3 - PRE-LOAN_COMMITMENT_2019-01-15

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Commitment of Affordable Housing Funds, a Lease and PBVs to HomeAid January 15, 2019 Page 7 themselves promoting a safe environment for all the individuals that become a part of the Francis Xavier community. Due to the fact that all units will be- dedicated for permanent supportive housing, the bedroom counts above and project design are conceptual in nature. It may be necessary to modify the bedroom count of units throughout the project to accommodate family size of potential residents that match program criteria. This also means that the building footprint and square footage may be adjusted, both to ensure that the project is viable based on available funding, and to address the above listed concerns. All architecture presented at this time is based on original design documents from 2010, and is conceptual. HomeAid will increase or decrease the bed count as necessary to achieve a functional project and to guarantee the financial feasibility of the project. Development Summary: • Site Control - Current Zoning: The proposed project does not require rezoning the site. Lots must be combined as a part of the approval process to accommodate the proposed building. • Anticipated Development Costs: $3,764,713 • Authority Loan Terms: The Low and Moderation Income Housing Asset Funds would be turned into a residual receipts loan at a 3% interest repayable out of 50% of the actual cash flow. • Developer Access to Additional Funds: HomeAid does have access to additional funds, and will consider pursuit of funding through the County of Orange Mental Health Services Act program and/or the forthcoming No Place Like Home program. HomeAid has previously fundraised $4,000,000 in donations I pledges for the development and ongoing maintenance of the recently opened HomeAid Family CareCenter and HomeAid has significant experience in pursuing numerous grants for projects. • The property is currently owned by the Housing Authority of the City of Santa Ana. For the development of this project by HomeAid Orange County with Mercy House Living Centers, the Review Panel is recommending an award of $1,069,947 in Low and Moderate Income Housing Asset Funds and a 99 -year ground -lease of 801, 809 & 809 '/2 E. Santa Ana Blvd (APN: 398-303-04 1 398-303-05 1 398-303-06 1 398-303-07). The Review Panel is also recommending an award of three (3) HUD-VASH PBVs following a competitive selection process through RFP # 18-056 in compliance with the City's Affordable Housing Funds Policies and Procedures. After HomeAid secures all of their remaining financing for the development of the project, staff will return to the Housing Authority with the loan agreement and 99 -year ground - lease agreement. On January 8, 2019, the County of Orange Board of Supervisors authorized County staff to submit a joint project application to the State of California Housing and Community Development Department for the first round of competitive No Place Like Home (NPLH) funding. The NPLH program will provide funding to support the development of supportive housing for adults with serious mental illness in the City of Santa Ana. The deadline for their NPLH application is January 30, 2019. NPLH funding in the amount of $3,382,389 is being requested from HCD to support the development of up to 9 of the 12 units in the project. The City's pre -commitment 3-7