RES 92158 - Laserfiche WebLink

CHFA tax exempt bonds, HODAG grants, nonprofit organization ownership, the City, and private rental agreements resulting from the Growth Management Program. Three of these projects were identified as being at risk during 1990-2000 analysis period. These include: D~FBLOPMENT A~SZBTED YEAR OF UNITS EXPIRATION Pleasanton Greens 131 1996 Stoneridge 78 1998 Apartments Hacienda Gardens 69 1998' Totalz 27~ Pleasanton Greens contains 131 units assisted by the HUD Section 236 Interest Reduction Payment Program through 1996. Although it is expected that the management of the project will attempt to extend the program, 2he project has been identified as at-risk in the event that renewal or other preservation attempts are not successful. Pleasanton Greens is subject to the provisions of the Low Income Housing Preservatiqn and Resident Homeownership Act (Title VI of the National Affordable Housing Act of 1990-LIHPRHA). Under LIHPRHA provisions, owners of prepayment eligible projects can choose, to retain .project ownership in exchange for additional federal incentives, or sell their properties under a voluntary sale program. LIHPRHA provides the owners of eligible projects an opportunity to receive additional federal incentives for projects, enabling them to raise rents and refinance a portion of their equity, while extending low 'income use restrictions for the remaining useful life of the project. Though subject to regulatory safeguards of LIHPRHA, Pleasanton Greens could eventually convert if offered for sale and there are no qualified purchasers during the right-of-first refusal period, or there are insufficient federal appropriations to fund the transaction as provided by federal law. The project will be eligible to proceed under LIHPRHA by filing a Notice of Intent to HUD two years prior to its initial mortgage prepayment date of 1996. Assuming a project meets the qualifying eligibility criteria, including this eligibility date, it remains eligible for the remaining term of its mortgage (generally another 22 years). This notice indicates that the owner's preliminary decision regarding sale of property versus stay-in as low income with incentives. - 3 -