City of Sacramento
City Council - 2PM Report
915 I Street Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2023-00438 9/12/2023 Discussion Item 2.
(Housing Authority) Villa Jardin and Coral Gables Approval of Supplemental Tax-Exempt Bonds
File ID: 2023-00438
Location: 2701 Meadowview Sacramento, CA 95832, District 8, Represented by Mayor Pro Tem Vang
Recommendation: Adopt a Housing Authority Resolution: 1) authorizing the issuance of supplemental multifamily housing revenue bonds not to exceed $1 million for the financing of a multifamily rental housing project known as Villa Jardin/Coral Gables; 2) authorizing the execution and delivery of a master agency agreement, 3) a master pledge and assignment, 4) the Master Agency Agreement, 5) a first amendment to regulatory agreement and declaration of restrictive covenants and other documents relating thereto, and 6) approving other actions and matters relating thereto.
Contact: Christine Weichert, Director, Development Finance, (916) 440-1353, Sacramento Housing and Redevelopment Agency
Presenter: Whitney Hinton, Program Manager, (916) 440-1325, Sacramento Housing and Redevelopment Agency
Attachments:
1-Description/Analysis
2-Vicinity Map
3-Pictures of Coral Gables and Villa Jardin
4-Project Summary
5-Maximum Income and Rent Limits
6-Housing Authority Resolution - Inducement
7-Exhibit A: Public Disclosures Relating to Conduit Revenue Obligations Additional Description/Analysis
Issue Detail: On September 21, 2021, City Council authorized the issuance of mortgage revenue bonds and other financing for the rehabilitation of 44 existing units and construction of 38 new units at Villa Jardin/Coral Gables (Project). Construction began in November 2021 and the project was scheduled to be complete by the end of February 2023, however, due to construction delays, the project was not completed until June of this year. The delay added an additional $3 million in
File ID: 2023-00438 9/12/2023 Discussion Item 2.
construction costs.
The increased cost is a result of 1) extended mitigation of mold intrusion that was discovered during the rehabilitation, 2) addition of fire sprinklers in the existing units, 3) increased construction loan interest, and 4) increased temporary relocation expenses.
Staff is requesting approval of an additional $1 million in supplemental bonds to cover the increased construction costs. $2 million consisting of increased tax credit equity, conventional loan, and deferred developer fee will cover the remaining expenses.
Villa Jardin and Coral Gables Development
The Villa Jardin and Coral Gables development is a permanent supportive/homeless and workforce housing development located on a 2.32-acre site in the Meadowview area of the City of Sacramento.
The Project consists of 81 affordable one- and two-bedroom units and one two-bedroom exempt management unit. There is a combination of rehabilitation and new construction of 15 one-, two- and three-story wood-frame buildings. Construction of the Project is now completed. A picture of the Project is provided as Attachments 3.
Developer
: The John Stewart Company (JSCo) is an experienced owner and manager of affordable rental housing projects. JSCo has more than 40 years of experience in affordable housing and has partnered with SHRA on a number of other projects. JSCo has developed over 5,000 units of housing throughout California, the majority of which are affordable. The company has extensive experience in financing projects with tax credits, tax-exempt mortgage revenue bonds, and other public and private funding sources.
Property Management: Villa Jardin/Coral Gables is managed by the John Stewart Company (JSCo).
JSCo has over 40 years of property management experience; and they manage over 420 properties in California consisting of more than 31,600 affordable and market rate residential units in their portfolio. JSCo currently manages 16 SHRA financed affordable housing properties in the Sacramento region. JSCo is qualified to manage this permanent supportive and workforce housing development given its experience with managing Hotel Berry, Shasta Hotel and Cannery Place Apartments. SHRA staff has reviewed the qualifications of JSCo and the property management plan, including daily operations, leasing procedures, maintenance, and eviction procedures, and has found that the proposed property management agent and management plan meet SHRA requirements.
