HomeMy WebLinkAboutattachments no. 1 and 2Attachment No. 1
TEFRA Public Hearing and Resolution Approving for Park Villas Apartments Bond Issuance
The City Council is being asked to adopt a resolution which would approve the issuance
of multifamily housing revenue bonds by the California Statewide Communities Development
Authority ("CSCDA") for the purpose of financing the acquisition and rehabilitation of a
multifamily residential housing complex known as Park Villas Apartments located in National
City (the "Project"). The purpose of the resolution is to allow the financing to meet a
requirement of the Internal Revenue Code of 1986. The adoption of this resolution is the first
step in the process of financing the Project. Prior to the issuance of bonds the Project will need
to receive a "private activity bond" allocation from the California Debt Limit Allocation
Committee and CSCDA will be required to adopt a resolution which would approve the
execution and delivery of certain bond documents that would reflect the terms of the bonds.
The Internal Revenue Code of 1986 (the "Code") requires that the "applicable elected
representatives" of the jurisdiction in which a project to be financed with "private activity bonds"
is situated adopt a resolution approving the issuance of such "private activity bonds" after
holding a public hearing which has been noticed in a newspaper of general circulation in such
jurisdiction. The City Council is being asked to hold such public hearing which has been
noticed as required by the Code. The proposed resolution would act as the approval by the
"applicable elected representatives" with respect to the proposed financing for the Project. The
CDLAC application for "private activity bond" allocation for a multifamily housing project
requires the inclusion of the approval resolution. If the City Council adopts this resolution,
CSCDA will proceed with the submission to CDLAC of an application for "private activity bond"
allocation for the purpose of financing the acquisition and rehabilitation of the Project.
The Project was built in 1973 and is a 268 unit property located in National City, is
comprised of 172 two bedroom, one bathroom units and 96 three bedroom, two bathroom units
for low-income tenants. The project is garden style and has 34 two-story buildings with gated
access, a large leasing office/community room, onsite laundry facilities, a swimming pool, open
picnic area and several tot -lots for children. In 1998 the property underwent a major
rehabilitation. A further comprehensive renovation is now proposed which will address the
entire property and which will include but not be limited to upgrades to the kitchens,
bathrooms, new flooring, new appliances, asphalt repairs, new tot lots, roof replacement, and
exterior paint.
As announced in the published notice, this hearing is simply an opportunity for all
interested persons to speak or to submit written comments concerning the proposal to issue
the debt and the nature or location of the Project. There is no obligation on the part of the City
Council to respond to any specific comments made or submitted. The City would not be a party
to the financing documents. As set forth in Section 9 of the Amended and Restated Joint
Exercise of Powers Agreement of CSCDA, the debt would not be secured by any form of
taxation, or by any obligation of either the City or CSCDA. Neither would the debt represent or
constitute a general obligation of either the City or CSCDA. Pursuant to the governing
California statutes and the JPA Agreement, a member of CSCDA is not responsible for the
repayment of obligations incurred by CSCDA. The debt would be payable solely from amounts
received pursuant to the terms and provisions of financing agreements to be executed by the
Developer of the proposed facility. In the financing documents the Developer will also provide
comprehensive indemnification to CSCDA and its members, including the City.
The City's membership in the Authority bears with it no cost or other financing
obligation, but serves as a public acknowledgement by the host jurisdiction of the Project
financing.
Attachment No. 2
CALIFORNIA
COMMUNITIES@
jDINT r. IRS AI"•TI r IIT5'
I9Irli4I J {',} IltrLwiJd{ jrarxeaiiu, ifj Lord Ca;trrnlnrOrr Noire l N•
Housing Bond Application
APPLICANT INFORMATION
Application Number:
Name of Developer:
Primary Contact:
Title:
Address:
Telephone Number:
Fax Number:
E-mail:
2012077
Pacific Housing, Inc
Mark Wiese
President
2115 J Street, Suite 201
Sacramento, CA 95816
(916) 638-5200 Ext. 207
(916) 325-1204
logancapital@gmail.com
BORROWER DESCRIPTION
Type of Entity: r For -profit Corporation
E Municipality r Partnership
F Other (specify): Limited Partnership
For Non -profits only: Will you be applying for State Volume Cap? Yes
Name of Borrowing Entity: TBD
Date Established: TBD
Number of Multi -Family Housing Projects Completed in the Last 10 Years: 10
Number of Low Income Multi -Family Housing Projects Completed in the Last 10 Years: 10
E Non-profit Corporation
PRINCIPAL FINANCE TEAM INFORMATION
Firm:
Contact:
Address:
Telephone:
Fax:
E-mail:
UNDERWRITER/PLACEMENT AGENT
Dougherty & Dougherty
Paul Weissman
90 S. 7th Street, Suite 4300
Minneapolis, MN 55402
(303) 504-6239
(612) 317-2125
pweissman@doughertymarkets.com
Firm:
Contact:
Address:
Telephone:
Fax:
E-mail:
BOND COUNSEL
Orrick, Herrington & Sutcliffe LLP
Tom Downey
405 Howard Street
San Francisco, CA 94105
(415) 773-5965
(415) 773-5759
tdowney@orrick.com
California Communities® www.cacommunities.org
Page 1 of 5
Application Number: 2012077 - Park Villas Apartments
Name of Borrower: Pacific Housing, Inc
PROJECT DESCRIPTION
Attachment No. 2
Current Project Name: Park Villas Apartments
New Project Name:
Project Street Address: 817 Eta Street
City: National City State: CA Zip Code: 91915
County: San Diego
Is Project located in unincorporated part of the County? No
Total Number of Units: Market: 0 Restricted: 268 Total Units: 268
Lot Size: 13.49 acres
Amenities: Property has Swimming Pool, Playground, BBQ/Picnic area, Laundry Rooms, Gated Access. Units have,
AC, Dishwasher, Walk -In Closets, Linen Closet and Pantry
Type of Construction (i.e., Wood Frame, 2 Story, 10 Buildings): Concrete Foundation, Wood Frame, 2 Story, 34
Buildings
Type of Housing: I- New Construction Fir Family
Acq/Rehab fl Senior Is this an Assisted Living Facility?
