136 of 1988 - Cooperative Agreement with U.S. Department of Housing & Urban Development R 88-1
T 88-2 9
Iq
RESOLUTION NO. 136 OF 1988
AUTHORIZING THE EXECUTION OF AN APPLICATION FOR A COOPERATIVE
AGREEMENT BETWEEN
SALT LAKE CITY CORPORATION AND
THE U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
WHEREAS, Title 11, Chapter 13 , Utah Code Annotated, 1953 ,
as amended, allows public entities to enter into cooperative
agreements to provide joint undertakings and services; and
WHEREAS, the attached agreement has been prepared to
accomplish said purposes;
- THEREFORE, BE IT RESOLVED by the City Council to Salt Lake
City, Utah;
1 . It does hereby approve the attached application
generally described as follows, including such modifications
thereto as may be determined necessary to comply with all
applicable statutes, rules or regulations:
An application for loan guarantee assistance under Section 108
of the Housing and Community Development Act of 1974 (Public
Law 93-383) , as amended, between Salt Lake City Corporation and
the U.S. Department of Housing and Urban Development.
2. Palmer A. DePaulis, Mayor of Salt Lake City, Utah is
hereby authorized to execute said agreement, including such
modifications thereto as may be determined necessary to comply
with all applicable statutes, rules or regulations, on behalf
of Salt Lake City Corporation and to act in accordance with its
terms.
Passed by the City Council of Salt lake City, Utah, this
8thday of November 1988
SALT LAKE CITY COUNCIL
f�
CHATRPEP,SON
APPROVED AS TO FORM
I Y R R ER Salt t�k�Ci ttor"ey's,�ffig®
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Dato
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EXHIBIT A.
APPLICATION FOR OMB Approval No,Olaa.ow
7.DATE SucurntD AmIcant Idenlller
FEDERAL ASSISTANCE 11/16/88
1. TYPE OF SUBMISSION: 2.DATE RECEIVED BY STATE Stab ApO—W IderlMter
Aodreahon Pr•apdieebon
Cl Con't'-I. Constructcn
a.DATE RECEIVED BY FEDERAL AGENCY Federal Id"h1W
®Non-Consvucfw 0 Non-C«+aruclun B-38-MC-49-0004
s.APPLICANT INFORMATION
Legal Name: — — - Orgenurationel Und:
Salt Lake City Corporation Capital Planning and Programming
Address(give city.county,atat•.and rip Coder Name and tebprlona number of the person to be contacted on matter rnvoMrq
Lake this apptK hon (give area Code)
324 S State Street, Floor . Rosemary Davis, Director
Salt Lake City, Utah 84111 11 324 South State Street, Room 240
Salt Lake City, Utah 84111 (301) 535-7902
a.EMPLOYER IDENTIFICATION NUMBER IEINI: 7.TYPE OF APPLICANT:tents/appNprrala 1.11a1 rr1 f>o+)
m — A. State H independent SChW 013t.
B County I:State Controlled Inyhluuon of Hgher Learmng
C. Munclpal J Private Unrvert1ty
t TYPE OF APPLICATION: O. Township IC Inch,Tribe
Q New ❑ Conbnuatlon ❑ Revlslpn E. Interstate •L Indivdual
F Intemu—Pal M Ppfit Organuallon
If Revlsroh.enter ap«ponate letta(s)in bna(es):❑ ❑ G Special Dstrml N.Other(SPeaA•)
A Increase Award B Decrease Award C mcrease Duration
O.Decrease Duration Other(3pe0y): !.NAME OF FEDERAL AGENCY:
Housing and Urban Development
10.CATALOG OF FEDERAL OOMESTIC I L DESCRIPTIVE TITLE OF—(CANTS►ROJECT:
ASSISTANCE NUMBER •
ME. Section 103 Loan for purchase of Canterbury i
Apartments and improvements to North
12.AREAS AFFECTED BY PROJECT(CIII03.COUnD•S.SIA10S.e1C.): Redwood Road Community Park
Salt Lake City (see Attachment A-1)
t3.PROPOSED PROJECT: 14.CONGRESSIONAL DISTRICTS OF:
Start Date Ending Date a.AW".1 0 Protect
10/88 10/89 2nd 2nd
W ESTIMATED FUNDING: Is.IS APPLICATION SUBJECT TO REVIEW BY STATE EXECUTIVE ORDER 12372►ROCESST
a YES THIS PREAPPLICATIOWAPPUCATION WAS MADE AVAILABLE TO 774E
a Federal i 1,825,000
STATE E)(ECUTIVE ORDER 12372 PROCESS FOR REVIEW ON
b. Aopi—nt E AO DATE
C State 1 .00
D NO ® PROGRAM IS HOT COVERED By E O.12372
d Local f .00
OR PROGRAM HAS NOT BEEN SELECTED BY STATE FOR REVIEW
e Other E .DO
t Program Income E ,OD t7.IS THE APPLICANT DELINOUENT ON ANY FEDERAL DE8T7APPROVE1)
❑Yell $•Yet•attach an eaplanatlorl FINANCE DEF�TmENT