Supportive Services: LifeSTEPS, Inc. is providing and coordinating mental health supportive services and other permanent supportive services to the residents of the Villa Jardin and Coral Gables Project. LifeSTEPS will dedicate 1.9 Full-Time Equivalent (FTE) case manager to provide services and programs tailored to serve the residents with special needs. The Case Manager will be on site to provide direct supportive services that will include, but are not limited to, individual service plans, mental health care, physical health care, substance use and benefits counseling.
File ID: 2023-00438 9/12/2023 Discussion Item 2.
Resident Services: Resident services is provided by LifeSTEPS, which currently provides resident services to 250 affordable housing communities and more than 80,000 residents in California.
LifeSTEPS is required to provide 8 hours of after school programs and a total of at least 15 hours of services per week. Programs will be tailored to resident needs. Services will be provided by an on- site services coordinator and will include social services and enrichment programs. SHRA staff has reviewed LifeSTEPS qualifications and the resident services plan and has found that the proposed resident services provider and resident services plan meet SHRA requirements.
Project Financing
: The financing structure of the Villa Jardin and Coral Gables development includes SHRA loan funds, HCD Multifamily Housing Program funds, tax-exempt mortgage revenue bonds, four percent Low Income Housing Tax Credits, supplemental tax-exempt bonds, Housing Authority Seller Carryback loan, SHRA HOME Investment Partnerships Program (HOME) loan, conventional loan, deferred developer fee, general partnership capital contribution and fee waivers. Funding sources and uses for Villa Jardin/Coral Gables is included in Attachments 4.
Low-Income Set-Aside Requirements: As a condition of receiving tax credits, federal law requires that rental units be set aside for targeted-income groups. Income restrictions from LIHTC financing require that no households have income above 60 percent of Area Median Income (AMI). The Agency further requires that 15 percent of the units be restricted to households with incomes no greater than 50 percent AMI and at least 5 percent of the units be restricted to households with incomes no greater than 30 percent AMI. The affordability restrictions will be specified in regulatory agreements with the Developer. A schedule of maximum income and rents are included as Attachment 5.
Policy Considerations: The recommended actions are consistent with a) SHRA’s approved Multifamily Lending and Mortgage Revenue Bond Policies (Policies), Priority 2(i) - New Construction of Permanent Supportive Housing and Homeless Housing, Priority 2(iii) - Workforce Housing and Priority 3 - Rehabilitation of Existing Housing; and b) the 2021-2029 Housing Element, Goals H-2.1 Provide Opportunities for Affordable Housing throughout the City; H-6.1 Preserving Existing Affordable Housing; H-7.4 Permanent Supportive Housing.
Economic Impacts: This multifamily residential project is expected to create 187.82 total jobs (105.44 direct jobs and 82.38 jobs through indirect and induced activities) and create $16,475,325 in total economic output ($10,125,043 of direct output and another $6,350,282 of output through indirect and induced activities). The indicated economic impacts are estimates calculated using a calculation tool developed by the Center for Strategic Economic Research (CSER). CSER utilized the IMPLAN input-output model (2009 coefficients) to quantify the economic impacts of a hypothetical $1 million of spending in various construction categories within the City of Sacramento in an average one-year period. Actual impacts could differ significantly from the estimates and neither the City of Sacramento nor CSER shall be held responsible for consequences resulting from such differences.
File ID: 2023-00438 9/12/2023 Discussion Item 2.
Environmental Considerations: California Environmental Quality Act (CEQA): The Project has been reviewed pursuant to CEQA, and it has been determined that the project is exempt pursuant to CEQA Guidelines §15332, “infill development projects”.
National Environmental Policy Act (NEPA): An Environmental Assessment has been prepared pursuant to NEPA, and it was found that with mitigation measures incorporated, the project will not result in a significant impact on the quality of the human environment.
Sustainability: The Project is consistent with the goals, policies, and targets of the 2035 General Plan. The Project will advance the following goals, policies, and targets that will directly or indirectly conserve energy resources and reduce greenhouse gas emissions, in part, from the 2035 General Plan: a) Housing Element - Strategies and Policies for Conserving Energy Resources - Climate Action Plan, subsection 7.2: improving the energy efficiency in new buildings; and b) Environmental Resources - Air Quality and Climate Change sub-section 7.1.: reduce greenhouse gas emissions from new development, promoting water conservation and recycling, promoting development that is compact, mixed use, pedestrian friendly, and transit oriented; and promoting energy-efficient building design and site planning.
