Proposed Resolution - 10/9/2024REDEVELOPMENT AGENCY OF SALT LAKE CITY
RESOLUTION NO. of 2024
LOAN TO LIBERTY CORNER ASSOCIATES, LLC
RESOLUTION OF THE BOARD OF DIRECTORS OF THE REDEVELOPMENT AGENCY
OF SALT LAKE CITY APPROVING THE TERM SHEET OF A LOAN TO LIBERTY
CORNER ASSOCIATES, LLC FOR CONSTRUCTION OF AN EXPANDED DAYCARE
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 grants the RDA powers to use funds to provide for project area
development within project area boundaries.
WHEREAS, the RDA has an RDA Loan Program (Program), the purpose of which is to
promote economic development, encourage private investment, and enhance project area
vitality.
WHEREAS, on October 18, 2016, the RDA Board adopted Resolution No. R-37-2016,
establishing policy guidelines for the RDA Loan Program (the Policy).
WHEREAS, on March 8, 2022, the RDA Board adopted Resolution No. R-7-2021, which
established the RDA's Housing Development Loan Program (HDLP).
WHEREAS, on March 19, 2024, the RDA Board approved a $4,500,000 HDLP loan (Initial
Loan) to support the construction of a mixed -income affordable apartment community by
Liberty Corner Associates, LLC (the Borrower).
WHEREAS, pursuant to the Policy, in addition to the $4,500,000 HDLP loan, the Borrower
applied for a second loan to support the construction of an expanded daycare in Borrower's
planned mixed -income affordable apartment community located within the RDA's State Street
project area.
WHEREAS, the RDA staff propose a waiver of the loan amount, interest rate, and term of loan
under the Policy, and propose that this loan follow the terms already approved via the Project's
Initial Loan, as set forth in more detail in the attached term sheet.
WHEREAS, the RDA Finance Committee reviewed the proposed loan application in a
meeting on September 18, 2024 and voted to recommend the loan to the RDA Board for
approval.
WHEREAS, in conjunction with the RDA Finance Committee's recommendations, the RDA
staff recommends the attached set of terms (the Term Sheet) for a second loan in the amount of
$1,600,000 to the Borrower specifically for the construction of a daycare in the Project, which
construction is to be expanded from the proposal the Borrower presented for the Initial Loan
(the Daycare Loan).
WHEREAS, RDA staff further requests the RDA Board approve the Policy waivers for the
Daycare Loan, as further described in the Term Sheet.
NOW, THEREFORE, BE IT RESOLVED by the Board that it approves the Policy waivers
for the Daycare Loan, and further approves the Daycare Loan as outlined in the Term Sheet
attached hereto, subject to revisions that do not materially affect the rights and obligations of
the RDA hereunder. The Board authorizes the Executive Director to negotiate and execute the
loan agreement and any other relevant documents consistent with the Term Sheet, and
incorporating such other terms and agreements as recommended by the City Attorney's office.
Passed by the Board of Directors of the Redevelopment Agency of Salt Lake City, this
day of , 2024.
Alejandro Puy, Chair
Approved as to form: I At&m'/&e�
Salt Lake City Attorn4's Office
Sara Montoya
Date: September 20, 2024
The Executive Director:
does not request reconsideration
requests reconsideration at the next regular Agency meeting.
Erin Mendenhall, Executive Director
Attest:
City Recorder
LOAN TERM SHEET