D TOTAL S 11825,000 ao "tDS NOT NEFOED
It.TO THE$EST OF MY KNOWLEDGE AND BELIEF.ALL DATA IN THIS APPLICATIONPREAPPLICATION ARE TRUE AN UMENT HAS BEEN OULY
AUTHORIZED BY THE GOVERNING BODY OF THE APPLICANT AND THE APPLICANT WILL COMPLY WITH THE ATTACHED ASSURANCES IF THE ASSISTANCE tS AWARDED
a Typed Name of Authorized Representallve D Tnle C Telephone number
Palmer A. DePaulis l 8 -
d Signature of Authorized Representative ,' e Date S,g^�
lanCarO «m JZA V 4 as;
e—us Eoilions Not USaoie , •_.. „____.____ —
ATTACHMENT A-1
Salt Lake City requests approval for a Section 108 Loan Guarantee
of $1, 825,000 for the following projects:
Canterbury Apartments
Purchase price $1, 600 000
Repairs and improvements 20,000
Closing costs (estimated) 32,000
Interim financing charges (estimated) 23 , 000
Total $1, 675,000
North West Community Park
Acquisition of up to 9 acres of land
for park development $ 150, 000
Total 108 Loan Request $1,825 ,000
A-2
Exhibit B
SALT LAKE CITY
FINAL STATEMENT OF LOCAL GOALS AND OBJECTIVES
14th Year Community Development Block Grant Program
The primary goal of the Community Development Program is to
revitalize, redevelop, and preserve our urban community by
providing decent housing and a suitable living environment and
by expanding economic opportunities principally for persons of
low and moderate-income. More specific goals of Salt Lake City
are:
I . The prevention of slums and blight and the elimination
of blighting influences;
II . the elimination of conditions which are detrimental to
health, safety and public welfare through code enforce-
ment, demolition, rehabilitation and related
activities;
III . the conservation and expansion of housing stock;
IV. the expansion and improvement of the quantity and
quality of community services;
V. a more rational utilization of land and other natural
resources;
VI . the alleviation of physical and economic distress
through the stimulation of private investment and
community revitalization.
In order to meet the goals of the Community Development
Program, specific objectives have been identified. These
objectives are:
a. to concentrate funds through the targeting of neighbor-
hoods, and in addition, specific areas where these
improvements will favorably impact several neighbor-
hoods or areas;
b. to offer housing rehabilitation programs to owners of
single-family and multi-family homes;
C. to provide sidewalk, curb and gutter , and street
improvements, in target neighborhoods, and in addition,
specific areas where these improvements will favorably
impact several neighborhoods or areas;
d. to improve and provide recreational facilities,
specifically parks and community centers;
B-1
e. to stimulate private investment and community revital-
ization by improving existing and proposed infrastruc-
ture through active capital improvement planning and
programming;
f . to provide comprehensive planning services encouraging
better arrangement of residential, commercial, industrial
and recreational activities;
g. to provide limited public service programs for low and
moderate-income residents for programs where no altern-
ative funding sources are available. Priority will be
given to public service programs which complement
physical development activities.
B-2
Exhibit "A"
Use of Additional CDBG Funds
Salt Lake City allocates $1, 825,000 of additional 14th Year
CDBG funds to the following projects and program areas:
1. Housing
Section 108 Loan for Acquisition of
City owned Low/Moderate Income Housing
(1357 North Morton Drive) $1, 675,000
2. Parks
Section 108 Loan for North Redwood
Road Community Park Acquisition
(2000 West 1100 North) $150,000
Total $1, 825,000
B-5
Exhibit C
DESCRIPTION OF SECTION 108 LOAN ACTIVITIES AND HOW EACH MEETS
ONE OF THE BROAD NATIONAL OBJECTIVES
Activity: Acquisition of low/moderate income housing
National Objective: Activity benefiting low and moderate income
persons where at least a majority of the beneficiaries are low
and moderate income persons.
