Resolution 33 of 2017

RESOLUTION NO. 33 OF 2017

Authorizing a Loan from Salt Lake City’s Housing Trust Fund

To Garden Lofts Holding, LP
(Wasatch Residential Group, LLC)

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, Garden Lofts Holding, LP (“Lofts”) has applied to the City for a loan to facilitate the development of an affordable housing development located at 154 West 600 South, Salt Lake City, Utah (the “Property”); and

WHEREAS, when complete, the “Garden Lofts” project will consist of 272 units, all considered tax credit units targeting those at 60% area median income and below.

NOW THEREFORE, BE IT RESOLVED by the City Council of Salt Lake City, Utah:

1. That the City Council hereby approves issuing a single loan in the total amount of $1,000,000 to Lofts with the requirement that the loan proceeds shall be used to fund development of an affordable housing project located at the Property. The loan documents that correspond to this loan shall include the following terms:

Loan Amount: $1,000,000

Loan Maturity: 38 years

Interest Rate: 2.5% per annum

Amortization: 35-year amortization after initial 3-year construction and lease up period, during which interest accrues and payments may be deferred

Collateral: Trust Deed on the Property – Shared second position with Olene Walker Housing Trust Fund, Second Mortgage Lien

2. That Jacqueline M. Biskupski, Mayor of Salt Lake City, Utah, following approval of the City Attorney, is hereby authorized to execute the requisite loan documents on behalf of Salt Lake City Corporation and to act in accordance with their terms.

Passed by the City Council of Salt Lake City, Utah, this 28^th day of November, 2017.