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HomeMy WebLinkAboutCouncil Provided Information - 10/14/2025CRA BOARD MEETING – OCTOBER 14, 2025 SALT LAKE CITY COMMUNITY REINVESTMENT AGENCY NEIGHBORWORKS SHARED EQUITY FUNDING TERM SHEET SUSTAINABILITY WAIVER REQUEST •June 10, 2025: the CRA Board approved a direct allocation and term sheet for $2.1M to NeighborWorks Salt Lake (“NWSL”) towards 2 for-sale residential developments: o Maltair Lanes, at 1002 West 200 South o Stanbridge Property, at 800 West 319 North BACKGROUND Maltair Lanes Stanbridge SUSTAINABILITY POLICY •The CRA Sustainable Development Policy requires all projects that receive CRA funds to meet the following: •Enhanced Energy Performance: •Designed to Earn Energy Star score of 90 or a corresponding estimated Energy Use Intensity (EUI) value •Participation in SLC’s Energy Benchmarking Program (Elevate Buildings) •Emission-Free Building Operation: •100% electric building operation (no on-site fossil fuel combustion) WAIVER REQUEST •Prior to the last meeting, NeighborWorks indicated that they would be unable to meet the Enhanced Energy Performance and Emission-Free Building Operation requirements at Maltair Lanes because: •Maltair Lanes was designed to include natural gas prior to receiving Board’s direct funding allocation •To participate in Elevate Buildings, a development must be able to be tracked in ENERGY STAR’s Portfolio Manager program, which requires a development to have 20 or more units. •Maltair Lanes is designed to include only 13 units. •NeighborWorks has stated: •Redesign would add 3-6 months to the project schedule and additional costs WAIVER REQUEST •At the June 10, 2025 meeting, the Board granted a partial waiver that would allow NeighborWorks to build a project that includes natural gas (onsite fossil fuel combustion) for HVAC operations. •The Board requested that NeighborWorks first calculate its Design Target Site EUI value to assess whether it would meet the requirement as designed. •If the design was unable to meet this requirement, the adopted Term Sheet gave the following alternative: “If Maltair Lanes is unable to meet a Designed to Earn ENERGY STAR target of 90 or higher or a corresponding EUI target, .” NEIGHBORWORKS SUBMISSION •NeighborWorks submitted a Design Target Site EUI value for Maltair Lanes. •With the information provided, the CRA estimates this project would have an energy efficiency ratio of 0.8559, which is equivalent to an ENERGY STAR score of 69. •The waiver for Maltair Lanes will be the first housing development that will not meet the policy since it was adopted. BOARD CONSIDERATION •The Board should review and consider approving the Amended and Restated Term Sheet included in Attachment A, including the waiver of the Sustainable Development Policy requirements for Maltair Lanes. •If the Board approves the term sheet, staff will ensure conditions for funding are met and will execute the necessary legal agreements upon releasing the funds.