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RESOLUTION NO. 4 OF 2013
AUTHORIZING A LOAN FROM
SALT LAKE CITY’S HOUSING TRUST FUND
TO LIBERTY VILLAGE PROPERTIES, LLC FOR
THE LIBERTY VILLAGE IN SUGAR HOUSE APARTMENT BUILDING
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, Liberty Village Properties, LLC by Cowboy Partners, has applied to the City for a loan from the City’s Housing Trust Fund in order to newly construct the Liberty Village in Sugar House Apartment Building located at 2150 South McClelland Street in Salt Lake City that will consists of 171 apartment units, 35 of which are affordable rental housing units for residents at 50% of the City’s area median income or lower.
THEREFORE, BE IT RESOLVED by the City Council of Salt Lake City, Utah:
1. Does hereby approve Salt Lake City to enter into a loan agreement with Liberty Village Properties, LLC, from Salt Lake City’s Housing Trust Fund in the amount of $750,000 at 2% simple interest per annum for thirty (30) years. All payments will be deferred for the first three years, including deferred interest, for an overall term of 33 years. This is a cash-flow loan and is limited to 75% of the projects available cash flow. Accrual of any unpaid interest will occur.
2. Liberty Village Properties, LLC, will use the loan funds to newly construct the Liberty Village in Sugar House Apartment building at 2150 South McClelland St. in Salt Lake City, Utah.
3. Ralph Becker, Mayor of Salt Lake City, Utah, following approval of the City Attorney, is hereby authorized to execute the requisite loan agreement 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 22nd day of January, 2013.