Commission/Committee Action: At its meeting of September 6, 2023, it is anticipated that the Sacramento Housing and Redevelopment Commission will recommend approval of the attached resolutions. In the event it fails to do so, staff will advise the Housing Authority at the meeting.
Rationale for Recommendation: The actions recommended in this report enable SHRA to continue to fulfill its mission to provide a range of affordable housing opportunities in the City and are consistent with SHRA’s approved Multifamily Lending and Mortgage Revenue Bond Policies and the City of Sacramento’s 2021-2029 Housing Element.
Financial Considerations: SHRA received a one-time issuance fee of 0.25 percent of the bond amount, which is payable at bond closing, and an annual payment for monitoring the regulatory restrictions and administration of the bonds and the affordable units for the 55-year term.
Local Business Enterprise (LBE): Local Business Enterprise requirements do not apply to this report.
MEADOWVIEW RD
TWILIGHT DR
CORAL GABLES CT
SWEETFERN WAY
63 Coral Gables Court
49 Coral Gables Court
81 Coral Gables Court
·
0 10050
Feet
Villa Jardin and Coral Gables
SHRA GIS
June 8, 2020
FLORIN RD
24TH ST
FRANKLIN BLVD
COSUMNES RIVER BLVD
MEADOWVIEW RD
MACK RD
§¨¦
5 ·|}þ99
vIcinity map
Map
Location
Project Area
Villa Jardin (Existing Affordable Housing Development)
49, 63, and 81 Coral Gables Court (Vacant)
Villa Jardin Apartments
2701 Meadowview Road
Pannell
Community
Center
A
ttachment 3
C
oral Gables and Villa Jardin
P
ictures of Coral Gables (New Construction Site on Vacant Lot)
Atta
chment 3
Picture of Villa Jardin (Before Rehabilitation)
Attachment 4
Addresses
Number of Units
Project Type
Acreage
Unit Mix and Rents 25% AMI - Supportive 30% AMI 50% AMI Exempt Management Unit Total 1BR 17 0 1 0 18
2BR 27 22 14 1 64
Total Units (43 PBV) 44 22 15 1 82
Square Footage Unit Size (sq.ft.) Total (sq. ft.)
1BR 600 10,800
2BR 875 0
Total Gross 10,800
Resident Facilities
Permanent Sources Total Per Unit Per Square Foot
Senior Loan 3,150,000.00$ 38,415$ 291.67$ sq. ft.
Federal Tax Credit Equity 15,291,096.00$ 186,477$ 1,415.84$ sq. ft.
SHRA Loan 1,900,000.00$ 23,171$ 175.93$ sq. ft.
Building Hope Loan 2,120,000.00$ 25,854$ 196.30$ sq. ft.
SHRA Existing Loan 1,800,000.00$ 21,951$ 166.67$ sq. ft.
HACS Seller Carryback Loan 80,750.00$ 985$ 7.48$ sq. ft.
HCD MHP 11,500,000.00$ 140,244$ 1,064.81$ sq. ft.
Deferred Developer Fee 1,319,494.00$ 16,091$ 122.18$ sq. ft.
GP Contribution 932,709.00$ 11,375$ 86.36$ sq. ft.
Net Operating Income 26,185.00$ 319$ 2.42$ sq. ft.
Fee Waivers 185,000.00$ 2,256$
TOTAL SOURCES 38,305,234$ 467,137$ 3,546.78$ sq. ft.
Permanent Uses Total Per Unit Per Square Foot
Acquisition 2,379,862$ 29,023$ 220.36$ sq. ft.
Construction Costs 20,927,018$ 255,208$ 1,937.69$ sq. ft.
Architecture & Engineering 1,398,843$ 17,059$ 129.52$ sq. ft.
Permits/Fees 1,083,863$ 13,218$ 100.36$ sq. ft.
