,000/yr. Ms.Werrett displayed the sources of funds and clarified that the consultants provided a moderate scenario and a high value scenario and elaborated that if you break down the$70.8 million that would go to the RDA in the tax increment policy for this CRA,we are to divide out the uses of funds as shown: Moderate Use % Scenario High Scenario Tax Increment Reimbursement 70% $42,790,926 $49,562,855 Affordable Housing 10% $6,112,989 $7,080,408 RDA Administration 10% $6,112,989 $7,080,408 Shared Costs 10% $6,112,989 $7,080,408 Total Uses of Tax Increment 100% $61,123,894 $70,804,078 It was pointed out that as part of the application process the developer is required to explain "but for"as well as the public benefits that come from the project,observing that several roads will be included in their public improvements. They are also building a gas regulator station,some storm water filtration systems, and a lift station. A few of these items will be dedicated to the City after they are built, and the majority of the roadways will become public roadways. The use of the system-wide improvements will in fact be system-wide for areas outside of their phases and it will promote additional Economic Development in the area. Ms. Werrett opened the floor to questions. Questions/Comments: • Tony Milner asked if there were any timelines the Committee needed to be aware of where the Developer has mentioned anything regarding approval? o Kate Werrett notified the Committee that we need to share the Committee's recommendation to the Board within 30 days of the recommendation being made. • Chair Walz asked Ms.Werrett to explain how the maximum reimbursement amount works and how all that relates to how much can actually be paid to the developers? o Ms.Werrett elaborated that the numbers provided are based off projections. When it comes to tax increment and project areas,there are property taxes that are paid across the board.When a project area is created,there is a base year amount paid, equal to the property tax paid at the project's start. Once triggered, any increase in property tax paid is called the tax increment. So, with this tax increment we will receive 75%.The base year amount plus that 25%that the City is keeping will continue to go to the General Fund. In the moderate scenario, calculations consider slower development,while the high scenario anticipates faster completion. Tax increment depends on when assessed values enter the tax rolls. If they don't build what they say they are going to build, their tax increment could end up being less. • Do the predictions take inflation into account? o No,they did not include inflation.They typically do not. Over time the City's tax rate automatically goes down to account for an increase in assessed values across the City. The City is only allowed to bring in a certain amount of funding, so the tax rate goes down as property values go up. Instead of including an inflator in the property values in the project area, they hold it constant, and allow the deflation of the tax value to occur so it evens out. • Do we ultimately only pay them what is generated and/or what they document as actual expenses? o Yes. • Baxter Reeser had a question regarding a line item on the reimbursable improvements for a 20 Mil Vapor barrier at$38 million? It seems like a lot. o Keep in mind that it is 14.7 million square feet. Part of this is mitigation to the North Temple landfill. That amount is in line with a project of this capacity. • Was any analysis done by the Consultant regarding solar panel energy generation?That is a ton of solar panels. Is there a potential that they make money off those solar panels and was that factored into the analysis? o They did not provide any comments on money being made by the solar panels in their application. • Tony Milner asked the Staff if the Developer is currently in compliance with all terms and requirements in their commitments to the City? o To our knowledge,they are. They did not report any compliance issues on their application. • Is it typically the responsibility of the Developer to keep RDA staff informed of compliance issues? o We did add a condition to payment on the term sheet that does reference compliance with all regulations regarding construction. • What kind of studies have been done to understand the impact that all this new development