File #: 18-0127    Version: 1 Name: Resolution of Need - Zion Towers
Type: Resolution Status: Adopted
File created: 1/26/2018 In control: Economic and Housing Development
On agenda: 3/13/2018 Final action: 3/13/2018
Title: Dept/ Agency: Economic and Housing Development Action: ( ) Ratifying (X) Authorizing ( ) Amending Type of Service: Need for Housing Project Purpose: To determine whether the proposed Project will meet or meets an existing housing need within the City of Newark, New Jersey, 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 et seq., and all applicable guidelines. Entity Name: Weequahic Preservation, LLC Entity Address: 1865 Palmer Avenue, Suite 203, Larchmont, New York 10538 Funding Source: New Jersey Housing Mortgage Finance Agency Subsidy; Low Income Housing Tax Credit; Private Loan) Total Project Cost: $48,139,186 City Contribution: $0.00 Other Funding Source/Amount: $0.00 List of Properties: (Address/Block/Lot/Ward) 507-519 Elizabeth Avenue/Block 3637/ Lot 106 (South Ward) Additional Information:

Title

Dept/ Agency:  Economic and Housing Development

Action: (   ) Ratifying    (X) Authorizing     (   ) Amending

Type of Service:  Need for Housing Project

Purpose: To determine whether the proposed Project will meet or meets an existing housing need within the City of Newark, New Jersey, 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 et seq., and all applicable guidelines.

Entity Name:   Weequahic Preservation, LLC

Entity Address:  1865 Palmer Avenue, Suite 203, Larchmont, New York 10538

Funding Source:  New Jersey Housing Mortgage Finance Agency Subsidy; Low Income Housing Tax Credit; Private Loan)

Total Project Cost:  $48,139,186

City Contribution:  $0.00

Other Funding Source/Amount:  $0.00

List of Properties:

(Address/Block/Lot/Ward)

507-519 Elizabeth Avenue/Block 3637/ Lot 106 (South Ward)

Additional Information:

                   

body

 

WHEREAS, Weequahic Preservation, LLC and its assigns (hereinafter referred to as the “Sponsor”) proposes to substantially rehabilitate and operate a 286-unit, high-rise, low-income, Section 8 housing project known as Zion Towers (hereinafter referred to as the “Project”) pursuant to the provisions of the New Jersey Housing and Mortgage Finance Agency Law (NJHMFA) 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 et seq., and all applicable guidelines (the foregoing hereinafter referred to as the “NJHMFA Requirements”) within the City of Newark (hereinafter referred to as the “Municipality”) on a site described as 507-519 Elizabeth Avenue in the City of Newark, New Jersey (Block 3637, Lot 106) as shown on the Official Assessment Map of the City of Newark, Essex County; and

 

WHEREAS, the Project will be subject to the NJHMFA 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 NJHMFA Requirements, the Governing Body of the Municipality hereby determines that there is a need for this housing project in the Municipality; and

 

WHEREAS, the Sponsor has presented to the Municipal Council a revenue projection for the Project which sets forth the anticipated revenue to be received by the Sponsor from the operation of the Project as estimated by the Sponsor and the Agency, a copy of which is attached hereto and made a part hereof as Exhibit A.

 

NOW, THEREFORE, BE IT RESOLVED BY THE MUNICIPAL COUNCILOF THE CITY OF NEWARK, NEW JERSEY, THAT:

 

(1)                     The Municipal Council finds and determines that the Zion Towers, a 268 unit, high-rise, low-income, Section 8 Project proposed by the Sponsor located at 507-519 Elizabeth Avenue, in the City of Newark, Block 3637, Lot 106 (South Ward) meets or will meet an existing housing need within the City of Newark, New Jersey and its assigns pursuant to the provisions of the NJHMFA Law.

 

(2)                     The Municipal Council finds and does hereby adopt the within Resolution and makes the determination and findings herein contained by virtue of, pursuant to, and in the conformity with the provisions of the NJHMFA Law with the intent and purpose that the Agency shall rely thereon in making a mortgage loan to the Sponsor, which shall substantially rehabilitate, own and operate the Project; and

 

(3)                     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 NJHMFA Law to enable the Agency to process the Sponsor’s application for Agency funding to finance the Project.

 

STATEMENT

 

The Mayor and/or his designee, the Acting Director of the Department of Economic and Housing Development, find and determine that there is a need in the City for the proposed development and subsidy of the Property and substantial rehabilitation of the Project by Weequahic Preservation, LLC, 1865 Palmer Avenue, Larchmont New York 10538, 507-519 Elizabeth Avenue, in the City of Newark, Block 3637, Lot 106 (South Ward).