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HomeMy WebLinkAbout~Master - Option Agreement for Sale of Lot 27 to Townhomes at Creekside LLLP RESOLUTION NO. 23-192 RESOLUTION APPROVING OPTION AGREEMENT FOR THE SALE OF LOT 27 TO TOWNHOMES AT CREEKSIDE,LLLP, IN CONJUNCTION WITH A LOW-INCOME TAX CREDIT APPLICATION FOR MULTI-FAMILY HOUSING DEVELOPMENT FOR THE CITY OF AMES,IOWA WHEREAS, on February 28, 2023, City Council selected the Hatch Development Group as its partner to develop affordable multi-family rental housing on Lot 27 in the Baker Subdivision (formerly known as 321 State Avenue). The City Council directed staff to prepare agreements to partner on a Low-Income Housing Tax Credit (LIHTC) application for this project; and, WHEREAS, in order to meet the LIHTC submittal deadline of April 19, 2023, and adhere to the transfer of land requirements,the City Council set March 28, 2023, as the date for the public hearing for the approval of an option for the sale of Lot 27 within the Baker Subdivision to Townhomes at Creekside,LLLP(an Iowa Limited Liability Limited Partnership affiliated with the Hatch Development Group); and, WHEREAS, the option agreement allows for acquisition of the property at no cost and spells out the terms for the acquisition of Lot 27 if Hatch Development Group is successful in obtaining 9% tax credits through the Iowa Finance Authority. Notification of award is anticipated to occur in August or September 2023; and, WHEREAS, the developer must demonstrate control of the site as part of the application process for LIHTC. The City Council's approval of the option agreement and development agreement will allow time for Hatch Development Group to finalize its LIHTC application before the Iowa Finance Authority's April 19, 2023, deadline. Granting of the property to the developer is consistent with the proposed incentive that was part of the REP for a partner developer. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ames, Iowa, that resolution approving Option Agreement for the sale of Lot 27 to Townhomes at Creekside, LLLP, in conjunction with a Low-Income Tax Credit application for Multi-Family Housing Development is hereby approved. ADOPTED THIS 28th day of March, 2023. e4w- / Ze em Renee kall, City Clerk John A. Haila, Mayor Introduced by: Betcher Seconded by: Rollins Voting aye: Beatty-Hansen, Betcher, Corrieri, Gartin, Junck, Rollins Voting nay: None Absent: None Resolution declared adopted and signed by the Mayor this 28th day of March, 2023.