Title
Resolution to Allocate $20,000.00 in HOME Funds to Avalon Second Nonprofit Housing Corporation for the Acquisition and Rehabilitation of 1675-1677 Broadway and Amend the Housing Affordability Agreement ($20,000.00 HOME Funds)
Memorandum
Attached for your review and approval is a resolution to allocate an additional $20,000.00 in HOME funds to the existing $355,000.00 HOME Fund contract with Avalon Second Nonprofit Housing Corporation to acquire and rehabilitate 4 units of permanent affordable housing for survivors of domestic violence. The total budget is $800,000.00. The total request for City funds constitutes 47% of the total project costs. Avalon has secured $360,000.00 from the Michigan State Housing Development Authority (MSHDA), $25,000.00 from Washtenaw County and $40,000.00 from the Federal Home Loan Bank (FHLB).
Avalon will own and manage the property and Catholic Social Services will provide supportive services. Tenants will be referred by the Domestic Violence Shelter. As the property managers, Avalon will screen the tenants. Avalon is requesting additional funds to complete repairs due to structural failures in a basement wall discovered during rehabilitation.
The project is consistent with the City’s Consolidated Strategy and Plan and the Blueprint to End Homelessness. The targeted tenants are extremely low income. The City Attorney’s office will review the legal and contractual documents to ensure that Avalon will comply with the requirements in the HOME regulations. It will be the responsibility of the Office of Community Development to monitor agency compliance with these regulations in accordance with annual HOME Program monitoring.
Consistent with HOME Program requirements, a mortgage, note and amended housing affordability agreement will be placed on the property to preserve the affordability of these units. The project will be ineligible for additional HOME funds for a minimum of 15 years as required by HOME program regulat...
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