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BACKGROUND Constructed in 1989, Ridgeview Commons — an Eden Housing development — is a 200- unit affordable senior (age restricted to 62 and older) rental housing complex located at 5200 Case Avenue in Pleasanton. The City owns the land and leases it to Eden Housing; Eden Housing owns the facilities on the site. The construction of Ridgeview Commons was financed through the combination of City loans and California Low Income Housing Tax Credit (LIHTC) financing. There are two existing City loans: 1) a $4,000,000 loan, which was a Housing Development Grant ("HDG") Loan using federal funds granted to the City by the U.S. Department of Housing and Urban Development (HUD); and 2) a $2,457,000 loan that used City lower-income housing funds. DISCUSSION In 2019, Eden Housing and the City collaborated to provide Eden Housing the opportunity to pursue a refinance and resyndication of the Ridgeview Commons property to generate funds in tax credit financing (approximately $15-$20 million) to substantially rehabilitate the property. The 30-year-old property is in need of exterior improvements, including window replacements, rebuilding of patio decks, new fencing, new site lighting, and new landscaping and irrigation. The property's electrical and plumbing systems also need to be replaced. Additionally, individual residential units need new ranges and hoods, exhaust fans in the bathrooms, new faucets in the kitchens and bathrooms, and new toilets. Many of the units also need accessibility improvements. Upon previously receiving City Council approval on October 1, 2019, Eden Housing and the City executed the required Option to Lease Agreement, which had an end term of December 31 , 2021, to allow Eden Housing to demonstrate site control for the period of time required by the tax credit financing program. In 2019 and 2020, Eden Housing submitted Joint Tax Credit and Bond Funding Applications. However, due to changes made to the bond allocation process that emphasized "new construction" over "renovation", neither application was successful. Financing Round in September Eden Housing recently informed the City that the Ridgeview Commons resyndication application may have the opportunity to secure 4 percent in tax credits and tax-exempt financing in the upcoming State financing round scheduled for September 6, 2023. Eden Housing and its financial consultants believe the State may now have a large enough bond allocation such that "renovation" type projects are more likely to be successful. Consequently, Eden Housing is again proposing to refinance Ridgeview Commons. Eden Housing is assessing how best to refresh the prior 2019 and 2020 applications for the new funding round and has requested the City extend the prior Option Lease Agreement, which expired December 31, 2021 , to a new expiration date of December 31, 2026 (Attachment 2). The extended date would allow Eden Housing to re-apply in the next several rounds of bond and tax credit financing. Page 1> of '