TO: Mayor and City Council
THROUGH: Steve Powers, City Manager
FROM: Kristin Retherford, Urban Development Director
SUBJECT:
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Ratification of Assignment of Community Development Block Grants from Center for Hope and Safety to HOPE Plaza LLC
Ward(s): Ward 1
Councilor(s): Kaser
Neighborhood(s): CANDO
Result Area(s): Welcoming and Livable Community
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ISSUE:
Shall the City Council ratify the assignment of Community Development Block Grants from the Center for Hope and Safety to HOPE Plaza LLC?
RECOMMENDATION:
recommendation
Ratify the assignment of Community Development Block Grants from the Center for Hope and Safety to HOPE Plaza LLC.
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SUMMARY:
The City Manager, exercising his authority under the City Council’s Declaration of a State of Emergency (“Declaration”), signed the assignment of the Grant agreement from the Center for Hope and Safety to HOPE Plaza, LLC, a subsidiary of the Center for Hope and Safety. The Center for Hope and Safety has been working towards finalizing their funding resources for new construction. A condition of their funding is that the land ownership and Community Development Block Grants (CDBG) change to HOPE Plaza LLC, which is the entity that will own and operate the project upon completion.
FACTS AND FINDINGS:
The City has entered into five CDBG agreements with the Center for Hope and Safety to fund:
1) Grant dated 12/26/13 for purchase of building located at 605 Center Street;
2) Grant dated 1/8/14 for facility renovation, including roof, HVAC, and carpet
3) Grant dated 7/24/2015 to replace lower facility windows;
4) Grant dated 12/03/2018 to replace upper facility windows;
5) Grant dated 2/28/2019 for demolition of 444-460 Church Street for the purpose of constructing affordable housing units.
BACKGROUND:
The Center for Hope and Safety is developing HOPE Plaza, a housing development, adjacent to their existing facility. Financing terms for HOPE Plaza require that the property and other funding instruments, including CDBG agreements, be assigned to the new ownership and operating entity “HOPE Plaza, LLC”.
The approval of the grant assignments to HOPE Plaza LLC will allow the Center for Hope and Safety to satisfy their financing requirements.
Kristin Retherford
Urban Development Director
Attachments:
1. None