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February_ 11. 1997 <br /> <br /> BE IT RESOLVED by the Council of the City of Portsmouth, Virginia, that the <br />City Manager be, and he is hereby authorized to release and vacate public utilities <br />easements, or any portion of said easements, in the areas of Beech Road, West <br />Road (the eastern portion), Glasgow Street, Street within Atlantic Coast Line right-of- <br />way, West Road (western portion) and Myrtle. Road, East Road, Cedar Way, Branch <br />Road and Unnamed Streets under such terms and conditions as the City Manager <br />shal~ deem to be in the best interest of the City of Portsmouth." <br /> <br />Ayes: Benn, Clemons, Griffin, Martin, Pitts, Robinett, Holley <br />Nays: None <br /> <br />97 - 44 - Resolution approving ~ssuance by Portsmouth Redevelopment and <br />Housing Authority of multi-family rental housing revenue bonds for Lee Hall Limited <br />Partnership. <br /> <br />Recommendation: <br /> <br />Adoption of a resolution authorizing the Portsmouth Redevelopment and Housing <br />Authority to issue Industrial Revenue Bonds in order for the owners of Lee Hall <br />Apartments to refund PRHA's 1984 bond issue and to make capital <br />improvements. <br /> <br />Pur~ and Need: <br /> <br />Lee Hall Limited Partnership has requested the Portsmouth Redevelopment and <br />Housing Authority to issue $6,050,000 in Multi-Family Rental Housing Revenue <br />Bonds for the refunding of PRHA's 1984 bond issue and renovation of Lee Hall <br />Apartments. <br /> <br />· The proceeds of the bonds would be used to assist in financing the acquisition <br /> and rehabilitation of the 250 unit complex located at 957B Suburban Parkway. <br /> <br />At least 40% of the housing units would be occupied by tenants earning no more <br />than 60% of the region's median income. The expectation is that 100% of the <br />units Would be rented to qualifying tenants. <br /> <br />PRHA has held a public hearing on this matter and has adopted an inducement <br />resolution which provides that, subject to final approval by the City Council, <br />expenses incurred after the date of PRHA's resolution would be reimbursed from <br />the bond proceeds. <br /> <br />· The developers will also request a federal Iow income housing tax credit <br /> allocation from the Virginia HOUsing Development Authority for the renovation. <br /> <br />The owners commit to use the proceeds of the bond issue and the tax credits to <br />make a re-investment in each of the 250 apartment units of approximately <br />$14,470 per unit, for a total modernization investment of $3,617,500. <br /> <br />· The owners have committed to an extensive landscape treatment of the site. <br /> <br />The owners, as part of the Land Use Restriction Agreement, will agree at all <br />times to maintain the project in good condition and repair and in neat <br />appearance. <br /> <br />WithOut owner access to this financial source, the present Lee Hall Apartment <br />complex is uneconomical to operate in a quality operation and it will continue to <br />deteriorate. <br /> <br />Improvement in the quality of the units at the Lee Hall Apartments will provide an <br />important source of improved decent affordable housing in the city at a time when <br />other Iow and moderate income housing has been removed from the market, <br /> <br /> <br />