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File #: 25-0619R    Name:
Type: Resolution Status: Agenda Ready
File created: 7/22/2025 In control: Planning and Economic Development
On agenda: 7/28/2025 Final action:
Enactment date: Enactment #:
Title: RESOLUTION AUTHORIZING THE CITY TO ENTER INTO AN AMENDED AND RESTATED MASTER SUBORDINATION AGREEMENT AND ESTOPPEL CERTIFICATE.
Attachments: 1. MSA - Nw Sn Mrc v.1_ss, 2. Cover Memo - New San Marco
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Title

RESOLUTION AUTHORIZING THE CITY TO ENTER INTO AN AMENDED AND RESTATED MASTER SUBORDINATION AGREEMENT AND ESTOPPEL CERTIFICATE.

 

Body

CITY PROPOSAL:

RESOLVED, that the proper city officials are hereby authorized to enter into an amended and restated master subordination agreement and estoppel certificate, substantially in the form of the attached Exhibit A, with CC San Marco, LLC, the Minnesota Housing Finance Agency, and Greater Minnesota Housing Fund, regarding the New San Marco project.

 

Statement of Purpose

STATEMENT OF PURPOSE:  The purpose of this resolution is to authorize an amended and restated master subordination agreement and estoppel certificate setting forth the priority of liens and declarations of restrictive covenants with respect to the New San Marco as follows:

 

HUD Supportive Housing Grant Program Declaration

$10,998,000 MHFA Housing Infrastructure Loan

$200,000 City of Duluth CDBG Loan

MHFA HOME Declaration

$300,000 GMHF Loan

$50,000City of Duluth HIF Loan

$123,346 City of Duluth HOME Loan

$94,125 City of Duluth HOME Loan

$200,255 City of Duluth HOME Loan

 

The Center City and CC San Marco LLC have worked with the Minnesota Housing Finance Agency to finance the rehabilitation of the New San Marco apartments.