Hard Cost Contingency 1,809,772$ 22,070$ 167.57$ sq. ft.
TOTAL HARD COSTS 27,599,358$ 336,578$ 2,555.50$
Soft Cost Contingency 90,236$ 1,100$ 8.36$ sq. ft.
Financing Cost 2,294,474$ 27,981$ 212.45$ sq. ft.
Relocation Expenses 1,200,903$ 14,645$ 111.19$ sq. ft.
Operating Reserves 1,162,629$ 14,178$ 107.65$ sq. ft.
Transitional Operating Reserves 118,591$ 1,446$ 10.98$ sq. ft.
Legal Fees 416,681$ 5,081$ 38.58$ sq. ft.
Developer Fee 3,552,991$ 43,329$ 328.98$ sq. ft.
Third Party Fees, Marketing, Other 1,869,371$ 22,797$ 173.09$ sq. ft.
TOTAL SOFT COSTS 10,705,876$ 130,559$ 991.28$
TOTAL USES 38,305,234$ 467,137$ 3,546.78$ SHRA $ per Unit Per Unit Cost
70,976$ 467,137$ $1.00 : $6.58
Management / Expenses
Proposed Developer
Property Management Company
Operating Expenses 415,355$ 5,065$
Property Management Fee 74,200$ 905$
Resident Services 175,702$ 2,143$
Taxes and Insurance 75,122$ 916$
Replacement Reserves 41,000$ 500$ per unit
LifeSTEPS will offer a sutie of enhanced social sercies to all residentsincludin 15 hours of resident social services per week, to be spread among the following catergories: Service coordination, case management, educational classes, enrichment activities, after-school programming for school-age children.
Leverage
Leverage
SHRA
per unit
per unit
per unit
per unit
John Stewart Company/HOPE Cooperative
John Stewart Company
Rehabilitation
2.32 Villa Jardin/Coral Gables
Residential Project Summary
2701 Meadowview Rd #2, Sacramento, CA 95832
82 Attachment 5
Household Size 25% AMI 30% AMI 50% AMI
1 person $18,775 $22,550 $37,500
2 person $21,450 $25,750 $42,900
3 person $24,125 $28,950 $48,250
4 person $26,800 $32,150 $53,600
5 person $28,950 $35,140 $57,900
Unit Size 25% AMI 30% AMI 50% AMI
1 bedroom $503 $643 $1072
2 bedroom $603 $723 $1206
¹Pursuant to 24CFR 983.301, contract rents approved by HUD may exceed the tax-credit rent limits; the tenant rent will not exceed 30% of the household adjusted gross income with PBV.
Maximum Gross Rent Limits¹
MAXIMUM GROSS INCOME AND RENT LIMITS 2023
Low Income Housing Tax Credits, Multifamily Housing Revenue Bonds, California Department of Housing and Community Development Local Housing Trust Fund Program and Multifamily Housing Program, City Housing Trust Funds, Mixed Income Housing Fund and Project Based Vouchers Coral Gables and Villa Jardin
Maximum Gross Income Limits
RESOLUTION NO. 2023 -
Adopted by the Housing Authority of the City of Sacramento
on date of
A RESOLUTION OF THE HOUSING AUTHORITY OF THE CITY OF SACRAMENTO
AUTHORIZING THE ISSUANCE OF SUPPLEMENTAL MULTIFAMILY HOUSING
REVENUE BONDS IN AN AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED $1,000,000 FOR THE FINANCING OF A MULTIFAMILY RENTAL HOUSING PROJECT GENERALLY KNOWN AS VILLA JARDIN/CORAL GABLES;
AUTHORIZING THE EXECUTION AND DELIVERY OF A MASTER AGENCY
AGREEMENT, A MASTER PLEDGE AND ASSIGNMENT, A FIRST AMENDMENT TO
REGULATORY AGREEMENT AND DECLARATION OF RESTRICTIVE COVENANTS AND OTHER DOCUMENTS RELATING THERETO; AND APPROVING OTHER
ACTIONS AND MATTERS RELATING THERETO
BACKGROUND
A. The Housing Authority of the City of Sacramento (the “Authority”) is authorized by Chapter 1 of Part 2 of Division 24 of the California Health and Safety Code (commencing with Section 34200) (the “Statute”) to issue and sell revenue obligations for the purpose of making loans or otherwise providing funds to finance the acquisition, construction, rehabilitation and development of multifamily residential rental housing projects, including units for households meeting the income limits set forth in the Statute.
