Title
Vote on a request to approve the attached loan commitment letters for Henry Siler School affordable rental housing project.
Abstract
Action Requested:
Vote on a request to approve the attached loan commitment letters for Henry Siler School affordable rental housing project.
Introduction & Background:
On January 16, 2018, the Board of Commissioners approved the Purchase Contract for Henry Siler School. Part of that contract called for the county to provide a $120,000 loan to the developers for the project.
Discussion & Analysis:
The attached letters detail the county’s commitment to provide the loan for the project. Two letters are requested. Appendix E is precisely written in the format required by the NC Housing Finance Agency, which will consider whether to award the project Low Income Housing Tax Credits. The second letter is more detailed and would be used for other lenders if the project receives tax credits.
How does this relate to the Comprehensive Plan:
The plan calls for strategies to incentivize Affordable Housing. The loan provides an incentive to the developer of affordable rental housing.
Budgetary Impact:
$120,000 (will be needed in FY 2019).
Recommendation:
Approve the attached loan commitment letters for Henry Siler School affordable rental housing project.