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R-031-2018 - Citywide Affordable Housing – Notice of Funding Availability (NOFA) AllocationsR 18-2 REDEVELOPMENT AGENCY OF SALT LAKE CITY RESOLUTION NO. R-31-2018 Citywide Affordable Housing — Notice of Funding Availability (NOFA) Funding Allocations RESOLUTION OF THE BOARD OF DIRECTORS OF THE REDEVELOPMENT AGENCY OF SALT LAKE CITY APPROVING CITYWIDE AFFORDABLE HOUSING PROJECT FUNDING ALLOCATIONS. WHEREAS, the Redevelopment Agency of Salt Lake City ("RDA") was created to transact the business and exercise the powers provided for in the Utah Community Reinvestment Agency Act (the "Act"). WHEREAS, the Act provides that tax increment funds may be used for the purpose of increasing the affordable housing supply within the boundaries of Salt Lake City. WHEREAS, pursuant to a motion adopted by the RDA Board of Directors (the "Board") on December 5, 2017, the Board set aside $10,000,000 for a "Notice of Funding Availability" (NOFA), contingent upon an application and review process administered by the RDA to facilitate funding of qualified projects which meet the goals established by the NOFA guidelines with $4,500,000 of the funds to be dedicated toward areas of high opportunity. WHEREAS, the RDA facilitated a loan application and review process pursuant to the RDA's NOFA policy as provided through resolution R-17-2018. WHEREAS, on September 12, 2018, the RDA's Finance Committee reviewed the NOFA applications and recommended funding allocations and preliminary terms for the applicants and projects further described on Exhibit A. WHEREAS, based on the Finance Committee's recommendations, the RDA staff recommends that the Board approve the applicants and projects described on Exhibit A and enter into a conditional commitment period with such approved applicants during which the applicants will obtain financial, legal, and regulatory approvals for each respective project. Applicants that successfully meet the conditions of a loan from NOFA shall be extended a loan by the RDA pursuant to the terms of this Resolution and the NOFA policy. NOW THEREFORE, BE IT RESOLVED by the Board of Directors of the Redevelopment Agency of Salt Lake City that it approves the funding allocations and preliminary terms for the applicants and projects further described on Exhibit B, subject to revisions that do not materially affect the rights and obligations of the RDA hereunder. For approved applicants that successfully meet the conditions to receive a NOFA loan, the Board authorizes the Executive Director to negotiate and execute the loan agreements and any other relevant documents consistent with the funding allocations and terms contained herein, and incorporating such other terms and 1 agreements as recommended by the City Attorney's office. Passed by the Board of Directors of the Redevelopment Agency of Salt Lake City, this/ clay of October, 2018. Approved as to form: Derek Kitchen, Chairman Salt rake City Atorney's Office Kimberly K. ChytrJaus Date: j 1�inke' P1 � 't Transmitted to the Executive Director on October 16, 2018 The Executive Director: I does not request reconsideration requests reconsideration at the next regular ency meeting. acqueline M. Biskupski, Exeputijve Directir 1 �r City Recorder tcr a~ HB_ATTY-#72952-v3-RDA_Resolution_NOFA_10-9-18.docx �1 2 EXHIBIT A NOFA RDA FINANCE COMMITTEE RECOMMENDED FUNDING ALLOCATIONS PROJECT The Exchange 338 E 400 S State Street 255 S State St SPARK! 1500 W North Temple Book Cliffs Lodge 1159 S West Temple APPLICANT Downtown SLC B LLC Brinshore Development, LLC Brinshore Development, LLC / Housing Assistance Management Enterprise Housing Assistance Management Enterprise FUNDING RECOMMENDATION* $1,600,000** $2,000,000 $2,500,000 $1,000,000 CONDITIONAL COMMITMENT PERIOD 9 months 18 months 18 months 12 months INTEREST RATE 2% 1% to 3% 1% to 3% 1% TERM 35 years up to 40 years up to 40 years 30 years REPAYMENT Cash flow Cash flow Cash flow Cash flow *Note: Funding Recommendations are maximums. The actual amount of funding may be lower based on project needs. ** The Committee recommends The Exchange as a high opportunity funded project. Although the project is not technically in a high opportunity census tract, the committee believes the location provides high access to transit, jobs, information, education, food, etc., and should be considered as a high opportunity location. 3 EXHIBIT B NOFA RDA BOARD FUNDING ALLOCATIONS PROJECT State Street 255 5 State St SPARK! 1500 W North Temple Book Cliffs Lodge 1159 S West Temple APPLICANT Brinshore Development, LLC Brinshore Development, LLC / Housing Assistance Management Enterprise Housing Assistance Management Enterprise FUNDING RECOMMENDATION* $2,000,000 $2,500,000 $1,000,000 CONDITIONAL COMMITMENT PERIOD 18 months 18 months 12 months INTEREST RATE 1% to 3% 1% to 3% 1% TERM up to 40 years up to 40 years 30 years REPAYMENT Cash flow Cash flow Cash flow *Note: Funding Recommendations are maximums. The actual amount of funding may be lower based on project needs. 1