B. The governing board of the Authority (the “Board”) hereby finds and declares that it is necessary, essential and a public purpose for the Authority to finance multif amily housing projects pursuant to the Statute, in order to increase and maintain the supply of multifamily housing in the City of Sacramento (the “City”) available to persons and families within the income limitations established by the Statute.
C. The proceeds of such obligations issued by a housing authority may be loaned to a nongovernmental owner of multifamily housing, who shall be responsible for the payment of such obligations, to allow such nongovernmental owner to reduce the cost of operating such housing and to assist in providing housing for low and very low income persons.
D. The Authority previously issued its Multifamily Housing Revenue Bonds (Villa Jardin/Coral Gables) 2021 Issue B -1 Subseries A (Tax -Exempt Convertible), in the aggregate principal amount of $800,000, its Multifamily Housing Revenue Bonds (Villa Jardin/Coral Gables) 2021 Issue B -1 Subseries B (Tax -Exempt Construction), in the aggregate principal amount of $15,700,000, and its Multifamily Housing Revenue Bonds (Villa Jardin/Coral Gables) 2021 Issue B -2 (Taxable), in the aggregate principal amount of $5,750,000, pursuant to Resolution No. 2021 -0019 adopted on September 21, 2021, for the purpose of making a loan (the “2021 Loan”) to Villa Jardin/Coral Gables, L.P., a California limited partnership (the “Borrower”), to finance the acquisition, construction and equipping of a multifamily rental housing facility for low income households located in the City, and commonly known as Villa Jardin/Coral Gables (the “Project”).
E. The Bor rower has requested that the Authority issue and sell a supplemental series of bonds, being the 2023 Bonds (hereinafter defined), for the purpose of making an additional loan, payable and secured on a parity with the 2021 Loan, to the Borrower to further finance the Project.
F. On April 12, 2023, the Authority received an allocation in the amount of $1,000,000 (the “Allocation Amount”) from the California Debt Limit Allocation Committee in connection with the Project.
G. On September 21, 2021, the City Co uncil of the City, by resolution, approved the issuance of the 2023 Bonds by the Authority, following notice and a public hearing as required by 26 United States Code (USC) Section 147(f) of the Internal Revenue Code of 1986, as amended.
H. The Authority is willing to issue the Bonds in an aggregate principal amount not to exceed the Allocation Amount, and to loan the proceeds thereof to the Borrower to assist in providing financing for the Project, which will allow the Borrower to reduce the cost of the Project and to assist in providing housing for persons of low and very low income.
I. The Bonds will be privately placed to U.S. Bank National Association (the “Lender”), as the initial holder of the Bonds, in accordance with the Authority’s policies.
J. There have been prepared and made available to the Board the following documents required for the issuance of the 2023 Bonds, and such documents are now in substantial form and appropriate instruments to be executed and delivered for the purposes intended:
(1) Master Agency Agreement (the “Agency Agreement”) to be entered into between the U.S. Bank National Association (the “Lender”), as agent (the “Agent”), and the Authority;
(2) Master Pledge and Assignment (the “Master Pledge and Assignment”) to be entered into among the Authority and the Lender, as Agent and holder; and (3) First Amendment to Regulatory Agreement and Declaration of Restrictive Covenants (the “First Amendment to Regulatory Agreement”) to be entered into by and between the Authority and the Borrower, with respect to the Project.
K. The Authority hereby finds and declares that this resolution is being adopted pursuant to the powers granted by the Statute.
L. All conditions, items and acts required to exist, to have happened and to have been performed precedent to and in connection with the issuance of the 2023 Bonds as contemplated by this resolution and the documents referred to herein will exist, have happened and have been performed in due time, form and manner as required by the laws of the State of California, including the Statute.
