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HomeMy WebLinkAbout(REDWOOD) MODIFICATION FOR CONCORDE CAPITOL - MOD - 15-99 - REPORTS -resolution shall be construed as requiring the City to issue the bonds and the decision to issue the bonds shall be in the complete discretion of the City. Section 9. That if any section, paragraph, clause, of provision of this Resolution with the exception of any section, paragraph, clause or provision limiting the City's financial obligation shall for any reason be held to be invalid or unenforceable, the invalidity or unenforceability of such section, paragraph, clause or provision shall not affect any of the remaining provisions of this Resolution. Section 10. That this Resolution shall take effect immediately upon its introduction and passage. Passed and adopted at a regular mecting of the City Counc1d this 19th day uary, A. D. 1999. Mayor ATTEST: City Clerk Constitution or statues ofthe State of Colorado or the Charter of the City, not give rise to a pecuniary liability of the City or a charge against its general credit or taxing powers. The Bonds shall be payable solely from and secured by a pledge ofrevenues derived from and payable by the Company pursuant to financing agreements with the City. Section 2. That no costs or expenses whether incurred by the City or any other party in connection with the issuance of the Ronde or the preparation of any documents by any legal or financial consultants retained in connection herewith shall be borne by the City. All such costs or expenses shall be paid from the proceeds of the Bond or otherwise home by the Company. Section 3. That prior to any execution of a financing agreement, mortgage, indenture of trust, bond purchase agreement or any other necessary documents and agreements in connection with such Donds, such documents and/or agreements shall be submitted for approval to the City, and, if satisfactory to the City, their execution shall be authorized by ordinance of the Council pursuant to law. Section 4. That prior to any further action by the Council, the Company shall provide the City with an opinion of a qualified bond counsel, supporting the legality of the financing of the Yroiect and the utilization of bond proceeds for said Project - Section 5. That nothing contained in this Resolution shall constitute the debt or indebtedness of the City within the meaning of any limitation of the Constitution or statutes of the State of Colorado or the Charter of the City, not give rise to a pecuniary liability of the City or a charge against its general credit or taxing puwers. Section 6. That all commitments ofthe City contained herein are subject to the condition that within twelve (12) months of the date hereof, or such shorter period of time available under applicable law, unless otherwise extended by agreement between the City and the Company, the Bonds to be issued pursuant hereto shall be issued and sold. In the event that said Bonds to be issued pursuant hereto are not issued within twelve (12) months, or such shorter period of time available under applicable law, the City of Fort Collins shall be under no obligation to perform any of the terms and conditions contained herein. Nothing contained herein shall constitute a warranty or representation by the City that the Bond will received from the State of Colorado any necessary allocation of a portion of the private activity bond limit authorized for the State of Colorado Pursuant to the internal Revenue Code of 1986, as amended. If an allocation for the Project is necessary, the City shall use its best efforts to secure from the State of Colorado such an allocation authorizing the issuance of the Bonds from the State of Colorado private activity bond limit. Section T That all resolutions or part thereof concerning the subject matter hereof in conflict with the Resclutiun are hereby repealed to the extent of such conflict This repealer shall not be construed to revive any resolution or part thereof, heretofore repealed. Section 8. That the agreements of the City set forth above are expressly conditioned upon the ability and willingness of the City to issue the bonds as tax exempt obligations under the Federal Income Tax laws existing on the date of the issuance of the bonds. Nothing contained in this RESOLUTION 99-7 OF THE COUNCIL OF THE CITY OF FORT COLLINS, SETTING FORTH THE INTENTION OF THE CITY TO ISSUE MULTI -FAMILY HOUSING REVENUE BONDS FOR THE CONCORDE CAPITAL CORPORATION PROTECT WHEREAS, representatives of Concorde Capital Corporation (the "Company") have met with officials of the City of Fort Collins, Colorado, (the "City"), and have advised the City of the interest of the Company in acquiring, constructing, and equipping a ranch and town home project (the "Project") to be near the toner of Rcdman and Conifer Streets, Fort Collins, Colorado, subject to the City's financing the Project by the issuance of multi -family housing revenue bonds, pursuant to the Colorado County and Municipality Development Rcvcnue Bond Act cunstituting Article 3, Title 29, Colorado Revised Statutes, as amended (the "Act"); and WHEREAS, the Project is within the municipal boundaries of the City; and WHEREAS, the