HomeMy WebLinkAbout21-12 - ADMIN Resolution - Economic Development Authority - 2021/07/06EDA Resolution No. 21-12
Resolution expressing support for the proposed use of tax increment financing
for a mixed-use multifamily affordable housing development to be developed
by CommonBond Communities
Whereas, the St. Louis Park Economic Development Authority (the “Authority”) has
received a request to assist an entity to be formed by CommonBond Communities (the
“Developer”) with certain costs of construction of a proposed mixed-use development including
approximately 120 units of multifamily rental housing intended to be affordable to individuals
and families at 30 to 80 percent of area median income, to be located in the City of St. Louis
Park (the “City”) and known as Rise on 7 (the “Project”); and
Whereas, a stated goal of the City’s Inclusionary Housing Policy is to act as a partner in
creating affordable housing development for the community; and
Whereas, the success of the Developer’s application for low-income housing tax credits
in connection with the Project is predicated on local support of the proposal; and
Whereas, the Developer has requested that the Authority indicate its support of the use
of tax increment for the Project; and
Whereas, Authority staff has reviewed the proposal and recommends that the Board of
Commissioners support the use of tax increment for the Project.
Now, therefore be it resolved that the Board of Commissioners supports the Project
and the use of pay-as-you-go tax increment financing assistance for the Project in an estimated
amount not to exceed $1,200,000; provided, however, that authorization of tax increment
financing for the Project is solely within the discretion of the City and of the Board of
Commissioners following all legally required proceedings pursuant to Minnesota Statues
469.174 through 469.1794, as amended, including (i) a public hearing and approval by the City
Council of the City; (ii) a determination, based on an analysis performed by the City’s municipal
advisor, that tax increment financing assistance is necessary for the financial feasibility of the
Project; (iii) verification of development financing need, based on an analysis performed by the
City’s municipal advisor, that substantiates that “but for” the use of tax increment financing,
the Project would be unable to proceed; and (iv) the negotiation of a development agreement
including (among other things) the conditions under which the City or the Authority will provide
financial assistance.
It is further resolved that the Board of Commissioners supports the Developer’s
application to Minnesota Housing for low-income tax credits for the Project.
It is further resolved that Authority staff and consultants are authorized to take any
actions necessary to carry out the intent of this resolution.
DocuSign Envelope ID: FEB98609-CA28-471E-8D03-1A03F8E742BD
EDA Resolution No. 21-12 2
Reviewed for Administration: Adopted by the Economic Development
Authority July 6, 2021
Thomas K Harmening, executive director Tim Brausen, president
Attest:
Melisa Kennedy, secretary
DocuSign Envelope ID: FEB98609-CA28-471E-8D03-1A03F8E742BD