SUBJECT
title
Tri-Party Agreement for State Housing Initiatives Program (SHIP) Funding for Grove Manor Phase II Apartments, Lake Wales, Florida. ($1,500,000 one-time expense)
body
DESCRIPTION
In August 2023, the Polk County Housing and Neighborhood Development Office issued a request for proposals from experienced and qualified developers to apply for funds to develop affordable rental housing. These funds were targeted specifically for rental units serving low-income populations.
On September 1, 2023, the Board authorized staff to enter into contract negotiations with Smith & Henzy Affordable Group for the development of Grove Manor Phase II in Lake Wales, Florida. Funding for this project is provided through the State Housing Initiatives Partnership (SHIP) program in the amount of one million five hundred thousand dollars ($1,500,000).
This Tri-Party Agreement between Polk County, Neighborhood Lending Partners (NLP), and the Developer outlines criteria for a SHIP-funded loan in the amount of $1,500,000. The County has determined the most efficient method of providing the required loan underwriting, closing, and related services is through NLP, an entity experienced in underwriting subordinate county loans for multi-family affordable housing developments.
To expedite the fulfilment of this Tri-Party Agreement, County Management will execute all required and necessary documents on behalf of the County, including but not limited to closing, funding, and loan administration documents, as well as subordination agreements and agreements imposing restrictions on the units funded with the loan proceeds.
RECOMMENDATION
Request the Board approve the Tri-Party Agreement covering the State Housing Initiatives Program (SHIP) Funding for Grove Manor Phase II Apartments and authorize the County Manager or the manager’s designee to execute documents on behalf of the County.
FISCAL IMPACT
Funds are budgeted in the Affordable Housing Trust Fund.
CONTACT INFORMATION
Jennifer Cooper
Housing & Neighborhood Dev. Manager
(863) 534-5209
JenniferCooper@Polk-County.net