M. Pursuant to Section 5852.1 of the California Government Code, the Authority, as a conduit financing provider, has received certain representations and good faith estimates from the Borrower and has disclosed such good faith estimates as set forth on Exhibit A attached hereto.
BASED ON THE FACTS SET FORTH IN THE BACKGROUND, THE HOUSING AUTHORITY OF THE CITY OF SACRAMENTO RESOLVES AS FOLLOWS:
Section 1. The Authority hereby finds and declares that the above recitals are true and correct.
Section 2. Pursuant to the Statute and the Master Pledge and Assignment, issuance of the 2023 Bonds designated as “Housing Authority of the City of Sacramento Multifamily Housing Revenue Bonds (Villa Jardin/Coral Gab les) 2023 Issue C” are hereby authorized, including, if and to the extent necessary, two or more sub -series, with appropriate modifications and series and sub -series designations as necessary, in an aggregate principal amount not to exceed $1,000,000 (being the Allocation Amount).
Section 3. The 2023 Bonds shall be executed and delivered in the form set forth in and otherwise in accordance with the Master Pledge and Assignment, and shall be executed on behalf of the Authority by the manual or facsimile signature of the Executive Director of the Authority, or her designee ( “Authorized Officer”), with such changes, deletions and insertions as may be approved by such Authorized Officer and legal counsel to the Authority, such approvals being conclusively evidenced by the execution and delivery thereof, and the Clerk of the Sacramento Housing and Redevelopment Agency or such designee (the “Clerk”) is hereby authorized and directed, if required, to attest the 2023 Bonds in said form by manual or facsimile signature thereof. The 2023 Bonds shall be secured in accordance with the terms of the Master Pledge and Assignment presented to this meeting, as hereinafter approved.
Section 4. Payment of the principal and purchase price of, and redemption premium, if any, and interest on, the 2023 Bonds shall b e made solely from amounts pledged thereto under the Master Pledge and Assignment, and the 2023 Bonds shall not be deemed to constitute a debt or liability of the Authority, the City, the Sacramento Housing and Redevelopment Agency or any commissioners of the Board.
Section 5. The Master Pledge and Assignment in the form on file with the Clerk, is hereby approved. The Authorized Officer is hereby authorized for and on behalf of the Authority to execute by manual signature and deliver the Master Pledge and Assignment with such changes, additions or deletions as may be approved by such Authorized Officer and legal counsel to the Authority, su ch approvals to be conclusively evidenced by the execution and delivery thereof. The date, maturity date or dates (which shall not be more than 45 years from the date of issuance thereof), interest rate or rates (which shall not exceed 12%), interest paym ent dates, denominations, form, registration privileges, manner of execution, place of payment, terms of redemption and other terms of the 2023 Bonds shall be as provided in the Master Pledge and Assignment as finally executed.
Section 6. The Agency Agree ment in the form on file with the Clerk, is hereby approved. The Authorized Officer is hereby authorized for and on behalf of the Authority to execute by manual signature and deliver the Agency Agreement with such changes, additions and deletions as may be approved by such Authorized Officer and legal counsel to the Authority, such approvals to be conclusively evidenced by the execution and delivery thereof.
Section 7. The First Amendment to Regulatory Agreement in the form on file with the Clerk, is hereby approved. The Authorized Officer is hereby authorized for and on behalf of the Authority to execute by manual signature and deliver the First Amendment to Regulatory Agreement with such changes, additions or deletions as may be approved by such Authori zed Officer and legal counsel to the Authority, such approvals to be conclusively evidenced by the execution and delivery thereof.
Section 8. The Authority is hereby authorized to execute and deliver the 2023 Bonds to the Lender pursuant to the terms and conditions of the Master Pledge and Agreement.
Section 9. The 2023 Bonds, when executed, shall be delivered to the Agent for registration. The Agent is hereby requested and directed to register the 2023 Bonds by executing the certificate of registration appearing thereon, and to deliver the 2023 Bonds, when duly executed and registered, to or at the direction of the purchasers thereof in accordance with written instructions executed and delivered on behalf of the Authority by an Authorized Officer, which any Authorized Officer, acting alone, is hereby authorized and directed to execute and deliver such instructions to the Agent. Such instructions shall provide for the delivery of the 2023 Bonds to the purchasers thereof upon payment of the purchase price thereof.
