ARLINGTON HOUSING FINANCE CORPORATION

Transcription

1 ARLINGTON HOUSING FINANCE CORPORATION

2 Multifamily Bond Program In 2010 the City Council adopted a housing and redevelopment policy that includes guidance to the Arlington Housing Finance Corporation. Arlington Housing Finance Corporation and/or Arlington Redevelopment Corporation Maintain mortgage assistance efforts Consider redevelopment in targeted areas 2

3 Multifamily Bond Program The Arlington Housing Finance Corporation can help address multifamily housing issues, concerns and problems in Arlington by issuing multifamily bonds AHFC multifamily bond financing presents a local financing tool controlled by the AHFC Board. 3

4 MF Bond Program Advantages Creates a financing tool to facilitate physical improvement of deteriorating MF properties or redevelopment of existing substandard properties, or new construction A local Bond program provides some control over property improvements through AHFC requirements Creates opportunity to know the developers and their project s financing structure Generates fees to AHFC No financial liability to city, county, or AHFC 4

5 MF Bond Program Basics The AHFC can issue tax exempt bonds for a housing related public purpose The IRS sets conditions pursuant to which the interest on the bonds is tax exempt to the bondholder Housing units must be set aside for 20% 50% AMI or 40% 60% AMI The above set aside requirement is for the longer of 15 years or as long as the bonds are outstanding Applicant must comply with AHFC standards and fees Requires a Land Use Restriction Agreement - 30 years 5

6 Board Control The AHFC Board of Directors: Adopts application criteria (parameters in which the Board will consider applications) Adopts development criteria (project design features, and materials, project compatibility with neighborhood, site suitability) Approves or rejects applications received 6

7 Bond Criteria Phase 1 Options available: (choose one, more than one, or none) 1. Acquisition, Demolition, Redevelopment of existing multi-family rental housing 2. Substantial Rehabilitation of existing multifamily rental housing 3. New Construction of multifamily rental housing 7

8 Bond Program Option 1 Acquisition, Demolition, Redevelopment A multifamily development in substandard condition presents an example of where Option #1, Acquisition, Demolition, Redevelopment of existing multifamily rental housing, could benefit the community 8

9 Substandard Properties 9

10 Possible Redevelopment 10

11 Bond Program Option 2 Substantial Rehabilitation prevents deterioration improves physical conditions of a multifamily development for the foreseeable future provides the city with some control over the improvements requires a substantial owner investment 11

12 Example Option 2 Chatham Green Apartments Arbrook & Matlock 12

13 Bond Program Option 3 New Construction The supply of rental housing for seniors is insufficient to meet population growth Primrose Apartments at Johnson Creek and Claremont Apartments are examples of how Option #3, New Construction multi-family rental housing could benefit the community 13

14 Claremont Apartments - Seniors Near Cowboys Stadium 14

15 Primrose Apartments - Seniors Collins & Division 15

16 Bond Criteria Phase 1 Options available: (choose one, more than one, or none) Acquisition, Demolition, Redevelopment of existing multi-family rental housing Substantial Rehabilitation of existing multifamily rental housing New Construction of multifamily rental housing 16

17 Bond Criteria Phase 2 Phase 2 Staff reviews applications received. AHFC Board may consider applications that: meet Phase 1 criteria meet or exceed the city s adopted design and development standards for multifamily residential dwellings AHFC Board accepts or rejects applications 17

18 Bond Application Application documents are developed to include: Draft COA Design and Development Standards General Information, procedures and requirements for submitting applications Application for financing Residential development questionnaire 18