09 - Laserfiche WebLink

Upcoming Milestones The Tax Credit Allocation Committee must receive evidence that Kottinger Gardens Phase 1 closed its construction financing, syndicated the 9% LIHTC, secured building permits, and issued a Notice to Proceed to its general contractor by March 21, 2016. MidPen is targeting a closing on or around March 8, 2016 in order to have enough time to submit the evidence required. With this deadline in mind, the HUD Disposition, construction financing closing, building permitting process, and communication with residents regarding their temporary moves are MidPen's priorities. The construction financing closing will involve budgeting updates based on the construction bids and interest rate environment. In early January, weekly closing calls with all of the lenders, the lenders' attorneys, and the investor will begin in an effort to coordinate and make sure all issues are being addressed ahead of the March deadline. Upcoming City Council Actions The City Council will be required to take several formal actions by February of 2016. These include: authorization of the $13,750,000 loan from the LIHF; approval of the Ground Lease for Kottinger Gardens Phase 1; and approval of the Disposition Agreement, Release of Declaration of Trust, and Use Agreement with HUD for the disposition of Kottinger Place to the City. Phase 2 Design and financing work on Kottinger Gardens Phase 2 will commence following the construction financing closing and construction start at Kottinger Gardens Phase 1. This will include finalizing an Option Agreement between Pleasanton Gardens, Inc. and the City of Pleasanton to convey the Pleasanton Gardens site to the City for a nominal amount, developing the design documents, and applying for financing. MidPen expects to apply for 9% LIHTC for Kottinger Gardens Phase 2 in March, 2017. If awarded the 9% LIHTC, construction would need to start by December, 2017, approximately four months after construction is expected to complete at Kottinger Gardens Phase 1. October 26th Task Force Meeting On Monday October 26, 2015, the Task Force held their final meeting to receive an update on the project similar to the information provided in this report. Additionally, at the Task Force meeting, City staff and MidPen recognized the Task Force members' individual and collective contributions to the Kottinger Gardens project Their visioning work, input at years of meetings, and support at public hearings has positioned the project for success. S miffed Approve/.y: rian [3o an Ne son ialho Assistant City Manager City Manager Page 6 of 6