7E, Arden Village Letter of Support Request

Home Browse Search

development review until MHFA has made their decision in January 2010. If the City is willing to use TIF or any other type of support, the City would still have the opportunity to complete a financial analysis to ensure the soundness of the project. If the project receives the Housing Tax Credits but is ultimately not able to meet City requirements, the City would not be obligated to approve the project. Offering any type of public assistance in a letter of support is not a blind approval for the project. The City would be able to tie in specific design standards with the rezoning and/or public assistance. Direction from the City Council Since this project was discussed at a work session, the Council could not vote on a letter of support. The Council did request the following information: • How would the project compare to the B2 Zoning District design standards? • What does the Business Subsidy Policy say about this type of project? • In regards to TIF, how much in property taxes would this housing project generate and how would that compare to a commercial/industrial use on the property? Finally, what would be the difference between extending the existing Cottage Villas TIF district for this project or creating a new TIF district? Because this project is in the concept stage, detailed designs and financial analysis are not able to be completed. The project relies on obtaining the Housing Tax Credits from MFRA, and the detailed plans would likely not be created until MFRA makes their decision. However, Staff has prepared an initial analysis based on available information. SCI has also supplied preliminary estimates for the TIF request which has been reviewed by the Finance Director. Attachments The following three documents are attached to this memo: Preliminary Design Review Preliminary Business Subsidy Review Preliminary TIF Review Page 2 of 2