We propose to use the 108 loan proceeds to purchase the
Canterbury Apartment complex, which is in a mixed single family
detached and multiple unit neighborhood. The project is
aesthetically designed and quality constructed with the
principal amenity being an outdoor swimming pool. The cost per
unit is $20 ,513 which is about 40% below current new
construction costs. A description of the complex is as
follows:
1. 78 units in 6 buildings
2. Total 73 , 930 sq. ft.
3 . 839 sq. ft. in 2-bedroom units
4. 1,075 sq. ft. in 3-bedroom units
5. 156 parking stalls (total)
6 . 78 covered stalls
7. Built in 1985
8 . 2 1/2 story walk-up
9 . Stucco and aluminum siding
10. Asphalt shingles
11. Swimming pool and clubhouse
Approximately 44% of the present tenant mix is moderate income
and an additional 20% is in the low income category. There are
42 two-bedroom and 36 three-bedroom units with average rents of
$310 and $385 respectively. Section 8 fair market rents have
been established at $455 for the two-bedroom units and $564 for
the three-bedroom units, and using the 30% median income cap,
rents could be $626 and $696 respectively. Thus rendering these
units as "affordable housing" .
City involvement in securing undervalued housing in the current
depressed market is intended to assure that rents will remain
affordable for low and moderate income persons as rents
increase in the future. Since the complex will have no debt
service after six years when the Section 108 Loan has been
repaid, annual surplus income, can then be directed to broader
community-wide programs for low and moderate income elderly and
family projects.
A Section 108 loan guarantee in the amount of $1, 675,000 will
be used to purchase the seventy-eight unit Canterbury
Apartments for low/moderate income families. Approximately
C-1
$20,000 of the Section 108 Loan will be used to make repairs
and minor improvement to the property and $55,000 has been
allowed for closing costs and loan servicing and/or interim
financing cost. The loan will be repaid from rental income and
from a Community Development Block Grant allocation of $300, 000
per year for approximately 6 years.
After purchase by the City, ownership of the Canterbury
Apartments will be immediately transferred to the Redevelopment
Agency of Salt Lake City, subject to a contract to be entered
into between the City and the Redevelopment Agency. The
Redevelopment Agency will be responsible for operating and
maintaining the Canterbury Apartments until the Section 108
loan is repaid, at which time ownership of the Canterbury
Apartments will immediately revert back to Salt Lake City
Corporation. The contract with the Redevelopment Agency will
provide that cash flows from the Canterbury Apartments in
excess of the amounts reasonably necessary to operate and
maintain the apartments will be directed to repay the interest
on the Section 108 Loan.
Any excess cash flow over the debt service interest will be
deposited in a reserve account to be used by the City at its
discretion either for additional payments on the Section 108
loan or for low/moderate or elderly assisted housing. The
Section 108 loan will be repaid solely from future CDBG grants
and project cash flow. The City will enter into a contract
with the Housing Development Corporation (HDC) that, at the
reversion of the Canterbury Apartments to the City after the
repayment of the Section 108 Loan, the HDC will receive all of
the cash flows from the Canterbury in excess of the amounts
needed to manage the Canterbury until the HDC bonds are paid
off .
In addition, this project is part of a commitment and a
strategy of Salt Lake City to provide affordable housing other
than through traditional programs offered by the Housing
Authority or other HUD subsidized projects. The Housing
Development Corporation (HDC) is charged with assembling a
portfolio of elderly and family units that will provide
low/moderate assisted housing and stable rents and has four
major elements.
1. In December 1985 , the Salt Lake City Housing Authority sold
bonds which were backed by the credit rating of the City to
allow the HDC to build elderly housing. The intent was to
build new units and rent them substantially below market rents
to assist the large population of elderly people who are
between 50% and 80% of median and do not qualify for Housing
Authority subsidized programs. This group has limited earning
power and cannot afford market rents. In addition, they need
secure environment among their peers to retain an independent
life style. However , the market changed dramatically and the
lower rent bond program was no longer sound without further
subsidy, therefore 2, 3 , and 4 became part of the program.
C-2
2. A Secretary' s Discretionary grant of $500,000, plus an
allocation of $300, 000 from CDBG funds and $864, 000 from bond
proceeds, to assist in the purchase of the 68 unit Ben Albert
Apartments for low income elderly housing at a cost of
$1, 664 , 000 .
