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RESOLUTION NO. 10 OF 2019
Authorizing a loan from Salt Lake City’s Housing Trust Fund
To Lincoln Tower Housing Associates LP
(Lincoln Tower)
WHEREAS, Salt Lake City Corporation (the “City”) has a Housing Trust Fund to encourage affordable and special needs housing development within the City; and
WHEREAS, Lincoln Tower Housing Associates LP (“Lincoln Tower Housing”) has applied to the City for a loan to facilitate the acquisition and rehabilitation of an existing senior housing development known as Lincoln Tower (the “Project”) located at 2017 South Lincoln Street, Salt Lake City, Utah (the “Property”);
WHEREAS, the Project includes 95 units, with all of them considered affordable housing units targeting those at 60% area median income and below; and
WHEREAS, on January 7, 2019 the Housing Trust Fund Advisory Board (the “Board”) reviewed and recommended approval of the loan application with a 3% interest rate; and
WHEREAS, following a change in the financing sources for the Project, the Board ratified its original approval on April 3, 2019; and
WHEREAS, the City recommends the attached set of terms for a loan to Lincoln Tower Housing for the Project (the “Term Sheet”), including a recommendation for a 2% interest rate based on its underwriting of the Project.
NOW THEREFORE, BE IT RESOLVED by the City Council of Salt Lake City, Utah:
1. That the City Council hereby approves issuing the loan outlined in the Term Sheet attached hereto, subject to revisions that do not materially affect the rights and obligations of the City hereunder, with the requirement that the loan proceeds shall be used to acquire and renovate the Property for the Project.
2. That Jacqueline M. Biskupski, Mayor of Salt Lake City, Utah, on behalf of Salt Lake City Corporation is hereby authorized to negotiate and execute the requisite loan documents and any other relevant documents consistent with the Term Sheet, and incorporating such other terms and agreements as recommended by the City Attorney’s office, and to act in accordance with their terms.
Passed by the City Council of Salt Lake City, Utah, this 23rd day of April, 2019.