Section 10. All actions heretofore taken by the officers and agents of the Authority with respect to the financing of the Project, the sale and issuance of the 2023 Bonds are hereby approved, confirmed and ratified, and the proper officers of the Authority, including the Authorized Officer is hereby authorized and directed, for and in the name and on behalf of the Authority, to do any and all things and take any and all actions and execute any and all certificates, agreements and other documents, which they, or any of them, may deem necessary or advisable in order to consummate the lawful sale and issuance of the 2023 Bonds in accordance with this Resolution, including, but not limited to, a certificate as to arbitrage, loan related documents, one or more subordination or intercreditor agreements, any endorsement and/or assignment of deed of trust, an endorsement, allonge or assignment of any note, a termination of bond regulatory agreement, those certain certificates, agreements and other documents described in the Master Pledge and Assignment and the First Amendment to Regulatory Agreement and such other documents herein approved.
Section 11. All consents, approvals, notices, orders, requests and other actions permitted or required by any of the d ocuments authorized by this Resolution, whether before or after the issuance of the 2023 Bonds, including without limitation any of the foregoing that may be necessary or desirable in connection with any default under or amendment of such documents, any tr ansfer or other disposition of the Project, any addition or substitution of security for the 2023 Bonds or any redemption of the 2023 Bonds, may be given or taken by any Authorized Officer, as appropriate, without further authorization by the Board, and ea ch such officer is hereby authorized and directed to give any such consent, approval, notice, order or request and to take any such action that such officer may deem necessary or desirable to further the purposes of this Resolution and the financing of the Project; provided that such action shall not create any obligation or liability of the Authority other than as provided in the Master Pledge and Assignment and other documents approved herein.
Section 12. This Resolution shall take effect immediately upon its adoption.
Table of Contents:
Exhibit A – Public Disclosure Relating to Conduit Revenue Obligations
EXHIBIT A
PUBLIC DISCLOSURES RELATING TO CONDUIT REVENUE OBLIGATIONS
Pursuant to California Government Code Section 5852.1, the borrower (the “Borrower”) identified below has provided the following required information to the Housing Authority of the City of Sacramento (the “Housing Authority”) prior to the Housing Authority’s regular meeting (the “Meeting”) of its Housing Authority Board (the “Board”) at which Meeting the Board will consider the authorization of conduit revenue obligations (the “Bonds”) as identified below.
1. Name of Borrower: Villa Jarding/Coral Gables L.P., a California limited partnership
2. Authority Meeting Date: September 12, 2023
3. Name of Bond Issue / Conduit Revenue Obligations: Not to exceed $1,000,000 Housing Authority of the City of Sacramento Multifamily Housing Revenue Bonds (Pass-Through – 1901 Broadway).
4. _X Private Placement Lender or Bond Purchaser, __ Underwriter or ___ Financial Advisor (mark one) engaged by the Borrower from which the Borrower obtained the following required good faith estimates relating to the Bonds:
(A) The true interest cost of the Bonds, which means the rate necessary to discount the amounts payable on the respective principal and interest payment dates to the purchase price received for the new issue of Bonds (to the nearest ten- thousandth of one percent): 6.86%
(B) The finance charge of the Bonds, which means the sum of all fees and charges paid to third parties: $35,000
(C) The amount of proceeds received by the public body for sale of the Bonds less the finance charge of the bonds described in subparagraph (B) and any reserves or capitalized interest paid or funded with proceeds of the Bonds:
$965,000
(D) The total payment amount, which means the sum total of all payments the borrower will make to pay debt service on the Bonds plus the finance charge of the Bonds described in subparagraph (B) not paid with the proceeds of the Bonds (which total payment amount shall be calculated to the final maturity of the Bonds): $1,035,000
This document has been made available to the public at the Meeting of the Housing Authority.