will cause outside of the project area itself? o Yes,the Consultant did an analysis that included the impact on the City. They went categorically through different revenue sources but didn't dig into the environmental impacts. However,they did look at the impact of sales tax,franchise tax, roadways, and City expenditures that would be impacted. They do anticipate that it will generate quite a bit of sales tax over time.Additionally, the City is working in conjunction with the Inland Port as well as significant Community and stakeholder groups. Essentially as part of the latest changes to the State law 2 years ago,there is some money set aside to do studies that basically are set to first look at what baseline development would be as well as the impact versus what is the preferred scope of development, as well as what is the impact from that. That looks at everything from transportation to, environmental to,water to, wildlife. The idea is to look at what the overall development is and what that impact would be. There is a certain amount of funds available to mitigate or maintain as necessary. • Marina asked if the tax increment comes in much lower than expected,what happens to the development?There could potentially be a significant gap in reimbursement. o It falls on the developer to be responsible to create the assessed value that would generate the property tax that would then in return reimburse them for that development. So, if they don't build it out to the extent required to get the tax reimbursement they want, it would only sit on them. Chair Walz reminded the group that the objective of the meeting was to get a recommendation from the Committee to take the RDA Board of Directors for approval. Chair Walz made a request for final questions or comments and requested a motion. Peter Makowski made a motion to approve the term sheet as presented. Baxter Reeser seconded the motion. Upon Roll call,the motion was passed unanimously. 4. Adjournment There being no further business the meeting was adjourned. Danny Walz, Chairperson This document along with the digital recording constitute the official minutes of the Redevelopment Agency Finance Committee held April 17, 2024. 0 SLCRDA RDA FINANCE COMMITTEE MEMORANDUM NOTICE OF FUNDING AVAILABILITY (NOFA) FOR AFFORDABLE HOUSING: Amending The Catherine Phase I and Phase II Loan Type Wednesday, May 29, 2024: 9:00 AM— 10:00 AM, Zoom Link(password: 509222) DATE: May 24, 2024 TO: RDA Finance Committee 1. Redevelopment Advisory Committee: Amy Rowland 2. Redevelopment Advisory Committee: Baxter Reecer 3. Economic Development: Peter Makowski 4. Finance: Mary Beth Thompson 5. Redevelopment Agency: Danny Walz 6. Community and Neighborhoods: Blake Thomas 7. Housing Stability: Tony Milner FROM: Tracy Tran, Senior Project Manager Marcus Lee, Project Coordinator RE: Proposed loan amendment and conditional waiver of deed restriction for The Catherine Phase 1 and Phase 2,which received a funding allocation in the FY2023- 24 Competitive Affordable Housing Funds Notice of Funding Availability through the Housing Development Loan Program(HDLP). EXECUTIVE SUMMARY: The Redevelopment Agency of Salt Lake City("RDA") issued a competitive Notice of Funding Availability("NOFA") on November 17, 2023,to solicit applications through the Housing Development Loan Program("HDLP"). Through the HDLP, the RDA intends to commit low-cost financial assistance to projects to incentivize the development and preservation of affordable housing within city limits. The program provides flexibility to accommodate a wide range of projects that may be dependent upon myriad of underwriting standards by outside lenders. The RDA Board adopted a policy for FY2023-2024 that required all projects applying for funding through the HDLP to include either deeply affordable housing units or affordable family-sized units in this competitive HDLP NOFA. In March 2024, the RDA Board allocated over$15 million to thirteen of the fifteen eligible affordable housing developments. Of those thirteen projects approved for funding, 22 Communities ("Developer"), developer of The Catherine Phase 1 and The Catherine Phase 2 ("Subject Properties"), which both had a ranking of 10 out of the 15 projects. The Subject Properties are located at approximately 1881 W North Temple. The Catherine Phase 1 received$1,000,000 in HOME Program