HomeMy WebLinkAboutVANTAGE DEVELOPMENT LOW INCOME TAX CREDIT APPLICATION FOR THE TERRANCE AT EDINBURG SENIOR HOUSING PROJECT
OFFICE OF THE MAYOR
DAVID S. COPENHAVER, MAYOR
530 Greene Street, Augusta, GA 30901
(706) 821-1831- fax (706) 821-1838
May 28, 2008
Mr. Lowell R. Barron II
The Landings at Southlake, LP
PO Box 166
Fyffe, AL 35971
RE: Commitment letter for HOME funds
The Terrace at Edinburgh, 72 units elderly (HFOP age 55+)
Between 2259 - 2275 Sibley Road, Augusta, GA
Dear Mr. Barron:
The City of Augusta is pleased to award HOME funds to The Terrace at Edinburgh, LP.
This letter serves as a commitment of HOME funds for use in constructing and permanently
financing the above referenced development. This commitment is made subject to and under
the following terms and conditions:
Borrower: The Terrace at Edinburgh, LP
Guaranty: 1) Construction - Full and unconditional guaranty & Bank Letter of Credit
2) Permanent - Non-recourse
Loan Type: 1) Construction financing
2) Permanent financing
Amount: $300,000
Rate: Applicable Federal Rate (due to QCTbasis Boost eligibility)
Term: 1) Construction - 18 months maximum from closing date
2) Permanent - 10 years
Amortization: 1) Construction - interest only
2) Permanent - 10 years
Payments:
1) Construction - Interest only during paid via monthly draws
2) Permanent - Principal and interest shall be due on the 1st of the month.
Mr. Lowell R. Barron II
May 28, 2008
Page 2
Fees:
NjA
NjA
Expenses:
Collateral:
1) Construction - Bank Letter of Credit & 1st mortgage on land & improvements
2) Permanent - 1st mortgage on land & improvements
Other Requirements:
· Evidence of Borrower's receipt of an award of tax credits from Georgia DCA
· Disbursement of loan proceeds will be made monthly upon receipt of written
approval from 3rd party construction consultant
· Appraisal acceptable to City
· Title insurance acceptable to City
· Plans and specs permitted by City
· Construction completed according to plans and specifications
If you have any questions regarding this award letter, please feel free to call me at (706)
821-1831 or Cheater A. Wheeler at (706) 821-1797.
Sincerely,
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David S. copen~r
Mayor
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OFFICE OF THE MAYOR
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DAVID S. COPENHAVER, MAYOR
530 Greene Street, Augusta, GA 30901
(706) 821-1831 - fax (706) 821-1838
May 28, 2008
Mr. Lowell R. Barron II, President
Vantage Development, LLC
PO Box 166
Fyffe, AL 35971
RE: 10-year annual operating subsidy commitment
The Terrace at Edinburgh, 72 units elderly (HFOP age 55+)
Between 2259 - 2275 Sibley Road, Augusta, GA
Dear Mr. Barron:
The City of Augusta is interested in lending financial assistance to your proposed elderly
development listed above.
The City has agreed to provide funds in the form of an annual operating subsidy assisting
in covering a portion of the operating cost of The Terrace at Edinburgh. The City will provide an
operating cost subsidy of $18,000 per year, each year for a ten year period. This amount will be
paid on the first day of first month of each fiscal year.
Funds will be used to increase the affordability of the project to the tenants by
subsidizing verifiable operating expenses, such as but not limited to, utilities, property
insurance, flood insurance, property tax, and maintenance expenses. The project sponsor will be
required to provide eligibility documentation that each household meets the income guidelines
outlined in you proposal on an annual basis.
If you have any questions regarding this commitment, please feel free to call me at (706)
821-1831 or Chester Wheeler at (706) 821-1797.
Sincerely,
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Mayor
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Office Of1he Administrator
Frederkk L. Russell, Administrator
Room 801 . Municipal Building
530 Greene Street - AUGUSTA, GA. 30~O'1
(706) 821-2400. FAX (706) 811-281'
www.augustaga.gov
Tame1ca Allen, Interim Deputy Admini51J'ator
Robert Leverett, IntErim Deputy Administramr
May 20, 2008
Mr. Chester Wheeler
Housing & Community Development Director
925 Laney Walker Blvd.
Augusta, GA 30901
Dear Chester:
The Augusta-Richmond County Commission, at their regular meeting held on Tuesday, May 20, 2008,
approved authorizing the City of Augusta's support for Vantage Development low-Income Tax Credit Application
to the Department of Community Affairs for The Terrace at Edinburgh, Augusta, Georgia and approval of $300,000
In HOME Funds with an additional operating subsidy of $18,000 per year for ten (10) yeilrs. (Approved by
Administrative Ser"lces Committee May 12, 2008)
If you have any questions, please contact me.
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Interim Deputy Administrator
CC: MS. Donna Williams
05-20-08: #25