Title
Staff Report for a Resolution Authorizing an Allocation Not to Exceed $1,700,000 from the City of San Leandro's Share of Alameda County Measure A1 Housing Bond Funds to San Leandro Senior Associates, L.P., a California Limited Partnership (an Affiliate of BRIDGE Housing Corporation) to Provide Emergency Gap Financing for the Construction of San Leandro Senior Apartments, an Affordable Senior Rental Housing Project (Marea Alta Phase II)
Staffreport
SUMMARY AND RECOMMENDATIONS
Due to recent unexpected and negative impacts on the Low Income Housing Tax Credit (LIHTC) market nationally and in California, affordable housing projects that were allocated tax credits from the California Tax Credit Allocation Committee (TCAC) are now facing funding shortfalls. BRIDGE Housing Corporation (BRIDGE) received an allocation of tax credits from TCAC in November 2016 which was expected to provide full financing for Marea Alta Phase II. However, the project now faces a funding gap of more than $2 million due to the changes in the LIHTC market. BRIDGE is working with the Housing Authority of Alameda County to fill the funding gap, but still needs up to $1.7 million in order to close escrow and proceed with San Leandro Senior Apartments (Marea Alta Phase II) construction in Spring/Summer 2017.
Alameda County Housing and Community Development Department (County HCD) took the initiative to address the tax credit shortfall issue by proposing that affected cities within the County could use a portion of their shares of the Measure A1 Housing Bond funds to help impacted developers fill unexpected funding gaps. County HCD plans to present this proposal for consideration by the County Board of Supervisors on March 7 for projects, such as Marea Alta Phase II, which have already received TCAC approval.
Staff recommends that the City Council adopt a resolution to 1) authorize the allocation of an amount not to exceed $1.7 million from its share of Measure A1 Countywide Housin...
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