Award $16M in Housing
Loans for Four Affordable
Housing Developments
Jenny Carloni
Housing Officer
October 25, 2022
2 • $16 Million Notice of Funding Availability (NOFA)
Released July 18
• Housing Mitigation Funds (HMF) collected from non-
residential and residential development
• BMR In-Lieu Funds collected from residential
developers who pay fee or pay fractional fee
• Funds used for Pre-development, Development,
and/or Rehabilitation of Deed Restricted Affordable
Housing Developments.
• Minimum loan is $500,000; 55-year restriction
Background
3 • Four applications received, totaling $18.5M
• Orchard Gardens: $2.5M Requested
Redevelopment and New Construction, 123 units
• 1178 Sonora Court: $15M Requested
New construction of 176 new units (City owned land)
• 1171 Sonora Court: $500,000 Requested
Predevelopment, 192 units
• Carroll Street Inn: $500,000 Requested
Rehab of 121 units
Funding Applications Received
4 Ranking and Recommendation
5 City Funding Totals per Unit If Loans Approved
Project Name Unit
Total
City Funds to
Date
City Funds
Recommended in
2022
Total City
Funds per Unit
Orchard
Gardens 123 $7,500,000 $2,500,000 $81,300
1178 Sonora 176 $14,000,000 $12,500,000 $164,773
1171 Sonora 192 0 $500,000 $2,604
Carroll St. 122 $964,750 $500,000 $12,006
6 • Staff will issue Conditional Loan Award Letters
• Developers have two years to close escrow and begin
construction
Next Steps
7 • HHSC recommended Alternative 1 at their September
meeting.
• Staff Recommendation:
Alternative 1:
• Award conditional funding commitments for $16 Million in Housing Mitigation Funds and Below Market Rate In-lieu
Funds for the pre-development, development and/or
rehabilitation to the projects listed in Attachment 3 to the report.
HHSC & Staff Recommendation