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File #: 51416    Version: 1 Name: Authorizing the Mayor and City Clerk to execute a Purchase of Services contract to provide up to $400,000 of City funding to Linden Cohousing, LLC to be used to support down payment assistance for at least eleven units of affordable owner occupied housing
Type: Resolution Status: Passed
File created: 4/25/2018 In control: FINANCE COMMITTEE
On agenda: 5/15/2018 Final action: 5/15/2018
Enactment date: 5/21/2018 Enactment #: RES-18-00395
Title: Authorizing the Mayor and City Clerk to execute a Purchase of Services contract to provide up to $400,000 of City funding to Linden Cohousing, LLC to be used to support down payment assistance for at least eleven units of affordable owner occupied housing as part of the CohoMadison Cohousing project.
Sponsors: Maurice S. Cheeks, Matthew J. Phair, Marsha A. Rummel
Attachments: 1. CohoMadison-Application.pdf
Fiscal Note
The proposed resolution approves awarding $400,000 to Linden CoHousing, LLC., for the sole purpose of providing mortgage reduction/down payment financing to at least 11 households seeking to purchase condominium units. The assistance will be in the form of 0% long-term deferred loans and will be offered to eligible buyers of CoHoMadison Co-Housing units as gap financing based on individual household need, per Community Development Division’s existing Underwriting Guidelines for mortgage reduction loan offerings. The proposed award replaces the $594,000 of HOME Program funds awarded by RES-17-00528 (File ID 47537), which was ultimately declined by the award recipient. The proposed award of $400,000 will be funded by CDD’s Homebuyer’s Assistance Program, which has sufficient program income and interest revenue to fund the loan in its entirety. The proposed award has no effect on the General Fund.
Title
Authorizing the Mayor and City Clerk to execute a Purchase of Services contract to provide up to $400,000 of City funding to Linden Cohousing, LLC to be used to support down payment assistance for at least eleven units of affordable owner occupied housing as part of the CohoMadison Cohousing project.
Body
Linden Cohousing, LLC, a development entity of Accipiter Properties, is working with CohoMadison, Inc., a non-stock corporation made up of 44 residents, to develop 45 new residential condominiums at 2048-2100 Winnebago Ave. On June 20, 2017, the Common Council adopted a resolution (RES-17-00528) to award the project $594,000 of federal HOME Program funds. That action offered financial support to ensure that at least eleven of the housing units would be affordable to prospective buyers. On December 4, 2017, Accipiter Properties notified CDD that its compliance with accompanying federal requirements, in particular those imposed under 24 CFR Part 42- Relocation and Displacement, would add substantially costs to the project’s costs.

Accipiter had pl...

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