Income Funds and The Catherine Phase 2 received$134,323 in RDA Funds for a construction to permanent loan for each phase. The Developer is seeking an amendment to the approval requesting to modify loan type to an acquisition loan that could be converted to a construction to permanent loan with a conditional waiver of the deed restriction requirement within the HDLP policy. The conditional waiver could allow that the 30-year affordable deed restriction be removed by requiring that the Developer pay an above market interest rate if the projects are unable to secure tax credits, financing, and meet conditions required to 1 0 SLCRDA close on construction to permanent loan within 2 years. PROPOSED LOAN AMENDMENT I. RDA Finance Committee's Charge Review and consider a recommendation to the RDA Board on the following modifications to The Catherine Phase 1 and The Catherine Phase 2: a. Amend the loan type for each phase to an acquisition loan that may convert to a construction to permanent loan b. Allow for a conditional waiver of the deed restriction that would allow the allow that the 30-year deed restriction be removed by requiring that the Developer pay an above market interest rate if the projects are unable to secure tax credits, financing, and meet conditions required to close on construction to permanent loan within 2 years. Pursuant to the Policy,the RDA Finance Committee("Committee")is charged with reviewing and providing a recommendation that will be forwarded to the RDA Board of Directors ("Board"). The Board will make the final determination regarding the proposed amendment, after which the RDA will issue a conditional commitment letter to the Developer reflecting the new loan type and terms. The conditional commitment letter between the RDA and the applicant will contain the covenants, terms, and conditions upon which the RDA will provide financial assistance to the proposed project once financial, legal, regulatory, and design approvals are obtained. IL Guiding Policy The subject loans are being administered pursuant to the Housing Allocation Funds Policy ("Funds Policy") and the Housing Development Loan Program Policy("HDLP Policy"). The Funds Policy establishes policies for allocating and directing resources for the development and preservation of housing by various funding sources and the HDLP Policy provides low- cost financial assistance to incentivize the development and preservation of affordable housing within Salt Lake City municipal boundaries. Overall,the HDLP Policy provides a centralized application,underwriting, and approval process. These loans applied in the FY2023-2024 competitive Notice of Funding Availability and are subject to the FY2023- 2024 HDLP Annual Affordable Housing Funds Guidelines+Application Handbook. III. Overview of Proposal • Due to the limited amount of funds available through the State of Utah's Private Activity Bond("PAB") and the number of applications,the Developer's bond allocation for the 4%LIHTC request was not funded in the April 3, 2024, PAB meeting. With this delay, the Developer will need to re-apply as additional bond cap becomes available. This has altered the Developer's ability to acquire the property by the end of 2024. In response, the Developer has executed a new purchase and sale agreement for the property that has a lower price,but a much quicker closing date than originally planned. • By purchasing the property earlier than anticipated,the Developer will secure financing from a senior lender for the acquisition and is requesting to amend their HDLP loans to allow them to use the funds for acquisition that could be converted to a construction to permanent loan. • The Developer is seeking a conditional waiver to the affordable deed restriction requirement if they are unable to secure tax credits, financing, and meet conditions 2 0 SLCRDA required to convert the loan to a construction to permanent loan within 2 years. • The project details such as total units, affordability levels, and public benefits are not anticipated to change. See Attachment B for updated Project Summaries. IV. Anal Committee Considerations: The FY2023-2024 competitive HDLP funding allocations did not include conditions regarding the ability to amend loan approvals. The Committee may want to consider if you would like to consider these changes after completing a competitive