3 . The use of City guaranteed bond proceeds for the
construction of the Riverside Apartments (already completed)
with 41 elderly, specially designed units.
4 . Section 108 Loan Guarantee to purchase the 78 unit
Canterbury Apartments for low/moderate income families as
described. As mentioned earlier, it is the City' s intent to
use the Canterbury Apartments in some manner to benefit the HDC
and its elderly programs.
C-3
Canterbury Apartment Pro forma
Income: (current 1988 level)
Rents (less vacancy @ 10%) * $297, 108
42 2-bedroom @ $325**
36 3-bedroom @ $385**
Other income - add 1% 2,971
Effective gross income $300, 079
Expenses:
Salaries - management/maintenance $ 33 , 550
Management fee 16, 500
Maintenance 25, 500
Advertising/promotion 17, 000
Utilities 30, 000
Insurance 8, 850
Other 1, 800
Reserve/extraordinary 15, 000
Total expenses $148, 200
Net operating income: $151, 879
*Note: Rents will rise modestly over the 6 year loan repayment
period and we anticipate the current 5% vacancy rate to
be more typical than the projected 10%. These
conditions will result in a stronger pro forma allowing
us to repay the 108 Loan earlier, expand the reserve
account for upgrading and improving the complex,
keeping rents low, or any combination of these options.
**Note: To demonstrate affordability of these rents, current
caps based on 30% of median income allows a family of 3
to expend $626 per month on housing and a 4 person
family $696. Utilities added to the rents listed here
place present rents at about $400 for 2 bedroom units
and $460 for 3 bedroom units, making this complex
affordable to moderate and low-income families.
C-4
Activity_ Purchase of property for development of the North
Redwood Community Park
National Objective: Activity addressing slum and blight, in
particular , to eliminate specific conditions of blight or
physical decay on a spot basis not located in a slum or
blighted area .
The City proposes to acquire up to 9 acres of functionally
blighted land for recreation and storm water detention purposes
in the North Redwood Road Community. The site is adjacent to
an improved residential area and was planned for housing
development. However , the parcel is heavily impacted by noise
and the visual association of the newly constructed I-215
Freeway, a high ground water table including some standing
water , and an open drainage canal which makes it unsuitable for
residential use. This is evidenced by an adjoining subdivision
tract with some similar conditions which has had no building
activity since the freeway was constructed.
Since the site can be adapted to a neighborhood park, the most
suitable use of the land is as permanent open space that will
provide recreation facilities to the Canterbury Apartments as
well as the surrounding community which has a high proportion
of low/moderate income population. There are more than five
hundred school age and pre-school age children in the immediate
vicinity and the nearest play fields are beyond a reasonable
walking distance requiring children to cross a busy highway to
reach them. The limited amenities associated with the various
apartment buildings in the area are not available to non-
tenants and are generally single-purpose facilities.
The negative attributes of this vacant land adjoining the
freeway and the lack of recreation facilities in the
neighborhood is perceived as affecting the marketability of new
residential development and the commitment of families to long
term residency. The growing proportion of low income families
in the area is attributed in part to depressed real estate
prices which have a direct relationship to the quality of the
residential environment.
The City Parks and Recreation Department has sought to acquire
and develop a recreation site for the North Redwood Road
Community, however sufficient funds have not been available to
purchase land and provide improvements. If acquisition can be
accomplished, improvement monies will be raised through the
sale of City-owned surplus land. The Section 108 Loan can move
this project to immediate development and restore confidence in
the neighborhood. An important aspect of combining the park
site acquisition with the purchase of the Canterbury Apartments
is that rental profits from the apartments help service the
loan that provide the neighborhood park.
C-5
Exhibit D
REPAYMENT SCHEDULE AND SOURCE OF REPAYMENT
The 108 Loan will be serviced from the Canterbury Apartment
rental income stream and from annual CDBG appropriations over
the next 6 years. Interest payments will be paid twice
annually and principal will be made in annual installments.
Assuming a commitment date of January 1, 1989 and an interest
rate of 9% over the term of the loan, interest and principal
would be paid according to the following schedule.
