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November 23, 2021
<br />
<br />WHEREAS
<br />, the Portsmouth Redevelopment and Housing Authority (the
<br />"Authority") has considered the request of MHV Preservation Partners LP, a Virginia
<br />limited partnership (the "Borrower") that the Authority issue up to $10,000,000 in original
<br />aggregate principal amount of its multifamily housing revenue bonds (the "Bonds") and
<br />loan the proceeds of the Bonds to the Borrower to finance or refinance all or a portion of
<br />(a) the cost of acquiring, constructing, renovating, rehabilitating and equipping a
<br />multifamily residential rental housing project for seniors consisting of 23 one-story
<br />residential buildings containing approximately 90 units representing approximately
<br />60,490 rentable square feet and one (1) community building known as Mt. Hermon Village
<br />Apartments (the "Project") located at 2400 Cutherell Street in the City of Portsmouth,
<br />Virginia (the "City"), and expected to be owned and used by the Borrower or a party
<br />related to the Borrower and (b) the costs incurred in connection with the issuance of the
<br />Bonds (collectively, the "Plan of Finance");
<br />
<br />WHEREAS
<br /> , the Project shall be established and maintained as a "qualified
<br />residential rental project" within the meaning of Section 142(d) of the Internal Revenue
<br />Code of 1986, as amended (the "Code");
<br />
<br />WHEREAS
<br /> , the Authority is empowered, pursuant to Virginia Housing Authorities
<br />Law, Chapter 1, Title 36 of the Code of Virginia of 1950, as amended (the "Act"), to issue
<br />its bonds for the purpose, among others, of financing the acquisition, construction,
<br />renovation, rehabilitation and equipping of multifamily residential rental apartment
<br />projects such as the Project, located within the City;
<br />
<br />WHEREAS
<br /> , Section 147(f) of the Code, provides that the applicable elected
<br />representatives of the governmental unit having jurisdiction over the issuer of private
<br />activity bonds must approve the issuance of the bonds;
<br />
<br />WHEREAS
<br /> , the Authority, as the issuing governmental unit with respect to the
<br />Bonds, has no applicable elected representative, the City constitutes the next highest
<br />governmental unit with such a representative, and the members of the City Council of the
<br />City (the "Council") constitute the applicable elected representatives of the City;
<br />
<br />WHEREAS
<br />, at the request of the Borrower, the Authority (a) adopted a resolution
<br />on November 19, 2020 (the "Inducement Resolution"), providing preliminary approval of
<br />the issuance of the Bonds and (b) held a public hearing on November 19, 2020, in
<br />accordance with the Act and Section 15.2-4906 of the Code of Virginia of 1950, as
<br />amended (the "Virginia Code"), as applicable to housing authorities, and as required by
<br />Section 147(f) of the Code;
<br />WHEREAS,
<br /> by resolution adopted on January 12, 2021 by the Council, public
<br />approval of the issuance of the Bonds was obtained as required by Section 147(f) of the
<br />Code and Section 15.2-4906 of the Virginia Code, as applicable to housing authorities;
<br />WHEREAS
<br />, upon the expiration of one year from the date of such public approval,
<br />the Code and the regulations of the U.S. Department of the Treasury promulgated
<br />thereunder, require a subsequent public hearing be held and public approval be obtained;
<br />WHEREAS
<br />, on November 18, 2021, (1) such subsequent public hearing with
<br />respect to the Plan of Finance and the Bonds was held by the Authority in accordance
<br />with Section 147(f) of the Code and Section 15.2-4906 of the Virginia Code, as applicable
<br />to housing authorities and (2) the Authority adopted a resolution confirming its
<br />authorization of the Bonds;
<br />WHEREAS
<br /> , the Authority has recommended that the Council approve the
<br />issuance of the Bonds; and
<br />
<br />WHEREAS
<br /> , a copy of the Authority's resolution authorizing the issuance of the
<br />Bonds, subject to the terms to be agreed upon, a Fiscal Impact Statement complying with
<br />the requirements of Section 15.2-4907 of the Virginia Code, as applicable to housing
<br />authorities, and a certificate of the public hearing have been filed with the Council.
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