05 JTPH LACY & RAITT - Laserfiche WebLink

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Tax Exempt Bond Financing and Loan Agreements with Lacy and Raitt, LP (703 N. Lacy/702 S. Raitt) January 5, 2009 Page 5 The Raitt Street property will be the sixth building in the Townsend/Raitt neighborhood that has been acquired and rehabilitated by OHDC. As part of the rehabilitation, the partnership is proposing to reconfigure the ten one-bedroom units into eight units. The unit mix and rent restrictions are as follows: 30o AMI Extremely Low 50% AMI Very Low 702 Raitt St. No.Units Rent No.Units Rent One-bedroom 1 $491 3 $838 Two-bedroom 2 $1,006 Three-bedroom 2 $1,144 The total project cost to acquire, rehabilitate and provide the proposed level of affordability in the two buildings is $7,925,358. The partners will be applying to the California Debt Limit Allocation Committee (CDLAC) for an allocation of $3, 961, 067 in tax exempt financing to help provide both construction and permanent financing. They are also applying to the California Tax Credit Allocation Committee (TCAC) far an allocation of $1,836,526 in low income housing tax credits that will be used for permanent and construction financing. There is a $4.4 million gap, and staff is recommending it be filled with approximately $2 million funded from HOME and $2.4 million from the Agency. The tables below summarize the proposed funding sources and anticipated costs for the projects: Permanent Etianding Sources 703 N. Lacy 702 S. Raitt Total Amount Tax Exempt Bonds $1,123,917 $582,293 $1,706,210 Community Redevelopment Agency/Housing Set-Aside $1,556,217 $806,265 $2,362,482 City of Santa Ana/HOME Funds $1,330,643 $689,397 $2,020,040 Capital Contribution - General Partner $66 $34 $100 Capital Contribution - Limited Partner (Tax Credits) $1,209,759 $626,767 $1,836,525 Total $5,220,601 $2,704,757 $7,925,358 5