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RESOLUTION NO. 53 OF 2018
Authorizing a Loan from Salt Lake City’s Housing Trust Fund
To Centro Civico
Housing Company LLC
(Centro Civico)
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, Centro Civico Housing Company LLC (“Centro Civico”) has applied to the City for a loan to facilitate the development of a mixed income senior housing development located at 155 South 600 West, Salt Lake City, Utah (the “Property”); and
WHEREAS, when complete, the site is projected to include 61 units, with 49 considered tax credit units targeting those at 50% area median income and below, with 5 of the 49 set aside for special populations (2 units for senior refugees and 3 units for senior veterans).
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 $635,000 to Centro Civico Housing Company LLC with the requirement that the loan proceeds shall be used to construct the Property for the development of an affordable housing project. The loan documents that correspond to this loan shall include the following terms:
Loan Amount: $635,000
Loan Maturity: 30 years (plus a 2 year construction period)
Interest Rate: 2%
Interest Only: Only interest will be paid during the 2 year construction period
Collateral: Trust Deed on the property - Shared second position with Olene Walker Housing Loan Fund
Repayment: Contingent upon cash flow; annual payments required prior to payout of deferred developer fee
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 11th day of December, 2018.