Title
RESOLUTION OF INTENT TO SUPPORT THE REQUEST BY CENTER CITY HOUSING CORPORATION FOR THE AWARD OF LOW-INCOME HOUSING TAX CREDITS FOR GARFIELD SQUARE APARMENTS.
Body
CITY PROPOSAL:
RESOLVED, that the Duluth city council hereby expresses its support for Center City Housing for the award of low-income housing tax credits for the development of Garfield Square Apartments.
Statement of Purpose
STATEMENT OF PURPOSE: This resolution expresses the city council’s support of an application to be submitted to the Minnesota Housing Finance Agency (MHFA) by Center City Housing Corp. for low-income housing tax credits awarded by MHFA for the proposed Garfield Square Apartments. The deadline for the submission of the application is June 16, 2016. The request is for an estimated $10,447,063 from MHFA, who may award tax credits only or a mix of tax credits and bond funding. Total cost for the entire project is estimated at $11,434,563. MHFA intends to finalize their funding decisions in October, 2016.
The newly constructed Garfield Square Apartments will provide more supportive housing options for persons with disabilities, including current residents of the Esmond building (formerly Seaway Hotel) located at 2100 West Superior Street. This new housing is phase II of the Seaway Renovation plan as presented to the Minnesotate Housing Finance Agency. Owned by the Duluth HRA, and managed by Center City Housing, plans call for the Esmond building to be renovated to include commercial uses on the street level, with reconfigured workforce rental units on the upper floors. The Lincoln Park Business Group is very supportive of the transformation of the Esmond into a mixed use building. The revitalization of this area of Lincoln Park (which includes the renovation of the Esmond building and the relocation of tenants to more appropriate and supportive housing) was part of the discussions held by the many neighborhood residents and business owners that participating in the creation of the recently completed Lincoln Park Small Area Plan. The construction of Garfield Square and renovation of the Esmond building will contribute to meeting the goals of the Plan.
Located at the intersection of Garfield, Piedmont and West Superior Street, the Garfield Square Apartments will serve very low income households. Of the proposed fifty (50) one-bedroom apartments, twenty-five (25) will be initially occupied by people who meet MHFA’s definition of Long Term Homeless. It is expected that residents will need and desire services in conjunction with their housing. The service plan includes a front desk that is staffed around the clock, as well as case managers to work with and refer tenants to services such as income stabilization, benefits assistance, job counseling and access to medical care.
MHFA requires developers that submit applications for housing developments in Duluth to receive the support of the city council, with the finding that Garfield Square Apartments is a priority for the City of Duluth, and that it meets a locally identified housing need. Development of supportive housing for homeless and “hard to house” persons has been an identified need in the FY 2015-2019 Consolidated Plan and the Ten Year Plan to End Homelessness.