Title
Bond Issuance Approval for Fairhaven Glen Apartments
Action
Action:
Adopt a resolution granting INLIVIAN’s request to issue new multi-family housing revenue bonds in an amount not to exceed $19,000,000, to finance the development of an affordable housing development known as Fairhaven Glen Apartments.
Body
Staff Resource(s):
Shawn Heath, Housing & Neighborhood Services
Warren Wooten, Housing & Neighborhood Services
Explanation
§ This action will not obligate the city financially or impact the Capital Investment Plan and is requested to satisfy Section 147(f) of the Internal Revenue Code of 1986, which requires the issuance of housing bonds to be approved by the local governmental unit with jurisdiction over the area where the development is located.
§ INLIVIAN is requesting that City Council adopt a resolution authorizing the issuance of new multi-family housing revenue bonds for Fairhaven Glen Apartments, a 140-unit new construction affordable housing development to be developed, owned, and operated by Fairhaven Glen, LLC, a North Carolina limited liability company (Developer), or an affiliated or related entity.
§ The development will be located on approximately 14.7 acres at 8329 Fairhaven Glen (parcel identification number 169-212-23) in Council District 3 and will serve households earning up to 80 percent of the Area Median Income (AMI) with income averaging at 60 percent of AMI for the entire development.
§ The INLIVIAN bonds, not to exceed $19,000,000, will be used to finance land acquisition and construction of the development.
§ This action further supports City Council’s April 26, 2021 and November 28, 2022 approval of $3,150,000 combined Housing Trust Fund and American Rescue Plan support.
Background
§ In conjunction with the Developer’s request for City Housing Trust Fund support, the Developer applied for four percent low-income housing tax credits and housing bond allocation capacity from the North Carolina Housing Finance Agency to help finance the land acquisition and construction of the development.
§ The North Carolina Housing Finance Agency approved a four percent tax credit and bond allocation capacity totaling $19,000,000 for the development. Tax credit and bond allocations are subject to federal income limits, set-aside rules, and include deed restrictions.
§ INLIVIAN, as a public housing authority, is duly authorized to issue housing bonds to finance developments that serve persons of low and moderate income, including developments in which it does not have a direct interest. The INLIVIAN board of directors approved the issuance of the multi-family housing revenue bonds on April 20, 2021.
Attachments
Attachment(s)
Map
City of Charlotte Resolution for Fairhaven Glen