process and, if so,whether these proposed changes would have impacted the Committee's proposed funding recommendations in the competitive HDLP NOFA, which were approved by the RDA Board. A copy of the Board memo can be found here. Loan Type: The Developer applied for a construction to permanent loan for both The Catherine Phase 1 and The Catherine Phase 2. The Developer is requesting to modify the loan type for both phases to an acquisition loan that could convert to a construction to permanent loan within a 2-year term. HDLP Policy allows for both acquisition loans as well as construction to permanent loans. Although these loan types are allowed within the HDLP Policy,this proposed modification has a different set of loan terms that would provide funds earlier for acquisition and is a change from what was previously approved. The HDLP Standard Loan Terms and Conditions requires the following for funds used for property acquisition: • Maximize Other Sources:Applicants must demonstrate that they have maximized other available financing sources thereby limiting HDLP funding to the lowest amount necessary to close the funding gap and assure project feasibility. • Loan to Value:Loans will be sized to a loan-to-value limit of 90%of the as-is appraised value inclusive of the RDA's loan and all senior debt. The developer will obtain a loan from a senior lender and the requested loan amounts between the RDA and senior debt is less than 90%LTV. Conditional Waiver—Deed Restriction: The HDLP Standard Loan Term and Conditions for property acquisition require: • A restriction shall be recorded against the property that requires continued use of the specified units as affordable housing for at least the same period as the senior financing or a minimum of 30 years, whichever is greater. In this case, a 30-year deed restriction would be placed upon the property to ensure that the continued use of the specified units would be for affordable housing. The HDLP Policy does not provide language about the ability to remove deed restrictions. The Developer has requested a conditional waiver that could allow the removal of the deed restriction for each phase in the case the Developer is unable to secure tax credits, financing, and meet closing conditions within 2 years. To ensure that the Developer commits to building affordable housing and does not flip the property to the market for a profit,the RDA suggests adding a provision that if the Developer 3 (1) SLCRDA is unable to secure tax credits, financing, and meet the conditions to convert to a construction to permanent loan, the 30-year deed restriction on the property could be removed and the RDA's 1% acquisition interest rate would be replaced by the rate of the United States Treasury Yield Curve of the loan term at time of closing plus 800 basis points calculated from the time of interest accrual (i.e. 2-Year yield+ 8%)for the repayment of the HOME and RDA funds. This provision is backed by existing RDA policies and guidelines within the RDA's Revolving Loan Program. A comparison of the original approval and the proposed amendments can be found below: THE • INE PHASE 1 AND ORIGINAL APPROVAL PROPOSED AMENDMENT PHASE 2** Amount: Phase 1: $1,000,000 HUD HOME Phase 1: $1,000,000 HUD HOME Funds Funds Phase 2: $134,323 RDA Funds Phase 2: $134,323 RDA Funds Loan Type: Construction to Permanent Acquisition loan that may convert to Construction to Permanent loan Repayment Type: Cash flow Acquisition: Balloon payment or conversion to Construction to Permanent loan Construction to Permanent:Cash flow Interest Rate: 2%* Acquisition: 1%*, may be subject to change. See "Other" section below. Construction to Permanent:2%* Term/Am: 16 yr/40 yr Acquisition:2 years (24 months) Construction to Permanent: 16 year/40 year Other: Deed Restriction of 30 years or same Deed restriction of 30 years with period as senior financing, whichever conditional waiver to requirement: If is greater unable to secure tax credits and financing within 24 months and property cannot fulfill affordable housing obligation, developer could request removal of deed restriction. Removal of deed restriction will require the loan to be paid in full with an interest rate of the 2 Year US Treasury Yield at time of closing + 8% calculated from the time of interest accrual. *Interest rate after reductions from meeting