Title
Bond Issuance Approval for Union at Tryon
Action
Action:
Adopt a resolution granting INLIVIAN’s request to issue new multi-family housing revenue bonds, in an amount not to exceed $5,000,000, to finance the development of an affordable housing development known as Union at Tryon.
Body
Staff Resource(s):
Rebecca Hefner, Housing & Neighborhood Services
Warren Wooten, Housing & Neighborhood Services
Explanation
§ This action does not obligate the city financially or impact the Capital Investment Plan and is requested to satisfy Section 147(f) of the Internal Revenue Service 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 Union at Tryon, a 200-unit new construction multi-family affordable housing development to be developed, owned, and operated by Union at Tryon, LP, an Indiana limited partnership, or an affiliated or related entity.
§ The development is located on approximately 7.52 acres at Hampton Church Road and Shopping Center Drive (parcel identification number 049-401-06) in Council District 4 and will serve households earning 60 percent and below the Area Median Income. The development is currently under construction and is projected to be completed in early 2025.
§ The new INLIVIAN bonds, not to exceed $5,000,000, will be used to finance the construction of the development.
§ This action further supports City Council’s April 24, 2023 approval of $3,800,000 Housing Trust Fund gap financing support.
Background
§ The developer applied for four percent low-income housing tax credits and a housing bond allocation capacity from the North Carolina Housing Finance Agency (NCHFA) to finance the land acquisition and construction of the development. Tax credit and bond allocations are subject to federal income limits and set-aside rules and include deed restrictions.
§ The NCHFA approved the four percent tax credits and an original bond allocation capacity totaling $20,800,000 for the development. City Council approved INLIVIAN’s initial $20,800,000 bond issuance on June 13, 2022.
§ Due to cost escalations, the developer applied for a $3,800,000 Housing Trust Fund allocation in 2023, and an additional $5,000,000 bond allocation from the NCHFA which has been approved by the NCHFA.
§ 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 new multi-family housing revenue bonds on February 21, 2023.
Attachments
Attachment(s)
City of Charlotte Resolution - Union at Tryon
Map