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1. Development District No. 1. There has heretofore been established in the City a municipal Development District No. 1, the initial boundaries of which are fixed and determined as described in the Development Program. 2. Development Program. The Development Program, as modified, for Development District No. 1, a copy of which is on file in the office of the City Manager, is adopted as the development program for Development District No. 1. 3. TIF District No. 18. There is hereby established in the City within Development District No. 1 a Tax Increment Financing District, the initial boundaries of which are fixed and determined as described in the TIF Plan. 4. Tax Increment Financing Plan. The TIF Plan is adopted as the tax increment financing plan for TIF District No. 18, and the City Council makes the following findings: (a) TIF District No. 18 is a housing district as defined in Minnesota Statutes, Section 469.174, Subd. 11, the specific basis for such determination being that the approximately 168 unit multifamily apartment rental housing project will provide safe, decent, affordable, sanitary housing for residents of the city and it will result in the preservation and enhancement of the tax base of the State. (b) The proposed development in the opinion of the City Council, would not occur solely through private investment within the reasonably foreseeable future. The reasons supporting this finding are that: (i) Private investment will not finance these development activities because of prohibitive costs relative to rental revenues for low and moderate income housing units. It is necessary to finance these development activities through the use of tax increment financing so that development of affordable housing and other development by private enterprise will occur within Development District No. 1. (ii) A comparative analysis of estimated market values both with and without establishment of TIF District No. 18 and the use of tax increments has been performed as described above. Such analysis is found in Exhibit V of the TIF Plan, and indicates that the increase in estimated market value of the proposed development (less the indicated subtractions) exceeds the estimated market value of the site absent the establishment of TIF District No. 18 and the use of tax increments. (c) In the opinion of the City Council, the increased market value of the site that could reasonably be expected to occur without the use of tax increment financing would be less than the increase in the market value estimated to result from the proposed development after subtracting the present value of the projected tax increments for the maximum duration of TIF District No. 18 permitted by the TIF Plan. The reasons supporting this finding are that: