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Minutes 05/28/1996
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Minutes 05/28/1996
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City Council
City Council - Type
Adopted Minutes
City Council - Date
5/28/1996
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t <br /> May ~8~ 1996 <br /> <br /> "In 1983, the purchaser of a 240-unit apartment complex <br />in Virginia Beach~reqUested Portsmouth RedeVelopment and <br />Housing Authority participation in order to obtain tax-exempt <br />revenue financing. The request was made of PRHA because <br />Virginia Beach does not have a housing authority. The <br />financing which was requested at that time was duly issued. <br />The apartment complex is known as Mansards Apartments and is <br />located at the intersection of Northampton Boulevard and <br />Shell Road. <br /> <br /> The apartment owner now seeks to refinance, and PRHA <br />participation is again requested in order to obtain <br />tax-exempt status. Under applicable federal law, Council <br />approval is also required. <br /> <br /> The financing involves only revenue bonds. Neither the <br />full faith and credit nor the moral obligation of either PRHA <br />or the City is at risk. PRHA will receive a quarter of one <br />per cent of the amount financed, or $15,000, for this <br />transaction. The amount financed will be approximately <br />$6,000,000.' <br /> <br /> I, therefore, recommend adoption of this resolution." <br /> <br />Louis Whitehead, 4415 County Street, question why developer <br />chose Portsmouth as sponsor to refund bonds. <br /> <br /> Motion by Mr. Griffin, and seconded by Mr. Pitts, <br />call for the question, and was adopted by a vote of <br />6-1(Clemons). <br /> <br />to <br /> <br /> Motion by Mr. Hawks, and seconded by Mr. Griffin, <br />adopt the following resolution, and was adopted by the <br />following vote: <br /> <br />to <br /> <br /> "A RESOLUTION APPROVING THE ISSUANCE BY THE PORTSMOUTH <br />REDEVELOPMENT AND HOUSING AUTHORITY OF ITS RENTAL HOUSING <br />MORTGAGE REVENUE REFUNDING BONDS FOR AND ON BEHALF OF <br />MANSARDS ASSOCIATES, FOR THE PURPOSE OF REFINANCING THE <br />ACQUISITION OF A MULTI-FAMILY RESIDENTIAL RENTAL FACILITY, <br />KNOWN AS MANSARDS APARTMENTS, LOCATED IN THE CITY OF VIRGINIA <br />BEACH, VIRGINIA. <br /> <br /> WHEREAS, the Portsmouth Redevelopment and Housing <br />Authority (the "Authority") has been requested by Mansards <br />Associates, a Virginia limited partnership (the "Applicant"), <br />to issue the Authority's Rental Housing Mortgage Revenue <br />Refunding Bonds in a principal amount not to exceed <br />$6,000,000 (the "Bonds") to refund the outstanding balance of <br />the Authority's Housing Revenue Notes (Mansards Associates <br />Project), Series 1983 to finance the Applicant's acquisition <br />of a 240-unit multi-family residential rental facility, known <br />as Mansards Apartments, located between Shell Road and <br />Northampton Boulevard at 1501 Kindly Lane (the "Project"), in <br />the City of Virginia Beach, Virginia, and has held a public <br />hearing thereon on May 7, 1996; and <br /> <br /> WHEREAS, the Authority has requested the City Council <br />(the "Council"} of the City of Portsmouth, Virginia (the <br />"City") to approve the issuance of the Bonds to comply with <br />Section 147(f) of the Internal Revenue Code of 1986, as <br />amended (the "Code"} applicable to the issuance of tax-exempt <br />bonds; and <br /> <br /> WHEREAS, a copy of the Authority's resolution approving <br />the issuance of the Bonds, subject to terms to be agreed <br />upon, and a record of the public hearing with respect to the <br />issuance of the Bonds to refinance the Project have been <br />filed with the Council. <br /> <br /> <br />
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