Company has represented to the City that the Project will qualify as a "project" within the meaning of the Act; and WHEREAS, the Council has considered the proposal and has concluded that the henefits to be derived therefrom by the City will be substantial; and WHEREAS, the Council has determined that the Project is consistent with the goals and objectives of the City, and WRE REAS, the Company and the City staff arc working with the State of Colorado, seeking to increase the City's private activity bond allocation sufficient to permit the issuance of multi- family housing revenue bonds for the Project; and WHEREAS, the Council desires to indicate its intent to pruccud with financing the Project through the issuance of such revenue bonds, if the State of Colorado approves the necessary additional allocation for the City to use in connection with the Project. NOW, THEREFORE. BE 1T RESOLVEll By THE COUNCIL OF THE CITY OF FORT COLLINS, COLORADO as follows: Section 1. That in order to induce the Company to undertake the Project, the City shall, subject to the provisions hereof, and, contingent upon the City obtaining sufficient additional private activity bond allocation from the State of Colorado, take all necessary and advisable steps to effect the issuance of multi -family housing revenue bonds (the "Bonds") pursuant to the Act. in the maximum aggregate principal amount of Eleven Million Dollars ($11,000,000) or such lesser amount as shall be determined and agreed upon by the Company and the City to finance the Project. The Bonds will not be general obligations of the City. Neither shall the Bonds, including interest thereon, constitute the debt or indebtedness of the City within the meaning of any limitation of the Commu...ty Planning and Environmental _ rvices Advance Planning Department City of Fort Collins July 20, 1999 Mr. Troy Jones, City Planner City of Fort Collins Current Planning Department P.O. Box 580 281 N. College Avenue Ft. Collins, CO 80522 Dear Mr. Jones, This letter is to confirm that Concord Capital Corporation's Dry Creek Apartments project, located near Conifer Street and Redwood Street, is officially an "affordable housing" project according to all City definitions. The project proposes approximately 150 units for families with incomes at or below 50% and 60% of Area Median Income standards. Therefore, the project is eligible for all incentive programs to encourage the development of affordable housing, such as Priority Processing, available from the City. If you require additional information, please contact me. Sincerely, Kenneth G. Waido Chief Planner 281 North College Avenue • P.O. Box 580 • Fort Collins, CO 80522-0580 • (970) 221-6376 FAX (970) 224-6111 • TDD (970) 224-6002 • E-mail: aplanningCci.fort-collins.co.us Priority Affordable Housing Needs and Strategies Adopted February 2,1999 Fort Collins' Priority Affordable Housing Needs: • Rental Housing. This community's highest priority needs to be producing new rental units affordable to households earning below 50% of AMI. In 1997, there were approximately 2,230 of these very low-income family or elderly households paying over 30% of their income for rent. This community also needs to maintain a supply of multifamily rental units that are affordable for people earning 50% to 80% of AMI. In 1997, there were approximately 710 of these low-income family or elderly households paying over 30% of their income for rent. • For Sale Housing. This community needs to continue to help first time homebuyers earning below 80% of AMI to get into affordable homeownership. In 1997, there were approximately 960 of these low-income family households (earning between 50% and 80% of AMI) that could become first time homebuyers with downpayment or closing cost assistance. Housing Production. This community needs to be more proactive in identifying and securing sites for future affordable housing development, it needs to examine any regulatory barriers and consider reforming them, and it needs to be supportive of proposed developments in their quest for identifying development subsidies. In addition, it needs to preserve its existing affordable housing stock. Strategies: 1. Use the City's subsidy dollars to help affordable housing projects leverage funding from other sources. 2. Award an average of $5,000 per unit to projects from CDBG, HOME, program income, and the City's Affordable Housing Fund. 3. Use 60% of CDBG, 90% of HOME, and 90% of program income dollars for awards to affordable housing projects. 4. Replace the Impact Fee Rebate program with a competitive process. 5. Award approximately 70% of the City's subsidy dollars to projects that will provide affordable rental housing for very low-income households (at or below 50% of AMI). Equal priority should be given to two types of projects - 1) those that would build new units and 2) those that would preserve existing affordable rental projects. 