Transcript cityofypsilanti.com

CHANGES TO PUBLIC HOUSING – PROPOSALS AND REQUESTS TO THE
CITY OF YPSILANTI
January 21, 2014
1. Overview of RAD program and Financing
• Change in Ownership
• Ownership structure
• Change in PILOT
2. Overview of Project Proposals – 2 projects
• Parkridge Homes demolition and redevelopment
• Scattered site housing rehabilitation
3. Process of City Council Approvals
• Tonight’s vote
• Second Reading
• Approval Contingencies
4.
Questions
RAD program
HUD began the Rental Assistance Demonstration (RAD) program in 2012.
•
As part of the program HUD will provide Project-based Section 8 vouchers
that will stay with the developments and guarantee rents
•
HUD will allow for Housing Commission properties that are part of this
program to transfer to private ownership.
•
Private ownership allows for private investment through Low-Income
Housing Tax Credits and regular bank loans
•
Change in ownership will require change in the PILOT
(who is responsible for paying and how long)
•
Ypsilanti Housing Commission
Current
City of Ypsilanti
Ypsilanti Housing
Commission
Ypsilanti Washtenaw
Housing Corp.
YHC Hamilton
Crossing, Inc.
Chesapeake
Subsidiary
Scattered Sites
Investor
Entity
Hamilton Crossing
LDHA Phase I
Limited Partnership
Investor
Entity
Parkridge
Chesapeake
Subsidiary
YHC Parkview,
Inc.
Revision Phase II
Limited Partnership
Proposed
YHC Parkview,
Inc.
C
I
Revision Phase
II Limited
Partnership
PURCHASE
Ypsilanti Housing
Commission
Ypsilanti Washtenaw
Housing Corp.
YHC Hamilton
Crossing, Inc.
C
I
Hamilton
Crossing
LDHA Phase I
Limited
Partnership
YHC-Strong
Future, LLC
C
I
Strong Future
LDHA Limited
Partnership
PILOT
PROPERTY TAXES
City of Ypsilanti
YHC-New
Parkridge, LLC
C
I
New Parkridge
LDHA Limited
Partnership
First of two proposals – Parkridge Homes
• Demolition of existing 80 units (20 block-style structures)
• Changes proposed to the street network
• Armstrong Drive connects to First Avenue
• Armstrong Court to connect west to First Court
• New residential units to orient to existing and proposed streets
• Majority of duplex/flat units, three 4-plexes and four townhomes
(row-houses).
First of two proposals – Parkridge Homes
First of two proposals – Parkridge Homes
Development Goals for 2014
Terms
•
Property option cost $10
•
Property to be purchased for $10
•
Related PILOT to be same as current – 10% of shelter rents (rents without water, sewer,
electric and gas utilities). Cable and phone service are not included.
•
Parcel would be split and right-of-way dedicated to the city at the point of property
transfer
•
Contingencies include:
– Acceptance into the RAD program (is preliminary at this time)
– Approval of LIHTC and other financing
Second of two proposals – Scattered Site
Development Goals for 2014
Second of two proposals – Scattered Site
Development Goals for 2014
• Rehabilitation of rest of Ypsilanti Housing Commission residential stock
•
Towner units to be combined reducing total by 6, to be absorbed by
Parkridge Homes project
118-124 S GROVE ST
936-960 W MICHIGAN AVE
711-745 TOWNER ST
314, 318 S ADAMS ST
111 and 113 BELL RD
610 and 614 FIRST AVE
881and 885 MADISON ST
719-733 MAUS AVE
951 and 955 MADISON ST
1004-1016 MONROE ST
425 and 427 S WASHINGTON ST
101 -109 Bell Rd
Parcel ID:
Parcel ID:
Parcel ID:
Parcel ID:
Parcel ID:
Parcel ID:
Parcel ID:
Parcel ID:
Parcel ID:
Parcel ID:
Parcel ID:
Parcel ID:
11-11-09-170-023 (Hollow Creek)
11-11-39-145-029 (Paradise Manor)
11-11-10-267-003
11-11-39-414-005
11-11-37-100-001
11-11-37-202-001
11-11-37-152-010
11-11-10-355-037
11-11-37-153-007
11-11-37-201-001
11-11-39-481-010
11-11-39-484-001
Second of two proposals – Scattered Site
Development Goals for 2014
Terms
•
Property option for $10
•
Property to be purchased for $980,000 to be repaid through a long-term promissory note
with an interest rate of 2 % with a 30-year term.
•
Related PILOT to be same as current – 10% of shelter rents (rents without water, sewer,
electric and gas utilities). Cable and phone service are not included.
•
Contingencies include:
– Acceptance into the RAD program (is preliminary at this time)
– Approval of LIHTC and other financing
Questions?