Title
RESOLUTION AUTHORIZING AN OPTION AGREEMENT WITH CENTER CITY HOUSING CORPORATON RELATED TO AN AFFORDABLE HOUSING DEVELOPMENT IN THE RAMSEY NEIGHBORHOOD
Body
CITY PROPOSAL:
RESOLVED, by the Duluth Economic Development Authority ("DEDA") that the proper DEDA officials are hereby authorized to enter into an option agreement substantially in the form of that attached hereto as Exhibit A, with Center City Housing Corporation for the development of certain property in the Ramsey neighborhood for affordable housing, which property is described below, subject to the terms and conditions of a Development Agreement to be negotiated between the parties:
Lots 13 thru 18, Block 168, WEST DULUTH, 7TH DIVISION and
Lots 16 thru 28, Block 169, all in WEST DULUTH, 7TH DIVISION
Statement of Purpose
STATEMENT OF PURPOSE: The purpose of this resolution is to authorize an option agreement with Center City Housing Corporation (CCHC) for the development no less than 50 units of permanent supportive housing for homeless and at risk of homeless singles adults on DEDA-owned property on the upper side of Wadena Street between 52nd and 53rd Avenue West in the Ramsey neighborhood. Developer desires to apply to the Minnesota Housing Finance Agency (MHFA) for financing and Low-Income Housing Tax Credits (LIHTC) for the proposed project and to perform additional analysis of the property in order to determine whether the property can be feasibly developed.
Should CCHC decide to exercise this Option Agreement, CCHC will have the right to acquire the property for $125,000 to construct the project. The proposed development adheres to the neighborhood plan for the area and would fill a significant housing need in the community. As stated in the Agreement, CCHC's right to exercise their Option is subject to their receiving a LIHTC award from MHFA.
Tax Base Impact Statement: This property is presently vacant and publicly owned, and does not generate taxable value for the re...
Click here for full text