6. Award Private Activity Bond financing to projects that will provide affordable rental housing for low-income households (between 50% and 60% of AMI). JUL.21.1999 10:34RM CONCORDE DEVELOPMENT GROUP We look forward to working wZth the City of Fort Collins to address the shortage of affordable housing. Please do not hesitate to contact Phil Brown or myself with additional questions or concerns regarding this application. Thank you for your consideration, Sincerely, ,ems C Alston(Mac)Quillin II Development Director Fort Collins has identified affordable housing as an important community need. This project would provide this need to the community which in turn would contribute greatly to the "public good," and would advance the public interest. As addressed in the Fort Collins "Priority Affordable Housing Needs and Strategies" which was adopted on February 2"d of this year, Fort Collins highest priority should be additional affordable rental housing. As indicated above the Redwood Housing Limited Partnership project will be made up of a total of 150 units with 60 of these being affordable for very low income households. As further evidence of the community's support, Concorde Capital was recently awarded a bond allocation from the City of Fort Collins for the Redwood Housing Limited Partnership project. In addition, the Community Development Block Grant Commission included Redwood Housing Limited Partnership as a priority project for funding to the City Council. I have included a copy of these three documents for your records. These factors all indicate a recognition by the community that affordable housing is an issue in need of immediate addressing. Section 4.4(.A) states: "The LMN District is intended to be a setting for a predominance of low density housing combined with complementary and supporting land uses that serve a neighborhood and are developed and operated in harmony with the residential characteristics of a neighborhood. " This affordable housing complex will be a complementary and supporting land use which will be in harmony with the residential characteristics of an LMN neighborhood. An affordable housing project on 13.46 acres satisfies the intent just as well as a project that satisfies the exact letter of the code. Section 4.4(A) goes on to state: "The main purpose of the District is to meet a wide range of needs of every- day living in neighborhoods that include a variety of housing choices, that invite walking to gathering places, services and conveniences, and that are fully integrated into the larger community. " This affordable housing complex provides a variety in the housing choices of the neigh- borhood. The fact that the project is sited on a 13.46 acre parcel does not have any affect on the project's ability to satisfy this stated purpose. The requirement of adhering to the density identified in Section 4.4(D)(1)(b) would significantly undermine the ability of Redwood Housing Limited Partnership to meet its goal of providing an adequate number of affordable housing units due to project cost issues, We request because it provides a substantial supply of "affordable housing" to the Fort Collins community, the Planning and Zoning Board grant our request for modification to Section 4.4(D)(1)(b) of the Land Use Code. JUL.21 DEVELOPMENT GROUP 2.s Concorde Capital Corporation 1349 East Broad Street Columbus, Ohio 43205 Telephone (614) 253-9747 Facsimile (614) 253-9741 Judy 20, 1999 Mr. Bob Blanchard Current Plarning Director City of Fort Collins P.O. Box 580 Fort Collins, Colorado 80522-0580 Dear Mr. Blanchard, This letter is specifically intended to request a modification to the standard in Section 4.4(D)(1)(b) of the Land Use Code to allow an affordable housing project(at the density of 12 d.u. per gross acre) on 13.46 acres. This section of the code currently only allows affordable housing projects(at the density of 12 d.u. per gross acre) to be located on 10 acres or less. Section 4.4(D)(1)(b) of the Land Use Code states: "The maximum density of any development plan taken as a whole shall be eight(8) dwelling units per gross acre of residenrial land, except that affordable housingprojects(whether approvedpursuant to overall deve- lopmentplans) containing ten(]0) acres or less and located in the Infill Area may attain a maximum density, taken as a whole, of twelve(12) dwelling units per gross acre of residential land. The site is in the Infill Area and the buildings will be limited to six or fewer units per building. Justification We understand that in order to approve the Modification Request the Planning and Zoning Board must find that (a) the granting of the modification would neither be detrimental to the public good nor impair the intent and purposes of the Land Use Code, and (b) the granting of a modification from the strict application of any standard would result in a substantial benefit to the city by reason of the fact that the proposed project would substantially address an important community need specifically and expressly defined and described in the eity's Comprehensive plan, adopted policy, ordinance or resolution(sacb as, by way of example only, affordable housing or historic preservation) or would substantially alleviate an existing, defined and described problem of city-wide concern, and the strict application of such a standard would render the project practically infeasible. VICINITY MAP 07/15/99 Modification Request for SEC Conifer Street & Redwood Street 1"= 600'