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CITY OF HOUSTON - CITY COUNCIL
Meeting Date: 11/9/2021
District D
Item Creation Date: 9/10/2021
HCD21-98 The Berry Center (Small Rental)
Agenda Item#: 13.
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| | | | | | | | Summary:
ORDINANCE approving and authorizing a Performance-Based Loan of 2017 Community Development Block Grant Disaster Recovery Program Funds by City of Houston under its Small Rental Program to HEART OF HOUSTON COMMUNITY DEVELOPMENT CORPORATION, in the amount of $1,345,765.00, as evidenced by a Promissory Note, Loan Agreement, and other related documents, to assist with financing of CDBG eligible costs, both direct and indirect, of the construction, acquisition, rehabilitation, or reconstruction of six units of rental housing - DISTRICT D - EVANS-SHABAZZ |
| | | | | | | | Background:
The Housing and Community Development Department (HCDD) recommends Council approval of an Ordinance authorizing a Loan Agreement between the City of Houston (City) and Heart of Houston CDC, to provide $1,345,765.00 of Community Development Block Grant- Disaster Recovery 2017 (CDBG-DR17) funds towards land acquisition and development costs of the Berry Center, to be located at 3903 and 3907 Aledo and 4002 Elmwood, Houston, TX 77051.
The Berry Center development will be comprised of three duplexes, for a total of six units. The design includes four units at 1,846 square feet each, to be affordable to tenants at 30% and 50% of Area Median Income; and two units at 923 square feet each, to be affordable to tenants at 60% and 80% of Area Median Income. The project will have an impact on the revitalization of the Sunnyside community. It will provide a convenient commute to and from employment opportunities as the bus line is adjacent to the site. Scott Street serves as the frontage road to the development, and it is approximately one mile from the 610 South Loop.
The loan and affordability period will be 20 years and will commence when the construction period is completed. Loan will be non-amortizing throughout both the construction and affordability period.
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Sources & Uses
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Sources:
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Uses:
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City of Houston (CDBG-DR17)
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$1,345,765.00
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Hard Costs
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$1,042,471.00
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Cash Equity
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$50,000.00
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Soft Costs
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$152,594.00
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Acquisition Costs
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$186,500.00
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Reserves
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$14,200.00
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Total Source of Funds:
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$1,395,765.00
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Total Project Cost:
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$1,395,765.00
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No Fiscal Note is required on grant items.
This item was reviewed by the Housing and Community Affairs Committee on July 28, 2021.
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Keith W. Bynam, Interim Director
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| | | | | | | | Amount and Source of Funding:
$1,345,765.00 Federal State Local - Pass Through Fund (5030) |
| | | | | | | | Contact Information:
Roxanne Lawson
(832) 394-6307 |
| ATTACHMENTS: | | Description | Type | | Coversheet | Signed Cover sheet |
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