Title
Resolution to Approve the Acquisition and Renovation of Lurie Terrace by the Ann Arbor Affordable Housing Corporation, an Affiliated Non-Profit Entity of the Ann Arbor Housing Commission, Approve 5 FTE's and appropriate funds ($260,000) (8 Votes Required)
Memorandum
The non-profit entity Senior Citizen Housing of Ann Arbor (SCHAA), owns and manages Lurie Terrace, comprised of two separate buildings on the same site at 600 W. Huron Street. The Lurie Terrace tower portion is an 8-story, 132-unit apartment tower built in 1964. A 4-unit, 2-story building built in 1950 is adjacent to the tower for a total of 136 apartments reserved for senior households aged 62 years or older. The tower property was originally built and financed through a HUD Section 202 program for seniors. The property has continuously provided below market-rate rental housing for seniors since 1964, even though it is no longer restricted by a HUD use agreement. There are 84 efficiencies, 46 1-bedroom and six 2-bedroom apartments ranging from $431/mo to $1,246/mo.
The board of SCHAA reached out to the City of Ann Arbor and the Ann Arbor Housing Commission to purchase the property and continue to operate it as below-market rental housing for seniors. The Ann Arbor Housing Commission (AAHC), which manages and provides affordable housing for the City, created a new non-profit entity called the Ann Arbor Affordable Housing Corporation (AAAHC), to acquire and continue to manage the property as below-market rate rental housing for seniors aged 62 and older. The AAAHC Board met on July 28, 2020 and approved the purchase agreement to acquire Lurie Terrace. The City of Ann Arbor Code of Ordinances requires the City of Ann Arbor to approve all deeds, mortgages, contracts, leases, purchases or other agreements regarding real property which is or may be put under the control of the AAHC, or an affiliated entity.
Lurie Terrace has never had and does not currently have any regulatory requirements related...
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