Title
Dept/ Agency: Economic & Housing Development
Action: ( ) Ratifying (X) Authorizing () Amending
Type of Service: Resolution of Need for Housing Project
Purpose: To support NJHMFA Low Income Housing Tax Credit Application for funding a project known as New Hope Village through the Low Income Housing Tax Credit Program.
Entity Name: Village Developers Urban Renewal, LLC, c/o The Alpert Group and New Hope Development Corporation #1
Entity Address: c/o The Alpert Group, One Parker Plaza, Fort Lee, New Jersey 07024
Funding Source: New Jersey Housing Mortgage Finance Agency Tax Exempt Bond Financing Construction Loan, $15,700,000.00; HUD insured FHA Permanent Mortgage through Bellwether Enterprise, $7,500,000.00; HUD Interest Reduction Payment Funding $1,941,155.00; 4% Federal Low Income Housing Tax Credit Equity $10,174,137.00; Sponsor’s Financing $15,500,000.00; and Deferred Developer Fee, $762,494.00.
Total Project Cost: $35,877,786.00
City Contribution:
Other Funding Source/Amount: /$
List of Properties:
(Address/Block/Lot/Ward)
173-229 Norfolk Street/Block 417/Lot 20/Central Ward
Additional Information:
body
WHEREAS, Village Developers Urban Renewal, LLC, of One Parker Plaza, Fort Lee, New Jersey 07024 (hereinafter referred to as the “Sponsor”) proposes to rehabilitate approximately one hundred sixty nine (169) units of affordable housing (hereinafter referred to as the “Project”) pursuant to the provisions of the New Jersey Housing and Mortgage Finance Agency Law of 1983, as amended (N.J.S.A. 55:14K-1 et seq.), the rules promulgated thereunder at N.J.A.C. 5:80-1.1 et seq., and all applicable guidelines promulgated thereunder (the foregoing hereinafter collectively referred to as the “HMFA Requirements”) within the City of Newark (hereinafter referred to as the “Municipality”) on a site described as Block 417, Lot 20 as shown on the Official Assessment Map of the City of Newark, Essex County and commonly known as 173-229 Norfolk Street, Newark, New Jersey; and
WHEREAS, the Project will be subject to the HMFA Requirements and the mortgage and other loan documents executed between the Sponsor and the New Jersey Housing and Mortgage Finance Agency (hereinafter referred to as the “Agency”); and
WHEREAS, pursuant to the HMFA Requirements, the Governing Body of the Municipality hereby determines that there is a need for this housing project in the Municipality.
NOW, THEREFORE, BE IT RESOLVED BY THE MUNICIPAL COUNCIL OF THE CITY OF NEWARK, NEW JERSEY, THAT:
(1) The Council finds and determines that the project known as New Hope Village (hereinafter referred to as the “Project”) proposed by Village Developers Urban Renewal, LLC, One Parker Plaza, Fort Lee, New Jersey 07024, consisting of the rehabilitation of approximately one hundred and sixty-nine (169) units of affordable housing located within one high rise tower and seven townhouse buildings, with a unit mix consisting of thirteen (13) efficiency units, thirty-nine (39) one-bedroom units, fifty-two (52) two-bedroom units, thirty-six (36) three-bedroom units, sixteen (16) four-bedroom units, twelve (12) five-bedroom units and one (1) three-bedroom superintendent’s unit, meets or will meet an existing housing need, on property located at 173-229 Norfolk Street, Block 417, Lot 20.
(2) The Municipal Council does hereby adopt the within Resolution and makes the determination and findings herein contained by virtue of, pursuant to, and in conformity with the provisions of the HMFA Law to enable the Agency to process the Sponsor’s application for Agency funding to finance the Project.
STATEMENT
This Resolution authorizes the Municipal Council to adopt and support, which will permit, Village Developers Urban Renewal, LLC, One Parker Plaza, Fort Lee, New Jersey 07024, to apply and meet the requirements for funding from NJHMFA to rehabilitate approximately one hundred and sixty-nine (169) rental units of affordable housing and one for a project known as New Hope Village (“the Project”) to be occupied by individuals whose income is within guidelines set by the New Jersey Low Income Housing Tax Credit Program on a site described as Block 417, Lot 20 as shown on the Official Assessment Map of the City of Newark, Essex County, New Jersey and commonly known 173-229 Norfolk Street (Central Ward).