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Acting as the Redevelopment Agency Board, the Salt Lake City Council voted this week to approve a big package of funding for housing projects across the city that have affordable housing components.
The awarded funding from the Housing Development Loan Program was spread across 14 projects, and will help create 1179 new dwellings and rehabilitate 361.
The city loans are in a subordinate position to the main lenders, but likely make up an important part of awarded projects’ capital stacks. This year, the RDA’s contribution to the projects’ construction costs ranged between 1.6% and 10%.
Developer response was high, and the amount awarded, $17.7 million, was the largest amount ever offered by the city. Mayor Erin Mendenhall said in a statement, “I am encouraged by this year’s robust response to our annual competitive affordable housing funding process, as it signifies the development community’s commitment to affordability at levels we have never seen before.”
Salt Lake County, as well as the state’s Olene Walker Housing Loan Fund are also listed by most successful applicants as contributors to their projects. Two-thirds are also recipients of federal LIHTC funds.
The city’s 2023 top priorities in awarding funds were deeply affordable units and family-sized housing (3-4 BRs). RDA Board Chair Alejandro Puy (D2) stated the board was looking for units “affordable and accessible to extremely low-income individuals and families that are homeless or at risk of homelessness. Encouraging the development of affordable 3- and 4-bedroom residences gives families and larger households the opportunity to experience urban living.”
Here are this year’s awardees:
| Project Name | Address | Developer | Award Amount | Award Type |
|---|---|---|---|---|
| Project Open 3 | 529 W 400 N | Perpetual Housing Fund | $710,000 | Interest Rate: 1.0% Term: 18 month Balloon Repayment |
| Citizens West 4 | 515 W 300 N | Developed. By Women. & Ivan Carroll | $400,000 | Interest Rate: 1.0% Term: 15 year Amortization: 30 year Hard Repayments |
| 515 Tower – Conversion Phase I | 515 E 100 S | Perpetual Housing Fund | $2,650,000 | Construction to perm: 2% interest rate, 15-year term/am, cash flow repayments |
| Liberty Corner | 1265 S 300 W | Cowboy Partners | $4,500,000 | Interest Rate: 2.0% Term: 40 year Amortization: 40 year Cash Flow Repayments |
| New City Plaza Apartments | 1966 S 200 E | Housing Connect | $895,000 | Interest Rate: 2.5% Term: 40 year Amortization: 40 year Cash Flow Repayments |
| 2nd South Apartments | 934-948 W 200 S | Hermes Affordable Services, LLC | $2,420,000 | Interest Rate: 2.0% Term: 30 year Amortization: 30 year Cash Flow Repayments |
| Norbridge Court | 511 W 200 S | Artspace | $895,000 | Interest Rate: 1.0% Term: 30 year Amortization: 30 year Hard Repayments |
| Alliance House 1805 Rebuild | 1805 S Main St | Alliance House & Cowboy Partners | $500,000 | Interest Rate: 2.5% Term: 40 year Amortization: 40 year Cash Flow Repayments |
| 9Ten West | 910 W N Temple | Great Lakes Capital | $1,000,000 | Interest Rate: 2.0% Term: 16 year Amortization: 40 year Cash Flow Repayments |
| The Catherine Phase 1 | 1881 W N Temple | 22 Communities | $1,000,000 | Interest Rate: 2.0% Term: 16 year Amortization: 40 year Cash Flow Repayments |
| The Catherine Phase 2 | 1881 W N Temple | 22 Communities | $134,323 | Interest Rate: 2.0% Term: 16 year Amortization: 40 year Cash Flow Repayments |
| Book Cliffs Lodge | 1159 S W Temple | Housing Authority of Salt Lake City | $740,000 | Interest Rate: 2.5% Term: 15 year Amortization: 30 year Cash Flow Repayments |
| Pharos Apartments | 915 W 200 N | Housing Authority of Salt Lake City | $880,000 | Interest Rate: 2.5% Term: 15 year Amortization: 40 year Cash Flow Repayments |
| Fairmont Heights I | 2557 S 1100 E | Lincoln Avenue Communities | $1,000,000 | Interest Rate: 1.0% Acquisition Term: 2-year Balloon or conversion to Permanent: Term: 16 year Amortization: 40 year Hard Repayments |
Featured projects
Here are five notable projects from the list of awardees:
Fairmont Heights
2557 S 1100 East
Developer: Lincoln Avenue Communities
55 units, 9 at 61-80% AMI, 19 at 41-60% AMI, 27 at <40% AMI
40 1BR, 15 2BR
The Catherine Phase 1 + 2
1881 W. North Temple
Developer: 22 Communities
Phase 1: 228 units, all at 60% AMI or below
80 studio, 44 1BR, 80 2BR, 24 3BR, including 18 ADA accessible
Phase 2: 144 units, all at 60% AMI or below
2nd South Apartments
934-948 W. 200 South
Developer: Hermes Affordable Services, LLC
105 units, 88 between 41-60% AMI, 16 <40% AMI
36 studio, 37 1BR, 16 2BR, 16 3BR
Citizens West 4
515 W. 300 North
Developer: Developed. By Women. & Ivan Carroll
52 units, 40 41-60% AMI, 10 <40% AMI
10 studio, 16 2BR, 20 3BR, 6 4BR
Project Open 3
529 W. 400 North
Developer: Utah Perpetual Housing Fund
For-sale condos and townhomes
23 units, all at 61-80% AMI
4 1BR, 12 3BR, 7 4BR
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