HomeMy WebLinkAbout22-08 - ADMIN Resolution - Economic Development Authority - 2022/04/04EDA Resolution No. 22-08
Resolution expressing support for the proposed use of a
deferred loan for a multifamily housing development
by an entity formed by Project for Pride in Living, Inc.
Whereas, the St. Louis Park Economic Development Authority (the “Authority”) and the
City of St. Louis Park, Minnesota (the “City”) previously approved a resolution of support for
Project for Pride in Living, inc. (or an affiliated entity, the “Developer”) in connectio n with its
application to Minnesota Housing for tax credits; and
Whereas, the Developer intends to submit another application to Minnesota Housing
for a deferred loan; and
Whereas, the EDA received a request from the Developer to provide an updated
resolution of support for construction of an approximately 60 unit affordable multifamily rental
housing development within the City, to be known as Union Park Flats (the “Project”) and
indicate its support of the use of funds from the Affordable Housing Trust Fund; and
Whereas, a stated goal of the City’s Inclusionary Housing Policy is the creation of diverse
and affordable housing options for the community; and
Whereas, the success of the Developer’s application for low-income housing tax credits
from Minnesota Housing Finance Authority (“MHFA”) in connection with the Project is
predicated on local support of the proposal; and
Whereas, Authority staff has reviewed the proposal and recommends that the Board of
Commissioners of the Authority (the “Board”) support the use of approximately $450,000 in
financing assistance for the Project should it be proven financially necessary as confirmed by
the City’s municipal advisor. Such financial assistance shall be provided through a deferred loan
from the City’s Affordable Housing Trust Fund which will be repaid from tax increment
generated from the Project.
Now, therefore, be it resolved by the Board of Commissioners of the St. Louis Park
Economic Development Authority as follows:
1. The Board supports the Project and the deferred loan from the Affordable
Housing Trust Fund for the Project to be repaid from tax increment and the Developer;
provided, however, that authorization of financing for the Project is solely within the discretio n
of the City and of the Board following all legally required proceedings pursuant to Minnesota
Statutes, Sections 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 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
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EDA Resolution No. 22-08 2
including (among other things) the conditions under which the City or the Authority will provide
financial assistance.
2. The Board supports the Developer’s application to MHFA for a deferred loan for
the Project.
Reviewed for Administration: Adopted by the Economic Development
Authority April 4, 2022
Karen Barton, executive director Margaret Rog, president
Attest:
Melissa Kennedy, secretary
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