Explanation
BACKGROUND: This ordinance authorizes the appropriation and expenditure of $605,286.60 of the 2019 HOME CHDO Set-a-Side monies and $595,225.45 of 2020 HOME CHDO Set-a-Side monies within the HOME Investment Partnerships Program and to authorize the Director of the Department of Development to enter into contract with the Franklinton Development Association for the Town Square Station project in an amount up to $1,300,000.00.
The City is a participating jurisdiction receiving federal funds under the HOME Investment Partnerships program (HOME) of the U. S. Department of Housing and Urban Development (HUD). Fifteen percent of the HOME fund allocation each year is set aside for Community Housing Development Organizations (CHDOs). The regulations of the program provide that funds may be used to assist first time homebuyers, for-profit and non-profit organizations with grants and no or low interest loans for projects designed to increase and preserve the local supply of decent, safe, sanitary, and affordable housing for low and moderate income families. This legislation represents appropriation for the HOME portion of the 2020 Action Plan, per Ordinance 2162-2019.
Town Square Station is a 10 unit, new construction rental development located at 931-937 W. Town Street, 202-204 Hawkes Avenue, and 936 W. Rich Street. The majority of the site is currently owned by the City Land Bank. Prior to development, the site will be conveyed to the Central Ohio Community Land Trust with the improvements being owned by Franklinton Development Association as affordable rental property. All units will be affordable to households at or below 50% of the area median income.
The estimated project cost is $2,135,000.00 and the City is contributing a total of $1,300,000.00 of HOME funds to this project. Project funding is also coming from OHFA’s Housing Development Gap Financing program in an amount of $500,000.00 and the developer will receive a loan from the Affordable ...
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