City or county contact information:
Contact Name:
Title:
Phone Number:
Fax Number:
E-mail:
Ext.
PUBLIC BENEFIT
Percentage of Units in Low Income Housing: 100%
Percentage of Area Median Income(AMI) for Low Income Housing Units: 10% at 50%, 90% at 60%
Total Number of Management Units: 1
# of
Restricted Restricted Market Expected
Unit Size AMI Units Rent Rent Savings
2 Bedrooms 50 18 $928 $1,406 $478
2 Bedrooms 60 54 $981 $1,406 $425
2 Bedrooms 60 100 $987 $1,406 $419
3 Bedrooms 50 10 $1,032 $1,999 $967
3 Bedrooms 60 28 $1,135 $1,999 $864
3 Bedrooms 60 58 $1,135 $1,999 $864
Remarks:
California Communities® www.cacommunities.org
Page 2 of 5
Application Number: 2012077 - Park Villas Apartments
Name of Borrower: Pacific Housing, Inc
OTHER PUBLIC BENEFIT
Attachment No. 2
SERVICES PROVIDED
High-speed Internet service in each affordable unit of an on -going nature for a minimum of 10 years.
fl After school program of an on going nature for the minimum of 10 years.
F Educational classes (which are not the same as the after school program) for a minimum of 10 years.
1— Licensed childcare providing 20 hours or more per week(Monday through Friday) to residents of the development.
1— Contract for services, such as assistance with the daily living activities, or provision of senior counseling services.
ENVIRONMENT
Energy
Does the facility exceed Title 24 Standards? fl Yes F No fl N/A
If Yes, by what percent?
Does the facility have solar(PV) panels? 17 Yes r No r N/A
If Yes, what is the size in kWh? 464.40
Does the facility purchase carbon credits? fl Yes 17 No fl N/A
If Yes, what is the annual consumption?
Water
Does the facility provide any of the following:
Efficient Toilets? ' Yes P No r N/A
Water -saving showerheads? I— Yes P No fl N/A
Drought tolerant landscaping? 1— Yes P No 1— N/A
Other, specify:
Transportation
Does the entity provide carpooling or mass -transit subsidies? 1— Yes 17 No 1— N/A
Does the entity maintain a fuel efficient fleet? fl Yes Fr No I— N/A
Waste
Does the project provide recycling facilities? r Yes Pr No r N/A
WORKFORCE
Employment Creation
During Post
Job Type/Description Construction Construction
None 0 0
GOVERNMENTAL INFORMATION
Congressional District #
State Senate District # State Assembly District #
40 78
California Communities® www.cacommunities.org
Page 3 of 5
Application Number: 2012077 - Park Villas Apartments
Name of Borrower: Pacific Housing, Inc
FINANCING STRUCTURE
Attachment No. 2
Type of Financing: Public Sale [ Private Placement [ Refunding
For Refundings only: Will you be applying for State Volume Cap? No
For Refundings only: Is this a transfer of property to a new owner?
Maturity: 40 Years Interest Rate Mode:
CONSTRUCTION FINANCING:
Credit Enhancement:
- N• one
▪ FNMA(Fannie Mae)
- B• ond Insurance
R
Fixed
Letter of Credit
• Freddie Mac
Fr Other (specify): FHA insured
Name of Credit Enhancement Provider or Private Placement Purchaser: FHA Insured
PERMANENT FINANCING:
Credit Enhancement: fl None
I Letter of Credit
▪ FNMA(Fannie Mae) Fr Freddie Mac
- B• ond Insurance Fr Other (specify): FHA Insured
Name of Credit Enhancement Provider or Private Placement Purchaser: FHA isured
Expected Rating: Fr Unrated
I— Moody's
Projected State Allocation Pool: Fr
S&P
Fitch
General I— Mixed Income r Rural
Will the project use Tax -Credit as a souce of funding?: Yes
11— Variable
SOURCES & USES
CONSTRUCTION SOURCES
Tax -Exempt Bond Proceeds:
Taxable Bond Proceeds:
Tax Credits:
Developer Equity:
Other Funds(Describe):
Developer Fee
TOTAL:
USES
$28,000,000 Land Acquisition:
Building Acquisition:
$11,772,000 Construction or Remodel:
Cost of Issuance:
Capitalized Interest:
$648,443 Reserves:
Other Funds(Describe):
$40,420,443
Developer Fee
TOTAL:
$2,710,000
$24,390,000
$8,130,016
$1,356,148
$620,000
$714,279
$2,500,000
$40,420,443
California Communities® www.cacommunities.org
Page 4 of 5
Application Number: 2012077 - Park Villas Apartments
Name of Borrower: Pacific Housing, Inc
PRINCIPAL FINANCE TEAM INFORMATION (continued)
Attachment No. 2
FINANCIAL ADVISOR REBATE ANALYST
Firm: N/A
Contact:
Address:
Telephone:
Fax:
E-mail:
Firm: TBD
Contact:
Address:
Telephone:
Fax:
E-mail:
ADDITIONAL REQUIREMENT
Please provide the following as an additional attachment:
Attachment Description of Information
A $5,000 non-refundable* issuance fee deposit payable to "California Communities.".
*Refundable only if financing not approved.
MAILING ADDRESS
California Communities®
2033 N. Main St., Suite 700
Walnut Creek, CA 94596
California Communities® www.cacommunities.org Page 5 of 5