YEAR PAYMENT SOURCE AMOUNT BALANCE
2/89 interest rent stream 13 ,688 1, 825, 000
7/89 prin./int. rent stream/CDBG 106, 312/300,000 1,500, 813
2/90 interest rent stream 67,537 1,500, 813
7/90 prin./int. rent stream/CDBG 52,463/300, 000 1, 215,887
2/91 interest rent stream 54, 715 1, 215, 887
7/91 prin./int. rent stream/CDBG 65, 285/300,000 905, 317
2/92 interest rent stream 40, 739 905, 317
7/92 prin./int. rent stream/CDBG 79, 261/300, 000 566,795
2/93 interest rent stream 25 ,506 566,795
7/93 prin./int. rent stream/CDBG 94,494/300,000 197, 807
2/94 interest rent stream 17, 803 197, 807
7/94 prin./int. rent stream/CDBG 102,197/95,610 0
Note: This schedule anticipates a minimum rent stream income
of $120, 000 per year for loan service. Actual loan service
income should be higher, however , any shortfall, should it
occur , will be made up from CDBG appropriations and not from
the City' s general fund.
D-1
Exhibit E
CERTIFICATION PLEDGING FUTURE CDBG GRANTS FUNDS
AS 108 LOAN SECURITY
Salt Lake City Corporation, through the legislative powers of
the City Council, by resolution authorizing the Mayor to
execute an application for a Loan Guarantee pursuant to Section
108 of the Housing and Community Development Act of 1974, as
amended, hereby assures and certifies with respect to such
application, that the use of the Section 108 Loan complies with
national Community Development objectives and that it possesses
the legal authority to pledge funds from its Community
Development Block Grant Entitlement to repay loan funds from
the Section 108 Loan guarantee program. No payment or pledge
of future City general fund revenues is hereby contemplated.
Palmer A. DePaulis
Mayor and Chief Executive Officer
ATTEST:
City Recorder
E-1
EXHIBIT F
COMMUNITY DEVELOPMENT BLOCK GRANT
GRANTEE CERTIFICATIONS
In accordance with the Housing and Community 'Development Act of
1974 , as amended, and with 24 CFR 570.303 of the Community
Development Block Grant regulations, the grantee certifies that:
(a) It possesses legal authority to make ,a grant submission and
to execute a community development and housing program;
(b) Its governing body has duly adopted or passed as an official
act a resolution, motion or similar action authorizing the
person identified as the official representative of the
grantee to submit the final statement and all understandings
and assurances contained therein, and directing and
authorizing the person identified as the official
representative of the grantee to act in connection with the
submission of the 'inal statement and to provide such
additional information as may be required;
(c) Prior to submission of its final statement to HUD, the Is
grantee has:
1. met the citizen participation requirements of
5570. 301 (a) (2) and has provided citizens with:
A. the estimate of the amount of CDBG funds proposed
to be used for activities that will benefit persons
of low .and moderate income; and
B. its plan for minimizing displacement of persons as
a result of activities assisted with CDBG funds and
to assist persons actually displaced as a result of
such activities;
2. prepared its final statement of community development
objectives and projected use of furids in accordance with
5570.301 (a) (3) and made the final statement available _to____
the public;
(d) It is following a detailed citizen participation plan which:
I. provides for and encourages citizen participation, with
, particular emphasis on participation by persons of low
and moderate income who are residents of slum and
F-1 R /RR
blighted areas and of areas in which funds are proposed
to be used, and provides for participation of residents
in low and moderate income neighborhoods as defined by
the local jurisdiction;
2. provides citizens with reasonable and timely access to
local meetings, information, and records relating to the
grantee's proposed use of funds, as required by the
regulations of the Secretary, and relating to the actual
use of funds under the Act;
3. provides for technical assistance to groups
representative of persons of low and moderate income
that request such assistance in developing proposals
with the level and type of assistance to be determined
by the grantee;
4. provides for public hearings to obtain citizen views and
to respond to proposals and questions at all stages of
the community development program, including at least
the development of needs, the review of proposed
activities, and review of program performance, which
hearings shall be held after adequate notice, at times
and locations convenient to potential or actual
beneficiaries, and with accomodation for the
handicapped;
5. provides for a timely written answer to written
complaints and grievances, within 15 working days where
practicable; and •
6. identifies how the needs of non-English speaking
residents will be met in the case of public hearings
where a significant number of non-English speaking
residents can be reasonably expected to participate;
(e) The grant will be conducted and administered in compliance
