Title
Housing Trust Fund Support Request
Action
Action:
Approve one of the following option recommendations from Housing and Neighborhood Development Committee for acquisition and rehabilitation to the Sharon Oaks Apartments:
? Option A: $2,100,000 with a unit mix of:
* 20 units at 30 percent AMI (Area Median Income),
* 10 units at 50 percent AMI,
* 48 units at 60 percent AMI, and
* 20 units unrestricted with current rents at 60 percent AMI, or
? Option B: $1,850,000 with a unit mix of:
* 20 units at 30 percent AMI,
* 10 units at 50 percent AMI,
* 24 units at 60 percent AMI,
* 24 units at 80 percent AMI, and
* 20 units unrestricted with current rents at 60 percent AMI.
Body
Committee Chair:
LaWana Mayfield, Housing and Neighborhood Development
Staff Resource(s):
Pamela Wideman, Housing and Neighborhood Services
Miles Vaughn, Housing and Neighborhood Services
Explanation
* In August 2018, City Council adopted the Housing Charlotte Framework which recommends:
* Prioritizing large-scale Naturally Occurring Affordable Housing (NOAH) properties, and
* Establishing a preservation fund to subsidize acquisition of NOAH properties, which is noted as a national best practice for preserving existing affordable and workforce housing, throughout the country.
* Ascent Real Estate Capital and Laurel Street Residential are requesting a Housing Trust Fund (HTF) allocation for acquisition and rehabiliation of the Sharon Oaks Apartments, located at 4701 Arching Oak Lane, in City Council District 5.
* The total development budget is $9,400,000. The investment also includes a 15-year deed restriction for the preservation of units at two different proposed funding and unit mix options, which are:
Option A: $2,100,000 (1:3 leverage ratio) with a unit mix of:
* 20 units at 30 percent AMI,
* 10 units at 50 percent AMI,
* 48 units at 60 percent AMI, and
* 20 units unrestricted.
Option B: $1,850,000 (1:4 leverage ratio) with a unit mix of:
* 20 units at 30 percent AMI,
* 10 ...
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