Title
Bond Issuance Confirmation for Midland Commons Apartments
Action
Action:
Adopt a resolution confirming the September 23, 2019, resolution granting INLIVIAN’s request to issue multi-family housing revenue bonds, in an amount not to exceed $3,246,000, to finance the acquisition and rehabilitation of Midland Commons Apartments
Body
Staff Resource(s):
Pamela Wideman, Housing and 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 Service Code of 1986.
§ This action confirms City Council’s prior adoption of a resolution on September 23, 2019, authorizing INLIVIAN to issue multi-family housing revenue bonds for Midland Commons Apartments, a 60-unit existing affordable housing development, to be owned, rehabilitated, and operated by National Church Residences. The development is located at 2457 Midland Avenue in Council District 3.
§ The developer’s financing from the U.S. Department of Housing and Urban Development (HUD) has been delayed due to the pandemic. As a result, INLIVIAN’s issuance of multi-family housing revenue bonds has also been delayed. Pursuant to the federal tax code, if a developer does not close on multi-family housing revenue bonds within a year of the original resolution’s adoption, the local governmental unit with jurisdiction over the area where the development is located must confirm its original resolution.
§ The INLIVIAN bonds, which are not to exceed $3,246,000, will be used to finance acquisition and rehabilitation of the development.
§ There is no Housing Trust Fund allocation or other city financial support affiliated with this development or the approval of this bond issuance.
Background
§ The developer applied for four percent low income housing tax credits and housing bond allocation capacity from the North Carolina Housing Finance Agency, as well as funding from HUD, to finance the acquisition and rehabilitation of the development.
§ The North Carolina Housing Finance Agency approved the application pursuant to its Qualified Allocation Plan, and awarded the requested four percent tax credits and bond allocation capacity totaling $3,246,000 for the development. Tax credit and bond allocations are subject to federal income limits and set-aside rules, and include deed restrictions.
§ INLIVIAN, as a public housing authority, is duly authorized to issue multi-family housing revenue bonds to finance developments that serve persons of low- and moderate- income, including developments in which it does not have a direct interest.
Attachments
Attachment(s)
City of Charlotte Confirmation Resolution