...Title
Approval of the Issuance of a Tax-Exempt Multifamily Housing Revenue Note and the Loan of the Proceeds Thereof for the Financing of Arya Apartment and to Increase the Commitment for City Council Approved Construction-Permanent Loan.
...Recommendations
(a) Adopt a resolution:
(1) Authorizing the issuance of a multifamily housing revenue note designated as “City of San José, California Multifamily Housing Revenue Note (Arya), Series 2021A” in a principal amount not to exceed $34,314,000 (the “Series 2021 Note”);
(2) Approving the loan of Series 2021 Note proceeds to SAHA Arya, L.P. a California limited partnership created by Satellite Affordable Housing Associates, a California not-for-profit corporation, to finance the construction and development of an 87-unit multifamily development known as the Arya located at 500 Almaden Boulevard (formerly 226 Balbach Street), in San José (the “Development”);
(3) Approving in substantially final form the Funding Loan Agreement, the Borrower Loan Agreement and Regulatory Agreement and Declaration of Restrictive Covenants (collectively, the “2021 Note Documents”); and
(4) Authorizing and directing the City Manager, Director of Housing, Director of Finance, Assistant Director of Finance, Deputy Director, Debt & Treasury Management and Debt Administrator, or their designees, to execute and deliver the Series 2021 Note Documents together with any documents ancillary to the Series 2021 Note Documents.
(b) Adopt a resolution:
(1) Authorizing an increase of up to $1,651,122 from $13,947,984 to $15,999,106 in the City Council-approved construction-permanent loan commitment to the Borrower;
(2) Authorizing a change in City Loan terms to allow an increase in the Development’s rents and income up to 60% AMI (low-income) for all tenants in the event of foreclosure, to the extent the City has determined such increase is needed for feasibility of the Development and allowed by other funds;
(3) Authorizing the Director of Hous...
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