Title
Resolution to Appropriate Affordable Housing Funds and Execute a Grant Agreement with the Ann Arbor Housing Development Corporation to Develop an Affordable Housing Project at 350 S. Fifth Ave. ($4,000,000.00) (8 Votes Required)
Memorandum
This resolution is requested by the Ann Arbor Housing Commission (AAHC) to appropriate and grant $4,000,000.00 from the Affordable Housing Fund to the Ann Arbor Housing Development Corporation (AAHDC) for the development of an affordable housing project at 350 S. Fifth Ave.
The AAHC, through its 501(c)(3), the AAHDC, is developing the previously City-owned parcel at 350 S. Fifth Ave. as affordable housing. When the AAHDC acquired the property from the City, a deed restriction was recorded to ensure that when the property was developed, it would include housing affordable to households at 60% AMI or less of an unspecified number because the design of the building was not final at the time. A new permanent restriction will be recorded through a modified deed or a restrictive covenant which will require the greater of 100 units or 40% of the units to be restricted to households at 60% AMI or less.
The AAHC selected Related Midwest through a Request for Proposal (RFP) process, as a co-developer. The project includes a 329,242 square foot 20-story mixed-use building that includes approximately 330 1 and 2-bedroom apartments with tenant community space and staff offices, and approximately 6,500 square feet of commercial space. All residential units will be affordable to households with incomes at or below 80% of Area Median Income (AMI) with an income average of no more than 60% AMI, as restricted by Low Income Housing Tax Credits (LIHTC) and the City's PILOT ordinance. At least 110 of the 330 units (33%) will be targeted at households earning less than 30% of the Area Median Income and will be directly supported by the Ann Arbor Housing Commission ("AAHC") through both project-based rental vouchers and supportive servic...
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