with:
1. Title VI of the Civil Rights Act of 1964 (Public Law 88-
352; 42 U.S.C. S2000d et seq. ) ; and
2. Title VIII of the Civil Rights Act of 1968 (Public Law
90-284; 42 U.S.C. 53601 et ses. ) ;
M It will affirmatively further fair housing;
(g) It has developed its final statement of projected use of
funds so as to give maximum feasible priority to activities
-� which benefit low and moderate income families or aid in the -- -
prevention or elimination of slums or blight; (the final _._
F-2 8/88
statement of projected use of funds may also include
activities which the grantee certifies are designed to meet
other community development needs having a particular urgency
because existing conditions pose a serious and immediate
threat to the health or welfare of the community, and other
financial resources are not available) ; except that the
aggregate use of CDBG funds received under section 106 of the
Act and , if ap.?licable, under section 108' of the Act, during
the 1988-89 program year (s) (a period
specified by the grantee consisting of one, two, or three
consecutive years) , shall principally benefit persons of low
and moderate income in a manner that ensures that not less
than 60 percent of such funds are used for activities that
benefit such persons during such period;
(h) It has developed a community development plan, for the period
specified in paragraph (g) above, that identifies community
development and housing needs and specifies both short and
long-term community development objectives that have been
developed in accordance with the primary objective and
requirements of the Act;
(i) It is following a current housing assistance plan which has
been approved b; HUT);
(j) It will not attempt to recover any capital costs of public
improvements assisted in whole or in part with funds provided
under section 106 of the Act or with amounts resulting from a,
guarantee under section 108 of the Act by assessing any
amount against properties owned and occupied by persons of
low and moderate income, including any fee charged or
assessment made as a condition of obtaining access to such
public improvements, unless :
1. funds received under section 106 of the Act are used to
pay the proportion of such fee or assessment that
relates to the capital costs of such public improvements
that are financed from revenue sources other than under
Title I of the Act; or
2. for purposes of assessing any amount against properties
owned and occupied by persons of moderate income, the
grantee certifies to the Secretary that it lacks
• sufficient funds received under section 106 of the Act
to comply with the requirements of subparagraph (1) --
above;
(k) Its notification, inspection, testing and abatement
procedures concerning lead-based paint will comply with
5570. 608; and
F- 3 8/88
(1) It is following a residential antidisplacement and relocation
assistance plan and that it will comply with the acquisition
and relocation requirements of the Uniform Relocation
Assistance and Real Property Acquisition Policies Act of 1970
as required under 5570.606(a) and HUD implementing
regulations at 24 CFR Part 42; the requirements in
S570.606(b) governing the residential antidisplacement and
relocation assistance plan under section 104(d) of the
Housing and Community Development Act of 1974; the relocation
requirements of S570.606(c) governing displacement subject to
section 104(k) of the Act; and the relocation requirements of
5570.606(d) governing optional relocation assistance under
section 105(a) (11) of the Act.
(m) It will comply with the other provisions of the Act and with
other applicable laws.
Palmer A. DePaulis
Mayor and Chief Executive Officer
ATTEST:
Recorder
City r
�-
F-4 8/88
Exhibit G
CERTIFICATION OF FINANCIAL NEED
Salt Lake City Corporation hereby assures and certifies with
respect to its application for a Loan Guarantee pursuant to
Section 108 of the Housing and Community Development Act of
1974 , as amended, that it has made efforts, as referenced in
Attachment G-1 appended hereto, to obtain financing for
activities described herein without the use of such guarantee
and cannot complete such financing consistent with the timely
execution of the program plans without such guarantee.
Palmer A. DePaulis
Mayor and Chief Executive Officer
ATTEST:
City Recorder
G-1
ATTACHMENT G-1
November 9, 1988
Ms. Rnsemary Davis
Salt Lake City Corporetien
DirAntor of Capital Planning
324 South State Stroot
Salt Lake city, Utah 84111
REs Canterbury Apart'aanta fin:%nciny request
Dear Ma. Davies
pleas• be advised that your rt;uest for financing by the
Federal *Tatienal Mortgage Association ("FannieM3- 1} in connection
with i_he purchase c_ the Canterbury Apartments located in Salt
Lake CiLy, Utah has been declined, As a matter of policy,
FannieMa€+ is not w'_llir.; to finances the sale o- prcperties from
it's own portfolio.
It you need furthur ansistance please feel free to tali at any
time.
Yo rs �+ r'Y
t ;;ly,t 9a�che
- . est G_'Picer
Multi-gamily Activities Division
hRSsrp