project priorities. **See Summary Sheets in Attachment B for additional project details 4 RDA ATTACHMENTS: A. FY2023-2024 Competitive HDLP Funding Allocations B. Project Summary Sheets C. HOME Funds Requirements 5 0 SLCRDA ATTACHMENT A: FY2023-2024 COMPETITIVE HDLP FUNDING ALLOCATIONS WEIGHTED PROJECT PRIORITY FUNDING ROACommiOetl AddiSanaI RDA HOMEPmgram Development HOMEARP TOT ALFUNDING P ECTIAPPLICANT ADDRESS LIHTCA.d.,11 SCORE6NTEREST RATE REDUCTION• REQUEST PRELIMINARYTERM 6" Funtla Funtla Income Fund Development RECOMMENDATION Targm Populations:3 TmnsporlaAcn OPWrMnifles:1 Inkmst Rak:10% NeigM1bwM1ootl Sakty 1 Term:30par 511 W2005 Ves,9% MM1ikcbm8U2an Design:l $895,000 ]moNnflon:30}ear $095,000 $095000 ] Commercial Nla"I 1 PublicM 1 HaN Repaymenk TOTAL:8 Transporlaeon OppmWmfies:1 Inkmst Rak:15% Neigbbw dlS y 1 Term:1]par 269 W&Ooklphe Ves,4% PubllcM 1 33000000 ]morAnflon:4O}ear $0 1d TOTAL:] H Repaymenk T argot Populations:3 Imemm Rate.2 5% commercial Nlalo,1 Tenn:40 fear 196fis210E Ves,4% Historic Preseneflonl/d'p Reuse:1 $895,000 AmoNration:4O}ear $895,000 $89s 000 5 TOT-5 C.h H.Repayments Family Housing:3 T argot Populations:3 Inkmst Rak:2 0% Epana Opporbnity 1 Term;l5 par 515E100s Ves,9% Historic Re,neti._aply Reuse:1 $2fi511000 MoN b.15 War so— 3 Transp-h opporWmfies:l C.h Flax Rea k Commercial Nlalily 1 P}men TOTAL:10 Family Housing:3 Inkmst Rak:20% Target Populations:3 Term;30 par 934948W200S Yes,4% Tmnsporle OpporMnifles:1 33000000 ]vnoNnflon:30}ear $2.42000D $2,420000 6 PubticM 1 TOTAL:B —1,Flmv Repayments Tanspmlaeon OpporMnifles:1 Inkmst Rak:20% MM1 hoo8U2anoesign:1 Term;l6 year 1881WNTemple APPI1in04% Commercial Ntaloy 1 $2,524,802 ]moN b.4o year $10o000O $1000000 10 PublicM 1 TOTAL:O cash Flmv Repayments Family Housing:3 Inkmst Rak:20% Transp__opm1nifies:1 Term:l6 year 1.1 WNTemple Applying,4% Commercial NtalM 1 $1569,441 ]moNnflon:4O}ear $134,323 $134323 to PubticM 1 TOTAL:fi C.h H.Repayments Family Housing:3 Target Populations:3 In.-Rak:10% Transpotla OpMln,b,l Term;l5par 515 W300N Ves,9% MM1ikcbm BUrbanoesign:1 $400,0o0 ]moN'.30}ear $400,11. moodo0 2 commercialNNliy 1 PubIICM 1 Had Repaymenk TOTAL:10 Target Populations:3 Inkmst Rak:10% Epana Opporbnity 1 Acqu,s nTerm:2-}ear 2557 s 11OOE Applying,9% Tmnsporl"OpporMnifles:1 $3,2011000 Balloonorcomersionk $100000O $1000.000 13 MM1ikcbm B Urban Design:1 Permanent TOTAL:fi Term:loy 01 ___"'.— Family Housing:3 HOmeow o-p:3 Missing M,ddle:3 Inkmst Rak:10% 529 W400N No TransporNAon OppgrMnifles:1 $110,W0 Term:1'm— $710,000 $710000 1 MM1ikcbm BUrbanoesign:1 Balloon Repayment PublicM 1 TOTAL:12 Target Populations:3 Inkmst Rak:2 5% Tmnsporle OppgrMnifles:1 Term:l5 year 915 W200N No Ne hbwM1oga Sakti 1 $800,000 pmoNnb 40}ear $4],101 $]ZQ291 $106,fi00 $080000 12 TOTAL:5 C.h H.Repaymenk Target Populations:3 Inkmst Rak:2 5% Tmnsporl-OppgrMnifles:1 Term:l5 year 11595 WTemple No Ne hbwM1oga Sakti 1 $]40,W0 AmoNnb 30}ear 4]40000 $]40000 11 TOTAL:5 C.h H.Repaymenk Family Housing:3 To"' Populations:3 Inkmst Rak:2 0% Transpo.-OppgrMnifles:1 Term.40 year 1265 s300W 1,4% Neighbor dlS y 1 S4,500000 ]mgNnflon:40}ear $1236,]14 $1530,6]] $1]32009 $4,s00000 d MM1ikcbm BUrbanoesign:l C.h H.Rea k Commercial—N,1 P}men TOTAL:10 Target Populations:3 Transporlaeon OppgrMnifles:1 Inkmst Rak:20% Neigbbwbooa Sakty 1 Term:16par 91O WN Temple Ves,4% Commercialtmality 1 $2000000 ]vngN b-40}ear $t000,000 $1000,000 9 PublicM 1 —1,H.Repayments TOTAL:] Target Populations:3 Inkmst Rak:2 5% 1B055Main SY No Missing M,ddle:3 &500,000 Term_40year $500,000 $500,o00 a NeigM1,w d!Sakti 1 AmoNntion:40year TOTAL:] CasM1 Flmv Reo—odb TOTAL ts7A.,p E4,41,714 S1,fifi5AM, $6.939,710 E)2fi291 E1,501,fi00 515,0]<,I23 'Pmjeckmceire a O5%inb-d odu-n br hinclutle tlp dy Sushinadlilyallows fora 1%or2%mtlucflon.The maumum rctlucflon pertleselopmemis 2%.TM1eimems4 rate iscalculatea as bllows:Base InlereslRme minus(-)I—Rate RetlucAg op 2%)=p.pH inlemirale;Base inb-d inks 11 be bclu:a whin a monN gfciceing.P olec6sball mainhain pmlect Priorities antl NesamewegM1ktl seine atclosing.Der,atign M1om Pmlect PborNesmetmayrcquim Boam apPm�al. "Final Terms sM1all comply.M Me rcquiremenk,stantlartl loan terms and con,,bor¢,inkmm mtluc,,antl all oMertlelails laol out whin Me FY20232024 Housing D opment Loan Prcgeam(HDLP)Guitlelines.CM1anges k repaymentlypemay¢cur(M1amrcp."onl—,casbflow repaymeno antl shall be b Honm.,=nk lisktlintie HOLP Guitlelines or 0 mquima byo seni antler.Loan-in mpaYnent 1pe will causeacbanoo d,tia baseimerest rate.Repaymentpb'anllien p-lo,n shall bebH untie sis o oo,loam..