Minutes 02/22/2000 - Laserfiche WebLink

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Februar~ 22, 2000 - New Business - 00 - 44 - Boards and Commissions There were no appointments. 00 - 45 - Items Submitted by City Council > Adoption of resolution for Yorkshire Square Townhouse Apartment - Revenue Bonds: Motion by Mr. Pitts, and seconded by Mr. Whitehurst, to adopt the following resolution, and was adopted by the following vote: Recommendation: · Adoption of a resolution approving the issuance of multi-family housing revenue bonds for the purchase and renovation of Yorkshire Square Townhouse Apartments. Purpose and Need: · YS Portsmouth Limited Partnership, a Virginia Limited Partnership, intends to purchase and renovate Yorkshire Square Townhouse Apartments, a 160 unit apartment project located at 840 Lancer Drive and Yorkshire Drive. The developer proposes to use multi-family revenue bonds issued by the Portsmouth Redevelopment and Housing Authority (PRHA) under provisions of the U.S. Internal Revenue Code and the Code of Virginia. The amount of the bonds that would be issued is not expected to exceed $7.5 million. · In a project with this type of financing, the PRHA is the lead local agency. However, City Council approval is required. The Authority recommends City Council approval of the issuance of the bonds. · Out of the total project cost, the developer is committed to investing approximately $1.28 million in exterior and interior renovations, an average of $8,000 per unit. · The rental rates charged for the renovated units will be based on the Area Median Income (AMI) and rents will be set to target families and individuals earning 60% of the AMI. Current rental rates would be maintained through the renovation period and then increased $20 per unit per month as market conditions allowed. Some units in the complex are currently vacant. They would be renovated first and current residents would be offered the opportunity to relocate to the renovated units. · The developer has established a satisfactory record in undertaking the purchase and renovation of the former Lee Hall (now Marsh Landing) and Churchland North apartment complexes. · In cooperation with the developer, City and PRHA staffs have reviewed the proposed project. As a result, the developer has agreed to a number of actions that will be incorporated in the overall plan of renovation. These will help assure the quality and longevity of the project. · With the incorporation of these actions, staff believes that the reinvestment in the Yorkshire Square Townhouse Apartments will benefit present and prospective residents, the surrounding neighborhoods and the larger community. Financial Impact: · The City does not incur any financial liability for any aspect of the proposed project.