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April 24~ 1984
<br />
<br /> 84-136 Letter
<br />the submission of an
<br />
<br />from the City Manager recommending adoptmon of a resolution to support
<br />Urban Development Action Grant for the construction of a 62-unit motel.
<br />
<br /> "I.T.D. Associates, a Virginia General Partnership, has requested assistance through an
<br />Urban Development Action Grant for the construction of a 62-unit motel in Portsmouth. The
<br />project, which will be located au 1031 London Boulevard, represents a significant investment
<br />of approximately $1.8 million in the Enterprise Zone.
<br />
<br /> The project will create at least 30 temporary construction jobs, and 8 full-time and 8
<br />part-time positions for the~management, and operation of the motel. The motel will cater to t~
<br />public and private hospitals, the shipyard, the middle-grade professionals, and family trade,
<br />which was sited as a need in a feasibility report by the firm Drucker ~ Falk. An additional
<br />benefit for the City includes the increased annual taxes to be received, estimated at $60,370
<br />
<br /> The project will be developed with $200,000 [n developer's equity, and $1~300,000 in debt
<br />financing. Of this amount, $1,038,000 will be secured through conventional financing and
<br />$262,000 will be secured through the Urban Development Action Grant. The grant funds will be
<br />used to purchase equipment items and fixtures, and will be paid back to the City over a 25
<br />year period at an annual interest rate of 7%. The loan repayment will be used to further
<br />Portsmouth's Community Development activities.
<br />
<br /> Application for the Urban Development Action Grant is due April 30, 1984.
<br />the approval efta resolution to support the submission of this application to
<br />of Housing and Urban Development."
<br />
<br /> I recommend
<br />the Department
<br />
<br /> On motion of Mrs. Webb and seconded by Mr. Gray, the following resolution was adopted,
<br />and by the following vote:
<br />
<br />"A RESOLUTION APPROVING THE APPLICATION FOR AN URBAN DEVELOPMENT ACTION GRANT
<br />FOR MOTEL CONSTRUCTION IN THE URBAN ENTERPRISE ZONE.
<br />
<br /> WHEREAS, under the Urban Development Action Grant
<br />able to designated Cities and Urban Counties which are
<br />to help stimulate economic development activity to aid
<br />
<br />Program, financial assistance is avail-
<br />experiencing severe economic distress
<br />in economic recovery; and
<br />
<br /> WHEREAS, the Governor has designated the High Street Corridor and surrounding neighbor-
<br />hoods as an Urban Enterprise Zone and has approved certain local and state incentives desig-
<br />nated to stimulate private investment and jobs in this economically depressed area; and
<br />
<br /> WHEREAS, the principals of LTD Associates, a Virginia General Partnership, have stated
<br />their intention to construct and operate a 62 unit motel at 1031 London Boulevard in the City
<br />of Portsmouth in the Enterprise Zone; and
<br />
<br /> WHEREAS, the projec~ can only procee~ with the incentives provided in the Enterprise Zone
<br />and with an Urban Development Action Grant of $262,000; and
<br />
<br /> WHEREAS, LTD Associates agrees to repay the loan over 25-years, at an annual interest rate
<br />of seven per cent (7%).
<br />
<br /> NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Portsmouth, Virginia, that
<br />the application for a $262,000 Urban Development Action Grant ms approved, and the City Manage~
<br />is hereby authorized to file the application and to provide additional information as may be
<br />required by the Department of Housing and Urban Development in order to obtain the grant.
<br />
<br /> BE IT FURTHER RESOLVED that the City Manager is the Certifying Officer and authorized
<br />Representative of the City of Portsmouth and shall provide assurances as required by the regu-
<br />lations of the Housing and Community Development Act of 1974, as amended, for the approval of
<br />this gran~."
<br />
<br />Ayes: Barnes, Beamer, Gray, Holley, Webb, Whitlow, Johansen
<br />Nays: None
<br />
<br /> 84-137 Letter from the City Manager recommending adoption of a resolution appointing
<br />viewers for the closing of a portion of Augusta Avenue between Clifford and Bart Streets.
<br />
<br /> "Mr. David B. Mason and Mrs. Linda G. Mason have made an application to close a portion
<br />of Augusta Avenue from its intersection with Clifford Street north to its intersectmon with
<br />Bart Street. As required by law, the applicants have given the appropriate notice of appli-
<br />cation.
<br />
<br /> The attached resolution, if approved by City Council, appoints the necessary viewers and
<br />requests their recommendation.
<br />
<br />I recommend adoption of the resolution."
<br />
<br /> On motion of Mr. Gray and seconded by Mr. Beamer, the following resolution was adopted,
<br />and by the following vote:
<br />
<br />"A RESOLUTION APPOINTING VIEWERS FOR CLOSING OF A PORTION OF AUGUSTA AVENUE.
<br />
<br /> WHEREAS, David B. Mason and Linda G. Mason have made application to ~acate, close and
<br />discontinue the hereinafter-described portion of Augusta Avenue, and it appearing that notice
<br />of application and request for the appointment of viewers was duly advertised as required by
<br />law.
<br />
<br />
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