Laserfiche WebLink
CCHT Request for Funding Recommendation- Page 1 of 4 <br />REQUEST FOR HRA ACTION <br /> <br />Date: 10-17-06 <br />Item No: 8.a. <br />Director Approval: Agenda Section: <br /> CB Action Item Description: Consider Request for Funding from Central Community Housing Trust for <br />the Renovation of Har Mar Apartments and Recommendation for a <br />Housing Tax Increment District for the Project (HF0039) <br /> 1.0 Background <br /> <br />1.1 Over the past several months HRA attorney and staff have reviewed and analyzed the <br />request for funding from Central Community H ousing Trust (CCHT) fo r the renovation and <br />redevelopment of Har Mar Apartments lo cated at 2225-2265 Snelling Avenue N. In <br />addition, at the September HRA meeting a subc ommittee of the HRA, which included Chair <br />Majerus and Dean Maschka, was established to review in more detail the financing for the <br />project and need for funding. <br /> <br />1.2 The Har Mar Apartments are in need of major renovation and repair. The 40 year old <br />complex has been experiencing deferred maintenan ce over the years. However, this property <br />serves a great need for affordable apartment liv ing in the community. Currently the site is <br />50% vacant which indicates, even with its afford able rents, its condition is not conducive to <br />a quality living environment. <br /> <br />1.3 CCHT has purchased the 120-unit Har Mar Apartments. In the first phase of the project <br />to begin in 2007, CCHT plans to renovate the existing units and create 30 two bedroom <br />units within the existing buildings. This would result in a 17 unit reduction to a total of <br />103 existing units on the site. As part of a future phase (2008-09), CCHT plans to build <br />50 units of new housing on the site that would provide 40 two bedroom units and 10 three <br />bedroom units. This concept will provide a total mixed-income rental housing complex <br />with affordable workforce units targeting people earning modest wages as well as those <br />households earning higher wages. CCHT’s goal is to keep the units affordable. <br /> <br />1.4 CCHT is requesting a multitude of public financing components as summarized below: <br /> <br />Funder Rehab Status New <br />MHFA – tax credits $6,956,000October 2006 $7,181,916 <br />Other MHFA $0Next Year $300,000 <br />HRA Grant $350,000Requested 0 <br />Tax Increment Financing $0Requested $600.000 <br />Ramsey County $550,000Approved $53,776 <br />Metropolitan Council $0Next Year $300,000 <br />MN Green Communities $130,000Approved $0 <br />Corporations/Foundations/Other$23,760Pending $21,032