-do..may be mado b—or gmemmentenflly bans 0mquima Mmugh M eirpolicies. Funtls maybe do,b—d in a lump sum 0requimtl bysenior len,logd. ewng aPphc_ns,NeLommtlkebgkim0 cons,aerabon NenEebmaryt,2U24 Igh UpM� n,NM HDLPkntlmgmcommendAon.nda.dbmamb,nNeusubmitl�mcommendA.nbbndblbl.r—r:onversonl.MH,gh QWp ndy e.Nn&lhe.mmeescompebbve HULr ,d,g mentlatiors incgporale Ne prerguslysubmitletl HigM1 OppwMnilyWea mcgmmentlatign. NOTE:Farah loan awamsgrcakr Nan$899,999,Me Susbinable Development Policyrequ bolaingsto be aesignea b operatewMoutiossil fuels,b,dd.ul,not mskct Neadlilyb h.ba p generators foremergencies. Funtla Availability To Available Recgmmentletl Footling Funtla Remaining Legend: H.omm,.d Funtls $4,241]14 $4,241]14$ - Pcosible/dtliflonalRDAFuntls $1 fifi5000 $1065000$ - HOMEPrcgmminwme %939,]10 %,s3s,]10$ - HOMEDevelOpmentFuntl $1 291 $]2fi291$ - HOMEAHPD opmem $1501 fi0s $150160R$ - HOME Community Housing Do.I.pmen[OManiretion Funtls $351041 $0$ 351041 TOtal Potential HOLP Funtla S A2.,1fid $15,ON,333 $351,Bd1 6 RDA ATTACHMENT B: PROJECT SUMMARY SHEETS PHASE I AND PHASE II HOUSING DEVELOPMENT PROJECT NAME: 6—The Catherine Phase I LOAN PROGRAM ADDRESS: 1881 W North Temple OVERVIEW HOUSING UNITS 514TIQ IQ 11:4 22 Communities edroo Total Market ;0.. -• - •- HDLP Loan —Competitive ' • - •- New Construction AMI Industrial Studio 80 - - 80 - rOO4ount 1 Bed 44 - - 44 - RDA FUNDING REQUEST 2 Bed 80 - - 80red - • • • $1,000,000 (HUD HOME funds) 3 Bed 24 - - 24 - • 311 Acquisition: $7,250,000 4 Bed - - - - - Construction to Perm: Total 228 - - 228 - $69,452,555 LOW-INCOME HOUSING TAX CREDIT Loan to Cost Acquisition: 13.8% Construction: 1.4% Yes, 4% PROPOSED TERMS No Acquisition: 1%1 ACQUISITION SOURCES Construction to Perm: 2% Acquisition: 2 Yr, Balloon or Source Amount %of Total • RDA-HDLP Phase 1 $1,000,000 13.8% Conversion Construction to Perm: 16 Yr, 40 RDA-HDLP Phase 2 $134,323 1.8% Yr Seller's Note $741,238 10.2% - •. Acquisition: Balloon or Senior Debt $5,374,439 74.1% Conversion Total $7,250,000 100% Construction to Perm: Cash flow • Subordinate to permanent debt ACQUISITION USES HDLP THRESHOLDS AND PRIORITIES Acquisition $7,250,000 100% Total $7,250,000 100% -and/orFamily-Sized Units Affordable CONSTRUCTION DEBT AHEAD OF RDA • � _ Condition of Approval FSe—n—ior �'. Yes Debt $21,767,665 • Transportation Opportunities, Architecture Units & Urban Design, Commercial Vitality, Public Art TIMELINE • June 2024 • March 2025 1 Conditional waiver to affordable deed restriction of 30 years:if require the loan to be paid in full with an interest rate of the 2-Year unable to secure tax credits and financing within 24 months and US Treasury Yield at time of closing+8%calculated from the time of property cannot fulfill affordable housing obligation,developer could interest accrual. request removal of deed restriction.Removal of deed restriction will 8 HOUSING DEVELOPMENT PROJECT NAME: 6—The Catherine Phase I LOAN PROGRAM ADDRESS: 1881 W North Temple PERMANENT SOURCES . . f Total Senior Debt $27,541,202 39.7% OWHLF $3,000,000 4.3% SLC HOME Funds $1,000,000 1.4% Other Sources $1,524,802 2.2 LIHTC Equity $30,627,027 44.1% State Tax Credit Equity $4,759,524 6.9% Deferred Fee $1,000,000 1.4% Total $69,452,555 100% USES Use Amount %of Cost Land $5,710,000 8.2% Hard Costs $43,906,872 63.2% Soft Costs $3,225,662 4.6% Developer Fee $5,636,749 8.1% Financing Expense $7,889,000 11.4% Contingency $2,504,272 3.6% Reserves $580,000 0.8% Total $69,452,555 100% 2 Land cost is based on appraised value. 9 HOUSING DEVELOPMENT PROJECT NAME: 6—The Catherine Phase I LOAN PROGRAM ADDRESS: 1881 W North Temple PROJECT SUMMARY From Developer. "This phase of the project will include 228 units, all of which will be restricted units. There will be 80 studio units, 44 one-bedroom units, 80 two-bedroom units, and 24 three-bedroom units. The units will be available to tenants living at 60%AMI or below. The project will provide eighteen (18) "Type A" units for persons with long-term mobility impairments." DEVELOPER SUMMARY From Developer: "Jake has over a decade of development, design, and project management experience with public, for-profit, and nonprofit entities. While at the Salt Lake City Housing and Neighborhood Development Department, Jake planned the disposition and redevelopment of city-owned assets and oversaw CDBG funded construction projects. Following that, Jake spearheaded the creation and early growth of CW Urban, a fast-growing Utah development company. He stayed on as the Director of Acquisition and Development, overseeing acquisitions, entitlements, and design for all infill and mixed-use developments. Next, Jake was the Director of Real Estate Development at Neighborhood Housing Solutions, a non-profit Real Estate Development company. He was responsible for all single-family subdivisions and multi-family tax credit developments. This work included the acquisition and initial concept planning for a 100-acre master-planned community in Smithfield Utah, and the development and management of a LIHTC multi-family portfolio. Most recently he was a managing member of Defy Co.labs where he was the Director of Development and Design and spearheaded a 140- unit LIHTC project called Colony B along with multiple other entitlement projects. Jake has been the development lead on over 20 development projects and underwritten hundreds more equating to over 1000 units over multiple Utah communities. Each project has had its unique challenges from environmental clean up to mechanical parking garages or unique entitlement processes. Jake has faced each challenge with creativity, passion and joy for the privilege to participate in the building of communities where people will live out their lives. Jake holds a bachelor's degree in Business Management, a master's degree in Real Estate Development, and an Urban Planning Certificate from the University of Utah." 10 HOUSING DEVELOPMENT PROJECT NAME: 6 —The Catherine Phase I LOAN PROGRAM ADDRESS: 1881 W North Temple SITE MAP 1,Fwq- LM—,*1� mQuawba t N PROJECT RENDERINGS 22 wrr+ A0.3 11 HOUSING DEVELOPMENT PROJECT NAME: 6—The Catherine Phase I LOAN PROGRAM ADDRESS: 1881 W North Temple 9 99 99 90 00 n9 L9 U= 99 09 9 B 99 89 99 99 99 99 99 9 C 68 B9 BG 9 99 99 00 99 99 L9 9.• OL 99 ; 0 d9 99 99 99 99 99 99 9 06B oR H6 6 Be 99 09 99 OE 09 nE 90 99 L 0 99 B0 99 99 99 99 99 9� 99 a9 99 99 99 99 00 00 99 9 9 99 99 99 90 99 99 69 9 6.H89GL'6_ 9 9 99 9 99 99 99_99 99 — - B0 9 99 99 69 99 99 96 BB 9 i — — — — 12 HOUSING DEVELOPMENT PROJECT NAME: 7—The Catherine Phase II LOAN PROGRAM ADDRESS: 1881 W North Temple OVERVIEW Bedroom Total Market 61-80% 41- 22 Communities Count Units Rate AMI '' -• - •- HDLP Loan —Competitive AMI New Construction Studio 45 - - 45 - • 1 Bed 30 - - 30 - • Industrial 2 Bed 45 - - 45 - RDA FUNDING REQUEST 3 Bed 24 - - 24 - $134,323 (RDA funds) 4 Bed - - - - - • • , Acquisition: $7,250,000 Total 144 - - 144 - Construction to Perm: LOW-INCOME HOUSING TAX CREDIT $45,194,612 ff• . Acquisition: 1.9% � � �ll T�� I Yes 4% Construction to Perm: .3% 111111 • No PROPOSED TERMS ACQUISITION SOURCES Acquisition:1%1 Construction to Perm: 2% Acquisition: 2 Yr, Balloon or 7Sel -HDLP Phase 1 $1,000,000 13.8% • Conversion -HDLP Phase 2 $134,323 1.8% Construction to Perm: 16 Yr, 40 r's Note $741,238 10.2% Yr Senior Debt $5,374,439 74.1% - •. Acquisition: Balloon or Total $7,250,000 100% Conversion Construction to perm: Cash flow ACQUISITION USES • Subordinate to permanent debt ' Acquisition $7,250,000 100% HDLP THRESHOLDS AND PRIORITIES Total $7,250,, 100% Tarnily-Sized Units• Family Sized Units CONSTRUCTION DEBT AHEAD OF RDA Affordable Units Condition of Approval Senior Debt $37,095,412 �'. Yes • Family Housing, PERMANENT SOURCES Transportation • • - Opportunities, Commercial 7tenior $17,033,754 37.7% Vitality, Public Art $2,500,000 5.5% nds $134,323 .3% TIMELINE Other Funds $1,435,118 3.2% iii • June 2024 LIHTC Equity $20,011,725 44.3% • March 2025 State Tax Credit $3,079,692 6.8% Equity HOUSING UNITS Deferred Fee $1,000,000 2.2% Total $45,194,612 100% 1 Conditional waiver to affordable deed restriction of 30 years:if require the loan to be paid in full with an interest rate of the 2-Year unable to secure tax credits and financing within 24 months and US Treasury Yield at time of closing+8%calculated from the time of property cannot fulfill affordable housing obligation,developer could interest accrual. request removal of deed restriction.Removal of deed restriction will 13 HOUSING DEVELOPMENT PROJECT NAME: 7 —The Catherine Phase II LOAN PROGRAM ADDRESS: 1881 W North Temple PERMANENT USES 7 Amount %of Cost Land' $3,600,000 8.0% Hard Costs $29,314,459 64.9% Soft Costs $2,169,453 4.8% Developer Fee $4,014,863 8.9% Financing Expense $4,062,000 9.0% Contingency $1,733,837 3.8% Reserves $300,000 0.7% Total $45,194,612 100% PROJECT SUMMARY From Developer: "22 Communities LLC (22) (Applicant, Sponsor, Developer, Owner) and KTG Holdings, LLC (KTG) acting as the Sponsor, and Developer, Owner(collectively as "Parties") are pleased to apply for the April 2024 Private Activity Bond round for the new construction of The Catherine Phase 1. The Catherine will be a 2-phase 2-building 378 unit apartment project directly southeast of the 1940 W North Temple Trax station at 1881 W North Temple, Salt Lake City, Utah. Of the 378 units listed above,144 units will be a part of this Phase 2 Application and will be restricted to incomes at 60% of the Area Median Income (AMI). DEVELOPER SUMMARY From Developer: "Jake has over a decade of development, design, and project management experience with public, for-profit, and nonprofit entities. While at the Salt Lake City Housing and Neighborhood Development Department, Jake planned the disposition and redevelopment of city-owned assets and oversaw CDBG funded construction projects. Following that, Jake spearheaded the creation and early growth of CW Urban, a fast-growing Utah development company. He stayed on as the Director of Acquisition and Development, overseeing acquisitions, entitlements, and design for all infill and mixed-use developments. Next, Jake was the Director of Real Estate Development at Neighborhood Housing Solutions, a non-profit Real Estate Development company. He was responsible for all single-family subdivisions and multi-family tax credit developments. This work included the acquisition and initial concept planning for a 100-acre master-planned community in Smithfield Utah, and the development and management of a LIHTC multi-family portfolio. Most recently he was a managing member of Defy Co.labs where he was the Director of Development and Design and spearheaded a 140- unit LIHTC project called Colony B along with multiple other entitlement projects. Jake has been the development lead on over 20 development projects and underwritten hundreds more equating to over 1000 units over multiple Utah communities. Each project has had its unique challenges from environmental clean up to mechanical parking garages or unique entitlement processes. Jake has faced each challenge with creativity, passion and joy for the privilege to participate in the building of communities where people will live out their lives. Jake holds a bachelor's degree in Business Management, a master's degree in Real Estate Development, and an Urban Planning Certificate from the University of Utah." 2 Land cost is based on appraised value. 14 HOUSING DEVELOPMENT PROJECT NAME: 7—The Catherine Phase II LOAN PROGRAM ADDRESS: 1881 W North Temple SITE MAP =� Z 77 � '- a 0. I �c N-- PROJECT RENDERINGS 2 2 DES�D N.EAB 0 ® u ■ fLJ� ku.. PC A0.3 15 HOUSING DEVELOPMENT PROJECT NAME: 7—The Catherine Phase II LOAN PROGRAM ADDRESS: 1881 W North Temple B BB BB BA BA [iB 6d u= 9B BB A B PE dB BB EB BB 8e BB B 6 d8 BB B8 8B BB BB 0.� E6 Bd B 69 Ed 89 88 BB BB BB d 6 BB BB BB BB 89 BB P 6B EB B B BB BB BB B8 BB or B V = BB 98 BB A8 BB lIB BG l�B BBB B8B BB B6 dB BB B8 6B 88 2 AA ABA B6A6B86BBBBBB i _ — BABd9BBBBBBBBBBB lsz 16 '` SLCROA ATTACHMENT C: HOME FUNDS REQUIREMENTS As part of the FY2023-2024 NOFA, Numerous HUD HOME funds are available. An overview of the HOME Program is available here: https://www.hudexchan eg info/programs/home/home-overview/and is located within 24 CFR 92.1 of the Code of Federal Regulations. Details on the different categories of funds are available here: FUNDS CATEGORY AMOUNT* ADDITIONAL DETAILS HOME Program Income" $6,939,710 24 CFR 92(F) https://www.hudexchange.info/progams/home/home-overview/ HOME ARP Development" $1,501,608 https://www.hudexchan eg nfo/programs/home-grp/overview/ 24 CFR 92.206(a):https://www.ecfr.gov/current/title-24/subtitle- HOME Development Fund" $726,291 Apart-92/subpart-E/subject-grououp-ECFRf448ea7bbdfb69a/section- 92.206 Additional Requirements are located here: HOME Community Housing • 24 CFR 92.208 Development Organization $351,841 . 24 CFR 92.300 Funds" . 24 CFR 92.301 17